Smoke & Meers

Why Companies Need Mavericks

2008-07-17T22:39:00.006-05:00

I've never worked on the corporate side of the business. Right out of college I signed on as an Account Executive with Caldwell-Van Riper (now MARC) in Indianapolis. Over the years I had a number of opportunities to go to the "client" side of the business, but I politely declined. Early in my career I was following my instinct. I wanted to be in advertising. Later in my career, when the opportunities presented themselves, I had worked with enough companies that I knew the challenges corporate marketing people faced — so I made the conscious decision to stay on the agency side.

I have a tremendous respect for good corporate marketing people. Each day they go to work and wrestle with the challenges of aligning their brand message with product marketing, channel marketing, product development and corporate politics. There have been many times when I've walked out of a client's building thankful that I am only engaged in part of what my client must encounter each day. I'm confident if I worked full-time in a corporate environment that I would walk to the white board, draw a circle and write inside it "Beat Head Here." I couldn't do what they do. I feel fortunate to work for a variety of companies in a number of different categories. I like the diversity. It's interesting, fun and challenging.

What traits make a corporate marketing person successful? What is it about them that gives them the intestinal fortitude to fight those battles each day?

Many of the most successful corporate marketing people are mavericks. They don't believe status quo is an option. They're constantly seeking out new ideas, studying their industry, asking questions that others don't ask. The best ones do it with finesse — they have a thorough understanding of the political underpinnings within their company. They know how to position ideas and questions so the ultimate decision-makers come to buy-in to the idea. That is an amazing skill.

This latter skill is the most important trait for a corporate maverick to possess. Without it, mavericks tend to go out in a blaze of glory. You probably don't have to think too hard to come up with at least one or two people you know who have suffered self-inflicted spontaneous professional combustion.

Companies need mavericks. They need people who are willing to ask the tough questions. They need people who are willing to engage in healthy debate about market positioning, channel marketing strategies and appropriate resource allocation. Mavericks look at what the company did the previous year and ask "Why?" And then they challenge their agency to develop marketing communications aligned with the brand message.

If you're in the agency business, seek out the client mavericks. They're the ones who will champion your cause long after you've left the conference room. If your a corporate maverick, seek out an agency that understands what you're working to accomplish. If it's a good match, then both client and agency will work together to navigate the delicate challenges of developing engaging, relevant and effective marketing communications.

And as an agency person, you'll have the time of your life.

30 Years of Change

2008-07-16T22:57:00.007-05:00

This past weekend I returned to Olney, Illinois for my 30-year high school reunion. It was an amazing experience.

Since Julie was in Boulder, the Roo joined me as my date for the events. She had the opportunity to meet a number of her mother's high school friends and hear stories about her mom as a teen. It was fun and touching all at the same time. The photo is of the Roo and Rhonda's best friend, Roberta.

It was also, at least initially, challenging. Thirty years is a long time. In 1978, Dallas and WKRP in Cincinnati were the big television shows. Gasoline was 58¢ per gallon. No one recycled. Jimmy Carter was President. It was a long time ago.

People change a great deal in 30 years. When the Roo and I walked in to the first casual event, I didn't recognize anyone. Finally, after what seemed like an eternity, I recognized Ann Miller. From that point forward I found and reconnected with old friends throughout the evening.

Out of the 100 or so returning classmates, I could easily identify six. Without name tags, I would not have known any of my former classmates and friends.

Sometimes change is subtle. But over a period of 30 years, the amount of change compounds until it was nearly impossible to recognize people.

Imagine what that means when it comes to your customers. They are changing, too. Their tastes change, their needs change, their financial situation changes — the list is long. What happens if you are not being intentional about coming to understand the changes taking place with your customers? You keep going about your business and are slowly becoming less and less relevant, until one day you find your customers are gone.

And it probably won't take 30 years for it to happen.

It's Not Rational

2008-07-15T23:22:00.004-05:00

I was on the phone with a client today discussing how consumers make rational and emotional decisions. She related a story from this past Friday that I simply had to post.

She was in San Francisco on Friday, July 11 — the day of the new iPhone 3G launch. Walking past the Apple Store, she saw well over 300 people waiting in line (for up to three hours) to purchase their new iPhone.

Across the street was the AT&T store. AT&T also sells the iPhone. How many people do you think were lined up outside the AT&T store?

Zero.

Anyone from the Apple Store line could have crossed the street and purchased their new iPhone. That would have been the rational thing to do. But these people are loyal brand advocates of Apple. They wanted to be able to tell their friends they purchased their iPhone at the Apple Store. They wanted to feel assured that if something went wrong with the phone, they could take it to the Genius Bar at the Apple Store and get it diagnosed. They wanted the overall Apple brand experience.

AT&T could provide the phone, but they couldn't provide the experience.

While your company may never have customers quite as loyal as Apple, you likely have some very loyal followers. How are you nurturing those advocates? What do you know about them? What do they say to other people about your company? How can you turn them into the best sales people for your company?

Those are the questions that need to be answered. And the answers lie in how you come to understand the emotional reasons people do business with you.

This One Time, at Bank Camp...

2008-07-14T23:57:00.000-05:00

Julie is teaching at Bank Camp for the next two weeks. It's not actually Bank Camp, but that's what we call it. She's actually teaching the Bank Simulation course at the Graduate School of Banking in Boulder, Colorado.

It's a very good curriculum. Students (banking professionals) come from across the nation to attain an advanced degree in bank management. They have homework throughout the year, then they come to Boulder for two weeks of intense classes and training. After three years, they graduate — smarter and better prepared to work within their industry.

A number of regulated industries require their professionals to update their training on a regular basis. Continuing Education Units (CEUs) are quite common in the Accounting, Legal and Engineering professions. The reason being that people are entrusting their personal finances and their lives to people within these professions. Making a mistake within these industries can have serious side effects. Not the least of which is prison.

My question is this: Why shouldn't all industries have a requirement for continuing professional education?

What are the affects of a corporate CEO who is out of touch with what's going on in the marketplace? How many jobs within that CEO's company may be affected if the CEO is not a life-long learner who is willing to try new and different strategies to keep the company relevant to its customers? Stephen Covey referred to it as "Sharpening the Saw" in his 7 Habits book.

Yes, there are associations in every industry that offer seminars and workshops — Business Marketing Association (BMA), International Association of Business Communicators (IABC), Association of National Advertisers (ANA), American Marketing Association (AMA) and the list goes on. While these associations all have the interests of their members at heart, it's not the same as it is in regulated industries. There is a certain discipline that comes from knowing a Bank Examiner is going to visit your place of business each year and measure how you are doing — and report it to the public and your peers.

I'm not suggesting we need more federal or state regulations. Not at all. But I do wonder how business people expect to be competitive if they are not, in some way, seeking continuous professional improvement? If a CEO has not been intentional about learning something new and working to apply that learning in their business, then how do they expect to improve their business?

People working in non-regulated industries must take it upon themselves to seek out learning opportunities. To read books and magazines that will challenge their thinking. To attend conferences where peers will challenge their thinking. To be open to new ideas. To listen to their team. To push for different ways of thinking, for new ideas, and then have the courage to implement them.

A ship in a harbor is safe, but that is not what ships are built for.

Wake Up Call

2008-07-13T23:55:00.000-05:00

The new iPhone 3G comes with GPS.

You decide you want to go out to dinner, so you key in Kansas City restaurants into Google. A list pops up, you select the one you like, you select the address and the GPS guides you there. Pretty slick.

Imagine how companies like Garmin and TomTom felt when they were sitting in their offices and saw the news release come across their desks about Blackberries and iPhone's having GPS? Actually, Garmin and TomTom are probably better prepared than most technology manufactures to handle that news. Both of these companies are innovators and marketers, so they're planning their strategies to remain relevant in the face of competition.

But what about your company? What would happen if a news release landed in your email in-box informing you of a new competitor to your category that was six months away from beginning to erode your market share? What would you do? Are you prepared for that challenge?

It is more difficult than ever to remain relevant to your customers due to the quick pace in which technology changes the market. Which is why it is so important to understand your brand and communicate it clearly. There is no safety in price. The only way to stave off competitors is to constantly be adding value to your customer relationships through innovation and marketing.

Customers will tell you what they're looking for, all you have to do is ask. An early wake up call is far better than a late wake up call. Of course, the worst is not getting a wake up call at all.

Carly Turns 13

2008-07-10T23:42:00.003-05:00

My friend's daughter, Carly, turned 13 today. She's officially a teenager. Congratulations, Carly!

My daughter, the Roo, is 19. She is getting ready to go back to Loyola for her Sophomore year. She'll turn 20 in November.

Carly and the Roo are both smart, articulate and easy to have a conversation with. But today, Carly and the Roo have something else in common — they're both teenagers.

But wait a minute, you say? One is 13 and one is a college student about to vote in her first Presidential election. They are in two completely different worlds.

Exactly.

While they're both teens, they lead completely different lives.

I share this rather extreme example to make the point that using demographics alone can fail you. In fact, using any one metric alone to target an audience can fail you. This is why we only use demographics at the highest levels to target an audience. From that point on, we work to understand the audience's mindset. What are the emotional drivers that bring a customer to a company's brand? How many mindsets exist within a customer set? Then we work to align the products and marketing efforts to those mindsets.

Perhaps this sounds too complicated. Maybe you just want to produce your product and sell it through your distribution channel and go about your business. Some companies get lucky and find this limited business strategy works for them. It might even work for several years if the economy is good, the operations efficient and the sales team dynamic.

But what happens when one leg of that three-legged stool collapses? How does the company do then?

Tonight, there are dozens of people camped out in front of Apple stores all around the world. They're waiting to purchase the new iPhone 3G. Apple built a brand, and now they're reaping the rewards of all their hard work. They identified a mindset — one that crosses all kinds of demographic levels, socio-economic levels and psychographic profiles.

Every company has a brand. It lives in the mind of their customer. The challenge is to come to understand it and then share it with others who have the same mindset.

Carly and the Roo may have a number of things in common. But as a marketer, you'll never know that unless you make the conscious decision to talk to them and uncover the insights that will lead you to a strong, relevant and engaging brand message.

The Biggest Competitor You'll Never See

2008-07-09T21:48:00.004-05:00

This Friday I travel to Olney, Illinois for my 30 year high school reunion. I've missed a few. Well, in fact, I made it to my five year reunion, and missed all the rest.

I'm eager to see all of my old friends. We don't keep in touch. So this will be the first time I've seen them in 25 years. There will be lots of stories to catch up on. Some of them will have grandchildren. That is hard to believe.

I had a friend in high school, Ed, who was notoriously slow. Not "slow" as in thinking, just slow as in "moving." One day at Ed's house, I heard his father say, in exasperation, "Ed, you move so slow I need to drive a stake beside you to see if you're moving!" It was the first time I had heard that phrase.

I haven't seen Ed in 25 years. And I'm hopeful that, at some point in his life, he picked up the pace. But I won't be surprised if he hasn't. People find their own pace. Some change, some don't.

Companies are the same way. They seem to find a pace and stay with it. That's okay if everything else around them stays the same. But how likely is that?

The biggest competitor companies have — and they rarely ever see — is status quo. There are lots of metaphors and phrases for this phenomenon:

If you're not making dust, you're eating it.
If you're not the lead dog the view doesn't change very often.
The competition never sleeps.

And, there's the one I'll dub "The Ed Complex," in honor of my high school pal:

You have to drive a stake next to that company to see if it's moving.

It's easy to fall into this trap. Business is good. The senior executives focus on operations and sales. There are bumps in the road, but nothing too serious. But while the flywheel keeps turning, the company really isn't going anywhere.

Peter Drucker said there are only two things that matter in business: Innovation and Marketing. If a company isn't actively seeking to innovate, and actively seeking customer insight to drive marketing efforts, then, in effect, they're standing still. Well, at best they're standing still. There's a good chance they're sliding backwards. Problem is, they probably won't know they're sliding until a competitor blows past them at 80 MPH. By then, it's too late. The game is over.

Companies tend to focus on the visible, tangible threats. The silent killer is status quo. How do you break that cycle? It takes focus, innovation and customer insight. And, it takes a firm belief, held throughout the company, that status quo is not an option.

The Microsoft Branding Challenge

2008-07-07T22:14:00.006-05:00

When I wrote the post about Apple flanking Microsoft, I had not yet read the June issue of Fast Company. The cover story is going to be a classic. Can Crispin Porter + Bogusky make Microsoft cool?

Wes Mikel commented on my post,

"...After reading Fast Company's article about Crispin's new account on Microsoft, I'm curious how your emphasis on emotional connections with consumers might work if Microsoft were your client."

I'm a huge fan of CP+B. Not as big of a fan as Ky Miller, my creative director, but a big fan none-the-less. CP+B tackles branding at the deepest corporate levels. They have built a reputation for success, which allows them to go very, very deep into the darkest parts of a corporation to uncover truths that lead to a powerful brand message.

Candidly, I cannot imagine the recommendation Crispin Porter will make to Microsoft. The Microsoft brand is not known for being customer driven. Yet there are Microsoft zealots in the world — those who live and breathe the Microsoft brand. The challenge for Crispin will be to come to understand that audience and turn the insights they gain into a compelling message.

An additional challenge will be determining what company or mindset to position Microsoft against? Apple? Maybe. But it's very hard to reposition a company that has already repositioned you. They must come up with a position that is both unique and believable. And with so many existing perceptions about Microsoft in the marketplace, the believable part is going to be tricky.

Advertising and marketing professionals typically only get a few opportunities in their career to be part of a truly revolutionary branding experience. The team working on the Microsoft challenge has this opportunity today. If they are successful, then they'll be lauded as heroes. If they fail, well... If any one can do it for Microsoft, I would put my money on CP+B. If they can't do it, I'm not sure it can be done. Sometimes companies can't save themselves from themselves and the chips must fall where they may.

If they are successful, it should give every company who faces a negative perception in the marketplace hope. I cannot think of a tougher branding challenge than the one Microsoft faces. It's hard to go from being the 500 pound gorilla to something more interesting, compelling and engaging.

In a few months (weeks, perhaps), we'll all get to see what the gang in Boulder comes up with. And while I'm a Mac fan, I'm eager to see Microsoft do something engaging. That would be a very pleasant surprise.

Marketing Expiration Date

2008-07-05T15:38:00.003-05:00

I'm not a big milk fan. It probably comes from my early days milking cows on the farm. There was something about seeing exactly where it came from that just didn't set right.

And today, as Julie will tell you, I'm a milk expiration date fanatic. While I know the date on a jug of milk is only there as a guideline, to me, if the date is July 5, then on July 5 the milk has gone bad.

This works for one simple reason. For me to truly determine if the milk has gone bad, I either have to smell it or taste it. And if it has gone bad, I don't want to do either of those tests.

Ideas need an expiration date. They should expire as soon as they are no longer relevant to the consumer. Unfortunately, unless you are actively collecting consumer insight and data, you'll likely not know when the milk has gone bad.

Just a thought.

Focus, Innovation and Marketing Pay Off

2008-07-03T18:29:00.008-05:00

Apple has flanked Microsoft.

I watched the launch video of the iPhone 3G with Steve Jobs a couple weeks ago. I watched the video testimonials from Sonnenschein, Disney, Genentech and the US Army CIO-types talk about how intuitive, innovative and inspiring the iPhone was during the time in which they were the test subjects.

I watched each one of them applaud the iPhone's Exchange Server compatibility, the phone's ease of use, visual voice mail and the ability to "wipe" the phone clean remotely if it's lost or stolen. These people were "sold" on the iPhone. And in the past two weeks, I've talked to several corporate people who are not only planning to purchase iPhones instead of the ubiquitous Blackberry, they are even speaking of purchasing Mac laptops.

As I watched the video, I thought about all the conversations I've had with corporate IT people over the years who have scoffed when I popped open my Mac laptop in meetings. And I wondered how they're thinking about Mac today.

Apple has done something extraordinary in the world of marketing. They've flanked the 500 pound gorilla. No, the race isn't complete. I'm sure Microsoft will fight back. They certainly have the resources to do so.

But think about what Apple has done. They focused on creating a hardware and software solution, not just software. They realized the two parts work best when they're designed together.

While Apple has created a number of products, the breakthrough came with the iPod, an elegant, simple to use MP3 player that captured the imagination of Mac and PC people alike.

Then, just last summer, they launched the iPhone. Once again proving the benefit of creating a computer and software together.

Then, a couple of weeks ago, they pulled around into the passing lane with the introduction of the iPhone 3G.

Apple hasn't passed Microsoft in sales — and probably never will. In fact, I doubt that is their goal. But they passed Microsoft years ago with innovation and marketing. And now, the Microsoft and PC faithful are recognizing the genius that Apple is.

It's an excellent example of what happens when you focus on innovation and marketing. Apple knows its brand. It thoroughly understands its customer. Customers are loyal beyond any comparison. Apple customers don't care if Apple overtakes Microsoft. All they care about is Apple and Apple products. Could a brand possibly want more from its customers?

Even though Apple had a number of bumps in the road, they were open and honest about their mistakes and kept moving forward. Their loyal advocates followed them. They trusted that Apple would prevail.

Apple has flanked Microsoft. And the coolest thing about it? Apple will now keep moving forward — probably in a completely different direction than Microsoft. To me, that's the ultimate "win."

You don't have to be a multi-million dollar brand to be innovative and consistent in your marketing. You do have to be intentional and patient. When you are, the pay off will be there.

Why Curiosity Counts

2008-07-01T23:33:00.004-05:00

Today I learned we're losing a client.

Tom McCormally, one of our client contacts at Children's Mercy Hospital, has accepted a new position at Cincinnati Children's Hospital. So while we'll continue to do work with Children's Mercy Hospital, we're losing Tom. And personally, I'm going to miss him.

I've known Tom since the days when my son, Michael, was a patient at Children's Mercy. He's been a staple of the Community Relations group at Mercy. He is the kind of person who is always thinking — always looking for a new way to tell the hospital's brand story. This, of course, is what made him so good at his job. It's why Mercy put him in charge of their national media relations efforts. And, I'm certain, why Cincinnati Children's Hospital was interested in speaking with him. Tom is an innovator. Status quo is not an option for him. He has natural curiosity.

As we met today to discuss his departure, the subject of curiosity came up. He recounted a story when he was working for the St. Joe News-Press many years ago. His editor had noticed the Wagon Wheel Restaurant on the Belt Highway in St. Joseph had a "For Lease" sign in front of the establishment. In fact, the "For Lease" sign had been there for the past three days.

The editor was politely pointing out the fact to his staff that none of them had been curious enough to stop in and ask the owners what was going on. Why were they considering leasing the space?

Curiosity is the cornerstone of advertising and marketing. It is easy, especially today, to zip past information without ever stopping to examine it. But of course, too much zipping leads to too little thinking. And without an appropriate amount of thinking — pondering, if you will, it is highly unlikely you will ever arrive at a new idea. Which means you'll likely continue to do the things you've always done. Which, in a Web 2.0 world, means you're falling behind each and every day.

My friend Tom McCormally has never forgotten the lesson he learned in St. Joseph about being curious. It has propelled his career and it is now leading him on a new adventure.

Whether you're marketing a product, a company or yourself, the basic tenants of how you do it are the same.

Have a tremendous passion for what it is that you do
Be a student of the industry in which you serve
Have an insatiable curiosity for why people do what they do

Good luck Tom! While we'll miss you and the energy you bring, we know you'll be a knock-out success in Cincinnati.

The Point of Inspiration

2008-06-30T22:04:00.008-05:00

You're a blog reader. Odds are good, since you're reading this blog, you likely read other blogs, which means you may fall into the category of "life-long learner." I mean, come on, there are far more interesting blogs to read than this one. However, since you're reading Smoke & Meers, it's likely because you enjoy thinking about marketing, communications and branding — and how they affect business.

And I'm guessing (hoping, even) that you read other blogs than this one. You likely have a whole cadre of blogs, Web sites and other sources you follow to keep your thinking fresh and your ideas innovative.

But what about the people around you? What do the people with whom you work on a daily basis do to stretch their thinking? Stephen Covey referred to it as "sharpening the saw."

I think there is a learning opportunity here. Personally, I learn from the blogs I read, NPR, Web sites and a handful of coaches and mentors with whom I speak with on a regular basis. From those sources, I draw insights to strengthen my thinking ability. But I'm curious how other people do it? Novels? Documentaries? Business books? Inspirational quotes?

Strategic thinking comes from honing the ability to take an insight and think about it in an abstract manner. I often hear young people in our business express their desire to become strategic planners. My advice to them is to 1) get as much varied experience in as many business categories as possible and 2) determine what their ongoing learning style will be — books, mentors, trade publications, friends, conferences, etc.

Here's another thought. Oftentimes, I see people in meetings who hear but do not listen. I see people taking such copious notes that they miss the subtle overtones of the bigger picture. At times, it pays to put down the pen and simply have a conversation. Dig deep. Then dig deeper. Ask "why" often. Not to the point of irritation, but to the point of inspiration.

Not everyone in marketing will become a strategist. Nor does everyone want to. But if you're one who does, then map out the process you're going to follow. One that will lead you to inspiration in your day-to-day work.

In my experience, that's what makes this business fun.

Be Descriptive. Be Consistent.

2008-06-29T23:01:00.003-05:00

A marketing friend of mine is struggling with a branding dilemma at work. It seems her company owners no longer think it's important to include the "descriptor" in their name. A descriptor, for example, is the word "Advertising" in Meers Advertising. Or the word "Bank" in Commerce Bank.

Of course, those on the inside and people intimately familiar with the brand may occasionally refer to these companies as "Meers" or "Commerce." But for the most part, people attach the descriptors in order to be clear in their conversations and communications.

It is tempting to drop the descriptor. When, as an owner, you're around people all day who shorten the name to just one word. It becomes easy to believe everyone knows who you are. Well, at least everyone you care to know.

But let's take a textbook example from a multi-million dollar brand - Apple Computer. Apple Computer, founded in 1976, finally dropped the word "Computer" from its corporate name in the year 2007. For 31 years the company kept its descriptor. Could it have dropped it earlier? Probably. But they didn't. The people at Apple wanted to be sure there was no confusion. No mistaking their brand for anyone else. Even with spending millions of dollars on advertising, PR and promotion, the company kept its descriptor.

Your brand exists in the minds of your customers. In a world where information is coming at us faster and in greater volumes than ever before, people have a hard time keeping brands organized in their minds. The last thing you want to do is increase the chances of your brand being confused with another one. Or worse yet, being forgotten all together.

Carrying Through on Your Brand Promise

2008-06-27T17:15:00.003-05:00

Michael Dell once said, "There's always an opportunity to make a difference."

Marketing is not all about products. It's about how you connect with the customer. Certainly customers want to buy products, but more importantly, they want to feel good about the company from which they're buying them.

Recently, Hy-Vee grocery stores began giving away cloth reusable grocery bags at their stores in Kansas City. Lots of companies talk about being "green," but here's a company that invested in being environmentally sensitive.

Some grocery stores will knock ten cents off your bill if you use your own bags, other stores will sell you cloth bags. But Hy-Vee went one step further. They gave away the bags!

It is very likely your brand story has many attributes. The challenge is determining how to capitalize on those attributes while being authentic and engaging. Hy-Vee did it with a cloth reusable grocery bag. Yes, it cost them more than plastic or paper in the short term, but it will likely pay big dividends in building customer loyalty with the people who have an environmentally sensitive mindset.

Brand Value — The Deeper Version

2008-06-26T23:32:00.005-05:00

Ramsey posted a comment to my last blog post on Brand Value that deserves a response. He stated:

"I totally get the concept of 'illustrate your value'.

But, in your friend's situation how do you tell your story? If the interaction with the customer is just "give me your price for X" how do you inject your brand story? How do you sell it's value.

I suppose you can try to give your "pitch", but how do you do that without coming off like a used car salesman?"

What a great question. Thank you for asking. Lots of people struggle with this.

The basic answer is this: If you wait until the customer is interacting with the sales person to begin telling your brand story, then it's too late.

Brand stories used to be told through advertising alone. Today, thanks to blogs, Word of Mouth (WOM), Facebook and a host of other social media, most prospects have the opportunity to learn about companies well before they ever visit the corporate Web site. The social media universe is loaded with information about products, companies, people and their associated brands. Prospects are no more than a few key words and a click away from gaining a perspective on the brand.

This diagram illustrates the point. When people are searching (intentionally or accidentally), they come across information about brands that help them form an opinion — positive or negative. Eventually, they'll make it to the appropriate Web site, and then, they'll make a decision on whether or not to make a purchase.

The role of the sales person in this environment it not to tell the brand story, but more to not tell a contradictory brand story. If a company has effectively planted all the right "seeds" in the social media environment, and augmented the message with PR and advertising, then by the time the customer meets the sales person, they're already ready to buy. All the sales person has to do is facilitate the sale — and not blow it.

Too often, organizations fall prey to the sales strategy of the month. They'll bring in sales consultants to determine the challenges and present a new selling strategy. For the most part, it's bunk.

Sales people need marketing people to lay the appropriate groundwork in the marketplace so people are prepared to purchase when they walk in the door. If the brand story has been well articulated, then the customer knows why they're there — and they're ready to buy — and their purchase will not be based on price, but value. Which results in a higher price than an undifferentiated competitor might get.

That's the true value of a brand. And that's why companies invest in telling their brand story — well in advance of the customer visiting the Web site or coming to the store.

Brand Value

2008-06-24T23:31:00.005-05:00

A lot of corporate executives spend an extraordinary amount of time discussing how they should price their products. In some cases this is warranted — especially with new products. But most of these conversations involve existing products, with the competition's pricing being the catalyst causing the discussion.

Candidly, there are very, very few instances when price is the true issue. Typically the real issue is value. In B2C and B2B markets worldwide, consumers have proved again and again that they're willing to pay a higher price if the value is there. So why are there so many discussions about how a product should be priced? Shouldn't the discussions revolve around "How do we add value in order to justify the price?"

I was speaking with a friend of mine today who purchased a new kitchen. That's not a small investment. She is putting in new granite counter tops and all new cabinets. She price shopped. She compared multiple companies and selected the one with the lowest price. So I asked her, "What did these companies do to differentiate themselves from one another?" Her response? "Nothing. They each gave me a quote on identical products. One could do it faster than the others. One could do it cheaper than the others. I went with the one that could do it the quickest and the cheapest."

So far she's happy with the experience. But that's not the point.

None of these companies appeared to be different to her. How in the world could she possibly assign a greater value to one company versus another if they all looked alike? If all companies look alike, then all that's left is price.

Your company has a story to tell. And within that story you have small bits of information that set you apart from your competitors. But you must tell the story. And you must tell it in a compelling manner. Otherwise, you will only have price upon which to build your business. And there is always someone who can make it and sell it cheaper than you.

It's your brand. If you chose to ignore it, then you can expect many more conversations about how to price your products. And many more instances where you lose business based on price.

Brand Icon Heaven

2008-06-23T23:22:00.006-05:00

Each day, on my way to and from work, I drive past the construction site of Bernstein Rein's new offices. Along with their offices, they're building a luxury boutique hotel and, I can hardly wait, an Advertising Icon Museum!

As an ad junkie, I am completely taken by the idea of an Advertising Icon Museum. A few years ago, Julie and I traveled to Portland for a long weekend. One of the things I wanted to see while there was the American Advertising Museum (AAM). While it was an okay exhibit, it didn't live up to my expectations. It was entirely too small of a collection. Since the name of the museum was the American Advertising Museum, I expected something on a Smithsonian level. Unfortunately, the AAM wasn't it. The museum closed in 2004.

But the Advertising Icon Museum is different. The focus is on the icons that have become associated with some of the best known brands in the world. Take a few minutes and browse around the site.

The museum has a much greater likelihood of success, as compared to the American Advertising Museum, because Bob Bernstein decided to keep the focus narrow. He wasn't trying to appeal to everyone interested in advertising, just those who are interested in the icons that defined specific eras of advertising.

The museum is not yet open. In fact, the building is not yet complete. However, it is close enough for an ad guy like me to begin thinking about opening day — allowing me to take a trip back in time to view the advertising icons that defined a bygone era for an industry.

The museum is slated to open in the spring of 2009.

Hit or Miss?

2008-06-19T12:24:00.000-05:00

This photo was taken last week in Iowa. Lori Mehmen, who lives in the small farming town of Orchard in northeastern Iowa, looked out her front door and saw a funnel cloud bearing down — and evidently had the presence of mind to grab her digital camera and capture this shot before taking cover.

Growing up in the Midwest, I've had plenty of opportunities to head to the basement during tornado season. But I've never witnessed one this close.

Tornadoes are amazing. They are a powerful, completely random force. They don't discriminate. They can hit anywhere, anytime - and with little or no warning.

Marketing insights are the same way. They come by quickly, make their mark and pass on. The difference is that, if you miss the insight, it can have devastating effects on your business. That's why it is important to be intentional about seeking out those insights on a regular basis. Talk with your customer. Talk with your channel partners. Come to understand how they feel about your business - what you're doing right and areas in which you could improve.

Marketing tornadoes often are subtle. They touch down quickly and disappear. Your challenge is to be there with your "camera" and capture the insight that will propel your business forward.

Brand Obituary

2008-06-18T12:31:00.000-05:00

There's a favorite question account planners ask focus group participants when they're working to understand a company's brand. They ask them what would happen if a particular brand or company were to disappear tomorrow? They ask the participants to write the obituary for that brand. What caused it to die? What happened? Who will miss it? Out of this exercise come some fascinating insights as to how people really feel about that brand. It's a telling exercise. And one that should cause any CEO to lose sleep.

What would your company's obituary say?

Here lies a company that died a slow, painful death. Innovation was ignored and marketing was viewed as sales. Eventually they became irrelevant. Customers moved on to other companies that appeared to listen to their needs. To companies that developed new products and took care of their customer relationships.

Or.

We remember our company today for what it once was. A force within its industry. A magnet for attracting the best and brightest employees. A leader in industrial design and product innovation. Unfortunately, over time, the company forgot about the customer — that element of business that leads to success. It died cold and lonely — never understanding what led to its death.

Your company's obituary doesn't have to be so sorrowful. What if it read like this?

Few companies do as much to engage their customers in their success as this one did. They actively sought feedback from their customers at every opportunity. And then they put it to use. Every employee was engaged in delighting the customer. And while they had guidelines and rules, the employees knew they could work within those guidelines to constantly amaze their customers. While this brand has been sold to another company, it will never be forgotten. It's our hope the new owners will carry our company forward and have many years of continued success.

How would your company's obit read? Better yet, what are you doing to make sure your company doesn't have one?

Getting JAXed Around

2008-06-17T12:52:00.005-05:00

Julie and I are in Florida for the week. We're house-sitting for our friends, Terry and Sandy, while they're out of the country. When we arrived at the Jacksonville Airport (JAX), we were to go to JAXPark and pick up their car - a silver Mercedes C300, and drive it back to their house.

When we get to JAXPark, we give the woman behind the counter our ticket number - 0-969. She pulls up the record, which shows we're supposed to pick up the car, I show her my ID, and she hands me the keys to a silver Buick.

I stepped outside and, with a grin, asked Julie if she thought Terry and Sandy had traded in the Mercedes for a Buick. When she stopped laughing, we went back inside to have a chat with the woman behind the counter. All I could think of was that scene in Planes, Trains and Automobiles where Steve Martin was trying to rent a car...

Me: Hi. That's not our car out there.

Lady: Yes it is. It's ticket number 969.

Me: No, you see, our friends own a Mercedes, not a Buick.

Lady: Umm. Le' me see. (starts shuffling papers) No, that's the car.

Me: No. It isn't the car.

(At this time, she disappears to the back room and shuffles more papers. Then we hear...)

Lady: Daniel! Look through that drawer up there and see if there are any keys in it.

(Daniel is a 6'2" blond guy who looks like he just woke up, is standing behind the counter when she yells at him.)

Daniel begins sifting through a drawer next to the cash register.

Daniel: (pulling out a key and looking at us) Is it a Honda?

Me: No. Mercedes.

Daniel: A Chevy?

Me: No. A Mercedes.

Daniel: Is it a Volvo?

Lady: (from the back room, apparently on the phone with her manager) They say they're picking up a Mercedes, not a Buick. But the ticket is for a Buick. (pause) Okay. Bye.

Before I could answer the woman who had disappeared into the back room returned to the front counter.

Lady: May I help you? (not recognizing us from five minutes earlier)

Me: Yes. We're the people looking for the Mercedes keys?

Lady: Oh. Well, I didn't know.

Julie: (eye roll)

Lady: Well, you're just going to have to come back here and help me look for them.

Julie and I follow her to the back room where, I kid you not, there were 3,000 small manila pouch envelopes, each with a ticket number and a set of keys inside. They were stacked in small wooded boxes. Row after row of small wooden boxes. Organized by the day in which the driver of the car was supposed to return to pick up the car.

With a slight sigh, Julie, Daniel and I began looking in each envelope, searching for keys to a silver Mercedes.

Just as I had resigned myself to three-hours of searching, Julie found them. An afternoon of key searching was saved!

As we returned to the front counter to complete the checkout, the manager arrived.

Manager: So were they in an envelope one number off from the number you had?

Me: Yes. 0-970

Manager: That's normal. The guys who park the cars sometimes have more than one come in at a time. They accidentally put the wrong key in the wrong envelope.

To their credit, JAXPark didn't charge us for the parking fee. However, if this is such a common occurrence, then why didn't the people working the counter know what to do?

One of the first steps toward brand Hell is inconsistency. While companies may survive without processes in place for every inevitability, there need to be practices in place for the most common customer issues. I can't quite imagine me saying to a client, "Oh, I'm sorry Suzie. Why don't you guys come over and sift through the last 3,000 job jackets and see if you can find that layout you're asking about."

Now, if Terry and Sandy had driven a Buick, and they pulled a Mercedes around for us... :)

Call 800.KnowHow

2008-06-12T22:29:00.002-05:00

Okay, it's a pet peeve of mine. Vanity phone numbers. Some marketers spend an extraordinary amount of time working to get the perfect vanity phone number. Here's a good one: 800-GoFedEx. Here's another one: 800.IFlySWA for Southwest Airlines. But understand, there are times to use these vanity numbers and times when you should just use numbers.

800.AAAHelp is a great way for people to remember the number they need to call when they're stranded in the middle of nowhere. And many times I've been stranded in an airport and been very happy to remember the SWA number.

But what about the roofing contractor who puts his phone number on his business card as 816.TopRoof. It's a business card. It's very likely the person reading the card is going to be able to hang on to it until they can reach a phone. Should he put 816.TopRoof on the side of his truck? Yes. It's a fleeting message and that makes it easier to remember.

Or what if that vanity number appeared in a postal mail piece? Why would someone do that? Give them the numeric phone number and forget the vanity number panache.

Here's a rule of thumb for when to use (and not use) vanity phone numbers. If you are running broadcast advertising, then you should consider a vanity phone number. Again, it's a fleeting message.

If, you are sending out a direct mail campaign, then use the numeric number. Don't force people to hunt down the numbers on the phone key pad to figure out how to call you. When a prospect is calling, it doesn't take much to lose them. Creating difficulty in punching in the number is a sure-fire way to turn them toward a competitor.

When people have the ability to hang on to the number, give them the numeric one so they can connect with you. If it's a fleeting message, then use something they can easily remember until they get home and write it down.

That's so 1980

2008-06-11T22:00:00.005-05:00

While at the Johnson County Library this weekend I noticed this rack. Actually, there were rack after rack of Yellow Pages. There were Yellow Pages from every city in the metro area, every city in the region and many cities in the Midwest. They were pristine and new. Sitting there taking up space. Hardly a dog-eared page among them.

Today at the office, a woman dropped off ten new White Pages phone books. There they were. A whole recycling bin full of phone books just waiting to hit the shredder.

I've said many times I would prefer to receive a postal mail piece (or email) asking if I would like to receive the Yellow Pages (or White Pages, for that matter). Then I (as a citizen) could make the decision as to whether or not I was going to have a Yellow Pages book delivered to my house. Unfortunately, the people at the Yellow Pages don't think that way. The continue to do business like they have for the past 80 years. A Yellow Pages at every door. That way they can tell their advertisers that their circulation is 2.5 million in the metro area. Never mind that only 6% actually use it on a regular basis.

I understand that changing business practices is difficult. Especially when the Web has caused all businesses to be under much more pressure to deliver a more engaging and relevant brand promise and experience than ever before.

Here's another one to ponder. Leasing companies. We're evaluating new color photocopiers for the office. Each company has a three-year lease they want us to sign. Think about that. These companies want leases to "protect" them from the customer having a bad experience. If the photocopier works as promised and the customer is happy with the product, then why would the company insist on a three-year lease?

It's old-school thinking.

There's a phone company in Kansas City that is breaking that old leasing model. It's called Avid Communications. Avid has a one page contract. They have a set fee per month. All long distance is included, as is email. You can lease as many phones as you need and turn unused phones back in any time you like. And, you can cancel the contract with 30 day's notice! Now there's a business model. These guys are so confident in their brand they're willing to lose customers if the product doesn't work.

If you're still working in a world where you work to tie your customer to a long-term contract to "protect" your company from those times when your customer has a less-than-great experience with you, then you're living in the past. Soon, someone is going to offer what you offer in a more flexible package that makes you look very 1980.

This is the time to evaluate your brand. This is the time to ask the tough questions that can change your business model — and change your business for the better.

Against the Wind

2008-06-09T20:18:00.002-05:00

Have you ever been curious as to why it takes more time to fly from, say, Chicago to Denver than it does to fly from Denver to Chicago? Take any airline, for this I picked Southwest, and look at the flight times.

Chicago to Denver: 2 hours, 30 minutes
Denver to Chicago: 2 hours, 15 minutes

It's the jet stream. Once an airliner gets into the jet stream, it is propelled by a tailwind. Going to Denver it's fighting a headwind, which slows the plane. You still arrive at your destination, it was just a bit more challenging to get there.

It's the same phenomenon that occurs when you have aligned your brand throughout your organization. You get the effect of the jet stream. Everyone is in sync. Processes and systems are running smoothly. People are suggesting ways to improve efficiency and the customer experience. Your employees actually look forward to coming to work!

When your brand is aligned, it is far easier to tell a compelling story about your company and/or your products because your company is actually living the brand.

Ding!

Congratulations! You've picked up a tailwind. You're going to be arriving at your destination (profit) earlier than expected with a smooth ride and happy employees and customers.

You're now free to develop your brand.

Brand Heaven, Brand Hell

2008-06-08T21:42:00.002-05:00

David Armano captures the essence of branding with one simple visual.

There's really not much I can add to this idea.

The Harvest

2008-06-07T22:49:00.000-05:00

The secret is out! Enjoy.