Social Media Strategies and Consumer Behavior

Social media is a very important aspect of contemporary marketing techniques and strategies, and it is difficult to keep up with because it is constantly evolving. I utilize various forms of social media in my daily life, and I feel like I am part of the generation that has really incorporated social media into previously non-collaborative activities. I have a Facebook account, a LinkedIn profile, and even a Twitter account, and I even use sites likes Last.fm to track my music preferences, create concert calendars, and shat with friends who have similar tastes in music based on the site’s compatibility function. I am actually beginning to wonder if all of these “tools” are really working for me or if I am filling my life with more things to update and maintain. I feel like my relationship with social media is a little bit of both, and it is interesting to think of the ways in which I can use the knowledge of gained as a future marketer. In fact, I wonder how marketers are tracking and using the “data” I’ve already provided simply by participating in social media practices.

Social media reflects the way in which I receive my information. The Groundswell readings discuss how people like me who actually surround themselves with social media and who are actually using it frequently are the ones adding value to social networks and making them such a widespread phenomenon. Two social media entities I can focus on specifically are Facebook and Twitter. Facebook allows me to ‘like” pages based on my interests. I am very interested in films, television, and the entertainment industry in general. It follows that I have “liked” Facebook pages like Fox Searchlight, NBC Universal, Variety, Rotten Tomatoes, and Disney/Pixar. Information relevant to all of these pages now runs in my news feed along with updates from friends and things relevant to my networking habits and my social life. The knowledge I gain by possessing all of this information all becomes a part of what I like to call my running digital stream of consciousness. Twitter is a more concentrated, instantaneous form of this stream of consciousness, as I am able to “follow” actual actors, directors, more studio execs, and even fictional characters for whom writers have created fake accounts. How can marketers use these tools to gauge consumer interests and meet needs? All they have to do is observe as users generate all the research they’ll ever need and so much more.

It took a while for companies to really utilize Facebook and Twitter to make money, but the interest of advertisers wanting to reach the ever-expanding digital audience (which encompasses virtually every major demographic) led to some interesting complementary and collaborative relationships between the two sites. For example, if I “like” Fox Searchlight on Facebook, I can get general updates about the movie “Black Swan,” which is being released on December 3^rd. If I choose to follow Darren Aronofsky, the director of “Black Swan,” on Twitter, then I can literally get updates by the moment of how the production is going and any special events related to the premiere that he would know about firsthand. Facebook creates buzz and generates a sphere of knowledge about a particular person or thing, but Twitter provides the opportunity to create more concentrated buzz and perhaps to incorporate promotions and giveaways into simple “updates.” A fantastic example of this is Edgar Wright’s tireless efforts to market his movie “Scott Pilgrim vs. the World” preceding its release in August 2010. He aggressively tweeted every move he made across the country as he went on a tour with the cast and crew. Facebook had videos and interviews that fans could watch, as well as reviews of the film, but Twitter had arguable more exciting content as Edgar Wright actually posted information open seats at screenings and signings/meet-and-greets he was doing with the cast at particular locations. The tour ended in Austin, Texas, and a friend of mine actually got to go the final screening and meet Edgar Wright and all the actors simply because she liked the “Scott Pilgrim vs. the World” page on Facebook and also followed Michael Cera, Edgar Wright, Jason Schwartzman and Anna Kendrick on Twitter. She knew exactly when they landed here and the Facebook page led her to an impromptu promotional giveaway in which she was one of the first six Twitter users to “tweet” Edgar Wright back after he said he had four seats left to the screening. It all happened very fast and it all relied heavily on social media appeal and my friend’s active involvement in the marketing process. This extremely rapid pace is both a blessing and a curse, and marketers are constantly struggling to keep up with trends that shape digital interactions like this one.

Social media strategies are the gateway to endless possibilities. Groundswell puts an optimistic spin on social media as well, elaborating on the ways in which companies can use trends and consumer behavior in relation to social media to map out effective ways to utilize its widespread appeal and applicability.

Creativity - Combining Ideas

First word – FLAG

-Flags make me think of patriotism, loyalty, and identification with a particular country, political party, or belief system.

-Flags are colorful, bold, and very distinct in the things they express.

-I also think of things like flag football and high school; a private school I used to go to when I lived in Trinidad had a flag with the school emblem on it; the word flag makes me think of Trinidad, too.

-Medieval kingdoms, the World Cup, video games and fictional lands, white flags representing surrender, the American flag, nationalism, waving, fluid, wind, movement, running into battle, “Lord of the Rings,” sides, factions, festivals, outdoors events, the Olympics, banners, playgrounds, middle school, houses in “Harry Potter”

Second word – DVD

-Movies, film studies, special features, celebrities, commentary tracks, Blu-Ray, cameos, box office revenues, high-concept films, children’s movies, Scene-It, combination DVD/VCR players, high definition TVs, plasma screens, plastic cases, friends, get-togethers, scary movie nights, themed parties, candy, popcorn, soda, family movie nights, date nights, staying in, home movies, blank discs, snacks, lights off, special edition releases, extended editions, director’s cuts, movie franchises, school projects, Netflix, PS3, rentals, Blockbuster, actors, directors, editors, tech savvy, marathons…

Ideas for combining these two things:

1.      Flag made of DVDs

2.      DVDs cased in wrapped flags

3.      Flags made of DVD cases

4.      A flag in the shape of a DVD

5.      A DVD that has a flag as its cover art

6.      DVDs that project flags as a screensaver on your computer

7.      Flag/DVD carpets

8.      Flag.DVD wallpaper

9.      Flag/DVD blankets

10.  DVD coasters with mini-flags made of paper

These two things are tough to combine because they are unconventional as a pair. I can’t really think of any viable products or services that could be made using these two things. I wanted to stick to the requirements of the assignment, and I didn’t want to bias the results of the exercise, so I just went with the first two text suggestions I received. The brainstorming process was also difficult, because I associate a lot of emotions and activities with these two things, especially DVDs since I’m a huge movie buff. I did the best I could and I tried to be as creative and innovative as possible. With some alterations, an idea could come out of combining these two things. For example, if a special edition DVD was being released for one of the “Harry Potter” films, a flag could be included that represents one of the four houses in the books/films. Again, though, these ideas are all kind of a stretch, but the idea generation process is complicated and always evolving.

Consumer Insights and Marketing in Television and Film

While I am studying marketing in the McCombs School of Business, I also have a minor concentration in Radio-Television-Film through the college of communications. This is because I have always been interested in the entertainment industry and the implications of various marketing practices in this environment. With regard to television and motion picture productions, there are significant economic ramifications for budgeting decisions, and this is because of the tremendous amounts of resources and time that must be dedicated to producing them. Audiences have changed significantly over the years, and demands must constantly be evaluated and rearranged by studio executives, producers, directors, writers, and every other creative and economic entity associated with producing entertainment for the masses. A good example of how these decisions can be fruitful is the case of James Cameron’s Avatar, which is now quite literally the biggest movie of all time, grossing over $2.7 billion (according to www.boxofficemojo.com). This is the result of careful marketing and budgeting decisions and the delivery of a truly satisfying consumer experience that connects with all demographics. Components of this experience included the film’s sense of spectacle and the innovation of 3-D IMAX technology.

 I am actually not a huge fan of the film myself - I’m more of a Scorsese kind of guy. He’s known for directing character-based pieces like Goodfellas and Raging Bull that are rich in story and cinematic value (although, it could be argued that he is using his auteur status to add legitimacy to big-budget blockbusters like The Departed and Shutter Island). Nevertheless, I can appreciate the great execution of this marketing campaign and the obvious resonance with a worldwide audience and even movie critics (the film was nominated for Best Picture at the Academy Awards in early 2010). James Cameron’s latest film is just important, and big, and high concept. Most of all, it is fascinating from a marketing/business standpoint, because it was a huge project spanning a full decade of production with an inflated budget of over $500 million (the most expensive movie ever made). Once the final product was taking form, though, the work was all in the hands of market researchers and those in charge of advertising efforts at Fox (the studio that produced the film). This crucial process is what I want to delve into by doing this project, and these are a few of the questions I want to address:

1.      How are marketing budgets allocated and when do these decisions get made?

2.      Is the marketing strategy obvious from the outset, or is it developed as a production takes shape?

3.      Is a film made simply because it is easy to market (like high concept blockbuster movies)?

4.      How do creativity and business incentives clash if something doesn’t “test’ well, and what are the standards by which this is judged?

5.      How are trends like digital projection, IMAX shooting, and 3-D reflections of the changing business environment in the entertainment industry?

These questions can mostly apply to television production as well, which is another area that fascinates me because of how fast-paced and cutthroat it has become. There are currently several shows like ABC’s My Generation and NBC’s Under Covers are already being cancelled after airing for only a couple of weeks! There are dozens and dozens of shows filmed every year during pilot season, but only a few of them are deemed worthy for network television. I want to research how these decisions are made, because a lot of my favorite network TV shows, like Lost and Chuck, have faced cancellation several times.

Again, it’s all about creating an experience that will keep consumers/viewers glued to their screens and which will also keep them coming back season after season. This is relevant to our class discussions because people who work at the networks and studios must constantly decide what viewers want, who they want to see, and whether or not they’ll even watch shows during the designated airtime. Cable shows are even more interesting to study, because shows like Mad Men, Breaking Bad, and Dexter are giving the networks some serious competition due to increased airtime and more lavish productions because of an abundance of resources. They are also characterized by richer storytelling because of a shortened season of only 12 or 13 episodes. These are all marketing decisions, because it is evident that at some point, these new innovations were deemed necessary as cable channels began to disappear. I would like to more closely analyze who makes decisions like these and, more importantly, how they arrive at these decisions.

Here is a link to description of a book from which I plan to use excerpts to support the points in my current topic report - http://www.lavoisier.fr/notice/frXWOOA26A3OW2RO.html

The book is from 2002, and it is called The Entertainment Marketing Revolution. The book describes evolving marketing practices in the brutally competitive environment of the entertainment industry today. The insights in this book overlap with things I have already discussed in this post, and it provides detailed answers to the questions I posed. This is one of many sources I can use, though, and I may not even end up using this one specifically. I just wanted to convey the type of resource I’ll be using for my research. I’m also likely to use trade publications like Variety, which covers all areas of the entertainment industry.

This is where I’m at right now, but a lot of this is likely to change as I develop more knowledge regarding my topic.

A Definitive Consumer Experience

In our last class, we discussed several ways of creating a consumer experience, and we looked at various techniques utilized by marketers to gauge consumer value and thereby ensure impactful consumer experiences. I found the discussion on Bernd Schmitt to be particularly interesting in that it divided the consumer experience into five categories – SENSE, FEEL, THINK, ACT, and RELATE. Some of these dimensions are clearly understood, while others are more obscure and difficult to measure. In any case, it’s useful to have a model such as this within which we can define consumer experience, and I am actually inclined to read more of Schmitt’s writings in “Experiential Marketing” to more clearly grasp these proposed concepts.

One meaningful consumer experience I can recall is both purchasing my Sony Playstation 3 as well as owning it for the past three years. It initially seemed like a frivolous gift to myself, seeing as it was primarily for entertainment purposes and that it was funded by my paycheck from a summer job that was supposed to “help pay for school.” I actually don’t play a lot of videogames, but I was very intrigued by the Blu-Ray format, and I mainly bought the PS3 to upgrade my home entertainment system. However, this new technology became useful to everyone in my household (my mom, my dad, and brother) and it soon came to define how we viewed photo slide shows from vacations and how we played music for parties and get-togethers. USB systems, speakers, and computers can be hooked up to the PS3, and virtually any media is compatible with the Sony platform. Over the years, it gradually became my family’s go-to entertainment device. I’ve brought it to UT with me for the last year or so, and it serves the same purpose among all my friends here and in my new apartment. The experience of buying and owning the PS3 has made me feel very in control of my media, and for someone like me, that is truly something of value. I am a textbook media-junkie, and I consume DVDs, new albums, blogs, entertainment publications, documentaries, TV shows, comedy specials, animated shorts, etc. You name it; I watch/listen to/read it. My PS3 allows me to take pride in all these things and organize them the way I want to, and it plays and stores everything. It is connected online to the Playstation Network and it is consistently being made better through system updates. It has more than paid for itself since I purchased it.

With regards to Schmitt’s five dimensions, I feel like my consumer experience with my Playstation 3 applies to a few of them. For example, the SENSE aspect deals with strong visual and auditory appeals, and the PS3 certainly delivers on this with its HD support, its sleek display, and it’s modern user interface. Sony’s marketing of this product also relies heavily on strong visual representations of the processing power and graphics capabilities of this technology, which is essentially a very fast computer. These also play into Schmitt’s THINK dimension, which refers to intellectual stimulation as a source of consumer satisfaction. The PS3 is certainly not all flash, and being associated with a company like Sony certainly doesn’t hurt its reputation among the geek crowd. I fall under this category to an extent, and my decision to buy the PS3 was definitely motivated in part by the fact that it just seems technologically superior to competitors like the Nintendo Wii, the Xbox 360, and other Blu-Ray players, which are still inferior today. Also, for my purposes (entertainment > gaming), I really couldn’t go wrong with the PS3. Finally, it’s important to consider the FEEL dimension, and the fact that my PS3 became a fixture in my home around which my family gathered for years. Picture slide shows, movie nights, and small family events were all facilitated by the PS3, and even my mom, who is technologically challenged, to say the least, was getting in on the action and learning how to use the system so she could get the most out of it. I believe that if the experience is there, consumers will take the right steps to achieve it. Marketers just have to create and communicate that experience.