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INTEGRATED
MARKETING
COMMUNICATIONS
AND DIRECT
MARKETING
© 2002 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin
THE COMMUNICATION PROCESS
© 2002 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin
THE COMMUNICATION PROCESS
 Communications
 Source
 Message
 Channel of Communication
 Receivers
© 2002 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin
THE COMMUNICATION PROCESS
• Encoding and Decoding
 Field of experience
• Feedback
 Response
• Noise
© 2002 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin
THE PROMOTIONAL MIX
© 2002 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin
THE PROMOTIONAL ELEMENTS
• Advertising
• Personal Selling
• Public Relations
 Publicity
• Sales Promotion
• Direct Marketing
© 2002 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin
INTEGRATED MARKETING
COMMUNICATIONS—DEVELOPING
THE PROMOTIONAL MIX
• The Target Audience
• The Product Life Cycle
•
•
•
•
Introduction Stage
Growth Stage
Maturity Stage
Decline Stage
© 2002 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin
Promotional tools used over the product life
cycle of Purina Dog Chow
© 2002 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin
INTEGRATED MARKETING
COMMUNICATIONS—DEVELOPING
THE PROMOTIONAL MIX
• Product Characteristics
• Stages of the Buying Decision
• Prepurchase Stage
• Purchase Stage
• Postpurchase Stage
© 2002 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin
The importance of promotional elements varies during the
consumer’s purchase decision
© 2002 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin
INTEGRATED MARKETING
COMMUNICATIONS—DEVELOPING
THE PROMOTIONAL MIX
• Channel Strategies
• Push Strategy
• Pull Strategy
© 2002 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin
A comparison of push and pull promotional
strategies
© 2002 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin
INTEGRATED MARKETING
COMMUNICATIONS—DEVELOPING
THE PROMOTIONAL MIX
• Integrated Marketing Communications
© 2002 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin
DEVELOPING THE
PROMOTION PROGRAM
 Who is the target audience?
 What are (1) the promotion objectives,
(2) the amounts of money that can be
budgeted for the promotion program,
and (3) the kinds of promotion to use?
 Where should the promotion be run?
 When should the promotion be run?
© 2002 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin
DEVELOPING THE
PROMOTION PROGRAM
© 2002 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin
DEVELOPING THE
PROMOTION PROGRAM
• Identifying the Target Audience
• Specifying Promotion Objectives
 Hierarchy of effects
• Setting the Promotion Budget
© 2002 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin
U.S. promotion expenditures by companies in 2000
© 2002 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin
DEVELOPING THE
PROMOTION PROGRAM
• Setting the Promotion Budget
•
•
•
•
Percentage of Sales
Competitive Parity
All You Can Afford
Objective and Task
© 2002 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin
The objective and task approach
© 2002 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin
DEVELOPING THE
PROMOTION PROGRAM
• Selecting the Right Promotional Tools
• Designing the Promotion
• Scheduling the Promotion
© 2002 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin
EXECUTING AND EVALUATING
THE PROMOTION PROGRAM
Ideally, pretest and posttest
© 2002 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin
DIRECT MARKETING
• The Growth of Direct Marketing
© 2002 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin
Direct marketing expenditures, sales and
employment by medium
© 2002 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin
DIRECT MARKETING
• The Value of Direct Marketing
 Direct orders
 Lead generation
 Traffic generation
• Technological, Global, and Ethical
Issues in Direct Marketing
© 2002 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin
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