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Learning Outcomes
 the impact of digital resources on marketing,

 the key structural characteristics & differences
between digital resources,
 the evolution in focus of electronic & digital marketing
from ‘channel push’ to ‘market pull’
 the key trends in digital marketing: Internet advertising,
viral marketing, email marketing, search marketing,
social web marketing, gaming and mobile marketing.
 the wider influences governing the effectiveness of a
digital marketing strategy.
How could an online community
use social networks to oppose an
international music franchise and
make British music history?
https://www.facebook.com/ratm4xmas







Many of the social interactions & information exchanges are
facilitated by digital technologies.
In North America, Western Europe and Oceania/Australia,
Internet penetration and adoption stands at approximately
63% (Internet World Stats, 2009).
With this has come development and adoption of digital
resources, from mobile technologies to internet and social
web resources such as blogs, social networking sites, wiki‟s
and similar multi-media sharing services
Altering consumer expectations of their interaction with the
web or an organization and also changing how we market in
the digital space.
How big is Digital
Marketing and what does
it do for the user
Electronic
Marketing

It is not limited to one specific type or category of electronic
technology (e.g., Internet, TV), but includes both older analogue and
developing digital electronic technologies.

Digital
Marketing

Using specifically digital electronic technologies and channels
(e.g., web, e-mail, digital TV, wireless media and digital data.

Direct
Marketing

Is a type of marketing that attempts to send its messages directly to
customers. Not all direct marketing is electronic or using digital
technologies (e.g., direct mail).

Interactive
Marketing

Refers to marketing that moves away from a transaction-based effort
to a conversation (i.e., Two-way dialogue) and interaction. Not all
interactive marketing is electronic (e.g., face-to-face sales).
What would you say are
the main Digital
Marketing Methods
Social
Web
Marketing

Internet
Marketing
Internet
Advertising

Advergaming

Types

Online
Retailing

Search
Engine
Marketing

Email
Marketing

Mobile
Marketing

Viral
Marketing




It is important to understand how the many and varied digital
resources differ across key structural properties.
This helps to make a more informed decision about which
resources are most suitable for the achievement of your
marketing objectives.
Web 1.0

Web 2.0

Marketing Focus

Website or Content

User/Participant

Approach

Push

Push & Pull

Market Role

Audience

Participants

Market Behviour

Passive

Passive & Active

Interactivity

Machine Interactivity

Person and Machine Interactivity

Product Offering

Production

Co-production

Communication Model

Monologue (1-to-many)

Dialogue (1-to-1, Many-to-Many)

Control

External Pacing

External & Internal Pacing
Marketing‟s Digital Evolution
What people say...
 "The traditional marketing model we all grew up with is
obsolete.” James R. Stengel, CMO, P&G
 "Mass marketing no longer works. It's the end of brand
positioning as we know it.” Larry Light, CMO, McDonalds

 “To me, the challenge is not awareness, the challenge is
engagement." John Hayes, CMO, American Express
 "JWT client Ford now spends only 30%-40% of its ad. budget
on traditional advertising, compared with as much as 80%
five years ago." Bob Jeffrey, CEO, JWT
How would you advertise
a product or service on
the Internet
Used to:
 Increase website traffic (i.e., click-through)
 Encourage product trial, purchase, & conversion
 Encourage repeat purchase activity & referral

Eg: display advertising, classified listings, rich media
ads, search marketing.
Trends to 2009

Online advertising spend was £3.5 billion in the UK,
a 4.2% rise from 2008, exceeding TV advertising
spend for the first time.
⇑
⇑
⇩
⇩

Growth in SE marketing (up 9.5% to £2.15 billion)
Growth in video advertising (up increasing 140%,
generating £28.3 million).
Decline in display advertising (by 4.4% in 2009),
Decline in classified advertising (by 5.3% to £677.4
million down from £715.2m in 2008).
What are the key
considerations when
considering for
advertising on the net
Cost

Intrusion

Format
Major
Considerations:

Location
-based

Personal
-ization
What are the key
considerations when
advertising on the net
Search Engine Marketing
SEM is a set of marketing methods to increase the visibility
of a website in search engine results pages (SERPs includes



search engine optimization (SEO),



paid placement (PPC),



contextual advertising,



digital asset optimization



paid inclusion
Paid listings Pay Per Click (PPC)

Natural or organic listings Search engine optimization (SEO)

<title> </title> tags

<meta name=“description = > tags
Or Snippets from page

Tip: Craft engagement messages for search results page
Test with site: www.domain.com <keyphrase>
Helps to sell product &:
 Build a brand's
relationship with a
consumer
 Create a sense of trust

 Retain loyal customers
 Generate revenue as
well as referrals.













Make the campaign targeted –
80/20 rule
Gain and Confirm Permissions
Personalize
Message and Copy
Subject line
Source Address: „From‟
Test, test, and retest
Track, report, and mine results
Collect and follow up responses
Spam blocking

Sources: IMT (1999); Glass (2006), Westlund (2009)
How can the ‘net
facilitate viral
marketing...
Word of mouth (WOM): internet &
mobile technologies have increased
it‟s spread & speed of transfer with
ease & low cost.

Viral marketing:

any strategy
that encourages individuals to
digitally pass on a marketing
message to others, creating the
potential for exponential growth in
the message's exposure & influence.

Source MRB

Effective viral marketing
campaigning:

1) Give away useful products or
services
2) Provide effortless transfer to others
3) Scales easily from small to very
large
4) Exploits common motivations and
behaviours
5) Utilizes existing communication
networks
6) Takes advantage of others'
resources

Example of Viral Campaign - Obama’s presidential campaign, 2008












The Result:
„Killing in the Name‟, the single by RATM
released over 17 years ago, spent nothing on
it‟s marketing.
This campaign generated over 1 million
Facebook fans, over 50,000 YouTube search
results and endless Twitter chatter
In December 2009, in one week, sold over
502672 copies of it‟s single making it the 2009
Christmas No.1.
Raising over £101,517.48 for the charity,
Shelter.
It also set two new landmarks becoming:
◦ the UK‟s first download-only Christmas
number one
◦ notching up the biggest one-week download
sales total in British chart history.
HMV‟s Gennaro Castaldo said “This is a truly

remarkable outcome and possibly the greatest
chart upset ever”.
The Results
1 million+ Facebook fans, 50,000 +
YouTube search results & endless Twitter chatter
In one week Dec ‟09, sold over 502,672
copies of it‟s single making it
Christmas No.1 in „09.
Raising over £101,517.48 for Shelter.
2 new landmarks becoming:
 the UK‟s first download-only Christmas number
1
 notching up the biggest one-week download
sales total in British chart history.

“This is a truly remarkable outcome and possibly the greatest chart upset ever”.
Gennaro Castaldo HMV
Social Web Marketing (SWM) is a
form of digital marketing using the
social web & social media for
marketing activities - sales, PR,
research, distribution, customer
service.

Aim is to build a brand‟s
Social Brand Equity. Social
capital, is the relations among
individuals
(Coleman, 1988).











Twitter
Facebook
The most favoured tools are:
Foursquare
 Social networks (Facebook, LinkedIn),
 Followed by video sharing sites
Google+
(YouTube),
Instagram
 Image sharing sites (Flickr),
 Blogging platforms (WordPress) and
Blogs
 Microblogs (Twitter and Seesmic).
LinkedIn
CMO Survey (2009)
Yelp
YouTube
Delicious & Digg
Sharing Control

Conversations &
Dialogue

User-generated
Content

Principles

Community &
Social Networks

Co-created
Content
Why is the mobile a
leading digital marketing
tool






The use of computer and video games as a medium in which to
deliver advertising. Advergames consist of
 both membership models of multiplayers (e.g., MMORPG such as
World of Warcraft),
 Apps downloaded to a mobile device or added to an online social
network
 Viral games wherein the game is passed on from user to user on
the web.
Most advergames require users to register, allowing for the
collection of data for marketing research and other marketing
initiatives
It is about “perceived playfulness” from digital resources.
 Perceived playfulness is the degree to which current /potential
users believes that the technology will bring a sense of pleasure.
 It is an intrinsic motivator, influenced by the users experience
with the digital environment.





2 rising trends in digital gaming platforms are social networks
and mobile phones.
Social Networks
◦ Applications such as „FarmVille‟ or „Bejeweled‟ which induce
users to play games with their friends.
◦ Facebook now has had more than 52,000 applications,
allowing Facebook users to send each other virtual hugs,
share movie picks & play games
◦ Every month more than 70% of Facebook users engage with
platform applications, with more than 9,000 applications
having over 10,000+ monthly active users (Facebook, 2010).
Mobile Phones
◦ As at January 2010, Apple‟s App Store was serving over
100,000 downloadable iPhone apps, with overall, iPhone
owners worldwide having downloaded over 2 billion apps.
Games appear to be the hottest items in the Apple App Store.


Jurisdiction:
◦ Where does digital marketing activity actually take place?



Ownership:
◦ Who owns the content we create and share?



Permissions:
◦ Do you have the right permissions to upload and share
content?



Security:
◦ How secure is the data and information you share?



Accessibility:
◦ Does everyone who wants access have access?
 Consider the impact of digital resources on marketing.
 Appreciated the key structural characteristics across which
electronic and digital technologies differ.
 Understood the evolution in the focus of electronic and
digital marketing from „channel push‟ to „market pull‟.
 Discuss key trends in digital marketing: Internet

advertising, viral, email marketing, search marketing, social
web, gaming & mobile marketing.

 Outline the wider considerations that influence the
effectiveness of a digital marketing strategy.
General Electric











GE and LinkedIn
What do you think LinkedIn offers the
business
What does LinkedIn‟s social media platform
offer the business-to-business and business-to-consumer
user
What benefits has GE derived from using LinkedIn? How well
did GE exploit the technologies made available to them by
LinkedIn?
If you were starting your own service business providing
services to your niche what forms of social media would you
employ? Explain the reasons for your choices.
What lessons can we learn from social media marketing to
take away & apply elsewhere?

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Ppt

  • 1.
  • 2. Learning Outcomes  the impact of digital resources on marketing,  the key structural characteristics & differences between digital resources,  the evolution in focus of electronic & digital marketing from ‘channel push’ to ‘market pull’  the key trends in digital marketing: Internet advertising, viral marketing, email marketing, search marketing, social web marketing, gaming and mobile marketing.  the wider influences governing the effectiveness of a digital marketing strategy.
  • 3. How could an online community use social networks to oppose an international music franchise and make British music history? https://www.facebook.com/ratm4xmas
  • 4.     Many of the social interactions & information exchanges are facilitated by digital technologies. In North America, Western Europe and Oceania/Australia, Internet penetration and adoption stands at approximately 63% (Internet World Stats, 2009). With this has come development and adoption of digital resources, from mobile technologies to internet and social web resources such as blogs, social networking sites, wiki‟s and similar multi-media sharing services Altering consumer expectations of their interaction with the web or an organization and also changing how we market in the digital space.
  • 5. How big is Digital Marketing and what does it do for the user
  • 6. Electronic Marketing It is not limited to one specific type or category of electronic technology (e.g., Internet, TV), but includes both older analogue and developing digital electronic technologies. Digital Marketing Using specifically digital electronic technologies and channels (e.g., web, e-mail, digital TV, wireless media and digital data. Direct Marketing Is a type of marketing that attempts to send its messages directly to customers. Not all direct marketing is electronic or using digital technologies (e.g., direct mail). Interactive Marketing Refers to marketing that moves away from a transaction-based effort to a conversation (i.e., Two-way dialogue) and interaction. Not all interactive marketing is electronic (e.g., face-to-face sales).
  • 7. What would you say are the main Digital Marketing Methods
  • 9.   It is important to understand how the many and varied digital resources differ across key structural properties. This helps to make a more informed decision about which resources are most suitable for the achievement of your marketing objectives.
  • 10. Web 1.0 Web 2.0 Marketing Focus Website or Content User/Participant Approach Push Push & Pull Market Role Audience Participants Market Behviour Passive Passive & Active Interactivity Machine Interactivity Person and Machine Interactivity Product Offering Production Co-production Communication Model Monologue (1-to-many) Dialogue (1-to-1, Many-to-Many) Control External Pacing External & Internal Pacing
  • 11. Marketing‟s Digital Evolution What people say...  "The traditional marketing model we all grew up with is obsolete.” James R. Stengel, CMO, P&G  "Mass marketing no longer works. It's the end of brand positioning as we know it.” Larry Light, CMO, McDonalds  “To me, the challenge is not awareness, the challenge is engagement." John Hayes, CMO, American Express  "JWT client Ford now spends only 30%-40% of its ad. budget on traditional advertising, compared with as much as 80% five years ago." Bob Jeffrey, CEO, JWT
  • 12. How would you advertise a product or service on the Internet
  • 13. Used to:  Increase website traffic (i.e., click-through)  Encourage product trial, purchase, & conversion  Encourage repeat purchase activity & referral Eg: display advertising, classified listings, rich media ads, search marketing. Trends to 2009 Online advertising spend was £3.5 billion in the UK, a 4.2% rise from 2008, exceeding TV advertising spend for the first time. ⇑ ⇑ ⇩ ⇩ Growth in SE marketing (up 9.5% to £2.15 billion) Growth in video advertising (up increasing 140%, generating £28.3 million). Decline in display advertising (by 4.4% in 2009), Decline in classified advertising (by 5.3% to £677.4 million down from £715.2m in 2008).
  • 14. What are the key considerations when considering for advertising on the net
  • 16. What are the key considerations when advertising on the net
  • 17. Search Engine Marketing SEM is a set of marketing methods to increase the visibility of a website in search engine results pages (SERPs includes  search engine optimization (SEO),  paid placement (PPC),  contextual advertising,  digital asset optimization  paid inclusion
  • 18. Paid listings Pay Per Click (PPC) Natural or organic listings Search engine optimization (SEO) <title> </title> tags <meta name=“description = > tags Or Snippets from page Tip: Craft engagement messages for search results page Test with site: www.domain.com <keyphrase>
  • 19. Helps to sell product &:  Build a brand's relationship with a consumer  Create a sense of trust  Retain loyal customers  Generate revenue as well as referrals.           Make the campaign targeted – 80/20 rule Gain and Confirm Permissions Personalize Message and Copy Subject line Source Address: „From‟ Test, test, and retest Track, report, and mine results Collect and follow up responses Spam blocking Sources: IMT (1999); Glass (2006), Westlund (2009)
  • 20. How can the ‘net facilitate viral marketing...
  • 21. Word of mouth (WOM): internet & mobile technologies have increased it‟s spread & speed of transfer with ease & low cost. Viral marketing: any strategy that encourages individuals to digitally pass on a marketing message to others, creating the potential for exponential growth in the message's exposure & influence. Source MRB Effective viral marketing campaigning: 1) Give away useful products or services 2) Provide effortless transfer to others 3) Scales easily from small to very large 4) Exploits common motivations and behaviours 5) Utilizes existing communication networks 6) Takes advantage of others' resources Example of Viral Campaign - Obama’s presidential campaign, 2008
  • 22.        The Result: „Killing in the Name‟, the single by RATM released over 17 years ago, spent nothing on it‟s marketing. This campaign generated over 1 million Facebook fans, over 50,000 YouTube search results and endless Twitter chatter In December 2009, in one week, sold over 502672 copies of it‟s single making it the 2009 Christmas No.1. Raising over £101,517.48 for the charity, Shelter. It also set two new landmarks becoming: ◦ the UK‟s first download-only Christmas number one ◦ notching up the biggest one-week download sales total in British chart history. HMV‟s Gennaro Castaldo said “This is a truly remarkable outcome and possibly the greatest chart upset ever”.
  • 23. The Results 1 million+ Facebook fans, 50,000 + YouTube search results & endless Twitter chatter In one week Dec ‟09, sold over 502,672 copies of it‟s single making it Christmas No.1 in „09. Raising over £101,517.48 for Shelter. 2 new landmarks becoming:  the UK‟s first download-only Christmas number 1  notching up the biggest one-week download sales total in British chart history. “This is a truly remarkable outcome and possibly the greatest chart upset ever”. Gennaro Castaldo HMV
  • 24. Social Web Marketing (SWM) is a form of digital marketing using the social web & social media for marketing activities - sales, PR, research, distribution, customer service. Aim is to build a brand‟s Social Brand Equity. Social capital, is the relations among individuals (Coleman, 1988).
  • 25.           Twitter Facebook The most favoured tools are: Foursquare  Social networks (Facebook, LinkedIn),  Followed by video sharing sites Google+ (YouTube), Instagram  Image sharing sites (Flickr),  Blogging platforms (WordPress) and Blogs  Microblogs (Twitter and Seesmic). LinkedIn CMO Survey (2009) Yelp YouTube Delicious & Digg
  • 27. Why is the mobile a leading digital marketing tool
  • 28.    The use of computer and video games as a medium in which to deliver advertising. Advergames consist of  both membership models of multiplayers (e.g., MMORPG such as World of Warcraft),  Apps downloaded to a mobile device or added to an online social network  Viral games wherein the game is passed on from user to user on the web. Most advergames require users to register, allowing for the collection of data for marketing research and other marketing initiatives It is about “perceived playfulness” from digital resources.  Perceived playfulness is the degree to which current /potential users believes that the technology will bring a sense of pleasure.  It is an intrinsic motivator, influenced by the users experience with the digital environment.
  • 29.    2 rising trends in digital gaming platforms are social networks and mobile phones. Social Networks ◦ Applications such as „FarmVille‟ or „Bejeweled‟ which induce users to play games with their friends. ◦ Facebook now has had more than 52,000 applications, allowing Facebook users to send each other virtual hugs, share movie picks & play games ◦ Every month more than 70% of Facebook users engage with platform applications, with more than 9,000 applications having over 10,000+ monthly active users (Facebook, 2010). Mobile Phones ◦ As at January 2010, Apple‟s App Store was serving over 100,000 downloadable iPhone apps, with overall, iPhone owners worldwide having downloaded over 2 billion apps. Games appear to be the hottest items in the Apple App Store.
  • 30.  Jurisdiction: ◦ Where does digital marketing activity actually take place?  Ownership: ◦ Who owns the content we create and share?  Permissions: ◦ Do you have the right permissions to upload and share content?  Security: ◦ How secure is the data and information you share?  Accessibility: ◦ Does everyone who wants access have access?
  • 31.  Consider the impact of digital resources on marketing.  Appreciated the key structural characteristics across which electronic and digital technologies differ.  Understood the evolution in the focus of electronic and digital marketing from „channel push‟ to „market pull‟.  Discuss key trends in digital marketing: Internet advertising, viral, email marketing, search marketing, social web, gaming & mobile marketing.  Outline the wider considerations that influence the effectiveness of a digital marketing strategy.
  • 33.       GE and LinkedIn What do you think LinkedIn offers the business What does LinkedIn‟s social media platform offer the business-to-business and business-to-consumer user What benefits has GE derived from using LinkedIn? How well did GE exploit the technologies made available to them by LinkedIn? If you were starting your own service business providing services to your niche what forms of social media would you employ? Explain the reasons for your choices. What lessons can we learn from social media marketing to take away & apply elsewhere?

Editor's Notes

  1. In 2009, Jon and Tracey Morter from Essex showed Simon Cowell they have much more than the X-Factor.Having dominated the Christmas No. 1 Charts for 4-years, they started a campaign through a Facebook Group, promoting for Christmas No. 1 a non-X-factor single. The single ‘Killing in the Name’ by artists Rage Against the Machine (RATM), was first released 17 years earlier in 1992.The Aim:To overthrow conventional marketing techniques by publicly bringing down a major player’s mass media campaign through online social networks and electronic word of mouth (eWOM). The Method:Use Facebook, YouTube and endless Twitter chatter - friends, fans and follows encouraged each other to download the single by Saturday 19th December (23:59pm). The Result See Slide 22!
  2. Consider for a moment the last week of your life and your personal use of digital technologies. How many times did you login to your Facebook or Myspace profile? When logged in did you update your status? Comment on someone else’s status? Did you receive a private message? Or perhaps you downloaded an application or completed a quiz? Did you use Skype or MSN to chat with your friends?Did you watch or share any YouTube videos? How do you find information? Is it through search engines like Google, video sites like YouTube or perhaps from a link a friend shared with you on Facebook?How often did you use your mobile phone? How many text messages did you send? Did you receive any reminders or promotional offers to your mobile phone?
  3. SEM is a set of marketing methods to increase the visibility of a website in search engine results pages (SERPs). Is one of the most important and cost-effective methods of digital marketing. UK spend of £2.15 billion accounting for 60% of total UK online ad spend. It is estimated that the North American search engine marketing industry will grow 14% from $14.6 billion in 2009 to $16.6 billion by the end of 2010. SEM methods include (SEMPO, 2010): SEMPO is the largest nonprofit trade organization in the world serving the search and digital marketing industry and marketing professionals engaged in it. Whether you are a search or social marketing professional or use search and social as part of your profession, SEMPO provides the programs and resources to help you succeed.Their activities centre on Education, Networking, and Research. To support their educational mission, they provide a series of top notch webinars, Chats with Industry Experts, discounts to industry conferences and training, and a variety of other learning resources. Their local groups and networking events at industry conferences provide opportunities to network throughout the world; and our annual State of Search and Salary reports are among the industry&apos;s most respected research.SPONSORSRead more: http://www.sempo.org#
  4. End: Here we pose the question: What do you think marketers (and Simon Cowell) can learn from this social web campaign and the power of online word of mouth?
  5. The Result:‘Killing in the Name’, the single by RATM released over 17 years ago, spent nothing on it’s marketing.This campaign generated over 1 million Facebook fans, over 50,000 YouTube search results and endless Twitter chatterIn December 2009, in one week, sold over 502672 copies of it’s single making it the 2009 Christmas No.1. Raising over £101,517.48 for the charity, Shelter. It also set two new landmarks becoming: the UK’s first download-only Christmas number onenotching up the biggest one-week download sales total in British chart history. HMV’s GennaroCastaldo said“This is a truly remarkable outcome and possibly the greatest chart upset ever”.