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Integrated Marketing Communications

IMC is the coordination and integration of all marketing communication tools, avenues and sources within a company into a seamless program which maximizes the impact on consumers and other end-users at a minimal cost.

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F I G U R E 1 .1

Communication Process

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Source: Juliana Koranteng and Normandy Madden, “Ranking of the Top Global Ad Markets,”Advertising Age International, (May 2000), pp. 17-20.

F I G U R E 5 . 6Global Advertising Expenditures

$134.3

$33.2

$21.6$15.8

$11.1 $8.3 $6.9 $5.4 $5.3 $5.0

$0.0

$20.0

$40.0

$60.0

$80.0

$100.0

$120.0

$140.0

$160.0

United States

Japan Germany U.K. France Italy Brazil Spain Canada Australia

Expe

nditu

res

in B

illion

s

Total Advertising Expenditures

$438

$263$238 $249

$167

$122

$52

$123$157

$240

$0

$50

$100

$150

$200

$250

$300

$350

$400

$450

$500

Average Expenditure per Capita

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0 5 10 15 20 25 30 35 40 45 50

Direct Mail

Trade Shows

Catalogs

Sales Promotions

PR

TV Ads

Radio Ads

Print Ads

Percentage of Total Communications Budget

Consumer B-to-B

T A B L E 5 . 1Comparison of B-to-B and Consumer Communications Expenditures

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Trade Promotions50%

Consumer Promotions24%

Advertising26%

Marketing Budgets

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Advertising Clutter

• To how many ads were you exposed during the last 24 hours from the following media?– Television– Radio– Magazines– Newspapers– Billboards– Internet Web sites

• How many ads can you recall from each of the above media?

Discussion Slide

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• Company logo• Product brand name and company

name• Business cards• Letterhead• Carry home bags (paper or plastic)• Wrapping paper• Coupons• Promotional giveaways (coffee

mugs, pens, pencils, calendars)• Design of booth for trade shows• Advertisements (billboards, space

used on cars and busses, television, radio, magazines and newspapers)

• Toll free 800 number• Company database

• Cooperative advertising with other businesses

• Personal selling pitches• Characteristics of target market

buyers• Characteristics of business buyers• Sales incentives provided to sales

force (contests, prizes, bonuses and commissions)

• Internal messages• Company magazines and newspapers• Statements to shareholders• Speeches by company leaders• Public relations releases• Sponsorship programs• Web site

F I G U R E 1 . 8Items to be Included in an IMC Program

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• Development of information technology• Increase in competition (global competitors)• Brand parity• Integration of information by consumers• Decline in effectiveness of mass media

advertising.

F I G U R E 1 . 6Factors Affecting the Value of IMC Programs

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• Get annoyed at the number of ads (52%)• Get up and do something else (45%)• Switch channels (39%)• Talk to others in the room (34%)• Turn down the sound on TV (19%)• Read (11%)• Use the computer (5%)

• Get amused by the ads (26%)• Sit and watch commercials (19%)

Positive Responses:

Negative Responses:

Source: Jennifer Lach, “Commercial Overload,” American Demographics,(September 1999), Vol.. 21, No. 9, p. 20.

F I G U R E 1 . 7Viewer Activities During TV Commercials

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Global Integrated Marketing Communications

• GIMC is more challenging in the international arena.

• Standardization vs Adaptation.• “Think globally, but act locally.”

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Verbal and Visual Elements

Central vs Peripheral route processing Visual processing

– Easier to recall– Stored both as pictures and words– Concrete vs abstract

Radio visual imageryPepsi radio ads in which listeners hear

a can being opened. Visual esperantoA universal language for global advertising.

e.g. a boy and father at a sport event

(the message is a shared family moment).

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Advertising Appeals

Fear Humor Music Rationality Emotions

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Beer Miller Lite, Keystone, Budweiser, Hineken

Restaurants Wendy’s, Shoney’s, Long John Silvers

NBA It’s Fantastic

Telephone U.S. Cellular

Motels Holiday Inn, Red Roof Inn

Good or Service Hints

Can you remember an advertisement for each good or service that was funny?

Discussion Slide

F I G U R E 7 . 6Humorous Ads Quiz

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Humor Appeal

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Emotional Appeals

Based on three ideas:–Consumers ignore most ads.–Rational ads go unnoticed.–Emotional ads can capture attention.

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This ad for a nonprofit animal rights and rescue group draws on viewers’ sympathies toward animals.

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Spokespersons

Celebrities CEOs Experts Typical persons

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Ace Hardware: John Madden Adidas: Steffi Graf American Express: Jerry Seinfeld Amway: Shaquille O’Neal AT&T: Whitney Houston Campbell Soup: Wayne Gretzky Compaq Computers: Hakeem

Olajuwon Converse: Larry Bird, Larry

Johnson, Lattrell Sprewell Danskin: Nadia Comaneci Fila: Naomi Campbell, Grant Hill,

Kathy Ireland, Vendela

GMC Trucks: Grant Hill Hanes Hosiery: Fran Drescher Hanes Underwear: Michael Jordan K-Mart: Rose O’Donnell L’eggs: Jamie Lee Curtis MasterCard: Tom Watson Nintendo: Ken Griffey, Jr. Outback Steakhouse: Rachel Hunter Revlon: Cindy Crawford Sprite: Grant Hill Taco Bell: Spike Lee, Shaquille

O’Neal, Hakeem Olajuwon

F I G U R E 8 . 4Celebrity Endorsers

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Visual consistency. Campaign duration. Repeated taglines. Consistent positioning. Simplicity. Identifiable selling point.

F I G U R E 8 . 6

Principles of Effective Advertising

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Beating Ad Clutter Presence of competitor ads. Use repetition. Use multiple mediums. Create ads that gain attention. Create ads that relate to the

target audience