Integrated Marketing Communication Strategy

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Integrated Marketing
Communication
Strategy
Chapter 15
Objectives
Know the tools of the marketing
communications mix.
Understand the process and advantages of
integrated marketing communications.
Learn the steps in developing effective
marketing communications program.
Understand methods for setting
promotional budgets and the factors that
affect the design of the promotion mix.
Push and Pull
15- 1
c
UPS
UPS is a $31
billion corporate
giant
UPS wanted to
reposition itself as
a supply chain
solutions provider
Developed new ad
theme based on
customer input
Implemented, “What
Can Brown Do for
You?” campaign
Realigned its sales
and marketing
organization
Ads, web sites, and
salespeople deliver
message daily
15- 2
Definition
The Marketing
Communications Mix
 The specific mix of
advertising, personal
selling, sales
promotion, and public
relations a company
uses to pursue its
advertising and
marketing objectives.
15- 3
The Tools of Marketing
Communications Mix
Advertising
Any Paid Form of Nonpersonal
Presentation by an Identified
Sponsor.
Personal Selling
Personal Presentations by
a Firm’s Sales Force.
Sales Promotion
Short-term Incentives to
Encourage Sales.
Public Relations
Direct Marketing
Building Good Relations with
Various Publics by Obtaining
Favorable Unpaid Publicity.
Direct Communications
With Individuals to Obtain
an Immediate Response.
15- 4
Integrated Marketing
Communications
The Marketing Communications
Environment is Changing:
 Mass markets have fragmented, causing
marketers to shift away from
mass marketing

Media fragmentation
is increasing
 Improvements in
information technology
are facilitating segmentation
15- 5
Marketers Have Shifted
Away From Mass
Marketing
Less Broadcasting
Two Factors
are Changing the Face of Today’s
Marketing Communications:
Improvements in
Information Technology
Has Led to
Segmented Marketing
More Narrowcasting
Market Fragmentation Led to
Media Fragmentation
The Changing Communications
Environment
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Integrated Marketing
Communications
The Need for Integrated
Marketing Communications
 Conflicting messages from
different sources or promotional
approaches can confuse
company or brand images
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Integrated Marketing Communications*
Company Carefully Integrates and
Coordinates Its Many Communication
Channels to Deliver a Clear, Consistent,
Compelling Message.
Packaging
Event
Marketing
Advertising
Message
Direct
Marketing
Personal
Selling
Sales
Promotion
Public
Relations
15- 8
A View of the Communications
Process
Marketers View Communications as the
Management of the Customer Relationship Over
Time Through the Following Stages:
Preselling
Selling
PostConsumption
Consuming
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Figure 15-2:
Elements in the
Communication Process
15- 10
Key Factors in Good
Communication
Sellers Need to
Know What Audiences
They Wish to Reach
and Response
Desired.
Sellers Must be Good
at Encoding Messages
That Target Audience
Can Decode.
Sellers Must Develop
Feedback Channels to
Assess Audience’s
Response to
Messages.
Sellers Must Send
Messages Through
Media that Reach
Target Audiences
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Steps in Developing
Communication Program*
1.
2.
3.
4.
5.
6.
Identifying the Target Audience
Determining the Response Sought
Designing a Message
Choosing Media
Selecting the Message Source
Collecting Feedback
15- 12
Steps in Developing Effective
Communication
Step 1. Identifying the Target Audience
Step 2. Determining the Communication Objectives
Buyer Readiness Stages
Awareness
Knowledge
This ad for the Toyota Celica
may be able to cover the first
three stages of the buyerreadiness stages: awareness,
knowledge, and liking.
There is no mention of
competitors, so it does not
seem to establish preference.
Liking
Preference
Conviction
Purchase
15- 13
Steps in Developing
Effective Communication
Step 3. Designing a Message
Is this ad making an emotional,
rational, or moral appeal, or is it
combining them? How much
do the personified cows
contribute to this ad?
Is the ad structured to let the
audience make a decision?
Is this an effective ad?
The same company puts lifelike
statues of cows, with this slogan,
into mall food courts. What
makes that practice effective?
Message Content
Rational Appeals
Emotional Appeals
Moral Appeals
Designing a
Message
Content
The pictures and the
slogan make this what
type of appeal?
Format
This layout, almost like
a yearbook or photo
album, reinforces the
sentimental aspect
of this advertisement.
Message Structure
Draw Conclusions
Argument Type
Argument Order
Message Format
Headline, Illustration,
Copy, & Color
Body Language
Click or press spacebar to return.
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Designing the Message Content
Rational Appeals
 appeal to audience selfinterest
Emotional Appeals
 fear, guilt, shame, humor, joy,
love, pride
Moral Appeals
 what is right or proper
Designing the Message - Structure
Conclusion Drawing
 negative when communicator is
viewed as untrustworthy, if seen as
explaining the obvious, if issue is
too personal
One vs. Two-sided Message
 one-better with favorably
predisposed, two better with welleducated, those exposed to counter
propaganda
Order of Presentation
 primacy effect, recency effect
Message Format
Color, Sound, Appearance, Text,
Illustration
Media Channels
 Personal (word-of-mouth; sales
person)
 Impersonal (media, atmospheres,
events)
Steps in Developing Effective
Communication
Step 4. Choosing Media
Personal Communication
Channels
Nonpersonal Communication
Channels
Step 5. Selecting the Message Source
Step 6. Collecting Feedback
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Selecting the Message
Source
Message Source
credibility important
 expertise
 trustworthiness
 likability
Collecting the Feedback
Feedback
 awareness?
 trial?
 satisfaction?
Setting the Total Promotion Budget
Affordable
Method
CompetitiveParity
Method
Percentageof-Sales
Method
Objectiveand-Task
Method
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Setting the Promotional
Budget and Mix
Setting the Overall Promotion Mix
 Determined by the nature of each promotional
tool and the selected promotion mix strategy
Revlon
emphasizes
advertising
while Avon
emphasizes
personal
selling
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Setting the Promotion Mix
Nature of Each Promotion Tool
Advertising
Reaches Many Buyers, Expressive
Impersonal
Personal Selling
Personal Interaction, Builds Relationships
Costly
Sales Promotion
Provides Strong Incentives to Buy
Short-Lived
Public Relations
Believable, Effective, Economical
Underused by Many Companies
Direct Marketing
Nonpublic, Immediate, Customized,
Interactive
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Factors in Developing
Promotion Mix Strategies
Push Strategy - “Pushing” the Product
Through Distribution Channels to Final
Consumers.
•
• Pull Strategy - Producer Directs It’s
Marketing Activities Toward Final Consumers
to Induce Them to Buy the Product.
Type of
Product/
Market
Buyer/
Readiness
Stage
Product
Life-Cycle
Stage
15- 24
Figure 15-4:
Push vs. Pull
Promotion Strategy
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Setting the Promotional
Budget and Mix
Checklist: Integrating the Promotion Mix





Analyze trends (internal and external)
Audit communications spending
Identify all points of contact
Team up in communications planning
Make all communication elements
compatible
 Create performance measures
 Appoint an IMC manager
15- 26
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