Chapter 17

Integrated Marketing Communications

- The concept under which a company carefully integrates and
coordinates its many communications channels to deliver a clear, consistent,
compelling message about the organisation and its products.
Promotion Mix
1. Advertising
2. Personal Selling
3. Sales Promotion
4. Public Relations
5. Direct Marketing
Advertising
- Any paid form of non-personal presentation and promotion of ideas,
goods or services by an identified sponsor.
Personal Selling
- Personal presentation by the firms sales force for the purpose of
making sales and building customer relationships.
Sales Promotion
- Short-term incentives to encourage the purchase or sale of a product
or service.
Public relations
- Building good relations with the companys various publics by obtaining
favourable publicity, building up a good corporate image, and handling or
heading off unfavourable rumours, stories and events.
Direct marketing
- Direct connections with carefully targeted individual consumers both to
obtain an immediate response and to cultivate lasting customer relationships
.
Elements in the Communication Process
1. Sender
- The party sending the message to another party.
2. Encoding
- The process of putting the intended message or thought into
symbolic form.
3. Message
-The set of words, pictures or symbols that the sender transmits .
4. Media
- The communication channels through which the message moves from
sender to receiver
5. Decoding
- The process by which the receiver assigns meaning to the symbols
encoded by the sender
6. Receiver

- The party receiving the message sent by another party.

7. Response
- The reactions of the receiver after being exposed to the message.
8. Feedback
- The part of the receivers response communicated back to the
sender.
9. Noise
- The unplanned static or distortion during the communication
process, which results in the receiver getting a different message from
the one the sender sent.
Steps in developing effective communication
1. Identifying the target audience
2. Determining the communication objectives
3. Designing a message
4. Choosing media
5. Collecting feedback
Buyer-readiness Stages
1. Awareness
2. Knowledge
3. Liking
4. Preferences
5. Conviction
6. Purchase
Setting the total promotion budget and mix
Four
1.
2.
3.
4.

common methods used to set the total budget

Affordable Method
Percentage of sales Method
Competitive-parity Method
Objective-and-task Method

Chapter 18 Advertising, Sales, Promotion and Public Relations

Advertising objective
- A specific communication task to be accomplished with a specific target
audience during a specific period of time.
Important decisions in advertising
1. Setting advertising objectives
2. Setting the advertising budget
3. Developing advertising strategy
4. Evaluating advertising campaigns
5. Possible Advertising Objectives

Informative advertising
- Advertising used to inform consumers about a new product or feature
and to build primary demand.
Persuasive advertising
- Advertising used to build selective demand for a brand by persuading
consumers that it offers the best quality for their money.
Comparison advertising
- Advertising that compares one brand directly or indirectly to one or
more other brands.
Reminder advertising
- Advertising used to keep consumers thinking about a product.
Main Steps In Selecting advertising media
1. Deciding on reach, frequency and impact
2. Choosing among chief media types
3. Selecting specific media vehicles
4. Deciding on media timing.
Reach
- The percentage of people in the target market exposed to an ad
campaign during a given period.
Frequency
- The number of times the average person in the target market is
exposed to an advertising message during a given period.
Media impact
- The qualitative value of an exposure through a given medium.
Media vehicles
- Specific media within each general media type, such as specific
magazines, television shows or radio programmes.
Continuity
- Scheduling ads evenly within a given period.
Pulsing
- Scheduling ads unevenly, in bursts, over a certain time period.
Copy testing
- Measuring the communication effect of an advertisement before or
after it is printed or broadcast.
Sales Promotion
Consumer promotion - Sales promotion designed to stimulate
consumer purchasing, including samples, coupons, rebates, prices-off,
premiums, etc.

Trade Promotion - Sales promotion designed to gain reseller support

and to improve reseller selling efforts, including discounts, allowances,
free goods, etc.
Business promotion - Sales promotion designed to generate
business leads, stimulate purchase, reward business customers and
motivate the sales force.
Sales force promotion - Sales promotion designed to motivate the
sales force and make sales force selling efforts more effective,
including bonuses, contests and sales rallies.

Consumer Promotion Tools

Samples - Offers to consumers of a trial amount of a product.
Coupons - Certificates that give buyers a saving when they purchase
a product.
Cash refund offers (rebates) - Offers to refund part of the purchase
price of a product to consumers who send a proof of purchase
together manufacturer.
Price packs - Reduced prices that are marked by the producer directly
on the label or package.
Premiums - Goods offered either free or at low cost as

an incentive to buy a product.

Samples - Offers to consumers of a trial amount of a product.
Coupons - Certificates that give buyers a saving when they purchase
a product.
Cash refund offers (rebates) - Offers to refund part of the purchase
price of a product to consumers who send a proof of purchase
together manufacturer.
Price packs - Reduced prices that are marked by the producer directly
on the label or package.
Premiums - Goods offered either free or at low cost as an incentive to
buy a product.
Advertising specialities - Useful articles imprinted with an
advertisers name, given as gifts to consumers.
Patronage rewards - Cash or other awards for the regular use of a
certain companys products or services.
Point-of-purchase (POP) promotions - Displays and
demonstrations that take place at the point of purchase or sale.
Competitions, sweepstakes, lotteries and games - Promotions
that offer customers the chance to win something cash, goods or
trips by luck or extra effort.

 Trade promotion tools

Discount - A straight reduction in price on purchases during a stated
period of time.
Allowance - Reduction in price on damaged goods; Promotional
money paid by manufacturers to retailer in return for an agreement to
feature the manufacturers product in some way.

Business promotion tools

Conventions and trade shows - help companies reach many
prospects not reached through their sales forces.
Sales contest - a contest for salespeople or dealers to urge their sales
force to increase their efforts over a given period.
Major Public Relations Tools
News
Speeches
Special Events
Main public relations decisions
Setting public relations objectives
Choosing public relations messages and vehicles
Implementing the public relations plan
Evaluating public relations results