Important Marketing Terms for SBI Exam


There are some important glossary terms used  by  marketers,  usually  at  the  management  level,  when  preparing  marketing plans and pitching for business. Some of these are explained here..
Anti-competitive practice: A practice is considered anti-competitive if it prevents, distorts or restricts competition in a market for goods and services in Barbados.
Anti-dumping: Anti dumping is a measure to rectify the situation arising out of the dumping of goods and its trade distortive effect.  Thus,  the  purpose  of  anti  dumping  duty is  to  rectify  the trade  distortive effect  of dumping  and  re-establish  fair  trade.  The  use  of  anti  dumping  measure  as  an  instrument  of  fair competition  is  permitted  by  the  WTO.  In  fact,  anti  dumping  is  an  instrument  for  ensuring  fair trade  and  is  not  a  measure  of  protection  for  the  domestic  industry.  It  provides  relief  to  the domestic  industry  against  the  injury  caused  by  dumping.  Anti  dumping  measures  do  not  provide protection  per  se  to  the  domestic  industry.  It only serves the purpose of providing remedy to the domestic industry against the injury caused by the unfair trade practice of dumping.
Advertising: Advertising is a form of communication that typically attempts to persuade potential customers to purchase or to consume more of a particular brand of product or service. Many advertisements are designed  to  generate  increased  consumption  of  those  products  and   services  through  the  creation and  reinforcement  of  "brand  image"  and  "brand  loyalty".  For these purposes, advertisements sometimes embed their persuasive message with factual information.
Barter: A Trade Exchange or  Barter is a  type of trade in which  goods or  services  are directly exchanged for other  goods  and/or  services,  without  the  use  of  money.  It  can  be  bilateral  or  multilateral,  and usually  exists  parallel  to  monetary systems  in  most  developed  countries,  though  to  a  very limited extent. Barter usually replaces money as the method of exchange in times of monetary crisis, when the currency is unstable and devalued by hyperinflation.
Branding: It is a promise, a pledge of quality. It is the essence of a product, including why it is great, and how it is better than all competition products. It is an image.  It is a combination of words and letters, symbols, and colors.
Conglomerate: A conglomerate is the term used to describe a large company that consists of seemingly unrelated business sections. This term may also be referred to as a multi-industry company.
Circulation: The total number of copies distributed by a newspaper or magazine.
Classifieds: An advertisement in a newspaper that is placed along with advertisements for similar events under a classified heading, e.g. 'Entertainment' or 'Cinema'.
Concept: A design in which all aspects of the product are linked to a central idea, function or theory, etc.
Copy: Written or typed matter intended to be reproduced in print.
Copyright: The  exclusive  right,  granted  by  law  for  a  certain  term  of  years,  to  make  and  dispose  of  copies  of, and otherwise to control, a literary, musical, dramatic, or artistic work.
Critical Path: Plots the events that need to occur to complete a project on a timeline.
CRM: Customer Relationship Marketing. Building loyalty through your relationship with a customer.
Database: A  large  volume  of  information  stored  in  a  computer  and  organised  in  categories  to  facilitate retrieval.
Direct Mail: Mailing brochures, letters, questionnaires etc. directly to the target market.
Direct Marketing: Marketing to the customer without the use of an intermediary.
Types of Direct marketing:
There are many types of direct marketing, only some important types are listed below and these are the most form of direct marketing.
i)Direct Mail Marketing: Advertising material sent directly to home and business addresses. This is the most common form of direct marketing.
ii)Telemarketing: It is the second most common form of direct marketing, in which marketers contact consumers by phone.
ii)Email Marketing: This type of marketing targets customers through their email accounts
Display Ad: An advertisement which is usually designed by the advertiser and displayed in a box.
Direct Response: In advertising. Advertising  designed  to  trigger  a  behavioural  response  in  target  audiences,  e.g. placing mail back coupons in the ad, asking people to bring in or mention an ad, setting up a phone number and asking individuals to call for further information etc.
Digital Marketing: Digital Marketing is the practice of promoting products and services using all forms of digital advertising. It includes Television, Radio, Internet, mobile and any other form of digital media.
Distress Rates: Cheaper rates for advertising at short notice, i.e.  When newspapers have spaces to fill shortly before their deadlines.
Distribution: To place promotional material, e.g. fliers or posters, throughout areas where they will be picked up.
Drip Marketing: Method of sending promotional items to clients is called Drip marketing.
Dumping: If a company exports a product at a price (export  price) lower than the price it normally charges on its own home market (normal value), it is said to be 'dumping' the product. Dumping can harm the domestic  industry  by  reducing its  sales volume  and  market  shares,  as  well  as  its sales  prices. This in  turn  can  result  in  decline  in  profitability,  job  losses  and,  in  the  worst  case,  in  the  domestic industry going  out  of  business.  Often,  dumping  is  mistaken  and  simplified  to  mean  cheap  or  low priced  imports.  However, it is a misunderstanding of the term. On the other hand, dumping, in its legal sense, means export of goods by a country to another country at a price lower than its normal value.  Thus, dumping implies low priced imports only in the relative sense (relative to the normal value), and not in absolute sense.
Freepost: Used to encourage a response by mail. The sender does not pay to return an item by post e.g. a questionnaire.
Guerilla Marketing: Unconventional marketing intended to get maximum results from minimal resources is nothing but Guerilla Marketing.
JIT: Just-in-time (JIT) is an inventory strategy implemented to improve the return on investment of a business by reducing in-process inventory and its associated carrying costs. In order to achieve JIT the process must have signals of what is going on elsewhere within the process.
Incentive: Something  of  financial  or  symbolic  value  added  to  an  offer  to  encourage  some  overt  behavioural response.
Indirect Marketing: Indirect Marketing is the distribution of a particular product through a channel that includes one or more resellers.
Difference b/w Direct and Indirect Marketing:
·         Direct marketing is basically advertising your own products or services.
·         In the same way you might advertise for someone else is called Indirect marketing, is an increasingly popular way of doing business
Internet Marketing: Internet marketing is the marketing of products or services over the Internet.
Internet Marketing is also known as i-marketing, web-marketing, online-marketing, Search Engine Marketing (SEM) or e-Marketing
Key Selling Points: The components of a program or event that will appeal to the greatest number of people.
Loyalty Programs: A component of relationship marketing. Programs designed to increase the strength of a consumer's preference for a particular entity. The most common form of loyalty program in the arts is subscription or membership programs.
Marketing: The  process  of  planning  and  executing  the  conception,  pricing,  promotion,  and  distribution  of ideas,  goods,  services,  and  people  to  create  exchanges  that  will  satisfy  individual  and organizational goals.
Marketing Mix: The  blend  of  product,  place,  promotion,  and  pricing  strategies  designed  to  produce  satisfying exchanges with a target market.
Market Research: The  process  of  planning,  collecting,  and  analyzing  data  relevant  to  marketing  decision-making. Using a combination of primary and secondary research tools to better understand a situation.
Marketing Strategy: The first stage is setting  marketing objectives (where the organisation wants to be at the end of the strategic  planning  period)  and  goals  (the  objectives  with  specific  numerical  benchmarks  and deadlines attached to allow  management  to  measure achievement). The  second stage  is specifying the core  marketing  strategy,  i.e. specific target markets,  competitive  positioning and  key  elements of the marketing mix. The third is the implementation of tactics to achieve the core strategy.
Mergers and Acquisitions: The phrase  mergers and acquisitions (abbreviated  M&A) refers to the aspect of corporate strategy, corporate  finance  and  management  dealing  with  the  buying,  selling  and  combining  of  different companies  that  can  aid,  finance,  or  help  a  growing  company  in  a  given  industry  grow  rapidly without  having  to  create  another  business  entity.  A  merger  is  a  tool  used  by  companies  for  the purpose  of  expanding  their  operations  often  aiming at an  increase of their long  term  profitability. An acquisition, also known as a takeover, is the buying of one company (the ‘target’) by another.
Media Hooks: Aspects of an event or program that are most likely to appeal to a journalist or the media generally.
Media Monitoring: Systematic monitoring of the media in order to ascertain what has been said.  Specialised agencies provide this service.
Offer: A  proposal  by  a  marketer  to  make  available  to  a  target  customer  a  desirable  set  of  positive consequences if the customer undertakes the required action.
Pitch: A proposal - either verbal or written - to enlist the engagement or support of a third party.
Psychographics: Life-style measures which   combine psychological and demographic measurements based on consumers' activities, aspirations, values, interests or opinions.
Publicity: Definitions vary but in Sauce the term is used to describe obtaining media coverage.
Personal Selling: Persuasive communication between a representative of the company and one or more prospective customers, designed to influence the person's or group's purchase decision.
Qualitative Research: Research  that  seeks  out  people's  attitudes  and  preferences,  usually  conducted  through unstructured interviews or focus groups.
Quantitative Research: Research  that  measures  (quantifies)  responses  to  a  structured  questionnaire,  conducted  either through  telephone,  face-to-face  structured  interviews,  on  the  Internet  or  through  self  completion surveys.
Quickcuts: The brand name of technology which enables design companies or advertising agencies to transmit advertisements directly to the publication over a telephone line.
Reach: The total number of people your organisation or campaign reaches.
Relationship marketing: Marketing  with  a  focus  on  building  long-term  relationships  where  the  target  customer  is encouraged to continue his or her involvement with the marketer.
Strategic Marketing Planning: The  process  of  managerial  and  operational  activities  required  to  create  and  sustain  effective  and efficient  marketing  strategies,  including  identifying  and  evaluating  opportunities,  analyzing markets  and  selecting  target  markets,  developing  a  positioning  strategy,  preparing  and  executing the market plan, and controlling and evaluating results.
Situational Analysis:  An analysis of the internal and external environment of a company or event.
SWOT Analysis: Identifying the strengths and weaknesses, which are internal to the organisation or project and the opportunities and threats, which come from outside the organisation.
Social Media Marketing: Social media marketing is marketing using online communities, social networks, blog marketing and more
Talent: The  person  or  people  you  put  forward  to  the  media  as  possible  subjects  for  an  interview,  a  game show, a picture or footage, etc.
Target Audience: The  section  of  the population  that  is  identified  as  likely  to  be  most  interested  in  buying  or  being associated with a product.
Target media: The media you decide to target for coverage because they reach your target audience.
Targeting: The act of directing promotions to the target audience.
TARPS: Target  audience  rating points --  that  is,  the  number  of people  or  percentage  of  people  reached  in your target audience
Unique Selling Proposition (USP): The one thing that  makes  a  product different  than any  other.  It's  the  one  reason  marketers  think consumers will buy the product even though it may seem no different from many others just like it.
Viral Marketing: Marketing by the word of the mouth, having a high pass-rate from person to person is called Viral marketing.  Creating a 'buzz' in the industry is an example of viral marketing