Global Marketing Tuesday: Apple and Adding New Value

Today’s

Vocabulary

(1) Functionality: Something doing what it should do

Functionality is necessary for any product. A phone can look great, but if it doesn’t work, why would I buy it?

(2) Industrial Cream: The color of computers in the 80s and 90s.

Can you believe all our computers used to be so ugly? Industrial cream is a terrible color.

(3) Value: Adding something to your life.

The value of a product can be in making our lives easier, happier, more interesting, or almost anything that people want more of.

Today’s

Questions

1. How were computers marketed in the 1990s?

a. For their power

b. For their fashion

c. Like a furniture item

2. What value did Apple add to computers?

a. Functionality

b. Power

c. Beauty

3. How did other companies respond to Apple’s new value?

a. They copied it

b. They refocused on power

c. They added functionality

7 ________________________

GLOBAL MARKETING TUESDAY

________________________

By Jeremy Schaar

Marketing is about demonstrating value to people. It’s about showing someone that your product is worth their time, money, and energy. Sometimes companies have a chance to expand the value of their products in interesting ways. In this lesson, you’ll learn about how Apple did this with computers. You’ll gain some useful vocabulary and thoughts on how to market your product.

Throughout the 1990s, computers all came in the same colors: industrial cream and industrial black. They were ugly. In advertisements companies focused on power. Here’s a funny example:

Apple realized that if their computers looked better, a lot of people would buy them just for that. Here’s an early example:

Apple expanded the value of a computer beyond functionality. Instead of just being powerful, the computer was now beautiful. This marketing strategy has proved so successful, that everyone in the industry now includes the beauty of their products in their marketing campaigns.

Got questions or comments? How about practicing some new vocabulary and posting your thoughts on the blog, Facebook, or Twitter?

CHECK YOUR ANSWERS!

Answers To Today’s Questions

A, C, A

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You Can Do It All Yourself But You Dont Have To

What Makes Apple Great 2

Today’s

Vocabulary

(1) Cool: Good and attractive

In fashion, it’s more important to be cool than functional.

(2) Functional: Useful and working well

These boots might not be cool, but they’re very functional and will be more comfortable when climbing that mountain.

(3) Marginal: Small and not important 

He might be a marginally better programmer, but his people skills are terrible. No one wants to work with him.

Today’s

Questions

1. Why did Apple market their products as working well?

a. Other computers had more power than Apple

b. Most computers would often stop working

c. Most computers had many useless programs

2. What is NOT an example of Apple showing they have cool products?

a. A commercial with cool colors, music, and dancing

b. Steve Jobs showing the world the iPhone

c. A commercial with a cool guy representing Apple

3. Why did Apple have big events for their new products?

a. They were excited about their work

b. To get free promotion from the event

c. To show journalists the product

7 ________________________

Free Form Friday

________________________

By Jeremy Schaar

Last week on the blog, I began to introduce a great company: Apple. You learned about Apple’s product development and supply chain management. This week, you’ll learn about Apple’s marketing, You’ll learn some great vocabulary and ideas that you can apply to your own company.

Product design and supply chain management seem to me to be Apple’s two greatest strengths. But Apple co-founder Steve Wozniak disagreed. He said, “I would say marketing was [Steve Jobs] greatest strength.”

Why is Apple so great at marketing? Apple markets their products in three ways. First, they just work well. Second, they’re cool. Third, when a new Apple product comes out, that’s a big event. Here are examples:

Dell, Intel, Microsoft, etc. They marketed computers as powerful. And they were powerful, but who cared? We just wanted the computers to work all day without having to restart them.

In addition to just working, Apple markets their products as cool. In contrast, other computer companies marketed their products as functional. Apple sold their computers like their were fashion items. They weren’t always the technically best computer. And other companies have made technically better phones. But, until recently, no other company has marketed their products as cool and fashionable.

Apple’s final marketing innovation was to create anticipation and excitement for their products, to turn a new Apple product into a cultural event that got them a lot of free advertising. Other companies were constantly updating their lines. Every two months, a better computer came out. New computers were normal, like Macy’s getting new shirts. Apple changed all that.

As always, if you have any questions, please post them on the blog, Facebook, or Twitter.

CHECK YOUR ANSWERS!

Answers To Today’s Questions

B, B, B

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You Can Do It All Yourself But You Dont Have To

Global Marketing Tuesday–B2B Pull Marketing

Today’s

Vocabulary

(1) B2B: Business-to-business marketing

Most B2B companies don’t consider using TV commercials. It’s more effective to approach businesses directly.

(2) To encourage: To say it’s a good idea to do something.

We encourage our associates to take clients out for dinners and lunches.

(3) End User: The final person that uses the product and doesn’t sell anything else.

Many companies are involved in creating most products, even if the end user only deals with one company.[/box]

Today’s

Questions

1. What is an example of a B2B business?

a. Selling hats to baseball fans

b. Selling hats to a baseball team

c. Selling hats to a government

2. Who is the end user in B2B marketing?

a. The company that adds the most value to the product

b. The company that uses your product

c. The customer’s of the company you sell to

3. Why does Intel make TV commercials?

a. They have no other way of selling microchips

b. They’re using the public to encourage companies to buy their chips

c. They’d like to have a better public image

7 ________________________

GLOBAL MARKETING TUESDAY

________________________

By Jeremy Schaar

Here’s an interesting question: Even though you’ll never buy a microchip directly from Intel, they run a huge marketing campaign aimed at the public. Why would they do this? The full answer is below, but here’s a hint: it’s all about B2B pull marketing–a concept from last week’s blog post.

Today on the blog, you’ll learn what B2B marketing is. You’ll learn some important vocabulary and one great way to market your product to other businesses.

B2B means Business To Business. Normally when we think of marketing, we think of B2C (Business To Consumer). Here are some examples of each type of business.

B2B: Selling cooking pans to a restaurant, Microsoft selling Windows to a bank for its servers, Samsung selling microchips to Apple

B2C: Selling cooking pans to one person for their home kitchen, Microsoft selling Windows for your home computer, Samsung selling phones to the public

The most important thing to remember in B2B marketing is that the business you’re selling to is not the final user. They’re buying something from you in order to sell something to someone else. Restaurants buy pans so they can make food for people to buy. Banks buy Windows so they can provide better banking for consumers. Apple buys chips from Samsung so they can make better computers, phones, and tablets.

Why is this important? It means that while you’re marketing your product, you need to remember the end user. This goes back to a concept from last week: pull marketing. Pull marketing is when you get someone else to pressure the buyer. An easy example is children getting their parents to buy them toys. You market to the children, not the parents.

In business, a famous example of pull marketing is Intel. Intel makes the microchips that companies use in the computers that they sell. Intel has a great marketing campaign where they encourage consumers to buy computers with Intel chips. So, computers with Intel chips sell better. Computer companies are therefore pressured into buying chips from Intel.

Intel has a great B2B marketing campaign. Behind the scenes, you can be sure that they are pushing companies to buy their chips. But they also let the public know how great Intel chips are. The public then puts pressure on the companies to use Intel chips. Said another way, people pull at companies to buy chips from Intel. Very smart.

Got questions or comments? How about practicing some new vocabulary and posting your thoughts on the blog, Facebook, or Twitter?

CHECK YOUR ANSWERS!

Answers To Today’s Questions

B, C, B

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You Can Do It All Yourself But You Dont Have To

Global Marketing Tuesday–Push vs. Pull Marketing

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Today’s

Vocabulary

(1) Convince: To make someone think something is a good idea

He convinced me to buy stock in Facebook. I really think it’s going to to go up.

(2) Push Marketing: When you convince someone to buy something.

Push marketing succeeds when it shows that a product is good for someone.

(3) Pull Marketing: When you convince someone to convince someone to buy something..

Pull marketing can put pressure on the buyer from many sources.

Today’s

Questions

1. What good thing does V8 assume we already know?

a. V8 is not just for old people

b. V8 is healthy

c. V8 is delicious

2. Who is the target of the Lucky Charms commercial?

a. Parents

b. Children

c. People who want to have fun

3. What will Stuart Mill be about next week?

a. B2C marketing

b. B2B marekting

c. B2G marekting.

7 ________________________

GLOBAL MARKETING TUESDAY

________________________

By Jeremy Schaar

Today on the blog, you’ll learn the difference between push marketing and pull marketing. You’ll also learn some examples of each. It will give you some ideas for how to market your product and help you discuss the ideas in English.

In short, push marketing is when you convince someone to buy something. Pull marketing is when you convince someone to convince someone to buy something. Let’s look at the ideas in more detail.

Push marketing is traditional marketing. A simple example would be an advertising campaign that stresses how great your product is. Let’s say you’re selling milk. You might create a television commercial where different people talk about how healthy milk is. Then, when people go to the store, they’ll buy milk because they want to be healthy. You pushed them to buy milk.

Here’s an example of a commercial that pushes you to buy the product:

V8 is a vegetable juice drink. In this commercial, they give examples of things that people are wrong about. For example, people are wrong about the fountain of youth and they’re wrong about lightning making people famous. They’re also wrong that V8 is only for older people. At the end, we hear that it’s “delicious and great”.

This commercial pushes us to buy V8 because it’s not just for old people and it tastes good. It assumes that we know it’s healthy, but that we don’t buy it because of it’s image as a bad tasting drink for old people. So the ad says those things aren’t true. Buy it.

So, what’s pull marketing? Let’s look at an example:

Why is this pull marketing? Because it’s not aimed at the person who will buy the breakfast cereal. Instead, it’s aimed at children who will then pull their parents to buy Lucky Charms.

The difference between push and pull is very important in marketing. Next week, we’ll look at what it means for B2B sales.

Got questions or comments? How about practicing some new vocabulary and posting your thoughts on the blog, Facebook, or Twitter?

CHECK YOUR ANSWERS!

Answers To Today’s Questions

B, B, B

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You Can Do It All Yourself But You Dont Have To

Global Marketing Tuesday–PUMA

Today’s

Vocabulary

(1) Audience: The people interested in your ad

Our audience is 20-30 year old females.

(2) Mighty: Strong, Powerful.

He has a mighty kick that lets him kick the ball very far.

(3) Slogan: A few words a company uses to give meaning to their brand.

Nike’s slogan–Just Do It–is the most famous slogan ever.

Today’s

Questions

1. What do we see in the ad?

a. Young people playing games in a bar

b. Athletes doing physical challenges

c. People eating

2. What is this song about?

a. Being fashionable

b. Advice for young people

c. People saying they’re great athletes

3. What does the ad show?

a. The combination of fun and athletic shoes

b. Bored young people

c. How to have fun at night.

7 ________________________

GLOBAL MARKETING TUESDAY

________________________

By Jeremy Schaar

Puma definitely knows their audience. Today on the blog, you’ll learn how they use the knowledge of their audience to create a great advertising campaign.

First let’s look at one ad. We see young people having fun at night. They’re bowling, playing darts, foosball, table tennis, and pool. They’re also singing a song. They sing:

Everywhere we go (Everywhere we go)

People want to know (People want to know)

Who we are (Who we are)

So we tell them (So we tell them)

We are athletes (We are athletes)

Mighty, mighty athletes (Mighty, mighty athletes)

Remember to play the ball (Remember to play the ball)

Loser buys a round for all (Loser buys a round for all)

Here’s my number just in case (Here’s my number just in case)

Put the falafel in my face (Put the falafel in my face)

Because we are athletes (We are athletes)

Mighty, mighty athletes (Mighty, mighty athletes)

We are athletes (We are athletes)

Mighty, mighty athletes (Mighty, mighty athletes)

If the bouncer doesn’t like us (We go to another place)

Then at the end we see Puma’s slogan: Here’s to the after-hours athlete

Puma knows their audience well. They’re an athletic shoe, but most people actually wear their shoes while they’re hanging out with their friends. To combine these two ideas–athletic shoes and hanging with friends–Puma focuses on the games we play when we’re out at night.

And they’re right. Everyone loves playing games and having fun with their friends. So let Nike be the shoe that you wear while you run. Puma will be the shoe you wear while you’re having fun with your friends.

Got questions or comments? How about practicing some new vocabulary and posting your thoughts on the blog, Facebook, or Twitter?

CHECK YOUR ANSWERS!

Answers To Today’s Questions

A, C, A

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You Can Do It All Yourself But You Dont Have To

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