Marketing Communications

For people to understand each other, they need to converse. To spread the message or idea to another party, a person must communicate to them. This is not different in terms of marketing. In order to get the message across to the targeted market, related media must be used. The formal term for this type of communication is marketing communication. This kind of communication is also coined as integrated marketing communications. Examples of media used in this type of communications are advertising, promotion, packaging, direct marketing, sponsorship and the likes.

The traditional way on this type of marketing is through the use of traditional channels such as the use of TV ads, radio ads and newsprint. These are already considered traditional ways because it has already been used in such a very long period of time. With all honesty, this type of communication is still effective but everything in this world changes and the way of communication is not an exception to that rule.

The new communication of marketing is through the use of the internet. The internet has a lot of use in terms of business to business marketing. It has greatly benefited from the success of the internet. With the internet, the mode of communication is limitless. One can make an article just like in the newsprint. A video can also be made and uploaded to the internet. One can also make voice ads just like in the radio. A very own website can be created so that all the information pertaining to the product or service can be placed on that site so that everyone can see. With the rise of social networking sites, it has opened another avenue to communicate with the targeted market.

To further differentiate the traditional from the new trend of communication, you must take notice on how articles are submitted to be advertised. Before, it is given to newspaper or other form of print media and hope that it will be accepted but now, with the internet, all you have to do is just make an article and give it to article directories and it will be published. The simplicity and quickness is very evident if the internet is being used. Another example is the use of video for advertising. Before the only way is through TV ad slots and it entails too much cost but with the internet, only you have to do is upload the video on a free video repository and it is ready to be everyone to be seen. With this, it is perfect vehicle if you are on a tight budget.

If everything is taken a closer look, the difference is only the way it is being delivered but the concept remains the same. Just like for article marketing, articles are still written but it is just sent via internet rather than to newspaper or other newsprint. It is the same with the use of videos, videos are to be made but now it is just posted in YouTube for everyone to see.

In conclusion, everything is changing and you must be up to date of the change especially when it comes to marketing because it may be the reason for the rise or fall of your business.

Small And Midsized Company Marketing And Marketing Communications – A Lesson From Large Agencies

Over the past few years, rapidly developing technologies have changed the way marketers think about marketing and marketing communications strategies, plans and tactics. However, somewhat quietly but perhaps more importantly, a significant change has occurred with the world’s largest communications agencies – the dramatic growth of consulting companies at the expense of traditional advertising agencies.

Management and accounting consulting companies with new services are now ranking sixth through tenth among the world’s biggest communications companies. The specialized divisions of Accenture Interactive, PwC Digital Services, Deloitte Digital, Cognizant Interactive and IBMix had total global revenue of over $20 billion in 2017, with an eye-popping 32 percent growth in US revenue versus a year ago.

While traditional advertising industry giants WPP, Omnicom, Publicis, Interpublic and Dentsu are ranked as the top five, with global revenue of nearly $62 billion, US revenue barely increased at 0.3 percent (Advertising Age).

Why is this change happening and what can small and midsized marketers learn from it?

Consulting Companies Focus On ROI

There are many reasons for the growth of consulting companies – in B2B, B2C and nonprofit marketing and marketing communications areas – but the top reasons are:

  1. Consulting companies already have deep ties, experience and credibility helping organizations improve their profitability, because of a sharp focus on ROI;
  2. Their existing familiarity with digital technologies, along with the financial resources to acquire specialized digital companies for expansion;
  3. Maintaining a data-based strategy with clients and prospects – not creative alone – which means they are focused on understanding customer wants and needs, as well as customer experiences at all pre- and post- customer purchase points;
  4. A focus on marketing and marketing communications effectiveness and not just efficiency, resulting in a very big difference to a brand’s profitability.

In short, a history and vision of focusing on and improving a brand’s profitability and its ROI. Keeping an eye on the bottom line – cost per customer, not just media cpm efficiency.

ROI Focused Marketing And Marketing Communications Consultants

As a small of midsized marketer, what can be learned from this dramatic shift of larger marketers? With only a small (sometimes inexperienced) staff, limited financial resources and time constraints, what should be considered?

Start with established marketing and marketing communications consultants who are clearly focused on a brand’s profitability and ROI, and not just “likes” or “clicks”. They should have significant experience across industries and brands, both for profit and nonprofit, and have a broad understanding of customer, prospect (and employee) motivations to purchase and repurchase, regardless of the business environment.

But, above all, they must be media neutral and not selling “one size fits all” solutions. As Tom Bradley, former head of marketing at Nestle said, “The best source of marketing communications leverage is the quality of the message… not the media vehicle, new or traditional, that does or does not deliver.” And that also means you must be sure that your consultants have the ability to cultivate and manage the creative process.

Selecting A Consultant

Unsure of how to select a consultant, much less what type of professional to look for? If your business is floundering and in serious need of overall repair, along with financing, you probably would be better served by either a management or accounting consultant.

If, however, your primary need is to establish or improve a weak marketing or marketing communications program for the short and long term your selection should be apparent. You should be looking for rigorous and objective counsel on the entire scope of traditional marketing and marketing communications opportunities available to you (traditional vs. new media; conventional vs. digital; etc.).

Beyond the qualities of the consultants previously mentioned, be sure to look for:

  1. Someone who is disciplined, apolitical, down to earth, and willing to be part of your team; consultants who will promote candor across all levels, who will listen and explain what needs to be done to everyone’s satisfaction; teaching, not lecturing, is very important’;
  2. Professionals with the ability to develop successful strategies, plans and executions with your team or, if necessary, who can provide outside specialists to improve part or all of the program;
  3. People who have strong convictions to use research and measure not only what has been done but also what is proposed to be done; measurement is key to evaluating success or the need to modify a plan;
  4. A flexible organization that can bring in marketing and marketing communications specialists when and as needed so that overhead isn’t an on-going expense.

Most small and midsized companies find themselves with not enough time, skill or financial resources to develop and execute a profitable marketing and marketing communications program. These challenges are growing exponentially, and consultants can be of great value in navigating this complex environment and adding value to your brand.

Hopefully, these ideas will give you food for thought, but as Mark Twain said, “The secret of getting ahead is getting started.”

Developing A New Marketing Communications Plan For Small And Midsized Companies

As you begin, or refine, your marketing and marketing communications planning for the coming year, you’re probably a little uneasy about whether you’re maximizing your strategy, budget, plan, executions and measurement. Whether you’re a B2C, B2B or nonprofit marketer, it might help to know you’re not alone. It’s always a challenge to develop these plans, but especially now.

In fact, 93 percent of Chief Marketing Officers say they’re under more pressure to deliver significant ROI, while only eight percent say they can determine ROI for their social media efforts.

Marketing And Marketing Communications Challenges
Our continued unsettled economic and political landscape and changing demographic patterns, coupled with the explosion of new communications tactics, along with a plain lack of trust between buyers and sellers, has led to the increasing levels of uncertainty that we all feel. In developing new plans and strategies, this translates into a host of considerations:

  • Expenditures for major media (as led by television, yes television) and marketing services (as led by sales promotion) in the U.S. are projected to total an all-time high of $406 billion in 2015. That’s a staggering $1,262 per person (Zenith Optimedia)! Beyond the dollars, that’s a lot of clutter and competition.
  • Conversely, median household income declined 8.7 percent between 1999 and 2013 to $51,939 (Census Bureau Current Population Survey). During this time, most buyers have learned how to spend their hard earned dollars more cautiously.
  • The two largest and most important age cohorts are very different. Millennials are more willing to buy lesser known brands, don’t see ownership per se as an aspiration, and are cash strapped. On the other hand, the brand loyal Boomers will account for about 70 percent of U.S. disposable income in 2017 (Quirk’s Market Research).
  • No one expected the efficiency and simplicity of emails to reach today’s volume, as businesses now spend nearly one-third of their work week managing them (McKeney & Company). Maybe declaring an email holiday is in order.

And, if you’re unsure or apprehensive about next year, perhaps your customers and prospects are too.

Improving Marketing And Marketing Communications ROI
So what can be done to develop a better overall program? I believe there are important steps you should consider for improving ROI.

1. You really need to know what your customers and prospects want and need, how they perceive your product or service, and how your brand stacks up to completion. Avoid corporate myths and mere opinion, and employ market research to focus your planning.

2. Be sure to understand the full demographic scope of your customers and prospects today and how they will change in the future. Consider the continuing dramatic growth of the Asian and Hispanic populations and include them in your planning.

3. Make sure your employees, reps and distributors completely understand, believe and can articulate your brand promise. Encouraging them to be dedicated brand ambassadors can dramatically increase your brand’s awareness and positive reputation.

4. Go out of your way to be media neutral. With so many new tactics to explore, make sure that, when you compare traditional and new media, you know the difference between efficiency and effectiveness. For example, a recent Gallup study among 18,000 consumers reported that 62 percent said social media had “no influence at all on their buying decision”.

5. Sharpen and integrate your messaging across media through a marketing communications audit. Before committing your already stretched revenues, conduct an audit to help determine the strengths and weaknesses of your program as a whole, as well as how each individual communications tactic and message does or does not meet your objectives.

Done properly, these actions will help you develop a more knowledgeable, coordinated, focused and profitable roadmap for next year’s journey. But how do you actually begin that journey?

Marketing Communications Consultants Add Value
No one doubts that smart, dedicated people have been involved in developing your current marketing communications strategy, budget and plan. But, if you’re like most small and midsized companies, your people are probably stretched to the limit, and/or simply may not possess the background to oversee this process in the most knowledgeable way.

Because of this many companies have partnered with established, senior level consultants, to help develop, refine and, if appropriate, implement the program. If you consider this option, make sure the consultant has extensive experiences across disciplines, as well as a variety of industries and brands, so he or she won’t be trapped by the “this is the way we’ve always done it” mentality. You want an apolitical team, with a willingness to “tell it like it is”. Fresh eyes can be a major asset to your profitable growth.

In today’s challenging environment, a focus on upfront planning can go a long way toward improving your marketing communications ROI.

Small and Midsized Company 2016 Marketing Communications Forecasts

By now, you’ve probably seen the forecasts referring to 2016 as an “OK” year, with US GDP growth of about 2.6 percent, unemployment at 4.8 percent, wage growth of 2.7 percent, and increased volatility in financial and political arenas.

Why would any B2B, B2C or nonprofit marketer feel comfortable with this outlook? In fact, the December Chief Executive Magazine’s “Confidence Index” for the year ahead is at its lowest since June, 2014.

Marketing Communications Forecasts

With so many macro strategic and tactical issues on the horizon, it’s difficult to know where to start. But corporate and nonprofit marketers will still have to make decisions about their businesses, so here are my top five forecasts for you to consider as they relate to your marketing communications needs in the coming year.

1. Current client-agency relationships are at a very low level, and there will be an increase in the use of outside marketing communications consultants and groups to help small and midsized organizations.

Over time, client’s lack of trust in their agencies, combined with the huge overhead garnered by the larger agencies, has resulted in a weakening of the bond between clients and agencies. As an example, the Association of National Advertisers (ANA) recently hired two consulting firms to investigate allegations of undisclosed rebates in digital media flowing to agencies. Much to the chagrin of the American Association of Advertising Agencies, the ANA is working without their involvement.

Is it any wonder there was/is $30 billion under review in 2015? Transparency is the new black.

2. Content marketing will become even more important, as marketers learn to use market research and data analysis to deliver more meaningful information to customers and prospects. Further, as the number of people in the US blocking ads rose to 45 million in the second quarter of 2015 (up 48 percent from a year earlier), the economic viability of digital media is threatened. Taken together, this offers a unique opportunity to provide customers, prospects and donors with better information once the marketer understand what they really want to know. Look before you leap.

3. How marketers gather, analyze and integrate data about customers and prospects will help determine how well they achieve marketing and profitable sales success. By 2017, 69 percent of marketers say they expect data to drive most of their decisions (Gartner).

Everyone agrees there is an overwhelming amount of data. That’s the good news. The challenge is knowing how to interpret it and being able to communicate the implications correctly and effectively. Without this skill set, the entire marketing communications ROI is just another fancy name.

4. In 2016, with political advertising dominating media, many small and midsized companies and nonprofits will be priced out, finding it difficult to secure and/or afford many media and marketing tactical services. Next year, Advertising Age estimates that media will account for 54 percent of spending, while other marketing services will account for 46 percent.

Specifically, direct marketing is projected to account for one-third of all spending, followed by television at 23 percent, digital at 15 percent, plus newspapers and sponsorships, each at six percent. More than ever, being flexible and media neutral should be the first priority.

5. Despite the seemingly daily appearance of new online marketing tactics, human connections will, in fact, become more important. The explosion of digital tactics has created a unique opportunity to efficiently build awareness and initiate a dialogue. However, it’s also left behind a lot of clutter in its wake.

If you want to close a sale, you may have to resort to the “old” method of face to face relationships. In fact, nearly eight out of ten B2B and B2C marketers use in-person events for just that reason. Importantly, employees who understand the category and believe in the product can provide the quality, sincerity and emotional connection that are missing in most digital dialogues. Your own employees can not only be significant brand ambassadors but can also be an important source of customer feedback. Don’t be afraid to use them.

There are many other areas of prognostication worthy of discussion – including mobile, native advertising, baby boomers vs. millennials, internal communications, ROI measurement, videos, etc., etc. – but I believe the forecasts discussed above will have a significant impact not just on 2016 but the years ahead. The question then becomes what to do about them.

Marketing Communications Consultants Add Value

With all of the changes in the years ahead, consumers, buyers and donors will be forced to become more knowledgeable and more demanding, and will become even more cautious about how to spend their money. The rapid changes in technology have created an “always on” media environment. And a recent study by Forrester Research reports that over one-third of marketers currently feel overwhelmed by change.

I believe the 2016 will be the year of people, not technology or media or brands or companies. In almost all organizations, but especially in small and midsized ones, people are probably stretched to the limit and/or simply do not possess the background or expertise to handle the marketing communications challenges of 2016.

Because of this, an increasing number of for profit and nonprofit organizations have partnered with established senior level consultants to help develop, refine and, if appropriate, implement ROI focused programs. Look for people with broad industry and brand experience, across organizations, large and small. Candor should flourish. Look to make your future better than your past.