Integrated Marketing Communications Report
Content
CHERYLEE G. ARTATES BA 208A
What is IMC?
Integrated Marketing Communications is a simple concept. It ensures that all forms of communications and messages are carefully linked together.
Publicity Sales promotion Packaging Direct response Interactive marketing
Point of purchase Special Events Public relations
Packaging
Sales promotion
Direct response
Media Advertising
Media Point of Adverpurchase tising Publicity Interactive marketing Direct marketing
Public relations
Special events
Direct marketing
Traditional Approach to Marketing Communications
Contemporary IMC Approach
AIDA Model
A - Attention (Awareness): attract the attention of the customer. I - Interest: raise customer interest by focusing on and demonstrating advantages and benefits (instead of focusing on features, as in traditional advertising). D - Desire: convince customers that they want and desire the product or service and that it will satisfy their needs. A - Action: lead customers towards taking action and/or purchasing
C2, Spa in a bottle campaign
Launched in 2004, when the beverage industry was highly dominated by cola companies, iced tea was just a sugary brown drink served bottomless in restaurants and RP not being a tea drinking country. URC positioned C2 to target the evolving health and wellness industry consumers by introducing C2 as ‘a drink that cools and clean; one that refreshes and gives the benefit of green tea.
Promotional Elements used in IMC
ADVERTISING
Impersonal, one-way mass communication about a product or organization that is paid for by a marketer.
Advertising
Advertising Media
Traditional Advertising Media Electronic Advertising Media
Television Radio Newspapers Magazines Books Direct mail Billboards Transit cards
Internet Computer modems Fax machines
Advertising
Types of ADVERTISING
INSTITUTIONAL ADVERTISING - Advertising whose purpose is to
promote the image of a corporation rather than the sale of a product or service. This advertising is also used to create public awareness of a corporation or to improve its reputation in the marketplace.
Advertising
Types of ADVERTISING
PRODUCT ADVERTISING - The promotion of a particular good or service
that is designed to increase demand.
Advertising
Ways to Determine an Appropriate Advertising Budget
o
Objectives and Task Approach - Advertising expense budgeting
method based on the (1) results to be achieved, (2) strategies and tactics required to achieve those results, and (3) costs associated with those strategies and tactics. See also adaptive control method, affordable method, competitive parity method, and percentage of sales method.
o
Percentage of Sales Approach - Advertising expense budgeting
method based on allocating a fixed percentage (say 5%) of the anticipated sales revenue to advertising. It is based on the erroneous assumption that "sales cause advertising" whereas the reality is just the opposite (advertising causes sales).
o
Competitive Matching Approach – Involves firms attempting to
match major competitor’s advertising expenditures.
o
Arbitrary Approach – Based on intuition and personal experience.
Advertising
Public Relations
The marketing function that evaluates public attitudes, identifies areas within the organization that the public may be interested in, and executes a program of action to earn public understanding and acceptance.
Public Relations
Public Relations Methods
News or Press Releases Feature Articles White Papers Press Conferences Lobbying Investor Relations Employee Relations Event Sponsorship Product Placement
Public Relations
News (or Press) Release
Is a few pages of type written copy – typically fewer than 300 words – used to draw attention to a company event, product or person affiliated with the firm. News releases can be submitted to newspapers, magazines, TV contacts, suppliers, key customers or even the firm’s employees.
Public Relations
Feature Articles
Is a manuscript of up to 3,000 words prepared for a specific purpose or target audience.
Public Relations
White Papers
They are similar to Feature Articles, but are more technical in focus on very specific topics of interest to the firm’s stakeholders.
Public Relations
Press Conferences
Is a meeting with news media called to announce or respond to major events.
Public Relations
Lobbying
The goal of lobbying is to attempt to influence legislators or government officials, usually to defeat or promote a legislation that can have an effect on a firm’s operation or marketing activities.
Public Relations
Investor Relations
Involves maintaining positive relationships with shareholders and the entire financial community, including trading exchanges, brokerage firms and the financial industry press.
Employee Relations
Involves maintaining positive relationships with shareholders and the entire financial community, including trading exchanges, brokerage firms and the financial industry press.
Public Relations
Event Sponsorship
Event sponsorship is a mutually advantageous relationship between people or organizations in which the sponsor provides benefits for the sponsored in exchange for an association with a sport, event, facilities or sport participants. In general, sponsorship can be illustrated as a mutually beneficial business relationship between two parties being named as sponsor (usually companies) and sponsored.
Public Relations
Product Placement
An advertising technique used by companies to subtly promote their products through a non-traditional advertising technique, usually through appearances in film, television, or other media. Product placements are often initiated through an agreement between a product manufacturer and the media company in which the media company receives economic benefit. A company will often pay a fee to have their product used, displayed, or significantly featured in a movie or show.
Public Relations
Personal Selling and Sales Management
PERSONAL SELLING – is paid personal communication that attempts
to inform customers about products and persuade them to purchase those products.
Personal Selling
Sales Management Process
Developing the Sales Force Objectives – Sales Objectives
will determine the type of salespeople that the firm needs to hire.
Determining Sales Force Size – The size of the sales force is
important because the firm must find a balance between sales expenses and revenue generation.
Recruiting Sales People – Firms usually recruit potential salespeople
from a number of sources including within the firm, competing firms, employment agencies, educational institutions and direct response advertisements.
Training the Sales Force – Sales training programs usually concentrate
on the company, its culture, its products, and on effective selling methods.
Controlling and Evaluating the Sales Force – Requires the
comparison of sales objectives with actual sales performance. Without a formal evaluation and control system, the firm will not be able to determine whether its performance targets have been met.
Public Relations
Impact of Technology on Personal Selling
One of the keys of using technology effectively is to seamlessly integrate it with customer relationship management systems, competitive intelligence activities, and internal customer databases.
Personal Selling
Sales Promotion
Is any activity or object that adds value to the buyer and acts as an incentive or inducement to purchase. Sales promotion can be targeted toward consumers, channel intermediaries, or the sales force.
It is the broadest among the promotional elements as it includes all communication activities other than advertising, public relations and personal selling.
One universal goal which is to induce product trial and purchase.
Sales Promotion
Sales Promotion in Consumer Markets
Coupons – reduce the price of a product and encourage customers to try new or
established brands.
Rebates – offer firms to entice customers to purchase with only a minimal
loss of profit.
Samples – Samples stimulate trial of a product, increase volume
early in the early stages of the product’s life cycle, and encourage consumers to actively search for a product.
Loyalty Programs – reward regular customer for repeat purchases.
Point of Purchase Promotions – (P-O-P) Premiums – these are items offered free as a bonus for purchasing a product. Contests and Sweepstakes – encourage customers to compete
One type of P-O-P is an in-store product demo.
for prizes.
Sales Promotion
Sales Promotion in Business Markets
Trade Allowances - Discount offered by producers or marketers to
distribution channel members (distributors, wholesalers, retailers) usually as a shortterm promotional incentive. Its objective is to effect a lower retail price to stimulate sales. Buying Allowances. Also, Bulk discount. Buy Back Allowance. The agreed upon sum of money that is offered by a seller of an item or service should the purchaser either return the item or be unhappy with the service that was received. Merchandise Allowance. Sales promotion incentive scheme under which a manufacturer or distributor reduces the wholesale price of a good as a compensation for a retailer’s special promotion effort.
Free Merchandise – are being offered instead of quantity discounts to
reduce invoice costs as a way of compensating the intermediary for other activities that assist the manufacturer.
Training Assistance – are being offered when products are more complex. Cooperative Advertising - is an agreement between two or more
marketers with complementary products to promote each other’s products with their own. Contests.
Selling Incentives – the two general forms are: Push Money and Sales Sales Promotion
Six Steps in Crafting an effective IMC Program
Set Goals - Clear objectives give your communication plan focus. Don't be too soft on yourself - set
quantifiable goals such as "increase revenue by 10% each year". This will motivate you and will make sure you focus on those activities that add the most to your bottom line.
Strengthen Your Identity - The identity of your business is expressed through it's logo, slogan
and use of colours. Make sure all these things really fit your business and are used consistently on flyers, business cards, your website and any other marketing materials. It's best to use a single slogan and make sure that your logo fits the colour schemes you use.
Think Your Message Through - You should think well about the things you want to
communicate to your customers and stakeholders. What is important for them, what benefits are they especially interested in, how do you want them to perceive your business? Then include all this information in a brochure, your website or in any other content-based marketing tool. By giving people an opportunity to learn about your business, you will develop their trust in your solutions and this is crucial to get the sale.
Be Top of Mind - Awareness and visibility are at the core of the process of attracting new clients.
Through free publicity, ads, direct mail campaigns and your website, you make your position in the market stronger. It is important, however, that your communication efforts target the right audience - those people that are going to buy your services and products. It's only useful to be visible if your message and approach are consistent and add to your bottom line.
Create Connections - Often even more important than attracting new customers is making
sure you keep your current ones. Start an online newsletter to let past clients know you're still there, and to let them know about special offers and news about your business. A regular, well thought out newsletter reinforces the impression that your company is serious, trustworthy and consistent.
Draw Up a Budget and Time-line - As time progresses, things will change for your
business, but if you have a plan with goals, means and a budget it will help you stay focused and get things done.
* Donnelly,
ed.
James, et.al. MARKETING MANAGEMENT
* Kotler, et.al. MARKETING MANAGEMENT, 14th * www.netmba.com * www.ezinearticles.com * www.multimediamarketing.com * www.youtube.com
*
THANK YOU!
What is IMC?
Integrated Marketing Communications is a simple concept. It ensures that all forms of communications and messages are carefully linked together.
Publicity Sales promotion Packaging Direct response Interactive marketing
Point of purchase Special Events Public relations
Packaging
Sales promotion
Direct response
Media Advertising
Media Point of Adverpurchase tising Publicity Interactive marketing Direct marketing
Public relations
Special events
Direct marketing
Traditional Approach to Marketing Communications
Contemporary IMC Approach
AIDA Model
A - Attention (Awareness): attract the attention of the customer. I - Interest: raise customer interest by focusing on and demonstrating advantages and benefits (instead of focusing on features, as in traditional advertising). D - Desire: convince customers that they want and desire the product or service and that it will satisfy their needs. A - Action: lead customers towards taking action and/or purchasing
C2, Spa in a bottle campaign
Launched in 2004, when the beverage industry was highly dominated by cola companies, iced tea was just a sugary brown drink served bottomless in restaurants and RP not being a tea drinking country. URC positioned C2 to target the evolving health and wellness industry consumers by introducing C2 as ‘a drink that cools and clean; one that refreshes and gives the benefit of green tea.
Promotional Elements used in IMC
ADVERTISING
Impersonal, one-way mass communication about a product or organization that is paid for by a marketer.
Advertising
Advertising Media
Traditional Advertising Media Electronic Advertising Media
Television Radio Newspapers Magazines Books Direct mail Billboards Transit cards
Internet Computer modems Fax machines
Advertising
Types of ADVERTISING
INSTITUTIONAL ADVERTISING - Advertising whose purpose is to
promote the image of a corporation rather than the sale of a product or service. This advertising is also used to create public awareness of a corporation or to improve its reputation in the marketplace.
Advertising
Types of ADVERTISING
PRODUCT ADVERTISING - The promotion of a particular good or service
that is designed to increase demand.
Advertising
Ways to Determine an Appropriate Advertising Budget
o
Objectives and Task Approach - Advertising expense budgeting
method based on the (1) results to be achieved, (2) strategies and tactics required to achieve those results, and (3) costs associated with those strategies and tactics. See also adaptive control method, affordable method, competitive parity method, and percentage of sales method.
o
Percentage of Sales Approach - Advertising expense budgeting
method based on allocating a fixed percentage (say 5%) of the anticipated sales revenue to advertising. It is based on the erroneous assumption that "sales cause advertising" whereas the reality is just the opposite (advertising causes sales).
o
Competitive Matching Approach – Involves firms attempting to
match major competitor’s advertising expenditures.
o
Arbitrary Approach – Based on intuition and personal experience.
Advertising
Public Relations
The marketing function that evaluates public attitudes, identifies areas within the organization that the public may be interested in, and executes a program of action to earn public understanding and acceptance.
Public Relations
Public Relations Methods
News or Press Releases Feature Articles White Papers Press Conferences Lobbying Investor Relations Employee Relations Event Sponsorship Product Placement
Public Relations
News (or Press) Release
Is a few pages of type written copy – typically fewer than 300 words – used to draw attention to a company event, product or person affiliated with the firm. News releases can be submitted to newspapers, magazines, TV contacts, suppliers, key customers or even the firm’s employees.
Public Relations
Feature Articles
Is a manuscript of up to 3,000 words prepared for a specific purpose or target audience.
Public Relations
White Papers
They are similar to Feature Articles, but are more technical in focus on very specific topics of interest to the firm’s stakeholders.
Public Relations
Press Conferences
Is a meeting with news media called to announce or respond to major events.
Public Relations
Lobbying
The goal of lobbying is to attempt to influence legislators or government officials, usually to defeat or promote a legislation that can have an effect on a firm’s operation or marketing activities.
Public Relations
Investor Relations
Involves maintaining positive relationships with shareholders and the entire financial community, including trading exchanges, brokerage firms and the financial industry press.
Employee Relations
Involves maintaining positive relationships with shareholders and the entire financial community, including trading exchanges, brokerage firms and the financial industry press.
Public Relations
Event Sponsorship
Event sponsorship is a mutually advantageous relationship between people or organizations in which the sponsor provides benefits for the sponsored in exchange for an association with a sport, event, facilities or sport participants. In general, sponsorship can be illustrated as a mutually beneficial business relationship between two parties being named as sponsor (usually companies) and sponsored.
Public Relations
Product Placement
An advertising technique used by companies to subtly promote their products through a non-traditional advertising technique, usually through appearances in film, television, or other media. Product placements are often initiated through an agreement between a product manufacturer and the media company in which the media company receives economic benefit. A company will often pay a fee to have their product used, displayed, or significantly featured in a movie or show.
Public Relations
Personal Selling and Sales Management
PERSONAL SELLING – is paid personal communication that attempts
to inform customers about products and persuade them to purchase those products.
Personal Selling
Sales Management Process
Developing the Sales Force Objectives – Sales Objectives
will determine the type of salespeople that the firm needs to hire.
Determining Sales Force Size – The size of the sales force is
important because the firm must find a balance between sales expenses and revenue generation.
Recruiting Sales People – Firms usually recruit potential salespeople
from a number of sources including within the firm, competing firms, employment agencies, educational institutions and direct response advertisements.
Training the Sales Force – Sales training programs usually concentrate
on the company, its culture, its products, and on effective selling methods.
Controlling and Evaluating the Sales Force – Requires the
comparison of sales objectives with actual sales performance. Without a formal evaluation and control system, the firm will not be able to determine whether its performance targets have been met.
Public Relations
Impact of Technology on Personal Selling
One of the keys of using technology effectively is to seamlessly integrate it with customer relationship management systems, competitive intelligence activities, and internal customer databases.
Personal Selling
Sales Promotion
Is any activity or object that adds value to the buyer and acts as an incentive or inducement to purchase. Sales promotion can be targeted toward consumers, channel intermediaries, or the sales force.
It is the broadest among the promotional elements as it includes all communication activities other than advertising, public relations and personal selling.
One universal goal which is to induce product trial and purchase.
Sales Promotion
Sales Promotion in Consumer Markets
Coupons – reduce the price of a product and encourage customers to try new or
established brands.
Rebates – offer firms to entice customers to purchase with only a minimal
loss of profit.
Samples – Samples stimulate trial of a product, increase volume
early in the early stages of the product’s life cycle, and encourage consumers to actively search for a product.
Loyalty Programs – reward regular customer for repeat purchases.
Point of Purchase Promotions – (P-O-P) Premiums – these are items offered free as a bonus for purchasing a product. Contests and Sweepstakes – encourage customers to compete
One type of P-O-P is an in-store product demo.
for prizes.
Sales Promotion
Sales Promotion in Business Markets
Trade Allowances - Discount offered by producers or marketers to
distribution channel members (distributors, wholesalers, retailers) usually as a shortterm promotional incentive. Its objective is to effect a lower retail price to stimulate sales. Buying Allowances. Also, Bulk discount. Buy Back Allowance. The agreed upon sum of money that is offered by a seller of an item or service should the purchaser either return the item or be unhappy with the service that was received. Merchandise Allowance. Sales promotion incentive scheme under which a manufacturer or distributor reduces the wholesale price of a good as a compensation for a retailer’s special promotion effort.
Free Merchandise – are being offered instead of quantity discounts to
reduce invoice costs as a way of compensating the intermediary for other activities that assist the manufacturer.
Training Assistance – are being offered when products are more complex. Cooperative Advertising - is an agreement between two or more
marketers with complementary products to promote each other’s products with their own. Contests.
Selling Incentives – the two general forms are: Push Money and Sales Sales Promotion
Six Steps in Crafting an effective IMC Program
Set Goals - Clear objectives give your communication plan focus. Don't be too soft on yourself - set
quantifiable goals such as "increase revenue by 10% each year". This will motivate you and will make sure you focus on those activities that add the most to your bottom line.
Strengthen Your Identity - The identity of your business is expressed through it's logo, slogan
and use of colours. Make sure all these things really fit your business and are used consistently on flyers, business cards, your website and any other marketing materials. It's best to use a single slogan and make sure that your logo fits the colour schemes you use.
Think Your Message Through - You should think well about the things you want to
communicate to your customers and stakeholders. What is important for them, what benefits are they especially interested in, how do you want them to perceive your business? Then include all this information in a brochure, your website or in any other content-based marketing tool. By giving people an opportunity to learn about your business, you will develop their trust in your solutions and this is crucial to get the sale.
Be Top of Mind - Awareness and visibility are at the core of the process of attracting new clients.
Through free publicity, ads, direct mail campaigns and your website, you make your position in the market stronger. It is important, however, that your communication efforts target the right audience - those people that are going to buy your services and products. It's only useful to be visible if your message and approach are consistent and add to your bottom line.
Create Connections - Often even more important than attracting new customers is making
sure you keep your current ones. Start an online newsletter to let past clients know you're still there, and to let them know about special offers and news about your business. A regular, well thought out newsletter reinforces the impression that your company is serious, trustworthy and consistent.
Draw Up a Budget and Time-line - As time progresses, things will change for your
business, but if you have a plan with goals, means and a budget it will help you stay focused and get things done.
* Donnelly,
ed.
James, et.al. MARKETING MANAGEMENT
* Kotler, et.al. MARKETING MANAGEMENT, 14th * www.netmba.com * www.ezinearticles.com * www.multimediamarketing.com * www.youtube.com
*
THANK YOU!
