Marketing Communication & Advertising

NMIMS IGNOU

Nagesh Pai,

Course Modules
1. Basic concepts 2. Ad. Campaign planning and execution 3. Media Planning concepts 4. Marketing Communication Form 5. Ad. Agencies strategy 6. Case studies

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1. Basic concepts
1.1 Marketing Communication Process (about the function) 1.2 Communication Key Behavioral concepts (about the audience) 1.3 Indian Media Scene (about the media environment)

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1. Basic concepts

Marcom Process- Importance

Marcom , a subset of integrated marketing effort Most visible cue of the product key identifier Always on the watchdogs eye Consumer groups and Law Beyond visible advertising
Ref: Table 1 roles of mkt commn

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1.1 Basic concepts> Marcom Process

Role of Marcom
Marketer and consumer pair (Dyad)
Marketers and consumers goal the perfect marriage? Inform, Remind, Persuade Convert latent need to awareness and purchase (Newer products) Consumer cynicism

Marketer Market Dyad

Dealer communication Business 2 Business communication

NGO and Social cause communication

1.1 Basic concepts> Marcom Process

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Concept of Marcom
Dialogue between the buyer and seller not just one way For a Marketer :
Presenting stimuli Observe response from the TG Act upon them Continually find out new communication opportunities

Firm is both sender and receiver of Marketrelated communication

1.1 Basic concepts> Marcom Process

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Model of Communication
Functioning of Communication (figure 1) Marcom Process (figure 2) Misunderstanding in communication
Source effect (perception of the source) Multiple channels, Similar message? Decoding error (Softdrink ad in Saudi) Communication noise Inadequate feedback

Ref: Figure 2, figure 3

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1.1 Basic concepts> Marcom Process

Promotion Mix
Advertising v/s Publicity Personal selling Advantages and limitations Sales Promotion Packaging

Ref: Figure 4, Table 2

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1.1 Basic concepts> Marcom Process

Consumer Behaviour
Understanding and striking chord with your Target audience Consumer needs and Motivation
What drives him? What are her aspirations? How does the product satisfy it?

Consumer Personality and Psychographics

Brand v/s customer personality Lifestyle statements Determination of objective & potency of campaign

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1.2 Basic concepts> Marcom Process

Consumer behaviour theories

Consumer Perception
Perception is all there is Examples Pringles and Aircraft Selective exposure Selective attention

Consumer learning
Repetition optimum frequency Stimulus discrimination Rehearsal and encoding Attitude Group behaviour

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1.2 Basic concepts> Marcom Process

Flashback
Doordarshan, Humlog, Ramayan, Chitrahaar, Sunday movies, He-man, Spiderman, Samachaar AIR, Vividhbharati, Cibaca Geetmala, Bournvita Quiz contest

Mera Parivaar Hamara Bajaj!

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Today..

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India Media Scenario

Doordarshan age >>>> Cable and Satellite era Increasing channels across multiple Genres FM Radio Internet and Mobile Out-of-home

To get a critical mass of your audience, you now need more and more media vehicles (higher dispersion)
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1.3 Basic concepts> Indian media scene

Developments across media

Press
Publication and circulation growth FDI in press

Television
Evolution Growing ad revenues

Radio
Reach FM boom

Cinema
South concentration Multiplexes, Infilm, cobranding

Outdoors Rural Media

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1.3 Basic concepts> Indian media scene

2: Ad. Campaign Planning and Comm. Strategy

Planning Communication Strategy Campaign planning Strategic and creative Creativity : Campaign planning and execution Advertising research Measuring Advertising effectiveness

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2.4 Ad campaigh execn+ planning

Communication strategy
What is strategy?
Knowing where you want to go Knowing how you are going to proceed

Strategy & vision trickling down to final action Promotional strategy (ref fig 1, 2 )

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2.4 Ad campaigh execn+ planning> communication strategy

Campaign planning
Objectives
Brand awareness, sales promo, persuasion etc

What you want to say? (Message design)

The Product The People who will use it/ buy it USPs / differentiation Competitive arena Positioning (perception aspiration)

How you want to say? (Message development through execution)

Say it direct (central) Say it with cues (peripheral) eg: insurance, fire extinguisher etc

Media specific considerations

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2.5 Ad campaigh execn+ planning> campaign planning

Creativity
Creativity
Free and Independent Original act of personalities around the world State of mind with right blend of Rationality and imagination The perfectly tuned violin

Why creativity?
we live in an overcommunicated world To make our message stand apart and be remembered

Cracking Creativity process and the personality Creative associations

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2.6 Ad campaigh execn+ planning> creativity

Cadburys Dairy Milk Case study

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Advertising Research
Monitoring of efficacy of advertising A basis for future course Categories
Recall Measurement Attitude Measurement Brand Usage Pre-testing Post-testing Copy Testing Media research Custom Research

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2.7 Ad campaigh execn+ planning> Ad. Research

Measuring Parameters
Awareness
Open and close-ended questions Check list questions Rating scales

Recall
Aided Recall Unaided Recall

Attitudes
Perception measurements Measuring scales

Frequency of usage
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2.8 Ad campaigh execn+ planning> measurement

Advertising Research
Copy Testing
Qualitative research on focus group Audience impression : open ended questions Adjective checklists Physiological measures body parameters

Syndicated and Custom research

TVR data Readership surveys and ABC circulation data - Customized tests

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2.8 Ad campaigh execn+ planning> Ad. Research

Measuring Advertising effectiveness

Evaluate result against objectives
Objectives need not be necessarily sales

Issues in Advertising
Advertising effects are more subtle Effect accrued over time Multiple variables Short attention spans and memory of respondents

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2.8 Ad campaigh execn+ planning> Ad. Research

Awareness pyramid
Sales Preference Liking and attitude Recall Awareness
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2.8 Ad campaigh execn+ planning> Ad. Research

3. Media Planning Concepts

Concepts, Characteristics and Issues in Media Planning Media Selection, Planning and Scheduling Internet as an Emerging Advertising Medium

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3.9 Media Planning

Advertising objectives
Brand Objectives
Brand Growth (launch) Brand Share Maintenance Protection from competition

Role of Advertising
Vehicle of direct impact Evoking curiosity from customers Link between customer needs and communication Modify attitudes Reinforce the attitudes

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3.9 Media Planning

Characteristics of various media

Television
Audio visual appeal High reach High absolute cost /low cost per contact Broadbased not fit for localized impact Shorter message span

Radio
Remote reach Higher frequency possible Localized impact (works well with activations) Good support / reminder medium

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3.9 Media Planning

Characteristics of various media

Newspaper
Immediacy Announcement value Geographic flexibility More detailed communication possible Limited by literacy Short lifespan

Magazine
Niche audience Longer shelf life More readers per copy Innovations are effective

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3.9 Media Planning

Characteristics of media
Out of home
Outdoors POPs Cinema

Internet and Mobile

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3.9 Media Planning

Media Planning
Creative Advantages and Disadvantages (ref table 9.6) Media Options
Medium as a Medium Medium as a vehicle Medium as a Message

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3.9 Media Planning

Media Selection
Media environment
Nature of medium (genre) Context of use Ways of using it

Physical Characteristics Exposure & Effectiveness Media Choices Reach and flexibility Brand & Media personality (right ambience) Brand Appeal vs media
Sensory Rational Emotive

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3.9 Media Planning

Media Planning : A Process

When? Timing of the Ad Which? Selection of Media How? Coordination & Operations How Much? - Budgeting

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Media Objective Parameters

Target Audience Definition Geographic Concentration Timing Considerations Reach, frequency Creative Requirement

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Scheduling
Steady Pulse Seasonal Pulse Period Pulse Erratic Pulse Start up pulse Promotional Pulse

Reach, Frequency and continuity National Plan, Key Market plan, Skim plan

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Media Strategy and Plan structure

Media Strategy
Media Mix Usage of Media Geographic Allocation Scheduling strategy

Media Plan
Media Vehicle Selection Media Plan and costing Media activity schedule

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Internet The sunrise medium

1.39 M users in 1999 today around 50 M+ users in India Questions regarding Internet advertising
Cost structure Interactivity and its effects Measurement (analytics)

Optimizing creatives for the Internet A word on social networking and Web 2.0

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4. Marketing Communication Forms

Managing Sales Promotion Direct Marketing Publicity and Public Relations Social Marketing communication

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Managing Sales Promotions

Promotions
To Customers To Distributors To Sales force

Objectives
Induce trials and adoption of new product Stabilize fluctuating sales (seasonal slumps) Move out slow products faster (spl. Perishable) Stock clearance (before launch of upgrade) Combat Competition Build Goodwill during festivities Build Product visibility Boost the traders moral

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Consumer promotions
Scheme Selection
Not easily imitable Should be easily encashable by customers Ensure availability of stock well in advance

Scheme Execution
Geographic consideration (prevent leakage) Involving local forces

Promoting the promotion Followup and monitoring

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Consumer contest
Contest and General Sales promo Type of contest Prize Schedule Advertising and promotion for the contest Consumer contest rules (pepsi ad)

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Trade Promotions
Match Schemes with capability for different distributor levels Schemes shouldnt encourage traders to mis-sell Booking of shelf- space well in advance (non-exclusive channels) Gifts should have good brands and utility Offer support like POP etc to promising dealers Help large retail dealers with their own schemes MRTP act on discounts.

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Managing Sales promos

Sales incentives and rewards
Increase sales per salesperson Boost their morale Launch as well as revival of old products

Organizing the contest

Fun theme Clear rules Participation Promotion

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Heinz Goldmans Donts of a sales promo

Dont reward just one person Dont set goals too high Dont start the contests towards the end of year Dont use sales volume alone as the parameter Dont use the same prizes for every contest Dont include just sales people in the contest Dont let the sales contest become a guessing game (clear purpose) Dont look for fair or a just contest

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Sales promos in Services

Options available Broader service line more challenging Can be linked with usage levels (frequent flyers, loyalty schemes) Consumer response may not be linear to % discount Joint promos possible (airdeccan and cleartrip) Promos are easily imitable Price sensitivity Undiscounted price is then perceived as inflated

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Sales Promo evaluation

Pre-testing Testing during the promo Post testing Value of sales promo evaluation Role of Salesforce

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Direct Marketing
Eliminate the Middleman Interactive one on one communication with the customer One or more advertising media Measurable response Transaction at any location Direct mail, mail order, response As on TV, Catalogs and infomercials Steps in DM
Isolate your customer (you have been chosen) Building a continual relationship Build a profitable relationship

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Direct marketing
Direct marketing popularly used by
Educational and health institutions Pharmaceuticals Religious and Charitable orgns Theater groups and universities

Direct marketed products should be

Unique in function and should be available only through direct channels (eureka forbes, Quantum Mutual fund, Dell computers) Unusual Stand apart from the usual market stuff Universal repeat business

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Direct sales and Lead generation

Direct sales One step
Customer directly sees the communication and commits purchase Mailback coupons Catalogues TV infomercials Catalogues evolving with editorial content (MyWorld mag)

Lead generation
Usually for high value goods Qualifying leads and then graduating them to sales

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Media for Direct Marketing

Print Media
Size of the ad Colour The responsive device Advertising environment

Broadcast media Telemarketing support

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