Presentation on theme: "Evolution of IMC, Advertising Industry and Its Main Players Lecture 1."— Presentation transcript:
Evolution of IMC, Advertising Industry and Its Main Players Lecture 1
THE ROLE OF PROMOTION Promotion is: To communicate with individuals, groups or organisations to directly or indirectly facilitate exchanges by informing and persuading one or more audiences to accept an organisation's products. This involves considering: What to communicate? When to communicate? How to communicate? What cost would be involved? What resources are required?
EVOLUTION OF IMC The marketer who will succeed in the new environment will be the one who coordinates the communications mix so tightly that you can look: from medium to medium, from program event to program event and instantly see that the brand is speaking from one voice
Integrated Marketing Communication A strategy of coordinating a company’s marketing efforts as well as its promotion communication to convey a consistent, unified message and image IMC works to ensure that an advertiser speaks with a single voice in the mist consistent and cost effective manner IMC is the process of developing and implementing various forms of persuasive communications programs with customers and prospects over time
THE NEED FOR IMC With Integrated Marketing Communications (IMC), the Company Carefully Integrates and Coordinates Its Many Communications Channels to Deliver a Clear, Consistent, and Compelling Message About the Organization and Its Product or Service.
Promotional Mix The promotional mix is defined as the basic tools or elements that are used to accomplish an organisation objectives. Advertising Sales Promotion Personal Selling Publicity Point of Purchase Direct Marketing Interactive/Internet Marketing
THE PROMOTION MIX Personal selling Public relations Direct marketing Sales promotion Advertising
Any paid form of non-personal communication about an organization, good, service, or idea by an identified sponsor. Advertising
A short-term inducement of value offered to arouse interest in buying a good or service. A short-term inducement of value offered to arouse interest in buying a good or service. Sales Promotion
The two-way flow of communication between a buyer and seller, often in a face-to-face encounter, designed to influence a person’s or group’s purchase decision. The two-way flow of communication between a buyer and seller, often in a face-to-face encounter, designed to influence a person’s or group’s purchase decision. Personal Selling
A form of communication management that seeks to influence the feelings, opinions, or beliefs held by customers, prospective customers, stockholders, suppliers, employees, and other publics about a company and its products or services. A form of communication management that seeks to influence the feelings, opinions, or beliefs held by customers, prospective customers, stockholders, suppliers, employees, and other publics about a company and its products or services. Public Relations
Promotional element that uses direct communication with consumers to generate a response in the form of an order, a request for further information, or a visit to a retail outlet. Promotional element that uses direct communication with consumers to generate a response in the form of an order, a request for further information, or a visit to a retail outlet. Direct Marketing
Interactive media allow for a back-to-forth flow of information whereby users can participate in and modify the content of the information they receive in real time Interactive media allow for a back-to-forth flow of information whereby users can participate in and modify the content of the information they receive in real time Internet Marketing
Importance of Marketing Communications Intense Competition Enormous Advertising Clutter Technological Advancements Increasing Time Constraints Bold and Sophisticated Customers
Objectives of Marketing Communications All marketing elements must be closely integrated, SPEAK WITH A SINGLE VOICE Targeting and Buyer Behaviour Allow marketing communication to more precisely deliver their messages and to prevent wasted coverage to people falling outside the target market
Objectives of Marketing Communications To improve the price/quality trade-off from the company’s standpoint. To increase sales volume and market share. To communicate to target audience anything related to the product, place and price. To build and sustain relationship with customers.
Inform, persuade and remind customers about products, their features and benefits. Increase Brand awareness Build knowledge of product and Brand Build corporate image Change consumer attitudes about a company Change consumer attitudes about a brand Build brand image and positioning Announce price reduction/increase Objectives of Marketing Communications
Inform consumers of place of sale Develop brand loyalty Reassure consumers of brand quality Increase or enhance short-term/long term sales Prospect customers Obtain product trial Inhibit purchase of competitive brands Inform consumers of favourable credit, delivery, and warranty terms Increase store patronage and store loyalty Objectives of Marketing Communications
Reasons for Growing Importance of IMC Companies recognize the value of strategically integrating the various communications functions rather than having them operate autonomously. The move to IMC reflects an adaptation by marketers to changing environment, particularly with respect to demographics, lifestyles, media use and shopping patterns. IMC Movement is being driven by Marketing Revolution Advances in Technology, Travel and Communications, Global Village
The Decade of Micro-Marketing Micro marketing involves focusing marketing communications on targets that provide the greatest opportunity while attempting to minimize messages aimed at the wrong target market Move from Mass Advertising To Spot Advertising
The Decade of Micro-Marketing WHO exactly are the consumers most likely to become users of the brand? WHERE are they located? HOW can they be reached more efficiently with marketing communication tools?
IMC A brand that is not continually advertised will be ‘OUT OF THE MIND” and hence, Unlikely to be purchased when the consumer is confronted with a buying need in the product category
Integrated Marketing Communications The concept under which a company carefully integrates and coordinates its many communications channels to deliver a clear, consistent, and compelling message about the organization and its products. Why Integration? INTEGRATED MARKETING COMMUNICATION
24 IMC is the development of an Integrated Comprehensive Marketing Communication (Promotion) Plan that links the marketing function with the communication function to deliver Effective Marketing Messages capable of (1) informing, (2) convincing and (3) persuading people to buy. INTEGRATED MARKETING COMMUNICATION
25 IMC makes use of such Promotion Elements as (1) Advertising, (2) Sales Promotion, (3) Public Relations, (4) Publicity, (5) Direct Marketing, (6) Networking, (7) Personal Selling, and other non-conventional elements like (8) On-line communications to develop and deliver clear, consistent, and impact-full communications capable of informing, convincing, and persuading customers to buy. IMC ……SUMMARY