Marketing Communications

Linear Model of Communication

  • Source/Encoding:
    • Source needs to be convincing, persuasive, and have authority.
    • Understanding the target audience is crucial.
    • Encoding translates thoughts into symbolic forms.
    • Breakdowns occur due to inappropriate/irrelevant information or incomprehensible words/symbols.

Source Attributes

  • Match-Up Hypothesis:
    • Celebrity/product congruence.
    • Expertise is possibly more important than physical attractiveness when matching a brand with an appropriate endorser.

Message (Theme)

  • Presents key ideas conveyed in advertising.
  • Represents the benefit or promise to consumers.
  • Can be rational or emotional.

Medium

  • Personal (e.g., salesperson).
  • Non-personal (e.g., radio, internet).
    • Personal channels are more persuasive due to flexibility and adaptability.
    • Non-personal channels are found in mass media.

Decoding

  • Recognition of meaning is affected by the receiver’s field of perception.
  • The source must understand the receiver (and vice versa).
  • Feedback is essential to ensure the message is received and understood.

Noise & Feedback

  • Noise:
    • Always present and prevents full message reception.
    • Influenced by cognitive and physical factors.
  • Feedback:
    • Essential for successful communication.
    • Measured by sales increase, customer enquiries, store visits, and ad recall.

Two-Step Communications Model

What is ‘Marketing Communications’?

  • The means by which a supplier represents itself to its target audience to stimulate dialogue and better relationships.

AIDA – A Basic Communications Model

  • Awareness: Creating awareness of the market offering.
  • Interest: Demonstrating relevance to customer wants and needs.
  • Desire: Creating desire for the offer.
  • Action: Resulting in purchases or support.

Sources of a Proposition

Advertising

  • Paid-for, non-personal mass communication.
  • Can be expensive.
  • Strong Theory (AIDA): Cognitive, rational, persuasive, long-term purchases.
  • Weak Theory: Behavioral, reinforcement, improves knowledge, reinforces attitudes, awareness, trial, reinforcement, nudging.

Appeals

  • Logical Appeals: Appeals to reason and highlights benefits.
  • Emotional Appeals: Enhances ego and status.
    • Other tactics: Shock, Humour, Fear.

Sales Promotion

  • Benefits: Accelerates sales and adds consumer value.
  • Drawbacks: Low credibility and potential future sales impact.
  • Mortgaging Effect: Temporary sales increase followed by a decrease.

Why Use Sales Promotion?

  • Build databases, neutralize competition, target a specific segment, increase sales, stimulate trial, encourage brand switching, reward loyal customers, revitalize mature brands.

Personal Selling

  • Informs, persuades, or reminds people to act.
  • Often face-to-face, but can use technology.

Public Relations

  • About reputation and publicity.
  • Builds the brand image and creates positive associations.

Direct Marketing

  • Management and execution of marketing using electronic media and digital data.

Direct vs Non-Direct Marketing

Effectiveness of Different Tools

The Power of Slogans

  • Examples provided: Tesco, Nike, McDonald’s, Heinz, Autoglass, Smash, Calgon, Specsavers, Gillette, Morrisons.

Summary

  • Source → Encoding → Medium → Decoding → Receiver
  • Opinion Leaders vs Opinion Formers
  • Sources of Proposition
  • AIDA model
  • Strong vs Weak Theory of Advertising
  • Appropriateness of various tools: advertising, sales promotion, personal selling, PR, direct marketing

Glossary of Terms

  • AIDA Model: Awareness, Interest, Desire, Action.
  • Source: Originator of the message.
  • Encoding: Translating thoughts into symbolic form.
  • Medium: Channel of message transmission.
  • Decoding: Receiver interprets the message.
  • Feedback: Receiver's response.
  • Noise: Interference disrupting communication.
  • Strong Theory of Advertising: Persuasive, rational, long-term.
  • Weak Theory of Advertising: Reinforces existing views, increases awareness.
  • Match-up Hypothesis: Source credibility improves with product congruence.
  • Direct Marketing: Direct communication channels.
  • Personal Selling: Face-to-face interaction.
  • Public Relations (PR): Managing reputation and image.
  • Sales Promotion: Short-term incentives.
  • Mortgaging Effect: Sales increase followed by decrease.