How to Neglect Your Prospects
Many companies become slaves to their "top 20%"--the customers who provide 80% of the revenues. But we should always inspect or biggest customers to make sure they have the profits and the future we want, as Ian Brodie points out.
Lighthouse on Sales Excellence:
Challenging the 80:20 Rule. 2008-Mar-5, by Ian Brodie
In all three cases the key is to look beyond the simplistic 80:20 rule to check:
- Does it really apply in my business?
- Does it persist over time - or do I actually need to focus on “rising stars”?
- Will extra effort on my top 20% really increase sales - or are they already being fully served?
Now don’t get me wrong - the 80:20 rule can be very helpful as a simple guide to where to focus your effort. But thinking beyond the simple rule will pay big dividends for sales people willing to invest their brain power and challenge the accepted norms.
Unless your business is big enough to devote millions of dollars to television advertising every year, or you're into direct response TV (it's own unique marketing system), using television to market your business has always been very problematic. Houston's 
Keeping your ears open in hard work. We tend to put our nose to the grindstone and let our ears flop down. So companies have to put a listening system in place. Recently these systems have moved away from customer surveys and into "labs" where the target audience can experience a product or service and the marketers can observe them, or even ask questions. Such labs are, of course, very expensive.
Do not let your invoices go out the door unadorned with marketing messages. The cost of printing these messages has gone through the floor, but if your small business doesn't have the resources to merge-print marketing messages on the bill, consider adding a personal message or a clipping of a new item or offer to the invoice. To the big ones, anyway.
Communications can only take you so far. At some point the "user experience" of your product and service will catch up to your brand image. So how can you measure "customer satisfaction"? A few years ago, Harvard professor Fred Reichheld suggested a magic bullet, the
Now here's system synergy: connect your branding system with your accounting system. If you've got to send an annual report, it may as well communicate the brand. Origin Design has a new study on
I believe that communication is not achieved without a system of repetition. In the advertising business, the rule of thumb is that an advertisement must run three times in order to be effective. In speech-writing, we have the old adage "Tell 'em what what you're going to tell 'em, then tell 'em, then tell 'em what you told 'em."
For all the money that's being spent on paid search advertising, it's amazing how little of it is being used for marketing intelligence. Some people are testing different benefit statements to see what appeals to their customers. If your business is spending a lot on search marketing, you need to make it work as hard as possible to build your understanding of your audience.
Working as a marketing manager over the last few years, I had become increasingly aware that the selling process seems to revolve around a company's web site. The web site has to reflect or amplify every other marketing communications effort. Now Mark Kingdon, CEO of one of the biggest agencies which design commercial web sites, explains why that's so, and you can see his understanding illustrated at this 
Browsing an e-commerce web site reveals a lot about your interests and intentions. If the site owner can't get you to buy something, maybe they can hand you over to another advertiser. I didn't have to browse for long on the Home Depot web site before I found a General Motors ad. (See right.) Although I can see the connection between a business radio and a pickup truck in which to carry it, the possibility of advertising more complementary and add-on products sounds very attractive for both profit and for the consumer experience.
If you knew what everyone else was buying...in the grocery store?
Car manufacturers used to drive demand with the mainstream network TV. Now that mainstream demand seems to be evaporating, they have to intercept truck buyers where they're using trucks. GM Fleet and Commercial has "Hard Day's Work Tour" going around to Lowe's stores.
Using celebrities can be a crutch for a brand, but recent research shows that choosing the right celebrity can give your brand image a kick-start. You have to do more than choose someone who's beloved, you have to choose someone whose ability to introduce your brand makes sense to the audience. The "My Life. My Card." campaign features celebrities like Wes Anderson who flaunts his card to get what he wants on a movie set. Is there someone well known to your audience who can capture their attention and explain your brand?
Instead of sneaking into viewers' awareness by placing products in TV shows, American Eagle Outfitters is going the other direction, airing commercials where their customers comment on the shows in which the ads are placed. The marketer is betting heavily on the appeal of Gilmore Girls and Veronica Mars to their customers by airing exclusive clips promoting the shows on video screens in their stores, having cast members visit the stores, and running a contest for a walk-on role in
Veronica Mars. I'm not sure many other companies will run the risk of committing to shows that might lose popularity, but the commitment to customers and their interests and aspirations is admirable, and I hope that catches fire.
Recently, the rise of "word-of-mouth" campaigns has opened up new territory for marketing communications. Although we can't control what other people say about our products, we can supply them with ideas and words they can use in emails, blog postings, and conversations.
When they wanted focus on a specific, younger audience for the Nissan Sentra, the marketers decided they better start experimenting with the type of media being used by younger people. To their surprise they found it was not only less expensive than network TV, but easier to track in terms of performance. Their only complaint was that now
the campaigns have many moving parts to keep up with--which will hopefully lead to more engaged customers as well.
Canadian firm 
So far as I know, Sony is the first to add interactive "alternate endings" to a major broadcast commercial. Of course, only DVR users who are replaying the commercial can access extra footage. Sony is supposedly putting $12 million of media behind this commercial spot, so we should get a chance to see how it works!
InterContinental wanted to market their hotels based on their attractive settings, but they could never have afforded to create 140 short films about the locale of each hotel. So they recruited filmmakers from
InterContinental is having custom films made that feature the concierge of each hotel, and they hope to have the first 40 done by the end of October. TurnHere will host the films which will also appear on InterContinental's web site and in its newsletters.
New cell phone service
Of course, the business is still losing money and raising capital, but they are starting to get awareness for the original programming they are commissioning, including an edgy comedy series called "Lil' Bush."
When I hear about "click-to-call," I think of search advertising, but click-to-call buttons are popping up all over the internet, including email and web sites. In most cases, the retailer is calling back the prospect rather than answering an inbound voice-over-internet call. Of course, this also increases the appeal to database marekters, because now they have the prospect's phone number.
WSJ.com:
Mediacart is carefully testing and slowly launching the next generation shopping cart, with a healthy respect for the brutal environment it will enter: the grocery store and the parking lot. The ruggedized video display (no audio) will show no more advertising than the company has verified can be absorbed by most shoppers.
They realize they have to improve the overall shopping experience.
The limitations of viral marketing are starting to be recognized by some of the technology companies who've been on the band wagon. So, of course they need a new piece of jargon: contagiousness. In the same issue, Alice LaPlante also has a good
Sun Microsystems about what they've done to attract more members to their online communities. To get consumers, as opposed to developers, more involved with promoting Java, they set up a web site where all the games and utilities which use Java can be showcased.
Visitors to the
They used the scratch cards at promotional events to distribute coins to give teens a taste of what they could do in the Habbo Hotel, like iTunes giving away a song.
Habbo recently tested a $10 prepaid card with CVS. The card had to be swiped at the cash register to activate... “we set a limit purposely on every payment method, anywhere from $20 to $30 per payment method.” ....
Habbo quickly reacted to any problems with parents upset over their children charging payments without their permission, offering partial refunds and banning teens from the site for periods of time.
Despite my focus on communications, I frequently find myself talking about the retail environment. So when I was reading this article, the trend suddenly became crystal clear. Apple, Nike, adidas and all the rest of these brands are now using stores as communication platforms where a lot more happens than purchasing. Even if you don't actually go to the store, you hear about the store and form an opinion about the brand.
News Today (South India):
Outdoor advertising used to be a one-way medium, but now billboards can actually connect with the cell phones of nearby pedestrians, allowing them to download music, ads or video clips. The bluetooth technology currently being used doesn't work with cars driving by, and many of the initial implementations are in mass transit centers.
Like the addition of neon lights and three-dimensional fiberglass extensions to billboards, the marrying of mobile devices with outdoor advertising is yet another flourish in the booming outdoor-ad business. ... "This is a way to take the message off the billboard and literally place it in people's hands and into their lives," says Stephen Freitas, chief marketing officer for the Outdoor Advertising Association of America.
With all the internet traffic that bloggers are getting, marketers would really like to get exposure, and maybe even a favorable product review, on a popular blog. However, promoting products with bloggers is still the frontier of advertising. Where the world of traditional publishing has a lot of well-recognized rules, the blogosphere is full of unpredictable people. Fionnuala Downhill (what a great name!) has some excellent advice.
The new age in advertising may have arrived. YouTube will create space for advertising but no one will be required to view it. There will be ads people can select to watch on the front page, and if people are interested, they can click to a sponsor's dedicated YouTube page. I hope it works, but I guess I should say I hope the ads work. I hope they are enticing, people enjoy them and people who want to know more about the product click on through.
NY Times:
What better analyst than a privacy expert like
So Chapell says, and I agree, that the marketers that break through into this space will do so by coming up with great opt-in offers. Check out Virgin Mobile's new
Smirnoff has a new viral
Although General Mills spent over $10 million on Spanish-language media in 2005, according to TNS Media Intelligence, this year they are launching their own magazine for Hispanics, which will come out three times a year. Two possible explanations come to mind: 1) General Mills believes they have better access to more Hispanics in their database or through their outlets than the current Hispanic media can offer, or 2) General Mills wants to capture proprietary information about the performance and responsiveness of the Hispanic market.
No mention of a web site, yet, although that would be natural.
Adweek rounds up 12 major advertisers who are using "emerging media" to improve the effectiveness of their advertising. I think the only unifying trend here is the exodus from traditional media. Well, they're not abandoning it, but they sure don't depend on it anymore. I've provided links to as many campaigns as I could find.
Audi is launching their
Now that commercials don't necessarily air on TV, publishers are developing little films to promote books. Art students are entering contests to get funding to produce these little videos, and the good ones are getting plenty of free exposure on video web sites like YouTube. I would be surprised to discover that books haven't been promoted via TV commercials before, but probably only blockbusters. It seems to me that the current craze for making short amateur videos is a good opportunity for many marketers to try and get some exposure for their products, but in the long run, you'll have to pay for advertising. You can see a bunch of videos at
New York Times:
Some people look at sharing games as a viral activity, but
Arbor Networks is helping the network administrator do his or her job--that's useful marketing.
Instead of posturing about the need to serve Hispanic audiences, movie makers are discovering tactics for effectively marketing mainstream movies to Hispanics. Religious themes get played up, and Hispanic cast members are pushed to the front of the publicity. We don't find stereotyping here but a real search for an efficient way to connect. It'a all about the ticket and DVD sales.
During the last oil-price crisis, Shell rolled out the Answer Books. Now they are focusing on activities that help consumers help with high gas prices, including
Promo magazine: