Presentation of the article "Integrated Marketing Communications in U.S. Advertising Agencies: An Exploratory Study" It is taken from September-October 1997 Journal of Advertising Research...

1. to
Our
Presentation

2. We are
“Elegant (VI)”

3. Group Profile
Name Roll Designation
Anjuman Ara 215 Member
Md. Abdur Rakib 375 Member
Chowdhury Omor Faruque 377 Leader
Md. Al Amin 419 Member
Rumana 427 Member
Md. Moben Ahmed 526 Member

4. Chowdhury
Omor Faruque
ID No: 377

5. “IntegratedMarketingCommunications
inU.S.AdvertisingAgencies:
AnExploratoryStudy”

6. of the Article
Summary

7. Objective of the Study
3
Related
Objectives
1. Deepen
understanding of how
& in what areas IMC is
developing in U.S.
2. Examine extent to
which major U.S.
advertising agency
executives are
developing, practicing,
or utilizing IMC for
clients
3. Understand
importance & value of
traditional advertising
agencies where IMC is
becoming more
important

8. Preview of the Finding
This paper reviews the development of the concept of
IMC in terms of its theoretical foundations through an
exploratory study of IMC within a judgment sample of
U.S. advertising agencies (total estimated billings-$20.4
billion). It considers the arguments advanced from both
academic & practitioner sides in relation to what IMC is
& whether it offers significant value to advertising
agencies & their clients in the rapidly changing
communications market space leading toward the next
millennium.

9. Major Area of Findings
1. Who responded?
2. Amount of time devoted to client IMC programs
3. How agencies are compensated for IMC
4. IMC impact on budgets
5. Are there barriers to IMC implementation?
6. Reactions of IMC Definition
7. Perceived Barriers to IMC Programs
8. IMC & Measurement.
9. Internal Beliefs and Considerations about IMC
10. Perceived Interaction among Different Communication
Agencies
11. IMC measurement Issues
12. Marketing Communication Criteria

10. Md. Moben
Ahmed
ID No: 526

11. Amount of Time
Devoted to IMC Agency
Agency
Size
Amount of Time
Devoted
Total
Number
% of That Agency
Size
Small Under 10%
10% - 49%
50% - over 75%
8
20
41
11.59
28.99
59.42
Total 69 100.00
Medium Under 10%
10% - 49%
50% - over 75%
1
12
11
4.17
50.00
45.83
Total 24 100.00
Large Under 10%
10% - 49%
50% - over 75%
4
14
10
14.29
50.00
35.72
Total 28 100.00

12. Client Budget Changes
in 1996
Client
Budget
Will
No. for All
Clients
% of Total
Agencies
No. for the
Integrated
Clients
% of Total
Agencies
Increase 92 73.0 84 66.6
Remain the
same
25 19.8 32 25.4
Decrease 4 3.1 5 4.0

13. CompensationSystem
Mode of
Compensation
Number of Agencies
Full Commission 47
Reduced Commission 32
Fee 82
Project Basis 51
Mix of Commission & Fee 77

14. Md. Abdur
Rakib
ID No: 375

15. What is IMC?
Database
Mkt.
E-Active
Mkt.
Sponsorship
Alternative
Mkt.
Advertising
Sales
Promotion
Personal
Selling
PR
Direct
Response
Mkt.
Clarity + Consistency
+ Maximum Communication Impact

16. Today’s Popular Media

17. Barriersto IMC Implementation
 IMC programs at one agency help bring client SBUs together
 Require client staff to be more generalist
 IMC means client staff have to develop new . Skills
 Clients decide the “what” & “how” of IMC programs
 Client centralization difficulties
 Client staffs lack expertise
 Goes against client’s corporate culture
 Over dependence on single supplier
 implies additional staff to manage programs
 modification difficulties
 Increased cost
 Integrated agencies do not have talents in all areas
 Organizational structures constrain IMC development.

18. Md.
Al Amin
ID No: 419

19. Success Issue of IMC
A successful IMC program is developed by the combination of
the internal & external belief of the organization. IMC Company
& the client have to work with hand in hand to solve issue. An
IMC plan success depends on the several issues like
Control of the IMC Company
Budgeting of the clients
Solution pattern &
Effective measurement strategy of the organization
One of the challenges to further adoption if IMC will be degree
to which various groups across organizations grasp the concept
& implement the process of IMC.

20. Can One Agency Do IMC?
IMC organization expects that clients work with only
them with a single issue. A research also shows that
clients also do not work with the several affiliated
company. Clients may be expecting more involvement
in several issues sometimes cause some problem to the
organization and the clients. Agency would not expect
to do the clients sales and marketing activities or the
public promotion activities. They are expecting these
issues always put on the shoulders of the marketers.

21. Anjuman
Ara
ID No: 215

22. IMC & Measurement
Clients & agencies do not
perceive IMC as avoiding
the issue of measurement.
No strong agreement on
effective measurement
No clear answer about
how to measure IMC
program

23. Suggestionsfor Measurement
Each
element
needs to be
measured
individually
The total
program
should be
evaluated
against its
objectives &
goals
The
objective
should be
measurable
Results
should be
measured

24. Is IMC a Fad?
 IMC does not appear to be a
fad.
 It is being driven into client
organizations due to real
business needs.
 Now agency executives
acknowledge that some of
the traditional rules of
communication & marketing
are changing there is
substantial change in
communication objectives &
attitudes.

25. Rumana
ID No: 427

26. Discussion
We have attempted to develop & provide baseline of how
IMC is developed & agency leader believe IMC is an
important concept & approaches. IMC program should
be evaluated & integration & IMC are good ideas.
Agency executive agreed that integration must come
from the client. It does appear that IMC has moved from
“What is it?” to “Howcan wedo it?”.
Stage of development in the U.S.A compensation &
measurement issues are important. The issue of how
agency can become skilled & capable of in all areas of
communication. Agency executive either had no strong
feelings of how to respond to the challenges which IMC
represents.

27. DirectionsforFutureResearch
Compensation, measurement & IMC development in
terms of execution & implementation of integrated
program appear to be the key areas for future research.
Measurement issues particularly important IMC approach
is better than the traditional approach agencies have
been using. Measurement would appear to be a key
element for future research.
The second major area for additional research is that of
how well clients & agencies should work together to
develop & implement an IMC program. One of the major
issues for the academic community if IMC is to develop a
theory base is to develop a more acceptable or relevant
definition.

28. Thank you
for
being with us