University of Southern California

Marshall School of Business

BUAD 307 Lars Perner, Ph.D., Instructor

Marketing Fundamentals Fall, 2010

SUMMARY OF CLASSROOM MATERIAL INTEGRATED MARKETING COMMUNICATION AND PROMOTION
BACKGROUND Integrated Marketing Communication (IMC) involves the idea that a firm’s promotional efforts should be coordinated to achieve the best combined effects of the firm’s efforts. Resources are allocated to achieve those outcomes that the firm values the most. Promotion involves a number of tools we can use to increase demand for our The most well known component of promotion is advertising, but we can also use tools such as the following:  Public relations (the firm’s staff provides information to the media in the hopes of getting coverage). This strategy has benefits (it is often less expensive and media coverage is usually more credible than advertising) but it also entails a risk in that we can’t control what the media will say. Note that this is particularly a useful tool for small and growing businesses— especially those that make a product which is inherently interesting to the audience. Trade promotion. Here, the firm offers retailers and wholesalers temporary discounts, which may or may not be passed on to the consumer, to stimulate sales. Sales promotion. Consumers are given either price discounts, coupons, or rebates. Personal selling. Sales people either make “cold” calls on potential customers and/or respond to inquiries. In-store displays. Firms often pay a great deal of money to have their goods displayed prominently in the store. More desirable display spaces include: end of an aisle, free-standing displays, and near the check-out counter. Occasionally, a representative may display the product. Samples Premiums

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A chart in the text discusses characteristics of each method.

2 PROMOTIONAL OBJECTIVES