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report:mkt [2026/05/18 13:02] – [4.4. Market Analysis] team5report:mkt [2026/06/14 15:40] (current) – team5
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-This chapter outlines the formulation of the business idea and the strategic marketing approach developed to bring Connect to the market.+This chapter outlines the formulation of the business idea and the strategic marketing approach developed to bring CONNECT and share to the market.
  
 It covers: It covers:
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 - Strategy: The strategic roadmap detailing the segmentation and targeting of Young Urban Commuters, and how the project is positioned against passive digital consumption. - Strategy: The strategic roadmap detailing the segmentation and targeting of Young Urban Commuters, and how the project is positioned against passive digital consumption.
  
-- Marketing-Mix & Brand: The application of the 4 Cs framework (Customer value, Cost, Convenience, Communication) to center the user perspective, and the definition of Connect's core values and brand personality.+- Marketing-Mix & Brand: The application of the 4 Cs framework (Customer value, Cost, Convenience, Communication) to center the user perspective, and the definition of CONNECT and share's core values and brand personality.
  
 - Marketing Programmes: The planned marketing initiatives, budget allocation, and control mechanisms required to execute the strategy. - Marketing Programmes: The planned marketing initiatives, budget allocation, and control mechanisms required to execute the strategy.
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-The traditional aim of marketing is to identify and meet the needs of consumers in a way that creates value and builds long-term relationships. For the CONNECT project, however, we specifically apply the principles of social marketing. Social marketing uses marketing knowledge and techniques to achieve social goals, with the benefits primarily accruing to the target group or society as a whole, rather than solely to the seller.+The traditional aim of marketing is to identify and meet the needs of consumers in a way that creates value and builds long-term relationships. For the CONNECT and share project, however, we specifically apply the principles of social marketing. Social marketing uses marketing knowledge and techniques to achieve social goals, with the benefits primarily accruing to the target group or society as a whole, rather than solely to the seller.
  
-CONNECT transforms the monotonous daily commute on public transport into an interactive experience that breaks through the modern-day ‘digital bubble’. Using sensors and LED lighting, we turn a routine journey into a multi-sensory experience that reconnects people with the real world. +CONNECT and share transforms the monotonous daily commute on public transport into an interactive experience that breaks through the modern-day ‘digital bubble’. Using sensors and LED lighting, we turn a routine journey into a multi-sensory experience that reconnects people with the real world. 
-For the CONNECT project, we apply the principles of social marketing, which focuses on influencing voluntary behavior to improve societal welfare rather than just building awareness (Smith, 2006).+For the CONNECT and share project, we apply the principles of social marketing, which focuses on influencing voluntary behavior to improve societal welfare rather than just building awareness [(Smith2006)].
  
  
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 - The Problem: Shared transport has nowadays become a space of digital isolation and social disconnection. Passengers avoid eye contact, and excessive screen use contributes to stress, passivity and mental fatigue. - The Problem: Shared transport has nowadays become a space of digital isolation and social disconnection. Passengers avoid eye contact, and excessive screen use contributes to stress, passivity and mental fatigue.
  
-- The Solution: CONNECT breaks through this isolation in an accessible way. As soon as a passenger holds onto a handrail in the underground (an everyday and necessary action), a personal light colour travels to the ceiling, blending with the colours of other passengers. To continue this shared experience outside the metro, a QR code at the exit allows passengers to exchange anonymous voice messages, stories or life lessons. An intentional delay, whereby passengers can only listen to the messages after their journey, ensures that they remain in the moment and away from their screens during the journey.+- The Solution: CONNECT and share breaks through this isolation in an accessible way. As soon as a passenger holds onto a handrail in the metro (an everyday and necessary action), a personal light colour travels to the ceiling, blending with the colours of other passengers. To continue this shared experience outside the metro, a QR code at the exit allows passengers to exchange anonymous messages, about life lessons. An intentional delay, whereby passengers can read the messages after their journey, ensures that they remain in the moment and away from their screens during the journey.
  
  
 == 4.2.2 Value Creation == == 4.2.2 Value Creation ==
  
-A fundamental principle in marketing is that customers do not buy products, but benefits. CONNECT focuses strongly on the emotional dimension of brand value and creates profound emotional benefits for the user. We maximise Perceived Value by offering a moment of calm and human connection in what is typically a stressful environment. Our value proposition rests on three pillars:+A fundamental principle in marketing is that customers do not buy products, but benefits [(Kotler2016)]. CONNECT and share focuses strongly on the emotional dimension of brand value and creates profound emotional benefits for the user. We maximise Perceived Value by offering a moment of calm and human connection in what is typically a stressful environment. Our value proposition rests on three pillars:
 - Sensory Grounding & Visualisation: Solitary scrolling is replaced by a real-time visual representation of human connection, where the user’s touch translates into streams of light. - Sensory Grounding & Visualisation: Solitary scrolling is replaced by a real-time visual representation of human connection, where the user’s touch translates into streams of light.
  
 - Zero-Friction Socialising: Strangers are connected through a simple action without the need for screens or phones during the journey. - Zero-Friction Socialising: Strangers are connected through a simple action without the need for screens or phones during the journey.
  
-- Active Co-creation & Emotional Exchange: Passengers transform from passive travellers into active co-creators of their physical environment (lights) and digital community (voice messages).+- Active Co-creation & Emotional Exchange: Passengers transform from passive travellers into active co-creators of their physical environment (lights) and digital community (messages).
  
  
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 To access the Big Idea Canvas please follow this {{ :report:canvas_the_big_idea_1.pdf | link}}. To access the Big Idea Canvas please follow this {{ :report:canvas_the_big_idea_1.pdf | link}}.
  
-A Business Model Canvas has been drawn up to define the value of CONNECT. This strategic tool provides a clear visualisation of how the project generates, delivers and captures value from two main perspectives: +A Business Model Canvas has been drawn up to define the value of CONNECT and share. This strategic tool provides a clear visualisation of how the project generates, delivers and captures value from two main perspectives: 
  
 - Passenger experience and social impact - Passenger experience and social impact
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-CONNECT’s business model operates within a hybrid Business-to-Government (B2G) and Business-to-Business (B2B) structure. To understand how we exchange value, we apply the “6-V Framework” (Value Exchange). This model identifies the key entities in the target market: customers, the company, collaborators and competitors. Within CONNECT, this is closely linked to Relationship Marketing: our aim is to build meaningful, long-term relationships with both our users and our partners in the wider marketing environment.+CONNECT and share’s business model operates within a hybrid Business-to-Government (B2G) and Business-to-Business (B2B) structure. To understand how we exchange value, we apply the “6-V Framework” (Value Exchange). This model identifies the key entities in the target market: customers, the company, collaborators and competitors. Within CONNECT and share, this is closely linked to Relationship Marketing: our aim is to build meaningful, long-term relationships with both our users and our partners in the wider marketing environment.
  
  
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 == 4.3.2 Primary Exchange Relationship & Object Pillar == == 4.3.2 Primary Exchange Relationship & Object Pillar ==
  
-To understand CONNECT as a brand, we use Paulo Lencastre's Brand Triangle [(Lencastre2009)], which looks at a brand from three angles: identity, object, and response.\\+To understand CONNECT and share as a brand, we use Paulo Lencastre's Brand Triangle [(Lencastre2009)], which looks at a brand from three angles: identity, object, and response.\\
  
   - The Identity Pillar covers what the brand looks and feels like — the name, the flowing light patterns on the ceiling, and the minimalist QR interface.   - The Identity Pillar covers what the brand looks and feels like — the name, the flowing light patterns on the ceiling, and the minimalist QR interface.
   - The Object Pillar is the actual exchange offered: an interactive installation that improves the passenger experience, in return for infrastructure access and financial support from partners like Metro do Porto.   - The Object Pillar is the actual exchange offered: an interactive installation that improves the passenger experience, in return for infrastructure access and financial support from partners like Metro do Porto.
-  - The Response Pillar is about perception: the emotional associations we want to build with passengers and partners. We want Connect to feel warm and human.\\+  - The Response Pillar is about perception: the emotional associations we want to build with passengers and partners. We want CONNECT and share to feel warm and human.\\
 Each of these pillars is developed further in Section 4.6.5. Each of these pillars is developed further in Section 4.6.5.
  
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 <WRAP centeralign> <WRAP centeralign>
 <figure pestel> <figure pestel>
-{{ :report:grafico_analisis_pest_pestel_imprimible_multicolor_2_.png?450 |PESTEL Analysis for Connect}} +{{ :report:grafico_analisis_pest_pestel_imprimible_multicolor_2_.png?450 |PESTEL Analysis for CONNECT and share}} 
-<caption>PESTEL Analysis for Connect </caption>+<caption>PESTEL Analysis for CONNECT and share </caption>
 </figure> </figure>
 </WRAP> </WRAP>
  
  
-Table {{ref>tab:pestel}} offers a detailed breakdown of how each specific factor directly relates to the development and strategic goals of Connect. +Table {{ref>tab:pestel}} offers a detailed breakdown of how each specific factor directly relates to the development and strategic goals of CONNECT and share. 
  
 <table tab:pestel> <table tab:pestel>
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 </WRAP>| </WRAP>|
 |**L - Legal**|<WRAP> |**L - Legal**|<WRAP>
-  * Data Protection (GDPR): Guarantee of ethical and anonymous management of voice messages recorded through the QR code system.+  * Data Protection (GDPR): Guarantee of ethical and anonymous management of messages written through the QR code system.
   * Safety Regulations: Compliance with strict railway safety standards, including the use of fire-resistant materials for all onboard installations.   * Safety Regulations: Compliance with strict railway safety standards, including the use of fire-resistant materials for all onboard installations.
   * Accessibility Standards: Ensuring the installation is inclusive and does not obstruct the passage of passengers with reduced mobility.   * Accessibility Standards: Ensuring the installation is inclusive and does not obstruct the passage of passengers with reduced mobility.
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 - Very High - Very High
  
-- The customer is defined within a Business-to-Government (B2G) structure, or what the theory refers to as ‘Government markets’. Our primary customer is the infrastructure operator: Metro do Porto. As they are the sole entity with absolute control over the public space, they possess enormous bargaining power. CONNECT must align perfectly with their Corporate Social Responsibility (CSR) objectives to be successful.+- The customer is defined within a Business-to-Government (B2G) structure, or what the theory refers to as ‘Government markets’. Our primary customer is the infrastructure operator: Metro do Porto. As they are the sole entity with absolute control over the public space, they possess enormous bargaining power. CONNECT and share must align perfectly with their Corporate Social Responsibility (CSR) objectives to be successful.
  
  
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 - High   - High  
  
-- The biggest “competitor” and also the most disruptive force for CONNECT is not another media company, but the traveller’s personal smartphone. The desire for digital isolation is a direct substitute for our physical interaction. Our mitigation strategy is not to fight the phone, but to use it as an ally in “Phase 2” via the QR code, provided there is an intentional delay.+- The biggest “competitor” and also the most disruptive force for CONNECT and share is not another media company, but the traveller’s personal smartphone. The desire for digital isolation is a direct substitute for our physical interaction. Our mitigation strategy is not to fight the phone, but to use it as an ally in “Phase 2” via the QR code, provided there is an intentional delay.
  
  
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 - Low / Medium  - Low / Medium 
  
-- The barriers to entry are significant. Strict technical and safety certifications (fire safety, electƒrical inspections) are required to install hardware in railway rolling stock. Once CONNECT has been integrated via a public concession, the infrastructure forms a solid barrier to new competitors.+- The barriers to entry are significant. Strict technical and safety certifications (fire safety, electƒrical inspections) are required to install hardware in railway rolling stock. Once CONNECT and share has been integrated via a public concession, the infrastructure forms a solid barrier to new competitors.
  
  
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 - Low / Medium  - Low / Medium 
  
-- Suppliers are the link that provides us with the necessary resources (sensors, LEDs). However, the components for CONNECT are open-market technologies offered by many manufacturers. Our dependence is low; the real value lies in our software integration and ‘experience design’, not in the exclusivity of the hardware.+- Suppliers are the link that provides us with the necessary resources (sensors, LEDs). However, the components for CONNECT and share are open-market technologies offered by many manufacturers. Our dependence is low; the real value lies in our software integration and ‘experience design’, not in the exclusivity of the hardware.
  
  
-Connect's success in this microenvironment depends on managing the high dependence on the institutional client (Metro) and offering an experience attractive enough to overcome the inertia of isolation generated by mobile devices. +CONNECT and share's success in this microenvironment depends on managing the high dependence on the institutional client (Metro) and offering an experience attractive enough to overcome the inertia of isolation generated by mobile devices. 
  
  
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 ==== 4.5. SWOT Analysis ==== ==== 4.5. SWOT Analysis ====
  
-According to the Marketing Strategy Planning Process, the Strengths, Weaknesses, Opportunities, Threats (SWOT) analysis is the strategic intersection where our internal business environment (Company) and the external market environment (Customers & Competitors) converge. This model, presented in Figure {{ref>fig_label}}, helps us to balance the internal Strengths and Weaknesses of the CONNECT concept with the external Opportunities and Threats in the market. This analysis forms the basis for our differentiation and positioning strategy.+According to the Marketing Strategy Planning Process, the Strengths, Weaknesses, Opportunities, Threats (SWOT) analysis is the strategic intersection where our internal business environment (Company) and the external market environment (Customers & Competitors) converge [(Weihrich1982)]  [(Helms2010)]. This model, presented in Figure {{ref>fig_label}}, helps us to balance the internal Strengths and Weaknesses of the CONNECT and share concept with the external Opportunities and Threats in the market. This analysis forms the basis for our differentiation and positioning strategy.
  
 <WRAP centeralign> <WRAP centeralign>
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 == 4.6.4. Marketing-Mix == == 4.6.4. Marketing-Mix ==
  
-To implement our strategy, we shift from the traditional seller-focused 4Ps to the 4Cs framework to better align with a modern, customer-centric marketing approach (Goi, 2009). Our marketing-mix is explained in Figure {{ref>fig:marketingdiagram}}.+To implement our strategy, we shift from the traditional seller-focused 4Ps to the 4Cs framework to better align with a modern, customer-centric marketing approach [(Goi2009)]. Our marketing-mix is explained in Figure {{ref>fig:marketingdiagram}}.
  
 <WRAP centeralign> <WRAP centeralign>
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 == 4.7.1 Programmes (Action Plan) == == 4.7.1 Programmes (Action Plan) ==
  
-Our marketing programme for the launch of CONNECT is divided into three concrete action pillars during a three-month pilot phase:+Our marketing programme for the launch of CONNECT and share is divided into three concrete action pillars during a three-month pilot phase:
  
 - Physical Installation (Customer Value & Convenience): In collaboration with engineers from ISEP and Metro do Porto, we are equipping one specific, heavily used metro line (the pilot line) with our sensor-equipped handrails and LED ceilings. This requires no extra effort from passengers, as we are integrating the technology into their existing routine. - Physical Installation (Customer Value & Convenience): In collaboration with engineers from ISEP and Metro do Porto, we are equipping one specific, heavily used metro line (the pilot line) with our sensor-equipped handrails and LED ceilings. This requires no extra effort from passengers, as we are integrating the technology into their existing routine.
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 - Guerrilla Marketing & Station Promotion (Communication): We avoid traditional, loud advertising. Instead, we place minimalist, intriguing posters, flyers and floor stickers in the metro stations along the pilot line. This arouses curiosity just before passengers board the metro. - Guerrilla Marketing & Station Promotion (Communication): We avoid traditional, loud advertising. Instead, we place minimalist, intriguing posters, flyers and floor stickers in the metro stations along the pilot line. This arouses curiosity just before passengers board the metro.
  
-- Digital Launch & Storytelling (Phase 2): Activating the QR codes near the metro doors. To encourage adoption, we launch an organic social media campaign (focused on Instagram and TikTok). Here, we will share the most beautiful, most inspiring ‘life lessons’ (voice messages) left via the QR code anonymously on a weekly basis. This creates a viral, emotional effect (Emotional Branding) and motivates others to share their stories too.+- Digital Launch & Storytelling (Phase 2): Activating the QR codes near the metro doors. To encourage adoption, we launch an organic social media campaign (focused on Instagram and TikTok). Here, we will share the most beautiful, most inspiring ‘life lessons’ (messages) left via the QR code anonymously on a weekly basis. This creates a viral, emotional effect (Emotional Branding) and motivates others to share their stories too.
  
  
 == 4.7.2 Budget == == 4.7.2 Budget ==
  
-As CONNECT is a social marketing initiative operating within a Business-to-Government (B2G) model, the budget is not funded by the end user, but through public funds, ISEP, grants and Metro do Porto. The estimated costs are based on the list of materials in deliverables. The marketing and operational budget for the pilot phase is allocated as follows:+As CONNECT and share is a social marketing initiative operating within a Business-to-Government (B2G) model, the budget is not funded by the end user, but through public funds, ISEP, grants and Metro do Porto. The estimated costs are based on the list of materials in deliverables. The marketing and operational budget for the pilot phase is allocated as follows:
  
 - R&D and Hardware (Largest cost item): The hardware for a single carriage deployment totals approximately €730 (as detailed in the initial cost analysis, Section 3.3.1). This covers all core components including microcontrollers, enclosures, pressure sensors, LED strips, and supporting electronics. - R&D and Hardware (Largest cost item): The hardware for a single carriage deployment totals approximately €730 (as detailed in the initial cost analysis, Section 3.3.1). This covers all core components including microcontrollers, enclosures, pressure sensors, LED strips, and supporting electronics.
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 <figure PDCA> <figure PDCA>
 {{ :report:grafico_ciclo_pdca_azul.png?600 |}} {{ :report:grafico_ciclo_pdca_azul.png?600 |}}
-<caption>PDCA Cycle applied to Connect’s marketing efforts</caption>+<caption>PDCA Cycle applied to CONNECT and share’s marketing efforts</caption>
 </figure> </figure>
 </WRAP> </WRAP>
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