Sabrina Tang's Blog

We sure have learned a lot this year, from the fundamental blocks of marketing strategy – 1. the marketing mix: Product, Price, Place, and Promotion, and the many decisions and factors involved with each of these mix. 2. STP: From selecting our target market through various factors (geographic, demographic, company analysis and economy/environment analysis etc), deciding which segment is most attractive by analyzing it through whether they are identifiable, reachable, responsive, profitable, to determining which targeting strategy to use. Marketing is not as simple as I thought it would be there are a lot of decisions and thinking involved in order for a firm to be successful. Things like determining a company’s product mix, building their brand equity, managing their supply chain/distribution channel and many many more.

I have decided to end off my last blog with a little more fun – looking at innovative marketing advertisements. Promotion is a big part of marketing, and it’s all about getting the right message to your right audience through the right media. In order for an ad to be successful, we need to consider the emotional aspect associated with our consumers. The power for them to move towards actually purchasing the product involves first getting their attention, persuade them/arouse their interest, make them want and desire for this product so they would further make an action to go buy it. To achieve this, firms’ think of innovative ways to catch a consumer’s attention. Here are some ads that I found quite creative and different from others:

this ad allows you to physically plug in your earphones to listen to short clips of music

I was reading through the Canadian Marketing Blog, and I came across an interesting entry that was posted on March 11^th, talking about Google using an interest based approach to advertising.

I personally find this technique of advertising quite amazing and very efficient compared to traditional ways of advertising, because it is able to capture the right consumers, and catch their interest by targeting each of them specifically with relevance. Although some people may be bothered by the fact that companies have access to their personal information and using it to their advantage, however, it is not completely their fault. We as consumers, reveal a lot of information about ourselves on the internet whether with intention or not, through browsing certain ads, use of search engines, leaving footprints on histories, or personal blogs and programs like twitter, facebook, etc. I would believe that it is safe for these companies to have our info as they are big companies and do have security and privacy guidelines regarding to the usage of these data. Not only Google use this kind of advertising technique, many online shopping websites use it as well. When you browse online for merchandises, you often see pictures in the corner saying “also recommend”, and under these titles they will have a list of clothing or accessories that is close to the style of clothing you have been viewing. These data are obtained through data mining of their consumer database. Even Facebook uses a similar approach, recommending you friends that you might know as they are “mutual friends” with your friends. Overall, I believe interest based advertising is not only efficient because it will generate the highest return for marketer’s investments on ads, it is also the most effective as it targets the right consumers, increasing potential sales.

Today I was browsing through blogs by fellow classmates, and one came across and caught my strong attention: a blog by Mandy Chow on McDonald’s Happy Meal (Spongebob) commercial that was launched in Japan. I think this commercial did a really good job communicating through the emotions these children get from receiving the happy meal toy. The excitement and face expression they had was priceless.

Kids represent a very important segment to many marketers because they acquire great amount of purchasing power. They are a strong influential force to their parents’ buying decisions and are essential if the company wants to develop long term relationship because they’re the adult consumers of the future. If you had good experiences going to McDonalds as a kid, you will most likely take your kids there as well. Especially with the change in the economics today, trends like smaller family size, dual incomes, and having kids at a later age gives most families more disposable income to spend. As technology emerge day by day, kids are accessible to TVs and internet at a young age, and marketers take advantage of this. Because as long as they capture and establish their position in a kid’s mind, they will nag their parents into purchasing items they may not otherwise buy.

This is a very powerful force and McDonald’s does a very good job with it. They add value for these young segments by providing toys with happy meals, play place area, and birthday party events. The toys they provide also takes account geographic and demographic differences, for example, Spongbob is a big thing in Japan whereas in Northern America they have Barbie for girls and Star Wars theme for boys. The different demographic group are targeted differently in their commercials:

As I was putting on nail polish today, I realized that all my nail polish are by OPI. What makes OPI stand out and different from their competitors? I would say that OPI brings nail polish to a whole different level. It is safe to say OPI holds more than hundreds different colours of shades and styles of nail polish.

One of my favourite: Black Shatter by Katy Perry
(that I do not own yet, because it’s sold out everywhere!)

A video on the cool cracking effect of this nail polish:

OPI contains many product lines (body crème, nail care, feet care) and various categories under each. For example, for the most popular nail care line, it consists of nail polish, lacquer remover, nail treatment products, etc. By using different factors to target different segment markets OPI increases its market share, adds value to its products and are able to charge at a premium price through successful branding. I believe the success of OPI has a lot to do with its marketing skills. As we probably all know, almost all salons carry OPI as their primary source. By doing so, it helps convey a “professional, high quality, and safe to use” image associated with OPI. Not only this, OPI reach out to their consumers emotionally, by naming each colour with creativity, giving it personality (eg. Ms. Cant be Wrong or Up Front and Personal). OPI also manufacture to different retailers exclusively, for example, they charge at a cheaper price at outlets such as Walmart or Target, and at a premium price at professional salons, or cosmetic stores (Sephora) by carrying different lines at different outlets. The accessibility of apps on Iphone, Itouch, and various electronic devices, allows OPI to target on an individual level.

Various lines of nail polish by OPI include DS, Texas collection, Swiss collection, Hong Kong collection, Katy Perry collection, Serena Glam Slam, Sephora by OPI, Nicole by OPI or the most recent…Justin Bieber inspired: One Less Lonely Girl Collection which I found quite interesting.. There is no doubt that OPI is one of the leading firm in the nail care industry!

When Sony Ericsson came out with the new Xperia X10 model, they launched a series of commercial advertisement under the title “Product Testing Institute.” In every advertisement under this line, they interviewed a different set of segment group – toddlers, seniors, glam rockers, guidos, surfers, and models. In each advertisement, they ask the participants to do something with the phone – such as turning it on, taking a picture/video, finding a specific application like facebook or text message inbox, etc, and they compare the Xperia X10 with other competitors such as Iphone, Blackberry, HTC, etc. Different advertisement with different segment group help outline and support the advantage of using the  Xperia compared with other potential competitors. For example, in the Seniors commercial, they were asked to take a picture with their phones, and only the man with the Xperia x10 was able to do so in a shorter amount of time as the application button was easier to find. Other example such as in the toddlers video, only the little girl with the Xperia phone knew how to function it as other models were too complicated for them. I think what Sony Ericsson is trying to do is to position themselves within this industry as a more simplified and easy to use smart phone while still containing all the qualities other smartphone has. Here are two of my favourite ones out of the Produt Testing Institute commercials:

toddlers

seniors

you can access the other ads here: Sony Ericsson Product Testing Institute Commercials

The smartphone industry can be classified as a monopolistic competition, it is important that they ensure their company present a different value to its consumers than their fellow competitors. Because of the strong competition out there, especially with big time brands with large market share and well established brand recognition and loyalty (Black berry and Iphone), Sony Ericsson has tried to enter this industry using a strategy of penetration pricing. The Xperia X10 is priced at around 2-3 hundred dollars, compared to 6-7 hundred dollars (for Iphone or Blackberry), this may attract the customers that would like to own a smartphone but not willing to pay at a prestige price.

The use of celebrity endorsement is probably one of the most common marketing strategies used by many firms today. Whether it is featuring celebrities in their magazine advertisement, television commercial, or even movies, we can see them almost everywhere. Britney Spears recent hit single “Hold it against me” has finally came out with a music video. I was a huge fan of hers when I was a kid, and I must admit that I still love her. Britney Spears, or so known as “Pop Princess”, has made many remarkable achievements in her life and is known as one of the top-selling female artist at all times. Although she had gone through a downhill period in the past year, she is trying to make her “come back”. This new video caught alot of people’s attention, whether its her fans, media, or rivals. With Britney’s popularity, her videos are definately a hit, just within the first 24 hours that the music video came out, it got over 1 million views. The demand for her music video is so high that when she produced multiple teasers for her video (each only 5 seconds long), but they reached over 5 million views.  Marketers have clearly realized this and took advantage of it. Only 2 minutes into the video, you can already see numerous product placements exposed: PlentyOfFish.com, Sony, Makeup Forever, Radiance (Britney Spears Fragrance), etc. The image of the product conveyed may be affected by the values and belief of the person viewing the video, some people may see Britney Spears as an aspirational character while others as a dissociative character.

For sure these placements dont come cheap…but many marketers still do so because they are able to easily reach their target audience and maximize the exposure of their products to the public. Although it is common, I havn’t seen a video compacted with so many marketing so I thought it was really interesting and to be honest, a little overwhelming. There has been a debate going on about this music video and questioning its purpose, people found it hard to focus on the music with so many marketing going on.

It’s that time of the year again. We have to admit, every time a special holiday comes along, marketers begin working on their promotion ideas. Valentine’s Day is a big one for all businesses. This holiday is all about giving/receiving love, and being passionate and thanking our loved ones, or for some people, searching for loved ones. Everywhere I go, I see some kind of advertisements targeted to specific segments relative to this special holiday. Even stores that you’d expect to be the last ones to be part of this holiday’s promotion, may add a little heart and pink here and there just to join in the fun. It is not to our surprise that jewelry stores, flower shops, chocolate brands such as Godiva or Lindor, and Lingerie stores are making a fortune during this season. We often see promotions for “matching couple rings/necklaces/bracelets”, discounts on intimate lingerie: such as Forever 21 with their promotion of 30% off on all lingerie or sleepwear (at forever21.com) La Senza promoting new lingerie sets that “he’d love” (at lasenza.com). or the restaurant industry with their special offers of “Valentines Packages” to help provide couples the best and sweetest dining experience. However, not only these markets are stepping up to the game, for example, like we discussed on Tuesday’s class, Blenz is launching this “Blenz Red Band” campaign for singles looking to meet potential soul mates. Fast food industry like Tim Hortons offers new products like their heart-shaped donuts, topped with chocolate and strawberry sprinkles, named “Be Mine”. Retail clothing stores such as American Apparel, is also suggesting their products by advising the essential must-haves, through the awareness of Valentine’s Day.

Screenshot taken from americanapparel.net

Even Reebok, Nike or Converse launched new shoe designs for this particular holiday. Reebok has specially designed a Valentine’s 2011 Freestyle for the ladies. The new design was inspired by a “chocolate dipped strawberry”, a popular sweet Valentine’s Day treat.

For the article and more information on this product, go to:
www.sneakerobsession.com/36753/reebok-freestyle-valentines-day-2011/

I guess Valentine’s Day really is about passion and love, not only for the people you care about, but there’s also heat going on for marketing!

Joanne recently did a blog post on TOMS Shoes that caught my attention:
https://blogs.ubc.ca/joannechoi/

I personally really love this brand and I’ve gotten to have some contact with it. Blake Mycoskie was inspired to promote “shoes for tomorrow”, which is where the name TOMS was derived from. Blake’s mission was to “make life more comfortable”- their product emphasize on comfort when you wear them, and also by purchasing a pair of TOMS, another pair automatically goes to a needy child, providing protection for their bare feet.

He was first inspired when he travelled to Argentina, originally for leisure purposes, but during his stay, he had the chance to come into contact with local residents and to see how they lived their lives. He saw the opportunity of helping these kids, and he just couldn’t resist to not do it. When he told people about his plan for suggestions, everyone thought he was crazy, how are you going to make money if you give away a pair of shoes everytime you make a sale? Also, in US the shoes industry were full with strong competitors – Nike, Reebok, Vans, Converse – who all developed a well known brand reputation and loyal consumer base, how was he going to compete with them? However, sales went surprisingly well, and was featured on the cover of Los Angeles Times. This made a tremendous impact to further expose TOMS to the public, increasing the demand for it.

Here is a short clip, about 5 minutes long, that provides a thorough history of TOMS shoes I would like to recommend as I found it very inspiring.

The marketing strategy for TOMS is very simple, their product creates value for people who believe by purchasing they can make a difference and contribute to the world. At the bottom of the sole of every shoe labels “purchase today guarantees a child shoes for tomorrow.” It suggests the behavioural aspect of what you should do and because it is a good cause, you will feel good about it afterwards.

I use to work at Off the Wall and last year TOMS shoes had their annual worldwide event – A day without shoes- to promote awareness for what they are doing. Everyone participated to complete our shift on that day bare feet to experience how it’s like without shoes. Here’s a picture of our table at that time for TOMS!

Let’s just say, life is hard without shoes…and I think what Blake Mycoskie is doing is very amazing.

Heres a link & brief video on this event and how you can sign up if interested:
http://www.onedaywithoutshoes.com/splash

During the past few weeks, we have been talking a lot in class about what marketing is all about and the use of marketing mix to ensure that the product or service a firm provide will satisfy customer needs and wants. A lot of emphasis has been given on the idea of “creating value” to a product or service in order to gain a sustainable competitive advantage.

The other day, I was meeting up with some friends to go study at a coffee shop, it reminded me the whole concept of marketing. Whenever midterm or final comes around the corner, coffee shops are always packed with students cramming for their exams. All these companies compete for the same group of target market – students. With so many coffee shops around (Blenz, Waves, Second Cup, Starbucks, The Grind, etc), how do they ensure they capture their customers? The most general strategy that almost all coffee shop now implement is to provide free Wi-Fi if your purchase something, since basically all students will look for this when seeking for a potential study spot.

To differentiate themselves, I have realized a lot of these coffee shops have been updating the features they provide at their shops. For example, Blenz and The Grind are both well known for their availability: opened 24 hours. We all know how it feels like when you really start getting something done, and are “into the zone” in your studying, and then the waiter reminds you that they are going to close in half an hour… this is why going to a place that allows you to stay however late you want may add value for some people.

I went to check out the new Waves that opened in Richmond the other day, not only is it a lot bigger and spacious than other Waves, or even other coffee shops, they now provide you private rooms for studying, which can be booked in advance. I’m sure a lot of us have had the experience of running from places to places looking for available space, and it gets very frustrating at times. By providing you the option of booking a quiet room to study at a coffee shop, it saves you a lot of time and energy.

Each coffee shop try to provide something different to enhance their product value and enhance customer’s experience with the company, I find it quite interesting observing the different approaches these coffee shop comes up with to do so. 

When you hear the brand Quicksilver, what comes up in your mind?
For me, I would think Quicksilver is all about skateboarding and surfing. I once worked at Off the Wall, which works closely with Quicksilver so I already have some familiarity with this brand.

I think Quicksilver does a very good job focusing on their target market and ensuring that they give off the right image to others. I find alot of their advertisements quite interesting and creative, here are some that I would like to share 🙂

The above two advertisements focuses on their “skaters” customers.
I really like the second advertisement, I find it very creative. Having a real skateboard ramp attached to the bus stop can give the skateboarders something to do while waiting for their bus! I feel like by doing so, it will add more value to its brand for potential consumers.

By having posters inside, outside and even on the ceiling creates the illusion of a huge wave! Replacing the normal benches with a surf board adds the touch to make it all seem real.

I have noticed that Quicksilver has chosen the bus stop as a location of many of its advertisements. This strategy can definitely increase the exposure of Quicksilver to the public. While waiting for the bus, people will often pay attention to its surroundings therefore pay close attention to its ads, as there is nothing else better to do in the meanwhile. Also, it can attract the attention of drivers and pedestrians that are passing by. Especially with such a flashing advertisement like these, it will defintely be hard to miss!

Having a strong advertisement to promote their product is very important to the brand, as it will leave an impression in the minds of many potential customers! These ads really attracted my attention, and I’m not even a surfer or a skateboarder…

Anyway, enough for now. Time to sleep 🙂  hope you guys enjoyed the ads!