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February 27, 2006
Why the Boomer Hype?
Starting January 1st of this year, the first of America’s 78 million or so baby boomers hit the big six-oh. Since then, a boomer has hit this benchmark every 60 seconds, and will continue to do so for the next 19 years.
Yes, this is a huge generation, representing an attractive, generally well-heeled and active group, one which marketers in all industries would be well advised to recognize and understand. And that’s where we ask, “why the hype?” The fact is, no matter how attractive this target of opportunity, marketers who look at this group as a single block (or, as some demographers say, two distinct blocks – the “leading-” and “trailing-edge” boomers) will surely miss out.
In our view, the boomer market – just like any other market – simply cannot be viewed through the mass-media, 30-second-spot lens of the 80’s. It’s not a homogenous group; there are rich boomers, working poor boomers, self-actualized boomers, active boomers, and so on.
My soapbox is a predictable one. Learn why your customers like you, and why those customers you lose choose a competitor. In the integrated, multiple-media, 1:1, mass-customization and micro-segmentation age we now find ourselves in, marketers must do their research and know their audiences. In brief, it comes down to understanding what makes your customers tick. Using technology and intelligence to gather rich data on demographics and behavior, the unit of measurement for marketing analysis and management should really be the individual customer.
All that said, if your market does include a large chunk of the boomer segment, one thing is pretty clear: don’t market to them as if they’re getting old. In the words of a recent Now AARP article, “60 is the new 30.” So count your customers, one at a time. And then do the math…
Comments (0) | Posted by MCorp. at 8:16 AM | Permalink
February 21, 2006
Stock or Soda: It’s all About the Message
I’ve just spent two days at an oil and gas investment conference in Palm Springs, listening to a couple dozen small and mid-cap E&P companies pitching their stories to the investment community, represented in this instance by a handful of hedge funds, some private equity folks and a few individual investors taking that rare (and smart) step of looking CEOs in the eye and learning about the firms they invest in, rather than relying on some analyst’s report or a tip from their broker.
But while chatting with some of these smart investors over a couple drinks, something that we marketers already know became crystal clear: you need a message that resonates to stand out from the crowd. Whether that crowd is small-cap oil and gas companies competing for investors, the highly competitive banking sector, or sodas on a supermarket shelf, two things need to be clearly understood by those doing the selling. First, what is it that makes your product or service compelling? And how does this position you versus your competition? While not seasoned marketers, these investors intuitively understand when they’re not getting a message that turns their crank.
After listening to the first half-dozen of these earnest, experienced and highly intelligent CEOs say, “We focus on maximizing shareholder value…” I almost fell asleep. C’mon guys.
Just because your company doesn’t compete on a retail shelf, doesn’t mean you shouldn’t focus on your differentiators to light the fire of interest with your target audience. Figure out what gets me going, and by God get me excited. As consumers, we want to be educated. We need to be engaged. And we must understand why we should care.
Your company has a story to tell– whatever it is you’re trying to sell – so do us all a favor, and figure out how to tell it.
Comments (0) | Posted by MCorp. at 1:15 PM | Permalink
February 15, 2006
Branding is a Wicked Problem
For anyone who’s been involved in a brand consulting project or a complex business issue, the concept of the “Wicked Problem” is a fascinating one.
Coined by Horst Rittel, a Wicked Problem is one for which each attempt to create a solution changes the understanding of the problem. In brief, Wicked Problems cannot be solved in a traditional linear fashion, because the definition of the problem continues to evolve as new hypothesis are developed and put forth.
Because the understanding of the Wicked Problem evolves the longer you work to solve it, finding an acceptable solution requires powerful processes for getting everyone on the same page. According to Rittel, Wicked Problems always occur in a social context - the wickedness of the problem reflects the diversity among the stakeholders in the problem. For instance, in our experience, the more complicated the brand, the greater the diversity and the higher the stakes for each individual involved in the process.
Some specific aspects of problem wickedness include:
1. You don't understand the problem until you have developed a solution. Indeed, there is no definitive statement of "The Problem." The problem is ill-structured, an evolving set of interlocking issues and constraints.
2. Wicked problems have no stopping rule. Since there is no definitive "The Problem", there is also no definitive "The Solution."
3. Solutions to wicked problems are not right or wrong, simply "better," "worse," "good enough," or "not good enough."
4. Every wicked problem is essentially unique and novel. There are so many factors and conditions that no two wicked problems are alike, and the solutions to them will always be custom designed and fitted.
5. Every solution to a wicked problem is a "one-shot operation," every attempt has consequences. You can't learn about the problem without trying solutions.
6. Wicked problems have no given alternative solutions. Therefore, it is a matter of creativity to devise potential solutions, and a matter of judgment to determine which are valid, and which should be pursued and implemented.
Indeed, it sounds like virtually all brand- and marketing related projects for complex organizations are about solving wicked problems. And this, of course, is what makes our business – the business of brand and marketing consulting – both so fascinating, and so difficult. Because at the end of the day, it is our passion, our talent and our intellect that drives our creativity, and our experience that drives our judgment.
Unfortunately, the concept of the Wicked Problem underscores something that we’ve always known, and experience anew each time we start a new engagement. Though processes and systems for solving Wicked (and branding) Problems do help – we have several that have proven their usefulness – every solution is fresh, new and entirely relevant only to the situation at hand.
Comments (0) | Posted by MCorp. at 8:43 AM | Permalink