New Trends In Internet Marketing
Over the course of the last few years, a new paradigm for Internet Marketing (IM) has emerged. This new trend moves away from virtual stores and Search Engine Optimization (SEO). This trend revolves around a marketing concept called the product launch.
Now You Can Learn About Product Launches
Product Launch
Product launches have been in existence since marketing first started. We see this process unfold with the launch of major motion pictures. Before the movie arrives at your local theater as series of activities are arranged which grows the interest of movie goers.
The Pre-Launch
While the movie is being made the marketing/promotion staff are busy creating an atmosphere of interest and excitement about the new movie. Documentaries are created about the behind-the-scenes activities of making the film and how specific new technologies are used in making the film.
Cable channels love to get involved in making their own documentaries and the producers love this interest. For instance, if an animal is used in the film, the Animal Planet cable channel loves to film the "how it was done" shows. When we watch those shows on Animal Planet, we get interested in seeing how the film turns out and want to see how well the animal performs in the whole movie.
As the film nears it's opening, Sneak Previews of the film are shown around the country to start a buzz about the film and to begin the social proof activities. The film is presented at various film festivals in hopes of getting awards and further improving the social proof about the film.
Closer to the opening, the stars and the director are interviewed on film and on TV and radio and print to get the word out about upcoming opening of the film. The stars are all interviewed on all of the Entertainment channels and on the late night talk shows and on Larry King and other popular TV commentary shows.
The Launch
The opening is announced and anticipated. The red carpet is live on cable TV with interviews of the stars and Director and Producers. It is a big deal.
Opening Weekend statistics are used to predict the financial success
(or not) of the film. If a film grosses over a certain number of millions of dollars on the first weekend, it will probably be successful.
As long as sales remain strong, the film continues to show in the main movie theaters. The longer it plays there, the more successful the film is considered.
Downgraded
When the film has passed a certain amount of time in the major theaters, it is downgraded. The decision to do this is based on diminishing returns in the box office.
This decision to downgrade the film is not considered to be a bad thing. It is simply the next step in the life-cycle of this film (this product). Downgrading is another opportunity for extending the revenue life of the film.
Downgrading has several flavors, including Dollar movie houses, Pay Per View Cable (PPV), Premium cable channels, release to DVD, and release to broadcast and regular movie channels. All of these represent another level of ongoing revenue for the film project.
Moving through all of these stages is a normal, planned progression in the life-cycle of a film. How long a film stays in each of these stages is related to the level of interest and volume of revenue at each of these levels.
Sometimes surprises happen and a film does poorly in the initial box-office stage, but does very well in PPV or on DVD. Producers plan their promotional activities to make a lot of money at the very first level and then happily harvest ongoing revenue from the downgraded levels.
How Does This Relate To Internet Marketing?
Product Launch Formula and Mass Control are a couple of the most popular product launch processes. They use similar approaches that are used in movie promotion and release. They build interest and excitement by using autoresponder emails and giveaways.
They use psychological triggers to heighten interest. They use social proof. They use scarcity. They use bonuses. They use celebrities. They create a swell of enthusiasm for the product launch in a sophisticated pre-launch process.
At launch, they offer their product to a large group of people who have been building their interest in this product for weeks. At launch, people are waiting by their computers to receive the email that tells them they can go and buy the product. And, after a pre-planned time period of days, they remove their product from the market.
By using this process, they make many more sales in a week or two than they could by offering their product from a virtual store for a year or two. By using these product launch processes, they satisfy their revenue needs and they can start planning their next product which they will offer after a 3 to 6 month delay.
Their Next Product Launch
In planning for their next product launch, they put former products
(now off the shelves, from a year or two earlier) as bonuses or for a discounted price. to enhance the sales of their new product.
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