Month: March 2011

Adidas launched a massive new campaign called “Adidas is all in.” At first, there were 5 second teaser videos for the campaign, but it is now out in full blast and can be seen in various measures of advertising such as magazines, billboards, commercials, and online videos.

The campaign features celebrities such as Katy Perry, B.o.B., D. Rose and Messi to demonstrate versatility in the brand. Also, this attracts more consumers from each celebrity’s fan base.

Previously, Adidas segmented the market by psychographics- different groups that consumers associate themselves with. Their target audiences were athletes, skate kids, and fashion and music fans. With the new campaign, comes a new market segmentation and target audience. Adidas is now going to segment consumers by age (demographics). Their new target audience is the brand’s primary consumers- teenagers aged fifteen to nineteen. Lots of research was conducted by Sid Lee Montreal and this segment appears to be very attractive as “kids these days mash everything up. They wear stuff that we intended for the court, on the pitch. Stuff that we intended to be style, they wear in the gym.”

The segment is clearly identified (all teenagers), is reachable through advertising and word of mouth marketing and it is substantial as there is a large population that is between the ages of fifteen and nineteen who need to buy clothes and sport apparel. Further, the segment is responsive and profitable. Since teenagers mash up their styles, they will respond well to the new campaign and it will be profitable as teenagers will continue to buy trendy clothing.

With “all in” as the slogan, Adidas hopes to spread the message that “we’re all in this together,” unlike Nike who focuses on purely the individual themselves. This is an excellent positioning strategy as Adidas can visibly differentiate themselves from Nike. Also, the “all in” slogan can focus on individuals.  Adidas wants consumers to know that “when you’re passionate about something, especially your game, you’re all in, you put everything into it.”

Sources: The Globe and Mail
FMag

I recently came across an interesting blog post from Michael Fleischner’s Marketing Blog titled Marketing Through Partnerships that talked about the importance of partnerships in marketing.

He states that “Partnerships come in various shapes and sizes. And when it comes to marketing, the type and extent of partnerships vary greatly.”  As I read this quote, it made me think about all of the different types of partnerships in marketing we have talked about throughout the term in COMM 296. Most importantly, co-branding, supply chain relationships, and brand licensing.

A successful supply chain partnership that comes to mind is that of Dell and FedEx. Dell has a very short supply chain that allows products to get to consumers smoothly and quickly, thanks to a partnership with FedEx. The Dell manufacturing plant is located right beside a FedEx shipping centre and all products are shipped through FedEx.

Some co-branding partnerships that I can think of are: The Gap and (RED), Apple and (RED), Apple and Nike, Lip Smacker and Dr. Pepper, Target and Issac Mizrahi, McDonald’s and Monopoly, and Eddie Bauer and Ford. By partnering with each other, these companies all saw increases in the number of users as well as profits. If a consumer recognized one brand name, they were more likely to buy what that brand was partnered with over other products available. Additionally, these partnerships persuaded consumers to buy the co-branded products.

Further in his blog, Michael exclaims, “Consider what aspects of your marketing campaign (internet marketing, email marketing, direct marketing, etc.) can be supported or improved by seeking out a partner.  Even if you are sharing profits 50/50, you’re much better off than if you were to go at it alone.”

I think this is an excellent quote as it reinforces the fact that a partnership in marketing can open many doors and is extremely valuable in the long run. Finally, when I look at companies who have various partnerships, the majority of them have ultimately been very successful overall.

On YouTube the other day, one of the videos featured on the home page was titled “Jennifer Aniston’s Sex Tape” and it had just over 5 million hits.

REPEAT: Sex Tape?……. WHAT? On YouTube?

Though the title may be deceiving, this video is not exactly what you think it is. It is all a part of the new Smartwater advertisement campaign by Glacéau, who is owned by Coca-Cola. Jennifer Aniston has promoted the beverage in the past and is once again the chosen celebrity to promote Smartwater in a “viral video” on the internet. The full version of the video is titled ‘Jennifer Aniston Goes Viral- Smartwater.’

There are mixed reviews about the video; however, I think the advertisement has been successful with respect to the first step of AIDA. Smartwater sure has captured the attention of millions of consumers on the internet and made them aware of the product.

Smartwater focuses on satire by incorporating take offs on popular YouTube videos. Keenan Cahill, the professional lip syncher, the dancing babies, hundreds of cute puppies, and the double rainbow are all examples of well-known YouTube videos that are featured. In the end, Jennifer Aniston turns on her sex appeal and drinks Smartwater in slow motion.  She then states that Smartwater is “the purest tasting water there is.”

After watching the video, the consumer has no true desire to go and buy Smartwater, other than the fact that Jennifer Aniston looks sexy drinking it and advocates that it is the purest water available.

As Jacqueline Lee mentions in her blog,  Smartwater

“create[s] a disconnect between the brand and their targeted market” by featuring three nerdy internet boys with all the other famous YouTube videos.

I agree that nerdy internet boys are not the ideal target market for Smartwater. But, when a consumer watches Keenan Cahill or listens to the double rainbow song, they will now likely be thinking about Smartwater after watching the viral video.

In celebration of Starbucks’ 40th anniversary, the new Starbucks logo is finally here and a selection of new treats are available on the market.

Over the last 40 years, the company has focused on building the Starbucks brand name. With the new logo, they hope that the same two-tailed siren image will still be recognized without the writing. In addition, by eliminating the word “coffee” from the logo, Starbucks will be able to focus on other products that are offered. This is in hopes of growing the Starbucks brand beyond specialty coffee.

A new product line, Starbucks Petites, will hit Starbucks stores this week. In particular, new Cake Pops will be featured. These bite size cake treats come in three flavors: birthday cake (vanilla with pink chocolate icing), tiramisu, and rocky road.

Cake pops were selected to be offered on the menu because they are a quick, easy, and portable way to enjoy cake. In addition, it is a new trend for specialty bakeries to offer these carefully made delicious treats. Starbucks recognizes the increasing popularity of cake on a stick and hopes to capitalize on its growth and demand.

This Thursday, Friday, and Saturday from 2-5 p.m., customers will receive a free Cake Pop with the purchase of any Starbucks drink. This is a great way for consumers to become accustomed to buying a Cake Pop to go with their normal purchase of a Starbucks drink. Here, Starbucks is using shaping to get consumers to try and then want to buy more of the Cake Pops.

In the end, only time will tell whether or not Starbucks is able to not only make a profit with their Cake Pops and other Starbucks Petites treats, but become recognized for products other than coffee and expand the company’s brand.

For more about Starbucks Petites: Starbucks Menu

“It’s thinner, lighter, and faster than ever.” – Apple

The iPad 2 is here.

Earlier today, Steve Jobs took the stage in San Francisco and presented Apple’s newest edition of its iPad. The release date for the popular tablet computer is scheduled for March 11^th in the US and March 25^th in Canada.

Some new features include a 33% thinner design, two cameras on both sides, a dual-core A5 chip, a lighter weight and faster graphics.

The original iPad put the tablet computer industry in the introduction stage of the product life cycle. It was the first tablet computer to hit the market with no competition at the time of release. The majority of people who purchased to iPad within the first couple of months were innovators. Then, with several reviews and more research available about the product, some of the early adaptors purchased the iPad towards the end of 2010.

With the iPad 2, tablet computers are now in the growth stage of the product life cycle. Apple’s sales are projected to sky rocket and it is expected that there will be long lines to purchase the coveted tablet on the first day it is available. Steve Jobs thinks “2011 will be the year of the iPad 2,” even with the emerging competition in the tablet industry.

There are now a wide variety of tablet computers available on the market, which further illustrates the growth stage because of increasing competition. Some of the iPad’s competition includes the Samsung Galaxy Tab, Dell Streak, Motorola Xoom and the BlackBerry PlayBook. Further, there are more early adaptors purchasing the iPad and the early majority is just around the corner.