Page 472 - Foundations of Marketing
P. 472

Integrated Marketing Communications  |  Chapter 15  439




                               Emerging Trends



                                       Procter & Gamble Generates Renewed Interest in Tide through Viral Marketing

                                       How does a mature brand remain relevant today? Procter   by implementing video clichés such as talking animals
                          & Gamble’s Tide laundry detergent used a combination of   and celebrity cameos. Yet rather than defending itself,
                          satire and social media to go viral. Viral marketing is one   Tide capitalized on the free press by responding with a
                          of the most effective forms of marketing. Viral marketing   video similar to what was described and placing the video
                          is a strategy to get consumers to share a marketer’s mes-  on YouTube. The video attracted over     20,000     views and
                          sage, often through e-mail or online video, in a way that   earned the company a following through a powerful
                          spreads dramatically and quickly. Viral promotions can   media outlet.
                          enable brands to gain traction through a simple click and       These types of digital marketing campaigns are par-
                          track the output in a cost effective way.         ticularly important as P&G has declined in retailer ratings
                                 It all started when Tide wanted to respond to an article   over the past few years. Yet as P&G’s success with digital
                          written about the company.  The Onion , a satirical newspa-  media has shown, using innovative marketing campaigns
                          per, mocked Tide’s attempt to stay relevant to consumers   can generate an interest in even the most mature brands.
                                                                                                                        a


                                                                                                                 © iStockphoto.com/CRTd


                       customers and stakeholders, a company employs public relations. Public relations is a broad
                       set of communication efforts used to create and maintain favorable relationships between an
                       organization and its stakeholders. Maintaining a positive relationship with one or more stake-
                       holders can affect a firm’s current sales and profits, as well as its long-term survival.
                              Public relations uses a variety of tools, including annual reports, brochures, event sponsor-
                       ship, and sponsorship of socially responsible programs aimed at protecting the environment
                       or helping disadvantaged individuals. The goal of public relations is to create and enhance a
                       positive image of the organization. Increasingly, marketers are going directly to consumers
                       with their public relations efforts to bypass the traditional media intermediary (newspapers,
                       magazines, and television). Companies like Best Buy have been creating content on YouTube
                       with the goal of bringing viewers into the “geek world” as well as providing tutorial videos on
                                            17
                       electronics-related issues.
                            Other tools arise from the use of publicity, which is a component of public relations.
                       Publicity is nonpersonal communication in news-story form about an organization or its prod-
                       ucts, or both, transmitted through a mass medium at no charge. A few examples of publicity-
                       based public relations tools are news releases, press conferences, feature articles, and even
                       social media sites such as YouTube and Twitter. To generate publicity, companies sometimes
                       give away products to celebrities in the hope that the celebrities will be seen and photographed
                       with the product, and those photos will stimulate awareness and product trial among their
                       fans. At the start of the Academy Awards, stars receive gift bags with free products valued in
                       the thousands of dollars. Ordinarily, public relations efforts are planned and implemented to
                       be consistent with and support other elements of the promotion mix. Public relations efforts
                       may be the responsibility of an individual or of a department within the organization, or the
                       organization may hire an independent public relations agency.
                              Unpleasant situations and negative events, such as product tampering or an environmental
                       disaster, may generate unfavorable public relations for an organization. For instance, Beef
                       Products Inc. (BPI), which used a pink meaty pulp to increase the leanness of ground beef,
                       nearly went bankrupt after a blogger called its product “pink slime.” After major news chan-
                       nels got wind of the story, customers began leaving BPI in droves, causing the firm to shutter
                                        18
                       many of its factories.                                                                       To minimize the damaging effects of unfavorable coverage, effective
                       marketers have policies and procedures in place to help manage public relations problems.





                         Copyright 2014 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part. Due to electronic rights, some third party content may be suppressed from the eBook and/or eChapter(s).
                       Editorial review has deemed that any suppressed content does not materially affect the overall learning experience. Cengage Learning reserves the right to remove additional content at any time if subsequent rights restrictions require it.
   467   468   469   470   471   472   473   474   475   476   477