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INTEGRATED MARKETING
COMMUNICATIONS - 2
LO1
TYPES OF ADVERTISEMENTS
An objective for every target market
Informative Advertising
Persuasive Advertising
Build Primary Demand
Build Selective Demand
New products
Major product changes
“Coldwater Tide”
“Buy brand X”
Stress some brand X benefits
Comparison Advertising
Compares Brand A to B
Features & benefits
Negative advertising:
[Ford / VW]
Reminder Advertising
Keeps Consumers Thinking
About a Product
Repurchase
“Have you had your Wheaties
today?”
LO2
DEVELOPING THE AD PROGRAM
Advertising Categories
National (global) brand advertising
Retail (local) advertising
Directory advertising
Business-to-business advertising
Institutional advertising
Direct response advertising
Public service advertising
Internet advertising
LO2
DEVELOPING THE
ADVERTISING PROGRAM
SELECTING THE RIGHT MEDIA
1. Decide on Reach, Frequency, and Impact
Step 2. Choosing Among Major Media Types
Media Habits of Target Consumers / Segments
Nature of the Product - Type of Message
Cost
Step 3. Selecting Specific Media Vehicles
Specific Media Within a Given Type, i.e. TV’s ER.
Must Balance Media Cost Against Media Factors:
Audience Quality & Attention, Editorial Quality
Step 4. Deciding on Media Timing
Scheduling of Advertising Over the Course of a Year
Pattern of Ads: Continuity or Pulsing
Media Schedule
TYPES OF MEDIA
Newspapers (>18,000, >96,000,000 homes)
Advantages: Flexibility, timeliness; good local market coverage;
broad acceptance, high believability
Limitations: Short life; less than magazine print quality; small
pass-along audience; declining circulation
Television
Advantages: Combines sight, sound, motion; high attention;
high reach; appealing to senses; low cable costs
Limitations: High network costs; high clutter; fleeting exposure;
less audience selectivity
Direct Mail
Advantages: Audience segmentation; flexibility, no ad competition within same medium; allows personalization
Limitations: Relative high postage cost; “junk mail” image
TYPES OF MEDIA
Radio
Advantages: Mass use; high geographic and demographic
selectivity; low cost
Limitations: Audio only; fleeting exposure; lower attention;
nonstandardized rates; fragmented audiences
Magazines
Advantages: High geographic and demographic selectivity;
credibility and prestige; high-quality reproduction;
long life; good pass-along readership
Limitations: Longer ad purchase lead time; waste circulation;
no guarantee of position
Outdoor
Advantages: Flexibility; high repeat exposure; low cost;
low message competition; very brief exposure;
limited attention of the audience
Limitations: Little audience selectivity; creative limitations
LO3
EXECUTING THE
ADVERTISING PROGRAM
IMPLEMENTING THE ADVERTISING PROGRAM
Account Management
Creative Services
Develops Campaign’s
Strategy for Client
Dreams Up and Produces
the Ads / Materials
Media Planning
Research & Marketing
Services
Determines Effective
Communication Vehicles /
Media Schedule
Collect and Analyze Information to
Help Develop a Strategy
ADVERTISING CHALLENGES
TODAY
Technology Empowers the Consumer:
Internet
Greater Emphasis on Point-of-Purchase [POP]
The Rules Are Changing:
Cable, Internet, Gen Y and Millennial generations
The Advertising Environment is Cluttered:
Much more noise
Some Consumers Are Turned Off by Advertising:
Gen Y: social networking – friends, family, online, … ads
ADVERTISING’S 5 M MODEL
Message
Money
Message generation
Factors to
consider:
Message evaluation
and selection
Mission
Stage in PLC
Sales
goals
Market share
and consumer base
Advertising
objectives
Competition
and clutter
Advertising
frequency
Product
substitutability
Message execution
Social-responsibility
review
Measurement
Communication
impact
Media
Reach, frequency,
impact
Major media types
Specific media
vehicles
Media timing
Geographical
media allocation
Sales
impact
DEVELOPING EFFECTIVE
COMMUNICATIONS
Target market segment profile and
identify your target audience – be very
specific!
Set communication objectives
Awareness
Knowledge
Liking
Preference
Conviction
Purchase
RC COLA –Firm sold 10 times between 1929 and 1997.
RC Cola ads, what do you see first?
LO3
ASSESSING THE
ADVERTISING PROGRAM
POSTTESTING THE ADVERTISING
Posttests – How well did the ad
perform?
Aided Recall
Noted – Seen - Read
Unaided Recall
Attitude - Inquiry - Sales tests
RC COLA –Firm sold 10 times between 1929 and 1997.
RC Cola ads, what do you see first?
19-11
LO4
SALES PROMOTION
CONSUMER-ORIENTED SALES PROMOTION
Consumer-Promotion
Objectives
Increase Short-Term Sales
Build Long-Term Market
Share
Get Retailers to Carry New
Items
Sales Force Support for
Current or New Products
Consumer Relationship
Building
19-12
B2C CONSUMER PROMOTION
Consumer-Promotion
Objectives
Consumer-Promotion
Tools
Increase Short-Term Sales
Samples
Build Long-Term Market
Share
Get Retailers to Carry New
Items
Sales Force Support for
Current or New Products
Consumer Relationship
Building
Coupons
Cash Refunds
Advertising
Specialties
Patronage
Awards
Contests
Price Packs
Premiums
Sweepstakes
Games
Point-of-Purchase
Displays
CONSUMER PROMOTION
Create Awareness
Slogans & Jingles
Make the consumer aware there is
a new product on the market.
Inform the Market
Internet / Advertising
Provide knowledge about the
benefits the product offers.
Create Desire
Status
Appeals
Create favorable feelings toward
the product and interest.
Encourage Trial
Encourage trial & use of
product among target users.
Build Loyalty
Convince customers to keep
purchasing product.
Coupons / Samples /
Promotions
Product Placement /
Repurchase Programs
LO4
SALES PROMOTION
CONSUMER-ORIENTED SALES PROMOTION
Loyalty Programs
Rebates
Product Placement
Introduce / Demonstrate new
products
19-15
LO4
SALES PROMOTION
B2B TRADE-ORIENTED SALES PROMOTION
Trade-Promotion
Objectives
Trade-Promotion
Tools
Persuade Resellers to Carry
a Brand
Price-Offs
Premiums
Obtain Brand Shelf Space
Allowances
Displays
Promote a Brand with
Advertising
Buy-Back
Guarantees
Discounts
“PUSH” a Brand
Free Goods
Contests
Cooperative
[Co-op] Advertising
Push Money
Specialty
Advertising
Items
TRADE PROMOTION
Industrial Customers
Trade-Promotion
Objectives
Generate Business Leads *
Stimulate Purchases
Reward Customers
Motivate Manufacturer or
Reseller Salespeople *
TRADE PROMOTION
Industrial Customers
Trade-Promotion
Objectives
Generate Business Leads
Stimulate Purchases
Trade-Promotion Tools
Advertising
Allowances *
Initial Stock
Buy-Back *
Displays
Sales
Contests *
Discounts or
Free Goods
Reward Customers
Motivate Manufacturer or
Reseller Salespeople
Conventions
And Trade
Shows *
Co-op Adv. *
Specialty
Advertising
Programs
Train Resellers
DEVELOPING A SALES PROMOTION
PROGRAM
Decide on the Scope of the Program and the Size of the
Incentive
Set Conditions for and Rules of Participation
Determine How to Roll-out [includes training at all levels]
and Distribute the Promotion Program
Determine the Length of the Program
Evaluate the Program
LO5
PUBLIC RELATIONS
PUBLICITY TOOLS
Public Relations
Publicity Tools
News release
Public service announcement
News conference
Invitational event
19-20
PUBLIC RELATIONS OBJECTIVES
Introducing New Products to
Manufacturers
Introducing New Products to
Consumers
Influencing Government
Legislation
Enhancing the Image of a City,
Region, or Country
Calling Attention to a Firm’s
Involvement with the Community
PUBLIC RELATIONS TOOLS
Strong PR Firm
Press releases / stories
(Firm and it products)
Public Affairs
(Community relations)
Lobbying
(Specialized firms & tasks)
Investor Relations
(almost always a corporate function)
Development & Miscellaneous
BUILDING AN IMC PLAN:
Coordinate and maximize the effectiveness of all the tools.
ADVERTISING
CONSUMER
PROMOTIONS
POINT
OF
PURCHASE
TRADE
PROMOTIONS
COLLATERAL
EVENTS
PUBLIC
RELATIONS
PACKAGING
& LABELING
DIRECT
MARKETING
SALES
AIDS
INTERNET
TRADE
SHOWS
PROMOTION MIX AND THE PLC
• ANY OR ALL ELEMENTS MAY CHANGE
• BY STAGE OF THE PLC
– ADVERTISING
– PUBLIC RELATIONS
– SALES
– SAMPLES
IMC CHALLENGES
•
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FLOW
TIMING
ACCURACY
COORDINATION
CONTROL
MEASUREMENT
E-COMMERCE OBJECTIVES
• Must address integrate with your existing
business[es] with a minimum amount of
conflict and disruption.
• Need to define measurable goals