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The Power of Integrated Marketing Campaigns

How consumer product goods, consumer retail, hospitality and quick service restaurant companies

use integrated marketing campaigns to increase brand awareness, engage customers and drive revenue

Businesses need to find a way to grow their businesses, build their brands and increase brand awareness, while abiding by corporate guidelines and practices.

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Using an integrated marketing communication strategy is a great way for a brand to specifically focus on local customers and operate under the greater umbrella of the corporate parent.

This approach offers:+ A holistic approach to communications marketing+ More “bang for your buck,” by creating a user experience+ Integrated marketing communications plans increase the chance that consumers will reach you the way you want them to (more control)

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1 Mobile Devices

2 Geolocation

3 Group Buying

4 Barcode Scanning

Before we examine integrated marketing campaigns, let’s explore today’s trends and their importance to businesses:

Technology as a marketing tool

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Smart phone use is on the rise. Smart phones are quickly becoming a more important tool to use to connect and engage with customers. OpenTable recently announced that as of 9/20/10, over 5 million customers were “seated” via reservations booked on its mobile applications. Consumers are also using mobile apps to order food, find nearby restaurants, add value to prepaid cards (i.e. Starbucks), and/or discover the “flavor of the day.”

INTEGRATED MARKETING COMMMUNICATION trends5

Customers are using technology and mobile devices to announce location to social networks (i.e. SCVNGR, Facebook Places, Foursquare, Gowalla). Businesses are capitalizing on this by linking the “check-ins” to coupons and deal savings, encouraging fans to announce their locations, and ultimately, become customers.


Group buying sites, such as Groupon, have changed consumer buying behavior, by forcing consumers to cooperate in order to receive the discount. Group buying allows for companies to drive purchase behavior and expand their customer bases. Participating businesses have experienced increased traffic as a result of flash sales, especially when linked with product reviews.


Mobile devices allow the consumer the opportunity to scan bar codes (QR codes) to get product reviews, complementary offerings, compare prices across distributors and track product availability. Businesses can use this knowledge to communicate transparency regarding price, product and service quality.


Global leader in marketing intelligence and audience measurement services

• leading source of data on mobile; tracks more than 3M unique websites from over 170 countries• helps advertisers maximize effectiveness of advertising dollars, by analyzing consumer behavior in the face of a changing global digital media landscape• provides tools to design, and implement strategic campaigns and actionable insights• industry solutions for clients to leverage the digital landscape in order to increase their ROI • uses data-driven insights to effectively identify the correct target audience and competitors

Resources

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Online news reporting on current industry and branding trends

• reports on integrated marketing leaders, examples of “best practices” across industries• delivers information about ever-changing marketing tactics, whitepapers and special reports

Resources

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Integrated marketing campaigns (IMC) combine new, and traditional media marketing tools and tactics to connect with consumers across multiple platforms. The goal of an IMC is to integrate brand messaging across channels (messages are not platform-specific), and to increase market and brand awareness, inevitably resulting in financial benefits.

Campaigns

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Retail Integrated Campaign Success

Target : “Hello Manhattan Campaign”

INTEGRATED MARKETING CAMPAIGN example12

Highly Advised:+ Blog+ Use location-based marketing techniques+ Optimize web pages for search+ Grow social media following+ Monitor what customers are saying about you+ Increase engagement+ Get devoted fans more involved with the brand, involve “fringe fans”+ Focus on quality content+ Incorporate the use of company photos and shared fan photos+ Brainstorm game-changers that leverage all contemporary media tools and attack the traditional model differently

Unadvised:- Integrate social media in a way that contradicts the brand messaging- Assume methods such as group-buying are right for your business

Campaigns

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CPG brands need to “speak the shopper’s language” when engaging in marketing communications and focus on the engaged customers – not just the quantity of participants, but the number of engaged participants matters

Critical mass is also important to CPG companies, using social media is an effective way to build the customer base!

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The Anatomy of a CPG Consumer + Brand Lover/ “Indulgent”

Use effectively “like” buttons and branded FB pages; tap into the sense of pride consumers have for a brand

+ Price driven/responsible planner Influenced by online ads, coupons delivered via mobile apps effective

+ Bargain Hunter Impulsive, focus on ad placement and partner with publishers, or ad networks that will target the ads based on online behavior

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Integrated campaign for bananas: “buy a bunch lose a bunch”

+ Focused on bananas as a way to lose weight and an affordable diet staple (bananas are the most frequently fruit purchased by consumers)+Used retail promotion + social/online media+“Diet Challenge Sweepstakes” encourages online recipe swapping, surveys and sharing pictures to win prizes+Lifestyle app for smartphones with nutritional information, adult games, and downloadable coupons+Facebook and Twitter implementation (live chats with nutritionists and partnerships with Mom Central, “Fan of Bananas” page)

Results: + Achieved 29,973 fans on Facebook, 615 followers on Twitter and reached over 16,000 followers on @MomCentral

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Coke used social media to create and maintain trusting relationships; careful to ensure alignment of online social media principles across the brand.

+ Twitter feed directed to internal employees for internal news; >5 million fans on Facebook

“Open Happiness” Campaign + New POS, promotions, digital ads,

music, outdoor and print ads

+ Designed to work from the national level to the in-store buying experience

+ Expedition 206: in 2009, three fans chosen by other consumers to visit every country where Coke is sold to spread a message of “open happiness.” They made videos, tweeted, blogged, and used Facebook to connect with fans who responded with tips on where to go and what to do in the areas.

Results: Fueled growth of the Coca-Cola brand;

unit case volume increased 2% across developed and emerging markets

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Adidas teamed up in 2010 with popular athletes to promote the World Cup and increase brand awareness. Each athlete tweeted, posted updates to Facebook and uploaded videos to YouTube. Adidas made this a competition between the athletes to see who could make the most friends throughout the World Cup. Adidas leveraged the reach of the athletes to diversify across sports types and reach more fans, eventually increasing its customer base.

Adidas also used social media to promote new “Star Wars-inspired” product line, by integrating Facebook Connect ,and Google Maps to “attack” friends like in Star Wars games and movies as a “fun” way to engage its audience. Adidas capitalized on the “buzz” of the World Cup and engaged customers on its level, by using Star Wars to relate to the base to launch the new product line.

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CONSUMER RETAIL company analysis 19

Zappos, the nations largest online shoe store, uses a Twitter aggregation page on its website to show all company mentions as well as all employee Twitter accounts to show more information. Because Zappos realizes that its brand is based on customer perceptions and experiences, it practices transparency, and works hard to create and maintain a personal connection.

Zappos has 28,000 Facebook fans with whom it interacts daily, by sharing company news and asking questions. This behavior encourages employees to be social. Additionally, the company encourages employees to blog. The ability to easily blog about the shoe online (grab the image from website for authors of the blog to write about) creates connections and ensures integration of the brand message.

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Graco used the components of an integrated marketing communications strategy to build a community around its. products. Cross-promotion using the blog was successful, especially given the outspoken and opinionated nature of traditional “mommy bloggers.” Flickr was implemented in order for “mommies” to share content and also serves to tell a story about the consumers using its products. Graco correctly recognized that creating a personal connection with Graco products is instrumental to product success given the power of word-of-mouth in mommy and parent communities. Graco took advantage of the fact that “mommies” are vocal and like to interact with each other, share tips and swap stories about parenting, child care, and general experiences.

Graco also encouraged community gatherings, of which pictures are posted to Flickr or blogs to further promote both the employees and consumers

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Hotels and other businesses in the hospitality industry are using social media as a part of an integrated marketing campaign to manage their reputations, understand the word of mouth from customer experiences and consumer reviews, and to connect with guests. Hotels can listen to what their guests are saying by becoming a part of the space where their guests are interacting and communicating. In order to learn more, hotels encourage guests to leave comments (i.e. through Tripadvisor, wikiTravel, company websites) and post pictures from their trips. This has a dual purpose: it offers a chance for the guests to feel a part of the hotel and the experience, and it also gives other prospective guests a chance to learn more about the hotel from an unbiased viewpoint.

Overview

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Trends:+ Track experiences+ Internet and social media “hubs” or connecting+ Localization

o customize Twitter, Facebook, etc. for the geographic areas from which guests are coming o understand what is culturally important to the guests and communicate that understanding

+ Mobile Marketingo offer rich media content for mobile devices (i.e. ability to book online, provide contact details) because guests are increasingly relying on mobile devices to handle transactions

Trends

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Highly Advised:+ Use social media as market research (loyalty programs, discovering the “next promotion” and what amenities guest would like to see) + Blogs to promote the destination/travel brand, and to establish credibility and trust+ Engage your guests, provide them with opportunities to connect via social media (i.e. over 50% of Sheraton guests use the “Link@sheraton”)+ Articles and online PR+ Social bookmarking (i.e. Digg, Delicious)+ Employees can be the best brand ambassadors!+ Photo sharing (Flickr, Photo Bucket, etc.)

+ Encourage guests to display and tag photos from their trips, share what to do in the area, review restaurants, ect.

Unadvised:- Delete negative comments

- Create a ‘management response’ to address the concern

Social Media

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The Roger Smith Hotel, located in NYC, uses social media to compete with the big name hotels in the city. When the hotel first opened, it realized that it needed to be where its customers were and targeted the heavy social media users coming to NYC, by spreading stories across the social media space (mainly on Twitter) about the hotel. “Storytelling” was already integral to the hotel brand; therefore, using social media was a natural extension. Roger Smith learned never to “sell” using social media; rather, the goal should be to build a channel of people that believes in it – a “people first” attitude. The hotel has a “social hospitality” associate who monitors Foursquare and Twitter for real-time information. This allows the hotel to get to know guests before they arrive at the hotel, and build a stronger relationship with the guest during his/her stay.

Case Study

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Case StudiesThe Wynn Las Vegas uses Foursquare to give tips and stories about the hotel with the goal of complementing and improving the overall service to guests. Employees track Foursquare to identify where guests are in the hotel and what they are doing. They also use it to greet guests by name when they check in - increasing the value of the customer service. The Wynn also uses social media to offer extra deals, and benefits for checking in and using the services, such a free room upgrade for tweeting, or a free glass of champagne at their nightclub with a code on Foursquare. With over 300,000 followers on Twitter in the first six months of the campaign, the Wynn is successfully building a community of loyal guests and future guests. The Wynn intends to take this idea of learning about guest behavior, by building a “business dashboard” to aggregate information and be even more insightful.

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QSRs (Quick Service Restaurants) use integrated marketing campaigns, especially social media, to focus on brand engagement and reputation management. QSRs are increasingly embracing mobile coupons for direct marketing efforts, a natural extension from popular print coupons, which enables QSRs to reach many communication channels

(i.e.mailbox, online, mobile devices).+ i.e. Subway, Applebee’s, Pizza Hut

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Survey On The Spot:iPhone App that allows consumers to submit feedback to restaurants, retail stores, schools and local businesses. Businesses benefit by learning more about customer service, public opinion, conventions, taste panels and research. Often the businesses offer a reward to consumers for completing the survey.

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+ Subway used social media to promote Jared, the Subway spokesperson, running in the NYC marathon

+ Used Facebook to implement “build your own foot long and share” campaign, encouraging fans to customize a sandwich and share with friends

+ Partnership with MTV “Fresh Buzz” to promote emerging artists, comedians and musicians- a digital marketing program synergistic with the passions of the Subway customer.

+ Ability to mitigate “social media gone wrong”

+ Quiznos initially launched a sandwich competition with Subway, Subway sued for “defamation of sandwich,” the buzz got Subway even more market share when they dropped the lawsuit!

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+ Starbucks uses an integrated marketing plan based on social media implementation with several working parts; keeps customers involved and informed + Blogs: improve the customer in-store experience by launching Mystarbucks-idea.com to learn from customers and employees what they liked and did not like, and what Starbucks could be doing better

+ reached 100,000 ideas+ Twitter: answer questions, share information, listen to consumers+ YouTube: share commercials, and informational videos about volunteer efforts and ingredients,+ Facebook: invite fans to Starbucks events, share comments, post pictures and communicate+ Uses integrated campaigns to increase customer satisfaction and loyalty, prioritize internal stakeholders, and spread commitment to sustainable projects.

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McDonald’s recently tried to “ride the social media wave,” by naming a “social media chief” to manage customer problems, build business and reach “mommy bloggers.” McDonald’s also used Foursquare to measure foot traffic. A campaign called “Foursquare Day” (4/16/2010) was launched to increase customer traffic, which McDonald’s deemed successful. However, instead of measuring the effect of the 100 randomly offered $50 and $100 gift cards from the number of actual customers in the door, the campaign really measured “online check-ins” which people can do from a 5-block radius; therefore, McDonald’s campaign did not have a measurable impact on sales and the number of check-ins was questionable evidence taken as fact. They reported that they spent only $1,000 on the campaign and received a 33% increase in foot traffic as a direct result. McDonald’s received negative press because of this and the Foursquare campaign backfired.

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Learning from mistakes

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2Oprah Winfrey promoted Kentucky Fried Chicken (KFC) on her talk show in May, 2009, by offering a coupon for a free grilled chicken meal. Interest was severely underestimated as millions of Americans downloaded the coupons and the KFC website experienced website traffic to levels never seen before. Due to the fervor, KFC was not able to keep up with demand, and customers experienced long lines and, in some cases, riots at the stores. A total of 10.5 million coupons were downloaded, but only 4 million were redeemed as customers were upset and eventually the offer was canceled. As a result, #KFCFail became a trending topic on Twitter quickly, and Oprah and KFC’s brands were damaged. According to Zeta Interactive, when KFC pulled the promotion without explanation, negative ratings shot up to 33% from 11%.

Learning from mistakes

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When implementing an integrated marketing communication plan remember:

+ Campaign goal(s) must be communicated, and understood throughout the company and across departments in order to be successful+ Actively work to keep communications cohesive and consistent; use technology to keep all employees on the same page and communicate with customers with the correct, clear message+ Consider private branded communities, use new Facebook features “Questions” and “Private Groups” to delve deeper into the minds of the customerBusinesses should consider participating in the integrated

online marketing space. This effectively combines email, search, social, mobile and traditional to deliver a strong message.

Facilitate conversations, commerce and loyalty to get new customers, and to maintain current customer base. Remember to integrate and use these tools in order to reach your customers. The ability to listen, and engage your customers is essential to position your business for success and differentiate the product or service from competitors!

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We work with and build great brands

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Want to learn more? Contact:

Hawley Tremblay,Account Manager

[email protected]

Tinhat Creative, LLC100 North Washington StreetBoston, MA 02114

Phone: 617-259-1609