Integrated Marketing Communication

MM5003 Marketing Management

Week 5, September 15 2014

Marketing Communications

• The means by which firms attempt to inform, persuade, and remind consumers –directly or indirectly- about the products and brands that they sell.

Marketing Communications

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Brand Equity

• The added value endowed to products and services.

• Reflected in how consumers think, feel, and act.

• Also reflected in prices, market share, and profitability for the firm.

The Communication Process Models

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Response Hierarchy Models

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An Ideal Ad Campaign

• The right consumer is exposed to the message at the right time and place

• The ad causes consumer to pay attention• The ad reflects consumer’s level of

understanding and behaviors with product• The ad correctly positions brand in terms of

points-of-difference and points-of-parity• The ad motivates consumers to consider

purchase of the brand• The ad creates strong brand associations

Developing Effective Communications

Identify target audience

Determine objectives

Design communications Select channels

Establish budget

Decide on media mix Measure results

Manage integrated marketing

communications

Determine the Communications Objectives

1. Category need: To establish a product or service in a category.

2. Brand awareness: To enable customers to identify (recognize or recall) the brand within the category.

3. Brand attitude: To create a positive perception of the brand.

4. Brand purchase intention

Designing the Communication

• Message strategy: The content• Creative strategy: How message is delivered• Message source: Who deliver the message

(trustworthy, likeable, expert)

2010

2013

Select the Communication Channels

• Personal communication channel: face-to-face, person-to-audience.

• Non-personal communication channel: media, sales-promotions, events, and publicity.

• Integration of communication channels

AdvertisingAdvertising

Personal SellingPersonal Selling

Any Paid Form of Nonpersonal Presentation by an Identified Sponsor.

Any Paid Form of Nonpersonal Presentation by an Identified Sponsor.

Sales Promotion Short-term Incentives to Encourage Sales.

Public RelationsBuilding Good Relations with Various Publics by Obtaining Favorable Unpaid Publicity.

Direct MarketingDirect Communications With Individuals to Obtain an Immediate Response.

Personal Presentations by a Firm’s Sales Force.

The Marketing CommunicationsMix

Setting the Overall Promotion MixNature of Each Promotion Tool

AdvertisingReaches Many Buyers, Expressive

Impersonal

Personal SellingPersonal Interaction, Builds Relationships

Costly

Sales PromotionProvides Strong Incentives to Buy

Short-Lived

Public RelationsBelievable, Effective, EconomicalUnderused by Many Companies

Direct MarketingNonpublic, Immediate, Customized,

Interactive

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Cost Effectiveness by Buyer Readiness Stage

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Current Consumer States for Two Brands