INTEGRATED MARKETING COMMUNI- CATIONS AND DIRECT MARKETING C HAPTER.

INTEGRATED MARKETING

COMMUNI-CATIONS AND

DIRECT MARKETING

CHAPTER

Communication by marketers that

informs, reminds, and persuades potential buyers of a

product in order to influence an opinion or elicit a response.

WHAT IS PROMOTION?

AdvertisingAdvertising

Elementsof the

PromotionalMix

Elementsof the

PromotionalMix

Personal SellingPersonal Selling

Public RelationsPublic Relations

Sales PromotionSales Promotion

PROMOTIONAL MIX

Direct MarketingDirect Marketing

Impersonal, one-way mass communication about a product or

organization that is paid for by a marketer.

ADVERTISING

Public information about a company, good, or service

appearing in the mass media as a news item. It is NOT paid for by the marketer, and the company is not identified as the source of

the information.

PUBLICITY

Television Radio Newspapers Magazines Books Direct mail Billboards Transit cards E-media

TRADITIONAL ADVERTISING MEDIA

the two-way flow of

communication between a buyer

and seller, often in face-to-face

encounter, designed to influence

a person’s

or group’s purchase decision.

PERSONAL SELLING

The marketing function thatevaluates public attitudes, identifies areas within the organization that the public may be interested in, and

executes a program of action to earn public understanding

and acceptance.

PUBLIC RELATIONS

GOAL is to enhance and speed up the effectiveness of the other three.

Marketing activities-other than personal selling, advertising and public relations-that stimulate consumer buying and dealer effectiveness.

SALES PROMOTION

Free samplesFree samples

ContestsContests

PremiumsPremiums

Trade ShowsTrade Shows

Vacation GiveawaysVacation Giveaways

CouponsCoupons

Popular ToolsPopular Toolsforfor

Consumer SalesConsumer SalesPromotionPromotion

Popular ToolsPopular Toolsforfor

Consumer SalesConsumer SalesPromotionPromotion

SALES PROMOTION TOOLS

direct communication

with consumers

to generate a response in the form of an order,

a request for further information,

or a visit to a retail outlet.

DIRECT MARKETING

A method of carefully coordinating all

promotional activities to produce a

consistent, unified message that is customer focused.

I can send it out, but how do I know what was received ?

INTEGRATED MARKETING COMMUNICATIONS

NoiseNoise

SourceSource EncodingMessage

EncodingMessage

FeedbackChannel

FeedbackChannel

MessageChannel

MessageChannel

DecodingMessage

DecodingMessage ReceiverReceiver

THE COMMUNICATION PROCESS

The process by which we exchange or share meanings through a common set of symbols.

Criteria for Selecting Media

Communication Mode Communication Mode

Communication ControlCommunication Control

Feedback AmountFeedback Amount

Feedback SpeedFeedback Speed

Message Flow DirectionMessage Flow Direction

Message Content ControlMessage Content Control

Sponsor IdentificationSponsor Identification

Reaching Large Audience Reaching Large Audience

Message FlexibilityMessage Flexibility

The promotional mix

Nature of the ProductNature of the Product

Promotional FundsPromotional Funds

Target Market FactorsTarget Market Factors

Type of Buying DecisionType of Buying Decision

Stage in PLCStage in PLC

Push or Pull StrategyPush or Pull Strategy

These are much like the factors that affect your distribution choice

FACTORS EFFECTING MEDIA CHOICE

FIGURE 15-3 FIGURE 15-3 Promotional tools used over the product life cycle of Purina Dog Chow

A comparison of push vs pull promotional strategies

Setting the Promotion Budget

% of Sales Budgeting – last year’s sales sets this year’s budget

All-You-Can-Afford Budgeting – promo when all other costs are covered

Objective and Task Budgeting – best method; set current objectives & divide current funds

Competitive Parity Budgeting – do like your competitors

Push Strategy

A push strategy consists of directing the promotional mix to channel members to gain their cooperation in ordering and stocking the product.

A push strategy consists of directing the promotional mix to channel members to gain their cooperation in ordering and stocking the product.

Pull Strategy

A pull strategy consists of directing the promotional mix at ultimate consumers to encourage them to ask the retailer for a product.

A pull strategy consists of directing the promotional mix at ultimate consumers to encourage them to ask the retailer for a product.

AN IMC FOR ATORO SNOWTHROWER

IN-CLASS ACTIVITY 15-1

Toro Power Max News Release (Page 1)

Toro Power Max Radio Ad

Click to Play Radio Ad

Toro Power Max Point-of-Purchase Kit (1)

Brochure & Holder Buying PowerFinance Poster

Hanging Mobile

Feature Card Chute Wobbler

Counter Mat Loop Video

Indoor/Outdoor Banner Coop Ad

Toro Power Max Point-of-Purchase Kit (2)