Integrated cummunications kailas

Integrated Marketing Communication (IMC)Integrated Marketing Communication (IMC)

By

Dr. Kailas GhodkeMBBS, MMS

Pharma Consultant For Marketing, Branding, Promotions, Medico

Marketing and Training702 / 703, 11 - A, Happy Valley, Godbandher Road, Manpada,

Thane (W) Mumbai 400610, India.Email: [email protected] , [email protected]

Tel. Res.: + 91 022 - 2589 57 06, 2589 04 85 Cell: 98208 315 94

Dr. Kailas GhodkeDr. Kailas Ghodke Integrated CommunicationsIntegrated Communications22

Presentation ContentPresentation Content

1. The Transition from “Push” to “Pull” Marketing

Communications

2. Integrated Marketing Communications

3. Question Answer

The Transition from “Push” to The Transition from “Push” to “Pull”“Pull”

Marketing CommunicationsMarketing Communications


Marketing communicationsMarketing communications

Marketing communications are messages and related media

used to communicate with a market.

Those who practice advertising, branding, direct marketing,

graphic design, marketing, packaging, promotion, publicity,

sponsorship, public relations, sales, sales promotion and

online marketing are termed marketing communicators or

marketing communication managers


Marketing communications Marketing communications contdcontd..

Traditionally, marketing

communication practitioners focus

on the creation and execution of

printed marketing collateral.

Marketing communication is

concerned with the general

behavior of an organization and

the perceptions of the organization

that are promoted to stakeholders

through brand points of contact.


Marketing and Corporate communications Marketing and Corporate communications

Sr. No. Marketing communications Corporate communications

1Focused on product / produce / service

Focus on the company / enterprise itself.

2Primarily concerned with demand generation, product / produce / service positioning

Deal with issue of management, mergers and acquisitions, litigation etc


Marketing communications Used to be so easy Marketing communications Used to be so easy

We have a unique product or services

We could identify customer and prospects

Agency did planning and placement

Media use to organized aggregated audiences

We sent out messages and incentives / schemes

The sales force and channels follow up

Customer bought and want more.


It look like thisIt look like this

Agency Media

Marketer

Sales Force

Product and / or Service

Customer / Prospect

Messages and Incentives


Marketers based their programs on outbound systemMarketers based their programs on outbound system

Based on Behavioral Psychology

Stimulus Response

Attitudinal Change Behavioral Change

Mostly Interruptive – When marketers want to talk

All activities separate , distinct and unconnected

In Short , We Talk, They Listen ….. And , Respond


It Look like ThisIt Look like ThisThe “Hierarchy of Effects” ModelThe “Hierarchy of Effects” Model

Media / Advertising

Attitudes / Awareness

Knowledge Preference ConvictionsPurchase Behavior

Influencing and Persuading Consumers

One Way

Linear


Flipped on its SideFlipped on its Side

It became the Infamous


It was a “Push” Communication SystemIt was a “Push” Communication System


But Competitors began doing the same thing But Competitors began doing the same thing with same toolswith same tools

Agency Media

Marketer

Sales Force

Product and / or Service Customer / ProspectMessages and Incentives

Competitors

Competitors

Competitors

Competitors


The Cacophony of Messages Forced customers to The Cacophony of Messages Forced customers to developed Shields and avoidance Mechanismdeveloped Shields and avoidance Mechanism

Agency Media

Marketer

Sales Force

Product and / or Service Customer / Prospect


Competitors

Competitors

Competitors

Competitors


First Consumers First Consumers Shields were fairly Simple…..Shields were fairly Simple…..

Flipping the page

TV Remote Controls

“Do Not Call” List

Etc.



Consumer Acquired Information TechnologyConsumer Acquired Information Technology

Internet

Mobile Telephony

I pod

Search Engine

Cable / Satellite

Blocking System- Pop up, Filters, TV / DVR Blockers etc.

Customer




Information Technology has given Customer control Information Technology has given Customer control of the systemof the system

Agency Media

Marketer

Sales Force

Product and / or Service Customer / Prospect


Competitors

Competitors

Competitors

Competitors

Employee

Recommenders

Word of Mouth New Forms of Media

Web and Internet Search



In Developed and even in developing Markets….In Developed and even in developing Markets….

Customers have changed – demands and requirements

Technology has changed – wireless , digital

Influencers and recommenders have change – “new” experts

Media and Communications system have changed –

Fragmentations.

Response Time has changed- Speed

Competitors have changed - China , Brazil Russia Viet man

etc.


But the Marketers Have continued using the same Old , But the Marketers Have continued using the same Old , Traditional Marketing ProgramsTraditional Marketing Programs

Product and competitor focused

4 Ps “Outward Push” plans ad planning

Exchanged - based seeking short terms result

Weak Non existent measurements

Marketing as “Art” not a “Science”

Integrated Marketing CommunicationsIntegrated Marketing Communications

An Effective, Comprehensive Approach


Promoting ObjectivesPromoting Objectives

There are many possible objectives for promoting your

organization;

Create awareness

Stimulate demand

Identify prospects

Retain customers

Combat the competition, etc.

Whatever the objective, a good rule of thumb is to remember

that your promotional efforts should capture the customers’

attention, create interest, generate a desire and define an

action to satisfy that desire - also known as AIDA.


Marketing communicationsMarketing communications

Marketing communications is a subset of the overall subject

area known as marketing.

Marketing has a marketing mix that is made of price, place,

promotion, product (know as the four P's), that includes

people, processes and physical evidence, when marketing

services (known as the seven P's).



How does marketing communications fit in?

Marketing communications is 'promotion' from the

marketing mix.

Why are marketing communications 'integrated?'

Integrated means combine or amalgamate, or put simply

the jigsaw pieces that together make a complete picture.

This is so that a single message is conveyed by all

marketing communications.



Different messages confuse your customers and damage

brands.

So if a TV advert carries a particular logo, images and

message, then all newspaper adverts and point-of-sale

materials should carry the same logo, images or message, or

one that fits the same theme.

Coca-Cola uses its familiar red and white logos and retains

themes of togetherness and enjoyment throughout its

marketing communications.


The Marketing Communications Mix.The Marketing Communications Mix.

Marketing communications has a mix.

Elements of the mix are blended in different quantities in a

campaign.

There may be some cross over between individual elements

(e.g. Is donating computers to schools, by asking shoppers

to collect vouchers, public relations or sales promotion?)


The Marketing Communications Mix.The Marketing Communications Mix.

The marketing communications mix includes many different

elements, and the following list is by no means conclusive.

1. Personal Selling.

2. Sales Promotion.

3. Public Relations (and

publicity).

4. Direct Marketing.

5. Trade Fairs and

Exhibitions.

6. Brands.

7. Advertising (above and

below the line).

8. Sponsorship.

9. Packaging.

10.Merchandising (and point-

of-sale).

11.E Marketing (and Internet

promotions).


Integrated Marketing Communications Integrated Marketing Communications (IMC).(IMC).

A critical part of marketing is communications and the most

effective and productive way of managing this effort is

through concept called Integrated Marketing

Communications (IMC).

IMC see the elements of the communications mix 'integrated'

into a coherent whole. This is known as the marketing

communications mix, and forms the basis of a marketing

communications campaign.


IMC DefinitionsIMC Definitions

A management concept that is designed to make all aspects

of marketing communication such as advertising, sales

promotion, public relations, and direct marketing work

together as a unified force, rather than permitting each to

work in isolation.

According to The 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.”

Marketing Power Dictionary IMC can be defined as a holistic

approach to promote buying and selling in the digital

economy.


IMC conceptIMC conceptThis IMC concept includes many online and offline marketing channels.

Online marketing channels include;

Any e-marketing campaigns or programsSearch engine optimization (SEO)Pay-per-clickAffiliateEmailBanner to latest web related channels for webinar, blog, Internet TV.

Offline marketing channels are

Traditional print (newspaper, magazine)

Mail order

Public relations

Industry analyst relations billboard

Radio

Television.


IMC concept IMC concept contdcontd..

It is important to know where IMC process lays in our overall

marketing effort.

We all remember the four “Ps” from Marketing , but how they

relate to the four “Cs” from the customer’s perspective.

1. The first “P” is product:

But actually this P is all about the customers’ needs and

wants.

Which goods and services customers are looking for

What are the features/benefits in demand, what might be

unfulfilled needs?



2. The second “P” is price:

But in fact, this has more to do with the cost to the

consumer.

What is their perception of value

How much are they able/willing to spend?

3. The third “P” is place (or distribution):

But what this P means is the convenience to the customer to

obtain the product.

Where will it be sold, are there distribution channels, is the

process simple and secure?


IMC concept IMC concept contdcontd..4. The last P – promotion:

We probably guessed, this is how we communicate with our customers. To promote yourself effectively, you need to understand your customers and their perspectives.

Product (Customer)

Place(Convenience)

Promotion(Communication)

Price(Cost)



IMC is a way of looking at the whole marketing process from

the viewpoint of the customer.

It involves the coordination of all promotional activities-

media advertising, direct mail, personal selling, sales

promotion and public relations - to produce a clear, unified,

consistent and compelling customer-focused message about

the organizations and its product.

Databases, the Internet, and other sources have enabled us

to gather powerful information quickly.

Therefore, marketing communications are less mass-market

oriented (broadcast) and more segment-oriented

(narrowcast).


IMC process Steps comprises….IMC process Steps comprises….1. Identify the target audiences

This requires a well thought out market segmentation and targeting process which may include secondary and/or primary market research.

2. Determine the communications objectives

It can range from generating awareness to countering the competition.

3. Design the messaging content

This is an absolutely critical component.

Effective messaging can make or break a promotional effort.

4. Select the means for communications.

5. Define the mix of media, budget and priorities.

6. Measure the effectiveness of the efforts.


Marketing communications comprises five broad Marketing communications comprises five broad categories:categories:

1. Personal selling

2. Advertising

3. Public relations / Publicity

4. Direct marketing

5. Sales promotions.

Each has its own set of pros and cons and can be

accomplished in a variety of ways.

The key is to look at the available options in a

comprehensive way and to ensure consistency throughout

the selected media.


Public Relations

Sponsorship

InteractiveMedia

Direct Marketing

Sales Promotion

Branding

Etc., etc.,

Product Placement

Trade Shows

Personal Selling

Publicity

Advertising

Customers


Factors for selecting communications Factors for selecting communications methodsmethods

The factors that influence the selection and effectiveness of

a promotional mix include:

1. Nature of the market (market size, geographic scope, type

of customer, etc.)

2. Nature of the product (complexity of the product, service

requirements, etc.)

3. Stage in the product life-cycle (earlier versus later stages of

the life cycle)

4. Price (high versus low unit price)

5. Funds available for promotion


BudgetingBudgeting

Budgeting is an essential function of the IMC process.

The following items impact the budget determinations:

Percentage-of-sales method (a specified percentage of

either past or forecasted sales)

Fixed-sum-per-unit method (predetermined dollar amount

for each unit sold or produced)

Meeting competition method (match competitor’s

promotional outlays)

Task-objective method (amount and type of promotional

spending needed to achieve promotional objectives)


Evaluation IMC plan Evaluation IMC plan

Execution of the IMC plan also involves an evaluation

process to ensure the effectiveness of the effort.

There are two basic measurement tools.

One is direct sales results in which you measure the

effectiveness by identifying the specific impact on sales

revenue for each rupee of promotional spending.

The other is an indirect evaluation where you focus on

certain measurable indicators of effectiveness.

Studies confirm that brand equity can be enhanced by

pursuing a strategy that integrates the various marketing

communications tools.


Reasons For The Growing Importance of Reasons For The Growing Importance of IMCIMC

There have been many shifts in the advertising and media

industry that have caused IMC to develop into a primary

strategy for most advertisers

1. From media advertising to multiple forms of communication

(including promotions, product placements, mailers...)

2. From mass media to more specialized media, which are

centered around specific target audiences.

3. From a manufacturer- dominated market to a retailer-

dominated market. The market control has transferred into

the consumer's hands.


Reasons For The Growing Importance of Reasons For The Growing Importance of IMC IMC contdcontd..

4. From general-focus advertising and marketing to data-based

marketing.

5. From low agency accountability to greater agency

accountability. Agencies now play a larger role in

advertising than ever before.

6. From traditional compensation to performance-based

compensation. This encourages people to do better because

they are rewarded for the increase sales or benefits they

cause to the company.

7. From limited Internet access to widespread Internet

availability. This means that people can not only have 24/7

access to what they want, but that advertisers can also

target potential buyers just as much.

Question AnswerQuestion Answer

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Integrated cummunications kailas