Integrated

Marketing
Communication
MMS Semester – IV
(Marketing)
 Reference Text
1. Advertising and Promotion: An Integrated
Marketing Communications Perspective.
George Belch, San Diego University Michael
Belch, San Diego University
2. Advertising Management: Rajeev Batra,
John G. Myers, David A. Aaker
3. Advertising & Sales Promotion: S A
Chunawalla (Himalaya Publishing)
4. Advertising & Sales Promotion: S. L. Gupta
& V. V. Rathna (Sultan Chand & Sons)
 Integrated Marketing
Communication
Total Marks : 100
External : 60 Marks
Internal : 40 Marks
Inclusion & Considerations
Attendance : Not less than 90%
Class Test : Better 1 out of 2 (If possible)
Presentation : Individual Advertising Campaign
Case Study : Presentation
Discipline : Sincerity & Obedience
Participation : Effective
 Communication
 Communication has been derived from Latin word
1. “Communicare” meaning to share or to make common
OR
2. “Communis” means common
 Communication is basically exchange of facts, ideas,
views and feelings between two or more individuals
 Communication is a transfer of information and mutual
understanding from person to person
 It is a way of reaching others by transmission of ideas,
facts, thoughts, feelings and values
 It also includes postures and gestures that conveys some
meanings
Basic Communication
Process
 Types of Business Communications
Types of Characteristics Characteristics Characteristics Characteristics
Communication Complexity Contact Feedback Time Adjustments

Mass High Low Long Low

Communication

Interpersonal Low High Short High

Communication

Organizational
Communication
Moderate Moderate Moderate Moderate

Public
Communication
High Low Long Moderate
 Integrated Marketing Communications
 It is a management concept
 It involves all aspects of marketing communications
 It is directed towards market mechanism
 It involves all promotional activities such as,
♦ Advertising
♦ Public Relations
♦ Publicity
♦ Sales Promotions
♦ Personal Selling
♦ Direct Marketing
 It works as a unified force
 It ensures that all forms of marketing communications and
messages are linked together
 Integrated Marketing Communication
 It is a concept to recognize the additional value of a
comprehensive plan to evaluate the strategic roles of a variety of
marketing communication disciplines.
 It is a process to utilize all possible forms of marketing promotion
to achieve optimal communication impact.
 It is to integrate all marketing planning and promotional program to
coordinate the various desired communication functions.
 It is to connect entire marketing and promotional activities to
project a consistent and unified image to the audience (customer
centric), stakeholders and at the market.
 It follows a common theme and positioning criteria.
 It supports in managing CRM and enhancing brand value through
cross functional communication processes through harmony.
 It avoids true duplication and maximizes ROI in marketing and
promotions.
 Integration
 Horizontal Integration: Across the marketing mix
(Production, Finance, Distribution and Communications)
and across business functions (Sales and Advertising
through MIS for data integration)
 Vertical Integration: The marketing and communication
objectives must support the higher level of corporate
objectives and corporate missions.
 Internal Integration: To keep all staff informed and
motivated about any new developments for new
advertisement, new corporate identification, new service
standard, new strategic partners and so on.
 External Integration: External partners such as
Advertising and PR agencies, business associates,
courier, insurance etc. to work closely together to deliver a
single seamless solutions.
 Requisites (Components) for IMC
 The Foundation: It is strategically understanding of the product,
market and situation. It includes changes in technology, buyer
attitudes, behavior and anticipated moves by competitors.
 The Corporate Culture: It adds value and benefits to the brand and
communicates accordingly with the world at large.
 The Brand Focus: This includes the logo, tagline, style, core
message or any corporate identity stuff.
 The Consumer Mindset: It involves product design, its packaging,
experience and overall product outcome.
 The Communication Tools: It comprise of all modes of advertising,
direct marketing and digital and social media communications.
 The Promotional Tools: This incorporates trade promotions,
consumer promotions, personal selling, database marketing, CRM,
Public Relations and sponsorship programs.
 The Integration Tools: The software that enables the tracking of
consumer behavior and the campaign effectiveness. It includes CRM
software, web analytics, marketing and sales automation
Features of Integrated Marketing Communications
 IMC is focused on knowledge about the offerings
 IMC do not consider what marketers tend to tell to
sell the offering
 IMC involves all promotional and marketing activities
together
 IMC targets both customers and stakeholders
 IMC operates through both online and offline
channels
 Coordination and integration are the vital
components of IMC
 IMC requires consistency and clarity to generate
combined effect for persuasion
 IMC targets to build positive brand perception about
the offerings.
 Advantage and Relevance of IMC
 In formulation of ultimate cumulative advantage
 It creates competitive advantage in boosting sales
 It uplifts profit by saving money, time and stress
 It helps in the buying process of a customer
 It builds a strong brand identity by combined effect of the
message by the components of IMC
 IMC makes message consistent and hence credible
 IMC helps marketers to select the right combination of
promotional mix for maximum impact
 IMC reduces risk to buyers with supplement message
 IMC is cost effective if implemented carefully
 IMC enhances the effectiveness of the efforts
 IMC restricts deviation from the central promotional theme
 IMC gives guarantee to buyers for reminders and updating
Disadvantages and Demerits of IMC
 IMC is a time consuming affair
 IMC requires proper coordination which is
difficult to implement
 IMC restricts creativity in message delivery
 IMC spoils and disturbs the corporate image
 IMC is not restricted to organization and thus
to not have under direct control
 IMC sometimes hampers the organizational
communication policy
 IMC restricts accountability of various
promotional activities
 Objectives of IMC
 To direct and guide the overall promotional efforts
 To identify and analyze the marketing and promotional
issues of the organization or the brand
 It states the various aspects of IMC program to
accomplish
 IMC primarily serves 3 objectives as, promotion,
communication and sales
 Promotional objectives helps in creating and enhancing
awareness
 Communication objectives resides on imparting
knowledge, projecting favourable image, shaping
attitude and stimulating want or the desire
 Sales objectives involves stimulating demand in terms
 Tools for Marketing Communications
► Advertising is to bring a product or service to the attention of
potential and existing customers.
► Promotion keeps the product in the minds of the customer and
helps stimulate demand for the product.
► Public relations includes ongoing activities to ensure the overall
company has a strong public image.
► Publicity is mention in the media. Organizations usually have little
control over the message in the media, at least, not as they do in
advertising.
► Sales involves cultivating prospective buyers; Explaining features,
advantages and benefits of a product or service to the lead; and
coming to agreement on pricing and services.
► Marketing involves in making sure to continue to meet the needs
of customers and delivering value. Marketing is usually focused on
one product or service.
Integration of MarCom Tools
 Marketing Communication Process
Channel / Media

Encoding Decoding

Mes
ge sage
ss a
Me

Sender Receiver
or
Source
Feedback

[Marketing Research Sales Reports]

Marketing Communication Process
 Integrated Marketing
Communications
Public
Advertising Relations

INTEGRATED
MARKETING Personal
Publicity COMMUNICATION Selling
S MIX

Sales Direct
Promotion Marketing
 Components of IMC
ADVERTISING
Specific Characteristics
 Advertising is a means for mass communication
 Non personal presentation about offerings
 It involves a indirect communication channel
 It is a paid form of promotion
 It is for specified time period
 It is by an identified sponsor
 The sponsor holds full control on advertisement
 It is an frequent activity of the IMC
 It is indirectly concerned with sales
 It involves Mission, Message, Media, Money, Market and
Measurement
 Components of IMC
PERSONAL SELLING
Specific Characteristics
 Personal selling involves interpersonal communication
 To match the value of the offering to the specific need
of the customer
 This supports the long standing relations with the
client
 This has paved the way for the CRM
 It uses very few resource of the organization
 Pricing is often decided through negotiation
 Offerings are in general complex in nature
 Relationship extends longer after the happening of the
 Components of IMC
SALES PROMOTION
Specific Characteristics
 This is a means of public communication
 This is to increase and promotion of sales
 It persuade to at least try the product or the service
 Various techniques are applied for sales promotion
 In general it involves originality and creativity
 It has paved the way for CRM
 It helps in identification of the market segment
 It suggest the criteria for message development
 Merchandising is an extension of sales promotion
 Joint promotion are unique features of sales promotion
 Components of IMC
PUBLIC RELATIONS
Specific Characteristics
 This is a means of organizational & public communication
 It aims to generate goodwill among public
 Publics are in general stakeholders for the organization
 It is proactive and future oriented
 The goal of PR is to build and maintain a positive perception
about the organization among its public
 It is an expression of the philosophy and action of an
organization
 It is to engineer public support for an organization
 It is to promote mutual understanding and deals with facts
 It guards against the possible attack by the opponents and
the competitors
 Components of IMC
PUBLICITY
Specific Characteristics
 This is a means of non personal and mass communication
 This is an element and extension of public relations
 It has a significant role in marketing and promotion mix
 It is to place news or info in the media with little or no fee
 It is thus often considered as credible and authentic
 It is partial under control of the sponsor
 It is an important tool for lead generation
 It is an incomplete thus partially controlled communication
process
 Corporate communication is an extension of publicity and
the PR
 Components of IMC
DIRECT MARKETING
Specific Characteristics
 This is a means of interpersonal communication
 It uses direct channel to reach and deliver customers
 It is an interactive system of marketing
 It provides feedback for immediate action
 It uses a number of medium to reach to the prospect
 It is for building a long term relationship through
frequency award and club programs
 It makes possible for selective reach and cost effective
 It takes less time to conceptualize and execution
 It helps in segmenting the market with unique
characteristics
 E-Commerce
 It is an extension of direct marketing
 It provides variety of electronic platform to
conduct transactions – ATM, Pay online etc.
 It also helps in lead generation and increase in
sales volume
♦ Email to prospects
♦ Small news or ad capsules through email to
prospects
♦ Followed by response coupons
 It involves online transaction for products,
services, information and payment using
computers (payment gateways)
 Above The Line (ATL) Promotion
 This means promotion is organized around a wider target
audience and broader variety of consumers.
 This involves mass media like, Print, TV, Radio, OOH, and
Internet.
 It involves one way of communication.
 It is to create a brand identity, brand image and to establish
brand awareness.
 It drives customer response.
 The response rate is difficult to measure.
 It is costly affair for execution.
 In general it is utilized at the introduction and maturity stage of
the product (Awareness and Interest).
 It is sometimes aimed to reinforce the brand.
 It communicates the basic information about the offerings.
 It is sometimes also referred as Mass Marketing (B2C).
 Below The Line (BTL) Promotion
 This suggests promotion is going to target a specific group of
potential customers.
 The prime focus of BTL strategy is to translate leads into
business.
 It includes, sales promotions, public relations, direct mail
campaigns, gift vouchers, text marketing, POP activities,
telemarketing, exhibitions, trade shows, social media
promotions, and sponsorships.
 It targets specific group of segment.
 This is to generate sales and revenue.
 In general it is budget friendly activity.
 It is a typical phenomenon of the growth stage of the product.
 Response rate is easy to measure in BTL.
 It involves two way communication.
 Through The Line (TTL) Promotion
 Due to development in promotional (advertising) technology,
a new term, Through The Line (TTL) began to come in use.
 It is a marketing strategy that is used for campaigns that
seek to achieve brand building as well as direct response
and its conversions.
 It involves a combination of the promotion tactics and a
medium that is used in both ATL and BTL advertising in
order to get better results.
 TTL advertising is digital marketing strategies that offer ATL
advertising benefits while acting as BTL communication to
the customers.
 The impact of the TTL promotion campaign is so intensified
that it recognizes the product and the company is identified
and the brand gets reinforced.
 PUSH Strategy of MarCom
 A push strategy is when marketers use various
forms of communication to directly persuade or
incentivize intermediaries, such as wholesalers,
retailers, or distributors, to promote and sell
product or service to the end consumers.
 The prime objective of a push strategy is to
generate demand and increase sales through
the distribution network.
 Some of the common channels and tactics for a
push strategy are trade shows, sales
promotions, personal selling, trade advertising,
and discounts.
 PULL Strategy of MarCom
 A pull strategy is when marketers use various
forms of communication to directly attract and
engage the end consumers, creating a preference
and demand for product or service that motivates
the intermediaries to stock and sell it.
 The main objective of a pull strategy is to build
awareness, loyalty, and reputation among the
target audience.
 Some of the common channels and tactics for a
pull strategy are mass media advertising, social
media, content marketing, public relations, and
word-of-mouth.
Difference between Push and Pull Strategy
 The key differences between the push and pull strategies in
marketing communications can be seen in their target market,
communication direction, communication focus, communication
timing, and communication budget.
Parameters Push Strategy Pull Strategy
Mostly market intermediaries
Target Audience such as dealers, distributors, End Customers
retailers etc.
More Outbound and mostly More inbound and customer
Communication Direction
product oriented oriented
The focus aims for immediate It aims to build longer
Communication Focus
sale relationship and loyalty.
More cost effective and
Comparatively costly and requires
requires less communication
Communication Budget more effective communication
and with more incentives and
with less incentives and discounts
discounts
Sustained efforts for long term
Communication Timing It involves short term results
results
More aggressive and direct Mostly indirect. Relying on social
Communication Type
using mostly ads and emails media and SEO
 Decision for Pull or Push Strategy
 Choosing a push or a pull strategy depends on various factors, such
as,
• The product or service characteristics
• The market situation
• Competitive advantage and
• Distribution channels
 A push strategy should be employed if product is new or complex, or
if the market is fragmented and price-sensitive.
 A pull strategy is suitable for an established product with high-
involvement and high-differentiation, or in a consolidated and value-
oriented market.
 If the product and market falls somewhere in between these
categories, then to use a combination of both strategies.
 Moreover, if there are both functional and emotional benefits to
competitive advantage or if you have mixed distribution channels,
then it is likely that a combination of push and pull strategies will be
most effective.
 Communication Models (Urban and Rural)
 Avenues in Urban India
 Indoor Advertising: Press Media, Radio, Television, Films
 Outdoor advertising: Posters, Vehicular or Moving Advertising, Bill Boards,
Electric Signs, Sky advertising, Transit Advertising, Sandwich man
 Direct Advertisement: Sales Letters, Envelope/enclosures, Circulars, Stuffers,
Folders, Catalogues, Brochures, Gift Novelties etc.
 Promotional advertising: Point of Purchase Advertising, Window Display,
Interior display, Show rooms, Trade Fairs and Exhibitions, Specialty Advertising
Net Advertising
 Rural India
 Issues: Heterogeneous, religion inclination, dialects, Logistics limitations, Huge
Geographical distances, Lack of infrastructure, Difficulty of last mile connectivity,
Poor media reach, Need for unconventional media, Challenges of
Communication.
 Avenues in Rural India: Wall Paintings, Panchayat, Post office, Swastha
Kendra, Aanganwadi
 Emerging Options: Local Cable TV Network, Postal Network, FM Radio,
Proliferation of large format retail stores, Choupall Sagar, Hariyali Stores, Kisan
Kendra, Shubh Labh Stores, Escorts Stores, Godrej Aadhar, Common Service
Centres (CSCs)
 Models of Communications

 AIDA was presented by Elmo Lewis

 This explains that how personal selling works
 It is segmented into stages to describe the
process of purchase in sequence
 It assume that the customers are aware of the
existence of the product in the market place
 It outlines that the customers remains always
interested in product features and benefits
 This believes that customers desires to get benefit
from product offerings.
 Action is obvious and natural outcome after
moving through first 3 stages
A – AWARENESS / ATTENTION
• This is the first step for a customer to purchase a product
• To provide information relevant to the customer
• Relevant information will appeal for generating self interest
• Illustration, layout , colour, presentation etc may lead to attention
I – INTEREST
• Interest is the ability to awaken and excite a person
• It can be generated by making presentation interesting
• The product is capable to satisfy need and offers a unique benefit
• It is perceived somewhat different & improved from the existing one
D – DESIRE
• Desire is created when a person waits and fells bad when lacks
• When the claims are perceived as credible and authentic
• When the presentation is superior to the competing product (Appeal)
• An assurance that the product purchase is not a risky affair
A – ACTION
• It converts prospects to actual buyer
• Provide complete information about the product to decide
• Provide place of availability of the product to purchase
• To help customer to remember product, brand and company name
 Models of Communications

 Hierarchy of Effect model was presented by

Lavidge and Steiner
 This explains the measurement of advertising
effectiveness and its dimension
 It involves six stages from unaware about the
product and its purchase decision
 It represents the social psychology concept of
the attitude
 The first 2 components represents the thinking,
the next 3 reflects feeling and the last
component denotes the behavoir of the attitude
AWARENESS
• The target is unaware and the task is to build awareness
• Just the name recognition and its repetition
• To make the name in notice of the consumer to capture attention

KNOWLEDGE
• To educate the less aware customer
• This involves creating brand, product and company knowledge
• It revolves around specific appeals, benefits and the USP
LIKING
• It estimates the feeling about the offering
• It may be favourable or unfavourable for the offering
• If the problem is real, first fix the problem and then re-communicate
PREFERENCES
• May like the product but not prefer to buy
• To promote quality, value. benefit, performance and other features
• To measure audience preference before and after the campaign
CONVICTION
• A conviction / confidence for the product but not a intention to buy
• To build a conviction for the product
PURCHASE
• Supply more information to act to try out at least by promotional offerings
 Models of Communications

 The Innovation Adoption Model involves 5 steps to

complete
 This highlights the purchase of a innovative product
and not a invented product
 The prospects remains aware about the offerings but
expects improvement over time
 The action of the customer may be marked as
Innovators, Early Adopters, Early Majority, Late
Majority and Laggards
 It represents the stages through which a consumer
passes to purchase in sequence as,
 Models of Communications
 The Information Processing Model has been developed
by psychologist William McGuire
 This model focuses on sequential steps essential for
successful influence in changing the attitude of a person
 To change the attitude of the prospect one must hold the
attention first and the prospect in return must
understand the message in response
 After a thoughtful argument they must come to a
decision – the final step in the attitude change.
 This model assumes that the receiver remain in a
influential communication situation.
 Presentation Attention Comprehension Or Understanding
Behaviour Retention (Duration) Yielding (acceptance)
 An Analysis of Comparison
AIDA HIERARCHY INNOVATION INFORMATION
OF ADOPTION PROCESSING
STAGES MODEL
EFFECT MODEL
MODEL
MODEL
Cognitive
Stage Attention Awareness Awareness Presentation
[Information knowledge / Attention
Search]
Comprehension
Affective Interest and Liking Interest Yielding
Stage Desire Preference Evaluation Retention
Conviction

Behavioral Action Purchase Trial Behaviour

Stage Adoption