Integrated Marketing Communication

Best Ads, IMC, Advertisers, Production house, Directors - 2011

Think About It

IMC
How would you explain IMC to someone?

Defining IMC Marketing Communication

Marketing communications are the means by which firms attempt to inform, persuade, incite, and remind consumers directly or indirectly - about the brands they sell. (Keller)

Creating, delivering, managing and evaluating brand messages which are the information and experiences that impact how a brand is perceived. (Duncan)

Defining IMC
IMC is a concept of marketing communications planning that recognizes the added value of a comprehensive plan that evaluates the strategic roles of a variety of communication disciplinesfor example, general advertising, direct response, sales promotion, and public relations- and combines these disciplines to provide clarity, consistency, and maximum communications impact. (4A)

IMC is a process for managing the customer relationships that drive brand value. More specially, it is a cross-functional process for creating and nourishing profitable relationships with customers and stakeholders by strategically controlling or influencing all messages sent to those groups and encouraging data-driven, purposeful dialogue with them. (Duncan, 2002)

Defining IMC
Smith et al. (1999) distinguish three definitions: Management and control of all market communications. Ensuring that the brand positioning, personality and messages are delivered synergistically across every element of communication and are delivered from a single consistent strategy. The strategic analysis, choice, implementation and control of all elements of marketing communications which efficiently (best use of resources), economically (minimum costs) and effectively (maximum results) influence transactions between an organization and its existing and potential customers, consumers and clients.

Defining IMC
IMC is a strategic business process used to plan, develop, execute and evaluate coordinated, measurable, persuasive brand communication programs with consumers, customers, prospects employees and other relevant external and internal audiences. (Schultz)

The goal of IMC is to generate short-term financial returns and build long-term brand value.

Defining IMC
IMC is a communication process that entails the planning, creation, integration, and implementation of diverse forms of marcom (ads, SPs, PR, etc.) that are delivered over time to a brands targeted customers and prospects. The goal of IMC is ultimately to influence or directly affect the behavior of the target audience. IMC consists all touch points, or sources of contact, that a customer/prospect has with the brand. IMC requires that all of a brands communication media deliver a consistent message. The IMC process further necessitates that the customer/prospect is the starting point for determining the types of messages and media that will serve best to inform, persuade and induce action. (Shimp, 2012)

A Contemporary Perspective of IMC

Recognized as a business process

Importance of relevant audience Multiple relevant audiences

IMC
All touch points Demand for accountability

Demand for accountability and Measurement of outcomes

Role of IMC?
Voice of a brand To inform, persuade, incite, and remind consumers Acquire, retain & grow customers Can provide detailed product information or ignore the product all together to address other issues Consumers can be told or shown how and why a product is used, by what kind of person, and where and when learn about who makes the product and what the company and brand stand for; and be given an incentive or reward for trial or usage Marketing communications can associate a brand with a specific person, place, experience, or thing.

EVOLUTION OF IMC

The Marketplace in Transition

Source: Schultz & Schultz (1998)

Evolution and revolution in the market-place

Source: Schultz & Schultz (1998)

Marketing Diagonal chart

Source: Schultz & Schultz (1998)

Reasons for the Growing Importance of IMC

From
Media advertising Mass media Manufacturer dominance General focus Low agency accountability

Toward
Multiple forms of communication Specialized media Retailer dominance Data-based marketing Greater agency accountability
Performance-based compensation

Traditional compensation
Limited Internet availability

Widespread Internet availability

INTEGRATION

What is IMC?

According to Ogilvy & Mather

IMC is orchestration

Orchestral Analogy
An orchestra performs according to a musical score and under the direction of a conductor
An IMC plan should detail which marketing communications functions and what media will be used a which times and to what extent. The plan must be clearly communicated internally and overseen to make sure that everyone understands their role

Traditional Approach to Marketing Communications

Point of purchase Publicity Sales promotion

Special events

Media Advertising

Packaging

Direct response

Public relations Direct marketing

Interactive marketing

Contemporary IMC Approach

Packaging Sales promotion Direct response

Point of purchase

Publicity

Media Advertising

Public relations

Interactive marketing

Direct marketing

Special events

Integration
Arguing that marketing and marketing communications are in a transition due to technological advances, Schultz and Schultz (1998) describe a four level transition process by which organizations move from one stage of integrated marketing communication development to another as a result of organizations ability to capture and manage information technology. From bottom to top, these levels are:
Tactical coordination Redefining scope of marketing communication
Brand contact (any info. bearing exp. a cust/prospect has with the brand/prod category/marketer)

Application of information technology, and Financial and strategic.

(Schultz and Schultz, 1998)

Integration
Picton and Hartley (1998) suggest the following dimensions of integration: promotional mix, promotional mix with marketing mix, creative, intraorganization, inter-organization, information and data base systems, target audience, corporate & unitised, and geographical.

Integration levels
Smith et al (1999) 1. Vertical objectives integration 2. Horizontal/functional integration 3. Marketing mix integration 4. Communications mix integration 5. Creative design integration 6. Internal/external integration 7. Financial integration

COMMUNICATION MIX

Basic Elements of the Promotional Mix

Advertising Direct Marketing Interactive/ Internet Marketing Sales Promotion

Publicity/Public Relations
Personal Selling

Classifications of Advertising
National Advertising

Retail/Local Advertising Primary vs. Selective Demand Advertising

Consumers

Business-to-Business Advertising

Professional Advertising

Trade Advertising

Organizations

Direct Marketing is Part of IMC

Direct Mail Internet Sales Direct Response Advertising

Direct Marketing
Shopping Channels Catalogs Telemarketing

Interactive/Internet Marketing
The Internet

Educates or informs customers

A persuasive advertising medium

A sales tool or an actual sales vehicle

Obtains customer database information

Communicates and interacts with buyers

Provides customer service and support

Builds and maintains customer relationships

Sales Promotion Tools

Coupons Samples Premiums Trade Allowances

Contests/Sweepstakes
Refunds/Rebates Bonus Packs Loyalty Programs Events

POP Displays
Training Programs Trade Shows Coop Advertising

Consumer-oriented
[For end-users]

Trade-oriented
[For resellers]

Various Uses of Sales Promotion

Introduce new products Get existing customers to buy more

Combat competition

Attract new customers

Sales Promotion
Enhance personal selling Maintain sales in off season

Increase retail inventories

Publicity Vehicles
Feature Articles

News Releases

Publicity Vehicles

Interviews

Press Conferences

Special Events

Public Relations Tools

Publicity Vehicles Special Publications

Community Activities

Corporate Advertising

Cause-related Marketing

Public Affairs Activities

Special Event Sponsorship