LDR660 SA Professor David Lucas Team Catherine alvarez Shelley Corp Sieata Duhart Nakia shipp HUGE Digital Strategy Case Study Primary Focus Huge Corporation is a global digital agency headed by Aaron Shapiro that specializes in aiding large companies such as Pepsi Cola and Comca ID: 309527
Download Presentation The PPT/PDF document "Strategic Planning and Implementation" is the property of its rightful owner. Permission is granted to download and print the materials on this web site for personal, non-commercial use only, and to display it on your personal computer provided you do not modify the materials and that you retain all copyright notices contained in the materials. By downloading content from our website, you accept the terms of this agreement.
Slide1
Strategic Planning and ImplementationLDR660 SAProfessor David LucasTeam: Catherine alvarez, Shelley Corp, Sieata Duhart, Nakia shipp
HUGE Digital Strategy
Case StudySlide2
Primary Focus:Huge Corporation is a global digital agency headed by Aaron Shapiro that specializes in aiding large companies such as Pepsi Cola, and Comcast in retaining its stronghold within the marketplace that they presently compete in by using certain pretexts like interactive marketing, and media planning.Slide3
Primary Focus:For instance, according to an article posted on AaronShapiro.com it list and speaks about (quite eloquently) on how retailers should understand on how to serve its users. Slide4
Primary Focus:Shapiro states, “When a purchase is on the horizon, consumers subconsciously balance four key factors — trust, convenience, price and fun (TCPF) — to decide where to go. Some people will pay more to buy something that’s convenient; others will buy from a less-than-reputable source if it means getting a good deal. It also varies with the person’s current mindset.” (http://aaronshapiro.com/blog/retailers-mobile-serving-users/)Slide5
Let’s take a listen to Aaron Shapiro from Huge as he offers social media tips to shoppers: (03:03)Primary Focus: Slide6
Responding to an Issue/OpportunityAccording to research conducted by Leaf Van Boven, and Thomas Gilovich affirms that a customer having fun when it comes to purchasing can take the place over trust, convenience, and pricing over a product by 34% of the consumer not being happy while the other 57% who has fun feels better about their purchases.Slide7
Responding to an Issue/OpportunityAccording to research conducted by Leaf Van Boven, and Thomas Gilovich affirms that a customer having fun when it comes to purchasing can take the place over trust, convenience, and pricing over a product by 34% of the consumer not being happy while the other 57% who has fun feels better about their purchases.Slide8
Examples of Strategies when it comes to mobile purchases which includes the following.Retailers: Mobile is for “serving” your users.Slide9
General EnvironmentOrganization VisionCurrent position in market
Industry
Environment
Market/revenue and spend (dollars/for digital marketing) and potential growth
Ease of entry into industry
Number of companies entered into market in last 3-5 years
Competitor Environment
Major competitors
External AnalysisSlide10
Responding to an Issue/OpportunityLet’s examine the above example given to us by the above Alan Shapiro. He stated that “retailers like Apple and Wet Seal maximize the in store shopping experience by letting shoppers play with iPads and use kiosks to create outfits, the best digital marketing initiatives maximize the shopping experience online and on the phone. Pizza Hut’s original iPhone application incorporated fun into the shopping experience, letting users shake their device to add sauce to their order of wings. After being on the market for a year, it had been downloaded about 2 million times and had already generated $7 million in sales.”Slide11
What is the primary issue/opportunity presented in the case?How should the organization respond to the issue/opportunity?How can the organization implement and evaluate the chosen strategy?QuestionsSlide12
HUGE was the fastest-growing digital agency in the United States with a growth explosion between 2005 and 2010 from $3 million in revenue to $45 million.
The
CEO –Aaron Shapiro has felt that the
growth for
which he was hoping –to revenue levels in the hundreds of millions-would require a shift in strategy
.
What
is the Issue /Opportunity presented in this case?Slide13
The senior leadership had worked together to define a set of innovative options for strategic growth. Altering the nature of client relationships Expanding marketing services Geographic expansion Making a push into the healthcare and pharmaceutical
markets
The
question was: How could HUGE best pursue growth without compromising the formula that had already made it so successful?Slide14
Targeting the Healthcare industry would be the best strategy for HUGE. Develop a team with employees from all areas of HUGE as well as outside stakeholders
ie
; MD’s, Nurses
healthcare IT folks
etc
to come together as a small group and brainstorm ideas on what the current and future needs are of the healthcare industry
.
Employing
a smaller HUGE-Healthcare division within
HUGE
Hiring
a Healthcare Team,
ie
: Physicians, nurses, healthcare IT staff
etc
How Should The Organization Respond to the Issue/OpportunitySlide15
Organization RespondAnalysis of customers will help to understand which groups may be more profitable to serve. Healthcare systems, University settings, pharmaceutical companies, etc.
Market
analysis of individuals and their digital use abilities- what percentage of people would utilize their smart phones to make doctor’s appointments, evaluate symptoms etc
.
Find
a Large healthcare system with funding that will support a large
overhaul of
the digital technology as well as marketing. A large academic well known healthcare system would be ideal first client.
Slide16
Pilot ProjeCt
Selection: Austin, Texas
1. Most Digitally Savvy City in U.S.
2. Nationally Ranked Hospitals
3. University setting
Strategy
FormulationSlide17
StrengthsHigh quality labor-intensive creative and technological excellence
Flat
organization
Strong
brand
value
Entrepreneurial culture
Strong
focus on user
experience
One
stop shop for clients seeking to navigate the
digital convergence
Handles
general marketing strategy as well as the design of digital products and campaigns, along with technical implementation
Reputation
with clients as being a trustworthy partner.
Novel
programs and Initiatives within the company that promote a desirable work environment
Utilized
project based engagements or long term retainer relationshipsSlide18
WeaknessScarce talent in the marketplaceConflicting
client
needs
Moving
forward taking on too many projects without the right staff and infrastructure in place would risk lessening the quality of work performed.Slide19
Opportunities Pharmaceutical and Healthcare online Ad spending is projected to increase to 1.52 billion dollars in 2014
Both male and female consumers report that they would utilize digital strategies with their Doctors and healthcare providers.
Healthcare
reform demanding Cost containment, High quality care and positive consumer experience along with maintaining profit margins for healthcare systems will drive the need for easy and accessible access to care
.
The
requirement of Electronic medical records across the country will drive business to the digital companies for assistance in implementing the processes.Slide20
Opportunites continuedLifestyle trends are moving more toward user friendly apps, this is an area that is a growing field within healthcare
.
Industry
trends show that healthcare is an emerging industry that will be utilizing digital marketing and technology as well as other online products to assist in the delivery of healthcare
.
The
ability of emerging technology to assist patients in rural and remote areas,
ie
robots. Slide21
ThreatsComplex and fluid nature of the relationships with their competitors and complementorsCurrently two main competitors –Digitas and Razorfish
The
fastest growing group of consumers in the healthcare market are 60 years old and over.
Funding
by customers (healthcare systems,
pharma
) could be potentially restrictive with new regulations on payment from Insurance
payors
.
Most
healthcare systems currently have some software/digital technology and the need to be able to provide interfaces with digital technology and current systems will be huge.Slide22
REFERENCES Http://aaronshapiro.com/blog/retailers-mobile-serving-users/"Huge Promotes Stewart To ECD, Chow To CD". Media Post. 30 July 2010. OMMA Magazine. 1 November 2010.