Social Media and Green Marketing

1.0 Introduction

Traditional media does not lend itself to niche types of marketing trends nor does it support narrow marketing messages. This is why traditional media forms such as television, print and radio are often termed as mass media and also why many industries or market segments have difficulty having their messages heard in mass media channels. However, over the past decades, the development of social media has engendered a new channel for marketing the narrowest of messages such as green marketing. Firms that are concerned about sustainability, social responsibility and environmental balance in one respect or another are those that are involved in green marketing (Pujari & Dangelico, 2010; Lee & Chen, 2010). Social media provides the perfect marketing channel for green marketing because these two phenomena share a set of core values and principles that are sympathetic to one another.

2.0 The Social Media Phenomenon

The social media phenomenon of the last decade is really a phenomenon that has its roots in the underlying principles of the Internet and the World Wide Web (Web). The Internet is really responsible for fracturing the mainstream media and for providing the basis for diluting mass media channels. Essentially, what the Internet accomplished was that it allowed virtually any individual or entity to become a publisher of some type in print, video or voice or even all three (Berners-Lee, 2006). Since the Internet’s earliest inception, a few individuals found that they were able to network with other individuals who were like-minded or were involved in similar industries or with similar interests. As the Internet developed and when the Web became more widespread and accessible in the early 1990s, the tools to publish websites began to democratize beyond the relatively few technophiles that had access to the Internet prior to the Web (Ruotolo, 1998). This democratization of the Web was facilitated by technology which tended to lower the barriers to web publishing and the tools to post text in the form of web content, web-logs or blogs and in chat rooms evolved into the ability to stream voice and video (Blogging, 2008). Once these tools became widely available, the true capacity of the Web as a social and cultural force became apparent.

Social media is really just a continuation of these early and developmental capacities of the Internet and the Web. While the early Internet and the Web comprised what was referred to as the Web 1.0 in which communications tools such as email, chat and web postings allowed for individuals and firms to publish content in a mono-directional manner, social media rests on an Internet and Web platform referred to as the Web 2.0 in which these functionalities are combined with unique Web-based applications that support inter-activity and sharin (Cashmore, 2008; Tyler, 2002). That is, social media not only encourages but facilitates community building. This is community building in which individuals and entities are allowed to identify, contact and interact with others that share their values, opinions or beliefs. Social media platforms are those such as Facebook.com and Orkut.com among many others that are focused on social grouping and communal interaction.

The quality of interactivity and meaningful feedback is one that truly defines social media. In mass media communication, the flow of data and information is primarily outward towards the audience with no opportunity for establishing a feedback loop (Chang & Wang, 2008). However, in social media platforms and through the social media process, feedback loops are critical. Individuals and entities engage with social media because of these feedback loops and information, one type or another, moves constantly back and forth from one party to another. In this respect, social media as a phenomenon is comprised of several different categories. For instance, social media consists of social networking in which various web applications such as Facebook, Myspace or Orkut support the interaction between individuals; social bookmarking is an activity supported by social networking sites as well as sited dedicated to social bookmarking such as Digg in which users constantly share news, websites and similar items of interest with the members of their communities; social gaming where players are able to play online games with others who are actively engaged in the same game simultaneously; and finally there are social wikis in which individuals or groups act in unison to build and maintain some type of publicly accessible database such as Wikipedia (Capel & Johns, 2010; Losinski, 2007). Clearly, social media is a concept that is primarily concerned with removing the boundaries to open communication.


3.0 Green Marketing and Social Media

Green Marketing and social media tend to go hand in hand for a variety of reasons. Primarily though, green marketing and social media are so sympathetic to one another because they share a set of core principles regarding purpose as well as form. For example, companies that are focused on sustainability in some respect and social media platforms are focused on the following: a) achieving transparency in communications between all parties, b) communicating with meaningful but brief messages, and c) sharing a desire for not just interaction but for influence (Scott, 2008; Dimaggio, Hargittai, Neuman & Robinson, 2001). These shared principles empower entities that are focused on green oriented messages with the capacity to develop their message but more importantly to establish a relationship with the members of their shared communities. Sustainability in almost all aspects and across virtually all industries is a concept that requires transparency in order to be successful as well as widely adopted. It is difficult for the members of a community or network to embrace a green message if they lack faith that the entity in question is actually adhering to its own principles.

Yet, social media offers those with green marketing messages and endeavors a set of clear and well-defined strategies to make these efforts heard and accepted. Green marketing messages are not effective if one simply posts them on a website and hopes others to read the message or posts a video of a spokesperson explaining the message. Rather, social media is effective as a green marketing platform because it accomplishes a mix of the following (Blogging, 2008; Chang & Wang, 2008; Capel & Johns, 2010):

· Provides insight into current trends in sustainability and environmentalism by allowing parties to search keywords and terms across social platforms to find out what people are actually saying and thinking regarding an issue

· Provides venues such as blogs, videos and podcasts in which green practices or, alternatively, practices that lack sustainability can be brought to the public’s attention

· Provides a platform upon which entities and individuals can become an advocate for change and improvement by working with other organizations and bureaucracies

· Provides a platform for organizing events and disseminating information such as hosting webinars or seminars that are broadcast across the Web

These and other strategies supported through social media applications and principles have allowed green marketing to flourish in a manner that would otherwise have been deemed impossible. As mentioned previously, in the era of mass media and mass communications, there were significant barriers to developing an audience. Mass media channels are, by definition, large and monolithic in character. Mass media channels are channels of communication in which the stream of information is broadcast to everyone through an architecture that is limited in terms of capacity and size (Montgomery, Rennie, Brennan & Hartley, 2002; Mehta, 2005). For instance, while television may be fragmenting into numerous smaller channels broadcast on cable, digital satellite and even the Web, it was once dominated by several large networks in each major market. Thus, these operators controlled access to mass communication through price-setting as well as in-house censorship disguised as the editing process (Cooper-Chen, 2005). The result was that entities with niche messages that were limited by funding concerns or with messages that were viewed as somewhat controversial were largely ignored by the mass media. Thus, while green marketing can still make effective use of mass media channels, with the rise to prominence of the Web 2.0 and social media, green marketing simply does not require mass media anymore in order to have its message heard and adopted.

The natural symbiosis of the Web and social media in particular and green marketing is apparent by the sheer number and size of the firms that are taking their green messages to social media platforms. The automotive industry has begun to shift most of its green marketing efforts to social media platforms and venues. For instance, in the United States, the automotive firm General Motors developed its own microsite or wiki that it terms “Chevy Voltage” in which it hosts a blog, videos and photographs of its new sustainable electric vehicle, the Chevrolet Volt (Parekh, 2010). What the automotive industry has learned is that consumers rely on each other for information as well as feedback regarding trends, styles, and important social issues. Consumers who share the same values and belief system that the firm’s Chevrolet Volt is eco-friendly and built on a sustainable energy platform but rather will trust the opinions of those who own one and who choose to discuss whether it actually fulfils the manufacturer’s claims.

In other words, green marketing via social media is not structured in the same manner that green marketing would be in traditional media channels or in the way that any marketing would be in traditional media. Traditional media communications are all concerned with structuring and controlling the message whereas green marketing through social media is about creating a topic and then allowing the message to develop among the audience itself as readers comment on blog posts or rate videos or similar activity (Mehta, 2005; Burrows, 2008). Green marketers must be willing to control the message and allow the market to develop and then disseminate that message. There is great risk associated with this type of social media marketing but the potential rewards are so much more powerful. This is because social media is word-of-mouth advertising on an exponential basis and green marketing messages are poised to take advantage of this quality in a way that other general marketing-oriented firms are not. Many firms have realized that formulating green marketing topics are most successful when they are based on real actions such as when a business decides to use sustainable energy sources or to change to green production practices despite added costs to do so (Finora, 2010). By starting a social media conversation regarding this type of business decision, the actual act of the company becomes the topic of the green marketing message as members of its community and their own individual shared communities recognize this act as being legitimate.


4.0 Conclusions

Traditional media used to serve as an effective accountability agent for entities operating in both the public and private sector. As the number of media outlets in traditional media have continued to decline and fallen into ever-larger corporate conglomerates, these outlets serve this purpose less and less (Blethen, 2004). Social media has adopted this character of public accountability of the media in the spirit that traditional media once did. Green marketing and messages that relate to sustainability and corporate social responsibility have found an effective platform for disseminating their message in a fashion that not only amplifies their message but being also extremely cost-effective. Firms, entities and even individuals that are focused on green marketing messages are often limited in terms of resources available that they can commit to their marketing efforts. In this fashion, green marketing and social media are well-suited to each other.

Social media as a communications and marketing platform is itself a sustainable and socially responsible medium. Social media is a communications platform in which the social media firms are fundamentally based upon a sustainable business model that is able to take advantage of economies of scale in which the cost of reaching 1,000s of individuals is virtually the same as the cost of reaching a single individual (Walker, Gountas, Mavondo & Mullins, 2009). Because of this unique quality of social media, green marketers are able to legitimize relationships with each member of their target market. This relates to the approach that green marketing takes with respect to social media which is that green marketing on social media platforms allows green marketers to focus on why they want to establish a relationship with their market rather than on what they want to communicate. Thus, green marketing and social media benefit from their shared core values as well as their emphasis on sustainability.

Principles of Marketing Epiphany

Marketing has the main responsibility for achieving profitable growth for the company. Marketing needs to identify, evaluate marketing opportunities and lay down strategies for capturing them. One useful device for identifying growth opportunities is the product/market expansion grid. This essay will examine this theory and apply it to Crocs, Inc. that markets those rubbery clogs with Swiss-cheese holes.

First, Crocs might consider whether the company can achieve deeper market penetration---making more sales without changing its original product. For example, Crocs now offers a rainbow of colors and styles to match any personality or outfit. The company keeps prices of many of its models low, and it is broadening distribution channels to include everything from shoe and department stores to sporting goods stores…, etc.

Second, Crocs management might consider possibilities for marketing development --- identifying and developing new markets for its current products. For instance, managers could review new demographic markets. Perhaps new groups--- such as senior consumers--- could be encouraged to try Crocs shoes, based on their comfort.

Third, management could consider product development--- offering modified or new products to current markets. For example, over the past five years, the Crocs footwear line has grown to more than 30 rubbery styles, including boots and all-terrain shoes. The company has also forged licensing agreements with organizations such as professional sports leagues, cable TV channels and various universities to create sports and entertainment Crocs shoes.

Fourth, Crocs might consider diversification---starting up or buying businesses outside of its current products and markets. For example, Crocs purchased Jibbitz which makes accessories that can be snapped into existing air holes in Crocs shoes.

Companies must not only develop strategies for growing their business portfolios, but also strategies for downsizing them. There are many reasons that a firm might want to abandon products or markets. The market environment might change, making some of the company’s products or markets less profitable.

In conclusion, evaluating current businesses, designing the business portfolio involves finding businesses and products the company should consider in the future. Companies need growth when they compete more effectively and attract top talent. The company’s objective must be to manage profitable growth.

Journal Critics based on Consumer Behavior 4th

Cultural consumption and participation
Foote, J.A. (2002). Cultural consumption and participation [CIRCLE-CCRN Round Table 2000]. Canadian journal of communication, 27(2/3), 209-220. Retrieved August 28, 2009, from ProQuest Central. (Document ID: 347596181).

In this article, Foote explains that cultural dissemination, production, reviewing and consumption play an important role in shaping the relationship between culture and consumers. The author uses data on Canadian consumption and statistics in 1992 and1998. The research focuses on demographic variables including age, gender, education and regional distribution, etc. to understand the cultural influence upon Canadian consumers. The article is useful to my topic because I understand the motivation of Canadian consumers is affected by their participation in cultural experience. The main limitation of the article is that some cultural activities are free of charge when compared with the influence of culture on total consumption in Canada before 1996. The author contends that the future of cultural development could be decided by globalization and diversity. This article will be useful for me to realize Canadian consumers in terms of cultural participation.

Communicating locally marketing globally
Muddyman, G.. (2009). Communicating locally marketing
globally. Pharma, 5(1), 46-48. Retrieved September 3, 2009, from ProQuest Health and Medical Complete. (Document ID: 1654427731).

In this article, Muddyman explains that culture difference affects target consumer behavior. The authors use cultural difference data in foreign countries. The author also mentions that localization compromises cultural customization which needs an understanding of the target customers ‘ culture when planning marketing strategy in foreign countries. This research is focusing on communicating locally and marketing globally. The article is useful to my research topic, as the author suggests that there is cultural difference in every global pharmaceutical market. The main limitation of the article is that the survey is restricted to European and Brazilian Portuguese market. The author indicates that communicating across cultures will become difficult because there are many regulations and rules to follow with. So, the companies will develop different messaging material for each market in the world. This article will be useful to understand the effect of local regulation, culture and language on consumer behavior.

Cultural values affect consumer behavior in Taiwan Cafes
Hu, Y. N., C. M. Hsiao and J. F. Yang (2009) Cultural values affect consumer behavior in Taiwan Cafes. The business review, Cambridge, 12(1), 262-266. Retrieved August 31, 2009, from ABI/INFORM Global. (Document ID: 1775872521).

In this article, Hu et al. explains the impact of culture on consumer behavior when buying coffee. One useful idea is that increasing cultural elements such as local, characters, famous products, classical music……etc. is a good marketing strategy to acquire consumers’ favorite. The authors use the Equamax method, the factor analysis method and rotate method by drawing out the seven cultural values. Their research focus on the effect of culture on consumer behavior. The article is useful to culture and trend which are my topic. Hu, et al. suggest that consumer behaviors are affected by culture and self-valued concept. The main limitation of the article is that the survey is focused on practical coffee store interviewers. The authors indicate that universal love, hedonism, self- control and self-actualization, etc. have a direct proportion to consumer behavior. This article arouses that culture is the most important ways to affect consumers’ buying decision in coffee store.

The Study of Subculture and Consumer Behavior: An Example of Taiwanese University Students' Consumption Culture
Chang, L. C. (2005). The Study of Subculture and Consumer Behavior: An Example of Taiwanese University Students' Consumption Culture. Journal of American Academy of Business, Cambridge, 7(2), 258-264. Retrieved August 27, 2009, from ABI/INFORM Global. (Document ID: 850335901).

Chang explains the forming of subculture affecting Taiwanese consumers’ behavior. One useful idea is that culture can be learned and shared. Except biological characteristics, human beings can learn social values, beliefs and customs that constitute our cultural environment. The author also mentions that culture affects three parts---culture, subculture and social class. So, culture plays an important rile on consumers behavior and desire. Compared with the previous generations, Taiwanese university students are affected by peers more. They tend to pursue material enjoyment such as possessing mobile phones because of modern trend is affected by internal value and external culture. The author also compares the consumer behavior of American, Japanese and Korean university students by questionnaires, surveys and life data analyses. The main limitation of the article is that the survey sample was restricted to university students, not all students of different education level. I read the outcomes and think about Taiwanese consumers. Taiwanese consumers have unique culture systems in a mixture of Chinese cultural tradition and western influence. The material will be useful for me to analyze Taiwanese consumers’ preference in buying mobile phones because it provides some ideas about Taiwanese consumer behavior which is differentiated and affected by subculture.

Services Marketing

Introduction
The theories to be applied in this paper come from the literature on services marketing. Lovelock and Wirtz (2007) outline a number of these theories in their work and provide a useful insight into the way services marketing is distinguished from traditional product based marketing. Their work is preceded by Zeithaml and Bitner (1996) who similarly provided a number of theoretical frameworks for understanding how services marketing is a branch of study that stands out in the general marketing literature. The theoretical perspectives to be discussed in this report are tangibility and heterogeneity, gap theory and servicescape. The theoretical perspectives provide for an in-depth understanding of the nature of services marketing and how managers can use this understanding to measure customer perceptions and expectations. The theories will be applied to a discussion of personal service experiences contained in the appendices.

Tangibility
One important area of discussion in both theoretical works is tangibility. Physical product marketing is distinguished from services marketing by virtue of the product and service characteristics. Physical products such as hair care products and toothpaste are considered to be tangible, however services like banking and hair dressing are intangible. This has implications for measurement and assessment as physical products are routinely able to be measured against a standard set of criteria or variables (Wakefield et al., 1994). Intangibility of services means that different types of standards and criteria for assessment need to be used. This means that marketing professionals must resort to specific forms of measurement that rely more on the feedback of consumers than what is typically used for assessment of physical products. In applying the theory of tangibility to the service encounter journal, it becomes apparent that the experience of the customer is highly subjective. The experience of the restaurant dining, for example, which is also the most satisfying for the author in the journal entries, is one where the author and fellow diners were very impressed. This could, however, have been a good night for the waiter in question. This could have been a night where he was feeling elated because of good news in his personal life. He could have been in an exceptionally good mood or may have just been offered a raise or even a very generous tip from other diners. To the experience of those at the author’s table, he seemed a very good waiter and one who was highly professional and very skilled in his work. This is, however, a personal judgement held on that night’s dining. The following night or the night before could have been vastly different and so there are a couple of problems with measuring service quality in this way, according to notions of tangibility.
On the first level, there is the problem of consistency (Keillor, Lewison, Hult & Hauser, 2007). Can the waiter in question deliver the same degree of customer satisfaction to every table in the restaurant on the same night and on consistent nights that he is working? Is his quality of service provision dependent on personal mood and feeling that may be different from day to day? This is clearly a challenge for service quality assessment where there is point in time assessment gathering on behalf of those consumers.

On the second level, there is the problem of subjectivity based on the conditions of the moment. This relates to the first point, as there may have been certain factors such as a charming lady at the table who took his attention, and thereby motivated him to increase his professionalism and charm to do a better job. Subjectivity is therefore a challenge in services marketing assessment because the intangibility of services makes it difficult for a consistent standard of measure (Park, Lehto & Park, 2008). Moreover, the problem of subjectivity is not just the service provider but also those of the service recipients. A bad day for either side could result in a harsher and unrealistic assessment of service offering.

Heterogeneity
An additional challenge in services marketing that relates to the concept of tangibility is heterogeneity. Heterogeneity reflects the differences in place, time, conditions and mode of service delivery. Where there are significant geographical differences or differences in culture, language or customs, it is a problem to ensure that the same standard of service delivery is achieved. This is similar to the challenges raised above and there are a range of subjective experiences and judgements that consumers will go through when in receipt of a given service (Myhal et al., 2008, pp.445). This is not always a challenge with some forms of service delivery, however, as the time and place gap can be narrowed by technology.

An experience that contrasts with the pleasant dining one above was the online software purchase. This is a negative experience by comparison as it was amongst the least favoured of the experiences. In this case, the company had the chance to deliver a high quality of service universally. Time and distance can be addressed with the Internet as the medium of service (Theotokis, Vlachos & Pramatari, 2008). The company failed in this case, as service quality was very poor. The Internet-based service – the significance and size of which is growing all the time – has the potential to even out the problem of heterogeneity, but thus requires attention of the online service delivery models that are now becoming more developed and diverse. With the Internet service, however, there is a high degree of risk because of the complex nature of the global web and the differences in national legal jurisdictions that have influence over domestic nodes. This can be explained by the use of the three level of service model used by Dann (2008). In this model, service products are categorized as search goods, experience goods and credence goods (Dann, 2008, p.334). This is a scale along which services can be readily experienced and therefore judgements more easily formed on those services prior to making a decision to consume.

The high certain outcome services are those of the search good category. Consumers can readily seek out information to make judgements about how suitable the service is for their needs. The dining service could fall into this category, as there are food reviews published on the Internet and word of mouth can provide a fair guide as to the suitability of the service. To the author, the popularity of the restaurant was also a key indicator of the quality of the service. The second category – the experience goods – are typically less tangible, more subjective to the consumer but still with a fair degree of predictability of the service experience (Dann, 2008, p.334). An example of this category could be a film or a play; whereby one’s subjective preference has a significant impact on one’s judgement of the service product. Finally, the credence level service products are those that are most intangible and complex to the consumer. This is also due to the fact that there may be professional or technical knowledge for which the consumer does not possess. This is reflective of the experience of the author with the software purchase. This service product was a credence level one, as the technical knowledge of its evaluation, the lack of knowledge of service providers and how to assess them, and the lack of awareness of sources of evaluation for the software were each factors limiting the effective decision making capacity of the consumer.

Gap Theory
Another important theoretical model in the services marketing literature is that of gap theory. Gap theory stresses the gap that may exist between perceptions of service provision and the consumer’s expectation of that service (Webster & Sundaram, 2009). In going to the restaurant, the author and companions had a fair expectation of a good dining experience and service to go with it. However, expectations were exceeded in a number of ways. Thus, gap theory can account for the difference in consumer experience and expectation either way in the positive or the negative. For services marketing professionals, this is a key way of viewing measurement and change techniques in services products delivery.

Effective measurement of perceptions of the consumer’s experience against their pre-service expectations is a good way to form a view over time where the service quality is being framed in the eye of the consumer and the market more generally. SERVQUAL is one such measurement technique that has popularly been employed to assess this (Grace & O'Cass, 2004). It is a means of quantifying the expectancy gap that exists between current level of service provision and what customers expect is the ideal level of service. The gap in consumer experience was significant for two of the experiences listed in the journal – namely, the online software purchase and the dining experience. There are factors in the measurement of this gap that are common to both, such as the attention of the service provider to the needs of the consumer and the willingness of the service provider to offer service quality above and beyond the consumer’s expectation.

Servicescapes
The early theoretical work of Bitner (1992) on servicescape is an important one for the study of services marketing. She proposed that the typology of service providers according to the physical properties of the service location can be used for strategic management and marketing. The bank experience in the journal, however, is one instance where the physical properties of the service location was established to enhance consumer experience, but some of the values of the workers were inconsistent with high quality service provision expectations. This contrasts with both the dining and the hair dressing experience; whereby location was essential in contributing to the consumer experience, but the human face to face element was highly essential in leaving the greatest impact on the consumers. O’Cass and Grace (2003, p.453) and Hoffman et al (2003) confirm this view by asserting a combination of word of mouth, servicescape and employee attitudes are highly essential in positive brand reinforcement with service products. The online environment is a unique servicescape in the services marketing and management arena (Ozdemir & Trott, 2009, p.285). It is one in which there is a natural inclination to distrust and suspect online service providers or other hidden third parties with criminal and fraudulent intent. Service providers must therefore strive to rise above this cloud of suspicion on behalf of consumers and attempt to build trust in their service and in the online infrastructure that is so essential in its delivery.

Conclusion
The services marketing literature provides a wealth of theoretical models, frameworks and perspectives from which to view the nature of service provision and its measurement. Theoretical perspectives reviewed in this report include tangibility and heterogeneity, gap theory and the notion of servicescape. Whilst these are just a handful of the many theoretical perspectives now emerging in this field, they are able to provide a window into the complexity of services marketing and management. The differences between satisfying and unsatisfying services, as discussed in the report, narrow down to the perceptions of consumers as they are formed throughout the consumer experience. The positive experiences are those in which the service provider and its employees gave close attention to the needs and perceptions of the consumer. In contrast, those with poor attention to consumer requirements resulted in poor or sloppy service provision. The result is understandable that the journals reflect a willingness for the author to utilize those services again, or to avoid those services in future, as the case may be with the poor service providers.

Reference List
Bitner, M. J. (1992). Servicescapes: The Impact of Physical Surroundings on Customers and Employees. Journal of Marketing, 56(2), 57.

Dann, S. (2008). Applying services marketing principles to postgraduate supervision. Quality Assurance in Education, 16(4), 333-346.

Grace, D., & O’Cass, A. (2004). Examining service experiences and post-consumption evaluations. The Journal of Services Marketing, 18(6/7), 450-461.

Hoffman, D., Kelly, S. W., & Chung, B. C. (2003). A CIT investigation of servicescape failure and associated recovery strategies. The Journal of Services Marketing, 17(4/5), 322-340.

Keillor, B. D., Lewison, D., Hult, G. T., & Hauser, W. (2007). The service encounter in a multi-national context. The Journal of Services Marketing, 21(6), 451-461.

Lovelock, C. and Wirtz, J. (2007). Services Marketing: People, Technology, Strategy, 6th ed., New York: Prentice-Hall.

Myhal, G., Kang, J., & Murphy, J. A. (2008). Retaining customers through relationship quality: a services business marketing case. The Journal of Services Marketing, 22(6), 445-453.

O'Cass, A., & Grace, D. (2003). An exploratory perspective of service brand associations. The Journal of Services Marketing, 17(4/5), 452-475.

Ozdemir, S., & Trott, P. (2009). Exploring the adoption of a service innovation: A study of Internet banking adopters and non-adopters. Journal of Financial Services Marketing, 13(4), 284-299.

Park, O. J., Lehto, X., & Park, J. K. (2008). Service failures and complaints in the family travel market: a justice dimension approach. The Journal of Services Marketing, 22(7), 520-532.

Theotokis, A., Vlachos, P., & Pramatari, K. (2008). The moderating role of customer-technology contact on attitude towards technology-based services. European Journal of Information Systems, 17(4), 343-351. Retrieved April 28, 2010, from ABI/INFORM Global. (Document ID: 1579789911).

Wakefield, K. L., & Blodgett, J. G. (1994). The importance of servicescapes in leisure service settings. The Journal of Services Marketing, 8(3), 66.

Webster, C., & Sundaram, D.S. (2009). Effect of service provider's communication style on customer satisfaction in professional services setting: the moderating role of criticality and service nature. The Journal of Services Marketing, 23(2), 104-114.

Zeithaml, V.A. and Bitner, M.J. (1996). Services Marketing. New York: McGraw-Hill.

Weekly presentation in Product and Service Innovation

1. Kelloggs
The main product types of Kellogg’s cereals are in market segments that are mature and slow in growth. The instant cereal market is moreover dominated by products aimed at children. It is a highly competitive market with low growth opportunities that generally hold companies back. Kellogg’s products, however, appear to be innovating in a number of different ways. One way is through packaging and product delivery. The size and convenience of packaging can be used to appeal to consumers who want convenience and packaging quantities that reflect their lifestyle. Innovation is also possible with flavours and product lines. Combining fruit and cereal, for example, is an innovation that aims to tap into a new market segment and to distinguish its product lines from that of the competition.


2. Nokia
Nokia has built its formidable market position through innovation strategies that rely on huge investments in R&D. The company has a wide range of phones that appeal to lifestyle choices of different segments, such as the fashionable handset for the young and upwardly mobile, or the inexpensive, reliable and basic model phones for consumers with more practical concerns. The company has gone to significant lengths to innovate on value added services and products. This includes games, multimedia interfaces and innovative functions on phone handsets.

3. Rubbermaid
Rubbermaid operates in the household durable goods sector. It manufactures an extensive range of products including durable household goods, toys, hardware, office products and grooming products, to name a few. Its extensive range of products provides a wider scope for innovation and product development through modification of existing products and introduction of new products through NPD initiatives. The company seems to have adopted a philosophy of customer focused innovation whereby the aim of helping consumers organise their life better and achieve a lifestyle balance is both a key driver in innovation strategy but also a key part of its marketing program.

4. I-Phone
The I-Phone is a major product innovation for the Apple Corporation. The phone handset represents a big step forward for multifunction mobile phone technology and innovations. The touch screen has been a particularly important innovation that has marked the product as a leading technology in the industry. The fashionable look and feel of the phone has also added to its faddish appeal. The phone is also tightly integrated with a vast array of software programs, music and functions. The phone is a major piece of innovation that is designed for internet based communications.

5. Holden VE Commodore
The Holden Commodore VE model is an internationalised model that incorporates luxury features that are popular with the mid range consumers in Australia and in international markets. The car also features new innovations in safety with the engine positioned behind the front axle – a feature that avoids fatalities in earlier models of this car. There are also other safety innovations that have been developed through in house crash testing, such as enhanced child safety features. The fuel efficiency gains of this model also represent incorporations of current technology and new innovations.

6. Nintendo Wii
The wii is a popular gaming console manufactured and developed by Nintendo. The gaming console is a unique innovation in the gaming industry because of the playing mode around wireless controllers. This provides for games and activities that move away from the traditional game concept, such as the strategy and first person games. As well as many of the traditional functions and features of games consoles, such as the ability to hold data and backup files, download programs from the internet etc, the console provides for unique player experiences from the built in accelerators and motion detectors.


7. Hybrid – Prius
The Prius by Toyota is a new product innovation that represents a new generation of cars that are oriented towards the consumer patterns of the future. In response to environmental issues, especially the greenhouse effect and the expected exhaustion of fossil fuels, Toyota has taken a big step in innovating energy consumption. The hybrid car innovation involves combined use of combustable fuel and electric power. Cars can switch between combustion mode and electricity mode enabling the driver to save on fuel costs and to have less impact on the environment.

Journal of Product and Service Innovation

New product development (NPD) strategies have been widely developed in recent years as firms move to increase product innovations and product launches. Of many innovations to have been formulated over the years, only a small number have been a major success in the market place. This is because of the many factors that could complicate product development thereby limiting appeal to the consumer. Some of these factors could be a mismatch between product features and consumer needs, inadequate testing and application to market place dynamics, or even problems of advanced innovation for a market that is not yet ready to receive the new technology (Newman, 2009; Crawford and Bendetto, 2008). In studying the theories of NPD and reviewing the many illustrations of successful product innovations in the global market place, I have come to see there are many issues to consider when attempting to match new innovation and technologies to markets. The purpose of this paper is to reflect on aspects of theory learned in this course and their relationship with product innovation successes as they were discussed in tutorials and lectures.

On the surface level, it is easy to assume that a new product is simply something new that one would find it on the shop or supermarket shelves that was not there previously. This vastly underestimates the nature and extent of new product innovations that occur in the market place almost every day. A starting point for understanding this is the discussions of theory that relates to new product concepts (Wattanasupachoke, 2009). I learned that a new product concept can be distinguished into ready-made and new product concepts (Crawford and Bendetto, 2008, p. 95).

The ready-made product concepts are those that have some place in the market and are widely used by consumers already. It is a platform that new ideas and innovations can be added in order to create a new or improved product (Trott, 2005, p. 85). One illustration of this is the innovative strategies of Kellogg’s in attempting to grow market share with new innovations by taking existing product categories and modifying them to fit with changing consumer tastes. Another good example is the Toyota Prius, the hybrid car that is based on combustion engine technology that is over a century old and combining it with a switching mechanism to power a car with either combustion fuel or electricity modes.

New product categories are those that introduce something new to the market that was not previously accessible to the wider market. It is very likely in my opinion that this type of new product will see more radical innovations than the former. Take the Nintendo Wii and the I-Phone for example. These products were eagerly anticipated at product launch for their unique features and technology that was not available with comparable products on the market. The wireless controllers of the Wii meant that new types of gaming activities that involved physical participation of groups of people was popular with market segments for which competitors like Playstation and X-box had little or no appeal.

In reflecting upon the different product innovations reviewed in this course, one considers that there must be extensive processes undertaken in the product development strategy. The theory covered in lectures and tutorials touches on the mechanisms commonly used, such as technical R&D, engineering and design, inputs of marketing tools and techniques, gathering input of lead users and assessing the competitors. The strategies used would depend on the type of market niche being targeted and the product category under development (Larsson and Bergfors, 2009). Take the Holden Commodore VE powertrains for example, it demonstrates how innovations in the product were a combination of R&D activities, gathering of user inputs in terms of style, features and optional extras along with industry standard innovations and improvements, such as the safety design enhancements. By gathering inspiration and direction for innovative additions like this, there needs to be a coordinated and effective approach to capitalize various ideas that go into the new product development.

I feel that it must be a highly complex and risky thing to incorporate so many aspects of technological development, consumer taste and market direction. This is especially when companies invest millions in new product development that could be lost if some vital element of the product development strategy fails to achieve its intended outcome. The notion of new product dimensions features ideas of ‘utility lever’ and getting to understand the buyers experience (Trott, 2005). These concepts focus the product development team on the crucial links between new technology or product innovation with the reception and experience of the end user (Li, Wang and Xiong, 2009). Technology that is too advanced, costly or difficult to use would possibly be met with indifference by the market, and so it is highly important to get the balance right of consumer reception and new product innovation.

I am interested to see that in NPD approaches, marketing concepts are vital just as issues of technology and design are important to new product creations. Just as in marketing programs, it is important to gather a set of problems, evaluate responses of consumers and fit the new innovation with customer satisfaction (Crawford and Bendetto, 2008, p. 154). For this reason, I see that marketing theory has an important place in NPD strategies. For example, theoretical models of problem analysis use such inputs as expert opinions, published resources and focus groups. These are important in assessing what consumer perceptions are of existing products and technologies are and how they can be improved or compensated with new product offerings.

In conclusion, this reflective paper reviewed a number of NPD ideas and concepts that appealed to me in this course. The examples of a number of successful product innovations really illustrate to me just how critical it is to get the right balance of technology, innovation, creativity, marketing and production to release a product that is highly appealing to the market and relatively low cost to produce. The examples show that innovation in product development and production is a highly evolved thing, and that the complexity of assessing the inputs and putting them into a production and distribution plan that is profitable is a highly risky thing, and one that needs to be expertly managed to completion.

Reference List

Crawford C. M. and Di Benedetto, A. (2008). New Products Management 9th ed. Irwin: McGraw-Hill.

Larsson, A. & Bergfors, M. (2009). Product and process innovation in process industry: a new perspective on development. Journal of Strategy and Management, 2(3), 261-276.

Li, W., Li, Y., Wang, J., & Xiong, Y. (2009). Functional solving process model toward product innovation design based on a functional solving model with multiple elements and evolutions. Proceedings of the Institution of Mechanical Engineers: Part B Journal of Engineering Manufacture, 223(B12), 1601-1614.

Newman, J. (2009). BUILDING A CREATIVE HIGH-PERFORMANCE R&D CULTURE. Research Technology Management, 52(5), 21-31.

Trott, P. (2005). Innovation Management and New Product Development. 3rd ed. London: Pearson Education.

Wattanasupachoke, T. (2009). Innovation-Oriented Strategies of Thai Business Enterprises. The Business Review, Cambridge, 13(2), 245-251.

Treadmill category

What's the difference between a "home" treadmill and a "club" model?

Treadmill manufacturers often separate treadmills into two categories: "home"and "club" or "commercial." Good home treadmills are essentially smaller versions of club treadmills. "The high-end home treadmill can easily withstand regular daily use and features extensive programming options. Club treadmills come with a superior warranty and a bigger motor that can take round-the-clock beatings. They also carry significantly higher price tags.

Tourism in Vietnam market Analysis

1. Introduction
Vietnam is a nation of determined optimists who have weathered war after war, survived colonialism and communism, and are now getting to grips with the wheeler-dealer world of capitalism. Fiercely protective of their independence and sovereignty, the Vietnamese are graciously welcoming of foreigners who come as guests not conquerors (Lonely Planet, 2010). The GDP of Vietnam has been increasing 7.5% per year since 2001 (Department of Foreign Affairs and Trade, 2010). As a result of opening its economy to the world market in the 1990s, Vietnam’s tourism industry has experienced unprecedented growth (grown nearly twice as fast as GDP in recent years). According to UNWTO (Semone, 2008), the demand for global tourism will double by 2020.

2. Global Tourism Industry Analysis
Porter’s 5 forces model is used to analyse the current global tourism industry. Firstly, the threat of new entrants is medium as high capital outlay is required by respective governments and organisations to attract tourists. Besides, gaining distribution and awareness is easier with today’s technological advance. Moreover, the top 3% of all travellers in the world spend 20% of the total tourism expenditures, buyers’ power is medium. Also, travellers want variety each holiday, so loyalty may be difficult to acquire. Moreover, threat of substitutes is low as the global tourism demand is forecasted to grow. The supplier power is medium as large volume of materials is required from suppliers. Also, the industry rivalry is high because of high fixed costs, high exit barriers, high demand and strong competition. To conclude, the industry seems attractive. However, with intense rivalry among existing countries, establishing a sustainable competitive advantage is critical for success in the global tourism market.

3. Consumer Demand
According to Vietnam Travel (2009), the consumer demand for Vietnam as a tourist destination has increased to nearly 4.5 million tourists in 2008 from 500,000 in 1993, and Asian countries account for over 65% of total tourist numbers. After Vietnam started advertising in China, more Chinese tourists visited the country. Also, Vietnam Airlines increased the number of flights and routes available; Vietnam has experienced an increase in Tourist numbers from all other countries. Moreover, the family income growth in Western Nations has been more prominent amongst the lower and middle incomes brackets, which lead to an increase in demand for luxury goods.

The total growth forecast of Vietnam tourism from 2009 to 2014 is approximately 26%. A significant growth is anticipated from certain Asian countries (i.e. China, Japan, Malaysia, Singapore, Thailand, etc) and China remains the key market for Vietnam’s tourism industry. Furthermore, Australia, UK, USA, Germany and France have also been flagged as part of the trend of increasing tourist numbers in Vietnam. The prospects for luxury travel through 2010 are more positive for the personal travel segment than business travel. Surveys have found that when affluent tourists travel for their personal pleasure, they are far more likely to move up-scale to the four- and five-star accommodations that they have come to enjoy over the years

4. Consumer Characteristics
Morgan (2004) states that generic pampadour/ luxury travellers are referred to up-market, DFY (do-it-for-you), indulgent, female skew, white collar and professional skew, fashion-conscious with 5-star product preferences. Generic compatriots/ family travellers are forced to compromise, family-focused, role-driven, good shoulder market, activities focused, budget conscious, like resorts and don’t like camping, favour 3-star, but aspire to 5-star.

From Asian market, Chinese overseas travellers are mainly from high to middle-income groups. Also, Asians are becoming more sophisticated and are more demanding for 4- or 5-star accommodation (Becken, 2003). Additionally, from western countries market, luxury travellers are more active in their approach to relaxation, exploration and relaxation.


5. Political & Cultural Environment
The consumer demand may be interfered by both political and legal issues. In Vietnam, all major and minor areas of policy are decided and imposed by its one-party communist state (Vision & Associates, 2010). Besides corruption problems, the legislative bodies within Vietnam continuously confirm to guarantee the legal capital and assets of foreign investors. Also, travel firms and the Tourism Administration Agencies of China and Vietnam have signed cooperation agreements.

Vietnam has its own characteristics, quite different from its neighbours. Vietnamese are “relationship-oriented”, and efforts to learn as much as possible about their culture will be highly appreciated by the Vietnamese. Vietnamese is the first language, but English and Chinese are becoming more important as a second language. Moreover, 70% of the population is Buddhist, 10% Catholic, and various others make up the balance.

6. Branding Opportunities
Competitive advantages of Vietnam over other tourist destinations include untouched exotic beaches in pristine condition, 5-star accommodation and services at 3-star prices and cultural heritage sites. Furthermore, the company can increase awareness and promote the value and benefits through travel magazines, strategic alliances, government funded country specific advertising campaigns, mass media and consumer-direct marketing and distribution.

7. SWOT Analysis

7.1.Strengths
The company may use new branding campaigns to reposition the Vietnam Tourism industry. Also, exotic landscapes and cultural attractions may increase number of international tourists. The offer of 5-star accommodation and services at 3-star prices will become a competitive advantage for the company.


7.2. Weaknesses
As a result of years of war, Vietnam’s infrastructure is weak although it is steadily improving. Language barriers and corruption may interfere with the consumer demand. Also, Vietnam is not always at the forefront of consumers mind for travelling.

7.3.Opportunities
Chinese tourists visiting international destinations are growing currently. Technology advance not only enhance the services supply to consumers, but also empower the consumer to be less reliant upon the traditional tourism supply chain. Emergence of sub-regional cooperative agreements increases the value and synergy for the tourist and the participating economies. The instability within Thailand allows Vietnam to gain market share from its competitors. From the government support, tourism offers a sustainable, long-term alternative to the manufacturing boom that is beginning to occur within the country.

7.4. Threats
As mentioned previously, the competition is fierce in the industry. Also, the global economic climate is changing rapidly, such as the inflationary pressures. Moreover, the political instability makes Vietnam susceptible to future protests by citizens. Well intended safety and security procedures and regulations are creating traveller inconvenience in the form of longer lines at airports and stricter visa policies and standards.

8. Recommendations
To succeed in the Vietnam tourism industry, the company should intensify marketing communication efforts. For example, to increase awareness of the destination and its attractions, reposition the brand to change consumer perceptions and communicate a distinct competitive advantage (5-star quality at 3-star prices). Also, it may adopt cross-section of communication channels, such as mass communication, direct marketing and e-marketing. Moreover, the company should establish training and development courses for Vietnamese. Language barriers have proven to be an obstacle for tour operations. In addition, building strategic alliances with travel agents can maximize the potential profits. Also, inter-government alliances should be encouraged which can help to overcome the cultural differences problems.

1. References

Becken, S. 2003. Chinese Tourism to New Zealand. http://www.landcareresearch.co.nz/research/sustainablesoc/tourism/documents/Chinese_tourism.pdf (retrieved September 10, 2010).

Department of Foreign Affairs and Trade. 2010. Vietnam Country Brief. http://www.dfat.gov.au/geo/vietnam/vietnam_brief.html (retrieved September 9, 2010).

Lonely Planet. 2010. Vietnam. http://www.lonelyplanet.com/vietnam (retrieved September 8, 2010).

Morgan, R. 2004. Tourism NSW: Traveller Types. http://corporate.tourism.nsw.gov.au/Traveller_Types_p1528.aspx (retrieved September 10, 2010).

Semone, P. 2008. 21st Century Trends in International Tourism. http://tourism101.org/archives/6 (retrieved September 9, 2010).

Vietnam Travel. 2009. Vietnam Tourism Statistics. http://www.vietnamtravel.org/vietnam-tourism-statistics (retrieved September 9, 2010).

Vision & Associates. 2010. Doing Business in Vietnam: Political and legal environment. http://www.vision-associates.com/client_resources/8/10/Political-and-Legal-Environment (retrieved September 9, 2010).

Eric Chen
Steven Davis
Shane Lennon
Amy(Ka Yee) Or
Manuel Ruess
Naif Al Shammary

Breif Nokia Research Outline

Naif Al and I have researched Nokia marketing strategy and technology research for one year and three months. There is a brief Nokia touch screen reresearch outlines as below and for demonstration with specific photos.

Touch monitor is an important device to detect the user’s touch point and is fabricated on substrates such as glass or PET. Film .The main structure consists of multiple layers of ITO film formed on the substrate by sputtering coating or printing followed by photolitho graphy and etching to form the ITO (Indium tin oxide) pattern. The isolation layer and metal interconnects are coatd afterwards and cut into the designated dimensions. The controller measures the values of the current flow from the four corners and calculates the X, and Y coordinates of the touch location. The raw coordination data is further analyzed and compensated to give the optimized linearity accuracy.

9 O'Connell Street

My dear fellow housemates,

Today, we stand in 9 O'Connell Street, by special relationship, brotherhood and QUT classmates. We are humbled and keepers of this great house. I want to say to you that dirty and untidy environment is real and we face it.

But we had got rid of it every Saturday and Sunday, twice a week. Because we undersatnd that cleaniness is nver given, it must be earned by our hands. Our effort is never a waste of time to keep the order of O' Connell Street. Today, we announce that it's the end of untidy and unorganized promise. We made efforts to ameliorate the surroundings we live in the better. For everywhere, we can see work is done. The state of cleaniness calls for action, indeed.

We are the keepers of 9 O'Connell's Street. It's guided by the fixed principles, given by previous German, Dutch, Taiwanese housemates and so forth. We are the brothers who are shapd by every original birth place and culture. This is the source of confidence andvalue because we all know we're international team.