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PES INSTITUTE OF TECHNOLOGY – BANGALORE SOUTH CAMPUS
Hosur Road (1Km before Electronic City), Bangalore -560100
INTERNAL TEST # 1
Integrated Marketing Communication – 10MBAMM417
Course: MBA Semester IV
Faculty: Ravi urs
Date: 11/02/2014
Time Allowed: 90 Minutes
Max. Marks: 50 (Fifty Marks)
Time: 8.30 AM – 10.00 AM
Note: Answer all the Questions.
1 (a) Define: Media planning, reach and coverage
Media Planning is a series of decisions involved in delivering the promotional message to the prospective
purchasers and users of product or brand. It is a process. The decisions taken may be altered or abandoned
as the plan develops.
(3 marks)
Reach is a measure of the number of different audience members exposed at least once to a media vehicle
in a given period of time. It is the actual audience to whom the message is delivered.
Coverage is the potential audience that might receive the message through a media vehicle. It relates to
potential audience.
(b) Explain the scheduling methods available to the media planner.
Scheduling is intended to time promotional efforts so that they will coincide with the highest potential buying
times
Three types of scheduling methods can be used:
Continuity
Flighting
Pulsing
Continuity
 It is a continuous pattern of advertising like every day, every week or every month
 A regular pattern is developed without gaps or non-advertising periods
 This scheduling is useful for food products, laundry detergents, or items consumed on an ongoing
basis without regard to seasonality
Advantages
 Serves as a constant reminder to the consumer
 Covers the entire buying cycle
 Allows for media priorities (quantity discounts, preferred locations, etc)
Disadvantages
 Higher costs
 Potential for over exposure
 Limited media allocation possible
Flighting
Here the scheduling is intermittent period of advertising and non-advertising
Advantages
(7 marks)


Cost efficiency of advertising only during purchase cycles
May allow for inclusion of more than one medium or vehicle with limited budgets
Disadvantages
 Increased likelihood of ware out
 Lack of awareness, interest, retention of promotional message during nonscheduled times
 Vulnerability to competitive efforts during nonscheduled periods
Pulsing
It is a combination of first two methods. Here the continuity is maintained with certain periods of stepped up
efforts. This strategy depends on objectives, buying cycles and budget
Advantages
 Serves as a constant reminder to the consumer
 Covers the entire buying cycle
 Allows for media priorities (quantity discounts, preferred locations, etc)
 Cost efficiency of advertising only during purchase cycles
 May allow for inclusion of more than one medium or vehicle with limited budgets
Disadvantages
 Not required for seasonal or cyclical products
 Recent research have proved that continuity is more effective than flighting
 It would be better for advertisers to continue weekly schedules as long as possible
(c) What is DAGMAR model? Explain the communication process in DARMAR approach.
DARMAR is defined as "Defining Advertising Goals for Measured Advertising Results." It is a model for
setting advertising objectives and measuring the results of an ad campaign.
(10 marks)
According to this approach:
 Advertising goal involves a communication task that is specific and measurable
 A communication task, unlike marketing task, can be performed by and attributed to advertising
rather than to a combination of several marketing factors
 Colley proposed that the communication task be based on the hierarchical model of communication
process, which has the following four stages:
1. Awareness
 Making the consumer aware of the existence of a brand or a company
2. Comprehension
 Developing an understanding of what the product is and what it will do for the consumer
3. Conviction
 Developing a mental disposition in the consumer to buy the product
4. Action
 Getting the consumer to purchase the product
2 (a) What are creative boutiques?
Creative Boutique provides only creative services. Their clients typically outsource only the creative part
while maintaining the other services in-house. The clients do not have the requisite skills for being creative.
They are usually formed by people from the creative department of full service agencies who leave and form
their own companies, sometimes even taking away the clients. It is mostly fee based.
(b) Explain the marketing communication process.
 Participants: Sender and receiver
(3 marks)
(7 marks)
 Communication tools: Message and channel
 Communication functions and processes: Encoding, decoding, response and feedback
 Extraneous factor: Noise
Source encoding
 Source or sender is a person or organization that has some information to share with another
person or group of people
 The source may be an individual or a non-personal entity
 E.g. Shan Rukh for Hyundai, Income Tax department asking for tax payment
 Source is important because the receiver's perception of source influence how the communication
is received.
 The receiver must believe that the source is knowledgeable and trustworthy, or with whom the
receiver can identify or relate in some manner
 E.g. Use od doctors in Colgate ads
 Encoding is the process of putting thoughts, ideas or information into a symbolic form like words,
symbols, pictures, etc.
 It is the goal of the sender to encode the message in such a way that it will be understood by the
receiver
 Words, signs and symbols familiar with the audience must be used. Some symbols are universal
 E.g. no parking, no smoking, some brand like McDonald’s, Coke, Nike
 In semiotic perspective there are three basic components:
1. An object: Product that is focus of message (E.g. Santro car)
2. A sign or symbol: A sensory image that represents the intended message of the object (E.
g. Shah Rukh Khan)
3. An interpreter: is the meaning derived (E.g. Sophisticated, stylish, successful)
 Marketer may use individuals trained in semiotics and related field such as cultural anthropology to
better understand the conscious and subconscious meanings the non verbal signs and symbols in
their ads transmit to customers.
1. E.g. Levi Stauss & Co’s ad agency hired a cultural anthropologist to help it better
understand the image and meaning of clothing and fashion among young consumers.
 Semiotics may help in analyzing how ads, messages, packaging, brand names, and even nonverbal communications of sales people (gestures, mode od dress) are interpreted by receivers
There have been people skeptical about semiotics. They see it as being overly intellectual in interpreting
ads.
Channel
 It is the method through which the communication travels from the source to the receiver
 There are two levels:
1. Personal: Direct interpersonal (face-to-face) contact with target individuals or groups. Use word-of-
mouth communication.
 They often represent word-of-mouth communication, a powerful source of information for
consumers
 E.g. salesperson, social channels like friends, associates, family members
2. Non-personal: No interpersonal contact between sender and receiver. Generally referred to as
mass media. There are two types
1. Print E.g. newspapers, magazines, direct mailers, billboards
Broadcast E.g. radio, television
Receiver/Decoding
 Receiver is the person with whom the sender share thoughts or information.
 Generally they are consumers who read, hear, and/or see the marketer’s message and decode it
 Decoding is the process of transforming the sender's message back into thoughts
 The process is heavily influenced by receiver's frame of reference or field of experience (includes
experiences, perceptions, attitudes, values)
 For effective communication the decoding process of receiver must match the encoding process of
sender
 The more knowledge the sender about the receiver, better is the understanding about their needs
and better empathize with them.
 Difficulties in having something common with receivers:
 Age
 Life style
Noise
 It is the distortion of message or interference with its reception caused by extraneous factors.
 It may occur when there is no overlap in he fields of experience of sender and receiver
 E.g. In encoding of message, distortion in radio or television signal, distractions at the point
of reception
Response/ Feedback
 Response is the reactions of receiver after seeing, hearing, or reading the message
 It can be non-observable action (memorizing information) or observable immediate action (e.g.
calling toll free no.)
 Feedback is the part of the receiver's response that is sent back to the sender
 Feedback closes the communication loop
 It helps sender to understand the way the message was decoded and interpreted by the receiver
and make adjustments
 Direct selling gives an opportunity for instant feedback which is not available in mass media
 Sales is one method of feedback. The others include coupen redemption, feedback cards, store
visits, research to access the impact of ad on consumers like ad recall, attitude change and
message comprehension
(c) Explain in detail integrated marketing communication planning model.
(10 marks)
Review of the Marketing Plan
 The first step is to understand where the company (or the brand) has been, its current position in
the market, where it intends to go, and how it plans to get there
 Marketing Plan is a written document that describes the overall marketing strategy and programs
developed for an organization, or a brand.
 It includes five basic elements:
1. A detailed situational analysis that consists of an internal marketing audit and review and an
external analysis of the market competition and environmental factors
2. Specific marketing objectives that provides direction, a time frame for marketing activities, and a
mechanism for measuring performance
3. A marketing strategy and program that includes selection of target markets and decisions and plans
for the four elements of the marketing mix
4. A program for implementing the marketing strategy, including determining specific tasks to be
performed and responsibilities
5. A process for monitoring and evaluating performance and providing feedback so that proper control
can be maintained and any necessary changes can be made in the overall marketing strategy or
tactics
Analysis of Promotional Program Situation
 It includes Internal and External analysis
Internal Analysis
 It assesses relevant areas involving the product/service offering and the firm itself.
 It includes
 Capabilities of the firm
 Ability to develop and implement a successful promotional program
 Organization of the promotional department
 Successes and failures of past programs
 Relevant advantages and disadvantages of performing the promotional functions in-house
vs hiring external agency
 Examine the functions ad agencies perform for their clients, the agency selection process,
compensation, and performance evaluation process
 Examine role and functions of sales promotion firms, direct-marketing companies, public
relation agencies and marketing and media research firms
 Assessing the strengths and weaknesses of the firm or the brand from an image
perspective
 The top companies in US with good image are Johnson & Johnson,
Coca-Cola, HP, Intel, Wal-Mart, etc.
 Assessing the relative strengths and weaknesses of the product or service; its advantage
and disadvantages; and USP it may have; its packaging, price, and design
External Analysis
 It focuses on factors such as characteristics of the firm's customers, market segments, positioning
strategies and competitors
 It includes
 Detailed consideration of customers' characteristics and buying patterns, their decision
process and factors influencing their purchase decision
 Analyzing consumer's perceptions and attitudes, lifestyles, and criteria for making
purchase decisions
 Assessment of the market
 Evaluate the attractiveness of various segments of the market and identify the target
segment
 Determine the positioning of the product in the consumer's mind
 In-depth examination of both direct and in-direct competitors in terms of promotional
aspect
 Primary competitors strengths and weaknesses, segmentation, targeting and positioning
strategies, and promotional strategies
 Size and allocation of their promotional budgets, media strategy, messages to the
marketplace
 Analysis of marketing environment and current trends
Analysis of communication process
 It examines how the company can effectively communicate with consumers in its target markets
 The process consumers will go through in responding to marketing communications must be
understood
 The decisions regarding the use of various source, message, and channel factors must be
considered
 Communication goals and objectives are established
 Creating awareness or knowledge about a product and its attributes and benefits
 Creating an image
 Developing favorable attitudes, preferences, or purchase intentions
Budget Determination
 What will be the promotional program cost?
 It is decided by what needs to be done to achieve the communications objective
 How will the money be allocated?
Developing the integrated Marketing Communications Program
 It is the most involved and detailed step
 Determine the role and importance of each promotional-mix element and their coordination with one
another
 Each promotional-mix element is given its own set of objectives and a budget and strategy for
meeting them
 Activities have to be performed to implement the promotional programs
 Procedures must be developed for evaluating performance and making necessary changes
Monitoring, Evaluation and Control
 It helps in determining how well the promotional program is meeting communication objectives and
helping the firm in achieving the overall marketing objective
 It helps in understanding as to why a particular promotional program was a success or a failure
 It provides continual feedback concerning the effectiveness of the promotional program
3
Case Study - (Compulsory)
In the year 2003, the Marketing Manager of Soho Ltd was worried about the performance of their leading
product “Gems brand of Jams.” The management was having some hesitation regarding “Whether to change
the advertising. What should be emphasized?” The market for this brand was declining, even though the
overall market for jam was on the increase.
Data was gathered and analysed using consumer panels. It was found that major portion of Gem’s volume
loss was due to consumer shifting to more exotic tastes like mango, Two-in-one, etc. Also the market was
consumed by competitors who were supplying substitute for jam like butter, margarine, etc.
Now the Marketing Manager felt that Gems had failed to communicate the benefit such as nutrition value.
This according to him was the key attribute. Therefore, the marketing manager was now certain that an ad
conveying the key feature namely nutrition has to be released.
The company conducted focus group interviews with consumers. Participants were asked to evaluate and
suggest alternatives, which highlighted the comparison between Gems and other jams. The group after
deliberation presented the following alternatives as the ad copy.
1. Gems is one and only jam which contains vitamins that forms an essential part of the diet
2. Unlike other substitutes, only Gem is nutritious
3. When Gems is spread on the bread toast, the breakfast tastes different
4. The jam is made by a company which cares for the nutrition value
5. Those who use Gems are connoisseurs of breakfast
6. Your kids may dislike fruit. Stay calm and free yourself from anxiety by giving them Gems
7. There is no discomfort at the breakfast table when you serve Gems Jam
8. So-ho is a trusted, household name, the makers of Gems Jam
Questions:
1. Which ad message do you think is very close to the objective to be achieved by the company?
Why?
“Unlike other substitutes, only Gem is nutritious” will be the right message. The following are the
reasons for the same:
a. It has the work “nutrition” which is central to the idea
b. It compares Gems with the substitute products and thus shows the relative
advantage of Gems
c. It is simple and easy to comprehend
It helps to create a clear identity for Gems
(3 marks)
2. Comment of the positioning strategy of the brand.
‘Gems’ is positioned as a jam that can provide nutrition. It is a good strategy as the other new
entrants to the market are substitute products without this ingredient. It helps in better recall by the
consumers. It helps in targeting the segment which is health conscious.
3. Create a print ad to convey the intended message.
The ad will be evaluated on the following parameters:
a. It should have an attractive headline
b. It should convey the message of Gems being a nutritious jam
c. Humour, if included, would be credited
d. Graphics should convey more than words
There should be any ambiguity in the message being created
(2 marks)
(5 marks)