CH 17 Designing Marketing Communications

Marketing Management

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Chapter-17

Designing and Managing Marketing

Communications

Part : 07

Promotion


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MARKETING MANAGEMENT12th edition

17 Designing and

Managing Integrated Marketing

Communications

Kotler Keller


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Chapter Questions

What is the role of marketing communications?

How do marketing communications work?

What are the major steps in developing effective communications?

What is the communications mix and how should it be set?

What is an integrated marketing communications program?


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The Role of Marketing Communications

Marketing Communications are the means by which firms attempt to inform, persuade and remind consumers, directly or indirectly, about the products and brands that they sell.


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The Role of Marketing Communications

Marketing Communications represent the “voice” of the brand and are a means by which it can establish a dialogue and build relationship with the consumers.


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Marketing Communication (Promotion) Mix

The Marketing Communication Mix (Promotion Mix) consists of six major modes of communication.

a. Advertising b. Sales Promotion c. Events and Experiences d. Public Relations and Publicity e. Direct Marketing f. Personal Selling


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PersonalSelling

PersonalSelling

DirectMarketing

DirectMarketing

Public RelationsPublic Relations

Events/Experiences

Events/Experiences

Sales Promotion

Sales Promotion

AdvertisingAdvertising

MarketingCommunication/

PromotionMix

MarketingCommunication/

PromotionMix


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a. Advertising : Any paid form of non-personal presentation and promotion of ideas, goods, or services by an identified sponsor. Examples : Print and Broadcast Ads, Billboards etc.

b. Sales Promotion : A variety of short-term incentives to encourage trial or purchase of a product or service. Examples : Coupons, Premiums (Gifts), Rebates etc.

c. Events and Experiences : Company-sponsored activities and programs designed to create daily or special brand-related interactions. Examples : Sports, Festivals, Factory Tours etc.

d. Public Relations and Publicity : A variety of programs designed to promote or protect a company’s image or its products. Examples : Seminars, Speeches etc.


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e. Direct Marketing : Use of mail, telephone, fax, e-mail, or internet to communicate directly with customers. Examples : Telemarketing, Electronic Shopping etc.

f. Direct/Personal Selling : Face-to-face interaction with one or more prospective purchasers for the purpose of making sales and building customer relationships. Examples : Trade Shows, Door-to-Door Selling etc.


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Marketing Communication MixCommon Communication Platforms

Advertising

SalesPromotion

Events/Experiences

PublicRelations

DirectMarketing

PersonalSelling

Print and Broadcast Ads

Contests, Games, Sweepstakes

Sports Speeches Catalogs Door-to-door Selling

Brochures and Booklets

Premiums (Gifts)

Entertainment

Seminars Mailings Fairs and Trade Shows

Postersand Leaflets

Sampling Festivals Publications

Telemarketing

Sales Presentations

Billboards Fairs and Trade-Shows

Factory Tours

Community Relations

E-Shopping Sales Meetings

Point-of-Purchase Displays

Coupons Arts Press Relations

TV Shopping

Display Signs

Rebates Company Museums

Lobbying E-Mail


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Communication Process In order to communicate effectively, managers need

to understand how communication works.

Communication involves nine elements.

i. Senderii. Encodingiii. Message iv. Mediav. Decodingvi. Receivervii. Responseviii. Feedbackix. Noise (Any distortion during the communication

process)


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Communication Process


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Word-of-mouth Influence and Buzz Marketing

Word-of-Mouth Influence : Personal communication about a product between target buyers and neighbors, friends, family members, and associates.

Buzz Marketing : Cultivating opinion leaders and getting them to spread information about a product or service to others in their communities.


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Word-of-mouth Influence and Buzz Marketing

Word-of-mouth Influence


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Above the Line (ATL), Below the Line (BTL) and Through the Line (TTL) Promotions

Below the line (BTL), Above the line (ATL), and Through the Line (TTL), in organizational business and marketing communications, are promotion techniques.

Promotion can be loosely classified as "above the line" or "below the line".

i. Promotional activities carried out through mass media, such as television, radio and newspaper, are classed as “Above the Line Promotion”.

ii. The terms “Below the Line Promotion” or communications, refers to forms of non-media communication, even non-media advertising. Below the line promotions are becoming increasingly important within the communications mix of many companies, not only those involved in FMCG products, but also for industrial goods.


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Above the Line (ATL), Below the Line (BTL) and Through the Line (TTL) Promotions

iii. "Through the Line Promotion" refers to an advertising strategy involving both above and below the line communications in which one form of advertising points the target to another form of advertising thereby crossing the "line".

An example would be a TV commercial that says 'come into the store to sample XYZ product'. In this example, the TV commercial is a form of "above the line" advertising and once in the store, the target customer is presented with "below the line" promotional material such as store banners, competition entry forms, etc.


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Integrated Marketing Communications (IMC)

Integrated Marketing communications (IMC) is the concept of marketing communications planning that recognizes the added value of a comprehensive plan.

“Such a plan evaluates the strategic roles of a variety of communications disciplines-for example, advertising, sales promotion, public relations, direct marketing-and combine these disciplines to provide clarity, consistency, and maximum impact through the seamless integration of messages.”

Unfortunately, many companies still rely on one or two communication tools. The wide range of communication tools, messages, and audiences makes it imperative that companies move toward IMC.

Companies must adopt “360-degree view” of consumers to fully understand all the different ways that communications can affect consumer behavior in their daily lives.


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Integrated Marketing Communications (IMC)

Example : For a Citibank campaign to market home equity loans in US market, instead of using only mail, Citibank used mail, coupon, telemarketing, and print advertising. Although the second campaign was more expensive, it resulted in a 15% increase in the number of new accounts compared with direct mail alone.


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Group Discussion

The current competitive environment of dairy milk brands in Pakistan and who will be leading.

CH 17 Designing Marketing Communications

Documents

Transcript of CH 17 Designing Marketing Communications