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8/20/2013 INTEGRATED MARKETING COMMUNICATIONS Chapter 9 Eras of Marketing Production Era Market Orientation Sales Era Social Orientation Traditional Marketing Approach Point of purchase Interactive marketing Special events Media Advertising Public relations Direct marketing Sales promotion Packaging Publicity Direct response 1 8/20/2013 Contemporary IMC Approach Sales promotion Packaging Point of purchase Publicity Interactive marketing Media Advertising Direct marketing Direct response Public relations Special events Contemporary Perspective of IMC Recognized Recognized as a business as a business process process Integrated Marketing Communications Importance of relevant audience Multiple relevant audiences Demand for accountability and measurement Demand for accountability of outcomes Contemporary Perspective of IMC From To 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 2 8/20/2013 The Promotional Mix Advertising Direct Marketing Interactive/ Internet Marketing Sales Promotion Publicity/Public Relations Personal Selling Basic Forms of Advertising National Advertising Retail/Local Advertising Primary vs. Selective Demand Advertising Consumers Business-to-Business Advertising Professional Advertising Trade Advertising Organizations Direct Marketing A system of marketing by which organizations communicate directly with target customers to generate a response Purchases in excess of $2 trillion a year through direct response advertising 3 8/20/2013 The Growth of Direct Marketing Interactive/Internet Marketing Back-and-forth communication Users participate in and modify the form and content of information Happens in real time Interactive media Internet CD-ROMs Kiosks Interactive television Cell phones/Smart phones Sales Promotion Coupons Samples Premiums Contest/Sweepstakes Refunds/Rebates Bonus Packs Loyalty Programs Events Trade Allowances POP Displays Training Programs Trade Shows Coop Advertising Consumer-oriented Trade-oriented [For end-users] [For resellers] 4 8/20/2013 Public Relations Traditionally viewed as the function that manages public opinion PR now should be totally integrated with marketing to manage all of the organization’s audiences Comparing Advertising and Publicity Factor Control Credibility Advertising Publicity Great Little Lower Higher Reach Measurable Undetermined Frequency Schedulable Uncontrollable Cost High/Specific Low/Unspecified Flexibility Timing High Low Specifiable Tentative Personal Selling Person-to-person communication A seller attempts to assist and/or persuade prospective buyers to make a purchase or act on an idea 5 8/20/2013 Basic Elements of a Marketing Plan A detailed situation analysis Specific marketing objectives A marketing strategy and program A program for implementing the strategy A process for monitoring and evaluating performance Model of the IMC Planning Process Review of marketing plan Analysis of Promotional program situation Analysis of communications process Budget determination Develop integrated marketing communications program Advertising Sales promotion PR/ publicity Personal selling Direct marketing Internet/ interactive Develop objectives and strategy for each Develop message, media strategy, and tactics Integrate and implement marketing communications strategies Monitor, evaluate and control IMC Program 6