1.
Communication
• Communication is the process of transmitting message and meaning from one person to
another. It involves flow of information and understanding between sender and receiver.
• Integrated Marketing Communication (IMC) is the co-ordination and integration of all marketing
communication tools, avenues and sources to maximize the impact on audience with minimum
cost.
Stages of IMC
• Stage 1: Identify, co-ordinate and manage all form of external communication to bring unified
focus to the company’s brand.
• Stage 2: Co-ordinate external communication with the internal communication
• Stage 3: Apply information technology in the program
• Stage 4: Treat IMC as an investment
Growing Value of IMC
• Information Technology
• Changes in channel power
• Increase in competition
• Brand Parity – consumer are offered with wide choices of brand with almost identical attributes
and benefits
• Integration of information
• Decline in the effectiveness of mass media advertising
• Globally integrated marketing communication (GIMC)
Communication Structure
• Internal (within the company) – External (company with stakeholders)
• Direct (pull –company to customers) – Indirect (push-through channel members)
• Formal – Informal
– Formal: downward, upward, two-way, horizontal. Diagonal
– Informal: single strand, gossip, probability, cluster
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Communication Process
Role of Communication in marketing
• Information – about product’s existence, price, benefit and availability, develop awareness
• Persuasion – to make purchase decision in favor of company’s brand, stimulate product demand
• Reminding – remind customer about brand’s availability and its potential to satisfy need
• Reinforcement – reassure customers about product benefit, reduces anxiety, brand loyalty
• Image Building – helps in differentiating and positioning of product, promotes brand loyalty
Communication Marketing Mix
• Advertising – indoor, outdoor, direct, display
• Publicity and public relation – public service, sponsorship, exhibits, lobbying
• Sales promotion – sample, coupons, premium, rebates, free goods, discounts, gifts
• Personal Selling – sales person
• Direct Marketing – Face to face, mail order, telemarketing, internet, email/online
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Developing effective Communication
• Identify Target audience – potential buyers, current buyers, influencers, individuals, group or
general public; profile their demographic, psychographic characteristics and media habits
• Determine communication objectives – informing, reminding, persuasion, re-enforcing; seek
cognitive, affective and behavioral response
• Select creative platform – decide on message design, structure, format, source
• Select channels- personal (advocate, expert & social) & non personal (media & events)
• Establish budget – set limit for spending, choose proper method for allocation
• Decide marketing communication mix
• Measure communication results – communication, revenue, cost
2. Advertising
• Advertising is any paid form of non-personal presentation of goods, service or ideas for action,
openly paid for by an identified sponsor
Key Players in Advertising
• Advertiser
• Ad agency
• Media
• Vendors – service organizations assisting above three players
• Target audience
Elements of Advertising
• Mission – information, persuasion, reminder, reinforcement
• Money – development, production, media and admin costs
• Message
• Media – indoor, outdoor, direct, display
• Measurement – communication, sales, cost
Objectives of Advertising
• Information
• Persuasion
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Reminder
Reinforcement
Image building
Meet competition
Help other promotion tools
Evolution of Advertising
Early stage (up to 1440) – word of mouth, handwritten signs and symbols
Printed stage (1441 – 1900) – mass production of advertising, posters, pamphlets, newspapers
Broadcast stage (1901 – 1970) – radio, TV, full color printing
Information technology Stage (1970 – present) – cable networks, internet, online computer
Types of Advertising
Producer Ad
– Consumer ads, trade ads, PR ads
Reseller Ad
Individual Ad
Government Ad
Group Ad
Procurement ads, public awareness ads
Social Ad
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3. Advertising Business
Organization System
• In house advertising Agency – created in organization structure
• Merits: cost savings, control, co-ordination
• Demerits: experience, objectivity, flexibility
• Centralized – ad department is created
• Merits: communication, specialization, Decision making, co-ordination, cost-effective
• Demerits: Sub-optimization, delayed decisions, adaptation, unsuitable
• Decentralized – advertising organized according to product line or brand
• Merits: Adaptation, mgmt attention, diversification, motivation
• Demerits: Duplication, co-ordination, conflicts, poor mgmt
Role of Advertising Manager
• Planning and Budgeting
• Implementation
• Hiring an ad agency
• Co-ordination and information
• Measurement
• Creative thinking
Functions of Ad department
• Planning and Budgeting
• Advertising creation
• Media selection
• Ad agency selection
• Market Research
• Effectiveness Measurement
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Organization Structure of Ad department
• Function: Copywriting, artwork, production, media
• Product: Consumer, Industrial, electronics
• Geographical: eastern, western, central
• Media : Print, broadcast, visual, internet
• End user: consumer, institution, industrial
Ad-agency
Independent organization composed of creative and business people who develop, prepare and
place advertising in media for sellers seeking to find customers for their goods and services
Functions of Ad agency
• Planning
• Creative
• Media
• Research
• Client account
• Economy and excellence
• Expert viewpoint
Organization structure of ad agency
a. Client Account Service – manage client relation
b. Creative Service – create and produce ads
c. Media Service – media selection, scheduling and placement of ads
d. Research Service – carry out various research
e. Administrative Service – concerned with HR, administration and financial service to run ad-
agency
Selection of Ad agency
• Suitability
• Confidentiality
• Capacity
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• Creativity
• Record
• Reputation
• Management
• Costs
4. Advertising Appeals
Types of Appeals
• Rational Appeal
• Economy, Service, quality, convenience, comfort and comparative
• Emotional Appeal
• Positive: humor, beauty, love, pride and prestige, joy and thrill, sex
• Negative: Fear and Others (anger, pain, jealousy etc)
• Moral Appeal
• Environment protection, human right, tax payment, anti smuggling, CSR etc
• Combination Appeal
Buying Motives
• Rational: based on reason and judgment
• Emotional: based on feeling and attitude
• Patronage: Patronizing a particular store based on its location, ease of access, familiarity etc
Essentials of Good Appeal
• Sound theme – should have a key idea
• Communicable – should be transmittable
• Interesting – should arouse interest
• Credible – should be believable
• Complete – provide all necessary information
• Truthful – shouldn’t exaggerate facts & claims
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5. Message Design
Methods of Developing Creative Ideas
• Incubation - gather info, forget digested info, big idea appears out of nowhere
• Lateral Thinking – ideas turned upside down, out of box thinking
• Storytelling – introduce character, identify problem, offer solution in the form of short story
• Brainstorming – group creativity, criticism & rejection of ideas not allowed, best idea selected
• Free Association – start with keyword, describe whatever pops up, combination of unrelated
words, select useful ideas
Approaches to Message Design
• Unique Selling Proposition – unique product attribute
• Brand Image – image identity for a brand
• Positioning – superiority of product over competitor’s
• Resonance – experience and emotion related with past memories of customer
Elements of Message Design
• Message content – what to say? Ideas n themes, persuasions, USPs
• Message layout – How to say? presentation in terms of headline, body, visuals n symbols
• Message source – Who is to say? Source from which message originates.
4 Ps of Message design
• Personal
• Powerful
• Permanent
• Performance
AIDA Model
• Attention: layout important. Size, graphics and color attract attention
• Interest: headline should motivate further reading, emphasize feature, benefits
• Desire: ad appeal, evidence based testimonials, facts & figure create desire
• Action: should translate desire into action, most important part
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HOE model
• Awareness – ad message build awareness
• Knowledge – gathers info about features, benefits of product
• Liking – feeling of liking or not liking of the product
• Preference – over competing product
• Conviction – believes product is good to buy
• Purchase – closes sale by making purchase
Factors to be considered in Message Design
• Target audience
• Ad objective
• Nature of product
• Media vehicles
• Unique Selling Proposition
• Product Positioning
• Message Presentation
6. Visualization and copywriting
Process of Visualization
• Immersion – orientation, preparation and analysis, gets acquainted with company and product,
target market
• Ideation – looks at problem from every angle, ideas are developed
• Incubation – sitting on ideas, subconscious mind is allowed to work
• Illumination – ideas come at unexpected moments from nowhere
• Verification – experimented, pre-tested and verified
Qualities of a creative Visualizer
• Vision
• Curiosity
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• Patience
• Language clarity
• Expression
• Thought Connections
Components of Copywriting
• Copy thinking – conceptualization of big idea into rough sketch work
• Copy structure – Headline and subheading, body text, slogan, Identification
• Copy Style – how to say? Need to have power of expression, should be attractive and appealing
Types of ad-copy
Educational – educates about proper use of product
o Introductory or Missionary
Scientific – explains technical specifications of product, features and benefits
Descriptive – describes product attributes and benefits in non-technical manner
Comparative – compares one product with another
Questioning – put forward questions to emphasize certain products
Endorsement – uses role model to endorse the product
Human Interest – appeals to emotions and sense of target audience
o Humor, Fear, Narrative, Predicament, Musical copy
Reason why – explains several reasons for purchasing the product
Institutional – aims to build the image and prestige of the company
Suggestive – provides suggestions to target audience
o Direct and Indirect suggestive copy
Prestige – creates prestige image of the copy
Features of a good ad copy
• Brief
• Specific
• Focus
• Personal
• Variety
• Honesty
• Confirmity
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Structure of ad copy
• Headline
• Sub-heading
• Body text
• Slogan
• Illustration
• Identification
7. Advertising Layout and Artwork
Types of Layout
• Thumbnail Layout
• Rough layout (visuals)
• Comprehensive Layout (Comp)
• Mechanical layout
Functions of ad layout
• Organize copy element
• Bring together copywriter and artists
• Enable advertiser to foresee ad
• Guide specialists
• Estimate costs
Principles of Good Layout
• Principle of Balance – deals with visual weight distribution. Formal and Informal balance
• Principle of Rhythm – concerned with eye(gaze) movement
• Principle of Emphasis/Contrast – important elements in ad should be properly emphasized
• Principle of Proportion – proportion in terms of division of space; ratio of length and width
• Principle of Unity – each element should support and reinforce another, provides oneness
• Principle of Simplicity – should be simple to provide clarity and comprehension
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Artwork Types
• Photographs
• Illustrations
– Pencil, line, wash, scratch-board, computer aided drawings
Principles of good typography
Internal Influences
Legibility
Harmony
Contrast
Atmosphere
Types of Printing Process
• Letter Press – relief printing, metal printing plate on large round drum, ink on raised surface
transferred to paper
• Lithography – offset printing, Zn or Al plate made from –ve is attached to cylinder, the image is
offset to blanket cylinder and into paper
• Gravure – transfer ink from etched metal surface, opposite of letter press
• Screen Print – stencil process, requires no plate
• Desktop Publishing – print from desktop printer
8. Color and Special Effects in Advertising
Qualities of color
• Hue – one from another
• Value – Extent of brightness or darkness
• Chroma - intensity
Functions of Color
• Attract attention
• Provide realism
• Establish moods
• Build brand identity
• Suggest ideas
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Limitations of Color
• Cost
• Suitability
• Distinctiveness
Special Effects
• Color
• Computer touched photo
• Trick photography
9. Media Planning, Selection and Scheduling
Media Planning Steps
• Conduct Target Customer Analysis
• Establish ad objectives
• Make media mix decisions
• Allocate budget for media
• Schedule ads in media
Media Research
• Define Need
• State objectives
• Develop Research Plans
– Source of data
– Research techniques
– Sampling
– Contact methods
– Statistical tools
• Collect Data
• Analyze Data
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• Report Findings
Role of Media Research
• Media Identification
• Ad Budgeting
• Media Selection
• Ad Efficiency
• Media Strategy
Forms of Media
• Indoor Media
– Newspaper, magazine, radio, tv, cinema
• Outdoor Media
– Billboards n outdoor displays (posters, wall painting, banners, aerial ads, electric signs,
sandwich man, travelling displays)
• Display Media
– Point of Purchase (windows, shelf, counter) showroom, exhibition
• Direct Media
– Internet, Direct mail, Gift Samples
Factors Affecting Media Choice
• Ad Objectives
• Nature of Product
• Type of Customers
• Nature of Ad message
• Coverage of media
• Impact of media
• Cost of media
• Competitors’ Choice
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Media Scheduling
• Continuity – continuous pattern without a gap
• Concentration – with one selling season or during a festival
• Flighting – intermittent period of advertising and non-advertising
• Pulsing – combines continuity and flighting method, maintains continuity but steps ups
advertising at certain times
10. Ad Budgeting
Items of Expense in Ad Budget
• Media Costs – media mix and scheduling
• Ad Construction Cost – visualization, copywriting, layout and production of ads
• Ad agency Cost – service charged
• Ad department Cost – in house department
• Ad Research Cost – media and other research
Ad Budgeting Procedure
• Budget Preparation
– Marketing comm. Plan
– Ad appropriation
– Allocation to itemized expenses
• Budget approval
• Budget Implementation
• Budget Control
– Expenditure control
– Commitment Control
– Management control
Factors Affecting Size of Ad budget/budget size
• Ad objective and strategies
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• Market coverage desired
• Stage in PLC
• Nature of product
• Fund Availability
• Competitors’ spending
• Media mix
• Role of advertising
• Approach to advertising
• Environmental Forces
Ad appropriation Methods
• Percentage of Sales method – past of future
• Affordable method – set ad spending arbitrarily, what is affordable, leftover amnt
• Competitive parity method – meet the competition
• Incremental Method – increase every year
• Objective and Task Method – set objective, set tasks to achieve objective, set costs for each
task, sum them
• ROI method – ad spending as a long term investment to gain return
11. Advertising Effectiveness
Principles of Ad effectiveness
• Visual Consistency
• Appropriate duration
• Slogan Repetition
• Consistent positioning
• Simplicity
• Unique Selling point
• Clutter
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Areas to be Tested
• Market
• Message
• Media
• Motives
• Overall results
Types of Ad Evaluation
Pre-test Evaluation
• Consumer Surveys
• Ranking
• Paired Comparison
• Checklist
• Inquiry test
• Portfolio test
• Lab test
• Eye movement camera
• Perceptoscope – records changes on pupil of eyes
• Psycho-galvanometer – measures changes in amt of perspiration
• Tachistoscope - timing device to regulate viewing time of ad
Post-test Evaluation
• Recognition Test
• Recall Test
• Aided
• Unaided
• Sales Test
• Inquiry Test
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