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Integrated Marketing Communication
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4p’s of marketing mix
Product Price Place Promotion
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Marketing communication is focused on promotion mix
Promotion compasses all the tools in the marketing mix whose major role is persuasive communication
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What is communication?
Transmitting, receiving & processing information.
Communication occurs when the message that was sent reaches its destination in a form that is understood by the intended audience
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The communication Process
Elements in the communication process
Sender
Encoding
Decoding
Receiver
Response
Feedback
Noise
Message
Media
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Communication in marketing
Sender are the manufacturing or marketing companies
Intended audience is mainly customer internal or external
The idea is to convey the positive things about the product, brand or company
Intentions may be different like image, sale, revenue, profit or just to get attention
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Encoding – putting thoughts into symbolic form Message – Set of symbols Media – communication channel Decoding – The process by which receiver
assign meaning to the symbol encoded by the sender
Receiver – The party receiving the message sent by another party
Response – The reaction of the receiver after being exposed to the message.
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Feedback – The part of the receivers response communicated back to the sender.
Noise – The unplanned static or distortion during the communication process.
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Senders field Receivers Field
of experience of experience
Sender Encoding
Media
Decoding Receiver
Noise
ResponseFeedback
Message
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promotion
Promotion is the coordination of all seller initiated efforts to set up channels of information & persuasion in order to sell goods & services or promote an idea
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Promotion compasses all the tools in the marketing mix whose major role is persuasive communication
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Elements of Promotion Mix
Promotion Mix
Advertising Direct marketingInteractive /
Internet marketing
Sales promotion Personal selling
Publicity/ public relation
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AdvertisingAdvertising
Direct MarketingDirect Marketing
Interactive/Internet MarketingInteractive/Internet Marketing
Sales PromotionSales Promotion
Publicity/PublicRelationsPublicity/PublicRelations
AdvertisingAdvertising
Personal SellingPersonal Selling
Direct MarketingDirect Marketing
Interactive/Internet MarketingInteractive/Internet Marketing
Sales PromotionSales Promotion
Publicity/PublicRelationsPublicity/PublicRelations
Basic Elements of the Promotional Mix
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Communication or promotion tools
Advertising Sales promotion Public relations Personal selling Direct marketing
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Interactive / internet marketing
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Point ofpurchase
Publicity
Publicrelations
Directmarketing
Interactivemarketing
Specialevents
Packaging
Salespromotion
Directresponse
Traditional Approach to Marketing Communications
MediaAdver-tising
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Contemporary IMC Approach
Point ofpurchase
Publicity
Interactivemarketing
Publicrelations
Directmarketing
Specialevents
PackagingSalespromotion
Directresponse
MediaAdver-tising
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Advertising
Paid form- occasional exception PSA Nonpersonal - involves mass media
generally no opportunity for
immediate feedback ( except
direct response ad) Used to create brand images and symbolic
appeals for a company or brand
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Sales promotion
Short term incentives to encourage the purchase or sale of product or service.
Discounts Coupons Displays Demonstrations
Two Types- Consumer-oriented – targeted to the
ultimate user of a product /service Trade-oriented - targeted towards
marketing intermediaries
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Public Relation
Building good relations with the companies various publics by obtaining favorable publicity, building up good corporate image, and handling or heading off unfavorable rumors, stories, and events.
Press releases Sponsorships Special events Web pages
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Personal Selling
Personal presentation by the firms sales force for the purpose of making sales and building customer relationship
Sales presentations Trade shows Incentive programs
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Direct Marketing
Direct connection with carefully targeted individual consumers to both obtain an immediate response and cultivate lasting customer relationships.
through the use of direct mail, telephone, direct-response television, e-mail, and the Internet to communicate directly with specific consumers
Catalog Telemarketing Kiosks
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Interactive / internet marketing
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Steps in Developing Effective Marketing Communication
Identify the target audience
Determine the communication objectives
Design the message
Choose the media
Select the message source
Collecting feedback
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Determine the communication objectives
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IMC
The concept under which a company carefully integrates and coordinates its many promotion tools, sources, avenues to deliver a clear, consistent, and compelling message about the organization and its products.
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What is Integrated Marketing Communication
Integrated Marketing Communication is a simple concept. It ensures that all forms of communication and messages are carefully linked together.
At its most basic level, Integrated Marketing Communications, or IMC, means integrating all the promotional tools, so that they work together in harmony.
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Reasons for the Growing Importance of IMC
Media advertisingMedia advertising Multiple forms of communicationMultiple forms of communication
Mass mediaMass media Specialized mediaSpecialized media
Manufacturer dominanceManufacturer dominance Retailer dominanceRetailer dominance
Concept Driven AppealsConcept Driven Appeals Data-driven marketingData-driven marketing
Low agency accountabilityLow agency accountability Greater agency accountabilityGreater agency accountability
Traditional compensationTraditional compensation Performance-based compensation Performance-based compensation
Limited Internet availabilityLimited Internet availability Widespread Internet availabilityWidespread Internet availability
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Reasons for the Growing Importance of IMC
Shifting of marketing dollars from media advertising to other forms of promotion , particularly consumer-and trade-oriented sales promotions.
A movement away from relying on advertising-focused approaches, which emphasize mass media such as network television and national magazines, to solve communication problems
A shift in marketplace power from manufacturers to retailers.
Rapid growth and development of database marketing. Demand for a greater accountability from advertising
agencies and the changes in the way agencies are compensated.
The rapid growth of the internet, which is changing the very nature of how companies do business and the way they communicate and interact with consumers.
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IMC Audience Contact Tools
Broadcast media (TV/radio)
Broadcast media (TV/radio)
Print media (newspapers,
magazines)
Print media (newspapers,
magazines)
Public Relations/publicity
Public Relations/publicity
Internet/interactive
Internet/interactive
Directmarketing
Directmarketing
Sales Promotion
Sales Promotion
Product placements (TV and movies)
Product placements (TV and movies)
Events and sponsorship
Events and sponsorship
Word-of-mouth
Word-of-mouth
Point-of-purchase (displays, packaging)
Point-of-purchase (displays, packaging)
Personal selling
Personal selling
Out-of-home media Out-of-home media
Target AudienceTarget Audience
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Need for Integrated Marketing Communications
Conflicting messages from different sources or promotional approaches can confuse the customers about company or brand images
Increasing no of promotional tools & trends if not used to complement each other, the message is not effective creating chaos in customer’s mind
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Benefits
increases profits through increased effectiveness
create competitive advantage
boost sales by stretching messages across several communications tools to create more avenues for customers to become aware, aroused, and ultimately, to make a purchase and profits, while saving money, time and stress.
Creates credibility & reduces risk in the mind of the buyer
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Continued…
nurture long term relationships with customers
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Factors affecting IMC programs In developing an IMC strategy, a company combines
the promotional mix elements, balancing the strengths & weaknesses of each.
Companies considers many factors in developing their IMC programs including
Type of product Target market Buyer decision process PLC stage Distribution channels
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What is an IMC plan?
A framework for developing, implementing & controlling the organization's integrated marketing communication programs & activities
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IMC Plan
It must : - Evaluate the current situation Determine the role of each promotion mix
element Develop the strategies for each promotion mix
element Plan for their implementation Consider how to evaluate results
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IMC planning model
Review of mktg plan
Analysis of promotional program situation
Analysis of communication process
Budget determination
Develop IMC program
Direct Mktg Interactive/Internet mktg
Sales promotionPR/PublicityAdvtising PS
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Cntd..
Direct Mktg internet mktg S p PRAdvtising PS
objectives objectives obj obj obj obj
strategy strategy strategy strategy strategy strategy
Msg &media strategy &
tactics
Msg &media strategy &
tactics
Msg &media strategy &
tactics
Msg &media strategy &
tactics
Msg &media strategy & tactics
Sales messageStrategy & sales
tactics
Integrate & implement mktg communication strategies
Monitor, evaluate & control IMC program
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Review of marketing plan- it is a written document that describes the overall mkting strategy & programs developed for an organization
Examine overall marketing plan and objectives Role of advertising and promotion Competitive analysis Asses environmental influences Analysis of promotional program situation Internal analysis External analysis Analysis of communications process Analyze receivers response process Analyze source, message, channel factors Establish communications goals and objectivesBudget Determination Set tentative marketing communications budget Allocate tentative budget
Develop integrated marketing communications program
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Integrate and implement Marketing communication Strategies
Integrate promotion mix strategies
create and produce ads
Purchase media time , space, etc.
design & implement direct marketing programs
design & distribute sales promotion materials
design & implement public relation / publicity programs
design & implement interactive / internet marketing
programs
Monitor , Evaluate, and control IMC program.
Evaluate promotional program results/ effectiveness
Take measure to control and adjust promotional strategies
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Marketing and promotion process model
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