Integrated Marketing Communications Analysis Narrative Essay Example

to Coles and Woolworths. The objectives of IGA's promotion include improving customer loyalties and total revenue. These objectives involve creating awareness, stimulating demand, retaining loyal customers, facilitating reseller support, combating competitive promotional efforts, and reducing sale fluctuations.

Determining a promotional budget can be challenging, as it could be either significantly lower or higher than what was initially forecasted.

There are several steps to determining how much money to allocate for your promotional budget and deciding where to spend it to benefit your business. First, include expenses in your budget for promotional tactics such as flyers, brochures, newspaper ads, and television commercials. Second, develop a budget at the start of the year by obtaining cost estimates. Third, consider the promotions you plan to offer throughout the year when determining your budget. Monitor your competitors' ads, promotions, and sponsored events to get a rough estimate for a promotional budget if you are a new business. However, avoid simply copying your rivals' spending habits or promotional mix. Instead, use the information as a guide. For a more accurate budget determination, create a wishlist of promotional methods that align with your objectives.

This report concludes that IGA Supermarkets can thrive in the grocery market by offering quality products and services at competitive prices. To achieve this, a certain percentage of sales will be reinvested back into the community. The promotional activities employed by IGA include Personal Selling, Sale Representatives, Telemarketing, Direct Marketing, and Flyers/brochures in mailboxes for locals. The budget for these activities is as follows: 2000 catalogues/brochures costing $2500, a Yellow Pages informational listing for $300 per year, print advertisements in the local newspaper costing $1000, product samples costing $2500,

point-of-sale purchase displays costing $5000, and banner advertisements for the internet costing $3000. The total promotional budget is set at $14,300 according to Table #1 which presents estimates of the promotion needs based on revenue made and establishes a percentage of gross revenue dedicated to promotion.

Conclusion

This report has determined that IGA Supermarkets can succeed in the grocery market by offering quality products and services at lower prices compared to competitors Coles and Woolworths. However, it is crucial for IGA to maintain customer loyalty through long-term commitment and regularly reassess its promotional budget to address any issues that may arise.