Chapter 10 Alternate Marketing Strategies

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BBA 2224:

MARKETING
MANAGEMENT

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Chapter 10
Alternatives Marketing
Management Strategies

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The On-Line Marketing
OR
Internet Marketing

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Traditional Marketing

• Product • Process
• Place • People
• Price • Physical
• Promotion Environment
– personal selling (Ethics)
– advertising
– sales promotion
– direct marketing
– public relations & media

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WHAT IS & WHY
INTERNET MARKETING ?

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INTERNET Marketing (IM) is the
business of both advertising and
selling goods and services over the
internet

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Advertisement Rate

A Commercial Magazine

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PRO’s OF IM

• The technology : Internet as efficient mode


of business communication.
• Market is global – wider reach out
• Increasing internet users worldwide
• Possible home based operation
• Lower operation overheads
• Secured payments
• Conveniences
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2,405,518,376

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INTERNET Marketing

 Articles
 Blog
 E-mail marketing
 Search Engine marketing
 Banner advertisements
 Pay-per-clicks
 Pop-up ads

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INTERNET Marketing

 Writing articles is great for catching


attention of information seekers.

 E-mail marketing is the most direct


and effective way to reach your
customers.

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Planning

 Product
 Website
 Web-hosting
 Contents
 Capital
 Target Market

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Planning

 Products
 Physical products
 Resale Right products
 Services
 Digital products

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Planning

Digital vs Physical products;


 Ease of handling
 Transportation
 Storage space
 Life span
 Repetitive advertising

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Planning

Niche Markets;

 Personalized gifts
 Demographic markets
 Self-Helps
 Specialized products or services

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Copywriting

 First Impression branding of your business.


 Words that sell.
 Words – powerful, durable,
unbeatable, unstoppable and
incredible
 Words – urgent, hurry, don’t wait,
 Words – Secret, interesting.
 Cheap , lowest price, most
affordable, lucrative.

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Guerrilla ,
Viral & Mobile Marketing ,

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Guerrilla Marketing

• Guerrilla Marketing is a form of marketing


through which consumers are targeted in places
where they least expect. It uses
unconventional means to promote goods &
services includes: publicity stunts, urinal ads,
business cards tossed in the air at sports events
etc.
• The aim is to irritate, fascinate, and animate the
consumer.

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Guerrilla Marketing

The term guerrilla is


taken from “guerrilla
warfare” which is
characterized by
unexpected attacks
and ambushes when
and where the enemy
least expects it.

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Guerrilla Marketing

• Jay Conrad Levinson coined the term in


his book “Guerrilla Marketing” in 1983
• In the marketing world, guerrilla
marketing is one of the most creative
ways to advertise products and
services. There are many different ways
one can use guerilla marketing on
numerous platforms

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Guerilla Marketing

• Normally used by small and medium business


• With limited budget
• adopted by market challengers to build
awareness & interest - Kotler
• matching wits > matching budgets
» low cost
» innovative
» less clutter
» less reach

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Guerilla Marketing

But is it mainstream or is it
limited to peripheral, niche,
small target segment marketing
communications only ?

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Guerrilla Marketing - more
examples
Reverse Graffiti –(grime writing) remove dirt
from a surface e.g ‘Wash me‘. Urban, no paint.
Viral marketing - thru social networks
Grassroots marketing - tap into collective
efforts of brand enthusiasts
Wild Posting Campaigns
Buzz marketing – (stealth marketing ) -word of
mouth, seeding chat & Fan sites & News groups

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Guerrilla Marketing - more
examples

Undercover marketing -- subtle product placement


Astroturfing – creating artifical grassroots
popularity (often political, PR)
Experiential Marketing – connecting audience with
a brand thru participation in memorable encounters
- eg IKEA
Tissue-pack marketing

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Viral Marketing

Marketing tactics that encourage


people to pass along a marketing
message.
• Dancing Baby

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Viral example: YouTube

Customers
participate by
distributing
the ads

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Viral Marketing

The statistics on viral marketing states over


90% of people saying that they would
recommend a product, service or website to
someone they know if they are satisfied
with it.

Whereas only 1% of people would not


recommend if they were dissatisfied.

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Viral Marketing –
arguments for
• effortless transfer to others
• scale-able - small to large
• triggers common motivations & behaviours
• uses
– existing communication & social networks
– the resources of others
• give away products/services, incentives e.g. vouchers
• don't consider the “referral” as an “opt-in”
• personalize the referral email or sms
• track & analyze results
• promote friendly referrals continually
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Stealth (undercover) Marketing

– some companies have used stealth marketing, on-line &


off-line, to generate a product “buzz”
• customers do not realise they are being marketed to
• e.g. Actors pose as liking & recommending a product on
www-forums or in shopping malls. They use a product &
interact with unwitting shoppers.
• Sony Ericsson used "fake tourists" to promote a new
mobile. Sixty actors in 10 US cities asked bystanders to
take their photo & talked about the mobile

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Stealth (undercover) Marketing

Does this erode trust ?


• What its real & what isn't ?
• inherent deception & intrusion... not just charm
or persuasion
• Failure to disclose the relationship between
marketer & consumer
• Yet there is “deception” in most advertising.
People are aware that TV cars look slicker than
in real life.

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Pass-Along increases the
importance Word-of-Mouth
When a friend tells you about a site (points you to) with
maybe an incentive , how many other people are you
likely to pass the information on to?
No one: 1 Person:
8% 12%
10+ : 7%

7-9 : 4% 69% of consumers tell


between 2 & 6 others

4-6 :
20%
2-3 People: 49%
Source & reliability of data
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Guerrilla Marketing tactics

What types of guerrilla marketing are you using?

Viral Marketing 80%


Alternative Outdoor 46%
Off-line Sampling 40%
Man-on-the-Street 31%
Seeding Chat Sites 23%
Seeding News Sites 23%
Seeding Fan Sites 6%
Other 14%
0% 25% 50% 75% 100%

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Social media
Marketing

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What Marketing is this ?

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example: Amazon

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Mobile Marketing – a new
marketing mix tactic

• Very limited tools for targeted


campaigns: mass SMSs
requiring opt-in, mobile ads via
crude ad networks , pricey
mobile apps + unproven ROI &
limited reach

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Mobile Marketing –
a new marketing mix tactic
Nokia Point & Find Management Portal
• Mobile message content management for agencies,
brands
• Point www-camera/phone at objects & find information
e.g.
– movie poster to watch a trailer, get show times, directions , buy
tickets
– scan barcodes & do comparison shopping – save to a wish list.
– scan 2D barcodes for info e.g. QR codes to a website, send a
SMS or make a phone call.
– Tag objects around you e.g. restaurants , shops, places & add info.
Send user to a web link. Other users then point their camera at your
“city tags” to pick up your info& instructions.
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Discussion

 Compare the purposes and tactics of


guerrilla and viral marketing with more
traditional marketing promotion efforts.
 How might earth-moving equipment, hotel
or personal care product companies make
relevant use of guerrilla and viral tactics in
their overall marketing strategy and what
problems may be encountered in doing
so?
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Thank You

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