Topic 1 Introduction To IMC

Topic 1 Introduction to IMC
Learning Objective # 1: How does communication take place?
The Nature of Communication
Communication is defined as transmitting, receiving, and processing information. The parts of a

communications model are displayed in Figure 1.1. Components that should be discussed include:
• Sender—the person(s) attempting to deliver a message or idea.
• Encoding processes—the verbal (words, sounds) and nonverbal (gestures, facial
expression, posture) cues that the sender utilizes in dispatching the message.
• Transmission device—all of the items that carry the message from the sender to the
receiver.
• Decoding—takes place when the receiver employs any set of his or her senses (hearing,
seeing, feeling, etc.) in the attempt to capture the message.
• Receiver—the intended audience for a message.
• Feedback—information the sender obtains from the receiver regarding the receiver’s
perception or interpretation of a message.
• Noise—anything that distorts or disrupts a message.
Figure 1.1. A Model of Communication

A message, from a company such as KFC, is being prepared by the Sender.
Encoding processes include all of the verbal and nonverbal cues that are part of the marketing
message.
Messages travel to audiences via various transmission devices, such as a television, billboard,
Sunday paper with a coupon, or a letter to the purchasing agent of a large retail store.
Decoding occurs when the receiver’s (consumer’s) senses are touched in some way by the message.
Feedback occurs through inquiries, trips to the store, and purchases.
Noise is all of the factors that prevent the consumer from seeing the message. A classic example is
clutter, which exists when consumers are exposed to hundreds of marketing messages per day, and
most are tuned out.
Question:
Can you think of additional examples of noise in advertising or marketing communications?
Integrated Marketing Communications

Integrated marketing communications (IMC) is the coordination and integration of all marketing
communication tools, avenues, and sources in a company into a seamless program designed to
maximize the impact on customers and other stakeholders. The program should cover all of a firm’s
business-to-business, market channel, customer-focused, and internally-directed communications.
The marketing mix consists of:

1. Products
2. Pricing systems
3. Distribution systems
4. Promotional programs
The promotions mix consists of:

• Advertising
5. Sales promotions (including consumer and trade promotions)
6. Personal selling activities
The IMC promotions mix also includes:

7. Database marketing
8. Direct response marketing
9. Online marketing
10. Social media
11. Guerilla marketing
12. Alternative marketing
13. Public relations programs
Lists the primary steps required to complete a marketing plan. They include:
1. Situational analysis (examining problems and opportunities in the organization’s external

environment and strengths and weaknesses in the firm itself).
2. Defining marketing objectives (sales, market share, competitive position, and customer
actions desired).
3. Budget preparation.
4. Finalizing marketing strategies and tactics
5. Evaluation of performance.
Learning Objective # 3: Are there any new trends affecting marketing communications?
An Integrated Marketing Communications Plan
Emphasis on Accountability and Measurable Results

Advertising agencies are expected to produce tangible outcomes. Promotional dollars must be spent
carefully.
Many companies have become less inclined to rely on 30-second television spots. Instead, alternative
communication venues and methods are combined with special events where names, profiles, and
addresses of prospective customers can be collected and tracked.
Changes in Tasks Performed

The first person facing new job responsibilities is the account executive who is employed by an
advertising agency (see Figure 1.6) and oversees advertising and promotional programs for client
companies. Growing demand for accountability means the account manager carefully examines each
marketing campaign and look to provide evidence of success to show prospective clients.
The brand or product manager oversees a specific brand or line of products for the client company.
The brand manager organizes the activities of multiple individuals and agencies while integrating each
marketing campaign.
Creatives are the people who develop the actual advertisements and promotional materials.
An account planner is the voice of the consumer within the agency. It is the account planner’s job to
represent the consumer’s viewpoint to the agency’s creative staff and to be involved the development
of an advertising campaign.
Emergence of Alternative Media

Many companies have cut expenditures on traditional media commercials and have moved to
nontraditional or alternative media.
Much of this course includes discussions of these new marketing methods.
Learning Objective # 4: How does an integrated marketing communications program create

value?
The Value of IMC
Advances in Information Technology
Technology allows instant communications between business executives and their employees, even
when workers are disbursed throughout the world.
Consumers have access to a wealth of information about companies, products, and brands. They can
communicate with each other, sending both favorable and unfavorable ratings and information.
Marketers are adapting methods to communicate and vend products effectively in this new
communication-rich age.
Changes in Channel Power
The internet and the availability of information technology have shifted more power to the consumer.
Both individual customers and businesses can shop online and even place orders without ever visiting
a retail store.
Increases in Global Competition
Consumers can purchase goods and services from anyplace in the world. Competition no longer
comes from the firm just down the street—it can also come from a firm 10,000 miles away.
This shift affects manufacturers, retailers, and intermediaries. Customers want both value and price.
Quality relationships between members of the marketing channel help to acquire and keep customers.
Increase in Brand Parity
Many products have nearly identical benefits. When consumers believe that most brands provide the
same set of attributes, the result is brand parity. This means shoppers will purchase from a group of
accepted brands rather than one specific brand.
In response, marketers must generate messages in a voice that expresses a clear difference. They
must, in essence, build some type of perceived brand superiority for the company and its products or
services.
Emphasis on Customer Engagement
A contact point is any place where customers interact with or acquire additional information about a
firm. Customer engagement programs often utilize digital media; however, they should also become
part of a more integrated marketing approach.
Increase in Micro-Marketing
DVRs, VCRs and other devices make it possible to watch programs without commercials.
Consequently, many marketing professionals have shifted efforts to micro-marketing techniques.
These programs focus more on individuals and micro-segments rather than the mass population
Learning Objective #5: What are the components of an integrated marketing communications
program?
The foundation of the IMC plan includes:

14. Corporate image and brand management (Topic 2)
15. The IMC planning process; analysis of the firm, competition and markets (Topic 3)
Advertising tools include:
• Advertising management, including the major functions of all those involved in an
advertising campaign Advertising design focused on theoretical elements and types of
appeals (Topic 4)
• Advertising design focused on the message theme and executional frameworks (Topic 5)
IMC Media tools include:

• Traditional media channels, including television, radio, magazines, newspapers, outdoor
signs, and direct mail (Topic 6)
• Digital marketing efforts integrate e-commerce programs with recent trends in online
interactive marketing. These include social networks, blogs, and customer reviews. In
these forums, consumers play interactive roles communications (Topic 7)
• Alternative marketing programs, including buzz marketing, guerilla marketing, product
placements and branded entertainment, and lifestyle marketing (Topic 8)
Promotional tools include:

• Database, direct response programs, and personal selling (Topic 9)
• Sales Promotions (consumer and trade promotions) (Topic 10)
• Public relations (Topic 11)
REVIEW QUESTIONS
1. Define communication. How does it play a crucial role in marketing and

business?
2. Explain the parts of an individual communications model.
3. Who are the typical senders in marketing communications? Who are the typical
receivers?
4. Name the transmission devices, both human and nonhuman, which carry marketing
messages.
5. Define clutter. Name some of the forms of clutter in marketing

communications.
6. Define integrated marketing communications (IMC).

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Topic 1 Introduction to IMC

Learning Objective # 1: How does communication take place?

The Nature of Communication

Communication is defined as transmitting, receiving, and processing information. The parts of a

Figure 1.1. A Model of Communication

Feedback occurs through inquiries, trips to the store, and purchases.

Integrated Marketing Communications

The marketing mix consists of:

The promotions mix consists of:

The IMC promotions mix also includes:

1. Situational analysis (examining problems and opportunities in the organization’s external

An Integrated Marketing Communications Plan

Emphasis on Accountability and Measurable Results

Changes in Tasks Performed

Emergence of Alternative Media

Much of this course includes discussions of these new marketing methods.

Learning Objective # 4: How does an integrated marketing communications program create

The Value of IMC

Advances in Information Technology

Increases in Global Competition

Increase in Brand Parity

Emphasis on Customer Engagement

The foundation of the IMC plan includes:

IMC Media tools include:

Promotional tools include:

1. Define communication. How does it play a crucial role in marketing and

2. Explain the parts of an individual communications model.

5. Define clutter. Name some of the forms of clutter in marketing

6. Define integrated marketing communications (IMC).

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