CASE STUDY- Chubb Security Systems
Chubb, an organization noted for its locks and security systems, developed a security product particularly suited to manufacturing organizations based in small factory units. Market research identified the specific target market for the product and the buying behaviour of that target.
A campaign was developed which focused on the decision-making unit (DMU).The DMU concept recognises that buying decisions are often the result of decisions affected by many people and not just the purchaser. The DMU is the group of people (or players) who are the most influential and involved in the purchase and the use of the product. Four key players are commonly identified: the buyer, the user, the specifier and the decider (although the DMU can be described in various other ways).
Research told Chubb that for their market there were, in fact, two key DMU players. One was the financial director who acted both in the capacity of decider and buyer. The other was the factory manager who acted in the capacity of specifier and user. In other words, the financial director would make the final decision about the security system to buy, and then actually be responsible for the purchase contract. The factory manager would influence the purchase be specifying the type of system required and be responsible for its use. The combined efforts of these two players would dictate whether a purchase would be made and, if so, which systems would be shortlisted and eventually purchased. Marketing communications targeted on only one or the other of the players would represent missed opportunities to maximize sales.
The industrial sales force has long known the value of identifying multiple points of contact within customer organisations. Users of the other elements of the marketing communications mix sometimes fail to do so. Chubb recognised the potential. They did not send single, general communications to their potential organizations customers. Chubb's campaign focused on two people within each organization. And it did so in an interesting and creative way. Small metal moneyboxes were purchased into which were put coins and information leaflets. Each moneybox had a lid, a lock and a key. A locked moneybox and a covering letter was sent to the finance director of each of the potential customer organisations. At the same time, a letter with a key was sent to the factory manager of each organization. In all cases, research had identified the names of each recipient so that the mailing was carefully targeted and personalised.
The covering letters, which gave no details of the product being promoted, requested that each finance director should contact the factory manager and that each factory manager should contact the finance director. In this novel way, members of the DMU were invited to get together to discuss what their mailings were about. Only after coming together were they able to discover the contents of the moneybox and the Chubb security system being offered. Why were coins put into the moneyboxes? Simply to ensure that the moneyboxes rattled. In this way they were more intriguing. The campaign was a success-it was an award winner. To the delight of the
company, sales targets were not only met, they were exceeded.
Question 1:
What marketing and communications elements have been used by Chubb, for its campaign to be a success?
Question 2:
You a newly-appointed marketing executive at Chubb and have been assigned the responsibility of devising marketing communications strategies, to ensure the future long-term success of the company's product. Discuss how you will proceed.