chapter 1 integrated marketing communications. chapter 1: imc chapter objectives we will: 1. review...
TRANSCRIPT
Chapter 1
Integrated Marketing Communications
Chapter 1: IMC
Chapter Objectives
We will:
1. Review the various elements of the promotional mix
2. Summarize the IMC planning process and examine the steps in a marketing communications program
Chapter 1: IMC
Chapter Objectives
3. Introduce the concept of integrated marketing communications
4. Examine how various elements must be coordinated to communicate effectively with the IMC perspective
Chapter 1: IMC
The Marketing & Promotional Mixes
Product PromotionPlacePrice
AdvertisingDirect marketing
Internet MarketingSales promotion
Publicity/public relationsPersonal selling
Elements of the Promotional Mix
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Elements of the Promotional Mix
• Figure 1-1
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Advertising
• Cost effective for communicating to a large audience.
• Creates brand images and symbolic appeal.• Strikes a responsive chord with consumers,
popular campaigns get attention.
Any paid form of nonpersonal communication about an organization, product, service,
or idea by an identified sponsor
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Advertising to Markets
Consumer Markets• National Advertising
– Goal to inform and remind consumer
• Retail/Local Advertising– Goal to increase store traffic
Creating Demand• Advertising to increase demand
– Primary demand for the product category - Jeans– Selective demand for a specific brand - Levi's
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Advertising to Markets
Business & Professional Advertising– Business-to-business advertising– Professional advertising– Trade advertising
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Sales Promotion
Marketing activities that provide extra value or incentives to the sales force, distributors, or ultimate consumers and can stimulate immediate sales.
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Types of Sales Promotion
• Customer-oriented– Targeted to the ultimate users of a product or
service• Coupons, sampling, premiums, rebates, contests,
sweepstakes, POP materials
• Trade-oriented– Targeted toward marketing intermediaries such as
retailers, wholesalers, or distributors• Promotion allowances, merchandise allowances, price
deals, sales contests, trade shows
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Public Relations
The management function which evaluates public attitudes, identifies the policies and procedures of an individual or organization with the public interest, and executes a program of action to earn public understanding and acceptance.
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Public Relations
Tools used by public relations.• Publicity.• Special publications.• Community activity participation.• Fund-raising.• Special event sponsorship.• Public affairs activities.
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Publicity
Non-personal communications regarding an organization, product, service, or idea not directly paid for or run under identified sponsorship.
– Publicity is NOT advertising.– Advertising.
• Paid, sponsor-identified, non personal (media) communications.
– Publicity.• Non-paid, unsponsored, non personal (media)
communications.
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Publicity Vehicles
• News releases:– Single-page news stories sent to media who might print or
broadcast the content.
• Feature articles:– Larger manuscripts composed and edited for a particular
medium.
• Captioned photos:– Photographs with content identified and explained below the
picture.
• Press conferences:– Meetings and presentations to invited reporters and editors.
• Special events:– Sponsorship of events, teams, or programs of public value.
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Direct Marketing
Organizations communicate directly with target customers to generate a response and/or transaction.
• Direct marketing methods.– Direct mail.– Cataloging.– Telemarketing.– Direct response ads.– Internet sales.
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Interactive/internet Marketing
Interactive media allow for a back and forth flow of information whereby users can participate in and modify the form and content of the information they receive in real time.
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Interactive/internet Marketing
Multiple internet roles– As a persuasive advertising medium– As a means to educate or inform customers– As a sales tool or an actual sales vehicle– To obtain customer database information– To communicate and interact with buyers– To provide customer service and support– To build and maintain customer
relationships
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Personal Selling
A form of person-to-person communication in which a seller attempts to assist and/or persuade prospective buyers to purchase to company’s product or service or act on an idea.
– With this type of interaction the flexibility exists to tailor the message to the customers specific need or situation.
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Integrated Marketing Communications
Coordinating the various promotional elements and other marketing activities that communicate with
the firm’s customers.
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Integrated Marketing Communications
An IMC plan evaluates the strategic roles of a variety of communications disciplines:• General advertising• Direct marketing• Sales promotion• Publicity/Public relations• Internet advertising• Personal Selling
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Integrated Marketing Communications
An IMC Plan combines the disciplines to provide the “Big Picture”:• Clarity• Consistency• Maximum communications impact
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Reasons for Growth of IMC
• Planning efficiency and effectiveness.– By coordinating marketing communication
efforts companies avoid duplication, take advantage of synergy, and develop more efficient and effective programs.
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Reasons for Growth of IMC
• Consumer adoption of technology and media.– Consumers lifestyles and purchasing
behavior are changing as they adopt new technologies.
– Traditional media are facing declining audiences and less responsive consumers.
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Reasons for Growth of IMC
• Innovative marketing practices.– A shift in marketplace power from
manufacturers to retailers.
– A shifting of marketing dollars from media advertising to other forms of promotion.
– A movement away from relying on advertising- focused approaches to solve communication problems.
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Reasons for Growth of IMC
• Innovative Marketing Practices.
– The rapid growth and development of database marketing.
– Demands for greater accountability from ad agencies and changes in compensation.
– Rapid growth of the internet.
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Importance of IMC
• Customer’s point of view.– All elements of the promotional campaign
have to be carefully linked in some manner so that the message is clear and does not misrepresent the brand.
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Importance of IMC
• Relationship marketing.– Creating, maintaining, and enhancing long-
term relationship with individual customers as well as other stakeholders for mutual benefit.
– Marketers must recognize which tools within the promotional mix are enhancing the relationship.
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Planning for IMC:Promotional Management
Coordinating the promotional mix elements to develop a controlled, integrated program of effective marketing communications.
– Considerations for developing the promotional mix include:
• Type of product.• Buyer’s decision process.• Stage of product life cycle.• Channels of distribution.
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The Marketing Plan
1. A detailed situation analysis
2. Specific marketing objectives
3. A marketing strategy and program
4. A program for implementing the strategy
5. A process for monitoring and evaluating performance
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Situation Analysis
Internal analysis. Assesses relevant areas involving the
product/service offering and the firm itself.
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Situation Analysis
Internal factors.– Assessment of the firm’s promotional
organization and capabilities.– Review of the firm’s previous promotional
programs.– Assessment of firm or brand image and
implications for promotion.– Assessment of relative strengths and
weaknesses of product/service.
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Situation Analysis
• External analysis.– Focuses on factors such as characteristics of a
firms customers, market segments, environment and competitors.
• External factors.– Who, what, how, when, why, where.– Customer analysis. – Competitive analysis.– Environmental analysis.
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Discussion Questions
Consider all the elements/IMC tools of the promotional mix that are used to market a ( car, cel phone, computer, running shoes, watch, shampoo) that a college student might be expected to buy. Explain why each tool would be effective or would not be effective to create awareness.