BWAC NBC CASE
During the 2016 Olympics, NBC Universal had a very big scare when their primetime viewers fell 18%. In the article, SNOOZE, the main issue is that younger viewers were not watching programming through traditional means. Companies such as NBC Universal and ESPN needed to find ways to get younger audiences to watch their programming, they needed to figure out a new way of advertising.
To understand where they started one must look at NBC’s Marketing Management Philosophy. For this certain situation, their philosophy was to focus on Market Orientation. The concept focuses on wat the customer wants and to try and to integrate activities and working towards achieving their long-term goals by also satisfying customer wants and needs. NBC has done this by seeing how more people are using social media and they’ve adapted by putting Olympic broadcasts online on apps such as Snap Chat and Instagram to increase viewers. This leads to their objectives and growth dimensions. NBC uses a mix of the Innovation matrix and the Ansoff’s Strategic Opportunity Matrix. By using the Ansoff’s Opportunity Matrix NBC wants to penetrate its way onto the social media market and develop its online resources to connect to viewers. Further they are innovative in the sense of Transformational Innovation, technology is ever-changing and companies need to adapt to it or else they’ll sink. NBC extending its reach’s online shows how it can be innovative and follow trends in order to profit. By joining online NBC viewers increased by 29% from the London Olympic games on the NBC sports app and website. A good objective for NBC would be to increase viewership on their website and apps by another 30% by the 2020 Tokyo Olympics in order to show consistent growth.
Furthermore, NBC is going to need to understand the competition such as rival companies like ESPN who is very innovative. ESPN has had a huge reach online and with younger viewers. With the purchase of companies such as Bleacher Report, ESPN even furthered their reach into the young market. Another factor that NBC needs to be aware while they try and reach their target demographic of Millennials and Generation Z is how social media has affected our society. Everything is online nowadays and while NBC has shown they can adapt, they need to make sure they understand the trends that are in and growing when they make decisions about expanding online.
NBC is continuing to build customer satisfaction and relationships with new customers if they stay on their current approach. With the way that NBC has adapted to move online and with the growth of 29% in their online viewers, NBC is proving that they have what it takes. I think that they will be successful in the future and continue to improve upon themselves. NBC has to keep up with the latest innovations in the market but as they grow their social media presence the more younger generations will watch the Olympics.
I believe that the way NBC is going about their viewer troubles is the best way that they can. They have shown growth over the course of the London Olympics to Rio Olympics and it only will continue to grow as they further their presence online and appease what the consumers want.
· Lamb, Charles W., et al. Marketing. South-Western/Cengage Learning, 2013.
· Smith, Gerry. “SNOOZE.” Companies/Industries, 4 Sept. 2016, pp. 20–21.