a marketing journey: conventional, disruptive & digital marketing
TRANSCRIPT
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A Marketing JourneyConventional, Disruptive & Digital Marketing
Elga Yulwardian, MM, MBuss IT
Jakarta 12 September 2014Pelita Harapan University Graduate School of Management
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Discussion Agenda
Start Up Company Marketing in Common
Digital & Disruptive Marketing Strategy
Discussion Objective• Understand implementation of traditional / generic marketing
strategy in the real world (using Start up company as an
illustration)
• Realize some altered momentum of differentiation marketing along
certain timeline
• Increase knowledge and understanding of the essential of digital
marketing in today marketing strategy
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Marketing in Common
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Marketing Mix
7 Ps is an extension of 4Ps Marketing Mix by E. Jerome McCarthy
Advertising
Public Relation
Personal Selling
Sales Promotion
Promotional Mix
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Start up Marketing Practice in Common
Create the marketNo marketing budget
Limited human resource
Market Growth
Distribution focusDistributors based penetrationExpense to maintain distributorsPrice is controlled by distributors“distributors incentive trap”
Founded
Product (no research)Price (by intuition)Place (distribution)
PeopleProcess
No PromotionNo Physical Evidence
Some free cash flowVery simple media adsVery simple promotionPromotions: the distributors' request
Market Maturity
Some competitors coming into marketStart to create marketing initiativesAllocate higher marketing spendingExpand its distribution channel more deeply into retail
Product (advance)Price (hard to change)Place (penetrate retail)PeopleProcessPromotion (enhance)Physical Evidence (initial)
What Next?
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Diversification
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Disruptive Marketing
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In Digital Era?
In similar situation:
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Marketing Mix
7 Ps is an extension of 4Ps Marketing Mix by E. Jerome McCarthy
Advertising
Public Relation
Personal Selling
Sales Promotion
Promotional Mix
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Indonesia Digital Landscape
Lebih dari 60 juta Pengguna Internetwww.InternetWorldStats.com, 2012
Lebih dari 54 juta Pengguna Facebookwww.Facebook.com, 2012
Indonesia memiliki:
Jakarta adalah Kota No 1 Dunia dalam jumlah Tweetwww.SocialBakers.com, 2012
Lebih dari 90% mengakses Social MediaMark&Plus Survey, 2012
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Is Digital Marketing
that Simple?
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Picture source: kewmarketing.com
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Corporate Organization
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Corporate Strategy
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What About
the Customers?
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Source: Harvard Business Review, December 2010, p.64
The customers' decision journey
is very different now!
Source: www.strotherweinberg.com
Source: Harvard Business Review, December 2010
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Corporate Strategy
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And also, their fingers’ power!
Example: Maldives Marriage
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Case Study: Maldives Marriage Insult
October 2010.The French couple paid for US $ 1500 for the wedding Abusive and abhorrent local Dhivehi language on the wedding vows
The incident impacted to the Maldives tourism performance.
Source: Ministry of Tourism, Arts and Culture,
Republic of Maldives
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Case Study: United Breaks Guitars
"United Breaks Guitars" is a protest song by Canadian musician Dave Carroll and his band, Sons of Maxwell; witnessed baggage handlers throwing his $3,500 Taylor guitar. It chronicles a real-life experience of how his guitar was broken during a trip on United Airlines in 2008.
United Airlines stock price plunged 10% costing shareholders $180 million.
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The customers' behavior has changed
Source: Alyson Stone, Desk.com
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The customers’ Alter Ego :
They can be anyone on the net
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Digital is a disruptive technology
That enable disruptive marketing strategy
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Disruptive content marketing
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One Red Paper Clip
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Ririn Dumin
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Disruptive co-creation marketing
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Vans.com
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Gantibaju.com
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Disruptive community marketing
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Woot.com
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Disruptive marketing analytics
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Effective Measure
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There are many analytical tools that
can provide interesting information
related to digital communityThe graphic is a result of Gephisoftware
that is run my facebooknetwork data.
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Disruptive marketing targeting
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Source: Admax Network
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Re-targeting
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Disruptive movement marketing
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www.dukungIndonesia.com achieved Bronze Medal
– Pinasthika Award 2011for category Digital
Marketing
(in this case, the was no Gold and Silver winner)
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Disruptive customer service
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Dedicated Resources
Zapposis also very well-known company that is successfully create social culture in their organization. All of Zapposemployees are functioned as customer services and deliver happiness to their customers.
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Crowdsourcing Platform
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Dedicated Social Media Customer Service
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http://www.jabberwacky.com/george
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Dedicated Resources
Dell is one of the most advance company in implementing Social Customer Care. The Dell Social Media Command Centre is very popular as a dedicated resources for this matter.
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Best Practice Benchmark
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Social Media Platform
Picture source: www.moxiesoft.com
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No choice but implement!
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The voice of top management
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In late 2009, Forrester published a white paper, No Media Should Stand Alone – An Empowered Report. Defining the Roles of Owned, Earned, and Paid Media in Online Marketing by Sean Corcoran
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Digital Marketing Journey
Foundation: Grand Strategy Development
Own MediaStreamlining
Share MediaOptimization
Media PlacementOptimization
1st PhaseAcceleration:
Initiate Digital Connection
2nd Phase
Digital ActivationEnhancement
Digital MediaPartnership
E-CommerceCollaboration
Synergy: Create Digital Ecosystem
3rd Phase
Owned DigitalCrowdsourcing
Platform
Cross MediaCampaign
EnableE-Commerce
Sustaining: Maintain and Innovate
4th Phase
3-5% of overall marketing budget 5-7% of overall marketing budget About 10% of overall marketing budget > 10% of overall marketing budget
CommunityEvangelistStrategy
New MediaCampaign
Digital Strategy Journey Model
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Best Practice Benchmark
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Social Media Platform
Company have to be very careful in investing and implementing their Social Media Platforms.
Follow the mainstream platform, to some extent is the safest way.
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Thank you and let’s discuss