How Do You Like To Be Marketed To?

There is evidence that people enjoy a series of articles versus an advertisement. In fact, 70% say content marketing makes them feel closer to the sponsoring company, while 60% believe it helps them make better product decisions (Roper Public Affairs). This has given rise to “content marketing”. According to The Content Marketing Institute it is “an approach focused on creating and distributing valuable, relevant, and consistent content to attract and retain a clearly-defined audience — and, ultimately, to drive profitable customer action.”

What is amazing about content marketing is the impression that it is new. Apparently, content marketing’s purpose is to attract and retain customers by consistently creating and curating relevant and valuable content with the intention of changing or enhancing their behaviour. That has been the intention of good, old plain marketing since mankind first traded.

If you look at one page advertisements from the early 20th century, content marketing was in great evidence. Marketers told stories in that space. Often these were a series of how-to’s tumblr_nabiqgMYup1r0hb8ro1_1280exclaiming the benefits of a product or service. Both Heinz and Jell-O put out groundbreaking recipe books that instructed consumers how to integrate their products into meals.

Most of this long-form marketing was basically eradicated during the Mad Men era when complex ideas were oversimplified and ads focused on style over substance. Long-form marketing differs by crediting the consumer with intelligence and invites them to learn more. In this age of 140 character communications, long-form marketing has a place as an engaging disrupter.

SONY DSCBlogs, white papers and even websites are long-form marketing types. Yet, it is not the channel that is important, it is the content. People are not looking to be sold. They are looking for valuable content that educates and allows them to make a more informed decision. This is fantastic because marketing communications has become to clever for its own good. Ironically, creativity often obfuscates the entire effort. Marketing is about selling but too often, as David Ogilvy lamented, it is executed solely as entertainment.

Personally, I am pleased that long-form or rich content marketing is back. There are great examples out there including:

American Express OPEN Forum

amexbooming3Businesses of any size can learn something from the OPEN Forum posts by American Express. Posts center around leadership, customer service, marketing, and technology, and they position American Express as a true partner to business owners. It is turning into a LinkedIn of sorts.

 

Virgin Atlantic’s Curated Instagram Galleries

Virgin Atlantic’s blog is filled with engaging travel content including must-see sights in various cities and visually interesting galleries. The galleries are curated photos from various Instagrammers that offer quick peeks at the culture. Virgin also offers busy business travellers their “Between Meetings” blog series that looks at ways of filling the time with cool ideas.

Callaway Golf’s YouTube Channel

Callaway Golf has done something amazing on YouTube. It provides excellent content that is not salesy or promotional. They showcase videos like how to hit a bump and run and vertical centers of gravity in golf drivers. You don’t have to be a Callaway customer to benefit from this content, and next time you’re purchasing a golf club, you might just consider Callaway for their know-how and generosity.

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Arcade Fire’s Fan-Sourced Gallery

One way to create content without much in-house effort is crowd-sourcing. Arcade Fire asked fans to submit their own photos of the band’s Reflektor tour, and in return, the photos could wind up on Arcade Fire’s Facebook page and website. This was a win for both the band and fans, as the website benefited from new photography, and fans could earn a spotlight on their favorite band’s online properties.

Random House’s Literary Inspiration

Random House has wonderfully embraced Pinterest. They have started several Pinterest board titles including The Literary Imbiber, What Would Jane Austen Do?, Bookish Nooks, Literary Tattoos, Literary Wedding, and Best Book Covers. Random House doesn’t write all the articles or create all the images but curating them for fans in a one-stop book-lover’s shop is a surefire win. They now have nearly 2 million Pinterest followers.

Intel’s IQ

A classic example of great B2B content marketing, Intel runs a blog called IQ that’s “a peek at the outer edge of design, technology, social and big data.” The blog is largely based on content curated by employees. IQ’s editor in chief, Bryan Rhoads, says: “We developed an algorithm to curate social content in a way that leverages our employees. We want to publish what they’re sharing and what’s grabbing their attention. It’s a combination of a social algorithm, plus an employee filter that crowdsources what they are saying and sharing, and uses that as a discovery tool.”

New Belgium’s Brew Blog

Denver’s New Belgium Brewing blog showcases the brand’s adventurous, fun-loving 14583839577_72f14408d8_c11energy. Recent posts show customer-centered events (like the Tour de Fat), food and beer pairing ideas, and fetching photography of beer fans and brewers alike. And you won’t see any long lulls of silence from New Belgium; they update their blog at least once a week, which gives readers a reason to come back and check often for updates. The approach is a crash course in how to make an audience feel connected to a brand, no matter where they are in the world.

These are cool examples and there are plenty more. Perhaps too many more. Companies have run to content marketing. Marketing Profs reported that 73% of B2B companies produced more content marketing in both 2013 and 2014. So what has been promised as a clear alternative to traditional marketing and advertising may now contributing to the clutter and white noise. Thankfully the best ideas that are well executed are standing out. Those efforts are providing relevant and valuable content and that is what consumers want.

Branding Needs Rebranding

The past fifteen years has been amazing for the practice and profession of branding. Its influence and application is undisputed. Branding is now a primary consideration and investment for any business or organization. It is also part of society’s generally accepted lexicon. For fun, over the next few days I ask you to keep track of how many times you hear the word “brand” in any context and how often you say it. You will be amazed at the number especially given that twenty years ago you would be hard-pressed to hear it at all.

To be fair and accurate, branding did not come out of the blue. Arguably, it has been around in a commercial sense for centuries. In the mid 20th century branding was first documented and formalized through the efforts of Procter & Gamble and other consumer products companies. For theiStock_000016171352XSmall next fifty years that is where branding remained. It was mostly applied to cars, colas and confectionary.

At the turn of this century branding exploded. It was soon employed by every type of business and organization (and in too many contexts and situations). Curiously, there is precious little thinking or writing on why this happened. Let me take a stab at it. Think back to 2000 and 2001 before the Dotcom bust.

  • it was a time of “irrational exuberance”. Capital was flowing and it over filled traditional marketing and advertising budgets. That money needed a place to go and it went to branding and brand consultants who sprung up in great numbers with a fresh value proposition. They promised to take a commodity service or product and make it into a category all its own
  • eCommerce and digital businesses began disrupting traditional models so branding was employed to help with the introduction of these offers to consumers more comfortable with how things had always been
  • marketing was stale and advertising was an expensive black hole of debatable benefit. Branding promised to cut through the ever growing clutter and do so efficiently. The idea being it could provide much more than an incremental gains associated with standard marketing campaigns and would do so at a lower cost
  • consumers were tired of being sold. Customer sophistication and greater choice forced companies to move away from the paternalistic broadcast model and seek ways to offer highly personalized and differential value
  • everyone needed a website. Today you can develop a robust, appealing site for a few thousand dollars. In the early 2000’s, sites cost businesses hundreds of thousands of dollars providing great margins to consultants who took that cash and broadened their service offerings and spread the gospel of branding
  • branding was new and if there is anything marketers like, it is a shiny new toy (this always comes at the expense of the tried and true)

Before you knew it “brand” was everywhere. Prior to 2000 there had been a handful of books on the subject. I lost count after finding forty-one works on branding published in 2014. Eleven have already been released in January of this year. The majority on the subject came out between 2007 and 2010 (and if you read three, you read them all). Soon conferences dedicated to branding were the norm. I Branding-and-Marketing-Discovery-Workshop-2have attended or spoken at over sixty in the last fifteen years. Courses, classes, and degrees blossomed in secondary, post-secondary, and executive education programs. Papers, articles and case studies on branding became too numerous to count.

It did not take long for people in business to state and parrot, “everything you do defines your brand”, “brands are experiences”, “your brand is your promise”. People began talking about and building their own brand (how that differs from ones’s personality and character has never been properly outlined or justified). While working at Interbrand, I penned a piece in 2003 fearing that “brand” was becoming a buzzword, “an important-sounding usually technical word or phrase often of little meaning used chiefly to impress laymen” or “a word used in a particular jargon that gains a wider, fashionable, currency”.

“a word used in a particular jargon that gains a wider, fashionable, currency”.

The branding industry must receive its due. It succeeded in making branding ubiquitous and synonymous with standing out but hurt itself due to that very ubiquity. It made itself out to be the magic elixir for any business situation and it was then that I, like many, expressed concerns with how we were positioning the practice and profession. Caution was not heeded. More and more briefs from more and more companies came in wanting “branding”.

This reminds me of a story from my Price Waterhouse days. In the mid 1990’s I was a marketing consultant at the firm. Fads of the management kind were big then including six sigma, reengineering, management by walking around, emotional intelligence, and TQM. The latter prompted a CEO to famously demand, “Get me one of those total quality management programs.” This has always been my biggest fear with branding.

The concept known as Maslow’s hammer definitely applies to branding. It is an over-reliance on a familiar tool. Abraham Maslow, the father of the famous hierarchy, said, “I suppose it is tempting, if hammerthe only tool you have is a hammer, to treat everything as if it were a nail.” This is when branding should have disciplined and schooled itself to maintain relevance. But remember, it had become an industry and it was growing.

Today, branding has become what advertising was in the Mad Men era. Highly stylized, shiny, and cool but largely standardized, prescribed and frequently devoid of substantiated benefit. When the ad industry was attacked for similar concerns it developed more and more award shows in attempt to prove its value. No other industry rewards itself more than advertising, not even the entertainment industry. Saucy pundits suggest this stems from an insecurity of being found out.

The branding industry has burnished its reputation in a different way. You may have noticed an abundance and growing list of brand rankings. This has resulted in a website that itemizes and ranks the aggregate of all published brand rankings (www.rankingthebrands.com). It lists sixty in one category alone. In total there are two hundred and eighty rankings on the site. The consultancies, research houses, and media outlets are doing branding a disservice with all these lists of “top” brands. It is beginning to look defensive.

Now it is time for an overdue confession. I have made my career in branding and marketing. I have written, spoken and consulted on the subject and still do. I have been a pioneer, an unabashed proponent, and fan of branding. But here is the difference. My definition of branding differs from the all encompassing fix-all and pop culture sugar pill it is drifting alarmingly towards.

My definition of branding differs from the all encompassing fix-all and pop culture sugar pill it is drifting alarmingly towards.

Branding is a highly strategic and creative lever or tool (but one of many). It needs to be wielded as a rapier not a broadsword (it is not a panacea). It has to prove return (tangible results talk). What attracted me to the profession and what keeps me engaged in the practice is how it facilitates the connection and builds the relationship between real people, not consumers, with a brand.

Whereas marketing speaks at you and tells you what to do and buy, branding looks for a fit. It credits Heart-of-brands-2people with intellect and reason. It respects. On all levels this appeals to me even in the commercial sense. Something we professionals do not emphasize enough is how branding, when done right, produces and rewards loyalty for both sides in the relationship. If there is magic, then this is the magic of branding.

Unfortunately, most of the branding practiced today is more like the stale marketing and questionable advertising it once promised to supplant. When you become an industry, things change. Big business means big compromise. Branding now runs the risk of compromising the values that it originally professed. It has certainly impacted quality. The old expression that states that the ‘way in which the mill operates becomes more important than the flour it produces’ applies to much of the branding we see today.

Branding is now a factory. An assembly line. Consultants make money in repeatable, familiar processes. Methodologies equal margin. What spits off the end of that assembly line is all too similar. This is sadly ironic given differentiation is a key component of branding. And here lies the rub, there is precious little differentiation in the practice and profession of branding today.

There is precious little differentiation in the practice and profession of branding today.

Those who deliver branding are increasingly undifferentiated. Price is becoming the preeminent determinant of brand consulting services rather than the overall value these firms promote which is said to be made up of expertise, creativity, industry knowledge, global reach, relevance, among other previously germane factors.

Pricing pressures may only seem to impact those offering branding services. That is not true. It impacts the profession. Now many of the big shops offer their services at a discount. They say this is to assist start-up businesses who have tight budgets but that is not true. Professional service branding is standing on a precipice. Lower fees and taking margin haircuts is recognition that the 34c1ca5c032395378f3bf4ab7aabe9f7market doubts your value and has begun to look elsewhere for solutions.

There is plenty of analysis and writing on branding at a theoretical level (actually far too much). So much so that it is generic and bland with few new insights. The same undeniable drivel is repeated over and over. What we need is much more analysis and writing on the profession and delivery of branding. Trusted brands are ones that behave like people, showing empathy and being open, real and even flawed. One pillar of branding has always been authenticity. So let’s get real.

We need to return to the principles of branding laid out fifteen years ago but with all of the knowledge and communications tools we have today. In short, we need to rebrand branding. Branding is not a fifteen year fad. It will live on. But only if it can credit people with intellect and reason. Only if it respects. When done right, it can produce and reward loyalty for both sides in the relationship. This is the magic of branding.

Cheers!

Jeff Swystun

 

Spam’s Last Marketing Frontier

What do you think of when you hear the word “Spam”? And let me clarify that I am talking about the tinned variety. We will get to intrusive communications in due course. For most of Spam’s 78-year history, the product has been disparaged and dismissed as inedible and “Something Posing As Meat” or “Scientifically Processed Animal Matter”. Yet, more than eight billion cans have been sold since Hormel launched the product in 1937.

Americans buy 113 million cans of Spam annually. This means 3.8 cans are consumed every canssecond in the United States. To keep up with demand, the slaughterhouse next to the Hormel plant in Austin, Minnesota butchers 20,000 pigs a day. So how can we reconcile what is bashed so publicly with what is bought in such mass amounts?

Spam was successful out of the gate having grabbed 18% market share in its first year of sales. By 1940, over 70% of Americans had tried Spam which on any measure is incredible. This was largely attributed to an economy still suffering from the Depression and it began Spam’s longstanding association with low-cost and frugality. Sales still spike when times are tough.

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The Real Impact of Netflix

In order to read this and have a true cathartic and life-changing experience, you must first be honest by answering these three questions:

Did you watch all seasons of Breaking Bad in less than two weeks?

Did you ever tell your significant other that you were working or working out when really you ate a bag of chips and watched The Expendables or The Devil Wears Prada (and you hid the empty bag at the bottom of the garbage)?

Did you ever watch ahead of your partner in the series Nashville or Veronica Mars but then pretended it was all new when you watched it together?

It has only been seven years since Netflix began to alter society. Now they have over 50 million subscribers in over 40 countries. Netflix and other streaming services have broken traditional business models, democratized content, and empowered consumers. It has also changed our watching habits.

93 minutes: average time watched by a Netflix subscriber per day

1 billion: number of hours per month all subscribers watch Netflix

61%: percentage of subscribers who admit to binge watching

80%: television shows account for largest percentage of all watching

88%: percentage of subscribers who watch three or more episodes of a TV show in a single day

If you answered yes to any or all of the questions at the start of this article, you are not alone. Netflix’s influence and impact is amazing and has been well covered. Sociologists have explored the sense of entitlement that results when we getnetflix-movies-expiring-jan-2014 what we want when we want it. The business press has trumpeted the bundle business model that underlines Netflix’s success.

Addiction specialists have explored binge watching relating it to drinking and taking drugs, “It’s like you’re punch drunk, and saying ‘come on feed me another one,” says Greg Dillon, professor of psychiatry at Weill Cornell Medical College. Netflix has made binging easy now. Television shows play automatically one after another. I know of several people who have watched all of Orange is the New Black in one day.

This leads to the two impacts no one has yet talked about. First up is normalization. These new (seemingly excessive) watching habits were not bragged about just a short time ago. Personally, I never came clean to anyone that I watched all seasons of Community, The Unit and Family Guy while traveling for business. Or that I have watched the movies The Rock, Predators, and Olympus Has Fallen way more than once. Read more

Brand as Religion

Years ago a study was released proving that children recognized brand logos more so than symbols of century-old religions. The McDonalds’ Golden Arches was called out more readily than the Christian cross. This made for great fodder in the press at the time with many pundits decrying the shameful state of civilization but the dismay was short-lived.

Religion of all stripes and types are horribly outspent from a media perspective by big brands and, in the case of fast food, the fervent will visit a Burger King or KFC much more often than the occasional Sunday service. Churches, 234-ronald-mcdonalds-waisynagogues and mosques have been outnumbered for decades.

Branding has always been about belonging to a club. Brands provide a vessel of perceived shared values and a homogeneity that our tribal natures desire. To put this in context I often joke about the skateboarder and snowboarder tribes asking ‘Why do they all dress the same?’ The sarcastic but accurate answer is, ‘To be different’.

In the past few years I have been exposed to the Ironman phenomena. These grueling contests see participants swim 2.4-miles (3.86 km), bike 112-miles (180.25 km) and run a 26.2-mile marathon (42.2 km). Mont Tremblant, Quebec, where I make my home, has begun hosting Ironman events making a name for itself as a mecca for triathletes (note my deliberate use of “mecca”). The area has now held several Ironmen including the North American Championship in 2014.

My wife and I have volunteered to help out several times serving as security, banquet server, and bike course monitors. We have also been happy to cheer on the sweaty competitors before we retire to our deck for a triathlon of cocktails. In all seriousness, our catbird seat has allowed for some interesting observations about Ironman or what I term an “event and achievement brand”.

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Freshly Squeezed: Lessons from the Lemonade Stand

Jeff Swystun drinks more than his share of lemonade to bring you this piece…

The dependable lemonade stand is not only an enduring summer icon but also a slice piece of trade rich with business lessons. This past summer I made a point of stopping at those I spotted. I learned that the exchange of flavored water for a few coins may appear simple but represents aspects critical to business. If you look closely the humble stand provides a mini-MBA covering funding, strategy, production, marketing, customer service and reinvestment. It all starts with thinking about the lemonade stand “industry” which is:

Fiercely competitive with low barriers to entry

Both seasonal and weather dependent

Reliant on a commodity, easily substituted product

Seemingly undifferentiated overall

Unattractive from a revenue and profit perspective

For each of these conditions, one has to tailor the business to succeed. As daunting an industry as it is this has not stopped thousands of young people from starting them up each and every summer. Here are five lessons for your children and your own enterprises.

Delight with a Superior Product

Of course, we will all part with our loose change to help out a tiny entrepreneur. But if the lemonade is tart, weak, overly sweet or thimble size we will force a smile, wish them luck and complain about the product back in our car or as lemonade-stand_5we cycle away. This reaction is no different from any other disappointing purchase. I have gone back to a stand twice if the lemonade is legitimately pleasing in taste.

A superior product differentiates, communicates care and quality, provides value in the exchange, engenders loyalty and prompts word-of-mouth.

Pick a Smart Spot

Location has always been critical to business. As a child, I ran a stand at my home in Winnipeg, Canada situated on a quiet street and later that day while dumping the warm, unsold liquid treat down the drain vowed to learn from the experience. The next time I loaded up my wagon, trundled half a mile, and set up outside the gates of The Tuxedo Golf Club. With that experience I learned another lesson – have adequate stock. My location was so good that the would-be Tiger Woods cleaned me out fast.

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Every Brand Is A Story…

Make yours a bestseller. This print campaign for our own agency was well received on Facebook and LinkedIn (it is its own mini-case study).

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Sheerly You’re Joking

Losing $67 million on a massive recall of one of your signature products is serious business. More sheer than normal products, dye leaking from some of the brightly colored pieces and other quality issues are undeniably serious.

So Lululemon Athletica Inc. has responded very seriously. Chief product officer Sheree Waterson has been let go. The company apologized to customers and investors. It changed its manufacturing and quality control processes.downwarddog-300

In short, it responded like it’s Tylenol or Toyota.

But it is not. Lululemon is a yoga lifestyle brand. Inherent in that is some degree of brevity and lightheartedness. I understand that its mission is tied to health and wellness and that it is a significant business, but let’s face it, it’s not a pharmaceutical company. Read more