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Spanning Silos the new CMO Imperative
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INTERNATIONAL MARKETING
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16
features: 8 Spanning Silos, the new CMO imperative
columns: 6 publisher's letter
7 contributors: Who’s who in industry
14 travel: International marketing par excellence!
16 marketing: Marketing your marketing
18 insights: Taking an Incentive program international
20 incentives: A world of Incentives...
22 branding: Light the fuse and be ready to catch the waves
26 optimize: Why the internet hates your business
28 exhibit: How to measure exhibit staff training
31 ad-index
32 last word: Coupons, Brands & the Current Economy
34 off the cuff: Quotes and Trivia
22
vol. 6, No. 08 2009
8
COVER & COVER STORY PHOTOGRAPHS PROVIDED BY DAVID AAKER
19
4 Brilliant Results | August 2009 www.bri l l iantpubl ishing.com
The world has gone global and while you may think your
company is local, your consumers are exposed everyday
to the world as they tweet, view YouTube and catch-up on
Facebook or one of the burgeoning blogs. Yes, business
today is anything but ‘business as usual’. All of which
means that your company needs a new marketing plan…
a 21st century plan.
If your organization is large enough to have divided
itself into silos – be they country, product, or division –
then reading David Aaker’s insights into spanning silos
is an excellent fi rst step in developing that 21st century
plan. Large or small – million dollar or million penny
marketing budget – your plan needs to include ‘old school’
print, television, and radio where the current economy
is contributing to some amazing deals and advertising
packages. But, remember it is the 21st century and to
really grow your brand you need to include the new ‘media’
– viral marketing, stellar websites and the de rigueur social
network touchstones.
And, yes, you can grow by word of mouth. If you have
any lingering doubts about this, then be sure to read
Martin Lindstrom’s article. However, now that the power is
migrating to the people, it is important to base your social
technology on transparency, honesty and substance
because the goal is not to be viral, but to empower and
be authentic.
To assist you in staying ahead of the curve in this brave
new global world, Brilliant results had again put together
a powerful mix of marketing insights from leaders in their
fi elds. So, whether international or stateside, sit back and
let your mind travel across this month’s plethora of great
ideas and remember to
Have A Brilliant Day,
publisher’s letter
Brilliant Publishing LLC9034 Joyce Lane
Hummelstown, PA 17036Ph: 717.571.9233Fax: 717.566.5431
PUBLISHER / ADVERTISINGMaureen Williams
717-608-5869
EDITORIALEditor in ChiefMaryAnne Morrill
Senior EditorMichelle Donofry
Style EditorCharity Plata
Asst. EditorMolly Anika
CONTRIBUTING WRITERSMary English, Arnold Light, CTC, Martin Lindstorm
Alex Ribble, Barry Siskind, Dr. Peter Tarlow
PRODUCTION / DESIGNArt DirectorJeremy Tingle
Brilliant Results is published monthly by Brilliant Publishing LLC,
9034 Joyce Lane Hummelstown PA 17036 (717) 608-5869; Fax#
(717) 566-5431. Postage paid at Mechanicsburg PA and additional
offices. POSTMASTER please send address changes to Brilliant
Results, 9034 Joyce Lane, Hummelstown PA 17036. Volume 6.
Number 08. Brilliant Results subscription rates: one-year $120;
Canadian $160 USD; one-year foreign $225 USD. All subscriptions
are non-refundable. Copyright © 2009 Brilliant Publishing LLC. All
rights reserved. The publisher reserves the right to accept or reject
any advertising or editorial material. Advertisers, and/or their agents,
assume the responsibility for any claims against the publisher based
on the advertisement. Editorial contributors assume responsibility for
their published works and assume responsibility for any claims against
the publisher based on published work. No part of this publication can
be reproduced in any form or by electronic or mechanical means,
including information storage and retrieval systems, without written
permission from the publisher. All items submitted to Brilliant Results
become the sole property of Brilliant Publishing LLC. Editorial content
does not reflect the views of the publisher. The imprints, logos,
trademarks or trade names (Collectively the “Marks”) displayed on
the products featured in Brilliant Results are for illustrative purposes
only and are not available for sale. The marks do not represent the
implied or actual endorsement by the owners of the Marks of the
product on which they appear. All of the Marks are the property of
the respective owners and is not the property of either the advertisers
using the Marks or Brilliant Results.Maureen [email protected] 717-608-5869
brilliantresults™
Have A Brilliant Day,
6 Brilliant Results | August 2009 www.bri l l iantpubl ishing.com
contributors
a Mary English is the Vice President of Marketing for Hallmark Insights, the leader in providing business incentive solutions and personalized reward programs for employee recognition, customer acquisition and retention, sales and dealer incentives, and health and wellness programs. To learn more, go to HallmarkInsights.com.
d Arnold Light, CTC, CEO & President of Fire and Light has 35 years of marketing experience specializing in incentive and loyalty marketing helping multinational corporations develop and implement B2B and B2C results oriented performance improvement programs. For additional information visit www.lightconsults.com.
e Martin Lindstrom, a respected branding and marketing expert, was selected as one of the world’s 100 most infl uential people by TIME magazine. The founder, CEO and Chairman of the LINDSTROM company (Sydney), Martin speaks to a global audience of approximately one million people every year. He has been featured in numerous publications, and on major broadcast and fi nancial television network programs, his previous book, BRAND sense, was acclaimed by the Wall Street Journal as one of the fi ve best marketing books ever published. His latest book; Buyology – Truth and Lies About Why We Buy – a New York Times and Wall Street Journal best-selling book has been translated into 37 languages and is on almost all major best-seller lists worldwide.
g Alex Ribble has been an Internet Marketer for over 10 years, and currently serves as Director of Project Management for Enthusiast Web Solutions a fi rm in Monrovia, CA. Alex is an avid Search Engine Optimizer & Copywriter, and current Board Member of the Los Angeles chapter of the Society for Marketing Professional Services (SMPS). For a FREE EVALUATION of your websites’ performance, contact Alex at [email protected]. f Barry Siskind is an internationally
recognized trade and consumer show expert. He is author of six bestselling business books including Powerful Exhibit Marketing. Read his newest book, Selling from the Inside Out for an in depth guide to a successful sales career. Visit Barry at www.siskindtraining.com.
j Dr. Peter Tarlow is a founder and president of Tourism & More Inc. Dr. Tarlow has appeared on National televised programs such as Dateline: NBC and on CNBC. Dr. Tarlow organizes conferences around the world dealing with visitor safety and security issues and with the economic importance of tourism and tourism marketing. He also works with numerous cities, states, and foreign governments to improve their tourism products and to train their tourism security professionals. For additional information visit www.tourismandmore.com
a
d
g
f
j
e
Puzzle Coasterand Trivet Set
Decision Die
www.bri l l iantpubl ishing.com
INTERNATIONAL MARKETING
Spanning Silos the new CMO Imperative
www.bri l l iantpubl ishing.com8 Brilliant Results | August 2009
INTERNATIONAL MARKETING
Br: Why is it important to involve a company’s
marketing department in strategic planning?
DA: In my view a business strategy has four
components, the product market investment
decision, the value proposition, the supporting
assets and competences, and the functional area
strategies and marketing is well positioned to
contribute to all four. The investment decision, a key
growth driver, will need to draw on market analyses,
segmentation, and brand portfolio strategy all of
which are the province of marketing. The value
proposition is the dimension most clearly owned by
marketing because it needs to be based on customer
insight. In fact, marketing ought to be the voice of
the customer at the strategy table. Any business
strategy to succeed over time needs to be based on
fi rm assets and the brand will be in most cases one
of the most critical of those assets. Further, the key
to a strong brand is the brand vision, which needs
to both refl ect and support the business strategy.
Finally, functional strategies in marketing such as
channel management or sponsorship programs
that are mission critical or exceptionally effective
can become strategic. Firms that develop strategy
without marketing as a full partner can expect to
generate inferior if not fl awed business strategies.
Br: In your opinion how do powerful product/
country silos jeopardize a company’s ability to
perform at high marketing effi ciency in today’s global
economy?
DA: Powerful product/country silos inhibit
marketing effi ciency in several ways. First, they
inevitably lead to resource misallocation, which
means that much of the marketing budget is spent
much less effectively than it could be. The large
politically powerful silo units usually get the resources
and the small units with potential get starved. IBM
set up an entire growth market organizational unit in
Prophet is the go-to fi rm for senior executives demanding brand, marketing, design and
innovation investments that work harder — and smarter. Known for their collaborative approach
and ability to blend the art and science of marketing Prophet both inspires ideas and delivers
tangible results. They develop creative solutions that balance short-term business needs against
longer-term growth goals for such Fortune 500 clients as Cartier, GE, Harrah’s Entertainment,
Inc., Johnson & Johnson, Monsanto, NBC, Staples, UBS, and United Airlines.
With offi ces around the globe helping clients drive profi table growth, their recent acquisition
of Play, a leading creativity and innovation fi rm, will help Prophet continue to inspire people and
organizations to discover and realize new paths to growth and transformation.
Leading-edge strategy requires leading-edge insights and the experience of proven marketing
experts. One such expert is its Vice Chairman, Emeritus Professor from the Haas School at
Berkeley and the creator of the Aaker Model™, David Aaker.
David has published more than 100 articles and 14 books, including his latest, Spanning
Silos: The New CMO Imperative. David is also an advisor to Dentsu; an active speaker in the
U.S., Asia, and Europe and is featured in a chapter of Conversations with Marketing Masters - a
collection of insights from some of the world’s most infl uential marketing gurus.
Brilliant results was recently privileged to have an opportunity to speak with David and
receive his responses to our questions. We are sure our readers will fi nd his responses both
timely and informative.
August 2009 | Brilliant Results 9www.bri l l iantpubl ishing.com
Singapore in order to insolate a budget that kept getting usurped
by the established silos.
Second, silos don’t communicate well, in particular, they
don’t listen well. As a result, exceptional products and marketing
programs, when they do emerge, are not leveraged. Too many
fi rms lack systems and people capable of recognizing excellence
with a product-market and expeditiously exporting it to the rest of
the fi rm.
Third, silos don’t cooperate well. The most effective marketing
programs, like major sponsorships, require scale and are either
not considered or not implemented well because the silos simply
can’t work together especially over time.
Fourth, when brands span product and county silos and
each silo has control of the brand in its context, the result is a
confused brand without direction or soul. The effort is deleterious
in the market, but equally damaging internally, because there is
no driving force bringing the employees and partners together
as teammates. Having autonomous silos go there own way just
doesn’t work in today’s marketplace.
BR: What are the characteristics of fi rms that
have made progress toward effective integrated
communication in the face of communication silos?
DA: There are several indicators of effective
integrated communication.
First, there is a strong brand with a brand vision
that everyone in the organization both understands and
cares about. The brand may be adjusted for the context
but the core remains.
Second, there is a willingness within the organization
to allow excellence in marketing communication to
emerge from one communication or product-market silo
and become the centerpiece of the program with the
others following.
The McDonald’s Germany unit came up with “Lov’n
It” that quickly became a global concept. The BMW
Internet group came up with the idea of making a half
dozen six minute fi lms by the best directors around the
BMW experience and the other functional communication
silos became supporting entities. P&G has for several
brands created a lead communication partner based on
what modality should be central and made the others
implementing team members. For Pampers, the web
site, which is all about parenting, became the centerpiece
of the marketing program and the other modalities took
on support roles.
Third, there is a common methodology and measures
used to determine marketing effectiveness so that
excellence and mediocrity can both be recognized.
PepsiCo developed its product equity, customer equity,
and brand equity measure that are used across products
globally.
Br: How do you see social networking, mobile
marketing, the Internet and social media like Twitter
impacting marketing?
DA: The mistake that many make is to attempt to
develop a social technology or Twitter or Facebook
strategy sometimes using a specialist in that vehicle.
Instead, in my view social technology needs to be actively
managed as part of a larger marketing and customer
relationship system. Don’t toss out what you know about
marketing. You decide on the target audiences, what type
of relationship is desired, what programs will develop and
strengthen that relationship, and what media can play a
role. Then if a social technology vehicle is helpful, it will
come to the fore.
The social media still has to be actively managed.
Look at the model of spreading disease (where the word
viral comes from). It involves the probability of being
infected, of sneezing in front of people, of hitting others
with the sneeze, and of their then getting infected all
infl uenced by the length of time a person is contagious.
Each of those steps has an analogous task in making
social technology work and each needs to be managed
with focused features and programs. Don’t assume that
the task is simply to create funny or interesting content
and it will be spread.
If social technology is to be summarized, the word viral
(build a fi eld and they will come) is out and empowerment
and authenticity are in. With the brand out of control
of the situation, the message and the community must
be enabled and trusted to carry the day. Authenticity
is of crucial importance. Social technology needs to be
based on transparency, honesty, and substance.
when brands span product and county
silos and each silo has control of the brand in its context, the result is a confused brand
without direction or soul.
10 Brilliant Results | August 2009 www.bri l l iantpubl ishing.com
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© 2009 Hallmark Insights. All rights reserved.
REWARDING FOR THEM. EASY FOR YOU.
Br: How would you suggest that today’s CMO span
silos and market their brands on an international scale?
DA: The CMO task will depend greatly on the situation
on the ground. If there is a CEO without an instinct for
marketing, shallow marketing talent around the fi rm, a
history of weak or nonexistent central marketing, and an
absence of a silo driven fi rm crises, the CMO might be
well advised to go slowly by taking on roles of facilitator,
consultant, and service provider, roles that are not
threatening to the organization. Using such roles, the
CMO can gain credibility, upgrade marketing throughout
the organization, dramatically improve communication and
cooperation, and even gain an invited seat at the strategy
table of the silo units. There are rare contexts usually
stimulated by a fi nancial crises or a complete breakdown in
brand coherence for which forceful centralization of some
aspects of branding and marketing and making some
processes mandatory is required. However, in the absence
of a motivating crisis, moving too fast and attempting to
use authoritative change methods can result in no change
and even in a fl ameout of the CMO offi ce, which can set
back progress years or decades.
Br: In your opinion, are people or systems
more essential to a company’s optimal marketing
performance?
DA: In the fi nal analysis it is people. Really good
people can overcome a weak system but the best
system will fl ounder if the right people are not in place.
The problem is that a central marketing group needs
to have knowledge about markets, products, marketing,
branding, and the organization. Further, its people
need to have exceptional talent with respect to strategic
thinking, communication, collaboration, and people
skills. Equally important to fi nding good people is to
weed out those that lack substantive credibility or the
ability to work with people both inside the team and with
the silo groups. Not an easy staffi ng challenge.
BR: Do you have any fi nal thoughts or advice for
our readers on how to succeed in today’s international
marketplace?
DA: It is a mistake to assume that global market means
the same marketing and same brand everywhere. It is not
sameness but strength and effectiveness that should be
the goal. Marketing and branding should be tailored to
the context. The Chevron brand, for example, stands for
cleanliness, safety, reliability, and quality but each of the
product/country silos can interpret those values in their
context and add one additional one as well. However, there
should be the same planning process, the same measures,
and the same core brand values everywhere. And there
should be good communication and cooperation across
countries so that when a synergistic program emerges it
will be accepted and there is ‘no not invented here/you
don’t understand my market’ attitude that inhibits.
For more information, please visit www.prophet.com.
12 Brilliant Results | August 2009 www.bri l l iantpubl ishing.com
Travel
WRITER: DR. PETER TARLOW
Tourism: International Marketing Par Excellence!THErE is perhaps no industry
that knows how to obtain brilliant
results from international marketing
more than the tourism industry. As
the world's largest industry, tourism
exists on all continents (including
Antarctica), and comes in a variety of
transportation modes, price ranges
and length of stays. Tourism has a
great deal to teach other industries
about international marketing and what
one needs to do in order to succeed.
Here are just a few of the principles
that almost anyone can learn from
the world's largest industry when it
comes to international marketing.
When doing international •
marketing, take the time to study
not only current trends, but also
local, national, and international
economic, social, ethical, and
political trends. International
tourism marketers know that what
may have been true for last year
may be incorrect for next year.
International tourism marketers are
well aware that many industrialized
nations are experiencing a
"graying" infl uence. Begin to
consider how your marketing will
impact people who in a few years
will be in their 60s or 70s. Will your
present marketing need to be
undone over the course of the next
ten years?
In some countries, high tech can be •
a negative marketing tool. While
technology is important, never
permit your technology to destroy
personal relationships, especially in
international marketing. For
example, if you have a special line
set up to handle customer problems,
do not have that line force the
consumer to pass through a
telephone menu until he/she
reaches a human being, and make
sure that your marketers know the
local language and its slang
expressions.
Before you try to convince others to •
purchase your product, take the time
to question what makes your
product unique and why anyone
might want to go to the trouble of
importing it. Before you go on the
international stage make sure that
you review your product's strong
points and weaknesses. Internal
improvements and product
development are often the best
marketing that you can do. For
example, in the world of tourism, all
too often tourism professionals try to
make their place into a destination
rather than a center for a tourism
activity. Tourism offi cials have
learned that customers go to a place
because they can do something
there that they desire to do. In most
cases, it is the activity that is the
attraction rather than the mere
location.
Be fl exible. International marketing •
means adapting to the other's
culture rather than making the other
culture adapt to ours. Simple things
such as body language, intonation
and food choices can make or break
a sale. Tourism offi cials have
learned that what may work in one
locale may be a total failure in
another locale.
Know what you do not have and •
what you are not. International
tourism marketing teaches us that a
major marketing mistake is trying to
be too many things to too many
segments of a population. No
product is meant for everyone. It is
important to know what you cannot
deliver and then steer those people
to other locations.
Psychographic models can be very •
helpful in international marketing. A
psychographic model tells us
something about the psychology of
our customers. Are our clients
people who seek thrills or do they
want a less risky environment? Are
they the type of people who want to
spend a great deal of money on a
few purchases or do they prefer to
buy souvenirs for all of their friends?
How we determine these models
helps each component of an
industry to become a total package
that meets the needs of its
customers.
Think through issues of •
globalization. Tourism offi cials know
that in a world in which everyone is
copying everyone else, remember
that the reason people come to their
locale or attraction is not what they
offer that is similar, but for what they
offer that is distinct. Make sure that
you offer products and experiences
that are unique.
14 Brilliant Results | August 2009 www.bri l l iantpubl ishing.com
marketing
WRITER: MICHAEL MERRICK CROOKS
AS I write this I’m waiting for my
children to arrive home from the
lake. I’m interested to know why a
blue outline of the state of Michigan
has been spray painted on my
lawn. Brilliant little marketers that
they are — if they’re trying to get
my attention — it’s working!
In his book, “buy•ology: Truth
and Lies About Why We Buy,”
Martian Lindstrom makes clear how
rewarding it can be for a marketer
when they ingrain themselves into
the very fi ber of a target market’s
interest. He conducted a study that
compared the strength of subjects’
memories of Coke and Ford, both
major sponsors of American Idol.
The study showed that because
Coke had integrated itself within
the show through logoed cup
placement, furniture in the shape
of its bottles and even “Coke red”
on the walls, it was able to gain
more mind share and weaken
the effect of Ford’s efforts which
only ran traditional commercials
within the program. Lindstrom
writes, “In other words, watching
the Coke-saturated show actually
suppressed subjects’ memories of
the Ford ads.”
And it really, really works.
Because right now, the sight of my
paint saturated lawn is suppressing
the memory of every wonderful
thing my children have ever done.
The insight for marketers
however, is that when your brand
is a part of something the target
is already doing or already
interested in, the connection in
the mind is greater and more
meaningful. If your brand presence
is an interruption, such as a Tv
commercial within a program, the
connection with your target is less
meaningful.
16 Brilliant Results | August 2009 www.bri l l iantpubl ishing.com
Now while you may not have
$26 million to spend on integrating
your brand into a major network
television show, companies large
and small can still fi nd affordable
ways to ingrain themselves into the
lives of their target audience.
A high tech example of
Lindstrom’s strategy came to my
attention at a recent trade show.
The vendor explained how a beer
distributor utilized tent cards in bars
to encourage patrons who ordered a
specifi c beer, to “rate the pour” and
be entered to win a trip to Ireland by
texting the bar’s name to a specifi c
code using their cell phone. This is
brilliant because it asks someone to
do something that is related to what
they are already doing. Your beer
was just put in front of you. There is a
little sign on your table that asks you
to rate how the bar served that beer
to you. The beer distributor not only
obtains the contact information on
the patron, but also uses the rating
information to determine which
bar is serving its product correctly.
The bars themselves began using
the data to text message patrons
on slow nights that “free shots of
_______ were being served from
5pm to 6pm”. The bars easily made
up for the free shots as patrons
stuck around buying more drinks.
But what if you’re a small
company, such as a local pizza
place? No problem. Let’s look at
Joe’s Pizza. He approached the
athletic boosters club and explained
that he would underwrite the cost of
a megaphone with the school logo
and his imprint. The boosters could
then sell the megaphones to fans as
a fundraiser. The boosters took Joe
up on his offer. Friday night. The
local high school football team just
won. Within minutes fans that are
customers of Joe, get a text message
that Joe’s Pizza is running a “Game
Winning Celebration Special until
10 pm.” And that message simply
reinforces the message people have
been getting all through the game…
because Joe imprinted “After the
Game, Enjoy Joe’s Delicious Hot
Pizza” on the megaphones.
Using Lindstrom’s fi ndings to your
advantage means more than simply
“getting your name out there”, even
with a small budget. In a golf outing for
instance, it’s the difference between
having your sign at the number
one tee and say … sponsoring the
beer cart. No one looks forward to
reading the hole sponsor signs at a
golf outing. But they do look forward
to the sight of that beer cart coming
down the fairway!
Take just about any spectator
sport for instance. Having signage
around the stadium is “getting your
name out there.” But no one is there
to read signs. However, handing
out logoed promotional binoculars,
making it easier for people to do
what they are there to do - see the
event - is far more impactful.
As disjointed as life may seem,
there is a fl ow. People have
routines, schedules and plans. The
more your marketing fl ows with your
target’s life, the easier it is for you
to capture a position in your target’s
mind. Does your marketing make
the target’s life easier, more fun or
somehow enhance what it is they
are doing? Or is your marketing
tactic simply an interruption … a
mental annoyance?
Lindstrom’s fi ndings are profound
when you realize that before we can
effectively market our products and
business, we must fi rst effectively
market … our marketing.
The insight for marketers however, is that when your brand is a part of something the target is already doing or already interested in, the connection in the mind is greater and more meaningful.
August 2009 | Brilliant Results 17www.bri l l iantpubl ishing.com
Taking an Incentive Program International
insight
WRITER: MARY ENGLISH
THErE are plenty of ways to
say, “Thank you for your hard work.”
While the above are how it’s said in
French, German and Spanish, there’s
also the international language of
incentives and employee recognition
programs.
But even though employees
throughout the world appreciate
being recognized for their hard work
and contributions, implementing and
running an international incentive
program is not always as simple as
taking an existing U.S. program and
rolling it out – as is – in an offi ce in
Paris, Munich or Madrid. It takes
careful planning and knowledge
to ensure your program can meet
and exceed the challenges of
implementing an international
incentive program.
Three key challenges that
companies need to be knowledge-
able about when considering an
international incentive program
are the culture, who is doing
the incenting and who are they
incenting, and how to administer a
multinational program.
KnoW the Culture
Just as not every award fi ts
every employee, not every incentive
program is going to fi t every culture.
The key to any reward and recognition
program – whether it’s in the United
States or overseas – is to ensure the
incentives you are offering fi ts within
the cultural guidelines of a specifi c
country. An award that is meaningful
and acceptable to an employee in
California might be meaningless or
culturally unacceptable to someone
living in the Middle East.
To position your incentive pro-
gram properly, make sure you
research a country’s customs,
mores and cultural guidelines before
deciding on what types of incentives
to offer. By doing this discovery
work up front, you can help ensure
your program’s success and know
your rewards will become more
meaningful to those employees.
KnoW the uSerS
An incentive program is only
successful if those using the program
fi nd it effective and effi cient. When
looking to implement an international
incentive program, it’s imperative
you know who the end users of your
program will be. Will it be managers
and employees who are on location
in a foreign country? Or will it be
U.S. employees needing to send
recognition to overseas employees?
Knowing who will be using the
program is vital to choosing the
proper form of recognition. If all
users will be in the same location,
you may want to have the option of
presenting a hard copy form of the
recognition. However, if the people
giving and receiving the recognition
are separated by an ocean and
multiple time zones, an electronic
form of the award is absolutely
necessary.
KnoW the differenCeS
There are plenty of differences
you will need to be aware of when
considering the administration
aspects of an international incentive
program. We’ve already touched on
the cultural differences, but take the
time to educate yourself about these
“Merci pour votre travail assidu.”
“Vielen Dank für Ihre harte Arbeit.”
“Gracias por su trabajo dedicado.”
18 Brilliant Results | August 2009 www.bri l l iantpubl ishing.com
other areas to avoid potential issues.
Cost of living – Will you need
to adjust your award amounts to
allow for cost of living changes in
various countries? An award amount
that might seem low to a person in
one country may be too much in
another.
Types of awards – A single type
of award may not be applicable in
a multi-national incentive program.
Gift cards are popular in the U.S.,
but European countries are in the
infancy stages of offering a gift card
and paper “vouchers” are used more
often, while other areas of the world,
such as Asia, have seen merchandise
as a primary redemption option.
Customs/legal – Are you
shipping rewards from country to
country? If so, make sure you know
and understand any applicable
customs laws and regulations. You
may be offering great merchandise
options as awards, but if employees
can’t receive them because your
program isn’t following shipping
laws, it ’s not an effective program.
If needed, find a reputable partner
who knows the laws and regulations
of a particular region to help you
with fulfillment.
In today’s “shrinking world” we have
the ability to communicate – and give
recognition – to anyone in the world
almost immediately. Whether you are
offering employees rewards such as
gift cards, vouchers, merchandise
or more, a successful incentive
program should, “Think globally. Act
locally.” Your reward and recognition
program may grow to global size, but
it’s important to keep it local in nature
so employees can get the most out
their specifi c program.
By doing so, you might just hear
your employees say, “Merci pour le
grand programme d’encouragement!”
or “vielen Dank für das große
Anreizprogramm!” or even “Gracias
por el gran programa de estímulo!”
But no matter how you say it, “Thank
you for the great incentive program,”
sounds good in any language.
Porsche Ballpoint Gift SetRyMax Marketing Services, Inc.
A fascinating combination of excellent, timeless design, carefully selected materials, and a finish that combines traditional workmanship with the latest technologies, this set features a signature stainless steel ballpoint pen and a mini Porsche replica. The unique design is based on the high-tech-body Tec Flex, which stands out for its excellent corrosion stability, high flexibility, and high “wear out” protection that is also used in the Porsche racing cars
Porsche Ballpoint
RyMax Marketing Services,
A fascinating combination
this set features a signature stainless
DrinKeys “Bottle-Opener House Key” Klinky, Inc.
No matter what business you’re in, you deal with people, and those people have keys. A Branded Bottle-Opener House Key is a real key that can be cut by any key cutter and used as an actual house key, and a bottle opener. Give a person a key with your custom imprint and it will be kept on their key ring for years, giving you thousands of brand impressions.
Executive Business Card Holder with Extra Fancy Jumbo Cashews Maple Ridge Farms™
A perfect way to recognize that busy executive! This solid wooden, contemporary business card holder, branded with your logo, features an open design, which holds up to 50 business cards. The sleek look adds the perfect touch to any desktop, especially since each business card holder is accompanied with five-ounces of extra fancy jumbo cashews, certified kosher available upon request.
August 2009 | Brilliant Results 19www.bri l l iantpubl ishing.com
WRITER: ARNOLD LIGHT, CTC
incentives
EvEr since the now infamous AIG incentive trip was brought into the public eye
incentive travel has changed drastically. According to the latest Incentive research
Federation’s Pulse Survey, (to determine current trends in the incentive industry) 65%
of the respondents said they consider the current political climate to be unfavorable
for the incentive industry.
Exactly what does this mean? According to a survey by The National Business
Travel Association (NBTA) conducted in March of 09 close to half or 47% of
respondents said they had seen decreases in incentive travel, 20% saw no decreases
and a third said the question about increases and decreases in incentive travel was
not applicable.
While all this sounds so negative there really exists some great opportunities for
those companies who understand the importance of sales incentives to their bottom
lines. Part of the “reward for results” philosophy is that the most memorable rewards
are all travel related. The more exotic the experience the greater the impact on the
individual who earned the trip and hopefully this experience will help reinforce that
the effort was well worth it and will bode well for future sales incentives. Opportunity
for cost savings in all world destinations and in particular the Caribbean and Latin
America has never been greater. There are more air seats available then ever before
with a plethora of business and first class seats available. This means the astute
planner could probably negotiate upgrades on a decent bloc of seats on one or several
flights. Likewise with the deluxe hotels that not only have dropped their rates but also
are offering lots of flexibility with attrition, food and beverage costs, room upgrades
and free rooms with minimum night stays as well. Plus you can lock in guaranteed
exchange rates that have always been a problem for budgets with worldwide travel.
And local DMC’s (Destination Management Companies) have come to understand
that budgets are strict and are willing to work with planners on new and innovative
ways to save money as well as work on tighter margins.
Here are some examples of the flexibility that destinations and hotels are offering.
The Ritz Carlton properties in Grand Cayman, St. Thomas and San Juan are offering
A World Of Incentives…And A World Of Challenges
Ince
ntiv
es…
20 Brilliant Results | August 2009 www.bri l l iantpubl ishing.com
a special events package with a $100
daily resort credit per room, similarly
AMresorts resorts has implemented
a zero attrition policy at its Dreams
and Secrets resorts. Wyndham
Hotels in Puerto rico, the Bahamas
and St. Thomas are allowing incentive
planners to customize their own
concessions, for example the more
nights booked the more of an incentive
(such as discounts, free nights, free
cocktail parties, etc.) is allowed to the
incentive planner. Hilton Hotels in the
Caribbean and Latin America offers a
“book now and save promotion which
allows up to 25% attrition and double
Hilton HHonors points for attendees.
Aruba is taking a different tack
by motivating incentive planners
by tripling its educational trips and
increasing its advertising budget
to pre-sell groups. With the added
convenience of being a tax-deduct-
ible destination for meetings and
incentives it also offers US Customs
at the Aruba airport saving travelers
time and stress.
Bermuda has recently implemen-
ted a promotion whereby a $200
credit per person is issued for groups
of 15 or more staying at least 3 nights.
The credit can be used against the
hotel master account or credited to
an individual’s hotel account.
The Island of St. Martin is also
in the game with some incredible
savings packages for incentive and
meeting planners. For groups, The
Sonesta is offering one free guest
for each all inclusive guest, 20% off
at its spa, a group cocktail party,
complimentary meeting space and
one comp room for every 30 booked.
And the Radisson St Martin is offering
great low rates and bonuses for
certain value dates. The Westin on
Dawn Beach in St. Martin is offering
rates from $149.
Last December The U.S. Virgin
Islands Department of Tourism
launched a group rewards program
consisting of up to $100 per room
for incentive planners who booked
a block of 20 rooms or more during
2009. Plus they would be entered into
a sweepstakes to win $5,000.
And so as you can see from the
above there is urgency on the part of
travel industry suppliers to help meet
the current needs and challenges of
incentive buyers and planners. Make
no mistake, the “World of Incentives”
as we have known in the past will
take on a whole new perspective in
the future.
Have a rewarding Day!
Incentives…
COMPANY CONTEST FUN
Endless Vacation Rentals®YourFatChance.com Vacation Contest
Endless vacation rentals (Evr), one of the Wyndham Worldwide family of brands
is making a difference in this tough economy, one vacation at a time, with its
YourFatChance.com vacation contest. Participants submitted their funny bad luck stories
in hopes of winning a vacation. During the six-week voting period, people also tried their luck
at an online scratch-off game to win a vacation. After reviewing thousands of stories, the Evr
judges chose the top 25 funniest entries and America voted for their favorite fi nalist. To read the
Grand Prize and First Prize winners’ stories go to www.yourfatchance.com.
“As one of the world’s largest vacation rental providers, we want to send people on great
vacations, particularly at a time when people are tightening their belts because of the economy,” said Geoff
Ballotti, president and CEO, Group rCI. “Everyone needs a vacation and we hope this contest will give people more to
smile about while showcasing the terrifi c values inherent in our vacation rentals.”
Plans are in the works for a Fall contest and those readers with a bad luck story can sign up for contest information on
the website.
Brilliant Results thanks Audrey Scolny of S3 Public Relations www.s3s3s3.com for this insight into a company making a
difference in today’s economy.
COMPANY CONTEST FUN
Endless vacation rentals (Evr), one of the Wyndham Worldwide family of brands
YourFatChance.com vacation contest. Participants submitted their funny bad luck stories
in hopes of winning a vacation. During the six-week voting period, people also tried their luck
at an online scratch-off game to win a vacation. After reviewing thousands of stories, the Evr
judges chose the top 25 funniest entries and America voted for their favorite fi nalist. To read the
“As one of the world’s largest vacation rental providers, we want to send people on great
August 2009 | Brilliant Results 21www.bri l l iantpubl ishing.com
I rECENTLY received a video
called ‘Dynamite Surfi ng’. Shot in
downtown Copenhagen, my former
home city, this crazy clip defi es nature
- and all health and safety precepts.
It’s sensibly preceded by a slide that
warns, “Attempting to recreate this
stunt could be deadly.”
A bunch of people, rugged up
against the cold, make their way,
commando-style, to the edge of
a lake in Denmark’s capital. They
huddle conspiratorially as one of
their number extracts a cartoonesque
brace of dynamite sticks from a duffl e
bag. Then, under forbiddingly grey
skies, one wet-suited guy launches
himself, and his surfboard, into the
lake. As he paddles to the middle,
the rest of the gang race towards a
bridge a couple of hundred metres
upriver. They attain their, evidently,
planned post on the bridge just as the
paddling surfer attains his in the lake’s
centre. Unhesitatingly, the dynamite
bundle is hurled into the water, its fuse
alight. Seconds later, the subsurface
explosion generates waves and the
surfer paddles ahead in anticipation
of catching a ride. He does. Surfi ng is
possible in Copenhagen.
QuiCKSilver, QuiCK thinKing
Or is it? As you’ll have learnt in
the last issue of ‘Contagious’, this
apparently homemade stunt is in
fact a viral made for Quiksilver by
Saatchi and Saatchi in Denmark, and
cunningly seeded by viral specialists,
Go Viral. So, sadly, surfi ng may not
be possible on this Copenhagen lake,
as many of the comments on the
YouTube posting suggest. The fi lm
has certainly attracted a good deal
of comment; the power of word-of-
mouth extending beyond the video’s
promulgation to heated discussion
about its authenticity.
Here’s an example of a brand
making the most of the word-of-
mouth trend by leading and seeding a
viral fi lm. The strategy has won huge
exposure. During one week, I alone
received that video, not once, but 212
times, from 212 different people in 38
countries. And each of those 212 who
thought of me sent the video to who-
knows-how-many others. And those
recipients to countless more equally
interested viewers.
So, what explosives have you
invested in lately to propel your
brand to fame? How have you used
the considerable power of word-of-
mouth to do your branding work?
Fast, super effective and cheap, viral
marketing could become your brand’s
new weapon in winning attention
from competitors. But, make sure you
attract the right attention. Here is how
one restaurant chain made the most
of a viral opportunity. Perhaps you’ve
heard of them – McDonald’s.
branding
BY MARTIN LINDSTROM
Light the fuse and be ready to catch the waves
22 Brilliant Results | August 2009 www.bri l l iantpubl ishing.com
flaShmoB taKeaWay
On 2 January 2007, something
unusual happened in the German
town of Braunschweig. Nine hundred
and thirty-one of its 245,500
inhabitants arranged a sudden raid
on the local McDonald's restaurant.
It wasn't the type of raid that ends in
violence. It was the type of raid known
as a fl ashmob. Coordinated via cell
phones, the fl ashmob is a gathering
of people for a specifi c purpose. You
may recall seeing news coverage of
a pillow fi ght in London’s Trafalgar
Square last year. In this case, the plan
was to storm a McDonald's store and
order some 2,211 burgers all at once
-- to take out!
Naturally, the incident made
headlines in the local press. But news
of this event may not have gone any
further, if it weren't for YouTube.
A young guy nicknamed
churchill225 captured the mass
gathering on video and uploaded it to
the fi le-sharing site. Soon, thousands
of people began downloading the
video. rumours began circulating
about another surprise swoop on
another McDonald's. As I write, ten
more Golden Arches in Germany are
on the fl ashmob hit list.
And how has the global giant
responded to this, as yet, regional
phenomenon? The fl ashmob visits
have become a good-hearted
game between McDonald's and its
customers. It's a game because
both sides enjoy the interaction.
From McDonald’s point of view, the
fl ashmobs have secured massive and
positive attention in the press. Sales
have skyrocketed like never before.
Yet, McDonald's has not had to do a
thing, apart from engage in the game
with good humour.
I interviewed the President and
CEO of McDonald's Germany, Bane
Knezevic, about his company’s
response to the fl ashmob phenomenon
for my video blog. The interview
illustrates one facet of a new world
of opportunities for branding on a
shoestring. Welcome to the age of
word-of-mouth marketing, run by brand
consumers, not by the companies that
own the brands.
people poWer
A 2006 study conducted by the
Keller Fay Group, a market research
company specialising in word-of-
mouth communications, shows that
15 per cent of consumers account for
1.5 billion brand impressions per day.
In North America, 32 million word-
of-mouth leaders make this possible.
These people are all ordinary
consumers who also happen to be
involved in, on average, 184 brand and
brand-rumour oriented conversations
a week.
Exposure power through word-
of-mouth is also a matter of its
ubiquitousness and fl exibility. Ideas
are spread every place, everywhere,
August 2009 | Brilliant Results 23www.bri l l iantpubl ishing.com
and all the time - 24/7… at home (82
per cent), at work (56 per cent), in
other homes (55 per cent), on the
mobile phone (42 per cent) and, most
importantly, online, combining email
(32 per cent), instant messaging (17 per
cent) and blogs (9 per cent). The hitch
is that marketing currently has a direct
infl uence on only one or two of these
touch points. There’s enormous potential
for brands to systematically tap into the
word-of-mouth world. Just one video
in the hands of one of those 32 million
people could start the domino effect and
spread the word.
Let’s dissect this a bit, taking the
Copenhagen dynamite surfi ng and the
Braunschweig fl ashmob as examples. Is
it possible to replicate such a stunt and
integrate it with a marketing strategy?
Well, yes. It is possible. But there are
some fundamental rules you must follow
– rules that may cause you to tear your
hair out.
rule 1 / you are not the hero
In fact, the brand is no longer your
possession. Your brand is owned by
the consumer and you’re renting it. Why
is that? Today’s consumer has both
immense broadcasting power and well-
developed expectations of products and
services. Combined with the ever-present
ability to contribute to the global rumour
mill – whether intentionally or otherwise
– consumers are able to articulate
their brand experiences within a forum
fi lled with ready listeners. This means
that any marketing campaign needs to
involve your consumers in one way or
another. The reason the Copenhagen
dynamite surfi ng video spread as rapidly
as it did was because the concept and
product looked like it was owned by the
perpetrators. The brand was invisible. It
was as if the surf dudes had produced
it, fi lmed it, edited it and shared it with
their friends, because they were proud
of their achievement. The analogy for
marketers in this is that the exercise
cast the consumers as the heroes. So
campaign goals need to embrace this
aim: make consumers the heroes and
they’ll run with your message.
rule 2 / Be fearleSS
This is all about breaking marketing
rules. And, believe me, for you to make this
happen you need to be unconventional.
Take your approach way beyond your
operational comfort zone and go to the
very edge. Don’t shy away from fun,
humour, or provocation. Be prepared for
complaints. Key to word-of-mouth is the
fact that it’s no longer possible for your
brand to be good friends with everyone.
That’s too bland. Sure, some of the
world’s brand giants maintain the belief
that they need to be universally popular
and offend no one. But the rest of the
world’s brands don’t, and yours is most
likely among these.
rule 3 / Be oBServant
Playing on the consumer’s terms
means listening and observing. When
did you last scout all blogs, chat rooms
and bulletin boards to see how your
brand’s performing out there? I’m not
talking press clippings. Get into the
consumer stream and remain alert to
interesting trends. Act on them and fuel
them. Maybe the trend is already related
to your brand. Or it may not be. It doesn’t
matter. The idea is that you show that
your brand is listening and responding
to the outside world. Your customers will
love you for it.
To make all this possible, you need to
do your homework. And the fi rst step is
to prepare your boss for the new world
of consumer involvement you’re taking
the brand into. Before it happens. You
need to secure a mandate to follow your
instincts and to break the rules. That’s
how you’ll achieve difference. Educate
your team about the approach, and
equip it with the skills and infrastructure
it needs to handle your word-of-mouth
powered activities. I’m sure I don’t need
to reiterate this, but I will. The rules have
changed. You are no longer 100 per cent
in control.
Word of Mouth All Star
The Keller Fay Group instituted an
extraordinary prize in 2006: the world’s
fi rst ranking for the top ten word-of-mouth
brands. They declared the number one
‘Word-of-Mouth All-Star’ to be Toyota,
whose fuel-effi cient, reliable vehicles
had been making signifi cant inroads in
the U.S. auto market, overtaking Ford
and toppling GM. Next on the list were
Wal-Mart, Honda and Apple’s iPod.
Each of those brands had secured
free word-of-mouth coverage worth
millions. And most of them did so without
even having a plan. We’re almost seeing
a replay of the advent of direct marketing
in 1965, when no one had a direct
marketing plan. Or of the dawn of the
Internet in 1995. No one had an Internet
marketing plan. But direct and Internet
marketing sure happened.
This year promises to pose a buzz
question: “Hey, what’s your word-of-
mouth plan?” I’m not yet aware of any
[Cont. on Page 30]
24 Brilliant Results | August 2009 www.bri l l iantpubl ishing.com
WRITER: ALEX RIBBLE
optimize
HERE’S a question: How much
revenue did your website generate
for your business in 2008? If you
answered, “none, my business doesn’t
sell anything online”, then strap on
those learning spurs cowpoke ‘cause
you’ve come to the right place!
Nowadays, true online revenue
is seldom classifi ed as merely a
fi nite number, but incorporates a
best-guess amalgamation of your
business’s coveted brand equity and
websites’ dynamic range. Simply put,
the greater number of right people
that know about and can fi nd your
business, the greater the chance for
overall success. The catalyst for this
newfangled measurement you ask…
the all-seeing, all-powerful search
engine.
Internet usage is at an all time
high, and by now even the most
stubborn and least computer-savvy
have Google’d. To the business world,
the search engine has also become
the stable for a new breed of success
measurement focused on content
relevance, optimization, and über-
fast search results. (0.08 seconds?
Felt more like an eternity!) So while
you’re still frantically trying to track
down the intern who built your website
last millennium, your competitors
have embraced technology and are
positioning themselves to gobble up
as many industry related keyword
phrases as they can swallow.
(A keyword phrase, for your reference,
is a general term defi ning a set of
words used when conducting an online
search). Knowing which keywords and
phrases your potential customers are
using will not only help you increase
your business’s visibility in search
engine result pages, but ultimately
drive traffi c to your website.
For my visual thinkers, picture each
keyword phrase as a small treasure
– a delicate bit of pirate’s booty (no,
not the popcorn) awaiting capture
by the plundering mongrel horde of
competitors. To further this illustration,
(and minus any more swashbuckling
references) I’d like you to imagine
yourself and 10 competitors side by
side in a wide-open fi eld. In the distance
– perhaps 50 yards away – you notice
a group of bright red rubies glistening
in the sun. You squint harder to see
that beyond the rubies are even bigger
and more exotic looking jewels. You
glance to your left and suddenly half
your competition is on horseback. To
the right, your closest competitor has
just produced a shiny new motorcycle.
You look towards the ground at the
trusty sneakers that have carried your
business to this point and realize for
the very fi rst time, they just won’t be
enough to sustain your success for the
long-term. It’s a brand new race, and
it’s time to upgrade to a better means
of transportation. Now where the heck
is that motorcycle salesman?!
So why does the Internet hate
your business? It’s not like you went
around saying a bunch of bad things
about the Internet and now it’s angry
with you, right? right. Although the
Internet is devoid of human emotion,
as web-conscious business people
we’re continuously asking, “where’s
the love”? Well, I can sum it up for
you in one sentence: ignore anything
long enough, and you can pretty well
expect to be ignored in return. True,
SE’s are getting smarter, but organic
search results are only a minor part of
the overall search engine marketing
process. (And it is a process)
So where to dive in? A great place
to start is by identifying those search
terms used by potential customers
when hunting for information on
Search Engine Marketing:
Why The Internet Hates Your Business
26 Brilliant Results | August 2009 www.bri l l iantpubl ishing.com
comparable products and
services. While you’re at it, you’ll
also want to fi nd out which of
your competitors have websites
optimized to receive those
searches. Most search engine
optimizers (SEOs) can generate
a relatively low-cost report you’ll
be able to use when shaping a
new plan of attack. (My company
provides this type of study for
about $1500.) This part of the
process will be to identify what we
call “low hanging fruit”, or relative
search terms your competitors
are either not focused on or not
optimized to take advantage of.
The next step is to utilize
this information to deploy a
new strategy, refocusing your
web content to chase some of
those highly-searched, low-
targeted keywords and phrases
to effectively gain greater market
share on your competition. This
new plan will undoubtedly call for
you to get your content in vigorous
shape. Now, granted there are
certainly those of you out there
capable of running every aspect
of your business with ease,
but the majority of us generally
accept the fact there are some
things we do well and others
better suited for a specialist.
Hiring a professional search-
engine-savvy copywriter can do
wonders for both your content
and brand, and could very well
be the best marketing investment
you’ll make this year. And while
I do appreciate the fact that you
know your operation better than
anyone, the business of writing
for the web is tricky business.
Better to have backup.
Alex is the Business
Development Manager for
Los Angeles-based
Enthusiast Web Solutions.
Email: [email protected]
August 2009 | Brilliant Results 27www.bri l l iantpubl ishing.com
exhibit
WRITER: BARRY SISKIND
How to Exhibit Staff Training
IT’S an age-old problem. Managers intuitively know that
providing staff with specialized training makes them more
proficient, helps increase confidence and improves the bottom
line. So, you might ask, what is the problem? The answer is
simply they can’t prove it. And, proof is what’s needed in order
to justify the time and cost of providing training.
The challenge of creating a rOI for training is that it
needs something to be compared to and without the ability
to know what the training investment is being compared
to, calculating the rOI is next to impossible. The root
of the issue is the establishment of benchmarks. Here
is where many exhibit managers fall down in their ability
to collect meaningful data from their exhibit experiences
and to use that data to establish a benchmark from which
future performance is compared.
Here is an example of a few of the bits of data that should
be included in a post-show statistical analysis:
SaleS CyCle This is a calculation of the average time it takes once your
sales folks have met someone to the time it takes that contact
to make a decision. This is an important number because once
it is defined it helps your booth staff focus on the right people.
average time to Convert a viSitor to a lead
This is important because it helps your booth staff
determine the length of a booth presentation and helps them
manage their time.
audienCe profile
You need to have a breakdown of the audience at any event
to determine if there is a match between who is attending and
the profile of your target contact (that is the person most likely
to turn into a high quality lead) that you should have created
ahead of time.
SuCCeSS ratio
Success ratio answers the question “If you gave one of
your staff 10 good quality leads, how many of these leads will
be converted into a sale in the next 12 to 18 months?” The
challenge is that when you measure rOI the number is often
distorted because actual sales take time depending on your
sales cycle. However knowing what the success ratio is helps
you put real numbers to short term success.
paSt performanCe
Knowing what you have accomplished in similar situations
can provide a guideline for what you can realistically expect
in the future.
lead information teChnology
Another crucial bit of information is hidden in the tools you
have provided your booth staff to help them succeed. One of
those tools is some mechanism for collecting and recording
consistent contact information. This can be electronic, manual
or a combination of both.
Measure
[Cont. on Page 30]
28 Brilliant Results | August 2009 www.bri l l iantpubl ishing.com
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ASI/36558
Recruiting, Instore Displays,Trade Show Booths,
& Onsite Events
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August 2009 | Brilliant Results 29www.bri l l iantpubl ishing.com
Continued Stories...
BenChmarKS
Now you are ready to create benchmarks to measure the effects of training.
For example let’s assume that at an average event your staff, over a period
of two days, can collect 20 quality leads. The improvement on this rate is the
standard you use to measure the investment in training. Your training budget
now comes with an objective that says, “If everything else is equal and the
only thing I will invest in is training, then we should realize a 15% increase in
the number of leads obtained at an event.
meaSuring training In this case the 15% was an assumed number; in your case the best way
to come up with a realistic projection is to get your staff involved in setting the
expectation. Ask them what they need and what you can expect when you
provide it. Then, measure the effects of that decision on the benchmark you
have already established.
In this age of accountability for marketing and training budgets, the need
to prove that the investment actually has a payoff has never been greater.
The trick is to get into the habit of collecting data on your performance and
then doing something with it.
[Cont. From Page 24] [Cont. From Page 28]
companies, which have introduced a dedicated
word-of-mouth budget. The brands, which
are engaging in word-of-mouth marketing,
are, typically, looting other budgets to trial the
concept. But this phenomenon needs to be
taken seriously. And for that to happen, it needs
a cash commitment.
The good news is that the budget you need
for your explosives isn’t huge. The bad news
is that somewhere, in the innocent chat of
friends, the creative collaboration of student
fi lmmakers, overheard discussions on a bus,
shared irritations aired in the work canteen,
the bomb has been purchased and its fuse has
been lit.
Whether you have dedicated a budget to
word-of-mouth marketing or not, you won’t be
able to stop the bomb exploding. So you’d
better be prepared. That way, you can run the
show, rather than letting it run you.
30 Brilliant Results | August 2009 www.bri l l iantpubl ishing.com
Free Product InformationFor free product information from these suppliers, please complete and mail this page to:
Brilliant Results Magazine, 9034 Joyce Lane, Hummelstown, PA 17036or fax to (717) 566-5431
Please circle items of interest.
Name Title
Company Industry
Address City State Zip
Phone Fax E-mail
Ad Index August 2009 Supplier .................................................................... Page No.
3M ® ..........................................................................................................Back Cover
Aprons, Etc. ............................................................................................................. 29
Brilliant Publishing .................................................................................................... 27
Promobiz USA ........................................................................................................... 7
Display Solutions by Aprons, Etc. ............................................................................ 29
GrOLINE ....................................................................... 13, 15, 25, Inside Back Cover
Hallmark Insights .................................................................................................11,29
MagiCubes ................................................................................................................. 3
Packntote ................................................................................................................. 29
PromoBiz USA ........................................................................................................ 29
PromoreThink.com .................................................................................................. 30
USB Widgets ........................................................................................................... 5
Warwick Publishing ......................................................................... Inside Front Cover
August
advertiser’sindex
August 2009 | Brilliant Results 31www.bri l l iantpubl ishing.com
departmentname hereWRITER
Last word
CONSUMER insights resulting from a recent Epsilon Targeting
survey could hold the key to your brand’s ‘win-back’ strategies. While the current
economic climate is providing the impetus for American consumers to become
more frugal and to switch from their favorite national brands for food, household,
health and personal care products, they are far more reluctant to switch to store
brands on purchases for children and pets, according to the latest research
from North American targeted marketing leader ICOM, a division of Dallas-
based Epsilon Targeting. According to this Epsilon Targeting Survey, 59% of
Americans are willing to forsake Pre-recession favorite food and household
brands, but only 12% have switched to store brands for childcare products.
ICOM’s May survey of 1,530 American consumers reveals that the threat of an
exodus to store brands prompted by the current economy varies by category. The
following data shows the percentage of consumers in each category who have
switched to store brands and away from national brands in the past six months:
59% • .... for food and household products;
48% • ........................... for health products;
48% • ...............for personal care products;
23% • ........................ for pet care products;
12% • ..................... for child care products.
The less-risk-means-more-switch trend revealed itself as well in the category
of over-the-counter medicinal healthcare items. ICOM survey responses show
a direct correlation between severity and specifi city of ailment and openness
to switch. The following data depicts the percentage of consumers in each
category who have switched to less expensive store brands and away from
national brands in the past six months:
42.2% • .............for general pain relievers;
31.7% • .....for cold and cough medicines;
30.8%• ..................... for allergy remedies;
21.5% • ............. for heartburn medication.
According to ICOM Marketing Director Warren Storey, the takeaway from this
survey is that “Perceived risk, that’s what is driving these key consumer decisions.
This is the kind of insight that national brands can use to reach customers with
promotions that meet their needs and bring them back. These results highlight
that understanding customer psychology, and tailoring promotions accordingly,
COUPONS, BRANDS & THE CURRENT ECONOMY
PERCENTAGE OF CONSUMERS IN EACH CATEGORY WHO HAVE SWITCHED TO STORE BRANDS AND AWAY FROM NATIONAL BRANDS
PERCENTAGE OF CONSUMERS IN EACH CATEGORY WHO HAVE SWITCHED TO LESS EXPENSIVE STORE BRANDS AND AWAY FROM NATIONAL BRANDS
32 Brilliant Results | August 2009 www.bri l l iantpubl ishing.com
COUPONS, BRANDS & THE CURRENT ECONOMYis a significantly more effective
win-back strategy than scatter-
shot, one-size-fits-all offers.”
In a separate ICOM survey, the
grocery store was firmly established
as the epicenter of the American
consumer’s coupon activity. In
that survey of 1,827, a significant
86.5% of respondents, who said
they had used coupons in the last
month, identified the grocery store
as the place of redemption. The
grocery far outpaced its closest
competitors, which included
restaurants at 46.5%, department
stores and mass merchants such
as Wal-Mart at 41.3%, and drug
stores at 34.9%.
These figures would seem to
indicate that any stigmatization
previously associated with coupon
usage is receding in the wake
of current economic conditions.
Fully 86.8% of respondents in this
survey said they are using the same
amount or more coupons than they
used a year ago. One out of three
said unequivocally they’re using
more coupons than a year ago.
“The good news for national
brands is that there is, in fact,
an opportunity to win back
customers who have switched.
Some marketers were worried
they’ll never return. But the win-
back depends on knowing who is
switching and why, and responding
with targeted incentives based on
that strategic information,” ICOM
Marketing Director Storey said.
In another sign of the times,
survey respondents made it clear
that customer loyalty rewards
supporting basic household
purchasing are the most appealing.
That means groceries and gasoline.
70% of respondents said they’re
interested in getting rewards at
the grocery, 60.7% said gasoline.
The next closest categories were
retail stores at 41.2%, household
products at 40.3% and travel at
29.3%. For more details about
ICOM’s surveys please visit
www.epsilontargeting.com/icom.html.
Epsilon, www.epsilon.com, is the
world's largest permission-based
email marketer and one of the
industry’s leading marketing
services firms. Epsilon services
include strategic consulting,
database and loyalty technology,
proprietary data, predictive modeling
and a full range of creative and
interactive services including brand
and promotional development, web
design, email deployment, search
engine optimization and direct mail
production. Epsilon Targeting, the
new data division of Epsilon,
combines the collective resources
of Epsilon Data Services, ICOM and
Abacus to form the industry’s largest
set of data solutions.
Brilliant results thanks
Tim Sansbury of JZMcBride
& Associates, www.
jzmcbride.com, for providing
information for this article.
“The good news for national
brands is that there is, in fact, an opportunity to win back customers
who have switched. Some marketers were worried they’ll never return. But the win-
back depends on knowing
who is switching and why, and responding
with targeted incentives based on that strategic
information,”
August 2009 | Brilliant Results 33www.bri l l iantpubl ishing.com
off the cuff
A lot of companies have chosen to downsize, and maybe that was the right thing for them. We chose a different path. Our belief was that if we kept putting great products in front of customers, they would continue to open their wallets. — STEVE JOBS
Give a man a fi sh and he will eat for a day. Teach a man to fi sh and he will eat for a lifetime. Teach a man to create an artifi cial shortage of fi sh and he will eat steak. — JAY LENO
1. In a television commercial viewers were asked if Gillette Foamy (in a huge pile on the tracks) was thick and rich enough to stop a roller coaster? Was it?a. Yes
b. No
2. How fast did the man who blitzed through the Federal Express commercial speak?a. 300 wpm
b. 400 wpm
c. 500 wpm
3. How old is the Sun-Maid raisin trademark?a. 50 years
b. 70 years
c. 90 years
4. In what year was the microwave oven introduced as a consumer product?a. 1955
b. 1965
c. 1975
5. In 1666 the Parliament of Toulouse, the high court for Southwestern France, granted protection to a certain product name. What was the name of this product that has one of the oldest protected product names in the world?a. Brie
b. Roquefort
c. Camembert
6. In what country does Domino's Pizza have a reindeer sausage pie on its menu?a. Iceland
b. Greenland
c. Mongolia
7. If you fl ew due east from Cape Horn where would you next pass over land?a. Cape of Good Hope
b. Cape Horn
c. Australia
8. What was the original name of the Popsicle?a. Epscicle
b. Icesicle
c. Fruitsicle
9. What product category did each of the following brand names identify: Confi dence, Charm, Floy, Tall Pine, Trublu, Mother-in-Law, Zest, and Yacht?a. California Soap
b. Florida Citrus Fruit
c. Wisconsin Cheese
10. What is Lochan Ora?a. Scottish Village
b. Large Fish
c. Liqueur
ANSWERS: 1. B – 2. B – 3. C – 4. A – 5. B – 6. A – 7. B – 8. A – 9. B – 10. CSOME TRIVIA QUESTIONS COURTESY OF WWW.SWLEARNING.COM
34 Brilliant Results | August 2009 www.bri l l iantpubl ishing.com
3M, P
ost-
it an
d th
e co
lor C
anar
y Ye
llow
are
trad
emar
ks o
f 3M
. ©3M
200
9.
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Sheet after sheet, impression after impression, put your message on a Post-it® Note and get noticed everyday!
For more information, please contact your 3M Promotional Products Distributor. 1-877-863-6961 or visit www.3M.com/promote