Chap 1,growth of imc

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Prepared by

PROF. RAJESH KUMAR(MBA IMT, GBD,SIX-SIGMA BLACK BELT CERTIFIED)

Prof. of IMT-CDL(DIMS)IP UNIV

(Ex. HOD-MARKETING,BSD)E:forrajeshkumar@gmail.com

P:9810275444www.marketingandbrandingguru.com

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four-wheeler Tata Ace

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Defining Advertisement for the 21st Century

The roaring success of four-wheeler Tata Ace, in a market earlier dominated by three-wheeler load carriers, was due to a deep understanding of the market needs and customer requirements.

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The New Look of Advertising

Interactive, Informative, Entertaining

. The New Look of Advertising

Facts about Advertisement

Expenditure on Advertisement:

In World: Approx US $ 800 billionIn US: Approx:US $ 355 billionIn India: Approx Rs. 200 billion Growth rate of Advertisement in India is about

22%

. Facts about Advertisement

Largest contributors in Advertisement service: Telecom Services, Toilet Soap, Shampoo, Two

wheelers, Corporate Bank

Leading Advertiser in India:HUL,P&G, R&B, Noika, Reliance & Bharti Airtel

Leading Advertiser in US:GM, P&G, Pifzer,GE

Changing the MC Environment

1960-80: Press, Public Meeting & Radio

1980-2000: Television

2000 onwards: Internet, Television, Newspaper

Changing the MC Environment.

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Changing the MC Environment

Nos. of TV channel in South Asia:Sri Lanka: 20Bangladesh: 35Pakistan: 60+India: 500+Approx 200 channel of transmission of AIR,

VividBharti, Radio Mirchi, & Big FM

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Introduction of IMCMarketing CommunicationIt is process to

Inform, Persuade & Remind

Customer about the product directly or indirectly.

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Introduction of IMC

Basically it is Voice of the Company.

Marketing Communication gives the answer of all question like

• Why• Where• When &• How

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Donkey used in Ad

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.Point ofPurchase

Publicity

PublicRelations

DirectMarketing

InteractiveMarketing

SpecialEvents

Packaging

SalesPromotion

DirectResponse

Traditional Approach to Marketing Communications

MediaAdver-tising

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Contemporary IMC Approach

Point ofPurchase

Publicity

InteractiveMarketing

PublicRelations

DirectMarketing

SpecialEvents

PackagingSalesPromotion

DirectResponse

MediaAdver-tising

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Alternative Outdoor media

Aerial advertisement:• Airplane pulling banners, Skywriting(1200ft

high), & Blimps are the part of it.• Used in Beach, Fair, events & sales promotionMOST AMAZINGPizza hut paid $1million for its 30 ft logo in

unmanned Russian Proton Rocket.

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Pizza hut in unmanned Russian

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outdoor media

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3D OUTDOOR AD

Worldwide IMC

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Changing Face of MarketingCommunications

Marketers Have ShiftedAway From Mass

MarketingLess Broadcasting

Marketers Have ShiftedAway From Mass

MarketingLess Broadcasting

New Marketing Communications RealitiesNew Marketing Communications Realities

Improvements in Information Technology

Has Led to Segmented MarketingMore Narrowcasting

Improvements in Information Technology

Has Led to Segmented MarketingMore Narrowcasting

The Evolution of IMC

Probably the end of 80s & beginning of 90s was the time when IMC came in the existence.

Reason behind the growth of IMC: Stiff Competition Upgrade the quality Upgrade the service Maintain Price Emergence of new technology TV, Internet, Mobile, Public awareness & Convenient

Reason For Growing of IMC

Shifting of advertisement from media to other form like Promotion

Growing Tools of AdvertisementIncreasing Purchase PowerShifting Power from Manufacturer to RetailerRapid Growth of DatabaseDemand for greater accountability from

Advertising Agency

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vert inc-of Boston(US)

DISCUSSION BOARDDell Focuses on Building a CRM

Promotional Mix: Tools for IMC

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The Promotion Mix

Advertising

Advertising: Any paid form of nonpersonal communication

about an organization ,Product, Services, or Idea by an identified sponsor.

Like: TV, Radio, Magazine, News PaperAdvertisement Cost per 10 second of IPL:4.5lac-

10lacViewers of IPL : 200 million Viewers of Soccer world cup: 1000 million

An Example of “B-to-B” Advertising

Direct Marketing

Direct Marketing: Here organization communicate directly with the

target customer & generate response or transaction.

One of the fastest growing sector of USIndian Direct Marketing : 30% growth rateDirect marketing involves database management,

direct selling, telemarketing ad & direct response ads.

Bose Uses Direct Response Advertising

Interactive/Internet Marketing

Interactive Media: It allow for a back and forth flow of information.

Here user can participate & modify the form & content of the information they received.

Internet is the most advance & sophisticated tools of this interactive marketing. CD, Kiosks, Digital Phone are the some other form

Online search engine like Google, Yahoo are the giant online ad company

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American Airlines Encourages Customers to Do It All Online

Place Advertising

Gather.com: A Niche Social Networking Site

Sales Promotion

Sales Promotion:Those marketing activities that provides extra

value or incentives to the sales force, distributers or the ultimate customer & generate immediate response & increase sales is known as sales promotion

It divided into two partsConsumer oriented activitiesTrade oriented activities

Public Relation

Public Relation:The management function which evaluates

public attitudes, & define all the positive & negative point of the company to public.

Currently all firm now using PR as integral part of the company. Growth rate of PR in India is about 20%

PR Ad

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DuPont Uses Advertising to Enhance Its Corporate Image

Personal Selling

Personal selling:It is a form of person to person communication

in which seller attempts to assist or persuade prospective byres to purchase the company’s product or services or idea.

It is good tools for immediate approval or disaproval

Steps in Developing Effective Communications

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The IMC Planning Process

IMC Planning Process:As we consider IMC one of the most

sophisticated tools for growing any industry, so it required much careful planning for implement. There are several modals to implement IMC planning , but the best planning process is given by American marketing Association.

The IMC Planning Process

The IMC Planning Process:• Review of Marketing Plan• Analysis of promotional program situation• Analysis of communication process• Budget determination• Develop IMC Program• Integrate & implement IMC strategies• Monitor, Evaluate & Control IMC Programme