Happy Summer.
It is clear that there is no one magic technology, channel or CMO that will lead a Brand to infinity and beyond! We all need to realize that marketing is not only NOT easy, it is risky. Continuous learning is critical for survival. It is essential for marketers to be open, embracing a multifaceted approach to mail efficiently, email appropriately, be as social as necessary, and be viral when lucky enough.
There is a greater reality today – the marketing environment is shaped by many influences beyond our control that have shrunk our windows of opportunity and shaken consumer confidence. We cannot ignore our connectivity to the world which has shaped our buying patterns – global has become local. In the years building up to this economic downturn we were literally oblivious to anything other than the real estate market and American Idol. Of necessity, we have expanded our horizons: the instability of the foreign markets and the civil unrest send the stock market up and down like a yoyo; other country’s fears are becoming ours and their wars could and may be ours as well; joblessness creeps back up; home sales continue to be unstable; one State government after another faces the brink of failure; and the long term affect of the BP oil spill is beginning to seep into our psyches. All of these factors weigh heavily upon Americans and will continue to be played out through the fourth quarter. At the same time, we do not see relief coming from our Government; the Government has put businesses in the cross-hairs for additional taxation.
We now feel globally. Add that to your marketing algorithm. Consumers around the world are connected to each other – an auto parts factory strike in China affects Japanese car exports to the U.S. Compounding this international interconnectedness is that consumers can be educated by a simple click of the mouse. Brands compete not only with their competitors, many compete with themselves eating up advertising dollars because of a lack of understanding on what makes the customer buy or not.
Brands are under siege. How do we open the window of opportunity a little wider? Marketsmith believes we must dive into channels and personas previously untouched.
- Short form DRTV – TV and Cable networks know this for sure. They are reinventing themselves as we speak, breaking up paid station time to add inventory to achieve greater efficiency. I hear pretty frequently the laugh of Brands when you say “DRTV”. But it is hard to argue with the monstrous growth of cell phone technology, pharmaceuticals and healthcare companies. DRTV is highly targeted, controllable and it gets the Brand message out faster than any other medium. Home Depot is doing it right, using DRTV spots for its new Trio, $99.
- Transit media – Right now transit media is at the lowest it has been. The ability to get great long term bulk deals for the fourth quarter is super hot. This mobile venue has a broad reach which can be geographically focused at commuter locations and on the sides of buses, delivering cost efficiencies and targeted reach.
- The Hispanic market – Use DRTV and/or the Internet to reach the Hispanic community. Last week I had the chance to attend Latin Vision and sat through the launch of bellezabandidaTM. It was fascinating how this company saw a great idea similar to a Rue La La and said let’s open a web store for the Hispanic community. Here is what I learned – Aside from the fastest growing segment on the Internet, Hispanic consumers represent 50 million households in the US. They are the new frontier and the time is now. Why? According to a recent study commissioned by AOL and conducted by Cheskin, Hispanics are younger and their percent of the population is growing faster than any other segment. Their income is less than the general market, $50K versus $75K, but their children are younger and they have more of them. Only 13% are empty nesters, which is great news, because we love households with kids if we are Brands. The average Hispanic Internet user is 37 years old, versus 46 in the general market. You can start outreach to Hispanic consumers through sites such as bellezabandida which are storefronts that cater to the Hispanic market and are open to multiple products.
- Target email strategy – Think about getting out of the mass email game. Use your customers’ purchase history to help onboard new customers, bringing them into your Brand effectively, and to speak to existing customers based on what they look and act like, rather than sending a one size fits all email blast.
The marketer and Brand of today should not retreat from where we stand or what we face. Today’s Brand should diversify and move faster to seize upticks in customers’ confidence. There is no one answer, but rather a solution that is based in Brand leadership, continuity of customer experience, and ensuring your customers are your greatest advocates.
So in this issue of the Difference, I take a line from Dean Wormer in Animal House and say “Fat, drunk and stupid is no way to go through life.” Take a hard, realistic look at your marketing program and your budget. Focus on the five most critical and significant places your customers gain their insight and make decisions and go there. Finally, find your place in the customers’ mindset and build out plans that will lead them, not just reach them. Take them to a better place, where they see you and only your Brand. May this issue provide you ideas on how to get there. We are always here for you, our clients. Our testimonials and our outcomes continue to demonstrate that our keenly tempered strength in navigating ongoing market realities is unmatched.
With smaller staffs, reduced budgets, and time sensitive options for reaching consumers when they are ready, a Brand needs to be supported by greater expertise and marketing competency than ever before. It is not the time for experimentation. Surround yourself with real, useful and meaningful data and a team that will do everything in their power to ensure you and your Brand cross the finish line in one piece. As we have said before, to face the current marketplace, strap yourselves in, this is no place for the faint of heart.
Have a safe Summer.
My best always,
M-
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