Integrated Marketing Communication

1. 2. 3. 4. 5. Marketing Communication. Types of Messages. IMC Benefits of IMC MCM & Elements of IMC

Marketing Communication

Tom Duncan : Marketing Communication is a collective term for all the various types of planned messages used to build a brand.

Types of Messages
A Company has to manage four types of messages : 1. Planned External communication activities 2. Inferred For premium products selling product from prestigious store 3. Maintenance Interaction of Customer Service Cell & Customer 4. Unplanned News reports, Trade Publications etc.

Integrated Marketing Communication

Marketing Power Dictionary : IMC can be defined as a holistic approach to promote buying and selling in the digital economy.

Integrated Marketing Communication

According to American Marketing Association : IMC is a planning process designed to assure that all brand contacts received by a customer or prospect for a product, service or organization are relevant to that person and consistent over time.

Integrated Marketing Communication

According to Tom Duncan : A Process for managing the customer relationships that drive brand value. More specifically, it is cross-functional process for creating and nourishing profitable relationships with customers and other stakeholders by strategically controlling or influencing all messages sent to these groups and encouraging, data driven, purposeful dialogue with them.

Growing Importance & Benefits of IMC

1. 2. 3. 4. 5. 6. 7. 8. Increasing Competition Increased IT Sources Need of Consistency Decline in Effectiveness of Mass Advtg. Provides greater Brand Differentiation Greater Accountability & Coordination Effective at Cutting through Message Clutter Increases Customers Trust

Marketing Communication Mix

A Marketing Communication Mix is the selection of Marketing Communication functions used at a given time as part of a marketing program.

Tools of Marketing Communication

1. 2. 3. 4. 5. 6. Personal Selling Advertising Sales Promotion Public Relation Publicity Direct Marketing

7. Sponsorship 8. Point of Purchase Display 9. Exhibition 10. Packaging 11. Internet 12. Corporate Identity

Marketing Communication Mix

Personal selling
PS can be described as a two way communication between a buyer and a seller. - The direct presentation of a product It takes place face-to-face or over the phone It may be directed to a business person or a final customer Face to face comm. Meetings, Telephone Calls, Trade Shows, Exhibitions or Sales Force etc.

Marketing Communication Mix

Advertising
Non personal, paid announcements by an identified sponsor. Nonpersonal communication & paid Most familiar outlets are broadcast (TV, radio) and print (newspapers, magazines) media However, there are many other advertising vehicles, from billboards to T-Shirts and, more recently, the Internet

Marketing Communication Mix

Sales Promotion
According to the International Chamber of CommerceMarketing devices and techniques which are used to make goods and services more attractive by providing some additional benefit, whether in cash or in kind or the expectation of such benefit. A sponsor-funded, demand-stimulating activity designed to supplement advertising and facilitate personal selling Included are a wide spectrum of activities, such as event sponsorships, contests, trade shows, in-store displays, rebates, samples, premiums, discounts, and coupons

Marketing Communication Mix

PUBLIC RELATIONS
Acoording to Public Relation Society of AmericaPR are communication activities that help an organization and its public adopt mutually to each other.

Unlike most advertising and personal selling, it does not include a specific sales message PR can take many forms, including newspapers, annual reports, lobbying, TV talk shows and support of charitable or civic events

Marketing Communication Mix

Publicity
is a special form of PR that involves news stories about an organization or its products Like advertising, it consists of an impersonal message that reaches a mass audience.But: Placement is not paid for subject of the publicity has little or no control over it has greater credibility than advertising

Marketing Communication Mix

Direct Marketing
Product available at customers convenience Directly fromManufacturer to Buyer

Marketing Communication Mix

Sponsorship
According to T. ManaghanAn investment in cash or kind in an activity, in return for access to the exploitable commercial potential associated with this activity. - Three types. Event related- sponsor an event . Cause related Charitable activity like Polio Campaign. Broadcast related a TV programme.

Marketing Communication Mix

Point of Purchase Displays
Inferred messages. Used by Cosmetics and Confectionaries Beneficial in latest mall culture Not very popularly adopted by many companies

Marketing Communication Mix

Exhibitions
Works on SEEING IS BELIEVING Brings together buyers, sellers and competitors Facilitate easy comparison

Determining the Promotion Mix Designing an effective promotion mix involves strategic decisions about five factors: 1. target audience, 2. objective of the promotion effort, 3. nature of the product, 4. stage in the products life cycle, and 5. amount of money available for promotion.

Determining the Promotion Mix

1. Target Audience - As is true for most areas of marketing, decisions on the promotional mix will be greatly influenced by the target audience - A promotion aimed at middlemen is called a push strategy, and a promotion directed at end users is called a pull strategy

Determining the Promotion Mix

2. Promotion Objective - A target audience can be in any of six stages of buying readiness - The stages are: - Awareness - Knowledge - Liking - Preference - Conviction - Purchase - The stages are called the hierarchy of effects because they represent stages a buyer goes through in moving toward a purchase, with each also describing a possible goal or effect of promotion

Determining the Promotion Mix

3. Nature of the Product

Several product attributes influence the promotion mix such as: - unit value, - degree of customization, and - presale and postsale service

Determining the Promotion Mix

4. Stage in the Product Life Cycle

Determining the Promotion Mix

5. Funds Available

- Regardless of the most desirable promotional mix, the amount of money available for promotion is often the ultimate determinant of the mix - Low budget approaches include viral marketing and weblogs

The Promotion Budget - There are four common promotional budgeting methods (frequently discussed in connection with the advertising budget, but may be applied to any promotional activity): - Percentage of Sales: - Promotional budget is related to company income - But: Following this approach, management is making promotion a result of sales when, in fact, it is a cause of sales - As a result, using the percentage-of-past-sales method reduces promotional expenditures when sales are declining, just when promotion usually is most needed! - All Available Funds

The Promotion Budget - Following Competition: - A weak method, but one that is used occasionally - There are at least two problems: A firms competitor may be as just in the dark regarding how to set a promotional budget; a companys promotional goals may be quite different from its competitors - Task or Objective: - Best approach for establishing the promotional budget - Determine the tasks or objectives the promotional program must accomplish and then decide what they will cost