The HMV logo featuring Nipper and the gramophone was one of the most popular logos of its times, 96 years old company with its headquarters at London is one of the biggest entertainment retailing companies of the world (Howard, 2017). The first HMV store was opened by the Gramophone Company on the Oxford Street in 1921 and the brand name was synonymously used for TV and radio sets manufactured from 1930s onwards(Tennant, 2016). HMV’s retail side of business started growing in the 60s, in the year 1998 it was divested from EMI, the successor of Gramophone Company to form what the world today knows as HMV. The company pushed aside the competition from Our Price and Virgin Megastores to become UK’s leading specialist music retailer enjoying the spectacular growth for three straight decades until the early 2000s(Pancholi & Arshed, 2016). It was the year 2012, Amazon stole the crown from HMV and other online streaming music services like Spotify drained the record industry’s profits as a whole. The year 2013 saw the company making a move into administration, according to the recent reports its CEO Ian Topping has resigned after his stint in the organization for 5 years and he will be replaced by Neil Taylor (Beaster-Jones, 2018)
The purpose of the assignment here is to identify new strategies to reinforce the organizations digital marketing capabilities and expertise. Within the purview of the assignment the tools of digital marketing will be studied and how it can benefit HMV in strengthening its brand positioning and market share in the highly competitive industry.
In a word with a population of 7.476 Billion and internet penetration being 50%, which makes around 3.773 Billion active internet users, digital marketing does become a necessity for the marketers to incorporate in its marketing strategy(Charlesworth, 2018). Digital marketing has disrupted the entire marketing ecosystem by connecting the users intelligently through digital platforms. Communication is a two way tool and digital marketing effectively uses this characteristic of communication at the play (Sayers, 2018)
The biggest advantage of using digital marketing is the engagement and the conversation the brands can drive with its customers, it helps the brand to reach even the remote customers and target them effectively to deliver results for the brand (Anantharaman & Sridharan, 2018). Another big advantage of using digital marketing in the marketing strategy is the usage of Big data analytics, Big data analytics helps the company to focus on the enormous data about the customers which can be used to target the products they really want to buy, the information helps to push highly targeted content to the consumers which is based on relevancy and context (Dilmperi, King & Dennis, 2017). Hence, it is advised that brands in order to compete in the present day, have to create a marketing strategy comprising of both traditional and Web 2.0 tools, this will help the brand to reach its customers, irrespective of the media vehicle one uses to consume content(Harvey, 2017).
Search marketing is a contemporary form of marketing which is presently in vogue, and organization all across the globe have been using Search marketing to increase the visibility and increase the traffic on the website. Search marketing can be both organic and in-organic in nature (Strauss, 2016). Organic search marketing is called Search engine optimization and organization do not need to spend any money towards it, on the other hand, Search engine marketing is paid marketing wherein the brand buy advertisement on the search engine to increase its visibility. Both the methods however are highly effective in increasing the brand awareness, visibility and brand recall. Search marketing covers technical and creative elements which are required to be updated on a regular basis to improve the website ranking and increase the consumer experience on the website. It becomes extremely important for HMV to focus on both organic and inorganic Search marketing to achieve the objectives of increased visibility and traffic on the website.
In order to create a highly effective SEO campaign the entire process can be broken down into 7 parts:
Website Analytics-This step involves gathering data and conducting a competitor research, data is gathered around the existing traffic on the website, current ranking of the website and landing pages. Further analysis is done on the most used keywords, best performing pages and backlinks (Moran & Hunt, 2014).
Keyword Research-As the name suggest high performing Keywords have to be discovered and brainstormed to include in the website content or the blogs, Google Key word, word tracker and MOZ are some of the tools which can be used by HMV to research on the best performing keywords.
Onsite Optimization- This is the process of optimizing the website for fast loading and refresh time, website architecture, content and HTML technical issues are addressed in this step.
Content Optimization-Content is what creates magic for the website and it is undoubtedly one of the most important steps in creating a great SEO campaign. The process requires working on the tags, title, Keywords, Meta tags, landing pages, backlinks and internal link to optimize the content for higher organic search visibility (Ryan, 2016).
Link Building-The step requires the company to work towards natural link building, competitor asset, freestyle links and link consolidation to appear in the search query of the user (Patterson, 2017).
Managing online reputation for the Brand-After finishing all the above mentioned steps, brands have to focus on brand monitoring, brand engagement, addressing the feedback and web page issues(Kelsey, 2017).
Over the years, HMV has lost its touch with the digital marketing strategy, above mentioned process will bring HMV appear organically in the search query of the customers.
Search engine marketing or as it is popularly called as Pay per click marketing is a paid promotional marketing strategy where the brands buy advertisement on search engine in a bid to increase the brand awareness, brand visibility and increase the sales. Paid search Ads, Cost per impressions (CPM), Cost per Click are some of the names synonymous to PPC (Pan, 2015). Similarly like SEO, PPC has a structured process to increase the above mentioned objectives:
These are some of the steps which make PPC unique and different from SEO, however the process still has a good reliance on the Search engine marketing, but at the same time brands can directly close a sale through PPC campaign.
Online video and video advertising campaigns conveys the message through colourful logo, GIF, animation and other form of graphics. Such types of campaigns are more effective than the traditional methods because of its rich and visually spectacular content. The USP and the differentiation of Video and display ads from PPC or SEO is that it displays the overall message of the brand unlike the other where it displays only the brand’s message, at the same time video and display marketing provides effective targeting for the marketers. In order to create great campaign, HMV should take care of the following steps:
Content marketing according to the digital marketing experts is one of the most reliable digital marketing strategies to attract the target audience. Consumers are always in a lookout to engage with content, and if the content is relevant and highly engaging, people start effectively engaging with the content which gives mileage to the brand (Baltes, 2015). It does not exactly matter if the content is organic or inorganic, as long as the content is providing any kind of information which is useful to the client, it solves the purpose. Bloggers are an important element in content marketing, they create personalized blogs for their followers who further interact with the content and the same blog as SEO is embedded in the content of the website, thus attracting more and more people on the website. It is very important to create content which score high on relevancy and context, only then the Target audience will engage with the content (Holliman & Rowley, 2014).
Marketers have to ensure that they follow the guide lines given by the Advertising board and Google in order to not disrupt the competition and take unfair advantage of the open forum.
E-mail marketing can be understood as a process of sending out E-mail in the form of campaigns or personalized emails to customers, potential customers or a group of customers to make them do purchase with the brand. Email marketing can be used for a plethora of purpose apart from making a purchase; it can be used to increase the awareness about the brand, brand penetration, changes in the product portfolio of the company, notifying the customers on recent addition in the inventory and many more(Baruch & Holtom,2008). It can also be used as a promotional tool to inform the customers on the on-going discount or the offers the company is going to roll out in the near future. In order to understand the importance of E-mail marketing to attract, retain and engage customers for HMV the following terms have to be understand for a comprehensive understanding of Email marketing:
ESP- Email service provider of ESP is the software which is used for sending mails to the subscribers; some of the examples of ESP are Fastmail, Hushmail, GMX, ZOHO mail and Gmail(Kent & Brandal, 2003).
Marketing Automation-This is the process of sending mailers or mail campaigns to the subscribers of the Brand
Dynamic Content- As the name suggests, the content can be displayed or triggered based on the data of the subscribers.
Hard Bounce-As the name reflects, when the email is returned to the sender of the mail permanently after repeated attempts by the server based on the reasons like invalid email id, domain name and many more. A lot of companies in the present day are facing issues related to the hard bounce.
Soft Bounce- There are certain occurrences when the mail is undelivered to the sender because of some temporary issues like server loading. Soft bounce is another error which reduces the effectiveness of the email campaigns.
Data Capture-As one of the important element of email marketing, capturing as much relevant data as possible is extremely important, the captured data can be further used for content targeting. Some of the ways by which data can be captured are:
HMV should adopt the following strategy to optimize its Email campaign:
Segmentation- In email marketing, segmenting the customer is important for maximum efficiency of the campaign. Some of the ways HMV can segment its data according to the content of Email marketing are:
Hence, with segmentation a lot of targeted communication can be sent to the target audience, the content can be sent across to the audience depending on the open and closed links.
Designing is an important element of the email marketing, special attention has to be given towards the designing of the campaign because of its low open rate. In order to optimize the designing of the email campaign, HMV can use the following strategy for optimizing of its campaign:
Certain metric which can help HMV to take leverage of the email campaign are:
In the light of above mentioned points, it can be said with utmost certainty that Email marketing campaigns do have a probability of not conveying the intended message, but at the same time, if the campaign has been optimized the results can drive great value for the company.
Social media marketing is one of the most important tools of the digital marketing which helps the brands to drive sales, conversion and engagement with its target audience. Facebook which is the largest social media platform having over 1.2 billion people is most effective in increasing the brand penetration and engaging in relevant conversation with the target audience (Akar & Topcu, 2011). Popularity of tools like Instagram, Snapchat and Twitter is growing and more and more brands are spending a large sum of money on these platforms to target the millennial. Social listening is a very vital component of social media marketing, as the brands can listen to whatever a person is talking about the brand, and it can effectively address their concern or query (Neti, 2011). Looking at the popularity and penetration of social media platforms, it would be highly imbecile of any company to not use social media marketing as an important tool for their marketing strategy. HMV has been using the platform on not so frequent basis which can be seen from its low follower count, the company has to invest heavily in content creation and promotion to engage with its target audience (Evans, 2010).
HMV has a huge scope in terms of Facebook or social media marketing, they have to create a social media team to monitor the effectiveness and efficiency of the campaign.
Instagram, another popular social media platform, which was acquired by Facebook few years ago, is also finding a lot of attraction due to the ease the platform provides to the brands. A newly launched feature of Story can easily be used to drive engagement with the audience and they can be pushed to the website for consumption of more information. Instagram is rapidly growing in numbers and in some regions is more popular than Facebook, thus HMV has to use the platform to push content, drive awareness, create community and at the end drive sales (Packer, 2011).
Twitter is a micro blogging site which lets users post in 140 word anything that they feel to write to the world. The utility of Twitter lies with influencer marketing, wherein the brands can rope in some celebrity to tweet about the products, which in turn helps to drive awareness and sales. HMV has to rope in few music celebrities to say something positive about the brand, this will get to the followers of the celebrity who will then engage with the brand. Thus, influencer marketing through twitter campaign is one of the strongest strategies which the brands can use to increase the reach of their message. Some of the elements which make the platform unique for the marketers and the reasons why HMV should invest in Twitter marketing are:
All these features makes Twitter an extremely important platform, the combined synergies of Facebook, Twitter and Instagram can drive great results for HMV.
Youtube, which is ideally not a social media platform, but it does have enormous platform for marketing and promotions. Youtube gives an option for the brands to place static and dynamic content on the maskhead which drives great visibility for the brand. At the same time, roll ads which the brands can include in middle of the videos on YouTube serve as a good tool for CTR. YouTube is highly recommended for driving impressions. HMV being a music brand can utilize the channel to drive great results and increase the brand visibility (Tuten & Solomon, 2017).
It can be said that social media channels have a higher engagement rate than email marketing any given day, people are most likely to engage and communicate with the content on social media platforms than the email content. Emails have higher conversion rate, but at the same time it depends on the audience who have subscribed to the content, which effectively reduces the efficiency of the email campaigns. Social media marketing has a higher reach than Email marketing; also the feat that Email might end up in spam reduces its efficiency. In the present day, people view email campaigns as spams, if they are not high on content and relevancy. Thus, it can be said that, however Email marketing is an effective tool in marketing, social media marketing has its own advantage which makes it a much better tool than email marketing.
Website optimization is something which should be a top priority for HMV, people lose faith in the companies which have a higher loading time and refresh rate. Apart from the technical what matters is the user experience on the website, the website has to be designed in such a way that data is not cluttered and images are in high resolution to get the attention of the audience. Also, HMV has to ensure that its entire web links published on digital media platforms are functional and lead to the website or the landing pages. Some of the website optimization techniques which can be used by HMV to increase the performance of its website are:
These are the techniques which would ensure high performance from the HMV website and the fast loading time will ensure that users do not skip the website in middle of a transaction, at the same time; great user experience will further delight the audience and help them in connecting with the message of the brand.
Digital analytics or as experts call it Big data analytics is the process of examining large and varied set of data to discover hidden pattern and break the data for the use of marketers. Analytics is extremely useful in the present day, as the digital marketing is all about understanding the data, segregating the data, drawing patterns from data and finally transform the raw data to useful data for marketers. An example of Big data analytics can be the sentimental analysis of the data from the US election which picked up the negative sentiments against Hillary Clinton resulting in the victory of Donald Trump. Hence, it can be said that digital analytics helps not only to do behavioural and profile targeting on the basis of user’s interaction on the digital media; it is an effective tool to understand the market sentiments and further refine the product for customer benefit. Google analytics is one of the most popular analytics tool used by companies across the globe, it helps the companies to set up effective targeting on the basis of digital media analytics. This targeted traffic helps the website to increase its conversion rate and also achieve a better Click through rate. Some of the tools which can be used for Analytics are:
Social Media Marketing- As explained in the earlier section social media marketing helps the brand to increase the brand awareness and penetration among the target audience. At the same time, high engagement and conversation rate will help HMV to re-build its brand image especially in front of the millennial.
Big Data Analytics-HMV has to ensure that it double checks all the data from analytics and strategizes to use it to drive maximum performance from its campaign. In the absence of analytics, HMV will not be able to push highly targeted content to its audience.
SEO & SEM- SEO and SEM will ensure HMV has done its research on the high performing keywords and have used in its website, SEM on the other hand will ensure that HMV appears on the top of the search query.
Website Optimization- At present the website of HMV has a high loading time, which is a bad yardstick for measuring the performance of any brand. HMV has to ensure that it focuses on brand optimization techniques and works on the most important component of digital marketing strategy, website optimization.
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