Chapter 9

Chapter Nine
Communicating Customer Value:

Integrated Marketing
Communications Strategy
Copyright © 2009 Pearson Education, Inc.
Chapter 14 - slide 1
Publishing as Prentice Hall
Communicating Customer Value: Integrated
Marketing Communications Strategy
Topic Outline
• The Promotion Mix

• Integrated Marketing Communications
• A View of the Communications Process
• Steps in Developing Effective Marketing
Communication
• Setting the Total Promotion Budget and Mix
• Socially Responsible Marketing Communication

The Promotion Mix
• The promotion 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

The Promotion Mix
Major Promotion Tools

The Promotion Mix
Advertising is any paid form of non-personal

presentation and promotion of ideas, goods, or
services by an identified sponsor
• Broadcast
• Print
• Internet
• Outdoor

The Promotion Mix
Sales promotion is the short-term incentives to

encourage the purchase or sale of a product or
service
• Discounts
• Coupons
• Displays
• Demonstrations

The Promotion Mix
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

The Promotion Mix
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
The Promotion Mix
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

Any paid form of nonpersonal presentation and
promotion of ideas, goods, or services by an
identified sponsor is called ________.
1. advertising
2. public relations
3. sales promotion
4. direct marketing

Any paid form of nonpersonal presentation and
promotion of ideas, goods, or services by an
identified sponsor is called ________.
1. advertising
2. public relations
3. sales promotion
4. direct marketing

Which of the following includes point-of-purchase
displays, premiums, discounts, and
demonstrations?
1. Advertising
2. Public relations
3. Sales promotion
4. Direct marketing

Which of the following includes point-of-purchase
displays, premiums, discounts, and
demonstrations?
1. advertising
2. Public relations
3. Sales promotion
4. Direct marketing

The strategic blending of such things as
advertising, personal selling, and direct
marketing is referred to as ________.
1. marketing mix
2. promotion mix
3. distribution mix
4. wholesaling

The strategic blending of such things as
advertising, personal selling, and direct
marketing is referred to as ____________.
1. marketing mix
2. promotion mix
3. distribution mix
4. wholesaling

Communications
The New Marketing Communications Landscape
• Consumers are better

informed
• More communication
• Less mass marketing
• Changing
communications
technology

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

A View of the Communication
Process
The Communication Process

Which of the following are the two major
communication tools of the communications
process?
1. The senders and the receivers
2. The message and the media
3. Encoding and noise
4. The media and encoding

Which of the following are the two major
communication tools of the communications
process?
1. The senders and the receivers
2. The message and the media
3. Encoding and noise
4. The media and encoding

Steps in Developing Effective
Marketing Communication

________ involves identifying the target audience
and shaping a well-coordinated promotional
program to obtain the desired audience
response.
1. Advertising
2. Promotion
3. Integrated marketing communication (IMC)
4. Direct marketing

________ involves identifying the target audience
and shaping a well-coordinated promotional
program to obtain the desired audience
response.
1. Advertising
2. Promotion
3. Integrated marketing communication (IMC)
4. Direct marketing

Communication
Identifying the Target market

Determining the Communication Objectives
• Marketers seek a purchase response that results

from a consumer decision-making process that
includes the stages of buyer readiness

Awareness, knowledge, and liking are three of the
six stages of ________.
1. seller-readiness
2. buyer-readiness
3. direct marketing
4. promotion

Awareness, knowledge, and liking are three of the
six stages of ________.
1. seller-readiness
2. buyer-readiness
3. direct marketing
4. promotion

Designing a Message
AIDA Model
• Get Attention
• Hold Interest
• Arouse Desire
• Obtain Action

Designing a Message
Message content is an appeal

or theme that will produce
the desired response
• Rational appeal
• Emotional appeal
• Moral appeal
Message Format

All of the following are message structure issues
handled by marketers except ________.
1. draw a conclusion
2. present a one-sided argument
3. present the strongest argument last
4. present an affordable method

All of the following are message structure issues
handled by marketers except ________.
1. draw a conclusion
2. present a one-sided argument
3. present the strongest argument last
4. present an affordable method

Designing a Message
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

Designing a Message
Moral appeal is
directed at the
audience’s sense
of right and
proper

Which of the following is not a type of message
appeal frequently used by marketers?
1. Moral appeals
2. Emotional appeals
3. Rational appeals
4. All of the above

Which of the following is not a type of message
appeal frequently used by marketers?
1. Moral appeals
2. Emotional appeals
3. Rational appeals
4. All of the above

The AIDA model includes which four steps?
1. Action, interest, do, advertise
2. Advertise, interest, desire, addition
3. Action, interest, demand, allocate
4. Attention, interest, desire, action

The AIDA model includes which four steps?
1. Action, interest, do, advertise
2. Advertise, interest, desire, addition
3. Action, interest, demand, allocate
4. Attention, interest, desire, action

Choosing Media
Personal communication involves two or more

people communicating directly with each other
• Face to face
• Phone
• Mail
• E-mail
• Internet chat

Choosing Media
Personal communication is effective because it

allows personal addressing and feedback
Control of personal communication

• Company
• Independent experts
• Word of mouth
Marketing Communication Choosing Media
Personal Communication
Opinion leaders are people within a reference

group who, because of their special skills,
knowledge, personality, or other
characteristics; exerts 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
Personal communication about a product
between target buyers and family members,
neighbors, friends, and associates is called
________.
1. buzz marketing
2. public relations
3. word of mouth
4. all of the above

Personal communication about a product
between target buyers and family members,
neighbors, friends, and associates is called
________.
1. buzz marketing
2. public relations
3. word of mouth
4. all of the above

Cultivating opinion leaders and getting them
to spread information about your product
is referred to as _________ marketing.
1. buzz
2. chat
3. e-talk
4. i-mail

Cultivating opinion leaders and getting them
to spread information about your product
is referred to as _________ marketing.
1. buzz
2. chat
3. e-talk
4. i-mail

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

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

What are the two broad communication channels
marketers must choose between?
1. Print and broadcast
2. Personal and non-personal
3. Advertising and public relations
4. Direct mail and the Internet

What are the two broad communication channels
marketers must choose between?
1. Print and broadcast
2. Personal and non-personal
3. Advertising and public relations
4. Direct mail and the Internet

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

Collecting Feedback
Involves the communicator understanding

the effect on the target audience by
measuring behavior resulting from the
behavior

Setting the Total Promotion
Budget and Mix
Setting the Total Promotion Budget
Affordable budget
method sets the
budget at an
affordable level
• Ignores the effects
of promotion on
sales

Budget and Mix
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

Budget and Mix
Competitive-parity method sets the budget to

match competitor outlays
• Represents industry standards
• Avoids promotion wars

Budget and Mix
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

Affordable, percentage-of-sales, competitive-
parity, and objective-and-task are the four
methods of setting the ___________.
1. total budget for advertising
2. product mix
3. marketing mix
4. public relations budget

Affordable, percentage-of-sales, competitive-
parity, and objective-and-task are the four
methods of setting the ___________.
1. total budget for advertising
2. product mix
3. marketing mix
4. public relations budget

Budget and Mix
Shaping the Overall Promotion Mix
The Nature of Each Promotion Tool
• Advertising reaches masses of

geographically dispersed buyers at a low
cost per exposure, and it enables the seller
to repeat a message many times

Budget and Mix
Personal selling is the most

effective method at
certain stages of the
buying process,
particularly in building
buyers’ preferences,
convictions, actions, and
developing customer
relationships
Budget and Mix
Sales promotion includes coupons, contests,

cents-off deals, and premiums that attract
consumer attention and offer strong
incentives to purchase, and can be used to
dramatize product offers and to boost
sagging sales

Budget and Mix
Public relations is a very believable form of

promotion that includes news stories,
features, sponsorships, and events
Direct marketing is a non-public, immediate,
customized, and interactive promotional tool
that includes direct mail, catalogs,
telemarketing, and online marketing

A company’s most expensive promotional tool is
________.
1. advertising
2. personal selling
3. sales promotion
4. direct mail

A company’s most expensive promotional tool is
________.
1. advertising
2. personal selling
3. sales promotion
4. direct mail

If a company wanted to reach a geographically
dispersed population frequently and at a low
cost per exposure, then the company should
use ________.
1. advertising
2. personal selling
3. sales promotion
4. public relations

If a company wanted to reach a geographically
dispersed population frequently and at a low
cost per exposure, then the company should
use ________.
1. advertising
2. personal selling
3. sales promotion
4. public relations

Premiums (McDonald’s toys, dollar-off deals,
and contests) are part of a marketer’s
_________ attempt.
1. public relations
2. direct marketing
3. sales promotion
4. advertising

Premiums (McDonald’s toys, dollar-off deals,
and contests) are part of a marketer’s
_________ attempt.
1. public relations
2. direct marketing
3. sales promotion
4. advertising

Budget and Mix
Promotion Mix Strategies

If the _________ strategy is effective, consumers
will demand the product from channel
members.
1. push
2. slide
3. pull
4. grab

If the _________ strategy is effective, consumers
will demand the product from channel
members.
1. push
2. slide
3. pull
4. grab

Budget and Mix
Integrating the Promotion Mix
Checklist

A product in the introductory stage of the PLC
should be promoted using ________ to help
build awareness among the target audience.
1. advertising and public relations
2. personal selling and direct marketing
3. sales promotion and advertising
4. public relations and direct marketing

A product in the introductory stage of the PLC
should be promoted using ________ to help
build awareness among the target audience.
1. advertising and public relations
2. personal selling and direct marketing
3. sales promotion and advertising
4. public relations and direct marketing

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Chapter Nine

Communicating Customer Value:

• The Promotion Mix

Copyright © 2010 Pearson Education, Inc.

• The promotion mix is the specific blend of

Copyright © 2010 Pearson Education, Inc.

Copyright © 2010 Pearson Education, Inc.

Advertising is any paid form of non-personal

Copyright © 2010 Pearson Education, Inc.

Sales promotion is the short-term incentives to

Copyright © 2010 Pearson Education, Inc.

Public relations involves building good relations

Copyright © 2010 Pearson Education, Inc.

Personal selling is the personal presentation

Direct marketing involves making direct connections

Copyright © 2010 Pearson Education, Inc.

Copyright © 2010 Pearson Education, Inc.

Copyright © 2010 Pearson Education, Inc.

Copyright © 2010 Pearson Education, Inc.

Copyright © 2010 Pearson Education, Inc.

Copyright © 2010 Pearson Education, Inc.

Copyright © 2010 Pearson Education, Inc.

• Consumers are better

Copyright © 2010 Pearson Education, Inc.

Integrated marketing communications is the

Copyright © 2010 Pearson Education, Inc.

Copyright © 2010 Pearson Education, Inc.

Copyright © 2010 Pearson Education, Inc.

Copyright © 2010 Pearson Education, Inc.

Copyright © 2010 Pearson Education, Inc.

Copyright © 2010 Pearson Education, Inc.

Copyright © 2010 Pearson Education, Inc.

Identifying the Target market

Copyright © 2010 Pearson Education, Inc.

• Marketers seek a purchase response that results

Copyright © 2010 Pearson Education, Inc.

Copyright © 2010 Pearson Education, Inc.

Copyright © 2010 Pearson Education, Inc.

Copyright © 2010 Pearson Education, Inc.

Message content is an appeal

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Copyright © 2010 Pearson Education, Inc.

Copyright © 2010 Pearson Education, Inc.

Rational appeal relates to the audience’s

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Copyright © 2010 Pearson Education, Inc.

Copyright © 2010 Pearson Education, Inc.

Copyright © 2010 Pearson Education, Inc.

Copyright © 2010 Pearson Education, Inc.

Copyright © 2010 Pearson Education, Inc.

Personal communication involves two or more

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Personal communication is effective because it

Control of personal communication

Opinion leaders are people within a reference

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Copyright © 2010 Pearson Education, Inc.

Copyright © 2010 Pearson Education, Inc.

Copyright © 2010 Pearson Education, Inc.

Copyright © 2010 Pearson Education, Inc.

Major media include print, broadcast,

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Events are staged occurrences that

Copyright © 2010 Pearson Education, Inc.