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Lecture 7 Lecture Notes in Marketing. RCBC Campus August, 2006. Prof. Mundy Gonzalez. Managing Integrated Marketing Communications. RCBC Campus August 21, 2004. Prof. Mundy Gonzalez De La Salle University Professional Schools, Inc. Kotler on Marketing. - PowerPoint PPT Presentation
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Lecture 7Lecture Notes in
Marketing
Prof. Mundy GonzalezRCBC CampusAugust, 2006
Managing Integrated Managing Integrated Marketing CommunicationsMarketing Communications
RCBC CampusAugust 21, 2004
Prof. Mundy GonzalezDe La Salle UniversityProfessional Schools, Inc
Integrated marketing Integrated marketing communications is a communications is a way of looking at the way of looking at the whole marketing whole marketing process from the process from the viewpoint of the viewpoint of the customer.customer.
Kotler on Kotler on MarketingMarketing
MEANS OF MEANS OF COMMUNICATION IN COMMUNICATION IN MARKETINGMARKETING
AdvertisingAdvertising Sales PromotionsSales Promotions Public Relations Public Relations PublicityPublicity Personal SellingPersonal Selling Direct and Interactive Direct and Interactive
MarketingMarketing
MODES OF COMMUNICATIONSMODES OF COMMUNICATIONS
1.1. Advertising – non-personal presentation; Advertising – non-personal presentation; identified sponsor.identified sponsor.
2. Sales Promotion – giving incentives to encourage purchase or sales.
3. Publicity – non-personal stimulation of demand; not (explicitly) paid by an identified sponsor
MODES OF MODES OF COMMUNICATIONS (cont.)COMMUNICATIONS (cont.)
Face-to-face interaction with prospects; to make presentations, answer questions, and procure orders.
5. Direct Marketing
Communicate directly with specific Prospects to solicit response throughmail, fax, e-mail, or Internet
4. Personal Selling
Common Communication Common Communication PlatformsPlatforms
AdvertisingAdvertising Sales Sales PromotionPromotion
Public Public RelationsRelations
Personal Personal SellingSelling
Direct Direct MarketingMarketing
Print and Print and broadcast broadcast adsads
Contests, Contests, games, games, sweepstakes, sweepstakes, lotterieslotteries
Press kitsPress kits Sales Sales presentationpresentation
CatalogsCatalogs
Packaging-Packaging-outerouter
Premiums Premiums and giftsand gifts
SpeechesSpeeches Sales Sales meetingsmeetings
MailingsMailings
Packaging Packaging insertsinserts
SamplingSampling SeminarsSeminars Incentive Incentive programsprograms
TelemarketinTelemarketingg
Motion Motion picturespictures
Fairs and Fairs and trade showstrade shows
Annual Annual reportsreports
SamplesSamples Electronic Electronic shoppingshopping
See text for complete table
Elements in the Communication Elements in the Communication ProcessProcess
The Communication The Communication ProcessProcess
Target audience may not receive the Target audience may not receive the intended message for any of three intended message for any of three reasons:reasons: Selective attentionSelective attention Selective distortionSelective distortion Selective retentionSelective retention
The Communication The Communication ProcessProcess
Fiske and Hartley have outlined Fiske and Hartley have outlined factors that influence communication:factors that influence communication: The greater the influence of the The greater the influence of the
communication source, the greater the communication source, the greater the effect on the recipienteffect on the recipient
Communication effects are greatest Communication effects are greatest when they are in line with existing when they are in line with existing opinions, beliefs, and dispositionsopinions, beliefs, and dispositions
The Communication The Communication ProcessProcess Communication can produce the most effective Communication can produce the most effective
shifts on unfamiliar, lightly felt, peripheral issues shifts on unfamiliar, lightly felt, peripheral issues that do not lie at the core of the recipient’s value that do not lie at the core of the recipient’s value system.system.
Communication is more likely to be effective if Communication is more likely to be effective if the source is believed to have expertise, high the source is believed to have expertise, high status, objectivity, or likeability, but particularly if status, objectivity, or likeability, but particularly if the source has power and can be identified with.the source has power and can be identified with.
The social context, group, or reflective group will The social context, group, or reflective group will mediate the communication and influence mediate the communication and influence whether or not the communication is accepted.whether or not the communication is accepted.
Consumer Behavior Consumer Behavior DefinedDefined
The study of the acts of individuals The study of the acts of individuals directly involved in obtaining and using directly involved in obtaining and using economic goods and services, including economic goods and services, including the decision processes that precede and the decision processes that precede and determine the acts.determine the acts.
• Combines psychology, sociology,
anthropology and economics.
Basic Assumptions of Basic Assumptions of Consumer BehaviorConsumer Behavior
Consumer behavior is logical and Consumer behavior is logical and determined by the individual.determined by the individual.
• The individual is in control.
• Consumer behavior can be influenced.
•Consumer behavior can and should be
understood through research.
Cognitive PsychologyCognitive Psychology
RS
One View of Consumer One View of Consumer Behavior:Behavior:Stimulus-Response Stimulus-Response TheoryTheory
Mechanistic and linearMechanistic and linear
• Not very predictive at micro or individual level.
• Still useful at macro level
A Second View of A Second View of Consumer Behavior: Consumer Behavior:Cognitive Psychology Cognitive Psychology TheoryTheory
Expands on S—R Theory by adding Expands on S—R Theory by adding mediating variables between stimulus mediating variables between stimulus and responseand response
• Sees the individual in control
• Focus is on how individuals process informationsees individual as having innate need to know
What’s Inside the Black What’s Inside the Black Box?Box?
S R
Selective Perception Filter
•Selective Exposure
•Selective Attention
•Selective Comprehension•Selective Retention
What’s Inside the Black What’s Inside the Black Box?Box?
BeliefsBeliefs• Values
• Attitudes
• Personality Traits
• Defense Mechanisms
• Memories
Intermediary actions
Work and LeisureLanguage
Religion
Education
Cultural Influences
CultureAdaptation
CultureChange
Reference Groups
Family
Cultural InfluencesCultural Influences
What’s Inside the Black What’s Inside the Black Box?Box?
ExperienceExperience
More Things in the Black More Things in the Black BoxBoxBeliefsBeliefs
Beliefs –strongest held cognitionsBeliefs –strongest held cognitions
• Things about the world we believe in
• Beliefs shape our reality
• Beliefs are our concept of the way things are.
More Things in the Black More Things in the Black BoxBoxValuesValues
Values are less intense than beliefsValues are less intense than beliefs• Values shape our concept of the way things should be. • Two types:
- Instrumental – values that we hold that serve as a means to an end or method of conduct.
- Terminal – “end states of existence”
•Values are a standard for guiding behavior.
More Black ThingsMore Black ThingsAttitudesAttitudes
An attitude is a predisposition to behave An attitude is a predisposition to behave toward or away from some object based on toward or away from some object based on knowledge and feeling about that object.knowledge and feeling about that object.
• Attitudes are less intensely held than values.
• A person can have numerous attitudes
AttitudesAttitudes
Three Components:Three Components:
- Cognitive –Knowing – Learn-Affective – Emotion – Feel- Conative – Behavior – Do
• Learn –Feel – Do is the traditional model
•Based on two factors: risk and habit.
AttitudesAttitudes
The process of forming or changing an The process of forming or changing an attitude is the process of persuasion.attitude is the process of persuasion.
• Conventional thinking: a positive attitude
toward the advertising will lead to, or at least
enhance, a positive attitude toward the product.
How Do Attitudes Work?How Do Attitudes Work?
Attitudes are a result or effect of Attitudes are a result or effect of persuasive communication.persuasive communication.
• Attitudes are also the result of direct experience with the object.
• Strongest attitudes occur when both
communication and experience occur.
Advertising and AttitudesAdvertising and Attitudes
Advertising can create an attitude where Advertising can create an attitude where none existed before.none existed before.
• Advertising can reinforce an existing attitude.
• Advertising can weaken an existing attitude.
Advertising and Attitude Advertising and Attitude FormationFormation
Russle H. Colley: Defining Advertising Russle H. Colley: Defining Advertising Goals for Measured Advertising Results Goals for Measured Advertising Results (DAGMAR)(DAGMAR)
Advertising results should be measured Advertising results should be measured by communication standards – by communication standards – sales is sales is not a communication effect.not a communication effect.
Communication
A process of gaining common understanding between sender and receiver of a message.
COMMUNICATIONCOMMUNICATIONObjectivesObjectives
Ensure correct transmittal of Ensure correct transmittal of information from issuer to receiver.information from issuer to receiver.
Build up common understanding
to prevent confusion or clash of personalities
BARRIERS TO BARRIERS TO COMMUNICATIONCOMMUNICATION
Being aware of these barriers will make us cautious in writing or saying anything.
1. EMOTIONAL1. EMOTIONAL
A person under emotional stress shuts A person under emotional stress shuts himself off to receptionhimself off to reception
• An emotional barrier is created between the issuer of the message and the receiver.
• Sender could be saying something different from what he wants to convey.
• Receiver may not receive message clearly.
2. USE OF WORDS2. USE OF WORDS
There are about 600,000 English English words There are about 600,000 English English words (according to Dr. Hayakawa, prominent linguist of (according to Dr. Hayakawa, prominent linguist of San Francisco State College)San Francisco State College)
– 2,000 are recognized, but not necessarily understood fully.– 200 words are used in daily business transactions
– 14,000 shades of meanings.
Use simple, common words to be understood.
3. FEELING OF 3. FEELING OF INSECURITYINSECURITY
It is natural to be insecure about things It is natural to be insecure about things you are not sure off.you are not sure off. When one is insecure, invariably facts are When one is insecure, invariably facts are
distorted.distorted.
• We become apprehensive when we are unaware:
–Our conclusions could be based on guesses or assumptions which could be totally wrong.
Most people get rattled when they receive a memorandum.
Marketing Marketing CommunicationsCommunications
The Means of getting your message The Means of getting your message across to your targeted markets.across to your targeted markets.
PROCESS OF PROCESS OF COMMUNICATIONCOMMUNICATION
How to make yourself understood by How to make yourself understood by the receiver of your message.the receiver of your message.
HOW TO LISTEN HOW TO LISTEN Misunderstanding results from poor listening.Misunderstanding results from poor listening.• Meanings are affected by voice tones, facial expressions.• Preconceived ideas make people opinionated, or dogmatic.
–Messages are screened
–Messages are interpreted on the basis of preconceived ideas, opinions, biases.
Listen attentively and objectively –
use eyes, ears, and heart.
Ask yourself:Ask yourself: What am I going to say?What am I going to say?
• Do I know what I am going to talk about?• Who is going to receive my communicationmessage?
• Is he under emotional stress? right frame of mind?
• What’s the best way to talk to him?
• Is he familiar with my subject? - Don’t assume that he knows.
• What are his likes, dislikes, interests, fears?
HOW TO BE HOW TO BE UNDERSTOOD CLEARLYUNDERSTOOD CLEARLY
Use simple wordsUse simple words
• Use right tone of voice.
• Write legibly.
• Do not assume your receiver knows what you are talking about. Provide details of what you are saying.
• Get feedback.
Steps in Steps in Developing Developing Effective Effective CommunicationCommunication
Developing Effective Developing Effective CommunicationsCommunications
Identify the Target AudienceIdentify the Target Audience Image analysisImage analysis
Familiarity scaleFamiliarity scale
Favorability scaleFavorability scale
Never Never Heard ofHeard of
Heard of Heard of OnlyOnly
Know a Know a Little BitLittle Bit
Know a Fair Know a Fair AmountAmount
Know Know Very WellVery Well
Very Very UnfavorableUnfavorable
Somewhat Somewhat UnfavorableUnfavorable
IndifferentIndifferent SomewhaSomewhat t FavorableFavorable
Very Very favorablefavorable
Familiarity-Favorability AnalysisFamiliarity-Favorability Analysis
Developing Effective Communications
Semantic differentialSemantic differential Developing a set of relevant dimensionsDeveloping a set of relevant dimensions Reducing the set of relevant dimensionsReducing the set of relevant dimensions Administering the instrument to a Administering the instrument to a
sample of respondentssample of respondents Averaging the resultsAveraging the results Checking on the image varianceChecking on the image variance
Images of Three Hospitals (Semantic Images of Three Hospitals (Semantic Differential)Differential)
Developing Effective Developing Effective CommunicationsCommunications
Determine the Communication Determine the Communication ObjectiveObjective CognitiveCognitive AffectiveAffective BehavioralBehavioral Response-hierarchy modelsResponse-hierarchy models
Developing Effective Developing Effective CommunicationsCommunications
Hierarchy-of effects modelHierarchy-of effects model AwarenessAwareness KnowledgeKnowledge LikingLiking PreferencePreference ConvictionConviction PurchasePurchase
Developing Effective Developing Effective CommunicationsCommunications
Design the MessageDesign the Message AIDA modelAIDA model
Gain Gain attentionattention Hold Hold interestinterest Arouse Arouse desiredesire Elicit Elicit actionaction
Message ContentMessage Content Rational appealsRational appeals Emotional appealsEmotional appeals Moral appealsMoral appeals
Developing Effective Developing Effective CommunicationsCommunications
Message StructureMessage Structure Message FormatMessage Format Message SourceMessage Source
Factors underlying source credibilityFactors underlying source credibility ExpertiseExpertise TrustworthinessTrustworthiness Principle of congruityPrinciple of congruity