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1 Chapter One

Integrated Marketing Communications

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• What ads do you recall about

surfing and surf boards?

• How do the ads depict surfing?

• How would you evaluate Ron

Jon’s web site?

• What do you think of their logo?

1 Surfing !

Ron Jon Surf Shop

Http://www.ronjons.com

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Chapter Overview

• Highly competitive global marketplace.

• Wide variety of media available for communications.

• Clear communications needed.

• Emerging trends. • Accountability.

• Change in roles of account executives, creatives and brand managers.

• Development of alternative media.

Integrated

Marketing Communications

1

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F I G U R E 1 .2

Communication Process

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• Which advertisement attracts your attention the most?

• Which advertisement is the least appealing?

• How important is the brand name in each ad?

• What is the message of each individual advertisement?

• What makes each advertisement effective?

• What are the pros and cons of each advertisement?

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E X H I B I T

Shoe Advertisements

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Comparing the Advertisement to the Web Site

• Reebok (http://www.reebok.com)

• New Balance (http://www.newbalance.com)

• Nike (http://www.nike.com)

• Adidas (http://www.adidas.com)

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F I G U R E 1 . 2 Possible Noise in Watching

a TV Advertisement

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Advertising Clutter

• How many ads were you exposed to during the last 24 hours from the following media? – Television

– Radio

– Magazines

– Newspapers

– Billboards

– Internet Web sites

• How many ads can you recall from each of the above media?

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Integrated Marketing Communications is the coordination and integration of all marketing communication tools, avenues and sources within a company into a seamless program which maximizes the impact on consumers and other end-users at a minimal cost. The IMC includes all business-to-business, channel, customer, external communications and internal communications.

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Phillip Franznick,

President/Partner of

FD & B Advertising Agency

talks about the change in

advertising agencies to

integrated marketing

communication agencies.

Click image to play video.

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F I G U R E 1 . 4

Traditional Marketing Mix

Product Price Promotion Distribution

Advertising Sales Promotions Personal Selling

Database

Marketing

Direct

Marketing

Sponsorship

Marketing

Internet

Marketing

Guerilla

Marketing

Alternative

Marketing

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• Situation analysis.

• Marketing objectives.

• Marketing budget.

• Marketing strategy.

• Marketing tactics.

• Evaluation

F I G U R E 1 . 5

The Marketing Plan

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F I G U R E 1 . 6

Integrated Marketing Communication Plan

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Four Stages in

Cultivating an IMC System

Stage 1: Identify, coordinate and manage all

forms of marketing communications.

Stage 2: Communications are examined from

perspective of customers.

Stage 3: Apply information technologies to

the IMC program.

Stage 4: Customer data information and

insights used in corporate strategic planning.

[American Productivity & Quality Center]

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• Information technology

• Changes in channel power

• Increase in competition (global competitors)

• Brand parity

• Integration of information

• Decline in effectiveness of television advertising.

F I G U R E 1 . 8 Trends Impacting Integrated Advertising and

Marketing Communications

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F I G U R E 1 . 9

U.S. Online Retail Sales

Apparel

7%

Appliances

3%

Auto & parts

8%Computer

hardw are/softw are

8%

Consumer electronics

5%

Other

19%

Food/beverages

3%

Home furnishings

5%

Music/videos

4%

Toys/video games

3%

Travel

35%

Source: Adapted from “U.S. Online Retail Sales,” Digital Marketing & Media Fact Pack,

Advertising Age, Crain Communications, Inc. (2007), p. 34.

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F I G U R E 1 . 10

Market Share – Top Brands in Running Shoe Industry

Adidas, 13.2%

Asics, 13.3%

Avia, 1.7%

Brooks, 1.7%

New Balance,

17.8%

Nike, 46.2%

Other, 2.1%

Reebok, 2.3%

Saucony, 1.7%

Source: Adapted from Matt Powell, “A Steady Stride,” SCB, Vol. 39, No. 11 (November 2006), p. 15.

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F I G U R E 1 . 11

Why Viewers Do Not Watch Ads

0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%

Seen ad a lot

Ad annoying

Ad boring

Ads are on

Turn to another program

Program is boring

I'm bored

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Global Integrated

Marketing Communications

• Goal – to coordinate marketing efforts

• Greater challenge due to national and cultural

differences

• Standardization vs Adaptation.

• “Think globally, but act locally.”