BBS202 Advertising and Promotions | Geographic Market Segment

1.You need to understand who your target segment is. You should develop a profile of the typical member(s) of the segment(s). This will help for example, to determine which media you should use. What is the positioning strategy for this product? What marketing objectives are there for this product?

 

2.You should have clear communication and sales based objectives in mind that support the above marketing objectives for each of the forms of marketing communications you use. For example, a typical objective might be – to have awareness of by our target segment of our brand of 90% using advertising in order to generate sales that will lead to our market share marketing objective of 25%.

 

3.The IMC campaign is of 12 months duration. You need to allocate the budget for both the creative strategy and media strategy.

 

4.For your creative strategy you will need to consider the following issues for each of the elements of the marketing communications mix that you will use:

5.For your media strategy you will need to determine which specific media you will use, the scheduling (see sample media schedule) and so on. For example, for TV you should refer to the OzTam website to ratings for various channels and/or TV programs.

 

6.You should develop and justify a budget to implement both your creative and media strategies.

 

7.You will need to consult the following chapters in the text to help in your preparation of the report:

Introduction:

The following report is going to create an effective space for the integrated marketing communication for Apple iphone 6.  In order to launch the product in the market, different strategies have been taken into consideration as fruitful marketing needs to be judged according to the basic marketing skills. However, the report does not let the campaign stay captivated within the conventional mode of marketing; it also values the effective skills for alternative marketing techniques through creative advertisements thus entailing a successful linkage between the customers and the product on offer. Apple iphone 6 invades into the consumer market by approaching to a certain segment of customers. The phone is not only accepted as a mere device for communication, certain qualities of Apple iphones has already put a positive effect upon the customers.   However, the new phone is going to be launched in the market with a new aura so as to create a permanent space in the mind of the customers. Hence an effective market campaign is highly necessitated in order to double the sales of the offered product (Belch 2014).

It is clear that the target market is Australia. After detailed understanding of the market- its movement, its trend towards the acceptance of the electronic goods, specifically mobile phones, the consumer  behavior and so on- it has been decided to carry on with a creative and innovative marketing campaign in the country. The report constitutes different alternative marketing styles such as guerilla marketing, in-store marketing, POP, media strategy, media marketing and so on.

The report is begins with the target segment for the marketing.  In this portion the targeted audiences are further specified. Target segment is followed by objectives of the marketing that deals with the exact objective and aim of the marketing. The second pat of the report is further categorized into two different parts- marketing objectives and communication objectives. The basic plinth of the report is going to encompass integrated marketing communication. In this aspect, the basic understanding of different strategies will be elucidated as per the product discussion and the integration of the consumers in the Australian market. Proper exploitation of the potential of media is also going to be one of the main weapons used in this marketing campaign. As a matter of fact, the entire report will be a thorough analysis and campaign proposal according to the findings. The report ends with a budget for the entire campaign that ought to be designed according to the weight age (Mifsud et  al. 2014).

Target Segment:

Targeting particular segment of the customers is one of the strongest and easiest strategies for a marketing campaign. As per the product demand in the market, the segments will be categorized. However, classical and conventional marketing strategies talk about four different market segmentations. These are:

1. Demographic Market Segmentation
2. Geographic market segmentation
3. Behavioral Market segmentation

Demographic Market Segmentation:

Demographic market segmentation deals with age, sex, literacy, income stability and other factors of the population of a particular area.  Demographic segmentation helps a company understand the exact mode of the target market. After a thorough analysis of he Australian market, it has been found that most of the people in the country are aged. However, there is a certain influx of students from different countries of the world. Besides, there is a huge rate of immigration in order to seek job in the country thus letting the country’s market vastly open for the unstable customers. Apple is going to target all of those customers who have been staying in Australia for different reasons.   Apple iphone 6 does not feature applications that would help the aged people in the country. However, there are certain behavioral changes in the market for the consumption of phones. Apple iphone 6 is going to target the students, the working youths and the executives who have already been using other iphones of the company. There shall be n sex discrimination in terms of targeting the market because Apple iphone 6 would facilitate both the male and the female users. There are certain features that would help the tech savvies to proceed with their purchase. Hence, the marketing campaign is going to target them as well.  The following diagram shows the selection of demographic segmentation in the Australian market (Percy 2014).

ii. Geographic Market Segment:

Geographic market segmentation refers to the choice of the market or the target audience according to a particular market area.  So far  as the campaigning of iphone is concerned, the target segment in terms of its geographic location is going to be the cities, specifically the outlets and he departmental stores so as to catch hold of the customers in a collective  way.   It has been analyzed that cities like Melbourne, Victoria, Sydney, Perth and NSW have maximum number of customers who are interested in using iphones. A report from the previous sales of iphone 5 shows that the  highest sale has been in Melbourne and Victoria. Hence, the primary market ssegment shall be these twoo regions. On the other hand, the campaign is going to focus on the other cities as well so as to create a positive impression about the consumption of iphone 6. The market of iphone in Australia has a positive trend; however, the campaign of iphone 6 is going to stretch its market to the places where it has not been successful in the previous sales. In specific, the campaigning and promotional acts in the market will be conducted in the shopping outlets. There shall be virtual geographical locations as well through the media. Potential of social media and electronic media is going to be exploited in every possible way.  The market launch of iphone 6 is going to be driven by the community radio of south Melbourne. South Melbourne has always been a gadget friendly zone in the country. Hence the prime focus shall be strictly south Melbourne so as to increase the number of customers. The following diagram shows the plan of geographic market segment for the product launch of Apple iphone 6 in the Australian market:

Psychographic Market segmentation:

The psychographic market segmentation refers to the type that deals with the customers intention and psychological status on using a particular product.  A company while promoting a brand in the market needs to understand the exact psychological trend of the customers. Apple, in order to campaign its iphone 6 will hit the exact trend of the existing customers. As per the marketing analysis, it has been found that most of the customers in Australia are highl inclined to the use of smart phones. The phones with advanced applications and device- features are purchased on a regular basis.  Mindset to use the phones with better features will lead the market go ahead with the purchase of highly equipped phones. Hence, Apple is going to set the market segment according to the psychological run of the customers. It constitutes of the customer mindset in the usage of the smart phones.  Apple’s target segment will be those who have positive intention in purchasing good quality phones having high class camera so as to capture the moments in the daily life. The camera of iphone 6 is the strongest part of the phone and it will create positive impression upon the customers because of their love and daily habit towards the capturing of different images in the phone and updating status in the social media. In case of doing so, Apple iphone 6 would be the best device so far.

Behavioral Market Segmentation:

The behavioral market segmentation refers to the customers with a particular behavioral pattern in terms of using smart phones- specifically using iphones. The campaign will feature certain behaviors and attitudes of the customers. One of the behaviors is the use of handy camera. It has been found that most of the smart phones are sold based on the cameras so as to advance the practice of clicking selfie.  The trend of using smart phone camera and the use of applications in daily life will be the greatest tactics for Apple to set the target market. Apple iphone 6 targets the market segment that is full of youths and students who have the tendency to use a handy phone with great features  and a high quality camera so that they can  capture  the most expensive moments of their life and share those to their friends and relatives through social media. In the schools and colleges they will be facilitated with the inbuilt applications pertaining to their study and innovation in academic lifestyle.  A banker would feel the ease in using the iphone while accounting. A teacher can use it while providing the students with needful information. On the other hand, the customers who have a positive attitude to play mobile games will have the facilities to  do so without making the phone hang. Since it is Apple, no one will have to worry about the invasion of the virus in the phone while downloading the movies and songs.  The behavioral changes of people towards the use of smart phones with excellent features will be the primary segmentation of the market (Keegan and Green 2015).

Apart from the aforesaid market segmentation, Apple has analyzed its own strategic market segmentation. These are :

1. Customers to loyalty to Apple
2. Technically Oriented Customers
3. Social Acceptance Oriented Customers
4. Customers With Loyalty to iphone:

It is quite clear that Apple has got highly loyal customers over the years due to its esteemed market impression. The company has divided the loyl customer in two different segments: loyalty to the brand (considering these customers as the primary customers to the Apple) and second, the customers with affordability (from the middle class to the higher class who could afford to buy the Apple ihpnes). So far as the primary customers are concerned, Apple has huge number of loyal customers to iits brand. The brand name of Apple has been quite effective to those who do not bother to purchase the other phones. They have remained stuck to Apple for its brand image and name.  they are not only big fans of iphones, but also they are huge admirer of the other electronic gadgets produced by Apple. The marketing ccampaignn of iphone 6 is going to target those who are extremely loyal to the company so as to utilize them to spread the launch of the product in the market thus creating a huge realm of Apple’s gadget market. The gadget market of iphone is going to be highly impacted because of the roles played by those loyal customers who are going to promote the product. Here comes the strategy of spponsred consumers. Apple is going to select some loyal consumers of the company and let them carry out the campaigning strategies to their acquaintances.  Thus they will be provided certain amount of discounts in the purchase of the phone. On the other hand, the secondary consumers who are the core customers of Apple belonging to different economic classes will be targeted as the secondary segment. Apple is going to have a higher price than most of the competitors because of the loyalty of the secondary consumer groups who are highly affordable to purchase iphone.  In several cases the company is going to have a detailed understanding of the market because of the presence of its loyal customers.

Technically Oriented Customers:

There is huge abundance of the youths and the students who technologically trained and technically sound. Love for technology brings a huge portion of the customers to the realm of Apple iphone. The features of the iphones and the Apple gadgets are so lucrative and nobly designed that the customers who are inclined to a technologically sound would definitely fall for iphone 6. Most of the middle class adults belong to this particular segment. They are extremely attracted to highly technological gadgets that could be used in their daily life and ease their day to day complexities of work and they are extremely curious to use the iphones. These users of smart phones would be targeted as the core segment of the market so as to impress them with highly equipped modern technology.

Social Acceptance Oriented Customers

The segment looks for the people who strive to achieve a  certain social status. Apple has been used by many in order provide the customers the required social status they want to chase. Social acceptance of Apple iphones has generally being driven in order to establish certain fashion and social status. Most off the customers are able to pay for Apple iphone 4s however, iphone 6 is not going to be as cheap as 4S.Yet, and financial facilities would be provided to them so that the phone can reach to the greater number of customers. This is the reason Apple can enjoy premium sales in the Australian market. The marketing strategy will try to communicate with those people who are highly inclined to Apple for different reasons. Whatever the reasons may be the marketing strategy needs to be fruitful and the strategies are going to be implemented in proper need. There shall be no further marketing campaign if there is no understanding of the existing market mode. The marketing campaign would not be able to witness any sort of success if there would be lack of knowledge and understanding of the present market condition. It is imperative for the management to strategize their plans according to the needs of the market and the situation.

Message Strategy:

The message strategy helps the entire advertisement policy drive in tote customers’ mindset so as to create a segment of attraction. The segment of attraction has different strategies because it is one of the strongest ones. In terms of attracting the customers a literary creativity would be designed because of which greater number of customers would be attracted towards the product or brand on offer. The offered product or brand has different segmentation issues that would have direct impact upon the consumer behavior. Marketing messages are strong tools for enabling the brand management process.  Apple iphone 6 would bring the exact creativity into consideration so as to broaden the understanding of the value added to it.  The plethora of characteristics in the advertisement moves to the segment of understanding of the consumer mindset as there is always a positive attitude on the purchasing decision. Hence, message is going to be highly innovative and artistic.       

Message Objectives:

1. Highlighting the efficacy of using Apple iphone 6 by communicating that iphone brings the change in life
2. Provision of additional appeal that needs to attach the customers emotionally with the brand (mostly the targeted audience) through the use of high quality of camera thus “ Capture the world of yours”

Message strategy is one of the strongest weapons for any company to promote a brand in the market. A strong and lucrative message always stimulates the customers for performing the purchase. The following message has been designed for  the promotional launch of iphone 6:

“Are you looking for a change in your mundane life? Throw your phone out of the box and run in the busy street. Lose your direction in the densest forest. Peter with utter darkness. Then rely upon iphone 6 to find you out of the darkness.”

Apple iphone  6 with its  self driven GPS system and high quality night vision camera will guide every one of you to the safest of the places. The customers will enjoy the sound technology inbuilt in the mobile phone. Apple iphone 6 is not a mere mobile phone. It is a life changing device for every individual whoever uses it. 

Message Design and Execution:

Communication strategy:

Apple iphone is one of the highest selling gadgets in the world. The brand name has been an icon for all the smart phone users. However, the customers perceived the brand as a standard in terms of the quality of the products whereas the customers have considered costly in terms of its product prices. Such perception works as a hindrance to the non- customers. Hence, there is a possibility that the non- customers belonging to the lower middle class background would not be approaching to purchase the phone. Functional positioning needs to be driven to the apex of its strategies in order to give proper facility to the market so as to eradicate the perception of a certain number of customers (Moriarty et al. 2014).

In order to enhance the favorable brand image of the customers, it has to be understood that there is no chance of creating wrong foot in the basic understanding of the brand. With the help of functional positioning of iphone 6, Apple needs to counter the negative image and perception about the brand. Negative image at any point of time can jeopardize the work proceedings of the company, no matter even if the brand is of Apple’s stature. Rand image has become an important facet of the company. It has been found every time during the new mobile launch of Apple that people wait for days infront of the stores to get their hands on the new launch phones. This is what Apple has been, catching the imagination of millions across the globe with its phones. The following table shows the integrated marketing communication plan of Apple iphone 6:

The IMC campaign is going to focus on the achievement of the attitude of people towards brand as well as purchase of the brand.  It also focuses on the intention objectives.  The IMC campaign first tries to stimulate the recognition of the customers through the provision of strong and effective visual package related to the brand. Through the firm usage of electronic, print media, advertising, and POP advertising the IMC campaign is going to foster brand recognition. When the customers would look for information through information search in the evaluation stage, the campaign will help providing adequate information about the brand so as to ensure the convincement of the target market.  The objectives will be achieved through media advertisement, promotion of the brand and blog writing.  In order to advance the process, the company would visit the technical colleges so as to hold a seminar or organize short term scholarship programs for the students. One of the most important aspects of the campaigns would be the commitment to stick to the particular segment of the customers so as not to lose the hold from them. Since the purchase decision is made in the retail outlets, the basic strength of the campaign would lay in POP advertisement in the stores. With the use of displays and the merchandising in the retail outlets, the brand recognition will be triggered properly to the customers.

Outline of the Campaign Strategy:

Following is the outline of the campaign strategy:

1. Advertising through print media, television and radio
2. Promotion of sales

Personal selling

1. Event Marketing
2. Direct Marketing
3. Public relation

Digital marketing

Media Strategy:

Objectives:

1. Development of an advertisement campaign through national television in order to target 100% viewership
2. Producing localized advertisement campaigning through radio and print advertisements
3. Creation of programs through digital platforms

Media Habit:

The following chart shows media habit of the Australian targeted customers:

Media Buying Strategies:

Thematic TV channels: These are the primary medium of awareness. The aforesaid messages could be conveyed to the viewers

Interstitials: 35 seconds

Segment Buys: NA

Push Plugs: 5 seconders

TV Guesting: NA      

Targeted Channels: Sports channels, NEWS channels, Movie Channels and entertainment channels will be targeted while promoting iphone 6 during the intervals.

Media Schedule:

 

Budget Planning for the Media and Advertisement:

Conclusion:

The aforesaid strategy of marketing iphone in the Australian market needs profound understanding of the entire behavior and marketing movement in the country. These are the mere tools for marketing. However, the success of these strategies depends highly on the proper insight of the present market mode and skillful art of advertising. The advertising method will be extremely innovative. In order to attract the greater number of the customers Apple will implement guerilla marketing with the help of the graphic designers and advertisement agencies. This is the most effective process. The budget that has been created will further depend on the future consequence of the sales and marketing report. The entire strategy is subject to change in case of urgent need. The existing market ought not to be hampered. It needs to be upgraded through digital marketing and alternative marketing process. However, there is a basic dependence of the process that has to be defined through the number of target market and its qualitative analysis.  Giving way to the innovative idea, marketing should be chain free and it should process according the market demand. In terms of market demand it can be said that the market demand needs to be created so as to generate sensation in sales. Hence, the aforesaid marketing design is likely to be effective towards the market in Australia.

Reference:

Belch, G.E., Belch, M.A., Kerr, G.F. and Powell, I., 2014. Advertising: An integrated marketing communication perspective. McGraw-Hill Education.

Keegan, W.J. and Green, M.C., 2015. Global marketing. Upper Saddle River, NJ: Pearson.

Mifsud, M., Petroni, K., Farrugia, B., Grima, J., Vella, S., Fava, K., Fava, P., Fenech, S., Naudi, T., Portelli, V. and Vella, C., 2014. The effects of guerilla marketing on brand awareness (Bachelor's thesis, University of Malta).

Moriarty, S., Mitchell, N.D., Wells, W.D., Crawford, R., Brennan, L. and Spence-Stone, R., 2014. Advertising: Principles and practice. Pearson Australia.

Percy, L., 2014. Strategic integrated marketing communications. Routledge.

Ryan, D., 2016. Understanding digital marketing: marketing strategies for engaging the digital generation. Kogan Page Publishers.

Son, I., Lee, H. and Kim, J., 2015. Preannouncement effect of innovative new product on global telecom industry: focused on iPhone. Indian Journal of Science and Technology, 8(24).

Strauss, J., 2016. E-marketing. Routledge.

Venter, P., Wright, A. and Dibb, S., 2015. Performing market segmentation: a performative perspective. Journal of Marketing Management, 31(1-2), pp.62-83.