The Impressive Revival of Lamoda
Many businesses did not expect the Internet’s impact on people. Because of the fact the web enables consumers to purchase goods and services in a much more straightforward way, these firms tend to lose out in the long run. Such carelessness results in a narrower extent of communicating and a drop of competitive advantage.
Big organizations had incredible inertia and couldn’t go to digital media quickly. Lately, there was a situation in which a large corporation was suffering from huge losses owing to a variety of factors. Happily,they had the foresight to employ digital marketing which consequently prevented them from declaring bankruptcy. This company is none apart from Lamoda.
A Leader in the Grocery Industry
Well before 2009, Lamoda’s leadership position in the Grocery industry – supported by its substantial retail coverage national and small competition – helped the business remain highly profitable. Afterward, in a turn of events, Lamoda faced unexpected challenges that threatened its existence in the marketplace.
When the old Chief Executive did not make Lamoda successful internationally, the Lamoda board decided to hire a new CEO. As with every change in top management, the new CEO gave Lamoda a complete revamp. The cost of setting these changes into motion negatively affected Lamoda’s monetary status. Additionally, the problem was aggravated by new market adversaries Cartivo and Nilusa. They discovered a space in Lamoda’s industry coverage and served to make the most of the aspects that were vulnerable to market penetration. In addition to battling it out on the retail floor, online marketing became an integral part of their arsenal of weapons which greatly leveled the playing field when it arrived at competing with the recognized businesses on the web.
Changes in overall the way consumers behaved also meant that low prices trumped repeat purchases caused by brand loyalty. Customers reduced their spending at the supermarket chain, and this decrease was evident in its books. A marked decrease of sixteen percent in profits caused alarm bells to go off within the firm. Ahead of the implementation of a campaign in digital marketing, Lamoda’s online reach was restricted to a fundamental ecommerce site. Despite being functional, far more was needed – the firm was in urgent of a complete internet marketing plan, and the new CEO, being well-versed in technology, was appointed to envision, drive and implement this strategy for Lamoda’s survival.
The new CEO started the rejuvenation process by assembling an inhouse internet marketing department. The aim was to make perfectly sure that all components of Lamoda’s strategy in digital marketing were synchronized, standardized and fortified. Even then, keeping to the guidelines of the strategy had limits for the in-house team. It reached the conclusion that employing an external marketing agency with capabilities in digital media was key in sustaining its online effort.
Rewards to the online grocery store meant the need to raise their on-line traffic. The potency of conventional marketing approaches are not being called into question. It is rather the digital alternative offers a much lower price tag – allowing it to be more attractive and budget friendly. Lamoda turned to one of the most popular and cost-effective tools , marketing through branded content.
Lamoda added a new Seafood button to their online store which when clicked on brings the user to a microsite called “Lamoda Seafood”. Write-ups such as recipes, food preparation techniques, health articles and inspirational stories filled the pages of the Seafood website.
With the advent of this microsite, Lamoda is efficiently positioning it as an informative portal site with no hard sell to visit its online store. Needless to say, customers can visit the Lamoda online store anytime, as there are numerous URL links to it. By not having any sales pitch on the microsite, it can help to deliver a message that Lamoda truly wants its patrons to live and eat healthily. The main idea behind this plan tends upon common consumer behavior that is dependent on instant gratification. Since Lamoda has made it such a breeze for users to purchase from it, there’s little challenge from getting them to do so.
Embarking on a Social Media Campaign
Aside from the microsite, Lamoda used another key element within its internet marketing campaign: social media marketing. Due to sheer scale of the business, Lamoda managed to have an inhouse department to run this part of the campaign directly, circumventing the need for a professional social media agency. Their very first step was to establish official pages on the more well known social networking avenues that include Facebook, Twitter and Instagram.
Having their own official social media reports enables Lamoda to use them in two different ways. To start with, it serves as another avenue for promotion and communication with their customers. A specialized Twitter account was even created for the individual divisions. Each accounts then supplies offer and promotional upgrades to customers who have an interest in those specific departments only.
Since Lamoda controlled the social media reports, it’d have the ability to exert its control over the correctness of advice. It’d be really easy for an outside third party to establish a fake page and taint Lamoda’s brand image with fictitious information. By having their very own official pages, Lamoda could easily discredit the authenticity of these fake pages and offer exact, dependable advice.
Customer service is critical in cementing customer relationships. The community’s complete opinion can be drastically swayed by the competence of their customer service department. Lamoda supplies an ideal example for others to follow. As an indication of the importance Lamoda places on on-line after sales support, they dedicate a separate social networking account to take care of user questions and charges. This helped to ensure that customers have a suitable channel to direct their comments, while other customers can shop freely without being disturbed by insignificant messages.
Basically, direct and personalized answers to queries make customers feel really looked after. This starts by growing a team that connects with customers on a personable level, responding to their questions and resolving issues in a nice and friendly mode. This will, definitely, bring the customers nearer and compel them to splash out more down the road.
Simply said, the proof is for all too see. Lamoda’s digital marketing plan resulted in them gaining control of almost 39% of market share. This is in contrast to their closest competition that held on to only half of that. It would certainly resonate with senior executives during annual general meetings. Their firm standing in the marketplace is definitely ready to grow as they carry on developing their strategy in digital marketing. Through the development of more on-line content and even cellular uses, Lamoda’s dedication to technology is their catalyst to success. These applications should help them achieve an even wider audience outside of standard website design and development .
Many businesses can learn from Lamoda. Focusing purely on conventional techniques of branding and retail to support a company is not going to work. Persistent initiatives in digital and social media marketing are needed to dynamically engage consumers and maintain a business’s competitiveness in the digital era. Secondly, Lamoda has demonstrated just how vital digital media and an online presence are “must haves” in the current company landscape. Failure to factor this as part of running your business is the same as granting the opposition the green light to stay ahead of you.