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MarketingCommunications Planning g

MarketingCommunications Planning
6MFramework
Market
ReviewofMarketingPlan:Positioning, Segments, ConsumerBehavior ReviewofPreviousCampaigns &CompetitorsPromotions

Mission
Analysis y ofCommunication Process Establishcommunication goalsandobjectives

CommunicationProcess

Money
Settentative costs&Budget

Message Media Measure

For one or more of the tools which are part of the integrated program: Advertising, Sales Promotion, Direct Marketing, Internet Marketing, PR, Personal Selling

Evaluateresults/effectiveness Measurestocontrolandadjustpromotionalstrategies

SMCRCommunicationModel
Source/encoding MESSAGE Encoding Decoding

SMCR
Source individual(salesperson/ hiredspokesperson),company/organization Receiversperceptionofthesourceinfluencehowthecommunication is received Carefulselection :knowledgeable/trustworthy Sourceselectswords,symbols,pictures,etc.torepresentthemessage thatwill bedelivered.Thisisencoding. Sender Senders sgoalistoencodethemessage insuchawaythatitisunderstoodby theaudience.

SOURCE

RECEIVER

CHANNEL

Message

Noise Feedback Response

Encodingprocessleadstomessage informationormeaningthatthesource hopestoconvey Semiotics science ofhowwords,gestures, signs,symbols,myths,theories acquiretheirmeaning. Semioticsisimportantasconsumers useproductsandbrandsastheirsocial identitiesandtheyacquiremeanings Semiotics:object,sign/symbol,interpretant Culturalanthropologists

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Channel
Methodbywhichthemessage traveltothereceiver Broadlytwotypes:personal(salesperson/ social)andnonpersonal(mass media/environments)

Receiver/Decoding
Generallyconsumers/ audience Transformingsendersmessage backintothought/ meaning Effective ff communication commonground. d Empathize, h resonate. Soundsimplebutdifficultastheaudiencecouldbeverydifficultthanthe encoder.

Noise
Unplanneddistortion.Extraneous factorsthatinterferewiththereceptionof themessage. Lackofcommonground

Developingcommunicationprogramisfar morethanjustchoosingtheproduct feature/attributetoemphasize. Marketersmustunderstandhowconsumers perceiveandinterprettheirmessages

Response/feedback
Receiverssetofreactions.

Analyzingthereceiver
Communicationispassingoninformation. Exchangeofideasorestablishing commonnessofthoughtbetweenasender andareceiver. receiver Complexprocess:successdependsonthe message,theaudiencesinterpretationand theenvironmentinwhichitisreceived.
Inmasscommunications, marketersdonothaveopportunity toclarifyor explainthemessageandhenceconsumerresponseprocessmustbe understoodwell. Mostimportant aspects:responseprocess
Traditionalresponsehierarchymodels Eachstageoftheresponsehierarchyisadependablevariablethatmustbeattainedand mayserveasanobjectiveofthecommunicationprocess Potentialbuyersmaybeatdifferentstagesinthehierarchy Usefulforintermediatemeasuresofcommunicationeffectiveness AlternativeResponsehierarchy michael ray Standardlearningmodel:learn,feel,do;Dissonance/attributionmodel:do,feel,learn;low involvementmodel:learn,do,feel Itisimportantforplannerstoexaminecommunicationsituationanddeterminewhichtype ofresponseprocessismostlikelytooccur

Cognitiveprocessingmodels
Relationshipbetweencontrollable factors(source/message)andtheoutcomevariables (attention,comprehension,liking,intent) Typesofcognitiveresponsesevokedbyad,attitudetowardstheadandthebrandand purchaseintention

Roadtoasale
Response Stage AIDAModel HoEmodel OtherModels CognitiveStage (Thinking) Attention Awareness Knowledge Liking Preference Conviction Purchase Awareness

HowCommunicationsWorks

Affective Response (Liking) Behavioral Stage(Acting)

Interest Desire Action

Image Matching FactMatching Transaction Followthrough

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CommunicationResponse Hierarchy
Unaware Awareness

3BasicCommunicationTasks
Learn
Createawarenessandbasic Knowledgeofthebrand

Communication Cognitive Stage Domain

Knowledge g

Feel
Liking Preference Conviction Purchase Behavioural Stage

Developattitudesand imagesabout brands

Factors other than communication too Affective Stage play an important role

Communication is just one element of the process

Do

Generateaction..Enquiry,Trial, Purchase,

AlternativeResponseHierarchies
High Involvement Learning Model
Model: Learn-Feel-Do Cognitive Standard High Differentiation Learning Model

VariablesinCommunicationDecision Making
Independent /Dependent Variables Message Exposure Attention Source Message Channel/ Media Receiver

Low Involvement Low-involvement Model

Model: Learn-Do-Feel

Cognitive
Affective

Conative

Conative

Low DifferentiationModel: Do-Feel-Learn

Conative Dissonance/ Affective Attribution Cognitive Model

Dissonance/ Attribution Model

Affective
Low Involvement Hierarchy

Comprehensi on Yielding/ Favorable Attitudes

Whatdoesanadexpectedtodo?
Inform(unawaretoaware)
Emphasizeandhelpidentifyunfulfilledneed Describeattributes,benefitsandusesoftheproduct

AdvertisingPlanning

Persuade(awarenesstointent)
Createfeelingsofinterest,familiarity&liking Create/strengthenpositiveassociations/attitudes Weakennegativeassociations

Sale/Retainloyalcustomers(Intentionto Purchase)
Remind

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AdvertisingPlanning
Situation Analysis Advertising Objectives

Situationanalysis
TheFramework
MarketingObjectiveandStrategy Product/BrandDescription ,Growth, ,Trends MarketAssessment Size, CompetitiveEvaluation SoM,SoV,Messages Consumer/audienceunderstanding

Message strategy/ Creative Brief Advertising Concept Development Creative Execution and Production

Media Objectives (Reach, Freq., GRPs, Budget) Media Strategy & Mix Media buying and operations

Measuring Effectiveness

UnderstandingAudience/Buyers
DefiningTA(Market)
Wherethesales/usagewouldcomefrom customersornoncustomers?(EON) Geographies? AwarenessandImageAnalysisamongTA(familiarity favorabilitystudies)

AdvertisingObjectives
Salesorientedobjectives CommunicationEffectsobjective
Cognitiveresponse(Awareness,Knowledge) AffectiveResponse(Liking,Preference,Desire) BehavioralResponse(Inquiry,PurchaseAction)

DAGMAR(DefinedAdvertisingGoalsforMeasured AdvertisingResults) Colley

Awareness,Comprehension,conviction/purchase intention,Action

TargetAudienceisverycrucialtodefine

WHOORSProgramObjectives2004/ 05
IncreaseawarenessofWHOORSfrom78%in2003 to85% Increaseknowledgeofcorrectpreparation messagecampaignfrom41%in2003to55%. Increase I the h useof fWHOORSduring d i the h last l episodeofdiarrheato60%fromtheexistingbase yearfigureof50%. IncreaseofORSsalesinurbanareasofthetarget statesby8%(baseyear2003) IncreaseofWHOORSsalesinurbanareasofthe targetstatesby14%(baseyear2003)

AdvertisingEffectivenessMeasures
Consumer Response Stage
Exposure Awareness

Representative Statement
I know brand is advertisied I know that the product or brand exists

Measures of effectiveness
Circulation, Reach Recall Unaided recall Aided recall Recognition Advertising Recall Attitudes Brand Image Inquiries Preferences Intention to buy Trial Sales Market Share Sales/ Share growth

Interest

the Product or Brand is relevant to me

Desire Action

I would like to buy the product/ brand I have bought the product/ brand

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UnderstandingBuyingBehviour
Understandingbuyerbehavior/buying system
Purchasemode Choices Needs&Motives Influences
Choices(What?)

BuyingSystem
Needs&Motives(Why?)
Rational/emotional/Sensual Problemtosolve/ Prevention ofproblem Opportunity Reward/Gift Selfexpression/Display Ritual ua Selfindulgence Highvs.Lowinvolvement Currentbrandset/Other producttypes BrandLoyalty

PurchaseMode(How?)
Frequentvs.Infrequent Habit/ b /routine Experiment/tryout/novelty seeking Search/seekinformation/ advice Bargainhunt Impulse/onthespot

Influences(Who?)
Family Friends/neighbors/ colleagues Shops/Retailers Fashion Advertising Editorial

KeyIssues
WhatstherealProblem?
Deo marketandDryIdea WhatdrivesDeo businessfromconsumerpointof view

GilletteDryIdea(A)

ClientandAgencypositionsonthecreative problem? Isthepartnershipgoingforward? WhatshouldCarol&theBrandteamdo?

WhatshouldGilletteDo?
FireBBDO GiveanotherchancetoBBDO Bakeoff.Competitivepressure.
Market size (Units)
510000 505000 500000 495000 490000 485000 480000 475000 470000 465000 460000 455000 79 80 81 82 83 Market size (Units) 506000

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40

60000

35

34.2

35

34 31.2 29.6

50000 48102 45088 40000 41139 34997

30

25 DI Share of D/AP Roll-on share DI Share of Roll-on 15 12.1 10 8.7 10000 5 3.1 0 79 80 81 82 83 4.3 4.8 4.5 4.2 0 79 405 80 9362 6728 366 81 7307 7282 6011 249 83 14 14.6 14 20000 21785 DI Sales revenue 30000 Media Production

20

196 82

684

Isitagoodcategorytobein?
Formdrivenmarket.Nocrossformswitches Externalfactorsinfluenceformpreferences Rollonsharehascomedownfrom32.3%to 29.6% 6 between b 1978 8to1983 8 Clearshifttowardssticksandsolids

Deomarket&Dryidea
506mn.unitsin1983,$1bn.sales 75%antiperspirantsinwhichDryIdeacompeted Aerosols(80%todown25%),Rollon(30%),Sticks (16%)andSolids(22%) 6keyplayersdominate.Gillette#2inoverallshare and#3inrollonmarketshare Dryidea4.2%marketsharewhichisabout26%of Gillettesrollonbusinessandjust10%ofPCDsales

Nobrandnourishment?
P&Gsshareinrollonmarkethasactually increasedby0.5sharepoints(tableB) DryIdeashipmentsabout23millionunitsat $50millionmanufacturer'srevenueatan avearge$2.18perunit.Somewhatmore expensivethantheaveragemarketprices (Exhibit4) AdvertisingtoSalesratiofrom1978to1983 moveddownfrom54.1%to12.5%whereas dryideasharehasmovedfrom1.4%to4.2% ShareofSpends=121mn mn./ /6mn mn.=5% 5%.Little overshareofmarket Categoryspendsincreasedby13%(pg.6)

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CreativeProblem?
1983Copytest(advertisingPretest)results Noneofthenewadsmatchthescoresof evenSpokesmanandthe1983and1984 normsonrecall. recall Allyoufeelisdryclosertonormsbutmuch lessthanSpokesman

WhatshouldGilletteDo?
FireBBDO GiveanotherchancetoBBDO Bakeoff.Competitivepressure.

ClientPositions
NoneoftheBBDOadsmeetthenorms Alltheycareabouttheirnewcommercials Theyhaventcomeupwithgoodideainlast5 years Wedon dont thavetheirbestpeople/talentonthe brand Wedeserve5sharepoints Ifwehadbetterads,wewouldhavebettersales Forallthemoneywegivethem(increative exploratory,researchtosupportandofcourse commissions)

AgencyPositions
DryIdeaBrandhasnostrategy Alltheycareaboutsalesandnotlongtermbrand image dont tgiveusroom/spacetodoourjob Theydon AlltheycareaboutisSpokesman Iftheyhadasolid,itwouldsell Theyareluckytohave4sharepoints Wedontmakenormalcommission(15%)inthis business

Gillette/BBDOpartnership
Significantdisappointmentinbrands performanceandparticipantspositions havebeenhardenedovertime Gilletteultimatelyholdsthemoneyandis notanequalpartnership PartnershipisNOTworking

AdvertisingPlanningandRole ofResearch

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ResearchinAdvertising
Provideinformationbasetotakedecisions relatedtoadvertisingcampaign
Directiontoadvertisingcampaign
Campaign E l ti Evaluation

The Advertising Campaign Stages

Strategy
Familiarize Hypothesize Review

Development

Isessentiallyanaidtominimizefailurerisks Itsroleisdifferentindifferentstagesofan advertisingcampaign

The Planning Cycle

Evaluate Synthesize

Optimize

Inspire

Creative Brief

Advertising Recommendation

Research inputs to the advertising planning cycle

AdvertisingResearchDomain
StrategyDevelopmentResearch:for directionsonwhatneedstobesaid 2. CreativeDevelopmentResearch:for directionsonhowitwillbesaid 3. Messageevaluationresearch:for understandingarewesayingwhatwewant tosay 4. TrackingResearch:forunderstanding effectivenessofourcampaign inreallife 1.

Familiarize

Hypothesize Review

Tracking Research Message Evaluation Research Creative Development

Optimize

Strategy Development Research

Synthesize

Evaluate

Research

Inspire

StrategyDevelopmentResearch StrategyDevelopment Research

Determines WhatIwanttosaytothe consumer? Aimstoanswerquestionssuchas
Whereweare Whyarewehere Wherecouldwebe

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StrategyDevelopmentResearch
InformationAreas
BrandFamiliarity&Favourability
Understandingofbrand,itshistoryanditspositioninthe market Consumersperceptionaboutourbrandvisviscompetition

StrategyDevelopmentResearch
SourcesofInformation
Companymarketingintelligence Previousresearcheswithcompanyandagency Syndicatedmarketandconsumerinformation Tradeandassociationstudies Censusdata Primaryresearchdata qualitativeand quantitative

Needs&Motives:
Whatdrivesthecategoryinthemarket

Users:
Profileoftheusers Buyingrolesandinfluences

PurchaseandConsumptionProcess
Levelofhisinvolvementinthepurchase Cycleandpatternofhispurchase

StrategyDevelopmentResearch
Deliverables
Definitionofclearandmeasurablecommunication objectives Preemptionofdesiredconsumerresponseofthe communication

Case:NerolacPaints

PaintMarket200203
AsianPaints themarketleadergeneratedahigh visibilitythroughitsadvertising AmarketwithAsianPaintsononesideandothers including gNerolacontheother
50 40 30 20 10 0

Paintmarket asnapshot
Market Shares
Media Spends 02-03 Snowce m 2% GNP 18% J&N 1% Others 3% Asian Paints 49%

ICI 16%

Berger Paints 11%

98-99 ASIAN

99-00 GNP

00-01

01-02

02-03 ICI

BERGER/RPL

Category leader dominates Market Share and SOV

Source: TNS Mode Research

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Thecompetitivestrengths
100 90 80 70 60 50 40 30 20 10 0 TOMA Nerolac Spont Awareness Asian Paints Commu Awareness Berger

Paint Consumption Home Segment

Level 1
Satisfaction Derived from Level 2 triggers Level 1
Lasts for 12 - 20 weeks

Asianpaintsistheclearleader Nerolac hasallthecharacteristicsof achallenger However,itwasnotreflectedinthe marketshares Wherewastheproblem?

Interactive & long decision making process

Buyer home owner/customer

Peers/Dealers/Self

Painter reinforces the brand choice & applicator

Concern: Will the painter cheat me?

Level 2
AP 80 80

Lasts for 3 - 5 years

GNP
Mean score on leadership Mean score on dynamism

40 40

AscomparedtoAsianPaints Nerolac lackedonparameters ofleadershipanddynamism

Source: Mind & Mood

A subject of self indulgence, Self expression & social status

Consumption self/ socializing

Concern: Will the new look add to my status?

Complex, long drawn and high involvement consumption

Source: TNS Mode Research

ConsumerBuyingBehaviour
Consumerdonotdifferentiatebetweenpaintbrands
Anyknownbrandwilldoaslongasitistheshadeofmyliking

Decisionmakingonpaint types,shadesandbrands
Type
DecisionmadebyCWEafterevaluatingvariousalternativeswith paintersanddealers Dictatedbybudgetaryconstraints

BuyingProcess:involved,timeconsuming
Sixmonthrenovationmood Clearmetroandnonmetrodivide

Consumer o Beliefs:
paintingisimportantforlooksofthehouse premiumbrands addprestigeandlastslonger leader brandismoretrustworthy painter&contractorscheat needtrusted painteranddealer application processmoreimportant thanthebrand

Shades
Dominated i dby b wives i and dchildren, hild though h hafamily f il decision d i i

Brands
DecidedbyCWE.Basedonperceptions,peerrecommendationsand shopvisits

Paintingcycle:35years Shopvisitsforratenegotiationsanddecisiononcolour code Trust and leadership important for end consumers
Source: Mind & Mood Source: Mind & Mood

CWE was needed to be convinced more for the brand preference

Nerolacsobjectivefor0304
Toattainagrowthof20%in200304over 200203
Expectedindustrygrowth810%

StrategicdirectionsforNerolac
Takealeadershipstanceincommunication
Exploittheleadershippositionofindustrialsegment

ToestablishleadersinIndustrialpaints segment

ImprovescoresonTOMA Bringthebrandinpurchaseconsiderationsetof endconsumers InfluencetheCWEandgivehimtheconvictionthat choosingNerolacistherightdecision Buildempathyamongstintermediateconsumers

A difficult task to be achieved with a fraction of media spends as compared to the category leader

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