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BM702 TECHNOLOGY BASE BRANDING

GROUP PROJECT

[ CITATION LYN12 \l 1046 ]

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TableofContents
2. Executive summary.......................................................................................................................3
3. Company Introduction...................................................................................................................3
3.1 Value & Vision............................................................................................................................4
3.2 Market Position............................................................................................................................4
4. Electronic Marketing Aspects.......................................................................................................5
4.1 Internet components....................................................................................................................5
4.2 E-branding considerations...........................................................................................................5
4.3 Unique e-marketing issues...........................................................................................................6
5. Social media influences on communities brand´s perception.......................................................7
5.1 Interactive marketing...................................................................................................................7
5.2 Social media tools........................................................................................................................7
5.3 Relationship Marketing...............................................................................................................9
6. E-branding Strategies....................................................................................................................9
6.1 Online and Offline branding........................................................................................................9
6.2 Ansoff matrix.............................................................................................................................10
6.3 Porter´s strategies......................................................................................................................12
7. Role of online promotions in brand management.......................................................................13
7.1 Integrated marketing communication........................................................................................13
7.2 Promotional Mix........................................................................................................................14
7.3 Company´s website....................................................................................................................15
7.4 Online challenges faced by brand managers.............................................................................15
8. E-branding and consumer behaviour...........................................................................................15
8.1 Innovation & Adoption curve....................................................................................................15
8.2 E-branding management features..............................................................................................16
9. Appendix.....................................................................................................................................16
References.......................................................................................................................................17
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2. Executive summary

This report is related with the electronic branding and the organization which is selected in the
report is 2 degrees. The role of social media in the perception of the consumers, the use of internet in
performing the marketing activities of the organization and the electronic branding strategies are also
described in the report. This report revolves around the e-marketing and the information from within the
organization is used.

2 degrees had used all the social networking tools including Twitter, Instagram and Facebook so
that the content can be seen by more customers. The company has also opted for Unsplash and Canva
tools with the objective to create attractive and professional images. The product development technique
from Ansoff matrix and the cost leadership and differentiation technique from competitive strategies were
being utilized by the company.

3. Company Introduction

2degrees is a New Zealand based private telecommunication Provider Company that delivers
mobile and data solutions across multiple sectors including government, energy, construction, private
healthcare and agriculture.[ CITATION 2De20 \l 1046 ] .Headquartered in Auckland the company was
founded in 2001 but only reached the kiwi market in 2009 after nine years of planning. In 2015, the
company acquired theinternet service provider Snap to become a full service telecommunications
provider. Currently,2degreesemploys over 1.200 people, and hold 58 retail outlets and 287 partner stores
across the country.

2degree has been providing broadband, landline and mobile telecommunication networks services
through GSM (2G), UMTS (3G) and LTE (4G) technology for New Zealand in the past 10 years. Its
product range includes personalizedphone packages andmobile plans,business broadband in addition to
the most modern devices with low-cost solutions, as well as packages combination to increase operational
efficiency and productivity tailored to the needs of each customer.
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3.1 Value& Vision

2degrees is moved by five values which reflect the interaction between its customers, employees,
shareholders and the community, recognizing and rewarding the effort of its people.Its vision is to
become New Zealand´s most disruptive and admired company by providing innovative ideas, overcome
any challenges to deliver the exceptional services for kiwis through integrity, trust, passion and
simplicity.

[ CITATION 2De201 \l 1046 ]

3.2 Market Position

2degrees has built a nationwide network and reduced significantly the costs of mobile services for
New Zealanders, delivering exceptional revenue growth,acquired over 1.4 million customers over the
past 10 years.The companysuccessfully established itself in the New Zealand telecommunications
marketexpanding its mobile network coverage to 98.5% across the country.In 2019, 2 Degrees held the
third position of telecommunications Provider Company in the New Zealand market. [ CITATION 2De20 \l
1046 ]

[CITATION LGr201 \l 1046 ]

4. Electronic MarketingAspects
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4.1 Internet components

Internet - The whole operations of 2 degrees are based on the internet so internet components
have higher significance for the company. The internet cannot only help in managing the mobile
networks but the promotion of the brand can also be managed through the internet [ CITATION Gra19 \l
1033 ].
Infrastructure -The infrastructure within the company like LAN, WAN, or other networks that
can keep the company connected with the customers can also be done through the help of the internet.
Exchange – the exchange of time and money has enabled the business to operate in the
international context. It has provided flexibility in the business. in brand promotion it will make positive
impact in managing good business relations with other organizations.
Interactive -2degree is making an interactive marketing strategy that allows the consumers to
participate in the programs as well. With the help of technology like artificial intelligence and virtual
reality, 2degree will be looking to promote the services.
Environment -2 degree is looking to develop such technologies that make a positive contribution
to sustainable development. the company is concerned about the environmental effects of the operations
and in such direction, it is taking initiatives.
2.2 Various business considerations
The e-branding can make the brand promotion easier for the company as the efficiency can be
enhanced through electronic branding only.
Cost reduction -The cost consumed in electronic branding is much lower in comparison with
other techniques of branding. The cost spent on the direct channels of marketing and promotions is much
higher because the company can approach a small group of customers through direct channels and the
efficiency cannot be attained.
Wider access to customers -The wider access to the customers can only be possible when the
electronic source for branding is being used. A large group of customers can be targeted at one point in
time by using the electronic method i.e. internet.
Competitive pressure -The competitive pressure can also be tackled through re-branding as
every organization is using the electronic technique for branding so it is better to use the electronic
technique so that the competitive pressure can be lowered down [ CITATION DeR19 \l 1033 ].
Corporate image -The corporate image of the company can be maintained when the company
can improve awareness among the customers. Internet marketing can also have several problems so the
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company has to put effort to remove those problems. The time on the internet given by every customer
can also be required to be checked to identify the time at which the audience can stay at the social media
pages of the company.
2.3 unique e-marketing issues
Audience control –the issue of audience control effects in making the reach to the target
customers. the unstructured market area of the company makes it hard to control the audience and on
such a basis making a strategic business decision.
Information proliferation – the issue of managing and storing data for business can crate big
hurdlers for the business. it will be hard to structure the data systematically.
Share of voice – the share of voice is concerned with the percentage of media spending by
2degree compared to total expenditure. It will be hard for the company to manage the resources in a well-
versed manner.
Beta factor – the beta factor helps in gauging the volatility of assets in the business. it will
provide competitive advantages. It enhances the brand image of the company by gauging the volatility
of assets.
Internet time – the internet time will make sure to enhance the engagement in the business. it
makes better relations with the customers. Internet time will enhance the image by increasing the
engagement. The users will get benefitted by spending more time on companies platform.

3. Impact of social media is changing the community’s perception

3.1 impact of interactive marketing
Interactive marketing techniques can be useful in making promotions more effective. 2degree is
making the focus on interactive marketing where it will promote the company with the help of virtual
reality. In interactive marketing, it is using strategies such as interactive marketing campaigns and for that
purpose, it will hire a digital marketing company. The market growth of the company can be dependent
on the way it uses to present itself in the market among the customers [ CITATION Kha19 \l 1033 ]. Every
telecommunication brand is doing the online promotions but the telecommunication companies whose
marketing content is effective are getting the top position. The triggered marketing is a technique of
interactive marketing which encourages both side communication. This is the most effective technique as
the consumers are given the right to communicate with the company directly if they are facing any issues
with the services of the company.
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3.2 Effectiveness of Social media tools:

Several social media tools can support the brand in promotions. The tools include Facebook,
Instagram, Twitter, Canva, Upslash, etc. Every tool can help out the company in a unique way.
Social media tools: These popular social media tools like Facebook and Instagram can work in an
almost similar way. The company can post the pictures on its pages formed in the name of the company.
The activeness of the people on these social media tools has allowed the company to use these tools for
promotions [ CITATION Bri20 \l 1033 ]. People are active on these networking sites frequently so they get to
know about the new services of the company and there is also an option to comment and like on
Facebook and Instagram so the customers can easily ask about their queries by posting it in the comment
box.
Canva: Social marketing is incomplete without attractive images. The perception of customers can
be changed more frequently through effective images. The images for marketing can be created through
this social media tool. This tool has eliminated the need of hiring professionals to create the images as per
the need of the branding of the company. Canva tool can create images which can look like professional
images. The designing work can be done by using this tool effectively.
Unsplash: The unspash tool can be utilized by social media marketers. This tool can play an
effective role in photography and video designing [ CITATION Pel20 \l 1033 ]. The company can design
video showing its vision, mission, and the services it is providing so that this video can be uploaded on
various social media platforms for getting the attention of the customers.
In the end, it can be said that social media tools are the most effective tools for promotions. With
the help of social media tools, 2degree will be able to connect better with the target audience. In the
current marketing environment, social media has the biggest influence on the market.
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[ CITATION Ari20 \l 1046 ]

5.3 Relationship Marketing

2 degrees is following the principle of transparency in its marketing so that the trust with the
customers can be developed. The company cannot believe in cheating the customers as it can put a
negative influence on the perception of the community. The company has created the reciprocity by
giving excellent internet services to the customers in return for the money given by them for the services.
Trust – 2degree is keen on making relations based on trust. The company is making products that
customers can trust and in the series, 2degree is making strategic decisions.
Commitment – the company is committed to serving better to each of its customers. in the
mission and vision statement of the company, it promises to stay committed to its values.
Reciprocity – with the help of a reward program company is engaging with the customers. it is
offering coupon codes and vouchers to build positive relationships with the customers.
Barriers – the business is facing many barriers in the relationship marketing where factors like
competition, public relations and technology is making an adverse impact. It will create operational
barriers in the business.
Primary survey
The questionnaire for the primary survey is given in the appendix section at the end of the report.
The primary data survey is conducted with the marketing managers of 2 degrees as these managers have
an exact understanding of the impact made by the branding of the company on the consumers. So, it is
better to take the opinion of the brand managers so that the impact of social media on customer’s
perception and other things can be ascertained. 4 managers are being included in the survey. The primary
survey is conducted so that the current information from the managers of the company can be taken
which can increase the accuracy of the secondary data which is included in the report. The primary data
can also improve the relevance of the report.
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Findings
In the first question, 2 respondents have chosen Facebook, 1 has chosen Instagram and the fourth
participant has voted in favor of Twitter. It shows that all the social media tools are making an equal
contribution and it is just about the focus of the consumers on social networking sites.
All 4 respondents have voted in favor of Images in the second question which means that the
visual content has the most important role in marketing and the visual content can work well in targeting
the consumers and getting their attraction.
In the third question, the 4 brand managers have explained that their company is relying on
triggered marketing because they want to give the consumers the right to communicate with the
organization anytime they want. 2 degrees know that the distributors can ruin the corporate image of the
company so it is better than the communication that cannot be done through intermediaries and direct
communication with the consumers can be the most appropriate option.
While answering the fourth question, the 4 participants have said that their company is dependent
on both the strategies i.e. differentiation and cost leadership. The brand managers have explained that
telecommunication is an industry where both the strategies are required to be implemented to retain the
customers because, for the customers, both fast speed and lower cost matters, and the customers cannot
be ready to rely on one particular option.
In the fifth question, 3 of the respondents have said that the innovation curve can help them to get
a briefing about the consumers to understand their demands from the telecommunication organizations.
Only 1 respondent has told that this curve cannot be beneficial in ascertaining information about the
consumers. But if the majority of the opinions can be considered then, it can be said that this curve can be
useful in the information collection as it is helping out the company to get the relevant information.
It is found that the brand managers within 2 degrees have used the e-branding strategies most
efficiently and they have integrated with the triggered marketing strategy so that the loyalty with the
customers can be developed and the customers can be able to build both way communication and can
represent their demands from the organization.

4. E-branding strategies
4.1 Impact of strategy
The managers of 2 degrees are required to integrate offline and online promotions so that the
customer reach can be improved. It can be possible that every customer of the company cannot be using
social media sites so it is important to do offline promotions so that the people who are not having social
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media accounts can get to know about the services of the company. This is why it is important that the
brand managers can also emphasize on the offline promotions by visiting the multi-national organizations
and giving them an in-depth view of the services which the company is giving so that the MNCs can
become its customers. 2 degrees will be looking to expand its operations based on B2B strategies where
the company will serve to corporate customers also. It will be a successful expansion strategy for
2degree.

[ CITATION Ins201 \l 1046 ]

6.2 Ansoff matrix

The Ansoff Matrix embraces four different strategies to help marketers and executives to
understand the existing risks in the growth of their business. Those strategies are used to improve
company´s growth by analysing the risks related to each one.

2 degrees has adopted two main strategy based on Ansoff matrix to achieve the company´s goals.
Since its launchin the New Zealand telecommunication market, 2 degrees vision has always been focused
on increase its market share, committed to achieve this goal the company adopted amarket penetration
strategy by offering introductory prices and increasing its promotion and distribution efforts.The
company has made positive progress being able to lower mobile costs for Kiwis, offering personalized
packages to meet customer´s budget such as pre pay and pay monthly services, and increasedmobile
network coverage to 98.5% across the country. As a result the company acquired over 1.4 million
customers since started its operation. [ CITATION 2De20 \l 1046 ] . By 2017 the company lifted net profit 33
percent, with revenue gains outpacing costs and the bottom line boosted by tax credits. [ CITATION Bus18 \l
1046 ]And by 2019, 2 Degrees held the third position of telecommunications Provider Company in the
New Zealand market.
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[ CITATION Cor20 \l 1046 ]

Market Diversification is also part of 2degrees strategy, aiming to better meet the needs of the
existing market, the company has invested on research and development to expand its products and
services to offer innovative solutions for New Zealanders.

In early 2014 2degrees mobile formed a strategic partnership with the Bank of New Zealand
securing a credit line of $165 million which allowed the company to continue expanding its services and
revenue growth. This partnership enabled 2 degrees to make an agreement with Huawei to deploy 4G
network bringing positive changes and innovation in the telecommunication market. [ CITATION 2De13 \l
1046 ]

Another strategy used by 2 degrees in marketing diversification involves sharing an infrastructure

agreement with Vodafone to expand its network. This partnership allows 2 degrees to usevodafone
´stower transmission to reach customers based on less populated areas filling the companycoverage gaps.
This agreement benefited both companies by increasing Vodafone´s revue growth without harming its
competition position, and allowing 2degrees to extend its reach without capital expenditure. [ CITATION
Bil20 \l 1046 ]
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[ CITATION 2de20 \l 1046 ]

6.3 Porter´s strategies

The porter’s generic matrix can include 2 important characteristics i.e. differentiation and cost
leadership. The market position of 2 degrees can be influenced by the focus on both the factors so it has
to maintain a combination of both the factors instead of just emphasizing one factor and ignoring the
other. 2 degrees is following differentiation by introducing new features in its services. 2 degrees will use
a unique social media marketing strategy to differentiate and get a competitive advantage. One of the
aims behind following the electronic branding techniques is cost-cutting. It shows that 2 degrees are
focusing on both differentiation and cost leadership strategies.
The best strategy for 2degree will be product development where the company will be able to
offer something new and unique to the target customers. it will provide a competitive advantage.
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[ CITATION Sli20 \l 1046 ]

7. Role of online promotions in brand management

5.1 Integrated marketing communication

2 degrees is focusing on the quality of its services while positioning its brand in the online
environment. The company is sure about the fact that people can ultimately focus on the services to
become the customers of the company [ CITATION Sęd19 \l 1033 ].
2 degrees has given the chance to its customers to communicate directly with the company if the
customers are facing any issues. The role of intermediaries has been eliminated through the technique of
integrated communication.
5.2 promotional mix

Advertising – the advertising has helped the 2 degrees to attract a new range of customers. 2
degree’s leading marketing mix solution for the business in the long term. Advertising helps in brand
promotion by attracting new customers. it makes the brand recognizable in the minds of customers. 2
degrees has adopted the advertising strategy to get competitive advantage.
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Direct marketing
Direct marketing is helping 2 degrees to communicate the information about the services directly
to the customers so that the information cannot be molded in any way. The company is doing direct
marketing by using online channels.
Search engine optimization
Search engine optimization can be utilized as a technique to examine how many people are getting
converted into consumers at 2 degrees. Search engine optimization can help 2 degrees to know how many
people are visiting its social media sites so that the conversion rate can be identified.

Personal selling
Personal selling can be advantageous in building effective relations with the customers as 2
degrees is not taking help from any distributors to sell its services to the customers [ CITATION Var19 \l
1033 ]. It is directly providing its services to the customers so that the company can get aware of the
expectations of the customers and whether they are satisfied or not.
Public relations – in order to maintain good public relations, 2 degree has made collaborations
with different PR agencies. It has helped to create a positive image in the industry. In brand promotion
public relations establishes a positive relationships with the target customers where 2 degrees will
elaborate good public relations.
Sales promotion user generated content – the content from the sale promotion has helped 2
degrees to make strategic business decisions. It has helped in sustain for a long period. The content
provide useful insight to make the brand of 2 degrees more popular. The data will be used in future brand
promotion
5.3 Use of website
The website of 2 degrees is also helping the brand managers to improve the message they are
giving to the customers. The customers can be able to take the complete information about 2 degrees
from its website and the brand managers can use it as the opportunity to reach out to the customers
directly.
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5.4 challenges encountered brand managers

The brand managers can also face challenges while using the online environment. In 2 degrees,
the managers are getting issues in getting the attention of the customers on its social media pages. The
customers are switching to the other telecommunication brand’s pages in a very short time so the
managers are not finding out the technique so that the customers can surf over the company’s website and
other pages for a longer period [ CITATION Ala19 \l 1033 ]. This shows that the brand managers are required
to improve the message they want to give to the customers as it can be the only way to get the attention of
the customers. Ultimately, the services given by the company can be the only thing that can retain the
customers but during the initial time, the message given on the online environment can support the brand
managers to remove the challenges. The challenge of cybercrime can also come in an online environment
which can restrict the managers to disclose too much information about the company.
6. E-branding and consumer behavior
6.1 Innovation and adoption curve
The sales revenue of 2 degrees can be dependent on the way the consumers behave towards the
brand. This curve can be useful for the organization in understanding the willingness of the consumers
towards the technologies or the ideas introduced by the brand. This curve is in the form of a bell and
describes the rate at which the idea or service can be speeded among the consumers and their reaction
towards the new idea or the service. The innovation and adoption curve can act as a technique for
analyzing the behavior of the consumers [ CITATION Góm19 \l 1033 ].
6.2 features of e-branding management
The e-branding has given the brand managers of 2 degrees the time independency as in personal
marketing, most of the time of the managers is getting wasted into the transportation and the cost can also
be wasted in transporting to the venue where the campaigns are personally communicated to the
consumers.
Interactivity – the e-branding has helped 2 degrees in interactivity. It has created unique bond
with the customers.
Global access - This can be useful in global access for 2 degrees and the time and the cost
invested is also less.
Time independence - e branding has enabled 2 degrees to make independent choice and make the
business time independent.
Mass customization – the mass customization has helped 2 degrees to access the taste and
preferences of the customers.
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Ubiquity – Ubiquity has helped 2 degrees to makes presence in the minds of very customers. it
has enhanced the company image.
Mobility – the mobility provided technological advancement to 2 degrees.
Portability – portability has provided flexibility to customers of 2 degrees. customers can switch
to networks at their convinces.
Volatility of the internet - The volatility of the internet has given the chance to 2 degrees to
expand its reach by removing the time and finance constraint.
The time and finance constraint has been completely removed as mass communication can be
possible through the internet which cannot be possible through offline branding [ CITATION Che20 \l 1033 ].
E-branding has offered tremendous benefits to the organization which can be used to make the branding
appropriate.

Conclusion
It can be concluded that e-branding has ease out the marketing activity for the company as the
brand managers have got sufficient time to focus on the content to be marketed instead of wasting time
on multiple marketing channels.A few years ago, before the emergence of the internet, it was very
difficult for the managers to decide about the marketing channel as reaching out to customers at a mass
level was not possible and the brand managers cannot have sufficient time to be invested in the marketing
content. The customers can be communicated more appropriately in an electronic way.
9. Appendix
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