Download Communication

The communication process
Fields of
experience
Why
encode?
Source
Encode
Noise
Channel of
Message
Receiver
Communication
company
Idea->
symbols
Frame of
Sales person, media, reference:
public relations
Attitudes,
Noise
Feedback loop
Noise
1
values,
beliefs
Consumer Decision Process (Five-Seven Steps)
Problem - Recognition
Information Search
PRE-PURCHASE
Evaluation of Alternatives
Purchase Decision
PURCHASE
Satisfaction
POST-PURCHASE
Loyalty
Disposal
2
Four Steps in the Book
Awareness
Exploration
Commitment
Dissolution
3
Evolution of Customer Buying Process
Buying Process
Awareness

Traditional
Market
Communication




Early Web
Market
Communication
Informative Ads
tv, radio, mags,
outdoor. PR
Sales promos:
Free trial,
deals, rebates
Word-of-mouth



buttons
banners
sponsorships
Consideration


Comparative
ads
Personal
Selling


Banners
Links
Preference





Source: Forrester Research, Monitor Analysis
4
Comparative
ads
Personal
Selling
microsites
brochureware
web site
Purchase





point-of
purchase
promotions
direct
marketing
daily specials
sweepstakes
first-time order
incentives
Loyalty



Reminder
Ads
product
experience
buyers’ clubs


e-mail alerts
newsletters
Microsites
Microsites are communications tools that enable targeted information
exchanges. Microsite work is a typical need for a corporation that already has a
large-scale, fully-functional presence on the internet, but wishes to fulfill specific
marketing campaign or business goals involving customer and prospect
cultivation.
Strategically focused, high impact and brand intense, microsites provide a
vehicle for micro-targeted communication to a key audience. Microsites are
agenda-based web solutions that serve a strategic purpose.
Product and service announcements
software demos
event marketing (trade shows, seminars)
prospect qualification & sales
public relations
customer cultivation
branding enhancement
5
Four categories of Marketing Communications Strategies
Individualized
Customized
Personalized
Traditional Mass
Marketing
General
Approaches
Off-line
On-line
Audience
Focus
Broad
Communication
Media
6
The Four Categories of Communications
Customized
Personalized
Permission Marketing—freebies
 Personalized Recommendations
(rule-based, collaborative filtering)
 Personalized Advertisements
 Personalized Web Pages
 Personalized E-commerce (e-stores)
Personal selling
 Direct Marketing









General Approaches
Traditional Mass Marketing
Public relations
Sales promotion
Television
Radio
Magazines
Newspapers
Billboards











7
Web sites
Banner Ads
Search engines and shopbots
Interstitials
E-Mail (junk)
Viral Marketing (Hotmail, NYTimes)
Portal Sponsorship/Exclusive Agreements
Associate/Affiliate Programs (directing to)
On-line and Off-line Partnership: Full range
Provide Information to Entice Customers
Leverage Customer Base – reputation and trust
Mass communication
Banner ads
CPM – Cost per thousand impressions – Rates vary by popularity and reach
If millions view site – weekly flat fee
Click-through rate -- # times viewers go to advertiser’s website.
Slotting fees – for premium position, exclusivity in category, etc.
Ad clicks, impressions, click-through, CPC (cost per click), CPM, Unique users
(cookies), visits (30 minute time out).
Interstitials– runs between pages on a website
On main page
In new smaller pages (pop-ups, pop-unders)
Rich media
Interruptive and hated but better brand recall and click-though rates
8
Communication Objective
1. Build brand awareness, recall, knowledge, preference, liking
2. Lead to purchase – promotions, coupons, sweepstakes
For each marketing message, have a corresponding objective
http://www.pepsi.com/pepsipromoscur/index.php
http://www.sunnydelight.com/
http://www.snapple.com/home.asp
www.cnn.com advertiser links
9
The Media Plan
1. Communication Criteria: Objectives, Budget, Segments
2. Media Criteria: Appropriate for objectives, segments, and budget
Possible objectives:
 Brand awareness, consideration, preference, purchase, loyalty
 Increasing knowledge about a particular offering (Could fit in the first three
stages)
 Making the brand more hip
 Reaching a new target
3. Media mix. Combine media to achieve consistency and efficiency
4. Allocate spending across media and over time
5. Evaluation and control (are objectives being met)
1
Ebay Case, p. 381
Awareness – Offline levers (ambassadors; alliances); Online Levers (Furby)
Exploration– Offline Levers (ads on West Wing); Online Levers (keywrds on
Google)
Commitment– eBay stores
Dissolution– kicking out bad users
1
www.monster.com
1
Monster.com
1
Monster.com discussion
1. What was the rationale for spending 15% of 1999 advertising budget on a
single super-bowl 30 second spot?
2. The Monster.com-AOL allicance.
America Online (AOL) and TMP Worldwide reached a content and marketing
agreement on Dec. 1, 1999 that called for Monster.com to be the exclusive
provider of career search services over seven AOL brands, including Digital City
(which has a contract with HotJobs.com).
Monster.com will create co-branded sites allowing AOL members and visitors to
search for jobs, apply online, research companies and choose personalized
geographic areas to help with their job searches.
As part of that deal, TMP agreed to pay $100 million over the length of the fouryear contract.
1
Monster.com discussion
3. How else is Monster.com building its brand?
4. How and why is Monster.com building communities?
5. How might Monster.com strengthen its franchise given Jeff Taylor’s options:
building its brand
launching vertical extensions
increasing geographical expansion
1