Welcome to 2018!
The last Blog post was all about five of the 2018 TRENDCAST
Trends. This Blog is about how EXPERIENCE will embrace and seek out 2018 opportunity...
#1 – We will focus
more on mid-size brands and their leadership teams.
In 2017, we saw more large brands merge with their historic
competitors to form large behemoth corporations.
Brands that own retail space. Large holding companies absorbing fast food brands. Media companies gobbling up like media
or other media firms. Retailers
continuing to merge together and become one comprehensive brand.
Brand differentiation gets kissed good-bye. More C-level direction and control
shifts over to the financial MBAs.
A small share of C-level leadership – and it’s a very small
share – understand that the brands merging together are not only at the height
of market maturity, but even on the downward spiral of declining growth.
TLC has a show called the “My 600-lb. Life.” These merged
corporate behemoths could be showcased in that series.
I have highlighted the non-sense that leadership resorts to
within these merged mega-brands.
There’s a pizza mega-giant whose whole business is about
home delivery that is running a $60 million+ television campaign about how they
have torn down the old store fronts and built new ones.
There’s merged television networks that have elected to cross-share
programming between their networks. Does the programming fit under the unique network brand
equity? What’s brand equity the
MBA CFO asks, “we are saving production costs by extending the reach of the programming.”
There’s fast food restaurants combining menus and others
that are splitting the store fronts into half one restaurant and half another.
There’s hotels and resorts that have one logo on the outdoor
signage and another brand logo on the room décor and a third logo on the
complimentary breakfasts and desserts.
When I went Christmas shopping this year, I was struck by
how the same clothing lines are in many of the different stores until it
finally hit me that the brand name on the store fronts are all owned by the
same corporate holding company.
Over the course of the last five years, EXPERIENCE has
worked with a higher number of large corporate brands vs. regional and new
start-up brands.
While the CEOs that have brought us to the table share
similar passions and drive to move beyond the conventional, MBA modeled,
slow-moving leadership of the past, the same CEOs quickly discover just how
difficult it is to make change happen because of the behemoth size of their
corporations.
No question that the big corporations have big budgets to
spend.
The large ad agencies function as reinforcement for the
layers and layers and layers of internal marketing and brand “leadership.”
The thought of an ad agency rocking the boat and challenging
conventional thought that is challenged in moving the behemoth, newly merged
corporate brands forward… well for all their talk about keen strategy and
creative innovation, those same ad agencies are challenged with paying for
those posh, “novel” office space.
CP&G, a “creative, brand strategy and digital agency”
just signed a new contract extending their relationship with that pizza mega-giant running the ads about its new store fronts through 2020. Yup… the agency telling
the pizza mega-giant that the ad content the Dominos is dictating to convey is meaningless
to consumers and risk the agency’s contract extension?
Hell no.
Here at EXPERIENCE, the audience that drives our mission and
reason for existence is the consumer marketplace.
So in 2018, our business focus will shift over to mid-size
brands and new brands that can capitalize on the true drivers of change. Corporate structures that are fluid and
can be molded and shaped.
Leadership that has a passion for the brand vs. an MBA financial model
of the past.
The BIG brands and corporations are no longer able to
capitalize quickly and adapt.
What we are seeing with politics where the age-old political
models are driven by a mis-matched, past engineered patchwork of mechanics is
quickly moving to the business landscape.
#2 – We will not fear
confronting false predictions of change vs. what is really taking place in the
marketplace.
I subscribe to a number of the online editions published by
American City Business Journals including their weeklies that service Atlanta,
Nashville, Birmingham and Charlotte.
In addition, I subscribe to Wall Street Journal, Fortune, Forbes, Fast
Company and Wired.
Each of the publications is addicted to march in unison with
the same tune…
- (1) All of the Millennial generation is just exiting college and will continue to do so for many more years to come
- (2) The Internet is replacing the store fronts of the past and soon everyone will use the Internet for consumer purchases
- (3) The intown communities of today are evolving into luxury destinations that will drive all the business trends of the future
- (4) Corporate leadership is extremely brilliant in every move they elect to make
- (5) Soon technology will drive everything we do – literally with self-driving cars and trucks -- and the labor force of the past will be gone
If a trend forecast reinforces what they construct and
reinforce, they embrace it quickly.
If a trend forecast challenges the that model, they either discount the
source as unreliable or simply ignore it.
Our 2018 TRENDCAST challenges a whole lot of conventional
thinking. What is emerging right
in our midst is already rattling the marketplace and a notable share of the
marketplace cannot figure out what is driving the change.
I get a kick out of the recent articles in the WSJ, NY Times
and Washington Post. They ran
articles that highlight changing statistics and then quickly make stupid
statements like all market changes are attributed to the Internet.
EXPERIENCE doesn’t just wet the index finger and sense the
direction and speed of the wind, we invest a sizeable amount of money each year
in securing some of the most leading statistics tracked.
In 2018, EXPERIENCE will launch a line of market reports
under the INFORUM brand name. The
reports will not only include the greatest and latest market statistics, but
also a perspective of what the information means in terms of impact upon the
brand whose leadership requested the report.
We are not an ad agency nor a digital shop so we are not
bound to see market change and trends only through the perspective of the
marketing sunglasses.
#3 – We will further
integrate the cyclical change model into strategic guidance
What got me energized to script this blog the way that I
have in large part can be attributed to the rag publication called Atlanta
Magazine.
Atlanta Magazine is not unlike any of its publication
families or like pubs produced by other media-promotional companies… they are
all glorified promotional mailers the are filled with advertorial and similar
ad sponsors.
The current issue is anchored around “Atlanta in 2040.” Here’s a share of what the advertorial
writers highlight:
- (1) Our jackets could answer the phone (that’s the way the writers scripted it… not me)
- (2) Everything will be customized
- (3) Suburbs will learn to share
- (4) We won’t report to the office every day
- (5) Delivery food will improve
Wow. I hear a
group of middle school kids that hang out at the local coffee house make
similar predictions in their essays.
The best Atlanta prediction is that the official city of
Atlanta will be “the largest city in the nation” by 2040. The official city of Atlanta posts a new 2018 population of
466,512 residents and is growing at a rate of 5.74% over the next five years.
The official city of New York, the largest city in the
nation posts a new 2018 population of 8,598,697.
Atlanta magazine needs to purchase a new solar-powered calculator before it publishes any more predictions.
Change is NOT linear, but rather cyclical. Parts of the past re-surface and the influence of past dynamics re-appear.
In 2018, we will work with clients in understanding the
dynamics of like dynamics when the Boomer began forming families and having
kids back in the 1970s and 1980s.
Business need to place less attention on artificial
intelligence and more focus on transferrable insight into factors that affected
brand growth and development during comparative time cycles.
When I started my career back in 1981, I worked with a
baking products brand called Martha White Foods. The brand challenge was to craft product, distribution models
and branding that could bring Martha White into a sense of connectivity with
the growing share of Baby Boomer moms.
We are working with three brands right now on how to embrace the new Millennial moms.
One of the clients that EXPERIENCE has worked with a lot in
the past 10 years is Children’s Healthcare of Atlanta. Children’s hired a new ad agency about
two years ago. The new agency
launched a new brand campaign in 2017 focused around the Emotional Ignition
Point that “Moms know.”
Millennials seek out a sense of self-control and a sense of
personal signature… thanks in part to how technology “invades their lives” …
and thanks in part to their Boom “helicopter” parents.
Children’s Healthcare leadership has a viewpoint anchored by
cyclical change.
Just a quick FYI… in 2018, 96% of all first-time moms will
be Millennials. The other 3.5%
will actually be Zoomers! And believe it or not, the other 0.5% will be GenXers.
Sooooo….
If you are a new evolving brand or a middle-size brand
seeking to capitalize on the big competitors who move very slow… call us.
If you wish to really know what are the true change agents
of the marketplace and the impact they are having right now on your brand and
how to strategically capitalize on them… call us.
If you ponder how the dynamics of past change operated and
how the human marketplace evolves today… call us.
Call this number… 404.245.9378… and I promise that it will
me answering the phone… no assistant… no admin… no automated service center…
promise!
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