Paper Grammar #1 Its vs. It’s –Its is possessive The brand lost its leadership in the market. –It’s is used in place of “it is” It’s the place to entertain.

Paper Grammar #1

Its vs. It’s– Its is possessive

• The brand lost its leadership in the market.

– It’s is used in place of “it is”• It’s the place to entertain your friends.

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Paper Grammar #2

There, Their, They’re– There is a place.

• We will be going there for lunch.

– Their is possessive.• This is their dream home.

– They’re stands for “they are.”• They’re on the way home.

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Paper Grammar #3

Plural vs. Possessive– Plural (multiples) NEVER uses an apostrophe

• Restaurant => Restaurants (NOT restaurant’s)

– Possessive ALWAYS uses an apostrophe (except for in the case of its)

• Singular possessive: This is John’s hat.• Plural possessive: The students’ project.

(More than one student)

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Paper Grammar #4

Placement of punctuation with quotes– Punctuation ALWAYS goes INSIDE of quotes

(except certain uses of question marks).• “the way home.” (NOT “the way home”.)• “green,” “blue,” and “red.” (NOT “green”, etc)• “He was excited!” (NOT “He was excited”!

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Chapter 12- Promotion Strategy and IMC

Promotion: The coordination of marketing communication efforts to influence attitudes or behavior

Marketing communications purpose:– Inform – Remind – Persuade– Build relationships

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Traditional Forms: The Promotion Mix

Advertising Sales promotion Personal selling PR (Public Relations)

– Publicity – Also includes special events

Direct Marketing

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Process that marketers use to plan, develop, execute, and evaluate coordinated, measurable, persuasive brand communication programs over time to targeted audiences– Consumers see the variety of messages from a firm

as a whole

Coordinated, consistent messages across all media (advertising, website, etc.)

Integrated Marketing Communications (IMC)

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Communication Model

Creative Media

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Marketer Control over the Elements in the Promotion Mix

– The extent of the marketer’s control over different communication elements varies

– Control varies inversely with credibility! – Represents a trade-off for marketers

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Mass Appeals: Reach Many Customers at Once Advertising:

Nonpersonal communication from an identified sponsor using mass media– Provides marketers with total control– Rich and dynamic advertising images can help to

build or reinforce brand image– May provide factual information or offer reminders to

consumers– Lacks credibility with cynical consumers– Can be expensive

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Mass Appeals

Sales promotion: Contests, coupons, and other incentives designed to build interest or encourage product purchase during a specified period– Provides retailers with incentives to support a brand– Builds retailer and consumer excitement– Encourages immediate purchase and trial– Reaches price-sensitive consumers– Does not focus on building brand loyalty– Promotional clutter is hard to break through

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Mass Appeals

Public relations: Communication activities that create or maintain a positive image (“goodwill”*) of a firm and its products– With respect to publicity in particular:

• Relatively low cost• Highly credible • Poor message control; no guarantee that message will

even reach the target• Can be difficult to track the results

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Personal Appeals: Communicate on an individual level Personal selling:

Direct interaction between a company representative and a customer– Flexible; salespeople can modify the message to

match customer needs– Immediate feedback is available to sales rep– High cost per contact– Difficult to ensure message consistency between

different sales representatives

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Direct marketing:

Efforts to gain a direct response from an individual consumer– Easily target specific customers with different offers– Easily measure results– Can provide extensive information and multiple offers

with a single appeal– Facilitates marketing database information collection – Consumers dislike some forms of direct marketing– Higher cost per contact than mass appeals

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Buzz Appeals

Word-of-mouth (WOM) marketing:– Efforts by a company to stimulate customer word-of-

mouth (activities that give people a reason to talk about the product)

Buzz marketing: – Using high-profile entertainment or news that gets

people to talk about the brand Viral marketing:

– Creating entertaining or informative messages to be passed along, usually associated with internet

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Guerrilla marketing: – Activities that “ambush” consumers with promotional

content in places they are not expecting to encounter this kind of activity

Experiential marketing: – Marketing activities that attempt to give customers an

opportunity to actually interact with a brand Consumer-generated media:

– The online consumer-generated comments, opinions, and product-related stories available to other consumers through digital media

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Integrated Marketing Communication (IMC)

With IMC, marketers plan and execute communication programs that create and maintain long-term relationships with customers by satisfying needs– IMC unifies all marketing communication tools to

send a consistent, persuasive message– IMC is becoming increasingly important because…

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Characteristics of IMC

– Begins with the customer– Creates a single unified voice for firm– Seeks to develop relationships with customers through

one-to-one marketing and tiering and “share of customer”

– Relies on two-way communication– Focuses on stakeholders and customers– Generates continuous communication– Focuses on changing behavior: Measures results

(marketing ROI)

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IMC and Database Marketing

IMC efforts rely on marketing databases Database marketing:

– The creation of an ongoing relationship with a set of customers who have identifiable interest in a product

– Customers’ responses become part of the ongoing communication process

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IMC and DatabaseMarketing Database marketing:

– creation of ongoing relationship with a set of customers who have identifiable interest in a product

Customers’ responses become part of ongoing communication process– Is interactive Builds relationships– Locates new customers Stimulates cross-selling– Is measurable Yields trackable

responses

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Steps to Develop an IMC Plan

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Developing the IMC Plan

Step 1: Identify target audiences Step 2: Establish the communication objectives

– Create awareness– Inform the market– Create desire– Encourage purchase and trial– Build loyalty

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The Hierarchy of Effects

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Step 3: Determine and allocate the marketing communication budget– Determine the total promotion budget– Decide on a push or pull strategy

• Push strategy: firm moves products through the channel by convincing channel members to offer them

• Pull strategy: firm moves products through the channel by building desire among consumers, convincing retailers to respond to demand

– Allocate budget to a specific promotion mix

Developing the IMC Plan

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Step 4: Design the promotion mix– Type of appeal

• Rational appeal: product-focused; factual/technical information; “reason why”

• Emotional appeal: focus on customer lifestyle; emotional response to product usage/outcomes

• (see other types of appeals in Ch. 13) – Communication channel

• (See media in Ch. 13)

Developing the IMC Plan

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Step 5: Evaluate the effectiveness of the

communication program

For sales promotion – Measure sales response

For advertising– Measure brand awareness, recall, and image before

and after ad campaign For personal selling

– Analyze and compare sales performances by territory and sales force

For publicity:

– Clip articles appearing in media