Professional Documents
Culture Documents
An IMC Perspective
Chapter takeaways
Understand marketing and marketing communication Learn about the various promotional tools Understand IMC, its evolution and importance Appreciate interrelation and integration of various promotional tools Comprehend the IMC model and programme
Marketing
The process of planning and executing the conception, pricing, promotion, and distribution of ideas, goods and services to create exchanges that satisfy individual and organizational objectives.
- American Marketing Association
Product
Promotion
Marketing
Price
Place
Marketing communication
Purpose: Seek a cognitive, affective or behavioural response from the target audience Marketing communication mix
Unconventional tools
Advertising
Interactive tools
Sales Promotion
Direct Marketing
Public Relations
Interactive tools
Sales Promotion
IMC
Unconventional tools Direct Marketing
Year
2008
2007 2006
21,000
17,690 14,505
20.0
22.0 21.7
2005
2004 2003
11,915
10,354 9,329
15.1
10.9
Advertising
Any paid form of nonpersonal presentation and promotion of ideas or products by an identified sponsor
Objectives
Inform Persuade Remind Reinforce
Advertising
Strengths
Informs, persuades, reminds, reinforces
Weaknesses
Expensive
Cluttered
Advertising types
Brand-building Public service
Selectivedemand B2B
Tactical
-Direct response
Corporate
National
Advocacy
Trade
Retail
Primary-demand
Quick Q!
Ramroti Ltd. has come up with a first-of-its-kind portable device that can make up to 500 rotis at a time. Which of the following types of advertising is most important to sell the product?
a. b. c. d. e. Trade advertising B2B advertising Primary-demand advertising Selective-demand advertising Brand-building advertising
Sales promotion
Changes the price-value relationship of a product
Coupons
Loyalty points
Price discounts
Point-ofpurchase
Price deals
Trade shows
Sales contests
Training programmes
Allowances
Cooperative advertising
Weaknesses
Short-term results
Makes consumers deal prone May erode brand equity & loyalty Cluttered
Direct marketing
Tools
One-to-one approach that uses advertising media to produce an inquiry, a transaction and some other immediate response
No intermediary between manufacturer & customer Requires a database
Internet
Telemarketing
Direct marketing
Strengths
Highly targeted Measurable Personalization & customization possible Two-way communication Relationship building
Weaknesses
Expensive Not suitable for large audiences
Public relations
Positively influencing public opinion to build goodwill, and earn appreciation and acceptance May result in publicity Tools Publicity tools Community affairs Events and conventions Corporate advertising Lobbying
Publicity
Non-personal communication by third-party sources regarding an organizations products
Tools Press releases Press conferences Special events Opinion polls Interviews Contests Weblog writeups
The publics of PR
Community Media
PR Government Shareholders Employees
Customers
Publicity/PR
Strengths
Builds goodwill Low cost
Weaknesses
Little control Hidden costs
Difficult to measure
No direct impact on sales
Weaknesses
Smaller audiences Difficult for non-savvy audiences
Internet tools
Websites
Emails Blogs
Discussion forums
Online games
Personal selling
Personal presentation by a representative of an organization with the purpose of influencing consumer buying decision, making a sale, or building long-term relationships
Strengths Targeted, flexible, interactive, measurable, offers immediate feedback, ideal for highvalue & high-deliberation products & niche audiences Weaknesses Expensive, not suitable for large audiences
Unconventional media
Packaging Customer service
Advertising specialties
Sponsorships
Quick Q!
Which of the following tools of communication is likely to create the highest credibility among consumers?
a. b. c. d. e. Advertising Publicity Sales promotion Packaging Personal selling
Interactive website
Chorus by dabbawallas
Pepsodent commercials
12 lakh kids signed the pledge, campaign won gold for Best Media Innovation ( Radio category) EMVIES06
contd
Commercial of aarti to God Groups of parents, teachers and dabbawalas were invited to sing the jingle in a live chorus on popular radio stations A contest for parents to pen their own lyrics on this topic A contest for children to become the Bhoot Police. School contact programme Website launched 12 lakh children signed the pledge- Pepsodent
Why IMC?
Decreasing impact of advtg
Changing compensation structure of agencies Tighter control over communication
Promotion
Advertising
Integrated Marketing
Price
Sales Promotion
Place
IMC
Interactive tools Direct Marketing
Unconventional tools
Situational analysis
Problem determination
Situational analysis
Marketing objectives
Budget determination
Communication objectives
Implementation tactics
Marketing strategies
IMC strategies
Implementation tactics
Monitor/evaluate performance
Monitor/evaluate perfomance