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Copyright ©2014 by Pearson Education 1-1 1 Chapter One Integrated Marketing Communications
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Integrated Marketing Communications - KSU · Integrated Marketing Communications is the coordination and integration of all marketing communication tools, avenues and sources within

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Page 1: Integrated Marketing Communications - KSU · Integrated Marketing Communications is the coordination and integration of all marketing communication tools, avenues and sources within

Copyright ©2014 by Pearson Education 1-1

1 Chapter One

Integrated Marketing Communications

Page 2: Integrated Marketing Communications - KSU · Integrated Marketing Communications is the coordination and integration of all marketing communication tools, avenues and sources within

Virgin Atlantic

‘Still Red Hot’ 25th Anniversary

campaign

Bold, distinctive imagery

Global campaign

Integrated across many platforms

and channels including social

media, print, and television

Copyright ©2014 by Pearson Education 1-2

1

Page 3: Integrated Marketing Communications - KSU · Integrated Marketing Communications is the coordination and integration of all marketing communication tools, avenues and sources within

Copyright ©2014 by Pearson Education 1-3

1. How does communication take place?

2. What is an integrated marketing communications program?

3. What new trends are affecting marketing communications?

4. How does an integrated marketing communications program create value?

5. What are the components of an integrated marketing communications program?

6. What does the term GIMC mean?

Integrated

Marketing Communications

Chapter Objectives 1

Page 4: Integrated Marketing Communications - KSU · Integrated Marketing Communications is the coordination and integration of all marketing communication tools, avenues and sources within

Copyright ©2014 by Pearson Education 1-4

• Highly competitive global marketplace

• Wide variety of media available

• Clear communications needed

• Customers bombarded with communications

• Integrated advertising and communications

Integrated

Marketing Communications

Chapter Overview 1

Page 5: Integrated Marketing Communications - KSU · Integrated Marketing Communications is the coordination and integration of all marketing communication tools, avenues and sources within

Copyright ©2014 by Pearson Education 1-5

F I G U R E 1 .1

Communication Process

=Noise

Transmission

Device Encoding Receiver Decoding Sender

Feedback

Page 6: Integrated Marketing Communications - KSU · Integrated Marketing Communications is the coordination and integration of all marketing communication tools, avenues and sources within

Copyright ©2014 by Pearson Education 1-6

Chick-fil-A Social Media

Integrates online with offline

Facebook – 500 profile mentions

Official Chick-fil-A Facebook page

Fan helps administer the page

Allows fans to interact

Announces specials, provides coupons

Promotions on Twitter

“Eat Mor Chikin” offline advertising

Page 7: Integrated Marketing Communications - KSU · Integrated Marketing Communications is the coordination and integration of all marketing communication tools, avenues and sources within

Copyright ©2014 by Pearson Education 1-7

F I G U R E 1 . 2

Examples of Communication Noise

Talking on the phone during a commercial on television.

Driving while listening to the radio.

Looking at attractive model in a magazine ad and ignoring the message and brand.

Scanning a newspaper for articles to read.

Talking to a passenger as the car passes billboards.

Scrolling past Internet ads without looking at them.

Annoyed by ads appearing on a social media site.

Ignoring tweets on Twitter because they are not relevant.

Offended by the message on a flyer for a local business.

Page 8: Integrated Marketing Communications - KSU · Integrated Marketing Communications is the coordination and integration of all marketing communication tools, avenues and sources within

Copyright ©2014 by Pearson Education 1-8

Integrated Marketing Communications is the coordination and integration of all marketing communication tools, avenues and sources within a company into a seamless program which maximizes the impact on consumers and other end-users at a minimal cost. The IMC includes all business-to-business, channel, customer, external communications and internal communications.

Page 9: Integrated Marketing Communications - KSU · Integrated Marketing Communications is the coordination and integration of all marketing communication tools, avenues and sources within

Copyright ©2014 by Pearson Education 1-9

F I G U R E 1 . 3

The Components of Promotion

Product Price Promotion Distribution

Advertising Sales Promotions Personal Selling

Database

Marketing

Direct

Response

Marketing

Sponsorship

Marketing

E-Active

Marketing

Public

Relations

Alternative

Marketing

Social

Media

Page 10: Integrated Marketing Communications - KSU · Integrated Marketing Communications is the coordination and integration of all marketing communication tools, avenues and sources within

Copyright ©2014 by Pearson Education 1-10

F I G U R E 1 . 4

Steps of a Marketing Plan

Current situational analysis

SWOT analysis

Marketing objectives

Target market

Marketing strategies

Marketing tactics

Implementation

Evaluation of performance

Page 11: Integrated Marketing Communications - KSU · Integrated Marketing Communications is the coordination and integration of all marketing communication tools, avenues and sources within

Emerging Trends Marketing Communications

Emphasis on accountability and measurable results

Changes in tasks performed by key individuals

Emergence of alternative media

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Page 12: Integrated Marketing Communications - KSU · Integrated Marketing Communications is the coordination and integration of all marketing communication tools, avenues and sources within

Accountability and

Measurable Results

Economic pressures

Want results from marketing budgets

Effort led by CEOs, CFOs, and CMOs

Advertising agencies expected to deliver results

Emerging social media changes communication

Emerging alternative methods and media

Less reliance on mass TV ads

Copyright ©2014 by Pearson Education 1-12

Page 13: Integrated Marketing Communications - KSU · Integrated Marketing Communications is the coordination and integration of all marketing communication tools, avenues and sources within

Account executive – represents advertising agency

and interface with clients

Brand or product manager – oversees specific brands

or line of products

Creatives – design ads and promotional materials

Account planners – voice of the consumer within the

agency

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Changes in Tasks Performed

Partnership among individuals to achieve results.

Page 14: Integrated Marketing Communications - KSU · Integrated Marketing Communications is the coordination and integration of all marketing communication tools, avenues and sources within

Emergence of Alternative Media

Emergence of

– Interactive Web sites, blogs, and social networks

– Smartphones

Companies shifting expenditures from

traditional to new, alternative media

Younger consumers

– Less likely to watch TV

– Engaged in technology-based interactions

Challenge

– Finding ways to reach consumers

Copyright ©2014 by Pearson Education 1-14

Page 15: Integrated Marketing Communications - KSU · Integrated Marketing Communications is the coordination and integration of all marketing communication tools, avenues and sources within

Copyright ©2014 by Pearson Education 1-15

• Advances in information technology

• Changes in channel power

• Increase in global competition

• Increase in brand parity

• Emphasis on customer engagement

• Increase in micro-marketing

F I G U R E 1 . 7

Reasons for Integrating Communications

Page 16: Integrated Marketing Communications - KSU · Integrated Marketing Communications is the coordination and integration of all marketing communication tools, avenues and sources within

Advances in Information Technology

Instant communications

Consumers have access to unlimited information

Consumer communication has increased

Copyright ©2014 by Pearson Education 1-16

Page 17: Integrated Marketing Communications - KSU · Integrated Marketing Communications is the coordination and integration of all marketing communication tools, avenues and sources within

Changes in Channel Power

Retailers

– Control channel

– Control shelf space

– Have purchase data

– Determine products and brands on shelves

Consumers

– Internet shifts power to consumers

– Multiple methods of making purchases

Copyright ©2014 by Pearson Education 1-17

Page 18: Integrated Marketing Communications - KSU · Integrated Marketing Communications is the coordination and integration of all marketing communication tools, avenues and sources within

Emergence of Online Purchasing

Copyright ©2014 by Pearson Education 1-18

Page 19: Integrated Marketing Communications - KSU · Integrated Marketing Communications is the coordination and integration of all marketing communication tools, avenues and sources within

Increases in Global Competition

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Information technology and communication has

changed marketplace

Products can be purchased from multiple locations

Customers want both low prices and high quality

Manufacturers and retailers must work together

Page 20: Integrated Marketing Communications - KSU · Integrated Marketing Communications is the coordination and integration of all marketing communication tools, avenues and sources within

Copyright ©2014 by Pearson Education 1-20

F I G U R E 1 . 8

Global Market Share of Top

Mobile Phone Brands

Source: "Wireless/Mobile Statistics," www.mobileisgood.com/statistics.php, accessed November 23, 2009.

HTC, 2.7% Huawei, 2.4% LG, 4.8%

Motorola, 2.5%

Nokia, 23.9%

RIM, 2.9%

Samsung, 17.8%

Sony, 1.9%

ZTE, 3.2%

Others, 34.0%

Page 21: Integrated Marketing Communications - KSU · Integrated Marketing Communications is the coordination and integration of all marketing communication tools, avenues and sources within

Increase in Brand Parity

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Brands viewed as being equivalent

Consumers select from group of brands

Quality and characteristics less important

Price more important

Decline in brand loyalty

Page 22: Integrated Marketing Communications - KSU · Integrated Marketing Communications is the coordination and integration of all marketing communication tools, avenues and sources within

Emphasis

Customer Engagement

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Marketers seek to engage customers

Contact points important

Digital media now part of IMC

Two-way communication

Strive to develop emotional commitment

Page 23: Integrated Marketing Communications - KSU · Integrated Marketing Communications is the coordination and integration of all marketing communication tools, avenues and sources within

Understanding customer engagement also applies to nonprofits

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Page 24: Integrated Marketing Communications - KSU · Integrated Marketing Communications is the coordination and integration of all marketing communication tools, avenues and sources within

Increase in Micro-Marketing

Copyright ©2014 by Pearson Education 1-24

Identify appropriate media

Decrease in mass media advertising effectiveness

VCR, TiVo, DVR impact

Shift to micro-marketing

Focus on individuals and micro-segments

Agencies now assist with IMC efforts

Page 25: Integrated Marketing Communications - KSU · Integrated Marketing Communications is the coordination and integration of all marketing communication tools, avenues and sources within

Copyright ©2014 by Pearson Education 1-25

F I G U R E 1 . 9

Overview of IMC Text

Corporate Image

Brand Management

Buyer

Behaviors IMC Planning Process

Advertising

Management

Advertising Design

Theory & Appeals Advertising Design

Messages & Frameworks

Traditional

Media Digital

Marketing

Alternative

Channels

Regulation

& Ethics Evaluation

Database,

Direct Response,

& Personal Selling

Public

Relations &

Sponsorships

Sales

Promotions

Page 26: Integrated Marketing Communications - KSU · Integrated Marketing Communications is the coordination and integration of all marketing communication tools, avenues and sources within

International Implications

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Goal – to coordinate marketing efforts

Greater challenge due to national and

cultural differences

Standardization versus Adaptation

“Think globally, but act locally”

Page 27: Integrated Marketing Communications - KSU · Integrated Marketing Communications is the coordination and integration of all marketing communication tools, avenues and sources within

Integrated Campaigns in Action

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Actual campaigns created by

– Agencies

– Internal marketing departments of brands

Highlights application of theories

14 different campaigns

Ouachita Independent Bank

– Continuous campaign

Page 28: Integrated Marketing Communications - KSU · Integrated Marketing Communications is the coordination and integration of all marketing communication tools, avenues and sources within

Ouachita Independent Bank (Part 1)

Copyright ©2014 by Pearson Education 1-28

Theme of campaign – Local people, local trust

Integrated components

– Magazine

– Newspaper

– Television

– Digital

ClowBaack – Integrated Campaigns in Action

Page 29: Integrated Marketing Communications - KSU · Integrated Marketing Communications is the coordination and integration of all marketing communication tools, avenues and sources within

Ouachita Independent Bank

Copyright ©2014 by Pearson Education 1-29

Campaign Theme - Local people, local trust

ClowBaack – Integrated Campaigns in Action

Newspaper print ad

Television ad