How marketers should deploy the right leadership style for the right brand situation

Situational leadership in marketing means identifying the right situation for when to be a strategic thinker, an instinctual thinker ora task master. The challenge is we each bring a natural style and have to learn the other two with experience. It is all about situational leadership.

situational leadership

 

Strategic Thinkers

Strategic leaders see ‘what-if’ type questions before they look for potential solutions. They are able to map out a range of decision trees that intersect, by imagining how events will play out in the future. They think of every option before taking action.

The trick to being strategic is to think slowly with strategy. If you move too quickly on brand strategy, you will be unable to see the insights beneath the surface, and you risk solving the wrong problem.

5 ways to slow your brain down to think strategically

The risk to just deploying the one leadership style is if strategic thinkers just think too long, they spiral around, unable to decide, and miss the opportunity window.

  1. Find your own thinking time. Walks at lunch or a drive somewhere to get away from it all. Block hour-long “thinking meetings” with yourself.
  2. Organize your week to fit your thinking pace. Talk “big ideas” on a Friday morning so you can take the weekend to think. Schedule quick updates on Monday afternoon that clears your mind for the week.
  3. Do the deep thinking before the decision time comes. Always be digging deep into the analytics to stay aware, prepare yourself, no matter your level.
  4. Next time in a meeting, ask the best questions. Too many leaders try to impress everyone with the best answers. Next time, try to stump the room with the best questions that slow down your team and force them to think.
  5. Proactively meet your partner teams. Get to know the needs of your sales teams or agency account leaders, and not wait for a problem or conflict. Come to them proactively with possible solutions so you both win.

Instinctual Thinkers

Instinctual leaders jump right in because their gut already sees the right answer solution. They move fast, using emotional, impulse and intuitive gut feel. They choose emotion over logic. This “gut feel” fosters high creativity.

The trick to be instinctual, you must think quickly on execution. Without intuitive freedom, you will move too slowly, overthink and second-guess yourself. You risk destroying the creativity of the right solution.

5 ways to speed up your brain to think instinctually

  1. Have fun, and be in the moment: Relax, smile, have fun, stay positive. If you get too tense, stiff, too serious, it can impact the team negatively.
  2. Focus on first impressions. Don’t let the strategy get in your way of seeing what you think of the creativity. This allows you to see it how your consumer might see it. You still have time to think strategically about it after your instincts.
  3. Put yourself in the shoes of the consumer. You have to represent your consumer to the brand. Try to react and think as they might. Learn to observe and draw insights.
  4. Do not make up concerns that are not there. While you need to be smart, don’t cast every possible doubt that can destroy creativity. Too many brand leaders destroy creativity one complaint at a time.
  5. Let it simmer for a while, before rejecting. You always have the option to reject an idea. Why not let it breathe a little, see it you can make it even better. If it gets better, you win. If not, you can still reject it, without any risk.

Task Masters

Task masters stay in control to get things done, keep things on time and on budget. They are always in full control, organized and on time. They never lose sight of the end goal, efficiently knock down roadblocks, to keep everyone else on track with time and budgets.

To be a successful task master,  it is to realize there is a business to run. Without staying focused on the end goal, strategic thinking and creative instincts are wasted, resulting in missed opportunities.

You can overly rely on the task master, the risk is you end up with hollow thinking, OK creativity and OK business results.

5 ways to be more of a task master

  1. Set high standards for you and the team: Hold the team to consistently high standards of work in analytics, strategic thinking, planning and execution in the market (advertising, innovation, purchase moment and brand experience)
  2. People leadership: Provide a team vision, consistently motivate others, be genuinely and actively interested in helping your team manage their careers.
  3. Lead the process: Organize, challenge and manage the processes so your team can focus on thinking, planning and executing. Guide the team to get things done on time. on budget and on forecast.
  4. Hit deadlines: Never look out of control or sloppy. Marketers have enough to do, that things will just stockpile on each other. In Marketing, there are no extensions, just missed opportunities.
  5. Know your business: Don’t get caught off-guard. Make sure you are asking the questions and carrying forward the knowledge.

Finding that balance

As a leader, it is crucial for you to deploy the right leadership style in the moment, to be able to maneuver. Your brain should operate like a race car driver, slow in the corners and fast on the straight away. Change brain speeds, think slowly when faced with difficult strategy and think quickly with your best instincts on execution.

When you are in a team situation, try to recognize the natural styles of each of your team members. Make sure the team is well balanced, to ensure someone is the thinker, someone has the intuition to break through the clutter and then someone is the task master. Appreciate what each person brings to the table, leverage their natural strengths and ensure you be honest about your own style.

Beloved Brands: Who are we?

At Beloved Brands, our purpose is to help brands find a new pathway to growth. We believe that the more love your brand can generate with your most cherished consumers, the more power, growth and profitability you will realize in the future.

The best solutions are likely inside you already, but struggle to come out. Our unique engagement tools are the backbone of our strategy workshops. These tools will force you to think differently so you can freely generate many new ideas. At Beloved Brands, we bring our challenging voice to help you make decisions and refine every potential idea.

We help brands find growth

We start by defining a brand positioning statement, outlining the desired target, consumer benefits and support points the brand will stand behind. And then, we build a big idea that is simple and unique enough to stand out in the clutter of the market, motivating enough to get consumers to engage, buy and build a loyal following with your brand. Finally, the big idea must influence employees to personally deliver an outstanding consumer experience, to help move consumers along the journey to loving your brand.

We will help you write a strategic brand plan for the future, to get everyone in your organization to follow. It starts with an inspiring vision that pushes your team to imagine a brighter future. We use our strategic thinking tools to help you make strategic choices on where to allocate your brand’s limited resources. We work with your team to build out project plans, creative briefs and provide advice on marketing execution.

To learn more about our coaching, click on this link: Beloved Brands Strategic Coaching

We make Brand Leaders smarter

We believe that investing in your marketing people will pay off. With smarter people behind your brands will drive higher revenue growth and profits. With our brand management training program, you will see smarter strategic thinking, more focused brand plans, brand positioning, better creative briefs that steer your agencies, improved decision-making on marketing execution, smarter analytical skills to assess your brand’s performance and a better management of the profitability of the brand.

To learn more about our training programs, click on this link: Beloved Brands Training

If you need our help, email me at graham@beloved-brands.com or call me at 416 885 3911

Beloved Brands Graham Robertson

 

 

How to build your marketing career behind your core strength

Just like a brand, we each bring a core strength as a marketing leader. It may be based on your natural skills, your leader behaviors or the experiences you have had in your past. It can also be impacted by where your passion lies. You should map out the future of your marketing career based on your core strength, whether that is running the business, marketing execution, strategic thinking or people leadership.

One of the toughest question I ask is to pick your #1 strength as a Marketer from these four potential choices:

  • You like running the business and managing products
  • You have a passion for marketing execution
  • Strategic thinker, writes strong Brand Plans
  • Leader of leaders, gets the best out of others

I know it must be a tough question, because everyone refuses to pick just one. Even if you are well-rounded, explore what might rise or fall based on skills, feedback, success, passion, or interest. While you have been trained and have learned to be a generalist, it might be time to re-focus on a specific strength.

Let’s take it a step further. Here’s a game you can play to force your thinking. Look below at the diagram. You have 4 chips. You have to put one on the highest strength, two on the medium and force one to be at the lowest.

Marketing Career Core Strength

If you still say, “I’m pretty good at all 4” then push yourself, I might not believe you. No one is equally great at all four. I want you to know what you are best at. As you make your next move, each choice may lead you to 4 different career choices.

If you like running the business, your career choices could be Product Management, Private Equity or New Industries. If you are into the Marketing Execution, you should explore switching to an Agency role, maybe a brainstorming ideation leader or become a Subject Matter Expert. And, if you are a Strategic Thinker, you could move into becoming a Consultant, Professor or go into a Global role. Finally, if you feel your strength is on the people leadership side, you can keep moving up to GM, explore the Entrepreneur world or become a Personal Coach.

When your strength is running the business

You’re naturally a business leader, who enjoys the thrill of hitting the numbers–financial or share goals. In Myers Briggs, you might be an ENTJ/INTJ (introvert/extrovert, intuition, thinking, judgment) the “field general” who brings the intuitive logic and quick judgment to make decisions quickly to capitalize on business opportunity. Marketing Career Core Strength
You like product innovation side more than advertising. You are fundamentally sound in the core elements of running a business—forecasting, analytics, finance, distribution—working each functional areas to the benefit of the products. And, you may have gaps in creativity or people leadership, but you are comfortable giving freedom to your agencies or team to handle the creative execution.

My recommendation is to stay within Product Management as long as you can. If you find roadblocks in your current industry, consider new verticals before you venture into new career choices. You should consider running businesses on behalf of Private Equity firms or venture into Entrepreneurship, where you can leverage your core strength of running a business.

When your biggest strength is Marketing Execution

You are the type of Brand Leader who is highly creative and connects more to ideas and insights than strict facts and tight business decisions. And, you likely believe facts can guide you but never decide for you. You are high on perception, allowing ambiguous ideas to breathe before closing down on them. You respect the creative process and creative people. Moreover, you are intuitive in deciding what is a good or bad idea. You may have gaps in the areas of organizational leadership or strategy development that hurts you from becoming a senior leader. You likely see answers before questions and frustrated by delays.

Marketing Career Core StrengthStaying in the Marketing area, you may end up limited in moving beyond an executional role. You may be frustrated in roles that would limit your creativity. Moving into a Director level role could set you up for failure. Look to grab a subject matter expert type role in an internal advertising, media, innovation role or merchandising.

Going forward beyond Marketing, consider switching to the Agency side or Consult on a subject-matter expertise (Innovation, Marketing Communication or Public Relations) to build on your strengths.

When you are naturally a strategic thinker

You enjoy the planning more than the execution. You might fall into the INTP, where you’re still using logic and intuition, stronger at the thinking that helps frame the key issues and strategies than making the business decisions. The introvert side would also suggest that your energy comes from what’s going on in your brain, than externally. An honest assessment would suggest that managing and directing the work of others is likely not be a strength.Marketing Career Core Strength

If you stay within the marketing industry, you would be very strong in a Global Brand role, General Management or even a Strategic Planning role. You need to either partner with someone who is strong at Marketing Execution or build a strong team of business leaders beneath you.

Going outside, you would enjoy Consulting and thought leadership which could turn into either an academic or professional development type roles. Continue building your thought leadership to carve out a specific perspective or reputation where you can monetize.

When your biggest strength is leading people

You find a natural strength in leading others. You are skilled in getting the most from someone’s potential. And, you are good at conflict resolution, providing feedback, inspiring/motivation and career management of others. You are a natural extrovert and get your energy from seeing others on your team succeed. As you move up, you should surround yourself with people who counter your gaps–whether that is on strategy or Marketing Execution.

Marketing Career Core StrengthIf you find yourself better at Management than Marketing, and you should pursue a General Management role where you become a leader of leaders. You would benefit from a cross functional shift into sales or operations to gain various perspectives of the business enable you to take on a general management role in the future.

After you hit your peak within the corporate world, consider careers such as Executive Coaching where the focus remains on guiding people.

Be honest with your future marketing career, to take full advantage of your core strength

To challenge your thinking with your marketing career, here is our presentation

Beloved Brands: Who are we?

At Beloved Brands, our purpose is to help brands find a new pathway to growth. We believe that the more love your brand can generate with your most cherished consumers, the more power, growth and profitability you will realize in the future.

The best solutions are likely inside you already, but struggle to come out. Our unique engagement tools are the backbone of our strategy workshops. These tools will force you to think differently so you can freely generate many new ideas. At Beloved Brands, we bring our challenging voice to help you make decisions and refine every potential idea.

We help brands find growth

We start by defining a brand positioning statement, outlining the desired target, consumer benefits and support points the brand will stand behind. And then, we build a big idea that is simple and unique enough to stand out in the clutter of the market, motivating enough to get consumers to engage, buy and build a loyal following with your brand. Finally, the big idea must influence employees to personally deliver an outstanding consumer experience, to help move consumers along the journey to loving your brand.

We will help you write a strategic brand plan for the future, to get everyone in your organization to follow. It starts with an inspiring vision that pushes your team to imagine a brighter future. We use our strategic thinking tools to help you make strategic choices on where to allocate your brand’s limited resources. We work with your team to build out project plans, creative briefs and provide advice on marketing execution.

To learn more about our coaching, click on this link: Beloved Brands Strategic Coaching

We make Brand Leaders smarter

We believe that investing in your marketing people will pay off. With smarter people behind your brands will drive higher revenue growth and profits. With our brand management training program, you will see smarter strategic thinking, more focused brand plans, brand positioning, better creative briefs that steer your agencies, improved decision-making on marketing execution, smarter analytical skills to assess your brand’s performance and a better management of the profitability of the brand.

To learn more about our training programs, click on this link: Beloved Brands Training

If you need our help, email me at graham@beloved-brands.com or call me at 416 885 3911

 

Graham Robertson bio

Strategy choices to engage your consumers and tighten bond

The engagement strategy is a smart way for you to bridge your thinking as you move from brand plans towards marketing execution. Before you know the actions you should be taking, you need to know how important is the decision to consumers and the level of involvement for your consumers in the purchase or usage of the brand? To create a tighter bond with consumers, engagement strategy leaves you with two choices; to drive up the importance of the decision or to drive up the involvement of your consumers.

Strategic Thinking Engagement Strategy

Looking at the grid above, we look at inolvement and importance, to discover four types of brands: indulgence, high profile, commodities and essentials. You must understand that the grid lays out where the brand naturally sits, helps determine the challenge of where to move next. Your marketing efforts will either work to drive up consumer involvement or increase the importance for the purchase decision.

Commodities

Commodity type brands are relatively low in importance for consumers, and they have a low consumer involvement in the purchase decision. These are everyday consumer household items, day-to-day staples, or grocery items where the product differentiation is marginal. In my consumer packaged goods career, we used to joke that, “Our role is to make a mountain out of a mole hill,” which means we make small differences seem really important to consumers.

Strategic Thinking Engagement Strategy

Driving up involvement is harder for these brands than ever before. These low involvement brands thrived with TV ads, because the interruptive nature of TV enabled them to break through the clutter with their message. With today’s media options, there are less interruptive choices, the associative nature of today’s media options rewards high profile brands to gain attention, but harder for the low involvement brands. It is harder for a laundry detergent to get people to visit their website or Facebook page than it was to air three TV ads an hour to drive home their brand message. This puts even more pressure on the brands to build engaging stories. The most successful brands have used consumer insights to connect, a compelling brand purpose to enhance their brand story, and emotional benefits to drive up the consumer involvement.

To drive up the importance, brands have to elevate the consumer problem to make it highly personal. Find the consumer’s pain points and turn it into an “enemy” that you can attack. For the solution, you can deploy experts to speak on the brand’s behalf or use social media to leverage loyal brand fans to influence their network on the brand’s behalf.

 Just because the brand is naturally a commodity does not mean it has to get stuck there. For instance, the Dove brand is a classic case of a commodity brand that has driven up both importance and involvement. Dove has turned a simple bar of soap into a statement about real beauty with a stated vision that they hope beauty can become a source of confidence instead of a source of anxiety. This emotional brand purpose drives up the importance of the cause, and the bond it has created with the brand drives up the involvement of the consumers who believes in that cause. For decades, Dove had to drive a functional product oriented message behind “ph-balance”, but the brand never found any magic until they launched the “Real Beauty” campaign.

Essentials

Essentials are those brands that have high importance in the consumer’s life, such as healthcare, banking, insurance, supplies, or computer software. They are important enough that consumers cannot live without them, but they are rather boring categories where consumers give them very little thought.. These brands struggle to capture and engage consumers. To drive up consumer involvement, they need to move from product features to consumer benefits. These essential brands need to shift their brand communications away from talking about what the brand does and start to talk about what the consumer gets and how the brand makes the consumer feel.

Strategic Thinking Engagement Strategy

Google has used highly emotional advertising with rich storylines that helps turn a potentially boring search engine into an emotional experience consumers cannot live without. With the “Paris” TV ad that aired during the Super Bowl, Google told a romantic story of a boy who went to study in Paris, met a girl, then got a job in Paris, got married, and had a baby. The entire story is told through searching with Google in each moment of the story. Google tells another story out of India of two elderly friends, one a Hindu from India and the other a Muslim from Pakistan, who have lost contact since the partition of India in 1947. The ad shows how the grand daughter uses Google to plan a surprise reunion between the two gentlemen. She was able to find her grandfather’s friend, reach out to his grandson, book a flight and reunite the two. These brand stories are great way to show how involved Google is in the real lives of consumers.

Indulgence Brands

Indulgence brands generate high involvement with consumers, but are considered relatively low in importance to the consumer’s life. The indulgence brands include confectionary, fast food, perfume, beer or coffee brands. These are impulse items with lots of brand switching. The best indulgence brands drive importance by connecting to the emotions of a particular moment of the consumer’s life, either to become part of the day or life stage. These brands have to maintain the high involvement levels to stay within the consumer’s consideration set. They use mass media, social presence, lifestyle marketing, and a “be where they are” media approach.

Strategic Thinking Engagement Strategy

While Disney World is an indulgence brand for families, they do an amazing job in driving up their importance by creating memories for your child’s life. Events like the “Princess breakfast” are purely magical to children.

High Profile Brands

High profile brands are both high in consumer involvement and importance. These are typically badge products such as clothing, cell phones, computers, make up, sports teams, restaurants, or cars. These brands have to consistently nail the brand promise, the brand story, innovation, the purchase moment, and the experience. Any inconsistency in the delivery of the brand will cast doubt to the base of brand lovers.

Strategic Thinking Engagement Strategy

If you want to see how engaged the Ferrari brand lovers are with the brand, go to any Formula One race and you will be in shock at the passion of Ferrari fans. The annual Ferrari Advertising budget is $0. They spend every marketing dollar on the Formula One race.

How to Write Smart Strategic Objective Statements

Brand Leaders need to know how to write a smart strategic objective statement that will provide the necessary clear marching orders that everyone who works on the brand can follow. The reason why I put so much emphasis asking the right questions is that it will lead to a much smarter strategic objective statement as the answer to that question.

Strategic Thinking Engagement Strategy

With the example above, there are four common elements to a smart strategy objective statement:

  1. A smart strategic objective statement must have a focal point, which is the breakthrough point where the brand will exert pressure to create an impact. In this case the focal point is on the loyal consumers.
  2. A strategic objective statement must specifically calls out the strategic program with clear marching orders to the team, leaving no room for doubt, confusion or hesitation. In this case, the VIP consumer experience.
  3. A smart strategic objective statement should call out a specific desired market impact. Which key stakeholder in the market will you attempt to move, whether it is consumers, channels, competitors or influencers? In this case, the desired impact is to turn the consumer’s regular usage into a higher frequency ritual.
  4. A smart strategic objective statement have a specific performance result, linking the market impact to a specific result on the brand, either making the brand more powerful or wealthier. In this case creating a tighter bond with consumers, which will lead to more power over the consumers.

 

Strategic Thinking Engagement StrategyEvery smart strategic objective statement must include all four elements of focus, strategic program, market impact and the expected performance result. This unique strategic model will force you to pick answers for each of these four elements, and help you bring those answers into a strategy statement with crystal clear marching orders for those who will follow the Brand Plan.

How to Write Strategic Objective Statements for Engagement StrategyStrategic Thinking Engagement Strategy

  1. Focus on either increasing the involvement of consumers or increasing the importance of the purchase.
  2. Deploy brand resources against a key strategic program, one of Advertising, Public Relations, Key Influencers, Social Media or packaging.
  3. Achieve a market impact that tightens the bond with consumers, moving them along the Brand Love Curve, moving from Indifferent to Like It, to Love It and to Beloved.
  4. Achieve a performance result that leverages the increased consumer engagement, either driving one of the 8 power drivers or one of the 8 profit drivers.

Examples of engagement strategy statementsStrategic Thinking Engagement Strategy

  • Increase consumer involvement (a) using breakthrough Advertising to help the ‘Real Beauty’ message gain attention (b) to create a base of loyal Dove brand lovers (c) doubling the brand’s market share (d).
  • Increase the importance of Dove’s ‘confidence’ message (a) leveraging social media (b) to build a base of brand lovers (c) who will follow Dove into new categories (d)

Below is our workshop we run to help Brand Leaders think strategically. 

Beloved Brands: Who are we?

At Beloved Brands, we promise that we will make your brand stronger and your brand leaders smarter. We can help you come up with your brand’s Brand Positioning, Big Idea and Brand Concept. We also can help create Brand Plans that everyone in your organization can follow and helps to focus your Marketing Execution. We provide a new way to look at Brand Management, that uses a provocative approach to align your brand to the sound fundamentals of brand management. 

We will make your team of Brand Leaders smarter so they can produce exceptional work that drives stronger brand results. We offer brand training on every subject in marketing, related to strategic thinking, analytics, brand planning, positioning, creative briefs, customer marketing and marketing execution. 

To contact us, email us at graham@beloved-brands.com or call us at 416-885-3911. You can also find us on Twitter @belovedbrands

Graham Robertson Bio Brand Training Coach Consultant

How to manage your B2B brand

Too many people think that brand management matters most to a consumer brand, and they under-estimate the value of marketing for B2B brands. And many of these people are running B2B brands. They treat marketing as a support function, hiring a low-cost marketing coordinators to support their sales team, and do basic packaging for new launches and run a few basic trade magazines.

B2B marketing is not just about selling products, but about building and selling your brand’s reputation. The role of a B2B brand is to create unique idea for your brand, perceived in the minds and hearts of your customer, consistently delivered by the experience, creating a bond, power and profit beyond what the product itself could achieve. Too many B2B companies believe they just SELL PRODUCTS. However, you should be building and managing your reputation of your brand. Whereas basic products and services solve small problems, I like to think that a brand beats down the enemy that your customer faces every day. For instance, FedEx fights the enemy of “business moving too slowly” while IBM fights “unsolvable problems” for their customers. What is your customer’s enemy that you can solve for them?

The more loved a brand is by its customers, the more powerful and profitable that brand will be. With a connected brand, it helps to warm up sales leads–many times they’ll already know your reputation before you call. A brand can connect with customers so that pure pricing becomes less of a factor. If the customer is satisfied and connected on one piece of business, they’ll look to you to solve other problems for them.

Start with a Big Idea

The best brands use a Big Idea to help explain themselves in 7 seconds, and use that Big Idea to help extrapolate that same brand story into 60 seconds or even 30 minutes, depending on the situation. In a crowded branded marketplace, Big Ideas help simplify your brand message so it’s easily understood and remembered, own-able in the customers’ mind and heart and motivating enough to change consumer beliefs and behavior. That big idea should transform your brand message into a brand reputation.

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Below is the tool we use to figure out a brand’s Big Idea which revolves around five areas that help define the brand: 1) Brand’s character 2) Products and Services the brand provides 3) Internal Beacons that people internally rally around when thinking about the brand and 4) Consumer reputation of the Brand and 5) the role of the brand in connecting with consumers. How we use this tool is we normally brainstorm 3-4 words in each of the four distinct sections and turn create sentences for each. Then looking collectively, we begin to frame the brand’s Big Idea with a few words or a phrase to which the brand can stand behind. The tool works! 

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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 customers.

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Build your brand around a big idea that’s simple to understand and big enough to create a lasting impression with consumers. Create a simple brand promise that separates your brand from competitors, based on being better, different or cheaper. Use your brand story to motivate customers to think, feel or act, while beginning to own a reputation in the mind and hearts of consumers. You need a fundamentally sound product, with innovation that keeps your brand at the forefront of trends and using technology to deliver on your brand promise. The purchase  moment is where customers move through the purchase cycle and use channels, messaging, processes to make the final decision. Turn the usage of your product into an experience that becomes a ritual and favorite part of their work life so that your customers always turn to you first.

Whereas B2B brands currently treat marketing as a support function, once you have your big idea you can see how for a B2B brand, that the idea should drive every part of your organization and that your brand’s experience will be supported by the culture, people and operations which then transforms that idea into a brand reputation. Below you can see how that Big Idea should be a beacon for your top-to-top leadership, your sales team, the problem solvers, customer service team and the experience delivery team.

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Everyone in your organization must be saying the same message. For a B2B brand, marketing’s role is to make sure that the external and internal story are given equal importance so that everyone in your organization must be communicating and delivering the same big idea to customers that they see in trade magazines, at trade shows or in the sales materials.

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Like any brand, there are really only four choices: you can be better, different, cheaper or else not around for very long. For B2B, when your product is a commodity, you have to find a way to use service levels as a way to find your point of difference. When you start to treat your own brand like a commodity or believe that you are, that’s when you’re in trouble. What you want to do is use that Big Idea to create an internal culture and use that culture to build your brand’s reputation as the way to help separate you in the marketplace. As you build your culture, you’ll see that you can begin to use culture as a way to stand out and then you’ll evolve to where you see culture becomes the backbone that delivers the brand experience. At the ideal stage where you become a beloved brand you see that culture and brand become one as your own people become the most outspoken fans of the brand. 

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Your brand is your reputation and it can never be a commodity

Click below on the Powerpoint version of the B2B Brand Workshop we run for clients.

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

GR bio Jun 2016.001

 

Would you ever pay more for a bottle of water than you would for beer?

This past week, I was in Shanghai, China and found the price of a bottle of Evian and Fiji water about ten times the prices of local bottled water (Nestle). And when I went into the Beer section, the water was still twice the price of a Budweiser beer (produced locally). You can also buy Coke or Gatorade much cheaper.

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The prices above  are in Chinese Yuan (1 CYN = 0.15 USD), with the US Dollar equivalent being just under $2.00 US for the Evian or Fuji water, and then only 21 cents US for the Nestle water. The Budweiser is only $1 USD and the Coke is about 50 cents US. Given any worries about “don’t drink the water”, you might easily be willing to pay for the Evian. Or just grab a few Budweiser’s and not worry so much about the water.

China is in a state of dramatic change

The economy of China has been going through vast changes and you see it live on the streets of Shanghai. The contrast of the modern sky scrappers of downtown Shanghai, with the small street neighborhoods with laundry hung out on the phone lines. The increasing number of Mercedes driving past old school three wheel bikes carrying layer upon layer of boxes for delivery. High end restaurants contrasting against live chickens being killed and bagged for dinner that night. The small boutique 100 square foot stores and the 80,000 square foot Carrefour Super Markets.

While China has benefited from global trade, making Apple computers and Nike shoes to be sold around the world, the government uses protectionist practices to ensure high transfer pricing to ensure local goods benefit.

A brand like Evian, with water from the French Alps can not maintain that positioning if they begin producing in a factory just outside Shanghai. In the Carrefour, they have three specific aisles for “Imported” goods, all recognizable Western brands, but all with dramatic price premiums to the local products. This aisle might appeal to the high number of expats living in China as well as the growing Chinese upper middle class. The rest of the grocery store has 10-20% global brands interwoven among the shelves of local goods. This sets up two specific strategies, produce locally (for instance Nestle) and compete directly with the local goods, or stay in the “Imported” and use the super-premium pricing as a strategy to set yourself apart.

I remember being in France in the early 1990s, where I found myself walking all over Paris for about 4-5 hours on a 35 Celsius day. I finally came across a store selling Diet Coke and it was the equivalent of $6. I was in shock, but my thirst overcame my Scottish blood and I guzzled down the most expensive Diet Coke of my life. Later on, my wife ordered a glass of wine for $3. One more reminder that if you eat and drink like the locals, you will be much better off.

Global Pricing Management Systems

Global pricing models get very complicated. With a desire to do well in every local market, you must consider regional and global pricing to ensure you avoid any grey-market activity. Most of the big global brands are using pricing corridors by region to ensure local pricing stays local. Here are five things when considering your pricing as you enter new markets.

  1. Define your Pricing Strategy in alignment with your business strategy and business objectives and based on a deep understanding of your own competitive position, customer insight and cost-to-serve. When starting to look at your pricing, here is what you should be considering.
    • Market Price: If you are confused, pricing studies that look at various options to identify the price elasticity. In general, the more loved a brand, a combination of interesting or important are more price inelastic. One water scare and Evian could charge $5 per bottle, without seeing a change in the volume would make it an inelastic price.
    • Value Price: A brand has good value if the price is deemed “fair”. For a marketer, the mid point hits when the perceived price and perceived value match up. If the price is too high, there is a risk of losing customers/volume. If the price is too low, there is a risk of not realizing the full profitability on the brand.
    • Strategic Price: the pricing strategy can actually impact the positioning as much as it just reflects the positioning. A super premium brand like Evian can make the consumer believe it must be a super premium if it really can command that value.
    • Short vs. Long-term Revenue Pricing: Marketers can get caught up in the addiction to pricing promotions. Once you get up to 30-50% sold on deal, the actual price begins to have little meaning for the consumer.
    • Portfolio Pricing (Price Points): One option for a brand entering a local market who wants to maintain the price of their global brand would be to create a specific local brand with a local price. This would allow you to own both the super-premium and the value priced brands, with the consumer never knowing you own them both.
  2. Operationalize Pricing Strategy in marketing activities and generate all required input for Price Execution.  Here are the factors you should be considering when you operationalize your pricing into the new markets.
    • Competitor Responses
    • Not-in-Kind (NIK) Replacements
    • Reduce/Increase attractiveness of business
    • Keep out competition
    • Setting Visible Market prices
    • Customer Reaction Product Pricing Cannibalization
  3. Implement Pricing Strategy and Price Determination framework into daily sales activities and transactional processing. As you evaluate the impact of your pricing in the market, here are the factors you should be looking at.
    • Buying Power
    • Supplier Power
    • Place in the Value Chain
    • Price Elasticity
    • Global vs. Local Supply and Demand
    • Capacity
    • Substitute products
  4. Define pricing capabilities and skill sets, establish pricing organization and assure consideration of legal requirements
  5. Enable pricing capability by monitoring and provision of tools, systems and processes related to pricing in an integrated manner

Pricing Waterfall

It is good discipline for brands to map out and manage their pricing waterfall. This provides a good control tool as you can track the waterfall over time and identify problems you are encountering. Here’s an example of the dimension involved in a pricing waterfall, helping move you from a desired price to a profitable price.

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So would you pay a 90% price premium for the Evian? I did. 

Here’s a presentation we use for the deep dive analytical thinking that can help you determine your pricing.

Beloved Brands: Who are we?

At Beloved Brands, we promise that we will make your brand stronger and your brand leaders smarter. We can help you come up with your brand’s Brand Positioning, Big Idea and Brand Concept. We also can help create Brand Plans that everyone in your organization can follow and helps to focus your Marketing Execution. We provide a new way to look at Brand Management, that uses a provocative approach to align your brand to the sound fundamentals of brand management. 

We will make your team of Brand Leaders smarter so they can produce exceptional work that drives stronger brand results. We offer brand training on every subject in marketing, related to strategic thinking, analytics, brand planning, positioning, creative briefs, customer marketing and marketing execution. 

To contact us, email us at graham@beloved-brands.com or call us at 416-885-3911.You can also find us on Twitter @belovedbrands. 

Positioning 2016.112

Ritz-Carlton: Meeting the “unexpressed” needs of guests

 

 

Impeccable service separates Ritz-Carlton

Ritz-Carlton does a lot of things right to earn the high prices they are able to charge–the best locations, beautiful rooms, nice beds and great meals. But in reality, every luxury hotel has to deliver against these or they’ll be quickly out of business. Recognizing that any great brand has to be better, different or cheaper to win, Ritz-Carlton focuses their attention on impeccable service standards to separate themselves from other Hotels. What Ritz-Carlton has done so well is operationalize it so that culture and brand are one.RitzCarlton.svg

I was lucky enough to be able to attend the Ritz-Carlton Training session, and as a Brand Leader, the thing that struck me was the idea of meeting the “unexpressed” needs of guests. As highly paid Marketers, even with mounds of research, we still struggle to figure out what our consumers want, yet Ritz-Carlton has created a culture where bartenders, bellhops and front desk clerks instinctively meet these “unexpressed needs”. Employees carry around note pads and record the expressed and unexpressed needs of every guest and then they use their instincts to try to surprise and delight these guests.

Employees are fully empowered to create unique, memorable and personal experiences for our guests. Unique means doing something that helps to separate Ritz-Carlton from other hotels, memorable forces the staff to do something that truly stands out. And personal is defined as people doing things for other people. Isn’t that what marketers do? So what’s getting in our way?

They bake it right into the Ritz-Carlton culture

The phrase that Ritz-Carlton uses with their staff is “Radar is on and Antenna is Up” so that everyone can be looking for the unexpressed needs. These could be small wins that delight consumers in a big way:

  • A couple arrives at the hotel, wife is six months pregnant. Normal service would be to observe and do nothing–at best help with the bags. But at Ritz-Carlton, antenna up means they get a special pillow for sleeping and alcohol free sparkling cider instead of champagne.
  • A business guest who was staying at a hotel for 4 weeks and the staff printed up business cards with the guest name, hotel address and phone number so that he could give them out during his stay.

But like any hotel, things do go wrong. The staff is encouraged to use these moments to not only address the problem and fix it but also try to surprise and delight guests turning a problem into a potential wow moment. With everyone’s antenna’s up, when a problem does arise they quickly brainstorm and use everyone’s input.

  • A guest who had just left the hotel called to say that their son had left his stuffed giraffe in the room. The boy could not stop crying.2012-05-17-Joshiepic5 The only thing these distraught parents could think of to tell their son, is that the giraffe was staying on the vacation a little longer. So the staff, found the giraffe and overnighted it to the boy. Most luxury hotels would have done that. But that was not enough for Ritz-Carlton. Knowing what the Mom had told their son about staying on a bit longer, the staff also included a photo album of the giraffe enjoying his extra stay, including photos of the giraffe sitting by the pool, in the spa with cucumbers on his eyes, and laying out on the beach. It’s not that the album would make the boy excited, because he was excited just to have his favorite giraffe back. But imagine how the parents felt and the signal it sends to them about the Ritz-Carlton staff and how many friends they may share that story with.
  • An activity coordinator noticed that one of them had a real passion for ballet. Over the week, the activity coordinator even came in before her shift every day to give the girl a private ballet class. She wanted to do something special for the young guest, and decided to teach her a special dance for her parents. On their last day, she arranged for a performance at the Jazz Club, with special music and lighting for the performance. The couple was very grateful and could not believe how much love and passion the activity coordinator had put into making their daughter’s stay so memorable. To complete the experience, they gave the guests a CD with pictures and videos of their daughter’s performance so they could share it with family and friends on their return home

To inspire each other, everyone at Ritz-Carlton goes through a daily line up where they share wow stories, both local stories and stories from other hotels around the world. This line up keeps everyone in line, but it also keeps people fully engaged. Harvard did a study on Employee Engagement, stating that the average company had 29% of their employees who were fully engaged and they labelled this group as the Super Stars. Using the same criteria, Ritz-Carlton has 92% of their staff considered fully engaged. No wonder they are able to win so many service awards and no wonder they can create such an experience for their consumers. They’ve fully created a culture that now defines the brand.

So what can brand leaders learn from Ritz-Carlton?

  1. How can marketers challenge themselves to meet the unexpressed needs of guests? As Henry Ford said: “If I had asked people what they wanted, they would have said faster horses.” So what’s getting in your way? Are you over-thinking things? Are you too worried about the short-term results that you’re not even seeing or hearing the unexpressed needs? Are you so analytical that you need to see the data first and never really reach for your instincts which might challenge the data or even fill in the missing gaps in the data?0da472d
  2. How do you get your antenna’s up so that you and your team are always watching, listening and thinking? As you run from meeting to meeting, filling in forecasting templates and spending evenings pretty-ing up your presentation for senior leaders, how many times a week do you talk to consumers, how many times do you walk into a store or what social media tools do you monitor and listen to. Do you ever sit with customer service for an afternoon? Do you read through the complaints? And while it’s great that you do this once in a while, how do you operationalize it with your team. Can you set aside time so that you’re doing regular store visits or a quick brainstorm on observations once a week.
  3. How can Marketers push ourselves to wow the Consumer? The Ritz-Carlton staff is constantly trying to wow their guests, in either a small or big way believing that both make a difference. Are you pushing yourself to surprise your consumer? Are you trying to wow your consumer? Are you rejecting OK work to force everyone to reach for Great? Do you have a standard for the work that exceeds that of your consumer, after all if you don’t love the work then how do you expect your consumer to love your brand?

Do something this week that meets the unexpressed needs of a Customer just to see what it feels like. It might feel pretty damn powerful.

 

To read about how to create a Beloved Brand, click on the presentation below:

 

Beloved Brands: Who are we?

At Beloved Brands, we promise that we will make your brand stronger and your brand leaders smarter. We can help you come up with your brand’s Brand Positioning, Big Idea and Brand Concept. We also can help create Brand Plans that everyone in your organization can follow and helps to focus your Marketing Execution. We provide a new way to look at Brand Management, that uses a provocative approach to align your brand to the sound fundamentals of brand management.

We will make your team of Brand Leaders smarter so they can produce exceptional work that drives stronger brand results. We offer brand training on every subject in marketing, related to strategic thinking, analytics, brand planning, positioning, creative briefs, customer marketing and marketing execution.

To contact us, email us at graham@beloved-brands.com or call us at 416-885-3911. You can also find us on Twitter @belovedbrands.

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10 ways to build an exceptional Customer Experience, just by saying “stop it” to these brand killers

 

 

There is only one source of revenue: Your Customers!!!

The most Beloved Brands create a brand experience that lives up to even over-delivers against the brand’s promise. I always like to remind myself that the customer is the most selfish animal on the planet, and deservedly so, because they have given you their hard-earned money. Brand Leaders are always fixated on driving demand to increase share and sales. Yet they usually only reach for marketing tactics like advertising, special promotion or new products. Many tend to forget about creating exceptional customer experiences. It takes years to get customers to change their behavior and move away from their favorite brand and try yours. Yet it takes seconds of bad service for you to lose a customer for life.

Do you treat those who love your brand better than you treat other customers?  You should. You can never lose their love, and then you have to find ways to use that love to get them to influence others in their network.

As we map out how consumers buy and experience brands, we have created 5 main consumer touch-points that will impact their decisions on whether to engage, buy, experience and become a fan. Our five consumer touch-points we use are:

  1. Brand Promise: Brands need to create a simple brand promise that separates your brand from competitors, based on being better, different or cheaper.
  2. Brand Story: Use your brand story to motivate consumers to think, feel or act, while beginning to own a reputation in the mind and hearts of consumers.
  3. Innovation: Fundamentally sound product, staying at the forefront of trends and using technology to deliver on your brand promise.
  4. Purchase Moment: The moment of truth as consumers move through the purchase cycle and use channels, messaging, processes to make the final decision.
  5. Brand Experience: Turn the usage of your product into an experience that becomes a ritual and favorite part of their day.
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Here are the 10 customer experience things that you should STOP DOING:

#1: Stop it with the attitude of “I’m in shirts not ties”.

It can be extremely frustrating walking up to an employee of a store who has no clue about anything but their own little world. And even worse when they just point and say “go over there”. The better service is those who take the extra step by jumping in and helping and those know what’s going on in every part of the brand–not just their own world.Stop Try asking someone at Whole Foods where something is and they will walk you right over to the product you’re asking about and ask if you need anything else.

#2: Stop it when you make the customer do the work.

The airlines have been shifting all their work over to customers for years–boarding pass, bag tag and now even lifting your suitcase up onto the conveyor belt. While it might help you control your costs in the short-term, you’ll never be a Beloved Brand and you’ll never be able to charge a premium price for your services. Instead, in a highly price competitive marketplace, you just end up passing those cost savings onto to the customer in lower prices. No wonder most airlines are going bankrupt.

#3: Stop it when you feel compelled to bring up the fine print when dealing with a customer problem.

A year ago, I had a problem with a laptop I bought, but I felt extra confident because I had paid extra money to get the TOTAL service plan. Yet with my first problem with the laptop, I was told the TOTAL service plan did not include hardware,software, water damage or physical damage. 1e1d5d079e23366d1149ea834ce8102f62d562519d45930ae0c0fb1b485ffff7Are you kidding me? With a computer, what else is there? As a consumer, I had gone through the brand funnel–from consideration to purchase–and made a choice to buy your brand. Yet, at the first sign of my frustration with your brand you are deciding to say to me “don’t come back.” I had a problem with my iPhone and returned it to the Apple store. They went into the back room and got a new iPhone for me and said “would you like us to transfer all your songs over?” I was stunned. Apple took a problem and turned me into a happy customer who wanted to spend even more money with them.

#4: Stop it when you send a phone call to an answering machine.

We’ve all experienced this and secretly many of us have done this. Now if you know you’re going to get a machine ask the customer: “is it OK if you get their machine”. But willingly sending a caller into a machine is just plain lazy and it says you just don’t care. Treat them with the respect that a paying customer has earned with you and make sure there is a human on the other line.

#5: Stop it with processes that make it look like you’ve never been a customer before.

While brand leaders tend to think they own the strategy and advertising, it is equally important that you also own the customer experience. While the positive view of the purchase process is driven by a brand funnel, you should also use a “Leaky Bucket” analysis to understand where and why you are losing customers. It is hard work to get a customer into your brand funnel, it is great discipline to move them through that brand funnel by ensuring that every stage is set up to make it easy for the customer to keep giving you money. Step into the shoes of your customers and experience the brand through their eyes on a regular basis so you can effectively manage the experience. You should always be shopping your own category, just to see how it is to buy your brand. When you find leaks to the brand funnel, find ways to close them so you can hang on to the customers you’ve worked so hard to get into the doors.

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#6: Stop it with trying to win every customer interaction.

This past Christmas I was lucky enough to be 34th in the return line at Best Buy. For some reason they put the most angry person they could find to manage the returns line. I suppose it lowers their return budget, but it also drives away customers. With every customer, this guy was hell-bent on trying to break the customer’s spirit so they’d avoid returning the product. As I watched, I felt like I was headed into a police interrogation. On the other hand, if you want to see a comfortable returns policy, try returning something at Costco. They take the stance that they are on the side of their “members” and help you go up against the big bad manufacturers. If you don’t have your receipt, they’ll print it out for you. At Costco, the returns process is where they earn that $50-100 membership price. Just maybe you should start treating your customers like members and see if it forces you to see things differently.

#7: Stop it when you are explaining your problems instead of listening to the customer’s problems.

When a place is completely messed up, some workers feel compelled to tell you how stupid they think this is. Unfortunately, this constantly complaining ‘why me’ attitude can quickly become systemic and contagious within the culture. It takes an effort to turn the culture around. The best way is to create service values, driving process that helps reward good service, and driving personal accountability within everyone. Then reward behavior that matches up to the service values.

#8: Stop it with the hollow apologies that seems like you are reading from a manual.

No one wants to deal with people who just feel like they are going through the motions. It’s crucial that you set up a culture that is filled with authentic people who have a true passion for customers. TD Bank retail staff does an exceptional job in being real with customers. When you consider that they hire from the same pool of talent as all the other banks, it’s obviously the culture of caring about their customers that really makes the difference in separating their customer experience from others.

#9: Stop it when you try using my complaint call as a chance to up-sell me. The only up-sell is to get me to come back again.

Last month, I had an issue with my internet being way too slow. When I called my local service provider, instead of addressing how bad their current service was, the first response was to try selling me a better service plan that with a higher monthly fee and a higher priced modem. Then suddenly, they tried to sell me a home security system. If a customer is a point of frustration, why would they want to pay you even more money for a bad service. You haven’t earned my business. The best in class service is the Ritz Carlton who proactively look to turn customer problems into a chance to WOW the customer. It’s built right into the culture as employees are encouraged to brainstorm solutions and empowered with up to $2,000. Instead of up-selling, the Ritz spends the extra effort to ensure you’re satisfied with the service you’ve already paid for.

#10: Stop it when it just becomes a job for you and you forget the passion you have for the business.

When your team starts to feel like they have no power, they just start to show up as pencil-pushing bureaucrats. There’s no passion left–as it’s been sucked out by a culture with a complacent attitude and a bunch of check in-check out types who follow the job description and never do anything beyond it.  Ask yourself “why do you come to work” and if the answer doesn’t show up in your work, then you know that the culture needs a complete overhaul. If you don’t love the work, then how do you expect your customer to love the brand?  

The best Marketers manage their brand culture

Beloved Brands create an exceptional customer experience. They know it’s not just about advertising and innovation. As a consumer, I’ve become spoiled by the best of the brands who raise the bar and continue to surprise and delight me. Think of how special you feel when you are dealing with Disney, Starbucks and Apple. Compare that to how demoralized you feel when dealing with the airlines, utilities and electronics shops. For the Beloved Brands, they understand that Culture and Brand are One. The Brand becomes an internal beacon for the culture—and the brand’s people have to genuinely be the strongest most outspoken fans who spread the brand’s virtues.keep-calm-and-stop-it-stupid.jpg

As you look at your own customer experience, take a walk in your customers shoes and see where your customer would rate you. Are they with you because they love you and want to be with you or because they have to be with you? Even though they like the product, they may feel indifferent to your brand. And they’ll be gone at the first chance at an alternative. And as a brand leader, your brand is likely stuck on a rational promise, unable to separate yourself from competitors and instead you are left competing on price and promotion.

  • Begin by holding the culture up the lens of the brand’s Big Idea and ensure the right team in place to deliver against the needs of the brand.
  • Start finding ways to create a culture that is more consumer centric (customer first)
  • Begin to push the culture to create a unique delivery of the product experience. Use Leaky Bucket analysis to take a walk in your customers shoes and to discuss weaknesses.
  • Set up forums for innovation—that create an energy through the culture and one that starts to take risks on the best ideas.
  • Use a purpose driven vision, with a set of beliefs and values to challenge the team to create and deliver that experience.
  • Reward the behaviors that match up to your values, with both rewards and recognition. Creating a culture of wow stories motivates all employees to seek potential wow moments they can deliver.
  • Begin using power of a loved brand to attract and keep the best. Find fans of the brand who will become your front line spokespeople. They bring that passion for the brand.

Here’s our workshop presentation on “Creating a Beloved Brand”.

Beloved Brands: Who are we?

At Beloved Brands, we promise that we will make your brand stronger and your brand leaders smarter. We can help you come up with your brand’s Brand Positioning, Big Idea and Brand Concept. We also can help create Brand Plans that everyone in your organization can follow and helps to focus your Marketing Execution. We provide a new way to look at Brand Management, that uses a provocative approach to align your brand to the sound fundamentals of brand management. 

We will make your team of Brand Leaders smarter so they can produce exceptional work that drives stronger brand results. We offer brand training on every subject in marketing, related to strategic thinking, analytics, brand planning, positioning, creative briefs, customer marketing and marketing execution. 

To contact us, email us at graham@beloved-brands.com or call us at 416-885-3911. You can also find us on Twitter @belovedbrands

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The 10 most abused words by Marketers

 

On a daily basis I hear Marketing buzz words bantered about and it becomes obvious people say them and don’t really even know what they mean. I think people use the sacred marketing words like relevant, equity or insights, because they figure no one will challenge them. Of course, everyone puts “strategic thinker” on their Linked In profile. The problem I see is that a generation of Brand Leaders have not been properly trained and it’s starting to show. For the past 20 years, companies have said “on the job” training is good enough. But now the lack of training is starting to show up. The mis-use of these words can be linked to the lack of understanding of the fundamentals of marketing.

Here are the 10 words mis-used and even abused by Marketers.

1. Relevant

When I was running the marketing department at J&J, I jokingly banned this word “relevant” because it was so abused. I found that when a marketer would say “we need to make sure it’s relevant”, the room would go silent. Then there’s a pause and someone would add their own brilliance “yeah, we have to be relevant”. The room went silent again. So then I would usually ask a simple question “so what do you mean relevant?” and sadly that question seemed to stump most of my marketers. Relevant has become the marketing equivalent of the word “nice”, because people say it so much now, they have no clue what they mean by it. My mom and my new iPhone speakers are both “nice”. Yes, of course, marketing should be relevant. But what exactly do YOU mean when YOU say the word relevant? When you answer the question, you likely just wrote down something better. So use that instead of just blindly saying “we need to be relevant”.

2. Awareness

Just like the word relevant, you’re just forcing me to ask, “so when we get awareness, what do we get then”. Once you spend money, you should be able to get awareness–it’s just a question of how much money you spend. Jeb Bush just spent $130 Million–everyone knew he was running. No one voted for him and his awareness did very little for him. In brand terms, we don’t make any money from awareness–we only begin to make money as we are able to move our consumer through the consideration-search-purchase stage.  So, let’s save the word “Awareness” for the lazy brains.

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3. Brand equity

The term was first coined in the 1980s, as part of the RJR Nabisco take-over when they couldn’t explain why they were willing to pay a higher price than the pure book value of the assets. The word has strayed since in two different directions–those like Brand Finance and Interbrand who still use it to correctly attribute it to the VALUE of the brand and those who mis-use the word when they attribute to the HEALTH of the brand. Where it gets abused is when it has become  a catch-all statement for the “unexplainable”. They’ll say “the final scene of the TV ad is really emotional and should really drive the equity of this brand”. We look at Brand Health and Brand Wealth separately and then use the model to predict future success of the brand. As Brand Leaders, it’s actually important to keep them separate so that the actions you take hit the right spot on keeping your brand healthy and wealthy. But Brand Equity is about the wealth side, linked to Value.

There are 8 ways to drive Brand Wealth: premium pricing, trading the consumer up or down, reducing both product costs and marketing costs, stealing other users or getting current users to use more, entering new categories and creating new uses for your brand. Those are not ambiguous at all.

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4. Target market

I’m in shock at how Marketers list out their target market on the creative brief. I once read a brief with a target that said “aged 18-65, new customers, current customers and even employees”. That pretty much covers everyone but prisoners and tourists. A well-defined target should be a combination of demographics (age, income level, male/female) and psychographics (attitude, beliefs and behaviors). I actually try to put an age demographic on every brief. Call me old-fashioned or just realistic. The media you buy, the talent you put in the ad, the stores you choose to sell to, or even the claims you make are likely going to have an age component, so you’re just kiddng yourself by saying “we are more about psychographics than demographics”. When it comes to age, I try to push for a maximum of a 5 year gap. This doesn’t mean you won’t sell to people outside of this target, but it does help give focus to you.

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5. Alienate

This word drives me bonkers and it seems to be growing or at least I keep hearing it. The best brands have focus, the worst don’t. The best marketing programs also have focus, and the worst don’t. If you want to be a great marketer, you must have focus–defined target, positioning, strategies and  execution. Stop being worried and cautious that you alienate older consumers or your current consumers, that you water down your marketing programs to a degree that we have no clue who you’re talking to or what you’re even saying. As long as you are staying consistent and true to the brand, no one should be alienated by what you have to say and who you say it to.

6. Benefits

There’s an old selling expression: “features tell and benefits sell”. But I’m seeing that Marketers have become so obsessed with shouting their message as loud as they can, most brand communication is wall-to-wall claims about how great you are. Brand Leaders should be organizing their Customer Value Proposition into rational and emotional benefits. What I recommend you do is list out the brand features and put yourself in the shoes of your consumer and ask “what do I get?” (for rational benefits) and “how does that make me feel?” (for the emotional benefits). Your brand’s communication should be a combination of the two.

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7. Brief

It’s called a brief, because it’s…BRIEF.  I saw a creative brief last year that was 8 pages long. And even that length, I couldn’t find one benefit or one consumer insight. Every brief should be one page maximum. I’ve done a 1000 briefs at this point, and it is pretty easy to nail the one page brief.

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8. Brand

Too many companies have now separate Brand from Product marketing, especially on the Master Brand type companies. The “Brand” department handles PR, brand advertising, websites and events. The “product” department handles new products, pricing, distribution, and product-oriented or promotion-oriented advertising. Brand and Product should NEVER be separated. It’s crazy. 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.” To have a successful brand, you need to connect with consumers based on a BIG IDEA for your brand and then line up the 5 connectors (promise, story, innovation, purchase moment and experience)

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9. New Media

New Media has been around 15-20 years old now. I’m not sure I hear the term “new media” on Mad Men when they talk TV ads, but that’s how crazy it sounds at this point. A better way to look at today’s Media is to manage all 5 types: Paid, Earned, Search, Social and Home media. Paid is what we think of the traditional media (TV, Print, OOH, Radio and Digital options). With EARNED media, you need to create and manage the news cycle with mainstream news, expert reviews and blogs. SEARCH Engine Optimization balances earned, key words and paid search. SOCIAL is about engaging users where they are expressing themselves through sharing and influencing. HOME media is where you host your website where you can use as a source of information, influence or even closing the sale.

10. Strategic

To me, the difference between a strategic thinker and a non-strategic thinker is whether you see questions first or answers first. Strategic Thinkers see “what if” questions before they see solutions. They map out a range of decision trees that intersect and connect by imagining how events will play out. They reflect and plan before they act. They are thinkers and planning who can see connections. Non Strategic Thinkers see answers before questions. They get to answers quickly, and will get frustrated in the delays of thinking. They think doing something is better than doing nothing at all. They opt for action over thinking. They are impulsive and doers who see tasks. They are frustrated by strategic thinkers. But to be a great marketer, you must be a bit of a chameleon. While pure strategy people make great consultants, I wouldn’t want them running my brand. They’d keep analyzing things to death, without ever taking action. And while tactical people get stuff done, it might not be the stuff we need done. I want someone running my brand who is both strategic and non-strategic, almost equally so. You must be able to talk with both types, at one minute debating investment choices and then be at a voice recording deciding on option A or B. You need to make tough choices but you also have to inspire all those non-strategic thinkers to be great on your brand instead of being great on someone else’s brand.

It is OK to use these words. Just make sure you use them properly.

Beloved Brands: Who are we?

At Beloved Brands, we promise that we will make your brand stronger and your brand leaders smarter. We can help you come up with your brand’s Brand Positioning, Big Idea and Brand Concept. We also can help create Brand Plans that everyone in your organization can follow and helps to focus your Marketing Execution. We provide a new way to look at Brand Management, that uses a provocative approach to align your brand to the sound fundamentals of brand management.

We will make your team of Brand Leaders smarter so they can produce exceptional work that drives stronger brand results. We offer brand training on every subject in marketing, related to strategic thinking, analytics, brand planning, positioning, creative briefs, customer marketing and marketing execution.

To contact us, email us at graham@beloved-brands.com or call us at 416-885-3911. You can also find us on Twitter @belovedbrands.

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In advertising, what comes first: the MEDIA choice or the CREATIVE idea?

Of course the consumer always comes first. However, as you begin the advertising process, Brand Leaders need to figure out whether the creative determines the media choice you make or the media choice helps frame the creative. When I started in marketing, way back in the mid 90s, life was a little simpler because the media and the creative were both under one agency roof. The meetings were simple: you’d see your various TV script options, give some feedback and then the room would go silent and the account person would say “now let’s look at the media plan” and the media person would take you through a 15 page presentation on where else the idea of your TV script could go. You would see some magazine, OOH and even some sampling idea. Back then, there was no internet advertising yet.

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Then one day, our media folks from our agency were spun off, had a new name, moved offices and had a new President. It now just meant we had two presentations and the Brand Leader now had to make sense of things and try to piece it together. About a year into that new relationship, I was sitting there confused and asked the question: “So what comes first, the media choice or the creative idea?” The room went silent for about 5 minutes. Then of course both sides talked over each other, both saying it was them that came first.  

All Marketing Execution has to do something to the brand–getting the consumer to think, act or feel differently about your brand. Media is an investment against your strategy and creative is an expression of your strategy. Both media and creative are only useful if they connect with consumers. Great advertising must connect through very insightful creative that expresses the brand’s positioning and told in a way that matters to those who care the most. Great advertising must be placed within the consumers’ life where it will capture their attention and motivate them in the expressed desired way to meet the strategy. So really, the consumer comes first and strategy comes second. Media and creative need to work to jointly capture the consumer and deliver the strategy.  

With separate agencies, the problem now rests with Brand Leaders to figure it out. While one could theoretically argue that if the Creative Idea of the advertising is so big, it should work in every medium. That’s just not always true in reality. Some ideas just work better in certain mediums. Yet the media people could also theoretically argue that if you go for the most efficient and effective media option, the media will do the work for you. That’s also not true. The best overall advertising should work focus on what has the most impact and what has the highest efficiency.  

Here’s a solution for Brand Leaders 

The three questions you always need to keep in your head at all times: 1) where is your consumer 2) where is your brand and 3) how does the creative idea work? 

1.  Where is your consumer?

You should really understand who your consumer is, and who they are not. You need to make sure you understand the insights about them, because it’s those insights within your creative that allow you to connect with them. They’ll say “they get me”. You should always be mapping out a day in the life of your consumer. Get in their shoes and say “what does my consumer’s day look like and how will my message fit or interrupt their life?” Take a “be where they are approach” to your media. 

2.  Where is the Brand?

First thing you have to do is consider where your brand is on the Brand Love Curve where brands go from Indifferent to Like It to Love It and all the way to Beloved. At INDIFFERENT, it’s about announcement style such as mass media, LIKE IT becomes about separating yourself from the competition while LOVE IT and BELOVED you’ll start to see the growing importance of event marketing to core users or social media as a badge of honor to share with others.

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3.  How does the Creative work? (The ABC’S)

The best advertising should draw ATTENTION, be about the BRAND, COMMUNICATE the main message and STICK in the consumers head long beyond the ad.

  • Attention: You have to get noticed in a crowded world of advertising. Consumers see 7,000 brand messages per day, and will likely only engage in a few. If your brand doesn’t draw attention naturally, then you’ll have to force it into the limelight.
  • Branding: Ads that tell the story of the relationship between the consumer and the brand will link best. Even more powerful are ads that are from the consumers view of the brand. It’s not how much branding there is, but how close the brand fits to the climax of the ad.
  • Communication: Tapping into the truths of the consumer and the brand, helps you to tell the brand’s life story. Keep your story easy to understand. Communication is not just about what you say, but how you say it—because that says just as much.
  • Stickiness: Sticky ads help to build a consistent brand/consumer experience over time. In the end, brands are really about “consistency” of the promise you want to own. Brands have exist in the minds of the consumer. 
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In the reality of advertising, not every ad execution will be able to do all four of the ABC’S.  When I’m in the creative room, I try to think about which of the two ABC’S are the most critical to my strategy. If it is a new product, I want all four, but I have to have: Attention and Communication. If the brand is in a competitive battle I have to have Brand and Communication.  If the brand is a leader and beloved, I need to make sure the advertising is about the Brand and that it Sticks.   

What I recommend you do:

In a sense, you have to work the creative and media together. But that’s impossible. So what I do is hold off on making any media decisions until you see the creative idea and how it is expressed in a few media options. With all the potential media options now available, I ask for 3 executions for each creative option:

        1. Video version
        2. Billboard 
        3. Long Copy Print

Sounds simple, but here’s the logic. With those 3, I can now imagine how the advertising might work across all possible media options. 

  • The “Video” allows me to imagine how the creative would work for traditional 30-second TV ad, a 60-second movie theatre ad, 2 or 3 minute viral video for sharing or even a video you could put on a website.
  • The “Billboard” allows me to imagine how it would work with traditional media options such as out-of-home billboard, bus shelter, in-store poster, packaging copy and the back cover of a magazine.  Or if we want to look at digital, it could be a digital billboard, Facebook photo, website cover.
  • The “Long Print” allows me to imagine what how it might work with a print ad, side panel of packaging, brochures, public relations story-line,  social media feed or even a blog on your website.  

With 3 simple asks against each creative idea, it covers off most of the traditional media options, even covering the digital media. So now as the Brand Leader goes to their Media Agency, they will know how the creative idea would work against any of their recommendations. 

Obviously, we always recommend that you focus. So we’ll likely recommend a lead traditional media and a lead digital and lead social option. You need to make the most out of your limited resources of dollars, time, people and partnerships. However, if we want a creative idea to last 5 years, seeing it work across this many media options gives me a comfort that should I need that option, I know the creative idea will work.

The media math from a client’s view

While the media agency owns the media math that blows your mind, here is some simple client side media math. As clients, we have to make the most of our budgets. 

  • Your production budget should be around 5-10% of your overall advertising plan. If you have small budgets, that may creep up to 20%, but that’s it. Every time you do a new piece of creative, the production dollars go up and the media dollars go down. I’d recommend you focus on one main traditional media and have only one secondary option. This keeps your spend focused. 
  • When it comes to social media, keep in mind there is no free media options. Instead of financial capital, you are now exhausting people capital. Just like the traditional options, I would recommend one lead social media and one secondary focus. Do not try to be all things to all people.  
  • The other reason to focus is to ensure you do great executions and not just “ok”.  Pick the media that maximizes the power of the creative. Don’t exhaust the team by spreading them against too many activities.   
  • Allow 80 to 90% of your media spend be on the highly effective highly efficient media plan. That means 10-20% of your media spend can now go against high IMPACT creative ideas that you know will break through.  

Work with both the creative and media at the same time, figuring out what gives the highest return on your investment

 

To see a training presentation on getting Better Marketing Execution: 

Beloved Brands: Who are we?

At Beloved Brands, we promise that we will make your brand stronger and your brand leaders smarter. We can help you come up with your brand’s Brand Positioning, Big Idea and Brand Concept. We also can help create Brand Plans that everyone in your organization can follow and helps to focus your Marketing Execution. We provide a new way to look at Brand Management, that uses a provocative approach to align your brand to the sound fundamentals of brand management.

We will make your team of Brand Leaders smarter so they can produce exceptional work that drives stronger brand results. We offer brand training on every subject in marketing, related to strategic thinking, analytics, brand planning, positioning, creative briefs, customer marketing and marketing execution.

To contact us, email us at graham@beloved-brands.com or call us at 416-885-3911. You can also find us on Twitter @belovedbrands.

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Consumer Insights are secrets that we discover and use to our brand’s advantage

There is a difference in selling to someone and motivating someone to buy.

When you just sell, you start with the product and you don’t really care who you sell to. Whoever comes through the door, you start talking to them about the features of the product and look to close the deal.
Motivating someone to buy starts with the consumer not the product. Instead of selling to anyone, you have to target those consumers who are already motivated by what you do. You have to matter the most to those who already care the most. You have to understand them, to match your brand up to their needs, wants and desires.

You have to get in the consumer’s shoes, observe, listen and understand their favorite parts of the day. You have to know their fears, motivations, frustrations and desires. Learn their secrets, that only they know, even if they can’t explain. Learn to use their voice. Build that little secret into your message, using their language, so they’ll know you are talking to them. We call this little secret the consumer insight. When portrayed with the brand’s message, whether on packaging, an advertisement or at the purchase moment, the consumer insight is the first thing that consumers connect with. When consumers see the insight portrayed, we make them think: “That’s exactly how I feel. I thought I was the only one who felt like that.” This is what engages consumers and triggers their motivation and desire to purchase. The consumers think we must be talking to them, even if it looks like we are talking to millions.Strategic Thinking 2016.062

Consumer Insights are secrets that we discover and use to our brand’s advantage

It is not easy to explain a secret to a person who doesn’t even know how to explain their own secret. Try it with a friend and you will fail miserably. Imagine how hard it is to find that secret and portray it back to an entire group of consumers. Safe to say, consumer insights are hard to find.

The dictionary definition of the word Insight is “seeing below the surface”. To get deeper, when you come across a data point, you have to keep looking, listening asking yourself “so what does that mean for the consumer” until you have an “AHA moment”. You can start with the observations, trends, market facts and research data, but only when you start asking the right questions do you get closer to where you can summarize the insight. Look and listen for the consumer’s beliefs, attitudes and behaviors that help explain how they think, feel or act in relationship to your brand or category. Because the facts are merely on the surface, you have to dig, or you will miss out on the depth of the explanation of the underlying feelings within the consumers that caused the data. Think beyond the specific category insights and think about life insights or even societal trends that could impact changing behaviour.

Good insights get in the SHOES of your consumer and use their VOICE. We force every insight to be written starting with the word “I” to get the Marketer into the shoes of the consumer and force them to put the insight in quotes to use their voice.

Here are two examples of how using Consumer Insights drove business results.

  • Working in the quit smoking business, our starting point was: “Studies show that people try to quit cold turkey 7x before reaching for a smoking aid to help them quit.” That’s not insightful. That’s just a lack of deep thinking. Only when we watched, listened and dug deeper could we feel the consumers pain. When you hold a 2 hour focus group with smokers and tell them “you can’t smoke for 2 hours and we’re going to talk about smoking the entire time” you can see them getting crankier and crankier in the second hour. What we learned is smokers are actually scared to quit, because they knew they’d either fail or lose friends. The new insight we came up with was: “I know I should quit. I’ve tried to quit so many times, it’s ridiculous. I’m not myself, I’m grouchy, irritable and feel out of control. Quitting Smoking Sucks.” When we share this secret with a smoker and they say “yup, that’s exactly how I feel”. The ad they made was a Flight Attendant losing her mind trying to quit smoking, and was the highest tested ad in the company’s history.
  • Working with a bank who was trying to gain a competitive advantage by staying open late, our starting point was this fact: “Recent research shows if a Bank were to open till 8pm, that customers would use the bank 3.4x more each month and with added transactions that would mean $26 more for each customer, and nearly $32 Million in revenue overall.” That’s not insightful. That’s just a lack of deep thinking. Consumers would resent a bank if they knew they were only opening late so they can make more money from them. When we started to think like the consumer, we landed on this insight: “I am so busy driving my kids around, I can never get to the bank during banking hours. I wish there was a bank that worked around my life, rather than me working around the banks’ life.” When we share this secret with a busy mom, she says “that’s exactly how I feel”. The ad they made with this insight had a woman doing a head stand on a yoga pillow with the caption “I do my banking between yoga and taking my kids to soccer practice”. The ad was the highest performing ad in the bank’s history.

Knowing the secrets of your consumers is a very powerful asset. An insight should ONLY connect with the audience you are talking to. I hate when people say “we don’t want to alienate others”. The best brand communication should be like whispering an inside-joke that only you and your friend get. Yes, when we target, we actually do want to alienate others. That’s the only way we will truly connect. Your ability to harness those secrets into creating insights that are arresting or intriguing, fuels the creative spirit as you tell your brand’s story, launch new innovation and move the consumer through to the purchase moment.
After all, there is one source of revenue, not the product you sell, but the consumers who buy. In a tough competitive market, your ability to harness the secrets of your consumers that only you know, is a huge potential competitive advantage.

Done right, if you can make consumers want to buy, you will never have to sell.

Here is the Nicoderm ad based on the consumer insight:

 

We run brand training workshops on everything connected to marketing. Here’s our workshop on Brand Positioning:  

 

Beloved Brands: Who are we?

At Beloved Brands, we promise that we will make your brand stronger and your brand leaders smarter. We can help you come up with your brand’s Brand Positioning, Big Idea and Brand Concept. We also can help create Brand Plans that everyone in your organization can follow and helps to focus your Marketing Execution. We provide a new way to look at Brand Management, that uses a provocative approach to align your brand to the sound fundamentals of brand management. We will make your team of Brand Leaders smarter so they can produce exceptional work that drives stronger brand results. We offer brand training on every subject in marketing, related to strategic thinking, analytics, brand planning, positioning, creative briefs, customer marketing and marketing execution.

To contact us, email us at graham@beloved-brands.com or call us at 416-885-3911. You can also find us on Twitter @belovedbrands. To learn more about Marketing, continue to visit beloved-brands.com where you will have access to stories on everything connected to brand management. 

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