3a. Pick an industry and discuss how companies have evolved their digital marketing strategy in times of COVID-19? How could they evolve further?
Can you imagine a world without seeing Dustin Martin (Dusty) score absolute whirlers for Richmond (Tigers)? I know I can’t. However, on March 22, 2020, AFL CEO Gillon McLachlan announced the postponement of the 2020 AFL season due to the Coronavirus threat (Barrett 2020). My worst possible nightmare came alive. No Footy. No Dusty. No Tigers.
Despite the heartbreaking news and a long two months, the 2020 AFL premiership season announced its great return on June 11th (McGowan 2020). AFL fans alike were ecstatic about the news, but also confused. We asked ourselves a few questions. The stadiums are going to be empty… I physically won’t be able to attend the game… The atmosphere for the games is going to be mediocre… How am I going to engage with the footy now? How am I going to watch the tigers thrash Collingwood in the first game of the reboot?
My prayers were answered. Teams within the AFL premiership evolved their digital marketing strategy during COVID-19 in a way that engages fans across Australia.
You might ask yourself what is a digital marketing strategy let alone a strategy?
Essentially, a strategy provides a clear roadmap for making decisions about how you will direct your resources (Watkins 2007). For example, when Richmond plays their strategy is essentially pass the ball to Dusty and he will score. All jokes aside, a strategy is always essential for a business, especially during uncertain and difficult market situations. A strategy can be broken down into the following aspects
- Defines how a business will meet objectives,
- Defines and sets the allocation of resources to meet goals,
- Selects preferred strategic directions to compete within a market and
- Provides a long-term plan for the development of a business (Chaffey & Ellis-Chadwick 2019).
Now we know what a strategy is, explaining digital marketing strategy will be a piece of cake. Kind of…
Firstly, let’s go back in time to 2001. Researcher Michael Porter claimed that the digital era will have heightened importance on strategy. Porter encouraged businesses to be cautious and suggested organisations to focus on digital when developing their strategy (Porter 2001). Essentially, a researcher predicted in 2001 that digital marketing is going to be key to sustain a competitive advantage. What was around in 2001 in the context of digital technologies? Definitely not what it is today… Not the point, what is the point is Porter was not wrong. He was spot on.
A digital marketing strategy is a lifeline for the contemporary business, especially during COVID-19. Needless to say, a digital marketing strategy is a framework that helps an organisation achieve specific DIGITAL goals through carefully selected ONLINE marketing channels (Chaffey & Ellis-Chadwick 2019). Essentially, it defines how a company sets channel-specific goals and develops a differential channel proposition. However, channel-specific communications need to be consistent with the characteristics of the channel and the target audience to ensure channel integration (Chaffey & Ellis-Chadwick 2019). These channels can include paid, earned and owned media.
As mentioned in last week’s blog, the internal and external environment have influences on a digital marketing strategy. Ranging from competitor strategies, emerging opportunities and the objectives of a strategy a business needs to analyse the internal and external environment to formulate a digital marketing strategy that will uphold digital excellence (Chaffey & Ellis-Chadwick 2019).
This leads into the next topic, digital marketing initiatives.
Within the world of digital marketing, there is a range of digital marketing activities that must be managed as part of a digital marketing strategy. These activities include
- Customer acquisition,
- Customer conversion, proposition and experience development and
- Customer retention and growth (Chaffey & Ellis-Chadwick 2019).
A contemporary example of digital marketing initiatives is seen within the banking sector of Australia. When COVID-19 forced the first initial lockdown, banking branches closed throughout the country and only a handful remained open. In order to maintain customer retention and growth, the big 4 banks transitioned and focused resources towards developing a banking service that could be fully utilised online – the first time in Australian banking history. Essentially, COVID fast-forward the digital banking revolution in 2 months not 5 years (Yeates 2020). Customers can talk to chatbots to sort out home loans or credit cards and utilise the respected banking branches mobile app for day-to-day spending. Needless to say, the big 4 banks identified the initiative to focus resources on customer retention during COVID-19 from a digital perspective.
With all being said and done about digital marketing strategy, how does one approach the development of strategy?
I’m glad you asked! SOSTAC!
The SOSTAC approach has six steps; Situation analysis, Objectives, Strategy, Tactics, Action and Control.
Situation analysis
The first step of this framework essentially means ‘where are we now?’. This stage includes performing a specific digital SWOT analysis and reviewing different aspects of the micro and macro-environment (Chaffey & Ellis-Chadwick 2019). If you are interested in gaining a deeper understanding of the micro and macro environment, please refer to last week’s blog!
Objectives
The second step asks the question ‘where do we want to be?’. This step can be approached as a vision for digital channels or numerical objectives of the digital channels such as cost savings(Chaffey & Ellis-Chadwick 2019).
Strategy
The third step dives into the question surrounding ‘how do we get there?’. This step summarises how to achieve the objectives you concluded in step 2. Concerning the figure below, strategies can include market development, diversification, market penetration and product development strategies (Chaffey & Ellis-Chadwick 2019).
Tactics
This step defines the usage of digital tactics including the marketing mix, customer relationship marketing and digital communications(Chaffey & Ellis-Chadwick 2019).
Actions
This step explains itself. This refers to the action plan, project management skills and change management (Chaffey & Ellis-Chadwick 2019).
Control
The last step looks at analytical tools such as web analytics to assess if objectives are achieved and if modifications can me made to enhance results (Chaffey & Ellis-Chadwick 2019).
Overall, the SOSTAC approach provides a framework for digital marketers to identify what is happening in the marketplace now, provides clear objectives, gives clear strategic direction, summaries the tactics and measures to achieve the strategy and has measures in place to monitor the strategy.
So what’s the ultimate goal from a digital marketing strategy standpoint?
It’s simple, achieving digital marketing excellence. Essentially, this means being able to reach the right target audience, creating content to be more engaging and successful, understanding your customers paint points and barriers so you as a brand can better address the problem (Chaffey & Ellis-Chadwick 2019). Ultimately, this leads towards building a better service or product on what your customers think or say among other things.
With that out of the way, lets talk about how the AFL, in particular how the league has evolved their digital marketing strategy in times of COVID-19.
The AFL and respected teams identified during the leadup of the reboot that footy stadiums will initially be empty with only players and staff being present at the field. In particular, Victorian footy teams such as Richmond, Collingwood, Essendon, Carlton and so on identified due to the states current situation battling the virus when compared to the other states – empty stadiums is going to be the reality for the rest of the season.
Richmond and co asked the tough question– how are we going to engage our audience and give the fans the experience that they are looking for? They turned to technology and further implementing this into their digital marketing strategy. From taking this approach, the AFL and respected teams are ultimately addressing one of the fundamental the digital marketing initiatives as the league is actively attempting to further engage customers and build on customer experiences.
How did they implement this? In-game vision of supporters watching from home – referred to as the virtual audience.
During the first game of the reboot, Collingwood CEO Mark Anderson mentioned the empty stands will feature carboard cut-outs of selected Collingwood members digital faces on them (McGowan 2020). Ultimately, this approach engages the audience in a way that has never been seen before in the league. From embracing technology, the league can provide passionate members, like myself, the next best thing – supporting my team virtually.
However, as the reboot rounds progressed, the league turned to new approaches to increase fan engagement in empty stadiums. The league turned to the use of audio effects to produce fake crowd noises to add to the atmosphere for the fans watching at home (Seven News 2020). Ultimately adding to the viewers enjoyment and experience behind closed Melbourne games.
Overall, from AFL teams investing in features such as virtual fans and fake crowd noise it ultimately engages the audience and improves the fans experience during dire times. Needless to say, the digital strategic initiatives implemented by the league improves the customers brand experience with each team. Yes, it’s not as good as being at the game, but it’s better than nothing.
So how can the AFL, in particular Melbourne teams evolve their current digital marketing strategy?
Firstly, the league could consider augment reality (AR) software to fill empty stadiums. In America, Baseball is back, and they face the same problem we have in Australia – empty stadiums. However, Fox Sports will be taking virtual fans to the next level. They are aiming to combine technologies that has never been seen before as they attempt to utilise AR to create fake crowds in stadiums (Gartenberg 2020). Ultimately, Fox Sports is taking the next step and the AFL can take notes. From implementing AR, the AFL will be able to add normalcy back into footy and viewers at home will be able to enjoy the footy without the noticeable empty stadium. From taking this approach it will not only add to the fan’s engagement, but also add to their experience while watching the footy from home.
The AFL can also refer to an English Premier League (EPL) club by looking into what Chelsea FC implemented during the suspension of the EPL season. Throughout the lock down, Chelsea FC actively engaged with their fans virtually by offering virtual family sports days (Chelsea FC 2020). These sport days are aimed to get Chelsea fans engaged during COVID by offering a a range of challenges. Participants needed to record themselves completing the challenges. The winners of the challenge won singed Chelsea shirts and they were published on Chelsea FC channels (Chelsea FC 2020). Needless to say, Chelsea was able to engage with their audience through virtual platforms during COVID as a means to add to their experience with their club, but also as a means to engage with their club. This is an area where Richmond can evolve their current digital marketing strategy. If I saw the Tigers offer a virtual sports day featuring Dusty, I would get involved! It’s a great way for myself and other Tiger fans to get involved and engage with the team.
Digital marketing strategies have never been so important. Brands across the world in every industry are required to adapt their strategy to new technologies and utilise it a way that adapts to the current situation we are facing. Whether that is the sport industry, hospitality or even retail, the brand and customer are required to change the way we consume and share content.
However, if a vaccine was to be developed will virtual audiences still be the norm? Will digital technologies forever change the way we view and consume content? I guess time will tell.
References
Barrett, D. (2020). ‘Most serious threat in 100 years: AFL postpones season’, AFL, viewed on 26/08/20, accessed from: https://www.afl.com.au/news/389109/-most-serious-threat-in-100-years-afl-postpones-season
Chaffey, D., Ellis-Chadwick, F. (2019). ‘Digital Marketing: Strategy, Implementation and Practice’, 7th Edition.
Chelsea FC. (2020). ‘Take part in virtual family sports day!’, Chelsea FC, viewed on 26/08/20, accessed from: https://www.chelseafc.com/en/news/2020/05/28/take-part-in-virtual-family-sports-day-
Fox Sports. (2020). ‘No fans? Not on FOX Sports. Thousands of virtual fans will attend FOX’s MLB games this Saturday’, Twitter, viewed on 26/08/20, accessed from: https://twitter.com/FOXSports/status/1286281346390740993?ref_src=twsrc%5Etfw%7Ctwcamp%5Etweetembed%7Ctwterm%5E1286281346390740993%7Ctwgr%5E&ref_url=https%3A%2F%2Fwww.theverge.com%2F2020%2F7%2F25%2F21336017%2Ffox-sports-baseball-virtual-fans-epic-unreal-engine-empty-stadiums-mlb
Gartenberg, C. (2020). ‘How Fox Sports will use virtual fans created in Unreal Engine to fill empty stadiums in MLB broadcasts’, The Verge, viewed on 26/08/20, accessed from: https://www.theverge.com/2020/7/25/21336017/fox-sports-baseball-virtual-fans-epic-unreal-engine-empty-stadiums-mlb
McGowan, M. (2020). ‘Members in the stands? Pies float carboard cut out idea’, AFL, viewed on 26/08/20, accessed from: https://www.afl.com.au/news/435638/members-in-the-stands-pies-float-cardboard-cutout-idea
Porter, M. (2001). ‘Strategy and the Internet’, Research Gate, 79(3), 1-10.
Seven News. (2020). ‘Channel 7 releases footage of AFL game with artificial crowd noise’, Seven News, viewed on 26/08/20, accessed from: https://7news.com.au/sport/afl/channel-7-releases-footage-of-afl-game-with-artificial-crowd-noise-c-1002712#:~:text=As%20revealed%20by%207NEWS%2C%20the,over%20Carlton%20in%20round%20one.
Watkins, M. (2007). ‘Demystifying Strategy: The What, Who, How, and Why’, Harvard Business Review, viewed on 27/08/20, accessed from: https://hbr.org/2007/09/demystifying-strategy-the-what
Yeates, C. (2020). ‘COVID speeds up digital banking revolution in 10 weeks not five years’, The Sydney Morning Herald, viewed on 27/08/20, accessed from: https://www.smh.com.au/business/banking-and-finance/covid-speeds-up-digital-banking-revolution-in-10-weeks-not-five-years-20200528-p54x9u.html
The world of digital marketing 
A very comprehensive and well written blog!!
LikeLike
Thanks!
LikeLike
This is really detailed and I love how you used pictures and videos to support your content! If you have a chance, please feel free to visit my blog over at https://christinaalberto.wixsite.com/mysite and leave a like/heart if you enjoyed reading my blog! Thanks!
LikeLike
Thanks for the feedback! I will be sure to head over to your blog 🙂
LikeLike
Cool!
LikeLike