marketing communication
DESCRIPTION
MARKETING COMMUNICATIONCHAPTER 9LEARNING OUTCOMESLOI LO2Discuss the role of promotion in the marketing mix Discuss the elements of the promotional mix Describe the communication processLO3LEARNING OUTCOMESLO4 LO5 LO6 LO7Explain the goal and tasks of promotion Discuss the AIDA concept and its relationship to the promotional mix Describe the factors that affect the promotional mix Discuss the concept of integrated marketing communicationsLOITHE ROLE OF PROMOTION IN THE MARKETITRANSCRIPT
CHAPTER 9
MARKETINGCOMMUNICATION
LEARNING OUTCOMES
Discuss the role of promotion in the marketing mix
Discuss the elements of the promotional mix
Describe the communication process
LOI
LO2
LO3
Explain the goal and tasks of promotion
Discuss the AIDA concept and its relationship to the promotional mix
Describe the factors that affect the promotional mix
Discuss the concept of integrated marketing communications
LO5
LO6
LO7
LO4
LEARNING OUTCOMES
Discuss the role of promotion in the
marketing mix
THE ROLE OF PROMOTION IN THE MARKETING MIX
LOI
THE ROLE OF PROMOTION
PromotionPromotionCommunication by
marketers that informs, persuades, and reminds
potential buyers of a product in order to
influence an opinion or obtain a response.
THE ROLE OF PROMOTION
PromotionalStrategy
PromotionalStrategy
A plan for the optimal use of the elements of
promotion:
AdvertisingPublic RelationsSales PromotionPersonal Selling
CompetitiveCompetitiveAdvantageAdvantage
Overall Marketing Objectives
Overall Marketing Objectives
Marketing Mix• Product
• Place• Promotion
• Price
Marketing Mix• Product
• Place• Promotion
• Price
Target MarketTarget Market
Promotional Mix
• Advertising• Public Relations• Sales Promotion• Personal Selling
Promotion Plan
Promotional Mix
• Advertising• Public Relations• Sales Promotion• Personal Selling
Promotion Plan
THE ROLE OF PROMOTIONIN THE MARKETING MIX
COMPETITIVE ADVANTAGE
Unique featuresUnique features
Excellent serviceExcellent service
Low pricesLow prices
Rapid deliveryRapid delivery
High product qualityHigh product quality
REVIEW LEARNING OUTCOMETHE ROLE OF PROMOTION IN THE MARKETING MIX
LOI
Discuss the elements of the promotional mix
THE PROMOTIONAL MIXLO2
THE PROMOTIONAL MIX
PromotionalMix
PromotionalMix
Combination of promotion
tools used to reach the target market and fulfill
the organization’s overall goals.
AdvertisingPublic RelationsSales PromotionPersonal Selling
AdvertisingAdvertising
Impersonal, one-way mass communication about a product or organization that is
paid for by a marketer.
Traditional Advertising Media
Traditional Advertising Media
NewAdvertising Media
NewAdvertising Media
TelevisionRadioNewspapersMagazinesBooksDirect mailBillboardsTransit cards
InternetBanner adsViral marketingE- mailInteractive video
ADVERTISING MEDIA
ADVERTISING
Advantages Disadvantages
Reach large number of people
Low cost per contact
Can be micro-targeted
o Total cost is high
o National reach is expensive for small companies
PUBLIC RELATIONS
PublicRelations
PublicRelations
The marketing function that
evaluates public attitudes, identifies areas
within the organization that the public may be
interested in, and executes a program of action to earn public understanding and
acceptance.
THE FUNCTION OF PUBLIC RELATIONS
Maintain a positive image
Educate the public about the company’s objectives
Introduce new products
Support the sales effort
Generate favorable publicity
SALES PROMOTION
SalesPromotion
SalesPromotion
Marketing activities--other than personal
selling, advertising, and public relations--that stimulate consumer
buying and dealer effectiveness.
EndConsumers
EndConsumers
Trade CustomersTrade Customers
CompanyEmployees Company
Employees
Free samplesFree samples
ContestsContests
PremiumsPremiums
Trade ShowsTrade Shows
Vacation GiveawaysVacation Giveaways
CouponsCoupons
SALES PROMOTION
PersonalSelling
PersonalSelling
PERSONAL SELLING
Planned presentation to one or more prospective buyers for the purpose
of making a sale.
PERSONAL SELLING
Traditional Selling
Traditional Selling
Relationship Selling
Relationship Selling
REVIEW LEARNING OUTCOMEELEMENTS OF THE PROMOTIONAL MIX
LO2
Describe the communication process
MARKETING COMMUNICATIONLO3
COMMUNICATION
CommunicationCommunication The process by which we exchange or share meanings through a
common set of symbols.
Categories of CommunicationCategories of
Communication
InterpersonalCommunicationInterpersonal
CommunicationMass
CommunicationMass
Communication
MARKETING COMMUNICATION
MARKETING COMMUNICATION
As Senders As Receivers
Develop messages
Adapt messages
Spot new communication opportunities
Inform
Persuade
Remind
NoiseNoise
SenderSender EncodingMessageEncodingMessage
FeedbackChannel
FeedbackChannel
MessageChannel
MessageChannel
DecodingMessage
DecodingMessage ReceiverReceiver
THE COMMUNICATION PROCESS
CHARACTERISTICS OF THE ELEMENTS
IN THE PROMOTIONAL MIX
CHARACTERISTICS OF THE ELEMENTS
IN THE PROMOTIONAL MIX
Communication Mode
Communication Control
Feedback Amount
Feedback Speed
Message Flow Direction
Message Content Control
Sponsor Identification
Reaching Large Audience
Message Flexibility
Advertising
Indirect and impersonal
Low
Little
Delayed
One-way
Yes
Yes
Fast
Same message to all audiences
CHARACTERISTICS OF THE ELEMENTS
IN THE PROMOTIONAL MIX
Communication Mode
Communication Control
Feedback Amount
Feedback Speed
Message Flow Direction
Message Content Control
Sponsor Identification
Reaching Large Audience
Message Flexibility
Public Relations
Usually indirect, impersonal
Moderate to low
Little
Delayed
One-way
No
No
Usually fast
Usually no direct control
CHARACTERISTICS OF THE ELEMENTS
IN THE PROMOTIONAL MIX
Communication Mode
Communication Control
Feedback Amount
Feedback Speed
Message Flow Direction
Message Content Control
Sponsor Identification
Reaching Large Audience
Message Flexibility
Sales Promotion
Usually indirect and impersonal
Moderate to low
Little to moderate
Varies
Mostly one-way
Yes
Yes
Fast
Same message to varied target
CHARACTERISTICS OF THE ELEMENTS
IN THE PROMOTIONAL MIX
Communication Mode
Communication Control
Feedback Amount
Feedback Speed
Message Flow Direction
Message Content Control
Sponsor Identification
Reaching Large Audience
Message Flexibility
Personal Selling
Direct and face-to-face
High
Much
Immediate
Two-way
Yes
Yes
Slow
Tailored to prospect
THE IMPACT OF BLOGGING
CorporateBlogs
CorporateBlogs
Sponsored by a company or one of its brands and maintained by one or more of the company’s
employees.
Sponsored by a company or one of its brands and maintained by one or more of the company’s
employees.
NoncorporateBlogs
NoncorporateBlogs
Independent and not associated with the marketing efforts of any
particular company or brand.
Independent and not associated with the marketing efforts of any
particular company or brand.
REVIEW LEARNING OUTCOMETHE COMMUNICATION PROCESS
LO3
Explain the goals and tasks of promotion
THE GOALS AND TASKS OF PROMOTION
LO4
InformingInforming RemindingReminding
PersuadingPersuading
TargetAudienceTarget
Audience
GOALS AND TASKS OF PROMOTION
GOALS AND TASKS OF PROMOTION
InformingInforming RemindingReminding
PersuadingPersuading
TargetAudienceTarget
Audience
PLC StagesPLC Stages:Introduction Early Growth
PLC Stages:PLC Stages:Growth Maturity
PLC Stages:PLC Stages:Maturity
Increase awareness
Explain how product works
Suggest new uses
Build company image
Informative Promotion
GOALS AND TASKS OF PROMOTION
Persuasive Promotion
GOALS AND TASKS OF PROMOTION
Encourage brand switching
Change customers’ perceptions of product attributes
Influence immediate buying decision
Persuade customers to call
Reminder Promotion
GOALS AND TASKS OF PROMOTION
Remind customers that product may be needed
Remind customers where to buy product
Maintain customer awareness
Discuss the AIDA concept and its relationship to
the promotional mix
PROMOTIONAL GOALS AND THE AIDA CONCEPT
LO5
AIDA ConceptAIDA ConceptModel that outlines the process for achieving promotional goals in terms of stages of
consumer involvement with the message.
THE AIDA CONCEPT
THE AIDA CONCEPT
Action
Desire
Interest
Attention Cognitive (thinking)
Affective (feeling)
Conative (doing)
REVIEW LEARNING OUTCOMETHE AIDA CONCEPT
LO5
Describe the factors that affect the promotional mix
FACTORS AFFECTING THE PROMOTIONAL MIX
LO6
Nature of the productNature of the product
Stage in PLCStage in PLC
Target market factorsTarget market factors
Type of buying decisionType of buying decision
Promotion fundsPromotion funds
Push or pull strategyPush or pull strategy
FACTORS AFFECTING THE CHOICE OF PROMOTIONAL MIX
46
STAGE IN THE PRODUCT LIFE CYCLE
Light Advertising; pre-introductionpublicity
Heavy use of Advertising;PR forawareness;sales promotionfor trial
AD/PRdecrease;limited sales promotion; personal selling fordistribution
Ads decrease;sales promotion;personal selling;reminder & persuasive
Advertising, PR, brandloyalty;personal selling fordistribution
IntroductionIntroduction GrowthGrowth
MaturityMaturityDeclineDecline
Sale
s (
$)
Sale
s (
$)
TimeTime
For…
Widely scattered market
Informed buyers
Brand-loyal repeat purchasers
AdvertisingAdvertising
Sales PromotionSales Promotion
Less Personal SellingLess Personal Selling
TARGET MARKET CHARACTERISTICS
Advertising
Sales PromotionRoutineRoutine
Personal Selling
Neither Routinenor Complex
Neither Routinenor Complex
Advertising
Public Relations
Print AdvertisingComplexComplex
TYPE OF BUYING DECISION
Trade-offs with funds available
Number of people in target market
Quality of communication needed
Relative costs of promotional elements
AVAILABLE FUNDS
PUSH AND PULL STRATEGIES
Manufacturerpromotes to wholesaler
Manufacturerpromotes to wholesaler
Wholesaler promotes to
retailer
Wholesaler promotes to
retailer
Retailer promotes toconsumer
Retailer promotes toconsumer
Consumerbuys from
retailer
Consumerbuys from
retailer
PUSH STRATEGY
Orders to manufacturer
Manufacturerpromotes to
consumer
Manufacturerpromotes to
consumer
Consumer demands product
from retailer
Consumer demands product
from retailer
Retailer demands product
from wholesaler
Retailer demands product
from wholesaler
Wholesaler demands
product frommanufacturer
Wholesaler demands
product frommanufacturer
Orders to manufacturer
PULL STRATEGY
REVIEW LEARNING OUTCOMEFACTORS AFFECTING PROMOTIONAL MIX
LO6
Discuss the concept of integrated marketing
communications
INTEGRATED MARKETING COMMUNICATIONS
LO7
IntegratedMarketing
Communications
IntegratedMarketing
CommunicationsThe careful coordination
of all promotional messages to assure the consistency of messages
at every contact point where a company meets
the consumer.
INTEGRATED MARKETING COMMUNICATIONS
Proliferation of thousands of media choices
Fragmentation of the mass market
Slash of advertising spending in favor of promotional techniques that
generate immediate response
IMC POPULARITY GROWTH
REVIEW LEARNING OUTCOME INTEGRATED MARKETING
COMMUNICATIONS
LO7
Q & A SESSION THANK YOU…