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Lecture 7 Lecture Notes in Marketing
RCBC Campus August, 2006
Prof. Mundy Gonzalez
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Managing Integrated Marketing Communications
RCBC Campus August 21, 2004
Prof. Mundy Gonzalez De La Salle
University Professional Schools, Inc
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Kotler on Marketing

• Integrated marketing communications is a way
  of looking at the whole marketing process from
  the viewpoint of the customer.

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MEANS OF COMMUNICATION IN MARKETING

• Advertising
• Sales Promotions
• Public Relations
• Publicity
• Personal Selling
• Direct and Interactive Marketing

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MODES OF COMMUNICATIONS

1. Advertising non-personal presentation
   identified sponsor.

• 2. Sales Promotion giving incentives to
  encourage purchase or sales.

• Publicity non-personal stimulation of
• demand not (explicitly) paid by an identified
• sponsor

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MODES OF COMMUNICATIONS (cont.)
Face-to-face interaction with prospects to make
presentations, answer questions, and procure
orders.
4. Personal Selling
Communicate directly with specific Prospects to
solicit response through mail, fax, e-mail, or
Internet
5. Direct Marketing
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Common Communication Platforms
Advertising Sales Promotion Public Relations Personal Selling Direct Marketing
Print and broadcast ads Contests, games, sweepstakes, lotteries Press kits Sales presentation Catalogs
Packaging-outer Premiums and gifts Speeches Sales meetings Mailings
Packaging inserts Sampling Seminars Incentive programs Telemarketing
Motion pictures Fairs and trade shows Annual reports Samples Electronic shopping
See text for complete table
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Elements in the Communication Process
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The Communication Process

• Target audience may not receive the intended
  message for any of three reasons
• Selective attention
• Selective distortion
• Selective retention

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The Communication Process

• Fiske and Hartley have outlined factors that
  influence communication
• The greater the influence of the communication
  source, the greater the effect on the recipient
• Communication effects are greatest when they are
  in line with existing opinions, beliefs, and
  dispositions

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The Communication Process

• Communication can produce the most effective
  shifts on unfamiliar, lightly felt, peripheral
  issues that do not lie at the core of the
  recipients value system.
• Communication is more likely to be effective if
  the source is believed to have expertise, high
  status, objectivity, or likeability, but
  particularly if the source has power and can be
  identified with.
• The social context, group, or reflective group
  will mediate the communication and influence
  whether or not the communication is accepted.

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Consumer Behavior Defined

• The study of the acts of individuals directly
  involved in obtaining and using economic goods
  and services, including the decision processes
  that precede and determine the acts.

• Combines psychology, sociology,
• anthropology and economics.

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Basic Assumptions of Consumer Behavior

• Consumer behavior is logical and determined by
  the individual.

• The individual is in control.

• Consumer behavior can be influenced.

• Consumer behavior can and should be
• understood through research.

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Cognitive Psychology

R
S
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One View of Consumer BehaviorStimulus-Response
Theory

• Mechanistic and linear

• Not very predictive at micro or individual
  level.

• Still useful at macro level

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A Second View of Consumer BehaviorCognitive
Psychology Theory

• Expands on SR Theory by adding mediating
  variables between stimulus and response

• Sees the individual in control

• Focus is on how individuals process
  informationsees individual as having innate need
  to know

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Whats Inside the Black Box?
Selective Perception Filter

S
R

• Selective Exposure

• Selective Attention

• Selective Comprehension

• Selective Retention

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Whats Inside the Black Box?

• Beliefs

• Values

• Attitudes

• Personality Traits

• Defense Mechanisms

• Memories

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Cultural Influences
Family
Work and Leisure
Language
Cultural Influences
Reference Groups
Religion
Intermediary actions
Education
Culture Adaptation
Culture Change
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Whats Inside the Black Box?

• Experience

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More Things in the Black BoxBeliefs

• Beliefs strongest held cognitions

• Things about the world we believe in

• Beliefs shape our reality

• Beliefs are our concept of the way things are.

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More Things in the Black BoxValues

• Values are less intense than beliefs

• Values shape our concept of the way things
  should be.

• Two types
• - Instrumental values that we hold that serve
  as a means to an end or method of conduct.
• - Terminal end states of existence

• Values are a standard for guiding behavior.

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More Black ThingsAttitudes

• An attitude is a predisposition to behave toward
  or away from some object based on knowledge and
  feeling about that object.

• Attitudes are less intensely held than values.

• A person can have numerous attitudes

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Attitudes

• Three Components

- Cognitive Knowing Learn
-Affective Emotion Feel
- Conative Behavior Do

• Learn Feel Do is the traditional model

• Based on two factors risk and habit.

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Attitudes

• The process of forming or changing an attitude is
  the process of persuasion.

• Conventional thinking a positive attitude
• toward the advertising will lead to, or
  at least
• enhance, a positive attitude toward the
  product.

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How Do Attitudes Work?

• Attitudes are a result or effect of persuasive
  communication.

• Attitudes are also the result of direct
  experience with the object.

• Strongest attitudes occur when both
• communication and experience occur.

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Advertising and Attitudes

• Advertising can create an attitude where none
  existed before.

• Advertising can reinforce an existing
  attitude.

• Advertising can weaken an existing attitude.

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Advertising and Attitude Formation

• Russle H. Colley Defining Advertising Goals for
  Measured Advertising Results (DAGMAR)
• Advertising results should be measured by
  communication standards sales is not a
  communication effect.

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Communication
A process of gaining common understanding between
sender and receiver of a message.
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COMMUNICATIONObjectives

• Ensure correct transmittal of information from
  issuer to receiver.

Build up common understanding to prevent
confusion or clash of personalities
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BARRIERS TO COMMUNICATION
Being aware of these barriers will make us
cautious in writing or saying anything.
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1. EMOTIONAL

• A person under emotional stress shuts himself off
  to reception

• An emotional barrier is created between the
  issuer of the message and the receiver.

• Sender could be saying something different from
  what he wants to convey.

• Receiver may not receive message clearly.

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2. USE OF WORDS

• There are about 600,000 English English words
  (according to Dr. Hayakawa, prominent linguist of
  San Francisco State College)

• 2,000 are recognized, but not necessarily
  understood fully.

• 200 words are used in daily business
  transactions

• 14,000 shades of meanings.

Use simple, common words to be understood.
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3. FEELING OF INSECURITY

• It is natural to be insecure about things you are
  not sure off.
• When one is insecure, invariably facts are
  distorted.

• We become apprehensive when we are unaware
• Our conclusions could be based on guesses or
  assumptions which could be totally wrong.

Most people get rattled when they receive a
memorandum.
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Marketing Communications

• The Means of getting your message across to your
  targeted markets.

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PROCESS OF COMMUNICATION

• How to make yourself understood by the receiver
  of your message.

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HOW TO LISTEN

• Misunderstanding results from poor listening.

• Meanings are affected by voice tones, facial
  expressions.

• Preconceived ideas make people opinionated, or
  dogmatic.
• Messages are screened
• Messages are interpreted on the basis of
  preconceived ideas, opinions, biases.

Listen attentively and objectively use eyes,
ears, and heart.
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Ask yourself

• What am I going to say?

• Do I know what I am going to talk about?

• Who is going to receive my communication message
  ?

• Is he under emotional stress? right frame of
  mind?

• What are his likes, dislikes, interests, fears?

• Whats the best way to talk to him?

• Is he familiar with my subject? - Dont assume
  that he knows.

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HOW TO BE UNDERSTOOD CLEARLY

• Use simple words

• Use right tone of voice.

• Write legibly.

• Do not assume your receiver knows what you are
  talking about. Provide details of what you are
  saying.

• Get feedback.

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Steps in Developing Effective Communication
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Developing Effective Communications

• Identify the Target Audience
• Image analysis
• Familiarity scale
• Favorability scale

Never Heard of Heard of Only Know a Little Bit Know a Fair Amount Know Very Well
Very Unfavorable Somewhat Unfavorable Indifferent Somewhat Favorable Very favorable
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Familiarity-Favorability Analysis
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Developing Effective Communications

• Semantic differential
• Developing a set of relevant dimensions
• Reducing the set of relevant dimensions
• Administering the instrument to a sample of
  respondents
• Averaging the results
• Checking on the image variance

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Images of Three Hospitals (Semantic Differential)
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Developing Effective Communications

• Determine the Communication Objective
• Cognitive
• Affective
• Behavioral
• Response-hierarchy models

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Developing Effective Communications

• Hierarchy-of effects model
• Awareness
• Knowledge
• Liking
• Preference
• Conviction
• Purchase

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Developing Effective Communications

• Design the Message
• AIDA model
• Gain attention
• Hold interest
• Arouse desire
• Elicit action
• Message Content
• Rational appeals
• Emotional appeals
• Moral appeals

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Developing Effective Communications

• Message Structure
• Message Format
• Message Source
• Factors underlying source credibility
• Expertise
• Trustworthiness
• Principle of congruity