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  • 1.       Hypnotherapy Training Institute of Britain   International Marketing   Prof.  Daniel  Vidal                   13th of December 2010     Erika Raigoso Hernandez Olli Lainto   Adriana Mancilla Magallon Charise Mason Nataliya Mogilevskay Arief Budiman Njonoriswondo     Paul-Valentin Pitou   1  
  • 2.  EXECUTIVE SUMMARY………………………..……………………………………………………3PHASE 1………………………………………………………………………………………………14 HISTORY…………………………………………………………………………………….14 PRODUCT…………………………………………………………………….……………..15 PRICES………………………………………………………………………………………16   PLACE……………………………………………………………………………………….16 SERVICE………………………………………………………………………...…………..16 ISSUE………………………………………………………………………………………..17 MAIN TERRITORIES……………………………………………………………………....17 MAIN WANTS AND NEEDS OF PARTICIPANTS………………………………..……20 CHANNEL MIX………………………………………………………………………..…….21 INTERACTION………………………………………………………………..…………….22 MARKET…………………………………………………………………………………….23 BUSINESS GOALS……………………………………………………………………...…23 CREATIVE CONCEPT……………………………………………………………………..24PHASE 2……………………………………………………………………..……………………….24 TARGET TERRITORIES…………………………………………………………………..24 TARGET PARTICIPANTS……………………………………………………..………….27 FIELD AND DOMAINS………………………………………………………...…………..29 ALIGNING GOALS WANTS/NEED………………………………………………………31 OPPORTUNITIES…………………………………….…………………………………….31 CHANNELS………………………………………………..………………………………..32PHASE 3………………………………………………………………………………………………34 REACH OPTIMUM DEFINITIONS………………………………………………………..34 ANALYZE THE CHANNELS………………………………………………………..…….34 EXTRACT A BLOCKED MISSION……………………………………………………….34 UNBLOCK TO OBTAIN MISSION SOLUTION…………………………………………35 TRANSFORM THE MISSION SOLUTIONS INTO PLATFORM PROPOSITION (S)………………………………………………………………..………..40 JOURNEY…………………………………………………………………………….……..41 ATHMOSPHERE……………………………………………………………………………41 SEGMENTATION…………………………………………………………………………..41 FRANCHISING MODEL FOR HTI……………………………………………..…………43 CHANNEL MIX…………………………………………………………………………...…49 WEBSITE……………………………………………………………………………..……..51 DIGITAL AWARENESS PLAN – SEO……………………………………………….….53 SOCIAL MEDIA PLAN……………………………………………………………….……60 VIRAL MARKETING PLAN…………………………………...…………………………..61 CONTENT PUBLISHING PLAN……………………………………...…………………..69PHASE 4………………………………………………………………………………………………73 CHANNEL SYNCHRONY……………………………………………………………………73 PLATFORM PROPOSITION………………………………………………………………..75 COMPETITIVE DIFFERENTITATION……………………………………………………...76 CONTENT OUTLINE (COMPANY PROVIDED)………………………………………….78 CONTENT OUTLINE (CONSUMER CREATED)…………………………………………79 STEEPLE ANALYSIS…………………………………………………………………….….80 GEERT’S HOFSTEDE CULTURE INDEX……………………………..………………….80APPENDIXES……………..………………………………………………………………………….87 APPENDIX 1…………………………………………………………………………………..88 APPENDIX 2…………………………………………………………………………………..89 APPENDIX 3……………………………………………………………..……………………90 APPENDIX 4 STEEPLE……………………………………………………………………..92REFRENCES……………………………………………………………..…………………………132   2  
  • 3.  EXECUTIVE SUMMARYHTI is a leading Clinical Hypnotherapy training company mainly Located inLondon, UK which provides different levels of training courses includingcareer training and personal application with supporting teaching materials(Books, CD`s) for people who want to Achieve several goals as: - Upgrade their skills - Improve Mental and Emotional condition. - Turn in a positive and benefit way Professionals Career - Change people lives by providing an effective and educative therapeutic methodAcross the following phases 1&2 relevant information is going to be providedto learn how HTI is using now and will use digital channels to promote, sell,and provide its qualified service as an educative company by a high-qualifiedbody of professionals which is represented by Dr John Butler who has morethan 20 years of experience in this field.So the target market for HTI is a student from wide range of age from 20 to 55years with a predominant preference by women corresponding to almost70% and it is segmented in three different groups:1.Professionals with any clinical Background who want to improve theirprofessional enhancement.2.People who want to make a change in their careers or lives.3.Students who start Hypnotherapy as a career from Europe, United States,United Kingdom and Asia.PHASE 1 Phase 1 gives a current overview of how HTI is promoting, selling and creating brand awareness with its clients through digital channels as: The Main Website, twitter and LinkedIn Account and a Blog, which are still undeveloped. Here is released the strategy HTI is using to connect current and future customers by providing a high qualified education service andproducts through the digital channels mentioned previously.Although business goals are presented allowing HTI measure the gapbetween HTI actual strategy and the future strategy.   3  
  • 4.  Some of the important goals for HTI are:− Increase sales of courses and teaching materials substantially− Increase numbers of students by at least 50% over the next 12 months− Increase the sales of teaching materials by 70% over the next 12 months− Draw more students from continental Europe and the USA− Expand the market to medical, dental and nursing professionals− Increase our visibility and activity on the Internet− Increase the rate of conversion from online enquirers to committed trainees− Market hypnotherapy products (CDs, DVDs, books, etc.)− Disseminate information and increase discussion on hypnotherapyBased on the creative concept the digital channels should be adjusted toachieve the goals and satisfy customer needs.“Know Yourself Better”, this is a training course to let you know about“understand”, ‘learning” and “healing”.PHASE 2On the contrary Phase 2 proposes a complete turnover for the company inorder to obtain more advantages of the current digital channels for engaging,interact sell and promote the brand and product with the customers.After searching the opportunities and threats important results were providedand considered as relevant to create a new digital marketing campaign forHTI based on the following channels:- SEO: Ranked in the top 5 Search engine used by people in United Kingdom.- Facebook: Statistic results show that Americans spend nearly to a quarterof their time online on social networking sites corresponding to 43% ofincrease.- Twitter and LinkedIn Account: Considered as useful channels to provide clue information and instant messaging about HTI in real time to clients.- Main Web site: Redefined the creative and usability of the website wherethe clients can interact more with the company such as forums ,blogs but also to have relevant content and information based on their main needs and wants, also videos to show successful hypnotherapies and possibly even portions of classes, Create a feeling of being part of HTI as a member, relate hypnotherapy content with sense of nature ,relief and healing sense.   4  
  • 5.  Even if HTI want to have an outstanding behaviour within the market it shouldtake into account the competitors, if we take a look forward we will see howthese companies differ from HTI, the most important are:• London College of Clinical Hypnosis• The UK college of HypnosisFor finalizing, Its important before implementing any digital marketingcampaign to search the market and see how my clients are responding to mychannels, but also its relevant to evaluate how aligned my goals are withcustomers needs and wants, for the case of HTI Is important to evaluate thechannels that are going to be implemented to exposure potential customers tolearn Hypnotherapy ,And the strategy that will be used to make customersinteract with the main website but also to maintain professional status andhighly qualified image of HTI.Phase 3To come up with a new channel mix and the solutions for how approach theproject we first wanted to reach the optimum definitions for all the different keyfactors i.e. product, participants and concept. We continued on to do thefollowing: - ANALYSE THE CHANNELS - EXTRACT A BLOCKED MISSION - UNBLOCK TO OBTAIN MISSION SOLUTIONS - PROVOCATION - CONFRONTATION - SENSORY TOUR - TRANSFORM THE MISSION SOLUTIONS INTO PLATFORM -PROPOSITION (S)From this we came up with the new channel mix’s benefits:Emotional Benefit: Self Confidence, Achievement, Relief, Endurance,Freedom - It makes you a “sustainable human being” (you become confident inyourself you know that you have the ability to endure anything that livespresent you)   5  
  • 6.  Functional BenefitMain benefits: Clears your mind, Control your mind, Heals your mind • Clears your mind because the process erases any past experience and perception that may be blocking your life or holding you back not allowing you to be self aware of your inner capabilities.EMOTIONAL + FUNCTIONAL:HTI makes you a self-confident (endurable) person because it clearsyour mind from your perceptions.SEGMENTATION:- Professionals (NEO PLUS) Medical practitioners, Therapists, Doctors etc.- Personal growth NEO GROW) People seeking personal growth to improvetheir lives- Alternative careers (NEO PRO) People seeking for an alternative career orpost retirement career in helping othersFranchising Plan for HTIFranchising HTI alumni will enable the Institute to expand its brand name andservices in a quick and effective way. The objective is to build a network ofhypnotherapists that would share the same standard of practices and tomaximize profits thanks to the fees and royalties the company will receivefrom the franchisees.When we look at Patrick Holfords Institute for Optimum Nutrition (ION), werealise that the two Institutes are essentially the same as they are both on anunstructured market (i.e. no official certification in their respective sector)dealing with wellness and offering courses to nutritionism professionals andnon-professionals. The main difference is that IONs marketing is moreeffective in a sense that Holford succeed in "promoting" his company to thewild public via radio, TV, etc. IONs alumni are also part of the Institutenetwork which gives the impression of a serious and wealthy oranisation.By franchising its alumni, HTI will give the impression to the public that thecompany is well structured and the Institute will also look more credible. Thecompany will look more attractive which should be traduced by an increase ofthe number of clients, and thus an increase of its revenue.However, franchising requires John Butler and HTI to provide regular supportto the franchisees, such as webinars and articles broadcasted via the websiteand social media. Efficient digital marketing campaigns are thus necessary.   6  
  • 7.  Channel Mix for HTI:- SEO- Social Media (Facebook, Twitter, LinkedIn)- Blogs- Content Publishing- Viral PlanSEOIn order for HTI to expand their business and increase awareness of thecompany and the benefits of the services they offer, they need to set up asearch engine optimization plan, which will be one of their long-termstrategies. The plan presented here gives a general outline into the basicsteps required for the successful optimization of the HTI website and theirranking in search engines. The team assessing SEO will require both aserver-log file based solution and a browser-based solution for completeanalysis of SEO effectiveness. This strategy requires a long-term cost /benefit analysis, so that the correct amount of investment can be optimized(Econsultancy, 2009).The objective will be to have HTI appearing highly ranked on the naturallistings of the first page of Google, when certain keywords are searched. Thepaid and sponsored listings, which appear when searching for informationabout hypnotherapy and related topics, are bad in terms that they re-enforcethe negative connotation associated with the industry. Most of the paid resultsadvertise quick fixes and certificates that can be acquired online and withminimal effort. We propose HTI not to try to compete among these charlottesand waist money on the paid searches (Econsultancy, 2009).Viral Marketing PlanOur marketing viral campaign is going to be develop through our main digitalchannels as Facebook, NEO main web site,e-mail,YouTube,Twitter andLinkedIn account.The main goal for NEO is to spread qualified content through digital channelsto engage participants with the Main web site catching up their attention andinterest in the products and service NEO is providing, • Neo Facebook fan page is going to be applicable to share,share and share content through building a sizeable presence on facebook , so sharing a video with entire friends list can have a real impact for the organisation. Other idea is to create different events that announces the video launch, inviting friends, writing a note and tagging friends ,but also posting the video on Facebook with a link back to the original YouTube Video. • Email Lists: After gathering a data base of all our current participants we are going to send a link with different videos to an email list, and   7  
  • 8.   depending on the size of the list (and the recipients` willingness to receive links to YouTube videos),so it will be a very effective strategy. • Forum: We are going to start new threads and embed our videos, kick- starting the conversations by setting up multiple accounts on the forum and posting back and forth with different users. So we are going to reach enough people to work on it, so we can have a tremendous effect on spreading the content through the forum. • Games: Another way of engaging people to NEO will be through two different links one from NEO main website and the other one from Facebook Fan page where people can go and play different games related with how to upgrade different skills depending on the customers preferences. • Tests: Tests will be host in special sources, after participants make the test they will obtain results at the end of it and they will have a code where they can post it and copy in the blog, it allows participants to have a button to share ,link to share the content in the NEO website, but also the possibility to share the results in twitter and LinkedIn account.Tie-up Global Wellness Campaign: NEO Wellness Tie-up and alignmentcampaign with the big wellness conventions and fairs in the key cities in theUK and the USA.Jhon Butler will participate in wellness conventions and health fairs/exhibitionspromoting through showcasing Neo with the use of famous wellnesspractitioners.It is important to make sure every participant of Neo have access to watch thevideos, Tests, Games, forums and trying to get them to email out to theirfriends or at least to share them in Facebook.Furthermore is important to take into account that interactive content will drivevisitors back to the site, so our videos will fit into a great concept of wellness,power mind, upgrading professionals skills changing people lives.SOCIAL MEDIA PLANFacebookTarget market:Facebook will help HTI to get awareness from people that may be interestedin using hypnotherapy for personal growth and for a career swift.Two reasons for choosing this channel are:   8  
  • 9.   a) With its exponential reach, we can start gathering people that have already some kind of contact with HTI (current and ex alumni and business acquaintances) b) Getting endorsement from those who have already had experience with hypnotherapyWe will make a Fanpage HTI inviting everyone on HTI’s current network tojoin. That will be the best way to exploit the knowledge Dr. Buttler has abouthypnotherapy and human nature. We will make little articles about “personalgrowth” that will be placed at the Fanpage homepage, inviting people to givetheir own experiences about the subject.Some example themes, that are very close to daily life and are appealing topeople who seek personal growth would be:• “Gain financial success with creative mind power”• “How to overcome stressful life without changing your city”• “Wondering minds lead to unhappiness”• “Stopping smoking is easier than it looks like”• “Why do you bite your nails?”• “Get a real good night sleep”Once people have read the article, there will be a place to comment, andagain, the comment will be shown in their friends’ newsfeed. There will alsobe a tool for them.LinkedIn:Target market: There is a particular nieche on the segment of persons whowould seek personal growth that are the professionals that need to enablethemselves to do better in their business or career path. Linkedin is the bestway to get to them.How LinkedIn will be utilized:We will make a Group of interests in Linkedin With a small fee subscription wecan get with an advanced search the people of our interest.The group will only have the purpose to provide this group with informationabout topics such as: - “Gain financial success with creative mind power - “Why today´s managers fail?” - “Set your mind to achieve your goals” - “Couch yourself to succeed” - “Empower your team” - “Achieve personal and professional advancement”TwitterTarget Market:More than a massive channel, we want to have the customers communitieslinked by twitter.Potential alumni: We will twit the headlines of the articles published in orderto get the chance to invite people to the webpage.   9  
  • 10.  HTI can build a good relation with their customers and students by providingupdate information about wellness and hypnotherapy, giving a useful link ofvideos and press releases.Community of franchisers: Maintain them informed about new member ornew resources for the community (articles and webinars).Alumni: Give away free voucher or any other promotion to the communitythat are already in a way connected to the company, we can send them“codes” that can be plugged in in order to get discounts in the e-library forexample.Content Publishing PlanHTI’s content publishing plan will be executed by publishing articles throughblogs, forums and having them on the HTI website as well. The content willcomprise of different types of topics, depending on which of the threesegments it is targeted for. The articles will also vary on the level ofprofessionalism, for example while others will be about the latest scientificresearch, others will be about practical every day exercises people can do tocontrol their anxiety or smoking.For the publishing of video content we will use the HTI website and we’ll alsocreate a Youtube Channel that will broadcast short films about howhypnotherapy is taught in practice and how it is benefiting people.Final method for creating engagement with people will be webinars. A keyfeature of a Webinar is its interactive elements, the ability to give, receive anddiscuss information. Contrast with webcast, in which the data transmission isone way and does not allow interaction between the presenter and theaudience. The webinars will cover different topics from more advanced topicsfor people already involved with HTI brand to more practical ones for formerand current students about personal growth and control. The webinars will beavailable for pre-order online and later as downloadable webcasts andpodcasts (GoToWebinar, 2010).    PHASE 4CHANNEL SYNCHRONY (on-line & off-line)We will use the channels to achieve 2 goals: Acquire new customers andmaintain and strengthen a relationship with current students.The content developed for each channel is designed to develop differentcommunities that we will build across the life stages of the product generatingtraffic to each other.In order to get the buzz running we will have a launching event, where we willexplain the main concept and will invite people to join us.After each event/conference we will ask people to give us their data in order   10  
  • 11.  to later on, invite them to join any of out communities.We will identify influencers such as bloggers and will invite them all to a freeclass to get them to talk about HTI to the people they influence.There will be cross-promotion activities and every printed material will bereferenced to the fanpage and website.HTI will participate in the top 5 wellness events in London.On the website, we will add Facebook and Twitter buttons in order forprospects to follow the company on social media.Messaging: For people seeking for personal growth we will communicate awide range of free tips to use in their life, inform them about courses, andaccess to current students. For people professional purposes we willinformation about the applicability to their practices.For people seeking forcareer change we will talk about how they can gain money applying thepractices and the franchising model.Types of content:Webinars and webcasts aimed for the three different client segments.Articles with HTIs self-published material also covering multi-part seriesfollowing student’s journeys from a novice into a hypnotherapy expert inpersonal growth or as a member of the HTI franchise.Forum discussions targeted for the current and former students and peopleinterested in becoming part of the HTI family. We will have three-layeredsegmentation for current and former students. The forum discussion will bestimulated by the HTI admins.Blogs HTI’s key personnel will keep and update their blogs. The topics willvary between the three main segments. HTI will also have guest bloggers(influential authorities) to increase traffic and backlinks to the website.Photos Photos on the website have the purpose to create the right kind ofemotional feeling of calmness and relaxation.Music on the website for the creation of a relaxed and calm sensations.Video distributed through the website and social medias, with the three-layered segmentation.Games available at the HTI website and on their Facebook page are meant tohighlight what strengths and weaknesses a person might have. They aretargeted for people seeking personal growth. The idea of the game is that youcan “upgrade” your skills and have the option to share your scores with yourfellow students.   11  
  • 12.  To keep the buzz up: To increase the effectiveness of the published contentand keep it up-to-date HTI will be establish affiliate partnerships withcompanies from the top wellness industries around the world such as Yoga,Taibo, Pilates etc. We will also participate in the following wellness relatedevents in the UK: - FitPro Spring Convention 8-10 April 2011 at Loughborough University - Mind, Body and Beauty Show-Harrogate 19 March 2011Content Outline (Consumer-Created)Students wishing to start their own practices will be provided with all theinformation and data required, as well as a best-practice guide for starting upthe business and promoting it. Carefully selected students will be assigned tofollow-up stories covering student journeys so that we can ensure the qualityof the writingsOn the HTI website we will have quick links enabling sharing of contentthrough Facebook, LinkedIn and Twitter.Cultural considerations: We strongly recommend to focus on aggressivelypenetrating the UK, developing later franchisees in other countries. In thatcontext when expanding we will have to consider that the course must bewell-explained and understandable, promoting and explain the main benefitsthat can be applied directly or short time. Males and females should betreated equally as well as not be classified depending on their status or jobranks. Teamwork should also be applied. Do’s and Dont’s in the businessetiquettes of each country.                                         12  
  • 13.          PHASE 1HISTORYBritain has a wide history in hypnotherapy lets have a look to the followingevents:The term “hypnotism” was first referred for Scottish surgeon James Braid, inhis unpublished Practical Essay on the Curative Agency of Neuro-Hypnotism(1842) as an abbreviation for "neuro-hypnotism," meaning "sleep of thenerves."1In 1892, the British Medical Association (BMA) commissioned a team ofdoctors to undertake an extensive evaluation of the nature and effects ofhypnotherapy. The Committee, having completed such investigation ofhypnotism as time permitted, have to report that they have satisfiedthemselves of the genuineness of the hypnotic state.2On April 23, 1955, the British Medical Association (BMA) approved the use ofhypnosis in the areas of psychoneuroses and hypnoanaesthesia in painmanagement in childbirth and surgery.“In addition to the treatment of psychiatric disabilities, there is a place forhypnotism in the production of anaesthesia or analgesia for surgical anddental operations, and in suitable subjects it is an effective method of relievingpain in childbirth without altering the normal course of labour.” 3At this time, the BMA also advised all physicians and medical students toreceive fundamental training in hypnosis.National Occupational Standards (NOS) for Hypnotherapy was published in2002 by Skills for Health, the Governments Sector Skills Council for the UKhealth industry. The Qualifications and Curriculum Authority started conferringoptional certificates and diplomas in international level through NationalAwarding Bodies by assessing learning outcomes of training /accrediting priorexperiential learning. It constitutes one of the most significant documents inthe history of hypnotherapy research.Specific Objective:Hypnotherapy Training Institute of Britain currently operates out of London.For an average of 8 weeks a year, with 10-20 students in each class, a varietyof courses take place. Clients typically take courses to career change or addto existing skills.                                                                                                                1 Wikipedia. History of hypnosis.2 British Medical Journal (1892). Great Britain.3 British Medical Journal (1955). Medical use of hypnosis. Great Britain.   13  
  • 14.  General Objectives: • Train your brain to use your deeper but most effective resource, your mind, through a professional method recommended by long- established hypnotherapies organizations. • The hypnotherapy is a therapeutic process to improve the condition of individual with labour fatigue, increasing his strengths in his labor and social environment. • These participants joined hypnotherapy for several reasons; mainly many are unhappy with working in “the corporate or state sector” and wish to shift their career. Other main group are looking for “retirement career” for them to do when they retire. A small group comes from the medical sector hoping to be able to apply hypnotherapy into their work1. There are also a small number of students outside of UK who came here due to the reason that their home country does not offer hypnotherapy or the quality offered is only subpar.PRODUCT:The main products HTI provide are Hypnotherapy training courses, but alsothe following books, CD`S and DVD`S: • The Science of Getting Rich (Financial Success through Creative Mind Power) By Wallace Wattles - £5.95 • Hypnotherapy by Dave Elman - £29.95 • The Miracle of Mind Power By Dr. Dan Custer - £9.95 • Self-Hypnosis & Other Mind-Expanding Techniques By Charles Tebbetts - £8.95 • Self-Hypnosis as Anaesthetic in Surgery DVD By Dr. John Butler - £5.95HTI also offer courses of hypnotherapy for therapeutic transformation, clinicalhypnotherapy, advanced analytical, and medical hypnotherapy.”4(Moises Navarret, 2010).                                                                                                                   14  
  • 15.  “As a product HTI has been creating and offering useful courses for careertraining or personal applications. It includes different levels (basic,intermediate, high, and advanced) depending on client needs. Furthermore, ithas an important added value which is the way they provide the service with“know-how” due to the deepest and valued knowledge coming from a trainingbody which is a highly qualified team that belongs to the Training Institute ofBritain as one of the most recognized organisations long established and theoldest in the UK, bringing confidence and credibility to the current and futureclients in terms of reliability and experience.”(Erika Raigoso ,2010)“Training Courses with teaching materials such as audio/ video cassettes,CD/DVDs and books are provided to the students. The Training courses aredivided into four modules that are hypnotism for therapeutic transformation,clinical hypnotherapy, advanced analytical hypnotherapy and medicalhypnotherapy. The course will take over 200 hours of learning the principlesand practices of hypnotherapy in the classroom under the guidance of theinstructors”. (Cheung Woo Yee, 2010).PRICES: • Course 1: Hypnosis for Therapeutic Transformation: 6 days intensive training providing 50 hours of classroom tuition: Cost: £695 (includes over £100 of course materials). • Course 2: Clinical Hypnotherapy Course: 6 days intensive training providing 50 hours of classroom tuition Cost: £625 (includes course materials). • Course 3: Advanced Analytical Hypnotherapy Course: 6 days intensive training providing 50 hours of classroom tuition. Cost: £625 (includes course materials). • Course 4: Medical Hypnotherapy Course: 6 days intensive training providing 50 hours of classroom tuition. Cost: £625 (includes course materials). • Course 5: Medical Hypnosis Course For Physicians: Costs £525, Length of course 5 days. • Course 6: Hypno surgery for surgeons and anaesthetists: Cost: £195, Length of course 2 days. • Course 7: Upgrade training course: 6 days intensive training providing 50 hours of classroom tuition Cost: £625 (includes course materials). • Course 8: Advanced Training: Cost: £525, Length of course 5 days.PLACE:Customers can find HTI products and service in the website as online Books,DVDs and CDs even though few of them are sold on it. In the case ofhypnotherapy training courses people can book them online depending ontheir preferences.SERVICE:   15  
  • 16.  Hypnotherapy courses by teaching the art and science of hypnotherapyproviding a service of education.As a product HTI has been creating and offering useful courses for careertraining or personal applications. It includes different levels (basic,intermediate, high, and advanced) depending on the client wants and needs.Furthermore, it has an important added value which is the way they providethe service with know-how due to the deepest and valued knowledge comingfrom a training body which is a highly qualified team that belongs to theTraining Institute of Britain as one of the most recognized organisations longestablished and the oldest of the UK, bringing confidence and credibility to thecurrent and future clients in terms of reliability and experience.ISSUE:    Mystified Field with lack of credibilityHTI offer courses of hypnotherapy for therapeutic transformation, clinicalhypnotherapy, advanced analytical hypnotherapy, and medical hypnotherapy.    MAIN TERRITORIESThe greatest interaction of the existing platform is the United Kingdom, theUnited States, and continental Europe.  -Ireland with a separate organisation (Hypnotherapy Training Institute ofIreland).-Lesser Extent of the rest of Europe.-HTI is located in the United Kingdom, specifically in London. Students comemainly from the UK and Continental Europe, but there are some from Asia,the Middle East, and America as well. Most students find HTI online andbegin interacting through the HTI Website.Customers ProfilesGeneral Profile-1st Group:Group of professionals with any background similar to hypnotherapy, like:Medical, Nursing, dental, psychologists, practitioners therapists among otherswho are interested in giving an added value to their careers also they have adetermined knowledge and skills to be taught.-2nd Group:Group of people recently retired with an interest of continue working in orderto have more incomes during their retirement lives, and people from the publicwho want to study hypnotherapy.-3rd Group:Students who need at least some level of education (bachelor degree,primary, secondary) and want to study hypnotherapy as a career.   16  
  • 17.  Total of sample: 19 students GENDER   Series1,  Male,  6   Series1,  Female,  13   RESIDENCE     Series1,  Asia,  1   Series1,  Europe,  1   Series1,  UK,  17     17  
  • 18.   ORIGIN   Series1,  Latin   America,  1   Series1,  Usa,  1   Series1,  Asia,  1   Series1,  Middle   East,  1   Series1,  Europe,  4   Series1,  UK,  11   EDUCATIONAL  STATUS   Series1,  have   secondary   education,  7   Series1,  have   tertiary   education  min   Bachelor  degree,   12   OCCUPATIONAL  STATUS   Series1,   complementary   therapists.,  5   Series1,  civil   servant,  1   Series1,  ofNice   Series1,   administrator,  1   accountants,  2   Series1,   paramedic,  1   Series1,   Series1,   psychologists  (1   proprietors  of   Series1,  artist,  1   currently   own  businesses,  2   unemployed),  3   Series1,    skilled   manual  workers   Series1,    student,   (1  currently   1   unemployed),  2     18  
  • 19.   AGE   Series1,  50-­‐54,  2   Series1,  45-­‐49,  3   Series1,  40-­‐44,  2   Series1,  35-­‐39,  5   Series1,  30-­‐34,  4   Series1,  25-­‐29,  2   Series1,  20-­‐24,  1  Graphics taken (Gabriela Dona, 2010)After evaluating the above statistics we can see that majority of participants inHTI are females with range of age from 35-39 from United Kingdom, most ofthem middle class, and with clinical background as Complementary therapistsparamedic, psychologists among others.At the moment, HTI is not promoting successfully their products and services,more than some digital platforms as the main website, usage of LinkedIn andTwitter account where their products are displayed but its missingengagement interaction and relevant content in the current strategy HTI isusing to sell the service.Specific Profiles: Gender Origin Residence Age Professional expectations Female Europe UK 35- 39 Formerly psychological professional, moved to commercial application, seeking to return to clinical application with new approach of hypnotherapy Male UK UK 30 - 34 Formerly computing consultant, now proprietor of own computer consulting business, trained in NLP, seeking to expand/move to human rather than virtual problem-solving   19  
  • 20.   Female UK UK 45 – 49 Homemaker, children now adult, trained and practising in complementary therapies, seeking to expand services in this area by offering hypnotherapyGraphic taken from “(Gabriela Mata, 2010)MAIN WANTS AND NEEDS OF PARTICIPANTS:Most participants want to advance their career, especially care professionalswho have a desire to use hypnotherapy along with their current speciality.Some of the participants just want to gain this skill for their own personaluse. (John ButlerB).Practicing therapists who wish to upgrade their skills and refresh / add totheir knowledge. Some practitioners undertake our courses to retrain in anin-depth approach to hypnotherapy as they recognize that their previoustraining(s) were wholly inadequate for the demands of professional clinicalpractice. - (Butler 2010) “Individuals who have recently retired and who are looking for a “retirementcareer” or “third-age career” with perhaps financial pressure to generatesome income in their retirement. Some of them want to work only part-timeas they can do with hypnotherapy.” (Marta Tolosa, 2010)“According with the information provided by HTI, the participants are “seekingpersonal development and most seeking to move career, expand existingcareer either immediately or in future”. In the charter of the company, HTIactually offer develop “great subconscious resources of every person toenable them to live fuller, happier, more successful lives“According to the participant of HTI who was contacted via e-mail, sheexpected to receive more tips about hypnotherapy, update information of thefield, material related with the topic and also more insides of HTI’s professorsand experts. It was particularly important that this participant mentioned JohnButler as a figure that can attract customer’s attention with emotionalmessages.”“According with the information provided by the HTI participant via e-mail, herwants and needs are not related with the content of HTI’s digital platforms.Actually, the information in all of these digital platforms are not updatedregularly, and is very limited to rational information about the courses theyoffer, and general data about the company.”(Gabriela Mata, 2010).CHANNEL MIXSo far the main channel that HTI is using right now is Main which applies for all territories. They are also using LinkedIn to   20  
  • 21.  main connections with other students, twitter and a blog but these channelsare still underdeveloped. Most of the students would use the website andconnect through LinkedIn.HTI uses search engine optimization, and promotes through print advertisingand word of mouth.Using a search engine is the only way to connect these mediums becausethey do not offer portals to link to other channels.The existing channel in HTI is not strong enough to engage the actual clients.At the moment they have the Main Website, which is frequently used in orderto communicate with their clients and it involves important information aboutthe product and service they are selling, Even though the website has lot ofinformation that can be employed in a different creative and entertainmentway with the purpose of engage their clients with relevant information aboutthe courses letting people to interact with the qualified profile they can acquirein terms of credibility, usability, and know-how which I consider is the biggestcompetence that differentiates this organization from their competitors, butalso the value of hypnotherapy as its powerful and natural strength to be usedin humans beings.Regarding to print advertising at the moment magazines and some mail outsare being used.From my personal point of view credibility and trust for these kind of educativeorganizations is really important and one of the links included in the HTIwebsite is the training body link which introduces the client to have security,and well recognition of It. hypnotherapy training institute of Britain’s trainingprogram is also accredited by the American Council of Hypnotist Examinersand the British Society of Hypnotherapists.Some perspectives of the current use of digital channels:“The leaflet, the brochure and the website were showed to some individualsfrom different regions.5These are some of the comments:“It has too much text. I do not even want to read it.”“It looks like corporate things, it is going to take me long to read it.”“It doesn´t show all the power that his product has.”“It is a great product, but needs to be attractive in the materials.”“If they want to make a difference, they should start with the way in which theycommunicate”.(Martha Tolosa, 2010). Survey about HTI advertising. London, Latin America,SpainINTERACTION:Participants engage with the digital platform in order to get information on thecourses and to interact with John. The most visited platform is the website,and about one quarter of participants will join LinkedIn in order to talk to John.(Megan Lowe, 2010)                                                                                                                   21  
  • 22.  HTI in the moment hasn`t taken full advantage of the current digital channelsto allow participants interact with them because the actual strategy is toimplement website as a main source of information about the organization,courses and products such as Books, CDs and DVDs.At the moment HTI provide videos, links related to hypnotherapy issues, andrelevant information of professional training team of HTI, also contact detailsLink allowing participants to communicate directly with them ,and Twitter.comand LinkedIn Account to bring the opportunity to general public to linkinteresting issues about hypnotherapy these enhance a closer relation withactual, old and new customers.But further to the use of these social media channels is to use the data in acreative and smart way to provide information that involve the needs andwants of the clients in order to engage them and let them know why theyshould go just to HTI as an accredited and important organization ofhypnotherapy.Regarding to the territories HTI is mainly focused in United Kingdom, butIreland has already a main website but it hasn`t been developed at all. It canbe considered challenging for promoting HTI service and products.MARKETMAIN COMPETITORS “Our main competitors are the London College of Clinical and The UK college of Hypnosis and Hypnotherapywww.ukhypnosis.comThere are substantial differences between the styles and content of differentcourses that are not necessarily easy to deduce from an initial study of theinformation on websites. There are many schools offering some level oftraining in hypnotherapy, often in conjunction with other forms of therapy, forexample, NLP, EMDR, EFT, TFT, etc. Our training program specializes inhypnotherapy, which we feel requires a minimum of 200 hours exclusivelydevoted to the subject of hypnotherapy alone. The other forms of therapymentioned above require additional study and training separate fromhypnotherapy training.“- (Butler 2010) and (Moises Nevett, 2010).HTI training programme provides unique quality of knowledge abouthypnotherapy which requires a minimum of 200 hours exclusively devoted tothe subject of hypnotherapy alone. The other forms of therapy mentionedabove require additional study and training separate from hypnotherapytraining.US COMPETITORSIn the United States, increasing numbers o medical colleges have startedoffering courses in alternative medicine. For example, in three separateresearch surveys that surveyed 729 schools (125 medical schools offering anMD degree, 25 medical schools offering a Doctor of Osteopathic medicinedegree, and 585 schools offering a nursing degree), 60% of the standard   22  
  • 23.  medical schools, 95% of osteopathic medical schools and 84.8% of thenursing schools teach some form of CAM.6EUROPEAN COMPETITORSSimilarly "unconventional medicine courses are widely represented atEuropean universities. They cover a wide range of therapies. Many of themare used clinically. Research work is underway at several faculties," but "only40% of the responding [European] universities were offering some form ofCAM training (Marta tolosa,2010).BUSINESS GOALS− Increase sales of courses and teaching materials substantially− Increase the numbers of students we train by at least 50% over the next 12months− Increase the sales of teaching materials by 70% over the next 12 months− Draw more students from continental Europe and the USA− Expand the market to medical, dental and nursing professionals− Expand the market to the corporate sector− Increase our visibility and activity on the Internet− Increase the rate of conversion from online enquirers to committed trainees− Market hypnotherapy products (CDs, DVDs, books, etc.)− Disseminate information and increase discussion on hypnotherapyCREATIVE CONCEPT:“Know Yourself Better”, this is a training course to let you know about“understand”, ‘learning” and “healing”. (Cheung Woo Yee, 2010).The creative concept of HTI’s current digital platform is to try to use socialmedia as much as possible in order to reach potential customers.(Megan Lowe, 2010)                                                                                                                6 Medical education, Alterantive medicine.   23  
  • 24.  PHASE IITarget Territories“HTI will primarily be targeting International Territories as well as the UK andIreland where most students currently come from. HTI would like to increasethe number of students from Continental Europe, the US, Asia, and the MiddleEast. (John ButlerB)” (Megan lowe, 2010).“The use of alternative medicine in developed countries appears to beincreasing. The term "alternative medicine" is generally used to describepractices used independently or in place of conventional medicine. The term"complementary medicine" is primarily used to describe practices used inconjunction with or to complement conventional medical treatments”(Marta Tolosa, 2010).Alternative medicine MapGraphic taken from (Marta Tolosa,2010). • USAA 1997 survey found that 13.7% of respondents in the United States hadsought the services of both a medical doctor and an alternative medicine   24  
  • 25.  practitioner.7 (View Annex 7) • UKA British telephone survey by the BBC of 1209 adults in 1998 shows thataround 20% of adults in Britain had used alternative medicine in the past 12months.In defining complementary medicine in the UK, the House of Lords SelectCommittee determined that the following therapies were the most often usedto complement conventional medicine: Alexander technique, Aromatherapy,Bark and other flower remedies, Body work therapies including massage,Counselling stress therapies, hypnotherapy, Meditation, Reflexology, Shiatsuand Yoga.Many people utilize mainstream medicine for diagnosis and basic information,while turning to alternatives for what they believe to be health-enhancingmeasures” (Marta tolosa, 2010)Target Participants“Regarding to the three territories designed for extending the Hypnotherapymarket the participants are going to be those who need this service for theirlives improvement through a combination of Hypnosis and therapeuticintervention, so here the client (Professionals in related backgrounds,students, general public, housewives linked with people retired from theirjobs) will acknowledge how a patient can have a positive change while thepatient is deeply relaxed in a state of suggestibility called trance.Therefore, HTI has three different kinds of participants, and for each of theseparticipants, it’s necessary to build a general profile.General profile of participants that wants and needs personaldevelopment: • UK and USA residents • Individuals between 30- 65+ • Middle class • Tertiary education mainly in careers related with psychiatry and therapists • Searching personal and professional developmentGeneral profile of prospective participants in the corporate sector: • UK and USA residents • Individuals between 30– 55 • High executive • Upper class • At least tertiary education • Searching stress management and professional developmentGeneral profile of prospective participants in the health care sector: • UK and USA residents • Individuals between 30- 55 • Doctors and practitioners in anaesthetics, dental care and psychiatry                                                                                                                7 Journal of alternative and complementary medicine. (1995). USA. Mary AnnLiebert, Inc.   25  
  • 26.   • Upper class • At least tertiary education • Searching professional development “ (Gabriela Mata, 2010)Digital Profile:In The United Kingdom is very popular to use search engine marketing to findany type of issue related to hypnotherapy as an example in youcan find hypnotherapists whom have advertised their own business by Payper click with a company named Leadpros where the customer can find hisname through writing different keywords on the search engine like smoking,hypnosis, disorders, weight loss, stress or hypnotherapy, and with this toolthey can find customers from different geographical areas and also peoplewho have interesting issues to make businesses, so is one of the popularchannel used by hypnotherapists to advertise their services in a successfulway.UK citizens have high participation in online channels (videos, blogs, socialmedia networks, e-mail, search engine optimization, among others), one ofthe reasons is that population can carry out more activities via internetbecause is easier due it saves time, and replace traditional channels liketelevision, radio which means that part of the population is growing in onlinechannels, for example those citizens with internet access at home are morelikely to participate in different services, events than those how don`t have.Some general metrics and statistics of United Kingdom provided by the onlineservice, shows the digital media usage of this targetterritory:Graphic taken from (Gabriela Mata, 2010).Google range the five search engines that United Kingdom consumers use tonavigate in the web.The first social media network used in United Kingdom is Facebook:   26  
  • 27.  Graphic taken from (Gabriela Mata, 2010)“The analysis of twitter platform usage is relevant to the market research,because the first step to build media buzz will be through followers of HTI inthis network. The idea is to spread the brand message via selectedconnectors (in this case, influential persons related with the hypnotherapy,health care, and corporate sector).By the other hand, and according to a Nielsen statistics reports about whatAmericans do online, the results shows that they “spend nearly a quarter oftheir time online on social networking sites and blogs, up from 15.8 per centjust a year ago (43 per cent increase) according to new research releasedtoday from The Nielsen Company. The research revealed that Americansspend a third of their online time (36 per cent) communicating and networkingacross social networks, blogs, personal email and instant messaging”.(Gabriela Mata, 2010)Top 10 Sectors by Share of U.S. Internet TimeRANK Category Share of TimeJune 2010 Share of TimeJune 2009 % Change inShare of Time1 Social Networks 22.7% 15.8% 43%2 Online Games 10.2% 9.3% 10%3 E-mail 8.3% 11.5 -28%4 Portals 4.4% 5.5% -19%5 Instant Messaging 4.0% 4.7% -15%6 Videos/Movies** 3.9% 3.5% 12%7 Search 3.5% 3.4% 1%8 Software Manufacturers 3.3% 3.3% 0%9 Multi-category Entertainment 2.8% 3.0% -7%10 Classifieds/Auctions 2.7% 2.7% -2% Other * 34.3% 37.3%-8%   27  
  • 28.  According to the statistics online service, StatCounter, in United States the topsearch engine is also Google: (Gabriel Mata, 2010)“According to the information provided by some HTI participants – which arepart of the first group of prospective participants, related with hypnotherapistand hypnosis field – the principal usage of creative digital concept is self-promotion and information about personal development. They create blogsoriented toward business purpose. Some of these participants are engagewith HTI’s digital platform, mainly via Twitter.Based on an experimental study done via twitter research with someprospective participants of HTI, the digital content of anaesthetics doctors anddental care professional is focus mainly in self promotional websites in whichthey offer products and service related with their fields. This experimentalstudy was done using the twitter account of the Royal College of Psychiatrists,and the association of Dentistry Research in UK”. (Gabriela Mata, 2010)“The republic of Ireland has a rich media due its small population 3.8 millions,they have 12 national newspapers, and 60 regional newspapers, 150indigenous consumer magazines and nearly 50 indigenous book publishers.Ireland has four national television stations, five national radio stations, anddozens of regional radio stations, also exist an increase presence of internetis popular and diverse and is competing with magazines, books, newspapers,radio and television, even though the presence of internet is growing offeringopportunities to contribute services, products and ideas to the public, so inIreland communications will continue circulating, commercially and sometimesas a result of the government and investment.   28  
  • 29.  These are some of the statistics of Ireland in terms of advertise services byInternet:Number of Individuals with computers 1,360,00 0Computers per 1,000 354.1Number of Individuals with access to 784internetInternet access per 1,000 204.1Internet Consumption (minutes Per 23Day)From my perspective HTI can use as a digital channel Internet which havegood presence in Ireland but also advertising services such as magazinesand newspapers can be useful due is a popular offline channel and as HTIhas just established there so I think can be a good start to use a mixture ofboth.HTI has wide different options to communicate, promote and advertise itservice and product in different territories with really amazing opportunities toretain more customers and keep them engaged with the brand.At the moment, clients do not have much content to interact with HTI theyhave just flyers for information, main website and brochure where you can findall what hypnotherapy involves, which courses do they offer, prices, and theinformation provided in the main website which promotes in some way theircourses, books, and CD`s etc, some of the main things mentioned in thewebsite is the training body of professors they have, which kind of servicethey are providing but also it needs to be more creative to led clients interactwith the organization as well as to allow them to express their suggestionsand experiences of the service they are receiving and the one they will like tohave as for example with a Blog ,forum or membership.”(Erika Raigoso,2010).FIELD AND DOMAINS“Some competitors for HTI are as follows: § The UK College of Hypnosis and Hypnotherapy § The Surrey Institute of Clinical Hypnotherapy § The London College of Clinical HypnosisThese institutions all have similar fees for their courses, and all claim to beaccredited.Only one, the UK College of Hypnosis and Hypnotherapy, has any sort ofsocial media or other type of marketing on their site – this particular institutionuses both Facebook and Twitter. The UK College of Hypnosis andHypnotherapy also has a great website design, which HTI could drawinspiration from for improving their own website.The Surrey Institute of Clinical Hypnotherapy and the London College ofClinical Hypnosis both have rather poor site designs for usability, and neither   29  
  • 30.  seems to link to any other sort of digital marketing platform.” (Megan Lowe,2010)“The most inspiring organization in this field is The UK College of Hypnosisand Hypnotherapy. They have presence in several digital platforms: website,Facebook, Twitter, blog and LinkedIn, and in every platform they keep theimage concept of the brand. They also promote participants interaction viadiscussions forums, and engagement with surveys, videos, updatedinformation related with the hypnotherapy and hypnosis field. With theseinteraction tools, the organization has the opportunity to know wants andneeds of their participants. In general, all the image concept of the brand hasconsistency in their digital platforms” (Cheung Woo Yee, 2010). “In general, these digital platforms have very creative concept thatpromote the engagement of the participants: Simple Machines (the conceptbehind the Museum of Science + Industry in Chicago), (aNational Film Board of Canada website related to the water life), We ChooseThe Moon (an educational website of AOL), Your Life, Your Money (a PBSwebsite about young people with economic challenges). All these websiteshave educational purpose. Some ideas about the design and the informationdistribution can be applied in the new concept of the HTI brand, and the digitalplatforms. As potential strategic and creative alliances, it could be interesting toanalyse the opportunities to expand the product and service to new marketsas United States. A joint venture with a high standard hypnotherapy trainingthere could be evaluated. With this marketing strategy is possible to reach anew market with the know-how, human resources skills, and infrastructure ofthe possible partner. According to the information provided by HTI, the gatekeepers andcreators of the hypnotherapy field are “Dr. Fritz Perls, founder of GestaltTherapy, Dr. Carl Rogers, the principal figure in modern counselling and Dr.Alexander Lowen, founder of Bioenergetics”. (Gabriela Mata,2010).Most influential players:Dr. John Bulter who is the director of HTI and the only licensed teacher ofTransforming Therapy.Most Effective digital platforms:HTI existing: Twitter and LinkedInSuggestion: Facebook, Blog and forum, Articles and Landing PageMost Effective digital platforms:The London College of Clinical HypnosisThe UK College of Hypnosis and Hypnotherapy   30  
  • 31.  Inspirational creative concept:“Know Yourself Better” is the theme of the hypnotherapy training course whichcan let you know about “understand”, ‘learning” and “healing” process.Potential Strategic and creative alliances:Generates a “Know Yourself Better” event with the other members of Institutefor Complementary Medicine. Current customer can share their opinion withthe potential customers face to face and an opportunity for them to practicetheir skills. This is also a chance to do the alliance with the members ofInstitute for Complementary Medicine in different field to get a cooperationrelationship for the future business and strategy.Through this event, it can introduce a message to the public what is hypnosisand how to use it in the real life. Videos and pictures of this event will beuploaded to the Facebook and website. For people who respond and showinterest in the Twitter and Facebook, they will be invited to have a free lessonand let them to experience of the power of hypnotherapy.”(Cheung Woo Yee, 2010).ALIGNING GOALS WANTS/NEED“HTI seeks to build credibility in the field of hypnotherapy and to differentiatefrom other institutions. This is very well aligned with the wants and needs ofthe target participants, who are seeking to obtain a quality education inhypnotherapy and practice it either professionally or personally. Throughobtaining the two goals previously stated, HTI can achieve the third goal,customer acquisition. This is because, in theory, more students will beregistering for courses when they see that this is a legitimate and respectableinstitution.” (Megan Lowe, 2010).Target participant would interest on the information of hypnotherapy.Website,Blog and articles and social network teach the right concept andusage of hypnosis. They would like to engage with existing customers andgraduates through several digital channels in order to gather the informationof the HTI. (Cheung Woo Yee, 2010).OPPORTUNITIES • “A channel to exposure more potential customers to learn hypnotherapy in HTI • Providing specific seminars, master classes and online teaching materials • A way to differentiate their professional status and highly qualification image • Cost is relatively low and it is easy to sign up for a social network account.” (Cheung Woo Yee, 2010).   31  
  • 32.  “HTI can redefined the website for the client so they can feel ownership withthe service and product implementing different channels such as: blogs wherethey can see what is happening around the world with hypnotherapy as news,events, etc. Developing forums where people can express themselves likesuggestions or recommendations, and videos with true testimonies of howhypnotherapy change their way of life with some new creative ideas thatmake people interested in the concept and benefit HTI want to transmitted.(Erika Raigoso, 2010)..“Many entrants have previously worked in a related profession, such associal work or the health and social care professions. There is a growingdemand for hypnotherapists, with increasing referrals from GPs, dentists andprivate health insurers.8 (Marta Tolosa, 2010)-One of the main target market they have are professionals with clinicalbackground HTI should give an additional value to them in order to retainthem, for example to create a space inside the website just for graduateswhere HTI promote available courses, seminars, talks , conferences for themoffering cheaper prices for them, so in each season of the year graduates canhave the opportunity to meet new people in these events so they can join anetwork with possibilities of Jobs for example. (Erika Raigoso, 2010).Potential strategic and creative alliances:“Some of the most important considerations to take into account in order toprovide learning opportunities for talent at all levels of development are: • Consolidate the sector as a career; • Entering into the sector; • Emerging from fulltime study with a creative practice but little business insight; • Established but needing to reinvigorate the creative practice and business; • Advanced: people looking to develop their ability to lead.” (Marta Tolosa, 2010). • Increase the profile of Creative Alliance with learners, employers and stakeholders through new online services and marketing promotional activities, developing a new business model and introducing a more commercial approach to developing and delivering learning provisions. (Erika Raigoso,2010).CHANNELSThe channels with most appealing to reach, engage and make brandawareness opportunities in the market are the following: “Website. It needs a complete renovation, to build a DB of people who visit us, register and other fields to interact more with the user. We need to make the most of our site, because none of the competitors have a well presented website. All of them look old, like antique PowerPoint presentations. HTI needs to be the first and the best in the                                                                                                                8  (2010).  The  UK´s  offcial  graduate  careers  website.  Http://     32  
  • 33.   market with an outstanding presentation. It needs appealing content, use of multimedia and content generated by consumers. • Twitter and Facebook account. Due to the constant movement of messages in those media we could start updating all the discoveries that HTI have made in this area, every class students and professors can enrich the content, creating a community. Also announcing new events, the courses, and promos with certain materials. Also we should contact the leaders to talk for a day about our product, gaining more followers. • Medical e-journals. Some presence with the evidence of our famous effective cases. Results of research into benefits of hypnotherapy are being published in medical journals. We should seize this fact and publish our goals in medical newspapers. • Careers sites. We should appear on these sites, not only as an option, but with engaging banners about the subject.” (Marta Tolosa, 2010). • “E-mail marketing, such as a newsletter for current students, incoming students, and graduates • Affiliate marketing through other reputable hypnotherapy websites • Search Engine Optimization for Google and search engines that are popular in other target territories. • Facebook, especially to reach international participants. • YouTube channel, to show videos of successful hypnotherapies and possibly even portions of classes Most of these channels are very inexpensive. The website design would probably be the most expensive, but it would be the most important. These would all be suitable in every territory, as well. However, it is easy to find translation tools online in case HTI did need to publish or post something in another language. In addition, all of these things mix together very well. The newly designed website can link to Twitter, Facebook, and YouTube, and it can also have a link to sign up for the newsletter and to go to the affiliate website.” ( Megan Lowe,2010).           33  
  • 34.  PHASE 3REACH OPTIMUM DEFINITIONS1. The Product/service/ issue- HTI offers highly qualified hypnotherapy training2. Participants- Students, who want to experience personal growth, have an alternativecareer in helping others and medical professionals who want to expand ontheir careers.3. The Context3.1 Existing and Target Territories- Existing targets territories are UK, Ireland and US. They want to expand ontheir current territories and to Europe.3.2 Existing Channel Mix- Word of Mouth, Website, Blog, LinkedIn, Twitter, YouTube videos, SEO4. The Concept- Personal growth and career development.4.1 Current participant journey and interaction- Client’s search à HTI website à Initial interaction.5. The Company’s Goals- Increase sales, awareness and credibility.ANALYSE THE CHANNELSBest Practice Guides:- SEO & conversion rates- Facebook / Twitter- LinkedIn- Blogs- Content PublishingEXTRACT A BLOCKED MISSIONIDM MissionOur mission is to create a marketing strategy which segments betweendifferent markets needs and increases awareness, increases sales andcredibility.What makes it challenging? What are the blocks?From HTI perspective:- Low promotion- Web site is poorly designed: monotonous and unappealing- Not certified by any government monitored branch   34  
  • 35.  - Lack of recognition- Visually unappealing- Message is inconsistent and targeted to a too wide audience- Business objectives need to be narrowed down and made clearer- John’s time split between teaching and promoting HTI- No brand endorser- Lack of using social media- Brand personality needs refreshment: people like to try new thingsFrom the environment:- Negative images or messages about hypnotherapy- No interest from youngsters (who is going to be their client in the nearfuture?)- Religion as well as many new alternatives offer different way of healing (lotsof alternatives ways are competing for the interests)-Quick response from competitors (copying the strategy)From clients’ perspective:- Misperceptions about what hypnosis is- Lack of knowledge on the benefits and uses- Under-qualified practitioners, Charlatans, quick-fix courses- Strong culture background that cannot accept inappropriate way of healingUNBLOCK TO OBTAIN MISSION SOLUTIONSFREE REFRENCESMusic? Therapeutic and relaxing , make it feel more modern.Place? Stressful cities, New York, London, High-stress areas, big cities,Moscow.Food/Drink? Green Tea, Porridge, Fajitas, Avocados. Light food, homecooked meal, herbs, weed.Dance? Ballet, Slow dance, tribal dance, Tai Chi.Tale? Jungle Book, The Bible (Adam&Eve), Sleeping Beauty, Vampires(Twilight).Film? The Mentalist.Play? Lion King, Cirque du Soleil.Objects? Pendulum, Pocket watch, Sofa.Alternative uses:Military / Police interrogationResilience training to face adversitiesMetaphors:“Look in to my eyes…”“Empowering people ” Product service issue:- Powerful- Engaging- Effective   35  
  • 36.  - Enlightening- Intangible- Gentle- Respectful- Innovative- Therapeutic- RelaxingSymbol:“Eye”“Lilli on a pond”Our HTI is as… as… drugs… Quueg… alternative medicines available today… meditation… feeling, emotion, brand… satin shirt, soft… religion… Toyota… classic music… spaPROVOCATIONWhat if we…Depersonalize it?- It could have higher success.Make it visible?- Easier to understand, more acceptable and trustable. The benefit should besimpler and easier to believe (showing hypnotherapy in a surgery room cancause rejection and rise questioning). However, many people will be attractedto hypnotherapy for other, more common purposes, (i.e. can be used in agood way to stop bad habits) If HTI talks about these usages can get closer toa person by appealing to an “everyday” need, and also, it will be easier tobelieve the effects of hypnotherapy applied for a simpler purpose.Add sex appeal?- Visually more appealing (look in to my eyes with French accent).CONFRONTATIONWhat is it?-HTI is the institution-Hypnotherapy is the service that they provide as the product-Have the highest standards for clinical professionals-British   36  
  • 37.  -Accredited-Medicine skills provider-Training Institution-Trains to become “Hypnotherapists”-Hypnotherapy is a technique that unblocks your consciousness to be awareand be in touch with the subconscious.What HYPNOTHERAY it is not?-Not magic-Unnatural-Fake-Shenanigans-Dubious-Not yet medically associated with neuroscienceWHERE does it happen?-HTI is currently in England and Ireland-But, HYPNOTHERAPY can happen everywhereWHERE does it NOT happen?- The Belgium government restricts by regulations that STAGE HYPNOSIScannot be misused as performance or for entertainment purposes.- The Catholic Church does not encourage un-orthodox “faith healing”.WHEN does it happen?- When a person wants to grow- When a person wants to improve- When a person starts to believe- When a person runs out of options- When a person is desperate to be healed- When a person is in search for enlightenment- When they want change and to make a difference in their life- When they want a different experience- When a person goes through a traumatic experience, then the need to getover and be healed emotionally and psychologically of those traumaticexperiences are recognized.- Relaxed, shockWHEN does it NOT happen?- When they BLOCK the concept- When they are not open-minded- When they don’t believe in it- When a person’s personal need to improve is not recognized- When its not properly done- When they hear of a bad experience “hearsay”- When the information is not from a credible source- When a person is awake/ fully conscious- When a person is not relaxed   37  
  • 38.  HOW does it happen?- Group sessions- Individual sessions- Professional coaching/ teaching sessionsHOW does it NOT happen?- Not performed on a stage- Not in a loud place- Not in a disrespectful mannerWHY does it happen?- People recovering from trauma / looking for answers- Person allows it to happen / they are- When people are not satisfied with their skills- They’re looking for something new- Happens to HTI because of the accreditation- People have trust in hypnotherapy because of previous experiencesWhy does it NOT happen?- People don’t trust / believe in hypnotherapy- People find better alternatives to hypnotherapy- Loss of credibility- If hypnotherapy doesn’t deliver what it promises- Absence of John ButlerWHO causes it to happen?- John Butler & staff- HTI- HTI students- Professional hypnotherapists- People who like to explore new thingsWHO doesn’t cause it to happen?- Charlatans- Under-qualified peopleTo WHOM does it happen?- Alumni & Students- Victims, traumatized people- People in search for enlightenment- People who want to improve themselves- Medical professionals, practitioners- Retired peopleTo WHOM does it not happen?- People not willing to learn- Close-minded people- People satisfied with their life (emotionally satisfied)- Old fashioned minded- People who don’t believe in it   38  
  • 39.  - People who don’t know about itSENSORY TOURWhat does it look like from our perspective?- Relaxing- Beach- Mountain- Cloud- Air- Lake- Trees- NatureHow does it look like from the company’s perspective?- They provide information on hypnotherapy in a professional manner- Wooden room- MistHow does it sound?Participants’ perspective:- Water- Birds- Wind chimes- WindCompany’s perspective:- Money- Happy people talking in classHow does it smell like?- Jellybeans- Peppermint- Jasmine- Fresh breathe of air- Rain on a summer afternoon- Like the sea- Clean, fresh- Hospital- Antibacterial soapHow does it taste like?- Water- Water from Mountain River- Refreshing waterHow does it feel like?- Wet rock from the sea- Seaside sand (wet sand)   39  
  • 40.  - Lotion (olive oil on your skin, body oil)- Floating on a cloudHow does it feel like (emotionally)?- Sleepy- Relaxed state of mind- Free, Freedom- Peace- Light- Aware- Senses were more heightened- Quiet- PeacefulTRANSFORM THE MISSION SOLUTIONS INTO PLATFORMPROPOSITION (S)“Freedom from your inner limitations”1. New Channel MixEndorser:- Brand Image- Sex appeal- Testimonial- Current patient, past patient, bloggers (social endorser)We will use endorsers in different fields: former students that are currentlypracticing, alumni that have discovered great growth thanks to theirhypnotherapy studies, doctors or psychologists that have used hypnotherapyas part of their practice.KEY CREATIVE CONCEPTNew creative concept ideas- Enables you to access your inner abilities- Heals and enables personal growth- Sets you free / releases from your limitations (inner & emotional limitations)- Release, Free your mind, Achievement- Acquire skills for personal use and to help others- Lion tamer   40  
  • 41.  Emotional Benefit:Main benefits: Self Confidence, Achievement, Relief, Endurance, FreedomSelected benefit: Makes you a “sustainable human being” (you becomeconfident in yourself you know that you have the ability to endure anythingthat lives present you)Functional Benefit:Main benefits: Clears your mind, Control your mind, Heals your mindSelected benefit: Clears your mind because the process erases any pastexperience and perception that may be blocking your life or holding you backnot allowing you to be self aware of your inner capabilities.EMOTIONAL + FUNCTIONAL:HTI makes you a self-confident (endurable) person because it clearsyour mind from your perceptions.Call to action: Clear your mind/reset your mind.JOURNEY:A man was born from nature, provided with an inner wisdom to embark on ajourney of life.He starts feeding his mind with what he thinks are the journey’s own hazards;there are just too many things to worry about.He travels around to find answers. The further he goes, the heavier hisburden.But wherever he goes, he would always finds places, that ancient culturesknew about.Places where a cleansing vapour clear his mind, connecting him to an innerwisdom, showing him he can be set free from his own perceptions. That hehas the power to control his Journey. This vapor makes him confident that whatever happens he will be able tosucceed. HTI is the vapor that builds Sustainable Human Beings.ATHMOSPHERE:Nature elements, rain, jungle, forest, anything that remind us “the state ofpureness” of the human been symbolized by the state of pureness of theearth.SEGMENTATION:- Professionals (Medical practitioners, Therapists, Doctors etc.)- Personal growth (People seeking personal growth to improve their lives)- Alternative careers (People seeking for an alternative career or postretirement career in helping others)   41  
  • 42.  NEO PLUS (as a career) – Is a series of courses designed for people whowant to get a NEO certification in their credentials and spread the NEO FORA HEALTHY MIND wellness campaign. It is applicable to already WellnessGurus (ex. Yoga, pilates, tae-bo gurus who want to add a healthy “mind” totheir teachings and be certified to teach: a. NEO PLUS b. NEO PERSONAL Includes courses with the following: ü Hypnosis for Therapeutic Transformation ü Clinical Hypnotherapy Course ü Advanced Analytical Hypnotherapy Course ü Upgrade Training CourseThis option will include a business franchising model if they want to practice intheir own countriesMarket Potential: Sample PotentialNEO PLUS UK US TotalYoga teachers 3,000 70,000 73,000NEO PRO (for medical use) – Is a series of courses designed for peoplewho want to ADD a NEO certification in their existing medical credentials andspread the NEO FOR A HEALTHY MIND AND BODY medical wellnesscampaign. It is an organic and natural medicine practice. It is applicable todoctors, surgeons, dentist, psychiatrists and psychologists. Includes courses with the following: ü Hypnosis for Therapeutic Transformation ü Advanced Analytical Hypnotherapy Course ü Medical Hypnotherapy Course ü Medical Hypnotherapy Course for Physicians ü Hypno surgery for surgeons and anaesthetistsMarket Potential: Sample PotentialNEO PRO UK US TotalDentist 19,000 247,767 266,767psychiatrists 3,000 41,000 44,000Surgeons 19,511 661,400 680,911Total 41,511 950,167 991,678NEO GROW (personal growth) – Is a series of courses designed for peoplewho want to purify, heal and change their lifestyle through having a healthierMIND. This course helps cure many psychological issues that stunt’s peoplegrowth (help to move on to a “better you”) examples: a. Weight Loss   42  
  • 43.   b. Smoking Habits c. Drug Addiction d. Stress Related Diseases Includes courses with the following: ü Hypnosis for Therapeutic Transformation ü Clinical Hypnotherapy Course ü Advanced Analytical Hypnotherapy Course NEO GROW UK US TotalBroad Age 15-65 41,020,711 205,794,364 246,815,075MarketNiche People 29,190,000 138,641,000 167,831,000Market employedNiche Births a year 700,000 4,300,000 5,000,000MarketFranchising model for HTIStudy case: Patrick Holford and his Institute for Optimum Nutrition.Patrick Holford is a best-selling author, media commentator, businessmanand founder of the Institute for Optimum Nutrition (ION), which has trainedmost of the UKs "nutrition therapists".Holfords success is having presented nutritionism as a scientific discipline inthe media, and having forged links withh some British universities such asLuton and Teesside.According to its website, ION, is a "not-for-profit charity dedicated to thefurtherance of the principles of optimum nutrition and to advance theknowledge and practice of nutritional therapy as a treatment complementaryto traditional forms of medicine".The ION runs courses and workshops in nutrition. They also publish amagazine called "Optimum Nutrition" four times a year. The ION provides listsof "approved" nutritionists in the UK, although nutritionist is not a protectedtitle and therefore the Institute has considerable autonomy regarding who theychoose "to approve".The Institute for Optimum Nutritions official purposes are:- To advance education of the public and health professional in all mattersrelating to nutrition- To preserve and protect the health of the general public by giving advice,assistance and were necessary treatment through nutrition and nutritionaltherapy   43  
  • 44.  ION offers a number of courses:The Nutritional Therapy Diploma Course (NTDC), a three-year and part-time course, meets the requirements for professional registration.The NTDC prepares students in the scientific theory and practice of nutrition.The course focuses on nutritions role as a preventative health strategy, andits therapeutic application as safe, effective natural medicine. As a part-timecourse, students are able to continue to work as they study, being required toattend lectures and seminars on a monthly basis and work on assignmentsfrom home.The Science Access Course provides science up to A level standard, whichis an ideal way for students to gain the fundamental science background toenable them to undertake the NTDC course. The course focuses on aspectsof biology and chemistry that are relevant to nutrition. Students can choose todo the course over 6 or 9 months or in 3 months over the summer - inattendance or distance learning modes - and can do one or both sciences,depending on their background.The Home Study Course is designed for the general public and healthpractitioners. It teaches the fundamentals of nutrition and health, providingknowledge to empower the learner to recognize and address the dietaryimplications of common health conditions and to put together an optimumdietary programme.When we analyze ION, we realize that Holford built a "nutritionist world", a"nutritional army" through his organisation. Indeed, most of the celebritymedia nutritionists stand in the shadow of him and ION. Columnist Dr JohnBriffa has attended training courses at the Institute of Optimum Nutrition(ION), and now gives lectures there; the Food Doctor, Ian Marber MBant DipION gained his qualification at ION; and so did the Channel 4 Diet Doctors,Vicki Edgson Dip ION and Dr Wendy Denning.On the website, we can "have access numerous skilled practitioners fromaround the UK and abroad - ALL GRADUATES FROM THE INSTITUTE FOROPTIMUM NUTRITION and are qualified to offer you expert advice and atailor-made programme to help address your particular heath concerns".Holfords intention is "to offer the worlds best training for nutritionaltherapists". On the website we can "find a Nutritional Therapist near you" and"find a Nutritional Therapist outside the UK".In UK, hundreds of Nutritional Therapists are registered as follow:   44  
  • 45.  Outside UK, Nutritional Therapists from Ireland, Dubai, South Africa andSpain are registered with their contact numbers, fees, websites, etc.ION and Patrick Holford succeed in creating a network of nutritionists insideand outside UK who, as well as practicing, spread the words from ION andrepresent the company in their territories. Thus ION "alumni are always linkedto Patrick Holford and his organisation which gives the feeling of a strongstructure.I found that website of a former "student" from ION called Norma Bridge. Hereis what is written on her profile webpage:"The founder and owner of Essential Nutrition, Norma Bridge, is anexperienced Nutritional Therapist who graduated from the Institute forOptimum Nutrition (ION) in London and the University of Bedfordshire. ION isrecognized as one of the foremost nutritional institutes in the UnitedKingdom."It is obvious that the name “Institute for Optimum Nutrition” is used as a salestool. It is a reference that gives the reader an idea about the standard of workNorma Bridge can provide, while advertising the Institute.Patrick Holfords success is to have built a "nutritionists world", a "nutritionalarmy" that passes on TV, that is present in most of the national media and   45  
  • 46.  advertises the ION while giving its analyze "made in ION" (c.f Channel 4 DietDoctors, Vicki Edgson). Holford himself is a popular media pundit who iscelebrated for his scientific approach to nutrition. Thus, Holford is the "medianutritionist" and supplement salesman that promotes its company. Holfordwrites best-selling books and appears on TV, his name is a brand in itself. Heis a spokesman on nutrition and mental health issues, hence being frequentlyquoted in national newspaper from the Daily Mail to the Guardian. He is alsopopular on radio shows and national television as a presenter, interviewer andguest.From a marketing perspective, ION can be viewed as "a highly successfulfield sales training school, getting the marketing messages out to eager youngdisciplines minds and turning them into a formidable sales force."To sum up, Patrick Holford succeeded in marketing its discipline through itsorganisation thanks to his presence on the media and a solid network ofprofessionals on the field and on the media.How this marketing model can be adapted to HTI:John Butlers main concern is that the image of hypnotherapy is darken by“charlatans” who pretend exercising hypnotherapy when, in reality, they donot have the real qualifications to do so in an efficient and therapeutic way.This constitutes a threat for the company.One of the weakness of HTI is also the fact that the institute does not knowhow to build a network of hypnotherapists formed by John Butler: a solidnetwork, “an army” that would strengthen the institute by making it moreconcrete and credible.Therefore, we do think that Patrick Holfords Institute for Optimum Nutritionbusiness model is perfectly adaptable to HTI.John Butler is in the same situation as Patrick Holford, being the leader and“mentor” of its organisation. The challenge for John Butler would be to presentand market his company as well as Holford does.Holford knows how to be on the radio. He is the face of his company and hisname became a brand in itself. He succeeds in making “Nutritional Therapy”sexy even with having no accredited degree-level or postgraduate-levelqualifications in nutrition.Patrick Holfords success is also having professionalized a discipline that is, inBritain, not yet fully established. Indeed, “Nutritionist” is not a protected title inthe UK, and anyone if free to use it. With its three-year Diploma in NutritionalTherapy (DiplON), ION became the reference in the discipline thanks to asolid network of alumni that prove the efficiency of the Institute. It is alsoimportant to notice that Holfords Institute of optimum Nutrition is not evenaccredited Higher Education institution, which could lead us to think that theIONs success is having presented itself as a reference without being officiallyrecognized.   46  
  • 47.  HTI is in the same situation: hypnotherapy is not fully established as medicaldiscipline yet. However, HTI, by not keeping track of its alumni, cannot provethe efficiency of its teaching methods and, because of a lack-of-network, theInstitute cannot present itself as a reference in the field. Speaking aboutreference, we saw with the ION case that recognition is not necessarily amust in order to succeed: a creative and efficient marketing campaign canmake the company look more attractive for everybody: clients, media,specialists, etc.For HTI, we would recommend a franchise model. The franchising modelwould be designed for the HTIs alumni who plan to run a business based onhypnotherapy after having taken John Butlers courses (what we called“career change”). In this case, alumni would have to pay fees and royalties inexchange to the knowledge and support provided by John Butler and hisInstitute.Franchisees business would be called “Neo” and promote HTIs packages(Neo Pro, Neo Plus and Neo Grow).The benefit for HTI would be to expand HTI brand name more rapidly thanksto a solid structured network of hypnotherapist that share the same standardof knowledge and practices.Because HTI is worldwide recognized, the benefits for franchisees would behigher chances of success: they could put the name of the Institute (c.f thecase of Norma Bridge and ION) and thus look more professional, morequalified and thus more attractive for customers.As displayed on the IONwebsite, HTI would providethe list of hypnotherapiststrained by the institute (thefranchisees) in order forpeople to “find anhypnotherapist near theirhome" and "find ahypnotherapist outside theUK". It would help bothHTI and thehypnotherapists to developtheir activity.   47  
  • 48.       48  
  • 49.     49  
  • 50.  Channel Mix:- SEO- Social Media (Facebook, Twitter, LinkedIn)- Blogs- Content Publishing- Viral PlanThe following chart displays how our targets are most likely going to getconnected to our website:   50  
  • 51.  The Web-Site.Right now the web-site is located here: , but we decided to have thealternative one: . So our point was that existing web-site has alot of problems that appear while you discussing it with someone else.Colours and letters are difficult to read. The page is overloaded withinformation. We suppose that it’s better to use more pages but all thisinformation will be divided according to the user’s needs. We will explain itbelow: 1) Colours. We have chosen green, grey and white. Green reminds about something natural and calm, and this is our main idea: Hypnotherapy is a natural product. Grey reminds that this is a university, so it can help you to learn something that is natural. White background and black letters are the easiest colours to read. We don’t want our customers to suffer while reading, so we need our web page to be user friendly. 2) Font. We enlarged the font size. Each web page doesn’t have lots of data so it looks appropriate to the page and in the same time we take care of the customers. We want them to understand all the information and this is the easiest way to provide it. 3) Home page. We make the first page simpler. You see the video as you come there for the first time. It is a lotus flower that blooms. The idea was that the same is happening with our understanding of life. By the way you can always skip it. Then you see the home page with the eye. We assume that the eye is the mirror of soul and if your soul is calm and looks forward you can see the sunset in your eyes. As we said before lotus is a better symbol of the institute and that’s why it is next to the name of the institute. On the first page should be information that welcomes all the visitors and invites them in interesting journey. There you can also place some news from blogs and comments about the web-site. It is very important to get the feedback from the users. You are providing all this information to make them interested in hypnotherapy and in courses. Sometimes people that visit your web- site can create an interesting content, so they need space to publish and to share it. This is why we have share buttons in the end as well. 4) Professionals, Personal growth, Alternative career. As we have seen people are using institute for different purposes and they want to find various information as they visit web-site, even though they are attending the same classes. So we need a message for each of them   51  
  • 52.   to get interested in it. We need to tell them what are the benefits of these programs and how can they use their knowledge. 5) Books, CD’s, DVD’s. We decided to have special folder for Books and other stuff. People can be interested in it even not attending courses. It can become an additional way of earning money. We fully understand that this section was on the previous web-site as well but we want to set eyes on that: books that state how to earn money with hypnotherapy don’t raise its goodwill. All the goods should be appropriate to the courses and help people to believe in hypnotherapy. 6) Additional content consists of two main folders: Videos and Pictures. If hypnotherapy will be interesting to people there will be more photos and videos connected to it. We don’t want people to find videos in the middle of the page as they will go through the course, so this content needs its own folder. We expect that videos could bring more people to the web-site and make them interested in institute. 7) Forum. It is the easiest way to interact with people, to know what they are thinking about and to answer their questions. They can register on the first page or write without authorization. It is more important that they share their opinion and you can change it through the dialog. We can also add information on the web-site if one of the topics will be too interesting or will cause lots of questions. Through this folder HTI would be able to find out about wants and needs of their customers. 8) Contact us. We understand that not all people want to share their fears and thoughts than they can write straight to the university’s specialists which will answer their questions. 9) Sound. As we are interested in attracting new customers we decided that sound, music can help us with that. Sometimes people resend the link just because they heard a nice song. We were thinking about natural sounds such as waterfall, rain, or others that are relaxing. We understand that this feature will require additional time for downloading the web-site but we are pretty sure it worth it. The main thing is to make the content more attractive and we think that music can help us. 10) Other Channels. All the folders have share links, so people could post interesting materials on their own pages through Facebook, Twitter and other services. We also expect that all new data will be spread through RSS and will be published on the main page as News.All in all we expect that such structure of the web-site and the content in it willhelp people to explore hypnotherapy and will make it more.   52  
  • 53.  Digital Awareness Plan - SEOIn order for HTI to expand their business and increase awareness of thecompany and the benefits of the services they offer, they need to set up asearch engine optimization plan, which will be one of their long-termstrategies. The plan presented here gives a general outline into the basicsteps required for the successful optimization of the HTI website and theirranking in search engines. The team assessing SEO will require both aserver-log file based solution and a browser-based solution for completeanalysis of SEO effectiveness. This strategy requires a long-term cost /benefit analysis, so that the correct amount of investment can be optimized(Econsultancy, 2009).The objective will be to have HTI appearing highly ranked on the naturallistings of the first page of Google, when certain keywords are searched. Thepaid and sponsored listings, which appear when searching for informationabout hypnotherapy and related topics, are bad in terms that they re-enforcethe negative connotation associated with the industry. Most of the paid resultsadvertise quick fixes and certificates that can be acquired online and withminimal effort. We propose HTI not to try to compete among these charlottesand waist money on the paid searches (Econsultancy, 2009).On-page optimizationWe propose to optimize on-page content by modifying the website into a moresearch engine friendly format, so that it appears higher in the rankings. Thiswill include defining optimal keywords that match the searched key words,which will also go along with the new campaign proposed. Headline and linktext should reflect the editorial content and there will be different levels oftarget keyphrases for each page, such as primary, secondary and tertiary.For the visual outlook of the website we use JPEGs for pictures and GIFs forminor animations. This is because optimizing the site for flash animations ismore complicated and does not provide us with any significant advantage(Econsultancy, 2009).KeywordsThe relevance of the keywords, SEO and the content marketing plan go hand-in-hand as the content published and uploaded to the website will have directimpact on the relevancy of the searches and hence the ranking. Thedocuments need to be modified so that the keyword density stays high.Documents having to do with a specific topic, for example anaesthesia ornatal hypnosis will have a target keyphrase density of 5-10%. To maximizethe keyword density the length of the articles should be kept short. Previewsof 200-400 word articles will work as a good entry method to the full-lengtharticles. The full length articles can then be downloaded or read as PDFs onthe site. Finally keyword synonyms are another way for HTI to increase theranking of their sites and content. The synonyms will be included within the   53  
  • 54.  page copy, in Meta descriptions and within title tags if possible (Econsultancy,2009).Social media on-page optimizationTo make the site rise in the rankings we optimize the engagement aspects ofit. Adding different interactive applications hosted on the web such as Flickr,Google maps or blogging services such as or Typepad can dothis. HTI should also encourage users to create their own content, like blogsor reviews that can be either published on the HTI site or linked to it. The HTIwebsite will also have plenty of rich media like podcasts and streamed video(Econsultancy, 2009).HTI website will also contain interactive technology approaches, known asAJAX. Different ways HTI can utilize AJAX applications would be for examplesubmitting an online form enquiring how the person found the site or to getsome customer description information. Other methods are; - Ajax login form (PHP & JavaScript) - Ajax Shout Box (instant live comments from courses) - Ajax Instant Messenger (new visitor will have instant contact to HTI personnel) - Ajax shopping carts (Drag & Drop) - Ajax Star Rating (for reviews) - Ajax Dynamic Image Gallery and Slideshows (visually appealing to look at and allows HTI to show themselves in a more professional manner) - Ajax File Upload (people can upload content at the HTI forum) - Ajax Polls (monthly or weekly polls with different topics)(Editorial, 2008)Link-buildingIn order to drive traffic to the website we need to create links, inbound andbacklinks, to the main page of the website and to the different content materialon the site. Link building is mostly about quality than quantity and because ofthis the content marketing strategy will be a key factor in its success. Thesites where all the content are published need to be evaluated so that theinbound links are coming from high value sites i.e. sites with “authority”. Thisis to say that our focus for link-building will based on high relevancy,legitimacy and quality. We won’t spam every possible site with a slightrelevance but focus on the match the set goals and segments (Econsultancy,2009).The creation of “hubs” will be another key concept for link building. Hubs arepages that contain several related links about specific topics. HTI’s hubs willconsist of pages that have several outbound links to related sites and ofsitemap pages. The sites with several outbound links will be topic andsegment specific, so for example people seeking personal growth will be ableto see several links to other sites with information about it (Econsultancy,2009).   54  
  • 55.  SEO goals and key phrase strategyThe SEO plan objectives should be clearly set in the beginning of the projectand the success measured so that the plan can be revised if necessary(Econsultancy, 2009).Position-based goal:An example goal for HTI could be to achieve 100 top ten positions, 5,000 top50 positions, or preferably, more specific goals for specific phrases in the UKmarket.Visitor volume-based:This goal is especially good from the awareness and brand building point ofview as we can set it up to measure the amount of people visitant andinteracting on the site. The goal could be o achieve 5,000 clicks acrossagreed phrases per month.Outcome-based goal:This is set up to measure the actual course registrations and sales generatedfrom the products offered on their site. A goal for this objective could be toachieve 50 leads/registrations or sales from SEO or PPC per month.Market share-based goal:This aimed to measure the “share of search” within a service category relativeto HTI. The measurement can be done with such tools as Google TrafficEstimator or Hitwise. A specific goal for HTI could be to achieve 20% share ofsearch within 12 months for a particular key phrase.Cost-based goal:With this goal HTI can incorporate costs into their other objectives throughspecifying limits on for example Cost Per Click or Cost Per Sale. A specificGoal for HTI could be to set up Cost per Sales to be less than £X for a creditcard.Value-based goal:This goal defines the entire profit contribution gained from the SEO plan. Thevalue is based on subtracting costs of promotion, cost-of-sale and cost-of-goods sold from revenue generated. A goal for HTI could be to generate£5,000 profit from SEO in Quarter 1.Keyphrase analysisKeyphrase analysis and selection is core to the success of the SEO strategy.The keyphrase analysis presented here is to give an outline to the work thatneeds to be done for optimization. A more detailed keyphrase analysisrequires access to the actual data but will enable reviewing possible phrases,which will enable HTI to connect with potential customers as they search forrelevant services and benefits associated with HTI. Setting up these relevant   55  
  • 56.  keyphrases will enable measuring for the returns on SEO based on thenumber of relevant searches and the cost of achieving results. When we knowthis we can start adjusting the strategy and see which combination of SEOkeyphrases works best for HTI (Econsultancy, 2009).Google Insight provides analysis that the searches of “Hypnotherapy” andNeuro Linguistic Programming have ben decreasing steadily for the past 6years in the UK, which has the highest number of searches of them globally. th Google Insight, 4 Dec 2010When searching for “hypnotherapy” or “neuro linguistic programming” therelated search terms revolve around “smoking”, “anxiety”, “self hypnosis” andthe different products, services and courses around them. HTI should set up keywords relative to the benefits gained from the coursesand to the campaign proposed in this paper. The main keywords will consistof different variations of the same word orwords. The keyphrases that will be used arebased on the main themes of the campaignthat relate to the actual benefits of the coursesand emotional benefits. The keyphrases arealso segmented between the three mainsegments (Personal Growth, AlternativeCareer and Professionals). Some of the mainkeywords are:BrandHTI of Britain Product Category Hypnotherapy training Training Institution Hypnosis classes British Group/Individual sessions International accredited Professional coaching/teaching Medical skills provider sessions Medical Institution   56  
  • 57.  Wider consumer interestsEmpowering Goals Sustainable-self Relaxation/stresspeople achieveme ntWider ConsumerInterestAnxiety Gain Break habits and NLP confidence addictions and motivationSelf-esteem Personal Nature John Butlerissues growth and developme ntInsomnia Well-being Trauma/traumati Therapeutic c solutions experiences/sho cksNail-biting Improve Hypnosis/ Enlightenment lives hypnotism/ hypnoticOvercome Stop Relieve stress Medical skillsproblems smoking and anxiety providerImprove sleep Remove Weight loss fears and phobiasOvercome Conscious/ Alternativesadness and sub- careerdepression conscious   57  
  • 58.  SOCIAL MEDIA PLANFacebookTarget market:Facebook will help HTI to get awareness from people that may be interestedin using hypnotherapy for personal growth and for a career swift.Reach: There are 28 million of Facebook users in UK and 130 million in theUS. This channel has higher affinity to the ages of 18 to 44, Females, peoplewith no children and with education from college to higher level of education.Given all the information Facebook gather about its audience, it can betargeted by country, demographics and interests. Therefore we can look outfor the community that have interests related to personal growth.Two reasons for choosing this channel are: c) Its exponential reach, we can start gathering people that have already some kind of contact with HTI (current and ex alumni and business acquaintances) d) Getting endorsement from those who have already had experience with hypnotherapy.How to start: we will start with the 2 basic communication phases:(a) Attracting: • At Facebook we will place an advertisement (which will be measured in Click Trough Rate, so HTI will only have to pay for people engaged) The advertisement will be general or with the “theme of the week”. • At HTI web page: we will place the like button at the top of HTI webpage so people who read an article or any relevant information at the website can immediately “recommend” HTI because a story will appear in the users friends News Feed with a link back to HTI.(b) Delivering:We will make a Fanpage HTI inviting everyone on HTI current network to join.That will be the best way to exploit the knowledge Dr. Buttler has abouthypnotherapy and human nature. We will make little articles about “personalgrowth” that will be placed at the Fanpage homepage, inviting people to givetheir own experiences about the subject.Some example themes, that are very close to daily life and are appealing topeople who seek personal growth would be:• “Gain financial success with creative mind power”• “How to overcome stressful life without changing your city”• “Wondering minds lead to unhappiness”• “Stopping smoking is easier than it looks like”• “Why do you bite your nails?”• “Get a real good night sleep”Once people have read the article, there will be a place to comment, andagain, the comment will be shown in their friends’ newsfeed. There will alsobe a tool for them.Also, we will post past “webinars” at the photo profile tab.   58  
  • 59.  At the end of every week we will track how many people was attracted by thearticle or subject of discussion.Other KPIs will be: - Number of participants that became “fans” - “Likes” from fan pages and websites - Click through rate of the advertisement placed - Number of commentsLinkedIn:Target market: There is a particular niche on the segment of persons whowould seek personal growth that are the professionals that need to enablethemselves to do better in their business or career path. Linkedin is the bestway to get to them.Reach: Within 2 years, Linked in has gathered “Three million professionalsfrom every conceivable background and industry with one common aim: toshare their knowledge and learn from others so that they might do their job alittle better or get a little closer to whatever professional and personal goalsthey have.”The following table gives us an insight of the kind of people that we can reachfrom LinkedIn. Rank Top Titles Top Industries 1 Business Owner Marketing and Advertising 2 Director Internet 3 Marketer Information Tec and Services 4 President Online Media 5 Editor Computer Software 6 Vice President Public Relations 7 Chief Executive Writing and Editing 8 Founder Real Estate 9 Managing Director Design 10 Manager Financial Services   59  
  • 60.  16% are business decision makers, corporate executives or small businessowners. These people are regularly concerned about how to manage theirteam, how to convey a successful image and specifically small businessowners will be interested in how to achieve financial success.How to start: We will make a Group of interests in Linkedin With a small feesubscription we can get with an advanced search the people of our interest.The group will only have the purpose to provide this group with informationabout topics such as: - “Gain financial success with creative mind power - “Why today’s managers fail?” - “Set your mind to achieve your goals” - “Couch yourself to succeed” - “Empower your team” - “Achieve personal and professional advancement”We strongly believe that HTI can make a difference in business and have astrong growth potential in this segment, just like PNL. However we believeHTI must develop “tailor made” trainings for this group. However, with a goodselection of hypnotherapy business oriented e-books we can promptly startgaining revenue from this group. The following table shows us an example ofa successful training business that has a group of 1,200 members on LinkedInthat can easily download an article they consider helpful.We will start measuring interest in the articles published in this group andtrack possible demand of courses from this group. • KPIs: o Number of member of the group. o Number of books and articles purchased.   60  
  • 61.  TwitterReach: Twitter has approximately 106 million users. There are 55 millionstweets in daily basis and 37% use Tweeter from their mobile phone. 75% oftwitter traffic comes from outside 600 millions search queriesreceived in Twitter’s search engine daily Profile: 45% of twitter users are mainly between 18-34 years old. One third of Twitter users are from United StatesTwitter is a channel that is actually useful for businesses. Based, Twitter is the tool of communication between customers andbusinesses. Businesses can actually share the company’s information to theirclients as well as to other people who are interested in the company. Inaddition, the feedback from the customers gives the advantage to thecompany. Built the relationships with customers, partners and other peopleare necessary for the company to be success in their field. Twitter shrinks theemotional distance between businesses and customers as well as helps tointegration the existing communication channels and strategies. Twitter givesthe businesses to communicate with their clients or customers casually.(Twitter101, 2010)Twitter is currently used as a customer service channel.Target Market:More than a massive channel, we want to have the customers communitieslinked by twitter.The communities will be:Potential alumni: We will twit the headlines of the articles published in orderto get the chance to invite people to the webpage.HTI can build a good relation with their customers and students by providingupdate information about wellness and hypnotherapy, giving a useful link ofvideos and press releases.Community of franchisers: Maintain them informed about new member ornew resources for the community (articles and webinars).Alumni: Give away free voucher or any other promotion to the communitythat are already in a way connected to the company, we can send them“codes” that can be plugged in in order to get discounts in the e-library forexample.All: Quick answers to questions about classes, services, etc. Like the case ofBest Buy that creates their business twitter account called @Twelpforce. BestBuy employee can reply the customers’ comments using an @reply to thecustomer and the answer will be sent through the @Twelpforce accountwhich allow anyone to search the specific topics that they are looking for. Themain goal of Best Buy is to lead the customers and employees away from thecompetitors by sharing knowledge on-demand.   61  
  • 62.  Strategy Building: Twitter search as well as Tweet deck can Help HTI to beup-to-date about what the customers said about the company and the brand,and the complete categories, he can also continuously track customersentiment and use twitter as a tool to ask its clients feedback on subject.KPIs for Twitter: - Number of followers - Number of followed - Number of twits - Number of visits to the website coming from TwitterVIRAL MARKETING PLANOur viral marketing plan is going to be composed by different techniquestrying to exploit current social networks of HTI which including blogs,Facebook, LinkedIn and Twitter account.There will be a test program called “how confident you are” and after usergets it done they will get some results as the following:After obtaining the results of the test in the blog, you can find a link which willconnect directly to HTI main website. Therefore, people can find moreinformation related to the subject of the test, but at the same time they will findrelevant content which might be interesting for them.Another advantage is that people can share their results with their blog`sfriends so they can go through the test and have the same experience   62  
  • 63.  converting this in a viral marketing campaign because it will produceincreases in brand awareness and increase in sales.In the case of Facebook before people get their results they can share the testand the results with their friends, at the end of this post there will be a link forHTI Facebook fan page.Through sharing these results it will become a viral marketing campaignbecause it will bring more people to HTI, but also old, new and currentcustomers can interact with the content of the website which will allow them toengage with hypnotherapy knowledge but also to make them interested in thecourses and products that offered in the website.GAMESAnother way of engaging people to NEO can be through two different linksone from NEO main website and the other one from Facebook Fan pagewhere people can go and play different games related with how to upgradedifferent skills depending on the customers preferences like How to getconcentration of the brain by training music, how to memorize faster, how toclear your mind to focus in studying or working, how to speak in public,between others games and all these games should be posted on facebookfan page so people can share their results. Although it will have a link to themain web site so people can know what NEO is offering as training coursesand products as books, CDs and DVDs.As one of HTI main objectives is to upgrade people skills in their professionsand make a change in their lives, these games are going to be interconnectedwith NEO main goal what will make people be more interested in interactingwith the content of the main website.Here are some of the examples of the games people can play.   63  
  • 64.   (Source: (Source:   64  
  • 65.  (Source: website will have a click button for customers to sign up so eachparticipant can create a specific student profile, after each person played agame they will receive the results on their Facebook wall with the possibility ofclicking a link that will connect the participant to the home page of the websiteand it will ask to sign up in order to find the interpretation of the score forexample if they play the game “ memorize faster” will have a range from 0-100 so the interpretations depending on the score will be:From 0-30: BeginnerFrom 30-70: MediumFrom 70-100: ExpertSo participants can share their profiles in the forum of NEO website or inFacebook fan page, but also they can try to play as many times as they wantso they can change their profiles and post them to let their friends and peopleknow how they are upgrading their skills.   65  
  • 66.  (source: EVENTS, ARTICLES AND VIDEOSOur target markets professionals, personal growth,and change career, peoplewill receive different content related to events, and articles through twitter andlinkedIn accounts. Furthermore, videos through YouTube ,Main web site, andfacebook will be posted so participants can watch and share them with theirfriends.Each target market will have different content of videos, for personal growththe following can be an example: (Source:   66  
  • 67.  This website is for everybody students and anyone interested inHypnotherapy, so when each person will like to sign up they will be ask abouttheir habits, likes and dislikes contact details and additional information so wecan gather a database, which will give specific information of each participant,so we can send them tailored events, videos and articles through links to eachparticipant e-mail and in the case of videos they links will connect directly toYouTube.comNeo Wellness campaignNEO Wellness Tie-up and alignment campaign with the big wellnessconventions and fairs in the key cities in the UK and the USA.Here is an example of how NEO will be presented in an event material thatwould feature Dr. John Butler on-site and showcase a NEO session to areknowned wellness guru or wellness practitioner.The actual session shall be recorded and posted onto YOUTUBE and mainwebsites, as our content for a ¨viral campaign¨. This shall create ¨thebuzz¨when people hear about it in the industry. Also, it would be a great idea,if we have a famous person (celebrity or famous yoga, pilates guru) as Dr.Butler´s participant where he can show what NEO is all about and how peoplebecome benefit from it.People can share the video with others and then we can post it on the forumof the website but also in facebook everyone will like to know more abouthypnotherapy.It will enhance brand awareness for participants and people will be moreinterested in this field because it will change peoples lives in a positive wayand who doesnt want to have benefits for their own in a positive way?   67  
  • 68.   (Source:, we can use in a future some celebrities to promote Neo as wellrecognized institution which provides health, strong mind, clean soul alongwith high qualified knowledge to change people` lives.   68  
  • 69.  CONTENT PUBLISHING PLANHTI’s content publishing plan will be executed by publishing articles throughblogs, forums and having them on the HTI website as well. The content willcomprise of different types of topics, depending on which of the threesegments it is targeted for. The articles will also vary on the level ofprofessionalism, for example while others will be about the latest scientificresearch, others will be about practical every day exercises people can do tocontrol their anxiety or smoking.HTI staff and their past and current students will write some of the content,other material can be bloggings about articles released by other sources. Thiswill give the possibility to have a wider variety of content from people whohave different levels of experience about hypnotherapy.For the publishing of video content we will use the HTI website and we’ll alsocreate a Youtube Channel that will broadcast short films about howhypnotherapy is taught in practice and how it is benefiting people. The videocontent will be again segmented between the main three segments. Theoverall idea will be to demonstrate how safe, natural and healinghypnotherapy is.Final method for creating engagement with people will be webinars. A keyfeature of a Webinar is its interactive elements, the ability to give, receive anddiscuss information. Contrast with webcast, in which the data transmission isone way and does not allow interaction between the presenter and theaudience. The webinars will cover different topics from more advanced topicsfor people already involved with HTI brand to more practical ones for formerand current students about personal growth and control. The webinars will beavailable for pre-order online and later as downloadable webcasts andpodcasts (GoToWebinar, 2010).KPIs for published content: - Number of followers - Number of comments - Number of unique visitors - Testimonials - Number of people that shares content - Number and frequency of topics created.Possible topics that HTI can publish content on: - Gain financial success with creative mind power - “Why today´s managers fail?” - “Set your mind to achieve your goals” - “Couch yourself to success” - “Empower yourself / Empower your team” - “Achieve personal and professional advancement”   69  
  • 70.  ChannelsHTI will be using for the publishing of content and gathering of informationsites, which are categorized by discipline and put into a ranking order.According to Alexa, the web information site, the top 20 sites per relevantdiscipline are the following.Alexa Dental Practice Alternative HealthRank 1 WebMD Oral Health Natural Health Information Articles and Center Health Newsletter by Dr. Joseph Mercola 2 American Dental Home Remedies for Common Ailments Association 3 WMDS, Inc. Cure Zone 4 DR.Oogle Cyberspace Ashram for Kriya Yoga, God Yoga, Divine Love and God-realization 5 University of Medicine and Earth Clinic Dentistry of New Jersey 6 Dentistry Weil Lifestyle, LLC 7 Dental Health Directory ABC Homeopathy 8 American Academy of Massage Envy Periodontology 9 ArchWired for Adults in Dr Batras Orthodontic Braces 10 Dentalcompare Homeopathy for Everyone - 11 QuackWatch 12 Oral Cancer Foundation 13 About Cosmetic Dentistry My Home Remedies 14 British Dental Health National Center for Complementary and Foundation Alternative Medicine 15 Osseo News Health and Beyond Online 16 American Association of HypnoThoughts Oral and Maxillofacial Surgeons 17 National Institute of Dental and Craniofacial Research 18 New York University Live Right 4 Your Type College of Dentistry 19 Academy of General The Baseline of Health Foundation Dentistry 20 Byron Katie   70  
  • 71.  Alexa Mental Health Control of AddictionsRank 1 The Alcoholism and Addictions Resource Directory 2 Psychology Today National Institute on Drug Abuse 3 Steve Pavlina - Personal US Drug Enforcement Agency Development for Smart People 4 SCORE Counselors to Alcoholics Anonymous Americas Small Business 5 American Psychological Smoking Cessation by Association 6 Psychology Today Partnership for a Drug-Free America 7 Mental Health Net Hazelden 8 National Institute of Drug Policy Alliance Neurological Disorders and Stroke 9 Motivating Moments NIAAA 10 Mental WhyQuit - Cold Turkey Quitting Health 11 Substance Abuse and National Institute on Drug Abuse Mental Health Services Administration - SAMHSA 12 Inspirational Words of NIDA for Teens: The Science Behind Drug Wisdom Abuse 13 Stress Office of National Drug Control Policy Management 14 Daily Motivator QuitNet 15 National Institute of Mental Alcohol: Problems and Solutions Health 16 Wrong Planet Centre for Addiction and Mental Health 17 Social Anxiety Support Narcotics Anonymous World Services 18 About Depression Narconon Drug Rehabilitation Treatment for Addiction & Abuse 19 WebMD Depression Future Opioids Health Center 20 Web4Health The Agape Center   71  
  • 72.  Alexa Weight LossRank1 WeightWatchers.com2 Calorie Count3 Weight Loss For All4 www.calorieking.com5 3 Fat Chicks on a Diet!6 Calculate your Body Mass Index7 Weight Loss: About.com8 Weight Loss Support Community9 Health Weight Forum10 CalorieLab11 Caloriesperhour12 Diet Bites13 Australian Weight Watchers14 The Lose Weight Diet15 Weight Watchers16 Fatty Weight Watchers17 John is Fit18 Green Mountain at Fox Run19 Dottie’s Weight Loss Forum20 Atkins Diet Bulletin Board       72  
  • 73.  PHASE 4CHANNEL SYNCHRONYHow do the different channels interconnect?All are funneling the prospect toward a unique goal: applying online for acourse at HTI. Each channel appeals to different target market and to differentlevel of relationship with HTI.The content developed for each channel is designed to develop differentcommunities that we will build across the life stages of the product.Each channel serves a specific purpose for different communities.We will try to use the marketing investment as the average of companies doMainly strengthening our website, gathering all the data of alumni as old as 10years ago and make an online launch with the email. (See on the table below)How do they benefit from each other?Because they are interconnected, the channels generate traffic to each otherand cross promote the different services offered by HTI. For example, if afuture mother that seeks for Hypnotherapy for child birth sees an article abouthow franchisers are making business with hypnosis she might be interested injoining the group.The overall objective is to have the highest traffic on each channel whilespreading the word about the benefits of this discipline world wide.How do they link to your traditional “physical” or offline channels? Forexample, does your customer care centre refer customers to the websiteand/or vice-versa? Does your product’s packaging prompt customer to join asocial network through a promotion?   73  
  • 74.  In order to get the buzz running, we will need to PERSONALY talk withalumni, ex-alumni and all the community that influences Hypnotherapy. Wewill have a launching event, where we will explain the main concept and willinvite people to join us.We will also have conferences to promote HTI as part of our communicationplan. After this conference we will ask people to give us their data in order tolater on, invite them to join any of out communities.A big part of the Buzz will be made by Influencers on the different fields wewill identify those influencers such as bloggers and will invite them all to a freeclass in order for them to have a better idea about the benefits ofhypnotherapy. That way we will get them to talk about HTI to the people theyinfluence.We would have different activities to cross-promote the different courses. Forexample, after a live conference, we will give a discount voucher to a doctorfor the purchase of a book about personal growth.After a course, we will ask alumni to help us invite 3 people from their familyto Facebook, and giving an special give away (an “exclusive” webinar for thefamily member and/or a book for the inventor).Every printed material or communication JB gives will have the address of thewebpage and the Facebook fan page. We would strongly recommend theclients to connect themselves with John Butler through LinkedIn.We would broadcast invitation for “exclusive events” on Facebook. Thus, onlyFacebook users would have access to that specific event. We will havepromotion only to our clients through Twitter.HTI will participate in the top 5 wellness events in London where we will leteverybody know about the concept and will try to get people´s data to later onconnect them to our online communities.How will people know about your platform and how can you drive themthere?The first step will be gathering all the data of alumni as old as 10 years ago,launch a massive mail in order to invite them (see on the table below).Secondly will have incentives for current alumni to drive their friends andfamily to any of the groups. Thirdly, one of the KPIs of the Franchiser will behow many people they get participate.HTI will participate in the top 5 wellness events in London where we will leteverybody know about the concept and will try to get people´s data to later onconnect them to our online communities.We will ask alumni to promote and connect their clients to our companywebsites. The purpose would be to generate a powerful word of mouth.On the website, we would add Facebook and Twitter buttons in order forprospects to follow the company on social media.   74  
  • 75.  Platform Analysis 1. Platform PropositionPeople seeking for personal growth: • A wide range of free tips to use in their life. • Information about what they can actually learn to improve their lives. • Understanding of the experience from AlumniPeople interested in hypnotherapy for professional purposes • Information about hypnotherapy applied to their practices.People seeking for career change: • Information about how they can gain money applying the practices. • All the key learning’s from the franchising model can be conveyed through our social media platform, so people interested in pursuing a career can benefit from the business understanding of the community, and learn the best practices from others. 2. Competitive Differentiation How will your platform be distinctive? Why will your customers care about it? (USP)We looked at the UK College of Hypnosis & Hypnotherapy websites. Weappreciated the Facebook page as it is as we imagined our Facebookwebpage. For example, users can already reserve their seats for the nextconferences and classes. Users also have the possibility to post topics ofdiscussion.This is basically what we are aiming to do with our platforms: to increase theirinteractivity as making the users more engaging. Actually our first goal will beto equal the number of fans (1,200) and the # of group members in LinkedIn(600).Key Differentiators: • Promoting a new vision of hypnotherapy in general. • Getting more sponsors and people trying to communicate the brand through the franchising model. • Content Publishing is key to the success of this platform. • Using the right channels to convey the right content to different interests. • Viral videos, tests and games. • Conducting webinars through the web.Contextual RelevanceOur platform will help promoting HTI new value proposition across the targetmarket and key influencers.While interviewing with current alumni, we learned that the experience from   75  
  • 76.  HTI current trainings is highly satisfactory. So HTI only needs a platform thatgenerates high expectations from potential customers.Our main focus will be in generating awareness of HTI offer though out thechannel while starting by generating interest in our content.Our second focus will be to generate frequent messaging in order to get themmake a trial of HTI offer.The third goal will be to maintain communities of people that are currentlyenrolled to the courses and ex-alumni that will share the knowledge and willhelp us produce content to spread the word to potential customers.Finally, the fourth goal is to use this platform in order to sense current needsand perceptions of potential customers in order to use this information todesign their courses.PersonalizationCustomer acquisition:The platform will be massive at first by only delivering interest content to ourtarget market via our channels: Facebook, LinkedIn, YouTube, Industrywebpages.We expect that after receiving a couple of articles of webcasts they willactually enroll either at Facebook or our webpage and subscribe toperiodically obtain information.After that, we expect to assist to a conference or a “trial” free class where theywill have a small chat with an HTI representative in order to clear out inperson their doubts and finally we want them to enroll in a course concludingthen the customer acquisition path to purchase.Customer relationship managementOnce we have acquired a costumer we will have 2 goals: a) Gain more business from each client by getting him or her to enroll to more courses. b) Gain their interest in representing the brand by training others.Our platform will have a special space for that community of enrolled alumniand prospect franchisee. The table below will help us to understand why wewant to use Social media for managing our relationship with potentialfranchisees.   76  
  • 77.  Transactional RoleOur communication platform will be devoted to communicate the benefits ofthe courses and the only “transaction” we expect will be people to enroll to a“free class” (which we will provide the platform to subscribe at Facebook andthe website).However, as a second phase we will need to review the e-articles and e-books available to sell in order to use them as a source of revenue divingthem in different interests sections.Technology and applicabilityOur plan is designed to be implemented with the technology available and canbe applicable now in UK but can be replicated exactly to US and later on othermarkets of interest.3. Content Outline (Company-Provided)Key Content Types- Webinars - Interactive presentations aimed for the three different client segments. Current and former students have free access to these presentations to gain more information about the latest trends and discuss like-minded people on the key issues relevant to them. In the beginning the webinars are offered on a monthly basis and as HTI begins to increase their student basis the webinars will be held more frequently.   77  
  • 78.  - Webcast - The webinars will be edited to concise webcasts and into pdf. documents that will be free for former and current students. People not still involved with HTI have them available for purchase. The webcasts will be available online shortly after each webinar.- Articles - Articles will be published on the website, and at the blog and forum. The topics will be HTIs self-published material, latest industry reports and comments / thoughts on what is happening in the industry. The articles will also cover multi-part series following student’s journeys from a novice into a hypnotherapy expert in personal growth or as a member of the HTI franchise. Other stories can be about people’s journeys on how they come in contact with HTI and benefit from it, for example a woman’s journey from her start of a Natal Hypnotherapy course and finishing after she has given birth. HTI will also publish interviews with industry experts and members of the HTI franchise.- Forum discussions - Forum discussion is targeted for the current and former students and people interested in becoming part of the HTI family. The discussion will have a general forum section available for everyone and a private, three- layered segmentation for current and former students. The forum discussion will be stimulated by the HTI admins by starting up conversations about the latest news related to the courses, the benefits, and the different possible applications they have.- Blogs - HTI’s key personnel will keep and update their blogs on a weekly or monthly basis. The topics will vary between the three main segments and provide the latest information what is happening with HTI and in the industry. HTI will also have guest bloggers to increase traffic and backlinks to the website. The bloggers will be influential authority figures in fields that are relative to HTI and successful HTI franchisees.- Photos - Photos on the website have the purpose to create the right kind of emotional feeling of calmness and relaxation. The photo gallery will have pictures of the classes, seminars and members of the HTI franchise around the world. The photos will be updated as new courses and events are organized.- Music - Music on the website is also meant for the creation of a relaxed and calm sensations when people browse it. The music played on the website will consist initially of 10 songs averaging about three minutes in length. The user will be issued a song on random but they can change or mute it if they choose so. Depending the feedback the amount of songs can be increased later.   78  
  • 79.  - Video - Video content will be upgraded from the current ones into a more professional visual style. The videos will be distributed through the website and social medias. The three-layered segmentation will be used in this medium also to ensure that people with different interest will have the most relevant content for them.- Games (interactive and educational software) - The games available at the HTI website and on their Facebook page are meant to highlight what strengths and weaknesses a person might have. They are targeted for people seeking personal growth and who want to improve their individual skills. The idea of the game is that you can “upgrade” your skills and have the option to share your scores with your fellow students. The scores can be put on everyone’s individual user page so students can see how their skills improve during the different courses. The number of games can be increased as they become popular.To increase the effectiveness of the published content and keep it up-to-dateHTI will be establish affiliate partnerships with companies from the topwellness industries around the world such as Yoga, Taibo, and Pilates etc.We will also participate in the following wellness related events in the UK: - FitPro Spring Convention 8-10 April 2011 at Loughborough University - Mind, Body and Beauty Show-Harrogate 19 March 20114. Content Outline (Consumer-Created)As we are using a franchising model for the expansion of HTI, the visual styleand terminology will naturally be restricted to the HTI format they will have inthe UK. Students wishing to start their own practices will be provided with allthe information and data required, as well as a best-practice guide for startingup the business and promoting it.Carefully selected students will be selected for the follow-up stories coveringstudent journeys so that we can ensure the quality of the writings. The contentwill be reviewed by HTI before publishing but the intention is not to censornegative feedback, only ensure that there are no legal issues, spellingmistakes or false / incorrect information. The general blog discussion will befree for all sorts of conversations but monitored by admins for slandering,racist or otherwise inappropriate comments.The webmaster/community manager should take the initiative and start newthreads when appropriate. This should be a daily habit so that new content isupdated daily i.e. one post every day. Replies are also equally important. HTIemployees and students will write their reviews and opinions about the topicsbeing discussed. Gradually inactive members will start participating. An activecommunity will draw new members and more active participation.   79  
  • 80.  To increase the amount of targeted traffic (people from specific communitiesand sites that are highly relevant to HTI), we’ll be establishing HTI’s authorityin popular blogs and forums dealing with wellness as well as nichecommunities in LinkedIn.On the HTI website we will have quick links enabling sharing of contentthrough Facebook, LinkedIn and Twitter. The students can also share theiruser profiles in the forums and in Facebook.STEEPLE analysis of UK and European market in generalIn appendix, youll find the STEEPLE analysis of the two identified market ofHTI: United-Kingdom and Europe. This analysis is supposed to highlight someopportunities the company has to expand its business abroad.As being weakly implemented in the UK, we found relevant to look at it inorder for HTI to better understand its domestic market. Europe seems to bean interesting market. With more than 700 million of habitants, it representsan attractive market with an important amount of potential customers.However, regarding the lack of structure of HTI, we would recommend thecompany to focus on the UK, rather than planning to do some businessabroad.Indeed, the company needs first to gather a consistent number of customersin its domestic market in order to grow its revenue and then, once having asolid network of hypnotherapists in UK, invest abroad. This strategy is mostlikely to be reached via the franchising model.Geert’s Hofstede Culture Index " Culture is more often a source of conflict than of synergy. Culturaldifferences are a nuisance at best and often a disaster." Prof. GeertHofstede. Cultural dimension of the country has to be considered by allbusinesses. While the company is decided to open a new branch or sell theirproduct in the host countries, they have analyzed the behavior, the mainculture and their tradition. Many company have failed to open their businessesin other countries. They do not care about the culture aspect and theybasically care about how to get more profit. Afterward, with Geert Hofstede’s cultural analysis, businesses will knowhow to interat and deal with their clients overseas and this is a good benefitfor HTI in order to offer their services in their target territories. This analysiswill reduce the level of anxiety, stress, inconvenience and concern. The chartsbelow show the scores of the culture dimension of 7 countries that HTIconcerns about.   80  
  • 81.   (Source:   81  
  • 82.  Power Distance IndexUK - The rank between manager and employee is considered equalFrance - High PDI - Rank is very important in France. - Has the highest PDI score among other european countries - Strict, adherence to a chain of command - People perpetuate PDI in order to avoid conflicts with upper management.United States - The hierarchy in the organization is not a matter in the company  Ireland - Greater equality between societal levels in Ireland, including government, organization and familiesGermany - Low power distance - The equal rights between men and women is prohibited by German Constitution - Employment and wage discrimination based on sex is prohibited by law - This illustrates Germany’s belief in equality and opportunity for each citizen, as well as its ability to change and adapt rapidlyPoland - has a high power distance since the end of communism in 1989 - inconsistent policies targeting gender discrimination and protecting womens rights - The rank is really important. - The upper management has all the control and need to be respected by the employees.Italy - Rank is more important to Italians - Italy is working to de-emphasize the differences between its citizen’s power and wealth - The most senior or eldest person present should always be given special treatmentIndividualisticUK - People in the United Kingdom tend to care and improve their individual life - Try to be better than anyone else   82  
  • 83.  France - Highly Individualistic - Will refuse to accept changes in their way of doing thingsUnited States - United States is considered more individualistic - Relatively loose bonds with others. - The populace is more self-reliant and looks out for themselves and their close family members.Ireland - An Individual will do their own tasks and take their own responsibilities without looking after of others.Germany - High individualism - Individuals are no integrated into groups - German citizens is expected to look after him/herself and his/her immediate familyPoland - High Individualistic - poland population have individualistic appeals - emphasize values such as the separateness and uniqueness of an individualItaly - Identity is based on the individual - Task prevails over relationshipUncertainty Avoidance IndexUK - British culture is relatively open to taking risks and dealing with change - Constant revision of laws and government structures. - Conflict between employee and manager is considered healthyFrance - High UAI - French tends to avoid confrontation and uncertainty - Strict government rules and regulationsUnited States - A society that has fewer rules and does not attempt to control all outcomes and results - has a greater level of tolerance for a variety of ideas, thoughts, and beliefsIreland - Irish are willing to take risks as well as change   83  
  • 84.   - Irish can make a deal with others even they do not know who are their partners.Germany - Germans are not to keen on uncertainty - planning everything carefully - In Germany there is a society that relies on rules, laws and regulations. - Germany wants to reduce its risks to the minimum and proceed with changes step by step.Poland - high uncertainity avoidance - has strict rules and regualtions - the Polish Peoples Republic was a sovereign state as defined by international lawItaly - People in Italy do not take big risks - They would prefer to know you before they do business with you - When doing business and they don’t know you, they prefer a fax introducing yourself before you talk to them in person or on the phone - Afraid of Change - Fear of the unknownMasculin/FemininUK - The man still plays a big role in the society. The woman plays a men’s role is becoming popular - A high masculine society places greater value on success, money and material possessions.France - Low Masculinity - More emphasis on caring for others and quality of life. - Some of their values are like cooperation, friendly atmosphere, group decision making, - More employee freedoms and environmental conservation.United States - The male dominates a significant portion of the society and power structure. - Women are shifting toward the male role model and away from their female role.Ireland - Men power is considered the most powerful in the society. The Man is the one who works for their family. Nowadays, woman tends to work as what man does and man power seems less powerful.   84  
  • 85.  Germany - men values is more considerable in the society - men is self-centered - the representative of germany in United Nations is a women. It shows that women values is start to be accepted.Poland - High Masculinity - limited progress in gender equality for women - Women are concentrated in the more poorly paid occupations and trades, especially in low paying and low status public sector occupations - In 2006, 52.9% of women aged 15 years and older were inactive in the labor market - men are responsible to a greater degree for the material well being of a familyItaly - Stress on equity, competition, and performance - Managers are expected to be decisive and assertive - Men role is more accepted in the societyLong Term OrientationUK - Persistence - Ordering relationships by status and observing this order - Thrift - Having a sense of shameUnited States - People in the States tend to reflect an appreciation for cultural traditions. - People and the Government in the united states tend to face what is currently happening rather than make a future plan within 5-20 years.Germany - Respect traditions - Solve problems as soon as possible - personal steadiness and stabilityPoland - has a low long term orientation regarding the focus on social and status obligations at any cost - overspending is common and Savings are not top priority. - They respect traditions - reciprocation of greetings, favors, and gifts   85  
  • 86.  AnalysisBasically, after doing culture analysis from 7 different countries, HTI will nothave a hard time to promote their services to those countries as they have thecommon value which is individualistic. This is a great moment for HTI if theywant to address issues related to self improvement and achieving goals. it willeventually create a distinctive image of HTI.In addition, HTI needs to be aware that when talking about different subjetssuch as stress facing uncertainty or fast changing environment as Italian,german, polish and french may not be very interested. While talking abouthow to manage your “role” in the corporate world may be very appealing tofrench, polish and italian but not to people in the UK and US. Besides that,language is very important. Given their high individualistic characteristics, allpeople in those 7 countries will may feel reluctant to even communicate inanother language.What they actually need to be aware: - The course must be well-explained and understandable as people from high UAI such as French and Germany may not join the HTI course if they create uncertain image and ambiguous products and services - Promotes and explain the main benefits that the customers can get from HTI services in short term as well as long term. Some countries with Low LTO are willing to know about the benefits that can be applied directly or short time. - Males and females should be treated equally during the course as well as while chosing the right course for them. - Students in the classroom should not be classified depending on their status or job ranks - Teamwork should also be applied. People should change and knows when they can work alone as well as when they have to work in a group. Group assignments and projects often occur in the real working life and individual people should face and deal with it. - Do’s and Don’ts in the business etiquettes of each countries need to be considered as they have etiquettes and conducts that actually different from others which they may like or dislike it.           86  
  • 87.  AppendixesReview of the digital mix by Mike Berry from Econsultancy  Appendix 1RE: Our project from ErikaMike BerrySent:11 December 2010 16:18To:adriana mancilla;; arief budiman njonoriswondo;; Olli Lainto; Paul-Valentin Pitou; NataliaMogilevskaya; Charise Mason; Erika RaigosoHi guysYes, Erika warned me this would be coming!Your team is definitely The United Nations of Digital (I hope you aremore effective than they are...)The School doesnt allow me to coach you, but here are somepointersHere are my thoughts on your project plan:________________________________________________________________________________________________________________________________________________________________________Is Neo your idea? If so, you need a big reveal (after Slide 8 and notat top of each slide!)Audience segmentation is essential because the companys offering is sodiverse/ varied.In what follows, you should make clear what is for consumers(=patients) and what is for professionals (therapists, surgeons etc).The various groups will need distinct approaches/ selling messages.Your analysis of the situation is good and gets to the main issues.Objectives: I would suggest you need to be more specific/ quantify whatresults you are aiming at (SMART). Also low-cost and highly effectivedigital campaigns are difficult to achieve ; needs great strategy andcreative!Not sure the communication funnel is working: are you expectingpeople to move from Facebook to Twitter/ LinkedIn etc? Maybe redrawthis chart as a series of ovals all focusing on the core TargetAudience/s?SEO: I like your list of keywords (from Google Keyword Tool?)I think all your Social Media ideas are good. Perhaps also a YouTubeChannel: short films showing hypnotherapy in practice (safe, healing,peaceful etc) inviting comments from happy customers...For consumers, you could test PPC ads. eg Google AdWords bid on sleepbetter London or relaxation therapy West London safe hypnosis etc.Maybe also some online display ads on relevant self help/ wellness   87  
  • 88.  sites?You will need summary chart/s to pull it all together._______________________________________________________________________________________________________________________________________________________________________<Maybe ask a native English speaker to check all the spelling/grammar?>Good work; hope this helps!RegardsMikeProfessor Mike Berry MSc, BSc, ARCSLead Tutor, Master Of Digital Marketing ProgramHult International Business Schoolmike.berry@hult.eduAppendix 2________________________________________De: Tracey Kelly []Enviado el: sábado, 11 de diciembre de 2010 07:21 p.m.Para: adriana mancillaAsunto: RE: HTI projectHi Adriana,Just seeing your email now. Hopefully its not too late for yourrequirements....1.How did you find out about HTI?I found out about HTI through internet research. I was looking for aHypnotherapy course and the HTI course was one of several that Ilooked at.2. Please give us a reason for which you decided to studyhypnotherapy?I had experienced hypnosis in the past and I was interested inlearning more about it from a personal development perspective andalso with a view to running some Hypnobirthing and Weight Lossworkshops.3. What did you find the main benefit of Hypnotherapy?There are so many benefits from hypnotherapy for the individual. Forme it was an increase in awareness of the power of our subconsciousminds to influence us physically, emotionally, mentally, in so manyways in our lives.4. Was being "in class" with a mix of different people (medicalprofessionals, elderly people, etc.) a problem for you in theunderstanding and development of the course?I personally think this was one of the strengths of this course. Ilearned so much from fellow students, from the work they are doingwith hypnotherapy, from very different professional, cultural, socio-economic backgrounds etc. You can learn from everybody but I reallyfelt the diversity enriched the courses for me.5. What do you think about the idea to split HTI courses followingparticipants purposes :-professional-personal growth-alternative career   88  
  • 89.  Perhaps medical professionals would prefer courses for their specificrequirements, but I believe this is already available. Other thanthat, I feel that through the diversity we can have a greater idea ofthe range of applications and this can help shape the direction wedecide to go with it.I was looking for Personal Growth but was also very keen to learnabout Medical Hypnosis and Im glad that the focus was broad.6. Do you plan joining social media in order to stay in touch withHTI and John Butler??Yes, already using LinkedIn for HTI / John Butler.7. How would you like JB to keep you informed about the latest news?Mailing List, Phone, LinkedIn or other social networks.8. What do you plan to do after finishing the course?Establishing business ideas for Hypnotherapy work9. Would you recommend HTI? if yes or no, why?Yes, I would (and do) highly recommend the HTI. HTI is committed to ahigh standard of teaching and these are the best courses that I haveever attended. Its rare to encounter teachers like John Butler andSharon Young, who not only have a wealth of knowledge and experiencebut are committed and passionate about hypnotherapy and its value tothe world.10. Did you find the website quickly? and was it easy to use? Didyou found it interactive enough?Yes, I found the website relatively quickly. Its straightforward andeasy to navigate.11 If you recommended hypnotherapy... what would you say to yourclients?Im a bit confused by the layout of this question but.....generally, I would say that Hypnotherapy is an extremelypowerful and effective therapy and that if they let it, it couldreally benefit them in whatever area it is that they want to workon. I would say that hypnosis is an extremely relaxing state and assuch, that it is genuine time for the self, giving their mind andbody time to function at its optimal level.Guys, its late, so I hope the wording of my answers makes sense.Please feel free to call me tomorrow if you need any furtherinformation or clarification.Best of luck with the project.Tracey   89  
  • 90.  Appendix 3_______________________________________De: John Butler []Enviado el: lunes, 22 de noviembre de 2010 11:10 a.m.Para: adriana mancillaAsunto: Re:Dear Adriana1.- Professionals (in the medicine field) that want hypnotherapy toextendtheir current skills.2.- People seeking Hypnotherphy as an alternative career.3.- People who seek hypnotherphy for personal growth.First of all, what do you think about this idea?Yes, that is interesting - "medicine" field would be better toinclude allkinds of therapeutic approach, such as massage, counselling etc.Secondly, we would like you to help to clarify some doubts we have:1. Does everyone that wants to learn about hypnotherapy HAVE to takethe 4main courses?No, anyone can take any of the courses without the others, but wewill notaward a diploma if they have not taken the 4 main courses and theaccreditation process. Sometimes, at our discretion, we can awardcreditfor equivalent learning. However, they cannot take Courses 2, 3 or 4unlessthey have learned enough hypnosis elsewhere to be able to participateasthese courses assume some prior learning in hypnosis.2. Can a doctor go directly to the course he needs, without attendingthe 4main courses?Not unless he or she can demonstrate they have enough hypnosis priorlearning in order to participate - otherwise they would be unable totakepart in exercises etc and hold up the rest of the class for basicexplanations etc.3. Can anyone regardless of background can take the medical courses(hypnosurgery for surgeons and aneasthtists) after taking the 4 maincourses?No, these are only for surgeons and anaesthetists - they are veryspecialised, to the surgical environment, and the CPD requirementsfor theseprofessions require that the training is exclusively for them.4. Are the 8 courses listed on the website the only courses HTIoffer?At present, yes.   90  
  • 91.  5. Do you teach in different way wether you speak to a professionalor aperson seeking for personal growth.They are mixed in the class, so the only difference would be in thequestions they ask, or the additional support they seek, and theresponsesgiven to these.6. What career support in Hypnotherapy HTI offers for graduates?Tutoring and supervision, including advice on starting up and runningapractice, are available.7. For the people that are seeking in hypnotherapy a personal growth,inyour experience, what would you think are the bigger needs they have?forexample: stop smoking, weight lose….)They are usually looking to understand why they feel out of place inlife,as though they dont understand how things work, or why they feeldifferentfrom how they believe other people feel.With best wishesDr. John Butler     91  
  • 92.  Appendix 4STEEPLE1. United-Kingdom1.1 Social factorsIncome distributionIncome distribution across age bands: Age Band Median Mean Median Mean Median Mean Income Income Income Income Income Income (Men) (Men) (Women) (Women) Under 20 £ 8,130 £ 9,570 £ 8,490 £ 9,810 £ 7,990 £ 9,250 years 20 – 24 years £ 11,800 £ 13,200 £ 12,400 £ 13,800 £ 11,200 £ 12,300 25 – 29 years £ 17,000 £ 19,300 £ 17,800 £ 20,600 £ 15,900 £ 17,800 30 –34 years £ 19,500 £ 23,900 £ 21,600 £ 26,700 £ 16,400 £ 20,100 35 – 39 years £ 20,100 £ 26,800 £ 23,600 £ 31,700 £ 15,500 £ 20,100 40–44 years £ 20,200 £ 28,100 £ 24,600 £ 34,600 £ 14,900 £ 19,800 45 – 49 years £ 20,300 £ 28,600 £ 24,800 £ 35,400 £ 15,200 £ 20,100 50 to 54 years £ 19,300 £ 27,000 £ 23,500 £ 33,400 £ 15,100 £ 19,200 55 – 59 years £ 17,200 £ 24,500 £ 20,900 £ 29,900 £ 13,100 £ 17,200 60 – 64 years £ 13,600 £ 20,000 £ 16,500 £ 24,300 £ 10,700 £ 14,200 65–69 years £ 12,600 £ 17,900 £ 13,600 £ 19,500 £ 11,100 £ 14,800 70 – 74 years £ 13,300 £ 18,100 £ 15,600 £ 21,100 £ 10,700 £ 14,300 Over 75 years £ 12,400 £ 16,700 £ 15,300 £ 19,900 £ 10,400 £ 14,100Income distribution by job typeSource is 2007 Annual Survey of Hours and Earnings (ASH) Job group (socio Median earnings (£/year) Mean earnings (£/year) 90th percentile (top ten) economic) earnings All employees 19,943 24,908 42,902 Managers and executives 34,001 47,082 78,072 Professionals (e.g. doctors, 32,176 34,932 54,941 lawyers etc.) Associate professional and 24,999 27,245 41,313 technical (e.g. nurses, police) Administrative & secretarial 15,452 16,135 26,205 Skilled trades (e.g. builders, 21,871 22,607 34,835 carpenters, plumbers etc.) Personal service Jobs (e.g. 11,461 12,226 20,370 hairdressing, care assistant) Sales 9,093 10,512 19,072 Semi-skilled operators 19,972 20,710 31,615 Elementary jobs 11,703 12,292 22,850DemographicsThe population of the United Kingdom in the 2001 census was 58,789,194.This has since risen to 60,587,300 according to mid-2006 estimates by theOffice for National Statistics. Current estimates (mid 2010) put the countryspopulation at closer to 63million. Part Population (mid-2006) % (mid-2006) England 50,762,900 83.8 Scotland 5,116,900 8.4 Wales 2,965,900 4.9 Northern Ireland 1,741,600 2.9 United Kingdom 60,587,300 100   92  
  • 93.  • Labour/Social mobilityChildren from poor families in Britain have a greater chance of struggling onlow incomes than their counterparts in the wests other rich countries, theOrganization for Economic Co-operation and Development (OECD) saidtoday.• Lifestyle changes% poverty 17%Amphetamine use 3% [2nd of 26]Cannabis use 9% [4th of 26]Confidence in social institutions 45% [11th of 17]> ChurchDiscuss politics frequently 13% [12th of 17]Happiness level > Not very or 7% [42nd of 50]not at all happyHappiness level > Quite happy 55% [28th of 50]Happiness level > Very happy 38% [11th of 50]Happiness net 87% [10th of 50]Happy Planet Index > Life 7.1 [8th of 11]SatisfactionLife satisfaction 7.2 [17th of 69]Life satisfaction inequality 2.2 [66th of 87]Members of voluntary 5% [12th of 17]organisations > CharityNot proud of their nationality 11% [12th of 17]Political orientation > Far left 2.4% [50th of 61]Political orientation > Far right 1.2% [59th of 61]Roller coasters 160 [3rd of 75]Trust people 38% [12th of 17]Very proud of their nationality 53% [6th of 17]Will fight for country 74% [8th of 17]• Work/life balanceWork-life balance (WLB) issues are beginning to be one of the key items onthe agenda of many large organizations -- and a concern for workerseverywhere. This means flexible working for most people and benefits for bothstaff and employers. Statistics reveal that while the UKs employees spendnearly 49 minutes a day managing their email (based on Gartner figures), UK   93  
  • 94.  adults only manage to spend 25 minutes a day playing with their children,according to Office of National Statistics research. The Department of Tradeand Industry (DTI) Work-Life Balance Campaign has shown that businessescould do more to tackle the long-hours culture. The cost of stress-related sickleave and absenteeism in the UK is enough to pay for another two MillenniumDomes -- sick days as a result of stress cost the British Industry £370m peryear (equivalent to £7.11m per week) according to the Health and SafetyExecutive. The average worker skips 24 minutes of his or her lunch breakevery day, the equivalent of approximately two weeks more holiday per year(figures from Data Monitor). More than half the UK workforce is suffering fromstress and one in four takes time off as a result (Research carried out byInternational Stress Management Association UK). A DTI spokesman said:"Everybody can benefit from a better work-life balance. More flexible workingboosts staff morale, improves employees commitment to their work, andbenefits business through higher productivity." According to the Health andSafety Executive, 6.5 million sick days are taken every year as a result ofstress -- costing £7m per week and £1.4m per working day. It also states thaton average it take 11 weeks to replace a worker. Xerox (UK) estimates that ithas saved over £1m over the last five years through enhanced retention dueto better work-life balance policies, including flexible working and leaveschemes. Earlier this year Microsoft won an award for being the companywith the best work-life balance in the UK. The software giant is recognized forencouraging its employees to limit the time they spend at work and keep theirevenings free. There is a 9-5.30 club that gives 10p to the NSPCC as areward every time they work these hours.• EducationEducation in the UK is a devolved, with each country having a separateeducation system. Education in England is the responsibility of the Secretaryof State for Education, though the day-to-day administration and funding ofstate schools is the responsibility of Local Authorities (previously named LocalEducation Authorities). Universal state education in England and Wales wasintroduced for primary level in 1870 and secondary level in 1900.Education is mandatory from ages five to sixteen (15 if born in late July orAugust). The majority of children are educated in state-sector schools, only asmall proportion of which select on the grounds of academic ability. Stateschools which are allowed to select pupils according to intelligence andacademic ability can achieve comparable results to the most selective privateschools: out of the top ten performing schools in terms of GCSE results in2006 two were state-run grammar schools. Despite a fall in actual numbers,the proportion of children in England attending private schools has risen toover 7%. However over half of students at the leading universities ofCambridge and Oxford had attended state schools. The universities ofEngland include some of the top universities in the world; University ofCambridge, University of Oxford, Imperial College London and UniversityCollege London are ranked in the global top 10 in the 2008 THEQS WorldUniversity Rankings Trends in International Mathematics and Science Study(TIMSS) rated pupils in England 7th in the world for Maths, and 6th forScience. The results put Englands pupils ahead of other European countries,including Germany and Scandinavian countries.   94  
  • 95.  Education in Scotland is the responsibility of the Cabinet Secretary forEducation and Lifelong Learning, with day-to-day administration and fundingof state schools the responsibility of Local Authorities. Two non-departmentalpublic bodies have key roles in Scottish education: the Scottish QualificationsAuthority is responsible for the development, accreditation, assessment andcertification of qualifications other than degrees which are delivered atsecondary schools, post-secondary colleges of further education and othercenters; and Learning and Teaching Scotland provides advice, resources andstaff development to the education community to promote curriculumdevelopment and create a culture of innovation, ambition and excellence.Scotland first legislated for compulsory education in 1496. The proportion ofchildren in Scotland attending private schools is just over 4%, although it hasbeen rising slowly in recent years. Scottish students who attend Scottishuniversities pay neither tuition fees nor graduate endowment charges as thefees were abolished in 2001 and the graduate endowment scheme wasabolished in 2008.Education in Northern Ireland is the responsibility of the Minister ofEducation and the Minister for Employment and Learning, althoughresponsibility at a local level is administered by five education andlibrary boards, covering different geographical areas. The “Council forthe Curriculum, Examinations & Assessment” (CCEA) is the bodyresponsible for advising the government on what should be taught inNorthern Irelands schools, monitoring standards and awardingqualifications. The Welsh Assembly Government has responsibility foreducation in Wales. A significant number of Welsh students are taughteither wholly or largely in the Welsh language; lessons in Welsh arecompulsory for all until the age of 16. There are plans to increase theprovision of Welsh Medium schools as part of the policy of having afully bilingual Wales.• Fashion/fadsLondon has long been the capital of the UK fashion industry and has a widerange of foreign designs which have integrated with modern British styles.Typical British design is smart but innovative yet recently has become moreand more unconventional, fusing traditional styles with modern techniques.Among the most notable UK fashion designers are burberry, Paul Smith,Vivienne Westwood, Stella McCartney, John Galliano Jasper Conran aandAexander McQueen. The last British Haute Couture House is said to be Saint-Hill & Von Basedow.• Health/welfareHealthcare in the United Kingdom is a devolved matter and each country hasits own system of private and publicly funded healthcare, together withalternative, holistic and complementary treatments. Public healthcare isprovided to all UK permanent residents and is free at the point of need beingpaid for from general taxation. Taken together, the World Health Organisation,in 2000, ranked the provision of healthcare in the United Kingdom as fifteenth   95  
  • 96.  best in Europe and eighteenth in the world.Regulatory bodies are organized on a UK-wide basis such as the GeneralMedical Council, the Nursing and Midwifery Council and non-governmental-based, such as Royal Colleges. However, political and operationalresponsibility for healthcare lies with four national executives; healthcare inEngland is the responsibility of Her Majestys Government; healthcare inNorthern Ireland is the responsibility of the Northern IrelandExecutive;healthcare in Scotland is the responsibility of the ScottishGovernment; and healthcare in Wales is the responsibility of the WelshAssembly Government. Each National Health Service has different policiesand priorities, resulting in contrasts.Since 1979, expenditure on healthcare has been increased significantlyto bring it closer to the European Union average. The UK spends around8.4 per cent of its gross domestic product on healthcare, which is 0.5per cent below the Organisation for Economic Co-operation andDevelopment average and about one per cent below the average of theEuropean Union.• Living conditionsThe cost of housing in the United Kingdom has continued to increase over thepast ten years, with the latest at 1.7% in the previous year. Apartmentslocated downtown can be very expensive while suburban houses are alsoquickly upping in value. Rental rates for a one-bedroom apartment can beanywhere from 200 to 300 euros every month.Bigger units with service swimming pools and other amenities can reach up to2,000 euros every month. Suburban homes with yards are available for rentfrom 500 to 1,500 euros monthly. There are also a number of cheaperapartments with lesser quality in remote areas at 80 to 150 euros a month. Allthese are priced depending on quality and location. Cheap accommodationsusually exclude utilities.Owning property in the United Kingdom is strictly for citizens only.Expatriates can own land provided that they have changed theircitizenship or have legal implications like marriage or diplomaticdocumentation. Taxes on house building will be indicated as well asproperty management and right to ownership and maintenance. Moreaffordable homes and land for sale can be found in the outskirts ofsmaller towns and vast farmlands. Accessibility to these areas arehowever questionable and utilities may not be as reliable.• Poverty levelsDefining the poverty line as those individuals and households with incomesless than 60% of their respective medians: 17-18% of the population arefound to be in poverty at any one time consistently, from 1994-2004. (Source:BBC news)In 2003 to 2004, 21% of children lived in households below the poverty line.   96  
  • 97.  After housing costs are taken into account, this rises to 28%.3.9 million number of single people in the UK living below the poverty line in2005. Many of these people are divorced women. (Poverty among singlepeople is not as high profile as that suffered by families and pensioners).(Source: The Elizabeth Finn Trust/BBC News)Nearly 60% of those in poverty are homeowners. Source: BBC news• Job securityIn less regulated European economies, such as the United-Kingdom, it ismuch cheaper to sack permanent employees. In Britain, employees are onlyentitled to a legal minimum of one weeks redundancy pay per year worked(one and a half weeks for workers over 40). Instead, private- and public-sectoremployees who feel they have been unfairly dismissed have the right to takethe company to an Employment Tribunal in order to be re-instated or to obtainextra compensation. It is not necessary to go through the normal courtsystem.1.2 Technological• Government spending on research• Governments and industry focus on technological effort [In 1980, the UK government invested just over 6-million pounds in a four-year program, later extended to six years, called the MicroeletronicsEducation Programme (MEP), which was intended to give every school inBritain at least one computer, software, training materials, and extensiveteacher training. Similar programs have been instituted by governmentsaround the world.]Technology has frequently been driven by the military, with many modernapplications developed for the military before they were adapted for civilianuse. However, this has always been a two-way flow, with industry oftendeveloping and adopting a technology only later adopted by the military.Entire government agencies are specifically dedicated to research, suchas Americas National Science Foundation, the United Kingdomsscientific research institutes, Americas Small Business InnovativeResearch effort. Many other government agencies dedicate a majorportion of their budget to research and development.• New discoveries and developmentsPublic policy has started to embrace social innovation, with the creation of anOffice for Social Innovation in the White House in Washington, and a numberof innovation initiatives such as the I3 Education Fund. The European Union’srecent innovation strategy represents the first time that a well-funded researchand development strategy has placed a significant emphasis on social   97  
  • 98.  innovation as well as technological innovation. A recent overview of the fieldhighlighted the growing interest of public policy makers in supporting socialinnovation in these different sectors, notably in the UK, Australia, China andDenmark. A focus of much recent work has been on how innovations spreadand on what makes some localities particularly innovative.A wearable radar-on-a-chip tracking device with many safety applications,solar-powered equipment to generate clean water and electricity, and a self-sterilizing catheter are among a raft of innovations expected to emerge from anew initiative using designers to help speed up the commercialisation of newtechnologies from some of the UKs leading universities.The Design Councils Innovate for Universities will bring teams of designersinto the technology transfer offices of universities to help scientists andtechnologists accelerate the development of astonishing new applications fortheir research.The six participating universities, announced at an event at the DesignCouncil tomorrow, Monday 1st June, won their place through a competitiveentry process. They are Aberdeen, Cambridge, Leeds, Nottingham, UniversityCollege London and York. Each has nominated four fledgling technologiesthat will be supported by intensive design mentoring for 12 months.The 24 new technologies include innovations addressing vital issues such aschronic disease, crime and the environment. Among them are:• Solar powered equipment to generate clean water and electricity• A device using oxygen to speed up the healing of chronic wounds• Crime-predicting software• Intelligent robotics to restore limb function in stroke victims• A comprehensive and accurate consumer food allergy testing kit• Next-generation MRI scanning technology.David Kester, Chief Executive of the Design Council, said: "In the UK we havea world-class science base with researchers working at the forefront of newthinking, plus an equally potent design capability with the skills to translateideas into products and services that meet the needs of tomorrowsconsumer. Innovate for Universities is about combining both these elementsearly and smartly so we commercialise our technologies around the needs ofreal people and create enduring new solutions and businesses."David Secher, Chairman of Unico, the professional body for commercialisingresearch, said: "Until now, technology transfer offices have not routinelyemployed designers to help develop their ideas. Innovate for Universities willallow designers, through their strategic advice and ability to understand userneeds, to enhance the economic and social impact derived from translatingresearch into public benefit."Lord Drayson, Minister for Innovation, said: "This exciting Design Councilproject will offer innovators in universities really practical advice to help bringtheir innovations to market."   98  
  • 99.  Innovate for Universities is based on a successful Design Council supportservice for high-tech start-ups that is part of its national Designing Demandbusiness programme. It has proved that when designers are involved at theearly stages of science and technology-based product development,commercial propositions that meet a market need emerge more rapidly. It isfunded by the Department for Innovation, Universities and Skills (DIUS) andthe Higher Education Funding Council for England (HEFCE).• InternetInternet Usage Statistics: 51,442,100 Internet users as of June/10, 82.5% ofthe population, according to ITU. Latest Population Estimate: 62,348,447population for 2010, according to US Census Bureau.• Mobile CommunicationsThe UK (mobile) market is considered to be one of the most competitive in theworld with well-established 2G GSM (Global Systems for MobileCommunications) and 3G UMTS (Universal Mobile TelecommunicationsSystems) operators.Following the European Commission’s approval in March 2010 of the OrangeUK Ltd and T-Mobile UK Ltd merger, there are now four UK networkoperators. In addition to the network operators there is also a countlessnumber of Mobile Virtual Network Operators (MVNOs).The growth of mobile in the last decade has been a marked feature of thecommunications market. In August 2010 the Mobile Operators Associationreported there were over 80 million active mobile phones in the UK. Thisfigure far outweighs the UK population, which according to the Office forNational Statistics, in June 2010 stood at 61.8million.We are now witnessing the growth of data services over mobile devices,driven by the increased availability of smart phones and the use ofdongles. These trends will increase the need to make spectrum availablefor mobile services and to continue to improve the existing use ofspectrum.• IT spendApparently David Cameron isnt the only one keen on investing in IT.According to figures published by the European Information TechnologyObservatory (EITO), the UK is leading the Union in IT spending, withinvestment increasing in the double-digits compared to last year.The numbers suggest that total sales of computers, printers and peripherals inBritain added up to around €19 billion in the past 12 months, or just over 16billion of her majestys finest pounds. This marks an 11 per cent increase overlast year, with PC sales alone increasing by 13 per cent to 16 million units.   99  
  • 100.  According to project manager Frank Früh, "especially strong demand byprivate consumers is breathing new life into the PC market," resulting in theabove average growth.While it wont be quite as drastic as it was this year, IT spending in 2011 isexpected to continue to grow by a still-solid 2.6 per cent. The digitalconsumer-electronics market in the UK is also expected to start to grow by asmall amount after several years of double-digit decline.These numbers mean that Britain will stay above the Europe-wide average inCE, IT and overall ICT spending as we move through next year.The news shows that the UK is finally starting to move past the turmoilof the financial crisis. Its clear that, with a little more cash in theirpockets, consumers are starting to feel comfortable spending more oncomputers which they may have been putting off while the future wasless certain.1.3 Economic• Economic growthThe Gross Domestic Product in the UK expanded at an annual rate of 0.8% inthe last quarter of 2010, which is 2.8% higher than the same period in 2009.Country Interest Growth Inflation Jobless Current Exchang Rate Rate Rate Rate Account e RateUnited 0.50% 0.80% 3.20% 7.80% -10 1.5855Kingdom• Interest rates & monetary policiesThe base rate was held on November 4, 2010 at 0.5% the lowest rate in UKhistory. The next interest rate decision will be made on December 9, 2010.Day-to-day operation of monetary policy in the UK is in the hands of the Bankof England (granted independence in setting interest rates in May 1997). TheBank sets the official report rate on the basis of a detailed monthlyassessment of trends in the macro-economy and the associated balance ofrisks to cost and price inflation.The Bank’s Quarterly Inflation Report (available for free download from theBank’s own web site) outlines the Bank’s current projections for inflation. Thegovernment has set an explicit inflation target (2.5% +/- 1% for RPIX inflation– reaffirmed after the 2001 General Election), which now forms the basis formonetary policy decisions.There is no official exchange rate target for the British economy. The UK has   100  
  • 101.  operated a free-floating exchange rate since we suspended our membershipof the European exchange rate mechanism in September 1992 and althoughthe Monetary Policy Committee has occasionally discussed the relative meritsand de-merits of intervening in the current markets to influence the externalvalue of the pound, the Bank has not done so for over a decade. There are inany case severe doubts about the effectiveness of direct intervention in theforeign exchange markets.• Unemployment policyIn October 2010, the unemployment rate stood at 7.7% - down 0.1% over thequarter. 29.19 million people were in work in July to September according tothe labour force survey (LFS). The number of people employed was up by167,000 this quarter and up by nearly 300,000 from last year.The working age employment rate was 70.8% - up by 0.3% on the lastquarter.Unemployment in July to September was 2.45 million (7.7%) - down by 9,000on the quarter and 17,000 on the same quarter last year.Chris Grayling, minister for Employment in the UK, declared: “we areintroducing the Universal Credit to ensure that work will always pay more thana life on benefits and alongside in the Work Programme, which will givepeople the tailored support they need to move into work and stay there.”John Philpott, Chief Economic Adviser at the Chartered Institute of Personneland Development (CIPD) also commented: "The latest headline employment,unemployment and earnings growth figures show continued improvement inlabour market conditions. However, there are signs that cuts in publicspending are already having an adverse impact on job prospects for women,with the unemployment rate for women now at 7% - higher than at any pointsince the start of the jobs recession in 2008”.He also added:"The quarterly rise in employment is due mainly to more men entering self-employment, but while this contributed to a fall of 40,000 in the number ofunemployed men, the number of unemployed women increased by 31,000.Women are likely to have been adversely affected by fewer vacancies inpublic administration, education, health and social work. The public sector,which has a relatively high concentration of female workers, is also the onlysector to record an increase in redundancies in the latest quarter. Whateverthe overall rate of job creation in the economy in the coming months, thenegative impact on employment of fiscal austerity is likely to continue to hitwomen much harder than men”.• TaxationTaxation in the United Kingdom involves payments to a minimum of twodifferent levels of government: the central and local government. Central   101  
  • 102.  government revenues come primarily from income tax, National Insurancecontributions, value added tax, corporation tax and fuel duty. Localgovernment revenues come primarily from grants from central governmentfunds, business rates in England and Wales, Council Tax and increasinglyfrom fees and charges such as those from on-street parking.In the fiscal year 2008-09, total government revenue was 39.2% of GDP, withnet taxes and National Insurance contributions standing at 36.9% of GDP –approximately 600 billion pounds.• Inflation ratesHigher fuel prices, more expensive computer games and increasing bankcharges pushed inflation higher in the United Kingdom in October, accordingto the Office for National Statistics.The rise in consumer price inflation (CPI) from 3.1 per cent in the year toSeptember to 3.2 per cent in October, was slightly above expectations.Inflation has remained above the official 2 per cent target for almost a year.The retail price index fell back marginally, from 4.6 to 4.5 per cent, largely dueto depressed house prices, which were rising this time last year. These arenot included in the CPI.As inflation remains more than 1 per cent above the target, the Governor ofthe Bank of England, Mervyn King, has been obliged to write another openletter of explanation to the Chancellor, George Osborne – the ninth suchmissive since the spring of 2007 and the fourth this year. In his letter, Mr King repeated his long-held belief that temporary factors suchas high commodity prices and the increases in VAT in January (and,prospectively, next January) have kept inflation high. He echoed the view inthe Banks latest Inflation Report, saying that "the chances of inflation beingabove or below the target in the medium term are evenly balanced".The Banks forecasts are for inflation to remain above 3 per cent for thewhole of next year, and about 3.5 per cent for much of the earlier part of 2011. Without the VAT rise, inflation would now be 1.6 per cent.• Stage of business cycleThe business cycle measures fluctuations in GDP over time. GDP (GrossDomestic Product), is a measure of the value of all outputs in the economyover time. The current value of UK GDP (2009) is around 1400 billion ofpounds, and over the last 40 years GDP has increased on average by around2.25% per year in real terms (i.e. allowing for inflation).Over the past 30 years, the UK business cycle has in the main fluctuate overa 4 to 7 year period, moving from boom, to recession, then bust and finally   102  
  • 103.  recovery, and back again. The causes of this cycle in economic and businessactivity are well understood.There are four main contributors to the pattern of fluctuation. The firstcontributors are consumers, the second business, the third government, andfourth external factors such as world economic conditions.• Consumer confidenceThe company Gfk has been conducting the Consumer Confidence Barometerin the UK since June 1995. Each month the survey tracks changes inpersonal finance, general economic situation, inflation, unemployment, currentpurchasing climate, consumer spending and saving, etc.In November, the Gfk NOP Consumer Confidence Index decreased by twopoints this month to -21. November saw decreases for confidence in theirpersonal financial situation over the next 12 months, confidence in the“general economy” over the last 12 months, and confidence in the “generaleconomy” over the next 12 months. Confidence in their personal financialsituation over the last 12 months stayed the save in November at -13.Nick Moon, MD of GfK NOP Social Research, comments: "This months fall inconsumer confidence – which remains deep in the negative – is clearly notgood news but there will be some crumbs of comfort for the government.There would need to be a further drop next month before we could definitelysay things are getting worse, and that people really are concerned about theimpact of the cuts in the Comprehensive Spending Review. What is moreworrying in this months figures is that the worst-performing elements of theindex are those that look to the future, with a five point fall in confidence forpeople’s personal financial situation over the next 12 months. Consumerconfidence appears to be finely balanced – we have seen the index see-sawbetween rises and falls every month since July. Decembers findings couldtherefore indicate what kind of 2011 the country can expect to see."1.4 Environment:• Natural resourcesUKs main natural resourcesCoalPetroleumNatural Gas (North Sea)ZincTinLimestoneIron ore   103  
  • 104.  SaltSlateClayChalkGypsumLeadSilica• Global warmingA report released by the British government warned the country’s NationalHealth System to expect thousands more deaths and complications fromheatwaves, malaria, and contaminated water as global warming effectsprogress in the next five years.The report predicts that warmer summers will be one of the effects of globalwarming in the near future. Warmer summers also mean more cases of foodpoisoning. The report predicts an almost 15% increase in food poisoningcases, working out to about 14,000 extra food poisoning cases every year.Floods, which were a major problem in the UK last summer, are expected tobecome a more common issue. The researchers believe the floods will causemore bacterial and algae blooms in reservoir and cause issues with the safetyof drinking water.• Waste disposal/recyclingThe most common disposal methods, particularly in the UK, are landfill and toa lesser extent incineration. Each year approximately 111 million tonnes ofcontrolled waste (household, commercial and industrial waste) are disposedof in landfill sites in the UK. There are over 4000 landfill sites in the UK.• Carbon food printThe average carbon footprint per person in the UK is 10 tonnes, with someregional variations, which are linked to average income, access to particularfuels, public transport and standard of housing.• Sustainable energyThe UK has a well-established position as a laggard within Europe in thebuilding of sustainable energy capacity. Its slow progress contrasts with thatof countries such as Germany, Spain and Denmark, and comes despiteenviable natural resources, particularly in wind and wave and tidal energy.With 6.8% of total electricity coming from renewables including large hydro in2009, the UK was well behind the European average of around 18%.However, last year suggested that the UK is finally starting to catch up interms of sustainable energy deployment. Among the steps forward wasapproval for a 130MW extension to Europes biggest onshore wind plant, the322MW Whitelee scheme in Scotland. 2009 also saw progress in offshorewind, with the financial go-ahead achieved for several projects including the1GW London Array, the 317MW Sheringham Shoal and the 367.2MW Walney   104  
  • 105.  Island. The biomass and waste-to-energy sector was also active, with thefinancing of the 100MW Ineos Runcorn plant and the 500MW biomass co-firing facility at Drax.Also encouraging were the developments on policy. The UK governmentintroduced banding to its Renewable Obligation Certificate scheme in April2009, offering bigger incentives to offshore wind and marine energy than tomore mature technologies such as onshore wind and landfill gas-to-energy.The 2009 UK Budget earmarked GBP 405 million to help manufacturers oflow-carbon products, further boosted the ROC incentive for offshore wind inthe next few years, and additional cash help for carbon capture and storageprojects selected as a result of the governments carbon capture and storage(CSS) competition.Legislation was passed for the start of a feed-in tariff in April 2010 for small-scale renewable energy generation by homes and businesses, and thisregime is expected to result in a sharp increase in deployment, particularly ofrooftop solar panels. All three of the main political parties backed pro-sustainable energy policies in the May 2010 election, with the establishmentof a Green Investment Bank one the key proposals.• Threats from natural causesFlooding is an obvious risk. Indeed, the Environment Agency estimate on insix homes in England is at risk of flooding.According to the Met Office, winter rain will get worse over the next 30 years,and Britains frosty winters could disappear. Summer rain may decrease asBritain heats up but the downpours will be more intense.Tornados, on the other hand, are rife. With an average of 33 a year,Britain has the highest frequency per unit area in the world.1.5 Political and Legal factors• Country OverviewPolitical factors include government policies, legislation and foreigninfluences, particularly from the European Union (EU) Legislation onimmigration comes both from the UK government and from the EU. Forexample, workers from all EU countries, except Romania and Bulgaria, havethe right to live and work in the UK. Since the expansion of the EU in 2004,around 700,000 Polish workers have registered to work in the UK, boostingthe UK workforce, enabling the economy to expand.In areas of high migrant populations, there are greater pressures due toinsufficient housing and health provision. The migrant workers population isnot evenly spread across the UK, the majority of migrants are in London andthe South East, according to government statistics. In addition, because of the   105  
  • 106.  short-term nature of much of the work, the pattern of migrant workers is noteasy to track. ( of the most important political factors in UK’s external environment isemployment legislation. In a recent report, the Trade Union Congress (TUC)found that many employers were ignoring employment law. Some companieswere not paying their workers the minimum wage, while others forced workersto work longer than legally permitted under the working time directive. It canbe very difficult for migrant workers to get legal advice when they haveproblems at work. (• Taxation in the UK Corporate income tax 8.1% 16th of 28 Goods and services tax 32.7% 13th of 30 Personal income tax 29.8% 11th of 30 Highest marginal tax rate, corporate tax 30.0% 40th of 108 Taxes on goods and services > % of 30.9% 44th of 98 revenue Taxes on goods and services > % value 13.5% 20th of 89 added of industry and services Tax on income, profits and capital gains 37.37 8th of 98 > % of revenue % Total tax rate > % of profit 35.4% 132nd of 171• Competition law in the UKAbuse of a dominant market position (Chapter II / Article 102 prohibition)Both UK and EU competition law prohibit businesses with significant marketshares unfairly exploiting their strong market positions.Consequences of breachContravention of Article 102 or Chapter II can have serious consequences fora company:Firms engaged in activities which breach these provisions can face fines of upto 10% of group global turnover;Conduct in breach of Article 102 or Chapter II can be stopped by courtinjunction;Firms in breach of Article 102 or Chapter II also leave themselves exposed toactions from third parties who can show they have suffered loss as a result ofthe anti-competitive behavior; andBreach of Chapter II can result in individuals being disqualified frombeing a company director.   106  
  • 107.  Feasibility of doing business in the UKEase of doing and starting a businessWorld Bank/IFC Doing Business Project Country rank Ease of doing Starting a business (183 countries) business UK 5 16 Ireland 7 9 US 4 8 ( Best countries for doing businessWorld Bank/IFC Doing Business Project(Economies are ranked on their ease of doing business, from 1 – 183. A high ranking means theregulatory environment is more conducive to the starting and operation of a local firm.)Country Overall Registering Paying Getting Protecting Enforcingrank ranking property taxes credit investors contracts (183countries)UK 4 22 16 2 10 23Ireland 9 78 7 15 5 37US 5 12 62 6 5 8 ( competitiveness rankingWorld Bank/IFC Doing Business Project Country rank (133 countries) Global competitiveness ranking UK 12 Ireland 29 US 4 (   107  
  • 108.  2. Europe2.1 Social:• Income distributionIncome equalityEU Member Global EU Member GlobalRank State Rank Rank State Rank1 Denmark 2 13 France 322 Sweden 4 14 Belgium 333 Czech 5 15 Ireland 40 Republic4 Slovakia 6 16 Greece 405 Hungary 10 17 Poland 446 Finland 10 18 Spain 477 Germany 14 19 Estonia 508 Slovenia 15 20 Lithuania 519 Austria 18 21 Italy 5110 Bulgaria 19 22 United 51 Kingdom11 Netherlands 25 23 Latvia 5712 Romania 26 24 Portugal 59Income inequality, measured by the gini coefficient is how evenly incomes aredistributed through the population. Denmark has the least income inequalitywith a gini coefficient score of 24.4, whilst Portugal has the most incomeinequality with a score of 38.5. Malta, Luxembourg, and Cyprus have nostatistics available, and so are not included in this table. These statistics havebeen compiled by the United Nations.   108  
  • 109.  • Demographics Populatio n of the 5 largest cities in the EU City City Densit Densit Urban LUZ (2 limits y /km² y /sq area ( 004) (200 mi 2005) 6) Berlin 3,41 3,815 9,880 3,761, 4,971, 0,00 000 331 0 London 7,51 4,761 12,330 9,332, 11,917 2,40 000 ,000 0 Madrid 3,22 5,198 13,460 4,990, 5,804, 8,35 000 829 9 Paris 2,15 24,672 63,900 9,928, 11,089 3,60 000 ,124 0 Rome 2,70 2,105 5,450 2,867, 3,457, 8,39 000 690 5The combined population of all 27-member states has been forecast inOctober, 23rd 2010 at 501,064,211 as of 1 January 2010. The EUspopulation is 7.3% of the world total, yet the EU covers just 3% of the Earthsland, amounting to a population density of 115,9 km2 (300,1 sq mi) makingthe EU one of the most densely populated regions of the world. One third ofEU citizens live in cities of over a million people, rising to 80% living in urbanareas generally. The EU is home to more global cities than any other region inthe world. It contains 16 cities with populations of over one million, the largestbeing London.Besides many large cities, the EU also includes several densely populatedregions that have no single core but have emerged from the connection ofseveral cites and now encompass large metropolitan areas. The largest areRhine-Ruhr having approximately 11.5 million inhabitants (Cologne,Dortmund, Dusseldorf et al.), Randstad approx. 7 million (Amsterdam,Rotterdam, the Hague, Utrecht et al.), Frankfurt/Rhine-Main approx. 5.8million (Frankfurt, Wiesbaden et al.), the Flemish diamond approx. 5.5 million(urban area in between Antwerp, Brusselss, Leuven and Ghent), the OresundRegion approx. 3.7 million (Copenhagen, Denmark and Malmo, Sweden), andthe Upper Silesian Industrial Region approx. 3.5 million (Katowice, Sosnowiecet al.)• Labour/Social mobilityThe EU’s strategy for creating growth and jobs in a sustainable manner,known as the Lisbon Strategy, promotes innovation within businesses andinvestment in people to create a knowledge-based society. The focus is onlifelong learning and promoting research and development.   109  
  • 110.  The strategy also seeks to attract more people into employment, keepingthem in work longer as life expectancy rises, improving the adaptability ofworkers and enterprises, providing better education and skills and adaptingsocial protection systems to the challenges of innovation, globalisation andmobility. The new approach must combine flexibility and mobility in labourmarkets with robust social security safety nets, a concept known asflexicurity.The Lisbon Strategy took on a new importance when an economic crisis hitEurope in 2008. If adhered to, it will help recovery by boosting demand andrestoring confidence in the European economy. The EU has also devisedmeasures addressing the short-term employment impact of the economiccrisis and improving the long-term job prospects of the EU workforce by bettermatching jobs to vacancies and by anticipating labour market needs. Forexample, if there is a current surplus of textile workers but a foreseeableshortage in the tourist industry, textile workers could be retrained.The drive for more and better jobs is not at any cost, however. The Union’slong tradition of ensuring a decent working environment throughout the EUand of protecting workers rights continues to hold good. Common standardsfor all cover minimum rules on working conditions, collective redundancy,part-time and temporary work, health and safety at work, maternity andparental leave, equal pay for equal work, and protection against sexualharassment.Social dialogue between worker representatives and employers is also acornerstone of EU policy. Sound labour relations strengthen workerprotection, while at the same time contributing to competitiveness. In addition,the European Commission encourages corporate social responsibility, whichrequires companies to take social and environmental concerns into accountwhen doing business.The EU has also advanced social welfare systems and there is no question ofjettisoning these, although safety nets should not be a disincentive to work.EU leaders have also agreed that pensions and quality health care are basicrights, though the cost must be sustainable. The challenge of adapting socialprotection to a modern economy is especially pertinent during an economicdownturn, when a relatively large number of people are facing the prospect ofredundancy and dependency on welfare.Equal opportunities for all are a basic tenet of EU policy. Across the EU,common legislation outlaws discrimination on the basis of gender, racial orethnic origin, disability, sexual orientation, age, religion or belief. The EU hasspecific strategies for combating discrimination and xenophobia and forpromoting social inclusion.Investing in people is crucial to the jobs and growth strategy. The EuropeanSocial Fund is the main instrument here, spending €77 billion between 2007and 2013 to improve access to employment, increase the adaptability ofworkers and enterprises and develop institutional capacity in disadvantaged   110  
  • 111.  regions. The European Globalisation Adjustment Fund has €500m availableannually to provide personalized support to workers made redundant as aresult of global trade liberalisation and increased competition. The Fund willalso be used to help workers who have lost their jobs due to the financialcrisis to retrain and find new employment.One of the Union’s major achievements has been to ensure that the right of itscitizens to live and work anywhere in the EU carries with it the entitlement tosocial benefits, including healthcare. The EU encourages worker mobility forthe benefits it brings to the individual in terms of personal and careerdevelopment and as a means to match skills to demand. To make job mobilityeasier, the public employment services of all EU countries advertise jobvacancies through the EURES website, a one-stop-shop where more than amillion vacancies are advertised.• The Lifestyle PerspectiveUnderstanding the pressures on marine ecosystems through economicdrivers is a vital part of defining appropriate policy responses but it is equallynecessary in this process to identify the underlying forces that motivate andshape the development of these drivers. At the level of society as a whole, thesize of the population and available technology each contribute to the natureand extent of the activities that make up the drivers. However, an importantadditional perspective comes from tracing economic drivers to their source inindividual lifestyle - the choices a person makes as consumer or citizen withinthe constraints of their wealth, the available technology and the legal system.The links between lifestyle, economic drivers and environmental change areillustrated in fig. 1. Within this representation, individuals’ values aremanifested in their lifestyle choices. As consumers, individuals make choicesthat directly result in pressures on the environment (e.g. removal of beachmaterials or organisms from the tidal zone as souvenirs or for personalcollections) and, more often, others that are satisfied through productionactivities (e.g. coastal development to meet tourist and local recreationaldemand). While, as citizens, public political choices are made which couldeither enhance or diminish the environmental consequences of humanactivity.Insofar as their values have dictated the desire for increasing personalconsumption, rises in personal wealth and technological development haveenabled Europeans to consume more and enjoy more choice over a range ofgoods and services. For example, in the case of food, choice has increasedboth in the availability of relatively cheap meat and in the range of exotic andnon-seasonal fruits and vegetables. However, these benefits come at a costto marine ecosystems that are not generally transparent to the consumer.Examples can be classified according to some key areas of lifestyle: Thehome – Smaller household sizes with a stable or growing population meanmore housing development. This can be a particularly acute issue in thecoastal zone given the desire to live close to the sea and the capacity forgreater distances between the home and the workplace, supported byincreasing personal mobility and advances in telecommunications. Growinghousehold numbers also have implications for increased energy consumption   111  
  • 112.  and water use.Leisure – The attractiveness of coastal locations for recreation and leisureactivities combined with the availability of relatively cheap transport,particularly international flights, enhance the demand for development incoastal zones. Marine-based leisure activities such as boating and divinghave also become increasingly accessible.Food – The demand for more animal protein in the diet that accompaniesincreasing wealth has wide-ranging consequences. Increasing consumption ofmeat is not only associated with more intensive rearing of livestock but alsowith use of fertilizers to produce feed crops, both leading to nutrient inputs tothe aquatic environment, while continuing high levels of demand for fish, bothfor consumption and as feed for farmed species, directly affect stock levels.Furthermore, meeting the demand for exotic and non-seasonal fruit andvegetables relies on extensive transport networks.Other goods and services – Globalization has increased consumptionopportunities in other markets besides those for food. Most notably, thedemand for imported manufactured goods has been supported by relativelycheap labour in remote locations such as the Far East. Although this hasaccordingly shifted the environmental consequences of manufacturing tothose locations, the need for transportation has risen and the waste-streamremains in Europe.These examples only sketch the links between lifestyle and marineecosystems. Production activities in certain sectors may have a number ofenvironmental consequences. For example, in the transport sector,combustion of fossil fuels in all types of transport yields emissions that candamage the marine environment while growth in maritime transport also hasdirect effects such as creating demand for coastal development. This is to saynothing of the complex interactions that arise between sectors, such astransport and energy, which exacerbate the environmental effects ofconsumption choices.The political choices that also manifest European lifestyles evidence somewillingness by individuals to have their consumption choices tempered byenvironmental concerns. However, there is a challenge to policy making indefining where a democratically acceptable balance can be struck. Byhighlighting the fundamental role of lifestyle choices, this perspective identifiescritical areas for future policy action, such as supporting better-informedconsumption decisions and designing economic instruments to directlyinfluence those decisions.• Work/life balanceIn Europe, the Working Time Regulation has implemented a maximum offorty-eight hours of work per week. Many countries have opted for fewerhours. France attempted to introduce a thirty-five hour workweek, and Finlandexperimented with a thirty-hour week in 1996. In a 2007, the European Qualityof Life Survey found that countries in southeastern Europe had the most   112  
  • 113.  common problems with work-life balance. In Croatia and Greece, a little over70% of working citizens say that they are too tired to do household jobs atleast several times a month because of work.• EducationEducation and science are areas where the EUs role is limited to supportingnational governments. In education, the policy was mainly developed in the1980s in programmes supporting exchanges and mobility. The most visible ofthese has been the Erasmus Programme, a university exchange programmethat began in 1987. In its first 20 years it has supported internationalexchange opportunities for well over 1.5 million university and collegestudents and has become a symbol of European student life.There are now similar programmes for school pupils and teachers, fortrainees in vocational education and training, and for adult learners in theLifelong Learning Programme 2007-2013. These programmes are designedto encourage a wider knowledge of other countries and to spread goodpractices in the education and training fields across the EU. Through itssupport of the Bologna process the EU is supporting comparable standardsand compatible degrees across Europe.Scientific development is facilitated through the EUs FrameworkProgrammes, the first of which started in 1984. The aims of EU policy in thisarea are to co-ordinate and stimulate research. The independent EuropeanResearch Council allocates EU funds to European or national researchprojects. The Seventh Framework Programme (FP7) deals in a number ofareas, for example energy where it aims to develop a diverse mix ofrenewable energy for the environment and to reduce dependence on importedfuels.Since January 2000 the European Commission has set its sights on a moreambitious objective, known as the European Research Area, and hasextensively funded research in a few key areas. This has the support of allmember states, and extends the existing financing structure of theframeworks. It aims to focus on co-ordination, sharing knowledge, ensuringmobility of researchers around Europe, improving conditions for researchersand encouraging links with business and industry as well as removing anylegal and administrative barriers.The EU is involved with six other countries to develop ITER, a fusion reactorthat will be built in the EU at Cadarache. ITER is currently the majorprogramme of and builds on the previous project, Joint European Torus,which is presently the largest nuclear fusion reactor in the world. TheCommission foresees this technology to be generating energy in the EU by2050.The EU has observer status within European Organization for NuclearResearch (CERN), there are various agreements with the (ESA) andthere is collaboration with the European Southern Observatory (ESO).These organisations are not under the framework of the EU, but   113  
  • 114.  membership heavily overlaps between them. The European UnionSatellite Centre (EUSC) is an agency of the EU, which gathersinformation through satellite images.• Fashion/fadsThe fashion industry is a product of the modern age. Prior to the mid-19thcentury, most clothing was custom made. It was handmade for individuals,either as home production or on order from dressmakers and tailors. By thebeginning of the 20th century—with the rise of new technologies such as thesewing machine, the rise of global capitalism and the development of thefactory system of production, and the proliferation of retail outlets such asdepartment stores—clothing had increasingly come to be mass-produced instandard sizes and sold at fixed prices. Although the fashion industrydeveloped first in Europe and America, today it is an international and highlyglobalized industry, with clothing often designed in one country, manufacturedin another, and sold worldwide. For example, an American fashion companymight source fabric in China and have the clothes manufactured in Vietnam,finished in Italy, and shipped to a warehouse in the United States fordistribution to retail outlets internationally. The fashion industry has long beenone of the largest employers in the United States, and it remains so in the21st century. However, employment declined considerably as productionincreasingly moved overseas, especially to China. Because data on thefashion industry typically are reported for national economies and expressedin terms of the industry’s many separate sectors, aggregate figures for worldproduction of textiles and clothing are difficult to obtain. However, by anymeasure, the industry accounts for a significant share of world economicoutput.The fashion industry consists of four levels: the production of raw materials,principally fibres and textiles but also leather and fur; the production of fashiongoods by designers, manufacturers, contractors, and others; retail sales; andvarious forms of advertising and promotion. These levels consist of manyseparate but interdependent sectors, all of which are devoted to the goal ofsatisfying consumer demand for apparel under conditions that enableparticipants in the industry to operate at a profit.• Health/welfareHealth is a cherished value, influencing people’s daily lives and therefore animportant priority for all Europeans. A healthy environment is crucial for ourindividual and professional development, and EU citizens are ever moredemanding about health and safety at work and the provision of high qualityhealthcare services. They require quick and easy access to medical treatmentwhen traveling across the European Union. EU health policies are aimed atresponding to these needs.The European Commission has developed a coordinated approach to healthpolicy, putting into practice a series of initiatives that complement the actionsof national public authorities. The Union’s common actions and objectives areincluded in EU health programmes and strategies.   114  
  • 115.  The current EU Public Health Programme works towards improving the EU’scapability to respond to cross-boarder health threats and improve informationand knowledge about latest developments in the public health sector. A newstrategy has been designed in the area of health and consumer protection,which further underlines the needs to improve citizens’ health security anddisseminate health knowledge.Lifestyles and living conditionsAlthough remarkably connected with each other, Living Conditions andLifestyles have often been measured through different indicators and veryfrequently also through distinct methodologies (with a stronger presence ofqualitative and/or a comprehensive approach when it comes to the cultureand lifestyles of young people). Both have also been associated withunrelated scientific subjects and, specially, have been the aim of differentpolitical interests, agendas and priorities.Thus, it is not possible to present a concise background of European policiesand outcomes concerning Lifestyles and Living Conditions as if they were onecoherent topic and not merely a sum of several ones. Hence, “Lifestyles andLiving Conditions” is definitely one of those concepts where the statement “thewhole is more than the sum of its parts” applies perfectly. For that reason,there are going to be presented three parts, on the following topics: Familyand Housing Transitions; Leisure Time; and Health and Well-being.Family and housing transitionsLeaving the parental home, entering a partnership, having children: these areall both important demographic events and meaningful social markers in one’slife. Transition to adulthood is a “demographically dense period of multipletransitions” (Rindfuss, 1991), even when we recognize that this period hasbeen extended in time, and that some adulthood markers are increasinglypostponed or avoided by younger generations.A great and well-known heterogeneity is found between European countriesconcerning the pace, timing and occurrence of these events. Theindividualization of life course, and the choice of biographies produced in theprocess, may benefit, first, from public strategies and programmes concerningthe conciliation between school, work and family and secondly, from efficienthousing markets and policies. These conditions produce positiveconsequences throughout the life course and are mostly found inScandinavian countries.While academia has been mainly focusing on the postponement of theprocess of leaving the parental home, on the patterns of family formation, onthe decrease of the fertility rate and finally, on the increase of the average ageat the birth of the first child, policy making has been more concerned with thefamily formation and fertility issues. This interest is evident by the abundanceof “family friendly policies” and “equal opportunities” programmes.Family policies are “outside the scope of the EU policy making” (European   115  
  • 116.  Foundation for the Improvement of Living and Working Conditions, 2005),even though individual choices concerning family life are affected by otherpolicies. This is one of the reasons the White paper on Youth stronglysuggests “taking better account of the “youth” dimension in other policyinitiatives”.The Lisbon targets influence family-work conciliation arrangements indirectly,by the housing and education systems and also by an intergenerationalsupport and relation (stated namely in The Social Policy Agenda (2006-2010)). In this sense, “supporting young people’s transition from education tothe labour market, for example by strengthening possibilities to reconcileprivate and working life” and also “supporting young people’s autonomy andwell-being as well as their access to decent living conditions” were highlightedas issues that should be regarded as priorities for the Council of Europe youthpolicy and action (Declaration on the Future of the Council of Europe YouthPolicy – Agenda 2020). The European Youth Pact, also strongly encouragesthe member States of European Union to produce measures for reconcilingfamily life and working life.Leisure time“Defining leisure in simple terms is not an easy task. Popular perceptions ofleisure range from availability of free time, to ‘non-work time’, to ‘self-time’ to‘fun time’.” (Azzopardi in Furlong et al, 2000). It can be used ‘actively’ and‘passively’. Leisure studies have stated that while active leisure involves asignificant application of physical or mental energy, passive leisure does not.In this matter, one should say that although approximately 45% of youngpeople regularly go for a walk, biking or practice sports (physical energy), andthat 25% regularly read (mental energy) the remaining important activities(such as regularly meeting friends, go dancing, go out to drink, to eat -40%,using the Internet and playing video games -21%, watching TV and listeningto music -17%, and going to the cinema, theatre or concerts- 16%) representa more passive use of leisure time. (European Youth Trend Report 2009).There are many dimensions that can be studied on the leisure topic: LeisureCulture (leisure time spent, preferred activities, budget), Media Culture(cinema attendance, magazine audience, radio audience), Body Culture(practicing sports, expenses in clothes, expense in cosmetics) and MusicCulture (production, reproduction and consuming).More important than all these distinctions is the one that separates healthyleisure from unhealthy one (use of intoxicants or excessive use of moderntechnology that can create a culture of individualized leisure time as wasstated in the World Youth Report 2005). World Youth Reports hasemphasized the constructive role of healthy leisure in young people’s lives.Also in the World Youth Report of 2005 it was stated that “there is growingrecognition of the vital contribution that discretionary time can make for youngpeople in terms of promoting social inclusion, access to opportunities and   116  
  • 117.  overall development”, while the 2007’s Report identifies healthy leisure as oneof the priority areas which require urgent attention, and states that “povertyand a lack of access to education and opportunities for structured andconstructive leisure activities may leave young people vulnerable to negativepeer pressure”. Finally, in the European Youth Trend Report 2009, it wasstated, “as confirmed by research conducted by the United Nations, leisuretime is important in helping young people achieve a broad range of positiveoutcomes for their social, emotional, vocational, physical, cognitive and civicdevelopment and engagement”. Sports is not only one of the ways ofspending free time in a healthy way, but it often functions as a promoter ofhealthy lifestyles, having a powerful societal role (White Paper on Sport(2007)). It thus can constitute a mean for enhancing public health,strengthening the prevention of and fight against racism and violence andpromoting volunteering and active citizenship (among other).These statements emphasize the positive aspects of leisure and theopportunities to access them. “Leisure is an arena for autonomy, self-directionand fulfilment; leisure concerns the “intelligent” use of time for relaxation, andthe availability of and accessibility to resources (…), the commercialization ofleisure has created as many choices and advantages as it has createdinequalities and disadvantages”. (Azzopardi in Furlong et al, 2000). For thisreason, “ensuring young people’s equal access to cultural, sporting andcreative activities” was considered a priority for the Council of Europe youthpolicy and action (Declaration of the Future of the Council of Europe Youthpolicy – Agenda 2020)A presentation of a typology of leisure activities is therefore discouraged bythe multi-referential identity of our contemporary society, as was highlighted inthe European Youth Trend Report 2000:“young people can no longer bedefined as an age group, a culture, a music style, a picture, a story... Afragmented society has complex cultures. Young people regularly switchcultures and mix different cultures simultaneously. The combination ofcultures is structured, but the choices within them are not”.Health and well-beingSince 1948 health has been defined as a “state of complete physical, mental,and social well-being and not merely the absence of disease or infirmity”. Inspite of some conceptual and analytical problems with this definition, theimportant aspect to be highlighted here is that since then, the analysis ofhealthy lifestyles and/or behaviours has included aspects other than merephysical ones, and health has been understood as a dynamic condition. Thisallowed health issues to be in the centre of the concerns of the youth lifestylesfor “among young people, health should be considered in its widest sense.”(State of young peoples health in Europe, 2000).Other definitions are more adequate to our contemporary society and takeinto account the importance of age: “a dynamic state of well-beingcharacterized by a physical and mental potential, which satisfies the demandsof life commensurate with age, culture, and personal responsibility” (Bircher’s,2005). This allows us to underline the legitimate importance and relevance of   117  
  • 118.  young people’s health, even when its main characteristics are a lifeexpectancy at the age of 15 of approximately 66 for girls and 60 for boys anda good self-rate of their health by 75% (State of young peoples health inEurope, 2000). Youth is, in this sense, a moment in life where “mortality is stilllow and severe chronic diseases are rare”. Nonetheless, this period of lifealso requires a considerable awareness towards risky behaviors that candamage young people’s social position and their health (World Youth Reportof 2005).Health should be understood as an instrument for social inclusion,empowerment and active citizenship of young people (European CommissionWhite Paper of 21 November 2001). That is why youth has been taken intoaccount in “a number of policies, of which anti- discrimination and health arethe most prominent.” ( 2008, the European Council, through the Resolution of the Council on theparticipation or young people with fewer opportunities, also encouraged themember states and the commission to “support young people in adopting ahealthy lifestyle and include this specific target within their health policies, witha particular focus on young people with fewer opportunities”. Accordingly, theEuropean Pact for Mental Health and Well-being (2008), defined the followingpriority: prevention of depression and suicide; mental health in youth andeducation, mental health in workplace settings, mental health of older peopleand combating stigma and social exclusion (for some of these issues see alsothe Consensus Paper on Mental health in Youth and Education 2008).Besides this, in the paper prepared to support and provide background on theWhite Paper “Together for Health: A Strategic Approach for the EU 2008-2013”, it is stated that “it is important to promote health and prevent diseasethroughout the lifespan, including by tackling health determinants such asnutrition, physical activity, alcohol, drugs and tobacco consumption,environment and socioeconomic factors. (…) This involves redesigning healthpolicies and actions to target different age groups.” It’s also important topromote parents involvement in these actions (to take into account theparents’ point of view see the results available in Parents views on the mentalhealth for their child 2009). Moreover, in the decision No 1350/2007/EC,establishing a second programme of community action in the field of health(2008-2013), youth health is underlined, through the statement that “TheProgramme should place emphasis on improving the health condition ofchildren and young people and promoting a healthy lifestyle and a culture ofprevention among them”.To promote healthy lifestyles, sports have an important role. In this sense, thetopic of “Health and sports” constitutes one of the fields of action of “improvingaccess and full participation of young people in society”. The RecommendedPolicy Actions in Support of Health-Enhancing Physical Activity, 2008 (in theAn EU Strategy for youth – Investing and Empowering, 2009) are:"Implement the Council Resolution on Health and Well-being of Young Peopleand encourage youth fitness and sport by applying the EU Physical ActivityGuidelines17;   118  
  • 119.  • Promote training opportunities on health for youth workers and youth leaders;• Encourage cooperation between health and youth policy makers, and youth involvement in health policy;• Mobilize all stakeholders at local level to detect and help young people at risk• Develop tailor-made information on health for young people, particularly those at risk of social exclusion, and mobilize youth information networks;“Encourage peer-to-peer health education at school and in youthorganizations”.• Poverty levelsThe rate of poverty varies between 10% and 23% in the countries of theEuropean Union. Low levels of poverty characterize the Scandinaviancountries, the so-called Corporatist countries (Austria, Germany), and theCzech Republic, Slovakia and Slovenia among the ex-Socialist countries.In contrast, the risk of poverty tends to be relatively high in the Mediterraneanand the Baltic states. Altogether around 75 million people in the EU are „atrisk of poverty“. Countries with the highest poor population include France,Germany, Italy, Poland, Spain and the UK.Is there an age bias in social support? Is there a trade-off between the povertyrates of the young and the old? Poverty at old age is an issue in the majorityof the countries examined here. The elderly face much higher poverty ratesthan children in Norway, Finland, Denmark and Cyprus. Cyprus as a clearoutlier, with over half of the population aged 65 or over at risk of poverty. Onthe other hand, in 10 of the 26 countries studied here, children are exposed toa higher risk of poverty than the elderly. In Poland and Hungary in particular,children are around three times more likely to be poor than the elderly. Thereis no sign of an age bias in another group of countries, including the BalticStates, the Mediterranean countries, and the UK, where poverty rates amongthe young and the old appear to be above the average.Regional disparity in terms of poverty is rather wide across those 11 countriesfor which such data is available. In Greece, Italy and Spain the differencebetween lowest and highest regional poverty rates is 3.5-4 fold. These arealso countries where the national poverty rates are high in a Europeancomparison.The divergence of absolute poverty is much greater across countries than thatof relative poverty. We calculated two different thresholds with values of 5Euros/day and 10 Euros/day, adjusted with the purchasing power parities. Wefind that the Baltic States suffer from the highest rates of absolute povertywithin the European Union, together with Poland, Hungary and Slovakia.There are two main risks related to the household structure: (greater) numberof children, and perhaps less intuitively, living in a one-adult household,   119  
  • 120.  including both those with dependent children and those without. Povertyamong one-person households reaches over 40% in Cyprus, Estonia, Ireland,Latvia and Slovenia. The poverty rate of single parents reaches or surpasses30% in the majority of the 26 countries examined here.The Lisbon Agenda of the European Union equally promotes “more andbetter jobs” and greater social cohesion. We present evidence thatthose countries, which are “top performers” and have the highest levelsof employment in the EU, tend to have low poverty levels as well,including Denmark, Netherlands, and Sweden. The malaise of highpoverty is coupled with low employment in some Mediterraneancountries: Greece, Italy, and Spain.• Job securityThe main difference vis-à-vis the United States is the system of indefinitecontracts. In most European countries many employees have indefinitecontracts, which, whilst not guaranteeing a job for life, make it very difficult forthe employer to get rid of an employee. Employees who have legally acquiredthese rights, for example because they have been with a company for twoyears continuously, can only be dismissed for disciplinary reasons (after anumber of formal warnings and subject to independent appeal) or in the caseof a company undergoing restructuring (subject to generous laws onredundancy payments and often with retraining paid for by the company). InSpain, for example, such employees are entitled to 45 days redundancy payper year worked. The high cost of redundancy payments is in practice whatgives employees job security.Whilst employees who have such legally binding, indefinite contracts are inthe enviable position of knowing that they (and their family) have completefinancial security for the rest of their lives, it is important to realise that theseobligations work both ways. In some countries such as Germany a companymay prevent an employee (whose occupational training they have paid for)from leaving to take up a better post elsewhere until compensation is agreed.Even an employee of a company which is known to be about to fold may findhimself compelled to stay with the company until the end even if he is offeredwork with a different firm.Every company will have a mix of employees on different types of contract.Indefinite contracts can also exist for seasonal work. These so-calleddiscontinuous contracts mean that a hotel, for example, may dismiss its staffin the autumn, but it must take the same people back on again the followingspring.The proportion of the workforce on indefinite contracts has fallen acrossEurope in response to increased competition and globalization. Companiesmay dismiss an employee just before he reaches the two-year mark and thenre-hire him as a new employee. Many economists argue that greater labourmarket flexibility is necessary. Economics professors argue that the threat ofunemployment is necessary to maintain incentives to high productivity.Meanwhile, John Kenneth Galbraith has argued that some established   120  
  • 121.  economics professors simultaneously seek tenure. Jobs, which are notbacked by an indefinite contract, are still poorly-regarded in many Europeansocieties, often disparagingly described as "precarious" or "McJobs", evenwhen the company has good prospects.In less regulated European economies, such as the United Kingdom, it ismuch cheaper to sack permanent employees. In Britain, employees are onlyentitled to a legal minimum of one weeks redundancy pay per year worked(one and a half weeks for workers over 40). Instead, private- and public sectoremployees who feel they have been unfairly dismissed have the right to takethe company to an Employment Tribunal in order to be re-instated or to obtainextra compensation. It is not necessary to go through the normal courtsystem.In all European Union countries an employee retains his existingcontractual rights if his company is taken over under the AcquiredRights Directive (in the UK, known as TUPE) so the years spent workingfor the old company would count when calculating redundancypayments, etc.2.2 Technological:• New discoveries and developmentsPublic policy has started to embrace social innovation, with the creation of anOffice for Social Innovation in the White House in Washington, and a numberof innovation initiatives such as the I3 Education Fund. The European Union’srecent innovation strategy represents the first time that a well-funded researchand development strategy has placed a significant emphasis on socialinnovation as well as technological innovation. A recent overview of the fieldhighlighted the growing interest of public policy makers in supporting socialinnovation in these different sectors, notably in the UK, Australia, China andDenmark. A focus of much recent work has been on how innovations spreadand on what makes some localities particularly innovative.• Speed of technology transferEU firms are struggling to better exploit public-funded research and transformfindings into patents and innovations that generate growth. Barriers tocollaboration between the public and private sectors still exist, in particularwhen it comes to sharing revenues and costs.Milestones:2008: The Commission plans to establish a university-industry knowledgetransfer forum to give public authorities, universities and other PROs andindustry a place to meet and co-ordinate their actions.4 April 2007: Increasing access to knowledge by sharing research resultsand improving knowledge transfer between public research and industrybecomes one of the objectives of the re-launched European Research Area(ERA).   121  
  • 122.  4 April 2007: The Commission adopted a Communication on improvingknowledge transfer between European research institutions and industry andVoluntary guidelines for universities and other research institutions to improvetheir links with industry across Europe.10 April 2008: The Commission adopted a Recommendation on themanagement of intellectual property in knowledge transfer activities and aCode of Practice for universities and other public research organisations.Member states should inform the Commission, by mid-2010, of measuresimplemented on the basis of the Recommendation.April 2008: The Responsible Partnering Initiative published a report oneffective research-industry cooperation.28 May 2008: INRIA conference on Innovative for competitiveness in ICT:towards an EU framework for technology transfer in Brussels. Stakeholdersare invited to continue the debate on Science blog.Policy SummaryWhile science has become increasingly important for innovation and thuscompetitiveness, the European Commission argues that "making better use ofpublicly funded R&D is a significant problem" in the EU.Increasing access to knowledge by sharing research results and improvingknowledge transfer between public research and industry was identified, inApril 2007, as one of the objectives of the relaunched European ResearchArea (ERA). A Communication on improving knowledge transfer betweenresearch institutions and industry across Europe calls for better exploitation ofresearch results and reveals that an average university in Europe generatesfar fewer inventions and patents compared to its North American counterpart.Knowledge transfer comprises capturing and transmitting research findings,skills and competence from those who generate them to those who transformthem into economic outcomes - either explicitly (patents) or tacitly (know-how). It includes both commercial and non-commercial activities such asresearch collaborations, consultancy work, licensing, the creation of spin-offs,mobility of researchers and the publication of scientific articles.Technology transfer is the process of developing practical applications forscientific research. It is a term used to describe a formal transfer of rights touse and commercialise new discoveries and innovations resulting fromscientific research to another party.IssuesEU member states have introduced a number of initiatives to facilitateknowledge transfer between public research organisations and the privatesector, including legislative changes, guidelines and model contracts -withoutmuch success.   122  
  • 123.  The underperformance of European universities in delivering patentscompared to their North American counterparts is, according to theCommission, largely due to "a less systematic and professionalmanagement of knowledge and intellectual property". Other barriersinclude cultural differences between the business and science communitiesand a lack of incentives for them to work together, as well as legal barriersthat hinder co-operation.In a 2007 communication, the Commission thus argues that knowledgetransfer between research institutions and creating the right conditions forsuccessful knowledge transfer and promoting an entrepreneurial mindsetshould improve industry. In an annex, it proposes voluntary guidelines to helpuniversities, research and technology organisations and other publicly fundedR&D bodies to collaborate better.A Commission-led stakeholder consultation on existing knowledge-transfersystems and the legal situation regarding transnational research co-operationidentified three major obstacles to transnational research collaboration:• Cultural differences;• Regulatory differences, and;• Difficulties in finding partners.For these reasons, both public- and private sector actors consider short-termco-operation to be unattractive and complicated and would considertransnational collaboration of interest only if it is part of a long-term, structuredalliance.The consultation also showed that the Intellectual Property Rights (IPR)ownership regimes and joint-ownership issues are particularly difficult for moststakeholders. They called for urgent progress to be made on the CommunityPatent - which has been stalled in Council for years due to language disputes- knowledge transfer officers and increased funding for knowledge transferactivities in particular, in collaborative research and partner search.In addition, a survey carried out by European Public Research Organisations(PRO) found that a consolidated public research knowledge transfer processis underway in many European countries. However, there is an urgent need toprofessionalize the activities of these offices.The survey also found that the poor performance of European knowledgetransfer offices (KTOs) regarding knowledge transfer output indicators relatedto the patent protection process. The lack of invention disclosure, patent filingand licensing is due to the absence of an efficient and easily-accessiblepatent system in Europe, the survey concluded.As a follow-up to its spring 2007 Communication on knowledge transfer,the Commission adopted, on 10 April 2008, a specific Recommendationaimed at helping member states adapt their policies on the managementof intellectual property and knowledge transfer activities. The annexed"Code of Practice" aims to offer universities and other PROs   123  
  • 124.  "operational principles which they should rely on when developing orreviewing institutional policies".• Energy use and costsIn 2006, the 27 member states of the EU had a gross inland energyconsumption of 1,825million tonnes of oil equivalent (toe). Around 46% of theenergy consumed was produced within the member states while 54% wasimported. In these statistics, nuclear energy is treated as produced in the EU,regardless of the source of the uranium, of which less than 3% is produced inthe EU.The EU has had legislative power in the area of energy policy for most of itsexistence; this has its roots in the original European Coal and SteelCommunity. The introduction of a mandatory and comprehensive Europeanenergy policy was approved at the meeting of the European Council inOctober 2005, and the first draft policy was published in January 2007.The Commission has five key points in its energy policy: increase competitionin the internal market, encourage investment and boost interconnectionsbetween electricity grids; diversify energy resources with better systems torespond to a crisis; establish a new treaty framework for energy co-operationwith Russia while improving relations with energy-rich states in Central Asiaand North Africa; use existing energy supplies more efficiently whileincreasing use of renewable energy; and finally increase funding for newenergy technologies.The EU currently imports 82% of its oil, 57% of its gas and 97.48% of itsuranium demands. There are concerns that Europes dependance onRussian energy is endangering the Union and its member countries. TheEU is attempting to diversify its energy supply.2.3 Economic:• Economic growthAccording to the IMF, the economy of the EU is the largest in the world with aGDP of over 11,000 billion dollar (compared to over 12,000 billion in 2009). Country Interest Growth Inflation Jobless Current Exchang Rate Rate Rate Rate Account e Rate Euro Area 1.00% 0.40% 1.90% 10.00% -25 1.3496• Interest rates & monetary policiesThe European Central Bank and European System of Central Banks ensurethe achievement of the primary goal of the European Monetary Union, whichis to maintain price stability. The main instruments of the single monetarypolicy for the euro zone are the open market operations, the standing facilities   124  
  • 125.  and the holding of minimum reserves.• Government spendingThe European Union was expected to spend 133.8bn euros in 2009, which isequivalent to 1.03% of its member gross national income. The vast majoritywas spent on aid to farmers, rural development and aid to poorer regions. TheEuropean Commission put forward a budget, which is approved by theEuropean Parliament before the start of each year.At the end of the year a report on budget spending is released and an audittakes place. However, the final financial report is not published until halfwaythrough the next year. The most recent final financial report is for the 2007budget when the EU spent 114bn euros.The final report makes a distinction between money committed and actualpayments. Some money will have been committed but not spent that year,while some will be committed for spending in future years.• Unemployment policyEurostat estimates that 23.109 million men and women in the EU27, of whom15.917 million were in the euro area, were unemployed in September 2010.Compared with August, the number of persons unemployed increased by 71000 in the EU27 and by 67 000 in the euro area. Compared with September2009, unemployment rose by 0.656 million in the EU27 and by 0.424 million inthe euro area.Eurostat, the statistical office of the European Union, publishes these figures.Among the Member States, the lowest unemployment rates were recorded inthe Netherlands (4.4%) and Austria (4.5%) and the highest in Spain (20.8%),Latvia (19.4% in the second quarter of 2010), Estonia (18.6% in the secondquarter of 2010) and Lithuania (18.2% in the second quarter of 2010).Compared with a year ago, the unemployment rate fell in seven MemberStates, remained stable in one and increased in nineteen. The largest fallswere observed in Malta (7.2% to 6.2%), Germany (7.6% to 6.7%) and Austria(5.1% to 4.5%). The highest increases were registered in Estonia (13.4% to18.6% between the second quarters of 2009 and 2010), Lithuania (13.5% to18.2% between the second quarters of 2009 and 2010) and Greece (9.2% to12.2% between the second quarters of 2009 and 2010).Between September 2009 and September 2010, the unemployment rate formales rose from 9.8% to 9.9% in the euro area and remained stable at 9.5%in the EU27. The female unemployment rate increased from 9.9% to 10.3% inthe euro area and from 9.1% to 9.6% in the EU27.In September 2010, the youth unemployment rate (under-25s) was 20.0% inthe euro area and 20.3% in the EU27. In September 2009 it was 20.2% and20.6% respectively. The lowest rates were observed in Germany (8.5%), theNetherlands (8.6%) and Austria (8.9%), and the highest rates in Spain(42.5%), Lithuania (37.6% in the second quarter of 2010) and Estonia (37.2%in the second quarter of 2010).   125  
  • 126.  • TaxationThe EU does not have the power to collect taxes; this power rests withmember states. It only has powers over indirect tax and members still have aveto on tax issues. Instead, the EU seeks to guide members into developingsimilar taxation systems, while the European Court of Justice (ECJ) uses itspower to forbid taxes that go against the principle of the single market. OnVAT, the EU has a strong interest in co-ordinating policy not only to promote asingle market but because some of the money that goes into the EU budget isbased on member states VAT systems.Attempts to control direct taxation policy, such as the 1997 Code ofConduct, have been limited to encouraging tax co-ordination and trying tostamp out harmful tax practices. This has taken place largely throughjudgements by the ECJ rather than agreements between Europeanpoliticians. Ministers in the Council of the European Union have remainedreluctant to move forward with tax harmonization. There were fears that theLisbon Treaty (2007) would enable tax harmonization across the EU;misgivings about EU-wide taxation were a significant factor in Irelandsrejection of the Lisbon Treaty by referendum in 2008. Negotiations toencourage Irish voters to accept the Treaty at a second referendum in2009 included a promise not to move towards tax harmonization. However,in August 2010 the Commission proposed the creation of an EU-wide tax,perhaps levied on air travel or financial transactions, to fund the EUbudget.EU member states currently have very different rates of business tax:Belgium charges 33%, Germany charges 30%, and Ireland charges 12.5%. Member states also have very different VAT rates, even though they arewithin EU-wide limits. In Germany VAT is 19%, while in Hungary it is 25%.• Inflation ratesThese figures come from Eurostat, the statistics office of the European Union:Eurozone annual inflation was 1.8% in September 2010, up from 1.6% inAugust. A year earlier the rate was -0.3%. Monthly inflation was 0.2% inSeptember 2010. EU annual inflation was 2.2% in September 2010, up from2.0% in August. A year earlier the rate was 0.3%. Monthly inflation was 0.2%in September 2010.In September 2010, the lowest annual rates were observed in Ireland (-1.0%),Latvia (0.3%) and Slovakia (1.1%), and the highest in Romania (7.7%),Greece (5.7%) and Estonia (3.8%). Compared with August 2010, annualinflation rose in twenty Member States, remained stable in four and fell inthree.The lowest 12-month averages up to September 2010 were registered inIreland (-2.1%), Latvia (-1.9%) and Slovakia (0.4%) and the highest inRomania (5.2%), Hungary (4.9%) and Greece (3.9%).The main components with the highest annual rates in September 2010 were   126  
  • 127.  transport (4.1%), alcohol & tobacco (3.2%) and housing (2.9%), while thelowest annual rates were observed for communications (-0.9%), recreation &culture (-0.2%) and clothing (0.2%). Concerning the detailed sub-indices, fuelsfor transport (+0.40 percentage points), heating oil (+0.16) and vegetables(+0.09) had the largest upward impacts on the headline rate, while garmentsand telecommunications (-0.09 each), meat and bread & cereals (-0.06 each)had the biggest downward impacts.The main components with the highest monthly rates were clothing (6.5%),education (0.6%) and household equipment (0.4%), while the lowest wererecreation & culture (-1.3%), hotels & restaurants (-1.2%) and transport (-0.4%). In particular, garments (+0.31 percentage points) and footwear (+0.08)had the largest upward impacts, while package holidays (-0.14),accommodation services (-0.12) and air transport (-0.08) had the biggestdownward impacts.• Consumer confidenceIn November, the Economic Sentiment Indicator (ESI) improved further inboth the EU and the euro area. The indicator increased strongly, climbing by1.3 points to 105.2 in the EU and by 1.5 points to 105.3 in the euro area.These results were boosted by strong positive readings in Germany. Amajority of Member States reported either improvement or stabilization insentiment. Among the seven largest Member States, Germany registered themost significant increase (+2.8), followed by Italy (+1.4). Improvement wasless pronounced in the UK (+0.5) and in the Netherlands (+0.4), whilesentiment remained broadly stable in Spain, Poland and France. In Germany,France, the UK and the Netherlands the ESI is above its long-term average.The Directorate General for Economic and Financial Affairs (DG ECFIN)conducts regular harmonized surveys for different sectors of the economies inthe European Union (EU) and in the applicant countries. They are addressedto representatives of the industry (manufacturing), the services, retail tradeand construction sectors, as well as to consumers. These surveys allowcomparisons among different countries’ business cycles and have become anindispensable tool for monitoring the evolution of the EU and the euro areaeconomies, as well as monitoring developments in the applicant countries.1.4 EnvironmentNatural resourcesLet us have a look at the natural resources of each European nation,individually.Germany is rich in Iron ores, coal and natural gas production. The nation alsoaccounts for some important minerals like copper, salt, potash and nickel.Modern day Germany has also started exporting important constructionmaterials. Belgium exports construction materials like carbonates and silicasand. Italy is known for important Europe natural resources like coal, marble,mercury, potash, pumice, barite, zinc, nickel, barite, asbestos, fluorspar,pyrite, feldspar, sulfur, salt, uranium and copper. Italy is also self sufficient forthe construction materials.   127  
  • 128.  Russia, located in the European region, is quite rich in global naturalresources. It accounts for natural resources like phosphates, platinum,chromium, manganese, iron ores, nickel, titanium, tungsten, copper and tin.Russia is also rich in precious natural resources like gold and diamonds.Siberian Forests, located in Russia, account for more than twenty percent ofworlds’ timber consumption. France too comprises of important minerals likeiron ores, uranium and bauxite. French natural resources are rich in, muchrequired, coal and petroleum as well. Holland adds to the European naturalgas production. It is also rich in construction materials like limestone, sandand gravel stone. Holland is also rich in petroleum (the need of the hour),peat, arable and salt. The United Kingdom is responsible for the supply ofgypsum and chalk all over Europe. It is also rich in Europe natural resourceslike coal, petroleum, lead, zinc, natural gas, iron ores, gold, limestone, salt, tinand clay.Europe natural resources like oil and gas are designed to aid industries,analysts, service companies and regulatory bodies in Europe.• Global warmingEuropes natural ecosystems are generally fragmented and disturbed, makingthem very sensitive to climate change. Most of Europe experiencedtemperature increases this century that are larger than the global average,and precipitation generally increased in the north but decreased in the south.The warming is clearly noticeable in mountain regions by the widespreadretreat of glaciers in the Alps. Plant and animal species are also apparentlyresponding to the changes by shifting their ranges northward and by changingthe timing of their activities to coincide with an earlier spring. The fragmentednature of the European landscape, however, may make it difficult for lessadaptive species to respond to continued climatic warming.Scientists from eight European countries have spent the past three yearsestimating extreme climate change and its impact on six specific economicsectors over the next eighty years.Their findings confirm that, in the future:• Heat waves will become hotter and last longer over much of Europe.• The cold season will become much shorter.• Cold days with temperatures below freezing will decrease by up to 4 months in Northern Europe by 2070.• Southern Europe and the Mediterranean will experience drier prolonged droughts and reduced rainfall.• Northern Europe will be wetter in winter but periods of drought are likely to become more frequent in summer.• There will be an increase in winter rain over most of Europe leading to greater flood risk and water pollution.• The number of severe winter storms over Western Europe will increaseThe impact of climate change was studied in six sectors - tourism,Mediterranean agriculture, forestry, water and property insurance.   128  
  • 129.  • Waste disposal/recyclingAs European society has grown wealthier it has created more and morerubbish. Each year in the European Union alone we throw away 3 billiontonnes of waste - some 90 million tonnes of it hazardous. This amounts toabout 6 tonnes of solid waste for every man, woman and child, according toEurostat statistics. It is clear that treating and disposing of all this material -without harming the environment - becomes a major headache.Between 1990 and 1995, the amount of waste generated in Europe increasedby 10%, according to the Organization for Economic Cooperation andDevelopment (OECD). Most of what we throw away is either burnt inincinerators, or dumped into landfill sites (67%). But both these methodscreate environmental damage. Land filling not only takes up more and morevaluable land space, it also causes air, water and soil pollution, dischargingcarbon dioxide (CO2) and methane (CH4) into the atmosphere and chemicalsand pesticides into the earth and groundwater. This, in turn, is harmful tohuman health, as well as to plants and animals.By 2020, the OECD estimates, we could be generating 45% more waste thanwe did in 1995. Obviously we must reverse this trend if we are to avoid beingsubmerged in rubbish. But the picture is not all gloomy. The EUs SixthEnvironment Action Programme identifies waste prevention and managementas one of four top priorities. Its primary objective is to decouple wastegeneration from economic activity, so that EU growth will no longer lead tomore and more rubbish, and there are signs that this is beginning to happen.In Germany and the Netherlands, for example, municipal waste generation fellduring the 1990s.The EU is aiming for a significant cut in the amount of rubbish generated,through new waste prevention initiatives, better use of resources, andencouraging a shift to more sustainable consumption patterns.The European Unions approach to waste management is based on threeprinciples:Waste prevention:This is a key factor in any waste management strategy. If we can reducetheamount of waste generated in the first place and reduce its hazardousnessby reducing the presence of dangerous substances in products, thendisposing of it will automatically become simpler. Waste prevention is closelylinked with improving manufacturing methods and influencing consumers todemand greener products and less packaging.Recycling and reuse:If waste cannot be prevented, as many of the materials as possible should berecovered, preferably by recycling. The European Commission has definedseveral specific waste streams for priority attention, the aim being to reducetheir overall environmental impact. This includes packaging waste, end-of-lifevehicles, batteries, electrical and electronic waste. EU directives now requireMember States to introduce legislation on waste collection, reuse, recycling   129  
  • 130.  and disposal of these waste streams. Several EU countries are alreadymanaging to recycle over 50% of packaging waste.Improving final disposal and monitoring: Where possible, waste that cannot berecycled or reused should be safely incinerated, with landfill only used as alast resort. Both these methods need close monitoring because of theirpotential for causing severe environmental damage. The EU has recentlyapproved directive setting strict guidelines for landfill management. It banscertain types of waste, such as used tyres, and sets targets for reducingquantities of biodegradable rubbish. Another recent directive lays down toughlimits on emission levels from incinerators. The Union also wants to reduceemissions of dioxins and acid gases such as nitrogen oxides (NOx), sulphurdioxides (SO2), and hydrogen chlorides (HCL), which can be harmful tohuman health.• Sustainable energyHere are the EU goals for 2020 in term of sustainable energy:⁃ Reducing its greenhouse-gas emissions by 20%⁃ Increasing the share of renewable energies to 20% of total energy consumption⁃ Increasing the share of renewable energies in transport to 10%⁃ Improving energy efficiency by 20%2.5 Political and Legal factors• Competition law in the EUThe main provisions of EU Competition law are contained in Articles 81 and82 of the Amsterdam Treaty.Article 81(1) prohibits ‘all agreements between undertakings, decisions byassociations of undertakings and concerted practices which may affect tradebetween Member States and which have as their object or effect theprevention, restriction or distortion of competition within the common market’.Article 81(2) provides that such agreements are rendered void. Article 81(3)provides that the provisions of Article 81(1) may be declared inapplicable inthe case of arrangements which contribute to improving the production ordistribution of goods or to promoting technical or economic progress, whileallowing consumers a fair share of the resulting benefit, and which does not:impose on the undertakings concerned restrictions which are notindispensable to the attainment of these objectives;afford such undertakings the possibility of eliminating competition in respect ofa substantial part of the products in question.Article 82 prohibits ‘any abuse by one or more undertakings of a dominantposition in trade for any goods or services in a substantial part of the   130  
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