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Lecture 3

Fashion Days plans to increase its new user base through digital marketing. A digital audit was conducted analyzing the macro environment, customers, and competition. The target customer was identified as urban women and men ages 18-45 who are frequent online shoppers. Competitors like H&M and Zara were analyzed using a SWOT framework to identify strengths, weaknesses, opportunities, and threats. Insights into customer behaviors online and with mobile devices were also examined to inform Fashion Days' digital strategy.

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Margarit Alin
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0% found this document useful (0 votes)
16 views

Lecture 3

Fashion Days plans to increase its new user base through digital marketing. A digital audit was conducted analyzing the macro environment, customers, and competition. The target customer was identified as urban women and men ages 18-45 who are frequent online shoppers. Competitors like H&M and Zara were analyzed using a SWOT framework to identify strengths, weaknesses, opportunities, and threats. Insights into customer behaviors online and with mobile devices were also examined to inform Fashion Days' digital strategy.

Uploaded by

Margarit Alin
Copyright
© © All Rights Reserved
Available Formats
Download as PDF, TXT or read online on Scribd
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BRANDING STRATEGIES AND

DIGITAL ADVERTISING
Lecturer: Teodora Șaguna
Marketing enthusiast for over 15years.
Traveler.
Lifestyle entrepreneur.
Contact

@teodora saguna

[email protected]
CURICULA
• Introduction. The changing digital environment - digital landscape
• The changing digital environment - digital disruption. A comparison
between communication for digital brands versus brick & mortar brands
• Building a digital strategy-Digital marketing audit. How to conduct it and
why it helps.
• Building a digital strategy - Setting digital objectives. How to write a digital
brief
• Developing the digital strategy.
• Creating a digital plan. Selecting the best digital mix.
• Allocating budgets for a digital plan
• Setting metrics, KPIs and objectives
• Online media mix: Google Ads (Google Search, Google Display Network,
Youtube)
• Online media mix: Social Media, Content Marketing
• . Direct marketing in online: email communication
• Monitoring and Measuring Digital Marketing activities. How to measure
online in offline.
EVALUATION

Evaluation based on individual project: The project topics


will be various, but will rely on creating a digital strategy for
a brand

Presence: 50% required


10 Blogs That You Should Be Reading

1. http://sethgodin.typepad.com/: Seth Godin blogs on marketing


insight found in everyday life
2. http://www.techcrunch.com/: Group edited blog about web 2.0 and
technology
3. http://www.briansolis.com/:Looks at Social Media and PR 2.0
4. http://www.mattcutts.com/blog/: Matt Cutts is search expert who
works for Google and blogs about Gadgets, Google, and SEO
5. http://www.seomoz.org/blog: Search and SEO blog
6. http://www.chrisbrogan.com/: Social Media blog written by industry
expert
7. http://adweek.blogs.com/adfreak/: A comical look at the latest
advertising, main
8. http://www.marketingpilgrim.com/: Looks at Search and Online
Marketing
9. www.smartinsights.com: looks at digital marketing strategies
10. www.econsultancy.com (blog section)
Recommended books

1. Ira Kaufman and Chris Horton, Digital Marketing


Integrating Strategy and Tactics with Values
2. Philip, Kotler and Gary, Armstrong, Principles of
Marketing, 17th edition, Pearson.
3. Dave, Chaffey and Fiona, Ellis-Chadwick, (2015) Digital
Marketing, Strategy, Implementation and Practice
6thedition
DIGITAL AUDIT
Lecture 3
How can we define digital audit

“... a comprehensive, systematic, independent and


periodic examination of a company’s marketing
environment, objectives, strategies and activities with a
view to determining problem areas and opportunities
and recommending a plan of action to improve the
company’s marketing performance”
Kotler and Armstrong, 2008
The Digital Marketing Environment
Internal audit :
current organisation The Marketing Mix Internal factors
offers Elements impacting an organization

Micro Suppliers Distributors The


environmental
Customer
factors
Stakeholders Competitors

Macro
environmental Social Technological Economic Political
factors
The Macro Environment
The following factors need to be consider in analysing the macro-environment.

• Political
• Economic
• Social
• Technological
The Micro Environment
The following factors need to be consider in analysing the micro-environment.

• Customers
• Competition
• Suppliers
Competition analysis

• It is important for an organization to develop an


understanding of how to satisfy customers better than the
competition.
• Try to identify the potential threats posed from changes in
competitor offerings as well as identifying opportunities.
• You should review online, offline, local, international,
indirect and direct competitors.
Competition analysis

In the audit phase you should:

• Review competitor offers and identify best, worst and ‘next’


practices
• Identify new approaches on the market
• Consider any new online organizations that might disrupt the
market
• Identify new technologies, design or customer service
elements competitors may use that can give a competitive
advantage.
CUSTOMER ANALYSIS
Key changes in consumer behaviour

• Customers no longer compare companies only their


competitors
• Customers are less tolerant
• Customer-to-customer dialogue has grown
• Customers are less loyal
• Customers no longer are open to traditional marketing
from organisations
• Customers are more informed
• Customers are now multichannel users
Customer analysis

Digital consumer behavior


• Demographics
• “Webographics” – usage location, access device, usage type,
usage level
• Have access to the digital channel
• Use specific online services which may affect the purchase
decision (price comparison sites, social networks, blogs)
• Are influenced by using the digital channel but purchase
using another channel as part of the multichannel behaviour

--à Online buyer behaviour — try to create customer


personas
Tools for capturing customer insights
Primary
• INTERNAL DATA – BI SYSTEMS & CRM
• Web analytics custom reports – google analytics
• Surveys
Secondary
• Google Trends
• Google Consumer Barometer
• Market finder
• Social Mention
SUPPLIERS
Intermediaries:
• New intermediaries available
• New capabilities
• Direct selling

Suppliers:
• Ability to use technology to develop relationships
• Ability to integrate with existing systems
Internal audit
In order to prepare an effective strategy an internal
audit must be conducted considering
• Business objectives– how well are digital elements
supporting the overall business objectives?
• Marketing – measurements that include: leads, sales,
customer retention and loyalty, online market share and
customer service
• Digital marketing– specific measurements, for
example, unique visitors, repeat visits, subscription
rates, conversion rates, churn rates and click-through
rates.
Internal audit – Digital SWOT

Organization

Strengths Weaknesses
1. Existing brand 1. Brand perception
2. Existing customer base 2. Intermediary use
3. Existing distribution 3. Technology/skills
4. X-channel support

Opportunities Threats
1. Cross-selling 1. Customer choice
2. New markets 2. New entrants
3. New services 3. New competitive products
4. Partnerships/
Co-branding
Chaffey & Ellis Chadwick, 2012 20
Let’s exemplify

FASHION DAYS plans to increase it’s base of new users.


Let’s perform a Digital marketing audit for Fashion Days.
Analysis of
macro
environment
CUSTOMER ANALYSIS
Who is the online fashion customer?
• Demographics:
• Target description
• Women 55% / Men 45%
• Age: 18 - 45 y.o / core target 25-35 yo
• Education: university
• Income: mid to high income
• Mostly living in urban area
• Secondary targets to grow: young urban cool girls/boys
(18-25) and cool moms/dads

CUSTOMER ANALYSIS
Psycho-graphics:
According to the qualitative research conducted by ISPOS for Fahion
Days , there can be distinguished the following customer profiles:
• Fashion explorers
• Key-words: modernity, innovation, discovery, trying, pushing the limits, in-
season/fresh
• “Online fashion shopping allows me to explore new styles and facets of my
individuality, fuelling my passion for fashion.”)
• Power dressers- current FD customer profile
• Key-words: image, statement, status, prestige
• “Online fashion shopping reaffirms my well-earned success.”)
• Free spirits
• Key-words: extrovert, non-conformist, self-expression, no social boundaries,
surprised, colourful
• ”Online fashion shopping is fun and liberating; It allows me to express my
colourful personality and lets me enjoy life to the max.”) They are usually
younger.
CUSTOMER ANALYSIS
WEBOGRAPHICS
How does this target use mobile devices and channels?
• Characteristic for this segment is the tendency towards limiting the frequency of
offline/retail shopping due to their very busy schedules and the need to save time.
How do they use the mobile devices and channels?
• Checking their e-mail (over 98% of the users)
• Communication on social networks (93%)
• Personal calendar/agenda (74%)
• Search the store for the details on the products intended to be purchased (82%)
• Ad-hoc pictures and posting them online (82%)
• Entertainment
• Ordering food
• Also, what makes this segment different is that
• 75% shop online: 60% access mobile app and buy via mobile
• 40% pay with card

How do they communicate with the brand?


• They own a smartphone or/and a tablet. Interaction with FD is done mainly via a
mobile device.
Competition analysis

• Major competitors are H&M, Zara, Answear, Emag, Malls,


About YOU
• Potential threats from circular fashion platforms
like :Remix, OLX, Vintage shops or groups
COMPETITION ANALYSIS- SWOT
H&M
Strengths Weaknesses
1. Brand: Top fashion brand on the ro 1.Does not have variety of brands. Offer juts its own
market. brand
2. Brand: Perceived as very fashionable, 2. Dependent on malls and high street traffic
accessible and value for money.
3. Customer: mass customer/ young 3. Dependent on working hour schedules and
segment is core holidays
4. Online they do not develop customer services and
4. Distribution: Online and offline
representation benefits on delivery, ways of delivery
5. Offer: Fast fashion approach: up to trends 5. Hard process of return and money back
6. Low quality of products -> perceived as cheap
and new launches in the fashion industry
6. Pricing: Accessible pricing
Opportunities for FD Threats for FD
1. Push on the variety and diversity of brands 1.Millennial and young generation is more keen to
2. Push on the benefits of online shopping fast fashion approach-> new trends accessible right
and of the FD platform from the runaway
3.Push on the easy process of return and 2.
money back
4. Increase its private label brand into fast
fashion approach- become a main competitor
for ZARA and HM
5. Develop more the premium quality
segments
Internal audit- SWOT
FASHION DAYS
Strengths Weaknesses
1. Brand: Fashion Days is the no 1 online brand with 1.Brand perception: It is known to offer more sophisticated
almost 40% market share and pretentious brands, therefore has a perception of
2. Brand: A very positive image amongst the target and higher prices.
scores very well in terms of brand 2. Distribution: No physical representation brick and
perception. Associated with attributes like mortar retail
exclusivity, refinement, luxury, stylish, elegance
2. Customers: large customer base built in 10 years on 3.Website: not very modern and updated site, content is
the market; Loyal and recurrent very promotional; lack of fashion content
3. Distribution: Online representation with best in class
services and benefits for clients
4. Offer: Very good offer in terms of brands and products:
new collections, exclusive brands, premium brands; mass
market brands , sport brands
5. App: best in class mobile app, easy to use and up to
latest trends
Opportunities Threats
1. Build more on the mass market brands like United colors 1. New entrants on the market that bite from FD market
of Benetton, next, nike, Addias, share: see About YOU
2. Develop the private label line into fast fashion 2. Co-lateral potential threats from circular fashion (second
3. Launch new services on the market that overcome the hand shops & groups)
weakness of no physical presence: delivery same day,
money back same day, virtual dressing rooms
4. Develop into a fashion expert with virtual assistants/
personal shoppers
STRATEGIC DIRECTIONS
• Focus on fashion explorers target and grow it
• Further develop Private Label with latest trends -> fast fashion
approach
• Develop the website: refresh of website look
• Introduce virtual and personal assistants to assist buying process
• Focus on fashion content: trends, how to style, look shopping
• Communication directions
• Focus more on benefits of online shopping
• Emphasise FD online shopping benefits : delivery & return
• Show more variety of brands in communication
• Drive target into mobile app more
Bibliography
• Chaffey, D and Ellis-Chadwick, F (2012) “Digital Marketing: Strategy, Implementation and Practice”,
Fifth Edition, Prentice Hall.
• Gay, R, Charlesworth, A and Esen, R (2007) ‘Online Marketing – A Customer-led Approach’, First
Edition, Oxford University Press
• Kotler, P and Armstrong, G (2008) ‘Principles of Marketing’, 12th edition, Pearson
• http://www.mckinsey.com/insights/marketing_sales/the_coming_era_of_on-demand_marketing.
• www.Smartinsights.com

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