Tuesday, December 22, 2009

I know..

I know who is going to be going to the Super Bowl but you have to click here to find out who. Tell me who you think will win the "real" game?

Monday, December 21, 2009

TREND ALERT!!!

Forget about wide rimmed glasses everyone needs to get monocles! They are starting to make a come back in the older generation over in Europe which means it won't be long before they are here...click here to read more.

What is it going to take to make monocles a major fashion trend here for the older generation? What about the younger? How much stickiness does this trend have or is it a destined flop.

Sunday, December 20, 2009

So where should you advertise then?

If your target market is 15 year olds one would have to believe you would need to place adds on shows such as Family Guy and Gossip Girl. One of the costs to placing ads during those shows is being labeled Worst TV Sponsor.

Don't get me wrong, there are plenty of shows that need to be taken off the airways and I understand the business model of how they stay on the air but go after the stations not the advertisers. It is exactly what some of the "worst" sponsors want. If you give a company a label such as worst sponsor aren't you going to increase the love for that brand? Does the PTC have any value behind the labels they instill on advertisers? Click Here to see what I mean and let me know what you think

Seriously?

Is anyone really going to buy this? $69.99 for framed sheet of paper? Couldn't anyone start a similar business and undercut them? Click Here to see what I mean.

Thursday, December 10, 2009

QUESTION OF THE DAY


Is GaGa the new queen of fashion or should she tone it down?

Tuesday, November 17, 2009

Coincidence or just brilliant?

So was this by chance or a smart strategic move? Why would they use Sesame Street as a media platform?

Monday, November 16, 2009

Is this wise?


How long did it take you to realize who this commercial is for? Why would this company do this and how will it help them sell more products? Watch the video a second time and note how many times you see the companies name, brand, or even products, should they have done a better job placing their product with in the video? Excluding selling more total units, what would be the anticipated long run return on investment? Bottom line even though this is cool do you think it was worth the investment?

Friday, November 13, 2009

McDonald's is offering the chance to win $1 million to lucky winners in its online McDonald's Monopoly game.

Players can go online, roll the virtual Monopoly dice, and see how their pieces land. Players who land on "Chance" are entered into the $1 million daily drawing. Like with real-world Monopoly, players can acquire Monopoly properties but win real cash prizes.


The game can also be played on Facebook and on mobile devices. Read the full article here.

The recent McDonald's Monopoly game has another innovation added to the game, Facebook. Recently its been proven that Facebook is the new "spam sender" after Myspace. There are many groups and associations within the social network who use Facebook as a promotion/advertising technique.

McDonald's new app for Facebook shows that many big business firms are attempting to directly influence/advertise to the members of the social network.

Is Facebook really a socializing network or is it now the main face of advertising?

Do you ever click on the advertisements on Facebook? Is this effective?

The times, they are a changin'...(or credit cardin'??)



The Holiday Season seems to have started quite early this year and with this start, you will soon be hearing bells outside of almost every store you enter. Though the bells may leave your ears ringing for hours, they are quite effective, raising millions of dollars for the Salvation Army every year.


However this year, The Salvation Army is hoping that their donations will be great even in these "tough economic times" with a new donation option: paying with your credit card.



Do you think that it is a good idea that The Salvation Army is trying to stay current with technology and go digital?





Would you rather see them keep the old fashioned coins and dollars or move toward the credit card option? What are some pros and cons of both of these options.

There's no such thing as a 'free' breakfast?


The Timberwolves took to the streets the morning of their first game to provide and serve breakfast to morning commuters in downtown Minneapolis. Read the full story here.


Do you feel that the Timberwolves had a higher attendance rate at the season opener because of this (free) breakfast?


Do you think that it was a positive advertising tool? How would they be able to measure if this was a positive factor in attendance rates?

Sunday, November 8, 2009

Is this deceptive or just the truth?



Does AT&T have a case? Is this deceptive? How might the average consumer misinterpret this ad? Did Verizon do anything wrong?

There is an I in Nike

First of all it was your dad and it is not you... Second of all there is no way you can ever be named a team player...Thirdly where was the coach, the university? They knew he was going to do it and let him do it. Click here to see what I am talking about



If you are the CMO for Nike do you sweep in offer a deal at the same amount, lower or higher than Adidas did or do you stay away for it is CFU and UNC?

Wednesday, November 4, 2009

Love it or hate it?

Visit msnbc.com for Breaking News, World News, and News about the Economy


Like it, loath it, gotta have it? What do you think will be the most popular piece of branded Team USA apparel? Do you think Nike did the right thing by sponsoring the team?

Tuesday, November 3, 2009

DO NOT READ THIS...

If you think value menus are a good deal... http://preview.tinyurl.com/mx7mdy

If you really want to be shocked then http://tinyurl.com/ddxhf9

How could a company use the information in these articles in a positive way to increase sales.

Thursday, October 29, 2009

Just Make It Free To Make More Profit

What if an airline gave away free tickets to anywhere it flys? What if your favorite artist gave away their CD for free? What if a cable company gave you a free HD TV? Sounds pretty good right? But what if I told you they would recapture their lost profit by selling complimentary goods at a higher price? Here is a look at a very interesting business model.




Do you think businesses should adopt this model? What companies would be best suited for this model? Do you as a consumer like this captive / optional pricing strategy?

Wednesday, October 28, 2009

Are you a green fashionista?



It seems that everyone is concerned with 'going green' these days. This is an interesting article about what to look for when choosing green, eco-friendly fashion. A few things to look for on the label: "Organic," Material (hemp, tuncel, cotton), Clothing care options (dry-clean only)

One thing the article DOESN'T touch on is the fact that no single piece of clothing can be 100% environmentally friendly. Why is this the case?


Become a label reader and you can save the environment...will this really catch on? Are average-Joe's, middle class people going to spend extra money for a green option/fabric/tshirt?



Armani has partnered with Samsung to create a luxury cell phone. The cell phone was created to match/compliment Armani suits and will cost over $1,000. Read the entire article here.

Was this an idea by Giorgio Armani himself or do you think this was a change implemented by the new, younger senior managers?

The Armani phone is equipped with a touch screen, Windows 6.5, and GPS navigation is it worth such a high price, simply to be fashionable? Isn't a phone, just a phone?

Will this make people look at and treat their electronic devices differently now? Do you think people will move toward having a phone for every outfit/day? Etc.

Good Timing...



Who could Bisquick team with to create some effective cross promotions? Is this a good time for this ad to launch? Go to http://keepyourleftoversalive.com let me know if this campaign will be effective. How hard will it be for this well known breakfast staple to become a left over staple?

I am going to run with this idea...


Bachelor star Andy Baldwin running a marathon is nothing new. Running a marathon in dress shoes...well that is sort of unique. This is not the first time some one has ran a marathon in something other than running shoes.


How will Rockport leverage this to help sell its shoes? What symbolism could they use? Is this idea pointed at the correct target market?

Wednesday, October 7, 2009

Don't Pass Go...But We Will Collect $200


Ticketmaster Entertainment Inc. has developed a new way to resell tickets that shuts out the brokers and scalpers it has long scorned.


The system relies on Ticketmaster's "paperless" ticketing platform, which makes customers prove their purchase by showing a credit card and ID when they arrive at an event. Without paper tickets, there's nothing for scalpers to resell.


Now with its new exchange system, Ticketmaster has come up with a way to let buyers resell a paperless ticket, while still cutting out ticket-resale leader StubHub and other brokers. That gives Ticketmaster a chance to capture more of the so-called secondary market, which generates greater fees and profits per ticket, although fans sometimes feel ripped off.




If scalping tickets is legal, should a team or ticket broker be able to cap the number of games a person can resell? Or better yet, should they be able to assign a price ceiling on secondary market ticket sales?


On a final note lets talk about fees Ticketmaster collects on secondary resale tickets..."For the initial sales run, fees amounted to a little more than $4 per ticket, but on resales the buyer was required to pay $1.95 and a 15 percent transaction fee — up to $10.95 a pop. In the home opener, the total resale fee averaged $7.89 and was shared between Ticketmaster and the university."


When does the FTC step in and say NO the market should dictate the price of goods?

Do you know who Grayson Ozias IV is?


Do you even care to find out? The people at Levi's think 18 - 24 year olds will in hopes to increase engagement with its fan base as well as increase its email database.
Do you see yourself going onto Levi's web page to find out? Do you see yourself considering buying a new pair of Levi's because you now know who Grayson is? http://www.adweek.com/aw/content_display/news/digital/e3i6e0d957446c196ca5a5619964f5795aa


Lets take the high road on this one...What could Levi's do in order to make this more valuable to the target market.

Hey You!!!! Park it!!!

In Boston, Gary Washburn noted the NBA in a memo has "warned teams about players standing up in the bench area during games." Players often "block the view of fans, many of whom are season ticket-holders paying premium prices for seats." To "appease these fans and reduce banter between players and premium seat-holders, the league has warned players about standing" (BOSTON GLOBE, 10/4). Boston Globe columnist Bob Ryan said, "This has gotten to be a joke. These big guys are blocking the views of people who are paying not $50 or $75, but hundreds of dollars” ("PTI," ESPN, 10/2).

Should the NBA get in the way of the game? What could teams do to increase the value of those premium tickets besides telling players when to stand?

Friday, July 3, 2009

A New All Time Low...


The other day we decided to go to one of our favorite mom and pop family restaurants for a delicious sandwich. When we walked into the restaurant around 1 PM there were three tables being used. After we placed our order we went find a place to sit and what happened next was the beginning of end of us going to this particular restaurant.

Now keep in mind I noticed there was one employee working the counter taking orders and two back in the kitchen cooking with a total of nine total customers in the entire restaurant including us. With that, every single table was dirty. Dirty with food and baskets and even tips laying on the tables. Previous customers had come in and enjoyed a meal, as we were hoping to do, and their table was not cleaned or reset. I would be lying to say I was a little annoyed by this but I just let it roll off of my shoulder. We found the least dirty table and moved the trays to another dirty table. I went to the counter asking for a wet towel to wipe off the table so we could sit and wait for our order. One would think this would be a sign to the employees that they should clean their dining room. Especially since one employee walked out from behind the counter and wiped off our table. I was wondering if they were that clueless to not notice every other table was dirty and in need of cleaning. They quickly answered my question when the employee went back behind the counter and continued to do what ever they were doing.

Well we sat and sat and sat and waited for our order of two simple sandwiches for over twenty minutes before I went up to the counter and asked if we could get it to go. This restaurant is not known for their speedy service but every minute that went by we became more and more grossed out at how dirty the dining room was. To make matters worse no other customers entered the restaurant during this time so obviously someone should have been able to clean off the tables right? Nope.

We finally decided to get our order to go and as we were handed our food I had to say something. I told the employee their dining room needs to be cleaned because it was disgusting. She said she understood and was sorry. Don’t tell me you understand when you don’t.

You have a major brand touch point that is easily controllable and you could care less what your dining room looks like. Besides if your dining room is dirty what does your kitchen look like? I should have told her that if the health department walked in right now they would shut you down but I did not think of that until later.

I have worked in the restaurant industry and I know how busy it can get but I also know how important cleanliness is as well. It is directly related to the success of your restaurant and it is unfortunate that the staff working at that time were too lazy to realize this. It is a very simple business model; have good food at good prices and provide a good experience.

Instead if and when they lose their jobs they will blame the economy. Yeah…it was the economy that made you forget the only reason you have a job is because of the customers and that your laziness disgusted the customer.

Once we got home and started eating our sandwiches we noticed that the bread I was supposed to have on my sandwich was on my wife’s and I had her bread. Talk about putting a cherry on top of a bad experience to a restaurant I used to want to go back to but I won’t any more.

Tuesday, June 23, 2009

Fourth Of July is Expected to Make A Boom For Retailers

Click here to see what I mean

Value is Still the Main Ingrediant to Make You #1

Burger King is making up ground with its new edgy campaigns but they are still #2 and will have no chance of being #1 unless they focus more on value Click here to see what I mean

Burger King has been known for their edgy / controversial commercials like the Sponge Bog Square Pants Big butt commercials. These will never take the place of quality food, excellent operational execution, clean and sanitized facilities and value that McDonald's offers.
Value does not mean cheap but it does mean the consumer feels they've gotten value for money paid.
Lets say a marketing campaign somehow convinces an individual to head to BK for lunch. They get there, but the place is a little dirty and the employee behind the counter isn't paying any attention. So the consumer leaves because of lack of value. Was it worth it to run a campaign only the have the customer say I won't be back?

Peter Pan Theory for the Advertising Industry

Could the advertising industry be getting it all wrong? In a recent survey conducted by AARP the majority of consumers over 50 feels that advertising and marketing either portrays them negatively or ignores them altogether.

In other words, the advertising industry is not only being run by Peter Pan, but, just as Peter didn't understand the adult world, today's advertising industry doesn't understand the aging adult consumer. It thinks people over 50 are simply kids with graying hair who want and need all the same things that 30 year olds want and need.

Click here to read the entire article

The next time you watch TV look for these ads and then if you are watching TV with a person in the "baby boomer" category ask them if this is how they like to be portrayed.

Monday, June 22, 2009

Could this be the next fashion trend?

As I was watching the US Open golf tournament this past week I noticed a couple of trends shaping the golf apparel industry as well as men's casual apparel. The first and most obvious was the crazy pants. The second being the "engineer" style golf hats.




Which of these two fads is most likely to live longer?

Could this be the future of advertising?

This is an article from the Wall Street Journal about how congress is putting a smack down on tobacco advertising - in my opinion once this goes through they will start to attack other "sindustries" such as quick serve restaurants. Click Here to Read the Article

I am not a smoker, never have been, never will be. I think it is gross and love the fact MN is a smoke free state, but here are my thoughts regarding this article.

  1. What happens when this destroys the industry and people lose jobs because of the government guidance?
  2. OK so RJ Reynolds has to buy tombstone ads but can now buy more ads then before have they (the government) accomplished anything? Besides won't tombstone ads actually stand out? It's a common known idea that the more white space you create the more your ad will stand out.
  3. I thought we live in a free enterprise system. Shouldn't the US keep playing with their "cars" and let the market determine the success or failures of other industries?

Thursday, June 11, 2009

Facebook.com/MissedOpportunity


Facebook is rolling out another new feature that some people might actually want to pay for. But naturally, it's not charging. Another missed revenue opportunity.


Specifically, Facebook will start distributing vanity user URLs this Saturday at 12:01 a.m. ET. That is, instead of being facebook.com/ profile.php?id=49304583045308, you'll be able to send around a URL like facebook.com/coolguy.


Facebook will not charge for this feature. But it could! Given how many people spend money on virtual gifts on Facebook (and domain names), we think that millions of Facebook's users might spend something like $5 -- or even $5 a year -- for this sort of feature. (Certainly companies and self-promoting users.) Click here to read the entire article


Assume the role of CEO for Facebook. Justify why you believe not charging for vanity URLs is a good idea?

Monday, June 8, 2009

Name That Tune...

The right song can help a product shine -- but the wrong one can hit an off note. Billboard consulted with a six-person panel of experts in advertising and branding to determine our list of the best five songs in commercials -- and five that made viewers reach for their remotes.

Click here to read the entire article and then tell me if you agree or disagree with this list. What type of criteria would you use to pick the best and worst ad songs of all time. What are your best and worst songs based on that criteria

Taco Bell Raps Back...



Going to a drive through and rapping your order has had its 15 minutes of fame. But now the employees are rapping the order back. Is this amazing? No. Is this entertaining? Yes. Notice how they are rapping back the order while another customer waits for their order. Explain why you love it or hate this ad from Taco Bell?

Friday, June 5, 2009

How Much Have We Changed?

With 5.7 million Americans out of work since the recession began in December 2007, according to the Bureau of Labor Statistics, and some 16% of U.S. employees living on reduced pay, according to a recent Hewitt Associates survey, it's no surprise that many people are cinching their belts. What's troubling marketers, however, is the prospect that consumer psychology has changed during the deepest recession in half a century, and that the tightening will remain when the downturn ends.

Do you think the recession will cause a permanent change in consumer spending habits? Why or why not?

Friday, May 29, 2009

How to Save Money...Use Your Phone


From the Wal-Street Journal - Seeking to marry a ubiquitous device with a time-tested marketing technique in a sour economy, Unilever plans to begin a trial run Sunday of a new technology that lets consumers redeem digital coupons by having a supermarket cashier scan their cellphones.

The test, being conducted at a ShopRite store in Hillsborough, N.J., will include discount offers for some of the Anglo-Dutch packaged-goods company's most popular brands, including Breyers ice cream, Dove soap, Hellmann's mayonnaise and Lipton tea. Samplesaint, a Chicago mobile-technology firm, developed the system.

"This has been a Holy Grail thing that people have been trying to figure out," says Marc Shaw, director of integrated marketing at Unilever, the first major marketer to test such a service in the U.S. "I think this is on target for where consumers' heads are at right now."
To get the coupons, customers must visit the Web site Samplesaint.com, from which they can transmit the Unilever discount offers to an Internet-enabled cellphone. At checkout, the cashier scans the bar code on the phone's screen, redeeming the coupon and deleting it from the phone. The test will run for four weeks, and Mr. Shaw says he hopes to see it extended to other stores after that. Click here to read the entire article

Do you think the mobile coupon is a good idea for consumers. What is the opportunity cost of finding coupons on newspaper and online versus having them sent to you?


How much will old technology hold them back because the coupon may not scan correctly?


Will this increase the redeem rate, and how could it have mutual benefits for both consumers and retail business.

Thursday, May 28, 2009

Ugly Betty just got uglier to some...



Would you stop watching this if this aired in the US? Is this really about sophisticated and unsophisticated markets? Is this too far over the line? Do you agree or disagree with the man in the videos explanation?

Wednesday, May 27, 2009

Who has the better plan?



Wal-Mart's low-price message and emphasis on necessities are helping the world's largest retailer grab new customers around the globe in a recession, while Target — with greater emphasis on trendy merchandise — has been struggling to hold on to its shoppers and is now turning to groceries for growth."Target is clearly making steps in the right direction," said Craig R. Johnson, president of consulting group Customer Growth Partners. "Meanwhile, Wal-Mart continues to raise the bar."According to the companies' recent annual reports, here's a breakdown of sales by merchandise categories for the latest fiscal year:—

Wal-Mart:

  • Revenue for year ended Jan. 31: $405.6 billion
  • Groceries: 49 percent
  • Entertainment: 13 percent
  • Furniture and electronics: 12 percent
  • Apparel: 11 percent
  • Health and wellness: 10 percent
  • Home: 5 percent

Target:
  • Revenue for year ended Jan. 31: $64.9 billion
  • Consumables, including groceries and health and wellness: 37 percent
  • Electronics, entertainment, sporting goods and toys: 22 percent
  • Apparel and accessories: 20 percent
  • Home furnishings and decor: 21 percent


So is it better to have all of your eggs in one basket such as Wal-mart or is it better to be diversified in sales such as Target.

Did this idea miss the Star Ship Enterprise???

On our way back home from a great holiday weekend we had a very difficult decision to make. Where can we stop to eat? Since my daughter loves Macaroni and Cheese the obvious stop had to be Burger King.

So we ordered our kids meal and I noticed something that seemed odd. The kids meal promotional toy was for the new Star Trek movie. Using movies for kids meals has been a long standing practice in the quick serve industry. What I do not get is the new Star Trek Movie is rated PG-13 and by creating toys for kids meals you are ultimately promoting this to kids under 13 who legally can not go to this movie. Besides is the target market really kids or is it the older generation who have grown up with this. Further more do they (the TM) even buy kids meals or would they be more willing to purchase a "Trek-Tastic" Whopper


Is this is a waste of money for Star Trek? Is BK the new "Treky" hang out?

Tuesday, May 26, 2009

How do you spell Harmony...Prius

Does this remind me of the lollipop kids...yes

Does this commercial make me want to watch it over and over hoping to find something new every time...yes.

I get how this commercial could creep people out but talk about a great ad that will have a long run as well as will win tons of advertising awards.



Do you love it? Do you hate it? Tell me why or why not.

"Chuck" another product placement up for Subway

NBC's televison show Chuck was on the verge of cancellation, fans banded together for a Subway-related stunt that involved watching the season two finale, buying a sandwich and registering love for Chuck on Subway comment cards.

The idea sprang from a recent product integration in the show, where one character bribed another with a chicken teriyaki sandwich and soda, Subway logos blazing, all while singing the "$5 foot-long" jingle. The result? NBC picked up the show as part of its 2009-10 season, rolled out this week to advertisers, and Subway will have a recurring role in the dramedy.

Chuck's girlfriend Sarah, who's an undercover CIA agent with a penchant for part-time jobs, might become a sandwich artist. There will also be traditional promotional tie-ins.

NBC execs said the fan response—including a Facebook page, Twitter campaign and YouTube videos—made them take another look at the show, but it was obviously the sponsor heft that tipped the scales

Is it better to only run ads or to pay for placement as seen in the video below?

If you were a CMO for lets say Best Buy, would you step up and pay for product placement. They already work at a store that resembles BBY.



The Buns Are Off!!!


With summer around the corner it is time for a good wiener related deceptive advertising story. Sara Lee Corp. is suing Kraft Foods for false advertising. The specific issue here is Kraft's claim in a full-page USA Today ad that Oscar Mayer Jumbo Beef Franks beat Ball Park and ConAgra Foods' Hebrew National hot dogs in a national taste test. Which sounds like it beat all hot dogs made by the latter two companies, when in fact, in fine print, Kraft admits it only compared its dogs to "leading beef hot dogs" made by its rivals. Apparently, someone does read the fine print.


Play the role of judge, is Kraft acting reasonably and if not what should their penalty be? In other words who is the winner and who is the... ( sorry had to :) )

Is it NOW cliche?

WD-40 Co. has launched The Money-Saving Tool community. At this budding Peyton Place of cyberspace, members are encouraged to share money-saving tips and tricks—through stories, photos, videos, what have you—to show the creative ways they protect their investments and avoid paying for expensive repairs or replacement goods. According to the WD-40 Web site, the substance boasts more than 2,000 uses. As a virtual welcome wagon during the site's launch earlier this month, WD-40 offered the first 40 community residents a value pack containing its WD-40 Smart Straw can, WD-40 Big Blast can and WD-40 No-Mess Pen assortment.

I understand what they are trying to do but seriously? Are their fanatics going to go to this site often beyond the newlywed (fist couple of weeks) stage? Are creating social networking sites such as this one demonstrating the law of diminishing marginal utility?

Monday, May 18, 2009

Introducing The Hampton Blackberry's???

Click here to read an article on Jim Balsillie.

Then go to google news timeline and type in Jim Balsillie.

Three stikes and you are out? Why does this guy want to move a team to Hampton?



What is in it for him?



How does this hurt his business which makes Blackberry's?



Should the NHL allow him to move a team to Hampton?

I am going to root for the Twinkies


Can throw a strike (make that three, actually) on a baseball field? If so you can still win $1 million. That's the prize money Hostess is dangling as part of an online "Steeerike ... It Rich!" sweepstakes program, which began this week.

Hostess will randomly select one consumer, after June 26, to travel to Kansas City and enjoy a moment of fame on the Kansas City Royals' baseball field at Kauffman Stadium. Throw no strikes and you get $5,000. One strike: $10,000. Two: $15,000. Three and you're outta there with a cool $1 million.

Wouldn't you pick a team with a little more appeal than KC? Will this get you off the couch and buy a hostess product?

Thursday, May 14, 2009

Figures can lie and liars can figure

Microsoft has launched an ad campaign claiming that it costs less to fill up its Zune media player with music than it does to fill up Apple's iPod. Now some analysts, like PC World magazine , are saying that Microsoft's campaign uses deceptive math to make its point.

In an ad for Microsoft's online music rental service Zune Pass, financial planner Wes Moss claims that at $1 per song on Apple's iTunes, it would cost $30,000 to fill up a 120-gigabyte iPod. Zune Pass, by comparison, costs $15 per month.



PC World's Brennon Slattery pointed out that Zune Pass does not work with the iPod, and that Zune Pass is a rental service. Zune Pass users can temporarily download an unlimited number of songs for the monthly subscription fee, but are only able to keep 10 songs per month permanently. iTunes users own all of the songs they purchase.

Ars Technica did the math and reported that at 10 songs per month, it would take 250 years and $45,000 in monthly subscription fees to own 30,000 songs permanently.

By ANTHONY BARTKEWICZ (MYFOX NATIONAL)

So will this work? Does the average consumer care? Do they both sell to the same target market? Why would a person pay $14.99 a month for a pass and can only keep 10 songs when I could pay$14.99 and have almost 15 songs? When answering these questions ignore the fact that most people still download music illegally. Pretend we always buy all of our music legally.

What is more important image or savings?


Most shoppers know that Wal-Mart's prices are lower than Target's. But is it enough to make devotees of the hometown retailer switch? Time for a price and reality check.

Fans of Target and Wal-Mart go together like Archer Farms oil and Great Value water. They don't mix well. Probably the only thing that aficionados of Target and devotees of Wal-Mart can agree on is that Wal-Mart's prices are generally lower.But as the economy has soured, many of Target's devoted legions are doing the unthinkable and spending their dollars at Wal-Mart. After years of winning the monthly same-store sales race, Target's star has dimmed while Wal-Mart shines brighter than all competitors. Many shoppers nationwide have traded in the red cart for a blue one (and Wal-Mart's recent TV ads brilliantly illustrate that), but here in Target's back yard, customers aren't switching teams. Yet.


"There is resistance to Target's local customers moving to Wal-Mart," said David Brennan, co-director of the Institute for Retailing Excellence at the University of St. Thomas. As you move farther away from Minnesota, Target stores don't do as well, he said, especially in smaller markets.In the short term, Target's customers will remain loyal as the company cashes in on its stellar reputation as a generous supporter of the local community, said Britt Beemer, chairman of America's Research Group, a consumer research firm in Charleston, S.C. "But it may not carry weight indefinitely," said Beemer.Twin Cities shoppers I spoke to at both discounters weren't budging, for now. While shopping in Wal-Mart in St. Paul, Angela Daniels of Minneapolis said, "Target is for the middle class. Its employees are stuck-up. Wal-Mart is cheaper." A mere block away at Target, Natalie Olson of Woodbury weighed in. "Wal-Mart is junky. Target is cleaner and classier," she said.


We wondered how much Target shoppers can save if they switch. According to a recent price comparison, shoppers can save 4 to 5 percent at Wal-Mart overall. That's the difference in my shopping cart of 30 items. But half of the items were only a few pennies apart.


By JOHN EWOLDT, Star Tribune April 22, 2009 - 10:15 AM


Would you rather save 4%- 5% or $4 - $5 per $100 dollars spent or have the social image associated with your store of choice?

Saturday, March 28, 2009

Want To Bet?

Golfsmith does, the nation wide golf and tennis retailer is promising to refund consumers the amount of money they pay for a TaylorMade driver if Spain's Sergio Garcia wins The Masters next month. Here is the catch, you must purchase one of three top of the line Taylor Made drivers, Garcia's major sponsor, by a certain date.

Did I mention that the drivers cost between $300 and $400? If Golfsmith does have to pay it would cost them a tune of $1,000,000 for every 3000 drivers sold, needless to say Golfsmith has taken out an insurance policy just in case he wins.


It is a fairly safe bet for Golfsmith however, Sergio is 0 - 41 lifetime in majors and usually performs the worst in The Masters. TaylorMade has no connection with this except sponsoring Sergio and any buzz that is created through this promotion.


Should TaylorMade be happy with this promotion? TaylorMade prides itself on being the number one driver in golf and if Sergio does not win does that tarnish the brand? Soon they might be able to say they are the number one driver in golf who never wins. How could TaylorMade make this a positive brand building experience?

Thursday, March 26, 2009

See A Pot Hole...Just Call KFC?

As you are driving around the cities you say the person sitting next to you in the car " I wish someone would do something about these pot holes!" By the time you finish your sentence you notice a crew up ahead working on the pot holes. As you get closer you notice that one of the workers looks like a person you have seen on TV. Then you notice and exclaim "It's Colonel Sanders from KFC!"

In an unusual cause-marketing push, KFC is tackling the pothole problem in Louisville, Ky. in exchange for stamping the fresh pavement with "Re-freshed by KFC," a chalky stencil likely to fade away in the next downpour. Read the complete article here.

What a great concept that will get people to stop, look, remember and go back to look at when they drive down that street. I am surprised that Louisville is allowing this. What does the Highway Beautification Act have to say about this? Further more once the Colonel is done working and "refreshing pot holes" will you even notice it? Bottom line is this, short term it is awesome, unique and definitely a purple cow. Long run I have to question it. Do you think is this a good or bad idea?

Monday, March 23, 2009

Is there hope?

Maybe customer service with in the airline industry isn't as dead as I thought. Look at the peoples faces and posture change as this flight attendant puts a new twist on pre-flight instructions. You can honestly see the mood lift among the passengers especially when you watch the seasoned business travelers in the front rows. Southwest Airlines gets it and you have to appreciate the shot thrown at their competitors because it is completely true. How do we get other industries to catch onto this noble yet basic idea?

Glass So Clean It Is Invisible?

Here is a great example of how effective guerrilla marketing can be. Hire three people for a weekend and have them walk around a city (Chicago) pretending they are holding glass that is "so clean it is invisible." What a great way to tell your story about your brand instead of the same old boring demonstrations. I love how people in the video are stopping, watching, smiling, video taping, and photographing this low cost high appeal glass free promotion.



Even though I love this concept I have to wonder...will this motivate you to purchase Windex the next time you are out of glass cleaner when an available substitute is sitting right next to it for a lower price?

Sunday, March 8, 2009

Lets Do The Math

Have you stopped at Caribou lately?

Often I like to get a mocha and a muffin. The latest promotion the barista, err employee will counter and say would you like to make that a large drink and get the pastry for just a$1.

Lets do the math


Small mocha - $2.90
muffin - $1.95
TOTAL: $4.85


Large mocha - $3.90
Muffin - $1.00
TOTAL: $4.90


What's the up sell and profit of that? A mere $.05? Is this a good idea for Caribou?

On another note, the free shot of espresso promotion when we "spring ahead" is a great idea and a great example of viral marketing. Truly an awesome low cost high appeal promotional idea.

Wednesday, March 4, 2009

Should We Show Them The Money?

Should the state of MN fund a Vikings stadium this season?
We have federal stimulus money coming that is to be used to create new jobs. A new stadium started this fall would create consistant jobs for two-three years. Look at the Twins & Gophers stadiums and how many companies they used and the number of people hired. Couple that with a few new road projects.....

Tuesday, March 3, 2009

Are You Kidding Me???


Have you seen the commercial for a new frozen entre free from Kashi.com?

So being the dork marketing guy I went directly to Kashi.com and signed up for it. I liked the spot and it made me go to the site and sign up. I look forward to trying this new product.

Here is where it gets good – I went to send a comment to the folks at Kashi and when I click the topic under FAQ and it simply tells me, at this time we are unable to accept ideas or comments from outside of Kashi. Our professional research and development team are constantly working to improve…..


Really – are they that CA arrogant to NOT accept comments from their consumers? I am truly shocked that a company such as Koshi does not accept comments. In this day and age shouldn't they want to know what their customers think especially since they use a market skimming pricing strategy with plenty of available substitutes?

Monday, March 2, 2009

SuperModelquins???


This is wierd, creepy, different but yet I am talking (blogging) about it...so it must be effective. Make sure you watch the "premier episode" located in the lower left corner.


Where is the value?

Hyundai's latest ad campaign informs customers if they are having a difficult time making payments they can defer for three months. If times are still tough you can return the car.

So where is the value in returning the car? Don't you still need some sort of transportation to interviews or even to buy groceries?

Monday, February 16, 2009

What do you suggest they do...

In a recent interview in Brand Week the new CMO of Chipotle, Mark Crumpacker, made some interesting points about their customer and the task at hand.

1. Most Chipotle customers always order the same thing "That’s something I’d like to change with our marketing. I can tell you I like my new carnita bowl better than I like my chicken one" How should they do this?


2. "We found that people are coming to Chipotle because they love the food, which is great. But we found that they are not using the fact that we spend a lot of time and effort on making all of our food as sustainably and naturally-raised as possible. We all assumed that that was a big driving factor. Even people who were coming to Chipotle for a long time, they appreciate it, but it’s not the reason they are coming in. They just love the way the food tastes" Should they stop promoting their form utility?


3. "We can give them new things to talk about. It’ll be more along the lines of, ‘Oh, did you know Chipotle is doing this? Did you know they’ve got all these great things going on?’ We’ll be spending a significant amount of our energy in terms of ramping up those conversations that consumers are having." What could they do, that they are not doing now to give customers more reasons to talk about Chipotle?

Sunday, February 15, 2009

Is Failure An Option...

In an economic crisis, the weak die first. So it was no real surprise that the first sports casualties of the current recession came from minor professional leagues: Last month the WNBA shuttered its premier franchise, the Houston Comets, and the Arena Football League, which had been scratching out a living since 1987, canceled its 2009 season. (The LPGA is cutting three tour stops and $5 million in prize money from the 2009 tour, so they're feeling the pinch, too.) Click here to read the entire article.

The question is, were these failures part of a normal, recessionary, thinning of the herd? Or were they the early warning signs of a pro-sports bubble that may be about to burst? Who is next? What should pro sports teams be doing to overcome this?

They Don't Get It Anymore...

Starbucks is in the news again in attempt to get same store sales back on track. The company is considering offering a value menu along with rolling out instant coffee. I find this humorous, since Howard Shultz, CEO in the past has said he does not see McDonald's as a direct competitor...hmmm? I have always admired Starbucks for trying to be the leader in new product development but in the current economy people want to see more value in their $3.00 cup of coffee. Starbucks is going to attempt this by selling instant coffee which will cost about a dollar a cup for $2.95 for a pack of three where one can but a 30 cup can of Folgers for $2.65. Click on the links above and read the articles for more information.

Do you think Starbucks "Gets It" anymore? Selling a $1 cup of coffee, what will that do to the Starbucks brand? Is it better to be developing more products instead of offering promotional discounts? Should they be offering better promotions with more value before they lose even more customers to McDonald's and their $0.67 coffee. In times likes these how do luxury brand companies hold on and maintain their customer base especially when there are so many available substitutes? I would love to hear your thoughts

Tuesday, February 3, 2009

See if you can spot the celebrity...

Friday, January 30, 2009

Thursday, January 29, 2009

Less cookies or higher prices?*


Even the Girl Scouts or America have tough decisions to make. A recent article on CNN reports people will find one to four less cookies per box this year. So instead of raising the price on a $3.50 box of goodness you will get two to four less Thin Mints. From cookies, to laundry detergent to cereal to baby formula a lot of companies are practicing raising prices by lowering quantities. Sure, I understand they are trying to shift the supply curve to right but are they also trying to get the customer to purchase their product more often?

What other products have you noticed this trend of reducing the size but keeping the price the same?

Would you rather have the same price but lower quantity or a higher price with a higher quantity

Sunday, January 25, 2009

Another great example of public relations for a terrible product

I can not believe this product actually got this type of positive PR.

Click here to see what I mean.

A glass and a half full commercial

An advertisement from the UK. Very creative and the balloon is the best part.

Saturday, January 24, 2009

NEW CORPRORATE LOGOS JUST RELEASED...

A humorous sign of the times...

Thursday, January 22, 2009

You would think they would be doing better...


Late last year ebay decided to change their pricing stratagy. The result is explained below. It also clearly demonstrates what happens to a product/service when they have an available subsititute such as Craig's List.

From the Wall Street Journal
-------------------------------------
EBay Inc. reported a 31% slump in fourth-quarter profit and the company's first quarterly revenue decline, as the online seller struggled with one of the worst environments for consumer demand in decades.

Revenue fell 6.7% as shoppers pared holiday budgets and shifted away from eBay's core online auctions. And eBay indicated that conditions remain uncertain in the current quarter, issuing ranges for revenue and profit that are below estimates on Wall Street.

While eBay said its online payment and communications units grew, revenue in its core marketplace business -- which accounts for 55% of revenue -- declined 16%. The company attributed the drop to the strengthening dollar given the company's large international exposure, and the global slowdown during a crucial shopping season.

But eBay, the largest online retailer by volume, also appeared to lose some ground to fixed-price sites such as Amazon.com Inc., some analysts said. "EBay is losing market share compared to other e-commerce players like Amazon," said J.P. Morgan analyst Imran Khan. "They still have a lot of work to do."

Shares of eBay fell 6.5% to $12.41 in after-hours trading, erasing gains made earlier in the day. The stock traded on the Nasdaq Stock Market at 4 p.m. at $13.28, up 73 cents.

EBay profit dropped 31% as CEO John Donahoe's turnaround skidded.
John Donahoe, who has been eBay's chief executive for a year, said he was pleased with the progress the company has made to turn around its flagging marketplace business. "The changes are not working fast enough, but we are on the right path," he said.

He also emphasized that the faster-growing nonauction portions of the business are becoming as significant as the traditional core eBay business. "In the future, if we connect the buyer and seller through an ad, that is as good as an auction," he said.

For the past year, Mr. Donahoe has pushed for eBay to sell more fixed-price goods and changed the company's fee structure. In the fall, eBay said it would lay off about 1,000 full-time employees, or 10% of its work force.

For the fourth quarter, eBay reported earnings of $367 million, or 29 cents a share, down from a $531 million, or 39 cents a share, a year earlier. For the fourth quarter, revenue was $2.04 billion, down from $2.18 billion.

A classic example of how to use public relations and the media

Starbucks' campaign to promote volunteerism (and store traffic) got a huge bump today from no less than Oprah Winfrey -- and by extension, Barack Obama.

Starbucks' 'I'm In' spot is set to air on CNN, and CNN Headline News, as well as a variety of NBC platforms.

The talk-show host talked up the java giant's "I'm In" campaign, which encourages consumers to pledge five hours of community service before the end of the year. Those who commit to doing so at Starbucks between now and Sunday will be rewarded with a free coffee.

Ms. Winfrey also encouraged Americans to help the chain double its goal of 1 million hours pledged on the coffee company's site, pledge5starbucks.com. The "Oprah effect" already seems to be working: According to the site, about 350,000 hours were pledged by this afternoon on the East Coast.

Below is the Oprah segment, be aware that this a just a little politically slanted.


Do you think this will work? I think this a great example how to use public relations to push sales but outside of going in and signing up to get my free coffee this will not make me want to go back and pay $4 for another cup.