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CHAPTER 1 INTEGRATED MARKETING COMMUNICATIONS

INTEGRATED MARKETING COMMUNICATIONS coordination of all marketing communications in a unified program that maximizes the impact on the intended target audience work together for seamless campaigns IMC Communication Forms media advertising direct response communications digital communications sales promotions public relations experiential marketing personal selling Advertising form of marketing communications designed to stimulate a positive response from a defined target market primary function: influence behaviour o positive attitude > positive behaviour Promotional Advertising communicates specific offer to encourage an immediate response form target audience o coupon/contest Direct Response Communications delivery of message to target audience of one can be distributed by direct mail direct response television telemarketing Digital Communications aka. Interactive communications placement of advertising message on website or an ad delivered by email or through mobile communications devices internet is number one medium in Canada in terms of time spent on medium advertising online seen as "interruption" or "intrusion" Customer Relationship Management process enabling organization to develop an ongoing relationship with valuable customers captures and uses information about customers to advantage in developing relationships o direct-response and interactive communications most suitable Sales Promotion activity providing incentives to bring about immediate response from customers, distributors and an organization's sales force coupons, samples, contests, refunds Public Relations form of communications designed to gain public understanding and acceptance placing messages in media requiring no payment o press releases o public recalls

changing due to social media o allow regular people to communicate positive and negative information on products and companies o word spreads quickly

Experiential Marketing creates an emotional connection with consumer in personally relevant and memorable way o branded experience attending events where product freely distributed or a specifically branded event event marketing and sponsorship Event Marketing planned process of integrating a variety of communications elements into a single event theme Sponsorship act of financially supporting an event in returin for certain advertising rights and privileges Personal Selling face-to-face communication involving presentation of features and benefits of product to buyer objective is to make the sale FACTORS ENCOURAGING INTEGRATED MARKETING COMMUNICATIONS changing consumer media habits (becoming difficult to reach) strategic focus on relationship marketing (CRM) expanding role of database marketing dramatic impact of Internet and other communication technologies demand for efficiency and accountability in organizations o producing tangible results Database Management System collects information about customers for analysis by managers to facilitate sound business decisions o eg. predict purchase likelihood o developing message to meet needs Traditional vs Non-Traditional Media Traditional Media o pursue new customers Non-Traditional Media o telemarketing, online communications, social networks, loyalty programs o retain and enhance customer relationship CONSUMER BEHAVIOUR combined acts carried out by individuals choosing and using goods and services includes decision-making process that determines these acts Need perception of the absence of something useful

Motive condition that prompts an individual to take action to satisfy need Personality

distinguishing psychological characteristics that lead to relatively consistent and enduring responses to the environment in which that person lives

4 COMPONENTS OF SELF-CONCEPT THEORY Real Self o objective evaluation of one's self Self-Image o subjective view of self Looking-Glass Self o how one thinks others see them Ideal Self o how one would like to be Attitudes individual's feelings, favourable or unfavourable, toward an idea or object Perception manner in which individuals receive and interpret messages o selective exposure notice only interesting information o selective perception screen messages in conflict with attitudes o selective retention remember only what we want to remember Reference Groups aka. peer groups group of people who share common interests that influence attitudes and behaviour of members Double Targeting marketing strategies reaching both genders effectively due to changing household dynamics (same-sex, single-parent, dual-income) Business to Business (B2B) Market market of goods and services needed to produce a product, promote an idea, operate a business o bid considerations quality service continuity of supply price Buying Committee formal buying structure in an organization that brings together expertise from various functional areas to share in buying decision process Buying Centre informal purchasing process in which individuals in organization perform particular roles but may not have direct responsibility for actual decisions e-Procurement online, B2B marketplace where participants purchase goods and services from one another B2B CRM promotes seamless transfer of info understand role of product in customer's operations

Ethics in Advertising sex in advertising extreme advertising o feature dangerous or disturbing situations misleading advertising o targeting children o misinterpretation exaggerated green claims targeting children o bypass parents o irresponsible marketing to children cultural diversity o not reflecting diversity of population in message Targeting Children

CHAPTER 2 STRATEGIC PLANNING PRINICIPLES 3 Levels of Business Planning corporate planning o conducted by senior execs marketing planning o brand and marketing managers marketing communications planning o by communications specialists based on brand and marketing guidelines STRATEGIC PLANNING aka. Corporate Strategy process of determining objectives (goalsetting) and identifying strategies (goal achievement) and tactics (action plans) to help achieve objectives 3 Variables o objectives o strategies o tactics influenced by changes in consumers, technology, regulations, economy Objectives statements of what is to be accomplished in terms of sales, market share, profit etc. Strategies statements outlining how objectives will be achieved directions to take and resource allocaiton Tactics action-oriented details precise details on cost and timing of specific activities Economic Influences on Strategy aggressive or conservative practices marketing or preserving profit margins growth rates, inflation rates, exchange rates, employment economic cycles Competitor Influences on Strategy methods of differentiation level of competition Types of Competitive Markets Oligopoly o market with few major brands o highly competitive Monopolistically Competitive o all kinds of brands Types of Competition Direct

o from alternative products that satisfy needs of target market Indirect o substitute products that offer same benefits as another product category

Demographic Influences on Strategy customer profile lifestyle trends and demographic trends o aging population o urbanization o changing household formations o ethnic diversity subcultures subgroups within larger cultural context with distinctive racial, religious, geographical differences that give rise to distinct lifestyles o spending power and wealth growing slower than cost of basic necessities o concentration of wealth in upper class Social Influences on Strategy lifestyles o hectic looking for convenience o healthy natural environment o favour companies with strong reputation for protecting natural resources Technological Influence on Strategy new products, new packaging, new forms of communication Internet effect on commerce re-examine mix Legal and Regulatory Influence self-regulation or government careful of what you say privacy limitations (PIPEDA) STRATEGIC PLANNING aka. Corporate Plan strategic plan formulated at executive level to guide development of functional plans of organization influences marketing plan goals shared by functional divisions Marketing Plan short-term, specific plan of action combining strategy and tactics how elements of marketing mix will be employed Corporate Plan Components Mission Statement o statement of organization's purpose and operating philosophy o guidance and direction to operations Corporate Objective

o o o

statement of overall goal evaluates effectiveness of company's strategic plan often financial in nature qualitative or quantitative

Considerations for Corporate Strategy marketing strength degree of competition in current or new markets financial resources research and development capabilities management commitment Strategic Options Divestment Penetration New Product Development Acquisition Strategic Alliance Divestment Strategy strategy to sell of divisions or products Penetration Strategy plan of action for aggressive marketing of company's existing products New Product Development Strategy significant investment in research and development to develop innovative products Acquisition Strategy plan of action for acquiring companies that represent attractive financial opportunities Strategic Alliance separate companies with complementary strengths pool resources for purpose of satisfying shared customers Marketing Planning analysis, planning, implementing and controlling marketing initiatives to satisfy target market needs and achieve organizational goals Contingency Plan identification of alternative courses of action that can be used to modify original plan if new circumstances arise TARGET MARKET group of persons for whom a firm creates and markets a product 4 Characteristics of Target Market demographics o age, gender, income, occupation, education psychographics o attitudes, opinions, activities geographics o location behaviour responses o level of usage o seasonality

usage rate

SWOT Analysis analysis procedure that involves assessment of an organization's strengths, weaknesses, opportunities and threats strengths (capitalize) /weaknesses (minimize) are internal variables opportunities (take advantage)/threats (fend off) are external variables

Strengths and Weaknesses internal capabilities and resources condition of brand and capability to pursue new directions controllable marketing factors in functional groups Opportunities and Threats technological, economic, demographic, social, legal, regulatory trends opportunities prioritized, threats classified External Influences economic trends o growth of contraction social and demographic trends o immigration, migration o identify markets technological trends o quickening speed with which new products get to market regulatory trends o new privacy regulations MARKET ANALYSIS market size and growth regional markets market segment analysis seasonal analysis Target Market Analysis consumer data o user profiles consumer behaviour o degree of loyalty Product (Brand) Analysis sales volume trends market share trends distribution marketing communications o retain or change new product activity o status of new initiatives Competitor Analysis market share trends

o for all brands marketing strategy assessment o link strategy to performance

Positioning selling concept that motivates purchase or the image that marketers desire a brand to have in minds of consumers MARKETING PLAN COMPONENTS Positioning Strategy o positioning strategy statement - summary of character and personality of brand and benefits it offers customers Target Market Profile o identify target groups representing greatest profit potential o demographic profile o psychographic profile o geographic profile Marketing Objectives o statement identifying what a product will accomplish in a one-year period o usually in terms of sales, market share, profits Marketing Strategy o plan of action showing how various elements of marketing mix will be used to satisfy a target market's needs Marketing Execution o aka. tactics o program details drawn directly from strategy section Budget and Financial Summary o financial implications of activities o investment return o associated costs for itemized activities Evaluation and Control o review and assessment schedule

Marketing Control process of measuring and evaluating results of marketing strategies and plans of taking corrective action to ensure marketing objectives are achieved Marketing Communications Plan identifies how various elements of marketing communications will be integrated into a cohesive and coordinated plan unified approach to building brand or company Marketing Communications Objectives tend to involve o building brand interest and awareness o changing perceptions held by consumers o differentiating product from others by presenting unique features and benefits o attracting new target markets

o o o o o

engaging consumers with brand/brand experience offering incentives to buy creating goodwill and fostering good public image creating leads for follow-up at a later date motivating distributors to carry product

MARKETING COMMUNICATIONS STRATEGIES section containing outline of components and budget allocations Advertising Plan plan that includes creative and media components o creative plan outlines nature of message to be communicated to target audience development of creative strategies and creative execution o media plan relevant details about how a client's budget will be spent what media will be used, what will be investment in each media focus on effective and efficient media Direct Response easy to determine direct results of investment Interactive Communications Plan how to use Internet, SMS, phone and other interactive communication media Sales Promotion Plan reaching and influencing consumers (consumer promotions) and trade customers (trade promotions trade promotions encourage push consumer promotions encourage pull Public Relations Plan tell public about positive things corporate or product oriented communicate with gov't, media, community groups, shareholders spreading "news" Experiential Marketing engaging consumers in brand experience creating and implementing branded events host or sponsor Personal Selling present benefits in face-to-face selling create desire and action Measuring and Evaluating Marketing Communications last step monitor effectiveness of activities

CHAPTER 3 BRANDING STRATEGY


Brand Identifying mark, symbol, word or words or combination thereof that separates one product from another sum of all tangible and intangible characteristics that make a unique offer to customers

Brand Name part of a brand that can be spoken Brand Logo (Symbol) symbol that plays key role in branding and creating an image Trademark a brandmark or other brand element that is granted legal protection so that only owner can use it Brand Personality intangibles of brand emotional or understood entities related to what brand represents 2 Components of Brand 1. Attributes (tangibles) 2. Personality (intangibles) BRAND LOYALTY degree of attachment to particular brand expressed by consumer 3 Stages of Brand Loyalty 1. brand recognition 2. brand preference 3. brand insistence Brand Recognition customer awareness of brand name and package Brand Preference brand perceived as acceptable alternative will be purchased if available Brand Insistence consumer searchers market for specific brand

Brand Equity value of a brand to its owners Influencers of Brand Equity awareness degree of customer loyalty perceived quality Benefits of Branding suggests level of quality psychological rewards (achievement, expression) distinguish competitive offerings Unique Selling Point primary benefit of product that distinguishes it from competitors Brand Manager assigned responsibility Brand-Building Process 1. Identify Brand Values and Positioning Strategy 2. Plan and Implement Marketing Program 3. Measure and Evaluate Brand Performance 4. Build Brand Loyalty and Equity Core Value primary attributes and benefits a brand delivers to its customers Attributes vs Benefits Attribute o descriptive feature Benefit o value customer attaches to attribute POSITIONING selling concept that motivates purchase image brand holds in customers' minds Inputs and Outputs of Positioning Strategy Inputs o Market Analysis o Target Market Analysis o Competitor Analysis Outputs o Product Strategy o Price Strategy o Marketing Communications Strategy o Distribution Strategy Product Differentiation Strategy action plan for communicating meaningful attributes and benefits of product to target market Leadership Positioning

product presents itself as preferred choice among consumers

Head-On Positioning one product presented as equal or better alternative to a competing product Innovation Positioning stresses newness (commitment to R&D) as a means of differentiation Price (Value) Positioning based on premise that consumers search for best value given their economic circumstances Lifestyle (Image) Positioning based on intangible characteristics associated with a lifestyle

2 Considerations When Transferring Brand Information to Consumers 1. decide how to employ various brand elements 2. develop appropriate marketing strategies to communicate brand values and positioning strategy Packaging customer touch-point Purposes of Packaging protect product market product provide convenience (to customer and distribution) Brand Design integration of brand experience into product creatively designing innovative approaches to brand development

CHAPTER 4 ADVERTISING PLANNING: CREATIVE


Communication transmission, receipt, processing of information between a sender and a receiver Encoding transformation of a message into a meaningful format o advertisement, mail piece, article Transmission sending of message through medium o newspaper, magazine, Internet, personal selling Noise potential form of disruption in the transmission of a message that could distort impact o competitive advertising or clutter of messages in medium

Examples of Noise conflicts with customer attitudes didn't reach intended target at desired frequency competition's message was more convincing competitors spent more and had higher mind share new competitors entering market invested heavily in advertising Factors Helping Break Clutter message strategy planning quality execution of plan at right time and frequency low impact of competitive messages 4 Advertisement Behaviour Stages 1. Awareness 2. Comprehension 3. Conviction 4. Action Awareness customer learns something for first time measured with aided/unaided recall Comprehension

customer expressing interest message perceived as relevant brand evaluated on basis of need satisfaction candidate for potential purchase measured using attitude scales

Conviction strong feelings toward brand based on perceived benefits higher in frame of reference (new attitude, change in attitude) Action desired action occurs

Consumer Involvement Q1 Example: Car Q2 Example: Designer Clothes Q3 Example: Detergent Q4 Example: Soft Drink Marketing Communications Objectives build awareness and interest encourage trial attract new target market encourage brand preference alter perceptions create goodwill, positive public image motivate distributors to carry Creative Brief document developed by a client organization that contains vital information about advertising task at hand use as discussion tool between client and advertising agency

Creative Planning Process Components of Media Plan media objectives media strategy media tactics Creative Concept cornerstone of advertising campaign Problem Statement brief summary of particular problem to resolve or opportunity to pursue and serves as focus of marketing strategy Overall Goal objective of marketing campaign Advertising Objectives quantitative measures related to behaviour or issues Increasing Brand Awareness requires memorable, frequent message Encouraging Trial Purchase reduce risk associated with purchase by incorporating incentives Attracting New Target Markets changes in tone and style of advertising Encouraging Preference show differentiation to stand out as established brand Altering Consumer Perceptions quickly launch completely new campaign with completely different message Creative Objectives clearly indicates information to be communicated to the target audience Components of Creative Objectives key benefit statement support claims statement Key Benefit Statement statement of basic selling idea, benefit promised to consumers Support Claims Statement substantiation of promise made in key benefit statement

Creative Strategy plan of action for how message will be communicated to target audience covers tone and style of message, theme, appeal techniques Central Theme binds various creative elements together transferable between media Tone and Style based on target audience persuasive/informative/conservative/friendly etc. Appeal Techniques break through perceptual barrier in consumer's mind funny/sad/sexual/action etc. Positive Appeals stresses positive benefits requires impact in execution Negative Appeals focus on negatives of not having it Humorous Appeals entertains the audience with light-hearted approach Sexual Appeals use sexual innuendo value peddling? Emotional Appeals arouse feelings of audience tap into positive or negative emotions Lifestyle Appeals associate brand with lifestyle of audience action, adventure, excitement Comparative Appeals show promise compared to products of competitors focus on primary reason for buying product Factual Appeals straightforward back it up with information that is easy to comprehend Creative Execution stage of creative planning where specific decisions regarding how to best present message are made Demonstrations work well when making claims regarding product performance Testimonial

typical user of product presents the message often perceived as more credible

Endorsements celebrity speaks highly of advertised product capitalize on star power Tagline short phrase capturing essence of advertised message Slogan short phrase capturing essence of entire advertising campaign reflected in positioning strategy and shown in all ads

CHAPTER 5 ADVERTISING PLANNING: TRADITIONAL MEDIA Goal of Media Plan reach target market efficiently o maximum exposure at minimum cost Media Planning developing plan of action for communicating message to right people at right time with right frequency Media Brief document containing essential information for developing a media plan used to stimulate discussion between client and agency Components of Media Brief Market Profile o curent state of affairs in market (trends, historical data from leaders, growth rate) Competitor Media Strategy o what media do competitors use o how much money they spend Target Market Profile o demographic, psychographic, geographic, behaviour profile, media interaction trends Media Objective o priorities, primary and secondary targets, nature of message Media Budget o budgetary allocation to media plan from marketing plan budget Post-Buy Analysis

evaluation of actual audience deliveries calculated after a specific spot/schedule of advertising has run

Media Plan strategy outlining relevant details about how client's budget will be spent what media to use, how much money to invest in media cosen to reach target audience effectively and efficiently Media Objectives statement outlining what a media plan is to accomplish who, what, where, when, how based on historical information, current brand situation, problems plan must resolve Questions Media Objectives Answer Who o who is target market (match to media profile) What o what is nature of message to be communicated (message strategy) Where o where are market priorities, geographically? When o when is best time to reach target market? How o how many, how often, how long?

Media Strategy plan for achieving media objectives stated in media plan typically justifies use of certain media o how often, how long, where to advertise o what media to use Factors Influencing Media Strategy target market profile nature of message geographic market priorities timing of advertising reach/frequency/continuity engagement Media Strategy: Target Market Profile match profile of target market to profile of medium more compatible the match, more efficient the strategy 3 Target Market Matching Strategies Shotgun Strategy Profile-Matching Strategy Rifle Strategy Shotgun Strategy use of mass media to reach loosely defined target audience

Profile-Matching Strategy match demographic profile of target market with a specific medium that has a similar target profile Rifle Strategy use of specific medium that effectively reaches a target market defined by a common characteristic o eg. golfers are golfers Media Strategy: Nature of Message creative strategy and media strategy should be developed together to generate synergistic effect in marketplace right message delivered to right medium o rational appeal? print! o emotional appeal? action, adventure? television! o engagement concerns? internet! Media Strategy: Geographic Market Priorities additional advertising in markets where a problem needs to be solved may occur on top of national-level advertising Geographic Coverage Options National coverage Regional coverage Key Market coverage National Coverage assumes widespread availability of product all geographic areas figure equitably into success of product Regional Coverage evaluation of each region's contribution to brand's success 2 Indexes to Assess Value of Region Category Development Index (CDI) o aka. Market Development Index Brand Development Index (BDI) Category Development Index percentage of category sales in a geographic area in relation to total population in that area determines whether category is underdeveloped or overdeveloped Brand Development Index percentage of brand's sales in an area in relation to population in that area determines whether category is underdeveloped or overdeveloped Key Market Coverage prioritize members of target market living in key urban markets good idea in top 6 cities of Canada Media Strategy: Timing of Advertising information on target market and cyclical sales patterns necessary time of day/week/year media schedule follows ebb and flow of sales Flight period of time where advertising is scheduled units of media schedule Media Schedule Options Skip Schedule

o scheduling of media advertising on alternating basis (every other week, month) Pulse Schedule o scheduling media advertising in flights of different weight, duration Seasonal Schedule o according to seasonal sales trends o concentrated in pre-season or period just prior to bulk of buying Blitz Schedule o most spending is front-loaded in schedule o a lot of money in short period of time Build-Up Schedule o start out light and gradually build over time (aka. Teaser Campaign) Even Schedule o uniform scheduling of media advertising over an extended period o continuous schedule

MEDIA STRATEGY: REACH/FREQUENCY/CONTINUITY Reach o total unduplicated audience exposes one or more times to a message during specific period Frequency o average number of times an audience has been exposes to message over period of time Continuity o length of time required to generate desired impact on target market Gross Rating Points expression of weight of advertising in media schedule o GRP = reach * frequency Media Strategy: Engagement degree of involvement a person has with a medium when using it o channel surfing during commercial breaks o online/mobile advertising must be entertaining otherwise, consumers reject message useful in developing relationships with customers Media Execution translation of media strategies into specific media action plans recommending specific media to be used and negotiating media buys Media Selection Process 1. Select General Media Type 2. Selecting Class of Media Within Media Type 3. Selecting Particular Medium Select General Media Type what mix of media to use Select Class of Media Within Media Type general interest, special interest, local, national influenced by characteristics of target market Selecting Particular Medium what specific medium will be used (specific channel, magazine, etc.) Cost Per Thousand (CPM) cost of delivering advertising message to 1000 people

calculated by dividing cost of ad by circulation in thousands

Media Calendar (Blocking Chart) shows allocation of a brand's media budget according to time of year and type of medium shows coordination of various media recommendations Media Buying media buyers work with media representatives to negotiate final prices for various activities if media unavailable, responsible for replacement buys that will achieve same objectives Primary Medium medium receiving largest allocation of advertiser's budget dominant medium in media plan Secondary Media media alternatives complementing primary medium in advertising campaign receive less money Media: Television brand awareness across wide cross-section PVRs lower efficiency Types of Television Advertising Network Advertising Selective Spots Local Spot Sponsorship Product Placement Branded Content (Product Integration) Network Advertising advertising from one central source broadcast across entire network of stations Selective Spots commercial time during network show that is allocated to regional and local stations to sell advertisers buy on a station-to-station basis Local Spot advertising bought from local station by local advertiser Sponsorship financially supporting event in return for certain advertising rights and privileges Product Placement visible placement of brand name products in television shows, movies, radio, video games and other programming Branded Content integration of brand name goods and services into storyline of television show or movie clearly mentioned and sometimes discussed Advantages of Television Advertising Impact - sight, sound, motion, demonstration, emotion

Reach - high reach in short time Some Targeting - specialty channels Coverage Flexibility - local, regional, national

Disadvantages of Television Advertising High Cost Clutter Audience Fragmentation - abundance of channels lowers audience size Technology - electronic equipment can edit out commercials Format type and nature of programming offered by a radio station creates ability to reach precisely defined demographic targets New Technologies in Radio Broadcasting Internet Radio Podcasting Satellite Radio Internet Radio listening to broadcasts via internet Podcasting audio programming that is downloadable to portable devices allows listeners to tune in when convenient Satellite Radio commercial-free programming for a monthly fee Advantages of Radio Target Selectivity Frequency Cost Flexibility - stations selected according to priority Disadvantages of Radio Audience Fragmentation Message Retention Newspaper Circulation average number of copies per issue of publication sold by subscription, distributed free to predetermined recipients, carried with other publications or made available through retail distributors Broadsheet large newspaper with fold in middle Tabloid small newspaper sold flat (unfolded) Types of Newspaper Advertising National Advertising o sold to advertisers and ad agencies by national sales department Retail Advertising

o involves advertising store name, image, location, re-advertising branded merch Classified Advertising o print advertising with similar goods/services group together under headings Insert o preprinted, free standing advertising (eg. leaflet, brochure, flyer)

Clutter amount of advertising in particular medium Paid Circulation circulation of newspaper/magazine generated by subscription or newsstand sales Controlled Circulation circulation of publication distributed free to individuals in a specific demographic/geographic area work well for profile-matching strategy and rifle strategy Advantages of Newspaper Advertising Targeting Capability - diverse audience in key geographic markets Reach Media Environment - readers engage with paper based on editorial content Merchandising - national marketers cooperative advertising with local retailers Disadvantages of Newspaper Advertising Life Span - exposure reduced if not read on day of publication Audience Diversity - not suitable if target market profile is precisely defined Clutter Reproduction Quality - black and white, speed of presses reduces colour quality Advantages of Magazine Advertising Targeting Capability - good reach based on demographic and psychographic characteristics Coverage Flexibility - city, regional, national Quality Environment - prestige of association Pass-Along Readership Disadvantages of Magazine Advertising Clutter Cost Frequency 2 Types of Out-of-Home Advertising Outdoor Advertising o Posters, Superboards, Banners, Street-Level Posters, Mall Posters Transit Advertising o Interior Cards, Superbus Advertising, King Poster, Seventy Poster, Bus Murals, Station Posters Poster (Billboard) common form of outdoor advertising usually picture-dominant advertisement with minimal copy can be backlit Superboard larger than normal poster and much more expensive can include extensions beyond borders and electronic media Banner large print ad frame and mounted on exterior of building

online: stretches across webpage Mural Advertisements hand-painted outdoor ad on side of building Street-Level Posters rear-illuminated units consisting of two- or four-sided faces such as transit shelters, blocks, columns Mall Poster form of advertising inside shopping malls pedestrian traffic only Electronic Signs electronic billboards rotating every 10-15 seconds Interior Cards in rack above window, near door of bus or subway car King Poster oversized poster attached to side of bus Seventy Poster small poster affixed to back of bus Bus Mural advertisements on side or tail of bus Station Poster advertisement alongside platform or at entrance/exit of subway or light rail Advantages of Outdoor Advertising Reach and Flexibility - large audience daily Coverage Flexibility - markets selected geographically Compatibility - good complementary medium to reinforce message Awareness - often included in teaser/blitz campaigns Disadvantages of Outdoor Advertising Creative Limitations - must be concise, good visuals Targeting - not for precisely defined targets Cost - absolute cost higher than other media Image - often referred to as "urban clutter" Advantages of Transit Advertising Reach and Frequency - riders receive message daily, weekly, monthly Continuous Exposure - trapped riders view same ad multiple times Coverage Flexibility - selected geographically Disadvantages of Transit Advertising Targeting - diverse cross-section of population, circulation wasted Environment - cluttered and crowded, peak periods less visible Other Forms of Out-of-Home Advertising Washroom Advertising o in front of urinal, on back of stall door Elevator Advertising o in display frames on elevator walls, televisions in corner or above door Cinema Advertising o print ads inside theatre, broadcast advertising on screens, television-style ads on screens, slides, posters, ticket ads

CHAPTER 6 DIRECT RESPONSE COMMUNICATION Direct Marketing marketing system for developing products, sending messages directly to customers and accepting orders through a variety of media distribution of purchase directly to customer Direct Response Advertising advertising placed in a medium that generates immediate and measurable response from intended target Traditional Direct Response direct mail direct response television

direct response print telemarketing catalogues

Direct Mail printed form of direct response distributed by Canada Post or independent delivery agents Direct Response TV appears on television and encourages consumer to respond by telephone, mail or online Direct Response Print ad in print media issuing direct call to action via telephone, mail, website Telemarketing telecommunications to promote products of a business involves outbound and inbound calls Catalogues reference publication distributed by large retail chains and direct marketing companies House List internal list of customers well-maintained and well-managed Database Management Internal Data Sources o collect and maintain relevant information from customers Collect Data o purchasing behaviour, frequency, average spending Accessing Data o devise storage system allowing managers easy access o historical information for complaint handling o current information for sales calls External Data Sources Data Mining analysis of information to determine relationships among data and enable more effective marketing strategies to be identified and implemented goal: lower marketing costs and increase efficiency by identifying prospects more likely to buy in large volumes detect regional/local market trends 2 Benefits of Data Mining identify best customers from worst customers means to predict future sales List Broker company specializing in finding or developing lists for direct response purposes finds prospect lists based on target market criteria established by marketing organizations Merge/Purge process in which numerous mailing lists are combined and then stripped of duplicates Types of Lists Available to Direct Marketers Response List o list of direct mail buyers who previously bought based on direct response offers Circulation List

publication's subscription list that targets potential customers based on specified demographic characteristics, interests or activities Compiled List o direct mail list prepared for government, census, telephone, warranty or other publication information Online Databases information database accessible online to anyone with proper communications facilities o Directory Database commercial database that provides information about company o size o sales o location o employees Components of Direct Mail Envelope o should suggest why customer should read Letter o introduces prospect to product/service and encourages receiver to read more o persuasive language Leaflets o one-page flyer offering relevant information about a direct mail offer Folder o direct response sales message printed on heavy stock that can be mailed with or without envelope Incentive o free gift or offer included in direct mail package Postage-Paid Return Envelope o eliminating need for postage encourages recipient to take action Statement Stuffer o ad or offer distributed in monthly statements or with delivery of goods purchased by some form of direct response advertising Direct Mail Strategies Solo Direct Mail o unique advertising offer mailed directly to target audience by marketing organization o personalization important element Dimensional Mail o direct mail taking form other than typical flat piece of mail Cooperative Direct Mail o mailing containing specific offers from non-competing products

Advantages and Disadvantages of Direct Mail Advantages o audience selectivity targets can be precisely identified and reached o creative flexibility copy or visually oriented o exclusivity does not compete with other media or other ads upon receipt uncluttered advertising environment o measurability

measured by sales generated, can be directly linked to mail offer Disadvantages o image not prestigious medium o cost per exposure all costs included, total costs higher than if placed in other print media o lack of editorial support can't rely on editorial content to get people to read the message

Infomercial long commercial that presents in detail the benefits of a product usually includes a call to action (eg. toll-free number) doesn't always have to sell (create awareness, drive traffic, etc.) Direct Home Shopping shopping service provided by cable television stations offering products for sale by broadcast message (eg. Shopping Channel) Direct Response in Print Media magazine targeting useful identify magazines that closely match desired profile Insert single- or multi-page document inserted into publication preprinted, free-standing, specifically placed in magazine or newspaper Call Centre central operation from which company operates its inbound and outbound telemarketing programs Inbound Telemarketing calls received by company from consumers, whether to place an order, inquiry or respond to tollfree promotion on DRTV Outbound Telemarketing calls from company to customers to develop new accounts, generate sales leads or close sales Catalogues reference publications involve merchandising can drive traffic to retail website

CHAPTER 7 ONLINE AND INTERACTIVE COMMUNICATIONS Internet Penetration and Adoption high penetration in Canada traditional media declines Internet is 3rd Online and Interactive Marketing Communications mass reach medium

number 1 medium between 18-34 year olds

Unique Visitor individual who has either accessed a site or been served unique content and/or advertising message Challenges of Online Marketing Communications devising effective plan to integrate online advertising into mix determining share of budget in online advertising Internet and Targeting use to gather consumer information for database geographic, demographic, time of day, behaviour variables Behavioural Targeting Online delivery of online ads based on consumer's previous searching patterns uses cookies o electronic identification tags sent from web server to browser to track browsing patterns Impression ad request that was successfully sent to visitor standard way of determining exposure for an ad on the web Mass Customization development, manufacture, and marketing of unique products to unique customers Interactive Communications placement of an advertising message on a website or an ad delivered by email or through mobile communications devices ONLINE AND INTERACTIVE PLAN Interactive Objectives o awareness o brand image/loyalty o incentives o leads o customer service o transactions Interactive Strategy o Online search banner pop-up/pop-under rich media email sponsorship webcast o o o Mobile text/video messaging Commercial Video Game Social Media

Interactive Execution o specific media selections o budget

schedule

Interactive Communication Objectives create brand awareness build and enhance brand image offer incentives generate leads provide customer service conduct transactions Portal website serves as a gateway to a variety of services such as searching, news, directories, email, online shopping and links to other sites

Online Communication Terminology Impressions (ad views) o ad request successfully sent to visitor Frequency o number of times ad delivered to same browser in single session/time period Ad Clicks (click-through) o number of times users click on a banner Ad Click Rate (click-through rate) o percentage of ad views that resulted in an ad click Visitor (unique visitor) Visit o sequence of page requests made by a visitor of a website o also called a session or browsing period Stickiness o ability to keep people at the site for an extended period of time or have them return frequently Search Advertising advertiser's listing is placed within or alongside search results in exchange for a small fee every time someone clicks the listing aka. pay-per-click advertising Banner Advertising ad stretching across a webpage user can click ad for more information o Rectangle: large, slightly wider than tall o Big Box: rectangle, greater depth and width o Leaderboard (Super Banner): stretches across entire top of webpage o Skyscraper: vertical rectangle Rich Media online communication including animation, sound, video, interactivity Expandable Banner online ad employing multiple panels that are launched when a banner is clicked on Window Ad online ad that downloads itself immediately and plays instantly when page is loading Wallpaper Ad online ad that is a large image replacing web background Video Advertising

streaming audio/video online in small, compressed packets of data that are interpreted as they are received o pre-roll: before other video o mid-roll: during other video o post-roll: after other video Online Sponsorship commitment to advertise on a third-party website for an extended period of time Email Advertising: Permission Based Email email sent to recipients who have agreed to accept email advertising messages less expensive than direct mail Sponsored Email email including short message from a sponsor along with link to sponsor's website Direct Mail vs Email Similarities: o information from databases o targets customers with specific interests Differences o email generates higher response o email less expensive Opt-In List list of people who have agreed to receive messages via email Spam unsolicited email Viral Marketing online marketing that encourages receiver of a message to pass it along to generate additional exposure Webcasting/Webisodes production of extended commercial presented on the web that includes entertainment value in the communications Company Website deliver detailed, meaningful content/information in an entertaining manner opportunity to tell a story appeal to primary target market Mobile Media: Text Messaging transmission of short text-only messages using wireless devices such as cell phones and personal digital assistants o cell phones becoming multi-purpose devices o youth market Video Messaging transfer of video messages and other content via cell phones and other personal electronic devices Advergaming integration of brand into video games games played online or purchased directly by consumers o gaming time overlaps with primetime o branded games or hop on commercially produced games Social Media social website that connects people with different interests together Consumer-Generated Content content created by consumers for consumers often presents brand effectively Brand Democratization concept that states that the consumers are now in charge of brand marketing instead of brand marketers

CHAPTER 8 SALES PROMOTION SALES PROMOTION

activity that provides special incentive to bring about immediate response from customers, distributors and organization's sales force 2 types: o Consumer Promotion o Trade Promotion

Consumer Promotion aka. Pull incentives offered to consumers to stimulate purchases or encourage loyalty Trade Promotions aka. Push incentives offered to channel members to encourage them to provide marketing and merchandising support for a particular product Sales Promotion Planning involves developing a plan of action for communicating incentives to the appropriate target markets at the right time o tend to adopt a short-term view (compared to advertising/PR) o should complement advertising and other IMC strategies Sales Promotion Brief includes o market profile (growth/decline, size, characteristics) o competitor activity profile (what they are doing specifically related to sales promotions) o target market profile (details, criteria) o sales promotion objectives o sales promotion strategy o sales promotion execution o budget Sales Promotion Objectives Consumer-Related Promotions o trial purchase o repeat purchase o brand loyalty Trade-Related Promotions (to organizations or their salespeople) o secure listings o build sales volume o secure merchandising support Sales Promotion Strategy selection of best activity to meet objective(s) integration with ad strategy o promote your promotion o evaluate conflicts between brand advertising and promotions Sales Promotion Media Strategy create awareness for promo provide details nature and size of promotion dictates degree of support trade support and knowledge crucial to success (your sellers need to know about it too!) Logistics and Fulfillment of Contests

decisions about dates, deadlines & details must run seamlessly from front-end (announcement) to back-end (delivery) often outsourced to specialists

Yardsticks / Quantitative Measurement of Promotions Success sales increases in promotion period trial and loyalty number of entries in a contest redemption rates financial payout o total cost/increased sales TYPES OF CONSUMER PROMOTION Coupons Free samples Contests Cash rebates and related incentives Premiums Loyalty programs Coupons price-saving incentive to stimulate quick purchase of a specified product Types of Coupons media-delivered free-standing insert in-pack self-coupon on-pack self-coupon instant redeemable cross-ruff Free Samples free distribution of a product to potential users Types of Free Samples trial size actual size in-store sampling on-site or experiential sampling Contests promotion that involves awarding cash or merchandise prizes to consumers when they purchase a specified product Types of Contests sweepstakes games Rebates predetermined amount of money returned directly to consumer by manufacturer after purchase has been made Types of Rebates Single-purchase refund escalating schedule (buy 1 get 10%, buy 2 get 25% etc.) Rebate Problem: Slippage

consumer fails to follow through with rebate

Premium additional item given free or greatly discounted to induce purchase of primary brand Types of Premiums in-pack on-pack mail-in bonus pack (bundled package) Loyalty Programs program offering consumers small bonus (points/play money) for each purchase bonuses accumulate and can be redeemed for merchandise or other benefits Contest: Game a promotional contest that includes a number of pre-seeded winning tickets; instant-win tickets can be redeemed immediately Requires repeat visits for game pieces Can combine collect-and-wins with instant- win Success depends on the prize TRADE PROMOTION TYPES Trade Allowance Performance Allowance Dealer Premium Collateral Material Co-Op Allowance Point-of-Purchase Materials Trade Allowance temporary price reduction that encourages larger purchases by distributors Performance Allowance discount offered by a manufacturer that encourages a distributor to perform a merchandising function on behalf of manufacturer Co-Op Allowance / Co-Op Advertising sharing of advertising costs by suppliers and retailers or by several retailers Dealer Premium offered to a distributor to encourage special purchase of a product or to secure additional merchandising support from distributor Collateral Material visual aids used by sales representatives in presentations Point-of-Purchase Materials advertising or display materials located in a retail environment to build traffic, advertise a product and encourage impulse purchasing Trade Shows event that allows a company to showcase its products to a captive audience and generate leads o may attract consumers, trade distributors or both o requires considerable planning and expense Additional Considerations for Sales Promotion Planning promotion frequency too often and customers will start to expect buying on deal effect of promotion on brand image dilute brand equity enhancing brand equity with promotions confident in quality, encourage trial purchase

CHAPTER 9 PUBLIC RELATIONS Current Trends in Public Relations looking for alternative ways to build brand o hyper-competition o advancing electronic technology o heavy news coverage on "bad" companies PUBLIC RELATIONS form of communication designed to gain public understanding and acceptance o publicity that doesn't necessarily involved payment to have it communicated in the media o costs of creation and distribution if proactive offers legitimacy 2 Publics of Public Relations Internal Publics External Publics Internal Publics employees distributors suppliers shareholders customers External Publics media government prospective shareholders financial institutions organizations 6 Roles of Public Relations corporate communications reputation management publicity generation product placement, branded content, product seeding community relations and public affairs (lobbying) fund-raising Reputation Management critical role in crisis management rescues image in crisis be prepared! senior executives must be ready to act and demonstrate control all messages must be credible, factual and don't blame others (of course make sure you can't blame anyone else first) Publicity news about organization, product, service, person that appears in the media deemed to be "newsworthy"

Branded Content integration of brand name goods and services into the script/storyline of a television show or movie Product Seeding giving a product free to a group of trendsetters who promote the product to others by word of mouth o low costs and works effectively on narrow targets Product Placement the visible placement of brand name products in television shows, movies, radio, video games, and other programming More credibility over advertising, better chance of being noticed and remembered Virtual product placement can occur via editing Social Responsibility perception of good corporate citizenship and contributions to local communities important today indirect and long-term effect on sales Public Affairs strategies to deal with and communicate with governments Lobbying activities and practices designed to influence policy decisions that affect an organization or all organizations in a particular industry Fundraising PR is key in not-for-profits must present company/corporate image in positive light educate public, key stakeholders on how the money is used, their contribution Public Relations Planning fit the organization's marketing objectives can be proactive or reactive typically, an in-house PR specialist is a liaison with external agencies that prepare and implement PR plans Public Relations Objectives creating awareness shaping attitudes altering behaviour o make aware of self-regulation o delay legislated regulation Public Relations Difficulties: Measurement results are difficult to measure or evaluate Primary Goal of Public Relations get positive media exposure for brand match the message to the medium Measurement of PR Primary Goal gross impressions

number of times item was seen

Drawbacks of PR company cannot control media or dictate the manner in which message is communicated difficult to get past media gatekeepers difficult to ensure accuracy Considerations in PR strategic role should be examined based on how best to: reach opinion leaders maximize news value Time events to reinforce other marketing communications strategies Reach designated targets Press Release document prepared by an organization containing PR info sent to the media for publication or broadcast Press Conference a meeting called by an organization to present information to representatives of the media Media Kit package of relevant information associated with a product or organization that is distributed at a press conference people form impressions from visiting a website so it must o download quickly, navigate easily o provide entertainment (at the very least easy on the eyes) Newsletter document sent to a predetermined audience that contains news about the organization o can be internal/external mail, email o to employees, customers, members etc. o relies on accuracy of database Booklet or Brochure multi-page document distributed to consumers and other interested stakeholders Newsletter document sent to predetermined audience that contains news about an organization o distributed by internal/external mail/email o sent to employees or members o relies on accurate database o can be a special interest newsletter Annual Report document published annually by an organization primarily to provide current and prospective investors and stakeholders with financial data and a description of operations o special interest reports can be included (industrial reports etc.) PR Timeline timeline is essential so that all activities are carefully coordinated with other marketing communications activities PR Budget cost relatively less than advertising programs but still have to be accounted for PR Measurement and Evaluation Output o measure transmission

Outgrowth o measure message reception Outcome o measure attitude and behavioural change

Advantages of PR considered more credible, assigned more weight publicity generates "buzz" - leads to sales helps develop customer relationships Disadvantages of PR absence of control time, energy and materials can go to waste

CHAPTER 10 EVENT MARKETING AND SPONSORSHIP Event Marketing process, planned by a sponsoring organization, of integrating a variety of communications elements with a single event theme Event Sponsorship financial support of an event in exchange for advertising privileges associated with that event 5 Sponsorship Categories 1. sports 2. entertainment 3. festivals, fairs, annual events 4. causes 5. arts Sports Marketing Sponsorship extent of involvement and the financial commitment depends on organization's marketing objectives and overall strategy at amateur and professional levels dominated by automobile, brewing, financial industries Ambush Marketing strategy used by non-sponsors of an event to capitalize on the prestige and popularity of the event by giving false impressions they are sponsors Venue Marketing aka. venue sponsorship linking a brand name or company name to a physical site eg. stadium, arena, theatre Entertainment Sponsorships ideal for targeting youth and young adults o film festivals popular with customized packages o television can include product placement opportunities Culture and Arts Sponsorships ideal for targeting upscale audiences o higher education o higher income leverage goodwill of sponsorship o supports corporate social responsibility Cause Marketing positive effect on consumer's perceptions of brand or company

o o

emotional connections with consumers can sponsor your own event

Experiential Marketing ideal for teenagers & young adults promotion in which potential customers interact directly with a product o experiencing product gives sense of ownership/connection with brand Effective Event Marketing select events offering exclusivity o be the only sponsor either in category or at all o complement other promotional activities o choose target carefully o select event with an image that sells o establish selection criteria if you use event marketing often Measuring Event Sponsorship indicators to measure benefits of sponsorship: o awareness o image o new clients o sales o specific target market (niche market penetration or other) o media coverage Organization's Role in Event Planning identify overall goals and marketing objectives identify the target audience and timing consider financial implications, time frame for money handouts evaluate results Outsourcing Event Planning Outsourcing the activity, allowing the experts in this field to do the job Setting Objectives in Event Planning realistic, achievable, measurable o size of audience reached o ability to reach specific target o sponsor recognition levels o potential sales o economic impact and profit Event Marketing Planning Tools Event Proposal Timeline Chart Event Proposal details o o o o o Timeline Chart

organization layout venue technical requirements other key considerations

indicates various planning activities start and finish Run Sheet schedule of daily events that shows the various dates, times, locations of activities at an event Marketing the Event define the product (event) establish price ticket distribution marketing communications build the buzz EVENT MARKETING - P'S Product Strategy Pricing Strategy Event Product Strategy identify essential features and benefits of event that can ultimately be used in messages o understanding the motivation of the target audience is key Event Pricing Strategy delicate balance of price with perceived value pricing of tickets done generally by event planners Event Marketing Communications Strategy Components Branding o name o logo o colour o image o event needs a consistent look (with your brand is best) Advertising Strategy o Message and media strategy needed to create interest and reach target effectively PR Strategy o Press releases plus conferences in pre-event stage Event Marketing Execution Execution involved dealing with specific details of the event o Site Selection and Staging o Staffing o Operations and Logistics o Safety and Security Site Selection and Staging choice of venue consistent with event purpose and theme o size of event o suitability of site (layout, sound, lighting) o primary field of play (rehearsal is key) o availability of accommodations, food, etc. o availability of on-site technical response and management experience Staffing human resource requirement depends on o complexity of planning and execution o size and scope of event pre-event o marketing/financial/human resources

post-event o evaluation and financial planning

Operations and Logistics Bump-In (setup) o the setting up of structures and other equipment at an event in place and in working condition Bump-Out (teardown) o the process of dismantling everything after an event

Safety and Security Plan for o potential crowd behaviour o methods of control o safety of audience, staff, subcontractors, performers Potential threats include fire, bomb threats, gas leaks, overzealous fans, and so on Security for property, equipment, and cash must be planned

CHAPTER 12 EVALUATING IMC PLANS EVALUATING MARKETING COMMUNICATIONS PROGRAMS: DATA TRANSFER AND PROCESSING Editing o review of questionnaires for consistency and completeness Data Transfer o transfer of responses from questionnaire to computer Tabulation o process of counting various responses for each question Evaluating Marketing Communications Programs: Data Analysis and Interpretation Data Analysis o evaluation of responses question by question o gives meaning to data Data Interpretation o relating of accumulated data to the problem under review and to the objectives/hypotheses of research study Evaluating Marketing Communications Programs: Recommendations and Implementation Present findings in a written report Includes recommendations for certain courses of action Can include oral presentation Client Evaluation does ad communicate the creative objectives and positioning strategy does ad mislead or misrepresent the intent of the message is ad memorable is brand recognition effective External Research Techniques and Procedures pre-testing o general observations of commercial suitability post-testing o evaluation and measurement of message's effectiveness during or after message is run Recognition Test test that measures a target audience's awareness of a brand, copy, or of the advertisement itself after audience has been exposed to the message Recall Test test measures an ad's impact by asking respondents to recall specific elements of advertisement aided and unaided

Physiological-Responses Testing Eye-Movement Camera Testing hidden camera to track eye movement to gauge point of immediate contact in an advertisement, how the reader scans the ad and the amount of time spent reading Pupilometer Test device measures pupil dilation of a person's eye when reading measure emotional responses to an advertisement Voice-Pitch Analysis Test uses a recording of a persons voice response to measure change in voice pitch caused by emotional responses to the communications

Evaluating Sales Promotions specific sales promotion measures include redemption rates on coupon offers number of entries to contests and other mail-in offers (eg. rebates) Evaluating Direct Response toll-free number inquiries response card returns Evaluating Internet Response o ad clicks o ad views o visitors and visits o site "stickiness" Evaluating Public Relations counting clippings o clipping service scans print and broadcast media in search of company's or brand's name o how many times was brand covered in print media number of impressions based on circulation of medium (in which you were covered) advertising equivalency o mathematical model that equates public relations to advertising value Evaluating Event Marketing and Sponsorship difficult to evaluate on a quantitative basis common measures include ability to effectively reach the target market awareness created and association with event image enhancement or perception due to participation Measuring Effectiveness of IMC total effort of integrated marketing communication is measured by market share productivity (new customers/awareness etc.) sales and profitability customer satisfaction levels social responsibility

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