Dictionary of Marketing

DICTIONARY OF MARKETING third edition DICTIONARY OF MARKETING third edition A. Ivanovic MBA P.H. Collin BLOOMSBURY A BLOOMSBURY REFERENCE BOOK Originally published by Peter Collin Publishing Third edition published 2003 Second edition published 1996 First edition published 1989 Bloomsbury Publishing Plc 38 Soho Square London W1D 3HB © Copyright A. Ivanovic & P H Collin 1989, 1996 This edition © copyright Bloomsbury Publishing Plc 2003 All rights reserved. No part of this publication may be reproduced in any form or by any means without the permission of the publishers British Library Cataloguing-in-Publication Data A catalogue record for this book is available from the British Library ISBN 0-7475-6621-6 eISBN-13: 978-1-4081-0213-8 Text computer typeset by Bloomsbury Publishing Printed in Italy by Legoprint PREFACE TO FIRST EDITION This dictionary provides the user with a comprehensive vocabulary of terms used in marketing. It covers such aspects of the subject as market research, advertising, promotional aids and selling techniques. The main words are explained in simple English, and, where appropriate, examples are given to show how the words are used in context. Quotations are also given from various magazines and journals, which give an idea of how the terms are used in real life. The Supplement at the back of the book gives some further information which may be of use to the user. We are particularly grateful to Margaret Jull Costa and Stephen Curtis for valuable comments which they made on the text. PREFACE TO SECOND EDITION Business terminology changes rapidly, and this second edition includes a variety of new terms and expressions which have come into use since the first edition was published. We have also included new examples and quotations from recent magazines. Also included is a pronunciation guide for the main entry words. PREFACE TO THIRD EDITION This third edition of the dictionary takes into account the many new terms that have come into marketing with the growth of e-commerce and the Internet. The supplement at the back of the book has also been comprehensively updated. We are grateful to the following for their valuable comments on the text: Ian Linton, Georgia Hole, Dinah Jackson and Sandra Anderson. Pronunciation The following symbols have been used to show the pronunciation of the main words in the dictionary. Stress has been indicated by a main stress mark (
) and a secondary stress mark (  ). Note that these are only guides as the stress of the word changes according to its position in the sentence. Vowels Consonants  back b buck ɑ harm d dead ɒ stop ð other a type d jump aυ how f fare aə hire  gold aυə hour h head ɔ course j yellow ɔ annoy k cab e head l leave eə fair m mix e make n nil eυ o s save  word ʃ shop i keep t take i happy tʃ change ə about θ theft  fit v value ə near w work u annual x loch u pool  measure υ book z zone υə tour & shut AABC method /
e bi si
meθəd/ noun a sales method, where the cus- tomer’s attention is attracted, the sales- person then shows the benefits of the product to the customer, and finally closes the deal. Full form attention, benefit, close ABCs abbr Audit Bureau of Circulations above-the-fold /ə
b v ðə fəυld/ noun the part of a webpage which is seen first without having to scroll, and so is preferred for advertising above-the-line advertising /ə
b v ðə lan dvətazŋ/ noun advertising for which a payment is made and for which a commission is paid to the ad- vertising agency, e.g. an advertisement in a magazine or a stand at a trade fair. Compare below-the-line advertising (NOTE: as opposed to direct marketing) absenteeism /
bs(ə)ntiz(ə)m/ noun staying away from work for no good reason
the rate of absenteeism or the absenteeism rate always in- creases in fine weather
Low produc- tivity is largely due to the high level of absenteeism.
Absenteeism is high in the week before Christmas. ‘…but the reforms still hadn’t fundamentally changed conditions on the shop floor: absenteeism was as high as 20% on some days’ [Business Week] absolute /bsəlut/ adjective com- plete or total absolute advantage /
bsəlut əd- vɑntd/ noun an advantage enjoyed by an area of the world which can pro- duce a product more cheaply than other areas
For climatic reasons, tropical countries have an absolute advantage in that type of production. absolute cost /
bsəlut kɒst/ noun the actual cost of placing an adver- tisement in a magazine or other adver- tising medium absolute monopoly /
bsəlut mə- nɒpəli/ noun a situation where only one producer or supplier produces or supplies something
The company has an absolute monopoly of imports of French wine.
The supplier’s absolute monopoly of the product meant that cus- tomers had to accept his terms. absorb /əbzɔb/ verb to take in a small item so as to form part of a larger one  overheads have absorbed all our profits all our profits have gone in paying overhead expenses  to absorb a loss by a subsidiary to write a subsid- iary company’s loss into the group ac- counts  a business which has been absorbed by a competitor a small busi- ness which has been made part of a larger one absorption /əbzɔpʃən/ noun mak- ing a smaller business part of a larger one, so that the smaller company in ef- fect no longer exists absorption costing /əbzɔpʃən
kɒstŋ/ noun costing a product to in- clude both the direct costs of production and the indirect overhead costs as well accelerated depreciation /ək-
seləretd dpriʃeʃ(ə)n/ noun a system of depreciation which reduces the value of assets at a high rate in the early years to encourage companies, as a result of tax advantages, to invest in new equipment accelerator /əkseləretə/ noun the theory that a change in demand for con- sumer goods will result in a greater ABC method 1 accelerator change in demand for the capital goods used in their production accept /əksept/ verb 1. to take some- thing which is being offered  to accept delivery of a shipment to take goods into the warehouse officially when they are delivered 2. to take something which is being offered or to say ‘yes’ or to agree to something
to accept an offer of employment
she accepted the offer of a job in Australia
he accepted £2000 in lieu of notice 3. to agree for- mally to receive something or to be re- sponsible for something acceptable /əkseptəb(ə)l/ adjective which can be accepted
Both parties found the offer acceptable.
The terms of the contract of employment are not acceptable to the candidate. acceptance /əkseptəns/ noun  ac- ceptance of an offer agreeing to an of- fer  to give an offer a conditional acceptance to accept an offer provided that specific things happen or that spe- cific terms apply  we have his letter of acceptance we have received a letter from him accepting the offer acceptance against documents /ək
septəns ə"enst dɒkjυmənts/ noun a transaction where the seller takes charge of the shipping documents for a consignment of goods when a buyer ac- cepts a bill of exchange
Acceptance against documents protects the seller when sending goods which are not yet paid for. acceptance sampling /əkseptəns
sɑmplŋ/ noun testing a small sample of a batch to see if the whole batch is good enough to be accepted accepted bill /ək
septd bl/ noun a bill of exchange which has been signed, and therefore accepted by the buyer acceptor /əkseptə/ noun a person who accepts a bill of exchange by sign- ing it, thus making a commitment to pay it by a specified date access /kses/ noun  to have ac- cess to something to be able to obtain or reach something
She has access to large amounts of venture capital.  verb to call up data which is stored in a com- puter
She accessed the address file on the computer.
access to the market 1. the legal right to sell in a particular market 2. the ability to reach a market by promotion and distribution Access /kses/ a credit card system formerly operated by some British banks, part of the MasterCard network accessibility /ək
sesblti/ noun the ability of a market to be reached by promotion and distribution
There is much demand in the market, but, be- cause of the great distances involved, accessibility is a problem.
We must analyse the geographical aspects in as- sessing the market’s accessibility. access time /kses tam/ noun the time taken by a computer to find data stored in it accommodation bill /ə
kɒmə- deʃ(ə)n
bl/ noun a bill of exchange where the person signing (the ‘drawee’) is helping another company (the ‘drawer’) to raise a loan account /əkaυnt/ noun 1. a record of financial transactions over a period of time, such as money paid, received, bor- rowed or owed
Please send me your account or a detailed or an itemized ac- count. 2. (in a shop) an arrangement which a customer has to buy goods and pay for them at a later date, usually the end of the month
to have an account or a charge account or a credit account with Harrods
Put it on my account or charge it to my account.  to open an account (of a customer.) to ask a shop to supply goods which you will pay for at a later date  to open an account or to close an account (of a shop) to start or to stop supplying a customer on credit  to settle an account to pay all the money owed on an account  to stop an account to stop supplying a cus- tomer until payment has been made for goods supplied 3.  on account as part of a total bill  to pay money on ac- count to pay to settle part of a bill  ad- vance on account money paid as a part payment 4. a customer who does a large amount of business with a firm and has an account with it
Smith Brothers is one of our largest accounts.
Our sales people call on their best accounts twice a month. 5.  to keep the accounts to accept 2 account write each sum of money in the account book
The bookkeeper’s job is to enter all the money received in the accounts. 6. STOCK EXCHANGE a period during which shares are traded for credit, and at the end of which the shares bought must be paid for (NOTE: On the London Stock Exchange, there are twenty-four accounts during the year, each running usually for ten working days.) 7. a no- tice  to take account of inflation or to take inflation into account to assume that there will be a specific percentage of inflation when making calculations 8. an arrangement which a company has with an advertising agency, where the agency deals with all promotion for the company
The company has moved its $3m account to another agency.
The small agency lost the account when the company decided it needed a different marketing approach.
Three agencies were asked to make presentations, as the company had decided to switch its account.  verb  to account for to ex- plain and record a money transaction
to account for a loss or a discrepancy
The reps have to account for all their expenses to the sales manager. accountancy /əkaυntənsi/ noun the work of an accountant
They are study- ing accountancy or They are accoun- tancy students. (NOTE: American English is accounting in this meaning) accountant /əkaυntənt/ noun 1. a person who keeps a company’s accounts
The chief accountant of a manufactur- ing group. 2. a person who advises a company on its finances
I send all my income tax queries to my accountant. 3. a person who examines accounts account book /əkaυnt bυk/ noun a book with printed columns which is used to record sales and purchases account director /əkaυnt da-
rektə/ noun a person who works in an advertising agency and who oversees various account managers who are each responsible for specific clients account executive /əkaυnt "-
zekjυtv/ noun an employee who looks after customers or who is the link between customers and the company account handler /əkaυnt
hndlə/, account manager /əkaυnt
mndə/ noun a person who works in an advertising agency, and who is re- sponsible for a particular client ‘…we have moved the account because we thought it would be better suited in a smaller agency’ [Marketing Week] accounting /əkaυntŋ/ noun the work of recording money paid, re- ceived, borrowed or owed
accounting methods or accounting procedures
accounting system
accounting machine ‘…applicants will be professionally qualified and have a degree in Commerce or Accounting’ [Australian Financial Review] accounts department /əkaυnts d
pɑtmənt/ noun a department in a company which deals with money paid, received, borrowed or owed accounts manager /əkaυnts
mndə/ noun the manager of an ac- counts department accounts payable /ə
kaυnts peəb(ə)l/ noun money owed by a company accredited agent /ə
kredtd edənt/ noun an agent who is ap- pointed by a company to act on its behalf accurate /kjυrət/ adjective correct
The sales department made an accu- rate forecast of sales.
The designers produced an accurate copy of the plan. accurate description /
kjυrət d- skrpʃən/ noun an honest and true de- scription of a product or service in an advertisement or catalogue
As the ad- vertisement was clearly not an accurate description of the product, the company had to pay a fine.
It is not an accurate description of the product to state that it gives out more light than the sun. accurately /kjυrətli/ adverb cor- rectly
The second quarter’s drop in sales was accurately forecast by the computer. achiever /ətʃivə/ noun a person who is successful or who tends to achieve his or her objectives
It was her reputation as a high achiever that made us think of headhunting her.
VALS accountancy 3 achiever acknowledge /əknɒld/ verb to tell a sender that a letter, package or ship- ment has arrived
He has still not ac- knowledged my letter of the 24th.
We acknowledge receipt of your letter of June 14th. acknowledgement /ək- nɒldmənt/ noun the act of acknowledging
She sent an acknowl- edgement of receipt.
The company sent a letter of acknowledgement after I sent in my job application. ACORN /ekɔn/ noun a classifica- tion of residential areas into categories, based on the type of people who live in them, the type of houses, etc., much used in consumer research
ACORN will help us plan where to concentrate our sales visits. Full form a classifica- tion of residential neighbourhoods acquire /əkwaə/ verb to buy
to ac- quire a company
We have acquired a new office building in the centre of town. acquirer /əkwaərə/ noun a person or company which buys something acquisition /
kwzʃ(ə)n/ noun 1. something bought
The chocolate fac- tory is our latest acquisition. 2. the act of getting or buying something  data acquisition or acquisition of data ob- taining and classifying data 3. the action of acquiring new customers, as opposed to retention, which is keeping the loy- alty of existing customers acronym /krənm/ noun a word which is made up from the initials of other words
The name of the company was especially designed to provide a catchy acronym.
BASIC is an acro- nym for Beginner’s All-purpose Sym- bolic Instruction Code. across-the-board /ə
krɒs ðə bɔd/ adjective (of an advertisement) running for five consecutive days from Monday to Friday action shot /kʃən
ʃɒt/ noun a scene with movement either in a film or on TV activity sampling /ktvti
sɑmplŋ/ noun an observation of tasks and their performances, carried out at random intervals
Activity sampling was carried out to see how fast the ma- chinists worked. (NOTE: no plural) ad /d/ noun same as advertisement (informal.)
We put an ad in the paper.
She answered an ad in the paper.
He found his job through an ad in the paper. Ad-A-Card /d ə kɑd/ noun US a type of perforated card bound into a magazine which a reader can tear off and return to the advertiser adapt /ədpt/ verb to change some- thing a little to fit in with changing cir- cumstances
This product must be adapted in line with recent technologi- cal developments.
The device has been adapted for use on board aircraft. adaptation /
dpteʃ(ə)n/ noun 1. a small change
With a few minor ad- aptations, the machine will cut square holes as well as round ones. 2. something which has been adapted
This machine is an adaptation of our original model. adaptive control model /ə
dptv kəntrəυl
mɒd(ə)l/ noun US a model for planning advertising expenditure in line with changes in consumer re- sponses to advertising ad banner /d
bnə/ noun same as banner ad click /d klk/ noun same as click-through ad click rate /d klk
ret/ noun same as click-through rate added value /
dd vlju/ noun an amount added to the value of a product or service, being the difference between its cost and the amount received when it is sold. Wages, taxes, etc. are deducted from the added value to give the profit.
Value Added Tax add-on sales /d ɒn
selz/ noun the sale of items which complement items being bought, e.g. washing pow- der sold with a dishwasher address label /ədres
leb(ə)l/ noun a label with an address on it ad hoc /d hɒk/ adjective ‘for this particular purpose’
They run ad hoc surveys to test customer reaction when products are launched.
Shipping by acknowledge 4 ad hoc airfreight was an ad hoc arrangement initially. ad hoc research /
d hɒk rs&tʃ/ noun research carried out for a particu- lar client or in a particular market ad impression /d m
preʃ(ə)n/ noun same as ad view adjacency /ədes(ə)nsi/ noun a commercial which is run between two TV programmes adjust /əd st/ verb to change some- thing to fit new conditions
to adjust prices to take account of inflation
prices are adjusted for inflation ‘…inflation-adjusted GNP moved up at a 1.3% annual rate’ [Fortune] ‘Saudi Arabia will no longer adjust its production to match short-term supply with demand’ [Economist] ‘…on a seasonally-adjusted basis, output of trucks, electric power, steel and paper decreased’ [Business Week] adman /dmn/ noun a man who works in advertising (informal.)
The admen are using balloons as promo- tional material. (NOTE: plural is admen) administer /ədmnstə/ verb to or- ganise, manage or direct the whole of an organisation or part of one
She admin- isters a large pension fund. administered channel /əd-
mnstəd tʃn(ə)l/ noun a distribu- tion channel in which there is coopera- tion between businesses administered price /ədmnstəd pras/ noun US a price fixed by a man- ufacturer which cannot be varied by a retailer (NOTE: the British equivalent is resale price maintenance) administration /əd
mnstreʃ(ə)n/ noun the running of a company in re- ceivership by an administrator ap- pointed by the courts administration costs /əd
mn- streʃ(ə)n
kɒsts/ noun the costs of management, not including production, marketing or distribution costs administrative /ədmnstrətv/ ad- jective referring to administration
ad- ministrative details
administrative expenses administrator /ədmnstretə/ noun 1. a person who directs the work of other employees in a business
After several years as a college teacher, she hopes to become an administrator. 2. a person appointed by a court to manage the affairs of someone who dies without leaving a will adopt /ədɒpt/ verb to agree to some- thing or to accept something adopter /ədɒptə/ noun a customer who adopts a particular product adoption /ədɒpʃən/ noun the deci- sion to buy or use a particular product
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