1. What is Integrated Marketing Communications?
Introduction to Marketing Communications L3
Prepared by: Brian Rutherford

2. Promotion Integrated Marketing Communications
Non-Personal Communications
Personal Communications
Seller
Buyer
Product
Place
Price
Promotion
Value
Planning
Executing

3. Promotion Integrated Marketing Communications Product Executing
Seller
Buyer
Product
Place
Price
Promotion
Value
Planning
Executing

4. Objectives Types of managers Communication Process Promotion
What is integrated marketing communications
Managing the marketing communication process

5. Definition
Promotion- is communicating information between seller and potential buyer or others in the channel to influence attitudes and behavior
Integrated marketing communications- the intentional coordination of every communication from a firm to a target customer to convey a consistent and complete message
Personal selling- involves direct spoken communication between sellers and potential customers
Mass selling- is communicating with large numbers of potential customers at the same time
(Source: Perreault and McCarthy and 386)

6. Managing the Marketing Communication Process
Types of Managers in the IMC Process
Sales managers- are concerned with managing personal selling
Advertising managers- manage their company’s mass-selling efforts
Sales promotion managers- manage their company’s sales promotion effort
(Source: Perreault and McCarthy)

7. Communication Process
Source
Encoding
Message
Channel
Decoding
Receiver
Noise
Feedback

8. Types of Communication
Marketing
Product
Promotion
Place
Price
Public Relations
Advertising
Personal Selling
Sales Promotion
Direct Marketing

9. Managing the Marketing Communication Process
Integrated marketing communications- the intentional coordination of every communication from a firm to a target customer to convey a consistent and complete message
Five basic features must be included in IMC
1) Start with the customer or prospect
2) Use relevant forms of contact
3) Achieve synergy
4) Build relationships
5) Affect behavior
(Source: Hoffman et al)

10. Managing the Marketing Communication Process
Eight Steps of Developing Effective Communications
1) Identify the Target Audience
2) Determine the Communication Objectives
3) Design the Message
4) Select the Communication Channels
5) Establish the Communications Budget
6) Deciding on the Marketing Communications Mix
(which promotional tools should be used)
7) Measuring Results
8) Manage Integrated Communications
(Source: Kotler)

11. Managing the Marketing Communication Process
Identify Target Audience
Determine Objectives
Design Message
Select Channels
Establish Budget
Decide on Media Mix
Measure Results
Manage
(Source: Kolter)

12. Managing the Marketing Communication Process
Six Primary Steps
1) Selecting target markets
2) Establishing objectives
3) Formulating a positioning strategy
(Design the Message/ Select the Communication Channels)
4) Setting the budget
5) Formulating and implementing message and media strategies
(Deciding on the Marketing Communications Mix)
6) Evaluating program effectiveness
(Measure Results/ Manage Integrated Communications)
(Source: Hoffman et al)

13. Managing the Marketing Communication Process
Identify the Target Audience
Company Image-
beliefs, ideas, and impressions a person holds regarding the company (Source: Kotler)
Brand Awareness-
whether a brand name comes to mind when consumers think about a particular product category and the ease with which the name is evoked (Source: Hoffman et al)
Brand Recognition
Brand Recall
Brand Image-
types of associations that come to the consumer’s mind when contemplating a particular brand
(Source: Hoffman et al)

14. Managing the Marketing Communication Process
Identify the Target Audience
Market segments-
are those segments of the market or submarkets that seek similar benefits from product usage, and that shop and buy in similar ways that are different from other market segments and submarkets
Consists groups of consumers who are alike based on some characteristics
Target markets-
are those market segments whose needs and demands a company seeks to serve and satisfy
(Source: Hoffman et al)

15. Managing the Marketing Communication Process
Determine the Communication Objectives
Hierarchy-of-effects model
Purchase
Purchase Intention
Attitude
Beliefs/Knowledge
Awareness
Unawareness

16. Managing the Marketing Communication Process
Determine the Communication Objectives
1) Inform
2) Persuade
3) Remind
(Source: Perreault and McCarthy)

17. Managing the Marketing Communication Process
Design the Message
AIDA Model
Attention
Hold Interest
Arouse Desire
Obtain Action
(Source: Perreault and McCarthy)

18. Managing the Marketing Communication Process
Design the Message
Message Content/Message Structure- appeal, theme, idea, or unique selling proposition
Rational appeal
Moral appeals
Emotional appeal
Message Format- layout, wording, quality
Message Source- Who is delivering the message
Principle of congruity- implies that communicators can use their good image to reduce some negative feeling toward a brand but in the process might lose some esteem with the audience
(Source: Kotler)

19. Managing the Marketing Communication Process
Select the Communication Channels
The communicator should select the most efficient channels to carry the message
Personal communication channels
Non-personal communication channels
(Source: Kotler)

20. Managing the Marketing Communication Process
Establish the Communications Budget
Top-down-Budgeting- senior management decides how much each subunit receives
Bottom-up budgeting- when managers of subunits determine how much is needed to achieve their objectives
Most budgeting practices involve a combination of top-down and bottom-up budgeting
(Source: Hoffman et al)

21. Managing the Marketing Communication Process
Establish the Communications Budget
Affordable Method- what they think they can afford
Percentage-of-Sales Method- specified percentage of sales
Competitive-Parity Method- achieve share-of-voice parity with competitors
Objective-and-Task Method-calls for marketers to develop promotion budgets by defining specific objectives, determining the tasks that must be performed to achieve these objectives, and estimating the costs of performing these tasks
(Source: Kolter)

22. Managing the Marketing Communication Process
Deciding on the Marketing Communications Mix
Personal Selling- is person-to-person communication in which a seller informs and educates prospective customers and attempts to influence their purchase choices
(Source: Hoffman et al)

23. Managing the Marketing Communication Process
Deciding on the Marketing Communications Mix
Personal Selling
Sales presentations
Sales meetings
Incentive programs
Samples
Fairs and trade shows
(Source: Kotler)

24. Managing the Marketing Communication Process
Deciding on the Marketing Communications Mix
Advertising- is non-personal communication that is paid for by an identified sponsor, and involves either mass communication via newspapers, magazines, radio, television, and other media or direct-to-consumer communication via direct mail
(Source: Hoffman et al)

25. Managing the Marketing Communication Process
Deciding on the Marketing Communications Mix
Advertising
Print and broadcast ads
Brochures
Billboards
Signs
Point-of-purchase displays ***
Symbols and logos
(Source: Kotler)

26. Managing the Marketing Communication Process
Deciding on the Marketing Communications Mix
Public Relations- communication with non-customers—including labor, public interest groups, stockholders, and the government
(Source: Perreault and McCarthy)
Publicity- like advertising, is non-personal communication to a mass audience, but unlike advertising, publicity is not directly paid for by the company that enjoys the publicity
(Source: Hoffman et al)

27. Managing the Marketing Communication Process
Deciding on the Marketing Communications Mix
Public Relations
Press kits
Charitable donations
Sponsorships
Community relations
Events
(Source: Kotler)

28. Managing the Marketing Communication Process
Deciding on the Marketing Communications Mix
Sales promotion- consists of all marketing activities that attempt to stimulate quick buyer action, or, in other words, attempt to promote immediate sales of a product
(Source: Hoffman et al)

29. Managing the Marketing Communication Process
Deciding on the Marketing Communications Mix
Sales Promotion
Contests, games, sweepstakes
Sampling
Fairs and trade shows
Exhibits
Coupons
Rebates
(Source: Kotler)

30. Managing the Marketing Communication Process
Deciding on the Marketing Communications Mix
Direct marketing- direct communication between a seller and an individual customer using a promotion method other than face-to-face personal selling
(Source: Perreault and McCarthy)

31. Managing the Marketing Communication Process
Deciding on the Marketing Communications Mix
Direct Marketing
Catalogs
Mailings
Telemarketing***
Electronic Shopping
TV Shopping
(Source: Kotler)

32. Managing the Marketing Communication Process
Measuring the Communication Results
How is the company doing?
Revenues
Expenses
How are consumers responding?
Outcomes

33. Managing the Marketing Communication Process
Managing the Integrated Marketing Communication process
Pre vs. Post implementation
Reevaluate steps one through eight to make sure they are inline as the marketing environment changes
Changes in the product life cycle
Changes in consumers (adoption process)
Push vs. Pull

34. Product Life Cycle Market Introduction Market Growth Market Maturity
Primary demand- demand for the general product idea
Not just for the company's own brand
Market Growth
Selective demand-for a company’s own brand
The main job is to persuade customers to buy and keep buying the companies products
Market Maturity
Products may require more aggressive personal selling and advertising
Strong brands can use reminder-type advertising
Sales Decline
Promotion decreases to cut costs
Promotion may increase to try to slow the cycle down
(Source: Perreault and McCarthy)

35. Product Life Cycle (Source: Hoffman et al)
Introduction
Growth
Maturity
Decline

36. Adoption Processes Innovators- first adaptors
Mobile and have many contacts
Early Adopters-well respected and often are the opinion leaders
Younger, mobile, and creative
Early Majority-avoid risk and wait to other have tried
Contact early adopter opinion leaders, salespeople, and use mass media
Late Majority- cautious of new ideas
Older and less likely to follow opinion leaders and early adopters
Laggards-prefer to do things the way they have been done in the past
Very suspicious of new ideas, older, and less educated
Low income and social status
(Source: Perreault and McCarthy)

37. Adoption Process (Source: Hoffman et al)
34%
16%
34%
13.5%
2.5%
Early Adopters
Early Majority
Late Majority
Innovators
Laggards

38. Push vs. Pull Strategies
Push- involves aggressive trade allowances and personal selling efforts to obtain distribution for a new brand through wholesalers and retailers. The brand is “pushed” through the channel system in the sense that there is a forward thrust from the manufacturer to the trade
(Source: Hoffman et al)
Manufacture
Wholesaler
Retailer
Consumer

39. Push vs. Pull Strategies
Pull- involves a relatively heavy emphasis on consumer-oriented advertising to encourage consumer demand for a new brand and thereby obtain retail distribution. The brand is “pulled” through the channel system in the sense that there is a backward tug from the consumer to the retailer
(Source: Hoffman et al)
Manufacture
Wholesaler
Retailer
Consumer