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Marketing strategies
1 A hot i st i c approach t o market i ng

2 Mar ket i ng i n chal l engi ng t i mes
Brands
3 The val ue of brands
4 Devel opi ng a brand i denti ty that l asts
5 Turni ng round a brand i mage
5 l mprovi ng cust omer experi ence
7 Targeti ng a youth market
Sel t i ng onl i ne
8 Maki ng t he most of an onl i ne st ore
9 Keepi ng onl i ne cust omers
Advertising
1.0 l nternet adverti si ng
11 Gt obat advert i si ng campai gns
12 Sponsorshi p deat s f or promot i ng brands
13 Vi rat advert i si ng campai gn
Expandi ng i nternati onal l y
14 Devel opi ng a successf uI nat i onal brand
15 Expandi ng brands i nt o t he Russi an market
16 Targeti ng overseas communi ti es
Satisfied customers
17 Keepi ng customers l oyal to brands
18 Devel opi ng cust omer rel at i onshi ps
Check Tests
Answer key
Gl ossary
72
76
20
24
28
40
44
48
52
32
36
56
50
64
58
72
76
80
90
Thi s uni t l ooks at a new approach to marketi ng.
Di scuss these q uesti ons.
1 What types of adverti si ng do you l i ke and di sl i ke? What i rri tates and amuses you?
2 How do you avoi d adverti si ng you don' t want, e.g.TV ads, pop-ups, spam, etc.?
3 More peopl e t oday have broadband and DVDs and use mobi l e phones. How do you t hi nk t hese
devel opments are affecti n g:
.
compani es' market i ngst rat egi es?
r
the work of adverti si ng agenci es?
Understandi ng the mai n poi nts
Read the arti cte on the opposi te page and answer these questi ons.
1 After readi ng the arti cl e, can you summari se what
' hol i sti c
marketi ng' i s? Compare your i deas wi th
other students.
2 What two factors have made compani es i nterested i n thi s new approach to marketi ng?
3 Why i sn' t tradi ti onatTV and Internet adverti si ng as effecti ve as before?
4 Marketers have reacted to thi s trend i n two ways. What are they?
5 How has a more hol i sti c way of l ooki ng at adverti si ng changed the way adverti si ng agenci es work?
6 Accordi ng to the wri ter, many compani es wi l t be sl ow to move to hol i sti c marketi ng. Why i s thi s?
Choose two expl anati ons.
a) Hoti sti c marketi ng can i nvol ve several departments, whi ch makes managi ng marketi ng budgets
very comprex.
b) They see hol i sti c marketi ng as a fashi on that wi l [ pass.
c) There i s a l ack of accepted tool s for measuri ng the effecti veness of new marketi ng acti vi ti es.
d) Most adverti si ng agenci es don' t yet have the ri ght ski l l s and experti se.
Understandi ng detai l s
Read the arti cl e agai n and answer these questi ons.
1 The wri ter gi ves an exampl e of how consumers are avoi di ng adverti si ng on the tel evi si on. What i s i t?
2 The wri ter gi ves two exampl es of al ternati ve pl aces where adverti sers can put adverti sements.
What are they?
What exampl e does the wri ter use to i l l ustrate how adverti si ng agenci es can gi ve customers a
better exoeri ence?
Accordi ng to the wri ter, hol i sti c marketi ng wi l l make al l ocati ng marketi ng budgets more di ffi cul t.
What exampte does he gi ve to i l l ustrates thi s poi nt?
I
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UNJT i
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S i I * LI STI C APPROA{ 9. 1 TO MARH. LTI I { G
The case for holistic marketing
by Gary Silverman
A In big companies, marketing depaft-
ments are adopting
'holistic
marketing'
-
a term that expresses the growing
desire of companies to use a greater
s variety of marketing methods to
communicate with their customers.
The move into holistic marketing
reflects two developments. Companies
are losing confidence in television
ro commercials. They are also are grolving
more interested in the Internet and other
altemative ways of advertising.
Technological advances are giving
consumers the power to avoid
advertising. For example, DVDs
are making it easier for people to
record programmes and fast-forward
past television commercials, while
softr.vare helps them block Internet
20 pop-up advertisements and unwanted
e-mails.
C Marketers have resoonded in two
ways. They are looking for nerv
places to put advertisements, such as
x ads on displays on bus shelters or
on mobile phone screens. And they
are beginning to see any contact
r'vith a consumer as a marketins
opport uni t y. The i dea i s t o engagE
:o the customer wherever the customer
happens to be
-
a holistic approach to
marketing, in other words.
As a result, advertising agencies
are not just
thinking about television
commercials these days. They are
trying to f,gure out ways to give
a better customer experience: for
exampl e. how st af f shoul d ansrver t he
telephone when customers call to ask
,m
for infomation or make a comolaint.
They are al so l ooki ng f or rvays t o
make t he shoppi ng experi ence more
i nt erest i ng. and bri ng new exci l . ement
and innovation to product packaging
+s and store display.
E Although many marketers see the
advantages of a holistic approach to
their marketing, many may be slow
to adopt it because of practical
so complications.
F Money for marketing comes from
marketing budgets. But in the new
world of holistic marketing, the lines
between marketing and other business
ss activities are blurring. In addition
to marketing, other departments in
a company also have a role, r.vhich
makes allocating marketing budgets
difficult. A website, for instance,
ar could be seen as a form of Internet
adverlising, but websites also function
as virtual stores. So money for building
a site could equally go to a marketing
or product development department.
G To make the situation more
complicated, companies are finding
it difficult to compare the impact of
ner.v kinds of marketing activity. In
holistic marketing, advertisers are no
ro longer interested in simply reaching
customers, but in engaging them.
The challenge is how to measure
t he i mpact of market i ng messages
-
how wel l cust omers are payi ng
zs attention to their marketing messages.
H There are companies working with
measurement tools that help with
this task, but until there is general
acceptance of these tools, companies
80 may find it difficult to justify
any
change in how they allocate marketing
budgets.
'With
some new media, it is
much more difficult to
put
these bud-
get s t oget her. ' says Al an Rut herf ord.
ss Global Media Director at Uniliver.
D
15
FT
tr
Understandingexpressions
Choose the best explanation for each phrase from the article.
1
'Companies
are losing confidence in television commercials.'(lines 8-ro)
a) They don't think that TV adverts are as good as before.
b) They no l onger bel i eve thatTV adverts produce good resutts.
2
'...
engage the customer...'
(lines 2g13.o)
a) get the i nterest of the customer and keep i t
b) have more conversations with the customer
3
'...
the lines between morketing and other business octivities are blurring.'(lines
53-55)
a) The di fferences between marketi ng and other busi ness acti vi ti es are l ess cl ear.
b) There is a big difference between marketing and other business activities.
2 Find five other noun-noun partnerships starting with the word marketing (paragraphs A, C, F and G).
UNIT 1
"
A HOIISTIC APPROACH TO MARKETING
tr
Word search
Find words or phrases in the article which fit these meanings.
a) starti ng to do somethi ng new
(paragraph A)
b) thi nki ng about the whol e of somethi ng, not
j ust
deal i ng wi th parti cul ar aspects (paragraph A)
c) improvements
(paragraph B)
d) try to prevent somethi ng from happeni ng (paragraph B)
e) stop somethi ng happeni ng compl etel y
(paragraph B)
f) possibitity (paragraph C)
g) thi nk about a probl em unti l you have a sol uti on (paragraph D)
h) pl ans showi ng the money avai l abl e
(paragraph
D
i ) gi vi ng someone thei r share of the total amount (paragraph
D
i )
gi ve a good reason for somethi ng
(paragraph H)
Find two other words in the article with the same meaningas advertisements.
tr
Word partnerships
t hot i st i c
2 tel evi si on
3 marketi ng
4 cust omer'
5 Internet
5 adverti si ng
1 Match these words to make noun-noun partnerships from the article.
a) commerci al s
b) marketi ng
c) adverti si ng
d) activity
e) agenci es
f) experi ence
UNIT 1
"
A HOLISTICAPPROACH TO MARKETING
The wri ter i l l ustrates some of hi s poi nts wi th practi cal exampl es.
Compl ete the three phrases he uses to i ntroduce them.
1 . . . . . . . . . . . . . . . .
,
DVDs are maki ng i t easi er t o record programmes . . .
(t i nes r5-rZ)
2 They are l ooki ng for new pl aces to put adverti sements, ads on di sptays on bus shel ters...
(ti nes z3-zs)
3 A websi te coul d be seen as a form of Internet adverti si ng, ... (ti nes
59-6t)
Sentence compl eti on
Use the word partnershi ps from Exerci ses C1 and C2 to comptete thi s extract.
C . . . . . . . . e. . . . . . . .
'
i s cent r al t o a new appr oach t o mar ket i ng, known as
h. . . . . . . . m. . . . . . . . ' . Mar ket er s and a. . . . . . . . a. . . . . . . . 3 ar e l ooki ng f or exci t i ng new
ways of engagi ng t he cust omers, usi ng a mi x of new medi a and m. . . . . . . .
m. . . . . . . . ' . Even compani es wi t h smal l m. . . . . . . . b. . . . . . . .
u
can do a [ ot .
tr
Prepositions
Use the preposi ti ons i n the box to compl ete these sentences.
i n i n of t o wi t h
1 Ther e i s gr owi ng i nt er est . . . . . . . . I nt er net adver t i si ng.
2 Compani es have l ost conf i dence . . . . . . . . t el evi si on adver t i si ng.
3 Mor e and mor e compani es see t he advant age . . . . . . . . a mor e hol i st i c appr oach . . . . .
4 Mar ket er s need t o vi ew any cont act . . . . . . . . cust omer s as a mar ket i ng oppor t uni t y
. . market i ng.
Do agree wi th the wri ter' s vi ew that a more hoti sti c approach to marketi ng i s the way forward for
marketers and adverti si ng agenci es?
Wri te a short report maki ng the case for or agai nst a more hol i sti c approach to marketi ng i n your
company. l ncl ude practi caI exampl es to support your poi nts.
Accordi ng to the wri ter, adverti sers are
' begi nni ng
to see any contact wi th a consumer as a marketi ng
opportuni ty' . Are thei r any ri sks i n such an approach? How do you thi nk customers and prospecti ve
customers wi [[ react?
This unit looks at marketing strategies for surviving in difficult economic times.
Discuss these questions.
1 How does an economi c sl owdown affect consumers' purchasi ng habi ts?
l s i t the same for busi ness customers?
2 What can a company do to survi ve i n di ffi cul t economi c condi ti ons? Make notes for each of these poi nts.
o
market research
o
adverti si ng spend
r
di stri buti on
.
pri ci ng
o
product portfolios
3 In di ffi cul t ti mes, marketi ng budgets often get cut. l s thi s a good i dea? Why?
/
Why not?
tr
Understandingdetails
3
4
I
tr
Understandingthe main points
Read the article on the opposite page and answer these questions.
1 What i s the purpose of the arti cl e? Choose the best opti on.
a) to i nform readers about the chal l enges of survi vi ng i n di ffi cul t ti mes
b) to give readers guidelines about how to survive
c) to persuade readers to change thei r marketi ng strategy
2 What gi ves you thi s i mpressi on?
3 These are the headings for the main ideas in the article
(r-6).
Choose one of the headings for each idea.
Adjust pricing
tactics
i
%
Adjust product
Portfolios Focus
on market
share
Support
distributors j
--#
Read the article again and answer these questions.
1 The wri ter gi ves fi ve exampl es of how consumer behavi our can change i n di ffi cul t economi c condi ti ons.
What are they? (paragraph B)
The arti cl e i ncl udes four suggesti ons that wi tl hetp compani es get the best resul ts wi th a reduced
adverti si ng budget. What are they? (paragraph E)
How can compani es make sure thei r di stri butors conti nue to stock thei r ful l range? (paragraph
G)
What short-term pricing tactics does the writer suggest to make products more attractive to customers?
(paragraph
H)
Research
the customer
Maintain marketing spend
Surviving tough
marketing times
by John Quelch
A Companies should keep these points
in mind when making marketing plans
for difficult economic conditions.
I . . . . . . . . . . . . . . .
B Don't cut the budget for market
research. You need to know more than
ever how consumers are reacting to
a downturn. Consumers take longer
searching for consumer products
ro and negotiate harder for price
reductions. They are more willing
to delay purchases, trade down to
less expensive models or buy less.
C Must-have features of yesterday are
rs today's can-live-withouts. Brands that
20
D
are trusted are especially valued and
can still launch products successfully,
but interest in new brands and
categories declines.
2. . . . . . . . . . . . . . . .
This is not the time to cut back on
advertising. It is well documented
that brands that increase advertising
during an economic slowdown,
when competitors are reducing their
advertising, can improve market
share and profits. And they can do this
at lower cost than during good
economic times.
Brands may be able to negotiate
better advertising rates. If you have
to reduce your marketing spend,
try to maintain the frequency of
advertisements by changing from 30-
to l5-second advertisements, replac-
ing radio with television advertising,
or increasing the use of direct market-
ing, which gives more immediate
sales impact.
Marketers must recalculate demand
for each item in their product lines
as consumers trade down to models
that are good value, such as cars with
+s fewer options. In tough times, multi-
purpose goods have advantages over
specialised products, and weaker
items in product lines should be cut.
Gimmicks are out; reliability, safety
so and performance are in.
4. . . . . . . . . . . . . . . .
G Carrying large amounts of stock is
risky. So offer financing and better
UNI T 2
"
MARKETI NG l N CHALLENGI NG TI MES
returns oolicies to motivate distributors
s5 to carry your full product line. This
is particularly true with new products
that are still unproven. Be careful about
moving to low-priced distribution
channels. This can damage existing
oo relationships with distributors and the
image of your brand. However, it may
be also a good time to drop weaker
distributors.
5 . . . . . . . . . . . . . . . .
H Customers will be looking around
for the best deals. It may not be nec-
essary to cut list prices, but you may
need to offer more temporary price
promotions, such as special offers or
zo reductions. It may also be useful to
give better discounts for quantity.
I In all but a few technology
categories where prospects for future
7s growth are strong. companies are in
competition for market share and,
in some cases, survival. To stay
competitive, look carefully at your
cost structure. This will ensure that
80 any cuts or consolidation activities
save the most money with the least
impact on customers.
J Successful companies do not
abandon their marketing strategies in
ss times of economic uncertainly, they
just need to adapt them.
,!0
F
3.
FT
Underst andi ng meani ng
Choose the best expl anati on for these i deas from the arti cl e.
1, Must-hove
features
of yesterday are today's can-live-withoafs.
(lines
r4-r5)
a) Peopl e buy too many products whi ch don' t have the ri ght features.
b) Many product features that peopl e thought were essenti aI are no l onger wanted.
c) Peopl e can l i ve wi thout products, even the ones that have the ri ght features.
2 Gimmicks ore out; things like reliobility, safety and performance are in. (tines
49-50)
a) Product s t hat have no real val ue are no l onger f ashi onabt e; i nst ead, t he poput ar product s are ones
that offer real vatue.
b) Peopt e no [ onger want f ashi onabl e product s; t hey onl y want seri ous product s.
c) Rel i abi l i ty, safety and performance have become the new fashi ons when buyi ng products.
UNIT 2
"
MARKETING l N CHATLENGING TIMES
Definitions
Match these words from the article (1-9) with their meanings (a-i).
1 categori es
2 rates
3 demand
4 returns
5 pr omot i ons
6 di scount s
7 channel s
8 consol i dat i on
9
prospecE
a) reduct i ons i n t he usual pri ce
b) groups of products that are att of the same type
c) the systems you use getti ng for getti ng goods to customers
d) goods returned because they are faul ty or not wanted
e) acti vi ti es i ntended to hetp sel l a product
f) bri ngi ng together separate acti vi ti es i nto one [arger whol e
g) the need that peopl e have for parti cul ar goods and servi ces
h) t he possi bi t i t y t hat somet hi ng wi l l happen
i ) basi c charges for a servi ce
E
Word partnerships
1 adverti si ng
2 market
3 marketi ng
4 di st ri but i on
5 product
6 ti st
7 pri ce
8 consol i dati on
Match these words to make noun-noun partnershi ps from the arti cl e.
a) share
b) ti nes
c) promoti ons
d) pri ces
e) acti vi ti es
f) rates
g) spend
h) channel s
g
Sentence completion
Use words and phrases from Exercises A and B to complete these sentences.
7 D. . . . . . . . " f or t hel ast t hr eemont hswasonl yst i ght t ydown. Sof or t hi syear , t hel . . . . . . . . p. . . . . . . . bf or at t
our p. . . . , . . . 1. . . . . . . . ' shoul d st ay t he same, but we shoul d of f er at t r act i ve p. . . . . . . . p. . . . . . . . 0, f or exampl e,
speci al of f ers and a d. . . . . . . . " of l Oo/ o f or orders pt aced i n January.
2 4. . . . . , r . . . . . . . . " have become mor e compet i t i ve, so we shoul d be abt e t o r educe our m. . . . . . . . t . . . . . . . . b
wi thout cutti ng the amount of adverti si ng we do.
3 Speci at i st shops and our websi t e ar e t he mai n J. . . . . . . . c. . . . . . . . f or our hand- made chocol at es.
4 For al l c. . . . . . . . " i n t he aut omot i ve sect or, t he p. . . . . . . . 0 f or next year are not good and t hey can expect
much l ower sal es.
10
tr
Word search
Fi nd words i n the arti cl e whi ch fi t these meani ngs.
a) buy a cheaper ki nd ofthi ng than before
(paragraph B)
b) thought to be good (paragraph
C)
c) consi dered i mportant
(paragraph C)
d) worth the money you pay for i t (paragraph F)
e) have a bad effect on somethi ng
(paragraph G)
f) onl y needed for a short ti me (paragraph H)
g) stop doi ng somethi ng because i t' s too di ffi cutt
(paragraph
J)
Fi nd four other phrases i n the arti cl e that mean
' di ffi cul t
economi c si tuati on' (paragraphs B, D, F and
J).
Language of decrease
1 Fi nd four verbs i n paragraphs B-D that express the i dea of becomi ng or maki ng somethi ng smal ter,
e.g. decrease. Then add at l east two other verbs that have a si mi l ar meani ng.
2 Complete these sentences with verbs from Exercise r in the correct form.
1 Our sal es . . . . . . . . . . . . . . . . by z5 per cent over t he l ast r z mont hs.
2 . . . . . . . . st af f numbers wi l t het p save money, but wi t t damage t he company l ong t erm.
3 l t woul d be a bi g mi st ake t o. . . . . . . . . . . . . . . . on al l pr omot i onal spendi ng.
4 What ot her areas of expendi t ure coul d we . . . . . . . . ?
1
2
Do you agree wi th the wri ter' s advi ce for survi vi ng an economi c downturn. Why?
/
Why not?
Wri te a short report for the Marketi ng Manager of medi um-si zed company, gi vi ng your top ei ght
gui del i nes for survi vi ng a recessi on.
Present your i deas to key staff i n the marketi ng team.
You have heard that your boss i ntends to cut back on al l adverti si ng unti l condi ti ons i mprove.
Wri te an e-mai l advi si ng agai nst thi s and suggesti ng an al ternati ve approach.
3
4
UNIT 2
"
MARKETING l N CHALTENGING TIMES
Thi s uni t l ooks at the i mportance of brands and some of the
chal l enges they face.
Di scuss these questi ons.
1 What advantages do strong brands gi ve a company?
2 What chal l enges do brands face today?
3 Thi nk of a brand that has made mi stakes but recovered. What mi stakes were made?
What di d i t do to recover?
tr
tr
Read the article on the opposite page and say whether these statements are true (I) or false (F).
Correct the false ones.
1 Too much focus on short-term profi ts i s a dangerous strategy when devel opi ng brands.
2 Googl e has become the top brand i n i ts category i n a very short ti me.
3 Accordi ng to the wri ter, i t i s i mpossi bl e for brands to recover when thi ngs go wrong.
4
The wri ter thi nks brands are l ess i mportant now than before.
5 l t has become easi er for brands to move i nto forei gn markets.
6 The most seri ous probl em that brands face today i s how to deatwi th the i tl egat copyi ng
and reproducti on ofthei r brands.
7 Accordi ng to the wri ter, the mai n benefi ts of havi ng a strong brand are fi nanci al .
1 Whi ch brand does the wri ter menti on as an exampl e of:
1 a top new brand?
2 a brand that took bad strategi c deci si ons?
3 a brand that l ost i ts posi ti on as a top brand but has got i t back?
4 a brand that has been very successful al l over the wor]d?
5 a brand whose reputati on has hetped to attract hi gh-quati ty graduates?
2 Whi ch i ndustri es are menti oned as exampl es of i ndustri es affected by i ttegat copyi ng?
3 The wri ter gi ves three benefi ts of devel opi ng strong brands. What are they?
t 2
i"lffi
j' i
-i
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THi: \r*e\t-{-l[ fiil i?RAt\i*S
C
l 5
D by John Gapper
A A corporate bland. like a human
reputation, is something of great value.
But there is ahvays a temptation to do
something for short-term prolit that
s can damage a brand in the long term.
Many companies have given in to this
temptation and leduced the quality of
their products ol stretched their brands
unr.visely. They then spend years
l0 trying to repair the damage. This gives
t hose compani es t hat manage t o resi st
the temptation the chance to develop
brands that have huge value both to
customers and shareholders.
B Google is an example of an
outstanding brand. The Intemet ss
E
The challenge of keepitrg brands strong
domain name google.com rvas only
registered in September 1997. But,
less than l0 years later. Goo-qle' s
determination to become the top
search-and-information service al lorv-
ed it to outstrip Yahoo. And it did
this at the cost of not putting display
advertisements on its home page.
There have been many examples
of brands that have been dama-eed by
strategic enors. for example Levi' s.
rvi t h i t s unsuccessf ul move i nt o sui t s.
The good nelvs is that rvell-established
brands can recover lvhen things go
wrong. One example is Apple. It
lost its direction after the departure
of Steve Jobs. its co-fbunder. but
regained its position rvith his return.
Apple' s expansion out of computers
into audio and visual products rvas
extremely important in its revival.
Without question, brands are more
important then ever before. More
companies norv consist essentially of
intangible assets such as patents plus
the value of their brands.
' In
today' s
r' vorld, the advantages of innovation
do not last as long, and there are ferver
things that protect companies from
competition. As other things become
equal, they are left rvith brands,'
says the Executive Vice-President of
Millrvard Brown Ootimor.
The lowering of trade barriers,
plus advances in technology and
globalisation, makes it easier for
brands to cross borders. Buyers of
mobile phones around the lvorld
now expect handsets made by Nokia.
Samsung, Motorola or other global
brands. and local brands find it difficult
to compete. Luxuly-goods companies
like LVMH have been vely successful
oo in expanding national brands across
borders and transforming them into
global brands.
F But brands face challenges. One
has come from manufacturers of
o: genelic products in indush' ies such as
pharmaceuticals and the food industly.
Al t hough drugs compani es i nvest
billions in research, they also feel the
need to use marketing to respond to
;o generic competition. Even over-the-
counter medicines such as painkillels
are carefully branded.
G Another challenge is the ease
r.vith rvhich products can be pirated.
zs It is difficult for Western motor
manufacturers to stoD their cars and
trucks being copied. lt is even harder
for entertainment companies to
stop music and films being digitally
so reproduced over the Internet and on
CDs and DVDs.
H Despi t e t hese chal l enges. compani es
that build strong brands have big
advantages over competitors. They
ss allor.v companies to increase their
revenues and margins. There are other
benefits too. For example, a top brand
like Microsoft can recruit the best
graduates from business schools and
m keep them longer.
FT
Answer t hese ouest i ons.
1 The wri ter says,
' But
there i s al ways a temptati on to do somethi ng
for
short-term profi t ...' (ti nes
l -+).
Whi ch sent ence best descr i bes what he i s sayi ng?
a) Compani es al ways want t o t r y t hi ngs t hey shoul dn' t do because t hey can see qui ck pr of i t s.
b, i Compani es ar e al ways l ooki ng f or new ways of maki ng i mmedi at e pr of i t s.
2 The wri ter says,
' Another
chattenge i s the eose wi th whi ch products con be pi rated.' (Ii nes
n-l d.
Whi ch expt anat i on best descr i bes t he phr ase i n i t al i cs?
aJ l t ' s ver y easy t o st eal ot her compani es pr oduct s and sel l t hem t o ot her s.
b) l t ' s easy t o i l l egat t y copy and sel l ot her compani es' pr oduct s.
t 1
tr
Definitions
UNI T3
"
THEVALUEOFBRANDS
Match these words and phrases from the arti cte
(1-8) wi th thei r meani ngs (a-h).
1 st ret ched t hei r brands
2 i ntangi bl e assets
3 patents
4 val ue
5 trade barri ers
6 generi c products
7 revenues
8 margi ns
a) di fference between what i t costs to produce products and thei r
sel l i ng pri ce
b) somethi ng that a busi ness has, but i s not physi cal , so hard to val ue,
e.g. a brand name
c) money that a company recei ves over a peri od of ti me from setl i ng
good or servi ces
d) tegat documents gi vi ng a company the ri ght to sel l a new product
or i nvent i on
e) a product that i s sotd under a general name for a type of product,
rat her t han a brand name
f ) how much somet hi ng i s wort h i n money
g) used a successfuI brand name to sel l other product types
h) somethi ng that makes trade between two countri es more di ffi cul t,
e.g. i mport taxes
tr
Word partnerships
1 damage
2 outstri p
3 l ose
4 regai n
5 face
Match the verbs (1-5) wi th the nouns (a-e) they go wi th i n the arti cl e.
a) i ts posi ti on
b) a brand
c) chattenges
d) a competi tor (Yahoo)
e) di recti on
tr
Word search
Fi nd words or phrases i n the arti cl e whi ch fi t these meani ngs.
1 bi g and i mportant (paragraph A; two words)
2 cause harm to somethi ng (paragraph A)
3 done wi th poor j udgment (paragraph A)
4 extremel y good (paragraph B)
5 be more successful than others (paragraph B)
6 got back somethi ng after l osi ng i t (paragraph
C)
7 the process of becomi ng strong agai n (paragraph C)
8 move i nto other countri es (paragraph
E)
9 changi ng compl etel y (paragraph E)
UN| T3
"
THEVALUEOFBRANDS
Vocabulary development
1 Make a list of word partnerships from the article with the word brond(s).
Organise them into two groups.
a) verb-noun partnershi ps, e.g. damage a brand
b) adi ecti ve-noun partnershi ps, e.g. outstandi ng brand
2 Compl ete these sentences about company recovery usi ngthe words and phrases i n the box.
Make sure the verbs are i n the correct form.
cha[[enges damage l ose di recti on recover stretch regai n repai r revi val
Samsoni t e r ecent l y l aunched desi gner l uggage and has pl ans f or a r ange of hi gh- end men' s
shoes, sungl asses and st at i onar y. l s t hi s a good st r at egy, or i s i t . . . . . . . . t he br and t oo f ar ?
I n t he l at e 90s, Ni ke f aced cr i t i ci sm about poor wor ki ng condi t i ons i n i t s suppl i er f act or i es i n
Asi a. The negat i ve publ i ci t y sever el y . . . . . . . . i t s br and, and i t t ook sever aI year s t o . . . . . . . .
i t s r eout at i on.
Despi t e mar ket i ng ef f or t s t o t ur n t he br and ar ound, Levi St r auss has st i [ [ not managed t o . . . . . . . .
i t s f or mer posi t i on as a t op br and.
Exper t s say MacDonat d' s . . . . . . . . i n t he USA was mai nt y due t o t he di ver si f i cat i on of i t s menu
and l onger r est aur ant hour s.
Expandi ng i n t he USA was a bad st r at egi c deci si on, and i t wi l l t ake t i me f or t he busi ness t o . . . . . . . . .
Fol l owi ng t he depar t ur e of St eve Jobs, Appt e
; but si nce hi s r et ur n, t he company has
gone from strength to strength.
One of t he bi ggest . . . . . . . . t hat phar maceut i cal br ands f ace i s compet i t i on f r om gener i c pr oduct s.
Choose a company that has stretched i ts brand successfutl y or stretched i t unwi sel y. Research your
chosen company, then present your anal ysi s of why the strategy worked
/
di dn' t work.
Di scuss how compani es can prot ect t hei r brands agai nst pi racy when expandi ng gt obat t y.
According to the writer, Luxury goods companies like LVMH have been very successful in expanding
nationol bronds across borders and transforming them into global brands. Why do you think they
have been so successfut?
5
6
2
3
15
Thi s uni t l ooks at the i mportance of creati ng a strong brand i denti ty,
drawi ng on the exampl e of Duracett.
1 Think of two brands that have a memorable name, logo and design.
o
What makes them work for you?
o
What i mage and message do they communi cate to thei r customers?
2 What are the advantages of havi ng a strong brand name, l ogo and desi gn?
tr
Read the arti cl e on the opposi te page and choose the best opti on to compl ete each statement.
1 For conti nued success, i t i s
I
i sn' t enough to focus marketi ng on creati ng a strong brand.
2 Duracell has achieved
I
is stiil working towards its obiective of becoming the top brand for batteries.
3 The main message the brand wants to convey to consumers is that it will last a long time
I
is well designed.
4 The Duracell image and message has changed o lot
I
stayed the some over many years.
5 The brand hos
f
hasn' t succeeded i n becomi ng wel l known a[[ over the wortd.
6 Duracell's, name, design and message hightight the product's attractive appearance
/
benefits
for
consumers.
1 Scan the arti cl e qui ckl y to fi nd i nformati on to compl ete these notes.
Brand name:
Former brand owner:
Current brand owner:
Launch date:
Competitors:
Main consumer benefit:
Design features:
2 Read paragraphs F and G careful l y and answerthese questi ons.
1 How di d the brand i denti ty contri bute to the brand' s growth?
2 What three l essons can other compani es l earn from Duracel l about deve]opi ng a brand i denti ty?
E
1
3
4
5
7
t 5
:l:
:.:::::
:.
t,:-.:
|.::,
t : : :
UNIT 4
' "
DTVELSPIftG A BftAruS i DE}:TITY TFIAT LASTS
Duracell and its longer-lasting looks
by Meg Carter
A Launching a product is one thing;
keeping the product ahead of the
competition is the next big challenge.
As technology allows manufacturers
s to match their comoetitors' latest
ideas ever faster, creating a powerful
brand and effectively managing it over
time is essential to ensure a lasting
competitive advantage.
B To be a business success, an idea
needs not only to be better than its
competitors', it needs to be seen to
be better. And it needs to be protected
from competi ti on by communi cati ng
rs its strengths and points of difference
through visual pointers such as logo,
design and packaging.
C In the case of Duracell, now part
of the Gi l l ette Company. i nnovati ve
zo branding has helped it maintain
its position as the world's leading
manufacturer of high-performance
alkaline batteries for the best part of
40 years.
D The brand was develooed in the US
i n 1963. when i ts then parent company.
PR Mallory, wanted to introduce a new
battery and challenge the dominance
of Eveready, the former market leader.
:o PR Mallory used brand consultants
Lippincott to create a brand identity
for the new battery, and in 1964,
Duracell was launched. The battery
soon overtook Eveready to become
:s the world's biggest-selling alkaline
battery brand
-
a position the business
still maintains in the face of the
recent and rapid rise of supermarkets'
cheaper, own-label products.
E Lippincott's advertising brief in
1963 was to create a new brand that
would help Mallory become market
leader and that would also be strons
enough to carry new product lines.
+s The solution was to oosition the
product as an energy source. and to
do this by focusing on the battery's
major consumer benef,t
-
its longer
life. This inspired the Duracell name,
so which was created to communicate
the concept of endurance, and the
product's distinctive black, white and
copper design.
F The key elements of the Duracell
ss brand identity are the distinctive
name and logo, the colour scheme
and the brand's positioning as the
most enduring alkaline batteries on
the market. These three elements
oo provided a platform for future growth
as the company extended into related
products such as lithium, silver-
oxide and zinc-atr batteries, as well
as lighting products such as torches.
os It was also powerful enough to tum
Duracell into a globally recognised
consumer brand. Since its introduction
in 1964, the brand identity has been
the inspiration for advertising for
zo the brand.
G Duracell offers a number of
lessons for brands today. The first is
the impoftance of thinking beyond
the product itself. Focusing on the
zs product's benefits rather than the
product itself gave Duracell a much
stronger position in the intemational
marketplace. The second is the power
of a strong brand name. Finally, the
so design solution created a new
'visual'
language that became synonymous
with the idea of an endurine source
of enersv.
FT
1 7
UNIT4
"
DEVELOPING A BRAND IDENTITYTHAT LASTS
tr
Choose the best expl anati on for each phrase from the arti cl e.
t
'...
keeping the product ahead of the competition...' (lines z-3)
a) maki ng sure the product stays competi ti ve
b) maki ng sure t he product cont i nues t o be more successf ul t han ot her compet i ng product s
2
'...
challenge the dominance of Eveready...' (lines z8-29)
a) fi ght agai nst Eveready' s posi ti on of power i n the market
b) questi on whether Eveready i s sti l l a power i n the market
3
' ...
to communi cate the concept of enduronce...' (ti nes
5o-51)
a) the i dea of l asti ng over [ong peri ods of ti me
b) the i dea of bei ng unbreakabl e
Match these words and phrases from the article
(1-9) with their meanings (a-i).
a) the basi s on whi ch somethi ng can be devel oped
b) cl osel y connected to
c) was the moti vati on for
d) became more successful
e) somethi ng that hetps you be more successful than others
f) how peopl e thi nk about a product i n rel ati on to a company' s
ot her product s and ot her compet i ng product s
g) i nt roduci ng somet hi ng new
h) shari ng i nformati on wi th others
i ) acti vi ty of gi vi ng brand names to products, devel opi ng peopl e' s
awareness of them. etc.
tr
Definitions
1 l aunchi ng
2 competi ti veadvantage
3 communi cat i ng
4 br andi ng
5 overtook
6 i nspi red
7 posi t i oni ng
8 platform
9 synonymous wi th
g
Word search
Fi nd adj ecti ves or adi ecti val phrases i n the arti cl e whi ch fi t these meani ngs.
1 usi ng new methods and i deas
(paragraph
C)
2 most i mportant (paragraph C)
3 worki ng i n a superi or way to others (paragraph C)
4 di fferent to others and easy to recogni se (paragraph E)
5 l asti ng for [ong ti me (paragraph
fl
6 known al l over the worl d (paragraph F)
UNIT 4
"
OEVELOPING A BRANO IDENTITY THAT LASTS
Word partnerships
1 Match these words to make noun-noun partnershi ps from the arti cl e.
1 market a) bri ef
2 br and b) pr oduct s
3 own- l abel c) i dent i t y
4 adverti si ng d) brand
5 consumer e) l eader
2 Match each noun-noun partnershi p from Exerci se r wi th the correct meani ng (a-e).
pr oduct s sot d by a par t i cul ar shop and have t he name of t hat shop on t hem
a name, symbol and desi gn t hat def i nes and di f f er ent i at es a company' s pr oduct s or ser vi ce
a document whi ch gi ves det ai l s about how a pr oduct wi l [ be adver t i sed
a br and t hat i s sol d di r ect t o consumer s. r at her t han t o busi nesses
pr oduct wi t h t he l ar gest shar e of t he mar ket
Use words from Exerci ses C and D to compl ete these sentences.
1 Ast r ongb. . . . . . . . ; . . . . . . . . uwi t t gi veyouan e. . . . . . . . bmar ket i ngadvant age, soi t ' si mpor t ant t oget i t r i ght .
2 Tesco, t hel . . . . . . . . " UKsuper mar ket chai n, i sf aci ngi ncr easi ngcompet i t i on. Asar esul t , i t hasr educed
t he br anded pr oduct s i t set t s and i s set l i ng mor e o. . . . . . . .
- 1. . . . .
. . . p. . . . . . . . .
o
3 Kodak pr oduced h. . . . . . . .
- p
u
camer as and was t he r yr . . . . . . . . 1. . . . . . . .
o
i n t he phot ogr aphi c f i t m
market, but si nce the arri val of di gi tat cameras, i t has l ost i ts way.
4 What we need i s J. . . . . . . . " and ; . . . . . . . .
o
adver t i si ng t hat wi t t appeat t o t he yout h mar ket . I ' ve gi ven
TouchGl owt hea. . . . . . . . b. . . . . . . . ' Let ' shopet heycomeupwi t hsomecr eat i vei deas.
Choose a br and and make not es f or each of t hese poi nt s.
.
l dent i f u who t he t ar get audi ence i s and what t hei r wi shes and desi r es ar e.
.
Sel ect two uni que benefi ts that make the brand di sti ncti ve and attracti ve to consumers.
.
Expl ai n who the mai n competi tors are and what advantages your chosen brand has over thei r brands.
Thi nk of a company that has successfutl y changed i ts brand i denti ty, (e.g.
Accenture). Di scuss the
r eason f or r ecr eat i ng t he i dent i t y and how i t has been communi cat ed acr oss t he company and t o t he
wi der wor l d.
dl
b)
c)
d)
e)
::11.,:.:
il:i:=
-:....-..=.-'
19
Thi s uni t l ooks at a probl em wi th Mi crosoft' s brand i mage and the company' s
marketi ng strategy for i mprovi ng i t.
1 Whi ch brands do thi nk have a have a strong brand i mage. Why?
2 What ki nd of thi ngs can damage a company' s brand i mage? What can a company do to repai r i t?
3 What words do you associ ate wi th the Mi crosoft corporate brand? the Wi ndows brand?
tr
@
n
n
m
n
T
I
n
u
1 Why was Mi crosoft l ess concerned about consumers i n i ts earl y days?
2 How di d Appte' s entry i nto the market affect Mi crosoft?
3 Why were customers di ssati sfi ed wi th Vi sta?
4 Why was i t i mportant to sotve the Vi sta probl em before putti ng a l ot of marketi ng effort i nto i mprovi ng
t he i mage of t he br and?
5 Whi ch of t he mar ket i ng i ni t i at i ves f or i mpr ovi ng t he br and i mage had not been car r i ed out at t he t i me
t hi s ar t i cl e was wr i t t en? Whi ch wor ds t el l vou t hi s?
tr
Read the arti cl e on the opposi te page. Mark the order i n whi ch these events happened.
a) Compet i t i on f r om Appt e hi ghl i ght ed i nadequacy of t he Wi ndows br and.
b) Mi crosoft pl ans to have representati on i n key el ectroni c retai l chai ns i n the US and
UK and i n ot her st or es, t o suppor t consumer s.
c) 2007]. Mi crosoft l aunched Vi sta, a new Wi ndows operati ng system, but wi th techni cal
and compat i bi t i t y pr obt ems.
d) Mi crosoft l aunched a marketi ng campai gn to i mprove i ts i mage.
e) Level s of customer sati sfacti on i mproved.
f) Wi ndows brand reputati on hi t a l ow
g) Appte [aunched a negati ve adverti si ng campai gn cri ti ci si ng Vi sta.
h) Mi crosoft l aunched an adverti si ng campai gn i n the US to i mprove the i mage of Bi [[ Gates,
the Mi crosoft founder, and the company.
i ) Sati sfacti on l evel s for the Wi ndows brand fe[[.
j )
2008: M i crosoft [aunched a new i m proved versi on of the Vi sta operati ng system.
E
Understandi ngdetai ts
20
Li l tl l T 5
' "
TU*fl l F{* RGUt{S A fi RAnd[.]r IIWA{}H
Microsoft says
'We're
humAn too'
by Richard Waters
Microsoft' s Windo"vs operating sys-
tem, one of the lvorld' s most success-
ful consumer products, is also one of
the rvorld' s most neglected brands.
An estimated lbn people use PCs
that run on Windorvs. Most of the
company' s revenues come from sales
to business customers. and it has no
direct relationship r' vith consumers
-
they have to deai with electronics
retailers and PC manufacturers, not
the company that makes the software.
That r,vasn' t important when Windows
was an unchallenged monopoly, even
if an unloved one. Competition from
Apple' s machines and laptops that run
on the Linux operating system changed
things. Caught in this unfamiliar
competitive situation, the Windorvs
brand has been f ound rvant i ng.
That brand rveakness was uncovered
after the launch of Windows Vista in
2007. Many computer users found that
the ner'v softlvare
'!vas
not comoatible
: s rri t h some ol ' t hei r ol d peri pheral s.
such as printers or scanners, and that it
ran slorvly. Nor did the softrvare have
obvious new consumer benefits.
D Satisfaction was not good, and
:o Apple saw the chance and launched
a devastating anti-Vista advertising
campaign, describing Microsoft's soft-
ware as unstable, exposed to security
threats and very dull. This helped
35 strengthen anti-Microsoft perceptions.
E Microsoft r.vas pushed into action.
The first and most imporlant task
rvas to improve the Vista customer
experience. Without that, any
ro new market i ng i ni t i at i ves t o i mprove
the brand' s image could be counter-
productive. and could tarnish the
brand image even more. Microsoft
claims that since the release of an up-
+s dated version in July 2008, customer
satisfaction levels have imoroved.
rvith 89 per cent of consumers norv
saying they are
' satisfied'
or
' very
satisfied' rvith the softrvare.
F The next t ask was a maj or
marketing push to change how
consumers feel about Windows. That
is not a simple thing to do. It rvill take
a
' philosophical
change' in the rvay
: s Mi crosof t t hi nks about i t s cust ol ners.
says Brad Brooks, Head of Windolvs'
Consumer Product Marketing.
G Their first action was an advertising
carnpaign on US television. featuring
r,o Bill Gates and American comedian
Jerry Seinfeld. By putting Mr Gates
rvith Mr Seinfeld, Microsoft hoped
[o humanise its founder and, by
extension, the company too. Microsoft
6s wants consumers to understand that
' lve
have a sense of humour. we' re
human too' , says Brad Brooks.
H Customer satisfaction has to have a
far more centratposition in Microsoft' s
ro t hi nki ng. Mr Brooks says,
' I t ' s
not
good enoughjust to sell a lot oflicences
or have good business results.' As part
of the marketing push, he plomises a
deeper' conversation' rvith consumers.
rs This means a stronger ernphasis on
retail, with a direct Microsoft presence
planned (a store lvithin a store) at a
number of electronics retail chains.
including Best Buy in the US and
so Dixons in the UK. The company also
has pl ans t o have 150 represent at i ves
in retail stores. Referred to as
' gurus' ,
their job rvill be to help custorners get
more out of their PCs.
J
l 5
20
C FT
1
' ...
when Wi ndows wos on unchal l enged monopol y...' (ti nes rl -r4)
ai had t ot at cont r ol of t he mar ket and t her e wer e no ot her compet i t or s
bi had a t ar ge shar e of t he mar ket , and ot her compani es f ound i t di f f i cul t t o compet e
2
' l t
wi tt take a "phi l osophi col " change i n the way Mi crosoft thi nks about i ts customers...' (ti nes
53-55)
aJ a mor e sensi bt e and cal m way of t hi nki ng about i t s cust omer s
b) a deeper and mor e t hought f ut way of t hi nki ng about i t s cust omer s
UNI T 5
"
TURNI NG ROUND A BMND I MAGE
1 campai gn
2 percepti ons
3 i ni ti ati ves
4 sati sfacti on
5 push
6 l i cences
7 presence
8 gur us
E
Word partnerships
1 busi ness
2 brand
3 consumer
4 adverti si ng
5 cust omer
6 marketi ng
7 retai l
tr
Definitions
Match these words from the article (1-8) with their meanings
(a-h).
a) push
b) customers
c) weakness
d) sati sfacti on
e) campai gn
f) stores
g) benefits
Fi nd three other noun-noun partnershi ps i n the arti cl e, one that starts wi th each of
these words: brand, marketing and business,
!|
Word search
1 not l ooked after properl y (paragraph A)
2 not good enough (paragraph B)
3 found after bei ng hi dden (paragraph
C)
4 very damagi ng (paragraph D)
5 make stronger (paragraph D)
5 havi ng the opposi te effect (paragraph E)
7 damage the reputati on of somethi ng (paragraph E)
8 vi si bte (paragraph H)
Fi nd another noun wi th a si mi l ar meani ng to l ounch i n paragraph E.
Does it have exactly the same meaning?
a) a peri od of determi ned effort
b) new acti ons
c) bei ng i n a pl ace
d) a ptanned group of acti vi ti es to achi eve a speci fi c resul t
e) ways you t hi nk about somet hi ng
f) experts who gi ve advi ce
g) feel i ng pteased when you have got what you wanted
h) offi ci al documents gi vi ng permi ssi on to use somethi ng
22
7
2
UNI T 5
"
TURNI NG ROUND A BRAND I MAGE
You can use the prefi x anti - wi th adj ecti ves and nouns to show that you
are agai nst or opposed to somethi ng, e.g. onti -war
:
ogai nst war.
Fi nd two exampl es of phrases whi ch use the prefi x onfi -.
Rephrase these sentences using the preftx anti-.
1 | am opposed t o t he use of nuct ear power .
2 Many peopl e ar e agai nst expansi on of t he Eur opean Uni on.
3 Ther e i s a l ot of f eel i ng agai nst Amer i cans t hese days.
4 Many web user s ar e opposed t o t he use of adver t i si ng on t he I nt er net .
Add at l east two more of your own examptes to Exerci se 2.
Preposi ti ons
Compl ete these sentences usi ng the correct preposi ti ons.
1 Vi st a wasn' t compat i bt e. . . . . . . . some ol der pr i nt er s and scanner s.
2 Mi crosof t f aced i ncreasi ng compet i t i on . . . . . . . . Appl e.
3 Fol l owi ng t he ret ease. . . . . . . . t he updat ed versi on of Vi st a, cust omer sat i sf act i on l evel s rose.
4 As part . . . . . . . . Mi crosof t ' s ef f ort s t o i mprove i t s i mage, t here wi l t be more emphasi s . . . . . . . .
retai I customers.
1 Choose a corporate brand or product brand that has suffered from a poor brand i mage.
a) Do some research t o f i nd out what happened.
b) Wri te a short report or gi ve a presentati on, expl ai ni ng:
.
why and how i t tost i ts good reputati on
o
what acti on the company took to repai r i ts i mage
.
the resul ts.
2 What marketi ng acti vi ti es coul d be used to repai r the i mage of a brand whose reputati on has
been damaged by:
a) a safety or envi ronmental probl em?
b) a scandal i nvol vi ng unacceptabl e worki ng practi ces i n an emergi ng market?
3 Do you thi nk the marketi ng i ni ti ati ves descri bed i n the arti cl e wi l l be successfuI i n i mprovi ng the
Mi crosoft' s i mage?
4 Research any other marketi ng i ni ti ati ves Mi crosoft have taken si nce thi s arti cl e was wri tten and
assess how successful thev have been.
23
Thi s uni t l ooks at the approach to sel l i ng coffee taken by Nespresso.
1 In your country, where do peopl e buy premi um coffee?
o
supermarkets
o
mai l order by phone or on the Internet
o
speci al i st shops
o
in coffee bars
2 Successf ul l uxury brands, such as Lui s Vui t t on, onl y sel l t hrough t hei r own branded shops.
Why do you thi nk thi s has been such a successfuI strategy?
3 Other profi tabl e compani es, such as Appte, sett thei r brands through other retai ters and al so
have thei r own stores, often i n mai n ci ti es. What are the advantages of such a strategy for
the company and i ts customers?
tr
2
3
tr
Read the article on the opposite page and say whether these statements are true (T)
or false (F).
1 Nespresso onl y sel l s coffee.
2 l t sel l s coffee to i ts retai l customers through i ts mai [-order busi ness, Nespresso Cl ub.
3 Nespresso onl y has retai l customers.
4 The ai m of i ts bouti ques i s to gi ve consumers the chance to try the brand di rectty.
5 The company has coffee bouti ques i n key ci ti es al l around the worl d.
5 The company pl ans to devel op the bouti que caf6s as a chai n of hi gh-quati ty coffee bars.
Scan the arti cl e qui ckl y to fi nd thi s i nformati on.
1 The percentage of coffee sal es that come from thei r Internet si te
2 The percentage oftotal sal es that come from the bouti ques
3 The number of bout i ques worl dwi de
4 The ci ty wi th bi ggest bouti que bar
Read paragraph F carefully. In what way are Nespresso and Heineken's retail strategies simitar?
Read paragraph H carefully. How does Nespresso expect the boutique bars to contribute to sales?
UNI T 6
' "
I MPROVI NG CUSTOMER EXPERI ENCE
C
by Jenny Wiggins and
Haig Simonian
A Think of the reception desk of a
designer hotel with an expensive
fashion display and you get some idea
of what a Nespresso
'coffee
boutique'
s is like.
B In developing the boutiques,
Nespresso is following the example
of other consumer goods companies,
such as Apple computers and Louis
ro Vuitton luggage, which use their
own retail outlets to sell products
and create a sophisticated image for
the brand.
'We're
selling the ultimate
coffee experience,' says Gerhard
rs Berssenbriigge, Nespresso's Chief
Executive.
How to serve a bespoke cup of coffee
Nespresso, a subsidiary of the Swiss
group Nestl6, began life in 1986 as
a mail-order business selling coffee
capsules for espresso machines that
people use at home. Then it started
selling coffee machines made by third
parties (including Krups and Siemens),
but branded under the Nespresso
25 name. The machines retailed through
carefully selected shops, but the coffee
was sold directly to people who joined
Nespresso Club, a mail-order business,
which now gets half its sales online.
D As Nespresso planned further
expansion
-
pushing the brand into
hotels, restaurants, offices and first-
class airline services
-
it wanted
people to have first-hand experience
:s of its coffee. This explains the opening
of the boutiques, which now accounts
for about 25 per cent of sales.
E Companies selling consumer
goods are often dependent on third
40 party retailers for the marketing
and placement of their products. As
a result, branding consultants say
they need to move beyond selling
'a
product in a box'to offering a
'service
+s exoerience'.
F Rlta Clifton, Chairman of
Interbrand, says opening retail outlets
allows companies to
'control'
their
customers' experience of the brand.
so Heineken is taking a similar approach
to Nespresso by linking food rvith beer.
It opened a restaurant, Culture Bidre,
on the Champs Elys6es two years ago
and more recently a Heineken bar at
ss Hong Kong airport.
G Nespresso's key outlets are divided
between small bars in shops (typical in
Asia and the Netherlands and now in
London); large standalone boutiques;
oo and the latest boutique bars, where up
to halfthe total area of400*450 square
metres is for drinking coffee. The
boutique concept plays a critical role
i n devel opi ng customer i nteracti on
os with the brand
-
providing a place
where customers can experience the
ultimate coffee experience.
H Mr Berssenbrtigge stresses that
Nespresso does not plan to become an
zo upmarket coffee chain and does not
expect to make money from selling
cups of coffee, even though prices are
high. But he hopes that once customers
see how its coffee machines work, they
zs will be persuaded to buy them, and
will also purchase accessories such as
coffee cups.
I Today, Nespresso has over 170
boutiques. They are located in elegant,
so upmarket shopping areas in key cities
round the world, including one in Paris
on the Champs Elys6es, which, at
I
,700
square metres, will be its biggest.
Mr Berssenbriigge has further plans
ss to expand the network of boutiques
and is confident that they will help
Nespresso become a lifestyle brand.
FT
Choose the best expl anati on for these i deas from i n the arti cl e.
1
'Rita
Clifton
f
...] says opening retail outlets allows companies to "control" their customers'experience of
the brand.'
(ti nes
+6-+9)
a) Havi ng thei r own shops gi ves retai l ers the chance to i nfl uence how customers rel ate to the products.
b) Owni ng t hei r own shops gi ves r et ai l er s power t o cont r oI what cust omer s do i n t hei r shops.
2 Mr Berssenbrti gge
1...1
i s confi dent that the bouti ques wi tt hetp Nespresso become a l i festyl e brand.
[i l ne 67)
a) a br and t hat wi t t t ot al l y change how cust omer s l i ve t hei r l i ves
b) a br and t hat f i t s i n wi t h t he way peopl e l i ve t hei r l i ves
25
illl
UNIT 6
' >
IMPROVING CUSTOMER EXPERIENCE
tr
Word partnerships
1 consumer
2 retail
3 mai l -order
4 thi rd-party
5 customer
6 coffee
a) chai n
b) interaction
c) outlets
d) busi ness
e) retailers
f) goods
Match each noun-noun partnership from Exercise 1 with one of these definitions (a-f).
a) shops through whi ch products are sol d di rect to consumers
b) a group ofcoffee shops owned and managed by the same company
c) products
sol d di rect ro consumers
d) a type of busi ness i n whi ch the buyer chooses goods at home, orders by phone or on the
Internet and recei ves the goods from the company by post or del i very servi ce
e) other compani es that sel l a company' s products di rect to thei r customers
f) the process of a customer bei ng affected by somethi ng, e.g. a brand
tr
Word search
Find adjectives in the article which fit these meanings.
1 appeal i ng to fashi onabl e peopl e (paragraph
B)
2 the very best (paragraph
B)
3 chosen (paragraph
C)
4 gai ned by doi ng somethi ng yoursel f (paragraph D)
5 i ndi vi dual or separate (paragraph
G)
6 hi gh qual i ty and i ntended for weal thy customers (paragraph
H)
7 wel l desi gned and styl i sh (paragraph
l )
g
Prepositions
Complete these sentences using the correct preposition.
1 Al t i t s cof f ee machi nes are branded . . . . . . . . t he name of Nespresso.
2 The coffee was sol d di rect . . . .. . . . peopl e who
j oi ned
the Nespresso Cl ub.
3 The company ret ai l ed t he cof f ee machi nes . . . . . . . . caref ul l y set ect ed shops.
4 Hei neken i s t aki ng a si mi l ar approach . . . . . . . . Nespresso.
5 The bouti ques pl ay a cruci al rol e ........ devel opi ng customer i nteracti on wi th a brand.
5 Nespresso does not expect to make money........ sel l i ng coffee i n i ts bar bouti ques.
26
UNI T 6
"
I MPROVI NG CUSTOMER EXPERI ENCE
Word families
1 Complete the the first two columns of the chart with verbs and nouns from the article.
verb noun word partnerships
consume c ons umpt i on
|
. . . . . . ' cont umer qooat
3/
retai l er
br andi ng
I
. . . . . . . . t
i nt er act
exDenence
Add at l east one word partnershi p from the arti cl e for each word fami l y i n the thi rd col umn of the chart.
Sentence completion
Use words from Exercise Dr to complete these sentences.
1 St r ong. . . . . . . . hel ps consumer s make sense of t he vast number of pr oduct choi ces and messages t o
f i nd sol ut i ons t hat f i t t hei r needs.
2 Ever y. . . . . . . . needs t o exami ne t he per son- t o- per son and shoppi ng. . . . . . . . t hat i t cur r ent t y of f er s t o
see where i t i s fai ti ng to meet customers' expectati ons.
3 The l evel of . . . . . . . . of I uxur y goods wi l [ pi ck up once t he economy i mpr oves.
4 l t i s i mpor t ant t hat cust omer s wal k away f r om ever y . . . . . . . . wi t h a company f eel i ng sat i sf i ed.
5 Googl e has managed t o . . . . . . . . i t sel f as t he sear ch engi ne of choi ce f or t he l nt er net .
6 The deci si on i s t o . . . . . . . . our f ul l r ange t hr ough speci al i st heal t h shops.
1 How does Nespresso di ffer from a successfuI coffee chai n l i ke Starbucks?
Di scuss:
.
t he product
o
i ts posi ti oni ng
r
t he cust omer experi ence.
2 Choose one of these types of compani es. What ki nd of customer experi ences can i t create to hel p
devel op a strong rel ati onshi p between i ts brands and customers?
o
a chai n of heal t h-f ood shops
.
a furni ture company that sel l s an upmarket modern furni ture and househol d goods on the Internet
and through i ts retai [ shops i n key ci ti es
.
a speci al i st devel oper of educati onal toys that sel l s onl y on the Internet
27
This unit looks at Toyota's attempts to attract younger buyers.
1 How do peopte buy cars i n your country, e.g. through a car deal ershi p, on the Internet, pri vatel y through
adverts i n newspapers, etc.?
2 What channel s are most often used to adverti se cars i n your country?
3 What i nfl uenced your deci si on to buy your l ast car, e.g. fuel economy, pri ce, range of accessori es and
opti ons, rel i abi l i ty, etc.?
4 When buying a car, which three factors do you think would most influence the decision for 18-24-year-olds?
tr
tr
Read the arti cte on the opposi te page and choose the best opti on to compl ete each statement.
1 Scion is the name of a Toyota cor model
I
brand.
2 The brand is aimed at a young market
f
anyone wanting an unusual small car.
3 Scion and Toyota use fhe some
I
different approaches for selling cars.
4 Scion offers its customers models thatcan be customised I are standord.
5 The adverti si ng channel s that Toyota uses to promote i ts brands work equal l y wel l
I
don' t work wel l for
reachi ng Sci on' s target market.
5 Scion has
I
hosn't had att the success it wanted in attracting 78-24-year-old buyers.
1 Why was the Sci on brand created?
2 Who i s responsi bl e for each of these functi ons, Sci on
(S)
or Toyota (T)?
a) producti on
b) devel opi ng marketi ng i deas
c) promoti ng the cars
d) processi ng orders and i nvoi ces
e) di stri buti on
3 Sci on has created an l nternet si te where customers can buy the cars. What makes thi s approach to
setti ng attracti ve to young customers?
4 Why are adverti si ng costs per vehi cte l ower for Sci on than for other Toyota brands?
5 Why has the Xb mi ni been a success wi th customers aged 40-50?
5 Why di d the l aunch of Toyota Yari s have a negati ve effect on Sci on sal es?
28
UNI TT
"
TARGETI NGAYOUI H MARKET
Toyota looks to learn from Scion
by Bernard Simon
A Toyota created the Scion brand in
2002 to solve a problem: the average
buyer of its Toyota and luxury
Lexus models was 54, and it needed
5 to attract the twentysomething buyer
to the Toyota family.
B The Scion division currently has
three models on the road: the xAhatch-
back, the xB mi ni van
-
someti mes
ro compared to a shoebox or microwave
oven on wheels
-
and the tC sports
car. Toyota builds the cars and handles
the distribution through its dealerships
and other administrative functions.
rs Scion itself, based in Califomia,
has just
a small team of about 17.
C Besides producing funky cars,
Scion has taken a new approach to
selling them, seeking to tap into the
zo lifestyle oftheir l8-24-year-old target
audience.
D Customers can buy cars through
the Toyota dealership or the Scion
website. In fact, most cars are sold
zs on the Intemet. and prices are non-
negotiable, helping to speed up the
buyi ng process and mi ni mi se ti me
spent in the car dealer's showroom.
E Sci on ai ms to gi ve buyers maxi mum
:o flexibility to personalise their cars. A
choice of almost 40 accessories and
options is available, potentially adding
several thousand dollars to the cost of
the car. Choices include gold, black
:s or chrome licence-plate frames, three
sound systems, amber or blue interior
lighting and silver pedal covers.
F Scion found that the industrv's
normal advertising channels have
+o little relevance for the youth market. It
spends less on advertising per vehicle
than for any other brand because it does
not use mainstream newspapers or TV
stations. Instead, dealers prefer tactics
as such as arriving unannounced with the
cars at trendy music or clothing stores.
G The company organises about
100 promotional events each month,
three-quarters of them at nightclubs.
so It supports DJs and film-making
competitions, and is a key sponsor of
a national video-game league. Scion
has also set up its own record label.
H Not everything has gone quite as
s5 the Japanese carmaker planned. The
xB minivan has been a unexpected
success among people in their late 40s,
who were attracted by the fashionable
styling and also found it easy to get
oo in and out of. Meanwhile, Toyota
has taken steps to make its own
brand more appealing to younger
consumers. Its small Yaris hatch-
backs also target buyers in their
es 20s and 30s, which has had an impact
on sales of the Scion models.
I Scion buyers now have an average
age ofjust 31, so Toyota has without
doubt found a new market. There are
uo also signs are that otherToyota brands
have begun to use some of Scion's
novel marketing ideas. For example,
Prius, Toyota's petrol-electric hybrid
model, has offered test drives at a
zs chain of natural-food supermarkets.
FT
Searching for figures
Scan the arti cl e qui ckl y to fi nd these numbers. Say what each one refers to.
a) 2oo2
b) 54
c ) 3
d) 77
e) 1,8-24
t) 40
g) 100
h) l r
29
tr
Definitions
ilIil
UNIT 7
' >
TARGETING AYOUTH MARKET
Match these words from the articte (1-7)
with their meanings (a-g).
1 deal er shi ps
2 target audi ence
3 accessori es
4 opt i ons
5 rel evance
6 TV stati ons
7 tacti cs
2
3
tr
Vocabularydevelopment
1 Match these words and phrases from the arti cl e to make expressi ons for descri bi ng the age
of Sci on' s customers.
1 the twentysomethi ng
a) i n thei r tate 40s
2 78-24-year-old
b) ofjust:t
3 peopl e
c) buyer
4 buyers
d) target audi ence
5 an average age
e) i n thei r 20s and 30s
tr
Word search
Fi nd adj ecti ves i n the arti cl e whi ch fi t these defi ni ti ons.
1 typi cat (paragraph
A)
2 aged around 20 (paragraph
A)
3 can' t be changed (paragraph
D)
4 very establ i shed and general l y accepted (paragraph
F)
5 happeni ng suddent y and unexpect edt y (paragraph
f l
5 attracti ve and desi rabl e (paragraph
H)
7 unusual and i nnovati ve (paragraph
l )
Fi nd two words that al so mean
fashi onobl e,
but are more col l oqui al and i nformal .
Match each word from Exerci se 2 wi th i ts defi ni ti on.
a) i nf l uenced by t he most recent f ashi ons and i deas
b) t i ked because i t i s unusual and unconvent i onal
a) compani es whi ch send out tel evi si on broadcasts
b) extra features chosen from a set of possi bi l i ti es
c) the degree to whi ch somethi ng i s useful
d) the speci fi c group of peopte that a product
i s meant to attract
e) busi nesses t hat set t t he car s of a par t i cul ar
company
f ) met hods of doi ng somet hi ng
g) non- essent i al equi pment t hat can be added t o a basi c mode[ .
e.g. audi o system, seat covers
What age are these target groups? Choose the correct options.
1 Our target market is people in their early 30s.
a)30-33 b)34-35 c)37-39
2 0ur bi ggest market i s ol der peopte i n thei r mi d-60s.
a) 67-63 b) 64-66 c) 67-69
3 The key market for the new range wi l l be women i n thei r l ate
4os.
a) 40-43 b) 44-46 c) 47-49
Repl ace the phrases i n i tal i c. Use the phrases i n Exerci ses 7 and2 to hel p you.
1 Ourtarget market i s young peopte between the ages of 27 and 29. i n thei r l ate 70s
2 The target group for our fi tness machi nes i s women who are 5U60.
3 Most customers ore under 30.
4 With the Fitkit DVD, we hope to attract men who ore over 40.
5 The group we are ai mi ng at are young peopl e i n thei r l ate teens.
tr
Prepositions
1 Appt e hopes t o at t ract more busi ness cust omers . . . . . . . . i t s range of comput ers.
2 Di st ri but i on of al l our product s i s handl ed . . . . . . . . our cent ral warehouse.
3 Of f eri ng di scount s has had an i mpact . . . . . . . . sal es, whi ch are up 10%.
4 One way t o speed . . . . . . . . order processi ng woul d be t o have more st af f i n our cat l cent res.
5 Thi s year, we pl an t o set . . . . . . . . f our new deal ershi ps i n t he west of t he count ry.
6 Many compani es ar e t r yi ng t o t ap . . . . . . . . consumer s' i ncr easi ng i nt er est . . . . . . . . envi r onment al i ssues.
UNI T7
"
TARGETI NGAYOUTH MARKET
Do you thi nk that Toyota' s strategy of devel opi ng and marketi ng cars speci fi cal l y for a youth market i s a
good strategy? Present your vi ews, gi vi ng reasons and exampl es to support your posi ti on.
Desi gn the perfect car for an urban youth market (ages 18-24).
a) Li st the needs and desi res ofthi s target group and the features the car shoul d have.
b) Ptan some promoti onaI acti vi ti es for i ts l aunch i n your area over the next two months.
Create some promoti onal acti vi ti es and events to adverti se one of these products:
.
a new mobi l e ohone servi ce
.
a heal t h dri nk
.
a DVD fi l m rental servi ce on the Internet
a) Deci de on your target market and detai l s of the product or servi ce. Then ptan your acti vi ti es.
b) Present your pl an as a short report or presentati on.
31
Thi s uni t l ooks at devel opments i n Internet retai ti ng and the features
needed by successful websi tes.
1 What ki nd of products or servi ces do you buy on Internet shoppi ng si tes?
2 What are the advantages for consumers of buyi ng onl i ne?
3 What are advantages for retai l ers of havi ng a vi rtual store?
4 What do you thi nk are the seven top qual i ti es and features for a successful shoppi ng websi te?
tr
Read the article on the opposite page and say whether these statements are true (T) or false (F). Correct
the false ones.
1 To compete, retai l ers need websi tes that have l ots of di fferent techni caI features that wi l t i mprove
customers' shoppi ng experi ence.
2 Most consumers today no l onger expect retai l ers to have physi cal shops.
3 Consumers sti tl see shops as the best source of product i nformati on.
4 Advances i n web technol ogy mean that retai l ers can have a
' vi rtual '
catal ogue of al l thei r products on
thei r si tes.
5 Advances i n web technol ogy have i ncreased the marketi ng opti ons for promoti ng products onl i ne.
6 For onl i ne retai l ers, the mai n customer servi ce i ssue i s maki ng sure the si te i s easy to use.
7 As websi te technol ogy changes so fast, retai l ers need to make web devel opment an ongoi ng acti vi ty.
8 Anatysi ng data i s an i mportant way of respondi ng to customer concerns about the websi te.
Read the arti cl e agai n and mark the order i n whi ch the wri ter menti ons these features of an Internet
shopping website.
a) Be easy to use
b) Have technol ogy for col l ecti ng data about customers, e.g. a regi strati on form
c) Have an attractive appearance that clearly reflects the retailer's business
d) Be abl e to show al l products, e.g. through an on[i ne catal ogue.
e) Use the ri ght technol ogy sol uti ons to deal wi th acti vi ti es, from orderi ng through to del i very
of oroducts to the customer
f) l ncl ude a wi de vari ety of features for creati ng a good shoppi ng experi ence
g) Be abl e to del i ver di fferent types of web content fast and easi l y, e.g. vi deo, graphi cs, audi o, etc.
T
T
n
n
n
tr
n
32
}i
il
!l{;
Il
F,..
1;
ir
by Robert Bredlau
A As the first point of contact for new
customers, a company website is
one of. il not the most important
channel to market. To be noticed in an
s increasingly competitive marketplace,
e-businesses need to introduce a
wide variety of features to their
websites to improve their customers'
shopping experience. But what does
l0 a more interactive and interesting
website really mean for the e-tailer?
B The development of a multichannel
marketplace is having a big impact
on the retail market. Customers can
rs balance their purchasing between the
online and the offline world. Offering
a multichannel service provides
customers with the flexibility they
have come to expect.
C Customers are becoming more
demanding as they search for greater
convenience and value online. With
70 per cent of consumers searching
for product information online before
zs making a purchase (according to
Accenture. 2007). shop assistants are
no longer regarded as fashion expefts
or authorities on hi-tech cameras and
plasma televisions. Consumers are
so more informed than ever. tumine to the
MAKING THE MCIST OF AI{ ONLINE STORE
Intemet for the latest
product
reviews.
D As retailers increasingly adopt next-
generation e-commerce functionality,
they are able to market their products
:s in more exciting ways. Retailers
can now display their full range of
products online, and not suffer from
limited shelf space as they would in
a physical store. They can also use
+o
'scarcity'
tactics: for example, they
can put products into limited-edition
categories or limit availability online.
Tactics like these give the impression
that products are in short supply and
qs
so increase demand.
E As Internet retailing matures,
customer expectations are changing.
Today, customer service is the new
priority, especially in terms of usability
so
-
a good returns policy, geographical
awareness and how the website
is presented. Retailers also need
to have all the technology in place to
ensure that product is delivered to the
ss customer as ordered.
F A company website needs to be
user-friendly. It also needs to be in-
formative, attractive and capture the
essence of the business. The systems
eo used to build these websites need to
deliver all types of content
-
video,
print,audio,PDFs andimages-quickly
and easily. But website development
and content delivery can evolve quick-
os ly. In order to remain competitive, retail
companies must be flexible and update
web technologies to ensure they can
meet the future needs of the business.
G Retailers also need to analyse data
zo effectively to ensure they are respon-
sive to changing customer needs,
and use this information to create
websites that build and develop
customer interest. Only when they
;s have done this will they be able to
attract new business and meet the
chal lenges of a fast-changi ng economy.
FT
UNI T 8
" '
Connecting with customers
through online content
33
illlll
UNIT 8
' '
MAKIT' IG THE MOST OF AN ONLINE STORE
tr
1
' The
devel opment of a mul ti channel marketpl ace ...' (l i nes rz-r3)
a) a busi ness worl d i n whi ch goods are sol d t hrough a combi nat i on of sal es channel s
b) a ptace where products are sol d di rectl y or i ndi rectl y to customers
2' ... next-generoti on e-commerce
functi onal i ty...'
(ti nes
32-3)
a) advanced technol ogy for onl i ne sel l i ng that comes from a rel ated busi ness area
b) an i mproved versi on of technol ogy for Internet sel l i ng that has l ots of new advanced features
3
'They
can also use "scorcity" tactics...'
(tines
3g-4o)
a) market i ng t echni ques t hat creat e an i mpressi on t hat t here i s a l i mi t ed suppt y of a product
b) di shonest t act i csusedt ot r i ckpeopl ei nt opayi ngmor ebecauset heyt hi nkt her ei sashor t ageof a
product .
4
'...
capture the essence ofthe business.'(lines
S8-Sg)
a) gi ve a short summary of t he i mport ant f act s about t he company
b) show ctearl y i n words or i mages the essenti at qual i ty of a company
Match these words and phrases from the arti cl e (1-7) wi th thei r meani ngs (a-g).
a) cri ti caI eval uati ons of somethi ng
b) bei ng qui ck and easy t o do
c) an i tem produced i n a speci fi c quanti ty, j ust
for a l i mi ted ti me
d) how easy i t i s to use a websi te
e) the graphi cs, sound, vi deo and text that make up a web page
f) experts
g) an understandi ng of where customers are for effecti ve di stri buti on
a) web content
b) data
c) products
d) a purchase
E
Definitions
1 conveni ence
2 aut hori t i es
3 reviews
4 l i mi t ed edi t i on
5 usabi ti ty
6 geographi caI awareness
7 content
tr
Word partnerships
1 mul t i -channel
2 product
3 cont ent
4 websi te
1 make
2 di spl ay
3 del i ver
4 anal yse
1 Match these words to make noun-noun partnershi ps from the arti cl e.
a) review
b) deti very
c) devel opment
d) servi ce
2 Match these words to make verb-noun partnerships from the article.
34
UNIT I
"
MAKING THE M05T OF AN CINLINE STORE
Word search
1 Fi nd words and phrases i n the arti cte whi ch fi t these meani ngs.
1 expecti ng a tot (paragraph C)
2 wor t h t he money pai d ( par agr aph C)
3 knowt edgeabl e ( par agr aph
C)
4 not enough t o meet demand
( par agr aph D)
5 becomes more devel oped (paragraph E)
6 graduatty change over ti me (paragraph F)
7 qui ck to react (paragraph
G)
2 Enoi l i ng i s short for' el ectroni c retai l i ng' . Fi nd three other words i n the arti cl e that start wi th
' e' .
Whi ch one means
' l nternet
retai l er' ? Whi ch refer to el ectroni c buyi ng and sel l i ng?
3 Fi nd fi ve adj ecti ves used to descri be the qual i ti es of a good websi te
Sentence completion
Use words and phrases from the Exercises A-D to complete these sentences.
1 We have exper i ence i n het pi ng maj or r et ai l er s t o pt an t hei r e- b. . . . . . . .
u
and advi si ng on a m. . . . . . . . - c. . . . . . . .
o
servi ce, so that they can offer customers both onl i ne and
' bri cks
and mortar' shoppi ng.
2 We can al so hel p you wi t h al t aspect s of w. . . . . . . . d. . . . . . . .
u
and make sur e your si t e del i ver s sui t abl e
a -
3 Today' s mor e d. . . . . . . .
u
shopper s ar e l ooki ng f or hi gher quat i t y and bet t er v. . . . . . . .
o
pr oduct s f r om at t
e- . . . . . . . . ' .
4 Our websi t e wi l t of f er t hem
p. . . . .
. . . r . . . . . . . . " t hat ar e i . . . . . . . .
o
and r ef er ences f r om sat i sf i ed cust omer s t o
het p t hem make i . . . . . . . . ' pur chasi ng deci si ons.
1 Creati ng a sense of scarci ty i s a usefuI marketi ng tacti c to get more customers to buy more.
.
Why does thi s tacti c work so wel l ?
o
What ki nd of acti vi ti es work best?
r
Are there any ri sks associ ated wi th i t?
Research some examptes of compani es that have successfutty used scarci ty tacti cs to i ncrease demand
and persuade cust omer t o make a purchase. Then present your resul t s.
Compare the websi tes of two or three competi ng e-tai l ers.
aj Make not es on:
r
f unct i onal i t y
t
appear ance
b) Take some
' screen
grabs' and use them i n a presentati on of the resul ts.
I ncl ude suggest i ons f or i mprovi ng t he websi t es.
.
usabi l i t y
.
shi ppi ng and ret urns arrangement s.
35
Thi s uni t l ooks at the chal tenges of retai ni ng customers i n Internet retai ti ng.
1 Have you ever had a bad experi ence buyi ng onti ne? what ki nd of thi ngs can go wrong?
2 l f you experi ence techni caI probl ems when orderi ng onl i ne, how many ti mes are you wi tl i ng
to try to compl ete the order before you gi ve up?
3 What fi ve i mprovements coul d Internet retai l ers make to thei r websi tes to gi ve prospecti ve
customers a better experi ence?
tr
tr
Read the arti cl e on the opposi te page and choose the best opti on to compl ete each statement.
1 The wri t er t hi nks t hat , f or consumers, onl i ne ret ai t i ng has . . . . . . . . pot ent i at .
a) tittle b) a lot of
2 Accordi ng to the survey, consumers who have a l ot of techni cal probl ems when tryi ng to buy
onl i ne ar e t i ket y t o . . . . . . . .
a) compl ai n a l ot to customer servi ces.
b) l eave the si te and/or go to a competi tor' s si te.
3 The wri t er t hi nks consumers want si t es t hat . . . . . . . .
a) work wel t and are easy to use.
b) offer an easy way to contact customer servi ces.
4 For an onl i ne sal es channel , provi di ng excel t ent cust omer servi ce i s . . . . . . . . f or ot her channel s.
a) more i mportant than b) equal l y i mportant as
5 The art i cl e i ncl udes f our act i ons f or i mprovi ng. . . . . . . .
a) customers' experi ence of usi ng the si te.
b) the way compl ai nts are handl ed.
1 Read the article again. These statements about the Harris Interactive survey are not quite accurate.
Fi nd the mi stakes and correct them.
1 Forty-one per cent of al l those surveyed i n the UK prefer
to do busi ness onl i ne.
2 Compared to the UK, more peopl e i n the USA are ti kel y to l eave the si te and/or go to a competi tor' s
si te i f they have probl ems wi th a transacti on.
3 In the USA,
j ust
under 40 per cent of onl i ne adul ts sai d they woul d l eave the si te or go to another
si te when they experi ence di ffi cul ti es.
4
Just over 85 per cent of US onl i ne users expect to be abl e to compl ete an onl i ne transacti on i n
one attempt.
36
Customer experience is key
in protecting online sales
by Rebecca Ward
A Shopping online makes sense for
consumers
-
the r.veb can save both
money and time, and offers them the
convenience of a very large selection
s of products. A recent Harris Int-
eractive survey, commissioned by
Tealeaf, a specialist in customer
experi ence management sof t rvare,
revealed that in the UK. over half
ro of al l onl i ne adul t s (52 per cent )
generally prefer to do business online
(compared to 4l per cent in person).
B But r.vhat happens when a consumer
tries to purchase online and sornethin-q
15 goes rvrong? Perhaps they are not
allorved to log in, or their shopping
cart mysteriously empties, or the site
retums an unclear error message.
I n a physi cal st ore. an assi st ant
zo might be found to help, as leaving
the store and finding another retailer
r' vould mean a lot of effort. Online
horvever, competition is only a click
or two away.
C For onl i ne busi ness success.
it is important to have an effective,
intuitive website, or flustrated
oniine customers lvill go straight
to competitors. The impact of poor
:o online customel experiences is rnuch
bigger than many might think. The
Harris survey identified a high level
of consumer abandonment rvhen they
experience online problems.
D According to the survey. 49 per
cent of British online adults rvho
experience problems rvhen conducting
a transaction online rvould probably
abandon it or srvitch to another site.
+o A similarly lvorrying number of US
online adults (41 per cent) would also
slvitch to a comoetitor or abandon after
: *i t ! T
*
"'
i {i i l i : i i G i i l i Li Nl l H {l JSg*i "t t i q: :
encountering an online transaction
problem. The potential impact for
45 revenues i s seri ous.
E Companies must give customers
the best site experiences possible.
A large number of online users feel
there is no reason rvhy an online
so transaction cannot be comoleted at
t he f i r' st ct t empt (87 per cenr of Bri t i sh
and 84 per cent of US of online adults
surveyed). Yet. rvhen problerns do
occur
-
and due to the cornolexitv
ss of t he rveb and probabi l i t y of human
errof they inevitably rvill happen
-
it
is essential to be able to suppofi the
online customer.
F Although it rvas assurned that the
oo self-service nature of the r.veb r,vould
make customer service and the
costs associated
' ,vith
it obsolete. the
opposite has proven true. Exceptional
customer service is essential for all
os channel s. at al l t i mes.
G Providing customers r,vith high-
quality service means that organisations
need to understand customers'
behaviour and knorv rvhat is happenin-q
70 on their rvebsite. Comoanies r.vill
beconre ski l l ed at i mproi i ng onl i ne
customer experience by implementin-e
these four steps:
I Moni t or i ng cust omer exper i ence
1s key pelfolmance indicators (KPIs),
such as shoppi ng cart abandon-
f l ent rat es.
2 Proactively investigating and res-
ponding to knorvn technical issues.
so 3 Listening to customers and using
their feedback to gain a better
understanding.
4Pr i ol i t i si ng cu\ t or nel exper i ence
i ssues based on busi ness i moact .
FT
I Read paragraphs A and B careful l y and answer these questi ons.
. i The wr i t er gi ves t hr ee r easons why shoppi ng onl i ne i s a good sol ut i on f or consumer s.
What ar e t hey?
2 The wr i t er ment i ons t hr ee t ypi cal pr obl ems t hat peopl e can have when t r yi ng t o buy onl i ne.
What ar e t hey?
3 Why ar e cust omer s mor e t i kel y t o go t o a compet i t or when t hey get poor cust omer ser vi ce onl i ne?
UNI T 9
' >
KEEPI NG ONUNE CUSTOMERS
1 commi ssi oned
2 reveal ed
3 conduct i ng
4 transacti on
5 switch (to)
6 abandon
7 encount er i ng
8 human error
9 moni t or i ng
10 i nvesti gati ng
11 pr i or i t i si ng
a survey
issues/problems
an onl i ne transacti on
an online transaction
a competitor
customer behaviour
steps/guidelines
tr
Word search
tr
Definitions
Match these words from the arti cl e (1-11)
wi th thei r meani ngs (a_k).
a) mi stake made by a person
b) carryi ng out an acti vi ty
c) asked formal l y to do a pi ece
of work
d) change to somethi ng di fferent
e) tryi ng to fi nd out the cause of somethi ng
f) watchi ng carefutl y how someone does a task
g) showed somethi ng that wasn' t known before
h) experi enci ng somethi ng
i ) put t i ng probl ems i n order of i mport ance so t hat t he most i mport ant one i s
deal t wi th fi rst
j )
stop doi ng somethi ng because i t' s too di ffi cul t
k) the process
of buyi ng and payi ng for somethi ng
tr
Word partnerships
Deci de whi ch verb i n each set does nof go wi th the noun phrase i n bol d.
1 commi ssi on
/
empl oy
/
aut hori se
2 meet
/
experi ence
/
encounter
3 conduct
I
act
I
perform
4 abandon
/
t hrow out
/
gi ve up on
5 exchange
/ swi tch to
/
change to
6 moni t or
/
supervi se
/
observe
7 achi eve
/
i mpl ement
/
put i nto practi ce
Fi nd adj ecti ves or adverbs i n the arti cl e whi ch fi t these meani ngs.
t happeni ng i n a way that i s di ffi cutt to understand (paragraph
B)
2 worki ng wett and getti ng
the expected resul ts (paragraph
C)
3 easy to use because i t i s very obvi ous how i t works (paragraph
C)
4 feeti ng annoyed and i mpati ent (paragraph
C)
5 wi thout doubt (paragraph
E)
6 out ofdate (paragraph
F)
7 unusual l y good (paragraph
F)
8 of very good quati ty (paragraph
G)
t havi ng t he abi t i t y and experi ence t o do somet hi ng wet t (paragraph
G)
10 acti ng i n a way that makes thi ngs happen rather than reacti ng to them (paragraph
G)
UNI T 9
"
KEEPI NG ONLI NE CUSTOMERS
Text completion
use the words from the box to complete the paragraph, reporting the result of a survey.
accor di ng t o commi ssi oned compar ed t o
conducted over reported reveal ed surveved
A r ecent sur vey. . . . . . . . ' t hat 90 per cent of Swedi sh adut t s ( 91 per cent ) f eet t hat bei ng abt e t o access t he
l nt er net has i mpr oved t hei r l i ves. t he sur vey:
'
. . . . . , . . 3 hat f ( 52 per cent ) sai d t hey wer e abl e t o manage t hei r f i nances bet t er because of onl i ne banki ng.
'
Sevent y- f i ve per cent t hat st ayi ng i n t ouch wi t h f r i ends and f ami t y was easi er (
. . . . . .
5
70
per
cent l ast year).
r
Si xty-ei ght per cent of those sai d they were shoppi ng more effecti vel y.
Thi s sur vey was . . . . . . . .
t
by AFS. The sur vey of 150 adut t s was . . . . . . . .
t
onl i ne by Mi t on sur veys.
Preposi ti ons
1 Consumer s vi si t i ng ont i ne st or es expect t o be abl e t o t og. . . . . . . . easi l y and compl et e t r ansact i ons . . . . . . . .
the fi rst attemot.
2 l f cust omers have probt ems compl et i ng onl i ne t ransact i ons, i t i s very t i kel y t hat t hey wi t t gi ve . . . . . . . . and
swi t ch . . . . . . . . a compet i t or ' s si t e.
3 Despi t e t he conveni ence . . . . . . . . I nt ernet shoppi ng, many peopl e st i l l pref er t o shop . . . . . . . . person rat her
t han onl i ne.
4 Onl i ne ret ai l ers need t o become ski t t ed . . . . . . . . provi di ng hi gh-quat i t y shoppi ng experi ences and
r espondi ng qui ckl y. . . . . . . . f eedback.
:.:=a::..-=
1 a) Conduct a survey on one of t hese t opi cs.
.
The i mpact of t he I nt ernet on peopl e' s shoppi ng habi t s
o
The effecti veness of your company websi te/a websi te you use frequentty
b) Prepare si x survey questi ons.
c) Carry out yoursurvey.
d) Wri te up your fi ndi ngs, i ncl udi ng words and phrases
from the arti cl e and Exerci se D.
2 Wri te a report for you boss
j usti fyi ng
an i ncreased budget for customer servi ce for your
company websi t e.
a) Expl ai n the probl ems:
.
hi gh l evel s of abandonment duri ng checkout
o
feedback that the websi te i s too compl i cated
.
feedback that shi ppi ng costs and the returns pol i cy are not cl ear.
b) Show the i mpl i cati ons for the company, supporti ng your arguments wi th facts from the arti cl e
and survey.
c) Make some recommendat i ons.
39
Thi s uni t l ooks at the devel opment of l nternet adverti si ng.
1 How i mportant i s Internet adverti si ng i n your country?
2 How have fast Internet connecti ons changed adverti si ng on the Internet?
3 What ki nd of ads can you fi nd on the web? Whi ch ones do you l i ke? Are any that you fi nd annoyi ng?
4 What ki nd of adverti si ng techni ques work for promoti ng brands on the Internet? Thi nk about:
.
search-engi ne websi tes l i ke Yahoo and Googl e
o
soci a[-networki ng si tes l i ke MySpace and Facebook and the vi deo-shari ng si te YouTube
o
busi ness websi tes, e.g. news si tes, onl i ne magazi nes, websi tes of professi onal organi sati ons, etc.
tr
Understanding the main points
Read the article on the opposite page and choose the the statement that expresses the purpose
of the article most accurately.
a) To i nform readers about devel opments i n Internet adverti si ng
b) To persuade readers that Internet adverti si ng i s the sol uti on for the future
c) To expl ai n the benefi ts for compani es of adverti si ng on the Internet
The arti cl e descri bes three marketi ng techni ques that are used onl i ne. Match each techni que (1-3)
with its explanation (a-c).
1 search adverti si ng a) payi ng for branded products to be shown i n a fi l m or vi deo
2 vi ral marketi ng b) encouragi ng web users to pass on a marketi ng message to others, so
that the message spreads l i ke a vi rus to many users
3 product pl acement c) payi ng for the chance to have an adverti sement di spl ay when a user
searches for a given keyword
According to the writers, which of the three techniques in Exercise 2 works well for the following?
1 creat i ng and mai nt ai ni ng awareness of brands
2 convi nci ng a buyer to purchase a parti cul ar product
Complete these developments that have encouraged more innovative Internet advertising.
1 I ncr eased speed of . . . . .
2 The popul ari t y and growt h of . . . . .
3 The abi l i ty of web users to . . .. .
40
UFIIT 3i ]
i '
!$Jr*.R*i HT &tl VgkTl 5l F*G
dJ
G
by Richard Wray and Katie Allen
A Search adveni si ng al l ows compani es
to compete for position on search
engines, so when a user looks for
cheap TV sets, a holiday, an iPod
5 or a car, their brand comes out on top.
In search advertising, adveftisers only
pay for the advertising when someone
clicks on the search result. That Drocess
is measurable and trackabie. Nick
ro Hynes, Chief Executive of the search
marketing agency the Search Works,
said,
'You
can tell exactly which key
words, like "cheaper car insurance",
you should be listing on and you can
rs see how many customers who click
on the result become customers. You
don' t waste any money.'
B Advertising is not only about
persuading a person to prefer a
zo particular item. A lot of advertising is
H
fiom the Guardian
Underst andi ng det ai l s
1 Read the arti cl e agai n and say whether these statements are true (T) or fal se (F). Correct the fal se ones.
i A bi g advant age of sear ch adver t i si ng i s t hat adver t i ser s onl y pay when a user cl i cks on t he l i nk t o
t hei r websi t e.
2 Sear ch adver t i si ng makes i t easy t o measur e t he number of user s t hat cl i ck t hr ough t o t he
adver t i ser ' s si t e, but not t he number who go on t o make a pur chase.
3 I n t he past , user s f ound web ads f r ust r at i ng because t hey t ook so l ong t o appear on t hei r scr eens.
4 The wr i t er s t hi nk t hat onl i ne communi t y websi t es have a l ot of pot ent i al f or pr omot i ng br ands t o a
wi de audi ence.
2 What campai gns are menti oned as successfuI exampl es of:
L a vi r al vi deo?
2 cont ent cr eat ed by user s t hemsel ves?
3 a pr oduct pl acement onl i ne vi deo?
The changing face of Internet advertising
about creating and sustaining brands.
C In the early days of the web,
advertisers tried to build brand
awareness through banner ads on other
zs website. But these often fiustrated
web users because they had to wait
whi l e t hei r sl ow I nt ernet connect i on
uploaded an advert. The growth in
broadband I nt ernet connect i ons,
:o however, means online advertising of
brands can be much less intrusive and
can become more innovative.
D Social-networking sites such as
MySpace, Bebo and Facebook have
:s brought together huge online
communities. This is clearly an
opportunity for advertisers. However,
the nature of those communities
can make it hard to promote brands,
qo
because people consider their online
space as their own domain. Innovative
brand campaigns have been created
allowing people to incorporate brands
within their own profile pages. But
+s it is likely that these campaigns will
always be aimed at niche audiences,
although large niches.
E As broadband connections become
the norm, advertisers r,vill have more
s0 ways of reaching customers. Faster
connections mean that advertisers can
now include videos in their advertising.
F One new method of advertising is
the viral video campaign. With this
method, Internet users share content
cont ai ni ng a branded message. i n
this case a video. An example is
Dove's Evolution ad, which created
a huge viral marketing buzz atound a
video showing a model being made up,
photographed and then digitally altered.
Advertisers have also found ways
t o t ake advant age of t he ri se i n user-
generated content. Lucozade recently
rolled out a campaign to get customers
onto their GetYourEdgeBack.com site.
Customers were invited to upload
home-made vi deos about i nst ances
when they experienced a
'low
energy'
moment. The winner was offered
a pize of f10000 and the chance to
star in one ofLucozade Energy' s ads.
Product placement in online videos
has been around for a while and is a
good way ofraising brand awareness.
Advertising group MediaCom has
created a video series about cats for
petfood specialist Masterfoods and
posted it on MSN. The videos focus on
cat health, but, of course, also
mention why viewers should buy their
pr oduct s. ' l t ' s al l about gener at i ng
brand awareness. Things TV has
traditionally been good for we can
now do online as well,' says Stefan
Bardega, a MediaCom director.
4?
tr
Definitions illllil
UNI T 10
"
I NTERNETADVERTI SI NG
Match these word from the arti cl e (1-8) wi th thei r meani ngs (a-h).
1 sust ai ni ng
2 banner ads
3 upl oaded
4 i ntrusi ve
6 buzz
7 rol l ed out
8 generati ng
a) causi ng t o happen
b) sent fi l es from one computer onto the Internet
c) mai nt ai ni ng f or a per i od of t i me
d) a feeti ng of exci tement and energy
5 ni che audi ences e) unwant ed and annoyi ng
f) extended an adverti si ng campai gn after a successfuI test
g) target groups wi th a speci fi c and l i mi ted i nterest
h) smal t adverti sements on web pages, often found at the top
of a page and l i nk to the adverti ser' s si te
tr
Word partnerships
2
3
4
Match these words to make noun-noun partnershi ps from the arti cl e.
1 search a) awareness
2 web b) pages
3 brand c) connecti ons
4 profi te d) resutt
5 Internet/broadband e) users
Find at least one other noun-noun word partnership that start with seorch.
Find at least three adjective-noun word partnerships that start with online.
Find at least one adiective-noun-noun word partnership that starts with viral.
tr
Vocabutarydevelopment
Deci de whi ch verb does not go wi th the noun phrase i n bol d.
1 promote
/
devetop
/
sustai n
/
keep up a brand
2 do
I
generate
/
build
/
create brand awareness
3 post
/
upl oad
/
di vi de
/
share an onl i ne vi deo
4 save
/
prevent
/
make
/
waste money
5 expand
/
l aunch
/
announce
/
rol l out an onl i ne vi deo
6 cl i ck on
/
catch
/
sel ect
/
track a search resul t
7 engage
/
attract
I
reach
/
arrive customers
42
UN| T10
"
I NTERNI TADVERTI SI NG
Sentence completion
Use words and phrases from Exercises A-C to complete these paragraphs.
1 Thegr owt hof f as t er b. . . . . . . . c . . . . . . . . uhas made o. . . . . . . . v . . . . . . . . badv er t i s i ngt ak eof f . Pr oduc i ngv i deo
cost s a l ot mor e t han t r adi t i onat b. . . . . . . . a. . . . . . . . ' , but i t pr oduces hi gher r esponse r at es, so wi t l be
mor e successf ul i n r ai si ng and t . . . . . . . .
o
br and awar eness.
2 f n pai d- f o r
t . . . . . . . . a. . . . . . . .
u
, sear ch engi nes l i ke Yahoo wi l l guar ant ee adver t i ser s a pl ace i n t he sear ch
r . . . . . . . .
b
. The posi t i on depends on t he amount of money adver t i ser s ar e wi l l i ng t o pay each t i me a user
c . . . . . . . . ' on t hei r l i s t i ng.
3 You can cr eat e a r eat b. . . . . . . .
u
ar ound a new pr oduct , wi t h an exci t i ng wel l - const r uct ed v. . . . . . . . v. . . . . . . .
b
campai gn, car ef ul l y t ar get ed at a n. . . . . . . . a. . . . . . . .
'
of web u. . . . . . . . 0 . And you won' t w. . . . . . . . " money, as
i t' s rel ati vel y cheap to produce!
4 Facebook i s an o. . . . . . . . c. . . . . . . . ' f or peopl e wi t h common i nt er est s. Member s cr eat e t hei r own
b , . ,
p. . . . . . . . p. . . . . . . . " wi t h bi ogr aphi cal dat a, t i kes and di st i kes and any ot her i nf or mat i on t hey choose t o
u. . . . . . . . ' ont o t hei r page.
5 Wepl ant o r . . . , , . . . o, , . . . . . . u ano. . . . . . . . a. . . . . . . . 0 c ampai gn t op. . . . . . . . ' our r angeof heat t hf oods . Us i ngan
onl i ne channet wi t t het p us r . . . . . . . . o new cust omer s and get t hem ont o our websi t e.
tr
Prepositions
Comptete these sentences usi ng the correct preposi ti ons.
t r The gr owt h. . . . . . . . br oadband has al l owed a mor e cr eat i ve use of vi deo i n adver t i ser s'
onl i ne campai gns.
2 Many of t he most successf u I vi r al vi deo cam pai gns ar e ai med . . . . . . . . you nger aud i ences.
3 Manycompani esseesoci al net wor ki ngcommuni t i esasahugeoppor t uni t y. . . . . . . . mar ket i ngt hei r
nr oduc t s . . . . . . . . a ni c he audi enc e.
4 Adver t i ser s ar e f i ndi ng new ways t o t ake advant age . . . . . . . . t he gr owi ng popul ar i t y of user -
gener at ed cont ent .
1 Wri te a short report on behatf of an adverti si ng agency,
j usti fyi ng
a shi ft to Internet adverti si ng for a
new advent ur e hot i day cl ub t hat t ar get s young pr of essi onal s.
In sma[[ groups, di scuss what devel opments you expect to see over the next fi ve years i n the fotl owi ng areas.
.
TV adverti si ng
.
I nt ernet advert i si ng
Then present your t op f i ve predi ct i ons.
Devetop an adverti si ng bri ef for a vi ral vi deo campai gn for one of your favouri te brands.
Research a vi raI campai gn t hat has been successf u[ . Present t he campai gn and your anal ysi s of what
makes i t effecti ve.
lr
Thi s uni t l ool <s at gl obal adverti si ng and some of the chal l enges i nvol ved.
1 What types of products sel l wel l i nternati onal l y? Do you know of any successfuI or di sastrous
adverti si ng stori es? What happened and why?
2 l f a company wanted to adverti se i ts products or servi ce gtobatl y, who woul d be i nvol ved,
e.g. a nati onal adverti si ng agency, and what do you thi nk woutd be the fi rst steps i n
pl anni ng t he campai gn?
3 Survey your ctass to fi nd out atti tudes to gtobal adverti si ng campai gns.
Read the article on the opposite page and answer these questions.
1 l s the wri ter for or agai nst gl obal adverti si ng?
2 Does he make hi s case i n a bal anced or one-si ded way?
3 l s hi s styl e of wri ti ng persuasi ve or i nformati ve? What gi ves you thi s i mpressi on?
tr
1 Read the article again and choose the best option to complete these summaries of the writer's ideas
for devel opi ng successful gl obal campai gns.
1 Gl obal campai gns are better devel oped by head
I
l ocal offi ces.
2 l f compani es can devel op the ri ght creati ve concept, i t shoutd work wi th customers i n most
I
al l
countri es.
3 Effective advertising starts with understanding customer needs
I
having good creative ideas.
4 To develop creative materials for the campaign, it is better to work with one main ogency
f
severol
specialist agencies.
5 l f compani es devel op the ri ght campai gn, they shoul d be abl e to use i t i n al l forei gn markets
without any changes
I
with adjustments
for
some markets.
2 Read paragraph C carefully. What three reasons does the writer give to support a globa[ approach to
advertising? Complete these sentences.
1 l t' s l ess expensi ve to ...
2 l t' s easi er and oui cker to ...
3 Peopl e expect...
44
UNI T 11
"
GLOBAL ADVERTI SI NG CAMPAI GNS
Going
global:
ads that ftavel
unfashionable, unsexy and un-now.
Global advertising campaigns, the
thinking goes, are creatively hamstrung
rs by the need to be all things to
all men. The resulting adverts
are functional but forgettable,
inoffensive but uninspiring, and a
safe option for the risk-averse. And
zo of course local offices are much
happier creating their own ideas
than implementing someone else's.
C From the advertiser's ooint of view.
the global approach is not completely
zs without its merits. From a financial
point of view, it is obviously cheaper
to develop one set of creative material
and then roll it out worldwide. A global
approach is also faster, and simpler to
:o implement. And as people travel the
world more and more
-
physically
or virtually
-
they are exposed to the
same brand in different markets, and
they should get the same advertising
:s experience. If you want to build a
global brand. a global campaign seems
the most obvious way to do it.
D Every ad starts with an insight (that
is, a consumer need) and a proposition
o (that is, a way that the product
meets this need). If the planners,
market researchers and marketing
strategists can find an insight
and develop a proposition that is
+s relevant to potential customers around
the world, then a single creative
concept should be able to convey
this to all their potential customers
around the world. In other words,
effective global advertising starts, just
like any effective advertising does,
with understanding your consumers.
Admittedly, there will be some cases
where consumers' requirements of a
product differ from country to country.
But for most products, they will not
do so. It is likely that the reasons why
somebody buys a can of Coke, or
chooses PlayStation3 in preference to
an Xbox 360, are fairly similar all over
the world.
F The same brief could. of course.
be given to different agencies in
different countries. But presumably,
os the advertiser has selected its lead
agency for a reason and believes that
this agency can solve a given brief as
well, if not better, than any other. So
why would they not give this agency
ro the briefglobally?
G Of course, the concept the lead
agency comes up with will have to be
flexible enough to be adapted for other
countries. A good idea can be adapted
rs to emphasise different beneflts, or
push different products in a range,
without diluting the essential qualities
of the brand or changing its position-
ing. So why can it not be adapted for
so other countries? This adaptation needs
to be carried out sensitively. It is a
skilled job in itself, the importance of
which is often underestimated.
by Guy Gilpin
A Effective global campaigns must
start like any other campaign, with
sound creative materials and by
understanding consumers.
B Those who make the case for
centralised global advertising often
seem to be swimming against the
tide. Strong central planning, with
head office telling its subsidiaries how
ro they should talk to
'their'consumers,
is an approach that has become
from Campaign
1
' Those
who make the case for central i sed gtobal adverti si ng often seem to be swi mmi ng ogai nst
the tide.'
(tines
S-8)
a) fi ghti ng to get thei r vi ews heard
b) doi ng the exact opposi te to what most other peopl e are doi ng
2
'Global
advertising campaigns
[...]
are creatively hamstrung by the need to be all things to all men.' (lines
13-16)
a) Tryi ng to pl ease everyone i n a gl obaI campai gn restri cts creati vi ty.
b) Gtobat campai gns can' t work, as everybody has such di fferent i dea of creati vi ty.
45
Illill
UNIT 11
"
GLOBALADVERTISING CAMPAIGNS
1 the ri sk-averse
2 meri ts
3 i mpl ement i ng
4 are exposed to
5 i nsi ght
6 pr oposi t i on
7 brief
8 l ead agency
9 di t ut i ng
10 under est i mat ed
tr
2
3
!l
Word search
1
3
46
tr
Definitions
Match these words/phrases from the arti cl e
(1-10) wi th thei r meani ngs
(a-D.
a) advantages
b) a suggesti on or pl an of acti on
c) the agency wi th the pri mary rote
d) offi ci at i nstructi ons expl ai ni ng a task
e) not understood to be i mportant
f ) a cl ear and deep under st andi ng
g) weakeni ng
h) see and experi ence somethi ng
i ) put t i ng a pl an i nt o oper at i on
i )
peopte who don' t l i ke taki ng ri sks
When you add the prefi xes un- or i n-, they have a negati ve meani ng,
e.g. unreliable
:
not reliable, ineffective
:
not effective.
f n paragraph B, find examples of adiectives that start with the prefixes un- and in-
wi th these meani ngs.
1 not f ashi onabl e
2 not i nspi ri ng
3 not offensi ve and ti kety to upset peopl e
Add two other examptes of your own of adjectives with each prefix.
In paragraph B, the wri ter uses two very col l oqui al expressi ons that mean
' unfashi onabl e' .
Fi nd them and match each wi th i ts meani ng.
1 not the current fashi on
2 not gl amorous or exci ti ng
What everyday equi val ents can you thi nk of that have a si mi l ar meani ng to the words i n Exerci se 3?
Look through the arti cl e and fi nd:
1 three words or phrases that mean
' i n
many di fferent countri es' .
2 at l east three adj ecti ve-noun partnershi ps that start wi th gl obal and one that starts wi th creoti ve.
Fi nd the names of four
i obs
connected wi th adverti si ng. Then add at l east three other
j obs you know.
Find three words or phrases that describe parts of an international company, e.g. heodquarters,
distribution centre. Then add at least two others.
UNIT 11
"
GLOBALADVERTISING CAMPAIGNS
Persuasive [anguage
1 The wri ter uses these persuasi ve techni ques. Fi nd another exampl e i n the arti cl e for each techni que.
1 Rhet or i cal quest i ons: quest i ons t hat don' t need answer s and get t he r eader t o t hi nk,
e.g. So why would they not give this ogency the brief globally? (lines
68-70)
2 Repeat i ng wor ds and phr ases t o hel p keep t hem i n t he r eader ' s mi nd,
e.g. ... same brand in different markets, and they should get the same advertising experience.
(l i nes
33-35)
2 The wri ter uses words and phrases to make hi s posi ti on on the i deas i n the arti cl e cl ear to the reader.
Match the phrases (1-a) wi th the purposes (a-d).
1 Fr om . . . poi nt of vi ew
( t i ne 23) a) Thi nks t he i dea i s pr obabl y t r ue
2 Admi ttedty (l i ne 53) b) Has no doubts the i dea i s true
3 But presumabl y (ti ne 64) c) Refl ects the i dea from a parti cul ar posi ti on
4 Of course
(ti ne
71) d) Acknowl edges that another i dea i s true
Word families
Compl ete the chart.
adjective adverb
creati ve
compel l i ng
2
gt obat
3
vi rt ual
4
sensi ti ve
5
In the wri ter' s vi ew, wi th sensi ti ve adaptati on for di fferent markets, gl obal adverti si ng campai gns
are effecti ve. Do you agree? Gi ve reasons and exampl es to support your vi ew.
Prepare a short presentati on on a gl obal adverti si ng campai gn that has been successfuI or one
that has fai l ed i n a soeci fi c market.
Wri te a report to persuade your manager to use a l ocat/gtobal adverti si ng strategy to [aunch a new
servi ce/product i n al l your company' s markets.
a) Pl an your paragraphs:
o
Your posi t i on
r
Possi bl e support i ng poi nt s
.
Possi bl e
poi nts
asai nst
.
Your concl usi on
b) Wri t e your report usi ng some of t he t echni ques f or persuasi on used i n t he art i cl e.
Thi s uni t l ooks at a sponsorshi p deal between Di sney and the German
engi neeri ng com pany Si emens.
1 Make a ti st of di fferent types of acti vi ti es/events or thi ngs that compani es can sponsor, e.g. a sports
or arts event, a stadi um, etc.
2 Thi nk of a company that uses sponsorshi p as part of i ts marketi ng mi x (e.g. Research i n Moti on).
a) What acti vi ti es/events does i t sponsor (e.g.
Uz' s
' 360o
tour)?
b) Why do you thi nk i t chooses thi s type of sponsorshi p (e.g.
rai sed the profi te of Bl ackBerry wi th
the youth market)?
3 What ki nd of sponsorshi p possi bi l i ti es does a [arge entertai nment company ti ke Di sney offer to
compani es? What ki nd of compani es do you t hi nk Di sney woul d want t o l i nk up wi t h?
Read the article on the opposite page and choose the best option to complete each statement.
1 Si emens i s the new sponsor
f
one ofthe sponsors ofthe rel aunched Spaceshi p Earth
attracti on at Di sney' s Epcot theme park.
2 Siemens is Disney's main corporate partner
f
one of Disney's corporate partners.
3 Si emens was l ooki ng for a sponsorshi p deal i n the USA to rai se i ts profi l e
I
help it get into the US market.
4 Siemens chose Disney because it couldn't
find
the right sports event to sponsor
I
the Disney group offered a wider range morketing possibilities.
5 Di sney i s keen to negoti ate sponsorshi ps deal s wi th compani es because of the
technical expertise they offer
I
money they earn.
tr
1 Read the arti cl e agai n and compl ete these statements.
The wri ter thi nks Di sney i s a good opti on for compani es who are l ooki ng for sponsorshi p
opportuni ti es because:
1 a deal wi th Di sney means they wi tt have access to ...
2 they may be al so abl e to negoti ate ...
ta
UNIT 12
"'
SPOi l ISORSHIP OEALS fOR P*Otcl OTl NG BRAi l DS
Sponsors with a taste for Mickey Mouse marketing
by Matthew Garrahan
A At first glance, Walt Disney would
appear to have little in common with
Siemens, the German industrial group
that makes everything from light bulbs
s to hearing aids. Yet. as its sponsor.
a Siemens logo can be seen on the
newly relaunched Spaceship Eafth
attraction at Disney's Epcot theme
park in Florida. It also appears on the
ro Disney website, where visitors to the
Spaceship Earth section can take part
in
'The
Siemens Science Minute' or
'Be
a Siemens Superhero'.
B Siemens is one of Disney's
'corporate
rs alliance' partners, alongside compa-
nies that include Coca-Cola, Hewlett-
Packard, General Motors and Kodak.
Corporate partners pay fees to Disney,
running into hundreds of millions
zo of dollars, in retum for promotion,
sponsorship and access to its millions
of customers.
C Althoush it has a vast number of
businesses in the US, Siemens is not
zs well known by American consumers.
As a former shirt sponsor of Real
Madrid in Spain, it flrst considered
sponsoring a US sports event to raise
brand awareness.
'There
were many
:o opporflrnities to get involved with
sport, whether in motor racing or
by sponsoring a stadium,' says Mr
Nolen, Chief Executive of Siemens's
US division. However, the group
:s finally chose Disney because it gave
Siemens the ability to showcase its
technological expertise and reach
a broader, more diverse audience.
D TheDisney deal represents achange
lo from the German company's former
focus on sports sponsorship and offer-
ed it a way to beneflt from a mix of
distinct marketing opportunities. For
example, Siemens's medical products
+s have appeared n Gray's Anatomy,the
Disney-ABC medical drama.
E The range of businesses owned
by Disney gives the company an
advantage over a sports event in
so the competition for sponsors. It can
showcase brands in its theme parks or
in the TV programmes and fllms it
makes via product placements.
Crucially, the Disney brand also has
ss broad appeal.
F Disney has a long history of
corporate partners. The relationship
with General Motor (GM) dates
back to 1982, when the company
oo sponsored the Test Track ride at Epcot
in Florida. Since then, the agreement
has expanded considerably. Disney's
fleet of company cars is supplied
by GM, and GM cars regularly
os feature in Disney studio movies.
G Disney hopes to win more business
from companies that would normally
sponsor a sports event or atlach
their names to a stadium.
'A
lot of
ro people are going to be missing if you
sponsor a sports event, whereas the
Disney brand appeals to families,'says
Lawrence Aldridge, Disney's Senior
Vice-President of Corporate Alliances.
H Contracts with corporate alliance
partners that last for years can be worth
hundreds of millions of dollars and
often include purchasing agreements.
Disney spends $12bn a year on goods
so and services, and the company's
alliance partners are often at the front
of the queue when the group comes
to place orders. This increases its
appeal to sponsors.
FT
2 What marketi ng opportuni ti es do General Motors and Si emens get from thei r partnershi ps wi th
Di sney? Compl ete the chart.
marketi ng opportuni ti es General Motors Si emens
Sponsorshi p Sponsors Test Track ri de at
Epcot
1
Pr oduct
pl acement
3
Pur chasi ng agr eement
4
49
tr
Word families
UNIT 12
' '
SPONSORSHIP DEALS TOR PROMOTING BRANDS
1 Compl ete the chart wi th words from the arti cl e rel ati ng to sponsor.
Use words from Exercise r in the correct form to complete these sentences.
1 . . . . . . . . can be a power f ut way t o i ncr ease br and awar eness.
2 Bef or e deci di ng 1o. . . . . . . . an act i vi t y, t he . . . . . . . . must be sur e t hat t he event has a good
chance of success and fi ts i n wi th the busi ness and brand obj ecti ves.
3 . . . . . . . . f or exampl e . . . . . . . . a f oot bat l t eam, i s t he most popul ar f or m and can
range from i nternati onaI to [ocal sports acti vi ti es and events.
4 We pl an t o hot d a . . . . . . . . r un t o r ai se money f or t he char i t y Save t he Chi t dr en.
1 corporate a[l i ance
2 corporate partners
3 fees
4 access
5 showcase
a) di spl ay products
b) contracts stati ng the terms ofa purchase
c) way of reachi ng
d) money pai d for servi ce
e) other organi sati ons you work wi th i n some way
a) busi ness
b) an audi ence
c) fees
d) aspor t sevent / ar i de
e) t echnol ogi caI expert i se
/
brands
tr
Word partnerships
1 pay
2 sponsor
3 showcase
4 reach
5 wi n
noun (activity/
organisation)
verb adjective types of
sponsorshi p
sponsorshi p
1
sponsor ed art s sponsorshi p
tr
Definitions
Match these words and phrases from the arti cl e (1-6)
wi th thei r meani ngs (a-f).
6 purchasi ng agreement s f ) an agreement t o work wi t h anot her company f or mut uaI benef i t
Match the verbs (1-5)
wi th the nouns (a-e)
to form word partnershi ps for tal ki ng about sponsorshi p.
tr
Opposites
Fi nd adj ecti ves i n the arti cl e whi ch have the opposi te meani ng to these adj ecti ves.
1 smatl
(paragraph
C)
2 future (paragraph C)
3 si mi l ar
(paragraph C)
4 unrel ated
(paragraph D)
5 ti mi ted (paragraph E)
U nderstanding expressions
Match these phrases from the article (1-5) with their meanings
(a-e).
UNIT 12
"
SPONSORSHIP DEATS FOR PROMOTING BRANDS
t have ti ttl e i n common wi th
2 runni ng i nt o
3 i n return for
4 get i nvol ved wi th
5 at t he f ront of t he queue
a) worth around
b) i n fi rst posi ti on for somethi ng
c) take part i n somethi ng
d) as part ofan exchange
e) be different in most ways
tr
Prepositions
Choose the correct preposi ti on to compl ete these phrases.
1 pay fees fo
I from I for
Disney
2 get involved to
I
with
I for
sport
3 the German company' s focus af
I
on
I
wi th sports sponsorshi p
4 a way to benefi t of
I from I
to a mi x of marketi ng opportuni ti es
5 hopes to wi n more busi ness
from I
to
/
of compani es
6 the Di sney brand appeats at
I for I
fo fami l i es
Choose a company that sponsors a sporti ng, musi c or arts event or a good cause.
a) What do the sponsor and the organi sati on recei vi ng the sponsorshi p get from thi s partnershi p?
b) How does sponsori ng thi s type of event fi t i n wi th the sponsor' s busi ness obi ecti ves and i mage?
Li st the benefi ts of a corporate al l i ance between Di sney and one of i ts partners, e.g. Coca Col a,
General Motors. Wri te a short report expl ai ni ng how the deaI benefi ts both compani es.
In response to tough economi c ti mes, your company i s pl anni ng to cut i ts marketi ng budget for
sponsorshi p. l s thi s a sensi bl e strategy? Prepare a two-mi nute presentati on that wi l t convi nce you
manager to accept your poi nt ofvi ew.
57
Thi s uni t l ooks at the i ncreasi ng use of vi ral adverti si ng to promote products.
1 Make a l i st of two or three ways compani es can use
' word-of-mouth'
marketi ng techni ques for
promot i ng brands:
a) i n the physi caI worl d, e.g. vi si bl e l abel s on cl othes, i n-store demonstrati ons
b) i n the vi rtuat worl d, e.g. e-mai l i ng a branded message or qui z.
2 What do you understand by vi ral marketi ng? What are the benefi ts of thi s type of marketi ng for
compani es (e.g.
cheap to produce)?
3 What ki nd of thi ngs can go wrong wi th a vi ral adverti si ng campai gn?
4 Do you read or produce bl ogs? l f so, what ki nd of btogs do you fi nd most usefut? Do btogs have any
potenti aI for marketi ng?
1 Read the article on the opposite page and say whether these statements are true
O)
or false (F).
1 The wri ter thi nks vi ral adverti si ng has potenti aI
benefi ts for compani es.
2 The wri ter thi nks that i t i s easy to devel op vi ral adverti si ng materi al s.
3 Most compani es have the ri ght approach to creati ng vi rat adverti si ng.
4 Posti ng i tems on btogs that are real l y adverti sements i s ri sky.
2 Match each of these summaries (1-6)
with the paragraph in the article (A-F)
that it describes.
1 Expl ai ns what vi ral adverti si ng i s. A
2 Advi ses agai nst usi ng bl ogs for commerci al purposes wi thout fi rst getti ng permi ssi on.
3 Poi nts out the ri sk of thi nki ng about vi ral adverti si ng i n the same way as tradi ti onaI adverti si ng.
4 Warns agai nst not taki ng vi raI marketi ng seri ousl y.
5 Descri bes the potenti al benefi ts ofvi ral marketi ng.
6 Poi nts out the chal l enge of creati ng engagi ng vi ral ads.
Read paragraphs B-E carefully and answer these questions.
1 The wri ter menti ons two potenti al benefi ts for vi raI adverti si ng. What are they?
2 What devel opment has made i t even more chal l engi ng for compani es to produce engagi ng vi raI content?
3 Why don' t conventi onal adverti si ng materi al s work as vi ral s?
i JtrET :3
""
gl RA!-
A*Vi l ftY:$l *i G e&+J1FAi *Fi S
Viral advertrsers are playirg with fire
by Ian Fraser
A Essentially, viral marketing
-
also
known as
' buzz'
or
' word-of-mouse'
marketing
-
means releasing a subtly
branded video clip or game onto the
s web and hoping it will be passed on,
a bit like a virus. The goal is to create
something so compelling that it will
be picked up by a young, web-savvy
audi ence who f i nd i t so amusi ng.
ro entertaining or perhaps shocking
that they will pass it on to friends
and colleagues.
Once a viral ad, for example a
viral e-mail, has been passed to
enough people, companies hope to
save themselves the cost of buying
traditional media advertising. If they
are lucky, they might also gain the
trust of a niche target group that would
otherwise have been unreachable. In
practice, however, there are many pif
falls associated rvith such marketing.
One challenge for businesses is to
produce something that stands out.
As growing numbers of businesses
try to promote their goods in this way,
developing content that has sufficient
appeal to
'go
viral' is increasingly
di ffi cul t
-
parti cul arl y as competi ti on
fiom'user-created videos' becomes
more intense. For exampie, every day,
some 39,000 such video clips are being
added to the YouTube website, and
more than 100 million are watched.
Matt Smith, co-founder of The
Mral Factory, warns that businesses
that adopt viral marketing need to be
fully committed.
'A
lot of companies
think they can
just
spend, say, f10,000
to f15,000 to produce something
viral. They do it just for a laugh.
But if that's your attitude, you won't
get anywhere.'
Another big difficulty is that people
use traditional marketing thinking
when creating viral ads. If you use the
same thought processes as you use for
creating print or TV advertising, your
viral ad rvill not
"vork.
Paul Marsden,
so co-editor of Connected Marketins:
The Virat. Bu<: and Worcl-of-Mouih
Revolution, warns of the danger of
simply tlansfering conventional
advertising into the online world
ss without building in interactivity.
'Any
online advertising lacking an
interactive dimension
-
for examole.
j ust
addi ng a l i nk t o an onl i ne shop
-
i s
a waste of time. For a viral commercial
oo to work, it has to be extremely good,
hilarious or shocking. The trouble is
that most companies are not willing
to take risks, so their virals don't get
passed around and fail.'
F When launching a viral campaign,
be careful not to upset the global online
community. Many bloggers regard any
commercial intrusion into their online
space as unacceptable. The household
ro cleaning company Reckitt Benckiser
discovered this when, as parl of a viral
campaign, it posted items on people' s
blogs from Barry Scott, a fictional
character and the star of television
zs advertisements for its Cillit Bang
brand. When it became clear that Scott
was a deception and that the messages
had been left by the marketing team, a
well-knor'vn blogger became outraged.
so As a result, the company \,vas
blacklisted by the digital community,
and Reckitt Benckiser had to apologise
to the blogger.
C
25
D
1 5
E
FT
Choose the best expl anati on forthese i deas from the arti cl e.
1
'They
do it
just
for
a laugh. But if that's your attitude, you won't get anywhere.' (tines
4r-43)
a] Unl ess busi nesses see maki ng vi r al s as f un, t hey won' t get t he r esul t s t hey want .
bj l f busi nesses don' t t ake vi r aI adver t i si ng ser i ousl y, i t wi t t f ai t .
2
'Many
bloggers regard ony commercial intrusion into their online space os unacceptable.' (tines
6l-5g)
a) Many bl ogger s vi ew any uni nvi t ed commer ci al act i vi t y on t hei r bl ogs as unaccept ab[ e.
bi Many bt ogger s don' t see any poi nt i n commer ci at act i vi t y on bl ogs.
UNIT 13
"
VIRALADVERTISING CAMPAIGNS
Definitions
Match these words/phrases from the article (1-8) with their meanings (a-h).
1 pi tfatts
2 st ands out
3 war ns
4 adopt
5 upset
6 decept i on
7 outraged
8 bl ackti sted
a) somet hi ng t hat hi des t he t r ut h
b) shocked and angry
c) ti kel y probl ems or di ffi cul ti es
d) put on a l i st of peopl e consi dered unacceptabl e and not to be trusted
e) t el l s someone about a possi bl e danger or r i sk
f ) make someone unhappy and annoyed
g) attracts attenti on
h) start to use
a) vi raI market i ng
b) i tems on a bl og
/
websi te
c) avi deoct i p/ avi r al
d) t he t rust (of your audi ence)
e) a vi ral campai gn
E
Word partnerships
1 retease
2 gai n
3 adopt
4 l aunch
5 post
1 Match these verbs and nouns to make expressi ons from the arti cl e for tal ki ng about vi rat adverti si ng.
The expressi on go vi ral (ti ne z8) has a si mi l ar but more i nformal meani ng to one of the word
partnershi ps i n Exerci se 1. Whi ch one?
Look through the article and find five word partnerships starting with the word viral. Add any others
you know.
g
Word search
Fi nd adi ecti ves i n the arti cl e whi ch match these meani ngs.
1 branded so that i t can hardl y be noti ced (paragraph
A)
2 i nteresti ng or exci ti ng enough to keep your attenti on compl etel y (paragraph
A)
3 ctever and experi enced i n usi ng the Internet (paragraph
A)
4 enfoyabl e and fun to do (paragraph A)
5 extremety surpri si ng (and perhaps offensi ve) because i t i s so unexpected (paragraph
A)
5 ofthe usual and tradi ti onal type (paragraph
E)
7 extremel y funny (paragraph
E)
f n paragraphs C and E, fi nd three other words whi ch have a si mi l ar meani ng to probl em.
UNIT 13
"
VIRALADVERTISIHG CAMPAIGNS
Text completion
Use words from the Exercises A-C to complete this extract.
l f you want t o creat e a vi ral vi deo t hat s. . . . . . . . o. . . . . . . . 1 and get s peopl e t o wat ch and share i t ,
fol l ow these gui del i nes:
o
Don' t make a c. . . . . . . . ' z ad . l f t he vi deo f eel s l i ke an ad, i t won' t work wi t h a young
w. . . . . . . . t . . . . . . . . ' audi ence.
.
A good vi ral vi deo has got to be real l y c........
"
to make i t worth watchi ng.
r
l t al so needs to be so e........
t
that vi ewers want to i nvesti gate further.
r
Surpri se works, so a vi deo t hat i s r. . . . . . . .
u
or very f unny i s more l i ket y t o be passed on.
o
Above al l , make sure the vi deo cl i p you r........
t
appeal s to real peopl e, not
j ust
to your
marketi ng team.
Wri te a short report for your boss maki ng the case for i ncl udi ng vi ral adverti si ng as part of the
adverti si ng mi x for al l or some of the products i n your range.
a) Fi nd two exampl es of i nnovati ve vi ral marketi ng campai gns and make notes to answer
these questi ons.
r
Who i s i t ai med at?
o
What is the offer, e.g. a branded video clip on YouTube, a game on the website, etc.?
o
Does it use incentives to encourage users to pass the message on?
r
What' s speci al about i t (the' wow' factor)?
b) Present your results.
a) You have been allocated $1O,OOO to create a test viral campaign. Choose one of the following
types of organisations.
.
a group of luxury hotels
.
a chari ty i nvotved i n the protecti on of endangered ani mal s
.
a company whi ch i s l aunchi ng a new hand-hel d GPS devi ce
o your local tourist office
b) Pl an and present your campai gn.
Do you thi nk vi rat adverti si ng has a l ong-term future, or i s i t
j ust
a short-term adverti si ng fashi on?
Gi ve reasons and exampl es to support your vi ews.
55
Thi s uni t l ooks at Sternj akob, a German company that setl s school backpacks.
1 What ki nd of bags do chi l dren use to carry school books i n your country, e.g. satchel s, backpacks?
2 Whi ch of these poi nts mi ght i nfl uence a parent' s deci si on when buyi ng a backpack for young chi l dren?
Rank the poi nts.
r good fi t and comfort
o
' cool ' col ours
and desi gn
. pri ce
o
the chi l d' s
preference
o
a techni cal desi gn wi th support for the spi ne and back
3 Can you thi nk of any types of products that woul d be hard to establ i sh i n forei gn markets?
How do you expl ai n thi s?
1 Read the arti cl e on the opposi te page and answerthese questi ons.
1 l s Sternj akob a market l eader for schooI backpacks i n Germany?
2 l s Scout i ts top-sel l i ng product for chi l dren starti ng school ?
3 Does the company' s range of backpacks setl we[[ outsi de Germany?
4 Does Mr Li ebl er, Sternj akob' s owner, have i nternati onaI ambi ti ons for hi s brands?
2 Choose the best option to answer each question.
1 Whi ch market has Mr Li ebl er deci ded to focus on to make hi s company successful ?
a) l ts home market
b) Internati onal markets
2 Accordi ng to the arti cl e, whi ch factor most i nfl uences German parents' deci si on
when buyi ng
a school bag?
a) A competi ti ve pri ce
b)
Quatity and safety features
3 why haven' t sternj akob' s school bags done better i n markets outsi de Germany?
a) Customers outsi de Germany don' t demand such hi gh qual i ty and safety speci fi cati ons.
b) There i s too much competi ti on from si mi l ar brands.
4 Mr Li ebl er doesn' t thi nk Scout woul d do wel l i n the UK. What reason does he suggest?
a) UK customers don' t thi nk techni cal and safety features are i mportant.
b) The pri ce i s too hi gh for such an everyday product.
56
t i i $l F14
",
S{1i EL$Pi $, gG A SUC{I SSTUL $i At ! *t dAL SFi Ai -r:
Scout: a German
SUCCESS StOrV
by James Wilson and
Gerrit Wiesmann
A The an'ival of a new school year
in Germany is a stressful time for
children, but a happy time for Dieter
Liebler. For hundreds of thousands of
s children making the big leap out of
the kindergarten, the first day is made
more enjoyable because of a product
from Mr Liebler' s comoanv.
B That product i s t he Ral : eri . a boxy
ro backpack, made from plastic and
printed nylon. Alfred Stemjakob,
Mr Liebler' s company, launched
the first brand, Scout, more than 30
years ago
-
and f ound i nst ant success.
rs Few German six-year-olds do not
caffy a Scout, or one of the many
look-alike brands.
C Yet Sternjakob has also had to live
with a lesson that applies to businesses
zo everywhere: a category killer in one
country can be a failure elsewhere.
The company' s tiny foreign sales show
the wisdorn of sometimes forgetting
about globalisation lvherever cultural
:s differences are stark, and concent-
rating on tailoring a product for an
obvious
-
and demanding
-
home
market rather than trying to be all
things to all people.
D
' We
do sell to about 80 or 90
countries,' Mr Liebler says, sitting
in Sternjakob' s boardroom in
Frankenthal. 80km south of Frankfurt.
' But
mostly to enclaves of Germans
:s
-
in Japan, say, or Singapore.' Local
purchasing habits are just
too different
for Stemjakob to succeed abroad.
E SternjakoblaunchedtheScoutrange
in 1975 as a more practical and visible
a0 alternative to the leather satchels then
available. The backpacks quickly
turned into a money-spinner. Geman
parents are happy to pay a staggering
80
($1
I 6. f65) to 100 for a Scout
+s because they recognise its quality.
F Unlike in the UK or the USA, child-
ren in Germany stay in kindergarten
until they are six. This relatively late
move into formal education is perhaps
50 one reason lvhy the first day of school
is a huge event.
G Scout' s seeming dominance in
Germany contrasts with its complete
lack of acceptance elser.vhere. Only
ss in nearby Switzerland, Austria and
northem Italy is there anything more
than limited interest. In the UK. Mr
Liebler suggests, no one would pay
more than 19 for a simple school
co bag.
' To
sel l i n ot her count ri es. you
have to change the culture, and that is
di f f i cul t , ' he says.
H As in many other fields, Geman
customers rvant products engineered
6s to a far higher degree than consumers
in most other countries rvould think
necessary.
Quality-control
procedures
are more suited to equipment for
an Everest expedition than a walk to
zo firstgrade.
I The sales pitch to parents emphasises
the backpack' s good fit and a technical
design that protects the spine and
helps a child' s posture. Rigid sides
75 stop schoolbooks getting damaged.
J DIN
-
the German standards
association
-
rules require a Ranaen lo
have a minimum of 20 per cent oraltge
reflective surface and a further 10 oer
80 cent i n si l ver ref l ect i ve. Mr Li ebl er
admits many parents do not like the
bag' s luminous bright colour, but
most allow their concern for safetv to
outweigh looks.
FT
Underst andi ng det ai l s
1 Scan paragraphs B-E qui ckty and fi nd thi s i nformati on about the company' s top-sel l i ng brand, Scout.
1 target market 2 pr i ce r ange
2 a) Readpar agr aphsl and. l car ef ut t yandmakeat i st of t hepr oduct f eat ur esment i oned,
e. g. goodf i t .
b) Make notes expl ai ni ng the benefi t for the user for each feature on your l i st.
EXAMPLE:
Feal uret
, ' t f -
vood I t T
B"ne{i t s f or l he user
Mor e comf or f abl e l o wear
UNIT 14
"
DEVELOPING A SUCCESSFUL NATIONAL BRAND
tr
Choose the best expl anati on for each ofthese phrases from the arti cl e.
7
'...
a category killer in one country ...' (lines zo-zt)
a) a brand wi t h such a st rong posi t i on i n t he market t hat ot her compani es f i nd i t
i mpossi bl e t o compet e
b) somethi ng bad that happens that can destroy a successfuI brand
2
'...
rather than trying to be allthings to all people.'(lines 28-29)
a) tryi ng to sati sfy al l markets
b) tryi ng to be become we[[ known al l over the worl d
3
' ...
qui ckl y turned i nto a money-spi nner.' (l i nes
4r-42)
a) someone who t ri cks you i nt o buyi ng somet hi ng
b) a product t hat earns a company a l ot of money
4
' The
sol es pi tch to parents ...' (ti ne 71)
a) t he pl ace where a sal esperson makes t he sal e
b) what a sal esperson says to persuade someone to buy a product
Mr Lei bl er says,
' We
do sel l to about 8o or 90 countri es
[...]
But mostl y to encl aves of
Germans
-
i n
Japan,
say, or Si ngapore.' (l i nes
l o-l S).
Who i s he i s referri ng to?
a) groups of German expatri ates l i vi ng and worki ng abroad
b) German i mmi grant popul at i ons
The writer says that Quality-control
procedures are more suited to equipment
for
an Everest expedition than o walk to
first
grode (lines
67-7o).
Does thi s i mpl y that Sternj akobt attenti on to qual i ty control i s:
a) a good thi ng?
b) unnecessari l y stri ct for thi s type of product?
E
Definitions
1 Match these verbs from the article (1-5) with their meanings (a-e).
a) be mor e i mpor t ant t han somet hi ng el se
b) devetoped i nto somethi ng di fferent
c) i ntroduced a new product i nto a market
d) do wel t
e) changi ng a product so that i t i s exactl y ri ght for
a soeci fi c market
2 Thi nk of at l east one other word that has a) the same meani n g as l ounch, and
b) the opposi te meani ngto succeed.
1 [ aunched
2 t ai t ori ng
3 succeed
4 t urned i nt o
5 outwei gh
58
tr
Word search
Find adjectives in the article which fit these definitions.
1 i mmedi ate (paragraph B)
2 very si mi l ar (paragraph
B)
3 very small
(paragraph
C)
4 very obvi ous and cl ear (paragraph
C)
5 not easy to pl ease or sati sn/
(paragraph
C)
6 astoni shi ng (paragraph E)
7 very big
(paragraph
F)
8 smal l i n amount
(paragraph
G)
9 much
/
a l ot
(paragraph
H)
Fi nd an adj ecti ve i n the arti cl e wi th the same meani ng as each of the underl i ned words.
1 i nternati ona[(market)
2 domesti c (market)
Use words and phrases from Exercises B and C to complete these sentences.
1 Thenewr angeof phoneshasbeenasuccessi nt heA. . . . . . . . umar ket wi t hA. . . . . . . . bsal esi nt hef i r st si x
months
-
ovI 50ol o hi gher than expected.
2 I n f . . . . . . . . " market s, t here have been f . . . . . . . .
b
cont rast s i n our perf ormance. Our ef f ort s i n Asi a have
f . . . . . . . . . . ' due t o aggressi ve compet i t i on f rom several much cheaper 1. . . . . . . .
o
ranges.
3 I n Nort h Europe, we had 1. . . . . . . . " success i n t he f i rst si x mont hs. However, t he second hal f of t ne year
has been f . . . . . . . .
o
bet t er.
4 Weont yl . . . . . . . . " i nGr eecel ast year , andr esul t st her ehavebeen5. . . . . . . . b- somuchbet t er t han
we ever exoected.
Thi nk of an unusual product/servi ce from your country that sel l s wel l i n other parts of the worl d.
Expl ai n why i t was been successful . Incl ude i nformati on about:
r
the research they di d
.
the marketing strategies and activities they used
.
arv modi fi cati ons they made to the product/servi ce.
Make a l i st of four or fi ve cha]l enges that compani es face when tryi ng to se[[ thei r products gtobatl y.
Then di scuss some possi bl e sol uti ons for each chal l enge.
You work for a company that makes a range of quality backpacks for school-aged children. Prepare a sales
pitch for a customer, explaining the product features and benefits. Include information from the article.
UN| T14
"
DEVELOPING A SUCCESSFUL NATIONAI BRAND
tr
Sentence completion
59
Thi s uni t l ooks at expandi ng i nto the Russi an Federati on market.
1 When buyi ng l uxury i tems, what i nfl uences peopl e' s choi ces i n your country, e.g. recommendati ons
from fri ends, brand reputati on, etc.?
2 What ki nd of TV adverti sements are popul ar i n your country, e.g. ads that are humorous, tel l stori es?
l s i t di fferent i n other countri es you know?
3 How do you t hi nk t he break-up of t he Sovi et Uni on has changed consumer behavi our i n t he
Russi an Federati on?
tr
tr
Read the arti cl e on the opposi te page and answer these questi ons.
1 What i s the purpose of the arti cl e?
2 Who i s the i ntended reader?
3 What evi dence i s the i nformati on based on?
Read the article again and say whether these statements are true (T) or false (F).
1 Demand for consumer goods i n the Russi an Federati on has been l argel y met.
2 Many Western compani es have been successful i n devel opi ng thei r brands for the Russi an market.
3 Russi an consumers are happy to spend a l arge part ofthe money they earn on l uxury goods.
4 The concept of l oyal ty to brands i s wetl devel oped i n the Russi an Federati on.
5 Advi ce from fri ends and fami l y i s an i mportant factor when maki ng purchasi ng deci si ons.
Read paragraphs H and I again. What type of adverts work best with Russian consumers?
Mark the points the writer mentions.
a) Adverts that show a tradi ti onal way of l i fe
b) Adverts that tett stori es about real l i fe
c) Adverts that Russi an consumers can rel ate to easi l y
d) Adverts that show a weatthy lifestyte
e) Adverts that show respect forwomen and parents
According to the writer, what are the risks of using these advertising strategies in the Russian market?
1 Runni ng TV adverti sements devel oped for other markets, wi th a voi ceover i n Russi an
2 Usi ng i nternati onaI adverti si ng campai gns that are speci fi catl y ai med at women
60
Russian consumers want
to splash their cash
by Valentina Glubokovskaya
A The Russian Federation offels
tremendous growth potential due to the
fast pace of its economic development.
The Russian population' s desire to
s consume is comparable to that of
Western countries
-
the important
difference being that consumer needs
are far from being satisfied.
B Despite this positive starting position.
l0 just a fer,v Western companies have
managed to establish their brands
successfully in Russia. Many
companies ignore the large cultural
differences between East and West
rs in their brand positioning and
communications. and therefore fail.
C Consultancy Creative Advantage
has been carrving out research into
the challenges of geographic brand
transfer and the positioning of
Western brands in the Russian
market since 2005 and has developed
a deep understanding of the Russian
consurner. Theil research offers
useful insights.
One impofiant characteristic
of consumer behaviour is their
rvillingness to spend a large part oftheir
disposable income on luxury goods
such as designer clothes. Appearances
and prestige have been an impofiant
part of Russian culture ever since the
time of the Tsars. Given the soeed of
soci et al devel opment s. Russi ans prel er
to look good today rather than saving
the money for future purchases.
As brands only became available
after the break-up of the Soviet Union,
l Jt l i T t 5
""
EXPAI I *l NG SRANDS t NT*Ti {[ RUSSI AF! i 1r: ARi t [ T
Russians are very open to trying nerv
products. This means much lorver
bland loyalty compared with
Western Europeans.
Mmketers should keep these consumer
characteristics in mind r.vhen planning
a comrnunication strategy for their
brands. Creative Advantage's research
also provides some key insights for
developing the right marketing strategy.
In a consumer environment where
there is little trust in local manufacturers,
brand rccommendations from friends
and family are valuable guides to
making choices, and tend to have a
lasting impact on consumer behaviour.
Personal recommendations are lnore
vaiuable in influencing the acceptance
and the spread of blands than most
traditional advertising tools.
Adver t i si ng t hat communi cal es
authentic or credible
' stories'
of
everyday life is generally positively
perceived. Communication should,
therefore, convey
'real-life'
stories r'vith
high relevance for the target audience.
An example of advertising that is well
received by consumers is the poster
campai-en for the mobile network
provider Megafon. This played on
the ner.v-found middle-class Dasslon
f or t ravel by showi ng hol i daymakers
at popular destinations, such as the
Pylamids in Cairo and the Statue of
Liberty in New York. In contrast.
Western ads dubbed rvith voiceovers
are badly vierved. Consumers consider'
Westeln advetising that is simply
language-adapted to shorv a lack of
cultural respect.
Traditional values play an important
role in Russian society. Parents and
womer) are gi ven parl i cul ar respect .
This makes it difficult to transfer
international advenising targeted
specifically at women directly to
the Russian market. For examole. a
post er campai gn f or t he mobi l e-phone
brand Sagem caused controversy
with its strapline
' Caress
your ear' .
Many older people considered the ad
irnmoral; their strong protests led to
the postel being lvithdrawn.
G
50
H
60
75
I
80 25
D
35
E
from Cantpaigtt
s1
UNIT 15
"
EXPANDING BRANDS INTO THE RUSS| AN MARKET
Definitions
Match these words from the article (1-10) with their meanings (a-D.
1 communi cat i ons
2 characteri sti c
3 di sposabl e i ncome
4 appearances
5 prestige
6 percei ved
7 dubbed
8 val ues
9 respect
10 controversy
a) t he bel i ef s t hat an i ndi vi dual or soci al gr oup has
b) hi gh status resul ti ng from weal th or i nftuence
c) when the speech i n a fi l m or vi deo i s changed to another l anguage
d) typi cal and noti ceabte quati ty somethi ng has
e) pol i teness, honour and care shown towards someone consi dered i mportant
f) money for spendi ng after payi ng taxes and other basi c needs
g) the way someone or somethi ng l ooks
h) understood i n a certai n way
i ) strong di sagreement on an i ssue that peopl e feel strongty about
j )
att the acti vi ti es and medi a used to communi cate a marketi ng message
1 Match these words to make adj ecti ve-noun partnershi ps from the arti cl e.
tr
Word partnerships
1 cul tural
2 l uxury
3 consumer
4 personaI
5 t radi t i onal
a) r ecommendat i on
b) val ues
c) di fferences
d) goods
e) behavi our
Find another adjective-noun partnership that starts with cultural and at least two noun-noun
partnerships that start with consumer.
g
Word search
1 speed
(paragraph
A)
2 not to pay attenti on to somethi ng (paragraph
B)
3 knowl edge and understandi ng of a compl ex si tuati on (paragraph
C)
4 ready and wi [[i ng (paragraph E)
5 very useful and i mportant (paragraph
G)
6 a very strong i nterest (paragraph
H)
7 move your hands gentl y over someone' s face or body (paragraph
l )
8 taken down (paragraph
l )
In paragraph H, fi nd three adj ecti ves that tel l you Russi an consumers prefer adverti si ng
to be real and bel i evabl e.
UNI T 15
"
EXPANDI NG BRANDS I NTO THE RUSSI AN MARKET
In the same paragraph, fi nd the words the wri ter uses to express these i deas.
1 percei ved i n a posi ti ve way
2 recei ved i n a good way
3 vi ewed i n bad way
Rewrite these phrases usingposdrvely or negatively.
1 a deci si on per cei ved i n a good way a por i t i vel y per cei ved Aeci t i o, l
2 a vi ral adverti si ng campai gn vi ewed i n a bad way
3 a presentati on recei ved i n a good way.
1 Deci de whi ch verb does not go wi th the noun phrase i n bol d.
1 dub
/
i nterpret
/
transtate a TV adverti sement for a forei gn market
2 wi thdraw
/
take out
/
abandon an adverti si ng campai gn
3 devel op
/
i ncrease
/
grow
understandi ng of consumer behavi our
4 i gnore
/
put off
i
di sregard cul tural di fferences
5 start
/
estabti sh
/
l aunch a brand i n a new market
2 Use verbs from Exerci se r i n the correct form to compl ete these sentences.
1 The advert s had t o be . . . . . . . . because t here were so many compl ai nt s f rom t he publ i c.
2 l t ' s i mport ant t o . . . . . . . . a deep underst andi ng of consumer behavi our f or each i nt ended
forei gn market.
3 Gl obat campai gns of t en f ai I because compani es . . . . . . . . cul t uraI di f f erences.
4 Mi st akes i n . . . . . . . . advert i si ng mat eri al s wi l l creat e a negat i ve i mpressi on of your company.
Based on the i nformati on i n the arti cl e, what ki nd of marketi ng acti vi ti es and adverti si ng medi a and
materi al s do you thi nk woul d be sui tabl e for promoti ng a l uxury brand for the Russi an market?
Pl an a communi cat i on st rat egy f or promot i ng a mobi l e phone net work or mobi l e phone f or a market
that you know wet[.
r
Li st the consumer characteri sti cs for that market and any i mpl i cati ons for your adverti si ng strategy.
.
Pl an some the marketi ng acti vi ti es and medi a you can use.
o
Present your i deas as a presentati on or adverti si ng bri effor an agency you pl an to use.
Thi s uni t l ooks at a new market for Indi an retai l er the Future Group.
1 What moti vates peopl e to go abroad to l i ve and work? l s i t the same for countri es i n the devel opi ng
worl d as i n devel ooed countri es?
2 Whi ch countri es do you thi nk have the l argest communi ti es l i vi ng and worki ng abroad?
How do these communi ti es contri bute to a) the l i ves of thei r rel ati ves back home;
b) the economi es of the home country?
3 What e-commerce opportuni ti es do these communi ti es offer for busi nesses i n thei r home countrv?
tr
Read the arti cte on the opposi te page and say whether these statements are true (T) or fal se (F).
1 FutureBazaar.com i s the Future Group' s Internet shoppi ng si te.
2 The company devel oped i ts websi te to reach Indi an peopl e l i vi ng and worki ng abroad.
3 Fut ureBazaar i s t he onl y I ndi an company f ocusi ng on t hi s group.
4 In the USA, a bi g target group for thei r websi te i s young professi onal Indi ans.
5 Accordi ng to Mr Banerj ee, Indi ans worki ng abroad are moti vated to buy thi ngs for thei r parents
because of gui l t about thei r comfortabl e l i festyl e.
6 Maruti Sazuki i s a car manufacturer wi th producti on i n the USA.
7 Indi ans l i vi ng and worki ng overseas use Maruti ' s websi te to buy cars for thei r rel ati ves back i n Indi a.
8 Sal es to overseas Indi an communi ti es represent a [arge part of Maruti ' s busi ness.
9 A key task for e-commerce busi nesses targeti ng overseas Indi ans i s to fi nd ways of promoti ng the
servi ce to the di fferent Indi an communi ti es.
tr
1 Scan the article quickly to find these details. What do they refer to?
7 90Yo
2 20-25m
3 The USA, the UK, Canada and Austral i a
4 2006
5 3, 500
6 The KhaleejTimes
64
UNIT 16
' "
TARGETING OVERSEAS C0tvl ftrl ut' l l Tl ES
G
of
H
bvAmvYee
FutureBazaar.com is the online
shopping website of India's largest
retailer, the Future Group. The website
generates more than 90 per cent of its
sales in India on thousands of items
from TVs to frying pans. Products are
delivered to customers within days
from warehouses spread across India.
There's no marketplace like home
B But after Future noticed a sizeable
ro number of international credit cards
being used at its stores, FutureBazaar.
com decided to target Indians living in
the USA and the UK. The exoerience
of buying products for the family back
rs home is familiar to millions of Indians
living overseas. Sankarson Banerjee,
fotmer CEO of FutureBazaar, says,
'If
you're only in India for seven days,
there is no time to do research. You
20 don't know where to buy things any
more. The solution is the Intemet.'
C The retailer is one of a growing
number of companies, from banks
to car makers, that are targeting
x
'non-resident
Indians'. There ate
between 20 and 25 million Indians
working and living overseas, a com-
munity that offers huge potential as a
catalyst for India's economic growth.
D FutureBazaar.com is initially
focusing on Indians living in the
USA, the UK, Canada and Australia.
Between l 5 and 2 million Indians
live in the USA alone. In those
:s countries, the younger generation of
Indians
'enjoy
a high lifestyle', says
Mr Banerjee.
'They
feel guilty about
it and want to buy things for their
parents.'This kind of spending makes
,o
sense for another reason.
'Parents
feel
that spending money on consumption
is not something they do. Twenty years
ago, incomes were low. It is culturally
difficult for them to consume.
+s so their children do it for them.'
E Maruti Suzuki, the country's largest
car maker, encourages non-resident
Indians to buy goods in India for their
relatives rather than sendins monev
for them to spend. In 2006, it launched
a website for overseas Indians to order
cars in rupees and get them delivered
to a relative's doorstep from a local
Maruti dealership. So far, Maruti has
sold about 3,500 cars online, a drop
in the ocean compared with its annual
sales of about 675O00 vehicles.
But it hopes to use this side of the
business to increase its global reach.
The effort to reach overseas
customers requires focused marketing,
such as translating promotional
materials into regional languages.
FutureBazaar.com has been tarset-
ing Indian communities by passlng
out fliers at large Indian groceries.
for example in Edison, New Jersey, a
city with a large Indian population. It
also sponsors events that attract large
numbers of overseas Indians, such as
annual regional festivals in the USA.
FutureBazaar.com also markets the
service at conferences hosted by
major Indian business and university
associations, such as the Indus
Entrepreneurs, whose networking
events are attended by thousands.
Maruti runs advertisements on
websites used by Indians, such as
matrimonial portals and sites in
local languages such as Gujarati
or Malayalam, as well as in
local newspapers read by Indian
communities abroad. These include the
Khaleej Times in the Middle East and
India Abroad in the USA.
FT
' '
" " ; "
" t "
Where do FutureBazaar and Maruti Sazuki promote thei r servi ces to overseas Indi an communi ti es?
Mark each channel F (FutureBazaar)
or M (Maruti
Sazuki ).
1 I n speci f i c newspapers f or t he I ndi an communi t y abroad
2 At l arge grocery stores where a l ot of Indi an peopl e shop
3 At conf erences and net worki ng event s f or I ndi an academi cs and busi nesspeopl e
4 On websi t es whi ch t he I ndi an communi t y t ypi cat l y vi si t s
5 At annual festi val s for di fferent Indi an communi ti es
6s
UNIT 16
"
TARGETING OVERSEAS COMMUNITIES
tr
1
'ln
those countries, the younger generation of lndians "enjoy a high lifestyle", says Mr Banerjee.'
(ti nes
r+-l z)
a) young Indi ans woutd l i ke to l i ve l i ke ri ch peopl e
b) young I ndi ans have t he benef i t of a hi gh st andard of t i vi ng
2
' l n
2006, i t l au nched a websi te for overseas Ind i ans to order cars i n ru pees and get them del i vered
to a relative\ doorstep
from
a local Maruti dealershrp.' (tines
50-54)
a) the cars are del i vered di rect to the fami ty member' s home from the l ocal deater
b) ttre cars are del i vered to the [oca[ deal er for col tecti on by the fami ty member
3
' So
far, Maruti has sol d about 3,500 cars onl i ne, o drop i n the ocean compared wi th i ts onnuol sal es
of about 675,ooo vehicles.' (tines
f +-SZ)
a) not worth havi ng i n rel ati on to the total vehi cl e sates
b) ont y a smal l number compared t o t he t ot al vehi cl e sat es
E
Word search
tr
Definitions
Match these words from the arti cl e
(1-7) wi th thei r meani ngs (a-g).
1 catalyst
2 consumpt i on
3 i ncomes
4 gl obal reach
5 fl i ers
6 networki ng
7 mat ri moni aI port al s
Fi nd words or phrases i n the arti cl e whi ch fi t these meani ngs.
1 produces (paragraph A)
2 coveri ng al l parts (paragraph A)
3 fai rty l arge
(paragraph
B)
4 ai mi ng at (paragraph C)
5 persuades (paragraph E)
6 get to (paragraph F)
7 organi sed and run by (paragraph G)
Fi nd words i n the arti cl e to repl ace each of the underl i ned words.
1 l ndi ans worki ng and l i vi ng overseas
(l i nes
z6-27)
2 overseas Indi ans/customers (ti nes
Srl 6o-6t)
a) the extent of a company' s i nfl uence around the worl d
b) smat t sheet s of paper adver t i si ng somet hi ng
c) somet hi ng t hat causes an i mpor t ant change
d) money peopl e ear n f r om t hei r wor k
e) websi tes for fi ndi ng marri age partners
f ) t he act of buyi ng and usi ng pr oduct s
g) meeti ng other peopl e i nvol ved i n the same type of work, to share
i nf or mat i on and suppor t each ot her
66
UNI T 16
>'
TARGETI NG OVERSEAS COMMUNI TI ES
Word partnerships
1 Match these words to make verb-noun partnershi ps for descri bi ng marketi ng acti vi ti es.
a) events
b) the servi ce
c) I ndi ans ( t i vi ng and wor ki ng i n t he USA)
d) (promoti onal ) materi ats
e) adverti sements
f) fti ers
2 Th i nk of at l east one other noun-noun phrase that can fol l ow each of the verbs i n Exerci se r to form
word partnershi ps for descri bi ng marketi ng acti vi ti es
ExAMpLEs: l argel a
youl h markef / peopl e i n t hei r G)s
l ra nsl al e a 6rochu re/ l ea{l ef
Use words from Exerci ses A, C and D to compl ete these sentences.
1 We i nt end t o m. . . . . . . . our servi ce t o Sout h-East Asi ans l i vi ng and worki ng here.
2 The proposal i s t o t . . . . . . . t he younger generat i on, especi al l y t hose wi t h l arge di sposabl e i ncomes.
3 We have at l ocat ed a budget f or f . . . . . . . . cul t uraI event s i n ci t i es wi t h t he [ argest communi t i es.
4 Our pr omot i onat l eaf t et sandf . . . . . . . . uneedt obet . . . . . . . bi nt ot oca[ [ anguagessowecan r . . . . . . . . '
a l arger audi ence.
5 We have recrui t ed a smal l t eam t o p. . . . . . . . o. . . . . . . . f l i ers and l eaf t et s at Asi an supermarket s i n Toront o.
5 As par t of t he campai gn, we wi l l al so r . . . . . . . . a. . . . . . . . on l ocaI communi t y r adi o st at i ons.
7 We do not expect t o
9. . . . . . . .
much i ncome f rom t he websi t e t hi s year, but we are conf i dent i t wi t I make
money l ong t erm.
What ot her market i ng act i vi t i es cout d e-busi nesses t i ke Fut ureBazaar and Marut i
Suzuki use t o oromot e t hei r websi t e servi ces t o non-resi dent I ndi an communi t i es?
Di scuss t he di f f erent ways non-resi dent nat i onal s f rom devel opi ng count ri es can cont ri but e
t o t he devel opment of t hei r home count ri es:
a) whi t e worki ng abroad
b) when t hey go back home.
a) Deci de on a busi ness to target one ofthese groups:
.
a [arge, settl ed ethni c group i n your country
r
a non-resi dent communi t y t i vi ng and worki ng i n your count ry
.
non-resi dent nati onal s from your country l i vi ng and worki ng abroad.
b) Deci de on a marketi ng strategy for your new busi ness and ptan some acti vi ti es to
1 t ar q' . t
2 transl ate
3 pass out
4 sponsor
5 market
6 run
Thi s uni t l ooks at customer l oyal ty across brands.
1 Have you ever compl ai ned about unusual l y bad ser vi ce or a di sappoi nt i ng pr oduct ? Was t he company' s
reacti on sati sfactory or poor?
2 Are there any brands that you al ways buy or use? What stops you from changi ng to other brands?
3 Do you t hi nk compani es do enough t o keep t hei r cust omer s l oval t o t hei r br and?
E
Understandi ngdetai l s
!|
Howthe text is organised
What do these words refer to in the text?
1 t hey (t i ne
21)
2 those (l i ne
32)
3 thi s (ti ne
46)
4 these (ti ne
52)
5 those (l i ne 51)
6 thi s (ti ne
66)
tr
Read the arti cl e on the opposi te page and choose the best opti ori to compl ete each statement.
1 The general marketi ng vi ew i s that customers are /ess
I
more toyat to brands than thev were before.
2 The writer agrees
I
disagrees with this view.
3 Accordi ng to the wri ter, many brands treat thei r most toyal customers wei l
I
badty.
4 l n the wri ter' s vi ew, most customers stay toyat to brands because i t' s too much effort to change brands
/the
quality of their service is so good.
5 The wri ter sees customer probl ems and compl ai nts as on opportuni ty
I
o di sasterfor compani es.
6 Companies that are witling to invest in building interactive websites
I
supporting customers are more
l i kel y t o keep t hei r cust omers.
1 In paragraph c, the wri ter gi ves four exampl es to support hi s vi ew that compani es treat
l oyal customers badty. What are they?
2 In paragraph F, the wri ter gi ves two exampl es of how staff can sol ve customer
probl ems
i n a posi ti ve way. What are they?
3 How are compani es t i ke Googl e and Appt e usi ng t hei r websi t es t o support t hei r cust omers?
68
*i i l ? 17
""
l i t i ?l f ' i * {UST*t oi ERS L*YALi {i SRgri i i S
D
G A global luxury hotel chain recently
conducted customer research. The
research shor.ved that their strongest
rvord-of-mouth support comes
from individuals r'vho have had an
ar unpleasant problem happily resolved
rather than those rvho simply enjoyed
' good'
or
' excellent'
service. The
r.villingness and ability to resolve a
difficult situation successfully is r.vhat
h5 dennes l oyal t y. Many compani es
already knoiv this and have invested
accordingly.
H New technology has created nerv
opportunities for reciprocal loyalty.
ro Increasingly, top companies such as
Google and Apple are creating online
spaces where customers can interact to
share information about ner.v features
and technical Droblems. Established
zs brands such as Procter & Gamble
and the BBC are using digital media
to listen to customer ideas and shaoe
nerv product s. Cust omers know t hese
organisations have invested millions
so of dollars, pounds and euros into
taking them seriously and are more
likely to stay loyal.
I These days, brand value cornes
from investing as much in valued
85 customers as in valuable
products and services.
trT
I. I.
by Michael Schrage
A Marketing gurus and brand managers
rvorldwide complain about the
erosion of customer loyalty. The
global porver of consumer brands is
s not what it r'vas before, and marketers
do not like it. They see their customers
as fickle and ungrateful.
B In reality, these marketers comp-
letely misunderstood the declir.re of
ro brand loyalty. A revierv of the past
decade shows that customers have
not been unfaithful to established
brandsl in fact, quite the opposite.
C But look at any typical block of
15 TV network advertising in the US
and you r.vill see at least a quarter of
the primetime advertisements show
their target customers and prospects
as idiots and fools. The truth is that
35
E
10
F
Sel ect the best expl anati on for these i deas from the arti cl e.
i
' ...
customers have not been unfai thful to establ i shed brands; i n
fact,
qui te the opposi te.'
(ti nes u-r3)
ei Cust omer s have been ver y l oyal t o br ands.
=; : Cust omer s have not been at at l t oyal .
j
'
... brand i nerti a
1...1i s
the reaso n why so ma ny custo mers have stayed wi th so ma ny co m pa n i es
f or so [ ong. ' ( t i nes z9- l z)
4, 1 t oo much choi ce st ops peopl e changi ng br ands
bi a t ack of ener gy st ops peopl e swi t chi ng t o ot her br ands
3
' Those
who swi tch are not bei ng di sl oyal ; they are bei ng di scri mi noti ng...' (ti nes
l z-:4)
*i They ar e showi ng how angr y t hey f eel about t he br and.
bi They ar e maki ng car ef ul
j udgement s
about how good or bad a br and i s.
Customers want loyalty not perfection
established brands have not treated
their most loyal customers lvell. They
charge rnore and more fol less and
l ess. Thei r' i nnovat i ons' f requent l y
add more complexity than value.
Their rvillingness to apologise and
compensate customers for errors or
mistakes is nil.
An al t ernat i ve market i ng vi erv
is that
' brand
inertia' far more than
' brand
loyalty' is the reason why so
many customers have stayed rvith so
many companies for so long. Those
who srvitch are not being disloyal;
t hey ar e bei ng di scr i mi nat i ng i n
choosing brands.
The cent ral market i ng quest i on
for brand managers therefore is
not
' how
can we radicaliy increase
customer loyalty?' but
' holv
can we
radically increase our orvn loyalty
to customers?'
Often, it is not a flarvless service but
the way acompanydeals rvith amistake
that lvins customer loyalty and leturn
business. There are many examples
of this. Airline reservation staff rvho
do not charge the extra
' change
fees'
rvhen customers accidentally misbook
a fixed-date flight. Mobile telephone
operators who politely and rvithout
complaint remove incorrect charges
from the bill. These are less acts of
' customer
service' than demonstrat-
ions of loyalty to customers.
69
UNIT 17
' >
KEEPING CUSTOMERS LOYALTO BRANDS
1 er osi on
2 pri meti me
3 prospects
4 compensat e
5 ni l
6 word-of-mouth
7 reci procal
8 br and val ue
g
Word partnerships
1 toyat/di sl oyat
2 est abl i shed
3 pri met i me
4 flawless
5 word-of-mouth
1 Match these words to make adjective-noun partnerships from the article.
a) servi ce
b) customers
c) support
d) brands
e) adverti sements/commerci al s
Deci de whi ch verb i n each set does nof go wi th the nouns i n bol d.
1 apol ogi se for
/
compensate for
/
deci de
/
deatwi th a mi stake/error
2 work out
/
sol ve
/
fi nd a sol uti on for
/
resol ve a probl em/di ffi cul ty
3 desi gn
/
shape
/
set up
/
devetop a new product
4 conduct
I
do
I
carry out
/
make customer research
tr
Definitions
Match these words from the arti cl e (1-8) wi th thei r meani ngs (a-h).
a) how much a brand i s wort h i n t erms of i ncome, reput at i on, et c.
b) havi ng benefi ts for two groups
-
customers and the company
c) comments customers make to each other i nformal l y
d) the ti me i n the eveni ng when the maxi mum number of peopl e watch TV
e) graduat destructi on
f) peopl e who coul d become customers
I
pay someone money because somet hi ng i s l ost or damaged
h) nothi ng or zero
E
Word search
1 exi sti ng for l ong ti me (paragraph
B)
2 perfect (paragraph F)
3 carri ed out (paragraph
G)
4 fi nd a sol uti on (paragraph
G)
5 i nfl uence how somethi ng devel ops
(paragraph
H)
6 consi dered i mportant (paragraph l )
7 worth a l ot (paragraph
l )
Fi nd three words i n the arti cl e whi ch mean
' not
l oyal ' (paragraphs A, B and D).
Whi ch one i s more col l oqui al ?
Ul{lT 17
"
KEEPING CUSTOMERS LOYALTO BRAI{DS
1
2
tr
Comparisons
tr
When the prefix mr3- is added to the beginning
of a verb, i t means' done badl y' or' wrongl y' , for
example: mishear
-'hear
badly', miscalculate
:
'calculate
wrongly'.
Find two verbs starting with the prefix mis- in the article.
Reword these phrases as verbs starting with mis-. Then add at least two more
examples you know.
1 i nterpret wrongl y
2 inform wrongly
3 spetl badty
1 Complete these comparisons from the article using the words in the box.
Some words are used more than once.
as much ... as far l ess more than
1 Compani es char ge mor e and . . . . . . . . money f or . . . . . . . . and . . . . . . . . .
2 Product i nnovat i ons f requent l y add . . . . . . . . compl exi t y. . . . . . . . val ue.
3 Brand i nerti a ........ more than brand l oyatty i s the reason why so many customers
have stayed wi th compani es for so [ong.
4 Br and val ue comes f r om i nvest i ng. . . . . . . . . . . . . . . . i n val ued cust omer s . . . . . . . . i n
val uabl e products and servi ces.
Use the words for comparison in the box to make your own sentences.
The wri ter thi nks that a typi cal bl ock of pri meti me TV adverti si ng i n the US shows potenti al
customers
as'idiots and fools'. Thinking about your country do you share his views? Why?
/
Why not?
Do you agree with the writer's views in the article that brands do not treat loyal customers wetl?
Give some examples to support your view.
Make a l i st of thi ngs a company can do to make sure i ts customers stay l oyal to the brand. Then
prepare a set of guidelines with your ideas.
7t
Thi s uni t l ooks at the i mportance of customer servi ce.
Discuss these questions.
1 When di d you l ast phone a company to make an enqui ry or compl ai nt? Was the cal t handl ed through a
cal l centre? Was i t a posi ti ve or frustrati ng experi ence? What happened?
2 Why have ca[ ] cent res become popul ar wi t h so many compani es?
3 In many cal l centres, staff have on-screen scri pts wi th seri es of questi ons that they must work though
when deal i ng wi th a customer query. What are the benefi ts and ri sks of usi ng scri pts?
tr
1 Read the arti cl e on the opposi te page and answerthese questi ons.
1 l s the wri ter mai nl y happy about the state of customer servi ce?
2 l s her mai n concern the l ack of fl exi bi ti ty i n respondi ng to customer queri es?
3 l s she suggesti ng a compl ete rethi nk of the way customer servi ce i s organi sed?
4 l s the ai m of the two practi cal changes she suggests to hetp compani es respond more qui ckty to
cust omer needs?
2 Choose the best summary for each paragraph (A-F).
1 Probl ems affecti ng standard customer servi ce
2 l mprovi ng staff moti vati on and trai ni ng for better customer experi ences
3 Benefi ts of devel opi ng tasti ng retati onshi ps wi th customers
4 The poor state of customer servi ce A
5 Usi ng customer data to understand customers better
5 Movi ng to a more personaI approach to customer servi ce
1 Read the article again and say whether these statements are true (T)
or fatse (F). Correct the false ones.
1 Accordi ng to the wri ter, al l the probl ems wi th customer servi ce are connected to poor staff trai ni ng.
2 Customer servi ce most often goes wrong when customers have queri es that are not routi ne.
3 The wri ter thi nks that the key to good customer rel ati onshi ps i s havi ng fri endty staff.
4 A pri ori ty for customer servi ce staff i s to make sure that every customer feets that hi s or her
concerns are real l y i mportant to the organi sati on.
5 Most organi sati ons don' t have access to the ki nd of customer data that i s useful for provi di ng
customer servi ce that meets i ndi vi duaI needs.
tr
72
A tailor-made approach
to customer relations
by AndreaAyers
A Customer service isn't working;
newspapers are filled with horror stories
of customer service agents without
the training or motivation to do more
s than read scripted responses. Message
boards and letters pages regularly have
complaints about the state of customer
service. What is going wrong?
The problems are numerous. Ans-
wers learnt by rote or script, poor
technology that makes the agent's
job
more difficult, high staffturnover.
There are also issues around offshore
call centres, including language
barriers and prejudiced customers.
In customer service, as long as
the customers are asking for
something that fits in with standard
processes, they will get what they
want. If their request is different
to the norm, the system starts to break
down. and a customer experience
can go wrong. Organisations need
to move away from servicing the
25 customer, and into the mindset of
having relationships with them.
C At the heart of customer relationship
management (developing systems to
provide an individualised customer
:o service) is the idea of providing
a personal experience for every
customer. This means much more
than a cheerful greeting or using first
names. When it comes to customer
:s service, it means adapting to the
customer's needs, rather than having
the customer adapt to the system. A
relationship management approach
means abandoning the one-size-fits-all
qo
model and replacing it with a tailored
experience, making every customer
feel as if his or her issues are the
UNI T 18
"
DEVELOPI NG CUSTOMER RELATI ONSHI PS
number-one priority for the company
at that time. A nice idea, some will say,
+s a good theory, but how is it put into
practice?
D First, in terms of technology,
analytics (the process of converting
data into information for useful
sodecision-making) offer important
insights. A customer's billing history,
recent calls, complaints, even their age
and profession, provide organisations
with the means to build a vivid
s: picture of their individual needs. In
many organisations, this information
is almost completely untapped in
separate databases. This is a missed
opportunity. The trends contained in
ao this data could tell you where your next
complaint will come from, who likes
to be contacted in which manner (and
when), and, most importantly, who
you could target with whichproducts.
E The second point relates to customer
service staff. Staff are often poorly
trained, and staff tumover is high.
In order to engage with customers,
organisations need well-motivated
70 agents. Giving them the right training
and technology are clearly important,
but to win at customer service,
organisations also need to encourage
agents to provide feedback on how the
7s system can be improved. With
the right technology and training,
agents will have more confidence
in their work and be able to provide
a better experience for customers.
F By focusing on the long-term
relationship with the customer,
companies will enjoy better customer
7
i
B
l 0
I 5 retention and higher
satisfaction levels and
ss profltable repeatbusiness.
FT
Read paragraph E agai n and compl ete these notes summari si ng the wri tert i deas for maki ng
customer service staff more effective.
Problems with staff
Solutions:
Benefits:
Lack of training and
High staff turnover
Provide the right training and.
Get s t af f t o . . . . . . . . . . . . . . . .
Mor e . . . . . . . .
Bet t er . . . . . . . .
UNIT 18
"
DEVELOPING CUSTOMER RELATIONSHIPS
tr
Definitions
Match these words from the arti cl e
1 moti vati on
2 l anguage barri ers
3 mi ndset
4 mi ssed opport uni t y
5 engage wi th
6 cust omer ret ent i on
7 sati sfacti on l evel s
8 repeat busi ness
(1-8) wi th thei r meani ngs (a-h).
a) keepi ng cust omer s and not l osi ng t hem
b) a chance t o do somet hi ng t hat was not t aken
c) further busi ness from sati sfi ed customers
d) understand and deat wi th
e) way of t hi nki ng
f) how pl eased customers are wi th a servi ce
g) ent husi asm f or doi ng somet hi ng
h) communi cat i on pr obl ems caused by not speaki ng
t he same [ anguage
Word search
1 Fi nd adj ecti ves i n the arti cte whi ch fi t these meani ngs.
1 wri tten down (paragraph A)
2 based i n another country (paragraph
B)
3 havi ng an unreasonabt e di st i ke of someone, e. g. because of race (paragraph B)
4 normal or usual
(paragraph B)
5 desi gned speci fi cal l y to meet needs (paragraph
C)
6 not yet used (paragraph D)
7 produci ng a profi t (paragraph F)
2 f n paragraph C, fi nd an i nformal phrase wi th the opposi te meani ng to tai l ored.
Think of another adiective which means tailored.
3 Find the two compound nouns (with
three parts) used to refer to
'employees
who work
i n customer servi ce' . Whi ch one i s most often used i n cal l centres? What i s the short form?
4 Which two compound adjectives (with
two parts) are used to describe staff?
Word partnerships
Match the adiectives (1-6) with the nouns (a-f).
1 scri pted a) customers
/
vi ews
/
comments
2 offshore b) experi ence
/
servi ce
/
product
3 prej udi ced c) responses
/
answers
/
comments
4 standard d) customer servi ce staff
/
agents
5 tai l ored e) processes
/
approaches
/
systems
5 poorl y trai ned f) cal l centre
74
UNIT 18
' '
DEVELOPING CUSTOMER RETATIONSHIPS
Sentence completion
Use words and phrases from Exercises A-C to complete these sentences.
1 The peopl e we need f or our o. . . . . . . .
u
cal l cent re i n Sout h Af ri ca must have
the m........b to succeed and be trai ned i n sal es techni ques, preferabl y wi th previ ous experi ence of
wor ki ng as a c. . . . . . . . t
. . . . . . . a. . . . . . . . ' .
2 At l a. . . . . . . .
u
wi l l recei ve t rai ni ng t o hel p t hem work wi t h t he new
t . . . . . . . .
o
we have devet oped f or deal i ng
wi t h
r. . . . . . . .
'
af t er-sat es probl ems.
3 Our pri ori ty i s to offer customers t.......
u
customer-servi ce sol uti ons that wi tl meet thei r personal
needs. I n t hi s way, we hope t o r ai se
t
. . . . . . . 1. . . . . . . .
o
,
whi ch shoul d i mpr ove c. . . . . . . . r . . . . . . . . ' .
4 By i mprovi ng our cust omer servi ce, we are conf i dent t hat we wi l l wi n more r. . . . . . . . b. . . . . . . . f rom
exi sti ng customers.
tr
t horror stori es
2 l earnt by rote
3 fits in with
4 cheery greeti ng
5 number-one
6 vi vi d pi cture
Match these colloquial phrases from the article (1-6) with their meanings (a-f).
a) bri ght and happy-soundi ng openi l rg phrase for a cal l
b) reports of somethi ng reatty bad that has happened
c) most i mportant
d) goes wel twi th
e) a cl ear i dea of what somethi ng i s l i ke
f) l earnt by repeati ng somethi ng many ti mes rather than by understandi ng i t
What ski l ts do customer servi ce staff need to handl e customer tel ephone queri es and compl ai nts
effectively? How helpful are written or on-screen scripts?
Write a short report for senior management. The purpose is to suggest ways of improving customer
servi ce so that customers:
o
always receive positive experiences
.
are offered tailored solutions that meet their personal needs.
How have these devel opments affected customer servi ce? Choose one of the poi nts and di scuss the
benefits and challenges for companies, customers and customer service staff.
o
The growth of call centres
r
Locating ca[[ centres offshore where costs are cheaper
.
The shift to a customer-relationship approach to customer service
75
Use words and phrases from Units 1-9 to complete these sentences.
1 l t i s essent i al t o agree a b. . . . . . . . f or market i ng, t o avoi d spendi ng money unnecessari l y.
2 4. . . . . . . i s t he l argest expense of most market i ng pl ans, wi t h pubt i c ret at i ons and market research not f ar
behi nd.
3 Advert i si ng mat eri al s can ei t her be produced by an organi sat i on i t sel f or by an ext ernaI a. . . . . . . . a. . . . . . . . .
4 A' c. . . . . . . . i s t he name f or an advert i sement on TV ort he radi o.
5 The market i ng 5. . . . . . . . has been i ncreased f rom f 7m t o f 10m f or t he next year.
6 A change i n f ashi on or a change i n pri ce can af f ect 4. . . . . . . . f or a product or servi ce.
7 Pri ces on al t p. . . . . . . . 1. . . . . . . . have been reduced by t en per cent f or t he sal e peri od.
8 Many supermarket s have t hei r own c. . . . . . . . of di st ri but i on; f or exampl e, Asda has i t s own warehouses and
del i very vehi cl es.
9 Thi s mont h, Merl i n Hot el s have a t . . . . . . . . o. . . . . . . . of f i ve ni ght s f or t he pri ce of t hree.
10 l nt ernet shoppi ng wi l l cont i nue t o t ake m. . . . . . . . t . . . . . . . . f rom
' bri cks
ahd mort ar' ret ai l ers.
11 We were asked t o prepare a market i ng proposal on t he basi s of t he advert i si ng b. . . . . . . . provi ded by t he ct i ent .
12 Thecompany' ssal esi mpr oveddr amat i cal l yf ol l owi nga1mmar ket i ngc. . . . . . . . .
B P. . . . . . . . i s what di f f erent i at es a brand i n t he cust omer' s mi nd.
14 Mi crosof t ' s I nt ernet Expl orer i s t he rn. . . . . . . . 1. . . . . . . . i n t he gl obal browser market .
15 Sony' s Pl aySt at i on
3
games consol e t . . . . . . . mal es aged 18-35.
16 Googl e i s an exampl e of a very successf uI c. . . . . . . . brand.
17 The pl an i s t o r. . . . . . . . t he product t hough smal l speci al i st shops and our company websi t e.
18 Many peopl e are al ready comf ort abl e maki ng o. . . . . . . . purchases usi ng a comput er.
19 A good company websi t e must have rel evant c. . . . . . . . and be easy t o use.
20 Ensuri ngt hat cust omerorders are del i vered qui ckt yand ef f i ci ent l y i s essent i al f ort he success of any e-. . . . . . . . .
Choose the best word or phrase to comptete each ofthese sentences.
1 Market ers t oday use a great er vari et y of medi a and market i nC. . . . . . . . t o communi cat e wi t h t hei r cust omers.
a) procedures b) research c) ways d) methods
2 What percentage of the marketi ng budget shoul d we ........ for TV adverti si ng?
a) gi ve b) share c) di stri bute d) al l ocate
3 I n di f f i cul t t i mes, compani es may be abl e t o negot i at e l ower advert i si ng. . . . . . . .
,
al l owi ng t hem t o do t he same
amount of adverti si ng for l ess money.
a) prices b) costs c) rates d) fees
4
' Spri t e'
i s a brand name i n t he sof t -dri nks . . . . . . . . .
a) type b) category c) commerce d) cl ass
5 Many nat i onal brands f i nd i t di f f i cut t t o compet e wi t h . . . . . . . . brands, bot h at home and i nt ernat i onal l y.
a) gtobat b) forei gn c) tocat d) estabti shed
76
UNI TSl -9
"
CHECKTESTI
6 Many retailers are offering . . .. . . . . to get customers into their shops, for example buy one get one free, free
del i very on al l orders over 150.
a) competi ti ons b) pri ce reducti ons c) pri ce promoti ons d) l i st pri ces
7 One chal l enge that pharmaceuti cal brands face i s competi ti on from ........ products.
a) generi c b) tookati ke c) pi rated d) own-l abet
8 Cal cul ati ng the di fference between the sel l i ng pri ce and the costs gi ves you the profi t . . . .. . . . .
a) revenue b) margin c) difference d) amount
9 A. . . . . . . . i s anywhere t he consumer can physi ca[ [ y purchase product s.
a) retai l outl et b) retai l chai n c) retai l market d) retai l store
10 Fashi on retai l er Zara now has a network of over 1,500 stores gl obatty and sti tt has pl ans for further........ .
a) stretchi ng b) extensi on c) expansi on d) i ncrease
11 Hoti day fi rm Sunwi se i s to ........ an summer adverti si ng campai gn ai med at peopl e l ooki ng for cheap l ast-
mi nute hol i days.
a) rel ease b) i ntroduce c) start d) l aunch
12 Appte has a reputati on for bei ng creati ve and........ i n i ts product devel opment.
a) unusual b) innovative c) novel d) advanced
13 Anexampl eof ef f ect i ve. . . . . . . . i st heNi ke' swoosh' l ogobecausei t i si nst ant l yr ecogni sedever ywher ei n
the worl d.
a) brandi ng b) brand c) promoti on d) communi cati on
14 The company want s t o . . . . . . . . t he new phone as a f ashi on choi ce f or t he yout h market .
a) place b) aim c) locate d) position
15 Li gne Roset' s strong reputati on for desi gn gi ves i t a ........ advantage over i ts ri val s.
a) competi ng b) competi ti on c) competi ti ve d) competi tor
16' Peopl e who use the goods and servi ces a company produces are cal l ed
a) customers b) consumers c) cl i ents d) buyers
17 A brand ........ typi cal l y i ncl udes a name, l ogo desi gn and other vi sual el ements such as col ours or symbol s.
a) identity b) image c) characteristic d) perception
18 ........ marketi ng i s offeri ng customers more than one way of buyi ng a product, for exampl e from a websi te as
well as in a retail store.
a) Ni che b) Di rect marketi ng c) Brand d) Mul ti -channel
19 l f customers fi nd an Internet shoppi ng si te di ffi cul t to use, they wi l l often ........ a competi tor.
a) switch to b) exchange c) abandon d) replace
20 A. . . . . . . . of zoouser sof our onl i nest or ef oundt hat over goper cent wer ever ysat i sf i edwi t ht heexper i ence.
a) report b) questionnaire c) survey d) review
Use words and phrases from Units 1(F18 to complete these sentences.
t t) .... and pop-up advertisements are more traditionat forms of lnternet advertising.
2 When pl anni ng any market i ng act i vi t y, i t i s i mport ant t o underst and your t . . . . . . . a. . . . . . . . - who t hey are and
what thei r preferences are.
3 A n........ market i s a rel ati vel y smal l market wi th speci al i sed i nterests, tastes and background.
4 Facebook i s a f ast - gr owi ng 5. . . . . . . . n. . . . . . . . si t e.
5 Mast erCard i s t he t . . . . . . . . of many of t he worl d' s t op sport s, ent ert ai nment and f ashi on event s.
6 Thepoi nt of av. . . . . . . . adi st ospr eadqui ckt y, soi t must besi mpl et opassal ongandshar e.
7 Tosel t successf ul l yi nf or ei gnmar ket s, i t i si mpor t ant beabt et ocommuni cat eandunder st and c. . . . . . . . J. . . . . . . . .
8 For each o. . . . . . . . market , i t i s essent i al t o have a cl ear underst andi ng of who your cust omers are and what
moti vates them to buy.
9 The Wi i games consol e wi l l i ncrease Sony' s J. . . . . . . . i n t he market , despi t e a ] ack of real l y great games.
10 When you produce promot i onal mat eri at s f or a gl obal campai gn, make sure you f . . . . . . . . t hem i nt o l ocal
l anguages sensi ti vel y and correctl y to avoi d any embarrassi ng mi stakes.
11 A cost-effecti ve method getti ng new customers i s personal r........ from sati sfi ed customers.
12 Our servi ce i s ai med at ol der peopl e, wi t h hi gh t evet s of d. . . . . . . . i ncome.
13 Advert i sers are wi l l i ng t o pay ext ra f or p. . . . . . . . -t . . . . . . . TV advert i si ng.
14 Consumers are becomi ng more w. . . . . . . . -t . . . . . . . . every day, f i ndi ng new ways t o search, browse and purchase
onl i ne.
15 To keep cust omers, c. . . . . . . . t . . . . . . . . needs t o be a company' s t op pri ori t y.
16 [ ) . 1. . . . . . . . i s t he t endency f or cust omers t o al ways buy t he same brand of a product , wi t hout consi deri ng
the al ternati ves.
17 Compani es t hat deat wi t h cust omers' compl ai nt s qui ckt y and ef f i ci ent t y are more l i kel y t o get r. . . . . . . . b. . . . . . . . .
18 Moni t ori ng t he number of compl ai nt s a company recei ves hel ps organi sat i ons t o assess c. . . . . . . . t . . . . . . . . l evel s.
19 Make sure a. . . . . . . . handl i ng cust omer enqui ri es i n ca[ [ cent res are we[ [ t rai ned and mot i vat ed.
20 Cust omer f . . . . . . . . can provi de det ai t ed i nf ormat i on about how cust omers see your busi ness.
tr
Choose the best word or phrase to complete each ofthese sentences.
Advert i si ng i s one of t he most obvi ous ways t o . . . . . . . . a product and can range f rom maj or TV campai gns t o l ess
costl y [ocal marketi ng acti vi ti es.
a) sel t b) promote c) brand d) retai t
Internet adverti si ng i s an effecti ve way of creati ng........ wi th your target customers and beyond.
a) brand i mage b) brand val ue c) brand awareness d) brand responsi veness
Many wel l -known car compani es al so sel [ . . . . . . . . cl ot hi ng, key ri ngs and ot her i t ems.
a) brand b) brandi ng c) brand d) branded
Product . . . . . . . . i s when a company manages t o get i t s product seen i n f i l ms and on t el evi si on.
a) pl acement b) posi ti on c) posi ti oni ng d) pl aci ng
78
Reading
E
1 Communi cat i ng wi t h cust omers usi ng a wi der range of advert i si ng met hods
2 Loss of conf i dence i n TV advert i si ng
Growi ng i nt erest i n t he I nt ernet and ot her ways of advert i si ng
3 Because peopl e are usi ng t echnol ogy t o avoi d advert i si ng t hat t hey haven' t asked f or and don' t want .
4 They are l ooki ng f or new pl aces t o advert i se.
They are seei ng al l cont act wi t h t he consumer as a possi bl e market i ng opport uni t y.
5 Theyar el essf ocusedonTVadver t i si ngandar el ooki ngf or newwaysof i mpr ovi ngt heexper i enceof cust omer s
t hrough bet t er shop di spl ays, packagi ng, et c.
6 a , d
El
f f f rey are recordi ng programmes ont o DVDs and ski ppi ng t he advert s usi ng f ast f orward.
2 Bus-st op shel t ers and mobi t e phone screens
3 How st af f shoul d answer t he phone when deal i ng wi t h an enqui ry or compt ai nt
4 The desi gn of a new websi t e, whi ch cout d be seen as t he responsi bi l i t y of t he market i ng or product devel opment
deDart ment
Vocabulary
E r u 2a 3a
ft 1 aadopti ng bhoti sti c cadvances davoi d ebl ock fopportuni ty gfi gureout hbudgets i attocati ng
j i usti fu
2 commerci ats, ads
E t t o z a 3d 4f 5c 6e
2 marketi ng departments, marketi ng methods, marketi ng opportuni ty, marketi ng budgets, marketi ng messages
3 1 For exampte 2 such as 3 for i nstance
E 1 Customer experi ence 2 hoti sti c marketi ng 3 adverti si ng agenci es 4 marketi ng methods 5 marketi ng budgets
E r i n 2i n 3 of; to 4 wi th
Reading
E i o
2 The use of the imperative (Don't cut the budget
for
market research, Be careful about moving to low priced
distribution channels ...) and words [ike must (Marketers must recalculote demand) and should
(weoker items in
product lines should be cut).
3 Adi ust pri ci ng tacti cs
5
Adi ust product portfol i os
3
Focus on market share 6
Mai ntai n marketi ng spend z
Research the customer l
Support di stri butors
4
f l
1 f heyt akel onger sear chi ngf or pr oduct s, negot i at et ower pr i ces, buycheaper model s, wai t unt i t l at er t obuyt he
thi ngs they want and buy [ess.
2 Negotiate tower rates for advertising, change to shorter advertisements, use radio instead ofTV advertising, use more
direct marketing.
3 Offer more attracti ve fi nanci ng deats and pol i ci es to handl e products that customers return.
4 Of f er f i nanci aI i ncent i ves, e. g. speci al of f er sor r educedpr i ces, andbi gger di scount sf or l ar ger quant i t i es.
E r u 2a
Vocabulary
E
r u 2i 3g 4d 5e 6a Tc 8f 9h
E r r z a 3s 4h 5b 6d 7c 8e
E t a Demand b ti st pri ces c product l i nes d pri ce promoti ons e di scount
2 a Adverti si ng rates b marketi ng spend
3 di stri buti on channel s
4 acategori es bprospects
80
ANSWER KEY
El
f at r adedown bt r ust ed cvat ued dgoodval ue edamage f t empor ar y gabandon
2 downt ur n, economi c sl owdown, i n t ough t i mes, i n t i mes of economi c uncer t ai nt y
f l
1 cut , decl i nes, cut back (on), reduce. Ot her suggest i ons: cut down, l ower, decrease, f al l
2 t have decl i ned/ decreased/ f al l en 2 Cut t i ng/ Reduci ng 3 cut down
/ cut back 4 reduce/ cut
Reading
E f f 21 3F( Wi t ht her i ght st r at egy , t hey canr ec over . ) 4F( Thewr i t er t hi nks t hey ar emor ei mpor t ant . ) 5T
6 F (There are t wo mai n probl ems; t he ot her probl em ment i oned i s compet i t i on f rom cheaper generi c product s. ) 7I
f l l l Googt e 2Levi St r auss 3Appt e 4LVMH 5Mi cr osof t
2 West ern mot or manuf act uri ng and t he ent ert ai nment i ndust ry
3 I ncreased revenues, bet t er margi ns, more [ i ket y t o at t ract t he best graduat es f rom busi ness school s and keep t hem
B t a 2 b
Vocabulary
E r g 2 b 3 d 4 f 5 h 6 e 7 c Ba
p
l gr eat , huge 2damage 3unwi set y 4out st andi ng 5out st r i p 6r egai ned Tr evi val
8 cross borders 9 t ransf ormi ng
El r o 2d 3e 4a 5c
E t a) stretch brands, devetop brands, bui l d brands
b) corporat e brand, wel l -est abl i shed brands, l ocal brands, nat i onal brands, gt obat brands, st rong brands, t op brands
2l st r et chi ng 2damaged; r epai r 3r egai n 4r evi v al 5r ecover 6l os t di r ect i on Tchal l enges
Reading
El Li sn' t 2hasachi eved 3wi l t t as t al ongt i me 4st ayedt hes ame 5has 6benef i t s f or c onsumer s
EI f f Dur acel l 2PRMal t or y 3Gi t t et t eCompany 41, 964 5Ever eadyandown- l abel pr oduct s
6 i t s l onger t i f e 7 bt ack, whi t e and copper desi gn
2 1 l t was used i n t he devel opment of ot her product s, e. g. ot her t ypes of bat t eri es and t i ght i ng product s. I t at l owed
Duracel l t o become a successf uI i nt ernat i onal brand.
I t has been used i n al l i t s advert i si ng over t he years.
2 Don' t
j ust
f ocus on t he product , at so t hi nk about t he benef i t s f or t he cust omer.
Make sure you creat e a st rong brand name.
Creat e a st rongvi sual desi gn t hat i s st rongl y t i nked t o t he brand' s posi t i oni ng.
Vocabulary
E! r u 2a 3a
E
E
E
s
2e 3h 4i 5d 6c 7f 8a 9b
i nnovati ve ? teadi ng 3 hi gh-performance 4 di sti ncti ve 5 enduri ng 6 gl obal l y recogni sed
1e 2c 3b 4a 5d
2 ai own-l abel product s b) brand i dent i t y ci advert i si ng bri ef d) consumer brand e) market l eader
E f u) brand i dent i t y b) enduri ng
2 a) l eadi ng b) own- [ abel pr oduct s
3 a) hi gh-perf ormance b) market l eader
4 a) di st i nct i ve b) i nnovat i ve c) advert i si ng bri ef
Reading
l l a ) r b ) 1 0 c ) 2 d ) e e ) 7 f ) s
d 4
h ) s i ) t
i ) e
f l
1 Because i t made most of i t s money f rom busi ness cust omers, not ret ai l . There was al so no real compet i t or f or Wi ndows.
2l t cr eat edcompet i t i oni nt hemar ket . Appl e' soper at i ngsyst emhi ght i ght edsomei nadequaci esi nt heWi ndowssyst em.
3 The syst em di dn' t work wi t h ol der pri nt ers, scanners, et c. And t here were no real consumer benef i t s.
4 Theyt hought t hat i f t heyst ar t edpushi ngnewmar ket i ngmes sagesbef or et heysol vedt heVi s t apr obl em, c ons umer s
woul d f eet even more negat i ve about t he brand.
5 Theopeni ngof t heMi cr os of t st or es i nsi debi gr et ai t c hai ns, e. g. Best Buyi nt heUSandDi x ons i nt heUK, andt he
pt aci ng of Mi crosof t advi sors i n anot her 150 ot her ret ai l ers.
The words pl anned and has pl ans f o i ndi cat e t hi s.
El r a 2b
81
ANSWER KEY
Vocabulary
E r a 2e 3b 4g 5a 6h r c 8f
Er r u z c 3g 4e 5d 6a 7t
2 brand i mage, market i ng i ni t i at i ves, busi ness resul t s
E f f negl ect ed 2want i ng 3uncover ed 4devast at i ng 5st r engt hen 6count er pr oduct i ve Tt ar ni sh Sdi r ect
2 rel ease. l t does not mean exact t y t he same as l aunch. Rel ease speci f i cal l y ref ers t o t he i nt roduct i on of sof t ware,
musi c and f i t ms.
El 1 ant i -Vi st a advert i si ng campai gn, ant i -Mi crosof t percept i ons
2 a) | am ant i -nuct ear power.
b) Many peopt e ar e ant i - expansi on of t he Eur opean Uni on
/
ant i - Eur opean Uni on expansi on.
c) There i s a l ot of ant i -Ameri can f eel i ng t hese days.
d) Many I nt ernet users are ant i -l nt ernet advert i si ng.
E t wi t f r 2 f rom 3 of 4 of ; on
Reading
E
f f (l t al so sel ts coffee machi nes and extras l i ke coffee cups.)
2T
3 F (l t atso setts to restaurants, offi ces, hotets and ai rl i nes, as part of i ts strategy to create opportuni ti es for customers
to experi ence the brand.)
4I
5T
6 F (The company has no i ntenti on of becomi ng a coffee chai n.)
E
1 150% 225" / 0 3over 770 4Par i s
2 They have both opened styti sh outl ets where customers can experi ence and actual l y try thei r brands; Nespresso has
i ts bouti que bars and Hei neken has opened a restaurant and an ai rport bar where customers can try i ts beers.
3l t hopest hat exper i enci ngt hebr anddi r ect l y- t ast i ngt hecof f eeandseei ngt hecof f eemachi nesat wor ki nast yt i sh
bar
-
wi tt make
peopl e
want to buv the
products.
! l r a 2b
Vocabulary
Er r r zc 3d 4e 5b 6a
2 a) retai t outl ets b) coffee chai n c) consumer goods d) mai t-order busi ness
e) thi rd-party retai l ers f) customer i nteracti on
E l sophi st i cat ed 2ul t i mat e 3set ect ed 4f i r st - hand 5st andat one 6upmar ket Tel egant
E
1 under 2Lo 3 t hr ough 4 t o 5 i n 6 f r om
E f t consumer 2r et ai t 3r et ai l i ng 4br and 5br and 6i nt er act i on Texper i ence
2 Suggested answers
retai l outtets, thi rd-party retai l ers, l i festyte brands, customer i nteracti on, coffee experi ence
/
fi rst-hand experi ence
E 1 brandi ng 2 retai l er; experi ence 3 consumpti on 4 i nteracti on 5 brand 6 retai l
Reading
El l br and 2ayoungmar ket 3di f f er ent 4canbecust omi sed 5don' t wor kwet l 6hasn' t
El t fhey had no car that was popul ar wi th a youth market, so Sci on was created to fi l t that gap.
2a) T b) S c ) S d) T e) T
3l t makest hewhol ebuyi ngpr ocessqui cker , ascust omer scanavoi dhavi ngt ogot ocar showr ooms. Theycanat so
choose extras to oersonal i se thei r car.
4
Sci on, unti ke Toyota, doesn' t use expensi ve newspaper and TV adverti si ng. Al so, the type of marketi ng acti vi ti es i t
uses (e.9. organi si ng promoti onat events) are much cheaper,
5 Becauset heyt i kedi t sf ashi onabl est yl i ngandt hef act t hat i t wasver yeasyt oget i nandout of .
6 Because the Yari s i s atso ai med at younger customers and took some of Sci on' s market.
E a) the year when Toyota created Sci on
b) the average age ofToyota customers at that ti me
c) t he number of Sci on model s
d) the number of peopl e worki ng for Sci on
e)the age ofthe customers that Sci on wants to attract
f) the approxi mate number of accessori es and opti ons that customers can choose to personal i se the car they buy
g) the approximate number of promotional events Scion organises each month to advertise the cars
h) the current average age of buyers of Sci on cars
82
ANSWER KEY
Vocabulary
Er e 2d 3s 4b 5c 6a 7f
E f faverage 2twentysomethi ng 3non-negoti abl e 4mai nstream 5unannounced 6appeal i ng Tnovel
2l3funkv (b), trendy (a)
Bt t c z o 3a 4e 5b
2t a 2b 3c
3 1 in their late 20s
2 i n thei r 50s
3 The average age of customers is
4 the fortysomething man
/
men in their
4os
5 target audience/group is
E 1to/wi ttr 2 through/by 3 on 4 up 5 up 6 i nto; i n
Reading
E r r
2 F
(They
expect retailers to have both physicat and online stores)
3 F (Most
shoppers
(7Oo/", according to survey in 2007) research products on the Internet before
making a purchaseJ
4I
5T
6 f (tt
only one of the issues; the others are: having a good returns policy for unwanted or faulty goods; being able to
cover all geographic areas where customers are; how the websit'e is presented so it is clear and easy for customers to
navigate aroundJ
7r
8 F (t's important for responding to changing customer needs and making sure the website reflects their needs and
has the kind of information customers will be interested in.)
Ea+ b7 c 5 d2 e3 f 1 g6
Vocabulary
Er a zb 3a 4b
E r u 2f 3a 4c 5d 5g 7e
Et t o z a 3b 4c
27d 2c 3a 4b
l I f f demandi ng 2val ue 3i nformed 4i nshortsuppl y 5matures 6evol ve
7 responsive
2 e-tailer (lnternet retailer) e-businesses, e-commerce (electronic buying and selting)
3 interactive, interestin g, user-friendly, informative, attractive
E f ae-busi nesses bmul ti -channel
2 a website development b content
3 ademandi ng bvat ue ce- t ai l er s
4 a product reviews b informative c informed
Reading
Er u 2b 3a 4b 5a
E
1 1 Fifty-two per cent of all those surveyed ...
2 Compared to the UK, fewer people in the USA...
3 In the USA,
just
over 40 per cent...
4 Just under 85o/o of US online users ..,
2 1 lt saves time, it saves money and it is more convenient because the customer can choose from a lot of products at
the same ti me.
2 Problems logging into the website before being able to buy anything. (Perhops they are not allowed to log in ...
(ines 15-16)) Problems with the 3hopping cart'software which mean that items selected suddenly disappear
before the person can complete the purchase. (... their shopping cart mysteriously empties ...Qines 16-17))
Error messages that are impossible to understand.
(,.. the site returns on unclear error messoge. (ines 17-18))
3 Because it so easy to click onto another site.
ANSWER KEY
tr
g
E
tr
tr
Vocabulary
1 c 2 g 3 b 4 k 5 d 6 i 7 h 8 a 9 t 1 0 e 7 7 i
l empl oy 2meet 3act 4t hr owout 5exchange 6super vi se Tachi eve
1 myst eri oust y 2 ef f ect i ve 3 i nt ui t i ve 4 f rust rat ed 5 i nevi t abl y 5 obsot et e
9 ski l l ed 10 proact i vel y
1 reveal ed/ report ed 2 Accordi ng t o 3 Over 4 report ed/ reveal ed 5 compared
7 commi ssi oned I conduct ed
1 on; at 2 up; t o 3 of ; i n 4 at / i n; t o
7 excepti onat 8 hi gh-quati ty
to 6 surveyed
Reading
EI t a
2 7 c 2 b 3 a
3 1 vi ral market i ng and product pl acement
2 search advert i si ng
4 1 I ncreased speed of
(broadband) I nt ernet connect i ons
2 The popul ari t y and growt h of onl i ne communi t y si t es
/
soci al -net worki ng si t es, such as MySpace,
Bebo and Facebook
3 The abi l i t y of web users t o devel op t hei r own cont ent and upt oad i t ont o t he I nt ernet , e. g. smat l vi deo ct i ps,
graphi cs, et c.
E r r r
2 F (You can al so t race how many become cust omers, i . e. act ual t y compl et e a purchase. )
3T
4 F
(They
t hi nk t hey have pot ent i al , but f or a very speci f i c t arget audi ence. )
2 1 Dove produced a vi rat ad t o promot e t he Evol ut i on range. The short vi deo cl i p showed a f ashi on model bei ng made
up, di gi t at l y changed and t hen phot ographed.
2 Lucozade (an energy dri nk) i nvi t ed vi si t ors t o creat e and upl oad a short vi deo cl i p t o i t s websi t e as part of a
compet i t i on t o promot e t he dri nk.
3 Mast ercare, a pet -care company, produced a seri es of vi deos on cat care t hat i nct uded ref erence t o t hei r range of
products. The videos were put on the Microsoft Network (MSN) site to promote the brand.
Vocabulary
EI r c 2h 3b 4e 5g 6d 7f 8a
Er t o z e 3a 4b 5c
2 search advert i si ng, search engi nes
3 onl i ne advert i si ng, onl i ne communi t i es, onl i ne space, onl i ne vi deo
4 vi r at vi deo campai gn, vi r at mar ket i ng buzz
B l keepup 2do 3di vi de 4pr ev ent 5expand 6cat ch Tar r i v e
p
1 a) broadband connect i ons b) onl i ne vi deo c) banner ads d) sust ai ni ng
2 a) search advert i si ng b) resul t s c) ct i cks
3 a) buzz b) vi ral vi deo c) ni che audi ence d) users e) wast e
4 a) ont i ne communi t y b) prof i t e page(s) c) upl oad
5 a) rot l out b) onl i ne advert i si ng c) promot e d) reach
E t i n/ of 2at 3f or ; t o 4of
Reading
El 1 for gtobat adverti si ng
2 l t i s rather one-si ded because he wants to convi nce readers that gtobat ad campai gns are a good i dea; he therefore
uses emoti ve l anguage and more arguments to support thi s posi ti on.
3 Persuasi ve. He uses techni ques typi cal of persuasi ve wri ti ng
(e.g. rhetori cal questi ons, repeti ti on
of key words, evi dence to support hi s poi nts, personal opi ni on and emoti ve words).
E 1 t head 2 att 3 understandi ng customer needs 4 one mai n agency 5 wi th adl ustments for some markets
21l t ' st essexpensi vet odevel oponeset of cr eat i vemat er i al sf or adver t i si ngi nal t mar ket s.
2 l t' s easi er and qui cker to i mpl ement one gl obal campai gn.
3 Peopte expect to see the same adverti si ng i n thei r countri es because ofthe i ncreased contact wi th i nternati onal
brand adverti si ng through travel and the Internet.
E r u 2a
rm!re:
84
ANSWER KEY
Vocabulary
E 1i 2a 3i 4h 5f 6b 7d 8c 9s 1oe
E f f unfashi onabte 2uni nspi ri ng 3i noffensi ve
2 Suggested answers
unexci ti ng, uni nteresti ng, unrel i abte uncomfortabl e, i ndi sti nct, i ndependent, i nsensi ti ve
3 1un- now 2unsexy
4 Suggested answers
1 out ofdate, old-fashioned, dated, untrendy, unfashionabte
2 dul l , uni nspi ri ng, ungl amorous, unexci ti ng
E f f gtobally, wortdwide, around the wortd, alt over the world
2 gtobal campai gn/approach/adverti si ng/brand
creati ve materi al s/concept
2 advertiser, planner, market researchers, marketing strategists
Other suggestions: marketing manager, online marketer, media planner, copywriter, art director,
web designer, graphic designer, etc.
3 head office, subsidiaries, local offices
lI f f 5o why can it not be adapted for other countries?
2 The same bri efcoul d, ofcourse, be gi ven to di fferentagenci es i n di fferentcountri es
A good idea can be adapted to emphasise different benefits, or push different products in a range...
27c 2d 3a 4b
E 1 creati vel y 2competti ngl y 3gl obatty 4vi rtual ty 5sensi ti vel y
Reading
E t ttre new sponsor 2 one of Di sney' s corporate partners 3 rai se i ts profi te
_
4 the Di sney group offered a wi der range marketi ng possi bi ti ti es 5 money they earn
ll 7 Suggested onswers
1 ... the different types businesses in the group, e.g. the theme parks and TV programmes and fitms it makes, plus
Disney's large and varied customer base.
2 ... agreements to provide the goods and services that Disney needs.
2 1 Sponsors Space Earth attracti on
2 l ts cars appear i n Di sney studi o movi es
3 lts medical products appear in Gray's Anotomy, a Disney-ABC TV medicaldrama
4 lt supplies Disney's fleet of company cars
Vocabulary
E f f sponsor 2sponsor 3spor t ssponsor shi p
2 1 Sponsorshi p 2 sponsor; sponsor 3 Sports sponsorshi p; sponsori ng 4 sponsored
7f 2e 3d 4c 5a 6b
1c 2d 3e 4b 5a
1 vast 2 former 3 diverse 4 distinct 5 broad
1e 2a 3d 4c 5b
1 to 2 with 3 on 3 from 4from 5 to
Reading
E r r r
2 F (ltb very challenging: it needs a completely different approach if it is to work.)
3 F
Ohe writer implies that most companies are not getting it right)
4r
27A 2F 3E 4D 58 6C
E f tt costs l ess to produce than tradi ti onal adverti si ng, so can save money.
It al l ows compani es to reach and get the confi dence ofa young audi ence that i s typi cal l y hard to reach through
traditional advertising.
2 The rapid growth of home-made videos that appear on free websites such
youTube.
3 They lack interactivity, which is essential online.
E r u 2a
E
E
II
E
E
ANSWER KEY
Vocabulary
E t c 29 3e 4h 5f 6a 7b 8d
El t t c z o 3a 4e 5b
2 l aunch a vi ral campai gn
3 vi ral marketi ng, vi ral ad(s), vi rate-mai l , vi ral commerci al , vi ral campai gn
Other suggestions: viral message, viral game/quiz, etc.
E f f subt t ybr anded 2compel t i ng 3web- sawy 4ent er t ai ni ng 5shocki ng 5convent i onal Thi l ar i ous
2 chaltenge, difficutty, trouble
El l st andsout 2convent i onal 3web- sawy 4compel l i ng 5ent er t ai ni ng 6shocki ng Tr el ease
Reading
El 1 lves
2 Yes
3 No (l t has had onl y had a very smatl amount of success.)
4 No (He thi nks that cul turaI di fferences i n how school bags are seen are too great, and that customers outsi de
Germany won't be prepared pay for the extra safety features demanded by German customers)
21a 2b 3a 4b
E f f Chitdren aged six,
iust
starting schoot
2 80-100
2 Suggested answers
features benefits for the user
Techni cal desi gn t hat prot ect s back and spi ne Less ri sk of back pai n and l ong-term damage to
chi l d' s spi ne and neck, pl us
can al so i mprove the chi l d' s posture
Ri gi d si des Less damage t o cont ent s of t he pack,
e.g. books and files
Use of reflective materials Easier to see chitd in poor light
/
less chance of
chitd being knocked down by a car
Vocabulary
Et t a z a 3b 4b
2a
3b
E t t c z e 3d 4b 5a
2 Suggested onswers
a) announce, introduce b) be a faiture
/ fait
g
l l i nst ant 2l ook- al i ke 3t i ny 4st ar k 5demandi ng 6st agger i ng Thuge 8t i mi t ed
gf ar
2l f or ei gn 2home
E
1 a) home b) huge
2 a) foreign b) stark c) failed d) look-alike/locat
3 a) timited b) far
4 a) taunched b) staggeri ng
Reading
E
1 1 To expl ai n the characteri sti cs of Russi an consumer behavi our and suggest usefuI marketi ng and communi cati ons
strategies
2 Anyone with an interest in doing business in the Russian Federation, especially those working in branding and
marketing
3 lt is based on research by Creative Advantage, a consultancy which hetps companies establish their brands in the
Russi an market.
2 1 F (According
to writer, needs for consumer products has not yet been met.)
2 F (Onty
a few have been successful.)
3T
4 F (As brands are rel ati vel y new i n Russi a, consumers enj oy tryi ng out di fferent products and brands.)
5T
E
1 b, c , e
85
AIiISWER KEY
2 1 Russian consumers would view such a minimal change as disrespectful to Russian culture.
2 lmages of women in international advertisements may not be appropriate in Russian culture, especiatly if
the women are shown in way that Russians see as lacking in respect.
Vocabulary
E
1i 2d 3t 49 5b 6h 7c 8a 9e l oi
EI t r c zo 3e 4a
sb
2 cutturaI respect; consumer needs, consumer characteristics, consumer environment
!
11pace 2i gnore 3i nsi ghts 4open 5val uabl e 6passi on Tcaress 8wi thdrawn
2 reah authentic, real-tife
believabte; credibte
3 1 positivety perceived 2 well received 3 badty viewed
4 2 a negatively viewed viral advertising campaign
3 a positively received presentation
E
f f interpret 2 take out 3 grow 4 put off 5 start
2 l wi thdrawn 2devel op 3di sregard/i gnore 4transtati ng
Reading
E r r
2 F (lt
was developed for the Indian market, but a number of transactions on the site with international credit
cards made them realise that Indians working abroad were also a large potential marketJ
3 F (A number of other companies are also starting to target this market)
4T
5T
6 F (lts production is in India)
7T
8 F (Sales
to Indians outside lndia represent only a small proportion of total sates)
9T
E
f f The percentage of FutureBazaar's website sales that come from India
2 The number of Indi ans l i vi ng and worki ng outsi de Indi a
3 The markets with large Indian communities that FutureBazaar is targeting
4 The year when car maker Maruti Sazuki set up its website where Indians working abroad can order cars for
their relatives back home
5 The number of car sales that have come from the Maruti website to date
6 A newspaper for Indians living and working in Middle East.
21M 2F 3F 4M 5F
Vocabulary
Er . 2t i d4a5b697e
E
r u 2a 3b
Ef l gener at es 2spr eadacr oss 3si zeabt e 4t ar get i ng 5encour ages 6r each Thost edby
2 l abr oad 2non- r esi dent
Et r c z o3f 4a5b6e
2 Suggested answers
pass out a leaflet
/
a product sampte
sponsor an arts event
/
film festivat
market a product
/ a brand
run an ad / a TV commercial
E 1 market 2 target 3 sponsoring 4 a) fliers b) translated c) reach 5 pass out
6 run advertisements/ads 7 generate
|$@
Reading
!l 1 tess 2 disagrees 3 badty 4 it's too much effort to change brands 5 an opportunity
6 supporting customers
E f n lot of advertising on TV makes customers look stupid and foolish.
They charge higher prices and customers get less.
Innovations often make products more complicated.
They don't like apologising or paying customers compensation for mistakes.
87
ANSWER KEY
2 An ai rl i ne ct erk who doesn' t charge a cust omer f or changi ng a f i xed-dat e f t i ght when a cust omer acci dent al l v makes a
mi st ake wi t h t he booki ng.
A mobi t e phone operat or who pol i t et y removes an i ncorrect charge f rom a cust omer' s bi t [ .
3 Theyhavecr eat edar easont hei r websi t eswher ecust omer cani nt er act andshar ei nf or mat i onabout pr oduct f eat ur es
and t echni cal pr obl ems.
! l t t t rey: est abl i shed brands/ brand owners
2 t hose: cust omer s
3 t hi s
=
compani es t hat deal wi t h mi st akes i n a way t hat t hat encourages l oyat t y
4 t hese
:
t he t wo exampl es t he wri t er gi ves
5 t hose
:
i ndi vi dual s
6 t hi s
:
t hat cust omer l oyat t y i s about bei ng abt e t o sot ve di f f i cut t si t uat i ons successf ul l v
E t a 2 b 3 b
Vocabulary
E t e 2d 3f 4s 5h 5c 7b 8a
E r r est abt i shed 2f t awl ess 3conduct ed 4r esol ve 5shape 6vat ued zval uabl e
2 fi ckte, unfai thful , di stoyal
Fi ckl e i s more col l ooui a[.
E r r u za 3e 4a 5c
2 L deci de 2 work out 3 set uo 4 make
El 1 mi sunderstand (ti ne
9), mi sbook (l i ne
48)
2 l mi si nt er pr et 2mi si nf or m 3mi sspet l
Other exampl es: mi spl ace, mi sj udge, mi spri nt, mi si nterpret
E f t mor e; l ess; l ess 2mor e; t han 3f ar 4asmuch: as
Reading
El f f No, she t hi nks i t i s i n a
poor
st at e.
2 Yes
3 No, she i s suggest i ng a new approach t hat provi des cust omi sed sol ut i ons t o meet i ndi vi duat cust omers neeos.
4 Yes
2 4 4 B1 C6 D5 E2 F 3
E
1 1 F (l t ' s
i ust
one of a number of probt ems. )
2 T
3 F (The key t o good rel at i onshi ps i s of f eri ng every cust omer a personal experi ence t hat meet s hi s/ her i ndi vi dual
needs. )
5 F (Many
organi sat i on al ready cot t ect cust omer dat a, but because i t i s kept i n separat e dat abases,
i t i s of t en not avai l abl e f or t hi s t ask. )
2 1 mot i vat i on 2 t echnol ogy 3 provi de f eedback (on
how t he syst em can be i mproved
4 conf i dence 5 experi ence f or cust omers
Vocabulary
E r g 2 h 3 e 4 b 5 d 6 a 7 f 8 c
E r r scr i pt ed 2of f shor e 3pr ei udi ced 4st andar d 5t ai t or ed 6unt apped Tpr of i t abl e
2 Opposi t e: one-si ze-f i t s-al l
Same meani ng: cust omi sed, personal i sed
3 cust omer servi ce st af f , cust omer servi ce agent
Customer service agent is most often used in ca[[ centres; the short form is aqent.
4 poorl y t rai ned, wel l -mot i vat ed
E r . 2 f 3 a 4 e 5 b 6 d
E f a) of f shore b) mot i vat i on c) cust omer servi ce agent
2 a) agent s b) scri pt s c) st andard
3 a) t ai l ored b) sat i sf act i on l evet s c) cust omer ret ent i on
4 repeat busi ness
Er o2f 3d4a5c 5e
88
El f budget 2 Advertising 3 advertising agency 4 commercial 5 spend 6 demand
7 product lines 8 channels 9 special offer 10 market share 11 brief 12 campaign
13 Posi ti oni ng 14 market l eader 15 targets 16 corporate 17 retai t 18 onti ne 19 content
20 e-tailer
E r o 2d 3c 4b 5a 6c 7a 8b 9a 1oc 11d 12b 13a t 4d 15c 16b
! 7a 18d 19a 2Oc
E l Banner 2t ar get audi ence 3ni che 4soci at net wor ki ng 5sponsor 6vi r al Tcul t ur at di f f er ences
8 overseas 9 dominance 10 translate 11 recommendation(s) 12 disposable 13 prime-time
14 web-sawy 15 customer service 16 Brand toyatty 17 repeat business 18 customer satisfaction
19 agents 20 feedback
E r u 2c 3d 4a 5b 6c 7d 8a 9c 10d 1l b t 2a t 3c t 4b 15d 16a
77d 18b 19a 20b
E f budget 2Adverti si ng 3adverti si ngagency 4commerci al 5spend 6demand
7 product lines 8 channels 9 special offer 10 market share 11 brief 12 campaign
13 Positioning 14 market leader 15 targets 16 corporate 17 retait 18 online 19 content
20 e-tai l er
E r a 2d 3c 4b 5a 6c 7a
gb
9a 10c 11d r z b 13a r | d 15c 16, b
77a 18d 19a 2Oc
E 1 Banner 2 target audi ence 3 ni che 4 soci al networki ng 5 sponsor 5vi rat 7 cul turat di fferences
8 overseas 9 dominance 10 translate 11 recommendation(s) 12 disposable 13 prime-time
14 web-sawy 15 customer service 16 Brand loyalty 17 repeat business 18 customer satisfaction
19agents 20feedback
E t u 2c 3d 4a 5b 6c 7d 8a 9c 1od 11 b r 2a r i c r | b 15d 76a
t 7d 18b t 9a 20b
89
Marketi ng i s one of a range of new speci al i st ti tl es desi gned
for use on i ts own orwi th the Morket Leoder seri es. l deal for
st udent s who need t o l ear n t he [ anguage of mor e speci al i sed
ar eas of busi ness Engl i sh, t he book f ocuses on t he r eadi ng
ski l l s and vocabul ar y devel opment r equi r ed f or mar ket i ng.
I t i ncl udes:
o
authentic reading texts from the Financial Times@
and ot her sour ces
.
a glossary of specialised language
o
two
' CheckTests' desi gned
to hel p assess progress
Ot her t i t l es i n t hi s ser i es i ncl ude:
o
Account i ng and Fi nance
o
Busi ness Law
o
Human Resour ces
o
Logi sti cs Management
.
Worki ng Across Cul tures
For more i nformati on on the Market Leader seri es go to:
www.market-leader.net
rsBN 978-1
-4082-2007 -8
,
ililIltl[Ultlilll||iltL

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Marketing strategies

1 A hot i st i c approach t o market i ng

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