Social Commerce Plan (3000 word)

Eirwan
Week5-MktgCommunicationsChapter4rev9.pptx

Week 5 Chapter 4

Marketing Communications

in Social Media

(Owned and Paid Media)

1-2

Unit objectives

1. identify the various tools of social media and describe how those tools are used to engage customers

2. identify, analyse and critically assess the suitability of various social commerce models and strategies for various e-businesses

3. explain the various principles and theories of social commerce

4. describe, explain and propose the appropriate marketing communication that could be conducted in various social commerce models

5. describe how social commerce aids customer relationship management

6. explain and understand the implementation issues in social commerce.

Learning Objectives

List five promotional mix in Marketing Communications

Explain the ways brands utilize social networking communities for branding and promotion. What characteristics do brand fans exhibit?

List and define the six social media promotion steps.

Explain how to select social platforms to achieve campaign objectives.

Compare and contrast the essentials of owned, paid and earned media.

Explain how to use owned social media channels for Press Release

Explain the paid media i.e. advertising formats for social media.

Opening Case: Johnson & Johnson Uses New Media Marketing

The Problem

JNJ is a healthcare, medical devices & diagnostic company.

With high Internet and mobile usage, it is important for companies to use online communication tools to reach, promote and support its customers

Opening Case: Johnson & Johnson

Using Internet Media Channels

JNJ News, JNJ cares blog, JNJ Health Channel (Youtube), JNJ #howloveworks & Facebook account “caring for the world, one person at a time”

J&J donated $1 to the Global Fund to Fight Aids for every person who shared on social media (retweeting, pinning, etc.) mashable.com/2013/06/10/share-red-campaign

Mobile Advertising Campaigns

Johnson & Johnson ACUVUE campaign with “Saving Momo”, theme pack & Win Live Messenger (WLM).

Johnson & Johnson’s Zyrtec and iPhone 2.0 , a weather widget (The Weather Channel –TWC) with banner adv.

https://www.youtube.com/user/JNJhealth

Opening Case: Johnson & Johnson

JNJ # 1 in customer engagement, e.g. 300,000 Theme Pack downloads and 200,000 game plays of Saving Momo (2007). TWC remained the number one (3M) download for iPhone users in the Apple Store (2009). 625M likes.

ROI in reputation e.g. “YouTube provides an excellent metric, including views over time, trends, most popular videos, even viewer retention rates.” Viral impact on brand

Lessons Learned

The opening case illustrates JNJ uses several social media tools & sites to increase its customers' awareness, positive attitude (interest, desire), and trial of its brands

JNJ was very success in their marketing communications in building SC, SP, SE leading to SC.

Marketing Communications: 5 Promotional mix

Public relations - “Building good relations with the company’s various publics by obtaining favorable publicity” e.g. JNJ Health Channel

Advertising- “Any paid form of non-personal presentation and promotion” Facebook or LinkedIn ad, Google AdWords, promoted Tweets, ad sponsored content in mobile phone; JNJ TWC & Momo

Sales promotion -“Short-term incentives to encourage purchase” e.g. Lazada 5th B’day sale in Lazada’s fan page; JNJ TWC

Direct marketing –”Direct connections with carefully targeted individual consumers, to both obtain an immediate response” e.g. targeted social ads; behavioural targeting; collaborative filtering

Personal selling – “Personal interactions between a customer and the firm’s sales force for the purpose of making sales and building customer relationships.” e.g. virtual agents/assistants using chat/chatbot

Market communications is how the company convey their brands and market offering

Which zones are these? PR – SC, SE, Adv & Sales P- SP & SE, DM & PS – SC &SE

11

Social presence: Brands as relationship nodes

Brands create a brand profile/persona within social communities. Brand acts as a node in the network’s social graph e.g. JnJ

The fan base (friends/followers) is an indicator of the brand’s success in establishing a known presence within a community.

Travelocity Gnome

Friendliness, Adventurous

Brand promise: Excitement, adventure

Aspiration – travel round the world

Character – magical, enchanting, fairy tale

57% say they are more likely to buy from brands they’ve friended

86% of social media users have friended a brand

25% of people want a two-way dialogue with the brand.

75% of social media users report buying something they heard about on social media

12

Brand’s social media character/Persona

What are the brand’s core values? Make diversity & inclusion how we work every day (J&J)

What social objects illustrate the values? E.g. Gnome

What has the brand promised? BMW: “The Ultimate Driving Machine”

What are the aspirational attributes? Love for family or the world (J&J)

What traits are associated with the brand? E.g. generosity (J&J)

What opportunities/benefits exist? E.g. Incentives, promotion

What stories bring the brand to life? E.g. J&J stories

https://twitter.com/roaminggnome?lang=en

Travelocity

Friendliness, Adventurous

Object Gnome

Brand promise: Excitement, adventure

Aspiration – Love and care for family

Character – magical, enchanting, fairy tale

13

Figure 6.2 Why people friend brands on social media

14

Figure 6.3 Why people unfriend brands

Less Megaphone (company broadcast posts), More Magnet (firm posts that invite consumer engagement), and

More Monitor (posts that reflect listening and responding to consumer conversations).

According to the report, 95% of brands are stuck in “broadcast” mode, using social channels as a megaphone. The top reason people give for unfollowing a brand in social media is too many promotional messages.

Fewer than 40% of the brands studied ever asked questions of their followers or responded to their follower’s comments to the brand (Monitor). Only 2% of brands consistently responded to customers’ posts. Not only is this approach less effective, it can drive brand followers away.

15

Characteristics of social fans

Random House’s Figment is an example of an owned social community; it targets teens who love to read and write fan fiction. Fans who define their own individual identities at least

in part by their membership in a fandom share five key characteristics:

1. Emotional engagement: the object is meaningful in the emotional life of the fan. For example, members of Figment see fan fiction as a part of their

self-concept and their membership in the social community as part of their social identity.

2. Self-identification: the fan personally and publicly identifies with like-minded fans. Figment members call themselves “figgies” and use #figgies when

interacting on social media channels other than the Figment community platform.

3. Cultural competence: the fan has a critical understanding of the object, its history, and its meaning beyond its basic functionality. Figgies are fan

fiction enthusiasts who know the development of the genre, the stories of successful fan fiction authors, and more.

4. Auxiliary consumption: the fan collects and consumes related items and experiences beyond the basic object. For figgies, items related to their favorite

books, movies, and celebrities are desirable. Figgies might attend fan fiction conventions, going in costume!

5. Production: the fan becomes involved in the production of content related to the object. Figgies post their fan fiction stories on Figment where other

fans can read, critique, and contribute to the stories.

Level of engagement makes a big difference in terms of the buying decision process. One study specifically measured the value of being a brand’s Facebook

fan. It found that people spend about $72 more on a product for which they have a social network affiliation than for one they do not. Fans are also 28%

more likely than non-fans to continue using a brand, and 41% more likely to recommend a fanned versus non-fanned product to a friend.36 Fans in the study

also said they felt connected to their brands.

16

Emotional engagement

1

Self-identification

2

Cultural competence

3

Auxiliary consumption

4

Production

5

Characteristics of brand community engagement

Active community management e.g. mix of megaphone, magnet and monitor

Content mission, quality, and storytelling consistent with brand character

Engagement and community relationship building – emphasize on magnet

Collaboration with influencers

Learning Objectives

List five promotional mix in owned and paid media

Explain the ways brands utilize social networking communities for branding and promotion. What characteristics do brand fans exhibit?

List and define the six social media promotion steps.

Explain how to select social platforms to achieve campaign objectives.

Compare and contrast the essentials of owned, paid and earned media.

Explain how to use owned social media channels for Press Release

Explain the paid media i.e. advertising formats for social media.

Getting Started with Social Media Promotions

Listening to Customer

1. What proportion of their target markets is aware of the company’s brands and individual products (attention)?

2. Are the attitudes of the markets positive or negative toward these brands (attitudes: desire, interest)?

3. What proportion of the market purchases the products and how frequently do they make repeat purchases (behaviour)?

Use SM dashboards https ://biznology.com/2014/04/25-social-media-listening-aids-to-increase-your-hearing /

e.g. HootSuite; Radian6; Klout, etc

Marketing objectives and social media

Increase

awareness

Influence

desire

Encourage

trial

Facilitate

purchase

Cement

brand loyalty

Recover

from service failures

Six Social Media Promotion Steps and Example

Initiation

Initiation

Formulation

STRATEGY

Implementation

Assessment

Performance

Improvement

Listening & set overall mktg comm. objectives

/activities

SM Activities

Awareness (sharing viral video)

Sick Puppies (Australian band) YouTube “Free Hugs Campaign” - 75 million views. https:// www.youtube.com/watch?v=vr3x_RRJdd4

Attitude: Interest and Desire (crowdsourcing)

Dunkin’ Donuts Facebook campaign to design a new donut, Prize $1,200 free donuts, 90,000 entries, 3X increase in Facebook fan base, positive conversation: 44 % regarding the promotion, 38 % discussing great taste & 20 % expressing love for the brand. http :// wave.wavemetrix.com/content/dunkin-donuts-uses-social-media-drive-positive-brand-engagement-00107

Behaviour (trail, purchase): Ticketmaster social shopping for cinema tickets. Use SN login, book ticket. Friends will know where you sit & may reserve the seat next to you. 33% increase traffic.

Sick puppies Get 10K for world peace

22

SNS Platforms

• Social networks general services

• Commercial and professional social networks

• Enterprise social networks

• Multimedia sharing sites (e.g., YouTube) and photos (e.g., Flickr)

• Social bookmarking (Pinterest)

• Virtual worlds and massively multiplayer online games (MMOGs)

• Social games in networks (e.g., Zynga, Electronic Arts)

How to select which platform for your promotion?

Selecting the SM platform/community (Tuten)

Consider this list of community characteristics when evaluating the desirability of a community target:

What is the community’s focus (to determine relevance)?

How many active users are involved in the community

How active are the top users on the site?

How many comments on average are generated for each new submission?

How many votes are required to earn front page status on the site?

Are stories on the site’s front page recent? How rapid is story turnover?

Are there limitations for branded content in the community’s Terms of Service?

What have others said about the social news site?

24-6

Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall

Microblog posts can be useful for reminder communications and ensuring top-of-mind awareness, but they can also provide valuable links, direct traffic, and build credibility and reputation.

24

Learning Objectives

List five promotional mix in owned and paid media

Explain the ways brands utilize social networking communities for branding and promotion. What characteristics do brand fans exhibit?

List and define the six social media promotion steps.

Explain how to select social platforms to achieve campaign objectives.

Compare and contrast the essentials of owned, paid and earned media.

Explain how to use owned social media channels for Press Release

Explain the paid media i.e. advertising formats for social media.

Owned, Paid, & Earned Social Media

e.g. Facebook fan page, JNJ News, JNJ Health Channel

e.g. Facebook ads, sponsored blogs, Google Adword

e.g. users’ engagement e.g. sharings, ratings, videos, recommendations, participation, etc.

26

Figure 4.3 Owned, Paid, and Earned Media Are All Content Driven

Source: Strauss and Frost (2014). Used with permission.

Social Media Promotions

28-1

Earned Media

Mostly Owned & Earned Media

Mostly Owned & Paid Media

Mostly Owned & Paid Media

28

Owned Media Content

Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall

29-6

Characterize content in terms of its originality & substance according to a value ladder.

Flagship content – authority-building content. Seminal pieces of work that shape the way people think e.g. what is Web 2.0

Pillar content – typically educational content that readers use over time, save, & share e.g. JNJ health channel

Authority-building content – original content that positions the sponsoring entity as a authority e.g. JNJ Cares

Filler content – information that people copy from other sources

https://www.facebook.com/pg/careinspirescare/videos/? ref=page_internal

Types of Pillar & Flagship Content

Learning Objectives

List five promotional mix in owned and paid media

Explain the ways brands utilize social networking communities for branding and promotion. What characteristics do brand fans exhibit?

List and define the six social media promotion steps.

Explain how to select social platforms to achieve campaign objectives.

Compare and contrast the essentials of owned, paid and earned media.

Explain how to use owned social media channels for Press Release

Explain the paid media i.e. advertising formats for social media.

Making Press Relations Social Media Friendly

How to include image, videos & text info in SM friendly manner?

Include sharing tools

Headlines < 55 chars for mobile phone & easy retweeting

Include YouTube video link, nearly every SN recognize

Include link to SoundCloud audio https:// soundcloud.com/cspenn/rethink-robotics-release

Include link to Photo galleries e.g. Flickr or Facebook

Integrated social discussions using common plugins like Facebook Comments, Disqus, Livefyre, or other systems

Include contact information

Entire press release is embedded inside a marketing information system – who has engaged (share, comment, like, etc.) e.g. SM Dashbd

Example: http://mktg.shiftcomm.com/socialmediapressreleasetemplate?_ ga=1.43155109.1659141824.1490342359#sthash.urhaMTwy.dpbs

Figure 4.4 Social Media Press Release

Source: Shift Communications at shiftcomm.com/2012/12/social-media-press-release-2-0 (accessed August 2014). Used with permission.

Social media optimization (SMO) is a process that makes it more likely for content on a specific social media platform to be more visible and linkable in online communities.

34-6

Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall

34

Learning Objectives

List five promotional mix in owned and paid media

Explain the ways brands utilize social networking communities for branding and promotion. What characteristics do brand fans exhibit?

List and define the six social media promotion steps.

Explain how to select social platforms to achieve campaign objectives.

Compare and contrast the essentials of owned, paid and earned media.

Explain how to use owned social media channels for Press Release

Explain the paid media i.e. advertising formats for social media.

Social network advertising (social ads)

Online advertising that focuses on social networking sites

Types of Social Network Advertising

Direct advertising that is based on your network of friends e.g. collaborative filtering (e.g. Lazada) or social logins (e.g. Netflix).

36

Figure 4.2 Facebook Ad for a Gong Concert

Facebook search profile:

Live in the United States and within 50 miles of Reno,Nevada

Eighteen years of age or older

Have the following interests in their profiles: Buddhism,Deepak Chopra, meditating, metaphysics, …

Returned 2,520 targeted profiles

Facebook Advertisement

https://www.youtube.com/watch?v=57iPb3fptPE

Cost – which is the cheapest paid advert

Survey from existing customers which SN they use. Assume the same for prospect.

Detect conversation about a brand

37

Figure 6.5 Advertising options on social networks

Figure 6.5 Advertising options on social networks

Learning Objectives

List five promotional mix in owned and paid media

Explain the ways brands utilize social networking communities for branding and promotion. What characteristics do brand fans exhibit?

List and define the six social media promotion steps.

Explain how to select social platforms to achieve campaign objectives.

Compare and contrast the essentials of owned, paid and earned media.

Explain how to use owned social media channels for Press Release

Explain the paid media i.e. advertising formats for social media.