Category: Marketing

Tomorrowland is here, thanks to digitization of services

Digitization is fast becoming ubiquitous, widening the horizon for businesses to expand their service products. Gary Bridge, senior vice-president of Cisco Systems’ Internet division, took an audience of researchers and business leaders from 28 countries on a high-speed tour of these new opportunities at the 14th Annual Frontiers In Services conference, co-hosted by the W. P. Carey School’s Center for Services Leadership and the Center for Excellence in Service at the Robert H. Smith School of Business, University of Maryland. From digitally enhanced product marketing to remote service delivery to tele-robotic remote surgery, companies are using digitization to grow services revenues.

Our bodies, our buying behavior: Should real ads have curves?

The “Dove girls” advertising campaign has caught the attention of media consumers, and no wonder. In a world where the marketing of thin and flawless Victoria’s Secret “Angels” dominate the prime-time landscape, suddenly there is a top-tier national campaign featuring curvy, real-world women parading proudly across the pages of People magazine in plain white underwear. But can the Dove girls’ obviously healthy body image — refreshing though it may be — actually boost women’s self-esteem, not to mention product sales? Marketing professors from the W. P. Carey School of Business say the research isn’t conclusive.

Self-service technologies should benefit customers, not just bottom lines

Companies like to implement self-service technologies because of the potential cost savings and the appeal of the cutting-edge. But a surprising number of managers fail to implement their own SSTs effectively, according to a study by several professors of marketing at the W. P. Carey School of Business. “The companies that plan their strategies well, and the ones that integrate their customers into the equation, are the ones that will succeed,” says Mary Jo Bitner, director of the school’s Center for Services Leadership.

All in the family: After employee pricing strategy, what next?

The auto industry’s ubiquitous employee discount plans dominated summer advertising, but after two extensions, all three will end soon. Begun by General Motors in June and copied by Ford and Chrysler in July, the promotion spurred record sales and depleted 2005 stock, but may have been a short-term fix for struggling U.S automakers. A W. P. Carey marketing professor says the promotion served as a valuable learning tool, and the lessons learned about consumer preferences will help the Big Three forge ahead with new ideas for increasing sales in the months to come.

Buy vs. build: Chinese firms seeking familiar brands in global strategy

When growing companies consider entering a new market, is it better to buy or build your own brand? Last year, the Chinese manufacturer TCL acquired the television operations of Thomson SA, a multinational electronics manufacturer based in France that owns the RCA brand. In December, Beijing-based Lenovo completed the purchase of IBM s personal computer business, acquiring among other things the ThinkPad brand. These acquisition moves represent a strategy on the part of Chinese companies to ease their entry into Western markets by hitching a ride on well-known American names.

NHL and its teams get a second chance for a first impression

The National Hockey League’s owners recently reached a one-sided agreement with the NHL Players Association, ending the lockout that claimed the entire 2004-05 season. Michael Mokwa, faculty director of sports business in the W. P. Carey MBA, says hockey’s approach to mollifying fans after the lost season will be fascinating to watch. “What hockey needs to do most is to demonstrate that it truly cares about its fans and that it respects them and needs them,” says Mokwa. Many teams have come up with creative marketing strategies combining lower-priced tickets, expanded cheap-seat sections, and better fan accessibility to the players.