Home > Insight > Business Development > Glossaries > General Marketing Glossary

  

A 
    Advertising - a paid form of promotion of a good or service typically found in print, online, on television, on the radio, in theatres, on billboards, on the side or top of vehicles and buildings
Attitude - people's feelings, assessment and tendencies towards acting, speaking or feeling a certain way
B
Belief - a thought held by an individual about something
Benchmarking - comparing a company's products or services against the industry leader's products or services in order to improve benefits, features and/or value
Brand - an identification of an entity through one or a combination of a name, design, term, sign, symbol, and theme in order to differentiate it from other similar entities
Brand equity - the value of a brand based on its assets, awareness, quality and customer/client/constituent loyalty
Brand extension - developing a new or modified product in a new category based on the success of a current brand
    Break-even pricing - a pricing strategy to price products or services based on generating revenue that will cover the cost of manufacturing and selling the product or service  
    Business analysis - the review of a company's sales, expenses and profit to measure them against projections and their satisfaction of business objectives  
    Business to Business (B2B) - the segment of the business world that sells products or services to other businesses  
Buyer behavior - see consumer buying behavior
    Buyer-readiness - the stage where a consumer is in the buying process, either awareness, knowledge, liking, preference, conviction or purchase  
    Buzzword - a trendy word or phrase that is used to characterize the latest innovative tool, tactic or strategy  
C
    Catalog marketing - an avenue for direct marketing where goods or services are sold through electronic catalogs (websites), print catalogs, or video catalogs  
    Cause-marketing - a mutual benefit marketing tool in which for profit and non-profit businesses form a partnership to promote the businesses' product or service within the non-profit association  
Channel - see distribution channel
    Closing - a later stage of the sales process whereby the salesperson asks the consumer to take some type of action, typically a purchase  
    Co-branding - the use of two brand names on the same product or service to leverage more brand equity in order to sell more of the product or service  
Collateral - see marketing collateral
Commercialization - the introduction of a product or service into the market
Competition-based pricing - a pricing strategy to set prices for a product or service based on the competitors pricing
    Competitive advantage - domination over competitors gained by providing consumers with greater value  
    Competitive analysis - the process of identifying a business's main competitors, analyzing their products and services against yours and bettering your products and services based on the resulting information  
  Concept testing - the process of placing new product concepts in front of potential consumers to gather feedback about the product's appeal  
    Consumer buying behavior - the results of the study of why and how consumers purchase goods and services  
Consumer market - the total population of consumers who buy goods and services
    Contests - a promotional method which provides consumers the chance to win cash, goods, trips or something else of value in relation to the contest sponsor's product or service  
Cost of goods sold - the net total expenses related to the production and marketing of a product or service
    Cost-plus pricing - a pricing strategy in which the cost of a product or service is set based on a standard mark-up percentage (an amount beyond the cost of manufacturing and marketing the product)  
    Coupon - a promotional tool that provides a consumer with a certificate that they can submit in order to receive a discounted price when purchasing a product or service  
  CPM - stands for cost per thousand ("M" representing the Roman numeral for one thousand), the cost an advertiser pays per one thousand impressions  
    CRM - stands for customer relationship management, the process a company employs, including software use, employee training and organizational procedure, to manage its relationships with existing customers and in some cases, prospective customers, also see stewardship for the non-profit equivalent  
Culture - a set of values, behaviors, and perceptions common to a particular community
Customer acquisition cost - the cost associated with acquiring one new customer
Customer database - see database
    Customer delivered value - the customer's assessment of a product or service's capacity to satisfy wants and needs; the customer's perceived difference between the value of a product and its cost  
    Customer lifetime value - the total revenues a consumer spends on a product or service over time that exceeds the cost of manufacturing and marketing the product or service to that consumer  
    Customer satisfaction - the level of contentment or discontentment that a consumer perceives about a product or service's performance  
D
    Database - a collection of categorized data that provides information about the geography, demography, psychography and/or behavior of consumer individuals or entities  
    Decision-makers - the individuals in an organization who have authority to approve or deny a purchase  
Decline stage - the period in the product life-cycle in which the sales of a product decrease
Demand - the wants or needs of individual or groups of consumers who have buying power
    Demographics - factors that categorize a market such as age, family size, gender, income level, family life cycle, education level, occupation, nationality, religion or race  
    Direct mail - a direct marketing tool in which documents such as letters, flyers, or postcards, are sent through the postal mail system to a list of potential or existing customers  
    Direct marketing - a marketing technique in which communications are distributed to target markets to prompt an immediate action, usually the purchase of goods or services  
  Discount - a promotional tool that decreases the purchase price of a good or service, based on a percentage or flat amount, for a set period of time  
    Distribution channel - the group of organizations working together with a company to assist in the process of manufacturing the goods or services  
    Diversification - a business growth strategy whereby a company becomes involved in an industry or segment of an industry not associated with its current product line or services  
E
E-commerce - stands for electronic commerce, the buying and selling of goods and services online
Exchange - the act of obtaining goods and services in return for other goods and services rather than for money, also called barter
F
Fad - a cultural aspect such as clothing style, toys, or language, that becomes popular, is adopted, peaks and declines quickly
Fashion - a currently accepted or popular style related to a cultural aspect such as manners or in a given field such as apparel, accessories
Fee - the amount of money charged for the purchase of a service or product, also called rate; often termed price when referring to the fee for a product, also see price
Fixed cost - the expenses associated with offering a product or service that do not vary according to the level of production or sales
FOB-origin pricing - a pricing strategy in which goods are placed "free on board" a carrier and following, freight costs are incorporated into the retail price to recover the expense
Focus group - a market research tool in which a moderator demonstrates aspects of a product or service and asks questions of a small group of participants to gain insight into a new or modified product, i.e. the focusing of a group of participants on a product or service
Follow-up - either the last stage in the sales process whereby the salesperson contacts the customer to ensure satisfaction with the purchase or the stage in the sales process whereby the salesperson contacts a prospective customer after their initial interest has been demonstrated to stimulate the purchase
G
Games - a promotional method which provides consumers the chance to win cash, goods, trips or something else of value in relation to the game sponsor's product or service
Gatekeeper - individuals in an organization who control the flow of information and are a link at some level in the chain to the decision-makers
Geographics - units which differentiate a community or market by geographic area or region such as country, state, county, city or neighborhood
Growth stage - the stage in the product life-cycle in which product sales increase quickly
Guerilla marketing - an unconventional marketing technique intended to obtain maximum results from minimal resources
I
Idea generation - the systematic process of inventing new product ideas
Impression - a single instance of the viewing of an advertisement
Influencer - individuals who affect purchasing decisions, usually the ones that have conducted research on specifications and pricing
Inside sales - a method for sales in which salespeople conduct business from an office using the computer or phone or by accepting visits
Institutional market - the community of potential buyers that includes institutions such as schools, universities, prisons, and hospitals
Internet - a global network of interconnected computers and computer systems that allows communication between connected computers; a network that is not policed or managed by any one entity; an avenue for email communication via the SMTP protocol, also called the net, always written with a capital "I," see also world wide web (they are not the same)
Introduction stage - the stage in the product life-cycle characterized by the release of a new product into the marketplace
J
Joint venture - an association between two businesses whereby each business joins to carry out an economic activity together because each business brings unique or needed skills to the effort
L
Leading indicators - economic signs or statistics that change before the sales themselves change thereby assisting in predicting the level of success of sales
Licensing - a business effort in which a company enters into an agreement with a second company for the right to use and therefore leverage aspects of the second company's brand identity on a product or service manufactured by the first company
Lifestyle - an individual's pattern of living characterized by their interests, activities and mode of living
Line extension - developing new or modified products within the same business category based on the leverage of the brand name
M



















































Market - a group of consumers with buying power

 Market follower - a company, which is not the industry leader, who is content with its market share and does not pursue the lead position

 Market penetration - a growth strategy whereby methods for selling more of the company products or services to the current market are utilized

 Market leader - the company in an industry which sells the most products or services to a market thereby maintaining the highest market share

 Market research - the process of conducting a study with a specific market via design, collection, analysis and reporting of data to inform a business marketing decision, also called marketing research

 Market segment - a set of similar consumers who share needs, behaviors and characteristics in common

 Market segmentation - see segmentation

 Market targeting - the process of identifying, analyzing and selecting a target market in which to focus sales of a product or service

 Marketing - according to Philip Kotler in Principles of Marketing, a social and managerial process whereby individuals and groups obtain what they need and want through creating and exchanging products [and services] and value with others

 Marketing audit - the examination of a business's marketing environment, strategy, plans and execution to identify challenges, solutions and opportunities and design a course of action to improve marketing performance

 Marketing collateral -a collection of marketing materials, separate from product or service specification documentation, such as flyers, post cards, video clips, audio clips, and website used to support the sales of a product or service as part of an organization's overall marketing strategy

 Marketing communications - the discipline of using messages and related media to communicate with consumers, potential consumers and stakeholders of a business, often referred to in its abbreviated format marcom

 Marketing management - the discipline of overseeing the analysis, design, planning, execution and assessment of marketing programs

 Marketing mix - the use of the specific set of marketing tools including product, price, place and promotion to generate revenue from a product or service, also referred to as the 4 Ps

 Marketing plan - the section of a business plan or a separate plan outlining the marketing strategy for a specific product or service

 Marketing process - the progression of moving through and managing a marketing course of action including marketing analysis, identification and selection of target markets, marketing mix development, marketing plan creation and execution and marketing plan assessment and readjustment, to generate sales of a product or service

 Maturity stage - the period in the product life-cycle in which sales growth slows down and levels off

 Media kit- a resource created by a publisher or company with information on their available advertising opportunities, also called press kit

 Moderator - an individual who administers focus group sessions

 Motive - the factor that drives a consumer into taking action, usually to satisfy a need
N
Need - a situation in which there is a lack of something, leaving a void to fulfill
Networking - expanding one's network of connections or sphere of influence by connecting with people of like interests in order to uncover business or personal opportunities
Niche marketing - the process of focusing marketing efforts in specialized sub-segments of a market
O
Online marketing - marketing efforts that are carried out online through the Internet including but not limited to website creation and optimization, advertising, electronic catalogs, email promotion, dynamic communities and social networking
Opinion leader - an individual who exerts influence on others because of their knowledge, accomplishments, personality and/or skills
Optional-product pricing - a pricing strategy whereby optional products/accessories or services are priced along with the core product or service
Outside sales - a method for sales in which salespeople conduct business outside of an office such as the process of conducting sales calls to potential customers at their place of business
P
Packaging - the process of designing the outside container or covering for a product or the grouping of different complimentary services within one price structure which may or may not include a price reduction compared to purchasing the services separately
Perception - the interpretation and organization of information by consumers about a product or service in order to form an opinion about it
Personal selling - a sales methodology in which a presentation is given to encourage the purchase of a product or service
Personality - the distinguishing characteristics of an individual that constitutes one's psychological make-up
Pitch - a presentation, usually verbal, that introduces a produce or service
Point of purchase (POP) promotion - a display of products which is located in close proximity to the cashier to prompt a spontaneous purchase on the customer's way out
Positioning - using marketing tools to differentiate a product or service and set it apart from competitor's products or services as perceived by consumers
Premium -a product or service, usually small or inexpensive offered free or at a reduced price as an inducement to purchase a core product, usually larger or more expensive
Presentation - a selling tactic in which a salesperson demonstrates the features and benefits of a product or service
Press kit - see media kit
Price - the amount of money charged for the purchase of a product or service, often termed fee or rate when referring to the price of a service
Primary data - the collection of information used to contribute to a knowledge base or to inform a decision
Product - an item offered to consumers for their use, usually for a price, could be used to refer to services, events, objects, individuals, places, organizations, or ideas
Product life-cycle - the timeline of a product explaining the variation of its sales levels over each stage including development, introduction, growth, maturity and decline
Product line - the group of related company products that are similar in their target markets, pricing, and distribution channels
Promotional pricing - pricing strategy that temporarily lowers prices to increase sales in the short run
Prospecting - the stage in the sales process by which researchers or salespeople identify and qualify potential buyers for a product or service
Psychographics - units which differentiate a community or market by psychological factors such social class, personality characteristics or lifestyle
Public relations - a marketing tool whereby a business builds a favorably reputation and positive relationships with its publics (a group that has a potential interest in an organization) by obtaining publicity and managing the corporate image
R
Rate - see fee
Rate card - a document detailing prices for various advertisements
RFP - stands for request for proposal, a document issued by a business that outlines the qualifications necessary for a supplier to submit a proposal to offer their products or services
Relationship marketing - a marketing methodology by which a business establishes a relationship with their customers and stakeholders in order to foster customer loyalty and purchases over time
ROI - stands for return on investment, a measurement which yields the value of an investment in a specific management effort
S
Sales promotion - the identification and implementation of short-term incentives to prompt the purchase of products or services
Sample - a group used in market research as in "sample size;" the offering of a free product, usually packaged into a smaller quantity, to allow the customer a hands-on experience with the product in order to prompt future purchase; a free trial period for use of services in order to prompt future purchase
Secondary data - the compilation of readily existing, previously collected information used to contribute to a knowledge base or to inform a decision
Segment - see market segment
Segmentation - the process of dividing markets into groups based on similarities in age, gender, life-cycle, income, behavior, product/service benefits, psychographics, demographics or geographics
Service - an activity or benefit that a business offers to assist in meeting a need or solving a problem which does not result in ownership; the non-material equivalent of goods or products
Sponsorship - an avenue for a company to promote its products and services that offers a mix of integrated promotions
Strategic plan - the resulting document, including sections such as mission, goals and objectives, tactics and timeline, from the process of analyzing a business's goals and capacity for achieving them given current market conditions and opportunities
Style - a distinguishing mode of expression in an individual's outer appearance and inner personality or in the way a business or entity operates
Subculture - a subset of people with a culture of shared values that differs from the larger culture to which they belong
Supplier - a business that provides another business with the resources it needs, also called a vendor
Survey - a primary research tool that obtains information through asking questions, in print or by verbal means, about opinions, preferences, attitudes, knowledge and/or behaviors
Sweepstakes - a promotional method, fashioned after a lottery, which provides consumers the chance to win cash, goods, trips or something of value in relation to the sweepstakes sponsor's product or service
T
Target market - a group of consumers which share characteristics or needs in common
Targeting - see market targeting
Telemarketing - a sales technique in which salespeople call potential customers on the phone to pitch a product or service
Test marketing - the stage of product development where different ways of marketing products are tested in real life situations to assess which methodology prompts the most sales or reaches the largest markets
U
Unique selling proposition (USP) - the unique aspect of a business, product or service that defines its advantage over and differences from competitors, also called unique selling point
V
Value-based pricing - a pricing strategy to set prices based on the perception of value rather than the cost of manufacturing and marketing
Value proposition - a business's promise to deliver the expected experience with their product or service; a description of what, how and why a product or service is important to a customer; an answer to why a consumer should buy a business's product or service
Vendor - see supplier
Vertical - a business which maintains an internal structure that supports the capacity to bring a product or service to market without the use of outside vendors
Viral marketing - the type of marketing that facilitates and encourages people to forward an email or online marketing message to others; an electronic form of word-of-mouth marketing
W
Want - an individual's desire based on a need or a perceived need shaped by culture and personality
Webcast - a conjunction of website broadcast, information dispersed to a large audience via the Internet which could include streaming audio, streaming video, visual aids or live demonstrations
Webconference - an umbrella term for all online based collaborations between two or more people over the Internet, some types include webcasts and webinars but not web events
Webevent - an umbrella term for online based presentations which do not include collaborative components, see webinar and webcast
Webinar - a conjunction of website seminar, topical information presented online in an electronic seminar format, recorded or in real time, which could include interactive components such as the ability of participants to submit questions, the ability for the speaker to receive immediate audience feedback and immediate, real time surveys and polls
Website - a collection of text-based information, images, video clips, audio clips and/or other digital media that is accessible via the Internet and is pertaining to a specific company, individual, entity, service or product
Word-of-mouth - the promotion of a product or service through personal communication from consumer to consumer, also see viral marketing
World Wide Web (WWW) - the method of communication for computers on the Internet, via the HTML protocol, which is actually built on top of the Internet and is therefore not the same as the Internet, also known as the Web
Z
Zone pricing - a pricing strategy in which a company prices products according to geographic zones
     

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