Chapter 16 Integrated Marketing Communications

16
Integrated Marketing
Communications
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Chapter 16 Copyright ©2012 by Cengage Learning Inc. All rights reserved 1

Learning Outcomes
LO 1 Discuss the role of promotion in the

marketing mix
LO 2 Discuss the elements of the promotional mix
LO 3 Describe the communication process
LO 4 Explain the goal and tasks of promotion

Learning Outcomes
LO 5 Discuss the AIDA concept and its

relationship to the promotional mix
LO 6 Describe the factors that affect the

promotional mix
LO 7 Discuss the concept of integrated marketing

communications
The Role of Promotion in
the Marketing Mix
Discuss the role of

promotion in the
marketing mix

The Role of Promotion
Promotional
Strategy
A plan for the optimal use of

the elements of promotion:
 Advertising
 Public Relations
 Personal Selling
 Sales Promotion

Exhibit 16.1
Role of Promotion in
the Marketing Mix

Competitive Advantage
High product quality
Rapid delivery
Low prices
Excellent service
Unique features

The Promotional Mix
Discuss the
elements of the
promotional mix

The Promotional Mix
Combination of promotion tools

used to reach the target market
and fulfill the organization’s
overall goals. Includes:
 Advertising
 Public Relations
 Personal Selling
 Sales Promotion

The Promotional Mix
Most commonly distributed

by traditional media, though
increasingly through non-
traditional media, such as
Web sites, e-mail, blogs,
and interactive video kiosks
in malls and supermarkets.

Advertising Media
Traditional
Advertising Media
 Television New
Advertising
 Radio Media
 Newspapers
 Magazines
 Books
 Internet
 Direct mail
 Banner ads
 Billboards
 Viral marketing
 Transit cards
 E- mail
 Interactive video
Advertising
Advantages Disadvantages
 Reach large number  Total cost is high

of people
 National reach is
 Low cost per expensive for small
contact companies
 Can be micro-
targeted

Public Relations
Helps an organization
communicate with
customers, suppliers,
stockholders, government
officials, employees, and
the community.

The Function of Public
Relations

Sales Promotion
Marketing activities—
other than personal
selling, advertising, and
public relations—that
stimulate consumer
buying and dealer
effectiveness.

Sales Promotion
Free samples
Contests End
Consumers
Premiums
Trade
Trade Shows Customers
Vacation Giveaways Company

Employees
Coupons

Personal Selling
Planned presentation to
one or more prospective
buyers for the purpose of
making a sale.

Personal Selling
Attempts to persuade the
Traditional buyer into a specific point
Selling of view. Win-lose outcome.
Long-term relationships,
Relationship create a win-win outcome
Selling

Marketing Communication
Describe the
communication
process

Communication
Communication is…
the process by which meanings are
exchanged or shared through a
common set of symbols.

Categories of
Communication
Interpersonal Mass
Communication Communication

As Senders As Receivers
 Inform  Develop messages
 Persuade  Adapt messages
 Remind  Spot new

communication
opportunities

Exhibit 16.2
Communication Process

Exhibit 16.3
Characteristics of the Elements
in the Promotional Mix
LO3
Advertising
Communication Mode Indirect and impersonal
Communication Control Low
Feedback Amount Little
Feedback Speed Delayed
Message Flow Direction One-way
Message Content Control Yes
Sponsor Identification Yes
Reaching Large Audience Fast
Message Flexibility Same message to all audiences
LO3
Public Relations
Communication Mode Usually indirect, impersonal
Communication Control Moderate to low
Feedback Amount Little
Feedback Speed Delayed
Message Flow Direction One-way
Message Content Control No
Sponsor Identification No
Reaching Large Audience Usually fast
Message Flexibility Usually no direct control

Sales Promotion
Communication Mode Usually indirect and impersonal
Communication Control Moderate to low
Feedback Amount Little to moderate
Feedback Speed Varies
Message Flow Direction Mostly one-way
Reaching Large Audience Fast
Message Flexibility Same message to varied target

Personal Selling
Communication Mode Direct and face-to-face
Communication Control High
Feedback Amount Much
Feedback Speed Immediate
Message Flow Direction Two-way
Reaching Large Audience Slow
Message Flexibility Tailored to prospect

Web 2.0
Web 2.0 tools include:
• Blogs (online journals)
• Podcasting (online radio)
• Vodcasts (online videos)
• Social Networks (Facebook, MySpace)

Blogging
Sponsored by a company or
Corporate one of its brands and
Blogs maintained by one or more of
the company’s employees.
Independent and not

Consumer-
associated with the
Generated
marketing efforts of any
Blogs
particular company or brand.

The Goals and Tasks
of Promotion
Explain the goals and

tasks of promotion

Goals and Tasks of
Promotion
Informing Reminding
Target
Audience
Persuading

Goals and Tasks of
Promotion
Informing Reminding
PLC Stages: PLC Stages:

Introduction Maturity
Early Growth Target
Audience
PLC Stages:
Growth
Maturity
Persuading

Goals and Tasks of
Promotion
Informative Promotion
Beyond the Book
 Increase awareness
 Explain how product works
 Suggest new uses
 Build company image

Goals and Tasks of
Promotion
Persuasive Promotion
Beyond the Book
 Encourage brand switching

 Change customers’ perceptions of
product attributes
 Influence immediate buying decision
 Persuade customers to call

Goals and Tasks of
Promotion
Reminder Promotion
Beyond the Book
 Remind customers that product

may be needed
 Remind customers where

to buy product
 Maintain customer awareness

Promotional Goals
and the AIDA Concept
Discuss the AIDA

concept and its
relationship to the
promotional mix

The AIDA Concept
AIDA Model that outlines the process for

Concept achieving promotional goals in
terms of stages of consumer
involvement with the message.
Attention
Interest
Desire
Action

Exhibit 16.4

The AIDA Concept
Action
Desire Conative (doing)
Interest Affective (feeling)
Attention Cognitive (thinking)

Factors Affecting the
Promotional Mix
Describe the factors

that affect the
promotional mix

Factors Affecting the
Choice of Promotional Mix
Nature of the product
Stage in PLC
Target market characteristics
Type of buying decision
Promotion funds
Push or pull strategy

Exhibit 16.5
Product Life Cycle and
the Promotional Mix
Heavy use of Advertising, Ads decrease; AD/PR decrease;

Advertising; PR, brand sales promotion; limited sales
Light PR for loyalty; personal selling; promotion;
Advertising; awareness; personal reminder & personal selling
pre- sales selling for persuasive for distribution
introduction promotion distribution
publicity for trial
Target Market
Characteristics
For…
Advertising  Widely scattered
market
Sales Promotion
 Informed buyers
Less Personal Selling  Brand-loyal repeat

purchasers

Type of Buying Decision
Advertising
Routine
Sales Promotion
Advertising
Neither Routine
nor Complex
Public Relations
Personal Selling
Complex
Print Advertising

Available Funds
 Trade-offs with funds available

 Number of people in target market
 Quality of communication needed
 Relative costs of promotional
elements

Exhibit 16.6
Push Strategy versus
Pull Strategy

Communications
Discuss the concept

of integrated
marketing
communications

Communications
Integrated
Marketing
Communications
The careful coordination of all

promotional messages to assure
the consistency of messages at
every contact point where a
company meets the consumer.

IMC Popularity Growth
Proliferation of thousands of media
choices
Fragmentation of the mass market
Slash of advertising spending in favor of

promotional techniques that generate
immediate response

Chapter 16 Videos
Vans – Integrated Marketing

Beyond the Book
Communication
This video examines the carefully planned strategy
that Vans developed to create loyalty in a fickle
niche market. Describe Vans’ pyramid strategy.
How does it protect the brand?
http://www.cengage.com/marketing/boo
k_content/1439039429_lamb/company_c
lips/ch16.html

Chapter 16 Integrated Marketing Communications

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16

Chapter 16 Copyright ©2012 by Cengage Learning Inc. All rights reserved 1

LO 1 Discuss the role of promotion in the

LO 2 Discuss the elements of the promotional mix

LO 3 Describe the communication process

LO 4 Explain the goal and tasks of promotion

Chapter 16 Copyright ©2012 by Cengage Learning Inc. All rights reserved 2

LO 5 Discuss the AIDA concept and its

LO 6 Describe the factors that affect the

LO 7 Discuss the concept of integrated marketing

Discuss the role of

Chapter 16 Copyright ©2012 by Cengage Learning Inc. All rights reserved 4

A plan for the optimal use of

Chapter 16 Copyright ©2012 by Cengage Learning Inc. All rights reserved 5

Chapter 16 Copyright ©2012 by Cengage Learning Inc. All rights reserved 6

Chapter 16 Copyright ©2012 by Cengage Learning Inc. All rights reserved 7

Chapter 16 Copyright ©2012 by Cengage Learning Inc. All rights reserved 8

Combination of promotion tools

Chapter 16 Copyright ©2012 by Cengage Learning Inc. All rights reserved 9

Most commonly distributed

Chapter 16 Copyright ©2012 by Cengage Learning Inc. All rights reserved 10

 Reach large number  Total cost is high

Chapter 16 Copyright ©2012 by Cengage Learning Inc. All rights reserved 12

Chapter 16 Copyright ©2012 by Cengage Learning Inc. All rights reserved 13

Chapter 16 Copyright ©2012 by Cengage Learning Inc. All rights reserved 14

Chapter 16 Copyright ©2012 by Cengage Learning Inc. All rights reserved 15

Vacation Giveaways Company

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Chapter 16 Copyright ©2012 by Cengage Learning Inc. All rights reserved 18

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Chapter 16 Copyright ©2012 by Cengage Learning Inc. All rights reserved 20

Chapter 16 Copyright ©2012 by Cengage Learning Inc. All rights reserved 21

 Inform  Develop messages

 Persuade  Adapt messages

 Remind  Spot new

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Chapter 16 Copyright ©2012 by Cengage Learning Inc. All rights reserved 23

Chapter 16 Copyright ©2012 by Cengage Learning Inc. All rights reserved 26

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Independent and not

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Explain the goals and

Chapter 16 Copyright ©2012 by Cengage Learning Inc. All rights reserved 31

Chapter 16 Copyright ©2012 by Cengage Learning Inc. All rights reserved 32

PLC Stages: PLC Stages:

Chapter 16 Copyright ©2012 by Cengage Learning Inc. All rights reserved 33

 Explain how product works

 Suggest new uses

 Build company image

Chapter 16 Copyright ©2012 by Cengage Learning Inc. All rights reserved 34

 Encourage brand switching

Chapter 16 Copyright ©2012 by Cengage Learning Inc. All rights reserved 35

 Remind customers that product

 Remind customers where

 Maintain customer awareness

Chapter 16 Copyright ©2012 by Cengage Learning Inc. All rights reserved 36

Discuss the AIDA

Chapter 16 Copyright ©2012 by Cengage Learning Inc. All rights reserved 37

AIDA Model that outlines the process for

Chapter 16 Copyright ©2012 by Cengage Learning Inc. All rights reserved 38