5. Align Marketing andAlign Marketing and
Business StrategiesBusiness Strategies
for Success.for Success.
6. • Effective marketing is aligned with the
organization’s overall business strategy
• A firm’s strategic focus (business strategy)
guides the marketing strategy.
• Marketing strategy needs to be aligned with
business strategy on FOUR dimensions:
– Goal Alignment
– Resource Alignment
– Activity Alignment
– Implementation Alignment
Aligning StrategiesAligning Strategies
7.
8. • Are the firm’s strategic (and financial) goals
consistent with the Marketing goals?
• Goals can easily become misaligned due to:
– Rapidly changing business goals (marketplace
circumstances.)
– Poor communication between Departments.
– Lack of checkpoints to ensure both sets of goals are
in sync.
Goal AlignmentGoal Alignment
9. Aligning Goals…an ExampleAligning Goals…an Example
Business GoalBusiness Goal Marketing GoalMarketing Goal
Increase market share 15% Increase sales to existing
clients 20%
Acquire 400 new clients
Acquire 1-2 competitors
with 5-10% combined
market share
10. • Are the resources in the business unit and
allocation of marketing resources consistent?
• Business allocates resources throughout the
organization annually with $ for marketing
arbitrarily set as a % of annual sales (typically
1-2%.)
• Marketing spreads the money around as it sees
fit, to help achieve the business goals.
Resource AlignmentResource Alignment
11. • Do business activities such as HR, Finance, and
Operations support marketing efforts?
– Does the Marketing Department have the right staff?
– Does the firm have a robust CRM system (ex.
Salesforce.com)?
– Does the company send Sales and other staff to key
industry events?
• Does the organization’s customer service, order
fulfillment, communications, pricing, product
R&D all work WITH or AGAINST the Marketing
team’s various activities/functions.
– Ex. TWCBC marketing needs versus preferential
treatment of consumer efforts.
Activity AlignmentActivity Alignment
12. • You CAN have goals, activities, and resources
of business and marketing dept. aligned butbut
the efforts aren’t executed wellthe efforts aren’t executed well.
• Poor implementation might be caused by:
– Bad timing
– Poor goal-setting and/or decision-making
– Weak management
– Bad employee execution
• Firm must always be assessing how well
aligned the business and marketing efforts are
and consistency between both.
Implementation AlignmentImplementation Alignment
14. • Traditional BAMs (brick and mortar) marketing
consists of:
– Segmentation: CRITICAL online due to rapidly
changing composition of 80 million US internet users
esp. seniors and pre-teens
– Targeting
– Positioning
– Supported by the marketing program comprised of
the marketing 5P & 2I mix:
• Product/Packaging, Price, Place, Promotion, People
• Interactivity & Individualization
Key ConceptsKey Concepts
15. • Pure play (Internet-only business aka Amazon)
Versus BAMs -> See Exhibit p.106See Exhibit p.106
• The Internet affects marketing strategy for new
economy firms in the following 4 ways:
– Finer gradations of market segmentation.
– Faster cycle time for marketing strategy
development.
– Increased accountability for marketing.
– Increased integration between marketing and
business strategies.
• With Pure Play businesses you still utilize online
AND offline traditional marketing activities.
Different Approaches
16. • STEP 1STEP 1: define the scope of the business unit.
• Define the scope of the business unit strategy
(its mission, goals, competitive advantage, and
the revenue model.)
• Create an integrated marketing strategy with
activities for offline AND online business.
BAMBAM Marketing
17. • For traditional firms looking to move their
marketing efforts online, segmentation can lead
them to 4 scenarios:
– No changeNo change: moving online does NOT provide access
to new segments. Reflect the BAM’s offline
segments. There are new ways to target customers,
such as IP address, up/downstream bandwidth,
online user forum registrations. No real opportunity
to increase market share.
– Market reclassificationMarket reclassification: customer segments are
different online. When Internet expands a company’s
offering (ex. Through increased customer service or
customizability.)
BAMBAM Marketing
18. – Market expansionMarket expansion: same market segment but the
size of the segment changes online. Ex. People
buying the company’s products that live too far away
to come to their store.
– Reclassified expansionReclassified expansion: Customer segments can
change in size and characteristics.
BAMBAM Marketing
19. • Blanket targetingBlanket targeting: occurs when the firm’s
online offering blankets the entire segment in
the same way it does in the offline segment.
• Beachhead targetingBeachhead targeting: The online segment is
smaller than the offline. You establish a
beachhead, so it can attack (target) its larger
segment later when its other customers move
online.
• Bleed-over targetingBleed-over targeting: The online target
includes part of your offline target customer
base, and also targets a new customer
segment.
Types of TargetingTypes of Targeting
20. • New opportunity targetingNew opportunity targeting: the firm targets
an entirely new segment online. Online targets
have different needs and preferences from the
firms’ offline segment(s). Typically it involves a
new brand name and position.
• Companies that changed their marketing
strategy when they went online:
– Hush Puppies
– Ethan Allen
– Midas
– Avon
Types of TargetingTypes of Targeting
29. From entering your website, to navigating
through while you obtain information, to
selecting products in your shopping cart,
to proceeding to check out, and
successfully ordering products then
having them ship and conducting a post-
sale survey on your level of satisfaction to
going back to the website again and
having them recognize you, what you
want, what you purchased and what
interests/fascinates/inspires you.
Customer Experience
32. – Basic level of functionality is required for a website
to be determined “working.”
– Problems include lack of product information,
organization background, poor navigation, horrible
check out, no contact details, hard to read text, poor
quality graphics, outdated information, etc.
– Objective because almost anyone would agree the
site does not function up to minimal standards.
–What websites do you find
LACKING?
Objective Element
33. – Each individual visitor’s perceptions based on
their personal experience with the
organization’s website.
– Every customer experience needs to be
understood based on their expectations when
they went to the site and what their reactions
were based on those experiences.
– The same person can go to the same website
and experience the site DIFFERENTLY, based
SOLELY on what they were looking for when
they visited the website.
Perception Element
34.
35. When the visitor comes to the website to
make a purchase, you have to take into
account every aspect of their encounter.
Sometimes, they may just be coming to
your website to get information on
specific products. Other times it’s to see if
there are any special discounts or
seasonal based information, other times it
with the specific intent to make
purchases.
Encounter Element
36. – Customer response to music, imagery, in-store
promotions, banner ads, videos, special
offers/signage, Flash, etc.
– Encompasses branding, chat, online forums.
Reactions to Stimuli Element
37. – Include video, audio, direct engagement with
customer service to discuss website information,
navigation, special discounts, products and services,
limited time offers, on-hand inventory, etc.
Sensory Element
38. – Customer reactions can be cognitive (I think the site
is easy to navigate because…) and emotional (I just
hate their website and never use it!)
– Cognitive reactions are more thoughtful, while
emotional reactions are based on feelings, attitudes
and moods of the visitors to a website.
Cognitive/Emotional Element
39. – Nearly everyone has experiences navigating other
websites and even making purchases online.
– Their expectations, feelings and impressions of your
website is based upon those prior experiences they
have had on other websites.
– All website experiences are compared to other
experiences that people have had online.
Relative Element
43. – Create a very detailed description of the target
customer.
– Develop use-case scenarios for each target segment
you are going to reach out to.
– Effectively integrate the offline and online.
– Articulate the stages of desired experience
– Assess levels of hierarchy
– Use your “Best Customers” with testimonials, Likes,
reviews, endorsements, and recommendations.
– Constantly monitor and adjust your site’s content,
navigation, and other elements to always add value
to your customers.
Desirable Visitor Experience
45. – Customer experience evolves over timeCustomer experience evolves over time, from
the first visit to the site and very first click all the
way through converting the visitor to an evangelist /
raving fan.
– Start by delivering on the basics. Namely, the site
should function well.
– Make it easy to navigate.
– Maintain standards of reliability (“up time.”)
– Maintain website security.
– Make it easy for media sites to download/access your
content through RSS feeds.
– Customization means changing your content based
on each visitor.
Experience Hierarchy
46. – Communication: Tells how the site communicates
with visitors.
– Consistency: every time the visitor comes to your
site, are they impressed.
– Trustworthiness: can the visitor trust your
website.
– Value: do you deliver new content, add value, help
them solve a problem or learn something they can
apply in their day to day life.
– Achieves active community engagement.
– Care about visitor opinions, feedback, engagement.
– Continuously monitor and adjust.
Experience Hierarchy
60. TWCBC NY 2007/2008 Online ad program
• Timeframe: July–August two month test campaign as
follows:
Ad Source Flight Creative Total Impressions Cost
Forbes 2 months Large rectangle
ad
140k $4,900
($2,450/mo.)
Hispanic Business 2 months Leader board 300k $7,500
Crains NY 1 month Square banner ad 150k $7,500
NY Times 2 months Leader board ad,
ROS by Zip
416k $10,000
Totals: 1,006,000 $29,900
61. TWCBC NY 2007/2008 Online ad program
Key Points:
• Time Warner Cable
• High Speed Internet w/Blink.tv
• Free trial sign up.
• Offer:
• High-Speed Internet Service with BusinessLink.tv
• Free 30-Day Trial
62. TWCBC NY 2007/2008 Online Ad Program Details
• Creative:
Campaign utilizes a blend of skyscraper, leaderboard,
and rectangular/square display ads;
Mock-up’s beginning next slide…
Rectangular ad
High-Speed
Data and
Real-
time TV On
Your PC
Leaderboard ad
High-Speed Data and Real-
time TV On Your PC
Skyscraper ad
High-Speed
Data and
Real-time TV
On Your PC.
63. Creative: Voice (BLTV) focused messaging: FORBES
Real-time TV
On Your PC…
Leaderboard ad
(728x90)
BusinessLink.tv
From Time Warner Cable
Free 30-Day Trial
Sign Up Now!
Large rectangle ad
(336x280)
Max file size: 25k
Real-time
TV
On Your
PC
Time Warner Cable
High Speed Internet
& BusinessLink.tv
Live Cable TV.
Free 30-Day Trial
Sign Up.
Free Trial.
Sign Up. Free Trial. Sign Up.
Embed tagging in all ads so we can follow the people that click on the Free Trial
Sign Up and go to http://www.twciptv-
nyc.com/twc/iptv/model/products/iptv_home.jsp.
64. Skyscraper ad
(120x600)
Creative: Voice (BLTV) focused messaging: FORBES
Real-
time TV
On
Your
PC.
Business
Link.tv
From
Time
Warner
Cable.
Free
30-Day
Trial.
Sign
Up
Now!
Embed tagging in all ads so we can follow the people that click on
the Free Trial Sign Up and go to http://www.twciptv-
nyc.com/twc/iptv/model/products/iptv_home.jsp.
65. Creative: Voice (BLTV) focused messaging: Hispanic Business
Real-Time TV
On Your PC…
Leaderboard ad
(728x90)
High Speed Internet &
BusinessLink.tv
Live Cable TV. Free 30-Day Trial.
Sign Up Now!
Rectangle ad
(336x280)
Free 30-Day Trial
Sign Up Now!
Get Real-
time TV
On Your
PC
BusinessLink.tv
From Time Warner
Cable…
Embed tagging in all ads so we can follow the people that click on
the Free Trial Sign Up and go tohttp://www.twciptv-
nyc.com/twc/iptv/model/products/iptv_home.jsp.
Free Trial.
Sign Up.
Free Trial.
Sign Up.
Free Trial.
Sign Up.
Free Trial.
Sign Up.
66. Skyscraper ad
(120x600)
Creative: Voice (BLTV) focused messaging: Hispanic Business
Get
Real-
time TV
On
Your
PC.
Business
Link.tv
From
Time
Warner
Cable.
Free
30-Day
Trial.
Sign
Up
Now!
Embed tagging in all ads so we can follow the people that click on
the Free Trial Sign Up and go to http://www.twciptv-
nyc.com/twc/iptv/model/products/iptv_home.jsp.
67. Creative: Voice (BLTV) focused messaging: Crain’s New York
Real-Time TV
On Your PC
Leaderboard ad
(728x90)
BusinessLink.tv
From Time Warner Cable
Free 30-Day Trial
Sign Up Now!
Square ad
(300x250)
Live Cable TV.
Free 30-Day Trial
Sign Up.
Maximum file size 20k gif, jpeg or animated gif.
Embed tagging in ads to follow clicks on Free Trial Sign Up that go to
http://www.twciptv-nyc.com/twc/iptv/model/products/iptv_home.jsp.
Real-Time TV
On Your PC
Free Trial.
Sign Up. Free Trial.
Sign Up.
Time Warner Cable High
Speed Internet
& BusinessLink.tv
68. Skyscraper ad
(160x600)
Creative: Voice (BLTV) focused messaging: Crain’s New York
Real-
time TV
On
Your
PC.
Business
Link.tv
From
Time
Warner
Cable.
Free
30-Day
Trial.
Sign
Up
Now!
Maximum file size: 30k flash, 20k gif, jpeg or animated gif.
69. Creative: Voice (BLTV) focused messaging: New York Times
Real-Time TV
On Your PC
Leaderboard ad
(728x90)
High Speed Internet With
BusinessLink.tv
Live Cable TV. Free 30-Day Trial
Sign Up Now!
Big ad
(336x280)
Free 30-Day Trial
Sign Up Now!
BusinessLink.tv
From Time Warner
Cable
Get Real-
time TV
On Your PC
Embed tagging in all ads so we can follow the people that click on
the Free Trial Sign Up and go tohttp://www.twciptv-
nyc.com/twc/iptv/model/products/iptv_home.jsp.
Free Trial.
Sign Up.
Free Trial.
Sign Up.
73. Search Engine Rankings
Search Terms MSN Yahoo Google Business.com AOL Search
business telephone service no no no no
business phone services no no no
business data service no no no no
business internet service no no 10 no
business class phone 1, 2 & 10 1, 2 no 1, 2
business phone system no no no no
cable service provider no no 3, 13 no
ethernet private line service no no 8 4
metro ethernet service no no no no
cable telephone service no 6 8 6, 10
high speed data provider no no no 3 no
high speed data service no no no no
broadband high speed data 1, 2 5 3 5
fiber based solution no no no no
74. – Information about information.
– Pertains to the descriptions you use for the pages of
your website, so you can increase your website’s
results when being listed on search engines based on
what terms people are searching for.
• Google
• Yahoo
• Bing
• AOL
• MSN
• Business.com
META Data