EXAM 4 REVIEW INTEGRATED MARKETING COMMUNICATIONS Promotion encouragement of progress growth or acceptance of something How sellers influence inform and persuade the buyer Promotions mix Advertising paid non personal communication through mass media Personal Selling paid personal communication to inform and persuade customers to purchase a product Public Relations broad set of communication efforts to create and maintain favorable relationships for an organization Sales Promotion Activity material as direct inducement offering added value or incentive Integrated Marketing coordination of promotion and marketing efforts for maximum impact IMC vs Traditional Promotions Mix Goals of IMC Consistent message to customers Coordinate manage promotional efforts Synchronization of promotional elements Use more precisely targeted promotional tools 2 Promo Strategies 1 Push Policy 2 Pull Policy Promoting a product only to the next institution down the marketing channel Producer wholesaler wholesaler retailer retailers consumers Push money extra commission paid to employees to push products Promoting product directly to consumer to develop strong demand Ex Children s toys Channels messages get sent through letters email in person Communication Process the process that describes the exchange of information between 2 or more people Elements of Communication Process 1 The Source the person organization that has information to share Company salesperson celebrity consumerslevel of familiarity withname of people who call that personafavorite Q Scores quality 2 Encoding process of putting a message into symbolic form to be understood by customers 3 The Channel how the communication travels from the source to the receiver Non personal channels no personal contact ex Print broadcast Personal channels involves direct contact ex Direct setting buzz marketing o Buzz marketing companies hire socially active consumers to promote products to friends acquaintances 4 Decoding the process of transforming the message back into though Noise anything that interferes with the message 5 Feedback the receivers response to the message Response Models the process that receivers must go through before a desired behavior occurs 1 Cognitive Stage thinking receiver becomes aware of the message 2 Affective Stage feeling receiver forms a liking for an ad product 3 Behavioral Stage doing where receiver acts on preference Advertising a paid non personal communication that is transmitted to a target audience Can influence customers purchasing behavior throughout their life times ADVERTISING AND PR through mass media Six Point Advertising Strategy Primary Purpose Primary Benefit Secondary Benefit Target Audience Audience Reaction Company Personality Advertising Mediums Movies TV Video Games product placement mentions interactivity Newspaper direct mail magazines coupons flyers classified ads Sports soccer Nascar volleyball Advertising Pervasiveness Average American exposed to more than 3000 ads per day very difficult to get one specific message across Types of Advertising Product Advertising promotes the uses features and benefits of specific products Pioneer primary demand focuses on product category Competitive points out a brand s advantages relative to competing brands 1 Comparative compares two or more brands on one or more characteristics 2 Reminder reminds customers of a brand s characteristics benefits 3 Reinforcement assures users they have made the right choice Next Wave of Advertising Mobile Ads Advertisements sent to mobile phones Account for 2 of advertising market New Frontiers Current State A lot of advertising Clutter recall of any ad is only 10 on average Branded Entertainment recall 24 ex AXE Prank Gatorade s replay Scheduling Advertisment Measuring Advertising Continuous runs steadily throughout the year good for continuously used products Flighting runs in spurts good for seasonal products ex Swimsuits Pulsing a combination runs steadily with bursts at certain times ex Doritos in peak sport seasons Reach percent of consumers in the target audience exposed to a particular advertisement in a stated period o How many people in your target audience you reached one time Frequency the number of times these targeted consumers are exposed to the Advertisement o How many times each person in reached Effectiveness Is it more effective to touch 100 customers once or 25 customers 4 times o Krugman 1972 3 Exposures Ideal Number What is it What of it What is it to me o Measuring Effectiveness Pretest and Posttest Recognition Do you recognize this ad Have you seen this before Who is responsible for this image For example Aided Unaided recall Which one of these brands is responsible for this ad Nielsen Ratings Audience measurement system designed to assess the size and composition of TV audiences Used to rely on audiometer and personal diaries Now use a people meter which measures viewing habits of each individual user Rating Householdstuned show TotalU S Households Share Households tuned show U S HouseholdsusingTV 116 000 000 households in US Drew a 10 rating which means that 11 6 Million households watched this show o Also made commercial ratings fro DVR recordings as well Print Media 80 6 Magazines per year w 54 magazine revenue from ads Primary Circulation Subscribers Pass Along Readership Number of people who read the magazine after the primary subscribers ex Doctor s office magazines Someone uses a magazine that someone else purchased Total Circulation primary circulation X pass along readership Public Relations communication efforts used to create and maintain favorable relations between an organization and its stakeholders ex Starbucks Botox Palm o Segway used police forces and was launched completely without PR o People simple seeing these created interest within the population Publicity communication about the organization and or its products transmitted through mass media at no charge o News release feature article press conference etc o Also bad publicity is possible PR vs Publicity PUBLIC RELATIONS Long term More control Designed to be positive Less powerful PUBLICITY Short term Firm has no control over it May be positive or negative More powerful PERSONAL SELLING AND MANAGEMENT Personal selling the use of personal communication skills to uncover needs or wants and provide solutions Way more expensive yet more effective Factors Affecting Advertising vs Personal Selling Suspect to Prospect SUSPECT FROM LIST
View Full Document
Unlocking...