Introduction to marketing communications Definition and meaning

Promotion Promotional Mix

Benefits of Marcom Challenges of Marcom in the contemporary market place Introduction to the various tools of marketing communication Introduction to IMC Benefits of IMC Reasons for growth of IMC

Definition of Marketing Marketing consists of the strategies and tactics used to identify, create and maintain satisfying relationships with customers that result in value for both the customer and the marketer Creating value for customer and capturing value in return Marketing focuses on relationships and value

Marketing Strategies
Market Expansion Market Share Growth Niche Market Status Quo Market Exit

Marketing Mix
The tactical tools that Marketers use to implement their strategies and deliver superior customer value

Marketing Management Managing External Forces Marketing Planning & Stra. Product life Cycle Place Marketing Plan

Product

Marketing
Customers & Markets
Price

Promotion

The marketers bag of tools for communicating with customers and other stakeholders

Any form of communication a business or organization uses to inform, persuade or remind people about its products". Promotion is also used to improve public image of an organization
Companys total promotion mix is also called its marketing communications mix
Consists of the following 5 major tools:

Advertising Sales Promotion Personal Selling Public Relation Direct Marketing Interactive/Internet Marketing*
Under each category, there are specific promotional tools to communicate with customers

Advertising
Broadcast , Print, Internet, Outdoor

Sales Promotion
Discounts, Coupons, Displays, Demonstrations

Personal Selling
Sales Presentations, Trade shows, Incentive programs

Public Relations
Press release, Sponsorship, social events, web pages

Direct Marketing
Catalogues, Telephone Marketing, Internet, Mobile Marketing, Kiosks

Marketing communications represent the voice of the company and its brands and are a means by which it can establish a dialogue and build relationships with consumers - Kotler and Keller's 13th Edition.

External: concerned with an organization communicating with its stakeholders e.g. banks, government agencies, the press, suppliers, customers, and the general public for the purpose of obtaining, disseminating or changing information Internal: The exchange of ideas, views, and activities within the same organization

Marketing communication occurs formally and informally, internally and externally Marketing communications occurs wherever and whenever people interact with the organization -Amanda Broderick. 2005

Consumer sophistication Media proliferation Competition Liberalisation Globalisation Technology Increasing costs (particularly media costs) Increasing pressure group activity

Any paid form of non-personal communication about an organization, product, service or idea by an identified sponsor Paid: Space must be bought, except PSA Non-personal: involves media transmitting to large groups of people at the same time

Short term incentives to encourage the purchase or sale of a product or service. Includes: coupons, discounts, displays, demonstrations

Direct connections with carefully targeted individual consumers to both obtain an immediate response and cultivate lasting customer relations the use of direct mail, the telephone, e-mail, the internet and other tools to communicate directly with specific consumers

Personal presentation by the firms sales force for the purpose of making sales and building customer relations

Responsible for managing the firms relationships with its various publics. Includes communication with customers, employees, stockholders, government regulators, suppliers, etc Aims at obtaining favourable publicity, building up a good corporate image, and handling or heading off unfavourable rumours, stories and events

To be presented in class next week A one page presentation on one of the major Marcom tools used by organizations. What it is Characteristics or features Merits Demerits

If communications occurs whenever or wherever people interact with the organisation, then there is the need to synchronize all of the communication efforts of the organization into a seamless effort delivering a concise message

A concept of marketing communications planning that recognizes the added value of a comprehensive plan that evaluates the strategic roles of a variety of communication disciplines for example, general advertising, direct response, sales promotion and public relations and combines these disciplines to provide clarity, consistency and maximum communications impact

American Association of Advertising Agencies

Aim: To present a consistent message to target markets Involves coordinating the various promotional elements and other marketing activities that communicate with a firms customers

Unity of understanding Awareness, desire, interest, action, etc Image enhancement Long term loyalty and profitability Affords good rapport and relationship marketing Means of sustainable differentiation

Advertising Direct Marketing Interactive/Internet Marketing Sales Promotion Publicity /PR Personal Selling

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2.

3.

A shifting of marketing budget from media advertising to other forms of promotion especially consumer and trade oriented sales promotions A movement away from the reliance on advertising focused approaches to solve communication problems The rapid growth and development of database marketing

4. Demands for greater accountability from advertising agencies and changes in the way agencies are compensated 5. The rapid growth of the internet

Introduction to marketing communications Definition and meaning

Promotion Promotional Mix

Benefits of Marcom Challenges of Marcom in the contemporary market place Introduction to the various tools of marketing communication Introduction to IMC Benefits of IMC Reasons for growth of IMC