Chapter 16

1. Chapter 16 Designing and Managing Integrated Marketing Communications PowerPoint by Karen E. James Louisiana State University - Shreveport To accompany A Framework for Marketing Management, 2nd Edition

2. Objectives • Learn the major steps in developing an effective integrated marketing communications program. • Understand the steps involved in developing an advertising program. • Learn how companies can exploit the marketing potential of sales promotion, public relations, direct marketing, and e-marketing. To accompany A Framework for Marketing Management, 2nd Edition

3. Advertising Sales Promotion Public relations Direct marketing Marketing Communications Communications Platforms • Personal selling To accompany A Framework for Marketing Management, 2nd Edition

4. Identify target audience Determine objectives of communication Design the message Select communication channels Establish the budget Select the marketing communications mix Measure results Manage the IMC process Developing Effective Marketing Communications Steps in Marketing Communications Program Development To accompany A Framework for Marketing Management, 2nd Edition

5. Developing Effective Marketing Communications • Step 1: Identifying the target audience • Includes assessing the audience’s perceptions of the company, product, and competitors’ company/product image • Step 2: Cognitive, affective, and behavioral objectives may be set • Step 3: AIDA model guides message design To accompany A Framework for Marketing Management, 2nd Edition

6. Message Design Content Structure Format Source Message content decisions involve the selection of appeal, theme, idea, or USP Types of appeals Rational appeals Emotional appeals Moral appeals Developing Effective Marketing Communications To accompany A Framework for Marketing Management, 2nd Edition

7. Message Design Content Structure Format Source One-sided vs. two-sided messages Order of argument presentation Developing Effective Marketing Communications To accompany A Framework for Marketing Management, 2nd Edition

8. Message Design Content Structure Format Source Message format decisions vary with the type of media, but may include: Graphics, visuals Headline, copy or script Sound effects, voice qualities Shape, scent, texture of package Developing Effective Marketing Communications To accompany A Framework for Marketing Management, 2nd Edition

9. Message Design Content Structure Format Source Message source characteristics can influence attention and recall Factors underlying perceptions of source credibility: Expertise Trustworthiness Likability Developing Effective Marketing Communications To accompany A Framework for Marketing Management, 2nd Edition

10. Developing Effective Marketing Communications • Step 4: Selecting Communication Channels • Personal communication channels • Effectiveness derives from personalization and feedback • Several methods of stimulating personal communication channels exist • Nonpersonal communication channels • Influence derives from two-step flow-of-communication process To accompany A Framework for Marketing Management, 2nd Edition

11. Devoting extra effort to influential individuals or companies Creating opinion leaders Working through influential community members Using influential people in testimonial advertising Developing advertising with high “conversation value” Use viral marketing Developing word-of-mouth referral channels Establishing an electronic forum Developing Effective Marketing Communications Methods of Stimulating Personal Communication To accompany A Framework for Marketing Management, 2nd Edition

12. Developing Effective Marketing Communications • Step 5: Establishing the Marketing Communications Budget • Affordability method • Percentage-of-sales method • Competitive-parity method • Objective-and-task method • Step 6: Deciding on the Marketing Communications Mix To accompany A Framework for Marketing Management, 2nd Edition

13. Communications Mix Selection Types of promotional tools Selection factors Advertising Sales promotion Public relations and publicity Direct marketing Personal selling Developing Effective Marketing Communications To accompany A Framework for Marketing Management, 2nd Edition

14. Communications Mix Selection Types of promotional tools Selection factors Consumer vs. business market Stage of buyer readiness Stage of product life cycle Market rank Developing Effective Marketing Communications To accompany A Framework for Marketing Management, 2nd Edition

15. Developing Effective Marketing Communications • Step 7: Measure Results • Recognition, recall, attitudes, behavioral responses • Step 8: Manage the Integrated Marketing Communications Process • Provides stronger message consistency and greater sales impact • Improves firms’ ability to reach right customers at right time with right message To accompany A Framework for Marketing Management, 2nd Edition

16. The Five Ms of Advertising Mission Money Message Media Measurement Objectives can be classified by aim: Inform Persuade Remind Reinforce Developing and Managing the Advertising Campaign To accompany A Framework for Marketing Management, 2nd Edition

17. Factors considered when budget-setting: Stage of product life cycle Market share and consumer base Competition and clutter Advertising frequency Product substitutability The Five Ms of Advertising Mission Money Message Media Measurement Developing and Managing the Advertising Campaign To accompany A Framework for Marketing Management, 2nd Edition

18. Factors considered when choosing the advertising message: Message generation Message evaluation and selection Message execution Social responsibility review The Five Ms of Advertising Mission Money Message Media Measurement Developing and Managing the Advertising Campaign To accompany A Framework for Marketing Management, 2nd Edition

19. Developing media strategy involves: Deciding on reach, frequency, and impact Selecting media and vehicles Determining media timing Deciding on geographical media allocation The Five Ms of Advertising Mission Money Message Media Measurement Developing and Managing the Advertising Campaign To accompany A Framework for Marketing Management, 2nd Edition

20. Newspapers Television Direct mail Radio Magazines Outdoor Yellow pages Newsletters Brochures Telephone Developing and Managing the Advertising Campaign Major Media Types • Internet To accompany A Framework for Marketing Management, 2nd Edition

21. Developing and Managing the Advertising Campaign • Deciding on Media Categories • Target audience’s media habits, nature of the product and message, cost • Media Timing Decisions • Macroscheduling vs. microscheduling • Continuity, concentration, flighting, and pulsing scheduling options • Deciding on Geographical Allocation To accompany A Framework for Marketing Management, 2nd Edition

22. Evaluating advertising effectiveness Communication-effect research Sales-effect research The Five Ms of Advertising Mission Money Message Media Measurement Developing and Managing the Advertising Campaign To accompany A Framework for Marketing Management, 2nd Edition

23. Sales Promotion • Sales promotions are short-term incentives designed to stimulate purchase among consumers or trade • Purpose of sales promotion • Attract new triers or brand switchers • Reward loyal customers • Increase repurchase rates To accompany A Framework for Marketing Management, 2nd Edition

24. Establish objectives Select consumer-promotion tools Select trade-promotion tools Select business- and sales force promotion tools Develop the program Pretest the program Sales Promotion Steps in Sales Promotion Program Development • Implement and evaluate the program To accompany A Framework for Marketing Management, 2nd Edition

25. Samples Coupons Cash refunds (rebates) Premiums Prizes (contests, sweepstakes, games) Patronage awards Free trials Product warranties Tie-in promotions Cross-promotions Point-of-purchase displays and demonstrations Sales Promotion Major Consumer-Promotion Tools To accompany A Framework for Marketing Management, 2nd Edition

26. Public Relations • Public relations activities promote or protect the image of a firm or product • Public relations functions: • Press relations • Product publicity • Corporate communications • Lobbying • Counseling To accompany A Framework for Marketing Management, 2nd Edition

27. Public Relations • Marketing Public Relations (MPR) • Plays an important role in • New product launches • Repositioning of mature brand • Building interest in product category • Influencing specific target groups • Defending products with public problems • Building the corporate image • Three Major MPR Decisions To accompany A Framework for Marketing Management, 2nd Edition

28. Publications Events Sponsorships News Speeches Public-service activities Identity media Public Relations Major Public Relations Tools To accompany A Framework for Marketing Management, 2nd Edition

29. Direct Marketing • Direct marketing uses consumer-direct channels to reach and deliver offerings to consumers without intermediaries. • Direct marketing is growing and offers consumers key benefits. • Firms are recognizing the importance of integrated direct marketing efforts. To accompany A Framework for Marketing Management, 2nd Edition

30. Face-to-face selling Direct mail Catalog marketing Telemarketing Direct-response TV marketing Kiosk marketing E-marketing Direct Marketing Major Direct Marketing Tools To accompany A Framework for Marketing Management, 2nd Edition

31. Direct Marketing • Steps in Developing a Direct-Mail Campaign: • Step 1: Set objectives • Step 2: Identify target markets • Step 3: Define the offer • Step 4: Test the elements • Step 5: Measure results To accompany A Framework for Marketing Management, 2nd Edition