Chapter 17 Planning for a Measuring IMC success

Marketing 370 with Olson at San Diego State University

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Created: 2010-12-05
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Goals

Firms need to understand the outcome they hope to achieve before they begin.
Both Long term and short term

Short Term Goals

generating Inquiries
Increasing awareness
prompting trial

Long Term Goals

increasing sales
increase market share
increase customer loyalty

Setting and Allocating the IMC Budget
Different Methods

Objective and task method
rule of thumb methods

Objective Task Method

determines the budget required to undertake specific tasks to accomplish communication objectives

To use Objective Task Method

set objectives, choose media, and determine costs
must be used for each product or service

Definition

Once IMC budget is set, firms allocate resources to

specific communication elements
types of merch
geographic regions
long term or short term objectives

Allocation is more important than the decision about the amount to spend on cummunications

Same objectives realized by reducing the size of the communication budget but allocating it more effectively

Easy way to allocate

use percentage of sales or match competitive spending

Using rules of thumbg wont max prifuts because they ignore the possibility that IMC programs might be more effective for some merch. than for others
Instead

attempt to allocate their IMC budget to those regions or categories where they can get “the most bang for their buck
men's appearal doesnt have as much customer awareness as women's so the company get more awareness for every dollar spend on mens apperal advertising

Measuring Success using Marketing Metrics

To evaluate each step in the IMC process can be measured to determine how effective it has been
Lagged effect needed to be taken into account

Things to consider when measuring IMC

examine when and how often consumers exposed to marketing communications
Single exposure hardly enough to generate the desired response
Frequency
Reach
the percentage of the target pop exposed to a specific marketing communication

Marketing communications managers state media objectives as______
Definition

Gross Ratings Profits (GRP)
represents reach multiplied by frequency (GRP = reach x frequency)

GRP can be measured for

print, radio, or television
when compared must refer to the same medium

Assessing the effectiveness of any web based communications effort in an IMC campaign generally required_________

Web Tracking Software - indicates how much time viewers spend on particular web pages and the number of pages they view

Click Through Tracking

measure how many times a user clicks on banner advertising web sites

Online Couponing

Promotional web technique in which consumers print a coupon directly from a site and then redeem the coupon in a store

Online Referring

in which consumers fill out an interest and order from and are referred to an offline dealer or firm that offers the product or service of interest

All can be easily measured and assessed

Online referring, online couponing , click through tracking

Planning, Implementing, and Evaluating IMC Programs- An Illustration of Google Advertising
Image Transit

Upscale Sneaker Store in New York
Target Market is young, well educated, hip men and women aged 17 - 34
Importance of personal selling for this market
make large purchases
see considerable information before making a decision
spends part of communications budget on training sales associates

Image Transit
Limited Budget

Uses his website, social shopping, and some community building techniques.
Extensive CRM database and draws past purchase info on customers for
then emails specific customers info that they will find interesting
Blogs on website

In order to reach out to new customers Image Transit using
Search Engine Marketing (SEM)

using Google AdWords, a search engine marketing tool offered by Google that allows firms to show up in searches based on the keywords potential customers use

Image Transit
Measure

the reach, relevance, and return on investment for each of the keywords that were used

Image Transit
To estimate reach

Oliver can ascertain the number of
Clicks
impressions (times the add appears in front of the user)
Click Through Rate (CTR)

Relevance of Ad

describes how useful and ad message was to the customer doing the search

Ranked fourth in Google search suggests high relevance

Calculating ROI of Google Advertising

ROI = Sales X Gross Margin% -Market expenditure/Marketing Expenditure

Measure IMC program

Survey measuring Awareness, Knowledge, Attitude, Visit

About this deck

By: nick batcheller
Created: 2010-12-05
Size: 28 flashcards
Views: 38

About StudyBlue

“Simply amazing. The flash cards are smooth, there are many different types of studying tools, and there is a great search engine. I praise you on the awesomeness.”
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