CU-SEM-III-MBA-Integrated Marketing Communication-Second Darft-converted

MASTER OF BUSINESS ADMINSTRATION SEMESTER III INTEGRATED MARKETING COMMUNICATION MBA513

CHANDIGARH UNIVERSITY Institute of Distance and Online Learning Course Development Committee Prof. (Dr.) R.S.Bawa Pro Chancellor, Chandigarh University, Gharuan, Punjab Advisors Prof. (Dr.) Bharat Bhushan, Director – IGNOU Prof. (Dr.) Majulika Srivastava, Director – CIQA, IGNOU Programme Coordinators & Editing Team Master of Business Administration (MBA) Bachelor of Business Administration (BBA) Coordinator – Dr. Rupali Arora Coordinator – Dr. Simran Jewandah Master of Computer Applications (MCA) Bachelor of Computer Applications (BCA) Coordinator – Dr. Raju Kumar Coordinator – Dr. Manisha Malhotra Master of Commerce (M.Com.) Bachelor of Commerce (B.Com.) Coordinator – Dr. Aman Jindal Coordinator – Dr. Minakshi Garg Master of Arts (Psychology) Bachelor of Science (Travel &Tourism Management) Coordinator – Dr. Samerjeet Kaur Coordinator – Dr. Shikha Sharma Master of Arts (English) Bachelor of Arts (General) Coordinator – Dr. Ashita Chadha Coordinator – Ms. Neeraj Gohlan Academic and Administrative Management Prof. (Dr.) R. M. Bhagat Prof. (Dr.) S.S. Sehgal Executive Director – Sciences Registrar Prof. (Dr.) Manaswini Acharya Prof. (Dr.) Gurpreet Singh Executive Director – Liberal Arts Director – IDOL © No part of this publication should be reproduced, stored in a retrieval system, or transmitted in any form or by any means, electronic, mechanical, photocopying, recording and/or otherwise without the prior written permission of the authors and the publisher. SLM SPECIALLY PREPARED FOR CU IDOL STUDENTS Printed and Published by: TeamLease Edtech Limited www.teamleaseedtech.com CONTACT NO:- 01133002345 For: CHANDIGARH UNIVERSITY 2 Institute of Distance and Online Learning CU IDOL SELF LEARNING MATERIAL (SLM)

First Published in 2021 All rights reserved. No Part of this book may be reproduced or transmitted, in any form or by any means, without permission in writing from Chandigarh University. Any person who does any unauthorized act in relation to this book may be liable to criminal prosecution and civil claims for damages. This book is meant for educational and learning purpose. The authors of the book has/have taken all reasonable care to ensure that the contents of the book do not violate any existing copyright or other intellectual property rights of any person in any manner whatsoever. In the event the Authors has/ have been unable to track any source and if any copyright has been inadvertently infringed, please notify the publisher in writing for corrective action. 3 CU IDOL SELF LEARNING MATERIAL (SLM)

CONTENT Unit 1. An Introduction To Integrated Marketing Communication (Imc) ____ 5 Unit 2. Introduction To Imc Tools __________________________________ 21 Unit 3. Integrated Marketing Communication (Imc) ___________________ 34 Unit 4. Integrated Marketing Communication (Imc) ____________________ 43 Unit 5. Understanding Communication Process _______________________ 54 Unit 6. Communication Process And Model __________________________ 63 Unit 7. Communication Process And Other Model _____________________ 80 Unit 8. Planning For Marketing Communication (Marcom) ______________ 91 Unit 9. Planning For Marketing Communication (Marcom) _____________ 102 Unit 10. Developing The Integrated Marketing Communication Programme121 Unit 11. Creative Strategy In Implementation And Evaluation Of Marcom 140 Unit 12. Digital Media & Advertising ______________________________ 154 Unit 13. Digital Media & Advertising ______________________________ 169 Unit 14. Advertising Laws & Ethics _______________________________ 191 4 CU IDOL SELF LEARNING MATERIAL (SLM)

UNIT 1. AN INTRODUCTION TO INTEGRATED MARKETING COMMUNICATION (IMC) Structure 1.0 Learning Objective 1.1 Introduction 1.2 Meaning 1.3 Role of IMC in marketing process 1.4 One voice communication V/s IMC 1.5Summary 1.6 Keywords 1.7 Learning Activities 1.8 Unit End Questions 1.9 References 1.0 LEARNING OBJECTIVE After studying this unit, you will be able to: • Describe nature of Integrated Marketing Communication • Identify Scope of Integrated Marketing Communication • Benefits of Integrated Marketing Communication • Process involved in Integrated Marketing Communication 1.1 INTRODUCTION In a rapidly evolving international climate, the marketplace is becoming an increasingly dynamic arena of competitors' activities. In these sophisticated and cluttered market environments, businesses strive to be understood. They make every effort to communicate their operations, goods, and services in a simple and concise manner. It's important to make sure that whatever is conveyed gets to its intended audience in a straightforward and consistent manner. Marketers use communication as a one-of-a-kind tactic to convince customers to behave in a certain way. The aim of communications is to influence individuals, 5 CU IDOL SELF LEARNING MATERIAL (SLM)

groups, and organisations to promote exchanges by informing and persuading one or more audiences to embrace a company's goods and/or services, either directly or indirectly. Indirectly, organisations influence exchanges by sharing relevant information about their operations and products/services to interested parties such as current and prospective investors, regulatory agencies, financial institutions, and society in general. Marketing communications assist a business in justifying its presence and maintaining productive and stable relationships with various groups. The current view of marketing communications is that it is an ongoing dialogue between the organisation and its audiences, and that any form of brand contact with consumers is significant because it communicates something that can boost or weaken the company's image. 1.2 MEANING For several years, mass media advertisements dominated the promotional role of most businesses. In virtually all aspects of marketing communication, businesses depended heavily on their advertising agencies for advice. While most marketers used additional promotional and marketing communication resources, sales promotion and direct marketing agencies were regarded as ancillary services that were frequently used on a project-by-project basis. Public relations firms were hired on a regular basis to handle the organization's advertising, logo, and affairs with the related publics, but they were not considered central to the marketing communications process. These businesses fail to recognise that a wide variety of marketing and promotional tools must be organised in order to effectively interact with target audiences and present a clear picture. Many businesses realised the need for further strategic alignment of their promotional tools in the 1990s. These companies started implementing the integrated marketing communications (IMC) process, which entails organising the various promotional elements and other marketing activities used to connect with a company's customers. Marketers started asking their ad agencies to organise the use of a range of promotional resources rather than focusing solely on media advertisements as they embraced the idea of integrated marketing communications. A number of businesses have also begun to look beyond conventional advertising agencies to formulate and execute different aspects of their promotional campaigns with the help of other forms of promotional specialists. A task force from the American Association of Advertising Agencies (the “4As”), developed one of the first definitions of integrated marketing communications: 6 CU IDOL SELF LEARNING MATERIAL (SLM)

A concept of marketing communications planning that recognizes the added value of a comprehensive plan that evaluates the strategic roles 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. The 4As concept focuses on the process of maximising contact impact by using all types of promotion. It necessitates the development of a comprehensive marketing relations plan that considers how all of a company's marketing operations, not just promotion, interact with consumers. Consumers' impressions of a company and/or its different products are a composite of the messages they receive or interactions they have, including media advertising, price, packaging design, direct marketing campaigns, publicity, sales promotions, websites, point-of-purchase displays, and even the type of store where a product or service is sold. The aim of the integrated marketing communications strategy is for a company's entire marketing and promotional activities to present a cohesive, coherent picture to the consumer. It necessitates the establishment of a centralised communications function to ensure that everything an organisation says and does communicates a consistent theme and positioning. The IMC approach assists businesses in determining the most suitable and efficient strategies for engaging with and establishing relationships with consumers, as well as other stakeholders such as staff, vendors, investors, interest groups, and the general public. Various aspects of a company's business practises and philosophies, such as its mission, recruiting practises, philanthropies, organisational culture, and ways of reacting to inquiries, all have dimensions that interact with consumers and other stakeholders and influence relationships at the corporate level. Companies send messages to consumers and other stakeholders on all aspects of their marketing mix, not just promotion, at the marketing stage. Customers may associate a high price with quality, just as the shape or design of a product, its packaging, its brand name, or the image of the stores where it is sold may. 1.3 ROLE OF IMC IN MARKETING PROCESS I. ROLE IN MARKETING PROCESS 7 IMC plays a role in all 1. B2B Interactions CU IDOL SELF LEARNING MATERIAL (SLM)

2. Marketing Channel Communication 3. Customer-focused Communication 4. Internally directed Communication But, as far as the role of integrated marketing communication in marketing is concerned, we may assume that the following are the most appropriate. 1) To comprehend the marketing process and the role of advertisement and promotion in a company's overall marketing strategy. 2) To be aware of the different decision areas associated with and component of the marketing mix, as well as how they affect and communicate with advertisement and promotional strategy. 3) To comprehend the idea of target marketing in a marketing relations programme that is incorporated. 4) Consider the importance of market segmentation and how to incorporate it into a comprehensive marketing relations strategy. 5) To comprehend the application of positioning and repositioning techniques. IMC's aim, like all marketing efforts, is to create brands. Well-known and liked brands are more likely to be purchased, resulting in higher profit margins. One of the main reasons for the rise in importance of integrated marketing communication over the last decade is that it is critical to the development and maintenance of band identification and equity. Building and properly maintaining brand value, as branding specialist Kevin Keller points out, has more and more products and services vying for consideration by consumers who have less and less time to make decisions. In today's industry, well-known brands have a significant competitive advantage. Building and retaining brand identity and equity necessitates the development of well-known brands with favourable, solid, and distinct associations in consumers' minds. 8 CU IDOL SELF LEARNING MATERIAL (SLM)

Figure 1.1- Marketing Process II. IMC IN ENHANCING BUSINESS APPROACH Almost every aspect of life, including corporate strategies, has changed dramatically since the turn of the century. In today's world, old marketing and sale techniques, views, and methods are no longer true. New methods and technology have surfaced on the business scene, and they have become indispensable for successful marketing campaigns. In the following paragraphs, we will focus on one of these techniques, Integrated Marketing Communications, which is currently used by all major multinational corporations and plays an important role in improving business strategies. IMC is characterised as a data-driven, customer-centric method of interacting with customers. IMC is the coordination and incorporation of all marketing communication resources, avenues, roles, and sources within an organisation into a seamless programme that maximises the effect on customers and other end users while keeping costs to a minimum. The definition of Integrated Marketing Communications is straightforward. It ensures that all types of interactions and messages are meticulously connected. 9 CU IDOL SELF LEARNING MATERIAL (SLM)

Figure 1.2- Marketing Methods All aspects of the marketing mix must be in line with the strategic strategy for an integrated marketing communications campaign to be effective. This chapter explores how to affect promotion marketing strategies and how promotion decisions can be coordinated with other marketing mix components. This chapter also covers the role of advertising and other promotional elements in an integrated marketing programme, how decisions affect and interact with a promotional strategy, the concept of target marketing in an integrated marketing communications programme, and the role of market segmentation and its application on integrated marketing communications. We analyse how promotion integrates into an organization's marketing plan and initiatives using the model below as a guide. The marketing strategy and analysis of the company, the target marketing process, the marketing planning programme implementation (which involves the promotional mix), and the target market are the four major components of this model. 10 CU IDOL SELF LEARNING MATERIAL (SLM)

Figure 1.2- Promotional Mix & Target Market 1. Marketing Strategy and Analysis Any company that wants to effectively exchange goods or services in the marketplace should have a strategic marketing strategy to guide resource allocation. A strategic marketing plan is typically derived from a company's overall corporate strategy and acts as a roadmap for unique marketing campaigns and policies. A. Opportunity Analysis Market opportunities are markets with favourable demand patterns, where the business believes consumer needs and opportunities are unmet, and where it can successfully compete. Nike, Reebok, and other athletic-shoe companies see the shoe market as an opportunity to expand their consumer base both domestically and globally. B. Competitive Analysis The manager must carefully analyse the competition in the marketplace while designing the firm's marketing strategy and plans for its goods and services. For example, the high-end luxury market in the United States has recently experienced tremendous growth, with more consumers spending more of their money on luxury goods than ever before. Coach, Tiffany's, and Ralph Lauren's high-end brands are all benefiting from this change in consumer buying habits. Surprisingly, it is not only the rich who purchase these high-priced products, but also the middle class. Leading advertisers use terms like \"massification of luxury,\" \"luxflation,\" and \"modern luxury\" to describe their target markets. C. Target Market Selection 11 CU IDOL SELF LEARNING MATERIAL (SLM)

The business could choose one or more target markets after assessing the opportunities offered by various market segments, including a thorough competitive analysis. The firm's marketing effort is focused on this target market, and priorities and targets are defined based on where the business needs to be and what it aims to achieve in this market. Marketers seldom try to capture the entire market with a single product, brand, or service. Rather, they employ a variety of tactics, such as segmenting the market and focusing marketing and promotional activities on one or more of these segments. This means that depending on the business strategy used, different goals may be set, different budgets may be used, and different promotional-mix strategies may be used. 2. The Target Marketing Process Since few, if any, products can meet the needs of all customers, businesses often create various marketing strategies to meet the needs of different customers. Target marketing is the method by which marketers accomplish this, and it consists of four basic steps: finding markets with unmet needs, segmenting the market, targeting those segments, and positioning one's product or service by marketing strategies. A. Identifying Markets Consumers with common lifestyles, needs, and other characteristics are identified as target markets, and we gain a better understanding of their particular requirements. The more common ground marketers will create with consumers, the more successful they will be in meeting these needs in their marketing campaigns and educating and/or convincing potential customers that the product or service offering will meet their needs. B. Market Segmentation There are five distinct phases in the segmentation process: 1. Identifying ways to categorise customers based on their needs 2. Organizing marketing activities—usually the goods offered—into groups. 3. Creating a business-product grid to link market segments to the firm's actions or goods 4. Identifying the target segments on which the company will focus its marketing efforts. 5. Taking campaign steps to reach out to specific target groups. 12 CU IDOL SELF LEARNING MATERIAL (SLM)

Segmentation can be done on the basis of: • Geographic location • Demographic attributes • Psychographic attributes • Behavioural attributes C. Selecting a target market The next step is to identify the customer segment that you want to target. There are three options for business coverage. Undifferentiated marketing means ignoring segment variations and marketing to the entire market with a single product or service. Differentiated marketing entails segmenting the market and designing separate marketing strategies for each segment. Concentrated marketing is when a company focuses on a single market segment and tries to win a large share of it. D. Market Positioning Positioning has been defined as “the art and science of fitting the product or service to one or more segments of the broad market in such a way as to set it meaningfully apart from competition.” Positioning strategies generally focus on either the consumer or the competition. Developing a Positioning Strategy: To create a position for a product or service, managers must ask themselves six basic questions: 1. What position, if any, do we already have in the prospect’s mind? 2. What position do we want to own? 3. What companies must be outgunned if we are to establish that position? 4. Do we have enough marketing money to occupy and hold the position? 5. Do we have the guts to stick with one consistent positioning strategy? 6. Does our creative approach match our positioning strategy? 3. Developing the marketing planning program A. The marketing department knows which consumers to concentrate on and what needs and try to please after developing a marketing plan and selecting a target market(s). Combining the different elements of the marketing mix into a coherent, efficient 13 CU IDOL SELF LEARNING MATERIAL (SLM)

marketing campaign is the next step in the marketing process. Each marketing-mix component is multidimensional, with a variety of decision points. Similarly, everybody must think about and contribute to the overall IMC programme. B. Product decisions An organisation exists because it has something to give customers in the form of a product, service, or concept, usually in return for money. A physical commodity (such as a soft drink, pair of jeans, or car), a service (banking, airlines, or legal assistance), a cause (United Way, March of Dimes), or even an individual may be used to make this offering (a political candidate). The product is something that can be sold and that provides individual satisfaction when used or assisted. The word \"product symbolism\" refers to what a product or brand represents to customers, as well as what they go through when buying and using it. C. Price Decisions The price variable refers to what a customer would forego in order to buy a good or service. Although price refers to the amount of money exchanged for a commodity, the cost of a product to the customer often involves time, mental activity, and behavioural effort. From an IMC standpoint, the price must be in line with the product's perceptions as well as the marketing plan. Lower prices represent discount or \"value\" perceptions, whereas higher prices convey a higher product quality. D. Distribution Channel Decisions One of the most crucial marketing choices a marketer takes is how to make goods and services available for purchase. A company may have a fantastic product at a great price, but it's worthless unless it's available where the consumer needs it, when the customer wants it, and with adequate support and service. Selecting, handling, and empowering intermediaries such as wholesalers, dealers, brokers, and retailers who help a company make a product or service available to consumers are all part of channel decisions. The coordination priorities and the effect of the channel strategy on the IMC programme should be considered as part of the distribution strategy. E. Developing Promotional Strategies: Push or Pull? Both elements of the promotional blend are used in trade promotion. Resellers are contacted by company sales representatives who clarify the product, address the company's strategies for increasing demand among end users, and identify special services available to the trade, such as introductory incentives, promotional allowances, and cooperative ad programmes. 14 CU IDOL SELF LEARNING MATERIAL (SLM)

The company can use trade ads to pique wholesalers' and retailers' interest in its products and encourage them to buy them for resale to their customers. Trade ads is typically used in magazines that cater to a specific industry. A push strategy aims to persuade resellers that they can benefit from a manufacturer's product, encouraging them to purchase it and pass it on to their customers. Channel participants who do not want to take on an extra product line or brand can be a source of resistance for manufacturers. Companies may use a promotional pull strategy in these situations, spending money on ads and sales promotion efforts aimed at the ultimate buyer. A pull strategy's aim is to generate demand among customers and enable them to order the product from the retailer. Retailers will order the commodity from wholesalers, who will then request it from the producer, based on customer demand. As a result, stimulating end-user demand pulls the commodity across the distribution channels. 4. Role of Advertising and Promotion Marketers use the different elements of the promotional mix—advertising, sales promotion, direct marketing, publicity/public relations, and personal selling—to educate customers about their goods, their costs, and where they can buy them. Each variable in the promotional mix aids marketers in achieving their promotional goals, and all variables must work together to create an integrated marketing communications programme. Market research, target targeting and positioning, and alignment of the different marketing-mix elements are all part of the creation and execution of an IMC programme. 1.4 ONE VOICE COMMUNICATION V/S IMC Despite the fact that the term IMC approach has become increasingly popular among practitioners and academics in recent years, there is little consensus about what it actually means. At least two related ideas are involved, according to a recent review: The various elements of the communications mix must be used in such a way that their strengths are used to compensate for the weaknesses of others. Marketing Communications using a Single Voice: As customers are increasingly being approached by the same marketer in a number of ways (e.g., through five separate promotional tools), there is a need to ensure that placement, message, and tone are consistent through these various media. These various communications must speak in a single voice to customers. 15 CU IDOL SELF LEARNING MATERIAL (SLM)

Integrated Communications: A marketer's customer communications must not only raise brand awareness, but also build or alter brand preference and image, as well as encourage sales trial or repurchase. Increasing image without generating sales is insufficient, and pursuing short-term sales (e.g., through sales promotions) at the cost of a brand's long-term image is also a recipe for disaster. As a result, all marketing communications should aim to achieve both communication goals (e.g., changing behaviours or improving image) and behaviour change at the same time (e.g., trial or repurchase). Rather than isolating these various marketing communication tools and developing separate strategies for each, IMC entails communicating a single message to target consumers by seeing these marketing communication tools as interconnected components of a larger strategy. A single approach is created for all marketing communication tools in the belief that this would have a greater effect on the target audience and create synergy. IMC is a continuous method aimed at establishing long-term customer relationships. Since it prevents repetition, it is a cost-effective mode of communication, and a growing number of businesses are implementing it. As customers are increasingly being approached by the same marketer in a number of ways (e.g., through five separate promotional tools), there is a need to ensure that placement, message, and tone are consistent through these various media. These various communications must speak in a single voice to customers. Furthermore, just as we learned the concept of marketing mix (also known as the 4Ps of marketing) in marketing, we must now learn the concept of 4Cs in communication. 4P's vs. 4C's 1) Not PRODUCT, but CONSUMER: Recognize the consumer's desires and needs. You can no longer sell everything you can make because times have changed. The features of the product must now correspond to what someone actually wishes to purchase. The personal \"buying experience\" is also part of what the customer is purchasing. 2) Not PRICE, but COST: Recognize the cost of satisfying the consumer's need or need. The cost structure of the customer can include more than just the product price. It's also the cost of time to drive somewhere, the cost of eating with conscience, and the cost of shame for not treating the kids. 3) Not PLACE, but CONVENIENCE: Turn the conventional logic on its head, as described above. Consider the ease with which you can make a purchase and then link it to a delivery 16 CU IDOL SELF LEARNING MATERIAL (SLM)

method. Consider all potential meanings of \"convenience\" in terms of meeting the desires and needs of customers. The physical or virtual venue, transaction service time, and hours of availability are all examples of convenience. 4) Not PROMOTION, but COMMUNICATION: Still, always, always, always, always, always, always, always, always, always, always Many mediums collaborate to deliver a single message with a feedback mechanism that makes communication two-way. Include an appreciation of non-traditional mediums, such as word of mouth, and how it can affect the consumer's perception of you. 1.5 SUMMARY • The amount of money spent on advertisement, product promotion, direct marketing, and other types of marketing communication has risen dramatically in the last decade, both in India and in other international markets. • To comprehend the role of advertising and promotion in a marketing campaign, one must first comprehend the role and function of marketing in a company. • The basic task of marketing is to create a systematic programme that promotes trade with a target market by combining the four controllable components, known as the marketing mix. • The marketing mix consists of four components: product or service, price, location (distribution), and promotion. 1.6 KEYWORDS • Account Executive: Maintains the accounts of the clients • Advertising: Paid form of non-personal communication • Creative Director: Oversees copy chief, art director and associated staff • Direct Marketing: Vending products to customers without use of channel members • IMC (Integrated Marketing Communications): Attempt to coordinate marketing and promotional activities 1.7 LEARNING ACTIVITIES 1. Caselet: 17 CU IDOL SELF LEARNING MATERIAL (SLM)

In this highly competitive market, a business cannot afford to slack off and leave the competition without putting up a good fight. What your business was like a year or two ago may not be what it is right now. Gigantic changes are going on in the world and marketing strategies are no exemptions to that. Businesses should think outside the box. Observe who is doing better and then try to imitate them or better yet, outwit them. It will greatly benefit your company to do market research in order to determine your potential market and be able to make changes to your current marketing strategy. This is mainly done to draw uninterested customers to at least give your business a try. Your new product launch should make enough noise to ensure that it will remain in customer's memories and entice them to really try it. With the various media available today, you can maximise your visibility by not limiting your business to one media. Turn your company around by doing a major brand makeover. If there are not a lot of people who are buying your product or service, then perhaps it is because they literally do not see you. This is not a time when businesses are allowed to sober down on marketing techniques just because the economy is going down. Once the economy gets back on track, chances are people will no longer remember those that were not visible in the market during this time. You have to make your business a household name for people to remember you for long ___________________________________________________________________________ _______________________________________________________________________ 2. Write a brief on any company’s real time experience on one voice communication. ___________________________________________________________________________ ___________________________________________________________________________ 1.8 UNIT END QUESTIONS A. Descriptive Questions Short Answers 1. What is IMC? 2. What is Competitive Analysis? 3. What is One Voice Communication? 4. What is Market Positioning? 5. What is Distribution Channel Decision? 18 CU IDOL SELF LEARNING MATERIAL (SLM)

Long Answers 1. Describe IMC in detail. 2. Describe role of IMC in Marketing Process. 3. Write the difference between One Voice Communication & IMC. 4. Explain the Target Marketing Process 5. Explain the development of Marketing Planning Programme. B. Multi-Choice Questions 1. In general, the single-voice, or synergy principle, involves selecting a specific __________________________ for a brand. a. positioning statement b. marketing mix c. pricing strategy d. advertising budget 2. _________ can be defined as the way by which organizations attempt to inform, convince and remind customers indirectly or directly about the brands and products they offer. a. Marketing communications b. Marketing plans c. Marketing strategies d. None of these 3. Which of the following strategies is usually followed by B2C companies with respect to promotion strategy? a. Push strategy b. Pull strategy c. Blocking strategy d. Integrated strategy 4. IMC Stands for 19 a. Integrated Marketing Corporation CU IDOL SELF LEARNING MATERIAL (SLM)

b. Integrated Marketing Company c. International Manufacturing capacity d. Integrated Marketing Communications 5. The concept of ______________ suggests that the company must blend the promotion tools carefully into a coordinated promotion mix. a. Public relations b. Integrated market planning c. Integrated marketing communications d. Global cultural imperatives Answers 1 - a, 2 –a, 3 -b, 4 –d, 5 -c 1.9 REFERENCES • Advertising Management, Jayshree Jethwaney & Shruti Jain, Oxford University Press • Advertising & Promotions: An IMC perspective, Kruti Shah and Alan D’Souza, Tata McGraw Hill • Advertising Management, Aakar, Batra and Myers, Prentice • Advertising & Promotions, S H Kazmi and Satish K Batra, Excel • Advertising; Principles and Practice, Wells, Moriarty and Burnett, Pearson • Advertising & Promotion: An IMC approach, Terence A. Shimp Pub., Cengage Learning 20 CU IDOL SELF LEARNING MATERIAL (SLM)

UNIT 2. INTRODUCTION TO IMC TOOLS Structure 2.0 Learning Objective 2.1 Introduction 2.2 Advertising 2.3 Sales Promotion 2.4 Publicity and Public Relations 2.5 Event Sponsorships 2.6 Summary 2.7 Keywords 2.8 Learning Activities 2.9 Unit End Questions 2.10 References 2.0 LEARNING OBJECTIVE After studying this unit, you will be able to: • Describe Advertising • Describe Sales Promotion • State the Public Relations • Describe Event Sponsorship 2.1 INTRODUCTION The organisation of all seller-initiated efforts to set up channels of knowledge and persuasion in order to sell products and services or promote an idea has been described as promotion. Though implied contact occurs as part of the marketing mix, the majority of an organization's interactions with the marketplace occur as part of a well-planned and controlled promotional programme. The promotional mix refers to the specific methods used to achieve an organization's communication objectives. Advertisement, product promotion, publicity/public relations, and personal selling have traditionally been part of the promotional mix. Direct marketing and digital media, on the 21 CU IDOL SELF LEARNING MATERIAL (SLM)

other hand, can be considered promotional mix tools since modern marketers use them extensively to engage with their target audiences. Each component of the promotional mix is viewed as an integrated marketing communications tool that serves a specific purpose in an IMC campaign. Each has its own set of benefits and can take on a number of types. 2.2 ADVERTISING The promotional mix will not be complete without advertising. It's a non-personal networking platform that a particular sponsor pays for. Advertising is a type of mass-marketing communication that aims to educate and convince a wide audience. As a result, this medium necessitates the use of a media outlet to convey the message. Since all promotional elements involve advertising messages, the process of designing advertisements may be an important first step in IMC. Advertising's objectives may include, among other things, raising awareness of a new product, describing its characteristics and features, suggesting use scenarios, distinguishing the product from competitors' goods, directing consumers to the point of purchase, and developing or enhancing a brand image. Advertising, on the other hand, can be constrained in its ability to ultimately close a deal and complete a transaction. Advertising goals must be met in order for companies to meet their target audiences. Airlines, for example, might use this medium to remind customers about new or enhanced product features, newly available routes, and so on. Customers may be reminded of current product features, routes served, and so on via advertising. Print advertisement, radio advertising, internet or mobile advertising, and outdoor advertising are only a few of the media choices available. • Newspapers, guides, in-flight magazines, printed leaflets, brochures, posters, backs of tickets, and store receipts are examples of print advertising. • Radio, television, and theatre are examples of broadcast advertising. • Internet streaming sites, internet posters, web pop-ups, the opening section of streaming audio and video, and so on are examples of digital or mobile advertising. • Outdoor advertising includes wall paintings, billboards, street furniture (including infrastructure), sky writing, human billboards, town criers, sides of buses, banners attached to aeroplanes (\"logo jets\"), seatback tray tables or overhead storage bins, taxicab doors, roof mounts and passenger screens, musical stage shows, subway platforms and trains, elastic bands on disposable diapers, and doors o 22 CU IDOL SELF LEARNING MATERIAL (SLM)

• Advertisement occurs anywhere a \"known\" sponsor pays to have their message delivered via a medium. The media used to promote a company and its services must be carefully chosen. The choice of media is influenced by a variety of factors, including: I the target markets; (ii) the most appropriate mix of media (and the target markets' media habits); and (iii) the amount of money allocated to the advertising budget, which can be influenced by the decisions taken in I and (ii) (ii). The Advertising Campaigns Before selecting appropriate media for the promotion of their goods and services, businesses should set promotional goals and budgets. They can also choose to hire a specialised advertising firm or organise the campaign themselves. Market managers have been entrusted with the task of making timing decisions. They must identify the most effective time span for launching their campaign in order to produce the desired results. They may, for example, plan an all-year campaign or a seasonal campaign. It is important to remember that such decisions must be made in conjunction with the company's overall marketing strategy, schedules, and tactics. Several factors will influence the advertising budget. Before allocating money to ads, marketing managers must understand their company's goals. To retain profitability and market share, they may want to advertise their goods and services. They would have to devote specific financial resources to ads in this situation. The following are the three most popular methods for calculating an advertising budget: The Percentage of Sales Method This approach assumes that the amount spent on ads should be determined by the level of revenue. Its approach is based on a percentage of revenue that is selected at random (either past or forecast). For example, if 5% of sales is chosen as the amount. If revenues were Rs. 10,000,000 last year, the advertising budget for this year will be Rs. 500,000. Many companies use the percentage of sales method; however, it is not recommended. The Competitive Parity Method 23 CU IDOL SELF LEARNING MATERIAL (SLM)

This approach is based on the premise that companies should invest the same amount of disposable money on ads as their rivals. However, it's possible that the rivals underestimated their promotional budget. As a result, the corporation will devote too much or too little money to advertisement. This approach disregards other considerations that should be considered when deciding the advertisement budget, such as ‘Who is being targeted?', ‘What media will be used?', and ‘What are the advertising objectives?' This method of determining the advertising budget is unreliable and should never be used. The Task and Investment Method The advertising budget should be linked to the organization's priorities and advertising targets, according to this approach. The more ambitious and far-reaching these goals are, the more money would be spent on advertisements to achieve them. This method entails posing the questions, \"What is the business trying to achieve?\" and \"What is the business trying to achieve?\" and ‘What kind of marketing would assist the company in achieving its promotional goals?' Since it is based on the return-on-investment theory, the mission and investment approach are the best method for calculating the advertisement budget. Outsourcing Marketing Communications to an Advertising Agency The choice of an advertising agency is critical and should be carefully considered. Using a specialised organisation can be very costly. However, the advantages of hiring advertising professionals to work on the campaign could outweigh the costs. Advertising companies also use a variety of marketing communication strategies. They use data and analytics to monitor their online success, so their strategies and tactics could include conventional media and digital marketing tactics. As a result, outsourcing advertising campaigns can prove to be a viable, open, and cost-effective choice in the long run for the following reasons: • Outsourcing helps the commissioning company to expand its resources without hiring more employees. The company will benefit from the expertise of experts who would handle anything from policy to configuration, management, and reporting for advertising campaigns. • The specialised firm had easy access to all marketing channels. They may be in a better position to tailor their content to specific audience segments, whether they're local, regional, 24 CU IDOL SELF LEARNING MATERIAL (SLM)

or spread around the globe. The contracted agency would compile and analyse data efficiently to assess the efficacy of their marketing communications. The Advertising Brief Until engaging the services of advertising agencies, commissioning companies should write an advertising brief. The quality of the brief would normally determine the campaign's progress. Before sending the brief to the advertising firm, the higher echelons of the organization's strategic management should accept it. This will eliminate any doubts that may occur after the chosen advertising agency has prepared and developed the campaign. This would result in better communication methods that are in line with the company's goals. As a result, the brief must address the following issues: a) What are the objectives of the campaign? b) What is the message to be communicated? c) What is the target market? Evaluating Advertising Success The commissioning business managers must assess whether the promotional campaign achieved its goals. The campaign's impact on the organization's success is measured in terms of return on investment, market share, brand value, corporate credibility, and other factors. Before, during, and after the campaign's execution, the company or its advertising agency should assess its effectiveness: They'll look at their customers' views and see how they respond to the campaign. They may want to know if the ads of the companies affect people's decisions. If they do, what parts of the commercial do they remember? Has their attitude toward the company's goods and services changed? It is important for companies to note any shifts in their customers' attitudes. If the campaign is successful, customers will become more knowledgeable of and interested in the products that are being promoted to them. The campaign's goal is to encourage consumers to buy the company's goods and services. One of the most relevant promotional instruments in the tourism industry is advertising. If the company (or the advertising agency) formulates clear communication goals, this promotional tool may be useful. These goals must specify which consumer segments will be targeted by the companies' advertisements. The media to use and the advertising firm to hire must both 25 CU IDOL SELF LEARNING MATERIAL (SLM)

be carefully considered. Furthermore, before, during, and after the placement, the promotional campaign must be closely monitored and evaluated. 2.3 SALES PROMOTION Marketing activities that offer an opportunity to prompt quick action are known as sales promotions. Consumer-oriented and trade-oriented sales promotions are the two styles of sales promotions. Consumer-oriented sales promotions can be thought of as a demand- creating pull tactic. Samples, redeemable vouchers, exclusive deals, freebies, complimentary updates, contests, tournaments, sweepstakes, and so on are examples of consumer promotions. Retail promotions are used by the trade and can be directed at the end consumer; for example, they may include point-of-purchase pricing, point-of-purchase displays, such as discounted goods, and loyalty programmes. When used as a short-term incentive to stimulate buying behaviour, these strategies are typically more successful. The trade-oriented sales promotions, on the other hand, are directed at intermediaries. These are used to encourage an intermediary to sell (and supply) goods and services to the target market (s). Temporary off-invoice price cuts or cooperative advertisement allowances, for example, are examples of trade promotions. Trade shows, exhibitions, and other public relations activities are examples of trade-oriented applications. Sales promotion encompasses all promotional practises that support other business activities, such as advertisements, event sponsorships, personal selling, and so on. Tourism companies, for example, often fund not only the event, but also individual athletes and teams. Frequently, product marketing activities will help with the introduction of a new service. As a result, such promotions are typically only temporary. They are intended to both inspire and encourage the consumer to make a purchase from the company. It should be noted, however, that not all sales promotion strategies are appropriate for all types of businesses, especially those that provide differentiated services. 2.4 PUBLICITY &PUBLIC RELATIONS A public relation (PR) is a management role that assists an organisation in establishing and maintaining public contact. PR works to increase positive perceptions of a brand, its goods, and its services. The common view of public relations is that it is about forging mutually 26 CU IDOL SELF LEARNING MATERIAL (SLM)

beneficial relationships and gaining public awareness and acceptance. As a result, it is a very valuable tool that, when used correctly, can help to increase a company's brand image, credibility, and demand. Press releases, executive presentations, and public service events are all examples of PR instruments. Unlike other means of communication, public relations are conducted by non-commercial networks. As a result, the company will have less influence about how the PR efforts are carried out. The primary goal of public relations in marketing communications is to improve the company's reputation, which is usually accomplished by the use of radio, print, and digital media. While PR activities which incur certain costs for the company, it is distinct from ads in that the company does not pay for space in the media vehicle. The outcome of public relations practises is less predictable than the results of advertisements or sales promotion. A television advertisement, for example, ensures that a company's message reaches its target audience when potential buyers are exposed to it regularly. Other parties determine whether or not to feature a media release, so this degree of control might not be possible for PR. As a consequence, in terms of supplying favourable information to the media and third-party sources, advertising is often referred to as public relations. Bloggers, the news media, and alternative media outlets such as podcasts may all contribute to publicity. All of this is done so that customers can receive a message without having to pay for direct time or space. As a result, advertising generates more visibility and prestige than other promotional platforms. The publicist would lose influence of how the message is used and interpreted by others until it has been circulated. Low-cost and high-credibility are two benefits of advertising (particularly if the publicity is aired in between news stories like evening TV news-casts). Blogs, online cameras, web affiliates, and integration (phone-camera uploading of photos and videos to websites) are all shifting the cost structure of advertising. Due to its influence of deliberate exposure over a prospective client, publicity is often considered to be a significant strategic factor. Reputation management, which organisations aim to regulate through the internet, often generates positive publicity. Furthermore, despite claims that advertising is free, much of it is paid for, despite the fact that good or bad publicity can be beneficial to a business. Despite the fact that publicity is an important asset in the marketing industry, one downside that has a significant impact on publicity is the inability to replicate publicity. The purchase of free space or time 27 CU IDOL SELF LEARNING MATERIAL (SLM)

in the newspapers, as well as the use of advertising, can be highly beneficial to companies. This, however, does not happen by chance. It must be well-considered. The promotion of a company's corporate image and reputation is an important feature of public relations and advertising. The total amount of a company's experiences is its \"image.\" For example, a careless act by an employee can boost or degrade the company's reputation in the eyes of a single customer or phone caller. The company's core business and financial performance, the reputation and performance of its brands (i.e., brand equity), its reputation for innovation or technological processes, policies toward employees, external relations with customers, shareholders, and the community at large, and the perceived trends in the markets in which it operates are all major elements of corporate image. Public relations and advertising are the cornerstone of the promotional mix, since they complement other marketing methods. Poor public relations or negative press, which is unfavourable to companies, may easily jeopardise or diminish the effectiveness of the other elements of the combination. Businesses often have no influence over the positive or negative messages about their goods or services that appear in online reviews and referrals. If the company receives negative publicity for some reason, its job in this area is to minimise the harm. Many airlines and large hotel chains, for example, could have a division of their public relations department dedicated to engaging with online communities. This segment is typically where problems of advertising, such as negative reviews, are dealt with. Recently, we've seen an increase in the number of companies engaging with online audiences, including customers. User-generated ratings and feedback offer valuable information about a company's products and customer service. Many prospective consumers, for example, read reviews before deciding where to go, stay, or eat. Consumer behaviours are often influenced by online ratings and feedback. It's more likely that negative reviews would affect potential buyers more than positive reviews. Many studies show that people read customer reviews before making a purchase. Reviews and Ratings There are already millions of online reviews relating to travel and tourism. Platforms that provide travel-related information about destinations, attractions, and businesses on the internet (these are generated by users, themselves). TripAdvisor, for example, publishes 28 CU IDOL SELF LEARNING MATERIAL (SLM)

travel-related reviews and thoughts on hotels, restaurants, and tourist attractions. Furthermore, many websites that are historically known as booking engines, such as Booking.com, Airbnb.com, and others, have feedback as part of their presentation of properties, restaurants, and other amenities. It's important to distinguish between reviews and ratings: Reviews typically include qualitative feedback and explanations, while ratings usually include numerical rankings that equate to customer satisfaction levels. It's possible that the scores are part of a study. Users of the internet can sometimes find debatable feedback and unsubstantiated negative criticism. Similarly, tourism service providers may complain that they have been subjected to unjustified negative reviews. Consumers have also threatened to write unfavourable reviews if their requests are not met, which has resulted in companies being blackmailed. Consumers, on the other hand, have recorded instances of unfounded positive service scores. As a result, online consumers are becoming increasingly aware of these controversial issues. The World Committee on Tourism Ethics recently published guidelines for the responsible use of ratings and feedback on digital platforms. Their recommendations are aimed at three categories of stakeholders: online platforms (such as TripAdvisor or Yelp), service providers (such as companies listed on these platforms), and users (consumers). Digital channels that provide reviews and ratings for their goods and services must ensure that their content is accurate, reliable, and credible. Online platforms should take all appropriate steps to ensure that individual reviews accurately represent the viewpoints, conclusions, and experiences of actual users. The provision of publicly accessible information through digital media necessitates a certain level of trust; as a result, the veracity of the reviews is critical to their credibility, legitimacy, and the proper operation of the review platforms. Although it is not always easy to verify the validity of user-generated content, the digital platform should have quality management systems and processes in place to ensure that reviews are transparent, reliable, and honest, both for the benefit of service providers and potential customers. 2.5 EVENT SPONSORSHIP Event sponsorship serves as a promotional tool as well as a public relations tool. The distinction between sponsorship and event sponsorship is blurred. Corporate sponsorship of 29 CU IDOL SELF LEARNING MATERIAL (SLM)

charities and worthwhile causes is a common way for businesses to improve their public image. Many sporting events, such as the Olympics, World Cups, international cricket matches, and other major events, have corporate sponsors as part of MPR. The Indian cricket team is sponsored by Sahara India. Many businesses that sell cigarettes, liquors, automobiles, soft drinks, airlines, and high-tech devices, among other things, sponsor activities. Soft drink companies, for example, often organise their own activities. Such activities garner a lot of attention from target markets and bring a company's or brand's name in front of customers. Companies are increasingly discovering that event sponsorship is an important public relations method. 2.6 SUMMARY • Advertisement, personal selling, publicity/public relations, sales promotion, direct marketing, and interactive/Internet marketing are all part of a promotional mix that involves advertising, personal selling, publicity/public relations, sales promotion, direct marketing, and interactive/Internet marketing. - of these promotional mix components has inherent advantages and disadvantages that affect the roles they play in the overall marketing programme. • The marketer must determine which methods to use and how to combine them to achieve the organization's marketing and communication goals while designing the promotional programme. • Promotional management entails organising the components of the promotional mix in order to create an integrated brand communication programme. • In most businesses, advertising and other ways of promotion are an essential part of the marketing process. • Both in India and other international markets, the amount of money spent on advertisement, product promotion, direct marketing, and other types of marketing communication has risen dramatically over the last decade. • To comprehend the role of advertising and promotion in a marketing campaign, one must first comprehend the role and function of marketing in a company. 30 CU IDOL SELF LEARNING MATERIAL (SLM)

• The basic task of marketing is to create a systematic programme that promotes trade with a target market by combining the four controllable components, known as the marketing mix. • The marketing mix consists of four components: product or service, price, location (distribution), and promotion. 2.7 KEYWORDS • Market Research Managers: Estimates demand for products and services offered • Media Director: Oversees planning group that selects communication media • Personal Selling: Face to face personal communication • Publicity: Non-personal communication, not paid for by the benefiting company • Sales Promotion: Short term incentives to boost sales 2.8 LEARNING ACTIVITIES 1. Case study on IMC The case examines the emergence of Short Messaging Service (SMS) used by cell phone subscribers, as a new media mix tool for marketers across the world in the late-1990s and the early-21st century. The case explains the concept of SMS as a service offered by mobile telecommunication service providers. The reasons for its popularity have also been explored. The case explains the various ways in which SMS can be used by advertisers and describes how various companies have used SMS advertising. The case also discusses the possible problems associated with SMS advertising and the ways in which these can be overcome. 1. what to explore the reasons behind the growing popularity of SMS and the reasons for its emergence as a media mix tool? ___________________________________________________________________________ ___________________________________________________________________________ 31 CU IDOL SELF LEARNING MATERIAL (SLM)

2.9 UNIT END QUESTIONS A. Descriptive Questions Short Answers 1. What is Advertisement? 2. What is Competitive Parity Method? 3. Outsourcing Marketing Communications to an Advertising Agency. Explain. 4. What is Sales Promotion? 5. What is Public Relation? Long Answers 1. Describe Advertising 2. Explain Advertising Campaigns 3. Describe Sales Promotion. 4. Describe Publicity & Public Relation 5. Explain Event Sponsorship B. Multi-Choice Questions 1. All marketing activities that attempt to stimulate quick buyer action or immediate sales of a product are known as ______________________ a. Sponsorship b. Advertising c. personal selling d. sales promotion 2. Any paid type of non-personal promotion and presentation of goods, services or ideas by an identified sponsor is_______________ a. Sales promotion b. Direct marketing c. Events and experiences d. Advertising 3. Company sponsored programs and activities planned to create special brand related interactions is___________ 32 CU IDOL SELF LEARNING MATERIAL (SLM)

a. Sales promotion b. Direct marketing c. Events and experiences d. Advertising 4. The use of email, fax, internet or telephone to communicate with specific prospects and customers is____________ a. Sales promotion b. Direct marketing c. Personal Selling d. Advertising 5. People-to-people oral, electronic or written form of communications that associate with experiences or merits of buying or using services or products is____________ a. Interactive marketing b. Direct marketing c. Personal Selling d. Word-of-mouth marketing Answers 1 - d, 2 –d, 3 -c, 4 –b, 5 -d 2.10 REFERENCES • Advertising Management, Jayshree Jethwaney & Shruti Jain, Oxford University Press • Advertising & Promotions: An IMC perspective, Kruti Shah and Alan D’Souza, Tata McGraw Hill • Advertising Management, Aakar, Batra and Myers, Prentice • Advertising & Promotions, S H Kazmi and Satish K Batra, Excel • Advertising; Principles and Practice, Wells, Moriarty and Burnett, Pearson • Advertising & Promotion: An IMC approach, Terence A. Shimp Pub., Cengage Learning 33 CU IDOL SELF LEARNING MATERIAL (SLM)

UNIT 3. INTEGRATED MARKETING COMMUNICATION (IMC) Structure 3.0 Learning Objective 3.1 Introduction 3.2 The role of advertising agencies and other marketing organizations 3.3Summary 3.4Keywords 3.5 Learning Activities 3.6Unit End Questions 3.7 References 3.0 LEARNING OBJECTIVE After studying this unit, you will be able to: • Describe nature of Marketing Organisations & Advertising Agency. • Identify Scope Marketing Organisations & Advertising Agency. • Benefits of Marketing Organisations & Advertising Agency. • Process Marketing Organisations & Advertising Agency. 3.1INTRODUCTION Outside firms that handle the publicity and advertisement needs of other businesses and organisations are known as advertising agencies. Advertising companies have a comprehensive selection of services and advice focused on market research, popular culture, and advanced sales techniques. As a result, Advertising agencies design logos, using effective and appealing colour schemes to draw attention to their clients' advertisements. They also compose informative copy for promotional materials and create slogans and brochures. They can also create public service announcements for charitable organisations and social services, as well as press releases announcing new programmes, activities, and goods. Magazine ads, newspaper ads, radio and television commercials, blogs, and even infomercials are often used by advertising companies to support their clients' businesses or organisations. Some also 34 CU IDOL SELF LEARNING MATERIAL (SLM)

organise events, staff convention stalls, and distribute promotional products. They are not affiliated with the client organisation and can be impartial when it comes to a client's advertising needs. Advertising agencies operate by thoroughly understanding their clients' products or services and assessing which demographic offers the best target audience for promotion. If a company sells designer handbags, an ad agency will most likely attempt to air advertisements during women's programming or on a channel targeted to women. Demographics also influence the look and sound of an ad campaign. Style features should be more conventional if the company's target demographic is older adults rather than a younger generation. 3.2THE ROLE OF ADVERTISING AGENCIES AND OTHER MARKETING ORGANIZATIONS WHAT IS AN ADVERTISING/AD AGENCY? An advertising agency, also known as an ad agency, is a service company that creates, plans, and manages advertising (and sometimes other types of promotion) for its clients. An ad agency is separate from the client and brings a fresh perspective to the process of marketing the client's goods or services. For its customers, an agency may also manage overall marketing and branding campaigns, as well as sales promotions. Businesses and companies, non-profit organisations, and government agencies are popular ad agency clients. Agencies may be hired to produce an advertising campaign. Philip Kotler opines that “Advertising agency is a marketing service firm that assists its clients in planning, preparing, implementing and evaluating various activities of advertising campaign.” ADVERTISING AGENCIES IN INDIA The First World War paved the way for the creation of some Indian consumer industries. Following the battle, fresh British money poured in. A demand for professional advertising services emerged. Alliance Advertising Associates Limited was established by the British India Corporation, a British company based in Kanpur that sells a wide range of consumer goods. This was possibly India's first advertisement agency to provide a diverse range of services. Mr. L.A. Stronach, an Alliance Advertising senior artist, left in 1922 to open his own agency in Bombay. In India's service sector, a new form of business enterprise was born. 35 CU IDOL SELF LEARNING MATERIAL (SLM)

The Indian advertisement industry had a sluggish start and received a boost during WWII. As British workers were required to join the armed forces, opportunities for Indians in this emerging talent-intensive industry arose. And, in the years following Independence, there was a brief period of instability. The launch of the First Five-Year Plan, and particularly the Second Five-Year Plan, with its emphasis on rapid industrialization, boosted the growth of India's advertising agency industry. In 1952, India had 109 advertising agencies with a total revenue of Rs 3.5 crore. By 1967, there were 279 advertising agencies in India, with a total revenue of Rs 35 crore. With the liberalisation of the economy since the mid-eighties, the Indian advertising industry has really come into its own. According to the journal Advertising and Marketing's fourth agency survey, the Indian advertising industry grew by 36.5 percent in 1992-93, far outpacing the growth of the Indian economy. What is noteworthy, however, is that three of India's top four ad agencies are still branches of foreign ad agencies: Hindustan Thompson Associates and Lintas India are the first two, and Ogilvy & Mather is the fourth. Furthermore, as a result of the renewed interest in the Indian market by several multinational companies, a large number of foreign advertising agencies have joined the Indian advertising industry in partnership with leading Indian advertising agencies. This is the globalisation of the Indian advertising agency industry. This creates new opportunities for Indian advertising to take on more responsibilities, work all over the world, and gain global marketing and advertising expertise. TYPES OF ADVERTISING AGENCIES Following are major types of advertising agencies that are currently serving the advertising industry A. Full-Service Agencies A full-service advertising agency offers a wide variety of marketing services. A full-service agency offers advertising-related services such as copywriting, artwork, ad design, media preparation, and so on. It also offers pricing, distribution, packaging, and product design services, among other things. B. Modular Agencies A modular agency is a full-service firm that offers its services by the bit. As a result, an advertiser may hire an agency's creative department to create an ad campaign while using other agency resources. Another option is for an advertiser to employ an agency's media 36 CU IDOL SELF LEARNING MATERIAL (SLM)

department to prepare and implement a campaign for advertisement 4 that has been created by another agency. Fees are based on the amount of work completed. C. In House agencies Companies with their own in-house advertising department tend to have more influence of their advertising. The advertiser owns this type absolutely. It performs nearly all of the roles that an outside advertising firm does, which is why some people refer to it as the advertiser's full-service advertising department. The distinction between an in-house agency and an advertising department, however, is that an in-house agency will represent many clients if the owner so wishes, while an advertising department only works for its owner and not for outside clients. Second, an advertising department does not have the staff and equipment that an in-advertising schedule and costs need, but it does provide convenience to its owner since it is located in the same building as the advertiser's head office. Such an in-house agency also helps the owner because it can generate income from media agency commissions and fees received from third parties for advertisement work. The company's funds and profits grow as a result of this income. Another type of in-house agency is one in which the advertiser manages all agency operations by purchasing service units to buy time, space, and position ads. Such an in-house agency is an administrative centre (directed by an advertising director) that collects and guides a variety of outside resources for its service. Not only does having an in-house organisation give you more leverage, but it also gives you more flexibility. D. Creative Boutiques There are boutique firms that specialise in artistic services rather than full-service. They charge a fee or a percentage of full-service agencies for specialised creative functions such as copywriting, artwork, and ad production, and as a result, most of them convert to full-service agencies or combine with other agencies to offer a broader range of services. E. Mega agencies The creation of mega agencies was a significant feature of the 1980s. Agencies all over the world are merging to better represent their clients. Saachi & Saachi, a London-based firm, began the campaign in 1986, and it is now the world's third largest agency network. The Benefits of Using an Advertising Agency • Added Expertise 37 • Media Knowledge and Unbiased Advice • Easier Administration CU IDOL SELF LEARNING MATERIAL (SLM)

• Media Buying • Quality Control • Information • Fending off the media • And when things go wrong • Cost Saving • Time Saving 3.3 SUMMARY • An ad agency is separate from the client and brings a fresh perspective to the process of marketing the client's goods or services. • Promotional agencies may be retained to create a campaign. • Modular agencies, full-service agencies, creative bouquets, in-house agencies, and mega agencies are the five categories of ad agencies. • A full-service agency offers advertising-related services such as copywriting, artwork, ad design, media preparation, and so on. • A modular agency is a full-service firm that offers its services by the bit. • In-house agencies conduct almost all of the roles that an outside advertising agency does, which is why some people refer to them as the advertiser's full-service advertising department. • Specialist creative roles include copywriting, artwork, and ad production; they charge a fee or a percentage of full-service agencies, and as a result, the majority of them turn to full-service agencies or combine with other agencies to offer a broader variety of services. 3.4 KEYWORDS • Communication: It means to give or exchange information. • IMC (Integrated Marketing Communication): It is a management function designed to make all aspects of marketing communication such as advertising, sales promotion, public relations, and direct marketing work together as a unified force. • Promotion: It is the co-ordination of seller’s aim to set up channels of information and persuasion to facilitate the sales of goods/services or acceptance of an idea. 38 CU IDOL SELF LEARNING MATERIAL (SLM)

• Agency: a business or organization providing a particular service on behalf of another business, person, or group. • Creative Boutiques: These are shop agencies that provides only creative functions and not full-service 3.5 LEARNING ACTIVITIES 1. SBI Life was established in 2001 as a joint venture between State Bank of India (India’s largest bank) and French life insurance major Cardiff S.A. SBI Life’s financial products and services were marketed mainly through the bancassurance route using the parent organization’s (SBI) network of 9000 branches and a further 4000 branches of SBI’s associate banks. In 2013, SBI launched the campaign ‘Enjoy your second childhood’, that was primarily developed to promote the entire range of SBI Life Schemes. SBI Life’s Pension scheme, launched in February 2013 was one of its most successful products. The Lifelong pension scheme gained popularity within a short period of time, and by the end of 2014, the scheme earned a premium income of Rs 270 mn, contributing 15% to the total premium income The case let provides details on the integrated marketing communications campaign implemented by SBI Life (one of the leading life insurance companies in India) for its Pension schemes. The case let illustrates the application of a dipstick study that helped SBI Life differentiate from competitors with the help of a new marketing communications campaign for its pension schemes. The case let intends to enable students to understand the importance of a focused marketing communications strategy to promote financial products like pension schemes. The case let also describes the factors that forced SBI Life to shift to a product specific marketing communications campaign. Issues: - Product specific advertising in the insurance sector - Promoting pension scheme -The advertising planning process -intergraded marketing communication for final products 39 CU IDOL SELF LEARNING MATERIAL (SLM)

Questions 1. SBI decided to use an Integrated Marketing Communication (IMC) approach, usually used by major FMCG and consumer durables companies, to promote its pension schemes. What do you think were the reasons for SBI, a public sector bank, to take a decision to adopt an integrated marketing communication approach for its pension scheme? ___________________________________________________________________________ __________________________________________________________________________ 2. How did SBI ensure that there was coordination among various external marketing communication functions in order to communicate a single unified and consistent message to the consumers? ___________________________________________________________________________ __________________________________________________________________________ 2. Caselet: Till 2002, Indian tourism was promoted through delegates at the Indian tourist offices located globally. These promotional campaigns were not too effective as the promotional approach was unorganized, varied, and limited by the skills and capabilities of the delegates. Realizing the need for a consistent approach, the Tourism Department of India appointed Ogilvy and Mather (O&M), Delhi, to develop a print campaign and Enterprise Nexus, Mumbai, to create a television commercial. The media account was handled by WPP Group’s Maximize India, and Grey Interactive was briefed to work on the official website www.tourismofindia.com. In September 2002, the Tourism Department unveiled a new campaign called ‘Incredible India’ to promote Indian tourism globally. The first phase of the campaign, for a period of three months, was jointly funded by the Government of India and Experience India Society, an association of travel agents in India. The campaign focused on the Himalayas, wildlife, yoga, and Ayurveda and was widely promoted in the print media, television, and the Internet. The television campaign was telecast on CNN, BBC, and other popular channels across the world. ___________________________________________________________________________ ___________________________________________________________________________ 3.6 UNIT END QUESTIONS A. Descriptive Questions 40 CU IDOL SELF LEARNING MATERIAL (SLM)

Short Answers 1. What is ad agency? 2. List Down the types of Ad Agencies. 3. What is Modular Agencies? 4. What are In-House Agencies? 5. What is Creative Boutique? Long Answers 1. Describe Ad Agency in detail. 2. Explain the role of Ad Agencies. 3. Explain the types of Ad Agencies. B. Multi-Choice Questions 1. A __________agency provides services that are directly related to advertising such as copywriting, artwork, production of ads, media planning etc. a. Modular Agencies b. Full-Service Agencies c. Creative Bouquet d. In-house agencies 2. A ________ is a full-service agency that sells its services on a piece meal basis. a. Modular Agencies b. Full-Service Agencies c. Creative Bouquet d. In-house agencies 3. Those companies, which prefer to have closer control over advertising, have their own ________ agency. a. Modular Agencies b. Full-Service Agencies c. Creative Bouquet d. In-house agencies 41 CU IDOL SELF LEARNING MATERIAL (SLM)

4. __________ are shop agencies that provides only creative functions and not full-service. a. Creative Agencies b. Creative Vendor c. Creative Bouquet d. In-house agencies 5. An ad agency is ________from the client and provides an outside point of view to the effort of selling the client's products or services. a. Dependent b. Independent c. Partially Independent d. Partially Dependent Answers 1 - b, 2 – a, 3 -d, 4 – c, 5 – b 3.7 REFERENCES • Advertising Management, Jayshree Jethwaney & Shruti Jain, Oxford University Press • Advertising & Promotions: An IMC perspective, Kruti Shah and Alan D’Souza, Tata McGraw Hill • Advertising Management, Aakar, Batra and Myers, Prentice • Advertising & Promotions, S H Kazmi and Satish K Batra, Excel • Advertising; Principles and Practice, Wells, Moriarty and Burnett, Pearson • Advertising & Promotion: An IMC approach, Terence A. Shimp Pub., Cengage Learning 42 CU IDOL SELF LEARNING MATERIAL (SLM)

UNIT 4. INTEGRATED MARKETING COMMUNICATION (IMC) Structure 4.0 Learning Objective 4.1 Introduction 4.2 Marketing Services 4.3 Perspective on Consumer Behaviour 4.4Summary 4.5Keywords 4.6 Learning Activities 4.7Unit End Questions 4.8References 4.0 LEARNING OBJECTIVE After studying this unit, you will be able to: • Describe nature Marketing Services • Identify Scope Marketing Services • Understand Perception on Consumer Behaviour • Process of Marketing Services 4.1 INTRODUCTION The marketing engagement landscape has seen disruption of conventional advertising media and the rise of new non-traditional media in recent years. As a result, in order to reach the target market, modern marketing has had to use a variety of communication methods. Traditionally, researchers have looked at the efficacy of these various communication options or media styles in isolation. This method, on the other hand, ignores the possibility of connections and cooperation between the different choices that make up a communication programme. The shifting media environment necessitates a rethinking of media strategy, and media synergy is seen as a critical component in going forward. Future marketers will face the 43 CU IDOL SELF LEARNING MATERIAL (SLM)

challenge of comprehending all interactions among and between all media channels as they are consumed by the user. The new approach to media planning should begin with the viewer, with horizontal rather than vertical media planning focused on an understanding of how different media sources communicate when consumed by the audience. 4.2 MARKETING SERVICES Many businesses need marketing services, but not every business can afford to have its own marketing department. Start-ups who do not have their own marketing department and depend on marketing firms as a third-party service provider. These companies' services range from brief one-time services to long-term relationship services, depending on the client's needs. Marketing services are critical for small businesses to raise awareness about their goods and services in the market and to compete effectively. Many larger companies may tend to outsource a few marketing services. The explanation for this is that, while an in-house marketing department may be very effective, outsourcing marketing services can provide fresh ideas and professionalism that an in-house team can lack. TYPES OF MARKETING SERVICES 1) Creative Marketing services Marketing Services are hired for this service, which is the most significant. Coming up with a brand name logo, illustration, idea, or ad concept are examples of creativity services. Companies employ these talented teams and compensate them handsomely for their efforts. Creative services aren't limited to the ones mentioned above; they can apply to any aspect of marketing that requires the creation of something. The service-providing companies normally provide the client with a number of choices from which to choose. If the customer has used it, it is considered complete, and the charges are calculated accordingly. Since attracting customers now necessitates innovation, creative services are in high demand. When creating a logo, the marketing services company considers the client's demands, the nature of the industry, and the competition before creating the appropriate brand logo that identifies the company and the brand. Often, when designing such items such as T-Shirts, Posters, and the like, the client's suggestions are taken into account, and services are provided accordingly. 44 CU IDOL SELF LEARNING MATERIAL (SLM)

Advertising is where a lot of money is spent, and this is where marketing services firms come in handy. Long-term contracts with these marketing services firms’ lower costs, increase variety, and have several other benefits over providing an in-house Marketing Services department. 2) Designing Services: While designing is a part of the creative process, some businesses prefer to keep the two separate and invest only in design while leaving the rest to their in-house staff. Designing includes the development of business cards, posters and leaflets, flags, websites, logos, and even campaign designs. Some activities necessitate the development of T-shirts or other special materials bearing the company's name and emblem, and these services are best outsourced to marketing services firms. Although a well-designed T-shirt does not guarantee a sale, it has proven to be appealing to potential buyers. Designing a website has become the newest service that many businesses, especially start-ups, are using. Since digital marketing has become more cost-effective and the recharge has risen several times, it is more convenient for new and developing businesses to start their businesses on a digital platform. As a result, website design is critical in attracting clients because it serves as the company's first impression. A well-designed website with a fast-loading speed serves two purposes: a. it gives the appearance of professionalism to consumers, and b. it decreases the visitor's wait time. As a result, marketing services such as design play an important role. 3) Promo Products or Personalised Services: Most businesses, whether internal or external, need customised services for their customers. They may be pens, books, or other materials with the company's name, brand name, or logo written on them. The service serves as a reminder to the consumer about the company and its goods, allowing for repeat purchases. Personalized products are used primarily in the pharmaceutical industry, where the names of drugs and brand names are written on letter pads and sent to physicians as a prompt to administer the prescribed medications. Personal services are also used in the hotel and event industries, where the name of the product or group is written on the giveaways. The services ensure that the customer can return for more, which is the goal of every company. Since not every company would be able to manufacture the services, most businesses tend to have them outsourced. A stationery company, for example, will be able to manufacture the products needed for personal services, while a 45 CU IDOL SELF LEARNING MATERIAL (SLM)

software company will not be able to do so; in this case, the printing services will be outsourced to other businesses. 4) Digital Marketing Services: Most businesses are going digital these days, which necessitates the use of Digital Marketing Services. The benefit of becoming a digital business is that your scope is multiplied while your costs remain relatively unchanged. Digital Marketing Services are inexpensive and have a broad scope to the general public, regardless of their status or region. Targeting strategies help to narrow down the target audience, avoiding commercial waste and maximising the use of ads by just showing them to the intended audience. Different digital marketing services, such as SEO, Social Marketing, and Content Writing, can be avoided by businesses. With Search Engine Optimization, the business aims to appear on the first page of Google's search results. The emails were designed to reach the widest possible audience by featuring on the search page and improving the website's ranking. This form of work is normally handled by an SEO specialist. Some businesses have a fever specialist, and others cannot afford a dedicated SEO specialist, which is where Marketing Services come in. Social media marketing is another significant part of digital marketing. The audience is present on social media, and social media marketing is the process of targeting the audience with appropriate keywords so that the message reaches the desired audience. Companies may reach particular customers with specific posts and ads using social media marketing. Since the audience is now attracted not only by the design of the website but also by the relevant content, having good content is very necessary for any website to be in the digital space. Content plays a crucial role in attracting and retaining viewers, and content marketing has become increasingly relevant in recent years. Many people believe that content marketing is the only form of marketing that remains. This is one of the reasons why many businesses choose to outsource content development to third-party firms. 4.3 PERSPECTIVE ON CONSUMER BEHAVIOUR Customers' awareness, experiences, and feelings about your company, products, and brand are referred to as \"customer perception\" in marketing. Multiple factors influence customer perception, including overt and indirect encounters with your offerings. 46 CU IDOL SELF LEARNING MATERIAL (SLM)

According to Deloitte, awareness influences consumer decision-making and is a \"massive success factor in the retail industry.\" Brands that track and analyse customer perception and the factors that influence it can better identify ways to improve customer experiences. In reality, customer experience is described by Forrester. CX practitioners who want to see themselves in this light—that is, through the eyes of their customers—must first grasp the three stages of the consumer perception process. The three stages—sensing, planning, and reacting—are straightforward in principle but difficult to grasp in terms of how they influence customer and even company buyer behaviour: Sensing: Customers use this level, which is characterised by the physical senses, to gather ‘knowledge' about a product, service, or brand. This can include information including clothing sizes, as well as product smells, tastes, and textures. Organizing: Customers perceive the importance of the knowledge they've gathered during this stage based on context, personal values, self-perceptions, and other highly subjective factors. Customers will categorise and equate the object of their criticism to other objects in their chosen categories at this stage. During the organising stage, a customer looking for a winter coat might prioritise coats based on price, colour, and thickness. Reacting: Customers' behaviour can be influenced by the sensing and arranging phases, as well as internal and external factors such as personal history and online feedback. Despite the fact that each reaction and its contributing factors are unique, buyers tend to go through similar assessment processes before making a decision. Why is customer perception important? Perception has an effect on more than just each individual sale; it forms the long-term relationships that consumers form with your brand, for better or worse. As a consequence, any interaction the business has with consumers must have a positive impact on their view. Businesses that form positive brand impressions among consumers are more likely to have an indirect effect on potential customers and create themselves as unique among competitors in their space. Positive customer expectations are needed to enhance customer service and distinguish your brand. As a result, brands must determine which factors have the greatest effect on consumer perception. These elements may be both concrete and abstract, but they all have the ability to be influenced by CX experts. Some tangible factors that influence customers’ perceptions include: 47 CU IDOL SELF LEARNING MATERIAL (SLM)

• Price: A thorough marketing strategy should always include price. Marketers must understand, however, that context influences consumers' perceptions of value—lower is not necessarily better, as seen in luxury markets where the product's true worth is reflected. • Quality: Quality may refer to a variety of features in a product, the value of which varies from one consumer to the next. Marketers should know what separates their goods or services the most, as well as which features are most attractive in target markets. • Branding: Your company's and brand's message is communicated by logos, artwork, and even packaging. Marketers should make certain that these components match or exceed consumers' standards, allowing the brand to stand out. • Service: Customer experience is shaped by service quality, and even businesses with superior goods will suffer if their service is bad. After extremely positive or highly negative service encounters, customers are more likely to write online reviews, which can help or hurt brand recognition. Some less-tangible factors that influence customers’ perceptions include: • Advertising: Customers can be influenced in both positive and negative ways by what you say about your brand, the mediums you use, and how you convey your message. • Reputation: Brand reputations take time to develop and can be very long-lasting. Customers' encounters with goods and services, as well as secondary interactions with third parties, form them (e.g., media coverage). As advertisers try to gauge their online reputations, unexpected incidents can have an immediate effect. • Influencers: Customers trust influencers, and they are one of the most important influences influencing consumer perception aside from the customer's own personal experience. Customers who have used your product, service, or brand first-hand are more likely to influence other potential customers during the planning stage. Customers' perceptions can be measured quantitatively by brands, but this information is better understood and more profound when it comes from the customers themselves. By 48 CU IDOL SELF LEARNING MATERIAL (SLM)

questioning and clarifying to discover the core of the ‘why' behind their perceptions, having discussions with consumers helps to illuminate consumer perceptions. Perspectives on Consumer Behaviour: In the field of consumer behaviour, there are three broad research perspectives. The Decision- Making viewpoint, the Experiential perspective, and the Behavioural-Influence perspective are the three. 1. The Decision-Making Perspective: The purchasing process, according to the decision-making viewpoint, is sequential in nature, with the buyer first recognising a problem and then going through a sequence of logical and rational steps to solve the problem; stages include problem identification, knowledge search, alternative assessment, purchase decision, and post-purchase behaviour. The fair, logical, and cognitive approach to consumer decision-making and purchasing processes is emphasised in this viewpoint. 2. The Experiential Perspective: According to the experiential viewpoint, not all purchases are fair and logical; in some situations, purchases are motivated by a consumer's desire for fun and fantasy, hedonic pleasures, feelings, and moods. Consumers are both \"feelers\" and \"thinkers,\" according to this viewpoint. 3. The Behavioural Influence Perspective: According to this viewpoint, environmental forces encourage a customer to make purchases without forming views or perceptions about the product. 4.4 SUMMARY • Marketing services are critical for small businesses to raise awareness about their goods and services in the market and to compete effectively. • Marketing services are divided into four categories: creative marketing services, design services, personalised services, and digital marketing services. • Different digital marketing services, such as SEO, Social Marketing, and Content Writing, can be avoided by businesses. • Consumer perception refers to a customer's knowledge of your company, goods, and brand, as well as their experiences and opinions about them. Multiple factors 49 CU IDOL SELF LEARNING MATERIAL (SLM)

influence customer perception, including overt and indirect encounters with your offerings. • Customer behaviour is divided into three stages: detecting, planning, and responding. 4.5 KEYWORDS • Influencers: Influencers are people whom customers trust, and are among the biggest factors impacting customer perception aside from the customer’s own personal experience • Sensing: Characterized by the physical senses, customers use this stage to accumulate ‘knowledge’ about a product, service, or brand. • Flyers: Flyers is a form of paper advertisement intended for wide distribution and typically posted or distributed in a public place, handed out to individuals or sent through the mail. • CX (Customer Experience): Customer experience is the sum total of customers' perceptions and feelings resulting from interactions with a brand's products and services. • Digital Marketing: Digital marketing is the act of promoting and selling products and services by leveraging online marketing tactics 4.6 LEARNING ACTIVITIES Titan Industries Ltd (TIL), one of the leading manufacturers of watches in the world, was incorporated in 1986 and launched its first watch model in 1987. A joint venture between the Tata group and the Tamil Nadu Industrial development Corporation (TIDCO), it is the undisputed leader in India with a market share of 58% in the organized domestic market. Titan decided to focus on quartz watches, which many industry observers felt, were not suitable for Indian conditions. But Titan was instrumental in revolutionizing the watch market in India with its quartz watches. Over the years, it brought out watches that fulfilled the requirements of customers across different segments – mass market, youth, mid-premium, and luxury. The Sonata range was aimed at the mass market while the Titan range catered to the rest. The Titan range includes 50 CU IDOL SELF LEARNING MATERIAL (SLM)