Articles, Quotes, Definitions

“Modern retailing must mirror the society that it serves. Delivering a memorable shopper experience is the key to success. Innovation and design are the delivery mechanisms”. Rodney Fitch

“If you want to understand how Gorillas behave go to the jungle not to the zoo”. Adrian Finch

“Tell me and I will forget, show me and I may remember, involve me and I will understand”. Confucius

“Retail Marketing is not just about a purchase transaction. It’s about a one-to-one relationship between companies and real people, in which the company (or the brand) becomes a person and the encounter a conversation”. Adrian Finch

“Repeating the same thing and expecting a different result is the definition of insanity”. Albert Einstein

“Now the stores are the “Ads” and the whole world has become the retail space” Johnny Benjamin Palmer of TBG.

A to Z of our terminology

A/B Testing = Evidence based method to compare two versions of a web page to determine which page derives the best results.

Action Plan = How Big Ideas are presented to consumers using the most efficient communication and sales channels.

Action Standards = Objectives that are set before embarking on any project. These action standards should define success. Also known as SMART objectives.

Adsense = A Google program that delivers individual Adwords (see Adwords below) to individual sites. Google then pays the web publisher for the ads displayed on their site based on user clicks on the ads.

Advertising = Communication that is both informative & stimulating, and is seen by the desired target audience.. Great advertising “makes new things familiar, and familiar things new.”

Adwords = A Google program that allows ads to appear on relevant Google search pages and network of partner sites.

AI = Computers use Artificial Intelligence to learn from data they have gathered previously. Also known as Machine Learning.

Algorithms = A set of procedures that tell a computer the exact steps to take to solve a problem.

Analytics = Study of consumer data that generate insights and statistics into consumer behaviour and brand opportunities.

Apps = Short for applications designed for smartphones and tablets that provide specific functions or services.

AR = Augmented Reality is a real world environment augmented by computer generated sensory inputs (also see VR).

Beacons = Broadcasting devices that allow smartphones and tablets to perform actions (such as mobile payments) when in close proximity using Bluetooth low energy technology.

Behaviour = A combination of Nature and Nurture.

Behavioural Economics = Based on the notion that people aren’t 100% rational in their day-to-day decisions.

Behavioural Marketing = Understanding emotional triggers that drive consumers to action.

Bias = Preconceptions that influence people’s decisions. Also applied in the digital world where algorithms are only as good as the codes that govern them.

BI = Business Intelligence aggregates data in order to identify opportunities and create new business strategies.

Bottleneck = Identifying the lowest point of conversion within a sales disposition funnel which if addressed can provide the greatest return on marketing investments.

Bots = Bots (short for robot) are like apps except they use Artificial Intelligence to interact with consumers.

Botnet = A group of connected computers containing malicious software that attack other devices to steal data and send spam.

Brands = Products that can be clearly differentiated and have a value beyond their physical attributes.

Brand Promise = A brand’s stated delivery (both physical & emotional) which it offers to consumers.

Brand Value = There are many types of brand valuation models (economic, market or cost based) but each attempts to put a financial value on a brand.

4 C’s = Consumer Value, Cost, Convenience and Communication. Another interpretation of the classical 4 P’s (also see the 4 P’s).

Call to Action = An emotional or rational claim that can nudge people to take a decision.

Category Captains = Leading brands that dictate how their category presents itself at different touch-points to consumers.

Centennials = The group of people born after the new millennium and who are totally digital savvy (also see Millennials).

Chatbots = Uses the power of two branches of AI; natural language processing and language generation. Often used on customer service pages.

Choice Architecture = Framing options that can solicit a different behaviour or better outcome.

Click Farms = A fraudulent way to increase click throughs and therefore ad spend.

Client = A repeat purchaser of a product or service.

CLV = Consumer Lifetime Value; how much a consumer is worth to a company over his or her lifetime.

Collaborative Economy = Where people come together for short periods to develop new products & services or provide new solutions. These are flexible entities in time, location, and constituent parts (also see Gig Economy).

Commerce = A physical, digital or monetary transaction between two or more people or entities.

Commodities = Products that are sold with a differentiation only on price & location, and have little or no brand equity.

Consumer = The end user of a product or service.

Consumer Disposition Funnel = Indicates the consumer’s relationship with a brand from awareness through to loyalty.

Consumption Economy = The driver of 20th century capitalism (see Well-being Economy).

Content Captains = Leading brands that dictate the discussion about their category to consumers.

Content Marketing = Creating high quality content to support marketing activities.

Cookies = Allow websites to recognise return visitors and build a profile of their habits and interests.

CPA = Cost per Acquisition. Payment made by an advertiser when an advert leads directly to a sale.

CPC = Cost per Click. Payment made by an advertiser to a website owner whenever their ad is clicked on the website.

CPI = Cost per Impression. Is a term related to web traffic. Payment made by an advertiser each time their ad is displayed to a potential customer.

CTR = Click Through Rate. How many people have clicked on an on-line ad.

Customised = Products, services and communication that are becoming increasingly more flexible towards individual needs and wants.

Customer = A purchaser (and probably end user) of a product or service.

3D Printing = Flexible manufacturing technique that creates three dimensional products from different materials using a layered printing technique.

Demand Generation = a marketing activity that serves to create a ‘demand’ or interest for your product or brand (also see Lead Generation).

Design = A combination of Form, Function and Aesthetics.

Data = Information (increasingly from digital sources) collected on consumers and brands.

Data Mining = Process of analysing a database to determine statistical patterns in behaviour.

Digital Experience (DX) = Increasingly important in reducing consumer frustrations and improving a consumer’s disposition towards a company or brand when on-line.

Domain Name = They are registered names on the internet and used to identify one or more IP addresses.

Domain Spoofing = Where Ad buyers are fooled into buying ad on inferior sites thinking they are advertising on premium sites.

4 Es = Emotion, Experience, Engagement & Exclusivity. A new interpretation of the classical 4 Ps (also see the 4 Ps).

E-commerce = Electronic (digital) transactions.

Effective Marketing = Communication that is impactful in achieving its results.

Efficient Marketing = Communication that requires the least amount of investment in achieving its results.

Emotion = Good communication and brands engage peoples emotions.

Engagement = A two way conversation between brands and consumers.

Everywhere = Digital technology that allows consumers to make purchases or interact with other people or brands from any place.

Exclusivity = People want their brands to understand their needs by offering them something that appears to be for a special few.

Experience = Delivered to consumers using one or all five sense (Sight, Sound, Smell, Touch and Taste) depending on the medium (context) where a brand is communicating.

Fintech = Technology that is used to improve financial services.

Fit for Purpose = Increasing both companies and brands need to be seen to have “purpose”, taking into consideration the consumer, stakeholders and societal needs. “Fit for Purpose” is having the correct organisational structure to deliver on this “purpose”.

FMOT = First Moment of Truth when a consumer buys a product (P&G terminology).

FTP = File Transfer Protocol is the protocol used to transfer computer files from a client to a server on a computer network.

Gap Analysis = Identifying a product need that exists but has not been met.

Generation = Homogeneous group of people often based on age (e.g. Millennials’) but can also include psychographic profiles.

Generation B = Group of people who are defined by their behaviour.

Generic Brand = A product that offers the same physical (rational) benefits of branded products (intuitively cheaper than the competition).

GIFs = Graphic Interchange Format files that are widely used in digital communication.

Gig Economy = Where people are hired for short periods of time.

Habits = Subconscious types of behaviour (also see Rituals).

Halo effect = Positive disposition towards a product by the same company or brand.

Hackathon = Meeting where a number of people come together to develop new software solutions under the duress of limited time. Used by organisations for brainstorming and collaboration in the digital age.

Haptics = The science of applying touch sensation and control to the interaction with computer applications.

HTML = Hyper Text Mark-up Language is the computer language the web pages are built with.

HTTP = Hyper Text Transfer Protocol underpins the world-wide-web and is used to transfer data between computers and servers.

Icons = Brands that have achieved an elevated status where they often define and transcend their category. They are also often able to break conventional marketing rules & wisdom.

Ideas = Ideas that have cut through, that are memorable, and are effective.

Ideals = Ideas that also reflect societal issues.

Infinity Loop = The way that people shop today (search / shop / share).

Innovation = New products, services or solutions that are a step change in a category or a marketplace. Can be disruptive and game changing.

Instant = 24 hour economy, and digitally enhanced that allows consumers to make purchases at anytime of the day.

Integrated Marketing = Guaranteeing a brand is presented consistently and ensuring different marketing activities compliment and reinforce each other.

Internet of Things = Products that are digitally inter-connected and offer smart functions.

IP = Internet Protocol is a number that is unique and identifies a computer within a network.

JAM Consulting = A collaborative consultancy that understands the Zeitgeist of the new digital age and all the challenges & opportunities this presents to society, organisations, retailers and brands.

JIT = Just in Time management of inventory.

Keyword Density = Number of keywords used in a piece of content relative to the total number of words. Overuse of keywords can lead to unreadable content that may be penalised by search engines.

Keyword Ranking = Position where a keyword is ranked when queried in a search engine.

KISS = Keep It Simple & Sexy.

Landing Page = Page specifically designed to capture a visitors contact details.

Lead Generation = Activities designed to find new prospective clients and turn them into sales leads (also see Demand Generation).

Liquid & linked = A term developed by Coca Cola to explain the importance of brand content and how this can permeate and evolve through all media channels.

Machine Learning = Allows computers to learn from enormous sets of data.

Malware = Malicious software

Marketing Plan = Sets out a company’s brand objectives and the marketing strategy to achieve them.

Maslow’s Theory = Maslow’s hierarchy of needs. The basis for understanding consumer behaviour.

Mass Customisation = Combines the efficiency of mass production with elements of personalisation.

McNamara’s Fallacy = Making all decisions solely on quantitative observations and ignoring all others.

Meta Data = Data that is describing data. Meta data can be used to describe non-text based content such as images or videos that would be otherwise difficult to search and find.

Micro-Marketing = Matching brands to very specific target audiences.

Millennials = Between 18 and 34 years old, and first digital natives (also see Centennials).

Mobile Marketing = Communicating with consumers through their smart phones or other mobile devices.

Moore’s Law = The theory that the number of transistors on a chip doubles every two years, and as a result computer power doubles approximately every two years.

Narrowcast Media = Communicating to a specific target group (assumes reduced reach, increased relevance).

Neuroscience = Study of the nervous system to understand how the brain functions and in the case of marketing, how decisions are made.

New Economy = Economic changes driven through technological innovations, changing consumer and societal behaviour. Transforming the way of doing business and how organisations operate.

Nominal Sales Distribution = Number of stores where a brand is available as a percentage of the total retail universe (also see Weighted Sales Distribution).

Nudge Marketing = Stimulus that can instigate a reaction in consumer choice.

Objectives = pre-defined marketing goals (SMARTS).

Obvious Adams = Fictional character created in the 1930s that sought out the obvious to solve marketing problems. Reinforces the power of observation (the solution is often “under our own nose”).

Obvium = Retail Marketing Planning process used at JAM Consulting to gather insights, discover the obvious, develop new retail communication ideas, and create a retail media plan.

Omni-channel = Retail strategy that considers the consumer at the centre of a cross channel experience and decision making process.

Opportunity Cost = Limited resources require us to choose the best alternative at the opportunity cost of the second best alternative. It is the basic relationship between scarcity and choice.

Out of Stock (OOS) = Product that is listed but not currently available in-store or on-line.

Own Brand = Often a retail owned brand, that competes with consumer packaged goods (CPGs) branded products. Also known as a Private Label.

4Ps = Product/Packaging + Price + Place + Promotion. These are the basic requirements to sell any product or service.

Pareto’s Principle = The rule of thumb that 80% of an effect can be attributed to 20% of a cause. For instance 80% of sales come from 20% of customers.

Personal = Products, services or communications that are tailor made to individual tastes or preferences.

POE Digital Media = ‘Paid, Owned & Earned’ digital media, means a brand can either own a site to display content, earn visibility whereby brand generated content is shared by third parties, or paid visibility whereby brands pay to have their content displayed by third parties.

Programatic Advertising = Typically refers to software that buys digital advertising often with real time bidding.

Pull Marketing = Activities involved in ensuring a product is bought when presented in the marketplace (also see Shopper Marketing).

Push Marketing = Activities involved in ensuring a product is available in the marketplace (also see Trade Marketing).

QR Codes = Quick Response Codes often seen on package goods that include basic product information when read by a smart phone or other mobile devices.

Qualitative Research = Research based on small focus groups, with interactive feedback between the moderator and the consumers (which cannot be measured numerically).

Quantitative Research = Research which can be measured numerically based on a large number of consumers responding to a number of predefined questions.

Quality Creep = Counter productive process where quality improvements increase costs above what is acceptable to consumers.

R = A commonly used programming language for statistical computing.

Retail = Where products & brands are displayed and sold either in the physical or digital world.

Retail Channels = Different category of retail stores (both on & off line), such as hypermarkets, supermarkets, convenience stores, pharmacies, etc.

Retail Experience (RX) = Retail experience both in the physical and digital world, is not just about sales but increasingly about consumer satisfaction.

Retail Marketing = The presentation & communication of a brand to consumers with the opportunity to purchase.

Retail Media = A measure of retail communication.

Retailer Disposition Funnel = Indicates the retailer’s relationship with a brand, starting from retailers that don’t stock the brand, occasionally stock, always stock to exclusively stock that brand.

Rituals = Conscious types of behaviour (also see Habits).

ROI = Return on Investment, measured by revenues generated versus costs which define if a profit or loss has been made.

Route to Market = How a company gets its products to consumers, from manufacturing through to the point of sale (also see Supply Chain).

RRP = Recommended Retail Price.

RWD = Responsive Web Design ensures a website is easily viewable on a range of devices.

Selling by Design = The art of attraction.

SEM = Search Engine Marketing, the sum of both paid search & organic search (earned, see SEO) to create visibility.

SEO = Search Engine Optimisation, making a website as easy to find and as visible as possible in search engines by providing relevant content. This is also termed ‘earned media’.

SERPs = Search Engine Results Pages are the pages of results returned by a search engine after a search is run.

Shareholder Value = Companies are primarily measured by the value they create for shareholders. This helps in the allocation of investments but adversely can lead to short term thinking.

Sharing Economy = Economy where people prefer not to buy or own products, but instead share, rent or borrow products when they need them.

Shopper Marketing = All activities that ensure a brand is sold at the point of purchase.

Shopper Missions = Can be monthly household shopping, convenience store shopping on the way home from work, on-the-go consumption, etc.

Showrooming = Viewing a product in store while looking for a better deal on-line.

SKU = Stock Keeping Units are unique products within a retail inventory.

SMART Objectives = Specific, Measurable, Achievable, Realistic & Timed.

SMOT = Second Momento of Truth when a consumer uses a product after purchase (P&G terminology).

Social Listening = Technique of gathering consumer comments through social media and generating insights through associations and word clouds.

Social Responsibility = Organisations not only have to show a return to shareholders but increasingly need to show their beneficial role within society.

Spam = Unsolicited messages

Sponsored Links = A paid Advertisement in the form of a hyperlink that shows up on a webpage.

Sponsored Listings = Promoted listings seen on vendor sites such as e-bay.

Story Doing = Walking the talk.

Story Telling = Building a narrative and emotional content in order to engage and motivate consumers.

Supply Chain = Different steps required to get a product from production to the point of sale (also see Route to Market).

SWOT = Analysis of a brands Strengths, Weaknesses, Opportunities and Threats in the market place.

Synaesthesia = A perceptual experience in which one sense (for example the sight of the colour red) can be expressed in another sense (such as taste or sound). It can help in the five dimensional positioning of a brand.

Top of Mind = First brand that is recalled when a brand category is mentioned.

Trade Margin = Retail mark up between manufacturer or wholesale price and final consumer price.

Trade Marketing = All activities that ensure a brand is made available at the point of purchase (also see Supply Chain).

Traffic = Number of people visiting a website or store.

URL = Uniform Resource Locator, is the address of a website (“http://www.jamconsulting.com.br”).

User Friendly = Products that are designed based on how consumers use these products in their day-to-day lives.

USP = Unique Selling Proposition (or Point). What differentiates a product from its competition.

User Experience (UX) = User Experience both in the physical and digital world, when a consumer consumes a product.

Variables (Exogenous) = Variables that cannot be influenced directly.

Variables (Endogenous) = Variables that can be influenced directly.

Venn Diagram = Demonstrates the inter-relationship between different variables.

Viral = Communication that is perpetuated by consumers.

Virtual Reality = Creating content and experiences in the digital world.

Web 2.0 = Began at the end of 1990’s with a shift in Internet technologies and usage that created greater interactivity and user generated content and the development of Social Media.

Weighted Sales Distribution = Percentage of stores (and sales within those stores) where a brand is available as a factor of the total sales within a category (also see Nominal Sales Distribution).

Well-being Economy = Attending to consumers’ higher needs beyond basic consumption (Maslow’s theory).

XML = Extensible Mark-up Language is used to transfer data for example from an underlying data store to a web page.

Yield Management = A pricing strategy that uses flexible pricing and understanding of consumer behaviour to sell products for maximum revenue.

Zeitgeist = German word loosely translated as “spirit of the age”. The zeitgeist is a general understanding of the ideas, opinions, and interests that collectively seem to define a particular period.

ZMOT = Zero Moment of Truth. Terminology created by Google to explain how people search on-line for consumer feedback before making a purchase.

JAM CONSULTING

JAM CONSULTING

Articles, Quotes, Definitions

Articles, Quotes, Definitions

Articles, Quotes, Definitions

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