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Chapter 14

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Dave Ashberry

BU352 Chapter 14 – Integrated Marketing Communications Week 9 Introduction -Integrated marketing communications (IMC) – represents the promotion dimension of the four Ps; encompasses a variety of communication disciplines – general advertising, personal selling, sales proton, public relations, direct marketing, and electronic media – in combination to provide clarity, consistency, and maximum communicative impact Communicating with Consumers The Communication Process The Sender -Sender – the firm from with an IMC message originates; the sender must be clearly identified to the intended audience -Deceptive advertising – a representation, omission, act, or practice in an advertisement that is likely to mislead consumers acting reasonably under the circumstances The Transmitter -Transmitter – an agent or intermediary with which the sender works to develop the marketing communications Encoding -Encoding – the process of converting the sender’s ideas into a message, which could be verbal, visual or both The Communication Channel -Communication channel – the medium – print, broadcast, the Internet – that carries the message Receiver -Receiver – the person who reads, hears, or sees and processes the information contained in the message or advertisement Noise -Noise – any interface that stems from competing messages, a lack of clarity in the message or a flaw in the medium; a problem for all communication channels Feedback Loop -Feedback loop – allows the receiver to communicate with the sender and thereby informs the sender whether the message was received and decoded properly How Consumers Perceive Communication -Each receiver may interpret the sender’s message differently, and senders often adjust their message according to the medium used and the receivers’ level of knowledge about the product or service -Receivers decode messages differently -Senders adjust messages according to the medium and receivers’ traits Integrated Marketing Communications Tools -For any communications campaign to succeed, the firm must deliver the right message to the right audience through the right media -No single communication channel is better than another BU352 Chapter 14 – Integrated Marketing Communications Week 9 Advertising -Advertising – a paid form of communication from an identifiable source, delivered through a communication channel, and designed to persuade the receiver to take some action, now or in the future Personal Selling -Personal selling – the two-way flow of communication between a buyer and a seller that is designed to influence the buyer’s purchase decision Sales Promotion -Sales promotion – special incentives or excitement-building programs that encourage the purchase of a product or service, such as coupons, rebates, contests, free samples, and point-of-purchase displays Direct Marketing -Direct marketing – marketing the communicates with target customers to generate a response or transaction -Four defining characteristics: it is targeted, motivates an action, is measurable, and can provide information for the development of a marketing database -Direct marketing offers benefits to both buyers and sellers -The increased use of customer databases has enabled marketers to identify and track consumers over time and across purchase situations, which has contributed to the rapid growth of direct marketing Direct Mail/E-mail -A targeted form of communication distributed to a prospective customer’s mailbox or inbox -Mailing lists are a critical component of direct mail – if you choose the wrong list your promotion will be perceived as junk mail -To be effective, a good contact list is a must and a good offer is also needed to compel consumers to take immediate action Catalogues -Catalogues are particularly important for companies with no bricks-and-mortar locations Direct Response TV -Direct response TV (DRTV) – TV commercials or infomercials with a strong call to action -Most DRTV ads have a short 60-120 second formats or are much longer 30 minute infomercials Kiosks -Can be used to sell both services and products to end consumers Public Relations -Public relations (PR) – the organizational function that manages the firm’s communications to achieve a variety of objectives, including building and maintaining a positive image, handling or heading off unfavourable stores or events, and maintaining positive relationships with the media -PR is the free placement of a company’s message in the media -Cause-related marketing – commercial activity in which businesses and charities form a partnership to market an image, product, or service for their mutual benefit; a type of promotional campaign -Good PR has always been an important success factor -A very popular PR tool is event sponsorship -Event sponsorship – a popular PR tool; occurs when corporations support various activities (financially BU352 Chapter 14 – Integrated Marketing Communications Week 9 or otherwise), usually in the cultural or sports and entertainment sectors -Firms often distribute a PR toolkit to communicate with various audiences – some toolkit elements are designed to inform specific groups directly, whereas others are created to generate media attention and disseminate information Electronic Media -Electronic media – tools ranging from simple website content to far more interactive features such as corporate blogs, online games, text messaging, social media, and mobile apps -These forms of electronic media were only designed for the online world Websites -Firms are increasing their emphasis on communicating with customers through their websites -They use them to build their brand image and educate customers about their products or services and where they can be purchased Blogs -Blog – a web page that contains periodic posts; corporate blogs are a new form of marketing communications Online Games -One particularly successful way to reach younger consumers is through short online games that allow consumers to interact with the site and possibly other players -Ex. Being able to feed your neopet McDonalds products Text Messaging -Retailers can send coupons directly to shoppers’ cellphones -Shoppers text a code found on store signs to get the coupon and then display it on their phone at checkout -Some concert halls use this technology to sell tickets -People can use their cell phones to donate – Ex. Alberta Flood Relief Social Media -Refers to the broad spectrum of online social networking sites – YouTube, Facebook, and Twitter -Marketers can use it to engage their customers in proactive dialogue Mobile Apps -Apps are used for games to advertising to busine
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