Unit II

Developing
Marketing
Communication
 Content

1 2 3 4

Communication response Steps for developing

Concept Hierarchy of Effects
model AIDA effective marketing
Its Role
Communication
 Introduction to Marketing Communication
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❑ All organizations – large and small, commercial, government, charities, educational, and other
not-for-profit organizations – need to communicate with a range of stakeholders.
❑ This may be to get materials and services, to undertake their business activities, or to
collaborate and coordinate with others to secure suitable distribution of their goods and
services.
❑ In addition, there are consumers – you and me – people who are free to choose among the
many hundreds and thousands of product offerings.
❑ Marketing communications provide a core activity so that all interested parties can understand
the intentions of others and appreciate the value of the goods and services offered.
 Defining Marketing Communication
❑ There is no universal definition of marketing communications, and there are many
interpretations of the subject.
❑ The origin of many definitions rests with a promotional outlook, where the purpose was to
use communications to persuade people to buy products and services.
❑ The expression ‘marketing communications’ emerged as a wider range of tools and media
evolved, and as the scope of the tasks that these communications activities were expected
to accomplish expanded.
❑ In addition to awareness and persuasion, new goals such as developing understanding and
preference, reminding and reassuring customers were recognized as important aspects of
the communications effort
 Defining Marketing Communication
❑ “Marketing communications are a management process through which an organization engages
with its various audiences. By understanding an audience’s communications environment,
organizations seek to develop and present messages for their identified stakeholder groups,
before evaluating and acting upon the responses. By conveying messages that are of significant
value, they encourage audiences to offer attitudinal and behavioral responses”.

❑ Marketing communication is a strategic management process that allows organizations to

interact effectively with their target audiences. By analyzing the communication environment of
their audience, businesses can craft messages tailored to their stakeholders' interests and
concerns. These messages are then delivered through various communication channels, such as
advertising, public relations, social media, and direct marketing. The effectiveness of these
messages is assessed based on audience responses, which can influence future marketing
strategies.
 Defining Marketing Communication
❑ Coca-Cola’s "Share a Coke" Campaign
Coca-Cola identified its audience’s preference for personalization and engagement. By replacing its
logo with common names on bottles, the brand encouraged customers to buy and share drinks with
their friends and family. This interactive marketing communication strategy led to increased
customer engagement and boosted sales. [Link]
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❑ Nike’s “Just Do It” Branding and Social Messaging
Nike consistently communicates messages of empowerment, motivation, and inclusivity. Through
advertisements featuring athletes from diverse backgrounds, the company resonates with audiences
who value perseverance and achievement. The emotional connection built through marketing
communications drives customer loyalty and strengthens brand identity.
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❑ Apple’s Product Launch Events
Apple carefully crafts its marketing communications through highly anticipated product launch
events. By presenting new products with sleek visuals and compelling narratives about innovation,
Apple captivates its audience and builds excitement, leading to strong consumer demand and pre -
orders.
❑The growth in consumption of bottled water is well known.
❑It accounts for 10per cent of the soft drinks market, and is surpassed only by consumption of cola and fruit juice
(ACNielsen).
❑However, the market is evolving such that consumers do not want straight water just for hydration purposes; now
they want bottled ‘water-plus’ products, for example, waters with added minerals and vitamins, low-carbonated
waters for exercise (Lucozade Hydro Active), and functional, fortified and ‘wellness’ waters to support healthy
lifestyles and reduce or guard against obesity.
❑Marketing communications play an active role in shaping our perception of these various bottled waters and help
to construct brands. Vittel used ‘reVittelise’ to change perceptions of its brand beyond hydration.
❑Advertising spend on these bottled brands has fallen as more activity takes place below the line.
❑For example, attention has been given to packaging, in an attempt not only to achieve shelf stand -out but also to
reflect changing social trends.
❑Evian has introduced an ‘easy-to-carry’ Nomad bottle with a belt clip for active consumers.
 Defining Marketing Communication
❑ “MARKETING COMMUNICATION has been defined as the sharing of information, concepts,
and meanings about products, services and the organization that sell them, by the source to the
receiver.
❑ A more elaborate definition is: Marketing Communication is targeted interaction with customers
and prospects using one or more media, such as direct mail, newspapers and magazines,
television, radio, billboards, telemarketing, and the Internet.
❑ Marketing communications is essentially a part of the marketing mix. The marketing mix defines
the 4Psof marketing, price, place, product and promotion, and Promotion is what marketing
communications is all about.
 Role of Marketing Communication
1. Establishes an image (Prestige, Discount, or Innovative) for the company and its goods and services
•Marketing communication helps shape how consumers perceive a brand.
•Example: Rolex positions itself as a prestigious brand with luxury-focused advertising, while Walmart builds a discount
image through slogans like "Save Money. Live Better."
2. Communicates features of goods and services
•Marketing explains product specifications and benefits to consumers.
•Example: Tesla highlights features like autopilot and long battery life in its advertisements to attract tech-savvy buyers.
3. Creates awareness for new goods and services
•New product launches require marketing to inform potential customers.
•Example: Apple’s launch events and ads create excitement around new iPhones.
4. Keeps existing goods and services popular
•Even successful products need continuous marketing to maintain demand.
•Example: Coca-Cola runs year-round advertisements to ensure it remains a leading soft drink choice.
5. Can reposition the image or uses of faltering goods and services
•If a product struggles, marketing can change its perception or usage.
•Example: Old Spice rebranded from an "old man’s cologne" to a youthful and humorous brand through creative
commercials.
6. Generates enthusiasm from channel members
•Wholesalers, retailers, and distributors need motivation to sell a brand’s products.
•Example: Nike offers exclusive sneaker releases to retailers, creating demand and excitement among sellers and
customers.
 Role of Marketing Communication
7. Explains where goods and services can be purchased
•Marketing communication informs customers where and how they can buy products.
•Example: Amazon advertises its Prime service, emphasizing quick delivery and easy shopping.
8. Convinces consumers to trade up from one good or service to a more expensive one
•Companies encourage customers to upgrade to higher-end products through marketing.
•Example: Apple promotes the iPhone Pro models by showcasing better cameras and performance to encourage customers to spend more.
9. Alerts consumers to sales
•Marketing informs customers about discounts and promotional events.
•Example: Best Buy runs Black Friday ads to attract bargain hunters.
10. Justifies prices of goods and services
•Marketing helps explain why a product is priced at a certain level.
•Example: Louis Vuitton justifies its high prices by emphasizing craftsmanship, exclusivity, and luxury.
11. Answers consumer questions
•Marketing provides product information and resolves doubts.
•Example: Online chatbots and FAQ sections on websites help answer customer inquiries.
12. Closes transactions
•Effective marketing strategies turn interest into actual sales.
•Example: E-commerce sites use limited-time offers and free shipping promotions to push customers to complete purchases.
13. Provides after-sale services for consumers
•Companies use marketing to offer post-purchase support and build loyalty.
•Example: AppleCare provides technical support and repairs to enhance customer satisfaction.
14. Places the company and its goods and services in a favorable light relative to competitors
•Marketing differentiates a brand from its competitors.
•Example: Pepsi runs advertisements comparing itself to Coca-Cola to position itself as the better alternative.
 HIERARCHY OF EFFECTS

❑ All communicators have objectives in mind when they encode and transmit messages.
❑ In marketing communication, the source may wish the receiver to buy, try, or recommend the
products to his friends. The receiver, in responding to the source’s message, may want some
changes made in the product, a lower price, credit terms or other things that will adapt the
source’s offering more to the receiver’s needs.
❑ Hierarchy of Communication Effects
❑ The hierarchy of effects is a theory that discusses the impact of advertising on customers’ decision-
making when purchasing certain products and brands
❑ This marketing communication model suggests that there are six steps from viewing a product
advertisement (advert) to product purchase. The job of the advertiser is to encourage the customer to
go through the six steps and purchase the product
HIERARCHY OF EFFECTS
 HIERARCHY OF EFFECTS
❑ Understanding the Hierarchy of Effects Theory

❑ The hierarchy of effects theory describes how advertising affects consumers’ behavior
and leads to the transition from not knowing a product or brand to liking it and finally
making the action to purchase.

❑ The theory was first raised by Robert J. Lavidge and Gary. Steiner in their article
entitled “A Model for Predictive Measurements of Advertising Effectiveness,”
which was published in 1961. It has now been used as a sophisticated advertising
strategy to build up brand awareness and has branched off into many different
variations.

❑ The hierarchy of effects is based on behavioral psychology. It can be classified into

three main behavior stages – cognitive, affective, and behavioral, regarding the human
thought process. The cognitive stage, also known as “thinking,” contains the awareness
and knowledge stages.

❑ The affective stage is composed of the sub-stages of liking, preference, and conviction,
which describes the impact on consumers’ “feeling” process. The final stage is the
behavioral (doing) stage, reaching the ultimate goal of purchase
 HIERARCHY OF COMMUNICATION EFFECTS
➢ Lavidge and Steiner suggested that the six steps can be split into three stages of consumer behavior:
cognitive, affective, and conative. The job of the advertiser is to promote the three behaviors.

➢ Cognitive (thinking) so that the consumer becomes product-aware and gathers product knowledge

Affective (feeling) so that the consumer likes the product brand and has conviction in it

➢ Conative (behavior) so that the consumer buys the product brand

➢ This model is known as a "hierarchy" because the number of consumers moving from one stage to the
next reduces as you move through the model. There may be a lot of consumers that see the product
advert, but not everyone will make a purchase.
 HIERARCHY OF COMMUNICATION EFFECTS
WHY IS IT A ‘HIERARCHY’?
It is a ‘hierarchy’ because we lose people as they move through the sequence.

WHY IS IT A ‘HIERARCHY OF EFFECTS’?

It is a ‘hierarchy of effects’
because at each stage marketers must achieve different communication goals. They might be encouraging
trial, rewarding loyalty, or communicating brand associations, depending on the stage the target customer
has reached.
 HIERARCHY OF COMMUNICATION EFFECTS
Stages of Hierarchy of Effects
1. Awareness
Gaining consumer awareness is the starting point of the entire process. For example, if a consumer intends
to purchase a smartphone, the marketing team of a phone brand must make that potential consumer
aware of the brand’s existence through its advertising. At the awareness stage, the consumer notices the
brand but with very limited knowledge about it.
2. Knowledge
After becoming aware of a brand, the consumer will start to evaluate whether the product under the
particular brand can meet his/her needs and how it is compared to other products and brands. It is
essential to ensure that sufficient information is available to consumers for them to know the brand well so
that they can move to the next stage.
3. Liking
At the liking stage, the process moves from cognitive to affective behavior. A brand brings emotional
comfort to consumers, and consumers form positive perspectives on the brand. For example, the
smartphone consumer might like the good-looking design or find the HD camera of a phone very helpful.
 HIERARCHY OF COMMUNICATION EFFECTS
Stages of Hierarchy of Effects
4. Preference
Although there are features that consumers like about a brand, they might also appreciate certain
characteristics of other brands. At the preference stage, the brand needs to differentiate itself from other
products and gain consumer preference over its competitors.
5. Conviction
Conviction is the decision-making stage where the consumers’ positive feelings of a brand convert to the
certainty of buying. Consumers settle their doubts and stop moving back and forth between brands at this
point.
6. Purchase
Purchase is the final stage of the hierarchy, where consumers make the action to purchase. It is essential to
provide a positive purchasing experience to consumers, e.g., by offering pre-order choices, instructions of
usage, or a guarantee of post-sales support. Such efforts may encourage consumers to purchase in larger
amounts or stick to the same brand for the next purchase.
1. Awareness
Imagine…. (Write your name), a college student looking for a…..(Mention the product). You see an advertisement for
Brand X (Mention the Brand) while scrolling through social media. You now know about Brand X’s existence, but you
have little knowledge about its features or benefits.
2. Knowledge
…… begins researching different …..brands, including Brand X. You watch YouTube reviews, visit the official website,
and compare features such as……... (Mention the Features). You now have more information about Brand X and how it
compares to other brands.
3. Liking
After reviewing multiple options, …..starts developing a preference for Brand X. You like its………..(Mention its
utilities) You also notice that many of your friends…….(Mention your friends) use Brand X and speak positively about
their experience.
4. Preference
Although You like Brand X, you also consider Brand Y, which has similar features. To stand out, Brand X offers a special
discount and a…………. (Additional Benefits). The added benefit makes Brand X more attractive than Brand Y,
strengthening your preference for Brand X.
5. Conviction
You are now convinced that Brand X is the right choice. You visit a nearby store to check the product in person and asks
the salesperson some final questions about it…... After feeling reassured about the quality, you decide to buy Brand X
over other brands.
6. Purchase
Finally, You make the purchase. The store offers…………. These post-purchase services enhance your satisfaction,
making you more likely to buy from Brand X again in the future and recommend it to your friends.
 HIERARCHY OF COMMUNICATION EFFECTS
HIERARCHY OF EFFECTS MODEL AND CONSUMER ATTITUDES

The Cognitive Stage (To think, to understand and remember. A person’s mental
images, understanding, and interpretations of the person, object, or issue)
Awareness
Knowledge

The Affective Stage (To feel, to experience):

Liking
Preference
Conviction

The Conative or behavioral Stage (Take action or do something. An individual’s

intentions, actions, or behaviour):

The actual purchase

❑ The AIDA marketing model is a model within the class known as the hierarchy of
effects models or hierarchical models, all of which imply that consumers move through a
series of steps or stages when they make purchase decisions.
❑ These models are linear, sequential models built on an assumption that consumers
move through a series of cognitive (thinking) and affective (feeling) stages culminating
in a behavioural (doing e.g. purchase or trial) stage.
❑ The basic AIDA model is one of the longest-serving hierarchical models, having been in
use for more than a century.
❑ Using a hierarchical system, such as AIDA, provides the marketer with a detailed
understanding of how target audiences change over time and provides insights as to
which types of advertising messages are likely to be more effective at different
junctures.
❑ Moving from step to step, the total number of prospects diminishes. This phenomenon
is sometimes described as a "purchase funnel".
❑ A relatively large number of potential purchasers become aware of a product or brand,
and then a smaller subset becomes interested, with only a relatively small proportion
moving through to the actual purchase. This effect is also known as a "customer funnel",
"marketing funnel", or "sales funnel"
❑ The phrase AIDA, in marketing communication, was coined by American advertising
and sales pioneer Elias. Elmo Lewis in the late 1800s.
❑ The model talks about the different phases through which a consumer goes before going
to buy a product or service.
❑ According to him, most of marketers follow this model to fetch more consumers for
their product.
❑ Marketers use this model to attract customers to purchase a product. This model can be
seen widely used in today’s advertisements.
❑ The acronym AIDA stands for Attention, Interest, Desire and Action.
❑ These are the four stages that a consumer goes through when watching or viewing an
advertisement.
❑ According to Lewis, first and foremost, the role of an advertisement is to attract the
customers.
❑ Once an ad grabs attention, it has to invoke interest in the product in the minds of the
consumers.
❑ After creating an interest, the ad has to bring desire in consumers mind to use the
product and finally the consumer has to take a favorable action towards the product by
ultimately purchasing the product.
❑ It outlines a series of stages that a communication message should ideally go through to
persuade and influence the audience.

❑ Attention: The first step is to grab the audience's attention and make them aware of your
message. This can be done through an attention-grabbing headline, an intriguing opening
statement, or a visually appealing advertisement. The goal is to break through the noise and
capture the audience's interest.
❑ Interest: Once you have the audience's attention, the next step is generating interest in what
you offer. You need to provide relevant and compelling information that hooks their curiosity
and makes them want to learn more. This can be achieved by highlighting the benefits or
unique features of your product, service, or idea.
❑ Desire: Once you have captured the audience's interest, the next objective is to create a
desire or emotional connection. You need to persuade them that your offering is valuable, and
desirable, and can fulfill their needs or solve their problems. This can be achieved by
appealing to their emotions, showing success stories or testimonials, or demonstrating how
your offering can enhance their lives.
❑ Action: The final stage is to prompt the audience to take action. You must provide a clear and
compelling call to action telling them what to do next. This could be to make a purchase, sign
up for a service, subscribe to a newsletter, or any other desired action. It's important to make
the action step easy to follow and remove any barriers that may prevent the audience from
acting.
Ad for the "XYZ UltraPhone 15"
"The Future of Smartphones is Here!" ( Attention)
Experience lightning-fast speed, ultra-clear cameras, and a battery that lasts 48
hours!
Crystal-clear 200MP camera to capture every detail. ( Interest)
Supercharged processor for seamless gaming & multitasking.
48-hour battery life – No more running for the charger!
"Imagine capturing life’s best moments in stunning clarity." ( Desire)
Pre-order today & get 20% OFF + free wireless earbuds!
Limited stock! Click below to order now. ( Action)
[ BUY NOW]
Here are the advantages of the AIDA model for marketing:
A thorough understanding of the market
The AIDA model specifies the process' stages. It investigates their nature, and marketers may learn a
great deal, providing them with extensive market knowledge.
Enhanced customer relationships
The AIDA model focuses on client stages and gives insight into customers' behaviour. This allows
marketers to learn more about consumers, meet their needs, and enhance their interaction with clients.
Market updates
The AIDA model informs marketers about client requirements. Marketers may also be aware of the
prevalent trends, keeping them current continuously. Marketers might modify their plans based on the
updates, suit the clients' needs, and contribute to consumer retention.
Engaged clients
The AIDA model also adds to the process' appeal. Marketers become familiar with consumers, and
they're able to meet their demands, strengthening the connection. Consumers can then express their
views and have a sense of ease, making the process persuasive.
Saves time
By using the AIDA framework, marketers may also save time. The AIDA model specifies the necessary
stages, and marketers may conveniently follow the recommendations. It's efficient, swift, and time-
saving, enhancing marketing efforts and increasing sales.
Here are some of the disadvantages of this model:
The AIDA model is now outdated
The AIDA model began a century ago. Since then, marketing has developed significantly with
several variations, and the market now has several updates. Thus, the AIDA model cannot
accommodate numerous marketing strategies. For instance, there was no internet back then, but
now most activities are digital.
The AIDA model is missing some components
The AIDA model is straightforward. It concentrates only on the four constituents, while marketing
covers several further activities. It does not mention consumer satisfaction and is not typically
concerned with consumer retention.
Not applicable to branding
It's essential for every organization to have a powerful brand name. The AIDA framework
disregards brand royalties and doesn't include the aspect of reputation. It can be helpful to
consider these aspects separately to create a more in-depth assessment.
Steps for developing
effective marketing
Communication
 Identifying Target Audience
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