Marketing Chapter 14 Owned Interactive And Earned Media Owned Interactive And Earned Media

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Chapter 14: Owned, Interactive, and Earned Media

Chapter 14

Owned, Interactive, and Earned Media

CHAPTER CONTENT

KEY OBJECTIVES

1. Explain what is meant by owned media that organizations control and manage.

2. Describe interactive owned media and explain why that interactive element is

important.

4. Explain how multiplatform brand communication works and why it is important.

CHAPTER OVERVIEW

In this chapter, we will review a wide variety of media forms and organize them into three

categories: owned, interactive, and earned. Owned media are created and controlled by the

organization. Interactive, owned media include two forms—media programs designed by

the organization to unlock two-way communication between the brand and consumers and

social media, such as corporate owned Facebook pages and Twitter hashtags. Earned

media historically has been a public relations concept and refers to mentions in the news

These new categories and new forms of media are changing the face of brand

communication. Digital media has introduced a flurry of new forms by which brand

CHAPTER OUTLINE

OWNED MEDIA: WE OWN IT, WE CONTROL IT

Owned brand messages are delivered from a company to consumers through channels

controlled by the company. The biggest advantage of owned media is control, but there

are other reasons to consider using this category of media. They are versatile and can be

created for diverse audiences, contact points, and time frames. They can be used to

address various objectives, but one of the most important is loyalty and the development

of consumer–brand relationships.

Chapter 14: Owned, Interactive, and Earned Media

 Principle: These media represent a constellation of contact points that can be

strategically designed to present a consistent brand image.

The following sections are not inclusive. Rather, we compiled a variety of different ideas

to inspire you to think broadly about brand communication opportunities.

Corporate Presence Media

Environmental Design

 What a building looks like—both inside and outside—may reflect the image of the

company and make a brand statement. The point is that design, decor, and physical

appearance send messages about the style and personality of the brand.

 Buildings merit recognition for their visual branding. The highly recognized Chrysler

building in New York City, for example, is a classic skyscraper with its dramatic art-

deco crown and spire. It often appears as a logo or graphic image that represents New

York.

Signage

 A form of out-of-home media, retail and corporate signs are owned rather than paid.

On-premise signs that identify stores have been with us throughout recorded history

and are today the most ubiquitous form of brand communication. In this complex

environment, an effective sign may be relatively simple, like McDonald’s giant “M,”

or more complex, like those found on the strip in Las Vegas with their large

illuminated and animated visual extravaganzas.

Chapter 14: Owned, Interactive, and Earned Media

 Some on-premise signs also act like billboards. On the opposite end of the signage

continuum are inexpensive forms, such as yard signs, bumper stickers, and buttons—

the media of political campaigns. Yard signs are temporary and used by real estate

agents as well as politicians. Although they can be tacky, yard signs are public

statements and perform an important function as either a reminder or a motivation to

action.

Appearance

 Uniforms as well as delivery trucks are a type of communication media. That’s why

many companies with their own fleet of trucks use unique designs and insist that

drivers keep the trucks clean.

 The appearance, attitude, and conduct of staff, who in many businesses are the front

line of customer contact, send other types of messages—both positive and negative.

Branded Media

 To take advantage of the value-added power of branding, companies find endless

opportunities in media tools that bear the brand’s name. Using entertainment, for

example, to engage consumers with brands is referred to as branded entertainment.

The goal is to associate the brand with a fun, entertaining experience that creates

positive feelings for the brand.

Film, Fun, and Games

 Promotional video networks run sponsored programs and commercials, such as the

channels you see in grocery stores, doctor’s offices, and truck stops, that distribute

commercials by video or satellites to in-store televisions.

 An exciting, emerging, and surging new media format is branded videos. These

engaging video clips usually range in length from 3 to 12 minutes and are published

Chapter 14: Owned, Interactive, and Earned Media

 Branded games, in addition to product placement and ads, can showcase a brand

name—an actual video game that is designed around a brand experience. The game is

created and owned by the company.

Naming Rights

 Another high-visibility area of branded media is naming rights for events and

buildings. The objective is brand visibility; the benefit to the organization or

municipality is a hefty payment. Naming rights dominate football bowl games and

The Media of Retail

 The retail store is a world of promotion. Packages proclaim brand identities and

merchandising materials attract attention and deliver motivating sales messages.

Packaging

 A package is both a container and a communication vehicle. It is the last ad a

customer sees before making the decision to buy a brand. In an attempt to win over

 Although the industry has never developed a standard for measuring impressions

from a shelf, advertisers are aware of the billboarding effect of a massed set of

packages, a practice that Pepperidge Farm uses to good effect. Once on the shelf at

home or in the office, the package is a constant brand reminder.

 Packages can also deliver customer benefits. For example, recipes for Quaker Oats’

famous Oatmeal Cookies, Nestlé’s Tollhouse Cookies, Chex Party Mix, and

Chapter 14: Owned, Interactive, and Earned Media

 Sometimes, the package itself is the focus of the advertising, particularly if there is a

new size or innovation. Some packages, such as CD covers, can be artwork in and of

themselves.

Merchandising Materials

 Merchandising materials are the media used in promotions for a store, product, or

event. Manufacturers often provide brand-related window banners, posters, and

freestanding displays. In addition to posters and banners, other media used by

 Other store-based media include end-of-aisle displays, display cartons, banners, signs,

and mechanical product and sample dispensers.

 In terms of store-based merchandising, think about all the different materials that

carry the brand logo and maybe even other information— tray liners, table tents,

 Bags and sacks—grocery bags, shopping bags, and other retail bags—are important

brand reminders. Even the stuffers that you find when you open up a pizza box

delivered to your home are part of the merchandising program.

The Owned Media of PR and Promotions

There are a variety of promotional media that are used both in public relations and sales

promotion programs. Here are a few of them:

Chapter 14: Owned, Interactive, and Earned Media

Videos and Publications

 DVDs, flash drives, podcasts, and online video can be used to distribute corporate

videos and films for public relations and promotional programs. However, they are an

ideal tool for distributing in-depth information about a company or program.

 Companies produce huge amounts of publications and literature of various kinds.

Corporate publications include books, magazines, newsletters, special reports, annual

Publicity Media

 Publicity media is designed to encourage news media coverage. Press releases and

video news releases are prepared news stories and features sent to print and television

news media.

Brand Reminders and Rewards

 A premium is a tangible reward for a particular act, usually purchasing or

repurchasing a product. Common premiums that reward behaviors are the

matchbooks and mints given away in restaurants. Events use T-shirts as well as an

endless list of freebies, such as cups, caps, stuffed animals, and other souvenirs, most

of which carry the brand’s logo. These are rewards, but they are also brand reminders.

 Premiums and prizes also recognize relationships. If you work on a Habitat for

Humanity work site, for example, you may receive a T-shirt or a cap or maybe an

energy bar. Premiums are also used as incentives to add value to a product or event.

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contest winners. Sales programs often use competitions to increase excitement among

the sales staff. The prizes can include big-ticket rewards, such as trips to resorts,

beaches, and islands.

Place-Based Media

 Place-based media like street-based media and guerilla marketing, create unexpected

personal encounters with a brand, such as painted messages on streets, or people

employed in places with a lot of foot traffic to hand out sales materials, such as

coupons or samples. Sign spinners, or “human directionals,” are hired by local

OWNED BUT INTERACTIVE: LET’S TALK

 Interactive media are those forms that invite users to participate in or respond

personally to the message. The media format, such as email and Twitter, allows the

organization to initiate communication with consumers, customers, and other

stakeholders. Engagement beyond just exposure is the goal when organizations use

interactive media. Some media, such as texting, are just naturally more interactive

and thus more engaging than owned media.

Corporate Interactive Media

A useful and sometimes exciting type of owned but interactive medium is the digital

display, which invites viewers to interact with data represented graphically on a screen in

front of them on kiosks in public places and lobby walls.

Chapter 14: Owned, Interactive, and Earned Media

 New kiosk advances add cameras, and, using facial-identity software, can estimate

the user’s age and gender, making it possible to do more customized responses.

Direct-Response Media

 The first marketing communication area to recognize the value of interactivity in

brand communication was direct-response marketing (also called direct

advertising). The traditional media of direct response have been mail (letters, flyers,

and catalogs), phone, and now online messages, all of which have some kind of

response device built into the message delivery.

 Most direct-response programs are designed to generate transactions. The goal is to

motivate customers to take action and place an order. Advances in digital technology

make it possible to personalize messages and target tightly to prospects who are

known to be interested. Even some advertising in print and television carries offers

and reply forms to generate a sale.

Personal Contact Media

 Employees and other stakeholders can deliver brand messages. When a friend, family

member, or someone you respect tells you something about a brand, you are likely to

believe it. That includes employees who are often asked for their advice or opinions

on a product or brand.

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 Employee communication programs are designed to help employees convey

strategic information in these critical personal conversations. Other important

avenues for personal communication in business are found in sales and customer

service operations.

Personal Sales

 In addition to conversation with employees, word-of-mouth communication can

occur in more structured selling situations. Salespeople in stores are trained to

answer product questions and help customers find things.

 Retail sales employees use personal communication to relay information about a

product and give reasons to buy it. These reasons can be personalized to match the

person and his or her interests.

 In B2B marketing, sales reps often work from a scripted sales message to make sure

they hit on the right selling points and convey the most important strategic

information. They also are provided with sales kits that contain product

Training Materials

 Training materials are used to train B2B sales reps or other employees. Employee

training materials may contain information about new projects or products or special

promotions with presentation visuals, exercises, and background data. They can be in

print, but most professional training sessions use PowerPoint slides, and the materials

may be distributed online or on a flash drive.

Customer Service

Chapter 14: Owned, Interactive, and Earned Media

 Principle: If it’s a positive experience, customer service can strengthen the brand

relationship; if it’s negative, it can lead to or increase customer dissatisfaction.

 Traditional media used to elicit customer feedback are shoppers’ surveys and

comment cards. Mystery shoppers, a proactive form of customer service, are

used to personally analyze and report on the shopping experience in a store.

 More recently, customer service is being driven by social media and cell phones.

Customer service is a specific department that handles questions and complaints,

Interactive Promotional Media

 Brand-sponsored gatherings connect people who are customers, prospective

customers, employees, suppliers, or other types of stakeholders. An interesting

variation on interactive advertising is “live” or performance-based where traveling

Speeches, Conferences, and Tours

 These are events that can generate questions and answers about an organization’s

programs, policies, and actions. An informational tour involves stakeholders in

personally engaging situations. A grand opening for a new airport or concert hall,

for example, may include tours with trained guides to explain the building’s

functions and design.

 There are interactive publicity media, news conferences, for example, that are

designed as interactive experiences for the news media. Press representatives are

Chapter 14: Owned, Interactive, and Earned Media

 Other types of promotional media engage people in interactive experiences.

Sampling, for example, is a way for the consumer to try a product or service before

Trade Shows, Displays, and Exhibits

 A trade show is a promotional event where B2B companies within the same industry

gather to present and sell their merchandise, demonstrate their products, and take

orders. Displays and exhibits along with product literature and signage are the media

used in these sales and meeting events. Booths are spaces that are designed to

showcase the product and allow salespersons to speak personally to attendees.

 A conference sponsored by an organization may be a named brand event. In addition

to the event itself, there are usually myriad types of media used to publicize and

Owned Digital Media

Let’s review the evolution of this technology and how its various formats are used in

corporate-owned brand communication.

 It evolved from the days when we used to log on and off our computers and check

messages in bursts. Some

users still operate that way, but with newer technologies,

many users are always online, and messages are constantly streaming into their

personal media. That has changed the function as well as the speed of online

connections.

Chapter 14: Owned, Interactive, and Earned Media

 This interactive capability has grown exponentially when mobile phones, called

smartphones, began to act like mini-computers. The constant stream of information

means that the inbox is now a river and that we can dip into it whenever we feel like

Websites

 A company’s website is a communication tool that blurs the distinction between

marketing communication forms, such as advertising, direct marketing, and public

relations. It is the online face the organization presents to the world. In some cases,

it looks like an online corporate brochure, or it may function as an online catalog or

shopping site for e-commerce. Websites can also support promotional efforts.

 Forrester Research has developed methods (e.g., social listening) for evaluating the

brand building function of websites. The company tracks effectiveness of website

performance in terms not only of making a brand promise, but also of delivering

easy-to-find and easy-to-use information.

 Whether or not the website is effective depends on several factors—one is stickiness,

and the other is its ease of navigation. A “sticky” website is one that is engaging—it

encourages visitors to “stick around” instead of bouncing to another site because it is

interesting and offers meaningful interactivity. The interest level is determined by

 Some people may find a marketer’s website after doing a search using a search

engine; others may come across the website address in some other communication,

such as an ad or brochure, often with QR codes that link cell phone users directly to

the website. But another way is to encounter a link on a related site usually in the

Chapter 14: Owned, Interactive, and Earned Media

Blogs

 Some 200 million digital essayists worldwide create web blogs to talk about things

that interest them. Historically, bloggers used their blogs for creative expression and

opinion pieces for a generally anonymous audience. Some are interested in making

money, and others are into news or politics. These personal publishing sites also

 Corporate blogs are a way to keep employees and other stakeholders informed, but

employees may also be encouraged to have personal blogs. Sales staffs have found

that blogs are changing the sales process by making more experiences with a product

available to prospects and keeping customers current with fast-changing

technological trends.

 A problem with blogs is that they are sometimes criticized as “stealth advertisers.”

Paid posts, where bloggers plug a product in return for cash or freebies from the

“Socialtizing”

 Social media, refers to the use of the media of social marketing as a promotional tool.

We call this hybrid between advertising and corporate-driven social chatter

socialtizing. A Facebook site can also be set up by a company to feature a brand with

a brand profile just like any other member. There are over 65 million Facebook pages

for businesses. Facebook marketers hope to make friends with interested consumers

who visit their sites.

 Marketers can create a company account on Twitter, one that monitors brand

references using a service that tracks news in real time as it searches, filters, and

summarizes the huge flood of information appearing on Twitter every second.

Marketers can also post brand-related videos on film and video-sharing sites, such as

YouTube and Hulu.

Chapter 14: Owned, Interactive, and Earned Media

 Principle: The reason to use social media is to get people talking about a brand.

 To successfully place a brand within a communication environment like Facebook,

planners have to think strategically about the unique voice of the brand. The point

is that every brand has a personality—caring and committed, off- the-wall zany,

 Experts recommend that a company have a plan for being present regularly on its

social media sites—once or twice a day—and that the interactions be authentic and

relevant both to the brand and to its followers. Posts across various social media

should be unique for each outlet because the sites are used in different ways by

people with different interests. Scheduling and planning posts can be managed

through tools, such as Hootsuite and Tweetdeck that help manage all the social

media outlets in a coordinated way.

 Facebook provides ideas about how to increase engagement (comments, likes, and

sharing) on its site. It suggests that although touchy-feely conversations are okay,

there are stronger responses from posts on topics relevant to the brand. Facebook

finds that photos and videos generate the most sharing, which is more meaningful

because it taps into the friend-of-a-fan network.

 Marketers use these new social media tools to promote brands, engage customers, and

create brand relationships—and most of these efforts are cheap compared to other

forms of marketing communication. They are not only a point of connection—a

digital touch point—but they also engage a “social web,” a network of people

connected through the social media site.

 Given that social media generate individual posts, are the numbers of people reached

through social media worth an organization’s time? In an ideal world, if a brand has

Chapter 14: Owned, Interactive, and Earned Media

Mobile Marketing

Cell phones have become the medium of choice for many marketers. Not only can they

run ads on them, but they can also send messages to people in their target market. Mobile

marketing makes the cell phone a personal point-of-sale device with a strategy designed

to contact people on the run. The Matter of Practice feature explains why this is such an

attractive medium for advertisers.

 Mobile messaging will continue to evolve. The tipping point for computer-based

internet advertising came in 2004 when broadband access in homes passed

50 percent. The same is happening with mobile. Faster speeds allow for better

 The future of mobile devices is in their role of connecting users with products,

services, and media in an unprecedented way. With branded mobile websites or apps,

mobile users can access product information and make transactions anywhere and

anytime. Mobile users can compare product prices in stores with offerings online,

which not only creates a new shopping experience for consumers but also intensifies

the competition among different outlets, thus transforming the retailing business

fundamentally.

 Texting, for example, is a way that marketers can contact customers and customers

can contact companies. Organizations can text their members with announcements

which involves group text messaging software, and moves individualized

communication into a form of mass communication.

Chapter 14: Owned, Interactive, and Earned Media

 Mobile marketers have found several important uses for smartphones with search

advertising claiming 49 percent of the advertising spending. Banner ads are next with

33 percent, followed by messaging at 12 percent and video ads at 6 percent, totaling

$2.6 million in 2012.

Branded apps for cell phones and tablets, which are generally free, prominently link to

a brand. Apps that showcase the brand in a fun way are particularly popular. Other apps

offer more utility. Banks, for example, let you check balances, pay bills, make transfers,

and locate branches, and with the GPS navigation capability in some smartphones, the

app can even plot a route.

 Most new media provide apps that carry news feeds, some with a video. Even small

stores can use apps for in-store customers that let them view merchandise or bypass

the cash register and pay for their products on their mobile phones.

 Although cell phone advertising is sometimes seen as an invasion of privacy,

that puzzles marketers because, as Advertising Age reported, “it is very much a

permission-based channel of communication.” As in other forms of advertising,

the way to be less intrusive is to be more relevant and offer an option to opt in.

EARNED INTERACTIVE MEDIA: LET’S LISTEN

Earned media are mentions or stories about a brand, through either publicity, social

media, personal contact, or word of mouth. The term has been used in public relations to

distinguish between paid advertising messages and unpaid brand mentions in the news