CIM MAE flashcards

32 cards. Read the term and the definition here. The deck at the top of this page is optional.

Maslow's hierarchy

A five-level model of human motivation: physiological, safety, social, esteem and self-actualisation needs. Lower-level needs generally must be met before higher ones become motivating.

Selective distortion

The tendency of consumers to interpret new information so that it fits their existing beliefs and attitudes. It explains why strong prior brand perceptions resist contradictory evidence.

Cognitive dissonance

Post-purchase discomfort felt when a chosen product's perceived drawbacks clash with the alternative forgone. Marketers reduce it with reassurance, reviews and after-sales support.

Derived demand

Business demand that arises indirectly from consumer demand for final goods. A fall in consumer demand for cars reduces demand for steel and components upstream.

Market segmentation criteria

Effective segments must be measurable, accessible, substantial, differentiable and actionable. A segment that cannot be reached or sized cannot support a targeted marketing programme.

Reference groups

Groups that serve as comparison points shaping a person's values, attitudes and behaviour. They may be membership, aspirational or dissociative, and often include opinion leaders.

Diffusion of innovations

The spread of a new product through a market over time, following a bell curve of innovators, early adopters, early majority, late majority and laggards.

SMART objectives

Objectives that are specific, measurable, achievable, relevant and time-bound. They make campaign success testable and allow variance to be identified during control.

Objective-and-task budgeting

A method that sets the budget by defining communication objectives, specifying the tasks needed to achieve them and costing those tasks. It links spend directly to expected outcomes.

SWOT matching

Pairing internal strengths and weaknesses with external opportunities and threats to generate strategies. Without matching, a SWOT list remains descriptive rather than decision-oriented.

ROMI

Return on marketing investment, calculated as gross profit attributable to the campaign minus campaign cost, divided by campaign cost. It expresses return per unit of marketing spend.

Critical path

The longest sequence of dependent tasks in a project plan, which determines the minimum completion time. Any delay on this path delays the whole campaign launch.

Leading indicators

Metrics that change before commercial results appear, such as reach, click-through and engagement. They allow corrective action before sales data confirms a problem.

Variance analysis

Comparing actual performance against planned targets to identify size and cause of deviation. It triggers corrective action within the marketing control cycle.

Marketing audit

A systematic, periodic review of the marketing environment, objectives, strategy, organisation and activities. It supplies the evidence base for planning rather than opinion.

Ansoff matrix

A growth framework crossing products with markets: penetration, product development, market development and diversification. Diversification carries the highest risk because both dimensions are new.

Porter's generic strategies

Cost leadership, differentiation and focus describe the routes to competitive advantage. Firms that pursue none risk being stuck in the middle without a defensible position.

BCG matrix

A portfolio tool plotting business units by market growth and relative market share. It yields stars, cash cows, question marks and dogs, each suggesting an investment posture.

Porter's five forces

An industry attractiveness model covering supplier power, buyer power, threat of new entrants, threat of substitutes and competitive rivalry. Together they shape achievable profitability.

Break-even volume

The quantity at which total revenue equals total cost, found by dividing fixed costs by the contribution per unit. Below it the product makes a loss.

Contribution margin

Price minus variable cost per unit. It measures how much each sale contributes towards covering fixed costs and then generating profit.

Market penetration pricing

Setting a low launch price to win share quickly and build volume. It suits price-sensitive markets and products with scale economies or network effects.

Marketing orientation

A business philosophy in which achieving goals depends on understanding target customer needs and satisfying them more effectively than competitors do.

Product life cycle

The stages a product passes through: introduction, growth, maturity and decline. Pricing, promotion and channel decisions change at each stage.

Owned, paid, earned media

Three channel types distinguished by control and credibility. Owned media are brand-controlled properties, paid media are purchased placements, earned media are third-party mentions and shares.

Conversion rate

The proportion of visitors or recipients who complete a desired action, calculated as conversions divided by total visitors. It is a core measure of digital campaign efficiency.

Cost per acquisition

Total campaign spend divided by the number of new customers acquired. It is compared against customer lifetime value to judge commercial viability.

Greenwashing

Making unsubstantiated or misleading environmental claims to appear more sustainable than the evidence supports. It damages trust and may breach advertising regulation.

Greenhushing

Deliberately under-reporting genuine sustainability credentials for fear of criticism. It can weaken differentiation and reduce investor and consumer confidence.

Triple bottom line

A performance framework reporting profit, people and planet outcomes. It broadens evaluation beyond financial return to include social and environmental impact.

Circular economy

An economic model that designs out waste by keeping materials in use through reuse, repair and recycling. It contrasts with the linear take-make-dispose model.

Consent under data protection

A lawful basis for processing personal data requiring a freely given, specific, informed and unambiguous indication of agreement, which can be withdrawn at any time.