Marketing Communications

Marketing Communication•Process by which

information about an organization and its offerings is disseminated to selected markets.

Goals of Mkt Communication

• Create awareness• Induce initial purchase• Improve post purchase satisfaction

Purpose• MarComm necessary to inform buyers of:–Availability of offerings

–Unique benefits of offerings

–Where and how to obtain offerings

–Where and how to use offerings

MarComm Mix

• Advertising• Personal Selling• Sales Promotions

Integrated MarComm• Practice of blending the

communication mix elements in mutually reinforcing ways.

Making IMC Work• IMC strategy objectives• Target Marketing information requirements• Can some communication activities be

combined• Budget and resource allocations• Timing and Scheduling• Evaluation

Reasonable Communication Objectives

• Build Primary Demand–Demand for the product class

• Build Secondary Demand–Demand for a particular brand

Reasonable Communication Objectives: Requirements

• Consistent• Quantifiable• Attainable

Info Requirements

• How buyers purchase a particular offering• Role of info in the purchase process with

your target buyers• Current perceptions buyers have of the firm

and its offering• Sources current accessed by buyers

Purpose of Comm Mix Elements

• Advertising– Creating awareness

• Salespeople– Providing information– Developing relationships

• Sales promotions– Enticing short-term behavior changes– Enhancing long-term behavior changes– Providing descriptions

When Each is Useful

• Advertising– Offering not complex– Offering frequently purchased– Offering relatively inexpensive– Offering can be differentiated from competition– Market is mass and geographically scattered

When Each is Useful

• Personal Selling– Product is relatively expensive– Benefits not readily apparent– Only true method to develop relationships– Small number of buyers in close proximity– Buyers purchase typically in large quantities

When Each is Useful

• Sales Promotions– Useful with most any offering type– Wonderful for encouraging trial purchases

IMC & Web Sites• Transactional Sites– Focus on turning online browser to online buyers– Good for well-known, branded products– Can provide favorable shopping & buying

experiences• Promotional Sites– Good for promoting products– Providing info about how and where to purchase

products– Can be used to create a buzz (word of mouth)

IMC & Web Sites

• Viral Sites– Encourage users to forward marketer-initiated

messages to others via e-mail– Very good for generating referrals

Common Budgeting Methods

• Percentage of Sales– Most commonly used

• Per Unit– Set amount per expected unit sold

• Competitive Parity– Spend same at the competition or relatively the

same• All Available Funds• Objective-Task

Advertising Media

• Television• Radio• Magazines• Newspapers• Billboards• Internet

Choosing the Media: Considerations

• Cost• Reach• Frequency• Audience Characteristics• Purpose of the Advertisement• Product needs• Editorial climate