Tag Archives for " BRANDING "

1 Marketing lessons from the not-so-surprising failure of Sears

Marketing lessons from Sears on the Brand Insight Blog from BNBrandingThe Sears store in my hometown recently closed its doors. Shut down after a 60 year presence in the market.

Can’t say I’m too broken up about it either. I bought a few tools there, once upon a time. And an appliance or two, but I certainly wouldn’t say I had any fond memories of the place, much less brand allegiance.

The recent demise of Sears, once the country’s largest retailer, is replete with valuable marketing lessons for business owners, entrepreneurs, marketing execs and brand managers. It’s a classic American entrepreneurial tale.

Sears dates all the way back to 1886 when Richard Sears started selling watches to his coworkers at the railroad. Alvah Roebuck was his watchmaker, and in 1893 the name Sears Roebuck & Co. was incorporated.

marketing lessons from Sears and BNBranding in Bend OregonThey grew the business rapidly by selling all sorts of merchandise through the mail at a price that undercut the local mercantile. The offerings were broad — everything from a Stradivarious violin to patent medicines and do-it-yourself houses — but the target market was narrowly defined: small towns where the general mercantile was the only real competition. Western settlers used the Sears catalog for everything under the sun.

It was wildly successful niche marketing, for awhile.marketing lessons from sears on the Brand Insight Blog by John Furgurson

Sears went public in 1901 and in 1925 the first Sears store opened, in Chicago.Mr. Sears got ridiculously rich. Industrialist, oil baron rich.

By 1933 they had 300 stores and the mail order business began to take a back seat to the retail business.

Over the next 50 years Sears became a multi-national retail empire, with 2200 stores and the world’s tallest building as its corporate headquarters. The company obviously did a lot of things right over the years.

For instance, Forbes Magazine reported that “Sears successfully developed some of the strongest and most famous private-label brands in history, in any channel, in the U.S. Those brands include Craftsman tools, Kenmore appliances, Diehard batteries, Weatherbeater paint, and Roadhandler tires.

Marketing lessons from Craftsman on the brand insight blog

One of many successful brands that Sears built.

Those are great names, and the success of those product lines is textbook branding. Someone at Sears was well advised to resist the line extension trap and NOT put the Sears name on a car battery or a paint can.

Some Wall Street insiders believe it’s those proprietary brands that could save Sears from its current “slow motion liquidation.” In fact, there have been rumors that Sears will begin selling some of those brands through other retailers, including Costco. Maybe there’s a future for Sears as a wholesaler???

Sears is a good example of how success often leads to temptation and complacency. Temptation to expand and diversify into other businesses and complacency when it comes to the core of the brand. (I’m not sure anyone in the last 30 years could even define the core of the Sears brand. They were all over the place!)

Sears got into the insurance business with AllState, the financial services business by buying Dean Witter Reynolds, the real estate business with the purchase of Coldwell Banker and even the credit card business, with the launch of the Discover Card.

In the meantime, they missed an opportunity to dominate the direct marketing business, they neglected their retail stores, failed to convert their catalog into a successful ecommerce business, and let their wildly popular private label brands languish.

So much for a clearly defined Sears niche.

For 20 years Sears has been trying to re-position itself as a competitor to Macy’s, JCPenny, Kohl’s and Target. Remember the slogan, “The softer side of Sears?” That was an ill-fated attempt to sell clothing. Now they have the Kardashian Collection. Yikes!

Marketing lessons from The Kardashian Collection. Does this look like Sears to you?

The Kardashian Collection. Does this look like Sears to you?

Forbes magazine reported: “Sears is relying mainly on inauthentic celebrity exclusives (does anyone really believe that Kim Kardashian would actually shop at Sears?) to attract younger, fashion-conscious consumers, and it is clear that Sears has lost its way.”

As Laura Ries put it, “When faced with a broadening of its category, Sears should have narrowed its focus and become a specialist. Instead of shifting to the “softer side of Sears,” the retailer should have further embraced its harder side.”

The department store niche is not the answer to Sears’ problems. Walmart has taken both the price and one-stop shopping advantage. Target is positioned as the aspirational trendy choice. Home Depot is the place to go for home improvement. Amazon has the online convenience advantage. Best Buy dominates in electronics. Lowes is succeeding with appliances. There’s just no room for a general purpose department store that’s trying to be all things to all people.

Even if there wasn’t all that competition, you’d still never convince people that Sears is a good place to buy clothing. That was never going to fly!

Sears Brand car battery

Not sure what can jump start Sears at this point.

It will be very interesting to see what becomes of the company now that it’s merged with Kmart and owned by infamous hedge fund manager Eddie Lampbert. The stock has lost half its value. They’re closing 120 stores this year. And there doesn’t seem to be a plan in place to revive it.

The company’s latest hail-mary strategy is “a free social shopping destination and loyalty rewards program called “Shop Your Way.” (Note to management: A loyalty program’s probably not going to work too well in all these towns where the stores have been shuttered.)

Even the most beloved retail chains have a hard time with loyalty programs. A recent study by McKinsey & Co. found that despite their general growth and popularity, loyalty programs actually erode margins and destroy value for their owners. Companies with them grew no faster than — and sometimes slower than — those without loyalty programs.

The latest update on the Sears saga has Lampbert borrowing a page from Donald Trump’s playbook, blaming irresponsible media coverage for Sears’ troubles.

According to the Business News, Sears has not shown a profit in the last six years. And talk about spin… Lampbert went so far as to liken that performance to Amazon’s early years.

That’s delusional leadership.

Crain’s Chicago Business summed it up the best: “If the hedge-fund mogul knew how to fix Sears, he’d have done it by now.”

There are only two things the company has going for it: massive real estate holdings, and some great brands NOT named Sears.

 

For more marketing lessons and insight on marketing leadership, try this post.

 

1 Fake Thrills — Another Automotive Marketing Misfire.

Automotive advertising, as a category, is notoriously bad. And the Toyota Camry is not an exciting car. In fact, some automotive writers contend that Toyota’s building nothing but toasters these days. Despite that, the Camry has been hugely successful and has been the best-selling car in America 15 of the past 16 years. (Camry was No. 1 from 1997 to 2000, lost to the Honda Accord in 2001, and has reigned since then.)

Apparently, there’s a huge segment of the driving population that does not care about horsepower or handling or sexiness. Just reliable, utilitarian, point-A to point-B transportation for this crowd. My father drives one, and he fits the demographic perfectly… white, suburban 80-year old male who only drives a few miles a month. The last thing he’s looking for in a car is a thrill ride.

7165c3f5dc0c28a95fd2723b16f34ec0And yet here comes an ad campaign for the Camry, titled “Thrill Ride.”

I was enamored with the TV commercial at first. What a great idea… a car as a high-speed turbulent thrill ride captured in a reality-TV format. All they have to do is build a super rad roller coaster style track and then race the car up and down the hills, around the high-G turns, and into consumer’s hearts.

Then I realized it’s a Camry commercial.

Classic case of a great advertising idea executed poorly for the wrong brand. Once again, we have an automotive brand trying to be something it’s not.

The whole idea is misaligned with the Camry brand. “Thrill Ride” is not the least bit authentic, nor is it relevant to the people who might really be interested in a Camry. (They might have fond memories of ancient, wooden roller coasters, but they don’t want to ride on one.)

And what’s worse, the spot doesn’t even deliver on its ill-advised promise of being thrilling.

The so-called “thrill course” features one little hill, a banked turn, and a tunnel. There are relatively young, hip people riding shotgun as the Camry inches its way around the course. It’s a reality TV on Geritol.

I can understand why the Brand Managers at Toyota would want to appeal to a younger audience. And I can even go along with the premise of being a little bit more fun. But why do it in a way that’s utterly fake and out of context?

Why leap all the way to “thrilling?” Consumers are too smart for that. As one YouTube viewer wrote, “So you’re basically saying that the only way your Camry will be exciting is to drive it on some mock roller coaster course.”

Why couldn’t they advertise the car’s popularity and reliability and resell value, but in a fun way?

“Among the boring sedans targeting people over 50, the Camry is the MOST FUN!” That, I could buy. But there’s no way Toyota will every convince people that the Camry is thrilling. They could launch one into space and parachute it back to earth, RedBull style, and it’d still be a boring brand.

But in this case, boring is good. People eat it up! Why are they trying to be something else? There are plenty of thrilling cars already on the market that don’t sell nearly as well as the Camry.

Bloomberg News reports that in 2014 the era of Camry dominance could run out. There’s a lot of competition in the midsize sedan segment from Kia, Honda, Huyndai and the Ford Fusion. Perhaps the Camry spot was a knee-jerk reaction to the Fusion, with Toyota execs saying, “we gotta be cooler and appeal to a younger target audience like they have.”

Good luck with that.

Assuming you built a thrill course worth its salt, the spot would work brilliantly for BMW’s Mini brand. The Mini is a car that runs on rails, delivers thrills and is genuinely fun in every way. The analogy works.

With the Camry it falls on deaf ears.

At the end of the commercial one of the actors says, “like maybe I’ll look at a Camry differently.” That sounds like a line stolen right from the creative brief under the header “objective.” I seriously doubt this spot will do it.

Camry commercial

And more importantly, why would Toyota want people to look at the Camry differently??? Seems to me, looking at it as the #1 selling car in the country with outstanding resell value and a super-high reliability rating would be plenty.

So here’s some advise for brand managers and business owners… if you’re lucky enough to have the best-selling brand in your category, don’t pretend to be something else. Don’t lighten your offering in order to appeal to a seemingly broader audience. Stick to your core. Resist the temptation to leverage your brand it into some other line of work.

For example, if you’re Guinness Stout you don’t start advertising an American-style lager.

If you’re Harley Davidson you don’t start advertising a new line of lightweight motocross bikes.

If you have the best selling sedan in the country that happens to be a bit vanilla, don’t try selling yourself as a spicy hot sporty sedan. You’re wasting your breath.

 

1 branding fundamentals in the guitar guitar business

The ABCs of Branding: RCD

Relevance. Credibility. Differentiation. These are branding fundamentals. When you look at companies — large and small — that have become successful brands, you’ll notice strength, consistency and often superiority in those three areas.

Branding Fundamental #1: Relevance.

Brand relevance is closely related to specialization and niche marketing. Because you can’t be relevant to everyone. My friend Preston Thompson painstakingly crafts high-end guitars for discerning bluegrass musicians who are looking for a very specific, classic, Martin-like sound.

Obviously, the Thompson Guitar brand is not relevant to those of us who don’t play the guitar. Duh! But it’s also NOT relevant to most guitar players. NOT relevant to pop stars or young, smash-grass musicians. Not relevant to classical guitarists. Not even relevant to most blue grass guitarists.

Wisely, Preston and his team don’t worry about that. The Thompson Guitar brand IS relevant to the tiny, narrow niche of customers they’re looking for. Rather than casting a wide net, and trying to be relevant to a broad audience of musicians, they’re staying esoterically focused. Relevant to few, but highly valued.

The more focused you are, the easier it is to maintain relevance among the prospects who matter most.

Relevance is not an absolute. In fact, it’s a bit of a moving target. Ten years ago Blackberry was a highly relevant brand among young, upwardly mobile, hyper-busy professionals. Not anymore. Technological advances from Apple and Google wiped the Blackberry off the map. Such is life in the world of high tech… if you’re not innovating quickly your brand relevance will fall faster than you can say Alta Vista.

Relevance in the restaurant business is also ridiculously fleeting. Foodies, who are the bread and butter of the trendy restaurant scene, suffer from a severe case of “been there done that” syndrome. So when something new comes along, they’re gone and the hottest restaurant of the year gets quickly supplanted by the next great thing. The restaurants that thrive in the long run find an audience after the foodies have left the building.

Sears is still relevant to a very small audience of elderly consumers who have been buying appliances and tools there for 50 years. It’s NOT relevant to younger consumers who represent the future of commerce. High school age girls would rather be shot than caught shopping at Sears.

branding fundamentals too many choices of beveragesSometimes entire categories experience a dip in relevance. Like what’s happened in the soft drink industry… bubbly drinks like Coke and Pepsi are not as relevant to young consumers who have taken to Glaceau Vitamin Water, Gatoraide, SoBe, Arizona Iced Tea, Kombucha and more than 50 other alternatives. It’s a function of choice, really. When I was growing up, we didn’t have all those choices. Just milk, or Kool Aid in the summer.

The more choices there are in your category, the harder it is to maintain relevance. It’s tough staying “on the radar” when there are so many new products, new companies, and new offerings being unveiled. How many of the 50 brands of flavored water do you think will be around ten years from now?

Being relevant equates to being meaningful. If your brand is meaningful, you’ll generate interest. People will desire it. And they’ll take action. That’s what you want: Interest. Desire. Action.

Many brands fail because they didn’t really mean anything to begin with. Others lose their meaning over time, often due to a lack of credibility. They haven’t mastered the branding fundamentals.

Branding Fundamental #2: Credibility

Credibility begins by knowing yourself, your brand, and the core essence of your enterprise. You can’t stay true to yourself if you don’t know what you’re really about… your passion, your purpose and your promise. Write them down.

It’s been said that branding is about promises kept. That’s how you build trust and loyalty. So don’t bullshit people about what you can do or deliver. (That’s another, very basic, branding fundamental.)

Good sales people often gloss over the realities of delivery in order to get the sale. Like the famous line from an old FedEx ad… “We can do that. Sure, we can do that! (How we gonna do that?”) Every time you over-promise and come up short, your credibility takes a hit.

Instead, set realistic expectations. And if things do go wrong, don’t be afraid to say, “yeah, we really screwed up.” And do it quickly! In this world of social media you have to move fast to stay ahead of any bad news.

So let’s assume that you know yourself well and you’ve established a trusted brand. The easiest way to screw it up is to advertise something you’re NOT. Like a personal injury lawyer claiming to be friendly and honest.

And if you really want to compound the problem, try using a celebrity of questionable credibility. That’s a double whammy! Every brand affiliation reflects on your credibility.

Often what you’ll see is advertising based on wishful thinking rather than brand realities or customer insight. The ego of the business owner clouds the message that gets out and harms the credibility of the company. Ego is also a common culprit when it comes to differentiation… CEOs and business owners start thinking they can do anything.

Branding Fundamental #3: Differentiation.

The best brands take the conventional thinking of their industry and throw it on its ear, disrupting everything that came before. They discard the age-old excuse; “Yeah, but we’ve always done it this way.”

You cannot differentiate your brand by watching the rear-view mirror or by following the lead of others in your industry. Instead, try the convention-disruption model… Think about the standard operating procedures and practices of your industry – the conventional approach – and do something else.

There are three key areas where differentiation can produce some dramatic business gains:

branding fundamentals product differentiation
Product/Service Differentiation

The best marketing programs begin with products designed to be different from the get-go. There are plenty of ice cream brands out there, but only one with the crazy, mixed-up flavors of “Late Night Snack.” Ben & Jerry’s continually differentiates itself with its creativity in the flavor department.

Operational Differentiation

If you have me-too products you can still differentiate yourself through operational innovation. Be more efficient, more employee-friendly, more environmentally conscious, whatever. For Walmart procurement and supply chain management was the differentiator. That’s what enables them to keep prices so low.

Business Model Differentiation

This is a good option that applies mostly to start-ups. If you can find a better business model, and prove that it works, investors will notice. But keep in mind, consumers might not know the difference, so you still have to do other things well.

Marketing Differentiation

In crowded markets with many similar offerings it’s often the advertising and marketing programs that push one brand to the front of the pack. Additionally, in advertising circles there are three areas where you can differentiate yourself: Strategy, media, or creative execution.

Take AFLAC for instance… Before that obnoxious duck came along, no one even knew what supplemental insurance was. That’s creative differentiation. And no one else in that niche was running television. That’s media differentiation. The famous “Got Milk” ad campaign utilized a disruptive new strategy for the category, as well as exceptional execution.

RCD. Relevance. Credibility. Differentiation. Most companies are lucky to get one or two out of three. The greatest brands are three for three.

 

 

 

 

 

 

 

 

 

 

2 Non-profit branding (A story of start-up success and failure)

In 2009 I called it “A feel-good brand in a bummed out world.” It was the type of organization that genuinely touched people, and put smiles on little faces. For me, a few minutes at Working Wonders Children’s Museum was a sure cure for a crummy day.

WWLogo - smallOur story of success, and failure, is valuable for anyone who’s starting a new business or running a non-profit organization.

When we started Working Wonders we did a lot things right. It was non-profit branding “by the book” all the way. First, we thoroughly researched the market and determined that there was a gaping need. (We conducted large-sample phone surveys as well as focus groups.)

Once we saw encouraging results from the research, we wrote a mission-focused brand strategy and built a business plan around that. After our strategy was clear, and the business plan written, we came up with a great name, designed a nice logo and put an operational plan in place based on our cohesive brand platform.

non-profit branding case study by BNBranding bend oregon

Print ad campaign

At first, it was just a concept. A “museum without walls.” Initially we raised enough money to build some traveling exhibits and we went to every event in town to introduce kids, and their parents, to our brand of educational play. It caught on. Before the days of Twitter, it went viral.

Our bootstrapping, “museum without walls” strategy achieve the immediate goal: Proof of concept. Parents and kids loved it. In less than three years we raised $400,000 and arrived at that crucial, “go or no-go” point. We had a location and we had enough money to open the doors. Just barely.

The argument TO go: We figured it’d be easier to raise money once people could see a finished children’s museum. We knew we could spend years traveling around, trying to raise more money. (Many Children’s Museums spend a decade doing that.) Or we could get the doors open, and go from there.

The argument to NOT go: We’d be undercapitalized. Cash would be tight, and there was no endowment safety net. We were relying on the on-going generosity of a couple key donors and most of all, corporate sponsors.

We chose to go. Damn the torpedoes!

A team of volunteers scraped up donated materials, did the heavy lifting, and created a children’s museum that was small, but delightful. We launched in less than one-third the time and for one-fifth the cost of most children’s museums. It was a labor of love. A thing of beauty. A non-profit branding success and the biggest accomplishment of my marketing career.

Working Wonders ran successfully for four years. It broke my heart when it had to close because of the economic tidal wave that hit our town in 2009. Despite our best efforts and exceptional marketing, it was not sustainable.

Some people contend it was actually branded too well.

Many customers and community leaders thought we were part of a national chain of some sort. Never mind that our marketing was done with volunteer labor. (mine) Never mind that our advertising was mostly donated space. The general public simply couldn’t conceive of a little, local non-profit doing things so professionally. They figured we had all the money we needed, from some, mysterious, out-of -town source.

But there was no endowment. By the time we identified the perception problem and started addressing it with overt messaging, it was too late.

Our lessons learned from Working Wonders tie-in directly to an online discussion that I’ve been following about branding for non-profit organizations. It’s an informative conversation between branding professionals that everyone can learn from. Profit or not.

One key question that came up:

1.What happens when the public image of a non-profit organization suffers because of commercial branding strategies?

One could argue that’s what happened with Working Wonders. However, there’s more to the story than that.

If not for commercial branding practices the children’s museum never would have opened in the first place. That’s how we were able to touch so many kids. In hindsight, the execution of our marketing was not the issue. We did a great job of reaching the parents of young kids. They came in — over and over again.non-profit branding by BNBranding Brand Insight Blog in Bend Oregon

Unfortunately, in the non-profit world customer satisfaction and brand loyalty doesn’t always translate to financial viability. For children’s museums loyal, repeat customers aren’t enough. They also need loyal, repeat donors.

That’s what we missed… the big dollar benefactors. In a town of only 100,000 people those are hard to find, so we relied heavily on corporate sponsorships, and those dried up overnight when the economy tanked.

As the online discussion points out, nonprofits are often torn between two marketing objectives. But the biggest effort HAS to be directed at board recruitment and fund raising.We woulda, coulda, shoulda spent less time getting kids in the door, and more time on a grass roots effort to raise money and load the board of directors with wealthy supporters.

So if you’re working with a small, local-level non-profit, by all means, do a professional job with your marketing. Non-profit branding is absolutely important! But first and foremost, make sure you’re telling your story of need to the right people. Solidify the base of financial support first, then open your doors.

It’s always a delicate balance to demonstrate that dire need without looking desperate. That’s your challenge as a non-profit marketer. And keep in mind, if the organization does not appear grass-rootsy, potential donors might jump to unfortunate conclusions about your funding sources.

If you’re in a for-profit venture, look closely at the passion and commitment of the people who help build non-profit organizations. At Working Wonders, we were all deeply passionate about the needs of our young kids. That cause is what fueled us.

What’s your “cause?” Every great brand has one, beyond just making money. Is it written down somewhere? Is your operational plan aligned with that? Does anyone really care? These are some of the key strategic questions you need to ask yourself, before you worry about executing your go-to-market plan.

And, of course, you have to balance that thinking with the practical, numbers and sense question of, “where’s the money coming from?”

For more marketing tips and non-profit branding advice, check out THIS post:

 

 

2 Dragnet approach to bad advertising

How to do more effective advertising (Just the facts)

When I was growing up I used to watch re-runs of an old cop show called Dragnet. The theme song alone left an indelible impression on me.

Narration from the main character begins every show: “This is the city; Los Angeles California. It’s 7:18 a.m. I’m sergeant Joe Friday. This is my partner, Gannon.”

Dragnet approach to bad advertising

Jack Webb as Sgt. Joe Friday in Dragnet

Joe Friday means business. He works his case methodically, interrogating everyone, including innocent old ladies. He’s buttoned up so tight he can hardly part his lips to deliver his famous lectures.

His favorite line: “Give us the facts, Ma’am. Just the facts.”

That might be an effective approach to police work, but it’s a waste of money when it comes to advertising.

In Dragnet advertising, all you do is list the facts: Who, what, when, where, how much. It’s the preferred approach of deluded business owners who believe, “if you list it, they will come.”

Very few businesses are that good. The fact is, most of the time there’s nothing compelling about the facts. If you want to do more effective advertising, you have to move into a world that Joe Friday’s not familiar with… a world of emotional storytelling.

Facts tell, stories sell.

The fact is, one orthopedic practice is pretty much the same as the next. They’re all board certified specialists and skilled surgeons who can fix you up and get you back on your feet.

One golf shop’s pretty much the same as the next. They all sell the same big brands, it’s just a matter of scale and inventory levels.

One Toyota dealer’s pretty much the same as the next. They sell the same cars, at the same price, and offer service that’s competitively similar.

So the facts can’t be the centerpiece of your advertising. Facts have no emotional hook. No reason for the brain to pause and ponder your offer. In fact, the human brain is hard-wired to gloss right over facts and data, and move on to more meaningful messages.

The storytelling approach to advertising is superior in every way. Whenever there’s a commercial that you recall and talk about, I guarantee you there’s good storytelling involved.

Instead of the droll, Sergeant Friday talking AT people like they’re middle school kids, great spots create beguiling characters, use disarming sound effects, and offer a story line that sucks people in — hook, line and sinker.

how to do more effective advertisingGo to Youtube and check out any of the AXE deodorant commercials. (My favorite is titled “Susan Glenn” with Keifer Sutherland from 2012, but there are many great examples from Axe.) The benefit of using deodorant is embedded into every storyline, quite brilliantly. Every guy on earth will relate to these spots.

Or check out my favorite spot from the last Olympics: The brilliantly on-brand hit titled “the Jogger” from Nike and Weiden & Kennedy Portland.

I know what you’re thinking… “Sure, anybody with budgets like Nike can do great TV spots.” Well guess what. That spot was ridiculously simple and inexpensive to produce. No special effects needed. No big-name endorsement deals. No facts about running shoes. Just an incredible story of human achievement that absolutely nails the Nike brand.

Print ads, websites, even simple direct response post cards can employ exceptional storytelling techniques.The Got Milk campaign is a great example. Two words. One simple photo. And endless stories to tell.

Got Milk print ad

You don’t see any facts about milk. Not a drop. The entire campaign was built around the emotion of finding yourself milkless with a plate of cookies or a bowl of cereal, or whatever.

The emotional hook of NOT having the product was way more compelling than the facts about milk could ever be. The client at the California Milk Advisory board was smart enough to recognize that.

Business people who insist on the Joe Friday approach to advertising are probably scared and insecure. They know, deep down, that their value proposition isn’t anything to write home about. They know there’s parity in the market and a better competitor could come along any time and beat them out. The facts are not on their side.

So they think they have to say everything in every ad. And they justify the excessive bullet points by saying they have to “maximize their spend.”

Unfortunately, Friday-style facts actually minimize the effectiveness of your ads. It’s like golf. The harder you try, the worse things get.

bend oregon advertising agency blog postLet me be clear. I’m not saying you should eliminate facts altogether. If, in fact, you have a product or service that’s truly different and superior to the closest competitor, be overt about it. Absolutely!

But if you want to do more effective advertising, don’t just say it, flat out. Dragnet style. Find an engaging, emotional way to communicate that overt benefit. And keep it short. It’ll work better.

That’s a fact.

 

For additional facts on how to do more effective advertising, check out this post.

5 naming services from BNBranding advice on naming

Age-old advice on how to name a new business.

Let me guess… you want to hang up your own shingle. Or you have a great idea for a start-up, but you have no idea what to call it. This might be the closest thing you’re going to find to a DIY guide on how to name a new business.

Bend advertising agency blog post on Claude HopkinsEons ago, advertising pioneer Claude Hopkins said “a good name should almost be an advertisement in its own right.” Now, 100 years later, recent studies in behavioral economics and psychology show that many of his theories were dead on.

There’s a proven correlation between a memorable name and market value of the company.

Fortune 500 companies have figured that out. They pay naming firms huge sums to concoct new words that eventually become iconic brands. Those firms employ teams of poets, neologists, writers, comedians, behavioral psychologists and linguistic experts to come up with names like “Acura” for Honda’s luxury car division. “Pentium” for an Intel Processor. “Viagr” for, well, you know what.

Small business owners, start-up entrepreneurs and Marketing Directors of mid-sized firms don’ t have that luxury. Often they try the do-it-yourself approach. (How hard can it be, right?) Or worse yet, they have a contest. They throw the fate of their business into the hands of a faceless crowd that knows nothing about their business model or brand personality.

Naming is one of the toughest creative disciplines you’ll ever find. Alex Frankel, in his book Word Craft, said “naming is like songwriting or Haiku, but it’s even more tightly constrained. You have to evoke shades of meaning in very small words.”

In other words, you really can’t teach the average business owner how to come up with a great business name. It’s even hard to teach a great writer to do naming projects.

Analytical people have a very hard time coming up with business names that have any nuance at all. Their brains simply aren’t wired for the lateral thinking it takes to concoct a name from nothing. So they usually end up borrowed names using terms with very literal, unimaginative meaning that wouldn’t pass muster for old Claude Hopkins, much less a skeptical, modern consumer.

The most common trap is the local, “tell ’em where we’re at” business name… Just borrow a geographic location name, and tack on what you do.

In my town it’s “Central Oregon” blank or “High Desert” anything: Central Auto Repair. High Desert Heating. Central Oregon Dry Cleaning. High Desert Distributing. And almost every brand identity involves mountains.

In San Francisco it’s Golden Gate Heating or Bay Area Brake Service. In Seattle it’s Puget Sound this and Puget Sound that.

Unless there’s absolutely no competition in your local area, there’s no differentiation built in to those names. Might as well be “Acme.”(A lot of companies have names that begin with the letter A, due to the old yellow pages listing criteria. I’m glad that’s no longer relevant)

bend oregon branding firm blog post about naming your new business

How to name a new business – Law firm no-nos.

Another naming trap is the business owner’s last name. If it’s Smith, Jones, Johnson or any other common name, forget about it.

If there are a bunch of owners or partners involved, forget that too. You don’t want to start sounding like the law firm of Ginerra Zifferberg Fritche Whitten Landborg Smith-Locke Stiffleman.

If every partner has his name on the door it’s virtually impossible for the human brain to recall the brand. And it’s just not practical in everyday use… Inevitably, people will start abbreviating names like that, until you end up with alphabet soup. Can you imagine answering the phone at that place. “Hello, GZFWLSLS. How can I help you.”

However, there are times when the last name of the partners can work. Here’s the criteria:

1. The last names themselves must have some relevance, credibility and value in the marketplace. 2. The two names must sound good together. 3. The two names put together don’t add up to more than four syllables. 4. They can be connected into one, memorable name.

Real Estate branding, advertising and marketing services

How to name a new business using your last name.

My firm has a client we named MorrisHayden. Both those names are highly recognizable and trusted in their local real estate industry. Literally weeks after they hung up their sign, they had people calling, saying “yeah, I’ve heard of you guys.”

The Morris and Hayden last names together fit every criteria, but those cases are very rare.

Traditionally, the goal of a good name was to capture the essence of your positioning and deliver a unique selling proposition, so you could establish supremacy in your space just with your name. Precisely what Claude Hopkins had in mind.

Examples: Mr. Clean, A1 Steak Sauce, ZipLoc, Taster’s Choice, Spic & Span.

But literal names are getting harder and harder to come by. The playing field is getting more crowded, forcing us to move away from what the words literally mean to what the words remind you of.

As Seth Godin said, it’s “The structure of the words, the way they sound, the memes they recall… all go into making a great name. Now the goal is to coin a defensible word that can acquire secondary meaning and that you could own for the ages.”

Examples: Apple, Yahoo, Jet Blue, Google, BlackBerry, Travelocity.

Frankel says, “the name must be a vessel capable of carrying a message… whether the vessel has some meaning already poured into it or if it stands ready to be filled with meaning that will support and idea, an identity, a personality.”

Starting out, the name Dyson was an empty vessel. Now it’s forever linked with the idea of revolutionary product design in vacuum cleaners, hand dryers, and who knows what else. The brand message behind that company is very clear. This is not your mother’s vacuum cleaner!

So here’s the deal… The first rule of thumb for how to name a new business… Before you start thinking of names, think about the core brand concept.

If you haven’t already pinned down the underlying premise of your brand — the value proposition, the passion, the values, the promise — it’s going to be very hard to come up with a great name that works on several levels.

So get your story straight first. Hire someone to help you spell out the brand platform. That’s the place to start. Then, whoever’s doing the name will have something more tangible and enlightening to go on.

naming services from BNBranding advice on naming When you nail it, the naming process really is magical. Throw enough images, sounds, thoughts and concepts around, and you come out with that one word that just sticks.

Look what BlackBerry did for Research In Motion. That distinctly low-tech name helped create an entire high-tech category. I’m sure there were plenty of engineers there who didn’t initially agree with the name choice. But those dissenting voices were silenced when BlackBerry became a household word, and their stock options paid off.

 

Click here for more on how to name a new business from the Brand Insight Blog.

If you want a memorable name for your new business, one that can become an iconic brand, give me a call at BNBranding.

4 3 Easy Resolutions For Better Branding.

2014 promises to be a great year for business owners and marketers who are willing to follow a few simple resolutions. I could have written a dozen or so, but that would go against the number one resolution:

• Resolve to be short and sweet.

There’s a proven paradox in marketing communications that says: The less you say, the more they hear. So stop with the generalities and the corporate double speak. Instead, try plain English. Hone in one specific idea and pound it home with powerful mental images and just a few, relevant details.

Behavioral scientists have shown, time and time again, that our brains are hard-wired to discard information. Malcom Gladwell touches on this “unconscious intelligence” in his book “Blink.” And Bill Schley spells it out nicely in his book on micro-scripts.

The human brain has a very active built-in editor, so if it sounds complicated or confusing, we just discard it.

The brain automatically defaults to the simplest, fastest, most understandable messages. So sharpen your pencils, discard all the superfluous nonsense and get the heart of the matter.

Use fewer elements. Simple words. And images that can be “read” at a glance. Because the message with a narrow focus is the message that’s widely received.

Resolve to stop boring people.

It doesn’t take a rocket surgeon to convince you that boring stuff doesn’t sink in. Usually, if you follow resolution Number One, you’ll avoid this problem pretty easily.

The new year is a great time to refresh and rethink your marketing materials. That old Powerpoint deck you’ve been using… toss it out and start from scratch. Those tired stock photos… commission a pro to replace them. Those little pay per click ads you’ve been milking along… gone. That website that hasn’t been updated in years… don’t shed any tears over that.

Sure, you’re creating more work for yourself, or for a qualified marketer, but the process of re-inventing is well worth it. Without even thinking about it you’ll integrate what you’ve learned this past year and improve things dramatically.

Remember, you can only get their attention and hold their interest by using unusual, distinctive, and unpredictable stimuli. Just the opposite of boring stuff.

Resolve to tell stories.

Here’s another way you can avoid boring ’em to death: Tell good stories. Stop reciting data and repeating industry cliches and start using original narratives and colorful metaphors to get your point across.

Stories trigger emotions. Emotions demand attention.

Telling a good story is not that hard. Think about it…You’ve been telling stories your whole life, just probably not in a business context. Everywhere you turn you’re entertained and engaged by stories. Every game you watch is a story. Every YouTube Video and every comic you read has a story. Even email exchanges can become convincing stories.

Storytelling is a wildly undervalued in the corporate world. But if you look at the brands that have been most successful in any given market, they’re all good at telling stories. As are the leaders of those companies.

Think about the role your company plays in stories of your best customers, your key suppliers and even your biggest competitors. Are you the Ruler or the Reformer? The Maverick or the Mentor? The Guardian or the Gambler?

Those archetypes show up in every story ever told.

What’s your story this year, and how are you going to tell it? Do you have a David & Goliath story you could be telling? Or maybe a coming-of-age story. Imagine how well that would play, relative to another, boring Powerpoint presentation.

Resolve to stop throwing money at the latest, greatest deal of the day.

This is for retailers who are constantly barraged by offers to run more and more offers. Stop the madness!

Constant discounting is not going to help build your brand for the long haul, unless your brand happens to be WalMart, Kmart, or Dave’s Discount Deal of the Day Store.

Otherwise, it’s just another way of screaming Sale! Sale! Sale! All the time. It undervalues your product, attracts the wrong kind of customers and sabotages your brand narrative. Is that the story you really want to be telling?

If you’re going to do Groupon-style discounting, look at it this way: It’s a short-term cash flow band aid. Nothing more. If your business is very seasonal it can help get you through the slow months, but it’s not a long-term marketing strategy.

And most business owners are beginning to see that. According to Fast Company Magazine, the daily deal industry is in a “healthy period of reassessment right now.” In other words, there’s a big shake-out going on and even the big guys, Groupon and Living Social, are re-thinking their value propositions.

Most success stories in that business come from retailers who use daily deals as a loss-leader tactic… get them in the door with a discount coupon, then up-sell them into a much larger, more valuable product or service.

But remember, the people who regularly use Groupon are bargain hunters, so that upselling idea may or may not work. And if you’re an ice cream shop, upselling from a scoop to a sundae won’t really move the needle.

6 Why most marketing videos fall short. (Unscripted advice on the missing ingredient)

Online video is the new TV. These days you can delve deep into any subject under the sun just by browsing YouTube. Seriously. The volume of titles is staggering… 300 hours of video us uploaded to YouTube every minute. Five billion videos are viewed every day, and a high percentage of them would be categorized as marketing videos.

But only a small percentage are meeting the marketing objectives of the companies that post them.

Here’s the problem: Most of the marketing videos you see online are nothing more than crummy powerpoint presentations, transferred to a different medium. Most of these “explainer” videos completely miss the fundamental benefit of using video… They don’t demonstrate anything. They don’t capture the dramatic, emotional hook of the product or service. And they’re not the least bit visually appealhow to make better marketing videos ing.

Video is supposed to be a visual medium. What you usually get online is just a “talking head,” where all you see is some guy’s face sitting in front of his laptop camera. What they’d refer to in politics as “bad optics.”

So here are some tips if you’re thinking of producing marketing videos:

First of all, before you spend a dime shooting fancy drone footage, determine whether or not video is the right medium for the message you’re trying to convey. Just because you can to do a marketing video yourself doesn’t mean you should.

Let’s say you’re launching a new service… often those are tough to show. You can talk about it, explain it, and do your pitch, but there may not be anything really to demonstrate on camera. You may not need video. Here’s a good test… If you can walk away from the video screen and just listen to the audio without missing anything, you know it’s not a good use of the video medium. It could have been an audio podcast.

A new product, on the other hand, can be held, touched, and demonstrated quite effectively on camera. So quit talking about it, and show it in action. Rather than rambling on about the features of the product, show the outcome of using it… the happy ending that comes from your products.

If you decide that video is, in fact, going to be a fundamental component of your marketing efforts, then here’s what you need:

High-quality video footage that’s differentiated from your competitors. You have to show something that no one else is showing. A visual idea that you can own. Remember, it’s supposed to be show AND tell. Not just tell. Talking heads don’t show, they just tell.

Eons ago, before the advent of YouTube, I worked on long format corporate videos for big brands. We were constantly looking for ideas that did NOT involve a corporate talking head. Because they’re boring, with a capital B. And when we absolutely had to use a spokesperson, we made darn sure that person was attractive, well spoken and downright great in front of the camera.

Because I have news for you… no one wants to sit and watch your lips move. Unless you’re a supermodel, or the world’s sexiest man, people aren’t going to tune in just to see your face. They might be interested in what you have to say, but they don’t care about seeing your face in lousy light, all distorted and unappealing. Like Shrek.

Unless your brand hinges entirely on the stunning talent and personality of your leader, dump the straight, talking head approach. If you insist on talking at the camera, cut away and show something, anything, but your face. Study how the great documentary filmmakers do it… it’s visual storytelling, not just audio. The script would be written precisely for that reason… so you know when to cut away. What to show that goes with the story.

online marketing video script advice from BNBrandingThe new camera technology makes it easier than ever to demonstrate the product and capture the action in dramatic fashion. I saw a guy playing ping pong the other day with a Go Pro mounted on his head. Stand in a lift line at your local ski area and you’ll notice that every other helmet is mounted with a camera. Visit the most popular tourist attraction in your area, and you’ll see a huge percentage of people capturing it on video.

A poignant story. What most people don’t understand is, you need a script even if there’s no narration or voice over. The script IS the story. So you need a well-written script that follows your brand narrative. The script is the missing ingredient in most marketing videos, but from a communication standpoint, it’s the single most important component.

First, figure out what you need to communicate. What’s the point? What are the most convincing benefits? Then weave those into a story of some kind. As the old saying goes, “Facts tell, stories sell.”

The only way to get a story into your marketing videos is to write the script first. Then shoot video second. Better yet, write the script AND do storyboards before you start shooting.

For instance, if you’re selling a new bike write a script that focuses on the sheer joy and freedom of riding. (Think film short, not sales pitch.) If you’re introducing a new type of sprinkler system, forget about the technical product features and focus on families enjoying the lush, green grass.

The fact is, lousy videos can fail just as easily as any other marketing tool. So before you jump on the video bandwagon, take time to hone your message, and develop a story that’s worth telling. In tips for better marketing videos on the brand insight blogscript form.

Small HD cameras and simple video editing software have made video production as easy as doing a powerpoint presentation. Anyone can be a video producer, so small business owners and marketing coordinators are jumping on the bandwagon.

Don’t expect to just go out and get some HD footage and then create something brilliant in post-production. It seldom works that way. First you have to nail your messaging, then shoot the script.

And always remember…. consumers have high expectations for video. We’re accustomed to seeing stuff on the big screen… Hollywood quality stuff with high production values. Be very careful if you’re going to cut corners.

The marketing brains at GoPro nailed it with their “be a hero” campaign. They show their product in action. It’s exciting. GoPro fans can imagine themselves there. In fact, many of the promo videos were submitted by real customers. It’s gorgeous footage, and everyone tells a story of some sort.

So please, remember that video is not the be-all, end-all of any marketing effort. It’s just one part of the mix. It can be a very effective part if it’s done right.

 

6 Jimmy Johns owns the idea of fast sandwich delivery

Want to build a brand? First, own an idea.

I think all entrepreneurs should study advertising. Entrepreneurs are full of ideas, and advertising is an industry of ideas… Ideas on how to build a brand. How to build credibility and authenticity for existing brands. How to engage an audience and convert leads into sales. It’s those big ideas — paired with exceptional execution — that produce growth for clients and vault agencies into the national spotlight.

The same can be said for start-ups. Businesses that start with a big idea, and then stick to it, are the ones that become iconic brands.

Maytag owns the idea of worry-free appliances. For more than 30 years their advertising has communicated dependability brilliantly with the lonely, Maytag repairman who never has anything to do.
Now he even has an apprentice. The Leo Burnett Agency recently introduced a strapping new version of Maytag repairman… a side-kick who can talk about technological advancements and appeal to younger women.
The Maytag repairman character is so iconic Chevy actually used him in a television spot touting the Impala’s reliability. Maytag owns the idea. Chevy’s just borrowing it.
Maytag’s core brand idea helps segment the market and differentiate them from the competition. Nobody else in that category will try to claim the idea of “reliability.” Won’t work.

Google knows how to build a brand. They own the idea of online search. So much so, it’s become a verb. “Google it.” It’s the world at your fingertips.

Campbell’s owns the idea of “comfort food.” That brand is not about flavor, it’s about the rainy day when your kids are home for lunch and you sit down for a bowl of soup and grilled cheese sandwiches. Campbell’s warms, comforts, nourishes, takes you back in time and puts a smile on your face. All for less than a buck.

how to build a brand - own an idea like volvo owns safetyVolvo owns the idea of safety. That’s their position in the automotive market. Even though driving an automobile is inherently risky, people believe they are safe in a Volvo. And that belief feeds the folklore that sustains that idea and brand image.

Funny story about Volvo shopping… Some years ago I seriously considered buying a Volvo SUV for my family. I did the research and went to the local lot for a test drive. But the salesman blew it. He was so adamant about the brand’s safety record, he tried to convince me that Volvo actually used Swedish convicts as live test dummies.

True story, he claimed. That’s how Volvo developed such a safe car… by crashing them with convicts at the wheel. Needless to say, Volvo’s reputation for safety and the car’s luxurious ride couldn’t trump the salesman’s idiocy. I bought an Audi.

When Subway started they owned the idea of healthy fast food. It was healthier than McDonalds, and Jerod lost like a thousand pounds just by eating Subway Sandwiches.

Jimmy Johns owns the idea of fast sandwich deliveryNow Jimmy John’s owns the idea of FAST sandwiches. Not fast food, or sandwiches like Subway, but sandwiches delivered quickly, wherever you may be. That’s a good strategy of differentiation, especially because their sandwiches aren’t all that great. If they stick with the idea, and execute the idea religiously by actually delivering every sandwich faster than anyone expects, they’ll have a winning business formula. It’s a core brand concept that’s easily demonstrable in advertising. And that’s particularly important when it’s a category of parity. The sandwiches at Quiznos, Tomo’s, Jimmy John’s and Subway are all pretty much the same.

Insurance in another such category. It’s a fairly even playing field in a low-involvement category. (Let’s face it, dealing with insurance is about as much fun as going to the dentist.)

Allstate owns the idea of mayhem. In their current advertising campaign the agency put a face on mayhem, and gave him a smart-ass personality. Everybody knows somebody like that, you just hope your daughter doesn’t date the guy

State Farm has a long-running slogan, “like a good neighbor.” Unfortunately, neither the advertising nor the customer service support that idea.

Geico saturates the airwaves with humorous advertising and outspends everyone in the insurance category. Thanks to an annual budget of $500 million a year the Geico Gecko and the cavemen have become fixtures in American pop culture. But the message is all over the place. There’s no core brand idea that anyone can grasp.

Guess who owns the idea of sparkling white teeth? It’s not Colgate. Not Crest. Not a toothpaste, at all. It’s Orbit chewing gum, a fairly new brand from the master marketers at Wrigleys. The Orbit girl “cleaning up dirty mouths” campaign helped them capture the #1 spot in the chewing gum market.

(I think Orbit copied the Progressive Insurance advertising. Progressive is the sparkling white insurance brand, for whatever that’s worth.)

Coming up with a core brand concept is hard work. You really have to dig. And think. And explore.

Most of the good ideas have already been done, or can’t be owned, authentically. That’s the trick… finding a conceptual framework that honestly fits with your product or service offering. (BNBranding can help you with that.)

Many big brands don’t own an idea at all. JCPenny, or JCP as they’d like us to say, doesn’t own an idea. They’re trying desperately to be younger, cooler and more hip than they used to be, but the name change and the slick new execution of of their print advertising doesn’t make up for the lack of idea ownership.

Whether you’re selling insurance or chewing gum, building a brand begins with a simple idea. Anybody can borrow some money, hang up a shingle and start their own business. But the companies that last, and become iconic brands, almost always start with a clearly defined, highly demonstrable idea that goes beyond just the product or service.

Do you need help with your brand messaging? Get started right away. Click here.

Want to learn more about how to build a brand? Try this post.

6 Truth, Lies, and Advertising Honesty.

I don’t comment on politics. However, the recent political dialog has certainly inspired this week’s speech on brand authenticity, honesty and truth in advertising.

In politics, the standards for lying are lower than they are in business. You can sling mud and hurl half-truths at your opponent and get away with it. He’ll simply sling it back.

In business, it doesn’t work that way. If you say nasty things about your competitors, you’ll probably get sued. It’s actually illegal to blatantly mislead consumers, and if you live in a small town, like I do, disparaging a competitor will almost always come back to bite you in the Karmic ass. Continue reading