Chapter 18 – Integrated Marketing Communications and Direct Marketing

What are the 5 communication tools?
1. Advertising
2. Personal Selling
3. Public Relations
4. Sales Promotion
5. Direct Marketing
What are the three main goals of the communication tools?
1. inform
2. persuade
3. remind
Integrated Marketing Communications
Designing marketing communications programs that coordinate all promo. activities to provide a consistent message across all audiences
Communication Process (definition and 6 elements)
-The process of conveying a message to others
1. source
2. message
3. receiver
4. channel of communication
5. encoding
6. decoding
Field of experience
sender and receiver must have a mutually shared field of experience (deciders use their own frame of reference, attitudes, values, and beliefs)
impact the message had on the receiver’s knowledge, attitudes or behaviors; easiest to measure when a response is a behavior
Feedback loop=
the sender’s interpretation of the response and determination of whether the message was decoded and understood as intended
extraneous factors that work against effective communication by distorting a message or the feedback received
Advertising (def. and advantages/disadv.)
– and PAID form of NONpersonal communication;
-adv: reach wide target; create more brand awareness
-disadv: high costs; difficult to receive good feedback loop
Personal Selling (def,adv,disadv)
-two-way flow of communication between a buyer and a seller
-adv: can control to whom presentation is made, reduces wasted coverage; if feedback is unfavorable, presentation can be modified immediately
-disadv: requires lots of resources; can be inconsistent
Public Relations
-comm. mgt. that seeks to influence feelings, opinions, or beliefs held by stakeholders (includes publicity)
-adv: more credibility for consumer
-disadv: organization has no control over it
Sales Promo.
-short-term inducement of value offered to arouse interest in buying a product
-adv: short term nature often stimulates sales for their duration; may increase store traffic
-disadv: only temporary spike, then drop
Direct Marketing
-direct comm. to generate a response in the form of an order, request for further info, or a visit to a retail outlet
adv: messages can be prepared quickly; facilitates relationship with customer
disadv: declining customer response; DB mgt is expensive
What are the two issues in forming the promo. mix?
1. the balance of elements must be determined
2. planning process needs to ensure promo. elements across different departments results in a consistent promo. effort
what 5 things impact the first issue?
1. target audience
2. stage of the product life cycle
3. product characteristics
4. stages of the buying decision
5. channel strategies
target audience
ultimate consumer? intermediate? both?
Stages of the product life cycle (which marketing comm. tactic and focus of each)
1. Intro- purpose=inform; use publicity/advertising/sales promo.
2. growth- purpose= to persuade; personal selling/advertising
3. maturity- purpose= to remind; reminder advertising/sales promo./limited personal selling/direct-mail reminders
4. decline- purpose= phase out; little or no money spent on promo.
product characteristics; what are three and what marketing tactic to use?
1. complexity- personal selling
2. risk- advertising to reassure; persuasion-personal selling
3. ancillary (pertain to degree of service/support req. after sale)- use PR publicity, personal selling
Stages of the buying decision (3 and what tactic?)
1. prepurchase- (info) advertisement
2. purchase- personal selling/sales promo.
3. post-purchase- advertising for cognitive dissonance
channel strategies (2 and definition)
1. Push- push product through channel to push to customers; personal selling and sales promo.
2. Pull- get ultimate customers to ask channel for a product; advertising works best here
What are the three steps of the promotion decision process?
2. executing
3. assessing
What are the 6 steps in developing the program?
1. Identify target audience
2. specify promo. objectives
3. setting the promo. budget
4. selecting the right promo. tools
5. designing the promo.
6. scheduling the promo.
What does hierarchy of effects go under? and what is it?
2. specifying promo. objectives; the sequence of stages a prospective buyer goes through from initial awareness of a product to eventual action
What are the four approaches to setting the promo. budget?
1. % of sales
2. competitive parity
3. all-you-can afford
4. objective and task
under selecting the right promo. tools, what two things are important?
analytical skills and experience
2 steps in executing the promotion?
1. pretest
2. carry out
2 steps under evaluating the promotion?
1. posttest
2. make needed changes
What are three aspects of Direct Marketing?
3.technological, global and ethical issues
What is the most common form of DM?
What are the three types of DM value? order
2.lead generation
3.traffic generation