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Integrated Communications (IM, IMC, IC) Peggy Simcic Brønn 1 Integrated Marketing Communication -integration of all marketing communications functions Integrated Marketing -- integration of marketing functions (sales, distribution, R&D, marketing communications) Integrated Communication -- integration of ALL communication functions Peggy Simcic Brønn 2 Key Words Stakeholders Relationships Reputation/Image Competitive Advantage Cause or Mission Marketing Peggy Simcic Brønn 3 Marketplace Trends Proliferation of brands and products 4 P’s no longer provide USP Too many messages Increasing distrust of business Deparmentalization/specialization Peggy Simcic Brønn 4 Marketplace Trends Decreasing message impact and credibility Decreasing cost of using databases Increasing client expertise Increasing mergers and acquisitions of MC agencies Increasing cost of mass media Increasing media fragmentation Peggy Simcic Brønn 5 IC Cross-functional approach for managing profitable, long-term relationships Bringing people and corporate learning together In order to maintain strategic consistency in all communications Encourage and facilitate purposeful dialogues with customers and other key stakeholders Create awareness and commitment to the corporate mission. Peggy Simcic Brønn 6 Relationship Building Key element of IC Not just with customers Mass communication unable to deliver Knowing Trusting Consistent Accessible Responsive Affinity Likeable Committed Constructs determining strength of relationships Peggy Simcic Brønn 7 Communication Relationships Stakeholder Support Brand Equity Peggy Simcic Brønn 8 Planned Messages (Mkt. Communications, Public Relations) Say Product, Service Messages Unplanned Messages (when come in contact with organization) (Positive/Negative) Confirm Do The Integration Triangle Does behavior confirm what organization is saying? Duncan, T. and Moriarity, S., Driving Brand Value Drivers of I C Focus on stakeholders Focus on relationships more than transactions Strategic consistency process Interactive process Mission Marketing process Peggy Simcic Brønn 10 Drivers of I C Zero-based planning process Cross-functional team infrastructure Core competency infrastructure Database infrastructure IC agency infrastructure Peggy Simcic Brønn 11 Traditional MC and I (M) C Traditional New Transactions Relationships Functional organization Cross-functional org. Specializations Core Competencies Mass marketing Data-driven marketing Stable of agencies CMO agency Customers Stakeholders Mass Media Purposeful interactivity Ads & Promotions Strategic consistency Cause Marketing Mission marketing Adjust prior plan Zero-based planning Peggy Simcic Brønn 12 IC Really about integrating all communications functions » Marketing » Organization » Management Peggy Simcic Brønn 13 Strategy Identity Image Common Starting Points Management Communication Organizational Communication van Riel, C., Principles of Corporate Communications Marketing Communication Evolutionary Integrated Duncan and Caywood, artikle samling, Communications (ORG 9980) p. 174, Stage 1 Integration: Awareness » Proposition: the greater the degree of change on the existence of specific market pressures, the grater the likelihood that integrated marketing communication will emerge Stage 2 Integration: Image Integration » Need for consistency message, look and feel. Peggy Simcic Brønn 15 Stage 3 Integration: Functional Integration » Greater degree of involvement among still traditionally separated areas. Stage 4 Integration: Coordinated Integration » Barriers starting to disappear, each function becoming more equal. Peggy Simcic Brønn 16 Stage 5 Integration: Consumer-Based Integration » The value of a refined customer and prospect database. Elements begin to work together. Stage 6 Integration: Stakeholder-Based Integration » IMC becomes more broadly defined to become integrated communications. Peggy Simcic Brønn 17 Stage 7 Integration: Relationship Management Integration » A fully integrated communication strategy reaching all stakeholders brings communications professionals into contact with all management functions. Peggy Simcic Brønn 18 CORPORATE COMMUNICATIONS Management Communication » senior managers to internal and external groups Marketing Communication » advertising, direct mail, personal selling, etc.. Organizational Communication » PR, public affairs, investor relations, corporate advertising, etc... Peggy Simcic Brønn 19 MANAGEMENT COMMUNICATION Develop a shared vision of the company/organization Establish and maintain trust in leadership Initiate and manage change process Empower and motivate employees Peggy Simcic Brønn 20 ORGANIZATIONAL COMMUNICATION All forms of communication used by organization other than marketing communications Most commonly Public Relations Directly primarily at ‘target groups’ (stakeholders) other than customers Less obvious in attempts to influence behavior Spend about 1/5 the amount spent on marketing communications Peggy Simcic Brønn 21 MARKETING COMMUNICATION Communication efforts supporting sales of goods/services Advertising usually recognized as dominant element Largest share of communications budget used here Peggy Simcic Brønn 22 Marketing Communications Tools Planned Communication Directed Toward Consumers Primarily Advertising Sales Promotion Product Public Relations Direct Mail Sponsorship Personal Selling Peggy Simcic Brønn 23 Public Relations Communication Often Unplanned Communication Due to Stakeholders Raising Issues, not Organization Media Relations Employee and Member Relations Community Relations Public Affairs and Government Relations Consumers, Environmentalists Investor Relations Peggy Simcic Brønn 24 INTEGRATING COMMUNICATION So that management can harmonize all consciously used forms of internal and external communication as effectively and efficiently as possible in order to create a favorable basis for relationships with groups upon which the company is dependent. Cees B. M. van Riel Peggy Simcic Brønn 25