DAGMAR - acronym for Defining Advertising Goals for Measured Advertising Results, after the title of a book by Russell H. Colley (New York: Association of National Advertisers, 1961). See DAGMAR Approach.

DAGMAR approach - an approach to measuring advertising effectiveness in which advertising objectives are turned into specific measurable goals. See DAGMAR.

Daily Activities Report - a record of a salesperson's activities on a day-by-day basis, showing clients visited, products presented and results; it may also include reasons for the failure to sell.

Daily Sales Plan - a record of a salesperson's intended sales calls on a day-by-day basis, listing the clients to be visited, the objectives of each call, and the anticipated outcomes.

Data - facts or information gathered in a marketing research study. See Primary Research; Secondary Research.

Data Analysis - the processing of marketing research findings to summarise a situation, discover relationships between elements of the information, or to draw conclusions from them. See Marketing Research.

Data Collection - the activity of gathering facts or information about a subject in a marketing research study. See Marketing Research.

Database - information arranged in such a way that it can be stored in, and processed by, a computer. See Database Marketing.

Database Marketing - the use of large collections of computer-based information in marketing; the database listings may be reference databases containing information on specific topics; full databases which contain full transcripts of documents or articles being sought; or source databases which contain listings of names and addresses, etc of prospective customers.

Date Code - a date on a package indicating either the date by which the product should be used or the date the product was packed. See Date Stamping.

Date Stamping - See Open Dating.

Dealer Listing - the namimg in a product advertisement of certain retailers who have stocks; the naming of dealers is done as a convenience to consumers and to encourage the retailers to carry higher stock levels. Also referred to as Tagging.

Dealer Loader - a gift given to a retailer who purchases a specified quantity of a product during a trade sales promotion. See Trade Sales Promotion.

Death of Salesman - a play by the U.S. playwright, Arthur Miller, set in the 1930s, the era of the "selling concept"; the play and its central character, Willy Loman, a salesman, are often referred to in sales training material.

Decentralised Exchange System - any system for the exchange of goods or services which does not utilise a central marketplace. See Centralised Exchange System.

Deceptive Advertising - advertising intended to deceive consumers with false or misleading claims.

Deceptive Packaging - packaging intended to deceive the purchaser; excessive ullage creates the impression that the volume of the contents is greater than it actually is. See Ullage.

Deceptive Pricing - the pricing of goods and services in such a way as to cause a customer to be misled; an example of deceptive pricing is bait-and-switch pricing. See Bait-and-Switch Pricing.

Deciders - those who actually make the decision in the organisational buying process; the deciders are often difficult to identify because they may not necessarily have the formal authority to buy. See Buying Centre.

Decision Flow Diagram - see Decision Tree.

Decision Making - choosing between alternative courses of action using cognitive processes - memory, thinking, evaluation, etc; also called Problem Solving.

Decision Matrix - a tool used in decision making in which the various dimensions of a problem are listed and rated to determine the most appropriate alternative in a particular situation.

Decision Support System - any computerised system of changing raw data (sales, stock levels, etc) into information that can be used by management in decision making.

Decision Tree - a decision-making tool in which alternative options are portrayed graphically as branches on a tree; also referred to as a Decision Flow Diagram.

Decline Stage - the final stage of the product life cycle (after introductory stage, growth stage and maturity stage) when sales are dropping because the original need and want have diminished or because another product innovation has been introduced. See Product Life Cycle; Introductory Stage; Growth Stage; Maturity Stage.

Decoding - the step in the communication process in which the receiver accepts and interprets the message. See Communication Process; Encoding.

Deep Assortment - an assortment strategy in which a reseller decides to carry many variants of each product in the range. See Assortment Strategies; Broad Assortment; Exclusive Assortment; Scrambled Assortment.

Defensive Advertising - advertising intended to combat the effects of a competitor's promotion.

Deflation - a slowing of the economy characterised by falling prices and wages; the reverse of inflation.

Delayed Quotation Pricing - an industrial pricing method in which the seller delays quoting a price until delivery; the method protects the seller against cost over-runs and production delays.

Delivered Pricing - a pricing method in which the final price to the buyer is adjusted to include transportation costs; the seller takes responsibility for arranging delivery but adds the cost to the quoted price. Four widely used methods of delivered pricing are single-zone pricing, multiple-zone pricing, base-point pricing and freight-absorption pricing. See Base-Point Pricing; Freight-Absorption Pricing; Multiple-Zone Pricing; Single-Zone Pricing.

Delphi Technique - a forecasting method in which a cordinator seeks predictions from experts who revise their opinions in light of the opinions of the others until some degree of consensus is reached.

Demand - a measure of those in a market who wish to buy a product and can afford to do so.

Demand Backward Pricing - a pricing method in which an estimation is made of the price that customers are willing to pay for a given product; this price is then compared to the per unit cost to see if it meets the firm's profit objectives.

Demand Curve - a line drawn on a graph to represent the number of units of a product which will be purchased at any particular price point.

Demand Elasticity - see Elasticity of Demand.

Demand Inelasticity - see Inelasticity of Demand.

Demand-Backward Pricing - a method of pricing in which prices are set by determining what consumers are willing to pay; then, costs are deducted to see if the profit margin is adequate.

Demand-Pull Approach - developing new products on the basis of market demand rather than on that of company-generated ideas. See Product-Push Approach.

Demarketing - marketing aimed at limiting growth; pracised, for example, by governments to conserve natural resources, or by companies unable to serve adequately the needs of all potential customers.

Democratic Leadership Style - a style of leadership characterised by group participation in decision-making. See Autocratic Leadership Style.

Demographic Characteristics - variables within a nation's population, such as age, gender, income level, marital status, ethnic origin and education level.

Demographic Segmentation - the division of the heterogeneous population of a country into relatively homogeneous groups on the basis of variables within the population mix; sometimes called State-of-Being Segmentation. See Segmentation Bases.

Demographic Variables - see Demographic Characteristics.

Demography - the study of the range of physical, social and economic characteristics that exist within a population.

Department Store - a large retail store offering a wide variety of goods in different departments. See Full-Line Department Store; Limited-Line Department Store.

Dependent Variables - the variables in a research experiment which are affected by manipulation of the explanatory or experimental variables. See Experimental Variables.

Deployment - the configuration or arrangement of a sales force into territories on some logical basis.

Depreciation - an allowance made in a balance sheet for wear and tear; a measure of the loss of value of a fixed asset because of use or obsolescence.

Depth Interviews - a qualitative marketing research approach in which interviews are conducted by a trained moderator with individuals, rather than with groups, to obtain information about a product or brand. See Focus Group.

Depth of Product Line - see Product Line Length.

Depth Selling - see Problem-Solving Approach.

Deregulation - the complete or partial removal of government control and restrictions relating to a specific business activity or industry.

Derived Demand - demand for raw materials in a producer market which is based on the demand for consumer products. See Primary Demand.

Descriptive Label - a label on a product which announces the size, net weight, ingredients, composition, nutritional value, etc. See Label.

Designated Marketing Area - See Area Of Influence.

Desire Competitors - all companies and organisations offering a product that the consumer desires immediately. See Competitors.

Desk Jobber - see Drop Shipper.

Desk Research - see Secondary Research.

Desk-to-Desk Direct Marketing - a form of business-to-business selling in which firms purchase and use computer databases to locate potential customers; typically, the databases are compiled by list brokers and are organised according to business type, sales revenue, number of employees, location and telephone area code.

Detailer - a salesperson, especially in the pharmaceutical drug industry, whose primary task is to inform clients about new products. See Missionary Selling.

Determinance Model (of Brand Evaluation) - a model used in the study of consumer decision processes to evaluate alternative brands. The idea that consumers, about to make a purchase, will not be swayed in their product choice by any one product attribute, no matter how important, if all products possess the same amount of the attribute. Thus, the decision is made on the basis of a less important attribute. Other models of brand evaluation include the expectancy-value model, ideal brand model, conjunctive model, lexicographic model and determinance model.

Deterministic Models - a statistical tool used in sales forecasting in which marketing variables, such as price levels, advertising expenditures and sales promotion expenses, are used to predict market share or sales.

Developmental Marketing - marketing acitivity intended to increase demand for a product that appears to meet an evident market need.

Dichotomous Question - a closed-ended question in a marketing research questionnaire in which the respondent must choose one of only two possible responses. See Multichotomous Question.

Differential Advantage - the element or factor in a firm's product or strategy which makes it superior to that of a competitor.

Differential Pricing - a pricing strategy in which a company sets different prices for the same product on the basis of differing customer type, time of purchase, etc; also called Discriminatory Pricing, Flexible Pricing, Multiple Pricing, Variable Pricing. See One-Price Policy.

Differentiated Marketing - the division of a heterogeneous market into relatively homogeneous segments so that the needs and wants of the different segments may be served more effectively; a segmented approach to marketing.

Differentiated Segmentation Strategy - one of four possible approaches (with concentrated segmentation strategy, market segment expansion strategy and product line expansion strategy) available to a firm in relation to the segment or segments it wishes to target; in a differentiated segmentation approach a firm operates in several or all segments and targets different products to each. See Segmentation Strategies; Concentrated Segmentation Strategy; Market Segment Expansion Strategy; Product Line Expansion Strategy.

Differentiation

Differentiation Focus

Diffusion of Innovation - the idea that some groups within a market are more ready and willing to adopt a new product than others and that the product is diffused through a society in waves; the groups, in order of their readiness to adopt are innovators (2.5 percent of the population), early adopters (13.5 percent), early majority (34 percent), late majority (34 percent) and laggards (16 percent).

Diffusion Process - the manner in which an innovative technology spreads across a market group by group according to the readiness of each group to adopt it. See Diffusion of Innovation.

Direct Accounts - large accounts serviced by head office personnel or company executives rather than by salespeople in regional offices; sometimes called House Accounts or National Accounts.

Direct Close - the most straight-forward closing approach; the salesperson simply asks the buyer for an order. See Close.

Direct Competition - a product or brand which competes in the same product category. See Indirect Competition.

Direct Competitive Advertising - advertising intended to stimulate immediate purchase of a particular brand. See Indirect Competitive Advertising.

Direct Costs - costs which can be attributed directly to the production of a particular product. See Indirect Costs.

Direct Denial Method - handling a buyer's objection by contradicting it in a "head-on" manner. See Objections.

Direct Mail Advertising - advertising direct to end-users by sending catalogues or other sales literature through the post.

Direct Marketing - selling to end-users by means other than direct sales contact between salesperson and buyer; the use of calalogues, direct-mail advertisements, etc. to sell merchandise and services. See Direct Selling.

Direct Marketing Channel - a distribution channel in which no intermediaries are used; a manufacturer sells direct to an end-user; also called a Zero Level Channel. See Channel Length.

Direct Selling - selling directly to end-users by means of a sales force. See Direct Marketing.

Direct-Response Marketing - a form of non-store retailing in which customers order merchandise by mail or telephone and the goods are shipped direct to their homes; also referred to as Direct-Response Selling. See At-Home TV Shopping.

Direct-to-Home Retailing - see Direct-Response Selling.

Directive Probes - questions posed to prospective buyers to obtain a better understanding of the customer and the customer's business.

Directories - classified lists of names and adresses of individuals and organisations used in selling for prospecting for new accounts and in marketing research as sources of secondary data.

Disaggregated Market - a market in which separate products must be made for each customer because each has different needs; also referred to as Complete Segmentation. See Customised Marketing Mix; Market Atomisation Strategy.

Discontinuous Innovation - entirely new-to-the world products made to perform a function for which no product has existed previously.

Discount - a reduction off the list price offered by a producer to a buyer; five types of discounts are common: trade, quantity, cash, seasonal and allowances. See Allowances; Cash Discount; Quantity Discount; Seasonal Discount; Trade Discount.

Discount House - a retailer specialising in consumer durables and soft goods, attracting customers with low prices; typically, discount houses operate on low mark-ups and offer a minimum of customer service.

Discount Store - see Discount House.

Discretionary Income - the balance of a person's income which is available for spending after payment of the basic necessities of life and fixed commitments such as mortgage, rent and rates. See Disposable Income.

Discriminatory Pricing - see Differential Pricing.

Diseconomies of Scale - see Economies of Scale.

Disjunctive Model (of Brand Evaluation) - a model used in the study of consumer decision processes to evaluate alternative brands; the idea that consumers, about to make a purchase, evaluate competing brands on the basis of one or a few attributes, ignoring their standing on other attributes. Other models of brand evaluation include the expectancy-value model, ideal brand model, conjunctive model, lexicographic model and determinance model.

Display Aids - see Visual Aids.

Display Allowance - a type of trade sales promotion in which buyers are given incentives in the form of price reductions or merchandise to encourage them to display the items purchased prominently. See Allowances.

Disposable Income - the balance of a person's income after payment of tax liability. See Discretionary Income.

Dissociative Groups - groups with whom an individual does not wish to be associated; groups whose use of a product will deter other buyers. See Aspirational Groups;

Dissonance - see Cognitive Dissonance.

Distortion - see Selective Distortion.

Distribution Centre - a short-term storage centre located close to a major market to facilitate the rapid processing of orders and shipment of goods to customers; unlike a warehouse, the emphasis is on the moving of goods rather than on long-term storage.

Distribution Channels - see Marketing Channels.

Distribution Costs - costs associated with the holding of inventory and the shipment of goods to customers.

Distribution Intensity - the level of availability selected for a particular product by the marketer; the level of intensity chosen will depend upon factor such as the production capacity, the size of the target market, pricing and promotion policies and the amount of product service required by the end-user. See Exclusive Distribution; Intensive Distribution; Selective Distribution.

Distribution Management - see Physical Distribution Management.

Distribution Strategy - see Place Strategy.

Distribution-Based Pricing Strategies - pricing methods designed to recover or offset the costs associated with the shipment of goods to distant customers. See Geographic Pricing.

Distributor's Brand - a brand owned or controlled by an organisation, the primary economic commitment of which is to distribution rather than production; also called a private brand or a house brand. See Manufacturer's Brand.

District Sales Manager - a sales manager with responsibility for the sales activities within a particular region or district.

Divergent Acquisition - difersification into new or unrelated businesses. See Convergent Acquisition; Diversification.

Diversification - a growth strategy in which an organisation takes on new products and new markets at the same time. See Growth Strategies; Concentric Diversification; Conglomerate Diversification; Horizontal Diversification.

Diversification Risk Model

Divest Strategy - a planned decision to get out of a particular business or product line; to sell off.

Divisibility - the extent to which a new product can be tested in a limited scale purchase. See Adoption Rate Determinants.

Divisional Marketing Manager - a marketing manager with responsibility for the marketing activities of one of the operating divisions of a company.

Divisional Sales Manager - a sales manager with responsibility for the sales activities of one of the operating divisions of a company.

DIY Goods - goods produced for the "do-it-yourself" market.

DMA - See Designated Marketing Area.

Dogs - a product classification used in the Boston Consulting Portfolio Analysis Matrix; dogs are products with a relatively low market share in a slow-growth market. See Boston Consulting Group Portfolio Analysis Matrix; Cash Cows; Question Marks; Stars.

Dollar Volume Quota - a common form of sales assignment, goal or target used to measure a salesperson's performance; for example, the salesperson may be told that his or her sales must total $400,000 during the coming year. Other common forms of sales quotas are unit volume quotas, gross margin quotas, net profit quotas and activity quotas. See Sales Quota.

Dominant Design - a product configuration which endures; a particular combination of product features which appears to satisfy the market and survives, without major change, for some time.

Door-to-Door Selling - direct selling in which a salesperson calls on prospective buyers at their homes without appointments.

Down-Market Consumers - consumers who habitually look for, and purchase, low-priced rather than more expensive products. See Up-Market Consumers.

Downside Elasticity - a term used in reference to the sensitivity of consumers to a decrease in the price of a particular product; downside elasticity means that the demand for the product increases significantly as the price falls. See Downside Inelasticity; Upside Elasticity; Downside Elasticity.

Downside Inelasticity - a term used in reference to the sensitivity of consumers to a decrease in the price of a particular product; downside inelasticity means that there is no significant increase in demand as the price falls. See Downside Elasticity; Upside Elasticity; Upside Inelasticity.

Downward Stretching - introducing a new product into a product line at the lower priced end of the market. See Product Line Stretching; Upward Stretching; Two-Way Stretching.

DPI - abbrev. Disposable Personal Income.

Dramatisation of Presentation - the vitality given to a presentation or demonstration of a product by a salesperson to a buyer; presentations can be dramatised by using audiovisual aids, involving the buyer in the operation of the product, etc.

Drip Advertising - limited expenditure on advertising over a relatively long period of time. See Burst Advertising Expenditure.

Drive - a motivating force or need sufficiently strong to impel a person to seek its satisfaction. See Learning Process.

Driver (Social Style) - one of the four social styles (with Amiable, Analytical and Expressive) commonly used to classify salespeople and their customers; Drivers are characterised by high assertiveness and low responsiveness. See Social Style; Amiable; Analytical; Expressive.

Drop Error - a mistake made by a company in deciding to abandon a new product idea that, in hindsight, might have been successful if developed. See Go Error; New Product Development.

Drop-In Product - a product that is so nearly identical to that of a competitor that it can be "dropped in" to the competitor's equipment or machinery without the need to alter settings and without affecting performance.

Drop Shipper - a marketing intermediary who receives orders from customers and forwards them to a producer for shipment direct to the customer; the drop shipper takes title to the goods but never actually handles them. Also called a Desk Jobber.

Drummers - a nineteenth century term of American origin for a travelling salesperson.

DSS - abbrev. Decision Support System.

Dual Distribution - a system of marketing channel organisation in which a manufacturer uses two approaches simultaneously to get products to end-users; commonly, one approach is to use marketing intermediaries, while the other is to sell direct to end-users.

Dummy Media Vehicle - a mock-up of a media vehicle (magazine, etc) used to test advertising effectiveness with a representative group of the target market.

Dumping - a practice in which a firm sells its product cheaply into a foreign market undercutting the domestic price.

Durables - see Consumer Durables.