Marketing communications, like any other communications, consist of certain elements, these are:
The source is the company that initiates communications.
Information is what a business wants to convey to its target audience.
Information coding is the presentation of information in the format corresponding to the selected type and tool of communication (audio clip, video, advertising banner, advertising text, etc.).
Marketing communication channels are the methods (tools) used to convey information to the target audience.
Addressee – existing or potential consumers (target audience).
Decoding is feedback from consumers (sales growth, increase in the share of regular customers, increase in brand awareness, direct response messages from consumers to the company's requests).
Goals of marketing communications
MCs are one of the elements of the marketing complex (promotion), aimed at conveying to consumers information about companies, their brands, goods and services to achieve business goals:
Creating recognition of the company, its brands and products among the target audience or the general public.
Conveying information about the company and its offers to the target audience.
Stimulating purchases by the target audience in a specific place and at a specific time.
Leveling seasonality and sales dips.
Differentiation from competitors, implemented through communications (conveying to consumers information about the uniqueness and advantages of the company, its brands, products and services).
Formation of loyalty of existing consumers to the company, its brands and products.
Marketing communications are aimed at making the company's offer attractive to existing and potential consumers of goods or services.
The communication strategy is formed in accordance with the chosen business development strategy (corporate strategy), taking into account market trends, motivation, value system, features of consumer behavior of the target audience, the level of competition in the market, as well as the goals of the Company.
In addition, marketing communications cannot be separated from the rest of the elements of the marketing complex (product, price, place). This means that the communication strategy and communication plan should be interrelated with the assortment plan, sales plan and price positioning.
Marketing communication channels
Marketing communication channels are ways of informing the audience, as well as the environment in which this interaction takes place.
Conveying information about the company, brand and product to potential customers can take place through the following channels:
Traditional channels.
urban environment (signboards, banners);
offline store;
television;
radio;
press.
Online channels. Nowadays they are becoming more and more popular. These include:
official website;
corporate blog;
social networks – both your own page and communication in thematic groups, cooperation with bloggers and opinion leaders;
email newsletters (bulk or personalized).
Mobile channels:
mobile application;
SMS marketing.
Channels should be used comprehensively. Their set in each case is determined individually - taking into account the audience, tasks and capabilities of the company. Using multiple channels allows you to get your message across to more potential customers and promote your product or service more effectively.
Marketing Communication Tools
Marketing communication tools are various activities, actions, and mechanics that allow you to convey information to the audience through selected channels. These are the carriers of such information themselves – electronic or material.
Each type of marketing communication has its own tools. Their choice depends on the target audience, the purpose and resources of the company.
Advertising tools
outdoor advertising (banners, billboards, banners, signs, advertising on the facades of buildings);
advertising on transport (buses, trolleybuses, trams, in the subway);
indoor advertising is indoor advertising (lightboxes, table tents, corners, shelf talkers and wobblers);
TV commercials;
audio advertising on the radio;
advertising in newspapers and magazines;
online advertising (on the website, targeted, contextual in Google and Yandex search results, native from bloggers, internal mailings on social networks, branded videos on Youtube);
Hidden advertising in movies, TV shows, and music videos (product placement).
Sales promotion tools
POS materials (advertising at points of sale - leaflets, catalogs, booklets, branded life-size figures, branded zones);
merchandising (special display of goods on the shelves);
Point-of-sale promotions
Tasting;
distribution of product samples (testers);
distribution of coupons and promo codes;
discounts on certain categories of goods or from the amount of the check;
promotions (Black Friday);
cashback;
gifts for the purchase;
lotteries and raffles;
games and competitions;
test drive;
Test periods for using the product.
PR Tools
communication with the press – press releases, press conferences, briefings;
publicity – the formation of a positive image through the media (expert articles, interviews, TV appearances);
participation in exhibitions, conferences and round tables;
SERM (Search Engine Reputation Management);
sponsorship of sports events and festivals;
charitable and social projects (assistance to orphanages, foundations).
Direct marketing tools
online chat on the website;
email newsletters;
SMS mailings and push notifications;
chatbots in messengers and mobile applications;
telephone sales (telemarketing);
product presentation – demonstration of work (for example, a vacuum cleaner, gadget) at fairs, exhibitions, during personal meetings;
distribution of product samples;
distribution of printed catalogs.
Event Marketing Tools
the grand opening of a new store;
client days;
seminars, workshops and master classes;
Exhibition;
Festivals;
other cultural and entertainment activities aimed at creating a positive atmosphere and establishing contact with potential buyers.
Loyalty program tools
bonus program;
loyalty card (points for purchases, cumulative discounts);
Gifts;
referral program (bonuses and gifts for attracting new customers);
special conditions for regular customers (for example, a club of buyers, participation in private sales).
Branding Tools
tone-of-voice;
corporate identity;
logotype;
development of a name (naming);
slogan;
development of selling packaging design;
branded stores.
Types of marketing communications
External communications are carried out in order to convey information about the company, its brands, products and services to existing and potential consumers using the types of marketing communications and their tools described below. First of all, these are advertising, public relations and sales promotion.
Interactive communications are communication and interaction between consumers and employees of the company when making a purchase decision, making it and, if necessary, in the post-purchase period. First of all, these are personal selling, loyalty formation and targeted direct marketing tools.
Internal communications are a system of communications within a company, on which the quality and effectiveness of external and interactive communications depends. First of all, this is a system of interaction between departments, the adopted style of intra-company communications, as well as conveying to each employee the goals and objectives of the business in the field of working with consumers.
The role of MC has increased significantly with the growth of competition and the rapid growth of information noise surrounding modern consumers. Today, it is not enough to develop and release a new product. Without communication support, only market leaders can afford to bring a new product to the market, even with the best consumer characteristics, whose fame accumulated over the years works for them. But they also mostly provide marketing support to new products and brands at the initial stage of consumer acquaintance with them.
In the book "Fundamentals of Marketing", which has already become a business classic, Philip Kotler writes the following about MC: "Modern marketing requires much more than just creating a good product, setting an attractive price for it and ensuring its availability to target consumers. Firms must also communicate with their customers. At the same time, there should be nothing accidental in the content of communications."
Nowadays, the importance of this recommendation is increasing – any business mistake does not go unnoticed by competitors or consumers, whose power has grown significantly thanks to the development of social networks and digital technologies.
Today, in business and scientific literature, you can find a large number of classifications of MC. The main among them are the approaches of F. Kotler, J. O'Shaughnessy, J. Burnet J. and S. Moriarty, S., J.-J. Lamben and M. Y. Ryumin. Summarizing them, the following main types of marketing communications can be distinguished.
Advertisement
Advertising is always a paid type of communication used to inform the target audience about the company, its brands, products and services. The main advertising channels are: television advertising, outdoor advertising, press advertising, radio advertising, Internet advertising, as well as relatively new types of advertising
New media includes:
Hidden advertising (product placement). For example, in films, books, songs, etc.
One of the most recent high-profile examples is the debate over whether the appearance of a Starbucks cup of coffee in the final season of Game of Thrones was accidental or intentional.
Indoor advertising (indoor advertising) is the placement of advertising indoors. For example, table tents (table advertising materials) in cafes and restaurants, floor advertising or lightboxes in shopping centers, shelf talkers and wobblers in retail outlets, etc.
Advertising in cinemas. Today, not a single screening in cinemas is complete without a preliminary advertising block lasting several minutes.
Off-air television. Against the background of the decline in the popularity of traditional television, consumer interest in niche or thematic television is actively growing, advertising on which allows you to get a more accurate impact on the target audience. For example, the channels "Dom Kino", "Super", "Match TV", Disney, etc.
In recent years, traditional advertising has begun to rapidly lose its effectiveness, and it is shifting to the Internet. In this regard, manufacturers and sellers are forced to look for interesting solutions that allow them to reach consumers who watch TV less and less often, read printed newspapers and magazines less and pay less attention to outdoor advertising. In this regard, there are more scandalous advertisements and advertisements based on non-standard ideas.
Sales promotion
Sales promotion is an activity to encourage consumers to buy goods or services at the time of communication.
Sales promotion tools for end consumers are distribution of samples, tastings, demonstrations of goods, discounts and sales, lotteries, contests, gifts for purchases, bonuses, use of promotional materials at points of sale, etc.
Also, sales promotion can be aimed at retail outlets and wholesale intermediaries. Manufacturers or distributors sell them in the form of discounts, bonuses, special conditions, marketing support, etc.
Personal Sales
Personal selling is a marketing communication channel related to both marketing and sales. It is carried out through the contact of the company's employees (sales managers or customer staff) with consumers, during which the product or service is demonstrated, the need of a potential buyer is identified, objections are overcome and the consumer's desire to make a purchase is stimulated.
Direct Marketing
Direct marketing is a company's personal or indirect communications with consumers, which involves receiving feedback from them. Previously, this type of communication was called direct mail, but with the development of digital technologies, there was a transition from the use of e-mail to a wider arsenal of communication tools. Direct marketing tools today are email newsletters, SMS mailings, communications using mobile applications, distribution of leaflets, work on printed electronic catalogs, etc.
Branding
Branding is an activity related to the generation of ideas for new products and services, their embodiment in the form of a concept, and then a finished product, which is brought to the market under a specific brand (brand), as well as its support throughout the life cycle. The purpose of branding is to form stable consumer associations associated with the brand, within the framework of the chosen positioning, to increase its recognition and, if possible, to bring it to the top mind, as well as to form consumer loyalty. Integral elements of the brand are the logo, name and design of the packaging, which are the "face" of the product or service. They will perform the main communication function, first of all, at points of sale.
Example. Through the new design of the Uvelka brand, the manufacturer conveys to consumers the features of exotic rice varieties, using reference to the national cuisine of different countries of the world
uch packaging will allow customers to navigate the features of the products without looking for additional information, giving each assortment item significant consumer differences within the line.
Loyalty programs
Loyalty programs are a set of measures implemented by the company to stimulate repeated purchases of its goods and services by consumers. The main tools are: loyalty cards, bonus programs, special conditions for regular customers, gifts, etc.
How to Write a Marketing Communications Strategy
Marketing communications should not be used thoughtlessly, from time to time. A clear strategy is needed, with the definition of goals and the setting of priorities.
A marketing communications strategy cannot be found in a ready-made form. It is developed in accordance with the general marketing strategy of the company: why and for whom it exists, what message it comes out to the audience, how it positions itself. As part of the strategy development, the company conducts media planning: it selects placement and promotion channels, selects tools for each type of communication, draws up a plan for publications and events, and determines the budget. As a result, you should get a holistic program with specific steps. After that, the stages of implementing the communication strategy and evaluating its effectiveness begin.
Principles of strategy development:
Different types of communication broadcast through different channels should support and reinforce each other.
They should have the same key message, the same visuals, and the same tone-of-voice.
All selected message formats and communication channels must meet the needs and expectations of the target audience.
One of the key issues that need to be addressed as part of strategy development is the choice of appropriate communication channels that will help reach the target audience. Even a good advertising message will not bring results if you place it on the wrong channel.
How to choose channels:
Analyze your competitors. See what channels they use and what kind of audience engagement they have.
Study the target audience. Find out on which sites it is highly active.
Survey customers. This can be done using questionnaires at points of sale, through social networks or email newsletters. To get customers to agree to take the survey, offer them a bonus, a one-time discount, or a symbolic gift.
Test different channels in practice. Measure engagement, evaluate the profitability of working with these channels.
Assess your financial capabilities. Not every company can afford to shoot a commercial and place it in prime time on a federal channel. Some methods will be eliminated by themselves.
Stages of MC strategy development
The development of a communication strategy includes the following stages:
Step No 1. Setting a goal. Determine what audience you want to reach, what message to convey, and what result to get. It is also necessary to choose indicators by which you will evaluate the effectiveness of communications.
Step No 2. Study of the target audience. For the interaction to be effective, it is necessary to determine the needs and requests of the audience. The analysis of the target audience also includes segmentation of the audience - dividing it into interest groups, for targeted work with different groups.
Step No 3. Choosing communication channels. Choose carefully, otherwise your message will either not be seen or the interaction will be ineffective. For example, if your audience is young people, it makes no sense to post a video on TV – young people do not watch TV. This is impractical in terms of coverage and budget, it is better to choose social networks.
Step No 4. Definition of the budget. It is useless to work out activities in detail if the company cannot afford them financially. Calculate how much the planned communications will cost and correlate this with your capabilities. Too expensive measures will have to be abandoned.
Step No 5. Select tools and create a message or storage medium. This can be an audio track for advertising on the radio, text and photos for publication on a social network or website, printed products for placement at points of sale, a banner for installation on the façade of a building.
Step No 6. Post a message or medium. Now you need to wait until the audience sees it and begins to respond, perform the target actions you need - visiting the store, purchasing, registering.
Step No 7. Performance evaluation. Be sure to evaluate the results and draw conclusions about the effectiveness of the selected channels and tools.
How to Evaluate the Effectiveness of Marketing Communications
In the process of assessing the effectiveness of marketing communications, two main groups of indicators are considered:
Audience response. What they watch:
sales volume and growth of the average check;
the number of contacts, likes, reposts, subscriptions;
site traffic (how many people visited, where they came from, how much time they spent on the site);
CTR (click-through rate);
the number of clicks on links;
the number of used discount coupons, promo codes, QR codes;
the percentage of repeat purchases;
writing positive reviews;
level of involvement.
Profitability. It is necessary to look at the ratio of costs and profits. If more money was spent on activities than the company received as a result of these activities, such activities cannot be considered effective.
What metrics are evaluated:
audience reach (the number of people who saw or heard the message);
cost per click;
cost per lead;
conversion rate (the share of customers who performed the target action as a result of marketing communication, for example, made a purchase);
ROMI (return on marketing investment) – shows the ultimate effectiveness of all actions to deliver messages to the audience;
Media Index, Media Outreach, SM Index (brand weight in social networks) – show the effectiveness of PR campaigns;
OTS, GRP, cost of a thousand contacts – for outdoor, radio and TV advertising;
brand value, ROBI, market share, and distribution level – for branding.
Companies choose different metrics – it all depends on what goals they set for themselves. The selected indicators are compared with those that were before the launch of the activities, and with the indicators of past marketing communications. If the results are very different from the past and the desired ones, they look for the reasons. When assessing the effectiveness, it is worth considering that some types of marketing communications have a delayed effect.