Marketing communication - Essay Example

? Marketing Communication Introduction Integrated Marketing Communications (IMC) is a simple and modern concept used by organisations to ensure careful and effective linkage of all forms of communication. The concept of IMC enables organisation to effectively co-ordinate and integrate all of its marketing communication tools and functions into a seamless programme that promotes end user satisfaction at fairly low cost. This management tool has been developed to ensure the integrated working of all aspects of promotion including advertisements, direct marketing, sales promotion techniques, and public relations. Promotion is one of the Ps in the marketing mix and it has a distinct set of communications tools. Since the tool of promotion plays a pivotal role in determining the sales volume of a business, IMC concept can significantly affect business profitability. This paper will discuss different aspects of integrated market communications and will provide reasons for licensing the importance of IMC perspective. Integrated Marketing Communications (IMC) “Integrated marketing communications is a customer centric, data driven method of communicating with consumers” (McMahon, 2007, p.269). Simply, IMC is a management process of maintaining customer relationships by way of communication efforts in order to promote brand value. Such efforts may include cross functional processes which are strategically designed to maintain profitable relationship with different stakeholder groups by effectively controlling all messages sent to them with the application of different communication tactics. The IMC techniques promote integration of different marketing operations and this process in turn affects the firm’s business to business, customer oriented, and internally directed interactions. Advertising tools, promotional tools, and integration tools are some of the major components of the IMC. Advertising tools add value to brand and firm image; and they include advertising designs, selection of advertising channels, execution strategies, and advertising management. Promotional tools comprise of direct sales, trade promotions, customer oriented promotions, public relations, and sponsorship projects whereas integrations tools mainly include online promotion techniques and other integrated marketing programmes. The internet has changed products/services promotion strategies and the way marketers and customers interact with each other. Researchers argue that a comprehensive IMC plan would enhance harmony between marketers and customers. According to Kenneth (2007, p. 31), all IMC strategies are centred on a master marketing plan, which consists of six well defined phases such as situation analysis, marketing objectives, marketing budget, marketing strategies, marketing tactics, and evaluation of performance. IMC ensures uninterrupted flow of messages and effective use of media through the application of online and offline marketing channels. Online marketing channels embrace e-mail, pay per click, blog, podcast, and internet TV whereas offline marketing channels include newspapers, magazines, flex boards, industry relations, and television. In modern days, use of IMC has become essential for organisations to ensure success; and companies consider all the elements of the marketing mix while designing an integrated marketing communication programme. Some professionals claim that IMC is a critical thinking approach that can accurately identify consumer insights and effectively responds to them. It must be noted that selection of right communication tools is an important aspect of an IMC plan as every communication tool would not fit the size and nature of every business. Even though the scope of an IMC plan is broader than an advertising campaign, the lion’s part of the marketing budget is spent on the design and circulation of advertisements. Evidently, personal selling is the most common type of integrated marketing communication technique. Generally, personal selling approach is practiced to enhance retail sales and business to business selling. Promotions opportunity analysis is one of the crucial components of an IMC program as this process assists marketers to easily identify target audiences and to develop communication tools necessary to reach these segments. Importance of the IMC perspective Nowadays, the IMC approach is being widely used by both large and small organisations mainly due to the increased popularity of Web based marketing. A range of reasons influence marketers to choose the IMC approach. One of the basic reasons is that markers are well aware of the significance of strategic integration of different communication functions. As an IMC programme can co-ordinate a company’s marketing communication efforts, it assists business houses to avoid duplication, enjoy synergies of promotional tools, and design more effective marketing communication strategies. Management consultancy agencies claim that an IMC plan is one of the best strategies for an organisation to improve the rate of return on its investment. The move towards an IMC approach clearly reflects the changing perceptions of marketers in terms of “consumer, technology, and media” (Johnstockmyer.com). Consumers’ lifestyles, media use, and shopping habits have largely varied over the last few years. To illustrate, emergence of digital satellite systems have dramatically improved the telecommunication sector, which in turn made marketer-customer interaction more effective. In addition, the number of internet users is increasing day by day and the internet has become the major means of product/service promotion. Likewise, rapidly developing technology sector also provides marketers with new ways to reach targeted consumer segments. These changes have largely influenced customers and hence they are eventually turning from traditional shopping patterns to Web based purchasing. Such new trends in market have made the process of promotion more complex and this condition ultimately enhanced the importance of IMC concept. Similarly, the growing importance of IMC perspective can be greatly attributed to “the ongoing revolution that is changing the rules of marketing and the role of the traditional advertising agency” (Johnstockmyer.com, n.d). Furthermore, IMC plans give great emphasis on ‘mouth publicity’ concept, which is considered to be the most effective product promotion strategy. IMC Strategy of Toyota Toyota Motor Corporation is a multinational automaker headquartered in Japan and is the world’s largest automobile manufacturer in terms of production. The company produced 8.6 million units in 2010 and reached first in units produced globally. Although the company fell to third place by the first half of 2011, it still dominates the global automobile industry. The Toyota practices integrated marketing communication strategies to effectively reach various market segments and thereby to maintain its global dominance. Like any other multinational corporation, advertisement is the major product promotion strategy of Toyota. The company’s IMC plan greatly promotes ‘green campaigns’ in order to meet the increasing environmental interests of modern customers. The company’s TV ads direct viewers to its YouTube channel which are shared by millions of people. Experts observe that Toyota’s well integrated and innovative product promotion strategies have noticeably assisted the company to trim down its marketing expenses to a great extent. The company developed original online content to add value to its TV ads. The “Swagger Wagon” video advertisement greatly assisted the company to regain its market repute. In short, the integrated marketing communication policies significantly aided the company to improve its declining sales and market share. Barriers to IMC An IMC plan may face a range of issues while interacting with a wide variety of target audiences. In addition, rigid organisational structures often raise potential challenges to the efficacy of an IMC plan. For instance, production department often does not pass information to marketing personnel and this isolation within the organisation would reduce the scope of IMC concept. Integrated marketing communications would limit the creativity of individuals as well. Moreover, if the concerned managers have no real experience in marketing communication practices, the firm’s all effort would be futile. Conclusion In total, integrated marketing communications play a vital role in co-ordinating and integrating the promotional efforts of a company. The growth of Web based business has been increasing the significance of IMC plan for the recent decades. The IMC concept has greatly assisted firms like Toyota to meet their market challenges and thereby to retain dominance. Admittedly, like rigid organisational structures, there are some considerable barriers to IMC. Reference Johnstockmyer.com n.d, ‘An introduction to integrated marketing communications’, pp.1-35, Viewed 13 January 2012, Kenneth, EC 2007, Integrated Advertising Promotion, and Marketing Communications, Pearson Education, India. McMahon 2007, ‘Integrated communication’, in J Doorley & HF Garcia (eds), Reputation Management: The Key to Successful Public Relations and Corporate Communication, Taylor & Francis, New York. Read More