As a parent of a 3 year-old, I can certainly relate to this interaction between BloggingBaby's Sarah Gilbert and her son. Seems the little guy is far more interested in the bag of brand name Cheetos than the already open bag of store brand Cheeto-like snack thingies. Well, the bag of Cheetos has a cartoon cheetah on it which her son calls "the Cheeto guy," so yeah, they got him.
Here is an interesting article on the worldwide sensation that is IKEA. There are some great lessons to be learned.
The British Heart Association has launched the Food4Thought campaign designed to give kids the real (and sometime scary) scoop on what they're eating and how to make better food choices. They aim to shock with images of raw, unprocessed ingredients in such fast foods as hot dogs, chicken nuggets and burgers. But more importantly, they offer food facts (for the good and the bad), a glossary of food label items, recipes and more. This is a great effort!
Previous relevant posts:
Hey Kids, Here Comes the Pitch
Hey Kids, Here Comes the Pitch (II)
Hey Kids, Here Comes the Pitch (III)
Hey Kids, Here Comes the Pitch (IV)
Hey Kids, Here Comes the Pitch (V)
via [Slashfood]
My associate, Wes Breazeale, took issue with a FedEx direct mail piece he (and apparently many others) received today. Here's his rant:
I work in sales, so naturally I have nothing against aggressive marketing. We need it to get the job done and I appreciate a well done piece as much as the next guy. But there are certain points where other factors seem to be more pressing than the marketing aspect and a recent mailing I received from Federal Express is a sample of marketing done poorly, at least in my opinion.
Announcing FedEx's new ground shipping options, the piece encourages people to "share the great news" that you can now use drop boxes to drop off your packages. I'm not sure I'm ready to call all my friends or buy the next round in honor of this exciting news, but I will tell them (and you) about why the piece really makes me angry.
The piece was akin to the omnipresent AOL cd's sent out by the millions in that my main issue is what it is made of. Measuring 10" x 6", it's really no bigger than a large postcard, but it is made out of rather thick plastic or vinyl. For something they must know is going to be tossed in the trash by a large number of recipients, this is a rather serious example of a corporation being completely and utterly socially unconscious. This thing cannot be recycled, even by the most die hard recycler. Thousands (if not millions) of these cards will fester in our dumps for centuries. But fortunately, when future archaeologists finally unearth them, they will be able to share the news that there is a quick and easy way to ship their discoveries back to the office.
It's frustrating that every time we take one step forward, something like this pops up that takes us one step back.
Here is an interesting article from Brand Channel about the challenges and potential benefits of launching a new brand into a particularly saturated market.
via [AdJab]
There's guerrilla marketing, buzz marketing and word-of-mouth marketing, then there's just plain deception marketing. My coworker, Wes, tipped me to this little diddy about suspicious sudden interest in Halloween masks of the Burger King mascot.
Not that the character isn't creepy enough to make a good halloween mask, mind you. But is deception the most effective way they could think of to build buzz?
What are the six products singled out by by The Center for Science in the Public Interest for having misleading food labels?
Here is the rationale for each one.
Are these the only ones? Of course not. Are they even the most egregious offenders? Who knows. But, they are big companies with tremendous influence on what people eat. If your carrot cake is made with carrot power and not carrot pieces, don't show carrot pieces on the box. It's pretty simple really. If you can't make a product that people will want if they knew the truth about it, then maybe you shouldn't be making that product at all, eh?
More on my own frustrating food label experience here.
According to this article in USA Today, Starbucks is planning to run a religious quote on its cups in 2006 as part of a campaign designed "to carry on the coffeehouse tradition of conversation and debate." What I was prepared to write about is how absurd it seemed to me that on the cups is the disclaimer that the opinions "do not necessarily reflect the views of Starbucks." I thought, how can a company serve-up a message on its product, then claim the views do not necessarily reflect those of the company. If that's the case, don't print the message.
Then I thought about where else I've seen a similar disclaimer. Television networks, magazines and newspapers routinely make such disclaimers regarding content and I have no problem with that. If NBC broadcasts a news story about someone who advocates racist behavior, I don't then believe those at NBC are racist. So why does the Starbucks thing strike me so differently? And it's not that I necessarily object (or don't object) to the particular message. It's the notion that a message that may not reflect the opinions of the company is being used at all. Is content on a Starbucks cup any different than content on a TV network or in the pages of a magazine or newspaper?
Freakonomics blog points to a press release by the American Beverage Association outlining its new recommendations for cutting back on sodas in school vending machines. While the idea is great, substituting soda for high-sugar (and thus high-calorie) fruit juice isn't necessarily helpful as calories are calories. They also list things that they believe to be okay like sports drinks and low-calorie soft drinks. But sports drinks are generally sweetened with the same high-fructose corn syrup as sodas and even low-calorie soft drinks have artificial sweeteners and caffeine that kids don't need. Maybe the problem is having vending machines in schools in the first place?
Here is an interesting look at current trends in logos. For fun, you can also test your logo knowledge with the four versions of the Retail Alphabet Game.
In a recent paper, marketing professors from Wharton and Boston College looked at the positive response consumers have to imaginative names, even if they are not particularly descriptive. Very interesting!
via [Seth's Blog]
Calling it 'Project XYZ,' Forbes reports that Starwood Hotels & Resorts plans to launch "a new line of lower-priced hotels based on its upscale W Hotel chain..." Luxist likens the "cheaper but still cool" idea to brands such as Target, Mini Cooper and JetBlue.
For anyone who has stayed at a W Hotel, you know they have mastered the art of creating a unique experience and carrying it throughout a guest's entire stay. From the look and feel of the hotel to the materials used in the guestrooms to the little touches offered by the staff, W's have it down. Seth Godin describes this well as it relates to a recent stay of his (where the W Hotel in San Francisco was the bright spot in an otherwise tedious trip).
What will be interesting to watch is how Starwood carries the W vibe to a lower-priced extension of the brand. I look forward to staying in one and sure hope they call it XYZ.
Dan Jaffe of the Association of National Advertisers believes research is showing that advertising may not be the primary culprit in the increasing childhood obesity problem.
For those interested in advertising, Dan Jaffe's blog seems like a great one to keep up with. Very interesting.
via [Adrants]
Today Burger King unveiled its new Enormous Omelet Sandwich breakfast offering containing one sausage patty, two eggs, two American cheese slices and three strips of bacon weighing-in at 730 calories and 47 grams of fat. Needless to say, the press and critics are having a field day. I can only imagine Burger King is following the Hardees Monster Thickburger trend of going to the extreme opposite of the low-carb, low-fat craze in hopes of finding a market with people who just want to eat big.
What stuck me most though was a quote by a Burger King spokesperson who cited that this sandwich has virtually the same calories and fat as many offerings at local diners and restaurants. They cited Denny's Grand Slam breakfast which has 665 calories and 49 grams of fat with the implication being that no one is screaming about that. According to the Denny's website (in the Breakfast Menu #1 PDF), that stat is accurate and it got me thinking about the perception of all this. No one raises hell over good ol' Denny's and their Grand Slam breakfast, but when Burger King takes essentially the same food and puts it in a bun, watch out! So, it's not as much about the food, calories or fat as it is about the perception of what restaurant (or what type of restaurant) is making it available. Why is that?
For more on the appeal of the whole "extreme food" thing, I previously turned to Laura Ries. Here's what she had to say.
In 2001, Kodak acquired Ofoto and recently announced that they are changing the name to Kodak EasyShare and ofoto.com is becoming kodakgallery.com. I'm sure this was done for both brand consistency and to leverage Kodak's strong name association with photography. But, Ofoto is a cool name that is short, easy to type and easy to remember. Kodak EasyShare and kodakgallery.com are none of those things. In a world where they are competing with the likes of Flickr, who goes from Ofoto to Kodak EasyShare?
If you are new to The Long Tail principle, read this to get up to speed. Then, read about the Long Tail of television and the ratio of content produced versus content available to the average viewer. Fascinating.
For the last month or so, Verizon Wireless has been advertising the Treo 600 for $199 after instant and mail-in rebates (I've only seen the ad in print or else I'd link to it). That's a great deal considering the regular price is $350 (excuse me, $349.99). So, last week I visited my local VZW store and the catch is, the deal is for new customers only. Since I have been a Verizon Wireless customer for just over a year, I am not eligible for the deal. Once I hit two years, I will be eligible for a trade-up credit toward a new phone, but that's it.
So, my options are:
Option #3 sounds pretty good to me right now except that I'm locked into my two-year contract with VZW. So, they got me for two years (to which I happily committed) and, for being such a great customer, won't let me have the screamin' deal they're offering to new customers.
I realize the economics of the wireless industry is such that they offer low prices on hardware to lock you into service and it's all based on a maximum of one great deal on hardware per customer every two years. Trading out customers' phones more often than that would throw things out of whack. The problem is, now we can take our numbers with us and I'm pissed. So, when my two years are up, am I going to get a new phone with Verizon Wireless or switch to another provider that has not yet pissed me off? Not sure, but I'm thinking about it and that's not something I was doing last week.
Any business model that dangles great deals in front of existing customers, but only offers them to new customers, is deeply flawed, especially considering how much more it costs to earn a new customer than keep an existing one. In this case, rework the model to allow anyone to take advantage of these deals, require I extend my contract with them for another two-years from this point (thus locking me in as a longer-term customer every time I trade-up) and make me happy!
As a follow-up to my last post, this article cites how PepsiCo is planning to restrict advertising to children and reduce serving sizes in schools. A trend that I, for one, hope catches on.
via [URBANintelligence]
British consumer advocacy group, Which?, has taken issue with cartoon characters being used to market unhealthy foods to kids. Their research showed that "77 percent of people think using kids' favorite cartoon characters such as Shrek, The Simpsons and Scooby Doo, on the packs of foods high in fat, salt and sugar makes it difficult for parents to say no to their children." This, to me, is one of those "no-duh" stats that only makes me wonder what the other 23% are thinking?
I do the grocery shopping in my household and am always on the lookout for foods that I think my young son will find fun and interesting. I turn over box after box and package after package of food items being marketed to and for kids only to put them right back after reading the ingredients. High-fructose this and trans fat that. There is no way I'm putting that stuff into my kid's body in any significant quantity (except for the occasional treat or to allow him to be social). Overall, kids' activity levels are down and their consumption of high-fat and high-calorie packaged and prepared foods is up and we all know what it's doing to their weight, general health, self-confidence and well-being.
If tobacco companies can't market to kids because their products are known to be addictive and unhealthy, why is the same not true for food companies? If Joe Camel can't be used to promote cigarettes, why can the likes of Shrek be used to promote sugary cereals and high-fat snacks?
via [Blogging Baby]
Interesting article in The New York Times about Wal-Mart's upgraded in-store television network, the reach it has with shoppers/viewers (average shopper watches seven minutes per store visit) and how much advertisers are willing to pay ($137,000 - $292,000 for a four week rotation of a single ad).
Indelible purple ink has taken CODE Inc. from obscurity to front page news. Not something anyone would ever bet the farm on, but when you need it, you need it and in the Iraq election, they needed it. Indelible purple ink. Simple.
As a next step beyond it's successful free ground shipping on orders
of $25 or more, Amazon has launched a new initiative called Amazon Prime™,
allowing customers to pay $79 a year for "All You Can Eat" express
(two-day) shipping with overnight shipping costing just $3.99 more per
order. And, it can be shared with up to four people within the
same household.
I rarely (if ever) take advantage of the free shipping offer because
the delivery times are so long. In these days of instant gratification,
normal ground shipping would be bad enough, but for the free shipping
offer they use some kind of "slow boat" method that takes forever. I'd
have to think about what I normally spend on shipping to determine if
this new promotion is worthwhile, but at least it got me thinking (and
writing) about it. Will be interesting to see how this is received.
American Online and Mobile 365 are offering cross-platform wireless customers a way, for a 50-cent fee, to vote for their favorite Super Bowl ad via text messaging. According to Wireless Week, "texted votes will be tallied as part of the AOL Super Sunday Ad Poll, which will be released on Monday following the game." THQ Wireless is also teaming with the NFL again this year to offer fans the ability to vote for the MVP via text messaging.
via [Adverblog]
Many readers of this blog learned of it from references to the Perception Analyzer® in the PBS documentary, "The Persuaders." I first referenced it in this previous post and if you missed the show, you now have two ways to check it out online:
View the entire 90-minute documentary.
View "Give Us What We Want," the 13-minute segment featuring the Perception Analyzer.
Coined by Chris Anderson, editor of Wired Magazine, The Long Tail was first an article, is now a blog and is on the way to becoming a book. Behind The Long Tail is the idea that there is tremendous value (and money to be made) in niche markets and products that are nowhere near the peak of popularity, but are now being discovered due to the prevalence of online recommendations and lists. In other words, one thing becomes popular (a book, song, etc.) and based on the fact that it may interest you, you also may be interested in other lesser knows works that are similar in some way. The new ease with which those lesser known works can now be recommended has opened them up to a whole new audience that otherwise would have never known they were there.
Beyond that specific application of The Long Tail principle, Anderson's blog has begun exploring other areas where this concept applies. I find particularly interesting this post about why The Long Tail principle may work against Apple's iPod Shuffle.
I highly recommend reading the original article and keeping-up with how this theory develops.
3M™ makes a great product under the Scotch® brand called Tear-By-Hand Packing Tape. It's packing tape that (just as the name suggests) doesn't require the use of a cutting tool or serrated edge to cut - you just tear it by hand. This product has been around for a number of years and I think it's brilliant. I use it all the time and just today had to buy a couple more rolls after using-up my stash during the holidays. However, when I got home and tried to open the packaging around the roll of tape I realized I couldn't tear the packaging by hand - I needed scissors or a blade of some sort. I was, of course, stuck by the irony and wonder why they didn't make the packaging Open-By-Hand? It's probably because the packaging needs to stand-up to shipping, shelving and fondling, but this is 3M and their tag line is 3M Innovation. If that is indeed the reason, couldn't they innovate tear-by-hand packaging that would survive the elements? I'm just saying...
Hasbro's newest Mr. Potato Head toy - Darth Tater. Would that make the mini version Darth Tater Tot? I'm sorry, but this just seems wrong to me.
Sam over at Decker Marketing takes an interesting look at the importance of "tasty" descriptions when describing menu items in a restaurant (and in marketing and selling in general). It's something we all know, but can certainly benefit from a reminder. To Sam's point, it's all about adjectives. "Adjectives make nouns mouth watering."
I would love to get some examples of truly extraordinary transformations from mundane to "tasty." Leave a comment and let's see if we can get some good ones going.
I drive a 1999 Nissan Maxima and last week one of my two keyless entry remote thingies stopped working. I tried changing the battery, but it still wouldn't work. So, after looking at it for a prolonged period of time and willing it to open my car door, I came to the only logical conclusion - it's busted. While I was mildly frustrated by this, I wasn't too upset. After all, I've had it for over five years, used it to lock and unlock the car thousands of times and I have another one that works fine - it's just nice to have two since one is always misplaced. So, I called my local Nissan dealer and told the somewhat-surly parts department guy that I needed a new keyless entry remote for my car and asked if they were in stock. Turns out, they were and I could have one for a cool $135. One hundred thirty-five dollars!
This is one of those cases where an organization makes less than it wants on some things it sells and gouges the customer on other things to make up the difference. They may only profit $500 on the sale of a car, but they know they're going to make the money back on inflated prices for service and parts. The problem is, I'm a loyal customer who now feels like I'm getting screwed. So, the question is, what nets a company a better overall result - a happy customer and an unhappy customer that cancel each other out or two pretty satisfied customers, neither of whom got particularly screamin' deals, but neither of whom feel like they got screwed either?
I understand that if you don't profit enough on the sale of one thing, you have to make extra profit on something else to balance it out. But, there is a price point for every product and service beyond which it just gets absurd. Anyone who has used the van Westendorp (link is to a PDF overview) price sensitivity meter method of pricing research understands this. The idea is to determine at what price a product or services seems inexpensive (less than you'd expect to pay and therefore a good buy), expensive (more than you'd expect to pay and enough to make you start question the purchase), too inexpensive (priced so low that you'd question its quality) and too expensive (priced so high that you'd question its value). Within the resulting data rests the sweat spot price range. Ignoring principles like that and simply pricing some products/services low (to make a sale) and other products/services high (to balance things out) is lazy business and doesn't serve anyone.
As for me - I'll use my other remote most of the time and for those occasions when I can't find it or I left in in my other coat pocket or my son has decided to play "hide dad's keys when he running late," I'll just do it old school by inserting key into keyhole and turning. Believe it or not, but that still works. Now, what to buy with that $135 I just saved?
As part of an upcoming celebration at the Disneyland® Resort, people are being asked to submit photos from their visits to the parks which, if chosen, will be included in a series of photo collages.
Though it may seem silly to some, I sent in photos from our first visit
with our son earlier this year. Anyone who has even taken a kid
to a Disney park knows what it's like to see it through their
eyes. Being part of this photo project would be pretty cool.
From a business standpoint, this has gotten me thinking about how to make my customers feel like they are part of something. I'll be chewing on that during the holidays.
The January 2005 issue of Fast Company magazine has a great article entitled "The Soft Cell" (pp 72-73, not available online) which profiles CDW's success through relationship selling. CDW positions itself as a partner, not merely a vendor. They are there more to solve problems than sell products. By solving its customer's problems, CDW will therefore sell products. This is an important distinction over the opposite (and in my experience, more common) way of thinking that by selling products your customer need you will solve their problems. The article also lists CDW's keys to lasting relationships which I will summarize and paraphrase here:
Looking at this another way, I have trained myself to more focus with customers on the non-quantifiable rather than the quantifiable. By that I mean, talk more about why they are interested in something I have to sell and how that product/service will help them and less on how much they want, when they need it and what it will cost. The more you understand about your customer's motivations, fears and desires, the better you can help craft solutions that are right for them. Then you can focus on the right product/service on the right time line and at the right price.
As a follow-up to my Q&A with Laura Ries a couple of months ago I recently asked for her thoughts on a particular case of a company going to the extreme - Hardee's and its Monster Thickburger with 1420 calories and 107 grams of fat. Here is what she had to say:
"I do believe that Hardee’s new burger is an example of the principle that nature favors the extremes. People either want to indulge in high-calorie, tasty food. Or restrict themselves with diet and lower calorie items. Items in the mushy middle are in trouble. Note the failure of C2 and Pepsi Edge, Coke and Pepsi’s mid-calorie line of drinks.
People shop the same way. High-end luxury stores like Neiman Marcus are doing well. And low-end stores like Dollar stores are doing well. The ones in the middle like Macy’s are in trouble."
Thanks for the insight, Laura.
As a means of marketing its new family vehicle, the FR-V, Honda has created a marketing brochure for kids that is available alongside regular brochures in UK dealerships. The piece, catering on reverse sides to 4-7 year-olds and 8-10 year-olds, includes games, puzzles and interesting facts about the vehicle (like how long one takes to build, how many pats go into it, etc.). The idea is to keep kids occupied (and well informed) while parents are taking a test drive. Hmmm...
via [Agenda Inc.]
TiVo is aggressively trying to stop the use of its trademarked name as a generic term, especially as a verb, as in, "I TiVoed my favorite show last night" or, "I'm going to TiVo that tonight." As quoted by a TiVo spokesperson in The New York Times...
"'We do aggressively protect our trademark,' (the spokesperson said), adding that with competing digital video recorders entering the market, TiVo wants to keep its name from going the way of Xerox or Kleenex."
I am the first one to advocate the proper use of a company's
intellectual property, especially its name. In fact, I recently underwent a
year-long battle to re-secure the registered trademarked rights to my
company's primary product after it was mistakenly allowed to lapse
(don't ask!). However, I believe most companies would kill to
have its product's name used as a generic in its space. Do
Kleenex and Xerox not benefit from having their names used in place of
their competitor's? Am I not more apt to grab a box of Kleenex
off the shelf because my wife tells me need Kleenex, when what we
really need is facial tissue? I would think that as the market
for digital (or personal) video recorders becomes much more competitive, TiVo would welcome its
name being used as a adjective (i.e. TiVo-like) or verb.
It means people are saying TiVo and not something else. Rather than fight it, I say embrace it and even promote it.
Anyone agree/disagree?
via [Lost Remote]
NBC is reportedly going to begin selling products featured in product placements as well as star's wardrobe and accessories featured in NBC Universal shows. I also read the other day, though I can't remember where, that companies featured in tasks on The Apprentice are paying up to $2 million to be part of the show and have some creative input into the tasks.
With the effectiveness of traditional 30-second ads being called into question more and more these days, it's fascinating to see all these alternative forms of promotion take shape.
via [Agenda Inc.]
In partnership with Sprint, ESPN will being offering specialized mobile phones and service in 2005. For now, special features are said to include an easily identifiable ESPN phone, sports scores and video clips delivered to the phone. Adfreak hypothesizes on some other feature ideas and what other network's offerings might look like.
So, here's a question - what TV character would you most like to have as your mobile voicemail greeting? Leave a comment and share. I would have to go with Dennis Franz as Andy Sipowicz from NYPD Blue. Hey, if Target can get celebs to wake you up in the morning, why not record voicemail greetings too?
Fast Company has published a very interesting web-only article entitled "It's Not About the Donuts" that looks at Dunkin' Donuts' current strategy to go after part of Starbucks' share of the coffee and espresso beverage market.
Knowing it can't win on customer experience, Dunkin' is going after Starbucks on speed and price by getting customers in and out faster with up to 40% lower prices for drinks made from their award winning beans. Did you know, according to the article, that 57% of Dunkin' Donuts' sales come from beverages, not doughnuts (or other food items)? How about the fact that Dunkin' sells 16% (2.8 million cups) of all coffee sold by the cup in the U.S.? With 700-100 new Dunkin' locations opening each year, it could get interesting.
Today I received my SkinIt skins for my mobile phone and TiVo remote and as promised, I'm here to report back. While the quality of the images and the vinyl they are printed on are good, the final outcome, once the skins were applied, was less than thrilling. What I had hoped for was a way to add a cool, personal touch to my stock devices, but all I feel I now have are stickers on my phone and remote. Granted, they are precisely cut and do fit well, but they only cover part of the devices. For my mobile phone, for instance, there is a piece to cover the front and a piece to cover the battery on the back. The top, bottom and sides remain exposed leaving the phone looking more "slightly covered" and less what I would envision as "skinned." I'm not sure what I expected since cutting the vinyl to fully cover the phone would require far more engineering than simply providing for the front and back. It's just that the final outcome did not offer as much "cool factor" as I had hoped.
Anyway, this is probably great for teens looking for yet another way to differentiate from the herd. For the rest of us grown-up types, it doesn't quite deliver. I must say, however, that I still like the idea.
While I'm sure it's a great car, Snoop Dogg's interest in the
Chrysler 300 surely played no small part in creating the buzz that
helped propel the car to Motor Trend
magazine's 2005 Car of the Year. While that is quite an
accomplishment, what I find most fascinating is how this plot line got
both Dieter Zetsche (Chrysler's president and CEO) and subsequently
Reuters to use the word "shizzle." I would kill for that sound
bite.
via [adfreak]
This is something I had not heard of before - ringback tones are mobile phone ringtones you can buy for the person calling you to hear in place of the normal ringing sound (kind of like a ringtone in reverse). They are apparently hugely popular in Asia and as of now, Verizon and T-Mobile have plans to bring the service to customers in the U.S.
This takes people's desire for custom and individualized
products to yet another level. Normal ringtones are for you (and,
I suppose, those around you), but ringback tones are a way of
customizing, for others, the experiencing of getting in touch with you.
Let the billions of dollars of ringback tone sales begin!
via [Engadget]
Interesting interview at The Sneeze with the creator of the world famous and multiple-award winning FedEx logo. I never noticed the arrow before - had you?
The other day I commented on trend of consumer product customization and posted about a company that offers custom artwork for iBook computers. This topic has been on my mind a lot lately and the more I pay attention, the more I see.
In my previous post, I referenced the multi-billion dollar ringtone industry as one example. Today I learned of a new company called SkinIt that makes and sells skins for personal electronic devices out of professional grade vinyl. They offer thousands of skin designs for hundreds of devices including mobile phones, MP3 players, game devices, PDA's and miscellaneous items including TiVo boxes and remotes. Prices seem to average $9.95 though some are more or less. This taps into the same desire for individuality that leads people to buy ringtones. For $10 or so you can change your stock silver or black device into something individual that reflects your personality. (BTW, I ordered skins for my mobile phone and TiVo remote and will report back when I get them).
Another prime example is Starbucks. When not just ordering a cup of coffee, my second Starbucks beverage of choice is a grande, nonfat, three raw sugar latte. (and that's the way to order it, by the way, or they will correct it when calling the order to the barista). You can get whole milk, low fat milk or nonfat milk. You can also get soymilk, an extra shot or any of a dozen flavors. You can get your drink hot or cold and big or small. What I wonder is, how much of what people are willing to pay for these drinks is a result of the quality of the product versus the individuality of the product? Am I paying $3.49 for a latte or for my latte? Obviously, I believe the answer to be the latter.
I guess the real question here is, how much more are people willing to pay for a product customized just for them as opposed to what a company produces for everyone else? Next question is, how can your company (and your clients) benefit from this trend?
Any other examples of customization? Leave a comment and share your thoughts.
Whether they realize it or not, Painted Bytes is cashing-in on the current personalization craze. From $89 for custom colors to $139+ for custom artwork, Painted Bytes will turn your stock iBook into a individualized fashion statement.
With revenue from ringtones in the billions of dollars worldwide and people not even wanting to have the same old iPod earbuds as everyone else anymore, the desire for personalization is reaching a fever pitch. Those who effectively personalize products, services and, most importantly, experiences will find customers willing to pay far more than they'd ever expect (as in $1.99 or more for lousy-sounding digitized renditions of their favorite songs as ringtones even though the real songs can be downloaded for only $0.99).
via [Engadget]
As a way of promoting its big upcoming 2-day sale, Target is offering people the opportunity to schedule a wake-up call on the days of the sale. Not available for scheduling until 11/17, customers can visit the Target website and schedule calls from characters such as Darth Vader and Heidi Klum as well as various other generic characters such as "Diva" and "Heartbreaker."
While I really like the creativity behind this program, I feel they stopped short by not having more celebrities to choose from. While Darth and Heidi are cool, where are Brad and Britney or Ben and J-Lo (wouldn't that be something)? No one wants a call from generic "Heartbreaker." Target has enough pull to get some A-listers (or at least strong B-listers) and to really nail this promotion, they needed to do that.
via [Adrants]
Last night PBS aired "The Persuaders" on Frontline, a documentary which looked at how changes in marketing practices are influencing U.S. culture and politics. It also looked at how advertisers are trying to break through the clutter that they have created, looking for new ways to reach potential consumers.
In a segment on political research, the Perception Analyzer® was featured and a link to this blog on the Frontline website (last link under 'The Persuasion Industry' section) has resulted in, by far, this weblog's highest traffic day ever.
For anyone who missed the show, it will be available to view online on Friday, November 15.
The web site of direct response marketing (infomercial) giant, Guthy-Renker, lists the company's 10 Commandments of Management. Regardless of how you feel about those oft-cheesy late-night sales pitches, the company has certainly been successful and these "commandments" are sound. They are:
- Thou shalt take risks
- Thou shalt make nice with your competitors
- Thou shalt pick the right people
- Thou shalt have a Rolodex® that is fruitful and multiplies
- Thou shalt welcome change
- Thou shalt master the multimedia marketplace
- Thou shalt join and lead thy trade association
- Thou shalt build on thy company's brand name at all times
- Thou shalt not limit thy upside
- Thou shalt be prepared to toss out these commandments and start over!
P.S. Sorry for all the "Thou shalts," but that's the way they wrote it. I think Commandment 11 should be, "Thou shalt stop saying thou shalt!"
Rarely am I impressed enough by a product or service these days to endorse it, but I love WOOT! WOOT is a four-page web site that sells one product per day, from midnight to midnight or until it sells out, whichever comes first. They are usually technology products of some sort, but not always, and are always heavily discounted. Often, the product has sold out overnight, before I see what they are offering when I log-on in the morning. The web site describes woot.com as "an online store and community run by the employees of a 10 year old consumer electronics distributor that focuses on close-outs and generally buying stuff cheap."
I have ordered twice from WOOT. Once was just for fun - a WOOT T-shirt that would have come with a "bag-o-crap" had the last digit of my order number matched the last digit of the Dow Jones closing number of that day (it did not). The other time was a 17" flat panel LCD computer monitor. The price was $279 for a comparable monitor to what I saw elsewhere for $379+. I received the monitor in about a week and it works great.
Mostly, I just love the concept of a four-page, no frills web site that sells one product a day and that's it. You've probably already heard of WOOT as it is generating quite a cult following, but if not, check it out, have fun and figure out how to make an extreme and simple concept like this work for your business.
Holiday Inn Hotels & Resorts has published a book of stolen towel stories from its customers called About the towels, we forgive you: Absorbing Tales of Borrowed Towels. Sixty-percent of proceeds from the $25 book will go to the Give Kids The World charity and the first 1000 people to purchase the book will receive a free Holiday Inn towel.
This is a masterful case of taking something everyone can relate to and turning it on its ear. Everyone has stolen a hotel towel for one reason or another. Holiday Inn is basically saying 'we know and there is nothing we can do about it so let's have some fun with it, make some money and give to a worthy cause - all in the name of marketing and PR.'
I think hotels should encourage guests to take a towel or robe anyway. They take it home, use it, see the logo all the time. What better way to stay top-of-mind for when people are making their next travel plans? Sure there is a cost involved, but it's called the marketing budget.
via [Right This Way]
Proctor & Gamble reports that Crest's appearance on last week's episode of The Apprentice resulted in "the highest level of online interest in a single product launch in P&G history." With the offer of free samples and a contest for the best marketing idea submitted via the web site, "increased Web traffic started immediately after the show aired, with more than 800,000 hits in just two hours. In addition, more than 40,000 samples of the product were requested and more than 20,000 applicants submitted ideas on how they would have created buzz."
With the effectiveness of television advertising being questioned of late and advertisers moving more and more ad dollars to alternative outlets, this kind of paid placement is an example of creative marketing that may just pay off.
via [Lost Remote]
I shop at a high-end retailer that has a loyalty program - for every $40 spent I get a card stamped and after 10 stamps I get a $40 credit toward my next purchase. Not a bad deal. I essentially get 10% back on every $400 spent. The problem is, they stick it to you with ridiculous rules.
First, you must spend $40 during each visit to the store in order to get credit for that purchase. If you only spend $30, for instance, then no credit and that $30 does not carry-over to next time. This rule is just unnecessary. I will spend the same amount of money over time or I won't earn the credit, but why force me to spend more than I want to on any specific visit? Either way, they still don't give me a $40 credit until I first spend $400, so why not let me earn it the way that works best for me?
Second, a completed card may only be redeemed on the next visit. I learned of this when my last purchase was $85. I needed one stamp to get my $40 credit. I asked if they could stamp me for the first $40 of my purchase and apply my $40 credit to the remaining $45. They said, "No, the card may only be redeemed on your next visit." So, then I asked if I could split it into two purchases. Ring me up for $40, stamp my card, then ring me up for the remaining $45 and apply the credit. This time the "no" came before I even finished my thought - clearly they had heard it before. And, to make it even more silly, since my purchase was $85 and my current card only needed one more stamp, they completed my first card and had to start a second one for the stamp for the second $40 I spent (though no credit for the remaining $5, of course). Now I have two cards. One that's full and taunting me until I go back to redeem it and one with a single stamp.
So, this is what they call a loyalty program, eh? I understand they want to get me back into the store and not redeeming my card until next time is a way to force that to happen. But, by the time I have a card full of ten $40 stamps, haven't I already established myself as a repeat customer? It's not like I'm going to spend $400 at their store just to get my $40 credit and never return. I'm not asking for anything more than they currently offer - $40 credit after $400 spent. Just don't stick it to me with ridiculous rules designed to force me to shop more at a store where I have already established myself as a good, repeat customer.
Bottom line - loyalty programs are for our most loyal and valuable customers. They spend the most, return to us most often and provide powerful word-of-mouth (positive and negative). Let's be sure to show them the appreciation, and treat them with the respect, they have earned.
First the JetBlue terminal at JFK gets an Oasis day spa and now the once vacant Terminal 5 at JFK gets turned into what reads like a living, breathing artistic experience. The web site is cool (turn up your speakers) and the concept actually makes me want to visit an airport terminal. All they need to do now is settle on either "Terminal 5" or "Terminal Five" as my brand-consistency early warning system started beeping when I saw both used on the web site.
Here's their description of the project:
"Terminal 5 is an event for air travel. The airport terminal designed by Eero Saarinen at John F. Kennedy Airport, New York, was left vacant in 2001. The site reopens with an exhibition curated by Rachel K. Ward to respond to the transitory nature of travel, architecture and contemporary art. Sculpture, installation, sound, performance and other media take place within the luggage carousels, ticket counters, VIP lounges, staircases and the tunnel walkway. The terminal also hosts an airport media lounge, airport gift shop and ongoing "Arrivals," a series of public events."
[via Right This Way]
Disney has created a desktop computer designed for children called the Disney Dream Desk PC. The $599 PC will include a DVD player, a CD-RW, an ergonomically designed kid-sized mouse, a multimedia keyboard and a digital pen. The 14.1” Mickey-shaped TFT LCD flat panel monitor with embedded speakers will be available for an additional $299.
Good article at MarketingProfs about the use of color in branding. An interesting example they cite is UPS using the color brown, one of the least used colors in marketing (blue is the most used, but the way). It turns out, "brown represents steadfastness, simplicity, friendliness and dependability—perfect for a logistics company." Good info as well about the connotations of other colors and the double effect of using a color in a company name like jetBlue or Red Envelope.
