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10
The marketing
communications plan
LEARNING OBJECTIVES
By the end of this chapter you will be able to:
M Write an outline marketing communications plan
M Understand the importance of gathering intelligence and research for the situation
analysis before writing the rest of the plan
M Explore strategy, knowing that it is an area of weakness for most organizations
M Establish control systems
8 Arbitration requires a senior member of e-mail marketing, social media and mobile market-
staff to arbitrate between different views ing). It is likely that search and mobile will take a
of the marketing team and the rest of the larger portion of the budget.
business.
M Community building and social networking. marketing communications plan must keep the focus
Nurture a community – Ning and LinkedIn. on communications aspects such as performance
(20 hours per week) (identifying which elements of the communications
mix work best), target markets and positioning.
So SOSTAC® + 3Ms works for any type of product It should certainly include an explanation of the
or service in both consumer and business-to-business product or service’s positioning – how the product
markets, as demonstrated in the short case studies is perceived in the minds of the target market.
used in this book. Although the case studies provide Lucozade was positioned as a sick child’s drink until
only an outline plan, they show how easily SOSTAC® the marketing people saw a bigger opportunity and
can be applied to either planning the overall mar- repositioned it as a healthy adult’s drink. Perceptual
keting communications or just planning a campaign maps plot where different brands and product
for a single communications tool such as direct types are positioned on certain criteria, as shown
mail. In reality, the plan would cover a lot more in Figure 10.1.
detail. Consider now each SOSTAC® component in The situation analysis can include a PEST analysis
more detail. specifically relevant to communications, eg political
(what new laws or regulations affect communica-
tions); how economic fluctuations might affect
media and messages; social trends and changes in
Situation analysis attitudes and media usage; and technology’s fast-
changing impact on communications.
The situation analysis needs to be comprehensive.
A vital part of any analysis is the market and its
Over 2,000 years ago Sun Tzu wrote The Art of
structure. How is it segmented? What are the most
War (Wing, 1989), which has become a classic read,
suitable segments that can become target markets?
particularly for some enlightened marketing man-
Are the target markets big enough? Are they profit-
agers. Here is an excerpt:
able enough? Are they vulnerable to competition?
Those who triumph, Do the existing distribution and communications
Compute at their headquarters channels serve them properly? Are customers satis-
A great number of factors fied in each target market? Do they intend to repur-
Prior to a challenge. chase? Who is involved in the decision-making unit
(DMU)? Do the key opinion leaders and opinion
Those who are defeated,
formers support the brand?
Compute at their headquarters
A small number of factors
Prior to a challenge.
Segmentation and target
Much computation brings triumph.
Little computation brings defeat.
marketing
How much more so with no computation at all. Segmentation and target marketing are so important
that they appear almost everywhere in a marketing
By observing only this,
plan: in the situation analysis in detail, in the objec-
I can see triumph or defeat.
tives briefly and in the strategy (as a fundamental
The analysis should include a review of the per- component); they are also referred to in all tactical
formance (sales, market share and profitability) campaigns and events.
during the most recent period. Comparisons with Target marketing involves the division of a large
previous years reveal any trends, and comparisons market into smaller market segments. Each segment
against competitors reveal relative performance. has its own distinct needs and/or its patterns of
The analysis should include a summary review of response to varying marketing mixes. The most
the overall marketing performance, the marketplace, attractive segments are targeted according to the
the competition, and strengths and weaknesses. The organization’s resources. Attractive target markets
marketing communications plan does not require are those that will generally be more profitable, eg
a full SWOT analysis, which is usually found in segments located closer to the organization, or loyal
the full marketing plan. The situation analysis in the customer groups, or heavy users of a particular
230 Part 1 Communications Background and Theories
Sick Healthy
Children
product or service. Targeting reduces wastage of M Accessible. Can this group be contacted?
resources (eg money spent on mass advertising) and, Can they be isolated or separated from other
ultimately, it increases sales, since better-prospect non-targeted markets? Are there specific
customers are contacted. Segmentation and target media and distribution channels that provide
marketing are absolutely fundamental approaches access to them?
to marketing. Some communication channels are M Relevant. The benefits of the product or
more wasteful than others, eg TV, but the Target service being offered must be relevant to the
Group Index (TGI) (see Chapter 6) helps to identify target. There is no point picking measurable,
what kind of brands people buy, the papers they accessible and substantial segments if they
read, the programmes they watch, etc. As mass have no interest in what is being offered in
markets fragment and splinter into mini-markets or the first place. Know your own customers.
segments, and technology provides more tailored Knowing the ideal customer’s profile is
communications, there is less requirement for mass fundamental to success. Some database
marketing and mass communications. The ability companies actually carry out ‘profiling’
to segment a market accurately is a key skill that or an analysis of an organization’s own
marketers need to spend time on again and again, customers into groups with distinctive
revisiting their marketplace and thinking about how profiles. This helps in targeting the
it can be broken into segments. appropriate message through the
appropriate medium.
Segment criteria
Ideally, segments should satisfy the following criteria:
M Measurable. Is it quantifiable? Can buyers
who fall into this category or segment be £50 Rembrandt
identified?
M Substantial. How many buyers fall into A Rembrandt probably would not sell (even for £50)
this segment? Is there a sufficient number in the wrong target market, whereas in the right
of buyers in the segment to warrant special target market it would fetch several million pounds.
attention and targeting?
Chapter 10 The Marketing Communications Plan 231
50+ trips 5–50 trips <5 trips Top travel Other travel
per annum per annum per annum agents agents
Hamper
Boxed Boxed
and boxed Mailing Mailing
mailing mailing
mailing
classic sports car collection was aimed at ABC1 to go?’ Ideally objectives should be quantified in terms
fathers aged between 25 and 64 with children aged of success or failure criteria. Timescales should also
three to nine; within this they also had to ensure be set. Clearly defined objectives make the manage-
high coverage of high-mileage drivers (heavy users). ment task of control much easier. Drawing up ob-
Other markets have customers who drift into the jectives for the first time is a difficult task. In future
marketplace and then out again, as in the case of years, the previous year’s objectives and correspond-
financial services. ing results will help to make the planning job a little
However, sophisticated technology can help the easier, as everyone has a better idea of what is real-
marketer today by adding new segmentation variables istic and what is not. Establishing clear objectives
on top of the traditional variables. For example, it is necessary to give a focus to the organization or
will be possible to segment buyers by their brand division. Clear objectives also give direction to sub-
purchases and their stockholding (in the fridge) as sequent creative efforts. Some marketing managers
well as the usual age, income and geographic crite- and agencies break objectives into many different
ria. Infomediaries (owners of information), such as types; other marketers use just one set of objectives
manufacturers of fridge-freezers with inbuilt online (and sometimes without quantification or numbers
capacity to reorder automatically when products attached). As a discipline it is useful to break up
are taken out of the fridge, hold valuable data about objectives so that performance can be measured
customers’ stock levels. If consumers agree to share more accurately. Objectives should be SMART:
this information with other third parties, this opens
up interesting segmentation opportunities. For ex- S – specific
ample, Pepsi might like to make a special offer to a M – measurable
ripe segment like Coca-Cola consumers who are out
A – actionable
of stock. It’s worth considering how this might apply
in the B2B sector, eg office stationery or software R – realistic
supplied by an intermediary. T – time specific
Low-quality High-quality
mass market upmarket
Objectives can cover a variety of goals. It is useful Marketing communications strategies are hard to
to separate marketing objectives from marketing find. Often the strategy is retrospective in so far as
communications objectives. Detailed, specific objec- the tactics are planned and then a strategy is created
tives ensure that the subsequent choice of strategy is to make sense of the tactics. This is far from ideal.
clearly focused. One aide-mémoire for the components of marketing
communications strategy is STOP & SIT:
Segmentation (how is the market broken up?)
Strategy Target markets (what target markets are chosen
plus who is the ‘ideal customer’?)
Strategy summarizes ‘how we get there’ – how the
objectives will be achieved. Strategy drives tactics Objectives (strategy must fulfil objectives)
in the same direction. Strategy summarizes tactics. Positioning (of the product or service, which
Communications strategy helps to harmonize and also drives the overall proposition)
integrate all of the tactical communications tools.
Communications strategy can include selection of and
target markets, positioning, selection of communi- Stages (is there a sequence or series of stages?)
cations tools, sequence of communications tools
(are different tools used at different stages?), and Integration (does it all integrate smoothly,
more. perhaps through a database?)
Tools (TV, opt-in e-mail, PPC or social media,
etc? Or, if you are considering using a social
Most of us are afraid of strategy... media strategy, you should state clearly
whether you build your own network or
‘. . . because we don’t feel confident outlining one use someone else’s)
unless we’re sure it’s going to work.’ Ideally the communications strategy should succinctly
Godin (2009) answer all of these questions. Objectives, by the
way, don’t have to be regurgitated, but do keep an
236 Part 1 Communications Background and Theories
eye on them, as any strategy that ignores objectives sales, generate revenues and justify their existence.
is a waste of time. Razor-sharp strategies are re- So seemingly self-indulgent navel gazing such as
quired now more than ever before. A lot of people strategic contemplation may not always appear
work very long hours, and they are very loyal and worthwhile – in the immediate term. But, beyond
committed people, but if the strategy is wrong all the immediate term, a good strategy will reap
that hard tactical work is wasted. many benefits.
Smith, Berry and Pulford (1999)
Here are five examples of marketing communica-
‘There’s no point rowing harder if you’re rowing in tions strategy taken from Smith, Berry and Pulford’s
the wrong direction.’ Strategic Marketing Communications (1999), each
Ohmae (2000) demonstrating a very different approach:
M Tupperware marketing communications
strategy. ‘A multimillion-dollar direct-
Positioning is strategic. Careful analysis is required response campaign… the company
to find a positioning that is actually needed by maintained its personal selling approach but
customers, that is not delivered by the competition modified its party format to accommodate
and ideally that the organization can genuinely the increasing limitations for working
deliver better than competitors. Some brands may women… installed a toll-free number to link
be strategically positioned to fill different gaps in customers to a local dealer… catalogues were
the marketplace. Getting it wrong can destroy a originally available only for dealers, hosts
business, and getting it right can save a business. and hostesses, they were made accessible
to everyone and reached 30 million people’
(adapted from Engel, Warshaw and
Kinnear, 1994).
Radical repositioning strategy: Reebok M IBM insurance marketing communications
reposition from fashion to action strategy. Position the business as a solution
provider that fully understands client needs
Adidas repositioned Reebok from ‘fashion’ to and is easily able to provide complete and
‘action’. It’s previous positioning as street-cred successful solutions. All communications
fashion with endorsements by rappers like Jay-Z reinforce the company’s unique capability,
and 50 Cent is being changed to ‘sports which combines marketing and IT in an
performance’.
integrated manner. The key target group is
‘European insurers with medium to large
WARC (2006)
customer bases (usually over 1 million)’.
All communications are below the line,
editorially driven, and drawn from sound
Developing good marketing communications strat- research into leading-edge solutions. The
egies requires careful consideration. Although occa- published papers are used across a series
sionally frustrating, it is worthwhile because: of public conferences, own conferences
and training awareness days, along with
developing marketing communications strategies a constant media relations campaign.
delivers many benefits. It is important to remember
this because developing and agreeing strategic M ETC human resource company’s marketing
decisions costs time, money and energy. Many communications strategy. A client
marketers have an inner urge to get on with the relationship strategy focusing on a few key
job, get creative, develop wonderful advertising sectors (industry, health, local government
campaigns, wacky sales promotions, delightful and financial services) instead of the previous
new sales literature, sensational exhibition stands machine-gun (broad advertising) approach.
and more. Other marketers are under pressure Direct mailings and seminar events aimed
to get out and talk to customers, bring in some at key opinion formers developed through
Chapter 10 The Marketing Communications Plan 237
Advertising
– TV
– Press
– PPC
Social media
– Blog
– YouTube
– Facebook
Website
– SEO
– Inbound links
Sales promotion
– Sample drop
– Competition
– Collection
Direct marketing
– Mailshot
– Telesales
Publicity (and
public relations)
Sponsorship
Exhibitions
Packaging
Point-of-sale and
merchandising
Internet
Word of mouth
– Viral marketing
– CRM NGN
Any kind of project planning can be used here, systems (see Chapter 17), the responses can be
whether critical path or just a Gantt chart. A detailed routed to an inbound telesales team, who filter
project plan is required for each tactical communi- respondents, rank them in terms of urgency, size
cations tool. For example, the production of a and location, and pass the enquiry to a relevant
mailshot can be as shown in Figure 10.5. salesperson or dispatch further information and
This is just for one mailing. More detailed update the database for future activities. All of this
planning is required if there is a series of mailings. requires careful planning to ensure sufficient re-
The response handling also needs to be planned sources are available to make the strategies and
carefully. With hybrid and automated marketing tactics actually happen.
Chapter 10 The Marketing Communications Plan 239
Wk Wk Wk Wk Wk Wk Wk Wk Wk Wk Wk Wk
1 2 3 4 5 6 7 8 9 10 11 12
Creative brief X
List brief X
List proposal X
Visual concepts X
Visuals approved X
List order X
Final copy/design X
Artwork brief X
Print quotes X
Receive lists X
Data preparation X
Finished artwork X
Printer brief X
Printer proofs X
Print X
Print delivery X
Mail X
240 Part 1 Communications Background and Theories
Consider SEO. In Figure 10.7, it generates 20,000 to keep a simple system monitoring just what
visitors and costs £20,000. This gives a cost per percentage of customers would recommend the
visitor of £1 (£20,000 divided by 20,000 visitors). organization. Other marketers take advocacy and
If the site converts 1 per cent of these visitors into ‘detractors’ (customers who feel negatively about
customers, then the SEO generates 200 new cus- the organization or brand) and develop reporting
tomers (1 per cent of 20,000 visitors). The cost per systems that combine both variables to highlight a
order (CPO) generated by SEO is £100 (£20,000 net promoter score (Reichheld, 2006).
divided by 200 orders).
If a viral marketing piece costs £30,000 (to
create and seed) and it generates 20 million players Reputation/social conversation
of which 10 per cent click through to the website,
this generates 2 million visitors. Say only half of
scores (social media monitoring)
1 per cent convert, because many of them are from Marketers need to keep abreast of what is being
international markets not relevant to this service. said about their brands, their organizations and
This generates 10,000 customer ‘uniques’ (unique their staff (as well as the competition) in the vast
visitors). Feel free to fill in the rest of the figures array of conversations in social media platforms
yourself. around the world. Marketers need to know about
The table in Figure 10.7 can be extended. You the quantity and intensity of commentary about
can create your own, more accurate, analysis by brand or product. In addition to the free services of
adding another column for percentage of visitors Google Alert, there are other social monitoring
that convert to enquirers (and a percentage of them
eventually convert to customers, and a percentage
of them convert to repeat customers, at which point
the costs decline significantly and large profit margins Social media control myth
emerge). A longer list of tactical communications
tools can be added, including different exhibition ‘One of the most common fears I focus on defeating
events, different e-mail campaigns, different virals, among executives and brand managers is that in
etc, so that the marketer can see what works best new media brands lose control by publishing
and ultimately do more of what works and stop content and engaging in social networks. The
what doesn’t. general sentiment is that by sharing information
The lifetime value of potential repeat sales of a and creating presences within public communities
customer can give a truer picture of the real value of that they, by the nature of democratized
a customer. Remember, lifetime value can include participation, invite negative responses in addition
‘share of wallet’: other products or services that a to potentially positive and neutral interaction. By
customer might be prepared to buy from the same not fully embracing the social Web, many believe
organization. that they retain a semblance of control. The idea is
You also need a rigorous structured approach to that if brands abstain from providing a forum for
measuring relative satisfaction (compared to com-
hosting potentially disparaging commentary, it will
petitors) for each stage of the online experience –
prevent it from earning an audience – in this case,
product search, evaluation, enquiring, purchases,
an audience that can impact the business and the
post-purchase communications, after-sales support,
reputation of the brand. However, retaining control,
etc. You need this more than once a year.
following the socialization of the Web, is nothing
more than pure legend. While many companies
Net promoter score, satisfaction retain control during the stages of defining and
shaping messages, control is relinquished at the
score and recommendation score point of distribution. Once messages are published,
It is important to monitor satisfaction scores they are at the mercy of consumers, peers, and
(though remember that the satisfaction criteria can influencers online and offline.’
change and leave an old system irrelevant if not Solis (2010)
updated). Some blue-chip marketing directors like
Chapter 10 The Marketing Communications Plan 243
Further information
Euro RSCG National Readership Survey Ltd (NRS)
Havas Media 40 Parker Street
Privacy Office London WC2B 5PQ
Dr Fleming 17 Tel: +44 (0)20 7242 8111
08017 Barcelona Fax: +44 (0)20 7242 8303
Spain www.nrs.co.uk
Tel: +44 (0)20 7257 6077
www.eurorscg.co.uk Target Group Index (TGI)
Ealing Gateway
International Organization for Standardization (ISO) 26–30 Uxbridge Road
1 ch de la Voie-Creuse Ealing
Case postale 56 London W5 2AU
CH-1211 Geneva 20 Tel: +44 (0)20 8433 4000
Switzerland www.kantarmedia-tgigb.com
Tel: +41 22 749 01 11
Fax: +41 22 733 34 30
www.iso.org