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Advertising and

IMC
Chapter 2

Overview and Concepts


Marketing What is it?

The marketing concept concept of


exchange
Elements of the marketing mix
Service Marketing- what does it
entail..how is it different from marketing
of goods?

Integrated Marketing
Communications (IMC)
Involves coordinating various promotional elements

and other marketing activities that communicate


with a firms customers

A concept of marketing communications planning that


recognizes the added value of a comprehensive
plan that evaluates the strategic role of a variety of
communication disciplines- for example, general
advertising, direct response, sales promotion and
Public relations, and combines these disciplines to
provide clarity, consistency and maximum
communications impact

Transition from traditional


marketing to micro marketing
To respond to media fragmentation, marketers are

increasingly using marketing media that can reach


specific market segments

Consumers are less responsive to traditional mass

media

Mass media is no longer responsive shift towards

event marketing, sales promotion and other direct


marketing methods.

Rapid growth of internet is changing the

nature of how companies do business and


the way they are communicate and interact
with the customer

Growth and development of database

marketing customer relationship


management

BENEFITS OF IMC
BRAND DIFFERENTIATION

TRUST WITHIN CONSUMERS

EFFECTIVENESS IN CUTTING THROUGH THE

MESSAGE THAN SINGLE STRATEGIES

Why IMC?
Companies understand the importance of strategically

integrating their various communication functions rather


than operating them autonomously.

Can develop a synergy, avoid duplication of resources and

make effective use of their promotional tools and


marketing communication programs.

Easiest way to maximize their return on investment

Enables companies to adapt to the changing environment,

with respect to technology and media consumption


behavior

IMC is designed to:


Affect behavior

Use all forms of contacts


Start with the customer
Achieve synergy
Build relationships

Tools for IMC

Advertising Strategy Step


1
Define positioning - attributes &
benefits
Points of parity- necessary/
competitive
Points of difference desirable/ deliverable

Advertising Strategy Step


2
Identify creative strategy to communicate
positioning

Informational - benefit (prob-sol,


demo, comparison, testimonial)

Transformational - imagery (usage,


user, personality/values)
Motivational - borrowed (humor,
sex)

Direct Response
Mail - catalogues

Telephone - 800 number ordering


TV Infomercials - dramatic
Web pages - informational
Interactive ads

Non-traditional Ads
Place advertising

billboards, posters
movies, airports, retailers
Product placement
Point of Purchase

Sales Promotion:
Consumers
User aggregate - continue to use;
increase usage
Potential aggregate - try product;
put brand into category evoked
set

Event Marketing:
Types
Arts

Festivals, fairs, annual events


Cause marketing
Entertainment, tours, attractions

Event Marketing:
Objectives
Identify with consumer target market

or lifestyle

Increase brand awareness


Create or reinforce perceptions of

brand image associations

Enhance corporate image dimensions


Create experiences and evoke

feelings

Entertain clients, reward employees


Permit merchandising opportunities

Sponsorship
To meet specific brand objectives

Audience delivered must meet

needs of brand consumers

Events, naming opportunities


Measurement - supply side -

potential exposure from media


coverage demand side - reported
exposure from consumers

PR and Publicity
Company and brand image protection

PR - annual reports, fund raising,

membership drives, lobbying,


event management, public affairs

Publicity - press releases, media

interviews, press conferences,


feature articles, newsletters,
photographs, films

Personal Selling
Sales reps become customer

advocates

Corporate sales attitude


Recognition for performance through

customer satisfaction not sales

Data based contact to reinforce


Frequent face-to-face interaction with

consumer

TV, print media, billboards, POS

Direct marketing

Interactive and social


media advertising

Sales promotion
Consumer Oriented

Strategy: visibility in
shelves, eyecatching positions

Trade: Discounts,

merchandising, free
goodies, return
back allowance

Partnerships and
Sponsorships
1923- drink of the sportsman

Olympic partner since 1928


Part of FIFA since 1974

Presence in all major sports events

(Rugby, skiing world championships,


world cup soccer)

Partner of rugby worldcup 2007

Role of IMC in Branding


IMC plays a vital role in building and sustaining brand

identity and brand equity

Building and maintaining brand identity and equity

require the creation of well-known brands that have a


favorable, unique and strong associations in the mind of
the consumer

Brand identity is a combination of many factors, including

name, logo, symbols, designs, packaging and


performance of a product or service as well as the image
or type of associations that come to a consumers mind
about a certain brand.

Role of IMC in Branding


PRODUCT: A product refers to the bundle of attributes

and features offered by a firm. It includes the


elements supporting the physical products

BRAND: Includes both tangible and intangible

offered by a firm. It includes the elements supporting


the physical product for example, package,
warranty, colours as well as its emotional
components such as brand loyalty, status, selfesteem, security, convenience etc.

Types of Brands
Manufacturers e.g. P&G, Unilever

Retailers e.g. Tesco, Carrefour, Walmart,


Merchandise e.g. Nintendos Pokemon,

Dream Work, Disney

Organisations e.g. UNICEF, Red Cross,

Amnesty

People e.g. Michael Jordan, Cindy

Crawford, Elizabeth Taylor,

Benefits to the Consumer


Gestalt bundle
theory that the whole is greater than its individual
pieces-brand represents a synergy of consideration
that forms the basis for consumer purchase decision
Reference point
brands are iconic representation that serves as a
reference point and expression of norms/cultural
beliefs for consumer
Guarantee of quality
brands are guarantee of quality at the highest
possible in a particular product category.
Risk reducer - different sources of risk

Sources of Consumer Risks

Social
Functional
Psychological
Risk Factors
Financial
Time

Health

Enhance buying confidence

one is able to buy reputable brands in the knowledge


that an assurance of trust and brand promise will not be
knowingly broken

Expression of self

individual buy brands that represents some key values


they will like others to associate with them

Time saver

brands enables quick and easy recognition of preferred


product in a situation where there are numerous varieties
to select from.

Brand Equity

Measuring Brand
performance

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