In this article we will discuss about:- 1. Concept of Marketing Communication 2. Marketing Communication Objectives 3. Process 4. Golden Rules 5. Integrated Marketing Communication in India and Other Countries 6. Components 7. Importance.
Contents:
- Concept of Marketing Communication
- Marketing Communication Objectives
- Process of Communication in Marketing
- Golden Rules of Marketing Communications
- Integrated Marketing Communication in India and Other Countries
- Components of Integrated Marketing Communication
- Importance of Marketing Communication
1. Concept of Marketing Communication:
Marketing communication involves sharing of meaning, information and concepts by the source and the receiver about the products and services and also about the firm selling through the devices of promotion via, advertising, publicity, salesmanship and sales promotion.
In marketing the source is the marketer who desires to promote the product. Marketer delivers a message to a receiver, who is the target market segment. Message is received and integrated by consumers and if their predisposition becomes favorable, they decide to purchase. Feedback is the reverse flow of communication to the marketer.
Marketing communication may be distorted particularly when a message passes through a number of channels. Noise is a major injurious. Noise can arise due to faulty transmission, faulty reception. Competitive communication constitutes the most serious noise.
Meaning of Marketing Communication:
Marketing communications refer to the strategy used by a company or individual to reach their target market through various types of communication. Marketing communication includes advertising, direct marketing, branding, packaging, sales presentations, trade show appearances etc.
Concept of Marketing Communication Mix:
Marketing Communication Mix is the “Promotion” of the Marketing Ps and covers every method and medium of communicating with your target audience. In many ways, the marketing communication mix is the heart of your marketing strategy around which everything else in sales and marketing is predicated.
If business consists of creating value and creating customers. Marketing Communication covers exactly how you are going to create customer by taking your value message to the market.
2. Marketing Communication Objectives:
Marketing communication objectives are long-term goals where marketing campaigns are intended to drive up the value of your brand over time. In contrast to sales promotions, which are short-term inducements to buy, communication goals succeed when you persuade customers through consistent reinforcement that your brand has benefits they want or need.
(i) To Increase Awareness:
Increased brand awareness is not only one of the most common marketing communication objectives; it is also typically the first for a new company. When you initially enter the market, you have to let people know your company and products or services exist.
This might include broadcast commercials or print ads that depict the image of your company and constant repetition of your brand name, slogans and jingles. The whole objective is to become known and memorable.
Established companies often use a closely related goal of building or maintaining top- of-mind awareness, which means customers think of you first when considering your product category.
(ii) To Change Attitudes:
Changing company or brand perceptions is another common communication objective. Sometimes, misconceptions develop in the market about your company, products or services.
Advertising is a way to address them directly. In other cases, negative publicity results because your company is involved in a business scandal or unsettling activities.
BP invested millions of rupees in advertising to explain the company’s clean up efforts to the public following its infamous Gulf of Mexico oil in mid-2010. Local businesses normally don’t have that kind of budget but local radio or print ads can do the trick.
(iii) To Influence Purchase Intent:
A key communication objective is to motivate customers to buy. This is normally done through persuasive advertising, which involves emphasis of your superior benefits to the user, usually relative to competitors. It is critical to strike a chord with the underlying need or want that triggers a customer to act.
Sports drink commercials showing athletes competing, getting hot and sweaty and then taking a drink afterward are a common approach to drive purchase intent. The ads normally include benefits of the drink related to taste or nutrients.
(iv) To stimulate Trial Purchase:
Two separate but closely related communication objectives are to stimulate trial use and drive repeat purchases. Free trials or product samples are common techniques to persuade customers to try your product for the first time. The goal is to take away the risk and get the customer to experience your brand.
Once you get them on the first purchase, you have to figure out how to convert that into a follow-up purchase. Discounts on the next purchase or frequency programs are ways to turn one-time users into repeat buyers and, ultimately, loyal customers.
(v) To Drive Brand Switching:
Another objective closely tied to stimulating trial use is driving brand switching. This is a specific objective of getting customers who buy competing products to switch to your brand. Tide detergent is normally pitted against “other leading brands” in comparative ads intended to motivate brand switching.
The advantage with this goal is that customers already buy within your product category. This means need is established. You just need to persuade them that your product or service is superior and induce them to try it out.
3.
Process of Communication in Marketing:
Marketing communication involves sharing of meaning, information and concepts by the source and the receiver about the products and services and also about the firm selling through the devices of promotion via, advertising, publicity, salesmanship and sales promotion.
In marketing the source is the marketer who desires to promote the product. Marketer delivers a message to a receiver, who is the target market segment. Message is received and integrated by consumers and if their predisposition becomes favorable, they decide to purchase. Feedback is the reverse flow of communication to the marketer.
Marketing communication may be distorted particularly when a message passes through a number of channels. Noise can arise due to faulty transmission, faulty reception. Competitive communication constitutes the most serious noise.
Communication is a process of exchanging verbal and non-verbal messages. It is a continuous process. Pre-requisite of communication is a message. This message must be conveyed through some medium to the recipient.
It is essential that this message must be understood by the recipient in same terms as intended by the sender. He must respond within a time frame. Thus, communication is a two way process and is incomplete without a feedback from the recipient to the sender.
The main components of communication process are as follows:
(i) Context:
Communication is affected by the context in which it takes place. This context may be physical, social, chronological or cultural. Every communication proceeds with context. The sender chooses the message to communicate within a context.
(ii) Sender/Encoder:
Sender/Encoder are a person who sends the message. A sender makes use of symbols to convey the message and produce the required response. Sender may be an individual or a group or an organization. The views, background, approach, skills, competencies and knowledge of the sender have a great impact on the message.
The verbal and non-verbal symbols chosen are essential in ascertaining interpretation of the message by the recipient in the same terms as intended by the sender.
(iii) Message:
Message is a key idea that the sender wants to communicate. It is a sign that elicits the response of recipient. Communication process begins with deciding about the message to be conveyed. It must be ensured that the main objective of the message is clear.
(iv) Medium:
Medium is a means used to exchange/transmit the message. The sender must choose an appropriate medium for transmitting the message else the message might not be conveyed to the desired recipients.
The choice of appropriate medium of communication is essential for making the message effective and correctly interpreted by the recipient.
(v) Recipient/Decoder:
Recipient/Decoder are a person for whom the message is intended/aimed/targeted. The degree to which the decoder understands the message is dependent upon various factors such as knowledge of recipient, their responsiveness to the message, and the reliance of encoder on decoder.
(vi) Feedback:
Feedback is the main component of communication process as it permits the sender to analyze the efficacy of the message. It helps the sender in confirming the correct interpretation of message by the decoder. Feedback may be verbal or non-verbal. It may take written form also in form of memos, reports, etc.
4. Golden Rules of Marketing Communications:
Despite the many benefits of Integrated Marketing Communications (or IMC); there are also many barriers. Here’s how you can ensure you become integrated and stay integrated – 10 Golden Rules of Integration.
(1) Get Senior Management Support for the initiative by ensuring they understand the benefits of IMC.
(2) Integrate at Different Levels of management – Put ‘integration’ on the agenda for various types of management meetings whether annual reviews or creative sessions. Horizontally ensure that all managers, not just marketing managers understand the importance of a consistent message whether on delivery trucks or product quality.
Also ensure that Advertising, PR, Sales Promotions staff are integrating their messages. To do this you must have carefully planned internal communications, that is, good internal marketing.
(3) Ensure the Design Manual or even a Brand Book is used to maintain common visual standards for the use of logos, typefaces, colors and so on.
(4) Focus on a clear marketing communications strategy – Have crystal clear communications objectives; clear positioning statements. Link core values into every communication. Ensure all communications add value to (instead of dilute) the brand or organization. Exploit areas of sustainable competitive advantage.
(5) Start with a Zero Budget – Start from scratch. Build a new communications plan. Specify what you need to do in order to achieve your objectives. In reality, the budget you get is often less than you ideally need, so you may have to priorities communications activities accordingly.
(6) Think Customers First – Wrap communications around the customer’s buying process. Identify the stages they go through before, during and after a purchase. Select communication tools which are right for each stage. Develop a sequence of communications activities which help the customer to move easily through each stage.
(7) Build Relationships and Brand Values – All communications should help to develop stronger and stronger relationships with customers. Ask how each communication tool helps to do this. Remember: customer retention is as important as customer acquisition.
(8) Develop a Good Marketing Information System which defines who needs what information when. A customer database for example, can help the telesales, direct marketing and sales force. IMC can help to define, collect and share vital information.
(9) Share Artwork and Other Media – Consider how, say, advertising imagery can be used in mail shots, exhibition stands, Christmas cards, news releases and web sites.
(10) Be prepared to change it all – Learn from experience. Constantly search for the optimum communications mix. Test Improve each year. ‘Kaizen’.
5. Integrated Marketing Communication in India and Other Countries:
Integrated Marketing Communication (IMC) is one of the most important communications trends adopted by companies in the last decade. With an increase in global competition, technological advances, and more informed customers, it is important for businesses to make a powerful impact on target audiences and markets. IMC is one such step toward an integrated approach to achieving efficiency by synergy.
With the change in communication practices and technologies around the world, integration in marketing techniques is inevitable for the companies to survive in this multi-national and multicultural world emerging globally.
India, as one of the more economically advanced among developing countries, offers excellent opportunity for the study of concepts such as IMC and its need in countries outside the US and outside the paradigm of what is called ‘Western’.
India’s huge population and growing middle class presents promising potential for many US and European multinational companies focusing on the Indian markets. With more companies viewing India as an emerging market, competition in markets is growing and integration would become inevitable for communications in the developing world.
The economic liberalization and reform movement, started in India in 1991, has been one of the major contributors to the increase in its trade interactions globally. The open flow of communication with the rest of the world and the country’s ability to adapt to these changes has made it a very lucrative and promising land for many multinational companies.
The growing purchasing power of India’s huge middle class makes it easier for companies to do business in India. However, the customer base in India is extremely fragmented. The huge geographic expanse of the country has resulted in an inconsistent distribution system that is radically different from that present in most other countries.
Added to this is the cultural diversity of its inhabitants, differences in their tastes, habits, and requirements that make it very difficult for companies to market their goods in a streamlined and consistent manner.
In the absence of well-developed departments for individual elements of marketing communications, a quasi- integrated approach might already be practiced among various departments in Indian companies.
The idea of IMC still manifests itself in a variety of local and situational ways, both for academics who study it and for managers who apply it in real world and real time situations.
Keeping in perspective a pertinent analogy of ‘Think globally, act locally’ with the concept of IMC, it is pertinent to examine the theories of culture and sub-culture, demographic, social class, and groups influences, with reference to India.
The concept of focused and massive marketing is fairly new to the Indian companies who have traditionally experienced a mixed economy and trade restrictions back home. In a protected economy, the companies had faced restricted competition and consequently did not realize the importance of targeted and more focused marketing.
IMC is a major strategic concept that is as evolutionary and discursive in its concept as other marketing and management tools. There is a strong need to explore the concept and phenomena of IMC directly in the real world of communication.
Communication is the basis of all marketing activities. The purpose of integrated marketing communications strategy is to work toward the common goal of customer focused marketing.
To make this most effective, management must understand the characteristics of audiences, messages and media. Traditional cultures in different parts of the world are adopting Western style consumerist tendencies while trying to retain their traditional and indigenous value systems. To understand these evolving consumption patterns, one needs to study social and cultural theories in context of consumers’ response.
As each national market is different, the multinational companies must concentrate on marketing strategies that suit local culture. The cultures of the advanced and developed economies place more emphasis on individualism as opposed to the collectivism reflected in less developed and traditional economies.
The purchasing habits of people in India are a direct result of social networks and family structures. For example – one television set would be considered sufficient for an entire family. It would be more appealing if the product is positioned as being durable and a great value.
Most foreign firms encounter resistance from consumers because they position their products as an indulgence rather than an investment. Decades of simplicity and socialism have instilled a sense of ‘value’ in the country that cannot be ignored by any successful marketer.
The differences and similarities in cultural values of countries influence the different demographics and contribute to the requirement of a very different marketing communication plan as compared to other regions. What is the cultural composition of the organization’s markets and how does it respond to varied marketing needs for same products?
The history of industrial and economic development of India stands out as a unique process, not only because of its geographically heterogeneous demographic traits, but also because of its colonial history.
The predominant demographics contributing to this uniqueness are:
1. Rural-Urban Mix:
Industrialization in India emerged as the result of poor agricultural conditions and dwindling handicrafts. The push from land and craft generated to some extent a pull toward industry.
2. Occupational Diversity:
Even though the population of India is and has been overwhelmingly agricultural, there had always been a variety of non-agricultural occupations such as handicrafts and arts involving various types of skills.
3. Diversity in Economic Conditions:
Despite the overall poor image, extremes of poverty and wealth have always co-existed.
4. Colonial Rule:
Even though the British rule destroyed the indigenous industry in India by means of market competition, there has been continuous improvement in the means of transportation and communication contributing to the advancement of the economic scenario.
6. Components of Integrated Marketing Communication:
1. The Foundation:
Corporate image and brand management; buyer behavior; promotions opportunity analysis.
2. Advertising Tools:
Advertising management, advertising design: theoretical frameworks and types of appeals; advertising design: message strategies and executioner frameworks; advertising media selection. Advertising also reinforces brand and firm image.
3. Promotional Tools:
Trade promotions; consumer promotions; personal selling, database marketing, and customer relations management; public relations and sponsorship programs.
4. Integration Tools:
Internet Marketing; IMC for small business and entrepreneurial ventures; evaluating and integrated marketing program.
7. Importance of Marketing Communication
:
Importance of marketing communication can be summarized as follows:
(i) Marketing communication involves sharing of meaning, information and concepts by the source and the receiver about the products and services and also about the firm selling through the devices of promotion via, advertising, publicity, salesmanship and sales promotion.
(ii) Marketing Communication creates competitive advantage, boost sales and profits, while saving money, time and stress.
(iii) It wraps communications around customers and helps them move through the various stages of the buying process. The organization simultaneously consolidates its image, develops a dialogue and nurtures its relationship with customers.
(iv) Marketing communication cements a bond of loyalty with customers which can protect them from the inevitable onslaught of competition. The ability to keep a customer for life is a powerful competitive advantage.
(v) It increases profits through increased effectiveness. At its most basic level, a unified message has more impact than a disjointed myriad of messages. In a busy world, a consistent, consolidated and crystal clear message has a better chance of cutting through the ‘noise’ of over five hundred commercial messages which bombard customers each and every day.
(vi) Marketing communication can boost sales by stretching messages across several communications tools to create more avenues for customers to become aware, aroused and ultimately, to make a purchase.
(vii) It carefully linked messages and help buyers by giving timely reminders, updated information and special offers which, when presented in a planned sequence, help them move comfortably through the stages of their buying process and this reduces their misery of choice in a complex and busy world.
(viii) It makes messages more consistent and therefore more credible. This reduces risk in the mind of the buyer which, in turn, shortens the search process and helps to dictate the outcome of brand comparisons.