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8 Contemporary Marketing Practice
8 Contemporary Marketing Practice
Strategic Marketing
Contemporary Marketing
Practice
Dave Harvey
November 2019
Key trends and challenges
Customer experience all-important
Data Unification and wider range of data sources
Artificial Intelligence (AI) and data-driven
personalization
Real-time engagement across channels
Shorter planning horizons and use of ‘test and
learn’ approach
Collaborative consumption
2 07/07/2024
Customer experience
80% of customers say the experience a company
provides is as important as its products and
services (Salesforce survey 2018)
Customers demand to be truly known and
understood as individuals
In a culture of immediacy, customers expect
engagements at their exact moment of need and
across their entire customer journey
3 07/07/2024
The customer journey
High-performing organisations succeed with
strategies that consider customers’ entire
journeys
Compared to the competition, they have better
collaborative relationships across their
organization and channels
They effectively unify and apply customer data to
engage their customers and prospects in real-
time
4 07/07/2024
Marketing and technology as integrators
5 07/07/2024
Data unification
More sources of data
More sharing of second-party data
Not just about collecting data – being able to process,
integrate and interpret the data is key
Different systems, e.g :- ESPs (email service providers),
DMPs (Data Management Platforms) and CRMs (Customer
Relationship Management Systems) are owned by various
departments:- this makes unification a challenge
A single default solution for customer identity is the goal
6 07/07/2024
• New functions and Chief Data
Officer
organisation Manufacturing
Service &
Support
07/07/2024 7
AI applications in marketing
Current
– Personalised channel experiences and overall
customer journeys
– Dynamic landing pages and website
Emerging
– Programmatic advertising and media buying
– Automated social and messenger app interactions
– Predictive journeys
8 07/07/2024
Inputs to DMP
(Data Management Platform)
Web analytics tools
Mobile web
Mobile apps
Behavioral and demographic data
CRM data
Point-of-sale data
Social networks
Online video
TV data
Amazon Echo (Alexa) etc
9 07/07/2024
Test and learn
Digital marketing technology now allows
marketers to carry out large numbers of different
tests and experiments on very small segments of
existing and potential customers
"Test and learn" is a set of practices which can
predict the likely impact of alternative marketing
programmes, before full-scale rollout
10 07/07/2024
3 key questions for test and learn
What impact will the programme have on KPIs
across the network or customer base?
Will it work better for some customers or stores
than with others?
Which components of the idea are actually
working?
11 07/07/2024
Examples of test and learn
Retail banks and credit card companies (e.g. Capital
One) running different commercials in different
markets.
Fast food restaurants launching a new menu item or
product for a limited time in select locations
Retail chains evaluating “store of the future” programs,
such as self-scanning tech
Companies evaluating pricing strategies
Retailers testing merchandising layouts across their
door base
12 07/07/2024
Test and learn can be expanded and accelerated with
digital marketing
14 07/07/2024
Collaborative consumption
Can create value in 3 ways:-
– Increases choice and can become a source of extra
cash
– Enhance trust and bonding among otherwise
unknown others, increasing social capital
– Facilitates the use of underutilized assets and avoids
waste
15 07/07/2024
However…
Many exchanges are not taxable, reducing state income
Consumers lacking technical skills and from a different
background can be excluded from these markets
Consumer rights may not be enforceable
May not be environmentally-friendly e.g. car-sharing
may reduce the use of public transport
Airbnb may increase travel & tourism, whilst reducing
housing availability for the local community
16 07/07/2024
Some ethical questions…
Price discrimination and yield management
– Is it ethical to vary prices and other aspects of the
offer for different customers and at different times?
Can you think of examples of prices varying?
Have you been affected?
17 07/07/2024