Marketing bán hàng - Chapter 7: Establishing objectives and budgeting for the promotional program

Chapter 7 Establishing Objectivesand Budgeting for thePromotional ProgramValue of ObjectivesCommunicationsObjectives facilitate coordination of the various groupsPlanning and decision makingObjectives guide decision making and development of the integrated marketing communications planMeasurement and evaluation of resultsObjectives provide a benchmark to measure success or failure2Marketing Objectives versus Integrated Marketing Communications Objectives Marketing objectivesIdentify what is to be accomplished by the overall marketing programDefined in terms of specific and measurable outcomesMust be quantifiable, realistic, and attainableIntegrated marketing communications objectivesStatements of what various aspects of the IMC program will accomplishBased on the particular communications tasks required to deliver the appropriate messages to the target audience3Figure 7.1 - Factors Influencing Sales4Problems with Sales ObjectivesSuccessful implementation requires all marketing elements to work togetherCarryover effect: Monies spent on advertising do not have immediate impact on salesAdvertising has carryover effectIt is difficult to determine precise relationship between advertising and salesDo not offer much guidance for planning and developing promotional program5Figure 7.2 - Communications Effects Pyramid6Criticisms of DAGMARProblems with the response hierarchySales objectivesPracticality and costsInhibition of creativity7Figure 7.4 - Traditional Advertising-Based View of Marketing Communications8Figure 7.5 - Objectives and Strategies in the Social Consumer Decision JourneySource: Expert interviews; McKinsey analysis9Figure 7.8 - Marginal Analysis10Figure 7.9 - Advertising Sales/ResponseFunctions11Figure 7.10 - Factors Influencing Advertising BudgetsNote: 1 relationship means the factor leads to a positive effect of advertising on sales; 2 relationship indicates little or no effect of advertising on sales.12Figure 7.12 - Top-Down versus Bottom-Up Approaches to Budget Setting13Figure 7.15 - Investments Pay Off in Later Years14Figure 7.16 - Competitors’ Advertising Outlays do not Always Hurt15Figure 7.18 - The Objective and Task Method16Steps to Develop and Implement the BudgetEmploy comprehensive strategyDevelop strategic planning framework that employs an integrated marketing communications philosophyDevelop contingency plansFocus on long-term objectivesEvaluate effectiveness of programs have to be consistently17Figure 7.21 - How Advertising and Promotions Budgets Are Set18Budget Allocation: Factors to ConsiderAllocating to IMC elements Client/agency policiesMarket sizeMarket potentialMarket share goals19Figure 7.24 - The Share of Voice (SOV)Effect and Ad Spending: Priorities in Individual Markets20