Chapter 16

Communication mix in marketing

In this chapter we will discuss:

Communication and promotion process Promotional tools Developing a communication program Marketing communication mix

An Ape hates grape cakes.

What it does?

Attract

Persuade

Urge

Remind

Communication and promotion process

Pro – forward Movere – push Promotion –

push forward

• Advertising - to turn towards

The communication process

Communication source Receiver Coding process Medium of transmission Decoding process Noise Feed back

Communicationsource

Receiver

Decoding process

Noise- Technical - Physical- Social

- Psychological

Feedback

Medium Of

transmission

Coding process

The communication process

- SMS

Types of communication channels

Personal channels Non personal channels

Marketing Communications

AdvertisingDirect

Marketing

Sales Promotion

Public Relations

Personal Selling

Publicity

Advertising

Definition Flexibility in choosing target market More interesting format Faster response Negligible interaction Indirect feed back Low cost Can reach the most appropriate target audience Supporting role to other promotional tools “Retro Marketing”

Sales Promotion

Definition

Consumer sales promotion

Trade sales promotion

In general it is a short term tool

Baron’ sales promotion

Publicity

Definition

High credibility

Repeated exposures helps a lot

Public relations

Creates suitable environment Forms favorable opinion Suppliers, customers, employees, the

Government, shareholders, distributors, members of the public etc.

Establishing the image of “good corporate citizen”

It results in the long rum

Personal selling

Direct interaction Highly specific and costly High impact Immediate feedback Used in high cost products Detailed demonstration Limited target market Mostly used in industrial products Supportive in consumer goods

Direct marketing

Mail / Telemarketing / Internet Non face to face interaction Amway’s Indianization Highly cost effective Measured response Industrial markets / Consumer

markets

Developing Effective Marketing Communications

Identify target audience Determine objectives of

communication Design the message Establish the budget

Steps in Marketing Communications Program Development

Target audience identification

Gives competitive advantage

Demographical, behavioral and psycho graphical factors determines target market

Heterogeneous and homogeneous markets

Steps to identify target market

1. Select a sample2. Group in to homogeneous segments3. Factors influencing the various need

based sub groups to be identified4. Target audience to be selected for

developing a specific marketing communication program

5. Appropriate positioning of products and services

Image analysis

It is the set of beliefs, ideas, and impressions a person holds regarding an object / Individual / Organization

Helps in knowing perceptions

Helps in taking effective measures– Negative Positive– Unaware Aware– Wrong Right

Determination of communication objectives

Knowing the stage in which consumer is important and will become basis for framing objectives and type of communication

They should be in tune with companies marketing strategies

The objectives can be given as under

Determination of communication objectives

Figure 16-1: Response

Hierarchy Models

As per text book

Objectives

Awareness Knowledge Liking Preference Conviction Purchase Stimulate demand

Developing Marketing Communications Budget

–Affordability method–Percentage-of-sales method–Competitive-parity method–Objective-and-task method

Developing Effective Marketing Communications

Message Design

Content

Structure

Format

Source

Message content decisions involve the selection of appeal, theme, idea, or USP

Types of appeals–Rational appeals–Emotional appeals–Moral appeals

Developing Effective Marketing Communications

Message Design

Content

Structure

Format

Source

One-sided vs. two-sided messages

Order of argument presentation

Developing Effective Marketing Communications

Message Design

Content

Structure

Format

Source

Message format decisions vary with the type of media, but may include:–Graphics,

visuals–Headline, copy

or script–Sound effects,

voice qualities–Shape, scent,

texture of package

Developing Effective Marketing Communications

Message Design

Content

Structure

Format

Source

Message source characteristics can influence attention and recall

Factors underlying perceptions of source credibility:–Expertise–Trustworthiness–Likeability

Marketing communication mix

According to Kevin Keller, marketing communication is successful when two events occur

1. How does the customer react to a specified advertisement to which he is exposed?

2. Will he be able to recollect the ad when he is actually making the purchase decision?

Marketing communication mix & its comparison with Orchestra

Marketing communication mix

Mix is developed considering the following factors

1. Product market type

2. Pull push strategies

3. Products' stage in its life cycle in buyer's readiness

4. Effectiveness of advertising

Product market type

Consumer market

1. Sales promotion

2. Advertising

3. Personal selling

4. Public relations

Industrial market

1. Personal selling

2. Sales promotion

3. Advertising

4. Public relations

Pull push strategies

Pull strategy:

Directed at customers

Push strategy

Directed at channel members

Products' stage in its life cycle

Introduction – Inform (Adv/SP/PS)

Growth – differentiation

Maturity – (SP/Reminder advertising)

Decline – cost cutting–Now a days concept of PLC has lost its

validity as we are living in LPG era.

Developing Effective Marketing Communications

Figure 16-2: Cost-Effectiveness of Different Promotional Tools at

Different Buyer-Readiness Stages

Effectiveness of advertising

1. No awareness2. Only awareness3. Awareness of functionality4. Likes product5. Favorable attitude6. Preference combined with desire to buy7. Customer perceives his decision to be

intelligent

Developing Effective Marketing Communications

Communications Mix Selection

Types of promotional tools

Selection factors

Advertising

Sales promotion

Public relations and publicity

Direct marketing

Personal selling

Developing Effective Marketing Communications

Communications Mix Selection

Types of promotional tools

Selection factors

Consumer vs. business market

Stage of buyer readiness

Stage of product life cycle

Market rank

Developing Effective Marketing Communications

Step 7: Measure Results– Recognition, recall, attitudes, behavioral

responses

Step 8: Manage the Integrated Marketing Communications Process– Provides stronger message consistency and

greater sales impact– Improves firms’ ability to reach right

customers at right time with right message

Developing and Managing the Advertising Campaign

Figure 16-3: The Five Ms of Advertising

Developing and Managing the Advertising Campaign

Deciding on Media Categories– Target audience’s media habits, nature of

the product and message, cost Media Timing Decisions

– Macroscheduling vs. microscheduling– Continuity, concentration, flighting, and

pulsing scheduling options Deciding on Geographical Allocation