Revitalizing a Wine Brand: Making Mateus Relevant Again

I was born in 1965 in Winnipeg, Manitoba. That sentence reads like a dual confession and I have one more to share before this is over but we will get to that shortly. Any how, from the 1960’s to 1990’s, wine took a backseat to beer and spirits in Canada. In Manitoba, Old Vienna beer and any rye brand dominated for decades. When wine did grace the table or flowed at a party, invariably it was Black Tower, Blue Nun, or Baby Duck.

Black Tower suggested Teutonic dominance with its once clay bottles. Blue Nun had a pleasing name and label that implied organized religion had blessed your choice. Baby Duck was hugely successful. It sold 8 million bottles in 1973 alone. The name prompted many imitators. In the 1970’s, you could buy Canada Duck, Love-A-Duck, Kool Duck, Daddy Duck, and Fuddle Duck (say this last one three times fast). One brand even tried a poorly thought-out deviation and went by the name of Cold Turkey.

With all due deference to Black Tower, Blue Nun, and Baby Duck, they were outclassed by a fourth 158243774_-mateus-rose-pink-wine-bottle-candle-brazil-nuts----1powerhouse. Do me a favour. Close your eyes. Now picture a wine bottle unlike the standard. In this one, the 750ml of wine was contained in a squat teardrop shape. Remember it? I am speaking of Mateus. Following consumption that bottle often housed a succession of candles in its tapered neck. Waxes of different colours would run together in pleasing collages. In Manitoba, drinking Mateus and displaying the empty bottle as part of your household decorating suggested European refinement at its best (I am not joking).

Now take a break and allow yourself an eye-roll or laugh. Everyone pokes fun at Mateus. They attack the quality of the wine and claim in a self-deprecating way just how silly they were to ever drink it in the first place. Still, this indicates a fond nostalgia that the brand has never capitalized on. In its heyday, Mateus sold 4 million cases annually in the United States alone. The wine’s owner, Sogrape, now makes less than 2 million cases a year in total. This, to me, is a huge opportunity.

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The Marketing of Advice: Lessons in Professional Services Marketing

How do you differentiate a law firm?

What makes an ad agency relevant?

How can you tell one accounting firm from another?

Can brand-building really help a consulting firm win more business?

The business of professional services is to take away problems and to capture benefits. This is why they exist. This applies law firms, consultancies, advertising agencies, architects, wealth management or private banking services, creative agencies, and accounting firms. If they do it right they are rewarded with long-term, mutually beneficial relationships.

Professional services are fascinating and offer amazing lessons in strategy and management for businesses in any industry. In fact, Tom Peters, management consultant and author, has said, “The professional service firm – with its obsession with clients and projects – must be the new organization model.”

Professional services are tough businesses and tough to brand. They offer intangibles that hopefully lead to tangibles and, in my professional experience, need help in branding, marketing and business development.

Professional Service Essence

Whether it be a consulting, accounting, law, advertising or architecture firm, common characteristics apply. Each involves a specialty that demands highly talented people (who can be highly demanding). Most firms also share the pursuit of a new and big idea that can be repeatable and trainable to efficiently and effectively grow revenue. And though their services are offered to a broad spectrum of clients, they must be delivered in a customized manner through high levels of face-to-face interaction.

The essence of professional services is that they prepare clients for the future, preempt the undesirable, control what can be controlled, and identify new opportunities.

Based on these commonalities, firms tend to share the same business model. They often rely on the notion of leverage in organizational design for profitability, structure and process, and career path strategies. They quickly develop the posture of being either a hunter or farmer. Then they endlessly debate how best to go to market and usually arrive at an unnecessarily complex matrix involving some combination of service, geography, industry, and/or client segmentation. This means they end up boring the market because they are talking to themselves.

The vast majority of firms are challenged to define their own strategy. Firms are dominated by those who react to any opportunity and any expression of interest from a prospective client, making them quite willing to deviate from “strategy.” Or they chase management and service fads. Or they bluntly apply defined service offerings to a broad range of client business problems, epitomizing the maxim, “If you only have a hammer, everything looks like a nail.”

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Jeff in The Globe and Mail on Canadian Brands

This article originally appeared in The Globe and Mail.

It works for Canada Goose, but how far can ‘made in Canada’ go? by Shelley White

Sun, sand and surf are not three things we’re internationally renowned for in Canada. Yet one of our hottest exports of the moment is Shan, a line of chic, high-end resort and swimwear that is designed and manufactured entirely in Laval, Que.

In addition to flagship stores in Montreal and Toronto, Shan has boutiques in Miami and the Hamptons, and 65 per cent of its revenue comes from the 30-odd countries it ships to, says Jean-François Sigouin, vice-president at Shan.

Shan is a line of high-end resort and swimwear that is designed and manufactured in Laval, Que., which allows it to retain full control over its product. As 65 per cent of its revenue comes from abroad, the “Made in Canada” brand works for the company because its international buyers recognize that to mean quality, the company says.

The suits aren’t cheap – they run about $300 each – but that’s sort of the point, says Mr. Sigouin.

“The philosophy of the brand is to offer quality instead of quantity,” he says. By manufacturing in Laval instead of overseas, the company has full control over its product. “We are totally vertically integrated from the design to production to retail because we have everything in the same building.”

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Top-Drawer Business Books of 2016

Too many business book lists are narrow in definition. As Robert Weider said, “Anyone can look for fashion in a boutique or history in a museum. The creative person looks for history in a hardware store and fashion in an airport.” The Top-Drawer list is less traditional. That is why the list includes, and is sometimes dominated by, books not categorized purely as “business”.

We always avoid books promising four-hour workweeks because they are fables, over-simplified and prescriptive how-to works that are vacuous and dangerous, and so-called inspirational books that are trite, lite and ineffectual. These are all tossed aside when one experiences the blunt adversities found in actual commerce.

There are no shortcuts or magic panaceas in business. We have to do the work even when reading. As John Locke stated, “Reading furnishes the mind only with materials of knowledge; it is thinking that makes what we read ours.” We encourage you to read the selections here and make the knowledge yours.

The list includes books released in 2016 that are top-of-mind, notable, relevant, well written, applicable, thought-provoking, and innovative. Our last bit of criteria makes the selections tougher to determine and that is timelessness of content. We love sharing the Top-Drawer list because so much of success in business is predicated on great storytelling and these selections exemplify that skill.

This year 13 make our list and are presented in no particular order. For the first time, fiction efforts are included for the amazing lessons they carry if one is open to the education. For fun, we have included a separate list of 8 timeless business novels.

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The Best in Narrative Psychology

When you meet someone for the first time or reconnect with an old friend or go to a dinner party what takes place? Think of any situation where you are interacting with others. We share an anecdote from our day at the dinner party. We tell that old friend about what has taken place with our family and career. We attempt to connect with someone new by conveying our experiences and interests. This does not mean listing or dating activities. In every instance we use storytelling to communicate, engage, and relate.

Storytelling helps us make sense of our lives and the world around us. They are an incredibly effective method of finding and sharing meaning and context. Mary Catherine Bateson, writer and cultural anthropologist, believes that, “The human species thinks in metaphors and learns through stories.” We are hardwired for stories because we have been telling them for centuries.

Marketing and advertising practitioners continue to debate the application of storytelling in business. The most voracious advocates cannot see past the construct and even the hardiest critics employ storytelling. So why all this sharing of tales? Stories inspire and motivate. Stories make ideas stick. Stories persuade. Stories educate and entertain. That makes for good marketing.

A few years back at the Festival of Creativity in Cannes I had the pleasure of interviewing Arianna Huffington, Co-founder and Editor-in-Chief, of The Huffington Post. It was also a challenge as her handlers held me to just three questions. She once said, “People think in stories, not statistics, and marketers need to be master storytellers.”

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The Reason Ad Folks are Unhappy

In the Mad Men television series, Harry Crane of Sterling Cooper helps out Paul Kinsey, a former colleague. Kinsey lost his copywriting position at the agency and went on to successively fail at McCann, Y&R, K&E, and B&B before going in-house at grocer A&P. When that didn’t work out he joined the Hare Krishna.

Crane is largely an unsympathetic person but he shows empathy for Kinsey. Crane says to Peggy Olson, “Don’t you know how lucky we are?” Crane cannot believe his hare-krishna-diner-mad-men-640x448own good fortune in the agency world. This episode and much of the series examines those in advertising who make it and those who do not. Mad Men beats up the profession while simultaneously aggrandizing the ad world.

The show profiled tensions and issues that persist to this day. A big one is employee morale. CampaignUS recently shone the light on growing unhappiness. On October 24, 2016 they published their 2nd Annual Morale Survey.

It found that nearly half of agency employees suffer from poor morale. Forty-seven percent of employees rated their morale as either “low” (31%) or “dangerously low” (16%). That is up 36% from the previous year. As alarming is the fact that 63% of those claiming poor morale were actively job-hunting. One assumes that means not switching to another agency.

On the same day (a cool coincidence) Advertising Age published an article titled, These Are the 50 Companies Creatives Would ‘Kill to Work for Full Time’. It covered the survey conducted by Working Not Working. Twenty-four of the fifty companies identified were not agencies.

Creative folks would much rather be at Vice, Spotify, Tesla, National Geographic, or Nike over McCann, JWT, Leo Burnett, Y&R, or Ogilvy.

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Narrative Psychology in Brand Storytelling

Let me tell you a story. It’s a bit about our past. A bit about our future but more importantly, it concerns what is happening right now. It is also a story that nears 2,500 words because our complex world cannot be dumbed downed, reduced to a vague tagline, summed in a 140 character tweet, or captured in an oversimplified to-do list. True learning and understanding requires time and effort so heat the kettle or uncork a bottle and enjoy.

Marketing and advertising agencies claim to be professional storytellers. Methodologies at agencies deliver a brand story as part of engagements. Creative briefs bring the story to life. Agencies pump out papers on the subject and profile case studies where the story is key to client success. Within the industry, marketing conferences make room for storytelling as part of the agenda. Media and publications write on the topic with frequency. Storytelling permeates the profession.

Still, storytelling is constantly critiqued. It is viewed broadly as integral, over-used, irrelevant, or even dead. Storytelling is constantly evolving in interesting ways. Here are three changes taking place in business storytelling:

They Don’t Tell: by its very definition, storytelling is broadcast in nature. We tell a tale. It is ‘one-to-many’ like the Mad Men era of advertising. We know that no longer works. Stories must now invite consumers in and let them be both character and storyteller. It is now about storyparticipation not passive absorption.

They Are Organic: the best brand stories take root organically and get consumers involved. Then they really evolve. This scares traditional marketers. They fear ceding control. Still they control context and that is critical. Context provides the story’s framework. Granted it is a bit of a wild ride when consumers help build the story but this is what is taking place with Uber and Airbnb and has taken place with Apple and Red Bull.

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100 Staff: An Advertising Agency Tipping Point

Starting any business is a bold move. Not all survive and few truly thrive. Those that do face the challenges of managing growth and staying true to what made them successful in the first place. This is an interesting tension that I recently discovered in working with four advertising agencies.

These businesses had grown to 100 or more staff. Of course, that metric in, and of itself, is not an indicator of sustained success. The good news is the agency leaders know that. In fact, these leaders were concerned because interesting things happen when the payroll hits 100. Here are some issues that arise:

  • Agencies of 15 or 30 or even 75 employees possess a start-up or boutique feel. When you hit 100 this weirdly begins to dissipate.
  • You don’t know everyone any more. Small agencies talk of being saatchi-saatchi-office-funkt-1“family” where everyone has each other’s back. While a strong culture can keep this rolling as staff size grows, it cannot mitigate the realities of being larger. This is compounded when they open up other offices.
  • A bigger payroll and presence prompts new business pressures. This can mean chasing the wrong work to keep the machine humming.
  • Founders and principals move from client service oversight to functional roles. Marketing, people, service and product development and other areas need full-time leadership. This transition can be bumpy and skill-sets are stretched.
  • Specialisms and differentiators begin to lose their luster. You simply cannot make the same claims. Being “nimble”, as an example, gets called in to question.

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Every Agency Needs to Obsess About Loyalty

The company, Access Development, tracked and recorded, and recently shared every publicly available piece of data available concerning customer engagement and loyalty. They call it the Ultimate Collection of Loyalty Statistics. These data points, insights and themes are interesting unto themselves but add up to one big fat fact they did not note…any marketing business is in the business of loyalty.

I mean advertising agencies, marketing consultancies, public relations firms, market research bureaus, digital agencies, performance marketing shops, telemarketers, brand consultancies, social media marketers, media buying services, promotional material providers, influencer and celebrity marketing 200464106-001advisors…well, you get the idea. Any agency, firm or service that is in the business of marketing exists for one purpose. Of course, this includes those prescient to be specifically in the business of loyalty marketing.

The past, present and future of marketing has and will always hinge on loyalty. No company wants a one-time customer. Even businesses selling bomb shelters in the 1950’s wanted a client’s second home or to upgrade the first. Apple wants to sell customers a new cellphone every time there is a new release or every 22 months which is the smartphone adoption average.

Agencies and consultancies continue to talk about brand positioning, awareness, consideration and trial. Important stuff for sure but only the start. All efforts and spend should have loyalty as the end goal. Anything else is a dodge, a feint, a run from the real focus and fight.

Not one single advertising agency, brand consultancy, PR firm, media buyer is really talking about loyalty.

I see not one single advertising agency, brand consultancy, PR firm, media buyer talking about loyalty. This leads to churn, inefficiency, ineffectiveness and the regurgitation of the same ideas whose only result is a client’s frustration and dissatisfaction…and poor results.

Why spend money on branding and advertising if not to have repeat customers?

Let me say it again, no company wants a one-time customer. That is why marketing’s purpose is loyalty. You only need to give a cursory examination of Access Development’s aggregation to arrive at the same conclusion. We thank them for the following…and for also proving loyalty programs are a tactic not a strategy.

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What Ungava Gin Has To Do Now

I first tried Ungava gin about three years ago. We live in Mont Tremblant, Quebec and the local Société des alcools du Québec (SAQ) was showcasing this home province concoction. To tell the truth, the color of the product was a tad off putting. Rarely do you see a gin that resembles a substantial urine sample. According to the company website, “six rare botanicals give Ungava Canadian ungava-bottlePremium Gin its particular aroma and colouring.” Suffice it to say, it is yellow.

I am a vodka man but love a G&T in the summer. Vodkas are largely undifferentiated to me in taste. Perhaps I have burnt out my taste buds but I cannot really distinguish between a Stoli, Grey Goose or Absolut. Yet, when it comes to gins, I taste the difference.

In the case of Ungava gin, it is distinct. It is both rich and smooth. The marketing speak about rare botanicals has truth to it. There is a pleasing complexity in the mixture. The site claims, “an original recipe is produced in a traditional way: Nordic juniper, wild rose hips, cloudberry, crowberry, arctic blend and Labrador tea are naturally steeped until the gin takes on its complex flavour and distinctive sunny hue.” Sunny hue is a much kinder description than urine.

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