This document discusses integrated marketing communications (IMC) and the customer relationship management (CRM) process. It provides an overview of key aspects of developing an IMC strategy including segmenting customers, designing communications and pricing strategies, implementing the strategies, and evaluating results. The document outlines the continuous IMC planning process and tools that can be used, such as advertising, direct marketing, public relations, and personal selling. It also discusses how to allocate marketing communication budgets.

1. McGraw-Hill/Irwin Copyright © 2009 by the McGraw-Hill Companies, Inc. All rights reserved.

2. Chapter 10
CREATING CUSTOMER
DIALOGUE

3. FOUR STEPS IN THE CRM PROCESS
1.
Segment &
Profile the Market
Design
4. Evaluate Communication and 2.
Pricing Strategy
Implement
3.
EXHIBIT 10-1
10-3

4. IMC STRATEGY REQUIREMENTS
1. DETERMINE HOW WE WILL
COMMUNICATE WITH OUR CUSTOMER
2. DETERMINE HOW OUR CUSTOMER
WANTS TO COMMUNICATE WITH US
3. MEASURE COMMUNICATION AND
FEEDBACK AND MAKE CHANGES WHERE
NECESSARY
10-4

5. WHAT IS IMC?
1. IT PROVIDES TWO-WAY DIALOGUE
BETWEEN SUPPLIER-CUSTOMER
2. IT PROVIDES FOR A UNIFORM MESSAGE
DELIVERED THROUGH ALL COMPANY
MEDIA
(ADVERTISING, SELLING EFFORT,
DIRECT MAIL, TRADE SHOWS)
3. IT FOCUSES ON MEETING THE
INFORMATION NEEDS OF THE BUYER
10-5

6. THE CONTINUOUS
IMC PLANNING PROCESS
Set Goals
Determine
Make Adjustments
Communication
Elements
Measure Results
Create Message
Place Messages
in Media
Exhibit 10-2
10-6

7. THE HIERARCHY OF EFFECTS MODEL
Action
Desire
Interest
Awareness
Exhibit 10-3
10-7

8. COMMUNICATION TOOL KIT
1. ADVERTISING—Directed to a general audience, primarily through trade
publications, the web, television, radio, billboards
2. DIRECT MARKETING—Directed to a specific audience to generate leads and
generate sales through the mail, by fax or Internet and catalogs
3. PUBLIC RELATIONS—Focuses on relationships to create goodwill and support
relationships
4. INTERNET—Website information and support and e-mail for communicating
5. TRADE SHOWS—Exhibits and demonstrates products and services in a public
venue with personal interaction
6. TELEMARKETING—Inbound and outbound electronic communication allowing
greater feedback opportunities
7. PERSONAL SELLING—Adaptable selling method established by one-on-one contact
8. MARKETING RESEARCH—Capturing information that will enable stronger
customer relationships
10-8

9. THE ROLES OF ADVERTISING
Close
Sales
Generate
Sales Leads
Create Favorable
Climate for Salespeople
Create or Strengthen Image
Exhibit 10-6
10-9

10. ACHIEVING CUSTOMER RETENTION
THROUGH COMMUNICATION
1. COMMUNICATE PROACTIVELY AND
REGULARLY TO YOUR CUSTOMERS
2. MAKE DIALOGUE EASY TO INITIATE
BY YOUR CUSTOMERS
3. MAKE IT EASY TO RESPOND TO YOUR
COMMUNICATION EFFORTS
10-10

11. WHERE MARKETING COMMUNICATION
DOLLARS ARE SPENT
Online Direct Marketing
Marketing
Advertising
Market
Research 7.7%
5.8 7.7%
5.8% % 24.8%
Premiums & 4.3%
Incentives 4..2%
43 % 24.8%
4.2%
Other 4.4%
4.4%
3.1%
3.1%
3.1% Public
Relations
16.9% 10.8%
16.9% 10.8% Sales Force
Trade Management
Shows 18.0%
18.0%
Sales Promotion
Exhibit 10-8
10-11

12. THE BUDGET BREAKDOWN METHOD
(Allocates Total Available Budget)
TOTAL AVAILABLE BUDGET FUNDS
Allocated to:
Trade Show Sales Force
Mail Magazines Internet
Radio Newspaper
Exhibit 10-10
10-12

13. THE BUDGET BUILDUP
(Creates Total Budget)
How Much is Needed for Objective
Trade Shows Radio Newspaper Sales Force
Mail Magazines Internet
Creates Total Budget
Exhibit 10-10
10-13