This paper examines the marketing communications and brand positioning strategy employed by BT Group plc for its digital television service, BT TV. It outlines BT's product portfolio and the key communication channels used to reach household consumers, including television advertising, newspaper ads, celebrity endorsements, billboards, and e-commerce platforms. The paper identifies the primary consumer segments targeted by BT TV, evaluates the communication appeals used to attract those segments, and assesses the appropriateness of BT's combined competitive and creative positioning strategy. It concludes by comparing the effectiveness of traditional and interactive communication approaches within BT's integrated marketing communications framework.
BT Group plc, doing business as BT (British Telecom), is one of the world's largest telecommunications services providers and the largest multinational telecommunications corporation in the United Kingdom. BT has business operations in more than 170 countries around the globe and offers its services to all types of consumers, including households, small and medium enterprises, large business corporations, and public sector entities. Incorporated in 1980 — with the Electric Telegraph Company, General Post Office, and Post Office Telecommunications as its predecessors — BT has become one of the largest, most innovative, and most competitive communications services providers in the world. It is headquartered at BT Centre, London, UK, and operates with a workforce of around 90,000 employees worldwide (BT PLC, 2013).
The major products and services of the company include phone services (phone line and broadband packages, 08 & 09 numbers, business phone lines, conferencing, ISDN lines, VoIP, hosted VoIP, and more); broadband and internet services (standard, superfast, BT Net Leased Line, and broadband and phone line packages); IT services (for large businesses, cloud and data centre solutions, IT Support Manager, BT PC Security, and pricing calculator); networking solutions (IP VPN services, BYOD — Bring Your Own Device — Ethernet services, and structured cabling); phone systems (BT Quantum, Avaya IP Office, Mitel 3300); mobile (handset and tariff options); and websites and domains (BT Web Hosting, BT eShop, and online marketing solutions) (BT, 2013).
BT TV is an innovative digital television service offered by BT primarily for household consumers. It comes with a range of TV packages and features, including 70 digital television and radio channels, catch-up TV including BBC iPlayer with record, pause, and rewind options. Optional features include BT Sport 1, BT Sport 2, ESPN, and Sky Sports (via a vision+ box) for sports fans; Kids Extra (channels such as Disney, Boomerang, and Cartoon Network); a High-Definition (HD) Extra option for favourite TV channels; Film and TV Box Sets covering dramas, documentaries, and comedies; Box Office and Sky Movies for premium content; and a movies-on-demand option (BT, 2013).
BT TV is one of the most highly regarded services offered by the BT Group. It not only delivers a crystal-clear display and innovative features, but also offers a high level of customisability and convenience to users. BT uses an aggressive approach to advertising its digital TV service to household consumers, given the extremely stiff competition from other major telecommunications companies such as Verizon (BT, 2013). The most widely used communication channels and marketing approaches for BT TV are discussed below.
Television advertising is currently the most expensive marketing medium for BT TV. The company recognises that this channel reaches the broadest target audience across small and large cities, towns, and rural areas, compared to all other communication mediums (BT, 2013; Sweney, 2007).
BT TV is promoted in all major daily newspapers and weekly magazines in both local and international markets. Newspaper advertising has proved to be an effective marketing medium for BT TV due to its wide geographical reach and high level of reader engagement. Unlike television ads, newspapers give readers more time to absorb the primary message delivered by the advertiser. BT expends a significant amount on newspaper and magazine advertising for its digital television service (BT, 2013).
BT enlisted Robin van Persie, striker for Manchester United, as part of its advertising campaigns. The company engaged this sports celebrity to promote BT TV Sports across television campaigns, billboards, poster advertising, sports magazines, newspapers, and other marketing mediums (Howes, 2013).
Billboards and posters are among the most widely used marketing channels of the BT Group. For its digital television service, BT uses large-format billboards featuring high-definition colour photographs — mostly of celebrities from sports and entertainment. The purpose of this advertising is to promote new features in the digital television service, such as the addition of high-definition sports TV channels, innovative functionality, and the day-by-day expanding geographical reach of the service (Bloomberg, 2013).
The company uses various communication approaches for its digital television service across the internet platform. A comprehensive e-commerce website, combined with advertising on third-party marketing websites and social media networking sites, has made the internet a highly effective platform for promoting BT TV in both local and international markets. The company's official website provides a comprehensive overview of all products and services, including online ordering information, a frequently asked questions (FAQs) section, and a customer queries facility — making it a useful platform for consumers in every respect. BT advertises its digital television service on social media networking sites such as YouTube, Facebook, and Twitter, which are effective in delivering marketing messages to younger and professional target audiences (BT, 2013).
Beyond the communication approaches described above, BT has a large network of business associates and partners that supply essential raw materials, technological equipment, and IT-related services to support its global operations. These strategic business partners also help promote BT's services in potential areas across local and international markets (BT PLC, 2013).
BT Television is offered primarily to general household consumers. However, its potential target audience also includes individuals, clubs, hotels, restaurants, discount shops, and consumer goods markets. BT offers a wide range of television and radio channels designed to meet the demands of all types of consumers. The channel lineup spans sports, entertainment, comedy, music, movies, current affairs, informative programming, and documentaries — thereby satisfying all age groups and social classes across all geographical regions.
The major targeted segments for BT TV are people aged 6–15 (for kids' entertainment channels), 16–22 (for sports, movies, and music), and 23 and above (for sports, movies, music, documentaries, and current affairs). BT TV equally targets both genders and all income classes. However, its primary targeted segment is people belonging to upper-middle and high income groups, owing to its premium pricing strategy (BT, 2013).
"Brand promises, competitive claims, and positioning logic"
"Evaluating strengths and weaknesses of BT's positioning"
"Assessment of BT's overall IMC performance"
"Comparing reach and feedback across channel types"
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