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ADVERTISING AS A COMPONENT

OF MARKETING

CHAPTER 2

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INTEGRATED MARKETING

COMMUNICATION

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IMC is the development of an Integrated

Comprehensive Marketing Communication(Promotion) Plan that links the marketing function

with the communication function to deliverEffective

Marketing Messages capable of (1) informing, (2)

convincing and (3) persuading people to buy.

The Marketing Mix

+People

Process

Physical

Evidence

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Contemporary IMC Approach

Point ofpurchase

Publicity

Interactivemarketing

Publicrelations

Directmarketing

Specialevents

PackagingSales

promotionDirect

response

MediaAdver-tising

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IMC makes use of such Promotion Elements as (1)Advertising, (2) Sales Promotion, (3) Public Relations,(4) Publicity, (5) Direct Marketing, (6) Networking, (7)Personal Selling, and other non-conventional elementslike (8) On-line communications to develop and del iverclear, cons istent, and impact-ful l commun icat ions

capable of inform ing, con vinc ing , and persuading

cus tomers to buy.

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DirectResponse

Advertising

DirectResponse

Advertising

DirectMail

Catalogs

Telemarketing

InternetSales

ShoppingChannels

DirectMail

Telemarketing

Catalogs

ShoppingChannels

Direct Marketing is Part of IMC

DirectMarketing

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Builds andmaintainscustomer

relationships

Obtainscustomerdatabase

information

Communicatesand interactswith buyers

Providescustomer

service andsupport

Educates orinforms

customers

A persuasiveadvertising

medium

A sales toolor an actualsales vehicle

Obtainscustomerdatabase

information

Communicatesand interactswith buyers

Providescustomer

service andsupport

Educates orinforms

customers

A persuasiveadvertising

medium

A sales toolor an actualsales vehicle

Using the Internet as an IMC Tool

TheInternet

2007 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin

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Consumer-oriented

[For end-users]

Sales Promotion Tools

EventsEvents

Loyalty ProgramsLoyalty Programs

Bonus PacksBonus Packs

Refunds/RebatesRefunds/Rebates

Contests/SweepstakesContests

PremiumsPremiums

SamplesSamples

CouponsCoupons

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Public Relations

What is Public Relations?Public Relations: The development of and maintenance

of good relationships with different publics

Public Relations: practice is the art and science ofanalyzing trends, predicting their consequences,

counseling organization leaders, and implementing

planned programmes of action that will serve both the

organizations and the public interest.

Public Relations: Includes employees, investors,

suppliers, customers, distributors,

legislators/regulators/governments, pressure groups,

the community, the media, and even competition.

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Introduce newproducts

Get existingcustomers to buy

more

Attract new

customers

Maintain sales inoff season

Increase retailinventories

Tie in advertising& personal

selling

Enhancepersonal selling

Combat

competition

Introduce newproducts

Get existingcustomers to buy

more

Attract new

customers

Maintain sales inoff season

Increase retailinventories

Tie in advertising& personal

selling

Enhancepersonal selling

Various Uses of Sales Promotion

SalesPromotion

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Advertising Versus Publicity

Advertising Publicity

Tentative

Low

Low/Unspecified

Uncontrollable

Great

Lower

Measurable

Schedulable

High/Specific

High

Specifiable

Undetermined

Higher

Little

Factor

Control

Credibility

Reach

Frequency

Cost

Flexibility

Timing

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InterviewsInterviews

FeatureArticles

SpecialEvents

Press

Conferences

NewsReleases

FeatureArticles

SpecialEvents

NewsReleases

Publicity Vehicles

PublicityVehicles

2007 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin

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Word of Mouth

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IMC Audience Contact Tools

Target Audience

Broadcast

media(TV/radio)

Print media

(newspapers,

magazines)

Public

Relations/publicity

Internet/interactive

Direct

marketing

SalesPromotion

Productplacements

(TV and movies)

Events andsponsorship

Word-of-mouth

Point-of-purchase(displays,packaging)

Personalselling

Out-of-home

media

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Benefits of IMC

Increase Market Penetration Develop Repeat Purchase Behavior

Establish Customer Relationships

Increase Rate of Consumption

Encourage Product Trial

Stimulate Impulse Buying Stimulate Demand

Differentiate the Product

Establish a Product Image

Influence Sales Volume

Establish, Modify, or Reinforce Attitudes

Develop Sales Leads

Stimulate Interest

Establish Understanding

Build Support & Acceptance

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DESIGNING IMC

1.Identifying Target Audience What to say

When to say

Why to say How to say

2.Determining Communication Objectives are

To create awareness of the Product To provide information of the product

To persuade the target audience to buy product

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3.Developing IMC Plan

The target audience to be reached

Cover the market area The products/brands that needs communication

The media/techniques to be used

4.Designing the message Attract Attention

Arouse Interest

Create Desire Secure Action

5. Determining Communication Technique

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6.Determining the Budget

7.Implementation of Communication Plan

4 Rs

8.Review