2. How a Marketing Mix Works
A marketing mix is a business tool used to
determine a product or brand’s offer and
value.
A marketing mix helps marketers develop
communication strategies when launching a
new product or service. The elements that
help develop these strategies are found within
the 4 P’s: Price, Product, Place and
Promotion
This model helps how a marketer decides to
take a new product to market by asking
asking themselves questions of how their
product or service fits within the 4 P’s.
3. The Marketing Mix
• Deals with providing the product
at a convenient place for
consumers to access
• Strategies to consider select
distribution, intensive distribution,
exclusive distribution and
franchising
• This is the amount that a customer pays
for a product. It determines the company’s
profit and survival in the industry
• When setting a price the marketer should
be concerned with how the customer
values their product. Should take into
consideration price elasticity.
• Some basic strategies to pricing are
market skimming, market penetration and
neutral pricing.
• All methods of communication
that a marketer may use to
provide information about the
brand or products of the
business
• Elements of promotion include:
Advertising, public relations,
• Product can be seen as an item or
service that meets a consumer’s
demands
• Each product has a life cycle that
includes growth, maturity and decline
which is important for a marketer to be
aware of which stage their product is in
• A marketer should consider how to
position the product, it’s brand, and how
to use company resources to market it.
Product Price
Promotion Place
4. PLACE
PRODUCT
• Exclusive T.V. shows,
movies, documentaries,
and special
presentations
• Premium programming
• Coming soon! HBO on
demand
• Show merchandise
• Commercials
• HBOGO Password
sharing
• Social Media
#RoastJoffery
• HBO Connect
• Range of $10-$25
depending on
provider
• Later in 2015,
HBOGO Service
speculated for $15
• Major cable providers
• Online Streaming
• Television, smart
devices
PROMOTION
Price
5. HBO Price, Product
Provide
r
Price
Dish $19.00/month
Direct
TV
$17.99/month
free 3 months
Cox $10.00/6 months
Verizon $19.99/month
Free 9.99 for 3
months
AT&T $24.00/month
3 months free
HBOGO About $15
Premium Shows
Coming soon….Streaming
6. HBO Place, Promotion
Cable Providers and
soon online streaming.
HBOGO. Smart Devices
such as phones, laptops,
and tablets.
• Password Sharing
• Social Media
• Encourages
subscribers to
gain more
customers on a
referral service
• Allows customers to see
bonus content such as
behind the scenes, Q&A
from actors, and discuss
their favorite programs
7. BCG Matrix
Developed in the 1970s, the
BCG Matrix categorizes a
company’s business units
based on market share and
growth.
It is used to plan and
prioritize a company’s
product portfolio.
Market growth is indicative of
industry attractiveness while
market share demonstrates a
product’s competitive
advantage.
8. BCG Matrix cont.
Stars
• High market share & growth
• Use lots of cash to make lots
of cash
• Hope to become a cash cow
when market growth declines
Cash Cows
• High market share & low
market growth
• Generate more cash than
consumes
• Provide the cash to keep a
company in business
Question Marks
• Low market share & high
market growth
• Use more cash than make
• Carefully analyze whether to
invest greatly or divest
Dogs
• Low market share & growth
• Neither consumes nor
generates much cash
• Usually the first products
divested
10. High Market Share
Game of Thrones
• HBO’s biggest hit
• Season 4 averaged 3.68 rating
True Detective
• HBO’s new critically acclaimed
drama
• First season averaged 0.98 rating
Silicon Valley
• HBO’s most watched comedy
• First season averaged 0.95 rating
The Leftovers
• HBO’s underdog
• First season averaged 0.77 rating
Shameless
• Showtime’s most watched show averages 0.77 rating this
season
2010 - 2011 Market Growth
True Blood Entourage Boardwalk Empire Big
Love
2.8 1.6 1.1 0.7
11. Low Market Share
Girls
• HBO’s 20-something female dramedy
• Season 4 averages 0.32 rating
• First season averaged 0.5 rating
Looking
• HBO’s 20-something male dramedy
• Season 2 averages 0.11 rating
• First season averaged 0.17 rating
Getting On
• HBO’s hospital comedy
• Season 2 averaged 0.08 rating
• Showtime’s Nurse Jackie averaged 0.3
rating
Comeback
• HBO’s comeback comeback comedy
• Season 2 averaged 0.09 rating
• Showtime’s Episodes averages 0.14
rating
2010 - 2011 Market Growth
Hung Luck Enlightened In Treatment
0.4 0.1 0.1 0.0
12. HBO Family Programming
The Facts
Current programming ranges from sexually charged PG-13 movies to re-
runs of animated shows that stopped filming in early 2000’s.
Kids under 18 watch an average of 5 hours of TV per day.
Competitors Showtime Family Zone and Starz Kids & Family also have
no original kids programming
Nickelodeon’s 3 top shows in early 2014 averaged 3 million viewers
while Disney Channel’s original movie “Zapped” led all summer cable
movies with nearly 6 million viewers
Recommendation
Become the innovator of pay TV once again by creating original
family series
13. HBO Advertising
Increase advertising through cable providers
Had 4.9 billion in subscription fees, $1.3 billion within 3
months, with minimal advertising.
More call to action
More outdoor advertising to reach audiences that don’t watch
T.V.
HBO is dropping it’s cable-subscription requirement
Need a new campaign to reeducate and inform audiences
“Cut the Cord” Campaign.
14. HBO Female Programming
The Facts
Formerly known as HBO 3, HBO Signature is aimed at females,
providing sophisticated and thought-provoking programming.
Females watch almost 40 more minutes of TV than men do
each day
During the week ending February 21st, HBO Signature
showcased a single female centric series (Girls)
Recommendation
Create more female driven original series and movies
15. HBO Convention
HBO CON
A convention with sessions filled with writers, actors, directors
of all the shows that HBO offers.
Shows like True Blood, Game of Thrones and True Detective
have shown great turn out and response at conferences like
ComicCon.
This would be about a 3-4 day day convention, with booths,
speaker sessions and meet and greet opportunities.
HBO could produce own conference and charge about $160 for
customers who already subscribe to HBO. While non-
subscribers are charged about $200.
The idea is to get the consumer attached to the actors, writers
and characters, so that they’ll want to subscribe to HBO.
16. Closing Questions
Thank you for your time.
Beth Benge and Jared Ruddell
Undergraduate Students
University of Florida
Department of Telecommunication
College of Journalism and Communications
University of Florida
ebenge@ufl.edu & jared.ruddell92@gmail.com
17. Bibliography
"Latin Bands in Tampa, FL." Gig
Salad. The Gig Bureau, n.d.
Web. 12 Nov. 2014.
Dominguez, Frank. "Concierto: A
Latin Twist On Classical Music."
NPR. NPR, 25 Oct. 2010. Web.
12 Nov. 2014.
"Morning Edition." WUSF Public
Media. WUSF, n.d. Web. 12 Nov.
2014.
"Season Calendar." Florida
Orchestra |. Florida Orchestra,
n.d. Web. 12 Nov. 2014.
"Chadd & Kristi." Magic 94.9.
Cox Media Group, n.d. Web. 12
Nov. 2014.
"Classical Music On WUSF |
WUSF Public Media." WUSF
Public Media. WUSF, n.d. Web.
12 Nov. 2014.
"Events Calendar - College of
The Arts - University of South
Florida." USF College of the Arts.
USF, n.d. Web. 12 Nov. 2014.
Notes de l'éditeur
*increase in market share = increase in cash generation
*increase in market growth = increase in cash inputs
*larger market share + faster market growth = better company
*question marks have worst cash characteristics; if market share doesn’t increase and growth declines, will become dogs