Alignment seems to be the key word this week. I attended the prmktgcamp conference where the theme was alignment of PR and Marketing because of Social Media. Then I received another email regarding alignment of Sales and Marketing. This is comical and sad. Comical that we need conferences devoted to the topic. Sad that we need conferences devoted to the topic. Key take-aways and suggestions: ... << MORE >>

Much has been written about the Millennials and their lack of brand loyalty, so, I decided to test the concept in my classes at DePaul University with college seniors. Small sample but the results are directional. There were two separate situations addressed:

1. Retailing: I asked students in my Science of Retailing class 'Which stores are you loyal to"? The response: None. Why? They said because you can get anything everywhere. I would argue that isn't lack of loyalty but lack of differentiation.
2. Consumer Products: While discussing a case regarding energy drinks, I asked which energy drink brands they like. No surprise that Red Bull, the category leader, was the clear winner. Why not other brands? The answer wasn't about image, style, or availability. The answer was 'they taste awful'. Again, not lack of loyalty but a bad product. A few students gave examples of 'Venom' being given away for free in their neighborhoods. They don't want it even free because it tastes bad. No amount of promotion or social media will get around that fundamental problem.

Implications for marketers are simple. Start with a GOOD product or service that appeals to a target audience and has a CLEAR differentiation or reason for being. Communicate that differentiation and why people should care. Don't list dozens of benefits. People can only remember two things. One solid reason is best. With that, word can spread. Then use tactics such as social media in your tool kit to help them easily spread the word. No amount of promotion or social media spending can help a faulty product. (Note: ALL students in all of my classes love Apple. It can be done.)

Retail implications: The proliferation of products has an endless variety of choices for consumers. Thank goodness for Category Management to help understand productivity of those items. But don't loose track of your target audience. Have you defined it properly? Are you trying to be things to all people? Retailers tend to lack marketing strength. Promotions and advertising (sans Target) seem to say the same things. Kmart is finally waking up to that fact and actually has had a slow increase in same store sales. In a recent Brandweek article, CMO Mark Snyder states"...a proof point to the organization about how important differentiation is when everyone else is saying the same thing".

It's not lack of brand loyalty. It's lack of good product/services to be loyal to.

What do you think?
Jackie

Pandora rocks, right? Doesn't everyone love www.Pandora.com? My students don't listen to the radio anymore. I asked them "how do you find out about new music"? The answer was Pandora. It's also one of the most popular smart phone apps. It's a genius music application which fascinates me. Mapping music DNA. How to begin to do that? An article from the Wall Street Journal's Magazine which came out Saturday (March 2010) had an interview with Tim Westergren, founder of Pandora which answered how they map music DNA. The tiny little blurb that caught my attention was this:<< MORE >>

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: ... ... << MORE >>

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? 

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: << MORE >>

Not enough is said about managing expectations. Your customers will fill in the blanks for you. ... << MORE >>

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<< MORE >>

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

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