Lt10--CommStragsforASPAC

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    CommunicationCommunicationStrategies for the AsiaStrategies for the Asia

    PacificPacificAsiaAsia--Pacific Marketing FederationPacific Marketing Federation

    Certified Professional MarketerCertified Professional MarketerCopyrightCopyright

    Marketing Institute of SingaporeMarketing Institute of Singapore

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    OutlineOutline

    Developing an effective MarcomDeveloping an effective Marcomprogramprogram

    Targeting the audienceTargeting the audience

    Designing the messageDesigning the message

    Push and pull strategiesPush and pull strategies

    Major advertising decisionsMajor advertising decisions

    Measuring communication effectivenessMeasuring communication effectiveness

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    IntroductionIntroduction

    AAfter you have selected the productfter you have selected the productpositioning, you need to communicatepositioning, you need to communicateit in order to secure a place in theit in order to secure a place in theminds of the consumers. This isminds of the consumers. This iswhen you need to decide on thewhen you need to decide on the

    communication strategiescommunication strategies

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    Steps in developing an EffectiveSteps in developing an Effective

    Marcom ProgramMarcom Program

    1.1. Define the product and the targetDefine the product and the targetmarket segmentmarket segment

    2.2. Decide on the communication objectivesDecide on the communication objectives3.3. Decide on the promotion mixDecide on the promotion mix

    4.4.Decide on the strategy for eachDecide on the strategy for eachcomponent of the promotion mixcomponent of the promotion mix

    5.5. Decide on the promotion budgetDecide on the promotion budget

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    What information is needed forWhat information is needed for

    purchase decisions?purchase decisions?

    ConsumerConsumer--adoption process modeladoption process model

    Awareness=>Awareness=>

    Interest=>Interest=>

    Evaluation=>Evaluation=>

    Trial=>Trial=>

    AdoptionAdoption

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    Marcom ObjectivesMarcom Objectives

    Move the target audience to higher state ofMove the target audience to higher state ofreadiness to buy e.g. using Responsereadiness to buy e.g. using Response

    Hierarchy ModelsHierarchy ModelsUltimate objective is to get customers to buyUltimate objective is to get customers to buy

    and to provide postand to provide post--purchase satisfactionpurchase satisfaction

    Increase sales to new users, former users,Increase sales to new users, former users,

    users of other brands, switchers and currentusers of other brands, switchers and currentusersusers

    Increase repeat purchaseIncrease repeat purchase

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    PromotionMixPromotionMix

    Advertising; Sales promotion; PersonalAdvertising; Sales promotion; Personalselling; Public relations; Personalselling; Public relations; Personalselling; Direct Marketingselling; Direct Marketing

    The promotion mix is dependent on:The promotion mix is dependent on:

    The information needs of potential buyerThe information needs of potential buyer

    The nature of the product and the marketThe nature of the product and the market

    The resources availableThe resources available

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    Targeting the AudienceTargeting the Audience

    Target audienceTarget audience = current and= current andpotential buyers of our productspotential buyers of our products

    Measure the product image byMeasure the product image by

    Familiarity surveys (awareness)Familiarity surveys (awareness)

    Favorability scaleFavorability scale (disposition)(disposition)

    e.g. Coke and Pepsi used the Indiane.g. Coke and Pepsi used the Indianwinner of Ms Universe and Ms Worldwinner of Ms Universe and Ms Worldrespectively in their advertisement inrespectively in their advertisement inIndia to win consumer preferenceIndia to win consumer preference

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    Designing the MessageDesigning the Message1.1. Message contentMessage content SaySay whatwhattoto whomwhom, and for, and for whatwhat

    responseresponse Demonstrate clearly theDemonstrate clearly the UniqueUnique

    Selling PropositionSelling Proposition (USP)

    How? With rational appeals (claimed benefits)

    Emotional appeals (fear, guilt, shame,humor, love, pride etc) and

    Moral appeals (supporting social causes)

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    Designing the Message (contd)Designing the Message (contd)

    2.2. Message StructureMessage Structure Use oneUse one--sided argument if audience issided argument if audience is

    predisposed to your position orpredisposed to your position or

    Use twoUse two--sided arguments if they aresided arguments if they arenotnot

    Present the strongest argument first orPresent the strongest argument first orlastlast

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    Designing the Message (contd)Designing the Message (contd)3.3. Message FormatMessage Format Choose headline, copy, illustration, andChoose headline, copy, illustration, and

    color suitable for the local audience e.g.color suitable for the local audience e.g.

    In China, red represents prosperityIn China, red represents prosperity

    In ASPAC countries, any graphics thatIn ASPAC countries, any graphics that

    resemble the religious symbols must notresemble the religious symbols must notbe usedbe used

    Refrain from Sexy advertisingRefrain from Sexy advertising

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    Selecting the CommunicationSelecting the Communication

    ChannelChannelPersonal communication channelsPersonal communication channels

    Either directly or indirectly e.g.Either directly or indirectly e.g.

    Opinion leaders: if the top echelon ofOpinion leaders: if the top echelon ofgovernment drives a certain make andgovernment drives a certain make andmodel of car, it says a lot about thatmodel of car, it says a lot about that

    particular modelparticular model

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    Selecting the CommunicationSelecting the Communication

    Channel (contd)Channel (contd)NonNon--personal communication channelspersonal communication channels

    Print media; electronic media; display mediaPrint media; electronic media; display media

    The servicescapeThe servicescapethe environment in whichthe environment in whichthe product is sold or the service is beingthe product is sold or the service is beingdelivereddeliveredconveys a powerful messageconveys a powerful message

    Events such as news conferences, grandEvents such as news conferences, grandopenings, and sport or race sponsorship isopenings, and sport or race sponsorship ispopular in ASPAC in recent years e.g.popular in ASPAC in recent years e.g.Emirates Airlines sponsored the DerbyEmirates Airlines sponsored the Derby

    (Horse Racing) in Singapore regularly(Horse Racing) in Singapore regularly

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    Promotion BudgetingP

    romotion BudgetingThe budget to be allocated dependsThe budget to be allocated depends

    on:on:

    The geographic dispersionThe geographic dispersion

    The stage of the PLCThe stage of the PLC

    The communication activities, andThe communication activities, and

    The marginal costs ofThe marginal costs ofcommunication effectivenesscommunication effectiveness

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    PromotionPromotion--ExpenditureExpenditure

    StrategyStrategy

    PercentagePercentage--ofof--sales approachsales approach

    Affordable approachAffordable approach

    ReturnReturn--onon--investment approachinvestment approach

    CompetitiveCompetitive--parity approachparity approach

    ObjectiveObjective--andand--task approachtask approach

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    PushStrategyPushStrategy

    Push through a distribution channel in aPush through a distribution channel in asequential mannersequential manner

    Emphasis is on personal selling to wholesalersEmphasis is on personal selling to wholesalersand retailers with trade promotionand retailers with trade promotion

    When is it especially appropriate?When is it especially appropriate?

    When the product is an impulse itemWhen the product is an impulse item

    When there is low brand loyalty in a productWhen there is low brand loyalty in a productcategorycategory

    When brand choice is made in the store, andWhen brand choice is made in the store, and

    When the product benefit is well understoodWhen the product benefit is well understood

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    Pull StrategyPull Strategy

    Creates initial interest in potential buyersCreates initial interest in potential buyers

    How?How? By hBy heavy endeavy end--user advertisinguser advertising

    e.g. free samples; couponse.g. free samples; couponsWhen is it appropriate?When is it appropriate?When primary demand is favorableWhen primary demand is favorable

    When the product has hidden benefitsWhen the product has hidden benefits

    When the product can be differentiatedWhen the product can be differentiated

    When there are strong emotional buyingWhen there are strong emotional buyingmotives such as health, beauty and safetymotives such as health, beauty and safety

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    Major Advertising

    Decisions

    Major Advertising

    Decisions

    Advertising objective decisions e.g.Advertising objective decisions e.g.create salient attributecreate salient attribute

    Budget decisionsBudget decisions

    Message decisionsMessage decisions

    Media decisionsMedia decisions

    Advertising evaluationAdvertising evaluation

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    The Advertising ObjectiveThe Advertising Objective

    FunnelFunnel

    ExposureExposure

    AwarenessAwareness

    Attitude changeAttitude change

    SalesSales

    ProfitProfit

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    The Advertising Objectives

    The Advertising Objectives

    As we move down the funnel, theAs we move down the funnel, theobjective becomesobjective becomes

    More relevant to decision making, butMore relevant to decision making, but

    More difficult to measureMore difficult to measureThe issue is whether the objectives atThe issue is whether the objectives at

    each level are linked to the purchaseeach level are linked to the purchasedecisiondecision

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    Measuring AdvertisingMeasuring Advertising

    EffectivenessEffectivenessTo develop more effectiveTo develop more effective

    advertisements and to determine theadvertisements and to determine the

    optimal level of expendituresoptimal level of expendituresCommonly used measurements:Commonly used measurements:

    Number of inquiries received, increaseNumber of inquiries received, increase

    product knowledge, and attitude changeproduct knowledge, and attitude changetowards the product. Sales are the besttowards the product. Sales are the bestcriteriacriteria

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    Measuring AdvertisingMeasuring Advertising

    EffectivenessEffectivenessTrackingTracking

    Qualitative research in the form ofQualitative research in the form of

    beforebefore--andand--after brand image maps e.g.after brand image maps e.g.Of all the advertising youve seen, what,Of all the advertising youve seen, what,if anything, do you particularly rememberif anything, do you particularly rememberfrom it?from it?

    Carrying out experiments with testCarrying out experiments with testmarketsmarkets

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    Advertising WearAdvertising Wear--outout

    Over time, a decline in advertisingOver time, a decline in advertisingeffectiveness occurs due toeffectiveness occurs due to repetitionrepetition

    andand wearoutwearout

    How to reduce wearout?How to reduce wearout?

    Change the advertisement structureChange the advertisement structure

    Change the advertisement copy andChange the advertisement copy and

    Change the media regularlyChange the media regularly

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    SalesP

    romotionS

    tra

    tegySa

    lesP

    romotionS

    tra

    tegyPromotion to consumer targetsPromotion to consumer targets

    Promotion to industrial targetsPromotion to industrial targets

    Promotion to middle menPromotion to middle men

    Promotion to sales forcePromotion to sales force

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    Evaluation and ControlEvaluation and Control

    Continuously monitor the execution ofContinuously monitor the execution ofthe communication plan or strategy tothe communication plan or strategy to

    ensure objectives are metensure objectives are met

    Evaluate the outcome against theEvaluate the outcome against theplanned budget and adjust asplanned budget and adjust as

    necessarynecessary