CHAPTER 10 ALTERNATIVE MARKETING Teacher Shahed Rahman Important

CHAPTER 10: ALTERNATIVE MARKETING Teacher – Shahed Rahman

Important You know that your marketing mix is important You will need to focus on alternative strategies that will communicate your message more effectively if you want to compete Try focusing little on traditional advertising Always try to find some new way to communicate and differentiate your product

Alternative Media Programs • • Requires creativity and imagination Alternative media programs 1) 2) 3) 4) Buzz marketing Guerilla marketing Product placement Lifestyle marketing

Buzz Marketing • Word-of-mouth marketing § • • Higher credibility Fast growth – now $1 billion annually Methods of generating buzz § § § Consumers who like a brand Sponsored consumers Company or agency generated buzz

Buzz Marketing Stages Inoculation • • Incubation Buzz marketing difficult during inoculation stage Must use brand ambassadors or customer evangelists True customer-generated buzz occurs after awareness Awareness generated through traditional Infection

Guerilla Marketing • Instant results § • • • unique, low-cost approaches Focus on region or area Create excitement Involve consumers Generate buzz Alternative media

Reasons for using Guerrilla Marketing To find a new way to communicate with consumers To interact with consumers To make advertising accessible to consumers To impact a spot market To create buzz To build relationship with consumers

Experiential Marketing Direct Marketing + Field Marketing + Sales Promotions • Create a set of customer experiences • Concise Segmentation • Direct marketing through interactive connection • Engage consumers

Product Placement and Branded Entertainment Goal is to increase brand awareness and liking • Placements work best when logical fit • Negative/positive scene impacts reaction • Increase in placement budgets § Perception of what others think is important to consumers § Provides post purchase reassurance § Program can provide evidence of a brand’s advantage

Product Placement • • • Used since 1890 s Increased awareness More positive attitude toward brand No immediate impact on sales Low cost per viewer • • • Movies, DVD movie rental, TV, Pay-per-view TV Video Games

Branded Entertainment • • • Brand woven into the storyline Use increased sharply with reality shows Also found in novels, plays, songs, and movies

Alternative Media Venues Cinema In-tunnel, subway Parking lot Escalator Airline in-flight Leaflets and brochures Take-out menus Shopping bags Clothing Mall signs/Kiosks Mobile phones Video games Escalators Airlines Clothes

Mobile Phone Advertising • • Growing rapidly Only 23% population – mobile advertising 1/3 open to mobile advertising Types of ads § § § • Small banner ads Click-to-call advertising Search ads Special apps for mobile phones

U. S. Mobile Ad Spending $1 800 Ad Spending in Millions $1 600 $1 560 $1 400 $1 140 $1 200 $1 000 $830 $800 $600 $400 $320 $593 $416 $200 $0 2008 2009 2010 2011 2012 2013

Video Game Advertising • • • In-game advertisements Rotating in-game advertising Interactive ads Game-related Web sites Advergames Sponsored downloads

Cinema Advertising • • • Ads prior to movie Captive audience Product Introduction Example § Photosmart Premium Printer – HP v Cinema center of integrated campaign v 30 -second spot in pre-feature program v 17, 300 theaters v 2, 600 plasma screens in lobbies v Delivered 50, 000 demonstrations v Delivered 700, 00 lobby impressions

Alternative Media Created by Pink Jacket Creative Media used were � � � Billboards Bus wraps Street kiosks Objective – reach people during routine moments

In-store Marketing • • 70% of decisions made in store In-store atmospherics § • Video screens and TV monitors § § • Sight, sound, and scent Customize messages Specialized channels Wal-Mart § 127 million shoppers per week

Point – of- Purchase Displays Last chance to reach buyer • • 70% of decisions are in store 50% of $$ spent at massmerchandisers and supermarkets is unplanned 50% of Coca-Cola products from displays Average increase in sales is 9% Half of POP displays not effective • Half that are effective – 20% increase in sales

th s ad ou -M of d- or W on si vi Te le io ad R ds s ad ta in Pr e re in nl to -s O In l ai tm ec ir D Advertising Influence on Clothing Purchases 60% 50% 40% 30% 20% 10% 0%

Measuring POP Effectiveness For retailers • • • Indicates time to withdraw or change display Identify POP displays with largest impact Test market different displays For manufacturers • • Data can improve quality of displays Strengthen relationships with retailers

Effective Point of Purchase Displays • • • Integrate brand image, current ads and promotions. Dramatic to get attention. Versatile so it can be easily adapted by retailers. Re-usable and easy to assemble, stock. Customize to fit the retailer’s store.

Brand Communities • • • Demonstration of Brand loyalty, devotion Symbolic meaning Interactions between brand consumer Shared values and experiences Cannot be created by brands itself Marketing can enhance community experience

Enhancing Brand Community • • • Benefits to encourage new customers Provide materials not available anywhere else Involve firm representatives in the groups Sponsor meetings and special events Promote communications among members Build a strong brand reputation

Sponsored Consumers Agent or advocate for a new brand � Apple, Sony Brand ambassadors or customer evangelists � Individuals who already like brand � Offer incentives in exchange for advocacy � Selection based on � Devotion to brand � Low-cost marketing events