Showing posts with label ad agencies. Show all posts
Showing posts with label ad agencies. Show all posts

Tuesday, October 09, 2007

The War on Advertising

Let us not forget that sales, advertising and generating awareness and recognition do not go hand in hand. And, what marketers once accomplished with brain, they now accomplish with brawn. Consumers surf ads because most are either too contrived, or too obvious. A juvenile focus on product features and benefits serve best to keep those earning their first career's worth of experience from making mistakes that will cost bosses their jobs. It also retards the true creativity that makes the whole of a brand greater than the sum of its parts. For example, Chunky Soup wasn't a stew, it was a soup you ate with a fork - thus building an equity Campbell's could manage through the years.

Back in the day, advertising sold stuff. Today, advertising is created to generate awareness and recognition - representing a different goal than "selling." There is nothing wrong with generating awareness and recognition via advertising as long as you realize it sets the bar lower than if the goal was to sell stuff. You must also realize that generating awareness and recognition is agency-speak for, "if you throw enough stuff against the glass some of it might stick." Does this distress some of you to hear this? Do you want to disagree? It should and you will. Remember, I was there at the dividing line. I can pinpoint the date time and location where and when new agency pitches stopped using the word "sales," replacing that word with the lesser goal of just generating "awareness" and "recognition." I had been in over 600 new business pitches prior to that date, and over 900 since - that's over 1500 new business pitches - and the real number is probably higher. Generating awareness and recognition is a far easier target to hit full of lesser promise that gives an agency and client now uncertain of the target to do and say whatever they wish. So in the end advertising chronicals such as Ad Age, AdWeek, BrandWeek and all the rest wonder why consumer packaged goods have become commodities, why retailers (think about that term re TAILERS) now wag the (manufacturer) dog, why agencies are paid less, why agency compensation declines, why agencies must merge to keep their heads above water.... The only cure is to put the promise of sell back into the strategy. To stop trying to be all things to all people and just be who you are. Ask yourself, "what is your product's reason-for-being?" Is your answer the same as everyone elses? Ask yourself, "why is your product focusing on features and benefits, the lowest cost-of-entry common denominators in any category - rather than a higher and more compelling Special User Effect whose whole is greater than the sum of its parts? That is what advertising used to do.

Monday, September 10, 2007

Chrysler Chief Sees Link of Housing to Car Sales

Excuses are all too easy for Bob. Blaming car quality is all to easy for us. In reality, Chrysler's problem is that they are trying to sell today and tomorrow's cars with yesterday's positioning strategies. Bob's position just lets everyone, including execs at the company and their ad agencies off the hook all too easily. Bob talks about "right-sizing" the business. BS. That just gives him an out and lets him set the high water mark wherever he wants to. The guys in the picture don't seem to be buying it either. In Detroit, or any category, speed is expensive, positioning is the highest octane fuel, how fast do you want to go? In all of these years Chrysler has never done the qualitative homework to look at abstract dimensions to find out what really motivates people about its products. Here's what the New York Times had to say.

DETROIT, Sept. 7 — Only a month after taking charge of Chrysler, Robert L. Nardelli is concerned that problems in the housing market and the broader economy are hurting car and truck sales, and he wants his company to draft a plan to respond. Click on the post title to follow the link to the article.