MKT 300 1nd Edition Lecture 20 Outline of Last Lecture XXXV. Chapter 9 Terms (part 2)XXXVI. Chapter 9 Concepts to Apply (part 2)Outline of Current Lecture XXXVII. Chapter 13 Terms XXXVIII. Chapter 13 Concepts to Apply Current LectureXXXVII. Chapter 13 Terms - Promotion: communicating information between seller and potential buyer or others in the channel to influence attitudes and behavior- Mass Selling: communicating with large numbers of potential customers at the same time- Advertising: any paid form of non-personal presentation of ideas, goods, or services by an identified sponsor.- Publicity: Any unpaid form of non-personal presentation of ideas, goods, services- Sales Promotion: those promotion activites—other than advertising, publicity, and personal selling---that stimulate interest, trial, or purchase by final customers or others in the channel- Public Relations: communication with noncustomers – including labor, public interest groups, stockholders, and the government.- Integrated Marketing Communications: the intentional coordination of every communication from a firm to a target customer to convey a consisten and complete message- AIDA Model: consists of four promotion jobs: (1) to get Attention, (2) to hold Interest, (3) to arouse Desire, and (4) to obtain Action. - Communication Process: a source trying to reach a receiver with a message- Source: the sender of the message- Receiver: the target of a message in the communication process, usually a potential customer- Noise: any distraction that reduces the effectiveness of the communication processThese notes represent a detailed interpretation of the professor’s lecture. GradeBuddy is best used as a supplement to your own notes, not as a substitute.- Encoding: the source in the communication process deciding hat it wants to say and translating it into words or symbols that will have the same meaning to the receiver- Decoding: the receiver in the communication process translating the message- Message Channel: the carrier of the message- Pushing: using normal promotion effort—personal selling, advertising, and sales promotion—to help sell the whole marketing mix to possible channel members.- Pulling: using promotion to get consumers to ask intermediaries for the product.- Adoption Curve: shows when different groups accept ideas.- Task Method: an approach to developing a budget—basing the budget on the job to be done- Sales Method:XXXVIII. Chapter 13 Concepts to Apply 1. What is the purpose of sales promotion vs. advertising? What key advantage does sales promotion have over traditional advertising?2. What does IMC involve? Why both with IMC? Who are the different audiences for communication integration?a. Integrated Marketing Communications: b. Three Challenges to Achieve IMC:i. Staying on message/keeping focused with inundated w/ new media and promotion tactics daily. ii. Maintaining consistent messages internally.iii. Maintaining consistent messages to consumer across all media. 3. What are three (or 6) basic promotion objectives?a. Old: Inform, Persuade, Remind,b. Now: empower, demonstrate, and involve. 4. What is a common frame of reference important to effective communication? Give an example of when not having a common frame of message can lead to consumer misunderstanding. a. Encoder: I want to use the words that are relevant to my target. Show images that are relevant to my target so theyb. Decoder: hear the correct messagec. The more overlap there is with what I’m sending and what they’re hearing, more likely message will get throughd. Important to keep it simple and direct, and pay attention to how you shape that message5. What constitutes noise? What does it affect promotion messages?a. Anything that interferes with the message being sent. (i.e. “squirrel!” from Up.)6. What is the difference between a push and a pull strategy? Why would you use them together?a. Push: aimed at the channel. Push through channel. Probably setting up promotions to excite retailers to display your product. Fill the pipeline. Get the wholesaler and retailer to stock, carry, and display your productb. Pull: consumers pull products through channel. Get the consumer to ask for the product by namec. Typically you do both: first push through pipeline. Then want consumer to pull it.i. Smucker’s. PUSH new brand to grocery stores. Then get consumers to PULL all three brands by giving them coupons. 7. What is the most common budgeting method and what is most preferred why? How do companies resolve this difference?a. Most Common: Percentage of Sales (easiest. Marketing budget based on sales fornext year or previous years.b. Most preferred: Task Method. Marketing comes before Selling!8. Give an example of a promotion that fits the brand image and experience. Give an example of one that does not. a. Promotion that fits: infomercial demonstrating useb. Does not fit: Geico funny