The Evolution of Marketing and Digital Fitness: A Comprehensive Guide
ECONOMIC AGGREGATES
– It represents the sum of a large number of actions and decisions taken by people, companies, consumers, producers, workers, institutions (called economic agents) that make up the economic reality of a country
– Economic variables are measured, which are indicators that help explain and understand the economic behavior of a country…in this case an economic sector (fitness industry)
– They are used to evaluating trends, the impact of different measures and market behavior.
– Aside from macroeconomics, economic aggregates are used in all economic and industrial sectors
EVOLUTION OF MARKETING
Marketing 1.0. –> Period of industrialization and mass production (20’s 20th C.) • Selling focused on the product and its specifications • The opinion of customers/consumers does not matter • Isolated response to complaints and suggestions • Tendency to cover needs, functional products • Value proposition: functionalities • Mass selling
Marketing 2.0. –> Greater competition: increase of the variety of brands and products. • Priority to the targeted consumer. • Market studies. The consumer is no longer passive and generates an opinion. • Database management. Differentiation. • 90s: the internet facilitates decision-making (searching, comparing, evaluating opinions…) Approach to technology. • Differential service. • The goal is to satisfying and building loyalty
Marketing 3.0. –> Value oriented selling. • Searching for products with social and environmental awareness. • The customer identifies the values of the product and his/her own values. Conscience. • The company’s processes are known and approved by the customer. • Companies: Complex strategic plans (permanent analysis of the environment) Mission, vision, values. • Importance of Customer Communities (exclusivity is not a selling point) Inclusivity as a value (inclusive cities, inclusive schools, …) Attention to minorities and the disadvantaged people. • Humanized brands.”creating a better worl”. Adaptation to the social purpose.
Marketing 4.0. –> Integrated experiences (physical + digital). • Consumer directly involved. It is part of the process creation of value proposal.• Hyperconnected marketing. Active listening to consumers. Social Networks. Digital listening. Knowing the behavior of consumers through their digital behavior. • Creating interactions with customers. Recommendations. The consumers advocate brands. Measuring the productivity of marketing actions (recommendation, engagement, purchase average…). • Role of brands improving/enlarging experiences: Creation of blogs, tutorials,. • Related to digitization and technology. Data interpretation to facilitate segmentation. On line commerce integration.
Marketing 5.0 –> Application of technologies that simulate human behavior in order to improve the experience of the purchase process.
• Used technologies: – Artificial intelligence (creation of purchase arguments). – internet of things and blockchain, (personalization of experiences). – Big data (more effective impacts) Predicting purchase behavior. . Augmented reality –next tech- (unique experiences that facilitate the purchase decision of consumers. Combination of virtual and real environments). – Facial recognition to identify reactions and emotions. • Natural language processing for the improvement of new products through the analysis of behavior in social networks
DIGITAL FITNESS
Nowadays, technology becomes a strategic and competitive tool.
Often the customer’s decisions are the subject of a technological process (a menudo las decisiones del cliente son objeto de una proceso tecnológico).
Digital transformation: innovate to make your business model relevant
DEFINITION OF TECHNOLOGY
Set of knowledge, skills, procedures and resources specific to a technique, scientifically arranged, that allow to design and create goods or services or to transform existing processes and activities that facilitate adaptation to the environment (effort) and the satisfaction of needs of Humanity (users)
STAGES CUSTOMER EXPERIENCE JOURNEY
Decision
1. Attraction → This stage is about capturing the attention of potential customers. It involves creating compelling marketing materials, advertisements, or content that resonate with the target audience and draw them towards the brand or product.
2. Offer → Here, the business presents its value proposition or offer to the attracted customers. This could include discounts, promotions, or unique selling points that encourage customers to take action and engage further with the brand.
3. Enrollment → Once customers are attracted and intrigued by the offer, they enroll or make a decision to become part of the brand’s ecosystem. This could involve signing up for a membership, subscribing to a service, or making a purchase.
Delighting
4. On boarding → This stage focuses on ensuring a smooth transition for the customer into using the product or service. It involves guiding them through initial setup, providing necessary resources or training, and making them feel welcome.
5. Activation → Activation occurs when the customer starts actively using the product or service. It involves their first successful interaction, experiencing the core value proposition, and feeling the benefits of their engagement.
Consideration
6. Trainning → Some products or services require ongoing training or support for customers to use them effectively. This stage involves providing resources, tutorials, or assistance to help customers get the most out of their purchase.
7. Results → Customers evaluate the outcomes or results of using the product or service. This could include achieving their goals, experiencing benefits, or seeing improvements. Positive results reinforce customer satisfaction and loyalty.
8. Leaving → And finally, what happens sometimes, is that some customers may choose to leave or disengage from the brand. This could be due to various reasons such as completing their goals, finding an alternative solution,…
9 ELEMENTS OF BUSINESS MODEL CANVAS
1. Key Partners → Agreements with third parties that allow sharing experiences, resources, costs (open innovation, ecosystems, franchisees…).
2. Key Activities → Key activities for your business model. Identifying nuclear activities. Focus on those that add value to the customer. Determine purchase process.
3. Key Resources → key resources for your business model
4. Cost Structure → Having analyzed the key activities, resources and necessary associations, it is necessary to detail the costs of offering the service/product (personnel, building, raw materials, supplies, financing…).
5. Value Proposition → WHAT PROBLEM DO YOU SOLVE? What makes you different, that the customer is willing to pay. pricing policy,… (Gains, Pains).
6. Customer Relationships → Personal, face-to face, telephone, automated (using technology).
7. Channels → How we explain our value proposition? How does the proposal reach clients?
8. Revenue Streams → How much are customers willing to pay?
9. Customer Segments → who are you addressing
BUSINESS MODELS
Low cost –> Chains with many clubs. Hig volume of sales and high customer turnover. Young audience. Small shares. Sometimes with oppening hours 24/7.
Medium Clubs –> Many activities and spaces. Strategic placement. They include swimming pools. Audience very varied, large volume of users. They look for diferenciation.
Boutique –> High exclusivity. High prices. Business linked to branding. Generally they offer group training workouts. Smaller spaces. Desing is very important. Strong use of technology.
SCALABILITY
Capacidad que tiene un sistema, modelo o función para manejar su crecimiento manteniendo su eficacia.
VALUE PROPOSITION
Statement that summarizes why a customer should choose that company’s products or services over those offered by the competition.
This proposal highlights what makes it special and valuable to them (the company).
A solid and well-communicated value proposition is the key to attracting and retaining customers. Use coherent marketing and communication messages.
Value –> What a person is willing to pay for what a company offers.
PRICE STRATEGY (pricing)
Pricing strategy is a plan or strategy that a company uses to determine the prices of its products or services in order to maximize revenue, satisfy customers, and achieve the company’s strategic objectives. There are 3 different methods of pricing:
1. Based on cost (cost + benefit = price)
Is based on: calculate the cost and aggregate a marging benefit.
2. Based on concurrence
Is based on: compare with your concurrence. You can fix a higher price if you offer more, and you can fix lower price if you offer less.
3. Based on customers (Benefit = price – cost)
Is based on: calculate how much are willing to pay the customers.
PURE PLAYER
– A pure player is a company with products or services that are sold/provided and/or designed
entirely online.
– Essentially, it’s an e-commerce brand that doesn’t have any physical storefronts and conducts
its business through digital channels, digital platforms, social media networks
DIGITIZATION AND DIGITAL TRANSFORMATION
DIGITALIZATION: Convert analog processes/objects of organizations into digital ones. Application of data and technological processes in the development of scheduled activities.
DIGITAL TRANSFORMATION: Redefine the processes from the perspective of the client and the organization to be able to face their management procedures in a more efficient and optimized way. Adapting your business model to the digital time to occupying a position of possible success. Have changing purpose (change of culture). Unlearn to learn.
NEUROMARKETING
What motivates us to buy a product instead of another? We are moved by emotions (usually in irrelevant decisions) that we try to justify later Between 80-95% of purchase decisions are made subconsciously/unconsciously Use of 2 techniques to assess the person’s reactions: neurometrics (metabolic, electrical changes in the brain) and biometrics (electrical conductance of the skin or eye tracking) Types of use (not exclusive): visual, auditory and kinesthetic.
VUCA
It was a term introduced into the business world in 2008. It tries to capture the characteristics of the current world, that is, being able to foresee the changes and evolutions that the business environment will have. Have the agility to change and find solutions quickly.
Volatily –> continuous and dynamic changes at high speeds, generated by complicated environments.
Uncertainty –> Unforeseen situations increase, so there is a lack of prediction
Complexity –> difficulty understanding and directing the current situation and distinguishing between cause and effect
Ambiguity –> lack of understanding between the relationships of the different elements of the environment.
BANI
This concept appeared in 2018 through the article called “Facing the age of chaos”. This term destabilized feelings and added chaos and confusion, as there was no way to explain the changes. It was aggravated by Covid-19 since there were inexplicable changes socially, politically, culturally and economically. We went from instability to chaos.
Britlle – Anxious – Non-linear – Incomprehensible
KEY REMARKS FITNESS INDUSTRY (Puntos clave)
1. Fitness industry has never been static.
2. Holistic fitness.
3. Personalisation through technology, connection between physical and mental health.
4. Sustainability as core value.
5. Inclusivity and access for all.
6. Rise of luxury wellness.
7. Integrated medical fitness, offer evidence-based exercise programs for individuals with
specific medical conditions.
8. Fitness as an experience.
9. Wellness approaches evolve, it’s about creating a more personalized, pleasant and
sustainable journey.
10. Fitness industry as a beacon of comprehensive wellness in order to stand at the forefront of
nurturing a healthier and happier world.
B2B AND B2C
WEB 3.0.
Decentralization, elimination of the power of a few corporations. Use of blockchain technologies that allow peer-to-peer interactions and data exchange without the need for centralized intermediaries.
It secures digital identity, there is greater privacy and advertising is controlled by the user. Ability to market your content.
Web 1.0 → the user is a mere consumer of the content.
Web 2.0 → user interaction, websites become platforms.
WEARABLE
It is a device that can be worn, often as an accessory such as a watch, glasses, shoes…
They provide basic and detailed information (tracking) about the physiological parameters of the body, it can also provide notifications. It is one of the fastest growing fitness sectors in the industry.