Designing and Managing Integrated Marketing Communications

What is the role of marketing communications? What are the major steps in developing effective communications? What is the communications mix, and how should it be set? What is an integrated marketing communications program?

Designing and Managing Integrated 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

Communication Platforms
Advertising Print/broadcast ads Packaging inserts Motion pictures Brochures/booklets Posters Billboards POP displays Logos Sales Promotion Contests, games, sweepstakes Premiums Sampling Trade shows/exhibits Coupons Rebates Entertainment Continuity programs

Communication Platforms
A continuity program is a companys sales offer where a buyer/consumer is agreeing to receive merchandise or services automatically at regular intervals (often monthly), without advance notice, until they cancel. Ex: wine clubs, book clubs

Communication Platforms
Events/Experiences Sports Entertainment Festivals Arts Causes Factory tours Company museums Street activities Public Relations Press kits Speeches Seminars Annual reports Charitable donations Publications Community relations Lobbying

What makes up a Press Kit?

Common elements include: a pocket folder; a copy of the most recent media release; a one-page fact sheet, summary or timeline; relevant bio or background information about the company, organization, individual or cause; and a business card from the point of contact. Other elements might include drawings, renderings or photos. Again details driven by purpose: new product launch; issue-oriented event; relationship-building initiative. Design look should be consistent with look, feel, colors of your client company, nonprofit or association. And you probably want to create design which is easily read and easily transferable so the kit elements can be posted and made available for easy downloading from the client's Web site.

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

Steps in Developing Effective Communications

Identify target audience Determine objectives Design communications Select channels Establish budget Decide on media mix Manage IMC

Communications Objectives
Category need (a new category product requiring
education of consumers)

Brand awareness Brand attitude (will tell what people think about a
product or service, whether the product answers a consumer need)

Purchase intention

Design the Communications

Creative strategy
Informational appeal Transformational appeal

Message strategy Message source

Communication Designs
An informational appeal elaborates on product or service attributes or benefits. Examples in advertising are problemsolution ads (Excedrin stops headache pain quickly), product demonstration ads (Thompson Water Seal can withstand intense rain, snow, and heat), product comparison ads (Verizon offers better on-line Internet access Comcast) and testimonials from unknown or celebrity endorses (NBA phenomenon LeBron James pitching Coca-Cola and Nike). Informational appeals assume very rational processing of the communication on the part of the consumer. Logic and reason rule.

Communications Designs
A transformational appeal elaborates on a nonproduct-related benefit or image. It might depict what kind of person uses a brand (Ron Jon advertises to active, youthful surfers and skaters) or what kind of experience results from the brand (Disneyland is touted as the happiest place on earth). Transformational appeals often attempt to stir up emotions that will motivate purchase.

What is a message strategy?

The message strategy is like a foundation for all your marketing. It needs to be strong or your marketing efforts will fall apart. Your message strategy consists of a positioning statement and three support points. They address key target market problems by stating a benefit. (For example, why the target market should care about your product, service or company.)

What is a message strategy continued.

Your positioning statement becomes the central idea or theme for all your marketing activities. Once you've developed a positioning statement, you need to bolster it with three supporting claims. Supporting points provide a structure for product demonstrations. While the positioning statement articulates a high-level, abstract benefit, the claims made in the supporting statements should be readily demonstrable; that is, in just a few steps, you should be able to show how the product delivers concrete benefits.

What is Message Sourcing?

Message source is one critical constituent that determines the success of advertising. The message source should be selected with due concern to communicate the intended advertising message. The message source is based on different source attributes such as credibility and attractiveness within which aspects of knowledgeability, trustworthiness, similarity, likeability and favorability are embedded.

Stimulating Personal Communications Channels

Identify influentials (targeting influencers is seen as a
means of amplifying marketing messages)

Create opinion leaders Use influentials in communications Develop ads with high conversation value Use viral marketing (the use of pre-existing social
networks and other technologies to produce increases in brand awareness)

Select Communication Channels

Personal communication channels (For example,
face to face, phone, emails)

Nonpersonal communication channels (For

example, a TV commercial broadcast on a prime time show may be seen by millions of households at a given time. )

Integration of communication channels (Online

and Offline marketing)

Nonpersonal Communication Channels

Media Sales promotion Events and experiences Public relations

Establish the Budget

Affordable Percentage-of-sales Competitive parity Objective-and-task

What is Percentage-of-Sales?
Advertising expense budgeting method based on allocating a fixed percentage (say 5 percent) of the anticipated sales revenue to advertising.

What is Competitive Parity?

A term used to describe a method of allocating a budget for promotional activities that depends on what competitors are spending for similar activities. Also called defensive budgeting.

What is Objective and Task?

Refers to an advertising expense budgeting method based on the (1) results to be achieved, (2) strategies and tactics required to achieve those results, and (3) costs associated with those strategies and tactics.

Characteristics of Communications
Public Relations and Publicity High credibility Ability to catch buyers off-guard Dramatization Events and Experiences Relevant Involving Implicit

Factors in Setting Communications Mix

Type of product market Consumer readiness to make a purchase Stage in the product life cycle Market rank

Type of product market

Communications mix allocations vary between consumer and business markets. Consumer markets tend to spend comparatively more on sales promotion and advertising; business marketers tend to spend comparatively more on personal selling.

Buyer Readiness Stage

There are 5 stages in the buyers readiness: Awareness Comprehension Conviction Order Reorder