Digital marketing communication tools Digital (Interactive) Marketing (Lecture 7.1) Dr Elvira Bolat C113, Christchurch House, Talbot campus ebolat@bournemouth.ac.uk @dimbsbu
https://dimbsbu.wordpress.com
Learning Outcomes for week 7 • Understand what MC tools exist; • Learn about traditional MC tools; • Explore differences between traditional and digital marketing communications tools; • Investigate DIM MC tools or additional DIM elements to traditional MC mix.
• DIM communications - #1 activity • Requires strategic approach (1-year plan) - SOSTAC • INTEGRATION & ALIGNMENT are key – IMC • Based on clear, SMART and linked objectives
Diversity of communication tools – key challenge for DIM communication
Source: Chaffey and Eliis-Chadwick, 2012. Digital marketing, p. 30.
1. Offline DIM MC tools • Advertising • Sales Promotions • PR and Hybrid MCs • Direct Marketing • Packaging and Merchandising
1.1. Advertising Advertising • a sub-category of the promotional mix • impersonal communication but … • paid for but … “Advertising is one of the most fundamental ways to sort out information. And that’s the gift of advertising - to connect with people in a human way - to make the kind of emotional connections that are at the core of story telling”. Eric Schmidt, CEO Google
Degree of control Low
High
Advertising
Long term Source: Egan (2007)
Personal influence
Short term
Media Advertising: TV Radio Print Online Viral Marketing
Place Advertising: Billboards Posters Cinema Guerilla Transit
Direct Response (Interactive) Advertising: Direct mail Telephone Broadcast media Computer-related
Advertising Components Point of Purchase Advertising: Shopping card ads Queue TV Till receipts In-store radio/TV
Theorizing Advertising • Strong/Weak theory of advertising • AIDA • Elaboration Likelihood Model (Petty and Cacioppo 1981)
Advertising: Main Objectives • Brand awareness • Brand salience • Promoting product trial • Compering other brands against the competition • Informational content • Activity and engagement
Key in Advertising - The Big Idea
Key in Advertising - The Big Idea
1.2. Sales Promotions Sales Promotions • a sub-category of the promotional mix • implies call to action • short-term tactics • precise nature of targeting and communication “Sales Promotion comprises a range of tactical marketing techniques designed within a strategic marketing framework to add value to a product or service in order to achieve specific sales and marketing objectives.” Institute of Sales Promotion
Degree of control Low
High
Sales Promotion
Long term Source: Egan (2007)
Personal influence
Short term
Consumer Promotions:
Trade Promotions: Trade deals Buying allowances Contest and dealer incentives Trade shows Cooperative advertising
Samples Coupons Discounts/refunds Price-offs Premiums Contests
SP Components
All Promotions need to be • LEGAL • DECENT • HONEST • TRUTHFUL
SP: Main Objectives • Increasing sales • Educating customers and creating interest • Overshadowing a competitor’s promotional or other activities / attracting competitor customers • Deflecting attention away from price competition • Encouraging the early trial and adoption of new products / increased usage of the brand • Reinforcing advertising themes (IMC) • Gathering customer information (MKIS)
Risks associated with promotions • Promotional price wars erodes margins instead of boosting sales e.g. Coupon wars • Mis-redemption of coupons (budget for redemption 20%) • Printing errors – Esso’s Noughts and Crosses game withdrawn after two weeks - 20 * £100,000 1st prize tickets emerged instead of 2 over the whole promotion
Risks contd.... • Over – redemptions – Hoover free flight offer • Quality dissonance • Fulfilment problems – ISP code of promotion
Source: https://www.marketingweek.com/2014/12/03/promotions-can-stand-out-without-slashing-margins/
1.3. PR and Hybrid MCs Anyone concerned with the organisation Macro-environment:
“the discipline which looks after reputation, with the aim of earning understanding and support and influencing opinion and behaviour. It is the planned and sustained effort to establish and maintain goodwill and mutual understanding between an organisation and its public” (CIPR)
–
Government and local authorities
–
Members of local communities
–
Competitors
–
Potential employees
–
Non-users/social groups
Micro-environment o Existing employees (internal marketing) o Suppliers and intermediaries/association/trade stakeholders o Financial groups/investors/shareholders o End-user customers o Media and press
Key characteristics PR is the management of relationships, “reputation nurturing� (Eisenegger, 2005), between organisations and their stakeholders/publics (Reid, 2003) Needs to be a planned activity
Strategic & tactical
Reducing buyers perceived risk
High credibility
Low control (press release) Absolute cost (overall cost) and low relative cost (cost associated with reaching each member of the target audience)
Degree of control Low
High
PR Long term Source: Egan (2007)
Personal influence
Short term
Publicit y model
Public Inform ation model
1-way asymm etrical model
2-way symme trical model
PR Models
Objectives of PR
PR Tools Advertising Digital PR
Publications
Internal
Events
Identity Media
Sponsorship
Causerelated marketing
News / Speeches
PR Techniques Publicity Lobbying Ad Busting Ambush marketing (Reactive PR) WOM
Hybrid PR Programming Product placement Stealth marketing Event management Sponsorship
1.4. Direct Marketing “Direct marketing is a relational marketing process of prospecting, conversion, and maintenance that involves information feedback and control at the individual level by using direct response advertising with tracking codes� (Bauer and Miglautsch 1992) Dialogue marketing ~ personal marketing database marketing
~
Key Characteristics MC SMART objective of DM ďƒ¨ to prompt a response from a customer
Degree of control Low
High
Direct Marketing
Long term Source: Egan (2007)
Personal influence
Short term
1.5. Packaging and Merchandising Merchandising and packaging work together. Key components: 1. Labeling, size, durability 2. Look and feel – experience Key MC objectives: 3. To attract attention 4. To build an interest and want 5. To support the sale.
Degree of control Low
High
Packaging and Merchandising
Long term Source: Egan (2007)
Personal influence
Short term
Offline – online: key differences