Showing posts with label iPhone. Show all posts
Showing posts with label iPhone. Show all posts

Monday, 30 September 2013

Digital and B2C Marketing Lessons to Learn From the new GTA and LFW

Hi guys! Monday time: new week and a new blog post to keep your brains busy :)

It seems like the world of technology, gaming and fashion decided to have it all these past few weeks, providing marketing practitioners with so many great case studies, tips and lessons. From London Fashion Week we can borrow some original social media marketing tools, while Grand Theft Auto V seems to be a true encyclopedia for the traditional b2c marketing. Finally, the new iPhone release demonstrated an updated marketing strategy.

Grand Theft Auto V - great marketing always pays off 

GTA can be considered as a wonderful example of something being more than just a game/product, I guess. The gaming industry masterpiece, a real legend and a true brand - Scotland can be absolutely proud of its creation. And I can be proud to be a part of Scotland for this year :). Interestingly enough, this franchise represents the case of every ancestor being more successful than the predictor, which rarely happens for the movies. I compare the game launch with the movie premiers on purpose as it seems to be the strategy chosen by the Grand Theft Auto marketers. With all the digital resources and social media effectiveness, GTA team decided to follow the more traditional advertising and marketing path. Outdoor advertising, such as billboards (first to be spotted in Warsaw, Poland) and posters; video trailers and pictures leaks - helped created the demand months before the ‘supply’ was offered to the customers.

The approximate amount spent on the developing, production and marketing of the last GTA version accounts for £170 million, according to The Scotsman. This not so much tells us that expensive products require to be promoted accordingly, but illustrates the importance of the products’ quality which can be monetized afterwards. Over 300 people, including programmers, designers and mappers worked closely together to deliver outstanding results, making the launch of the updated game similar to the movie production. (By the way, it turned out my classmate`s husband has something to with the new GTA release, like he is a part of the development team or smth! It`s almost like I know a person who knows a real celebrity!) The preparation stage accounts for some great research made for the game to look as realistic as possible. Thus, the possible explanation for the choice of traditional marketing tactics can be the following: if a brand has to offer significant value, marketers should not be reinventing the wheel.

However, a couple of innovative things from the phenomenon of GTA could be noticed in the field of advertising. Thus, in one of the recent Forbes articles by Paul Tassi, the interesting question of in-game ads is explored. Product placement in movies as well as games can be considered quite a common technique. What is new, is the issue of whether every ads are helpful. Thus, Dodge (the most frequently featured vehicle in the game) does not hurry to take advantage of such free (?) promotion. Firstly, it is not clear if women represent the main target audience for Dodge (because 47% of GTA players are actually female). Secondly, the widely criticised violence as one of the game`s distinctive feature could be seen as rather harmful for the brands, apart the Grand Theft Auto per se. Overall, the record of £1 billion in sales within three days may only suggest that games are as good a place for product placement as the most successful Hollywood hits.

London Fashion Week - sometimes the only thing your customers need is a cup of tea.

On the contrary to the GTA marketing strategy, LFW demonstrates the excessive usage of the social media channels, apps and tools for making retail. For instance, Topshop involved in their fashion week campaign two different apps: sound recognition technology ‘Chirp’ and ‘Customize the Catwalk’ application. The first one, despite the expectations did not work exceptionally well, as the software requires users to be present somewhere close to the actual location of event in order to receive information, in case of LFW - exclusive backstage pictures, videos and latest trends.

On the other hand, ‘Customize the Catwalk’ idea allowed Topshop fans to change the colours of the outfits at the very same moment they appeared on the runway. Overall, these social media and digital activities gained Topshop 8,130 Twitter mentions, says Marketing Magazine. This does not look bad at all for the mass market retailer when competing with high fashion brands.

Speaking of which, marketing chosen for the LFW by Burberry can be seen as a winner. With total number of 285,110 Twitter and Instagram mentions British trench coats icon proved collaboration strategy to be fruitful. Thus, Burberry and Apple worked together so that all the sharable content, such as pictures and video, was made before, during and after the catwalk with the use of iPhone 5S. The buzz around the new phone and the new cloths resulted into the doubled excitement of the trend hunters both in technology and fashion with a subsequent social media coverage.

Finally, the third LFW label by the number of mentions is Mulberry. Interestingly, the brand almost reached Topshop (6,540 mentions vs 8,130) without any apps, softwares or collaborations. The pick of the social media resonance around Mulberry happened even before the start of the LFW. Invitations for the show is what made Mulberry the most talked about designer at those days. More than half of all the Tweets received were about the Wedgewood tea cups that the brand sent to the members of the guest list. These invitation were granted with a special hashtag #mulberryteacup, which received 147 mentions itself. To sum up, traditional ‘giveaway’ tactics may be as useful as innovative digital cases.

This seems like a hell of an article :) Sorry, I mean it is so long and comprehensive (I hope you agree), that I am extremely proud of it. Time to have a cup of tea and enjoy the rest of the day!

See you all soon,, here and in London!

Wednesday, 25 September 2013

New iPhone and new marketing lessons

Hi guys! Thanks for reading my recent post, I really appreciate that!

As promised, today's story will feature the new iPhone (iPhones) and the marketing side of the product launch in particular. First of all, I have seen them both already, touched and used the new fingerprint scanner. Moreover, my flatmate has already got a brand new iPhone 5S in granite colour. (Happy Birthday Song!) Yes, actually black&white Apple phones are in the past (unless we are talking about 5C), they are now silver, granite and champaign (at least from my colour perception standpoint).

Another thing I was happy to know is that Glasgow is one of those places where you can get a new Apple product at the date of actual release, which was September 20th (and pre-order from September 13th). By the way, according to some 'street statistics' (the number of people I saw queuing in from of the Apple Store) at least in Glasgow new iPhones where successful. My friend told me that the store opened at 8.00 and at 8.30 everything was already sold out! In case you would need some more authoritative figures - 9 million copies were sold on the opening weekend. More info here.

With all the negative stuff, like bugs, fingerprint scanner hack and so on, my verdict is the following - I would still want to get a new iPhone, because it is cool, even the 5C (for me C actually stands for cool), but like I would not spend my last penny on it (which I did with my iPhone 4s). It is like the excitment is over.... Wait, iPhone advocates, before hating me, let me just explain my point in more details. I would not talk about the technology and 64-smth processor, because I don't really care, but Apple`s marketing strategy - this is what caught my attention. And yes, new iPhone is successful, but there was this thin line Apple people have almost crossed.


1. The art of keeping secrets. Me, and I believe all the Apple fans, where quite dissapointed when long before the date of official release, it was possible to find everything (95% of information, to be precise) on the new phone model - colours, design, innovative features etc. Yes, I get that every other year data licks happened, that`s ok - this makes the excitement stronger and adds to the intrigue (is it true? did you know the new iPhone will be crystal? similar rumors). The thing is that we never knew the whole truth before Jobs or Cook revealed the big mystery. Therefore, what I don`t get is why was it so hard to have the secret kept this year. You might disagree, but the stock market defends my opinion - the very same day after iPhones 5S and 5C were released, company`s stock went down by 5%! And experts say due to the lack of new information: we did not heard anything new - everything has been seen in advance.


2. The power of brand. In the new university course I have just started doing online, brand was defined as a relatonship between the manufacturer (creator) and the customer. It kind of like a promise, supported with additional value company gives to their customers. People are irrational about their consumer behaviour, therefore, what they want from brand is not so much the substance, but emotion. It is all about iPhone making you feel happy/excited/on top of the world/chosen/rich/whatever. I believe iPhone equals luxury. At least few years ago, back at home one could rarely find young people using the expensive Apple masterpiece.

They used to buy it to make a statement - every celebrity, fashion, art people prefer (prefered?) iPhones, because they were so deifferent and so much better than other smartphones. Nowadays, HTC and Samsung are not far behind (I`d say it`s rather arguable which smartphone has it all and which does not). Subsequently, Apple must stick with the basics - be luxurious. However, they decided to conquer the new markets and make the cheap, sorry, colourful version. Here I would like to quote this witty review on Wired by +Katie Collins:
'When Apple finally confirmed that it would be releasing a cheaper plastic iPhone, almost no one was surprised -- rumours and leaks have been rife for many months. What was more of a surprise was that the cheap, plastic iPhone wasn't quite so cheap and plasticky after all.'

To illustrate the point, according to the report by We Are Social, 81% of social media buzz around the iPhone 5C launch was negative, with almost a half of mentionings being critical about device`s design and more than a third dissappointed with the price.

On the one hand, the cheaper model was inevitable, because of the modern market enironment. Moreover, the same strategy seemed to work pretty well with the iPod and iPad mini. On the other hand, iPhone 5C is not that cheap to compete with the competitors and 'damages' (?) the luxury brand attribute. 


3. As the result, we can see the changing face of Apple brand. As I mentioned above, I guess 'C' now stands for 'cool'. This idea is proven by the recent research (12th annual CoolBrands survey) on brand perception, where Apple tops the list of the coolest brands, and not so much the list of luxury ones. I don`t know where the new marketing strategy is good or bad, we will see in a couple of years. Anyway, that`s a great topic for discussion - how big brands should adapt to the changing environments and how adaptable can the marketing strategy be. 



Let me know what you think!

Best regards,

M