Category Archives: below-the-line

Matalan – Sometimes, all it takes is the basics.

I’m subscribed to more on-line retailers and loyalty programmes that I can remember these days, but I never cease to be amazed at how badly these companies manage their data.  Its been years (I mean more than twenty) since I started getting my clients to build relationships with their customers by acknowledging dates like birthdays that are important to them, but I can’t remember ever receiving a birthday reward from anybody other than MoonPig and then, of course, it was someone else’s birthday they were reminding me of.

I was reassured therefore by my mother’s delight at having received a £5 shopping voucher for her birthday this week from, of all people, Matalan.  I’ve always wondered why the retailer didn’t appear to do anything much with the data they collect when they register their customers.  Especially as you are strong-armed into subscribing to their loyalty programme at your first visit to one of their stores.  It seems that having hit rock bottom in recent years the retailer has addressed issues well beyond their dowdy stores and stock.  Well done Matalan for showing UK retailers how its done!

Social marketing – the Emperor’s New Clothes?

The survey published last week by Forrester and GSI Commerce seems to have put the cat among the social networking pigeons.  Now that our great new toy is proven to contribute no more than 2% to sales, all manner of doubts over the effectiveness of social marketing are finally being voiced.  Is the next big thing turning out to have been The Emperor’s New Clothes?

I’ve just spent the best part of a year creating a business unit that relied partly on social media, but throughout I found I was resisting pressure from my client to make social media the main strand of the strategy.  I’m sure that I am not alone in this experience.  After all, there are a lot of bright young things in consultancies with really funky names whose livelihood depends on them convincing folks that social marketing is all a business needs these days.  While common sense would tell you that many of the claims made for social don’t add up, it has seemed for a while that the momentum of the social media movement intimidated doubters into silence.  What Forrester has done is given these reluctant doubters license to tell it as they saw it all along.

Actually, I’m a believer in social media, but I’m a believer in all media so that’s no big deal.  What I don’t belive is that any medium is a panacea.  Social media like any other only work as an element of a bigger formula and, like all the other tools in our box, have to be managed.  In fact, if you want to get the best out of social media, you’ll find that they are actually quite labour intensive, so you should approach with caution.

You’ll also note that I have been trying to avoid referring to social media as “it”.  Social media come in many guises, so it’s definitely a case of “them” and its unlikely you’ll need them all.  The trick is to choose those that work for you and incorporate them with things like trad advertising, DM, PR, search, promotions, buzz, roaching and anything else that makes sense and play around with the formula until you find the mix that delivers the biggest return on the smallest investment.

For example FaceBook, may not be particularly effective in a BtoC strategy, but, if you are looking for a BtoB tool its going to be even less of a bargain.  After all, it makes no sense to try to strike up a business conversation with someone in a purely social forum, that’s not why they are there.  Forrster’s analysis tells us that on-line advertising and SEO are far more effective, but SEO only makes sense if a worthwhile number of prospects are using a manageable number of search terms.  In a recent project of mine there were dozens of search terms and key-words being used, each so infrequently that even if we could have resourced the SEO required to handle them all, it wouldn’t have produced a viable result.

The resourcing conundrum strikes again when a BtoC marketer hits social marketing pay-dirt.  I was recently involved with a restaurant chain that simply couldn’t manage a fraction of their mentions on Twitter and Face Book.  This meant that the numbers used to justify their social marketing strategy in the first place were meaningless. Marketing #101 – don’t invest in creating opportunities (and therefore expectations) that you can’t respond to.  Not only is it wasteful and therefore inefficient, but it pisses people off!

There’s no doubt that like many other business tools that have emerged over the years, Social Marketing has been over-hyped.  This is partly because some of the people doing the hyping don’t really understand it, or in fact marketing generally.  Social is a great idea and the tools that it embraces all undoubtedly have their uses, but that doesn’t mean that you have to take them all on board.  In fact, it may not be for you at all and it certainly isn’t a panacea.  Like any other medium, social will only work as a part of an integrated marketing strategy.

What Forrester have done is introduce a much-needed and timely element of realism to the situation.  Now we all have license to question the social media evangelists and I am sure social marketing will find its place among the many other tools that skilled and experienced marketers can combine into effective, integrated strategies.

Keep it fresh – the recipe for restaurant brand success

I was chatting yesterday with a chap who runs a load of restaurants … and I mean A LOAD!  Among the topics of our conversation were the “good old days” when the sophistocated man-about-my-neck-of-the-woods, out to cut a dash, took his “bird” to a Berni Inn.  In those days of course there were, by today’s standards, limited options for the young stud out to impress  – Wimpy, Berni Inns, the local pub where you might get that French delicacy “chicken-in-a-basket”, one of the emerging Chinese restaurants, and independents from Joe’s Caf to the more aspirational, Gino or Carlo’s.

By comparison, today’s aspiring roue is spoilt for choice.  Not only has there been a proliferation of independent eateries of all palates and ethnicities, the number of restaurant chains is enough to set plates spinning and because each one is desperate to establish a point-of-difference, today’s eating experience has become as much an entertainment as the date – especially if you have my luck!

I used to frequent Alastair Little’s restaurant in Frith Street, Soho where the man himself once told me that the average restaurant had a life of around three years, after which you had to reinvent yourself.  These days that rule of thumb at least hasn’t changed.  If you watch Gordon Ramsey’s antics on TV, you’ll know that the key to restaurant success is to devise a unique theme and then exploit it to the full.  This lesson has been adopted by all the big chains since TGI Friday’s, who recognised that while a new restaurant format will always add novelty value to an entertaining theme, for the punter, even the most compelling theme is great for two, or maybe three visits.  After that, unless something changes, you’ll find them asking “so what now?”.  If the answer is “nothing” they’ll be beating a path to the next food entertainment experience.  The “novelty effect” may also compensate for a few deficiencies, which gives you a narrow window of opportunity to iron out those niggly operational issues, but “narrow” is the important word here.  Pretty soon, its back to reality.

What we are talking about here is brand development and I love the restaurant business because it offers one of the clearest demonstrations of the concept of “brand community” and “brandships”, which has been my personal cause celebre for many years.

For a restaurateur this isn’t just a case of introducing new things to the menu, although that plays its part, you have to continually tweak other elements too.  Data management comes into play here as you define your segments and start to manage them.  You’ll have customer-segments, day-segments and seasonal demands that will probably all be heading in different directions out from your central theme and the devices you use to manage your community will be as diverse as these segments.  Starbucks discovered early on that day-segments demand different music and its a no-brainer that restaurant day-segments require different food, but that’s not only to accommodate the traditional meal variations, but different customer types – for instance, pensioners and young moms in the morning and groups of youngsters in the evening.

Its also not enough just to make changes, you have to make sure everyone recognises them.  I was in a chain restaurant recently that had a number of USPs and had introduced new items to its list, but none of them were highlighted.  That’s an ommission no operator can afford to make, but the ways in which you publicise development are as many and varied as your segments.  I don’t belive that Face book and Twitter are the panacea that some marketers suggest they are, but we are talking social networking here and while grannies don’t Tweet much, (unless you squeeze them really hard!) if you have a “youth” segment you can use this medium intelligently to drive awareness of the changes and maintain the freshness of your brand.  Press Relations and grass roots events will play their part in heightening awareness of your brand and its freshness, as will viral, personal appearances, demonstrations and good, old-fashioned advertising and PoS, plus, don’t forget your floor staff – dif’rent folks, dif’rent strokes!

Like any brand community a restaurant brand is a constantly evolving thing with opportunities for maximum customer involvement and engagement at every level that no operator can afford to miss.  Who do you think is making the most of their community?

Where have all the catch phrases gone?

In my previous post I highlighted the value of a catch phrase like Tom Dickson’s “Will it blend” and mentioned one from way back “Nice one Cyril” that came to me as I was writing.  However, it strikes me that most people in agencies these days aren’t old enough to remember that catch phrases like this were the social networking of the pre-Face-Book era.

“Nice one Cyril” was carried as a song and released as a record (remember those?) but there were many more, like Murray Mint’s “Too-good-to-hurry mint” and Do-It-All’s “How do Do-It-All do it?” that were immortalised as jingles.  You really knew you had a hit on your hands when the popular press plagiarised them in their headlines, but there were many that worked without being turned into songs.  You just heard people use them in conversation.

How many can you think of?

The Big Idea – but, will it blend?

Folks are used to me banging on about how essential  “the big idea” is in marketing today, but genuinely big ideas are still a rarity.  There are loads of businesses and agencies that think their’s are humongous, but that’s usually only because their sense of proportion has deserted them.

I guess you have to have a nose for these things?  For example, Tom Dickson sells high-powered blenders.  He’s not Microsoft by any means, but he has created a campaign based on an idea that has taken off, big time.  I mean, if your USP is “power” what better way to drive this home than to take on challenges.  And that’s exactly what he has done, filming each challenge and posting it on You-Tube, then building a social networking campaign around it that has taken the imagination of folks all over America.

Of course, a big slice of his audience are youths, but that’s OK, because apparently evidence is revealing that they share this content with parents, if not by showing them the films, certainly by dragging them to see the challenges reproduced (on a less dramatic scale) in their local stores.  Yes, while this is a campaign that wouldn’t have been possible without social networking, it’s real beauty for me is that way it is integrated.  The films tie-in with the in-store demos and the advertising and the point-of-sale material and more.  The contribution this is making to his brand character, the reinforcement of his “brand promise” and the new “Brandships” he is acquiring as a result are priceless and the “will it blend” catch phrase is rapidly becoming the kind of equity that we Brits haven’t heard since “Nice one Cyril!”.

Experiential – Giving a consumer-facing business, business cred

There’s increasing emphasis lately on what’s called “experiential marketing”, but like many things in our marketing world there’s nothing new about it – apart from the name.  These things just used to be referred to as “promotions” and looking through my archive of case studies that fall readily into the “experiential” category, I’m reassured to see that there have always been clients who recognise the value of this kind of initiative and are good them.

Take a client of mine from 2002/3.  A telco from Central Europe, now absorbed by a global operator, that had made headlines for having built a powerful and successful (by any measure) consumer-based brand and was trying to build on the values that had made them so successful with private subscribers and repeat that success in the business sector.

Our target was successful, entrepreneurial businesses, which in a developing market meant SME’s and Sole Traders.  We found a dozen (who we nicknamed “The Daring Dozen”) that had already succeeded and produced a book of case studies and a series of ten-minute TV programmes profiling each.  National TV, eager for local content were happy to run these in pre-evening-news slots.  We then launched a national campaign called “The Thirteenth Chair” throwing down the gauntlet to would-be entrepreneurs to take their place alongside these successful small businesses.

The red swivel-chair that we used throughout, photographed empty and in a spot-light, became the campaign icon and the key competition and the book was promoted through trade associations, on the telco’s web site, in their stores, using viral and press media with  links at the end of the TV segments, and in the book, to the campaign web site where candidates could register and subscribe to the campaign pack.  The mechanic was straightforward enough.  Candidates completed a business plan using a template that we provided and each submission went through a short-listing process, culminating in a chosen few being invited to a “show and tell” like “Dragon’s Den” where a panel, made up from the twelve original entrepreneurs and representatives of my client, voted to contribute to financing to one of the plans.

From there the winning candidate was filmed as their business evolved throughout the next twelve months.  Press coverage was phenomenal during the run-up and after the award was announced and we were almost fighting applications off with a stick (although, as you might expect from a developing market, there were rather a lot of “spoiled applications”).

Was it one of those “big ideas” that I tend to ramble on about? – Well, yes, I guess it might qualify.  Could you repeat this event in a more mature market? – Probably not, certainly at the level of investment we were making back then, but with the new mobile technologies that are now available, there would be a whole lot of additional elements and valuable mileage to be gained if you could.  It just goes to show that “experiential marketing” isn’t something that was just invented and I’m sure that it will be with us, whatever its called, for a long time yet.

Guerrilla marketing – Free muscle no marketer can afford to ignore

I have never been able to resist a bargain.  That is why I love guerrilla marketing – Hey its usually free or almost free, who could say no?  Especially when you can build it into any integrated strategy to such good effect.  I have never understood why so many organisations look down on guerrilla as though it was appropriate only to small businesses.  I was working with an on-line publisher last year and came up with a neat little initiative that demonstrates just what can be done.

Our target was English-speaking businessmen with an interest in Central European markets.  The problem was one of awareness and the need to increase subscriptions.  I’m not a great fan of trade shows normally, partly because the cost of running a stand that is professional enough to give the right impression, more often than not, makes the idea non-viable.  However, if you don’t need a stand …

There was no doubt about it, major Central European trade shows were the most likely places to find the people we were looking for in any numbers, so we identified those with the highest visitor numbers from the most appropriate sectors of industry and called the organisers with a simple proposition – We would run advertising for their event in exchange for a free go-anywhere pass for our group of promoters and the go-ahead to distribute a card promoting a free offer that was bound to enhance the value of the show (In fact we ended up with a whole lot more than that).  The offer was a free limited period subscription to our publication (providing local CE market intelligence), which, if people signed up to it, would give us a great database and the opportunity to up-sell to paid-for subscriptions or just add permanent free subscribers with limited access who would add value to our offer to advertisers and sponsors. The show organisers, to my surprise and delight, nearly snatched our hand off!

Another great thing about initiatives like this is their flexibility.  We had no idea how this would perform so we opted for a two-month test-phase with an extended programme set up and ready to go the first month looked good.  Buoyed by the enthusiasm of trade show organisers, we decided to test a secondary target – employees of international firms that congregate in the large office complexes that you see around major Central European cities – and approached the largest property management companies with an offer similar to that we had made to the trade show organisers – free advertising in exchange for access to the lobbies of their buildings at peak times.  Same result!

That gave us two full months of promoter activity, with the office complex element filling in between the trade shows, which made maximum use of the promoters that we hired and trained for the client specially for the campaign.  Of course, the design of the material that the promoters were handing out and their sensitivity in selecting targets from the thousands of visitors to these shows and offices were critical factors in the efficiency of the first level of the campaign, but from there by funnelling responses through a carefully constructed CRM programme, we could generate revenue from subscriptions, boost readership/site visits and therefore enhance our value to advertisers, as well as sell ongoing advertising  to show organisers and exhibitors.  Every card we handed out carried a unique promotion code designating where and when it was handed out,  respondents entered the code to sign up for their trial, which gave use useful data too and we used that to strengthen our argument to the trade show organisers and exhibitors when we sold them advertising.  We also included all respondents in our new “recommend a friend” promotion, which caused a snowball effect. We did the whole thing for the kind of cost you could cover from petty cash – literally and the payback was way beyond anything that marketers would expect from a traditional campaign.

Guerrilla marketing definitely isn’t the reserve of small businesses and I’ve used all forms in many different ways over the years.  Taken seriously and partnered with the capability in other areas that large organisations always have, the effect of any investment can be magnified many times over.  Elements such as those that we used on this initiative have such a high pay-back level anyway, that they can’t help but improve the average ROI of any marketing strategy.

Jingle on!

It seems rumors of the jingle’s death have been greatly exaggerated … by me at least!  Having waxed on last month about how great life was when we all had a few jingles to hum as we went through our day, I had my attention drawn to an organisation that has brought the art into the 21st century.

Meet Now House, a business that not only proves that music is a viable and valuable contemporary marketing communications tool, but makes a strong case for integration, DM, social networking and The Big Idea in one neat initiative.

I say this because I became aware of Now House from their Christmas card, which I arrived at via a link from James van Etten’s Clippings and the card was one of those that not only could you forward to your own contacts, but was a rare example of one that you might actually forward without permanently destroying your street cred or losing all your friends.

I suspect that I am not alone in dreading the pre-holiday mailbox full of gag-inducing, unoriginal, dross that most people pass-off for Christmas greetings.  I always find myself wondering how apparently switched-on companies can waste such an opportunity to underline their innovation, by demonstrating the opposite so dramatically every December.  Because one sign of a well-run business is that they don’t waste free communications opportunities, my advice to any client who is looking for a business partner for any purpose, is choose the one that didn’t give the job of designing their Christmas card to the tea lady (not that I have anything against tea ladies you understand!).

The “big idea” is a constant theme of this blog and my little talks.  Basically, my point is that however great your delivery vehicle may be, it has to be delivering something useful and in this world of marketing noise one of the essential attributes of a decent campaign is “cut through” – without the big idea your media costs are going down the toilet. 

I was involved a few months ago in a debate about viral.  Someone (I can’t remember who now) suggested that viral marketing is a great way to piss money away and they are right.  Isn’t automation great?  Now you can lose a shed-load of cash and never leave your desk!  If you consider most of the viral campaigns you see, its clear that their originators think that being in this goovy new media environment is enough in itself.  They don’t stop to think that its a double-edged sword that’s gonna demonstrate what twats they are to gazillions rather than just millions of people if they don’t use it right.

What Now House did with their Christmas card was use the delivery vehicle in  a way that demonstrated their skills, reinforced their brand charater, was worth taking the time to open and seeded a viral chain that I am now, in January, still perpetuating – now that’s efficient marketing!

The sub-text to this is that if they are this switched on and still doing stuff with music then there must be something in not only this jingle thing, but the guys at Now House.

Guerrilla or Gorilla?

Guerrilla or Gorilla? is the title of one of the sections in my Full Effect Marketing seminars.  I have had a great deal of success with Guerrilla marketing, from dressing up actors like pantomime characters and placing them on public transport where they proclaimed the benefits of a product loudly and at length to packed carriages of travellers to scattering red shoes around a city and creating a treasure hunt, but I always love to see other people’s ideas.

This is the folk art of marketing communications and massively undervalued by most organisations.  I never get tired of the ideas that other folks come up with and found this on Speak Marketing and Sales I coudn’t resist sharing it with you.

The Brand as a Medium

Full Effect Marketing is all about efficiency, getting extra bang for your buck, stretching budgets, better ROI and for years I have been introducing my clients to the power of a well developed brand in the shape of revenue-generating partnerships. It’s not always going to finance a space shot, but as one of my favourite brands would say “every little helps”.

This is nothing new, of course “The Brand as a Medium” has been around for years. The stuff of loyalty scheme operators, supermarket retailers (where there’s far more appreciation of the concept of brand community anyway) web marketers and a few clued-in consumer brands, but it strikes me that it’s a concept that’s finally coming of age.

I have had conversations recently with a clutch of media owners about the potential of their brand communities. It seems they are all beginning to view themselves as integrated communications consultancies – a no-brainer in my book, but an opportunity that is really nowhere near harnessed by the owners of these brands – and mobile operators – folks with the same kind of opportunity, but far greater entrepreneurship, who are my tip for the next owners of this “space”, a space that, unlike the modest returns that some brand owners might settle for, knows no limit.

Talking of space, its all there in Jim Taylor’s “Space Race” and you don’t even need to read between the lines. Jim was quite clear that media owners would come to represent a real challenge to advertising agencies (remember them?) in the race to establish an integrated marketing model with a consulting approach, which you’ll not be surprised to hear is just how I feel it should be. Its not that traditional media are redundant, its just that with an ever-widening range of communications options and a growing understanding of what marketing is really all about, they take on a different relevance and we are using them in different ways.

I guess The Brand as a Medium was seeded in retail marketing where the brand over the door provided a showcase for the brands on the shelves and the key lesson, which remains the key to new players, was quickly learned – The company you keep will reflect on perceptions people have of you (your brand image). We’ve all received a warning at some time that someone might be “a decent sort of chap, but he mixes with some weird people”. A prestige retail brand stocking inferior product brands will quickly be relegated to the same league as its suppliers. The converse is also true of course – a social-climbing brand can gain a little lift by being seen in the right places. Again this is nothing new to fmcg manufactureres, but it applies equally in any sector. When I was at Saatchi & Satchi (the original and best) we often had organisations in crisis offer to give us their business because they knew that the announcement of the partnership would tend to buy them a little time from their creditors or even give their share-price a filip – hey, the good old days!

Supermarket retailers have in the past been the closest thing their suppliers could find to an integrated marketing communications solution. An fmcg brand could appear in the retailer’s advertising, door drops, DM pieces and TV spots, be a feature of in-store demos, in-store radio and TV, appear on floors, check-out conveyors, staff T-shirts, till receipts and more, all before the customer even arrived at the point-of-sale (Unilever call it “The path to purchase”). A communications solution like this is high value because the target is narrowly defined but people like Tesco took the definition even further with their data-rich Clubcard scheme. Integrated marketing like this builds relationships between all stakeholders, provides incremental sales for suppliers and additional revenue for the retailer. The good news is that any organisation can play in this space.

If your brand community is tight and loyal other brands will pay to mix it with you and yours. They know that the invitation alone is worth a premium because community members will at least give them a hearing, but be picky about who you invite – you can’t issue ASBOs to unruly guests and their behaviour will always impact on your credibility for better or worse.

Its an area that fascinates me (My retail heritage I guess) so for those of you who are suddenly intent on fully leveraging your brand I’m always up for a discussion on the subject. Meanwhile here are my top five pointers to success.

  1. Understand what “community” means
  2. Know your community members (customers, distributors, employees, advertisers etc.)
  3. Beware who you invite over (esp. partners, advertisers, contributors)
  4. Be sure to give value to everyone
  5. keep a grip on what you stand for (but understand that your community will continually evolve).

Welcome to the world of integrated media solution ownership!