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Category Archives: Advertising

Professional pie purveyor proudly pays people, poo-pooing PIVOT posers…

21 Tuesday Apr 2020

Posted by Malcolm Auld in Advertising, Copywriting, Customer Service, Digital marketing, Marketing

≈ 2 Comments

Tags

advertising, branding, buzzwords, digital marketing, jargon, marketing, pivot

There’s nothing like a global financial crisis, or new technology, even a pandemic to release the jargon-monkeys and cyber-hustlers from their lairs. Like a zombie invasion, they just appear from nowhere, spraying unsubstantiated platitudes and buzzwords-aplenty to position themselves as knowing not what we know, but more and better secret stuff.

And the COVID-CRISIS has them appearing in droves. Buzzwords are spreading like a… well you can guess how fast they’re spreading dear reader.

One of the most popular and unnecessary buzzwords you’re probably hearing is “PIVOT”. It is spoken in revered tones, as if it explains some miracle new COVID business strategy. The word gained notoriety in the book “The Lean Startup”. The premise is simple – it must be, as I teach a capstone subject at university based entirely on the book. It is good guide for inexperienced young entrepreneurs who don’t have much marketing expertise.

In jargonised terms, find a problem that needs to be solved, then start solving it with a (digital) Minimum Viable Product – known buzzwordingly as a MVP. (not Most Valuable Player as MVP has been known for decades in the sporting world). The MVP is partially developed and tested in the market. It is then reiterated (further developed) based on how customers/prospects in the market use the MVP. This technique, a common function of basic marketing, is labelled “Build, Measure, Learn”. True – it even has its own acronym – BML.

Eventually, after lots of testing and learning – sorry BML – when you have a well-developed MVP (Maximum Viable Product?) that appears to have commercial potential, you raise funds to develop it fully and launch the business to the market. Instagram started this way. The subtle difference in the start-up world is that you don’t start the business by creating the final product and launch it to the market.

Instead, you create a MVP, then BML, reiterate, test and learn some more, reiterate and BML again until the final product is in sight. In the real world this is the part of marketing called product development. For decades it was known as dry-testing. Marketers advertised different versions of products, with different features, then produced them based on customer feedback – known as sales and research.

We’re doing some BML on our MVP…

Unfortunately, some unscrupulous people caused this practice to stop (sounds digitally-familiar) so you can no longer advertise a product that isn’t in stock, as a way of testing the market. Yet you can sell an incomplete digital product that may or may not deliver what it claims, as it’s still being reiterated using BML.

But here’s the big reveal. If the final solution you invent is different to the first solution for the problem you identified as needing to be solved, you are deemed to have “pivoted”. That’s right folks – if you change direction and develop a different product to your original intention, or create one that solves another problem, you say you’ve pivoted. You haven’t just developed a product as part of your product development. Instead, you use a jargoniser to explain this simple business function.

I’m sure the scientists at 3M screamed at the top of their lungs ‘we have pivoted‘ when they discovered they could apply one invention to another product, that was eventually branded as Post-it Notes.

So what has this to do with pies I hear you ask?

Well, an old school mate of mine owns a pie shop up the hill from my place. I dropped in last week to see how his business was coping in the pandemic. He greeted me with a big grin. Business was booming and he’s employing people.

The reason is simple. Thanks to the lock-down, he’s now selling lots more family pies and quiches than usual, so he displays more of them in the store. And, he has a chalk board outside his store advertising “Family Pies & Quiches”. “What a PIVOT!” I hear you shout dear reader.

He is also supplying family pies to a bunch of butchers, so they have additional products to sell. “What another brilliant PIVOT” I hear you shout again. You’re probably musing “he’s a marketing genius to PIVOT like that”.

My local craft brewer and gin distillery (you have one, don’t you?) is selling less beer during the pandemic, as pubs are closed. The market has temporarily shrunk. So it is using its equipment to do what it has always done – manufacture products to sell to consumers profitably.

Yes folks, there is a short-term demand for hand sanitizer, so like many breweries and distillers, the company is using ingredients in their equipment to make sanitizer and sell it to consumers. Hold yourself back dear reader, I know you just want to shout “What a PIVOT!” But it’s simply another day at the office.

Marketers either seize opportunities or solve problems – best if they can do both at the same time, as there is less sale/marketing cost. So these pie purveyors, brewers, distillers and many other manufacturers, are simply doing what they are supposed to do – create and sell stuff to customers profitably.

It’s not rocket science. It’s not a PIVOT. It doesn’t need a jargoniser to explain itself. It’s just the common sense business practice, known as “marketing”.

So if you hear some jargon-monkey use the word “PIVOT” in a meeting, please poo-poo them and save them from their follies. Ask them politely to stop using buzzwords. If you’re in a video conference and they refuse, maybe mute them or place a funny filter over their face. If they insist on preferring PIVOT, ask them to leave the industry – they are just not meant for it – and it’s for their own good.

When we return to face-to-face meetings (I can’t wait for a conference-room gathering) you might have a jargon-monkey in there with you. The best way to make them stop posing with PIVOT, is simple. Grab a copy of The Lean Startup, pivot in your chair, and clip them over the ear with the book. If they don’t get the message – just ask them to leave the industry – see previous paragraph.

The same goes for people who claim they have a side-hustle. If you’re a hustler, leave now! You’re not wanted in any industry. You’re just freelancing, nothing new. My former boss, David Ogilvy, used to encourage staff to freelance as it broadened their experience – as long as it didn’t interfere with their salaried job at O&M.

When I was a National Marketing Manager at TNT I freelanced as a copywriter and marketing consultant – more than 30 years ago. It wasn’t a side hustle – it was freelancing. Still is. Doesn’t need a buzzword to pretend it’s something special or different. When jargon-monkeys use such weasel words they expose themselves for the fakes they’re pretending not to be. So please help the poor sods and educate them.

Hmmm, gotta go as I’m getting hungry. Will grab some of last night’s leftovers. No I’ve changed my mind, I’ll have a pie. I’ll heat it up while doing some copywriting. Wow, a PIVOT and SIDE-HUSTLE in one move. Bloody genius…

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What do we want? “Bog Rolls!” When do we want them? “Now!”

05 Thursday Mar 2020

Posted by Malcolm Auld in Advertising, Branding, Customer Service, Marketing, Social Media

≈ 8 Comments

Tags

branding, Corona Virus, jonesyandamanda, marketing, thebrandguy, toilet rolls

Well folks, just when you thought the world couldn’t get any stranger, along comes the Corona Virus, or COVID-19 as it’s technically known, to reveal an insight into humanity.

And while it is tragic that people are dying from this virus, the behaviour of humans during these early stages is curious to say the least. I promise to spare you from any puns in this story as I share examples.

Example A: Sales of Corona Beer are either declining rapidly or on the rise, depending which “news” you read. If sales are declining, one has to wonder how a significant mass of people assumed the virus was transmitted by Corona Beer? I thought beer drinkers were educated folk? The brewer has called on that famous beer connoisseur Snoop Dogg, to save the day and restore sales via a celebrity-driven campaign called “La Vida Mas Fina.”

Snoop Dogg selling Corona

Example B: In a complete act of madness, Australians have gone totally bonkers and are hoarding toilet paper, also known as bog rolls, bum fodder, poop mittens and other terms. The populace has also gone stupid for hand sanitizer, wipes of all varieties, paper towels, baked beans (maybe to fill the bog rolls?) and other dried foods.

Toilet paper madness…

This just goes to prove a couple of marketing adages:

1. People are firstly, and only, interested in themselves. WIIFM Rules OK!

When people see a marketing message they subconsciously ask “What’s In It For Me? It’s why your message must be clear and demonstrate in simple terms, what’s the benefit for the punters.

If you’re a fan of Maslow, this current behaviour fits right at the bottom of the pyramid – basic needs. In the case of the Corona Apocalypse, people have stocked up on basic food and sanitary items, without a care for others. Whole supermarket shelves have been decimated. Though I’m sure once people have stocked up and looked after themselves, they’ll have a square to spare. Unlike Elaine Benes who couldn’t get her cubical neighbour to share a square.

Can you spare a square?

2. People unquestionably follow crowds and group think

The mass stocking of bog rolls et al, was not something encouraged by government or news outlets. It occurred because people didn’t want to be left out – they wanted to follow the crowd and not get left behind. It’s one of our social needs – to be part of a group – and a major trigger behind tiered consumer products that give higher privileges, the higher up the tier you are eg Platinum or Black charge/credit cards. Never underestimate the power of FOMO.

Though the good thing about Doomsday behaviour, is that you only have to admit it if it suits the social situation. You don’t have to share your actions with anyone unless it gets you favourable comments.

This buying frenzy has caught manufacturers by surprise. These normally reliable bog roll producers are working around the clock to keep the paper rolls up to the public.

who gives a crap is working overtime…

Plenty of content, not enough rolls being produced…

But the weirdness does bring out the best in Australian humour.

Today the NT News – famous for its headlines, such as “Why I stuck a cracker up my clacker” and “They stole my dog while I was on the bog” – did a wonderful favour for the NT community. The newspaper printed an 8-page insert of single-ply toilet paper for readers. The pages come with a watermark map of Australia and perforations so you can tear individual squares. Bloody ingenious and very thoughtful given the current shortages.

NT News single-ply insert…

Am not sure which pub, but one is giving away a free bog roll with every Corona bought – solving two problems at once.

FREE toilet roll with every Corona

Meanwhile on Sydney radio – every caller who rang Jonesy and Amanda on WSFM this morning, and shared information about where to buy a bog roll, received a free roll and free hand sanitizer. #jonesyandamanda

Jonesy & Amanda doing their bit for the community…

My good mate The Brand Guy, Richard Sauerman got his staff bonus today…

A bog roll bonus…

While hopeful hustlers are trying to find the day’s sucker on eBay:

wanna pay more than $20 a roll?

And then there’s this bloke who is expanding his franchise:

Want to buy a franchise?

It often takes a crisis for innovation to arise and it’s good to see the Aussie intuition has risen to the occasion, despite the toilet humour:)

Gotta go now – so to speak. I wonder if we have any dunny paper???

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Is ‘Scotty from Marketing’ threatening the future of marketing?

21 Tuesday Jan 2020

Posted by Malcolm Auld in Advertising, Branding, Digital, Digital marketing, Marketing, Social Media

≈ Leave a comment

Tags

Ad Contrarian, advertising, Betoota Advocate, Bob Hoffman, branding, digital marketing, marketing, ScottyFromMarketing, social media

I am very concerned dear readers. But first, for international readers of this missive, I need to give you some background.

An online newspaper – The Betoota Advocate – is one of the most refreshing and entertaining publications about daily life in Australia. You’ll hear Aussies say “How good is the Betoota Advocate?” though not, I suspect, will you hear it said by our Prime Minister.

You see, the paper has nicknamed him Scotty from Marketing – because in the PM’s earlier career, he worked in government departments that were responsible for Tourism marketing, though he never held a marketing role.

Scotty from Marketing is now a brand in itself…

It is an understatement to say the PM has not covered himself in leadership glory during the recent devastating bush fires in Australia. Consequently he is an easy target and ‘The Toot’ has done a fabulous job of branding him as Scotty from Marketing. The nickname has quickly entered the Aussie vernacular and is now used disparagingly by the PM’s political enemies and the Twitter Trolls who hate everything ‘conservative’. Consequently the hashtag #ScottyFromMarketing trends regularly whenever social media heats up.

Twitter – the home of the keyboard trolls…

But my concern is not political – it’s more important than politics. My concern is for the future of our industry.

The marketing/advertising industry is already one of the least trusted industries on the totem pole of consumer trust.

wanna buy some digital marketing??

The best selling marketing text of the past 24 months is BADMEN by Bob Hoffman, who is also one of the most in-demand marketing speakers at industry events. The book slams the disgraceful behaviour of the major digital marketing platforms such as Google, Facecrook, Instagram and Twitter, as well as the media agencies who book online advertising via programmatic platforms. It holds a mirror to the digital marketing industry and reflects a face of horrors.

Twitter is full of self-loathing for the industry, by those fed up with the cyber hustlers. Everywhere you look in the (digital) marketing landscape it’s charlatan-central. The industry is doing nothing to help improve consumer trust, let alone encourage people to start a marketing career.

Which leads me to my main concern – the decisions that final-year high school students are making about their future. If they are considering doing a marketing degree and Scotty from Marketing is perceived as the highest profile marketer in the country – what hope do we have of any young folk preferring marketing to make their mark?

Scotty and by association, marketers, are fast becoming the butt of jokes at BBQs, the pub, parties and other social gatherings. Social media is trashing marketers via Scotty. I’m concerned that university enrollments will plummet if the Toot keeps promoting Scotty from Marketing so well. The publication has done such a good job of branding the PM, it has created a serious dilemma!

I love the Betoota Advocate, but by promoting Scotty as a marketer, they may be killing off the future of marketing. I’m going to ask them to place a disclaimer against his image eg *not a real marketer.

Otherwise, the industry will have to do an advertising campaign promoting marketing as a worthwhile career and repositioning Scotty from Marketing as a just a lowly politician.

Although that is a problem in itself. Politicians are trusted more than marketers on the consumer trust rankings, so there’s no chance we could run a headline such as: “Trust me I work in marketing…”

Your thoughts please…

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Adidas marketers should run around a football field if they want to sell footwear…

21 Monday Oct 2019

Posted by Malcolm Auld in Advertising, Branding, Digital marketing, Marketing

≈ 4 Comments

Tags

Adidas, advertising, branding, digital marketing, marketing

Given Adidas has admitted its mistake of over-investing in digital advertising, it might be worth revisiting this article:

With much fanfare, the marketing clerks at Adidas announced they are no longer going to advertise on TV, as their target market is young and allegedly doesn’t watch TV. Their Aussie brethren repeated that announcement again this week.

It seems Adidas will only use digital channels for marketing to these young folk – completely missing the larger audience of active sportspeople still playing football, netball, jogging and much more, well into their 50’s. These people also have more money than younger people and will spend it on all sorts of branded goods.

they’ll spend money on anything…

I declare a hand here. I was once paid a few shekels to play football and eventually played for 40 years, so have bought a shed-load of boots, running shoes and clothing. I am a qualified football coach and assistant rugby referee. I coached juniors until two years ago, advising parents on what boots to buy.

I attend my kid’s rugby, basketball and hockey games, participating in team management. So in summary, I am a parent of, and involved with, the young sportspeople Adidas want to reach – not to mention a lifetime sports gear customer and person who showered regularly in male sporting sheds. Though that’s not a vision you need right now.

I’ve also worked on creating ads for sports drinks and sporting goods retailers, so may have some semblance of an idea about the market. Hence my humble opinion via the following points:

Point 1:
Young folk do watch large screen TV, often with an iThingo in hand. They love to watch sport on TV, as well as on smaller devices. So they do see TV advertising.

Point 2:
The lads play FIFA on PS4 which is where they see some of the coloured footwear of different players. This may have some influence on their choices. They also attend professional sport as fans, so they see what their heroes are wearing. Interestingly, sport brands rarely have pop-up stores selling stuff at these matches – where are the brand activation folk?

Generally though, their footwear decision is influenced by the following three things:

  • What their mates are wearing – if someone turns up to pre-season training wearing the latest lime-green boots, then that’s what they all wear.
  • The expert in the shoe store – Foot Locker or Athlete’s Foot – who advise on the best boots/joggers for their feet/sport.
  • The cost of the damn shoes – governed by my (or their) wallet.

The delusion that the only way to reach young sportspeople is via digital channels, is farcical. One has to wonder, what’s in the sports kool-aid at Adidas?

My kids (and I) have worn Adidas, Nike, Tiger, Puma and Asics. They are not loyal to any single brand. I was never brand loyal either, though admittedly I did prefer the Adidas Predator boot in my twilight years.

Craig Johnston, Aussie inventor of The Predator and proud mullet wearer…

More importantly…

Point 3:
This younger generation is responsible for the single biggest consumer protest in history. Around 700 million of them have downloaded ad blocking software to their digital devices, specifially so they don’t get any (Adidas) advertising. So am not sure who the marketers at Adidas believe will see their digital ads?

Stop that digital advertising…

Obviously, to overcome the issue of digital advertising not working, Adidas will create content and brand experiences for their customers. But they will need to spend money to promote the promotion, so to speak. They cannot rely on social media or WOM.

I suspect Adidas will awaken from its folly in good time. Maybe they should speak with P&G to learn how they lost $Billions in sales, when they moved away from TV advertising to Facebook advertising? P&G returned to TV BTW.

I’m banking on Adidas moving to a “footpath graffiti” strategy. They’ll hire street artists to paint the footpaths of the cities with Adidas branding – digitally activated of course. This will allow them to capture the attention of all those young people walking around staring at their feet and the ground, while on their mobile phones.

When said punter steps on an Adidas brand image, a RFID message will be activated on their mobile, instantly offering branded content -not selling anything, because as we all know, selling in the digital world is evil. This will make the punter’s life more fabulous, so they will fall in love with the Adidas brand. Don’t say you weren’t warned.

Gotta run – where are my Dunlop Volleys…

connect to me on the run: https://www.linkedin.com/in/malcolmauld/

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FOMO, not social channel preference, drives social media usage on mobiles…

18 Friday Oct 2019

Posted by Malcolm Auld in Advertising, Digital, Digital marketing, Mobile marketing, Social Media

≈ Leave a comment

Tags

advertising, digital marketing, FOMO, marketing, mobile marketing, social media

Life used to be simpler. In the not-so-distant past you awoke, by whatever means, and depending upon your relationship might have had a cuddle or more intimate moment. Then you got out of bed and showered or had breakfast and prepared for the day.

Some of us were woken by radio, so we could listen to the news before, or as we started our day. Some even switched on a TV to catch the news – to see if any terrorist acts, wars, floods or famine occurred while you slept. It was a simple start to the day.

But things have become more complicated. Now it appears for many, the first thing we do when we awaken is “check our phones” – partners come a distant second on the priority list. And we’re not checking for missed phone calls, voicemail or even news.

No, we’re checking content on social media. Because as we all know, it’s the central repository for all things important. I’ve been fascinated by this behaviour and over the last four semesters teaching at university, I’ve discussed it with my students – tomorrow’s advertising and marketing legends.

We run a session in which we track ‘a day in the life of a consumer‘ in terms of the media they are exposed to throughout the day and how they interact (or ignore) with the various media channels. I’ve asked all my students “what is the first thing you do when you wake in the morning?”

Almost 100% answer “check our phones“. Some will even do so before they relieve their full and bursting bladders.

But being the curious bugger I am – I probe deeper. “What do you check on your phones” I ask? “Social media” choruses the answer.

And deeper – “what channel do you check first“, I inquire?

And this is where it gets interesting. Many don’t know what channel they check. If that sounds strange, it’s not when you think about it.

Because they are not checking channels. They are checking ‘notifications‘ – and they check the channel with the most notifications first – after all, that’s the most activity they missed while asleep. Their FOMO drives the channel they check first.

wakey, wakey, rise n shine, get out of bed it’s FOMO time…

So, if a post on Instagram has lots of activity that triggers notifications, they check that channel first. Or if they are tagged in a Facebook exchange resulting in lots of notifications, Facebook is the first port of call.

Their choice of a channel has nothing to do with the preference for the channel and everything to do with their Fear Of Missing Out on something, such as their name being tagged in a photo. After all, this is way more important than any terrorist acts, wars, floods or famine – or intimacy with their partner.

You see, notifications present a dilemma. The more notifications they have, the further behind the social curve they are – and other people might notice. OMG! Emoji. Emoji. Emoji. Emoji. #hashtag

The implication of course, though not scientific, is they ignore any ads that appear in their feed, as they rush to get back to the head of their social position. It also means marketers cannot assume people scroll through their feeds in a linear fashion, taking in all the messages that appear from friends and marketers, casually accommodating notifications.

If the consumer you are trying to reach is highly popular, they may never see your advertising – as they have no interest in anything but processing their notifications. But there is an easy way to know – test.

I suspect a few of you wise readers have occasionally been guilty of FOMO created by your phone? It’s not really a good reflection on human nature, is it? But I’m not trying to make you feel guilty – rather, reflect.

credit: https://hbr.org/2019/04/podcast-fomo-sapiens

It also appears from a marketing point of view, the more you can get your customers tagging and hashtagging your message, the more chance you have of maybe, possibly, being noticed on a social channel on a mobile – maybe.

Then again, you could just call customers on their phone – that’s such a rarity these days you’re bound to beat the FOMO barrier.

Gotta go – my phone just pinged and it’s obviously vitally important that I drop everything. WOW, it’s a meeting notification. Maybe I should screenshot it and share for everyone to see…

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Your Marketing 101 Guide by the Numbers…

20 Tuesday Aug 2019

Posted by Malcolm Auld in Advertising, B2B Marketing, Branding, Content Marketing, Digital marketing, Direct Marketing, Email marketing, Marketing, Marketing Automation, Media, Mobile marketing, Remarketing, Sales, Sales Promotion, Social Media, social selling, Telemarketing, Viral marketing

≈ 12 Comments

Tags

advertising, B2B Marketing, branding, catalogue marketing, contact strategy, content marketing, data-driven marketing, digital marketing, marketing, selling, social selling

Hello again. I’m currently writing a book on B2B marketing – adapted from my training courses. The B2B category has a lot of executives in marketing roles who have no prior marketing qualifications. They have sales, product or technical backgrounds. Some even call themselves social sellers.

So, I’ve put together a little “Marketing 101 Guide by the Numbers”. Keep these in mind when planning your marketing executions, as they’ll keep you focused.

The three goals of your marketing communications – and there are only three…

  • Acquire new customers
  • Get customers to spend more money with you more often
  • Get customers to keep spending with you for as long as possible.

If your marketing communications are not helping you achieve one or more of these goals, you’re probably wasting your money, regardless of the media channels or vanity metrics you use.

The two ways of marketing – and there are only two…

  • Mass marketing
  • Direct marketing

Mass Marketing – you communicate with as many consumers* as possible for the lowest media cost, to position your brand in the mind of the consumer, so they consider it when they are in the market to buy – online or offline. Generally used in broadcast, print, outdoor and some online channels.

Direct Marketing – any marketing communication delivered directly to individual consumers* or to which they respond directly to you. All responses are measured and there is always an exchange of either data or dollars – online or offline. Generally used in broadcast, mail, email, telephone, print, events, social, search, mobile and online channels.

*Consumers is generic for both prospects and customers

The two reasons people use the internet – and there are only two…

  • To save time
  • To waste time

That’s it. You need to design your website, landing page, email, social channels, apps etc to make it easy for your customers and prospects to either save time, or to waste time, depending upon their reason for visiting.

Saving or wasting time?

There’s no such thing as a customer journey – just two contact strategies…

People don’t go on customer journeys. This is a marketing buzzword designed to make the user sound sophisticated – it’s complete bollocks. There are only two contact strategies to use, and they’re linked to the most relevant touchpoints. After all, a prospect isn’t a customer until they buy something:

  • Prospect contact strategy – to generate new customers
  • Customer contact strategy – to keep profitable customers and generate referrals

Marketers determine the most appropriate touchpoints to reach prospects and customers, then communicate as necessary in the most effective channels for those touchpoints. These touchpoints can be mapped for easier visual interpretation.

For example, a prospect may identify themselves by responding to an advertisement by telephone, downloading a white paper from a website, or at a trade show. This is the beginning of the prospect contact strategy designed to get them to either request a presentation (if required), to trial the product/service, or to buy. This can involve lots of channels, some of which can be automated.

Once the prospect becomes a customer, they join the customer contact strategy. This involves communicating with personal messages designed to create a positive customer experience, encourage loyalty, obtain referrals and generate further sales.

The customer contact strategy can also be divided into two separate executions. One execution is linked to the date the product or service is bought and includes messaging around warranty, service, renewal, upgrade and the like.

The other execution is linked to time of year and includes messaging such as monthly newsletter, seasonal offers, event invitations and more.

Obviously, the customer contact strategy uses more personal media channels including; face-to-face meetings, mail, telephone, email and social channels. And all the while, there is the 24/7 continual flow of marketing content on blogs, websites and social channels, as well as advertising.

People DON’T go on customer journeys…

The numbers that matter when budgeting…

There are a few key numbers to understand when budgeting your marketing activity:

  • Lifetime value – how much revenue you customer is worth over their lifetime of buying from you
  • Cost per lead – how much you can afford to spend to generate a qualified lead
  • Cost per sale – how much you can afford to spend to generate a sale
  • The advertising allowable – what you can afford to spend to generate a sale at either break-even or a pre-determined profit percentage

When you know how much a customer is worth, you can determine how much to spend to generate a qualified lead and therefore how much you can afford to spend to get a sale – based on conversion rates. This helps you determine the most appropriate media channels to use, as they are defined by your advertising allowable.

Remember:

Marketing creates the need, while sales fulfills the need…

Your marketing activity helps to create the need for your brand by building desire for it and reinforcing your decision after you’ve bought. Your sales people use selling techniques to fulfil the need and complete the sale.

Your direct marketing activity can both create and fulfil your prospect’s needs in a single execution. It also integrates your marketing and sales teams to ensure they both work together successfully.

So now you know, what you need to know, about you know, that thing that everyone thinks they know – marketing…

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Your aspiring customers can be more valuable than your paying ones…

12 Wednesday Jun 2019

Posted by Malcolm Auld in Advertising, Branding, Marketing, Media

≈ 2 Comments

Tags

#HaymanIsland, #TNT, advertising, branding, marketing, media, public relations

My recent article about the Koala team’s overzealous belief of their brand awareness reminded me of a story about one of my first bosses, Sir Peter Abeles.

Sir Peter built the TNT global transport and logistics empire, which at one stage owned Ansett airlines. I was the National Marketing Manager of TNTGroup4, which was where I got loads of hands-on experience building databases and using direct marketing techniques for B2B and consumer marketing.

Sir Peter Abeles

Reg Ansett, the visionary founder of Ansett Airlines, bought Hayman Island in the 1950s and turned it into Australia’s most luxurious island holiday resort. Of course, the only way to get to the island back then was with Ansett Airlines. (BTW this was many decades before I eloped to get married on Hayman Island)

Back in the 1980’s after TNT bought Ansett – and consequently Hayman Island – the company made a huge investment in refurbishing the Hayman Island Resort. Those in the hospitality industry will know that all resorts eventually get stale and require deep pockets to bring them up to date.

After completion of the refurbishment, Sir Peter flew to Hayman Island to inspect his heavy investment. He attended the soft launch to the travel trade and left the island feeling comfortable about its new direction. Upon landing in Sydney, Sir Peter would normally be collected by his personal driver, but on this occasion his driver was unavailable.

Hayman Island Resort

So Sir Peter took a taxi. The first thing the cabbie asked Sir Peter was “where have you been?” Beeming proudly, Sir Peter said “Hayman Island.” The cabbie immediately replied “where’s that?”

Suffice to say, Sir Peter politely explained where and what Hayman Island was, while discreetly seething under his breath. As soon as he got back to work, he demanded to see the Hayman Island marketing team, to get an explanation as to why a taxi driver at Sydney Airport hadn’t a clue about Hayman Island.

The mistake the team made was simple. It had micro-targeted a “luxury audience” by advertising exclusively in the Ansett magazine, upmarket lifestyle, fashion and travel magazines, as well as through media releases to travel writers. The problem with this niche-tactic of course, was that only those who could immediately afford to go to Hayman Island saw the advertising.

Nobody who aspired to go to Hayman Island, or who would save to go for a holiday there, had seen the advertising. They were not aware the Hayman Island Resort existed. So when Sir Peter said “Hayman Island” when answering the cabbie’s question, he didn’t get affirmation from the driver about his decision. Sir Peter was expecting something like “wow you’re lucky, I dream of having a holiday there.”

Holiday envy…

Part of the process of a considered purchase, such as a luxury holiday, home, car, camera, bed, lounge etc is the reinforcement by colleagues that your decision is a good one. Or even one they envy. It’s part of what drives our ego.

This is why your brand advertising should not just reach those most likely to buy, or those who buy regularly, but also those who might buy occasionally or dream of buying. Sales growth comes in distinct ways depending upon what you’re selling. Fast moving consumer goods such as groceries for example, have different buying patterns to high-value considered purchases.

Growth for high volume (often unconsidered) purchases comes from:

  • Convincing current high volume customers to consume more of your product
  • Converting high volume customers from a competitor to your brand
  • Getting more occasional users to buy your brand when they are in the market

Read Byron Sharp’s book; How Brands Grow for more detail.

Growth for low volume considered purchases comes from:

  • Additional purchase by a current customer
  • Converting a customer from a competitor to your brand
  • Getting first-time buyers to buy your brand

So, regardless of your product category, when marketing to consumers, you want as many people to know about your brand as possible. This includes those who will buy your brand and those who wish they could buy your brand. It’s why brand advertising, publicity, social sharing and review sites are all important tactics.

B2B is a different kettle of fish – you can often put every customer in the category on a floppy disk (ask your parents if you don’t know) and communicate with them based on where they are in their buying cycle, often driven by contractual arrangements or tenders. That’s for another article.

So don’t forget your aspirational customers, they help your paying customers justify their purchase and may eventually become your customers too.

Hmmm, it’s almost 20 years since my bride and I eloped. Maybe I should plan a quiet family celebration at home? Not likely. I suspect my bride aspires to at least a week back on Hayman Island.

I wonder if the resort has a past customer deal…

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What does Uber Eats have in common with all these retail brands…

07 Friday Jun 2019

Posted by Malcolm Auld in Advertising, Digital, Digital marketing, Direct Marketing, Marketing, Media

≈ Leave a comment

Tags

#ubereats, advertising, digital marketing, letterbox, marketing, retail marketing

Regular readers will know I’ve written about this before – (see below)

But given the increased amount of television and outdoor advertising that Uber Eats is doing lately, I thought I’d revisit it. Curiously, I’ve not seen any Uber Eats advertising online…yet. (now that I’ve mentioned it, I’ll probably be chased around the web thanks to cookies)

By way of background, I’ve owned a suburban supermarket and a travel agency – in different suburbs in different centuries. For both businesses, one of the most powerful media for generating retail store traffic and sales, was unaddressed mail. I’ve also produced loads of retail catalogues and other letterbox collateral for my agency’s clients.

Yet despite the fact we live in a ‘digital world’ the letterbox is still one of the most profitable channels in which retailers can promote their wares. Truth be told, most retailers would struggle to survive if this channel was not available.

Just this week, that most uber of digital disruptors – Uber Eats – dropped an offer in my letterbox.

And so did the following brands:

  • Aldi
  • Woolworths
  • Coles
  • Big W
  • JB Hi-Fi
  • Chemist Warehouse
  • First Choice Liquor
  • Pizza Hut
  • Priceline Pharmacy
  • Telstra
  • Baby Bunting
  • Plush Furniture
  • A couple of local small businesses too

So if you’re under the delusion that we now only live in a digital world, get off your screen, go outside and check your letterbox.

You’ll be surprised what brands are using this channel – you might learn something and possibly even rethink where you spend your budget…

Gotta go and do the shopping now – where are those catalogues?

* https://themalcolmauldblog.com/2016/05/31/the-essential-media-channel-most-successful-digital-start-ups-cant-do-without/

* https://themalcolmauldblog.com/2017/05/23/uber-eats-and-airtasker-run-amazing-suburban-launches-using/

*https://themalcolmauldblog.com/2016/06/01/uber-and-others-have-it-smelling-a-lot-like-1999-again/

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A marketer’s love of their own brand can cost them sales…

06 Thursday Jun 2019

Posted by Malcolm Auld in Advertising, Branding, Marketing

≈ 2 Comments

Tags

#Koalamattress, advertising, branding, customer service, marketing

In most western countries the mattress and bedding industry is highly competitive. The tactics usually involve retailers creating loads of different brands and price points, so it’s confusing and not easy for consumers to compare apples with apples, so to speak.

If you’re interested in just how weird and corrupt the industry can be, check out this story from Fast Company about the online mattress industry in the US. But I digress.

Recently I tweeted (a rare thing for me to do) about a cheeky outdoor poster by a company called Koala.com.

Here’s the poster:

It is located on a main road a few hundred metres before an Ikea store. The copy on the poster is:

NOFNIDEA?
no tools, no worries, koala.com

There is an accompanying image of an Alan Key and screws, like those you use when assembling Ikea furniture.

On the face of it, it’s quite a clever execution.

In marketing parlance; my unaided recall of the brand koala.com was zero. So I naturally assumed koala.com was a company that provided a service to assemble Ikea furniture.

I decided to check it out – only to discover Koala.com supplies mail-order mattresses. They are very good at it too – very similar brand personality to the Dollar Shaver Club.

So I tweeted the following:

“I suspect this cheeky outdoor poster from Koala only works if you know that Koala is a mattress brand. Otherwise, you probably assume Koala is service to put together Ikea flat packs. Marketers think everyone knows their brand as well as they do @koalamattress @ikea_australia”

The response from Koala was interesting to say the least:

“have you been living under a rock? if you’d like check us out here https://au.koala.com/  Ps. Koalas are terrible at building Ikea furniture”

The response is a dead giveaway that the Koala marketers are in love with their brand way more than the general public. They live their brand every day – it’s their job. They have been very successful, so assume that success translates to every (non-living under a rock) potential mattress-buyer, knowing all about them.

And while I can appreciate the enthusiasm of successful youthful marketers, it’s no excuse for poor manners.

woohoo we’re a success…

I responded to Koala explaining that because I was in marketing I was aware of their brand. But it turns out I was wrong. Again in marketing parlance; my aided recall kicked in, and I remembered an advertisement I’d seen with Serena Williams flogging mattresses and thought it was a Koala ad. Turns out my recall ain’t what it used to be, as Serena flogs a competitor.

The reason I’m writing about this is simple. In the last 12 months I’ve bought four mattresses – a king-size and three queen-size. I suspect that’s a reasonable sale, even for a company as successful as Koala appears to be.

I cannot tell you what brand they are and I was obviously living under a rock that had no Koala advertising, because I never considered buying a Koala. The Koala brand wasn’t on my radar and unlike most consumers, I actively watch advertising.

I just checked the mattress brands. The King is similar in style to the brand Serena is flogging, while the queens are a different brand again. In case you’re interested, my bride and I negotiated a bulk deal with a pleasing discount, after a bit of shopping around – we like the social aspect of shopping and discussing our requirements with salespeople.

Marketers must remember that customers don’t really care much about brands, except when they are in the market to buy, or when something goes wrong with the product or service they’ve bought. That’s why marketers need to advertise consistently and reach as many people as often as possible, as they cannot predict when people will buy. They must also not assume that their own attitude for their brand represents the typical consumer atttitude – the respective attitudes are usually vastly different.

Though I have been keeping an eye out for Koala advertising online and on TV, but alas nothing sighted yet. I suppose I’d better take that insightful advice from Koala and get out from the rock under which I’m living – I might get lucky and see a Koala advertisement and really live a fulfilling life…

Gotta go now, am off to have an afternoon snoozzzze…

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Ignore the Personalisation Paradox at your peril…

29 Friday Mar 2019

Posted by Malcolm Auld in Advertising, Branding, Content Marketing, Digital, Digital marketing, Direct Marketing, Email marketing, Marketing, Marketing Automation, Remarketing, retail, Sales

≈ 4 Comments

Tags

digital marketing, marketing, online marketing, remarketing, retail marketing

Personalised marketing messages have been around for centuries – think mail-order catalogues posted to individuals, using those individual’s name and address data. The personalised customer experience, including face-to-face customer service, is not new to the world.

Personalised customer experiences are not new…

But now in the digital age, we can personalise almost every communication we have with consumers. We can use names, images, facts, charts and other data linked directly to individuals, to customise our communications – be they email, landing pages, websites, ads, SMS and more.

We can go even further by using cookies to chase individuals around the web, based on their behaviour on a landing page, website, email or other digital asset. I’ve written about the remarketing problem of leaving cigarette burns on your customers before.

But here’s the rub…

When you use direct mail and write a letter to someone, it is common courtesy and good manners to personalise your letter with the correct name, address and other relevant details of your relationship with the recipient. In fact, if you don’t personalise correctly your recipients are offended or lose respect for you the writer. Your lack of good manners can damage your brand.

Dear John…

Conversely, in the digital world, the holy grail of a “seamless personalised customer experience” can be disastrous for a brand. The more a marketer uses personalisation and demonstrates they are using digital surveillance to track an individual, the more the marketer offends the individual and possibly damages their brand.

Here’s one example I’m still experiencing. In January I searched online and visited a couple of retail stores before buying some gym equipment. Almost three months later, I am still being chased around the web via remarketing, by one of the companies from which I bought some equipment and one that I didn’t buy from – I just looked at its merchandise.

I’ve written before about how this type of remarketing mistakenly tried to sell breast pumps to a granny. It seems marketers are not learning from their mistakes – which is the best way to learn.

Just because you can doesn’t mean you should

Marketers have fallen in love with technology and the various tracking tools now available to monitor customers. And it could be argued it’s costing them more in negative attitudes toward their brands and lost sales, than positive results.

After all, you don’t see a greengrocer chase a customer out the store and into the carpark, throwing a free banana and special deal through the customer’s driver-side window, just because the customer fondled the fruit but didn’t buy it?

Don’t leave, I’ll give you a free banana and a discount of you buy more now…

Marketers need to consider if the marketing tactics driven by their online surveillance tools pass the pub test. If they don’t, then don’t use them – simple.

Most marketers I’ve asked about remarketing and digital personalisation use words like “creepy”, “sleazy” and “not on” when describing how they feel as recipients of surveillance-based marketing. So why do we do it to the people who pay our salary – our customers?

Mind your manners

If you are writing directly to a customer or prospect, by all means personalise your message – be it mail, email, or even a PURL. It’s good manners to do so.

But if you are going to use surveillance-based marketing tools to “personalise the online customer experience” you need to ask yourself if it is worth doing. Would you like to be treated the way you are treating your customers? Are you practising good manners and respecting them?

The reason you consider your options is simple. The marketing industry is among the least trusted in the world. The last ten years has seen its reputation trashed by the digital marketing practitioners. Your surveillance-based marketing will only reinforce this negative attitude and reduce the effectiveness of your marketing budget.

Trust me, I’m a digital marketer…

And this is the Personalisation Paradox that marketers face. It’s a delicate balancing act and you need to take it seriously – particularly if you want your customers to take your brand seriously.

Gotta go now – I was going to search for some lingerie for my bride’s birthday, but am concerned by what might follow me around the internet afterwards. Think I’ll just visit the store at the mall instead….

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