Wednesday, February 5, 2014

"Communications is at the Center of Everything"

Communication as an Overall Strategy


Argenti, Howell and Beck’s article explains how important effective communication is in any organization (2005). I agree with the idea that effective communication is important because in order to implement any successful strategy, one must communicate it to others involved. A FedEx CEO explained that “communications is at the center of everything. You can’t execute if you can’t communicate about it” (Argenti, Howell and Beck, 2005). FedEx handled the layoffs of many of its workers by offering severance packages and providing a clear channel of communication to employees to make a bad situation a little less painful (Argenti, Howell and Beck, 2005.) The FedEx story is a good example of why I agree so strongly with the characterization of communication that this article puts forth. Effective communications can improve the image of a company to its employees and in turn to the rest of its publics. 


Applications of Communication in Marketing and Advertising

Effective communication requires understanding what type of media will be most suitable to send messages to the targeted audience.  Creating a positive brand image and brand awareness are among the things that marketing can do with effective communication strategies (Hill, 2014). Advertising has similar applications because advertisers focus on ways their ads are communicated effectively. JC Penny’s downturn under CEO Ron Johnson is a good example of the result of poor communication (Mahoney, 2013). Under Johnson, the company gave a message of inconsistency to its target audience by re-instituting sales and cancelled promotions the company had previously done away with (Mahoney, 2013). This is exactly the kind of confusing, inconsistent communication that is detrimental to an organization’s strategy. When it comes to marketing and advertising, strong communication is the key to successful execution (Argenti, Howell and Beck, 2005).


Social Media as a Strategy

Social Media plays an important role in a company’s overall strategy. A company can use many different social media channels to help align the message their company sends to its audience. Social media can be used to deliver almost any type of message to consumers and reach specific groups depending on what audience a company wishes to reach. According to Fast Company, the 55-64 age group is the fastest growing group on Twitter and the 45-54
age group shows the fastest growth on Facebook and Google+ (Cooper, 2013). This data illustrates why it is important for a company to know its audience to help determine which social media channels to use. Fast Company also explains that 80% of users prefer to connect with brands via Facebook (Cooper, 2013). This is a big indicator that social media can play a significant role in an organization’s communication with its audience.
 To see “10 Surprising Social Media Statistics That Will Make You Rethink Your Social Strategy” click here.


Aligning Communication, Social Media, and Marketing

In order for a company to enhance its strategic positioning, it is clear that traditional advertising and marketing roles can improve through effective communication. Knowing one’s audience is crucial in determining how social media technology can serve as a key to heightened communication. Social media provides companies with the opportunity to understand and target specific audiences to make marketing more effective than ever before. 


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References
Argenti, Howell, & Beck. (2005). The strategic communication imperative.. MIT Sloan Management Review. Retrieved from https://www.dartmouth.edu/~opa/communicators/fall08/reading/Sloan_MIT_Strat_Comm_Imp.pdf
Cooper, B. (2013). 10 Surprising Social Media Statistics That Will Make You Rethink Your Social Strategy | Fast Company | Business + Innovation. Fast Company. Retrieved from http://www.fastcompany.com/3021749/work-smart/10-surprising-social-media-statistics-that-will-make-you-rethink-your-social-stra
Hill, B. (2014). The Importance of Marketing & Communication. Small Business. Retrieved from http://smallbusiness.chron.com/importance-marketing-communication-3573.html
Mahoney, S. (2013). Johnson's Downfall At JCP: 'Misunderstood Advertising'. MediaPost Publications. Retrieved from http://www.mediapost.com/publications/article/197658/johnsons-downfall-at-jcp-misunderstood-advertis.html

11 comments:

  1. Hi Ian,

    I love the article on the 10 Surprising Social Media Stats! I was especially drawn to the fact that “YouTube reaches more U.S. Adults Aged 18-34 than any cable network” and “Even though 62% of marketers blog or plan to blog in 2013, only 9% of US marketing companies employ a full-time blogger” (Cooper, 2013). A company could be spending millions on television advertisements while they are really missing out on a key audience that is either fast forwarding advertisements on DVR or viewing videos on YouTube. This is why it is especially important to know your audience and plan out which social media channels to use to communicate to them. YouTube seems like an untapped resource since it can provide a direct link to your company by proving customers with short videos on products, services, personnel, etc.

    I find the blogging stat interesting because even I wasn’t aware until this class just how much goes into blogging and I don’t think many companies are aware either. Yes, every company can have a blog but where are they getting the content? We are given topics to blog about but marketers need to come up with interesting and engaging topics that will interest their customers and that will push them to the top of search results. As Fast Company recommends, they should hire a full time blogger who can be constantly adding content and integrating social media sites and company advertising with the blog (Cooper, 2013). Much like we are doing for this class but in a much larger scale.

    Thanks for sharing!
    Meagan

    References:
    Cooper, B. (2013). 10 Surprising Social Media Statistics That Will Make You Rethink Your Social Strategy. Fast Company. Retrieved from http://www.fastcompany.com/3021749/work-smart/10-surprising-social-media-statistics-that-will-make-you-rethink-your-social-stra

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    Replies
    1. Meagan,
      I agree with you that companies should employ someone to take care of their blogging and other social media content. Many companies still try to reach the public through mass communication. They use things like television commercials and as you mentioned, it costs a huge amount of money. Although our blog posts are much less extensive than a company blog would have to be we are still blogging for free. That is part of the attractiveness of online media, most of it costs much less than traditional media and still effectively communicates with consumers.
      Online point to think about would be the fact that many people are now using mobile technologies to access the internet. This means that they are viewing messages on the go. While on the go it is much harder to get someone to see a television commercial, but they can still find your online media. 55% of Americans have used a mobile device to access online content and of that 55%, 31% of those people said that mobile was their preferred way to access the internet (McGrane, 2013). Blogs and other types of online content is starting to be one of the most effective ways to effectively communicate with consumers.

      References

      McGrane, K. (2013, May 28). HBR Blog Network. Harvard Business Review. Retrieved February 5, 2014, from http://blogs.hbr.org/2013/05/the-rise-of-the-mobile-only-us/

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  2. Hi Ian and Meagan,
    Thanks for sharing some great information! Especially with the growing rate of adult social media users, utilizing social media can prove to be an important aspect for any company. The most important thing to remember though is to make sure communication on these platforms are planned and consistent. With company commitment, social media can help an organization dissemenate information quick and effecetively. Contrary to this, if an organization has a social media site, but fails to update it, it can hurt them more than help. Do you think it is better for a company to utilize only a few select social media sites where most of its current and potential audience are active? Or do you think they should use a wide range of sites to appeal to audience members?

    -Pat

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    Replies
    1. Patrick,
      I believe that having a social media page is not enough for a company. They should also publish interesting content regularly. This is important because it will keep readers engaged and bring new readers to the site. If a company does not update the content regularly customers will either feel forgotten about or simply lose interest in the site. Either of those two outcomes are bad for the company.
      As far as decided which sites to use, it entirely depends on the company. They need to be able to dedicate enough time to the sites to create meaningful content. They should also choose the site based on target audience. For example one of the statistics I learned was that 45-54 year olds are the fastest growing group on Twitter (Cooper,2013). This means that Twitter may be a good place to start if you are trying to reach this market.
      References
      Cooper, B. (2013). 10 Surprising Social Media Statistics That Will Make You Rethink Your Social Strategy | Fast Company | Business + Innovation. Fast Company. Retrieved from http://www.fastcompany.com/3021749/work-smart/10-surprising-social-media-statistics-that-will-make-you-rethink-your-social-stra

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  3. Ian, you couldn’t have selected a more appropriate example of the negative impact of poor communication on an organization than J.C. Penney. J.C. Penney’s attempted rebrand resulted in failed communication with numerous key constituents including employees, consumers, and investors. I did extensive research on J.C. Penney in my Public Relations class as part of this IMC Program. The rebrand resulted in rapid changes across J.C. Penney, including its mission, structure, brand, operations, and technology. Changes of this magnitude have an unavoidable impact on an organization's stability. Unfortunately, management handled this change poorly keeping key constituents in the dark about their fate and the fate of the organization. They turned the internal culture at J.C. Penney into one of opacity rather than transparency (Bhasin, 2013, February 22). Similarly to what we learned in this week’s reading, Lattimore et al. (2012) say a clear communication policy can improve organizational culture whereas unstated policies often result in rumors, confusion, and misinformation.

    References

    Bhasin, K. (2013, February 22). Inside J. C. Penney: Widespread fear, anxiety, and distrust of Ron Johnson and his new management team. Business Insider. Retrieved from http://www.businessinsider.com/inside-jcpenney-2013-2#ixzz2MdF8zTjnhttp://www.businessinsider.com/inside-jcpenney-2013-2

    Lattimore, D., Baskin, O., Heiman, S., & Toth, E. (2012). Public relations: The profession and the practice. (4th ed.). New York: McGraw Hill.

    ReplyDelete
    Replies
    1. Bobbi Sue,
      Thanks for the great Feedback,

      I remembered reading a case study about JC Penny in an earlier class and it seemed to exemplify exactly what can go wrong with communication. The company was not communicating effectively but even worse it was not listening to the feedback that customers were giving. I felt that it was a good example of what not to do when communicating with an audience. Being able to adjust communications based on feedback from key customers is something that all companies should view as highly important.

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    2. Hey Ian and Bobbi Sue,

      While I haven't done too much research on J.C. Penney myself, I do remember the confusing rebrand the company went through. Its commercials spoke to its change in pricing strategy, which in the end just confused the customer. This was where the break in communication occurred. According to one article, after the rebrand J.C. Penney realized the word "sale" was really what drove its customers to the store. In addition, a study revealed that 65% of people connect with brands on Facebook and social media to receive information on offers and promotions. By taking away its sales (and making a big deal about it), J.C. Penney's rebrand took away the most important method in driving traffic to the store. The company did not do its research and did not effectively communicate with its customers, and because of this the company suffered.

      Reference:
      Olenski, S. (2012, June 15). JC Penney's Epic Rebranding Fail. Forbes. Retrieved from http://www.forbes.com/sites/marketshare/2012/06/15/jc-penneys-epic-rebranding-fail/

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  4. Hi Ian,
    Great job on your post this week. I love the layout and pictures you included. I completely agree on the importance of strategic communication and paying special and close attention to the media platforms your target audience frequents. I'm curious to hear your thought on strategic communication "planning" as well. In our Intro to IMC course last semester we read Larry Percy's text Strategic Integrated Marketing Communications. In this text Percy states,"At its heart, IMC is really all about planning, and what it takes to deliver a consistent and effective message." How do you think planning should tie into strategic communication?

    - Damaris

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    Replies
    1. Resource
      Percy, L. (2008). Strategic integrated marketing communication. (1st ed.). Burlington: Elsevier Inc.

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    2. Damaris,

      Thank you for the great feedback!

      I believe strategic communication and planning should go hand in hand in any organization. In order to communicate effectively, companies need to be able to create meaningful content and make it accessible to different people and groups. In order to publish content on different types of media such as social media, television, etc., planning is needed. Planning is needed to ensure that all of these different avenues of reaching the customer deliver a consistent message. Being able to deliver a consistent message is extremely important because it informs people what your brand stands for and helps people identify with your company. Ultimately, planning is the initiating step that helps businesses design and achieve strategic communication goals.

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    3. Precisely! I think having a strategic communications plan actually gives way to being able to handle the "unplanned" while still ensuring the planned tasks get done. For instance, if I was a public relations practitioner working on a fashion brand I would be pitching the latest collection to magazine editors, posting timely content and pictures on the companies social media platforms and other "planned" tasks. But let's say last night a certain celebrity was photographed wearing my clients dress. Now in addition to what is planned I have pitch the dress the celebrity was wearing along with the picture of the celeb wearing the dress. With a set plan practitioners can stick to the plan as well as handle things that come up and ensure that nothing gets lost in the fire.
      - Damaris

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