Tuesday, January 19, 2010

Exclamation Point Marketing!!!!!??

Is it just me or has the marketing profession has lost something in the past few years? Lately it seems to me that hype, promotion and volume have replaced cleverness, innovation and values.

Maybe it was too much Billy Mays yelling at me & now Sully, his smarmy Pitchmen buddy; maybe it is the current US obsession with tabloid journalism and personal desire for celebrity; possibly another casualty of the Wal-Mart effect. I could blame the Internet, video gaming, mobile content, maybe even El Nino. Safe to say, I haven’t determined the root cause, but I do know that brand marketing has lost a bit of luster recently.

Being a brand sensitive individual and one who was raised in the industry to develop, nurture and evangelize the value and critical importance of brands, I must say sometimes I feel a bit lost. We see brand extension after brand extension. Companies that have built great brands and good businesses like Di Giorno sold off for logistics reasons, not marketing issues.

Where, oh where is the customer in all this? It often appears that we have lost sight of their needs, desires and hopes. Or are we just determined to sell them stuff; at low prices? in massive quantities? Maybe that’s what they want and I don’t know it.

I, like so many, look forward to the Super Bowl coming, as much for the half-time entertainment, football and the commercials. This annual seminal moment in TV advertising is analyzed nearly as much as the X’s and O’s. Who is in, who’s out, how much are they spending.

What amazes me about Super Bowl ads (and now advertising in general) is how little the ads even talk about the product, if at all. I wonder if Danica Patrick even knows or cares about what Go Daddy does? More importantly, how many viewers even care. No doubt many young men find out they are a domain listing service, very few who have their own website.

One might excuse Go Daddy, but when such respected marketers as Budweiser airing ads that are never linked to the product, in any way, it hurts. If advertising is merely an attempt to entertain the audience, how effective can it be in shaping image or building awareness, trial and preference? Is it that marketers are just being lazy? Or going for the low hanging fruit? Or are consumers not demanding enough of the brands they upon which they spend?

My experience from 15 years of advertising tells me that some of the brightest and ambitious people - smart, clever, curious, insightful and driven- work in the field of advertising. They cannot be proud of some of the work out there. Advertising can be entertaining AND smart, strategic and on message. The current E*Trade campaign is spot on; funny, resonates with audiences; campaignable and flexible across media, including viral.

It can be done, but it takes a client that demands GREAT work and won’t settle for less!!!

Tuesday, January 5, 2010

Rules for Agency – Client Happiness


Many advertising and marketing executives build their reputation upon the value of the customer relationship to the brand. Creating strategies, messages and offers that create, nurture, and reinforce that connection. Funny, if they spent a small portion of that effort on the agency relationship, how much easier the task might be and benefits they might realize.

Having worked with a wide range of agencies of all types, sizes and disciplines; I have experienced a number of common issues, irritations and sensitivities. The current economic and world situation has only heightened insecurity.
To start off a new year and decade, I offer up some simple guidelines and suggestions that will lead to better work and more satisfying working relationships. They may be simple and obvious; that does not mean they are easy to follow and implement!

• It’s a Relationship – That means both need each other, so you have to be able to trust and depend upon the other party. However, it is never an even relationship; both parties always feel they are contributing more. Be sure to raise the discussion when it feels too far out of balance, say 70/30
• Not a Partnership – each of you is ultimately accountable for something, so try to be mindful of the roles and competencies. Clients, try not to write copy or art direct. Agencies, be wary of clients who abdicate the marketing strategy development to you; it’s setup for trouble!
• Communication is Key – Listening is the most fundamental skill required; work hard at listening to each other. And take time to check for understanding. Did you hear correctly?
• Feedback & Reinforcement – Look for opportunities to say “Thank you” and provide positive comments, EVERYDAY. Continuous negative feedback corrodes the relationship.
• Gifting – Try to surprise them once in a while for no reason, without being a holiday or other occasion (like a new product pitch). Good ideas, insights and thoughts demonstrate that you understand their needs and care about the relationship.
• 7 Second Delay - Please – Never, ever use bad words, or give feedback when you are angry. Once they are spoken or sent, you can never retrieve them – they hang in the air forever. Marketing is far more of an intuitive art form than engineering. Motivation and inspiration go farther than fear in getting good work
• Confront Issues Together – if and when you have problems, discuss it openly and honestly between yourselves. Don’t involve 3rd parties, even to vent. Doing so only magnifies the issue. NEVER mention ending the relationship, unless you are fully committed to that. Before that, any mention will only serve to weaken the partnership and put the agency further on the edge.
• Accountability – Affirm that the agency alone is responsible for creating impactful and effective – advertising, direct marketing, digital marketing, entertainment/sports marketing – campaigns, programs and plans. Oh yeah, and make sure you tell them that you truly believe they will do it.

Agencies and client have to work hard to keep the relationship fresh, vital and growing. The search and engagement process is quite protracted and lengthy – it should be avoided at all costs. If you have done the due diligence upfront, know each other and have good chemistry – it is very worth fixing any issues that surface along the way.

Splitting up is the easy way, but does not guarantee happiness.

Wednesday, December 30, 2009

Good marketing things from 2009?


A Silver Lining in the Dark Economic Clouds?

The past year has certainly been challenging and scary. But to not learn from the events that we lived through would be a waste. Now is a good time to pause and reflect as it appears that the worst is over and we are seeing the beginning of stability that will become a recovery in 2010.
Despite the economic damage caused, plus the pain and suffering endured, there are benefits to be reaped and lessons to be learned. To that end, I wanted to share some of my observations and reflections as we reach year end.

1. Due Diligence Required – any investment, marketing plan, RFP request etc. has to be evaluated seriously and thoroughly before you recommend or approve it. Optimism, hope and the ‘or leading competitor is doing it’ are not acceptable substitutes.
2. Reasonableness – of assumptions, business model and any factor that goes into making a decision. Believing that real estate would continue to appreciate annually at 20% is not reasonable; common sense should have prevailed, and must in the future.
3. Metrics – everything you do in business must be measured, why otherwise would you do it? If you can’t figure that out, walk away.
4. End of ‘conspicuous consumption’– frugality is now ‘in’, which is not good for a recovery, but will be beneficial in the long term. How do you position your product to be a smart buy?
5. Customer service – more value as a differentiator and an element of the marketing mix (ie. Amazon or Zappo’s)
6. Valuing Customers – I have never felt more appreciation and love from companies I give my business to. Let’s keep this up, because without customers, you have nothing.
7. Values DO matter – even the Tiger Woods brand could not withstand the value judgments being made about him, right or wrong.
8. Image is NOT everything – sorry Andre Agassi - substance, being genuine and real does count. The world is far too connected, open and transparent to permit a false image to be maintained for long.
9. Green is real and expected – companies that merely wrap themselves in the green movement are sorely missing the bigger opportunity. Green marketing has direct benefits with customers, employees and every audience you want to reach.
10. Optimism is contagious – think about the mood in the US surrounding the Obama inauguration. Wasn’t it wonderful, refreshing and exciting? We owe it to ourselves to adopt and maintain a positive outlook, perspective and expectation of better things to happen.

In addition to looking back, it is also time to think about 2010. I'm not a big resolution person, but do believe that one must have a plan, if not vision for your upcoming year. It is very appropriate to pause a bit and sincerely think about all phases of your life and what you dream and hope will be true next year.

If you don't have a plan, you haven't got anything. Plan B is good to have too.

Happy New Year and good riddance to 2009!

Thursday, December 17, 2009

Athlete Endorsers – Buyer Beware!


2009 has certainly given brands with celebrity athlete endorsers plenty to think about. From Michael Vick to Donte’ Stallworth, Michael Phelps, the MLB Steroid List and Serena Williams there is plenty to remind us of the potential downside of tying major marketing campaigns and your brand image to another person. Now with the Tiger tales emerging, the environment is downright scary. It will take a bold and courageous brand manager to suggest a high profile endorsement idea in the short term.

But return they will. Why? Simply because it works. Brands have a long history of turning to athletes for advertising, spokespeople or other association. Shave cream, tobacco and beer companies found out early on that sport was and remains an effective way to reach a male audience. As media outlets and exposure has exploded, sports have taken on a much larger role in our culture. As a result, stars and celebrity athletes have grown in their ability to shape customer perceptions, buying behavior and create new brands. For example, Nike Golf is the business that Tiger Woods built.

Does that make an endorsement a slam dunk? Certainly not. Like all marketing activities, this requires planning, careful consideration and evaluation. Below are some areas that must be considered before you enter the endorsement waters

1. What is your marketing objective? How long before you achieve it?
2. Know your brand and your target audience
3. Understand the role of the endorser, what do they bring to the program?
4. Define the attributes of an ‘ideal’ athlete
5. Evaluate at least 3, but definitely more than 1 athlete
6. Have the brand manager spend time with the athlete (not the agent!) understanding them and getting a feel for how they will fit with the brand and relate to the target.
7. BEFORE you negotiate with an athlete or agent, be sure you have identified every possible and potential use of their image, likeness, marks etc. You don’t want to go back after a deal is done and ask for something else
8. Share the marketing ideas with the athlete to get their input and allow them to feel like part of the team
9. After you reach terms, it is critical that the brand manager sits with the athlete (again, NOT the agent) one to one, to reaffirm the seriousness of the relationship and desire for it to work for both parties.
10. Delineate a very clear and complete ‘morals clause’ that will enable you to get of the deal for any behavior you find offensive or detrimental to the brand. Don’t settle for boilerplate language, make it as specific and flexible as possible, to meet any unforeseen situations.
11. Insert some ‘penalty’ language, in the event of unforeseeably bad behavior (Tiger). This goes above and beyond breaking the deal and walking away and may allow you to recoup some of the brand value lost. (At the very lest you will have done the right thing)

Typically, agents for bigger name athletes have been reluctant to include language, clauses and other steps that were considered invasive or challenging. Obviously, the Tiger Woods revelation has set a new standard which should enable potential sponsors to seek and obtain greater transparency, flexibility and collaboration. Any brand making a major investment would be wise to consider extensive background checks and investigations, as part of the due diligence process.

The marketing landscape is now shaped by so many outlets and marketing vehicles. The instantaneous nature and easy access is a huge opportunity and threat at the same time. As long as we build our businesses utilizing humans, with all our frailty and weaknesses, the potential for marketing doom exists. Cell phone cameras, security videos and Tweeter are a mere few seconds from the Internet.

Choose wisely and enter the athlete endorsement world with your eyes open. No surprises!

Tuesday, December 8, 2009

The Obsession with Fame - A lesson for Marketers?

When we look back at 2009 it will be remembered for a few major issues. Obama, the economic woes and Tiger Woods will dominate. But one of the major themes of the year was the media dominance of instant celebrities and fame seeking wannabes.





Fame puts you there where things are hollow

Fame, it's not your brain, it's just the flame

Fame

That burns your change to keep you insane*


Think about the names – Octomom Nadia Suliyman, Carrie Prejean, Susan Boyle, Jon & Kate Gosselin, The Heene’s /Balloon Boy and lastly the White House crashing Salahi’s among others. The amount of media attention, breaking news, scandal and speculation for these far outweighed their significance. Among this group, only Susan Boyle is a good news story and actually had something positive to contribute to mankind. The others largely were seeking their own affirmation, status or wealth. Sadly, children and families have been hurt or put in tough situations by their parents need for something they lack.

What is about our society that makes this possible? Certainly the proliferation of media outlets and channels has created a vacuum for content – good or bad – that must be fed. The challenging times have made people seek out a change of pace from the bad news on the economy or political front. And unfortunately, the same human nature that won’t allow us to look away from a car wreck is at play here too.

Many of these ’brands’ have employed, knowingly or unknowingly, many marketing disciplines and methodologies in pursuit of their objective – fame and fortune. For the most part, they have focused on the awareness building and demand generation phases, with less thought on sustaining a loyal customer base. (In most cases, they get professional help from a lawyer and PR rep to help them commercialize on their success)

So as marketers, I believe that there are some very valid lessons to learn:

1. Hype and publicity stunts are merely a tactic, not a strategy.

2. Be certain that you truly have something to offer- a solid product, service or content is imperative for long term success.


3. The old axiom, “There is no such thing as bad publicity” doesn’t hold any longer.


4. Twitter and other social media enable you to lose control of your message very easily and quickly. Word of mouth is still the most powerful marketing force, regardless of how it is delivered.


5. Customer trial can be easy to obtain (promotion, discounting, etc.) but repeat purchase is where the real money is.


As I always advocate, all marketing activities require an objective, strategy plan and measurement system. Even if your goal is just to be on TV…

* Lyrics are from “Fame” written by John Winston Lennon, David Bowie and Carlos Alomar

Tuesday, October 6, 2009

IOC Awards 2016 Olympic Games to Rio. What Went Wrong?

Wow! I never realized how many Americans were interested in the Olympic Games! The media backlash and gnashing of teeth over Chicago's 'loss' was quite impressive, and somehow so unexpected. But honestly, many comments come off as arrogant and uninformed, so typically American in their perspective.

The real question is "What Went Right (for Rio)?"

So let's tally up both:

What Went Right:
1. Timing - Rio was prepared to argue very effectively that the time was right for the IOC to finally award the Games to a country in South America.
2. Economic Conditions - It happens that Brazil was now the largest economy to have not hosted an Olympic Games. Fortunately, the recession was less harmful and recovery farther along.
3. Role of the Government - The Rio bid committee engaged the central government officials early on. This brought personal commitment of leaders AND financial backing of the entire country.
4. Rio really, really wanted it - Not only were they prepared and professional, but the enthusiasm of the country was evident.
5. Chicago Bid Was Well Done - Reports indicate that this was the best US bid in quite sometime. While that is little consolation, it does provide a positive template for the next US city.
6. Linking FIFA World Cup and Olympic Games - This may lead to some true synergies and economic efficiency, and may lead to a positive legacy for the country.

What Went Wrong:
1. USOC's Sad State of Affairs - Where to begin? Flawed USOC Network announcement? Ongoing difficult relations between the IOC & USOC? New leadership, with no NGB experience (and a salary that even made the IOC cringe) that doesn't even show up for major meetings? No US city should even consider a future bid until this leaky ship has been righted, and operating smoothly
2. Fear of Chicago / Anti US Sentiment - It appears some regional concern over Chicago led to the early ousting, despite the Obama factor. The Bush legacy will linger a bit longer.
3. Mixed Signals from the People of Chicago- When the bid committee is distracted in shoring up local support, emotionally and financially, the IOC will be concerned. Lack of a government funding guarante is always a turn off.
4. Star Power - The Oprah factor, while a good cheerleader for media hype, was not effective winning IOC interest. The bids should be based on the ability to execute a major sporting event.
5. Role of Statesmen - Despite the IOC's protest that the presence or absence of political leaders is a factor, the last 3 bids awarded (London, Sochi & Rio) had significant involvement of the leader of each nation. Presidents & Prime Ministers do not have adequate time to be actively engaged in Olympic bidding, but may have to to if they wish to win.
6. IOC & Controversy - No matter how an Olympic Bid voting ensues, it always comes off as a sordid, backroom deal. Somehow the sense of fair play and sportsmanship is overtaken by sour grapes. I guess a few billion dollars can do that. Call me idealistic, but I wish that a bid would be won based on providing the best expression of the Olympic Movement and the needs of the athletes.

I know I was selfishly pulling for Chicago as a way to boost the sports marketing industry in the US. But, Brazil and Rio were certainly 'due' to have a chance to host. It will engage the continent and lift sports and sponsorship broadly. Plus, Rio will be one HECK of a PARTY!


How do you see it?

Monday, September 28, 2009

Was Beijing the Last of the MEGA Olympic Games?


We are only a few days away from the important IOC vote on the 2016 Olympic Games host. Based on the events of the past 12 months, it is an appropriate time to reflect on the scale, scope and legacy of future Games, by looking backward.

I was fortunate to witness the Beijing Games up close, and can tell you that TV could not properly convey the physical scale of the events and venues. China must be experienced in person, to fully appreciate the enormity of anything that goes on there. It dwarfs almost all other countries and is huge in every way – land mass, people and ambition.

So it was no surprise that a mere 19 years after Tiananmen Square, the Chinese government and people were very eager, proud and anxious to show the world that they had arrived as an equal. And they delivered – venues that any nation would be proud of; an athletic performance that every host country dreams of; a television spectacle of unmatched beauty viewership, with much drama, color and entertainment; and for visitors a very inviting host city and people, virtually free of smog and traffic.

Of course, only the organizers know the true costs and impact of hosting the 2008 Games, because it does not appear that any budget was ever created, as virtually no expense was spared. Chinese citizens already endured displacement of their homes, jobs and endless construction and disruption. Most assuredly, they will be paying for the opportunity for many decades. But can anyone judge whether it was a shrewd investment? No doubt the people of Beijing will utilize many of the athletic facilities far into the future, and China may assume a broader global role, with further economic and social growth. But, already the Bird’s Nest is bit of a white elephant. Too large for C League football, economic times have slowed down international tours of major European football teams and the NFL has yet to sign up for a game. It sits promise unfulfilled, longing to the throngs of fans from August 2008.

It is my firm belief that Beijing will be the last of its kind Olympic Games. First, the sheer expense and investment made was astronomical. Few if any countries will be willing or able to take that on. Second, the economic meltdown we experienced in Fall 2008 has made us all realize how far out of touch things had grown, on all fronts. Spending untold billions on a sporting event now seems so out of proportion. Third, China was the last of the large economies remaining to join the ‘world stage’ through the affirmation of hosting an Olympic Games. The pattern was set decades ago as Japan (Toyo 1964) and Seoul (1988) were used as coming out parties for those countries. And just like China, they made sure it was a suitable event, regardless of cost or economic sense. Lastly, the IOC and popular opinion will force a more reasonable, affordable and sustainable approach to future Games. They have too or risk alienating the audience they hope to retain.

The IOC has hinted that the selection process will favor host city bids and proposals that have a core principle of reuse of current facilities and only building with a plan for use AFTER the Games. We will see in the 2016 selection if they hold to these principles. If not now, will they ever?

A modest venue plan can and will work. Atlanta 1996 is such an example. They used primarily the ample supply of existing venues – Georgia World Congress Center, Omni, Fulton County Stadium and Georgia State University. Those built new had a clear path for the future – Athlete’s Village became dorms for Georgia Tech; the aquatic venues also became part of Tech’s facility; the Olympic Stadium was resized to become Turner Field, etc.

The new Olympic Legacy will be one of affordability, reasonableness and suitability for the future. So I hope you enjoyed Beijing, it will not be repeated anywhere, anytime.

What are your thoughts?