Dbm advertising 1

1. Advertising and Integrated Brand communication M.R Mahmooth MBA, MSc, Chartered Marketer

2. Contents • • • • • What is advertising Why advertising What is IBC The key characteristics of advertising Key characteristic of IBC

3. Advertising • Definition – A Paid mass-mediated attempt to persuade (disseminate information) • The company who pays – Client/Sponsor • Is Publicity an mode of Advertising??? • For Example -

5. Marketing Communications mix • • • • • Advertising Direct marketing Sales Promotion Personal selling PR and Publicity Each of these has its own uses and limitations and hence a judicious mix is employed by most companies.

6. Integrated Marketing Communications • This brings about synergy and better use of communication funds • Balancing the ‘push’ and ‘pull’ strategies • Improves the company’s ability to reach the right consumer at the right place at the right time with the right message.

7. So what are the key characteristics for a good communication/Advert

8. Different methods of Advertising

20. • What is Marketing You see a gorgeous girl at a party. You go up to her and say, "I am very rich. Marry me!" That's =Direct Marketing=

21. • You're at a party with a bunch of friends and see a gorgeous girl. One of your friends goes up to her and pointing at you says, "He's very rich. Marry him." That's =Advertising=

22. • You see a gorgeous girl at a party. You go up to her and get her telephone number. The next day you call and say, "Hi, I'm very rich. Marry me." That's =Tele Marketing=

23. • You're at a party and see a gorgeous girl. You get up and straighten your tie; you walk up to her and pour her a drink. You open the door for her, pick up her bag after she drops it, offer her a ride, and then say, "By the way, I'm very rich "Will you marry me?" That's =Public Relations=

24. You're at a party and see a gorgeous girl. She walks up to you and says, "You are very rich, I want to marry you." That's =Brand Recognition=

25. • You see a gorgeous girl at a party. You go up to her and say, "I'm rich. Marry me" She gives you a nice hard slap on your face. That's =Customer Feedback=

26. ¿How would you like to travel on your vacations this year? ¿This way..??

27. The Communications Process Sender Encoding Message Media Decoding Noise Feedback Response Receiver

28. Marketing Communications mix • • • • • Advertising Direct marketing Sales Promotion Personal selling PR and Publicity Each of these has its own uses and limitations and hence a judicious mix is employed by most companies.

29. Integrated Marketing Communications • This brings about synergy and better use of communication funds • Balancing the ‘push’ and ‘pull’ strategies • Improves the company’s ability to reach the right consumer at the right place at the right time with the right message.

30. Distortions in Communication • Selective attention • Selective distortion • Selective retention

31. Factors influencing effectiveness of communications • when the recipient’s source of communication is single • When message is in line with recipients opinions and beliefs • When issues are unfamiliar or peripheral issues • When the source is an expert, of high status, likeable, has power and can be identified with • When social context or reference group will mediate the communication and influence acceptability

32. Communications model • AIDA model • The hierarchy of effects model • The innovation – adoption model

33. AIDA Model Attention Interest Desire Action

34. Marketing Communication • Factors influence Marketing Communications 1. Changing Consumers • The availability of information and increased resistance in mass-market broadcasting 2. Changing Marketing Strategies • Fragmented market and more personalised marketing strategies 3. Changes in Technology • e.g. Internet, Mobile, Ipod, Satellite & Cable Armstrong and Kotler (2009) Chpt 12

35. IMC: Mix and Match • Integrated Marketing Communication – A planning process designed to assure that all brand contacts received by a customer or prospect for a product, service, or organisation are relevant to that person and consistent over time American Marketing Association

36. Communication Mix Strategies • Two basic strategies – Push Strategy • Pushing the product through marketing channels to final consumers • Personal selling and trade promotion are relatively emphasised Marketing Activities Producer Retailers and Wholesalers Marketing Activities Customers

37. Communication Mix Strategies • Two basic strategies – Pull Strategy • Producer direct its marketing activities directly to consumers to induce their demand for the product • Advertising and promotion are relatively emphasised Marketing Activities Producer Retailers and Wholesalers Customers

38. Marketing Communications at the Brand Level A well-known and respected brand is an invaluable asset This is the key means for differentiating one company’s offering from another’s A successful brand can create barriers to entry for competitors Brand 38

39. Factors influencing effectiveness of communications • when the recipient’s source of communication is single • When message is in line with recipients opinions and beliefs • When issues are unfamiliar or peripheral issues • When the source is an expert, of high status, likeable, has power and can be identified with • When social context or reference group will mediate the communication and influence acceptability

40. Introduction to Marketing Communications (Marcom) Integrated Marketing Communication (IMC) Programs Business-to-Consumer (B2C) © 2010 South-Western, a part of Cengage Learning. All rights reserved. Business-to-Business (B2B) 1–40 Integrated Marcom B2C&B

41. Table 1.1 The Tools of Marketing Communications 1. Media Advertising • TV • Radio • Magazines • Newspapers 2. Direct Response and Interactive Advertising • Direct mail • Telephone solicitation • Online advertising 3. Place Advertising • Billboards and bulletins • Posters • Transit ads • Cinema ads 4. Store Signage and Point-ofPurchase Advertising • External store signs • In-store shelf signs • Shopping cart ads • In-store radio and TV 5. Trade- and ConsumerOriented Promotions • Trade deals and buying allowances • Display and advertising allowances • Trade shows • Cooperative advertising • Samples • Coupons • Premiums • Refunds/rebates • Contests/sweepstakes • Promotional games • Bonus packs • Price-off deals 6. Event Marketing and Sponsorships • Sponsorship of sporting events • Sponsorship of arts, fairs, and festivals • Sponsorship of causes 7. Marketing-Oriented Public Relations and Publicity 8. Personal Selling Source: Adapted from © Integrated MarketingFigure 1.1 in a Programs,” Journal of Marketing Management 17 (August, 2001), 823–851. Perspectives 2010 South-Western, Kevin Lane Keller, “Mastering the Marketing Communications Mix: Micro and Macro on Communication part of Cengage Learning. 1–41 All rights reserved.

42. The Integration of Marketing Communications • Why Not Integrated? – Tradition of separation communication tools – Influence of specialized outside suppliers – Managerial perception • Fear of budget cutbacks – Resistance of outside suppliers to broadening their functions © 2010 South-Western, a part of Cengage Learning. All rights reserved. 1–42

43. The Integration of Marketing Communications (cont’d) • IMC and Synergy – Using multiple communication tools in conjunction with one another can produce greater results (synergistic effects) than tools used individually and in an uncoordinated fashion. © 2010 South-Western, a part of Cengage Learning. All rights reserved. 1–43

45. MarCom Outcomes Outcomes Enhancing Brand Equity Affecting Behavior 45

46. Table 1.2 Five Key Features of IMC 1. Start with the customer or prospect. 2. Use any form of relevant contact or touch point. 3. Speak with a single voice. 4. Build relationships. 5. Affect behavior. © 2010 South-Western, a part of Cengage Learning. All rights reserved. 1–46

47. Key IMC Feature # 1 • The Consumer or Business Customer Must Represent the Starting Point for All Marketing Communications Activities – Consumers in Control • Outside-in approach: learn the media preferences and lifestyles of customers/prospects to know the best contexts to reach them with brand messages. – Reduced Dependence on Mass Media • Consumers are increasingly in control of their media choices for acquiring information about brands. © 2010 South-Western, a part of Cengage Learning. All rights reserved. 1–47

48. Selecting the Appropriate Marcom Tools Media-Neutral Approach Identify Marcom Program Goals Courtesy of WISK®, Unilever United States, Inc. Determine Best Way to Allocate Marketing Budget © 2010 South-Western, a part of Cengage Learning. All rights reserved. 1–48

49. Key IMC Feature # 2 • Use Any and All Marcom Tools That Are Up to the Task – 360-Degree Branding • A brand’s touch points should be everywhere the target audience is. – Not All Touch Points Are Equally Engaging • Surround customers/prospects with the message, but not to the point of being irritatingly present. © 2010 South-Western, a part of Cengage Learning. All rights reserved. 1–49

50. Key IMC Feature # 3 • Multiple Messages Must Speak with a Single Voice – A brand’s positioning statement must: • Present a clear idea of the brand in its target market’s mind • Consistently deliver the same unified message across all media channels on all occasions. © 2010 South-Western, a part of Cengage Learning. All rights reserved. © Richard B. Levine / Newscom 1–50

51. Key IMC Feature # 4 • Build Relationships Rather Than one off engagement – Loyalty programs promote longterm relationships between customers and brands that lead to customer retention. – Experiential marketing programs can create brand experiences that make positive and lasting impressions on customers. © 2010 South-Western, a part of Cengage Learning. All rights reserved. 1–51

52. Key IMC Feature # 5 • Don’t Lose Focus of the Ultimate Objective: Affect Behavior – The goal of IMC is to influence the target audience in such a way that the audience engages in a specific desired behavior. – The effectiveness of an IMC program is judged by its success in terms of its ultimate influence on behavior. © 2010 South-Western, a part of Cengage Learning. All rights reserved. 1–52

53. Obstacles to Implementing IMC • Integration requires tight coordination among all elements of a marcom program. – Few providers of marketing communication services have the diversity of skills required to execute an IMC program. – Direct-to-customer advertising is more difficult than a mass media campaign. – The greatest challenge is making sure that all marcom tools are consistently executed. © 2010 South-Western, a part of Cengage Learning. All rights reserved. 1–53

54. Marketing Communications • Marketing Communications’ Objective – To enhance brand equity by moving customers to favorable action toward the brand—trying it, repeat purchasing it, and becoming loyal toward the brand. • Brand Equity – The degree to which consumers favorably perceive the brand’s features and benefits as compared to competitive brands and how strongly these views © 2010 South-Western, a are held in memory 1–54 part of Cengage Learning. All rights reserved.

57. Fundamental Marcom Decisions (cont’d) Top-down (TD) Top-down/Bottom-up (TD/BU) Budgeting Procedures Bottom-up/Top-down (BU/TD) Bottom-up (BU) © 2010 South-Western, a part of Cengage Learning. All rights reserved. 1–57

58. Fundamental Marcom Decisions: Commit-to-Memory Mantra All marketing communications should be: 1. Directed to a specific target market 2. Clearly positioned 3. Created to achieve a specific objective 4. Undertaken within budget constraints © 2010 South-Western, a part of Cengage Learning. All rights reserved. 1–58

59. Marcom Implementation Decisions Marcom Program Implementation Decisions Mixing Elements © 2010 South-Western, a part of Cengage Learning. All rights reserved. Creating Messages Selecting Media 1–59 Establishing Momentum

62. Marcom Program Evaluation Marcom Program Implementation Measuring Results for Accountability Behavioral Impact Communication Outcomes © 2010 South-Western, a part of Cengage Learning. All rights reserved. Taking Corrective Action Providing Feedback 1–62 Greater Investment Different Communication Combinations Revised Strategy Revised Allocations

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