Integrated Marketing Communications
q What is IMC?
q Features of IMC
q BBDO and Saatchi & Saatchi
Facts & figures
Analysis
q Case Study: IKEA
Facts and Figures
Analysis
q Concluding Exhortations
q Bibliographic References

INTEGRATED MARKETING COMMUNICATION (IMC)

Duncan and Everett defined IMC as the integration of specialized communication functions that previously operated in various degrees of autonomy (Duncan & Everett, 1993, p.30).

Schultz pointed out that the elements of the marketing mix should be seen as a whole (Schultz, 1993, p.xvii). Duncan (Duncan, 1993) and Novelli (Novelli, 1989-90, p.7) also mentioned the need for synergism in the various marketing mix.

IMC messages are consistent as defined by Percy (Percy, 1997, p.2). Another important characteristic of IMC is that of the role of the customer. "… the IMC process starts with the customer or prospect and then works back to determine the forms and methods through which persuasive communication should be developed" (Schultz, 1993, p.17)

The Medill School of Journalism brought out the point that IMC is built on a two-way communication between the marketer and customer. Solomon and Englis (1996) noticed that people learn about products and services from other sources such as their friends, the media and others. Thus, IMC has to enlarge its definition to include all other stakeholders beyond their customers.

Burnett and Moriarty (1997) also mentioned some of the features that mark a company using IMC and one that does not. This includes the sharing of a corporate vision and an organizational structure that enables them to share information and participate in joint planning. Every decision also support decisions made at other levels.

"IMC is the synergistic planning and coordination of all forms of communication, thereby disseminating one consistent message to the stakeholders, and in the process encourage a meaningful dialogue and symbiotic relationship" (Yong & Thiang, 1999, p.27).

The next part of this paper would study whether if Batten Barton Durstine & Osborn (BBDO) and Saatchi & Saatchi are organized for IMC.

FACTS AND FIGURES
BBDO (BATTEN BARTON DURSTIN & OSBORN)
(www.bbdo.com/new)
The Work
With 323 offices in 76 countries and more than 18 000 personnel, BBDO is ranked number 3 in the world. Its billings are as high as $14.9b in 2000.

SAATCHI AND SAATCHI
(www.saatchi-saatchi.com/linkpage/index.html)
The Ideas Company
Yet another leading company in the advertising scene, Saatchi & Saatchi are well known for their 'transforming' ads that are remembered as different. With more than 7000 workers in 152 offices in 92 cities, Saatchi & Saatchi grossed some US$7b and has 74 of the 100 top advertisers in its accounts.

ANALYSIS OF BBDO, SAATCHI & SAATCHI
Both companies selected are rather established names. Thus, I was not surprised to see that the two companies have many of the IMC features already installed into their system.

Common corporate vision:
Both companies state clearly what is the focus for their companies. For BBDO, creating works that are unique, powerful and convincing is their mission. Saatchi and Saatchi believe in creating ideas that are original, simplify choices, redefine competitive territory, works for people and brands and relegate opposition.

By having a common goal and vision, the companies would find it easier to motivate its workers in doing what they set out to do in the first place.

Consumer oriented Marketing NOT brand focused:
The emphasis on "Ideas" and "Works" for the two companies are a clear sign that they are involved in consumer oriented marketing. Companies who approach advertising firms are interested in what the advertising agencies could offer. And in this case, ideas and works are what advertisers want.

Sharing of Information
The presence of an intranet (known as the Brain for Saatchi & Saatchi) for both companies is another sign that both companies are geared towards IMC. The function allows for fellow workers in the company to share information freely and securely anywhere in the world.

The databases that we could see on the website for BBDO also shows that it is adapt to IMC. The database allows for the 'tracking down' of the various creative workers it has.

Based on the examination of the websites of the two companies, we could see how these two companies use IMC to their advantage. Being companies of their size, integration is not an easy task.

The presence of emails for all the various offices and personnel permit people from different levels of the organization to connect with one another and provide more ideas. This is a function that can be found in both BBDO and Saatchi & Saatchi's websites.

THEN AGAIN…
This analysis is also flawed, as we know little about the companies' daily operations. The website might not be a true depiction of the reality.

FACTS AND FIGURES - IKEA:
Founded in 1943, Sweden.
"A better everyday life"
(www.ikea.com)
139 stores in 22 countries, 18 franchised stores in 11 countries, 61700 co-workers

ANALYSIS OF IKEA
Duncan and Caywood introduced the framework of seven stages of integration (1996). The seven stages are awareness, image integration, functional integration, coordinated integration, consumer-based integration, stakeholder-based integration and relationship management integration.

IKEA has managed to reach, from what was observed from the website, the sixth stage of integration- Stakeholder-based Integration. There are little that IKEA could improve on but this paper would attempt to bring out the positive sides of IKEA's integrated marketing communication process and suggest ways by which IKEA could develop.

Integration of specialized communication functions - Marketing mix seen as a whole
A recent IKEA advertisement (refer to Appendix) shows that IKEA Singapore is integrating the various elements in the marketing mix. The advertisement also encompasses the Sales Promotion element as well as the direct marketing element.

The IKEA catalog that IKEA Singapore sends to all Singapore homes is at the same time, an advertisement, a promotional tool, a direct marketing channel as well as a public relations move.

Synergism
The above two examples show that there is synergy between the various elements in the marketing mix. This synergy helps IKEA to achieve more with less as the various elements of the marketing mix complements one another.

Consistent messages
The same consistent message is designed for the marketing tools. The economical pricing system is emphasized in the entire catalog as well as the advertisement ("It's worth leaving home for").

The use of the same yellow and blue logo throughout the catalog, the website, the buildings and the advertisements emphasized the consistency in the messages being sent.

Customer-focused
The needs and wants of the customer have to be the top priority of IKEA to engage them. IKEA's main mission is to provide for affordable furniture for all consumers. Rather than building expensive furniture, the challenge is to produce affordable furniture for all.

Situated in Alexandra Road and nowhere near any MRT station is why many do not visit the store often. Thus, this is an area IKEA Singapore could improve on. A suggestion is that IKEA operates shuttle bus services between its nearest MRT station to its store. This would help improve traffic in IKEA.

On a similar note, e-commerce might not be popular in Singapore as yet. However, IKEA could look into the possibility of having phone purchases to complement their catalog.

Two-way communication
IKEA provides for ways to contact them in all their marketing mix tools. Their phone numbers are printed clearly in their advertisements, their catalog and website. Email addresses of various offices can be found in the website.

The Frequently Asked Questions available in the catalog and the website are also useful tools to create that 'personal touch' to the whole shopping experience in IKEA.

Although IKEA has services such as Space Planning Services, it could further its customer oriented service to include more designing services. Perhaps one that helps customers plan and design their dream home would be feasible.

Stakeholders
An important sign that shows that IKEA has advanced to the sixth stage of integration is its interest in environmental issues. Their catalogs "are printed on totally chlorine-free paper and contain at least 10-15% post-consumer waste. No rainforest or old-growth fibres are used. The pre-press process is 100% digital, which means no film is used and none of the associated chemicals. No optical brighteners are used on the paper." (IKEA, 2001)

Beyond this, IKEA is also involved in environmental work since 10 years ago. With such an environmental friendly mission, IKEA would have found supporters, and possibly customers, from activists who are interested in environmental issues.

Shared corporate vision
The corporate vision, "A better everyday life", is something that all IKEA stores in the world share. With such a common vision and goal, it would be easier to identify IKEA from the large numbers of furniture stores that are rampant in the world and even in Singapore.

Organizational structure that allows for sharing of information & joint planning
All the different stores of IKEA uses the same system and organizational structure so that even visiting another IKEA store will give you the feeling that you are in a familiar place.

CONCLUDING EXHORTATIONS: 4'P's NOT 4'C's
To sum up this paper on IMC, we could look into Lauterborn's worthy of note perspective on the new marketing communication.

In the new era of marketing, we should forget the 4'P's. Instead, think of the 4'C's.
· Product to Consumers' needs and wants
· Price to Costs
· Place to Convenience
· Promotion to Communication (Schultz et. Al., 1993, p.12-13)
Companies who are able to cater to the consumer needs would be the eventual winner. And that's why IMC with its consumer oriented focus is the way to go.

BIBLIOGRAPHIC REFERENCES

Books
Burnett, J., Moriarty, S. E. (1997). Introduction to Marketing Communications: an integrated approach. N.J. :Prentice-Hall, Inc.

Duncan, T. R., Caywood, C. (1996). The concept, process and evolution of integrated marketing communications. In Thorson, E., & Moore, J. (ed.). Integrated communications - synergy of persuasive voices. Mahwah, N.J. :Lawrence Erlbaum Associates.

Percy, L. (1997). Strategies for implementing integrated marketing communications. Chicago, III. : American Marketing Association ; Lincolnwood, III. : NTC Business Books.

Schultz, D. E., Tannerbaum, S. I., & Lauterborn, R. F. (1993). Integrated marketing communications: putting it together and making it work. Lincolnwood, NTC Business Books.

Websites (Internet)
BBDO
Available: http://www.bbdo.com/new

IKEA Global
Available: http://www.ikea.com

Saatchi & Saatchi
Available: http://www.saatchi-saatchi.com