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PRA405 - Campaign Design in IMC Establishing Objectives and Budgeting for the Promotional Program Establishing Objectives and Budgeting for the Promotional Program

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Page 1: Establishing Objectives and Budgeting for the …homes.ieu.edu.tr/euzunoglu/PRA 426 PR PROJECT/PRA405...Establishing Objectives and Budgeting for the Promotional Program Steps in Designing

PRA405 - Campaign Design in IMC

Establishing Objectives and Budgeting for the Promotional Program

Establishing Objectives and Budgeting for the Promotional Program

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Steps in Designing IMC Campaign

Step 1. Situational analysis

Step 6. Setting the budget

Step 3. Setting objectives

Step 4. Strategic decision-making

Step 5. Operational decision-making

Step 2. Identifying the target audiences

Step 7. Implemantation

Step 8. Campaign evaluation.

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Steps in Designing IMC Campaign

Setting Objectives

where do we want to go?...

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What is Objective?

An objective is the goal or aim or end result that one seeking to achieve.

From IMC point of view ;what marketers want to accomplish with marketing communication.

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Focus &Coordination

Focus &Coordination

Plans &Decisions

Plans &Decisions

Measurement& Control

Measurement& Control

Plans &Decisions

Plans &Decisions

Focus &Coordination

Focus &Coordination

Value of Objectives

ObjectivesObjectives

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Benefits of Setting Objectives

� it gives a target to aim to, therefore all actions and efforts will be focused on attaining the objective instead of being inefficiently used;

�gives participants a sense of direction, a glimpse of where they’re going to;

�motivates the leaders and their teams, since it is quite the custom of establishing some sort of reward once the team successfully completed a project;

�offers the support in evaluating the success of an action or project.

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Marketing Objectives

Marketing Objectives

• Generally stated in the firm’s marketing plan

• Achieved through the overall marketing plan

• Quantifiable, such as sales, market share, ROI

• To be accomplished in Specific time period• Must be realistic and

attainable to be effective

• Generally stated in the firm’s marketing plan

• Achieved through the overall marketing plan

• Quantifiable, such as sales, market share, ROI

• To be accomplished in Specific time period• Must be realistic and

attainable to be effective

Marketing Objectives

Marketing Objectives

Marketing Versus Communications Objectives

Communications Objectives

Communications Objectives

• Derived from the overall marketing plan

• More narrow than marketing objectives

• Based on particular communications tasks

• Designed to deliver appropriate messages

• Focused on a specific target audience

• Derived from the overall marketing plan

• More narrow than marketing objectives

• Based on particular communications tasks

• Designed to deliver appropriate messages

• Focused on a specific target audience

Vs.Vs.

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Theeconomy

TheeconomyDistributionDistribution TechnologyTechnology PricePrice

Advertising and

promotion

Advertising and

promotionCompetitionCompetition Product

quality

Productquality

PricePriceTechnologyTechnologyDistributionDistribution

Productquality

ProductqualityCompetitionCompetition

Advertising and

promotion

Advertising and

promotion

Many Different Factors Affect Sales

$ALE$$ALE$

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Marketing Objectives

• Increase unit sales of product/brand X by 10 per cent over the next 12 months

• Increase market share by 5 per cent over the next 8 months

• Increase distribution penetration from 25 per cent to 50 within 12 months;

• Establish a network of distributors covering İzmir, Ankara, İstanbul, Antalya, Bursa

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Communications Objectives

• To increase awareness of Nokia N73 from 35 percent to 50 per cent within 8 weeks of the campaign launch among 25-45 year-old A, B, C1 women

• To position the service as the friendliest on the market within 12-month period among 70 per cent of heavy chocolate users

• To reposition Tuborg from an old, unfashionable, older man’s drink to fashionable younger person’s drink over 2 years among 25-45 year-old male drinkers

• To maintain brand X as the preferred brand (or number one brand) of photocopiers among at least 50 percent of current Turkish buyers in companies with 500+ employees

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Models of the Response Process

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The DAGMAR Approach

DefineAdvertisingGoals forMeasuringAdvertisingResults ______________________

AwarenessAwareness__________________

ConvictionConviction

ComprehensionComprehension______________________

________________________

Communication Process

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Communications Objectives

Awareness

Comprehension

Conviction

Action

AIDA DAGMAR

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The DAGMAR Approach

ActionAction

AwarenessAwarenessAwarenessAwareness

ConvictionConviction

ComprehensionComprehensionComprehensionComprehension

ConvictionConviction

Existence of___________

What the _____is and what _____________for the consumer

Mental disposition to _____the product

________the product

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Pros and Cons of DAGMAR

Problems with the response hierarchy

Problems with the response hierarchy

Assessment of campaign effectiveness

Assessment of campaign effectiveness

ProsPros ConsCons

Sales objectivesSales objectives

Practicality and costPracticality and cost

Inhibition of creativityInhibition of creativity

Value of communication-based objectives

Value of communication-based objectives

Measurement of stagesMeasurement of stages

Less subjectiveLess subjective

Problems with the response hierarchy

Problems with the response hierarchy

Assessment of campaign effectiveness

Assessment of campaign effectiveness

Sales objectivesSales objectives

Practicality and costPracticality and cost

Value of communication-based objectives

Value of communication-based objectives

Measurement of stagesMeasurement of stages

Less subjectiveLess subjective

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Advertising and Movement Toward Action

Teaser campaigns

AffectiveRealm of emotions.Ads change attitudes and feelings

CognitiveRealm of thoughts.Ads provide information and facts.

ConativeRealm of motives.Ads stimulate or direct desires.

“Image” copyStatus, glamour appeals

AnnouncementsDescriptive copyClassified adsSlogans, jingles, skywriting

Competitive adsArgumentative copy

Point of purchaseRetail store ads, Deals“Last-chance” offersPrice appeals, Testimonials

Purchase

Conviction

Preference

Liking

Knowledge

Awareness

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20% TrialConative

40% LikingAffective

90% AwarenessCognitive

5% Use

70% Knowledge

25% Preference

90% Awareness

70% Knowledge

40% Liking

25% Preference

20% Trial

Pyramid of Communications Effects

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X Shampoo• Objective 1: Create awareness among %90 of the target audience.

Use repetitive advertising in newspaper, magazines, TV and radioprograms. Simple message

• Objective 2: Create interest in the brand among %70 of the target audience. Communicate information about the features and benefits of the brand-i.e., that it contains no soap and improves the texture of the hair. Use more copy in ads to convey benefits.

• Objective 3: Create positive feelings about the brand among %40 and preference among %25 of the target audience. Create favourable attitudes by conveying information, promotion sampling, etc. refer consumer to website for more information, beauty tips, etc.

• Objective 4: Obtain trial among %20 of target audience. Use sampling and money-off coupons along with advertising and promotion. Offer coupons through websites.

• Objective 5: Develop and maintain regular use of X Shampoo among %5 of the target audience. Use continued-reinforcement advertising, fewer coupons and promotions. ıncrease communications efforts to professionals.

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• Specific

• Measurable

• Attainable

• Realistic

• Timely

Be SMART!Be SMART!....

Characteristics of Objectives

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SMART

1. Be SPECIFIC!

"specific" illustrates a situation that is easily identified and understood.

Example: "I need this report in several copies","I need this report in 5 copies“"Get in shape." "Join a health club and workout 3 days a week."

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SMART

2. Be MEASURABLE!

we mean there is a stringent need to have the possibility to measure, to track the action(s) associated with the given objective.

Example: "our business must grow" "our business must grow in sales volume with 20%"

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SMART3. Be ATTAINABLE! (achievable)

Always set objectives that have a fair chance to be met: of course, they don't need to be "easily" attained, you're entitled to set difficult ones as long as they're realistic and not futile.

Example: "becoming no. 1 movers within the country". "reaching the Top 5 fastest growing movers company in the country".

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SMART

4. Be REALISTIC!

• Realistic - To be realistic, a goal must represent an objective toward which you are both willing and able to work.

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• Specific (concrete, detailed, well defined),

• Measurable (numbers, quantity, comparison),

• Attainable Achievable (feasible, actionable),

• Realistic (considering resources)

• Timely (a defined time line).

Be SMART!Be SMART!....

Characteristics of Objectives

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SMART

5. Be TIMELY!

Any usable and performable objective must have a clear timeframe of when it should start and/or when it should end.

Example:"we need to raise profit by 500000 units", "we need to raise profit by 500000 units within 6 months from now"

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Balancing Objectives and Budgets

Dollars Goals

What we’re willing and able to_____

What we need to achieve our_______