BA 230 Marketing Communications

• Marketing the sum of all the activities involved in the planning, pricing, promoting, distributing and selling of goods and services to satisfy consumer’s needs and wants.

• Marketing is the process that connects suppliers with end users

What is Marketing?

• An organizational function and a set of processes for creating, communicating, and delivering value to customers and for managing customer relationships in ways that benefit the organization and its stakeholders.

What is Marketing?

Our task is to focus

Two Types of Marketing Efforts

B2CB2C

B2BB2B

Communication Process

How Brand Communication Works

Corporate Communications

•Focus on multiple stakeholders

•Multiple channels

•Variety of communication

•Positions an entire organization

•Less room for creativity

•Needs to be consistent with corporate identity and corporate brand attributes

Corporate Communications

•Focus on multiple stakeholders

•Multiple channels

•Variety of communication

•Positions an entire organization

•Less room for creativity

•Needs to be consistent with corporate identity and corporate brand attributes

Marketing Communications•Focus on customers

•Defined set of channels

•Controlled communication types

•Positions a product or service

•More room for creativity

•Needs to be consistent with product

and brand attributes

Marketing Communications•Focus on customers

•Defined set of channels

•Controlled communication types

•Positions a product or service

•More room for creativity

•Needs to be consistent with product

and brand attributes

• Creating, delivering, managing, and valuating brand messages which are the information and experiences that impact how a brand is perceived.

• Marketing communications is any communication that flow from an organisation to its customers, potential customers and other groups who may influence its success.

– Informs– Persuades– Differentiates– Reminds

What is Marketing Communications?

IMC is designed to make all aspects of marketing communication such as advertising, sales promotion, public relations, and direct marketing work together as a unified force, rather than permitting each to work in isolation.

IMC, as a philosophical concept, dictates that all parties involved in the firm’s communication efforts co-ordinate to speak to target audience(s) with

• one voice, • a unified message and • a consistent image

What is Integrated Marketing Communication?

Early definitions of IMC:

• a concept of marketing communications planning that recognizes the added value of a comprehensive plan that evaluates the strategic roles of a variety of communications disciplines (for example, general advertising, direct response, sales promotion, and public relations) and

• combines these disciplines to provide clarity, consistency, and maximum communications impact.

(Schultz, 1993, p. 10)

What is Integrated Marketing Communication?

• IMC is the process of developing and implementing various forms of persuasive communications programs with customers and prospects over time.

• The goal of IMC is to influence or directly affect the behaviour of the selected communications audience. IMC considers all sources of brand or company contacts which a customer or prospect has with the product or service as potential delivery channels for future messages.

• In sum, the IMC process starts with the customer or prospect and then works back to determine and define the forms and methods through which persuasive communications programs should be developed.

(Schultz, 1993a, p. 17)

What is Integrated Marketing Communication?

• Tactical coordination of marcom elements• Redefining the scope of marcom • Application of information techolology• Financial and strategic integration

Stages in IMC Development (Source: Schultz and Kitchen, 2000b)

What is Integrated Marketing Communication?

“A process that entails the planning, creation, integration and implementation of diverse forms of marketing promotion.”

What is IMC?

All marketing communications should be:

(1) clearly positioned,

(2) directed to a particular target market,

(3) created to achieve a specific objective,

(4) undertaken to accomplish the objective

within budget constraint.

The Focus of IMC

Traditional

• Transactions

• Consumers

• One-to-many

• Product driven

Integrated

• Relationships

• Stakeholders

• One-to-few

• Customer driven

• Don Schultz

• George E.Belch, Michael A. Belch

• Tom Duncan

• Philip J. Kitchen

Important Names for IMC

Changes in Marketing Communication Practices

• Information overload, • advertising overload, • media fragmentation, • media choices,• smaller audiences,• increasing number of

“me-too” products,

• complexity and change in FMCG markets,• increasing media interest in social behaviour of

companies,• increase reliance on highly targeted

communication methods.,• increased efforts to assess communications’

return on investment.

• Multiple acquisitions and structural changes, • focus on short-term results, • interest in strategic importance of communication,• interest in internal communication, • heightened demands on suppliers

Changes in the consumer market:

Changes in the supplier market:

Why Is Integration So Important?

… and create a synergy effect like:

… and create a synergy effect like:

…they reinforce each other……they reinforce each other…

When brand messages are integrated…

When brand messages are integrated…

…they reinforce each other……they reinforce each other…

IntegrationIntegration SynergySynergy=

2 2 5+ =

• Not True…Interaction

• Results Depend on Interaction of the two (or more) variables

• Example:– $10 Billboard = $20 Sales– $10 TV Ad = $30 Sales

• But…– $20 TV/Billboard = $60 Sales

“2 + 2 = 5” Statement

IMC Mix

Advertising Advertising

Personal SellingPersonal Selling

Sales Promotion/POPSales Promotion/POP

Public Relations Public Relations

Direct MarketingDirect Marketing

EventsEvents

GuerillaGuerilla

Word of MouthWord of Mouth

Mobile MediaMobile Media

Social MediaSocial Media

• CLARITY - Avoid giving conflicting messages

• CONSISTENCY - All messages convey the core values/attributes of corporate identity and brand

• SYNERGY - Messages reinforce each other through repetition and development

Benefits of IMC

Contemporary IMC Approach

IMC plan guides all the members of an organization to work together

IMC plan guides all the members of an organization to work together

Musical score guides all the members of the orchestra to play together

Musical score guides all the members of the orchestra to play together

IMC is like an orchestra

IMC is like an orchestra

At the end of the course we can say IMC is like

But not like this....

• Cadbury promised consumers free sporting goods if they will save and submit special wrappers from Cadbury products.

• The campaign was supported with advertising, sponsorship, sales promotion, package design, and marketing public relations.

• However, there is a distinct unease in the minds of customers, consumers, and industry experts on the links between chocolate and obesity, and between chocolate and sporting prowess.

• Integration is both a way to develop campaigns that maximize consistency among all the marcom tools and a philosophy that monitors and manages all brand messages with all stakeholders at all contact points.