Read the case study below and answer the three questions using your notes from the lectures and textbook. Upload your responses as a PDF or Word file to the designated drop box. The Cable Company Rachel Peterson knew she faced several major challenges as she took the job of marketing director for CableNOW. The company was the sole cable provider for six communities in northeast Louisiana. All of the cities were essentially ‘licensed monopolies’ in the sense that no other cable company could compete within the city limits. In spite of this edge, however, competition was becoming a major problem. Satellite television was the primary competitor for CableNOW’s customers. Both DirecTV and the Dish Network had set up operations in the six communities. The two providers were able to charge lower prices for basic services. They had also started to compete by offering price reductions on installations. This made switching from cable to satellite much easier for local residents. CableNOW’s primary selling point was in the delivery of programming during bad weather. Thunderstorms and snowstorms completely disrupt a satellite signal. Severe weather is common in that part of Louisiana; however, the weather events do not affect a cable picture. CableNOW also held a competitive advantage because the company offered local business and real estate listings to subscribers. The firm also was able to provide local radar and weather forecasts during the ‘Local on the 8s’ segments on the Weather Channel. The satellite companies could not provide these special options. When Rachel took the job, she knew another issue was about to unfold. CableNOW had been able to transmit each city’s local channels as part of the basic cable package. Until this year, the satellite companies could not. Dish Network was changing the mix. Dish Network had just signed a contract to provide the local stations to subscribers. DirecTV did not offer local stations but did offer a greater number of channels in the company’s basic package. As a result, Rachel knew she had her work cut out as the marketing department struggled to maintain share in each city. What image or theme should CableNOW portray to subscribers? Can you think of a way to emphasize the advantages CableNOW has in an advertising program? Do you believe CableNOW will survive these changes over the next 10 years? Why or why not? Integrated Advertising, Promotion, and Marketing Communications Eighth Edition Chapter 1 Integrated Marketing Communications Copyright © 2018, 2016, 2014 Pearson Education, Inc. All Rights Reserved Chapter Objectives 1. How does communication take place? 2. What is an integrated marketing communications program? 3. Which trends are affecting marketing communications? 4. What are the components of an integrated marketing communications program? 5. What is meant by GIMC? Copyright © 2018, 2016, 2014 Pearson Education, Inc. All Rights Reserved Chapter Overview • Highly competitive global marketplace • Wide variety of media available • Clear communications needed • Customers bombarded with communications • Integrated advertising and communications Copyright © 2018, 2016, 2014 Pearson Education, Inc. All Rights Reserved Lean Cuisine • ‘Diet’ not popular term • New products, new messages • ‘Frozen, How Fresh Stays Fresh’ • Social media — ‘Weigh This’ • Goal to shed the idea of a ‘diet’ food Copyright © 2018, 2016, 2014 Pearson Education, Inc. All Rights Reserved Figure 1.1 Communication Process Copyright © 2018, 2016, 2014 Pearson Education, Inc. All Rights Reserved Chick-fil-A Social Media • Integrates online with offline • Engage customers primary goal • Store openings announced via social media • ‘Cow Appreciation Day’ • ‘Eat Mor Chikin’ offline advertising Copyright © 2018, 2016, 2014 Pearson Education, Inc. All Rights Reserved Figure 1.2 Examples of Communication Noise • Talking on the phone during a commercial on television • Driving while listening to the radio • Looking at a sexy model in a magazine ad and ignoring the message and brand • Scanning a newspaper for articles to read • Talking to a passenger as the car passes billboards • Scrolling past Internet ads without looking at them • Becoming annoyed by ads on a social media site • Ignoring tweets on Twitter because they are irrelevant • Being offended by the message on a flyer for a local business Copyright © 2018, 2016, 2014 Pearson Education, Inc. All Rights Reserved Integrated Marketing Communications Integrated Marketing Communications is the coordination and integration of all marketing communication tools, avenues, and sources within a company into a seamless program which maximizes the impact on consumers and other end-users at a minimal cost. The IMC includes all business-to-business, channel, customer, external communications, and internal communications. Copyright © 2018, 2016, 2014 Pearson Education, Inc. All Rights Reserved Figure 1.3 The Components of Promotion Copyright © 2018, 2016, 2014 Pearson Education, Inc. All Rights Reserved Figure 1.4 Steps of a Marketing Plan • Current situational analysis • SWOT analysis • Marketing objectives • Target market • Marketing strategies • Marketing tactics • Implementation • Evaluation of performance Copyright © 2018, 2016, 2014 Pearson Education, Inc. All Rights Reserved Figure 1.5 Trends Affecting Marketing Communications • Emphasis on accountability and measurable results • Explosion of the digital arena • Integration of media platforms • Shift in channel power • Increase in global competition • Increase in brand parity • Emphasis on customer engagement Copyright © 2018, 2016, 2014 Pearson Education, Inc. All Rights Reserved Accountability and Measurable Results • Want results from marketing budgets • Effort led by CEOs, CFOs, and CMOs • Advertising agencies expected to deliver results • Emerging social media changes communication • Emerging alternative methods and media • Less reliance on mass TV ads Copyright © 2018, 2016, 2014 Pearson Education, Inc. All Rights Reserved Integration of Digital Media • Emergence of — Interactive Web sites, blogs, and social networks — Smartphones, tablets • Companies shifting expenditures from traditional to digital media • Social media allows interaction Copyright © 2018, 2016, 2014 Pearson Education, Inc. All Rights Reserved Integration of Media Platforms • Consumers integrate platforms — 5 hours 16 minutes à non-television screens — 4 hours 31 minutes à television • Ways consumers integrate media formats — — — — Content grazing Investigative spider-webbing Quantum journey Social spider-webbing Copyright © 2018, 2016, 2014 Pearson Education, Inc. All Rights Reserved Figure 1.6 Pathways Consumers Use to Interact Across Media Devices Source: Based on Mark Walsh, ‘Microsoft Highlights Usage Across Device Pathways,’ Online Media Daily, March 14, 2013, http://www.mediapost.com/publications/article/195786/ Copyright © 2018, 2016, 2014 Pearson Education, Inc. All Rights Reserved Changes in Channel Power • Retailers — — — — Control channel Control shelf space Have purchase data Determine products and brands on shelves • Consumers — Internet shifts power to consumers — Multiple methods of making purchases Copyright © 2018, 2016, 2014 Pearson Education, Inc. All Rights Reserved Increases in Global Competition • Information technology and communication has changed the marketplace. • Products can be purchased from multiple locations. • Customers want both low prices and high quality. • Manufacturers and retailers must work together. Copyright © 2018, 2016, 2014 Pearson Education, Inc. All Rights Reserved Increase in Brand Parity • Brands viewed as being equivalent • Consumers select from a group of brands • Quality and characteristics less important • Price more important • Decline in brand loyalty Copyright © 2018, 2016, 2014 Pearson Education, Inc. All Rights Reserved Emphasis on Customer Engagement (1 of 2) • Marketers seek to engage customers • Contact points important • Digital media now part of IMC • Two-way communication • Strive to develop emotional commitment Copyright © 2018, 2016, 2014 Pearson Education, Inc. All Rights Reserved Emphasis on Customer Engagement (2 of 2) Understanding customer engagement also applies to nonprofits such as the Red Cross Copyright © 2018, 2016, 2014 Pearson Education, Inc. All Rights Reserved Figure 1.7 Five Reasons Why Integrated Marketing Works 1. Unifies strategy and message across channels 2. Streamlines timing 3. Connects with multiple audiences 4. Creates meaningful insights 5. Maximizes impact Copyright © 2018, 2016, 2014 Pearson Education, Inc. All Rights Reserved Figure 1.8 Overview of IMC Text Copyright © 2018, 2016, 2014 Pearson Education, Inc. All Rights Reserved International Implications • Goal — to coordinate marketing efforts • Greater challenge due to national and cultural differences • Standardization versus Adaptation • ‘Think globally, but act locally’ Copyright © 2018, 2016, 2014 Pearson Education, Inc. All Rights Reserved Blog Exercises • American Eagle • Chick-fil-A • Integrated Marketing Copyright © 2018, 2016, 2014 Pearson Education, Inc. All Rights Reserved Copyright Copyright © 2018, 2016, 2014 Pearson Education, Inc. All Rights Reserved Purchase answer to see full attachment Explanation & Answer: 2 pages Tags: marketing selling CableNOW User generated content is uploaded by users for the purposes of learning and should be used following Studypool’s honor code & terms of service.