Customer Analytics Case Study Report

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DATA4700_T3_2020_Workshop_2.pdf

DATA4700

Digital Marketing and

Competitive Advantage

Lesson 2

The Digital Marketing Portfolio

1 Understand the importance of positioning in

supporting competitive advantage

2 Be familiar with the Marketing Mix of the 4Ps

3 Identify the different tools included in a digital

marketing portfolio

Lesson Learning Outcomes

2

Review of Lesson 1 1. Key framework #1: the 3 Cs

– Customers

• What are their problems and needs?

– Company

• How can you solve those customers’

problems and needs…

– Competitors

• …better than your competitors can?

2. Key framework #2: STP

– Segmentation

• Using data to divide the market into separate

groups of similar people

– Targeting

• Using data to determine which segment contains

customers whose needs and wants can be met

best in a profitable manner

– Positioning – Lesson 2

3

Key framework #2: STP

Positioning is establishing a unique image:

• in the minds of your target customers

• for your company and your products

• that is completely different your competitors’ image

4

Look at the coloured areas of

the Venn diagram to the left.

Why do you think they are

shaded green, yellow or red?

Key framework #2: STP

Positioning is establishing a unique image:

• in the minds of your target customers

• for your company and your products

• that is completely different your competitors’ image

5https://corporatefinanceinstitute.com/resources/knowledge/strategy/market-positioning/

How are these different

car brands positioned

in the market?

Key framework #2: STP

• What data can companies use to influence customers’

perceptions of car quality?

6

This is another positioning map, for various media channels.

• What characteristics are being used to differentiate these media

channels?

Key framework #2: STP

7https://www.pinterest.pt/pin/502151427201283117/

Consider a product, in any category, that you buy.

1. Why do you buy this brand of product specifically, rather

than another available brand?

2. What characteristics do consumers use to differentiate

between the various brands in this product category?

3. What data do companies collect and use to better

understand those characteristics and how consumers

perceive them?

Discuss in groups of two or three and be prepared to share

your insights with the rest of the class.

Breakout activity: Data and positioning

Breakout activity: Data and positioning

1. Reasons you buy this brand specifically, rather than another:

2. Characteristics that consumers use to differentiate between

various brands:

3. Data that companies collect and use to better understand

these characteristics:

9

Data and the Marketing Mix

Once a product’s positioning has been established, decisions

must be made on how to support that positioning.

• What features should the product have?

• Where do we tell consumers about the

product?

• How do we get the product to consumers?

• How much do we sell the product for?

All of these decisions must be consistent with the product

positioning.

10https://www.digitaltrends.com/mobile/cell-phone-buying-guide/

Key framework #3: The 4 Ps

Once a product’s positioning has been established, it is then

supported by the Marketing Mix, which consists of the 4 Ps:

• Product

– What features should the product have?

• Promotion

– Where do we tell target consumers about

the product?

• Place

– Where do we get the product to these consumers?

• Price

– How much do we sell the product for?

11 https://www.singlegrain.com/marketing/the-4-ps-of-marketing-are-they-still-relevant-today-price-product-

promotion-place/

Key framework #3: The 4 Ps

Collecting and understanding relevant data will drive

evidence-based decision-making that involves questions such

as the following:

Video: Mous iPhone Cases | The Story of Limitless

https://www.youtube.com/watch?v=49tFe9rVglM

• What features should the product have?

– How do consumers rate certain product

features?

– What features should we include in the product?

Where do we tell our target consumers about the product?

– Which digital media channels are our target consumers using?

– How often are they clicking on our online ads?

12

Key framework #3: The 4 Ps

Collecting and understanding relevant data will drive

evidence-based decision-making that involves questions such

as the following:

• Where do we get the product to these

consumers?

– How do we use geospatial data to

determine store locations?

– How do we use logistics data to reduce

supply chain costs?

• How much do we sell the product for?

– How much does demand drop if we raise the price?

– How much are consumers willing to pay?

13

Breakout activity: The 4 Ps

Consider again your chosen product from the last breakout activity.

Video: Mous iPhone Cases | The Story of Limitless

https://www.youtube.com/watch?v=49tFe9rVglM

1. Which of the product’s features stand out to you? What data

might the company use to support the inclusion of those features?

2. Through which digital channels do you come across

advertisements for the product?

3. What data can be collected from the place you buy the product?

4. What data can be used to understand how to price the product?

Discuss in groups of two or three, and be prepared to share your

insights with the rest of the class.

Class discussion: The 4 Ps

Reminder: write in your worksheets!

1. Stand-out features of the product, and data that the company can

use to support inclusion of those features:

2. Digital channels on which you see advertisements for the product:

3. Data collected from the place you buy the product:

4. Data that can be used to understand how to price the product:

15

Key framework #3: The 4 Ps

In this lesson, we will focus on promotion. The other components

of the Marketing Mix will be addressed in subsequent lessons.

• Product

– What features should the product contain?

• Promotion

– Where do we tell target consumers about

the product?

• Place

– Where do we get the product to these consumers?

• Price

– How much do we sell the product for?

16

Promotion

Promotion refers to communication that influences the target

customer to consider or purchase a product.

There are two main components of promotional activity:

• Message

– what the company wants to tell the

target customer about the product

• Channel

– which outlet is used to communicate that message to the

target customer

17https://www.nationaloutdoormedia.com/billboards/

Promotional channels

In the pre-digital era, promotional channels tended to be

billboards and public transport shelters.

18

https://www.lsainsider.com/clear-channel-using-location-data-to-make-billboards-into-a-hybrid-medium/archives

https://bubbleoutdoor.com/how-much-does-outdoor-advertising-cost/

Promotional channels

Now, these traditional promotional channels can incorporate

modern digital approaches.

19 http://clearchanneloutdoor.com/products/digital-billboards/

https://www.bellmedia.ca/sales/out-of-home/product/street-furniture/

Video: Adobe EchoSign Digital Sign-off Game

https://www.youtube.com/watch?v=KMLBlO2PB5Q

Promotional channels

In present times, the focus of digital marketing is on

connecting with consumers through portable devices.

20

https://blueshift.com/blog/the-value-of-following-consumers-over-multiple-mobile-devices/

https://www.apptamin.com/blog/app-marketing-strategy/

https://www.way2target.com/blog/challenges-of-mobile-marketing/

Use a device you currently have with you to do the following:

1. Identify three digital ads that you come across and choose one.

2. Does the message in the ad seem relevant to you? Why or why not?

3. If the message does seem relevant to you: where might the company

have collected data about you to work out that this message would

be relevant?

4. If the message does not seem relevant to you: how could the

company have more effectively collected data about you to refine the

message sent?

Discuss in groups of two or three, and be prepared to

share your insights with the rest of the class.

Breakout activity:

Promotional channels

Class discussion:

Promotional channels

1. Describe the ad you chose:

2. This ad does (or does not) seem relevant to me because:

3. Where the company collected data about me from to make the

message relevant:

4. The company could have more effectively collected better data

about me by:

22

The digital marketing portfolio

As the previous breakout activity and discussion demonstrated, many

elements come together to enable digital marketing.

The toolkit used to conduct digital marketing can be divided into three

categories:

• Devices

• Platforms

• Media

All three of these categories rely on information gathered through data

collection and analysis regarding how to best deliver relevant

messages to target customers about a company and its products.

23

https://www.the-digital-insurer.com/ten-ways-to-reach-customers-through-digital-platforms-globe-and-mail/

https://mitcentralcoast.org/digital-health-hype-or-hope/

https://www.gradybritton.com/uncategorized/what-brands-need-know-digital-media-2018/

The digital marketing portfolio

Devices are the physical tools used for engagement:

• Desktop and laptop computers

• Smartphones

• Tablets

• Televisions

• Wearables

• Gaming devices

• Virtual Home Assistants

These devices provide useful information about where you interact

with companies and their products, and sometimes they provide

personal data about you as well.

24

The digital marketing portfolio

Platforms are the host sites on which companies interact with

customers:

• Google

• LinkedIn

• YouTube

• Facebook

• Instagram

• Twitter

• Snapchat

But also: AccuWeather, Eventbrite, Words with Friends…

Customers access these platforms through the companies’ websites

and apps. These interactions are another important source of data

for companies.

25

The digital marketing portfolio

Media is the format the company’s message is transmitted through:

– E-mail communication

– SMS notifications

– Direct messages

– Search engine optimised ads

– Banner ads

– Video ads

– Social media posts

These various media formats can be classified into three categories:

owned, paid and earned.

• Collecting data on open and click-through rates helps optimise a

companies’ message and channel selection.

26

The digital marketing portfolio

Owned media belongs to the company:

• computer and mobile websites

• social media accounts

• subscriber database

Paid media is purchased by the company:

• ads on non-owned platforms

• affiliate marketing (pay-per-click)

• infomercials (paid content)

• paid influencers

Earned media is made by others for free to benefit the company:

• customer reviews

• social media reposts, likes and shares

• unpaid genuine ambassadors 27

Breakout activity: The digital

marketing portfolio

Consider again the three ads you identified in the last breakout activity.

1. Classify each of your three ads with respect to platform and media type

(both the format and whether the ad was owned, paid or earned media).

2. For one of your ads, try to find a second ad for that same company or

product on a different platform.

3. If you found a second ad: what media type and on which platform was

that second ad? What insight can you draw from that company’s digital

marketing approach?

Discuss in groups of two or three, and be prepared to share your insights

with the rest of the class.

Class discussion: The digital

marketing portfolio

1. Platform and media type of your ads:

2. If you found a second ad for the same company or product

on a different platform, the media type and platform:

3. Insight about the company’s digital marketing approach:

29

Case Studies Companies taking new approaches to digital marketing during COVID-19

• Planet Fitness gyms are streaming live “home work-ins”:

https://www.ktsm.com/news/planet-fitness-closes-until-further-notice-offers-home-

work-ins/

• Chipotle hosting virtual lunch parties with celebrities and giving away free burritos:

https://www.thrillist.com/news/nation/chipotle-together-lunch-parties-zoom

• Uber builds a tool to help its drivers find work at other companies it is partnering

with: https://www.engadget.com/uber-work-hub-us-job-opportunities-141426312.html

Government segmenting the population and targeting certain groups for digital

marketing outreach as part of the Census 2020 count, to overcome traditional in-person

engagement during COVID-19

https://www.latimes.com/socal/daily-pilot/news/story/2020-04-24/tn-dpt-me-census-

covid-20200424

30

Summary of Lesson 2 1. Positioning (from the STP framework)

– Establishing a unique image:

• in the mind of your target customers

• for your company and your products

• that is completely different to the image of your competitors

2. Key framework #3: The 4 Ps of the Marketing Mix support the positioning

– Product: What features should the product have?

– Promotion: Where do we tell target consumers about the product?

– Place: How do we get the product to these consumers?

– Price: How much do we sell the product for?

3. The Digital Marketing Portfolio is used for promotion of your company and products

– Devices

• The physical tools used for engagement

– Platforms

• The host sites on which companies interact with customers

– Media

• The format through which the message is transmitted

• Owned, paid and earned media

31

Key framework #1: The 3 Cs – customers, company and competitors

Key framework #2: STP – segmentation, targeting, positioning