THE COMMUNICATION PROCESS

Promotional Mix

Integrated Marketing Communications (IMC)

Communication
Source
Message
Channel of Communication
Receivers
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Slide 18-6

FIGURE 18-1 The communication process

2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin

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THE COMMUNICATION PROCESS

Encoding and Decoding

Encoding
Decoding
Field of Experience

2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin

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THE COMMUNICATION PROCESS

Feedback

Feedback Loop
Response
Feedback
Pretesting
Noise

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FIGURE 18-2 The promotional mix

2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin

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THE PROMOTIONAL ELEMENTS

Advertising

Paid Aspect
Nonpersonal Component
Personal Selling

Wasted Coverage

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THE PROMOTIONAL ELEMENTS

Public Relations

Public Relations
Publicity
Sales Promotion
Direct Marketing

2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin

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FIGURE 18-A Factors that influence the use

of promotional tools

2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin

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INTEGRATED MARKETING
COMMUNICATIONSDEVELOPING
THE PROMOTIONAL MIX
The Target Audience

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INTEGRATED MARKETING
COMMUNICATIONSDEVELOPING
THE PROMOTIONAL MIX
The Product Life Cycle

Introduction Stage
Growth Stage
Maturity Stage
Decline Stage

2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin

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FIGURE 18-3 Promotional tools used over

the product life cycle of Purina Dog Chow

2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin

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INTEGRATED MARKETING
COMMUNICATIONSDEVELOPING
THE PROMOTIONAL MIX
Product Characteristics

Complexity
Risk
Ancillary Services

2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin

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INTEGRATED MARKETING
COMMUNICATIONSDEVELOPING
THE PROMOTIONAL MIX
Stages of the Buying Process

Prepurchase Stage
Purchase Stage
Postpurchase Stage

2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin

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FIGURE 18-4 How the importance of

promotional elements varies during the
stages of consumers purchase decision

2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin

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INTEGRATED MARKETING
COMMUNICATIONSDEVELOPING
THE PROMOTIONAL MIX
Channel Strategies

Push Strategy
Pull Strategy
Direct-to-Consumer

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FIGURE 18-5 A comparison of push and pull

promotional strategies

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DEVELOPING AN IMC PROGRAM

Identifying the Target Audience
Specifying Promotion Objectives

Hierarchy of Effects
Awareness
Interest
Evaluation
Trial
Adoption
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FIGURE 18-6 The promotion decision

process

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DEVELOPING AN IMC PROGRAM

Setting the Promotion Budget

Percentage of Sales Budgeting

Competitive Parity Budgeting (Matching
Competitors or Share of Market)
All-You-Can-Afford Budgeting
Objective and Task Budgeting

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FIGURE 18-7 U.S. promotion expenditures

by companies in 2003

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FIGURE 18-8 The objective and task

approach

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DEVELOPING AN IMC PROGRAM

Selecting the Right Promotional Tools
Designing the Promotion
Scheduling the Promotion

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DIRECT MARKETING
The Growth of Direct Marketing
The Value of Direct Marketing

Direct Orders
Lead Generation
Traffic Generation

Technological, Global, and

Ethical Issues in Direct Marketing

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FIGURE 18-9 Direct marketing expenditures,

sales, and employment by medium

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ETHICS AND SOCIAL

RESPONSIBILITY ALERT
How Do You Like Your E-Mail? Opt-out or
Opt-in Are Your Choices

2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin

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