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Integrated Marketing Communication

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Yi Qi

on 5 April 2013

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Transcript of Integrated Marketing Communication

Absolute Jeans Communication Analysis Competitors Creative Belief Launch & Media Plan Objectives Campaign Package The clothing specialists sector was expected to see growth of 1.8% for 2012 as a whole, taking the sector size to £37.7 billion (incl. VAT) (Mintel Oxygen, 2012). Official website: Many brands and retailers have gained a presence on the sites, with companies able to directly target followers, streaming instant information and news. The marketplace kept fierce competition which had a result in a number of retailers were leading the market. This is believed to be attributable not only to falling sales, but also to the popularity of out-of-town shopping parks and online retailers, as a number of high-street competitors in particular have struggled financially over recent months. Analyzing the future of the clothing retailing market, sales are forecast by Key Note to increase continuously between 2012 and 2016, and are estimated to reach £51.83bn in 2016. Growth may initially be influenced by London 2012, while thereafter sales will be maintained due to economic recovery. Consumer Expenditure on Clothing as a Percentage of Total Consumer Expenditure in the UK (£m at current prices and %), 2007-2011 Market Place Consumer Protection against Unfair Trading Regulations
The Regulations introduce a general duty not to trade unfairly and seek to ensure that traders act honestly and fairly towards their customer.
This introduces a general prohibition against unfair commercial practices (e.g. promoting a products that create confusion with a competitor’s products (similar brand name or logo)). (Legislation.gov.uk, No Date)
Advertising Standards Authority (ASA)
UK’s independent regulator of advertising across all media.
Acting on complaints and proactively checking the media to take action against misleading, harmful or offensive advertisements. (ASA, 2012)
Health & Safety British Standards??
The product have to meet specified essential safety requirements (i.e. planning for hazard identification, risk assessment and risk control.) British Standards Institution (2013) Disposal income
During economic boom periods, increase the disposal income and also increase sales for clothing. However, during recession periods, its opposite.
The costs of imports, transportation and raw materials could be risen up. (Key Note, 2012)
The recession effects the development of comunication industry. (Key Note, 2013) The emergence of social media
Consumers are regarding internet as a more reliable source of information than traditional media like TV or magazines. (Bruhn et al., 2012, Key Note, 2012)
(Key note, incomplete) The emergence of the internet
The consumers can find cheapest alternatives
The consumers purchase online rather than going to retail shop
The emergence of social media enable consumers to affect the image of brand identity positive or negative either
The emergence of the Social media
consumer-to-consumer communication (i.e. the “firm-created” products, services or brands interact with “user-generated” communication)
Social media has created a two-way communication
two-way line includes response or feedback from the receiver and enables firms to work together with users
(Bruhn et al., 2012, Key Note, 2012)
The development of mobile applications and 4G network leads to a new marketing communication area. (Key Note, 2013) Political Factors Economic Factors Social Factors Technological Factors The fast-fashion trends encourage consumers to keep up-to-date with styles and purchase more overall, driven by retailers who are updating and changing stock

Good location (high street) indicates high footfall, which also helps advertising announcement receiving large amount of audiences

Most customers prefer to shop in store rather than shop on-line when they do clothing purchase (Mintel Oxygen, 2012).

Unseasonal weather in the UK, consumers are becoming less likely to change their wardrobes to fit the seasons. However, jeans are suitable for every seasons. Strength Weakness Expensive cost for store renting (high street)

Lack of brand reputation

The popularity of out-of-town shopping parks is continuing to have a negative impact on high-street retailers and independent stores.

The market is vulnerable to economic changes, as consumers tend to cut back their spending in clothing markets in an uncertain climate.

Due to the limitation of the budget, certain methods of advertising are unlikely to be applied during this stage of promoting. Consumers are becoming much more fashion conscious and are striving to keep up with the latest styles, which are constantly changing.

Young customers regard fashion purchasing as their biggest expense in daily life.

The recovering UK economy leads to the increase of the market sales.

Due to the development of high technology, such as smart phone & 4G network, there are more channels to promote our products and communicate with our customers Opportunities Threats The UK’s aging demographic could reduce the number of target customers.

Shopping on-line has become the new trend due to the development of high technology, which leads to more potential competitors in the internet market

The improvement of social media could lead to the acceleration of negative information spreading.

The brand loyalty to competitors effects the launching of our campaign.

New competitors come up in the future Social networks: The operation costs for companies to have a presence on social networks can also be achieved fairly inexpensively compared with traditional main media advertising while also get feedback from their customers. Facebook was ranked as the top social networking and forum website for the month of January 2013, accounting for approximately 41.83% visits to social networking sites Mobile:
The expansion of the mobile audience, has provided significant opportunities for advertisers in recent years(over 50% of UK residents now thought to own a smart phone and about 11% own a tablet device).
Mobile users are now thought to be spending more time using their mobile devices, which provides a range of functions, from browsing the Web, text messaging and checking e-mails, to shopping , visiting social networking sites and playing games. Target Audience Population: 598,830 (National Records of Scotland, 2011)

Glasgow student numbers:  more  than  168,000 (the  2nd  largest  student population in  the   UK ) (GCU, 2012)

There were 143,066 people aged 16-29 living in Glasgow in 2011 Customer Context (Glasgow) The target audience are the males and females who are students or in employment with a median income about 20,000 between 18-25 years old in Glasgow. Frequency of clothes shopping, by gender and age group, September 2011 (base: 968 adults ages 15-24) Source: Mintel, 2011 About 63% youths (Mintel, 2012) would purchase clothing either once per month or every few months.

Female customers would do higher frequent clothing purchase than male customers.

Clothing purchase is the second largest expenditure of young customers who aged 15-24, following the rent and bills expenditure. Because most youths who live with family don’t need to be worry about their cost of food, rent and bills.

Comparing with other age groups, young customers more interest in online shopping. However, because of less of age, the youths who are under 18 are hard to buy clothing online ( the web site like eBay only accept members 18+).

Less of high income, most youths would prefer low price brandsrather than high price brands Target audience response behavior, media consumption habits Potential target groups Teenager between 16 to 17 years old
Pay more attention to fashion than adults. Teenager - 66.3% VS 16.3% - adultsThe high attention of InternetDesperate for attention High requirement for expressing One's Individuality (various styles)2. Visitors & Nearby youths:Glasgow The business center of Scotland and the biggest city in Scotland Product Quality: High quality, Fast fashion, fashionable design
Price: relatively high
Promotion strategy:
Zara only spends about 0.3% of their revenue on promotion.
Zara does not appear on television or poster advertisements.
Zara rarely advertises any store sales or have sales promotions other than sale items unlike other retailers
Zara produces new products every week as said on their website, so popular products may disappear off the shelf within days
Andres (2003)
Product Quality: Low, Fast fashion
Price: Low
Promotion strategy:
Famous blogger: updating the fashion blog every day, and showing the latest fashion news
Famous models or celebrities promote H&M’s products on their Social Media (Facebook).
The top fashion designers are invited to be their partners for designing the new collection.
H & M Hennes & Mauritz AB., (2012)
Product Quality: high
Price: high
Promotion Strategy:
Communicates with consumers through the social networking
Levi’s® LIVE THE DREAM – ON THE ROAD” campaign
Digital marketing strategy that communicates through social networking channel by means of reality video clips
To boost its followers on Facebook, and to attain teen consumers loyalty and reinforce market leadership.
Build up brand loyalty by adapting local culture
A collaboration with local country singer Pamela B to create a “Levi’s Song” in Thai country music style. To create strong customer loyalty in rural areas.
(LEVI STRAUSS & CO, 2012) Product Quality: high
Price: relatively low
Promotion strategy:
Celebrity endorsement
British super model, Kate moss, would act to strengthen Top Shop's image as being first class in fashion clothing
Student Discount
it would attract the young fashion oriented members of the target market who have lower purchasing power comparative to any of its other targeted customers.
promotions of this nature would allow the management to explore opportunities related to the younger segment of the market in the long run by giving it first hand knowledge of the segment's preferences.
primarily serves as a source of advertising and promotion for a brand.
It not only contains information on the upcoming fashion accessories but also some very useful tips and fashion advice.
Haftl (2006) Reach 30% on both target segments of 18-25 male and female consumers; increase market share by 5%; obtain unit sales by £100,000. Print Advertising Why use magazines advertisement Magazines information can be presented and the examined selectively at the reader’s leisure.
A copy of a magazine tends to be passed around among a number of people and kept for a long times.
Magazines can be very closely targeted to a tightly defined audience, and the attraction of print media starts to become clear (Brassington, 2013). Flyers – are fast, cheap and very effective when it comes to advertising events, sales and other things.
Leaflets – are effective in certain businesses but not them all, can hold a lot of information and it is very cheap
Posters – Fast way of getting a point across, cheap and very effective at advertising what is on the poster depending on the layout (Bazojay, 2010) Why use Posters & Leaflets & Flyers Active Media Advertisement Why use Radio Advertisement Does not require the listener’s sole attention: radio is often listened to while driving, working, doing housework.
Cheapness and flexibility: Production costs of radio advertisement are tiny compared with TV production costs.
Live medium: radio is active, so it commands attention better than newspaper Outdoor advertising Why use vehicles advertising In Glasgow, it is possible to have whole vehicles or buses painted with the company’s design which is called livery.
This kinds of advertisement can attractive more easily to audiences on the road.
Vehicles advertising is not be static (Blythe, 2009). Why advertise in the subway Allows direct communication with your audience right before point of purchase.
The subway links the City Centre with the West End and locations on the south side of the River Clyde.
There are around 13.1 million footfall in Glasgow subway (Glasgow Subway Vision 2012).
Sometimes people can not reading a newspaper in the crowded station Buchanan Street Subway footfall Source: GLASGOW CITY CENTRE ECONOMIC HEALTH CHECK (2012)
h Why advertise in the bus station Buchanan Bus station is the biggest bus station in Scotland
A huge footfall: over 50,000 passengers using these journeys on a daily life.
Bus travel is an important ways for passengers and inside advertising is more tightly targeted than street advertising because it will be seen predominantly by commuters and tourists. Buchanan Bus station footfall Source: GLASGOW CITY CENTRE ECONOMIC HEALTH CHECK (2012 Online advertising Why use Online advertisement Online advertising is a recognized medium for reaching target audiences. Today, internet penetration is reaching 80% across Europe (Brassington,2013).
Website advertising could impact on Internet marketing. Website advertising can be used as assistance tools affect the process of customer purchasing online (Blythe, 2009).
Internet advertising not least its potential to provide ‘direct response’ by clicking through to website, its creative flexibility to use colour, sound and movement, and its capacity for targeting. Why use social media (viral advertising) A wide range of usage Social Media Report, (2012) Improved sales
Social media can develop relationship with customer that can improved sales (Social Media Report, 2012) Increased exposure
Through used social media, products or services could be increase on exposure ((Social Media Report, 2012) Grew business partnerships
If company invest the most time in social media that can achieve the most business partnership (Social Media Report, 2012) Commonly used social media tools Why use google advertising SEO Google is very famous Search Engine in the world, Many people use it: 900,000,000 Unique Monthly Visitors (Top 15 Most Popular Search Engines, 2013).
Many company can attract 50% or more of visitors through use Search Engine (Smartinsights, 2012; Hitwise, 2012) The rank of seo in UK Source: UK search market dominated by Google, (2012) Group Members Create a massive awareness of the brand identity among middle level brands, aiming 70% of the target audience by 6 months. Develop an understanding of the brand value by 60%, including the price, the range of products and the unique selling point By applying both emotional and rational appeals, grow a positive attitude towards the brand reliability and uniqueness by 50% of our target audience; raise a general awareness that our company have competitive advantage over our competitors. Objective 1: Increasing Brand Awareness Objective 2: Increasing Brand Knowledge Objective 3: Achieving Positive Attitudes Objective 4: Increasing sales & market share Gantt Chart What is the name of the brand? The brand is called Absolute Jeans.
We are aiming to make Jeans pure and professional, like the name ‘Absolute’
We made jeans chic, trendy, outgoing while classy. How the brand will be positioned? The brand is targeting 18 to 25 years old boys and girls;
Locale: high-street store & department shop;
With lower price than Levi’s, Absolute Jeans occupies more diversities than others competitors.
Our slogan: ‘Absolute Jeans: Only Jeans matter.’ Who are we talking to? Our directly facing customers: 18 to 25 year-old people
Our competitors
Our peer members: suppliers, distributors, staff, shareholders & stakeholders
Linking brands and events, like concert, club night, sport event such as skateboarding (Coplay, 2004) What do we want them to think/feel/do? We want our customers to think we are the leading choice of jeans on both style and utility
When they put on a pair of Absolute Jeans, there is no more accessorise needed; jeans stand for the style
Whenever there is a ‘fashion situation’ or ‘party emergency’, a pair of Absolute Jeans would never be a bad choice
Absolute jeans look good in all occasions (Commercial idea as well) Absolute Jeans is the leading brand of the industry, it stands for benefit
Absolute Jeans has a positive image among parents and their children, we only choose celebrities with good image (girls like Lindsay Lohan would never appear wearing in public)
Good reputation of quality among customers
Good reputation of credits among stakeholders What are we saying to them? Positioning Statement: Absolute Jeans are standing out the market based on it’s creativity and quality.
USP: Absolute Jeans are attractive to customers with unique style.
Creative appeal: advertisement How are we saying it? We are a young, lively brand associating with the 18-25 year old group. The appearance of our brand is fresh and perky
To build a positive image among customers, Absolute Jeans should be associated with events like What are the requirements? Social Media: Facebook, Twitter, Instagram, Email, QR code,
YouTube: channel, campaign, competition (online photos/videos of wearing Absolute Jeans doing fun stuff [Camper]) Social Media Report, 2012 Product Life Circle Yi Qi (s1202107)
Yi Tian (s1230021)
Ruirong Mo (s1202100)
Ufoma Efeurhobo (s1238802)
Matrumoto Ryusuke (s1303187) Reference • Andres, M (2003) The role of market orientation on company performance through the development of sustainable competitive advantage: the Inditex-Zara case Journal: Marketing intelligence & planning Vol. 21 Iss: 4, pp.220.

• Arens, W, F. (2005) Advertising Perspectives. McGraw- Hill Companies.

ASA (2012) About us [online] Available at: http://www.asa.org.uk/About-ASA.aspx

• Blythe, J. (2009) Principles and Practice of Marketing. Hampshire: Cengage Learning EMEA.
• Bazojay (2010) Advantages and Disadvantages of Different Advertisements and Communication Methods [Online] available from: http://webupon.com/web-talk/advantages-and-disadvantages-of-different-advertisements-and-communication-methods/
• Brassington, F. (2013) Essentials of Marketing. Harlow: Pearson Education Limited.
• British Standards Institution (2013) New site unveiled to enhance product safety standards, Available at http://shop.bsigroup.com/templates/Shop/v2/DisplayNewsDetails.aspx?aId=801474429&catId=15

• Bruhn, M., Schoenmueller, V., and Schäfer, D. B. (2012),"Are social media replacing traditional media in terms of brand equity creation?", Management Research Review, Vol. 35 Iss: 9 pp. 770 – 790. Copley, P (2012) Marketing Communications Management- Concepts & Theories, Cases & Practices. New York: Routledge.
•GLASGOW CITY CENTRE ECONOMIC HEALTH CHECK (2012) [Online] Available from: http://www.glasgowforbusiness.com/downloads/Health-Check-Spring-2012.pdf
•Glasgow Subway Vision (2012) [Online] Available from: http://glasgowresidents.files.wordpress.com/2007/03/glasgow-subway-2020-vision.pdf
•Haftl, L (2006) Top Shop Analysis: Best Shop Tools Journal: American machinist Vol. 150 Iss: 7, pp.34.

•H & M Hennes & Mauritz AB. (2012) About H&M [online] Available at: http://about.hm.com/AboutSection/en/About.html

•Key Note (2012) Clothing Retailing. London: Key Note.

•Key Note (2010) Own Brands. London: Key Note.

•Key Note (2011) Teeanage Fashion Ware. London: Key Note.

•Legislation.gov.uk (No Date) The Consumer Protection from Unfair Trading Regulations 2008 [online] Available at: http://www.legislation.gov.uk/uksi/2008/1277/contents/made •LEVI STRAUSS & CO, (2012) About Us [online] Available at: http://us.levi.com/family/index.jsp?categoryId=18816836

•Mintel (2011) Youth Fashion. London: Mintel.

•Mintel (2012) Clothing Retailing. London: Mintel.

•NRS (2012) Glasgow City Factsheet. Glasgow: National Records of Scotland.

•Smartinsights, (2012); Hitwise, (2012) Most Popular Search Engines- UK, US and Worldwide [Online] Available from: http://www.smartinsights.com/search-engine-optimisation-seo/multilingual-seo/search-engine-popularity-statistics/
•Top 15 Most Popular Search Engines (2013) [Online] Available from: http://www.ebizmba.com/articles/search-engines
•UK search market dominated by Google (2012) [Online] Available from: http://theeword.co.uk/seo-manchester/google_starts_2012_top_of_search_engine_market.html Thank You ! Any Questions? What we did? We have used image and strategic orientating marketing to begin our campaign; and intend to progress to behavior orientated marketing in a more mature stage
By introducing new trend of technology such as social media and 4G network, we are aiming to be associated with as many as our target audience
By adapting both traditional and new/digital marketing tools, we are aiming to reach as many as our target audience
We deliberately avoid ambushing marketing, not only we believe our brand image is strong and unique, but also we believe certain activity is unethical and aggressive. What we will do? Due to the early stage of the campaign, certain activities like Sponsorship may not be effective. Although after this period, we highly recommend sponsorship with fashion shows and university events to build up a higher reputation among our target audience
Sales promotion would also be suggested to apply during time to time.
Collaborate with famous designers, following the successful path like H&M, Topshop.
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