IMC - Challenges & Opportunities @MICA (01.02.10)

Integrated Marketing Communications –Strategic Opportunities & Challenges

Chandradeep MitraFebruary 2010

The 10 Commandments of Sergio Zyman

‘The End of Advertising As We Know It’

Sergio ZymanWith Armin Brott (2002)

Advertising today is much more than TVCs. And should do much more than TVCs can.

Commandment 1

Everything Communicates. Every brand contact with the customer.Even what you don’t do and don’t say.

Commandment 2

Marketing & Advertising are not art forms, but the science of selling.

There is no room for creative indulgence.Their only job is to sell, sell, sell.

Commandment 3

Awareness and Image don’t mean much if the brand doesn’t sell.

Commandment 4

Trying to retain existing customers is much easier and more profitable

than trying to attract new ones.

Commandment 5

One very important(yet underused & underestimated)

marketing tool is Packaging.It is often the first impression

or the last defense of a brand with a consumer.

Commandment 6

Another set of Powerful Marketing Tools are Sponsorships & Endorsements. But very few marketers manage a

strategic long-term ROI-driven approach.

Commandment 7

Any publicity is not good publicity. Managing Perceptions,

especially at times of crises, needs a strategic planning orientation.

Commandment 8

Customer Service & Relationship Management are becoming the biggest brand-building tools.

Commandment 9

How your employees behave with your customers hugely impacts your brand.And how you treat & train your employees

impacts their behaviour with customers.

Commandment 10

Four Kinds of Media

Four types of channels for brand contacts with consumers

Four Kinds of Media

• Purchased Media• Earned Media• Owned Media• Developed Media

Purchased Media

Traditional bought out Advertising Space or Time in Mass Media.

Purchased Media

• Advertising in mass media– Newspapers– Magazines– TV– Radio– OOH– POS…

Earned Media

Brand coverage in Third Party, Neutral Media Space.

May be Influenced, not Controlled.

Earned Media

• PR• WOM• Social networking• Buzz marketing• Viral marketing…

Owned Media

Media space Owned, Controlled and Managed over Long Term by Brand Owner.

Owned Media

• Website• Company blogs, newsletters, emails…• Packaging• Company transport• Own stores• Franchisees• Offices• Call Centres…

Developed Media

Contact Opportunities created for the Short Term to promote a Brand.

Developed Media

• Events• Activations• Store promotions• Contests• Roaming Field Teams• Home/Office visits• On site sampling…

In Increasing Order of Marketer’s Control

• Earned media• Developed media• Purchased media• Owned media

In Increasing Order of Consumer Impact

• Owned media• Purchased media• Earned media• Developed media

The First Era of Marketing Communications

InsertionContact

Exposure

The Second Era of Marketing Communications

InteractionConnectionEngagement

The Third Era of Marketing Communications

InfluenceCo-CreationExperience

Insertion

Interaction

Influence

Contact/Expose

Connect/Engage

Co-create/Experience

Four stages of influencing tomorrow’s consumers

1st stage – Stage of Inquiry

Issues & Insights

Issues – Business, Marketing, Communication & Media issuesInsights – Consumer insights from three spheres of influence – Media, Business & Brand, and Society

Phase of problem definition, discovery & inputs

‘Know the future’

2nd stage – Stage of Invention

Intelligence & Imagination

Intelligence – Strategy, analysis, optimisation and plan creation (quantitative, left brain)

Imagination – Idea generation, innovation, out-of-box thinking (qualitative, right brain)

Phase of creating the blueprint of a solution

‘Show the future’

3rd stage – Stage of Interpretation

Investment & Integration

Investment – Budget benchmarking, resource allocation, negotiation, mix optimisation

Integration – Synergizing multiple media & platforms, traditional & new media, media & content

Phase of implementation, activating the solution

‘Sow the future’

4th stage – Stage of Influence

Impact & Inference

Impact – Outcomes in terms of consumer influence, across media, marketing & business deliverables

Inference – Learnings and takeouts that can be inputted into future campaigns

Phase of results & learnings for the future

‘Grow the future’

The Four Stages of CreatingConsumer Influence

• Inquiry Issues & Insights

• Invention Intelligence & Imagination

• Interpretation Investment & Integration

• Influence Impact & Inference

‘Know the Future’

‘Show the Future’

‘Sow the Future’

‘Grow the Future’

Stage 1

Stage 2

Stage 3

Stage 4

IMC – Opportunities & Benefits

Cohesion

‘One Voice’ across Contacts

Consistency

‘One Voice’ over Time

Complimentarity

Different Roles for Different Contacts

Customer Focus

Sharper & Contextual Targeting of Relevant Audiences

Effectiveness

Best Use of Relevant Media

Synergy

The Multiplier Effect

Synchronicity

360 degree, Surround & Engage

Optimisation

Maximum Impact at Minimum Cost

Opportunities & Benefits of IMC

• Cohesion - ‘One Voice’ across contacts• Consistency - ‘One Voice’ over time• Complimentarity – Different Roles for Different

Contacts• Customer focus – Sharper & Contextual Targeting of

Relevant Audiences• Effectiveness – Best Use of Relevant Media• Synergy – The Multiplier Effect• Synchronicity – 360 degree, Surround & Engage• Optimisation – Maximum Impact at Minimum Cost

IMC – Issues & Challenges

Specialist Skills

What skills do you need for a particular marketing challenge, How do you access

& assess the capabilities?

Overall & specific objectives

How do you align specific roles & objectives of individual capabilities

with the larger plans & tasks?

Appreciation of others’ roles

How can the generalists appreciate and support the specialists’ roles, and how can the specialists appreciate & compliment

the overall & other specialists’ roles?

Integration - how?

Choosing & agreeing on a common approach or framework to integration

Alternative Approaches to Integration

• Integration approach based on Defined Marketing Tasks /Consumer Needs

• Integration approach based on a Creative Idea• Integration approach based on choice of most

Relevant Touch Points/ Media and Budget Optimisation

Integration – by whom?

Choosing and agreeing on the function and role of an Orchestrator, working out operating systems & processes for

coordination & communication

Teamwork

Organisational structures, cultures, ownership, responsibility & revenue sharing

Innovation

Innovation leadership, acceptance, NIH Syndrome, Idea funnel,

implementation logistics

Allocation of budgets & revenues

Finding & agreeing on an objective system of budget optimization, handling conflict due to

separate contracts and fees

Thank You