Marketing

    The Power of Branding.

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    In Spike Jonze new film “Her” in which a man falls in love with his operating system, there is a wonderful example of the power and influence of branding.

    Having seen the trailer, I immediately put the movie into the “goofy, not going to see it” category, yet there was something familiar and alluring about the voice of the operating system.  It wasn’t until the reviews started rolling in that I found out it was Scarlett Johansson’s voice. Hmmm.

    Manohla Dargis wrote in The New York Times today “It’s crucial that each time you hear Ms. Johansson in Her, you can’t help but flash on her lush physicality, which helps fill in Samantha (OS) and give this ghostlike presence a vibrant, palpable form.” It is this muscle memory associated with Scarlett Johansson’s voice – this Pablovian response — that smart brands attempt to build.  The frosty Coke bottle image on a hot day. The sweet pillowy taste and texture of a Krispie Kreme donut. The olfactory-palooza of a Peter Luger porterhouse.  

    When you have a brand plan, complete with promise and support planks, the casting becomes easy. Rich. And powerful. Peace.  

     

    Eyeball, ads and privacy.

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    I wrote in a presentation yesterday that much in the way of web innovation today is about eyeballs and ads. Ads being the way start-ups are monetized after funding.  For the past 20 years technologists have spent lots of time, effort and money helping consumers bypass advertising. It’s kind of ironic, no?  Well, in one man’s opinion, privacy, or the lack thereof, will be the new advertising. The new digital coin of the realm.

    Today’s headlines are about federal judges admonishing the NSA for “systematically keeping records of all Americans’ phone calls” which “most likely violates the Constitution.”  Yah think?  So clearly, Mr. Snowden, people are starting to pay attention,

    As this grumble turns to a roar, data collecting companies and big data will have a problem. And data collection will become opt-in. For the ability to have web apps and web features for free, many will be willing to share their data. Data is scientific and when used properly helps predict behavior and purchase. Data is worth a great, great deal. Databases know the sex of babies, often before grandparents.

    Yesterday I mentioned TV ad spending will slow due to social media. Today I suggest digital ad spending will wane thanks to the opt-in sale of personal data. Anytime smell a trend here?

    Peace!   

    Beyonce meet Kanter Media. Kanter meet Beyonce.

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    There is an old marketing textbook maxim that states as a brands gets older and more mature, it requires less money to promote.  This promotion argument is based on awareness levels. A consumer aware of a product, needs only a fast reminded and product value pitch to engender a sale. So if a national product introduction through TV costs $7M, then a reminder flight of advertising 2 months later may require only $4 million and deliver the same sales results.  

    Beyonce’s launch of her new album, using the web, social media and her millions of followers blew the textbooks out of the water. She did not spend one penny to promote the album and 365,000 units (full albums, not songs) sold in a day.  Her legions of fans did the awareness and value work.  Pearl Jam is the same way; they needn’t take out ads. Pent up demand, loyalty and social remove the need for an investment in promotion for big, big brands in certain categories.   

    Not everyone is Beyonce or Pearl Jam. And the wedge between the marketing Haves and Have Nots is a wide one. But the economic impact of social media on overall advertising spending will be massive.  Total advertising spent in the US in 2012 was $140 billion (Kantar Media), and smart marketers with followings like Beyonce are going to pocket a good portion of that money…by being more social and not spending it. As my Norwegian aunt would say “tink about it.” Peace.  

    UPDATE:  Kantar disclosed 3Q TV spend was down 6%. Read here: http://www.adweek.com/news/television/broadcast-spend-drops-18-percent-418-billion-q3-154541

     

        

    Beyond the Wireframe.

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    At a recent Dachis Group conference in NYC, Altimeter Group’s Brian Solis said something that really resonated with me.  I paraphrase, “We’ve been making websites for about 25 years now, wouldn’t you think we could make a good one?”

    If great marketing is supposed to make you feel something then do something, Mr. Solis’s rant is dead on.  If you watch Grey’s Anatomy, it’s hard not to well up with emotion. When was the last time you had a single feeling while on a website? About. News. Services. Contact. Websites are little more than navigation tools offering a way for people to find information organized by the most basic of interests.  

    Brands and web development companies often don’t get that the home page is not only a positioning tool, it’s a selling tool, and loyalty tool. 90% of websites are navigation tools. Ladies lingerie, third floor. 

    When you drop someone at a traffic hub with 6 streets leading out, they make the choice. When you drop them at a location with only one street, you lead the way. You dictate the narrative. You can make them feel something. The only reason user experience is such a growing business today is because websites provide a cacophony of choices, with no brand strategy end in sight.

    Cookie me this.

    The first time on a website, or on a revised site, a visitor’s pathway should be directed by the brand.  Return visitors should be allowed to navigate their own way. This said, home pages should never be allowed to sit unchanged – to get old. Feel something then do something. This is the way beyond the wireframe. Peace.

    Social Media Crackpotism #1.

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    I visited  the agency website of a new Twitter follower yesterday which describes itself with the catchall, “social, digital, advertising” and probably one other descriptor. The site had a video front and center which talked about new and social media.  The video offered an apocryphal statement I had to tweet: “Storytelling is the foundation of marketing?”  

    storytelling

    The What’s the Idea? blog used to be titled “Marketing Musings” until too many people started using musings. Now it is called “Marketing Mythos.”  My goal is to highlight myths and set them straight, among other things. There is an almost a mythological set of beliefs out there being shared daily when it comes to new marketing channels.  Bordering on crackpotism. Ergo my idea to occasionally share some of the silly things I come across. And because these crackpotisms will be shared via the web, I’ll number them – a big online attention-getter.   

    Why is storytelling not the foundation of marketing?  Because product is.  Other foundational cornerstones are “price,” “channel,” and “promotion.”   Feel me?  Storytelling may be the foundation of attention and memorability, even oral history — in fact, it’s a pop marketing driver of advertising nowadays — but it is not a fundie of marketing.  Tool, yes. Foundation no. 

    Peace! 

     

    Don’t Market To The Middle.

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    Adaptive learning is an educational practice that tailors lessons to the learning level of each pupil. It is the opposite of the all too common pedagogical practice of “teach to the middle of the class ” where lessons are created for average, middle of the class students, not the highest or lowest performing. (Talk about no child left behind?) Adaptive learning is really individualized learning. As a term it has been taken over by technologists who employ computer software to identify a student’s learning level, via a battery of questions, and then create a learning scheme that best fits each student. It’s good pedagogy.  

    Responsive design is the new “big thing” in web development. It creates a valuable, though often singular, web experience for users regardless of the device they’re using. And we know there are lots of devices and operating systems out there. There’s big money in responsive design today.

    When we apply the tenets of adaptive learning and responsive design to digital marketing we recognize there is a long way to go before we’re not marketing to the middle of the class. Data people and ad serving jockeys will tell you they can serve up a special pieces of creative based upon user behavior or website visits, but this does not tell you where the customer is along the continuum of a sale (awareness, interest, desire, action and loyalty).  In offline and online we are still profoundly marketing to the middle of the class.

    Brand love and brand loyalty will ebb through boredom. Through repetition. Marketers who treat their most loyal customers like babies are forgiven…up to a point. (America knows that “15 minutes can save you 15% or more on your car insurance.”)  So what’s the 21st Century Challenge for marketers?  Adapt to your target. Be responsive to time and place.  And stimulate them with brand positive messages and deeds. But most importantly, do it in support of a brand strategy — an organizing principle that marries what you do well with what customers want.

    Peace!    

     

    Christmas, there’s an app for that.

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    Okay, there’s not an app for Christmas but there will be one for Christmas shopping.  You know how hard-to-shop-for people “Oh, I have everything I need”? It’s often true.  So how do you find a nice gift that they really want? That they like and need?  Big data.

    I was watching Robert Scoble interview some big data dude yesterday on the web and the interviewee happened to mention that soon there will be 100 times more data available about consumers than ever before.  Once available, you will know I get Good and Plenty in my stocking, a rock and roll tee shirt from my kids, and shirts from my mom (16.5 neck).

    It is enjoyable to find the perfect gift for the right person, but it is hard. I smell an app. The app won’t average a person’s demographics it will actually know consumption behaviors. Wear out and maybe even refill speeds.  “Dear Mr. President, please don’t collect private information on the populace – unless it’s to buy better gifts.”

    Peace on earth!

    Health, Hain and Hereafter.

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    There’s a company here on Long Island named Hain Celestial.  Most know it for its line of teas. Today it is a consumer packaged goods company with wonderful focus. The result of wonderful leadership. The company sells many products in the natural and organic spaces. Space that are outperforming traditional food and drink by a full 10%.  Traditional (read not so good for you) food and beverages are growing 1%, while better for you are growing at 11%.

    A spin-off of the craft economy is our attention to eating better.  Eating at home more, so as to better control foods that go into our bodies.  Less sodium. Less saturated fats. Less gov’t-subsidized high fructose corn syrup. Less genetically modified foods. It’s a movement, nee a spring.  A healthy food spring. (But God, I do love bacon.)

    Hain Celestial is winning and spending and focusing on what a growing portion of the population wants. Better for you foods. As Irwin Simon, CEO of Hain said recently “Eating healthy is not a fad.”  

    From a targeting point of view, those buying these products tend to be a little up market; able to afford the higher price point.  And this doesn’t bode well for lower income communities. Nutrition will and should be a building block of the Affordable Care Act. And of education reform.  And what grandmas pass down through the generations. Poor nutrition fuels the high cost of care in America.  

    Keep an eye on Hain Celestial products.  This company will be the healthy P&G in a few years. Bank it. Peace.  

     

    Robots and drones and bears, oh my!

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    Not to be outdone by Amazon’s drone delivery announcement on 60 Minutes Sunday Night, Google hit the front page of The New York Times today with a story trotting out Android czar Andy Rubin as head of its new robot division.  Not to be confused with Google’s self-driving cars business (Just what we need, more cars.)

    And it’s not only a future thing, robots are arriving in schools daily, as my friends at Teq will tell you.  The NOA robot is setting kids a-giggle across a number of Long Island schools.  And robots are even cleaning windows now. Take that! window washers union of NY.  Drones and robots deliver on Larry Page’s vision, “Technology should be deployed wherever possible to free humans from drudgery and repetitive tasks.” Como se breathing?

    Have you seen a movie trailer lately?  Or prime time TV show? They are 50% fantasy. Dude, I love technology. I also love the future…and that we’re becoming smart enough to know when we’re effing up the planet and gene pool. I love all the “springs” that are blooming…but let’s remember to take time to watch the bears (see headline); those pesky animals rolling around in our urban sprawl dumpsters.  Nature is still the best part of humanity. The craft economy or roots economy is part of that and is picking up speed. It will not outpace the robots and drones, but it’s growing.

    Good marketers and brand planners see ahead of what’s trending. Peace.

    Revenue is Kinger.

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    HP’s earnings were higher than expected this quarter, but revenue was down. Contemporaneously, Silicon Valley is celebrating the smartest kids in business  (I don’t know their names) owners of Snapchat who just turned down $3B from Facebook — and they have no revenue model.

    For all the expense cutting Meg Whitman has done at HP — for all the business blocking and tackling — it should be known that revenue in 5 of 6 business segment is down. Not good.

    In this age of “content is king,” I’d like to go off piste and say “revenue is king.”  Business process reengineering, the cloud, social business design and the maker economy are the things of Harvard Business Review essays and B+ papers. But revenue is what business is built upon. Let me say it again, revenue is the thing upon which businesses are built. Top line dollars.

    Follow the revenue in the 21st century. When someone opens their wallet, marketing has happened. When someone opens their wallet learning can take place. Metrics can take place.

    Ms. Whitman needs to be chasing revenue growth. Period. Let her direct reports work the expense side. Peace.