Category Archives: Media

Before Coles stops using printed catalogues they should look to Domino’s for guidance…

13 Thursday Aug 2020

Posted by in Advertising, Branding, Digital, Digital marketing, Direct Marketing, Email marketing, Marketing, Media, retail, Sales, Sales Promotion

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This week a marketing clerk at Coles made the ridiculous decision to stop using one of its most powerful media channels for retailers – printed catalogues. For international readers, unaddressed catalogues distributed via letterboxes, are one of the strongest generators of retail store and online traffic in Australia.

Coles catalogues

The reasons given by the clerk were ridiculous to say the least and naively woke – and Coles has rightly copped a backlash from both consumers and industry.

There is no basis to the Coles sustainability argument around paper usage, as explained by Kellie Northwood CEO of The Real Media Collective in her comments in Mumbrella. While Simon Lane, Country Manager at Ricoh, succinctly demonstrated how consumers are behaving, in this post yesterday.

The physical is always more powerful than the virtual as I explained here years ago. After all, would you prefer a real or a virtual kiss?

The science of the emotional power of paper over digital channels has been proven. It has to do with how direct mail for example, makes the content more real to the brain and better connected to memory by engaging with its spatial memory networks. The material generated more activity in the area of the brain associated with the integration of visual and spatial information (the left and right parietals) and the processing of information in relation to the body.

You can download Millward Brown’s research on this topic here.

Though, I’ve learned through testing, that the best results come from a combination of both print and digital channels. You need to continually test to work out the best combinations.

I suspect Coles has never run a split-run test to see what media channels work best. They’ve never isolated stores and distributed a catalogue in one catchment area and not distributed a catalogue around another store, to prove the best media usage. They certainly didn’t claim so in the announcement about their decision.

Once again the marketing clerks are letting opinions not facts govern their decisions – a sad reflection on the industry.

Which brings me to Domino’s…

Don Meij is the CEO and Managing Director of Domino’s Pizza Enterprises. He is also one of the most successful business executives in Australia and one of the highest paid. I had the privilege of interviewing him for my book a couple of years ago.

He revealed that Domino’s rushed to ‘save money’ by reducing the volume of its unaddressed letterbox marketing collateral. Domino’s distributes leaflets, booklets and other printed collateral to sell pizzas. Domino’s had launched its app and wanted to migrate customers to using the app for orders.

The result of this decision was an immediate drop in sales. So Domino’s reverted to using letterbox leaflets again. Over time, the Domino’s app has changed the way many customers place their order. Instead of using the phone to talk, they use the phone to tap. And once a customer downloads the app they use it more often to place home-delivered orders. But many still use the letterbox offers before ordering.

Domino’s realised the best marketing results come from testing and using a combination of media channels. Let the market prove the media you should use – not the marketing clerks.

Interestingly, my local pizza owner – he’s from Calabria –  had to close his dine-in service during lock-down. He doesn’t have a website. So he printed a letterbox leaflet and distributed it in his catchment area. He offered a discount for pick-up. I’ve used the offer almost weekly and love chatting with the husband and wife team as I await my order. We are after all, social creatures. He said the leaflet saved his business.

And only last month Coles biggest competitor Woolworths did a mass-distribution of its loyalty cards in a clear plastic envelope in suburban letterboxes, to attract new customers.

Woolies use letterbox distribution to sell loyalty cards

In the statement about the catalogue decision, the Coles marketer said, “we are living at a time of unprecedented societal change…” and it’s true. Consider what’s happened during the pandemic:

  • Record sales of books as people have more time to read
  • Record sales of jigsaw puzzles as families return to ‘traditional’ tactile activities
  • Record sales of vegetable seedlings and chickens as families grow their own food
  • Return to direct mail communications as the personal and physical media are more trusted during these troubled times
  • Record sales of home-delivered products – because there is no other way to buy them as stores are closed

Of course, the volume of mail and unaddressed catalogues is less than a few years ago, just as radio and TV audiences have declined and digital marketing channels struggle to be successful. As consumers, we have way too many channels to use, making it harder for marketers to instinctively know what works and what doesn’t. Hence we need to go back to basics and follow the rules.

There are two simple rules to success in marketing:

Rule 1 – Always Test

Rule 2 – See Rule 1

The pandemic has revealed some massive weaknesses in marketing – with poor quality decisions being made by unqualified marketing clerks.

Let’s hope the ‘new normal‘ brings back a semblance of commonsense and let the facts, not woke virtue signaling, drive marketing decisions…

The humble radio was the most reliable media channel during the bush fire crisis…

14 Tuesday Jan 2020

Posted by in Digital, Media, Social Media

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The shocking bush fires in Australia are now global news. We all hope they end soon – the loss of human life, wildlife and property is unprecedented and there’s nothing you can say to make things better. While the firefighters and other volunteers cannot be praised enough.

My family stayed with friends down the south coast of NSW over Christmas and New Year, and we were surrounded by some major fires, though never in high danger. But the smoke was incredibly thick every day.

We lost power for about 36 hours from noon on New Year’s Eve. Prior to turning in, we spent the night watching the tragedy unfold across the water at Lake Conjola – the fires were huge, even in the distance. Sadly, at least one life and 89 homes were lost, though we didn’t learn this until New Year’s Day.

The last of the blue sky at 3pm on NYE…

As someone who works in the advertising/media industry, I was curious to see how the fires and news were reported in the different media channels. When we had power in our home, the television was definitely the best media for up to date information, along with local ABC radio. The media briefings were all live on TV, as were updates from the fire services headquarters.

The internet was close to useless. It worked intermittently if at all, and if you could get a signal, pages sometimes took minutes to download and sometimes didn’t at all. I posted images on Instagram, but these took up to 6 hours for the image to go live from the time I posted it. We had three different brands of phone and three different service providers at our home and all failed, due to damaged cell towers and downed lines.

Even when you could access internet news sites they were behind with the news compared to radio and TV. The fire service apps were not always helpful due to lack of internet, but they were also regularly behind real time, sometimes 14 hours behind in terms of last update. Even worse and very confusing was social media. In attempts to be helpful, people would post messages of roads open or closed, or locations of fires. These were simply their opinions, not facts.

I heard one discussion on radio where the caller referred to a social post. It had completely the opposite information from the official information at the fire services headquarters, being supplied by firefighters on site. The radio host had to counter the caller’s comments as they were creating dangerous confusion. Turns out the social post was incorrect and could have cost lives if people had believed it. Fake news even in this crisis.

On New Year’s Day when we had no power or internet, or battery-operated radio, we sat in our cars and listened to the radio for updates. It was the only reliable media that never failed due to lack of power or internet. The information was delivered in real time and was very accurate.

The humble car radio was the best media for updates…

It also involved (or should that be ‘engaged’) lots of people in the community. People called to share local updates about safe havens, petrol and food availability and other useful information. Neighbours then shared the latest radio news with each other and checked on elderly people in the street to ensure they were OK.

Interestingly, the biggest complaint among those people who were trapped by closed highways but not in danger, was quite first-world – they complained about not having internet or phones. They felt helpless without them. If we didn’t have radio we would have been completely in the dark and clueless for information.

Once the power was restored the panic buying by those who were most likely leaving the area, left little for the locals. Maslow’s most basic needs on display in an ugly manner.

Panic buying by tourists stripped shelves leaving locals without…

The one thing we all agreed, we’re getting a battery-operated radio and spare batteries to store in our homes. You never know when such old-fashioned technology might come in handy…

Your Marketing 101 Guide by the Numbers…

20 Tuesday Aug 2019

Posted by 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

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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…

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

12 Wednesday Jun 2019

Posted by in Advertising, Branding, Marketing, Media

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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…

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

07 Friday Jun 2019

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

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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/

Here’s how personalised magazines always over-engage readers for an outstanding CX…

13 Thursday Sep 2018

Posted by in Advertising, B2B Marketing, BIG DATA, Branding, Digital marketing, Direct Marketing, Marketing, Media, QR Codes, small data, social selling

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Please accept my apology for the jargon overload in the headline. Back in pre-history, around 2004, I helped a number of competing print companies launch their Variable Data Digital Printers via a series of seminars, trade shows and other marketing activity.

This disruptive technology delivered what many now call data-driven marketing. It was simply the use of relevant data to digitally print personalised publications and link readers to personalised landing pages. An undigi-believable omni-channel breakthrough. But let’s just pretend data-driven marketing is only five year’s old like most digital marketers believe it to be, so as not to confuse them.

One of the most successful promotions and product demonstrations we did, was to personalise the cover of a number of Marketing magazines for individual subscribers. We also personalised the accompanying advertisement to the subscriber inside the respective issues, as well as the landing page.

At the time, the Editor of Marketing magazine said the covers were the most talked about in the history of the publication. They had never had such a positive response. He said subscribers were ringing and writing to congratulate them. It was massive engagement to use today’s jargon.

Leap forward to 2018 and a few months ago I was asked by Kellie Northwood, the Publisher of VoPP magazine, to be the Guest Editor. I readily accepted and suggested the magazine be customised for those on the database. Kellie agreed.

Well VoPP has just hit the streets, and this customised version demonstrates the power of print when it comes to engaging susbcribers via personalisation.

Here’s the outer envelope:

Here’s the personalised magazine cover:

There is a customised message on the cover for each of the key subscriber groups, as well as a custom background colour. If you scan the QR Code it takes you to a PURL where you can complete a survey. There is a segmented group title printed below the code – mine is Agency/Retailer on this edition. And to add some polish there’s a spot fluoro ink printed on the QR code too. The story of how it was produced is in the magazine.

Here are examples from 2004/5:

Fuji Xerox – personalised message on the screen:

Personalised ad on back cover:

Personalised ad inside the front cover:

PURL – Personalised URL:

Direct Smile font printed via HP Indigo:

Personalised advertisement on back cover:

.Another issue:

Penfold Buscombe printed these versions with personal message written on the street sign and the image of the relevant capital city in the rear view mirror:

Customised versions by State printed using postcode data:

VoPP stands for Value of Paper and Print. If you’d like to get a FREE copy of VoPP Mag, visit the website to subscribe: http://valueofpaperandprint.com.au/subscribe/

I’m off to read this issue, there’s an interesting guest editor…

Dodgy digital dopes depend on “dinosaur dailies” to disclose diabolical do dos…

29 Friday Jun 2018

Posted by in Branding, Customer Service, Digital, Digital marketing, Marketing, Media

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What can you say dear reader…

Both Facecrook and Floptus use full page press advertising to try to rebuild credibility.

Who do you trust – certainly not the digital channels that’s for sure…

Optus, now known as Floptus, apologises…

Facecrook’s recent press ad apologising to the world…

The simple reason digital marketing fails so badly – it’s not what you think…

13 Tuesday Mar 2018

Posted by in Advertising, BIG DATA, Branding, Digital, Digital marketing, Direct Marketing, Email marketing, Marketing, Media, Social Media, Thought Leadership

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Who’d call themselves a digital marketer these days? As the evidence continues to grow about the lies, deceit, appalling ROI, as well as agency bias towards digital at the expense of better performing channels, it’s become embarrassing to claim you only have digital marketing skills.

But we shouldn’t be surprised. Lone voices in the wilderness have been warning for more than a decade that the digital chooks would come home to roost. Though their voices have largely been ignored.

The real reason so much digital marketing fails is simple – the people working in it don’t have the right marketing skills.

The evidence is plain to see in the online advertising space. Most online ads are brand ads not direct response ads, yet the internet is a pure direct response channel.

Fact – the internet is primarily a direct response channel. Online marketing is just direct marketing, albeit at a much faster pace than analogue channels.

You wouldn’t run a brand ad in a newspaper or on TV, then measure its success using direct marketing metrics. So why run brand ads online and expect direct responses? But this is exactly what the brand marketers do every day.

FYI direct marketers are making money online – have been since day one. But they are not running brand advertising to do so. They have tested the different emerging channels and ads. They avoid those channels that don’t work. In most cases these are the social channels.

They rarely use programmatic buying. They deal direct with the publishers. This is how they’ve always worked with analogue channels, so they already have the expertise to succeed in online channels – evolution, not revolution.

But the marketers who dominate online advertising are mostly brand marketers and that digital peculiarity, the fake marketer. They were lured by the magic of its measurability.

The magic of measurability

Unlike direct marketers, they had no prior experience of direct response measurement. The “response drug” in the form of open-rates, click-through rates, time on page, downloads and (occasionally) sales, hooked them like teenagers having their first drink. This measurability stuff was the secret marketing hooch they craved.

And just because measurability was new to them, they assumed it was new to the world.

So they rushed headlong into the online advertising world completely ill-equipped for success. To cover up this lack of expertise, they created new buzzwords to describe alleged new marketing tactics – despite these tactics being centuries-old.

To help position themselves, they used virtue signals, to manufacture FOMO. Direct marketing was called old-fashioned, implying it was irrelevant. Some even made the stupid claim that DM no longer exists (really, some fools stated such crap). All it did was reflect their lack of marketing expertise.

For those who might be confused, direct marketing (or direct response advertising) is any marketing activity whereby you communicate directly to individual customers and prospects, or they respond directly to you, in any media channel. The outcome of the communication is that there is always a measured exchange, of either dollars or data, or both.

For example, the customer provides their credit card and in return they get a case of wine, or they provide their contact details, in exchange for an email newsletter.

Branding for branding’s sake, is a secondary priority with a direct response message.

But here’s the rub with direct marketing…

You are trying to get prospects who may or may not know your brand, to do what you want them to do, when you want them to do it – take immediate action and respond.

That’s hard shit and requires some specialist skills, the least of which is the ability to write persuasively.

Yet the majority of people working in digital marketing have no direct marketing expertise. If they did, they wouldn’t have invented fake vanity metrics such as likes, and shares, to justify their credibility.

The brand and fake marketers have misunderstood the digital channels

Direct response is definitely not the way to sell fast moving consumer goods, in single unit sales. Why it took P&G until last year, at a cost of $Billions, to realise this fact, is a mystery.

The only reason to use direct response for packaged goods, is to sell a continuity programme or subscription. For example, that digital darling, the Dollar Shaver Club is a direct marketer and uses direct response advertising to sell subscriptions. Both analogue and digital wine clubs also sell wine by subscription.

The process is known as “negative-option” and I’ve written about it before. The marketer delivers products on a regular basis, say monthly, until the customer says “stop”. This is a way of marketing that is more than 100 years old and goes back to the days of mail-order. It’s not new just because we have an internet.

The more they failed the more they created spreadsheets of bullshit

These “digital marketers” tried to justify the poor branding results with vanity metrics. They even created jargon such as “customer engagement” to make the metrics appear genuine. When the vanity metrics failed, they just increased their tracking to create even more spreadsheets of bullshit. They attempted to confuse the world with useless data to convince us they were legitimate.

Sorry folks, but data without dollars is just doo-doo.

Steaming pile of data doo-doo

The tracking eventually became stalking as they desperately tried to get sales, from ads that didn’t sell, to people who didn’t want to buy. Have you ever seen a grocer chase a customer out the door shouting offers at them, just because the customer picked up a lemon then put it back without buying? Welcome to the world of remarketing – placing cigarette burns on your customers long after they’ve left you.

Read Bob Hoffman’s brilliant Badmen for the appalling truth of the tracking, stalking and the fake world of online metrics.

Playing in the fringes

Any direct marketer will tell you, when you are marketing to a mass audience and chasing a response, you are always playing in the fringes. You don’t know when people are going to buy. That’s why you need to give them as much information as possible, plus some incentive, to help them make a decision in your favour.

Here’s an example. If a product is only bought once-a-year, then on average, in any single week, only 2% of the annual market is buying – 50 weeks PA x 2% = 100%.

This means if you deliver say, a direct response insurance ad to 100 people (and you don’t know their renewal date) then on a good day, you could expect at best maybe 2 people to buy – assuming you capture 100% of the 2% of people in the market that week. You’ll be partying like its 1999 just because you made two sales. It’s pretty obvious to see why trying to sell single bottles of shampoo via digital channels won’t be profitable.

Given this market reality and the complete lack of involvement in online ads by website visitors, marketers should not be surprised that online ads rarely get one tenth of sweet FA worth of clicks. Any direct marketer worth their salt could have told them these ads wouldn’t pay off.

If you’re a mass marketer, in most situations, you’re generally better off not running ads online.

 

If you really want to do brand advertising, change the way you buy media and dominate web pages for long periods to create awareness. Do not simply run an online brand ad and measure it by impressions or click-through rates. Measure it as you would the ads in other channels. And never rate vanity metrics such as likes or shares or customer engagement. You’ll just waste your money.

Once you build your database you can then encourage your customers and prospects to download your app. Then you can gradually reduce how much you spend with online advertising, as more of your audience migrates to your app. You’ll still need to advertise though – read Byron Sharp’s “How Brands Grow” to learn why.

To get your customers and prospects to switch to your app, you’ll obviously need an incentive.

Where are those steak knives?

Why most shared content has virtually no impact on your brand…

02 Friday Mar 2018

Posted by in Branding, Content Marketing, Digital marketing, Direct Marketing, Email marketing, Marketing, Marketing Automation, Media, Remarketing, Thought Leadership, Viral marketing

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Originally published 2016…

Any marketer, advertising agent, researcher or social scientist worth their salt, knows for any marketing content to resonate with, let alone influence, the typical punter, it must be consumed numerous times in a short space of time. Seeing something just once, rarely makes a serious impression (though it is rated as such in media terms – an impression that is).

Unless the message is designed as a direct response message, giving prospects all the information they need to ‘act now’, most marketing messages hardly penetrate our grey matter if only seen once.

Just look at the way we learn at school – through repetition. A message has to be repeatedly consumed for it to eventually make it through our distracted craniums and finally embed itself into our conscience. This is called learning. It’s a rare human indeed, who can read or view something only once and then remember the content.

raked-classroom1937

Information retention comes through repetition not from glancing at content

So what does this mean in the world of digital chewing gum for the brain? This is the world where the people mostly share content in social channels, which requires less than a metaphorical chew to consume. The receivers of said content quickly scan it, dismiss it, then start to chew on the next piece of content, ad infinitum.

digital chewing gum

The majority of content shared by consumers is mostly images, video, memes, jokes, fundraising appeals and personal stories. People rarely share words or phrases, particularly lots of words like those populating ebooks, whitepapers, brochures and the like. Of course people communicate back and forth using words, but it’s not sharing in the content marketing sense.

The act of sharing on social media often has less to do with the content being shared and more to do with narcissism. “Look at me, I’m sharing this before anyone else” or “look at me I’m sharing something – how many likes did it get?” or “look at me, I liked something”. Though sharing in business channels can have less selfish motivations.

The average adult attention span is now roughly 8 seconds (just less than a goldfish) and ASS Times keep getting shorter and shorter – less than 1 second for many image-based channels like Instagram. So the ability for any snack-size marketing content to resonate at all in the memory of consumers, is nigh impossible. Did you like that piece of digi-jargon – “snack-size”?

attention span

And what about all that thought leadership content floating in cyberspace? At best, much of it remains in the ‘download folder’ of computers, because we’re too busy to print it or consume it in any depth. It’s why good quality email messages to opt-in subscriber lists, along with blogs, are still the best performing content online.

Ironically the content marketing failure is being driven by the content itself and FOMO. I’ve talked about the infobesity problem before. The average punter is waterboarded with content from friends, strangers, government, institutions and brands every second of the day. Add to this deluge, the modern dilemma of FOMO forcing consumers to have minimal engagement with content, and you can see why brands gain almost zero benefit.

Consumers know there’s loads more content coming down the digital pipe and they don’t want to miss it. So they quickly and disengagingly ‘like’ something, or ignore it, before moving to the next set of pixels.

content hipster

Hipster training to consume marketing content…

Just as we chew gum without thinking and then spit it out, it’s the same with content. We consume it without thinking and with almost zero emotional engagement. We swipe, pause, swipe – in a constant process to churn through the non-stop current of content. And the pause is usually shorter than the time it takes to spell ‘pause’. And even if consumers do take a few seconds to read or view your content once, will it really make a lasting impression?

Hmmm that reminds me, I’d better check my emails. Oh look there’s a dog…

dog

P.S. Please feel free to share this content with as many as you like:)

How the fake marketers used virtue signals to establish credibility…

21 Wednesday Feb 2018

Posted by in BIG DATA, Branding, Content Marketing, Digital, Digital marketing, Direct Marketing, Marketing, Marketing Automation, Media, Remarketing, Social Media, social selling, Thought Leadership

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If you work in marketing you know that thanks to the internet and digital technology, the whole world has changed spectacularly. Human DNA has completely morphed. As consumers, we humans have suddenly stopped our centuries-old behaviour and now act entirely differently in every way, particularly when it comes to buying stuff.

Not only that, but everything that ever worked in marketing prior to last week, no longer works today. “Marketing has changed forever” is the gospel according to the fake marketers.

It’s the end of marketing as we know it…

And these fake marketers have successfully used virtue signals to con the marketing industry into believing this gospel. Every week they claim there are new rules for everything marketing. Apparently, these new rules are so “disruptive”, that only those in the secret priesthood of fake marketers, possess the unique knowledge to understand them. Like the weavers of the Emperor’s new clothes, they claim you’re unfit as a marketer if you can’t see what they can.

The virtue signallers play on FOMO and hide behind a bizzare myth that because this new marketing is done via computers, then “traditional marketers” have no idea how it works. Only the fake marketers masquerading as digital marketers can deliver the future of marketing. So roll up, roll up and get your digital snake oil, before you go out of business.

In case you’re curious, Virtue Signalling is the conspicuous expression of moral values done primarily with the intent of enhancing standing within a social group.

In the marketing world, virtue signalling is the conspicuous expression of marketing myths and B.S. done primarily with the intent of faking marketing expertise to enhance standing within the marketing industry.

Look over here, a shiny new marketing widget

The virtue signals come in numerous forms, but mainly they are fake claims, silly buzzwords, fake economies and fabricated expertise. You hear the signals in meetings and seminars, and read them in blogs, articles and social channels. One common element among the virtue signallers is their complete lack of real marketing expertise. They just shovel virtue signals in the hope of manufacturing some credibility and fertilising their reputations.

Fertilising my reputation with virtue signals

These are typical of the fake claims:

  • There are new rules for marketing and PR
  • Customers want conversations with brands
  • Customers don’t want to be sold to
  • Selling is dead
  • Traditional media no longer work
  • Personas have replaced target audience
  • Brand advertising is dead and so are advertising agencies
  • Marketing automation is the future of all customer communications
  • QR codes, VR, AI, Pokemon Go, <insert latest fad> will change everything – forever
  • Content is king (and queen)
  • Every sale in the world begins with a search
  • 157% of all sales are online

The jargon monkeys love their buzzwords and acronyms. You’ll know many of them like these:

  • Customer engagement/experience/journey
  • Brand conversations
  • Disruptive technology
  • Reach out
  • Ideation
  • Transparency
  • Personas
  • Data-driven marketing
  • Contextual marketing
  • Omni-channel marketing
  • <insert label> marketing
  • Growth hacking
  • Owned, earned and paid media
  • OMG the list goes on, and on, and on…

Even more shady are the whole new economies that are allegedly revolutionising marketing:

  • the social economy
  • the engagement economy
  • the attention economy
  • the belief economy
  • the sharing economy
  • the purpose economy
  • the content economy
  • the influencer economy
  • the subscription economy

The only economies these support, are the financial economies of each author who manufactured the economic term and published a book to fake legitimacy. By playing on FOMO they charge a fortune for alleged insights into their secret economic sauce, while doing the rounds of the marketing industry and seminar circuit sprouting their virtue signals.

Then I told him the future of marketing is the virtue signalling economy…

Finally, there is the thought leader industry – because that’s what it is, an industry. There’s almost no legitimate thought leadership. Hire a virtual assistant/slave in a third-world country to ghost write a book, pay an SEO expert to own a few related keywords, and publish an article to stake your claim to expertise.

Some even label themselves some kind of influencer such as Linkfluencer, Socialfluencer and the like. I attended a fluencer’s webinar and couldn’t believe the dross being peddled. Apparently these are the 3 keys to success on LinkedIn:

  • Connect with lots of people
  • Connect with journalists
  • Publish stuff and send it to your contacts

The “fluencer” running the event thought it was an amazing achievement to be published in online business press – the machine that demands content to keep itself fresh. Any marketer worth their salt is regularly published in business press, thanks to their PR company, or the sheer fact they are a legitimate expert. Being in the media is standard operating procedure for marketers. So to get excited because your article gets a run, is at best sad and really quite naive.

Another fluencer shared their secret to becoming an influencer on LinkedIn. Before you post an article, invite all your contacts to like and share your article immediately it is posted. This will fool the algorithm into thinking your article is popular and help improve your influencer standing within LinkedIn. Sad but true. To be seen as an influencer you have to get colleagues to help you scam the system.

Why not just be bloody good at your job and share legitimate expertise, based on years of real experience? Or possibly just tell the truth?

Maybe they should be called “effluencers“?

Luckily there are still some of us living in the real world and we know the opposite of these virtue signals is true. Just look at the disgrace the digital media industry has become. The fake numbers supplied by Facecrook, Google, You Tube, Instagram and Twitter have stunned marketers who have spent valuable shareholder’s, or their own funds, in these channels.

So to save you from virtue signal confusion, here are some facts:

  • Technology has changed, people haven’t.
  • Technology means we have new order forms for buying stuff – on apps and websites.
  • We have been ordering goods remotely and having them delivered to our home or workplace, since the invention of mail-order in the 18th century. So remote ordering on a computer is simply evolution.
  • People buy emotionally and justify rationally. That’s why brand positioning is so important. Technology has almost zero influence on why/what people buy.
  • Advertising is alive and well and still one of the best ways to build brand value.
  • People love being sold to, it’s known as good customer service. But people hate lousy salespeople, so fire your bad salespeople and hire good ones.
  • Replacing humans with computers and bots can often hinder, not help the sales process or customer service experience. People prefer to deal with people.
  • Marketing automation only works if humans monitor it constantly.
  • Customers don’t care about brands like marketers do, they have more important things to do with their time.
  • People don’t plan a customer journey when they go shopping.
  • You cannot predict when people will buy, which is why you need to constantly be marketing to everyone in your market.
  • The traditional channels work exceptionally well. While some are declining in reach, their audiences are very dedicated.
  • There is a reason it’s called social media, not business media. And what media channel isn’t social? Ever heard of the social pages?
  • Likes, follows, shares et al are not measures of marketing success.
  • Digital-first can mean sales-last. You need to test digital channels and be brave enough to not use them if they don’t work. Don’t let FOMO and marketing fashion drive you.
  • If you call yourself a digital marketer, your only half a marketer (if that). You need to understand all the channels in the media spectrum to be called a marketer.

Curiously, not one consumer packaged goods brand has been launched successfully using digital media. All new brands, particularly online brands, rely heavily on old-fashioned advertising and public relations for sales, and to get third parties talking about them. Just watch any television show to view the plethora of ads for online travel, insurance and hotel aggregators, home delivery services, online financial services, Google, Apple, et al.

Unfortunately, just when the momentum to fix the problems created by the fake marketers is growing, it seems Google, P&G and Unilever’s management are becoming virtue signallers, rather than solving the problem. Check out Bob Hoffman’s expose here.

Though in a positive step, more companies are removing the word “digital” from marketing job titles. They’ve finally realised it’s all just marketing, regardless of channel or technology.

Here’s a signal to consider – spend your marketing budget as if it was your own money, promoting your business, so the profits feed your family. You’ll be amazed at how you start to ignore the virtue signals and focus your thinking on what really works in marketing.

Gotta go now. Am working on an AI blockchain cryptocurrency VR app. It’s going to revolutionise marketing forever…