New year…new directions!

Posted on January 27, 2012 by Manager
English: Infographic on how Social Media are b...

So many more media affecting retail today

It’s been a long time since we’ve posted, so a belated (but just right for the Chinese) HAPPY NEW YEAR, and the best for 2012!

Some of our loyal readers have asked why we haven’t posted in a few months.  We’re pleased some of you have “missed” us, but we believe we have good reasons for being MIA lately, mostly having to do with more work.  (And for that we’re truly grateful!)

But the truth is we’ve also been thinking seriously about new directions for this blog.  After all, good marketers re-invent themselves every few years…

After going and growing for almost three years(!) where we saw our readership triple in 2011, frankly, we felt we had achieved our initial goals for this blog.

 Also, as you can see in our “topic cloud”, on right, we’ve covered a lot of ground and touched on so many issues we risked becoming repetitive.  Repetitive and boring are death knolls for bloggers…

There is also the issue of competition.  When we started this blog there were only a few sites dedicated to marketing professionals (or marketeers, as industry groupies are called).

Today, not only has business blogging exploded  but everyone, it seems, is a pundit.  There is more advice floating out there than anyone can or even wants to absorb.

Then, there are popular social networking sites such as LinkedIn that provide a forum for members to automatically post their own blogs (we’re guilty) thus effectively doubling the number of posts in the internet…Too much noise, we think.

Finally, there is the global business context we operate in.  We’re doing more internationally than even one year ago.  New trends are blasted worldwide within seconds. 

With the help of our network of colleagues and reps in North, Central and South America, we hope to bring you the latest in trends in these cultures (and others) that might affect us here in the U.S. the minute they emerge.

Today, clients come from anywhere; we work any place, any time.  (Folks don’t notice nor care any more when our email is sent at 2 a.m.) In short, never has our “Think global; act local” e-mail signature line been more relevant.

So, for this year, starting next month, we’re going to try some new things:

1.  We’re cutting the posting frequency:  once a week is too often, as many of our readers told us that they read past posts when they read the current one.  Less, we hope, will mean more.

2. While we’ll continue addressing the marketing “angle” of  topics recently in the news (our readers say they like that), we’re also going to be more focused on the retail arena.   After all, that’s the main concern of our clients’ and colleagues.

This is also an area that is constantly in flux today due to the tech innovations, social media growth (see illustration above) plus the changing consumer and economy.  The latter is, of course, a concern to all for 2012:  how is the global recessive economy affecting shopping habits?

3.  Were’ also going to focus on specific areas of interest to marketers planning their programs.  Here are some we hope to cover:

  • Key industry trends as reported by respected retail journals and marketing experts (other than us!)
  • Review of technology and systems that are changing the face of retail
  • Insights into consumers:  what is the new “face” of the shopper?  What makes them buy?
  • Changes at the store or service level:  how they operate successfully in this environment.

We hope you will like these new directions, and continue to read and share your views with us.  Please also let us know what other topics you’d like to see…and a warm welcome back!

Filed under: global marketing, marketing strategy, Shopping behavior | Tagged: , , , , , | 1 Comment »

The Retail Games

Posted on November 30, 2011 by Manager
Black Friday line

Let the Games begin!

For the sake of your health and safety, not to mention sanity,  we trust you came away unscathed from the recent shopping madness this past weekend that concluded with Cyber Monday.

What’s next:  “Techie Tuesday”?, “Wacky Wednesday?”  (Don’t laugh, and remember:  you saw it here first).

You’d hardly know there was a recession going on for the crowds that made this Black Friday allegedly the best on record (final sales figures still to be tallied), sending retail chain stocks soaring 5%+.  The Occupy Wall Street folks who organized to boycott “big chains” during the Holiday didn’t seem to have made a dent.

For marketers this urge to splurge is a rather thrilling, if unsettling, phenom.  After all, it was only a few years ago that the term “Black Friday” even became part of the American lexicon.  An elderly family member still thinks it’s some newfangled  religious holiday…

With stores now open during the sacrosant Thanksgiving Day, retail is now a new ball game:  one where nice guys finish last.

The protests of the pious about spending this time with family makes a good point, but the harsh truth is that retailers would not be opening their doors if there wasn’t demand.  And consumer demand has apparently reached a fever pitch as shoppers with pepper sprays and push strategies win the day.

As marketers, here are some key questions to ask ourselves about this trend:

  • If everyone’s already shopped out by Black Friday, what becomes of other Fridays…or any other day before Christmas?
  • What happens to manufacturers when inventories are already depleted for the Holidays and no new orders come in?
  • What do retailers do when their gross margins are dented by these deep discounts?  Do they dive even deeper?
  • If consumers only crave deep discounts, how will we wean them back into EDLP?

You may recall the halcyon days when many chains employed  Hi/Low pricing strategies, where discounts were something to be savored, special promotions were creative hallmarks, and blowouts only occurred post-Holiday. 

With Everyday Low Pricing the norm and “extreme couponing” the end game, it’s a challenge to make a case for brand-building.  Or is it?

We’ve blogged about the complex human character that hungers to shop.  There are elements at work in our subconscious that take pleasure in these animalistic rituals taking place in the retail jungles.  In short, the Thanksgiving spending spree is just one big game hunt.

Yet, once the thrill of the chase, the stampede of the crowd, and all that glitters disappears and shoppers finally view their prize quietly at home, do they hear the little voice asking:  “What is this garbage you just spent your last dollar on?!”

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Why “999″ sounds fine

Posted on October 28, 2011 by Manager
Occupy Wall Street Chihuahua 2011 Shankbone 3

At least his slogan is snappy!

There they are, maybe millions strong, all across the country, the second  month of sitting on sidewalks:  the Occupy Wall Street movement against big banking. 

Then, last week, comes along Herman Cain, candidate for U.S. president, and throws out three little numbers:  “999″… And, as the saying goes:  the crowd goes wild.

Now, we’ve posted here before that we think politics and blogs make bad bedfellows (unless you’re Arianna Huffington, of course).  We’re not about to reveal our political affiliations and risk losing your following.  That’s just not smart marketing!

Yet, we can’t help but notice some of the foibles out there as these candidates position themselves, jostling for shelf space like so many brands of shampoo.  In fact, they all look like they’re auditioning for hair care product commercials…except for this one, who hardly has hair.

Instead, Cain (and so appropriately Biblical a name!)  has risen above the suds by merely spewing  forth three seemingly magical numbers:  “999″ (It has since been modified to “909″, but it’s the same general idea.)  The exact meaning of these numbers is still subject to debate, but basically they’re a percentage of taxes we’re supposed to pay to make this country good again.

But all that doesn’t matter right now.  We’re here to talk marketing, and this concept couldn’t have come at a better time.

Truth is, those street protesters have been talking but not doing much walking lately.  Their effort has lost its initial shock and awe and now seems to be a sort of general group hug:  sort of like Woodstock but without the pot and sex to make it fun.  Some protesters have even gotten themselves arrested.

Protest movements need to have wow factor to grab the public consciousness.  They need something snappy to remain foremost in the mind so that change can be effected.  If you don’t grab the mind first, the rest of the body won’t follow. 

There has been talk of some folks trying to “brand” the movement.  OK…so remind me, what, exactly, are they branding?  And if so, is their slogan destined to be: “We are the 99 percent”?

Just not quite the zing of  “999″, don’t you agree?  We’ll bet the Occupants are probably sorry they weren’t the ones to come up with that one.  It took a pizza guy to do it.

Cain may not be on the right track or even be the right candidate, but the man knows a thing or two about bites… sound bites, that is.  Maybe it’s something about hawking pizzas for a living, but he sure knows his toppings.

The fact is that the former chairman of Godfather’s Pizza has seemingly delivered what we wanted for dinner:  a solution with good mouth-feel.  In fact, folks seem to like Cain so much that a recent poll revealed he was the #1 candidate they would like to invite home for a meal.

It seems Cain has tapped into the public consciousness with his seemingly simplistic solution.  After all, humans are not very complicated, especially when they’re down.

Economics pundits have decried that Americans are too accustomed to instant gratification to be able to plan far ahead, like the Japanese do (and that didn’t seem to have helped them much anyway…) We want the painkiller and we want it now, even though we know there’s a side effect.   And we can’t think of a bigger migraine than our current economic problems. 

Along with memorable slogans such as:  “Be all that you can be” (U.S. Army),  ”A little dab’ll do ya!” (Brylcreem), “Just do it!” (Nike) and many others, “999″ has that melodic ring and Aspirin-like aspect we like.  (Note that the difference between Aspirin and aspiring is only one letter…)

Cain may not have explained fully the real meaning behind his sound bite, and he may never.   But for the current time, “999″ alone sounds fine.

P.S.  Check out our new iPad app:  fun, different, mag-like design…same great content!

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Doing the Jobs right

Posted on October 19, 2011 by Manager
Steve Jobs shows off iPhone 4 at the 2010 Worl...

 We may be a wee bit late to the wake, but wanted to add our own thoughts on the legendary Steve Jobs.   He and Apple have been featured here a few times, most recently on 6/1, when it became apparent Jobs would not last much longer…

As many attest,  Jobs left a world more savvy and appealing:  a better world, in fact.  His tech achievements will forever be lauded. 

This week, the excitement surrounding the introduction of Apple’s new phone (even his former partner Steve Wozniak (“The Woz”) waited outside a store at dawn to get one) was a bittersweet tribute to the man.

 But we leave all that to the other,  more knowledgeable news sources and pundits…

Because this blog is all about marketing,  it’s appropriate to focus on how well Jobs did his marketing  job in the hope that we, too, can learn to do ours better.  Here goes:

  • FACE THE MUSIC, THEN START DANCIN’.   His products were not 100% successful, 100% of the time, but he was at it 24/7 until something better emerged.  Good marketers do their best, but if there’s a disaster they admit it and move on.  There is no shame in failure:  only in hiding it.
  • ALL ABOUT THE BRAND, ALL THE TIME.  The apple with a bite out of it is instantly recognizable: maybe the most known logo in the world after Coca-Cola.  Its consistent graphic treatment, along with the relative simplicity of all the company’s marketing communications, is a case history on how to showcase a brand.  None of their products or Jobs’ statements about the company ever changed from that track.
  • HE BUILT A MOAT.  It’s one thing to build a brand, but another to lose it because you allowed the enemy into your castle.  Jobs not only knew about brand-building, he knew about moat construction as well.  With more than 300 patents to his name, the man made sure plunderers fell into the water and swam with the crocodiles.
  • ELEGANCE IS IMPORTANT.  Many techies pooh-pooh style (especially the sartorial) but Jobs knew style was substance.  From what he wore to his wares:  slim and distinct designs and, above all, consistency, (per above) were what ultimately made his products coveted around the globe.
  • ALMOST BLEEDING-EDGE.  His strength was in introducing products we didn’t know we wanted until we saw them.  He was always on the vanguard: leading-edge, almost bleeding-edge…but then, he wasn’t.  This ability to understand the consumer’s mindset,  to actually predict what folks want and to come out with it at the precise moment, not too soon or some time later…Well, if that’s not genius, then nothing is.
  • SAVE ON SPOKESPERSONS.  He hawked his own products.  Apparently he believed no one could do it better, and he may prove to be right; only time will tell.  The fact is he believed he could sell the heck out of his stuff, saving the company millions in advertising and/or spokerpersons. (Don’t try this at home, though.  Few CEOs are that effective.)
  • POWER TO THE PEOPLE.  While he may have been a rather tyranical leader (see below), he believed in democracy.  His products took the power away from the big-computer, corporate world and gave it to the people.
  • BE TRUE TO YOUR SCHOOL.  Jobs wasn’t the nicest guy around, but apparently he didn’t care.  The eulogies you hear are not about how thoughtful he was, how fun he was at the water-cooler, or how he tried to eradicate hunger from the planet.  Yet, in many ways, he did save the planet.  He did a job he believed was his to do and he was loyal to his own school of thought.  If that’s not a purpose-driven life, we don’t know what is.

 In summary, you probably wouldn’t be reading this blog — or any other — if it weren’t for Jobs’ genius. 

Goodbye, Tech Guru.  May you rest in peace.

Filed under: global marketing, marketing strategy | Tagged: , , , | 2 Comments »

Why sex sells, and other mysteries

Posted on September 23, 2011 by Manager

Learning WHY, not just what, she buys

We’ve known that sex sells, but we haven’t known exactly how…until now.

On 9/2 we posted about the changing consumer research landscape and how some major brands are diving deeper into the consumer’s minds.  (We were also fortunate to receive a good word on the subject from retail guru and colleague James Tenser.  Click on his Comment, at left)  Now we’ve learned there are some new high-tech equipment out there to further mine that mind.

It’s called neuromarketing, and brands are jumping in hoping to uncover hidden impulses that will make us buy more of their stuff.   Pepsico, Microsoft, Hewlett Packard, Citibank are just a few of the majors now practicing the science.

There are specialized companies that do this, and the most buzzed-about right now seems to be NeuroFocus of Berkeley, CA, owned by syndicating giant AC Nielsen (the original mind tapper).  Headed by an elegant East-Indian named A.K. Pradeep, NeuroFocus is by all reports a hip operation (as befits Berkeley) which recently introduced the Mynd, ”the world’s first portable, wireless, electroencephalogram (EEG) scanner.”

This is a far cry from days long ago (those halcyon Mad Men days, in fact) when AC Nielsen introduced their consumer panels, first by giving shoppers actual diaries in which to jot down purchases, and later by providing portable scanners (ScanTrack).  Today, they no longer need to rely on lying housewives or missed keys but can tap directly into your skull before you even step into a store.

To the relief of technophobic readers, we won’t explain all the details of how the Mynd work…even if we could.   Suffice it to say it records streaming video of how your brain reacts when exposed to certain images and messages  (you do know about streaming, right?)  The contraption looks sorta like a bicycle helmet Princess Leia would wear had there been bikes in that galaxy far, far away.

We hope you’ve seen the film Inception, a fascinating, futuristic saga of what can happen when we tap electronically (and with the aid of some powerful narcotics), into our subconscious and transform our dreams and thus our future.  With the Mynd, can we be that far away?

In today’s come-on,  GroupOn,  knock-you-over-the-head world, it’s ironic that the subtlest impulse is the hot marketing buzzword.  And neuromarketing is all about subtle.

For example, on  2/11 we posted about revamped in-store audio systems that allow store and even aisle customization.   Unlike videos or mobile apps which compel you to do something, audio is just there, digging into your subconscious where all the mysteries lie…

Mynd maps these mysteries to discern specific preferences before you reach for the shelf.   The wrong-color label, the off-putting message, the too-bulky package:  all this and more will be revealed, thus hoping to save manufacturers gazillion$ in introducing new products that ultimately fail (80% of them do, by the way.  Visit a Big Lots near you.) 

 But back to sex…

Detroit discovered long ago that an ad showing a hot woman draped over the hood sold more cars than one chock full of impressive technical details.  They just didn’t know exactly how it worked.  Now with this new technology they can measure the…er, specific reaction, and, presto, a fool and his money are soon parted.

As you can see, marketeers, we’ve come a long way since Ivan Pavlov‘s slobbering dogs.  Or have we?

Filed under: global marketing, Manna-risms, marketing strategy, Shopping behavior | Tagged: , , , , | Leave a Comment »

A world without Borders

Posted on September 16, 2011 by Manager
The cafe at the Barnes & Noble in Hoboken, New...

Soon to be a lost and ancient relic?

The announced closure of the very first Borders store in Ann Arbor last week was seen by many as the final nail in the coffin of booksellers.  The chain is liquidating  its 300+ stores across the country, a reflection of today’s tough publishing biz.  Or is it? 

Retail pundits and devoted bibliophiles alike differ on this point, the main arguments being: 

a) Electronic publishing (e-books) has made paper books obsolete, or…

b) Print books will survive but sellers need to rebrand to be relevant today.

The online buzz about Borders‘ demise is split about half into those who say they didn’t go with the e-flow and others who believe it’s the end of a sweet era.  We can see both sides:  that of the heart and of the mind.

On the former, our local, devoted book club is certainly one who will miss actual bookstores.  These lovely, educated ladies not only have a passion for reading, but also have enjoyed many hours browsing in bookstores, the tactile and olfactory senses adding to the experience.

On the hard-headed business side, it has been our position even since we posted, long-ago, about Amazon’s now-ubiquitous Kindle Reader (and more recently when we turned around and  finally fell hard for Apple’s new iPad (see 6/1 post)  that books still have a place in our shelves, even if only for decoration and impressing guests.  

E-readers have their place but so do books.  They are just different delivery devices. In fact, recent industry reports on some bookstore formats that are actually thriving now. 

 We can look back with affection at the movie You’ve Got Mail :  the meet-cute saga  (a charming, pre-plastique Meg Ryan and Tom Hanks ) of a small bookstore owner dealing with the arrival of the mega-bookseller into town.  Both ended up scoring points, with the conclusion being that both big and boutique formats have roles to play in commerce.

But this was way back when, when Amazon meant “jungle” and and e-book was not even on our radar.  Fast forward to today:  Barnes & Noble is the only mega-store standing, and with a possible tenuous future at that.  Clearly, it’s tough being in the book business today.

Yet, like in the movie, there are some sellers who have artfuly combined the chaim impact with the small-town store feel, chief of them being HalfPrice Books.

Kathy Doyle Thomas, executive vice president, marketing/development for the chain, which now boasts 115 stores in 16 states, shares how they succeed in today’s tough new world:

“[We] are definitely a niche bookstore…we have off-the-wall, weird, wonderful collectors books that people come and shop us for.  So, we’re different than the mainstream.  I think that’s helped us.” 

This is a retailer who “gets” USP.  Yet there’s more to it:

Although Ms. Doyle Thomas sees digital books exploding, she claims it has less of an effect on HalfPrice Books’ business because their key attractions is price:  “If they can find a paper book for less than an e-book, people will continue to buy the book,” she said.

So, here’s retailer who not only offers deep and unique assortment, but is also the “low price leader”?  There’s more:  they are now also upgrading the whole in-store experience, as Ms. Thomas continues:

“There are things that we’re doing that basically says:  this store will be well worth your time. Our employees are going to be up on all the books and will be able to refer a book to you…When people come to the store, we want them to say: ‘This was worth getting out of my pajamas and getting out of the car and driving over because I got more than just a book. I got experience, great book recommendations from the people who are knowledgeable…and that experience was worth my time.’”

But wait, there even more:  Instead of relying solely on bricks and mortar, they have also established a strong presence online: 

“We have a relationship with thousands of  independent sellers and bookstores around the world that list their inventory…We have 120 million titles that we offer at any time.  So, if people can’t find it in our stores (or aren’t near a HalfPrice store), they can buy it from someone where we don’t have a physical location.”

But we’re not done yet.  Social media is also part of  their strategy, and they claim over 86,000 Facebook followers, along with thousands of fans on Twitter and their blog.  Large part of their social media communications strategy is constantly asking customers what they are doing right or wrong and then changing their stores or systems accordingly.  Clearly, they also excel in customer service.

Now you get the full picture:  a low-tech business with high-touch strategies can thrive in today’s complex retail arena.   While many half-baked retail concepts won’t survive now,  HalfPrice Books’ cup appears to be full.

Filed under: global marketing, marketing strategy, Shopping behavior | Tagged: , , , , , , | Leave a Comment »

Undressing for success

Posted on September 9, 2011 by Manager
Models on the catwalk

Image via Wikipedia

Warning!  This post may contain unsuitable material for anyone who thinks fashion is mere frivolity.

This week marked the launch of Fashion Week  in New York.  Given Mother Nature’s own idea of when “Fall” should fall, we can sympathize (just a little) with fashionistas who must strut wool during the height of Indian Summer.

If you have no sympathy whatsoever, you may just not realize the sheer size of the American fashion industry and its impact on the economy.  Global warming or not,  recession or prosperity, this billion-dollar industry pushes on and on time with its key annual collections:  Fall, Cruise/Resort (our personal favorite!), and Spring.

If you are what you wear, then you also realize that fashion speaks about what’s happening in our society.  We marketers should take note because it’s our job to be, as the French say, au courant. 

Of course, we know not to take too many notes about what’s actually shown on the runway or the pages of Vogue:  Gaga-esque concoctions you know will never catch on.  Instead, keep in mind some current global themes:

  • TECHY-SCRUFFY.  Even if you’ve never been inside the Facebook offices, you saw the movie.  Sporting shorts, flip-flops and messy hair, these young geniuses have taken over the world.  Then there is Apple guru Steve Jobs, unfortunately very frail these days, but already having made his fashion mark with the previously-nerdy mock turtleneck and baggy jeans combo.   The message here is you no longer have to wear a suit and tie to be taken seriously.
  • MAD MEN AND MANLY.  On the flip side of the sartorial coin are trends inspired not by real life but by media, in this case the cult series Mad Men.  Those ’60s-era ad men in those snappy, shiny suits and their gals in delicious, flowery confections hark back to a prettier time.  Retro has never felt nor looked this good, and Banana Republic “got” it:  they’ve just introduced a complete Fall line inspired by the series. 
  • BRITTANIA RULES AGAIN?  London was the hotbed of fashion in the 60s and then was eclipsed by U.S. sportswear.   This year, with the phenom of The Beauty and The Dress: Catherine Middleton‘s wedding gown (and let’s not forget bridesmaid/sister Pippa, voted the year’s Best Bum thanks to flawless tailoring)  the Brits appear to be returning to the fashion fray. Vanity Fair reports that British gals, previously known for crooked teeth and dowdy duds, are now, thanks to the new Duchess, avidly signing up for new smiles and smart frocks.
  • RECONSTRUCTION.  Since the invention of the Staple of the Stars, Spanx, it seems just about everyone now can squeeze into a Size 10.  OK, make it 14, which is now the official average dress size for the American woman.  Gentlemen:  they even make these for you!   This comfy alternative to the girdle is, er,…a spanking to designers who insist on introducing collections in Size 0.
  • SUPER-DUPER-SIZE ME.  At the same time that haute couture caters to the rich and skinny, mainstream fashion is paying more attention to the Plus-size crowd.  Popular TV shows like  Say”Yes” to the Dress!  says it’s OK to look not just pleasantly plump but big…real big…on your Big Day.  Health concerns aside, this trend is no charity.  During this recession designers have realized there’s big bucks in buxom.
  • CULTURAL CASUAL.  On the other side of the sea the latest trend in Japanese business wear is… flowered shirts and flip-flops.  No, it’s not a revolution against the Imperial family but simply the Japanese government that has figured out they can save millions of dollars and tons of greenhouse gases if workers wore less.  They even launched their own marketing campaign entitled “Super Cool Biz”, urging office workers to copy their Hawaiian brethren and don the Aloha shirt.  This is indeed a sea change for this conservative culture.  We may never see the starched collar in the Land of the Rising Sun again.
  • HEMP:  NOT JUST FOR SMOKING ANYMORE.  The energy crisis and folks going “green” have also brought about another major trend:  natural fabrics.  Not only is natural making waves, but artificial, petroleum-based products such as candy wrappers and plastic pallet bands are being artfully reborn into purses and belts.  Used to be no self-respecting businessperson would carry a purse or briefcase of less than 100% leather.  Now, “pleather” and other synthetics, along with sustainable fibers, broadcast to colleagues you’re hip while also saving the species.
  • FAUX IS OUT…EXCEPT FOR FUR.  Along with the preference for natural fabrics, there is also serious concern that phony designer labels not only steals thunder from the real artists but truly hurts the industry.  They’ve put on several events to educate shoppers about how to spot a real designer label.  In Paris they may even arrest you if you carry a faux Chanel bag.   In contrast, real fur is uncool but sporting your fuzzy bath mat is hot.

In summary, when following fashion be prepared for plenty of dichotomy.  Importantly, despite what you’re seeing on the catwalk, it’s wise to remember — not just in fashion but in life — that there are real trends out there…and then there are just fads.

(Postscript:  The week after this post,  TARGET executed a super-coup with the launch of its exclusive Missoni designer collection.  A promotion slated to last six weeks, 1725+ stores were OOS for over 400 items in less than 24 hours; also lots of OOS on-line…Their website crashed repeatedly from the demand.  Many women who had lined up outside stores since 6AM Tuesday left empty-handed, crying.  Many who scored are now selling these items on E-Bay for five times the value, or higher.  As of 9/14, more than 32,000 Missoni items were posted for sale on E-Bay…So, you still think fashion is frivolous?)

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Stuff shoppers may not tell us

Posted on September 2, 2011 by Manager
Soldiers and Family members participated in th...

Even the Armed Forces uses focus groups

At the same time marketing pundits are proclaiming that focus groups are dead, they’re trying to unearth what makes consumers tick. 

Used to be if you were a manufacturer and wanted to get some real qualitative (as opposed to quantitative) info on your new product, you’d put a focus group together. 

Get a small group of women together in a room all day, feed them well and pay them something, and they’ll tell you anything…Fact is, focus groups, when done well and includes multi markets and profiles, can give you information you can’t get anywhere else. 

Qualitative info(the hard numbers) you can get from scanner data.  Intimate stuff, such as what truly turns a shopper on:  things she would never tell anyone outside that room, that’s what makes focus groups useful.

But it seems this practice has gone the way of the Dodo bird, as “mystery shopper” clubs, chat rooms, on-line surveys and mobile apps appear to provide marketers with enough fodder from consumers.  Although these arguably much lower-cost tactics have their proponents (on-site focus groups can be very pricey), they still can’t be compared with being able to gauge the immediate reaction on the face of a group participant.

Now it seems this psychographic profiling and what it reveals is making a comeback.  It’s interesting that marketers claim they now want to get inside the consumer’s head when what they’ve been doing is mainly blitzing coupons at her…

In any case, Kraft just announced they’re developing a sophisticated new science of  “emotional profiling to provide actionable answers”  both for them and their retailer partners, according to trade pub CPG Matters.  Apparently, they are splitting hairs about whether shoppers “like” or simply ”prefer” something, and how that spells the difference at check-out.

We’ ve always tried to look at the “need to have” vs. “nice to have” component of any marketing outreach.  Especially in today’s economy, folks are going to look carefully at what they buy, and probably prefer the former.  Do we really need the “green” detergent that costs so much more?

Yet food is a different animal.  There exists strong triggers — look, aroma, taste, and emotional ties — that make the food decision for us, regardless of logic.  How else can you explain the Australian expats’ continuing love of  Marmite? 

One of the key challenges facing manufacturers like Kraft is that this emotional reaction to food means, as they put it:  “that two identical-looking products could achieve the same score in acceptability tests, but perform wildly differently in the marketplace.”

That we shop with emotion is nothing new, and psychographics have been part of the marketer toolbox way before we knew what to call it.  Importantly, though, the increasingly ethno and income segmentation of the population adds complex levels to marketing plans.

We used to rely on reports from AC Nielsen and others that provided snappy, ”canned” profiles we loved, such as “Bluehairs in Sun Country”, which neatly encapsulated all residents of, say, Vero Beach, FL.  Sure was easy to do specific-store marketing then…

 Today, with ethnic groups making up almost half of some metro markets, things are different.  Importantly, the cultural diversity means traditional tools like focus groups don’t work as well. 

For example, Latinos will typically say things that may not be true just to please the researcher.  Also, the acculturated/assimilated Hispanic may shop more like an Anglo…except when she’s with her mother.  You get the changing picture.

Trying to make this emotional connection to the consumer is nothing new.  It’s just so much harder today.  That’s why if the Big Guns are seeing the need to reinvent segmenting strategies to hold onto their brand dominance, we smaller guns should also.

Filed under: global marketing, marketing strategy, Shopping behavior | Tagged: , | 2 Comments »

An antidote to flash mobs

Posted on August 17, 2011 by Manager
Flash mobs, like this pillow fight flash mob i...

Innocent pillow talk, or something less fluffy?

This new practice of flash mobbing is far inferior to the one we used to enjoy way before cell phones.  We’ll get back to this fun topic below…

But back to now, when youth are coming together in droves via cell phones to drive the dreaded new form of protest, or worse: crimes against the public.  They’ve hit London, they’ve hit BART, and now they’re targeting retailers… It’s media at its most anti-social and it has to stop.

The “establishment”  has been fighting back.  Governments and law enforcement have warned these mobsters will be caught and punished.  After all, you can track down a cell phone.  They’re also taking steps to block messages and identify potentially dangerous topic threads before the throngs gather.

Free-speech advocates say their rights are being violated, but aren’t these mobsters spoiling our rights to a peaceful existence?  There is a difference between the Amendment and anarchy.

We’ve posted about the recent great gains in social media:  the advent of Twitter and mobile marketing, all designed to deliver “Buy now!” messages.  Whether you subscribe to this sales blitzing or find it irritating, at least it’s basically harmless.  Whether you like it or not, cell messaging has become a part of our lifestyle.

In fact, one of the funniest recent TV commercials is AT&T‘s “Flash Mob“.  It features one member of a dance mob gathering at Grand Central Station who didn’t get the message about the change in schedule because he had the wrong (read: rival) phone service.  He launches the dance routine too early and entirely solo, while his comrades and the public simply stop and stare.

Now, all the fun is gone, with a few bad apples threatening to spoil the whole bunch.  Regulations about cell phone usage and language are sure to follow, affecting how we communicate on a daily basis.  This is not good for the freedom our country enjoys and definitely not good for us marketers.

We recommend that there should be an antidote to all this violence!   People, take a deep breath…and go back to the old-fashioned form of public protest:  flashing. 

To the uninitiated or the simply too young, this practice — most commonly known as streaking — was the simple message of the ’80s: stripping  naked and running through the middle of events such as ball games, weddings, Oscar presentations etc.  Or, if you were a bit shy, simply rolling down the passenger car window and flashing your assets to passers-by.

Those who practiced this claimed a simple joy, almost exuberance, at getting away with something so basic yet so thrilling.  They didn’t even mind if they were called an ass (or had a particularly ugly one). 

What’s best:  they got their 15 minutes of fame (which they’d never get as one among a million cell mobsters).  In the end, we all had a good laugh, and even some flashers or streakers who were taken away by the police simply received a slap on the hand or a smallish fine.

Today’s flash mobsters will receive a lot worse,  and they will have deserved it for spoiling our innocent fun.

Filed under: social media | Tagged: , | 1 Comment »

Murky Murdoch & media manners

Posted on July 26, 2011 by Manager
Rupert Murdoch, Chairman and Chief Executive O...

"Stop the presses, I want off!"

The scandal affecting the Rupert Murdoch media empire typified what was a tragic last week, (i.e. bombings, celebrity deaths, etc. ) made sunny for some only because of the divine Tour de France…(is there a better sport/armchair travel combo ?!) 

Murky Murdoch and his minions have lots of  ‘splainin‘ to do, with their testimony and possible criminal charges sure to be the scoop of the summer on both UK’s and U.S. shores.

Meanwhile, the marketing message here is:  it’s no news that the media will do just about anything to grab news.  It’s our responsibility to be good at our game.

We posted a while back (click on media tags, on right,for related posts) on why it’s important not to stonewall the media.  Conversely, we also expect some decency on their part, with snooping and hacking being unacceptable practices.  

The difference between here and the UK is that the U.S. has strict privacy, libel and other laws pertaining to how you get information and what can be said about someone.  We see these laws also going into affect across the pond soon, which means the Brits could soon lose their dominance over sordid journalism. 

In fact, the silver lining under this dark cloud could be that we end up with a kinder, gentler media all around, where mutual respect is due both parties involved:  media and subject.

What this situ also brings to light is our own — albeit much more humble —  experiences with the media and how it can “make or break” a story…or, in fact, your life.   Those of us charged with either (a) making noise to get positive publicity (fun!), or (b) stifling noise to control damage (aargh!) , know that media relations can be a tenuous thing.

Yet, as in most things, we need to be reminded it takes two to tango.  Over the years we’ve found these pointers and media manners helpful to both parties involved:

  • MEDIA:  Do your homework.  It’s your responsibility to know whereof you speak when you interview someone.  It the marketer is introducing a new product, it’s nice to know at least something about the category in general, if not the actual product being flogged.  This way you can ask more enticing questions that make for a good story.
  • MARKETER:   Remember the “5 W’s”:  Who, what, where, when and why.  If your news release or story pitch does not contain these, redo it.
  • MEDIA:  Ask for “links”.  Linking to supporting or other explanatory articles is an accepted part of internet communications today:  we even use them.   You can never assume your reader knows what you’re talking about.  Do that also when interviewing:  ask if there are any additional sources for quotes, or other material to support the story.
  • MARKETER:  Use the pyramid.  The inverted pyramid, that is.   The most important facts go on top of the release to grab the media and reader.  It’s a basic PR tenet, but many forget it and ramble on and on, hiding the delicious news nugget at the bottom.
  • MEDIA:   Use accuracy when paraphrasing releases.  Many reporters are compelled (or ordered) to rework perfectly-seviceable news releases to add their or the publication’s “own” touch or angle.  That’s fine, but dangerous, as errors can occur.   To quote an old British proverb especially relevant for today:  “There’s many a slip ’tween the cup and the lip”, but in this area, especially, MEDIA and MARKETER can work together to ensure both keep their jobs.

Filed under: marketing strategy | Tagged: , , , | Leave a Comment »

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