MARKETING STRATEGY O C FERRELL MICHAEL D HARTLINE

MARKETING STRATEGY O. C. FERRELL • MICHAEL D. HARTLINE 10 Integrated Marketing Communications

Integrated Marketing Communication • Integrated Marketing Communication (IMC) – “…the strategic, coordinated use of promotional elements to ensure maximum persuasive impact on the firm’s current and potential customers. ” • Reasons that IMC is important: – Fosters long-term relationships – Reduces or eliminates promotional redundancies – Technology allows better targeting of customers 2

Promotional Elements Used in IMC Exhibit 10. 1 3

Strategic Issues in Integrated Marketing Communications • IMC must have clear promotional goals and objectives • The AIDA Model – Attention – Interest – Desire – Action • Promotional goals with respect to the supply chain – Push or pull strategy? 4

Promotion Strategy Over the Product Life Cycle Exhibit 10. 2 5

Advertising • Types of Advertising – Institutional advertising – Advocacy advertising – Product advertising • Determining the Advertising Budget – Objectives and task approach – Percentage of sales approach – Competitive matching approach – Arbitrary approach 6

Evaluating Advertising Effectiveness • Methods – Evaluating the achievement of advertising objectives – Assessing the effectiveness of advertising copy, illustrations, and layouts – Evaluating the effectiveness of various media • Timing of Evaluation – Pretest – During campaign – Posttest 7

Public Relations • Public Relations Methods - News (or press) releases - Feature articles - White papers - Press conferences - Lobbying - Investor relations - Employee relations - Event sponsorship - Product placement • Negative Public Relations 8

Personal Selling and Sales Management • The Sales Management Process – Developing Sales Force Objectives – Determining Sales Force Size – Recruiting Salespeople – Training the Sales Force – Controlling and Evaluating the Sales Force • The Impact of Technology on Personal Selling 9

Comparison of Sales Force Compensation Methods Exhibit 10. 8 10

Sales Promotion in Consumer Markets • Types of Sales Promotion to Consumers – Coupons – Rebates – Samples – Loyalty programs – Point-of-purchase promotion – Premiums – Contests and sweepstakes 11

Sales Promotion in Business Markets • Sales Promotion Methods Unique to Business Markets – Trade allowances – Free merchandise – Training assistance – Cooperative advertising – Selling incentives 12