Marketing Channels and Value Networks / The Role of Marketing Channels
The Zero-level-channel is also called?
Direct Marketing Channel
Give one type of intermediaries.
Retailers / Wholesalers / Agents / Brokers
This channel conflict occurs between channel members at the same level, what is it?
Horizontal Channel conflict
What are the two types of Sales Promotion?
Push Promotion and Pull Promotion
TRUE or FALSE:
Is it important to identify your target audience?
True
Gather information about potential and current customers, competitors, and other actors and forces in the marketing environment.
Channel Member Function
It refers to those decisions involving the development of new marketing channels where none had existed before or to modification of existing channels.
Channel Design Decision
These are the companies that have launched a Web site without any previous existence as a firm.
Pure-Click Companies
Is used to assess the thinking and feeling patterns of consumers which act as the basis of strategizing marketing communication.
Foote, Cone, and Belding Model
What brand is responsible for making playstation?
Sony
What are the 3 Channel Functions and Flows
1. Forward Flow -goods and services
2. Backward Flow - Payment for goods/rentals
3. Both Ways - Information
Choose 1 channel power and explain.
- Coercive power. A manufacturer threatens to withdraw a resource or terminate a relationship if intermediaries fail to cooperate. This power can be effective, but its exercise produces resentment and can lead the intermediaries to organize countervailing power.
• Reward power. The manufacturer offers intermediaries an extra benefit for performing specific acts or functions. Reward power typically produces better results than coercive power, but intermediaries may come to expect a reward every time the manufacturer wants a certain behavior to occur.
• Legitimate power. The manufacturer requests a behavior that is warranted under the contract. As long as the intermediaries view the manufacturer as a legitimate leader, legitimate power works.
• Expert power. The manufacturer has special knowledge the intermediaries value. Once the intermediaries acquire this expertise, however, expert power weakens. The manufacturer must continue to develop new expertise so intermediaries will want to continue cooperating.
• Referent power. The manufacturer is so highly respected that intermediaries are proud to be associated with it. Companies such as IBM, Caterpillar, and Hewlett-Packard have high referent power.
Give TWO (2) causes of channel conflict
Goal incompatibility
Unclear roles and and rights
Differences in Perception
Intermediaries' dependence on the manufacturer
It is a special form of online marketing that places communications on consumer’s cell phones, smart phones, or tablets.
Mobile Marketing
3 Factors in Setting Marketing Communication Mix
Type of Product Market
Consumer Readiness to make a Purchase
Stage in Product Life Cycle
Enumerate the 3 types of Intermediaries and give at least 1 example each type.
1. Merchants
-Wholesalers and retailers
2. Agents
-Brokers, manufacturers’ representatives, sales agents
3. Facilitators
Transportation companies, independent warehouses, banks, advertising agencies
A channel management decisions wherein the company needs to view their intermediaries as if they are their end users. It should determine their needs and wants and tailor its channel offering to provide them with superior value.
Training and Motivating Channel Members
The idea of ___________ is to target customers with a mobile promotion when they are within a defined geographical space, typically near or in a store.
Geofencing
Give the 4 quadrants of the Foote, Cone, and Belding Model.
1. High Thinking and High Involvement
2. High Feeling and High Involvement
3. Low Thinking and Low Involvement
4. Low Feeling and Low Involvement
Explain why identifying target audience is important.
Knowing your target audience and how to reach them is arguably one of the most important steps to creating a small business strategy. Research must be carried out to uncover the needs and motivations of your audience and what factors influence their buying behaviour.
2 types of marketing channels strategy and explain.
Push and Pull strategy
A vertical marketing system (VMS), by contrast, includes the producer, wholesaler(s), and retailer(s) acting as a unified system.
Horizontal Marketing Systems
Another channel development is the horizontal marketing system, in which two or more unrelated companies put together resources or programs to exploit an emerging marketing opportunity
What is the difference between "M-commerce" and "E-commerce?
E-Commerce, or Electronic Commerce, refers to the activities of buying and selling products and services with the use of electronic systems such as the internet.
M-Commerce, or Mobile Commerce, refers to the process of buying and selling products and services with the use of internet/cellular data via wireless handheld devices.
What are the 8 major modes of communication in marketing communications mix according to Kotler and Keller. Give one example each.
1. Advertising - print media (newspapers and magazines), broadcast media (radio and television), network media (telephone, cable, satellite, wireless), electronic media (audiotape, videotape, videodisk, CD-ROM, Web page), and display media (billboards, signs, posters).
2. Sales promotion - consumer promotions (such as samples, coupons, and premiums), trade promotions (such as advertising and display allowances), and business and sales force promotions (contests for sales reps).
3. Events and experiences - User Conference, Event Roadshow, Experiential Activation, Networking Event, Publisher Conference, Virtual Event, Seminar, Trade Show
4. Public relations and publicity - media relations, analyst relations, events, sponsorships, award programs
5. Online and social media marketing - own websites, facebook, twt, instagram accounts
6. Mobile marketing - mobile apps, ads in mobile games, yt ads
7. Direct and database marketing - mail order (catalogue selling, mailing), telecalling, teleshopping, factory showrooms/outlets 8. Personal selling - door to door, street vending, roadside stalls
Communication tools vary in cost-effectiveness at different stage of buyer's readiness. Explain or elaborate the marketing communication mix use in each stages.
Advertising and publicity play the most important roles in the awareness-building stage. Customer comprehension is primarily affected by advertising and personal selling. Customer conviction is influenced mostly by personal selling. Personal selling and sales promotion are most helpful in closing the sale. Reordering is also affected mostly by personal selling and sales promotion and somewhat by reminder advertising.