Name of the goldfish crackers mascot

INTEGRATED MARKETING COMMUNICATION CREATIVE STRATEGY FROM IDEA TO IMPLEMENTATION

T H I R D E D I T I O N

Robyn Blakeman University of Tennessee, Knoxville

ROW M A N & L I T T L E F I E L D Lanham • Boulder • New York • London

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Names: Blakeman, Robyn, 1958– author. Title: Integrated marketing communication : creative strategy from idea to implementation / Robyn Blakeman, University of Tennessee, Knoxville. Description: Third edition. | Lanham : Rowman & Littlefield, [2018] | Includes bibliographical references and index. Identifiers: LCCN 2017042452 (print) | LCCN 2017051349 (ebook) | ISBN 9781538101063 (electronic) | ISBN 9781538101049 (cloth : alk. paper) | ISBN 9781538101056 (pbk. : alk. paper) Subjects: LCSH: Communication in marketing. Classification: LCC HF5415.123 (ebook) | LCC HF5415.123 .B557 2018 (print) | DDC 658.8/02—dc23 LC record available at https://lccn.loc.gov/2017042452

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Contents

Preface vii Introduction 1

 1  Integrated Marketing Communication 3 Here We Go Again 3 What Is Integrated Marketing Communication? 4 Basic Reasons for the Growth of IMC 5 Why IMC Fails 6 What Drives IMC 7

Case Study 1: NIVEA 8 Tying It All Together 17

 2  IMC Marketing Plans 26 The Role of the Marketing Plan 26 Where to Begin: Research 27 What Does a Marketing Plan Do? 27

Case Study 2: Pepperidge Farm Goldfish Crackers Campaign 28 The Creative Strategy and the Marketing Plan 42

 3  Branding and Positioning 43 Defining a Brand, Its Image, and Its Worth 43

Case Study 3: Dracula 44 Brand Equity: What Is Brand Equity? 46 Brands: What’s in a Name? 46 Brand Awareness: Perception Is the Better Part of Advertising 47 Tweaking the Marketing Plan 52

 4  Creative Briefs 53 The Big Influence Inside a Small Document 53

Case Study 4: CVS Rebranding Strategy 54 What Makes Up a Creative Brief? 56

 5  The Creative Process 69 The Creative Brief Is the Inspiration behind a Good Idea 69 The Soccer Game of Idea Teamwork 70 Is the Idea on Target and on Strategy? 72 Where Does a Good Idea Originate? 73 The Creative Concept 74

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Elements That Make Up an Ad: What Goes Where? 79 Type Is a Personality Thing 83 Putting Ideas on Paper: The Stages of Design 87 Visuals, Options, and Decisions 89 Color’s Representational Role 92

 6  Copywriting 95 The Components of Copy 95 Visuals: Tying the Verbal to the Visual 104 The Logo as a Symbol 105 Visual/Verbal Parts 105 Writing beyond the Ad: Promotional Devices 106 Copy Sheets 108 Selling the Client on the Creative Idea 110

 7  Campaigns 112 The IMC Campaign 112 Planning the Campaign 113

Case Study 5: Ecco’s Catwalk 114 Isolating the Key Consumer Benefit 115 Developing a Cohesive Visual/Verbal Message 116 The Promotional Mix 117 Types of Campaigns 118 Concept Components 122 Stand Up and Stand Out: It Pays to Be Different 128

 8  Public Relations 129 The Strategic Use of Public Relations in IMC 129 Marketing Public Relations 129 The Diversity of the Public Relations Voice 131

Case Study 6: Dawn Dishes It Out 132 How Does Public Relations Help IMC Be Consumer Focused? 136 Incentives and Deterrents of Public Relations 136 Putting Public Relations to Work 137 The Strategy behind Public Relations 138 The Many Documents That Make Up Public Relations 140 Publicity 147

 9  Newspaper Advertising 149 The Strategic Use of Newspaper in IMC 149 What Is Newspaper Advertising? 149

Case Study 7: Nissan Altima 150 The Diversity of the Newspaper Voice 152 How Does Newspaper Advertising Help IMC Be Consumer Focused? 153 Incentives and Deterrents of Newspaper Advertising 154 The Strategy behind Newspaper Advertising 155 The Look of Newspaper Advertising 156 Co-op Advertising 159 Evaluation 159

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10  Magazine Advertising 161 The Strategic Use of Magazines in IMC 161

Case Study 8: Max Factor 162 The Diversity of the Magazine Advertising Voice 163 How Does Magazine Advertising Help IMC Be Consumer Focused? 165 Incentives and Deterrents of Magazine Advertising 167 What to Avoid and What to Include in Magazine Advertising 169 The Look of Magazine Design 170 Cooperative Advertising and Magazines 173

11  Radio Advertising 175 The Strategic Use of Radio Advertising in IMC 175

Case Study 9: Post Honey Bunches of Oats 176 The Diversity of the Radio Advertising Voice 177 How Does Radio Advertising Help IMC Be Consumer Focused? 179 Incentives and Deterrents of Radio Advertising 180 The Strategy behind Radio Advertising 181 The Sound of Radio Design 181 What to Consider When Designing for Radio 184

12  Television Advertising 190 The Strategic Use of Television in IMC 190

Case Study 10: The “Aflac Duck” Historic Campaign 192 The Diversity of the Television Advertising Voice 196 How Does Television Advertising Help IMC Be Consumer Focused? 197 Incentives and Deterrents of Television Advertising 199 The Strategy behind Television Advertising 200 The Sight, Sound, and Motion of Television Design 201 How to Deliver the Message 204

13  Out-of-Home and Transit Advertising 216 The Strategic Use of Out-of-Home in IMC 216 The Diversity of the Out-of-Home Voice 217

Case Study 11: The Metropolitan Museum of Art 218 How Does Out-of-Home Advertising Help IMC Be Consumer Focused? 224 Incentives and Deterrents of Out-of-Home and Transit Advertising 225 The Strategy behind Out-of-Home and Transit Advertising 226 The Look of Out-of-Home and Transit Advertising 227

14  Direct Marketing 230 The Strategic Use of Direct Marketing in IMC 230 A Word about Databases 232 The Diversity of the Direct-Marketing Voice 233

Case Study 12: Auburn University 234 How Does Direct Marketing Help IMC Be Consumer Focused? 238 Incentives and Deterrents of Direct Marketing 239 The Strategy behind Direct Marketing 240 The Many Documents That Make Up a Direct-Mail Kit 242 Bottom Line 247

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15  Sales Promotion 248 The Strategic Use of Sales Promotion in IMC 248 The Diversity of the Sales Promotion Voice 249

Case Study 13: Pepsi 250 How Does Sales Promotion Help IMC Be Consumer Focused? 255 Incentives and Deterrents of Sales Promotion 256 The Strategy behind Sales Promotion 257 The Look of Sales Promotion 258

16  Internet Marketing and Social Media 260 The Strategic Use of Internet Marketing in IMC 260 The Diversity of the Internet Marketing Voice 261 The Strategic Use of Social Media in IMC 267

Case Study 14: Gatorade Dunk 268 The Diversity of the Social Media Voice 269 How Do Internet Marketing and Social Media Help IMC Be Consumer Focused? 277 Incentives and Deterrents of Internet Marketing and Social Media 279 The Strategy behind Internet Marketing 280 The Design of Internet Marketing 281 Designing for a New Medium 282 The Strategy behind Social Media 285 Bottom Line 286

17  Mobile Media Marketing 289 The Strategic Use of Mobile Media in IMC 289 The Diversity of the Mobile Media Marketing Voice 291

Case Study 15: IKEA 292 How Does Mobile Media Marketing Help IMC Be Consumer Focused? 298 Incentives and Deterrents of Mobile Media Marketing 300 The Strategy behind Mobile Media Marketing 301 The Look of Mobile Media Marketing 303 Designing for the Newest Digital Medium 305

18  Alternative Media Advertising 310 The Strategic Use of Alternative Media in IMC 310

Case Study 16: Allstate 312 The Diversity of the Alternative Media Voice 314 How Does Alternative Media Advertising Help IMC Be Consumer Focused? 319 Incentives and Deterrents of Alternative Media 321 The Strategy behind Alternative Media Advertising 322 The Look of Alternative Media Advertising 324 The Choice to Use Alternative Media 327 Guerrilla Marketing Is All about the Innovative Encounter 328

Glossary 335 Bibliography 346 Index 351 About the Author 359

vii

Preface

Selling a product or service today requires the creative and strategic use of multiple media options. Understanding how to use those options to best effect requires having a firm handle on how business theory affects the development of the creative message. Professors, instructors, and students in myriad disciplines will appreciate the unique approach of this book—which takes a combined look at both marketing and advertising rather than focusing on just one or the other. The goal here is to provide readers with a simple introduction to how the business of marketing can be transformed into a visual/verbal message and how that message can in turn be strategically delivered.

Today’s business environment requires students to be well-rounded professionals, understanding not only the business of advertising and marketing but also how to choose and employ the best media options to deliver the message and reach the intended target audience. This book focuses on:

• communicators employing the correct message; • placing the message in the most appropriate media; and • using the most advantageous communications approach.

Instructors who can combine both marketing and advertising tactics let students know that marketing and design are no longer separate entities; they are the result of all parts working as a cohesive whole.

In order to achieve this cohesive visual/verbal message, the choice of media vehicles employed depends on several factors, such as a brand’s life-cycle stage, copy length, who is to be reached, what objectives need to be strategically accomplished, how the most important attribute will be visually and verbally presented, and the overall tone of voice used to deliver the message throughout the campaign. To ensure effective delivery, the text breaks down the varied media options into individual chapters, allowing instructors to tailor both lecture and projects around how each vehicle can or cannot accomplish the overall marketing and advertising goals.

Instructors teaching courses that focus on finding strategic and creative solutions to business problems will find that this text not only simplifies abstract design and con- cept-building principles but also clearly and simply outlines:

1. how to lay the foundation for the development of a marketing plan, creative strategy, and creative brief;

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2. how a creative strategy fits in a business plan and how it is developed and used; 3. how to use a creative brief to develop a brand image and/or concept that is cohesive

across multiple media and speaks to the intended target; and 4. how to write and design for multiple media using the strategy developed during

the business phase.

To keep up with the ever-changing media environment, I have updated the discussions on newspaper, magazines, out-of-home and transit, electronic media, and mobile to include more interactive options. The discussion on social media has been expanded to include the growing use of video; additional alternative media examples and case studies have also been presented. Although not all visuals used in the text are available in color, the e-edition of the book uses the color images whenever possible. New to the third edition is the inclusion of discussion questions and additional teaching materials.

A complimentary Instructor’s Manual and Test Bank are available, as well as an open- access Companion Website for students that includes interactive flashcards and other learning material. Visit http://textbooks.rowman.com/blakeman3e or e-mail textbooks@rowman. com for more information.

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Introduction

Have you ever seen an ad and said, “Wow, that’s cool?” Or thought it was stupid, or that you could do it better? If you have, you’re not alone. Unfortunately, creative teams rarely get to do whatever they want with an ad. They must meet strict prerequisites for an ad to be considered effective or successfully sell a product or service. What ends up in print, online, or on television isn’t all about the message; it’s also about how the message visually and/or verbally accomplishes a marketer’s business plan of action.

There’s a lot of really good advertising out there, but if an ad doesn’t reach the target audience with a relatable message . . . if it doesn’t strategically accomplish a predetermined set of objectives or goals . . . if it doesn’t clearly push a single attribute important to the target . . . no matter how cool that ad is, it will fail. Some of the most mundane, seemingly uncre- ative ads you are exposed to are often more successful at accomplishing these prerequisites than their more entertaining counterparts.

Successful, memorable advertising needs to figure out how to tie the business of adver- tising to the creative of advertising, part of the foundation of integrated marketing com- munication (IMC). Creative represents the voice of business and can ultimately determine the success or failure of a product or service in the marketplace. It is important for you to understand that the advertising creative process is not an art—it is a marketing function. To be successful, advertising must seamlessly integrate the business of advertising into a visual/ verbal message that not only sells but also can build or maintain image as well as engage the target, all at the same time.

In a nutshell, the goal of advertising is to generate revenue through information and entertainment. To do this, account and creative teams must build an interpretive creative strategy based on a sound business plan. A creative strategy looks at who is most likely to purchase and what it will take to get them to purchase. A business plan that employs IMC expands the creative strategy’s voice by using one visual/verbal message throughout multiple media. This consistent visual/verbal message can be more accurately targeted to reach those most likely to purchase or use the product or service by incorporating a message developed with their specific needs, wants, and lifestyle in mind.

The development of an effective IMC campaign requires you to look at the creative side of advertising as a part of the business of advertising rather than seeing the two as sep- arate functions within the advertising process. Although two very distinctive and different mind-sets will need to analyze these areas for advertising to succeed or make a profit, they must work together. A creative idea doesn’t work unless the groundwork for that idea is laid down in the marketing process, is tied directly to those most likely to use or purchase

2 I N T R O D U C T I O N

the product, and is appropriately placed in media vehicles they are likely to see, hear, and/ or interact with.

The focus of this textbook is to teach you (1) how to interpret a business plan to create an idea and (2) how IMC uses a strategic approach to build and sustain brand-to-target relationships using a coordinated message in diverse media. We’ll first cover the differences between traditional advertising and IMC and then delve into the details of marketing plans, creative briefs, copywriting, and campaigns. Handy templates serve as a guide to help you execute your creative ideas. In the latter half of the book, we’ll look at specific media—tra- ditional outlets such as newspapers and magazines but also social media, mobile, and new alternatives. Each of these chapters explains the medium, considers the pros and cons of using it in an IMC campaign, and offers hands-on details for crafting creative in that format. Case studies throughout the text are designed to help you see IMC in action.

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‡ C H A P T E R

1

Integrated Marketing Communication

Here We Go Again

Understanding advertising today requires a look at where advertising in the United States began. Integrated marketing communication (IMC) can trace its roots to long before the invention of computers and industrialized manufacturing, all the way back to one-on- one trade among friends and neighbors.

Early in the settlement of the United States, most of the population lived and worked in small, tight-knit communities. While word of mouth was probably the first form of com- munication between sellers and potential buyers, it was personalized selling that built and retained relationships between local consumers and merchants.

Local citizens could rely on area craftsmen for handcrafted items such as furniture and boots and shoes that were custom made to meet a buyer’s individual needs. Household goods such as pots, pans, coffee, tea, ammunition, and tobacco were sold by (or could be ordered through) the resident grocer, while local farmers supplied the community with a variety of meats, fruits, vegetables, and dairy products.

The mid-nineteenth century ushered in the Industrial Revolution, and for the first time, mass-produced goods, often manufactured in far-off places, were sold to a wide audience. The custom work of the craftsman was all but replaced with machine-produced products, effectively ending the two-way dialogue between local merchants and residents. Taking its place was a generic one-way statement from an anonymous manufacturer to an

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unknown, uninvolved consumer. Limited competition and media options made advertising efforts simple and wide-reaching exposure more or less guaranteed—for a while.

Advances in technology eventually expanded media options and encouraged com- petition. Product categories once dominated—often for generations—by one brand were suddenly inundated with multiple equivalent products. Features once considered unique or cutting edge in one brand could now be easily and economically copied by other brands within a category so that what was once a selling point for a particular brand became a routine product feature within months. Without any distinguishing features or meaningful differences between individual products, brand image erodes—along with consumer brand loyalty. The unqualified number of diverse and often misused or incorrectly used media options contributed to this erosion by splintering consumer attention further—offering too many media options to successfully guarantee reaching a specific target audience—and diluting brand awareness.

Today, IMC has resurrected the relationship between buyer and seller by re-creating an environment of consumer-focused communication efforts. IMC’s ability to strategically deliver a consistent message to the right audience through the correct media is crucial to the successful implementation of an IMC creative series. To do this effectively, marketers must develop a creative strategy that not only coordinates advertising efforts, both visually and verbally, but also answers the target market’s most important question: What’s in it for me?

What Is Integrated Marketing Communication?

IMC, also known as relationship marketing, works to interactively engage a specific individual, using a specific message through specific media outlets. The goal is to build a long-term relationship between buyer and seller by involving the targeted individual in an interactive or two-way exchange of information. Expertly placed media efforts and the use of computer databases play a big role in getting the message to the right target audience, as does the development of a consistent visual/verbal image for the product or service.

It wasn’t until the mid-1990s that IMC first began to attract and hold the attention of marketers. Up to this point, most advertising dollars were spent on more traditional mass-media advertising, such as print (newspapers and magazines) and broadcast (radio and television), that sent a more generalized message to a large audience. IMC, in contrast, focuses on the use of alternative or promotional media, such as direct marketing and sales promotion, the Internet, and social media, to name just a few, to reach individual consumers with a personalized message. Consumers in today’s marketplace are inundated with thou- sands of advertising messages daily; they must pick and choose which will be remembered and which will be ignored. IMC attempts to ensure that the message will be remembered by replacing unwanted one-size-fits-all tactics with an individualized message to a much smaller target audience in language consumers can understand and relate to and in media they are sure to see and use.

Messages used in an IMC campaign must be tailor made to fit a specific target audi- ence’s needs, wants, and lifestyle. The goal is to reach one individual within the target with a specially designed message that will create a lasting relationship and develop a brand-loyal

I N T E G R AT E D M A R K E T I N G C O M M U N I C A T I O N 5

consumer who will continue to purchase that brand without the need for continuing advertising efforts.

Each brand or product must be as individualized as the target. The enormous number of media options and virtual product anonymity in many categories make it necessary for marketers to create an identity for a brand or service that will make it stand out from the competition.

It is important that the product’s image match the target’s self-image, and the advertised message must get and hold the target’s attention among the clutter of competing brands.

If it sounds as though it’s more expensive to get a message to individual targets com- pared to a mass audience, it is. IMC is often more expensive to employ than traditional advertising methods, but the results can be worth the expense.

Communicating with a target that has a known interest in the product or service increases reach, or the number of interested people who will see the message, and reduces frequency, or number of times an ad or promotion will need to be used. Exposure to the message is essentially guaranteed when the message is placed in a special-interest medium the target is known to use, making purchase more likely.

The initial steps required to attract a brand-loyal consumer are more expensive than those needed to retain a brand-loyal customer. Once the consumer thinks of a brand as her only choice, the need for additional communication efforts can be reduced, minimizing costs.

Traditional advertising, on the other hand, takes longer to build loyalty. Because it is less likely a given target will have repeated exposure to a mass-media vehicle, the amount of time required to educate the target on the features and benefits of the product or service is increased. The result is a target who is often unable to recall the product’s name at the time of purchase.

Basic Reasons for the Growth of IMC

Technology has changed the way corporations market their products and services. Cus- tomers are now in control of what they buy, when they buy, and where and how they buy. Computerized databases have given a name and personality to the mass audience. Advertised messages can be addressed to an individual and can feature products he or she has a known interest in, based on past purchase behavior. The Internet and other interactive media make it easy to purchase virtually any item without leaving the house, at any time of the day or night, using a toll-free number or Internet site. Consumers are better educated about prod- ucts and can seek out additional information at their leisure. Marketers realize consumers have many product options from which to choose when making a purchase. Because of this, thinking has gone from being sales oriented to being customer driven in a relatively short period of time.

Before IMC, traditional marketing efforts were simple, aimed at making a sale and increasing profits. This type of tactic, where the seller does no more than deliver a message to a buyer, is known as an inside-out approach. IMC, on the other hand, is consumer driven and understands the consumer has many choices available in any single product category.

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Marketers are now focusing on an outside-in approach, in which products are designed to meet consumers’ individual needs and wants.

Successfully employing IMC requires a change in corporate philosophy or a different way of thinking about and planning for strategically effective marketing communications. To be effective, IMC must be looked at as a process for building a relationship with the target and developing a product or offering a service that meets the specific needs of targeted indi- viduals. Product performance and quality are also critical components to success. Each time the target repurchases, the product or service must match her expectations and consistently deliver reliable results (see case study 1).

Why IMC Fails

IMC fails when it is seen as just another communication effort rather than a corporate philosophy expressed both inside and out.

Most people think of IMC as being in parity with advertising, with its one-image/ one-tone-of-voice approach. However, unlike traditional advertising, IMC really comprises all aspects and any “interaction points” of planned or unplanned communication between the brand, service, or corporation and the target audience and is affected by both inside and outside influences.

Planned contact is external and includes outside advertising and promotions employed to reach the target. Unplanned contact is internal, or corporately focused on employees and vendors, and is the least controllable of the two. Because of this, it must be the most flexible form of contact in order to adjust to changing market, corporate, or consumer conditions. Corporate philosophy plays a major role in unplanned contact, which includes:

• Employee gossip • Word of mouth • Governmental or media investigations • Management performance • Customer service initiatives • How sales associates greet clientele • Product quality and performance • In-store and out-of-store displays • Packaging • Distribution • Price • Store locations • Uniforms • Deliveries • Delivery drivers • Dress codes

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• Sales tactics • Management style and/or philosophy

These all will have a direct impact on how the target views the product or service and will affect both initial and repeat sales.

Any change in corporate philosophy brought about by IMC efforts must be commu- nicated internally as well as externally. Even the smallest details affect the success of IMC, and for it to work, every individual in the company, from the top down, must buy into the message being delivered to the consumer. If this is not the case, the target will receive mixed messages: a disconnect between what he hears in communication efforts and what he expe- riences when dealing with a company representative. Consider the following example: If the message to the public is “Fly the Friendly Skies,” every employee with access to the public must be made aware of and understand this message. Nothing will kill the momentum of this advertising campaign faster than the target’s meeting an angry ticket agent or snooty customer service representative.

What Drives IMC

To successfully use IMC, corporations must absorb the message into their corporate phi- losophy to ensure the target receives a consistent message and a reliable product or service. But this is only one of many initiatives that drive IMC. To be truly consumer driven, IMC planning must also address several issues:

• Research • Database development • Use of the Internet • Employing correct media tactics • Building brand-loyal consumers • Creating an interactive relationship • Brand development • Projecting a consistent visual/verbal image • The promotional and media mix • Evaluation

Research IMC can’t work without an intimate knowledge of the intended target audience—those individuals research has determined are most likely to buy the product or use the service. Research is key to understanding what the target audience wants, how buyers will use the product or service, where and how they live, what media vehicles they use or see, and what they are looking for in a customer-brand relationship. Information gathered in the research phase will be used to determine the best promotional and media mix to reach the intended target audience and the type of message that will motivate purchase.

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Ĉ CASE STUDY 1

IMC Advertising: NIVEA

Overview

NIVEA is one of the most recognized skin and beauty care brands in the world. NIVEA cream was first introduced in 1911, and the NIVEA brand now extends to fourteen product ranges worldwide, from sun care to facial moisturizers, deodorant, and shower products.

Objectives

The goal was to increase UK market share for NIVEA Men, but the brand also wanted greater market penetration for male skin care products. In other words, it wanted not just a greater share of the existing market, it wanted to expand that market. It wanted more men buying skin care products. One key aim was to move men from just considering skin care products to making actual purchases.

NIVEA also wanted to sell more male skin care products to women, who research indicated, were often the initial purchaser of skin care products for men. Another objective was to develop the NIVEA Men brand image. The NIVEA brand has always stood for products that are reliable, user- friendly, and good value for money. The brand’s core values are security, trust, closeness, and cred- ibility. These values would be strengthened and expanded on with the relaunch, to get more men and women to think of NIVEA as their first choice for skin care.

Tactics

The NIVEA Men team devised marketing strategies to deliver its objectives. These strategies set out how the objectives would be achieved within the designated budget set by the management team.

This focus on product development combined with an emphasis on consumer needs is a key differentiator for NIVEA Men. It is a major reason the brand is still the market leader in the UK for male facial skin care products.

It is important to get the promotional balance right. NIVEA Men promoted the new launches of its products through a mixture of above-the-line and below-the-line promotion. The use of sport was a key element here. NIVEA Men supported football events at a grass-roots level through its partnership with Powerleague to build positive relationships with men and help create stronger brand affinity. It also allowed the brand to build and maintain a consistent dialogue with men, which helped drive sales.

Above-the-line promotion included television and cinema adverts, which reached a wide audi- ence. By linking its products with sports, NIVEA Men aimed to build a positive male image for them. The brand also benefited from press advertorials in popular men’s magazines, making daily use of skin care products more acceptable to men.

Promotions were used to attract new customers. For example, distribution of free samples encouraged trial of NIVEA Men products, which drove purchase. These promotions have helped build brand awareness and consumer familiarity, which reinforce the brand presence. There is a dedicated NIVEA Men website to support its products and educate men on their skin care needs. To

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enhance the brand, a “Configurator” tool was created on the website to help customers determine their skin type and find the products that best suit their needs.

Results

NIVEA Men adopted a range of key performance indicators to assess the success of the brand’s relaunch in the UK. It looked at:

• Market share. Did the relaunch accelerate this growth and help achieve its market share objectives? NIVEA Men is a market leader in many countries and is consistently gaining additional market share.

• Overall sales. Was this in line with objectives? Internationally, NIVEA Men skin care products grew by almost 20 percent. Its sales in the UK market at retail were nearly £30 million and in line with expectations.

• Brand image ratings. NIVEA Men won the FHM Grooming Award for Best Skincare Range for the fifth year running. Voted for by consumers, this award illustrates that NIVEA Men has an extremely positive brand image with consumers compared to other brands.

• Product innovation. In response to consumer feedback and following extensive product innova- tion and development, the NIVEA Men range has been expanded and the existing formulations improved.

These results show that in the UK, the NIVEA Men relaunch met its overall targets—a significant achievement considering the difficult economic climate. The marketing plan for the relaunch used past performance and forecast data to create a new marketing strategy. This built on the brand’s and company’s strengths to take advantage of the changing male attitudes toward using skin care products.

Source: http://businesscasestudies.co.uk/.

Database Development The growth of IMC can be traced to the development of database marketing. Data- base marketing uses a computer to store personal information about individuals and their past purchase history. Unlike traditional advertising methods, which focus communication efforts on a large group of targeted members, IMC targets individuals. Every time a con- sumer makes a credit card or grocery store purchase, visits a website, subscribes to a maga- zine or trade organization, or fills out a warranty or rebate form, personal information about the consumer is gathered and stored in a database. This information is used to direct future communication to only those individuals known to be interested in a product or service, eliminating advertising waste and allowing for a more personalized appeal.

The ability to talk to a target audience member by name is not all that new. What is new is how much is known about the targeted individual and her special interests. Because messages can be designed to specifically address issues of importance to the target, the ques- tion What’s in it for me? can be answered for every target group or niche market. Database

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information also plays a role in determining the best media and promotional mix, creative strategy, and overall message strategy needed to reach the intended target.

Use of the Internet The use of computer databases to identify targeted audiences and the growth of the Internet as an information source is behind the initial and ongoing success of IMC. The Internet has personalized communication efforts between buyer and seller, moving from talking at the target to talking with the target (particularly through social media sites). As an educational and informational tool, the Internet can persuade and motivate consumers to take the next action-oriented step—such as picking up the phone and dialing a toll-free number to speak directly to a customer service representative or to request additional information, make a purchase, give feedback, ask for coupons, request sales promotion materials, or enter a con- test or sweepstakes—all on their own time, from their own home or office, and with few distractions. The use of credit cards and the availability of multiple quick and easy contact options have made interaction and purchase immediate and, more importantly, interactive.

Consumer use beyond branded pages includes search, viewing branded and original video content, playing games, and interacting with varied social media sites such as Face- book, Pinterest, and YouTube, to name just a few.

Employing Correct Media Tactics It’s no longer necessary for IMC to depend only upon traditional advertising vehicles such as print and broadcast media to reach the intended target audience. Modern IMC is about using any type of communication vehicle to reach the target audience.

It’s impossible to develop a relationship if the target never sees the message. Students of advertising often think only of advertising when deciding what media to use when develop- ing their IMC program. But the options are much more diverse than that. The IMC media grab bag also includes public relations, direct marketing and sales promotion, out-of-home and transit, the Internet and social media, mobile marketing, and alternative media sources such as revolving truck-side billboards, ticket stubs, or toll gates.

The focus in IMC is on getting a coordinated message out to the right target via the best media. The advertised message must appear in the right place at the right time, no matter how unusual that “place” may be. If the target can see it or hear it, it is a potential advertising vehicle. It doesn’t matter if it’s a shopping bag, a bathroom stall, the sidewalk, a bathroom mirror, an athlete’s body, athletic gear, T-shirts, shopping carts, product placement in a television show or movie, pop-ups, or a scrawl on a curb—everything has message potential written all over it. This kind of advertising is known as alternative media. The role alternative media plays is small compared to that of the promotional, traditional mass-media vehicles and digital options, but it is no less important. Although traditional media vehicles are where most advertising is still placed, don’t stop there. Times are a-changin’, and tradi- tional vehicles might not be the best places to find the target.

If the message doesn’t reach the target audience where it is, budgets are wasted; and unless it is utterly unique, the product will not gain enough acceptance to survive in a cluttered prod- uct category. The increasing cost of mass-media advertising makes the old hit-or-miss ways of advertising obsolete. Advertising messages must be placed in the media that research has

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proved to be seen or used by the target market on a regular basis. What media should be used will depend on the target, the objectives that need to be accomplished, and the overall strategy.

Building Brand-Loyal Consumers: The Long Road to Loyalty For decades the middleman—the retailer—has successfully silenced communication between buyer and seller. IMC removes this barrier by encouraging consumers to actively participate in communication with the seller.

Individually targeted buyers can easily gather information or shop from the comfort of their own homes at times convenient to them. By picking up the phone or visiting a web- site, they can place an order, ask a question, or request additional information from a knowl- edgeable customer service or technical representative. In many cases, consumers can order products built to their individual specifications, make suggestions, and give feedback about a product or service or about customer service initiatives. This two-way dialogue between buyer and seller solicits brand loyalty by allowing the consumer to receive a product spe- cifically made to his needs and be a major contributor to ongoing product and corporate development. Brand loyalty means that the target will not only favor a product or brand over all the others in the category but will do so reliably, building the lasting, long-term rela- tionship needed to build brand equity or become the product leader in any one category.

By concentrating communication efforts on a specific group of individuals, you develop an approach that consistently and effectively speaks to the target’s needs. Message develop- ment based on a target’s needs, wants, and special interests sets a product or service apart from competitors, and this is the basis for an effective creative strategy.

Creating an Interactive Relationship It took a long time for today’s product and corporate leaders to understand that it is less expensive to retain old customers than it is to constantly look for new ones. Communica- tion tactics used in an IMC approach shift communication efforts away from the traditional one-way mass-media monologue to a two-way dialogue between buyer and seller. This approach builds a relationship by allowing the target to give feedback, discuss ideas, and register complaints as an involved consumer.

Building a relationship between buyer and seller is a necessary precursor to building a brand-loyal consumer, and brand-loyal consumers require less advertising effort, which leads to rising profit margins.

Relationships are built on dialogue. One feature that distinguishes IMC from traditional advertising efforts is that advertising speaks at a group of individuals through mass-media vehicles about perceived problems or interests, while IMC speaks to (or with) a single indi- vidual about his known problems or special interests.

Brand Development Because today’s consumers are exposed to hundreds—if not thousands—of diverse adver- tising messages daily, it is important that a product or service have a personality, or brand image. A brand is a product’s identity: the name, symbol, image, and use that distinguish one brand from another. A brand’s name is something the consumer trusts based on his or her history with the product. If the product tastes the same, works the same, or fits the same

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every time the consumer buys, she no longer spends time thinking about or looking for a replacement. This is brand loyalty.

Brand value is the sum of every experience the consumer has—not only with the prod- uct but with the company that makes the product. Are the sales associates courteous every time the target enters the store? Do delivery drivers drive cautiously and make deliveries at times that don’t inconvenience consumers? Is the product always as fresh as the advertising says it will be? These are the types of influencers that affect brand image. Every experience between the seller and the target will affect both the brand image and brand equity.

All communication efforts should work to anchor or position the brand’s identity and image in the target’s mind. If the brand’s image mimics that of the consumer, it creates a tie that binds the product to the consumer’s lifestyle. A reliable brand offers reliable results and will be the first product the target thinks of and recognizes when purchasing. With all the similar brands available in any one category, the goal is to make the brand a familiar face among a crowd of strangers to the consumer.

Projecting a Consistent Visual/Verbal Image: The Business Strategy behind Creative Advertising is more than a creative idea: It is the result of months of planning and strate- gizing. Advertising encapsulates a study of the product or service, the competition, and the target audience into an effective and coordinated business and creative strategy.

The results seen digitally, on television, or in print media are just a small part of the business of advertising. At its most basic, advertising is a process that reacts to the client’s or marketer’s business needs by finding a creative way to sell a product or promote a service. Remember, a successful IMC campaign talks directly to a specific target about a specific point he is interested in and placed in a medium he will be exposed to often.

Traditional advertising is no longer the most strategically effective way to reach a media- blitzed, often apathetic audience. To reach today’s savvy and educated consumer with the right message requires a message that relates to the target’s life experiences, reflects the target’s image of himself, and is repeated enough to develop an identity or relationship with the target.

An IMC campaign is based on a set of objectives that communication efforts need to accomplish. Each campaign focuses on a single key consumer benefit of the product or service that research has found is important to the target. This benefit may be unique to the product, or it may feature a creative solution that sets the product or service apart from the competition. Strategy refers to how the key consumer benefit will be creatively delivered to the target. What is collected during target investigations should be used to build an appro- priate message strategy that will talk directly to the target about the product, addressing points especially important to the target.

It is important that all pieces in an IMC creative series have a consistent visual identity and send a consistent verbal message that is easily recognized as the tone, or voice, of the product or service. The visual/verbal identity must talk the talk and look the part consistently from media vehicle to media vehicle. This is not to say the ads should be repetitive—that would be boring—but they do need to have something that ties them together visually, such as the layout style or typeface, color, or spokesperson or character representative (see figure 1.1). Verbally, ads can be tied together through the copy or the headline’s voice and style.

Figure 1.1. These thumbnail cam- paign ideas use a consistent head- line, tagline, logo, and visual “tone” to create a familiar identity for Art Market Gallery across creative pieces. Images courtesy of Paul Domingo, University of Tennessee.

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The bottom line is that every communicated experience should look and sound famil- iar. The ability to strategically direct a cohesive message to the right audience through the correct media is crucial to the successful implementation of an IMC creative series.

The Promotional and Media Mix The ability to reach the targeted audience using the best promotional and media mix avail- able is another of IMC’s many strengths. The promotional mix includes public relations, advertising, direct marketing, sales promotion, out-of-home and transit, the Internet and social media, mobile, and alternative media.

Communication efforts are often directed at different audiences, each requiring its own message and promotional mix. Determining which combination of promotional vehicles to use often depends on the target’s overall knowledge about the product or service. For example, those who know little about a brand will need a different promotional mix than those who are more regular users.

The media mix breaks the promotional mix down to specific media vehicles such as newspaper, magazine, direct mail, Facebook, guerrilla marketing, gaming, and so on. The media mix can be either concentrated or assorted. A concentrated media mix places all advertising efforts into one medium. An assorted media mix employs more diverse media. Like the promotional mix, the type of media mix employed will depend on budget, overall objectives, and the target audience and its degree of brand knowledge and/or loyalty.

Let’s take a brief look at a few of the major players that make up the promotional mix we will be looking at in more detail later in this text.

1. Public relations 2. Advertising, including newspaper, magazine, radio, and television 3. Out-of-home and transit 4. Direct marketing 5. Sales promotion 6. The Internet and social media 7. Mobile 8. Alternative media 9. Personal selling

Public Relations The job of public relations is to give a product or service news value. The most common form of information distribution is done by issuing a news release, but news conferences and interviews are also useful. Such exposure is often free, but it is not always guaranteed. Information sent to local news outlets is not always picked up and used, and when it is, the news staff often rewrites content. Not all forms of public relations rely on the ability to generate news; others, like event sponsorships and brochures, are paid for, have guaranteed message content, and occur on a predetermined schedule.

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Public relations is an effective way to announce events or repair a damaged reputation. Strategically, public relations can be used to inform, tantalize, or build curiosity around a product or service launch, deliver testimonials, or whet the consumer’s appetite for upcom- ing promotional events.

Advertising “Advertising” is a term often used to generically describe all forms of advertising commu- nication. In reality, it covers only communication appearing in print media, including news- papers and magazines, and in broadcast media, including radio and television. Advertising is known as a mass-media vehicle that can reach a large, less-targeted audience. Advertising must be paid for, so media placement and message content are guaranteed. Traditional vehi- cles are still the best choice to build brand awareness and develop brand image.

Out-of-Home and Transit “Out-of-home” is a broad term that describes any advertising seen outside the home. This mass-media vehicle can be simply designed or have digital or three-dimensional compo- nents. Most boards use a single dominant but colorful image with a small amount of copy or no verbal elements beyond the logo. The most commonly employed vehicles include outdoor boards, mobile billboards, and wall murals. A board or mural is a great support vehicle that is best suited as a reminder or teaser vehicle when used in an IMC campaign.

Transit advertising is on the move. It can be found on buses, trains, planes, and business vehicles; in and around stations, terminals, and shelters; or on platforms or benches. Most are very creative and colorful and can include three-dimensional images or quick response (QR) codes, be interactive in some meaningful way, or have GPS devices that change based on the vehicle’s location. Like out-of-home, transit advertising has little to say, so it is best used as a support vehicle.

Direct Marketing Direct marketing, also known as direct response, employs such media vehicles as direct mail, catalogs, infomercials, and telemarketing. Because direct marketing uses databases to reach an exclusively targeted audience, it is one of the best ways to talk to the target on an individual level and induce an immediate response. The availability of credit cards, toll-free numbers, order forms, and websites makes purchasing from home convenient, fast, and easy. Both sales promotion and direct marketing are considered promotional vehicles, and both are great ways to build brand awareness and encourage purchase.

Sales Promotion Sales promotion uses incentives or motivators as an enticement for consumers to buy or use a product or service. Typical incentives might consist of coupons, rebates, samples, contests, sweepstakes, buy-one-get-one-free offers, and premiums such as T-shirts, pens, pencils, and calendars, to name just a few.

Sales promotion incentives can generate interest and are best used for new product launches, “try me” opportunities, or attempts to resurrect an aging brand.

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The Internet and Social Media The Internet allows target audience members the opportunity to gather information or to shop from the comfort of their own homes at a time when they are exposed to fewer distractions. Products can be purchased online, and the target can seek out additional infor- mation interactively through chat rooms with other product users or one-on-one talks with customer service or technical representatives.

The goal of social media marketing is to deliver content that social media users will share with friends and family that assists the brand with building brand awareness, gaining feedback, and broadening reach. Social media can help personalize a brand by creating interactive opportunities with its target audience. The opportunity to directly respond to questions, complaints, or rumors keeps brands in touch with their target and gives loyal users a chance to voice their opinions, making them feel a part of the brand’s success.

Mobile Mobile is one of the best ways to reach a busy, distracted consumer, since the device is always on and always with the target. A great reminder vehicle, it can deliver a personalized mes- sage to targets wherever they are. Mobile offers brands a diverse array of advertising options, such as search, mobile web, text, and video options, gaming, e-mail, coupon delivery, and other interactive options such as QR codes and augmented reality (AR). Users with GPS capabilities can opt in to be reached via text or e-mail when they are near a brand or be alerted to a sale.

Alternative Media Alternative media refers to the use of any clean, printable surface that can be utilized to deliver an advertising or promotional message. Appropriate surfaces might include, but are not limited to, sidewalks, exercise equipment, fruits and vegetables, an ATM, or a gas pump nozzle. These unique media vehicles often reach the target audience more effectively than advertisements in print or broadcast media, so advertising efforts and costs are minimized but maximum exposure is achieved. This nontraditional approach looks at the demographic, psychographic, behavioral, and geographic profile of the target audience and determines what surface, vehicle, or type of event will or will not reach it.

Personal Selling Since this text deals exclusively with consumer promotions and personal selling is usually found in corporate environments, it will not be discussed in detail here. But as a member of the promotional mix, it is worth mentioning. Personal selling is face-to-face selling between a buyer and a seller, the ultimate interactive relationship. However, its one-to-one nature makes it very expensive, relegating its use almost exclusively to the corporate environment.

In choosing the most appropriate media mix to reach the target, it is important to know the targeted consumers: where they are and what they see, hear, or view. Employing the use of alternative media opens a whole range of communication possibilities. The right media mix for the client’s product or service might include any of the following: newspaper or maga- zine articles; remote radio broadcasts; outdoor boards; banners; transit advertising, including

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both interior and exterior options on buses or taxis; small airplane banners; building signs; caps and cups; a message stuffed in the pocket of a new garment; grocery receipts, packaging, and window or in-store displays; table tents; posters; shopping bags; bill or credit card stuffers; freestanding inserts; text messaging; home pages; and banner and pop-up ads. These are only a few of the alternative media options available for use in an IMC campaign. Which ones are most appropriate for an individual campaign is determined by the target and the brand.

Evaluation Evaluating the results of traditional advertising efforts is fairly easy: Did the campaign make money or a return on the brand’s initial investment? Very basically, return on investment (ROI) is determined by how much money was spent on advertising versus how much money was made.

Evaluation determines whether all goals or objectives for the IMC campaign have been met. If they were, great—the message should continue without changes. If not, the advertising team must determine what outside or inside influences got in the way, such as competitors’ advertising, whether the correct message was used, whether the target audience saw and understood the message, and so on.

Evaluation can be a rejuvenator or an annoyance. There are many who feel the evalu- ation techniques used in IMC are inadequate and do not accurately assess results. However, as it stands right now, evaluation is the best indicator of what worked, what should be used again, where additional attention needs to be directed or backed off on temporarily, and what needs to be changed to accomplish the overall objectives.

IMC is designed to make money, but additional ROI or outcomes require more than a strong profit margin to survive in today’s competitive market. It is also important to determine such things as brand awareness, how the target views or positions the product or service against leading competitors in the category, and smaller but no less important issues such as how many new contacts were made, the number of responses resulting from direct- mail efforts, and the number of participants in the most recent sales promotion.

Tying It All Together

The Difference between Traditional Advertising Methods and IMC Traditional or mass-media advertising uses conventional print and broadcast media such as newspapers, magazines, radio, and television to get a message across to a mass audience that may or may not be listening. Because the messages are general rather than personalized in nature, this sort of advertising does not build a relationship with the target audience, and it takes longer to build brand loyalty.

Successful relationships require nurturing, a component missing in traditional advertis- ing efforts. Without dialogue, information can travel only one way, as a monologue from the seller to an often passive and distracted buyer.

That being said, when pure message is all you want to get out, traditional advertising methods are still the best way to build awareness or influence consumer attitudes about a product or service.

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Traditionally, advertising has always taken a lead role, with public relations, sales promo- tion, and direct marketing used as support mediums. IMC, on the other hand, analyzes the various options available and chooses only those that will most effectively and consistently reach the target audience. Advertising is no longer a marketer’s first—or even best—media option, and often it is not used at all.

The Line That Divides IMC differs from traditional advertising in the way it chooses media, uses databases to talk to individual members of the target audience, tailors messages to the target’s self-interest, and creates consistency between advertising pieces via layout and message delivery.

IMC is everything traditional advertising methods are not. IMC is about communicat- ing the client’s message or the key consumer benefit associated with the product or service both consistently and cohesively. It’s about developing an image that is recognizable to the target no matter what medium it appears in.

Traditional advertising knows the target audience; IMC knows the targeted individual and uses a message that relates specifically to that audience member’s needs or wants. Unlike traditional advertising, IMC vehicles can be personalized to speak to one person within a target group or to other shareholders such as employees, retailers, or tradesmen.

Media choices are based on the target’s lifestyle, and IMC messages appear in media vehicles the target is sure to see and use. The brand’s overall image should be expressed con- sistently in the choice of creative strategy, message, and layout style used as well as reflected in the product name, logo design, packaging, price, and overall design layout. No internal or external customer interaction point should be overlooked. These images will further reflect the image and reputation of both the consumer and the store where the product can be purchased or the service can be used. Often, traditional advertising methods do not coordi- nate these elements, sending multiple or unrelated messages to the target. IMC strategically coordinates these elements, both inside and out, into one consistent brand image targeted to a very specific audience.

Being able to define a product or service for a target requires a communications plan of attack. The business of advertising would go nowhere without a creative solution that can cut through the advertising clutter and not only capture the target audience’s attention but also reach out and communicate with its members. To do this effectively, IMC must develop a creative strategy that not only coordinates advertising efforts both visually and verbally but also answers the target audience’s most important question: What’s in it for me?

Defining a Creative Strategy Statement “Creative” describes a unique and individual idea. “Strategy” is a plan to accomplish that creative idea or concept. Employing an IMC creative strategy is all about sending the right visual/verbal message to the right target audience through the right media in order to achieve the overall communication objectives.

A creative strategy statement is an integral part of the marketing communication pro- cess. Once the goals or objectives are set up by the client, the advertising team can begin developing an effective creative strategy that will accomplish them. Effective strategies are

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the slippery yet essential monsters that define advertising direction. Determining the right strategy requires research. You are not looking at ideas, describing a creative look, or solidify- ing media outlets at this point; you are looking at solutions to an advertising problem. These solutions assist in the development of a concept or theme that can be consistently executed both visually and verbally within multiple media without losing substance or focus.

A successful creative strategy statement is developed from information found in the client’s marketing plan (discussed in chapter 2) and is written from the consumer’s point of view. It needs to ask, on behalf of the target, What’s in it for me? How will it solve my problem or make my life better? The answers should ultimately lead to an idea, unique to the product or service, that will influence the target to act on the message and make the product or service stand out from the competition.

The creative strategy statement will define the IMC campaign’s visual/verbal tone of voice and is the foundation for the communication phase of an IMC campaign. The creative strategy affects every aspect of IMC and will ultimately give the product its image and voice and define seller-to-buyer contact.

Who Develops the Creative Strategy Statement and for Whom Is It Intended? The creative strategy is usually developed by the agency account executive (AE), but it can also be developed jointly with the client. Representing the business side of advertising, the AE acts as the liaison between the client and the agency and the client and the creative team. The creative team includes, at the very least, a copywriter and an art director. This team of “creatives” will use the creative strategy to develop the overall concept or idea. Their inter- pretation of the creative strategy begins the construction phase of message development.

The Look of a Creative Strategy Statement Creative strategy statements can take many different forms, depending on the agency and the overall size and scope of the project. The longer, more explanatory form has two main areas. The first looks at the communication objectives; the second dissects the creative strat- egy statement into four main sections: the target (primary and secondary), the competition, the key consumer benefit, and the proposed promotional mix. Let’s take a brief look at each one (see template 1.1).

Communication Objectives Creative strategies must accommodate a specific set of objectives, or what the client needs communication efforts to achieve. Objectives are determined by problems the target or product category may have and any market opportunities the product must take or create to overcome these problems.

Objectives describe what it is you want the target to think, feel, and do after exposure to the message and should answer the target’s number one question: What’s in it for me? Some of the most common objectives might include creating brand awareness, or what the target should think or know about the product or service after exposure to the advertising message; defining a need the product or service can fulfill, such as how the target will feel

TEMPLATE 1.1

Creative Strategy Statement

1. Communication Objectives

2. Creative Strategy Statement. Each section should be answered with no more than one or two sentences.

a. Primary and Secondary Target Audience Profiles

b. Competition

c. Key Consumer Benefit

d. Promotional Mix

T̂

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or how much can be accomplished by using the product or service; and encouraging action on the part of the target, such as making a purchase, visiting a showroom, or calling for more information. Determining how these objectives should be addressed will be the first hurdle the creative team must clear before a creative direction is determined.

Creative Strategy Statement Each of the following sections should be addressed with no more than one or two sentences. A successful strategy requires the creative team to have a thorough understanding of the target audience, the competition, the product’s key consumer benefit, and the media options or promotional mix.

The Target Audience The primary target audience is identified based on research as the most likely prospect to buy the product or use the service. Secondary target audi- ences are often influencers whose opinion the primary target audience member trusts or seeks out for advice. Take, for example, a campaign for the iPod. Advertising efforts may focus on a primary target of fifteen- to twenty-eight-year-olds, with a secondary audience of parents or grandparents of the primary target. Messages targeted to the primary audience may focus on image and features, while advertising targeted to the secondary audience may add information on price or purchasing options.

A thorough understanding of both audiences will help the creative team determine the answers to some important questions: What does the target audience want? Are its members aware of the product or service? What will influence their decision to purchase? How will the product be used in their daily lives? Are they currently using a competitor’s product? If so, what do they like or dislike about that product? What will it take to convince them to switch brands? Are there any major influencers or secondary target audience members who must also be reached?

Advertising to a single target audience no longer has the impact it once had to deliver the brand’s image and promise. Many purchases require little or no thought; others, espe- cially high-dollar purchases or products that reflect a target’s lifestyle, need to fit in, or desire to be the first to own, are influenced by other individuals trusted by the primary target. These individuals are known as outside influencers.

In his book Strategies for Implementing Integrated Marketing Communications, Larry Percy identifies roles an individual can play that can positively or negatively affect his decision or another’s decision to buy:

• Initiator: the individual who originally decides to purchase a product or use a service • Influencer: an outside person or group of people who recommends or discourages

the purchase of a product or use of a service • Decider: the person who ultimately determines what will be purchased • Purchaser: the individual who initiates the purchase or use of the product or service • User: the individual who will use the product or service

It’s important to remember that IMC talks not to a target audience but to a single individ- ual within that targeted audience. Every time the target considers a particular purchase, he assumes a mind-set or plays a role. That role will determine the type of message the target

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receives. Initiators must be made aware of the product or service and the benefits that come with ownership or use. Influencers, such as family and friends, salespeople who may or may not recommend the product or service, and professional influencers such as doctors or financial advisers, must understand the reason a product or service should be recommended or overlooked. The decider must have the answer to the question What’s in it for me? before deciding whether to purchase. The user must not only use the product but also be willing to recommend and repurchase the product or reuse the service.

The Competition This is not a list of competitors but rather a look at what compet- itors are doing and saying in their advertising and a statement regarding what the client’s brand must do to compete within the product category, stand out from the competition, and attract the target’s attention. Knowing how the product is positioned in the mind of consumers, or what they think about the product or service, will help determine a unique and individualized concept direction. A new product will need to have a brand image and position created for it; an established product will need to have its image and position supported; and a mature or reinvented product may need its position altered in the target’s mind or its image rebuilt or reestablished. It’s important to know what leaders in the prod- uct category are doing so that the new message can address or challenge them with its own unique image and voice, avoiding a me-too approach. It is also important for the target to know why the client’s product is better than the competition’s.

The Key Consumer Benefit The key consumer benefit is the answer to the target’s question What’s in it for me? It is the one product or service feature and benefit combination that research has shown to be the most important to the targeted audience. All IMC com- munication efforts will focus on this feature and its corresponding benefit.

It’s important that the creative team know enough about the product or service to be able to understand, define, and highlight the key consumer benefit’s inherent drama. The successful translation of this drama into a meaningful benefit tailor made to fit the target’s self-image and lifestyle will make the product or service memorable, and it will stand out from the competition.

Advertising must be memorable in order to achieve the stated objectives. Memorable advertising will deliver a key consumer benefit that that will solve a target’s problem or reflect a creative concept or idea that resonates with the target’s lifestyle or self-image. For an ad to be memorable, it must:

• Tell a visual and verbal story that can hold the target’s attention. • Push one strong idea of special interest to the target—one that is important to the

target, fulfills a need or want, and can be delivered both visually and verbally. • Clearly repeat the product name throughout the copy and represent it visually

throughout the ad. • Use an appeal that matches the key consumer benefit and target audience profile. • Have a creative element or benefit that makes the ad stand out from other compet-

itors in the brand category.

The Promotional Mix Once the team has a thorough understanding of what needs to be accomplished, who the target is, and what his motivation is to purchase, it’s time to consider the best promotional mix to reach the intended target.

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This section should give the creative team an idea of where the message will appear, since media choices often affect the overall message to be delivered. Choices beyond—or even instead of—traditional advertising can make it easier to reach the target audience during each step of the decision-making process.

How will the advertising team know which media within the promotional mix to use? They must ask the following questions:

Public Relations • Is there something newsworthy about the product or service? • Is it a new product launch? • Is the product or service sponsoring any charitable events or opening new production

facilities? • How does the company fit into the local community? Are relations good or bad?

Sales Promotion • Why is there a need to give something away? • Does the brand strategically need to increase short-term profits? • Is this a new product launch, where samples or “try me” opportunities would increase

awareness and/or sales?

Direct Marketing • How well does the company know the target audience? • Will addressing the target personally increase awareness or induce purchase? • Is there access to a computer database of target names, interests, and past purchase history

to make a personalized message relevant or motivational? • Is this a product or service that lends itself to creating a long-term relationship? • Is there a target or prospective target niche that has been overlooked by previous com-

munication efforts that fit the target profile?

Internet • Do members of the target have a computer? If so, do they use it to seek out additional

information and compare products? • Is this a rational or life-sustaining purchase, such as food or clothing, or is this a purely

emotional or fun purchase? • Is this a product that requires interaction with customer service or technical representa-

tives? • Does this product offer upgrades? Is there a need to update the consumer on product

changes or uses, and can this be done through personalized e-mail notices? • If dealing with multiple targets, can alternative information be delivered with greater

frequency and with less expense electronically? • The Internet takes a product or service global; is the company able to handle this volume

of consumers and keep customer service initiatives high and delivery timely?

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Out-of-Home • Will the target regularly pass by or use any of the available vehicles? • Does the life-cycle stage, or age of the brand, require reminder messages? • Does the brand need to reach a large mass audience? • Can the message easily be tied into the media mix, fortifying and ensuring a consistent

message across vehicles?

Mobile • Will the target reliably respond to mobile notices? • How many mobile users are reachable? • Can the product or service show a strong return on investment? • Is this a type of product or service the target will opt into for information and promo-

tions?

Alternative Media • Is the target hard to reach? • Can the overall message be made interactive? • Why does the brand need to create buzz, or need to awe or use unconventional surfaces

to reach the target? • Is there a valid and relevant reason to offer personalized messages or to interact with the

target one-on-one?

When used correctly, IMC should successfully integrate all messages throughout the pro- motional mix into one unified strategy.

Strategy Statements That Get to the Point An established client making minor changes to a product’s performance or image does not require the same amount of research as a new product or client. Existing knowledge about the target and competition can be easily reexamined and reused to coordinate message and media needs. This type of situation will often require a simpler and more informal type of creative strategy statement that is not more than two to three sentences long and includes:

• The target audience to be reached; • The key consumer benefit; and • The objective or purpose of the communication message.

Some creative strategies developed for corporate advertising may not use any of the above options and instead rely solely on the company’s mission statement as a place to begin idea generation.

Execution of a creative strategy will be discussed in further detail in the section about creative briefs in chapter 4.

I N T E G R AT E D M A R K E T I N G C O M M U N I C A T I O N 25

DISCUSSION QUESTIONS

1. How is IMC different from traditional advertising? 2. What role does personalized selling have in IMC? 3. What are the benefits of having a two-way dialogue between buyer and seller? 4. How has IMC affected buyer/seller relationships, brand image, brand loyalty, and brand aware-

ness? 5. Why is IMC also known as relationship marketing? 6. An ineffective IMC campaign is caused by what internal and external factors? 7. What is the best “type” of message to reach today’s consumer? 8. What are the visual and verbal ways to tie an IMC campaign together? 9. What is a promotional mix, and why is it important? 10. What is the role of the media mix in an IMC campaign? 11. What is the major role of each facet of the promotional mix as discussed in the chapter? 12. What is a creative strategy statement? What are the main areas that make up a creative strategy?

Define and explain each section.

Q̂

26

‡ C H A P T E R

2

IMC Marketing Plans

The Role of the Marketing Plan

The marketing plan dissects the overall environment in which the product or service will be used. Before any creative executions can take place, a company must first determine what it wants to do financially, strategically, and competitively.

A marketing plan is the client’s business plan; it diagnoses the current market situation by looking at any internal and external factors that could affect a product’s success. It is an internal document that outlines the company’s strengths and weaknesses as well as the opportunities and threats affecting the product or service. A marketing plan determines marketing objectives, or what is to be accomplished; profiles the marketing strategy, or how objectives will be met; identifies the target audience; compares current competitive strate- gies; and determines implementation and evaluation tactics.

Without a marketing plan, the client cannot determine overall operating and business decisions or justify advertising spending.

Think of it this way: All advertising begins with a client that has a product or service it needs to promote. To do this effectively and expeditiously, the client first must know a few important facts. To begin with, a thorough knowledge of the product or service is important when comparing its attributes to competing products or services. Next, the client needs to determine the target audience most likely to buy the product or use the service and what product attributes the target likes or dislikes about competing products. Finally, the client must decide what kind of message strategy it will take to set its product apart from the competition.

All the questions and all the answers begin and end with research. Each section of the marketing plan must be carefully researched to determine current trends, attitudes, and both

I M C M A R K E T I N G P L A N S 27

market and target needs. Any problematic areas or favorable trends that need to be addressed or exploited will need to be researched further.

Where to Begin: Research

The organization of research takes place in the marketing plan. Research can be qualitative or quantitative in nature. Qualitative data employ the use of open-ended questions that can be distributed and collected through interviews, convenience polling, and focus groups. A focus group gathers a representative sample of the target audience, usually ten to twelve people, who will use or try the product in a controlled environment. Information gathered in a session can be used to determine creative development, product design, or the effec- tiveness of product attributes, to name just a few.

Quantitative data, on the other hand, are made up of closed-ended or controlled surveys, where participants must choose their answers from a preselected set of responses. There are two types of surveys: formal and informal. Formal surveys include closed-ended questions where participants choose from a predetermined set of responses such as strongly agree, agree, disagree, and strongly disagree. Informal surveys are open ended, allowing participants to give their opinions.

Surveys need not be completed in a sterile office environment; they can be conducted at malls and shopping centers, in parking lots, online, over the phone, or through the mail. Researchers should not concentrate their efforts on only one type of research technique but should consider using multiple options. Ultimately, the type of research performed will depend on what needs to be accomplished, the product or service to be advertised, and the target audience for the product or service.

Client input determines what type and how much information needs to be gathered. Once researchers know the questions that need to be answered, they must determine if the information exists or needs to be gathered. There are two types of information available to researchers: primary and secondary data. Primary data do not exist and require that orig- inal research be gathered from a variety of sources such as surveys, interviews, focus groups, observations, or experiments.

Secondary data are already available and can be found from external sources like the public library, websites, trade associations, and the US Census.

Research is the foundation for the development of a marketing plan. The marketing plan solidifies the client’s marketing goals or objectives and serves as the launching pad for creative strategy development and all future communication efforts. See the Goldfish Crack- ers integrated marketing communication strategic marketing plan (case study 2).

What Does a Marketing Plan Do?

Simply put, a marketing plan is a comprehensive look at a business’s place within its product category. Its primary function is to detail a business’s strengths and weaknesses as compared to its competition and determine any opportunities or reveal any relevant threats within

28 C H A P T E R 2

Ĉ CASE STUDY 2

IMC: Pepperidge Farm Goldfish Crackers Campaign

Overview

By 2004, Pepperidge Farms Goldfish crackers, introduced in 1962, had evolved into a megabrand available in more than twenty-four individual flavors and varieties, from the original cheddar to pea- nut butter–filled sandwich crackers and crispy rounds. At the end of that year, Goldfish sales in the United States were $168.5 million, making it the number-two snack-cracker brand, behind Nabisco’s Ritz crackers. But despite its ranking, the Goldfish brand was slipping; in 2004 sales of the crackers dipped 8.3 percent from the previous year.

To lift its iconic brand out of the doldrums, Pepperidge Farm, a division of the Campbell Soup Company, looked beyond its agency of record—Young & Rubicam Advertising in New York—for creative help. The company charged BrightHouse Live, a small Atlanta-based agency known for its unique approach to marketing and advertising, with developing a clever new marketing campaign for the Goldfish brand. BrightHouse Live created a television-focused campaign that featured an animated goldfish character named Finn. The campaign, which began in January 2005, also included in-store and online marketing and new packaging for the Goldfish crackers. A budget for the cam- paign was not announced, but according to TNS Media Intelligence/CMR, a unit of the UK–based market research firm Taylor Nelson Sofres, in 2003 Pepperidge Farm spent $16.3 million on advertis- ing for its Goldfish brand, a figure almost unchanged from its spending in 2002.

The new campaign, as well as its spokescharacter, Finn, seemed to resonate with consumers and helped increase sales of Goldfish crackers by about 5 percent within several months of its launch. Media insiders also praised the campaign, using a variety of adjectives to describe Finn, from lovable and funny to spunky and irreverent. Additionally, the Campbell Soup Company credited the cam- paign and its spokescharacter with boosting Pepperidge Farm’s sales in 2005.

Historical Context

According to its website, Pepperidge Farm’s humble beginnings in 1937 were in the kitchen of Mar- garet Rudkin, the mother of three children. To ease the allergies of one of her children, the industrious mom began baking bread for her family that contained none of the preservatives or artificial ingredi- ents found in commercially baked bread. Her efforts in the kitchen soon evolved into a small business named for the family farm in Connecticut: Pepperidge Farm. The first product, whole-wheat bread, gained in popularity with consumers, and in the 1940s the line was expanded to include oatmeal bread, dinner rolls, and stuffing mix. The peripatetic Rudkin also added to the product line by col- lecting recipes during her international travels, including European-style cookies that she discovered while traveling in Belgium in the 1950s. In 1961 the Campbell Soup Company acquired Pepperidge Farm. The following year Goldfish crackers were introduced after Rudkin discovered the snack cracker during a trip to Switzerland and returned with the recipe and permission to market it.

Ogilvy & Mather had served as Pepperidge Farm’s ad agency for forty years. In 1995 it resigned from the Pepperidge Farm and Goldfish crackers account, reportedly because of a business conflict, and agency Saatchi & Saatchi/New York took over the account. When a smiling face was added to the original goldfish in 1997, ‘‘Smiley’’ the Goldfish icon was born. Saatchi & Saatchi created the accompa-

I M C M A R K E T I N G P L A N S 29

nying tagline: ‘‘The snack that smiles back.’’ In 1998, following a consolidation by the brand’s parent company, Campbell Soup, Young & Rubicam Advertising in New York won the Goldfish account. The agency introduced a new campaign for Goldfish crackers in 2003 that included the theme song ‘‘Jin- gle for Goldfish.’’ The campaign, which targeted kids eight to twelve years old, featured two scruffy, longhaired musicians playing acoustic guitars and singing the jingle. Television spots placed the singing duo in a variety of settings, including on a school bus and in a classroom. At the request of Pepperidge Farm, Atlanta-based BrightHouse Live joined the team in 2004, and its Finn the goldfish campaign was released in January 2005.

Target Market

Any parent, babysitter, or other person who had ever quieted a fussy toddler with a cup of Goldfish crackers could appreciate the value of the tasty fish-shaped treat. But with the new campaign featur- ing Finn, a personable animated goldfish, the goal was to help create an even closer bond between the popular Pepperidge Farm brand and the children who enjoyed Goldfish crackers. As an added benefit, the clever spots connected with the adults who purchased the product. The animated Finn also was designed to continue Goldfish crackers’ appeal to tweens—kids eight to twelve years old— and teens who had been given the fish-shaped crackers as toddlers but had perhaps stopped eating them in favor of other snacks. To further reach its target market, Pepperidge Farm introduced a Gold- fish website, www.pfgoldfish.com, that enabled older kids to go online and play games featuring Finn. The site also offered a variety of activities that parents or caregivers could play with kids three to five years old, such as determining how many Goldfish crackers tall the child was. In addition, new packaging (the milk carton box was replaced with a bag similar to what was used for other products in the line) added to the appeal of the brand for consumers of all ages.

Objectives

1. Update the brand. 2. Reinforce the bond between target and brand.

Competition

In the snack-cracker wars, flavor, as always, was paramount; but in the early 2000s, part of the battle was about the shape of the cracker. Pepperidge Farm’s fish-shaped crackers were near the top of the list, with 98 percent of Americans surveyed saying that they recognized and were familiar with Goldfish crackers.

Nabisco, which claimed one of the top spots in the snack-cracker market with its Ritz brand, went one step too far in its competition with Pepperidge Farm when it introduced its own fish-shaped crackers in 1998. Nabisco’s new crackers were planned as a tie-in to the Nickelodeon television net- work’s program CatDog. The new crackers resulted in a lawsuit, pitting Nabisco against Pepperidge Farm. The latter alleged that Nabisco’s new crackers infringed on its Goldfish brand trademark. In 2000 a federal court upheld Pepperidge Farm’s claim and ordered Nabisco to discontinue production of its fish-shaped cracker. Later in 2000 Kraft Foods acquired the Nabisco brand for $18.9 billion.

While Nabisco’s Ritz cracker brand claimed the number-one spot in the snack-cracker market at the end of 2004, with $232.6 million in annual US sales, the company was still looking for a niche in the shaped-cracker market. Nabisco introduced dinosaur-shaped puffed crackers under its Ritz

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brand in 2005. The new Ritz Dinosaur crackers were created in direct response to Pepperidge Farm’s Goldfish crackers and targeted the same young consumers and their parents.

In 2005 the Kellogg Company introduced its own character-shaped cracker under its Keebler Sunshine cracker brand, Cheez-It. Rather than a fish or prehistoric creature, however, Keebler Sun- shine’s new crackers were shaped like the cartoon character SpongeBob SquarePants and directly targeted the kids who munched on Ritz Dinosaur and Pepperidge Farm Goldfish crackers.

Targeting an older audience, in 2004 Kellogg introduced Twisterz, another variation on its Cheez-It crackers. The new shape, a twisted cylinder rather than the traditional square, was launched in time for the end of college basketball season and included combination flavors designed to please college-age consumers: Cheddar & More Cheddar, Hot Wings & Cheesy Blue, and Cool Ranch & Cheddar. The new product launch was supported by a marketing campaign created by Leo Bur- nett/Chicago and continued the brand’s tagline: “Get your own box.’’ With $140.1 million in sales, the Cheez-It cracker brand ranked fourth in the snack-cracker market at the end of 2004.

Marketing Strategy

Although New York–based Young & Rubicam Advertising remained the agency of record for Goldfish crackers and other Pepperidge Farm brands, in 2004, when Pepperidge Farm wanted to put a differ- ent spin on advertising for the fish-shaped cracker and update the brand, it partnered with Bright- House Live, an agency based in Atlanta, Georgia. Opening its doors in 2003, BrightHouse Live had quickly earned a reputation for devising unusual advertising campaigns. The creative idea developed by the agency was primarily a television campaign that featured an animated goldfish named Finn. A specific budget for the campaign was unavailable, but according to a report in Adweek, in 2004 Pepperidge Farm spent approximately $14 million from January through September on advertising for the Goldfish cracker brand.

Prior to the creation of the campaign, Pepperidge Farm devoted more than one year to con- ducting market research about Goldfish crackers. Included were interviews with mothers and chil- dren to determine what the brand meant to consumers. The company also worked with Character, a leading character-development agency within the film industry, to help establish the personality of the new spokescharacter, Finn.

BrightHouse Live created a series of four thirty-second and three fifteen-second television spots. The initial two thirty-second spots, which were first aired in January 2005, highlighted Goldfish crack- ers’ cheddar-flavored variety. Subsequent spots featured the brand’s Flavor Blasted and Sandwich Snackers varieties. Each spot showed Finn interacting with other Goldfish crackers as he made plans to help protect them from being eaten by hungry humans reaching for a snack. Finn warned, ‘‘To avoid being eaten, you’ve got to avoid the bowl, avoid the baggies. Cool?’’ One spot had Finn’s advice being ignored by the other Goldfish crackers. As the crackers laughed and jumped into a bowl on a kitchen counter, a person reached into the bowl and took a handful of the crackers. A voice-over stated: ‘‘Tasty Goldfish crackers, baked with real cheddar cheese. It’s a wonder they’re not extinct.’’ Finn sighed and returned to the package to try again to warn the remaining Goldfish crackers about how to avoid becoming a snack for humans. The spot ended with Finn exclaiming, ‘‘So much for fish being brain food.’’

In addition to television spots, the campaign included in-store advertising and Internet promo- tions on a new website for the product that featured games and activities for kids to play alone or with their parents. As part of a brand update, the company designed new packaging for the crackers.

I M C M A R K E T I N G P L A N S 31

the marketplace. It also defines marketing or sales objectives and determines the appropriate marketing strategy needed to accomplish those objectives, defines the target to be addressed and the competition, and determines evaluative measures.

Developing a plan that incorporates input from customers is the first step in developing a strong IMC plan. For the plan to be truly integrated, it must ensure all messages use the same tone of voice and are reflected in all internal and external communication. If a client wants to increase sales, profits, and brand equity, it must have a plan that will specifically talk to the right audience, define the product and the competition, and offer a product that is unique and consistently reliable. A typical marketing plan comprises seven sections. For a sample marketing plan, see template 2.1.

Let’s take a quick look at the seven basic areas that make up a marketing plan:

• Situation analysis (SWOT) • Marketing objectives • Marketing strategy • Target market analysis • Competitive strategies • Implementation tactics • Evaluation

In an interview reported in Business Wire prior to the release of the campaign, Pepperidge Farm’s vice president of youth snacks, Steve White, said that by bringing the familiar goldfish to life as the spokescharacter Finn, ‘‘we feel confident that kids of all ages are going to love the character as much as they love the snack.’’

Outcome

At the time of the new campaign’s 2005 launch, Pepperidge Farm’s Goldfish crackers were among the world’s most popular snack crackers, with American consumers devouring more than 85 billion Goldfish crackers annually. Within six months of the start of the campaign, Pepperidge Farm reported that sales of Goldfish crackers were up more than 5 percent. Parent company Campbell Soup also noted the success of the campaign in its third quarter report for the period that ended May 2005. The report stated, ‘‘Sales of ‘Pepperidge Farm Goldfish’ snack crackers experienced good gains due to continued momentum of the base brand and the favorable impact of new advertising featuring the new animated character, ‘Finn.’’’

Besides resonating with consumers and spurring sales, the campaign was well received by media insiders. Writing in the Chicago Sun-Times, Lewis Lazare described Finn as a lovable advertising icon that was ‘‘funny and irreverent’’ with ‘‘spunk and soul.’’

Source: “Goldfish Crackers Campaign,” Marketing Campaign Case Studies, http://marketing-case-studies. blogspot.com/search/label/Campbell%20Soup%20Company.

TEMPLATE 2.1

Marketing Plan

Marketing plans differ from organization to organization, and their appearance can vary as widely as their content. This example is only one way of developing a comprehensive market- ing plan. The marketing plan should be as long as necessary to understand the competition, the client, the target, and the marketing objectives. All business documents should be dou- ble-spaced with at least one-inch margins on all four sides. Use either ten-point Helvetica or eleven-point Times to make reading easier. Be sure to number all pages.

Include the following when completing a marketing plan:

Name:

Date:

Assignment:

Situation Analysis:

Marketing Objectives:

Marketing Strategy:

Target Market:

Competitive Strategies:

Implementation Tactics:

Evaluation:

T̂

I M C M A R K E T I N G P L A N S 33

Situation Analysis The situation analysis looks at current marketing conditions and their possible effect on marketing efforts and how factors in the marketplace can affect outcome. It is here that the product or service, the competition, the target audience, and any environmental, economic, legal, and political situations are dissected and analyzed.

Each of these factors can be broken down and examined further by developing a situ- ation analysis, or SWOT. A situation analysis looks at a company’s strengths (S) and weak- nesses (W) as compared to the competition and any opportunities (O) for and threats (T) to the product or service within the marketplace.

Further studies will compare current product features with those of the competition, analyze any previous communication efforts, and determine distribution needs.

A thorough look at the target audience and any competitors’ advertising efforts will help determine how the situation analysis can be used, if the objectives can be met, or if any modifications will be needed.

Marketing Objectives From the data developed in the situation analysis, a set of marketing objectives will be devised to determine what the company wants to accomplish through its marketing activ- ities. Over the next year, client objectives will concentrate on various financial outcomes, such as sales or profit issues.

Marketing Strategy A marketing strategy determines what steps will need to be undertaken to accomplish the stated objectives. It is here where the marketing mix will first be identified.

The Marketing Mix The marketing mix, traditionally known as the 4-Ps, is a brand’s marketing plan of action and includes product, price, promotion, and distribution, or “place.” Each will play a vital role in message development. Because advertising today is so consumer focused, many mar- keting plans employ a fifth P—people—to the marketing mix.

• Product. This specifically deals with anything having to do with the product, including quality, features, packaging, servicing arrangements, and warranties.

• Price. Any price issues are looked at here, such as payment terms, cash or credit options, and any discounts or sales materials.

• Promotion. This deals with the communication or promotional mix, including public relations, advertising, direct marketing and sales promotion, out-of-home and transit, the Internet and social media, mobile media, and alternative media. The promotional mix provides a foundation for examining the best promotional options available to reach the target audience with the right message.

• Distribution, or “Place.” This deals with where the product will be available for pur- chase.

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• People and/or Personnel. This section deals with the targeted consumer as well as any internal contact point who uses or comes in contact with the brand; also, the com- petency and professionalism shown at any customer contact point.

Target Market Analysis The more that is known about who will be using the client’s product, the easier it will be to target the message directly to them. This section breaks down the intended target audience, those people research has determined are most likely to buy the product or use the service, into the following market segments: demographics, psychographics, geographics, and behavioristics. Segmentation can also be based on usage patterns, level of loyalty, and specific benefits.

Good ideas should talk to the target in words the target can understand. To do this effectively, target attributes must be isolated in a more personalized way.

Demographics breaks down personal attributes such as age, sex, income, marital and professional status, occupation, education, and number of children.

Psychographics looks at the target’s personal attributes that affect lifestyle, such as cultural, emotional, family, health, and social issues as well as hobbies and overall beliefs. Psychographics affect how the consumer will view the product and advertising.

Geographics defines where the target lives and how that affects who he is, how he thinks, his goals, and his limitations. Geographics can be broken down regionally or by city, state, or zip code. Where a person lives often influences the type of product he will buy and where the product should be advertised. A hard-laboring blue-collar worker might have different goals and limitations from those of a college graduate. They use and are exposed to different media and require different messages.

Behavioristic profiles look at why a person buys: Is it loyalty, social acceptance, brand name, or need?

When determining the correct target market for the client’s product or service, any one or combination of the above segmentation practices could be used. Answers found within these segments will determine both message content and media choice.

Demographic and geographic information is used to determine if the target market has sufficient disposable income available to purchase the product.

Psychographics and behavioristic data are used in the creative development stage. Demographic, psychographic, behavioristic, and geographic information can be found by purchasing or using existing databases, surveys, or focus groups.

If IMC is to successfully build a relationship and develop advertising materials that are consumer focused, research needs to take a thorough look into the lives of the target audience. As discussed in chapter 1, it is simply too expensive and wasteful to advertise to anyone who is not interested in buying or using a particular product or service. Because IMC is intended to develop a personal relationship and build a loyal client base, advertising must talk to those most likely to use the product or service.

To personalize a message, the creative team needs to know what media targets are most likely to use and what motivates and interests them. The success or failure of advertising depends on whether the information gathered will help determine what kind of promo-

I M C M A R K E T I N G P L A N S 35

tional mix will reach the target audience members and what kind of message will solve their problem, address their image or social status issues, or satisfy any specific needs and wants.

Again, there may be times when you will need to divide a larger target audience into smaller market segments or secondary markets. For example, if your client is in jewelry and the primary market is eighteen- to thirty-four-year-old women, a good secondary market might be husbands, significant others, parents, or even grandparents. Each would require a creative approach unique to that market segment.

How Are Certain Target Audiences Chosen? It is important to find a reason a target audience needs the product or service being pro- moted. What does the target want that is currently unavailable? How can the client’s product or service meet that want? What does the client’s product or service offer that the compe- tition doesn’t? Who are the people who are in need, how do they live, and where do they live? What do they buy now? What are their purchase and media habits? These questions and more can be answered through target profiling.

In his book Strategies for Implementing Integrated Marketing Communication, Larry Percy lists five potential target audience groups that can be further broken down into two catego- ries. Knowing where the target audience falls will decide message development and media choice.

Noncustomer Groups • New category users—those trying the product for the first time • Other brand loyals—those loyal to competitors’ brands • Other brand switchers—those who have loyalty to no particular brand and will switch

based on a sale or promotion

Customer Groups • Favorable brand switchers—those who favor the brand but will consider switching • Brand loyals—those who are using the brand and will never switch

Identifying Ethnic and Other Influential Consumer Groups When targeting for a new product, creative efforts must reflect both lifestyle and buying habits. Different target segments will look at new product launches differently, some more openly and others more skeptically. Both require an approach that talks to their lifestyle. Knowing how the target audience members think and act, what their needs and wants are, what excites them, and what offends them makes addressing their issues and concerns easier. This knowledge helps in building a loyal customer base and allows the product or service to grow and change as the target changes.

Changes may be based on growth of a specific ethnic group, age or purchasing power, geographical relocation, or a change in interests. No matter what the change may be, issues associated with these changes will affect each ethnic and other influential consumer group differently. In the United States there are three very distinct ethnic groups beyond Cauca- sian: African Americans, Hispanics, and Asian Americans. Within these groups the target can

36 C H A P T E R 2

be further broken down by age affecting purchasing power, life-cycle stage, media usage, message content, and media consumption.

Each group, although often part of a larger target profile, requires a message designed especially for it. Brand loyalty throughout ethnic and other influential groups is higher if communication efforts use members of the target group, are written in the group’s native language, and appear in print or on a broadcast media targeted to their specific demographic group. Let’s look at how these very different markets break down.

African Americans According to the US Census, African Americans and other blacks make up just over 14 percent of the population. According to research by the Nielsen Group, African Americans shop the most often but spend less on each trip. They shop more often in smaller establishments such as drugstores and convenience stores. Typical households have an annual median income of just over $43,000. Additional statistics show African-American women to be the leading force behind this group’s spending growth. More than 18 percent of African Americans have a bachelor’s or advanced degree, and just over 44 percent own their own home. Almost half the black or African-American population is married with no children, allowing for discretionary buying. Brand loyal and preferring private-label brands over nationally distributed ones, their top expenditures include housing, food and clothing, cars, trucks, and health care.

African Americans watch more TV than any other ethnic group and are heavy users of premium cable channels. They tend to use the most voice minutes on their phones and watch the most mobile videos. Mobile devices are heavily used to access the web and e-mail. Social media access is often done from a PC, and they tend to favor Facebook in general over other outlets. Print plays a very small role in their media consumption.

Hispanics The Hispanic market includes many national-origin groups, the largest being Mexicans, Puerto Ricans, Cubans, and South Americans. The US Census reports the Hispanic population at just over 17.6 percent. They are the second-fastest-growing ethnic group in the United States, according to the 2010 US Census, with a median age of twen- ty-seven years. More than 47 percent of Hispanic Americans are married, and they have the second-largest households overall, with 3.3 members. The median household income is $47,150, and almost 15 percent are college graduates. Most, just over 75 percent, are bilingual.

Image is important to Hispanic consumers, and many admit to being heavily influenced by peer reviews. They believe quality is an important factor when purchasing. According to research by the Nielsen Group, Hispanics spend more but shop less often than other ethnic or racial groups. Those who primarily speak English shop more frequently in supercenters and drugstores, while those who primarily speak Spanish prefer shopping at dollar and con- venience stores and warehouse clubs. The most heavily purchased items include children’s products, health and beauty aids, and fashion.

Heaviest media use includes watching Internet videos and using mobile devices for web access, shopping, social media, texting, and e-mail. They enjoy engaging with brands online and are typically early adopters. They are both heavily influenced by and influential on social media. According to the Association of Hispanic Advertising Agencies, “the voice of Hispanic marketing,” they spend over seventeen hours a week watching Spanish-language TV and twelve hours listening to Spanish-language radio and just slightly less watching and

I M C M A R K E T I N G P L A N S 37

listening to broadcasts in English. They enjoy reading both newspapers and magazines and are most likely to engage with Internet advertising that uses technology in a creative way.

Asian Americans The Asian-American population includes people of Chinese, Fili- pino, Indian, Vietnamese, Korean, and Japanese descent, among others. The US Census places the Asian-American population at almost 6 percent. According to the 2012 US Census, it is the fastest-growing and most affluent ethnic group, with a median income of $72,472. It is also the best educated, with 54 percent having college degrees, and has the largest percent- age (27 percent) of multigenerational households.

Asian Americans are brand-conscious consumers and are generally geographically con- centrated, making them an easy and cost-effective group to reach.

Asian homes are the most “wired” and represent the greatest online use of all ethnic groups. They also are the most inclined to respond to sales and promotions. Typical purchases include fresh produce, baby items, cars, technology, and health and beauty aids.

These tech-savvy consumers are the most active mobile, tablet, computer, and Internet users among all groups looked at. They are avid Internet video watchers and are most likely to share ads, like ads, or purchase products they have seen from ads. They are more likely than any other ethnic group to do offline research on products seen online before purchase.

Defining the Labels Surrounding Target Segmentation Demographic groups are often labeled based on events that shaped or defined their forma- tive or childhood through adult years. This can be formulated around cultural, economic, and political influences. For example, “Baby Boomers” got their name based on the large number of babies born immediately following WWII. Generation X, or “Baby Busters,” got their labels from two different sources. Baby Buster originated because birth rates dramati- cally declined following the baby boom generation. Generation X comes from a 1991 book by Douglas Coupland entitled Generation X: Tales for an Accelerated Culture. The letter X, he explained in a 2014 NPR article entitled “From GIs to Gen Z (Or Is It iGen?) How Gen- erations Get Nicknames” by Samantha Raphelson, “was meant to signify his generation’s desire not to be defined.” The label “Millennials” reflects a demographic segment that came of age in the new millennium. Finishing off the alphabet segmentations is Generation Z, also known as “Centennials” because they were born nearest the turn of the century. Let’s take a quick look at each group.

Baby Boomers No longer the largest targeted population segment as of 2015, they still hold 70 percent of the nation’s discretionary income.

This aging demographic is projected to make up 20 percent of the US population by 2029. Educated decision makers, baby boomers are an affluent demographic segment, with an average income of $60,000. Boomers fifty-five and older control more than three-fourths of America’s wealth.

The fifty-plus consumer is living longer and is more physically active, better educated, and more financially secure than previous generations at this age. This market is open to new brands and is willing to try new products. Boomers are the biggest buyers of new technol- ogy and cars. Most boomers are married, 80 percent own their own home, and 47 percent are still employed. The majority of boomers are white, with only 12 percent being African American, 4 percent Asian American, and 12 percent Hispanic American.

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This target group watches more TV than eighteen- to forty-nine-year-olds and spends more time online than teenagers, spending $7 billion online annually. Baby boomers rou- tinely spend time listening to the radio and are heavy users of all forms of print. They are profuse catalog purchasers, making them a great direct-mail target. Purchases tend to be on home improvement products, home furnishings, large appliances, health and beauty, grand- children, and casual dining. Seventy percent buy at least one product online a month and are avid texters.

Baby boomers do not see themselves as old and worn out but rather as healthy, inde- pendent, active, and successful. Advertising efforts should reflect that lifestyle.

Generation X Gen X, also known as the “Baby Bust” generation, is a relatively small consumer group, making up only 16 percent of the US population. According to American Express, they have the largest spending power of any generation, controlling 29 percent of the country’s net worth and 31 percent of the overall income; 82 percent own their own home.

Often overlooked by advertisers and marketers because of their small numbers, this powerful target is more educated and makes more money than their baby boomer parents at similar ages. However, they have less wealth overall, thanks in part to decreased savings, lower interest earnings, and increased student debt.

Sandwiched between the much larger and more vocal baby boomer and millennial generations, the often-underestimated Gen Xers came of age following Watergate, Vietnam, and the stock market crash of 1987 that spurred a recession. Thanks to the economic and political conditions of the day, they were often mislabeled as cynical, angry, insecure slackers who question conventionality.

Born before the birth of the Internet, like their baby boomer parents, they had to quickly adapt to the exploding digital landscape. In a 2016 Adweek article entitled “5 Rea- sons Marketers Have Largely Overlooked Generation X,” Robert Klara notes, “Their age leaves them with one foot in the past and one in the future—and that leaves marketers confused about which platforms should be used to reach them.”

Digitally savvy, this demographic still finds traditional media relevant, with 48 percent regularly listening to radio, 62 percent routinely reading newspapers, and 85 percent watch- ing favored television programming. Sixty percent own a smartphone, and 75 percent use social media. Their Internet use concentrates on shopping, banking, and researching prod- ucts. Snail mail and e-mail are also favored media outlets.