Chapter 15: Integrates Marketing Communications and Direct Marketing

Promotion Mix

The combination of promotional tools used by an organization to effectively communicate with its target audience, typically including advertising, personal selling, sales promotion, public relations, and direct marketing.

Integrates Marketing Communications (IMC)

A strategic approach that combines various communication tools and channels to deliver a consistent message and engage customers effectively.

Communication

The process of exchanging information, ideas, or messages between individuals or groups, utilizing various mediums to facilitate understanding and engagement./conveying a message to others

Encoding

the process of having the sender transform an idea into a set of symbols

Decoding

the process of having the receiver take a set of symbols, the message, and transform the symbols into an idea

Feedback Loop

a process in which the receiver's response to the message is communicated back to the sender, allowing for adjustments in future communications.

Noise

any external factors that can distort or interfere with the transmission or interpretation of a message in communication.

Mass Selling

the practice of reaching a large audience through media such as advertising, promotions, and public relations.

Customized Interaction

a personalized communication approach tailored to individual preferences and needs, enhancing engagement between the sender and receiver.

Five Promotion Alternatives

advertising, personal selling, public relations, sales promotion, and direct marketing

Advertising

any form of nonpersonal communication about an organization, product, service, or idea by an identified sponsor

Personal Selling

the two-way flow of communication between a buyer and seller designed to influence a person’s or group’s purchase decision

Public Relations

a form of communication management that seeks to influence the feelings, opinions, or beliefs held by customers about a company and its products or services

Publicity

nonpersonal, indirectly paid presentation of an organization, product, or service

Sales Promotion

a short-term inducement of value offered to arouse interest in buying a product or service

Direct Marketing

direct communication with consumers to generate a response in the form of an order

Prepurchase stage

the phase before a consumer makes a purchase decision, where they seek information and evaluate options.

Purchase stage

the phase where consumers finalize their purchase decision and complete the transaction.

Postpurchase stage

the phase after a consumer has made a purchase, focusing on their experience and satisfaction to encourage repeat business.

Push stratedy

A marketing approach that involves pushing products through the distribution channels to encourage retailers to stock and promote them, directly targeting consumers through promotional tactics.

Pull stratedy

a marketing approach where businesses encourage consumers to actively seek out a product, drawing them into the purchase process. This is often achieved through advertising and promotions that create demand.

Awareness

the consumer’s ability to recognize and remember the product or brand name

Interest

an increase in the consumer’s desire to learn about some of the features of the product or brand

Evaluation

the consumer’s appraisal of the product or brand on important attributes

Trial

the consumer’s actual first purchase and use of the product or brand

Adoption

through a favorable experience on the first trial, the consumer’s repeated purchase and use of the product or brand

Hierarchy of Effects

a model that explains the process consumers go through from initial awareness to eventual purchase, highlighting stages such as awareness, interest, evaluation, trial, and adoption

Percentage of sales

to be allocated to advertising or promotional expenditures as a proportion of total sales revenue.

Competitive party

a rival brand or company that competes for the same customer base and market share.

All you can afford

a budgeting method where promotional expenditures are based on what the company can afford after accounting for other costs.

Objective and task

a budgeting method for advertising where objectives are defined first, and then tasks needed to achieve those objectives are identified, allowing for a more strategic allocation of resources.

Six elements of communication

source, message, channel of communication, receiver, encoding, decoding

Direct orders

the result of offers that contain all the information necessary for a prospective buyer to make a decision to purchase and complete the transaction

Lead generation

the result of an offer designed to generate interest on product or service and a request for additional information

Traffic generation

the outcome of an offer designed to motivate people to visit a business

source

a company or person who has information to covey

message

the information sent by a source

channel of communication

how the message is conveyed such as salesperson, advertising media, or public relations tools

what is response in terms of the feedback loop

the impact the message had on the receiver’s knowledge, attitudes, and behaviors

Feedback

the sender’s interpretation of the response and indicates whether the message was decoded and understood as intended

waste coverage

used in personal selling means communication with the consumers who are not in the target audience

strategic marketing process

paralleling the planning, implementation, and evaluation

advocacy

loyal consumers recommend brands they have adopted