lecture 7- managing communications

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  • 7/28/2019 Lecture 7- Managing Communications

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    Design ing and Managing

    In tegrated Marketing

    Communicat ions

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    Marketing Communications

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    AdvertisingDirect

    Marketing

    Sales

    Promotion

    Public

    Relations

    Personal

    Selling

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    Discussion Scenario

    Research has shown that many people treat their pets as they

    would true members of the family.

    Suppose you opened a bakery that made only nutritional pettreats, doggy birthday cakes and cheesecakes, and made-to-

    order pet food. How could you use each of the previously

    mentioned marketing communications platforms in your

    business?

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    Developing Effective Marketing Communications

    Identify target audience

    Determine objectives ofcommunication

    Design the message

    Select communication channels

    Establish the budget

    Select the marketingcommunications mix

    Measure results Manage the IMC process

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    Steps in Marketing Communications

    Program Development

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    Developing Effective Marketing Communications

    Step 1: Identifying the target audience

    Includes assessing the audiences perceptions of thecompany, product, and competitors company/product

    image

    Step 2: Cognitive, affective, and behavioralobjectives may be set

    Step 3: AIDA model guides message design

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    Developing Effective Marketing Communications

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    Figu re 16-1:

    Response

    Hierarchy Models

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    Developing Effective Marketing Communications

    Message Design

    Content Structure

    Format

    Source

    Message content

    decisions involve the

    selection of appeal,theme, and idea.

    Types of appeals

    Rational appeals

    Emotional appeals

    Moral appeals

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    Discussion Scenario

    Consider the pet bakery example discussed earlier in

    this presentation.

    What tactics would you use to make rational,emotional and/or moral appeals? Which type of

    appeal would you favor using and why?

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    Developing Effective Marketing Communications

    Message Design

    Content Structure

    Format

    Source

    One-sided vs. two-

    sided messages

    Order of argumentpresentation

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    Developing Effective Marketing Communications

    Message Design

    Content Structure

    Format

    Source

    Message format decisionsvary with the type of media,but may include:

    Graphics, visuals

    Headline, copy or script

    Sound effects,voice qualities

    Shape, scent,

    texture of package

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    Developing Effective Marketing Communications

    Message Design

    Content Structure

    Format

    Source

    Message sourcecharacteristics caninfluence attention and

    recall Factors underlying

    perceptions of sourcecredibility:

    Expertise

    Trustworthiness

    Likability

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    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

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    Developing Effective Marketing Communications

    Devoting extra effort toinfluential individuals orcompanies

    Creating opinion leaders

    Working through influential

    community members Using influential people in

    testimonial advertising

    Developing advertising withhigh conversation value

    Use viral marketing

    Developing word-of-mouthreferral channels

    Establishing an electronicforum

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    Methods of Stimulating Personal

    Communication

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    Discussion Scenario

    Once again, think back to the pet bakery example

    discussed earlier in this presentation.

    What specific methods would you undertake tostimulate personal communication, and how would

    you go about implementation?

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    Developing Effective Marketing Communications

    Step 5: Establishing the Marketing CommunicationsBudget

    Affordability method

    Percentage-of-sales method

    Competitive-parity method

    Objective-and-task method

    Step 6: Deciding on the Marketing Communications

    Mix

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    Developing Effective Marketing Communications

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    Figu re 16-2:

    Cost-Effect iveness of Different Promotional Too ls at

    Different Buyer-Readiness Stages

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    Developing Effective Marketing Communications

    Communications Mix

    Selection

    Types of promotional

    tools

    Selection factors

    Advertising

    Sales promotion

    Public relations andpublicity

    Direct marketing

    Personal selling

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    Developing Effective Marketing Communications

    Communications Mix

    Selection

    Types of promotional

    tools

    Selection factors

    Consumer vs. business

    market

    Stage of buyer readiness

    Stage of product life cycle

    Market rank

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    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

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    Developing and Managing the Advertising

    Campaign

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    Figu re 16-3:

    The Five Ms of Ad vert is ing

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    Developing and Managing the Advertising

    Campaign

    The Five Ms of Advertising

    Mission

    Money Message

    Media

    Measurement

    Objectives can be

    classified by aim:

    Inform Persuade

    Remind

    Reinforce

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    Developing and Managing the Advertising

    Campaign

    The Five Ms of Advertising

    Mission

    Money Message

    Media

    Measurement

    Factors considered whenbudget-setting:

    Stage of product life cycle

    Market share and consumerbase

    Competition and clutter

    Advertising frequency

    Product substitutability

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    Developing and Managing the Advertising

    Campaign

    The Five Ms of Advertising

    Mission

    Money Message

    Media

    Measurement

    Factors considered when

    choosing the advertising

    message:

    Message generation

    Message evaluation and

    selection

    Message execution

    Social responsibility review

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    Developing and Managing the Advertising

    Campaign

    The Five Ms ofAdvertising

    Mission Money

    Message

    Media

    Measurement

    Developing media strategyinvolves:

    Deciding on reach, frequency,

    and impact Selecting media and vehicles

    Determining media timing

    Deciding on geographicalmedia allocation

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    Developing and Managing the Advertising

    Campaign

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    Radio Outdoor

    Yellow Pages

    Newspapers

    Telephone

    Direct Mail

    Television

    Magazines

    Brochures

    Internet

    Newsletters

    Major

    Media

    Types

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    Developing and Managing the Advertising

    Campaign

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    Does satellite

    radio

    threaten thefuture of

    radio

    advertising?

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    Developing and Managing the Advertising

    Campaign

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    Wireless

    technologies

    have recentlyemerged as a

    new media

    channel

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    Developing and Managing the Advertising

    Campaign

    Deciding on Media Categories

    Target audiences media habits, nature of the product andmessage, cost

    Media Timing Decisions Macroscheduling vs. microscheduling

    Continuity, concentration, flighting, and pulsing schedulingoptions

    Deciding on Geographical Allocation

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    Developing and Managing the Advertising

    Campaign

    The Five Ms ofAdvertising

    Mission Money

    Message

    Media

    Measurement

    Evaluating advertising

    effectiveness

    Communication-effectresearch

    Sales-effect research

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    Developing and Managing the Advertising

    Campaign

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    Figu re 16-4:

    Formula for Measuring Sales Impact of Advert is ing

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    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

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    Sales Promotion

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    Technology

    simplifies

    couponredemption

    for online

    consumers

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    Sales Promotion

    Establish objectives

    Select consumer-promotion tools

    Select trade-promotion tools

    Select business- and sales force

    promotion tools

    Develop the program

    Pretest the program

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    Steps in Sales Promotion

    Program Development

    Implement and evaluate the program

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    Sales Promotion

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    Prizes Coupons

    POP Displays & Demonstrations

    Cross-Promotions

    Patronage Awards

    Samples

    Product Warranties

    Cash Refunds

    Free Trials

    Premiums

    Tie-in Promotions

    Major

    Consumer

    Sales

    Promotion

    Tools

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    Public Relations

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    Corporate Communications

    Public relations activities promote or

    protect the image of the firm via:

    Counseling Lobbying

    Product Publicity Public Relations

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    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

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    Public Relations

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    Major Public Relations Tools

    Public-service Activities

    Identity MediaSponsorships

    Publications

    SpeechesEvents

    News

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    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.

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    Direct Marketing Channels

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    TV Marketing

    Major Direct Marketing Tools

    Kiosk Telemarketing

    Catalog

    Direct Mail

    Online

    Face-to-Face

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    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

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