Internet Advertising & Promotional Communication Integrated Marketing Communication (IMC) Featuring in class 2 & 3…... Integrated Marketing Communication Definitions Problems & Challenges Marketing Communication Elements Public Relations Sales Promotions Direct Marketing IMC: Definitions vary all of the marketing communication elements should be integrated so as to maximize the overall output, sales or profits? MC elements?: use of two or more MC elements? use of multiple media to advertise a brand with an underlying theme or selling proposition? IMC: Definitions Interactive IMC: “integration of three or more MC elements with a common underlying theme or goal in two or more Internet platforms IMC: Problems & Challenges Lack of agreed, workable definitions of IMC I____________ M___________ Marketing Communication Elements Advertising Public Relations Sales Promotion Direct Marketing Personal Selling Public Relations a marketing and management function that focuses on communications that ______________ between a firm and its constituencies What PR can achieve Build goodwill or favorable corporate i______ P_______ products or services Facilitate i_______ communication Function as damage control and fight negative publicity or manage crisis situations Traditional PR tools _ _ _ _ _ Internet PR: advantages, opportunities, & challenges C______, t______ and efforts savings I________, real-time communication efficient internal and external corporate communication, targeting and personalization of messages frequent, quick, efficient communication via email, discussion forums, chats Supports for p_______ PR and ________ Internet PR: advantages, opportunities, & challenges Directly measurable effects Unlimited amount of i_______ accountability opportunity as well as challenge: How? Quick and easy d_______ of information and even false and hazardous rumors about your firm need for constant monitoring Internet PR tools News release archives & online library (in corporate sites Announcement IMC opportunities for soliciting subscription via _ Public appearance Beware of “netiquette” when using _ Newsletters Need for publicizing the feature Integration with email, sales promotion items & banner or link exchange is a good idea How? Examples? Event sponsorship May be tied with sales promotion Internet PR examples http://www.mcgraw-hill.com/corpinfo/resource/index.html http://www.hilton.com/corporate/index.html http://www.hp.com http://www.bankofamerica.com. http://chat.yahoo.com/c/events/info/2000/03/06/030600manshow.html http://www.msnbc.com/chat/cover.asp http://www.broadcast.com/concerts/bluenote/ http://travel.yahoo.com/destinations/promos/exorbis/entrypage.html http://www.mcdonalds.com/whatsnew/usa/passport/index.html Note: examples are subject to expiration any time and may no longer be available Sales Promotion short-term promotional activities or incentives designed to generate ___________________ Traditional sales promotion tools Consumer sales promotion e.g., coupons/discounts, rebates, refunds, premiums, sweepstakes, contests, free samples, loyalty program, etc. Trade promotion e.g., Point-of-Purchase (POP) displays, co-op advertising, cash or merchandising allowance, slotting fees, discounts, contest, trade shows What sales promotion can achieve Cause a rapid increase in s_____ activity and volume Attract new buyers to t______ purchases Defend an established brand against new competition Reward l_____ consumers as they continue to use the product Provide retailers with additional marketing support Challenges of sales promo Marketers and retailers can become _____________ sales promotion Matching competitors’ sales promotion can lead to a sales promotion _____ -- no win situation for all involved Extensive sales promotion can damage __________ Problems of sales promotion abuse (e.g., ___________ ) Internet sales promotion tools Online coupons, sweepstakes, premium to be discussed in lecture Free samples, loyalty programs, online contests and games, and others See ZA text and explore more and current examples by doing EX. 3. Internet Coupons A form of discounts or price-offs An electronic, printable form that can be used to discount the price of items or services offered by a company Problem of fraudulent claims What Internet coupons can achieve Drive t______ to retail stores Motivate to b____ more and early Increase favorable response due to the ability to _______ by geographic location, interests, taste and previous behavior with other coupons. Minimize waste in delivery Save c______ & t_____ How to use Internet coupons Understand the threats of encouraging customers to reject b______ l________ for price consideration Breaking through coupon c_______ is critical Study what kinds are available and effective online coupon companies can help – e.g., E-centives, CoolSavings, and Val-Pak) – explore the local companies doing this Assess your c_________’ use of coupons T_______ and c________ the offer Create synergy by i___________ with other MC efforts Examples of Internet coupons/price-off Pizza hut (www.pizzahut.com) – “build your own coupons”, “find coupons in your area”— can search coupons redeemable in their local area GAP (www.gap.com) – “get 15% off $75 in stores & online when you join our mailing list” Can you find a good example of online coupons or discounts in your area? Any case of IMC involving coupons or discounts? Note: examples are subject to expiration any time and may no longer be available Online Sweepstakes a promotion in which prize or prizes are given to the winners who are determined on the basis of chance alone What online sweepstakes/contests can achieve Create a_________, excitement and consumer i_____________ Enhance brand i_______, if used properly Gain retail support Build consumer d________ Produce immediate s________ How to use online sweepstakes Understand the challenge of offering the right p_____ to attract the target Test to see what works for the target Create synergy by i____________ with direct marketing, PR, or advertising Establish a strong t____ between the sweepstakes and the brand Examples of online sweepstakes McDonald’s (www.mcdonalds.com) – “IT’S Winning Time” Coca Cola (www.cocacola.com) – “Watch & Win” Can you find an example of online sweepstakes? A case of IMC involving sweepstakes in your area? Note: examples are subject to expiration any time and may no longer be available Premium an item, other than the product itself, given to purchasers of a product as an incentive to buy What online premium can achieve encourage customers to make an immediate purchase build t________ to the store or the website build a customer d________ How to use online premium Integration with advertising and other MC efforts is effective Targeting the o______ is critical Examples of online premium AT&T (www.att.com) – “GET A GREAT DEAL when you buy online. Get a FREE Nokia 3360 when you order new service online starting at just $19.99 a month” Levi’s (www.levis.com) – “Try new Type1 jeans on at Levi’s retail store, and get a FREE CD” Can you find an example of online premium? A case of IMC involving online premium in your area? Note: examples are subject to expiration any time and may no longer be available Direct Marketing “a form of marketing that occurs directly between the marketer and the consumer and that includes activities designed to generate direct sales or any actions short of sales” Internet direct marketing: advantages, opportunities, and challenges Cost effectiveness Time / c___________ ___________ cheaper than traditional direct mail marketing business anywhere, any time. Ease and power of __________________________________________ Gl_____ market coverage D______ building & relationship marketing potential What Internet direct marketing can achieve Sales (_____________) Sales leads (_____________) Traffic (___________________ at a place of business for purchase) A database of customers (completed _______________________________) Internet Direct Marketing : Direct Email Direct marketing can be implemented in different ways -- ___________________ Email is the most frequently used platform for internet direct marketing More and better creative options are now available Obtaining ________________________ is key How to use direct email marketing: Using in-house lists Appropriate for frequent e-mailers, due to ownership of the list, long-term cost savings & control May start with current customer list Build the list via registration on one’s site, subscription to newsletters, email solicitation Offer incentives to increase response Maintain updated list -- cost for upkeep How to use direct email marketing: Renting lists form brokers ___________________ Numerous list categories available Example of list brokers Acxiom DirectMedia (www.directmedia.com ) MatchLogic (www.matchlogic.com) NetCreations (www.netcreations.com ) Price ranging from less than $100 per thousand names to more than $1,000 – the more ________________________________________ the list, the higher the price How to use direct email marketing: Making sure the list to use is o__ - __ Opt-in (with permission): everyone in the list has a______ that they want to receive email solicitations Avoid any list put together by software that surf the web looking for new email addresses Check the r_________ of the list broker Check list broker reference (talk to its clients) T_____ the list in a small scale emailing first before emailing the entire list. Read the Zeff and Aronson book for more insights, tips, and examples concerning the effective use direct email or direct advertising