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  1. An Introduction to Integrated Marketing Communications
  2. Definition of Integrated Marketing Communications A concept of marketing communications planning that recognizes the added value of a comprehensive plan that evaluates the strategic roles of a variety of communication disciplines and combines these disciplines to provide clarity, consistency and maximum communications impact (through the seamless integration of discrete messages). 2
  3. IDEAS INVOLVED IN IMC APPROACH Despite the increasing use of the term IMC approach by both practitioners and academics in recent years, there is little agreement on what the term actually means. According to one recent review, at least two related ideas are involved : One-voice Marketing Communications Integrated Communications The different elements of the communications mix have to be used in a way that the strengths of one are used to offset the weakness of another. 3
  4. One-voice Marketing Communications As consumers increasingly being to be addressed by the same marketer in a variety of different ways ( i.e. through 5 tools of promotion) - there is a need to ensure a consistency of positioning, message, and tone across these different media. These different communications must reach consumers with one voice. 4
  5. II. Integrated Communications A marketer’s consumer communications need not only to raise brand awareness, or create or change brand preference and image, or to get sales trial or repurchase, but to do all of the above at the same time. Increasing image without getting a sales result is not good enough and getting short-term sales (e.g. via sales promotion) at the expense of a brand’s long-term image is also courting disaster. Thus , all marketing communications should attempt to simultaneously achieve targeted communication goals (e.g. raising attitudes or building image) and lead to some behavioral action (e.g. trial or repurchase). 5
  6. The Marketing & Promotional Mixes Marketing Mix: • Product or Service • Pricing • Channels of Distribution • Promotion Promotional Mix: • Advertising • Direct Marketing • Interactive/internet marketing • Sales Promotion • Publicity/Public Relations • Personal Selling 6
  7. Corporate Level Message Sources Administration Manufacturing/ Marketing Finance Human Legal Operations Resources Cross-Functional Brand Equity (IM) Team Marketing Level Message Sources Product Price Marketing Distribution Mix Mix Communication Mix Cross-Functional IMC Team Marketing Communication Level Message Sources Personal Adver- Sales Direct Public Pack- Events Sales tising Promotion Marketing Relations aging Interactivity Other Stakeholders Employees Investors Financial Community Government Regulators Customers Distributors Suppliers Competition Consumers Local Community Media Interest Groups Communication-Based Marketing Model 7
  8. Communication Levels Corporate Level Messages sent by a company’s overall business practices and philosophies such as mission, labor practices, philanthropies, culture and other processes Marketing Level Messages sent by or inferred from by various aspects of marketing mix such as product performance, design, appearance, pricing and distribution Marketing Communication Level Strategic and executional consistency among all forms of marketing communication 8
  9. Reasons For Growing Importance of IMC Shift from media advertising to other forms of marketing communication Movement away from advertising focused- approaches that emphasize mass media Shift in power from manufacturers to retailers Rapid growth of database marketing Demands for greater ad agency accountability Changes in agency compensation Rapid growth of the Internet Increasing importance of branding 9
  10. IMC Communication Tools 10 IMC Communication Tools Advertising Direct Marketing Interactive/ Internet Marketing Sales Promotion Publicity/Public Relations Personal Selling
  11. Any paid form of non-personal communication about an organization, product, service, idea or cause by an identified sponsor. Any paid form of non-personal communication about an organization, product, service, idea or cause by an identified sponsor. Advertising Disadvantages of advertising High costs of producing and running ads Credibility problems and consumer skepticism Clutter Difficulty in determining effectiveness 11  Advantages of advertisingAdvantages of advertising – Advertiser controls theAdvertiser controls the messagemessage – Cost effective way toCost effective way to communicate with largecommunicate with large audiencesaudiences – Effective way to create brandEffective way to create brand images and symbolicimages and symbolic appealsappeals – Often can be effective way toOften can be effective way to strike responsive chord withstrike responsive chord with consumersconsumers
  12. Classifications of Advertising Advertising to Consumer Markets National advertising Retail/local advertising Advertising to increase demand Primary demand for the product category Selective demand for a specific brand Advertising to Consumer Markets National advertising Retail/local advertising Advertising to increase demand Primary demand for the product category Selective demand for a specific brand 12 Business & professional advertising •Business-to-business advertising •Professional advertising •Trade advertising Business & professional advertising •Business-to-business advertising •Professional advertising •Trade advertising
  13. A system of marketing by which organizations communicate directly with target customers to generate a response and/or a transaction. A system of marketing by which organizations communicate directly with target customers to generate a response and/or a transaction. Direct Marketing Disadvantages of direct marketing Lack of customer receptivity and very low response rates Clutter (too many messages) Image problems – particularly with telemarketing 13  Advantages of direct marketingAdvantages of direct marketing  Changes in society have madeChanges in society have made consumers more receptive to direct-consumers more receptive to direct- marketingmarketing  Allows marketers to be very selectiveAllows marketers to be very selective and target specific segments ofand target specific segments of customerscustomers  Messages can be customized forMessages can be customized for specific customers.specific customers.  Effectiveness easier to measureEffectiveness easier to measure
  14. Direct Marketing Direct marketing methods Direct mail Catalogs Telemarketing Direct response ads Direct selling Internet 14
  15. A form of marketing communication through interactive media which allow for a two-way flow of information whereby users can participate in and modify the content of the information they receive in real time. A form of marketing communication through interactive media which allow for a two-way flow of information whereby users can participate in and modify the content of the information they receive in real time. Interactive/Internet Marketing Disadvantages of interactive/ internet marketing Internet is not yet a mass medium as many consumers lack access Attention to Internet ads is very low Great deal of clutter on the Internet Audience measurement is a problem on the Internet 15  Advantages of interactive/ internet marketing  Can be used for a variety of IMC functions  Messages can be tailored to specific interests and needs of customers  Interactive nature of the Internet leads to higher level of involvement  Can provide large amounts of information to customers.
  16. Interactive/Internet Marketing Use of the Internet as an IMC Tool As an advertising medium to inform, educate and persuade customers As a direct sales tool To obtain customer database information To communicate and interact with buyers To provide customer service and support To build and maintain customer relationships As a tool for implementing sales promotion As a tool for implementing publicity/public relations programs 16
  17. Marketing activities that provide extra value or incentives to the sales force, distributors, or ultimate consumers and can stimulate immediate sales. Marketing activities that provide extra value or incentives to the sales force, distributors, or ultimate consumers and can stimulate immediate sales. Sales Promotion Trade-oriented Targeted toward marketing intermediaries such as retailers, wholesalers, or distributors  Promotion allowances  Merchandise allowances  Price deals  Sales contests  Trade shows 17  Consumer-orientedConsumer-oriented – Targeted to the ultimateTargeted to the ultimate users of a product orusers of a product or serviceservice  CouponsCoupons  SamplingSampling  PremiumsPremiums  RebatesRebates  ContestsContests  SweepstakesSweepstakes  POP materialsPOP materials
  18. Sales Promotion Uses Introduce new products Get existing customers to buy more Attract new customers Combat competition Maintain sales in off season Increase retail inventories Tie in advertising & personal selling Enhance personal selling efforts 18
  19. Publicity Advantages of publicity Credibility Low cost (although not totally free) Often results in word-of-mouth Disadvantages of publicity Not always under control of organization Can be negative 19 Nonpersonal communication regarding an organization, product, service, or idea not directly paid for or run under identified sponsorship. Nonpersonal communication regarding an organization, product, service, or idea not directly paid for or run under identified sponsorship.
  20. Publicity Vehicles News Releases: Single-page news stories sent to media who might print or broadcast the content. Feature Articles: Larger manuscripts composed and edited for a particular medium. Captioned Photos: Photographs with content identified and explained below the picture. Press Conferences: Meetings and presentations to invited reporters and editors. Special Events: Sponsorship of events, teams, or programs of public value. 20
  21. TAGES AND DISADVANTAGES OF PROMOTIONAL NENTS 21 (***Packaging and public relations also play Imp. role in promotion mix.) onal o. Scope Cost Advantages Dis -Advantages g Mass Relativity Inexpensive per contact Allows expressiveness and control over message Hard to measure results Mass Inexpensive Has high degree of credibility Not as easily controlled as other forms elling Personal Expensive per contact Permits flexible presentation & gains immediate response Costs more than all other forms per contact Mass Can be costly Gains attention and has immediate effect Easy for others to imitate
  22. ublic Relations Tools used by Public Relations Publicity Special publications Community activity participation Fund-raising Special event sponsorship Public affairs activities 22 The management function which evaluates public attitudes, identifies the policies and procedures of an individual or organization with the public interest, and executes a program of action to earn public understanding and acceptance. The management function which evaluates public attitudes, identifies the policies and procedures of an individual or organization with the public interest, and executes a program of action to earn public understanding and acceptance.
  23. Direct person-to-person communication whereby a seller attempts to assist and/or persuade perspective buyers to to purchase a product or service. Direct person-to-person communication whereby a seller attempts to assist and/or persuade perspective buyers to to purchase a product or service. Personal Selling Disadvantages of personal selling High costs per contact Expensive way to reach large audiences Difficult to have consistent and uniform message delivered to all customers 23  Advantages of personal sellingAdvantages of personal selling – Direct contact between buyer andDirect contact between buyer and seller allows for more flexibilityseller allows for more flexibility – Can tailor sales message toCan tailor sales message to specific needs of customersspecific needs of customers – Allows for more direct andAllows for more direct and immediate feedbackimmediate feedback – Sales efforts can be targeted toSales efforts can be targeted to specific markets and customersspecific markets and customers who are best prospects.who are best prospects.
  24. Coordinating the promotional mix elements to develop a controlled, integrated program of effective marketing communications. Coordinating the promotional mix elements to develop a controlled, integrated program of effective marketing communications. Promotional Management Considerations for developing the promotional program include: Type of product Buyer’s decision process Stage of product life cycle Channels of distribution 24
  25. Models That Help to Conceptualize the Buying Process Two very specific models that aid in understanding the buying process, as well as in framing communication are:- (1) A I D A Model (2) Hierarchy–of–effects model 25
  26. A I D A MODEL Attention (awareness) Interest Desire Action According to ‘AIDA’ model, A marketer should begin by winning attention or gaining awareness, creating interest, inspiring desire and precipitating the action for purchase, in the prospects in order to enable its product to be adopted by the target public. 26
  27. Hierarchy–of–effects model 27 Awareness Knowledge Liking Preference Conviction (Strong belief) Purchase
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