1. Managing the Integrated Communication
What is communication? Setting of communication
objectives, identifying target audience, modes of
communication, designing message, choosing tool for
communication, Media decisions, evaluating various
media,
Advertising management, Advertisement management,
Managing sales promotions, evaluating results, integrating
the entire communication, role of public relations and
publicity, significance and managing communication
through direct marketing and personnel selling, role of
internet marketing, emerging communication trends.
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2. “Science of tough cleaning”
means that its concept is
based on the oxidization that
oxidizes the stains
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3. Promotions
Mahinder singh Dhoni (45%) 24 Brands
Shahrukh khan 16 Brands
Sachin Tendulkar 15 Brands
- Adex Survey of TAM Research
Kareena kapoor, Sonam kapoor, Kajol, Aishwarya Rai were
the most popular faces.
Bollywood Actors (42%) & Sports personality (10%)
are associated for the celebrity endorsements on TV.
Top 5 categories endorsed by celebrities are:
Aerated soft drinks, Cellular phone services, Toilet Soaps,
Shampoos & Tele Vision.
Brands endorsed by celebrities are:
Lux, Pepsi, Airtel, Panasonic, Coca- cola. 3
4. • Emami is making Bipasha Basu as their
brand ambassader.
• Boroplus Amitabh Bachan
• Navratan Oil SRK
• Zandu Balm Mallaika Arora khan (45-
50%)
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5. Dabur India has roped
in Ravi Kishan to endorse
Chawanprash brands
for localized promotions.
(UP & Bihar)
Mr.Amitabh Bachchan &
Mr. Dhoni for national
Campaigns.
Airtel, Parle Monaco,
Marico Thanda Tel
had also signed him
For promotions.
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6. • E-coupon 20-25 Crore market in total $1 bn
advertising market.
• Sms, Emails, Snap deal.com,Open
2save.com, Dealpals, Coupon seva.
• Kellogg’s chocos Rs 10 range (K-pak) is a low fat
product with the goodness of wheat, vitamins and
minerals. Roped Karishma kapoor for endorsement.
• They also tied up with Mobile 2 win for mobile gaming.
Choco race for Kellogg’s chocos. It is instant hit for
target group (6-14 yrs of kids).
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7. Mr Anupam Dutta MD of
Kellogg’s is hopeful of
increasing their market share
in breakfast cereals in India.
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8. • Promotion: function of informing, persuading,
and influencing the consumer’s purchase
decision
• Marketing Communications: transmission
from a sender to a receiver of a message
dealing with the buyer-seller relationship
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9. Marketing Communications
The means by which firms attempt to
inform, persuade, and remind
consumers, directly or indirectly, about
the products and brands they sell.
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10. Elements in the Communications Process
• Sender
• Message
• Receiver
• Response
• Feedback
• Noise
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11. The Communications Process
• An effective promotional message
accomplishes three tasks:
– It gains the receiver’s attention
– It achieves understanding by both receiver
and sender
– It stimulates the receiver’s needs and
suggests an appropriate method of
satisfying them
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12. • AIDA concept (Attention-Interest-
Desire-Action) – an explanation of the
steps through which an individual
reaches a purchase decision
– Sender
– Encoding
– Channel
– Decoding
– Response
– Feedback
– Noise
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15. Objectives of Promotion
• Provide Information
– Inform the market about the availability of a
particular good or service
• Increase Demand
– Some promotions are aimed at increasing
primary demand, the desire for a general
product category
– More promotions are aimed at increasing
selective demand, the desire for a specific
brand
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16. • Differentiate the Product
– Homogenous demand for many products
results when consumers regard the firm’s
output as virtually identical to its
competitors’– then, the firm has virtually no
control over marketing variables
• Accentuate the Product’s Value
– Promotion can explain the greater ownership
utility of a product to buyers, thereby
accentuating its value and justifying a higher
price
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17. • Stabilize Sales
– For the typical firm, sales
fluctuations may result from
cyclical, seasonal, or irregular
demand
– Stabilizing these variations is often
an objective of promotional
strategy
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18. Elements of the Promotional Mix
• Promotional mix: blend of personal
selling and non personal selling designed
to achieve promotional objectives
– Personal selling: interpersonal promotional
process involving a seller’s person-to-person
presentation to a prospective buyer
– Nonpersonal selling includes:
Advertising, Product placement, Sales
promotion, Direct marketing, Public relations
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19. • Advertising
– Paid, nonpersonal communication through
various media by a business firm, not-for-profit
organization, or individual identified in the
message with the hope of informing or
persuading members of a particular audience
• Product Placement
– Marketer pays a motion picture or television
program owner a fee to display his or her
product prominently in the film or show
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20. • Sales Promotion
– Marketing activities that stimulates
consumer purchasing (includes:
displays, trade shows, coupons,
premiums, contests, product
demonstrations, and various non
recurrent selling efforts)
– Trade promotion
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21. • Direct Marketing
– Direct communications other than
personal sales contact between
buyer and seller, designed to
generate sales, information requests,
or store visits
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22. • Public relations: firm’s communications
and relationships with its various publics
• Publicity: stimulation of demand for
good, service, place, idea, person, or
organization by unpaid placement of
commercially significant news or favorable
media presentations
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23. Sponsorships
• Provision of funds for a sporting or cultural
event in exchange for a direct association
with the events or activity
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24. A significant number of premium car buyers
today use online channels to become familiar
with the features of a car even before they
step into the showrooms .
2-3% of sales from digital marketing in 2005.
18-20% of sales from digital marketing in
2010.
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25. • Tata Motors will launch premium car
“ARIA”. Priced at rs 12-13 lakh.
• Competitors Xylo, Innova.
• Company will invest Rs.1.5 cr in online
campaign (Online game at
buildadreamcar.com) in five stages.
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26. • Stallio 110 cc bikes priced at Rs.44,699.
• Mozo 390 cc bikes priced at Rs.1.79 lakh.
• Competitors are Hero Honda, Bajaj Auto.
• In 2008, M & M acquired Kinetic motors
and launched Rhodeo scooters.Two
wheelers sales during april-august 2010
jumped 27%at 46.21 lakh units & Bikes
grew at 35.35 lakh units (24% jump)
• Aamir Khan as brand ambassador.
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28. Characteristics of Marketing
Communications Mix
Public Relations and Events and
Publicity Experiences
• High credibility • Relevant
• Ability to catch buyers • Involving
off guard • Implicit
• Dramatization
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29. Characteristics of Marketing
Communications Mix
Direct Marketing Personal Selling
• Customized • Personal interaction
• Up-to-date • Cultivation
• Interactive • Response
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30. The Battle
• Future group operates over 120 Big Bazaar
stores, 170 Food Bazaar stores.
• Future group’s ecommerce venture future
bazaar.com has revamped its online
business portfolio (Started 4 years ago) and
expects an around Rs 1,000 crore revenue
over the next 18-24 months.
• Attractive deals are available on
TVs, phones, laptops, apparels, home, kitch
en appliances and home furnishings.
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31. Integrated Marketing Communications
• Coordination of all promotional
activities – media advertising, direct
mail, personal selling, sales
promotion, and public relations – to
produce a unified customer-focused
promotional message
– Success of any IMC program depends
critically on identifying the members of an
audience and understanding what they
want
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32. Developing an Optimal Promotional Mix
• Factors that influence the effectiveness of
a promotional to mix:
– Nature of the market
– Nature of the product
– Stage in the product life-cycle
– Price
– Funds available for promotion
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34. • Nikon corporation will spend Rs.62 crore
on brand promotion in 2010-11.
• Nikon India will launch its new television
commercial this week & is targeting 1800
retail outlets for in-store branding.
• Company has converted 70-80% of grey
marketer into authorized Nikon camera
dealers.
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35. Influencing Factors Personal Selling Advertising
Nature of the market Limited number Large number
Number of buyers Concentrated Dispersed
Geographic Business purchaser Ultimate consumer
concentration
Type of customer
Nature of the product Custom-made, complex Standardized
Complexity Considerable Minimal
Service Business Consumer
requirements
Type of good or Trade-ins common Trade-ins uncommon
service
Use of trade-ins
Stage in the product life Often emphasized at every stage; Often emphasized at every
cycle heavy emphasis in the introductory stage; heavy emphasis in the
and early growth stages in latter part of the growth stage,
acquainting marketing as well as the maturity and
intermediaries and potential early decline stages, to
consumers with the new good or persuade consumers to select
service specific brands
Price High unit value Low unit value 35
36. Pulling and Pushing
Promotional Strategies
• Pulling strategy: promotional effort by a seller to
stimulate demand among final users, who will then
exert pressure on the distribution channel to carry the
good or service, pulling it though the marketing
channel
• Pushing strategy: promotional effort by a seller to
members of the marketing channel intended to
stimulate personal selling of the good or service,
thereby pushing it through the marketing channel
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37. Communication Platforms
Advertising Sales Promotion
• Print and broadcast ads • Contests, games
• Packaging inserts • Premiums
• Motion pictures • Sampling
• Brochures and booklets • Trade shows, exhibits
• Posters • Coupons
• Billboards • Rebates
• POP displays • Entertainment
• Logos • Continuity programs
• Videotapes • Tie-ins
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38. Communication Platforms
Events/ Experiences Public Relations
• Sports • Press kits
• Entertainment • Speeches
• Festivals • Seminars
• Arts • Annual reports
• Causes • Charitable donations
• Factory tours • Publications
• Company museums • Community relations
• Street activities • Lobbying
• Identity media
• Company magazine 38
39. One in five US Kids aged six to 19 are obese,
where BMI is greater than 30.
• The Walt Disney company had started “the Magic
of healthy living” campaign.
• It will feature public service announcements by
Michelle Obama, teen idols Nick Jonas, TV Star
Brenda Song and other celebrities, all seeking “to
inspire kids” to lead healthy lives and their
parents to instill good habits in them.
• Disney will grant one million dollar to build play
spaces and gardens in 10 undeserved
communities nationwide.
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40. Communication Platforms
Personal Selling Direct Marketing
• Sales presentations • Catalogs
• Sales meetings • Mailings
• Incentive programs • Telemarketing
• Samples • Electronic shopping
• Fairs and trade shows • TV shopping
• Fax mail
• E-mail
• Voice mail
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41. Figure 17.4 Steps in Developing Effective
Communications
Identify target audience
Determine objectives
Design communications
Select channels
Establish budget
Decide on media mix
Measure results
Manage IMC
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42. Image
The set of beliefs, ideas, and impressions
a person holds regarding an object.
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45. Selecting the Communications Channels
• Personal communication channels
• Non personal communication channels
• Integration
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46. Creative Strategy
• Informational and transformational appeals
• Positive and negative appeals
– Fear
– Guilt
– Shame
– Humor
– Love
– Pride
– Joy
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47. The Importance of Taglines
Brand Theme Ad Tagline
• Our car is more “More Car per Car” (Tata
spacious Indica)
• It is prestigious to own “Neighbor’s Envy; Owner’s
our brand of TV Pride” (Onida TV)
• Our butter is tasty and “Utterly Butterly Delicious”
fun to eat (Amul Butter)
• Our motorbike is fuel “Fill it, shut it, Forget it”
efficient (Hero Honda motorcycle)
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50. Stimulating Personal Influence Channels
• Identify influential individuals and devote extra
attention to them
• Create opinion leaders
• Use community influentials in testimonial
advertising
• Develop advertising with high “conversation
value”
• Develop WOM referral channels
• Establish an electronic forum
• Use viral marketing 50
51. Non personal Communication
Channels
• Media
• Sales Promotion
• Events and Experiences
• Public Relations
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53. Method Description Example
Percentage-of- Promotional budget is set as a “Last year we spent $10,500 on
sales method specified percentage of either promotion and had sales of $420,000.
past or forecasted sales. Next year we expect sales to grow to
$480,000, and we are allocating
$12,000 for promotion.”
Fixed-sum-per-unit Promotional budget is set as a “Our forecast calls for sales of 14,000
method predetermined dollar amount for units, and we allocate promotion at the
each unit sold or produced. rate of $65 per unit.”
Meeting Promotional budget is set to “Promotional outlays average 4
competition match competitor’s promotional percent of sales in our industry.”
method outlays on either an absolute or
relative basis.
Task-objective Once marketers determine their “By the end of next year, we want 75
method specific, promotional objectives, percent of the area high-school
the amount (and type) of students to be aware of our new, highly
promotional spending needed to automated fast-food prototype outlet.
achieve them is determined. How many promotional dollars will it
take, and how should they be spent?”
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54. Measuring the Effectiveness of Promotion
• Two basic measurement tools:
– Direct sales results measures the effectiveness of
promotion by revealing the specific impact on sales
revenues for each dollar of promotional spending
– Indirect evaluation concentrates on quantifiable
indicators of effectiveness like:
• Recall - how much members of the target market remember
about specific products or advertisements
• Readership – size and composition of a message’s
audience
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55. • Measuring Online Promotions
– Early attempts at measuring online promotional
efforts involved counting hits and visits
– Incorporating direct response and comparing
different promotions for effectiveness
– Two major techniques for setting online
advertising rates:
• Cost per impression (CPM), technique that related
the cost of an ad to every thousand people who read
it
• Cost per response (click-throughs), which assumes
that those who actually click on an ad want more
information
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56. Factors in Setting Marketing
Communications Mix
• Type of Product Market
• Buyer Readiness to Make a Purchase
• Stage in the Product Life Cycle
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