teachthe4ps.com - For instructors of marketing.

This article, “Philly Cream Cheese’s Spreading Appeal” (Bloomberg Businessweek, December 12, 2011) is a great example that has many classroom uses.  Sometimes I like to describe an extended case study — to help students integrate the marketing strategy planning process — this article is that type of example.  Sales of Philadephia brand cream cheese were pretty much flat (mature or decline stage of the product life cycle) for most of the last decade.  Then Kraft researchers (market research) noticed that heavy users of the product were using cream cheese as an ingredient in their cooking — not simply as a spread for bagels.  Starting in Europe back in 2008, Kraft’s brand managers tapped into social media and the Internet to gather and share recipes using Philadephia brand cream cheese, they promoted it on cooking shows and with contests (Promotion).  In the U.K. the share of customers using cream cheese as an ingredient (effective repositioning) has almost doubled to 37% — and sales are up 20% in Europe (data – it is nice to show case studies in class with real results).  All of this in a mature product category.  What a great example of how to revitalize a brand.  Check out the article for more details on the strategy.  Also posted at Learn the 4 Ps.

It sure sounded like a great idea.  The idea, draw attention to global warming and the plight of polar bears.  The bears have been a Coca Cola holiday symbol for almost 100 years — so the actions also fit with the brand’s heritage.  Coke did this by changing the iconic red cans to white for the holidays.  It sure sounded like a good idea.  Unfortunately, the new cans confused consumers — especially Diet Coke drinkers who confused the white can with their familiar silver Diet Coke cans.  This article, “Bad News, Bears:  Coke Pulls Back on White Cans in Holiday Campaign to Save Polar Bears” (brandchannel, December 1, 2011) describes many interesting elements to the story.  For example, by monitoring social media, Coca Cola marketing managers heard complaints early.  This case is also a demonstration of a low involvement product that consumers buy out of habit.   In the end, it probably marks a mis-step by the soft drink giant.  But I would say, if you take chance, you will make mistakes sometimes.  And this whole outcome, like the New Coke introduction 25 years ago, may yet generate positive publicity for the brand.  Also posted at Learn the 4 Ps.

This article has examples that can be used in teaching consumer behavior, market research, brand management, packaging, and advertising & promotion.

I love this recent story that David Meerman Scott tells over at his Web Ink Now blog.  The post, “Persona based content marketing at the Nobis Hotel,” describes how this Stockholm hotel uses a deep understanding of its target customers (Scott calls them “buyer personas” — we call them target customers) to create a unique travel experience.  I love how the marketing manager uses customer reviews at TripAdvisor to understand how customers talk about the hotel — and then reflects those same words back in its advertising and search engine optimization.  Scott tells the story well — so jump over to his blog and read more.  For marketing instructors, I think it provides an excellent example of customer behavior, market research, positioning, and social media.

We have made several previous posts on the impact of the economy on consumer behavior.  This ABC News video describes both how consumers are changing their behavior — and how major marketers like Target and P&G are responding.  You can directly link to the video and a related written story, “How to Advertise During a Down Economy,” (ABC News, September 23, 2011).  The video is short at only 2:39 — though you do have a :15 ad before it starts — and could work well in class.  It might stimulate some class discussion to ask:  What companies might do well in this economic environment?  How would you respond if you were Best Buy?   Ben & Jerry’s Ice Cream? or Coca-Cola?

I am going to use this when I cover the economic effects on consumer behavior, but it might also work when you look at the external market environment.  We also posted the video only — not the link to the article — at Learn the 4 Ps.

It seems that it will only be a matter of time before our cell phones also act as our wallets.  They can already act as our phone, videophone, e-mailbox, newspaper, handheld gaming device, music player, GPS, camera, video recorder…  Will it change a baby’s diaper some day?  That’s an app I haven’t seen yet.

Sorry, I digressed.  Katie Boehret wrote a Wall Street Journal review of a new Android smartphone app, “Google Mobile App Aims to Turn Phones Into Wallets” (September 21, 2011, non-subscribers may need to click here).  It might be interesting to discuss the implications of this technology on consumer shopping behavior.  The article doesn’t really address that topic, but I think my students could come up with some interesting ideas — so I posted it with some questions over at Learn the 4 Ps.

With sales slow in the U.S., Procter & Gamble brand managers are looking to sharpen their appeal to the growing Hispanic market.  In 2010, there were about 50 million Hispanic-Americans living in the U.S.  In our books we cover this demographic trend in chapter 5 (Basic Marketing) or chapter 3 (Essentials of Marketing).  Obviously P&G sees this growing market these numbers.  So its crack marketing research uncovered new ways to appeal to this market.  This article, “Hola:  P&G Seeks Latino Shoppers” (Wall Street Journal, September 15, 2011, non-subscribers may need to click here) highlights efforts in packaging and product.

This example will work well when you cover demographic trends, market segmentation, cross-cultural, or product — since most of the examples in the article have to do with adapting product to this market.

I am not sure this really counts as subliminal — but that is the term that ABC News used — so I have an excuse for being sensationalistic as well.  Technically subliminal means “a sensory stimuli below and individual’s absolute threshold for conscious perception” (see Wikipedia – Subliminal stimuli).  The subject, and its effects, remain controversial — see the Wikipedia link for more information.  I digress, no matter the title, our students will enjoy the topic.

The video below (direct link to video:  “Grocery Stores Using Subliminal Marketing,” ABC News, September 23, 2011) addresses how supermarkets merchandise and display products to influence consumer choice.  People are typically conscious of these stimuli — but may not recognize the role of each in getting us to open our wallet or pocketbook a bit wider. I used this video today as an example of psychological variables that affect  consumer behavior.  The video will also work for retailing or promotion for point-of-purchase.. The video is only 2:08, but you do have to put up with a :15 advertisement at the start, so you might want to cue it up before class.

This is a great story of customer needs, marketing research, and new product development.  Those of us eating French fries while driving know that the squeeze packets didn’t work real well.  Actually, the squeeze packages don’t work well in a fast food joint either.  Ketchup-maker Heinz knows that better than any of us.  So they set about to change the packet — and came up with a great solution.  The new packets allow you to squeeze the ketchup onto a sandwich or if you tear off the top, to easily dip your fries.  The packets cost more, but customers use fewer packages and fast food restaurants hope that the new packages heat up slow sales of fries that the drive-thru window.

You can read more — including examples of some of the marketing research Heinz used to develop the new packaging in “Old Ketchup Packet Heads for the Trash,” (Wall Street Journal, September 19, 2011, non-subscribers may have to click here).  The article provides you with useful examples of customer needs, marketing research, new product development, and functional packaging.

When I teach segmentation and targeting this week, 5-hour ENERGY will be one of my examples.  Many of our students are familiar with this or similar products that help them stay awake and focused.  5-hour ENERGY can be found at check-out counters in stores around campus.

Marketing managers at 5-hour ENERGY are now targeting the senior citizen market.  I got a first-hand look at one element of the strategy at the Cherry Creek Arts Festival this past summer, where 5-hour had a tent with promotional material and free samples.  For more on the new target market and strategy, see “Bottlers of Buzz Wake Up to Find Seniors as Newest Customers” (Wall Street Journal, June 2, 2011 - non-subscribers may need to click here) will give you more information.

Here is how I plan to use 5-hour ENERGY in class.  I will start by using 5-hour ENERGY as the example when I explain how to define a product market – and use the student market as my customer type.  Later, as my lecture continues and I get into qualities of a good market segment (homogeneous within, heterogeneous between, substantial and operational), I will introduce the senior market (which fits these criteria).  Then I will get the students active and talking.  I like to use an approach called “Think Pair and Share” which works well in the large 90-student sections I teach.  I will focus students with the question – “What ideas do you have for 5-hour ENERGY if the company pursued a senior citizen target market?  Think about all 4 Ps.”  To motivate and reward their effort, I have them turn in a page with their ideas.

Once again, Seth Godin simplifies what many marketers need to do – “Three things clients and customers want” (Seth Godin’s Blog, August 16, 2011).  Of course, how to do it can be a challenge – so he does leave us an opportunity to teach our students something.    Are there other wants and needs that consumers might desire — or are these categories exhaustive?  I have also posted this at Learn the 4 Ps — asking students to offer their own examples of marketers that have achieved one or more of these objectives.