Evaluation of the Impact of Integrated Marketing Communication on Hong Kong Disneyland

This paper presents a marketing communication research proposal focusing in the effects of Integrated Marketing Communication (IMC) on Disneyland, Hong Kong.

Research Objectives

The main purpose of this proposed study is to examine the integrated marketing communication solutions used by Disneyland, Hong Kong. To meet this objective, the researcher provided a case study analysis of the said business entity. Particularly, this study aimed to meet the following:

1. Determine what are the integrated marketing communication tools used by Disneyland, Hong Kong.

2. Find out how effective are the approach of Disneyland, Hong Kong in creating brand loyalty among its customers and in improving its position.

3. Reveal the significant effects of IMC to the operations of Disneyland, Hong Kong.

Research Problems

With the identified objectives of the study, the following questions are expected to be answered:

1. What are the integrated marketing communication tools used by Disneyland, Hong Kong?

2. How effective are the approach of Disneyland, Hong Kong in creating brand loyalty among its customers and in improving its position?

3. What are the significant effects of IMC to the operations of Disneyland, Hong Kong particularly on the external (competition, substitution effect, lower prices) and internal (profitability, operation efficiency and operating cost) operations?

Literature Review

Today’s market is characterized by highly competitive organizations which are all vying for consumer’s loyalty. Firms are faced with the challenge to maintain their own competitive edge to be able to survive and be successful. Strategies are carefully planned and executed to gain the ultimate goal of all: company growth. However, external factors are not the only elements which influence growth. There are also internal factors, components working within the organization which shape the direction of the company. The changing world has then placed much emphasis on the importance of communication for effective marketing. This transition meant that organizations have to completely reformulate their conventional business aims and purposes from being process-focused to customer-centered (Lowenstein 1997). Consumer demands during these modern times are more pressuring and challenging. The varying and ever-changing needs of the regular consumer are constantly dependent on the demands of daily survival. Today, the human population particularly the modern consumers are more knowledgeable and demanding. Aside from the demand to have the best product or service possible, the practical consumers increasingly require social responsibility from companies and each other (Cetron and Davies 2001, p. 27). The majority of contemporary consumer judge companies on the way they treat the environment. Interestingly, the knowledge that every consumer possesses is still based in the communication strategies, programs and implementations provided by the business and its management. The knowledge about a new product is mainly based in marketing communications strategies such as advertising, direct selling, public relations, or the integration of all marketing communications strategies.

Luk (1996) affirmed that “the advent of new communication technologies has facilitated the use of a number of sophisticated marketing communications devices to support either mass marketing or focused marketing activities” (p. 67). With this fact, the present marketing communication mechanisms that operate in the industry today is a bit different with the past decades. The general concept of marketing communication pertains to any messages and related media used to communicate a product, service, brand, organisation or company. Aside from the five usual major models of communication used – advertising, sales promotion, public relations and publicity, personal selling, and direct marketing (Neumann and Sumser, 2002), others concepts like branding, graphic design, packaging, and online marketing are integrated. Marketing communications activities contribute to the organization's reputation and image (Daymon and Holloway, 2002). In general, taking in consideration the existing culture of technology dependence and various market conditions, marketing communication practices used by local and international companies and organisations are mainly influenced by the new media technologies and equipment.

The changing world has then placed much emphasis on the importance of communication for effective marketing. All types of communication are involved in marketing communications, including literature, training, advertising, mail, telephone, product promotions and other contact relevant to marketing communications. Among the channel members, even follow-up on complaints as well as customer billing may be included within the communication loop. In order to effectively serve the marketing channel, correct timing and accuracy in communications is essential. Moreover, it is important for the company to recognize that all members of the channel have an obligation or important role in maintaining the efficacy of marketing communications. Organizations that capitalize on customers' active participation in organizational activities can gain competitive advantage through greater sales volume, enhanced operating efficiencies, positive word-of-mouth publicity, reduced marketing expenses, and enhanced customer loyalty (Lovelock and Young, 1979; Reichheld and Sasser, 1990).

The IMC is a product of the advertising, direct marketing, and public relations practices (De Pelsmacker and Kitchen, 2004, p. 6). Schultz and Kitchen (2000) defines IMC as “a strategic business process used to plan, develop, execute, and evaluate coordinated, measurable, persuasive brand communication programs over time with consumers, customers, prospects, and other targeted individuals”. The IMC was used to increase the presence of the brand among various media and at the same time emphasising safety. Channel communications works in a two-way system wherein information transfers to the user and bounces all the way back to the producer (Goldberg and McCalley, 1992). In other words, marketing communications works like a feedback system, which allows company producers to relay information to the customers. Cultivating customer loyalty, on the other hand, is about establishing a relationship between the company and its consumers (Chow and Holden, 1997). This is emphasized by Lowenstein (1997) who considers that gaining consumer loyalty is a business’s most advantageous strategic purpose because it has a constructive effect on company, culture, development and the bottom-line. Aside from being a strategic purpose, gaining consumer loyalty is also a key corporate challenge today especially in the increasingly competitive and crowded marketplace because of the eventual and inevitable profitability it will provide the company (Chow and Holden, 1997).

With this, it is very much necessary for a business organization to apply the most appropriate marketing communication tool that will not just promote the products and services but also maintain customer loyalty. Moreover, Hessan and Whitely (1996) emphasized the idea to take advantage of the competitive situation not just by being better in how that product gets sold, serviced, and marketed at the customer interface. It requires that companies create breakthroughs in how they interact with customers, and design a way of interacting that makes an indelible impression on customers, one that so utterly distinguishes them from others that it becomes a brand in itself. This will be likewise considered in conceptualizing other marketing communication tolls (e.g. advertising and brand strategy schemes) to effectively promote the business organization in the target market.

Research Design and Methodology

In this proposed research, the descriptive method will be utilized. According to Creswell (1994), the descriptive method of research is to gather information about the present existing condition. Thus, this method is the most appropriate for the study. Two types of data will be used: the primary and the secondary data. The primary data will be derived from the answers respondents will give in the structured questionnaire prepared by the researcher. In addition, the information obtained from the interview will also provide primary research data that will support the study. The secondary data on the other hand, will be derived from the findings stated in published documents and literatures related to the research problem. These will be based from the recent literatures related on integrated marketing communication (IMC) and Disneyland, Hong Kong.

In terms of approach, the study will employ both qualitative and quantitative approaches. The qualitative approach will focus on the numerical findings obtained from the survey used in the research process. The interview on the other hand will make up the qualitative approach of the study as this will focus on personal accounts, behavioral and learning observations as well as on opinions and individual insights. This study will also employ qualitative research method as it will attempt to find and build concepts that will explain the relationship of one variable with another variable through qualitative elements in research.

Through this method, qualitative elements that do not have standard measures such as behavior, attitudes, opinions, and beliefs within the problem domain will be analyzed. Employing both qualitative and quantitative methods will help in ensuring reliable results. Furthermore, this strategy will help in overcoming the limitations of either approach.

Ethical and Regulatory Issues

The risks that will be involved upon undertaking this research study include the approval of the participants to allow the researcher to observe and conduct the survey and interview. The request must be approved first by them and other authorities, thus, the researcher will ensure that no individuals oppose to the request.

In this research inquiry, the researcher made it sure that there is a mutual consensus between the involved parties. After which, the participants will be interviewed or surveyed in the best comfortable time available to avoid much conflict especially on their work schedules. If ever that in the future this research will affect the participants somehow, the researcher will also ensure that the said conflict or problems will be easily remedied, to ensure trusts from the respondents. On the other hand, plagiarism of literatures will be avoided at all times and information will not be manipulated to acquire the desired results.

Statement of Costs

The research’s estimated cost is amounting to a total of ____. This is for the expenditures associated to the overall performance of the research process. It includes transportation, supplies, service and other miscellaneous fees at hand.

References

Cetron, M.J. & Davies, O. (2001). Trends Now Changing the World:

Technology, the Workplace, Management, and Institutions. The Futurist, 35(2) March, p. 27.

Chow, S. & Holden, R. (1997). Toward an understanding of loyalty: The moderating role of trust. Journal of Managerial Issues, 9, p. 275.

Creswell, J.W. (1994). Research design. Qualitative and quantitative approaches. Thousand Oaks, CA: Sage.

Daymon, C. & Holloway, I. (2002). Qualitative Research Methods in Public Relations and Marketing Communications, London: Routledge.

De Pelsmacker, P. & Kitchen, P.J. (2004). Integrated Marketing Communications: A Primer, New York: Routledge.

Goldberg, R. & McCalley, R. (1992). Marketing Channel Development and Management. Westport, CT: Quorum Books.

Hessan, D. & Whiteley, R. (1996). Customer Centered Growth: Five Proven Strategies for Building Competitive Advantage. Cambridge, MA: Perseus Books.

Lovelock, C.H. & Young, R.F. (1979). Look to Consumers to Increase Productivity. Harvard Business Review, 57(May-June), pp. 168-178.

Lowenstein, M.W. (1997). The customer loyalty pyramid. Westport, CT: Quorum Books.

Luk, T.K. (1996). Success in Hong Kong: Factors Self-Reported by Successful Small Business Owners. Journal of Small Business Management, 34(3), pp. 68+.

Neumann, E. & Sumser, R. (2002). Marketing Communications: A Vital Element of Achieving Change. The Public Manager, 31(4), pp. 9+.

Reichheld, F.F. & Sasser, W.E., Jr. (1990). Zero Defections: Quality Comes to Services. Harvard Business Review, 68(September-October issue), pp. 105-111.

Schultz, D.E. & Kitchen, P.J. (2000). Communicating Globally: An Integrated Marketing Approach. Palgrave: Basingtoke.