hello welcome to the last session the sixth
session of the seventh week of our course on marketing management advanced concepts
in this week week seven we have been discussing about the integrated marketing communication
strategy we have looked at different forms of marketing communication ah the p the fourth
p which is short for promotion but under that as integrated marketing communication we have
looked at advertising we have looked at sales promotion we have
looked at direct selling or ah personal selling we have looked at events and various forms
of direct and indirect marketing communication ah personal and as well as ah a product based
marketing communication during that process ah i had talked about ah in few of the sessions
about the different emerging ah channels media for marketing communication particularly using
information and communication technology so ah the over the web over your smartphone the
marketing communication ah evolution and that will be our topic for a little bit more detailed
discussion in this session so digital ah marketing issues in marketing
communication ah to understand we have to look some of the questions that what is digital
marketing or what is the so called web 4.0 what is web 1.0 and what is today web 4.0
and how can e commerce programs and incentives build a stronger marketing communication stronger
customer base and also address customer concerns and ah lastly marketing mobile marketing systems
and that enhance the digital marketing potential and then there are issues like what digital
strategies do marketing professionals employed i mean how our digital marketing strategy
is different with respect to marketing communication we digital marketing by itself is a very interestingly
rapidly expanding subject we are only going to look at digital marketing aspects with
respect to marketing communication but that is a very significant part of possibilities
new possibilities of digital marketing and then advertising we have discussed but web advertising is it different from tv
advertising is it different from print advertising in what way what is the interesting search
engine optimization ah strategy that we briefly discussed in one of the previous sessions
but i want to spend a little bit more time on that question today so a digital marketing
and marketing communication using digital technologies open up various new possibilities
but to understand that i think we should look at this particular ah diagram ah where i have
tried to position it within the overall structure so you see at the base on which the entire
this ah whole integrated marketing communication ah whole the main concepts are based our brand
management buyer behavior and the the integrated marketing communication planning process then
on top of that we have advertising management advertising design and traditional media and
earlier on top of that we would have got database direct response and personal selling sales
promotion and public relation and sponsorships so this is kind of a hierarchy and so the
size means that advertising still occupies a very large attracts a lot resource and that
occupies a very large space in the overall strategy canvas now between this layer and this layer advertising
layer and these sales promotion database public relations we have inserted these three blocks
digital marketing social media and alternative ah marketing ah alternative marketings will
ah are other interesting topics if i find time next week maybe i will talk about it
ah otherwise we are now going to focus on these two blocks digital marketing and social
media in the context of this ah overall different other ah techniques for marketing communication so let me first talk about this web 1.0 to
web 4.0 initially internet was only informational so static content provided by website creators
and it was dominated by institutions and businesses and it was a commercial information technical
information so it was more like a catalogue which instead of being in a physical form
was available is an electronic from on a screen so as i said at that stage web 1.0 was informational
only and it was very static usually then came web
2.0 web 2.0 became transactional from informational so it allowed a content creation by the consumer
ah and therefore things like facebook or twitter these are all examples of web 2.0 so web 2.0
ah blended communication from the organization or from the marketer with communication from
the consumer and in many cases ah it was consumer to consumer communication in the context of
certain marketing ah issues so when customers talked about a particular
hotel and that was viewed by other customers that was the customer to customer communication
in the context of marketing of the hotel service similarly for a camera or a mobile phone or
a laptop or a tablet ah in all these cases in web 2.0 customer to customer communication
blended with business to consumer or business to communication then we had a brief period
of web 3.0 where the contents where content and customer communication were integrated as in web 2.0 but what happened was here based
on online real time metrics and various kinds analytics instant real time communication
took place between the company and between the business and the consumer or from one
business to the other business so web 3.0 vastly improved the response time ah in answering
customer queries and therefore it almost became like a ah virtual ah shopping assistant or
or the floor managers in traditional ah supermarkets or stores and then of course we are today
in web at in the area realm of web 4.0 where customers are engaged in a far more intensely so customer query ah answer to customer queries
almost builds stage by stage a particular sales episode so all those ah stages that
we discussed about awareness and interest and desire and finally the purchase action
they are now almost becoming a flow rather than discreet stages and they can all happen
almost in real time just as it used to happen in ah across the counter sales situtaion or
a supermarket sale situation or a fashion store sale situation so all the conversation
all the knowledge transfer all the ah questions and answer all those now can happen ah in
in real time and using cloud based systems you you can
actually start a conversation ah on your computer you can carry the conversation ah on your
smartphone and then you reach your office and continue to have the conversation and
multiple persons can participate ah in that conversation so even group decision making
for purchases ah all that are now feasible quite easily so the customer engagement ah
can become far more intense so it is not like we to them type of thing b2c it is now be
to ctoc they can all get quite well blended so participation is the key web is the key
in web 4.0 and todays ah marketing communication so marketing
communication ah earlier we i think i discussed it yesterday that if in that ai da or other
that hierarchy of effect model if we could bring the customer to the store or if we couldd
actually take the customer through the a i.d stage that means they a generator desire then
earlier marketing communication was not so much responsible for the final purchase action
that we left to the point of ah sale activities or communication the other part of marketing
communication which was at the point of sale which ah relied upon salesmanship which relied
upon person to person selling today a because of this ah web 4.0 the marketing communication
has become ah almost seamless with the final purchase action so it is a flow now interesting
statistics will be ah pertinent here that though we are talking about ah this emerging
online situation ah but that this research from 2013 you will see that the impact of
social media on retail sales is still at the level of about two percent major ah chunks
ah the marketing communication marketing activity final purchase is related to almost seventeen
percent of that is happening through email marketing the organic search that means the customer
generated search is about twenty six percent and paid search which means you know the where
one marketer is paying to another marketer to create ah interest to create questions
kind of think that you will have when you know people are see looking for the latest
cricket score at the same time there will be certain such queues or links that will
be provided so those are different examples of paid search and the retailers site website
where people will go and such for something ah and use some of their application hosted
application so that is another twenty five percent so
between organic search means where people are searching by themselves for certain information
and the ah activities they perform at the retailer site and using their application
that is almost accounts for ah fifty more than fifty percent but even though today the
social media where the customer to customer consumer to consumer communication plays a
major role or the it is expected that this will ah fast ah very rapidly expanded in ah
successful e-commerce you know the brand becomes a much more ah alive the brand is not directly so directly felt ah the customer and the customer
is influenced by the brand that but the entire brand imaging image building brand salience
building exercise ah fundamentally ah operates at the background where the customer goes
the preference or choice making is influenced by the brand salience in his or her mind at
the back but in case of e-commerce ah the brand is a much more alive and frontline topic
because ah this personalization customization ah offline online blending ah other customers
reviews and feedback so the brand is kind palpable evolving changing ah you may have a very high option of a brand
then you go to a website looking for your booking in a hotel ah whose brand is high
in your mind but then you see different kinds of reviews by other consumers so your evaluation
of the brand can change quite rapidly because of the almost real time influence of todays
technology also i will ah touch upon this mobile marketing mostly using smartphone so
today smartphones has become kind of a social device people are glued to the screen in most
countries today and today even india if you are traveling
in the metro or in a bus daily travel commuting you will that most of the people are glued
to their screen the smartphone screen ah communicating with their friends over facebook / over email
/ over chat over whatsapp and they use ah this also to seek immediate information for
products of course there is lot of push that happens in the smartphone where interests
are generated and people look for the immediate information on a new phone launch and they
look at the phone features over their smartphone or a new camera or a new computer or a new
entertainment occasion or a new movie so all those things happen ah more and more
on the smartphone and the smart phone and your computer screen they get connected quite
easily now using cloud technology so web point 4 therefore makes all these screens almost
seamless and you can travel from one to the other you can create a shopping cart on your
smartphone and you can complete the transaction on your computer quite easily so in mobile
phone what happens is that therefore display at such ads and video advertising all these
earlier where more happened on the computer but they are now quite regularly happening
on the smartphone and of course text messaging these are traditional strength area of the
phone the ah new things that are coming at this qr codes digital watermarks so where
you can use the phone to scan a barcode and you can easily immediately go to the website
of that particular product and get all the information or even the bar code itself will
give you a whole lot of product details and so you can use your smartphone as a kind
of so encoded information on the product can be expand on the ah phone screen and and that
can actually provide lot of communication from the manufacturer to the consumer ah and
influence the process of ah purchase and this geo targeting this is actually local facilities
so the phone is sensed by the mobile service network and knowing the customer they will
beam ah the ads or information on various ah restaurants or movies or other entertainment
opportunities and shopping opportunities on the phone so you know that nearby these are the restaurants
ah these are the stores where ah some big sale is going on or these are the entertainment
opportunities ah near where you are so these are new possibilities on the phone so if we
put together some of these discussions that we have just had we understand that the digital
marketing strategy fundamentally is far more interactive this is the keyword that earlier
there was a communication it ad on the tv and that you ah saw you listen to it you formed
your own impression there was the there were some callback options in tvs ah through some
shows but today a message is sent to you over your
smartphone you ah expand that message on your phone screen or you may go to your computer
your desktop or your tablet and see more details and then ah that is like your content ah the
communication package ah which is the content that you want to ah transfer to the customer
for the customers awareness as well as knowledge for can now happen almost immediately so it
is not happening stage by stage it is no longer a discrete event that means seeing the tv
ad and then searching for information where two separate events but now it flows from
the through this interactivity and content marketing and these ah location based advertising behavioral
targeting this is also very ah easily possible in case of ah digital marketing because you
are spending pattern ah through your credit card or your spending pattern ah using ah
on various occasions can be very easily combined in a database and by analyzing we exactly
can know that who are the customers who are likely to buy holiday packages ah during winter
or during summer who are the people who are ah likely to buy a bombay delhi flight ticket so if there is a period where the flight are
running lean and you want to promote more occupancy then you can immediately tap into
the your analytic system and know that who are the people you can possibly ah appeal
to for ah with some attractive offer for buying more tickets and blogs newsletters email marketing
we will discuss these a little bit more interactive marketing i was mentioning that digital marketing
the most important point is this interactive marketing so interactive marketing means two
way communication and involvement ah between the business and the consumer and often actually
it also involves ah consumer to consumer communication as i was mentioning about the ah hotel sales
where there is between the hotel and the consumer and the consumer always reads all the reviews
by other consumers for for making their final decision for a hotel booking so internet is
a very good ah medium for this two way communication ah it can actually also now very easily host
multilateral communication for group decisions on ah a family holiday trip or a holiday trip
of friends can be planned together using these todays interactive marketing and personalization
of the message so ah it is quite easy today to almost using
the machine the machine will automatically edit the message and match it with your so
if you are trying to promote bangalore to kolkata flights for people in bangalore that
same message can be ah edited by the machine without much of human intervention for promoting
a delhi to bombay ah flight or for ah you can use similar sort of structure only change
the pictures and only change the text and for promoting a holiday in goa or holiday
in mauritius or holiday and maldives can this personalization can be done by the machines
themselves so the machine and the network so this ah
machine to ah consumer communication almost autonomously almost autonomously ah with some
structure created by businesses ah we will see more and more of that so you walk into
a store and the system reads your retina and they know that you are mr.chatterjee and it
can then the message will come on your phone or it can even speak to you that we have a
big sale going on in our shoes departments knowing that this person is likely to buy
shoes because ah he occasionally buy shoes and last time he bought three months back
and is today every quarter he buys a pair of shoes and kind of a person or a the person
is very fond of ethnic say shirts or the the lady is interested in new design
costume jewelry these personal messages can be sensed by the system itself and they will
beam that message to the person and so read the retina or read the ah mobile phone presence
and will immediately and the system will start telling the target customer about the different
attractive propositions that are available in the store so this targeting the individual
and engaging the consumer in an conversation which is most likely to attract them because
it is very pertinent for their search or usual buying pattern this is the big thing that
is now coming up that the marketing communication today is playing a far more powerful role
in using digital technologies in making purchases happen it is stimulating ah new purchases as ah stimulating
the frequency of purchases so people are of course ah often criticizing that this kind
of ah stimulated consumption often actually will detrimental to the final interest of
the consumer and of the business ah and so this is like when somebody already has 20
lipsticks to persuade the person to buy five more shades whether that is ethical or that
is desirable these sorts of questions can be raised ah because interactive marketing
is ah can play a far more persuasive role and this persuasive power of the new technology
of the new ah media should be carefully exercised and therefore this whole area needs more discussion and today if we look at the ah statistics
then we can see that the percent of total business ah the banner ads or at websites
still play a major role email marketing email newsletter online promotion these play major
roles ah the social networks the podcasts or what we call webinars web based seminars
or presentations on the and two people who login for that event ah influence of those
are still not that big but ah i can say easily that importance of the channels ah on this
right hand side will rapidly expand as with respect to these things the traditional ah banner ads or email marketing
so these are electronic ah version of the traditional marketing communication they are
not really that much utilizing the power of interactivity power of persuasion automated
messaging ah analytics based customized targeted messaging are not happening so much here but
those things will happen more and more on the search engine based social network based
ah campaigning ah and and and therefore we will see these percentages shifting more towards
this side over time location based advertising i just now discussed about it and this these are some percentages coming
from very ah new research that to what extent location based advertising ah influence what
sort of business behavioral targeting i have discussed ah and and i was talking about your
credit card spending pattern ah but also ah the history of your browsing pages visited
on the internet what keywords you have search that is why search engine based ah marketing
marketing communication has become ah so important and there are many visits ah sites today the
moment you log on again they will say welcome mr.chatterjee welcome dr.chatterjee and ah
and they will actually immediately present to you some products that you had seen last
time so you do not even have to wait to such for
the ah few cameras you had shortlisted last time for further study so they will immediately
bring to you that comparative chart and you can start your deliberations from that point
you can have certain items short listed ah as your wish list and you can actually as
the system will easily allow you ah to share that with your family members or with friends
for their opinion and so on so i will conclude ah to see to show that where the interactivity
of digital marketing ah is making impact and how so you see this is a interesting study
of 2013 ah online ads versus television ads so this is a this is a good comparison that
this new format marketing communication using digital technology to what extent it is going
to replace traditional marketing communication techniques so you see ah the the blue one
is about tv ads and the digital ads are in orange so message recall the digital ads ah
play a much more stronger role a message recall because remember i was discussing that because
of interactive the digital message the digital as can be personalized can be targeted can
have your name in it and it can talk about a particular camera ah and saying dr.chatterjee
this camera has these these features and they may be useful for you in these these situation so suppose i am very interested in nature
photography and therefore i need often macro views so so this camera will this message
the digital ad will bring to me those features which are pertinent for my interest my behavioral
profile or my buying profile which is difficult to do in a tv obviously because tv ad is spray
and pray so it is a broadcast it is a telecast but brand recall therefore ah again digital
ads can play a far more powerful role as opposed tv ads even this is happening due to personalize
targeted interactive messaging then general recall again ah the online ads play far more
stronger role the likability you know the tv ad can be quite likeable so that they are also the these digital ads
win but the gap is not that much but fundamentally therefore you know ultimately ah that that
path through which we want marketing communication ah one once the customer to travel that attention
to interest to desire to purchase action there the recall brand recall message recall ah
play a very significant ah role and there as we see ah the digital ads digital communication
online ads due to interactivity personalization targeted ah messaging are becoming stronger
and stronger and therefore ah digital marketing digital
marketing communication ah will play far bigger ah roles in the overall marketing strategy
formulation and deployment over the next years and perhaps ah you know paper ads print ads
hoardings ah ads on your ah marketing communication your smartphone or on your tablet we will
see they will blend more and more so ah i have already seen in science fiction movies
that the the ad ah display that is appearing in the store is changing with respect to people
who are walking in so ah they are rapidly sensing the computer system in the store rapidly
sensing this is today friction but it will become
fact that ah online advertising digital marketing communication will ah make the physical and
the virtual world almost seamlessly connected already today the cloud makes it possible
that all your screens are connected all your devices are connected whatever ah work that
you were doing on your home computer without and effort ah you do not have to unload put
it in a pendrive and carry it to your office or ah earlier we used to put it on a floppy and take it
to the office no it will seamlessly carry on to your phone so you can keep on working
out on your tablet or your smartphone when you are travelling you reach the office you
start editing the spreadsheet from the point where you left it when you are travelling
so ah this is already possible this is already happening this is everyday reality but we
will see ah the ads today therefore ah if there is a particular tv ad in all on all
tvs whoever is connect ah looking at that channel that same ad will be playing but i do not ah i foresee and i think it is
quite possible that in in a very short time because the set top box is becoming more and
more intelligent and the set top box knows ah my viewing pattern and the set top box
in communication with my home computer will soon know my ah buying interests so i foresee
that ah when i switch on the tv channel ah in between the shows i will seen those ads
which are of my interest ah which are ah possibly related to my potential immediate buying ah
and therefore ah the ads beamed will be customized today on satellite tv when you have the ah
ad gaps ah during a serial being telecast the ads that are shown in india are different
from the ads that will be shown in thailand or ads that will be shown in hong kong ah
even when there are simultaneous telecast these ads will be different because the system
the satellite system beams different ads to different locations but that i see coming
to your home and that is being possible because this increasing interactivity targeted personalization
utilizing the power of digital communication so marketing communication is changing and
it will change far more rapidly and within the next few years we will see a lot of innovations
in this field thank you that concludes our discussion on marketing communication and
next week ah in the concluding week of our discourse marketing management too ah we will
discuss some other specific instances of marketing like services marketing thank you