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Week 2, class 1 — Jan. 29, 2012

Stacy Forster

on 18 February 2013

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Transcript of Trends

Thirty-three million people lived alone in 2011
That's equal to 28 percent of all households, up from 17 percent in 1970 Married couples now represent less than
half of all households, down from
75 percent in 1970 and 60 percent in 1980 There are 52 million Hispanics living in the U.S., or 16.7 percent of the nation's population, making them the nation’s largest ethnic or race minority

About 1.3 million Hispanics were added to the nation’s population between July 1, 2010, and July 1, 2011 There are 42 million African Americans in the U.S, making up 13.6 percent of the total population. Asians number 17.3 million in the U.S., representing 5.6 percent of the total population. Trends in strategic communication Coordinate various strategic communications approaches:
advertising, public relations, promotions, direct response

There's a mutual reinforcement of core themes to create synergy and memorability Integrated
communications Challenges Era of choice Coca-Cola Company Brooke Ashley Photography Three forces are driving
the trend of increasing choices: Demographics and lifestyle Technological development Economic climate Brooke Ashley Photography ABC CBS Photo by: Autumn de Wilde/NBC, copyright 2012 NBCUniversal Media Photo by: NBC, copyright 2012 NBCUniversal Media The job of strategic communicators
has become much, much harder. It's harder to reach large segments of the population with a single medium, single channel within a medium or a single message
Spend time thinking about where your market is and how to best reach it
One message doesn’t work—you'll need multiple messages tailored to those people Wal-Mart/Flickr Wal-Mart/Flickr Wal-Mart/Flickr Changes in demographics Changes in household composition More women in the work force Growth of ethnic populations Polarization of rich and poor African Americans/Hispanics/Asians
as a percentage of total population
1980 – 16% 2000 – 26% 2010 – 36% 57% of total Hispanic population is concentrated in 10 metro areas
Reaching a majority in some states and urban centers
Will be approaching majority in U.S. by 2042 Wealth among a few is increasing
Households earning more than $50,000 have risen fast
However, a sizable minority remain poor
Households earning less than $15,000 have not risen much Income Polarization Americans lead busier lives Where is your market?
Fragmentation of the market
poses challenges Second driving force of change
Brings more choices into media world
Control over viewing patterns
More programming options
Multimedia and Internet Technology The marketing challenge Able to construct a media
diet that's unique to your
interests and needs Photo by: NBC, copyright 2012 NBCUniversal Media National Cable & Television Association Tanjilla/Flickr New TV environment Viewers and listeners control
what, when and where they
watch and listen Internet Jeff Miller/
University Communications This takes fragmentation to a new level
Anyone can be a media producer - blogs, Facebook
Email, search, shop, chat, plan, invest…
Great potential for customizing, personalizing, tracking and building buzz
This demands high level of technological and strategic competency Use customization to
your advantage Bing.com Media mergers and consolidation More vertically and horizontally integrated companies
Examples: AOL/Time Warner, GE/NBC
Leading 20 websites and cable channels owned by Disney, Fox, Gannett, Hearst, Microsoft, Cox, Dow Jones, Washington Post and New York Times
Consumers are bombarded with ads, product placements, soundtracks, video games and special offers that cross promote branded goods Big media The "New Media Monopoly" shows that only
five huge corporations --
Time Warner, Disney, News Corporation, Bertelsmann and Viacom
now control most of the media industry in the U.S.

General Electric, which owns NBC, is a close sixth The era of choice creates challenges for traditional mass marketers -- messages have diminished effectivenes And so… Hard to find consumers
Hard to get noticed
Hard to hold attention
Hard to encourage consumer response Doctor’s offices
Airport lounges
Gas stations
Grocery stores
Health clubs
Bathroom walls
Toilet paper
Bus/car wraps
Egg shells Ads surround consumers Everywhere SeamBI Traditional marketing strategies decrease in effectiveness as consumers’ product and media options increase in the coming decade and beyond

This class is about how we respond to these challenges moving forward Prognosis What does this mean for
your campaign project? Things to consider: Clutter Choice Ability to skip ads Action messages Changing demographics Changing households How to reach women Opportunity Here's how to use it Strategic communicators need to become less reliant on traditional marketing tactics and pursue more aggressively a new generation of tools
Traditional marketing is not going away, but it must be complemented by emerging strategic communication techniques Responses to the challenge Define multiple audiences

They are defined by usage, lifestyle, behavior

Speak to targets based on their individual needs and wants Segmentation Strategies to deal with market complexity through messaging

Build visibility, trust and loyalty through the creation and reinforcement of a clear identity

Differentiates your brand from competitors brands Positioning and branding Develop a long-term interactive communication process between a defined segment and the brand

Use a full array of communication messages and channels to build ties Relationship marketing Technology allows narrowcasting and micro-marketing to individuals

Grounded in synthesis of purchasing and media consumption behaviors

Use all the opportunities of the Internet Database marketing Integrated marketing communications Segmentation Positioning and branding Relationship marketing Database marketing
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