•Marketing Communications Mix

advertisement
•Marketing Communications Mix
ising
and marketing objectives.
Integrated Marketing Communications
mpany carefully integrates and coordinates its many communications channels to deliver a clear,
consistent, and compelling message about the organization and its products.
Developing Effective communication
Step1: Identifying the target audience
Step2. Determining communication objectives-(6 buyer readiness stages: Awareness •Knowledge •Liking •Preference
•Conviction •Purchase
Step3:Designing a message: AIDA Framework,attention,intrest,desire,action
Step4:Chossing media-Personal(face-to-face,mail,world-of-mouth)-Non personal (media,events,atmosphere)
Step5: selecting the message source
Step6:Collecting feedback
Setting the Total Promotional Budget
Budget is set at a level that a company can afford
-of-Sales Method
Past or forecasted sales may be used
-Parity Method
Budget matches competitors’ outlays
Objective-and-Task Method
Specific objectives are defined Tasks required to achieve objectives are determined Costs of performing tasks are
estimated, then summed to create the promotional budget
Setting the Overall Promotion Mix
nature of each promotion tool and the selected promotion mix strategy
Advertising
Reaches large, geographically dispersed audiences, often with high frequency •Low cost per exposure, though overall costs are
high •Consumers perceive advertised goods as more legitimate •Dramatizes company/brand •Builds brand image; may stimulate
short-term sales •Impersonal; one-way communication
Personal Selling
Most effective tool for building buyers’ preferences, convictions, and actions
•Personal interaction allows for feedback and adjustments
•Relationship-oriented
•Buyers are more attentive
•Sales force represents a long-term commitment
•Most expensive of the promotional tools
Sales Promotion
May be targeted at the trade or ultimate consumer
•Makes use of a variety of formats: premiums, coupons, contests, etc.
•Attracts attention, offers strong purchase incentives, dramatizes offers, boosts sagging sales
•Stimulates quick response
•Short-lived
•Not effective at building long-term brand preferences
Public Relation
Highly credible
•Many forms: news stories, news features, events and sponsorships, etc.
•Reaches many prospects missed via other forms of promotion
•Dramatizes company or benefits
•Often the most underused element in the promotional mix
Direct MarketingMany forms: Telephone marketing, direct mail, online marketing, etc.
•Four distinctive characteristics:
•Well-suited to highly targeted marketing efforts
Promotion Mix Strategies
Push strategy: trade promotions and personal selling efforts push the product through the distribution channels. -through an
agent(Avon)
Pull strategy: producers use advertising and consumer sales promotions to generate strong consumer demand for products. –
directly to the final consumer-(Nike)
Skimming Price- Apple Iphone
Penetration price-walmartBundle Pricing-Video games+Play stations
Competition based pricing-Coke and Pepsi,Windows-Apple
Product line price:severel different version of a similar product-Audi A3 and A6(same product,various model)
Psychological:Lexus is a luxury vehicle of Toyota
Corporate identity change:Nickelodeon,Guitar Hero-new logo
Importance of CI:
•Differentiation
•Evaluation
•Stability
•Means to run an enterprise
•Brings value to an enterprise
•Quality setting
Visual Elements of cl
Logo
•Colour
•Letter type
•Letter, fax, margins
•Buildings, offices, firms,
•Uniforms
•Cars
Reasons of failure:
Lack of involvment at all levels
Lack of internal acceptance
Lack of external acceptance
Lack of management commitment
Cost and resource constraints
Pour process management
Unrealistic expectations and objectives
Brand
A brand is a distinguishing name or symbol intended to identify goods or services of a seller and to differentiate those goods or
services from competitors. Brand is created to establish and increase customer loyality with products and services
Purpose of brand:inspire,motivate,connect,simplify,inform (Coke-Pepsi blind taste test,identified taste test)
Experience!!!!!!!!!-Harley Davidson-accountant-dress in black leather-have people be afraid in town-FEELING


Cult branding = Techniques used to generate devotion,motivations, desires and attitudes of customers are key.
Question - why do you need to define your brand?
Answer: •to ensure that you have a fresh, compelling and competitive proposition
•to ensure that your brand works strongly at an emotional as well as at a rational level
•to ensure that your brand can be delivered consistently and in full by all its stakeholders
Examples of central organising thoughts would be:
•BMW: competitive achievement
•Chrysler: cars that dare to stand out
•Coca-Cola: refreshing the mind, body and spirit
•Federal Express: guaranteed, trackable, delivery on time
•Mercedes: technical innovation
•Virgin: more fun, more value
Slogen: Nokia-connecting people, L’Oreal because you are worth it McDonalds-Im lovin it,Nike-just do it
Some brands have real personalities:Virgin:Sir Richard Branson
Association: Tiger Woods-golf, Michael Jordan-basketball
Values of the brand
Benetton-social issues-campaign for equal opportunities
Ikea-family values
Story of HP:
H-P tells the story of Bill and Dave and the factory in the garden shed where the door was always open (if there ever was one)
Hard benefits-low cost airline (level of emotional and rational decisions)
Icon brands:grows rapidly,becomes outdated and declines and then bounces back on the next cycle of history.Mr.Clean,Olds
spice,Marlboro(cigarette for women, then to increase among men:cowboy80-90s quick decline 3Marlboro models died of lung
cancer. In contrary still lives on in pop culture.
Personal Construct Theory
•This theory argues that individuals develop theories (constructs) about how the world works, what values are to be espoused, and
how personal success is achieved.
laddering, a good interviewer can begin to discover individuals' core constructs by starting with their peripheral ones.
Attribution theory
•- this theory argues that people ascribe characters to the people they meet based on a very few clues around which they spin
elaborate stories.
1. On-going sales & profits
•Profit from income from loyal customers because:
you protect your current level of sales to those customers
you get additional sales for other products/services to those customers
you get recommended by loyal customers, and so attract new customers
loyal customers value you more and are therefore prepared to pay a premium for your products/services
Capital Growth
Co-Branding Two companies join to create a new product carrying both their brands.(Best westerns hotels+Harley
davidson,Nike+Apple,Fiat+Mattel,Bacardi-Coca-cola,Jack Daniels+T.G.I Fridays,Mastercard+Virgin)
Brand: A name, term, sign, symbol, or design (or some combination thereof) used to identify the products of one firm and to
differentiate them from competitive offerings.
Tradework:
A brand that has been given legal protection and has been granted solely to its owner.(Starbucks logo,Burberry check pattern)
National brand: products that carry the name of the manufacturer.( Philadelphia cream cheese, Rama, Margarine)
Private brand:products that carry the name of the seller (CBA cream cheese, Tesco milk)
Generic brand: brand name over which the original owner has lsot exclusive claim because all offerings in the associated class of
products have become generally known by the brand name. (kleenex,jeep,xerox)
Generic Goods: „no name” consumer products that are distinguished by the absence of the brand name (toilet paper,dish soap)
Brand Recognition / Equity - awareness, loyalty, quality, emotion
•Brand Preference / Loyalty - the degree to which customers are committed to further purchases eg. I will always buy Reebok
(Brand Insistence)
•Brand Awareness -your product is the first that comes to mind in a certain product category eg. jeans-Levi’s, walkman - SONY
•Brand Association - the link to favourable images, celebrities, geographic regions ie. VW - Germany, Bailey’s – Eire, Jordan –
Nike, BMW Z3 - 007
Design is a creative activity, aiming to identify the characteristics of products (inside-outside)
Design Requirements:
Technical (optimal usage)
•Economical (price vs. value)
•Psychological (status)
•Aesthetic (conformity to forms in the given culture)
Trade (create trust; easy to place)
•Production (maximal profit, conformity to persent production methods/capacity)
Types of design
•Styling (fashion; form vs. usability)
•Product design
•System design
•Corporate design
Types of packaging
•Transport
•Collection
•Display collection
•Group
•Consumer
advertising is:It is a non personal, influencing communication with an identified sender about Products,Services and Ideas that is
published in several media
Advertisingby its process:
Introductory
•Reminding :Coca cola
•Re-positioning :Dell in China,P and G’s oil of olay-olay,Maruti 800,Coca cola-took out the coke(drug)
•Providing information
Media: are communication channels that exist independently from the certain message, but can be resorted to impart our own
messages
Characteristics of Media
•Prestige of media
•Situations related to media
•Technical parameters of media
•Consumer consistence
•Targeting
Costs of communication
•Flexibilty of media
•Time scale
•Legal aspects
Prestige of Media
•Trust
•Source-effect
•Size vs. Credibility
The objective of advertising is to increase, influence and co-ordinate consumer demand.
Promotion-mix
Communication aim
Length of impact
Primary target group
Advertising
Short
Consumers
Public Relations
Increase sales
Image creation
Image creation
Long
Average opinion setters
Personal Selling
Selling
Mid / Long
Organisational Customers /
Consumers
Sales Promotion
Increase sales
Short / Mid
Potential consumers
Pioneer advertisements…
•In general are introducing a new product range. •With products providing decreasing sales data (milk, wine) the company can
help by using pioneer advertisments. (Apple Iphone was first released it had 100% of the market in touch screen phone,now there
are other phones that has joint the same market.)
The competitve advertisements…Gladly used, Regulated in most countries. Illegal is some countries. Rules that are not written
are important. Quality standard.Convince consumer that the message is correct. (Mac versus Pc, Pepsi versus coke,presidential
candidades,)
15 - 233 Characeristics of daily press Advantages
Prestige
high for political/actual
Situation
Disadvatages
low for tattle
public transport 5-15 minutes
Techincal characteristics
high frequency
low printing quality, short message
Audience
crowds
Targeting
local targeting, inside media targeting
large deviation, low secondary
readinng
unable to reach certain groups
Costs
Flexibility
Life span
Legal affairs
low
quick, flexible
short/ one never enough
limitations - front page
15 - 234 Characeristics of perodicals
Prestige
Situation
Techincal characteristics
Disadvatages
Advantages
changing
changing
favourable
good printing and paper quality
Audience
wide range of readers, secondary reading
Targeting
by content, theme, smaller deviation
Costs
possibly low costs per capita
georaphically
not concentrated
Flexibility
Life span
l
longer than daily press, can be
reviewd
Legal affairs
Costs
Flexibility
Life span
Legal affairs
limited actuality,
limited flexibility
reach developes slowly
front cover
Characeristics of professional press Advantages
Prestige
Situation
Techincal characteristics
Audience
Targeting
high costs
Disadvatages
high
favourable
good printing quality
larege secondary reading
limited number of readers
perfect targeting possibility, low deviation
high per capita costs
limited fexibility
long life span, can be reviewd
front cover
Characeristics of free press
•Help to find information
•Concentrated information
•Fixed purchasing ideas
•Serching discounts
•Short time to get to know the certain market
Outdoor means are•…placed outside buildings in order to show ads.
Characteristics of Outdoor Advantages
Disadvatages
Prestige
favourable
Situation
frequent contact, people on PT,
strong summer medium
Techincal characteristics
large, variable, good supporting
medium
Audience
large
Targeting
local
Costs
low per capita costs
Flexibility
Life span
Legal affairs
Types of Outdoor
•Permanent
•Altering
•Moving – non-moving
not too high prestige
superficial, infavourable
simple messages, impersonal
mixed
limited places (law)
high production costs, efficiency
hard to measure/evaluate
limited
long
authorisation procedure, limitation
Categories of Outdoor
•Posters :2 seconds Billboards ,2 dimensions ,3 dimensions ,City-lights,Rounders,Lamppost ,Traditional bills
•Painted walls, boards Longer span than bills,•Partition-walls,Canvas
•Illuminating means Some only at night
•Neon
•Light press
•Mega screens
•Laser
•Lighted posters
•Street furniture
Benches
•Handrails
•Flags
•Bins
•Molino
Vehicle ads
Air ads
• Air-Balloons
•Airplane-transparencies
•Company balloons - figures
Characteristics of the radio Advantages
Disadvatages
Prestige
high prestige, human voice
Situation
able to reach travelling crowds/public
background radio listening, other
noises
Techincal characteristics
it is a "theatre for fantasy", good
missing visuality, not able to show
supporting medium
and provide data
Audience
broad target group
high deviation
Targeting
by chanel, by programs, by geography
Costs
low production and broadcasting costs high frequency needed
Flexibility
very flexible
Life span
not to search back for target group, it is gone with the
wind
Legal affairs
limited time, and restrictions
15 - 261 Characteristics of Television Advantages
Disadvatages
Prestige
high prestige
Situation
favourable, most attractive for humans background televisioning, missing
signal
Techincal characteristics
very good possibilities, complex effect
Audience
broad target group
high deviation
Targeting
by programs, by geography
Costs
possibly low per capita
most expensive medium
Flexibility
limited flexibility, saturation
Life span
easier to remember, multiple effect
not to search back for target group,
it is gone with the wind
Legal affairs
limited time, and restrictions
Characteristics of Movie Advantages
Prestige
Situation
Techincal characteristics
Audience
Targeting
Costs
Flexibility
Life span
Legal affairs
very favourable, not to switch off
Disadvatages
not credible
disliking towards ads
very good possibilities, complex effect
young people, good to reach
limited number of people visiting
movies
by films, by geography
deviation
favourable low costs, audience
high per capita costs, no
number guarantee
developed monitoring system
limited
good remembering effect
some freedom
alcohol at night
15 - 266 Types of Marketingcommunication Films
•Ad films
•Product shows
•Reference films
•Good-will films
•PR films
By content
ration
Justification (person important)
Employee of a company
Famous person
Product user
HOW TO make a visual content?
By providing
n appearing (Coca Cola-Santa Claus)
(Louis Vuitton,Nike-their products fit in with various sport life styles)
(Nike-regular people using their products)
(HP-open door)
Methods
(declared yourself campaign,fair trade)
(
Tricks
–whiskas,pedigree
–durex,vicoria’s secret
(Snickers)
Characteristics of Internet Advantages
Prestige
Situation
who is not present >>> does not exist,
high at certain sites
very favourable (at home, high attention)
Techincal characteristics
very good, anything can be made
Audience
educated, high income, young
Disadvatages
low at certain sites
very easy to switch
old computers, slow, expensive
access
unable to reach broad audience
Targeting
very good, improving, by content
Costs
Flexibility
Life span
low
good flexibility
Legal affairs
short, must change continuously
strong self regulation, own laws, hard
to regulate legally
some freedom
Below the line involves more direct content with customers usually not commision based but payed through flat fees. Product is
promoted in media other than radio,tv,billboards,print,film and the internet. E.g.:direct mail campaigns,catalogues-(Avon)
POP-point of purchase:chewing gum
Above the line traditional mass media advertising that is conducted in newspapers, on television,radio and the internet
Direct Marketing…
…is an interactive tool that can be applied at any fields of marketing by using different means of communication in order to reach
an impact where the number of chioces and purcases are to measure.
Tools of DM
•Telefax
•Inbound
•SMS
•Telephone marketing
•Outbound
Sales Promotion…
•…is a mixture of marketing communication means that’s aim is the immediate sales, by providing an additional advantage to the
consumer/customer for a limited time.
Characteristics of SP
•Different / Non-usual offer
•Limited time scale
•Not to use alone
•Better targeting
•Cost efficiency
•Tailored to the PLC
15 - 302 POP ticks
•Show cases
•Product at eye-height
•„Bottle-necks”
•End of shelves
•Crossings
•Cashier
•Display
Event Marketing
Step1:Analysing the current situation
•Selecting invited ones
•Theme !!!
•Selecting place (image…)
•Selecting date
•Responsible for organisation
•Attrap
•Signs
•Wobbler
•Bills
•Flags
•Vignettes
•Floor ads/signs
•Furniture
Step 2
•Invitation cards
•Presents?
•Scenario
•Instructing organisers
•Personell
•Technical support
•Catering
•Plan „B” (other place)
Step 3
•Scenario based actions
•Importance of the Key Organiser
•„Renovation”
15 - 312 Step 4
•Evaluation
15 - 315 Characteristics of Fairs and Exhibitions Fairs
Product
Consumer goods
Exhibitions
Personell
Buyers
Traders
Consumers
Production, investment, consumer
goods
Producers, importers
Business people, Professionals
Type
Product types
Selling
Multiple
Making contracts
Limited groups of products, specialised
Quality of goods
low, medium
high
Sponsoring
•…is a monetary investment in an activity in return for business potential (Forma1-Redbull)
Public Relation:
management function that is planned and permanently adopted to reach understanding and trust inside the organisation and staff
just like in the public, consumers, customers
Campaign is a…
•Concentrated action to influence the market (environment).
5M-Method
•Mission
•Money
•Message (USP, SWOT)
•Media
•Measurement
Media Planning is…
•…the part of the campaign planning where – based on the ad aims and the circumstances – they define the media aims, the media
strategy, the used media and the time schedule in the given campaign.
Media indicators:medium:RPI-reach per issue
BR-broadest readership
Rating-TVR,AMR
Campaign:RCH-reach(COV coverage)
Frequency-OTH-OTS opportunity to hear/ see
AFF-Affinity
AFI-affinity index
GRP-gross rating point
GI-gross impression
Cost efficiencyCPT cost/thousand
CPRP/CPP-cost per rating point,cost per point
Players of the Media Market
•Ordering company
•Owner of Media
•Research companies
•Producers of equipment
•Media agencies
•Creative boutiques
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