Marque Magazine - April'23 Edition

MARQUE

THE MARKETING CLUB OF IIM ROHTAK Edition

FROM THE EDITOR

Welcome to the very special edition of Marque magazine. I am delighted that the marketing club has been given the chance to use its monthly publication as a forum for all young marketing enthusiasts who want to express their opinions on a variety of themes. It brings me great pleasure to write this letter as Editor of this one-of-a-kind issue of the magazine.

The theme of February's edition revolves around neuromarketing, web 3.0 marketing, marketing automation and much more.

I extend my warmest gratitude to all the authors for their interest, enthusiasm, and well-documented submissions of excellent articles and participation in this magazine’s building. I firmly believe that no matter how your magazine is delivered; either at your doorstep or to your computer, printed on glossy stock or on cheap tabloid paper, appearing on your iPad or your cell phone screen, it is still the work of an editorial team for a discerning audience, a beautiful and meaningful package of ideas, words and images put together by a group of experts for its readers.

While technology efficiently delivers new stories to our desktops, lap- tops, and mobile devices, magazines are all about context –how ideas and images are presented in relation to one another and spanning a broader perspective. We, the editors, will always strive to keep you engaged.

Learning From Your Competitor To Build A Better Product

Author: Veena Epari IRMA - Institute of Rural Management, Anand

In the year 2010, a mere 25 years after it first came into existence, Blockbuster, the uncontested champion of the video rental industry, filed for bankruptcy Netflix had been instrumental in putting the American-based video rental service giant, which once had 65 million registered customers, to rest This was the result of 13 years of carefully analyzing its business competitor and building a better product, an improved business model, and a better value proposition for the customers Netflix had finally emerged as the biggest player in the industry

Back in the 90s, Blockbuster thrived with more than 9000 brick-and-mortar retail stores across the US, offering home videos and video game rentals to customers A customer looking to relax on a Friday night could leisurely stroll into one of the stores, pick out a movie title from the collection and rent it for a specific period of time Despite the popularity of the product offering, the business model of Blockbuster relied on rental fees, and to a large extent on late fees, which was often a cause for frustration for customers. In 2000, this fee mounted to a whopping $800 million, accounting for 16% of Blockbuster’s revenues.

Making the customer the hero of the story, Netflix swooped in and was able to offer the customers a better experience. It analyzed the gaps in the existing product, specifically the late fee issue, and introduced a new way to relax – rent out DVDs for as long as you want, without having to worry about fees piling up in the background Not only was their business model better, but they were able to improve on what Blockbuster had created

As suggested by Barney (1991 – VRIN Framework), firms that are able to utilize resources to create value that is not being implemented by any current or potential competitor can achieve a competitive advantage Companies that use precious resources to set up feedback and input routes and prioritize incoming changes from market research/stakeholders are the ones that not only succeed but sustain in the long run

Employing the same principle, Netflix used the mail delivery system instead of physical stores and used a subscription-based model that allowed the users the convenience of returning the DVD without any added pressure, eliminating the concept of late fees entirely. A post-paid return sleeve shipped along with the DVD ensured that

"You should learn from your competitor, but never copy. Copy, and you die."

the customer could easily return the spent DVD in exchange for a new title.

The growing popularity of streaming media in the late 2000s served as the final nail in the coffin for Blockbuster. Its bullheadedness to not adapt the product offering to the customer’s needs and Netflix’s sensibility to continuously evolve with changing times made all the difference. Soon Netflix began streaming content via the internet instead of DVDs, started producing its own content and expanded geographically across the globe. With its presence in more than 190 countries and more than 231 million paid subscribers, Blockbuster was left way behind Any attempts to catch up was now too little, too late

In a classic case of David vs Goliath, Netflix had won Just as David picked up Goliath’s very own sword to go for the final kill, Netflix had managed to take Blockbuster’s product, improve on it, and do away with Blockbuster forever Such is the power of building a better product

The pareto principle or the rule of 80-20 explains that 20% of the problems cause 80% of the pain to the customer Being receptive to this and improving the product along these inputs allows the company to become indispensable to the customer However, this is not a one-time investment

The process must be ingrained into the very soul of the company - bettering the product perpetually. One-way companies achieve this is by investing in market research and funding their R&D departments. In 2022, Amazon spent $42.74 billion on R&D, an amount almost equal to the GDP of Nigeria. All the giants of the business world – Apple, Google, Tesla and many more swear by the principle of continuous improvement via their product strategy.

The underdog story of Netflix does not end here – the threat of competitors, looking to use the same strategy (that Netflix did to oust Blockbuster), is still looming Amazon via its prime video services is finding ways to one up Netflix – by adding more titles, offering easier interfaces and a more holistic experience Looks like David is facing yet another hurdle, not from Goliath, but from another version of David itself That being said, the core of the matter doesn’t change –continuous product improvement is the elixir to success in the business world

As Benjamin Franklin once said, ‘When you’re finished changing, you’re finished’, learning from your competitor to build a better product will never go out of relevance in business

Neuromarketing

Author: Shreyas Kulkarni

Maharashtra Education Society's Garware College of Commerce (MESGCC), Pune, Maharashtra

Neuromarketing is a relatively new field of marketing research that uses neuroscience to understand how the brain responds to marketing stimuli By analysing neural activity, researchers can gain insights into how consumers process information, make decisions, and form opinions about products and services

The use of neuromarketing has gained popularity in recent years, as companies seek to gain a competitive edge in an increasingly crowded marketplace Some of the benefits of neuromarketing include the ability to create more effective advertising campaigns, design products that better meet consumers' needs, and gain a deeper understanding of consumer behaviour

However, as with any new technology, there are also ethical concerns surrounding the use of neuromarketing. Some worry that using neuroscience to influence consumer behaviour may be manipulative or even deceptive. Additionally, there are limitations to what can be learned from neuromarketing studies, and it is important to balance this approach with other research methods.

How Neuromarketing Works?

Neuromarketing is a field of marketing research that uses neuroscience to better understand the way that marketing stimuli affect the brain It involves analysing neural activity in response to various marketing techniques, such as marketing, pricing, and product packaging techniques.

To measure neural activity, neuromarketing researchers use a variety of tools, including Electronic brain imaging (EEG) and functional magnetic resonance imaging (fMRI) (EEG). fMRI tracks variations in blood flow. in the brain, which can indicate which areas of the brain are active during a particular task. EEG detects brain electrical activity, which enables researchers to monitor changes in brain activity over time.

Neuromarketing studies are typically conducted in laboratory settings, where participants are exposed to various marketing stimuli while their neural activity is monitored Researchers can then analyse the data to determine which areas of the brain are most active in response to each advertisement, and use this information to design more effective marketing campaigns

Benefits of Neuromarketing

Neuromarketing offers a variety of benefits to companies looking to gain a better understanding of consumer behaviour and create more effective marketing campaigns Here are some of the key benefits of neuromarketing:

Deeper insights into consumer behaviour: For academics, neuromarketing offers a better knowledge of the subconscious processes that influence consumer behaviour by analysing neural activity, researchers can uncover insights things would be challenging or impossible to get. through traditional marketing research methods.

2. More effective marketing campaigns: Companies may create marketing strategies that are more likely to be successful by understanding how customers absorb information and make decisions. resonate with their target audience. Neuromarketing insights can be used to create more effective advertising messages, design products that better meet consumer needs, and develop pricing strategies that are more appealing to consumers.

3. Improved product design: Neuromarketing can also be used to gain insights into how consumers interact with products. By analysing neural activity while participants use products, researchers can identify design features that are more appealing to consumers, and use this information to produce goods that better satisfy consumer demands

4 Increased ROI: By creating more effective marketing campaigns and products, companies can increase their return on investment (ROI) Neuromarketing insights can help companies allocate their marketing budgets more effectively, by identifying which campaigns are likely to have the greatest impact on consumer behaviour

5 Competitive advantage: Companies that use neuromarketing to gain a deeper understanding of consumer behaviour may have a competitive advantage over those that rely solely on traditional marketing research methods By using the latest tools and techniques to gain insights into consumer behaviour, companies can stay ahead of the curve and create more successful advertising efforts that connect with the intended audience.

Ethical Concerns

As with any emerging technology or research method, there are ethical concerns surrounding the use of neuromarketing. Here are some of the key ethical concerns associated with neuromarketing:

Informed consent: Neuromarketing studies often involve monitoring participants' neural activity while they are exposed to marketing stimuli. It is important that participants fully understand the risks and benefits of participating in the study, and provide informed consent before their neural activity is measured

Privacy: The collection and analysis of neural data raises privacy concerns, particularly if the data is used to create profiles of individuals or

to make decisions about their behaviour. Companies must ensure that participants' data is kept confidential, and that it is not used for purposes other than the original research study.

4. Manipulation: Some critics argue that neuromarketing can be used to manipulate consumers, by targeting their subconscious desires and influencing their behaviour in ways they may not be aware of. Companies must ensure that their use of neuromarketing is ethical and does not involve intentionally manipulating consumers.

5. Lack of regulation: Neuromarketing is a relatively new field, and there is currently no standard regulatory framework governing its use This lack of regulation can make it difficult to ensure that neuromarketing research is conducted ethically and that participants are protected

Limitations of Neuromarketing

While neuromarketing offers a variety of benefits, there are also some limitations to the field that should be considered Here are some of the key limitations of neuromarketing:

Limited sample size: Neuromarketing studies typically involve small sample sizes, which can limit the generalizability of the results In addition, the cost of conducting a neuromarketing study can be prohibitive, which may limit the number of participants that can be included in a study

Complexity of data analysis: The analysis of neural data can be complex, and requires specialised expertise in neuroscience and data analysis. This can make it difficult for marketers and other non-experts to interpret and use the results of neuromarketing studies.

Lack of real-world context: Neuromarketing studies often take place in laboratory settings, which may not accurately reflect real-world consumer behaviour. It can be difficult to replicate the complexity of realworld marketing environments in a laboratory setting, which may restrict the application of the findings to situations involving marketing in the real world.

Results interpretation: Although neuromarketing can offer insightful analyses of customer behaviour, the interpretation of the results can be subjective Researchers may disagree on the meaning of certain neural responses, or the best way to use the results to inform marketing decisions

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Web 3.0 Marketing

Author: Saurabh Chauhan Deen Dayal Upadhyaya Gorakhpur University, Gorakhpur

Web 3 0 marketing is a concept used to describe marketing that is focused on creating personalized and engaging experience for customers while businesses understand and connect with target audiences providing data security rather than only promoting product and services by using new and emerging technology.

Semantic web, artificial intelligence, ubiquity, block chain and decentralization of data are common emerging technology used in web 3.0 marketing. By using these technologies, businesses can create more effective and efficient marketing campaign, contents and ads that help in acquiring customer engagement in campaign, provide personalized experience, build trust as customer data is safe at decentralized platform.

Strategies for Web 3.0 Marketing

Web 3 0 is so impactful for marketing if a proper plan and strategy is used Web 3 0 marketing helps marketer to know its target audiences needs, preference, that creating targeted campaigns which help in enhancing personalized experience A proper web 3 0 marketing strategy can be developed by marketer by following these steps:-

i Follow latest trends and technologies

ii Use NFT in content creation and hold your events in meta verse

iii Pay people to consume your content and making use of smart contract

iv Builds your own social media communities

v Understand block-chain and create decentralization application

How web 3.0 marketing help in enhancing customer experience?

Web 3.0 is considered as next evolution of internet marketing and it is clearly characterized by more immersive and interactive experience for users. Semantic web, artificial intelligence, and machine

learning are common emerging technology used in web 3 0 marketing, that help in enhancing customers experiences in different way which are given below:-

Provide personalized experience: Web 3 0 marketing helps marketers to collect data from social media, customer online transactions, feedback and from other sources. By analysis of such data, marketer can predict customer needs and preferences, by which business can promote targeted marketing campaigns and content that provide customer personalized experience.

Enhance privacy and security: Web 3.0 marketing uses emerging technologies such as block-chain which provide privacy and security for customer data and ensure that their data is safe and secure and they have control over their data.

Decentralized content: Uses of web 3.0 marketing in businesses help in generation of decentralized content which give customer control over contents they consume and customer feel that their data is in his/her control

Interactive and Immersive Experience: Web 3 0 marketing deals with augmented reality (AR) and virtual reality (VR) that provide immersive experience to customer and helps to increases more customer engagement and interaction with content or brand

Improve Customer Engagement: Web 3 0 marketing uses emerging technologies such as chat-bots, conversation AI and virtual reality that helps to connect with customer and providing immediate customer supports and create personalized experience So customer likes to interact with such brands, marketing content and campaigns that provide them quick and efficient support

Enhance Experience with Efficiency: Uses of web 3.0 marketing will reducing cost of repetitive task and improve efficiency of

operation by usage of emerging and advances technology such as artificial intelligence and machine learning. Web 3.0 marketing can automate repetitive task such as data entry and reporting and helps management to focus on strategic area such as analysis of customer data for targeted marketing campaign.

7. Enhance Experience with Innovation: Uses of web 3.0 marketing encourages innovation by using technology such as artificial intelligence, machine learning and block-chain. That help marketer to create new and unique marketing campaigns and contents which is different from competitors and provide a competitive advantages

Challenges in Web 3.0 Marketing

Web 3 0 promises a more open, transparent and secure online environment, for using web 3 0 marketing technologies, it’s require of having specialized knowledge and technical skill For example- using technology such as block chain, and artificial intelligence required specialized knowledge for using effectively Marketer who does not have specialized knowledge may faces problems Governments of different countries wants to regulate digital assets before starting web 3 0 and crypto marketing, so get aware of all regulations to avoid legal consequences

Web 3.0 marketing has potential for new era of marketing but its limitation is web 3.0 marketing is on early stages, its due to its user base is limited and marketer faces a problem to reach out to target audience. As we know web 3.0 marketing uses decentralization of data, then it is very difficult to get target audiences data because all data are located at different places. Its due to marketer has to collect data from different platform without harming the security and privacy.

Conclusion

Web 3.0 is considered as next evolution of internet and it is clearly characterized by more immersive and interactive experience for users Semantic web, artificial intelligence, block chain, voice over search, virtual assistance, chat-bots and machine learning are common emerging technology used in web 3 0 marketing By using these technologies, businesses can create more effective and efficient marketing campaign and contents that help in customer engagement, customer personalized experience, build trust and loyalty as customer data is safe and ultimately increase in sales and growth of businesses

Marketing Automation: The Way Forward

Author: Sanket Bagadei

Indian Institute of Management,

Marketing automation is a powerful tool that enables businesses to automate their marketing campaigns, streamline their workflows, and increase revenue It uses technology to automate repetitive tasks and provide businesses with valuable data insights that can be used to optimize their marketing strategies anything from lead nurturing to email marketing, social media advertising, and customer segmentation

Marketing Automation involves a combination of software and processes that help businesses streamline their marketing efforts and optimize their campaigns. In this article, we will explore the benefits of marketing automation, how it works, and best practices for implementing it in your business.

Marketing automation platforms are designed to integrate with other marketing tools, such as customer relationship management (CRM) systems, to provide a comprehensive view of the customer journey. By automating tasks, businesses can save time and money while improving the effectiveness of their marketing campaigns

Benefits of Marketing Automation

Increased Efficiency: Marketing automation enables businesses to automate repetitive tasks, such as email marketing campaigns, lead nurturing, and social media advertising This saves time and reduces the workload on marketing teams, allowing them to focus on more strategic initiatives

Improved Customer Engagement: Marketing automation provides businesses with valuable data insights that can be used to personalize their marketing efforts and improve customer engagement This can include data on customer behavior, preferences, and interests, which can be used to tailor marketing messages to specific segments

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Better Lead Generation: Marketing automation can help businesses generate more leads by automating lead capture and qualification processes By nurturing leads through targeted campaigns, businesses can increase the likelihood of converting them into paying customers

Increased Revenue: Marketing automation can help businesses increase revenue by optimizing their marketing campaigns and improving customer engagement. By automating tasks and using data insights to inform marketing strategies, businesses can maximize the effectiveness of their marketing efforts and drive more sales.

How Marketing Automation Works

Marketing automation platforms typically include a range of features designed to automate different aspects of the marketing process. These can include:

Lead Management: Marketing automation platforms can capture and manage leads by integrating with CRM systems and automating lead nurturing processes

Email Marketing: Marketing automation platforms enable businesses to create and send targeted email campaigns based on customer behavior, preferences, and interests

Social Media Advertising: Marketing automation platforms can automate social media advertising campaigns, including targeting, scheduling, and optimization

Analytics and Reporting: Marketing automation platforms provide valuable data insights that can be used to optimize marketing strategies and improve campaign performance

Best Practices for Marketing Automation Test and Iterate: Marketing automation is an ongoing process that requires testing and iteration to optimize campaign performance. By regularly reviewing and analyzing your campaigns, you can identify areas for improvement and make data-driven decisions to optimize your strategies.

Define Your Goals: Before implementing marketing automation, it’s important to define your goals and objectives. This will help you determine which features and processes are most relevant to your business and ensure that your efforts are aligned with your overall marketing strategy.

Segment Your Audience: Marketing automation is most effective when it is used to target specific segments of your audience. By segmenting your audience based on behavior, preferences, and interests, you can tailor your marketing messages and improve engagement

Create Valuable Content: Marketing automation is only effective if your content is valuable and relevant to your audience This means creating high-quality content that is tailored to the needs and interests of your target audience

Use Data to Inform Your Strategies: Marketing automation platforms provide valuable data insights that can be used to optimize your marketing strategies By analyzing data on customer behavior, preferences, and interests, you can identify trends and patterns that can inform your marketing efforts

Conclusion

Marketing automation is a powerful tool that enables businesses to streamline their marketing efforts, increase efficiency, and drive revenue growth By automating repetitive tasks, such as email campaigns, social media posts, and lead nurturing, marketing automation enables marketers to focus on more strategic initiatives that can drive better results By automating repetitive tasks, such as email campaigns, social media posts, and lead nurturing, marketing automation enables marketers to focus on more strategic initiatives that can drive better results

However, it is important to note that marketing automation is not a one-size-fits-all solution and requires careful planning, implementation, and ongoing management to be effective With the right strategy and tools in place, businesses can leverage marketing automation to achieve their marketing goals and stay ahead of the competition.

MARQUE-THEMARKETINGCLUB

INDIAN INSTITUTE OF MANAGEMENT ROHTAK

marketingclub@iimrohtak.ac.in

DISCLAIMER: The views and opinions expressed in this magazine are those of the author and do not necessarily reflect the opinion of the stake holders of IIM Rohtak.

EDITOR : Rituja Singh

DESIGN : Shubhi Saxena

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