Buzz Marketing for Movies SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
Sales & Marketing
Strategy / MBA Resources
Case Study SWOT Analysis Solution
Case Study Description of Buzz Marketing for Movies
In today's dynamic entertainment environment, movies are struggling to stay afloat and remain profitable. Challenges such as piracy, digital theft, competition, overlapping movie campaigns, media fragmentation, and audience saturation are forcing marketers to stretch their film budgets and make every dollar as effective as possible. With more and more entertainment options crowding peoples' lives, marketers must search for innovative ways to reach movie audiences. By breaking through the daily clutter and noise, and capturing peoples' attention to the point that talking about a movie becomes an enjoyable experience to share, buzz marketing is one such promotional posture that drives audiences to theaters. In order to achieve success with buzz marketing, however, marketers must recognize the role it plays in the context of movie differentiation strategies to support the company's overall approach. Analyzes buzz marketing as it pertains to six movie differentiation strategies (differentiation with cosmetic movie features, differentiation to reach market segments, growing a movie segment, positioning to support the movie image, positioning to extend the movie image, and differentiation via non-traditional channels) and offers steps for its successful implementation.
Swot Analysis of "Buzz Marketing for Movies" written by Iris Mohr includes – strengths weakness that are internal strategic factors of the organization, and opportunities and threats that Movie Buzz facing as an external strategic factors. Some of the topics covered in Buzz Marketing for Movies case study are - Strategic Management Strategies, Marketing and Sales & Marketing.
Some of the macro environment factors that can be used to understand the Buzz Marketing for Movies casestudy better are - – there is increasing trade war between United States & China, there is backlash against globalization, banking and financial system is disrupted by Bitcoin and other crypto currencies, digital marketing is dominated by two big players Facebook and Google, cloud computing is disrupting traditional business models, increasing commodity prices, talent flight as more people leaving formal jobs,
increasing transportation and logistics costs, geopolitical disruptions, etc
Introduction to SWOT Analysis of Buzz Marketing for Movies
SWOT stands for an organization’s Strengths, Weaknesses, Opportunities and Threats . At Oak Spring University , we believe that protagonist in Buzz Marketing for Movies case study can use SWOT analysis as a strategic management tool to assess the current internal strengths and weaknesses of the Movie Buzz, and to figure out the opportunities and threats in the macro environment – technological, environmental, political, economic, social, demographic, etc in which Movie Buzz operates in.
According to Harvard Business Review, 75% of the managers use SWOT analysis for various purposes such as – evaluating current scenario, strategic planning, new venture feasibility, personal growth goals, new market entry, Go To market strategies, portfolio management and strategic trade-off assessment, organizational restructuring, etc.
SWOT Objectives / Importance of SWOT Analysis and SWOT Matrix
SWOT analysis of Buzz Marketing for Movies can be done for the following purposes –
1. Strategic planning using facts provided in Buzz Marketing for Movies case study
2. Improving business portfolio management of Movie Buzz
3. Assessing feasibility of the new initiative in Sales & Marketing field.
4. Making a Sales & Marketing topic specific business decision
5. Set goals for the organization
6. Organizational restructuring of Movie Buzz
Strengths Buzz Marketing for Movies | Internal Strategic Factors
What are Strengths in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The strengths of Movie Buzz in Buzz Marketing for Movies Harvard Business Review case study are -
Diverse revenue streams
– Movie Buzz is present in almost all the verticals within the industry. This has provided firm in Buzz Marketing for Movies case study a diverse revenue stream that has helped it to survive disruptions such as global pandemic in Covid-19, financial disruption of 2008, and supply chain disruption of 2021.
High brand equity
– Movie Buzz has strong brand awareness and brand recognition among both - the exiting customers and potential new customers. Strong brand equity has enabled Movie Buzz to keep acquiring new customers and building profitable relationship with both the new and loyal customers.
Innovation driven organization
– Movie Buzz is one of the most innovative firm in sector. Manager in Buzz Marketing for Movies Harvard Business Review case study can use Clayton Christensen Disruptive Innovation strategies to further increase the scale of innovtions in the organization.
Low bargaining power of suppliers
– Suppliers of Movie Buzz in the sector have low bargaining power. Buzz Marketing for Movies has further diversified its suppliers portfolio by building a robust supply chain across various countries. This helps Movie Buzz to manage not only supply disruptions but also source products at highly competitive prices.
Strong track record of project management
– Movie Buzz is known for sticking to its project targets. This enables the firm to manage – time, project costs, and have sustainable margins on the projects.
Superior customer experience
– The customer experience strategy of Movie Buzz in the segment is based on four key concepts – personalization, simplification of complex needs, prompt response, and continuous engagement.
Learning organization
- Movie Buzz is a learning organization. It has inculcated three key characters of learning organization in its processes and operations – exploration, creativity, and expansiveness. The work place at Movie Buzz is open place that encourages instructiveness, ideation, open minded discussions, and creativity. Employees and leaders in Buzz Marketing for Movies Harvard Business Review case study emphasize – knowledge, initiative, and innovation.
Ability to lead change in Sales & Marketing field
– Movie Buzz is one of the leading players in its industry. Over the years it has not only transformed the business landscape in its segment but also across the whole industry. The ability to lead change has enabled Movie Buzz in – penetrating new markets, reaching out to new customers, and providing different value propositions to different customers in the international markets.
Highly skilled collaborators
– Movie Buzz has highly efficient outsourcing and offshoring strategy. It has resulted in greater operational flexibility and bringing down the costs in highly price sensitive segment. Secondly the value chain collaborators of the firm in Buzz Marketing for Movies HBR case study have helped the firm to develop new products and bring them quickly to the marketplace.
Sustainable margins compare to other players in Sales & Marketing industry
– Buzz Marketing for Movies firm has clearly differentiated products in the market place. This has enabled Movie Buzz to fetch slight price premium compare to the competitors in the Sales & Marketing industry. The sustainable margins have also helped Movie Buzz to invest into research and development (R&D) and innovation.
Training and development
– Movie Buzz has one of the best training and development program in the industry. The effectiveness of the training programs can be measured in Buzz Marketing for Movies Harvard Business Review case study by analyzing – employees retention, in-house promotion, loyalty, new venture initiation, lack of conflict, and high level of both employees and customer engagement.
Successful track record of launching new products
– Movie Buzz has launched numerous new products in last few years, keeping in mind evolving customer preferences and competitive pressures. Movie Buzz has effective processes in place that helps in exploring new product needs, doing quick pilot testing, and then launching the products quickly using its extensive distribution network.
Weaknesses Buzz Marketing for Movies | Internal Strategic Factors
What are Weaknesses in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The weaknesses of Buzz Marketing for Movies are -
High dependence on star products
– The top 2 products and services of the firm as mentioned in the Buzz Marketing for Movies HBR case study still accounts for major business revenue. This dependence on star products in has resulted into insufficient focus on developing new products, even though Movie Buzz has relatively successful track record of launching new products.
Slow to strategic competitive environment developments
– As Buzz Marketing for Movies HBR case study mentions - Movie Buzz takes time to assess the upcoming competitions. This has led to missing out on atleast 2-3 big opportunities in the industry in last five years.
No frontier risks strategy
– After analyzing the HBR case study Buzz Marketing for Movies, it seems that company is thinking about the frontier risks that can impact Sales & Marketing strategy. But it has very little resources allocation to manage the risks emerging from events such as natural disasters, climate change, melting of permafrost, tacking the rise of artificial intelligence, opportunities and threats emerging from commercialization of space etc.
Increasing silos among functional specialists
– The organizational structure of Movie Buzz is dominated by functional specialists. It is not different from other players in the Sales & Marketing segment. Movie Buzz needs to de-silo the office environment to harness the true potential of its workforce. Secondly the de-silo will also help Movie Buzz to focus more on services rather than just following the product oriented approach.
High operating costs
– Compare to the competitors, firm in the HBR case study Buzz Marketing for Movies has high operating costs in the. This can be harder to sustain given the new emerging competition from nimble players who are using technology to attract Movie Buzz 's lucrative customers.
Ability to respond to the competition
– As the decision making is very deliberative, highlighted in the case study Buzz Marketing for Movies, in the dynamic environment Movie Buzz has struggled to respond to the nimble upstart competition. Movie Buzz has reasonably good record with similar level competitors but it has struggled with new entrants taking away niches of its business.
Skills based hiring
– The stress on hiring functional specialists at Movie Buzz has created an environment where the organization is dominated by functional specialists rather than management generalist. This has resulted into product oriented approach rather than marketing oriented approach or consumers oriented approach.
Products dominated business model
– Even though Movie Buzz has some of the most successful products in the industry, this business model has made each new product launch extremely critical for continuous financial growth of the organization. firm in the HBR case study - Buzz Marketing for Movies should strive to include more intangible value offerings along with its core products and services.
Slow decision making process
– As mentioned earlier in the report, Movie Buzz has a very deliberative decision making approach. This approach has resulted in prudent decisions, but it has also resulted in missing opportunities in the industry over the last five years. Movie Buzz even though has strong showing on digital transformation primary two stages, it has struggled to capitalize the power of digital transformation in marketing efforts and new venture efforts.
Compensation and incentives
– The revenue per employee as mentioned in the HBR case study Buzz Marketing for Movies, is just above the industry average. Movie Buzz needs to redesign the compensation structure and incentives to increase the revenue per employees. Some of the steps that it can take are – hiring more specialists on project basis, etc.
High dependence on existing supply chain
– The disruption in the global supply chains because of the Covid-19 pandemic and blockage of the Suez Canal illustrated the fragile nature of Movie Buzz supply chain. Even after few cautionary changes mentioned in the HBR case study - Buzz Marketing for Movies, it is still heavily dependent upon the existing supply chain. The existing supply chain though brings in cost efficiencies but it has left Movie Buzz vulnerable to further global disruptions in South East Asia.
Opportunities Buzz Marketing for Movies | External Strategic Factors
What are Opportunities in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The opportunities highlighted in the Harvard Business Review case study Buzz Marketing for Movies are -
Harnessing reconfiguration of the global supply chains
– As the trade war between US and China heats up in the coming years, Movie Buzz can build a diversified supply chain model across various countries in - South East Asia, India, and other parts of the world. This reconfiguration of global supply chain can help, as suggested in case study, Buzz Marketing for Movies, to buy more products closer to the markets, and it can leverage its size and influence to get better deal from the local markets.
Developing new processes and practices
– Movie Buzz can develop new processes and procedures in Sales & Marketing industry using technology such as automation using artificial intelligence, real time transportation and products tracking, 3D modeling for concept development and new products pilot testing etc.
Learning at scale
– Online learning technologies has now opened space for Movie Buzz to conduct training and development for its employees across the world. This will result in not only reducing the cost of training but also help employees in different part of the world to integrate with the headquarter work culture, ethos, and standards.
Manufacturing automation
– Movie Buzz can use the latest technology developments to improve its manufacturing and designing process in Sales & Marketing segment. It can use CAD and 3D printing to build a quick prototype and pilot testing products. It can leverage automation using machine learning and artificial intelligence to do faster production at lowers costs, and it can leverage the growth in satellite and tracking technologies to improve inventory management, transportation, and shipping.
Identify volunteer opportunities
– Covid-19 has impacted working population in two ways – it has led to people soul searching about their professional choices, resulting in mass resignation. Secondly it has encouraged people to do things that they are passionate about. This has opened opportunities for businesses to build volunteer oriented socially driven projects. Movie Buzz can explore opportunities that can attract volunteers and are consistent with its mission and vision.
Using analytics as competitive advantage
– Movie Buzz has spent a significant amount of money and effort to integrate analytics and machine learning into its operations in the sector. This continuous investment in analytics has enabled, as illustrated in the Harvard case study Buzz Marketing for Movies - to build a competitive advantage using analytics. The analytics driven competitive advantage can help Movie Buzz to build faster Go To Market strategies, better consumer insights, developing relevant product features, and building a highly efficient supply chain.
Lowering marketing communication costs
– 5G expansion will open new opportunities for Movie Buzz in the field of marketing communication. It will bring down the cost of doing business, provide technology platform to build new products in the Sales & Marketing segment, and it will provide faster access to the consumers.
Use of Bitcoin and other crypto currencies for transactions
– The popularity of Bitcoin and other crypto currencies as asset class and medium of transaction has opened new opportunities for Movie Buzz in the consumer business. Now Movie Buzz can target international markets with far fewer capital restrictions requirements than the existing system.
Increase in government spending
– As the United States and other governments are increasing social spending and infrastructure spending to build economies post Covid-19, Movie Buzz can use these opportunities to build new business models that can help the communities that Movie Buzz operates in. Secondly it can use opportunities from government spending in Sales & Marketing sector.
Low interest rates
– Even though inflation is raising its head in most developed economies, Movie Buzz can still utilize the low interest rates to borrow money for capital investment. Secondly it can also use the increase of government spending in infrastructure projects to get new business.
Buying journey improvements
– Movie Buzz can improve the customer journey of consumers in the industry by using analytics and artificial intelligence. Buzz Marketing for Movies suggest that firm can provide automated chats to help consumers solve their own problems, provide online suggestions to get maximum out of the products and services, and help consumers to build a community where they can interact with each other to develop new features and uses.
Reforming the budgeting process
- By establishing new metrics that will be used to evaluate both existing and potential projects Movie Buzz can not only reduce the costs of the project but also help it in integrating the projects with other processes within the organization.
Changes in consumer behavior post Covid-19
– Consumer behavior has changed in the Sales & Marketing industry because of Covid-19 restrictions. Some of this behavior will stay once things get back to normal. Movie Buzz can take advantage of these changes in consumer behavior to build a far more efficient business model. For example consumer regular ordering of products can reduce both last mile delivery costs and market penetration costs. Movie Buzz can further use this consumer data to build better customer loyalty, provide better products and service collection, and improve the value proposition in inflationary times.
Threats Buzz Marketing for Movies External Strategic Factors
What are Threats in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The threats mentioned in the HBR case study Buzz Marketing for Movies are -
High level of anxiety and lack of motivation
– the Great Resignation in United States is the sign of broader dissatisfaction among the workforce in United States. Movie Buzz needs to understand the core reasons impacting the Sales & Marketing industry. This will help it in building a better workplace.
Regulatory challenges
– Movie Buzz needs to prepare for regulatory challenges as consumer protection groups and other pressure groups are vigorously advocating for more regulations on big business - to reduce inequality, to create a level playing field, to product data privacy and consumer privacy, to reduce the influence of big money on democratic institutions, etc. This can lead to significant changes in the Sales & Marketing industry regulations.
Shortening product life cycle
– it is one of the major threat that Movie Buzz is facing in Sales & Marketing sector. It can lead to higher research and development costs, higher marketing expenses, lower customer loyalty, etc.
Instability in the European markets
– European Union markets are facing three big challenges post Covid – expanded balance sheets, Brexit related business disruption, and aggressive Russia looking to distract the existing security mechanism. Movie Buzz will face different problems in different parts of Europe. For example it will face inflationary pressures in UK, France, and Germany, balance sheet expansion and demand challenges in Southern European countries, and geopolitical instability in the Eastern Europe.
Backlash against dominant players
– US Congress and other legislative arms of the government are getting tough on big business especially technology companies. The digital arm of Movie Buzz business can come under increasing regulations regarding data privacy, data security, etc.
High dependence on third party suppliers
– Movie Buzz high dependence on third party suppliers can disrupt its processes and delivery mechanism. For example -the current troubles of car makers because of chip shortage is because the chip companies started producing chips for electronic companies rather than car manufacturers.
Stagnating economy with rate increase
– Movie Buzz can face lack of demand in the market place because of Fed actions to reduce inflation. This can lead to sluggish growth in the economy, lower demands, lower investments, higher borrowing costs, and consolidation in the field.
Technology acceleration in Forth Industrial Revolution
– Movie Buzz has witnessed rapid integration of technology during Covid-19 in the Sales & Marketing industry. As one of the leading players in the industry, Movie Buzz needs to keep up with the evolution of technology in the Sales & Marketing sector. According to Mckinsey study top managers believe that the adoption of technology in operations, communications is 20-25 times faster than what they planned in the beginning of 2019.
Consumer confidence and its impact on Movie Buzz demand
– There is a high probability of declining consumer confidence, given – high inflammation rate, rise of gig economy, lower job stability, increasing cost of living, higher interest rates, and aging demography. All the factors contribute to people saving higher rate of their income, resulting in lower consumer demand in the industry and other sectors.
Increasing international competition and downward pressure on margins
– Apart from technology driven competitive advantage dilution, Movie Buzz can face downward pressure on margins from increasing competition from international players. The international players have stable revenue in their home market and can use those resources to penetrate prominent markets illustrated in HBR case study Buzz Marketing for Movies .
Capital market disruption
– During the Covid-19, Dow Jones has touched record high. The valuations of a number of companies are way beyond their existing business model potential. This can lead to capital market correction which can put a number of suppliers, collaborators, value chain partners in great financial difficulty. It will directly impact the business of Movie Buzz.
Environmental challenges
– Movie Buzz needs to have a robust strategy against the disruptions arising from climate change and energy requirements. EU has identified it as key priority area and spending 30% of its 880 billion Euros European post Covid-19 recovery funds on green technology. Movie Buzz can take advantage of this fund but it will also bring new competitors in the Sales & Marketing industry.
New competition
– After the dotcom bust of 2001, financial crisis of 2008-09, the business formation in US economy had declined. But in 2020 alone, there are more than 1.5 million new business applications in United States. This can lead to greater competition for Movie Buzz in the Sales & Marketing sector and impact the bottomline of the organization.
Weighted SWOT Analysis of Buzz Marketing for Movies Template, Example
Not all factors mentioned under the Strengths, Weakness, Opportunities, and Threats quadrants in the SWOT Analysis are equal. Managers in the HBR case study Buzz Marketing for Movies needs to zero down on the relative importance of each factor mentioned in the Strengths, Weakness, Opportunities, and Threats quadrants.
We can provide the relative importance to each factor by assigning relative weights. Weighted SWOT analysis process is a three stage process –
First stage for doing weighted SWOT analysis of the case study Buzz Marketing for Movies is to rank the strengths and weaknesses of the organization. This will help you to assess the most important strengths and weaknesses of the firm and which one of the strengths and weaknesses mentioned in the initial lists are marginal and can be left out.
Second stage for conducting weighted SWOT analysis of the Harvard case study Buzz Marketing for Movies is to give probabilities to the external strategic factors thus better understanding the opportunities and threats arising out of macro environment changes and developments.
Third stage of constructing weighted SWOT analysis of Buzz Marketing for Movies is to provide strategic recommendations includes – joining likelihood of external strategic factors such as opportunities and threats to the internal strategic factors – strengths and weaknesses. You should start with external factors as they will provide the direction of the overall industry. Secondly by joining probabilities with internal strategic factors can help the company not only strategic fit but also the most probably strategic trade-off that Movie Buzz needs to make to build a sustainable competitive advantage.
