Consumer

Who determines absolute value?

March 5, 2014

Many people, myself included, believe in the power of a strong brand. Brand positioning has influenced buying decisions for years and a company with a strong sense of their own brand and a commitment to authentically walking out that brand is at an advantage over their competitors.

In the past, a great brand could significantly influence if not determine the absolute value of a product or service.

But, is that marketing truth evolving?

I’ve just finished reading the book Absolute Value, What Really Influences Customers in the Age of Nearly Perfect Information* by Itamar Simonson and Emanuel Rosen and it digs into this issue. The book offers many examples of how consumers have viewed and evaluated brands in the past and how they are coming to interact and judge them today. When you see the trends spelled out, in example after example, it’s pretty eye opening.

To kick things off — the authors list 5 widely held beliefs and suggest that they are all becoming less true today.

1. A company’s brand is more important today than it has ever been
2. Nurturing loyalty should be the marketer’s primary, day-to-day concern
3. All customers are irrational
4. An overload of opinions may actually paralyze people
5. Positioning is the most important part of the marketing game

The authors assert that most brands are losing their role as a definer of quality and that a consumer’s past satisfaction is not as anchoring as it used to be. They also contend that because of the abundance of rational information that is so readily available to all of us, our methods of evaluating products and services has changed dramatically.

We really don’t shop/buy the way we used to. Let’s say you need to buy a car. Back in the day, you either went to a dealer based on your brand preference or you might have reacted to a TV spot or your neighbor’s experience.

But today, what would you do? You would look online and read the reviews. You’d look at safety reports. You’d then go to a site and could review exactly what the dealer paid for any car you were interested in. Finally, armed with print outs and a price you knew was 3% over dealer invoice, you’d head to the dealership.

Suddenly, you have access to all kinds of data that wasn’t readily available a decade ago and much of that data is ranking, grading and critiquing the item in question.

Given those two choices – a fuzzy brand preference or hundreds/thousands of reviews from other people – which do you think will influence you more today?

If you’re like most other people, you’ll trust the masses more than your own perception or previous experiences, unless you’re already a brand zealot.

That’s where the problem comes in for marketers. In this new marketplace, there’s a voice that is overshadowing theirs. And it’s not just word of mouth. It’s word of mouth, amplified. Many voices and they’re so much easier to find/listen to. And it turns out, their collective wisdom and experience is quite compelling.

This book is a thought provoking read. (Buy a copy of the book**) It will make the marketer in you tilt your head and really wonder about the effectiveness of your efforts. It will make the consumer in you examine your own purchasing patterns and identify some of your biggest influencers.

But whichever hat you’re wearing — it will force you to look at our world and your work in marketing a little differently. Just like your consumers are doing.

 

 

 

*I received a copy of this book from Emanuel Rosen but I really did read it and I really liked it and found it thought provoking.  You’d be amazed at the number of books I receive that I don’t really like… and therefore, don’t mention to you.

**Amazon affiliate link

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Useful = today’s marketing secret

September 3, 2013

Let’s look at the reality:

• Fragmented media choices
• Permission-based media on the rise
• Ability to filter, skip, ignore irrelevant advertising
• Nothing beats word of mouth
• A jaded, cynical consumer
• Consumers tuning out, taking over and talking loudly about brands

That mountain of challenges is what faces marketers every single day.  So how in the world do we earn their attention, their dollars and even tougher — their loyalty?

Author, consultant and tequila loving Jay Baer believes he has the answer and outlines it in his book Youtility: Why Smart Marketing is about Help Not Hype.*  (I have 9 copies to give away — read to the end to find out how you can win!)

Jay’s premise is simple enough. If brands focus on being helpful, consumers will be drawn to them and when they’re ready to buy, that brand will have already earned the consumer’s trust — so they’re more likely to also give you their money.

Jay calls this friend-of-mine awareness (as opposed to top of mind awareness) and argues that in a congested, time starved world – if you want to keep earning market share, you need this level of connection with both customers and prospects.

The book is packed with stories, examples and very pragmatic ideas that any business — big, small, consumer or business focused — can implement.  It’s one of my favorites for 2013 — and a book you should definitely read. (Click here to order it from Amazon*)

I asked Jay a few questions about the book.  Here’s what he had to say:

If you had to describe the content of your book in a single sentence (no run ons) what would it be?  

If you sell something, you make a customer today. If you help someone, you can create a customer for life. 

What one book that you’ve read do you wish you could claim as your own?

Different: Escaping the Competitive Herd by YoungMe Moon, and anything by Bill Bryson.

In your opinion, what is the one trait that all uber successful business people possess?

A true understanding of customer needs.

What’s the biggest business mistake you’ve ever made and what did you learn from it?

I botched a 1031 real estate exchange eight years ago, costing myself a ton of money. I learned to trust experts that you hire, but always follow up.

Why did you have to write this book?  What truth or insight was missing from the human consciousness — that you’ve now answered?

2 reasons. I wrote their book as a reaction to the landslide of punditry that prescribes “make your company amazing” as a strategic approach. Also, I wanted to give people a thoughtful scaffolding for why and how they should be creating content.

After someone is done reading your book — what do you hope they do as a result?

First, begin to understand how your company can insert itself gracefully into the lives of customers and prospects by being useful. Second (or maybe first), tell 3 friends to buy the book! 

Okay — the book is awesome and you should read it.  And 9 of you will get to read it for free.  Winning a copy is simple.  Leave a comment on this post and I’ll use the randomizer at random.org to pick the lucky readers!

 

*affiliate link

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Moving your prospects to the next step

May 17, 2013

When you’re creating any sort of communication aimed at a potential buyer, you want them to do what?

When I ask this question, I typically hear a range of answers like:

• Know more about our business
• Understand how we’re better than our competitors
• Wonder if we’re the right fit for them

And of course….

• Buy what we sell!

All of that is probably true. But it’s too complicated. No matter how or where we’re communicating with a prospect, what we should want them to do is… take the next step.

Your job is simply moving your prospect to the next step.

That next step might be downloading an ebook, filling out the bounce back postcard to get a no obligation quote, emailing us with questions, signing up for a workshop, clicking on the buy now button or picking up the phone to schedule a meeting.

The answer is…we want them to take the next step in the sales cycle, whatever that may be. You want the reader (or listener or viewer) to do something to escalate the conversation. At that moment – you are talking to them. You want them to talk back somehow. And your copy should tell them exactly what to do.

I can hear you now… “I don’t have to tell them to call me. They’re not stupid. They know it’s an ad.” Very true. They’re not stupid. But they are incredibly busy, fragmented and they’re probably doing three other things while they flip through that magazine that houses your ad or click to the page on your website that has your workshops on it.

A call to action isn’t a remedy for stupid; it’s a remedy for their attention deficit. Its purpose is to get them to step out of a passive role and take a more active one. Because you have about 2 seconds before they change the channel, turn the page or click on the clapping monkey animated GIF that will take them away from your offer.

How do you write copy that captures their attention for that millisecond so they’ll take action?

Be very specific and direct: You need to spell it out for them and it needs to be simple. Click here to sign up or call XXX-XXXX to schedule an appointment. This isn’t the place to be cute or vague. You don’t even have to be polite and add a “please: or “thank you.” Just give them simple instructions that leave no room for doubt.

Focus on the benefit: Remember, you are trying to stop a moving train. They’re halfway to that next click or page turn. To get them to stop that momentum and move in a different direction will take something pretty compelling. Remember that we’re all motivated by the “what’s in it for me” equation so don’t be shy about telling them how they will benefit.

Keep it simple: If what you ask them to do is complicated, requires multiple steps, has complex directions or asks for too much information, — they will just move on. How many times have you started to fill out a form and then looked at how many questions it asked and said, “forget it” as you stopped?

Make it immediate: Sometimes this isn’t possible but whenever you can, make the call to action something they can complete right now in the moment. Remember, they might discover your ad or marketing piece at 2 am or while they’re standing in line at an airport.

For most organizations, a sale is a multi-step, complicated process. So keep that in mind as you create your calls to action. You’ll have a lot more success getting people to take one baby step at a time. Just give them the steps.

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Brand truth: I don’t care

June 13, 2011

…Are they really the tree huggers you’d hoped?

…about what you wish I cared about.

Way too many brands chase the fad of the day, thinking they can jump on a swell of consumer sentiment and rise those profits into the sunset.  No so fast, my friends.

For your brand to be effective, sticky and enduring — it has to be about what matters to your consumers.  They have to genuinely identify with it/care about it.  You can’t make them love you.  (Nod to Bonnie Raitt)  No matter how hot the trend is or how passionate you might personally be.

Case in point — a recent study done by OgilvyEarth (I’m pretty sure David Ogilvy rolls his eyes from the grave on that one) shows that most consumers aren’t buying the whole “green movement.” In particular, men are not motivated or swayed by green marketing messages.  It turns out that their perception when they hear green is “more expensive.”

So playing to the trend is actually hurting those brands who hoped that men would be moved to pull out their wallets based on the green movement marketing position.

Time to do your own brand check.  Are you trying to force an idea, value or belief at your core audience?  Or…do you know yourself and your core audience so well that you know what brings you together?

And before you are quick to answer…be ready to tell me this.  HOW do you know that your brand is what truly resonates in the hearts of your core audience?

 

Hat tip to Kami Watson Huyse for tweeting the Ogilvy link.

 

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