Showing posts with label email marketing. Show all posts
Showing posts with label email marketing. Show all posts

Thursday, May 26, 2011

the power of perception

The mind is powerful. So powerful, in fact, that people see what they want to see regardless of the reality that surrounds them. Hypochondriacs, even those that are self aware, suffer from the persistent delusion that they are plagued by a never-ending series of illnesses. In their minds, they are gravely ill, and no doctor can tell them otherwise.

Consumers can suffer from the same delusions. “There is no objective reality,” write marketing mavens Al Ries and Jack Trout in their book The 22 Immutable Laws of Marketing. “There are no facts. There are not best products. All that exists in the world of marketing are perceptions in the minds of the customer or prospect.”

“The perception is the reality,” they continue. “Everything else is an illusion.”

If facts ruled the day in marketing, many of the top consumer brands would be bottom-shelf items. However, because those brands have established a perception of strength, quality, or leadership in the minds of consumers, facts are irrelevant. Consumers believe that leading brands are “better” than their competitors, and that’s all that matters.

Roger Dooley, a marketing consultant specializing in neuromarketing, recently wrote at his site about a new study that will be published in an upcoming edition of the Journal of Consumer Research. The study illustrates the power of perception in consumer behavior. “Individuals who are dieting or trying to eat healthy foods have learned to avoid some foods by name,” writes Dooley. “The researchers found that the same dish containing vegetables, pasta, meat, and cheese was rated as healthier when it was called a salad instead of ‘pasta.’ Another test showed that subjects ate more ‘fruit chews’ than ‘candy chews,’ even though the product was the same.”

What is the lesson for brands? Consumer perception — positive or negative — is a good place to start when developing any marketing campaign. It’s far easier to start with how consumers perceive your brand rather than developing an entirely new branding strategy or creating a new product. Doing so would require building a new idea in the mind of the consumer, which is much more difficult that altering a misperception.

For example, Porsche discovered through consumer research that its models were perceived as impractical as a daily driver. This perception was hurting sales, especially in a down economy. Porsche wanted to change the perception and began a multi-channel marketing campaign highlighting the value of Porsche as an everyday car, without actually changing the car. “We're not going away from the core brand values of performance, engineering and state of the art technology,” Porsche’s Vice President of Marketing David Pryor told DMNews, adding they simply wanted to focus on some of the more “every day” aspects of it.

For brands hurting in sales, the problem may not be with the product, but rather the perception of the product. The first step to turning around sales should be discovering how consumers perceive the brand, then building a campaign around that perception. The research can discover a weakness (or, even a strength), which can serve as a solid launching for rebuilding the brand. As the research shows, even changing the name of a product can result in an increase in sales.

Sunday, February 6, 2011

audi v. chrysler; the two memorable car ads of super bowl 45

There were two car commercials during the 2011 Super Bowl that really stood out among the others. They were Audi’s "Release the Hounds" ad by Venables Bell & Partners, and Chrysler’s "Born of Fire" ad (presumably done by Duffey Petrosky Wieden+Kennedy).

The two commercials were unique for how differently they tried to sell their client. One used humor with a clever positioning strategy. The other used a serious tone and tried to use American tradition and nationalism. One worked. The other did not.

I wrote recently about Venables Bell’s new strategy to position Audi as the "youthful" luxury car among high-end German automakers. Without disappointment, they delivered during the Super Bowl with a comedic--but potent--shot at Mercedes. The ad’s theme, "progressive luxury," drives home the message that Mercedes is a relic of stuffy luxury vehicles, driven by posh old men with no taste (or, as the commercial insinuated, sense).



As long as Audi sticks with this positioning, they will surely close the gap in market share and begin nipping at the heels of BMW and Mercedes.

Chrysler’s two-minute ad--the longest Super Bowl commercial yet for the company--was supposed to be the kick-off for the brand’s rejuvenation attempt.

It failed, miserably.



There were so many mistakes in Chrysler’s commercial it’s hard to recount them here. From using a celebrity to sell a product, to strongly tying itself to a city that has come to symbolize American automaker’s hubris and unimaginative styling; there just wasn’t much that they did right.

Most Americans aren’t stupid. They know that the failure of American automakers is largely their own. For decades, they have made ugly cars with horrible reliability. Unlike their foreign counterparts, American automakers continued to pump-out uninspired cars on the presumption that their "American-made" hokum would sell them.

It didn’t, and one of the worst offenders is Chrysler.

Detroit is not an American symbol of hope and change. It is a symbol of failure and lack of inspiration. Tying your brand to that, no matter how hard you try to pull at the heartstrings of Americans, will not work. This is especially true when touting the product line as a luxury vehicle, when at no point has Chrysler ever been thought of as an American luxury vehicle (the brand that definitively owns that position is Cadillac).

Chrysler additionally wasted extra money hiring rapper Eminem to be featured in the commercial. Eminem’s ties to Detroit are most likely unknown except to a small minority of consumers, so his purpose is the commercial was completely lost on the audience. Additionally, celebrities rarely (if ever) move the needle on sales. And, the use of a youth-oriented rapper is definitely not going to help launch a "luxury" brand targeted to adults.

Reflecting on the commercial, I mostly remember Eminem and images of a decrepit Detroit. I don’t remember the product, much less anything that would encourage me, as a consumer, to think any differently about Chrysler than I did before.

For having two-minutes of airtime, I can’t think of a way Chrysler could have wasted it more efficiently other than just to run two solid minutes of dead air.

For a company that has yet to repay its debt to taxpayers for the bailouts it received to keep its doors open, this commercial was an insult. As a taxpaying advertising junkie, it was an abomination.

Thursday, January 13, 2011

the golden rule for email marketing: permission

The single, most important factor in the success of an email marketing program is permission. Permission is the foundation on which your entire email marketing program is based. It will impact everything else that you do.

Permission essentially is an established relationship between you and the subscriber. It indicates that your email subscribers have given you explicit consent to email them. If you don't have permission, or your level of permission is weak, the effectiveness of your email marketing program will suffer greatly.

When adding names to your email list, always ask yourself, "Do I have permission to email these subscribers?" If you cannot definitively answer yes, then it is time to re-evaluate how you are building your list.

"Email is permission-based," writes John Caldwell, an email marketing expert and author of Red Pill Email. "You cannot legitimately buy or sell someone else's permission, it comes directly from the recipient. Permission may be revoked by the recipient at any time for any reason."

The strongest form of email permissioning is "opt-in" permission, where subscribers voluntarily agree to become a member of your email marketing program. This can happen in many ways, but the best form is subscribers unequivocally intend to be sent emails by your organization. The key in opt-in permission is the establishment of a relationship between your organization and the subscriber. This relationship can also be established petitions, surveys, purchases, donations, etc. However, when using these techniques, the notification that the subscriber will be receiving subsequent emails should be conspicuous and straightforward.

Email marketing isn't about the number of subscribers on your list. It's about the quality of the relationship you have with your subscribers. "Tricky" or "sneaky" opt-in practices will undermine this relationship, and reduce the quality of your email list. Having a large quantity of people on your email list who either do not want to be on it, or do not know they are on it, will significantly impact your results, and could ultimately shut it down altogether.

The weaker form of permissioning is called "opt-out" permission. This is where a batch of email subscribers are sent an email stating that if they do not "opt-out," they will begin receiving email messages.

While many companies perform opt-out services, this type of permissioning is not accepted by the email marketing industry, and opt-out lists are disallowed by almost every email service provider (ESP).

While opt-out subscribers are technically legal to email, the lack of a solid foundation of permission can hurt your sender reputation due to complaints and reduced subscriber engagement.

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This is part one in a series on email marketing.