【中国经济管理大学MBA讲义】科特勒《营销管理》第13版《Chapter15》
Chapter 15 - Designing and Managing Integrated Marketing CommunicationsI. Learning Objectives
After reading this chapter, students should:
q Know what the role of marketing communications is
q Know how marketing communications work
q Know what the major steps in developing effective communications are
q Know what the communications mix is and how it should be set
q Know what an integrated marketing communications program is
II. Chapter Summary
Modern marketing calls for more than developing a good product, pricing it attractively, and making it accessible to target customers. Companies must also communicate with present and potential stakeholders, and with the general public.
The marketing communications mix consists of eight major modes of communication: advertising; sales promotion; public relations and publicity; events and experiences; direct marketing; interactive marketing; word-of-mouth marketing; and personal selling.
The communications process consists of nine elements: sender, receiver, message, media, encoding, decoding, response, feedback, and noise. To get their messages through, marketers must encode their messages in a way that takes into account how the target audience usually decodes messages. They must also transmit the message through efficient media that reach the target audience and develop feedback channels to monitor response to the message.
Developing effective communications involves eight steps: (1) Identify the target audience, (2) determine the communications objectives, (3) design the communications, (4) select the communications channels, (5) establish the total communications budget, (6) decide on the communications mix, (7) measure the communications results, and (8) manage the integrated marketing communications process.
In identifying the target audience, the marketer needs to close any gap that exists between current public perception and the image sought. Communications objectives may involve category need, brand awareness, brand attitude, or brand purchase intention. Formulating the communication requires solving three problems: what to say (message strategy), how to say it (creative strategy), and who should say it (message source). Communications channels may be personal (advocate, expert, and social channels) or nonpersonal (media, atmospheres, and events). The objective-and-task method of setting the promotion budget, which calls upon marketers to develop their budgets by defining specific objectives, is the most desirable.
In deciding on the marketing communications mix, marketers must examine the distinct advantages and costs of each communication tool and the company’s market rank. They must also consider the type of product market in which they are selling, how ready consumers are to make a purchase, and the product’s stage in the product life cycle. Measuring the effectiveness of the marketing communications mix involves asking members of the target audience whether they recognize or recall the communication, how many times they saw it, what points they recall, how they felt about the communication, and their previous and current attitudes toward the product and the company.
Managing and coordinating the entire communications process calls for integrated marketing communications (IMC): marketing communications planning that recognizes the added value of a comprehensive plan that evaluates the strategic roles of a variety of communications disciplines and combines these disciplines to provide clarity, consistency, and maximum impact through the seamless integration of discrete messages.
III. Chapter Outline
I. The Role of Marketing Communications - inform, persuade, and remind consumers, directly or indirectly, about the products and brands that they sell
A. Changing Marketing Communications and Brand Equity - six major modes of communications are advertising, sales promotion, events and experiences, public relations and publicity, direct marketing, personal selling
B. Communications Process Models
1. Micromodel of the communication process - nine elements
a) Major parties in communication - sender and receiver
b) Major communication tools - message and media
c) Major communication functions - encoding, decoding, response, feedback
d) Noise
2. Micromodel of consumer responses - concentrate on consumer’s specific responses to communications; three different sequences
a) “Learn-feel-do” - appropriate when there is high consumer involvement and perceived high product or service differentiation
b) “Do-feel-learn” - relevant with high consumer involvement and little or no differentiation
c) “Learn-do-feel” - appropriate with low consumer involvement and little or no differentiation
II. Developing Effective Communications
A. Identify the Target Audience
1. Image analysis is a major part of audience analysis that entails assessing the audience’s current image of the company, the products, and the competitors.Image is defined as a set of beliefs, ideas, and impressions that a person holds regarding an object
a) First step is to measure target audience’s knowledge of the subject using a familiarity scale
b) Second step is to determine feelings toward the product using a favorability scale
2. The specific content of a product’s image is best determined with the use of semantic differential (relevant dimensions, reducing set of relevant dimensions, administering to a sample, averaging the results, and checking on the image variance)
B. Determine the Communication Objectives (Rossiter and Percy’s four possible objectives)
1. Category need - remove or satisfy perceived discrepancy between current motivational state and a desired emotional state
2. Brand awareness - recall is important when removed from brand stimulus whereas recognition is important when facing stimulus. Builds brand equity
3. Brand attitude - evaluation of brand’s perceived ability to meet a currently relevant need
4. Brand purchase intention - self-instructions to purchase or take purchase-related action
C. Design the Communications
1. Message strategy - develop appeal, themes, or ideas that tie into positioning and establish points-of-difference or points-of-parity
2. Creative strategy - message translated into specific communication; two methods of classification
a) Informational appeals - elaboration on attributes or benefits
b) Transformational appeals - elaborate on a nonproduct-related benefit or image (e.g. demonstration of the type of person that uses the brand)
3. Message source - expertise, trustworthiness, and likeability
D. Select the Communication Channels
1. Personal communication channels - direct (advocate, expert, and social)
2. Nonpersonal communication channels - directed to more than one person (media, sales promotions, events and experiences, public relations)
3. Integration of communications channels
a) Personal communication more effective than mass communication
b) Mass communication may stimulate personal communication (two-step flow implications)
(1) Mass media mediated by opinion leaders
(2) People’s acquire ideas from opinion leaders from interactions within their own social groups
E. Establish the Total Marketing Communication Budget
1. Affordable method
2. Percentage-of-sales method
3. Competitive-parity method - achieve share-of-voice parity
4. Objective-and-task method
III. Deciding on the Marketing Communications Mix
A. Characteristics of the Marketing Communication Mix
B. Factors in Setting the Marketing Communication Mix
C. Measuring Communication Results
IV. Managing the IMC Process
A. Coordinating Media
1. Combine personal and nonpersonal communication channels for maximum impact
2. Multiple-vehicle, multiple-stage campaign approach
B. Implementing IMC
1. Unify various brand images and messages
2. Look at entire marketing process
3. Coordinate advertising, direct marketing, public relations, and employee communications
V. Summary
IV. Opening Thought
Perhaps the most challenging aspect of this chapter involve the nine elements of the communications process: sender, receiver, message, media, encoding, decoding, response, feedback, and noise. Students not previously exposed to these concepts in other marketing or communications courses will find them somewhat difficult to fully understand and perceive without relevant use of examples and trials. The instructor is encouraged to use examples gleaned from advertisers’ websites, advertisers, and television or print commercials to demonstrate these concepts, especially on encoding and decoding.
The remainder of the chapter covers material previously reviewed, such as identifying the target market and designing the marketing message. What is different in this chapter is the integration of all of the communication mix or elements of communication to the target audience in a consistent and effective manner.
Finally, the coordination and integration of all the elements of the communications mix and their effect/affect on the total message (evaluation of their effectiveness) remains a challenge to prove. It is difficult to prove the concept of the combined effectiveness of integrating all marketing communications in the real business world. Instructors are encouraged to use examples of ineffective communication(s) to highlight what the possibilities could be with an integrated marketing communications process.
Marketing Insight: Celebrity Endorsements as a Strategy
V. Teaching Strategy and Class Organization
PROJECTS
1. At this point in the semester-long marketing plan project, students should have agreed on their integrated marketing communications matrix. The instructor is encouraged to evaluate the submissions vis-à-vis the material presented in this chapter. In reviewing the submissions, the instructor should evaluate the continuity of the message across all possible communication media (students will tend to limit their media to television or the Internet and exclude other forms such as personal selling and radio).
2. With the instructor’s guidance and attendance, arrange a field trip to a local advertising agency to gather their management’s views on integrated marketing communications. In particular, what services have their clients requested that the ad agency perform to build an integrated marketing communications program? Today, many progressive ad agencies are including among their services: print, marketing intelligence, personal selling training, and strategy development in their portfolios.
ASSIGNMENTS
Small Group Assignments
1. Think of a recent marketing campaign such as that of an automobile company for its new model. This small group assignment contains the following objectives. First, collect as many “copies” of the advertising that the company used in the initial launch by looking for copies of the print ads in back issues of magazines. Second, find news stories that were run which mentioned the product. Finally, collect other information off the website about the product. Once this information has been collected, compare, contrast, and form an opinion (based on the material in this chapter) on why this campaign was so successful. Could such a campaign (grassroots and/or guerilla) have worked so successfully for a “normal” sized automobile? How does the nontraditional “form” of the Mini lend itself to a nontraditional campaign?
2. This chapter states that the marketing communications mix consists of six major modes of communication and that every brand contact delivers an impression that can strengthen or weaken a customer’s view of the company. In small groups, have students select an example of a company’s message that is not consistent across its advertising, sales promotion, events and experiences, public relations, direct marketing, and personal selling. The students should also provide an example of a firm whose marketing communications is consistent in all these areas. Students should be able to explain why they believe the communication is or is not consistent.
Individual Assignments
1. The starting point in planning marketing communications is an audit of all the potential interactions that customers in the target market may have with the brand and the company. Students should select a brand of their choosing and in their assignments “map” out or create an audit of all potential interactions that customers in the target market have with the brand and company. For the purpose of this assignment, students should assume they are a member of the target market.
Think-Pair-Share
1. In the “Law of the Few, Stickiness, and the Power of Context”, Malcolm Gladwell postulates and identifies mavens, connectors, and salesmen necessary for igniting public interest in an idea. Do you agree with his assertions? Are there mavens, connectors, and salesmen present on campus? If so, have they been successful in igniting public interest in an idea or cause? Finally, can the “Law of the Few” work for building interest in (i.e. marketing) a product?
END-OF-CHAPTER SUPPORT
MARKETING DEBATE
Has TV Advertising Lost Power?
TV advertising has faded in importance versus TV advertising is still the most powerful advertising medium.
VI. Case Study
1. Marketing in China: The 2008 Beijing Olympics Integrated Marketing Communications
1) What are the characteristics of the marketing communications of the Beijing 2008 Olympic Games?
2) What factors does the marketing communications effect depend on?
2. Marketing in China: The Mistakes of MNC’s Advertising in China
1) What adjustments do you think multinational corporations should make to their marketing strategies in China?
2) What do the examples of multinational corporations’ improper advertisements in China imply?
3. Marketing in China: HK City Brand Image
1) How does Hong Kong improve its city image through IMCintegrated marketing communications?
2) What can other Chinese cities who are branding their city images learn from the case of Hong Kong?
4. Chapter Case: NIKE
1) What have been the key success factors for Nike’s marketing communication? What is Nike’s “pyramid of influence”? How did Nike choose its celebrities?
2)What are the weaknesses of Nike’s brand communication? What problems should Nike pay attention to?
5. To prepare case studies based on the following materials from Chapter 15 and to present these:
• Mini case: Dove
• Innovative Marketing: Intel
VII. Main Topic(s)
A. “Marketing Communications as the Key Tool in an Uncontrollable Marketing Environment”
This discussion provides focus on the increasing importance of marketing communications, as well as the concept of integrated marketing communications (IMC).Here we will look at the question of “How does interactive marketing fit with existing marketing campaigns?”Interactive marketing involves extending the reach, frequency, and power of the existing communications. With current communications programs, firms likely integrate public relations, print, direct marketing, and perhaps radio, TV, and Internet in some combination.Whether firms add networked media (commercial online services, the Internet, and other stand-alone interactive media to this mix) successful interactive projects work the same way as traditional vehicles: in harmony with the wider communications plan.
Teaching Objectives
· To understand how today’s uncontrollable environment has led largely to the increased use of marketing communications.
· To consider why integrated marketing communications is a powerful and cost-effective promotional strategy.
· To present the advantages of a tool often used in an integrated marketing communications program:a company newsletter.
Discussion
Integrated Marketing Communications
Not all product concepts are right for all individuals, thus bringing about the notion of market segmentation and targeting. The same holds true for marketing communications. One message does not fit all. Integrated marketing communications (IMC) focuses on discreet customer segments. With IMC, the firm learns to understand that while mass-market promotion appears cost-effective on the front end, brand/product messages are also offered to millions of people who are not interested.
Mass media no longer serves the mass audiences sought by marketers. Individual audiences for each media have decreased, thus indicating a need to ensure that whenever and wherever the prospect is exposed to the message, he or she receives a consistent one. Customers typically do not differentiate between message sources; they only remember the message they received. Considering how many messages consumers are exposed to on a regular basis, mixed messages from the same source are bound to cause confusion and, worse yet, they will be more quickly forgotten.
While understanding the importance of marketing communications is somewhat simple, finding the best means through which to implement a marketing communications program has become increasingly difficult. The buying public has been virtually buried alive by ads. Consumers are bombarded with hundreds of ads and thousands of billboards, packages, and other logo sightings every day.
Old advertising venues are packed to the point of impenetrability as more and more sales messages are jammed in. Supermarkets carry 30,000 different product packages, each of which acts as a mini-billboard, up from 17,500 a decade ago. Networks air 6,000 commercials a week, up 50% since 1983. Prime-time TV carries up to 15 minutes of paid advertising every hour, roughly 2 to 4 minutes more than at the start of the 1990s. Add in the promos, and over 15 minutes of every prime-time hour are given over to ads. No wonder viewers are averse to so many commercials.
The IMC planning process is based on a longitudinal consumer purchase database. Ideally, this database would contain, by household, demographics, psychographics, purchase data, and perhaps some information about how the household feels about or is involved with the product category. In many cases, direct-marketing organizations already have this type of information at their disposal. An IMC program is implemented according to the needs and lifestyles of the selected target markets, thus allowing for customized yet consistent message strategies to sell increasingly individualized products.
Sustainable Competitive Advantage
It has been said that IMC will be the only sustainable competitive advantage for marketers in the near future. The other elements of the marketing mix—product development, pricing, and distribution—can be achieved at a similar level and in a similar way among companies competing in a particular industry. In addition, we know the customer has taken on a completely new and powerful role in the marketing process. Because it is largely through promotion that a company speaks most directly to its customers, it seems appropriate that a marketer’s promotional strategy must change to reflect the dynamics of today’s marketplace.
Some of these changes include:
Changing technology, which has made it possible for media organizations to identify, segment, select, and attract smaller audiences for their respective vehicles.
The trend toward deregulation that has allowed for increased competition within many industries, such as air travel, banking, and utilities.
Globalization of the marketplace, which causes promotional efforts, including advertising, sales promotion, public relations, and personal selling, to be implemented throughout a worldwide market. Customization for different cultures is key to competing successfully in this arena.
Changes in the demographic and psychographic profiles of today’s consumers, that have paved the way for new product category opportunities (such as health care for the aging “baby boomers” and health food/clubs for nutrition-conscious consumers).
Money-rich, time-poor consumers are seeking control of their purchases. Consumers have become adept at avoiding marketing communication, through the use of VCRs, remote controls, radio push buttons, etc. When they are listening, the message should be simply stated and easy to understand. Today’s generation is also more visual than verbal, thus they rely on images, symbols, and graphics more than any previous generation.
It is important also to note that a marketer can communicate with customers through means other than formal marketing communications. Every element of a product’s marketing mix helps to position that product in the minds of consumers. The result is that the elements of the promotional mix should all present a consistent theme. The same is true of the other P’s of marketing, namely product, price, and place that should support the theme:
Products communicate through size, shape, name, packaging, and various features/benefits.
Price communicates to the consumer that the product is high quality, low quality, prestigious, common, etc.
Retail locations (place) where customers purchase the product will reflect upon the product’s image as well. Stores are considered “high class”, specialty, discount, etc.
Using Newsletters for Customized Communication
One of the newest and most effective ways to stimulate and maintain positive communication with customers is through newsletters (print and online). Newsletters are useful for many reasons, but one of the best reasons is that they cross the boundary between news and advertising, providing a bit of both. Further, they bring back some much-needed credibility that has been lost with many market segments. The newsletter can be delivered physically, but more likely, it will be made available via the Internet or email. Newsletters not only describe in detail a company’s philosophy, goals, and objectives but also enhance its current marketing program. In addition, newsletters can be utilized as communication tools for many other purposes.
Some of the advantages of newsletters include:
Delivering continuous background or educational material to clients in an efficient manner.
Providing highly-targeted distribution through database utilization.
Acting as a form of personal calling, on paper, to prospects and clients.
Proving more economical than other forms of promotion.
Not obvious advertising, if done correctly.
Attention-getting.
Providing the ability to create demand.
Keeping mailing lists (or email lists) accurate.
Possible newsletter content may also include such as items as:
Announcements of new products and services.
Stories of products/services in application (from either the company or its customers).
Answers to commonly asked questions/concerns.
Information on industry trends.
Updates on new or pending legislation.
Personnel changes (but otherwise very little employee communiqué).
Guest articles by prominent figures in the industry.
“Think” pieces—philosophy, ideas, suggestions, techniques, and tactics.
Specialized news.
A newsletter also provides opportunities for customer feedback:
Brings the prospect to the marketer in the form of an inquiry.
May solicit response through use of a formal survey.
Enables experimentation with numerous formats/contents/promotions through small sample test mailings.
In addition, orienting articles to topics that are on the customer’s minds will guarantee holding their interest.
Bad news should not be ignored. Any problems that are occurring, as well as actions being taken to solve these problems, need to be addressed. After all, relationships will have both ups and downs.
Most important, the primary goal of any newsletter should be to inform and educate readers; it must not become the voice of management and/or marketing alone. To that end, it must be filled with news and not exist solely to sell products/services.
VIII. Background Article(s)
Issue: Integrating Marketing Communications
Source:Don E. Schultz, “Multichannel: New Term, Old Challenges,” Marketing News, April 29, 2002, p. 10.
As I have traveled the world the last six months or so, one of the hottest topics in Europe, and increasingly in Asia, is that of multichannel marketing. While it does not yet command the highest level of interest in the United States, it probably will in the next year or so.
Multichannel marketing is, it seems, 21st Century terminology for how a marketing organization makes its products and services available to customers and prospects: How the marketer determines the best choice of distribution systems and the type of communication programs to use, for example, and how the company will organize those programs and alternatives into a cohesive whole. In the 20th Century—at least in the 1990s—we called those efforts integrated marketing or integrated marketing communications. In reviewing what has been written about multichannel marketing and listening to the discussions in seminars and conferences, the questions and answers have an oh-so-familiar ring. For example, the questions about distribution seem to revolve around: How much emphasis or focus should be put on which channels? How much should be invested in traditional retailing? And how much focus and reliance is on the field sales force? Much of the discussion is about the level of effort to make in electronic marketing and how that fits with traditional approaches. Some even wonder if the dot-coms will rise again.
The ample supply of questions and paucity of answers spawn the conferences, seminars, and scholarly papers. In the multichannel area of communications, the questions are much the same: How much to invest in advertising? How much above the line and how much below it? Where does PR fit? How about events? Sponsorships? Some experts advocate focusing efforts and expenditures on a few areas, while others suggest investment diversity.
To me, about the only thing that has really changed from what we were struggling with 10 years ago is that a much greater variety of alternatives are available now and, as a result, more challenges.
What all this multichannel conversation seems to ignore, however, and what I thought we learned almost a decade ago is that much of the discussion and almost all the planning starts at the wrong end of the question. The process seems to start with what the marketer wants to do, how the seller wants to organize and develop his business.
For any multichannel approach to succeed, the questions have to start with the customers or prospects. What type of distribution system do they want to select from? What type of communications systems do they want to access? What type of business relationship do they want with the seller?
What multichannel marketing and communications advocates seem to ignore is the fact that marketers no longer control the marketplace. They can’t decide what is best for customers and foist it off on the channels and customers, no matter how sophisticated the software or how elegant the marketing models. The customer decides what is best and pursues that course, and woe to the marketer who can’t fit that pattern.
It all comes back to marketplace power. In the traditional four P’s of marketing, the marketer decided how he wanted to go to market, and channels and customers were simply pawns in the great game of marketing. The organization with the best plans or people—or combination of the two—was sure to win in the long run. That’s what built firms such as P&G, Unilever, Colgate, and Nestle.
But over the last decade or so, marketplace power has shifted. Customers are now in control because they have access to incredible amounts of market knowledge, and the traditional restrictions of time and geography have disappeared. With access to a vast array of distribution channels, they can shop and compare products, prices, and formats and yes, even marketers, from around the world.
In my view, customers, with their increased access to information, have created an almost perfect marketplace, at least for them. Customers now know most of the marketing secrets because they have lived through them. It’s increasingly difficult to fool customers any more (Enron and the financial analysts excepted) for any length of time. The marketer who ignores that fact does so at his peril.
Today, it is not a question of how the marketer wants to sell, it is a question of how the customer wants to buy. So, what I hear missing in all these multichannel marketing dialogues is a mention of the customer. That lesson seems to have been lost somewhere over the years.
By relying on software, analysis, and market modeling, multichannel advocates believe they can find the optimal approach to the marketplace. But customers decide how they would like to buy, not how the marketer wants to organize and initiate.
Understanding that marketing and marketplace multichannel allocation models must start with customers and prospects is a hard lesson for organizations to learn. But, it’s critical, even in the enlightened 21st Century.
Note: Don E. Schultz is a professor of integrated marketing communications at Northwestern University’s Medill School of Journalism, and president of Agora Inc. in Evanston, Ill.
Issue: Careers in IMC
Source: “Integrated Marketing,” Advertising Age, February 25, 2002, p. 22.
The ideal candidate, the marketplace demands a mixed skill-set. Ten years ago, the graduate-level marketing program at Northwestern University changed its name to Integrated Marketing Communications to serve a marketplace moving toward multidisciplinary marketing tied to corporate strategy and business results rather than merely mass-media creative executions. A decade later, Northwestern’s IMC grads have no trouble finding jobs at a median starting salary of $70,000 or more. Its members tend to become marketing consultants or client-side marketing strategists as opposed to agency employees. There’s no question that agencies, marketers, and clients alike are driving toward integration. The challenge is finding the right people to navigate the course.
Keeping Current
“People who were relevant five or 10 years ago are not relevant today if they haven’t kept themselves current with all of the technology,” said Daniel Morel, chairman-CEO of WPP Group-owned Young & Rubicam’s Wunderman Worldwide. “We’re looking for truly well-rounded, business-minded individuals.”
Digitas, which many industry insiders consider to be one of the few agencies successfully delivering integrated marketing to clients, recruits and develops four categories of employees: marketing technology experts, channel operations specialists, creatives, and relationship managers.
The latter are the most critical and the hardest to find, said David Kenny, chairman-CEO of Digitas. They are “senior people who run each (client) relationship. They have to be general managers and understand the economics of a client’s business—that you have to save money and gain market share simultaneously.”
The link between business strategy and marketing is clear, and agencies are fighting to become full partners with their clients. “For agencies to take a step up the food chain, they’re going to have to be able to do a whole set of things that are traditionally consulting-like exercises,” said Chris Lederer, partner at Helios Consulting, adding that simply building consulting departments within agencies is not the answer. “I don’t think agencies should go hire the MBA stereotype—the bean-counter accountant. They need to hire somebody who marries the marketing skill-set with some of the strategic and analytic skill-sets.”
Consultant-turned-agency head Mark Hodes, managing director of WPP’s OgilvyOne, Chicago, agrees that a good job candidate is someone “who understands the key economic metrics that the boardroom looks at, and is able to translate that data into successful marketing programs.”
IMC grads, for one, understand these economics, recognizing that integrated marketing is the “commitment to measurable results,” said John Greening, VP-director of client services at Omnicom Group’s DDB Worldwide, Chicago, and an associate professor of IMC.
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