Marketing implications of digital and physical presence across customer segments

Marketing Implications

Aanalyze the marketing implications for reaching markets segments using both "space" (digital) and a "place" (physical) mediums. How can customers move effortlessly from one to another?

The use of digital (i.e. The Internet) and traditional media (newspaper / TV) are allowing customers to be able to learn more about different products as well as services that businesses are selling. They can be used to: create more interest in the merchandise and drive sales for the organization. The way customer can easily go from one medium to the next is when they will see or hear about a particular product in traditional forms. Once this takes place, they will then visit their web site later on. (Stokes, 2010, pp. 257 -- 279)

A good example of this took place recently between Cadillac and Apple. What happened was Apple was in the final stage of preparing to launch the I Pad. This was the first generation smart tablet and many consumers were eagerly awaiting its release. To help promote CTS Coupe, Cadillac wanted to use both traditional and online marketing techniques. The basic idea was to illustrate to consumers the turnaround of GM and how this product can meet the demands of different demographics. To achieve this objective, Cadillac executives worked with their advertising agency to promote the car through traditional media outlets (i.e. The newspaper, radio and TV). At the same time, they launched an application on the I Pad and Facebook. (Dilworth, 2010) (Naughton, 2010)

The strategy that the company was using was designed to reach out to their core audience (older to middle age adults) through the traditional forms of marketing. This helped them to be able to appeal to their traditional marketing base. At which point, they augmented their strategy by having an online marketing plan reach out to: younger and older consumers (who are tech savvy). This allowed Cadillac to market the vehicle to different demographics. Over the course of time, this strategy helped the brand to reshape it image, as they company became a part of the GM turnaround story. This is significant, because it shows how this approach allowed Cadillac to market the vehicle to traditional and new customers. (Dilworth, 2010) (Naughton, 2010)

Do all market segments enjoy shopping at both, or should specific market segments use space or place exclusively?

To a certain extent all demographics will use both: online and offline forms of media. However, when you begin moving between the older and younger generations there are vast disparities between the two. As, the older generation will focus on: more traditional offline sources for entertainment and to learn about new products. While, the younger generation will tend receive the majority of their information from various online services. This is significant, because it is showing how the marketing strategy that is being utilized should focus on using both. The reason why, is because this will allow an organization to: increase their exposure and reach out to a larger demographic of consumers. (Stokes, 2010, pp. 257 -- 279)

However, if the product is geared toward a particular segment, then this strategy would needs to be augmented with one that will focus on selling a product that is geared towards their target audience. A good example of this can be seen by looking no further than The Heart Truth. This was the first federally sponsored program that was seeking to raise the risks of heart disease among women. The core audience that they were targeting was a younger demographic of women. As, they were focusing on those who are: in their mid to late teens going into their 50's. This meant that a unique approach had to occur that would allow the program to effectively reach out to their target audience. To achieve this objective they focused exclusively with online mediums. The reason why, is because the majority of younger women will receive most of their information and entertainment online. The best way to reach out to this group was to use those tools that could influence them most (various Internet applications). (Stokes, 2010, pp. 257 -- 279)

As a result, executives focused on using social networking sites (such as: Facebook and Twitter) to help spread the message about the dangers of heart disease in 2007. The use of this strategy meant that the program became so successful that other tools were implemented to help increase awareness. A few of the most notable include: the use of email, blogs and promoting the programs on search engines. These different efforts were so successful that knowledge of the program increased from: 34% in 2006 to 68% in 2009. This is significant, because it is showing how utilizing this strategy to target select segments can be successful. (Long, 2009)