MKT 305 1st Edition Exam 4 Study GuideChapters 11 13 15 Chapter 11 Price The money or other considerations including other products and services exchanged for the ownership or use of a product service Value Perceived benefit Price Demand oriented Pricing Approaches Skimming Penetration Prestige Odd even Target Yield Management Cost oriented Pricing Approaches Standard Mark up Cost plus Target Profit Target Return on Sales Target Return on Investment Competition oriented Pricing Approaches Customary Pricing Above At or Below Marketing Pricing Loss Leader Chapter 13 Retailing Includes all activities involved in selling renting and providing products and services to ultimate consumers for personal family or household use Forms of Ownership Independent Retailer most common Corporate Chain Contractual Systems Wholesaler sponsored voluntary chains Business format franchises Product format franchises Level of Service Self service gas station Limited service grocery store Full service restaurant Depth vs Breadth of a Line Depth Narrow amount of products but huge selection Breadth Many product types but little selection Wheel of Retailing 1 2 3 4 Outlet starts with low prices low margins low status Outlet now has higher prices higher margins higher status Outlet now has still higher prices still higher margins still higher status New form of outlet enters retailing environment with characteristics of outlet in step 1 Retail Life Cycle Introduction Growth Maturity Decline Chapter 14 Promotional Mix Made up of promotional elements advertising personal selling sales promotion public relations direct marketing Communication Process Source Encode Channel of Communication Message Noise Decode Receiver Feedback Loop response feedback Promotional Objectives To inform To persuade To remind To phase out overlap in the real world Promotion Decision Process Planning developing the promotion program pretest Implementation executing the promotion program Evaluation assessing the promotion program Specifying Promotion Objectives Awareness Interest Evaluation Trial Adoption Chapter 15 Product Advertisements Pioneering new product Competitive comparative Reminder remind Institutional Advertisements Advocacy sad dog commercial Pioneering for organization not its products Competitive Eat more vegetables Reminder Spend time with your kids Developing the Advertising Program Identifying the target audience Specifying advertising objectives Setting the advertising budget Designing the advertising Selecting the right media Different Media Alternatives TV radio magazines newspapers yellow pages internet outdoor direct mail Scheduling the Advertising Continuous steady Schedule When seasonal factors are unimportant advertising is run at a continuous or steady schedule throughout the year Flighting intermittent Schedule Periods of advertising are scheduled between periods of no advertising to reflect seasonal demand Pulse burst Schedule A flighting schedule is combined with a continuous schedule because of increases in demand heavy periods of promotion or the introduction of a new product Publicity Tools News release Announcement regarding changes in the company or the product line New Conference Used when new products are introduced or significant changes in corporate structure and leadership are being made Public service Announcement What when where why Free space or time donated by the media