IBM Digital Strategy

 

The focus of this marketing campaign is to attract new customers to use IBM’s services. These services include: IT services, business consulting, and other miscellaneous services that IBM provides. The reason that IBM services are being promoted is that by using IBM services, there is a good chance that a company will want to continue using the services, or if they find they can start handling things on their own, they will want to purchase familiar software and technology from IBM providing more selling points.

The target audience is split small and medium businesses, specifically the researchers, influencers and decision makers of these small and medium businesses. Large businesses are also in the target, but no effort is being used to specifically target them. The reason for this is that they usually already have a well-established business and IT backbone giving them little reason to be looking for new services. People working at these large businesses should already have an idea of what company they should get their services from.

Some key performance indicators are first to measure the ad’s click through rate and then conversions. In the case of services, many people will be calling the phone number listed on the individual services websites instead of emailing because of the more individual nature of these services. Operators should be instructed to ask callers where they heard about the service desired to help determine the conversion rate. A code in the URL can be used to help track conversion to the “E-mail Us” and “Request a conversation” links on individual services.

This campaign should cause a minimum of a 5% increase in requests for more information about the services offered, and a minimum of a 0.1% increase in service sales, causing a $3 billion increase in Global Technology and Business Services based on 2011 annual financial report.

The tools and tactics that will be used during this marketing campaign will include largely Google AdWords and Bing Ads as well as creating a Facebook product page and occasional tweets on Twitter. The reason for focusing on putting ads on Google and Bing is because of the nature of how people look for services. Google AdWords will be used on Google and its partners. Bing Ads will be used on Bing and Yahoo! and their partners. This will get the ad on the big 3 search engine leaders. The Facebook product page will be used for sending people using Facebook to a small information page covering specifically IBM services. Twitter will be used not to capture people already looking, but to instill the idea that people who have a say in small and medium sized business should look to improving their companies IT and business backbone through the use of IBM services. Facebook and Twitter will not have focus during these campaigns because of the nature of the people using them, they are not meant for business to business uses, but they are a great way to attract possible customers who didn’t know they might need these services.

The budget for this campaign is to be around $60 million which accounts for about 4% of total advertising budget based off the 2011 annual financial report. Depending on how successful this advertising campaign is, will determine how much funding will be allocated to future campaigns for IBM services. The budget will be split into 2 segments: Campaign development and campaign action. The campaign development segment will be about 40% of the total budget, covering keyword research, tool research & setup and salaries. The second segment, campaign action, accounting for 60% of the budget, will cover advertisement costs, continuous tweaking based on demand and salaries.

This campaign will be a mostly search engine marketing campaign promoting IBM services, targeting small and medium businesses looking to improve their IT and business backbone. The budget will be $60 million covering all aspects of planning, developing, and putting the campaign into action.