21.marketing communications

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    Designing and Managing Integrated Marketing

    Communications

    What is the role of marketing

    communications?

    What are the major steps in developing

    effective communications?

    What is the communications mix, and how

    should it be set?

    What is an integrated marketing

    communications program?

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    Designing and Managing Integrated Marketing

    Communications

    Marketing communications are the

    means by which firms attempt toinform, persuade, and remind

    consumers, directly or indirectly, about

    the products and brands they sell

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    Communication Platforms

    Advertising

    Print/broadcast ads

    Packaging inserts

    Motion pictures Brochures/booklets

    Posters

    Billboards

    POP displays

    Logos

    Sales Promotion

    Contests, games,sweepstakes

    Premiums

    Sampling

    Trade shows/exhibits

    Coupons

    Rebates Entertainment

    Continuity programs

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    Communication Platforms

    A continuity programis a companys sales

    offer where a buyer/consumer is agreeing to

    receive merchandise or services automatically

    at regular intervals (often monthly), without

    advance notice, until they cancel.

    Ex: wine clubs, book clubs

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    Communication Platforms

    Events/Experiences

    Sports

    Entertainment

    Festivals Arts

    Causes

    Factory tours

    Company museums

    Street activities

    Public Relations

    Press kits

    Speeches

    Seminars Annual reports

    Charitable donations

    Publications

    Community relations

    Lobbying

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    What makes up a Press Kit?

    Common elements include: a pocket folder; a copy of the most recent

    media release; a one-page fact sheet, summary or timeline; relevant bio

    or background information about the company, organization, individual or

    cause; and a business card from the point of contact. Other elements

    might include drawings, renderings or photos. Again details driven by

    purpose: new product launch; issue-oriented event; relationship-building

    initiative.

    Design look should be consistent with look, feel, colors of your client

    company, nonprofit or association. And you probably want to create

    design which is easily read and easily transferable so the kit elements canbe posted and made available for easy downloading from the client's Web

    site.

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    Communication Platforms

    Personal Selling

    Sales presentations

    Sales meetings

    Incentive programs Samples

    Fairs and trade shows

    Direct Marketing

    Catalogs

    Mailings

    Telemarketing Electronic shopping

    TV shopping

    Fax mail

    E-mail

    Voice mail

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    Steps in Developing Effective Communications

    Identify target audience

    Determine objectives

    Design communications Select channels

    Establish budget

    Decide on media mix Manage IMC

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    Communications Objectives

    Category need (a new category product requiringeducation of consumers)

    Brand awareness

    Brand attitude (will tell what people think about aproduct or service, whether the product answers a consumer

    need)

    Purchase intention

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    Design the Communications

    Creative strategy

    Informational appeal

    Transformational appeal

    Message strategy

    Message source

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    Communication Designs

    An informational appeal elaborates on product or service

    attributes or benefits. Examples in advertising are problem-

    solution ads (Excedrin stops headache pain quickly), product

    demonstration ads (Thompson Water Seal can withstand

    intense rain, snow, and heat), product comparison ads(Verizon offers better on-line Internet access Comcast) and

    testimonials from unknown or celebrity endorses (NBA

    phenomenon LeBron James pitching Coca-Cola and Nike).

    Informational appeals assume very rational processing of thecommunication on the part of the consumer. Logic and reason

    rule.

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    Communications Designs

    A transformational appeal elaborates on a non-product-related benefit or image. It might depict whatkind of person uses a brand (Ron Jon advertises toactive, youthful surfers and skaters) or what kind of

    experience results from the brand (Disneyland istouted as the happiest place on earth).

    Transformational appeals often attempt to stir up

    emotions that will motivate purchase.

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    What is a message strategy?

    The message strategy is like a foundation for all your

    marketing. It needs to be strong or your marketing

    efforts will fall apart. Your message strategy consistsof a positioning statement and three support points.

    They address key target market problems by stating a

    benefit. (For example, why the target market should

    care about your product, service or company.)

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    What is a message strategy continued.

    Your positioning statement becomes the central idea ortheme for all your marketing activities.

    Once you've developed a positioning statement, you need

    to bolster it with three supporting claims.

    Supporting points provide a structure for productdemonstrations. While the positioning statementarticulates a high-level, abstract benefit, the claims made in

    the supporting statements should be readily demonstrable;that is, in just a few steps, you should be able to show howthe product delivers concrete benefits.

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    What is Message Sourcing?

    Message source is one critical constituent that

    determines the success of advertising. The message

    source should be selected with due concern tocommunicate the intended advertising message. The

    message source is based on different source

    attributes such as credibility and attractiveness

    within which aspects of knowledgeability,trustworthiness, similarity, likeability and favorability

    are embedded.

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    Stimulating Personal

    Communications Channels

    Identify influentials (targeting influencers is seen as ameans of amplifying marketing messages)

    Create opinion leaders Use influentials in communications

    Develop ads with high conversation value

    Use viral marketing (the use of pre-existing socialnetworks and other technologies to produce increases inbrand awareness)

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    Select Communication Channels

    Personal communication channels (For example,face to face, phone, emails)

    Nonpersonal communication channels (Forexample, a TV commercial broadcast on a prime time showmay be seen by millions of households at a given time. )

    Integration of communication channels (Onlineand Offline marketing)

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    Nonpersonal Communication Channels

    Media

    Sales promotion Events and experiences

    Public relations

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    Establish the Budget

    Affordable

    Percentage-of-sales Competitive parity

    Objective-and-task

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    What is Percentage-of-Sales?

    Advertising expense budgeting method based

    on allocating a fixed percentage (say 5

    percent) of the anticipated sales revenue to

    advertising.

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    What is Competitive Parity?

    A term used to describe a method of

    allocating a budget for promotional activities

    that depends on what competitors are

    spending for similar activities. Also called

    defensive budgeting.

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    What is Objective and Task?

    Refers to an advertising expense budgeting

    method based on the (1) results to be

    achieved, (2) strategies and tactics required to

    achieve those results, and (3) costs associated

    with those strategies and tactics.

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    Characteristics of Communications

    Public Relations and

    Publicity

    High credibility

    Ability to catch buyersoff-guard

    Dramatization

    Events and Experiences

    Relevant

    Involving

    Implicit

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    Factors in Setting Communications Mix

    Type of product market

    Consumer readiness to make a purchase Stage in the product life cycle

    Market rank

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    Type of product market

    Communications mix allocations vary between

    consumer and business markets. Consumer

    markets tend to spend comparatively more on

    sales promotion and advertising; business

    marketers tend to spend comparatively more

    on personal selling.

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    Buyer Readiness Stage

    There are 5 stages in the buyers readiness:

    Awareness Comprehension

    Conviction

    Order

    Reorder