Principles Of Marketing (Arab World Edition) PDF, 2011

Principles of Marketing, Arab World Edition Philip Kotler, Gary Armstrong, Anwar Habib, Ahmed Tolba Presentation prepared by Annelie Moukaddem Baalbaki CHAPTER ELEVEN Communicati...

Principles of Marketing, Arab World Edition Philip Kotler, Gary Armstrong, Anwar Habib, Ahmed Tolba Presentation prepared by Annelie Moukaddem Baalbaki CHAPTER ELEVEN Communicating Customer Value: Integrated Marketing Communications Strategy L. Sarah Alrabeeah Ch 11 -# Copyright © 2011 Pearson Education  Chapter Learning Outcomes Topic Outline 11.1 The Promotion Mix 11.2 Integrated Marketing Communications 11.3 A View of the Communications Process 11.4 Steps in Developing Effective Marketing Communications 11.5 Setting the Total Promotion Budget and Mix 11.6 Socially Responsible Marketing Communications Ch 11 - 1 Copyright © 2011 Pearson Education  The Promotion Mix Marketing Communication Mix The promotion mix or marketing communication mix is the specific blend of advertising, public relations, personal selling, and direct-marketing tools that the company uses to persuasively communicate customer value and build customer relationships. Ch 11 - 2 Copyright © 2011 Pearson Education  The Promotion Mix Major Promotion Tools Advertising is any paid form of non-personal presentation and promotion of ideas, goods, or services by an identified sponsor. Broadcast Print Internet Outdoor Ch 11 - 3 Copyright © 2011 Pearson Education  The Promotion Mix Major Promotion Tools Sales promotion is the short-term incentives to encourage the purchase or sale of a product or service. Discounts Coupons Displays Demonstrations Ch 11 - 4 Copyright © 2011 Pearson Education  The Promotion Mix Major Promotion Tools Public relations involves building good relations with the company’s various publics by obtaining favorable publicity, building up a good corporate image, and handling or heading off unfavorable rumors, stories, and events. Press releases Sponsorships Special events Web pages Ch 11 - 5 Copyright © 2011 Pearson Education  The Promotion Mix Major Promotion Tools Personal selling is the personal presentation by the firm’s sales force for the purpose of making sales and building customer relationships. Sales presentations Trade shows Incentive programs Ch 11 - 6 Copyright © 2011 Pearson Education  The Promotion Mix Major Promotion Tools Direct marketing involves making direct connections with carefully targeted individual consumers to both obtain an immediate response and cultivate lasting customer relationships—through the use of direct mail, telephone, direct-response television, e-mail, and the Internet to communicate directly with specific consumers. Catalog Telemarketing Kiosks Ch 11 - 7 Copyright © 2011 Pearson Education  Integrated Marketing Communications The New Marketing Communications Landscape Consumers are better informed More communication Less mass marketing Changing communications technology Ch 11 - 8 Copyright © 2011 Pearson Education  Integrated Marketing Communications The Shifting Marketing Communications Model The explosive developments in communications technology and changes in marketer and customer communication strategies have had a dramatic impact on marketing communications. Many large advertisers are shifting their advertising budgets away from network television in favor of more targeted, cost-effective, interactive, and engaging media. Ch 11 - 9 Copyright © 2011 Pearson Education  Integrated Marketing Communications The Need for Integrated Marketing Communications Integrated marketing communications is the integration by the company of its communication channels to deliver a clear, consistent, and compelling message about the organization and its brands. Ch 11 - 10 Copyright © 2011 Pearson Education  Integrated marketing Communications Ch 11 - 11 Copyright © 2011 Pearson Education  A View of the Communication Process- (pg. no. 307) Ch 11 - 12 Copyright © 2011 Pearson Education Sender is the party sending the message to another party. Encoding is the process of putting thought into symbolic form. Message is the set of symbols the sender transmits. Media is the communications channels through which the message moves from sender to receiver. Decoding is the process by which the receiver assigns meaning to the symbols. Receiver is the party receiving the message sent by another party. Response is the reaction of the receiver after being exposed to the message. Feedback is the part of the receiver’s response communicated back to the sender Noise is the unplanned static or distortion during the communication process, which results in the receiver’s getting a different message than the one the sender sent.  Steps in Developing Effective Marketing Communications Ch 11 - 14 Copyright © 2011 Pearson Education  Steps in Developing Effective Marketing Communications 1- Identifying the Target market Ch 11 - 15 Copyright © 2011 Pearson Education  Steps in Developing Effective Marketing Communications 2- Determining the Communication Objectives Marketers seek a purchase response that results from a consumer decision-making process that includes the stages of buyer readiness. Ch 11 - 16 Copyright © 2011 Pearson Education  Steps in Developing Effective Marketing Communications 2- Determining the Communication Objectives  Steps in Developing Effective Marketing Communications 3- Designing a Message AIDA Model: Get Attention, Hold Interest, Arouse Desire, Obtain Action When putting the message together, the marketing communicator must decide: What to say ( message content ) How to say it ( message structure and format ) Ch 11 - 18 Copyright © 2011 Pearson Education  Steps in Developing Effective Marketing Communications 3- Designing a Message Message content is an appeal or theme that will produce the desired response. Rational appeal relates to the audience’s self-interest. Emotional appeal is an attempt to stir up positive or negative emotions to motivate a purchase. Moral appeal is directed at the audience’s sense of right and proper. Ch 11 - 19 Copyright © 2011 Pearson Education  Steps in Developing Effective Marketing Communications 3- Designing a Message Message Structure: Do they draw a conclusion or leave it to the audience? Do they present the strongest arguments first or last? Is the message one sided (strengths only) or two-sided? Ch 11 - 21 Copyright © 2011 Pearson Education  Steps in Developing Effective Marketing Communications 3- Designing a Message Message Format: Color, text, copy, images, headline, illustration, color, message size and position, body language… Ch 11 - 22 Copyright © 2011 Pearson Education  Steps in Developing Effective Marketing Communications 4- Choosing Media Personal communication involves two or more people communicating directly with each other. Face to face Phone Mail E-mail Internet chat Ch 11 - 23 Copyright © 2011 Pearson Education  Steps in Developing Effective Marketing Communications 4- Choosing Media Personal communication is effective because it allows personal addressing and feedback. Control of personal communication Company Independent experts Word of mouth Ch 11 - 24 Copyright © 2011 Pearson Education  Steps in Developing Effective Marketing Communications Choosing Media: Personal Communication Opinion leaders are people within a reference group who, because of their special skills, knowledge, personality, or other characteristics, exert social influence on others. Buzz marketing involves cultivating opinion leaders and getting them to spread information about a product or service to others in their communities. Ch 11 - 25 Copyright © 2011 Pearson Education  Steps in Developing Effective Marketing Communications Non-Personal Communication Channels Non-personal communication is media that carry messages without personal contact or feedback, including major media, atmospheres, and events that affect the buyer directly. Ch 11 - 26 Copyright © 2011 Pearson Education  Steps in Developing Effective Marketing Communications Non-Personal Communication Channels Major media include print, broadcast, display, and online media. Atmospheres are designed environments that create or reinforce the buyer’s leanings toward buying a product. Events are staged occurrences that communicate messages to target audiences: press conferences, grand openings, exhibits, public tours. Ch 11 - 27 Copyright © 2011 Pearson Education  Steps in Developing Effective Marketing Communications 5- Selecting the Message Source The message’s impact on the target audience is affected by how the audience views the communicator. Celebrities Athletes Entertainers Professionals Health care providers Ch 11 - 28 Copyright © 2011 Pearson Education  Steps in Developing Effective Marketing Communications 6- Collecting Feedback The communicator must research the effect of the message on the target audience by measuring the behavior resulting from the message. Ch 11 - 29 Copyright © 2011 Pearson Education  Setting the Total Promotion Budget and Mix Setting the Total Promotion Budget Ch 11 - 30 Copyright © 2011 Pearson Education  Setting the Total Promotion Budget and Mix Setting the Total Promotion Budget 1- Affordable budget method sets the budget at an affordable level. Ignores the effects of promotion on sales. Ch 11 - 31 Copyright © 2011 Pearson Education  Setting the Total Promotion Budget and Mix Setting the Total Promotion Budget 2- Percentage of sales method sets the budget at a certain percentage of current or forecasted sales or unit sales price. Easy to use and helps management think about the relationship between promotion, selling price, and profit per unit. Wrongly views sales as the cause rather than the result of promotion. Ch 11 - 32 Copyright © 2011 Pearson Education  Setting the Total Promotion Budget and Mix Setting the Total Promotion Budget 3- Competitive-parity method sets the budget to match competitor outlays. Represents industry standards Avoids promotion wars Ch 11 - 33 Copyright © 2011 Pearson Education  Setting the Total Promotion Budget and Mix Setting the Total Promotion Budget 4- Objective-and-task method sets the budget based on what the firm wants to accomplish with promotion and includes: Defining promotion objectives Determining tasks to achieve the objectives Estimating costs Ch 11 - 34 Copyright © 2011 Pearson Education Shaping the Overall Promotion Mix Ch 11 - 35 Copyright © 2011 Pearson Education Socially Responsible Marketing Communication Public policy: Rules and regulations Advertising and sales Promotion Avoid deceptive or false advertising Avoid bait-and-switch advertising Conform to all regulations and legislation Ch 11 - 36 Copyright © 2011 Pearson Education Socially Responsible Marketing Communication Public policy: Rules and regulations Personal Selling Follow rules of “fair competition” Do not offer bribes Do not attempt to obtain competitors’ trade secrets Do not disparage competitors or their products Ch 11 - 37 Copyright © 2011 Pearson Education