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IntegratedMarketingCommunications

Week1Advertising&theMarketingProcess

MainIssues- Whatismarketing?- Managementprocess- Promotionalmix- IMC

WhatisMarketing?Definemarketing.- Satisfyingneeds&wantsthroughtheexchangeprocess.

Ø Activity&processesforcreating,communicating&deliveringvalueforend-users.

Ø Exchange:involvedbothpartiesinanexchangeof‘value’&awaytocommunicate.

Ø Value:Customer’sperceptionofbenefitsversuscosts(acquiring&consuming).

- Thesetofactivitieswherebybusinessesandotherorganisationscreatetransfersofvalue(exchanges)betweenthemselvesandtheircustomers.

TheMarketingManagementProcess

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MarketingMixWhatdoestheMarketingmixconsistof?- Product,price,placeandpromotion- Todevelopandeffectivemarketingmix,marketersmust:

Ø Beknowledgeableabouttheissuesandoptionsofeachelementofthemix.

Ø Knowhowtocombinetheelementstoformaneffectivemarketingprogram.

Ø Analysethemarkerandusethedatatodevelopthemarketingstrategyandmix.

TheMarketing&PromotionalMixes- Productorservice- Pricingpolicy- Distribution(place)method- Promotionalmix:

Ø AdvertisingØ DirectmarketingØ Interactive/internetmarketingØ SalespromotionØ Publicity/PublicRelationsØ Personalselling

ThePromotionalMix

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IntegratedMarketingCommunicationsWhatisIMC?- Amarketingcommunicationsplanningconcept.- Recognizesthevalueofacomprehensiveplan.- Aplanthatevaluatesthestrategicrolesofseveralcommunicationsdisciplines:

Ø AdvertisingØ DirectmarketingØ SalesPromotionØ PublicRelations

- Combinesdisciplinestoprovide:Ø ClarityØ ConsistencyØ Maximumcommunicationsimpact

ModeloftheIMCPlanningProcess

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Week2IMCintheMarketingProcess

MainIssues:- Promotionalmixdefinitions–toolsofIMC- Marketing&PromotionsProcessModel- IMCPlan- IMCParticipants–Advertisers,Ad,Agencies,MediaandPotentialCustomers

AdvertisingWhatisAdvertising?- Anypaidformofnon-personalcommunicationaboutanorganisation,product,service,orideabyanidentifiedsponsor(e.g.BusinessFirms,individuals,non-profitorganisations).

AdvertisingtoConsumerMarketsNationalAdvertising- Doneonanationwidebasisorinmostregionsofthecountry.

Retail/localadvertising–Encourageconsumersto:- Shopataspecificstore.- Usealocalservice.- Patronizeaparticularestablishment.

PrimaryVSSelective-DemandAdvertising- Primary-demand:stimulatesdemandforthegeneralproductclassofentireindustry.

- Selective-demand:createsdemandforaspecificcompany’sbrands.Business-to-BusinessAdvertising- Targetsindividualswhobuyorinfluencethepurchaseofindividualgoodsorservicesfortheircompanies.

ProfessionalAdvertising- Targetsprofessionals,encouragingthemtouseacompany’sproductintheirbusinessoperations.

TradeAdvertising

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- Targetsmarketingchannelmembers,encouragingthemtostock,promote,andresellthemanufacturer’sbrandedproducttotheircustomers.

DirectMarketingDefine.- Wherebyorganisationscommunicatedirectlywithtargetcustomerstogeneratearesponseand/oratransaction.

- E.g.telemarketing,directselling,directresponseads–directmail,directresponseTV,directradioetc.

- DirectMail:letters,flyers,brochures,cataloguesetc.Interactive/InternetMarketing- Allowsforaback-to-forthflowofinformationwherebyuserscanparticipatein&modifytheformandcontentoftheinformationtheyreceiveinrealtime.

Ø Userscanreceiveinformationandimages,makeenquiries,respondtoquestions,andmakepurchases.

Ø Interactivemedia:Internet,socialmedia,mobiles,kiosksandCD-ROMs.

SalesPromotion- Thosemarketingactivitiesthatprovideextravalueorincentivetothesalesforce,distributors,ortheultimateconsumerandcanstimulateimmediatesales.

Ø Consumer-oriented(e.g.discounts,point-of-purchasematerials)

Ø Trade-oriented(e.g.salescontests,pricedeals).Publicity- Non-personalcommunicationsregardinganorganisation,product,service,orideathatisnotdirectlypaidfororrununderidentifiedsponsorship.

- Comesintheformofanewsstory,editorial,orannouncementaboutanorganisationand/oritsproductsandservices.

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PublicRelationsWhatisPR?- It’samanagementfunction,whichmanages&controlsaprogramofactiontoearnpublicunderstandingandacceptance.

Ø Itencompassesawidevarietyofcommunicationeffortstofostergoodwillandgainpublicunderstanding.

Ø Usedtobuildrapportwiththevariouspublics(e.g.employees,customers,stockholders,voters,competitorsorthegeneralpopulation.)

PersonalSelling- Aformofperson-to-personcommunicationinwhichasellerattemptstoassistand/orpersuadeprospectivebuyerstopurchasethecompany’sproduct/serviceoractonanidea.

IntegratedMarketingCommunications- Integratedmarketingcommunicationisastrategicbusinessprocessusedtoplan,develop,executeandevaluatecoordinated,measurable,persuasivebrandcommunicationsprogramsovertimewithconsumers,customers,prospects,employees,associatesandothertargetedrelevantexternalandinternalaudiences.

- Thegoalistogeneratebothshort-termfinancialreturnsandbuildlong-termbrandandshareholdervalue.

IMCAudienceContactTools

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TouchPointsWhatisatouchpoint?- Atouchpointreferstoeachandeveryopportunitythecustomerhastoseeorhearaboutthecompanyand/oritsbrandsorhasanencounterorexperiencewithit.

TraditionalMarketingApproachContemporaryIMCApproach- Aconceptofmarketingcommunicationsplanningthatrecognisestheaddedvalueofacomprehensiveplanthatevaluatesthestrategicrolesofavarietyofcommunicationdisciplines—forexample,generaladvertising,directresponse,salespromotion,andpublicrelations—andcombinesthesedisciplinestoprovideclarity,consistency,andmaximumcommunicationsimpact.

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MarketingandPromotionsProcessModelA.MarketingStrategyandAnalysisOpportunityAnalysis- Favourabledemandtrends.- Customerneeds&/orwantsnotbeingsatisfiedwhereafirmcouldcompeteeffectively.

CompetitiveAnalysis- Otherbrandcompetition(DIRECT)orotherproductcompetition(INDIRECT)

- Searchforacompetitiveadvantage- Reactionsofcompetitorstoacompany’smarketingandpromotionalstrategy

TargetMarketSelection- Afterevaluatingmarketingopportunitiesforproducts/servicesinvariousmarkets,acompanyselectsoneormoreasatargetmarketforwhichitwilldevelopamarketingprogram(s).

- Selectingtargetmarketshasimplicationsforadvertisingandpromotionalstrategyandtactics.

B.TargetMarketingProcess

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C.MarketingPlanningProgramDevelopment - Involvescombiningthevariouselementsofthemarketingmixintoacohesiveandeffectivemarketingprogram.

- AllelementsofthemarketingmixmustbeconsistentwithoneanotherandmustcontributetotheoverallIMCprogram.

- ProductDecisions- PricingDecisions- DistributionDecisions

PromotionalDecisions

D.PromotiontoTradeandTargetMarket(i.e.ultimatecustomer)- TheMarketingandPromotionsProcessModelendswithpromotionto:

- TargetMarket(Endorultimateconsumer–consumersandbusinesses)&/orTrade(resellers/channelmembers).

IMCPlanWhatisanIMCPlan?- Providestheframeworkfordeveloping,implementing,&controllingtheorganisation’sintegratedmarketingcommunicationsprograms&activities

Structureofan IMCPlan

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- Introduction- SituationAnalysis:Market,Environment,Company,Customer,Competitor,&SWOTanalysis

- Objectives- Budget- TargetAudience- CommunicationStrategy- CreativeStrategy- MediaPlanning- MediaStrategy- CampaignResearch&Evaluation- Conclusion- Appendix

ParticipantsoftheIMCProcess

v Advertiser(client)v AdAgenciesv Mediav PotentialCustomer

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Advertiser/Client- Organisationswiththeproducts,services,orcausestobemarketedandforwhichadvertisingagenciesandothermarketingpromotionalfirmsprovideservices.

AdvertisingAgency- Afirmthatspecialisesinthecreation,production,and/orplacementofadvertisingmessagesandmayprovideotherservicesthatfacilitatethemarketingcommunicationsprocess.

In-HouseAgencies- Advantages:

Ø CostsavingsØ MorecontrolØ Bettercoordination

- Disadvantages:Ø LessexperienceØ LessobjectivityØ Lessflexibility

ReasonsforusinganAgency- Obtainservicesofhighlyskilledspecialists

Ø ArtistsØ WritersØ MediaanalystsØ ResearchesØ Otherswithspecificskills

- ObtainanobjectivepointofviewØ Freeofinternalpolicyconstraintsandbiases.Ø Broadrangeofexperience,havingworkedwith:*diversemarketingproblems*varioustypesofclients.

OtherAgenciesandServicesCreativeBoutiques- Provideonlycreativeservices.- Otherfunctionsprovidedbytheinternalclientdepartments.- Full-serviceagenciesmaysubcontractwithcreativeboutiques.

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MediaBuyingServices- Specializeinbuyingmedia,especiallybroadcasttime- Agenciesandclientsdevelopmediastrategy- Mediabuyingorganisationsimplementthestrategyandbuytimeandspace

WhyAgenciesLoseClients- Poorperformanceorservice- Poorcommunication- Unrealisticdemandsbytheclient- Personalityconflicts- Personnelchanges- Changesinsizeoftheclientoragency- Changesintheclient’scorporateand/ormarketingstrategy- Conflictsofinterest- Decliningsales- Conflictingcompensationphilosophies- Changesinpolicies- Disagreementsovermarketingand/orcreativestrategy- Lackofintegratedmarketingcapabilities

HowAgenciesgainClients- Referrals- Solicitations- Presentations- PublicRelations- ImageandReputation

Media- Organisationwhosefunctionistoprovideinformation/entertainmenttosubscribers,viewers,orreaderswhileofferingmarketersanenvironmentforreachingaudienceswithprintorbroadcastmessages.

PotentialCustomer- You

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Week3

***NOLECTURETHISWEEK***