Old and New Media From OnetoMany to ManytoMany

Old and New Media: From One-to-Many to Many-to-Many Chapter Twelve

Chapter Objectives § Understand the communication process § § and the traditional promotion mix Understand how marketers communicate using an updated communication model that incorporates buzz marketing activities and new social media Describe the steps in traditional and multichannel promotional planning © 2012 Pearson Education, Inc. publishing as Prentice-Hall. 12 -

The Traditional Communication Model: One-to-Many § Promotion: The coordination of marketing communication efforts to influence attitudes or behavior § Marketing communications purpose: • Inform • Remind • Persuade • Build relationships © 2012 Pearson Education, Inc. publishing as Prentice-Hall. 12 -

The Traditional Communication Model: One-to-Many § IMC or Integrated marketing communication: Process that marketers use to plan, develop, execute, and evaluate coordinated, measurable, persuasive brand communication programs over time to targeted audiences See the ad gallery at Beach’n Billboard © 2012 Pearson Education, Inc. publishing as Prentice-Hall. 12 -

Figure 12. 1 Three Models of Marketing Communication © 2012 Pearson Education, Inc. publishing as Prentice-Hall. 12 -5

Figure 12. 2 Communication Model © 2012 Pearson Education, Inc. publishing as Prentice-Hall. 12 -6

Marketing Sources Marketers often choose celebrity endorsers as sources to make their messages more believable or their products more attractive to the buyers Q Scores can be helpful in selecting the right endorser Visit QScores. com © 2012 Pearson Education, Inc. publishing as Prentice-Hall. 12 -7

Marketing Message This Italian candy ad vividly communicates the product’s caffeine content through the choice of nonverbal stimuli – in this case, the wide-eyed, wired rabbit. © 2012 Pearson Education, Inc. publishing as Prentice-Hall. 12 -8

Figure 12. 2 Communication Model © 2012 Pearson Education, Inc. publishing as Prentice-Hall. 12 -9

Decoding For effective decoding to occur, the source and the receiver must share a mutual frame of reference. In this ad, the receiver needs to understand the meaning of the “white flag” in order for the message to make sense © 2012 Pearson Education, Inc. publishing as Prentice-Hall. 12 -10

Figure 12. 3 Control Continuum The promotion mix includes the major communication elements that the marketer controls © 2012 Pearson Education, Inc. publishing as Prentice-Hall. 12 -11

Table 12. 1 A Comparison of Elements of the Traditional Promotional Mix © 2012 Pearson Education, Inc. publishing as Prentice-Hall. 12 -12

Mass Communication § Advertising: Nonpersonal communication from an identified sponsor using mass media • Advantages • Disadvantages © 2012 Pearson Education, Inc. publishing as Prentice-Hall. 12 -

Mass Communication § Sales promotion: Contests, coupons, and other incentives designed to build interest or encourage product purchase during a specified period • Advantages • Disadvantages Visit Coupons. com © 2012 Pearson Education, Inc. publishing as Prentice-Hall. 12 -

Mass Communication § Public relations: Communication activities that create or maintain a positive image of a firm and its products • Advantages • Disadvantages Visit Businesswire. com © 2012 Pearson Education, Inc. publishing as Prentice-Hall. 12 -

Personal Communication § § Personal selling: Direct interaction between a company representative and a customer • Advantages • Disadvantages Direct marketing: Efforts to gain a direct response from individual consumers • Advantages • Disadvantages © 2012 Pearson Education, Inc. publishing as Prentice-Hall. 12 -

The Updated Communication Model: Many-to-Many § § Groundswell A social trend in which people use technology to get the things they need from each other, rather than from traditional institutions such as corporations The many-to-many communication model relies on consumers talking to one another Buzz marketing is key Word of Mouth © 2012 Pearson Education, Inc. publishing as Prentice-Hall. 12 -

Buzz Marketing-1 § Buzz: • Word-of-mouth communication that customers view as authentic § Buzz activities have many names § Technology has magnified the importance of buzz Word-of-mouth-marketing association © 2012 Pearson Education, Inc. publishing as Prentice-Hall. 12 -

Buzz Marketing-2 § Viral marketing: • Marketing activities that aim to increase brand awareness or sales by consumers passing a message along to other consumers Subservient. Chicken. com © 2012 Pearson Education, Inc. publishing as Prentice-Hall. 12 -

Buzz Marketing-3 § Brand ambassadors and evangelists: • Loyal customers of a brand recruited to communicate and be salespeople with other consumers for a brand they care a great deal about © 2012 Pearson Education, Inc. publishing as Prentice-Hall. 12 -

Ethical Problems in Buzz Marketing § Activities designed to deceive consumers § Buzz marketing targeted a kids or teens § Buzz marketing that damages property § Stealth marketing activities that deliberately deceive or lie on behalf of clients © 2012 Pearson Education, Inc. publishing as Prentice-Hall. 12 -

New Social Media-1 § Social media Internet-based platforms that allow users to create their own content and share it with others who access these sites • An important part of the Updated communication model • Takes many forms © 2012 Pearson Education, Inc. publishing as Prentice-Hall. 12 -

New Social Media-2 § Social networking sites connect people with similar people based on profiles § Key social networking sites • Facebook • Twitter What brands do you like to follow? © 2012 Pearson Education, Inc. publishing as Prentice-Hall. 12 -

New Social Media-3 § Product review sites Social media sites that enable people to post stories about their experiences with products and services • Marketers seek to create a connection between consumers and the brand • Both positive and negative information is available Angie’s List © 2012 Pearson Education, Inc. publishing as Prentice-Hall. 12 -

New Social Media-4 § Mobile apps and geospatial platforms Digital applications that integrate sophisticated GPS technology to enable users to alert friends of their exact whereabouts via their mobile phones © 2012 Pearson Education, Inc. publishing as Prentice-Hall. 12 -

Who do you Trust? Which do you trust more. . . online reviews provided by consumers or those provided by professional reviewers? (Yelp, FB, etc) Are you as likely to believe online consumer reviews now as you were in the past? Will online consumer reviews continue to aid marketers, or will their influence decline in the future? Where do you stand? © 2012 Pearson Education, Inc. publishing as Prentice-Hall. 12 -26

Figure 12. 4 Steps to Develop the Promotional Plan © 2012 Pearson Education, Inc. publishing as Prentice-Hall. 12 -27

Figure 12. 5 The Hierarchy of Effects © 2012 Pearson Education, Inc. publishing as Prentice-Hall. 12 -28

Hierarchy of Effects The ad at left seeks to create awareness while the ad at right attempts to build brand loyalty. Are the ads successful at accomplishing the stated goals? © 2012 Pearson Education, Inc. publishing as Prentice-Hall. 12 -29

Multichannel Promotional Strategies § Multichannel promotional strategies: • Combine traditional mass media with online buzz building activities • Offer important benefits: v. Boost effectiveness of using either online or offline strategies alone v. Strengthen brand awareness © 2012 Pearson Education, Inc. publishing as Prentice-Hall. 12 -