Chapter 13 – Integrated Marketing Communications
• Analyzing promotion ▯function of informing, persuading and influencing customers purchase
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 buyerseller
• To prevent loss of attention, marketers are turning to integrated marketing communications
(IMC) ▯which coordinate all promotional activities to produce a unified, customerfocused
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 customeroriented 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 customerspecific 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, Instore, Sponsorships etc)
o Trade Shows
o Copy Strategy must be identical across all platforms
Social Media − Packaging – The Face of the Brand
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 Benefitdriven 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 bigpicture 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 inhouse staff and outside vendors, including salespeople and customer
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
• Effective message:
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 them • AIDA concept
o stands for attentioninterestdesireaction, the steps consumers take in reaching a purchase
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 brand)
− 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 sale
− Can stabilize variations in demand
− not uniform throughout the year, but may fluctuate due to cyclical, seasonal, or
• 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 overused
o Sales promotion—can be accurately monitored and measured, gets immediate consumer
response, but leads to mostly shortterm sales increases
o Direct marketing—gives customers an actionoriented 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 overthetop 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 promotional
• 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 persontoperson basis with a buyer.
• It’s the oldest form of promotion.
o This direct format may be conducted facetoface, over the phone, through
videoconferencing, or via computer links.
• Includes advertising, product placement, sales promotion, direct marketing, public relations, and
• An unusual term (my opinion)…understand the specific descriptions
• Advertising and sales promotion are usually regarded as the most important forms of nonpersonal
o Any paid, nonpersonal communication through various media about a business firm, not
forprofit organization, product, or idea by a sponsor identified in a message
o As consumers become increasingly savvy, marketers find new ways to grab their attention.
• Product Placement
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 or show
• Sales Promotion
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 demonstrations.
o promotion provides a shortterm 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.
• Direct Marketing
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 recipient
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
• Public Relations
o Firm’s communications and relationships with its various publics
customers, suppliers, stockholders, employees, the government, and the general
o can conduct either formal or informal contacts
• Publici y
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 brand
equity. o Good publicity can sometimes turn a situation around, build admiration for a firm, or boost
its public image.
• Guerilla Marketing
o Unconventional, innovative, and lowcost 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, lowcost way of reaching their market.
o Buzz Marketing
often used with younger consumers, in which people are introduce