Tuesday, April 27, 2010

Services


Recently we have been talking about services and how companies can face challenges when trying to advertise or market them. Services pose a problem to marketers because they are intangible. When thinking about this I really came to wonder if this was such a big issue for companies that strictly or primarily offer services. Most services are services that people need. For example the majority of people need haircuts and simply do not know how to or do not have the right equipment to cut hair. The same applies so a service like an oil change. Although these are something that is not necessarily tangible, and because of this they may be hard to market does this really pose such a problem?


I think because these items are services that people need the emphasis is not soley on marketing or advertising. Any good business should obviously use marketing skills for various reasons. Whether this is to draw in new customers, allow customers to know of new products, or simply to compete with the next business offering similar products. However, I think the mere fact that people cannot perform these actions themselves is a strong enough force to easy the burden of having to promote a certain service.


This applies to businesses like haircut salons, mechanical shops and things of that nature. However, or course this does not take into consideration all services. For example selling tickets to a sports game. This is something that requires a good amount of effort to assure, because what they offer is a service, that their product does not perish or become a complete loss.


Do you think that performing a service well is good enough promotion within itself? What recommendations would you give to a start-up business that offers only services?

Monday, April 26, 2010

Aesthetic Modifications




Aesthetic modifications are changes to the sensory appeal of a product. This could be a change in it's taste, texture, sound, smell, or appearance. When thinking of these modifications I immediate though of Domino's Pizza. Recently Domino' s has entirely remade their pizza. They have come up with new crust types, new sauces, and new cheese types. Domino's considered many customer reviews and put together a team to remake their pizza so more people would enjoy it. A video of this and the changes they made can be seen in this video.

When thinking of these changes I knew there were obvious advantages but for me it was far easier to think of the disadvantages of these changes. For example with Domino's I always loved their pizza the way it used to be. Now since they have changed it I do not like it at all. I think it is far too greasy and loaded up with garlic. However, the overwhelming majority of people who I have talked to say they like the changes. I feel when you change something like this you are changing what people actually like about the product, you are not simply changing the way it looks and this presents a huge risk.

When thinking about changes I also considered changes to the appearance of a product. When a product changes its label often times people do not recognize it. This can lead people to look around within a certain area and may cause them to look at other items they made not have considered before. This could lead to people choosing a new product entirely. However, people could recognize a new label amongst other products they are used to seeing an immediately pick up that product in hopes to learn more about it which in turn could cause them to buy it.

Can you think of any products that have made Aesthetic modifications? Do you think these modifications are essential to saving a struggling product or too risky to attempt?

Monday, April 19, 2010

In response the Sam's Blog: Craigslist: Marketing for Dummies

Sam asked..."Do you have any personal favorite techniques for selling and item on Craigslist/Ebay? Do you think that big companies use similar or different techniques to sell their products?"

I personally have sold many items on Craigslist. I think that Craigslist has done a very good job of keeping their site simple enough for many people to use it. In doing this they have also been careful not to make the site seem too basic and unreliable. With this being the case I think this is a huge problem many big companies face. A lot of companies want their web site to be the best and easiest to use but in doing this they actually make things more complicated than they need to be. Also as they do this I think people become wary of their sites. Features that companies may think give them the upper hand over other companies many actually drive consumers away. For example web sites that offer to save credit card numbers or sites that keep you logged in for extended periods of time.

When buying items I always click the option to only show items with pictures. If an item does not have a picture I will not even give it the time of day. With this being the case when I sell items on Craigslist I always make sure to include a picture. I think this is my favorite technique to lure people in. I think visuals are a huge factor especially when it comes to selling items online. For example I was recently looking to buy a new cell phone and the phone company provided a 360 degree view of the phone as well as compared it to common items like an Ipod or a deck of cards.

I think there are many lessons to be learned from sites like Craigslist and Ebay. These sites are hugely popular amongst the "average joe" and with close investigation a lot of big companies can learn valuable lessons from them. With this being the case I think sites like Ebay and Craigslist will always prove to be a favorite method of buying and selling for people. A lot of people are in the market for the lowest price possible as quick as possible and big corporations are just unable to compete with this.

Do you only use sites like Craigslist and Ebay to purchase certain products? How can commercial companies take advantage of this to capitalize on a market that does not appeal to these sites?

In Response to Gretchen Harbourt's: Poor marketing to employees not customers by Friendly's...

Gretchen asked..." Do you think it is effective marketing to market inside the restaurant while customers and employees are already there? Do you think annoying people is an effective way to market a company?"

Although what is being played over the intercom throughout the store may be repetitive it is only repeated once an hour. I would safely say the majority of customers are rarely in a restaurant for more than an hour and a half or even an hour, and if they are then restaurant has bigger problems to worry about. I know when I am at a restaurant I am generally engaged in conversation and have little recollection leaving the restaurant of what was played over the intercom. With this being the case maybe this type of marketing is not effective in a restaurant. However, I do feel as if this is an effective way to market.

At the store I work at they used to play instrumental music which would be interrupted regularly to tell of events the store was hosting, or deals the store was having. This recently changed and the store now plays music like you would hear on a radio station while also playing information about the stores deals and events. I would agree that some ads are annoying but I would more strongly agree that they are effective. After hearing an ad several times over the intercom I almost began knowing it by heart. This intrigued me to find out more about the deals and also to find out more about the events the store was having. Although I found it repetitive I pushed me want to learn more and it also helped me to better answer questions when the ad played over the intercom and triggered customers curiosity.

I would say annoying people is not an effective way of marketing. But I would also make a strong argument that very few people are in stores long enough to be effected by the music. Odds are if they are in the store long enough to hear something twice or enough to become annoyed by it they are already in an annoying situation as is. Or they are spending so much time in the store because they thoroughly enjoy that store.

I never gave much through to in-store marketing and I think it is an interesting aspect of marketing. Have you ever found yourself buying something or returning to a store because of an advertisement you heard over the intercom? What are some stores you think this type of advertisement are most effective in?

Saturday, April 17, 2010

Trademarking Troubles

With the majority of us being business majors/minors and possibly wanting to open our own businesses one day we must be particularly aware of certain trademarks. A clever name or life-long idea could already be taken and there is little to nothing we can do about it. It would be unbelievably difficult if not impossible to create a start-up business while paying pricey court fees.

What brings me to this point is a recent article I read involving two of my idols, David Ortiz and Jay-Z. Ortiz recent opened up a nightclub named "Forty-Forty" which strongly resembles Jay-Z's 40/40 Club. Jay-Z's nightclub name is trademarked and he feels as if Ortiz's is trying to reek some of the benefits by creating a similar name to the already established club. Because of this Jay-Z is suing Ortiz for over $5 million.

Paying attention to trademarks or even trademarking your own brand is extremely important. However, trademarking can sometimes difficult to understand. For example generic brands are not protectable. In this case 40/40 refers to an achievement in baseball ( 40 homeruns, 40 stolen bases). I would consider the number 40 or even the achievement 40/40 to be pretty generic. I guess this is not the case when they become a club name.

Do you feel as if the two names are too close and there is a trademarking issue? These seems to be a lot that is unknown about trademarking, how can rules and regulations of trademarking be better cleared up to the public or start-up business owners?

Monday, April 12, 2010

Branding

Often times branding is something many consumers take for granted. There is little thought that actually goes into the significance of the equally as little symbol that is strategically placed on a product. However, the branding process can be a crucial part of establishing a product for many companies. A brand can essentially make or break a company. There are many aspects that go into creating a successful brand. This includes creating a name for that brand (brand name) as well as a symbol (brand mark). The brand name is important because if it is awkward or does not flow smoothly it likely will cause your product to not to sell. This is tough for new companies because the name of their product is not something that many consumers know and because of this the name may seem awkward. It is extremely difficult to create a brand name that automatically sounds correct to consumers. Many times these consumers need to hear a new name multiple times to become comfortable with it. The same applies with band marks. Often times people need to see these marks multiple times before they associate them with the name.

Both buyers and sellers benefit from branding. Brands help consumers recognize products they like. For me personally I know I tend to favor certain brands over others. The first and most dominant branding that comes to mind for me involves clothing. When I shop for cloths I am always aware of what brand they are and this makes up probably 90% of my decision as to if I buy the article of clothing or not. I think this is the case for many people. Some people are willing to spend $10 or $20 more when essentially all they are buying is the brand. I think this highlights how important a brand is to a company and the overall importance of a brand in general.

Do brands matter to you, if so can you think of the areas where brands weigh heavily on your decisions? Can you think of any brands you have avoided because you didn't know how to pronounce or were unfamiliar with?

Tuesday, April 6, 2010

In response to Rob Bellavance's: Brand Loyalty


Rob asked, how much would it take before you switched brands? Are you loyal to one product only?


I would like to tell myself that I am not loyal to one product only but in all reality I do tend to favor certain brands over others. For example when reading Rob's post he mentioned Toyota and Hyundi it brought to mind my preference in cars. Right now I drive a Volkswagen and although it is not the nicest car I have come to really like Volkwagens. I have considered getting a new car but when I look I really only look at other Volkswagens and do not have an interest in buying another make. Although I would like to consider myself a little more open minded than this I do find that I have a strong preference for Volkswagens. I also find myself favoring brands other places as well. Recently I have been looking to buy a new rain coat and I have only looked at coats made by The North Face. I am absolutely positive there are other rain coats out there but I am sold on the fact that I want a North Face rain coat. With this being the case I would say that I absolutely find a product or brand that I like and it is pretty hard to change my opinion from there. Nearly every pair of shoes I have owned in the last 5 years have been Nikes.


However, although I do like to stick to these brands there are certain limitations I do keep in mind. Like many of my peers I am a broke college student and price is a huge factor on my buying capabilities and decisions. Although I would like to buy a new Volkswagen car I need to keep price in mind and they do tend to be pricey. With this being the case if it came down to it and I really needed a new car I would have to settle on the best deal for the money regardless of make or model. This is also the case with the coat I planned to purchase. I have not purchased a coat yet because all the North Face coats I looked at were more money than I wanted to spend. With this being the case it is likely I will find something in the meantime to hold me over and it is likely I will forget about the North Face all together. All and all price is really the only thing that limits me from purchasing brands I am loyal to. If I had excess money to just buy whatever I wanted there is no reason why I wouldn't buy the expensive Volkswagen or the expensive new coat, assuming the quality of the product did not change.


Price is my main concern and what ultimately makes me choose one brand over another. In an ideal world I would always buy the brands I preferred. What factors influence you? Or what in the past has made you choose one brand over another? Or what has caused you to become loyal to a brand or product?