SEGMENT 11: INTEGRATED MARKETING COMMUNICATION
SEGMENT 11: INTEGRATED MARKETING COMMUNICATION
(Related chapter in text: 18)
LEARNING OBJECTIVES
1. Describe the five components of the promotional mix and their roles
2. Understand the meaning of synergy in the promotional mix
3. Describe the communications process and its elements
4. Know how to use the hierarchy-of-effects model to set promotional objectives
4. Know how to use the multiattribute model to devise promotional message strategy
INTEGRATED MARKETING COMMUNICATION (IMC):
Designing marketing communication programs to coordinate all promotional activities
and provide a consistent image across all audiences. Speak with one voice with all the different approaches we make. Marketing mix (this is promotional mix 5 tools in promo mix)
PROMOTIONAL "MIX"-integrated marketing communication-to be consistent
1. ADVERTISING-paid media insertions, mass media, paid for
2. PERSONAL SELLING-one on one communication between company and consumer, phone, face to face
3. SALES PROMOTION,-coupons, rebates, trials, sample, sweepstakes
4. PUBLIC RELATIONS- publicity=info about company that appears in media, that is in directly paid for. (dell and exploding computer) pr is attempt to influence the nature of publicity that they get, publicity = negative (not controlled), pr=positive (controlled)
5. DIRECT MARKETING- mail (earliest) , telephone , email permission marketing (sign up with website to receive email) easy to opt out.
SOME OTHER IMC TOOLS
6. SPONSORSHIPS-nascar, rolling billboards, Nextel cup, motorala headsets for nfl, American airline arenas, event marketing-nissan sponsoring the volleyball tours, series of events. Guriella marketing-attention on short run basis (vault truck at basketball finals, handing out samples) attention from people on street. Most effective with the people interest in category and interest in event, taste of product and link to between brand and event, a lot of money, message of product. Mutiple sponsors with bad name . Ambush marketing-pay to be official sponsor, then do something to gain attention (target paid city to shrink wrap trains with target stuff, and got full coverage to people visiting winter Olympics)
7. PRODUCT PLACEMENTS- Using wonderbread in Movie. E.T and reeses pieces.. went up 2/3 rds, Tom cruise and red stripe beer. Straight fee-company pays movie for exposure. Barter-company gives producer product for movie. Recipical- company gets placement, movie gets hype from promotions in stores. Degree of effectiveness-number of viewings concur, how long. Really successful is flow of product in action (jerry and pez dispenser) new things are video games with product placement, online gaming can input commercials. Nielson now tracks product placement in video games, etc.
1. Branded entertainment-integrate brand into programming, webisodes (bmw) burger king –chicken will do whatever you want, Advergame-game that exsist for the company on the website
8. INFOMERCIALS- direct sales,
9. Consumer control-multitasking, entertaining them digitial, personal
10. Consumer genertated media-give control to the media, fill in the black, write the commercial, problem is consumers can say things they don’t want them to (chevy and killing hippies)
MIX ELEMENTS HAVE: different characteristics
- DIFFERENT TASKS- advertising-buil awareness and image, Sales promotion –build shirt term sales, different task performed by different aspects of promo mix
- CONSISTENCY-promotional campaign, make sure message is consistent
- COMPLEMENTARITY-various promo mixes blend to complemenat each other (tv-convey image, magazine –convey info, personal selling-close the sell.
- SYNERGY-whole being greater than the sum of the parts. Tiger woods and nike golf balls, won the u.s open by 15 strokes (Tiger playing with golf balls on course, tiger in commercial )
PROMOTION IS COMMUNICATION
COMMUNICATIONS THEORY
SOURCE where the message comes from, advertiser, spokespeople
ENCODING-what we would like to communicate and convert into message , has errors-which is noise what the source would like to convey, and what it actually conveys
MESSAGE-message we send
FEEDBACK-audience output, research, sales, also has noise
CHANNEL-means that we exchange, newspaper, mag, radio
DECODING-make sense of what they say, also has noise
AUDIENCE-who encounters it
SOURCES
PERSONAL IMPERSONAL
Contact noncontact-media to convey (tv)
| | | |
|MARKETER-CONTROLLED |PERSONAL |ADVERTISING & SALES PROMO.|
|Complete control |SELLING | |
| | | |
|INDEPENDENT |WORD OF |PUBLICITY |
|Word of mouth-potent form of |MOUTH | |
|influence, info gathering stage| | |
|is most important, along with | | |
|decision making, electronic | | |
|aspects Weblurkers| | |
|track what people say about | | |
|products, sometimes poise and | | |
|make good comments –buzz | | |
|marketing | | |
SOURCES
COMPANY
SPOKESPERSON
E.G., CELEBRITY ENDORSERS- 25%
BASIC FACTORS
11. CREDIBILITY-how believable more credible more appropriate
- EXPERTISE-degree to which that person is considered an expertise
- TRUSTWORTHINESS-how much you trust the person is telling the truth
12. ATTRACTIVENESS-likeablility, “ I wanna be like Mike” Q rating-familiarity and likeablity. Name and face recongition
MESSAGE FACTORS
13. OBJECTIVES- objectives we have for communication program for what we want to do
14. STRATEGY-general approach for to accomplish objectices
15. TACTICS-specific execution to finish objectives
16.
OBJECTIVE FORMULATION
THE HIERARCHY OF EFFECTS-series of stages we go through in purchasing situation
RADIO STATION WHOA
100% Total potential market
85% Aware
75% Knowledge
70% Like
60% Intend
50% Listen
COMPUTE THE RATIOS
BETWEEN THE STEPS
100 / 85 = 1.18
85 / 75 = 1.13
75 / 70 = 1.07
70 / 60 = 1.17
60 / 50 = 1.20*
THEREFORE, THE INDICATED OBJECTIVE IS TO
INCREASE THE NUMBER OF ACTUAL LISTENERS-establish objective then re-evaluate
ILLUSTRATING MESSAGE STRATEGY: TENNIS RACQUETS
BRAND/MODEL
WILSON PRO STAFF
PRINCE PRO 2
SPALDING PARADOX
BRANds
atTRIBUTE WILSON PRINCE SPALDING IMPORT.
POWER 9 (10) 7 6 9 (+ 1)=10
CONTROL 5 (10) 7 9 8 (+ 5 )=40
HEAD SIZE 5( 10) 9 9 3 (+5 )=15
STABILITY 8 5 5 5
atTRIBUTE WILSON PRINCE SPALDING IMPORT.
POWER 9 (1) 6 (1) 6 (1) 9increase to 10
CONTROL 5 (2) 7 (14) 9 8 (10)
HEAD SIZE 5 9 9 3
STABILITY 8 5 5 5
TOTAL WEIGHTED RATINGS
WILSON 176
PRINCE 171
SPALDING 178
THREE POSSIBLE STRATEGIES
ASSUME RATING OR IMPORTANCE WEIGHT
CAN BE CHANGED TO THE MAXIMUM (10)
1. RATING CHANGE NEW TOTAL
WILSON: CONTROL ( 216
PRINCE: 171
SPALDING: 178
2. IMPORT. WT. CHANGE NEW TOTAL---harder to do
WILSON: STABILITY ( 216
PRINCE: 196
SPALDING: 203
NOTE: NEED TO FOCUS ON RELATIVE CHANGE VS. COMPETITORS!
3. ADD A NEW ATTRIBUTE –short gain
E.G., "TOUCH"
WILSON PRINCE SPALDING IMPORT.
9 ? ? 7
NEW TOTAL FOR WILSON = 239
TACTICS - HOW TO SAY IT (APPEAL) Change perceptions change Marketshare
TYPES OF APPEALS
17. INFORMATIONAL-straight forward, tech products, print ads, internet
18. COMPARATIVE- has to document superior,
19. IMAGE-create particular image for brand (ax)
20. FEAR-arose some type of fear, than a product to extinguish fear.
21. HUMOR-tied into nature of product
22. SEX-not used all the time, tied into some way.
CHANNEL = MEDIUM which we commincate the message
--PERSONAL
--IMPERSONAL
AUDIENCE- the target market, who we want to reach
TARGET MARKET
- IDENTIFY THROUGH MARKETING RESEARCH
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