An Introduction to Integrated Marketing Communications

An Introduction to
Integrated Marketing
Communications
An Introduction to
Integrated Marketing
Communications
© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin
The Growth of Advertising and Promotion
Expenditure in Billions of Dollars
$0 $50 $100 $150 $200 $250 $300
Advertising
Outside U.S.
U.S. Sales
Promotion
U.S. Advertising
2002
1980
© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin
IMC–Audience Contact Points
Marketing
Communications
Audience
Marketing
Communications
Audience
Point of
Purchase
Point of
Purchase
Publicity
Publicity

Public
Relations
Public
Relations
Packaging
Packaging
Direct
Response
Direct
Response
Sales
Promotion
Sales
Promotion
Events
Events
Outdoor
Outdoor
Broadcast
Media
Broadcast
Media
Print
Media
Print
Media
Direct Mail
Direct Mail
Internet/
Interactive

Media
Internet/
Interactive
Media
© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin
IMC Principles Extend Worldwide
+
© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin
Point of
Purchase
Publicity
Public
Relations
Direct
Marketing
Interactive
Marketing
Special
Events
Packaging
Sales
Promotion
Direct
Response
Traditional Approach to Marketing
Communications
Media
Adver-
tising
© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin

Contemporary IMC Approach
Point of
Purchase
Publicity
Interactive
Marketing
Public
Relations
Direct
Marketing
Special
Events
Packaging
Sales
Promotion
Direct
Response
Media
Adver-
tising
© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin
The US Army Uses TV Advertising as
Part of Its IMC Program
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© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin
Traditional Compensation
Traditional Compensation
Performance Based Compensation
Performance Based Compensation
Traditional Compensation

Traditional Compensation
Performance Based Compensation
Performance Based Compensation
Media Advertising
Media Advertising
Multiple Forms of Communication
Multiple Forms of Communication
Mass Media
Mass Media
Specialized Media
Specialized Media
Manufacturer Dominance
Manufacturer Dominance
Retailer Dominance
Retailer Dominance
General Focus
General Focus
Data Based Marketing
Data Based Marketing
Low Agency Accountability
Low Agency Accountability
Greater Agency Accountability
Greater Agency Accountability
Limited Internet Availability
Limited Internet Availability
Widespread Internet Availability
Widespread Internet Availability
Media Advertising
Media Advertising
Multiple Forms of Communication

Multiple Forms of Communication
Mass Media
Mass Media
Specialized Media
Specialized Media
Manufacturer Dominance
Manufacturer Dominance
Retailer Dominance
Retailer Dominance
General Focus
General Focus
Data Based Marketing
Data Based Marketing
Low Agency Accountability
Low Agency Accountability
Greater Agency Accountability
Greater Agency Accountability
Marketing Revolution and Shifting Tides
From Toward
© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin
Dell Focuses on Building a Relationship
With Customers
+
© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin
IMC and Branding
Brand Identity is a
combination of factors:
Name, logo, symbols,
design, packaging,
product or service

performance, and image
or associations in the
consumer’s mind.
Brand Identity is a
combination of factors:
Name, logo, symbols,
design, packaging,
product or service
performance, and image
or associations in the
consumer’s mind.
2003 Brand Value
(Billions of Dollars)
1. Coca-Cola $70.5
2. Microsoft $65.1
3. IBM $51.8
4. GE $42.3
5. Intel $31.1
6. Nokia $29.4
7. Disney $28.0
8. McDonald’s $24.7
9. Marlboro $22.2
10. Mercedes $21.4
IMC plays a major role
in the process of
developing and
sustaining brand
identity and equity.
IMC plays a major role
in the process of

developing and
sustaining brand
identity and equity.
© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin
Intel’s Advertising Helps Build Brand Equity
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© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin