1st Class.pdf

14-1

Integrated Marketing

Communication

14-2 The Marketing Communications

Mix (Elements of IMC)

Advertising

Personal Selling

Any Paid Form of Nonpersonal Presentation by an Identified Sponsor.

Sales Promotion Short-term Incentives to Encourage Sales.

Public Relations Building Good Relations with Various Publics by Obtaining Favorable Unpaid Publicity.

Direct Marketing Direct Communications With Individuals to Obtain an Immediate Response.

Personal Presentations by a Firm’s Sales Force.

14-3

Modes of Marketing Communications

• Advertising

• Sales promotion

• Events and experiences

• Public relations and publicity

• Direct marketing

• Interactive marketing

• Word-of-mouth marketing

• Personal selling

© SHH Kazmi, Satish K Batra 2007

Excel Books Advertising and Sales Promotion, S H H Kazmi, Satish K Batra 5-4

MARKETING COMMUNICATIONS

INTEGRATED

MARKETING

COMMUNICATION

PLAN

Marketing Objectives

Analysis of promotional programme situation

Analysis of communications process

Budget determination

Develop integrated marketing communications programme

Advertising Sales promotion

Direct marketing PR/publicity Personal selling

Advertising

objectives

Message &

strategies

Integration and implementation of communication strategies

Monitoring, evaluation and controlling IMC programme

Direct marketing

objectives

Sales promotion

objectives Personal selling

objectives PR/publicity

objectives

Sales promotion

strategy

Personal selling

strategy PR/Publicity strategy Direct marketing

strategy




IMC DEFINED

American Association of Advertising Agencies defines Integrated

Marketing Communication as:

“…… a concept of marketing communications planning that recognizes

the added value of a comprehensive plan that evaluates the strategic

roles of a variety of communication disciplines – for example, general

advertising, direct response, sales promotion, and public relations – and

combines these disciplines to provide clarity, consistency, and maximum

communications impact.”




INTEGRATED MARKETING

COMMUNICATIONS It requires firms to develop a total marketing communications strategy

to communicate with its customers.

It is required to look through the customer’s eyes, whose perceptions

about a brand are not based on advertisements alone but other

elements of promotion as well.

All communications, whether sponsored or not, create an integrated

product in the consumers’ mind.




ROLE OF IMC Consumers and stakeholders receive four basic company / brand related

messages:

Planned messages

Product messages

Service messages

Unplanned messages

The objectives of integrated marketing communications are to coordinate all

of the company’s marketing and promotional efforts to project and reinforce

a consistent, unified image of the company or its brands to the market-place.

IMC helps companies to develop most suitable and effective methods to

contact customers.

IMC is the easiest way to maximize return on investment in marketing and

promotion.

14-8

Response Hierarchy Models

Communi- cations Model d

Stages

Fig 20.04

AIDA Model a

T90

Innovation- Adoption Model c

Hierarchy-of- Effects Model b

Cognitive stage

Affective stage

Behavior stage

Attention

Interest

Desire

Action

Awareness

Knowlege

Liking

Preference

Conviction

Purchase

Awareness

Interest

Evaluation

Trial

Adoption

Exposure

Reception

Cognitive response

Attitude

Intention

Behavior

14-9

Push Versus Pull Strategy T91

Producer

End users

End users

Interme- diaries

Interme- diaries

Producer

Marketing activities Demand

Demand Demand

Push Strategy

Pull Strategy

Marketing activities

Fig 20.07

Demand

5-10 The Buyer Decision Process

Need Recognition

Information Search

Evaluation of Alternatives

Purchase Decision

Postpurchase Behavior

5-11 The Buyer Decision Process Step 1. Need Recognition

External Stimuli

• TV advertising

• Magazine ad

• Radio slogan

•Stimuli in the

environment

Internal Stimuli • Hunger

• Thirst

• A person’s normal needs

Need Recognition Difference between an actual state and a desired state

5-12 The Buyer Decision Process Step 2. Information Search

•Family, friends, neighbors •Most influential source of information

•Advertising, salespeople •Receives most information

from these sources

•Mass Media •Consumer-rating groups

•Handling the product •Examining the product •Using the product

Personal Sources

Commercial Sources

Public Sources

Experiential Sources

Copyright © 2013 Dorling Kindersley (India) Pvt Ltd. Authorized adaptation

from the United States edition of Marketing Management, 14e. 5-13

Figure 5.5 Successive Sets in

Decision Making

5-14

The Buyer Decision Process Step 3. Evaluation of Alternatives

Product Attributes Evaluation of Quality, Price, & Features

Degree of Importance Which attributes matter most to me?

Brand Beliefs What do I believe about each available brand?

Total Product Satisfaction Based on what I’m looking for, how satisfied

would I be with each product?

Evaluation Procedures Choosing a product (and brand) based on one

or more attributes.

5-15 The Buyer Decision Process Step 4. Purchase Decision

Purchase Intention Desire to buy the most preferred brand

Purchase Decision

Attitudes

of others

Unexpected

situational

factors

5-16 The Buyer Decision Process Step 5. Postpurchase Behavior

Consumer’s Expectations of

Product’s Performance

Dissatisfied

Customer Satisfied

Customer!

Product’s Perceived

Performance

Cognitive Dissonance

5-17 Stages in the Adoption Process

Awareness

Interest

Evaluation

Trial

Adoption

5-18 Adoption of Innovations P

erc

en

tag

e o

f A

do

pte

rs

Time of Adoption

Early Late

Inn

ovato

rs

Early Adopters

Early Majority

2.5%

13.5%

34% 34%

16%

Laggards

Late Majority

Dr. Rosenbloom

Build Products Wants

Create Brand Awareness

Enhance Attributes/Intentions

Facilitate Purchase

Communication Objectives

Dr. Rosenbloom




Facilitate Purchase


Dr. Rosenbloom



Facilitate Purchase



Dr. Rosenbloom




Facilitate Purchase


14-23 Steps in Developing Effective

Communication

Step 1. Identifying the Target Audience

Step 2. Determining the Communication Objectives Buyer Readiness Stages

Purchase

Conviction

Preference

Liking

Knowledge

Awareness

14-24

Step 3. Designing a Message

Steps in Developing Effective

Communication

Attention Interest Desire

Message Content Rational Appeals

Emotional Appeals

Moral Appeals

Message Structure Draw Conclusions

Argument Type

Argument Order

Message Format Headline, Copy, Color,

Words, & Sounds,

Body Language

Action

14-25

Nonpersonal Communication

Channels

Steps in Developing Effective

Communication

Step 4. Choosing Media

Personal Communication

Channels

Step 5. Selecting the Message Source

Step 6. Collecting Feedback

Selecting Advertising Media

Reach

Percentage of people exposed to ad

Frequency

Number of times a person is exposed to ad

Media Impact

The qualitative value of a message exposure through a given medium



ADVERTISING OBJECTIVES AND BUDGET ALLOCATION

COMMUNICATIONS EFFECT

PYRAMID

80% Awareness

60% Knowledge / Comprehension

40% Liking

20% Preference

10% Trial

5%

Repurchase /

Regular use

DAGMAR Approach

Russell H Colley (1961)

Defining Advertising Goals for Measured Advertising

Results (DAGMAR).

Establishes an explicit link between Ad goals and Ad

results.

He proposed that the communication task of the brand

is to gain

a. Awareness

b. Comprehension: Developing an understanding of what

the product is and what it will do for the consumers.

c. Conviction: Developing a mental disposition.

d. Action

Characteristics of Objectives or Goals

Identified around 52 advertising goals that might be

used with respect to a single advertisement; a year’s

campaign for a product or a company’s entire

advertising philosophy.

a. Concrete, measurable tasks

Persuade a prospect to visit a show room and ask for a

demonstration.

Build up the morale of the company’s sales force.

Facilitate sales by correcting false impression,

misinformation etc.

Announce a special reason for ‘buying now’.

Make the brand identity known and easily recognizable.

b. Target Audience

Another important characteristic of a good advertising objective is a well defined target audience.

It may be based on descriptive variables such as geography, demographics, and psychographics as well as on behavioral variables such as usage rate or benefits sought.

c. Specified time period.

Another factor that should be considered while setting advertising objective is specifying the time period in which they must be accomplished.

d. Benchmark measures for Consumers

Determining the target markets present position

regarding the various response stages.

14-32

Percentage- of-Sales Method

Affordable Method

Competitive- Parity

Method

Objective- and-Task Method

Setting the Total Promotion Budget



ADVERTISING OBJECTIVES AND BUDGET ALLOCATION

APPROACHES TO BUDGETING

TOP-DOWN APPROACH BUILD-UP APPROACH

Top management sets

the spending limit

Advertising budget set to

stay within allocated limits

Advertising objectives are set

Activities necessary to achieve

objectives are planned

Costs of different advertising

elements are budgeted

Total advertising budget is

approved by top management

Documents

1st Class.pdf