Hirst AcademyMarketing in Practice
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Module 7

Integrated Communications and Budgets

Estimated time: 4–5 hours · Turns the audit's priorities into a joined-up communications plan with money behind it.

Why it matters. Most marketing budgets are spread thinly across channels that don't talk to each other. A joined-up plan with a budget you can explain gets more done with the same money, and gets you taken seriously. This is the first topic of the Practitioner stage. In the Foundation stage you worked out who your organisation serves, what it offers and where its numbers start. Now you plan how to reach those people: one idea told across channels that hand people on to each other, with money behind it that you can defend to a manager or a finance team. You'll finish with a communications plan and a budget for one objective from your strategic audit.

Progress marker: I can plan integrated communications and set and split a budget I can defend. Rate yourself now on this marker (not yet, with support, independently or could teach it) and note your rating in your portfolio.

Choose your route. On a first pass, work through the lessons in order: Lesson 7.3 uses the balance you choose in Lesson 7.2, and Lesson 7.4 puts money behind the plan. If you've been handed a budget this week and need to split it, read the worked example, then go straight to Lesson 7.4. If you've inherited channels that someone else chose, start with Lesson 7.1 and check whether they tell one story.

Interactive Tool

Communications Budget Calculator

Enter a campaign budget and the share for each channel, production and contingency, and see the money per line, the working-to-non-working split and the most you can pay per new customer to meet your target.

Open the tool →
7.1

What Integration Means

You met paid, owned and earned media in Module 1, as parts of a marketplace map. Now they become the parts of a plan.

  • Paid media is space you buy: search ads, social ads, posters, sponsorship.
  • Owned media is channels you control: your website, email list, social accounts, packaging and premises.
  • Earned media is coverage and sharing you don't pay for: press, reviews, word of mouth, customers' own posts.

Integrated marketing communications means planning all of these so they work together towards one objective, with one idea. Three tests tell you whether a plan is integrated.

  1. One idea. Could someone who saw your advert, your email and your shop window say in one sentence what they have in common? The idea comes from the proposition you wrote in Module 4, told in a way people remember.
  2. A consistent look and voice. The same colours, logo, tone and key phrase, so each contact adds to the memory the last one left. Consistent doesn't mean identical: a search ad and a video do different jobs.
  3. Hand-offs. Each channel should pass people on to a next step. An advert sends people to a page that answers the question it raised; a free sample carries a code that leads to sign-up. A broken hand-off wastes the money spent before it.

Without a plan, most organisations drift the other way: the social posts say one thing, the website another and the price promotion a third.

UK example: Cadbury. On 10 October 2022 the IPA (the Institute of Practitioners in Advertising) announced that VCCP's work for Cadbury, "There's a glass & a half in everyone", had won its Effectiveness Awards Grand Prix. The IPA reported that the campaign drove a 22% increase in annual value sales, and that Cadbury's annual revenue was £261m higher in 2021 than in 2017. Kantar's account of the work (February 2023) describes two strands under one idea, generosity: "storytelling", advertising that shows people being generous, and "storydoing", initiatives such as the Secret Santa Postal Service, first run in 2018, which let people send a free bar of chocolate to someone. The adverts and the thing people could take part in told the same story. Those results are the IPA's and Cadbury's; the full award paper sets out the evidence.

You won't have Cadbury's budget, but the test is the same at any size: one idea, told in each place in the way that place needs.

Learning ObjectiveExplain what makes communications integrated across paid, owned and earned media, and sketch one idea for your organisation told in several places.
Key ConceptsPaid, owned and earned media (first met in topic 1); integrated marketing communications; one idea, taken from the proposition; a consistent look and voice, not identical copies; hand-offs that pass people from one channel to the next.
Practical ExampleUK example: Cadbury's "There's a glass & a half in everyone", by the agency VCCP, won the IPA Effectiveness Awards Grand Prix in 2022; its advertising and its Secret Santa Postal Service told one story, generosity.
ExerciseSketch "one idea, many places" for your organisation in your portfolio document: the idea in one sentence, built on your topic 4 proposition, then four to six channels across paid, owned and earned media, what each one says and where it hands people on next.
7.2

Brand Building and Sales Activation

Not all communications do the same job.

Brand building creates memory and preference among the many people who will buy from your category later, though they aren't looking today. Its effects build slowly and last. Think of a distinctive video, a sponsorship or a well-known local presence.

Sales activation prompts people who are ready to buy to act now: a search ad, an offer, a reminder email. Its effects come quickly and fade quickly.

You need both. Activation harvests demand, and much of that demand was created by brand building, often years earlier. Cut the brand building and activation can keep sales up for a while, then it has less to harvest. Brand building alone may be too slow for an organisation that has to hit this quarter's numbers.

The evidence. Les Binet and Peter Field studied campaigns in the IPA's databank of Effectiveness Awards entries. In The Long and the Short of It (IPA, 2013) they found that, on average, the most effective campaigns put about 60% of spend into brand building and 40% into activation. Read it carefully:

  • It's an average across many categories and brands, not a rule for yours. The IPA describes their later report, Effectiveness in Context (2018), as showing how the best mix can differ with brand type and context.
  • The data come from award entries, which lean towards campaigns that worked.
  • Your organisation, its budget and its category may look very different from the brands in that databank.

So treat 60:40 as a starting question, not an answer.

What this means for a small organisation. Brand building doesn't have to mean television. Consistent packaging, useful content, sampling, a community and local press can all build memory. When you choose your balance, ask three questions:

  • The category: do people buy it often or rarely, and do they search when they need it, as they do for an emergency plumber?
  • The objective: is it a short-term target, or growth over years?
  • How customers buy: from your path to purchase, how much of the decision is made before anyone searches?

A short, sharp target pushes the balance towards activation. Just be honest that you're borrowing from memory that someone else, or an earlier campaign, built. Write the balance down with your reasons, so you can test it later.

Learning ObjectiveDecide and justify the balance between brand building and sales activation for your organisation's situation.
Key ConceptsBrand building (long-term memory among people who will buy later); sales activation (a prompt to act now for people ready to buy); Binet and Field's average guide of about 60% brand to 40% activation (IPA, 2013) and its limits; why the balance varies with category and situation; brand building on a small budget.
Practical ExampleA new independent cinema puts most of its first-year money into being known locally, through posters, a film club and local press, because few people find a cinema by searching for one; it adds reminder emails and offers to fill quiet midweek screenings.
ExerciseChoose a rough brand-to-activation balance for your organisation's next campaign and write three reasons for it, one each from its category, its objective and how its customers buy, in your portfolio document.
7.3

Media Planning Against the Path to Purchase

Media planning decides which channels to use, how much of each and when. Start from your customer, not from the channels your organisation happens to use already.

Match channels to stages. You mapped a path to purchase for your persona in Module 3. Now give each stage a channel with a clear job.

StageThe customer's jobChannels that can help
TriggerNotice a needSocial video, posters, sampling, PR
SearchFind optionsPaid and organic search, reviews
CompareWeigh them upYour website, content, reviews
BuyAct, without frictionWebsite, checkout, offers
After purchaseCome back and recommendEmail, community, packaging

A stage with no channel is a gap. Two channels doing the same job at the same stage may be a waste.

Reach and frequency. Reach is how many of your target audience see a message at least once. Frequency is how many times, on average, those people see it. Too little frequency and you're forgotten; too much and you pay to annoy the same people. Brand building usually needs reach. Activation needs to be in front of the right people at the right moment.

Phasing. Timing matters as much as choice. You can run always on, in bursts, or building to a peak. You met seasonality in Module 6: if your customers buy before Christmas or in spring, plan the money to arrive before the peak, not during it.

One communications objective. You set KPIs with baselines in topic 6; now each campaign needs one communications objective, written as a KPI moving from its baseline to a target by a date. Every channel's job should help that one number move.

AI activity. Give an AI assistant your campaign budget, your objective and the stages of your path to purchase, with no personal or confidential data. Ask it for three different ways to split the budget across channels. Then challenge each split against your path and your baselines. Which stage does each channel serve? Is any stage empty? Note every assumption it made that you can't support, such as a cost per click or a conversion rate it didn't get from you. Keep the three splits and your notes in your portfolio: they show your judgement.

Learning ObjectivePlan which channels reach your target customer at each stage of its path to purchase, with reach, frequency and timing, under one communications objective and its KPI.
Key ConceptsMatching channels to path-to-purchase stages (from topic 3); each channel's job; reach and frequency; phasing (always on, bursts, building to a peak) and seasonality; a communications objective with its KPI and baseline (from topic 6); testing AI-suggested budget splits.
Practical ExampleLarkfield Coffee Roasters (fictional) meets its persona, Jordan, with sampling at events and partner cafés near the trigger stage, and with paid search at the search stage, when Jordan types "coffee subscription".
ExerciseAI activity first. Then write a channel plan by stage for your organisation in your portfolio document: for each stage of its path to purchase, the channels, the job each one does, when it runs and the measure that shows it's working.
7.4

Setting and Splitting a Budget

You now know what the plan needs to do. The budget has two questions: how much in total, and how to split it.

Setting the total. Four common methods, each with a weakness:

  • Percentage of revenue: simple, but backwards. When sales fall, the budget falls, just when you might need it most.
  • Matching competitors: you rarely know what they spend, and their objectives aren't yours.
  • What you can afford: whatever is left over, with no link to what you're trying to achieve.
  • Objective and task: list the tasks needed to meet the objective, cost each one, and add them up. It's the most defensible, and the hardest, because you have to estimate what each task will achieve.

In practice many managers start from objective and task, then check the total against what the organisation can afford. Say which method you used; a finance team will ask.

Splitting it. Working spend buys media that reaches people: ads, search clicks, promoted posts. Non-working spend pays for everything else: making the content, agency fees, tools, managing the work. Some costs, such as sampling at events, could go either way; decide, and say how you counted them. Too little non-working spend and you buy plenty of space for weak work. Too much and good work is seen by too few people.

Contingency is a part of the budget held back for problems or opportunities you can't predict: a channel that works better than expected, or creative that needs fixing. Decide in advance who can release it, and for what.

The target cost per new customer. Divide the budget by the extra customers you need. "Extra" matters: you set baselines in Module 6, and some customers would arrive anyway. Counting them makes the campaign look cheaper than it is. The answer is a limit to watch: if a channel brings customers in at more than this, question it. Whether the limit is affordable depends on what a customer is worth, which comes later in the course.

Your task. Read the worked example first. Then set a budget for one objective from your strategic audit and split it in the Communications Budget Calculator. If your organisation has no budget you can see, use a stated assumption, such as a share of its published revenue, and label it as an assumption.

Learning ObjectiveSet a campaign budget with a method you can defend, split it into working media, production and contingency, and work out the most you can pay for each new customer.
Key ConceptsBudget methods (percentage of revenue, matching competitors, what you can afford, objective and task) and their weaknesses; working and non-working spend; contingency and who can release it; the target cost per new customer (budget divided by the extra customers you need above your baseline from topic 6).
Practical ExampleRead the worked example later in this topic first: Larkfield Coffee Roasters (fictional) splits a £30,000 autumn budget and sets a target of £100 per extra subscriber.
ExerciseSet a budget for one objective from your strategic audit, say which method you used, and split it in the Communications Budget Calculator, noting the target cost per new customer. If your organisation has no budget you can see, use a stated assumption and label it.
Worked Example

Larkfield's "Roasted This Week" Budget

Larkfield Coffee Roasters is fictional, and all its figures are illustrative. Maya Collins, the marketing manager, plans an autumn campaign, "Roasted This Week", from 1 September to 30 November 2026. It tackles the first issue in Larkfield's strategic audit: subscriber growth has stalled, because about 90 new subscribers a month only replace about 90 cancellations.

The objective. Grow active subscribers from 1,800 to 2,100 by 30 November 2026: a net gain of 300.

The split. The campaign gets £30,000 of Larkfield's £96,000 annual marketing budget.

LineAmountShareType
Paid social£12,00040%Working
Paid search£6,00020%Working
Creative and content production£6,00020%Non-working
Sampling at events and partner cafés£4,00013.3%Non-working
Contingency£2,0006.7%Non-working
Total£30,000100%

The check: £12,000 + £6,000 + £6,000 + £4,000 + £2,000 = £30,000. Working media is £12,000 + £6,000 = £18,000, which is 60%. Non-working is £6,000 + £4,000 + £2,000 = £12,000, which is 40%. Sampling isn't bought media, so Maya counts it as non-working and says so.

Brand and activation. Content and sampling are the brand-building side: they give people something to remember and a chance to taste the freshness the proposition promises. Paid search and paid social carry most of the activation. By money, the campaign leans towards activation, which suits a three-month target. Maya writes that down as a trade-off, not a rule.

By stage. Sampling meets Jordan, the persona, near the trigger; paid search is there when Jordan types "coffee subscription"; paid social reaches Home Brew Enthusiasts who aren't searching yet.

The target cost per extra subscriber. £30,000 ÷ 300 = £100. The baseline matters here: the 90 or so new subscribers a month that arrive anyway only replace cancellations, so the 300 must come on top. Any channel bringing subscribers in at well over £100 each gets questioned. Whether £100 is affordable depends on what a subscriber is worth to Larkfield, which the course works out later; for now it's the limit Maya plans against.

Knowledge Check

  1. A gym's posters say "No contracts", its website leads with "Premium personal training" and its social posts are mostly discount codes. Is this integrated, and what would you fix first?
    No: each channel tells a different story, so nothing builds a memory; agree one idea from the gym's proposition first, then make each channel tell it in its own way and hand people on to the next step.
  2. A finance director wants the budget split exactly 60% brand building and 40% activation "because the research says so". How do you respond?
    Explain that Binet and Field's 60:40 is an average from IPA award entries, which lean towards campaigns that worked, and that the best mix varies with category and situation; use it as a starting point, justify a split for your organisation and test it.
  3. A shop moves all its money from brand building into search ads. Sales hold for a few months, then start to slip. What is the likely reason?
    Search ads mostly harvest demand that already exists, much of it created by earlier brand building; with nothing renewing that memory, fewer people search for the shop, so activation has less to harvest.
  4. In Module 6 you set baselines. A florist normally gets about 40 new customers a month. A two-month campaign costing £3,000 brings in 140 new customers. What did each extra customer cost, and why does the baseline matter?
    About 80 would have come anyway, so the campaign added 60 and each cost £3,000 ÷ 60 = £50, not £3,000 ÷ 140 (about £21); ignoring the baseline makes a campaign look much cheaper than it is.
  5. An agency proposes a £20,000 campaign: £15,000 for production and £5,000 for media. What is the working share, and what question would you ask?
    Working spend is £5,000 ÷ £20,000 = 25%, so most of the money makes content rather than showing it to people; ask whether £5,000 of media can reach enough of the target audience often enough to meet the objective.
  6. Why is "a fixed percentage of last year's revenue" a weak way to set a marketing budget on its own?
    It ties spending to past sales rather than to the objective, so the budget shrinks when sales fall, just when marketing may be needed most; objective and task links the money to what it must achieve.

Resources & Further Practice

  • Brand and activation: Binet, L. and Field, P. (2013) The Long and the Short of It, IPA, is the source of the average 60:40 guide; read it for how brand-building and activation effects differ over time, not for a rule.
  • The later research: the IPA's "Les Binet and Peter Field" page, under Knowledge on the IPA website, lists Media in Focus (2017) and Effectiveness in Context (2018), which shows how the best mix can differ with brand type and context.
  • The UK example at source: the IPA's announcement "2022 IPA Effectiveness Awards winners announced" (10 October 2022) gives the Cadbury results quoted in this topic; the full award paper is in the IPA's case library and on WARC, which many universities subscribe to.
  • How the Cadbury idea was used: Kantar's article "Unwrapped: The secrets of Cadbury's award-winning Secret Santa campaign" (2 February 2023) describes the "storytelling and storydoing" strands and the Secret Santa Postal Service.
  • Further practice: build a second scenario in the Communications Budget Calculator for your organisation, the same objective with 20% less money, and write down which line you'd cut first and what that would cost you in reach.
Checkpoint

Your Plan and Your Budget

  • What I did: my "one idea, many places" sketch, my channel plan by stage and my budget split in the Communications Budget Calculator, with the target cost per new customer.
  • My plan and the trade-off I made: one channel or stage I chose not to fund, and why.
  • One thing I'd test early: a channel, a message or a cost assumption I'd check in the first weeks before committing the rest of the money.
  • Rate yourself again on the progress marker (not yet, with support, independently or could teach it) and note your before and after ratings in your portfolio. If you're at "not yet" or "with support", reread the worked example and rebuild Larkfield's split in the Communications Budget Calculator before you redo your own.
  • Choose what to do next: build a second budget scenario in the Communications Budget Calculator (for example, the same objective with 20% less money) and note what you'd cut first, or move on and carry your plan into your campaign plan at Milestone 2.