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    Integrated Marketing

    Communications13

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    Promotional Strategy

    CompetitiveAdvantage

    Promotional Strategy

    A plan for the optimal use of the

    elements of promotion: Advertising Public Relations Sales Promotion

    Personal Selling Direct/Interactive

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    Promotion

    Communication that informs,

    persuades, and remindspotential buyers of a product

    to influence an opinion or

    elicit a response.

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    Goals and Tasks of Promotion

    Informative Objective

    Increase awareness

    Explain how product works

    Suggest new uses

    Build company image

    http://www.tide.com

    http://www.tide.com/http://www.tide.com/
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    Goals and Tasks of Promotion

    Persuasion Objective

    Encourage brand switching

    Change customers perception ofproduct attributes

    Influence buying decision

    Persuade customers to call

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    Goals and Tasks of Promotion

    Reminder Objective

    Remind customers that productmay be needed

    Remind customers where to buy product

    Maintain customer awareness

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    Marketing Communication

    Categories ofCommunication

    InterpersonalCommunication

    MassCommunication

    New Trend Old Trend

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    The Changing CommunicationsEnvironment

    Two Factors

    are Changing the Face of Todays

    Marketing Communications:

    Improvements inInformation Technology

    Has Led toSegmented Marketing

    More Narrowcasting

    Marketers Have ShiftedAway From Mass

    MarketingLess Broadcasting

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    Marketing Communications(Promotional) Mix

    Any Paid Form ofNonpersonal Presentation byan Identified Sponsor.

    Advertising

    Sales Promotion Short-term Incentives toEncourage Sales.

    Interactive MktgDirect Communications WithIndividuals to Obtain an

    Immediate Response.

    Public RelationsBuilding Good Relations withVarious Publics by ObtainingFavorable Publicity.

    Personal Selling Personal Presentations

    by a Firms Sales Force.

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    Promotional Mix Characteristics

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    But Dont Forget

    Products Design

    Price

    Shape and color of its package

    Stores that sell the product

    All must be coordinated with thepromotional mix for maximumimpact among your target audience

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    Goal: Deliver a Clear, Consistent,Compelling Message

    Advertising PersonalSelling

    PublicRelations

    SalesPromotion

    InteractiveMarketing

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    IMC Programs

    Ad Age Fact Pack

    Sara Lee (Levesque Design)

    http://adage.com/datacenter/article?article_id=122455&search_phrase=2007+fact+packhttp://www.levesquedesign.com/case_sara.cfm?startrow=7http://www.levesquedesign.com/case_sara.cfm?startrow=7http://adage.com/datacenter/article?article_id=122455&search_phrase=2007+fact+pack
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    The Communication Process

    Noise

    SenderEncodingMessage

    MessageChannel

    MessageChannel

    DecodingMessage

    Receiver

    Online

    http://www.mcdonalds.com

    Enter Site, Havin Fun, i am asian

    http://www.mcdonalds.com/http://www.mcdonalds.com/
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    The Communication Process

    Communication: The process bywhich we exchange or share

    meanings through a common set ofsymbols

    Sender: Originator of the message

    Encoding: The conversion ofsenders ideas into a message,usually in the form of word or signs

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    Click

    Levitra

    http://12levitra1.mpg/http://12levitra1.mpg/
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    Factors Affecting Promotional Mix

    Nature of the product Business vs. Consumer

    Costs and risks of product

    Stage in the PLC Target market characteristics Location of customers

    Informed or not informed

    Repeat or new customers

    Type of buying decision Budget Push vs. Pull Consumer Involvement with the Message (AIDA)

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    Visual of Factors Affecting Promo Mix

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    Stage in the PLC

    Informing Reminding

    Persuading

    TargetAudience

    PLC Stages:

    IntroductionEarly Growth

    PLC Stages:GrowthMaturity

    PLC Stages:

    Maturity

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    Product Life Cycle and thePromotional Mix

    LightAdvertising,

    pre-

    introductionPublicity

    Heavy use ofadvertising,

    PR for

    awareness;sales

    promotionfor trial

    AD/PRdecreaseLimited

    SalesPromotion,PersonalSelling for

    distribution

    Adsdecrease.

    Sales

    Promotion,PersonalSelling

    Reminder &Persuasive

    Advertising,PR, Brand

    loyalty

    PersonalSelling for

    distribution

    Introduction Growth

    Maturity

    Decline

    S

    ales($)

    Time

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    Type of Buying Decision

    Advertising

    Sales PromotionType of

    Buying DecisionaffectsPromotionalMix Choice

    Complex

    Routine

    Personal Selling

    Not Routineor Complex

    Advertising

    Public Relations

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    Push versus Pull Strategies

    MANUFACTURER

    RETAILER

    Trade Promotions &

    Sales Force

    CONSUMER

    Retail

    Promotions

    Consumer

    Promotions

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    Push and Pull Strategies

    Manufacturerpromotes towholesaler

    Wholesalerpromotes to

    retailer

    Retailerpromotes toconsumer

    Consumerbuys from

    retailer

    PUSH STRATEGY

    Orders to manufacturer

    Manufacturer

    promotes toconsumer

    Consumer

    demandsproductfrom retailer

    Retailer

    demandsproductfrom wholesaler

    Wholesaler

    demandsproduct frommanufacturer

    Orders to manufacturer

    PULL STRATEGY

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    Pull Strategy

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    AIDA Concept

    AIDA Concept

    Model that outlines theprocess for achieving

    promotional goals in terms of

    stages of consumerinvolvement with the

    message.

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    The AIDA Concept

    Action

    Desire

    Interest

    Attention Cognitive (thinking)

    Affective (feeling)

    Conative (doing)

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    AIDA Concept

    Attention Interest Desire Action

    Advertising

    PublicRelations

    SalesPromotion

    PersonalSelling

    Very

    effective

    Somewhat

    effective

    Not

    effective

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    Communication Effectiveness

    Effectiveness

    P.R.Adv.

    Sponsorships

    Salespromotion

    Personalselling

    Attention Interest Desire Action