Getting consumers to think and shop

Allstate promotional campaign attempts to get customers to stop and shop

Customer loyalty is a goal for businesses.  Instead of spreading their money around, loyal customers spend more over time with their beloved businesses and products.

Loyal customers tend to stay loyal until given a reason not to be loyal.  Unfortunately, businesses too often deliver those reasons themselves through multiple methods such as disappointing products, bad service and high pricing.

However, what if those loyal customers aren't yours?

Allstate has a current promotional campaign encouraging consumers to take a moment to think about their insurance and shop around.  Obviously, Allstate hopes that such shopping will lead customers to them.

I realize the ad's tag line is "Shop less, save more" -- Allstate wants you to shop until you find them and then you can stop shopping.  

Why wait until Black Friday?

Fighting for early consumer holiday spending in a poor economy.

Traditionally, Black Friday marked the start of the holiday shopping season... but that's now in the past. It's early November and the promotions to attract 2011 holiday spending dollars have already begun.  A variety of business types are already doing it -- Home Depot, Glade, ebay, Kmart -- and more will start soon.

Via television commercials, websites, print ads, social media, and discounts, businesses are already vying for this year's holiday consumer spending that is projected to be lower due to economic conditions.  Businesses worry that if they wait too long to attract shoppers, consumers will spend their limited holiday dollars elsewhere.

 

Consumer roles & buying behavior

Appealing to the roles consumers have is a powerful influence.

We all have our own lists of roles we play in our lives --  

Friend. Wife. Husband. Mom. Dad. Teacher. Doctor.

You get the idea...

The roles each of us have impact how we act and decisions we make.  Marketers know this too.

Notice how this TV commercial for Sylvania Silverstar headlights juxtaposes two common roles -- (1) fun-loving male and (2) dad.

Obviously, the dad role wins out in this advertisement. In my own role as a dad, the ad makes me wonder how bright the headlights are in the car my kids drive. Which is just what Sylvania hoped for.

A peril of celebrity spokespersons

Disinterested.
Half-hearted.
Talk about "mailing it in".
Who approved this and have they been fired?

These are just a few of the thoughts that come to mind after watching the current Ameriprise television advertisement featuring celebrity Tommy Lee Jones. Take a look.


We know Tommy Lee Jones from his many memorable movie characters - from Lonesome Dove to U.S. Marshals, from Men in Black to No County for Old Men. We have come expect a certain aura, presence, liveliness, wit and banter from Mr. Jones.  I bet Ameriprise did too.

If a paid celebrity spokesperson can't get excited for a product or company they are shilling for, why should we?

Product do-overs difficult... do it better the first time

The comparison is stark:

• Apple sells approximately 200, 000 iPads every 2 days.
• RIM sold approximately 200,000 Blackberry Playbook tablet computers over 90 days this past summer.

The problem(s) with the Playbook?

First (and probably foremost), it doesn't have an Apple logo on it.  However, there are non-Apple issues.  The Playbook was introduced with just a fraction (40,000 vs. 1,000,000) of the available content and apps available to its adopters compared to competing Apple and Google Android tablets. In addition, the Playbook did not come with Blackberry's popular e-mail and collaboration service (Blackberry Enterprise Server).

RIM's proposed fixes to bolster Playbook sales?

1. Encourage app makers to get really busy.
2. Release a "major" software update.
3. Cut prices.
4. Keep telling prospective buyers the Playbook is just as good/better than the iPad.

The outcome? Consumers will soon decide

However, recapturing any momentum that came with the introduction of the Blackberry Playbook will be difficult (impossible?). While a staple of recreational golf, mulligans are in short supply in the business world.  A better path is to hit a quality shot on the first swing.

Keeping an advertising campaign fresh

Ally Bank's promotional objective over the last few years has been to drive home the point that they are not "banking as usual".  To keep their advertising from getting stale Ally's advertising has periodically changed tag lines.  


It started with "It's just the right thing to do".



Then came "Do you love your bank?"



And most recently "Stop accepting nonsense" (poor service, hidden fees, etc.).



Multiple tag lines.
One long lasting theme people can relate to.
Interesting, attention-keeping advertising.

Making your customers the butt of the joke... I still don't get it

Incorporating humor into advertisements is principles of advertising 101.  Humor encourages viewer attention and message retention.  


However, humor can also "swing and miss".  I believe one of the ways humor loses its overall effectiveness is when it is used to portray the advertiser's customers as silly, foolish and/or childish. Some viewers have to wonder "if that's how the customers of that company are, why would I want to join them?"


Here's a recent example of an television advertisement that does just that.



Couldn't State Farm find a humorous way to tell us that they can save customers money without making them look like dolts?  Geico has been using humor for years and also tells us that they save customers money.  However, I can't recall a time when their customers were the butt of the joke.  


Maybe State Farm would be better served having some woodchucks chuck wood in their next commercial.

Holiday 2010 commercials - one strong, one risky

Two TV campaigns - two outcomes: one builds brand, other builds band

This holiday season featured companies that took different routes in their television advertisements.

Planters Peanuts (a division of Kraft Foods) had a witty, fun ad that starred their longtime "spokesperson" Mr. Peanut -- who has been around since 1916 -- in a holiday themed advertisement.  The focus of this ad was the product and Planters brand.


Meanwhile, Hyundai had several commercials that might have crossed the line of showcasing the indie band Pomplamoose more than the Hyundai brand or product. While wanting the attention star power can bring to an ad, care must be given so that such attention does not overshadow the commercial's intended message.

Don't overlook the details

Michael Jordan + humor + a continuing TV campaign = a promising ad -- but please get the other guy a pair of pants that fit!

Hanes has done several significant things promotionally to benefit their brand:

• sign Michael Jordan as a spokesperson
• drop Charlie Sheen as Jordan's sidekick (reportedly to avoid any linkage to Sheen's persistent negative press)
• developed a lasting humor-based campaign to promote the benefits of their product as well as highlight Jordan

If this is how Hanes make you look, maybe he should try Fruit-of-the Loom...
After all that, why not give the actor in the current ad a pair of pants that fit?  His pants are stretched so tight that the white liner on the front pockets show, the front of the pants have a very unflattering pull and the pockets are puckered. While some viewers would recognize the problem is with the pants, others might not. The question is why take the chance when a little more attention to detail would have made the issue a non-starter?

Opening a new range of apps

Square mobile payment app blends software and hardware

The Square Mobile Payment System is early on the curve of a new wave of applications for phones (iPhone and Android) and other mobile technologies like tablet PCs (iPad, etc.).  These emerging apps go beyond current ones as they integrate hardware into the systems.

Plugging Square's hardware into a device's audio jack allows the user to use the app to pay by credit or debit cards, gift cards and prepaid cards.  These payments can go to businesses or individuals who also have Square.

Crystal ball

A couple things will be interesting to watch for:

• When will consumers adopt these types of apps?
• How quickly will businesses adapt to the such new apps?
• When will other types of apps that integrate hardware be offered?

Rapping rodents phat for Kia

Rapping hamsters boost image but without product improvement, how long will it last?

Unlike many businesses, 2010 has been good to Korean automaker Kia.  Sales were up 15% through October -- on pace for a record year in sales.  The company has benefited from a "perfect storm" of circumstances:

• a bad economy
• offering a line of low priced vehicles (approx. $8,000 lower than  competitors)
• public acceptance of rapping hamsters in a television campaign (see below)

The big question...
With product quality sliding in consumer-based rankings (from 15 to 25 place in a recent J.D. Powers  survey), how long will the rodents be able to prop Kia sales up?   In the long-term, it is hard to imagine consumers trading vehicle quality for a formulated image.  American auto buyers have shown in the past that even low prices cannot make up for a poor vehicle (remember the Yugo?).

The current good sales situation offers time for Kia to get their product "house in order".  It will be interesting to see if they take advantage of it.

Geico, Helzberg co-op advertising

Seemingly unrelated pair of companies team in TV ad

Perhaps you have already seen the television advertisement that blends both Geico Insurance and Helzberg Diamonds (a retail jewelry store chain).  At first nod, these seem like an odd duo to pair up in a promotional effort.  However, upon a bit deeper review, a connection between the firms comes into focus.

The Berkshire Hathaway connection
Both firms are part of the holdings of Warren Buffett's Berkshire Hathaway.

Properly done, joint advertising can make a great deal of sense by stretching promotional budgets in this time when companies are seeking greater productivity in operations, manufacturing, and now advertising.

Characteristics of potential co-op promotional partners
The cooperating firms:

• are not in the same industry (except for special circumstances like public service announcements, support of causes and events, etc.).
• seek similar customers.
• are willing to have the other's brand image "rub off" on to their own.

Note: video of the ad will be added when available.


Power of a brand part II -- Call of Duty: Black Ops

Increasing brand positioning via association (to a video game).

In an earlier post, the integration of Apple's iPad into a product offering to increase product brand position via association with the iPad was discussed.

Now the popularity of Call of Duty: Black Ops is being used by Jeep in an attempt to influence prospective buyers.  If there is any surprise, it might be that the COD: Black Ops brand would be deemed so attractive to enough of Jeep's target market.  Jeep's consumer research would be interesting to see.

     

                                                                             Jeep Wrangle Call of Duty: Black Ops Edition

If video game can scan body -- what could be other uses?

No TSA-like body scan.  Rather scan of "outer body" only.

The Xbox 360 Kinect video fitness game Your Shape Fitness Evolved has the ability to scan user bodies as they participate in exercise routines. During exercise, the game monitors for pace and proper body positions (below).



With this type of technology already in homes...
When might online clothing stores offer at home personalized body scans that allow consumers to "try on" clothing in virtual dressing rooms that link specific body shapes/dimensions to actual clothing sizes and styles (that the retailers have digitized as well)?

iPad's growing ecosystem

More businesses are integrating iPad into their offerings -- and hoping to attach their products to iPad's high brand positioning.

By any measure, Apple's iPad is a successful product on its own.  However, it is increasingly being used by businesses as part of their product offerings.  As much as the iPad might actually improve these products, the biggest benefit might be linking the iPad to the products... if consumers think so highly of the iPad, maybe some of the "love" will rub off.

NOTE: This goes beyond merely adapting current offerings for the iPad -- although iPad apps for existing products are extremely popular.

Some recent examples:

• The owner's manual for Hyundai's Equus model is an interactive digital owner's manual on the iPad that comes with the luxury car. See the magazine advertisement below.

          

• Delta Air Lines has installed 200 iPads in their gate area at New York's JFK International Airport. Delta customers can use the iPads for entertainment and to order food at airport eateries.
• News Corporation is developing a new digital newspaper centered around the iPad. The Daily is scheduled for an early 2011 launch. 

Apple continues to reap the rewards for their great products.

Kohl's Happy ThankSaving... just a bit tacky

Happy ThankSaving ???

Thanksgiving traditions -- the Macy's Parade, NFL football, time and dinner with family, and giving thought to the blessings of life.

Now Kohl's is adding a new one... the Happy ThankSaving sale. 

A television, newspaper, social media and web campaign.

Surely their marketers can do better.

Humor without sacrificing customer image

To differentiate themselves from competition, two long-running television ad campaigns focus humor on things people dislike about their industries.

Some things about banking consumers dislike:

• hidden bank fees
• treating new customers better than current ones
• not giving all customers full information
• fine print

Some things about buying and owning stocks consumers dislike:

• impersonal service
• high fees
• feeling that best interest of investor is not broker's priority
• lack of information and support

So how do Ally Bank and Scottrade deal this such dislikes?  By using humor to highlight such common negative perceptions against their own brand positions.

Ally Bank Commercials




Scottrade commercials



One final thought... note that neither ad campaign used their customers as the butt of the joke (see the August 26, 2010 post). 

Why would anyone want to be like them?

It might be funny but who would want to be like these people?

It is an aspect in some advertising that has been bothersome for some time (refer to my October 10, 2008 blog entry) and I still don't get it.

Why do some companies portray their customers as clueless (or worse). If this is the way people who do business with a company are, why in the world would anyone seek to be like them?

If this is how Netflix customers are, I'd rather read a book!


Progressive has effectively used humor in other ads in their "Flo" campaign... but why make customers act like this?



The point is not to be too picky or lack a sense of humor. But does humor have to be at the expense of customer image?

The next blog post will give examples of advertising campaigns that effectively use humor without sacrificing customer dignity.

Retro comfort factor

In these challenging economic times, companies give consumers "comfort" via retro offerings

It's comfort food without the calories... products that remind one of the "good ol' days". Here are a few more recent examples. There are many more.

ThinkGeek's retro style blue-tooth headset (handset?):

Pepsi's temporary return of the retro can labels (even with "real sugar"!):

Proudly showing your age

Promoting the idea that a company is strong and stable by showing you've been around a long time.

Prudential's new ad campaign seeks to assure consumers of the company's strength and stability by highlighting how long the firm has been around.

Highlighting the changing logo:

Television advertisement