Advertising is as much technique and tactics as it is art and out of the box thinking.And this fact was recently proven when Dunkin' Donuts decided to tweak their marketing strategy in Seoul, Korea. Seoul is nicknamed, "The City of Coffee." It houses one of the most competitive markets for coffee shops in the world. Dunkin' is more readily recognized as a donut shop versus a coffee shop. In an effort to drive sales in the highly competitive Seoul market, Dunkin' decided to opt for some out of the box thinking.
Marketing With What You Have
If you owned Dunkin' Donuts and spent years building a reputation in the donut world, how would you bridge into the highly competitive corner of Seoul, Korea? You would be going up against big names, including the highly coveted Starbucks. At first glance, you might shudder and think that you need to restructure your entire marketing plan. You would likely look at your budget and think thatrestructuring to promote a new reputation would be costly with no promise of return in one of the most competitive coffee markets on the planet. But you would be wrong.
The approach Dunkin' Donuts took to tweak their marketing plan proves that any business—no matter the size—need only follow a basic 5-step system to make any advertisement venue a success:
Step 1: Have a specific goal
Dunkin' Donuts' mission was to encourage people to choose coffee at their location versus others. With this goal firmly in focus, the company moved on to the next step.
Step 2:Identify and leverage the required skill set to analyze the situation
Dunkin' Donuts took the time to analyze thoroughly where to find their ideal clients in the Seoul market. Seoul is a bustling, packed city—much like New York City. Due to terrible traffic congestion, most people commute to work via public transportation. Since the public are busy, the challenge was to devise a means of reaching them during their commute time on buses and subways, before they chose which coffee shop to stop at for their morning or late day brew.
Step 3:Leverage out of the box thinking to create viable ideas
One of the key steps to making any advertisement venue a success is the freedom to think outside of the box. Dunkin' proves this point explicitly. Upon identifying their ideal clients and analyzing where to reach them, the question became how? Their idea was to leverage their already in place radio advertisements with an added tweak: releasing the aroma of coffee every time an ad played.
Step 4:Budget to implement the idea
After analyzing the Dunkin' jingle, the company decided to budget to create a machine capable of releasing the aroma of coffee each time the jingle played. The jingle was inserted at the top of the radio ad, and each time the jingle was played, the machine released the coffee aroma into buses and subways.
Step 5:Track the results
Upon implementation, Dunkin' tracked the results. They found that once the aroma was released, people were surprised. It often made them stop whatever they were doing to smell and listen. Positioning was a key factor in the success of this marketing strategy; when the bus stopped, passengers were let off in front of or in eyeshot of a Dunkin' Donuts advertisement or shop. As a result, passengers were much more inclined to make Dunkin' Donuts their coffee stop.
More than 350 thousand people experienced the ad. Visitors increased by 16 percent, and coffee sales grew by 29 percent. And most importantly, more people think of Dunkin' Donuts when they want coffee.
Most small business fail to follow this basic 5-step system, and as a result often miss out on promising opportunities to boost sales and expand into new markets. The Dunkin' Donuts example shows that by following these simple steps, anyone can bring in more sales with their budget. Every sales and/or marketing project must have a clear goal to achieve and a budget or else it will fail.