Taking a Journey With Coca-Cola

Coke Revamps Web Site to Tell Its Story

By STUART ELLIOTT

Published: November 11, 2012

In recent news, Stuart Elliot reported in the New York Times that Coca-cola has invested in a "multimillion dollar effort over multiyears." Surprisingly, this big move is not a new product launch, rather it is a makeover to their website.

"The Web site draws about 1.2 million unique visitors a month, executives said, a figure they hope will grow substantially with the more consumer-focused philosophy. When the site went live in 1995, it represented the first Internet venture for the Coca-Cola Company. A website devoted to the Coca-Cola brand followed, with an extensive presence for the company and its brands in social medialike Facebook, LinkedIn, Twitter and YouTube."

The company claims that is this their most ambitious digital project ever. The larger than life plans call for a online magazine titled Coca-Cola Journey, named after a magazine called Journey that was written by employees from 1987 to 1997. 

While on the "Journey" customers can read up on articles regarding entertainment, health and sports, or even the environment.  They may also follow interviews, video clips, photos, and blogs about the beloved brand of Coca-cola. Lastly, Coca-Cola has stated there will also be job postings and biographies about executives. 

The goal of the new site is to market in the nonconventional way, but recently popular style of storytelling. Within this approach, Coca-cola wants the the storytelling to be subjective through opinion columns. The executives believe that they will make mistakes along the way, like any company does, and they want their customers to tell them. 

To get the word out about the revamped site Coca-Cola has decided to utilize search engine marketing on google, as well as, ads on linkedIN. The hope is to spread the word about the refreshed site to their loyal customers, partners, and fans worldwide.

I like this idea for Coca-Cola, but I am curious how it will play out. Undoubtedly, Coca-Cola is one of the biggest brand names in the world and their website intersects a lot of traffic. With that being said, this is a huge change that brings a lot new dimensions. The refreshed page worries me because of Coca-Cola's tradition. 

The Coca-Cola company has succeed on the value of tradition. With such drastic variations, I am concerned that their consumers will not respond positively. This could be incredibly detrimental because of the amount of time and money invested into this project.

However, ultimately, I believe this inside scoop of the company makes them seem relatable and approachable. Somehow, a company that is larger than life is allowing consumers to become apart of their story with tools such as the opinion blogs. In my opinion that alone will have a sufficient impact on how Coca-Cola pushes forward in their "journey."

Topics: Brand, Search Engine Marketing, Digital Technology

http://www.nytimes.com/2012/11/12/business/media/coke-revamps-web-site-to-tell-its-story.html?ref=advertisingandmarketing

Starbucks and Square Wallet

Starbucks Now Accepting Payments With Square Wallet

11/08/2012 @ 10:44AM

Kelly Clay

    In the article written by Kelly Clay for Forbes.com, the readers learn that starting in November, Coffee powerhouse Starbucks has began to accept Square Wallet in around 7000 stores across the UK and Canada. After a three-month wait following the announcement of the technological advance, Starbucks nationwide are ready to use the mobile application.

    With either an Andriod or IOS powered cellphone, customers can download the mobile app known as Square Wallet. The "wallet" is connected to a debit or credit card, and thus never has to be reloaded. 

    After ordering their Mocca Lattes, customers simply tap the "pay here" with their screen and enter their QR code, and then they are off on their way without any time wasted on cash registers and search for pocket change.

    The company is extremely excited about this move. Cheif Digital officer Adam Brotman stated:
       
      “We look forward to continuing to create amazing connections with our customers –  both in our stores and outside of our stores and offering our customers choices in how they want to pay. Starbucks was the first national retailer to offer its own mobile payment technology combined with a world-class loyalty program in January 2011, and we have seen a tremendous response from our customers with more than 100 million mobile transactions occurring in our U.S. stores since its launch."

   The partnership with Square provides Starbucks customers with a convenient, quick, and refreshing experience that they cannot find at other places. This competitive advantage will continue to grow with the increasingly positive technological advances such as Square's ability to tip waitresses in 2013.


     In my opinion, the future is bright for these cellphone wallets. Personally for me I know how easy it is to forget my credit card or cash when I am rushing out. However, one thing I never forget is my phone. Having the ability to put everything into one device makes everything so much easier.  
   
     In this day and age, cellphones are used for so much more than phone calls. With email, credit cards, and internet, why not incorporate our money. By connecting all of these tools, Starbucks is satisfying the consumers and their goal to be time-efficent. I think more companies will begin to utilize Square Wallets or something of a similiar purpose, but until then Starbucks will separate themselves from their competition. 

Topics: Partnership, Competitive Advantage

Forbes Original Article

     

BurBERRY, the Big APPLE, and more

Burberry to Stick to Big Cities
Updated November 7, 2012, 1:01 p.m. ET
By PAUL SONNE and KATHY GORDON

      According to the article written by Paul Soone and Kathy Gordon, Burberry Group PLC has decided to refocus the aim of the companies global presence. In doing so, they have decided to withdraw from second-tier cities, and revitalize twenty-five major cities worldwide.

     With the importance on major fashion cities worldwide, Burberry hopes to take advantage of locational demographics through a market developmental strategy.

     Sonne and Gordon stated: "The British trench-coat maker has been opening stand-alone stores for its sub-brands—Burberry Brit and Burberry London—in big urban areas such as New York and London, and has pumped money into glitzy flagship emporiums in big world cities that attract tourists and locals alike."

    In another ploy to grab hold of profits during tough economic times Burberry Group PLC is also seeking to push further into the cosmetic industry, in particular perfumes. A part of this plan entails the destruction of the licensing agreement between the company and Interparfums SA. In doing so, the company will be able to operate directly in cosmetics and perfume starting April 1st. This business venture will cost the company $232 Million alone.

   Despite the pricey decision, Sonne and Gordon exclaimed that: "It fits with Ms. Ahrendts's long-standing strategy of taking more direct control of the Burberry business to control the brand's messaging and operations. "


    Truthfully, I think this series of decisions will be incredibly vital to the future success of the company. In particular, I believe that focusing in on major cities allows the company to find the right demographics and much more appropriate market environment. Cities like New York are the Mecca of the fashion world. They are were the trends begin and where the trends end. If you can find success there, you are almost promising yourself positive results.
    Secondly, I consider the decision to break the licensing agreement. between the company and Interparfums SA, a step in the right direction. Obviously, the immediate effects do not show progress or positivity, however in the long term the company will have more power. This power will allow them to grow as they see fitting. With the help of the proper marketing team and products, this action can bring substantial growth to the companies cosmetic and perfume revenues.



Topics: Market Development, Place
WSJ ARTICLE

Wrecking the Box Office

'Wreck-It Ralph' Smashes Way to Top of Box Office

By ERICA ORDEN

Updated November 4, 2012, 2:59 p.m. ET

      In the article written in the Wall Street Journal, Erica Orden discusses the success of Wreck-It Ralph in its debut weekend. The Walt Disney Co. earned 49.1 million this past weekend, topping Denzel Washington and Flight, as well as, Ben Affleck's Argo. 


      The movie which tells a tale about a video game villain turned superhero attracts more than just the typical Walt Disney target. This movie opened as the biggest Disney Animation movie to date because of its appeal to a widespread of demographics. The combination of the retro feel and the resonance of historic disney characters allows adults to be intrigued by the youthful story.


      According to Erica Orden: "'Wreck-It Ralph,' which features the voices of John C. Reilly, Sarah Silverman, Jack McBrayer and Jane Lynch, attracted an audience in which 25% of the people were under the age of 25 and 68% attended with their families."

    Without any emerging competition in the near future, Wreck-It Ralph will steadily continue to garner the attention of families. In turn, leading Walt Disney Co. into an positive beginning to the holiday season.



      In the past few months I have seen several previews to Wreck-It Ralph. Every time I found myself surrounded by different demographics. I see know that Disney wanted it that way. Although, Wreck-It Ralph on paper is a PG film, it can be enjoyed by people of all ages. The simple, sweet, and uplifting tale of a bad boy gone good is one that everyone is fond of. The cartoons attract the children, while the arcade setting sends adults into a flashback of the hundreds of quarters they spent on Saturday afternoons as a kid playing Pac-Man. 

      This move like so many by Disney shows the strengths of the company. Their uncanning ability to interest so many diverse groups allows them to achieve more success than most Fortune 500 companies. Personally, I am not a big fan of cartoon movies, but somehow I can never deny a good Disney flick. Maybe it is the brand, maybe it is the product, whatever it is, Disney has me and millions more hooked.



Wall Street Journal Article
Topics: Demographics,  Competition

NEWspaper is OLD news

U.S. Newspaper Circulation Slips Further

By TESS STYNES

Updated October 30, 2012, 1:44 p.m. ET

      This article, written by Tess Stynes and found in the Wall Street Journal discusses the current state of newspaper circulation. The downward decline in recent years is most commonly seen as a result of the digital technology advantages for newspapers. However the Audit Bureau of Circulation also acknowledges that the troubled newspaper industry is also suffering from weak advertisements. 

      "Average weekday circulation for 613 U.S. dailies decreased 0.2%, based on a cumulative average for the period ended Sept. 30 from a year earlier."

      With the print business down and digital competition rising papers such as Wall Street Journal and USA today are scavenging for ideas to improve business through advertisements.

     The most recent report of the industry declares the new rules that will enforce a task group of newspaper publishers and advertisers. This group will address problems facing circulation and its relation to digital versions of papers. The most notable factor of the new rules shows how many copies are purchased by individuals.

    "During the latest period, digital editions accounted for 15.3% of overall U.S. circulation, up from 9.8% in the year-earlier period."

    Conclusively, the digital world has undoubtedly taken control of the newspaper industry and all of the advertisement opportunities that come along with it. The only thing to evaluate now is whether print can stay afloat while technology continues to prosper.

    Although this article is not typically what I am interested in, I found the facts and statistics eye-opening. Many times I find myself reading about the newest commercial or the most advanced brand of products available. I often find the good in these products and their abilities to adapt to the change in consumer preferences. However, never have I considered the effects of the latest technologies on old-fashioned products such as the newspaper in print. Then I considered my interactions with the news... 

     When I need to find something out or I am curious about a current event, I look to the Internet or television. With this knowledge, it only makes sense to understand that marketers are not going to utilize print papers as the best form of outlet for their advertisements. The less the circulation, the less the advertisements, and the less the profits. 

    Truthfully, I do not foresee any options for print papers to take to improve their state in the industry. I think their only hope is to focus on the traditional paper readers, and even that might not be enough to stop technology from gaining full control.


Topics: Advertising, Strategy

Wall Street Journal Article

Disney's "Fairy" Tales

 Disney's Little Winged Creatures Take a Cue From Its Princesses

By CHRISTOPHER JOHN FARLEY

October 21, 2012, 9:26 p.m. ET

      According to the article, "Disney's Little Winged Creatures Take a Cue From Its Princesses," Christopher John Farley discusses the release of the Walt Disney Company's newest animated "fairy" tale. As a part of their business plan, Disney is looking to generate exposure to one of their strategic business units called Disney Fairies Franchise. Differing from their past princess characters in the Disney Fairies Franchise, little girls are exposed to a variety of diverse woman. By drawing attention to differences in size, ethnicity, and appearance counters the numerous attacks that Disney has faced over the years because of their constant barbie doll like characters.

   To be suit the potential of this film, Disney has made the decision to distribute the movie by going straight to DVD and Blu-ray in the United States, and then in theaters outside of the U.S.  
   
    According to Farley, the Walt Disney Co. has spread the Disney Fairies Franchise across the global marketing making the decision to distribute the film in foreign countries a strategic one that utilizes the product adaption strategy. Farley stated: "To date, more than 1,400 Disney Fairies and Tinker Bell books have been published in 57 countries and 33 languages, according to Disney, and over 1.6 million copies of Disney Fairies magazines have been sold."  

  

As this style of distribution follows the typical plan for the fairy movies, this movie brings about a new edge that has not been utilized by the Disney Fairies Franchise yet. This is the first release in 3-D for the Disney Fairies. Additionally, the featured characters of this film, including the new one Periwinkle, have already been incorporated to the Disney Theme Parks connecting several SBUs to one product. 

    Conclusively, If done correctly, the repositioning of Disney Fairies and the new and images they are portraying can really benefit their already pronounced dominance on the global market.

      I think that this move is just another example of the geniuses that work at Disney. Like so many of their decisions it shows their ability to separate themselves from any competitors by simply building off of products/ideas they already have. This article really focuses on some key elements of marketing that I think are important to the success of Walt Disney Co. 

     First, it addresses one of their SBU units in the Disney Fairies Franchise. Secondly, it centers in on the ideas of attention, perception, and exposure. These three tools for Disney are crucial to their constant global dominance.  For starters, they garner the attention of young girls by constantly providing them with new material, interactive websites, videos, and toys. Then, they expose their products in so many difficult styles between the distribution techniques, the toys, and most importantly, the theme parks. And lastly, in this situation they fight the critics who perceive them as harmful to young ladies because of the images they convey.

     By allowing the fairies to make mistakes and have flaws they are humanizing them which in turn, makes them more appealing. In my opinion, changing the perception of body image to young girls is vital to the future of Disney's success in princess animation. By appealing to the consumer preferences and adapting to social and technological changes, Disney continues to stretch the gap between themselves and their competition.  


WSJ Article


Topics: SBUs, Attention, Exposure, Perception, Distribution, Product Adaption Strategy

Crowd, Consumers, and Creations

Are Millennials Crowdsourcing Themselves Out Of Jobs?

Larissa Faw

10/22/12 2:26 P.M.

       In this article written by Larissa Faw for Forbes.com the readers learn about the concept of crowdsourcing which with the advent of internet and advanced technologies has become increasingly popular. Crowdsourcing, by definition, means the practice of obtaining needed services, ideas, or content by soliciting contributions from a large group of people and especially from the online community rather than from traditional employees or suppliers. Historically, this technique was used by start up companies and small businesses who could not afford the same luxuries as members of the Fortune 500. 

However, as recently, companies such as Campbell's, Coca-Cola, and McDonald's have utilized this style of marketing in hopes of reducing costs and engaging consumes.


      While the companies such as Lay's have received eight million hits on their create a new flavored potato chip campaign because of crowdsourcing, the negative effects cannot be dismissed. And although, as of right now there is not enough information to make the straight correlation between crowdsourcing and jobs lost, it is obvious to see the implications that such techniques will have on advertising, data research, and design fields. 


      In the article Faw states: 

        "Yet, it’s hard to ignore the fact that crowdsourcing may have the unintended consequence of eliminating   professional positions that are typically filled by entry-level, Millennial-aged workers. Or to borrow a popular cliché: why buy the cow (graphic designer) when you can get the milk (logo) for free?"

     Undoubtedly, the contests are appealing, the rewards are intriguing, and the experience would be incredible, however, where is the line drawn and the job returned to the rightful owners? As of right now, the user generated content does not hold enough power to turn over the market.

      "Professional ad agencies and middlemen still serve a purpose, particularly as gatekeepers. “You will see   companies do crowdsourcing to test an idea, then turn to an agency for refinement.” 

     With all that being said, the unwarranted consequences of consumer creativity is not yet alarming, but it is something to think about. Full-time consumers as part-time "employees" is something to look out for as we watch crowdsourcing make full-time employees become full-time unemployees. 

      In my opinion, I really enjoyed this article. More recently, I heard of the several crowdsourcing opportunities in companies whose products I use regularly. Personally, I have never participated in an event, but I think the concept is a bright one for companies with both large and small markets. With that being said,  I have never thought of the possible negative effects that such a technique could have on jobs.  It is scary to think that the positive production of ideas by millions could have such detrimental repercussions on society. 

     Evidently, this topic has three sides. If you view it from the side of the business it is brilliant. They are receiving millions of ideas without spending a dime on salary expenses. They are engaging their consumers and giving the people what they asked for. All of these are keys to the success of marketing and seem to only benefit the business and its products.  In the scope of  the consumer this is a fantastic opportunity to create something spectacular. You can win rewards and reap the benefits of generating a multi-million dollar product concept. The experience from such a event is so valuable and beneficial to any resume. Lastly, as an employee it is offensive. First off, I would think is my work not good enough? And then, I would start questioning my position in the company.  

      Depending on the angle, I can agree and disagree with the idea of crowdsourcing. But as a business student, I see the positive much more than the negative. I am enthralled by the concept of using the consumers as workers per say. As I see it, if the products are for them, they should have the most say so that they will be satisfied and buy the product. If they are satisfied and purchasing, then I will be satisfied and gaining the profits. Ultimately, suit their preferences, appeal to their tastes, and satisfy their needs because that is what marketing is all about. 


Online Article

Topics: Gatekeepers, Crowdsourcing