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Designing and Managing Integrated Marketing Communications 17

Chapter 16 Designing and Managing Integrated Marketing Communications

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Page 1: Chapter 16 Designing and Managing Integrated Marketing Communications

Designing and Managing Integrated Marketing

Communications

17

Page 2: Chapter 16 Designing and Managing Integrated Marketing Communications

3 idiots

• The promotion and marketing of 3 idiots – one of the biggest box-office hits of 2009 in India is a lesson in IMC.

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Page 3: Chapter 16 Designing and Managing Integrated Marketing Communications

Scorpio Launch Communication

• Broke on 15 August, independence Day

• Positive impact of patriotism

• 73 advertisement spots in different TV channels with sponsorship of Independence Day events conducted by these channels were sponsored by them

• TV ads used to communicate the international image and emotional benefits of the brand

• PR campaign supported the “Indianness” of the brand

• In order to create excitement and product visibility, a cavalcade of Scorpios,. Followed by bikers were taken out in Mumbai during peal office hours in the morning and evening, stopping at key locations

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Scorpio Launch Communication• FM Radio Channels in Mumbai provided live coverage of the

cavalcade in the city and introduced a listener contest for the subsequent four days

• One popular website was tied up for the Web launch

• IN order too promote the cause of safe driving, 17 Indian automobiles journalists drove the Scorpio across 28 states in India travelling a distance of nearly 15000 kms

• The company in association with ESPN TV Sports Channel and Times, sponsored “The Scorpio Speedster” competition for identifying the fastest Indian cricket bowler

• All the communication messages in different media had a similar “look and feel” in order to maintain consistency

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Page 5: Chapter 16 Designing and Managing Integrated Marketing Communications

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What are Marketing Communications?

Marketing communications are the means by which firms attempt to

inform, persuade, and remind consumers, directly or indirectly, about

the products and brands they sell.

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Modes of Marketing Communications

• Advertising• Sales promotion• Events and

experiences• Public relations and

publicity

• Direct marketing• Interactive

marketing• Word-of-mouth

marketing• Personal selling

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Communication Platforms

Advertising• Print and broadcast ads• Packaging inserts• Motion pictures• Brochures and booklets• Posters• Billboards• POP displays• Logos• Videotapes

Sales Promotion• Contests, games,

sweepstakes• Premiums• Sampling• Trade shows, exhibits• Coupons• Rebates• Entertainment• Continuity programs

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Table 17.1 Communication Platforms

Events/ Experiences• Sports• Entertainment• Festivals• Art• Causes• Factory tours• Company museums• Street activities

Public Relations• Press kits• Speeches• Seminars• Annual reports• Charitable donations• Publications• Community relations• Lobbying• Identity media• Company magazine

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Table 17.1 Communication Platforms

Personal Selling• Sales presentations• Sales meetings• Incentive programs• Samples• Fairs and trade shows

Direct Marketing• Catalogs• Mailings• Telemarketing• Electronic shopping• TV shopping• Fax mail• E-mail• Voice mail• Blogs• Websites

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Word-of-Mouth Marketing

• Person-to-person• Chat rooms• Blogs

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Elements in the Communications Process

• Sender• Encoding• Message• Decoding• Receiver• Response• Noise• Feedback

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The Communications Process

• Selective attention

• Selective distortion

• Selective retention

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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 consumer to consider

purchase of the brand• The ad creates strong brand associations

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Steps in Developing Effective Communications

• Identify target audience• Determine objectives• Design communications• Select channels• Establish budget• Decide on media mix• Measure results/manage IMC

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Step 1 Identifying the target audience

• Includes assessing the audience’s perceptions of the company, product, and competitors’ company/product image

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Step 2 Determine Communications Objectives

• Category need: For eg. Electric Cars

• Brand awareness

• Brand attitude

• Purchase intention For eg. Promotional offers

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Step 3 Designing the Communications

• Message strategy : Appeals, Themes or Ideas• Four types of reward from a product – Rational (Gets clothes

cleaner”, Sensory( Utterly Butterly Delicious”, Social or ego satisfaction

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Step 3 Designing the Communications

• Creative strategy : • Informational Appeals elaborates on product or

service attributes or benefits • One-sided vs. two-sided messages (start with other

side’s argument and conclude with his or her strongest argument) . For eg. Domino’s documentary style TV ads

• Transformational Appeals : Non product related benefits or image. It depicts what kind of person uses a brand or what kind of experience results from use.

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Page 19: Chapter 16 Designing and Managing Integrated Marketing Communications

Informational Appeals

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Transformational Appeal

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Presenting an argument forcefully : An anti-smoking advertisement from

Cancer Patient Aid Association

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Page 22: Chapter 16 Designing and Managing Integrated Marketing Communications

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Transformational Appeal

• Positive and negative appeals• Fear• Guilt• Shame• Humor• Love• Pride• Joy

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Transformational Appeal

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Transformational Appeal

• What kind of experience results from use.

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Transformational Appeal Amaron batteries use of cartoon characters helps to break

through the clutter of competitors product feature oriented ads

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Mentos Freshener that will electrify the mind

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Step 3 Designing the Communications

• Creative strategy : • Message format decisions vary with the

type of media, but may include:• Graphics, visuals• Headline, copy or script• Sound effects,

voice qualities• Shape, scent,

texture of package

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Step 3 Designing the Communications

• Message source

Celebrity Characteristics• Expertise (specialized knowledge )

• Trustworthiness (How objective and honest the source is perceived)

• Likeability (source’s attractiveness)

• Principle of Congruity : Communicators can use their good image to reduce some negative feelings toward a brand but in the process might lose some esteem with the audience

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• Cadbury’s New Safety Package Endorsement

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Page 31: Chapter 16 Designing and Managing Integrated Marketing Communications

Message Source• Accenture – Rebranding Campaign• Tiger woods famous number one golfer • New tagline “ High Performance Delivered”• Accenture's message is that it can help client companies become “high

performing business leaders”• Campaign includes ads in 27 countries, capitalizing on Tiger Wood’s

international appeal; sponsorships that are aligned with the idea of high performance, such as the World Golf Championships and the Chicago Marathon; an interactive Web site that users can personalize to get information and regular updates relevant to their industry

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Step 3 Designing the Communications

• Global adaptation1. Product : Is the product restricted in some countries? For eg. Beer,

Wine cannot be advertised in Muslim countries

2. Market Segment : Are there restrictions on advertising the product to a specific target market? For eg. Norway and Sweden no TV Ads may be directed at children under 12

3. Style : Can comparative ads be used? Pepsi had a comparative taste test ad in Japan that was refused by many TV stations and eventually led to a law suit

4. Local or Global : Can the same advertising be used in all country markets?

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Step 4 Select Communication Channels

1. Personal channels

2. Nonpersonal channels

3. Integration of channels

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Personal Communications Channels

• Advocate channels : Company’s salespeople contacting buyers in the target market

• Expert channels : Independent experts making statements to target markets

• Social channels : Neighbors, friends, family members talking to target buyers

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Stimulating Personal Influence

• When the products are expensive, risky or purchased infrequently

• When products suggest something about the user’s status or taste

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Nonpersonal Communication Channels

• Media

• Sales promotion

• Events and experiences

• Public relations

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Step 5 Establish the Budget

• Affordable

• Percentage-of-sales

• Competitive parity

• Objective-and-task

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Step 6: Deciding on the Marketing Communications Mix

Advertising• Pervasiveness• Amplified

expressiveness• Impersonality

Sales Promotion• Communication• Incentive• Invitation

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Step 6: Deciding on the Marketing Communications Mix

Public Relations and Publicity

• High credibility• Ability to catch

buyers off guard• Dramatization

Events and Experiences

• Relevant• Involving• Implicit

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Step 6: Deciding on the Marketing Communications Mix

Direct Marketing• Customized• Up-to-date• Interactive

Personal Selling• Personal interaction• Cultivation• Response

Word-of-Mouth Marketing• Credible• Personal• Timely

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Step 6: Deciding on the Marketing Communications Mix

• Factors in Setting Communications Mix• Type of product market• Buyer readiness stage• Product life cycle stage

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Step 7: Measure Results

• Recognition, recall, attitudes, behavioral responses

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Step 8: Manage the Integrated Marketing Communications Process

• Provides stronger message consistency and greater sales impact

• Improves firms’ ability to reach right customers at right time with right message

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