CHAPTER ONE

AN INTRODUCTION TO INTEGRATED MARKETING

COMMUNICATIONS

1.1. Concepts and definitions of IMC

For the majority of consumers, their attention is saturated with information, signs (images) and
messages – these are both confused and impotent in their profusion and inconsistency. In
contemporary society, mass media advertising rarely works well on its own.
Relationship marketing is more communication intensive than traditional transaction-based
marketing. Integrated marketing communication is a shift towards more personalized, customer-
oriented, technology-supported marketing systems. This is managed by a brand-level, cross-
functional team to integrate marketing and marketing communication activities. Brand
management requires integration of systems of communication, especially when a relationship-
marketing strategy requires that customers are treated differently to prospective customers.
Internal and external communicative activities/actions communicate whether or not they are
done with the intention of communicating. Thus, planning for the comprehensive use of a range
of activities that provide communication opportunities and coherent messages recognizes that
consumers and buyers do not see discrete advertising, public relations, and sales promotion.
This theme of integration will be carried through our discussion of planning and evaluation in
this course. The adoption of a true integrated marketing strategy requires, in many cases, a
redesign of the business system to ensure that the making of promises and efforts to keep
promises are coordinated.
In 1989, the American Association of Advertising Agencies formed a task force on integration
that was to define IMC. The task force came up with this definition of IMC: ‘ A concept of
marketing communications planning that recognizes the added value of a comprehensive
plan that evaluates the strategic roles of a variety of communication disciplines (e.g.
general advertising, direct response, sales promotion, and public relations) and combines
these disciplines to provide clarity, consistency, and maximum communication impact. ’
IMC is really all about planning in order to deliver a consistent message. Effective IMC should
certainly encourage strong customer relationships, but it does that through effective planning in

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order to develop an integrated communication program that will optimize specific
communication objectives that lead to a desired behavior on the part of a target audience.
Actually, after Duncan explains his detailed definition of IMC (as we have reviewed), even he
reminds us that communication is the foundation of brand relationships and the basic principle
of IMC.
Strategies for building strong profitable relationships with customers and other stakeholders is
part of the marketing plan, and effective marketing communication should support that plan. A
strategic understanding of IMC must be based upon a rigorous planning process that will
identify appropriate target audiences, set specific communication objectives for these target
audiences, develop marketing communication that will accomplish those objectives in a
consistent way, and find the best ways of delivering the message. That is what IMC, and this
course, is all about.

“IMC is, then, the strategic analysis, selection, execution, evaluation, and control of all
communicative actions that can effectively and efficiently enable and facilitate productive
exchanges in the provider’s stakeholder relationship network.”

1.1.1. What Does Integration Mean?

The value provider operates within a network of stakeholder relationships in which these
relationships are influenced by meanings for the communication participants that are produced in
their interactions. There is interaction among stakeholders and the marketing manager can never
control this for their own purposes, but merely participate.
There are numerous persons and groups who have something to tell or ask. For example,
advertising may promise quality, a sales promotion may promise bargains, and product publicity
may discuss product safety. Stakeholders who apprehend these differing topics of conversation
may be confused or uncertain. This can lead to an erosion of confidence that may seriously affect
the ability of the provider to convert exchanges into desired inputs (such as profit, for example).
Consistency may be absent, leading to inappropriate outcomes for marketing communication
efforts, and conflict with what is being told and asked by other people in the corporation,
customers, news media, and competing providers. Everything the people of the proving

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corporation do (and sometimes do not do) can generate meanings for stakeholders. These can
strengthen or weaken the relationships upon which the business enterprise is founded.
1.2. Reasons for the growing importance of IMC
The move toward integrated marketing communications is one of the most significant marketing
developments that occurred during the 1990s, and the shift toward this approach is continuing as
we begin the new century. The IMC approach to marketing communications planning and
strategy is being adopted by both large and small companies and has become popular among
firms marketing consumer products and services as well as business-to-business marketers.
There are a number of reasons why marketers are adopting the IMC approach. A fundamental
reason is that they understand the value of strategically integrating the various communication
functions rather than having them operates autonomously. By coordinating their marketing
communications efforts, companies can avoid duplication, take advantage of synergy among
various promotional tools, and develop more efficient and effective marketing communications
programs. Advocates of IMC argue that it is one of the easiest ways for a company to maximize
the return on its investment in marketing and promotion.

The move to integrated marketing communications also reflects an adaptation by marketers to a

changing environment, particularly with respect to consumers, technology, and media.
Major changes have occurred among consumers with respect to demographics, lifestyles, media
use, and buying and shopping patterns. For example, cable TV and more recently digital satellite
systems have vastly expanded the number of channels available to households. Some of these
channels offer 24-hour shopping networks; others contain 30- or 60-minute direct response
appeals known as infomercials, which look more like TV shows than ads. Every day more
consumers are surfing the Internet’s World Wide Web. Even as new technologies and formats
create new ways for marketers to reach consumers, they are affecting the more traditional media.
Television, radio, magazines, and newspapers are becoming more fragmented and reaching
smaller and more selective audiences.
In addition to facing the decline in audience size for many media, marketers are facing the
problem of consumers’ being less responsive to traditional advertising.
They recognize that many consumers are turned off by advertising and tired of being bombarded
with sales messages. These factors are prompting many marketers to look for alternative ways to

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communicate with their target audiences, such as making their selling messages part of popular
culture. The integrated marketing communications movement is also being driven by changes in
the ways companies market their products and services. A major reason for the growing
importance of the IMC approach is the ongoing revolution that is changing the rules of
marketing and the role of the traditional advertising agency.
Major characteristics of this marketing revolution include:
• A shifting of marketing dollars from media advertising to other forms of promotion,
particularly consumer and trade-oriented sales promotions. Many marketers feel that
traditional media advertising has become too expensive and is not cost-effective. Also, escalating
price competition in many markets has resulted in marketers pouring more of their promotional
budgets into price promotions rather than media advertising.
• A movement away from relying on advertising-focused approaches, which emphasize
mass media such as network television and national magazines, to solve communication
problems. Many companies are turning to lower-cost, more targeted communication tools such
as event marketing and sponsorships, direct mail, sales promotion, and the Internet as they
develop their marketing communication strategies.
• A shift in marketplace power from manufacturers to retailers. Due to consolidation in the
retail industry, small local retailers are being replaced by regional, national, and international
chains. These large retailers are using their clout to demand larger promotional fees and
allowances from manufacturers, a practice that often siphons money away from advertising.
Moreover, new technologies such as checkout scanners give retailers information on the
effectiveness of manufacturers’ promotional programs. This is leading many marketers to shift
their focus to promotional tools that can produce short-term results, such as sale promotion.
• The rapid growth and development of database marketing. Many companies are building
databases containing customer names; geographic, demographic, and psychographic profiles;
purchase patterns; media preferences; credit ratings; and other characteristics. Marketers are
using this information to target consumers through a variety of direct-marketing methods such as
telemarketing, direct mail, and direct-response advertising, rather than relying on mass media.
• Demands for greater accountability from advertising agencies and changes in the way
agencies are compensated. Many companies are moving toward incentive-based systems
whereby compensation of their ad agencies is based, at least in part, on objective measures such

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as sales, market share, and profitability. Demands for accountability are motivating many
agencies to consider a variety of communication tools and less expensive alternatives to mass-
media advertising.
• The rapid growth of the Internet, which is changing the very nature of how companies do
business and the ways they communicate and interact with consumers. The Internet
revolution is well under way, and the Internet audience is growing rapidly. The Internet is an
interactive medium that is becoming an integral part of communications strategy, and even
business strategy, for many companies. This marketing revolution is affecting everyone involved
in the marketing and promotional process. Companies are recognizing that they must change the
ways they market and promote their products and services. They can no longer be tied to a
specific communication tool (such as media advertising); rather, they should use whatever
contact methods offer the best way of delivering the message to their target audiences. Ad
agencies continue to reposition themselves as offering more than just advertising expertise and
convince their clients that they can manage all or any part of their integrated communications
needs. Most agencies recognize that their future success depends on their ability to understand all
areas of promotion and help their clients develop and implement integrated marketing
communications programs.
A successful IMC program requires that a firm find the right combination of promotional tools
and techniques, define their role and the extent to which they can or should be used, and
coordinate their use. To accomplish this, those responsible for the company’s communications
efforts must understand the role of promotion in the marketing program.
1.3. The Tools for Integrated Marketing Communications

Figure 1.1 Elements of the promotional mix

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Advertising:
Advertising is defined as any paid form of non-personal communication about an organization,
product, service, or idea by an identified sponsor. The paid aspect of this definition reflects the
fact that the space or time for an advertising message generally must be bought. An occasional
exception to this is the public service announcement (PSA), who’s advertising space or time is
donated by the media. The non-personal component means advertising involves mass media
(e.g., TV, radio, magazines, and newspapers) that can transmit a message to large groups of
individuals, often at the same time. The non-personal nature of advertising means there is
generally no opportunity for immediate feedback from the message recipient (except in direct-
response advertising). Therefore, before the message is sent, the advertiser must consider how
the audience will interpret and respond to it.
Advertising is the best-known and most widely discussed form of promotion, probably because
of its pervasiveness. It is also a very important promotional tool, particularly or companies
whose products and services fare targeted at mass consumer markets.
Direct Marketing
Direct marketing is a promotional tool through which organizations communicate directly with
target customers to generate a response and/or a transaction. Traditionally, direct marketing has
not been considered an element of the promotional mix. However, because it has become such an
integral part of the IMC program of many organizations and often involves separate objectives,
budgets, and strategies, we view direct marketing as a component of the promotional mix.
Direct marketing is much more than direct mail and mail-order catalogs. It involves a variety of
activities, including database management, direct selling, telemarketing, and direct-response ads
through direct mail, the Internet, and various broadcast and print media.
Interactive/Internet Marketing
As the new millennium begins, we are experiencing perhaps the most dynamic and revolutionary
changes of any era in the history of marketing, as well as advertising and promotion. These
changes are being driven by advances in technology and developments that have led to dramatic
growth of communication through interactive media, particularly the Internet. Interactive media
allow for a back-and-forth flow of information whereby users can participate in and modify the
form and content of the information they receive in real time. Unlike traditional forms of
marketing communications such as advertising, which are one-way in nature, these new media

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allow users to perform a variety of functions such as receive and alter information and images,
make inquiries, respond to questions, and, of course, make purchases. However, the interactive
medium that is having the greatest impact on marketing is the Internet, especially through the
component known as the World Wide Web.
While the Internet is changing the ways companies design and implements their entire business
and marketing strategies, it is also affecting their marketing communications programs.
Thousands of companies, ranging from large multinational corporations to small local firms,
have developed websites to promote their products and services, by providing current and
potential customers with information, as well as to entertain and interact with consumers.
Perhaps the most prevalent perspective on the Internet is that it is an advertising medium, as
many marketers advertise their products and services on the websites of other companies and/or
organizations.
Actually, the Internet is a medium that can be used to execute all the elements of the promotional
mix. In addition to advertising on the Web, marketers offer sales promotion incentives such as
coupons, contests, and sweepstakes online, and they use the Internet to conduct direct marketing,
personal selling, and public relations activities more effectively and efficiently.
While the Internet is a promotional medium, it can also be viewed as a marketing
communications tool in its own right. Because of its interactive nature, it is a very effective way
of communicating with customers. Many companies recognize the advantages of communicating
via the Internet and are developing Web strategies and hiring interactive agencies specifically to
develop their websites and make them part of their integrated marketing communications
program. However, companies that are using the Internet effectively are integrating their Web
strategies with other aspects of their IMC programs.
Sales Promotion
The next variable in the promotional mix is sales promotion, which is generally defined as those
marketing activities that provide extra value or incentives to the sales force, distributors, or the
ultimate consumer and can stimulate immediate sales. Sales promotion is generally broken into
two major categories: consumer-oriented and trade-oriented activities. Consumer-oriented sales
promotion is targeted to the ultimate user of a product or service and includes couponing,
sampling, premiums, rebates, contests, sweepstakes, and various point-of-purchase materials.
These promotional tools encourage consumers to make an immediate purchase and thus can

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stimulate short-term sales. Trade-oriented sales promotion is targeted toward marketing
intermediaries such as wholesalers, distributors, and retailers. Promotional and merchandising
allowances, price deals, sales contests, and trade shows are some of the promotional tools used to
encourage the trade to stock and promote a company’s products.
Publicity/Public Relations
Publicity: Publicity refers to non-personal communications regarding an organization, product,
service, or idea not directly paid for or run under identified sponsorship. It usually comes in the
form of a news story, editorial, or announcement about an organization and/or its products and
services. Like advertising, publicity involves non personal communication to a mass audience,
but unlike advertising, publicity is not directly paid for by the company. The company or
organization attempts to get the media to cover or run a favorable story on a product, service,
cause, or event to affect awareness, knowledge, opinions, and/or behavior. Techniques used to
gain publicity include news releases, press conferences, feature articles, photographs, films, and
videotapes.
An advantage of publicity over other forms of promotion is its credibility. Consumers generally
tend to be less skeptical toward favorable information about a product or service when it comes
from a source they perceive as unbiased. For example, the success (or failure) of a new movie is
often determined by the reviews it receives from film critics, who are viewed by many
moviegoers as objective evaluators.
Another advantage of publicity is its low cost, since the company is not paying for time or space
in a mass medium such as TV, radio, or newspapers. While an organization may incur some
costs in developing publicity items or maintaining a staff to do so, these expenses will be far less
than those for the other promotional programs. Publicity is not always under the control of an
organization and is sometimes unfavorable.
Public Relations: It is important to recognize the distinction between publicity and public
relations. When an organization systematically plans and distributes information in an attempt to
control and manage its image and the nature of the publicity it receives, it is really engaging in a
function known as public relations.
Public relations; is defined as “the management function which evaluates public attitudes,
identifies the policies and procedures of an individual or organization with the public interest,
and executes a program of action to earn public understanding and acceptance.” Public relations

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generally have a broader objective than publicity, as its purpose is to establish and maintain a
positive image of the company among its various publics. Public relations uses publicity and a
variety of other tools—including special publications, participation in community activities,
fund-raising, sponsorship of special events, and various public affairs activities—to enhance an
organization’s image. Organizations also use advertising as a public relations tool. Traditionally,
publicity and public relations have been considered more supportive than primary to the
marketing and promotional process. However, many firms have begun making PR an integral
part of their predetermined marketing and promotional strategies. PR firms are increasingly
touting public relations as a communications tool that can take over many of the functions of
conventional advertising and marketing.
Personal Selling
The final element of an organization’s promotional mix is personal selling, a form of person-to-
person communication in which a seller attempts to assist and/or persuade prospective buyers to
purchase the company’s product or service or to act on an idea. Unlike advertising, personal
selling involves direct contact between buyer and seller, either face-to-face or through some form
of telecommunications such as telephone sales. This interaction gives the marketer
communication flexibility; the seller can see or hear the potential buyer’s reactions and modify
the message accordingly. The personal, individualized communication in personal selling allows
the seller to tailor the message to the customer’s specific needs or situation.
Personal selling also involves more immediate and precise feedback because the impact of the
sales presentation can generally be assessed from the customer’s reactions. If the feedback is
unfavorable, the salesperson can modify the message. Personal selling efforts can also be
targeted to specific markets and customer types that are the best prospects for the company’s
product or service.
1.4. The IMC planning process
As with any business function, planning plays a fundamental role in the development and
implementation of an effective promotional program. The individuals involved in promotion
design a promotional plan that provides the framework for developing, implementing, and
controlling the organization’s integrated marketing communications programs and activities.
Promotional planners must decide on the role and function of the specific elements of the

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promotional mix, develop strategies for each element, and implement the plan. Promotion is but
one part of, and must be integrated into, the overall marketing plan and program.

1.4.1. Review of the Marketing Plan

The first step in the IMC planning process is to review the marketing plan and objectives.
Before developing a promotional plan, marketers must understand where the company (or the
brand) has been, its current position in the market, where it intends to go, and how it plans to get
there. Most of this information should be contained in the marketing plan, a written document
that describes the overall marketing strategy and programs developed for an organization, a
particular product line, or a brand. Marketing plans can take several forms but generally include
five basic elements:
1. A detailed situation analysis that consists of an internal marketing audit and review and an
external analysis of the market competition and environmental factors.
2. Specific marketing objectives that provide direction, a time frame for marketing activities, and
a mechanism for measuring performance.
3. A marketing strategy and program that include selection of target market(s) and decisions and
plans for the four elements of the marketing mix.
4. A program for implementing the marketing strategy, including determining specific tasks to be
performed and responsibilities.
5. A process for monitoring and evaluating performance and providing feedback so that proper
control can be maintained and any necessary changes can be made in the overall marketing
strategy or tactics. For most firms, the promotional plan is an integral part of the marketing
strategy.
Thus, the promotional planners must know the roles advertising and other promotional-mix
elements will play in the overall marketing program. The promotional plan is developed
similarly to the marketing plan and often uses its detailed information. Promotional planners
focus on information in the marketing plan that is relevant to the promotional strategy.

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Figure 1.2. An Integrated Marketing Communication Planning Model

Review of marketing plan

Analysis of promotion program situation

Analysis of communication process

Budget determination

Develop integrated marketing communication program

Advertising Direct Interactive Sales PR/publicit Personal

marketing marketing promotion y selling

Advertising Direct Interactive Sales PR/publici Personal

objectives marketing marketing promotion ty selling
objectives objectives objectives objectives objective
s

Advertising Direct Interactive Sales PR/publici Personal

strategy marketing marketing promotion ty strategy selling
strategy strategy strategy strategy

Advertising Direct Interactive Sales PR/publicity Personal

message and marketing marketing promotion message and selling
media message and message message media message
strategy and media and media and media strategy and and media
tactics strategy and strategy strategy tactics strategy
tactics and tactics and tactics and tactics

Integrated and implemented marketing communication strategies

Monitor, evaluate, and control integrated marketing communication programs

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Figure 1.3. Tasks in the integrated marketing communication planning model

Review of Marketing Plan

 Examine overall marketing plan and objectives
 Role of advertising and promotion
 Competitive analysis
 Assess environmental influences

Analysis of Promotional Program Situation

Internal analysis External analysis
 Promotional department Consumer behavior analysis
Organization. Market segmentation and
 Firm’s ability to implement target marketing
Marketing promotional Market positioning
Program
 Agency evaluation and selection
 Review of previous program results

Analysis of Communications Process

 Analyze receiver’s response processes
 Analyze source, message, channel factors
 Establish communications goals and objectives

Budget Determination
 Set tentative marketing communications budget
 Allocate tentative budget

Develop Integrated Marketing Communications Program

Advertising Sales promotion
 Set advertising objectives Set sales promotion objectives
 Determine advertising budget Determine sales promotion budget
 Develop advertising message Determine sales promotion tools
 Develop advertising media strategy and develop messages
Direct marketing Develop sales promotion media strategy
 Set direct-marketing objectives Public relations/publicity
 Determine direct-marketing budget Set PR/publicity objectives
 Develop direct-marketing message Determine PR/publicity budget
 Develop direct-marketing media strategy Develop PR/publicity messages
Interactive/Internet marketing Develop PR/publicity media strategy
 Set interactive/Internet marketing objectives Personal selling
 Determine interactive/Internet Set personal-selling and sales objectives
 marketing budget Determine personal-selling/sales budget
 Develop interactive/Internet message Develop sales message
 Develop interactive/Internet media strategy Develop selling roles and responsibilities

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 Integrate and Implement Marketing Communications Strategies
 Integrate promotional-mix strategies
 Create and produce ads
 Purchase media time, space, etc.
 Design and implement direct-marketing programs
 Design and distribute sales promotion materials
 Design and implement public relations/publicity programs
 Design and implement interactive/Internet marketing programs

Monitor, Evaluate, and Control Integrated Marketing Communications

Program
 Evaluate promotional program results/effectiveness
 Take measures to control and adjust promotional strategies

1.4.2. Promotional Program Situation Analysis

After the overall marketing plan is reviewed, the next step in developing a promotional plan is to
conduct the situation analysis. In the IMC program, the situation analysis focuses on the factors
that influence or are relevant to the development of a promotional strategy. Like the overall
marketing situation analysis, the promotional program situation analysis includes both an internal
and an external analysis.

[Link]. Internal Analysis

The internal analysis assesses relevant areas involving the product/service offering and the firm
itself. The capabilities of the firm and its ability to develop and implement a successful
promotional program, the organization of the promotional department, and the successes and
failures of past programs should be reviewed. The analysis should study the relative advantages
and disadvantages of performing the promotional functions in house as opposed to hiring an
external agency (or agencies). For example, the internal analysis may indicate the firm is not
capable of planning, implementing, and managing certain areas of the promotional program. If
this is the case, it would be wise to look for assistance from an advertising agency or some other
promotional facilitator. If the organization is already using an ad agency, the focus will be on the
quality of the agency’s work and the results achieved by past and/or current campaigns.

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In this text we will examine the functions ad agencies perform for their clients, the agency
selection process, compensation, and considerations in evaluating agency performance. We will
also discuss the role and function of other promotional facilitators such as sales promotion firms,
direct-marketing companies, public relations agencies, and marketing and media research firms.
Another aspect of the internal analysis is assessing the strengths and weaknesses of the firm or
the brand from an image perspective. Often the image a firm brings to the market will have a
significant impact on the way the firm can advertise and promote itself as well as its various
products and services. Companies or brands that are new to the market or those for whom
perceptions are negative may have to concentrate on their images, not just the benefits or
attributes of the specific product or service. On the other hand, a firm with a strong reputation
and/or image is already a step ahead when it comes to marketing its products or services.
The internal analysis also assesses the relative strengths and weaknesses of the product or
service; its advantages and disadvantages; any unique selling points or benefits it may have; its
packaging, price, and design; and so on. This information is particularly important to the creative
personnel who must develop the advertising message for the brand.

[Link]. External Analysis

The external analysis focuses on factors such as characteristics of the firm’s customers, market
segments, positioning strategies, and competitors. An important part of the external analysis is a
detailed consideration of customers’ characteristics and buying patterns, their decision processes,
and factors influencing their purchase decisions. Attention must also be given to consumers’
perceptions and attitudes, lifestyles, and criteria for making purchase decisions.
A key element of the external analysis is an assessment of the market. The attractiveness of
various market segments must be evaluated and the segments to target must be identified. Once
the target markets are chosen, the emphasis will be on determining how the product should be
positioned. What image or place should it have in consumers’ minds?
Addressing internal areas may require information the company does not have available
internally and must gather as part of the external analysis. This part of the promotional program
situation analysis also includes an in-depth examination of both direct and indirect competitors.
While competitors were analyzed in the overall marketing situation analysis, even more attention
is devoted to promotional aspects at this phase. Focus is on the firm’s primary competitors: their
specific strengths and weaknesses; their segmentation, targeting, and positioning strategies; and

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the promotional strategies they employ. The size and allocation of their promotional budgets,
their media strategies, and the messages they are sending to the marketplace should all be
considered.
The external phase also includes an analysis of the marketing environment and current trends or
developments that might affect the promotional program.
Figure 1.4. Areas covered in the situation analysis
Internal Factors
Assessment of Firm’s Promotional Organization and Capabilities
 Organization of promotional department
 Capability of firm to develop and execute promotional programs
 Determination of role and function of ad agency and other promotional facilitators
Review of Firm’s Previous Promotional Programs and Results
 Review previous promotional objectives
 Review previous promotional budgets and allocations
 Review previous promotional-mix strategies and programs
 Review results of previous promotional programs
Assessment of Firm or Brand Image and Implications for Promotion
Assessment of Relative Strengths and Weaknesses of Product or Service
 What are the strengths and weaknesses of product or service?
 What are its key benefits?
 Does it have any unique selling points?
 Assessment of packaging, labeling, and brand image
 How does our product or service compare with competition?
External Factors
Customer Analysis
 Who buys our product or service?
 Who makes the decision to buy the product?
 Who influences the decision to buy the product?
 How is the purchase decision made? Who assumes what role?
 What does the customer buy? What needs must be satisfied?
 Why do customers buy a particular brand?
 Where do they go or look to buy the product or service?
 When do they buy? Any seasonality factors?

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  What are customers’ attitudes toward our product or service?
 What social factors might influence the purchase decision?
 Do the customers’ lifestyles influence their decisions?
 How is our product or service perceived by customers?
 How do demographic factors influence the purchase decision?
Competitive Analysis
 Who are our direct and indirect competitors?
 What key benefits and positioning are used by our competitors?
 What is our position relative to the competition?
 How big are competitors’ ad budgets?
 What message and media strategies are competitors using?
Environmental Analysis
 Are there any current trends or developments that might affect the promotional program?

1.4.3. Analysis of the Communications Process

This stage of the promotional planning process examines how the company can effectively
communicate with consumers in its target markets. The promotional planner must think about the
process consumers will go through in responding to marketing communications. The response
process for products or services for which consumer decision making is characterized by a high
level of interest is often different from that for low-involvement or routine purchase decisions.
These differences will influence the promotional strategy.
Communication decisions regarding the use of various source, message, and channel factors
must also be considered. The promotional planner should recognize the different effects various
types of advertising messages might have on consumers and whether they are appropriate for the
product or brand. Issues such as whether a celebrity spokesperson should be used and at what
cost may also be studied. Preliminary discussion of media-mix options (print, TV, radio,
newspaper, direct marketing) and their cost implications might also occur at this stage.
An important part of this stage of the promotional planning process is establishing
communication goals and objectives. In this text, we stress the importance of distinguishing
between communication and marketing objectives.
Marketing objectives refer to what is to be accomplished by the overall marketing program.
They are often stated in terms of sales, market share, or profitability.

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Communication objectives refer to what the firm seeks to accomplish with its promotional
program. They are often stated in terms of the nature of the message to be communicated or what
specific communication effects are to be achieved. Communication objectives may include
creating awareness or knowledge about a product and its attributes or benefits; creating an
image; or developing favorable attitudes, preferences, or purchase intentions. Communication
objectives should be the guiding force for development of the overall marketing communications
strategy and of objectives for each promotional-mix area.

1.4.4. Budget Determination

After the communication objectives are determined, attention turns to the promotional budget.
Two basic questions are asked at this point: What will the promotional program cost? How will
the money be allocated? Ideally, the amount a firm needs to spend on promotion should be
determined by what must be done to accomplish its communication objectives. In reality,
promotional budgets are often determined using a more simplistic approach, such as how much
money is available or a percentage of a company’s or brand’s sales revenue. At this stage, the
budget is often tentative. It may not be finalized until specific promotional-mix strategies are
developed.

1.4.5. Developing the Integrated Marketing Communications Program

Developing the IMC program is generally the most involved and detailed step of the promotional
planning process. As discussed earlier, each promotional-mix element has certain advantages and
limitations. At this stage of the planning process, decisions have to be made regarding the role
and importance of each element and their coordination with one another. Each promotional-mix
element has its own set of objectives and a budget and strategy for meeting them. Decisions must
be made and activities performed to implement the promotional programs. Procedures must be
developed for evaluating performance and making any necessary changes.
For example, the advertising program will have its own set of objectives, usually involving the
communication of some message or appeal to a target audience. A budget will be determined,
providing the advertising manager and the agency with some idea of how much money is
available for developing the ad campaign and purchasing media to disseminate the ad message.
Two important aspects of the advertising program are development of the message and the media
strategy. Message development, often referred to as creative strategy, and involves determining

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the basic appeal and message the advertiser wishes to convey to the target audience. This
process, along with the ads that result, is to many students the most fascinating aspect of
promotion. Media strategy involves determining which communication channels will be used to
deliver the advertising message to the target audience. Decisions must be made regarding which
types of media will be used (e.g., newspapers, magazines, radio, TV, billboards) as well as
specific media selections (e.g., a particular magazine or TV program). This task requires careful
evaluation of the media options’ advantages and limitations, costs, and ability to deliver the
message effectively to the target market.
Once the message and media strategies have been determined, steps must be taken to implement
them. Most large companies hire advertising agencies to plan and produce their messages and to
evaluate and purchase the media that will carry their ads.
However, most agencies work very closely with their clients as they develop the ads and select
media, because it is the advertiser that ultimately approves (and pays for) the creative work and
media plan.
A similar process takes place for the other elements of the IMC program as objectives are set, an
overall strategy is developed, message and media strategies are determined, and steps are taken
to implement them. While the marketer’s advertising agencies may be used to perform some of
the other IMC functions, they may also hire other communication specialists such as direct-
marketing and interactive and/or sales promotion agencies, as well as public relations firms.

1.4.6. Monitoring, Evaluation, and Control

The final stage of the promotional planning process is monitoring, evaluating, and controlling the
promotional program. It is important to determine how well the promotional program is meeting
communications objectives and helping the firm accomplish its overall marketing goals and
objectives. The promotional planner wants to know not only how well the promotional program
is doing but also why. For example, problems with the advertising program may lie in the nature
of the message or in a media plan that does not reach the target market effectively. The manager
must know the reasons for the results in order to take the right steps to correct the program.
This final stage of the process is designed to provide managers with continual feedback
concerning the effectiveness of the promotional program, which in turn can be used as input into
the planning process. Information on the results achieved by the promotional program is used in
subsequent promotional planning and strategy development.

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