Professional Documents
Culture Documents
Structure
Figure 1.2: The Books Structure
A. INTRODUCTION
1. Overview 2. Marketing Strategy - Analysis & Perspectives
F. CONCLUSION
14. Social Marketing & CSR
Introduction
MARCOMS are central to Porters generic costdifferentiation focus strategies framework and refer to four central types of media:
There are two layers to explore in using these four media in MARCOMS strategy relating to:
PEST Competitors
SWOT
STRATEGY
Strategic Intent/Objectives
Media Classes
Media Execution
Brand Wheel
Key Reward
The Task
Isolate, in a simple statement what the advertising is supposed to deliver:
Increase sales Generate leads Increase/maintain share Stop decline Justify price Announce/Launch Corporate reputation
Product Definition:
Make the central benefit salient (again?) Solve a problem or better fulfill a desire
Performance Superiority:
Emotional:
Cultural Identification:
Paradigm Shift:
Expose message to ... Create 40% awareness amongst... Create attitude/opinion that... Increase preference amongst... Encourage trial amongst... Re-enforce loyalty amongst..
Exposure
The desired level of frequency (OTS = Opportunity to See) and coverage to achieve the advertising objectives Most agencies seek an average of 2-3 OTSs amongst the target market in order to give advertising a chance to work
Post-Evaluation
52% Coverage 4 OTSs
Awareness
Spontaneous:
An open-ended question, tell me of all the major soap brands that you have heard of... Any more? Is that all?
Prompted
Which one or ones of the following soap brands have you heard of?
Final Evaluation
Spontaneous pre-campaign 25% objectives 31% post-campaign 32% Prompted 86% 88% 88%
MARCOMS Overview
MEDIUM
ADVERTISING DIRECT MARKETING PR
DEFINITION
A paid for communication by an identified sponsor with the aim of informing and influencing one or more people. The recording, analysis and tracking of customers direct responses in order to develop loyalty. The formulation, execution and sustained effort to establish and maintain goodwill and mutual understanding and reciprocal goodwill between an organisation and its stakeholders. An incentive for the customer, sales force or distributor to make an immediate purchase.
HORIZON
Mainly long-term Short and long-term
FORM
TV, press, posters, radio, web, cinema, digital, SMS. Direct mail, DRTV & radio, telemarketing, press, inserts, leaflets, web, digital, SMS. Community relations/CSR, corporate advertising, crisis management, events, internal communications, investor relations, media relations, public affairs, lobbying, sponsorship, web, digital. Consumer: Coupons, contests, trial, mail-in offers/refunds, group promotions, self-liquidations, instore promotions, point-of-sale, web, digital, SMS. Trade: Dealer merchandise; contests advertising, allowance, trade allowance/ staff incentive, web.
SCOPE
Awareness, attitudes Mainly retention but also acquisition Credibility, visibility and reputation
SALES PROMOTIONS
Mainly short-term
Consumer: Trial, re-trial, extended trial, build database Trade: Gain a listing, increase distribution, increase inventory, improve shelving space/position
Media Scheduling
1. 2. 3. 4. 5. 6. Reach Creative Scope Media History Location Distribution Channels Budget
Budgeting
1. JUDGEMENTAL METHODS Arbitrary Affordable 2. OBJECTIVE and TASK 3. MEASUREMENT ROI Incremental Quantitative Models 4. PERCENTAGE OF SALES % Last Years Sales % Anticipated Sales Unit Sales 5. SHARE OF VOICE Competitive Absolute Competitive Relative
High
Increase to Defend
Low
e-Marketing Strategy
Introduction
In the general excitement over the Internet, many observers have argued that the old rules about marketing strategy have changed Organisations that treat the Internet as an evolutionary force tend to outperform organisations that see it as revolutionary E-markets are smart Most customers are concerned by convenience rather than price E-marketing is thus more about differentiation than cost
Navigation
Navigation is a term linked to E-marketing: the process of steering between the mass and variety of information in cyberspace However, navigation also occurs in physical commerce. For example, no one reviews all the possible options in buying a shirt or pair of shoes Instead consumers rely on suppliers and retailers to help them navigate Over the Internet it is possible to search extensively at negligible cost. Navigation and selection occur independently of physical warehousing and distribution and bricks and mortar companies no longer have any special advantages Navigation is the key to profit potential
Navigation Dimensions
Reach
How many customers a business can access and how many products it can offer
Affiliation
Is the depth and detail of information that the business gives the customer and collects about the customer
Richness
Relates to the breadth and depth of the products and services offered
Range
Loyalty
Acquiring customers on the Web is extremely expensive, so unless companies can lock customers in, they will be faced with the prospect of catering solely to price-sensitive British Airport Authority has launched two online services designed to produce greater loyalty among its regular customers
One service is a regular newsletter called Discovery Airside, whose subscribers receive information on the latest travel news in-terminal store openings, product introductions and shopping offers Supported by an automated acknowledgement campaign for customers booking travel services online
Customization
Identify
Differentiate Interact Customize
Identify
Being able to locate and contact a number of customers directly, or at least a large chunk of the most valuable ones and understand their behaviour Habits and preferences as well as the addresses, phone numbers
Differentiate
Recognises different levels of value and needs Invaluable for deciding on the best Emarketing strategy in any given situation People will do business with sites that make their lives easier and are prepared to pay a premium People often prepared to trade off price against
Interact
Hiring an outside service for scanning or data entry Drip-irrigation (asking only one or two questions each transaction) Periodic review of the integrity of the list
Customisation
Choiceboards are on-line systems that interact with customers so that they can design their own goods and services from a menu of features Instead of having to haggle over the price of fixed product lines, the Internet changes commerce and enables consumers to describe exactly what they want Furthermore, suppliers are able to deliver bespoke goods and services without compromise or delay
Communities
Communities enable consumers to communicate with each other The aim is to build differentiation through relationships Communities like Facebook, Orkut and Twitter have started acting as virtual meeting points of e-savvy consumers Exchanges provide brands with free content and consumers appreciate the ability of meeting likeminded people Content and exchanges act like magnets and draw people back frequently and regularly
Conclusion
E-marketing strategy is rooted in the classic elements of the Five Forces and sustainable competitive advantage Any e-marketing strategies should be based on businesses run like bricks and mortar companies using classic metrics like gross margin and size of order However, to achieve e-marketing success it may often be necessary to mentally break down the current business model into its components, and understand which of the current components can be managed better using e-marketing strategies