Digital Brand Strategy - MS-Digital Innovation in Marketing · Digital Brand Strategy MKTG5605:...

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Digital Brand Strategy MKTG5605: Digital Brand & Product Management February 15, 2017

Transcript of Digital Brand Strategy - MS-Digital Innovation in Marketing · Digital Brand Strategy MKTG5605:...

Page 1: Digital Brand Strategy - MS-Digital Innovation in Marketing · Digital Brand Strategy MKTG5605: Digital Brand & Product Management February 15, 2017. ... “It is not about ‘digital

Digital Brand Strategy

MKTG5605: Digital Brand & Product ManagementFebruary 15, 2017

Page 2: Digital Brand Strategy - MS-Digital Innovation in Marketing · Digital Brand Strategy MKTG5605: Digital Brand & Product Management February 15, 2017. ... “It is not about ‘digital

Discuss (20 minutes)

• From reading Building a Brand Online, what are some of the key takeaways?

• Carnival Cruise Line Case, can it “control” the conversation? And are there negative consequences that cannot be overcome?

• How did Taco Bell become part of the conversation?

• Building Brands: The Power of Social Media, how does a local shop work to be part of the consumers’ lives?

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Carnival-Decision Brief QuestionWhat does Carnival Cruise Lines do to stabilize the brand position, maintain brand equity, in addition to stabilizing topline revenue in light of the current and significant multiple ship challenges?

• What can be done to keep current customers and drive repeat visitation / purchase?

• Can Carnival use service/disaster recovery to improve brand position?

• Can Carnival possibly consider taking competitive share at this moment?

! Think in terms of the Digital Space

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Feedback Loop

Non-cruiser, Unaware

Non-cruiser, Aware

Light Cruiser

Heavy Cruiser

Get feedback from customers at different adoption stages.

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Managing the Brand

A company is more than a collection of its tangible assets.

It is even more than the intellectual capital of its employees.

How a corporation is perceived by the public can be worth more to a company than all its other tangible and intangible assets put together.

When you lose your reputation, you lose a whole lot more than your reputation.

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Consumer behavior and expectations have forever changed. With connected devices within our reach, we do more than just check the

time, check emails or catch up with friends.

We turn to our devices with intent and expect to have immediateanswers

It's in these I-want-to-be informed(entertained), I-want-to-know, I-want-to-buy, I want-to-use moments that decisions are made and

preferences are shaped.

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Digital Brand Strategy must understand how people are

behaving on digital platforms

Digital Brand Strategists are Hybrid Thinkers

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Role of Digital Communications in Building Brands

Source: Aaker on Branding – The 20 Principles that Drive Success

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The Brand Building Role of Digital Communications

Source: Aaker on Branding – The 20 Principles that Drive Success

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Role of Digital Communications

Source: Aaker on Branding – The 20 Principles that Drive Success

Amplify the Brand OfferSupport the Brand Offer

Brand Building Platform

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Taco Bell Goes Loco for Snapchatting Millennials

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Digital channels, and assets are used to communicate a brand’s

positioning (or purpose).

“It is not about ‘digital marketing,’

it is about marketing

effectively in a Digital World”

-Ivan Menezes, CEO Diageo

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Positioning

Answers to these questions are the building blocks of your positioning:

• What is your category?

• Who are your competitors?

• How do your price and quality levels compare to competitors?

• How do you provide value to consumers?

• What is your point of difference? (POD, USP)

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Positioning

Positioning is essentially determining and executing how your brand is different from alternatives, in a way that matters to your target customer.

Basic elements

1. Category Definition

2. Target customer

3. How you provide Value

4. Relative Points of Difference

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Positioning

“…in a way that matters to your target customer.”

Providing Good Reason Why (to buy)

Consumers are motivated to change their behavior if there is a reason why a Brand will (i) improve their situation or (ii) save them money - better than alternatives.

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Positioning

Consumers will have reason that their situation has been improved if they …

1. Have problems solved

• real & perceived

2. Receive incremental benefits

• rational & psychological

3. Satisfy needs and wants

• logical & emotional

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A Planning Framework

Opportunity Assessment

Growth Priorities

Portfolio Strategy

Segmentation

From: Digital Branding Guide,

WHERE TO

PLAY

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A Planning Framework

Brand vision, Strategy, Proposition & Positioning

Targeting Strategy

Innovation Strategy

Channel Strategy

Source: Digital Branding Guide

HOW TO

WIN

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A Planning Framework

Integrated Activity Plan

Execution, Evaluation & Learning

HOW TO WIN

In MARKET

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Remember The Brand Brief

Brand Idea – What are you?

Personality – Who are you?

Driving Purpose - Start with why

Desired People - Who cares about you?

Distinct Offering - What makes you unique?

Differentiated Process - How are you unique?

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Who Are Your Customers?

Implicit

• What users are doing?

• Where they are spending most of their time on your site?

• What ad channel they came from?

• What actions they take or don’t take, including purchase data?

• What they share to social media?

• Email address

• Name

• Zip Code

• Demographic Info

Explicit

• What users are telling you?

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Building a Perceptual Map

• Produce a visual representation of the differences and similarities of brands, products, or customers

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I Want To Moments

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Positioning

“Start With Why”

Simon Sinek, Ted Talk

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Getting to “Why”

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Getting to “Why”

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Getting to “Why”

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Positioning

Source: Positioning-The Battle for Your Mind

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Positioning

Derived Value

Emotional Benefits

Functional Benefits

Attributes

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1. Have problems solved real & perceived

2. Receive incremental benefits rational & psychological

3. Satisfy needs and wants logical & emotional

What matters to a customer

Q1. How do you provide value to consumers?

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How do you provide value to consumers?

Positioning

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Q2. How are any of these are different from competitors or alternatives?

Derived Value

Emotional Benefits

Functional Benefits

Attributes

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Positioning

Who are (and who are not) your competitors?• If this cannot be easily answered, then positioning is not clear

• Positioning is, by definition, relative to competitors within your category

• Consumers make purchase decisions based on comparisons of alternative products

• If positioning isn’t defined relative to competitors, it’s just a vision statement and not really a market strategy

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Positioning

What is your point of difference?• A point of difference (POD) may be based on a product attribute, a

consumer benefit, or an aspect of brand identity.

• Strengths are not automatically PODs.

– PODs are the strengths that are also unique from competitors in a way that matters to consumers

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What are the brand associations for your product?

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Positioning

What is your point of difference (POD)?

• The best points of difference are brand associations that are strongly held by customers, are favorably evaluated, and are unique the brand.

– e.g. Natural, Loaded, Indulgent, Inexpensive, Fun, Sophisticated, Imported, Comfort food, Hard core

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Points of Difference

• Positioning based on a single dominant POD may be so clear and relevant that is can be expressed and understood in a few words.

• Evidence should be demonstrated / noticeable to the consumer that supports the POD claims.

– What builds, maintains, and reinforces the POD?

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Positioning

Communicating PositioningPositioning Statements

• Positioning is often communicated through a formula Positioning Statement based market scope and major point of distinction.

Brand Statements

• An overall summary brand statement is possible that encompasses the main ideas of the Brand Architecture.

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How Does This Impact Our Strategy?

• At the strategic level, all digital activity should help some Moment of Truth

• At an functional level, the brand should offer information, brand utility or fun

• At an executional level, brands should use the most appropriate channel or touch-point to deliver the functionality

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Tactical Development

• Imagine we have created a plan to help Frito Lay with their repositioning of potato chips as “not so unhealthy”

• What were tactics that they did or could do?

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Tactics as Marketing Mix Elements

Product

Package

Price

Assortment

Distribution

Merchandising

Service

Promotion

Advertising

1. Good: keep, expand, protect, leverage strengths and points of difference

2. Bad: remove, stop, reduce, minimize weaknesses and threats

3. Missing: add, create, change, borrow, combine, adapt

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Tactical Development

• How do you move from strategy thinking to tactical thinking?

• How do you create a lot of new thinking and ideas to fill in a tactical matrix?

• How do you do this as a group?

1. Ideation

2. Brainstorming

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Ideation Methodology

Idea DevelopmentBorrow someone else’s idea

• The best ideas can be borrowed ideas.

• The most creative ideas might be right in front of you.• The key is to adapt others’ solution to your problem.

• Step outside of your role• Be a customer• Assume a third person view

– Cast of Friends, Google, Modern Family

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Brand Equity

A well-developed Brand creates Consumer Equity (value consumers attribute to your brand) that drives Consumer Behaviors (purchasing your products) that drives ongoing profitable sales that create Brand Market Equity (value of your company)

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Case Study: Lady Gaga

1. If you were Troy Carter, which of the three touring options would you pursue for Lady Gaga? Why?

2. How much money does Gaga stand to gain (or lose) under each option? In your view, do the potential rewards justify the investment? And can Carter do anything to mitigate the risks of pursuing a solo tour?

3. Are Gaga's main partners-Live Nation, WME, and her recording label Interscope-likely to have the same preferences regarding the three options? Are their incentives generally aligned with Gaga's?

4. How would you evaluate Gaga's launch as an artist up to September 2009? How can her team best go about further developing her touring and recording career going forward? And how can team Gaga best leverage her social-media presence?

5. How important are the concert-ticket sales versus recording-music sales for an artist like Gaga? Where should team Gaga focus its efforts in the future?

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For Next Class (March 22):

Read …

• Most Engaging Brand Content

• Sephora Case

Meet Up (February 19)….. Brian Livell (Big Sofa Technologies)

• Looking ahead …

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• Edelman, David C., Dec 2010, Branding in the Digital Age: You’re Spending Your Money in All the Wrong Places, Harvard Business Review

• Edelman, David and Salsberg, Brian, November 2010, Beyond paid media: Marketing’s New Vocabulary, McKinsey Quarterly

• Critchlow, Will, 21 April 2014, Building a Brand Online: The Golden Age of Digital

• Ries, Al and Trout, Jack, Positioning: The Battle for Your Mind

Acknowledgements

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