Study Notes on Social Media Marketing

CHAPTER 11: Social Media Marketing

• The chapter begins with an example from advertising history:

  • Coca-Cola's 1971 campaign "I'd Like to Buy the World a Coke".

  • This campaign, spearheaded by McCann-Erickson, featured a multicultural group singing in harmony, resonating especially with Baby Boomers against the backdrop of Cold War tensions.

  • The campaign was both successful and influential, eventually winning awards and evolving into modern digital experiences (e.g., Google’s mobile vending machines in 2012).

• Social Media Marketing Overview:

  • The integration of social media tools into marketing strategies has enabled innovative ways to engage consumers and foster emotional connections with brands, exemplified by Coca-Cola's campaigns.

  • Social media has shifted traditional marketing’s boundaries, impacting product development, branding, and customer service.

  • Understanding marketing frameworks within social media is crucial for consumers and citizens in a culture overloaded with marketing messages.

• Marketing in Various Organizations:

  • Not only corporations but also nonprofits, universities, churches, and museums utilize marketing strategies to reach diverse audiences.

  • Example of the “Ice Bucket Challenge” in 2014, which raised awareness for ALS through viral social media engagement.

  • Political marketing is also highlighted, with Obama’s 2008 campaign using platforms like Twitter and Facebook to engage younger voters.

• Complexities of Social Media Marketing:

  • The chapter emphasizes that social media marketing is not straightforward; differing audience engagement principles leads to various outcomes.

Key Concepts in Social Media Marketing

• Information or Persuasion:

  • Advertising can be viewed as both informative and persuasive, often confusing the two roles.

  • Some scholars define advertising primarily as persuasive communication (Kotler & Levy, 1969; Schudson, 2013).

  • In traditional models, the flow of information is clear (advertiser → consumer), but in social media, this flow becomes circular and blurred in roles (both company and consumer as senders and receivers).

  • Example: Delta Airlines uses Twitter monitoring to engage with customer service issues directly, breaking down traditional power dynamics in marketing.

• Push vs. Pull Marketing:

  • Push Marketing: The company pushes a message to the consumer (e.g., an advertisement).

  • Pull Marketing: Consumers seek out information (e.g., searching for product reviews online).

  • Companies aim to encourage 'pull' behavior by enhancing visibility on search engines.

Paid, Earned, and Owned Media

• Definitions:

  • Paid Media: Advertising that involves purchasing space on platforms (e.g., Google Ads).

  • Owned Media: Channels owned by the company like websites and social media profiles.

  • Earned Media: Coverage gained through word-of-mouth or consumer-generated content (e.g., customer reviews on blogs).

  • Research shows that while traditional earned media has immediate impacts, social media mentions have a more lasting effect over time due to their frequency and visibility.

• Special Targeted Advertising:

  • Social media allows for finely targeted advertising, reaching specific demographics more efficiently (e.g., gender and age-specific platforms like Pinterest and LinkedIn).

Understanding the Purchase Funnel and Decision Journey

• Purchase Funnel:

  • Stages consumers follow from awareness of a product to intent to purchase.

  • Each stage relies on influences from various sources such as social media, word-of-mouth from peers, or online reviews.

  • Example: Steps may include awareness, opinion, consideration, preference, and purchase action, all reinforced by social media interactions.

• Decision Journey:

  • An alternative model to the purchase funnel where buying behavior may not be rational or linear.

  • Attributes the influence of immediate feedback and online discussion during the decision-making process.

  • Social media plays reminder roles and enhances customer loyalty.

Advertising Messages and Channels

• Search Advertising:

  • The significance of search engine optimization is explored; consumers utilize more specific search terms when they are closer to purchasing.

• Word of Mouth:

  • Definition: Personal recommendations or recounting product experiences among individuals.

  • Online word of mouth is influential, more trusted than traditional ads, and affects company performance metrics like sales and brand equity.

Characteristics of Word of Mouth

• Valence: Indicates positive or negative sentiment in reviews; negative reviews tend to hold more weight on consumer decision-making.

  • Length and content quality affect consumer behavior; typically, negative reviews overshadow the positive ones.

• Volume: Refers to the total number of reviews; more reviews lend credibility and encourage consumers' decisions.

• Variance: The consistency of reviews impacts consumer decisions; discrepancies among reviews can lead to hesitancy in purchase decisions.

Word of Mouth Marketing

• Companies engage in word-of-mouth marketing by cultivating brand advocates and seeking generated content from consumers. Examples include Proctor & Gamble's Vocalpoint campaign.

• Challenges of Authenticity: There is tension in the authenticity of word-of-mouth marketing efforts.

Crisis Management and Firestorms

• The emergence of online firestorms can occur when brands receive significant negative attention via social media, often due to poorly executed campaigns. Examples include McDonald’s #McDStories campaign.

• Understanding the characteristics and triggers of firestorms helps brands respond effectively to reputation threats in real time.

Social Media Campaigns and Offline Promotions

• Examples are given where social media engagements extend into offline promotional activities, bridging digital interactions with real-world experiences (e.g., flashmobs).

Social Media Marketing and the Value Chain

• Analyzes the intersection of marketing and broader organizational functions such as market research, design, production, distribution, sales, and customer service.

• Market Research: Utilizes social media listening for insights into consumer preferences and product reception.

• Design and Production: Involves consumer participation in the development process through platforms that gather user feedback.

• Sales and Service: Word-of-mouth through social media often propels product sales, capable of leveraging existing customer networks for outreach and support.

Summary and Conclusion

• Emphasizes that social media marketing has transformed traditional marketing practices, shifting the dynamics of consumer interaction and brand engagement significantly.

• Revisits key themes including purchase journey frameworks and the role companies play in facilitating effective marketing through social media while highlighting emerging trends and potential future developments.

Discussion Questions and Exercises

1. Reflect on whether advertising functions more as a source of information or persuasion in your experiences.

2. Contemplate your own reviews and how social media influenced your purchasing decisions, in both positive and negative ways.

3. Create an outline for a strategic social media campaign aimed at launching a new product, factoring in consumer engagement and offline components.