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Oriental Pearl Powerpoint

  1. Direct TV DIRECTV Marketing Proposal 2015 Group Oriental Pearl By Rachel Fan Pan, Ruimin Gong, Lingfan Ni, Xiaoqi Lu
  2. Table of Content ● Situation Analysis ● Current Service ● SWOT ● Competitor Analysis ● Target Market ● Marketing Objectives ● Positioning Statement ● Strategies ● Tactics ● Media Calendar/Timetable ● Budget ● Evaluation and Measurement
  3. Situation Analysis Economic Condition ● Cable industry is very sensitive to changes in economic activity ● The consumer sentiment index is expected to increase in 2015 Cable TV Industry ● Revenue is expected to increase at a slow 2.4% to $48.3 billion ● Increase at a slower annualized 2.9% to $55.6 billion over the five years to 2019 ● Streaming becomes a serious threat Consumer The majority of this industry's customers are residential households, more than 90% of American households still pay for TV
  4. Current Service/Product/Program ● Digital television service ● Direct-to-home television services ● Multi-channel video programming ● High definition programming ● Video on demand ● Professional programming ● Collegiate sports programming ● Bundles of voice, data and television ● Mobile applications
  5. SWOT Analysis Strength ● Large subscriber bases ● Leading brand name ● Substantial channel capacity and programming content ● Strong financial performance across segments ● High quality digital picture and sound ● High customer satisfaction Weaknesses ● Long term high debt ● Difficulty in obtaining financial support for expansion plans ● High programming and satellite costs and low margin ● High costs of subscriber acquisition and retention Opportunities ● Combined with AT&T ● Broadcasting and cable tv markets grow fast Threats ● Intense competition from streaming programs ● Greater service by cable and wireless companies,competitors started offer customize TV bundles
  6. Key Competitors Traditional MVPDs ● Comcast Corporation ● Cox Communications, Inc. ● DISH Network Corporation ● Verizon Communications Inc. ● Brighthouse Networks ● Telefonica, S.A. ● AT&T Inc. ● Global Village Telecom ● Telmex Internacional S.A.B de C.V. Time Warner Cable Inc. New Challenges ● Online video distributors and providers such as Hulu, Roku, Netflix, Apple, Amazon, Blockbuster and Google ● Gaming consoles such as Xbox, PS4 and Wii
  7. Key Competitors’ Referral Programs AT&T - Earn up to $575 a year for referring new and existing customers - Referral and referee earn a $25 promotion card (maximum 23 promotion cards a calendar year) Comcast - $100 Visa Prepaid Card for the first referred new customer who qualifies under the program - An additional $200 Visa Prepaid Card for the second referred new customer - An additional $200 Visa Prepaid Card for the third referred new customer Dish Network - Free bluetooth wireless headphones when refer 2 friends - $50 for every friend you refer ($5/mo. credit for 10 months, maximum 10 referrals per calendar year)
  8. Target Market Profiles Primary target: ● Existing DIRECTV Subscribers ● age 35-50 ● homeowner, live in urban centers ● who actively participate in other referral programs ● have positive experiences with DTV, ● income between $50-100k ● value seekers looking for ways to save money on their bills.
  9. Why Gen X? DIRECTV web visitors: Age of visitors: 35-44: 21.77%, 45-54: 24.32%, Household income of visitors: 40-60k: 31.81%, 60-100K: 23.11%
  10. Marketing Objectives 1. Increase the number of the active DIRECTV subscriber base participates in the referral program from target audience by 5% 2. With the next fiscal year, 50% of the first-time referees will continue to participate in the DIRECTV referral program.
  11. Positioning Statement Among the existing family-oriented subscribers whose age between 35-50, we want to make DIRECTV the brand of digital Television service provider that personalize your watching experience because it combines the traditional TV channels, with customized package tailored to your interests, and connecting you, your family and your friends with the best referral program on the market.
  12. Strategy Strategy Part A: Reach out with personalized referral offers tailored to their interests and prior purchases through TV/online commercials, direct mails and Emails Strategy Part B: Generate buzz and social media effect around message to influence customer purchase behavior
  13. Tactics ● Promotion: Sweepstake-Live Sports Tickets ● Partnership: United Airlines Inflight referral ● Generate Buzz: Price Matching ● Direct Mail Plus: Send Greeting Cards on important holidays
  14. Media Mix Traditional ● Direct Mail ● Social Media ● Digital Advertising ● OOH Alternative ● Buzz ● Partnership Promotion ● Sweepstake
  15. Sweepstake: Live Sports Tickets Refer a friend, you and your friends could go to Live sports event together! #DirectTvRAFTickets May-June $1000 NBA Tickets Aug-Oct $100 MLB Tickets Nov- Jan $1000 NFL Tickets Feb $5000 SuperBowl 2016 Tickets
  16. Partnership: UA Inflight Referral United Airlines ● Directv access: $5.99 1 person $8 for 2 people $7.99 1 person $11 for 2 people ● Refer A Friend ad showing on the TV screen, enter email if interested ● Referrer and referee can both enjoy free access on their next flight with UA
  17. Buzz: Price Matching WE’RE PRICE MATCHING If you find a better referral deal, we will match it! -Send us the link of competitors’ referral deal -We match it and send you the confirmation -Complete the referral and share on your Facebook #DIRECTVPriceMatching -You will receive the offer in 60 days
  18. Direct Mail: Send Greeting Cards on Holidays Dear Mom, Happy Mother’s day! Thanks for being amazing! DirecTV wants to celebrate it with you! Refer a friend! Your friend and you both get $100! The White’s Dear Robert’s, Merry Christmas and happy New Year! May your days be filled with love, peace and DirecTV referral visa cards!
  19. TV Commercial Commercial:
  20. Media Calendar/Timetable
  21. Budget
  22. ROI Total increased revenue : ($30*12 mon)*1 million subscribers=$360m Cost: $1m+(250+100)*1m Profit = Total Revenue - Marketing cost- customer cost $360m - $1m-($250+$100)*1m= $9m ROI=(9m-1m)/1m=800%
  23. Evaluation and Measurement ❏ Pre Test: ❏ Concept testing and surveys are suggested to conduct to the focus group(gathering opinions and suggestions on the events and channels ❏ Customers reviews from social medias ❏ Portfolio tests, including displays of the city public Transportation advertisement designs and coupon designs ❏ Post Test: ❏ The number of visits to the referral website. ❏ The number of target attendance during the campaign ❏ The trending topics on Facebook and social media ❏ Redemption rates of referral offer send via email and direct mails