Vitamin IMC: The Essential Nutrient for Healthy Marketers

Fashion marketing's new line: Customer engagement

noreply@blogger.com (Vitamin IMC) — Fri, 05 Mar 2010 14:58:00 +0000

By Megan O'Malley

The front row seats at New York Fashion Week this year weren’t filled with the usual suspects. A new generation of style bloggers and influential social media gurus are gaining access to the coveted front row as the world of fashion marketing is going digital.

Just ask Andrei Najjar, a Medill IMC graduate and founder of Atelier Collective, who spoke at Medill about how new media is transforming the fashion and luxury goods scene. According to Najjar, “fashion marketing is moving into new media marketing more aggressively than ever. Designers are realizing that tools like Facebook, Twitter, mobile apps and YouTube are increasing ways to dimensionalize their brands, dramatically increase their audiences, and communicate more directly with their fans.”

Fashion houses, retailers and designers are joining the social media phenomenon, which is reshaping consumer dialog and how apparel, accessories and beauty products are marketed and sold. The Internet provides a platform for a new generation of style arbiters to blog or tweet about new trends from their living rooms, and designers are joining the conversation.

Even the most elite designers are starting to model an approach all marketers should mimic—direct engagement with their customers. From Diane Von Furstenberg to Gucci, brands are using Twitter to directly converse with customers. Other labels such as Burberry are streaming their shows in live 3-D, bringing the runway straight to potential buyers.

With instant media tools consumers don’t have to wait for next month’s Vogue to know what’s hot. The fashion industry is learning how to engage with consumers on real-time global platforms, integrating their communications strategy in a way that will never go out of style.

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Megan O'Malley is a blogger at Vitamin IMC and a graduate student in the Masters in Integrated Marketing Communications program at Northwestern University's Medill School. She thinks online shopping is more dangerous than living close to Michigan Avenue. She can be reached at meganomalley2010@u.northwestern.edu

Game-savvy consumers bring new challenges for marketers

noreply@blogger.com (Vitamin IMC) — Wed, 03 Mar 2010 16:51:00 +0000

By Susan Monahan

Whether they’re Farmville addicts or Guitar Heroes, marketers of all kinds can reach game lovers with the right interactive element. Within a hit-based industry that continues to consolidate, what opportunities lie ahead for marketers to work with games?

As part of Medill IMC’s Professional Speaker Series, President and CEO of Midway Games Matt Booty presented a look at the $50 billion worldwide gaming industry through an IMC lens.

Last summer Warner Bros. Interactive Entertainment acquired Midway Games’ assets, including the popular Mortal Kombat series. It’s another move in game manufacturing’s rapid consolidation. Booty described just how hit-driven his business is: “Last Christmas, about 90% of console game sales came from the top 10 games.” Similar to films, these blockbuster games infiltrate our culture and build distinct fan-communities.

Who is this consumer? The average U.S. game buyer is 38 years old. There’s increasing demand for Teen- and Mature-rated content. Other media companies hoping to increase sales have allied with game manufacturers; most recently, publisher Random House created a division to write story content for games. This partnership is intended to enhance the game product while providing a direct link to a complementary book series.

Outside the console game market, “casual gamers” include those who play on social media sites like Facebook. They represent a market segment that likes competition with friends, as opposed to MMO players (massively multiplayer online games), who go online to combat strangers in group play like World of Warcraft. Facebook’s Farmville has 60 million active users, and includes a pay-to-advance model. The game’s parent company, Zynga, undoubtedly found its own monetization of the social medium. In the future, strategic sponsorships may form with social media games and consumer products.

The lesson here hearkens back to Michael J. Wolf’s Entertainment Economy. As marketers turn to entertainment content for a competitive edge, learning the codes that appeal to game-savvy consumers could advance them to the next level.

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Susan Monahan is a graduate student in Integrated Marketing Communications at Northwestern. She serves as Vitamin IMC’s liaison to the Medill IMC Professional Speaker Series. Please email her if you have a suggestion for a speaker, or would like to speak at an upcoming event at susanmonahan2010@u.northwestern.edu.

Foursquare: Location-based consumer insights?

noreply@blogger.com (Vitamin IMC) — Tue, 02 Mar 2010 14:56:00 +0000

By Johnny Schroepfer

Foursquare is one of the best iPhone applications to date. The idea is simple: check-in on your mobile device at various restaurants, clubs or stores to receive points, unlock badges and even become “mayor” of the venue.

Foursquare also encourages competition amongst your friends to see who can rack up the most points in the same city. This “location-based” social networking app has great potential for brands in terms of understanding and rewarding their customers.

While some major brands like Pepsi have taken advantage of sponsoring leader board pages, local businesses are using the app by offering specials for the“mayor” of their venue. For example, I’ve checked-in to bars and received messages similar to “The mayor of Bar X drinks for free from 8pm-10pm” or “The mayor of Restaurant X receives a free appetizer with purchase of $9.99 or more.”

These location-based promotions are a great way to interact with and reward your customers. The application not only tracks where users are checking-in (and how often) but also allows users to write tips and to-dos for each venue.

Local businesses have the opportunity to understand how often users are visiting their store or restaurant, what they’re saying about the service and what they’re suggesting to other users.

Location-based services like Foursquare will help the mobile industry grow in the United States by increasing engagement and providing value to its users.

Would an app like Foursquare make you more engaged with a local business or major brand?

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Johnny Schroepfer is the strategy & content director at Vitamin IMC and a student in the Masters in Integrated Marketing Communications program at Northwestern University's Medill School. He can be reached at johnnyschroepfer@u.northwestern.edu.

American Apparel: Building brand identity through controversy

noreply@blogger.com (Vitamin IMC) — Mon, 01 Mar 2010 14:13:00 +0000

By Mike Witham

American Apparel is no stranger to leveraging sex in advertising. Their latest contest titled “Best bottom in the World” gave another example of how the brand is managing to build its identity by pushing the envelope.

In the contest, American Apparel invited women and men to submit photos of their butts, which were rated by viewers on a five-point scale. Two winners will be flown out to LA to participate in an American Apparel photo shoot.

The contest stirred up controversy with women’s activist groups who called it demeaning to women. However, this is not the first time American Apparel has created controversy over its advertising tactics. In 2007, billboards in Manhattan were taken down because of the overt sexual imagery.

American Apparel is not the first company to use highly sexual photos to sell their product. Abercrombie & Fitch was strongly criticized for its catalogs that featured semi-nude models. A&F tried to downplay the scandalous content with black and white artsy photography and only allowed individuals 18 and older to purchase the catalogs.

In contrast to A&F, there’s something refreshing about how unconcealed American Apparel is about their brand identity. American Apparel makes no attempt to run from their sexually explicit reputation that has helped the company thrive as a global brand. This speaks to CEO Dov Charney’s dedication to authenticity—even if the messaging is offensive to some. From a marketing standpoint, the contest is right on strategy for American Apparel—whether we like it or not.

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Mike Witham is a blogger at Vitamin IMC and a student in the Masters in Integrated Marketing Communications program at Northwestern University's Medill School. She can be reached at michaelwitham2010@u.northwestern.edu.

Augmented Reality: Rise of the mobile or hype?

noreply@blogger.com (Vitamin IMC) — Fri, 26 Feb 2010 18:13:00 +0000

By Johnny Schroepfer

Last summer I came across an iPhone 3GS application called Layar, the first mobile augmented reality application. While the actual development of the app was still in beta testing, the concept was impressive and the potential possibilities it offered brands was interesting.

Augmented reality (AR) uses a mobile phone’s camera feed to merge your physical real-world environment with virtual computer generated imagery.

With emerging technology like AR, brands have a whole new area of customer contact points to take advantage of. Imagine walking down the street and launching Layar on your Smartphone to locate the nearest Target, Starbucks or even a historical landmark.

With the use of technology like AR, consumers have the ability to easily seek-out physical locations from their mobile device while brands have the opportunity to deliver location-based messages and incentives.

This year we will begin to see a significant increase in app funding and development within the mobile industry. Augmented reality will play a major part in the rise of mobile technology. But, will these technologies be embraced, or rejected, by major brands and consumers?

So, is this the true year of the mobile?

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Johnny Schroepfer is the strategy & content director at Vitamin IMC and a student in the Masters in Integrated Marketing Communications program at Northwestern University's Medill School. He is a Chicago Bulls fanatic and is looking forward to another exciting Bulls playoff run. He can be reached at johnnyschroepfer@u.northwestern.edu

Ketchup in their veins

noreply@blogger.com (Vitamin IMC) — Mon, 22 Feb 2010 14:57:00 +0000

By Pooja Ranganathan

IMC ’01 alum Becca Martin was on campus at Medill last week to give a presentation about the marketing communications functions at McDonald’s. As the senior communications manager, Becca handles projects with McDonald’s’ internal communications initiative. This is a massive enterprise as the company has nearly 1.3 million employees worldwide.

McDonald’s work culture is built on the credos of being relationship-focused, entrepreneurial, and having an attitude they call “ketchup in our veins.” This phrase connotes the high level of employee involvement with the McDonald’s brand – they “eat, sleep, and breathe McDonald’s.”

The most significant approach to achieve this company culture is through open channels of communication – McDonald’s “Plan to Win” global strategy is shared with all of its employees so they are aligned on the company’s strategic direction. Other initiatives include the Access MCD website, an online resource for employees that addresses business-related topics in a conversational way. It features a “Have you ever been asked?” section that gives employees tips on how to field frequently asked questions about McDonald’s, like “Are Chicken McNuggets made with real meat?”

McDonald’s closes its feedback loop with surveys administered after running major communication initiatives. With this, they measure the efficacy of the program with respect to achievement of intended effects.

At IMC, we are all about measurement. Eric Ries’ post on “vanity metrics” recommends that all metrics be actionable, accessible, and auditable. In IMC we try to tie our metrics back to sales and profits. McDonald’s uses surveys to measure awareness, attitude, and other similar parameters within their communications functions. How actionable are these?

Taking things a step further – if these are the metrics for internal communication, how does McDonald’s measure the effect of communication targeted at the consumer? As a player in the retail segment, there cannot be a shortage of data available to the company. There is fascinating potential for McDonald’s to analyze customer behavior and use insights derived in communication strategies.

Does McDonald's communication demonstrate a deep understanding of their customers? How could they do better?

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Pooja Ranganathan is a blogger at Vitamin IMC and a student in the Masters in Integrated Marketing Communications program at Northwestern University's Medill School. She is now wondering what information McDonald's will get about her if she uses the promotional gift card she was given at this talk. She can be reached at PoojaRanganathan2010@u.northwestern.edu.

The science of marketing: What makes IMC different

noreply@blogger.com (Vitamin IMC) — Fri, 19 Feb 2010 14:17:00 +0000

By Daniel Hindin

What is IMC and how is it different than traditional marketing? We Medill IMCers get this question a lot.

Part of what sets our graduate program apart is the diversity of knowledge we develop. By the time I graduate this December, I expect to have taken courses in five subject areas: Branding & Advertising Strategy, Media Management, Direct & Interactive Marketing, Marketing Analytics and Corporate Communications & Public Relations.

Though marketing is both an art and a science, I find that most people only think of the art, the right-brained side, the creative message. Marketing agencies have long had the reputation as a place where you hole up a bunch of creatives until they come up with the magic message that will get your product flying off the shelf.

It turns out there’s a lot more to it than that. Sure branding and corporate communications are important tools for any well-rounded marketer. That’s where the message is ultimately formed. But making decisions within those areas should be far more than the gut instinct that determines the fate of too many marketing budgets.

The science, the left-brained part of marketing, is what should drive any smart marketer’s decisions. This is where hard data comes into play. Who’s spending? When? On what? Do the profits from each customer exceed their costs? Yes? Well, these are the people to target with your messages. No? Then they’re just costing you money.

Once you know who your ideal customer is, you can take the data a step further and figure out what types of messages spur them to action and in what form those messages can be delivered most effectively. Through analytic tools such as multiple regression, cluster analysis and factor analysis, you can figure out what is likely to work and why.

Now you’re on your way to understanding how to deploy your creative team. Marketing will always be part art. But when you start to use data to form the basis of your art, that’s where science comes in. That’s how you get results. And that’s how you speak the language of the CFO and other budget decision-makers.

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Daniel Hindin is Managing Director of Vitamin IMC and a student in the Masters in Integrated Marketing Communication program at Northwestern University’s Medill School. He enjoys using as many different parts of his brain as possible. You can reach him at DanielHindin2010@u.northwestern.edu.

CVS Kiosks get Intuitive: How behavioral data can tailor coupons to individuals

noreply@blogger.com (Vitamin IMC) — Thu, 18 Feb 2010 15:39:00 +0000

By Brad Mild

We can all think back to a time when our parents would sit down with a Sunday paper, pull out the coupon insert and begin to snip out one promotion at a time. Then, they would place the clips of paper into a little envelope and set it aside for the next trip to the store. The whole process took at least an hour to complete only to be foiled by forgetting the envelope at home. Thanks to CVS the days of tireless coupon clipping are at an end.

CVS stores began to roll out interactive coupon kiosks in 2007. These intuitive red boxes scan a consumer’s ExtraCare shopping card and pop out a money-saving offer based on prior purchases.

Both CVS and the consumer benefit from this relationship. Kiosks entice consumers to share their shopping behaviors in return for personally tailored coupons, and their use increases revenue for CVS. It’s a win-win.

For customers, the red box meets two needs. It saves them money and time. Tailored deals save customers money on items they want to buy without having to look for coupons elsewhere.

This process can also be fun. The shopper does not know what promotion they will receive. All they know is that it will be relevant to their needs. The uncertainty behind each scan encourages customers to scan their card more often. This phenomenon is called variable ratio reinforcement. Can you say Vegas?

So what does CVS get from the deal? Data! They collect mounds of data on purchasing patterns. This info can tell marketers about trends in seasonality, time of day, recency of purchase, and the dollars spent. All of which can help in strategic and managerial planning.

However, that is only the icing on the cake. The major gain is the ability to automate decisions and test promotions instantaneously. A computer automatically decides on a promotion and offers it when the customer is in the mood to buy. If a consumer doesn’t use the coupon that day, the computer knows that the promotion was not relevant and it adjusts. Or, if they buy a product on a regular basis and then stop, the program will notice that trigger event and alert the operator.

The question now is whether CVS has the means to analyze this data. If they do are on the right path to understanding their consumer and meeting their needs. If instead they are letting the data rot they are missing out on a solid competitive advantage .

So the moral of the story is that win-win situations exist. With a little data marketers can tailor offers to consumers and increase returns.

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Brad Mild is the Visual Communications Manager at Vitamin IMC and a student in the Masters in Integrated Marketing Communications program at Northwestern University's Medill School. He daydreams of wakeboarding in the early morning when the water is glass. He can be reached at mild@u.northwestern.edu

Data Mining vs. Science: How OkCupid translates data into dates

noreply@blogger.com (Vitamin IMC) — Wed, 17 Feb 2010 16:03:00 +0000

By Anne Mahoney

If you’ve ever marketed yourself online in the romance department, you likely have painstakingly analyzed every part of your profile. Is the photo attractive? Do I say the right things about myself? How should I word my first email to another enticing product in the dating aisle?

An article in the New York Times looks into how OkCupid, an online dating site, shares user data with its registered love-seekers to provide advice on how to develop and market their personal brands. To find the data, it analyzed 7,000 user profiles, noting photos, number of responses and content of those responses. One useful finding was that being “fascinating” or “cool” is more important than the initial physical attraction factor. For instance, OkCupid says a woman using a photo portraying her playing an instrument or on an exotic beach receives more responses than focusing on physical assets.

If true, this certainly is valuable information for site-users. The study has, however, strictly focused on pure numbers through data mining. To gain additional insights, I sought out the opinion of the foremost expert I know in statistical data analytics: Medill IMC professor Edward Malthouse. Professor Malthouse brought up the scientific question still at large for OkCupid: Why do these tactics work? He thinks marketing can help to explain.

“Some physical beauty is a point of parity,” he said. “Differentiators will make you stand out, at least among a segment that values such activities. So, marketing theory predicts that those who are differentiated will be more successful.”

That is the scientific way to view the findings of OkCupid’s study. It hypothesized that differentiators would increase or decrease response rates, which the study confirmed. Yet there are other variables that have not been taken into account. Malthouse points out an example as the experiences of the customer, or date-seeker browsing through profiles. These experiences are not directly focused on the “product,” or person trying to find a date. If each individual created a first-impression experience for the type of person they are trying to attract – the “targeted consumer” – Malthouse theorizes it would have an even stronger effect.

Boiling down an intimate subject with numerous and oftentimes-mysterious factors, such as dating, into pure numbers surely has its challenges. Do you think there’s truth to the OkCupid study? How can marketers benefit from activating these types of analytical tactics?

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Anne Mahoney is the Social Media Director at Vitamin IMC and a student in the Masters in Integrated Marketing Communications program at Northwestern University's Medill School. She can be reached at annemahoney2010@u.northwestern.edu

The future of shopping

noreply@blogger.com (Vitamin IMC) — Fri, 12 Feb 2010 14:17:00 +0000

By Alejandra Leon

Retail therapy is a common getaway after a hectic day at work. And while many consumers love the experience of shopping, time is limited. There are only so many minutes to go to a store, find items you like and perhaps wait for a dressing room to then try endless clothing options on. After a while, it can cause more stress than relief.

Wouldn’t it be great to get the benefits of shopping without the hassle? Cisco Systems has been working on a solution for this problem through the new Cisco Integrated Services Router Generation 2 (ISR G2).

The technology delivers a new borderless workspace experience through service virtualization and video-ready capabilities. This means that consumers will now be able to interact with video and audio in real time and have digital payment options.

What does this mean for the shopping world? In the near future, consumers won’t have to spend time in the fitting rooms struggling with different sizes and colors. Even paying for items will take only a scan of a credit card and a digital signature.

What does this mean for marketing?

As shown in the video, a more custom made, targeted approach to reaching consumers is well underway. The implications and possibilities of this technology will help pave the way for customer centric marketing approaches that will help break through the advertising clutter by offering relevant, timely information for the consumer.

Already, smart phone applications such as MasterCard's “priceless picks” are interacting with customers by using their locations to provide customized information on relevant places such as restaurants and shops in the area that others have preferred.

These are only a few examples of how technology is impacting the interaction between businesses and consumers. With innovative technology, marketing implications become limitless.

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Alejandra Leon is a blogger at Vitamin IMC and a student in the Masters in Integrated Marketing Communications program at Northwestern University's Medill School. She is afraid Cisco's technology will turn her into a true shopoholic. She can be reached at alejandraleon2010@u.northwestern.edu

Toyota: too late or restoring the faith?

noreply@blogger.com (Vitamin IMC) — Thu, 11 Feb 2010 17:05:00 +0000

By Brandi Heinz

No marketing communications professional looks forward to the day they must navigate a company crisis. Toyota’s recent floor mat and sticky pedal safety recalls are the most recent examples of balancing damage control with open communications. The safety recalls and Toyota’s subsequent responses open the potential for major damage to their strong brand built on safe, reliable, high-quality vehicles.

Meeting the challenge head-on, Toyota launched a comprehensive PR strategy to address the situation openly and honestly. Their website, www.toyota.com/recal l, includes updates on what’s being done to address the problems and has videos with more information for consumers—such as what to do if they experience trouble braking.

Adding to the open dialogue, Jim Lentz, President & CEO of Toyota Motor Sales U.S.A., apologizes to customers in a video on the site, closing by saying: “Once again, I apologize for the situation and I hope you’ll give us the chance to earn back your trust.”

The newly released television commercial echoes his sincere words, telling a story of commitment and painting a picture that highlights 172,000 Toyota employees’ dedication.

But will this campaign be enough to calm consumers after months of bad news? It took nearly 10 days for Toyota to launch this response strategy, and consumer perception has dropped to a new low. If they hope to uphold their brand values, Toyota must avoid additional crises and continue to create open and honest dialogue to fuel positive brand momentum.

What do you think? Can Toyota restore the faith in their company?

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Brandi Heinz is a student advisor and blogger at Vitamin IMC and a student in the Masters in Integrated Marketing Communications at Northwestern University's Medill School. She has owned two Toyota Camrys. She can be reached at brandi.heniz@gmail.com.

Vitamin IMC turns one year old!

noreply@blogger.com (Vitamin IMC) — Thu, 04 Feb 2010 17:11:00 +0000

Today marks the first birthday of Vitamin IMC. What started as a two-person endeavor to bring Medill IMC program topics to the blogosphere is now a 20+ operation run entirely by enthusiastic students. In honor of our one-year mark, we’d like to share a bit of our history with you.

The Vitamin IMC Story

By Founders Stacy Cohen & Marina Molenda, IMC 2009

It all began with a question: how can current IMC students educate marketers, potential students and companies about IMC? We wanted to offer a “fresh squeezed” perspective on marketing topics while educating the business world on the true definition of IMC. We needed a platform to show that IMC is the new and best approach to marketing communications by providing insights and analyzing cases where IMC should have been implemented. We required a format that allows for an interactive relationship, uses a channel that directly reached our diverse audience and is easily accessible. The answer to the question was the “Vitamin IMC” blog.

In December of 2008 we began developing the identity, mission and overall editorial and promotional strategy for Vitamin IMC. After posting some juicy content, the blog was launched February 5, 2009 to IMC students and faculty. This was followed by promotion and outreach to influential marketing bloggers. The content is written primarily by members of the blog team, with guest contributions by current IMC students and faculty. Written through an IMC lens, the posts discuss marketing hot topics and trends as well as insights from class.

In just one year, Vitamin IMC acquired several hundred (over 700) followers on Twitter (@VitaminIMC) from IMCers to social media marketers and companies. We are flattered to have received positive feedback from top bloggers such as David Berkowitz, Greg Verdino and Barbara Lippert.

We’re excited at the success we’ve seen in just one year and look forward to expanding our readership and influence. We hope the blog continues to grow along with the program and reflect the changing state of marketing. We want Vitamin IMC to establish a place in the marketing world as an interactive resource for both IMC students and innovative marketers. Thanks for visiting the blog, please leave comments and let us know what you think. We look forward to hearing from you!

Medill IMC

About our Graduate Program

The study of Integrated Marketing Communications was pioneered at Northwestern University’s Medill School, and some of the greatest minds in the industry are among our professors. We learn to create marketing communications that engage and connect brands and consumers with stakeholders. We experience the challenges of real-world marketing environments, and have the opportunity to work on projects that carry real social impact. To learn more about the program, check out the Medill IMC Web site at www.medill.northwestern.edu/imc.

Sandwich app brings Wonder back to lunch

noreply@blogger.com (Vitamin IMC) — Tue, 02 Feb 2010 14:18:00 +0000

By Andrea Benda

With obesity rates at all-time high and a lingering recession, there’s a consumer need to watch waistlines and wallets.

Wonder Bread is here to help with its interactive application, the Sandwich Wonder-izer. The application allows consumers to get creative with their brown-bag lunches while watching calories.

Consumers can craft their own perfect virtual sandwich—starting with one of 12 different Wonder breads—and see the nutritional value of their creation. If you’re shocked that your double-decker salami and pepperoni with extra mayonnaise and provolone packs a frightening 1,000+ calories, you can swap ingredients for any number of healthier choices. There’s everything from fat-free ranch and salsa to artichokes and cantaloupe.

The Wonder-izer has wide appeal: Both the frugal office worker who’s tired of the same turkey sandwich and the health-conscious mom will be impressed. Kids can have fun building their fantasy lunch—maybe peanut butter and banana, with marshmallow cream, candy corn and potato chips (Yes, all options).

With many choices and intriguing graphics, the application is entertaining. But more importantly, it provides a valuable service to consumers.

Counting calories is trickier than it sounds. Try keeping track of sodium, cholesterol, calcium and vitamins, too. In just a couple clicks, this tool can show consumers the nutritional give-and-take that occurs with adding or subtracting ingredients.

Wonder has strategically branded the application by keeping their name in the forefront without distracting from the tool’s use. A prominently displayed "share sandwich" feature also encourages users to show off their culinary creativity by comparing their lunches on Facebook and Twitter.

By using this fun teaching tool, the Wonder Bread brand is likely top-of-mind when a consumer visits the grocery store to buy ingredients for their perfect sandwich.

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Andrea Benda is a blogger at Vitamin IMC and a student in the Masters in Integrated Marketing Communications Program at Northwestern University’s Medill School. She has never had a slice of Wonder Bread in her life. Andrea can be reached at andreabendea2011@u.northwestern.edu

What the iPad means for marketers

noreply@blogger.com (Vitamin IMC) — Fri, 29 Jan 2010 14:20:00 +0000

By Nathan Kraft

Unless you’ve been hiding under a rock, you’ve likely heard the tidal wave of hype surrounding Apple’s iPad mobile device.

Fitting somewhere on the mobile device spectrum between a smartphone and a netbook, the iPad features a 10-inch touch screen, WiFi capability (3G optional), a battery with 10 hours of active life and tons of memory storage—all wrapped in a sexy, slim Apple design. Steve Jobs probably said it best when he said the iPad is “far more intimate than a laptop, but far more capable than a smartphone.

Market penetration beyond early adopters isn’t expected until next year—after at least one price cut, although the 3 to 4 MM units analysts anticipate in 2010 is nothing to sniff at. More importantly, the iPad will legitimize the tablet device and lift sales for the burgeoning category, just as the iPhone and iPod did in the smartphone and MP3 player categories. However, The iPad is in a category slightly different than the Amazon Kindle or Sony Reader because of expanded capabilities.

What does all this mean for marketers? Here are a few implications:

More Apps, New Apps – First the iPhone, then the Android, now iPad. Marketers–who have found applications to be one of the best ways to drive engagement, loyalty and consumer value–will need to re-think their approach to application development taking the iPad’s expanded capabilities and different user needs into account. While most successful smartphone apps serve specific, information-now needs; iPad apps may incorporate more entertainment and social components because of its larger size and different consumer use cases. At the same time, marketers will need to figure efficient ways to deploy applications across a growing number of mobile platforms. As Forrester’s Josh Bernoff recently noted, device fragmentation isn’t going away anytime soon.
Mobile Gaming Gets Bigger – With its bigger, higher resolution screen, the new iPad is already being touted for its much richer mobile gaming experience than smartphones. Marketers should think of ways to integrate brands into popular games or create games that are an extension of their current brand offering.
A new channel for traditional media and mobile advertising – This new device was built for media consumption, and will create a new distribution channel for legacy media companies. Though no big media company deals have been inked, large publishers will likely create iPad-specific sites or applications that integrate with new pay walls being introduced on traditional wired sites. Will people pay? It remains to be seen, but as iTunes demonstrates, when the user experience and exclusive content warrants it, consumers are willing to pay by the bite. While most of today’s mobile advertising is limited to text links and tiny banners, mobile advertising on the bigger screen is a new canvas for advertisers. Smart advertisers won’t think of this as another place to plaster irrelevant ads, but will find ways to add value to the consumer’s media consumption experience—taking advantage of social, behavioral and geographic data to deliver relevant messaging yet unavailable in other media, including the internet. This will be a boon to retailers and local businesses, which will be able to efficiently serve richer, relevant offers to small, location-specific audiences. Instead of text links and click-to-call buttons, think of maps, product/service preview videos, etc.
The social mobile web will expand – Social applications for Facebook and Twitter are already among the most popular smartphone applications. But consumers primarily use these apps to skim through status updates or post a status. The iPad’s larger screen will encourage deeper engagement in social applications and use in coordination with behaviors such as point-of-sale research. This makes consumer reviews and consumer generated product feedback more important than ever, as consumers turn to their social networks for advice on what brands to buy while standing in front of the shelf or showroom.

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Nathan Kraft, MSIMC ’09, is a Chicago-based marketing manager at Cars.com, responsible primarily for social and emerging media at the automotive publisher. He can be reached at nathangkraft@gmail.com.

Avatar: a 'Titanic' exercise in marketing

noreply@blogger.com (Vitamin IMC) — Wed, 27 Jan 2010 02:33:00 +0000

By Jill Xiaojun Ni

The popularity of Avatar has been a major topic of discussion, both online and off, for the past six weeks. With long lines at the box office and endless tweets and comments on social networking sites, James Cameron’s epic story about justice, war and love has taken over worldwide media.

This past weekend, Avatar held on to the top U.S. box office spot for the sixth week in a row. This week, it surpassed Titanic in worldwide ticket sales.

What’s amazing is how much Fox invested in marketing the film. Avatar has become more than a movie blockbuster, it has become an achievement in entertainment marketing efforts.

Avatar cost Fox $350 million. Global marketing accounted for 30% of the budget, and the studio promoted the movie through synergistic approaches in new and traditional media.

Consumers got the first glimpse of Avatar in August through a16-minute IMAX trailer, which was later broadcast on television networks. The film generated global buzz through an official multi-lingual Web site that allowed participants to navigate through features and clips of the movie.

Avatar partnered with Coke Zero and McDonald’s to interact with consumers. Coke Zero launched the special “AVTR” package, which allowed consumers to simulate flying the helicopter that appeared in the movie by placing coke cans in front of their webcams with new technology called augmented reality.

McDonald’s similarly offered an Avatar themed “thrill card” with Big Mac purchases. With the card, consumers could log onto the McDonald’s vision website as an Avatar and explore Pandora with games. These innovative marketing strategies enhanced the consumer experience by seamlessly integrating into the movie’s online promotion campaign.

Did you participate with Avatar online? Did you like the film?

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Jill Xiaojun Ni is a blogger at Vitamin IMC and a student in the Masters in Integrated Marketing Communications program at Northwestern University’s Medill School. She loves watching actors do accents in movies. She can be reached at xiaojunni2010@u.northwestern.edu

What's the secret formula? A Happiness Machine

noreply@blogger.com (Vitamin IMC) — Tue, 26 Jan 2010 04:55:00 +0000

Coke’s “open happiness” campaign is an ambitious brand building effort. “Open happiness” can be interpreted in many different ways and has the potential to fall flat to fluffy efforts. But with this new viral video, Coke shows us all why it is a top global brand. By simply delivering on its brand promise and understanding how to connect with its target consumers, Coke successfully brings “open happiness” to life.

Not only do the people interacting with the machine get a dose of happiness, but watching the video will undoubtedly bring a smile to the viewer’s face, which most likely will lead to sharing this cool video with others. This is a recipe for viral success -- anyone, anywhere in the world can appreciate the happiness in this video. And that’s truly the mark of an iconic global brand.

What will be interesting to see is if Coke can keep consumers buzzing and if the happiness machine pops up at other college campuses. There’s a great opportunity here for Coke to further engage with this target group. How about creating a contest for college students to select the next secret location for the happiness machine? Or what about extending the life of this idea and integrate it with Expedition 206?

--Stacy Cohen

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Stacy Cohen is Co-Founder and Alumni Advisor of Vitamin IMC and recently graduated from the Masters in Integrated Marketing Communications program at Medill. Currently living in Atlanta, Stacy does not miss the winter she left behind in Chicago. She can be reached at StacyCohen2008@u.northwestern.edu

Trading privacy for data

noreply@blogger.com (Vitamin IMC) — Mon, 25 Jan 2010 14:46:00 +0000

According to Stephen Baker, the Numerati are taking over. These mathematicians and computer scientists are the focus of Baker’s book, The Numerati, which he discussed last week at Medill. Baker described how our observed behavioral patterns are being turned into quantifiable data by these innovators, and hinted at the vast implications this has for marketers.

“This science is ideal for those industries where you can afford to make a lot of mistakes,” Baker said. That is, marketing and advertising. In practice marketing is a blend of art and science, intuition and analysis. The Numerati can analyze the vast amounts of data and uncover new insights about consumer tastes, preferences, and moods. The use of behavioral data undoubtedly makes marketing more effective than traditional segmentation approaches based on demographics.

Forget about demographic and psychographic targeting. NetFlix and Amazon.com use vast databases that predict behavior and make recommendations based on past purchase behavior. Sometimes the suggestions are misguided, but there is little cost associated with the error. It is certainly more accurate than a strategy based on customers’ billing zip codes.

But these new methods aren’t without problems. People are increasingly protective of their privacy and anonymity, both online and offline. Baker argued that consumers would be more willing to share information if they understand how it benefits them.

The ultimate effects of the Numerati’s efforts in using the staggering volume of available data will be decided by the public’s willingness to trade its privacy for better relationships with brands and businesses – or the government’s eagerness to step in and change laws.

Do you think companies are going too far with your private information?

--Kelly Kross

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Kelly Kross is a graduate student in the Masters in Integrated Marketing Communications program at Northwestern University’s Medill School. She loves her BlackBerry and will never switch to the iPhone. Kelly can be reached at kellykross2010@u.northwestern.edu

McKinsey’s consumer decision journey

noreply@blogger.com (Vitamin IMC) — Thu, 21 Jan 2010 16:38:00 +0000

One of the key IMC tenets is data-driven formulation of strong consumer insights to produce effective marketing strategy. McKinsey’s John Copeland drove the point home at Medill last week, with his statement: “Understanding the why is important, because it’s the only way that you can get out in front of the consumer. Otherwise you would be chasing behavior, or chasing demography.”

Copeland, a senior expert in marketing at McKinsey & Company’s Marketing & Sales practice, spoke at an event for the Professional Speaker Series at Medill. He showcased McKinsey’s Consumer Decision Journey (CDJ), a reorientation of the traditional marketing funnel that breaks down the consumer buying decision process. While the traditional funnel assumes a methodic reduction in the number of brands in the consumer’s consideration set at each stage, the CDJ proposes a more dynamic version of the process.

With the deluge of information available, consumers are too overwhelmed to start off with an assessment of all available options. Often, their initial consideration set of brands consists of as few as 3-4 brands, which are three times more likely to be purchased eventually. This number may increase or decrease as consumers seek more information during the purchasing process, as well as during the post-purchase evaluation phase. Consequently, although it is important to gain entry into the initial consideration set, marketers still have opportunities to impact consumers across the journey. Decoding the CDJ and understanding the “why” reveals these opportunities.

Once this is done, it is critical to achieve integration across touch points. Only a third of the touch points for consumers involve company-driven marketing; the rest is comprised of consumer-driven activities such as Internet reviews, recommendations, past experiences, and in-store interactions. The relative importance of touch points varies through the journey – and aligning marketing with the decision process through a strong integrated strategy is now more important than ever.

The original McKinsey article can be found here.

--Pooja Ranganathan

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Pooja Ranganathan is a blogger at Vitamin IMC and a student in the Masters in Integrated Marketing Communications program at Northwestern University’s Medill School. She does not get football, and is amazed she managed to discover a sport more boring than cricket. She can be reached at PoojaRanganathan2010@u.northwestern.edu

Mobilizing to donate after the Haiti quake

noreply@blogger.com (Vitamin IMC) — Wed, 20 Jan 2010 16:24:00 +0000

Text “Haiti” to 90999 to Donate $10 to The Red Cross. This message proliferated the internet and television within hours of the Jan. 12 catastrophic earthquake in Haiti.

Since then The Red Cross’ text-to-donate campaign collected a staggering $21 million, dwarfing the $4 million total of all charitable ‘text’ drives in 2009. Most notable was the first 48 hours – people gave The Red Cross more money faster than in the wake of Hurricane Katrina, the Asian tsunami, or any disaster to date.

The operation is backed by Mobile Accord’s mGive Foundation, the first company to offer mobile donation services to non-profit organizations back in 2005. Donors’ pledges are added to their cell phone billing statements.

From a cause marketing standpoint, $10 increments paired with mobile accessibility is a winning combination. Simply cutting out the need for Americans to give an intermediary their credit card information enabled a mass reaction.

The text-to-donate message was not seamless. False word spread on Twitter that AT&T was not participating in the campaign as customers slammed the carrier for preventing them from helping victims. But AT&T spokesman Steven Schwadron quickly clarified that was a rumor: it was on board with The Red Cross and messaging rates would not apply to donation texts. AT&T customers contributed half of the first $9 million collected via text message. However, The Wall Street Journal did its part to warn the public to do research before texting away money, citing up to 90 days’ lag time before the phone company pays the charity.

Natural disasters bring together great minds and able bodies to help those affected. The difference with today’s tragedy in Haiti is newfound strength in mobile technology.

Charitable reaction to the Haiti quake glimpsed the symbiotic IMC process. Americans immediately saw footage of earthquake victims on television, online and in print news, and were driven to help however they could.

Will this tragedy instill confidence on a greater level for mobile charity? For mobile commerce?

We can’t deny its power. Companies are truly mobilizing for the future; take Apple’s recent purchase of mobile ad company Quattro Wireless. The technology exists and millions just adopted it.

Today we move forward, to repair and to improve.

--Susan Monahan

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Susan Monahan is a Blogger at Vitamin IMC and a graduate student in the Masters in Integrated Marketing Communications program at Northwestern University's Medill School. She was deeply moved by the global community's quick response to the victims of the earthquake in Haiti. Susan can be reached at susanmonahan2010@u.northwestern.edu.

Polaroid's romance with Lady Gaga

noreply@blogger.com (Vitamin IMC) — Thu, 14 Jan 2010 14:46:00 +0000

There’s no shortage of celebrities partnering with corporations, but a new venture between Lady Gaga and Polaroid is one that few would have guessed. On January 6, Polaroid appointed the pop star to become the company’s creative director. Not only will she be the face of the brand but also develop a line of “imaging products” scheduled for release late this year.

Polaroid, which was acquired by a private equity firm in 2008 after filing Chapter 11 bankruptcy protection, has had brand image problems for years. Most perceptions of the Polaroid brand fall somewhere between dated and irrelevant. Its products have missed the mark in recent years, fueling continued financial problems.

Undoubtedly Polaroid is hoping that some of Lady Gaga’s trendy cache will rub off on their new product line. Although details of the multi-year agreement are still unknown, Polaroid does intend to leverage Lady Gaga in future marketing campaigns, which includes having a presence at her upcoming tours.

It’s clear Polaroid is betting that Lady Gaga’s next few albums continue to generate the buzz her first two have and that her creative talents are translatable to developing innovative electronics.

The possibility for the partnership to be successful is not out of the question, since Lady Gaga appears to have legitimate creative talent that has already been used to launch a line of headphones. But the bigger issue here is how Polaroid will reconcile its brand heritage and core competencies (instant imaging) with the current fast-paced technological environment. If Polaroid can’t solve this problem, no celebrity – not even Lady Gaga - will be able to dig them out of their brand ditch.

--Mike Witham

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Mike Witham is a blogger at Vitamin IMC and a student in the Masters in Integrated Marketing Communications program at Northwestern University’s Medill School. She has a pet duck, Phil, who does tricks. She can be reached at michaelwitham2010@u.northwestern.edu.

Pepsi’s Super Bold Cause Marketing Move

noreply@blogger.com (Vitamin IMC) — Mon, 11 Jan 2010 14:38:00 +0000

It’s tough to imagine the Super Bowl without the Pepsi ads. Full of pop culture, sex appeal and charm, the spendy spots are being benched this year in favor of a new marketing plan. The soda giant is instead re-funneling $20 million of its advertising dollars to the “Pepsi Refresh Project,” awarding grant money to community projects selected by its consumers. The Wall Street Journal offers a comprehensive piece on the decision, but here’s my perspective as an IMC student, armchair advertising critic and Pepsi drinker.

In its current stage – before consumer engagement, attitudes and profit margins are calculated – Pepsi’s strategy is downright applaudable. It likely wouldn’t have had the same effect just two years ago. Back then, we Americans basked in frivolity. Paying $2.7 million for a 30 second first quarter belly laugh was pure bragging rights for many a company. Sure, Pepsi also was likely backed into spending binges by direct pressure from Coca-Cola. To remove themselves from competition on the biggest advertising platform in the world must have more than a few Pepsi executives biting their nails right now. But my prediction is this: it will be worth it, and here’s why:

Word of Mouth. People will talk about the Pepsi Refresh Project because it’s unconventional, risky and doing some good. If it’s possible to change attitudes, this program has more potential than a short-lived advertisement. Remember Mister Splashy Pants?

Social Media. There’s potential for Pepsi to have a bonanza here. Cause marketing works when people are given the power of participatory influence. Viral engagement will lead to an “everybody wins” scenario, including consumers and the communities being served. Oh, and more brand equity isn’t bad, either.

Legacy. If this concept is ultimately profitable, it will not only be a success story, but one exemplifying a true change in consumer behavior. Although copycats will follow, I think Pepsi will be preserved as a heartfelt pioneer because of the level of risk taken on with this program.

So Pepsi, good luck to you. The bubbly Super Bowl ads will be missed, but the Refresh Project is definitely going to be fun to watch.

--Anne Mahoney

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Anne Mahoney is the Social Media Director of Vitamin IMC and a student in the Masters in Integrated Marketing Communications program at Northwestern University’s Medill School. She is hoping to watch the Vikings take the cake at the Super Bowl this year. She can be reached at AnneMahoney2010@u.northwestern.edu.

Authenticity, Relationships and the Economy: Why Little is Getting Bigger

noreply@blogger.com (Vitamin IMC) — Thu, 07 Jan 2010 14:41:00 +0000

One day last quarter in his Marketing Management class, Medill IMC Professor Frank Mulhern noted that today is the age of the mega-business. Whether it’s through acquisition like many of the media empires or through internal growth like Walmart, Big is where it’s at. Economies of scale. Multi-layered specialization. Reach. To be a market leader, you have to basically take over the market. Become a category killer.

While there’s truth in all that, Professor Mulhern could not deny there’s also a distinct rebellion against the notion that bigger is better. In contrast to the mass industrialization of last century, many people now prefer to own items and pursue experiences that are authentic and as close to one-of-a-kind as possible.

In the world of marketing, this presents a distinct opportunity for the Little Guy. Amid this current Great Recession, many smart, talented businesspeople have turned away from corporate behemoths toward independent entrepreneurial ventures. Whether triggered by a quest for personal meaning or the result of downsizing, these people have joined in a movement. And the movement has legs.

And if the economy and individualism serve as those legs, social media will gladly be the eyes, ears and mouth. No longer is the Little Guy outgunned by access to mass media. The playing field has been leveled.

But don’t be distracted by the tools. Twitter, Facebook and YouTube are leading the Democratization of Media, but they’re just instruments. They serve no purpose if used incorrectly.

The true value of social media lies in personal relationships. It’s almost a return to the days of door-to-door salesmen, but the difference is your business of one, five or 20 people can interact with individual households in Chicago, Barstow and Shanghai – all at the same time.

It’s that personalization that allows small businesses to find their niches and offer consumers what they want when they want it. These entrepreneurs literally *know* their audience. People will no longer tolerate being just another faceless customer. They want to connect.

Consumers prefer building relationships with other people to building relationships with corporations. That’s the power of social media. That’s the power of the Little Guy.

--Daniel Hindin

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Daniel Hindin is the Managing Director of Vitamin IMC and a student in the Masters in Integrated Marketing Communications program at Northwestern University’s Medill School. He loves it when people comment on his blog postings. He can also be reached at DanielHindin2010@u.northwestern.edu.

USPS Holiday Site Helps Consumers With Seasonal Shipping Stress

noreply@blogger.com (Vitamin IMC) — Mon, 21 Dec 2009 16:47:00 +0000

It's holiday season and consumers everywhere are stressing out about all the cards they have to send out and shipping gifts on time. Understanding the stress of the holiday season, the U.S. Postal Service created a fun, festive, and useful site to help consumers with their holiday mailing needs. This one-stop-shop has a lot of helpful features including tutorials for printing labels and scheduling pickup, custom card creator, locator for finding post offices with extended hours, and holiday countdowns for Hanukkah, Christmas, and Kwanza.

The site is effective because it provides value to consumers by making their lives easier and keeps them engaged with the Web site and the brand. The experience of using the site is great way to keep consumers coming back to USPS for their shipping needs instead of using other providers.

All-in-all it's a good site and next year's site could be even better by adding:

Sharing: Make the site more shareable and increase word of mouth by adding functionality for sharing on Twitter, Facebook, Delicious, etc.
Augmented Reality: USPS has a cool and innovative Virtual Box Simulator. It is a perfect fit for the holiday site and should be a featured tool.
Branded App: An app that incorporates site features such as scheduling a delivery, countdown calendars, and post office locator as well as new features such as reminders and a to-do list would make for a very relevant and useful app.

--Marina Molenda

Babies, Puppies and Kittens! Oh My!

noreply@blogger.com (Vitamin IMC) — Tue, 08 Dec 2009 14:13:00 +0000

People can’t get enough of the economy. Aside from the usual subjects such as the chasm that is the Nation’s growing debt and the unemployment rate, a less obvious socio-cultural affect of the recession is taking place. I’ll give you a hint: it has to do with Pokémon, the Mini-Cooper and animals dressed in outfits.

In recent years, there has been a proliferation of user-generated videos of animals and babies, not to mention miniature versions of popular foods such as the slider and cupcake. In November’s issue of Vanity Fair, Jim Windolf claims that the economic downturn is fueling our fascination with all things small, cute and cuddly.

Sure, cute stuff has always been present and appealing. However, it wasn’t until recently, Windolf argues, that the phenomenon took off on a mass scale of present-day proportions. It’s as if Americans have reverted back to familiar, child-like comforts during a decade that brought us 9/11 and the war in Iraq.

This trend has seeped into advertising, media and product design. Think of the small and rounded body of the SmartCar, the Snuggie, animated movies like “Up” and mascots like the Geico Gecko (a creature that has become more anthropomorphic as the years progress).

However, a small but growing cultural backlash is occurring. The cuteness craze is being mocked and satirized – signs that the “age of cuteness” could be losing traction and, possibly, coming to a close.

The implication for marketing and advertising is this: as professionals, we need to be cognizant of these larger societal trends as they bleed into popular culture and daily life. Doing so will aid in the understanding of consumer motivations and, subsequently, the development of more meaningful communications.

--Mike Witham

Cable Networks Vying for Shelf Space

noreply@blogger.com (Vitamin IMC) — Wed, 02 Dec 2009 17:19:00 +0000

Search For the Amazon Headshrinkers? When Crocs Ate Dinosaurs?
The National Geographic Channel really worked it to get your attention with the Expedition Week line-up, which aired November 15-21, its answer to Discovery Channel’s annual hit, Shark Week. Now calling itself simply Nat Geo, the network underwent a major makeover. Last month, it debuted a new call-to-action tagline: “live curious.”

Targeting 25-to-54-year-olds, Nat Geo has been able to grow ratings for the past six years. With countless more tune-in choices to compete with every day, how does the network do it?

The answer can be found in the snack food aisle. Steve Schiffman, the National Geographic Channel’s General Manager and EVP, recently spoke at the Cable Mavericks Lecture Series at Northwestern. He drew parallels between consumer packaged goods marketing and entertainment marketing.

For instance, Nat Geo benefited from the cross-promotion of two seasoned labels – its #1 show The Dog Whisperer and PETCO, the retailer of show host Cesar Millan’s products.

In true brand-follower form, Nat Geo imitates Discovery, hence “reactivating” its image to keep up. But Nat Geo must be careful not to discard its historic pedigree, its true differentiator.

Today’s cable distribution model, much like a supermarket, allows a multitude of networks the chance to draw in consumers. The downside is both carry the threat of the private label. What’s the Safeway Select of cable? Look to the potential merger of Comcast and NBC Universal for a whole new type of station with a more efficient subscription-to-advertising revenue model.

What can Nat Geo learn from CPGs in this case to maintain its market share? Better, more nourishing ingredients. The Discovery Channel has infused its brand with its show hosts, characters who viewers can’t get enough of.

How will Nat Geo combat this threat?
--Susan Monahan