Vivian Leung's Blog

During the end of March and April of last year and this year, I was lucky to be involved with the Daffodil Day Campaign of the Canadian Cancer Society. Newly developed, this campaign raises awareness and strives to unite the community to fight back against cancer during the month of April, with April 27th as the official Daffodil Day. People show their support with donations and in return they get a daffodil pin and/or fresh daffodils. Compared to last year, which was also the first year of this annual campaign, I saw a few significant changes and improvements in the product design and promotional techniques, as well as some consistencies that made the overall event successful.

For one, the color changed. They went from the signature yellow daffodil against the blue background to a solid black background. In the North American culture, black is a color that is normally associated with death and sorrow. I believe this change sends a strong message: Cancer is one of the leading causes of death, and the color reminds us of the importance and grief caused by it. With this reminder, we are encouraged to take action, to donate, and to join the fight against cancer.

The CCS also improved the packaging and distribution of the daffodil pins. They no longer have individual packaging, which was found to be unnecessary – people found it more work having to take the pins out of plastic wrapping. Instead, they put a large bundle of pins in one plastic bag, which is not only more convenient and portable, but also environmentally friendly. The newly created daffodil pin boxes were also great to store the pins and the money that people donated. Daffodil Day volunteers can carry them around at the poster and flower filled booths, or place them at various shops, work places, and other locations to promote.

The main logo, the daffodil, remained unchanged, and the main theme of fighting against cancer and raising awareness stayed consistent these past two years. I was very fortunate having the opportunity to participate in such a meaningful campaign, and I encourage everyone to wear the daffodil pin during the month of April to not give up, to fight back, to beat cancer. Join the fight.

After reading an article on Canadian Business Online, “HMV Canada to remodel stores with bigger range of products, new interactive feel”, I was quite interested in HMV’s recent repositioning for the Canada division.

As the trend for online downloading and Internet streaming skyrocketed over the past decades, the music business has been stuck in a declining stage. Less and less people are buying CD’s when it took a matter of seconds to download a mp3 version of a song and sync it into their iPods. How does HMV cope with this?

They decided to go with a whole new approach by completely remodeling their current Toronto branches. “The redesigned locations will sell a wider variety of products like more t-shirts, video games and headphones, and will have new fixtures and colour schemes.” A type of product growth strategy, product development, HMV is brand extending by introducing these new products to their current market, in hope of also capturing new customers. This may allow HMV to generate more sales from their broadened customer base.

They are also “bring[ing] in more interactive guest environments and the (video) game section”. According to the Diffusion of Innovation Theory, this is strategy accelerates the rate of adoption as it is it free to try out and those who don’t can observe the demos and demonstrations available. Creating such an interactive environment allows the customers to have a hands-on experience before purchasing, similarly to how Apple presents its products for customers to try out.

Let’s hope that HMV Canada’s remodeled stores are worth the expenses!

My life got a little more exciting after watching the following commercial in COMM 296 today:

Only a very small and simple device to chop up your food, yet it is that much more appealing. I actually want to purchase one after watching this infomercial. Why is that?

First of all, the entire commercial was short – only around 3 minutes long – but extremely effective. Vince, the speaker, speaks in a straightforward way and wins his customers’ interest and desire for the product with his direct approach. He gets straight to the point: people have problems chopping up their food (whether it is for stew, salad, pizza, breakfast-to-go, nuts, onions, and the list goes on…) and the Slap Chop is the quickest and easiest way to solve it. Their unique W-shaped blades and the fact that it’s so easy to take apart and wash differentiates the Slap Chop from all the other graters. The 3 minutes also includes interviews with real customers who share their positive feedback and opinions of the Slap Chop. Along with Vince’s hilarious, classic quotes (“Life’s hard enough as it is, you don’t need to cry anymore.”), we have an example of an excellent infomercial.

The company demonstrates the use of direct marketing (specifically, direct response) as their advertisement of the Slap Chop. The infomercial includes all the key information, demonstrations, and messages that is carried across to consumers, and consumers contact sellers directly to purchase the Slap Chop. There are no wholesalers, retailers, or agents in between, hence the term direct marketing. In addition, it combines with sales promotion, as consumers who purchase within the next 20 minutes get the free Graty on top of the Slap Chop for the same price. This definitely increases consumers’ desire and likelihood of purchasing the product.

I’m pretty sure with this infomercial, we can definitely make America skinny again, one SLAP at a time.

What is this ad really saying? According to this article, PepsiCo is really stirring up problems with their new “skinny can” Diet Pepsi. Although Pepsi is seemingly promoting the image of beautiful confident women, “critics say the packaging just reinforces dangerous stereotypes that women must resemble beanpoles to be attractive.” PepsiCo is re-positioning its Diet Pepsi to target women who search for a slimmer and more confident body, but its effectiveness has yet to be seen.

The pop beverage market is at the mature stage of the product life cycle, and in order to differentiate themselves from Coke or other leading brands in the monopolistic competition, PepsiCo must re-model its existing Diet Pepsi to obtain greater market share, aka. market penetration. To do this, PepsiCo decides to go with a new packaging for their Diet Pepsi. Instead of the expected plump round, 355 mL can, they create an attractive silver, slim can, promoted with beautiful, equally slim models in their advertisements everywhere. I must say, it is quite effective. Since is it skinnier, it’s easier for consumers to hold onto and extremely convenient/portable. However, we must consider consumers’ perceptions and attitudes towards this new packaged Diet Pepsi can. As critics say, it is conveying the message that in order to be attractive, confident, and beautiful, women must be as skinny as this new product. Even their slogan, “Get the skinny?”, helps promote this idea.

Will the pros over weigh the cons? Will this fresh new slim image of Diet Pepsi attract more consumers, or be shot down by critics and opinion leaders?

Just when you thought that you can’t get any better than the classic Nike shoes, think again.

Perhaps as a way to differentiate itself from head-to-head competitor, Adidas, Nike decides to target a whole new segment with a new product line, a method of diversification. As AdFreak describes in its blog, Nike’s new line of Internet-themed sneakers targets the “geeks” or “nerds”. Adidas had “hinted (or threatened, depending on your point of view) last year that they were planning something similar”, but Nike obtained the advantage of launching this new product first, hoping to gain the approval of the innovators and the early adopters.

But really, will this be a repeat of the “Air Jordan’s”? I think not. I would say Nike is trying hard to reposition and rid its “basketball shoes” image so that they can expand to a greater variety of people and segments. I might say they are quite successful, as their shoes have grown to be a popular and stylish fashion statement world-wide with their famous swoosh sign. However, Nike’s latest Internet-themed sneakers are really questionable. Their aim is to target the so-called “geeks” or “nerds”, but as AdFreak mentioned, “all the nerds […]display their nerd plumage through anime and webcomic merchandise” and rarely go out to purchase fashionable Nike shoes. They should have analyzed furthermore into this particular segment and their attractiveness/likelihood of purchasing a pair of $100+ shoes. Nike would probably have to charge a premium for these costly shoes, and nerds would be more likely to spend their money on anime character figurines than a pair of Twitter Nike shoes. In a nerd’s perspective, the costs definitely outweigh the benefits.

Nike, if you really want the nerds to jump into the bandwagon, perhaps try getting the characters to wear the Nike shoes to advertise instead of putting the characters and themes ON the shoes. Just saying.

Every child has an idol to look up to, whether it be their parents, celebrities, or public figures. For me? I look up to them:

The Disney Princesses.

How Stuff Works is equivalent to the second Wikipedia, but more in depth and with more explanations. I came upon this article, describing Disney’s marketing strategies for their famous Disney Princesses. So how does it work? How are they so successful with their storybooks, stationary, games and all other products?

I believe branding plays a significant role in the success of the Disney Princesses. Associated with the all-knowing Disney, the Disney Princesses target the young 3-5 year old girls and provide them with the magical experience of being a princess themselves. Over the years, Disney has developed a strong brand image of being “the happiest place on earth”, targeting a wide range of consumers from young children to adults. With the Disney Princesses, being linked with this strong Disney image is definitely an asset. Loyal consumers will trust in Disney’s products and select their products instead of competitors’. The popularity of Disney, known globally, can increase the Disney Princess products as well with such high brand awareness. The Disney Princesses line is a brand extension to Disney, but their overall success cannot be denied: “Disney Princess films are five of the top six Disney video releases of all time” and “$2.6 billion in box office revenue worldwide for Disney Princess animated films”.

Indeed, I am one of the many followers of the Disney Princesses (although I am almost 20). Disney and the Disney Princesses are part of my childhood, and they will always be perceived to bring me the happiest and most unforgettable experience in the magical world of Disney.

My friend Riki’s blog on the Post-Consumer Era
elaborated on the growth of value-based marketing through a well explained diagram (shown below).

He touched upon how marketing has grown throughout the ages – from mass production and marketing in the pre-consumer era to an era of careful decision making by consumers and strategic value development, creation, and distribution by companies. Everyone living in our current era will agree that value-based marketing is key to success for any firm.

How might marketing or consumption grow or develop even further in the future? The current value-based marketing will continue to serve as a basis of all marketing strategies, as convincing consumers that the value that they get is much greater than the costs they incur guarantees future consumption and positive customer relations management (CRM). Perhaps along with the technological trend, management information systems (MIS) will grow to become the core of most manufacturing and marketing strategies.

Convenience. In today’s world, time is a valuable resource in our busy, busy lives. How can firms use this to serve in their marketing strategies for the future? Implementing technology and MIS quickens processes (e.g. self-purchase / take-out booths at supermarkets, stores, libraries), improves quality/quantity and inventory of products (e.g. higher quality machinery, inflow and outflow of products management by MIS programs), and enhances the marketing mix (e.g. increase advertisements through the Internet and social media, easier to distribute at an international/global level). Technology gives us endless opportunities of growth and development in our era.

So who knows? Perhaps we will be present when a pre-technological era arrives.

The golden arch.

I wouldn’t say that I’m a complete loyal advocate of their mcfattening meals, but I won’t deny that I like the occasional Big Mac, medium fries, and large Coke (maybe throw in 6 pieces of  McNuggets as well). It’s cheap, tasty, and extremely convenient. What’s more – their marketing strategies are amazing.

Take for example their recently  new product: the Buttermilk biscuit.

FREE Buttermilk Biscuits: Brought to you by your local McDonald’s

The word “free” certainly caught your attention, didn’t it? Perhaps we can relate this as one of the psychological factors that influence consumer behaviour. Learning is one of the key factors, and by shaping, McDonald’s is capable of changing consumer’s attitudes towards their products.

To first introduce this new Buttermilk Biscuit, they offer a limited time offer of free taste trial, where any customer can enter a McDonald’s and obtain a free biscuit sandwich. Benefits for the customers definitely exceed costs, which may seem like a negative strategy for McDonald’s. However, this free trial period quickens the promotional effects of giving out “free food” to the public, and consumers will take the opportunity to try this new product. If they like it, McDonald’s may plan to promote large coupons to promote new customers into regular customers. Slowly, McDonald’s use smaller coupons until McDonald’s charges full price and still has a steady flow of customers purchasing the Buttermilk Biscuit.

As a matter of fact, I’m munching on this Buttermilk Biscuit sandwich myself. Let’s just say, its a little too oily, too fattening, and has too many crumbs from the biscuit for me to like it. But hey, it was free. Can’t say no to free food, can’t say no to McDonald’s.

Sigh.

As I was looking through a friend’s marketing blog on Diamonds, my feminine instincts got me surfing through Youtube, watching videos of Tiffany & Co. promoting their beautiful, sparkling jewels. From their signature turquoise boxes to their gorgeous models, they’re capable of capturing every girl’s inner desire for the one and only: diamonds.

Like Fion had mentioned in her blog post, diamonds are truly a girl’s best friend. It is a prime example of something that satisfies our esteem needs, based on Maslow’s Hierarchy of Needs. They define a woman’s social status, importance, and self-confidence. I see it every time I have dim sum with my mother and her friends. A typical dim sum lunch consists of a lot of gossiping and flaunting of one’s jewelries. The shinier and bigger it was, the greater the praise from everyone at the table. Having a diamond ring on your finger meant that you were either passionately loved by a man willing to buy you one, or that you were so financially steady that you could purchase one yourself. Either way, it was something for a proud woman to brag about. But how did this mentality, this attitude come from? And do girls really need one?

Perhaps it’s due to commercials from well-branded stores like Tiffany & Co. They strategically influence consumers’ attitude in an affective way. The affective component of our attitude involves what we feel about the product and our like or dislike of the product. How does Tiffany & Co. do that? If you watched the Youtube video presented above, you would know what I mean. Just look at her smile, revealing her perfectly straight pearly whites, as the dreamy man appears before her with the famous turquoise box, encompassing the shiny 1 carat diamond ring. Look at how complete the family looks as they carry the Tiffany & Co. bags as they walk hand-in-hand together home. Look at just how beautiful she looks in a white silk gown matched with diamond earrings and necklaces. A typical girl would watch in envy of this gorgeous woman who had it all: the man, the children, and the diamonds. It felt like, with the diamonds, everything seemed more glamorous, beautiful, and perfect.

Men, watch your wallets. Be prepared to buy something expensive this coming Valentine’s Day.

Last Thursday night, UBC’s International Business Club held their signature event, World’s Cities Night, at Eh! Restaurant in Downtown Vancouver. The International Business Club (check out their cool new website here!: (http://www.ibclub.ca/) aims to connect the global business world with the entire UBC student body, and World’s Cities Night gave UBC students the excellent opportunity to network with professionals working internationally. As an executive of the IB Club, I was proud to say that the event was a complete success. Other than the fact that I couldn’t leave the refreshments table alone with all the delicious finger food, I was captivated by the speech of one of our keynote speakers of the night, George Moen, the president of Blenz Coffee.

He was a brilliant speaker, and an even more brilliant storyteller. He talked about his past successes and failures, how Blenz Coffee came to be, and how he became the man he is today. But the story that caught my attention was about his upcoming marketing strategy for Blenz Coffee: the Blenz Red Band.

For those who have not yet heard of the Blenz Red Band, this new project provides single Blenz customers with a “personal ad on their coffee cup – a red band sleeve signifying they’re open to meeting potential dates.” (http://communities.canada.com/vancouversun/blogs/techsense/archive/2011/01/20/buy-a-blenz-coffee-get-a-date.aspx)

Thinking about this new project, Maslow’s Hierarchy of Needs popped into my mind.  This new Blenz Red Band targets all single people and their inner desire to fulfill certain needs:

• Physiological: Perhaps this need is the least important of the 5, but hey, even single people get thirsty or need that extra caffeine to get past the morning!
• Safety: It’s almost always assumed that the coffee sold is safe to drink, but that need is still there.
• Love: This one is the “bingo”! Statistics have shown that “51.5 per cent of people over age 15 were unmarried in 2006, marking the first time married people have been outnumbered in the census”. (http://www.cbc.ca/canada/story/2007/09/12/census-families.html#ixzz1Br9nDVS4) The growth of single people only means a growth in the market for Blenz Red Band. People tend to avoid loneliness and enjoy company, acceptance from others, and a sense of belonging. This new project gives singles not just a nice cup of hot coffee, but also a chance to fulfill this need and meet local singles who are also interested in a relationship, friendship, or even just a nice chat on the couches.
• Esteem: Despite a terrible heartbreak or a natural sense of insecurity, this new Blenz Red Band can raise a person’s own self-esteem in very subtle way. It signals to others of their availability and willingness to indulge into a conversation without having to take initiative or say a single word. They can indirectly open themselves up to others, and other singles can approach and develop a relationship with them, just by a simple red band on their Blenz coffee cup.
• Self-actualization: I don’t think the addition of the red band would lead directly to a person’s complete satisfaction with life, but perhaps it can create the opportunity for a single to meet a potential life partner, hence leading to a satisfying life without caring what other people think.

To think that adding a simple red band could satisfy that many needs! I’m definitely looking forward to this February 1st, when this project would be finally launched. I better start eying those regular Blenz customers…