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BPM

STRATEGIC MARKETING MANAGEMENT


MODULE 10: IMC TO BUILD BRAND
EQUITY

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall.


Strategic Brand Management: Building,
Measuring, and Managing Brand Equity
Fifth Edition

Chapter 6
Integrating Marketing
Communications to Build
Brand Equity

Copyright
Copyright ©Pearson
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2013, Inc.
2008 Pearson
Publishing Education,
as Prentice Hall. Inc. All Rights Reserved
Learning Objectives
 Describe some of the changes in the new media
environment
 Outline the major marketing communication options
 Describe some of the key tactical issues in
evaluating different communication options
 Identify the choice criteria in developing an
integrated marketing communication program
 Explain the rationale for mixing and matching
communication options

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Marketing Communication Objectives

 Means by which firms attempt to inform, persuade,


and remind consumers about the brands they sell
 Can contribute to brand equity by:
◼ Creating awareness of the brand
◼ Linking points-of-parity and points-of-difference associations
to the brand in consumers’ memory
◼ Eliciting positive brand judgments or feelings
◼ Changing consumers’ attitudes
◼ Facilitating a stronger consumer-brand connection and brand
resonance

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The New Media Environment

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The New Media Environment (1 of 2)

The media environment has changed dramatically in


recent years:
 Traditional advertising media seem to be losing their grip
 Digital revolution has changed the way consumers learn and
talk about brands
 Changing media landscape has forced marketers to re-evaluate
how they should best communicate with consumers.
 Challenges in Designing Brand-Building Communications
 Role of Multiple Communications.

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall.


The New Media Environment (2 of 2)

 Example: SMH Digital Subscriptions


http://knownoboundaries.smh.com.au/?utm_source=homepageba
nner&utm_medium=banner&utm_term=digital%2Bsubscriptions&
utm_campaign=digisubs#digitalaccess
 10 Types of Social Media and How Each Can Benefit Your
Business https://blog.hootsuite.com/types-of-social-media/
 6 standout social media marketing examples
https://sproutsocial.com/insights/social-media-marketing-
examples/

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Challenges in Designing Brand-Building
Communications (1 of 4)

 Skillfully designed and implemented marketing


communications programs
 Should be efficient and effective
 Require careful planning and creative expertise

 Focus should be on measuring communications options


based on their contribution to brand equity.
 E.g., how well does a proposed advertising campaign
contribute to brand awareness OR to creating,
maintaining, or strengthening brand associations?

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall.


Challenges in Designing Brand-Building
Communications (2 of 4)
 For a person to be persuaded by any form of communication the
following steps must occur:
1. Exposure: A person must see or hear the communication.

2. Attention: A person must notice the communication.


appeal them -> the need
of customers

3. Comprehension: A person must understand the intended


message or arguments of the communication.
4. Yielding: A person must respond favourably to the intended
message or arguments of the communication.
5. Intentions: A person must plan to act in the desired manner of
the communication.
6. Behavior: A person must actually act in the desired manner of
the communication.
Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall.
Challenges in Designing Brand-Building
Communications (3 of 4)
 From an advertising standpoint, the ideal ad campaign
would ensure that:
 The right consumer is exposed to the right message at
the right place and at the right time.
 The creative strategy causes consumers to notice and
attend to the ad.
The way to convince the customers,
how to transfer the message

◼ But does not distract from the intended message.


 The ad properly reflects the consumer’s level of
understanding.

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall.


Challenges in Designing Brand-Building
Communications (4 of 4)
 The ad correctly positions the brand in terms of
desirable and deliverable points-of-difference and
points-of-parity.
 The ad motivates consumers to consider purchase of
the brand.
 The ad creates strong brand associations to all these
stored communication effects:
◼ So, they have an effect when consumers are
considering making a purchase.

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall.


Figure 6.2- Simple Test for Marketing
Communication Effectiveness

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall.


Magnum Release the Beast Campaign

https://lenachenmkt.wordpress.com/2016/07/10/a-13m-magnum-campaign-release-your-beast/
Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall.
Activity 1: Marketing Communication Effectiveness

 Identify the target market of the case brand’s


advertising campaign.
 Evaluate the effectiveness of the campaign by
using the social listening tools.
 Does it contribute to brand awareness OR to creating,
maintaining, or strengthening brand associations?
 Does it create long-term brand loyalty?

 How would you improve the campaign?


(15 minutes)

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Activity 2: Application of Information
Processing Model of Communications
How can companies positively influence the way
consumers process information? Use Examples.
 How can they increase Exposure?
 How can they increase Attention - Noticing communication?
how to explain to

 How can they influence Comprehension?


customer what we want
to say

 How can they yield favorable response?

 How can they influence consumer Intentions? - Planning to


act in the desired manner of communication
 How can they positively influence Behavior? - Actually,
acting in the desired manner
(20 minutes) Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall.
Role of Multiple Communications
 Advantages of multiple communications
 Optimal utilization of monetary and other resources
when the last dollar spent on each communication
option generated the same return.
 Different communication options also may target
different market segments and have different
objectives. E.g., advertising and sales promotions may
target potential consumers, and member events may
reward loyal consumers.

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Marketing Communication Options

www.bestadsontv.com
Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall.
Advertising
 Any paid form of non-personal presentation and
promotion of ideas, goods, or services by an
identified sponsor
 Powerful means of creating strong, favorable, and
unique brand associations and eliciting positive
judgments and feelings
 It is controversial because specific effects are
difficult to quantify and predict

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall.


Types of Advertising Media

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall.


Print Ad

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Types of Advertising Media

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Sales Promotions

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Sales Promotions
 Advantages
 Permitmanufacturers to charge different prices to
groups of consumers who vary in their price sensitivity
 Convey a sense of urgency to consumers

 Can build brand equity through actual product


experience
 Encourage the trade to maintain full stocks (depending
on type of sales promotion) and support the
manufacturer’s merchandising efforts

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall.


Sales Promotions
 Disadvantages
 Decreased brand loyalty and increased brand
switching
 Decreased quality perceptions, and increased price
sensitivity
 Inhibit the use of franchise

 Divert marketing funds sales promotion

 Increase the importance of price as a factor in


consumer decisions
 May subsidize buyers who would have bought the
brand anyway
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Online Marketing Communication

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall.


Events and Experiences
 Focus on engaging the consumers’ senses and imagination as a
part of brand building
 Event marketing: Public sponsorship of events or activities
related to sports, art, entertainment, or social causes, e.g.,
Cadbury and Coca Cola
http://www.wewonder.com.au/work/cadbury-joyville
 https://www.youtube.com/watch?v=BuCQt5V1bWI
 https://www.coca-colacompany.com/stories/new-coke-and-netflix-take-viewers-back-to-1985-for-stranger-things
https://www.coca-colacompany.com/stories/dispensing-happiness-12-innovative-coca-cola-vending-machines-in-action

 Range from extravagant sponsorship events to a simple local in-


store product demonstration, e.g., Westfield and VAEFNO
 https://www.westfield.com.au/bondijunction/story/4KROY5eSNbrAvBknVcQc7y/taste-shop-play-planner
 http://www.westfield.com.au/sydney/news-and-events/2012/fashion-and-accessories/10/lbb
 https://www.vogue.com.au/fno/event/sydney

 Rationale
 Guidelines Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall.
Mobile Marketing
 Product advertising on various mobile platforms
https://www.youtube.com/watch?v=6k_G_h41ZaQ

 Google Ad Sense:
 https://www.quicksprout.com/how-to-add-adsense-to-your-website/
 https://www.youtube.com/watch?v=nd5Lxt8cAWs

 Geotargeting: Marketers send messages to consumers


based on their location and the activities they are
engaging in https://geomarketing.com/geomarketing-101-what-is-geo-targeting
 Opt-in advertising - Users agree to allow advertisers to
use specific, personal information send them targeted
ads and promotions, e.g. foursquare https://www.adweek.com/tv-
video/how-opt-in-ads-catch-consumer-attention-and-drive-home-brand-intention/

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall.


ACTIVITY 3: INTEGRATED BRAND PROMOTION (IBP)
USING IBP AND NEW MEDIA INTEGRATION WITH TRADITIONAL ADVERTISING

Have a look at the case study and analyze their


integrated brand communications strategy?

1. What marketing communications tools do they use?


2. What are their communications objectives?
3. Which brand building strategies do they focus on?
(Think CBBE)
4. Do the marketing communications tools and campaigns
align? (Think Synergy)

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall.


To Sum up...
 Marketing communication is indispensible to the
process of brand building
 Developments in technology has provided new and
creative modes of communication
 Marketers should employ judicious communications
mix to achieve their goals

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall.


Brand Amplifiers
 Efforts made to engage consumers and the public via
word-of-mouth and public relations and publicity
 Amplify the effects created by other marketing
activities through:
 Public
relations and publicity
 Word-of-mouth
◼ Buzz Marketing
https://www.disruptiveadvertising.com/marketing/buzz-
marketing-strategies/
https://ittisa.com/blog/brand/buzz-marketing-tips-and-best-
examples/
Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall.
Developing Integrated Marketing
Communication Program (IMC)

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Criteria For IMC Program

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Criteria For IMC Program
 Coverage: Proportion of the audience reached by each
communication option, as well as how much overlap exists
among communication options.
 Contribution: Inherent ability of a marketing communication to
create the desired response and communication effects from
consumers in the absence of exposure to any other
communication option.
 Commonality: Extent to which common information conveyed by
different communication options shares meaning across
communication options.

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall.


Criteria For IMC Program
 Complementarity: Describes the extent to which different
associations and linkages are emphasized across communication
options.
 Conformability: Extent that a marketing communication option is
robust and effective for different groups of consumers. Types of
conformability:
• Communication conformability - Ability of the mode of communication to
effectively communicate with the diverse group of customers.
• Consumer conformability - Ability of the communication option to inform or
persuade consumers who vary on dimensions other than communication history.
 Cost: To arrive at the most effective and efficient communication
program evaluations of marketing communications on all of the
preceding criteria must be weighed against their cost.
Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall.
Figure 6-6: IMC Audience Communication
Option Overlap

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Using IMC Choice Criteria

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