Download - Marcom Strategy
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CommunicationCommunication
StrategiesStrategies
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IntroductionIntroduction
A After you have selected the product fter you have selected the product positioning, you need to communicatepositioning, you need to communicateit in order to secure a place in theit in order to secure a place in theminds of the consumers. This isminds of the consumers. This iswhen you need to decide on thewhen you need to decide on the
communication strategiescommunication strategies
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Steps in developing an EffectiveSteps in developing an Effective
Marcom ProgramMarcom Program
1.1. Define the product and the target Define the product and the target market segment market segment
2.2. Decide on the communication objectivesDecide on the communication objectives
3.3. Decide on the promotion mixDecide on the promotion mix
4.4.Decide on the strategy for eachDecide on the strategy for eachcomponent of the promotion mixcomponent of the promotion mix
5.5. Decide on the promotion budget Decide on the promotion budget
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What information is needed forWhat information is needed for
purchase decisions?purchase decisions?
ConsumerConsumer--adoption process modeladoption process model
Awareness=> Awareness=>
Interest=>Interest=>
Evaluation=>Evaluation=>
Trial=>Trial=>
Adoption Adoption
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Marcom ObjectivesMarcom Objectives
Move the target audience to higher state of Move the target audience to higher state of readiness to buy e.g. using Responsereadiness to buy e.g. using Response
Hierarchy ModelsHierarchy ModelsUltimate objective is to get customers to buyUltimate objective is to get customers to buy
and to provide post and to provide post--purchase satisfactionpurchase satisfaction
Increase sales to new users, former users,Increase sales to new users, former users,
users of other brands, switchers and current users of other brands, switchers and current usersusers
Increase repeat purchaseIncrease repeat purchase
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PromotionMixPromotionMix
A dvertising; Sales promotion; Personal A dvertising; Sales promotion; Personalselling; Public relations; Personalselling; Public relations; Personalselling; Direct Marketingselling; Direct Marketing
The promotion mix is dependent on:The promotion mix is dependent on:
The information needs of potential buyerThe information needs of potential buyer
The nature of the product and the market The nature of the product and the market
The resources availableThe resources available
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Targeting the AudienceTargeting the Audience
Target audienceTarget audience = current and= current andpotential buyers of our productspotential buyers of our products
Measure the product image byMeasure the product image by
Familiarity surveys (awareness)Familiarity surveys (awareness)
Favorability scaleFavorability scale (disposition)(disposition)
e.g. Coke and Pepsi used the Indiane.g. Coke and Pepsi used the Indianwinner of Ms Universe and Ms Worldwinner of Ms Universe and Ms Worldrespectively in their advertisement inrespectively in their advertisement inIndia to win consumer preferenceIndia to win consumer preference
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Designing the MessageDesigning the Message1.1.Message content Message content
SaySay what what toto whomwhom, and for, and for what what
responseresponse Demonstrate clearly theDemonstrate clearly the UniqueUnique
Selling PropositionSelling Proposition (USP)
How? With rational appeals (claimed benefits)
Emotional appeals (fear, guilt, shame,humor, love, pride etc) and
Moral appeals (supporting social causes)
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Designing the Message (cont¶d)Designing the Message (cont¶d)
2.2.Message StructureMessage Structure
Use oneUse one--sided argument if audience issided argument if audience ispredisposed to your position orpredisposed to your position or
Use twoUse two--sided arguments if they aresided arguments if they arenot not
Present the strongest argument first orPresent the strongest argument first orlast last
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Designing the Message (cont¶d)Designing the Message (cont¶d)
3.3.Message Format Message Format
Choose headline, copy, illustration, andChoose headline, copy, illustration, andcolor suitable for the local audience e.g.color suitable for the local audience e.g.
In China, red represents prosperityIn China, red represents prosperity
In A SP AC countries, any graphics that In A SP AC countries, any graphics that
resemble the religious symbols must not resemble the religious symbols must not be usedbe used
Refrain from Sexy advertisingRefrain from Sexy advertising
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Selecting the CommunicationSelecting the Communication
ChannelChannelPersonal communication channelsPersonal communication channels
Either directly or indirectly e.g.Either directly or indirectly e.g.
Opinion leaders: if the top echelon of Opinion leaders: if the top echelon of government drives a certain make andgovernment drives a certain make andmodel of car, it says a lot about that model of car, it says a lot about that
particular modelparticular model
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Selecting the CommunicationSelecting the Communication
Channel (cont¶d)Channel (cont¶d)NonNon--personal communication channelspersonal communication channels
Print media; electronic media; display mediaPrint media; electronic media; display media
The servicescapeThe servicescape the environment in whichthe environment in whichthe product is sold or the service is beingthe product is sold or the service is beingdelivereddelivered conveys a powerful messageconveys a powerful message
Events such as news conferences, grandEvents such as news conferences, grandopenings, and sport or race sponsorship isopenings, and sport or race sponsorship ispopular in A SP AC in recent years e.g.popular in A SP AC in recent years e.g.Emirates A irlines sponsored the DerbyEmirates A irlines sponsored the Derby
(Horse Racing) in Singapore regularly(Horse Racing) in Singapore regularly
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Promotion BudgetingPromotion BudgetingThe budget to be allocated dependsThe budget to be allocated depends
on:on:
The geographic dispersionThe geographic dispersion
The stage of the PLCThe stage of the PLC
The communication activities, andThe communication activities, and
The marginal costs of The marginal costs of communication effectivenesscommunication effectiveness
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PromotionPromotion--ExpenditureExpenditure
StrategyStrategy
PercentagePercentage--of of--sales approachsales approach
A ffordable approach A ffordable approach
ReturnReturn--onon--investment approachinvestment approach
CompetitiveCompetitive--parity approachparity approach
ObjectiveObjective--andand--task approachtask approach
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Push StrategyPush Strategy
Push through a distribution channel in aPush through a distribution channel in asequential mannersequential manner
Emphasis is on personal selling to wholesalersEmphasis is on personal selling to wholesalersand retailers with trade promotionand retailers with trade promotion
When is it especially appropriate?When is it especially appropriate?
When the product is an impulse itemWhen the product is an impulse item
When there is low brand loyalty in a product When there is low brand loyalty in a product categorycategory
When brand choice is made in the store, andWhen brand choice is made in the store, and
When the product benefit is well understoodWhen the product benefit is well understood
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Pull StrategyPull Strategy
Creates initial interest in potential buyersCreates initial interest in potential buyers
How?How? By hBy heavy endeavy end--user advertisinguser advertising
e.g. free samples; couponse.g. free samples; couponsWhen is it appropriate?When is it appropriate?When primary demand is favorableWhen primary demand is favorable
When the product has hidden benefitsWhen the product has hidden benefits
When the product can be differentiatedWhen the product can be differentiated
When there are strong emotional buyingWhen there are strong emotional buyingmotives such as health, beauty and safetymotives such as health, beauty and safety
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Ma jor Advertising
Decisions
Ma jor Advertising
Decisions
A dvertising objective decisions e.g. A dvertising objective decisions e.g.create salient attributecreate salient attribute
Budget decisionsBudget decisions
Message decisionsMessage decisions
Media decisionsMedia decisions
A dvertising evaluation A dvertising evaluation
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The Advertising ObjectiveThe Advertising Objective
FunnelFunnel
ExposureExposure
A wareness A wareness
A ttitude change A ttitude change
SalesSales
Profit Profit
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The Advertising Objectives
The Advertising Objectives
A s we move down the funnel, the A s we move down the funnel, theobjective becomesobjective becomes
More relevant to decision making, but More relevant to decision making, but
More difficult to measureMore difficult to measureThe issue is whether the objectives at The issue is whether the objectives at
each level are linked to the purchaseeach level are linked to the purchasedecisiondecision
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Measuring AdvertisingMeasuring Advertising
EffectivenessEffectivenessTo develop more effectiveTo develop more effective
advertisements and to determine theadvertisements and to determine the
optimal level of expendituresoptimal level of expendituresCommonly used measurements:Commonly used measurements:
Number of inquiries received, increaseNumber of inquiries received, increase
product knowledge, and attitude changeproduct knowledge, and attitude changetowards the product. Sales are the best towards the product. Sales are the best criteriacriteria
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Measuring AdvertisingMeasuring Advertising
EffectivenessEffectivenessTrackingTracking
Qualitative research in the form of Qualitative research in the form of
beforebefore--andand--after brand image maps e.g.after brand image maps e.g. Of all the advertising youve seen, what, Of all the advertising youve seen, what,if anything, do you particularly rememberif anything, do you particularly rememberfrom it?from it?
Carrying out experiments with test Carrying out experiments with test marketsmarkets
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Advertising WearAdvertising Wear--outout
Over time, a decline in advertisingOver time, a decline in advertisingeffectiveness occurs due toeffectiveness occurs due to repetitionrepetition
andand wearout wearout
How to reduce wearout?How to reduce wearout?
Change the advertisement structureChange the advertisement structure
Change the advertisement copy andChange the advertisement copy and
Change the media regularlyChange the media regularly
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SalesP
romotionS
tra
tegySa
lesP
romotionS
tra
tegyPromotion to consumer targetsPromotion to consumer targets
Promotion to industrial targetsPromotion to industrial targets
Promotion to middle menPromotion to middle men
Promotion to sales forcePromotion to sales force
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Evaluation and ControlEvaluation and Control
Continuously monitor the execution of Continuously monitor the execution of the communication plan or strategy tothe communication plan or strategy to
ensure objectives are met ensure objectives are met
Evaluate the outcome against theEvaluate the outcome against theplanned budget and adjust asplanned budget and adjust as
necessarynecessary