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Strategic Planning for Digital Marketing Communications

Name : Sebnem KAVCIN

Course : MSc International Creative Advertising

Business : www.idefix.com

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CHALLENGES AND OBJECTIVE

1A. CHALLENGES

Within the Business Environment

1. Economic Condition: Turkey is a Eurasian country which has a dynamic and growing economy. The Turkish economy was hit by two crises in the last

few decades, one of which was at the beginning of 1994 and the next one burst in the second half of November 2000, a deep economic downturn (GNP

fell 9.5%). After this, the Economy grew an average of 6.0% per year from 2002 through 2007--one of the highest sustained rates of growth in the world.

During this period, inflation and interest rates fell significantly, the currency stabilized, and government debt declined to more supportable levels (39.5% of

GDP in 2008). However, booming economic growth contributed to a growing current account deficit (-5.6% of GDP or $41.6 billion in 2008). Growth fell to

1.1% in 2008, and the economy contracted by 4.7% in 2009 due to the global economic slowdown and reduced exports1. Correspondingly, unemployment

rates reached their highest levels due to economic turmoil. (See figure 1 and 2 in Appendix-A)2. Therefore, companies have to deal with the changing

economy and high unemployment rates in Turkey.

2. Competitive Environment : Due to the economic policies driven by the government to achieve economic stabilization, potential customers suffer from

high taxes and unemployment3. Accordingly, purchasing power of customers has decreased considerably ($923.3 billion in 2008 and $879.9 billion in

2009)4. The burdensome laws and regulations affecting Turkey's labor market are unfriendly to both workers and businesses. At present, it is difficult to

hire new workers and costly to fire them. As a result, the labor market is rigid and unable to respond to competitive pressures and to create an adequate

number of jobs.5 Within this economic environment companies are trying hard to reach customers by developing on and offline strategies and advertising

campaigns to be able to compete with others in the same business sector.

3. Increase in Internet Usage : In the 90s public awareness of the internet was very scarce, however, internet usage doubled, even tripled during the

following years (see figure 2 in Appendix-A)6. With this increase in internet usage, potential customers become more aware of the developments and

offered products. Being able to catch the latest technologic data easily, customers are now more selective regarding decision making and purchasing

products.

4. Digital Marketing replaces traditional marketing : Digital marketing is the fastest growing method of marketing since it is easier, less difficult than

traditional marketing, cheaper, and offers more options to small businesses as well. With the increase regarding internet usage, it has become easier to

reach customers via a web site, social media, video, email campaigns, online ads and any digital tools. Companies are now drawing up their budgets for

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digital marketing rather than traditional marketing which comes old-fashioned to customers and since it is more trendy, it is easier to increase company

reputation through customers. Additionally, digital marketing helps innovation due to the feedbacks taken from customers.7

Within the Online Shopping Industry

1. High taxes empoverishing the folk: Since the economy is not settled, and high taxation occurs, large amount of people spend money more

particularly on their life expenses. Although internet usage is increasing every year, a reasonable amount of people in Turkey do not own

computers nor have internet access (See figure 4 in Appendix-B)8. Thus, companies should be aware of that and set their strategies considering

this inevitable reality.

2. Lifestyle and Culture : Online shopping industry is part in the progress of westernisation. Although it is new to Turkish culture, online shopping

hit record levels. For example, US based company Groupon’s (doing business in 22 countries and 88 cities) Turkish branch “Şehir Fırsatı” is the 5th

largest market amongst all their international markets, following; US, UK, France and Germany respectively. In five months time Şehir Fırsatı, sold

150.000 tickets. Groupon started business in April 2010, in Turkey and reached 710.000 members in such a short time. Members consist of 70%

female and 30% male9. Speaking with numbers, while volume of e-commerce was 10 billion Turkish Liras by the end of 2009, it has reached 11,2

billion Turkish Liras as of third quarter of 2010 and left behind the previous year’s grandtotal. It is estimated that these record high levels in the

online shopping environment are the consequences of huge sales (50% or more) made by group e-commerce web sites10.

3. High-speed consumers : It is impossible to control news flow in the world. Consumers are much faster than companies. They explore and

spread misinformations quickly11. Therefore, companies should be included rather than trying to control the flow being opt-out. They should follow

consumer reviews via digital equipments, react quickly and use the received informations through innovation. With the consolidation of social

media, online shoppers are following online “word-of-mouth” advices rather than offline WOM since there is a huge increase in reliability to online

WOM12. This also should be taken seriously by the companies that want to stabilize their place in online shopping market.

Challenges Within idefix.com

1. Introducing a new technology : Idefix is one of the leading dot-com companies in Turkey. It pioneered many innovations since it was founded

in 1999. Nevertheless, the company has a lot of competitors within the online marketing environment in terms of books, DVDs, videos and games

sales. However, idefix presented the first e-book technology in April 2010. Considering the reading rates in Turkey which is 0,01% (in the UK and

France 21%, Japan 14%, US 12%)13, obviously, it is not going to be easy to apply such a new technology to the society.

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2. Finding a niche: Being an online business, the target is mostly the young generation (77% of users are of ages 16-34)14 in Turkey and this

young generation mainly find it bothersome to read a book, they mainly spend time on social media such as facebook, youtube, MSN, and

skype15. İdefix should determine where its audience spend more time and set its online and offline strategies correlating with this truth.

3. Security issues : Although online shopping rates are high, a considerable amount of Turkish people have this question on their mind; shall I offer

my credit card information?16 Establishing an environment of mutual trust is not going to be easy amongst society since its new. Turkish customers

find the UK or US based companies trustworthy since those are developed countries and experienced in this business for many more years than

Turkey. Being a Turkish based company, idefix should develop new regulations to raise consciousness of secure online shopping amongst its

customers to encourage them to purchase.

1B. MARKETING COMMUNICATION OBJECTIVES

1. Being the biggest online library in Turkey. This could be measured by examining the monthly website visits, member rates and active

member rates. Furthermore, the e-book sources that are available should also be measured to be able to benchmark where idefix is in amongst

its competitors. By November 2010, idefix has 532,926 members of which 211,260 members purchased at least 1 product online. 340,656 (64%)

of all are male customers, 165,219 (31%) are female customers and 26,562 (5%) have not specified their gender17.

After measuring potential customer audiences the following must be measured;

o How much time they spend on the website,

o Preparing online surveys aiming to get feedback from internet users

o Examining their point of view to online shopping and their choice of website to buy books, DVDs, games, e-books,

idefix will double its sales by August 2011.

2. Building new technology(e-book) awareness among all ages. Audience rates according to age is shown below,

AGE NUMBER PERCENTAGE

25-35 240.180 45%

36-45 101.014 19%

Not known 84.437 16%

24-below 67.190 13%

45-above 39.618 7%

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This can be measured by;

o At least 50% of customers should tell about this new technology to his/her environment,

o Stabilize the top ranking in google search results by relevent terms till August 201,1

o Reaching 100% of existing audience and informing them about e-book advantages(through e-mail marketing),

o Increase the book, DVD, game order size (monthly) by %70 (12,360visits resulted in 2003 orders last month) 18

o Increase e-book order size by 100%. ( e.g.//a campaign like buy one e-book get DVD for half price)

o Increase e-book sources by at least 200% ( idefix has 650 e-books available by December 2010) by March 201119

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SECTION 2: TECHNIQUES AND REQUIREMENTS

2A. CRITIQUE

In terms of digital marketing approaches, idefix has focused on search engine optimisation, direct e-mail and advertising on social media. Being an 11 year-old

company, it can be examined whether the marketing strategies they have had so far is beneficial or they are just wastages.

Search Engine Optimisation (SEO)

In Turkey SEO marketing started to be discovered quite late (in 2007) unlike foreign business markets and companies are now paying more attention to search

engine optimisation as it is a part of search engine marketing 20. Although idefix is listed on the first page of results for e-book, it is not seen on the first page

for books, DVDs, or games. It has to be fully optimized to be able to reach more customers and increase qualified traffic for people who know what they want

to buy but cannot decide where to get it from. Optimization can be beneficial through the following ways;

Being able to examine potential audience traffic, competition and sales volumes,

Get the knowledge of what keywords are searched by the general relevant audience who are looking for books, DVDs, and games.

A webmaster will develop content, keyword density, keyword formatting, managing online innovation campaigns, and arrange external links

from other sites which will help improve its ranking21.

There is no need to spend thousands of Turkish Liras to create brand-awareness since it is cost-free

A disadvantage might be that it could potentially take time to develop brand-awareness since content needs to be updated frequently. Key phrases and links

from other sites should be added to keep high a rank.

Search engine optimisation has already been considered by idefix, however, books, DVDs, and games sections should be optimised again due to the lack of

public awareness of e-book technology amongst Turkish people. Thus, when idefix attracts customers’ attention with a well known book, DVD or game, it can

also introduce the new technology brought to Turkey; e-book. Emphasizing advantages of e-book technology and being the pioneer company in Turkey will

significantly help creating a brand reputation.

Direct e-mail

One of the digital marketing approaches idefix focuses on is direct e-mail. The following elements can be achieved through e-mail marketing;

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Customer retention, reminding customers of available campaigns, offers and coming offers.

Customer acquisitions through forwarded e-mails, letting people around know about the campaigns.

Long-time relationships with active customers

Gathering customer data

Cheaper when compared to other marketing tools such as posters, brochures,

Return of the capital invested can be followed directly, in between online marketing tools, direct marketing is on the top second rate22

For idefix, e-mail marketing is a very useful tool. However, two years ago they changed the name of the brand from “ideéfixe” to idefix23 as a part of their

innovation purposes. However, e-mails are still sent by @ideéfixe.com. Although it has been two years, this might confuse audiences’ minds and can lead to

mistrust.

Social Media Advertising

Idefix can be followed on twitter, friendfeed and RSS (Really Simple Syndication). However, it has neither banner ads nor a developed facebook page. It is

stated that “A consulting survey of nearly 2000 experienced Internet users found that banner ads are generally more effective than print or broadcast adverts

in terms of winning over new shoppers. According to the survey, banners were a driving force for 25 per cent of users to shop online, whereas newspaper and

magazine ads incited only 14 per cent of sales via the Internet (Haig, 2001) 24.

Idefix is active on twitter and friendfeed but more attention should be paid to facebook ads since it is the leading one in Turkey. According to the statistics

Turkey is ranked as 4th regarding facebook usage in the world. It comes after US, UK and Indonesia. Two billion texts are sent daily and it has reached over

22 million members in Turkey25 (Figure 5 in Appendix B). Within this environment, not having an ad on facebook is a disadvantage. When facebook is

considered as a place where people can spend long hours as a leisure time, a company that sells books, DVDs, e-books and games should definitely advertise

on facebook. It is not an outfitter or jewellery store etc, people go on facebook for the same reasons with reading a book, listening to music, in a sense, to

have a good time (except getting in touch with people). Thus, idefix should try facebook rather than placing ads to people’s blogs.

The only disadvantage can be that after some time the customer becomes too adapted to the ads, they know what they are doing there and why so it

becomes easier to ignore ads.

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2B. PROPOSAL

Although idefix is doing well within its business environment, there is still a need to implement digital marketing approaches for achieving target objectives,

such as;

Website design

Event marketing

Search marketing (PPC)

Search Marketing (SEO)

Viral marketing

Online PR

Objectives:

Being the biggest online library in Turkey

Building new technology(e-book) awareness among all

ages

Website design: Operating only over the web, the most significant marketing approach will definitely be through the website. The main elements

that should be considered are web accessibility, content, reviewing competitors’ websites, designing the information architecture and developing

customer-oriented content26. Users shouldn’t have any disabilities while accessing the website no matter what web browser or platform they use.

While developing content, they should view it from the customers’ perspective. It should meet the needs in terms of replying to customer enquiries.

Benchmarking with competitors’ websites within the same business environment would help putting them into customers’ shoes. What are they doing

well? How are they doing in the business environment? How is their sales going? Most importantly, what are other customers' impressions of their

websites? (Customer reviews). Within the content, idefix can drive a campaign such as “Have your online e-bookshelf!” relating it to the image of a

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library. Besides, it will make it a sincere environment for the customers since they will be sharing their place with them. In other words, it will feel like

home to the customer, and this will effect viral marketing as well since the customer will talk about this in his social environment.

Event marketing: Introducing a new technology, e-book, event marketing can be very effective. To reach customers from all ages, another

campaign would be driven. The advantages of e-book technology should be emphasized. Advantages can be; being able to obtain books which are not

being publishing anymore, paying cheaper prices for books, the more e-book technology spreads, the less paper will be needed which means, less

trees will be cut. An example for this campaign can be; when a customer buys an e-book, a new tree can be planted for him/her. A partnership with

TEMA (the Turkish foundation for combating soil erosion, for reforestation and the protection of natural habitats) will draw attention since it is a social

project at the same time. In addition, since forest fires and deforestation are significant problems in Turkey, people from all ages will hear the name of

the brand and appreciate it. Another campaign can be gathering the second-hand books or used computers from people and sending them to the

Eastern parts of Turkey where most of the people cannot afford to pay for the books or computers. Brand awareness (with very low costs), social

awareness, reaching customers will be achieved with mere move like killing two birds with a stone!

Natural Search (SEO & PPC): In terms of search engine optimisation, idefix has only placed emphasis on e-book technology. However, since it will

take time for Turkish people to adopt this new technology, immediate improvement should be done on books, DVDs, and games section. Content

should be updated regularly and a keyword analysis should be performed as soon as possible. Additionally, links with other sites should be more

obvious since it is placed on the bottom of the page with a light green colour and small font sizes. An SEO master can be hired who will manage this

regularly.

Google has 95% of Turkey’s search engine market during 201027. Considering this enormous market share, idefix should start PPC advertising soon to

increase the clicks to its website. Pay-per-click campaigns utilizing geo-targeting, effective keyword search and demographic site selection allow them

to target their viewing audience much more precisely. Thus, pre-qualifying your customers to a far greater degree before they ever land on your

website.28 PPC is going to be a great option and replace blog ad placements.

Online PR: A few interviews given by the director of idefix appear on media which influenced audiences creating curiosity towards the new technology. There

is no evidence but it can be said that blog usage in Turkey is increasing, looking at the mostly visited websites statistics. (blogger.com is ranked 8th on which

you can create a free blog). So, idefix should start interacting with bloggers and well known journalists or technology magazines reporters to make itself and

the campaigns driven by them, heard by masses of people. Although paying attention on facebook more than blogs will be more effective, bloggers should be

considered in terms of PR, as well.

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2C. CRITICAL SUCCESS FACTORS (CSFs)

Being the biggest online library in Turkey.

1. Having a vast amount of resources on the platform that will enable customers to find what they are looking for.

2. Trying to multiple channels to drive the majority of site traffic.

3. Partnerships with other related companies. 4. Delivering valuable and unique content that helps to convey the message

to the customers. 5. Defining target niche and driving campaigns to reach customers.

6. Creating long-time relationships with existing customers.

Building new technology(e-book) awareness among

all ages.

1. Understanding Turkish customers’ social structure and adaptation period of newly developed technologies

2. Having an understanding of placing brand awareness amongst the

customers from different ages and regions 3. Managing online PR campaigns to stay in sight

4. Pleasing customers with website accessibility, content, delivery times and variable options enough to make the customers talk about idefix’s products.

5. Using social networks; Facebook being in the first place, Google, MSN, Yahoo etc.

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2D. KEY PERFORMANCE INDICATORS (KPIs)

Both existing and prospective customers are pleased with the service in general and website design and content.

Benchmarking to see where idefix is in amongst its competitors

Being featured on media, thus creating positive perspectives from customers,

Trustworthiness has been created among customers taking part in the social projects, and keeping the promise given to the customers. (delivery times,

quality of the products)

Customer retention is provided with high quality service and reliability in transaction section.

Long time relationship with customers has been created

Customer traffic through the company is measured using natural search techniques.

Keyword phrases are revised and goal-percentage of visits that come from direct or branded keywords are achieved

Customer feedbacks are taken serious and are used as a tool making innovations and developments.

Word of mouth- large amount of customers recommended the company to friends and immediate surroundings

Number of unique visitors and rate of new registrations

Pleased customers’ referrals are achieved.

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SECTION 3: COMMUNICATIONS PLANNING

3A. INTEGRATION

Both online and offline techniques are required to achieve company goals. As long as the right online techniques are fed by offline techniques, success will be

imperative for businesses. Here are some offline techniques which can be integrated in online business;

1. Small gift inserts in the package: According to the product which is ordered, small gifts can be inserted to the delivery package. For example; if a

customer ordered a book, a bookmarker can be sent as a gift. For DVDs and games, a low-cost CD case or stickers in the shape of CD (a sticker with

idefix logo on) can be sent within the order. For e-books; when you buy an e-book, first 3-4 pages of another book by the same author can be shown

to give an idea of the book. Being kind to the customer will help viral marketing in return. This is a well-known truth that; no matter how much money

is spent on advertising, a business cannot be more effective than a word of a peer. This method can easily be tested with following the customer

reviews and can help online PR in terms of blogging of customers.

2. Leaving brochures to the contracted merchants: Small brochures informing about campaigns (past-present-future, to give a general insight) or

invitation cards to promotional staff can be another technique. This will make the brand more visible and the name of the band will stick in the mind.

3. Billboards that are placed in critically important (well known, busy places throughout the day) places can be another effective tool to be included in

the plan. For example; inviting people to a cyber book exhibition will arouse curiosity and since it is just one click away, people will not hesitate to

access the website. Special days can be followed to apply this, since books, DVDs, games or e-book as a new technology can make a good present for

friends, family, girlfriends and boyfriends.

Furthermore, being part of a social project as mentioned previously, some financial support can be gained from the related ministry departments or

foundations.

4. Local newspapers & magazines: Since the target customer profile can be from any age, any gender or any region, it is important to be able to

reach them. Especially in the Eastern parts of Turkey, people are in dire straits. Although idefix has books for people with low budgets, they cannot

reach customers easily. Placing some ads in local newspapers may help brand awareness. Besides, some relief works can be effective as well, such as

covering the book expenses of five poor students in some schools.

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5. Delivery of leaflets or company CDs (showing e-book resources they have) to schools can be another technique. Taking into consideration that

there are least 1000 students in every school and only in Istanbul (the most crowded city in Turkey) there are 2,707 secondary and high schools28, this

means that they can reach 2,707,000 in a quick way. And this will be a prudential move as well, since most of these students will go to universities and

there will always be a need for books.

3B. MEDIA PLANNING

In online shopping environment there are some vital distinctive typologies according to the Turkish consumer behaviours. Target audience selection, media

objectives, media selection and scheduling, media buying and evaluation are the key points which should be paid attention on, considering age, gender and

interest rates29. In the market that idefix is within, there are three distinct typologies according to

the interest in cultural products statistics (which is in parallel with reading habits) in Turkey30.

Group A: New generation teenagers Ages 15 – 23. This group covers teenagers who

were born to technologic age, and unaware of old cultural

activities. They prefer surfing on the internet, having an online chat with friends, following online

social media.

Group B: Young adults & Adults Ages 23 – 50. This group covers young adults

who are aware of the past and internet revolution. More likely to

archive books and DVDs Group C: Middle age & elder Ages 50 – 65+. This group is less passionate in

reading but more likely to be interested in old music DVDs. (The reason being less passionate in reading might be that they have experienced such a

coup in 1980’s Turkey. During the year of coup, books were collected and burned as a part of military policy31. Suffering a lot from 80’s coup, people within these ages might less likely be reading books).

Ages

Group A / 0-23

Group B / 24-50

Group C / 50-65+

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Although target customers can be from all ages, Group A and Group B are more likely to be interested in cultural products. For Group A, internet is

everything in a way. they spend most of their times on the internet surfing websites, following new technologies in all over the world. They are mostly

students.

Group B consists of working people in general. Working all day long (mostly with computers) and going back home and relaxed.

While Group A and Group B are ideal audiences for idefix, Group C is more into having a rest, watching TV and following local newspapers if available.

It is hard to reach and change their minds.

Target Group Following Cultural

Products

Online Approaches Offline Approaches Summary of Approach

Group A

They are open to latest

technologies, and they want

to follow them closely. They want to create

difference among friends and environment. They are

selective with well-known

brands.

Website design and

content (attractive,

detailed info)

Online PR- social

media websites& review blogs

SEO & PPC

Facebook Ads

Traditional PR

Small gifts delivered

via books (bought

from contracted stores)

This approach will increase driven traffic to the web site

by this group since they

spend most of their times on the internet. It will help viral

word-of-mouth marketing strategy through young ages.

Traditional PR will support

brand reputation strategy.

Group B

They may be open to new technologies but since they

are working people in general, less time will be

spent on the internet. They

are likely to purchase products online however;

Facebook Ads

Online PR- social

media websites& review blogs

Online PR- articles

about the company on reliable websites

Traditional PR

Small gifts delivered

via books (bought from contracted

stores) Newspaper Ads on

social project

Online PR to increase reliability. It is the most

important element that effects decision making.

Weekly sent e-mail will

attract the attention (they check their e-mails

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they need to trust the

website and transaction methods.

E-mail

PPC-Google

Website content&

business affiliates

campaigns driven. regularly since they are

used to it from business environment) since this

group has the maximum

percentage among others, PPC and SEO will increase

active customer traffic driven.

Group C

Not open to new technologies

in general. Company credibility plays a vital role.

Prefer printed publication predominantly

Online PR- articles

about the company

on reliable websites E-mail

Traditional PR

Local newspaper

ads

PR on Social

project campaigns

Online approaches may

not be so effective for this group. Message tying to

be given bu the company should be direct; social

project campaigns will

help this and traditional PR will be integrative

solution for this group.

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3C. ROI

Some of the existing activities included Online PR, SEO and PPC are implemented and Facebook Ads is newly proposed to meet the objectives.

In order to get in return for the efforts such as Online PR and SEO, idefix must achieve a good conversation with its customers. An attractive and reliable

website design with a vast of resources and available detailed information will create high traffic on the website and will help idefix get in return for

investments have been done. Creating long time relationship with customers will support viral marketing and make customers come back to the online place

where they are happy to be on. The more satisfaction customer gets the more brand is reputable. Additionally, with key phrase selection analysis, idefix will

emphasize not only the new technology it offers, but also existing cultural staff. Thus, it will not be stuck on one channel and will be able to try other channels

which will lead a decrease in risk factors.

With Facebook Ads, idefix will reach reasonable numbers of costumers from different ages and will have a chance to popularise the new technology developed,

in a quick way. It will be able to measure target customer ranks in terms of age, gender, interests. To invest time and money, Facebook is a significant

component to the whole digital strategy.

In conclusion, to be able to be the biggest library in Turkey and reaching customers from all ages and introducing them the new technology, digital marketing

strategies identified here must be followed and approaches mentioned in the plan should be emphasized to create brand reputation.

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APPENDIX-A

Figure 1 Figure 2 Figure 3*

* Internet development rates between 1998-2007* in Turkey (x1000)

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APPENDIX B

Figure 4 Figure 5

Figure 5