Kuehl Marketing Strategies and Best Practices

Mobile marketing anyone? Think before you text.

2010-03-11T14:28:00Z

Absolutely the next frontier in marketing is Mobile. It's happening now so be prepared. Prepare your marketing plans and prepare for the onslaught. A few tips and things to remember:

First and foremost: Don't jump in. Don't. Not unless you have aligned your mobile tactic to a business objective. Please. Antsy marketers ruin it for the rest of us and make the medium less effective. Let email and social networks be a lesson. Without an objective that can be measured, you can't know if you succeeded. Is your objective promotional? Do you want to be viewed as a thought-leader? Awareness? Top of Mind? Customer Input? Each objective would have your communication strategy, including mobile, take a very different approach. Why are marketers failing to understand the 'value' and 'metrics' for social media? Most likely because they didn't have a measurable objective to know what they were measuring.

Ask people getting mobile updates today about relevance. The companies setting expectations with customers for what they will receive and then provide that value, are successful. Companies that jump in to the new technology 'just testing' sending random information will see their opt-out rates soar.

Once you lose someone, it's 10 times harder to get them back.
Next: Whether you are ready or not for mobile, start data capture of your customer and prospects mobile numbers. Email has recently been the 'currency' of choice in a database. I suspect mobile numbers may take over in the near future. Set yourself up now for the future when you are ready.
Know your customers and prospects and ask them first how they prefer to communicate with your company. Don't assume. Poor assumptions about email communication started SPAM and filtering. Don't ruin your brand and value by making assumptions.
If you have a solid objective it is easier to craft a communication strategy that is relevant to the objective and relevant to your customers.
Repeating: Don't be a tactical marketer. New media and technology is fun and exciting. But think first. What are you trying to achieve?

Let me know what you think,
Jackie

Is Sears turning away from retail and evolving to manufacturer?

2010-02-25T19:22:00Z

Sears announced recently it's intent to begin to distribute it's private label Craftsman tools to Ace Hardware. Interesting because retailers use private label brands as a draw to try and create brand equity and loyalty for their stores. Good move or not?

Next. Sears is completely revamping and relaunching Kenmore products, their appliance private label brand. Craftsman and Kenmore brands have great brand equity; however, Sears as a retailer does not (nor does K-mart really). Makes me wonder if Sears has a long-term strategy to get out of the retail business and become a manufacturer? Or sell the brand names?

It is clear they do not have a great differentiation strategy or equity beyond the value of those private label brands. I have been fascinated by the Sears quagmire which is to me: Major mall square footage they need to fill but have brand equity for products to fill half the store. They are left to do something with the additional space and fill it with products that do not turnover, marginalizing their GMROI (had to throw that in). I regularly ask students, 'What does Sears stand for?" They go blank. One student said 'Craftsman tools are awesome'.

So the fact that they are allowing distribution of Craftsman to other retailers is interesting. It may add incremental revenue in the short-term, but, certainly will start to erode a reason to go to Sears for tools over-time. Given the spending on updating and upgrading Kenmore may mean similar intentions with that brand. Can Sears as a retailer sustain this strategy?

Let me know what you think.

Jackie

3 keys to social media success: Take it from Lady Gaga

2010-02-25T17:49:00Z

Does it get any better than two of my favorites colliding? Lady Gaga and Marketing. Much has been written about her success with social media as a best practice to grow her fan and revenue base. She absolutely has embraced the medium to work for her. But her success really isn't due to just social media. I believe her success is due to three factors:

GREAT Product. At the core, Lady Gaga is a great product. She has the talent, the creativity, the music, and personality to back-up ANY marketing tactic. Any marketing strategy, especially social media, is fruitless without a product that is solid and appeals to your target market.
Distribution strategy: She is distributing her product in a medium that her target market embraces. When selecting a channel strategy, companies need to understand how their customers want to buy. Where is the target market and be accessible. A company can have the greatest product in the world; however, if your target cannot reach you, it is wasted.
Social Media/Word of Mouth/ and Buzz: In order for social media tactics to create buzz, become viral, and generate referrals, two things need to be at the core: uniqueness and visibility. Lady Gaga is every bit unique. People can embrace her originality, personality and talent. I personally can't get enough of her (including my stint as Gaga for Halloween which is another story). People will not spend time discussing mundane or boring products/personalities. Some products and services become watered down or vanilla to appeal to the masses. That just doesn't create energy.

As for visibility, her distribution strategy has enabled her to make it very easy for people and her target audience to share content which enables viral-ability.

Let me know what you think.

Jackie

Should this be the first rule of marketing?

2009-12-01T16:24:00Z

I don't think the theory of 'managing expectations' receives enough press. It's not vogue, it's not new. It's a pretty straight forward concept. Yet, it could be the most important foundation in marketing, business, and just life in general.

I am reminded of this constantly when teaching. 9 times out of 10 when I grade student papers and something does not meet my expectations, it's my fault, not the students. I have to look back to how I set my expectations for grading and the assignment. I cannot take off points for something I did not make clear. Every quarter I have to make my expectations VERY OBVIOUS and clear. You cannot blame a customer for mis-interpreting something you did not make obvious. Obvious is better than fancy or subtle. I say this all the time, "No body will take more than 20 seconds to figure you or your business out."

Think about how you are managing expectations with your marketing efforts. It starts with the foundation of your differentiation and positioning. Are you specific and realistic about what a customer can expect? Or why they should do business with you versus a competitor? I find many companies weak in this foundation of all marketing. If you are not clear, your customers will fill in the blanks for you. From the initial encounter with your store or website or salesperson: the customer will get an immediate reaction based on your message, tone, and look.

Here are a few more points to ponder relative to the Marketing 4 P's:

Pricing: Are you clear upfront? Any hidden fees? Don't you HATE making a purchase on eBay only to find the shipping cost is more than the product (after the fact?). I can't stand Ticketmaster taking on extra fees AFTER you hit the 'purchase' button. People abandon carts for this reason.

Promotion: If someone signs up for your newsletter, do they know how often you will 'ping' them? What is the content? Do you sell your newsletter as news, when it is actually a promotion notice? I had a client do this to find unsubscribe rates fairly high.

Product: Volumes can be written about this. Does your product/service deliver on it's promise. I've written before on companies communicating points they aspire to be vs. what they can deliver. It's not worth it. You have to work 10 times as hard (and spend a lot more money) to win back a customer when they are disappointed.

Place/Distribution: Do customers know where to find your product/service? Can you guarantee supply and stock? Think through your entire supply chain. Don't start promoting until you have your channel secure. Even more, don't promise a date for new product to launch before you have the product done. We learned this lesson at my former employer when Product Dev couldn't get bugs worked out in time for launch. That delay was embarrassing.

Everyone knows the phrase "Underpromise. Overdeliver." which is managing expectations. Sounds much simpler than it really is to deliver. Are you doing it all the way through your marketing efforts?

What do you think?

Jackie

Social Marketing is so 2008. Mobile Marketing so 3008.

2009-11-18T18:57:00Z

Most likely, marketers are aware of the next big wave (or band wagon) we are going to experience: Mobil Marketing. That is probably not a big surprise. However, my husband, a finance guy, shared an 'Early Look" article from a financial analyst, Rebecca F. Runkle, Managing Director at ResearchEdge stating the following:

"The Mobile Internet has the power to pull us out of the current economic downturn. That's how powerful this innovation cycle is and will be over the coming years. It will impact every consumer with an Internet-enabled mobile phone (meaning everyone) and it will alter the way every business does business."

A few points came to mind I would like to share:

I've been hearing and reading about Mobile for quite some time and knew a year ago this was the next 'thing'. This may be new to functions outside of the marketing or product development departments. Made me realize, marketing really IS at the forefront of understanding implications to various technology on reaching and connecting people. Not every channel is right for every company, but marketers are generally the first in an organization to know "what's out there".
Whether mobile is right for your business now, or in the future, you may want to start thinking about capturing mobile phone numbers from your customers now. That way, if and when you are ready, you have the database.
A note to dumb marketers: Please don't ruin it for the rest of us. While discussing mobile technology marketing applications with my marketing classes, the students first reaction was, "Ugh. That is going to be such a bother." Their first thought was mobile spam.

And they are right. So, for those marketers finding mobile technology an important tactic in the toolbox, please tread forth respecting your customers and prospects. Understand your message isn't the biggest thing in a person's life. If you send a mobile message, PLEASE be relevant. Make sure it is something they asked to receive and that it is valuable information.

Example: One student had a great experience with mobile text messages from the Chicago Blackhawks. She said every message has a point or great offers or great information. Another student had a terrible experience with a company I will not name. She said the company bombarded her with 'stupid' messages. So, she unsubscribed.

The utility of mobile applications can be great if marketers act responsibly and smart. Otherwise, your unsubscribe rates will soar and you will have to work 10 times as hard to get them to reconnect.

I guess that is my lesson for the day.
What do you think?
Jackie

Trust Me. Marketers know what they are doing. Really!

2009-11-02T19:24:00Z

I'm compelled to write about building relationships through marketing because I don't think most companies really get right.

Harvard Business Review recently posted an article on Brand Authenticity titled 'The Downside of Branding'. In a nut-shell, the author takes issue with attaching labels to brands that are not accurate but aspirational. I have had experience over and over with companies branding with messages they hope to be true, but actually are not. If building relationships is about TRUST, customer and potential customers cannot trust a brand or firm that has in-accurate messaging or a product that doesn't at least meet expectations.

I'll make my point on marketers building relationships with a basic friendship analogy.

You first meet a person at an party. They seem charming and you have things in common. You both really like fine art and cooking. You may want to see them again. Marketing relevance: this is breaking through the clutter with a message that is appealing. Building awareness.

You keep in touch with this person, on occasion, and hope to see them again at another gathering. Some of these friends like to keep in touch by phone. Some by email. Some in person. Marketing relevance: Ask how the customer wants communication.

You see this person again and realize, you do have a lot in common. You share the same values and you now want to meet out for lunch regularly. Marketing relevance: This is engagement. More relevant messages that draw a link to why the prospect should want to do business with you. They enjoy your company.

What if; however, upon meeting that person a second time, that fine art you thought they liked, was 'Dogs playing poker'. Further, you find when they said they loved to cook, well, microwaves don't count. Your expectations are let-down. You don't have an accurate picture of this person and may be hesitant to believe them (trust them). You're finding you really don't have anything in common. For marketers: You have not met expectations. Your credibility is shot. The next time you want to communicate with this person, they may not listen; and you have to work harder for their attention. When you keep trying harder you may just annoy them.

If you send out messages that are wrong, you will attract the wrong target. If your product isn't right for your target yet you keep hammering that target, that doesn't work either.

Social Media success is basically finding customers who have strong feelings about you and spreading that word. In the above scenario, you can try and try and try with social media tactics. If the product and message don't mesh or if your credibility is shot, you will spin your wheels.

Unsettling is there are many companies out there in this situation wondering why they can't get great referrals or word of mouth. It isn't always easy to keep an outside perspective and get away from internal rhetoric.

Make your product great in a way that is different from competitors and in ways customers appreciate. Be honest. Then tell people why they need you and what problems you solve. Don't lie or embellish.

Trust me.
Jackie

Pondering the future of Twitter: A conversation.

2009-09-02T12:32:00Z

A good friend of mine, Jim Matorin, Business Catalyst, founder of SMARTKETING called me yesterday. We had not connected for a while. Twitter was one of the main reasons Jim called. I'll share some of the highlights of our discussion as this seems to be a regular conversation I have and is cause for much speculation regarding revenue models of various forms of Social Media. How long can they last?

Jim Watched a Charlie Rose rerun over the weekend. An interesting interview conducted back in February with Evan Williams, co-founder & CEO of Twitter. Interview Link It reminded me that you and I have not talked about Twitter lately. What is your latest spin?

Jackie Twitter seems more relevant to businesses and the ability to share information, versus a social application like Facebook’s updates. That has been somewhat validated by surveys taken where people find information links to be most valuable. How about you Jimmy?

Jimmy Two things resonate for me right now. First, I think Twitter is still in its infancy, a toddler, thus evolving. Twitter’s potential is great, especially as it relates to business. It will be a great tool for companies to have real time conversation with their consumers. Second, on a personal note, I am totally fascinated by people’s need to connect with other people, exhibit transparency, even if they are total strangers. As a result, Twitter, along with Facebook are having a major impact on modern relationships. I find today’s relationships more ephemeral compared to those we formulated prior to the advent of social media. There is no substitution for face time when it comes to connecting.

Jackie Agree face to face is still key to formulating one-on-one relationships. Social networks enable you to find someone with like interests or someone you may want to reach out to and meet in person (what a concept) to add to your circle of real friends. Beyond that, social media can be viewed as entertainment and education.

Jimmy At what point do you think Twitter will make money?

Jackie I’ve always thought Twitter’s value is more a business application versus ‘friend’ application, like Facebook. Twitter has figured this out because I have read they are launching a metrics product. I can see Twitter also trying to model themselves after Google and offer something like ‘paid search’ too.

Jimmy We are on the same page. Based on what I have read, Twitter is working on how they will make money via its information seeking capabilities activities rather than advertising...

Jackie We must be reading the same feeds.

Jimmy You’re a consumer marketing guru. Think about the power of providing some form of detailed metrics as it relates to tweeting a targeted audience. For example, if a company launches a new product, Twitter should be able to provide some form of measurement: tweets by market, by time of day, etc. It would be extremely powerful if they could slice and dice it by demographic as well.

Jackie Let me build on that. The fundamental question is what people find valuable about Twitter and how to enhance their experience for a revenue generating application. Google is about information, so it makes sense they offer paid programs to get relevant information to users. Facebook is about social interaction which is why I believe advertisement on Facebook seems less than stellar. People do not go to Facebook for information (generally), but for interaction. User groups and fan groups are more effective on Facebook.

Twitter’s value is in the ability to share information, a lot of information, from sources people deem credible as they choose to follow. I do believe an analytic revenue model makes sense; making sure companies are connecting with people looking for their information. I wonder if in this analytic model, Twitter would offer a company (or blogger) the ability to ‘ask’ someone to follow them. Tweet Deck has a field of ‘recommended’ Twitters. Perhaps companies can pay to be on that list based on key terms. At any rate, eventually there will be a consolidation of social media networks. SM is new and growing like any other industry in the growth years. Eventually, there is only so much room and time to get on a person’s consideration set. I see things coming together.

Jimmy What are your thoughts about Twitter building an advertising revenue model?

Jackie If the advertising model is similar to a banner ad on Facebook, I think users would find that intrusive. If it’s advertising as in paid search (with limits), that might work. What do you think?

Jimmy I apologize Jackie. I would like to share my thoughts, but I have to go now. I need to follow Andy Roddick’s latest tweets to see what is going on at the U. S. Open today. I will speak to you later.

Please feel free to weigh in.
Jackie

5 Tips to Improve Your Brand Messaging...Get Out Of Your Head.

2009-08-26T13:58:00Z

If you have not taken advantage of the 'weakened' economy to revisit your corporate identity and messaging, now might be a good time. I've been following Abercrombie & Fitch over the last 10 months as a case study in over-estimating brand value. I still hope their strategy pans out in the long-run as they stick to their guns. But my sense is, they do not have a clear guage on how strong or weak their brand may be. Especially as people downsize and demand more for their dollar. Abercrombie has tons of substitute product competition. When times are good, it's easy to get lax in brand identity and the quality of your product/service. What stands out in bad times are the weak. While I may not be the target audience, it's difficult to know the difference (in a few words) between Abercrombie, their sister brand Hollister, and Aeropostale. All I know is Abercrombie is more expensive.

So, with this in mind, I offer 5 tips for improving (and validating) your brand message:

1) Stop using words from within the organization. When working at a company, you become ingrained in their language. And it's typically techie speak. Or functional terms. Ask yourself, what does that mean to our customers and more importantly, what is in it for them.

2) Have you validated or re-validated your value? (Sidenote: do NOT use the word 'value' in your messages. It's watered down because it is overused and value is different for everybody). I worked with a client on their brand identity. I asked "Why do customers work with you instead of the competition". They delivered a series of 10 benefits; however, they had not actually asked the customers. It was their internal thinking. I proceeded to interview (by phone) their key customers to discover only a few of those benefits were real. In the process, we learned another key benefit the company totally overlooked. Armed with this new information, we were able to solidify how my client solved their customers problem better than the competition and articulate from the customer's perspective.

Another thing happens when you do this work: You discover if you have slipped over time with something that was a benefit and is no longer valid. Or where competition is beating you.

3) Stop writing by committee. Brainstorming, innovating, new ideas are all GREAT with input from all functions of an organization. Creating brand identity and messaging does not. I repeat DOES NOT. The more people involved with messages and design, the more watered down the idea. Marketing's job is to keep an outside perspective and bring that into the organization. I've seen great ideas become vanilla with too many chefs. And chefs that tripped over themselves trying to sound so smart and academic, when really, the customer had no idea what the fancy words meant. Push back when it gets to this point.

4) Get your point across in 12 seconds. If someone comes to your website and doesn't 'get-it' right away, they will not waste time trying to figure you out.

5) True test: Get open feedback. Don't be afraid to ask someone outside of your organization (doesn't even have to be a customer) whether they understand your message right away. I know it hurts when someone says "I don't get it" after you spend so much time crafting a design or message. But sometimes all that time you spend looking at something takes your eye off a first impression. You don't see it because you know what it is supposed to say.

I know other marketers have been in this place before. For those of you non-marketers, think of these tips the next time you insist on voting for a logo.

Would love to hear your comments.
Jackie

Do Twitter Experts Really Exist?

2009-08-20T12:19:00Z

Are you tired of the hysteria of articles claiming that Twitter is such a must-have tool for your survival on Earth? I didn't say that. James Carlini said it in his blog post at Midwest Business.com. Here is a further excerpt:

"Did I offend those social media experts who are claiming to be world-renown Twitter experts? With the tool (let alone the concept) only being around for a couple years at best, I’m surprised at so many people claiming guru status when Twitter has yet to find its full potential. Are some universities thinking of offering a doctorate in social media tools?"

Fired up yet? I am as his comments are a bit short sighted. It is a marketers job to understand how consumers/customers are getting information. How do they want to communicate or whether they want to communicate.

First, is Twitter a fad? Twitter.com may go away since I still wonder about a true revenue model. However, the technology is here to stay. Take Facebook's purchase of FriendFeed as an example. If people are communicating, marketers need to be there to understand the utility. Facebook even snuck up on businesses who have, ever since, been trying to hire those who understand the community and how to use it.

Second, do Twitter experts exist? Well, yes. In as much as we know about the value of Twitter today, marketers can help companies understand the value and determine whether the tactic fits in their 'toolbox'. Twitter will evolve in form and utility over time. I would want to align with the marketers who have been in the trenches in order to capitalize on the technology when it becomes relevant for my business.

As a marketing consultant and professor, I would not be doing my clients or students justice if I did not keep up on the latest of everything. More importantly is my ability to use that information to determine whether it fits the client's objectives and reaches their target market.

Twitter is NOT for right for every business. I also don't think I would refer Carlini to help with marketing strategies to anyone soon.

You don't have to agree with me, but wondering what do you think?

Marketing should break-down barriers for the sales team.

2009-08-06T20:10:00Z

I recently had a meeting with a fast-growing B2B company who asked for my suggestion on selling add-on services to clients. The conversation went a bit like this:

Me: What are you doing now?
Response: They send some emails, engage in social marketing, and are thinking about new mobile technology. Me: What do you do with your emails?
Response: We send notices about new products but it doesn’t work so well.
Me: What do you do for your sales and client service teams?
Response: They have resources to sell anything to their clients.

Me: Ah. Do you do segmentation for them to determine the right product for the right client?
Response: No, but that’s a good idea.
Me: That should be your first step.

Marketers love fancy tactics and new media, which is great, but sometimes forget about the sales teams. I think this is beause they are treated as silos in many organizations and perhaps marketing assumes what sales needs. But the fact is, if your marketing strategies and tactics are not assisting sales in some way, you should pack up your marketing bag and go home.

Having started my career in Business Development, I know first-hand what is valuable and what is garbage. A few years back a senior marketing executive with a large CPG company told me, “We don’t like sales involved in marketing because sales people don’t think out of the box”. Really? And how effective are those out-of-the-box ideas at helping sales people generate revenue? I remember the wasted material we had at Frito-Lay on these cute ideas. Much of those great ideas ended up in wasteland. At another company (which I won’t name), I had several disagreements with my corporate marketing counterparts on the value of their ‘fancy ideas’. At the risk of being the naysayer, sometimes I would let it go and these ‘cool’ ideas were implemented. Guess what? The sales people would tell me in confidence, “What is that stuff? How much did we waste on that”? Thankfully, more attention is currently being placed on sales and marketing alignment.

Think about this: Utopia would be if a company had a live sales person able to go one-on-one with every customer and prospect. Since this isn’t financially realistic, companies need marketing to assist the process and break-down barriers.

What’s the point of this? My first recommendation to the B2B Company above was this: Good old target marketing with your client service team. Use the non-sexy marketing analytics first to help your client service team profile, segment and target the best client to the best product. Next, determine where the client is in the sales cycle from awareness to conviction and create talking points and offers matched to each step. This assists sales by providing focus and the best opportunity. You also become relevant to the client because you’ve done your homework by pinpointing a product/service they actually may need. Less noise in the communication. Then, using this information, marketers can help sales teams understand how to more effectively target prospects with this profile information.

Not rocket science, just a call out to marketers to ask yourself how every dollar you spend is assisting the sales process.

Let me know what you think.

Jackie

Target Marketing and the Twitter phenomenon.

2009-07-23T16:39:00Z

All the world is a Twitter…or not. Whether you Tweet or don’t, I’m sure everyone knows of Twitter. People love it or hate it. I think hate it because they have not found the utility of how it fits in their lives. To the question ‘how effective is Twitter’, Brandweek posted an article citing a disconnect between marketers and the general public http://www.brandweek.com/bw/content_display/news-and-features/digital/e3i00860fac3d23b30e71ca0d4c13545ce3#3 . Naturally, marketers can see the value, but people in general not so much. This is not so much a surprise to me as I suggested in an earlier blog-post that Twitter’s real value is more B2B marketing vs. B2C. Coincidentally, B2B magazine’s July 20^th issue states 70% of B2B marketers use Twitter vs 46% of B2C marketers.

So why go on about this? Because as in all things marketing, everything starts with your target market. Your customer. Should a company Twitter? Only if your customers are on Twitter and value that communication tool. If your target market is ‘innovators’ or marketers, chances are you can reach them on Twitter. If your target market is High School or college students, maybe not so much (note that even more studies are out showing those age groups are still not all a Twitter). I am actually glad this debate rages on because, as a marketer, I find the statistics very useful. And I love watching the media’s use of blowing things out of proportion (i.e. ‘Twitter is over’)

I think Twitter is a fabulous learning tool and a great way to follow thought leaders. Now, if they can find a revenue generating model, it may be here to stay. Maybe they can sell the technology like Google sells their search ability?

What do you think?
Jackie

Marketing strategies now and future. It's all in the numbers.

2009-05-28T23:47:00Z

I attend the Online Marketing Summit (OMS) in Chicago this week and discovered something interesting. Not surprising, but a theme. And that theme was numbers. Math, measurement, and analytics.

The first year of OMS in Chicago three years ago, the theme focused on the user experience. Web usability, email marketability, engagement...etc. Some discussions of measurement. This year, every session, and every speaker discussed applications for measurement, scoring, segmentation, even cohorts. I felt like I was back at The NPD Group discussing research operations.

This theme has been widely supported for those keeping up with marketing news. C-level's demanding more from marketers to prove their value. The internet enabled tracking and measurement which is changing the skills required for marketing today. In the past, measurement was typically discussed only in traditional direct marketing channels (snail mail). Today, there are ways to measure, fairly quickly and instantly, everything online (and moving to the TV medium with cable). For the last few years I've been preaching to my students "If you're only in marketing because you hate math, you'll need to think again".

There is always a need for the creative side. But today, analytic skills are taking a front seat and required for those serious about marketing. Finally marketers have a plethora of metrics to prove out value to the C-level.

Now, however, I predict perhaps the coming of the 'paralysis of analysis' which I experienced in my category management days at Frito-Lay. Too much data. Where to start? Or no decison because there isn't enough data. I'm hoping analytics elevates the presence of marketing in organizations and enables alignment, but hope it doesn't tip too far off the scales.

What do you think?
Jackie

Some marketers still missing the point...socially

2009-05-22T12:28:00Z

I am compelled to comment on an article in Marketing Charts ‘Social Media Generates Hype; Fails to Deliver Marketing Punch’ because comments in the article underscore the problems organizations have harnessing the power of social media.

Some excerpts:

* Despite its popularity, socnet platforms - including Facebook, Twitter and the like - have failed to demonstrate prowess as marketing tools, and possibly never will.
* “Obviously, a lot of people are using social media, but they are not explicitly turning to it for marketing purposes, or for finding out what products to buy.
* “[Twitter is] more of a media industry thing right now. Twitter is less a way to directly reach customers, and more a way to reach passionate voices who may influence perceptions of your brand.

First, I believe social media is new and has a long way to go, but to state that it has failed to demonstrate prowess as a marketing tool is a bit short-sighted. As my previous blog post discusses, social media is a part of the marketing tool-kit and another way to reach consumers/customers. The problems I see today are common: Companies jumping on social media, tactically, without rolling up to an objective. You probably can’t measure something that isn’t tied to a relevant measurable objective at the start. Are you trying to engage, get feedback, send promotions, announce new products, generate new business…etc. Companies need to start there.

Second, the article above focuses only on social media’s effectiveness as a ‘word of mouth’ tool so here’s a thought: Yes, SoMed (as I like to call it) can enable WOM only to the extent that people/customers/consumers are using it. But those using are generally the innovators or early adopters. These individuals are spreading the word and look at social media as just one piece of THEIR communication tool-kit. So they are also talking to people (wow), texting, emailing, calling…Flip the perspective and you can use the SoMed activity directionally and try to estimate the overall WOM activity. I would be interested in finding those statistics.

And finally, not to ‘sell’ the Twitter concept, as yes again, many people are not finding the value; however, Twitter’s value is really for business vs consumers. Obviously Twitter realizes this also and is looking at business applications and analytics as a way to finally monetize their service.

What do you think?
Jackie

Should I blog, tweet, link, or create a Facebook group? Does anyone really care?

2009-04-22T18:02:00Z

“So, I’m not sure I get all this blog, Twitter, and Facebook stuff. How do I use it?” is a question I have been asked very often lately, to which I respond “well isn’t that the question of the day”. You’re in a cave if you have not heard enough and too much about Twitter, especially as a marketer. (As a side-note, should Web 2.0 at this point be Web 2.5?)

If you are in my shoes, how do you respond to the question? The first question back should ALWAYS be 'What are your objectives'. Then, how can social media tools help you as part of your integrated marketing plan. Many people miss that first part. If you do not start there you’ll end up chasing tactics with no purpose. Then later your company thinks ‘Gee, that didn’t really do anything. Did we measure it’? How can you measure something that didn’t have an objective to start?

In a prior post I discuss how marketing is too tactical; and, I read with interest articles about companies scrambling to get into social media only to claim ‘it’s not working’. Chase tactics, you’ll chase your tail. Chase objectives and you’ll move the organization. So here are some suggestions for incorporating social media:

One: Ask yourself, what am I trying to achieve? Feedback? Word of mouth? Referrals? Top-of-mind? Lead-Gen?

Second: Can social media help you in your marketing ‘toolkit’ to get there?

Third: Shape your social media tactic to get there. For instance, if an objective is to stay Top-of-Mind, write a blog and push it out to your network/prospects. But don’t cry if people don’t start calling. A blog for purposes of staying top-of-mind is not lead generation. However, if your goal is lead gen then your blog and/social media tactics would take different variation including some type of offer. But if you do that, don’t cry if people say you’re ‘too salesy’. Well, that is the subtle purpose of lead generation.

Fourth: Rome wasn’t built in a day (but it is one of my favorite cities). It takes time to build a relationship. Social media is basically one big relationship (and helps word of mouth marketing).

What do you think?
Jackie

Abercrombie & Fitch Brand strategy follow-up: Is it the 'Brand Bubble'?

2009-02-19T13:25:00Z

A follow-up to a prior post about Abercrombie & Fitch’s brand pricing strategy for the holiday season: In a nut-shell, Abercrombie was not going to play the game of deep discounting like their competitors. They were hoping to gain long-term brand impact by maintaining their prices. I had many comments on that blog-post. Most agreed the short-term hit would help their long-term brand image.

In the Wall Street Journal on February 14^th (happy belated Valentines’ day) is the article ‘Abercrombie Profit Drops 68%’. They had to reduce prices as much as 90% in January to clear inventory’. That isn't really a surprise. Unless they were really obtuse, they had to know that would happen in this economy. The WSJ article goes on to say Abercrombie’s CEO referred to the fourth quarter as ‘a nightmare that included unprecedented promotional activity by other retailers’. HUH? While I applauded his guts to hold firm, what planet was he on not to expect this short-term hit? When managing for long-term profit, you can expect a hit in volume.

This will sound so text-bookie, but a review of three factors that influence the demand curve, or shifts in demand, simplifies the issue: 1) Consumer Tastes. Let’s assume that didn’t change. 2) Available substitutes. They were beat here with many choices. 3) Consumer Income. Hmmmm. This is a no-brainer as consumers traded down.

I’m no financial genius but I'm sure they realized when managing for long-term profit, you can expect a hit in volume. The long-term strategy makes sense if consumers find value in the brand. I wonder if they considered that before stocking the shelves with holiday inventory. Maybe they were hopeful. Maybe they had their head in the sand. Maybe it’s just the ‘Brand Bubble’…(more on that later).

Would love to hear your comments.

Jackie

SoBe? So…I don’t get it. Can your company pass my 15 second rule?

2009-02-06T13:46:00Z

I feel compelled to comment on one of the misses of the Superbowl. That expensive, glitzy, funny, SoBe half-time commercial. Remember it? The guys dancing around in boxers and turning into lizards. Makes one want to run out and grab a SoBe? Not really. I still don't know why I should buy SoBe. What makes it better than Naked Juice (that's a plug for John) or just water for gosh sakes. I asked my college students about it. Reaction: It was hilarious. So funny. Great commercial. So, I ask, "Do you drink SoBe"? A resounding "No, it's terrible". I prod, "Will that commercial make you want to try it again"? Again 100% said "No way". Classic example of a blown opportunity where a myopic marketing department would have been better served explaining what makes SoBe different or great or just why someone would want to try it. Differentiation.

I teach differentiation in Marketing 301 (aka 101). It should be the foundation of ANY company or brand marketing and communication. And it's not a new concept, right? I think classic CPG companies get it. Most others, maybe not so much. Try this: Go to your company's website. Then go to a handful of your competitor's websites. On the homepage, do you see how you are different? Does everyone say the same thing? Can you even find a solid positioning or differentiation on the homepage? And an you figure it out in 12 to 15 seconds? Don't think a customer or prospect will waste time trying to figure it out. If you can say, "Yes, we do this well, you may be in the minority".

I realize how difficult it is to get inside the head of a customer and discover why they buy from your organization or why they buy your product. Clients I work with easily discuss their features and what they think to be benefits. But it's difficult to get their arms around the one unique "Whats in it for me" factor for customers. The WIFM. I helped a client do inexpensive research to figure this out and what clients said was different than what the company thought to be their differentiation.

When you realize the one thing that is relevant with customers, get a great writer to put it in words and communicate it all the time. Be consistent and make sure your customers and prospects know it. Make sure your employees know it. Push back on your web firm or the creative department who would rather make this subtle. Then measure it please. And continually validate that you are delivering.

I'm passionate about this topic and process. Would love to know your thoughts or help if you need it.

Jackie

Abercrombie & Fitch Brand Strategy: Best Practice or Marketing Mistake?

2008-12-18T19:21:00Z

I made an observation this holiday season which I’m sure many others have as well. Email special offers GALORE. Lots of them. Often. And they get better everyday. First 20% off. Then 30% off. Then 50% off. And today…60% off. Wow. The interesting thing to me is how it has been the same story across many retailers, these three being ones I shop regularly: Banana Republic, J. Crew, New York and Company, and Victoria Secret. (Being somewhat clothing obsessed this is focused on clothing retailers).

This situation is not a surprise this year. The media told us to expect deep discounting. Retailers announced it themselves. All retailers but one: Abercrombie & Fitch. I was surprised to read in the Wall Street Journal a while ago: Abercrombie Fights Discount Tide Clothing Retailer Accepts Lower Sales in Its Strategy to Protect Margins and Hip Reputation. This is a rather bold move when the economy suggests otherwise. Imagine being the CEO making the call. The economy is down, consumer discretionary income is shrinking, and our competition will be out in full force discounting to drive sales. Short-term decision making would scream the need to follow-suite to maintain share and move inventory. I applaud Abercrombie for holding ground on the profit line. We know the business principal that in the short-term, you cannot grow market share and profit at the same time (not including a decline in CGS). At Frito-Lay I had to know which ‘mode’ we were in: Profit mode, or share mode and determine my pricing/promotion strategy.

I will be very interested to see the long-term impact on the Abercrombie Brand. Consumers become accustomed to promotional discount strategies which decreases brand value over time. I no longer pay full price at J. Crew or Banana Republic, two of my favorite stores. I know their clothes will ALWAYS go on sale. I had this discussion with some friends who do the same. Abercrombie surely is taking a hit in sales in the short-term; but this will be a great case study over time to see if the strategy pays-off in profit and strength of the brand. How well do they know their customers? Naturally, hindsight will make the CEO lauded or chastised. And the only unfortunate issue for me is that my niece wants Abercrombie clothes for Christmas. So of course I paid…full price.

What do you think of the Abercrombie & Fitch strategy?

Tis the season to be thankful for marketing accountability...and snowballs.

2008-11-20T14:21:00Z

So, I’ve been MIA in my blog content. I was busy. I know everyone is busy. I didn’t follow my own blogging advice which is to have an arsenal of content before you make a commitment to blogging (I thank those of you who actually noticed). The fact is, the last few months have been rather depressing. Most people I talk to agree given the media hammering of pre and post election coverage and the doom-and-gloom economic coverage. Is there a silver lining? Maybe not for Financial Advisors, Investment Bankers, or Automotive Executives, but I’m going to look on the bright side.

Given it’s already Thanksgiving; I’m going to regress a bit from business and be horribly cliché. I’m listing my 5 reasons to be happy.

1. The Twilight Movie opens this weekend. Gotta love the vampire bubble-gum story. Even at my age, Edward Cullen rocks.

2. That finally inefficient bureaucratic business is getting their heads handed to them. That’s harsh, but let this be a lesson to every organization to look deep at a culture of “we’ve always done it this way”. I abhor that line. The term ‘adding value’ is not just a marketing term, but should be considered in every function of the organization. See the book “Meatball Sundae” by Seth Godin for ideas to shake-up current thinking.

3. Marketers are becoming more accountable. I’ve received ‘glares’ from professionals when I question a tactic with “what is that going to do for you” or “and what was your objective” or “and how do you measure that”? Rough times call for working smart, making sure all programs are relevant, value-add and either assist sales or drive revenue. Bottom line.

4. That winter brings snowballs, sledding, and snowmen. Get out of the ‘I hate winter’ mood and start a snowball fight. Guaranteed to make you smile to feel like a kid again. If you don’t have anyone to help participate, my boys would love to help.

5. As always, I am blessed to have friends and family who make me laugh, keep my upbeat yet let me vent once in a while. Because of you I am what I am today (good and bad).

6. Sorry, one more I could never leave out. My kids un-dying love and rose colored glasses.

Have a safe and wonderful Thanksgiving.

Jackie

Stephen Colbert makes a great case for bad branding

2008-09-11T11:51:00Z

Whether you're a Stephen Colbert fan or not, marketers have to love his interview with Lucas Conley, the author of 'Obsessive Branding Disorder'. I have not read his book, but his point about branding gone wild is valid. And the interview is very entertaining (like a marketing private joke). View the Colbert Report clip at http://www.comedycentral.com/colbertreport/videos.jhtml?videoId=178712

While the examples in the interview are exaggerated, what I gather from the interview is that Conley argues the problem with many brands today, or co-brands, is they don't make a lot of strategic sense. Brands need to get back to basics, remember what they stand for, who is the target audience, and strategically move forward with that in mind. Be relevant to your audience and relevant to your positioning.

I believe this problem can get out of hand for the same reason marketing gets tactical (per an earlier blog article). Lets think 'out of the box'. New ideas. Capitalize on new media. Get the brand 'out-there'. And the problem is reinforced when creative ideas are rewarded without making sure the creative idea will help achieve objectives. Here is my favorite example:

I love Sephora (www.sephora.com ). I haven't met a woman who doesn't (sorry guys...but keep in mind as a gift for the ladies). Sephora has a deal with JC Penny and has Sephora stores in the JC Penny stores. I'm sure JC Penny was looking for a way to improve their cosmetic section and drive women to their stores. And for Sephora, a new distribution channel. But it isn't 'on-brand' in my opinion.

Sephora's strength is the huge, huge, huge selection of premium brand cosmetics. And the employees are always so friendly. However, their stores in JC Penny carry a limited selection (I was told only 20% of their items). And JC Penny is NOT a premium retailer. Ulta would make more sense in JC Penny. I never buy cosmetics at the JC Penny near my house because that Sephora doesn't stock the items I like or need. I end up going elsewhere because I do not have a Sephora close to my house. (Please Sephora, open a store at the 'Shops in Burr Ridge').

Perhaps Sephora gets a bump from JC Penny customers; but at their prices, it seems limiting. And certainly not 'on-brand'.

Same concept has implications for your brand online. This means ensuring your web alliances and partnerships match-up to the essence of your brand. If the goal of your website is to be a ‘portal’ or destination, make sure you have thought through your objective and the positioning of the site. Do your partners, alliances, and links sync-up? Any disconnects? Does the content on your site support your brand’s objective and positioning? What content is filler and taking up space (and someone’s time)? Make sure every piece of real estate on your website has a purpose: A critical purpose versus just nice-to-have. Chance is those ‘nice to have’ items are leading your customers and prospects down the wrong path. It may be difficult to get them back.

Always be relevant to your brand, your target audience, and your marketing objectives.

I'd like to hear comments on similar experiences.

P.S.: I told my husband I would give credit to him for finding this interview and sharing it with me.

Starbucks gives free coffee and fuels a brand advocate.

2008-08-26T21:53:00Z

This weekend, I had a really extraordinary experience at the Starbucks in my little town of Lemont, IL. I may be going a bit off topic here, but I have to tell everyone. I love the Starbucks in Lemont. The people seem to genuinely enjoy working there and are always a pleasure. So much so, that a few months ago, the Chicago Tribune published my quote in the Thursday ‘At Play’ section in the ‘Love/Hate’ column. My exact quote: “I LOVE the genuinely friendly staff at the Lemont Starbucks (1251 State St). I go out of my way to get coffee at that location. With every visit, I leave smiling or laughing- which is not the case with many other locations.” So, on my next visit after this printed, they gave me free coffee as a Thank you. Wonderful. Reinforced my position as an advocate for this location.

This weekend, I stopped at the Starbucks drive through and ordered. At the window I realized I left my wallet in my gym bag, which was at home. Call me a knuckle-head. I never did that before. At the window I said “I’m sorry, I forgot my wallet at home and just realized it. I’ll have to come back later.” The guy at the window said, “That’s OK. Here’s your coffee”. Come again? I told him I would come back later and give them the money. They said. “That’s OK. Here you go”. Huh? Naturally, I did go back an hour later. I walked in and reminded them of the situation and handed them money. All of the employees said “‘Oh, no. That’s OK.” They would’t take the money. So I put the money (plus some) in their tip jar. Holy cow. I loved this Starbucks location already. Now I am a full-blown advocate. I’be been thinking ever since that I need to tell everyone. So I have been. I’m pretty sure people on my Christmas gift list will get something from Starbucks. I met a gentleman later that night who heads up franchise operations at McDonald's and told him the story. He could’t believe it.

Everyone knows the power of Word-of-Mouth Marketing (WOM). The concept is not new. Social media has simply enabled WOM Marketing to new heights where customers can share experiences at breathtaking speed. But the principle is the same, just new tactics to rapidly advance the speed to which consumers can pass on information. Especially the people in the Web world called the ‘Advocates’. The very passionate and vocal. Can you create Advocates? Many customers are probably ‘dormant’ advocates for you right now. They like your product or service, but not enough to be motivated to spread the word. Can you ignite passion? I’ll argue you can. The unexpected little things that make people feel special. Even in B2B. People are people. This may suggest 'empowerment' to employees to instantly make a situation right. Or do what they think is best. Wasn't that buzz-word years ago? The philosophy still applies.

In the same Tribune ‘At Play’ section, my quote for ‘I hate’ was also published. It read, “I hate that an experience with genuinely friendly staff/people is an enjoyable surprise and has become more the exception than the norm.” Is your company the exception or the norm? Let me know.

Jackie