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MODULE-1
Integrated Marketing Communication
DEFINING IMC
- IMC is a strategic business process used to plan, develop, execute and evaluate coordinated, measurable, persuasive brand communication programs with consumers, customers, prospects, employees and other relevant external and internal audiences.
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The goal of IMC is to generate short-term financial returns and build long-term brand value.
- Consumers receive many marketing messages all day.
- Strategy begins with their wants or needs and then works backward to the product.
- Must segment market according to customer demographics and preferences.
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Contemporary IMC Approach
Behind the Growing Importance
| 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 |
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IMC Planning Model
Review of marketing plan
Promotional program situation analysis
Analysis of the communications process
Budget determination
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Develop integrated marketing communications programs
Advertising
Sales promotion
PR/publicity
Personal selling
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Direct marketing
Advertising objectives
Sales promotion objectives
PR/publicity objectives
Personal selling objectives
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Direct marketing objectives
Message strategy
Sales promotion strategy
PR/publicity strategy
Personal selling strategy
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Direct marketing strategy
Integrate and implement marketing communications strategies
Monitor, evaluate and control IMC Program
Marketing and Promotions Process Model
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Opportunity analysis
Identifying markets
Product decisions
Competitive analysis
Market segmentation
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Pricing decisions
Target marketing
Selecting a target market
Channel-of-distribution decisions
Promotional decisions
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- Advertising
- Direct marketing
- Interactive marketing
- Sales promotion
- Publicity and public relations
- Personal selling
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Promotion to final buyer
Internet/Interactive
Promotion to trade
Positioning through marketing strategies
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Resellers
Purchase
COMMUNICATION PROCESS
- Communications efforts should be viewed from the perspective of managing customer relationships over time.
- The communication process begins with an audit of all potential contacts a customer might have with the brand.
- Effective communication requires knowledge of how communication works.
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- Marketing Communication
- In integrated marketing communication, the company will carefully coordinate its promotion elements to deliver a clear, consistent, and compelling message about the organization and its products.
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- Communication Objectives:
Once the target audience has been defined the marketing communicator must decide what response is sought. In many cases the final response is purchase. But purchase is the result of a long process of consumer decision making.
BUYER-READINESS STAGES
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The target audience may be in any of several buyer-readiness stages, the stages consumers normally pass through on their way to making a purchase.
These stages include awareness, knowledge, liking, preference, conviction, and purchase.
AWARENESS
KNOWLEDGE
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LIKING
PREFERENCE
CONVICTION
PURCHASE
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The Communication Process
Elements in the Communication Process
- Sender
- Message
- Media
- Receiver
- Encoding
- Decoding
- Response
- Feedback
- Noise
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SENDER
Message encoded
Message
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"Noise": culture, values, traditions.
Feedback
Feedback decoded
Frame of Reference
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RECEIVER
Message decoded
Feedback encoded
Frame of Reference
Choice of communication channels
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CHANNELS
PERSONAL
NON PERSONAL
ADVOCATE
EVENTS
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MEDIA
EXPERT
ATMOSPHERE
SOCIAL
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Design Message
- Message content
- Rational
- Emotional
- Humor
- Message structure
- Conclusion drawing
- Order of Presentation
- Strongest argument
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Design message
- Message Source
- Source credibility
- Endorser
- Message Format
- The message has to be consistent depending on which media is going to be used - e.g. Layouts, models, music, voice, etc.
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ADVERTISING
- Any paid form of non-personal presentation and promotion of ideas, goods, or services by an identified sponsor.
- Newspaper, Magazines, Outdoor posters, Banners, Hoardings, Direct mail, Radio, TV, the Internet.
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PURPOSE OF ADVERTISING
- Creating awareness (informing)
- Persuade
- loyalty
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PURPOSE OF ADVERTISING
Generating awareness (informing): The first task of any advertising is to make the audience aware of the availability of a product or service and to explain exactly what it is.
Creating favorable attitude (persuasion for formation): The advertising message should create a favorable attitude towards the brand, eventually leading the consumers to buy the brand or bring about a change in their past purchasing pattern.
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Managing customer loyalty (Reinforcement of desired behavior): One of the key tasks of present day marketing is to make the customers loyal and reinforce their purchase behavior. This is important as competitors will always attempt to break this loyalty.
NEEDS AND BENEFITS OF ADVERTISING
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TYPES OF ADVERTISING
Non-Commercial advertising: Advertising sponsored for a charitable institution, civic group, religious, political organization, or some other nonprofit group to stimulate donations, persuade people to vote one way or another, or bring attention to social causes.
- Commercial Advertising: Advertising that involves commercial interests rather than advocating a social or political cause.
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Brand advertising: This is most popular form of advertising as all possible media including television is flooded with brand advertising. Brands like Surf Excel, Pepsi, and coke in India are advertised more frequently on Indian television.
These kinds of advertisements are done to build brands and develop unique brand identity for the firm.
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National advertising: These advertisements are carried out in local and vernacular media to promote the product in a local region.
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Retail advertising: These advertisements are brought to promote retails outlets and dealer points.
Nation and destination advertising: These advertisements are brought out to promote a nation as a tourism destination. These are mainly used for promoting states, cities and tourist attractions.
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Political advertising: These are done for political parties, politicians and individual candidates during elections.
Social advertising: These advertisements are brought out for a social cause like against AIDS, sexual exploitation, women trafficking, child labor and other critical issues in a society.
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Directory advertising: These are the advertisements done in directories and yellow pages and followed by people while collecting a telephone number and home address. People normally refer to these directories to buy products and services.
Direct response advertising: These advertisements are used in any medium, which tries to stimulate sales directly. The consumer can respond by telephone or Internet.
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Business-to-Business advertising: These kinds of advertisements are carried out targeting business and organizational marketers. These messages are directed towards retailers, wholesalers and distributors. These advertisements are placed in professional journals and trade association publications.
Public service advertising: Government and government-sponsored institutions bring such advertisements for the benefit of general public. They communicate a message on behalf of some good cause. Advertising professionals create these advertisements for public relations department of large corporates, highlighting a social cause.
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Interactive advertising: These are typical internet based advertisement, which are delivered to individual consumers who access to the WWW. Advertisers use web pages, banner ads, spots; pop ups and email programmes to reach the target audience.
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Outdoor advertising: These are the forms of advertising in which the marketer uses out-of-home media like wall paintings, hoardings, bulletins, kiosks and mobile vans for communicating with audience.
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Electronic advertising: These forms of advertising use electronic media like television, radio, video and audiocassette, electronic display boards and CDROMs for promotion of products and services.
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In Film advertising: These are new forms of advertising in which brands are placed inside the film and actors are shown using these products during the movie for increasing its usage among the audience.
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Unconventional media: These forms of advertising are of recent origin and use traditional art forms like jatraa, puppet shows and other local dance forms to communicate about products and services to the audience.
ADVERTISING APPEAL IN VARIOUS STAGES OF PLC
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Product Life Cycle
Sales start to grow rapidly.
Persuasive advertising may be used.
Prices may be reduced as new competitors enter the market.
Profits start coming.
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Product is launched.
Sales grow slowly as people are not aware of the product.
Informative advertising is used
Usually no profit
Sales now increase slowly.
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Intense competition in the market.
Competitive or promotional pricing may be used.
Advertising expenditure at its highest to sustain growth.
Profits may soon start to fall as the product enters the saturation stage.
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- Pre-Introduction: Light advertising, pre-introduction publicity.
- Introduction: Heavy use of advertising, public relations for awareness, sales, promotion for distribution.
- Growth: Advertising, public relations, brand marketing, personal selling for distribution.
- Maturity: Advertising decreases, sales promotion, personal selling, reminder & persuasion.
- Decline: Advertising and public relations cut back, limited sales promotion, personal selling for distribution.
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THANK YOU
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