chapter 18 marketing

Receivers Decode Messages Differently

- Each receiver decodes a message in his or her own way, which is not necessarily the way the sender intended. Different people shown the same message will often take radically different meanings from it.

the transmitter

- The marketing department or external agency receives the information and transforms it for use in its role

ADIA Model

- This model suggests that Awareness leads to Interest, which leads to Desire, which leads to Action. At each stage, the consumer makes judgments about whether to take the next step in the process.

feedback loop

- allows the receiver to communicate with the sender and thereby informs the sender whether the message was received and decoded properly.

noise

- any interference that stems from competing messages, a lack of clarity in the message, or a flaw in the medium. It poses a problem for all communication channels.

businesses have used websites to building their

- brand image and educate customers about their products or services as well as where they can be purchased. Retailers and some manufacturers sell merchandise directly to consumers over the Internet.

encoding

- means converting the sender's ideas into a message, which could be verbal, visual, or both. (is what the sender intends to say)

sender

- message originates from them, must be clearly identified to the intended audience.

in these online sites consumers can

- review, communicate about, and aggregate information about products, prices, and promotions.

aided recall

- when consumers indicate they know the brand when the name is presented to them.

lagged effect

-delayed response to a marketing communication campaign. -ØMultiple exposures are often necessary. -It is difficult to determine which exposure led to purchase

top-of-mind awareness

-the highest level of awareness, occurs when consumers mention a specific brand name first when they are asked about a product or service. -brand probably enters the evoked set of when customers decide to shop for that particular product or service.

Setting and Allocating the IMC Budget

1. Objective and task method 2. Rule of thumb methods

There are 3 elements in any integrated marketing communication (IMC) strategy

1. the consumer, 2. the channels through which the message is communicated 3. the evaluation of the results of the communication

personal selling can take place in various settings

: face-to-face, video teleconferencing, on the telephone, or over the Internet.

What are the different elements of an integrated marketing communication (IMC) program?

Advertising, sales promotion, public relations and personal selling, electronic media, direct marketing.

consumers must be persuaded that it is a product worth investigating.

Because Volkswagen was suffering as a result of an emissions scandal, it reoriented its marketing campaigns with its new tagline "Think New!" It also introduced a new mix of family-friendly SUVs and electric vehicles. The cars are designed specifically to appeal to younger car buyers who value high-tech features, such as smartphone integration and easy-to-use interfaces with convenient services such as Apple CarPlay and Google Android Auto. Thus, the ads' messages include attributes that are of interest to the target audience—in this case, young drivers who want a car that is fun to be in, as well as fun to drive.

the transmitter example

Consumers must receive information that makes them want to try the new emojis, use Pepsi-linked symbols to communicate with their friends, and continue to purchase new versions of the beverages

Senders Adjust Messages According to the Medium and Receivers' Traits

Different media communicate in varied ways, so marketers make adjustments to their messages and media depending on whether they want to communicate with suppliers, shareholders, customers, the general public, or even specific segments of those groups.

websites

Firms have increased their emphasis on communicating with customers through their

Reach x frequency =

GRP gross rating points

the coke billboard is perceived in many ways

If you are a user of this brand, it may convey satisfaction. If you recently went on a diet and gave up your soda, it may convey dismay or a sense of loss. If you have chosen to be a nonuser, it may convey some disgust. If you are a recently terminated employee, it may convey anger.

competitive parity example

If you're launching a new energy drink you have to spend the same amount that monsters is spending.

direct marketing initiatives

Internet-based technologies have had a profound effect on direct marketing initiatives. Ex. E-mail

Advertainment

It is advertising that is focused on entertaining the end user. First and best example is Reebok's Terry Tate ads from the 2003 Super Bowl.

sender example

Pepsi communicates mainly through packaging and promotional programs. Like there emoji campaign and specialized emoji keyboard, for example, Pepsi establishes itself as a source of fun and different emojis that people can use in their daily activities. Although Pepsi stays clear of who they are bc they use their signature blue, white and red color scheme and logo images

communication channel example

Pepsi could transmit through television, radio, and various print advertisements, but for its emoji campaign, it also made vast and clearly understandable use of social media. The media chosen must be appropriate to connect the sender with the desired recipients.

noise examples

Pepsi may choose to advertise in newspapers that its target market doesn't read, which means the rate at which the message is received by those to whom it has relevance has been slowed considerably.

Receiver Example

Pepsi wants its message received and decoded properly by a broad population that includes teens, young adults, and families.

What other actions can IMC ask consumers to take?

Possible answers include behavioral changes (don't drink and drive), attitude changes (that product is high quality), or physical actions (pick up the phone, log on to the website, volunteer).

awareness

Senders first must gain the attention of the consumer first.

sales promotion

Special incentives or excitement-building programs that encourage the purchase of a product or service, such as coupons, rebates, contests, free samples, and point-of-purchase displays.

percentage of sales method

The communication budget is a fixed percentage of forecasted sales.

competitive parity

The communication budget is set so that the firm's share of communication expenses equals its share of the market.

interest

The customer must want to further investigate the product/service.

Why is the objective-and-task method of setting an IMC budget better than the rule-of-thumb methods?

The objective-and-task method determines the budget required to undertake specific tasks to accomplish communication objectives. the objective is how to reach these people to listen to his music the task is sending out

lagged effect example

The zaxbys Superbowl ad I didn't try it when it first came out but after 2 months I went and tried their new sandwich bc of the Super Bowl ad. - the hairstylist you go to a year later that was recommended you to

action

This is the ultimate goal of any form of marketing communication is to drive the receiver to ____________

Elements of an Integrated Marketing Communication Strategy

To get the right message to the right audience through the right medium, an IMC (integrated marketing communication) planner must understand how each medium communicates and how to combine it with other media to generate the most impact.

How would a firm evaluate the effectiveness of its Google advertising?

You measure how many impressions you got how many clicks you got Using Google AdWords, a firm can assess the effectiveness of his advertising expenditures by measuring the reach, relevance and return on investment for each of the keywords that were used.

desire

after the firm has piqued the interest of its target market, the goal of subsequent IMC messages should move the consumer from "I like it" to "I want it."

awareness is measured by

aided and unaided

sales promos are

aimed at both user consumers or channel member

advertising does not always have

an immediate impact

the importance of PR has grown

as the cost of other media has increased.

unaided recall

asking respondents to remember something without providing any clue

sales promos examples

buy two packs of cigs for a price of one

feedback loop example

can take many forms: a customer's purchase of the item, the use of a Pepsi emoji, a complaint or compliment, the redemption of a coupon or rebate, a tweet about the product on Twitter, and so forth.

Marketing goals and and the Related Campaigns example

columbia sportswear company: tag line is "tested tough" -goal: is showcase technical innovation target market: 60% males aged 20-59 media used:print ads, mobile and social media, videos, online ads outcome: 11% increase in sales

rule-of-thumb methods

competitive parity, percentage of sales, available budget

The evaluation of the results of the communication

considers how the level of complexity in IMC strategies leads marketers to design new ways to measure the results of IMC campaigns.

blogs(weblog)

contains periodic posts on a common web page. A well-received blog can communicate trends, announce special events, create positive word of mouth, connect customers by forming a community, allow the company to respond directly to customers' comments, and develop a long-term relationship with the company.

omnichannel approach

creating a more innovative retail environment where online and in-store shopping are a seamless experience for customers. increases the likelihood the message will be received

objective and task method

determines the budget required to undertake specific tasks to accomplish communication objectives

the channels through which the message is communicated

examines the various communication channels that make up the IMC arsenal and how each is used in an overall IMC strategy.

Frequency

exposure—how often the audience is exposed to a communication within a specified period of time. you mention it as any times as you can.

PR is

free media attention and is more trusted than advertisement

example of Office Depot using their website

hosts a Business Resource Center for its business customers that provides advice, product knowledge, and connections to networking contacts in other businesses.

impression

how many eyeballs saw it. for instance if you google lawyer how many times did our law firm pop up the number of times the ad appears in front of the user r

clicks

how many times people visited there websites or how they maneuvered around there websites

return on marketing investment (ROMI)

how much did it cost to get that new client . if i spent 1000 on an ad and i got 4 new clients was it worth the investment. it helps them figure out what is working for them and what isn't

percentage of sales example

if you are ford and you have a bunch of cars and you notice one car sells more than the other cars that determine it gets the biggest percentage of budget because it gets sold the most compared to the other cars ord

The consumer focus

is on consumers, so we examine how consumers receive communications, whether via media or other methods, as well as how the delivery of that communication affects a message's form and contents.

frequency example

is repeating a phrase multiple times to make sure its clicks. like when ms iacobelli talks about the marketing project many times to make sure it moves us to action to actually do it

communication channel

is the medium—print, broadcast, the Internet, and so forth—that carries the message. How is the company advertising

aided recall example

is when someone nudges or mentions the name for you to remember a restaurant

reach example

is when you tell a class full of students to buy caps and gowns for graduation. The target is the seniors in the class

Available Budget Method

its what small companies to do. Like a dental practices puts a little money on the side to market their practice so they will go to elementary school to teach kids about how to clean their teeth, or you get postcards and mail them to neighborhood to get people to come to your practice

unaided recall example

knowing the names of fast food restaurants without any help like mcdonalds, chicfila, arby's

personal selling only works for

limited types of products like expensive products like laptops, phones, real estatee

traditional direct marketing

mail and catalogs sent through the

directing marketing

marketing that communicates directly with target customers to generate a response or transaction. (greatest increase in aggregate spending) -allows marketers to personalize their message. This enables marketers to communicate with an audience that is more likely to respond to their efforts.

mobile marketing

marketing through wireless handheld devices such as cellular telephones. Smartphones have become far more than tools to place calls; they offer a kind of mobile computer with the ability to obtain sports scores, weather, music, videos, and text messages as well as purchase merchandise.

web tracking

measures how much time viewers spend on particular web pages, the number of pages they view, how many times users click banner ads, which website they came from, and so on.

Advertsing

most expensive and most visible of the integrated marketing communication (IMC) channels Extremely effective at creating awareness and generate interest

PR example

ms. Icoabelli called red cross about the Purell hand sanitizer and told them to use purell products for emergencies and when they did can she cite Redcross for a reference. So there's a implied endorsement because they wouldn't use it if it didn't work but its hard to do bc you have to get tv sources to cover and notice it.

search engine marketing (SEM)

n To reach new customers use this marketing style. Ex, In particular, he is using Google AdWords, a search engine marketing tool offered by Google that allows advertisers to show up in the Sponsored Links section of the search results page based on the keywords potential customers use (see the Sponsored Links section in the right-hand column of the Google screen grab shown earlier).

what the differences between encoding and decoding

noise

objective and task method example

objectives: Wayfair needs to get 1 million ppl to go to the Wayfair website. Their task: is releasing 20 ads to certain times to get these ppl there

How do firms use GRP to evaluate the effectiveness of traditional media?

reach (how many of your target audience saw it) times frequency (how often the audience is exposed to a communication within a specified period of time

brand awareness

refers to a potential customer's ability to recognize or recall that the brand name is a particular type of retailer or product/ service. is the strength of the link between the brand name and the type of merchandise or service in the minds of customers.

social media

refers to online and mobile technologies that distribute content to facilitate interpersonal interactions

Decoding

refers to the process by which the receiver interprets the sender's message. (is what the receiver hears

integrated marketing communication IMC

represents the promotion dimension of the six Ps. It encompasses a variety of communication disciplines—advertising, personal selling, sales promotion, public relations, direct marketing, and online marketing including social media—in combination to provide clarity, consistency, and maximum communicative impact. Its all the puzzle pieces coming together

Noise from the environment

sender (Firm), transmitter edcodes the messages, communication channel (media), receiver (consumer) decodes messages

This proliferation of media has led many firms to

shift their promotional dollars from advertising to direct marketing, website development, product placements, and other forms of promotion, all in search of the best way to deliver messages to their target audiences.

sales promos can be

short term or long term

Senders Adjust Messages According to the Medium and Receivers' Traits example

the high-technology firm Analtech sells thin layer chromatography plates to companies that need equipment to determine the ingredients of samples of virtually anything. It is not an easy product to explain and sell to laypeople, particularly when some purchasers might not have a science degree. Therefore, in addition to traditional marketing through trade shows and scientific conferences, Analtech developed a Monty Python-inspired YouTube video that features a witch who overcomes threats to drown her by proving that the ink in the king's decree is actually from the sheriff's pen. This allows them to reach a wider audience

Public Relations

the organizational function that manages the firm's communications to achieve a variety of objectives, including building and maintaining a positive image, handling or heading off unfavorable stories or events, and maintaining positive relationships with the media.

Reach

the percentage of the target population exposed to a specific marketing communication, such as an advertisement, at least once. How much of our target we can get. How many did we touch.

receiver

the person who reads, hears, or sees and processes the information contained in the message and/or advertisement. The sender, of course, hopes that the person receiving it will be the one for whom it was originally intended.

personal selling

the two-way flow of communication between a buyer and a seller that is designed to influence the buyer's purchase decision.

customers have 3 types of responses

think, feel, do on the aida model

click-through rate (CTR)

what parts of the websites did they click on the number of times a user clicks on an online ad divided by the number of impressions

channel members

when the owner tells workers in boutique try to sell as many of the last season clothing items because if they sell the most clothes, they will receive 100 dollar gift card for the boutique

Consumers are becoming more skeptical about marketing

which leads to PR to become more important

the reason why reach x frequency matters is because

you are still paying to say those things to people who are not ready to graduate

three most popular social media sites are

youtube, facebook, twitter