Download Marketing Management

Marketing Management
13th of June 2011
Communicating Customer
Value
Integrated Marketing
Communications Strategy
Background
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Part of greater Marketing Tools – Promotions
Used to clearly and persuasively communicate value
Trends show growth in digital media spend and reach
Digital communication is not done in isolation – it’s part
of the wider marketing campaign
• Marketers should blend new media strategies with old
traditional media strategies
• The point is to garner customer involvement and to
advance the brand experience
• Effective online media and digital campaigns are picked
up by traditional media
The Promotion Mix
• Also known as the Marketing Communication
Mix consists of a blend of:
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Advertising
PR
Personal Selling
Sales Promos
Direct Marketing Tools
• The above are to persuasively communicate
customer value and build customer relationships
• The holistic Marketing Mix has to be well
coordinated for a a better communication impact
Integrated Marketing
Communication
• Previously mass media campaigns were the
preferred means of communications
• Mass media advertising in magazines,
billboards, radio and television – past
• Changes in consumers has compelled
marketing communication to transform and led
to:
– The New Marketing Communications Landscape
– The Shifting Marketing Communications Model
– The Need for Integrated Marketing Communications
New Marketing Communications
Landscape
• Major Factors affecting change in marketing
communications:
– Consumers are changing and more informed and empowered –
effects of internet and options available to consumers
– Marketing Strategies are changing and the focus is becoming
more on focused marketing programs
– Vast improvements in communications technology – the digital
age
• New technologies give marketers new ideas and media
to interact with targeted consumers
• Consumers are now more in control over the nature and
timing of messages to send and receive
Shifting Marketing Communications
Model
• The new digital media has given birth to new marketing
communications model
• Communication has become less broadcasting and more
focussed and narrow
– More specialised and targeted media selections
– Smaller customer segments and personalised messages
• The model is about providing consumer clusters what
they want and not force feeding them
• Mass media audiences are shrinking, costs continue to
rise and advertising clutter increases
• Could we be seeing the demise of traditional mass
media?
• Are the TV, radio and magazine adverts still necessary?
Shifting Marketing Communications
Model
• Advertisers are making the shift from mass media to
targeted, cost-effective, engaging and interactive media
• Audiences are dispersing in many directions and using
different mediums
• Traditional media still works, it just has far more
competition and reduced pull
• New Marketing Communications Model will consist of
both traditional mass media and variety of targeted and
personalised media
• Effective use of media now demands a cocktail of media
tools
• Marketers must embrace all communication means and
see them as plain media
Shifting Marketing Communications
Model
Shifting Marketing Communications
Model
Shifting Marketing Communications
Model
Need for Integrated Marketing
Communications
• Consumers receive messages from broad range of
sources
• Messages from differing media should all become part of
a single company message
• Often companies fail to integrate various communication
channels effectively
• Different company departments and different service
providers
• Results in distorted communication to consumers
• Mixed communications from various sources results in
blurred consumer brand perceptions
Need for Integrated Marketing
Communications
• Companies need to coordinate all customer touch points
to ensure a clear and consistent brand message
• Integrated Marketing Communications: integrating
and coordinating the company’s numerous
communication channels to deliver a clear, consistent
and compelling message about the organisation and its
products
• All touch points are considered and will deliver a positive
message to build strong relationships
• IMC consistently incorporates all the company’s
communication, messages and images
• Greater communication consistency leads to greater
sales impact
Need for Integrated Marketing
Communications
The Communication Process
• Communications is now being viewed as managing
customer relationships over time
• We’re no longer interested in immediate, short-sighted
goals
• Not only “How can we reach customers?”, but also “How
can we enable customers to reach us?”
• Customers differ and therefore programs have to be
developed for specific segments, niches and varying
individuals
• We need to understand and audit all our touch points
and understand their influence and effectiveness
• Marketers need to understand the communication
experiences at different stages of the buying process
The Communication Process
• We need to understand the basis of
communication to communicate effectively
• Communication involves nine elements:
– Major Parties:
• Sender and Receiver
– Communication Tools:
• Message and the Media
– Communication Functions:
• Encoding, Decoding, Response and Feedback
– Noise:
• Noise during the process
The Communication Process
The Communication Process
• Key Factors of Good Communication
– Senders need to know their targeted audience
– Senders need to know responses they seek
– Senders need good ability of encoding messages which
considers how the target market decodes them
– Senders need to send messages through media which reaches
target audiences
– Feedback channels to assess audience response to the
message
• The best messages consist of words and symbols which
are familiar to the receiver
• The more the sender’s experience overlaps with that of
the receiver the more effective the message
See you next time.
Cheers Guys!