topic how digital tools are changing marketing mix 4ps

Companiescan show their appreciation by featuring customer ideas in marketing materials, givingcustomers shoutouts on social media, or even naming a product or service after acustomer..

INDIVIDUAL ASSIGNMENTMKT318m

Topic: How digital tools are changing marketing mix (4Ps)

Full name:Duong Hoang Lan

Student ID:HS170846

Lecture:Mr Nguyen Minh Quang

TABLE OF CONTENTS

1 Introduction 4

1.1 Definition of marketing 4

1.2 Definition of marketing mix 4

2 How digital tools are changing marketing mix? 5

2.4.2.5 Conditions when apply 33

3 Suggestions for companies to react towards the changing of digital marketing 34

1 Introduction

1.1 Definition of marketing

According to the AMA, marketing is the activity, set of institutions andprocesses for creating, communicating, delivering, and exchanging offerings that havevalue for customers, clients, partners, and society at large through products, servicesor experience In essence, marketing is the enactment of a mutually beneficialexchange between two parties, a seller and a buyer.

1.2 Definition of marketing mix

The marketing mix is a set of tools that marketers use to create, communicate,deliver, and exchange offerings that have value for customers, clients, partners, andsociety at large The 4Ps of marketing are product, price, place, and promotion.

The first P is a Product Product refers to the goods or services that a company

offers It includes the features, benefits, and quality of the product, as well as thepackaging and branding The product is the foundation of the marketing mix It iswhat the company offers to customers, and it is what customers will ultimately payfor.

The second P is Promotion Promotion refers to the activities that a company

uses to communicate the value of its products to customers It includes advertising,public relations, sales promotions, and direct marketing The promotion is the waythat a company communicates the value of its products to customers.

The third P is Place Place refers to the distribution channels that a company

uses to get its products to customers It includes the retail stores, online retailers, andother channels where customers can buy the product The place refers to thedistribution channels that a company uses to get its products to customers.

Finally, Price is the amount of money that customers pay for a product It is

determined by a number of factors, including the cost of production, the competition,and the perceived value of the product The price is another important element of themarketing mix.

The marketing mix is a dynamic and ever-changing concept By using digitaltools effectively, businesses can create a marketing mix that is more effective andefficient than traditional marketing methods.

2 How digital tools are changing marketing mix?2.1 Product

Customer co-creation is a business strategy that involves actively involvingcustomers in the design or development of new products or services This can be donethrough a variety of methods, such as surveys, focus groups, online communities, oreven crowdsourced design competitions.

● Intel: Intel has a program called "Intel Inside," which allows customers to

design their own custom computers The company provides customers with avariety of components and options, and then they can build their own computerusing Intel's design tools.

● P&G: P&G has a program called "Connect & Develop," which allows the

company to collaborate with external partners to develop new products P&Ghas partnered with a variety of companies, including universities, researchinstitutes, and even startups.

● Starbucks: Starbucks has a program called “My Starbucks Idea”, where

customers can submit ideas for new products, services, and store designs.Starbucks has implemented many of the ideas submitted by its customers,including the creation of the Doubleshot on Ice and the addition of free Wi-Fito its stores.

● Selection: This is the stage where the company selects the best ideas fromcustomers and develops them into new products or services This is a criticalstep, as it is important to choose ideas that are feasible, profitable, and alignedwith the company's overall strategy.

Customers appreciate being acknowledged for their contributions Companiescan show their appreciation by featuring customer ideas in marketing materials, givingcustomers shoutouts on social media, or even naming a product or service after acustomer Customers are also motivated by financial rewards Companies can offercustomers discounts, coupons, or even cash prizes for their ideas.

Difficult selection process: Another challenge of co-creation is selecting thebest ideas Many of the ideas that are submitted are not very useful They may be tooidiosyncratic, too expensive, or have already been tried and don't work As a result, itcan be difficult to find the needle in the haystack and identify the truly great ideas.

Important to be authentic when crowdsourcing ideas Customers are morelikely to contribute to companies that they believe are genuinely interested in theirinput If a company is just looking for a way to exploit customer ideas for commercialgain, customers will likely be turned off Co-creation can also lead to conflictbetween customers and companies When customers contribute ideas to a co-creationprocess, there is always the risk that the company will steal their intellectual propertyso patches and badges by recognition This can be a major concern for customers,

especially if they have developed their ideas with a lot of time and effort so don’t be abad guy Firms news respect, encourage customer ideas.

bringing together people with different backgrounds and experiences,co-creation can help to generate new ideas and solutions that would not havebeen possible if the work had been done by a single individual or team.● Engagement: Co-creation can be a way to engage stakeholders and build

relationships By giving people a voice in the creation process, co-creation canhelp to create a sense of ownership and commitment to the final product orservice.

The sharing economy is an economic model in which assets or services areshared between private individuals, either for free or for payment, often by means ofan online platform.

The sharing economy is a growing trend that is changing the way we consumegoods and services It offers a number of benefits, such as reducing waste, savingmoney, and building community However, it also faces some challenges, such asensuring the quality of goods and services, fair competition, and regulation.

● Zipcar: A car-sharing service that allows people to rent cars by the hour or day.

● Lyft: A ride-sharing service that allows people to share rides with others goingin the same direction.

Principles of sharing economy:

Employ reverse ratings: By allowing providers to rate customers, sharing

economy firms can identify and address any potential problems before they escalate.This can help to create a more positive and enjoyable experience for everyoneinvolved Airbnb allows guests to rate their hosts, and hosts to rate their guests.

Ride the surge: When demand is high, surge pricing can encourage more

providers to come online, which can help to reduce wait times and improve customersatisfaction However, it's important to note that surge pricing can also be seen as away for sharing economy firms to take advantage of customers For example, if thereis a concert or sporting event happening in town, the price of a ride may increasesignificantly This can help to reduce wait times and improve customer satisfaction.

Position on price: Sharing economy firms need to find a way to balance the

needs of both customers and providers On the one hand, customers want to savemoney On the other hand, providers need to be able to make a living Airbnbpositions itself as a more affordable alternative to hotels For example, Airbnb guestscan often find rooms for rent for less than half the price of a hotel room This can be avaluable benefit for budget-minded travelers.

The sharing economy has a number of characteristics, including:

● Cost savings: Sharing economy services can often save you money comparedto traditional alternatives For example, you can save money on car rental byusing a peer-to-peer car sharing service.

● Flexibility: Sharing economy services can give you more flexibility thantraditional alternatives For example, you can use a ridesharing service to getaround without having to rent a car.

● Sustainability: Sharing economy services can help to reduce waste andpollution For example, you can reduce your carbon footprint by using aridesharing service instead of driving your own car.

● Inherently digital in nature & run on technology platforms: The sharing

economy relies on technology platforms to connect people and facilitate thesharing of goods and services These platforms provide a number of features,such as search, rating, and payment processing, that make it easy for people tofind and share resources.

● Grants temporary access rather than permanent ownership: The sharingeconomy is based on the idea of temporary access to goods and services, rather

than permanent ownership This means that you can use a resource withouthaving to buy it, which can save you money and reduce waste.

● Resources are often owned by external individuals: In the sharing economy, theresources that are shared are often owned by individuals, rather thanbusinesses This means that you can connect with people in your communityand share their resources, which can help to build stronger relationships.

The issues that the sharing economy faces are:

● Two-sided platform: A sharing economy platform must recruit both customersand providers This can be a challenge, as it requires the platform to find a wayto appeal to both groups.

● Crowdsourced supply: The providers on a sharing economy platform are not

employees They are independent contractors who are not subject to the sameregulations and standards as employees This can make it difficult for platformsto ensure the quality of the services they offer.

● Access not ownership: Sharing economy platforms allow users to access

goods and services without having to own them This can lead to a decrease indemand for traditional products and services, which can hurt businesses thatrely on those sales.

● Lack of awareness: Many people are not aware of the sharing economy, or theydo not know how to use it This can limit the growth of the sharing economy.

● Concerns about safety: Some people are concerned about the safety of usingsharing economy services, such as ridesharing This is a valid concern, as therehave been some high-profile incidents of violence and theft involving sharingeconomy providers.

● Regulation: Some cities and states have regulations that make it difficult forsharing economy businesses to operate This can limit the growth of the sharingeconomy.

Despite these challenges, the sharing economy is growing rapidly It is estimated thatthe sharing economy will be worth $335 billion by 2025 This growth is being drivenby a number of factors, including the rise of the internet, the increasing popularity ofmobile devices, and the growing awareness of the environmental and social benefitsof sharing.

The sharing economy is based on the idea of providing access to goods andservices that people need, rather than ownership This means that brands andcompanies need to create a strong value proposition that convinces consumers thatthey are better off renting or sharing a product than buying it outright This can bedone by offering competitive prices, convenience, or other benefits.

The sharing economy is also about community Brands and companies need tobuild a strong community of users who are passionate about their products andservices This can be done by creating a platform for users to connect with each other,share experiences, and provide feedback.

Customer service is essential for any business, but it is especially important forbrands and companies that operate in the sharing economy This is because users aresharing their personal belongings with strangers, and they need to feel confident thatthey will be treated fairly and that their belongings will be taken care of.

The sharing economy is constantly evolving, so brands and companies need tostay up-to-date with the latest trends This includes understanding the needs ofconsumers, the latest technologies, and the competition.

2.2 Promotion

In this new digital environment, marketing is moving from selling products totelling stories.

2.2.1.Usergeneratedcontent2.2.1.1Definition

User-generated content (UGC) is any type of content that is created by users ofa product or service, rather than by the company that produces it UGC can take manyforms, including:

● Reviews: Product reviews are one of the most popular types of UGC They canbe written, filmed, or recorded in audio format.

● Testimonials: Testimonials are statements from customers about theirexperience with a product or service They can be written, filmed, or recordedin audio format.

● Photos and videos: Photos and videos can be used to showcase a product orservice, or to share a user's experience with it.

● Blog posts: Blog posts can be used to provide information about a product orservice, or to share a user's thoughts and opinions about it.

● Social media posts: Social media posts can be used to share a user's experiencewith a product or service, or to connect with other users who are interested init.

For Men

● Competition: Feedback that focuses on how well the UGC compares to that ofothers can be a strong motivator for men For example, you could saysomething like, "Your UGC was really well-written and informative Iespecially liked the way you compared and contrasted the different products."● Individualistic quality: Feedback that focuses on the individual quality of the

UGC can also be motivating for men For example, you could say somethinglike, "Your UGC was really creative and original I love the way you used yourown personal experiences to illustrate your points."

For Women

● Cooperation: Feedback that focuses on the impact of the UGC on others can bea strong motivator for women For example, you could say something like,"Your UGC was really helpful and informative I know that a lot of people aregoing to benefit from your insights."

● Quality: Feedback that focuses on the overall quality of the UGC can also bemotivating for women For example, you could say something like, "Your UGCwas really well-written and informative I appreciate the time and effort thatyou put into it."

User-Generated Content (UGC) has three key characteristics:

cards, or other tangible rewards.

● Making it easy to contribute The easier it is for users to contribute to UGC, themore likely they are to do so This means providing clear instructions,easy-to-use tools, and a convenient way to submit content.

● Responding to UGC When users take the time to contribute to UGC, it isimportant to respond to them This shows that you appreciate their efforts andthat you value their feedback.

● Using UGC effectively Once you have received UGC, use it effectively Thiscould involve sharing it on social media, incorporating it into your marketingcampaigns, or using it to improve your products or services.

A doppelgänger brand image (DBI) is a negative image of a brand that iscreated and circulated by consumers, anti-brand activists, bloggers, and opinionleaders in the news and entertainment media DBIs are often created in response to abrand's perceived inauthenticity, unethical business practices, or harmful products orservices.

DBIs can be very damaging to a brand's reputation They can erodeconsumer trust, lead to boycotts, and even result in legal action In some cases, DBIshave even caused brands to go out of business.

The "Cancer Camel" is a parody of the Marlboro Man, which was created by anartist named Kunjal Chawhan The image shows a camel with a saline drip, suggestingthat the camel is suffering from cancer as a result of smoking cigarettes.

Doppelgänger brand images are usually focused on well-known brands that areviewed as lacking authenticity and trying to create false or misleading emotionalappeals through their promotional activities These brands are often seen as being outof touch with their customers and their values.

● Negative perception: DBIs are typically negative in nature They often portraythe brand in a negative light and criticize its products, services, or policies.● Widespread: DBIs can be widespread They can be shared on a variety of

platforms, including blogs, social media, and online forums.

● Persistent: DBIs can be persistent They can last for months or even years.● Difficult to combat: DBIs can be difficult to combat They can be spread

quickly and widely, and they can be difficult to refute.

DBIs can have a negative impact on a brand's reputation and bottom line Theycan lead to decreased sales, decreased customer loyalty, and increased costs Managersshould take steps to identify and address DBIs early on.

Doppelgänger brand images can have a significant impact on a brand'sreputation When a doppelgänger brand image is created, it can damage the brand'scredibility in the eyes of consumers This is because the image may make it seem likethe brand is not authentic or that it is trying to deceive consumers.

When a doppelgänger brand image is created, it can also reduce customer trustin the brand This is because consumers may be hesitant to do business with a brandthat they feel is not trustworthy.

If a doppelgänger brand image is widely circulated, it can lead to lost sales forthe brand This is because consumers may be less likely to buy products from a brandthat they have negative feelings about.

In some cases, doppelgänger brand images have even led to boycotts of brands.This is when consumers decide to stop buying products from a brand in protest of thebrand's actions.

Doppelgänger brand images can be a challenge for brands, but they can alsobe an opportunity By taking steps to mitigate the risk of doppelgänger brand images,brands can protect their reputation and build a strong brand identity.

Consumers are increasingly demanding transparency from brands, and theyare more likely to trust brands that are open and honest about their practices Thismeans being clear about where your products are made, how they are sourced, and

how they are priced It also means being transparent about your company'senvironmental and social impact.

Avoid making false or misleading claims in your advertising False ormisleading advertising is not only unethical, but it can also damage your brand'sreputation If you make a claim that cannot be substantiated, you are setting yourselfup for a lawsuit or a public relations disaster.

Monitor social media and other online channels for negative commentsabout your brand Social media is a powerful tool for both positive and negative brandengagement It is important to monitor social media channels for any negativecomments about your brand so that you can address them quickly and effectively.

Take steps to address any concerns that are raised If you receive a negativecomment about your brand, it is important to take the time to address it This does notmean that you have to agree with the comment, but you should at least acknowledge itand explain your side of the story.

In addition to addressing negative comments, it is also important to beresponsive to positive feedback and suggestions from customers This shows that youvalue their input and that you are committed to improving your brand.

A strong brand identity will help you to stand out from your competitorsand to build a loyal customer base Your brand identity should be based on yourcompany's values, mission, and vision It should also be reflected in your products,services, and marketing materials.

Marketing and advertising are essential for building brand awareness and drivingsales When you invest in marketing and advertising, you are investing in the future ofyour brand Building a strong brand takes time and effort There will be setbacksalong the way, but if you are patient and persistent, you will eventually achieve yourgoals.

2.3 Place

A new retailer is a business that sells products or services to consumersthrough a variety of channels, including online, brick-and-mortar, and mobile Newretailers are often characterized by their use of technology to improve the customerexperience, such as by providing real-time inventory updates, personalizedrecommendations, and seamless checkout.

Online retailing, also known as e-tailing, is the sale of goods and services toconsumers through the internet Online retailers can be either brick-and-mortar storesthat have an online presence, or they can be purely online businesses.

Physical retailing is the sale of goods and services through a physical store.This could be a brick-and-mortar store, a department store, a grocery store, or anyother type of physical store.

Direct-to-consumer (D2C) brands: These brands sell their products directly toconsumers, without the need for a middleman like a retailer This allows them to keepprices lower and offer a more personalized shopping experience Some popular D2Cbrands include Warby Parker, Harry's, and Allbirds.

Social commerce: This is the practice of selling products through social mediaplatforms like Instagram, Facebook, and Pinterest Social commerce allows retailers toreach a wider audience and engage with customers in a more personal way Somepopular social commerce platforms include Poshmark, Depop, and Grailed.

Livestream shopping: This is a new trend in online retailing where retailersbroadcast live video of themselves showcasing products to potential customers.Livestream shopping allows retailers to build relationships with customers and answertheir questions in real time Some popular livestream shopping platforms includeAmazon Live, Walmart Live, and Shopify Live.

New retailers often focus on niche markets, which are small but profitablesegments of the overall market This allows them to compete with larger retailers byoffering a more specialized product or service.

New retailers are often early adopters of new technologies, such ase-commerce, social media, and mobile marketing This allows them to reach a wideraudience and engage with customers in new ways.

New retailers often focus on providing personalized service to their customers.This can be done through things like loyalty programs, customer reviews, and livechat.

New Retailer = Traditional Retailer + New Technologies (Online)Online Retailing

● Online retailing is convenient for customers because they can shop fromanywhere at any time They also don't have to worry about parking or traffic.● Online retailers offer a wider selection of products than brick-and-mortar

retailers This is because they don't have the same space constraints.

● Online retailers can often offer lower prices than brick-and-mortar retailers.This is because they don't have to pay for rent, utilities, or staff for a physicalstore.

Physical Retailing

● Touch and feel: Physical retailers allow customers to touch and feel productsbefore they buy them This is important for some products, such as clothingand furniture.

● Physical retailers offer immediate gratification Customers can walk into a storeand buy what they want right away.

● Physical retailers can provide better customer service than online retailers Thisis because they have staff who are knowledgeable about the products and whocan answer customer questions.

2.3.1.4Issues