Exam 3 Chpt 16
Traditional media
such as magazine or TV ads generally use one-way communication from sender to receiver, those whom the marketer hopes will buy the product advertised. A little word-of-mouth chatting may occur among the "passive receivers," but communications generally end with the receiver.
Social Media Lessons for Brand Managers
"The lesson for brand managers is this: Watch for opportunities to manage luck," says Patrick Hudgdon, digital strategist who managed the promotion for Carmex. "Small, smart investments can pay off in big ways when your brand gets lucky. Find ways to use both social and traditional media—as we did for Carmex—to help the campaign go viral and to maximize the opportunity to achieve even greater success. Be ready!"
Performance measures for social media can be divided into
(1) those linked to inputs or costs (2) those tied to the outputs or revenues resulting from social media.
User-generated content (UGC) satisfies three basic criteria
1. It is published either on a publicly accessible website or on a social media site, so it is not simply an e-mail. 2. It shows a significant degree of creative effort, so it is more than simply posting a newspaper article on a personal blog without editing or comments. 3. It is consumer-generated by an individual outside of a professional organization, without a commercial market in mind.
Faster news publishing.
A new initiative called Instant Articles provides content, rather than links, from media organizations such as The New York Times, National Geographic, and Buzzfeed directly to Newsfeed. This makes access 10 times faster, prevents the Facebook experience from being interrupted, and acknowledges that two-thirds of all American adults now own a smartphone.17
social network.
A single social media site with millions of users interacting with each other, such as Facebook, Twitter, and LinkedIn
. Social media and traditional media have both similarities and differences that impact marketing strategies, as described below:
Ability to reach both large and niche audiences. Both kinds of media can be designed to reach either a mass market or specialized segments; however, good execution is critical, and audience size is not guaranteed. Expense and access. Messages and ads in traditional media such as newspapers or television generally are expensive to produce and have restricted access by individuals. Also, traditional media are typically owned privately or by the government. In contrast, messages on social media are generally accessible everywhere to those with smartphones, computers, and tablet devices and can be produced cheaply. Training and number of people involved. Producing traditional media typically requires specialized skills and training and often involves teams of people. In contrast, sending messages on social media requires only limited skills, so practically anyone can post a message that includes words and images. Time to delivery. Traditional media can involve days or even months of continuing effort to deliver the communication, and time lags can be extensive. In contrast, individuals using social media can post virtually instantaneous content. Permanence. Traditional media, once created, cannot be altered. For example, once a magazine article is printed and distributed, it cannot be changed. But social media message content can be altered almost instantaneously by comments or editing. Credibility and social authority. Individuals and organizations can establish themselves as "experts" in their given field, thereby becoming "influencers" in that field. For example, The New York Times has immense credibility among newspaper media. But with social media, a sender often simply begins to participate in the "conversation," hoping that the quality of the message will establish credibility with the receivers, thereby enhancing the sender's influence.
Role of Social Media
Ads and videos on social media such as YouTube and Facebook are less likely than traditional print ads to have a marketing objective of immediate sales. This is because social media images are often on the screen for only seconds. A more likely goal is to have viewers go to the advertiser's website and post it on their Facebook Pages or forward it to friends. The key for a brand manager using social media is to gain viewers' attention for a few extra seconds.
Research suggests the following guidelines to engage fans on Facebook:
Be creative in using links, photos, and videos. Make it familiar, but with a twist. Focus content strategy on imagery and messaging that is familiar to fans—punctuated with something unique. Aflac uses its Aflac Duck—the well-known "spokes-duck"—to treat fans to Aflac Duck commercials, virtual Duck gifts, and supplemental insurance offers. Keep it fresh. Redbox uses frequent posts to keep fans informed about its latest film releases. Learn users' passions and let them guide content. Taco Bell polls users to see which menu item they'd like featured in the following week's menu profile photo.
Private sharing through Messenger app.
Facebook is developing Messenger to become a hub for shopping and entertainment for users, and a platform for customer service "chatbots" for companies. The goal is to better enable e-commerce through smartphones.
Brand managers have various other strategies for reaching, listening to, and interacting with current and potential consumers using Twitter. For example, they can:
Connect in real time using Twitter's recently acquired broadcasting app, Periscope, or its live stream function. The NFL, for example, streams some of its games on Twitter to reach a young audience that is less accessible on broadcast TV and cable. Generate brand buzz by developing an official Twitter profile, recruiting followers, and showing photos of their products. Follow the Twitter profiles that mention their product and monitor what is being said, responding to user criticisms to develop happier customers.
Interactive videos, photo-sharing, and facial recognition.
Facebook recently introduced a new feature that lets advertisers post interactive videos that transform social viewers into active participants. Facebook also introduced an app called Moments, which uses facial recognition to identify which "friends" are in the photos and then asks if the user would like to share the photo. It's Facebook's response to the mobile situation where a user takes a photo and someone asks, "Will you send that to me?"
E-mail marketing for Facebook app
In a program called Custom Audiences, Facebook helps advertisers target customers as they scroll through Facebook's mobile app by matching e-mail addresses provided by the advertisers with the e-mail addresses it has for many of its users. Facebook also identifies "look-alikes," people who are similar to an advertiser's customers, for targeted ads. Currently, more than half of Facebook's sales revenues come from mobile devices!
Self-disclosure.
In any type of social interaction, individuals want to make a positive impression to achieve a favorable image with others. This favorable image is affected by the degree of self-disclosure about a person's thoughts, feelings, likes, and dislikes—where greater self-disclosure is likely to increase one's influence on those reached.
Specialized Focus for Other Social Media
One of the advantages of social media is that communities can form around ideas and commonalities, regardless of the physical location of their members. Although major social media such as Facebook or YouTube may garner the majority of the traffic, smaller media such as Pinterest may be more successful for some products and services.
This continuous connection present in mobile marketing has led to important smartphone apps, such as:
Price-comparison searches. Scan product bar codes or QR codes and research 500,000 stores, synchronizing searches between your computer and your smartphone. Location-based promotions. Use your GPS-enabled smartphone for location check-ins to receive discounts at stores such as JCPenney. Loyalty programs. Win loyalty points for walking into stores such as Target or Macy's and receive discounts from them.
Role of the PepsiCo Brand Manager
The PepsiCo brand manager composes title, copy, and images or photos for the social media ad. She often specifies the Web address to which its ad should link based on the brand's social media marketing goals. To increase awareness and build up a fan base, she might link the ad to the PepsiCo website or its Facebook, Twitter, or Pinterest sites. Ideally, to encourage and produce new sales that can be tracked, she must link the ad to a coupon code, a specific product on the PepsiCo website, or other promotional offer.
Media richness
This involves the degree of acoustic, visual, and personal contact between two communication partners—face-to-face communications, say, being higher in media richness than telephone or e-mail communications. The higher the media richness and quality of presentation, the greater the social influence that communication partners have on each other's behavior.
From a brand manager's viewpoint, here are some of the frequently used Facebook measures, moving from the more general to the more specific:
Users/members. Individuals who have registered on a social networking site by completing the process involved, such as providing their name, user ID (usually an e-mail address), and password, as well as answering a few questions (date of birth, gender, etc.). Fans. The number of people who have opted in to a brand's messages through a social media platform at a given time. Share of voice. The brand's share or percentage of all the online social media chatter related to, say, its product category or a topic. Page views. The number of times a Facebook Page is loaded in a given time period. Visitors. The total number of visitors to a Facebook Page in a given time period; if someone visits three times in one day, she is counted three times. Unique visitors. The total number of unique visitors to a Facebook Page in a given time period; if someone visits three times in one day, he is counted only once. Average Page views per visitor. Page views divided by visitors in a given time period. Interaction rate. The number of people who interact with a Post ("like," make a comment, and so on) divided by the total number of people seeing the Post. Click-through rate (CTR). Percentage of recipients who have clicked on a link on the Page to visit a specific site. Fan source. Where a social network following comes from—with fans coming from a friend being more valuable than those coming from an ad.
Blog
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. Companies such as Hewlett-Packard and Frito-Lay routinely monitor blogs to gain insights into customer complaints and suggestions.
a virtual pinboard and content-sharing social network, allows people to "pin" or share images of their favorite things such as clothing, craft ideas, home décor, and recipes.
wiki
a website whose content is created and edited by the ongoing collaboration of end users—such as generating and improving new-product ideas. They differ in that a blog is a diary that shows a sequential journey while a wiki shows the end result as a single entry.
social media
are online media where users submit comments, photos, and videos—often accompanied by a feedback process to identify "popular" topics. The term "social media" is sometimes used interchangeably with the terms "Web 2.0" and "user-generated content"—two concepts that are the foundations of today's social media. Web 2.0 does not refer to any technical update of the World Wide Web, but identifies functionalities that make possible today's high degree of interactivity among users. So with Web 2.0, content is no longer seen as being created and published in final form exclusively by one author. Instead, the content can be modified continuously by all users in a participatory fashion, such as with blogs and wikis.
Social media
deliberately seek to ensure that the message does not end with an individual receiver. Instead, the goal is to reach "active receivers," those who will become "influentials" and be "delighted" with the brand advertised. These customers will then become "evangelists," who will send messages to their online friends and then back to the advertiser about the joys of using the brand. -- a brand manager tries to select and use one or more of the options from the hundreds that exist. This often entails assessing (1) the characteristics of the website's visitors and (2) the number of users or unique visitors to the website. --Both marketing research organizations and the social media themselves provide user profile data for the social media to help brand managers choose among them. As presented earlier, the top row of Figure 16-2 shows a recent profile of the U.S. male-female audience breakdown for four major social media. As shown in the figure, Facebook users are 54 percent female and 46 percent male, while YouTube users are distributed equally, important differences to brand managers allocating promotion budgets.
is a business-oriented website that lets users post their professional profiles to connect to a network of businesspeople. These businesspeople are also called connections. This social network has more than 410 million registered members who conduct 6 billion professionally oriented searches annually. Because of its popularity, more than 4 million companies have LinkedIn Company Pages to post news and job openings. LinkedIn's international presence, too, is staggering, as it is used in more than 200 countries and 24 languages. --Marketing managers can use LinkedIn to promote their brand in subtle ways. This is done mainly for business-to-business (B2B) image building and networking with industry-related groups. Using LinkedIn, brand managers can demonstrate the organization's expertise and create and moderate discussion groups. --41 percent see LinkedIn as potentially beneficial to their company—more than twice that for Facebook, Twitter, or YouTube.
smart system
is a computer-based network that triggers actions by sensing changes in the real or digital world.
YouTube
is a video-sharing website in which users can upload, view, and comment on videos. YouTube uses streaming video technology to display user-generated video content that includes movie and TV clips, music videos, and original videos developed by amateurs. --YouTube offers great opportunity for a brand manager to produce and show a video that explains the benefits of a complex product. Because YouTube is owned by Google, it incorporates a search engine, so users interested in a specific topic can find it easily.
is a website that enables users to send and receive tweets, messages up to 140 characters long. Twitter is based on the principle of "followers." So when you choose to follow another Twitter user, that user's tweets appear in reverse chronological order on your Twitter page. --With the 140-character limit on tweets, brand managers cannot expect extensive comments on their brands. But they can use social media management tools such as TweetDeck or HootSuite to see what Twitter users are saying—good and bad—about both their own brands and competitive ones. They can then respond to the negative comments and retweet the positive ones.
is a website where users may create a personal profile, add other users as friends, and exchange comments, photos, videos, and "likes" with them --has enhanced or added to its texting, photo- and video-sharing, and virtual reality capabilities with its acquisitions of WhatsApp, Instagram, and Oculus Rift. With more than 1.7 billion active users—1 in every 5 people on the planet—Facebook is truly the 900-pound gorilla among all social media. --To generate new customers and increase traffic to their Facebook Pages, brand managers can use paid ads and sponsored stories within the Facebook advertising platform.
Performance Measures Linked to Inputs or Costs
one starts with a measure tied only to costs (cost per thousand, or CPM), then moves to a measure of interest in a product (cost per click, or CPC), and finally moves to a measure linked more closely to the sales revenues generated from the social media ad or action (cost per action, or CPA). The cost per thousand (CPM) measure ties to the number of times the ad loads and a user might see it—but not whether the user has actually reacted to it. The cost per click (CPC) measure gives the rate the advertiser pays, say to Facebook, every time a visitor clicks on the ad and jumps from that page to the advertiser's website. Finally, the cost per action (CPA) measure ties loosely to actual sales—for example, paying $5 for every purchase that originates from an ad, say, on the Facebook site.
User-generated content (UGC)
various forms of online media content that are publicly available and created by end users. The term "user-generated content" (also referred to as consumer-generated content) was in common use by 2005 and covers all the ways people can use social media.
