glossary of Marketing terms

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Term Definition
above-the-line

Media advertising [expenditure] in distinction from other activities like sales promotion and public relations which are `below the line’. It originated in the nineteenth century on the basis of whether commission to the ad agency was paid by the media or by the client.

advertising spend

The cost of media space usually including production and agency fees. Sometimes expressed as percentage of revenue and/or percentage of marketing investment.

affinity group

An analysable set of customers with common interests. Smaller than a segment, the difference also lies in how the marketer treats the consumer group. If the marketer recognises the special common needs of some customers, e.g. mothers with small children, and makes provision for them, that’s an affinity group. If the subject of a separate marketing program, the term segment is better.

affinity marketing

Allowing a commercial business to use the membership list of a not-for-profit (NFP) organisation for a promotional offer which provides some benefit for the NFP organisation, e.g. a charity or a sports club.

after-sales service

Provided by a manufacturer or retailer to customer some time after completing the sale. Likely to be perceived as a cost by transactional but as an investment by relationship marketers.

attitude

State of mind reflecting a negative or positive personal view about an object or concept, measured to provide a link between marketing actions and consumer behaviour. May be emotional and/or cognitive and is a composite of a number of intermediate metrics. Typical metrics: rating on `my kind of brand’, intention to purchase. Counterpart of attribute.

attribute, brand/product

The characteristics that are important to consumers. For example, aroma, flavour, caffeine content, and price are the main attributes of instant coffee. Usually limited to measurable physical (functional and economic) factors, i.e. not psychological or emotional. See attitude.

audience

Group of people, or market segment, to whom marketing communications are specifically addressed. Also referred to as target market.

awareness

Consciousness either spontaneously or when prompted. An intermediate metric generally linked to a brand or its advertising. Ad awareness does not imply brand awareness nor vice versa. Typical metrics are: aided/prompted - the respondent is given a list of brands to prompt recognition; spontaneous/unaided - the respondent is asked to name one or more brands in a category. Top-of-mind usually means the first of those named. Illogical as it may seem, total awareness is the sum of aided and unaided awareness.

baseline

Used in estimating the additional sales or profits due to a promotion. Baseline is what the sales or profits would have been had there been no promotion.

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