Chapter 13 – Integrated Marketing Communications
Analyzing promotion function of informing, persuading and influencing customers
Promotion and the Marketing Mix
Promotion the communication link between buyers and sellers, the function of informing,
persuading, and influencing a consumer’s purchase decision.
Communication is the broad term referring to the transmission of a message from sender to
Marketing communications messages received by consumers that deal with the buyer-
To prevent loss of attention, marketers are turning to integrated marketing
communications (IMC) which coordinate all promotional activities to produce a unified,
Integrated Marketing Communications
The customer is at the heart of marketing communications.
IMC begins with their wants or needs and then works backward to the product
IMC is broader than marketing communications and promotions.
uses database technology to refine the understanding of the target audience, segment
this audience, and select the best type of media to reach each segment.
Can be used to develop customer-oriented marketing
looks at marketing mix elements from the consumer’s viewpoint—as information about the
brand or the company.
success of any IMC program depends on identifying the members of an audience and
understanding what they want, otherwise the wrong message may be sent.
Role of Databases in Effective IMC Programs
The Internet allows companies to gather information faster and organize it easily.
The move from mass marketing to customer-specific marketing (seen in online promotion)
way to identify and communicate with the target market, but also a way to gather
information about each prospective customer.
data on demographic profiles, lifestyle considerations, brand preferences, and buying
behaviour can offer critical guidance in designing IMC strategies.
Direct sampling quickly obtains customer opinions about a firm’s goods or
services through the distribution of free samples.
Integrates Communications Plan Elements
o Consumer (DTC offers, In-store, Sponsorships etc)
o Trade Shows
o Copy Strategy must be identical across all platforms
Packaging – The Face of the Brand o Regular
4 Keys to IMC planning (target marketing/business planning)
1. Focus, Focus, Focus…Tightly define Target Market
2. Understand your Target Customer’s high value Need(s)
a. Match Needs to deliverable Benefits
b. Focus efforts on satisfying the most important need(s), brilliantly
3. Invest Effort↑ to develop a clear Brand Positioning Statement
a. Positioning = what a Brand stands for in the Consumer's mind
Clear Market definition
Clear Brand benefit statement
Support for the brand's benefit
4. Ensure all Plan and tactics are consistent with Brand Strategy. Is your Plan
comprehensively integrated along a consistent Consumer Benefit-driven message?
a. If not… what have you missed?
b. Brand Positioning statement drives Strategy which drives IMC Plans
Importance of Teamwork
Successful implementation of IMC requires consistent, coordinated promotional effort at
every stage of customer contact.
IMC requires a big-picture view of promotional planning, a total strategy including all
marketing activities, not just promotion.
IMC requires that everyone involved in every aspect of promotion work together as a team,
presenting a consistent message at every point of customer contact.
This saves time and money while avoiding duplication of efforts.
Teamwork involves both in-house staff and outside vendors, including salespeople and
customer service reps.
The Communication Process
firms worry that their message may not be understood or heard correctly.
Sender encodes a message.
o Sender source of message communicated to the receiver
o message communication of info, advice/or request by the sender to the receiver
o encoder transalting message into understandable terms
Receiver decodes, or interprets, the message and sends feedback.
o Decoding receivers interpretation of message
o Feedback response to message
Throughout, noise can interfere with the transmission of the message over the channel.
o Noise any stimulus that distracts a receiver from receiving a message
o Channel medium through which a message is delivered
o It gains the receiver’s attention.
o It achieves understanding by both receiver and sender.
o It stimulates the receiver’s needs and suggests an appropriate method of satisfying
AIDA concept o stands for attention-interest-desire-action, the steps consumers take in reaching a
Objectives of Promotion
Promotion has five basic objectives:
1. Provide Information
Goal is to inform the market about the availability of a product
Marketers still direct much of their current promotional efforts at
providing product information to potential customers.
2. Increase demand.
May increase primary demand
o The desire for a particular product category (general rather than
May increase selective demand desire for a specific brand
3. Differentiate the product
Provides firms more control over marketing variables such as price
focus and attention paid to an item’s advantages and differences from
similar and competing goods.
4. Accentuate the products value
used to explain the greater ownership utility of a product
Greater value helps justify a higher price in the marketplace
5. Stabilize sales
Can stabilize variations in demand
not uniform throughout the year, but may fluctuate due to cyclical,
seasonal, or irregular demand.
Advantages and disadvantages of types of promotion
o Advertising—creates instant awareness, builds brand equity, delivers the message to
mass audiences, but is expensive and difficult to measure
o Product placement—can be very effective in putting an image in front of mass
audiences, but is very expensive and can backfire if the message is inappropriate or
o Sales promotion—can be accurately monitored and measured, gets immediate
consumer response, but leads to mostly short-term sales increases
o Direct marketing—gives customers an action-oriented choice, allows for narrow
segmentation, can customize communications, and has measurable results
o Public relations—offer substantially higher credibility than other techniques, but
news must be believed if it is to be effective
o Guerilla marketing—can be innovative and effective at low cost, but can be too
outrageous or over-the-top and may not reach many people
Elements of the Promotional Mix
Promotional mix — Subset of the marketing mix in which marketers attempt to achieve the
optimal blending of the elements of personal and nonpersonal selling to achieve
2 main components personal selling and nonpersonal selling:
o Nonpersonal selling
advertising sales promotion, direct marketing, public relations, and guerilla
o Personal selling, advertising, and sales promotion are the biggest promotional
expenditures for most firms. o But direct marketing, guerilla marketing, sponsorships, and public relations also
contribute to the IMC.
refers to a seller’s promotional presentation conducted on a person-to-person basis with a
It’s the oldest form of promotion.
o This direct format may be conducted face-to-face, over the phone, through
videoconferencing, or via computer links.
Includes advertising, product placement, sales promotion, direct marketing, public relations,
and guerrilla marketing
An unusual term (my opinion)…understand the specific descriptions
Advertising and sales promotion are usually regarded as the most important forms of
o Any paid, nonpersonal communication through various media about a business firm,
not-for-profit organization, product, or idea by a sponsor identified in a message
o As consumers become increasingly savvy, marketers find new ways to grab their
o Form of nonpersonal selling in which the marketer pays a motion picture or
television program owner a fee to display his or her product prominently in the film
o Marketing activities other than personal selling, advertising, guerrilla marketing, and
public relations that stimulate consumer purchasing and dealer effectiveness
o includes displays, trade shows, coupons, contests, samples, premiums, and
o promotion provides a short-term incentive to emphasize, assist, supplement, or
support other objectives of the promotional mix.
o Trade promotions those sales promotions geared to marketing intermediaries,
often involving sales contests, free merchandise, or buyback allowances.
o Direct communications, other than personal sales contacts, between buyer and seller,
designed to generate sales, information requests, or store or website visits
o Direct marketing is the use of direct communication to a consumer or business
o generate a response in the form of an order (direct purchase), a request for further
information (lead generation), or a visit to a place of business to purchase specific
products (traffic generation
o Firm’s communications and relationships with its various publics
customers, suppliers, stockholders, employees, the government, and the
o can conduct either formal or informal contacts
o Nonpersonal stimulation of demand through unpaid placement of news in published
medium or a favourable presentation of it on the radio or television o Companies don’t pay for publicity, so they have less control over its distribution or its
o Bad publicity can quickly and unexpectedly damage a firm’s reputation and diminish
o Good publicity can sometimes turn a situation around, build admiration for a firm, or
boost its public image.
o Unconventional, innovative, and low-cost marketing techniques designed to get
consumers’ attention in unusual ways
o Usually used by companies with insufficient funds to conduct a full marketing
program, though at times very successful corporations have tried it.
cannot afford the high costs involved in the orthodox media of print and
broadcasting, so they need an innovative, low-cost way of reaching their
o Buzz Marketing
often used with younger consumers, in which people are introduced to a