1. Integrated Marketing
Communication Strategy and Management
CHAPTER 6

2. AFTER READING THIS CHAPTER YOU SHOULD BE ABLE TO:
Describe the practice and framework of integrated marketing communications.
Explain the process of how buyers purchase an offering.
Select the appropriate communication approach based on an offering’s marketing strategy and life cycle.

3. AFTER READING THIS CHAPTER YOU SHOULD BE ABLE TO:
Describe the factors that influence the development of the integrated marketing communication mix.
Compare a push versus a pull communication strategy.
Describe the types of marketing websites.

4. AFTER READING THIS CHAPTER YOU SHOULD BE ABLE TO:
Identify the different approaches used to formulate a communications budget.
Discuss the mechanisms for evaluating and controlling the marketing communication process.

5. Achieve Postpurchase Satisfaction
MARKETING COMMUNICATION
Marketing communication is the process by which information about a firm and its offerings is disseminated to selected markets.
Its goals are to:
Induce Initial Trial
Achieve Postpurchase Satisfaction
Generate Repeat Sales

6. MARKETING COMMUNICATION
Communication informs buyers of the:
Availability of an offering
Unique benefits of the offering
Where and how to obtain and use the offering
The message should be:
Desirable to the Target Market
Exclusive to the Offering
Believable as to the Offering’s Benefits

7. Marketing Communication Mix
Personal Selling
Advertising
Sales Promotion
Direct Marketing
Public Relations

8. Marketing Communication Mix

9. MARKETING COMMUNICATION
Integrated marketing communication is the practice of blending different elements of the communication mix in mutually reinforcing ways to inform, persuade, and induce consumer action.
Examples:
Advertising
Develop offering awareness and comprehension
Personal Selling
Obtain final conviction and purchase
Sales Promotion
Increase purchase intention and induce actual purchase

10. INTEGRATED MARKETING COMMUNICATION STRATEGY FRAMEWORK
CHAPTER 6: INTEGRATED MARKETING COMMUNICATION STRATEGY AND MANAGEMENT
INTEGRATED MARKETING COMMUNICATION STRATEGY FRAMEWORK

11. INTEGRATED MARKETING COMMUNICATION STRATEGY DECISIONS
What are the info requirements of target markets?
What objectives must the communication strategy achieve?
How might the mix of communication activities be combined to convey information to target markets?
How much should be budgeted for communicating with target markets and how should resources be allocated among various communication activities?
How should the communication be timed and scheduled?
How should the communication process be evaluated?

12. INFORMATION REQUIREMENTS IN PURCHASE DECISIONS
CHAPTER 6: INTEGRATED MARKETING COMMUNICATION STRATEGY AND MANAGEMENT
INFORMATION REQUIREMENTS IN PURCHASE DECISIONS

13. Purchase Decision Roles
INFORMATION REQUIREMENTS IN PURCHASE DECISIONS
Purchase Decision Roles
Purchaser
Influencer
Decision Maker
Consumer
A person may play more than one role
In a joint purchase decision, the roles may be played by different individuals

14. Purchase Decision Roles
INFORMATION REQUIREMENTS IN PURCHASE DECISIONS
Purchase Decision Roles
The role consumers play is a prerequisite for successfully determining:
The communication message itself
To whom the message should be directed
How the message should be communicated

15. INFORMATION REQUIREMENTS IN PURCHASE DECISIONS
To communicate effectively, a marketer must know:
What
Information consumers think is necessary (price, location, size, etc.).
Consumers will seek it (newspapers, the Internet, friends, etc.).
Where
Consumers will seek it (how far in advance, on what days, etc.).
When
Consumers will apply the information obtained.
How

16. SETTING REASONABLE COMMUNICATION OBJECTIVES
CHAPTER 6: INTEGRATED MARKETING COMMUNICATION STRATEGY AND MANAGEMENT
SETTING REASONABLE COMMUNICATION OBJECTIVES

17. SETTING REASONABLE COMMUNICATION OJBECTIVES
Communication objectives depend on:
The offering-market strategies of the firm
The stage of the offering life cycle

18. Product or Market Development
SETTING REASONABLE COMMUNICATION OJBECTIVES
Communication objectives for product-market strategies:
Market Penetration
Product or Market Development
Emphasize more frequent offering usage
Stimulate awareness and trial of the offering
Build preference for or loyalty to the offering

19. SETTING REASONABLE COMMUNICATION OJBECTIVES
Communication goals for the offering life cycle:
Introduction
Growth/maturity
The message focuses on:
The message:
Introducing the benefits of an offering
Focuses on the benefits of a specific brand or offering
Differentiates the offering from competitive ones
Overcoming the objections to the offering

20. DEVELOPING AN INTEGRATED MARKETING COMMUNICATION MIX
CHAPTER 6: INTEGRATED MARKETING COMMUNICATION STRATEGY AND MANAGEMENT
DEVELOPING AN INTEGRATED MARKETING COMMUNICATION MIX

21. DEVELOPING AN INTEGRATED MARKETING COMMUNICATION MIX
Factors to consider when designing the communication mix are:
Information Requirements of Buyers
Nature of the Target Markets
Nature of the Offering
Capacity of the Organization

22. PUSH VERSUS PULL COMMUNICATION STRATEGIES
Push Strategy
Pull Strategy
Wholesalers
Retailers
Producer
Consumers
Wholesalers
Producer
Consumers
Retailers
The offering is pushed through a marketing channel to buyers in a sequential fashion
Buyers demand the product from intermediaries, pulling the offering through a marketing channel

23. PUSH VERSUS PULL COMMUNICATION STRATEGIES
Push Strategy
Concentrates on building relationships with channel intermediaries
Advertisements are likely to appear in trade journals and magazines
Sales aids and contests used as incentives to gain shelf space and distribution
Personal selling emphasized with wholesalers and retailers

24. PUSH VERSUS PULL COMMUNICATION STRATEGIES
Pull Strategy
Seeks to create initial interest for an offering among potential buyers who in turn demand it from intermediaries through the channel
Employs heavy consumer advertising, free samples, and coupons to stimulate consumer awareness and interest
Wholesalers and retailers must be willing and able to implement selling and sales promotion programs from manufacturers

25. MARKETING WEBSITES AND INTEGRATED MARKETING COMMUNICATIONS
CHAPTER 6: INTEGRATED MARKETING COMMUNICATION STRATEGY AND MANAGEMENT
MARKETING WEBSITES AND INTEGRATED MARKETING COMMUNICATIONS

26. Transactional Website
MARKETING WEBSITES AND IMC
Website
Is a place where a provider makes available information to Internet users
Marketing Website
Engages buyers/potential buyers in interactive communication to sell a firm’s offerings or move them closer to a purchase
Transactional Website
Is an electronic storefront that tries to convert online browsers into online buyers
Promotional Website
Promotes a firm’s offerings and provides information on how they are used and where they are purchased

27. Transactional Websites
MARKETING WEBSITES AND IMC
Transactional Websites
Feature well-known, branded offerings
Have a technological infrastructure designed to create a favorable shopping and buying experience
Are a form of direct distribution

28. MARKETING WEBSITES AND IMC
Promotional Websites
Engage visitors with an interactive experience involving games and contests
Provide prizes, such as electronic coupons
Generate awareness of, interest in, and trial of a firm’s offerings
Support a firm’s advertising program and traditional marketing channels
Are used for customer research and feedback

29. COMMUNICATION MIX BUDGETING
CHAPTER 6: INTEGRATED MARKETING COMMUNICATION STRATEGY AND MANAGEMENT
COMMUNICATION MIX BUDGETING

30. Fixed Dollar Amount per Offering Unit
COMMUNICATION MIX BUDGETING
Budgeting Approaches
Percentage of Sales
Most widely used approach
Past or anticipated sales are used as the basis
When sales rise, communication expenses rise
Simple to calculate
Which comes first—sales or communication?
Is not flexible or market-oriented
Fixed Dollar Amount per Offering Unit
Budget equals the per-unit allocation multiplied by the number of units expected to be sold
Used by durable-goods manufacturers

31. COMMUNICATION MIX BUDGETING
Budgeting Approaches
Competitive Parity
Uses advertising share of voice
Expressed as a percentage of total advertising by all competitors in a market at a point in time
Balances the firm’s and competitors’ communication expenses
Employed in introducing a new offering for which maximum exposure is desired
Used by nonprofit organizations
All Available Funds
Objective- Task
Objectives are set for a communication program
Costs are based on the tasks to achieve the goals

32. COMMUNICATION BUDGET ALLOCATION
A communication budget must be allocated across a firms’ communication tools
As a percentage of their communication budget:
Marketers of consumer products and services spend more for advertising
Marketers of industrial products and services spend more for personal selling

33. COMMUNICATION BUDGET ALLOCATION
Six types of mass media to be selected:
Television
Radio
Newspapers
Outdoor
Magazines
Internet

34. COMMUNICATION BUDGET ALLOCATION
Media timing strategies include:
Blitz Strategy
Concentrating advertising dollars in a relatively short time period when new products or services are introduced
Continuity Strategy
Spending advertising dollars over the long term to maintain continuity
Pulse Strategy
Concentrating its advertising but also attempts to maintain some semblance of continuity

35. EVALUATION AND CONTROL OF THE COMMUNICATION PROCESS
Continuously monitor the execution of any communication plan or strategy to ensure that the communication objectives (sales, profits, etc.) are being met
Use budgeting to add/delete funds for specific communication activities as a form of control
Use incremental analysis to evaluate and control advertising, personal selling, and expenditures

36. Major Advertising Appeals
Emotional Appeal:
Ad-Mercedes
Humor Appeal:
AXE Dark Temptation
Evidence Based:
Colgate Dentist
Music Appeal:
Musical commercial-Huggies

37. Major Advertising Appeals-Rational

38. All rights reserved. No part of this publication may be reproduced, stored in a retrieval system, or transmitted, in any form or by any means, electronic, mechanical, photocopying, recording, or otherwise, without the prior written permission of the publisher. Printed in the United States of America.