You Don't Reckon They're Cousins?

Two years ago I put a slide into my client “grounding sessions” titled “Rethink and Refocus.”

I call it a Change Wave – a foundation-changer that is rocking boardrooms, operational models and marketing dynamics. 

It causes businesses and brand teams to step back and question conventional models, innovate and create new ones.

There are some who call it a born-again experience. 

Those who do, often live in the shackles of the past and might voice the desire to embrace change, but in reality, unearth what they term as the “tried and true,” dust it off and believe that the past can be resurrected.

Most mornings now I read the Wall Street Journal. 

I give the newspaper a lot of credit.   

They have moved through their “grounding session” and now deliver a richer, more business dynamic news platform that is accessbile in print, online and on-air.

In this morning’s Media & Marketing section there is a story about AOL.

Before I tell you about the WSJ story, let me share a sidelight personal perspective of AOL.

More than 10 years ago, I had a first-hand experience of AOL in its acquisition of my past employer Time-Warner.

AOL acquired Time-Warner because it believed that it could transform the conventional media through the acquisition of a print and broadcast giant.  

It was only weeks after the announcement that a group of AOL techies took over CNN Headline News and unveiled a new look for the struggling news net.

I received a phone call at 5:30am that morning from a colleague who said “you’ve got to see what the (insert term here) those tech-freaks did to Headline News.”

What I saw was a junked-up website airing on the television set.

After nine more months of watching AOL attempt to “re-birth” the networks, I escaped and got out.

Today’s story about AOL is titled, “AOL Pushes To Grab TV Ad Dollars.”

On the surface, its really not a bad idea nor far-fetched venture. 

There is another article in the WSJ today about the Today Show’s winning streak ending.   

NBC and ABC are now battling it out for whatever food falls on the floor after being gobbled up by the cable nets and interactive media.

What AOL is doing is summed up in this quote from the article…

“AOL has teamed up with Nielsen to offer TV-like audience guarantees to marketers based on gross rating points.”

Gross Rating Points are… well gross. 

These are not even Target Rating Points.

Leave it to Beaver.   

Get the tech geeks married up with the historic ad media reps who for years have built their sales models around the story that the more reach and frequency, the more effective the advertising.

The more consumers you bang the message into their headset, the more the Zombies will rush out to buy the brand.

Forget the dialogue exchange and relationship dynamics of the market today. 

Forget the ability for rivals like Google and Facebook to micro-target.

Shoot… go embrace the way those aging television reps have been selling their media now for years…

“Rethink and Refocus” causes businesses and brand teams to step back and question conventional models, innovate and create new ones.

Then there are those corporate hi-rise marketing teams that get a thrill each time they look in the mirror and cannot even begin to embrace the Change Wave.

By the way, found out more details over the weekend about Arby’s teaming up with Crsipin Porter after Burger King kissed the agency … and the brand foundation… good bye. 

You don’t reckon that AOL and Burger King are being run by cousins do you?

How Many React To The Challenge Ahead

Shel Sliverstein wrote a great book of poetry title Where The Sidewalk Ends.

I remember reading Shel Silverstein's book titled Where The Sidewalk Ends back when I was in High School and immediately concluded that despite its cartoons and kid feel, it was really a book of poetry for adults. 

Or at least those that permit the child to dwell within.

One of the poems in Where The Sidewalk Ends is titled The Generals.

The poem is about General Bore and General Gore and is a commentary about attempts to negotiate peace among warring parties. 

The poem sets up the two Generals deciding to try something different…

Said General Gore to General Clay,
"We could go to the beach today
And have some ice cream on the way."
"A grand idea," said General Clay.

But as soon as they embark on the journey, they immediately raise concern and barriers…

Said General Gore to General Clay,
"But what if the sea is closed today?
And what if the sand's been blown away?"
"A dreadful thought," said General Clay.

And fears…

Said General Gore to General Clay,
"I've always feared the ocean's spray,
And we may drown!" "It's true, we may.
It chills my blood," said General Clay.

And finally, they end up going back to their tried and true and eventually cease to exist…

Then General Clay charged General Gore
As bullets flew and cannons roared.
And now, alas! there is no more
Of General Clay or General Gore.

Doing what I do today with companies and advertising agencies, I cannot take the poem out of my headset. 

Many companies I have worked with over time have invested in stepping back and taking a journey away from the day-to-day conventional context of their brands and journey out to observe, listen and explore ways to re-charge and re-invigorate.

They dwell for a short time in a different perspective and they realize…also for a short time… that to move their brand forward, change in perspective is a requirement.

Oddly, when ad agencies and PR firms participate, I enjoy seeing creative members smile… but at the same time, I sense management members sitting with a degree of hastened breath.

Then I start hearing words and phrases like “well you know,” “what if this happens,” “can’t do that” and “too risky right now.”

And before you know it… the glimpse of what the brand can be fades and the conventional context of the brand returns… perhaps wearing slightly different clothes…and little to anything changes. 

Here are two things I encountered in the past two weeks that made me think about the poem. 

(1)  I ate lunch in the food court of a mall and observed customer flow at the counter of a past QSR client. 

The client invested a significant amount of money to “re-brand their stores to bring in a new set of customers and compete against a new set of competitors.”

In this mall, one of the new competitors had opened up right next to there franchise location. 

While the new logo looked nice on the past client’s storefront nothing else was incorporated to drive home the brand "at every touch-point of the brand experience."

It made the competitive brand appear distinctive, consistent and competitively superior. 

What I remember most distinctive about this client was upon reviewing the re-branding strategy and receiving a standing applause from franchise owners and staff members, the CEO called me on the phone the next morning and said he could not sleep through the night because the new brand foundation was very troubling to him.

Funny how change breeds bad dreams.  

(2)  When I went to make a deposit to my corporate account, the branch manager of the bank… a client that has recently gone rather quiet…shared with me that she had attended a system-wide meeting to unveil their new brand line.

The new brand line unveiled is “We Mean Business.”

This client also invested a significant amount of money to “re-positioning their banking chain” to reach out to business owners embracing the post-Great Recession marketplace.

I was surprised at just how strong business owners found the positioning platform to be… scoring it high on value, uniqueness and believability. 

I was not surprised at just how quickly the bank took the positioning opportunity and crafted it into a statement of self-proclamation. 

I was not surprised at how quickly the agency closed the door and embraced a “yes Mr. Client whatever you want it to be” service mode.

Funny how simply changing the pro-noun from “We” to “You” can move a brand forward versus entrap it further in current market category disdain.

Now not all of the clients or ad agencies I work with fit into the scenario of the poem. 

I have a client that is in the home design business that is embracing a new way of viewing their marketplace, opportunity and retail mix.

I have two physician practices that are both brave enough to be innovating and moving their practices beyond the model that is quickly fading from the scene.

I head over this next week to work with a new financial services client that is ready to change most anything from its operational model, site locations… shoot even their brand name and logo if needed to embrace market changes… and evolving opportunities.

I have written in this blog about the ripple effect and how once stones stop dropping into the water, the water eventually goes back to being still and undisturbed.

The race to win never stops. 

If your role on the brand team is very comfortable and you already know the answers and strategy that works, maybe its time to get up and go to the beach today.

Millennial Home Making

The EXPERIENCE 2012 TRENDCAST Report notes…Millennials are discovering that they may have to actually revamp and invent ways to define their home-base.

The current issue of Dwell Magazine showcases how two Millennials created their new homes.

They found very cheap loft warehouse space and actually live in 10’x10’ wooden “rooms” they purchased at a Big Box retailer. 

They heat the boxes independently and use a community bath located down the hall.

Key to the space is that they have wireless Internet that they can access when working on the pic-nic tables or when curled up in their goose-down sleeping bags from IKEA.

Here are some observations of how other Millennials are making space function as their home…

Space is a neutral requirement and in some ways, the smaller, the better.

The demand for reasonably-priced new urban housing has driven unit sizes down in comparison to historic trends, so rents remain affordable to middle-income earners. 

The average new two bedroom apartment being built post-Great Recession is in the 800-950 square foot range, compared to 1,000 to 1,200 square feet back before 2009… and it has more to do with demand than construction financials.

In fact, two thirds of Millennials surveyed by American Multifamily, a California Developer, said they prefer a studio apartment to a roommate situation. 

Pre-set room use and labels are out and space flexibility is hip.

Terms previous generations used like “family room,” “master bedroom,” “dining room” and “study” are out.  

Keeping Room is an oxymoron. 

Flexible floor plans are gaining ground, with studios and “convertible” one bedrooms among the most popular unit types in new urban developments.

Furniture is quickly following suit as well with work-stations that also serve as entertainment centers and sofas that convert quickly (and easily) to sleep space. 

Last night HGTV aired a segment on making a study both a home office and hobby room. 

In some ways, Millennials might have received great counsel from their Boomer parents who were the first to make the dining room do double duty as the billiard parlor with the aid of a nice 4’ x 8’ piece of plywood.

Fido is not only the Millennial parent’s replacement-child, but also the preferred partner of choice among the Millennials.

Only a few years ago, dogs were banned from many apartment buildings. 

Now, renting and pet ownership go hand-in-hand, because renters are no longer willing to wait until they “move to the suburbs and settle down” to start living. 

Pet space – complete with bedding and automatic water bowls – may be even more important than true bedroom space.

Private pet parks will be one of the main outdoor attractions at many “leased home space” developments.

Some “transitional” neighborhoods are engaging in heated debate whether it is more important for a park to have pet space or the kids play-grounds.

My vote is for the pet space.

Work is inseparable from home-life…and visa versa!

High technology connections are great… free Internet access gets Millennials to sign the lease contract.

Gym space is nice, but onsite free internet cafes complete with lattes and juice bars are more important.

Conference rooms mean little.  Communal workspace translates to social comfort.

Many Millennials think nothing of working accounting Excel files, texting their Facebook friends and sipping on an apple-carrot-Red Bull smoothie at the same time.

Car space is a secondary priority.

Millennials prefer to drive less or take public transportation.

Two- and Three-car garage space is not even a concept in many Millennial mindsets. 

Bicycle space and bike racks are more important. 

Residents who bike or walk to work instead of commuting by car can pocket an extra $7,500 to $12,500 per year… and perhaps even more in 2012 as gas prices continue to climb!

Proximity to hourly car rental stations is more of a deciding factor of where to live in the cities.  

A place to park the car is more important in the burbs… and proximity to an electrical charging plug is more important than electronic garage door openers.

What does it mean for marketers?

While Millennials may mature like older generations and buy houses in the suburbs, they may not. 

Time will answer questions about the housing demand from the Millennial generation, and what type of housing they’ll prefer. 

For now, everyone from the real estate developers to the home good retailers should pay attention how these 20-somethings and early 30-somethings think. 

Their Boomer parents changed the business models… and no question their kids -- the Millennials -- will too!

Learnings From The Political Race

I write and talk a lot about generational groups.

Maybe it’s because I am a Boomer myself that I seem to feel a calling to report what I observe.  Boomers get a rush out of “discovery” observations!

Sitting here post the Nevada primary, I cannot overlook a set of observations.

Whether you support him or not, clearly Obama pitted the Millennials against the Boomers. 

He rallied them with tapping into their social media and online sites.  More on those stats later…

I would probably also give him an “A” because he raised the bar above rational thought and tapped instead into the Millennial emotions of “change.”

I am first to say I would NOT give Obama an “A” for achievement.

Here are three armchair observations…

(1) Throwing Stones

We have two MBA-headset Republicans that have reverted to the “who can accuse the other the most” paradigm of the past. 

Forget the brand platform.  Forget the emotional drives. 

Bring back the Coke-Pepsi model and shoot from the hip.

The boys are back to fighting it out in the parking lot.

One thing for sure… the boys are not alone… many brands cling onto the same approach. 

You simply do not want to be one of them.

(2) Watch as the dissenters unite

Alternative brands that challenge convention continue to rattle the marketplace. 

All you have to do is turn on your television set and count how many of the top programs are “real time TV” versus “planned series.”

From Apple to MINI to Red Bull to Chipotle, alternative brands are posting higher “Q-Scores” (awareness and likeability) than the staid, giant brands of the past.

While Romney may believe he has the lead… many of the alternative candidates from Sarah Palin to Hermann Cain are uniting behind an alternative candidate. 

I hope that at some point, the boys stop throwing the food across the table, step back and think about what happened in the 2010 Election Year.

(3) Dwelling in the past

When brands have limited distinctive elements to communicate about their personality, you start seeing ads either…

(a)  Scattered with words like “quality,” “accessibility” and “value”

(b)  Showcasing their “made in America” roots

In addition to the message, the communications media mix reverts back to the “mass media” paradigm… the more I spend on top rated TV, the more likely I will be elected.

Forget the interactive media… reaching 70%+ at least 4 or more times, will get voters to switch.

Its not like Obama doesn’t forget things too… as far as his promises are concerned and his two years of total congressional control… but Obama did reach beyond the old model of mass media and bond with his voter block through social media.

Here is where Obama’s Facebook following stands today… Sunday February 5^th, 2012…24,878,080 members.  Nearly 25 MILLION members. 

His claims to be “in control” might just have some merit.

While the First Lady has less… it ain’t bad either… 6,488,949.

Okay… they’ve been campaigning before, but they still have a sizable lead…

Sarah Palin has 3,269,031 members and Mit Romney has 1,409,501.

Mit probably needs to bring on a Social Media VP to assist in combating Obama among the Twitter-clickers.

Romney clearly is ahead of the pack with social media… here are the other three still in the race:

** Newt -- 265,933

** Santorum -- 96,139

** Ron Paul -- 814,376

The line that Ron Paul has a devoted few is well illustrated in his membership numbers.

Bob Dole came out a few days ago tearing down Newt Gingrich.  Too bad Newt’s campaign guy didn’t go back against dear Old Bob and say the guy is history. 

Bob Dole’s Facebook membership is 2,486.  I heard that the dial-up Internet access really moves slow on the social media sites.

Sooooo….

The way I will end this blog post is simply to say… there are a lot of lessons to learn from watching the politicians. 

But… if I were teaching a marketing class as I write this, I would tell those Millennial graduate students to watch the Super Bowl tonight… interesting commercials, hitting and grinding that scores and some good times to text to your Facebook friends.

Something much more exciting than watching politicians in the mud pit. 

Life Among Millennials!

The ATL may be evolving more into NYC than we may think.

Between Christmas and New Years, I moved from a neighborhood that sat on top of hill overlooking Emory University and the CDC to a place right in the heart of Buckhead.

For those of you not from the ATL reading this, Buckhead is the ATL’s version of the Upper Westside… or at least the ATL’s attempt at it. 

The distance between the ‘hoods is about 4 miles.

Big difference is that there are more professional Millennials living up in Buckhead and less academic GenXers and Boomers. 

While there is smattering of diversity in Buckhead, it is not near the level found among my old neighbors. 

Earlier this week I met with an ad agency and presented different ethnographic exploratory options… ways to get into the day-to-day life of client consumer groups. 

I shared with them the story of how a colleague of mine went and lived for two weeks with an Hispanic family in San Antonio to better understand how a QSR chain could better reach out and expand their share of the Hispanic market.

My move into the place is in many ways an ongoing ethnographic observation of the emerging Millennial powerhouse…remember there are 72 million of these generational folks scattered across the U.S.

The leading edge of the Millennials turns 33 years old this year; the trailing edge turning 22 years old. 

If you want to get to know them more… go pick up a copy of DWELL Magazine.  Check out the ads as well as the editorial.

The challenge in tracking generational groups is that as an arm-chair observer, you have to separate out behavior sets that are driven by age and those that are genuinely driven by a generational perspective.

Now living among them… there are some observations I offer…

(1) Their teenage ADHD has traveled with them into Adulthood. 

Check out the few cable nets that they watch and check out the programming format.  You will see quickly (no pun intended) that the story sets are littered with snippets. 

Brand loyalty takes on new time parameters.  Marketing paradigms that are driven around brand loyalty need to be trashed.

P.S. Ask Obama about brand loyalty among Millennials. 

(2) There is no separation between leisure time and work time. 

It’s all woven together.  They have further extended work casual.  They not only fail to separate mobile social media from work… in some ways they cannot even define a difference. 

On the weekends, I see many of them dining out in their pajamas.  As W Hotels proclaims… Whatever / Whenever…Your Wish Is Our Command.

“Permanent” and “Long-term” are not words in their vocabulary… “Loyalty” has a different meaning.

(3) Me – We are not a polar opposites.

Many of my peers still preach that Millennials are the epitome of the Me Generation.  Many of my peers are Baby Boomers like me.

Without a question, Millennials were raised by parents…complete with day-care from infancy to after-school group activities through college.  Mall food courts replaced going across the street and having dinner with Mike and his family.

Millennials thrive in social media groups. 

Ownership of the conventional suburban home is less important… and now even owning a car is not a must. 

Zipcars are hip.  If you do not know what Zipcars are… Google it.

Being able to live in groups is cool.  Facebook may be the replacement of their parents’ desire to go live on a commune.

(4) Technology is a given.

I remember when restaurants made clean restrooms a differential point of claim. Back 50 years ago… if a restaurant had a restroom that you could access without walking outside and going around back was a point of difference.

Today…clean restrooms are a given. 

Millennials never knew a time when there wasn’t a PC in the house or mobile phone in the side pocket.  Most have difficulty remembering when there was no such thing as social media… remember they were weaned on MySpace.

(Get ready for the ZOOM Generation to ask: What is MySpace?)

Hotels claiming “Internet Access” and retailers promoting “Check out our new website” need to wake up to 2012.

(5) In search for a cause…a meaning.

The Millennial enchantment with the 60s is not just a fashion beat.  It’s also not a desire to experience their parent’s portrait of youth.

Millennials are in search for a cause of which they can claim ownership. 

Occupy Wall Street provides a rich glimpse into this search.  The vast majority of participants are not simply “college students”… they are the true representation of the Millennials. 

The media showcased the lack of definition around what Occupy Wall Street represented… but highlighted the desperate need for at least “something” to unite behind.

As much as Millennials clamored around Obama and Change, the reality of that aspiration quickly crashed … and certainly affected Millennials more than the crashes on Wall Street and the real estate on Main Street.

So… here are five observations, I am sure there are more to come. 

The BIG question is whether or not the marketing boardrooms stocked with the MBA-management teams are absorbing what is evolving among Millennials or dismissing it.

My bet is that in 2012 more will have come to the realization that what is happening out there is not only here to stay…but is demanding change in brand platforms and marketing paradigms.

If you are interested to learn more… come join me for a Starbucks in my new ATL 'hood and listen to the table talk around us!

The Race Is On!

The Race Is On!

While the best bowl games have yet to be played, 2012 has arrived as the here and now. 

I celebrate the arrival of a new year and embrace the changes we will encounter moving forward. 

No question that 2012 promises to be a watershed year. 

No matter where you sit along the political spectrum, the outcome of the election this year will shape the future of state of the economy, how consumers perceive it and how consumers will spend their money.

Technology will advance further in 2012 as well.  Everything from laptops to game consoles to smart phones commanded top slot in purchases.

In fact, according to digitaltreands.com, iPads drove the highest increase ever in Holiday electronic sales in 20112.

This week, the Wall Street Journal reported that for the first time ever, the workforce in the U.S. spans the spectrum across FIVE generational groups. 

Go into your local mom & pop grocery store and you may very well see a Millennial just now entering puberty packing your bag and a Mature Generation 70-something ringing up the sale on the register. 

As generational groups interact together in-person and online, be prepared to see each one attempting to carve out their niche of personality and culture.

From the perspective of the glass half empty, the housing market will stumble through another year of stagnant sales and perhaps even further declined value…

From the perspective of the glass half full, current home re-design, refreshing the décor and room re-purposing will hit high drive.

Furthermore, the Millennials will take on the new challenge of home making…literally!

Just this morning, I did something that I never thought I would ever do again… I re-subscribed to the Atlanta Journal Constitution.  Not the physical newspaper delivered to the front door…but the electronic look-alike version that I will be able to log-into and read on my iPad each morning. 

Newspaper and magazine circulation will be on the rise in 2012. 

Brands that embrace the changes will be staged for a great positive run once the election is decided on November 6, 2012. 

In the meantime, there are some cool trends to capitalize on as well.

Back in 2003 when I started my own consulting group, I published the first TRENDCAST citing from my “on-the-street” perspective, what I envisioned as the top trends likely to impact the marketplace. 

Here are the Top 10 Trends cited in the 2012 TRENDCAST…

1.  Digital First

2.  Interactive Expectation

3.  Customer Bonding

4.  The Merger of Reality with Reality

5.  The New Culture of Influence

6.  Adoption of Generation ZOOM

7.  Food Eco-ology

8.  Millennial Home Making

9.  The Rise of the Senior Class

10.  The “Publishing” Come-back

Over the course of the last week, I had a chance to break bread with a few of my friends and colleagues. 

I heard more than half bitch about their relationship with their telecommunications provider.

And then heard about how much they got to know some cool brands over the holiday shopping experiences and interacted with their top management.

Great to see the EXPERIENCE TRENDCAST coming to life!

Check out the EXPERIENCE website.  On the home page is a link to the 2012 TRENDCAST and you can read more about each one of these trends.

Also… keep me posted on what you observe as you and your brands encounter these market dynamics during 2012.

No question that 2012 promises to be a wild ride… buckle those belts and gear up for the journey…

The Race Is On!

A 2012 Premiere!

Okay.

It started one morning when I was shaving.

My boss was staring me down.

I had just presented the previous day to a large regional bank.

My presentation was all about the re-positioning of their brand and the cultivation of a new brand culture driven by the touch-points of the brand experience.

My talk was part strategic; part marketing, but mostly evangelical.

Do what I say… not as I do.

Often times, it’s the evangelists that commit the worst sins.

In 2003 when I chose NOT to renew my contract with Omnicom, my peers encouraged me to start up my own account planning group.

Not sure where my head was at, but I let my first few clients craft my brand name, BRANDVenture.

Okay… they were all MBAs and I was on a mission to convert them…

But they were my customers and I am a strong advocate that customers define reality… not the marketer.

They all said I was a brand-man that had a pretty good track record launching new ideas and recharging the bottomline performance of brands in need of renewal.

So I launched my group with BRANDVenture and tried my best to make the name work.

I had some fun early on with the words like “discovery,” “ignition” and “combustion.”

Even had some graphic icons that indicated the pace of change and challenge.

But when my boss was staring me down that morning, I knew that the time had come to make a change.

It was in the shower the next morning when inspiration hit.

I preach that brands are neither physical products nor service deliverables.

Customers do not make purchases based on rational thought.

Customers are driven by the emotional context of interacting with the product or service.

They seek out interaction that is further fueled by the right side of their brain.

Successful brands get it.

Many, many MBA brand teams simply don’t.

And that's good because deep down they really covet insight others have not year discovered... implementing strategy that delivers results... and building dialogue and engagement with customers and prospects.

So on January 1st 2012, BRANDVenture will be no more, replaced by…

EXPERIENCE
INSIGHT + STRATEGY + ENGAGEMENT

It’s a living, breathing, changing and adapting brand.

Check out our new website that also will soon premiere at www.experiencediscovery.com

My boss is feeling good.

Maybe I will buy that girl a martini on New Years Eve to toast the passion that drives brand success 24/7.

Cheers!