Principles of Marketing Chapter 14 (Communicating Customer Value Integrated Marketing Communications Strategy)

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    Chapter 14 - slide 1Copyright 2009 Pearson Education, Inc.

    Publishing as Prentice Hall

    Chapter Fourteen

    Communicating Customer Value:

    Integrated Marketing

    Communications Strategy

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    Chapter 14 - slide 2Copyright 2010 Pearson Education, Inc.

    Publishing as Prentice Hall

    Communicating Customer Value: Integrated

    Marketing Communications Strategy

    The Promotion Mix

    Integrated Marketing Communications A View of the Communications Process

    Steps in Developing Effective Marketing

    Communication

    Socially Responsible Marketing Communication

    Topic Outline

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    Chapter 14 - slide 3Copyright 2010 Pearson Education, Inc.

    Publishing as Prentice Hall

    The promotion mix is the specific blend of

    advertising, public relations, personal

    selling, and direct-marketing tools that thecompany uses to persuasively

    communicate customer value and build

    customer relationships

    The Promotion Mix

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    Chapter 14 - slide 4Copyright 2010 Pearson Education, Inc.

    Publishing as Prentice Hall

    The Promotion Mix

    Major Promotion Tools

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    Chapter 14 - slide 5Copyright 2010 Pearson Education, Inc.

    Publishing as Prentice Hall

    The Promotion Mix

    Advertisingis any paid form of non-personal

    presentation and promotion of ideas, goods, orservices by an identified sponsor

    Broadcast

    Print

    Internet Outdoor

    Major Promotion Tools

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    Chapter 14 - slide 6Copyright 2010 Pearson Education, Inc.

    Publishing as Prentice Hall

    The Promotion Mix

    Sales promotionis the short-term incentives to

    encourage the purchase or sale of a product orservice

    Discounts

    Coupons

    Displays Demonstrations

    Major Promotion Tools

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    The Promotion Mix

    Public relationsinvolves building good relationswith the companys various publics by obtaining

    favorable publicity, building up a good corporateimage, and handling or heading off unfavorablerumors, stories, and events

    Press releases

    Sponsorships Special events

    Web pages

    Major Promotion Tools

    http://www.mcdonalds.com/corp/news.html
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    Copyright 2010 Pearson Education, Inc.

    Publishing as Prentice Hall

    The Promotion Mix

    Personal sellingis the personal presentation

    by the firms sales force for the purpose ofmaking sales and building customerrelationships

    Sales presentations

    Trade shows

    Incentive programs

    Major Promotion Tools

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    Copyright 2010 Pearson Education, Inc.

    Publishing as Prentice Hall

    The Promotion Mix

    Direct marketinginvolves making directconnections with carefully targeted individual

    consumers to both obtain an immediateresponse and cultivate lasting customerrelationshipsthrough the use of direct mail,telephone, direct-response television, e-mail,and the Internet to communicate directly with

    specific consumers Catalog

    Telemarketing

    Kiosks

    Major Promotion Tools

    http://boston.com/
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    Integrated MarketingCommunications

    Consumers are better

    informed

    More communication

    Less mass marketing

    Changing

    communications

    technology

    The New Marketing CommunicationsLandscape

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    Integrated MarketingCommunications

    Integrated marketing communicationsis the

    integration by the company of itscommunication channels to deliver a clear,

    consistent, and compelling message about the

    organization and its brands

    The Need for Integrated MarketingCommunications

    http://localhost/var/www/apps/conversion/tmp/scratch_10/Kotler_POM13e_PPT_14_video_cpb.wmv
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    A View of the Communication

    ProcessThe Communication Process

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    Steps in Developing Effective

    Marketing Communication

    Identify the target audience

    Determine the communication

    objectives

    Design the message

    Choose the media

    Select the message source

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    Steps in Developing Effective

    Communication

    Identifying the Target market

    What will

    be said

    How it will

    be said

    When itwill be said

    Where itwill be said

    Who willsay it

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    Chapter 14 - slide 15Copyright 2010 Pearson Education, Inc.Publishing as Prentice Hall

    Steps in Developing EffectiveMarketing Communication

    Marketers seek a purchase response that results

    from a consumer decision-making process that

    includes the stages of buyer readiness

    Determining the Communication Objectives

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    Chapter 14 - slide 16Copyright 2010 Pearson Education, Inc.Publishing as Prentice Hall

    Steps in Developing EffectiveMarketing Communication

    AIDA Model

    Get Attention

    Hold Interest

    Arouse Desire

    Obtain Action

    Designing a Message

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    Chapter 14 - slide 17Copyright 2010 Pearson Education, Inc.Publishing as Prentice Hall

    Steps in Developing EffectiveMarketing Communication

    Message contentis an

    appeal or theme that willproduce the desired

    response

    Rational appeal

    Emotional appeal

    Moral appeal

    Message Format

    Designing a Message

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    Chapter 14 - slide 18Copyright 2010 Pearson Education, Inc.Publishing as Prentice Hall

    Steps in Developing EffectiveMarketing Communication

    Rational appealrelates to the audiences

    self-interest

    Emotional appealis an attempt to stir up

    positive or negative emotions to motivate

    a purchase

    Designing a Message

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    Chapter 14 - slide 19Copyright 2010 Pearson Education, Inc.Publishing as Prentice Hall

    Steps in Developing EffectiveMarketing Communication

    Moral appealis

    directed at theaudiences sense

    of right and

    proper

    Designing a Message

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    Chapter 14 - slide 20Copyright 2010 Pearson Education, Inc.Publishing as Prentice Hall

    Steps in Developing EffectiveMarketing Communication

    Personal communicationinvolves two or more

    people communicating directly with each other

    Face to face Phone

    Mail

    E-mail Internet chat

    Choosing Media

    http://www.gap.com/browse/info.do?cid=36193
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    Chapter 14 - slide 21Copyright 2010 Pearson Education, Inc.Publishing as Prentice Hall

    Steps in Developing EffectiveMarketing Communication

    Personal communicationis effective because it

    allows personal addressing and feedback

    Control of personal communication

    Company Independent experts

    Word of mouth

    Choosing Media

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    Chapter 14 - slide 22Copyright 2010 Pearson Education, Inc.Publishing as Prentice Hall

    Steps in Developing EffectiveMarketing Communication

    Opinion leadersare people within a reference

    group who, because of their special skills,knowledge, personality, or othercharacteristics; exerts social influence on

    others

    Buzz marketinginvolves cultivating opinionleaders and getting them to spread

    information about a product or service to

    others in their communities

    Choosing MediaPersonal Communication

    http://www.gap.com/browse/info.do?cid=36193
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    Chapter 14 - slide 23Copyright 2010 Pearson Education, Inc.Publishing as Prentice Hall

    Steps in Developing EffectiveMarketing Communication

    Non-personal

    communicationis media

    that carry messages withoutpersonal contact or

    feedback, including major

    media, atmospheres, and

    events that affect the buyer

    directly

    Non-Personal Communication Channels

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    Chapter 14 - slide 24Copyright 2010 Pearson Education, Inc.Publishing as Prentice Hall

    Steps in Developing EffectiveMarketing Communication

    Major mediainclude print, broadcast,

    display, and online media

    Atmospheresare designed environments

    that create or reinforce the buyers

    leanings toward buying a product

    Non-Personal Communication Channels

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    Chapter 14 - slide 25Copyright 2010 Pearson Education, Inc.Publishing as Prentice Hall

    Steps in Developing EffectiveMarketing Communication

    Events are staged occurrences that

    communicate messages to target

    audiences Press conferences

    Grand openings

    Exhibits

    Public tours

    Nonpersonal Communication Channels

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    Chapter 14 - slide 26Copyright 2010 Pearson Education, Inc.Publishing as Prentice Hall

    Steps in Developing EffectiveMarketing Communication

    The messages impact on the target audienceis affected by how the audience views the

    communicator

    Celebrities

    Athletes

    Entertainers

    Professionals

    Health care providers

    Selecting the Message Source

    http://www.youtube.com/watch?v=_R228MSqhm8
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    Chapter 14 - slide 27Copyright 2010 Pearson Education, Inc.Publishing as Prentice Hall

    Steps in Developing EffectiveMarketing Communication

    Involves the communicator understanding

    the effect on the target audience bymeasuring behavior resulting from the

    behavior

    Collecting Feedback

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    Chapter 14 - slide 28Copyright 2010 Pearson Education, Inc.Publishing as Prentice Hall

    Promotion Mix Strategies

    Setting the Total Promotion

    Budget and Mix

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    Chapter 14 - slide 29Copyright 2010 Pearson Education, Inc.

    1. Identify customer touch points

    2. Analyze trendsinternal and external

    3. Audit the pockets of communication spending throughout theorganization

    4. Team up in communications planning

    5. Create compatible themes, tones, and quality across allcommunications media

    6. Create performance measures that are shared by allcommunications elements

    7. Appoint a director responsible for the companys persuasivecommunications efforts

    Integrating the Promotion MixChecklist

    Setting the Total PromotionBudget and Mix