Marketing Communications

Marketing Communication Process by which information about an organization and its offerings is disseminated to selected markets. Process by which information about an organization and its offerings is disseminated to selected markets.

Goals of Mkt Communication Create awareness Create awareness Induce initial purchase Induce initial purchase Improve post purchase satisfaction Improve post purchase satisfaction

Purpose MarComm necessary to inform buyers of: MarComm necessary to inform buyers of: – Availability of offerings – Unique benefits of offerings – Where and how to obtain offerings – Where and how to use offerings

MarComm Mix Advertising Advertising Personal Selling Personal Selling Sales Promotions Sales Promotions

Integrated MarComm Practice of blending the communication mix elements in mutually reinforcing ways. Practice of blending the communication mix elements in mutually reinforcing ways.

Making IMC Work IMC strategy objectives IMC strategy objectives Target Marketing information requirements Target Marketing information requirements Can some communication activities be combined Can some communication activities be combined Budget and resource allocations Budget and resource allocations Timing and Scheduling Timing and Scheduling Evaluation Evaluation

Reasonable Communication Objectives Build Primary Demand Build Primary Demand – Demand for the product class Build Secondary Demand Build Secondary Demand – Demand for a particular brand

Reasonable Communication Objectives: Requirements Consistent Consistent Quantifiable Quantifiable Attainable Attainable

Info Requirements How buyers purchase a particular offering How buyers purchase a particular offering Role of info in the purchase process with your target buyers Role of info in the purchase process with your target buyers Current perceptions buyers have of the firm and its offering Current perceptions buyers have of the firm and its offering Sources current accessed by buyers Sources current accessed by buyers

Purpose of Comm Mix Elements Advertising Advertising – Creating awareness Salespeople Salespeople – Providing information – Developing relationships Sales promotions Sales promotions – Enticing short-term behavior changes – Enhancing long-term behavior changes – Providing descriptions

When Each is Useful Advertising – Offering not complex – Offering frequently purchased – Offering relatively inexpensive – Offering can be differentiated from competition – Market is mass and geographically scattered

When Each is Useful Personal Selling – Product is relatively expensive – Benefits not readily apparent – Only true method to develop relationships – Small number of buyers in close proximity – Buyers purchase typically in large quantities

When Each is Useful Sales Promotions – Useful with most any offering type – Wonderful for encouraging trial purchases

IMC & Web Sites Transactional Sites Transactional Sites – Focus on turning online browser to online buyers – Good for well-known, branded products – Can provide favorable shopping & buying experiences Promotional Sites Promotional Sites – Good for promoting products – Providing info about how and where to purchase products – Can be used to create a buzz (word of mouth)

IMC & Web Sites Viral Sites Viral Sites – Encourage users to forward marketer-initiated messages to others via – Very good for generating referrals

Common Budgeting Methods Percentage of Sales – Most commonly used Per Unit – Set amount per expected unit sold Competitive Parity – Spend same at the competition or relatively the same All Available Funds Objective-Task

Advertising Media Television Television Radio Radio Magazines Magazines Newspapers Newspapers Billboards Billboards Internet Internet

Choosing the Media: Considerations Cost Reach Frequency Audience Characteristics Purpose of the Advertisement Product needs Editorial climate