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Presentation transcript:

McGraw-Hill/Irwin Copyright © 2013 by The McGraw-Hill Companies, Inc. All rights reserved.

Define social media and describe how they differ from traditional advertising media. Identify the four major social networks and how brand managers integrate them into their organizations’ marketing actions. LEARNING OBJECTIVES (LO) AFTER READING CHAPTER 16, YOU SHOULD BE ABLE TO: LO2 LO1 16-2

Describe the differing roles of those receiving messages through traditional media versus social media, and the factors brand managers use to select a social network. Explain how social media can produce sales revenues for a brand and compare the performance measures linked to inputs or costs versus outputs or revenues. LEARNING OBJECTIVES (LO) AFTER READING CHAPTER 16, YOU SHOULD BE ABLE TO: LO4 LO3 16-3

Describe how the convergence of the real and digital worlds affects the future of social media. LEARNING OBJECTIVES (LO) AFTER READING CHAPTER 16, YOU SHOULD BE ABLE TO: LO5 16-4

CONNECTING WITH TODAY’S COLLEGE STUDENTS USING FACEBOOK AND TWITTER 16-5 Q) When Kimmy Summers had to communicate with other students to recruit volunteers at their respective universities to help freshmen during campus move-in day 10 years agoNow Flyers slid under dorm-room doors. Phone solicitations Ads in their campus newspapers or on walls. Social Media – Why? ? Ambassadors What firms? XYZ, …

 How Social Media Came About Web 2.0 Blog – a web page that serves as a publicly accessible personal journal Blog – a web page that serves as a publicly accessible personal journal or online forum for individual & organization (why ?)  Defining Social Media Defining Social Media User Generated Content (UGC) UNDERSTANDING SOCIAL MEDIA WHAT ARE SOCIAL MEDIA? LO1 16-6

Blog A blog, which is a contraction of “web log,” is a web page that serves as a publicly accessible personal journal and online forum for an individual or organization. 16-7

User Generated Content (UGC) User generated content (UGC) consists of the various forms of online media content that are publicly available and created by end users. 16-8

Social Media Social media consist of online media where users submit comments, photos, and videos— often accompanied by a feedback process to identify “popular” topics. 16-9

 Classifying Social Media Media Richness – involves the degree of acoustic, visual, and personal contact between two communication partners (> telephone, ) : The higher the media __________________________, the greater ___________________________________________have on each other’s behavior. ? – Individuals in any social media want to make favorable image and the image is affected by the degree of self-disclosure about a person’s thoughts, feelings, likes and dislikes. : Greater self-disclosure is likely to increase one’s influence on those reached (Not always). UNDERSTANDING SOCIAL MEDIA WHAT ARE SOCIAL MEDIA? LO1 16-

FIGURE 16-1 FIGURE 16-1 Social media classified by media richness and self-disclosure 16-11

 Ability to Reach Both Large and Niche Audiences UNDERSTANDING SOCIAL MEDIA COMPARING SOCIAL AND TRADITIONAL MEDIA LO1  Expense and Access  Training and Number of People Involved  Permanence  Credibility and Social Authority (NYT vs. Sender’s messages)  Time to Delivery (D: instantly?)

 Facebook: An Overview Facebook: An Overview Keep It Fresh (# of posts) FOUR IMPORTANT SOCIAL NETWORKS FACEBOOK LO2  Facebook in a Brand Manager’s StrategyBrand Manager’s Strategy Facebook Pages: Generate Awareness, promote business Let Users Get Engaged and Guide Content (e.g. POLL) Make It Familiar, But with a Twist 16-13

INTEGRATING SOCIAL MEDIA INTO TODAY’S MARKETING STRATEGIES HOW SOCIAL MEDIA PRODUCE SALES LO4  Facebook – uses (?) both CPC & CPM metrics : in 2012, charged advertisers $8 every 1000 times their sponsored story ads were viewed or loaded in the main news feed (CPM) Q) You are a brand manager fro Pepsi or Others. How would you spend your adv budget, $1 mil? 1) 125 mil views on Facebook 2) two 30 sec TV commercials on American Idol 3) 6.5 full-page color ads in People magazine

Facebook Facebook is a website where users may create a personal profile, add other users as friends, and exchange comments, photos, videos, and “likes” with them

FIGURE 16-2 FIGURE 16-2 The Bitter Girls Facebook Page shows elements of interest to its manager Insights Analytics that include information on users and interactions People Like This The number of people who have clicked the Like Post Likes The number of people who Like a specific post Notifications People who take a specific, measurable action on the page Profile & Cover Image Brand identifying image; usually includes a logo or promotional image Facebook Page Post Messages created by a brand manager that appear in the News Feed of people who like the page 16-16

FIGURE 16-3 FIGURE 16-3 How brand managers can use four social networks in developing their marketing strategies 16-17

 Twitter: An Overview Twitter: An Overview Follow the Twitter profiles that mention their product and monitor what being said Respond to User Criticism FOUR IMPORTANT SOCIAL NETWORKS TWITTER LO2  Twitter in a Brand Manager’s Strategy – Q) extensive comments?Brand Manager’s Strategy Generate ? ? – by developing a official profile, recruiting followers, and showing pics Tweet on Topics of Interest to Consumers 16-18

Twitter Twitter is a website that enables users to send and receive “tweets,” messages up to 140 characters long

 LinkedIn: An Overview LinkedIn: An Overview For B2B image building & networking with Industry-Related Groups Business Development to find sales leads & vendors and to organize focus groups FOUR IMPORTANT SOCIAL NETWORKS LINKEDIN LO2  LinkedIn in a Brand Manager’s Strategy Promote the Brand in ? ways Can demonstrate organization’s expertise & create discussion groups

LinkedIn LinkedIn is a business-oriented website that lets users post their professional profiles to connect to a network of businesspeople

 YouTube: An Overview YouTube: An Overview Create a Channel with ? Words Use YouTube Analytics to ? FOUR IMPORTANT SOCIAL NETWORKS YOUTUBE LO2  YouTube in a Brand Manager’s StrategyBrand Manager’s Strategy OK Go Music Video 16-22

YouTube YouTube is a video-sharing website in which users can upload, distribute, view, and comment on videos

MARKETING MATTERS Other Favorite Social Networks? LO

INTEGRATING SOCIAL MEDIA INTO TODAY’S MARKETING STRATEGIES SOCIAL MEDIA & THE STRATEGIC MARKETING PROCESS LO3  Traditional Media: ? Receivers  Social Media: seek to ensure that the message doesn’t ? with an individual receiver. The ? is to reach … Active Receivers ?Delighted “?” : to friends & to advertiser 16-25

INTEGRATING SOCIAL MEDIA INTO TODAY’S MARKETING STRATEGIES SELECTING THE SOCIAL NETWORK LO3  Recent Growth of the 4 Social Networks  Audience Data for Social Networks  How Brand Managers ?: 2) Characteristics of the Visitors 1) Number of Daily Visitors 16-26

FIGURE 16-4 FIGURE 16-4 Monthly unique U.S. visits to four social networking sites: Facebook, YouTube, Twitter, and LinkedIn 16-27

INTEGRATING SOCIAL MEDIA INTO TODAY’S MARKETING STRATEGIES MEASURING SOCIAL MEDIA PROGRAM RESULTS LO4  Performance Measures Linked to Inputs or Costs (and Output or Revenue) Cost per Action (CPA) Cost per Thousand (CPM) Cost per Click (CPC) 16-28

FIGURE 16-5 FIGURE 16-5 Performance measures for social networks linked mainly to inputs or costs, as seen by a brand manager 16-29

INTEGRATING SOCIAL MEDIA INTO TODAY’S MARKETING STRATEGIES MEASURING SOCIAL MEDIA PROGRAM RESULTS LO4  Performance Measures Linked to Outputs or Revenues Fans Share of Voice Page Views Visitors Unique Visitors Average Page Views per Visitors Interaction Rate Click-Through Rate Fan Source 16-30

Specialized Focus for Other Social Networks: LO4  A virtual pinborad and content-sharing social network, allows people to pin or share image of their favorite things such as clothing, craft ideas, home décor and recipes (Q) who & how benefits? 16-31

INTEGRATING SOCIAL MEDIA INTO TODAY’S MARKETING STRATEGIES GREENPEACE VS. NESTLÉ’S KIT KAT LO4  The Background  Greenpeaces’ Actions and Results  Nestle’s Overreaction and Its Effects 16-32

INTEGRATING SOCIAL MEDIA INTO TODAY’S MARKETING STRATEGIES GREENPEACE VS. NESTLÉ’S KIT KAT LO4  Social Media Lessons for Brand Managers Respond with Transparency and an Approachable Tone Communicate with Key Influencers Using Fcebook, Twitter, Blogs, etc

THE FUTURE: SOCIAL MEDIA + SMARTPHONES + EXOTIC APPS THE CONVERGENCE OF REAL & DIGITAL WORLDS LO5  The Convergence – of the real and digital worlds has resulted in increasing use of mobile marketing  The Devices  Apps – small, downloadable software programs that can run on smartphones and tablet devices: Q) Benefits? Apps – small, downloadable software programs that can run on smartphones and tablet devices: Q) Benefits? 16-34

FIGURE 16-6 FIGURE 16-6 An array of diverse elements leads to a convergence of the real and digital worlds that trigger marketing actions 16-36

MARKETING MATTERS Coolest, Wildest, and Best Apps? LO5 Tiny Wings 16-37

THE FUTURE: SOCIAL MEDIA + SMARTPHONES + EXOTIC APPS MOBILE MARKETING: TIGHTENING LINKS TO ACTIONS LO5  Price-Comparison Searches  Loyalty Programs  Location-Based Promotions 16-38

THE FUTURE: SOCIAL MEDIA + SMARTPHONES + EXOTIC APPS WHERE TO NOW? LO5  Personalization of Social Media Connections  Purchases Made with Fobs and Smartphones  Measurement of Social Media ROI  Socially-Networked Communities 16-39

THE FUTURE: SOCIAL MEDIA + SMARTPHONES + EXOTIC APPS THE GLOBAL MARKETING REACH OF SOCIAL MEDIA LO5  Example: T-Mobile Promotion 16-40

AOI MARKETING: USING FACEBOOK TO LAUNCH BITTER GIRLS ® VIDEO CASE

VIDEO CASE 16 BITTER GIRLS 1. (a) What is the image you first have when you hear the brand name “Bitter Girls”? What are both (b) the strengths and (c) the weaknesses in linking this brand name to the concept of empowering tweens and teens? 16-42

VIDEO CASE 16 BITTER GIRLS 2. How can social media be used to drive traffic to the Bitter Girls website? 16-43

VIDEO CASE 16 BITTER GIRLS 3. How can Bitter Girls (a) bring people from its website to its Facebook Page and (b) increase their involvement and participation on its Facebook Page? (c) Why are these important goals? 16-44

VIDEO CASE 16 BITTER GIRLS 4. (a) How can Bitter Girls find new likes? (b) On what other Facebook Pages should Bitter Girls advertise? 16-45

VIDEO CASE 16 BITTER GIRLS 5. (a) What products besides apparel and mobile phone cases might Bitter Girls license? (b) How can Bitter Girls promote its products through Facebook? 16-46

Apps Apps are small, downloadable software programs that can run on smartphones and tablet devices