Integrated Marketing Communications Latest

8/3/2019 Integrated Marketing Communications Latest

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Integrated MarketingCommunication

@ RAJESH NAMBIAR@ RAJESH NAMBIAR


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Integrated Marketing Communication

Today reaching out to consumers throughdifferent possible ways in the most cost-effectivemanner is not only exciting and but challenging

The competition in todays marketplace is not forthe customers money. The real competition is fortheir emotions.

Touch the hearts of the people you serve andthey will be back for more.

Engage their emotion and they will becomeraving fans of your brand. Miss this insightand you might loose your business.



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Consumers are difficult to catch, advertisingmessages will have to find them wherever theycan be found.

In earlier days, things used to be very simple;create a product, generate a catchy name, create

a nice jingle and air the commercial repeatedly onDoordarshans Chitrahaar and Mahabharat.

There are quite a few brands who owe their superbrand status to this formula of brand building.

But such days of one-plan-fits-all are over.Advertising is changing rapidly and there aremany new challenges. Many new and wonderfulways lie ahead.

This is a very exciting time for anybody in and

related to advertising.@ RAJESH NAMBIAR@ RAJESH NAMBIAR


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In market based economies, consumers rely onadvertising and other forms of promotion tomake their purchase decisions

The ability of advertising and other promotional

methods to deliver the message to the targetaudience has given them a major role in themarketing programs of most organizations

Many companies have started to recognize theneed to integrate their various marketingcommunication efforts such as the Mass mediaadvertising, Public Relations, Sales Promotionand Direct Marketing to achieve more effective

marketing communication@ RAJESH NAMBIAR@ RAJESH NAMBIAR


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Point ofPurchase

Publicity

PublicRelations

DirectMarketing

InteractiveMarketing

SpecialEvents

Packaging

SalesPromotion

DirectResponse

Traditional Approach to MarketingCommunications

MediaAdver-tising



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Contemporary IMC Approach

Point ofPurchase

Publicity

InteractiveMarketing

PublicRelations

DirectMarketing

SpecialEvents

PackagingSales

PromotionDirect

Response

MediaAdver-tising

2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin


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What does this mean??

IMC is a concept of marketing communicationsplanning that recognizes the added value of acomprehensive plan that evaluates the strategicroles of a variety of communication disciplines like Advertising, DM, PR, SP, etc. - and combines

these disciplines to provide clarity, consistency,and maximum communication impact (through theseamless integration of discrete messages)

Simply put it is

A planning process designed to ensure that allbrand contacts received by a customer orprospects for a product, service, or organizationare relevant to that person and consistent overtime.

American Association of Advertising Agencies


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Other definitions Twenty-first century marketing will mean bringing

a brand to life using all possible contact points andnot simply relying on old formulas.

A management concept that is designed to make allaspects of marketing communication such asadvertising, sales promotion, public relations, anddirect marketing work together as a unified force,rather than permitting each to work in isolation.

In practice, the goal of IMC is to create and sustaina single look or message in all elements of amarketing campaign.

IMC can be defined as a holistic approach to

promote buying and selling in the new economy.@ RAJESH NAMBIAR@ RAJESH NAMBIAR


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Other definitions Integrated Marketing Communications (IMC) is

the practice of unifying all marketingcommunication tools, as well as all corporate and

brand messages to communicate in a consistentway with stakeholder audiences.

This is, by far, the best definition.

IMC, thus, goes beyond a single ad;

goes beyond a campaign;

goes beyond advertising;

goes beyond even coordination with othermarketing tools like PR, DM etc.



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The Market Place

Complex

Dynamic

Monopoly virtually non-existent

The Consumer - the mostpampered and sought-afterthing



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Integrated Marketing Communications

Everything the consumer sees orexperiences that has the brand nameon it, communicates

Communication goes beyond specificcommunication tools. The products styling,its packaging, price, the sales personsmanner and dress- all communicate

something to the customers. The wholemarketing mix, not just promotional mix,must be orchestrated for maximum

communication impact@ RAJESH NAMBIAR@ RAJESH NAMBIAR


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Types of Stakeholder Audiences



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Types of Message Sources

Planned (controlled) sources

Unplanned sources



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Planned (Controlled) Message Sources

Advertising

Public Relations

Sales Promotion Direct

Marketing

Events

Personal Selling

Packaging

Point-of-Purchasematerial

Sponsorships Licensing

Website

Microsites

Blogs



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Message Sources often unconsidered

Price

Product Performance

Customer Service

Distribution

Facilities

But remember that everything that has acontact point with a company or products of thecompany with the products audience, is amessage source.



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For example here are message sources never

considered:

A Coca Cola truck passing by. Is it clean, well-painted? Does it make a favorable impression?

Similarly, an Everest Masala truck? It might bethought to be as an expense to keep it well-painted, but if it isnt done, it communicates anegative message.

The truck should be thought of as yet anotheropportunity to communicate with audience. Amedium where there is nothing to pay for.



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So, messages delivered by the aspects of themarketing mix (price, product design,

distribution etc) and other contact points (thestores parking lot) may communicateimportant information to stakeholders thatmay work for or against the advertisingmessage.



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IMC includes traditional marketing communicationtools such as advertising but recognizes that otherareas of the marketing mix also communicate.

Price sends out a signal.

So does a products reliability.

Cleanliness of the store.

The truck driving past.

The truck drivers uniform is also a message.

IMC planners should consider all message sourcesand should plan and manage these elements toconvey a consistent brand or company image.



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Unplanned (uncontrolled) Message Sources

Now, lets try to name some unconventionalmessage sources.

So far, we have dealt with communication thatcan be classified as planned or controlled.

But there is also communication about thecompany or product that is unplanned andwhich is uncontrolled.

Employee gossip & behavior

Media investigations

Government investigations

Consumer Group investigations

Chat groups@ RAJESH NAMBIAR@ RAJESH NAMBIAR


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There is a working methodologyfor developing


Developing




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The three-step process:

Identify the core idea for the message

Explode this out into various relevantcommunication elements

Tie it all together with appropriate media

Developing




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CORE

IDEA

Developing




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CORE

IDEA

Co-op

advertisingPR &

Events

Glow Signs/

Signage

DirectMarketing

Channel

promos

Point of Sale

Sales

literature

Promotions/

Sampling

DevelopingIntegrated Marketing Communication



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CORE

IDEA

Co-op

advertisingPR &

Events

Glow Signs/

Signage

DirectMarketing

Channel

promos

Mass Media

Mass Media

Point of Sale

Sales

literature

Promotions/

Sampling

Developing Integrated Marketing Communication



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Recent example Reliance Power IPO

The kind of hype that was created for theReliance Power IPO was something that has notbeen seen in recent times and helped in a bigway towards the oversubscription of the publicissue.

The challenge was to market the IPO like aconsumer product and penetrate into the mind ofeach potential investor.

And to achieve this Reliance ADAG utilized all itspossible media products and tools to advertiseextensively for the Reliance Power IPO.

Leveraging various products of the group was avery conscious decision.



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Reliance ADAG media activation plan includedTVCs shown in 62 Adlabs theatres across thecountry, ads on ADAG radio channel, BIG FM,across 39 cities, leaflets alongwith bills at RelianceEnergy Customer Care Centres, and leveraging

through 250 Reliance World, 1300 RelianceExpress and 2000 Reliance money outlets.

Also the caller back ring tone (CRBT) activatedacross 35-40 million subscribers of Reliance MobileWorld, by default. No matter which mobile

operators services one used, the moment aReliance subscriber was called, the jingle PowerOn. India On was heard.

Keeping the big picture of Power On. India On inthe mind, the campaign went the beyond the 30-

sec TV spot

Recent example Reliance Power IPO



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Due to the shift from mass media advertising toother forms of promotion, particularly consumerand trade oriented sales promotions

Because of the shift in the market place powerfrom the manufacturers to the retailers.

Due to the movement away from relying only onadvertising focused approach with emphasis onmass media

Due to the major role it plays in the process ofdeveloping and sustaining brand identity andbrand equity.

Reasons for the growingimportance of IMC



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There have been shifts in the advertising and mediaindustry that have caused IMC to develop into aprimary strategy for most advertisers

From media advertising to multiple forms ofcommunication (including promotions, productplacements, mailers...)

From mass media to more specialized media, whichare centered around specific target audiences

From a manufacturer-dominated market to a marketwhere control has transferred into consumer's hands

From general-focus advertising and marketing to

data-based marketing.




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From low agency accountability to greater agencyaccountability. So agencies now themselves feelthey must play a larger role in marketing than everbefore

From traditional compensation to performance -based compensation. This encourages people to dobetter because they are rewarded for the increasein sales or benefits they cause to the company

From limited Internet access to widespreadInternet availability. This means that people cannot only have access to what they want 24/7 butthat advertisers can also target different people 24

hours a day.




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From low agency accountability to greater agencyaccountability, IMC makes for synergy thewhole is greater than the sum of the parts.

IMC works for both large & small cos. Smallbusiness can start an Integrated MarketingCommunication plan on a small budget using awebsite and email. Large corporation can start an

Integrated Marketing Communication plan on alarge budget using print, mail order, radio, TVplus many other online ad campaigns.




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Brand identity is combination of logo, symbol,design packaging and performance of product thatcomes into the mind when consumers think brand

Consumers have contact with or receive information

about brand in stores through POS materials.

Marketers recognize in the modern world ofmarketing there are many different opportunitiesand methods of contacting current and prospective

customers to provide information about thecompany and brands as well as build brand image.

The challenge is to understand how to use variousIMC tools to make such contacts and deliver the

branding message efficiently and effectively




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Integrated Marketing

Communications (contd.)

The Components or Tools

Advertising

Direct Marketing

Interactive/Internet

Sales PromotionPublic Relations

Personal Selling@ RAJESH NAMBIAR@ RAJESH NAMBIAR


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Advertising

There are several reasons why advertising is animportant part of the marketers promotionalmixes.

Firstly, it is very cost effective method tocommunicate to a large audience.

Secondly, it helps create brand image and

symbolic appeal for the brand which is a veryimportant for companies selling product and/orservices that are difficult to differentiate onfunctional attributes.



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Classification of Advertising

Advertising in the consumer market- National Advertising

- Retail/Local Advertising

- Brand Advertising

- Primary/Secondary demand advertising

- Political Advertising- Directory Advertising

- Direct-Response Advertising

- Public Service Advertising

- Interactive Advertising

Advertising to Business & Professional markets- Business to Business Advertising

- Professional Advertising

- Trade Advertising



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Various media

Their Armour and itschinks.



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Television



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Television

DisadvantagesFragmentation - To manychannels

City/geographical

HighC

ostsClutter

Fleeting Exposure/Shortmessage life

High Production costs

Still TV penetration anissue

AdvantagesMass Coverage

High reach (All India & Regional)

Audio Visual ( Image and effectivecommunication)

High Impact

Medium Imagery

Development of niche channels(suited to sharp focusing)

Goes beyond the literate

Good lead medium

FMCGs - Soft Drinks, Soaps, Foods, Durables,



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Press



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NewspapersDisadvantagesNot National

High Costs on a national platform

Static medium Less effective message

delivery

Clutter on a page

Poor reproduction quality

AdvantagesFragmented/Flexible

DemographicPsychographicGeographical

High coverage

Credibility

Higher involvement

More Details possibleProduct infoDealers

Can be used for coupons

Short lead time for placing adsAds can be placed in interest

sections

Timely (current ads)

Longer Shelf life

Visual medium

Buy NOW!!

Durables, Regional players, Contests, Promotions,

Launch phase, Local Advertisers (Ent.& Retail)@ RAJESH NAMBIAR@ RAJESH NAMBIAR


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Magazines



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MagazinesDisadvantages

Long lead time for ad

placements

Visual only

Lack of Flexibility

Advantages

Segmentation Potential

Quality Reproduction

High Information Content

Longevity in terms of shelf life

Multiple reader

Innovation possible



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Radio



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RadioDisadvantages

Low reach

Only Audio

Lower attention than

television

Non standardized rate card

Evaluation ?

Fleeting exposure

Advantages

Regional/local flavor

Local Coverage

Cost effective

High frequency

Flexible

Low production cost

Enters your mind space

Captive (for what its worth)

Retail, Entertainment, Contest, Promotions,

Reminder



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Outdoor



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Outdoor

Disadvantages

Short term exposure

Static

Creative limitations

Local restrictions

Evaluation?

Advantages

Flexibility

High repeat exposure

Relatively less cluttered

Good reminder medium

Regional focus

Location/Area specific

Easily noticed

Sharp focus

All categories- Serves as a reminder.

Foods, Durables, etc.



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Direct Marketing Direct Marketing is much more than direct mail

and mail order catalog. It includes databasemanagement, CRM, Direct selling, telemarketing,direct response ads through direct marketing,internet and broadcast and print media

The major tool in direct marketing is direct responseadvertising where the product is prompted throughadvertisement that encourages the consumer topurchase directly from the manufacturers

Direct marketing plays an important role in IMCprogram of consumer product companies andbusiness to business marketers



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Direct Marketing

Direct Marketing involves telemarketing to callconsumers directly and attempts to sell to themthe product directly

Direct marketing also uses CRM to mine theexisting customers

Direct marketing techniques are also used todistribute product samples or target users of a

competing brand

Direct mailers are also sent across to consumersto informs consumers about new product

launches or product improvements@ RAJESH NAMBIAR@ RAJESH NAMBIAR


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Direct Mail

AdvantagesSharp focused lowest wastage

Involving

Reader controls exposure

MeasurementSharper message development

High information content

Lower Cost (on a limited scale)

Repeat exposure opportunities

Innovation possible (Audio visualetc)

DisadvantagesLow response

Consumer knows a direct mail

and thus might ignore

Does not carry image halo of

mass mediaHigh cost per contact

Clutter

Data Base Controlled Identified target group.

Banks, CCs, Financial Products, Retail ..

The list widens everyday!



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Direct Contact

AdvantagesInvolving

Dynamic

Touch and feelopportunity

Experience the brand

Sharp focused

Creates WOM

Brings the consumercloser to the brand

Innovative

Memorability

DisadvantagesCosts

Reach

Time

Services, Eureka Forbes, Financial Services@ RAJESH NAMBIAR@ RAJESH NAMBIAR


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EventsAdvantagesInvolving

Dynamic

Touch and feel opportunity

Experience the brand

Sharp focusedCreates WOM Publicity

Brings the consumer closer tothe brand

Innovative

Memorability

Reach in conjunction with PR /advertising

DisadvantagesCosts

Reach



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Interactive/Internet Marketing

We are experiencing the most dynamic andrevolutionary changes of any era in the history ofmarketing, advertising and promotion

These changes are being driven by advances in

technology and developments that have led todramatic growth of communication throughinteractive media particularly Internet.

Interactive media allows back and forth flow of

information

Interactive medium that is having the greatestimpact is the Internet especially through worldwide web



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Internet is changing the ways companies designand implements their entire business andmarketing strategies and is also affecting theirmarket communication program.

Many or most of the companies have developedwebsites and use it to promote their products andservices by providing information to consumersas well as interact with them

Internet is a medium that can be used to executeall the elements of promotional mix




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In addition to advertising on the web, marketersuse it for sales promotion incentives like coupons,contests, etc. and also use it to conduct directmarketing, personal selling, PR activities more

effectively and efficiently

Companies that are using internet effectively areintegrating their web strategies with other aspects

of the IMC program.



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An example of this is Nike who used Interneteffectively to introduce Air Cross Trainer II shoes.The TVC showed Marion Jones in dramaticsituations and ended with words Continue atwhatever.nike.com . When viewers visited the site

they could select from 6 or 7 different endings tothe TVC, get information on sports and purchasethe shoes

The Internet communication was very effective indriving traffic to both Nikes main website andwhatever.nike.com created specifically for the ad.Needless to say it was very effective and helpedmake AC Trainer II shoes best selling shoes for

that season. @ RAJESH NAMBIAR@ RAJESH NAMBIAR


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Internet

AdvantagesInteractivityCosts

CRM tool

Ability to establish a

relationship

Involvement/ Info. Dissemination

Works well in conjunction withother mediums

Sharp focused targeting based oninterests. Demos and psychos

User attention and involvement

Flexible message platform

DisadvantagesNo Standardized RatesNot yet mass reach

Few valid measurement techniques

Evaluation credibility in doubt

Limited reach

Websnarl (crowded acess)

The youth, and young office goers!

Contests, Promotions across categories.@ RAJESH NAMBIAR@ RAJESH NAMBIAR


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Sales Promotion

Sales Promotion is defined as those marketactivities that provide extra value or incentivesto sales force, distributors or to the ultimateconsumers and can stimulate immediate sales

Consumer oriented sales promotion targeted toultimate users of product or service and includescoupons, premium rebates, contest, etc.

Trade oriented sales promotion is targetedtowards marketing intermediaries such aswholesalers, distributors and retailers



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Sales Promotion

Promotional and merchandising allowances, pricedeals, sales contest & trade shows, dealerconferences are used to encourage trade to stockand promote products

Promotion and Sales Promotion are two terms andare different. Promotion is an element of marketingby which firms communicate with their customers,

it includes all the promotional mix elements.



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Publicity

Publicity refers to non-personal communicationregarding organizations, products or servicesthat are not directly paid for or run underidentified sponsorship

It usually comes in the form of news story,editorial or announcement about organizationand/or its products and services. Like

advertising, publicity involves non-personalcommunication to a mass audience but unlikeadvertising, publicity is not directly paid for bythe company.



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Publicity

An advantage of Publicity over the other forms ofpromotions is its credibility. Consumers generallytend to perceive Publicity as unbiased.

Publicity is not always under the control of anorganization and is sometimes unfavorable.Negative stories about the company and/or itsproducts can be very damaging.

Recent examples being that of Coke. Pepsi,Cadburys etc. The Hindi film industry uses itvery effectively



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Public Relations

There is a distinction between Publicity andPublic Relations.

When an organization systematically plans and

distributes information in an attempt to controland mange its image and the nature of thePublicity it receives, then it is engaging in afunction known as Public Relations.



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Public Relations

Public Relations is defined as the managementfunction which evaluates public attitudes, identifiesthe policies and procedures of an individual ororganization with the public interest and executes a

program of action to earn public understanding andacceptance

Public Relations generally have a broader objective

than Publicity as its purpose is to maintain apositive image of the company among its variouspublics.


P bli R l ti


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Public RelationsAdvantages

Credible 3rd party

Off guard more effective than

sales communication

Dramatization possibility

Free

High Involvement and lots of

information possible

Reader picks to read about you

Disadvantages

Message control

Not timely

No guarantees of publishing

Charities, Clubs, Corporates@ RAJESH NAMBIAR@ RAJESH NAMBIAR


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Personal Selling

Personal Selling is a form of person to personcommunication in which a seller attempts toassist and /or persuade prospective buyers topurchase the companys product or service or toact on an idea.

Unlike Advertising, Personal Selling involvesdirect contact between buyers and seller eitherface to face or through some form of

telecommunication.



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Other, New, Innovative and

Emerging Media/ disciplines

Point of Sale

Flyers

Stickers

W-O-M

Balloons

Bulk SMS

MMSRural Melas/festivals

In film/serial product placements

Tie ups with movies

Multiplexes

Carrybags/Hangtags

Celebrity endorsement

Trains and Buses

Lifts



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Intersecting your consumer



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Today the average consumer is never stationary

Cellphone

Breakfast

Newspaper

Books

Clothes

Shampoolaptop

ipod

Health drink

RadioTooth brushSoap

Railway stationAuto rickshaw

Shoes

Magazines

Traffic signal

Malls TaxiLocal Train

Friends

Beer

Multiplex

Washroom

Sports bar

Word of mouth

Beer

Beer

Washroom again



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Intersecting the consumer

The average consumer always being on the move, asimilar logic applies to every brand chasing him,vying for his attention and cornering his sustainedloyalty.

So does the brand follow the consumer everywhere?

If it does, it costs a lot of money. From theconsumers point of view, a brand following himeverywhere is a;most akin to stalking.

In these recession times and with fragmentation ofmedia a reality, every advertiser wants to rationaliseto every rupee spent


i h


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Intersecting the consumer

Is there anything that helps the advertiser to knowwhich is the best touchpoint to bet their monies on.

Contact Point Management. A study conducted inover 8 countries with 80,000 respondents across 12

product categories revealed that there are 36valuable contact points that could be used for a hostof product categories.


i


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Intersecting your customer

Consumer pathways

Wake up

BreakfastGym

Driveto

work

Checkemail

Switch on PC

Drive tomeeting

Clientlunch

Tea

BreakDrivehome

Go

shopping

Agencymeeting

Watch TV

Chatwith son

Andso tobed


For a bank


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For a bank

Wake up

BreakfastGym

Driveto

workSwitch on PC

Drive tomeeting

Clientlunch

Tea

BreakDrivehome

Goshopping

Agencymeeting

Watch TV

Chat withson

Andso tobed

Checkemail

ATMTV news

FM, Signage

Screensaver

eNewsletter

Chequecredit via

SMS

Debit/creditcard

FM, Signage TV news

Direct mailer


For a soft drink


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For a soft drink

Wake up

BreakfastGym

Driveto

workSwitch on PC

Drive tomeeting

Clientlunch

Tea

BreakDrivehome

Goshopping

Agencymeeting

Watch TV

Chat withson

Andso tobed

Checkemail

DispenserTV ad

FM, Signage

Bottle ontable

eNewsletter

FM,Signage

POS ontable

FM, Signage TV ad

Direct mailerre event

Dispenser



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The Brand Experience

WheelContests &

promos

Aftermarketing

Sponsorships

Retail points

Signage

Visualmerchandising

Product&presentations

Help desks

Memberservices

Productperformance

The Brand

Events &

contacts

LoyaltyProgram

Partnerships Advertising


Th t t


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The output

A multi-point, 3600 campaign whichcan deliver the desired communicationand provide a strong, consistent brand

experience



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Rajesh Nambiar+919833416604

[email protected]

facebook.com/nambiarrajesh

@2rajeshnambiar

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