Cash flow, creativity, and compassion are not mutually exclusive™

Strike 2 for PepsiCo

Pepsi’s sales of Gatorade are down, despite the launch of a very expensive and, frankly, self-indulgent marketing campaign. That makes two marketing missteps for the beverage giant, after their February packaging debacle with Tropicana (listen to this NPR interview about it with friend of Red Slice, Scott Montgomery of BaM Advertising). I would not want to be that CMO right now, I’ll tell you that.
The NPR interview speaks enough about the rebranding mistake, so let me share why I personally hated the new “G” campaign from the very beginning. And I mean “hated” – I normally don’t feel that strongly negative about ad campaigns, but this one really got under my skin and made me not want to ever buy the product – which sounds like the similar reaction that others may have had, given their sales.
When the “What’s G?” teaser TV ads first appeared, they showcased a black and white haunting collage of famous athletes, one after the other, as the camera seems to pan down the line. Each of them have about a half a second as the primary focus, and they are shown talking about the mystery of “G” – “the heart, hustle and soul of athleticism.” Now I am all too familiar with the power of teaser ads to leave just enough mystery as to whip up curiosity and viral marketing power. When done effectively, they really can work well. In this case, not so much.
Why? Because they just annoyed me. They were so obscure, I was confused. I had no idea what this product was for and more importantly, why I should care. First rule of marketing: What’s in it for me? And with the haunting music playing in the background (and the disturbing talents of Jabberwocky at the end that kind of freaked me out in the same way that clowns and mimes do), I was left very uncomfortable, confused and angry. I was also a little offended that they exploited Muhammed Ali the way they did in the ad. Was this some kind of artistic, high brow reference I was not supposed to understand? Was this just some inside joke among smug ad execs who said, “If people don’t ‘get it’ then it’s not for them anyway?”
Ok, maybe I’m not the primary target audience. But I admit I was intrigued enough to look online and try to find out what the heck this was all about. And at first, I couldn’t find anything. What kind of tie-in is that? You have piqued my interest, even if in a negative way, and now you leave me completely hanging?
According to the article in the WSJ, the goal of the campaign was to make the brand cool again and it backfired. I’ll say. Bill Pecoriello of ConsumerEdge Research states in the article, “They asked, ‘What’s G’ and the problem was, people weren’t sure.” Consumers complained they were confused as well, which explains the sales slump.
When you try to be so obscure and cool that you confuse most people, and more importantly, your target audience, you have a messaging problem and you are out of touch with what your customers want and need. That’s just rebranding run amock.
I’m afraid to ask what strike #3 will be for Pepsi’s marketing department. And all of this coming after a pretty well-received relaunch for the core Pepsi brand look and feel. Yikes.
Cash flow, creativity, and compassion are not mutually exclusive™

Top Tips for Landing Page Success

Are your website landing pages for products, services – or even just lead capture – not getting you the results you want? Are people getting to the page but then failing to convert? Then check out these great tips from a TrafficSwarm video. In the video, he walks you through some audits of real landing pages in a straightforward, easy to understand way.

Remember, landing pages are different from your site’s shopping cart or product list. A landing page needs to correspond to a Search ad, directory listing or specific link placed on other sites.

Here are some of his top tips:

1) One landing page, one action requested: The landing page should be unique – don’t try to sell all products on one page, or even have distracting links and sign up forms all over it. While you might think you are giving people options, you just end up confusing them and do not get them to take the action you really want them to take. “One purpose for one landing page” should be your mantra. As stated above, this is different then a site shopping cart or product directory, where you can list multiple items – landing pages correspond to one Search ad, email campaign or listing on another site.
2) Grab attention with a strong headline: Start with a strong, benefit-rich headline, often in large font in a different color from the rest of the page. If you can evoke emotion or visually paint the benefit, even better. Remember, sell benefits, not features!
3) Page format matters: A 3-column page format does not work as well as 1 or 2 column formats for landing pages. Again, this is why your landing page may need to look different from your regular website pages. This helps keep the visitor focused.
4) Use testimonials the right way: Sprinkle testimonials through the page, rather than having a section announcing “Testimonials” – this will automatically make people turn off. Highlight quotes in some way, whether with shaded text, or italics. But not necessarily all in bold (see #5).
5) Go easy on the BOLD: When you try to highlight everything, you end up emphasizing nothing, so ensure you only BOLD key phrases or words that you really want to shine. Bolding everything won’t help you.
6) Use relevant questions and copy: Questions are great ways to headline a landing page, but make sure the question is compelling and relevant to the rest of the copy. Same is true for the ad – make sure the ad copy is relevant to what the visitor will see on the landing page and is not a bait and switch.
7) Ask for the minimum amount of info: The more information you request from a visitor in a form, the less conversions you will get. Try splitting this into a 2-step process: ask them their name and email in one screen, then give them more info on the next one and ask for a bit more.
8) Use a quiz to increase curiosity: If you are using a quiz to get signups or sales, ensure the quiz tests their knowledge in a way where they are absolutely compelled with curiosity to find out the answers – then you can get them to sign up in order to get those answers.
9) Leverage the Submit button to promote benefits: Use the Submit button as a chance to resell them on the benfits – “Yes! I’d like to save money” or something like that. There are subtle ways to entice action.
10) Avoid a color no-no: Green copy tends to look bad on a white background due to minimal contrast – try red or black for emphasis.

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Red Slice is a branding, marketing and communications consultancy that helps organizations tell their story. We provide both strategic and tactical marketing support to small and mid-size companies. Let us help you engage, inform, and delight your target audience and keep them coming back for more. Visit us at www.red-slice.com

Cash flow, creativity, and compassion are not mutually exclusive™

Lay Off Starbucks!

Why so much hate? Starbucks was called out all over the web and media today for plans to open a stealth branded location in Seattle under a different name. Only the WSJ seemed to report just the facts without the hatred.

Basically, Starbucks is testing out how well it fares if it removes it’s perceived corporate brand from a coffee shop and tries for a more neighborhood feel, called 15th Avenue Coffee and Tea. I have news for all those doomsayers out there who say this is a sign that SBUX is in trouble: this is not the first time Starbucks has done this. I beleive they had a concept location in 2000 in SF’s SoMa neighborhood.

I am constantly amazed at the level of venom directed at Starbucks. Here is a business that changed the way America drinks and thinks about coffee. Pick up Howard Schultz’s biography, Pour Your Heart into It if you ever get a chance. This book made me love Starbucks and all it represents. Howard had a dream to create a third place in society outside of home and work where people could gather and build community. He wanted to recreate the feel of European coffee bars here in America, by offering good coffee, comfortable settings and a place to gather. And by all accounts, he succeeded in that mission.

People complain about the “real” neighborhood coffee houses not getting their props; that Starbucks is trying to “manufacture” the setting that these more homegrown varietals provide. But I’ve got news for all of you haters out there: Those coffee shops have done extremely well as a result of Starbucks changing the American perception of coffee. None of those smaller guys had that kind of impact. Are they complaining that their profile has increased as a result of Starbuck’s mission and marketing? Some say that Starbucks has put many of those out of business. But I say, not all of them have been put out of business; those who are good have thrived and survived as a result of Starbucks shifting Americans’ attitudes towards coffee and coffee shops. It sort of reminds me of the Sour Grapes tale: just because Starbucks was able to change the culture and profit from it, some of the smaller guys (not all, but some) are bitter. And Starbucks has indeed done a world of good at raising awareness of small coffee farmers and community causes, as well as just educating the public about coffee in general.

What else can Starbucks do but try to test out such concepts? They have such vicious critics of their “big brand” feel so they want to try a new approach. Here’s my thing: if people enjoy the brand experience, the coffee, the ambience of a non-branded Starbucks, what difference does it make who owns it? The experience is still the same to that consumer; their need is still met, the community still gathers there and benefits. When people complain about it just because it is Starbucks behind it, it just seems like a childish tantrum to me.

What do you think? Would love to hear different points of view on this to try to understand all the hatred towards this brand.

Cash flow, creativity, and compassion are not mutually exclusive™

Ask The Expert: Bridget Gailey on Color

People always ask when embarking on a branding effort, “How do I choose colors?” Some prefer to go the route of choosing colors they love – after all, it’s my own business, right? I should be able to pick any color I want. But it’s important to remember that you are trying to visually communicate a message. You have to remember to take a customer-centric point of view and design everything to speak to that ideal customer. And colors – consciously and sub-consciously – say a lot about who your company is and more importantly, who your company is for.

In this first Ask the Expert column, I talk to Bridget Gailey of TRAY Creative and Bridget Gailey Design. She and I have partnered on clients, and she is a brilliant and fun designer and consultant who really knows how to execute visually on a strong brand strategy. Whether you need websites, logos, brochures, or packaging, Bridget’s goal is to make the world “stunning and smart.” Her latest venture, TRAY Creative, is all about “social change mareketing”: branding companies who are socially responsible and helping them meet their business goals.

RS: Hi Bridget! Thanks for joining us. How important is color selection to the buying process?

BG: Selecting an appropriate color palette for your business is critical. 60% of the decision to buy a product is based on color. The brain registers shape first, then color, then content, when recognizing or remembering something, like a logo. Think about a well known brand, like Target or UPS, then imagine if you saw the Target logo in blue or a UPS truck that was orange…would you even register it?

RS: What do certain colors mean? Is it really that big of a deal?

BG: Color can evoke strong emotional responses and trigger memories for people. Color also has deep significance with regard to specific meaning. For example, green signifies “go”, money, or nature, while red signifies “stop”, heat, or love. Some meaning is universal, and some meaning is cultural. Sometimes gender or ethnicity can play a role in color perception as well.The bottom line when it comes to color is to be mindful of why you are selecting it and what it will communicate. Don’t just pick your favorite colors. Think about your audience and with whom who you are trying to connect. What colors will resonate with them and evoke the appropriate emotional responses about your business? Also consider the industry you are in and who you want to be within the industry. What colors are your competitors using? Is it more strategic to blend in with them, or to stand out? In what way can color make your business distinctive? If you have a business in the finance industry, maybe you can use green, but because you want to be viewed as more contemporary and friendly, you could go with a lime green or blue green to differentiate yourself.

RS: What other factors should people consider when choosing colors for their business and logo?

BG: Will the colors you choose translate well and consistently across different mediums? Are they too trendy and will they become dated? Are they unintentionally evoking any negative connotations? With a little research on the meaning of color, your customers, and your competitors/industry, you will be able to make a well-informed decision about choosing colors for your company.

Cash flow, creativity, and compassion are not mutually exclusive™

Don’t Assume, Ask

This is the kind of perspective and info you get when you ask a member of an audience group what is really going on – and don’t make stereotypes or pre-judgements. Apparently, teens are not using Twitter and FB as much as many people think. Again, this might be just one perspective, but he seems to have done some research with his peer group (I haven’t seen the full report so I can’t say for sure). I love that this 15 year-old intern’s report is taking the investment community by storm. Power to the people. Lesson here? Don’t guess what your customers want, need, or how they want to be communicated to: ask them.

Cash flow, creativity, and compassion are not mutually exclusive™

Spill the Wine

According to today’s WSJ, the luxury wine market is not faring well in this downturn. As many of you can guess, people are cutting back and the spending orgy of the last few decades (of which, I admit, I took part on many a Napa/Sonoma bus trip) is quieting down. We even discovered the joys of cheap wines at the Fremont Wine Warehouse here in Seattle, where they only sell bottles that cost $25 or less from Washington and around the world. You can find some aweseome gems at that price, so why bother plonking down $80 for a bottle of Silver Oak? (on release day at the winery, of course; in a restaurant, it will cost 2 or 3x that).

Some brands are choosing to go with the flow and discount, either through retail outlets or through their distributors. But others are resisting this ploy and hoping to keep their “luxury brand” status intact. As one Napa distributor stated in the article, “If you’re a $90 bottle of wine and all o the sudden you’re on the Internet at $50, how do you ever become a $90 bottle again?”

Even restaurants are offering more bottles at a more moderate pirce range than in the past. And they are trying to offer more wines by the glass as people cut back as well.

I’m not sure what the right answer is for a luxury wine brand. I guess like with everything related to branding, it depends on their unique customer profile. There’s the reality of reduced revenues right now, but you could damage your brand if you sink too low and then try to bounce back in better times – which might have more of a long-term impact. American wines have indeed been a bit overpriced in the last few decades, but a precious few have been worth it. Innovative wineries are even turning to Twitter and Facebook to try to cultivate new customers directly – and some have been showing success with that. Only time will tell, I suppose.

Cash flow, creativity, and compassion are not mutually exclusive™

Pulling at our Heartstrings

I am a huge proponent of using the power of branding for good in the world. Many a strong brand campaign has helped raise money, build homes, stop poverty, and fight disease. Non-profits are now getting hip to the fact that effective marketing can be used to incent change and action – and not just to sell ShamWows.

Have any of you seen the heartwrenching TV ads for the ASPCA, featuring singer Sarah Maclachlan? While her haunting melodies play, we are shown images of frightened, neglected and then happy, safe dogs and cats. Every time I see this TV spot, I break down in tears. The campaign is a large effort launched around raising the profile of the ASPCA. The look and feel of the TV ads drive you to a similar branded website, which also corresponds with an email newsletter. This rebranding effort started in 2005 and was the result of work with Saatchi and Saatchi. It was designed to raise funds and differentiate the ASPCA from the other animal-related charities out there. The main theme is “Speak for those without a voice” and this has extended into the future phases of the rebranding. The fresh color scheme and style guidelines are hopeful, professional, neat and heartwarming. The bright orange and soft gray palette makes you feel hopeful; it also modernizes and freshens up the image of this venerable organization, so that I subconsciously feel they know what they are doing and will spend my donations wisely.

This is what attracted me, via the newsletter, to become an ASPCA Guardian. With just $18 a month, I can make a difference in the life of a rescued animal. As part of this branding campaign, I also will receive a free T-shirt and a photo. Sort of like adopting a child. Their process to get me from awareness to action is flawless and multi-faceted. I have seen the ads, which then primed me for acting on a Facebook petition, which then led me to sign up for an email newsletter, which now ultimately has led to my donation. There is also the quick path of just seeing the ad, and then going to the site to donate. But I love that they give you options to act according to your own readiness. That is effective multi-touch marketing.

On a personal note, I hope you will also join me in this Guardian program to help cats and dogs have a better, happier life and get them out of abusive homes and situations.

Cash flow, creativity, and compassion are not mutually exclusive™

Brand Before Anything Else

Don’t let the economic downturn fool you: a small investment in brand building strategy now will reap rewards later on. I know budgets are tight, but just paying for someone to make you a pretty logo with no brand strategy behind it will hurt you in the long run. This oldie but goodie article from Business Week reviews why branding matters.

As we emphasize at Red Slice, don’t spend one cent on marketing until you determine your brand strategy. Your brand, as the article steps through, is your personality, its the promise you make to the world and its your “lifestyle.” I promise you that if you don’t think through your brand strategy before developing your logo, website, etc. you will be hurting later on. Brand strategy can be done in a matter of weeks, not months, if you really devote the time to it.

I love this quote by Steve Manning, managing director of Igor, a branding and naming firm based in SF: “If you have not specified your company’s brand, don’t spend another dime on marketing until you do. While everyone’s familiar with megabrands such as Apple (AAPL), Nike (NKE), and Virgin, small companies can also develop potent brands and market them successfully.”

Cash flow, creativity, and compassion are not mutually exclusive™

Twitter Kidnappings

The WSJ reported this morning about companies’ growing fight to stop Twitter imposters opening accounts in their names. One such imposter is using this ploy to try to get free passes and new business as ransom.

So far, Twitter has responded quickly and efficiently to complaints by shutting down false accounts but insists they can’t yet stop people from opening such profiles in the first place. They are planning to put a security check in place for celebs and public figures but the cost to do this for all known companies is a bit prohibitive. Twitter says it also prohibits unauthorized use of trademarks as part of its policy.

When it comes to branding, such a false Twitter account can be deadly. Anyone posing as you, putting messaging out into the ether, could harm your brand. And even if they don’t post anything seemingly harmful, you have someone out there in your name not controlled by your message – and leaving your fans following the wrong guy.

But the award for Biggest Cajones in this respect must go to marketing consultant David Goebel of Goebel Group. He created a Twitter profile in the name of amusement-park operator Cedar Fair in Ohio – for Buckeyes out there, they own Cedar Point. Then, he had the chutzpah to offer to relinquish the name account back to them in exchange for season passes to the park, as well as “suggesting” they hire his firm to oversee its Twitter account. Goebel did relinquish the account and was quoted as saying,that they should have given his proposal “some consideration.”

Yowsa. That’s one business development strategy, I’ll give him that. Folks, I don’t know about him, but I don’t have that kind of time to open up false Twitter accounts and keep them going. And I don’t subscribe to the philosophy that a good client relationship starts with extortion.

Talk about tarnishing your brand.

Cash flow, creativity, and compassion are not mutually exclusive™

I (heart) Kay Hirai

Attended a fabulous workshop today hosted by marketing dynamo and friend of Red Slice Whitney Keyes and Kay Hirai, owner of a Mercer Island salon called Studio 904. The salon has such a unique mission and brand and it is all based on community involvement.

The workshop was about Kay’s experiences with Social Entrepreneurism, the idea that companies can partner with non-profits in order to give back to the community and make money. Kay has built a salon focused on employee education, community involvement and philanthropic spirit – and oh yeah, they just happen to do great hair. Salon 904 wants to make the world a better place; and they accomplish this by doing hair. Kay was inspired to give back even more with the death a few years ago of her beloved Terrier, Yumi. She even has an adorable blog called Hair, Dogs and Cards which brings together her 3 passions (she uses cards as a way to help her philanthropic efforts as well).

What does all this have to do with her business of hair? Well, she stands out in a sea of salons as standing for something greater. Her activism has not only given back to a community that has supported her salon for over 30 years (“The community keeps me in business, shouldn’t I be doing something to thank them for that?”), but she creates loyalty and attracts more customers by making her business mean something more than your average “cut and blow.” This is a business to which people want to give their money. And then when she wants to have a simple fundraising event at her salon like she did last year for Ginger’s Pet Rescue, the community comes out in full force and helps her raise over $10,000 – and she get tons of great PR to boot. That is the power of what one person can do.

I thought long and hard about her mission and the way she said she accomplishes this mission by doing hair. Other businesses could change the world and make it better as well through their own unique gifts and niches. I hope to make the world better for abused or neglected animals through Red Slice. When you start to look at your business in this way – as a means to a great end – the possibilities start to seem endless.

Early in my career, I was a marketing manager for Discovery Networks. My job was to offer marketing budget and support to cable operators so they could help the community, improve their tarnished image and attract loyal customers. I learned from this experience that it doesn’t matter why a company might do something good – it only matters that they DO something. In the end, when we helped fund a truckload of food being donated to a local food bank on behalf of a cable operator and gained them loads of good press and goodwill, the point was that we helped give food to the food bank. To me, this was a much better use of marketing funds than more ads or direct mailers. I didn’t care how or why the philanthropy happened, so long as I got to make it happen at all. And it made me look at that company in a new light.

Some might not agree with that. But I see no reason why activism and for-profit businesses can’t have a win-win. Win for the business sponsoring or coordinating it and a win for the benefiting organization and community at large. I have a few clients devoted to making philanthropy a lynchpin of their brand-building efforts. And in this era of social change and activism, people are much more likely to buy from you than your competitor if they know you stand for something worthwhile and that you “walk the talk” in giving back.

So, how can you use your business as a platform to make the world a better place? Or just impact the life of one person or animal in need within your community? Today’s class got me thinking that you don’t have to be an expert or a large well-funded foundation. You just have to care. And when you do, and work from your heart, the customers and profits will often follow.

Note: Photo credit to Kay Hirai