Transforming the marketing formula

There is a reason we’re not “The Next Wave Advertising” or even say we’re an ad agency (unless forced into a corner so that people know what little mental box to check off). It’s because back in 1988 we knew advertising was already dying.

What they taught us in “marketing” and in “advertising” was that it’s all about deliver a product to match up the consumers needs with our products and services. Only one small problem in our eyes- consumers who had unlimited choice and the entire globe to buy from- and an abundance of information aren’t rational- they are emotional.

The nice science of the “4p’s” didn’t work. It wasn’t Product, Place, Price, Promotion” - it was what makes me happy. Selling was out- stories were in. People activated when charismatic leaders put on great performances- just look at what Steve Jobs did with Apple- and has refined over the years.

That Apple computer had a position called “Evangelist” was the writing on the wall- not a VP of sales- but a fracking Evangelist. Which would you rather have on your business card?

We thought the most cogent explanation of business to date was one from Peter Drucker- that business only had two tool- marketing (in the broad sense) and innovation- hence our name.

But our methodology was all Apple- it was style with substance. It was stories and sales. It was more about “In Search of Excellence” - the first mega-business best seller book by Tom Peters and Bob Waterman, than about marketing and advertising- we wanted customers to delight in the process of buying things.

One of our hero’s is still David Ogilvy, the founder of Ogilvy advertising- and even though he died in 1999, with the epitaph “I’d like to be remembered as a copywriter who had some big ideas” his firm lives on- and is still generating big ideas for big clients.

Recently, they posted their new take on the 4ps- which they believe as given way to the 4E’s- and we concur:

from Product to Experience

from Place to Everyplace

from Price to Exchange

from Promotion to Evangelism

EXPERIENCE Discover and map out the full Customer Journey on your own brand – in your own country.

EVERYPLACE
Develop your knowledge of new media and channels the way a chef masters new ingredients. Try new things – do something that doesn’t start with TV or print.

EXCHANGE Appreciate the value of things, not just the cost. Start by calculating the value of your customers – and what their attention, engagement and permission are worth to you.

EVANGELISM Find the passion and emotion in your brand. Inspire your customers and employees with your passion.

via The 4Ps Are Out, The 4Es Are In | Ogilvy & Mather.

The reality is that even the best advertising only brought customers to your door- you still had to do the final sale. The best ad agencies in the world now tell their clients- we’re not only going to do your ads- but we’re even going to tell you how to ask for the sale- how to answer the phone. It’s why Burger King has finally found an ad agency in Crispin Porter + Bogusky that’s delivered the kind of growth that BK hadn’t gotten out of the traditional agencies they’d worked for previously. Pull through the drive thru- and the voice on the speaker will say “nice order” after you finish. Crispin has even helped with product development- typically not a part of what an ad agency does.

The move from a media creation and buying agency to one as partner and consultant has been difficult for many agencies and clients alike. With the overload of media and messages that the typical customer experiences everyday- there is one thing that will always outperform any ad: an amazing experience with your product or service.

So before the next meeting with your ad agency- instead of asking what the next ad is going to look like- maybe it’s time to discuss what the next customer should experience- because that’s where the money changes hands if it’s done right.

Ads you want to watch, and ads you don’t (but do anyway).

We live in an attention society. Everybody wants it, few get it, and all of us give it.

Advertising legend Howard Luck Gossage said “People don’t read ads, they read what interests them and sometimes it’s an ad.”

In today’s marketplace, people watch and share the outrageous. The question is, is it outrageous in a way that extends your brand message? Is it something that helps you make your point about why brand X is better than brand Y?

Evian, a company that sells the most commoditized product in the world- water, gives us an entertaining ditty with babies roller skating to the track of “Rappers Delight”- anyone 40 and older- their core market, remembers this song, and thinks babies are cute. This ad will get a lot of positive spread.

Then, there is an ad, probably done by the bad boys of advertising, Crispin Porter + Bogusky for Internet Explorer 8 and it’s private browsing feature. You’ll watch this- go, eehhwwwwww- and then tell 10 friends. O.M.G.I.G.P. or “Oh, my god, I’m gonna puke”

If given the choice, which would you prefer represented your brand? And, if trends continue, the puking woman is outscoring the babies in views on YouTube by a landslide, so think carefully.

Why Crispin Porter + Bogusky is the reigning king of Hoopla (advertising)

Crispin Porter + Bogusky is proving why they are at the top of almost every agency search consultants list. Burger King continues to have same store growth after years of failed campaigns, and changing agencies. VW was almost ready to give up on the US market, again, but have at least started to rebound sales. But what started out as an embarrassingly bad intro for Microsoft with Bill Gates and Jerry Seinfeld, and then into an “I’m a PC” has now hit pay dirt by not even talking about Microsoft’s products, but by doing a comparison between PC hardware and Apple hardware.

“Laptop Hunters” is credited with changing perception of brand value, according to a BrandIndex study:

Based on daily interviews of 5,000 people, BrandIndex found the age group gave Apple its highest rating in late winter, when it notched a value score of 70 on a scale of -100 to 100 (a score of zero means that people are giving equal amounts of positive and negative feedback about a brand). But its score began to fall shortly after and, despite brief rallies, hovers around 12.4 today.

Microsoft, on the other hand, has risen from near zero in early February to a value-perception score of 46.2.

via In Mac vs. PC Battle, Microsoft Winning in Value Perception - Advertising Age - Digital.

Hefty gains in a short time, although Apple hasn’t sat idly by:

But, while this battle royal can wage for years, the real reason that Crispin Porter + Bogusky keeps winning for their clients is that they get the fundamentals right.

They know that advertising is supposed to surprise and delight, not inform and sell. They take great pains to make sure that you might actually want to talk about the ads they do around the water cooler at work the next day.

Today, they pulled one out of the hat for me. I own a copy of “Hoopla” which is their monograph. For the most part, it’s heinously designed making it almost impossible to read, but, inside the back cover- I discovered (via a tweet by Alex Bogusky) there is a secret second book:

This guy @DomineConcept discovered the hidden book that was bound inside the back cover of our book Hoopla » link to Dominé Concept | Hooplanetics and a ripped up HOOPLA book….

Which led me to carefully operate on my $50 copy:

A secret book awaits inside the back cover

A secret book awaits inside the back cover

I’ve also been watching the CP+B Ebay auction of their interns time:

ANNOUNCING THE CP+B INTERN AUCTION

In the past, our interns have created work for companies like Burger King, Volkswagen, Guitar Hero and Microsoft. And now they can do the same for you. Bidding starts at $1 for three months of service with all proceeds going to the hardest working people we know - the CP+B interns themselves. So bid early and often, and world-class advertising can be yours for a fraction of the going rate.

via Crispin Porter + Bogusky Intern Auction: Summer 2009 - eBay (item 270392380113 end time May-27-09 10:57:37 PDT).

Which is currently going for $5,400.

It’s innovative, it’s interesting and it’s not strictly advertising. It’s a conscious effort to manipulate and shape contemporary culture, cajoling and dancing outside the boundaries of conventional advertising wisdom. Everything can be an ad if you make it interesting enough.

And that’s why they are winning awards, accounts and owning the crown of the Hoopla kings.

Comparison advertising: making a comeback?

Comparison advertising. It’s been around for a long time. In days of old, it was the way to go. Choosy Mom’s choose Jif, the Pepsi Challenge, We’re number 2, so we try harder, the demos showing how Bounty was the “quicker picker upper.”

During the boom years, comparison advertising became passe among market leaders- why give credit to your competition.

Typically, it was a way to leverage a smaller brand against the leader.

Audi challenges BMW and loses

Audi challenges BMW and loses

It’s a dangerous proposition. Look at the smackdown Audi gets from BMW in their billboards in Santa Monica on the right. Those who don’t study their craft are doomed to get hit twice. Honda fired Chiat/Day from their motorcycle account. Their new agency came up with “Follow the leader” to which Chiat/Day came back- now working for Yamaha with “Don’t follow anyone.”

When the economy goes bad- all bets are off. It’s time to go into the cage for a brand on brand death match.

While scrapping for every dollar might not be an option as consumers cut back, the damage it can do to a brand is real. Do you really want to be the cheapest, lowest price product when the money starts flowing again.

Chuck Porter once said at the Cincinnati Ad Club “Anyone can do a better price and product ad, all they have to do is have a lower price” so it sort of shocks me when Crispin Porter + Bogusky starts running ads for Microsoft based on price.

Where “Laptop hunters” Lisa and Jackson go to buy a laptop for under $1,500 and do a comparison between Apple and a PC.

After the drilling Apple has given Microsoft with their “Get a Mac” campaign, which has won an Effie,  and has been credited for doubling market share, Apple had to see it coming.

But, this is the kind of attention Microsoft wanted when they hired the best ad agency in the country to try to breath life back into their bankrupt Windows/Vista brand.

Crispin Porter + Bogusky is again proving that edgy, strategic advertising can get people talking about a brand differently, quickly, by pushing buttons.

They did it for anti-smoking with Truth, Mini with “Lets Motor”, the creepy King and subservient chicken for Burger King, un-pimp your auto for VW and now MSFT is getting the treatment.

[The reality is: both Apple and Microsoft will be in trouble if some 17 year old does for Linux what Blake Ross did for the Mozilla code base to create Firefox.]

Realize that Microsoft isn’t even comparing their product to Apple in the ads- they are comparing their partners hardware- people aren’t validating Microsoft in the buying ads- but Sony, HP, Dell etc.

How many companies would spend their marketing dollars on promoting their marketing partners?

When times get tough, consumers do spend more time evaluating major purchases. However, it’s not price that they look at as much as value. Giving consumers reason to talk about your brand value is only a good idea if it is really there. Look at the response to a Business Week story on the subject of the Microsoft challenge- compared to a holy war.

Maybe the best advice still comes from that old Chiat/Day ad: “Don’t follow anyone” and don’t compare. Leadership has its privileges.

How to make a campaign relevant: hinge on insight

Sure, Burger King has seen 20 consecutive quarters of same-store-sales-growth since it finally hired an ad agency that “gets it” (Crispin Porter + Bogusky) and then let them do their thing.

Of course for that to happen, you also need a Chief Marketing Officer who “gets it” and it seems Russ Klein has some pretty good insight on what to green light:

Mr. Klein: “Whopper Freakout” was a great example of tension and the way deprivation affects the way someone who is a loyal Whopper fan. We try to make all of our briefs hinge on some sort of social or anthropological insight that’s charged up with tension. It’s not like we’re trying to set our hair on fire to get tension.

via Burger King’s Russ Klein Promises More Premium Products - Advertising Age - CMO Strategy.

The line that we put in bold italics should be on a big sign above any marketers desk. It’s much easier to get an emotional response to something that’s already got emotions attached.

No one cares about your nifty new twist on your features, advantages or benefits- no, they want to know what’s in it for them- in a way that makes them lust for your product and trust your company.
Interestingly enough, the article on the other side of the spread was “Why emotional messages beat rational ones.” This quote sums it up nicely:

What the data show us is that emotional campaigns are almost twice as likely to generate large profit gains than rational ones, with campaigns that use facts as well as emotions in equal measure fall somewhere between the two.

It turns out that emotional campaigns in general generate a wider range of desirable business effects, each of which plays its part in improving profitability. But they excel in one noteworthy area: reducing price sensitivity, and hence strengthening the ability of brands to secure a premium in the marketplace (or, in the current economic climate, to hold firm on pricing).

To create messages with meaning, start looking at what decisions a buyer has to make to choose your product, and think of how it fits into the rest of their life- then find what makes them uncomfortable and make it engaging or funny- be it the complexity of a car- broken down into the parts that go together like the Honda Cog ad they point to in the second article or the “Whopper Freakout” campaign. Either way- you’ll get more interest, which should translate into more sales.