Strategic IMC Planning

Part 2: Planning and Strategy

Chapter 7

Wells, Moriarty, Burnett & Lwin - Xth Edition ADVERTISING Principles and Effective IMC Practice
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 Key Points

 Differentiate between objectives,

strategies, and tactics in strategic planning
 Identify the basic decisions in an
advertising plan
 Outline the key features in an IMC plan

Wells, Moriarty, Burnett & Lwin - Xth Edition ADVERTISING Principles and Effective IMC Practice 1-2
 Strategic Planning

Wells, Moriarty, Burnett & Lwin - Xth Edition ADVERTISING Principles and Effective IMC Practice 1-3
 Strategic Planning

The process of  Objectives

 What you want to
determining accomplish
objectives,  Strategies
 How to accomplish
deciding on the objectives
strategies, and  Tactics
implementing  Make the plan come
to life
the tactics
Wells, Moriarty, Burnett & Lwin - Xth Edition ADVERTISING Principles and Effective IMC Practice 1-4
 Basic Strategic Planning Decisions

 It is important for advertisers to know what to

expect from a campaign or an ad
 Measurable objectives
 Specific effect that can be measured
 A time frame
 A baseline
 The goal
 Percentage change

Wells, Moriarty, Burnett & Lwin - Xth Edition ADVERTISING Principles and Effective IMC Practice 1-5
 Basic Strategic Planning Decisions

Typical Plan Outline

I. Situation analysis
II. Key strategic decisions
III. Media strategy
IV. Message strategy
V. Other tools
VI. Evaluation of effectiveness

Wells, Moriarty, Burnett & Lwin - Xth Edition ADVERTISING Principles and Effective IMC Practice 1-6
 Basic Strategic Planning Decisions

 Situation analysis  SWOT analysis

 Researching and  Strengths
reviewing the current  Weaknesses
state of the business  Opportunities
that is relevant to the
 Threats
brand and gathering
all relevant  Key problems and
information opportunities
 After the research is
compiled, analysis
begins

Wells, Moriarty, Burnett & Lwin - Xth Edition ADVERTISING Principles and Effective IMC Practice 1-7
  SWOT analysis
 Internal environment analysis
 Strengths: positive traits, conditions, and good
situation of something
 Weaknesses: traits, conditions, and situation of
something that are perceived as negative
 External environment analysis
 Opportunities: an area in which we could develop an
advantage over its.
 Threats : a trend or development in the environment
that will erode business unless we take action.

Strengths Weaknesses

Opportunities Threats
Wells, Moriarty, Burnett & Lwin - Xth Edition ADVERTISING Principles and Effective IMC Practice 1-8
 Basic Strategic Planning Decisions

 Segmenting and  Getting deeper

targeting insight into
 Market segment: a consumers is the
group of consumers responsibility of the
having similar account planning
characteristics function
 The segments the
planner selects
becomes the target
audience

Wells, Moriarty, Burnett & Lwin - Xth Edition ADVERTISING Principles and Effective IMC Practice 1-9
 Basic Strategic Planning Decisions

 Positioning Strategy  Product features

 Determining what place  Feature analysis
a product should  Competitive advantage
occupy in a given
 Importance/performance
market
 To establish a location  Differentiation
in the consumer’s mind  Branding
based on what the  Locating the brand
product offers and how
that compares with the
position
competition  Perceptual mapping

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 A Perceptual Map for Automobiles

Wells, Moriarty, Burnett & Lwin - Xth Edition ADVERTISING Principles and Effective IMC Practice 1-11
 Basic Strategic Planning
Decisions
 Media strategy
 Media objectives
 Vehicle selection
 Message strategy (what & how)
 Selling Premise
Big Idea
Execution

Wells, Moriarty, Burnett & Lwin - Xth Edition ADVERTISING Principles and Effective IMC Practice 1-12
 Basic Strategic Planning
Decisions
 Budgeting
 Determines how many targets and multiple
campaign plans a company or brand can support
and the length of time the campaign can run

Wells, Moriarty, Burnett & Lwin - Xth Edition ADVERTISING Principles and Effective IMC Practice 1-13
 Budgeting Methods
 Historical method
history’s spending+ inflation+ market situation
 Objective-task method
develop budget from the ground up ,
by determining the cost of accomplishing each objective’s
activities
 Percentage-of-sales method
Combine historical and “sales performance
Step1: Past ads. Spending / past sales = % of sales
Step 2: % of sales performance * next year sales forecast
 Competitive budgets
 All you can afford

Wells, Moriarty, Burnett & Lwin - Xth Edition ADVERTISING Principles and Effective IMC Practice 1-14
 Summary

 Advertising (Campaign) Objective

 Situation Analysis
 Consumer Analysis
 Message Analysis
 Media Analysis

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