1-1

CH 1

An Introduction to IntegratedMarketing Communications

1-2

The Modern World of Marketing

• Rapidly changing media environment• Mass media losing viewers, readers,

listeners

• Digital media targets narrow audience

• Consumers not content to be passive message recipients

• Information now obtained from a myriad of sources

1-3

The Growth of Advertising and Promotion

• Integral part of social and economic systems• Carefully prepared messages delivered

to carefully targeted audiences• Six-fold increase between 1980 and 2010

• New marketing channels• Internet ads (banner ads, videos,

webisodes)• Social media• Mobile marketing

1-4

The Role of Marketing

Advertising & Promotion

Inform customers of a product or service

Convince them of its ability to satisfy their wants or needs

Help develop and sustain relationships

Nonprofit Organizations

Solicit donations

Offer intangible social and psychological satisfactions

1-5

What is Marketing?

The activity, set of institutions, and processes for…

creating, communicating, delivering, and exchanging offerings that have…

value for customers, clients, partners, and society at large

1-6

What is Value?

• Customer’s perceptionof all the benefits of aproduct or service

• Benefits can be…

1-7

The Marketing Mix

•The Four Ps

1-8

The Marketing Revolution

Shift from traditional media ads to other forms of promotion/nontraditional media

Internet and social media changing how companies interact with consumers

Power shift: manufacturers to retailers

Database marketing

Movement away from mass media advertising toward more targeted tools such as event

marketing, direct mail, Internet

1-9

The Role of IMC in Branding

BrandIdentity

Image orAssociations Performance

Name Packaging

Logo Design

Symbols

1-10

The Promotional Mix

Interactive/ Internet

Marketing

Interactive/ Internet

MarketingAdvertisingAdvertising Direct

Marketing

Direct Marketing

Personal Selling

Personal Selling

Sales Promotion

Sales Promotion

Publicity/ Public

Relations

Publicity/ Public

Relations

1-11

Advertising

• Paid, nonpersonal communication• About an organization, product,

service, or idea • With an identified sponsor• No immediate feedback from audience

1-12

Non-Personal Media

• Mass media• TV• Radio• Magazines• Newspapers

• Benefits• Cost effective• Large audiences

1-13

Advertising Classifications

Primary / Selective Demand Primary / Selective Demand

Business-to-Business Business-to-Business

Organizations

National National

Retail / Local Retail / Local

Professional Professional

Trade Trade

Consumers

1-14

Forms of Direct Marketing

Database Management

Database Management

TelemarketingTelemarketing

Direct MailDirect Mail

Shopping ChannelsShopping Channels

CatalogsCatalogs

InternetSalesInternetSales

Direct SellingDirect Selling

Direct Response Ads

Direct Response Ads

1-15

Direct Response Advertising

• Encourages consumers to purchase directly from the manufacturer

1-16

Direct Response Advertising

Major Tools Forces for Change

1-17

Interactive Marketing

• Interactive media• Internet• Kiosks• Interactive television• Cell phones• Other mobile devices

1-18

Interactive Marketing

• Internet activities• Advertise products and services• Link ads and websites to search engines• Offer coupons, contests, sweepstakes• Conduct direct marketing• Do personal selling• Conduct public relations activities• Measure advertising and promotions

1-19

Consumer vs. Trade Promotions

Consumer-oriented

Trade-oriented Wholesalers, distributors, retailers

Encourages immediate purchases

1-20

Publicity

High credibility and low cost

High credibility and low cost

Not always under company control

Not always under company control

Is sometimes unfavorable

Is sometimes unfavorable

A news story, editorial, or

announcement to a mass audience

A news story, editorial, or

announcement to a mass audience

Not directly paid foror run under

identified sponsor

1-21

Public Relations

• Uses publicity and other tools

1-22

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

1-23

Touch Points: Control vs. Impact

1-24

IMC Planning Model

Promotional program situation analysis

Analysis of the communications process

Budget determination

Develop integrated marketing communications programs

Review of marketing plan

Advertising Salespromotion

PR/publicity

Personalselling

Directmarketing

Advertisingobjectives

Salespromotionobjectives

PR/publicityobjectives

Personalsellingobjectives

Directmarketingobjectives

Messagestrategy

Salespromotionstrategy

PR/publicitystrategy

Personalsellingstrategy

Directmarketingstrategy

Integrate and implement marketing communications strategies

Monitor, evaluate and control IMC Program

Internet/interactive

Internet/interactiveobjectives

Internet/interactivestrategy

1-25

Elements of a Marketing Plan

Detailed situation analysis

Marketing strategy and program

Specific marketing objectives

Program for implementing the strategy

Process for monitoring & evaluating performance

1-26

Promotional Program Situational Analysis

Internal

Firm’s promotional organization/capabilities

Review of previous programs and results

Assess firm/brand image

Assess strengths and weaknesses of product or service

External

Customer analysis

Competitive analysis

Environmental analysis

1-27

Analysis of Communications Process

• Communication decisions• Source and message• Communication channels• Media mix• Costs• Marketing goals• Communication objectives

1-28

Budget Determination

• What will the promotional program cost?• How will the money be allocated?

1-29

Developing the IMC Program

IMC Strategies

Creative Media

1-30

Monitoring, Evaluation, Control

Basic Goals

Determine how well the programis doing, and why

Problem correction

Continual management feedback

Input for future promotions/strategies