Page 4: Marketing Mix
When marketing products, firms need to create a successful mix of:
- the right product
- sold at the right price
- in the right place
- using the most suitable promotion.
Seizing the opportunity of broadband has involved BT blending these four elements effectively.
Online console gaming is a new phenomenon which is set for huge growth in the UK market. The mass market take-up of broadband has led to the development and launch of online console gaming - as it is broadband which makes it possible.
- Microsoft Xbox® Live was launched in March 2003
- Sony Network Gaming was launched in June 2003.
When these products were launched the main users were techies - building their own solutions from components they assembled themselves.
However in October 2003 BT launched a broadband solution which offered a one-stop shop for consumers who want to take their consoles online. The offering enables customers to get the most from their broadband connection by using a router modem, allowing them to connect their console and PC to the broadband line at the same time.
Because Tier 1 (see section 3) was a new audience for BT, alternative methods were required for promotional activity. The campaign objective was to ensure consumers tried online gaming. The optimum timing was in the pre-Christmas 2003 period when there is the biggest demand for new consoles and games. It was essential for BT to work closely with its partners - console manufacturers and games publishers.
Television advertising played an important part. Xbox® and BT each made TV adverts. Xbox® promoted its new game Project Gotham Racing 2 whilst BT promoted its broadband products. These two different adverts were strategically scheduled to run back to back to clearly link the brands in consumers' minds.
The PR campaign focused on generating awareness in two specific areas, the marketing media plus the specialist gaming and technology media. A launch event was held in partnership with Sony, Xbox® and key games publishers at the BT Tower, London in October 2003. To support this BT implemented a promotional campaign with these key partners and with Game, the leading games retailer. This ensured that key journalists had opportunities to try out the games online.
Events were organised so that people could try out the new broadband gaming service giving customers a hands-on experience. Broadband enabled consoles were available at every event. These included Soccer 6, Party in the Park, the World Broadband Forum, the Sony PlayStation Experience and Max Power.There was also a presence at a number of Freshers' Week events as first year students familiarised themselves with their chosen university and its facilities.
BT produced 500,000 promotional CDs (offering 30% discounts). BT branding appeared on outer packaging and leaflets within the boxes. Games with the most online appeal were chosen and the CDs were distributed in stores such as 'Game'.
BT Wholesale aims to have broadband technology available to 90% of homes and businesses by 2005.
BT Retail sells broadband gaming services online and via telesales, prompted through promotional material.
Broadband from BT offers a spectrum of prices to suit different needs. For consumers, the range goes from a basic high speed access product with no additional services up to a 1MB connection with content and services such as email and Internet security fully integrated.