MARKETING MANAGEMENT BY KOTLER AND KELLER (12TH ED.)
LECTURE NOTES
Chapter17. Designing and managing integrated marketing communications
 Contents of the chapter; it describes how communications work and what marketing communications can
do for company; it also addresses how holistic marketers combine and integrate marketing communications.
 The Role of Marketing Communications;
 Definition of Marketing communications; The means by which firms attempt to inform, persuade,
and remind consumers-directly or indirectly- about the products and brands that they sell, it represent
the “voice” of the brand
 Marketing Communications and Brand Equity;
-
Marketing Communications Mix

consist of six major modes of communications;
1-Advertising
2- Sales promotion
3- Events and experiences
4- Public relations and publicity
5- Direct marketing
6- Personal selling

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(Table 17.1) lists common communication platforms.
Brand Equity;
1- Brand awareness
2- Brand image
3- Brand response
4- Brand relationships

Figure 17.1 shows integrated Marketing Communications activities to build Brand equity

Example of the integrated campaign is Boston symphony orchestra, that resulted on attracting
and keeping both older (reader of books and magazine) and younger (more involved with
internet and electronic media) audiences who has different product interest.
 The communications Process Models; Two models ( macro and micro models)
1- Macro models;

(Figure 17.2) shows the nine elements in the communication process;
-Two elements represent Parties in communication (Sender, Receiver)
- Two elements represent communication tools (message, media)
- Four elements represent communication functions (encoding, decoding, response, feedback)
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-One element represents –random and competing messages that may interfere with intended
communication- (noise).

The more the sender’s field of experience overlaps with that of the receiver, the more effective
the message is likely to be.
2- Micro Model of Consumer Responses;

(Figure 17.3) summarizes four classic response hierarchy models (AIDA, Hierarchy-of-Effects,
Innovation-Adoption, and Communications Models).

All these models assume that the buyer passes through; -Cognitive –Affective- and Behavior
stages, in that order;
-
“Learn-feel-do” sequence; is appropriate when audience has high involvement with a product and
perceives high differentiation, as in purchasing house or car.
-
“do-feel-learn” sequence; is appropriate when audience has high involvement but perceives little
or no differentiation, as in purchasing an airline ticket or personal computer.
-
“learn-do-feel” sequence; is appropriate when audience has low involvement and perceives little
differentiation in product category, as in purchasing salt or batteries.

Example of applying the Hierarchy-of-effects model in Posttsyille college; (Awareness,
Knowledge, Liking, Preference, Conviction, Purchase)
 Developing Effective Communications;
-
(Figure 17.4) shows the eight steps in developing effective communications;
 1- Identify the Target Audience;

The target audience is a critical influence on the communicator’s decision on what to say, how
to say it, when to say it, where to say it, and to whom to say it.

The first step is to measure the target audience knowledge of the object, using the
familiarity/favorability scales;

Familiarity scale; -never heard- heard of only- know a little bit- know a fair amount- know very
well.

Favorability scale; -very unfavorable- somewhat unfavorable- indifferent – somewhat
favorable – very favorable.
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
The two scales can be combined to develop insight into the nature of the communication
challenge. Example (Figure 17.5) shows the attitudes of area residents toward four local
hospitals, A-B-C-D
 2- Determine the Communications Objectives;

There are four possible objectives in all communications models;
1-Category need
2- Brand awareness
3- Brand attitude
4- Brand purchase intention
 3- Design the Communications;

Three problems should be solved in order to formulate a successful communications;
1-what to say- message strategy-
2- how to say it- creative strategy-
3-and who should say it- message source-


1- Message strategy;
Buyers are expecting one of four types of rewards from a product;
1- Rational

2- Sensory
2- Product-in-use experience
3- incidental-to-use experience
Crossing the four types of rewards with the three type of experience generates 12 types of messages


4- or ego satisfaction,
Buyers might visualize these rewards from three types of experience;
1- Results-of-use experience

3- Social
2- Creative Strategy; is how marketers translate their messages into a specific communication
Creative strategy could be classified as involving either; informational or transformational
appeals.

Informational Appeals; elaborates on product or service attributes, or benefits.
1-One-side message that only praise the product
2- Two-side message, that also mention the shortcomings, Example (Heinz Ketchup is slow good)

Transformational Appeals; elaborates on a non-product related benefit or image;
-Communicators use negative appeals such as; fear, guilt, and shame to get people do or stop doing
something (smocking, make health checkup,…)
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- Communicators use positive emotional appeals such as; humor, love, pride and joy to attract the
attention of consumers and raise their involvement with an ad.


3- Message source;
Delivering message by attractive or popular sources can potentially achieve higher attention and
recall, which is why advertisers often use celebrities as spokespeople

Factors that underlie source credibility; ( experience- trustworthiness- and likability)

Example, Salton company chosen George Foreman, the heavyweight champ in its advertisement
and become a partner, and earned more than he did as a boxer- over $150 million.

Consumer attitude toward source and message; (positive- negative, like- dislike)
 4- Select the Communication Channel;
-Two types of channels; (Personal and non-personal)
* Personal Communication Channels; (face-to-face, over telephone, through e-mail..)
1- Advocate channels; company salespeople contacting buyers,
2-Expert channels; independent experts making statements to target buyers
3-Social channels; consist of neighbors, friends, family members talking to target buyers
-“Word –of- mouth” ,
“Word- of -web”
-People influence carries especially great weight in two situations;
1-with products that are expenses, risky, or purchased infrequently
2-where the product suggests something about the user’s status or taste
-Renee Dye, The 5 Myths of word-of-mouth,” BUZZ”;
-Michael Cafferky “word-of mouth” Marketing tips;
-Eight Steps to stimulate personal influence channels to work on behalf of companies;
* Non-personal Communication Channels;
- Directed to more than one person and include (media, sales promotions, events, and publicity)
-Much of the recent growth of non-personal channels has been with events experiences
 Integration of Communication Channels;
-
Although personal communication is often more effective than mass media communication,
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Mass Communications affect personal attitudes and behavior through two step process;
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* Idea often flow from radio, TV, and print to opinion leaders
* And from these to the less media-involved population group.
 5- Establish the total marketing communications budget;

One of the most difficult marketing decisions is determining how much to spend on promotion.
One manager said; “I know that half of my advertising is wasted, but I don’t know which one”

Four methods for companies to decide on promotion budget;
1- Affordable method; the budget the company think that can afford,
2- Percentage-of-sales methods;
3- Competitive-parity method; some companies set their promotion budget to achieve share-ofvoice parity with competitors
4- Objective-and-task method; by defining specific objectives, determining the tasks that must be
performed to achieve these objectives.
 6-Decide on Media mix;

Companies must allocate the marketing communication s budget over the six major modes of
communication; (advertising, sales promotion, public relations and publicity, events and
experiences, sales forces, and direct marketing).

Characteristics of Marketing Communications Mix;
1- Advertising; (Pervasiveness, Amplified expressiveness, Impersonality)
2- Sales promotion; (Communication, Incentive, Invitation)
3- Public Relations and Publicity; (High credibility, Ability to catch buyers off guard,
Dramatization).
4- Event and Experiences; (Relevant, Involving, Implicit).
5- Direct Marketing; (Customized, Up-to-date, Interactive).
6- Personal selling; (Personal interaction, Cultivation, Response).

Factors in setting the marketing Communications Mix;
1- Type of product market; (Combination of advertising and personal selling)
2- Buyer-Readiness Stage; (Awareness, Comprehension, Conviction, Order, Reorder).
3- Product Life-Cycle-Stage; (Introduction, growth, and decline stages).
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- (Figure 17.6) shows the cost-effectiveness of three different communication tools at different Buyerreadiness stages
 7- Measuring Communication Results;

After implementing the communications plan, the communications director must measure its
impact on the target audience.

(Figure 17.7) provides an example of good feedback measurement;
-In one brand 80% of customers aware of it, 60% tried it, but only 20% are satisfied
-in another brand 40% of customers aware of it, 30% tried it, but only 80% are satisfied
 8-Managing the “Integrated Marketing Communications”- IMC- Process;

The wide range of communication tools, messages, and audiences makes it imperative that
companies move toward integrated marketing communications,

Companies must adopt a “360-degree view” of consumers to fully understand all the different
ways that communications can affect consumer behavior in their daily lives,

A successful example from a company who adopted an integrated marketing communications
program is; Andersen that changed the name to Accenture by 2001, as its name appeared in
each of 48 countries where the company did business, it integrated programme included (TV,
print ads, weekly magazines, bus stops and park benches, 2001 World match play
championship, sponsorship opportunities including the formula 1 racing series, several
European skiing events, the six nation Rugby, the Asian PGA tour, and the Italian football
championship.

IMC should improve the company’s ability to reach the right customers with the right
messages at the right time and in the right place,

IMC is a way of looking at the whole marketing process instead of focusing on individual parts
of it.
Prepared by; Mohammad Hamad
Sarajevo April 2010
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