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Digital Marketing (2103) CIM Membership No.

40059287 December 2019

ASSIGNMENT SUBMISSION FRONT SHEET

Please complete all sections and attach to the front of your assignment

CIM Membership Number: 40059287

Module Title: Digital marketing

Qualification: CIM level 4 Certificate in Professional Marketing

Accredited Study Centre: Strategy institute

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Digital Marketing (2103) CIM Membership No. 40059287 December 2019

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Digital Marketing (2103) CIM Membership No. 40059287 December 2019

• Has the word count for each task and total for the submission been added to the
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Digital Marketing (2103) CIM Membership No. 40059287 December 2019

Total word count – 4,064

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Digital Marketing (2103) CIM Membership No. 40059287 December 2019

Contents Page
Task 1 (A) – Company background………………………………………………………………………………………… 8
1.1.1 – Organization name……………….......................................................……………….................. 8
1.1.2 – Type of organisation………………....................................................................................... 8
1.1.3 – Size of organisation………………........................................................................................ 8
1.1.4 – Products and services……………….......................................................……………….............. 8
1.1.5 – Customer base………………................................................................................................ 8
1.1.6 – Main competitors………………........................................................................................... 8

Task 1 (B) - Customer changes due to changes in digital environment ……………………………….....9


1.2.1 – slide 1: Digital environment ………………............................................................................9
1.2.2 – slide 2: Customer expectations .....................................................................................10
1.2.3 – slide 3: Multi-screening ……………...................................................................................11
1.2.4 – slide 4: Security ……………….............................................................................................12
1.2.5 – slide 5: Webrooming and Showrooming………………........................................................13

Task 1 (C) - Online revenue generation models......................................................................14


1.3.1 — slide 6: Online revenue generation...............................................................................14
1.3.2 — slide 7: Advertisement revenue................................................................................... 15
1.3.3 — slide 8: Online subscriptions.........................................................................................16
1.3.4 — slide 9: Online storage sales......................................................................................... 17
1.3.5 — slide 10: Infomediation.................................................................................................18

Task 2 (A) - Digital marketing activities and integration to offline marketing mix...................20
2.1.1 — Omni-channel marketing & integration to online offline activities..............................20
2.1.2 — Apple’s digital marketing activities...............................................................................20
2.1.3 — Privacy on iPhone & @applesupport............................................................................21
2.1.4 — #shotoniphone..............................................................................................................21

Task 2 (B) - Evaluation of Apple’s digital marketing mix.........................................................22

2.2.1 — Product.........................................................................................................................22
2.2.2 — Price..............................................................................................................................22
2.2.3 — Promotion.....................................................................................................................23
2.2.4 — Place..............................................................................................................................23
2.2.5 — Physical evidence..........................................................................................................23
2.2.6 — Process..........................................................................................................................23

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Digital Marketing (2103) CIM Membership No. 40059287 December 2019

2.2.7 — People...........................................................................................................................23

Task 2 (C) - Marketing Automation.................................................................................................24


2.3.1 — Potential benefits of automating communication mix................................................24
2.3.2 — Social media automation.............................................................................................24
2.3.3 — Personalization............................................................................................................24

Task 3 (A) - Integrated digital marketing plan........................................................................23

3.1.1 — Contextual analysis......................................................................................................26


3.1.2 — Customer segmentation and persona.........................................................................26
3.1.3 — Target customer demographics and psychographics..................................................26
3.1.4 — Customer persona.......................................................................................................27

Task 3 (B) - SMART objectives.........................................................................................................28

3.2.1 — Objective 1...................................................................................................................28


3.2.2 — Objective 2...................................................................................................................28

Task 3 (C) - Marketing mix to achieve objectives....................................................................29

3.3.1 — Objective 1...................................................................................................................29


3.3.2 — Objective 2...................................................................................................................30

Tables Page
Table 1..................................................................................................................................................8
Table 2................................................................................................................................................20
Table 3................................................................................................................................................22
Table 4................................................................................................................................................29
Table 5................................................................................................................................................30

Figures Page
Figure 1.................................................................................................................................................8
Figure 2.................................................................................................................................................8

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Digital Marketing (2103) CIM Membership No. 40059287 December 2019

Task 1
Word count - 995
(Speaker notes)

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Digital Marketing (2103) CIM Membership No. 40059287 December 2019

1.1.1- Organization name: Apple Inc.

1.1.2- Type of organization: Profit oriented organization


1.1.3- Size of organization: Apple Inc. has a brand worth of $205.5 billion as of May 2019 (Forbes, 2019),
a revenue of over $260 billion (statista, 2019). Apple enjoys a market capitalization of over $1 trillion as
of September 2019 (cnbc, 2019). With over 506 stores worldwide (macrumors, 2019), Apple employs a
137,000 employees as of 2019 (macrotrends, 2019).

1.1.4- Products and services: Apple offers a multitude of


consumer electronics ranging from mobile phones, laptops,
computers and wearables. They also focus on software such
as IOS and Mac OS, and online services such as Apple Music
and iCloud. Apple recently entered the banking industry with
the release of an Apple Card which hit the market in summer 2019. Apple’s $53.8B revenue as of Q3 2019
was after the release of the Apple Card (Apple, 2019)

1.1.5- Customer base: Apple started off as B2C however they now serve the B2B space as they’ve
partnered with British Airways, and many others companies, to provide custom apps and devices for their
needs (Apple, 2019)

1.1.6- Main competitors: Since Apple is a heavily


diversified conglomerate it faces competition in all
operating industries. In the smartphone market,
Apple has heavy competition from Samsung. This left
Apple as the 2nd highest, in terms of market share,
however, recently, Huawei has dethroned Apple and
left Apple 3rd. Apple faces competition; from Dell, HP Table 1
and Lenovo in the laptop and computer industry, Spotify in the music streaming service industry,
Roku and Amazon in the online TV streaming industry and Samsung, Omega and Fitbit in smart wearables.

Figure 1 Figure 2
2Q18 smartphone Marketshare 2Q18 laptop Marketshare

7%
18% 7%
13% 12%
9%
19% 8%
24%
22%
Source: Gartner 39%
(August 2018) Source: Bloomberg
Figure 1
22%

Apple Xiaomi Oppo Others Samsung Huawei


Apple Acer HP Others Lenovo Dell

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Digital Marketing (2103) CIM Membership No. 40059287 December 2019

Task 1B - Customer changes due to changes in digital environment

1.2.1 - Slide 1

“The change in customer behavior driven by technological developments is the


biggest trend that marketers believe will offer the biggest opportunities and
challenges in digital marketing.” (Smartinsights, 2019)

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Digital Marketing (2103) CIM Membership No. 40059287 December 2019

1.2.2 - Slide 2

“Microsoft found that a delay of two seconds results in a 4 per cent loss in
revenue (Dixon et al., 2010, cited in Chaffey, 2017)
• Customers expect information immediately therefore delays in websites
would result in the customer switching to another website. “Reducing page
loading time from 4 seconds to 2 seconds increases conversion rates by
approximately 70%” (Chaffey, 2017)
• “A whopping 75% of customers feel frustrated when a website is not
personalized, according to Loyalty 360.” (SmartInsights, 2018). Amazon is
the prime example of personalization, they claim 35% of their sales come
from suggested products (Chaffey, 2017)
• This change has been brought about since “The Internet and everything
associated with it suggests speed” (Chaffey, 2017) and the internet is
known as a method to improve convenience. Personalization helps with
convenience to customer (Lauterborn’s 4Cs model)

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1.2.3 - Slide 3

“Multi-screening is a process by which consumers access and interact content via


multiple devices including smartphones, tablets, wearables and traditional TVs”-
(D. Chaffey, 2017)
• Marketers have an opportunity as a consistent message could be published
across all devices, different app experiences could be connected such as
Amazon allowing customers to add a product into the shopping cart using a
computer but complete the purchase on phone.
• This change has been brought about due to the falling prices of portable
devices (statista, 2015) and the digital infrastructure built for cross
communication between devices.

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Digital Marketing (2103) CIM Membership No. 40059287 December 2019

1.2.4 - Slide 4

In 2018, the total number of credit card fraud amounted to approximately 2.62
million (Statista, 2019)
• Customers are nervous about their personal information on the internet.
According to a survey conducted, 54% of U.S. adults who use Facebook has
adjusted their privacy settings (pewresearch, 2018). This change is brought
about due to companies selling consumer information. Companies such as
Facebook have been sued for infomediation.
• As security and privacy issues have risen 44% of Americans are less likely to
give personal information to websites, 42% only visit website they know
and trust, and 32% have changed their security settings (Statista, 2019) this
makes it harder for marketers to create personalized content. These
security risks of the internet has brought about this change in consumer.

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Digital Marketing (2103) CIM Membership No. 40059287 December 2019

1.2.5 - Slide 5

• Webrooming allows customers to pick their products from home before


making the purchase in-store, this allows for detailed product search. 31%
of shoppers chose webrooming to avoid shipping costs (Deloitte, 2015)
• The internet offers competitive prices from different retailers, customers
have variety, however before making the purchase online certain products
need to be physically handled such as clothing wear. This is where
showrooming is preferred.
• This change has been brought about by the E-commerce infrastructure built
online that allows companies to offer omni-channel experiences to
customers.

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Digital Marketing (2103) CIM Membership No. 40059287 December 2019

Task 1C - Online revenue generation models

1.3.1 - Slide 6

• Multiple methods of online revenue generation has surfaced over the


years.
• Google, made $116.3 billion in 2018 through ad revenue (statista, 2019)
and Spotify has over 100 million premium subscribers generating 1.56
billion in revenue Q1 2019 (statista, 2019)

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Digital Marketing (2103) CIM Membership No. 40059287 December 2019

1.3.2 - Slide 7

“People have been trying to influence other people since the dawn of human
existence, utilizing whatever means and media they had at their disposal at the
time.” (Jones, 2009)
Generations after, online advertisements took the internet by storm. Online
advertisements are proven to be cheap and effective. YouTube has an ad revenue
of $4.95 billion (onmicoreagency, 2019) as of 2019.
• Advertisers and marketers use platforms such as Facebook and Twitter for
their advertisements since these platforms have high levels of digital traffic.
An American spends 38 minutes per day on Facebook being the highest in
consumer app usage (Hootsuite, 2019)

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Digital Marketing (2103) CIM Membership No. 40059287 December 2019

1.3.3 - Slide 8

The subscription market has grown 100% yearly over the past 5 years, large retailers generating
up to $2.6B in sale as of 2016. Amazon Subscribe & Save, Dollar Shave Club and Ipsy being the
top 3 most popular subscription sites in 2018 (McKinsey, 2018)

• “In the second quarter of 2019, Netflix had over 151 million paying streaming
subscribers worldwide…” and “As of June 2019, Apple Music had over 60 million
subscribers worldwide” (Statista, 2019). Content subscriptions have become extremely
popular over the years however physical content subscriptions are gaining traction with
companies such as Dollar Shave Club and Blue apron.

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Digital Marketing (2103) CIM Membership No. 40059287 December 2019

1.3.4 - Slide 9

Cloud computing has grown exponentially over the past decade, estimated at $24.65B in 2010,
expected to grow to $150B by the end of 2020. The cloud industry is divided into 3 markets;
Public, Private and Hybrid. “The public cloud market alone generated $146 billion in 2017”
(Statista, 2019)
AWS dominates the market with a 33% market share. Microsoft Azure trailing in second with a
mere 16% as of Q2, 2019 (statista, 2019)

• Companies such as Microsoft and Amazon are heavily relying on the cloud storage
business. Microsofts $33.1 billion revenue recorded, $10.8 billion was from the
‘intelligent cloud’ segment (statista, 2019)
• “Global Cloud Storage market accounted for $34.60 billion in 2017 and is expected to
reach $207.05 billion by 2026 growing at a CAGR of 21.9% during the forecast period.”
(researchandmarkets, 2018).

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Digital Marketing (2103) CIM Membership No. 40059287 December 2019

1.3.5 - Slide 10

“A concept where the middlemen hold data or information to benefit customers


and suppliers” (Chaffey, 2017)
You can sell customer data to create a direct income (lotame, 2019).
Infomediation is a method of revenue generation as customer information is
growing in importance since it can used for better customer service in the future
in-terms of personalized content. “Data analytics is the top 5 “most important”
issue for 38% of companies”, Lotame (2019).

• Failing to comply with regulatory bodies as the GDPR can leave the
company facing fines up to 4% of global turnover (superoffice, 2019)
• Example, Marriott is expected to be fined around €99 million for a data
breach between 2014 and 2018 (superoffice, 2019)

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Digital Marketing (2103) CIM Membership No. 40059287 December 2019

Task 2
Word count: 1521

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Task 2A – Digital marketing activities and integration to offline marketing mix

2.1.1 - Omni-channel marketing & integration of online offline activities


“Digital developments affect every aspect of business, every aspect of marketing including the
marketing mix, both online and offline communications must be integrated” – D. Chaffey, 2017
In order to successfully integrate offline online activities, the online medium has to be
complementary to one another (Pickton and Broderick 4Cs model)
Disney is an example that practices omni-channel marketing. They’ve integrated their physical
parks into their mobile app which allows customers to navigate within the park. They
compliment their offline product, the park, with an mobile app, digital product (HubSpot,
2019).

2.1.2 - Apple’s digital marketing activities


Apple’s most used owned digital media and digital platforms (Digital 5Ds model, D. Chaffey) are
their website, Instagram account and YouTube channel, however Apple generates significant
amounts of earned media, such as YouTubers product reviews, this acts as public relations for
the company and a digital marketing activity.
Apple’s digital marketing activities are generally limited to their owned media channels, they
utilize these channels effectively with campaigns such as the #shotoniphone campaign on their
Instagram page.
Table 2
Digital marketing activity Impact on offline marketing mix
Privacy on iPhone • Integrates and supports offline
Communicated on the Apple website and “promotion” done on billboards, adds
YouTube channel. value to their offline “products” such
as the iPhone

#shotoniphone • The campaign shows off the iPhone


Communicated on Instagram, this digital camera capabilities, this impacts the
activity acts as a digital promotion for Apple. offline physical “product”.
The likes & comments being the digital
“physical evidence”
@applesupport • This integrates into the offline “people”
This digital marketing activity allows element since customers can inquire
customers to inquire/get help from Apple. about products from employees in
This improves the digital “people” element physical stores
of the mix

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Today at Apple • This program has a great impact on


This significant offline program done by offline promotion as such an activity is
Apple is digitally integrated faintly as it only unique to Apple.
allows customers to pick a program near
their location

2.1.3 - Privacy on iPhone & @applesupport


Almost all of Apple’s digital marketing activities are done on their website, the
online/offline integration on their current “privacy on iPhone” campaign can be seen as
it communicated digitally as well as through offline methods such as billboards. This
digital activity supports the offline “promotion” and “product” elements of the
marketing mix. The website, also, allows for customers to get support on their devices,
the website has auto-responders, a call back facility and FAQs (D. Chaffey, 2017) (Apple,
2019). This improves the digital “people” element of the mix and is integrated well with
the offline “people” element as customers can inquire from employees at a physical
store too. 50% of U.S. consumers were very satisfied with Apple’s customer service.
(Statista, 2019)

2.1.4 - #shotoniphone
The Instagram campaign, while being a method of digital promotion using user
generated content, integrates with the offline product as it showcases the abilities of an
iPhone camera. Apple heavily promotes their camera capabilities using offline
promotion methods such as billboards therefore the #shotoniphone digital marketing
activity integrates fairly well with offline promotion done by Apple.

Apple billboard showcasing the


iPhone 11 Pro camera modules.

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Digital Marketing (2103) CIM Membership No. 40059287 December 2019

Task 2B – Evaluation of Apple’s digital marketing mix

The 7Ps model was originally devised by E. Jerome McCarthy, 1960. Dave Chaffey refreshed this
model and applied it to online channels (Smartinsights, 2019). All the elements of the marketing
mix are affected by digital. (D. Chaffey, 2017)
Bank of America is a good example that took a physical product and turned it digital, using the
Bank of America app customers are allowed to schedule appointments and deposit cheque’s.
Apple has a fairly quantified digital presence (smartinsights, 2019)

Apple’s digital marketing mix for their iPhone includes; Table 3


Digital elements
Product iCloud, Apple TV+, News+, Apple Music.
Price Pay-per-view & subscription models
Place Website & mobile “Apple Store”
Promotion Website, YouTube, Instagram
People Online chat bots, Apple engineers
Process Maintenance of website
Physical evidence 3rd party reviews, well designed website

2.2.1 - Product
Apple’s digital products for the iPhone include iCloud, Apple TV+, News+ and Apple Music.
These digital product add digital value to their offline products such as the iPhone (Ghosh,
1998, cited in Chaffey, 2017) These digital products are integrated into Apple’s proprietary
operating system, iOS, therefore these digital products are a strength to Apple in terms of
exclusivity however since these products cannot we accessed across other devices, such as a
Samsung phone, could be a weakness to Apple. These digital products add value to the iPhone
and integrate well with the iOS ecosystem.

2.2.2 - Price
Subscription (Chaffey, 2017) payment models are provided by Apple for their digital products
such as Apple TV+ and Apple music, this is a strength for Apple as customers may not prefer to
pay a lump sum payment for the service.
Apple also offers a pay-per-view (Chaffey, 2017) payment option for their Apple TV. This may be
a strength for Apple as customers may not like to add another subscription to their monthly
expenditure.

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Digital Marketing (2103) CIM Membership No. 40059287 December 2019

2.2.3 - Promotion
Online promotion is growing in importance (Chaffey, 2017). Apple carries out online promotion
through their website, Instagram and YouTube. Each platform is used to promote the products
in a different way, for example; YouTube is used to convey details about iPhone and its
capabilities whereas the website mostly creates awareness, this is PR for Apple (Chaffey, 2017).
However Apple barely utilizes Facebook and Twitter as communication/promotion platforms,
this could stand to be a weakness to Apple.

2.2.4 - Place
The Apple website and the “Apple store” app, being the digital placing elements practiced by
Apple could be a strength as “apps extend distribution into millions of customers via mobile”
(Chaffey, 2017)

2.2.5 - Physical evidence


Apple doesn’t post reviews on their website and has disabled the ability to comment on their
YouTube however customers can comment on Apple’s Instagram page and most comments are
rather positive. Apple generates a large about of earned media therefore many 3rd party
reviews are available for customers, this is a strength for Apple, this is reassurance for nervous
visitors (Chaffey, 2017) however Apple’s competitor, Samsung, posts 3rd party reviews right on
their YouTube channel. This could stand to be a weakness for Apple.

2.2.6 - Process
“Unintegrated websites create problems” (Chaffey, 2017) Apple’s internal process undergone
to maintain their website and keep prices up to date has been accurate. This stands as a
strength for Apple since customers would find the information on the website to be reliable.

2.2.7 - People
Apple gives customers the option to speak to an online representative/engineer, schedule a call
or look through their FAQs on their website (Apple, 2019). This is a strength in terms of Apple’s
digital people element as customers have many options of help to choose from. Apple, even,
has a question and answer platform called @applesupport so customers can ask questions
about their products. This is a platform designed to service customers. This is a strength for
Apple since such services equate to happy customers (Chaffey, 2017)

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Digital Marketing (2103) CIM Membership No. 40059287 December 2019

Task 2C - Marketing automation

“Market automation is about improving digital


marketing efficiency. It takes modelling and Marketing Automation software companies
optimization to another level, where human
• Hubspot Marketing Automation
intervention is minimized.” - D. Chaffey, 2017
• Prospect.io
Approximately about 49% of companies use marketing • Drip
automation to streamline their workflow (cmo.adobe, • Salesforce Pardot
2017) Source: HubSpot, 2019
Marketing automation can essentially be used
anywhere a marketer can imagine however marketing automation is most commonly used for
lead generation and email marketing (drip, n.d.)
Marketing automation, also, consists of customizable customer communications tools, based
on collated data, to optimize marketing processes (Deloitte, n.d.)

Marketing is undergoing an A.I. revolution.


Source: Deloitte

2.3.1 – Potential benefit of automating communication mix


2.3.2 - Social media automation
With the implementation of marketing automation, Apple has the potential benefit of better
social media marketing with improved conversion rates. Apple could use automation to post
content timely on social media platforms and track who’s engaging with the content. This saves
time and ensures the profile has great content. According to Pardot (n.d.), automation
increases sales revenue by 34% and marketing effectiveness by 37%, on average. Since Apple
has a #shotoniphone campaign currently on their Instagram, they could automate the process
of reposting content from users. This could save time for Apple employees and the number of
staff can be reduced.

2.3.3 - Personalization
Personalization is growing in importance (refer; 1.2.2), with the use of specialized SaaS
personalization (Chaffey, 2017) Apple could send personalized emails. With the help of
automation, personalization could go further than simply adding the customers name on the
email, for example; Drip marketing automation automatically sends the customer an email
when there is an issue with the payment process, prompting customers to update their credit
card information (drip.com, n.d.). This is already done by Apple however with automation
Apple could achieve this at a large scope, for cheaper and personalized content retains and
engages customers because ”personalization enhances relationships” (Chaffey, 2017)

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Digital Marketing (2103) CIM Membership No. 40059287 December 2019

Task 3
Word count: 1548

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Digital Marketing (2103) CIM Membership No. 40059287 December 2019

Task 3A – Integrated Digital marketing plan

Planning is vital in-order to prevent an organization from drifting into the abyss, having a good
marketing plan gives the organization direction and a sense of order. A digital marketing plan is
essentially a traditional marketing plan adapted for the digital environment (Chaffey, 2017).

In-order to create an integrated digital marketing plan, P.R. Smith’s (1996), SOSTAC framework
will be used. This model was deemed most appropriate since the model was listed as the 3rd
most popular model in the CIM poll and because the model makes it easy to structure plans for
different planning activities (SmartInsights, 2019)

3.1.1 - Contextual analysis


With approximately 4.33 billion people active on the internet (slide 1), Apple has the
opportunity to reach out to customers through online channels and create customer
engagement in terms of prompting user generated content or repeat purchase (RACE model,
SmartInsights, 2017). In-order to do this, Apple would need to use more digital media
platforms. The lack of use stood as a weakness to the organization (refer, 2.2.3)

3.1.2 - Customer segmentation and persona


Segmentation is the process of dividing the customer database into groups based on a criteria,
this allows the business to better target customer requirements (CIM course book). Marketers
have now moved on from simple segmentation to the building of customer persona’s.
Customer persona’s help marketers decide on what customers want (Chaffey, 2017) as
information is based on market research and real data from existing customers (HubSpot,
2018).

3.1.3 - Target customer demographics and psychographics

Customer geodemographics – Gen Z Customer psychographics – Gen Z


(born between 1995 & 2012, according to Deloitte)
• Seeks out learning opportunities
• Males • Tech savvy and active on social media
• Aged between 18 – 22 • Prefers independent studying such as
• Newly entering the workforce online tutoring
• Preferably Colombo region with an median (Deloitte)
income of 70,000LKR per month. • Places most importance on making money
over a fulfilling job and health
(statistics.gov.lk) • 46% eats out at least once a week
Preferred media: • Pursues careers in science, technology,
engineering and mathematics.
- Enjoys anonymous social media such as • 32% save enough money monthly and is
Snapchat due to the lack of permanent confident of future financials
records (Forbes) (Nielson)

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Digital Marketing (2103) CIM Membership No. 40059287 December 2019

3.1.4 - Customer persona

YO! My name
is Adam Apple “We are the ‘always on’ generation”
and I’m Gen Z

Goals & objectives Fears

• 17% wants to be entrepreneurs • 47% is not comfortable


• 75% teens wants to convert hobbies to with their future
full-time jobs financial situation
• Wants to empower coworkers • Data privacy concerns
(Visioncritical) (refer: slide 4)
(Nielsen)
Webographics
Hobbies and interests
• 80% of online activities are mobile based and 95% users practice
multiscreening (slide 3) • 71% of gen Z owns a
(Hootsuite) Netflix subscription*
• An average of 15.4 hours spent on smartphone usage • 37% likes to listen to
• Watches 2x more videos on mobile than any other demographic music during their
• Prefers to get their news from social media* spare time
• Prefers brands to reach them on Email and social media. • 27% chooses to read in
• With an attention span of 8 seconds, YouTube is their favorite their spare time
content consumption site
(Visioncritical* & Neilsen)
(Visioncritical & Neilsen*)

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Digital Marketing (2103) CIM Membership No. 40059287 December 2019

Task 3B – SMART objectives

“Objectives are the goals the firm desires to achieve”. Marketing objectives are derived from
the corporate objectives to ensure corporate objectives are met (Diasz, 2017). Good objectives
follow the SMART criteria to assess the quality of the set objectives (SmartInsights, 2019).

Using the SMART criteria, the following objectives are set in Alternative approaches to setting
response to the online behaviour of Gen Z. objectives;

3.2.1 - Objective 1 • The KPI pyramid approach


Create awareness and improve the number of user generated • The Big 4 approach
content for #shotoniphone by 20% within a span of a year. • The 5Ss objectives approach
• The RACE approach
User generated content is generally more trustworthy, Source: D. Chaffey, 2017
influential, specially for Gen Z (Duffy Agency, 2019) and it
has a great positive effect on brand promotion. According to SmartInsights (2017), User
generated content is very valuable for a brand as it makes customers 97% more likely to
purchase, this boosts engagement and gives the brand a conversion rate of 78%. Therefore,
objective 1 was deemed appropriate since the #shotoniphone campaign is a campaign that runs
on user generated content and is carried out on Instagram is a preferred media platform for the
target demographic (refer; 3.1.3). Apple uses Facebook and Twitter sparingly (refer; 2.2.3)
however since multi-screening is growing in popularity (refer; slide 3), in order to achieve set
objective, Apple would have to persistently communicate a message across multiple platforms.
The message has to be consistent across every platforms since Gen Z is fairly active on social
media and customer expectations are on the rise(refer; slide 2 & 3.1.3)

3.2.2 - Objective 2
Improve sales generated from the “Apple TV+” app by 10%
within 6 months.

Objective 2 was set since subscription e-commerce has a year-on-year


growth of 100% (refer; slide 8) and 71% of Gen Z owns a Netflix
subscription (refer; 3.1.4). Apple could take a slice of that percentage
since Gen Z watches 2x more video on mobile devices than any other demographic (refer;
3.1.4). Since Apple services integrate fairly well to their proprietary operating system, it would
make a good case for customers to subscribe to Apple TV+ (refer; 2.2.1)

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Task 3C – Marketing mix to achieve objectives

3.3.1 - Objective 1
Create awareness and improve the number of user generated
content for #shotoniphone by 20% within a span of a year.

The tag #shotoniphone communicates the camera capabilities of Apple iPhones on their
Instagram which is right on par with the target demographic, to improve awareness about the
#shotoniphone campaign the following digital marketing mix is recommended.
Table 4
Digital marketing mix Justification
Product & digital communications The images posted for the #shotoniphone campaign
are all taken on an iPhone, Apple needs to make
(Advertising) almost no change to their physical product, the
iPhone, as the iPhone 11 Pro has a dxomark of 117,
making it the top 5th camera on a smartphone
according to DXOMARK (2019).
Apple could improve awareness for the
#shotoniphone campaign by communicating this
message on their digital products, stated in table 3.
Apple could subtly advertise, for example; on their
Apple TV+ app, and nudge customers to take part in
the campaign.
Apple’s digital placing such as their website, refer;
Place, promotion & digital table 3, could be automated to identify new arrivals
communications from scenic locations, according to a preset criteria.
(Direct marketing and public relations The website could then show the concept of
(PR)) #shotoniphone to create awareness about the
campaign and prompt customers to take part on
Instagram (ACCA model, Colley, 1961). For example,
if California is preset as a scenic location on Apple’s
website automation software, a customer visiting
the website from California will get the message
about the campaign happening on their Instagram.
This integrates well into their social media
automation (refer; 2.3.2) as that customer could be
tagged so when the #shotoniphone tag is used on a
post, that post is automatically put through an
automated filtration process and posted on the
Apple Instagram page. This creates awareness and
improves the number of user generated for
#shotoniphone. This increase in user generated
content is PR for Apple.

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Digital Marketing (2103) CIM Membership No. 40059287 December 2019

3.3.2 - Objective 2
Improve sales generated from the “Apple TV+” app by 10%
within 6 months.

Apple TV+, released 1st November 2019, is an e-commerce video subscription service similar to
Netflix. The following digital marketing mix is recommended to improve sales for the digital
product.
Table 5
Digital marketing mix Justification
Product, Price, promotion & digital Apple offers subscription payment models for most
of its digital services (refer; 2.2.2) however in
communications comparison to Netflix, Apple TV+ has only one
(Advertising) payment package. It’s recommended that Apple
increases the number of payment packages such as
giving customers a choice between a 6 month
subscription or 1 year. Apple could also tweak the
product to offer separate benefits for each payment
option such as offering 4K content for the highest
plan. Similarly done by Netflix.
With the increase in payment options, Apple could
advertise and communicate these different options
using their digital promotion elements (refer; 2.2.3),
especially social media as to customer persona
webographics (refer; 3.1.4). This would create
awareness about Apple TV+ and may result in an
increase in subscriptions for the service (AIDA,
Strong, 1925). This has a higher probability of
improving sales for Apple TV+ since the division of
the package caters to a wider customer segment.
This is highly recommended as the target customer
is Gen Z. This essentially means that since the target
segment is new to the workforce (refer; 3.1.4) their
purchasing power may vary.
Internal processes minimises the level of human
Process, physical evidence & digital involvement through automation (D. Chaffey, 2017).
communications Apple could use marketing automation to
(Public relations(PR)) personalise (refer; 2.3.3) curated content for
individual viewers, similarly to Netflix. This may
result in positive PR for Apple in terms of word of
mouth or, in the extreme case, a 3rd party review.
Which is digital physical evidence that Apple TV+ is a
good product. This could result to improved sales of
the service thus achieving objective 2.

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