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CELEBRITY MIX PAGE OF THE STARS

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CELEBRITY MIX

PAGE OF THE STARS

Designing and managing integrated marketing communications

#markcomm

#imc

How communications work and what marketing communications can do for a company.

It addresses how holistic marketers combine and integrate marketing communications.

Marketing communicationsMarketing communicationsare the means by which firms attempt to inform, persuade, and remind consumers, directly or indirectly, about the products and brands they sell

Communication Platforms

• Advertising

• Sales promotion

• Events and experiences

• Public relations and publicity

• Direct marketing

• Interactive marketing

• Word-of-mouth marketing

• Personal selling

Communication Platforms

Advertising

Print and broadcast ads

Packaging inserts

Motion pictures

Brochures and booklets

Posters

Billboards

POP displays

Logos

Videotapes

Characteristics of Advertising

a nonpersonal presentation and promotion of ideas, goods and services by a known sponsor

Pervasiveness : Repeated message

Amplified, expressiveness: Dramatize

Control

Communication Platforms

Sales Promotion

#short term incentives

Contests, games, sweepstakes

Premiums

Sampling

Trade shows, exhibits

Coupons

Rebates

Entertainment

Continuity program

Characteristics of Sales Promotion

Communication

Incentive

Invitation

Communication Platforms

Events/ Experiences

Sports

Entertainment

Festivals

Arts

Causes

Factory tours

Company museums

Street activities

Characteristics of Events and Experiences

Relevant

Involving

Implicit

Communication Platforms

Public Relations

Press kits

Speeches

Seminars

Annual reports

Charitable donations

Publications

Community relations

Lobbying

Identity media

Company magazine

BELO BEAUTY 101

Characteristics of Public Relations and Publicity

Programs directed internally and externally to protect the company’s image

High credibility : new authentic stories

Ability to reach hard-to-find buyers

Dramatization: stories behind the company

Communication Platforms

Personal Selling #facetoface

Sales presentations

Sales meetings

Incentive programs

Samples

Fairs and trade shows

Characteristics of Personal Selling

Personal interaction

Cultivation

Response

Communication Platforms

Direct Marketing

Catalogs

Mailings

Telemarketing

Electronic shopping

TV shopping

Fax mail

E-mail

Voice mail

Blogs

Websites

Characteristics of Direct Marketing

Customized

Up-to-date

Interactive

Communication Platforms

Word-of-Mouth Marketing

• Person-to-person

• Chat rooms

• Blogs

Characteristics of Word of Mouth Marketing

Credible

Personal

Timely

Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall

Factors in Setting Communications Mix

• Type of product market

• Buyer readiness stage

• Product life cycle stage

Factors in Setting the Marketing Communications Mix

1.Type of Product Market:

Consumer vs Business Markets

2. Buyer Readiness Stage

Current Consumer States for Two Brands -sample

3. PRODUCT LIFE CYCLE STAGE

• Introduction stage : Advertising, events and experiences, and publicity followed by personal selling and direct marketing

• Growth stage : word of mouth and interactive marketing.

• Maturity Stage: Advertising, events and experiences, and personal selling

• Decline stage: sales promotion

1990 to present

Elements in the Communications Process

Field of Experience

MESSAGE MEDIA

Elements Response Hierarchy Models

AN IDEAL AD CAMPAIGNThe right consumer is exposed to the message at the right time and place

Causes consumer to pay attention

Reflects consumer’s level of understanding and behaviors with product

Correctly positions brand in terms of points-of-difference and points-of-parity

Motivates consumers to consider purchase of the brand

Creates strong brand associations

SAMPLES OF BEST AD CAMPAIGNSREAL DOVE BEAUTY SKETCHERS (TV AD)

A reminder to every woman that she is beautiful –no matter what other people say. The ad prolongs engagement with the audience as it prompts them to visit a site where they can view the individual sketches in the campaign.

SAMPLES OF BEST AD CAMPAIGNSGULPihan sa 7 Eleven ( Interactive)

People were spoiling for a fight online because of the Philippines’ most controversial election. Gulp’s 7-Election wanted to own this.

Clear target audience in mind:

potential buyer

current users

deciders or influencers

individuals, groups, particular publics, or the general public

IMPORTANT FACTORS: USAGE AND LOYALTY

STEPS IN DEVELOPING EFFECTIVE COMMUNICATIONS:STEP 1: IDENTIFY THE TARGET AUDIENCE

STEP 2 : Communications Objectives

•Category need

•Brand awareness

•Brand attitude

•Purchase intention

STEP3 : DESIGNING COMMUNICATIONS

Message Strategy

Appeal to position brand

Establish point-of-parity or point-of-difference

Service performance or other extrinsic factors

Rational, social, sensory or ego satisfaction with result-of-use, product-in-use and incidental use experience

STEP3 : DESIGNING COMMUNICATIONS

CREATIVE STRATEGY

Informational Appeal: product and service attributes

ADS: problem solution, product demonstration, product comparison, testimonials

Transformational Appeal: non-product benefit or image; stir up emotion

Positive (motivational) or negative appeal

Message Source

Celebrity CharacteristicsExpertiseTrustworthinessLikeability

Principle of Congruity

STEP 4: SELECT COMMUNICATION CHANNELS

• PERSONAL COMMUNICATIONS CHANNEL

Direct and interactive marketing, word of mouth, personal selling

Advocate, expert and social channels

• NONPERSONAL CHANNELS

Advertising, sales promotion, events and experience, public relations

INTEGRATION : COMMUNICATION MEDIUM TO OPINION LEADERS TO LESS INVOLVED POPULATION GROUP

STEP 5: ESTABLISH THE BUDGET

• Affordable Method

• Percentage-of-sales Method

• Competitive-parity Method

• Objective-and-task Method

Marketing Communication Expenditures Sample

Media PHP (Mn) % of Total

TV 72.1 40

Radio 23.7 13

Internet 45.8 25

Magazines 21.7 12

Newspaper 16.7 9

Events and Experiences -sample

• Php 300 Million spent on sponsorship in 201566% sports

11% tours

7% festivals, fairs

2% arts

10% causes

STEP 6: DECIDING ON MEDIA MIX

STEP 7: MEASURE RESULTS AND MANAGE IMC: integration of promotion, public relations , package design, Web site

development, and direct-mailing

Positive and Negative AppealsBURGER KING WHOOPER FREAK OUT CAMPAIGN (Interactive )

Burger King celebrated the 50th anniversary of the Whopper in 2007 by showing the reactions of real customers in Las Vegas to the news that the Whopper had been discontinued. On October 30, 2007, hidden film crews captured the reactions to news that their burger would no longer be available.

Managing Mass Communications

#masscomm

#massmedia

Examines mass ( nonpersonal) communications (advertising, sales promotions, events and experiences, public relations and publicity).

ADVERTISINGThe Five M’s of Advertising

MISSION:ADVERTISING OBJECTIVETARGET MARKET, BRAND POSITIONING AND

MARKETING PROGRAMInformative advertising: brand awareness

Persuasive Advertising: comparative advertising

Reminder Advertising: repeat purchase

Reinforcement Advertising: reinforce right choice made by purchaser

MATURE BRANDS: INCREASE USAGE

NEW BRANDS : ESTABLISH SUPERIORITY

MONEY: ADVERTISING BUDGET

• Stage in the product life cycle: Newer products - more

• Market share and consumer base: higher market share and customer base - less

• Competition and clutter: higher number of competitors and higher advertising spending market - more

• Advertising frequency: More repetitions - more

• Product substitutability: less differentiated products - more

MESSAGE

• Message generation and evaluation : What the ad wants to convey

• Creative development and execution: How the ad expresses a brand claim

• Social-responsibility review: should not offend the general public, ethnic groups, racial minorities, or special-interest groups

MEDIA: Television

Advantages

Reaches broad spectrum of consumers

Low cost per exposure

Ability to demonstrate product use

Ability to portray image and brand personality

Disadvantages

Brief

Clutter

High cost of production

High cost of placement

Lack of attention by viewers

RADIO

ADVANTAGES DISADVANTAGES

Pervasive Lack visual Image

Targeted Passive

Relatively inexpensive

Effective medium in the morning

Balance between broad and localized market

Print Ads

Advantages

Detailed product information

Timely and pervasive (newspaper)

Ability to communicate user imagery ( magazine)

Flexibility

Ability to segment

Disadvantages

Passive medium

Clutter

Unable to demonstrate product use

Print Ad Evaluation CriteriaPICTURE HEADLINE COPY

Is the message clear at a glance?

Is the benefit in the headline?

Does the illustration support the headline?

Does the first line of the copy support or explain the headline and illustration?

Is the ad easy to read and follow?

Is the product easily identified?

Is the brand or sponsor clearly identified?

Deciding on Media and Measuring Effectiveness

• Deciding on reach, frequency, and impact

• Choosing among major media types

• Selecting specific vehicles

• Deciding on media timing and allocation

• Evaluating advertising effectiveness

Media Selection• Reach (R)—the number of different

persons or households that are exposed to a particular media schedule at least once during a specified period.

• Frequency (F)—The number of times within the specified period that an average person or household is exposed to the message.

• Impact (I)—the qualitative value of an exposure through a given medium.

Relationship Among Trial, Awareness, and the Exposure Function

Choosing Among Major Media Types

Consider Four Main Variables

Target audience and media habits

Product characteristics

Message characteristics

Cost

Alternative Advertising Options• Place advertising (or out-of-home

advertising) is a broad category including many creative and unexpected forms to grab consumers’ attention where they work, play, and shop.• Billboards

• Public spaces

• Product placement

• Point-of-purchase

• Virtual Worlds as a Media Vehicle

Selecting Specific Vehicles• Audience size can be measured

by:• Circulation—number of physical

units carrying the advertising.

• Audience—number of people exposed to the vehicle.

• Effective audience—number of people with target audience characteristics exposed to the vehicle

Classification of Advertising Timing Patterns

Factors Affecting Timing Patterns

• Buyer turnover

• Purchase frequency

• Forgetting rate

Deciding on Media Timing and Allocation

• Continuity—exposures appear evenly throughout a given period.

• Concentration—spending all ad dollars in a single period.

• Flighting—advertise for a period, followed by a period with no advertising, followed by a second period of advertising activity.

• Pulsing—continuous advertising at low-weight levels reinforced periodically by waves of heavier activity

Evaluating Advertising Effectiveness

Communication-effect research(called copy testing)—seeks to determine whether an ad is communicating effectively.• Pretesting—before an ad is placed.

• Posttesting—after an ad is placed

Formula for measuring sales impact of advertising:• Share of expenditures

• Share of voice

• Share of mind and heart

• Share of market

Major Decisions in Using Sales Promotions:Establish ObjectivesConsumers: Sales Force:

> larger purchase > encourage support for new product or model

> trial for non users > more prospecting

> attracting switchers from competitors. > stimulating off season sales

Retailers :

> carry new items

> carry higher inventory

> off season buying

> offset competitive promotions

> brand loyalty

> entry to new retails outlets

Major Decisions in Using Sales Promotions:Select tools

Things to consider:

Type of market

Sales promotion objective

Competitive conditions

Tools cost effectiveness

Major Decisions in Using Sales Promotions:Develop Program

Things to consider:

Determine the size

Conditions for participation

Duration of the promotion

Distribution vehicle

Timing of promotion

Promotional budget

Major Decisions in Using Sales Promotions:Implementation and Evaluation

Lead time – time necessary to prepare the program

Sell in time – from promo launch and when approx. 95% of the deal is on the hand s of consumers

Ways to evaluate:

Using sales data

Consumer surveys

Experiments

Using Sales Promotions

Establish objectives

Select tools

Develop program

Pretest

Implement and control

Evaluate results

Events and Experiences

• Identify with a particular target market or life style

• Increase awareness of company or product name

• Create or reinforce perceptions of key brand image associations

• Enhance corporate image

• Create experiences and evoke feelings

• Express commitment to the community or on social issues

• Entertain key clients or reward key employees

• Permit merchandising or promotional opportunities

Major Sponsorship Decisions

Choosing event

opportunities

Designing sponsorship

programs

Event creation

Measuring sponsorship

activities

Customer Experience Management: Experience

Providers

Experiential marketing not only communicates features and benefits but also connects a product or service with unique and interesting experiences

Communications

Identity

Product presence

Co-branding

Communications

Identity

Product presence

Co-branding

Public Relations #mpr

Public relations (PR)—includes a variety of programs to promote or protect a company’s image or individual products.

PR Department Functions

• Press relations

• Product publicity

• Corporate communication

• Lobbying

• Counseling

Marketing Public Relations

• Launching new products

• Repositioning a mature product

• Building interest in a product category

• Influencing specific target groups

• Defending products that have encountered public problems

• Building the corporate image in a way that reflects favorably on its products

Major Tools in Marketing PR

•Publications

•Events

•Sponsorships

•News

•Speeches

•Public-service activities

•Identity media

Decisions in Marketing PR

Establish objectives

Choose messages

Choose vehicles

Implement

Evaluate results

PR OF Sheila Limon as Ambassador of PAMI

Word of Mouth

Earned media

Paid media

Direct Marketing

Direct marketing is the use of consumer-direct channels to reach and deliver goods and services to customers without

using market middlemen.

Channels: Objective:

Direct mail To communicate directly with or

Catalog marketing solicit response or dialogue from

Telemarketing specific customers and prospects.

Kiosks

Web sites

Mobile devices

Benefits of Direct Marketing

Market Demassification

Public and Ethical Issues in Direct Marketing

1. Irritation

2. Unfairness

3. Deception and fraud

4. Invasion of privacy

Interactive MarketingInteractive marketing – online activities and programs

designed to engaged customers or prospects and directly or indirectly raise awareness, improve image, or

elicit sales of products and services

Advantages/Disadvantages

• Tailored messages possible

• Easy to track responsiveness

• Contextual ad placement possible

• Search engine advertising possible

• Subject to click fraud

• Consumers develop selective attentionAverage time spent per day with select media according to US Consumers ,2009 (hrs:mins)

e-Marketing Guidelines(How to maximize the marketing value of e-mails)

• Give the customer a reason to respond

• Personalize the content of your emails

• Offer something the customer could not get via direct mail

• Make it easy for customers to unsubscribe

• Combine with other communications such as social media

IMPACT OF MARKETING COMMUNICATIONSBELO MEDICAL GROUP

26 years in the market

10 clinics in Manila, one each in Cebu and Davao

2007Number one doctor in the world who hasdone the most number of Thermageprocedures

2010 Reader’s Digest Award as one of the most trusted brands

2013 First ambulatory clinic given international accreditation by National Board of Accreditation for Hospitals and Healthcare Providers

Holds 60% of the market share ( Belo Help Desk)

3 out of 10 Filipinos undergo cosmetic surgery per day,amounting to 100,000 pesos on the average

3 x 100,000 x365 = 109,500,000

5 out of 10 Filipinos undergo dermatologic proceduresPer day, amounting to 2,000 pesos on the average

5 x 2,000 x 365 = 3,650,000

total = 113,150,000 x 60%= 67,890,000 pesos a year

SUMMARY• The various forms or techniques of marketing communications

namely: advertising, sales promotions, events and experience, Direct and personal selling, public relations and word-of-mouth were individually identified, highlighting their salient features and uses through examples

DISCUSSION ON:

• Steps in creating an effective marketing communication

• Creation of marketing communication mix considering the nature of products and services

• Emphasis on marketing as a dynamic undertaking requiring sensitivity and skills to capture emerging opportunities in the market