Transcript Selective
APPLIED MARKETING Session 6 What are marketing communications? Marketing communications are the means by which firms attempt to inform, persuade and remind consumers, directly or indirectly, about the products and brands they sell. IMC builds brands Table 19.1a Common advertising communication platforms • Print and broadcast ads • Packaging – outer and inserts • Motion pictures • Brochures and booklets • Posters and leaflets • Directories • • • • Reprints of ads Billboards Display signs Point-of-purchase displays • Audiovisual material • Symbols and logos • Videotapes Table 19.1b Sales promotion communication platforms Contests, games, sweepstakes and lotteries Premiums and gifts Sampling Fairs and trade shows Exhibits Demonstrations Coupons Rebates Low-interest financing Entertainment Trade-in allowances Continuity programmes Tie-ins Table 19.1c Events and experiences platforms Sports Entertainment Festivals Arts Causes Factory tours Company museums Street activities Table 19.1d Public relation and publicity communication platforms Press kits Speeches Seminars Annual reports Charitable donations Publications Community relations Lobbying Identity media Company magazine Table 19.1e Direct and interactive communication platforms Catalogues Mailings Telemarketing Electronic shopping Blogs Table 19.1 TV shopping Fax Email Voicemail Websites Common communication platforms (continued) Table 19.1f Other common communication platforms Word-of-mouth marketing Person to person Chatrooms Blogs Table 19.1 Personal selling Sales presentations Sales meetings Incentive programmes Samples Fairs and trade shows Common communication platforms (continued) Figure 19.3 Response hierarchy models Sources: aE. K. Strong (1925) The Psychology of Selling, New York: McGraw-Hill, p. 9; bR. J. Lavidge and G. A. Steiner, (1961) A model for predictive measurements of advertising effectiveness, Journal of Marketing, October, 61; cE. M. Rogers (1962) Diffusion of Innovation, New York: Free Press, pp. 79-86; dVarious sources Figure 19.2 Elements in the communication process Field of experience Sender’s field Receiver’s field The communications process Selective attention Selective distortion Selective retention An ideal ad campaign The right consumer is exposed to the message at the right time and place The ad causes consumer to pay attention The ad reflects consumer’s level of understanding and behaviors with product The ad correctly positions brand in terms of pointsof-difference and points-of-parity The ad motivates consumers to consider purchase of the brand The ad creates strong brand associations Designing the communications Message strategy Creative strategy Message source Global adaptation Advantages to parts of the marketing communications mix Advertising Pervasiveness Amplified expressiveness Impersonality Sales promotion Communication Incentive Invitation Advantages to parts of the marketing communications mix Public relations and publicity High credibility Ability to catch buyers off guard Dramatisation Events and experiences Relevant Involving Implicit Advantages to parts of the marketing communications mix Direct marketing Customised Up-to-date Interactive Personal selling Personal interaction Cultivation Response Word-of-mouth marketing Credible Personal Timely Cost effectiveness by buyer readiness stage Cost effectiveness of three different communication tools at different buyer readiness stages Figure 19.5 Where is the problem? Advertising objectives Informative advertising Persuasive advertising Reminder advertising Reinforcement advertising How would you connect these with the Product Life Cycle? Choosing among major media types Target audience and media habits Product characteristics Message characteristics Cost Slide 19.23 Measures of audience size Circulation Audience Effective audience Effective ad-exposed audience Unique visitors Kotler, Keller, Brady, Goodman and Hansen, Marketing Management, 1st Edition © Pearson Education Limited 2009 Television Advantages Reaches broad spectrum of consumers Low cost per exposure Ability to demonstrate product use Ability to portray image and brand personality Disadvantages Brief Clutter High cost of production High cost of placement Lack of attention by viewers Print ads Advantages Detailed product information Ability to communicate user imagery Flexibility Ability to segment Disadvantages Passive medium Clutter Unable to demonstrate product use Print ad evaluation criteria Is the message clear at a glance? Is the benefit in the headline? Does the illustration support the headline? Does the first line of the copy support or explain the headline and illustration? Is the ad easy to read and follow? Is the product easily identified? Is the brand or sponsor clearly identified? Print ad evaluation -- Stickiness Simplicity, Concreteness, Unexpectedness Credibility – details, statistics, sinatra test, testible Emotions –imagine yourself, “They laughed when I sat down at the piano, but when I started to play…” Stories – Challenge (David and Goliath), Connection (do good story), Creativity (apple on Newton’s head) Sales promotion tactics Consumer-directed Samples Coupons Cash refund offers Price offs Premiums Prizes Patronage rewards Free trials Tie-in promotions Trade-directed Price offs Allowances Free goods Sales contests Spiffs Trade shows Specialty advertising Why sponsor events? To identify with a particular target market or life style. To increase brand awareness. To create or reinforce consumer perceptions of key brand image associations. To enhance corporate image. To create experiences and evoke feelings. To express commitment to community. To entertain key clients or reward employees. To permit merchandising or promotional opportunities. Tasks aided by public relations Launching new products Repositioning a mature product Building interest in a product category Influencing specific target groups Defending products that have encountered public problems Building the corporate image in a way that reflects favorable on products Public relations functions Press relations Product publicity Corporate communications Lobbying Counselling Evaluating advertising effectiveness Communication effect research Consumer feedback method Portfolio tests Laboratory tests Sales-effect research What is direct marketing? Direct marketing is the use of consumer-direct channels to reach and deliver goods and services to customers without using market middlemen. Direct mail Telemarketing Catalogs Email Online promotional opportunities Websites Search ads Display ads Viral marketing Internet-specific ads and videos Sponsorships Social Media Online communities Email Mobile marketing Guerilla Marketing Guerrilla marketing is an advertising strategy in which low-cost unconventional means (graffiti, sticker bombing, flash mobs) are utilized, often in a localized fashion or large network of individual cells, to convey or promote a product or an idea. Viral Marketing Techniques that use pre-existing social networks to produce increases in brand awareness or to achieve other marketing objectives (such as product sales) through self-replicating viral processes, analogous to the spread of viruses It can be delivered by word of mouth or enhanced by the network effects of the Internet. The key to effective viral: Create and execute an idea that's intriguing enough to get consumers to interact. Slide 19.43 Message source: Tipping Point 1. 2. 3. Products and messages can spread like a virus Only need a few people, but the right ones: Connectors – know many people, highly networked, social glue, spread message Mavens – information specialists, compulsion to help others make good decisions, data banks Salespeople – persuasive Kotler, Keller, Brady, Goodman and Hansen, Marketing Management, 1st Edition © Pearson Education Limited 2009 Place advertising Billboards Public spaces Product placement Point-of-purchase