Transcript Ch05Belchppt

Chapter 5
Objectives for the IMC Plan
Chapter Objectives
• To recognize the value of setting specific
objectives for advertising and promotion.
• To know the difference between marketing and
communication objectives and the issues
regarding the use of each.
Chapter 5 : Objectives for the IMC Plan
Chapter Objectives
• To know the historical approaches for setting
communication objectives.
• To understand a comprehensive framework for
setting communication and behavioral objectives
for all aspects of the IMC plan.
Chapter 5 : Objectives for the IMC Plan
Value of Objectives
• Communication.
– Help to orient everyone involved in the IMC program
toward one, common goal.
• Planning and decision making.
– Serve as criteria for developing plans and making
decisions.
• Measurement and evaluation of results.
– Provide the standards and benchmarks for evaluating
results.
Chapter 5 : Objectives for the IMC Plan
Types of Objectives
Marketing objectives.
– Statements of what is to be accomplished by the
overall marketing program within a given time period.
– Defined in terms of specific measurable outcomes.
Chapter 5 : Objectives for the IMC Plan
Types of Objectives
IMC Communication objectives.
– Statements of what the communications will
accomplish.
– Based on the particular communication tasks required
to deliver the appropriate messages to the specific
target audience.
– The message is delivered at a relevant point within the
targets purchase decision making process and
consumption experience.
Chapter 5 : Objectives for the IMC Plan
Types of Objectives
Sales objectives.
– Carryover effect- money spent on advertising does not
necessary have an immediate impact on sales.
– Sales objectives offer little guidance for planning and
development of the IMC program.
– Poor sales can be the result of many factors.
Chapter 5 : Objectives for the IMC Plan
Factors Affecting Sales
Product Quality
Technology
Promotion
SALES
The Economy
Competition
Distribution
Price Policy
Chapter 5 : Objectives for the IMC Plan
The DAGMAR Approach
Define
Advertising
Goals for
Measuring
Advertising
Results
Chapter 5 : Objectives for the IMC Plan
The DAGMAR Approach
• Using DAGMAR, an advertising goal involves a
communication task that is specific and
measurable.
• It is based on a hierarchical model of the
communication process.
Awareness
Comprehension
Conviction
Action
Chapter 5 : Objectives for the IMC Plan
Characteristics of Objectives
• Well-Defined Target Audience
• Concrete Measurable Communication Tasks
• Existing Benchmark Measure
• Degree of Change Sought
• Specific Time Period
• Specific – Measurable-Attainable-Realistic-Timely
Chapter 5 : Objectives for the IMC Plan
Limitations of DAGMAR
• Problems with response hierarchy
– Consumers do not always go through this sequence of
the communication effects before making a purchase.
• Practicality and costs
– Research costs more than it is worth.
• Inhibition of creativity
– Imposes too much structure.
Chapter 5 : Objectives for the IMC Plan
Comprehensive Response Model
Applications
Lavidge and Steiner Hierarchy of
Effects Model
– As consumers proceed through the three stages, they
move closer to purchase.
Cognitive -- Affective -- Conative
– Consumers are not expected to respond to advertising
immediately.
– Ads must provide relevant information and create
favorable predispositions toward the brand before
purchase behavior will occur.
Chapter 5 : Objectives for the IMC Plan
Effects of Advertising on Consumers
Conative
Purchase
Realm of motives.
Ads stimulate or direct
desires.
Conviction
Affective
Preference
Realm of emotions.
Ads change attitudes
and feelings
Liking
Point of purchase
Retail store ads, Deals
“Last-chance” offers
Price appeals, Testimonials
Competitive ads
Argumentative copy
“Image” copy
Status, glamour appeals
Cognitive
Knowledge
Realm of thoughts.
Ads provide information
and facts.
Announcements
Descriptive copy
Classified ads
Slogans, jingles, skywriting
Awareness
Teaser campaigns
Chapter 5 : Objectives for the IMC Plan
Communications Effects
Pyramid
• Lower level objectives such as awareness and
knowledge or comprehension must be
accomplished first.
• The initial stages are easier to accomplish than
than those toward the top.
• The percentage of prospective customers will
decline as they move up the pyramid.
Chapter 5 : Objectives for the IMC Plan
Communications Effects
Pyramid
90% Awareness
70% Knowledge
40% Liking
25% Preference
20% Trial
5% Use
Chapter 5 : Objectives for the IMC Plan
Traditional Advertising-Based View of
Communications
Advertising Through Media
One-Way
Attitudes
Knowledge Preference Conviction
Linear
Acting on Consumers
Chapter 5 : Objectives for the IMC Plan
Purchase
Behavior
Focuses on what the marketer wants to say, when the
marketer wants to say it.
Advertising Through Media
One-Way
Attitudes
Knowledge Preference Conviction
Linear
Acting on Consumers
Chapter 5 : Objectives for the IMC Plan
Purchase
Behavior
Setting IMC Objectives
Target Audience
• In setting the direction for any IMC plan or
component, there must be a clear idea of the
customer status of the target audience.
• The key question  Is the communication
directed towards current customers or non
customers?
Chapter 5 : Objectives for the IMC Plan
Target Audience
Current Customers
• Brand Loyal Customers – regularly buy the firm’s
products.
• Favorable Brand Switchers – buy the focal brand, but
also buy other brands within the product category.
Chapter 5 : Objectives for the IMC Plan
Target Audience
Non-customers
• New category users – customers not currently
purchasing in the focal brand’s product category.
• Other brand switchers – purchase a few different brands
within the product category, but not the focal brand.
• Other brand loyals – purchase only one brand and are
completely loyal.
Chapter 5 : Objectives for the IMC Plan
Behavioral Objectives
Trial
• Brand trial purchase – a consumers first
purchase of a focal brand.
– Brand trial objectives – are established as
consumers naturally enter the market as they reach a
certain age or have income.
– Brand re-trial purchase – a consumers first purchase
of a focal brand after some time delay.
• Brand re-trial objective – focuses on the length of delay
between purchases.
Chapter 5 : Objectives for the IMC Plan
Behavioral Objectives
Trial
• Category trial objective
– Category trial purchase – a consumers first purchase
in a product category that the consumer had not
purchased previously.
• Repeat purchase
– A customers continued purchase of a focal brand
within a specified time period.
• Repeat purchase objective – how often to purchase, how
much to purchase, when to purchase.
Chapter 5 : Objectives for the IMC Plan
Behavioral Objectives
Purchase Related Behaviour
– An action that consumers take that will lead to a higher
probability of consumption.
Repeat Consumption
– The continued consumption of a brand once
purchased.
• Repeat Consumption Objective – For communicating with
current brand purchasers who have the product.
Chapter 5 : Objectives for the IMC Plan
Communication Objectives
• Category Need
– Pertains to whether the target audience feels the need
to purchase within the actual product category.
• Category can be: omitted, reminded or emphasized
• Brand Awareness
– Creating a deeper understanding and knowledge of the
brand.
• Forms of Brand Awareness: recognition and recall
Chapter 5 : Objectives for the IMC Plan
Communication Objectives
• Brand Attitude
– Prior understanding of the existing brand attitude is
needed to choose an option.
• Brand Attitude Options: established, maintained, increased,
modified, or changed.
• Brand Purchase Intention
– Brand Purchase is assumed or generated.
• Purchase Facilitation
– Purchase facilitation is included or omitted.
Chapter 5 : Objectives for the IMC Plan