Intergrated marketing communication


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Intergrated marketing communication

  2. 2. INTEGRATED MARKETING COMMUNICATIONS MIX  A management concept that is designed to make all aspects of marketing communication such as advertising, sales promotion, public relations, and direct marketing work together as a unified force, rather than permitting each to work in isolation. It ensures that all forms of communications and messages are carefully linked together. It means integrating all the promotional tools, so that they work together in harmony. Promotion is one of the ``4Ps’’ in the marketing mix. Promotion has its own mix of communications tools.  All of these communications tools work better if they work together in harmony rather than in isolation. Their sum is greater than their parts - providing they speak consistently with one voice all the time, every time.
  3. 3. LEVELS OF INTEGRATION Horizontal Integration  Occurs across the marketing mix and across business functions - for example, production, finance, distribution and communications should work together and be conscious that their decisions and actions send messages to customers Vertical Integration  Marketing and communications objectives must support the higher level corporate objectives and corporate missions. Internal Integration  Internal marketing requires us to be keeping all staff informed and motivated about any new developments from new advertisements, to new corporate identities, new service standards, new strategic partners and so on. External Integration  It requires external partners such as advertising and PR agencies to work closely together to deliver a single seamless solution, a cohesive message, an integrated message.
  4. 4.           BENEFITS OF IMC It creates competitive advantage, boost sales and profits, while saving money, time and stress. IMC wraps communications around customers and helps them move through the various stages of the buying process. The organization simultaneously consolidates its image, develops a dialogue and nurtures its relationship with customers. This 'Relationship Marketing' cements a bond of loyalty with customers which can protect them from the inevitable onslaught of competition. The ability to keep a customer for life is a powerful competitive advantage. IMC also increases profits through increased effectiveness. At its most basic level, a unified message has more impact than a disjointed myriad of messages. In a busy world, a consistent, consolidated and crystal clear message has a better chance of cutting through the 'noise' of over five hundred commercial messages which bombard customers each and every day. IMC can boost sales by stretching messages across several communications tools to create more avenues for customers to become aware, aroused, and ultimately, to make a purchase Carefully linked messages also help buyers by giving timely reminders, updated information and special offers which, when presented in a planned sequence, help them move comfortably through the stages of their buying process. and this reduces their 'misery of choice' in a complex and busy world. IMC also makes messages more consistent and therefore more credible. This reduces risk in the mind of the buyer which, in turn, shortens the search process and helps to dictate the outcome of brand comparisons. Integrated communications present a reassuring sense of order.
  5. 5. Challenges to IMC      Resistance to change and the special problems of communicating with a wide variety of target audiences Some organizational 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 An advertising agency may not be so enthusiastic about developing a creative idea generated by, say, a PR or a direct marketing consultant. IMC can restrict creativity. No more wild and wacky sales promotions unless they fit into the overall marketing communications strategy. The joy of rampant creativity may be stifled, but the creative challenge may be greater and ultimately more satisfying when operating within a tighter, integrated, creative brief. Time Horizons provide one more barrier to IMC. For example, image advertising, designed to nurture the brand over the longer term, may conflict with shorter term advertising or sales promotions designed to boost quarterly sales. However the two objectives can be accommodated within an overall IMC if carefully planned
  6. 6. How to become integrated and stay integrated     Focus on a clear marketing communications strategy. Have crystal clear communications objectives; clear positioning statements. Link core values into every communication. Ensure all communications add value to (instead of dilute) the brand or organization. Exploit areas of sustainable competitive advantage. Think Customers First. Wrap communications around the customer's buying process. Identify the stages they go through before, during and after a purchase. Select communication tools which are right for each stage. Develop a sequence of communications activities which help the customer to move easily through each stage. Build Relationships and Brand Values. All communications should help to develop stronger and stronger relationships with customers. Ask how each communication tool helps to do this. Remember: customer retention is as important as customer acquisition. Develop a Good Marketing Information System which defines who needs what information when. A customer database for example, can help the telesales, direct marketing and sales force. IMC can help to define, collect and share vital information.
  7. 7. PERSONAL SELLING PROCESS 7Ps of selling  Prospecting-looking for prospective customers  Preparation-customer research, objective setting etc  Presentation-demonstration and discussions  Possible problems-foreseeing and handling objections  Please give me the order-closing the sale and getting the order  Pen to paper-recording details accurately  Post sales service-developing the relationship
  8. 8. Disadvantage  Cost per contact is costly  Low reach  Low control over message
  9. 9. Advantage  A two way communication hence instant      feedback Less noise in the system than other tools Participation in the decision process is greater on the part of the seller Messages can be tailored Encourage placing of order and closing the sale
  10. 10. DIRECT MARKETING  This is concerned with establishing an individual relationship between the business offering a product or service and the final customer. Direct marketing defined by the Institute of Direct Marketing as: The planned recording, analysis and tracking of customer behavior to develop a relational marketing strategy.
  11. 11. Principles objectives of direct marketing;  Customer acquisition  Customer retention  The subsidiary objectives associated with the above are;  Lead qualification (adding to the information known about the prospect/customer)  Customer relationship management(maintaining contact) 
  12. 12. Prospect hierarchy Based on Tapp (1998)  1. Lapsed/former customers  2. Enquiries  3. Referrals  4. Profiled prospects  5. Hand raisers  6. Suspects
  13. 13. Direct marketing tools • Direct-response adverts on television and radio • Mail order catalogues • E-commerce • Magazine inserts • Direct mail • Telemarketing
  14. 14. Effectiveness of methods  Publicity - more effective at awareness stage  Advertising - becomes less effective over time  Personal selling - more effective when a more personal relationship is needed  Sales promotion - gives added incentive for buyer action
  15. 15.  ADVERTISING presentation and promotion of ideas, goods, Any paid form of non personal services, person, place by an identified people (sponsor). Advertising is impersonal mass communication that the sponsor has paid for and in which the sponsor is clearly identified. The most familiar forms of the ads are found in the broadcast (TV and Radio) and print (newspapers & magazines) media. However there are many other advertising alternatives, from direct mail to bill boards and telephone directory yellow pages. Effectiveness  Effective in the product awareness stage and less effective in inducing purchasing Advantage  Good for building awareness  Effective at reaching a wide audience  Repetition of main brand and product positioning helps build customer trust Demerit  Impersonal - cannot answer all a customer's questions  Not good at getting customers to make a final purchasing decision
  16. 16. PUBLICITY  Non personal communications of information about a firm or person is transmitted through a mass medium at no charge to the firm. Publicity is special form of public relations. Public relation can be a powerful brand building tool. Generally saying is PR is nail and AD is hammer. Therefore PR has a more curability than others Effectiveness  When undertaking post purchase it is the most effective method and least effective in inducing purchasing Merit  Often seen as more "credible" - since the message seems to be coming from a third party  Cheap way of reaching many customers - if the publicity is achieved through the right media Demerit  Risk of losing control - cannot always control what other people write or say about your product 
  17. 17. PERSONAL SELLING  It is the direct presentation of the product or personnel presentation by the firm’s sales force to a prospective customer for the purpose of making sales and building customer relationships. Personal selling takes place face to face or over the phone, and it may be directed to a middlemen or a final consumer. It is the only way to adopt a presentation to individual customer sales promotion. Effectiveness  This is the most effective method for inducing purchase and relationship Merit  Highly interactive - lots of communication between the buyer and seller  Excellent for communicating detailed product information and features  Relationships can be built up - important if closing the sale make take a long time Demerit  Costly - employing a sales force has many hidden costs in addition to wages  Not suitable if there are thousands of important buyers  Control
  18. 18. SALES PROMOTION  It is demand stimulating activity designed to supplement advertising and facilitate the personal selling. The common goal of sales promotion is to convincing people to try new product. This tool includes a wide spectrum of activities such as samples, premiums, coupons. Discount, Allowance, trade of are the best examples of sales promotion. Effectiveness  Effective in inducing purchase and least effective in post purchase Merit  stimulate quick increases in sales by targeting promotional incentives on particular products  Good short term tactical tool Demerit  If used over the long-term, customers may get used to the effect  Too much promotion may damage the brand image 
  19. 19. DIRECT MARKETING  Involves the delivery of personalized and often interactive promotional materials to individual consumers via channels such as mail, catalogs, Internet, e-mail, telephone, and direct-response advertising. By targeting consumers individually, organizations hope to get consumers to take action. Effectiveness  Effective in inducing awareness, interest, desire and purchase. It cuts across the entire sales cycle.