marketing

What’s next. For text.

Nader AshwayLeave a comment

This week, it was announced that Apple is adopting RCS (Rich Communications Service) as a standard feature on its next iOS version. RCS is aptly named, as it does enable more rich forms of communication to be sent over the texting network. (Textwork? Nextext? Just spitballing.) Now, instead of just text in a blue – sometimes green – bubble, or the occasional animated GIF from friends or bit.ly link from brands, images and videos can now be shared, and even interactive features.

Obviously, this news is rife with marketing and business implications.  A survey from Juniper Research, a UK-based telecom research firm, found that “business messaging traffic will grow from $1.3 billion to $8 billion in 2025.” Wowzers. That’s a lot. And soon. Some of that growth is to be realized in no small way by Apple’s 900 million devices entering the fray.

RCS is also notable for providing end-to-end encryption so that messages can’t be intercepted. Apple, who has been prickly about privacy, especially as it relates to marketing via mobile devices, probably saw this is an opportunity to deliver more robust services to iPhone users while toeing the line of its newer, harsher security stance.

As it relates to marketing, the possibilities seem both endless and exciting. More rich media often holds the door open for more robust and interactive engagements. Surveys. Games. Direct app downloads. Oh my!

So, could this be a kind of renaissance moment for the oft-maligned outpost known as direct marketing? Methinks perhaps. Instead of just offering the standard “reply STOP to opt-out” or  “1 to reply YES” options, recipients of RCS messages can now explore the brands’ text-messaged offerings in private, low-risk interactions and decide (if the brands do this correctly) on a number of engagement pathways.

So everybody wins: brands get to design and deliver more interesting and more entertaining features directly to consumers to increase engagement and drive whatever metrics they’re chasing. Consumers get to engage with cooler marketing tactics while still feeling in control of the conversation (remember, you can opt out or just delete anytime you like.) Heck, direct marketing wins by getting a slick, new, digital shot in the arm.

But the real winners? It’s the carriers.

That’s right. AT&T, Verizon, T-Mobile. At least in the United States, they stand to gain most from this boon since they’ll be double-dipping their way to some of that 4X growth predicted by Juniper in their report.

For Dip 1, it will cost brands more to send these richer engagements across the texting network (Textnet? TheNextwork? Still working on ideas.) through the various third party mass texting platforms that enable them. Because the platform rates will go up on a per-message basis as well to cover the increased carrier fees. Hmmm.

And for Dip 2, carriers will quietly pass additional fees on to consumers on their monthly bills. That old “text and data fees may apply” disclaimer is now going to cost a titch more than it used to the more you start opting in for these newer, brighter, more colorful and more animated engagements. The fees will be nominal to each consumer, but across these networks of hundreds of millions of subscribers, it will amount to some delicious over-the-transom revenue from both sides of the marketing equation. And with no additional infrastructure costs.

Well done, you sneaky little bastards.

Facebook’s Meta transition. A mashup that proves hardware is the new tech.

Nader AshwayLeave a comment

Late last month, noted CEO Mark Zuckerberg announced that Facebook is changing its name to Meta, and changing its official stock ticker from FB to MVRS.  The name Meta is a shorthand for the metaverse, which is itself shorthand for an almost fully immersed online world, where people can play, work, and gather in groups in the virtual sense. Zuckerberg is betting big on building it, even though it’s been tried before. (More on that in a bit.)

That this massive shift away from one of the world’s most recognizable brand names comes amid a slew of scandals is indeed curious.  But let’s leave all the political soundbites and sexy headlines aside for the moment.  This is not about the Facebook Papers, nor about Russian disinformation, nor about Cambridge Analytica, or data collection, or facial recognition…man, they do have a lot of shit swirling around the campus out there, don’t they?

Nah, this smells like a big bet hardware play, plain and simple.

This whole Meta rename is nothing more than a cosmetic corporate restructuring that will now control Facebook and its other well-known brands, including Instagram, WhatsApp, Messenger and Oculus.  A lot like when Google changed their name to Alphabet, and rolled up all their brands, including Google itself, under the holding company.  (PS – only investors care about this stuff, and THEY still call it Google. And the stock ticker for the company known as Alphabet is…GOOGL.)

So why isn’t Zuckerberg saying that?

I have an idea. Maybe it’s because the metaverse isn’t a great idea.  Or, rather, maybe it isn’t a great idea to shelter it under the enormous loads of cash that the artist formerly known as Facebook has at its disposal.  It’s been widely reported that the year one budget is over $10 billion, and that 10,000 people, mostly in hardware, will be recruited to make it go.

When any entrepreneur wants to launch a new idea, especially a broad and ambitious one like the metaverse Zuckerberg envisions, it’s good practice to prove it can actually accomplish something on its own merits.  It’s a good practice to seek capital from investors and show milestones that prove the concept.  In the absence of that kind of oversight and objective grownups in the room that business incubator model provides, it’s just another lavish vanity project.  The Metaverse is to Zuckerberg what space is to Bezos, Musk and Branson: a vast unknown that he hopes to monetize.

And let’s remember two important things about Meta’s metaverse:
First, the road to the metaverse was paved by Second Life way back in 2003, a full year before Mark Zuckerberg’s “hot or not” turned into “thefacebook.” It is a metaverse full of avatars and provides an almost identical experience to what Zuckerberg envisions: an interesting alternative online environment, where you can have virtual meetings and other whatnots.  (Kinda mostly trying to ply a virtual shopping mall, though.)

Second, and far more interesting: Meta’s virtual world will require, not suggest, that you purchase some very real and very significant pieces of hardware to access it. Oculus VR goggles are currently retailing at around $300, and may not have the full range of capabilities to access what will eventually become the Meta metaverse. It’s a long way to go to sell a bunch of accessories, but it sure sounds like a hot hardware play, doesn’t it? Build the metaverse, get a lot of good press, then tell those who can afford it that the only way to get on board is to buy some rechargeable VR binoculars, now available in six avatar-worthy colors!  All of this is coming right on the heels of Facebook (can we still call it that?) inking a deal with Ray-Ban to sell some fancy Smart Wayfarers that take photographs and play tunes, also for about $300.

If I didn’t know better, I’d swear Zuckerberg was trying to emulate Steve Jobs in some way. After all, Apple’s most successful product was/is the iPhone, not the Macintosh, its former flagship. It required the purchase of a significant piece of hardware. It was an ambitious project and came decades after the company launched. And Jobs didn’t just have the phone developed with a base OS and software.  He outsourced the smartphone “experience” to third party developers via the app ecosystem so every user could customize their device to their liking and have a uniquely personal interaction with it. It’s what ignited the phone’s insanely fast global adoption, and may be a route that Zuckerberg is similarly exploring.  The metaverse will require the purchase of significant hardware.  It, too, is an ambitious project that will launch decades after the Facebook flagship. Let’s all pay attention over the next couple of years and take notice when third-party developers – under a watchful eye and strict guidelines, of course – are invited to curate and broaden the metaverse experience in various ways, like shopping, gaming, utilities, fitness, and others.

Other tech CEOs have also profited marvelously in various ways on and off the Internet, and have pivoted to hardware in the process. Brin and Page monetized consumer intent with paid search advertising. Then they sold us Pixel phones and Google Home and acquired Nest for broader reach with devices. (And they’re betting big on Waymo.) Musk made his money online with PayPal when it sold to EBay, then monetized major hardware with Tesla electric cars. Bezos is a retailer and monetizes markup. He also likes hardware – Kindle and Echo both do just fine, thank you very much. With Meta, Zuckerberg seeks to do all of the above, just in the opposite order. He’ll first sell hardware to access the metaverse. Then he’ll sell advertising (likely highly contextualized) with a new model that combines search history, affinity, and basic demographics to a mostly Gen Z audience. He’ll build in some exchange system (maybe crypto-based) in the metaverse that costs real offline dollars. And he’ll most definitely build some kind of online shopping component.

So…what color would you prefer for your new goggles?

Coronavirus CMO Checklist

Nader AshwayLeave a comment

marketing_thingy_checklist_image

As we’ve turned the calendar to another month of dealing with the uncertainty surrounding the COVID-19 pandemic, a lot of brands and agencies are wondering what’s next.  While many brands have pivoted to pandemic-related messaging (see a regularly updated list here,) most are taking a breath, and working hard to plan their next move(s.)

Believe it or not, this forced time-out can be an incredibly useful opportunity on many levels.  Whether you’re the CMO of a global brand that spends millions or an owner/manager of a small to medium-sized business that’s trying to edge out your competition on a regional level, this may be the best time to evaluate your brand and make structural moves to re-position it for success when the world wakes from its medically-induced commercial slumber.

Here’s a quick dos and don’ts checklist of items to consider while we’re all waiting for the refs to say it’s time to get back in the game:

ON POSITIONING

DO reinforce your strategic position, whatever it might be. If you’re the low-cost leader, then now is the time to forage for ways to maintain and even strengthen that position, perhaps by having new discussions with suppliers and distribution agents.  More importantly, if you don’t have a strategic position (or perhaps don’t know exactly what yours is,) you’ve now been given the gift of several weeks and even months to figure one out.  Huddle with your team – or better yet, a consultant or agency – and learn how to articulate who you really are in ways maybe you haven’t before.

DON’T waver.  If you do have a position and it helps the consumer/customer understand what makes you different, do not veer from your course.  You might hear of brands trying to “strategically pivot” into new areas and try to replicate what competitors do in an effort to grab short-term revenue gains or “narrow their gap.”  We’ll probably see a LOT of price manipulation once the markets begin to wake as competition for consumer attention will spike – but don’t be tempted.  If your position is built on quality, or prestige, or speed, or technology, or safety, or any other attribute that you can effectively “own” in the mind of the market, stay the course.  The consumer segment that desires your position will be more motivated than ever to seek it out when this is all over.

ON STAYING IN TOUCH

DO stay in touch with consumers/customers and stakeholders of all kinds. Be a friend in some way.  Be a lifeline if you can.  One of the most compelling aspects of this pandemic is the psychological toll it’s taking on people from all walks of life.  Routines are disrupted.  Rituals interrupted.  And we cannot forget that brands represent constancy and normalcy for so many Americans – perhaps the only two commodities that are in shorter supply than toilet paper. As long as your brand is reminding consumers that you’re still there, and will continue to be there to support them with what they expect of you, you should come out of this national hibernation in pretty good shape.

DON’T brag.  Even if you’re doing the most amazing things right now in your community or in your industry, no one wants to hear how great you are.  Do what you can to serve in this crucial time, but do those things quietly and let the results speak for themselves. Grandstanding is not a good look in a crisis.

ON ADVERTISING AND STAYING VISIBLE

DO advertise if it makes sense and you have something valuable to say. In my last post, I advocated strongly for advertising, and provided several reasons why it’s more important than ever.  I continue to recommend that you stay visible and adjust your messaging to take the current consumer environment into account.

DON’T disappear.  Find ways to stay relevant, even if you’re conserving major expenditures (like media costs.) This is a great time to get more social, expand or enhance your app, send timely email updates and so on.  AND DEFINITELY DO NOT use your advertising presence to take shots at competitors.  You should notice that there’s no “feuding” going on now, even among the largest brands.  No cola wars.  No chicken sandwich smackdowns.  Competitive advertising in the current climate is not only a waste of valuable ad dollars, it’s in poor taste. Consumers are paying rapt attention right now, so behave with your brand as though momma was watching you.  ‘Cause she kinda is.

ON PLAYING THE LONG GAME

DO be prepared (financially and otherwise,) to ride this situation out well into 2021.  It’s clear that some brands will falter during this time as consumers are also re-evaluating their priorities and allegiances.  Staying true to your brand ethos (and reinforcing/refining your position, see above,) can a.) cement the relationships you’ve already worked so hard to forge and b.) make you look darn attractive to those defecting from other brands.

DON’T rush your expectations.  Although confidence is virtually nonexistent at the moment, consumer motivation will be high and will likely surge for many months as the commercial rebound begins.  Expect a tentative but large wave of consumers re-entering the market with fresh perspectives and open minds.  Rushing to grab profits and short-term gains (in an attempt to recoup some recent losses) may preclude your brand from the much more substantial rewards of sustained success and new fans.

20 for ’20

Nader AshwayLeave a comment

20_for_20Okay, it’s a new year. Some say it’s a new decade (we’ll argue that later, since it’s technically the last year of the 2010’s, but we can all agree it’s the start of the 2020’s.) And while the “resolutions” ship has already sailed, we do want to get the year off to a strong start.

With that in mind, here are 20 ideas, both strategic and tactical, that you can use to kickstart your brand into the new year. Whether you’re a consumer brand, a consultancy, a business-to-business brand, or a non-profit, just giving these a good think should help you improve your marketing efficiency, clarify your plans, and get you in motion.

1. Give your SEO a refresh.
While we all know the value of SEO, a lot of brands tend to “set it and forget it.” And unfortunately, that can actually hurt your long-term chances for optimization. Search engines like to see activity on your site, and this is a great time to reevaluate your keyword plan, write some new (and rewrite some old) content, and add or update both internal and outbound links.

2. Get more interested in data.
Especially your website analytics. Find out who’s visiting, when they’re visiting, and from where they visit. It may give you some good new promotional ideas, or better yet, it may help you reconnect with some customers you haven’t heard from in a while.

3. Reconnect with prospects – even the ones that seem “cool.”
Got a form on your website? Use a call center?  Send something interesting to every person who called or filled out a form last year. They may just be waiting to hear from you again!

4. Get more social.
Sure, everyone says this every year. But for good reason. And it doesn’t have to be agonizing to create relevant posts or content strategies. Try advertising on social, too. The targeting parameters keep getting better, and Your. Prospects. Are. There. All. The. Time.

5. Advertise!
It’s time to stop sitting on the sidelines, or waiting for some magic “perfect moment” to come around for when you’re going to run that “magical” campaign. The truth is, prospects tend to remember the brands who tend to advertise. Start by evaluating your core positioning, and then articulating it simply in a series of adverts.

6. Serve your community in some way.
We all live somewhere, even those of us who are remote service providers. Is there a way you can serve your local community this week, or this month? Perhaps a way you can devote a little of what you do this entire year to a worthy cause? It doesn’t have to be monetary donations. Volunteer your time, or your talents, or organize a board who can tackle an issue. It’s what all the cool kids are doing now.

7. Try a strategic partnership.
Of course, this depends on your brand and what it does. But think about partnering with another (non-competitive) brand. How can your COMBINED offering serve your consumers in a way that you can’t now? And look for a partner who can benefit from what your brand does, too. Hint: think across categories for the really cool partnership opportunities.

8. Do a customer survey.
Do you know what your current customers/consumers think of your brand right now? Ever wonder what they would ask for if they could just get in front of the CEO? Just ask them. It may help you recognize some holes in your offering, and it may help your consumers form a stronger opinion of your brand, too.

9. Refresh your packaging.
Even if you’re not a “packaged good,” your brand is packaged in some way. What you call it, how you dress it, and how it gets delivered – all of these are “saying” something about your brand to the world. And if you haven’t done a refresh in at least five years, definitely give this some thought. It doesn’t have to be anything dramatic, like a full identity refresh, but maybe something simple that speaks to the times, like a typography refresh, or the addition of an icon. Maybe add some color.

10. Add or develop a new product or service, and then market it.
You already know a lot about marketing. But sometimes, things just are the way they are with your current brand, for various reasons. Why not launch something new? Even if it’s a spinoff, or a subsidiary, or a new variety, or a specialization of what you already do. Think about it as a brand, position it carefully, give it a great name, package the snot out of it, and then promote it. You get the added bonus of measuring your success from a zero baseline. It might even get you excited enough to try new products beyond that.

11. Hire a professional to review your marketing.
This is a tough one for a lot of companies. It’s like going to the dentist when everything is fine with your teeth. But if things aren’t going great, and they’re not going terribly, it may mean you’re just standing still. And eventually, that’s going to turn sour. It could be any kind of professional – a branding expert, a media pro, a designer. Just have someone tell you what they see from an objective point of view. Bonus: you don’t have to act on their advice if you don’t approve.

12. Hire an intern.
Even if you don’t need one. There’s a student out there who is desperate for some real-world experience, and they might just get it at your place of business. You get the added bonus of helping/mentoring someone, if that’s your thing. And if it’s not, you may be challenged just to explain your business, and how and why you do things, to someone who has never heard of you. (Hint: that can be very good for your brand in the long run, too.)

13. Expand your geography into a new/specific area.
If you’ve been saying to yourself, “boy we could kill in Topeka,” well, maybe it’s time to take a first step. Explore the competitive set, and see if your brand/service/organization could thrive in a new area, or with a new location. Besides, rents are great in Topeka.

14. Create some new (and valuable) content.
You can always use new, up-to-date content. Even if it’s something simple, like your instruction manual, or your how-to video. Technology is always changing, and techniques are always evolving. If your video is outdated, think about re-shooting for a 2020 look and feel. Take that intern you hired, and have him or her try to put together a valuable infographic that represents your business in some way. Then use your new content to help in your SEO refresh strategy. (Item #1 in this list.)

15. Do something face-to-face.
Put on an event. Run a seminar. Not sure how to serve your community (item #6 in this list?) Organize a charity golf outing, or a run, or a motorcycle ride to raise money for those in need. Find a way to contextualize your brand in a personalized way. Invite everyone – even your competitors.

16. Review your policies.
If you’ve got any kind of policy (payment structures, privacy statements, rules, etc.,) give it a refresh. These are the kinds of things that often get overlooked, because we think no one pays attention to them. But remember – everything about your brand is contributing to what people think of you. Every. Thing. Also, this is a great job for an intern!

17. Get rid of something that’s holding you back.
Maybe it’s that outdated policy. Or an old piece of equipment that you keep delaying to update. Maybe it’s your office space. Heck, maybe it’s your partner(s.) But it’s a new year, and you’re determined to take control of your marketing. So find the thing that keeps “getting in the way,” of your success, and get rid of it. Even if it means doing things in a new way, or changing some core componentry of your business. It might be “the thing” that pushes you forward this year.

18. Add a dash of technology to your business.
What could you automate, or integrate, in some way, to streamline your operations? Do you have an app? Could you increase productivity by moving software to the cloud? Could you use software to predict future needs or expenses to help you account more efficiently? Even if it’s as simple using software to schedule your social posts, adding technology into your day-to-day goings on can help your brand move forward.

19. Decentralize.
If you’ve ever said to yourself, “boy we could sure use more talent in this office,” you might be a candidate for decentralizing. While we all love the idea of personal interaction, the truth is that you can find amazing talent just about anywhere. Why wait for the perfect bookkeeper to move into your ZIP code, when he or she might be looking for work in Topeka? And since you’ve already decided to add technology to your business in some way, setting up your business to enable remote workers is a great way to start.

20. Review (or actually create) your marketing budget.
We love to talk about marketing, but we often hit the brakes right at the starting line, because “that’ll cost too much.”  Too many brands fail to budget for marketing in their strategic planning, and so every marketing opportunity seems like an “expense.” It’s not an expense.  It’s part of doing business.  Decide now that you’ll invest (a minimum of) 5% of your gross revenues to marketing.  You’ll be amazed at what you can buy with that.

Here’s wishing you a great, well-positioned, clearly articulated, successful year in 2020!

Dunkin’ Is Nuts

Nader AshwayLeave a comment

The news has officially come down, (although it’s been in the works for almost a year,) that Dunkin’ Donuts, the international (yes, they have stores in 36 countries,) brand that was established nearly 70 years ago, is changing its name.25_Dunkin_Before_After_c4885e75-fe56-4add-aab3-a51120689229-prv

They will no longer be Dunkin’ Donuts, but will officially change their name to simply Dunkin’ as of January, 2019. According to the company’s official press release, the plan behind this switch is to transform the company into a “beverage-led, on-the-go” brand.

To cut to the chase, this is a bad idea. A really bad idea.

Let’s start at the beginning. Dunkin’ Donuts dominates in the donut category, leading Krispy Kreme and Mister Donut by a long way, and by a wide margin in terms of number of stores.

The brand also competes in the coffee category, and meets a strong and persistent consumer need in that area. And for decades, Dunkin’ Donuts coffee has established itself as unique, based on flavor profile (and, some would argue, sheer temperature.)

As the quick-serve coffee category has expanded in the last 20-30 years, and has come to be dominated by Starbucks, Dunkin’ Donuts has pivoted to offer more varieties and flavors of coffee and espresso drinks, and has achieved a strong challenger position. According to Statista, Starbucks has almost double the market share volume over Dunkin’ Donuts in this category, and slightly more than all others combined (not including Dunkin’ Donuts.)

So if you’re a challenger brand in any category (and this has turned into a classic leader/challenger category like Coke/Pepsi or McDonald’s/Burger King,) your goal as a brand should never be to appear MORE like the leader. The goal is to establish difference.

And DONUTS is what makes this brand special.
DONUTS is what makes this brand DIFFERENT.

Now, the Dunkin’ brand will still carry donuts.  But when you don’t tell people that it’s what makes you different, (say, by including “donuts” in your brand name,) who’s to say that consumers will inherently know? Especially young, entering-the-market consumers who may not be familiar with the brand’s history?  What will Dunkin’ mean 10 or 20 years from now without context?

The idea of changing the name to Dunkin’ at all seems wholly misdirected.  When the press release states that you want to be a more “beverage-led” brand, the slang word “Dunkin'” doesn’t say “beverages” at all.  What’s more insulting is that the name referred to the verb of actually. dunking. donuts. in. coffee.

So let’s review:  Dunkin’ Donuts is perceptually and verbally moving AWAY from the category they dominate, and CLOSER to a category where they challenge a leader who owns nearly twice the market share, and where their only competitive advantage is average price.  Sounds like a frozen-double-mocha mistake in judgment to me.

Dunkin’ (as they will be called in a few months,) should stick to what they’re good at – good coffee and family-friendly offerings served in modest stores at moderate pricing. AND LOTS AND LOTS OF DONUTS.