University of Greenwich: Disruptive Tech and Marketing (MARK 1051)

This essay, prepared for the University of Greenwich's MARK 1051 course, delves into the realm of disruptive technologies and their transformative impact on contemporary marketing. The introduction establishes the definition of disruptive technology and its capabilities, followed by an overview of contemporary marketing theories. The core of the essay explores how disruptive technologies, specifically the Internet of Things (IoT) and Artificial Intelligence (AI), are reshaping the marketing landscape. The IoT section defines the technology, traces its history, and examines its influence on marketing, including examples like Amazon's use of Alexa. The AI section defines AI, explores its implementation in marketing, with a case study of Alibaba. The essay concludes with a personal analysis of the topics covered, providing valuable insights into the evolving dynamics of marketing in the face of technological advancements.

University of Greenwich (UOG)
Bachelor of Arts (Hons) Business Management (Top Up)
ASSIGNMENT / PROJECT COVER SHEET
(to be completed individually by student)
UOG ID Number 001146293
Course Specialization
(*Please delete whichever is not
applicable)
Marketing and Sales
Subject Code/Name MARK 1051 – CONTEMPORARY ISSUE IN
MARKETING
Assignment Title ESSAY 50%
Lecturer/Supervisor Mr. Mark Carace
Word count 5025 words
DECLARATION
I, the above named student, confirm that by submitting, or causing the attached
assignment to be submitted, I have not plagiarized any other person’s work in
this assignment and except where appropriately acknowledged, this assignment
is my own work, has been expressed in my own words, and has not previously
been submitted for assessment.

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TABLE OF CONTENT
INTRODUCTION ........................................................................................................................................ 2
I . WHAT IS DISRUPTIVE TECHNOLOGY? ............................................................................................................ 2
1. Definition ............................................................................................................................................. 2
2. The Capability of Disruptive Technology ............................................................................................. 3
II. CONTEMPORARY MARKETING THEORY ......................................................................................................... 3
III. HOW DOES DISRUPTIVE TECHNOLOGY IMPACT ON TODAY MARKETING ? ...................................................... 5
DISRUPTIVE TECHNOLOGIES IN MARKETING ................................................................................. 6
I. INTERNET OF THINGS (IOT) ............................................................................................................................. 6
1. Definition and History .............................................................................................................................. 6
2. How Internet of Things impact Marketing (IoT in Marketing) ................................................................. 7
3. How Amazon use IoT: Alexa in Marketing ........................................................................................... 9
II. ARTIFICIAL INTELLIGENCE (AI) ................................................................................................................... 10
1. Definition ........................................................................................................................................... 10
2. Implementation of AI in Marketing .................................................................................................... 12
3. Implementing Artificial Intelligence in Alibaba Marketing ................................................................ 15
4. Personal Analysis ............................................................................................................................... 16
CONCLUSION .......................................................................................................................................... 18
REFERENCES .......................................................................................................................................... 19

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INTRODUCTION
I . What is Disruptive Technology?
1. Definition
Disruptive technology is a significant innovation in how people operate in their daily
lives or how the company operates. With distinctly superior features, it will replace and
eliminate older systems. According to Crossan and Apaydin (2009), innovation is
“production or adoption, assimilation, and exploitation of a value-added novelty in
economic and social spheres; renewal and enlargement of products, services, and
markets; development of new methods of production; and the establishment of new
management systems. It is both a process and an outcome”. For example, current
disruptive technologies include 3D printing, e-commerce, internet of things (IoT),
artificial intelligence (AI), etc.
Disruptive technology was first mentioned by Clayton Christensen in “The Innovator's
Dilemma”, published in 1997. Then it is often used by startups when they create
technology that has great appeal.
Not only can large businesses make a breakthrough in technology, but small and
medium-sized companies can also do so by creating entirely new ways of operating.
Large corporations or companies tend to pursue increased productivity and satisfy their
largest and most potential customers rather than creating innovation. On this opportunity,
other businesses have quickly targeted the ignored customer segments, which help them
have their own position in the industry. Rapidly changing and adapting to new threats is
quite a difficult thing for well-known businesses. This has made it easier for small and
medium-sized businesses to capture more customer segments in the market.

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2. The Capability of Disruptive Technology
The capability of breakthrough technology for businesses' business activities is
enormous. Therefore, many companies have invested and are willing to take risks to be
able to apply this technology to their products and businesses. As these businesses find
a way to integrate breakthrough technology, they make competitors - companies that do
not anticipate the impact of these technologies - gradually lose their foothold in the
market.
Blockchain is considered one of the most typical examples of disruptive technology. You
may not be familiar with the blockchain concept but if you are not a Cistercian, you must
have heard of Bitcoin, a digital currency released as open-source software. Bitcoin as
well as several other virtual currencies run together on a technology platform formed by
an anonymous person, named Satoshi Nakamoto. This technology platform is
Blockchain.
The name Blockchain fully expresses its nature as linked, chained blocks of information.
The purpose of creating these blocks of information is to accurately record when digital
documents are created, and no one can change or interfere with them. Moreover, this is
an open distribution system that anyone can access. The difference is that once the data
is recorded inside each block, the ability to change those data is virtually impossible.
Blockchain technology simplifies financial, banking and payment services. Blockchain
allows everyone to have access to financial services, banking only with internet
connection without regional or national distinction. Cryptocurrencies (products of
blockchain technology) allow you to send money around the world almost instantly at a
low cost.
II. Contemporary Marketing Theory
The coming of the post-industrial age, which concentrates on companies and consumer
climate, contradicts conventional thinking on marketing. The sophistications of the

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economies brought on by globalisation, and the advent of technology also made
customers more competitive (Firat and Dholakia, 2003). As a way to succeed, many
companies rely primarily on the service elements of goods. It is important to remember
that knowledge and connectivity are becoming the main drivers of industry nowadays
and that conventional business activities are mostly obsolete. Contemporary marketing
has developed new techniques such as partnership marketing, industrial marketing and
corporate marketing that rely primarily on the customer and the culture in general. The
internet is now used and sold in new types of operations. This marketing mode is referred
to as internet marketing or e-marketing (Fornell and Wernerfelt, 2007).
This marketing approach seeks to balance conventional marketing imbalances. It is also
known as targeted marketing, because it is more oriented on and works with the
personalities of consumers. The latest campaign methods are listed below:
– Relationship Marketing: This contemporary marketing strategy is focused on
promotions targeted at marketing reactions. It stresses the customer's loyalty and
retention rather than revenue. This marketing approach stresses the long-term and
importance of the customer interaction rather than messages by the promotion of
marketing (Maffesoli, 2006). The advancement of technology has significantly
contributed to connection marketing as platforms like the Internet, for example, have
opened up contact paths and social websites.
– Business Marketing: This approach is applied by industrial firms, individuals,
organisations and associations to speed up their distribution and supply to other
companies, which subsequently market or use their goods to complement their services
(Green and Srinivasan, 2008). Commercial messaging is usually associated with the
products and then used on casual materials like instant messages and emailing. In order
to succeed, company marketing utilizes a range of strategy: merchandise, branding,
sales promotions, and pricing.

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III. How does disruptive technology impact on today marketing?
With the innovation of disruptive technologies such as Artificial Intelligence (AI), Internet
of Things (IoT), Virtual Reality (VR), Augmented Virtuality (AR), etc., marketing will
always be constantly changing, challenging and competitive, especially in three areas:
digital marketing, relationship marketing and integrated marketing communications
(IMC).
In e-commerce applications such as Shopee, Tiki, Lazada, technologies such as chatbot
assistants and analytics contribute to listening to customer feedback and monitoring their
behavior, thereby making product suggestions, optimizing search results and offering
attractive promotions, which has a huge impact on customer purchasing decision.
Another new technology such as Virtual Reality (VR) and Augmented Virtuality (AR) are
launched to help consumers experience the product before buying. In fact, Amazon has
launched a tool, called AR View, on their website so that users can choose from a variety
of furniture items and place them in their room before deciding to buy it or not. While
there are no official figures saying how much Amazon revenue will improve, AR View
will undoubtedly change the purchasing behavior of people looking to buy furniture.
Last but not least, social media is the most essential and powerful disruptive innovation
technology. Today, people are greatly influenced by their friends and family. For example,
Facebook, a new ‘word of mouth’ and a platform contain a huge number of users’ data.
Marketers can take advantage of this opportunity to advertise products, develop brand
image, increase sales and impact consumers by creating pages or groups on Facebook.
Moreover, Facebook offers selective advertising based on very detailed demographics. If
firms want to advertise a product or service, Facebook can specify the criteria to very small
details such as when will your birthday or where have you been recently (Facebook, 2018).

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DISRUPTIVE TECHNOLOGIES IN MARKETING
As mentioned above, there are many breakthrough technologies that have changed
today marketing. However, in this section I will focus on analyzing two disruptive
technologies: Internet of Things and Artificial Intelligence.
I. Internet of Things (IoT)
1. Definition and History
1.1 Definition
Internet of Things or IoT is a network consisting of billions of physical devices in the
world, when each object and person is provided with an identity of their own, and all
capable of transmitting, exchanging information and data over a single network without
the need for direct interaction between people, or people with computers. IoT has
evolved from the convergence of wireless technology, MEMS (Micro-Electro-
Mechanical Systems) technology and the Internet. In simpler terms, IoT is a set of
devices that are able to connect with each other, to the Internet and to the outside world
in order to do something. According to Matthew Evans - the IoT programme head at
techUK: "Simply, the Internet of Things is made up of devices – from simple sensors
to smartphones and wearables – connected together".
1.2 History
During the 1980s and 1990s, the addition of sensors and intelligence to basic devices
was frequently discussed. However, because of the limitations of technology, apart
from some pioneering projects such as automatic sales machines with Internet
connection, nothing stands out.
Then, as the technology was more advanced, the cost of RFID cards was cheap enough
- low-energy chips could communicate wirelessly, along with the growing growth of
the Internet, mobile carriers and wireless networks. All of this is a necessary condition
for IoT to scale up. In 1999, Kevin Ashton created the phrase 'Internet of Things'. But
it wasn't until a decade later that the development of technology caught up with the

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vision. RFID tags were one of the first IoT to be applied in the world, people attached
it to expensive devices to locate them. However, with the continuous development of
technology, the addition of sensors and internet connection to devices has been
constantly decreasing.
IoT was originally created for business and manufacturing purposes and is also known
as machine to machine (M2M), but today researchers apply them to the majority of
smart devices, making IoT become a suitable device for all fields.
2. How Internet of Things impact Marketing (IoT in Marketing)
The development of IoT, which brings great advantages to our society and various
industries (Zhuming Bi, Li Da Xu and Chengen Wang, 2014), also affects the marketing
industry - especially in digital marketing and content marketing.
– Content delivers the customer experience: A successful content requires information,
fun, entertainment and most importantly unique. In order to improve IoT, content
marketers need to rely more on their expertise. Once again, marketers need to consider
the effect of IoT on messaging and the importance of keeping up with patterns and
consumer needs for growth.
In content marketing, experience is not a new term. Increasingly, marketers use the
insight to advertise their goods rather than historically use a messaging message. This
helps users actually feel more than simply read information which makes them more
likely to connect. In order to encourage the potential of experience marketing, the
creation of IoT allows advertisers to find different kind of experiences. It is necessary
to understand the behaviors of the target market and to provide them with the best
experience with informative ideas, understanding initiatives.
Nike created such an experience with the Nike Plus app, a trainer solution for runners,
encouraging them to focus on their personal goals. This app tracks the speed, time,

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distance and heart rate of runners. Runners can also share their progress with people
around the world, contributing to giving them joy and a sense of enjoyment in life.
– Intelligently use customer data to build marketing strategies: These days when
shopping, consumers regularly use mobile devices and e-commerce platforms. This
makes it easy for marketers to collect user data about the buyer's basic information
(name, age, email, phone number...). Furthermore, IoT growth can offer a great amount
of knowledge, such as smart refrigerators that will gather data on items bought and used
by clients, watches, bracelets that monitor vital parts of the body and workout patterns.
In short, marketers have more opportunities than ever before to gather data and can use
this abundant source of data to build or optimize their goods or services, advertisement
and marketing plan. (Gregory, 2020).
The only challenge facing marketers is that the content management team of IoT will
definitely know how to handle, evaluate and master data and research techniques.
– Click Through Rate (CTR) 100%: IoT makes advertisements and content more
intelligent, relevant to increasing conversions and saving company time and cost.
Marketers would have to adjust the content approach in line with the actual context and
position especially with regard to content marketing. Marketers should reliably identify
goods or services for each client in order to improve links with brands and customers
based on studies on customer data and behavior. The IoT movement also anticipates
the growth in data streams from areas where users link to equipment. Marketers can
build tailored content here to meet consumers quickly and improve conversion rates.
– Smarter Customer Relationship Management (CRM): The integration of IoT and
customer management tools will bring a lot of benefits to businesses such as: accurate
collection and efficient classification of consumer data, thereby providing the company
with utility information to the customer base. Moreover, through the use of IoT
technology you can quickly identify lead segments for your products or services, so it's

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easier to provide essential information, solve customer problems and drive business
revenue.
Once you have the information of customers who have purchased products and how they
are consumed, businesses can include these data in the CRM database. These data sources
help businesses optimize future products, organize events to promote, gratitude and build
trust in consumers or implement marketing strategies for products. In addition, the
applications connected on the IoT platform also help consumers distinguish genuine
products, among the countless fake products rampant in the market.
– Social Media Predictions: According to marketers, when investing 6 hours a week on
social media marketing, the brand's web traffic will increase significantly (74%).
Currently, IoT is increasingly being developed and perfected to combine with social
media, to enable devices to post and regularly share automatically, build new online
communities and focus on improving specific device users. As a result, marketer can easily
see the change of these social communities and quickly redirect new target customers.
3. How Amazon use IoT: Alexa in Marketing
As one of the biggest players in the retail industry, Amazon obviously always wants to be
at the fore in providing the best services to its customers and IoT is one of the breakthrough
technologies that help bring a great experience for consumers when shopping that Amazon
can hardly ignore. In fact, the organization wanted to use IoT to back up its shop, where
there would be no cashiers or cash counters, following successful launch of an on-line
shop. The shop is designed like a typical supermarket in a food counter. Users scan the
QR code associated with the Amazons account and bank account of each user when
accessing Amazon Go. The sensors will automatically add the product to your cart when
you pick a product. It would be removed if you hold it out. Thus, as you leave the shop,
your Amazon wallet will automatically deduct the money and you just have to get out of
the store. This device was created to make the customer shopping experience as hassle-
free as possible. In fact, Uber and Airbnb have also created success for customers to access

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this practice. Amazon always tries to provide customers with attractive suggestions
based on simplicity and convenience, so Amazon Go was born. It only takes 17 seconds
for a customer to come in, grab a croissant and walk straight out the door literally. This
is the future of retail! (Bastone and Canales, 2020)
Besides the benefits that Amazon Go brings to consumers, it also brings a few
disadvantages such as too much personalization. Putting ourselves as consumers, we
must be accustomed to being tracked online consumer behavior. However, with
Amazon Go customers don't simply give up their privacy while shopping online, but
we're also under scrutiny from the smallest acts like the things you put back while
walking around the store. These data will not simply be deleted when you leave the
store but are used for commercial activities such as providing or recommending product
advertisements, offers of brands, etc. This is considered an excessive infringement on
consumer privacy. Previously, customer tracking had been attempted by retailers, but
the results showed that it was not entirely acceptable. Due to customer uproar, US
retailer Nordstrom was forced to stop using WIFI while monitoring consumer behavior.
Amazon Go is indeed smart when it comes to setting goals in a non-intrusive way, but
whether consumers are willing to accept over-tracking.
In brief, Amazon Go is uncertainly considered a success in retail and marketing.
However, it is undoubtedly one of the most exciting disruptive technologies in the retail
industry and also a profound lesson for marketers on the consumer experience.
II. Artificial Intelligence (AI)
1. Definition
The term of Artificial Intelligence (AI) was first mentioned by a US computer scientist
- John McCarthy. He came up with his concepts and works in 1956 at The Dartmouth
conference. AI is understood to be a terminology problem. The term includes
commands about automation, the reality of robots. Although there are many definitions
of AI, the concept could be understood “a portfolio of technologies” as defined by

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Guruduth Banavar, overseer of IBM’s research on AI (Kaput, 2016). Or as Demis
Hassabis - founder, and CEO of Google’s AI company DeepMind - states AI is
basically the “science of making machines smart” (Ahmed, 2015). Today, this machine
learning technology has performed functions such as speech recognition, image
recognition, behavior model mapping, etc.
As AI developments rise, the use of AI for their items & services has increased by
companies. Typically, AI is merely a part such as machine learning. AI wants a forum
for the design and training of machine learning algorithms for dedicated hardware and
software. No programming language is synchronized with AI, but a few such as python
and C languages are used in this field. Popular AI cloud services include: Amazon AI,
Microsoft Cognitive Services, Google AI.
AI's current capacity operates in a narrow field, and tasks are achieved through the
development of many different types of technologies. Here are the three most typical
categories:
– Deep learning (DL) is a more advanced technology than ML because it is built on
algorithms that are not manually managed, some typical example of DL are CPU power
and cloud computing, As stated by Alpaydin (2016), DL allows the immediate
decipherment of and the result of a new piece of knowledge by leveraging Big Data and
processing resources.
– Machine Learning (ML): This is science to get a computer that can act without
programming. Deep learning is a sub-set of machine learning that, in very simple terms,
can be considered automation of predictive analyses. There are three common types of
ML:
+ Supervised Learning: Data sets are labeled so that patterns can be detected and used
to label new data set. According to Andrew Ng in his 2017 Stanford MSx Future Forum