Agenda

1
Agenda

• Questions on Marketing Plan
• Review of Chapters 19 and 20
• Continue sales force discussion if time permits

2
Managing Integrated Marketing Communications
Advertising, Sales Promotion, Public Relations
and Direct Marketing

• Marty Gustafson
• EM 670S Chapters 19 20
• May 10, 2003

3
Market Communications

• Marketing Communications consists of five modes
  of communication
• Advertising
• Brochures, print ads, billboards, signs, logos
• Sales Promotions or Incentives
• Contests, Demos, Coupons, Trade-ins
• Public Relations
• Speeches, Sponsorships, Lobbying, Donations
• Personal selling
• Face-to-Face Presentations, Meetings, Shows
• Direct and Interactive Marketing
• Mailings, Internet, Fax, Phone

4
Where do you start?

• Audit all of the potential interactions that a
  target customer may have with the product and the
  company
• Then determine which interactions will
  have the most influence on buying and find
  a way to get your message out.

5
Whats the Problem?
32
BIG!
Brand New!
6
The Problem

• People are bombarded by 1,600 commercial messages
  a day.
• Only 80 get through
• Only 12 provoke a reaction
• How many of the images from the previous slide do
  you remember?
• HINT There were 15.

7
Effective Communication

• Analyze your Image
• How knowledgeable is the target audience on the
  subject?
• Familiarity Scale (Never Heard of It ? Know Very
  Well)
• How do they feel toward the subject?
• Favorability Scale (Very Unfavorable ? Very
  Favorable)

8
Effective Communication

• Determine your Objective
• Create Awareness
• Give Product Knowledge
• Create a Liking for the Product/Service
• Develop a Preference for your brand
• Build a conviction that your brand is best
• Lead them to purchase
• Content of the Message
• Rational
• Emotional

9
Effective Communication

• Be Smart
• Promotions should highlight the brand name, not a
  generic event
• Have good timing to save money
• Know how often your customer buys (Recency,
  Frequency) and time communications with them
• Test your communications effectiveness
• Consider the customers lifetime value

10
Communication Trends

• Electronic Marketing
• Mass Customerization
• Comfort Advertising
• Permission Marketing

11
Personal Communication

• Word of Mouth Advertising can be extremely
  powerful it built Amazon.com, Beanie Babies,
  Starbucks, and Palm Pilot.
• How do you develop word of mouth advertising?
• Involve Customers in the process of making your
  product or delivering your service
• Solicit testimonials (and permission to use them)
• Tell true stories to your customers
• Educate your best customers
• Offer fast complaint handling to stop
  negative word of mouth from starting

12
Legal Considerations

• Companies must avoid false or deceptive
  advertising
• No false claims
• No false demonstrations
• An ad can not have the capacity to deceive
• But you can use Puffery
• Sellers also must avoid Bait and Switch
• Must be careful not to offend social or ethnic
  groups

13
Look at Your Advertisement

• Who is the target audience?
• What is the image they are trying to create?
• How are attention and selective retention issues
  handled in this advertising message?
• What is the objective of the advertisement?