The document is a study on integrated marketing communications (IMC) conducted by Vidhi H Shah for her college course. It includes an introduction to IMC, definitions of IMC, the components and factors contributing to IMC, levels of integration, and a case study on how the entertainment industry uses IMC. The document provides an in-depth examination of the concepts, principles, process, evaluation and barriers of implementing an effective IMC strategy.
1. Integrated Marketing
Communications
An In-Depth Study
PROJECT BY:
Vidhi H Shah
TYBMS (SEM V), 2001- 2002
Project Co-ordinator: Hardee Shah
DATE OF SUBMISSION: OCTOBER 10, 2001
NARSEE MONJEE COLLEGE OF COMMERCE AND
ECONOMICS
VILE PARLE (WEST),
MUMBAI – 400 056
2. I nt egrat ed M ark et ing C om m un ic at io ns
An I n- D ept h S t udy
Submitted by: Vidhi Shah
TYBMS [Semester V]
Narsee Monjee College of
Commerce and Economics.
Project Co-ordinator: Hardee Shah
Submitted on : October 10,2001
Integrated Marketing Communications 2
3. Declaration
I Miss. Vidhi. Shah of Narsee Monjee College of
Commerce and Economics of TYBMS (Semester V)
hereby declare that I have completed this project on
“Integrated Marketing Communications – An In-
depth Study” in the Academic Year 2001 – 2002. The
information submitted is true and original to the best of
my knowledge.
Signature of Student.
Integrated Marketing Communications 3
4. Certificate
I Miss. Hardee. Shah. hereby certify that Miss. Vidhi.
Shah. of Narsee Monjee College of Commerce and
Economics of TYBMS (Semester V) has completed
project on “Integrated Marketing Communications
– An In-depth Study” in the academic year 2001 –
2002. The information submitted is true and original to
the best of my knowledge.
Integrated Marketing Communications 4
Signature of
Project Co-
ordinator
5. ACKNOWLEDGEMENTS
Before going on with the project study, I would like to extend my sincere
gratitude to a few people without whom this project just wouldn’t have
been possible. First and foremost I would like to thank my Project Guide
Ms. Hardee Shah for having spent considerable time and providing very
useful insights in to the world of Integrated Marketing Communication.
I would also like to extend warm regards to Mr. Girish Korde (Brand
Manager, FairGlow), Dr. R.K. Sinha (Marketing Manager, GCPL), Mr.
Sumit Mitra and Mr. C.K. Vaidyanathan Vice-president- Corporate
Personnel of Godrej Consumer Products Ltd. for shelving out some of
their precious time to provide the information required.
I also sincerely appreciate the help provided by Mr. Ajay Kelkar (Sr.
Manager, Marketing) Shoppers Stop.
It was an amazing experience working on this project and I would once
again wish to thank all the people related to it for making the task
worthwhile and so much fun.
Integrated Marketing Communications 5
6. A ROADMAP TO THE REPORT
TOPIC Page no.
PART I
Introduction…………………………………………………………………… 09
What Is Integrated Marketing Communication ………………………. 11
An Analogy – The Symphony Orchestra ……………………………….. 14
Components of IMC……………………….………………………………… 16
Factors contributing to IMC's rising prominence ……………………. 18
Heart Of IMC – 5 Power Concepts ……………………….………………. 20
Levels of Integration …………………….…………………….…………….. 22
Consumer Psyche and Information Processing ……………………….. 24
CASE I
How the Entertainment Industry Capitalizes on IMC ……… 27
Success Factors and Advantages of IMC ……………………………….. 39
PART II - PROCESS OF IMC
Characteristics of an IMC approach 42
Communications Mix Hierarchy 43
The Actual Process: 45
Model for Planning Integrated Marketing Communication 47
CASE II
Godrej Consumer Products Ltd. 50
Issues In Co-Ordination Of An IMC Campaign 61
PART III - REINVENTING THE AGENCY
Reinventing the Agency 68
Integrated Marketing Communications 6
7. PART IV - EVALUATION AND BARRIERS
Evaluation – IMC Audit 72
Barriers To Implementation 78
Necessary Conditions for IMC Success 80
Recommendations 85
Conclusion 88
ANNEXURE A
IMC AUDIT FORM
The Integrated Marketing Audit
ANNEXURE B
IMC IN GLOBAL ARENA
ANNEXURE C
QUESTIONNAIRE
BIBLIOGRAPHY
Integrated Marketing Communications 7
8. PART I
I M C
AN INTRODUCTION
Integrated Marketing Communications 8
9. Introduction
Pepsi, announced some time back that it was scrapping its familiar red,
white, and blue design and switching to a radical new electric blue
package and logo design, the reason being that Pepsi's image, particularly
in international markets, had been losing something in translation.
As The Wall Street Journal observed in reporting on the Project Blue
launch, "Pepsi’s image is all over the map." The story explains that a
grocery store in Hamburg uses red stripes, a bodega in Guatemala uses
'70s-era lettering, a Shanghai restaurant displays a mainly white Pepsi
sign, and a hodgepodge of commercials feature a variety of spokespeople,
ranging from cartoons and babies to doddering butlers.
It's not just Pepsi's marketing communication that sends different
messages to different people. Consumers say the cola tastes different in
different countries, so PepsiCo's plans also call for revamping
manufacturing and distribution to get a consistent-tasting drink
marketed throughout the globe. And some of its European marketing
communication partners were mixed in their support of the plan because
they felt they weren't consulted about how it was to be implemented, so
there's work to be done there, too.
Everything Sends a Message: What happened to Pepsi dramatizes the
point that message consistency is a systemic problem, as well as strategic.
It has to be approached from the viewpoint of the whole company and its
total business operations, not just from how the company executes its
marketing communication or corporate image programs.
Integrated Marketing Communications 9
10. As Nicolas Hayek, CEO of Swatch, says, "Everything we do, and the way
we do everything, sends a message." And that’s where Integrated
Marketing Communications comes in. Integrated marketing
communications is a process that manages all of a company or brand's
interactions with customers and other key stakeholders. Its premise is that
everything a company does, and sometimes what it doesn't do, sends a
message.
In the marketplace of the 21st century ... the driving force is not a
company with products to sell but customers controlling what, where,
and how they want to buy. Thanks to the Internet, 24-hour toll-free
phone numbers, credit cards, and express delivery services, consumers
are accessing information on demand and seeking out the products and
services that interest them.
Gone are the days when a company determined where, when, and how it
sells its product. This new approach not only changes the way we make
our purchasing decisions, it also revolutionizes how companies market to
their customers. For most companies to win, they must replace outdated
mass-marketing tactics with a targeted, customer-focused approach.
Integrated marketing communications (IMC) is one such customer-
centric, data-driven method of communicating with consumers. Nestle,
IBM, Sprint, Microsoft, Apple computers, Nike and many other companies
have adopted the IMC approach.
Integrated Marketing Communications 10
11. What is Integrated Marketing?
Integrated marketing is a comprehensive approach to internal and
external organizational communication.
Definition of IMC:
As per American Association of Advertising Agencies
'The concept of marketing communications planning that recognizes the
added value of a comprehensive plan that evaluates the strategic role of a
variety of communication disciplines - for example, general advertising,
direct response, sales promotion, and public relations - and combines
these disciplines to provide clarity, consistency and maximum
communications impact'.
According to Don Schultz, Integrated marketing Communications is a new
way of looking at the whole, where once we only saw parts such as
advertising, public relations, sales promotion, purchasing, employee
communications, and so forth. It is realigning communications to look at
it the way the customer sees it - as a flow of information from
indistinguishable sources.
A successful IMC campaign requires that the firm find a right
combination of promotion tools and techniques, defines their roles and
the extent to which they can or should be used, and coordinate their use.
In the words of Duncan and Everett, Integrated Marketing
Communications may be defined as “The strategic coordination of all the
messages and media used by an organization to influence the perceived
brand value”
The focus here is on two aspects:
1) Being present at all the contact points
Integrated Marketing Communications 11
12. 2) Managing the communications well that your brand speaks one
language. As Nowak and Phelps say - your brand should have ‘One
voice’ reaching to your customers, may it be by any number of
channels.
If this does not happen:
a) You may miss out on some of the contact points where your customer
awaits your communications but he does not find you and he
abnegates the brand.
b) You may reach different contact points but different communications
(including the intangibles) speak differently, your customer gets
confused as to what he should associate with your brand.
Thus the first aspect creates awareness and the second aspect creates
and maintains loyalty.
Other views on what Integrated Marketing Communication is:
“Integrated marketing is a cross-functional process to create, maintain and
grow profitable relationships with customers and other stakeholders, with
the intended result being a gain in brand value for the company, as well
as it's products/services.”
“IMC is the management of all organizational communications to build
positive relationships with customers and other stakeholders -- stresses
marketing to the individual by understanding needs, motivations,
attitudes, and behaviors.”
“Integrated marketing unifies the core purpose, key goals and strategies
and company-wide processes to create congruent messages and sufficient
dialog with all stakeholder groups.”
Integrated Marketing Communications 12
13. Necessary conditions for an Effective IMC program:
Today, IMC definitions are broader in application, as a brand is developed
in stakeholders' minds as a result of all interactions they have with a
company, and not just as a result of a campaign they are exposed to. The
premise is virtually the same — synergies are achieved when all brand
contacts work in concert.
While definitions differ, the practice of IMC involves the same success
factors and helps organizations build and deepen relationships with their
many stakeholders. The following conditions should be considered
"necessary," but not sufficient conditions of IMC practice:
1. It must speak to all stakeholders with a "single," consistent voice.
2. It must assume the consumers' point of view.
3. Its strategic communications disciplines must be internally
integrated.
4. It must have a clear and consistent message that is more efficient
and effective than competing messages.
5. Its messages must cut through the increasingly cluttered
commercial landscape.
6. It must foster a two-way dialogue between consumers and itself.
7. It must build bonds that lead to long-term, consumer-to-brand
relationships.
8. It must not place excellent marketing ahead of corporate
reputation.
Thus in the IMC approach, the different communications are in the form
of arcs making up a 360-degree circle, at the center of which lies the
customer. With too much communication surrounding the customer he
gets confused, he being a center of many brand communications circles
and still more if the communications from a single brand are not
Integrated Marketing Communications 13
14. integrated. Thus the communications need to be spread and integrated on
a holistic basis what forms the basis of IMC.
Integrated Marketing Communications 14
15. An Analogy – A Symphony Orchestra
'Integrated communications' are like a band. The different
communications instruments-advertising, public relations, database
marketing, media specialists, sponsorship, interactive, event marketing
and the rest - are just like different musical instruments: piano, trumpet,
trombone, violin, clarinet, percussion and the rest. This analogy is neither
as silly nor as simple as it sounds.
The first thing to note is that although all the instruments normally play
the same tune, they are not interchangeable; they make different noises.
When each plays alone, the melody will be recognizable. But if you think a
piano playing Rule Britannia is the same as a trumpet playing Rule
Britannia, you are tone deaf. Very few consumers are tone deaf. They will
recognize that the underlying messages being conveyed, say, by public
relations and sponsorship, are identical, but the tone will be entirely
different. The form in which a message (or melody) is conveyed is nearly
as important as its content, sometimes more important.
Second, all the different disciplines must play in harmony.
But, third, it does not always mean they must play exactly the same tune.
There are many occasions when they should be playing in counterpoint.
On their own, it may not be apparent they are playing the same melody at
all. Each may be exploiting its own virtuosity, instead of echoing the
others.
Badly done integrated marketing campaigns squeeze different
communications media into straitjackets which minimize their individual
vitality. To force all types of communications to use the same message,
Integrated Marketing Communications 15
16. instead of allowing them to deploy their own strengths and complement
each other is direly inefficient.
The Analogy leaves several questions unanswered:
Who is to be bandleader, and how is the band to be led?
Would the traditional jazz formula be best, in which all the musicians
go through the harmonies beforehand, and then more or less do their
own thing?
Or is the discipline of a powerful conductor needed, to control the
tendency to wander and restrain the egos of the players?
A company that wants to make maximum use of the synergy of integrated
marketing communication has to do more than simply initiate
advertising, direct marketing, public relations and data base
management. It requires total management commitment to a multi-faceted
program of operations and marketing.
Integrated Marketing Communications 16
17. The Components of IMC
Integrated Marketing will require strategic combination of two or more of
the following basic marketing elements/instruments used in concert to
multiply the effectiveness of a campaign:
• Advertising (Print/ Television/Radio) - used to inform
and entice a prospect about a company's product or service, draw
attention to the company Web site and stimulate trial use.
• Public Relations - also used to inform, but adds credibility by
use of a third party endorsement.
• Web Site/ Internet - used by both existing customers and
prospects to obtain product and service information and, with the
implementation of eCommerce, conveniently purchase online.
• Sales Promotion - provides short-term incentives to buy. Best
used when offered to prospects who are already familiar with the
product or service.
• Direct Marketing - used today mostly to establish an ongoing
relationship with a current customer or prospect in order to
stimulate repurchase and build loyalty.
• Special events
• Video and audio presentations
• Multimedia presentations etc.
Integrated Marketing Communications 17
18. There are TWO CRITICAL FACTORS that have the most influence on the
effectiveness of an Integrated Marketing campaign.
The first is the strategic combination or "mix" of the basic
elements. Achieving the most effective mix is usually the result of
experience.
The second critical factor is the consistency of the theme across all
elements in the campaign. Logically, consistency is best achieved
through the use of a single source responsible for defining the role of
each element, creating the theme, and coordinating the timely
implementation of the campaign. However, consistency is where most
companies who believe they are already integrating their marketing
efforts usually fall short.
The following Research compiled from the U.S. Department of Commerce,
the American Management Association, and the Direct Marketing
Association reiterates the fact that strategically combining the basic
marketing elements with a consistent theme will impact results:
Average stand-alone direct mail campaign generates 3.3% response
rate.
One basic marketing element added to stand-alone direct mail
campaign, response rate increases to 5.4%.
Two basic marketing elements added to stand-alone direct mail
campaign, response rate increases to 6.7%.
Three basic marketing elements added to stand-alone direct mail
campaign, response rate increases to 6.9%.
Integrated Marketing Communications 18
19. Factors contributing to IMC's rising prominence
1. Fragmentation of media - both the print and the Television
media have proliferated dramatically in the past decade which has
resulted in less reliance on mass media and more emphasis on the
other promotional options, such as direct mail and event sponsorship.
2. Better audience assessment - More sophisticated research
methods have enabled more accurate and specific targeting, leading
the marketer away from the mass media to promotional tools that
reach only the segment that has been targeted.
3. Consumer empowerment - empowered consumers are more
skeptical of commercial messages and demand information tailored to
their needs.
4. Increased advertising clutter has diluted the effectiveness of
any single message. There seems to be no end in sight to this 'media'
proliferation.
5. Many marketers feel that traditional advertising is too expensive and is
not cost effective. Hence there is a trend of shifting of
budgets from media advertising to other forms of promotions.
6. Database technology can be used to create accurate customer
and non-customer profiles for developing highly targeted direct
response & telemarketing programs can be implemented.
7. Channel Power - Retail channels are developing power and hence
are able to demand promotional fees and allowances from
manufacturers, which diverts funds away from advertising and into
special events or other promotions.
8. Increased Accountability have led the firms to reallocate
marketing resources from advertising to more short-term and more
easily measurable methods such as direct marketing and sales
promotion.
Integrated Marketing Communications 19
20. 4P’s versus the 4 C’s
The current revolution in the market has brought about several
‘Differents’. This has led to the replacement of 4 P's of marketing by the 4
C's of marketing. The 4P’s v/s the 4C’s:
Not PRODUCT, but CONSUMER : Understand what the consumer wants
and needs. Times have changed and you can no longer sell
whatever you can make. The product characteristics must now
match what someone specifically wants to buy. And part of what
the consumer is buying is the personal "buying experience."
Not PRICE, but COST : Understand the consumer's cost to satisfy the
want or need. The product price may be only one part of the consumer's
cost structure. Often it's the cost of time to drive somewhere, the cost of
conscience of what you eat, and the cost of guilt for not treating the kids.
Not PLACE, but CONVENIENCE : As above, turn the standard logic
around. Think convenience of the buying experience and then relate
that to a delivery mechanism. Consider all possible definitions of
"convenience" as it relates to satisfying the consumer's wants and
needs. Convenience may include aspects of the physical or virtual
location, access ease, transaction service time and hours of
availability.
Integrated Marketing Communications 20
21. Not PROMOTION, but COMMUNICATION : Communicate, communicate,
communicate. Many mediums working together to present a unified
message with a feedback mechanism to make the communication
two-way. And be sure to include an understanding of non-
traditional mediums, such as word of mouth and how it can
influence your position in the consumer's mind. How many ways
can a customer hear (or see) the same message through the course
of the day, each message reinforcing the earlier images?
Integrated Marketing Communications 21
22. The Heart of IMC
In keeping with the above trends, there are Five power concepts that go
in IMC and make the communications efficient and effective.
1. Customer Focus i.e. Your message must be appealing, relevant
and accurately timed and must be based on the understanding and
anticipation of what the customer expects and wants, when he wants
it, and how he wants it to be delivered to him.
2. Customer Empowerment i.e. you empower your customer to
define the relevance, you do not define it for him and do not force the
content as per your convenience. You allow him to decide how deeply
he wants to be involved in the communications. This concept extends
beyond the permission from customer. Her you are asking your
customer to take the lead.
3. Immersive marketing i.e. you need to be consistent at all the
contact points and need to have continuity such that all the roads of
different media lead down the same path to the brand. The beauty of
your communications lies in that the consumer gets the option only to
decide how far to go and not what different objective to go for.
4. Brand Resonance i.e. your communication while creating
relationship must stand for something that the customers think is
worthy of a relationship with them.
5. Emotional bonding i.e. your brand develops a relationship with
your
Integrated Marketing Communications 22
23. customer based on the insights about the customer. He is not only
loyal to your brand but he treats the brand as a friend, a trustee, a
close relative, or as an inseparable part of his life. In this case he
becomes an advocate for your brand and propagates your message
himself. In other sense he becomes a contact point for the other
consumers. Thus the communications become vital to be managed so
well that even this newly created contact point speaks the same voice.
Correctly implemented, the IMC program is a continuous cycle of gathering
data and implementing response-generating marketing communications,
which are based on previously, gathered data. Marketing communications
derived from consumer need can build perceived value into your product
or service, and separate it from the competition in the minds of your
customers and prospects.
Integrated Marketing Communications 23
24. Levels Of Integration
Integration of communication goes beyond the definition of one message,
one voice to which so many marketers ascribe. Integrated marketing
communications is not just merely a piece of advertising, a piece of public
relations and a piece of direct mail that all look the same. Rather, IMC is
the management of all brand contact points through an integrated,
consumer-driven strategy. It means realigning your communications from
your customer’s perspective so that your public relations is
indistinguishable from your advertising, your direct marketing is
indistinguishable from your promotions and so on.
There exist various levels at which such integration can take place. The
following table details each of such stages.
Stages of Integration of Marketing Communication
LEVEL I
Tactical Co-ordination To create ‘one sight, one sound’ by
consolidating communications
planning. Often leads to attempts at
cross-functionality, where teams of
specialists from different areas of
expertise are formed to increase
synergy.
LEVEL II
Redefining the Scope of Marketing Rather than considering
Communications communications as an outbound
activity, the firm looks at all points at
Integrated Marketing Communications 24
25. which the consumer and the brand
are in contact. Most important result
of this level of integration is inclusion
of Employees as both target for and
proliferators of Marketing
communications.
LEVEL III
Application of IT The key ingredient here is the use of
databases to capture individual
transactions. This enables the firm to
market to groups of individuals
rather than the average customer at
the middle of the segment.
LEVEL IV
Strategic and Financial Integration In this level two issues are
paramount:
a. The ability to measure the return
on customer investment
b. Ability to use the marketing
communication to drive
organizational and strategic
directions.
Rather than measuring say, extra
sales resulting from an advertising
campaign, the firm would now
measure the returns from a specific
group of customers against costs
associated with that group.
Integrated Marketing Communications 25
26. Consumer Psyche & Information Processing
Key to effective communication is understanding how consumers process
the vast amount of information that comes their way each and every day.
To cope, we select only that information that we perceive to be important
and ignore the rest. Thus, we limit our span of perception as a way of
coping. If the marketing message is to be selected and processed, it must:
Consist of sensory and life experiences that can easily be identified and
transformed into a unified concept,
Have mental relationships to other categorized ideas, and
Fit into the categories and mental linkages that people have already
created for themselves.
Marketing communication messages that are not recognizable, are not
related to each other, conflict with what has already been stored, or are
simply unrelated or unimportant to the person will simply not be
processed, but ignored. Communication only occurs when the consumer
accepts, transforms, and categorizes the message. Two models of
information processing have been proposed are as follows:
Models of Information Processing
1. The Replacement Model assumes that it is possible for the
marketer to "replace" previously stored information chunks with
new ideas. What is said does not matter as much as how often and
how loud the message has been transmitted. With enough
exposure, the new will replace the old.
Integrated Marketing Communications 26
27. 2. The Accumulation Model of information processing assumes
that message consistency is critical since the consumer accepts,
processes, and stores information about the product or service
relative to what has already been mentally accepted.
The storage and retrieval system works on the basis of matching
incoming information with what has already been stored in
memory. If the information matches or enhances what is already
there, then the new information will likely be added to the existing
concepts and categories. If it doesn't match, the consumer has to
make a choice, either the new information can replace what is
already there or the new information can be rejected. If rejected, the
consumer would continue to use existing concepts and categories
and ignore the new. This is called a "judgment system" - in that
consumers match or test new information against what they
already have and then make a judgment to add to, adapt, or reject
the new material. The judgment system (perceptual consistency)
prevents consumers from having multiple concepts or categories for
the same message.
When consumers reject the information or do not add or attach it to
what they already have, there is a failure to communicate. In many
cases, the failure to communicate is the result of the marketer
being unable to match his or her messages or fields of experience
with those of the prospect or customer.
Consumers use the same information processing approach whether the
new data comes from advertising, sales promotions, a salesperson, an
article in a newspaper or magazine or from what their neighbor is telling
them. The marketer who presents non-integrated messages risks not
having any of his or her messages processed because of the conflict that
Integrated Marketing Communications 27
28. occurs in the consumer's information processing system. If for no other
reason that the risk of confusion, marketers must integrate their
messages or consumers will simply ignore them.
As we shall see in the case of the Entertainment industry, Rugrats uses
this model of Consumer Information Processing. Via communication
across media like computer games, CDs, magazines, books, comic
strips, toys, an amusement park, live stage shows, Nickledeon
attaches newer information with the prior information and leads to the
creation of a Whole Big Picture. Coupled with a good quality product,
Rugrats became such a success that a sequel to it is already on its way to
premier.
Integrated Marketing Communications 28
29. Case I
How The Entertainment Industry Capitalizes On IMC
As the entertainment industry is forced to become more creative in
reaching its audiences, the opportunities for marketing communications
are endless. As Hollywood creates more and more ways to communicate
with its audiences, the need for integration is paramount. With
burgeoning franchises, entertainment companies have begun to delve
deeper into marketing strategies that enable them to connect with their
customers across their whole range of properties and communication
divisions. The hype about integration has created a "buzz" in Hollywood
that has the industry turning out some of the best marketing strategies
and campaigns in years.
Entertainment companies are defining their success with well-thought-
out, consumer-driven strategies and are using an array of marketing tools
to connect with audiences in more relevant and creative ways. In the
process, integrated marketing communications (IMC) is beginning to take
center stage as the entertainment industry’s shining star.
IMC Takes Center Stage
IMC has taken center stage in the entertainment industry as a result of
several factors and trends. Two of the greatest of these factors driving IMC
principles are:
The proliferation of media choices
The proliferation of media has fragmented audiences, making it harder
and harder to reach them through traditional means. Long gone are
the days when a single 30-second television commercial could capture
the attention of an entire target audience. Today’s media competitive
frame includes 12 networks, 213 cable channels, hundreds of radio
Integrated Marketing Communications 29
30. stations and even more magazines (www.ultimatetv.com). At the same
time, consider the number of movies and home videos released each
month. Even still, we must add the thousands of websites available on
the Internet to this media mix.
The changes in consumer media consumption.
As the number of media options has increased, audiences have become
more diversified. Viewers are now able to make choices in their media
consumption that match their specific interests.
Television for the masses is passe. As the number of media outlets is
rising, ratings are decreasing. For example, the last episode of Seinfeld
drew fewer viewers than a regular episode of the Beverly Hillbillies. It is
clear that advertisers must become more sophisticated in their media
targeting if they are going to reap the benefits that these changes in
media consumption can offer.
However, as an industry that is dependent on media for advertising, as
well as for the delivery of its product, these facts are even more
striking.
Hollywood has responded to the situation by flexing its marketing muscle
to leverage communication across all of its customers’ brand contacts, not
just advertising. This strategy has led the industry to focus on aligning its
marketing efforts for a property around all of its company divisions,
rather than limiting its marketing power to the division responsible for the
main product, such as theatrical or home video.
Using creativity and marketing savvy, the entertainment industry has
successfully capitalized on aligning communication vehicles through the
following four principles:
Integrated Marketing Communications 30
31. Principle I - Focus on the consumer
The industry is increasingly becoming more consumer-focused,
using media outlets to find out what their consumers want and
then deliver it to them through well-defined, specific formats and
programming.
Entertainment companies are proving that they know this tenet
better than most others.
The business is using integrated marketing principles to connect
with its customers not only through its advertising messages, but
also through the entertainment product it offers.
As explained earlier, the proliferation of media today has resulted in
extreme audience segmentation. For example, the WB network
reaches ethnic viewers, FOX offers specific children programming,
Lifetime TV’s format targets women, and ESPN attracts sports fans.
The rise of such specific television formats indicates that the
industry is moving toward segmentation strategies. The effects of
audience segmentation in the entertainment industry have led to
marketing strategies shaped by the consumer. Consumers shape
brands based upon their individual perceptions and judgments,
and marketers must measure the significance these brands hold in
relation to their targets and build identities around these meanings.
Franchises are demonstrating that consumers own the brand
through the branding strategies and promotional partners they
utilize. For example, networks and shows are starting to brand
themselves in consumer-specific ways. As a result, we have seen
the emergence of networks defining their brand identity according
to their audience’s perspective.
Integrated Marketing Communications 31
32. "Everything we do, every contest we run, is from a kid’s point of
view," says Cyma Zarghami, general manager and executive vice
president of Nickelodeon. "It permeates the way we work and what
we do." Such networks are branding themselves through their
consumers’ voice with such slogans as Lifetime TV’s "Television for
Women." Slogans such as this reinforce that networks are talking to
specific customers with specific interests, instead of a mass
audience.
Case in Point: The Rugrats on Nickelodeon
Nickelodeon demonstrates this principle in its explicit commitment
to its consumers — kids. Nickelodeon is the creator of the first
television network for kids. The network became the 24-hour cable
ratings leader for the first time in 1995 and continues to hold the
title today. Kids are at the very core of this network. As its website
touts, kids are the creators, drawers, thinkers and writers for
everything that takes place on Nickelodeon. In fact, the grown-ups
behind the scenes display all of the pictures that kids send them
and post them on refrigerators throughout the company as a
constant reminder of their audience.
As a result of this cable channel’s philosophy, much of its
programming follows the same lead. For example, The Rugrats, is
an animated series about life from a toddler’s point of view and is
written completely from a child’s perspective. Debuting in 1991,
this hit series has won several awards including the Emmy, Cable
Ace and Parent’s Choice. It began as a Sunday morning cartoon and
now airs 13 times each week with more than 23 million viewers.
The growing success of this animated series could be trumpeted as
the result of the audience perspective upon which it is based.
Integrated Marketing Communications 32
33. Principle II - Aligning marketing communications
vehicles
Another essential communication principle appearing in
entertainment marketing strategies involves the various
communication tools employed in delivering messages to
consumers. The spotlight on the entertainment industry’s
marketing strategies is most evident through the creative
executions that the various marketing mix elements offer the
entertainment industry.
With all of the competition, Hollywood can no longer create
something and expect people to come see it. Instead, it has to
promote it and promote it right. This means communicating with its
audiences at every point that they interact with the brand.
Chris Moseley, senior vice president of marketing and
communications at Discovery Networks, reinforces the importance
of alignment of all customer contact points: "I think all four parts of
the equation — programming, marketing or promotions (and I use
them interchangeably), sales and research — are key factors in how
well anything performs." The result is an integrated marketing
experience that builds relationships between the company and its
consumers.
Case in Point: The Rugrats Movie
The marketing campaign for the release of Nickelodeon’s The
Rugrats Movie demonstrates how a successful entertainment
marketer builds this experience across all brand contacts. The
movie was scheduled to open November 25, 1998. The integrated
marketing strategy for this animated film based on the TV series
Integrated Marketing Communications 33
34. already includes computer games, CDs, magazines, books, a
comic strip, toys, an amusement park and a live stage show.
• The official buildup of the movie began with on-channel
promotion, including new TV episodes, leading to one that sets
up the movie by revealing that the main character’s mom is
pregnant.
• Other Rugrats promotional support includes a partnership with
Burger King for a Kids Club promotion.
• Also in the marketing mix is the release of two computer
programs in the month preceding the movie release, one of which
is based on the movie itself.
• Broderbund Software and Nickelodeon plan to launch numerous
cross-promotions with the release of the game, including print
advertising, contests and in-theater promotions beginning in
September.
• Furthermore, the Rugrats marketing blitz includes:
(a) A newspaper comic strip
(b) A guest appearance at Paramount’s King Island where kids
will have an opportunity to meet their favorite Rugrats
characters during a "Rugrats Weekend’
(c) A live musical tour
(d) A Simon & Schuster book series to coincide with the U.K.
release of the movie
(e) Rugrats merchandise and hundreds of licenses for Rugrats
items (including dolls, board games, clothing, bedding,
videos, fruit snacks, school supplies, greeting cards and
party goods)
Through this comprehensive marketing strategy, Nickelodeon has brought
‘The Rugrats’ and the movie into the lives of its audience in all ways that
it interacts with the brand.
Integrated Marketing Communications 34
35. Principle III - Internal corporate synergy
Entertainment companies are building alliances across their entire
franchises in order to bring their entertainment properties to life
across as many mediums as possible.
Andrew Capone, senior vice president of marketing for NBC
explains, "I want to find a way we can combine a number of our
properties, including cable and our stations, to help clients in
integrated marketing solutions." In order to heighten the success of
their products, as well as those of their advertisers, entertainment
companies are realizing that they must build alliances across all the
divisions of their brands. The opportunity to tap into their sister
companies is certainly an advantage for this industry in capitalizing
on this idea of synergy.
Case in Point: Anastasia
Twentieth Century Fox boldly executed this IMC principle to
successfully market the studio’s first self-produced animated
feature. The marketing strategy behind News Corporation’s recent
release of Twentieth Century Fox’s Anastasia positioned each
division to contribute to the success of the animated feature in the
following manner:
• Harper Collins published a series of Anastasia-based children’s
books
• The Fox network interspersed Anastasia minutes (behind-the-
scenes looks at how the movie was made) into its prime schedule
• News America offered the cover of its weekly FSI
Integrated Marketing Communications 35
36. Leveraging the entertainment properties within its own company
proved to contribute significantly to the overall success of the film,
giving Fox a platform to continue making animated movies in the
future.
Steven M. Ross, executive vice president of worldwide promotions
and product placement at Twentieth Century Fox, further supports,
"It’s a huge advantage having such resources available through
sister companies." Many marketers in the industry are aware of this
fact, and as a result, are making great efforts to build alliances with
their other divisions in their companies.
Principle IV - Measurement and feedback loop
As the entertainment industry has moved toward more consumer-
focused strategies, it has integrated the customer into the feedback
loop in order to find out exactly what its specific target is seeking.
The Internet is one of the most recent ways that Hollywood
franchises are working to close the loop in communicating with
their audiences. The Internet allows the entertainment industry to
receive first-hand feedback about products from its audiences,
while building relationships in the process. The traditional forms of
relying solely on Nielsen ratings and box office sales, the industry
traditionally only has been able to measure its success according to
number of viewers, but never has had the ability to learn much
about their audiences beyond the surface level. The primary
interaction it has had with fans has been limited to focus groups.
Integrated Marketing Communications 36
37. The Internet changes all of that. The interactivity available through
this medium enables entertainment franchises to communicate
directly with audiences about their likes and dislikes, plot ideas,
etc. As a result, the Internet not only builds relationships between
these franchises and their audiences, but also provides
entertainment companies with valuable information about their
audiences that they can utilize in the creative development process
and in their marketing communications.
Case in Point: Disney.com
Entertainment franchises are quickly learning how to take
advantage of this new opportunity called the Internet. Disney has
long set the standard for marketing success, utilizing several
integrated marketing principles such as corporate synergy. Recently
the marketing franchise has expanded its ability to connect with its
audience through its corporate home page. According to a survey,
Disney’s website was recently ranked number nine on a list ranking
several websites’ ability to build relationships. Disney.com
incorporates several vehicles to connect with its audience:
(a) One method Disney utilizes to accomplish this task is through
live chat events where kids can talk to their favorite Disney stars
online. The use of such tactics is building relationships with
their viewers that were never possible before.
(b) Another way that Disney.com builds relationships is by
expanding the entertainment experience online. Its website
features opportunities such as Club Disney, real play areas in
two locations, where they can plan their trips, tours and
birthday parties online before they visit.
Integrated Marketing Communications 37
38. (c) Another part of the website features Disney Blast, a new online
service offered to kids featuring games, stories and other
interactive opportunities.
(d) In addition, the website provides kids and their families direct
access to all aspects of the Walt Disney franchise including its
movies, the amusement parks, the Disney Channel, Radio
Disney, its TV shows, the company’s cruise line, the Disney
Vacation Club, the Disney Magazine, and all of the other various
company divisions spanning computer software to home video.
In this way, Disney is always accessible to kids and their parents. Also,
the way in which Disney.com provides audience contact with all divisions
of the company helps to reinforce all that Disney has to offer its
customers. Kids and parents can click on any one of the departments and
send a message to them. Disney.com serves as a model of how companies
can expand their audience’s experience with the franchise while helping
to strengthen the relationships built through those experiences in the
process.
The outstanding performances that the entertainment industry has
executed certainly suggest that integrated marketing communications
deserves a star on Hollywood’s famous "Walk of Fame." However, the
industry would be amiss if it did not recognize the ways in which it could
further its alignment with IMC practices and principles.
The industry’s application of the aforementioned principles is leading
marketers to believe that successful entertainment properties are all
about good marketing. The industry’s ability to capitalize on such
principles appears to be a formula for success for networks such as
Nickelodeon and studios such as Twentieth Century Fox and Disney.
Integrated Marketing Communications 38
39. Words of caution:
While the entertainment industry has demonstrated its ability to integrate
a consumer message across all marketing communications vehicles and
company divisions, it still has not mastered the ability to align itself
internally.
• In several of the entertainment franchises, the synergy across divisions
is siloed. Dealing with a sister company may make it easier to start the
negotiating process, but in many entertainment conglomerates no
formal internal structure exists to make marketing alliances a natural,
synchronized process. Having demonstrated the benefits that synergy
has to offer, the entertainment industry should work toward fleshing
out the internal structures that make this alignment possible.
• Companies also have room to grow in their focus on the consumer.
While entertainment has made great strides in communicating with
children’s markets through new tools like the Internet, many other
strategies are still not consumer-driven.
A significant number of networks and studios do not have feedback
mechanisms in place, or if they do, they are not using them to their
full potential in order to deliver on their audiences’ wants and needs.
• Entertainment companies cannot rely solely on ratings and box office
grosses to learn about and connect with their customers. With the
technology available through the Internet, entertainment companies
should actively work toward aligning their strategies with this
principle. As companies such as Nickelodeon and Disney demonstrate,
the benefits of consumer focus are multifaceted and advantageous for
both the company and its advertisers.
• Last, entertainment franchises must use an element of caution when
applying integrated marketing principles. Implementing a strategy that
utilizes all parts of the marketing mix, such as advertising, public
Integrated Marketing Communications 39
40. relations, direct marketing and sales promotion, does not necessarily
constitute integration.
A complete commitment is essential to achieve this level of comprehensive
communication; simply applying all of the independent tools is not
enough. This means aligning the entire company with the same goals,
missions, objectives, standards and accountability — the company’s
culture, the employees hired, the company’s promotional partners, the
types of programming and products produced, and the types of marketing
strategies executed.
Everything about the company must create the same experience for, and
give the same message to, its consumers. It is the application of these
marketing principles that demonstrates the entertainment industry as a
stellar case study in the field of integrated marketing communications
-----------********------------
Integrated Marketing Communications 40
41. Success Factors
The Entertainment Industry’s use of IMC, highlights some success
factors for effectiveness and these include:
• Segmenting valuable customers.
• Analyzing profitability.
• Examining customer, brand & stakeholder contact points with the
company.
• Marketing based on consumer differences, not similarities.
• Using databases for behavioral segmentation and lead
management.
• Creating strategic, effective communications-based initiatives.
• Driving communications to a new level of customer and stakeholder
fulfillment retention.
• Achieving consumer satisfaction and bottom-line profitability.
Advantages Of The Integrated Marketing
Approach
1. The customer becomes the primary focus of everyone.
2. There is no needless duplication of services. PR messages combine
with advertising, marketing and internal communications—
everything is congruent and clearer to customers.
3. There is almost no likelihood of "the left hand not knowing what the
right hand is doing."
4. It fosters intra-departmental cooperation in your company. Workers
experience more harmonious working relationships with their peers
and senior management.
5. Studies verify increased productivity, which positively impacts the
bottom line.
Integrated Marketing Communications 41
42. 6. Executive "oneness of focus" on mission and results; one mission—
one vision with all the "parts" aligned with it.
7. The core processes of the organization become much clearer and
people start pulling together rather than in several directions at
once.
8. It takes fewer people, energized around a fewer number of central
themes to get more work done than before because human potential
and energy is not wasted.
9. Marketing programs become more effective because they are
focused and more efficient. They are more powerful in delivering the
key message without waste and overlap to no effect.
10. Sales programs become more dynamic because the objectives
become much clearer to the existing sales force. The job of the
salespeople is made more effective because the "home office" is
supporting their steps and making them look much better in the
eyes of your customers.
Integrated Marketing Communications 42
44. Characteristics of an IMC approach
Planning for an Integrated Communications program goes beyond merely
using the right tool under the right conditions. Strategic planning for IMC
is distinguished from the traditional use of multi-dimensional promotions by
the following four factors:
An Outside-In approach is used to plan communications – That
essentially means that a firm, designing communications, starts with
the customer or prospect and looks backward, identifying what the
customer deems as important information. This approach helps to
deliver the information that the customer wants rather than in the
form at a time that the firm deems appropriate.
Similarly Tom Duncan suggests the use of Zero-based communication
planning – it involves determining what tasks need to be done and
which marketing communications function should be used and to
what extent.
IMC planning requires comprehensive and detailed
knowledge about the customers, prospects and other stakeholders.
An IMC plan is built around brand contacts like packaging, employee
contacts, in-store displays etc. Each contact must be
evaluated for clarity and consistency with the overall IMC program.
Control of the IMC plan is highly centralized.
The effectiveness of the program is highly increased
by appointing a single person or team to control and
evaluate all contacts with targeted customers.
Integrated Marketing Communications 44
45. Communications Mix Hierarchy
In the process of implementation of IMC, the marketer assumes a major
responsibility for developing the marketing program and making the final
decisions regarding the advertising and promotional program to be
employed. The marketer typically brings to the process a marketing plan,
goals, objectives, and perhaps a database that will identify current and
potential customers.
The agency on the other hand will help research the market, suggest
creative strategies, and produce IMC materials. Quite a few times the
agency does not have all the internal expertise necessary to develop and
manage every marketing tool. Often the agency is an expert with the
development & Placement of mass media advertising, and hence is often
criticized for their tendency to push mass media as the best form of
communication. When the marketers want other communication options,
they often hence turn to External facilitators to get the expertise they are
looking for. The hierarchy in this case is as shown on the next page.
Once the specialist agencies come into the picture, co-ordination and
integration of a marketing communications program becomes much more
complex. These various agencies view each other as competitors for the
client’s dollars and will most likely champion their particular specialty.
Thus instead of ending up in coordination and integration, it created a
situation characterized by conflict and disintegration.
Realizing these challenges, many advertising agencies attempted at
redesign to add more internal expertise to foster the goals of IMC.
Integrated Marketing Communications 45
46. The Communication Hierarchy
Integrated Marketing Communications 46
Marketing Organization
Marketing plan
Goals and objectives
Customer/ prospect
databases
Advertising Agency
Research
Creative strategies
Production
Message placement
Specialized marketing
communications
organizations
Media organizations
Event management firms
Web site designers
Sales promotion agencies
Direct marketing
agencies
Public relations firms
Mass-
media
Advertising
Event
participation
Internet
advertising
Sales
promotion
Direct
marketing Publicity
Customer
47. The Actual Process
Integrated Marketing Communications is a process and it involves the
companies, the communication design/creative agencies and the
execution agencies. The first step in this process is consumer research
and planning followed by creative and Implementation.
The planning is at the strategic level. Generally it relates to the entire
strategic framework as to what does the product stand for, its attributes,
the differentiation and then segments which it wants to enter. As
mentioned earlier, IMC is centered around the customer and has its
essence of understanding him to the fullest degree is a must. Thus the
plans need to be based which must answer:
? What contact opportunities do I have (taking into consideration the
costs and the benefits)?
? What depth do I want to gain in any media?
? What is my media strategy i.e. whether I want to just ensure my
presence in the medium or I want to dominate that particular
medium?
The marketing manager needs to provide the agency with information
about the consumer segments, product, positioning ideas, competition
etc. This is the basic framework, based on which all the communications
are designed. This plan is briefed to the creative and the execution agency
and discussed
The promotional planner after reviewing all the information should see
how IMC fits into the marketing program and what are the objectives
set for IMC to achieve. (Thus the objective could either be only to
Integrated Marketing Communications 47
48. communicate to the customer about the product or service to achieve a
certain market share or growth in sales)
The next step is to set objectives in terms of specific communications
goals/ tasks for each tool.
The next step following is the designing of the creative which rests on
the creative / advertising agency. Nowadays increasingly most of the
advertising agencies handle the entire account of a brand single handedly
(even including the consumer researches for media and advertising).
The creative here is designed for all the communications whether the
tangibles or the intangibles e.g. packaging, print ads, TV ads, interstitial
etc. This also includes the coordination of the events and PR based on a
one-voice platform.
The final step in the process is the Implementation. This includes the
actual communication and the different activities communicating about
the brand like promotions and events etc.
ANALOGY with the orchestra
Thus…Back to our analogy of the Orchestra - The score (written by the
company) is interpreted by the maestro (the agency), who directs the
orchestra (the functional communications tools). Consistent
communication of key product and corporate messages, combined with
visual continuity in art design and direction, are critical factors in
generating market awareness and building a strong brand image.
Integrated Marketing Communications 48
49. Model for Planning IMC
Tension, Stress, creativity, deadlines, collaboration, synergy, conflict,
misunderstandings, expertise, complexity, details, details, details….are all
things that characterize the process of preparing to launch an IMC
campaign.
There are many different models that guide the process of planning an
IMC campaign. One such model being discussed is the ‘Strategic
Planning Triangle’ –
proposed by advertising
researchers Esther Thorson
and Jeri Moore in their book
‘Integrated Communication:
Synergy of Persuasive Voices’.
As shown alongside, the
apexes of the planning triangle
entail the segment(s) selected
as targets for the IMC campaign, the brand’s value proposition, and the
array of persuasion tools that might be deployed to achieve campaign
objectives.
(a) The firm starts with customer, prospect, stakeholder definition, as
identification and specification of the target segment as a paramount
apex of the triangle. Building a consensus between the client and the
agency about which customers will be targeted is essential to the
campaign’s effectiveness. Complex IMC campaigns may end up
targeting multiple segment. In such a case it is critical to analyze if
Integrated Marketing Communications 49
Prospect Definition
Brand’s
Value
Proposition
Persuasion
Tools
evaluation
Strategic Planning Triangle
50. and how different target segments will interact to support or disparage
the campaign. The description of the target hence has to be both
Personal and Precise.
(b) The second important apex in the Planning triangle entails a
specification of the Brand’s Value Proposition. A brand’s value
proposition is a statement of the functional, emotional, and self-
expressive benefits delivered by the brand that provide value to the
customers in the target segment. Factors like what the brand has
stood for in the past, as well as what new types of value or benefits one
wants to claim for going forward need to be considered here.
(c) The final apex of the planning triangle considers the various
persuasion tools that may be deployed in executing the campaign. The
mix of the various tools should depend on the objectives that are set
for the IMC campaign.
Collaboration between the agency and the client is the key to ensure that
the approval process proceeds in a timely fashion.
The Process of an Integrated Marketing Program thus:
Encourages the establishment of a marketing-team approach to
discuss strengths and weaknesses, mission and vision, and niche and
quality, and to reach a consensus on the primary messages to be
delivered to priority audiences.
Involves working in teams, typically with members from other campus
offices, to reach prospective students, parents, donors, and community
and government officials with maximum impact.
Integrated Marketing Communications 50
51. Uses quantitative and qualitative research techniques, including focus
groups and survey research, to determine constituent attitudes and
opinions, and effectiveness of various communications messages and
techniques.
Calls for a communications analysis to determine what messages are
being sent to key audiences, including the sequence and flow of these
messages.
Calls for the examination of your existing message vehicles for clarity,
consistency, and effectiveness. Combines this assessment with the
results of your research to provide your key audiences with the
information they need, in the ways they have asked to receive it.
Focuses on long-term advantages and incorporates interactive
communication to develop more personal relationships. May include
the use of technology like email and the World Wide Web to get
feedback from key audiences.
Integrated Marketing Communications 51
52. Case II
Godrej Consumer Products Ltd.
The Godrej Group - Corporate profile
Everyday, every Indian encounters the ‘Godrej’ name sometime
somewhere. A person may begin the day bathing with Godrej soap,
shaving with a Godrej shaving cream, storing clothes in a Godrej
Storewell cupboard, cooking food in a Godrej cooking oil and preserving it
in a Godrej refrigerator. Money and valuables are kept in a Godrej safe,
work is done on a Godrej computer or typewriter while sitting on a Godrej
chair and drinking a Godrej fruit drink.
Innovation has been the key to the growth of the Godrej group. It is this
spirit that has built Godrej and carried it for over a hundred years.
Existing in diverse industries ranging from cupboards to soaps, hair dyes
to edible oils, and packaged foods to refrigerators, the group in recent
years has forged several partnerships with international giants like
General Electric, Pillsbury, Fiskars and Sara Lee, bringing Godrej
membership in the Global village that will carry it forward into the 21st
century.
Godrej has always been a crusader for a better world with programs that
benefit endangered forests, wild life and mangroves. Every year the
Pirojsha Godrej Foundation dedicates funds towards promoting
education, housing, social upliftment, conservation, population
management and relief of natural calamities.
Integrated Marketing Communications 52
53. GCPL – An Overview
Godrej Consumer Products Limited (GCPL), has started operations
w.e.f. 1st April 2001. This new company is the result of the demerger of
Godrej Soaps Limited, the flagship company of the Rs. 34 billion Godrej
Group.
GCPL is a true FMCG business with focus on four key markets:
Personal care with brands like All Care, Fair Glow, Cinthol, Nikhar,
No.1, Godrej Shaving Creams etc.
Hair care – Godrej Shikakai. Crowning Glory, Color Soft, Color Gloss,
Anoop Hair Oil etc.
Fabric care and – Ezee and Trilo
Household care – Godrej Liquid Cleaner
With a turnover of Rs. 470 crore, the company employs 950 persons and
has two modern manufacturing facilities at Malanpur (M.P.), and Silvassa
(U.T.). GCPL is India's largest marketer of Hair Colourants and Liquid
Detergents and the third largest marketer of toilet soaps.
GCPL is committed to providing world-class products and services and its
efforts are aimed at fulfilling the daily needs of consumers through
innovative, value for money, products that improve their quality of life.
GCPL is a high growth, highly profitable FMCG operation. It will own all
its brands among which are the high profile Cinthol, Fair Glow, Ezee and
Godrej Hair Dye.
GCPL is expected to have ROCE and RONW ratios comparable with the
best FMCG companies in India. It is a professionally managed company
under the leadership of Mr. Adi B. Godrej, as the Chairman and Managing
Director.
Integrated Marketing Communications 53
54. Associate Companies include Godrej Industries Ltd., Godrej Sara Lee Ltd.,
Godrej Foods Ltd., Godrej Agrovet Ltd. and Godrej Properties and
Investments Ltd.
IMC and its importance at Godrej Consumer Products Ltd.
Mr. Girish Korde, Brand manager, FairGlow, defines IMC as “ a multi-
dimensional, multi media communication system that is based on a
pre-designed strategy. It necessitates across the board implementation
for effectiveness”.
The Integrated marketing process is being implemented by Godrej
Consumer products for all its brands across product categories. This is
because with a slate of launches and relaunches, it is very essential for
the brands to not lose focus. Besides concentration of communication on
a central theme, with ‘one look, one voice’ enhances the recall and Impact
of communication on the consumers. Godrej also believes that use of
Integrated Marketing Communication helps the brands to get a noticeable
‘Share of Voice’ and ‘Share of Mind’.
In today’s arena where the messages need to make an effort to stand out
of the immense Clutter and where the messages are prone to different
interpretations in different contexts, use of Integrated Communications
reduces the risks associated with such loses.
The use of Integrated Communications also leads to an emergence of a
sharper brand personality as the personality gets re-inforced over usage
and exposure to the audiences.
Integrated Marketing Communications 54
55. In fact Mr. Girish also specifies that only Integrated Communications is
often not enough to ensure all the benefits. The process of integration of
communication should be complemented and supported by the
Integration of the Product and Marketing functions too. This
essentially means that the product should live upto the expectations
created by the communication and all the extensions should also be
integrated with the overall brand. Hence the FairGlow brand was
extended to Fairness Creams and innovations like the sachets packs etc.
continued to deliver the brand promise in an integrated and True manner.
THE BRAND - FAIRGLOW
Launched in Jan 2000, the brand FAIRGLOW has captured 3.5% market
share, in some areas where it has been launched. There has been
overwhelming consumer response to this unique product from Godrej Soaps.
Letters are being received by the company which reveal that consumers
who used FAIRGLOW have become noticeably fairer in a short period of
usage.
The Objective of the brand – ‘Creating an entirely new category in
the stagnant toilet soaps market’.
The Mission for the FairGlow team - ‘To work towards ensuring that
the brand maintains it’s market creator and leader status’
The Product - FAIRGLOW is a high quality toilet soap with 76% TFM
(total fatty matter) and an excellent floral perfume. It is packaged in a
polyester wrapper with attractive graphics. FAIRGLOW is available all
across India and has an introductory price offer of Rs. 10.00 for a 75 gm
pack.
Integrated Marketing Communications 55
56. The Formula - FAIRGLOW has a unique Bio-extract ‘Natural Oxy-G’ that
is of vegetable origin and absolutely safe. Its natural action involves
reduction of the black melanin in the skin without changing the skin’s
natural balance. The Natural Oxy-G also helps remove blemishes to give the
user a smooth and glowing complexion. FAIRGLOW therefore, provides
fairness for the face and the whole body without any extra effort. In sum, it
gives the twin advantages of a clean and fresh bath while also providing the
fairness benefit.
Activities undertaken by FairGlow:
Television advertising on a large scale to ensure awareness
Magazine and News paper advertising
Press articles and other public relations
Outdoor advertising –Hoardings
FairGlow Express
Net advertising
Skin care section – advisor etc.
‘FairGlow Face of the Fortnight’ series
Radio advertising (FM)
Seminars on skin care
Events – friendship day, valentines party etc.
Direct advertising to members of SIBHA ( South Indian Beauty and
Hair associates)
Promotions – both trade and consumer
Integrated Marketing Communications 56
FairGlow Express
57. The Process Of Communication Generation
The component design – Factors:
In the process of designing the communications mix, there are various
factors that are taken into account at Godrej Consumer Products Ltd. The
mot important factors that have a bearing on the variables in the mix are:
(a) The objective of the brand communication – a brand that
seeks to gain awareness will have greater proportion of mass media.
Thus maintaining the brand reputation and developing brand
awareness would see two different mix of target contact points.
Also the magnitude of the objective would also be a contributing
factor. For example ‘gaining a 5% share of the competitor’s market
would require a more aggressive strategy as compared to an objective
of gaining a 2% market share’
(b) The competitors’ activities – Selection of nuances between the
available options at times is also based on the actions of the
competitors. Thus if the competitor is making efforts through the trade
promotions to create ‘dealer push’, a brand like Cinthol would splurge
on mass media or create a consumer promotion, to create a ‘Consumer
Pull’
(c) The stage of the Product Life Cycle in which the brand
operates will also be a factor in the formation of the communication
mix.
(d) The Brand Philosophy, character – A brand that symbolizes
and associates itself to Safety, Care, Environment etc. would lend itself
easily to collaborative advertising which may not be the case with all
brands.
(e) Product Category is yet another actor. Some brands like Cinthol
are youthful in character and hence lend themselves to Events, Mass
Integrated Marketing Communications 57
58. media etc. but a personal care product like Condoms may not lend
themselves to Outdoor communication like the Trains, Hoardings etc.
(f) The Target group also plays an important role in the
communication mix definition. Thus a brand like FairGlow lends itself
more to Events promotion as compared to a family brand like ‘All Care’
(g) The Impact of Expenditure that a brand would earn also be of
consideration. Thus thanks to the novelty factor attached o the
FairGlow brand, the impact of the expenditure incurred was quite
higher as compared to the expenditures incurred by Cinthol.
(h) Qualitative parameters like the Brand Image, Brand
Personality also would be a decisive factor in the process of
strategizing for Communication.
(i) Geographical diversity of a brand and the regional preferences
and performances are another factor to be taken into account. Thus if
Direct marketing has always shown a poor response in the Southern
markets, which happen to a stronghold area for the brand, the strategy
would reduce the proportion spend on Direct even if it may seem to a
desirable alternative.
(j) One of the most important parameters in the decision making would
be the Budgets allocated to the brand for the communications
exercise. As these budgets would be based on a forecast of the
market’s purchasing ability and other factors, this actor is of
paramount importance to ensure the viability of the brand.
(k) And of course the Skill and the Experience of the Brand
manager also is important in the process of strategizing the
Integrated Marketing Communications 58
59. communications mix as that often happens to be a source of
innovations and experimentation.
The Agencies Involved:
Client – Brand Team of Godrej
Creatives and Strategy - All of the communication for most brands is
handled by Mudra excepting Cinthol, which is handled by Leo Burnett.
Media Buying and Planning – This function is centralized with Madison,
the Agency Of Record for Godrej.
Specialists – Most of the times, Mudra proves to be self-sufficient
agency for functions like direct marketing etc. As and when required,
Mudra internally outsources specialists for tasks where it may not be
as competent (Net advertising)
Others – Besides these agencies at times there are Event management
outfits etc. who may be involved for specific events.
Factors that lead to smooth flow of the process:
‘Centralization of communication’ is an essential for ensuring that the
communication flows the way it is expected to. In fact for all the
regional sales zones, the communication is designed at the corporate
office by the marketing team keeping in mind the inputs from the
Regions. The communication plan along with the creative is then
passed on to the regional areas, where they are implemented.
The existence of one central agency for all of its communication
facilitates coordination and effective implementation of various
communication strategies.
An effective Creative director would be a great benefit to the
communication process, as he would not only germinate the ‘Big Idea’,
Integrated Marketing Communications 59
60. but would also mobilize the various specialist aid required at all points
and time for communication implementation.
Integrated Marketing Communications 60
61. The methodology adopted at Godrej Consumer Products Ltd.:
1. The brand team identifies the objectives of the brand and the overall
strategy.
2. From the strategy develops the details of the consumer (target group),
short term and long term objectives etc.
3. The marketing brief is explained to both Madison and Mudra
executives.
4. The creative teams gets to work to crystallize the idea that would
communicate the message.
5. The plans for media are prepared through a series of meetings between
the three concerned parties (FairGlow brand team, Mudra CS and
Account Planner, Madison executives)
6. In keeping with the drafted media plan, creatives would be designed for
the various media.
7. In case of special events, promotions etc. too the execution plan is
coordinated with the agency, which designs the creatives for the same.
The process of Implementation of IMC at Godrej Consumer Products Ltd.
Integrated Marketing Communications 61
Client’s Marketing
Strategy
Creative agency -
Mudra
Agency of Record -
Madison
Specialists – Events
etc.
Specialist outfits -
Net advertising,
Direct Marketing
etc.
Communication
Strategy
Execution
(Creatives)
Media
Strategy Event
Strategy
Event
Creatives
Outsourcing for
Certain areas of
Strategy
62. The responsibility of coordination of all the brand building efforts rests
with the Brand Team, which is the Final authority on all components and
mixes adopted by the brand. While the Brand team has complete freedom
to execute strategies that are in keeping with their brand philosophy, they
also keep in mind the association of the brand with the Corporate Brand –
Godrej and the synergy between the two brands. This ensures that no
brand lends a negative rub-off to the corporate brand and works within
its purview, enhancing it at the same time.
The entire process of implementation of a communication program is
documented in a confidential “BRAND Book”. This book contains not only
the process adopted, but also contains update information of all the
communication activities conducted under the various brands.
The Corporate Brand GODREJ
According to Mr. Korde there exists a two-way relationship between the
corporate brand Godrej and each of the brands in the Godrej Stable. The
Godrej brand stands for TRUST, RELIABILITY and QUALITY and that is
an integral part of each brand that evolve with the Godrej Name. The
Godrej name also lends stability to the new brand, reducing the efforts
required to build a new brand.
Integrated Marketing Communications 62
The
Godrej Brand
Indivudual brands
(FairGlow, Cinthol etc.)
Two-way synergistic
relationship
63. On the other hand, with newer brands emerging from Godrej, the Godrej
brand too earns a younger, vibrant and versatile image.
Each brand manager ensures that his brand philosophy lies well within
or is related to the overall Godrej philosophy of commitment to Quality
and well-being of the consumer. The senior management (Board of
directors et al) ensure that the vision of the company translates into
brands that are diverse and yet converge synergistically under the Godrej
Brand.
-----------********------------
Integrated Marketing Communications 63
64. Issues In Co-Ordination Of An IMC Campaign
Issue I - Stages of Integration of Marketing Communications
The IMC program can be integrated at several Stages. The company needs
to identify which level is it at currently, and what does it seek to achieve
in a specific campaign. The following table details the various stages and
explains them alongside.
Levels of Integration Explanation
Awareness Stage Those responsible for
communications realize that a
fragmented approach is not the
optimum one.
Planning Integration The co-ordination of activities. There
are TWO broad approaches:
1. Functional Integration - which
co-ordinates separate tools to
create a single message where
appropriate.
2. Instrumental Integration –
combines tools in a way that they
reinforce one another.
Integration of Content Ensuring that there are no
contradictions in the basic brand or
corporate messages, integrating
Integrated Marketing Communications 64
65. themes of communication to make
same basic messages.
Formal Integration Using same logo, corporate colours,
graphic approach and house style for
all communications
Integration between planning Basic content remains the same
periods from one campaign to next or the
same executional approach is used
in different projects.
Intra-organizational integration Integration of activities of all involved
in communication functions.
Inter-organizational integration Integration of all outside agencies
involved in the firm’s communication
activities.
Geographical Integration Integration of campaigns in different
countries – strongest in large
multinationals operating globally.
Integration of publics All communication is targeted at a
segment are Integrated (Horizontal)
or All communication targeted to
different segments are attuned
(Vertical)
Integrated Marketing Communications 65
66. Issue II - How many Stakeholders should be taken into Account:
A well-managed IM program identifies all key stakeholder groups and the
impact, both positive and negative, that each can have on an
organization. As Tom Duncan and Sandra E. Morarity, point out in
Driving Brand Value, there are five reasons why all stakeholder groups
must be taken into consideration in integrated marketing:
1. A value field of interactions: A company exists within a value
field (rather than a linear value chain) of stakeholder interactions.
Companies communicate directly with customers and retailers at the
same time retailers are talking with customers and customers are talking
among themselves. The interactions among suppliers, distributors, and
even competitors can affect brand value.
2. Stakeholders overlap: An example of the integrated nature of
stakeholder relationships is the employee stakeholder group where a
person may also be a customer, an investor, and a voter in the local
community. These interacting and overlapping relationships demand that
a company be strategically consistent in its basic core values and brand
messages. A company can't say one thing to investors, something else to
employees, and still another message to customers.
3. Integrity builds trust: Integration means unity of effort or
purpose. When an organization becomes more integrated, its interactions
become more consistent, its reputation more distinct, and its
stakeholders more trustful. Integration produces integrity because an
organization seen as working together rather than as a collection of
fragmented, autonomous functions is perceived as being more sound and
trustworthy-prerequisites for sustaining relationships.
Integrated Marketing Communications 66
67. 4. Brand equity equals support: Just as brand share is the result
of a brand's customer franchise, brand equity is the result of a company's
stakeholder franchise. All stakeholders, not just customers, choose to
what extent they support a brand or company. People have a choice
where they work; investors have a choice of investment opportunities; and
customers have an ever-increasing choice of what they buy. In other
words, people choose to be stakeholders. And when they do, this gives
them the right to understand and influence what a company does. A
brand exists in people's minds; it is owned by them, as much as by the
company.
5. Profitability is the relationship bottom-line: Profits can be
improved by increasing revenues and/or decreasing costs. Therefore, all
stakeholders can affect the bottom line as their actions can have an
impact on costs, as well as revenues. Both can increase or decrease
depending on the efforts, attitudes, ideas, and support of all stakeholders.
Actions of groups such as the financial community, government
regulators, and employees can often affect profits more quickly and
significantly than can changes in customer behavior.
Issue III - Importance of teams
Creativity in the preparation of an IMC campaign can be fostered by trust
and open communication that are hallmarks of effective teams. The
position of the creative director in an agency becomes special as much
like the maestro of the symphony orchestra, the creative director must
encourage personal excellence, but at the same time demand team
accountability.
Integrated Marketing Communications 67
68. Principles to be relied on in orchestrating the teams:
Take care in assigning individuals to a team in the first place. It is
important t be sensitive to existing wok loads and keep in mind the
proper mix of expertise required to do the job for the client.
Take time to know the work style of each individual to ensure that you
create the most conducive environment.
Make teams responsible to the client – empower them!
Beware of adversarial relationships between individuals and teams.
Rotate teams to foster fresh thinking.
Issue IV - Problems of coordination
As per the research by Beard in 1993, one of the major hurdles to IMC is
the question of who should coordinate the programs- the client or the
agency? Who will handle the IMC programs – the client or the agency?
Who should be primarily responsible for it?
The answer is provided by the research studies done by George S Low of
Texas University combined with the earlier researches done in this field.
The results of their studies suggest that the clients should be responsible
for the strategic direction and planning which form a basis for the IMC
programs, while the agencies should be responsible for message
consistency and coordination of communications programs. Further the
studies suggest that the clients have more room for IMC improvement in
their strategic planning role than do the agencies in their tactical
implementation role. Nevertheless the key word in the role of agencies is
consistency.
As much lip service as advertisers give to pursuing the "one-voice" and
"seamless communication" that a well-designed IMC program can provide,
there seems to be one major roadblock to implementation: the advertisers
Integrated Marketing Communications 68
69. themselves! According to John McLaughlin, a marketing consultant, the
reasons lie in:
• Clients often don't see a clear-cut cost advantage in dealing exclusively
with a primary agency rather than several suppliers.
• Clients often don't have confidence in the ability of advertising
agencies to deliver specialized services.
• Clients have strategic concerns about putting all their eggs in one
creative/ executional basket.
Due to these concerns at times the firms not only hesitate to use the
services of the newly developed capabilities but in fact also delay the
implementation of the IMC program itself.
Integrated Marketing Communications 69
71. REINVENTING THE AGENCY
Thomas Eppes, president of Charlotte, N.C. based Price/McNabb sees a
change arriving, a trend that looks at a ‘New Avataar’ of an agency. He
says, "I think the change is going to be so dramatic that in the future
there won't be any such thing as an advertising agency. . . We have begun
to refer to ourselves as a communications company, and that might
change because we are getting involved with our clients' business in ways
that go beyond communications."
IMC is a specialized concept and while many agencies claim to deliver on
this, there are truly very few agencies capable of integrated
communication. Agencies having separate cells/departments for different
functions e.g. LINTAS has Pathfinders (Research), LinOpinion (PR),
Linteractive (Net related communications), Advent(Events) and Lintas
Direct(for Direct Marketing); Similarly Ogilvy& Mather with Ogilvy One,
Ogilvy Rural, Ogilvy PR; HTA – with IPAN, FULCRUM, HTA Direct etc. are
some such agencies.
According to Mr. Ajay Kelkar, Sr. Marketing Manager, Shoppers Stop, “It
has been my experience that there are two stands one must consider
before identifying whether the brand should take a specialist route or a
one-stop shop route. These points are:
1. Can you afford to have specialist agencies, as these agencies would
mean splitting your marketing spends across various agencies.
2. The Creative approach generally is different for mainly three
components – Public relations, Direct Marketing and Advertising. Can
your agency handle the contradictions within, or do you have the
resources (time and expertise) to consolidate them at your end.
Integrated Marketing Communications 71
72. In case too many agencies are involved in the branding process, the
control generally resides with the brand team who provides guidelines for
implementation and where the agencies’ tasks are often only left to the
execution. And that’s not enough reason for the agency to exist. Instead a
route to a common agency who could provide specialist skills under one
roof, either from its internal processes or through Out-sourcing could be
ideal”.
Need for a One-Stop Shop Agency
Strategizing with the brand communication with several agencies,
leaves no meaning to the brand route as there tend to be too many so-
called ideas, conflict of interests etc.
Dealing with one-agency aids quicker implementation of the strategies,
due to less time involved in co-ordination.
Reduces the problems of coordination and duplication, as all the
concerned entities know well enough the objectives and the directions.
The merging of ideas prove to be a ‘synergistic beauty’, as there are
rare clashes between the creatives for various media.
Besides after working for all communication with one agency, there
arrives a point where the brand team and the agency vibe well and
therefore there exists a comfort zone that allows free flow of ideas.
Pros and Cons of Integrated services:
Proponents of Integrated marketing and one-stop shop services agency
contend that maintaining entire control of the promotional process
achieves greater synergy among each of the communication program
elements. They also note that its is convenient for the client to coordinate
all of his marketing effort. An agency with integrated marketing
Integrated Marketing Communications 72
73. capabilities can create a single image for the product or service and
address everyone from the wholesaler tot he consumer with one voice.
On the other hand opponents of such agencies say that the providers get
involved in political wrangling over budgets, do not communicate as often
and do not achieve synergy. They claim that the efforts by agencies to
control all aspects of the promotional program are nothing more than an
attempt to hold on to the business that might otherwise be lost to
competitors.
What Clients Seek from A One-stop Shop agency?
According to Mr. Korde, Brand manager, Fairglow, a one-stop agency
should be:
Self sufficient in the major areas of service like creative for mass
media, direct marketing, outdoor etc.
If instead the agency manages to obtain specialists in each field, while
delivering the quality insisted, that would be desirable too. In such a
case, the Client Servicing executive and the Account planner would act
as Gatekeepers to ensure only the Fittest fits into the picture.
The agency needs to be Flexible, since plans and implementation ideas
are constantly evolving.
But the most important and major influencer in most cases is the
agencies ability to understand the Brand, the category and the other
players in the market, Its expertise at a cohesive Strategy
Development, and the ability of conversion of this strategy into a
beautiful blend of components.
Integrated Marketing Communications 73
75. Evaluation – IMC Audit
With today's marketplace conditions, emphasis must now be placed on
retaining and growing the value of existing customers, as much as on
acquiring new ones. Consequently, companies are setting up cross-
functional processes and making other structural changes to better
manage brand relationships. This means there is an increasing need to
audit these internal processes to make sure that they are, in fact,
integrated, and operating efficiently and effectively. Recognizing this, Tom
Duncan and Sandra M. designed the Integrated Marketing (IM) Audit.
IM Audit findings should be used in conjunction with customer
satisfaction and other types of output controls. In other words, an audit
should not be used in place of, but in addition to, traditional output
controls.
Who should do it
An IM audit should be done by an outside, objective team and should be a
census (not just a sample) of the managers of all departments impacting
on brand relationships. At the audit orientation meeting with top
management, the audit instruments are reviewed and customized to fit
the organization's structure and needs.
Audit Tools
The audit tools include three basic interviewing instruments, as well as a
variety of optional tools depending on the type of business and how in-
depth the organization wants the audit to be.
1. Knowledge, Attitude, and Practices Questionnaire This
questionnaire determines the respondents' knowledge of the marketing
and marketing communication plans and targeted audiences. Answers
Integrated Marketing Communications 75
76. to these questions are then compared to what employees are actually
working to accomplish. Specifically, this instrument evaluates the
following areas and conditions:
Objectives. What are the target/stakeholder priorities? Which
stakeholders are most important? Is there agreement on
communication objectives and the brand's positioning among the
various marketing groups/departments/ functions? Does the
objective-setting process include everyone who contributes to creating
messages? What are the key messages for each of the target
audiences?
Organization. How much agreement exists among and within the
groups on the responsibilities of the various marketing communication
departments/functions? How is coordination managed? Who is
responsible for coordinating communication efforts? To what extent is
managing brand relationships a cross-functional process?
Customer Databases. To what extent do customer databases exist
within the organization? How accessible are they, and how often are
they used? What are the procedures for capturing customer dialogue
and other interactions? Is there sharing of databases, market research
findings, and other types of planning information?
Contact Points. Are these identified? What messages are being sent?
Are they consistent? Do they amount to a strategy? Are these
experiences measured and analyzed? Who controls them?
Integration. What's the brand's current level of integration? What are
the advantages and disadvantages of integration? What are the major
barriers to being more integrated?
Integrated Marketing Communications 76
77. Outside Agencies. To what extent are marketing communication
agencies involved in strategic planning? How much
communication/sharing of ideas is there among clients' agencies?
Interactivity. How far has the company moved into interactive, two-
way communication with customers?
Planning. Does the organization use zero-based planning, especially
for annual and short-term programs? To what extent are objectives
based on some kind of prioritized SWOT (Strengths, Weaknesses,
Opportunities, Threats) analysis? To whom are testing results
distributed, and to what extent are they used in planning?
2. Communication Network Survey This is a matrix of closed-
ended questions to pinpoint the following information: Who talks to
whom, how often, and about what? Who drives planning and
decisions? Who influences them? How often are respondents involved
in MC planning (formal/informal)? What information sources do they
read? How much and what kind of information sharing is there
(research, other information)? What are the patterns of internal
communication among departments? Is one department doing more
talking than listening?
3. Content Analysis All marketing communication or planned
messages used by the company over at least a 12-month period are
contently analyzed to determine whether they are consistent with
marketing communication objectives? Whether key messages are
appropriate for key audiences; and whether there is consistent
Integrated Marketing Communications 77
78. portrayal of company/brand positioning and image; and the amount of
creative strategy and execution consistency.
Specifically, the analysis looks at the following elements: the objective of
the piece, the audience, key themes, the tone, brand/corporate
image/position cues, use of response devices (active and passive), and
mission/vision cues. Content analysis findings are then compared with
interview findings to determine the organization's actual level of
integration. The content analysis also helps identify gaps in performance.
What Can Be Learned From an IM Audit?
The benefits of auditing the organization, and the processes that are
responsible for acquiring, retaining, and growing customer relationships,
can uncover major inefficiencies and integration gaps. These may include:
Confusion about objectives. In one company, managers gave nine
different responses when asked what the corporate marketing
communication objectives were and ten different responses for the brand
marketing communication objectives. When people are working against
different message objectives, it is impossible to have message consistency;
a facts subsequently proven by a content analyses undertaken as part of
the Audit.
Lack of agreement on message themes. A retail chain had begun
advertising "Low Prices Every Day." However, there was no agreement
among managers on what this meant in the context of the chain's pricing
strategy. Interviewees offered a total of seven different explanations of
what this new strategy involved. None was given by more than 15 percent
of those interviewed.
Integrated Marketing Communications 78
79. Another example: In a national consumer goods company, one message
theme was used in 100 percent of television advertising, but only 22
percent of other advertising; another theme was used in 80 percent of
television advertising, but only 20 percent of sales promotion materials
and collateral materials (of which there were more than 100).
Messages not targeted to primary stakeholder groups. In one company
it was found that 24 percent of all printed messages were not targeted to
any of the high priority stakeholder groups identified by management,
and only 1 percent were specifically directed to the target audience rated
most important.
Not enough information available. In almost all the audits conducted,
the majority of marketing managers say that half the time they do not
receive enough information from other departments to do their jobs
effectively. The types of information frequently mentioned as difficult to
get were sales results, research results, and promotional and other
special marketing plans for specific events and programs.
Limited use of research results. One packaged-goods company was
spending approximately $150 million on marketing communication. Yet
37 percent of the managers said they did not know of any market analysis
being done by the company, 33 percent said some was being done but
didn't know if it was being used, and 15 percent said very little was used.
Little knowledge of annual planning. In one company, 60 percent of the
managers did not know how the budget was allocated among
departments, and half of the managers did not know to what extent each
year's communication plan compared to the previous one.
Integrated Marketing Communications 79
80. Lack of agreement on which stakeholders are most important. In a
health care facility, patients/families received the third highest rating
when all responses were averaged, but were ranked eighth by top
management responses. Political leaders were ranked ninth, but third by
public affairs/public relations. This was in response to the question:
"What is the overall importance to the whole organization of the
organization's stakeholders?"
Limited use of computers for networking and consumer databases.
One company had a relatively small number of industrial customer; yet it
did not capture customer buying behavior information, although there
were many opportunities for doing so.
Unexamined Assumptions An audit can identify problems a company
doesn't even know it has. For example, while auditing a high-tech
manufacturer (annual sales over $300 million), the auditors were told that
the company was working hard to apply for the Baldridge Award and also
was getting ready for its ISO 9000 evaluation. Consequently, the manager
of marketing services was confident the company had maximized the
integration of its processes and was doing everything it could to integrate
its marketing communication. The audit discovered, however, that the
marketing communication department had little knowledge of, and made
little use of, the company's databases even though the company had fewer
than 200 customers. (Most of the company's marketing communication
messages were in the form of ads in industry trade magazines.)
Thus although the IM Audit was designed to be an evaluation tool, it also
provides a road map for showing how a company can become more
integrated. The audit provides an objective, well-documented list of what
must be changed in order to strengthen brand relationships.
Integrated Marketing Communications 80
81. BARRIERS TO IMPLEMENTATION
IMC is indeed enjoying a growth in awareness, particularly among larger
companies. Nearly three fourths of the companies surveyed report using a
database to better target their customers- an essential part of
implementing IMC; but only 30 percent say they are doing extensive
profiling and segmenting of customer buying habits using a database.
This suggests that many companies have not yet reached a full
implementation of IMC.
The widespread attention paid to IMC is largely a function of its strong
intuitive appeal - it makes good sense. Despite its appeal, more than a
decade has passed since the concept was first introduced, and most
major U.S. corporations have yet to fully implement the foundational
ideas contained in IMC. Proponents of IMC are left with a compelling
question, a variation of a rhetorical question: If IMC is so good, why isn't
it being fully implemented in corporate America?
Case in Point: Procter & Gamble - The World's Great Consumer
Products Company
Procter & Gamble is considered by business scholars to be a world-class
marketing company. Like the Nike brand, Procter & Gamble possesses
some of the most recognizable brands in the world including: Tide
detergent, Crest toothpaste, Jiff peanut butter, Cover Girl cosmetics, and
Duncan Hines cake mix. It also has dominant market share with many of
its premier brands. For some time now P&G has been lauded for its
efforts in implementing the Integrated Marketing Communications. But is
Procter & Gamble a perfect IMC exemplar? If beginning with stakeholders
and speaking to them with one voice across all communications channels
is an important criterion of IMC, the answer must be "NO."
Integrated Marketing Communications 81