News tagged customers
February 19, 2010
One of the latest controversies to spin its web around the 2010 Olympics in Vancouver deals with sponsorship or better yet the lack their of. Many large corporations have been selected to play and pay the part to be the financial back bone of these winter games; altogether forking over $750 million that goes directly towards the VANOC budget. The issue lies with the “me too” businesses who want to capitalize on the patriotism, tourism and increased spending that comes with hosting a sporting event such as this.
What Exactly is Ambush Marketing?
According to Wikipedia the definition sits as such:
Ambush marketing is a marketing campaign that takes place around an event but does not involve payment of a sponsorship fee to the event. For most events of any significance, one brand will pay to become the exclusive and official sponsor of the event in a particular category or categories, and this exclusivity creates a problem for one or more other brands. Those other brands then find ways to promote themselves in connection with the same event, without paying the sponsorship fee and without breaking any laws.
The Rules of the Game
After reading what it felt like volumes of what not to do I have summarized it all with one list. If you are not considered a sponsor then legally one must steer clear from depicting anything that resembles winter sport, competition or mentions any of the following terms (on their own as well as combined) such as:
Olympic
Podium
Medal
2010
Vancouver
Winter Games
Rings
Inukshuks
The Chosen Team & Those Warming the Bench
At this point you might have to claim to be living under a rock if you did not know McDonalds, Coke and Hudson’s Bay Company had something to do with the Olympics. RBC or Royal Bank of Canada is also within the same league but it is truly those that were not picked to be with the “elite” that are the ones to watch for. These are the companies who don’t have a lot to loose if they can find a way around the tight restrictions set forth by VANOC; and they have. Roots, LuLu Lemon and Scotiabank are the three causing the most uproar with the two former launching their own clothing lines themed around a “certain” sporting competition that just so happens to be taking place in Bristish Columbia this winter. LuLu Lemon has even gone as far to name their line “Cool Sporting Event”; which cunningly omits all the terms (i.e. Vancouver, 2010, and Olympics) deemed unusable or treading on VANOC‘s turf. Scotiabank, in an effort to tag onto this new found love for Canada has also been tightrope walking VANOCs guidelines with their “Show Your Colours” campaign that conveniently runs the same dates as both the Olympic as well as Paralympic games. And despite the pleas from Vancouver’s governing Olympic body for these businesses to play “fair” it makes one wonder if is even fair to begin with.
Penalties (If Enforced)
At this stage in the game, almost halfway through the Olympics, both sides are pushing to see if one will make a move over the other. If found guilty of copyright infringement these businesses in question could be fined up to $1 million dollars and face a maximum 5 year prison term. The grey component with this is for VANOC to win the battle in court they must prove that the company (or individual charged) is creating a uncertainty among the public about who is an actual sponsor and who is not. And relying on the said public to agree one way or another is not something either party wants to bet on.
Player Backlash
Sponsors hate it because it creates confusion in the minds of consumers and worse yet choice.
Vanoc and the BC government see it as a direct hit to their profits.
The Own the Podium group considers it to be their main source of non-government funded income so any reductions to this directly affects our athletes.
Unchosen suppliers feel that it leaves the smaller businesses, who cannot afford to hand out $200 million to participate, left out in the cold.
Media have taken the stance that strict standards set early were too tightly governed and essentially created this clash.
Spectators and Commentator Reaction
And the consumers? Well that is up for you to decide… does it matter that the sponsors determine what you can eat, drink and bank with for 16 days? Does it bother you if the big players like McDonalds or unheard-ofs like Olympic Pizza are making profits during the games? If given a selection of items could you tell those that have been given official licensing and those who have not? Do you think it is fair that Own the Podium gains financial backing but Right to Play does not?
But most of all do you care? This is the real question that everyone is afraid to ask because… consumers if you don’t, it makes this issue irrelevant and the idea of asking millions of dollars from a handful of sponsors ludicrous. Not to mention puts the pressure to fund these games back on the government and back on us. Or would it? One might think it would change the strategy of the game, the make-up of the teams and possibly the result.
September 28, 2009
When is the last time you dug, not just asked, but really got dirty and dug into what your customers and clients love/hate about your industry? What kinds of emotional connections have been made? Are they good? Great? Beautiful? Painful? Until you have started your excavation, you will never know.
Some special brands are so far out in front that they seem to have evolved into something else. They have created a loyalty that goes beyond reason. Loyalty is created through mystery, sensuality, intimacy and creativity; those that can put these ideas into action will become truly coveted brands.
Left brain thinking doesn’t cut it anymore.
Rationale; features; benefits – what a steaming pantload. In order for your clients and customers to be loyal to you they have to love you! As in any relationship, without loyalty and trust there is no love, without love there is no loyalty and trust. They go hand in hand. Rationale is not enough!
Do you read the newspaper – front to back, word for word?
Do you watch the 6 o’clock newscast for the entire hour?
Have you ever had a telemarketer puke all over you for 15 minutes (as you watch your dinner get cold), and you eat up every word of it? Not a chance!
People don’t have time for information.
You eat on the run, you drive your kids to football and dance, you work, you workout, you do it all! We do not have the time, nor do we really care to be convinced that what company X has to sell us is intellectually the best choice. Information isn’t a competitive advantage any more; we are way past that age – and thank God. How boring. What a crappy time to have been a part of – best this, finest that, fastest this, strongest that. BORING!
In my opinion we are in the beginnings of one of the most fantastic times ever. We are re-establishing an age of old, some might even dare to say an age of new.
The age of discovery.
The age of the idea.
The age of hope.
The age of dreams.
The age of emotion.
Where’s the emotion?
Doesn’t it seem like emotion has been taken out of the equation of most purchases? Deep down, don’t we all just want to find an emotional connection to something? Take real estate for example – we aren’t buying into the realtor’s knowledge of real estate, or because he has “the guaranteed home selling system” – features and benefits like this are transparent. What we are buying is their integrity and belief that they actually give a damn about us; that they actually care about the type of house we want to build our hopes, dreams and memories in. All we want as consumers is to feel the world through all 5 of our senses. Brands that can take us to that fantastic place; brands that can move us from logical reasoning to emotional responses will in all likelihood create loyalty beyond reason.
The goal of any entrepreneur, business owner, manager or marketer shouldn’t be to make tons of money. The focus is skewed and therefore the end result will be too. The focus should be to create loyalty beyond reason. Why? Because that means you can appeal to your customers and clients in a much deeper way; forever. And forever is where success lies. Isn’t it true that if you look at your best customers, the ones whom you love, the ones whom you laugh with, the ones whom you go for a coffee or a pint with, the ones that bring you the most money; are the same ones that are committed to you and have been with you forever?
You want “lifetime” customers and you want them to have a love affair with you, so that no matter what the competition does, no matter what a A-Buck-or-Two or Wal-Mart (commodities) are offering cheaper, they will stay with you and they will pay a premium price to do so. Just as you will stay with your husband or your wife over 30 years because you have loyalty towards them beyond reason; a force that is bigger than a feature and much larger than a benefit is at work.
Now go make some love with your customers. Create loyalty beyond reason!
January 19, 2009
8. Look to “low-hanging fruit” technology to become more efficient and more productive.
Many of us may not be using technology to its fullest potential. Explore ways to use your tech investment to help drive down other costs and accommodate more sales without having to hire more staff. Look at free or nearly free technology from the Web, such as Google Apps for business. No matter what size of company, we recommend
Google Apps to all of our clients because it is a cost efficient way to stay connected. Consolidate all of your email, calendars, communications, and information sharing without compromising control and flexibility.
7. Consider outsourcing.
Why have everyone in house? Unless employing people is the most-cost efficient way of getting the job done, outsourcing is usually a great alternative. In many cases, outsourcing is an excellent way to make better use of time and energy costs, to redirect or conserve energy, and to make more efficient use of land, labor, capital, information technology, and resources. Outsourcing is a great method to extend your organization’s capacity and help bring a fresh perspective to light. Couldn’t an outsider’s point of view be a huge business advantage over your competition?
6. Re-examine every one of your operational services.
Sometimes we use business services for years without realizing there may be substantially cheaper – and better – options on the market. Look at your telecommunications, your computer network, and your hardware. For instance, you might want to evaluate services like Skype, VoIP or wireless phones with calling circles to save on telecommunications costs. Even look at things like your insurance and your travel suppliers to look at ways to cut other operational expenses.
5. For start-ups, start selling something asap.
Cash flow is crucial. If you run a start-up, don’t wait until your product is perfect. And if your main products are big-ticket items with long sales cycles, come up with some lower-priced items to sell pending the big sales closing. Negative cash flow is the big “gotcha” for smaller firms — you don’t want to run out of cash before you are out of the gate.
4. Cut existing staff only as a last resort.
Most small businesses don’t have much staff to begin with. So cutting staff often means losing a vital lifeline and can sometimes be a surefire way to business suicide. With every forced cut it will probably have a demoralizing effect on the remaining staff. “Am I next?” syndrome can sweep over the office and your employees may find work elsewhere as a desperate act of self-preservation. I’d rather ask people to take temporary, across-the-board pay cuts, or eliminate some benefits, than lay people off… unless pushed to the wall.
3. Focus on customer retention instead of customer acquisition.
In any economy it is ALWAYS tougher to gain new customers than it is to keep existing ones. Now is a great time to re-evaluate what you are doing well and what needs improvement. Unsure? Ask! Start a “listening lab” – a listening lab is one of the best marketing projects you can undertake. It shows your customers you are committed to keeping their business, and it helps you make the important decisions to streamline and improve your service. If you have to make a choice, focus on relationship marketing and building the relationships with your existing customers versus new customer acquisition.
2. Don’t cut marketing.
For some reason when times get tough, many business owners cut funding to the one area that is designed to keep business coming – marketing. Cutting marketing means cutting your business off at the knees. When customer spending slows down, make sure it’s your competitors’ sales that slow, not yours. Instead of cutting down your marketing spend be more aggressive and more creative at marketing than your peers. Believe it or not you have been given an opportunity; a recession is your chance to gain customers and help grow your business. When the economy turns around you will be miles ahead of your competition.
And the number 1 way to help your business weather the recession is…
1. Don’t cheap out on your accountant.
Now is the time to have a kung fu grip on your business numbers, more so than you’ve ever had before. Your accountant is your sensei. Bow to your sensei! Cash management, and management of accounts receivables, will make or break you during tough times. Weekly – even daily – attention to your numbers will give you early warning of issues and buy you more time to adjust.
November 17, 2008
I work for a marketing company so naturally I have an interest in following the various marketing techniques and creative ad campaigns of industry geniuses.
Everyone I talk to loves the branding of this company and even I have fallen for those cute little animals that grace their advertising. We are captivated by the nose-twitching bunnies, mischievous monkeys, parading parrots and even the lovable-looking reptiles. That emotional connection is probably what attracted me to sign up with Telus in the first place. But I think that they have focused so much on the visual identity of their branding that the customer experience (THE brand itself) has gone to the dogs. Maybe their next advertising campaign will feature adorable puppies scampering about. I won’t care because I am disconnecting.
My most recent experience with Telus was phoning to complain about extra charges on my phone bill (a long distance administration charge even though I hadn’t used Telus long distance services.) I politely threatened the agent with terminating my telephone/Internet service with them after almost ten years. The agent did not want to lose me as a valued customer (so I thought) and so offered to upgrade my modem and Internet to the higher speed, and gave me a free month of service. I exclaimed that they had made an unsatisfied customer very happy. I felt like the rabbit was finally going to get a carrot.
I received the free modem a few days later. On set-up I discovered that it was not working- only the power light illuminated. I called Telus and their IT person walked me through the set-up which again proved only the power light on this new modem lit up. “This is simple enough to fix,” I said “send me a new modem.” However, Telus wouldn’t hear of it and insisted on sending an IT person to my house to check the lines even though the old modem was working just fine on those lines.
I waited and waited some more. I made at least 8 calls to Telus over a two week period and received a daily promise that an IT person would be coming to my house to fix the problem. Perhaps he had been dispatched via the back of one of their huge tortoises. With each call I was required to re-check the lights and each time I would respond with “Just send me a new modem-I don’t need an IT guy.”
Finally, 2 weeks later, an IT guy arrived (in a van decaled with love birds) to check the in and outside lines which were fine. The IT guy confirmed the modem was dysfunctional. Had the IT guy brought a new modem with him to replace the one I had told them all along was not working? No. Apparently he was also dysfunctional.
Call number 9 resulted in me not so politely telling the agent that I wished to cancel my Telus service all together to which she replied, “You can’t. You now have a three year Internet contract which is why you got the free modem and free month of service.”
I suddenly felt like one of their crocodiles had a hold of my leg and wasn’t going to let go. It wasn’t customer service I was getting when I had initially complained. It was fraudulent sales tactics. The future, (and all their cuddly critters) may be friendly at Telus but the here-and-now sure isn’t.
So, I could let this experience turn me into a bitter and twisted Telus client but somehow every month when my phone bill arrives those perky little animals on the envelope just have a way of making me forget my troubles and smile. I mean look, this month’s campaign is featuring a litter of the most adorable little puppies. Is this marketing genius? A distraction from the obvious? Both?
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