Ch#
1
Term
Customer equity
1
Customer lifetime
value
1
Customer perceived
value
1
Customer
relationship
management
1
Customer
satisfaction
1
Demands
1
Demarketing
1
Exchange
1
Global firm
1
Global industry
1
Market
1
Marketing concept
Definition
The total combined customer
lifetime values of all of the
company's customers.
The value of the entire
stream of purchases that the
customer would make over a
lifetime of patronage.
The customer's evaluation of
the difference between all
the benefits and all the
costs of a marketing offer
relative to those of
competing offers.
The overall process of
building and maintaining
profitable customer
relationships by delivering
superior customer value and
satisfaction.
The extent to which a
product's perceived
performance matches a buyer's
expectations.
Human wants that are backed
by buying power.
Marketing to reduce demand
temporarily or permanently;
the aim is not to destroy
demand but only to reduce or
shift it.
The act of obtaining a
desired object from someone
by offering something in
return.
A firm that, by operating in
more than one country, gains
R&D, production, marketing,
and financial advantages that
are not available to purely
domestic competitors.
An industry in which the
strategic positions of
competitors in given
geographic or national
markets are affected by their
overall global positions.
The set of all actual and
potential buyers of a product
or service.
The marketing management
philosophy that holds that
achieving organizational
goals depends on knowing the
needs and wants of target
markets and delivering the
Sound File
1
Marketing
management
1
Marketing offer
1
Marketing
1
1
Needs
Partner
relationship
management
1
Product concept
1
Production concept
1
Selling concept
1
Share of customer
1
Societal marketing
concept
1
Transaction
1
Wants
2
Business portfolio
desired satisfactions better
than competitors do.
The art and science of
choosing target markets,
presenting a marketing offer
to them, acquiring customers,
and building profitable
relationships with them.
Some combination of goods,
services, information, or
experiences offered to a
market to satisfy a need or
want.
A social and managerial
process by which individuals
and groups obtain what they
need and want through
creating and exchanging value
with others.
States of felt deprivation.
Working closely with partners
in other company departments
and outside the company to
jointly bring greater value
to customers.
The idea that buyers will
favour products that offer
the most in quality,
performance, and innovative
features.
The idea that buyers will
favour products that are
widely available and highly
affordable.
The idea that the market will
not buy enough of the firm's
products unless it undertakes
a large-scale selling effort.
The portion of the customer's
purchasing in its product
categories that a company
gets.
A principle of enlightened
marketing that holds that
marketing strategy should
deliver value to the
organization's customers in a
way that maintains or
improves the well-being of
society.
A trade of values between two
parties.
The form human needs take as
shaped by culture and
individual personality.
The collection of businesses
2
Diversification
2
Downsizing
2
Growth-share matrix
2
Market development
2
Market penetration
2
Market positioning
2
Market segment
2
Market segmentation
2
Marketing audit
and products that compose the
company.
A strategy for company growth
by starting up or acquiring
businesses outside the
company's current products
and markets.
Reducing the business
portfolio by eliminating
products or businesses that
are not profitable or that no
longer fit the company's
overall strategy.
A portfolio-planning method
that evaluates a company's
SBUs in terms of their market
growth rate and relative
market share. SBUs are
classified as stars, cash
cows, question marks, or
dogs.
A strategy for company growth
by identifying and developing
new market segments for
current company products.
A strategy for entering the
market with a new product,
then focusing efforts on
increasing the sales of that
product in order to capture
market share.
Arranging for a product to
occupy a clear, distinctive,
and desirable place relative
to competing products in the
mind of the buyer.
A group of potential
customers who respond in a
similar way to a given set of
marketing efforts.
Dividing a market into
distinct groups with distinct
needs, characteristics, or
behaviour that might need
separate products or
marketing mixes.
A comprehensive, systematic,
independent, and periodic
examination of a company's
environment, objectives,
strategies, and activities to
determine problem areas and
opportunities and to
recommend a plan of action to
improve the company's
marketing performance.
2
Marketing control
2
Marketing
implementation
2
Marketing mix
2
Marketing plan
2
Marketing strategy
2
Mission statement
2
Portfolio analysis
2
Product development
2
Product–market
expansion grid
2
Strategic business
unit (SBU)
2
Strategic planning
The process of measuring and
evaluating the results of
marketing strategies and
plans and taking corrective
action to ensure that
objectives are achieved.
The process that turns
marketing plans into
marketing actions to
accomplish strategic
marketing objectives.
The set of controllable
tactical marketing tools—
product, price, place, and
promotion—that the firm
blends to produce the
response it wants in the
target market.
A detailed plan for a
business, product, or brand
that assesses the current
marketing situation and
outlines marketing
objectives, a marketing
strategy, action programs,
budgets, and controls.
The marketing logic by which
the company hopes to achieve
strong and profitable
customer relationships.
A statement of the
organization's purpose—what
it wants to accomplish in the
larger environment.
A tool management uses to
identify and evaluate the
businesses that compose the
company.
A strategy for company growth
by offering modified or new
products to current market
segments.
A portfolio-planning tool for
identifying company growth
opportunities through market
penetration, market
development, product
development, or
diversification.
A unit of the company that
has its own mission and
objectives and that can be
planned independently from
other company businesses.
The process of developing and
maintaining a strategic fit
2
Target marketing
2
Value chain
2
Value delivery
network
3
Consumerism
3
Customer-oriented
marketing
3
Enlightened
marketing
3
Environmental
sustainability
3
Environmentalism
3
Innovative
marketing
3
Sense-of-mission
marketing
between the organization's
goals and capabilities and
its changing marketing
opportunities.
The process of evaluating
each market segment's
attractiveness and selecting
the most appropriate ones to
enter.
The series of departments
that carry out value-creating
activities to design,
produce, market, deliver, and
support a firm's products.
The network made up of the
company, suppliers,
distributors, and ultimately
customers who partner with
one another to improve the
performance of the entire
system.
An organized movement of
citizens and government
agencies to improve the
rights and power of buyers in
relation to sellers.
A philosophy of enlightened
marketing that holds that the
company should view and
organize its marketing
activities from the
customer's point of view.
A marketing philosophy
holding that a company's
marketing should support the
best long-run performance of
the marketing system.
A management approach that
involves developing
strategies that both sustain
the environment and produce
profits for the company.
An organized movement of
concerned citizens,
businesses, and government
agencies working to protect
and improve the natural
environment.
A principle of enlightened
marketing that requires a
company to continuously seek
real product and marketing
improvements.
A principle of enlightened
marketing that holds that a
company should define its
3
Societal marketing
3
Value marketing
4
baby boom
4
Cultural
environment
4
Demography
4
Economic community
4
Economic
environment
4
Embargo
4
Engel's laws
4
Environmental
management
perspective
mission in broad social terms
rather than narrow product
terms.
A principle of enlightened
marketing that holds that a
company should make marketing
decisions by considering
consumers' wants, the
company's requirements, and
society's long-run interests.
A principle of enlightened
marketing that holds that a
company should put most of
its resources into valuebuilding marketing
investments.
The major increase in the
annual birth rate following
World War II and lasting
until the early 1960s. The
baby boomers, now moving into
middle age, are a prime
target for marketers.
Institutions and other forces
that affect society's basic
values, perceptions,
preferences, and behaviours.
The study of human
populations in terms of size,
density, location, age,
gender, race, occupation, and
other statistics.
A group of nations organized
to work toward common goals
in the regulation of
international trade.
Factors that affect consumer
purchasing power and spending
patterns.
A ban on the import of
certain goods.
Differences noted over a
century ago by Ernst Engel in
how people shift their
spending across food,
housing, transportation,
health care, and other goods
and services categories as
family income rises.
A management perspective in
which the firm takes
aggressive actions to affect
the publics and forces in its
marketing environment rather
than simply watching and
reacting to them.
4
Exchange controls
4
Macroenvironment
4
Marketing
environment
4
Marketing
intermediaries
4
Microenvironment
4
Natural environment
4
Nontariff trade
barriers
4
Political
environment
4
Public
4
Quota
Government limits on the
amount of its foreign
exchange with other countries
and on its exchange rate
against other currencies.
The larger societal forces
that affect the
organization's marketing
activities—demographic,
economic, natural,
technological, political, and
cultural forces.
The forces outside marketing
that affect marketing
management's ability to build
and maintain successful
relationships with target
customers.
Firms that help the company
to promote, sell, and
distribute its goods to its
customers.
The forces close to the
company that affect its
ability to serve its
customers—the company,
suppliers, marketing
intermediaries, customer
markets, competitors, and
publics.
Natural resources that are
needed as inputs by marketers
or that are affected by
marketing activities.
Nonmonetary barriers to
foreign products, such as
biases against a foreign
company's bids or product
standards that go against a
foreign company's product
features.
Laws, government agencies,
and pressure groups that
influence and limit various
organizations and individuals
in a given society.
Any group that has an actual
or potential interest in or
impact on an organization's
ability to achieve its
objectives.
A limit on the amount of
goods that an importing
country will accept in
certain product categories to
conserve on foreign exchange
4
Tariff
4
Technological
environment
5
Causal research
5
Customer
relationship
management (CRM)
5
Descriptive
research
5
Experimental
research
5
Exploratory
research
5
Focus group
5
Internal databases
5
Marketing
information system
5
Marketing
intelligence
and to protect local industry
and employment.
A tax levied by a government
against certain imported
goods to either raise revenue
or protect domestic firms.
Forces that create new
technologies, creating new
product and market
opportunities.
Marketing research to test
hypotheses about cause-andeffect relationships.
Any corporate software system
that collects and organizes
customer data and provides
marketing managers, customer
service representatives, and
sales representatives with
powerful information tools.
Marketing research to better
describe marketing problems,
situations, or markets, such
as the market potential for a
product or the demographics
and attitudes of consumers
who buy the product.
The gathering of primary data
by selecting matched groups
of subjects, giving them
different treatments,
controlling unrelated
factors, and checking for
differences in group
responses.
Marketing research to gather
preliminary information that
will help define problems and
suggest hypotheses.
A moderated, small-group
discussion, typically
conducted by marketers during
the new product development
process.
Electronic collections of
data obtained from sources
within the company.
The people, equipment, and
procedures to gather, sort,
analyze, evaluate, and
distribute needed, timely,
and accurate information to
marketing decision makers.
A systematic collection and
analysis of publicly
available information about
5
Marketing research
5
Observational
research
5
Online databases
5
Primary data
5
Sample
5
Secondary data
5
Single-source data
systems
5
Survey research
6
Adoption process
6
Attitude
6
Belief
6
Business buyer
behaviour
competitors and developments
in the marketing environment.
The systematic design,
collection, analysis, and
reporting of data relevant to
a specific marketing
situation facing an
organization.
The gathering of primary data
by observing relevant people,
actions, and situations.
Computerized collections of
data available online, either
from closed, subscriber-only
services, or via the public
Internet.
Information collected for the
specific purpose at hand.
A segment of the population
selected to represent the
population as a whole.
Information that already
exists somewhere, having been
collected for another
purpose.
Systems that combine surveys
of huge consumer panels and
electronic monitoring of
respondents' purchases and
exposure to various marketing
activities in an effort to
better understand the link
among consumer
characteristics, attitudes,
and purchase behaviour.
The gathering of primary data
by asking people questions
about their knowledge,
attitudes, preferences, and
buying behaviour.
The mental process through
which an individual passes
from first hearing about an
innovation to final adoption.
A person's relatively
consistent evaluations,
feelings, and tendencies
toward an object or idea.
A descriptive thought that a
person holds about something.
The buying behaviour of
organizations that buy goods
and services for use in the
production of other products
and services that are sold,
rented, or supplied to
6
Buying centre
6
Cognitive
dissonance
Consumer buyer
behaviour
6
6
Consumer market
6
Culture
6
Derived demand
6
Group
6
Learning
6
Lifestyle
6
Modified rebuy
6
Motive (drive)
6
New product
6
New task
6
Opinion leader
others.
All the individuals and units
that participate in the
business buying-decision
process.
Buyer discomfort caused by
postpurchase conflict.
The buying behaviour of
consumers—individuals who buy
goods and services for their
own use or consumption.
All individuals in a
particular geographic region,
who are old enough to have
their own money and to choose
how to spend it.
The set of basic values,
perceptions, wants, and
behaviours learned by a
member of society from family
and other important
institutions.
Business demand that
ultimately comes from
(derives from) the demand for
consumer goods.
Two or more people who
interact to accomplish
individual or mutual goals.
Changes in an individual's
behaviour arising from
experience.
A person's pattern of living
as expressed in his or her
activities, interests, and
opinions.
A business buying situation
in which the buyer wants to
modify product
specifications, prices,
terms, or suppliers.
A need that is sufficiently
pressing to direct the person
to seek satisfaction of the
need.
A good, service, or idea that
is perceived by some
potential customers as new.
A business buying situation
in which the buyer purchases
a product or service for the
first time.
A person within a reference
group who, because of special
skills, knowledge,
personality, or other
6
Perception
6
Social classes
6
Straight rebuy
6
Subculture
6
Systems selling
6
Value analysis
7
Adapted marketing
mix
7
Age and life-cycle
segmentation
7
Behavioural
segmentation
7
Benefit
segmentation
7
Collaborative
filtering
characteristics, exerts
influence on others.
The process by which people
select, organize, and
interpret information to form
a meaningful picture of the
world.
Relatively permanent and
ordered divisions of a
society into groups whose
members share similar values,
interests, and behaviours
A business buying situation
in which the buyer reorders
something without any
modifications.
A group of people with shared
value systems based on common
life experiences and
situations.
Buying a packaged solution to
a problem from a single
seller, thus avoiding all the
separate decisions involved
in a complex buying
situation.
An approach to cost reduction
in which components are
studied carefully to
determine whether they can be
redesigned, standardized, or
made by less costly methods
of production.
An international marketing
strategy for adjusting the
marketing mix elements to
each international target
market, bearing more costs
but hoping for a larger
market share and return.
Dividing a market into
different age and life-cycle
groups.
Dividing a market into groups
based on consumer knowledge,
attitude, use, or response to
a product.
Dividing the market into
groups according to the
different benefits that
consumers seek from the
product.
The method of making
automatic predictions about
the interests of an
individual user by collecting
7
Competitive
advantage
7
Concentrated
(niche) marketing
7
Demographic
segmentation
7
Differentiated
(segmented)
marketing
7
Gender segmentation
7
Geographic
segmentation
7
Income segmentation
7
Individual
marketing
7
Intermarket
segmentation
7
Local marketing
7
Market positioning
taste information from many
users.
An advantage over competitors
gained by offering greater
value, either through lower
prices or by providing more
benefits that justify higher
prices.
A market-coverage strategy in
which a firm goes after a
large share of one or a few
segments, or niches.
Dividing the market into
groups based on demographic
variables such as age,
gender, family size, family
life cycle, income,
occupation, education,
religion, race, generation,
and nationality.
A market-coverage strategy in
which a firm decides to
target several market
segments and designs separate
offers for each.
Dividing a market into
different groups based on
gender.
Dividing a market into
different geographical units
such as nations, regions,
provinces, counties, cities,
or neighbourhoods.
Dividing a market into
different income groups.
Tailoring products and
marketing programs to the
needs and preferences of
individual customers—also
labelled “markets-of-one
marketing,” “customized
marketing,” and “one-to-one
marketing.”
Forming segments of consumers
who have similar needs and
buying behaviour even though
they are located in different
countries.
Tailoring brands and
promotions to the needs and
wants of local customer
groups—cities,
neighbourhoods, and even
specific stores.
Arranging for a product to
occupy a clear, distinctive,
7
Market segmentation
7
Micromarketing
7
Occasion
segmentation
7
Positioning
statement
7
Product position
7
Psychographic
segmentation
7
Standardized
marketing mix
7
Target market
7
Target marketing
7
Undifferentiated
and desirable place relative
to competing products in the
minds of target consumers.
Dividing a market into
distinct groups with distinct
needs, characteristics, or
behaviours who might require
separate products or
marketing mixes.
The practice of tailoring
products and marketing
programs to the needs and
wants of specific individuals
and local customer groups—
includes local marketing and
individual marketing.
Dividing the market into
groups according to occasions
when buyers get the idea to
buy, actually make their
purchase, or use the
purchased item.
A statement that summarizes
company or brand positioning—
it takes this form: To
(target segment and need) our
(brand) is (concept) that
(point-of-difference).
The way the product is
defined by consumers on
important attributes—the
place the product occupies in
consumers' minds relative to
competing products.
Dividing a market into
different groups based on
social class, lifestyle, or
personality characteristics.
An international marketing
strategy for using basically
the same product,
advertising, distribution
channels, and other elements
of the marketing mix in all
of the company's
international markets.
A set of buyers sharing
common needs or
characteristics that the
company decides to serve.
The process of evaluating
each market segment's
attractiveness and selecting
one or more segments to
enter.
A market-coverage strategy in
(mass) marketing
7
Value proposition
8
Brand equity
8
Brand extension
8
Brand
8
Co-branding
8
Consumer product
8
Convenience product
8
Industrial product
8
Interactive
marketing
8
Internal marketing
8
Line extension
which a firm decides to
ignore market segment
differences and go after the
whole market with one offer.
The full positioning of a
brand—the full mix of
benefits on which it is
positioned.
The usually positive but
sometimes negative
differential effect that
knowing the brand name has on
customer response to the
product.
Using a successful brand name
to launch a new or modified
product in a new category.
A name, term, sign, symbol,
or design, or a combination
of these intended to identify
the goods or services of one
seller or group of sellers
and to differentiate them
from those of competitors.
The practice of using the
established brand names of
two different companies on
the same product.
Product bought by individuals
for personal consumption.
Consumer product that the
individual usually buys
frequently, immediately, and
with a minimum of comparison
and buying effort.
Product bought by individuals
and organizations for further
processing or for use in
conducting a business.
Marketing by a service firm
that recognizes that
perceived service quality
depends heavily on the
quality of buyer–seller
interaction.
Marketing by a service firm
to train and effectively
motivate its customer-contact
employees and all the
supporting service people to
work as a team to provide
customer satisfaction.
Using a successful brand name
to introduce additional items
in a given product category
under the same brand name,
8
Packaging
8
8
Private (or store)
brand
Product adaptation
8
Product invention
8
Product line
8
Product mix (or
product assortment)
8
Product quality
8
Product
8
Service
inseparability
8
Service
intangibility
8
Service
perishability
8
Service variability
such as new flavours, forms,
colours, added ingredients,
or package sizes.
The activities of designing
and producing the container
or wrapper for a product.
A brand created and owned by
a reseller of a product.
Adapting a product to meet
local conditions or wants in
foreign markets.
Creating new products for
foreign markets.
A group of products that are
closely related because they
function in a similar manner,
are sold to the same customer
groups, are marketed through
the same types of outlets, or
fall within given price
ranges.
The set of all product lines
and items that a particular
seller offers for sale.
The ability of a product to
perform its functions; it
includes the product's
overall durability,
reliability, precision, ease
of operation and repair, and
other valued attributes.
Anything that can be offered
to a market for attention,
acquisition, use, or
consumption that might
satisfy a want or need.
A major characteristic of
services—they are produced
and consumed at the same time
and cannot be separated from
their providers, whether the
providers are people or
machines.
A major characteristic of
services—they cannot be seen,
tasted, felt, heard, or
smelled before they are
bought.
A major characteristic of
services—they cannot be
stored for later sale or use.
A major characteristic of
services—their quality may
vary greatly, depending on
who provides them and when,
where, and how.
8
Service-profit
chain
8
Service
8
Shopping product
8
Social marketing
8
Specialty product
8
Straight product
extension
8
Unsought product
9
Business analysis
9
Commercialization
9
Concept development
and testing
9
Decline stage
9
Fad
9
Fashion
The chain that links service
firm profits with employee
and customer satisfaction.
Any activity or benefit that
one party can offer to
another that is essentially
intangible and does not
result in the ownership of
anything.
Consumer product that people,
in the process of selection
and purchase,
characteristically compares
on bases such as suitability,
quality, price, and style.
The design, implementation,
and control of programs
seeking to increase the
acceptability of a social
idea, cause, or practice
among a target group.
Consumer product with unique
characteristics or brand
identification for which a
significant group of buyers
is willing to make a special
purchase effort.
Marketing a product in a
foreign market without any
change.
Consumer product that the
consumer either does not know
about or knows about but does
not normally think of buying.
A review of the sales, cost,
and profit projections for a
new product to determine
whether the company's
objectives will be met.
The full-scale introduction
of the new product into the
market.
Developing the new product
idea into various alternative
forms and testing the
concepts with a group of
potential customers.
The product life cycle stage
in which a product's sales
begin to decrease.
A fashion that enters
quickly, is adopted with
great zeal, peaks early, and
declines very quickly.
A currently accepted or
popular style in a given
9
Growth stage
9
Harvest (a product)
9
Idea generation
9
Idea screening
9
Introduction stage
9
Marketing strategy
development
9
Maturity stage
9
New product
development
9
Product concept
9
Product development
and testing
9
Product life cycle
(PLC)
9
Sequential product
development
9
Simultaneous
product development
9
Style
field.
The product life cycle stage
in which a product's sales
start climbing quickly.
To reduce various costs in
hopes that sales hold up.
The systematic search for new
product ideas.
Sorting through new product
ideas to identify good ideas,
and separate them from the
not-so-good ideas.
The product life cycle stage
in which the new product is
first launched into the
market.
Designing an initial
marketing strategy for a new
product based on the product
concept.
The stage in the product life
cycle in which sales growth
slows, then levels off.
The development of original
products, new brands, and
product improvements and
modifications, through the
firm's own research and
development (R&D) efforts.
A detailed version of the new
product idea that can be
shown to potential customers.
Developing the product
concept into a real working
version of the product and
subjecting it to a variety of
tests.
The lifespan of a new
product, from its development
to its eventual decline.
A new product development
approach in which one company
department works to complete
its stage of the process
before passing the new
product along to the next
department and stage.
A new product development
approach in which various
company departments work
closely together, overlapping
the steps in the productdevelopment process to save
time and increase
effectiveness.
A basic and distinctive mode
9
Test marketing
10
Allowance
10
Break-even pricing
10
Byproduct pricing
10
Captive-product
pricing
10
Competition-based
pricing
10
Cost-plus pricing
10
Demand curve
10
Discount
10
Dynamic pricing
10
Everyday low
pricing (EDLP)
10
Fixed costs
10
Loss leaders
10
Market-penetration
pricing
10
Market-skimming
of expression.
Testing the product and
marketing program in real,
but limited, market
conditions.
Promotional money paid by
manufacturers to retailers in
return for an agreement to
feature the manufacturer's
products in some way.
(target profit pricing)
Setting price to break even
on the costs of making and
marketing a product; or
setting price to make a
target profit.
Setting a price for
byproducts in order to make
the main product's price more
competitive.
Setting a price for products
that must be used along with
a main product, such as
blades for a razor and film
for a camera.
Setting prices based on the
prices that competitors
charge for similar products.
Adding a standard markup to
the cost of the product.
A curve that shows the number
of units the market will buy
in a given time period at
different prices that might
be charged.
A straight reduction in price
on purchases during a stated
period of time.
Charging different prices
depending on individual
customers and situations.
Charging a constant, everyday
low price with few or no
temporary discounts.
Costs that do not vary with
production or sales level.
Products priced below their
cost to attract customers to
the store in the hope that
they will buy other items at
normal markups.
Setting a low price for a new
product in order to attract a
large number of buyers and a
large market share.
Setting a high price for a
pricing
10
Optional-product
pricing
10
Predatory pricing
10
Price elasticity
10
Price
10
Product bundle
pricing
10
Product line
pricing
10
Promotional pricing
10
Psychological
pricing
10
Reference prices
10
Segmented pricing
10
Target costing
10
Total costs
new product to skim maximum
revenues layer by layer from
the segments willing to pay
the high price; the company
makes fewer but more
profitable sales.
The pricing of optional or
accessory products along with
a main product.
Selling a product at a loss
to drive competitors out of
the market.
A measure of the sensitivity
of demand to changes in
price.
The amount of money charged
for a product or service, or
the sum of the values that
buyers exchange for the
benefits of having or using
the product or service.
Combining several products
and offering the bundle at a
reduced price.
Setting the price steps
between various products in a
product line based on cost
differences between the
products, customer
evaluations of different
features, and competitors'
prices.
Temporarily pricing products
below the list price, and
sometimes even below cost, to
increase short-run sales.
A pricing approach that
considers the psychology of
prices and not simply the
economics; the price is used
to say something about the
product.
Prices that buyers carry in
their minds and refer to when
they look at a given product.
Selling a product or service
at two or more prices, where
the difference in prices is
not based on differences in
costs.
Pricing that starts with an
ideal selling price, then
targets costs that will
ensure the price is met.
The sum of the fixed and
variable costs for any given
10
Value pricing
10
Value-based pricing
10
Variable costs
11
Agent
11
Broker
11
Category killer
11
Chain stores
11
Channel Captain
11
Channel conflict
11
Channel level
11
Contract
manufacturing
11
Convenience store
level of production.
Offering just the right
combination of quality and
good service at a fair price.
Setting price based on
buyers' perceptions of value
rather than on the seller's
cost.
Costs that vary directly with
the level of production.
A wholesaler who represents
buyers or sellers on a
relatively permanent basis,
performs only a few
functions, and does not take
title to goods.
A wholesaler who does not
take title to goods and whose
function is to bring buyers
and sellers together and
assist in negotiation.
Giant specialty store that
carries a very deep
assortment of a particular
line and is staffed by
knowledgeable employees.
Two or more outlets that are
owned and controlled in
common, have central buying
and merchandising, and sell
similar lines of merchandise.
A leader, whether formally
chosen or rising to the role
by virtue of demonstrated
skills, who helps the channel
deal with conflict.
Disagreement among channel
members on goals and roles—
who should do what and for
what rewards.
A layer of intermediaries
that performs some work in
bringing the product and its
ownership closer to the final
buyer.
A joint venture in which a
company contracts with
manufacturers in a foreign
market to produce the
product.
A small store located near a
residential area that is open
long hours seven days a week
and carries a limited line of
high-turnover convenience
goods.
11
Conventional
distribution
channel
11
Department store
11
11
Direct distribution
channel
Direct investment
11
Discount store
11
Disintermediation
11
Distribution centre
11
Distribution
channel
11
Exclusive
distribution
11
Exporting
A channel consisting of one
or more independent
producers, wholesalers, and
retailers, each a separate
business seeking to maximize
its own profits even at the
expense of profits for the
system as a whole.
A retail organization that
carries a wide variety of
product lines—typically
clothing, home furnishings,
and household goods; each
line is operated as a
separate department managed
by specialist buyers or
merchandisers.
A marketing channel that has
no intermediary levels.
Entering a foreign market by
developing foreign-based
assembly or manufacturing
facilities.
A retail institution that
sells standard merchandise at
lower prices by accepting
lower margins and selling at
higher volume.
The displacement of
traditional resellers from a
distribution channel by
radical new types of
intermediaries or by product
and service producers going
directly to final buyers.
A large, highly automated
warehouse designed to receive
goods from various plants and
suppliers, take orders, fill
them efficiently, and deliver
goods to customers as quickly
as possible.
A set of interdependent
organizations involved in the
process of making a product
or service available for use
or consumption by the
consumer or business user.
Giving a limited number of
dealers the exclusive right
to distribute the company's
products in their
territories.
Entering a foreign market by
sending products and selling
them through international
11
Factory outlet
11
Franchise
11
Horizontal
marketing system
11
Hybrid marketing
system
11
Independent offprice retailer
11
Indirect
distribution
channel
Integrated supply
chain management
11
11
11
11
Intensive
distribution
Intermodal
transportation
Joint ownership
marketing intermediaries
(indirect exporting) or
through the company's own
department, branch, or sales
representatives or agents
(direct exporting).
Off-price retailing operation
that is owned and operated by
a manufacturer and that
normally carries the
manufacturer's surplus,
discontinued, or irregular
goods.
A contractual association
between a manufacturer,
wholesaler, or service
organization (a franchiser)
and independent
businesspeople (franchisees)
who buy the right to own and
operate one or more units in
the franchise system.
A channel arrangement in
which two or more companies
at one level join together to
follow a new marketing
opportunity.
Multichannel distribution
system in which a single firm
sets up two or more channels
to reach one or more customer
segments.
Off-price retailer that is
either owned and run by
entrepreneurs or is a
division of a larger retail
corporation.
Channel containing one or
more intermediary levels.
The logistics concept that
emphasizes teamwork, both
inside the company and among
all the channel
organizations, to maximize
the performance of the entire
distribution system.
Stocking the product in as
many outlets as possible.
Combining two or more modes
of transportation.
A joint venture in which a
company joins investors in a
foreign market to create a
local business in which the
company shares joint
11
Joint venturing
11
Licensing
11
Management
contracting
11
Manufacturers'
sales branches and
offices
11
Marketing logistics
(physical
distribution)
11
Merchandising
conglomerates
11
Merchant wholesaler
11
Off-price retailer
11
Retailer
cooperative
11
Retailer
11
Retailing
ownership and control.
Entering foreign markets by
joining with foreign
companies to produce or
market a product or service.
A method of entering a
foreign market in which the
company enters into an
agreement with a licensee in
the foreign market, offering
the right to use a
manufacturing process,
trademark, patent, trade
secret, or other item of
value for a fee or royalty.
A joint venture in which the
domestic firm supplies the
management expertise to a
foreign company that supplies
the capital; the domestic
firm exports management
services rather than
products.
Wholesaling by sellers or
buyers themselves rather than
through independent
wholesalers.
The tasks involved in
planning, implementing, and
controlling the physical flow
of materials, final goods,
and related information from
points of origin to points of
consumption to meet customer
requirements at a profit.
A free-form corporation that
combines several diversified
retailers under central
ownership.
Independently owned business
that takes title to the
merchandise it handles.
Retailer that buys at below
wholesale prices and sells at
less than retail. Examples
are factory outlets,
independents, and warehouse
clubs.
Independent retailers banded
together for central buying
and promotion.
A business whose sales come
primarily from retailing.
All activities involved in
selling goods and services
directly to consumers for
11
Selective
distribution
11
Service retailers
11
Specialty store
11
Supermarket
11
Superstore
11
Supply chain
management
11
Supply chain
11
Third-party
logistics (3PL)
provider
11
Vertical marketing
system (VMS)
11
Voluntary chain
11
Warehouse club
their personal, non-business
use.
The use of more than one, but
fewer than all, of the
intermediaries who are
willing to carry the
company's products.
Retailers that sell services
rather than goods.
A retail store that carries a
narrow product line with a
deep assortment within that
line.
Large, low-cost, low-margin,
high-volume, self-service
store that carries a wide
variety of food, laundry, and
household products.
A store much larger than a
regular supermarket that
carries a large assortment of
routinely purchased food and
nonfood items and offers
services such as dry
cleaning, post offices, photo
finishing, cheque cashing,
bill paying, lunch counters,
car care, and pet care.
Managing value-added flows of
materials, final goods, and
related information between
suppliers, the company,
resellers, and final users.
A collection of organizations
that in a collaborative
manner handles production,
marketing, and logistics for
a product.
An independent logistics
provider that performs any or
all of the functions required
to get its clients' product
to market.
A distribution channel
structure in which producers,
wholesalers, and retailers
act as a unified system. One
channel member owns the
others, has contracts with
them, or has so much power
that they all cooperate.
A wholesale-sponsored group
of independent retailers that
engages in group buying and
common merchandising.
Off-price retailer that sells
11
Whole-channel view
11
Wholesaler
11
Wholesaling
12
Advertising
objective
12
Advertising
12
Affordable method
12
Catalogue marketing
12
Competitive parity
method
Customer sales
force structure
12
12
Database
12
Direct mail
12
Direct response
marketing
a limited selection of brandname grocery items,
appliances, clothing, and a
hodgepodge of other goods at
deep discounts to members who
pay annual membership fees.
Designing international
channels that take into
account all the necessary
links in distributing the
seller's products to final
buyers, including the
seller's headquarters
organization, channels
between nations, and channels
within nations.
A firm engaged primarily in
wholesaling activity.
All activities involved in
selling goods and services to
those buying for resale or
business use.
A specific communication task
to be accomplished with a
specific target audience
during a specific time.
Any paid form of non-personal
presentation and promotion of
ideas, goods, or services by
an identified sponsor.
Setting the budget at the
level management thinks the
company can afford.
Direct marketing through
print, video, or electronic
catalogues that are mailed to
select customers, made
available in stores, or
presented online.
Setting the budget to match
competitors' outlays.
A sales force organization
under which salespeople
specialize in selling only to
certain types of customers.
A collection of data about
existing or prospective
customers, organized into
records.
Sending an offer,
announcement, reminder, or
other item to an individual
or a company at a particular
address.
Direct communications with
carefully targeted customers
12
Direct-response
television
marketing
12
Inside sales force
12
Integrated
marketing
communications
(IMC)
12
Marketing
communications mix
(promotion mix)
12
Objective-and-task
method
12
Outside sales force
12
Percentage-of-sales
method
12
Personal selling
process
12
Personal selling
12
Product sales force
to obtain an immediate
response.
Television spots that
persuasively describe a
product and give customers a
toll-free number for
ordering.
Salespeople who conduct
business from their offices,
usually via telephone and
email, and rarely meet in
person with customers.
The approach under which a
company carefully integrates
and coordinates its many
communications channels to
deliver a clear, consistent,
and compelling message about
the organization and its
products.
The specific blend of
advertising, sales promotion,
public relations, personal
selling, and direct marketing
tools a company uses to
pursue its advertising and
marketing objectives.
Setting the budget by (1)
defining specific objectives,
(2) determining the tasks
that must be performed to
achieve these objectives, and
(3) estimating the costs of
performing these tasks.
Salespeople who work “in the
field” and visit customers.
Setting the budget at a
certain percentage of current
or forecast sales or as a
percentage of the unit sales
price.
Several steps that the
salesperson follows when
selling, including
prospecting and qualifying,
preapproach, approach,
presentation and
demonstration, handling
objections, closing, and
follow-up.
Personal presentation by the
firm's sales representatives
for the purpose of making
sales and building customer
relationships.
A sales force organization
structure
12
Public relations
12
Pull strategy
12
Push strategy
12
Relationship
marketing
12
Sales promotion
12
Telemarketing
12
Territorial sales
force structure
13
Banner ads
13
Blog
13
Business-tobusiness (B2B) ecommerce
Business-toconsumer (B2C) e-
13
under which each salesperson
specializes in selling only a
portion of the company's
products or lines.
Building good relations with
the company's various publics
by obtaining favourable
publicity, building a good
corporate image, and handling
or heading off unfavourable
rumours, stories, and events.
A promotion strategy that
calls for using advertising
and consumer promotion to
build consumer demand.
A promotion strategy that
calls for using the sales
force and trade promotion to
push the product through
channels.
The process of creating,
maintaining, and enhancing
strong, value-laden
relationships with customers
and other stakeholders.
Short-term incentives
designed to encourage the
purchase of a product or
service.
Using the telephone to sell
directly to consumers or
businesses.
A sales force organization
under which each salesperson
is assigned to an exclusive
geographic area and sells the
company's full line of
products or services to all
customers in that territory.
Graphic online ads that are
rectangular or square in
shape, can be of any size,
and may be placed anywhere on
the publisher's webpage.
A website that consists of
regular date-stamped
compositions written by an
individual or a group of
individuals and published
online for the public to
read.
Electronic transactions that
take place between
businesses.
Electronic transactions that
take place between businesses
13
commerce
Consumer-toconsumer (C2C) ecommerce
E-business
13
E-commerce
13
Internet marketing
13
Interstitial
13
Media kit
13
Microsite
13
Permission
marketing
13
Podcasting
13
portal website
13
Rate card
13
search engine
13
Spam
13
Sponsorships
13
and consumers.
Electronic transactions
taking place online between
consumers.
Any business activity carried
out using electronic
technology.
Buying and selling processes
supported by electronic
means, primarily the
Internet.
Company efforts to
communicate about, promote,
and sell products and
services over the Internet.
A large, animated online
advertisement that pops up
onto the screen for several
seconds.
A set of documents describing
the advantages of advertising
on a particular website, the
number of site visitors and
registered users, and the
demographic, geographic, and
psychographic characteristics
of the site's audience.
A small website consisting of
a few pages of detailed
information about the
marketer's goods or services.
Email messages sent by
marketers with the permission
of the recipient.
Sending information to a
consumer's iPod or other
portable entertainment
device.
A large, comprehensive,
general interest, public
website.
The price list for
advertising on a particular
website.
A free, public website that
allows users to search for
information available
anywhere on the Web simply by
typing keywords into a field
and clicking a button to
execute the search.
Email sent by unscrupulous
individuals and organizations
to a computer-generated list
of email addresses.
A form of Internet promotion
13
Text links
13
Viral marketing
13
Web publisher
where companies gain name
exposure on the Internet by
sponsoring special content on
a website.
A form of online advertising
where an advertiser purchases
words or phrases, called
keywords, and pays the search
engine company to have its ad
displayed whenever a visitor
to the site searches for that
keyword.
The Internet version of wordof-mouth marketing—email
messages or other marketing
events that are so infectious
that customers will want to
pass them along to friends.
A website that generates
revenue by selling
advertising space to
advertisers.