INTEGRATED MARKETING COMMUNICATION

Definition
• The term Integrated Marketing Communications suggests that there is something more to marketing communications than a loose set of activities

What is IMC?
• Integrated marketing communications (IMC) is an approach to brand communications where the different modes work together to create a seamless experience for the customer and are presented with a similar tone and style that reinforces the brand’s core message.

• It is goal is to make all aspects of marketing communication such as advertising, sales promotion, public relations direct marketing, online communications and social media work together as a unified force, rather than permitting each to work in isolation, which maximizes their cost effectiveness.

Evolution
Mass marketing using mass communication to Relationship marketing using integrated marketing communication with a focus interaction

Needs of imc

Components of IMC
• The Foundation - is based on a strategic understanding of the product and market. This includes changes in technology, buyer attitudes and behaviour and anticipated moves by competitors. • The Corporate Culture - increasingly brands are seen as indivisible from the vision, capabilities, personality and culture of the corporation. • The Brand Focus - is the logo, corporate identity, tagline, style and core message of the brand. • Consumer Experience - includes the design of the product and its packaging, the product experience (for instance in a retail store) and service. • Communications Tools - includes all modes of advertising, direct marketing and online communications including social media. • Promotional Tools - trade promotions; consumer promotions; personal selling, database marketing, and customer relations management; public relations and sponsorship programs. • Integration Tools - software that enables the tracking of customer behaviour and campaign effectiveness. This includes customer relationship management (CRM) software, web analytics, marketing automation and inbound marketing software.

Communication process

The Marketing Communications Mix
• Advertising:
• Any paid form of nonpersonal presentation and promotion of ideas, goods, or services by an identified sponsor • Short-term incentives to encourage purchase or sale of a product or service • Building good relations and corporate image with the company’s publics using publicity, and handling unfavorable events

• Personal selling:
• Personal presentation by the firm’s sales force for the purpose of making sales and building customer relationships

• Sales promotion:

• Direct marketing:
• Direct communications with targeted individuals to obtain an immediate response and lasting customer relationships

• Public relations:

Push vs. Pull Promotion Strategy

• From media advertising to multiple forms of communication. • From mass media to more specialized (niche) media, which are cantered on specific target audiences. • From a manufacturer-dominated market to a retailerdominated, consumer-controlled market. • From general-focus advertising and marketing to data-based marketing. • From low agency accountability to greater agency accountability, particularly in advertising. • From traditional compensation to performance-based compensation (increased sales or benefits to the company). • From limited Internet access to 24/7 Internet availability and access to goods and services.

Importance of IMC

4 P's vs. 4 C's
• NOT PRODUCT, BUT CONSUMER • You have to understand what the consumers' wants and needs are. Times have changed and you can no longer sell whatever you can make. The product characteristics have to match the specifics of what someone wants to buy. And part of what the consumer is buying is the personal "buying experience." • NOT PRICE, BUT COST • Understand the consumer's cost to satisfy the want or need. The product price may be only one part of the consumer's cost structure. Often it is the cost of time to drive somewhere, the cost of conscience of what you buy, the cost of guilt for not treating the kids, the investment a consumer is willing to make to avoid risk, etc.

4 P's vs. 4 C's
• NOT PLACE, BUT CONVENIENCE • As above, turn the standard logic around. Think convenience of the buying experience and then relate that to a delivery mechanism. Consider all possible definitions of "convenience" as it relates to satisfying the consumer's wants and needs. Convenience may include aspects of the physical or virtual location, access ease, transaction service time, and hours of availability. • NOT PROMOTION, BUT COMMUNICATION • Communicate, many mediums working together to present a unified message with a feedback mechanism to make the communication two-way. And be sure to include an understanding of non-traditional mediums, such as word of mouth and how it can influence your position in the consumer's mind. How many ways can a customer hear (or see) the same message through the course of the day, each message reinforcing the earlier images?

Steps in Developing Effective Communication
• Step 1: Identifying the Target Audience
• Affects decisions related to what, how, when, and where message will be said, as well as who will say it

• Step 2: Determining Communication Objectives
• Six buyer readiness stages

Steps in Developing Effective Communication
• Step 3: Designing a Message
• AIDA framework guides message design • Message content contains appeals or themes designed to produce desired results
• Rational appeals: relate to the audience’s self-interest • Emotional appeals: stir up negative or positive feelings using humour, fear, pride, joy, or even disgust • Moral appeals: related the audience’s sense of right versus wrong

Steps in Developing Effective Communication
• Step 3: Designing a Message
• Message Structure: Key decisions are required with respect to three message structure issues:
• Whether or not to draw a conclusion • One-sided vs. two-sided argument • Order of argument presentation

• Message Format: Design, layout, copy, color, shape, movement, words, sounds, voice, body language, dress, etc.

Steps in Developing Effective Communication
• Step 4: Choosing Media
• Personal communication channels
• Includes face-to-face, phone, mail, and Internet chat communications • Word-of-mouth influence is often critical • Buzz marketing cultivates opinion leaders

• No personal communication channels
• Includes media, atmosphere, and events

Steps in Developing Effective Communication
• Step 5: Selecting the Message Source
• Highly credible sources are more persuasive • A poor spokesperson can tarnish a brand

• Step 6: Collecting Feedback
• Recognition, recall, and behavioural measures are assessed • May suggest changes in product/promotion

Setting the Overall Communication Mix
• Determined by the nature of each promotion tool and the selected promotion mix strategy

Setting the Overall Communication Mix
• • • • • Advertising Personal Selling Sales Promotion Public Relations Direct Marketing • Reaches large, geographically dispersed audiences, often with high frequency • Low cost per exposure, though overall costs are high • Consumers perceive advertised goods as more legitimate • Dramatizes company/brand • Builds brand image; may stimulate short-term sales • Impersonal; one-way communication

Video Snippet DD advertising reaches a broad audience

Setting the Overall Communication Mix
• • • • • Advertising Personal Selling Sales Promotion Public Relations Direct Marketing • Most effective tool for building buyers’ preferences, convictions, and actions • Personal interaction allows for feedback and adjustments • Relationship-oriented • Buyers are more attentive • Sales force represents a long-term commitment • Most expensive of the promotional tools

Setting the Overall Communication Mix
• • • • • Advertising Personal Selling Sales Promotion Public Relations Direct Marketing • Makes use of a variety of formats: premiums, coupons, contests, etc. • Attracts attention, offers strong purchase incentives, dramatizes offers, boosts sagging sales • Stimulates quick response • Short-lived • Not effective at building long-term brand preferences

Setting the Overall Communication Mix
• • • • • Advertising Personal Selling Sales Promotion Public Relations Direct Marketing • Highly credible • Many forms: news stories, news features, events and sponsorships, etc. • Reaches many prospects missed via other forms of promotion • Dramatizes company or benefits • Often the most underused element in the promotional mix

Setting the Overall Communication Mix
• • • • • Advertising Personal Selling Sales Promotion Public Relations Direct Marketing • Many forms: Telephone marketing, direct mail, online marketing, etc. • Four distinctive characteristics: • Nonpublic • Immediate • Customized • Interactive • Well-suited to highly targeted marketing efforts

Promotions Opportunity Analysis
• “A promotions opportunity analysis is the process marketers use to identify target audiences for a company’s goods and services and the communication strategies needed to reach these audiences.” • Conduct a communication market analysis • Competitors • Opportunities • Target markets • Customers • Product positioning

Internet and social media

Key success

Using M-Commerce for IMC
How can firms use the new capabilities of mobile technology to deliver marketing communications?

© 2007 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin

Despite its many benefits, Integrated Marketing Communications, or IMC, has many barriers.
• In addition to the usual resistance to change and the special problems of communicating with a wide variety of target audiences, there are many other obstacles which restrict IMC. These include: Functional Silos; Stifled Creativity; Time Scale Conflicts and a lack of Management know-how. • Take functional silos. Rigid organisational structures are infested with managers who protect both their budgets and their power base. • some organisational structures isolate communications, data, and even managers from each other. For example the PR department often doesn't report to marketing. The sales force rarely meet the advertising or sales promotion people and so on. Imagine what can happen when sales reps are not told about a new promotional offer! • And all of this can be aggravated by turf wars or internal power battles where specific managers resist having some of their decisions (and budgets) determined or even influenced by someone from another department.

Barriers to IMC

Barack Obama
    Personal charisma Use of all communications media Targeted his message beyond previous or likely voters The campaign consistently communicated his upbeat themes of “hope” and "change you can believe in”  Anticipated and outsmarted the competition  An excellent marketing and campaign team

"I want to campaign the same way I govern, which is to respond directly and forcefully with the truth," ~ Barack Obama

Logos & Taglines

Campaign Ads
 Television advertisements
 biographical commercial campaign – 18 states  30-minute infomercial

 "American Stories, American Solutions“

 Campaign songs

OOD Advertising

Interactive Marketing
• $8 million - Google, Yahoo, Facebook, news Web sites, & ad networks • E-mail campaign

Word of Mouth

Site Widgets & Icons

Mobile Marketing

Campaign Spending

Team Obama
 Raised nearly $200 million online, $2 million per day.  Obama attracted more donors than the entire Democratic or Republican party nationwide.  Almost half of Obama's unprecedented $639 million came from small donors giving $300 or less  David Axelrod, media strategist. Founder of Chicago-based AKP Media  David Plouffe, campaign manager. Partner, AKP Media  Robert Gibbs, communications chief

Final Speech