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An Introduction to
Integrated Marketing
Communications (IMC)
© 2007 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin
Chapter plan
1. What is IMC?
2. Reasons for the growing importance of IMC
3. IMC and branding
4. The promotional mix: The tools of IMC
4. IMC planning process
© 2007 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin
1. What is IMC?
Coordinating the various
promotional elements to
effectively communicate with
target audiences
© 2007 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin
Traditional Approach to Marketing
Communications
Point of
purchase
Special
events
Publicity
Media
Advertising
Public
relations
Direct
marketing
Sales
promotion
Packaging
Direct
response
Interactive
marketing
© 2007 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin
Contemporary IMC Approach
Packaging
Sales
promotion
Point of
purchase
Publicity
Interactive
marketing
Media
Advertising
Direct
marketing
Direct
response
Public
relations
Special
events
© 2007 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin
2. Reasons for the Growing
Importance of IMC
From
Toward
Media advertising
Multiple forms of communication
Mass media
Specialized media
Manufacturer dominance
Retailer dominance
General focus
Data-based marketing
Low agency accountability
Greater agency accountability
Traditional compensation
Performance-based compensation
Limited Internet availability
Widespread Internet availability
© 2007 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin
3. IMC and Branding
Brand Identity is a
combination of factors:
Name, logo, symbols,
design, packaging,
product or service
performance, and image
or associations in the
consumer’s mind.
IMC plays a major role
in the process of
developing and
sustaining brand
identity and equity.
2005 Brand Value
(Billions of Dollars)
1. Coca-Cola
2. Microsoft
3. IBM
4. GE
5. Intel
6. Nokia
7. Disney
8. McDonald’s
9. Marlboro
10. Mercedes
© 2007 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin
$67.52
$59.94
$53.38
$46.99
$35.59
$26.45
$26.44
$26.01
$24.84
$21.19
4. The promotional mix: The tools of IMC
4.1. Advertising
4.2. Direct Marketing
4.3. Internet Marketing
4.4. Sales Promotion
4.5. Public Relations
4.6. Personal Selling
© 2007 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin
4.1. Advertising
Paid
Non-personal
Cost effective
© 2007 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin
Classifications of Advertising
National Advertising
Retail/Local Advertising
Primary vs. Selective
Demand Advertising
Consumers
Business-to-Business Advertising
Professional Advertising
Trade Advertising
© 2007 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin
Organizations
4.2. Direct Marketing
Direct
Mail
Direct
Response
Advertising
Internet
Sales
Direct
Marketing
Shopping
Channels
Telemarketing
Catalogs
© 2007 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin
4.3. Internet marketing
The
Internet
Educates or
informs
customers
Obtains
customer
database
information
A persuasive
advertising
medium
Communicates
and interacts
with buyers
A sales tool
or an actual
sales vehicle
Provides
customer
service and
support
© 2007 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin
Builds and
maintains
customer
relationships
4.4. Sales Promotion Tools
Coupons
Trade
Allowances
Samples
Premiums
Contests/Sweepstakes
POP Displays
Training
Programs
Trade
Shows
Coop
Advertising
Refunds/Rebates
Bonus Packs
Loyalty Programs
Events
• Consumeroriented
• [For end-users]
• Tradeoriented
• [For resellers]
© 2007 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin
4.5. Public Relations Tools
Publicity
Vehicles
Community
Activities
Special
Publications
Corporate
Advertising
Public Affairs
Activities
Cause-related
Marketing
Special Event
Sponsorship
© 2007 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin
Publicity Vehicles
Feature
Articles
News
Releases
Interviews
Publicity
Vehicles
Press
Conferences
Special
Events
© 2007 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin
Advertising Versus Publicity
Factor
Advertising
Publicity
Control
Great
Little
Credibility
Lower
Higher
Reach
Measurable
Undetermined
Frequency
Schedulable
Uncontrollable
Cost
High/Specific
Low/Unspecified
Flexibility
High
Low
Timing
Specifiable
Tentative
© 2007 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin
4.6. Personal selling
Face-to-face communication
Mostly used for business customers
© 2007 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin
5. IMC Planning Model
Review of marketing plan
Promotional program situation analysis
Analysis of the communications process
Budget determination
Develop integrated marketing communications programs
Advertising
Sales
promotion
PR/
publicity
Personal
selling
Direct
marketing
Internet/
interactive
Advertising
objectives
Sales
promotion
objectives
PR/
publicity
objectives
Personal
selling
objectives
Direct
marketing
objectives
Internet/
interactive
objectives
Message
strategy
Sales
promotion
strategy
PR/
publicity
strategy
Personal
selling
strategy
Direct
marketing
strategy
Internet/
interactive
strategy
Integrate and implement marketing communications strategies
Monitor, evaluate and control IMC Program
© 2007 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin
5. IMC Planning Model
Read the details on page 29
© 2007 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin