Rounding Out Your IMC Mix

MKT 846

Professor West

Agenda

PR & Publicity

What can it do for you?

Blunders

Direct Marketing

What is it’s role on the IMC mix?

Privacy issues

Scheduling Team Presentations

Comparing Campaigns

Labatt’s Blue

Comparing Campaigns

Molson Canadian

Insect Safari

Orkin Pest Control (circa 2001) Business was off, in particular sales leads Advertising didn’t seem to be working Consumers had more trust in local exterminators

Corporate Sponsorship Orkin supported the renovation of the “Insect Zoo”

at the Smithsonian Institute in 1993 More than a million people visit the site a year

Insect Safari

Taking the show on the road… Ketchum decided to leverage Orkin’s Smithsonian

relationship by taking the Insect Zoo to local markets in an educational campaign

Objectives: To increase sales leads in top markets To directly reach educators through the exhibit and

website To inspire a grassroots marketing program through local

publicity Connect to target market indirectly through children

Insect Safari

Elements of the campaign 53-foot traveling exhibit to visit museums and

schools with hands-on 3-D models, educational materials, interactive presentation….

Partnered with Bayer Corp. and CNN/Turner Learning

Website created to inform people and provide background information

Insect Safari

Results An increase in sales leads in 70 percent of the

markets visited Rated very high in quality by teachers and

students 512 stories in the media, 8 hours of TV coverage,

41 morning show interviews Estimated reach of 66 million impressions Silver Anvil Award from PRSA

What role do PR and Publicity play?

The objective of marketing is to sell products and services…in contrast, the goal of PR is to sell the organization itself.

PR is the official channel of communication between the organization and the public

Publicity is the generation of news about a person, product or service that appears in the media

Other things PR can do for you

Provide a value-added customer service Butterball hotline for advice on how to prepare a turkey. Handles

25,000 calls during the holiday season.

Giving consumers a reason to buy Energizer’s national education campaign urges consumers to change

their smoke detector battery when they reset their clock in the fall and spring. Company is perceived as a good citizen and they sell batteries

PR Stunts & Crisis Management "CBS deeply regrets the incident that occurred during the Super Bowl

halftime show," the network said in a release. "We attended all rehearsals throughout the week and there was no indication that any such thing would happen. The moment did not conform to CBS broadcast standards and we would like to apologize to anyone who was offended."

Notable PR Blunders…

Fox News No one missed the irony when Fox News sued liberal satirist Al

Franken. When the suit hit the press, sales of the book immediately became a bestseller.

Judge Denny Chin threw the suit out saying, "Of course it is ironic that a media company that should be fighting for the First Amendment is trying to undermine it.“

American Airlines CEO Donald Carty To keep American Airlines out of bankruptcy, Carty called for "shared

sacrifice” and the labor union accepted $1.62 billion worth of annual concessions. However, Carty "snatched defeat from the jaws of victory" when details of a secret executive-retention bonus plan were revealed resulting in his resignation.

Notable PR Blunders…

KFC Whopper When KFC aired commercials implying fried chicken can

be part of "eating better," consumer advocates clucked loudly. The ads claimed KFC had less fat than a Burger King whopper. A complaint was filed with the FTC, and newspapers blasted the company.

Notable PR Blunders…

Abercrombie & Fitch Columbus-based retailer shows a particular flair for

alienating consumers and the nation's press: T-shirts portraying racially offensive slogans and stereotyped

images of Asians debuted and immediately created a firestorm. “ A “Drinking 101” article was highly criticized for promoting binge

drinking Pushed the sexual envelope when it added thongs to its teeny-

bopping catalogs and included images of overt portrayals of group sex in its Christmas Field Guide.

Contingency Planning

Being prepared: Consider in advance how the public will respond Know what you will say and who will say it

How should you respond to negative publicity? It depends on both the severity of the problem and the

number of people who’ve heard about it. Guidelines:

Respond Within 24 Hours -- It makes you look guilty if you take longer.

Show You Are Solving the Problem -- Make it clear you are taking steps to improve or rectify the situation.

Contingency Planning

Guidelines Demonstrate Leadership -- The President, CEO or other

top official should be the one to address reporters Be Accessible to the News Media -- Make phone calls

from the media a top priority Be Honest -- If you lie, you will likely be caught and the

crisis will worsen. Show Concern -- Demonstrating sincere caring about the

people affected by the situation will help win the public's understanding

Other things PR can do for you

Influencing the “influentials” Gatekeepers play an essential role in getting the word out

about your brand Making a story “newsworthy”

Impact: What is the magnitude of the action or event? Timeliness: Is it breaking news or the latest development? Proximity: How local is the story angle? Prominence: Who is involved and how important are they? Conflict: Is tension or drama created? Human Interest: How emotionally charged is the story? Does it

strike a chord? Novelty: It the story unpredictable?

Making it Personal Through Dialog

Direct marketing is a method by which the company communicates directly with target consumers to generate a desired response.

Direct-response media include: Mail Telephone Fax Internet

Sales through direct response advertising exceeded $2 trillion in 2002 and are expected to reach $2.8 trillion by 2006.

Growth in Direct Marketing

Factors impacting growth: Credit cards – 1 billion in circulation “Money-rich and time-poor” society – increase in dual

income households Technological advancements – allow for new channels of

distribution Viewed as a compliment to other IMC elements

Relationship building mechanism Cross-selling opportunities Measuring effectiveness

Strengths & Weaknesses

Strengths: Highly targeted and flexible Observable responses enhances accountability

Weaknesses: Relatively high cost per customer CPMs up to $400

instead of $15 to $50.

Protecting Customer’s Privacy

Educate employees about the company policies and credit card fraud

Appoint a Chief Privacy Officer Conduct periodic audits of privacy practices used by

other companies Actively promote your privacy policy

Next time…

Project 4 is due Chapter 21 – Measurement, Evaluation, &

Effectiveness “Truth in Advertising”