Chapter 12- Marketing Communication

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Chapter 12- Marketing Communication
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Economic
Social
Demographic
Marketing Mix
Product Price Promotion Place

Marketer
Target Market
Political
Cultural
Feedback
Technological
Legal
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Marketing Communication Process

• Effective communication requires 3 elements
  connected by a message channel
• The sender
• The message
• The receiver
• Encoding- converting message into symbolic form
  properly understood by the receiver
• Decoding- dependent on receivers ability to
  transform message symbols back into thought
• Noise- Extraneous stimuli that interfere with
  transfer of message through message channel

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Marketing Communication Process
Message Channel
Sender
Message
Receiver
Noise
Communication Outcome
Feedback
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Five Stages in International Negotiation Process

• Offer- assess each others needs and degree of
  commitment
• Informal Meetings- discuss the terms and get
  acquainted, establish trust, build relationship
• Strategy formulation- identify factors affecting
  the deal, preparation for give-and-take, attend
  to cultural values
• Negotiations- depends on business
  traditions/culture, competitive vs. collaborative
  approach
• Implementation- ensure a win-win for both
  parties, think long term

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How to Negotiate in Other Countries-10 points (p.
389)

• Team Assistance
• Traditions and Customs
• Language Capability
• Determination of authority limits
• Patience
• Negotiation ethics
• Silence
• Persistence
• Holistic view
• The Meaning of Agreements

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Marketing Communication Strategy

• Step One
• Step Two
• Step Three
• Step Four
• Step Five

Assess Marketing Communication Opportunities
Analyze Marketing Communications Resources
Set Marketing Communications Objectives
Develop/Evaluate Alternative Strategies
Assign Specific Marketing Communications Tasks
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Promotional Mix

• Advertising- Any form of non personal
  presentation of ideas, goods, or services by an
  identified sponsor, with predominant use made of
  mass communication.
• Personal Selling- The process of assisting and
  persuading a prospect to buy a good or service or
  to act on an idea through use of person-to-person
  communication with intermediaries
• Publicity- Any form of nonpaid, commercially
  significant news or editorial comment about
  ideas, products, or institutions
• Sales Promotions- Direct inducements that provide
  extra product value or incentive to the sales
  force, intermediaries or ultimate consumers
• Sponsorship- the practice of promoting the
  interests of the company by associating it with a
  specific event or cause.

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Push or Pull?

• The choice of tools leads to either a Push or
  Pull strategy
• Push- focus on the use of personal selling.
• Pull- depends on mass communications tools,
  mainly advertising.
• Integrated marketing communications (IMC)

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Communication Tools

• In addition to what we have discussed..... the
  communication tools used by exporters to
  communicate with the foreign markets are as
  follows
• Business and trade journals
• Directories
• Direct advertising
• The internet
• Trade fairs and missions
• Personal selling

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Chapter 18-Global Promotional Strategies
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Planning Promotional Campaigns-Steps Involved

• Determine the target audience
• Determine specific campaign objectives
• Determine the budget
• Determine media strategy
• Determine the message
• Determine the campaign approach
• Determine campaign effectiveness

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Target Audience

• Global marketers face multiple audiences beyond
  customers
• Cause-related marketing the company or one of
  its brands is linked with a cause such as
  environmental protection.
• Corporate image advertising- an umbrella campaign
  may help either boost the image of a lesser-known
  product line or make the company be perceived
  more positively.

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Campaign Objectives

• Essential to the planning of an international
  promotional campaign is the establishment of
  clearly defined, measurable objectives
• Typical goals
• Increase awareness
• Enhance image
• Improve market share

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The Budget

• The promotional budget links established
  objectives with media, messages, and control
  decisions
• Available funds may dictate the basis from which
  the objective-task method can start
• Take a market-by-market approach
• It establishes a control mechanism

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Media Strategy

• The major factors determining choice of media
  vehicles
• Media availability- government restrictions are
  there for media
• Product influences- different restrictions for
  different kinds of products, e.g., tobacco,
  alcohol, pharmaceutical products
• Audience characteristics- demographics, media
  habits, advertising exposure
• Global media- Time, Economist, MTV, Internet
• Promotional message- targeted message, S-A issues

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Promotional Message

• Determine the customers motivations depending on
  the following
• Level of diffusion of product
• What customers look for in a product
• Products positioning
• Be flexible in marketing globally, may consider a
  global brand
• Use of an advertising agency
• Standardization vs. adaptation in message- Parker
  pen

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The Campaign Approach

• What type of outside services to use?
• Advertising agencies, local vs. global , e.g.,
  McCann-Erickson- 130 countries
• Agency-Client relationship
• Using local agencies
• How to establish decision-making authority for
  promotional efforts?
• Centralization vs. decentralization
• Reasons for Centralization- economies of scale,
  synergy, consistency
• Reasons for Decentralization- proximity to
  market, flexibility, faster response time,
  cultural sensitivity

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Measurement of Advertising Effectiveness

• Commonly used measurements regardless of medium
  used
• Sales
• Awareness
• Recall
• Intention to buy
• Profitability
• Coupon return