A Study on Integrated Marketing Communication - Engaging Consumers

INTEGRATED
MARKETING
COMMUNICATIONS
Engaging consumers in a digital era
INTEGRATED
MARKETING
COMMUNICATIONS
Date
Lenght
Supervisor
Programme
University
02/06-2014
125012 characters equivalent to 52 pages
Tem Frank Andersen
Cand.it. Interaktive Digitale Medier
Aalborg University
Mathias Just Sørensen
__________________________________________
v
Abstract
Abstract
Internettet og nye digitale medier har ændret den måde kommunikation og interaction
foregår i det moderne samfund. Dette speciale omhandler hvordan denne ændring påvirker
markedsføring og hvordan markedsføringsbranchen kan omfavne denne udvikling og bruge
den til deres fordel. For at løse dette problem etableres et strategisk rammeværk under para-
digmet for holistisk markedsføring til brug under udvælgelsen og integration af mediekanaler
til markedsføringskampagner.
Specialet starter med at flosofere over internettet som en teknologi der konditionerer sam-
fundet omkring sig, og derigennem ændrer forbrugsmønstre, igennem Pierre Lévy’s arbejde
omkring cyberkulturer. Dette gøres for at danne et teoretisk fundament for antagelsen om at
digitale medier har ændret kommunikation i samfundet, og derigennem har en indfydelse på
hvordan markedskommunikation skal gribes an.
Specialet konkluderer at markedsføring til den moderne forbruger skal skabe relationer
og fordre interaktion mellem virksomhed og målgruppe, og fnder at digitale platforme kan
skræddersyes til dette formål. Dette fndes gennem en analyse af forskellige markedsføringste-
oretikeres arbejde b.la. Kotler, Keller og Wind. Endvidere fndes det nødvendigt at integrere
og målrette markedsføring kommunikationen endnu mere end det holistiske paradigme fore-
skriver og integrere nødvendigheden af at skabe relationer i processen hvor mediakanaler
udvælges. Dette gøres ved at integrere branding teori og brand værdi som kernen af enhver
kampagne.
For at teste validiteten af de fremsatte tanker foretages et case studie af en af marke-
dlederne indenfor relations og emotionel markedsføring, Coca-Cola. Coca-Cola’s historie og
markedsføringsteknikker undersøges, og det fremsatte rammeværk testes ved at blive benyttet
som hoved analyseværktøj i en analyse af en af Coca-Cola’s seneste globale kampagner.
vi
Table of contents
Table of contents
Abstract v
INTRODUCTION 1
The internet 2
The problem statement 4
METHODOLOGY 5
THEORY 9
The modern consumer 10
What is new media? a defnition. 17
Marketing 18
Towards a new marketing paradigm 19
The idea of IMC 21
The disciplines 23
The relationship between the disciplines 25
A note on customer-based brand equity 28
Lovemarks 28
The strategic framework 29
#REASONSTOBELIEVE 31
A brief history of the Coca-Cola Company 32
Early marketing 32
Success with product innovation 34
New Coke 34
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Table of contents
So was it a failure? 36
Modern Coca-Cola 36
Coke from the inside 38
The strategy of #ReasonsToBelieve 38
CONCLUSION 43
DISCUSSION 45
On the methodology 47
LITTERATURE 49
11
m a r k e t i n g | ? m ? ? k ? t ? ? |
n o u n [ m a s s n o u n ]
t h e a c t i o n o r b u s i n e s s o f p r o m o t i n g a n d s e l l i n g p r o d u c t s o r
s e r v i c e s , i n c l u d i n g m a r k e t r e s e a r c h a n d a d v e r t i s i n g . t h e W e s t -
e r n a r t s o f m a r k e t i n g a n d d i s t r i b u t i o n .
[ a s m o d i f e r ] : a m a r k e t i n g c a m p a i g n .
O R I G I N M i d d l e E n g l i s h , v i a A n g l o - N o r m a n F r e n c h f r o m L a t i n m e r c a t u s , f r o m m e r c a r i ‘ b u y ’
( S t e v e n s o n , 2 0 1 0 )
I N T R O D U C T I O N
11
marketing |?m??k?t??|
noun [ mass noun ]
the action or business of promoting and selling products or
services, including market research and advertising. the West-
ern arts of marketing and distribution.
[as modifer ] : a marketing campaign.
ORIGIN Middle English, via Anglo-Norman French from Latin mercatus, from mercari ‘buy’
(Stevenson, 2010)
INTRODUCTION
2
Chapter 1
Introduction
E
ver since John Locke defned the right of private ownership as a mix of frst occu-
pancy and the moral signifcance of labour done (Waldron, 2012) and Adam Smith
theorised about the free market, marketing has been an essential and driving force of western
economies, and in extension of this, western society. In a society based on the basic principle
of private ownership of physical and intellectual properties, the marketer wields immense
power, as the foundations of societies are built on trading commodities.
Marketing however, doesn’t shape societies as much as it is a reaction to fuctuations in said
societies and as a function of this, marketing as a discipline has evolved with the society it re-
sides in. Take a look at commercials from 50 years ago, compare them to adds made a decade
ago, and then compare them to contemporary campaigns. The marketers are alway trying to
capture the vibe of the time, trying to predict and hop onto trends in society. Marketing is very
much about being ahead of the curve, about doing stuf that’s cool, before it’s cool.
This thesis is a take on the discipline of marketing and the role of the marketer from the
perspective of media studies. As such the focus will be on the nature of the marketing com-
munications channels, with the internet as the central element. This means that important
aspects of the marketers functions, such a legal and fnancial issues will be omitted, as the
purpose is to propose a framework for marketing communications with focus on tight inte-
gration of marketing disciplines, brand values and the company ideals. All of this based on
the assumption that new media has changed the way consumers think, act and interact with
marketing materials.
The internet
The idea of the modern internet was born in the 1950’s, and was meant to be a network
of connected computers that could be utilised by the American military for research purposes.
This network was dubbed ARPANet, and went live on the 29th of October 1969 at 11:30 PM.
This frst small step in networked computer mediated communications consisted of the send-
ing of a 5 letter text string, spelling “login” from a computer located at UCLA to a computer
at Stanford. Unfortunately, the connection between the terminals broke down during the test
having only transmitted the frst 2 letters, but it still marks the start of the ever-connected,
always transmitting society that exists today.
The technology has evolved at an amazing speed since then, and at the dawn of the
new millennium the internet became user-centred with the advent of Web 2.0 and content
creation and sharing tools for the common internet consumer. The internet has transformed
the way humans interact with each other and by doing so, has changed the way people live
their lives within an internet based society. This development has made the computer, if de-
fned as a connected device, the super media of our time, by being able to blend diferent
forms of media into one, and yet remediate and present them in new ways, changing both the
content and form of the contained information. The way media is consumed has changed
with this revolutionary super media, and it looks like the age of the mass media is coming to
and end. Computer mediated communications has made the society polycentric, rather than
monocentric, it has many centres because of the ability of the digital networks to mediate
information from everyone, to everyone regardless of physical position. Every user of the
internet has the ability to create content and publish it for everyone else to see, which means
that the rigid structure of content creators and content consumers dissolves as the borders get
blurred.
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Chapter 1
Introduction
This has a profound efect on marketing as marketers has to adapt to this new scenario
and need to learn how to harness this huge resource of creativity by creating relatable brands
that consumers wish to advertise for through their content creation.
The premise of this dissertation is that marketing is a product of the society it exists
within, and that the rapid evolution of media technology has changed the way consumers
consume media, and therefore the way the are exposed to, and relate to marketing. This poses
a challenge for the marketer, who have to adapt and change the channels used to communi-
cate the marketing messages to the consumers. Marketing campaigns are increasingly being
integrated, so that the diferent disciplines are being intertwined to convey a single strategic
message. This is dubbed Integrated Marketing Communications, or IMC for short, and is be-
coming the de facto standard of how to do large scale campaigns in the advertising world. But
marketers early integrate one campaign with another, focussing more on current communica-
tion objectives (increase sales of product x, for example) than on the overall picture. This thesis
has two objectives: make it possible for marketers to integrate to do cross campaign integration
and incorporating digital marketing into the promotional mix. This is done under the premise
that the disciplines can be blended even further together by making campaigns based in the
digital environment using the internet as the primary media and focusing on digital relations
in the process of creating brand equity, thus moving away as the print/tv ad as the main pillar
in advertising campaigns, and making marketing more personal, social and user centred. The
goal is to combine a theoretical survey and creation of a strategic framework from these theo-
ries, with a case-study on Coca-Cola exploring how a successful brand implements a strategy
like this, to validate the proposed framework by applying it to
praxis.
The strategic framework proposed in this
thesis rearranges the marketing disci-
plines into a formation based on
the closeness of their internal re-
lationships, incorporates online
marketing as its own discipline
and centres the communication
eforts around the core brand
values of the company. These
core values are user generated, and
are likely to change at a slower rate
than marketing objectives, if the
change at all. This means that
campaigns based on this mod-
el will have user-centred core
messaging elements that are in-
terconnected, creating a holistic
model for integrated marketing strategy.
Figure 1: The fnal proposed framework.
2
4
Chapter 1
Introduction
The problem statement
The premise of this thesis is that the development of the internet has brought changes in
communications on a societal and even global scale, and that this has an efect on persuasive
communications profound enough so that it needs to be incorporated into the planning on
marketing campaign on a strategic level. This has lead to the formulation of the following
problem statement, that has guided the work done throughout the process.
What is the impact of digital media technology on marketing communications, and
how can online marketing be incorporated in a generic strategic framework for holistic
marketing to the modern consumer?
To answer this it is necessary to explore the idea of technology, its impact on society, and
how that relates to digital media. Furthermore it is important to look at marketing basics,
to construct a state of the art to build upon, and to explore the relations between the two
domains. Finally a discussion of the fndings are key in uncovering the actual challenges that
arises from using a generic framework to plan marketing communications.
2
methodology |m????d?l?d?i|
noun (pl.methodologies)
a system of methods used in a particular area of study or
activity: a methodology for investigating the concept of focal
points | [ mass noun ] : courses in research methodology and
practice.
ORIGIN early 19th cent.: from modern Latin methodologia or French méthodologie .
(Stevenson, 2010)
METHODOLOGY
6
Chapter 2
Methodology
T
he purpose of this dissertation is to explore the inclusion of online marketing as
a strategic discipline in marketing communications and to incorporate emotional
values into strategic marketing thinking. The outcome of this exploration is to be a strategic
framework of how the diferent marketing disciplines can be integrated with each other. This
framework is to serve as a strategic tool when integrating the communications eforts of a
campaign and also enable marketers to easily integrated multiple campaigns each each other.
When the framework has been constructed through theoretical exploration, a case study of
a company that seems to have embraced the approach to marketing that this thesis is devel-
oping a strategic and holistic framework for; Coca-Cola will be conducted. This will test the
proposed frameworks ability to strategically analyse marketing activities, and by correlation its
ability to be used as a tool to create strategies. Thus, this thesis is mainly a theoretical project
containing some additional elements of a case-based project to support the theoretical fnd-
ings and improve the validity of the conclusions drawn from the theories. The dissertation
is split into 3 major parts: the theoretical discussion, the case study, and a discussion of the
viability of the digital IMC plan. This structure means that diferent methodologies must be
used and blended together.
From a philosophical standpoint the thesis approaches the generation of knowledge
through hermeneutics. The idea behind this is that throughout the process the knowledge that
is gained and the interpretations that is made will be utilised in the process going forward. In
praxis this means that every time a conclusion is drawn it will become the foundation of the
next step in the process, and the size of the knowledge pool created will expand because of it.
In this case it is the development of a theoretical understanding of the domains that will ena-
ble the development of a framework through a more and more specialised view of the subject
matter. The process starts with my current knowledge and preconceptions of the domain.
Understanding and interpretation in hermeneutics is a circular motion as an exploration of
each element of a whole will develop a new understanding of the whole that in turn will
develop a new understanding of the individual parts of the whole (Holm, 2013, p. 83). This
means that I explore my preconceptions about the domain by operationalising the elements
of a theory I gain a new perspective of the theory as a whole, which closes the circle and lets
me build on this understanding adding another theory thus creating a new loop. In addition
to this hermeneutic approach I will conduct a case study to test the validity of the conclusions
that are drawn from another perspective.
The theoretical part of the thesis is to be developed by using the method of eclecticism.
This is a methodology that recognises that in any given scientifc research process, the empiri-
cal data that the researcher analyses and bases her conclusion on, are chosen by the researcher.
This means that there will always be a bias of some sort, as it’s impossible to include every
piece of empirical data available in any given analysis (Køppe, 2012, p. 13). The basis of this
understanding of the scientifc process is that it is impossible the create new knowledge or new
understanding without drawing on previous works, which are consciously or subconsciously
chosen, or discarded. In other words, one cannot gain a scientifc understanding of something
in a developmental vacuum (Køppe, 2012, p. 1).
The method of eclecticism is the constructive use of this preliminary bias by creating
inter-theoretical relations between the empirical data chosen by the researcher on the basis
of her preliminary understanding of the subject (Køppe, 2012, p. 2). In praxis, this means
that the researcher uses bits and pieces from diferent theories, analyses them and pieces them
7
Chapter 2
Introduction
together to form new relations and thereby, a new viewpoint of the subject matter - which is
how new knowledge is created in the framework of the scientifc theory hermeneutics.
The point of using eclecticism in a dissertation of this type is that every project has its
origins in a theoretical question posed by the researcher. This hypothesis is naturally biased
by the experience and knowledge of the researcher. Recognising this and using it as a strength
rather than a weakness is key to arrive at valid conclusions.
Another method that is used alongside the eclectic gathering of empirical data is the au-
to-ethnography. This is a method where the researcher starts by looking inwards and using
her own actions and experiences to generate knowledge about a subject matter. The auto-eth-
nography is a method that mixes social science studies with study of literature (Ellis, Adams,
& Bochner, 2010). It is useful for gaining insight into what is already known by the researcher,
and identifying further problems that might be taken into consideration in the hypothesis.
This process identifes the bias of the researcher which gives her the opportunity to choose
empirical data that will balance her knowledge, by challenging the proposed hypothesis.
The second part of the thesis is a case study. As explained earlier, this is done in order to
validate the conclusion drawn form the theoretical discussion. This is done to validate the
conclusion drawn form the theoretical discussion, and because the case study is a method that
allows for simplifcation of very complex problems, such as a digital media strategy, which
consists of several interconnected parts. The focus of a case study is to generate an under-
standing of an object, in this case, the marketing strategy of Coca-Cola campaign, by exam-
ining the context in which the object exists (De Vaus, 2001, p. 220). For the purpose of this
dissertation, this means that the digital strategy is to be examined in relation to the media in
which it is conducted, meaning that the case study is about analysing the actions taken by the
company to deduct the strategic idea behind them. In other terms, the actions of the company
has to be operationalised to create a foundation for the understanding of the subject matter
(De Vaus, 2001, p. 24).
In order for the case study to validate the theoretical framework, it must itself be valid. De
Vaus defnes two types of validity that is the core of any research design: internal and external
validity. Internal validity in a case study is the degree to which the design of the study allows
the researcher to draw unequivocal conclusions (De Vaus, 2001, p. 28). In the case of this dis-
sertation, the case study in itself is apart of the research design in order to improve the internal
validity of the entire study. The purpose is to observe the actions of a market leader in order
to validate the proposed theoretical framework. It is also a way to implement considerations
for problems/solutions for situations that occur in praxis, but aren’t sufciently covered by
the selected theories. Although the case study does improve the overall internal validity of the
dissertation, it is important to note that it is impossible to eliminate equivocation in the drawn
conclusions (De Vaus, 2001, p. 28).
The other core concept defned by De Vaus is external validity. This refers to the degree
of generalisation that could possibly be drawn from the conclusions of the case study (De
Vaus, 2001, p. 28-29). Using a market leader such as Coca-Cola, for example, may end in
some of the result being specifc to said company at the moment, but the way the case study is
used in this thesis means that that is of no concern. The case study is used to test the external
validity of the proposed general theoretical framework which means that the external validity
of the conclusions will remain intact.
This thesis is about a subset of marketing where integration is key. This means that the
overall view of marketing in this thesis is holistic in nature. As such, the case study will also
8
3
Chapter 2
Methodology
be conducted with a holistic approach. The view of De Vaus on the holistic approach to case
studies can be paraphrased to ft on marketing strategies; a digital marketing strategy is com-
plex in nature and consists of many diferent parts, but it is the integration and the sum of
these parts that makes or breaks the strategy. “(…) The whole is greater than the sum of its
parts.” (De Vaus, 2001, p. 221).
3
theory |????ri|
noun (pl.theories)
a supposition or a system of ideas intended to explain some-
thing, especially one based on general principles independent
of the thing to be explained: Darwin’s theory of evolution.
• a set of principles on which the practice of an activity is
based: a theory of education | [ mass noun ] : music theory.

ORIGIN late 16th cent.: via late Latin from Greek the?ria ‘contemplation, speculation’, from
the?ros ‘spectator’.
(Stevenson, 2010)
THEORY
10
Chapter 3
Theory
W
hat is marketing? The defnition of marketing in the Oxford Dictionary of the
English language marketing is, “the action or business of promoting and selling
products or services, including market research and advertising” (Stevenson, 2010). This
means that any activity performed by an entity, commercial or non-commercial, in order to
sell a product, make people use a service or adopt an idea, is considered a marketing activity.
In marketing theory, marketing is defned as, “the process of planning and executing the con-
ception, pricing, promotion, and distribution of ideas, goods, and services to create exchanges
that satisfy individual and organisational objectives” (Belch & Belch, 2009, p. 8). Both def-
nitions also include activities that are not in direct relation to the corporate entity and the
proposed consumer, such as marketing research. This means that marketing, in its basic form,
can be considered as the act of either preparing or actively communicating information about
a subject in order to achieve a particular reaction from the receiver of the information. Mar-
keting is about building relationships that create some form of value for both parties involved
(Belch & Belch, 2009, p. 8). This thesis focuses solely on a subsection of marketing; marketing
that is conducted under the paradigm of integrated marketing communications; a paradigm
that entails the fact that all of the marketing activities conducted are tied together by a single
strategic idea which communicates a single narrative across the disciplines and the media
channels used for this communication (Belch & Belch, 2009, p. 11).
The purpose of this chapter is to lay down the foundations of a multitude of theories that
span diferent disciplines in order to create meaning of the theories combined, and opera-
tionalise the elements of the theories in order to rearrange them into a strategic framework.
As this thesis is about integrating marketing in the digital space as a key component of mar-
keting strategy, and it’s been established that marketing is in its basic form, communications,
this chapter will explore the efects technologies have on society, how communications are
conducted in the context of these technologies, and the sociocultural impact of this. This is
done in order to gain an understanding of why the internet as a technology has an impact on
the marketing domain. As this is a subject that warrants a thesis of its own, the focus will be
on communication and new media, as this is what is can be utilised in the proposed strategic
framework. The chapter will also explore the theory of integrated marketing communica-
tions, explain the marketing disciplines involved, and use this to build the framework step by
step. Furthermore, the concepts of customer-based brand equity and Lovemarks will be inves-
tigated in order to gain the means to tie, or build, a user-centred element into the framework
that will allow for integration across campaigns.
The modern consumer
The advent of web 2.0 has had a profound efect on media and have caused the reinven-
tion of lots of traditional media (Jennings, 2007, p. 178). The established media, with media
in this context referring to established media companies such as the BBC, have adopted, or
are trying to adopt, traits from cyberculture in an attempt to stay relevant to the consumers
of the 21st century. The dominant takeaway is mass participation such as votes cast in pro-
grammes such as American Idol which have the efect of making consumers used to partic-
ipating through media, outside of cyberspace (Jennings, 2007, p. 178). Companies who are
not necessarily in the media business do well to keeps this in mind when they have to sell
goods or services. Cyberspace and cyberculture have changed the way consumers behave and
communicate, forcing them to become accustomed to living in a world where participation
Chapter 3
Theory
11
is key. “…The consumers of the future will have the means to behave even more like selfsh,
opportunistic scavengers if that’s what they want. But the combination of their enthusiasms
and the new digital possibilities will also lead them into deeper relationships with the material
they like, while enhanced communications will draw them into richer connections with each
other, whether that’s hooking up with friends to share common interests or stimulating each
other to explore new materials.” (Jennings, 2007, p. 195) .
What Jennings is essentially saying here is that the possibilities of the internet and cyber-
culture is a two-edged sword. The same tools that enable the greater amount of choices makes
the consumers more picky, but also enables them to inspire and guide each other towards
materials that they like, be it music, videos, or even ofine based goods and services. It is this
kind of consumer that marketers have to market to and if they are able to understand and
utilise this culture, they can do so successfully. But this new type of consumer requires changes
in the philosophy of marketing and in the approach marketers take. This section will explore
aspects of what has changed in society to breed these new consumers, starting with a look on
the relations between technology and society seen from a social constructive point of view,
philosophising about correlations between social tendencies and technology. Then moving
on to defning new media and asserting what impact it has had on the way communication is
conducted. All of this is to determine the importance of cyberspace in modern society and
explore why modern consumers act like they do. This knowledge is necessary in order to go
forward under the premise that you have to know your target audience in order to market
to them. But this is not just about segmentation; it is about gaining a deeper philosophical
knowledge about how we got to the point we’re at, which will enable predictions of the future
to become more accurate.
This thesis is about the way digital technology afect marketing. In order to do this, it is
necessary to defne, from a philosophical perspective, what a technology is. Whether tech-
nology is one all encompassing thing, or whether multiple technologies co-exist in diferent
contexts. The Frankfurter school of philosophy sought to explain technology by speaking of
it’s sociocultural efects, or it’s meaning as a whole. French philosopher Pierre Lévy argues that
this can’t be done by making a comparison of Nuclear Science and Electronics, and the dif-
ferences in how society regulates access to these felds (Lévy, 2001, p. 5-6). As such, technology
is defned within a context that is dependent on the culture and the society in which the tech-
nology exists. This means that it is sensible to defne technology in plural even within a single
sociological context. Technology is an umbrella term that consists of diferent technologies.
This brings up the question if technology exists as autonomous entity, or if it’s integrated
tightly with the society it exists within. Technology is per defnition man-made and therefore,
an artifcial response to observable human phenomena. This means that the technology is
as much a part of the cultural and social context it resides within as its creators are. As it is
impossible to separate a human from her material environment, or from the semiotics of her
culture, it is impossible to separate the material world from the conceptual sphere where the
technology and it’s use-cases are conceived (Lévy, 2001, p. 4).
A premise for the development of new technologies from a humanist perspective is that the
intended users of the technology are open to innovation and are ready to embrace the qualita-
tive change in semiotics and environments that is the results of extensions of communication
networks (Lévy, 2001, p. X). Another important premise for the humanistic understanding of
technology is that the technology itself is no more than a sandbox for its users. The technology
12
Chapter 3
Theory
provides a framework, or a set of tools, for the users to use and create content, and it is the use-
case or the actual use that shapes the technology, not the other way around. In this context,
the division of a system into three entities consisting of culture, society, and technology can
be done, but only conceptually. This is because this model ignores the impact technology has
on both culture and society (Lévy, 2001, p. 5). In this model, technology can also be treated as
a product of culture and society, but again, only conceptually. This is because the three enti-
ties—culture, technology, and society—are not entities at all, but are made up of individuals.
It is these individuals who have relationships with each other. No relationship exists between
technology and culture, or technology and society, but the bonds are made by, “the multitude
of human agents who invent, produce and use technologies” (Lévy, 2001, p. 5).
This can be tied to a model by Terry Flew that divides the correlation between defnition
of technology and defnition of culture into three tiers going from relatively concrete to more
abstract. Lévy’s thought about technology lies somewhere between the second and third tier
where technology is defned by its use, and culture is seen as ‘social context’ - experiences of
the entities living in the society. But where Flew develops a model that shows the correlation
between technology and culture, Lévy argues that there is no such correlation qua the individ-
ual entities that makes up both technology and culture. It is all about individual relationships.
If these relationships are the producers of technology, then technology must have an im-
pact on the society that these relations make up. But is the evolution of society determined,
or conditioned by the advent of new technologies? It is important to note that the culture of
the society in which the technology is invented, or adopted, plays an important role in how
the technology is adopted and used, or if it is used at all. Think about the earlier example of
nuclear power. Many nations around the world have adopted fssion technology as a renewa-
ble and clean source of power. But other nations, such as Denmark and Norway abstain from
using the technology because of resistance from their respective populations.
A new technology can have a profound impact on society when it is introduced, but Lévy
makes the point that a society is conditioned, rather than determined by its adopted technol-
ogies, and that the same technology will have diferent impacts in diferent cultural climates
(Lévy, 2001, p. 6-8). The point is that the advent of the right technology at the right time can
nudge a society into a new phase, if the conditions are just right. But there is no telling if the
society would have arrived there by diferent means. Lévy uses the example of the stirrup, a
rather trivial and simple piece of technology to illustrate this point. The invention of the stir-
rup was a necessity for the medieval knights to be able to ride and fght in their heavy armour.
From Lévy’s point of view, this is an indication that the stirrup conditioned a society making
Figure 2: Realtion of technology and culture(Flew, 2008, p. 54)
Chapter 3
Theory
13
the foundation of chivalry possible, which in turn made it the basis for the feudal society
adopted by most of medieval Europe (Lévy, 2001, p. 6). But this evolution wasn’t determined
by the stirrup - it is certainly folly to attribute the change of the entire political landscape in
medieval Europe, and the idea of hereditary rule, which still lives on in some form or the other
in modern monarchies, to a piece of bent iron. The material device itself didn’t cause these
events; it conditioned them, as a small piece of the overall puzzle (Lévy, 2001, p. 6). In essence,
people cause change by using, or inventing, technologies - the technology conditions people to
determine the outcomes.
This view of technology makes the invention of the internet one of the most empowering
discovery in the history of mankind. All of the sudden, millions of people are connected, inde-
pendent of time and space, which normally are constraints for interactions. The internet is in
itself a technology, but it is populated with various other technologies all empowering its users.
In a way, the internet is a perfect metaphor for the relationship described earlier - technology
conditions, people determine - because of its nature as a sandbox. The internet is nothing
more than a network of connected conducting cables, granted a huge one, but nothing more
without its users. The internet and all of its standards, www, http, html, css, php, javascript
etc. is one huge conduit for content that is conditioned by these standards, but also conditions
whoever receives its message.
The nature of digital technology is that it is fuid and in constant motion. (Lévy, 2001, p.
9). Moore´s law illustrates this, as it is an observation of this fuidity. It states that the number
of transistors that is fnancially viable to ft onto integrated circuits doubles every two years,
meaning that raw computing power exponentially increases over time. This also means that at
a certain point, the technology has evolved to a level where the amount of computing power
is so great that the price for the average consumer starts to decrease, as most everyday tasks
become a trivial matter for most devices. This means that limitations disappear and Lévy’s
thoughts about how technology is actually about the activity of human groups starts to be-
come reality. He argues that what a technology is, what is does and so forth is all about the
social processes. It is the use of a technology that makes it what it is; not the technology itself
(Lévy, 2001, p. 10).
If we subscribe to this point of view, it means that the internet has been a deciding factor
in conditioning the modern consumer. But we also established that the internet is a contain-
er for other technologies, so it is necessary to narrow it down to examine what specifcally
conditions modern consumer culture. The internet as a whole has many names. A common
denominator often used to describe the internet in its entirety is cyberspace. But what does this
entail? It is not what makes up the internet in a literal sense that is important in this context,
but rather the philosophical thought: what is cyberspace?, what does it consist of ?, and how
do people relate to that?
The term cyberspace, which is today broadly used to describe all the content and inter-
actions that make up the internet, as experienced by its users, was coined by William Gibson
in 1984 in his fctitious work “Neuromancer” and means a universe of digital networks (Flew,
2008, p. 23). Lévy defnes cyberspace slightly diferent as: a communications space made
accessible through the global interconnection of computers and computer memories (Lévy,
2001, p. 74). The frst part of the defnition is relatively straightforward: cyberspace is the
space that people use to communicate and interact and this is enabled by the technology
of the internet. The second part is less clear, as it refers to computer memories. This is not
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a reference to the actual physical memory of the computers that form the internet, but a
reference to the data that I collectively stored and accessed via the network. This means that
one has to take previous forms and means of communication into account when defning
cyberspace in order to diferentiate computer mediated memories from other memories; in
this case, the distinction is between the data stored in digital formats and data stored in, for
example, books. Therefore, if cyberspace is defned as a communication space that is made
possible by the internet, it is important to look at pre-internet era communications, as these
stored memories, or texts, are diferent forms of communication. In the pre-internet era a
communication space required the physical presence of its participants, and accessible data
was stored and accessed either through print or oral delivery. Communication among people
has always relied on context. When written language was invented, humanity was faced with
the problems of losing context, as knowledge could now be distributed beyond the presence
of the original creator, meaning that the reader is oblivious to context in which the text was
written by the author. This is true for every form of knowledge, stored on any given medium,
and this causes difculties in reception and interpretation of the texts. The solution to this
problem is to create universal texts that are as close to being independent of context as they
can be. The scientifc community is doing this by sticking to the scientifc method which means
that the methodology used to create any given knowledge is described in detail, so that the
experiments can be reproduced in diferent contexts, thus making the original context mean
less (Lévy, 2001, p. 94-95).
During the development of semiotics when oral language evolved into written language,
a loss of context occurred. Humanity has tried to bring universality to linguistic technology in
an efort to create texts that can circulate anywhere. As a result of this, special requirements
for decontextualising discourse have been implemented in order to achieve universality. But
due to its technological roots, the written language is not able to determine the universal; it is
only able to condition it. The universal, in this context, is to be understood as an attempt to
introduce same meaning into every environment. In other words, the context of the sender is
to be rendered not important by the decontextualisation, meaning that the receiver is able to
perceive and interpret the contents of the text as they were meant to be(Lévy, 2001, p. 95-96).
In modern society, mass media is a continuation of this trend; it is a media that is tailored
to a one-size-fts all mentality and is broadcast to a huge audience. It is compatible with a
mental common denominator (Lévy, 2001, p. 96). Because of these factors, the mass media
is unable to take advantage of the context of a single viewer, or receiver. (Lévy, 2001, p. 97).
However, when television content is streamed live, as for example during a sporting event,
it has the ability to act on a diferent emotional plane. Although the context of each viewer is
diferent, the medium lets them partake in the context of the event as it is happening. But the
principal diference between this participation in the media-centric context and the oral one
is that it is impossible for the viewer to be practically involved. Everything is happening at an
emotional level, separating the viewer from the event by the physical distance (Lévy, 2001, p.
97).
“The true break with the pragmatics of communication brought about by writing can’t take place with tv
or radio because there is simply no place wiring these instruments of mass distribution for true reciprocity or
nonhierachical interaction among the participants. Rather than giving rise to living interactions among one or
more communities, the global context created by the media remains out of reach to those who remain it’s passive,
isolated receivers.” (Lévy, 2001, p. 97).
This is diferent in cyberspace, as users are in constant real-time connection with each
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15
other which in turn enables them to create a shared context (Lévy, 2001, p. 99-99). The nature
of the internet is based on hypertext which means that everything is connected. No matter
what the message is, it is connected to other messages and to other people interacting with said
messages, creating content in the form of comments and commentaries that spark debates in
real-time (Lévy, 2001, p. 99).
Cyberspace has a universality, just as the texts previously discussed, because there are no
ofcial guidelines for what kind of information that can be accepted into the information
fow. There is no regard for local semiotics (Lévy, 2001, p. 91). Lévy argues that cyberspace is
a self-governed entity where said information that is uploaded can have severe repercussions
on the uploader in the outside world, but cyberspace itself is in its essence, universal. (Lévy,
2001, p. 91).
Cyberspace has made generalised interconnection into a new form of the universal; a
universal that is “not articulated around a semantic closure brought by decontextualisation”
(Lévy, 2001, p. 99) meaning that cyberspace is able to carry the context of its information
through its communal nature. It is a universal that unites its users through contact and inter-
action with each other, rather than totalise itself through meaning, as previous attempts at
achieving universal texts have done. (Lévy, 2001, p. 99).
Cyberspace is able to reinstate some of the co-presence of verbal communication and
is able to deliver texts in their original context in a fuid medium that is not time-sensitive.
The global interconnectedness means that a student in Europe can attend a lecture from an
American university in real-time and inherit the context of the college classroom from his own
home, half a world away. But the same student can attend the same lecture at any other point
in time and still inherit the majority of the original context. In both cases, the student is a part
of a virtual community that extends the classroom and the discussion within into the digital
realm, thereby extending the context of the original text (Lévy, 2001, p. 75). This is one of the
defning qualities of Cyberspace.
It has now been established that there are diferent forms of th universal text and that cy-
berspace has it very own defnition of universality. But what does universality actually mean?
In the eyes of Lévy, in relation to cyberspace, the universal is humanity’s virtual presence itself.
And what about totality? Lévy defnes this as a, “stabilized collection of meanings of a plu-
rality,” meaning discourses, situations, events, and systems are put in place to decontextualise
content in under to make a text universal. The thing that cyberspace is doing is creating a way
to bring the humanity, which is the universal, face-to-face with its virtual presence without
depending on totality, which in this sense is the identity of meaning (Lévy, 2001, p. 102).
Lévy defnes cyberspace as not being a specifc technology or infrastructure, but a way
of making use of existing infrastructures (Lévy, 2001, p. 104). The growth of cyberspace has
been guided by three principles, according to Lévy: interconnectivity, the creation of virtual
communities, and collective intelligence (Lévy, 2001, p. 107). These virtual communities are
constructed on the basis of related interest among their users, shared or related knowledge
and/or shared goals, just like ‘regular’ communities. Cyberspace enables this independence
of the geographical location of the participant, which means that the pool of knowledge and
experience that can accumulate is much, much larger than what is possible ofine, even at,
say, a university (Lévy, 2001, p. 108). Within these communities, there are sets of unwritten
rules that participants follow consciously and/or subconsciously. For example, advertising is
not only not recommend, but strongly discouraged within these groups (Lévy, 2001, p. 108).
Collective intelligence is defned as the grouped knowledge of a community, when this
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community is working together towards a common goal, and is what Lévy refers to as the
spiritual aspect of every online community (Lévy, 2001, p. 111-113). The many facets of cy-
berspace and its universality discussed previously makes it a perfect incubator for collective
intelligence in the virtual communities (Lévy, 2001, p. 10). But it takes more than the exist-
ence of cyberspace to guarantee that collective intelligence will develop. As with any other
technology, cyberspace is not able to determine, but only condition by being an environment
with all the right characteristics for communities to thrive and grow (Lévy, 2001, p. 11). Lévy
agues that collective intelligence is not the only thing that is created in these conditions. He
mentions cognitive isolation and overloading, dependence, domination, exploitation, and col-
lective stupidity (Lévy, 2001, p. 11). What these all have in common is that they require active
participation which means that nonparticipants will be left behind, and people who haven’t
even entered cyberspace will experience even more exclusion (Lévy, 2001, p. 12). An example
of this exclusion is the elderly who, at the time of the publication of this thesis, are facing a
governmental ruling that all communications from public ofces will be digital-only. But these
excluded users are by far a minority in today’s societies. In 2010, 88% of the Danish popula-
tion had access to the internet from their homes and the average for the 27 members of the
European Union is 74% (Danmarks Statistik, 2011). Out of these 88%, 68% of Danes aged
from 17-74 years old use the internet to purchase goods or services. In special relation to the
exclusion discussed above, and the example of the elderly trailing in internet use, the statistics
show that 1 out of 5, or 20%, of the elderly aged between 65 and 89 are members of at least
one social media service, and 50% of this age group use the internet for shopping (Danmarks
Statistik, 2011).
Lévy argues that cyberspace is a thing that is here to stay and even though it’s impossible
to predict the future, it is possible to predict that the elements of cyberspace will continue on
the path they are on now towards integration, interconnection, and interdependent system
that are both universal and transparent (Lévy, 2001, p. 93). In the thirteen years that has
passed since he published his book on cyberculture, this is arguably what has happened. Lévy
continues this sentiment by drawing parallels to McLuhan’s claims that the medium is the
message by stating that if that holds true, then the message of this medium is: “and therefore if
the medium is the message as McLuhan claims, then the message of this medium is the universal, a transparent
and unlimited systematicity, one that efectively corresponds to its designers intentions and it’s users’ expecta-
tions.” (Lévy, 2001, p. 94).
This section has been a shallow dip into how the internet, or cyberspace, can be perceived
from a philosophical standpoint. The reasoning behind this is to form an understanding of
how the internet has come to be a factor in consumer behaviour through the development
of online communities and social networks. These communities feed the internet with in-
formation on almost any imaginable product in the form of reviews and tales of customer
experiences through the entire process of buying a product. The defnition of technology can
be of value, if it is translated into marketing thinking. By using the defnition of technology as
something that is able to condition, not determine, as a metaphor for the impact of marketing
activities, we are able to gain an understanding or at least a philosophical insight into why
some activities work better than others. If the marketers get it just right and hit the bullseye of
the current and social trends, the marketing will be ‘adopted’ and the nudge towards making
a purchasing decision will be more powerful than if not.
The next section will explore ‘New Media’ which is an umbrella term that encompasses
Chapter 3
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17
some of the thoughts from the previous sections, but does so in the context of other trends and
phenomena that have an efect on how we conduct ourselves in society. Through that we can
gain better knowledge on how we behave as consumers.
What is new media? a defnition.
There is more to the defnition of new media than the word suggests. A new technology
mediating something isn’t always enough to constitute a new medium and as technologies are
bound to age and become, at some point, obsolete, the new medium must be separated from
its underlying technology. Terry Flew uses a defnition of new media based on convergence
of three overarching terms: communications networks, content (media), and Computing/IT
(Flew, 2008, p. 2-3). In modern society, these three converge in digital media which can, and
does, encompass all of them. Flew defnes digital media as being forms of media content
that combine diferent characteristics such as text, data, sound, and images with the common
feature that they are stored in digital formats (Flew, 2008, p. 2). The digital element of media
content gives it a defning set of characteristics. Digital media is:
When looking at this table containing defning characteristics of digital media, then
subscribing to the defnition of new media as being digital media (Flew, 2008, p. 3), and fnally
comparing them to cyberspace, as it is discussed and defned in the previous section, the sim-
ilarities become clear. But the question is, is cyberspace a new medium, or is cyberspace the
carrier of new media content? It has been established that cyberspace is a communications
space in digital form built upon a technological base of networked computers. This means
that all of the criteria above are not just contained within cyberspace, but it is a product of the
technological evolution of the internet itself. One could therefore argue that new media is an
entity that lives wholly inside cyberspace, or to use a crude analogy, new media is the content
and cyberspace is the pipes it fows through - the infrastructure that facilitates the delivery of
the content.
But the lines are not as clearly drawn up as that. In the previous section, societal
changes are attributed cyberspace and its ability to condition change by its status as a technol-
ogy. So where does cyberspace end and where does new media begin? From my point of view,
the two are interdependent and so intertwined that it is impossible to distinguish the end of
one and the beginning of another - hence the complexity of the internet. Content becomes
infrastructure and infrastructure becomes content. Cyberspace and New Media are therefore
Figure 3: Defnition of Digital media (Flew, 2008, p. 3).
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an open platform for its users; a platform that inspires co-operation and creativity, and sharing
of knowledge.
It is the premise of this thesis that this platform has changed the way consumers
and corporations interact, and thus changed the way marketing communications should be
conducted. Social media has made consumer-corporation communication infnitely more
important than it ever was before. Consumers have gained an access-point where they can
publicly voice their opinions about everything related to a company, its goods or services, to
a huge audience. Websites like trustpilot.com aggregates consumer reviews from thousands
of users about all kinds of businesses - a fact business owners have to deal with. The power
of word-of-mouth is greater than ever before because new media has the ability to mediate
word-of-mouth through cyberspace and a single disgruntled customer’s experience can reach
and infuence hundreds to thousands of other potential consumers.
Cyberspace has also enabled near-global commerce - the global market is still limited
by taxation and import barriers that vary from country to country, but product purchases are
not limited by the physical location of the consumer anymore.
The rise of cyberspace and New Media have made consumers more critical, have
expanded their options - which means increased competition, have made consumers want
to participate in creation of products, and have given consumers a tool for their voices to be
heard. They endorse their favourite products and brands while showing public disdain for
the ones they don’t like. It is therefore vitally important for frms to integrate their marketing
and branding eforts in order to not send diferent messages to consumers. Fragmentation of
branding messages will confuse consumers and is not easily hidden or forgotten in a digital era
were information is ubiquitous.
The following sections will explore the idea of integrated marketing communications
and how that theory can be altered to apply to a marketing and branding model aimed to-
wards the consumers of the 21st century.
Marketing
Marketing is a huge and complex subject. It can be split into two overarching disciplines,
one concerned about building and maintaining brands, and one concerned on pure market-
ing. And each of these can be divvied into a myriad of subcategories. Marketing activities
include identifying the target audience, determining communications objectives, designing
the communications, selecting communications channels, establishing a total communica-
tions budget, deciding on the communications mix, measuring the results, and managing the
communications process (Kotler & Keller, 2007, p. 291). Branding activities include building
customer based brand equity, positioning brands, considering brand resonance and the brand
value chain, managing branding strategies, measuring brand performance, and managing
brand extensions (Keller, 2012).
The previous chapter established the importance of cyberspace in modern society, and
the fact that it has changed how information is consumed, which have an impact on market-
ing. The purpose of this chapter is to build on these realisations by examining a subsection of
the whole that is marketing and developing a framework that integrates brand equity and on-
line marketing into the promotional mix of an integrated marketing strategy. This framework
will be a tool for developing multiple-vehicle, multiple-stage campaigns, with focus on building
Chapter 3
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19
online marketing platforms that convey core brand values as well as marketing messages. First
the chapter will explore the thoughts of marketing professor Yoram Wind about how the
mental models of marketing might need to change, and the importance of building platforms
for consumers to interact with. Then integrated marketing communications will be explored,
and it’s promotional mix broken down into segments, and their internal relationships will be
examined. Finally the chapter will explore the core mechanics of branding, and a branding
philosophy centred around Lovemarks, and incorporate this into the proposed model.
Towards a new marketing paradigm
Building on the conclusion from the last segment it can be said that there is an ncreasing
importance of segments of empowered and sceptical consumers. This is due to the enormous
advances in science and technology, and it have resulted in increased complexity and uncer-
tainty in doing business (Wind, 2014, p. 3). This means that traditional marketing have to be
reimagined in order to ft to this new user base. Yoram Wind addresses this in his article by
examining 10 traditional mental models for marketing and explaining why they’re becoming
obsolete fast. One of the key points of is that marketers need to utilise the resources that the
new empowered user base provides them (Wind, 2014, p. 3). Innovation in diferent areas
challenge existing mental models, or cognitive maps. The iPhone changed the mental models
of mobile phones, google and Facebook changed the mental models of online advertising,
Napster changed the mental model of music consumption and so on (Wind, 2014, p. 4). The
point of this being, that through all of these innovations marketing as a whole has stayed based
largely on the same values for decades. This means that the current mental models of market-
ing are facing several challenges (Wind, 2014, p. 5). Seeing as digital media advances rapidly
marketing is afected by relatively new forces such as the emergence of big data, social media
and a global economy that means consumers have access to more channel and device choices
than ever before, which in turn result in shifting consumer characteristics (Wind, 2014, p. 5).
New business models, born out of new media, have implications on marketing activities.
Co-creation involves the consumers in everything from design and development to marketing
activities of the product in question. In this model customers become more like partners in
the frm, and this is especially relevant for the segment of empowered consumers. This model
naturally have major implications for the company’s product oferings and development plat-
forms (Wind, 2014, p. 7).
The open innovation model builds on the premise that including more people to solve a
problem yields results on a larger scale than trying to solve the problems internally. Wind uses
the iOS ecosystem as an example of the power of open innovation. Even with all the resourc-
es available to Apple it would be impossible to create all the content found on the App Store
(Wind, 2014, p. 7-8).
New revenue models have also appeared with the rise of new media. Some companies
have had success with reversing the usual pricing process by allowing consumers to decide how
much they are willing to pay for at certain service or product, with the baseline being that the
product/service is free. Another example of a new revenue model is the pricing strategy Apple
have implemented in it’s App and music stores. This consists of a single, or more recently a
couple, low price points for everything on the store (Wind, 2014, p. 8).
The holistic model is based on a realisation that consumers want a holistic solution, that
integrates every activity on every touchpoint to deliver a consistent message. The challenges
20
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in this is that a consistent strategy across all touchpoints often require cooperation between
multiple internal and external stakeholders, and the role of the marketeer in such a setup
will be radically diferent than it is today. This will require a new mental model for marketing
(Wind, 2014, p. 8).
It is this last approach that thesis thesis is trying to explore. Using Integrated Marketing
communications as a basis it is the goal to develop a strategy with even tighter integration.
Wind makes six points that he thinks needs to change in the mental model of marketing in
order for it to succeed in the 21st century. These are listed in the table below.


The types of consumers found in modern societies today are empowered by new media,
and require platforms rather than campaigns to be persuaded by marketing. A platform needs
to engage the consumer in four key areas; Platforms for engaging the consumers as co-de-
signers or co-producers of customised products or services, platforms that allow consumers
to manage their relationship with companies, platforms that engage consumers as salespeople
and marketing advocates and platforms to allow consumers to determine the price and value
of goods ofered (Wind, 2014, p. 10). The primary use of the platform marketing strategy is
to engage consumers with the company and to create a meaningful relationship by making
them feeling involved.
The second point is about bridging the gaps between departments in the corporate cul-
ture. It is important to integrate every department, doing every marketing activity in order to
achieve a holistic ofering. The communication that goes towards the consumers have to be
seamless, and this is only achievable if the internal divides between divisions are minimised
(Wind, 2014, p. 11).
The third point is referring to marketing techniques made possible by technological ad-
vancement in new media, and employed by the likes of Google and Facebook. As consumers
prefer customisable products, customised and personalised targeted ads are a efective addi-
tion to regular marketing campaigns (Wind, 2014, p. 12).
The fourth point is about the tighter integration of disciplines, and how open innovation
is a must for companies, since it is impossible to employ talent in every discipline and thus
impossible to be able to solve every challenge internally (Wind, 2014, p. 12).
The ffth point is to change the way corporations measure the efect of marketing cam-
paigns, the point being that they need to be more fexible (Wind, 2014, p. 13). The whole
aspect of measurement of efciency of marketing activities is not one that will be addressed
Figure 4: Proposed changes for the mental models of marketing (Wind, 2014, p. 14)
Chapter 3
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21
in this thesis.
The last point is a social one, and not one that will be easily implemented in corporate
culture. It is based on research that shows that growth of companies whose core value is to
improve people’s lives outperform frms that are solely trying to turn a proft by a wide margin
(Wind, 2014, p. 14).
The takeaway from this is that marketers need to develop holistic platforms that engages
the consumers, and that the digital space is a perfect venue to do this. This can be implement-
ed in the strategic framework by adding an online element as an explicit discipline to take care
of these challenges, and making it a central part of campaigns.
The idea of IMC
The subset of marketing that this dissertation is concerned about is called integrated mar-
keting communications. This i a marketing paradigm that itself is a subset of holistic market-
ing.
Holistic marketing is a concept that is based on the realisation that the development, de-
sign, and implementation of marketing programmes processes and activities are all connect-
ed, and that all of these activities have interdependencies that the marketer needs to take into
account. Holistic marketing recognises that a broad and integrated approach to marketing is
necessary (Kotler & Keller, 2007, p. 8).
Integrated marketing communications has its root in the 1980s where mass marketing was
the holy grail, and advertising where the go-to method for moving product. During this period
of time sales promotion, direct marketing and public relations were in rapid development,
and this meant that advertising was challenged as the dominant marketing discipline(Belch &
Belch, 2009, p 11). This was the birth of Integrated marketing communications, that is the
idea of combining the strengths of all of the marketing disciplines to communicate a unifed
message, to convey a single strategic idea to the customers, and to take advantage of synergies
among the promotional tools to create a marketing mix tailored to deliver the right message
in the right way (Belch & Belch, 2009, p. 11-13). In a larger scope IMC is the coordination of
all communications, all sources of brand or company contact with consumers. This is a good
idea, because it creates consistency in the communications from the company, which leads
to little to no confusion about a company’s brand, it’s product or service among consumers,
which in turn leads to higher brand equity (Belch & Belch, 2009, p. 11). But the existing
models for developing the promotional mix does not take branding and brand messages into
account, even though it is included in the defnition. Traditionally, the promotional mix is cho-
sen to convey a unifed strategic idea based on current marketing objectives. The model being
developed in this thesis is incorporating brand values into this mix, and changes the method-
ology to be more iterative in nature, with the purpose of creating consistency through multiple
campaigns, addressing diferent marketing objectives. This is in line with modern defnition
of integrated marketing communications, coined by Don Schultz, head of the Medill School
of Journalism at Northwestern university (Kitchen, 2004, p. 6):
Integrated marketing communications is a strategic business process used to plan, develop, execute and
evaluate coordinated, measurable, persuasive brand communications programs over time with consumers, cus-
tomers, prospects, employees, associates, and other targeted relevant external and internal audiences. the goal is to
generate both short-term, fnancial returns and build long-term brand and shareholder value. (Belch & Belch,
22
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2009, p 12)
This means that IMC is to be considered as an ongoing strategic process, not limited to a
single campaign, and not just tactical implementations of communications strategies, but as a
strategy for the company as a whole, as this defnition acknowledges the internal parts of the
process.
One reason it is important to integrate the approach to marketing is the sheer amount
of information fowing towards the consumers. They are being bombarded with information
from multiple media channels which means that a single message broadcast through a single
channel might very well be lost in the information fow. An example of this is the amount of
tv-channels available to the consumers. In 1995 the average US household received 41 dif-
ferent tv channels, a number that had increased to 104 in 2009 (Belch & Belch, 2009, p. 13).
The goal of the IMC approach is to afect the behaviour of the selected audience by
considering all the touchpoints between company and consumer, and integrating the message
through all marketing channels that are relevant to the audience. The important take-away
from this is that IMC starts with the customer and works back from there to determine and
defne which methods of persuasive communication should be deployed in order to afect
behaviour (Kitchen, 2004, p. 7).
The promotional mix is usually composed of the 5 disciplines listed in the table, but dif-
ferent disciplines are starting to emerge as independent pieces of the puzzle. Belch & Belch
lists the disciplines as: Advertising, direct marketing, interactive/internet marketing, sales pro-
motion, publicity/public relations and personal selling (Belch & Belch, 2009, p. 13), Kotler
and Keller ads events and experiences (Kotler & Keller, 2007, p. 10) and Kitchen ads internet
or cyber marketing and sponsorships (Kitchen, 2004, p. 30). The last section explored how
one might engage the modern consumer, and concluded that online platforms are a tool that
can be used for this purpose. Also technology is moving away from being mechanical and
becoming digital, and this infuences the behaviour of both producers and consumers (Kotler,
2010, p. 11). Therefore online marketing will be introduced into the promotional mix, as an
overarching term for interactive/internet/cyber marketing, while sponsorships and events is
Figure 5: Online marketing has been added to promotional mix. Adapted from the promotional
mix (Belch & Belch, 2009, p. 13), and the illustration of IMC disciplines (Kotler, 2006, p. 430)
Chapter 3
Theory
23
kept under the PR moniker. With this step the basis for the strategic framework is developed.
In order to take the next step in the process it is necessary to operationalise the disciplines
separate from each other and then examine their internal relationships.
The disciplines
Advertising is defned as any paid form of non-personal communication about an or-
ganisation, product, service, or idea by an identifed sponsor (Belch & Belch, 2009, p. 19). The
goal of advertising is to increase demand of a certain service or good either short or long term
(Eiberg, 2013, p. 248). But at the same time it is expected that the advertisements integrate
into the overall strategy of the brand and delivers a message that is balanced between the
tactical goal of the current campaign and the strategic goals for the corporate brand (Eiberg,
2013, p. 248). In order for an marketing activity to be classifed as advertising, advertising
space must be bought, it must be non-personal, as in mass-media or the likes of it, which
usually leaves no option for feedback. The digital age have somewhat changed this as more
and more adverts are published on websites and social media in addition to being broadcast
through mass media, but it does not changed the fact that advertising is still mostly produced
for print and television. Advertising is the best known form of marketing, it’s pervasive, as it is
able to reach geographically dispersed buyers efciently (Kotler & Keller, 2007, p. 288). It is a
very important promotional tool, as it is possible to build awareness quickly through adverts
run in diferent outlets. Advertising is also able to changes the perceptions consumers have of
products or brands, and is thus a valuable tool when trying to build brand equity (Belch &
Belch, 2009, p. 19). This is one of the reason why the majority of marketing money is spent
on advertising. In the United States alone, there are more than 200 companies that each spend
more than a $100 million on advertising each year. (Belch & Belch, 2009, p. 18-19). This is
because advertising have a low cost-per-thousand of only $22.87 in 2007 numbers. The cost-
per-thousands is how exposure of advertisements is measured, and is the cost the company
running the advertisement have to pay the network broadcasting the ad per 1000 exposures.
This means that advertisement is a cost efective way of reaching consumers (Belch & Belch,
2009, p. 19).
A subsection of advertisement is called corporate branding advertisements, and have the
purpose of branding the organisation in its entirety to a much wider palette of stakeholders
than the regular advertisement that usually is very specifcally targeted to a certain audience
(Eiberg, 2013, p. 248).
Public relations is a very important important tool in the promotional mix. The pub-
lic relations discipline can be split into two internal categories Publicity and Public relations
(Belch & Belch, 2009, p. 24). Publicity is defned as non-personal communication about an or-
ganisation, product, service, or idea not directly paid for or run under identifed sponsorship.
This is PR in a grey area between advertisement and the more ‘pure’ PR disciplines (Eiberg,
2013, p. 249). Publicity usually appears in the form of a news story, an editorial or an an-
nouncement, run in some media outlet. This means that the ad piggybacks on the credibility
of the media. (Belch & Belch, 2009, p. 24), and also means that publicity is about creating
relations with key players, so called infuencers, in order to blend the brand and marketing ac-
tivities discreetly with the values of the cultural segment the company wants to enter (Eiberg,
2013, p. 249). This method poses a risk due to fact that editors exist, and the infuencers are
24
Chapter 3
Theory
independent people. This means that the company is not in control of when, where, and how
the content is published. (Belch & Belch, 2009, p. 24). More ‘pure’ Public Relations activities
include communications within the organisation, investor, media and NGO relations, crisis
handling, issues handling and some forms of CSR activities (Eiberg, 2013, p. 249). Public re-
lations and publicity have three major qualities that makes it an appealing marketing tool; as
mentioned above the credibility is high, it has an ability to catch consumers of guard, as it is
not perceived as advertisements among the general public, and the potential for dramatisation
of the company or product (Kotler & Keller, 2007, p. 289).
Personal selling is a direct communication by a sales person made to a single customer
in order to gain a sale. Involves immediate and precise feedback from the customer that al-
lows the salesman to adjust the pitch on the spot. (Belch & Belch, 2009, p. 25). It is also
an efective tool to utilise late in the purchasing process, as it has the ability to build up buyer
preference, conviction, and ultimately action - closing the sale. The is achieved through per-
sonal interaction, cultivation of the customer by the sales representative and the human need
to supply a response after being courted by the salesman (Kotler & Keller, 2007, p. 289).

Direct marketing is the practice of communicating directly with target customers to
create a response, and/or a transaction. (Belch & Belch, 2009, p. 20). Traditionally not con-
sidered an element of the promotional mix, but has become an integral part of IMC strategies
for many companies. (Belch & Belch, 2009, p. 20). Usually direct marketing is associated with
direct mail, and mail-order catalogues, but it is much more. Database marketing, direct sell-
ing, telemarketing, and direct response ads. (Belch & Belch, 2009, p. 20). In the digital space
direct marketing has evolved into what has come to be known as targets advertising. This is
basically an evolution of database marketing enabled by big data. Entities such as Google and
Facebook are able to use data collected from users of their services to sell targeted ads, that
build on contexts of previous user actions. An example of this is Google serving ads based
on previous search behaviour. these are also known as Direct response ads, and are ads were
the customer is encouraged to buy the product directly form the manufacturer, immediately
(Belch & Belch, 2009, p. 20).
Online is the marketing discipline that is not always incorporated into the promotional
mix. Belch and Belch defnes online marketing as marketing activities that takes place on the
internet, on cellphones, through kiosks etc. (Belch & Belch, 2009, p. 22).The point of online
marketing is to use the capabilities of interactive media to entice consumers to interact with
brands and products, and also use the online platform to generate direct sales. Also, this dis-
cipline is incorporated as its own entity in the promotional mix in this thesis because it allows
for the construction of branding platforms discussed in the previous section, and facilitates
easy interaction between the consumer and the frm. It is my opinion that online marketing
is becoming pivotal in the marketing mix, and at some point in the future will replace adver-
tising as the main source of marketing expenses, because it has the ability to envelop all the
other disciplines - every other part of the marketing mix can be conducted through online
channels. Also, as discussed in the previous chapter, cyberspace is an integral part of society
which means that online marketing should take on a more central role in the marketing mix.
Sales Promotion is also sometimes referred to as trade promotion, as it is a discipline
Chapter 3
Theory
25
that focuses as much on the distributors as on the consumers (Eiberg, 2013, p. 248). A defni-
tion of Sales promotions are that they are marketing activities which provide extra value or
incentives for either the customers, the distributors or the sales force the respectively buy, dis-
tribute and sell the products. One of the strengths of sales promotion is that it has the ability
to stimulate immediate sales (Belch & Belch, 2009, p. 23-24). An example of how sales promo-
tion works in Denmark is the weekly printed advertisements that are sent out to households
from supermarkets and the likes. These are wholly sponsored by the product manufactures,
but are distributed by the retailer. (Eiberg, 2013, p. 248). On a more general level, examples
of consumer-oriented sales promotion and trade oriented slew promotions are respective-
ly: coupons, sampling, and premiums and promotion and merchandising allowances, price
deals, sales contests and trade shows (Belch & Belch, 2009, p. 23-24). Trade-oriented sales
promotions does not stimulate the immediate sale as the consumer oriented version. Instead
the point of the activity is to persuade retailers to stock, a lot shelf space to, sell, and promote
products (Belch & Belch, 2009, p. 23-24). Sales promotion is in particular useful for short-term
efete such as dramatising product ofers and boosting sales (Kotler & Keller, 2007, p. 288).
Now that the promotional mix have been defned, and online marketing has been added
as it own entity in the mix it is time to take a look on the internal relationships between the dis-
ciplines. This is important because tight integration relies on combining the strengths of each
discipline to cover for the inherent weaknesses. In order to do this one must gain an understat-
ing of how the elements of the promotional mix relates to one another - which elements are
overlapping and which are farther away from each other. This will help the marketer decide
which elements should tie into each other when planning a campaign, if all the elements are
not used. While this section has been a operational look at each discipline, the next will be a
more theoretical exercise, with the purpose of refning the framework, making it more useable.
The relationship between the disciplines
Fundamentally, the promotional mix can be split into to overarching domains, marketing
and public relations (Eiberg, 2013, p. 247). This should not be taken to mean that Public
relations is not a marketing activity, it is just such an important part of the promotional mix
that it can be separated from the other activities for this exercise. The purpose of this split is
to illustrate the internal relations of the promotional mix, most of the activities can be con-
sidered to either be basically advertising, public relations or somewhere in between. Most of
the promotional mix belong to the marketing domain, as they are aimed straight at the con-
sumers, and have the purpose of generating sales from the communications. Public Relations
are a domain all of it’s own because it is incredibly important in marketing communications.
The fgure above shows the overlaps between the domains, and the diferent disciplines in the
promotional mix. As stated earlier the advertisement is the ‘classic’ form of mass marketing,
and the majority of marketing budgets are still spent in this category. If the elements from
fgure x. that illustrates the marketing mix is superimposed upon this fgure, it is obvious that
Sales Promotion, Personal Selling and Direct Marketing are much closer related to each other
than they are to for example Public Relations. This does not mean that these disciplines are
any less important than the rest of the mix, but the knowledge is important when the overall
strategy for marketing to the modern consumer has to be laid out. It has been established in
previous chapters that the modern consumer is individualistic and critical, which is a perfect
26
Chapter 3
Theory
suit for personal selling, but the way this should be integrated into the overall strategy might
be through public relations conducted in the online space, which means the integration will
be a hybrid of three promotional tools, and as such the relationship status between them need
to be changed.
This observation makes it clear that it is benefcial to rearrange the disciplines in the pro-
posed model to better refect their internal relationships.
With the disciplines rearranged to better show their internal relationships it it time to im-
plement the core of the integrated marketing communications idea - the unifed strategic idea.
This is the foundation of an IMC campaign and is based on the communications objectives
Figure 6: Illustration of the marketing domains, adapted from (Eiberg, 2013, p. 247).
Figure 7: The promotional mix overlayed and connected to make internal relations visible
Chapter 3
Theory
27
of the campaign. These objectives are separated into goals and objectives, and the unifed
strategic idea should provide a solution to both. This is were the integration happens, and as
such it is necessary to incorporate it in the model. This i done by adding this element into the
centre of the promotional mix symbolising that the unifed strategic idea is connected to all
the disciplines and all that is done in relation to
the disciplines should spring from this idea.
An example of a goal and an objective for a
campaign could be: Objective: expand the tar-
get audience by building awareness of [Brand]
among a younger demographic. Goal: Acquire
new customers. All the marketing disciplines are
used in support of the this idea, and they should
communicate this. A unifed strategic idea could,
in this particular instance, be: A [Brand product]
is more than just a [product category], it’s an ex-
perience that is attainable for everyone.
This section has defned Integrated Market-
ing Communications, operationalised the pro-
motional mix and incorporated online market-
ing into this, as a solution for the need to create platforms that reach further than a simple
persuasive message, but engages the consumers to interact. The next step in developing the
proposed model is to incorporate branding, in order to make the model usable as a tool in
developing long term marketing eforts, rather than using it on a campaign to campaign basis.
Figure 8: The promotional mix after being
rearranged
Figure 9: The rearranged promotional mix, centred atound the unifed strategic idea.
28
Chapter 3
Theory
A note on customer-based brand equity
Customer-based brand equity, or CBBE for short, is a concept that is introduced in brand-
ing theory as a means to answer the questions; what makes a strong brand? and how do you
build one? (Keller, 2012, p. 68). CBBE takes a user-centred approach to brand equity by
approaching the subject form the perspective of the customer. This makes this paradigm a
good ft for explaining brand equity in the context of this thesis, as it has been established
that the modern consumer has become individualistic and critical and able to express these
feelings through cyberspace. The basic premise of CBBE is the realisation that brand value,
and the power of a brand lies with the consumers - their experiences with the brand is what
makes or breaks it. “…the power of the brand lies in what resides in the minds and hearts of
customers.” (Keller, 2012, p. 69). In branding theory CBBE is defned as the diferential efect
brand knowledge have on consumer behaviour. An example of this is a purchasing decision of
commodity goods in a supermarket. A brand with positive CBBE will have consumers react
more favourably towards it, and this means that it is more likely to end up in the cart and get
checked out (Keller, 2012, p. 69).
It is this diference that marketers should be aware of when designing campaigns, as it
is these points of diference that should make up the core brand values, and as such be the
implicit or explicit core of every message that the company communicates. And while com-
municating these values marketers should strive to make their brands even stronger by making
them more relatable. This is where the theory of Lovemarks enter the picture.
Lovemarks
Kevin Roberts is the CEO worldwide at Saatchi & Saatchi, which is one of the premier
advertising agencies in the world. He has revolutionised the business of branding companies
by transforming his agency into something more than the regular run of the mill advertising
agency. He has achieved this by guiding the agency along three principal ideas: Saatchi &
Saatchi is not an advertising agency, it is an Ideas company. They create and cultivate ideas
(Roberts, 2006, p. 21). The agency has to be one of the three leading agencies in the world,
preferably the one in the top spot, and most important of all what is the next thing after
brands? The answer to this question is what he has dubbed lovemarks, and it is an idea that
is worth exploring. Lovemarks is all about relationships, and about creating an emotional
response in consumers. (Roberts, 2006, p. 56) Roberts argues that due to the amount of in-
formation available to todays consumers, the most valuable currency available is attention
(Roberts, 2006, p. 33). This information overload is one of the primary causes for the need of
an emotional response. Because if a consumers feels anything towards the brand, the chance
of getting a slice of the limited attention is much greater than if the consumer is indiferent.
Roberts argues that love marks is the next big thing, something that replaces brands alto-
gether. But the way I see it is something existing brands should absorb, and learn to utilise in
addition to other branding activities. One thing doesn’t have to stop being a brand in order to
become a Lovemark, it can be both.
Chapter 3
Theory
29
The strategic framework
This brings us to the fnal proposed strategic framework. The disciplines have been ar-
ranged to correspond with their internal relations, online has been added as a discipline of its
own and the unifed strategic idea has been centred around the core brand values. The result
of this is a robust strategic framework for integrating persuasive communications that is both
able to fll the need to achieve immediate marketing objectives and the need to build consistent
long term communications.
The fact that the core brand values are based in the perception of the consumers makes
the framework somewhat user-centred. This ensures that communications eforts planned by
using this framework connects with the target audience in a deeper way because the positive
brand associations that has been built are the basis for the marketing message. It also allows
for a long term iterative approach to developing campaigns by building every campaign on the
same core message thus creating consistency in the marketing eforts.
Figure 10: The fnished strategic framework
30
Chapter 3
Theory
This concludes the theoretical chapter of the dissertation, that has been focussed on devel-
oping this framework. The next chapter will be a case study of Coca-Cola and their marketing
strategy. It will analyse a recent global campaign conducted by Coca-Cola named #Reasons-
ToBelieve by using the framework to deduct the strategy used.
4
#REASONSTOBELIEVE
Coca-Cola |k??k??k??l?|
noun [ mass noun ] trademark
a carbonated non-alcoholic drink.
ORIGIN late 19th cent.: from coca and cola.
(Stevenson, 2010)
4
32
Chapter 4
#ReasonsToBelieve
C
oca-Cola is one of the most successful brands in the world. It has consistently been
ranked by Interbrand as one of the most valuable brands in the world in the last
decade, with it currently being the third most valuable brand in the world (“Interbrand,”
n.d.). Coke has a strong online presence with more than 80 million likes on Facebook and nu-
merous popular websites (“Facebook.com/Coca-Cola,” n.d.). Coca-Cola has thus successfully
adapted one of the strongest brands in the world to the digital era and embraced the changes
needed to thrive in this environment. This case study will look into the marketing strategies of
Coca-Cola and what initiatives they are pursuing to build their brand and maintain its vitality.
It will also analyse the strategy behind the #ReasonsToBelieve campaign using the model that
was developed in the previous chapters, in order to examine it’s compatibility with a real world
campaign that has already been executed.
A brief history of the Coca-Cola Company
Coca-Cola was founded in 1886 by a pharmacist from Atlanta with the name of Dr.
John S. Pemberton. Pemberton created a favoured syrup that he took to his neighbourhood
pharmacy and mixed it with carbonated water. Doing so created a soda that could be sold at
fountains. Dr. Pemberton’s partner, Frank M. Robinson, came up with the name “Coca-Cola”
and the distinctive typesetting which is used in the logo to this day (“Coca-Cola History,” n.d.).
Prior to his death in 1888, Dr. Pemberton sold a majority share of the company to a busi-
nessman from Atlanta called Asa G. Chandler. Chandler expanded the business by distribut-
ing Coca-Cola to soda fountains outside of the Atlanta area. The next step in the development
came from an unexpected direction. This occurred when a reseller in Mississippi decided to
attach bottling machinery to the back of his soda fountain, and thereby became the frst to
make the beverage portable by putting it in bottles. This sparked the interest of three entrepre-
neurs who in 1899 in Chattanooga Tennessee, set up the frst large scale bottling facility after
securing the bottling rights from Chandler for just $1 (“Coca-Cola History,” n.d.).
Early marketing
In 1887, Coca-Cola started their frst marketing programme. This consisted of coupons
promoting free sampling of the product and ads taken out in newspapers. Promotional items
bearing the Coca-Cola logo were also placed in pharmacies around the country to spark in-
terest for the brand (“Coca-Cola History,” n.d.).
A problem faced by the marketers in the early days of Coca-Cola was the lack of a stand-
ardised bottle to sell the beverage in. This was essential due to the fact that there were more
than a 1000 diferent bottling plants at the time, each outputting product with diferent pack-
aging. The product needed a standardised bottle that would be unique and separate Co-
ca-Cola from the competition. In 1916, the bottlers agreed on the signature Coca-Cola bottle
that is so distinct that it can be recognised from the touch, in complete darkness (“Coca-Cola
History,” n.d.).
Since then the company have continued its growth, and has diversifed its oferings with-
out diluting the brand.
Chapter 4
Coca-Cola
33
T
he advertisement adopts a pattern of
pairing scenes two and two, with an
example of negativity frst, followed by
what Coke refers to as a “Reason to be-
lieve”, with copywriting that acts as ‘call
and response’. The establishing copy tells
us that there are thousands of reasons to
believe in a better world. In between the
shots with copy writing, we are sent back
to watch the choir of children, which in
itself sends a very strong signal, a group
of children is a symbol of the future, and
they are telling the viewer to believe,
through the lyric of the song. The ping
pong between the examples has character
of everything from mundane things to big
societal issues. The frst ‘pair’ of scenes
shown are a newsreader and someone
frosting a cake. This taps into the senti-
ment that most of newscasting is dedi-
cated to bad news, catastrpohees, crimes,
economical decline and the likes, con-
trasted by the universality of liking cake.
It’s a macro to micro comparison, but it is
almost universally relatable.
The next pair is targeting the
viewers on a personal level, making a
contrast that is widely relatable, and also
is accepted, at least in western culture,
as a fact of life that has become almost
satirical: everybody hates mondays. The
visuals compare the morning commute,
with three people sleeping in a train to a
lively party where everyone i happy. It’s
a stark contrast, it’s something everyone
knows, it’s basically everyday life. It taps
into an universal assumption that people
enjoy having time of more than they enjoy
working, which is an accepted notion in
western culture, even though it might not
be completely true »»»
#ReasonsToBelieve
34
Chapter 4
#ReasonsToBelieve
Success with product innovation
When developing new products, there are generally three choices for branding it: a new
brand can be established, the product can be applied to one of the existing brands, or a com-
bination of the existing brand and a new brand can be used (Keller 2012, p. 404).
Coca-Cola uses all of the above mentioned strategies. Fanta is an example of the company
creating a new brand for a new product. Instead of branding it as a Coke with a new taste,
the company chose to give it it’s own brand, along with it’s own personality. The diferent taste
variants of Fanta is then branded as their own thing, under the Fanta brand. An example of
this would be Fanta Exotic.
Coca-Cola only introduces new products under the ‘Coke’ brand if they are variants of
the classic coke. Examples of this are the sugar free products: Coca-Cola light, and Coca-Co-
la zero. This makes sense because Coke is so strongly associated with Cola, and introducing
these similar tasting, but sugar free alternatives expands the target of the classic soft drink
while retaining the Cola association.
New product development is often a way for a company to establish and maintain market
power (Cannon 1978, p. 222). This is true for Coca-Cola, who uses product innovation to ex-
pand, and to challenge the competition. The company also has a long history of establishing
new products, with Fanta being introduced in 1940, and Sprite in 1960 (“Coca-Cola Product
Descriptions,” n.d.). Coca-Cola has never strayed far from the beverage industry, but has tried
to explore new categories in this domain. Coca-Cola excels in new product development due
to their gigantic size meaning that there is little risk in trying to innovate. Because of this, they
can aford to cancel a product that doesn’t live up to expectations (Cannon 1978, p. 222).
One of the the most successful new products launched under the Coca-Cola brand is Co-
ca-Cola light (Zmuda 2011). It was also the frst brand to use the Coca-Cola name since 1886.
Coca-Cola light was introduced in 1982 and created an entirely new category of sugar free,
calorie free soft drinks (“Coca-Cola Product Descriptions,” n.d.). Coca-Cola is not historically
a company that makes sudden major shifts in its core product line, but the overwhelming suc-
cess of the launch of an entire new beverage category with Coca-Cola light, might have made
the management more inclined to try something similar again (Zmuda 2011). This might be
why they decided to change the recipe of original Coke; a decision that produced one of the
worst marketing disasters in modern history.
New Coke
One of the most famous marketing fascos in modern history is Coca-Cola’s launch
of New Coke. This beverage was meant to take business away from their main competitor,
PepsiCo and their Pepsi Cola product, by altering the formula of Coca-Cola to make it taste
sweeter, and more like Pepsi. The reason for doing this was declining marketshare (Zmuda
2011). Prior to launching New Coke, Coca-Cola drastically increased marketing spending,
to try to recapture the lost marketshare, but to no avail. It seemed like the only option was to
change the product (Zmuda 2011).
Chapter 4
Coca-Cola
35
The next pair is an attempt at tapping
into the internet culture, which by now is
a part of most peoples lives, and certainly
an important part of the lives of the mille-
nials, who might not be old enough relate
to the first two segments. The negative in
this pairing is public humiliation, the visual
is a student falling down some steps after
graduating, in front of his entire school. The
video itself is filmed in a style that make it
look like it was recorded on a phone by one
of his peers - it looks like a clip from youtube.
The positive is a cat doing stupid things, a
typical youtube video, with a copy that says
that there is 500 funny videos on the internet.
This makes a circle that other than mellenials
might not pick up on, the negative in this pair
could be one of the videos that is the very
positive, an extra depth that is appreciated by
the internet generation.
The next two pairings are about the
weather, with one being country specific,
and the other about the changing of seasons.
Danes complain about the weather all the
time, and combined with the worry about
climate change causing more violent weath-
er this visual og heavy rain with the copy:
“Even though the weather is often terrible” is
countered by a football stadium full of danish
flags, tapping into our national pride and love
of country while stating that: “we’re still the
happiest country in the world” referencing
a recent study that found the danes to be
the happiest populace of any country in the
world.
The next pairing is a variation on the
same theme, but is not country specific. It is
about the chaining of the seasons, with the
sentiment that summer, with it’s warmth and
long sunny days are better than the dark cold
of winter. This is a sentiment that is relatable,
certainly to the danish target audience, since
this is exactly how the chaing of seasons feel
like. It is also another accepted “common
cultural truth” and just like the one about
mondays sucking, it might not be true for all,
but everyone can relate to it, regardless of
personal feelings »»»
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Chapter 4
#ReasonsToBelieve
Coca-Cola did extensive research to fne tune the formula, including extensive taste-test
amongst consumers. All research showed that the new formula was superior to the old one,
and with those results Coca-Cola launched a massive advertising campaign for New Coke.
New Coke launched in 1985, discontinuing original Coke in the process. This caused
massive consumer uproar. Coca-Cola had not taken into account the rich heritage of the
Coke, and it’s ties to American popular culture. They didn’t think that their consumers cared
so deeply about the brand, and product - they hadn’t yet realised that the classic Coke is a
Lovemark (Roberts, 2006, p. 193). The company received truckloads of complaints per mail,
and an astounding 1500 phone calls a day, complaining about the discontinuation of original
Coke (Keller 2012, p. 4). This onslaught of consumer unhappiness was not foreseen by the
marketers at Coca-Cola, and in the end original Coke was brought back as Coca-Cola Classic
after being discontinued for only 77 days.
So was it a failure?
Coca-Cola spend millions of dollars developing and marketing New Coke, only to have it
fop massively when it hit the shelves. It is easy to describe this as a enormous marketing fail-
ure, and it is (Dubow & Childs 1998). But in a way, it did what it was supposed to do, just not
in the way the marketers had foreseen it to. When asked whether New Coke was a failure or a
success, Sergio Zyman, who was the chief marketer of Coca-Cola at the time, replies without
hesitation “it was a success. Are you kidding me?”(Zmuda 2011).
The reversal on New Coke was expertly marketed by Coca-Cola and marked a form
of rebirth for the company. By not having original Coca-Cola available while New Coke
was reigning, the company had inadvertently created an enormous demand for the beverage,
which meant that sales soared when it was reintroduced (Zmuda 2011).
So New Coke did it’s job not by being the new best thing since sliced bread, but by remind-
ing american consumers of how much the appreciated original Coke. What the marketers at
coke originally failed to realise was, that taste is only one factor in the decision making process
of being a soft drink. Consumers expect a certain familiarity when buying a soft erin with the
coke label, and the sweeter taste of New Coke did simply not provide that (Anderson 1993).
Modern Coca-Cola
Coca-Cola is still expanding and creating new product today, but one thing they have
learned from the New Coke debacle, is to not mess with their core product, the cola. Co-
ca-Cola is currently marketing no fewer than 108 brands in the United States alone. Of these
16 is grossing for more than a billion dollars a year (“Coca-Cola Product Descriptions,” n.d.).
The company is also using other avenues to continuing being the market leader in soft
drinks. The company is exploring social media, and is trying to establish an environmental
friendly image, by giving back a litre of water for every litre the company uses. In the social
Space Coca-Cola has over 33 million Facebook fans
1
, a massive marketing resource, that the
company can put to use (Ignatius 2011, p. 94).
1
A number that has reached 82,887,246 at this thesis went into print (“Facebook.com/Coca-Cola,” n.d.)
Chapter 4
Coca-Cola
37
The advert is now nearing it’s end, and the
revelations that this i Coca-Cola trying to sell
you sugary water, but before that there is a
segment about a touchy emotional issue, the
opposites being hate and true love. Hate is
illustrate by people vandalising a car, while
love is illustrate by a wedding. The thing that
makes this segment a bit touchy is that the
copy talks about “true love” and the visuals
show a same sex marriage. But while this is
a touchy subject, it is close to being resolved,
and Coke takes a relatively safe bet by joining
in with the majority who support gay rights.
They gain way more than they loose, and it
ties in with the brand message about being
happy and progressive at the same time. So
even though it is delving into a political sub-
ject, a thing that the rest of the advert, and
Coca-Cola in generally does not do.
The final segment is all about Coca-Cola. The
negative visual is two girls fighting with cope
writing that states: “for everyone who doesn’t
get along”. This is countered by a group of
happy people centered around a girl drinking
a Coke with the copy: ”there are many more
sharing a coke”. This is stating that Co-
ca-Cola brings people together, while giving
a nudge to a previous campaign that had the
catch phrase “Share a Coke”.
The advertisement is ended with a white
screen with the iconic Coke bottle and logo
surrounded by the campaign catchphrase
#ReasonsToBelieve and the overarching brand
slogan “Open Happiness”, making the brand
the ultimate positive, and an enabler for pro-
gression, joy and happiness, establishing that
Coca-Cola is much more than soft drinks •
38
Chapter 4
#ReasonsToBelieve
The spin-of products are also doing good. Especially Coca-Cola light, a product that had
a great launch in the eighties, and has continued to grow ever since is performing impressively.
It surpassed Pepsi as the number 2 soft drink brand in 2011, which is quite a feat. Coke re-
mains the number one brand by a large margin (Advertising Age 2011).
Coke from the inside
As previously stated Coca-Cola is the market leader in soft drinks. Not just in the US, but
also worldwide. Coca-Cola was rated as the most valuable brand in the world by Interbrand in
2011 (Keller, 2013), but has since been overtaken by both Apple and Google, and is currently
ranked third (“Interbrand,” n.d.). The interesting thing about-Coca Cola’s positioning is that,
while they make their living by selling soft drinks, they don’t position themselves as a soft drink
company. The Coca-Cola brand is as much a brand associated with entertainment as with
the cola it sells, at least internally. In 2003, the president of Coca-Cola, Steven J. Heyer, gave
a speech about Coca-Cola’s vision for future marketing communications. He highlights that
it is central to extend the brand, to make it mean more to people than the product itself. The
company should stride to make multiple contacts with its consumers, and the strength of the
connection this causes is measured by the emotional impact it causes. The consumers should
become what he refers to as ‘emotional capital’ to the company (Jenkins, 2006).
Brand extension builds on audience interest in particular content to bring them into con-
tact again and again with an associated brand. Following this logic, Coca-Cola sees itself less
as a soft drink bottler and more as an entertainment company that actively shapes as well as
sponsors sporting events, concerts, movies, and television series. (Jenkins, 2006)
Coca-Cola caters to the young and adventurous and it positions itself as a chic fashion
product, which is very much linked to the entertainment industry. The mission statement of
the company is, from the Coca-Cola website: “To refresh the world... To inspire moments of
optimism and happiness... (and) To create value and make a diference.” (“Mission, Vision &
Values,” n.d.).
The strategy of #ReasonsToBelieve
Coca-Cola is also a very interesting company when looking at their marketing strategy.
The proposed model is taking an iterative approach, having the core brand values being part
of every campaign, so that the message is consistent over a longer period of time. Coca-Cola
is doing this by running a never ending branding campaign under the slogan ‘open happiness’,
and then constructing marketing eforts that creates synergy with this, to promote certain sub-
brands and the like.
The campaign #ReasonsToBelieve is a recent example of Coca-Colas marketing eforts
towards the general public. It is primarily a campaign based on advertising, featuring a 60
second spot that have been broadcast on television throughout more than 70 countries, in
localised versions (Lara O’Reilly, 2013). The campaign also includes Out-Of-Home elements,
such as print, digital and cinema exposure (“Ogilvy & Mather London gives people ‘Reasons
to Believe’ in its campaign for Coca-Cola,” n.d.). All of these make up the marketing commu-
nications strategy for the campaign. #ReasonsToBelieve is a good case, because it is a highly
Chapter 4
Coca-Cola
39
emotional campaign, that emphasises the brand values as much as it tries to sell a product.
There are several reasons that enables Coca-Cola to do this, frst and foremost the fact that the
brand is widely recognised, and has a strong presence in the minds of the consumers already,
meaning that the campaign does not have to build awareness of the brand name itself, but can
focus on it’s core values. This is valuable to the case study, because the point of the proposed
model is to integrate this approach into the corporate culture of clients, and by doing this
enable implementation of these steps much earlier in the branding process. #ReasonsToBe-
lieve is interesting because it is a prime example of this approach. Besides this, the tag-line for
the campaign is a Twitter/Instagram handle, an encouragement to the consumers to engage
with the brand and share their own ‘reasons to believe’. The campaign also have websites and
Facebook pages to engage consumers, meaning that the campaign is very much aware of the
importance of digital tie-ins and integration (Lara O’Reilly, 2013).
So let’s take a look at the elements of the campaign, starting with the advert itself. As
stated previously it is a 60 second segment - making it double the normal length of television
ads, and presumable also doubling the media budget
need to run it. As it has been localised to ft 70 diferent
countries, all with diferent cultural values we will focus
on the Danish version, as this is were this dissertation is
based geographically. Also, the advertisement shares a
large part of source material, that the marketers have
deemed to be universal towards the target audience.
The advertisement is set to a musical background of a
children’s choir singing the 1986 single ‘You’ve got the
love’ by Candi Stanton, a tune that has more recently
been made popular by british band Florence and the
Machine in 2008 (“You Got the Love,” 2014). This
gives the advertisement a catchy musical backdrop,
that most of the target audience will be able to identify
as something familiar. The lyrics also support the emo-
tional message of the advert about sticking together,
and even though life has it’s downsides there is always
a positive way to experience the world, and fnally that
love conquers all. The ties in with the naming of the
campaign, sending a message that there is resins to be-
lieve in the good of the world, and the people around
you. This is powerful because it allows Coca-Cola to
be associated with positive happenings and experiences, whether they happen on a personal
or a more societal level. The music is also setting the stage for an interaction between the con-
sumers and the brand. As discussed earlier, the modern consumers is no longer content with
being fed information or marketing slogans in order to persuade them to buy a product. The
lyrics of the song tells the receiver that “You got the love” a communication on the personal
level that, when combined with the imagery, urges the receiver to be the change you want to
se in the world, express your opinions, Coca-Cola is giving you the opportunity to show every-
one else your reasons to believe. And this is were the integrated part of the marketing strategy
come into play. The advertisement urges it’s viewers to explore other parts of the campaign,
and interact with the brand through the channels that Coke has set up, which all send the
Sometimes I feel like throwing my hands up in the air
I know I can count on you
Sometimes I feel like saying “Lord I just don’t care”
But you’ve got the love I need To see me through
Sometimes it seems that the going is just too rough
And things go wrong no matter what I do
Now and then it seems that life is just too much
But you’ve got the love I need to see me through
When food is gone you are my daily meal
When friends are gone I know my savior’s love is real
You know it’s real
You got the love
You got the love
You got the love
You got the love
(“FLORENCE AND THE MACHINE - YOU’VE GOT THE LOVE LYRICS,” n.d.)
40
Chapter 4
#ReasonsToBelieve
same message about believing in the good of other people. This integration is crucial, as the
television advertisement itself does not show the actual product until the very end, in fact only
8 seconds of the 60 second advert identify the Coca-Cola brand as the sender of the message,
and only during 3 of these 8 seconds is the consumption of the product actually shown. This
is more than enough to tie the content of the advert strongly to the brand, and send the mes-
sage that it is in fact Coca-Cola that gives you reasons to believe in humanity, but percentage
wise it is a small part of the entire advertisement. Enter the online integration. Instagram,
a popular picture sharing service, and part of Facebooks social network, is overfowing with
user generated content showing of coke products along with the hashtag #ReasonsToBelieve,
Coca-Cola has successfully engaged it’s customer base, and they are now efectively doing the
marketing for them (“Coca-Cola - 2013 Year in Review,” n.d.).
If we apply the model that was generated from the theoretical discussion of how to apply
the marketing mix efciently towards the modern consumer to Coca-Cola and this campaign
we get this:
This show that this particular campaign incorporate three of the marketing disciplines
into its campaign, and that it is essentially letting the advertisement and public relations work
fuel the user centred digital part of the campaign, shifting the main focus of the marketing
from the traditional marketing tools into the digital domain. The reason that the three other
disciplines are not integrated as tightly as the rest is the global nature of the frm, and the
campaign. There three sales oriented disciplines are more local than global, it is for example
impossible to do global sales promotion, because of diferences in markets, distribution chan-
nels and currencies. Another thing is that soft drink products can be considered as commodi-
ties, and Coca-Cola’s Cola product is established as a market leader. The frst means that sales
Figure 11: The strategic framework applied to the #ReasonsToBelieve campaign
Chapter 4
Coca-Cola
41
promotion is happening on a scheduled basis, soft drinks are always on ofer somewhere. It
also means that personal selling is not economically viable because of the low return on each
sale. The second means that direct marketing tactics, such as sampling, is not needed, since
consumers are already familiar with the product. Also the thing that sells commodities over
all others is brand value and loyalty. As such this campaign is supposed to build brand loyalty,
more than it is supposed to drive direct sales.
And by doing this Coca-Cola is proving that the theoretical thoughts behind the pro-
posed model can be executed in praxis.
5
5
conclusion |k?n?klu??(?)n|
noun
the end or fnish of an event, process, or text: the conclusion
of World War Two.
• the summing-up of an argument or text. in the conclusion we
highlight these and other important issues.
ORIGIN late Middle English: from Latin conclusio(n-), from the verb concludere
(Stevenson, 2010)
CONCLUSION
44
6
Chapter 5
Conclusion
A
s previously stated both marketing and branding are very complex subjects. This the-
sis has been an attempt to expose how the rise of the internet has afected society and
the consumers that inhabit the society. It has developed a strategic framework for integrating
the promotional mix under the paradigm of holistic marketing and tested this framework
through a case-study. All of this has been done in order to provide an answer to the problem
statement that is formulated as following:
What is the impact of digital media technology on marketing communications, and
how can online marketing be incorporated in a generic strategic framework for holistic
marketing to the modern consumer?
Through the analysis of cyberspace and new media has made it clear that digital media
has a very profound efect on the way marketing communications should be done. This impact
comes in the form of changed consumer behaviour. Modern consumers are individualistic
and critical, and digital media has given them way to voice their concern, satisfaction and dis-
satisfaction in a very vocal way to a huge audience. Digital media also facilitates the opening
of a wide variety of purchasing channels, and can cause information overfow. It is therefore
really important for marketers to integrate their communications between multiple channels
and send a consistent message to consumers.
The second part of the problem statement has been solved by analysing marketing theory
and operationalising the elements of the promotional mix. This has resulted in the proposed
strategic framework that incorporate online marketing as a discipline of it’s own, and inte-
grating the internal relationships of the disciplines in the model. Furthermore core brand
values has been intreated as the core element of the framework in order to create a strong
unifed messaging element to marketing campaigns.
In regards to the use of a case study to test the validity of the framework tit can be con-
cluded that the internal validity of the framework is solid, as it has been successfully applied to
the case of Coca-Cola’s marketing efort. However, the external validity poses some questions
as it is not tested how well the framework translates to other marketing campaigns with difer-
ent objectives, and campaigns by companies with diferent corporate cultures than Coca-Co-
la. But due to the frameworks origins in proven theory I believe it is reasonable to assume that
the framework is scaleable, an usable for all sizes and kinds of companies and organisations.
6
discussion |d??sk??(?)n|
noun [ count noun ]
a detailed treatment of a topic in speech or writing. see Appen-
dix One, for a more detailed discussion.
ORIGIN Middle English (denoting judicial examination): via Old French from late Latin dis-
cussio(n-), from discutere ‘investigate’
(Stevenson, 2010)
DISCUSSION
46
Chapter 6
Discussion
T
his dissertation has a basis in media studies, and because of that focusses heavily on
the online part of the promotional mix and it’s associated disciplines, and deals less
with the likes of sales promotion. It is also focussing heavily on a small part of marketing that
belongs only to a certain branch of marketing theory. This is a product of the media studies
angle chosen as this subset of holistic marketing is very like the holistic approach used in de-
veloping media strategies. The danger of focussing so heavily on something that is a subset of
a much larger feld is that the connection to the other elements of the feld might be obscured
by th focus. In this regard is important to remember that the proposed framework only is
a part of the process of developing a marketing plan. It is an improvement on the current
models, but it cannot exist as an independent entity. Regular branding activities must still be
conducted in order to establish the core values that is the foundation for this framework, and
market analysis and segmentation must still take place in to establish marketing objectives and
formulating a target audience that the message can be tailored towards. The strength of the
framework lies in its ability to tightly integrate the broadcasting of this message to the intend-
ed target. A factor that is completely ignored in the dissertation is media buying and media
budgets, which are a large part of the considerations leading up to the choice of elements
among the promotional mix. But by providing tighter integration the proposed framework can
increase the efciency of the funds available, as the proper disciplines can be coupled to create
the most efective communication.
In establishing the premise for the development of the framework the thesis relies heavily
on the thought of french philosopher Pierre Lévy. His work is mainly concerned with the
creation of collective intelligence in cyberculture, and the formations of groups in the digital
space. But when exploring these subjects deeper realisations of the nature of user behaviour
on the internet is revealed. I feel that approaching the consumer behaviour from this unusual
angle - at least when talking about marketing - brings a deeper understating of the impact
internet has had on society than just subscribing to the marketers version which is that the
internet has empowered consumers by giving them more choices as is put forward by for ex-
ample Yoram Wind. But it also explains a lot about communications in the online space, and
highlights its strengths - something that can be utilised when developing persuasive communi-
cations. Another of Lévy’s strengths are the polemical nature of the text, it reveals some issues
about cyberspace and the information age that are sometimes lost in other, more subtle, works
(Day, 2008, p. 62). In exploring this area I could have brought in Alvin Tofers theory of the
3 waves and the concept of the prosumer (Tofer, 1989), but I omitted this because, in relation
to marketing, the prosumer moniker relates to product categories, and not segments of the
user base. Besides Wind explores the same ideas but put them in relation to marketing. I also
chose to omit Niels Ole Finnemann’s theories about the fve types of information society and
the media matrix (Finnemann & Center for Internetforskning, 2001), as i think it is apparent
that the part of the world that marketers are concerned about lies within the domain of the
5th info-society. I also feel that the focus on the structural composition of the internet as a
fnite amount of nodes is less relatable to marketing than Lévy’s points about the meaning ly-
ing in the relationship between the nodes are less relatable to marketing. Finally Finnemann’s
work does not cover the deterministic or conditioning nature of the internet as a technology,
which is i a relevant point that can be translated to marketing - the dream of any marketer is to
be able to determine consumer behaviour through the communications, but is the technology
used to transmit the communications itself is incapable of anything other than conditioning,
the communications can never break loose of these boundaries.
Chapter 6
Discussion
47
On the methodology
The methodology proposed an used throughout this thesis mixes diferent disciplines in or-
der to create knowledge of the subject matter from a new point of view. Because of this, it is
important to evaluate the validity of the methodology to make sure that the fndings are not
forcing knowledge belonging to one paradigm into another through the analysis.
As established throughout the thesis marketing is to be considered as a form of commu-
nication. Within the feld of communication two overarching paradigms exists, one being the
paradigm of the social sciences the other being the paradigm of the humanities (Sepstrup
& Fruensgaard, 2013, p. 36). The possible confict of the methodology arises due to the fact
that the basis of this thesis is the humanistic school of thought, while marketing belongs to
what is known as operational theory under the social sciences. Operational theory is theory
developed as guidelines to solutions of practical problems, which encompass marketing theory
(Sepstrup & Fruensgaard, 2013, p. 35). In the past the two paradigms of communications have
been completely separated, but in modern sciences the boundaries are less clear (Sepstrup &
Fruensgaard, 2013, p. 36).
The paradigm of communications under social science is defned by the gathering of
empirical evidence and the observation of connections that are causal in nature. In other
words, the paradigm operates under the assumption that it is possible to prove cause-efect
relationships through quantitative analysis. This is what is basis of most marketing theory,
and it is the basis of all the theories that is used to describe marketing activities throughout
this thesis. The paradigm describes communications in two ways; it is the receivers use of the
communication that determines the efect of the media, and this efect is understood through
causal hierarchies that are modifed through individual social characteristics. This means that
when a text is transmitted it is the actions this text causes the recipient to take that determines
the efect of the text and the media it is transmitted through. If no action is taken, the efect
is not existent (Sepstrup & Fruensgaard, 2013, p 36). In terms of marketing this relates to the
amount of sales generated by an advertisement.
The paradigm of communications under the social sciences:
Is to be descriptive and a determinator of actions in correlation with the goals of the
sender
Relies on empirical observations and on correlations, that have the characteristics of
causal relationships
Uses a quantitative methodology
Regards the receivers use of the communication as determining of the efect of mass
media
Understands the efect of the media through hierarchies of efects that are modifed by
individual social characteristics (Sepstrup & Fruensgaard, 2013, p. 36)
This paradigm is dominant in praxis, as its focus on cause and efect makes it easily meas-
urable, which is an important part of marketing communications.
The paradigm of communications under the humanities difers somewhat, as it is based
on the qualitative method, is focussed on interpretation and doesn’t always assume a correla-
tion between causes and efects. This paradigm is:
48
7
Chapter 6
Discussion
Aimed at understanding, but with a developing interest for the causal.
Interpretive in its nature
Qualitative in its methodology
Not assuming correlation between cause and efect
Assuming that both the message and the reception of the receiver are central in the un-
derstanding of media use and its efects (Sepstrup & Fruensgaard, 2013, p. 36).
Under this paradigm, the text - the message itself - gains meaning in the communicative
process through the individual and situational reception of the receiver. This means that the
context of the individual has the power to change perception of a message, even though the
message it meant to be universal. This have a massive impact on advertising, and by using new
media it is actually possible to, to a certain degree, target advertising at individuals and try to
make them ft into the personal context of the target. The fact that the reception of a message
can change based on the context of the receiver also means that the fnal ‘responsibility’ to
interpret and make sense of the message lies with the receiver. As with all communications,
there is a possibility that the message will be misinterpreted, even though the sender is trying
to transmit a universal message (Sepstrup & Fruensgaard, 2013, p. 36).
As stated earlier, these paradigm, diferent as they may be, have begun blending, blurring
the borders of each discipline. The methodology and through that the way knowledge is cre-
ated still difers to much for the paradigms to become one whole, but in real life scientist mix
and match from the toolsets provided by the paradigms to create a mashup of methodologies
and theories to gain new understandings in relation to a specifc problem. In other words, in
real world usage one should strive to land somewhere in-between the two paradigms (Sepstrup
& Fruensgaard, 2013, p. 38).
These are the premises the methodology of this thesis is build on. The dissertation is split
into two parts, each belong to one of the paradigms in order to create a multifaceted view
of the problem, then the conclusions from each part are blended together to create the fnal
framework, that is the product of this thesis. This is done in order to get a new take on the
theory of integrated marketing, that is highly operational in its nature, and I feel that blending
in some ideas about media, technology and society from the humanities adds value to the
overall feld.
7
literature |?l?t(?)r?t??|
noun [ mass noun ]
books and writings published on a particular subject: the liter-
ature on environmental epidemiology.
ORIGIN late Middle English (in the sense ‘knowledge of books’): via French from Latin litter-
atura, from littera
(Stevenson, 2010)
LITTERATURE
50
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