Marketing Communications|Social Media

New Media & The Rise of Instagram For Businesses

instagram for businesses

It’s hard to remember a time when people didn’t have access to the internet. In the world today, almost everything is digitalized and connected to the World Wide Web. With the Internet being the fastest growing medium ever (Flew, New Media: An Introduction), it became possible for internet users to create and distribute huge amounts of digital content. Digital information in the form of data, sound, images, and texts distributed through telecommunication networks is described as digital media or new media. Another approach to define new media is the combination of the following three C’s: computing and information technology, digitised media and information content and communications networks. According to Miles, Rice, and Barr, this unique combination can be described as convergent media. In his paper ‘Commentary: Teaching media convergence and its challenges’, Bhuiyan explains how the true meaning of convergent media is ever-changing and that it is suitable to be termed as ‘adaptive media’ instead. He goes on to state that even with new media surrounding us, it doesn’t necessarily mean that ‘old media’ isn’t present anymore, giving an example of how newspapers have outlasted decades after the introduction of new media. Flew characterizes new media as digital information that can be easily modified at any stage of its creation; has an extensive network through which it can be cover any length of distance; is compressible and can be stored in a small space. By encouraging quality and quantity of participants on the internet, the concept of ‘Web 2.0’ introduced the world to the idea of social networking.

Originally created as a personal tool to share information, social media has been adopted by businesses of all sizes to reach out to their stakeholders. A recent report reveals that there are almost 3 billion active social media users worldwide, out of which 2.6 billion social media users access the internet via mobiles (Kemp, The global state of the internet in April 2017). Therefore, the importance of social media platforms like Facebook, Twitter and Instagram cannot be overlooked (Anderson, Getting acquainted with social networks and apps: picking up the Slack in communication and collaboration). Armelini and Villanueva (Adding Social Media to the Marketing Mix) mention the possibility of social media marketing overpowering the effects of traditional advertising since companies have started adding social media to their marketing mix. With limited marketing budget as one of the major driving factors, companies are viewing social media as an economical option when compared to alternatives like traditional advertising. In addition to these factors, the shift towards social media is due to internet users’ disinterest in using conventional online marketing like banner and email marketing (source: Gilin, as cited in Latiff and Safiee’s New Business Set Up for Branding Strategies on Social Media – Instagram).

The rise of Instagram as a marketing channel

Instagram is one of the most successful social media platforms with more than 600 million monthly active users from all over the globe (Wiltbank, Small Businesses: If You’re Not On Instagram, You’re Behind). While this social media platform may have elements similar with other social giants like Twitter and SnapChat, it has surpassed both these networks in terms of number of users. Besides its photo-sharing feature where users can add hashtags to be more discoverable (much like Twitter), Instagram users can also share minute-long videos and upload ‘stories’ that highlight their favourite ‘moments’ (similar to SnapChat) (Montenegro, Why Instagram Is Social Media’s Rising Star For Business). In her article, Wiltbank mentions how this social channel recently introduced simplified analytics, thus making it easier for brands to use it as an advertising platform. With over 150 million users every day (Constine, Instagram Stories hits 150M daily users, launches skippable ads), Instagram is, no doubt, an attractive marketing tool for businesses. When comparing it with online advertising, a Nielsen study reveals that ad recall from paid posts on Instagram is more than 2 times higher (when compared to other platforms) (Chaykowski, Instagram, The $50 Billion Grand Slam Driving Facebook’s Future: The Forbes Cover Story). This study involved over 700 campaigns on Instagram.

What makes almost 50% of brands worldwide market themselves on Instagram is more than just a new online space to advertise

(Curtin, 21 Important Facts About Instagram)

According to Wiltbank, rich media-sharing and direct response delivery are major factors that drive brands to use this social media giant to gain more users. Instagram has access to the right target audience with its technologically advanced analytics tool helping brands choose from different demographics, behaviours, and psychographics (Bandar, Is Instagram marketing still valuable for brands?). Two-third of marketers admit that rich visuals are vital for a brand to communicate with its consumers, thus brands are using Instagram to increase their conversion rates by 64%. Since half of Instagram users follow at least one brand, this platform proves to be an efficient channel for brands to launch campaigns and generate immediate sales.

How have brands successfully created their identity and increase their following on Instagram?

  1. Creating engagement with their audience through competitions,
  2. Connecting with influencers to spread the brand name and
  3. Sharing User-Generated Content (UGC) (The Guardian, ‘Reviews, tweets, Instagram posts: why customers are the new marketers; With 70% of consumers trusting reviews over sales spiel, user-generated content is a powerful tool. Sophie Turton explains how it can build your brand’)

The following factors play a big role in creating brand loyalty on social media channels:

  1. Fast customer service,
  2. Quick response time to negative customer feedback, and
  3. Establishing a friendly relationship with customers (Latiff and Safiee, New Business Set Up for Branding Strategies on Social Media – Instagram)

While some claim that the future of Instagram looks rather meek due to the overloading of users and brands (Lucey, The future of Instagram is spam), a research has revealed that this popular social network may be ‘the art gallery of the future’ (Millington, Is Instagram ‘the art gallery of the future’?).

 

This communications strategy evaluation was first put together as a part of my coursework for master of marketing communications at the University of Melbourne.

Marketing Communications

Sensory marketing: Scent marketing vs Virtual Reality (VR) integrated marketing

sensory marketing

In the marketing world today, brands are fighting for the consumers’ attention so much so that every couple years new platforms are launched in an attempt to catch the most number of eyeballs. As more ads pop up both online and offline, it is evidently getting harder for brands to leave a lasting impression on their target audience. Consumers are smarter now though – skipping through ads giving them little to no attention. And this is the reason why the future of marketing may just be sensory marketing, a marketing technique that involves subconscious influence over customers’ senses. What better way to market products and services when the consumer is oblivious to this new marketing tactic? One of the first experts to identify the strength of sensory marketing is Dr. Aradhna Krishna, a behavioral scientist at the University of Michigan. She defines it as “marketing that engages the consumers’ senses and affects their perception, judgment and behavior”. Jennifer Johnson, senior vice president at Bioscience Communications, calls sensory marketing ‘a powerful communication vehicle that allows you to feel’.

Let’s take a look at where it all began. In early 2000s, innovative companies, such as hospitality giant Marriott International, started experimenting with sensory marketing. Marriott invested in the diffusion of carefully chosen scents to stimulate positive memories, reduce stress and relax customers. Studies have shown that the right fragrance has been able to make guests feel more comfortable at hotels.

sensory marketing
Image courtesy – Pexels

According to Forrester Research, customer experience programs are as responsive to emotional experiences as they are to functional experiences. In other words, marketers have an opportunity to invest in sensory aspects of the customer experience. Not only will this help them build loyalty among customers, it will push them to overcome similarities in business such as products, prices, and services. While sensory marketing provides a more holistic brand experience, Pam Scholder Ellen, a marketing professor at Georgia State University points out that in the case of scent marketing the ‘brain responds before you think’. Since smell generates 75% of emotions, this powerful quality combined with not having to bypass a logical brain makes scent a strong tool in terms of marketing (Scent of a Brand, Davis). Reaffirming this, JW Marriott’s Vice President – global brand leader, Mitzi Gaskins, stated that ‘scent is just as important as music, lighting, and botanical elements in creating the right mood’.

Surprising to some, another finding claims that scent marketing doesn’t suit all customers. Some guests are skeptical and often believe that strong odours in hotels are probably diffused to conceal a less pleasant odour. Additionally, in scent marketing, only a limited number of people can participate in a physical location (Marriott Hotels brings consumers on virtual-reality expedition, Precourt).

While the primary aim for sensory marketing is to express the values of the company to help establish a brand image, scent marketing is evidently a long-term strategy as compared to short-term strategies that dominate visual mediums such as Virtual Reality.

VR offers a complete immersive experience which would not be possible in the real world. A perfect example is that of Virtual Reality integrated in Marriott’s marketing strategy in 2014 with the launch of Teleporter booths. The targeted customers were newlyweds who were given options to travel to exotic honeymoon destinations through ‘the Teleporter’. Fitted with Oculus Rift headsets, they were ‘teleported’ to Hawaii and London. This innovative 4-D technology heightened customers’ sensory experiences by splashing water on their skin, blowing wind through their hair and making them feel the warm sun rays. As Marriott’s global marketing officer, Karin Timpone, points out “V.R. helped us tell a story and inspired people to travel”. By blending VR with the firm’s marketing strategy, it is possible to invite people from all over the globe. This redefines the relationship with the firm’s most important stakeholder – its customers. On the other hand, the current high cost of VR equipment and production cannot be ignored. However, this seems to be minor blimp on the radar as VR is expected to be a part of the average home-entertainment packages in the near future.

Linnaeus University’s Professor Bertil Hultén gives a deeper understanding of these two distinct sensory marketing strategies in his research paper on ‘Sensory Marketing: the Multi-Sensory-Brand Experience Concept’. Hultén’s multi-sensory brand-experience hypothesis focuses on the neglected customer experience and how its influenced by the five human senses.

Lasting brands are created by developing a strong emotional connection with the consumer since it’s been proven that in addition to products and services, customers also buy emotional experiences.

Built on several primary and secondary information sources, Hultén’s study describes how a customer creates an image in his mind after interactions with the brand service or product, thus creating an experience.

Comparing scent marketing strategy and VR-integrated strategy, one can note that while smell is vital, when paired with another sense, the overall effect can be enhanced. VR has proven to be a multisensory opportunity for brands to engage with its customers, differentiate themselves from their competitors and build loyalty (Marketing to the senses: Opportunities in multisensory marketing, Pathak & Calvert). A well-developed multi-sensory marketing strategy will help companies differentiate their brand’s identity from competitors and create successful customer relationships.

 

This analytic case study was first put together as a part of my coursework for master of marketing communications at the University of Melbourne.

Previously published on YourStory.