Lecture 12: Integrating marketing communications

activities
Major marketing
communication
communication tools
tools

Coordinate and
implement a marcom
plan

Integrated marketing
communication activities
Marketing communication
tools
(Traditional classification)
Major marketing communications tools
Advertising is any paid form of nonpersonal presentation and promotion of ideas, goods, or
services by an identified sponsor.

Sales promotion is a short-term incentive to encourage the purchase or sale of a product or

service.

Public relations involves building good relations with the company’s various publics by
obtaining favorable publicity, building up a good corporate image, and handling or heading off
unfavorable rumors, stories, and events.

Personal selling is the personal interaction by the firm’s sales force for the purpose of
engaging customers, making sales, and building customer relationships.

Direct marketing involves engaging directly with carefully targeted individual consumers and
customer communities to both obtain an immediate response and build lasting customer
relationships.
 Advertising: Any paid form of non-personal Sales promotion: Short-term incentives to
presentation and promotion of ideas, goods, or encourage the purchase or sale of a
services by an identified sponsor product or service

Aim to change customers' thoughts, Make customers interested and

feelings and intentions about the excited about the decision to try and
brand buy a product or service
 Direct marketing and
Loyalty personal selling:
Establish a personal
relationship and create
Belief reinforcement Attitude reinforcement
an immediate concrete
response
Belief Attitude

PR: Building good relations Trial

with the company’s various
publics by obtaining Incentive to buy Sales promo
favorable publicity, building Intention
up a good corporate image,
and handling or heading off
unfavorable rumors, stories, Awareness
and events Reason to buy Advertising

Unawareness
Advertising

Need recognition
Inform

Information search
Differentiate
Evaluation
Persuade
Purchase decision

Remind
Post-consumption
 Advertising objectives
Inform: Persuade:
– Make your brand popular
• Introduce a new product to the
– Encourage switching to a new brand
market
– Change customer perception of a product attribute
• Notify about changes in – Convince customers to buy products immediately
products, prices...

Differentiate: Remind:
– Remind customers of their needs
• Explain how the product works
– Remind customers where to buy products
• Build brand image and – Make the brand always in the customer's memory
corporate image

8
Successful advertising
Highlight
• Brand name
• Reason for customer to care/to
buy (customer benefit)

Product features
are not obviously
customer benefit
Successful advertising

• Properly decoded
and memorable
Successful advertising

Communicate brand
essence to customer:
Enhancing positive
association, attitudes
toward the brand
Behavior MacKenzie, S. B., Lutz. R. J., &
intention Belch, G. E. (1986).
Sales promotion
Short-term incentives to encourage buying and selling behavior of customers,
intermediaries and sales force

Members of
the
distribution
network
(intermediary) The sales
forces of both
Consumers manufacturer
s and
resellers
Sales
promotion
can be
targeted …
 Sales promotion
• Mainly used in a short-term tactical sense, but can contribute to a longer term strategic
and building image objectives
• Offer something over and above the normal product offering that acts to stimulate the
target audience into action
• All sales promotion offer a form of persuasion, a direct incentives
• Referred to as a “below-the-line” tool as no payments are made to media owners
Sales promotion
To the sales force
 Seek new customers,
 Achieve sales target

To intermediaries
 The brand is present in the distribution channel and
has a favorable position on the store shelf
 Encourage intermediaries to promote and introduce
brands: ‘push’ the product at the consumer
 Sales promotion to end-user
Stimulate
Stimulateimmediate
immediatepurchase
purchase It influences customer behavior
by:
Encourage
Encourageproduct
producttrial
trial • Reducing perceived price or
• Enhancing perceived value for
Promote
Promoteproduct
producthoarding
hoarding a limited time.

Encourage
Encouragerepurchase
repurchase
Cost effective short-
term increase in sales:
Support
Supporteffective
effectiveadvertising
advertising
• New customers:
Stimulate trial
• Current customers: Stimulate
Stimulatebrand
brandswitching
switching
increase the amount
of product used Encourage
Encourageloyal
loyalcustomers
customers
 AAcertificate/voucher
certificate/voucherthat
thatentitles
entitlesconsumers
consumerstotoan
an
Coupon
Coupon immediate price reduction.
immediate price reduction.

Rebate/
Rebate/ AAcash
cashrefund
refundgiven
givenfor
forthe
thepurchase
purchaseofofaaproduct
product
refund
refund during a specific period (with proof of purchase).
during a specific period (with proof of purchase).

An
Anextra
extraitem
itemoffered
offeredfree
freeor
oratatlow
lowcost
costtotothe
theconsumer,
consumer,
Premium
Premium ininretour fot product purchase.
retour fot product purchase.

Promotions
Promotionsthat
thatrequire
requireskill
skillor
orability
abilitytotocompete
competefor
for
Contests
Contests Prizes, entry requires proof of purchase
Prizes, entry requires proof of purchase

Promotions
Promotionsthat
thatdepend
dependon
onchance
chanceor
orluck,
luck,
Sweepstakes
Sweepstakes with free participation.
with free participation.

Loyalty
Loyalty AApromotional
promotionalprogram
programdesigned
designedtotobuild
buildlong-term,
long-term,
Marketing
Marketing mutually
mutually beneficial relationships between acompany
beneficial relationships between a company
Program
Program and key customers.
and key customers.
Frequent
Frequent AAloyalty
loyaltyprogram
programininwhich
whichloyal
loyalconsumers
consumersare
are
Buyer
Buyer rewarded
rewardedforformaking
makingmultiple
multiplepurchases.
purchases.
Program
Program
Methods and techniques of Sales promotion

introduce benefits
Value not directly
adding connected to the
core product or its
price

Value
those which alter increasing
the product/price
“deal”
Value increasing … price/quantity/quality altered
• Discount pricing
• Money-off coupons
• Payment terms (interest free credit)
• Refund, garantees buybacks
• Multipack or multi-buy
• Quantity increased

Value adding … something extra while leaving core product and

price unchanged
• Sample, product trial
• Special features (limited editions)
• Valued packaging
• In-pack or in-mail gifts
• Gift coupons
• Loylaty schemes
• Competition/prize draws
Impact of sales promotion
 Direct marketing

• Is a comms tool used to create and sustain a personal

and intermediary-free dialogue with customers, potential
customers and other significant stakeholders
• A measurable activity with a view to create and sustain
a mutually rewarding relationship
• Other communications mix tend to address mass
audiences not individuals – direct marketing and
personal selling is one-to-one
Direct marketing: the importance of customer data

Name Marital status Purchase data

Other
Adress Household size marketing data

Contact
Phone number Education history

Customer
Age Income code

Gender Occupation ……..

 RFM
RFM index
index

Recency Monetary
transactions

Frequency
Drivers of growth of direct marketing:
Technology
• Capture and collect info – scanners,
smart cards, loyalty schemes
• Information processing – database
marketing and analysis
• Communication and interaction
• Gives the ability to target customers
much more precisely
Public relations (PR)
• Public relations is about reputation - the result of what you do, what you say and what
others say about you
• Public relations practice is the planned and sustained effort to establish and maintain
goodwill and mutual understanding between an organisation and its publics
cipr.co.uk
• Public relations is the strategic management of relationships between an organization and
its diverse publics, through the use of communication, to achieve mutual understanding,
realize organizational goals, and serve the public interest
cprs ca

Create a positive image in the mind of relevant and interested public groups
Potential public groups
The publics (stakeholders)
• Defined as any group or individual
who can affect or is affected by the
organisation
 Opinion leaders
 Opinion formers
 Characteristics of public relations

• Planned activities, encompasses a wide range of events

• The use does not require purchase of airtime or space of media
• Credibility, trust and confidence
• Cost effective, costs are minimal so small companies can develop and
shape their visibility in an inexpensive way
• New technology has played a key role in the practice of PR
Reactive PR (in crisis)
• Prevent negative events from
inside/outside the organization
• Handling negative information
Create goodwill &
and images stimulate interest
• Dilute bad associations linked to => reputation

the brand,
• Restore revenue and market
share Encourage Support other
interaction & marcomms
Proactive PR dialogue tools

• PR activities in a communication
plan to implement objectives such
as: sales, marketing,
communication.
 PR tools
• Publicity and events
• Employees
• House magazine
• Annual report
• Press/media relations
• Sponsorship
• Facility visit
• Influencer marketing
Sponsorship

Sport …is a commercial activity

Art whereby one party permits
another an opportunity to exploit
Entertainment an association with a target
Science and education audience in return for funds,
services or resources
Organizations, associations
Other events
Advantages:
 Targeted public
 Opportunities to make associations between the sponsor and the event
 Avoid clutter in advertising

Disadvantages:
 High cost
 Competitive
 Difficult to measure effectiveness
Four types of integrated congruence in sponsorship

Poon, D.T.Y., Prendergast, G. and West, D. (2010) Match game: linking sponsorship
congruence with communication outcomes, Journal of Advertising Research, 4(80), 214– 26.
Major marketing
communication tools

Coordinate and
Coordinate and
implement a marcom
implement a marcom plan
plan

Integrated marketing
communication activities
 In a campaign:

Messages
Messages …they
…they
…Interact and
…Interacteach
and …… Create
Createaa
through
through reinforce
reinforce each
complement…
complement… resonance
resonanceeffect
effect
multiple
multiple media
media other…
other… Progress
/phase

2 + 2 = >4

Messages &
marcom tools
As marketers we need to give serious
consideration to…

• The financial resources available

• The level of credibility that each tool bestows
• The size and geographic dispersion of the target audience
• The communications tasks each tool is best at satisfying… DRIP
• The degree of control we require
 Combining marketing communications
tools to create synergies…
Integrating the various tools can lead to synergies in a number of ways - here
are some examples:
The sales team have an easier job if their product or company is well known as a result of sponsorship or
advertising

In-store or point-of-sale communications that are consistent with advertising are more effective
A promotional campaign that is supported by advertising is generally more successful
Direct mailing is more effective when prepared by an awareness-increasing advertising campaign and
supported by a sales promotion campaign

Public relations, corporate advertising and sponsorship can have synergistic effects on company image-
building

Websites will be more frequently visited when announced in mass media advertising
Advertising for a trade show will be more effective if an incentive to visit the stand is offered
De Pelsmaker et.al.,
 Selecting the right mix…

• There’s no real science or magic formula here

• Each communications tool has different abilities, different strengths
and weaknesses
• The following model is useful when marketers need to determine
which tools or tactics to use…

Fill, 2016
 Advertising Sales Public Personal Direct
Promotion Relations Selling Marketin
g
Communications

Ability to deliver a personal Low Low Low High High

message
Ability to reach a large High Medium Medium Low Medium
audience
Level of interaction Low Low Low High High

Credibility

Given by the target audience Low Medium High Medium Medium

Costs

Absolute costs High Medium Low High Medium

Cost per contact Low Medium Low High High

Wastage High Medium High Low Low

Size of investment High Medium Low High Medium

Control

Ability to target particular Medium High Low Medium High

audiences
 Ad
ve
r ti

Level of effectiveness+
sin
g Direct
Marketing

Sales
Promotion

Publ
ic
Rela
ti o ns
al
son
r g
Pe llin
Se

Awareness Consideration
purchase
PURCHASE DECISION SEQUENCE Fill, 2011
 Planning a marcom campaign

Big Idea Timing

Phase /
Evaluation
Integrated tools Schedule

IMC
plan
Consumer experience
KPIs, Marcom
budgeting Tools &
tracking activities
Brand navigator Media
booking
/buying
Major marketing
communication tools

Coordinate and
implement a marcom
plan

Integrated marketing
communication activities
 Public Sales
opinion promotion
POSM

Packaging
Advertising
Event
Direct
Marketing
PR

Personal Internet
sales Social media
What do we integrate?
• Simply put, it is about the synergistic use
of the marketing communications tools
• But we also need to integrate the In a campaign
Across
campaigns
corporate and marketing objectives and
strategies
Building a
• The message needs to be consistent strong,
consistent
• We need to bring in corporate identity relationship
BRAND -
and image as well as brand identity and CUSTOMERS

image
Communication is not only about giving information

Time ->

but also leading customers and developing relationships with brands

Time->
Integrating marketing communications

• In a campaign
(Tactical)
Tasks • Across campaigns
(Strategical)
• Different TA
Scopes • Media/ channels
• Tools

Corporate/ • Branding
marketing/ • Selling
objectives
 Different tasks for different target audiences
Personal
selling
Market Identify Customer
analysis audience

Sales
promotion
Advertising Direct marketing

Potential Prospective
PR
customers customers
Different tools for different tasks
Marcom Objective Marcom Tool
Facilitate the successful introduction of new brands Brand naming, packaging, advertising, sales promotions,
word-of-mouth buzz generation, point-of-purchase P-O-P)
displays, and social media

Build sales of existing brands by increasing the Advertising and sales promotions
frequency of use, the variety of uses, or the quantity
purchased

Inform the trade (wholesalers, agents or brokers, and Personal selling and trade-oriented advertising
retailers) and consumers about brand improvements

Create brand awareness Advertising, packaging, social media, and P-O-P

messages.

Enhance a brand’s image Brand naming and packaging, advertising, social media,
event sponsorship, cause-oriented marketing, and
marketing-oriented public relations

Generate sales leads Advertising

 Marcom Objective Marcom Tool
Persuade the trade to handle the manufacturer’s Trade-oriented advertising and personal selling
brands
Stimulate point-of-purchase sales Brand naming and packaging, P-O-P messages, and
external store signage
Increase customer loyalty Advertising, social media, and sales promotions

Improve corporate relations with special interest Marketing-oriented PR

groups
Offset bad publicity about a brand or generate Marketing-oriented PR
good publicity
Counter competitors’ communications efforts Advertising and sales promotions

Provide customers with reasons for buying Advertising and sales promotions
immediately instead of delaying a purchase
 Horizontal integration: Consistency between communication tools,
and between communication and other Ps in marketing, ensuring a

Horizontal consistent message about the brand to the public.

 Vertical integration The objectives of each communication
campaign are consistent and closely linked to the strategic goals of

Vertical the marketing strategy and closely follow the company's vision and
mission of the brand.

 Internal integration Every individual in the business is imbued

Expanded with the brand's message, fully informed and dedicated to the
brand.
 External integration brand messages are linked with partners and
stakeholders.
 Consistency

Customer long-
Continuous
term relationship

Cost-saving Complementarity
Challenges to integration

Separate IMC
functions due to Internal
specialization competition
for goals and
resources
Complexity in
planning and
implementation
Barriers to
integrate Incompatible
business
organization
and operation
Lack of internal
communication No brand
strategy
 Email
PR/
• The most important consideration Event
Internet

is that of customer focus

GE
• This needs to be recognised

GE
Advertising OOH

A
SSA

ES S
organisation-wide and may require

M
ME
TARGET
training, support and planning AUDIENCE

• Systems, processes, procedures Promotion POSM

and structures may need to be MESSAGE

adapted or changed Social Apps &
Media Mobile
Google