1 / 16

Intelligent Marketing

Intelligent Marketing. Dr Tim King 22 nd November 2006. My CV. Cambridge Computer Lab 1973-1981 Wrote a relational database for Ph.D. Lecturer, University of Bath 1981-1983 R&D Director 1984-1986 Wrote AmigaDOS Founded Perihelion 1986 Distributed OS, embedded systems, database systems

shaylee-kinsella
Download Presentation

Intelligent Marketing

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. Intelligent Marketing Dr Tim King 22nd November 2006

  2. My CV • Cambridge Computer Lab 1973-1981 • Wrote a relational database for Ph.D. • Lecturer, University of Bath 1981-1983 • R&D Director 1984-1986 • Wrote AmigaDOS • Founded Perihelion 1986 • Distributed OS, embedded systems, database systems • Founded UK Online 1994 • First UK ISP with content • Sold to EasyNet 1996 • Independent consultant • Technical Due Diligence for VCs • Advice for Sainsbury’s, Sony, Home Office etc • Strategy for small companies and following M&As

  3. Intelligent Marketing Using computers to make intelligent use of easily available data • Market drivers • Supply and demand • One size does not fit all • Cost curves • Price sustainability • Marketing techniques • Lock-in and Lock-out • Brands • Up sell • Personalisation • Customer support

  4. Price p Quantity Basic Economics Supply Curve S(p) Demand Curve D(p) p* People pay more for something rare Mass production reduces cost

  5. Market fit • Different versions for different market subsections • Many examples • Travel • First class vs coach • Cars • Audi vs Skoda • Software • “lite” versions with hardware • Psychology • Brand awareness Price p Quantity

  6. Price p Price p Cost Curves Cost p Cost p Quantity Quantity “Microsoft” “General Motors”

  7. Price sustainability Price of iPod 60G Time Period: 20 Dec 2004 to 31 Oct 2005 Red = Highest , Blue = Average, Green=Lowest

  8. Lock-in • Buying something commits you to buying more • Services • Consumables • Complimentary products • Examples: • Operating systems • Ink-jet printers • Mobile phone subsidy • Car services • Frequent flyer

  9. Lock-out • Incumbent tries to maximise switching cost • Loyalty programs • Technology control • Nintendo game cartridges • Sony Playstation DVD formats • Crypto and tamper resistance • Community – its where your friends are • BB, chat for registered users • Hassle • eg email address change

  10. Brand awareness • Single most important piece of data • People buy from a known name • Sense of trust • Marks and Spencer • Perceived value • Cheap reliable airline => Cheap reliable mobile • Peer pressure • Nike, Rolex, Dolce and Gabanna, Ferrari • Brands can expand • Virgin • Active, Atlantic, Books, Brides, Broadband, Cosmetics, Credit card, Drinks, Galactic(!), Games, Holidays, Limobike, Megastore, Mobile, Trains, Wines • Apple • From computers to iPods

  11. Expand the Brand (1) • YouTube • TV adverts • Recycle TV adverts • People send copies of your advert to each other • Risqué adverts not acceptable on TV • TV shows • Trail shows • Repeat the best bits • Music • Shareable • Do-it-yourself MTV

  12. Expand the Brand (2) • Google • Buy your brand name • Coke • Careers • Corporate Responsibility • The Coca-Cola company • Press Centre • Buy your supplier’s brand name • Nike • JDSports • Buy your competitors’ brand name • Ford • Adverts for Seat dealer • Buy your target • Nike (Boycott Nike), Coke (KillerCoke)

  13. Up Sell • Persuade people to buy more • Buy two get one free • When you only wanted one in the first place • Packs of three • When you only want two batteries • Persuade people to buy something else • Dell • Insist that you take extra warranty • Travel sites • Insist that you buy travel insurance

  14. Personalisation (1) • Know your customer • Profile typical users when they visit a web site • Purchase history • Time to make purchase decision • Amount of research done • Profile users through loyalty cards • Nectar • They know everything you have ever bought • Keep in touch with customers • Email newsletters • Lastminute, Maplin • Cookies • Welcome back Tim

  15. Personalisation (2) • Know your customer type • User database • Address/postcode -> socio economic indicator • Gender • Age -> Register with Data Protection Registrar • 60 “bins” 5 classes x 2 genders x 6 age groups • (kids, teens, dinky, married with kids, empty nesters, retired) • Disposable income • Disposable leisure time • Recommendation • People who bought this also bought that • Data from your own site • Amazon really can recommend music or books you might like • Data mining • People who buy this on cold winter Fridays in Slough also buy that

  16. Customer support • Identify meaning of email • Auto-respond with the answer • Classify once human response given • So next time it will auto-respond • Expose database as FAQ • So they don’t send the email at all • Always give the option of human interaction

More Related