Category Archive: Beloved Brands in the Market

Retailers are destroying Black Friday

Black-Friday-LineFor the past 20 years, it has been a tradition for american families to plan out their friday after US Thanksgiving by hitting the malls as the kickoff to Christmas season. For us too lazy to get up at 5am, it has been fun to watch on TV, seeing doors flung open with screaming people trampling each other trying to get to those door crasher specials. Whether you like the idea of “Black Friday” or not, retailers are doing what they do best:  taking a good thing and messing it up.  

Last year, we saw “Black Friday” ads on the Monday of Thanksgiving. This year, we saw them the week before. The problem when you mess with Black Friday is that you lose the buzz and excitement. You also lose the irrational consumer behavior brought about by the energy of the moment. So Black Friday used to mean getting up at 5am, running through the store to grab that Samsung TV for $179 by 6:15am and then adding a TV stand and gold-plated cables at full price on the way out of the store. Just like any emotion, causing consumers to feel more and think less puts the power into the hands of the brand. Retailers were winning this transaction. That’s gone if you do your sale over 10 days. You are just giving consumers time to think, search other websites and come to a rational decision. Now with time on their side, consumers can shop around for a week, review the specs on the TV and figure out that it has been down-graded with a lack of features, determine the gold-plated cables are a waste of money and just go to IKEA for the TV stand. Maybe they can even talk themselves out of the TV!!!  Why? Because now they can use their brain. After all, that buzz is gone.

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Another crazy trend is the idea that retailers open on Thanksgiving evening. Retailers are always trying to get a leg up, so they are now all trying to open when no one else is open. And yet with a low barrier to copy, they all just follow each other and negate any advantage. Last year the trend started where major retailers including Wal-Mart, Target, Best Buy and Sears opened on Thanksgiving Day–the night before Black Friday. This won’t mean a jump in revenues it just means revenues will be brought forward one day. Yes, retailers have this belief that it’s a constant dog-fight for sales, and if one my competitor gets a leg-up, that means a loss to me. Retailers are facing such pressure during these economic times so I’m somewhat sympathetic. Margins are shrinking and many retailers basically make or break their year during Thanksgiving and New Years. So I can understand the temptation. Before we get into the ethical part of opening, let’s look logically at the 8 ways a brand can make more profit: 1) increasing prices 2) getting consumers to trade up 3) lowering your cost of goods 4) lowering your marketing costs 5) stealing other users 6) getting users to use more 7) entering new categories and 8) getting new users. I realize it’s all about stealing other users. But if both competitors blink and open at 8pm on Thanksgiving, no one really wins over the consumer. The only thing I see here is a slight increase in the costs of increased wages and store opening costs. Net net, no one really wins.Slide1

So at the year end, no retailer will really be saying “we had a great year because we opened on Thanksgiving Day”. But come on guys, while your press releases are saying that you’re really just “catering to consumer demand”, we business people know that’s BS. I’d rather see all Americans sitting around the dinner table and watching football (go Patriots) with family and friends. If families are your main target market, you should be making a big deal out of the fact that you are closed so that all employees can spend time with their families. That’s a great way to establish love for your brand. My Hope is the Retailers Announcer Early that they will be closed on Thanksgiving 2015!!!

To all our American Friends, I want to wish you and your families a Happy Thanksgiving

At Beloved Brands, we run a Brand Leadership Center to train marketers in all aspects of marketing from strategic thinking, analysis, writing brand plans, creative briefs and reports, judging advertising and media. To read more on strategy, here is a workshop on HOW TO CREATE A BELOVED BRAND, click on the powerpoint presentation below:

We make brands better.

We make brand leaders better.™

We offer brand coaching, where we promise to make your brand better by listening to the issues, providing advice that challenges you, and coaching you along a strategic pathway to reaching your brand’s full potential. For our brand leader training, we promise to make your team of brand leaders better, by teaching sound marketing fundamentals and challenging to push for greatness so that they can unleash their full potential. Feel free to add me on Linked In, or follow me on Twitter at @belovedbrands If you need to contact me, email me at graham@beloved-brands.com or phone me at 416 885 3911

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Beautiful Ads that pay tribute to our Veterans will bring a tear to your eye

poppyToday is Remembrance Day in Canada–a day we pay honour to our veterans from the wars in our history and sadly even today. These young soldiers fight for our freedom.  

Remembrance Day (also known as Poppy Day) is a memorial day observed in Commonwealth of Nations member states since the end of the First World War to remember the members of their armed forces who have died in the line of duty. Remembrance Day is observed on 11 November to recall the end of hostilities of World War I on that date in 1918, as hostilities formally ended “at the 11th hour of the 11th day of the 11th month”.  Every Canadian kid learns about “In Flanders Fields”, which is a war poem, written during the First World War by Canadian physician Lieutenant Colonel John McCrae (November 30, 1872 – January 28, 1918) who was a Canadian poet, physician, author, artist and soldier during World War I, and a surgeon during the Second Battle of Ypres, in Belgium.  He was inspired to write “In Flanders Fields” on May 3, 1915, after presiding over the funeral of friend and fellow soldier Alexis Helmer, who died in the Second Battle of Ypres. According to legend, fellow soldiers retrieved the poem after McCrae, initially dissatisfied with his work, discarded it. “In Flanders Fields” was first published on December 8 of that year in the London-based magazine Punch. flanders-fieldThe red remembrance poppy has become a familiar emblem of Remembrance Day due to the poem In Flanders Fields. These poppies bloomed across some of the worst battlefields of Flanders in World War I, their brilliant red colour became a symbol for the blood spilled in the war.

Here are some beautiful ads that pay tribute to the veterans and war heroes.

This ad from Bell in Canada, from the 1990s pays tribute to a war hero from Dieppe in World War II.  

This ad from Guinness called “Empty Chair” is a nice quiet tribute to a soldier, awaiting their return home.

Budweiser has done quite a few ads to salute our heroes of war, but “Welcome Home Troops” in 2006 is so simple, no words are needed.

At 11am, in my hometown of Ottawa, 80,000 people will gather at the War Memorial for a moment of silence. Last month, an unarmed solider Cpl. Nathan Cirillo, only 24 years old was shot in the back as he guarded this war memorial.  Today, we will honour his memory along with all those soldiers lost to war.  

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LEST WE FORGET

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UK retailer John Lewis returns to form with a beautiful 2014 Christmas ad

imagesJohn Lewis Christmas ads use beautiful music, a movie-like storyline that demonstrates the beauty of gift giving, stretched out over 90 seconds. No words are needed to tell the story. They are not loaded with so much branding that they would turn you off before inviting you in.  The John Lewis ads take you on a journey with a slight twist at the end as they tug at the heart and bring a reminder of what the season is all about:  the gift of Giving. 

This year’s John Lewis ad is a nice throw-back, almost a hint to the innocence of yesteryear. The kid in the ad has no video games, cell phones or wifi issues. There’s a bit of old-school romance and a cute twist at the end.  But for John Lewis, it’s also a throw-back to the ads of 2009-2011, those years when the John Lewis Christmas ads really broke through with an innocence, simplicity and nice twist.  This year’s “Monty the Penguin” follows that formula, as it follows the life of a boy preparing for Christmas, with a great old song (John Lennon’s “Real Love”) covered by with a young singer (Tom Odell).

Here’s the ad

 

The John Lewis Christmas Series

John Lewis has been doing these Christmas ads for years now.  People around the world, including myself, are now starting to look for them each year.  I know when you run a long running campaign, it takes a lot of creativity to keep it going.  It has a nice song and a twist at the end.  My only complaint is that they are moving away from what first gave me goose bumps. 

For me best one was 2011, about the boy who couldn’t wait for Christmas

This is also a great one from 2010

And you can see the one from 2009.

When you see those 3 ads, you’ll notice a similar formula of those, and realize this year’s ad fits that formula. However, I found both the 2012 and 2013 ads were a bit of a departure.  In 2012, the “snowman” ad felt bit too dark for me with the tone feeling like a slight miss for John Lewis.  

I also found the 2013 ad a bit of a departure, going to animation and utilizing on-line and in-store media. This campaign seems trying too hard to capitalize on their success.

 

Thank you John Lewis for providing such a great campaign

At Beloved Brands, we run a Brand Leadership Center to train marketers in all aspects of marketing from strategic thinking, analysis, writing brand plans, creative briefs and reports, judging advertising and media. To read more on strategy, here is a workshop on HOW TO GET BETTER ADVERTISING, click on the Powerpoint presentation below:

 

At Beloved Brands, we love to see Brand Leaders reach their full potential.  Here are the most popular article “How to” articles.  We can offer specific training programs dedicated to each topic.  Click on any of these most read articles:

 

We make Brands better.

We make Brand Leaders better.™

We offer Brand Coaching, where we promise to make your Brand better by listening to the issues, providing advice that challenges you, and coaching you along a strategic pathway to reaching your Brand’s full potential. For our Brand Leader Training, we promise to make your team of Brand Leaders better, by teaching sound marketing fundamentals and challenging to push for greatness so that they can unleash their full potential. Feel free to add me on Linked In, or follow me on Twitter at @belovedbrands If you need to contact me, email me at graham@beloved-brands.com or phone me at 416 885 3911

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Vote: Which Derek Jeter retirement Ad is better? Nike or Gatorade

wptv jeter video_1405433712805_6833582_ver1-1.0_640_480Amidst all these problems with athletes in the news, Derek Jeter stands out as the Joe Dimaggio of our generation. Even non-Yankee fans recognize him as a first class player.  Everyone respects him. Thirty years from now, he’ll still command a standing ovation wherever he shows up.     

Two of the major sports brands have made tribute TV ads–both taking a slightly different stance.  For Nike, it seems only true fans will get all the subtleties while the Gatorade ad is for masses–it’s almost more of an Ad about New York than baseball.  

Both are great.  Watch below and then cast your vote.  

 

Nike “RE2PECT”

Gatorade “Made in New York”

 

Vote Below: 

At Beloved Brands, we run a Brand Leadership Center to train marketers in all aspects of marketing from strategic thinking, analysis, writing brand plans, creative briefs and reports, judging advertising and media. To read more on strategy, here is a workshop on HOW TO GET BETTER ADVERTISING, click on the Powerpoint presentation below:

We make Brands better.

We make Brand Leaders better.™

We offer Brand Coaching, where we promise to make your Brand better by listening to the issues, providing advice that challenges you, and coaching you along a strategic pathway to reaching your Brand’s full potential. For our Brand Leader Training, we promise to make your team of Brand Leaders better, by teaching sound marketing fundamentals and challenging to push for greatness so that they can unleash their full potential. Feel free to add me on Linked In, or follow me on Twitter at @belovedbrands If you need to contact me, email me at graham@beloved-brands.com or phone me at 416 885 3911

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Case Study: The Starbucks Come Back story: Losing their focus, only to regain it!!!

ray_charles_starbucks.03In 2003, Starbucks was on their first peak of their climb. It’s very likely that the corporate ego was also peaking.  “We can do anything”. But, just as they hit that peak, somehow their corporate arrogance got the best of them and they decided they are bigger than “just coffee”, so they created their own recording company, which successfully won 8 Grammy’s 2 years later. In 2006, Starbucks launched their first movie, then started partnership with William Morris to scout for music, books, films and finally Starbucks opened their own “entertainment” office in LA.  I remember when, a few agency folks marvelling and trying to convince me to follow the Starbucks lead.  The whole idea was that Starbucks had the potential to be the “third place” in people’s lives:  Home, Office and Starbucks.  The music and movies were all part of bringing that to life for Starbucks. Marketing academics were writing about it and gushing over it. That’s ok as an idea in theory, but in terms of managing a culture, Starbucks had a very hard time staying focused on what they did best:  make a great cup of coffee.  

By 2008, the lack of focus caught up with them. The most loyal consumers of Starbucks were seeing cracks in the service and quality and began choosing local establishments, who were solely focused on making a great cup of coffee.  Starbucks cut 18,000 jobs, closed 977 stores and same store sales were down 7%. Stock price falls to $7.83, down from $39.63 in 2008.  Yikes.

sbux_fallenThe Starbucks brand was in complete free fall. I remember doing a speech, right at the height of the Starbucks collapse and very few people considered it a beloved brand.  I was almost in shock.  And, about half the room figured it wouldn’t be around in 10 years. People were seriously starting to wonder “is this the next Benetton?”  (the brand that drank and believed in their own Kool Aid)

In 2009, Starbucks re-focused on what they do best: COFFEE.  They had no choice.  Every turnaround story has to start with “so what do we do best?” and then eliminate everything else. They closed every store for a day of re-training the barista. A brilliant move to tell most loyal consumers: “we know we messed up, but we’re going to get it back”.  But more importantly, it told the culture of Starbucks that the most important thing we do is make a great cup of coffee.  That barista is essential to our brand. It all starts with that. Starbucks began to innovate, but again it was focused going deeper around their COFFEE, with broader line of coffee, pastries, accessories sandwiches. No more movies or music.  All of a sudden, they were focused.  27sbux.600

Following the comeback story, by 2014, Starbucks sales are up 58% versus 2009, five-year 10% CAGR. Gross Margins are back up to healthy 55% range from a low of 28%. The current Starbucks stock price at $75, a $10K investment back in 08 would get you $95,800 today. The crucial lesson for Starbucks is the lack of focus cost them dearly in providing what it was that made them famous:  a great cup of coffee.  Yes, they can be that third place in people’s lives….as long as the coffee is good. 

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Focus is essential to Strategy 

The only way to win in strategy is when your gains exceed your effort—you to get more, than you put in. That starts with focus.  Every Brand has limited resources (financial, time, effort and alliances) against endless opportunistic choices to make (target, message, strategy and activities). Strategy starts with making a choice, where you will apply your limited resources, against the pressure points you know you can win and breakthrough, so that you can gain something bigger than the point itself.

Focus makes you matter most to those who care the most. Don’t blindly target consumers:  target the most motivated.  Focusing your limited resources on those consumers with the highest motivation and  propensity to buy what you are selling will deliver the highest return on investment.  In a competitive category, no one brand can do it all: brands must be better, different or cheaper to survive. Giving the consumer too many messages will confuse them as to what makes your brand unique. Trying to be everything to everyone is the recipe for being nothing. Return on Effort (ROE) is a great tool for focusing your activity.  Doing a laundry list of activity spreads your resources so thin that everything you do is “ok” and nothing is “great”. And in a crowded and fast economy, “ok” never breaks through enough to get the early win and find that tipping point to open up the gateway to even bigger success. 

When you focus, 5 things happen to your Brand.

  1. Better Return on Investment (ROI): With all the resources against one strategy, one target, one message, you’ll be able to move consumers enough to drive sales or push other key performance indicators in the right direction.  
  2. Better Return on Effort (ROE): It’s about getting more back than you put into the effort. Working smart helps make the most out of your people resources.
  3. Stronger Reputation: When you only do one thing, you naturally start to become associated with that one thing—externally and even internally.  Reputation is a power you can push to find deeper wins.
  4. More Competitive: As your reputation grows, you begin to own that one thing and you can better defend that positioning territory. You can expose the weakness of your competitors, attract new consumers as well as push internally (R&D, service, sales) to rally behind the newly created reputation. 
  5. Bigger and Better P&L: As the focused effort drives results, it opens up the P&L with higher sales and profits. People with money invest where they see return. 

Focus starts with knowing what you do best and stick with it 

At Beloved Brands, we run a Brand Leadership Center to train marketers in all aspects of marketing from strategic thinking, analysis, writing brand plans, creative briefs and reports, judging advertising and media. To read more on strategy, here is a workshop on HOW TO THINK STRATEGICALLY, click on the Powerpoint presentation below:

We make Brands better.

We make Brand Leaders better.™

We offer Brand Coaching, where we promise to make your Brand better by listening to the issues, providing advice that challenges you, and coaching you along a strategic pathway to reaching your Brand’s full potential. For our Brand Leader Training, we promise to make your team of Brand Leaders better, by teaching sound marketing fundamentals and challenging to push for greatness so that they can unleash their full potential. Feel free to add me on Linked In, or follow me on Twitter at @belovedbrands If you need to contact me, email me at graham@beloved-brands.com or phone me at 416 885 3911

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Could you ever imagine a Bank ad that might make you cry? Here’s one.

In general, bank ads suck.

Banks are just too predictable and safe to be truly innovative. That makes sense, because the only chance a bank takes is with someone else’s money. Yes, there are some good ads from the non-traditional challenger banks, but any of the traditional Banks that we think of as great brands, don’t really have great advertising. They usually lead with a great experience that connects emotionally and creates loyalty with consumers.  

td_logoIn the last decade, TD Bank has been one of those bank brands that leads with the experience. While other banks push products, TD has built an idea of comfort around personalized and convenient customer service that makes you feel special. TD works around your life, instead of forcing you to work around their life.  TD has been smart enough to borrow great ideas from Banks they acquired–Canada Trust and Commerce Bank. They have used those ideas to create a unique culture around “comfortable service” and have operationalized comfort into everything they do. TD is consistently rated by consumers as the best service in the industry, winning the JD Powers award year after year.  

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Yet, TD has struggled to create advertising that truly captures their comfort idea. The green chair ads are ok, but not great. Too boring, too stiff and too un-emotional. This week TD created a remarkable “thank you” video, that has gone viral to millions. While the marketing team at TD might think of this as just a tactical video, what they should be asking themselves is: “did we just create an advertising idea that finally articulates the TD brand?”  

Have a look at the video and see how emotional a Bank can be:  

 

There is a good lesson here.  For brands that struggle telling their story–you might be finding the 30 second TV ad format inhibiting–and makes you even more stiff than you need to be. The freedom of new media options, like viral videos, might allow you to tell your brand’s story and positioning in a more authentic way that will connect with consumers.  TD seems to have learned that lesson.

Bank brands need to open up emotionally and connect with consumers  

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How loved is your brand?

We believe a brand’s source of power is the emotional feelings it generates. With that power comes added profitability.

In the consumer’s mind, brands sit on a Brand Love Curve, with brands going from Indifferent to Like It to Love It and finally becoming a Beloved Brand for Life. At the Beloved stage, demand becomes desire, needs become cravings, thinking is replaced with feelings. Consumers become outspoken fans. It’s this connection that helps drive power for your brand: power versus competitors, versus customers, versus suppliers and even versus the same consumers you’re connected with. The farther along the curve, the more power for the brand. It’s important that you understand where your brand sits on the Love Curve and begin figuring out how to move it along towards becoming a Beloved Brand. With the power of connection, the brand can leverage that power into increased growth and profits.

To read more, follow this presentation.

  

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Stop thinking like a PRODUCT manager and think like a BRAND manager

Usually when I ask “what makes a great brand”, the first answer I get is “they have a great product”. That’s not an untrue answer, but it’s just a starting point really. The best PRODUCTS start out solving an actual problem, but as we’ve seen the best BRANDS evolve beyond just the product  eventually becoming a Big Idea. Yes, products can be very successful, without laddering up to a Brand, but they usually take a price strategy only–like Walmart, Expedia or Mcdonald’s.  If you treat your product like a commodity your consumer will treat you the same. 

brand idea evolution

Companies really only have four strategic choices:  you can be better, different, cheaper or not around for very long.  Better implies you have some ACTUAL and MEASURABLE performance advantage versus your competitor and different implies that there’s a PERCEIVED difference versus the average products. Both better and different require you to act like a brand, with a defined idea that can help defend your position. If you choose to act like a PRODUCT, that really just leaves CHEAPER as your strategic option. And choosing the strategy of being cheaper leaves you at the mercy of using pricing fluctuations, by purely supply and demand, and very rational decisions.  When you start managing a brand, consumers start to use more emotions in the decision, thinking a bit less.  

So why do we have Brands?

I love asking this question.  Usually I get a bunch of marketing type answers like driving loyalty, conveying consistency or maintaining ownership over trademarks. All good answers. But the best answer is about profit, not marketing.  Companies only invest to create a Brand if they think they can make more money from a brand, than if we just had a Product.  When you create a brand, there are 4 main ways to use the P&L to drive more profit for your brand:

  • Use the connectivity between brand and consumer to leverage premium Pricing to drive profits:  By creating a brand idea that connects, you can try to command a premium or once you have a loyal consumer, you can look for innovative ways to trade your consumers up. When consumers are emotionally connected to a brand, the price becomes more Inelastic. We can see in the market, that loyal brand fans pay a 20-30% price premium for Apple’s iPad.The more engaged employees begin to generate an even better brand experience. For instance at Starbucks, employees know the names of their most loyal of customers. Blind taste tests show consumers prefer the cheaper McDonald’s coffee but still pay 4x as much for a Starbucks. So is it still coffee you’re buying or are they paying for the Brand?
  • Use your brand’s power to drive Lower Costs: A well-run Brand can use their efficiency to lower their cost structure. If you are a hot brand, suppliers will cut their cost just to be on the roster of a beloved Brand. A brand that becomes popular will benefit from the free media through earned, social and search media. They may even find government offer subsidies to be in the community or partners willing to lower their costs to be part of the brand. For instance, a real estate owner would likely give lower costs and better locations to McDonald’s than an indifferent brand.
  • Leverage the bond with consumers to Increase your Market Share: Crowds draw crowds which spreads the base of the loyal consumers. I was walking past a store the other day and they had a line up to get into the store. We immediately became curious as to what that store offered. Competitors can’t compete–lower margins means less investment back into the brand. It’s hard for them to fight the Beloved Brand on the emotional basis leaving them to a niche that’s currently unfulfilled.
  • When you have an idea bigger than your product alone, you can enter into New Categories that fit with your idea:  We see many beloved Brands enter into new categories knowing their loyal consumers will follow because they buy into the Idea of the Brand. Starbucks has gone far beyond Coffee to where it’s now one of the biggest fast food chains in the world.  The idea is no longer tied to the product or service but rather how it makes you feel about yourself. 

Running a Brand can feel a bit less Certain than a Product

I work with Brand Leaders all the time at every level, and with many, I can sense an uneasy feeling when we shift the conversation from product to brand. It’s almost like the uncertainty of skating on ice, instead of the certainty of just walking on pavement. Managing a product is easier, but managing a brand can generate higher growth rates and margin to drive profits for your company.

Challenge yourself to shift your thinking from a product leader to more of a brand leader. As much as it can feel uneasy, shift your thinking to be more conceptual. Try to figure out the big idea of your brand.  We believe that a Brand is an idea that is worth loving. Our definition of a brand: “A Brand is a unique idea, perceived in the minds and hearts of the consumer, consistently delivered by the experience, creating a bond, power and profit, beyond what the product itself could achieve.” The challenge I have for you is that if the best brands eventually evolve to defining a Big Idea for their brand, then why not just start there? You should figure out your brand’s Big Idea and then everything in the company should feed off the Brand’s Big Idea. The Big Idea (some call it the Brand Essence) is the most concise definition of the Brand. For Volvo, it’s “Safety”, while BMW might be “Performance” and Mercedes is “Luxury”. 

Once you have your Big Idea, you should then use it to frame the 5 different connectors needed to set up a very strong bond between your brand and your consumers. Brands are able to generate love for their brand when the consumer does connect with the brand. I wish everyone would stop debating what makes a great brand and realize that all five connectors matter: promise, strategy, story, innovation and experience. The first connector is the Brand Promise, which connects when the brand’s main Benefit matches up to the needs of consumers. Once knowing that promise, everything else feeds off that Promise. For Volvo the promise is Safety, for Apple it is Simplicity and FedEx it might be Reliability. It’s important to align your Strategy and Brand Story pick the best ways to communicate the promise, and then aligning your Innovation and the Experience so that you deliver to the promise. To make sure the Innovation aligns to the Big Idea, everyone in R&D must be working towards delivering the brand promise. If someone at Volvo were to invent the fastest car on the planet, should they market it as the safe-fast car or should they just sell the technology to Ferrari. Arguably, Volvo could make more money by selling it to a brand where it fits, and not trying to change people’s minds. As for the experience, EVERYONE in the company has to buy into and live up to the Brand Promise. As you can start to see, embedding the Brand Promise right into the culture is essential to the brand’s success.

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Think like a Brand Manager

As you’re challenging yourself to think about going to Brand Thinking, here are some of the differences you might notice.  

  • Think of a Brand as an idea with many intangibles, whereas a product is usually tangible to the senses. This is where you as a Brand Leader must begin to think more conceptual and think of ideas.  
  • If we think of a Product as solving a Problem, then try to think of a Brand as fighting your consumer’s enemy.  
  • While managing a product, you’re always focused on trying to figure out the THINKING part of your consumer, and you offer very rational product features and claims, you might need to shift to start figuring out the EMOTIONAL decisions your consumer makes and finding more emotional benefits that connect with them.  
  • Instead of thinking of just the consumption of your product, start thinking of the EXPERIENCE. When I was a Brand Leader, I honestly didn’t pay too much attention to the experience.  We tend to think of that for service brands. But look at the EXPERIENCE of a product brand like Apple and see the difference it can create.
  • Brand becomes a reputation you must manage, going well beyond the legal entity and trademark.  Every brand should be using Public Relations to become part of the news cycle, helping to go beyond Advertising. Look to your most loyal consumers as a potential influencer of your reputation through social media.  
  • Start to think about becoming part of your consumers life, as a ritual, which goes beyond a routine. Be a favorite part of their day, or be an enabler to great things that happen in their life. Adjust to the days of the week of the time of the year. Leverage the calendar as a call out to how your brand might be used.  
  • A product can be debated, but a Brand will be defended.  Provide your most loyal consumers with enough love so that they love you back enough to defend you at the lunch table.  

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The more Love you can generate for your Brand, the more Power and Profits you will generate.  

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How loved is your brand?

We believe a brand’s source of power is the emotional feelings it generates. With that power comes added profitability.

In the consumer’s mind, brands sit on a Brand Love Curve, with brands going from Indifferent to Like It to Love It and finally becoming a Beloved Brand for Life. At the Beloved stage, demand becomes desire, needs become cravings, thinking is replaced with feelings. Consumers become outspoken fans. It’s this connection that helps drive power for your brand: power versus competitors, versus customers, versus suppliers and even versus the same consumers you’re connected with. The farther along the curve, the more power for the brand. It’s important that you understand where your brand sits on the Love Curve and begin figuring out how to move it along towards becoming a Beloved Brand. With the power of connection, the brand can leverage that power into increased growth and profits. To read more, follow this presentation.

  

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How to Develop winning CLAIMS for your Brand

usp-2-0-2Brands are either better, different or cheaper. Or not around for very long.

You have to find a unique selling proposition for your brand.  The key to being unique, is not just unique for the sake of it, but to match up what you do best with what the consumer is looking for.  Or else, you will play in the who cares zone.   A great claim must be ownable to your brand, and motivating to the consumer.  

To often, Brand Leaders start with the claim, and then try to make the most of it in everything they do.  The problem with that strategy is your claim might not be a benefit, and even if it ladders up, it might not be something that is ownable for you or motivating to the consumer.

Start with the Consumer First

Like everything in marketing, you should always start with the consumer first.  slide1-4Define your target, create motivating insights that help you connect, map out the consumers’ enemy and create a meaningful customer value proposition. 

Hold a brainstorming session with everyone who works on the brand so you can:

  1. Get all of the consumer insights and need states out. 
  2. Match them up against the list of the best features the brand offers. 
  3. Find the rational benefit by putting yourself in the shoes of the consumer and seeing the brand features from their eyes: start asking yourself over and over again “so if I’m the consumer, what do I get from that?”. Ask it five times and you’ll see the answers will get richer and richer each time you ask. 
  4. Then find the emotional benefit by asking “so how does that make me feel?” Ask that five times as well, and you’ll begin to see a deeper emotional space you can play in and own. 

For instance, no one really cares that a golf club has 5.7% more torque. (a potential claim) When you ask what do i get from that, the better answers are longer drives or lower scores or winning a tournament (rational benefits). When you ask how does that make you feel, the emotional space is more confidence in your golf swing and optimism that you’ll break 80 all the time now (emotional benefit).  

The Brand Positioning Statement
Before you get to your claims, you want to start to map out a best in class brand positioning statement, which has four key elements:

  1. Target Market (a)
  2. Definition of the market you play in (b)
  3. Brand Promise (emotional or rational benefit) (c)
  4. The Reason to Believe (RTB) the brand promise (d)

The more focused your decisions, the more successful you will be: decide on one target, one promise and maybe one or two reasons to believe that help to directly back up your promise. But the target shouldn’t be everyone 18-65, and don’t throw your eight best features at the wall and hopefully something sticks. And the reason to believe has to back up your promise, not be a whole new promise.

The classic way to write a Brand Positioning Statement is to take the elements above and frame them into the following: For the target market (a) Brand X plays in the market (b) and it gives the main benefit (c). That’s because of the following reasons to believe (d). This is what it looks like when you put them into this format:

 slide11-4The claims you are going to create should fit in the Reasons to Believe, and help to support your benefit. As I said above, don’t start with a claim and then try to create a benefit around the claim.  Sometimes in big companies, the claims team sits in the R&D group, randomly developing claims.  You as the Brand Leader need to provide the positioning work as a guideline for them to work within. 

Brainstorming and Sorting the Claims

As you look for that separation for your brand, you have to ensure it’s ownable and motivating to consumers. Otherwise you’re just talking to yourself. What you want to do is hold a brainstorming session with a cross functional team, who might be from marketing, consumer insights, R&D, regulatory, sales strategy or a professional sales team.  Add in people who have been on the brand a long time, and those who are new.  Using the work above, with the Unique Selling Proposition and the Positioning Statement derived from the Customer Value Proposition, you want to create claims that would fit in the Reasons to Believe area.  I would suggest you create potential areas to brainstorm under:

  • Product Feature Claims
  • Experiential Claims
  • Testimonial Claims
  • Emotional Satisfaction Claims
  • Psychological Claims
  • Key Influencer Support
  • Statistical Claims

Once you create a brainstorm list that matches up to your benefits, you then want to do a claims sort through market research.  Focus on the tests that help determine what is most motivating to move the consumer and what is most ownable to your brand.  (grid below)  One caveat is that you may wish to get Legal/Regulatory to go through the claims to make sure you will get approval. The key to a great lawyer is not finding out what will get rejected (anyone can do that) but to move the claim in a direction that will get approval.  I want my lawyer to say “now if you said it this way…”   

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Build your claims around the Benefit,

not your Benefit around your Claims

 

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How loved is your brand?

We believe a brand’s source of power is the emotional feelings it generates. With that power comes added profitability.

In the consumer’s mind, brands sit on a Brand Love Curve, with brands going from Indifferent to Like It to Love It and finally becoming a Beloved Brand for Life. At the Beloved stage, demand becomes desire, needs become cravings, thinking is replaced with feelings. Consumers become outspoken fans. It’s this connection that helps drive power for your brand: power versus competitors, versus customers, versus suppliers and even versus the same consumers you’re connected with. The farther along the curve, the more power for the brand. It’s important that you understand where your brand sits on the Love Curve and begin figuring out how to move it along towards becoming a Beloved Brand. With the power of connection, the brand can leverage that power into increased growth and profits. To read more, follow this presentation.

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Bad decision by Target Inc to take an INTERNAL motivation video and release it EXTERNALLY

I’ve been a fan of the Target brand for years, which has done a great job in adding emotion into the Mass Merchandising world, where WalMart is an emotionless discounter.  Last year, Target entered the Canadian market with my hype.  So much hype, it was foolishly nominated for Marketer of the Year before the doors even opened.  Canadians had been to Target as visitors and there was a lot of pent up demand.   image

But once the stores opened up, the hype fizzled very quickly.  Consumers didn’t see much different about Target. They were missing US items Canadians wanted, store shelves were only half full and consumers quickly realized the prices weren’t that great.  As a rule for Beloved Brands, there are only four choices a brand can make: you have to be better, different or cheaper, or you won’t be around for very long.  “Maybe we didn’t put our best foot forward when we entered into Canada. We had some disappointments when we opened. Certainly we think we disappointed our guests,” said Damien Liddle, Target Canada’s senior corporate counsel, in the clip. “But here at headquarters and at our store teams we’re working really hard to give everybody that unique Target experience.”

 

And so this month, they did one of those “go get them” videos to the troops, which we all see at sales meetings ALL the time.  There was nothing unique.  But in either an act of desperation or some type of group think, they released the video publicly.  Here it is:

 

Now there is nothing really wrong with the video, but there’s also nothing really right about the video. It won’t do any harm, but honestly, it won’t do any good.  To me, here’s 3 things not in the video: 

Where are the consumer views? Everything has to start and end with your consumer in mind.  This video is very Target focused, and as it goes externally it just feels like a “we messed up” apology.  But it’s ALL ABOUT TARGET, and not about the consumer.  As a rule for Beloved Brands, no one cares about what you do, until you really care about what your consumer wants. Find a way to listen, give them a voice, understand them by being in their shoes. Put your consumers’ needs first and you’ll find yourself speaking in terms of benefits they get, not just features that you do.  Consumers have to get something and you can the one that is lucky enough to give them that something they want. Target: stop talking about yourself, and let them talk about themselves.  

Why are the Employees taking the blame?  As Harry Truman said “the buck stops here”  That’s a sign of true leadership.  In this video, there are about 10 mid-level employees who sort of take the blame for all this and there is talk about what they will do differently going forward to win back consumers.  I don’t see the President of Target Canada, nor anyone from Minnesota.  These are the people who oversaw the merger, who made decisions before many of the people on this video were even hired.  A beloved brand, especially a service brand, has to have an organization where Brand and Culture are one.  The promise you say you’ll do, is executed flawlessly by the culture.  I do feel that putting the mid level employees up and having them take it on the chin is not a culture of leadership, but it feels like a blame game.  The only role that the Canadian President had in this video is he retweeted it on his twitter account.  Btw, he has 758 followers. For Target, it’s time for the leadership to step up. 

What is happening to Target? Yes, they were a little slow to launch into a second market beyond the US.  But going into Canada shouldn’t cause this much stress. Wow. Maybe there is more to it, as we look at the stock price has fallen 20% in the past 18 months as Target has begun missing forecasts overall and management is now being shuffled around. Certainly you can’t blame Canada on this, but maybe Canada can blame what’s happening at Target overall. 

Target needs to reconnect with Consumers to re-kindle the love that appears slipping away

 

How loved is your brand?

We believe a brand’s source of power is the emotional feelings it generates. With that power comes added profitability.

In the consumer’s mind, brands sit on a Brand Love Curve, with brands going from Indifferent to Like It to Love It and finally becoming a Beloved Brand for Life. At the Beloved stage, demand becomes desire, needs become cravings, thinking is replaced with feelings. Consumers become outspoken fans. It’s this connection that helps drive power for your brand: power versus competitors, versus customers, versus suppliers and even versus the same consumers you’re connected with. The farther along the curve, the more power for the brand. It’s important that you understand where your brand sits on the Love Curve and begin figuring out how to move it along towards becoming a Beloved Brand. With the power of connection, the brand can leverage that power into increased growth and profits. To read more, follow this presentation.

 

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In honour of D-Day, a “Thank You” TV ad that will give you shivers

d-dayOn June 6, 1944, the Normandy landings, codenamed Operation Neptune. saw the largest seaborne invasion in history, the operation began the invasion of German-occupied western Europe, which led to the restoration of France, the re-capture of Paris and contributed to an Allied victory in the war.

In honour of the 70th anniversary of the landing on D-Day, I wanted to share a TV ad of a young man thanking his grandfather for his time served in Dieppe during WWII. The Dieppe raids took place 2 years before D-Day, and saw extremely heavy casualties. A total of 3,623 of the 6,086 men (almost 60%) who made it ashore were either killed, wounded, or captured.   The events at Dieppe influenced preparations for the Normandy landings. tumblr_lszlv3VDZI1qaqn8to1_1280As a Canadian, Dieppe is a source of pride for us, as 5,000 of the 6,000 soldiers involved were Canadian.  Canadians were also heavy participants in the D-Day invasion, with 14,000 soldiers landing on the beaches of Normandy on the 6th of June in 1944. 

This TV ad for Bell in Canada is a bit dated now, but back in the mid 90s we were still excited we could call from anywhere. I’ve been to that beach in Dieppe and it does command such intense feelings.  While this is just a TV ad, and we might find that silly, it’s one more example of how, when we think of our consumers first, our industry can connect on the things that matter.

We see many tributes to the soldiers, but this one unique thanks one who served long ago.  Every time I watch this ad, it sends a chill through me.  

 

 On this 70th anniversary of D-Day, a special thank you to all who have served.

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