chapter seven marketing, advertising, and imc planning arens|schaefer|weigold copyright © 2015...
TRANSCRIPT
Chapter SevenMarketing, Advertising, and IMC Planning
Arens|Schaefer|Weigold
Copyright © 2015 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education.
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Learning Objectives
• Explain the role and importance of a marketing plan
• Distinguish between objectives, strategies, and tactics in marketing and advertising plans
• Show what makes IMC planning different from traditional methods
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Learning Objectives
• Explain how to establish specific, realistic, and measurable advertising objectives
• List the various approaches for determining advertising budgets
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Marketing Plan
• Directs a company’s marketing effort• Assembles relevant facts about the
organization, its markets, products, services, customers, and competition
• Forces all departments to focus on the customer
• Lists goals and objectives for specific periods of time
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Marketing Plan
• Lays out precise strategies and tactics to achieve them
• Length and complexity of the plan depends on the size of the company
• Ongoing activity
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Effect of the Marketing Plan on IMC
• Helps analyze and improve all company operations
• Defines the role of advertising in the marketing mix
• Enables better implementation, control, and continuity of advertising programs
• Ensures efficient allocation of IMC dollars
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Exhibit 7.1 - Traditional Top-Down Marketing Plan
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Marketing Objectives, Strategies, and Tactics
• Goals of the marketing effort expressed in terms of the needs of specific target markets and specific sales objectives
Marketing Objectives
• Statement of how the company is going to achieve its marketing objectives
Marketing Strategies
• Specific short-term actions used to achieve marketing objectives
Marketing Tactics
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Exhibit 7.2 - Bottom-Up Marketing Plan
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Exhibit 7.3 - Relationship Levels and Profit Margins
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Integrated Marketing Communications (IMC)
• Building and reinforcing mutually profitable relationships with the stakeholders and the general public – By developing and coordinating strategic
communications programs that make contact with a brand through media
• Synergy: When the sum of the parts is greater than that expected from adding together the individual components
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Exhibit 17.5 - The Integration Triangle
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Advertising Plan
• Reviewing the marketing plan– Information from the situation analysis
should be organized into a SWOT analysis
• Setting advertising objectives– Tasks to be taken on by advertising is
determined– Advertising objectives should be
specific, realistic, and measurable
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Allocating Funds for Advertising
• Advertising - Current business expense– Increase in market share related to
increase in marketing budget in consumer goods marketing
– Requirement of consistent investment due to brief durability
– Presence of levels:• Below which advertising has no effect on sales• Above which additional ad expenditures have
no effect on sales
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Methods of Allocating Funds
• Based on a percentage of the previous year’s sales, the anticipated sales for the next year, or a combination of the two
Percentage-of-sales
• Based on:• Determining the firm’s goals for a certain share of the market • Applying a slightly higher percentage of industry advertising dollars
to the budget
Share-of-market/share-of-voice
• Defines objectives and how advertising is to be used to accomplish them
Objective/task method