PROMOTION

STRATEGY
 Understand the concept and process of integrated marketing
communication (IMC) and its role in creating awareness in the rural
markets

 Identify the objectives and the promotional tools employed by firms

 Discuss the communication process and media in the context of promotion

 Examine the approaches to designing communication and promotion

strategies

 Know how rural advertising is designed

 IMC—CONCEPT

A range of promotional tools are being employed by marketers, which are as a

set referred to as Integrated Marketing Communication (IMC).
 IMC PROCESS

Establish marketing objectives and plan

Analyse promotion mix and set objectives

Analyse communication needs and set objectives

Determine the budget

Design the IMC programme

Implement and control the IMC programme

 IMC CHALLENGE
Heterogeneous consumer groups
 Different levels of education and comprehension abilities
 Different media habits and reach
 Different lifestyles and cultural adaptations
 Different decision-making groups and approaches
 Different social classes and Intentions
 Different purchases and usage patterns
 Different purchase propositions

Environmental factors
 Media barriers
 Distance barrier
 IMC CHALLENGE(CONTD.)

Organizational factors

Barriers

 Budget

 No standard performance yardsticks

Facilitators

 Receptive consumers

 Telecommunication revolution

 Innovative tie-ups

 Cable and DTH spread

 IMC FRAMEWORK
Promotion tools Communication channels
Direct marketing Personal (advocate, expert and social)
Interactive media Non-personal (mass media, atmospherics
Publicity /PR and events)
Personal selling Outdoor media (haats, melas, wall
Advertising paintings, hoardings, video vans, folk
Sales promotion media, animal parade, and transit media)

Message types
Rational
Emotional
Moral

Communication
objectives
Inform
Persuade
Remind
Reassure /reinforce

IMC goals
Brand equity, Sales,
market share and
profits
 IMC PROMOTION MIX

Direct communications

 Colgate–Palmolive, Operation Jagruti

 Videocon

Interactive media

 Marico van campaign

 Dabur participatory programme
Publicity /PR

 Philips Super Shows

 Hindustan Unilever's micro marketing programme
 IMC PROMOTION MIX (CONTD.)

Personal selling
 LIC agents
 ACC sales representatives
 HUL’s Shakti Ammas
Advertising
 Tata Steel Ltd uses the words chaddar, teena and khadag to denote
corrugated sheets in various rural markets, depending on the local dialect
 ICICI Bank used the life size dummy of a cow mounted on a branded van
 Philips India uses wall writing and radio advertising
 Ad films of Vicks, Lifebuoy, Colgate and shampoos are shown in rural
cinemas halls
 IMC PROMOTION MIX (CONTD.)
Sales promotion

 Offers: Godrej’s promotional offer—one free cake of soap on purchase of three.

 Sampling: Chik shampoo sachets were given free.

Installment schemes

 Less useful in agrarian economy. However, increase in non-farm incomes has

brought about changes.

Demonstrations/Experiential marketing

 Mahindra and Mahindra conducted an experiential marketing campaign in

Rajasthan.

 Unilever's Lifebuoy soap used a 'germ glow box' as part of a demo kit.
 COMMUNICATION PROCESS AND MODELS
Communication has been defined as a process of exchanging information
between two or more people to create a common understanding.

Sender Message Receiver

Idea transmission Decoding
Message Channel Understanding

Response

Two-step model of communication

Non-personal marketing message is really passed on to an opinion leader who then

passes it on to the individual consumer.
RESPONSE PROCESS MODELS AND
EFFECTIVENESS MEASURES
Stages AIDA model Hierarchy of Innovation Effective Promotional tools
effects model adoption
models
Cognitive Attention Awareness Awareness Direct communications,
stage Knowledge interactive media,
advertising, publicity and
personal selling
Affective stage Interest Liking Interest Interactive media,
Desire Preference Evaluation advertising, personal selling
Conviction and sales promotion

Behavioural Action Purchase Trail Interactive media, sales

stage Adoption promotion and personal
selling
Application Personal Advertising Innovation
selling diffusion
 COMMUNICATION MEDIA

 Non-personalized media: Mass media, atmospherics and events.

 Outdoor media: Haats, Mandis, Melas, wall paintings, hoardings leaflets, video
vans, folk media, animal parade and transit media.
 Personalized media: Advocate, expert and social.

Mass Media
A medium is called mass medium when it reaches 50 million people. The
prominent mass media vehicles are radio, TV, press and cinema.
Radio: Radio makes up about three per cent of the advertising pie in India.

 AIR covers around 91 % of the Indian territory and reaches 99% of the
population. Private FM players cover the rest.
 NGO supported community radios are playing a key role (Mahila Sewa Trust,
Ahmedabad’s Rudi-no-radio is an example).
 COMMUNICATION MEDIA

Television: Around 50 per cent of the rural population is covered by the TV

network. There are an estimated 22 million television (18% of the 684 million
population) sets in rural India. The total TV homes in India stand at 55 million.

Print: According to the National Readership Survey (NRS), 2005, the reach of
newspapers and magazines has risen from 17% to 19% and the number of
readers in rural India (98 million) became almost equal to that of urban India
(101 million).
Cinema: Cinema reaches about 5 per cent of the rural population.
Atmospherics
To attract consumers right atmosphere is created. For example, Brooke Bond
Lipton India Ltd. often creates Sherdil Jawano Ka Adda within its stalls.

Events
Events like Haats, Jataaras and melas stimulate interest in purchasing.
 COMMUNICATION MEDIA(CONTD.)

Outdoor media

Selling Written Mobile Folk media

points media media
Haats Hoardings Video vans Theatre (street theatre)
Mandis Wall paintings Animal parade Puppetry
Melas Leaflets/posters Transit media Music and Dance
Stories: Harikatha and
Burrakatha
Magic
Acrobatics and martial arts
 COMMUNICATION MEDIA (CONTD.)

Haats: About 47,000 are haats held throughout the country mostly on a weekly
basis. Out of them, almost 15,000 are big ones catering to a population of 2,000
plus. For example, theTata Shaktee Haat Hangama Campaign.
Mandis: There are around 7,600 mandis, all over India and they offer a great
opportunity to interact with up to 200 farmers a day.
Melas: About 25,000 melas are organized annually. Fair & Lovely was
popularized in the Allahabad Kumbh Mela. RC&M, the experiential marketing
specialist, rolled out a grand rural “Carnival” mela initiative called Grameenon
Ke Beech( GKB ).

Hoardings: Hoardings are of two types—stationary and mobile. Large size

hoardings placed at strategic points will have a good visual impact.
 COMMUNICATION MEDIA (CONTD.)

Wall paintings: They will be more effective when they are geographically near to
the point of purchase like village shops or haats. Where literacy levels are low, it is
limited to creating only a visual impact.

Leaflet/posters: This is a cheap and effective means of disseminating product

information in detail. However, it has limited applicability in rural areas where
literacy levels are low.

Video van: The pioneer of the medium in India was Sadhna Bharadwaj, Director,
Video on Wheels. It started commercial operations in 1989. It currently runs 125
vans and does business to the tune of Rs 0.48 billion.

Animal parade: Companies resort to parading of animals with the banners

highlighting the product messages.

Mobile displays: Dabur used this novel way of communication. It selected a cluster
of 300 villages in Banda district and sent in three bowling alleys. The bowling pens
represented the various germs that Chyawanprash protects against.
 COMMUNICATION MEDIA (CONTD.)

Folk Media: They are made interactive and interesting.

Theatre forms in different states are:

J&K Gujarat Kerala Karnataka and Maharashtra Haryana Bengal

A.P
Kudh Bhavi Kuttiyattam Yakshaganam Tamasha Swang Jatra
 COMMUNICATION MEDIA (CONTD.)

Different types of puppets: String puppets in Rajasthan and Orissa, Rod puppets
in West Bengal, Chennai and Andhra Pradesh and Shadow puppets in Orissa,
Kerala, Andhra Pradesh and Karnataka.

Stories related to the kings, patriotic heroes and achievers (Burrakatha) and of
religious gods and spiritual gurus (Harikatha) are interesting.

Advertisers are now turning to popular folk or cinema songs to attract

audiences. Jingles in advertisements like ‘Thaduristi ki raksha’ of Lifebuoy and
‘Washing powder Nirma!’ resonate with consumers.

Acrobatics and Martial arts attract mostly the youth, sports persons and body
builders in the villages.
 COMMUNICATION MEDIA (CONTD.)

Personalized channels

Constituents Sub-channels Type of message

Salespeople, Social workers, Advocate channels Informative and rational

Professionals (Doctors, Bank Expert channels Suggestive and Persuasive

Manager)
Neighbours, friends, family members, Social channels Emotional and persuasive
and associates
 DESIGNING COMMUNICATION STRATEGY

The process of designing communication strategy involves the following steps:

 Knowing the target audience

 Determining communication objectives

 Creating message content or appeals

 Evolving message structure

 Developing message format

 Choosing message source
 Selecting the channel

 Making resource allocation

 IMC STRATEGY

IMC assists marketers in many ways. The following situations are illustrative.

 To sell different types of products

 To help consumers at different stages of purchase decision making
 To assist consumers of different styles
 To make product strategy effective
 To enhance the effectiveness of price strategy
 To serve the distribution strategy
 DIFFERENT PRODUCTS AND IMC

IMC strategy differs with type of products:

 Consumer durables require a promotion mix that includes in most of the cases
TV ads, hoardings, exhibitions, vans, haats and sales promotions.

 FMCGs, on the other hand, require advertisement, wall paintings, point-of-

purchase display, sales promotions and door-to-door selling.
 APPLICATIONS OF IMC

Purchase decision process and IMC

Sl No. Stage Communication Goals Promotion Tools

1. Need Suggestive. Find solutions to self Mobile phones, exhibitions,

identification identified needs. Induce needs and demonstrations, vans, haats,
offer solutions. melas and advertisements.

2. Information Informative. Messages may be Mobile phones, direct mails,

search informative and suggestive ads in print and TV, retail
(comparative advertising) to help draw displays, vans, personal selling
conclusions. and public relations. .
APPLICATIONS OF IMC (CONTD.)
3. Evaluation of Persuasive. Helps identify criteria for
alternatives evaluation and satisfied customers.
4. Purchase Suggestive. Helps arrive at a purchase
decision decision –what to buy, where to buy,
when to buy and how to buy?
Information on sales promotion and
shop location and telephone numbers.
5 Post-purchase Informative. Information about use of
decision product, service centres, contact
numbers and timings. Presentation of
customers who are satisfied with the
product performance.
Comparative ads in TV and print, sales
promotion and demonstrations.
Door-to-door selling, personal selling,
exhibitions, haats, melas, ads (mobile
phones, print, TV and FM radio) and
sales promotions.
Advertisements, customer meets,
company letters and gifts and public
relations.
 APPLICATIONS OF IMC (CONTD.)
Consumer styles of decision making and IMC

 High involvement decisions need information - demonstration, personal selling

and advertisement.
 Low involvement level decisions look for novelty and variety. IMC has to
highlight this through advertising, interactive media and sales promotion

Product Strategy and IMC

Design right products and communicate message clearly

Brand promotions: Cadburys has launched ChocoBix, a chocolate flavored

biscuit, which is based on the consumer insight that rural mothers opt for biscuits
rather than chocolates for their children.

Brand building: Evokes images that have long since been associated with it.
Examples: Lux with Bollywood-like complexions, Pepsi with youthful exuberance.
 APPLICATIONS OF IMC (CONTD.)

Price strategy and IMC

 High priced goods require good showroom displays and ads on TV. Good
publicity (Sponsorships and community service) will improve word of mouth.
 FMCGs in economy packs and sachets are generally publicized through TV ads,
point-of purchase promotion, sampling and interactive media making loud
announcements of price points. .

Distribution strategy and IMC

 Pull strategy requires heavy advertising and sales promotions.

 Push strategy is supported by personal selling, demonstrations and trade
exhibitions.
 APPLICATIONS OF IMC (CONTD.)

Competition and IMC

Intelligent combative strategy is required.

Example: Huntsman Advanced Materials, launched Araldite Karpenter, in

direct competition with market leader, Fevicol. Distributed through one lakh
retail outlets across the country, supported by heavy advertising through a
series of TV and print campaigns, and several below-the-line activities such
as organizing dealer meets and educating end-users.
 RURAL ADVERTISING
Guidelines to make communications effective.

Use urban ads if they are simple for FMCGs.

Example: Lux, Fevicol

Use urban ads for durables

Examples: Maruti, Hero Honda

Make ads region specific. Choose right appeals and the right brand ambassador.

Godrej Sara Lee –GoodKnight campaign featuring Vidya Balan- with the catchy
line 'Machharon ki haar, skin se pyaar!'

Makes ads self explanatory and entertaining

Study by MART and Anugrah Madison proves the point.

Maintain consistency in messages

The ads of Lux, Fevicol, Santoor soap, Fair & Lovely exemplify this norm.