Showing posts with label Consumer Opinion. Show all posts
Showing posts with label Consumer Opinion. Show all posts

Monday, 27 January 2014

The Death of Consumers Caring About Smart TV

      In the last several years, smart TV market share in the UK can be argued to be disproportionately small relative to the amount of communications promoting such products. While smart TV usage has increased by 2% annually to 7% of all TV owning households in the UK during 2013 (Ofcom), the amount of challenges to its success are growing quickly.

     The growing problem facing smart TVs can be illustrated by how owners mainly use them, viewing content online, from catch up TV apps (57%) to streaming on apps like Netflix (38%). Consumers using smart TV technology to expand the existing core functionality of TV is expected, but it doesn't provide smart TVs a USP against connected TV
devices like game consoles (an estimated 4m Xbox & 3m Playstation users in the UK), set top boxes and growing plugins such as Google's Chromecast.

Thursday, 9 May 2013

How do you market to a refrigerator: Smart devices and the upcoming ‘second market’ for advertisers?

The roles of connected devices are growing within our lives. From smart appliances to the refinement of in car computer connectivity, more and more of the objects we encounter daily allow for connectivity and control. However, what lies beyond this generation of smart devices may truly change the way we buy certain products as consumers and how marketers and advertisers drive purchase.

The next evolution of smart devices will not only allow connectivity and control, but will also predict what we need before we need it. The proliferation of the data sources available to connect to means that we are facing a possible revolution in the way we consider functionality. Whereas now, a smart washing machine may allow for a consumer to start it via mobile, in the near future we will expect this and more. When the appliance breaks we will not only expect a notification on our mobiles, but also for the device to have already sourced a list of local repairmen, found those that are available at the same time as you are (via your calendar) and recommended the best price for servicing.

Smart devices won’t only play a role in curating data to enable quicker consumer choices, but they may also take care of routine purchase. For example, a smart refrigerator could not only interface with the products within it to know when your routine purchases need replacing, but it could compare prices against online grocers, schedule times for delivery when you have indicated and use one or multiple suppliers to arrange the best price. This possibility of device led purchase begins to create a new market opportunity. Advertisers will need to drive more emotional, less routine product discovery and purchase through existing marketing channels to consumers, but more rational, information led purchase through smart devices as they grow in ubiquity.

The opportunities and changes posed by a growth in smart devices don’t apply universally across all products. Instead, the types of products and services affected are more mass and routine than luxury. Goods and services that heavily utilize emotional factors such as brand (e.g. luxury goods) or are ‘one-off’ purchases are unlikely to bear the brunt of a change in purchasing behaviour. However, for products grounded in at least a semi-rational and routine purchase, the growth of a comparable smart device (e.g. groceries and a refrigerator, clothing and a washing machine, servicing and appliances or a car, utilities and a home coordinating computer) creates two interconnected consumers: human and device.

For marketers focusing on these devices in the future, this shift means expanding information exchanges and connectivity to provide the largest footprint for connected devices to interface. Focusing on this mechanical market isn’t necessarily new for any agencies or brands, as any SEO will attest to. In fact, the same principles that have been important in driving site visibility within search engines will be important for reaching those connected devices that are informing or executing purchase online.

The presence that sells to a device doing routine shopping will not be a website, but an API, stripping away the trapping of design and style to provide pure, structured data on requested products and services. Successful APIs providing data will need to work quickly, provide timely results and interconnect with other data sources that can help tailor prices and products to make the most favourable rational conditions for a device. APIs will gain visibility through open standards and coordination with manufacturers, but will need more to differentiate.

Differentiation must come from APIs using data sources to make the most favourable rational ‘sell’ for searching devices, in similar way to how Sainsbury currently uses Nectar data. If APIs can predict which items a device will be looking for or when they are considering purchase, sales promotion activity can focus on lowering the rational cost of items at specific times, increasing the attractiveness of a retailer to a machine. Traditional direct marketing mechanics will still prove valuable, but your posted coupon pack may instead be emailed to your appliances. In addition, using data sources outside of just price can help to differentiate brands, such as using social data to prove quality through recommendations or scoring.

Consumer focused marketing may also change as smart devices becomes more refined. The focus on consumer marketing may narrow, moving away from direct response price-led messages aimed at driving frequency of purchase and instead just on driving initial trial. The goal of speaking to a consumer in essence becomes driving trial of a brand to get on a ‘repeat’ or ‘routine’ purchase list and then minimizing the reasons why the consumer would remove you from that set. If smart devices take over more of the routine and rational parts of purchasing, building a brand around a product becomes important only in initial trial and as a defensive move against other brands edging a product out of the ‘routine’ purchase set, ensuring that the consumer passively accepts the chance or recommendation of repeat purchase through a device.

For example, a car in need of servicing and connected to the internet may look at APIs providing information on the cost and availability of dealerships and mechanics to provide the service. The car’s driver may make the final decision on which available options are best, but will agree to the best priced option unless given another reason to, such as brand loyalty. In this example, brand still holds some sway, as a device is curating choices instead of executing them.

In a device led purchase example, the consumer behaviour is more passive, such as a connected fridge using several online grocers to complete the weekly shop; mixing and matching orders to get the cheapest and fastest possible combination of grocery deliveries. The role of the consumer is only to preclude certain grocers due to previous experiences or brand preference, but both of these motivations need to be more powerful than the default behaviour of accepting what has been suggested or ordered.

So should we expect direct mail addressed to your microwave coming shortly? Probably not. Quite a few things need to occur before this can become a reality. Manufacturers need to continue to drive development of smart devices, refining the experience and enhancing the variety of connectivity available in the consumer’s life. Consumers must make the smart device market more defined through adoption, as well as allowing their data to be accessed to enhance the predictive experience. Finally, advertisers and brands must give consumers a reason to share their data and redefine the way it is used, moving from warehousing and the privacy concerns it entails to a more just-In-time system of continuous access across various organizations.

While the challenges required in creating a generation of smart devices to curate and decide your purchases is numerous, it may not be as far off as you think. Google Now and apps such as Tempo have shown the value of predictive functionality while the required technology and data is rapidly becoming available, awaiting adoption. So, while its not yet be time to hold a refrigerator focus group about the latest Yeo Valley 30 second ad, it might be soon enough.

Wednesday, 4 August 2010

Outdoor Advertising Takes Us One Step Further to Living in a Sci-fi Movie...

Movies always seem to utilize outdoor advertising in some bombastic ways whenever they need a 'dystopian' future-scape. From 'Blade Runner', 'Idiocracy' & 'Robocop' to 'AI', 'Back to the Future', 'Minority Report' & 'They Live', outdoor advertising plays a role in conveying an emphasis on the conspicuous consumption & promotional opportunities of the future. However, this week, 2 stories in the mainstream press seem to have emphasized how close we are to having at least the capability, if not the consumer comfort with, some of sci-fi's outdoor advertising channels.

Something tells me these might be kinda noticeable....(via source)
First, the city of Miami has fast tracked approval for two 'skyscraper' sized digital LED screens within the city. The digital ad platforms would come in at a total height of 50 stories, with the first 100 feet being supplied by a parking deck. While event type installations are nothing new within outdoor advertising, this seems, given the mock-up, to take attention grabbing dynamic content to a new level. While sights such as Picadilly Circus neon signs barely go above 5 stories, the 22 story advertising installations would bring us a step further to the ever present advertising in films like Blade Runner (now if we only had a zepplin...). So, film associations aside, will something this big work? The panels come in a line of large, historic outdoor installations, so they may follow other examples and become part of the skyline. However, they must strike a pretty hard balance between being bombastic & noticeable without being a horrible eyesore.Either way, the creative opportunities for advertisers seem pretty varied (someone planning a monster movie campaign is salivating already).



Secondly, in smaller scale, but customizable advertising, the Telegraph (and my Daily Links section) featured a story about the advancement of consumer customized, digital advertising panels (ala Minority Report, as shown above). Technology such as this has been in development for some time, with previous installations tracking approximations of age and gender from a web cam monitoring consumers. Currently however, IBM has spoken of taking the tech a step further, utilizing RF-ID to obtain user information for a more granular customization.

 Whether consumers accept something like this or see it as an invasion of privacy depends on the implementation of the technology over the next few years. Consumer attitudes are a long way from accepting a very tangible and public representation of what advertisers know about them and the technology to do more than approximate characteristics is far off from being widely accepted. If advertisers, technology providers and media owners can slowly progress the general consumer attitude to a more accepting view of data customization through RF-ID or another wireless solution, then something like this may have a chance of occurring. Alternatively, high costs, privacy concerns and lack of a standardized information system may limit this technology to webcam based approximation.

Thursday, 29 July 2010

Geo-location and Privacy: A Subtle Balance

This post is also featured on the recently launched "Typing On The Wall" Blog.....

Location Based Social Networking (LBSN) is prominent within the media zeitgeist at the moment, driven by the increasing growth of the category's current darling, Foursquare. As Foursquare recently added its 2,000,000th user and its 100,000,000th check-in, some can argue that the increasing growth rate (having added its 1,000,000th user only 3 months ago) and press coverage of the network are currently the most prominent stories.




Foursquare CNN World Cup Badge


CNN partnered with Foursquare during the World Cup to direct users to check-in at certain locations worldwide, unlocking badges and interacting with content



Given the company's growth rate and the utilization of the network by advertisers such as Domino's, the Huffington Post and CNN, this may be set to change. For media however, questions about Foursquare and other LBSNs go past the common questions of user growth and campaign concepts into "What insights can the network's data generate?"

Campaign metrics are key to creating attractiveness for advertisers, as greater data availability allows marketers to justify activity and modify comms efforts. Standing conversely against data availability however is user privacy.







User privacy concerns are inherent in social networking, but even more so when dealing with a user's location history. Sites such as PleaseRobMe.com popped up early on in the emergence of the current geo-location trend, highlighting a feed of users exposing their locations through auto posts onto Twitter. Concerns about user privacy have also been illustrated in recent studies, with a recent US/UK survey showing 55% of respondents worry about privacy relating to geo-location (Webroot).

Balancing privacy, key to growing the base of active users, and providing useful data & insights, key to growing advertiser investment, means that LBSNs must strike a careful balance as both network operators and data providers. Foursquare's solution to this issue has been two fold, providing basic data about venues & friends through the API (Application Programming Interface), while also providing business level analytics to venues claimed by the owners.

Given the open nature of the API, anyone can obtain a key and begin obtaining data and building applications, data is limited to what is available on the website. User specific data is limited to friends, while venues can provide the current amount of check-ins, who the mayor is and venue information. Data from the API is useful to monitor popular venues for a certain area or to create visualizations such as these, but it doesn't provide the specific level of data required to manage a large amount of CRM or loyalty plans.




Foursquare Analytics




Alternatively, the Foursquare analytics dashboard for a venue currently displays check-in data over time, different time periods and whether users clicked through to provided Facebook & Twitter links. In addition, it provides a stream of recent check-ins & top users, creating the ability to target individual users based on their behaviour for promotions. User check-ins not relevant to the specific venue are still protected.

Foursquare's approach to data visibility balances user privacy with metric creation in a way that provides venues an opportunity to customize promotions, while not risking user outrage by making data completely public to marketers. This strategy seems to be the way forward for LBSNs, as it encourages growth by unlocking the value of the network's data, without leveraging the privacy of the user base.

Thursday, 13 May 2010

KFC's Double Down & Stunt Product Marketing...


 
      Last month, KFC US launched the 'Double Down', a food offering, which if you haven't had the pleasure of seeing/trying yet, involves a sandwich with chicken breasts replacing the buns. Since the sandwich has gone largely unchanged since before the 4th Earl of Sandwich coined the term, the use of meat as bread managed to drum up quite a large amount of interest for the fast food chain.


       Company messaging stressed its filling qualities as a meal and as a culinary experience, though coverage of it in the press was more varied. The visual spectacle of the product led to an expected outrage from those within the health community (despite its nutritional content being less damaging than many other products currently offered within the sector), but it also served to generate a large amount of buzz and user generated content. Videos of people eating the Double Down (and their reactions) began uploading to Youtube and Twitter drove KFC to trending topic status around the time of launch. By marketing the product as an extreme experience, KFC managed to make consumers project expectations on a rather routinized (if slightly grotesque) food stuff. Before, one might experience an array of feelings at purchasing, consuming and then rationalizing a KFC meal bucket, now they feel as if they've conquered something, even if the act takes them one step closer to a competitive eating event.

      Of course, KFC's leveraged buzz and engagement comes at a possible cost, as with any extreme product entry, to the brand image. While fast food may always have to deal with charges about its health content, creating a deep fried zeitgeist and taking it as your own moves you to the front of the industry firing line for as long as your "buzz" lasts. For the Double Down to be a success, even during its limited run (till May 23rd), people have to respect its notoriety and infamy. Once the stunt is over though, how much of that infamy hangs onto the brand?

      Stunt product makers lacking brand equity or an established market position have the luxury of going all out without any real risk. KFC's healthier options introduced in previous years, and its association with the Pink Bucket Breast Cancer Awareness Campaign, don't allow the margin for infamy that other firms may have. Blair Sauce's "Ultra Death Sauce" & Brewdog's Tactical Nuclear Penguin (a 32% Beer) have only the stunt/experience value of their product to bank on, therefore infamy comes as an added bonus. If "Ultra Death Sauce" becomes equivalent to Tabasco in the consumer's mind or Tactical Nuclear Penguin is seen as boring, then the luster of the experience goes incredibly quickly. Therefore, while stunt firms can go for broke, buying into 'any publicity is good publicity' (barring the class action kind), established brands must walk a finer line. When image is at stake, the question doesn't become "how extreme can you go?", but "how extreme will the consumer let me be without thinking I can't be trusted?"



       Trust that a firm will deliver a value is at the core of all marketing. Delivering this expected value entails finding a balance between costs, benefits, image and messaging. Delivering the world's fastest car that can be safely driven daily and costs under £25,000 is virtually impossible. Car-makers offer mild stunt claims such as being 'best in class at comfort" or 'fastest 0-60' for its price range, creating a subset of extreme superlatives through messaging without actually attempting to build a cheaply made death trap attached to a jet engine. The Double Down utilizes the same technique through product design and messaging. The sight of the product, coupled with the press outrage and social media buzz means that a pretty unhealthy meal becomes the equivalent of a heart attack on a plate.


      Unlike a car manufacturer dealing with 'speed', KFC exists in an industry where positive superlatives aren't normally achievable. The 'healthiest' meal at Burger King isn't applauded but analyzed wearily by consumers for being the equivalent of taking a punch to the shoulder instead of the gut. Therefore aiming to achieve negative superlative glory within fast food can pose a much greater and lasting risk than other industries. Within this context, KFC's limited time stunt seems poised to do some lasting damage to its brand image. Though it can strongly be argued that KFC is already seen as unhealthy, lasting perceptions from the Double Down can make the brand seem to revel/wallow in cholesterol soaked glory, haloing over to their entire offering.

      With this in mind, how can KFC, its competitors and other risky sectors utilize stunt products effectively? One answer, I believe, seems to lie in comments about the Double Down itself. In multiple videos and tweets, consumers point out that you could easily make the Double Down yourself, without it being on the menu. If KFC had promoted consumers making the Double Down, through the dissemination of user generated content, they still receive most of the possible notoriety for the product development, without much of the blame for creating it. Consumers making extra large product servings, like this Giant Kit-Kat, promote the brand without drawing any of the fire that an obvious promotion would.

    Secondly, KFC could have placed the item on a secret or non-advertised menu. Most chains offer items that aren't on the menu, creating a feeling of being in the know as the information is passed between consumers. Coupling the ease of which the Double Down could be created from other items with the urban legend appeal it could have held would have generated a lasting 'cool' notoriety for a time to come, without much of the current backlash. In-n-Out's 100x100 burger is a great example of a chain offering something that borders on freakishly unfeasible and hugely stuntish, but without much infamy.  In both of these possible approaches, KFC could have minimized risk to its brand image and appeal, while fostering a growing notoriety and stunt factor.

 "Well, I did skip breakfast..."

      We won't know if KFC's choice of promotion for the Double Down was wise until it releases sales figures for the relevant quarter, but the buzz around the product seems to indicate that this isn't the last we've heard of stunt product development in fast food or other sectors.

What do you think? Leave a comment about your thoughts on the Double Down or other stunt products you might have tried.

Friday, 11 December 2009

Social Networks, Geolocation, Recommendations and Double Jeopardy....

      Warren Buffet was attributed to once saying "Your premium brand had better be delivering something special, or it’s not going to get the business”, but is this necessarily true? While logic would dictate that those brands which charge more must deliver a greater value in return, theories such as Ehrenberg's "Double Jeopardy" highlight the power larger brands have in the market place."Double Jeopardy" as described by William Mcphee and more famously, Andrew Ehrenberg, describes the concept that lower market share brands face a double challenge in competing with larger brands as they lack market share and brand loyalty from consumers. In such situations, the advantage large brands have from such jeopardy may encourage consumers to repeat purchasing behavior on factors beyond the value delivered by a specific purchase.

     To combat the advantage large market share brands have in the market place, smaller brands much differentiate. However, as large brands hold the advantage of possessing the promise of a standardized consumer experience, smaller brands must assure the consumer of quality, while still differentiating in tangible ways from larger competitors. Certain sectors allow for this more so than others, with clothing and food retailers serving as an example where double jeopardy and large brand advantage is chipped away by factors such as convenience, location, product differentiation and varied cost. In an example of such, Pizza Hut may provide a standardized dining experience over the Italian bistro down the corner, but consumer taste may eschew what is seen as pedestrian fare for a more personalized experience.

      Using the food retailing example further, it becomes clear how smaller market share (i.e. non-chain) restaurants face the dual challenge of differentiating in image while still assuring the consumer of quality vs. larger chain restaurants. Segments of consumers may always ignore larger brands out of principle (I for one irrationally loathe Arby's), but attracting the majority of consumers hinges on convincing them of not only an interesting and different product, but also of a level of performance and quality. The development of social media use within the last decade provides a unique opportunity for such retailers. Large brands have the challenge of convincing users to trust them in a way small brands don't. The "corporate stigma" of such means that smaller brands have the opportunity to gain consumer trust quicker. While these brands still have to convince consumers of their standard of quality, they have the ability to confer an earnestness to their image that goes well with the communication model found in social media.


The ability of recommendation sites to get the word out about smaller retailers works both ways....


        Sites such as Qype and Yelp operate as a network of consumer reviews and recommendations with an established and growing database of users and locations. Having been established since 2004-2005, these sites have become a hub of user generated information for consumers, providing third party recommendations on the standards of quality provided by smaller/medium brands. Where smaller restaurants lacked the ability to widely spread their message of differentiation and quality, these recommendation sites have taken on the job for them. These recommendations chip away at an already weakened double jeopardy concept (due to the sector's composition and nature), allowing small food retailers to speak with a verifiable quality larger than their size.
    
        With the benefits of sites like Qype, the next issues for smaller brands and reputation in social media becomes the level to which user recommendations are trusted by others. A recommendation from a trusted source or with demonstrable elements can hold more impact than a glut of others. With the advent of microblogging sites, reviews have become much more instant, allowing users to confer a level of immediacy to their thoughts on smaller brands and retailers. While sites like Twitter may trim the amount of detail that can be given about a business or consumer experience, it does allow for opinions to be disseminated while still in the retail experience. Furthering this, geolocated services such as Gowalla, Foursquare, Rummble, Loopt, Dopplr, etc. add perhaps the highest level of authenticity to consumer reviews, confirmation that the reviewer is currently there or was in the past. By demonstrating consumer action, these services extend the depth of consumer reviews, as well as opening new avenues for promotion through their network.




Just a few of the many networks that are driving the ability of small brands to establish big loyalty


      The opportunities afforded by social media channels may challenge the traditional idea of brand loyalty and scale, but they can be co opted in both offensive (small to medium brands) and defensive (large brands) ways. For small to medium companies attempting to use social media advocacy to build their brand, its important to remember a few concepts:
          1.) Make sure the product delivers on its claims....no amount of advocacy will help (or actually be present) if the consumer experience is negative
          2.) Be honest about how your product fits into the consumer's mind.....performance and reputation building will function differently for different products. People are more apt to recommend certain product types overothers.
          3.) If the product fit is right, take advantage of the enthusiasm of networks and network users to grow their community....Just monitoring what people are saying is fine, but to actually chip away at large market share brand dominance, offensive measures promoting consumer involvement are useful. Programs such as Foursquare's "Foursquare for Businesses" initiative are useful to go beyond user recommendations to user interaction.

Larger companies face a more defensive structure when dealing with social networks and their brand loyalty. Without the organizational agility of smaller to medium sized brands, loyalty has to be protected through more thoughtful measures:
           1.)  Make sure the product and the surrounding associated products....no amount of advocacy will help (or actually be present) if the consumer experience is negative or if brand perception is firmly entrenched. Larger brands with multiple locations are at more of a disadvantage when it comes to standardizing the consumer experience.
           2.) Use the scale of the brand to respond robustly to consumer comments. Unlike smaller brands, large brands aren't as likely to be able to build up earnest consumer recommendations as quickly without overcoming perceptions about corporations and size. The increased resources of big brands means that one can go beyond reacting to consumer reviews and opinions and actually respond, rectify and encourage advocacy.
            3.) Don't simply match what smaller brands are doing to increase advocacy, surpass it. If the resources are present to dwarf smaller brands interaction with the consumer, do it. Consider social network partnerships (as long as it fits the brand identity) or cross network promotions. The more users that can be gathered through the brand's scale effectively, the better.

        While the points made about double jeopardy and social media don't easily extend to all market categories, the original concept stays the same. Consumers may be more apt to review bars, pubs, restaurants and other retailers more than cereal brands, but that doesn't mean that something like smaller FMCG breakfast products can't leverage some consumer sentiment to affect distribution and retailer adoption. Within the above example, double jeopardy and brand loyalty is affected by inherent factors within the restaurant market, however the idea is clear that the way brands maintain and generate loyalty and adoption is changing rapidly due to the ongoing advancements in social media.

Tuesday, 8 December 2009

When does edgy become creepy: The Shiny Suds Ad....

     Advertising, some would say, is all about pushing the barriers to cut through today's fog of marketing noise. Be it through content, platform or delivery innovations, the need for advertisements to generate awareness and staying power in an increasingly habituated consumer's mind is a driving force behind a lot of the creativity we see today. The drive to innovate within content can lead to a multitude of impressive advertisements showing off visual innovations, musical collaborations or a host of other ideas to garner attention. In the drive to advance content, one generally easy way is to challenge the viewer's sensibilities with edgy or 'cusp of the social norm envelope' writing and creative. Viewers are more likely to remember something that shocks them, so a reasonable expectation is that creating something which can do so, easily solves the problem of viewer habituation.




London's Cabwise "Know what you're getting into"campaign against the use of unlicensed mini-cabs is very jarring, but uses such to bring about social change


      However, through pushing edgy content, one has to be mindful of the border between shocking and revolting. Viewers that are shocked, but still in their comfort zone, can be drawn in by a captivating, possibly humorous and novel advertising message. However, those pulled outside of what they are ready to culturally ingest may remember your message in a less than positive way. Perhaps most of all, edgy advertising has to consider not only what overall society finds offensive and acceptable, but also what the target market's sub group will allow. In some ways, an advertisement that causes some general outrage and discussion can be a useful tool to raise awareness, as long as the target market isn't too alienated to interact with the brand.

     With that in mind, the current controversy around Method's 'Shiny Suds' ad seems to typify striking a balance between memorable and slightly creepy. Method, the household cleaner maker, has decided to pull an ad which drew the ire of various rights groups due to what was claimed to be a depiction of rape type elements. The ad, which I don't believe goes as far as some of the claims thrown against it, does personally give off a slightly creepy feel, something I don't believe is the intended outcome.



"Shiny Suds" - Not really NSFW, but you might get some odd looks...

     As shown above, the advertisement centers around Method's focus on left behind chemicals, something their organic line can use as a decided advantage against other products, visualized as a group of anthropomorphic bubbles. While at first capturing less than full attention simulating an actual 'Shiny Suds' cleaner ad, the real messaging begins once the pseudo ad is over. As the housewife from the faux advert enters her bathroom the next morning, the bubbles are still present, firmly refusing to leave and finally watching her shower, cheering on the presence of a Luffa.

     The brief description of the second part of the advertisement doesn't seem horribly offensive to most on paper (definitely not warranting comments about rape elements), however, in its actual execution, one does feel a slight sense of revulsion. The slightly lurid, all male voicing of the bubbles does seem to convey some ominous foreshadowing, in a lugubrious tone that might be better fit for a dingy bar than the bathtub. Do I think Method set out to create such an advertising experience? Probably not. But I do think the initial goal of making chemical residue revolting, combined with the voice-over elements and the extension of certain scenes combined to make what could have been a possibly funny & cheeky execution into something rather awkward in parts.

     Am I offended by the overall advertisement? Not really. But importantly, I'm not the target market. I'm a 27 year old guy who purchases cleaners sporadically at best. I've never considered what chemicals are in my shower, nor would I care if they stuck around (as long as they keep cleaning and didn't start talking). For what I assume is a majority female target market, I don't see why someone didn't consider how the creative would be taken.I believe at some level, Method was attempting to make a memorable viral, something that would drive conversation about the brand while being passed around for the frat boyish humor of the bubbles. However, as we talked about earlier, the goal of pushing the envelope is to challenge the intended viewer's sensibilities, not alienate them. Even if a majority of the target market found the ad funny, the awkwardness of some of its presentation limits any viral potential or long term messaging it has. People pass on messages to others because they want to be attributionally part of the idea, something this may have a hard time starting due to worries about other's reactions to it.

     While what seems to be the intended message for the ad, "Buy Organic Cleaner or Be the Pleasure Object of Compound Chemicals" is a tough execution from the beginning, they really did seem to miss the mark. I don't condemn Method for making the ad and I certainly don't accuse them of intentionally making anything horribly misogynistic, but I do think they've clearly illustrated the need to understand the line between palatable edgy and otherwise.

Thursday, 26 November 2009

Can brands pull? Consumers, Brands, Relationships & Love

"Love is an irresistible desire to be irresistibly desired." Robert Frost 

  "I love Mickey Mouse more than any woman I've ever known." Walt Disney 
Introduction 
     Whenever anyone mentions brand interaction with consumers, the term "relationship" seems to inevitably be used to describe the interaction between a firm a possible/current customers. Within such conversations, its usually stated that brands want consumers to engage in a relationship that involves "loving" (or at least consumer affinity) for the product or brand. If consumer affection is truly what brands seek, then some interesting similarities may exist between consumer-brand relationship dynamics and interpersonal (i.e. consumer to consumer) relationships. However, is what a brand obtains truly affection in any manner similar to personal relationships?

Why and how do people form relationships? or a quick overview of all of human behaviour....
        In comparing relationships across individuals (as both people and consumers) and brands, one first has to ascertain what the nature of both relationships are. The possible goals of forming personal relationships takes on a scale too large to fully discuss here. However, generally, one could say that people form three general categories of relationships with others: romantic, friendship/acquaintanceship and formal/functional.

       Romantic relationships at their most basic level aim to facilitate love (something we'll attempt to quantify loosely below) in its various manifestations, along with alleviating what could be argued are biological/evolutionary instinctual needs and sociological pressures (That's a seriously large concept to quantify). Friendship in its exclusively platonic form can be basically quantified as alleviating pressures for companionship and societal acceptance/esteem, as well as fulfilling instinctual drives for social behavior. Finally, functional relationships are generally formed based on a shared goal, position or objective and at their base fill the need to achieve the goal at hand.

       Along these rather basic and somewhat transitory categories, goals overlap and relationships may migrate. Exclusive friendship may transfer into a romantic relationship (or vice versa) and functional relationships based initially on a task or common goal may take on or migrate to additional categories. Proximity (literal or increasingly virtual) is said to play a large role in relationship building and it can be reasoned that it functions as an integral part of how relationships are formed in varying degrees by category.

         Along this rough framework, we can see how George Levinger's (1983)  theory of interpersonal relationship development may illustrate the transitory nature of relationships. Levinger theorized (initially for heterosexual adult relationships, but with later application to other groupings) that relationships had 5 steps:


Click for Larger Version..


      Through basic analysis of the model, we can see how interpersonal human relationships develop and relate to the roughly created categories.

How do interpersonal relationships differ from the basic consumer relationship model?


     While interpersonal relationships can quickly change their intended goal throughout development, consumer relationships are much more rooted in a fixed point. At the heart of all consumer/business interaction is the delivery of value. From a consumer's perspective, this makes the goal of the relationship alleviating a need or drive, while from the brand perspective this involves delivering the desired product or solution and completing the transaction. The general consumer buyer decision process states that 5 stages occur before, during and after the a consumer decision/purchase:


Click for Larger Version....

         Within the model of consumer purchase and interaction, value is what drives a repeat purchase. The brand must deliver on expected value to minimize post purchase dissonance and ensure that the consumer continues to keep the brand in a strong position within its consideration set.The failure of a brand to deliver on its value proposition may represent a possible "Termination" of an ongoing brand/consumer relationship, if the failure is strong enough. In this sense, the consumer decision model represents one interaction in what will hopefully be a string of interactions, while Levinger's model represents the development of an overall interpersonal relationship.

Is value an underlying force in all relationships?

   While both models seem to describe different aspects of varying relationships, there exists similarities between the two. Both the consumer/brand relationship and interpersonal relationship models rely on value as a driving force.While value may manifest in different ways between the two relationships, the overall implication is the same. Just as a consumer will prefer products that meet with expectations of performance and value, an individual will continue to develop relationships with other individuals that meet an individual's expectations of interaction. Logically then, it can be assumed that as value underlies both models, a combination of the two, with the consumer model describing micro interaction and Levinger's describing the macro or overall relationship development can be applied to both categories of relationships, as shown below.


Click for Larger Version....

If relationships develop similarly, does it mean a brand or product can progress down the model to love?

     While both categories of relationships can utilize a combined model, differences between the two mean that the rate of progression through the model and the final destination within it depend upon a variety of factors. Within the three stated categories of relationships, brands and individuals are most similar within the functional category, due to the limited distance traveled within the model to achieve such a relationship and the lack of complex emotional ties involved. Within friendship and romantic relationships however, a complex interaction of external factors and internal preferences and emotions drives the development of the relationship.

        Therefore, to understand the interplay between brands and love, we need to first look at how love can actually be defined. To define love fully is something that hasn't been accomplished in the course of human history and I highly doubt I'll be the first to do it. Love can be defined along scientific, religious, anthropological or psychological lines and even within the field of psychology, amongst multiple perspectives. For our purposes, love is defined amongst Sternberg's triangular model.


     Sternberg's model divides types of love amongst three main aspects (Intimacy, Passion and Commitment). The combination or absence of these key factors allows for the distinction of 8 different types of love, ranging from "Non Love" (the absence of all love) to "Consummate Love" (a perfect type of love involving all aspects of the overall concept).

     Though brands and individuals may share similarities in the combined model for development, their performance in evoking various components of love is different. This doesn't mean that brand's can't evoke some of the emotions involved in love, it just means that the limited performance in some categories effects what types of love a brand can possibly create.



The green area represents an approximation of a brand's possible positions within Sternberg's love model, based on the ability to evoke primary components from the consumer. It is admittedly,a very rough estimation. 


     Analyzing the three primary components, it becomes evident that brands can most primarily evoke "commitment" from an individual. By delivering value on a consistent basis, a necessary part of facilitating relationship development, a brand naturally develops commitment over time. "Intimacy", as Sternberg defined it, entails feelings of connectedness and bonding. While a brand or product can't achieve such feelings with a person the way another individual can, through marketing communications tools, a bond can be established between a brand image (and its stated values) and a consumer. "Passion" as Sternberg utilized it, entailed physical and sexual attraction and romance.While traditional elements of "passion" are possible for a brand to achieve, such as in the relationship between a luxury car and a auto enthusiast, the brand's inherent limitations keep it from achieving deeper levels of such.

      By generalizing a brand's performance in evoking the three core components of Sternberg's love, it becomes evident that out of the 7 types of love possible in interpersonal relationships, the consumer-brand relationship is assumed to achieve 4 of them (as shown above). The ability to create any of the 4 possible types of love with the consumer depends on a variety of factors, such as product, price and buying context.

Does a sports car evoke the same type of possible consumer love as a can of beans?
        If we follow the heavily generalized model created above, then it stands to reason that different categories of products can achieve different types of consumer relationships based on their inherent properties. A sports car may evoke passion in the consumer in a way that a can of beans wouldn't (barring the power of the bean lover's lobby)

A grid showing examples of the different categories of Consumer Involvement Theory (Laurent & Kapferer, 1985)

         In analyzing different products, Consumer Involvement Theory (CIT) can provide some distinctions between product classifications that will be useful in detailing the different types of love possible. CIT divides products across two axis, High/Low involvement (the amount of importance or effort allocated to a product) and Rational/Emotional decision basis (the context in which the product was evaluated). As shown in the above example, the matrix generated by CIT allows for products to be classified on a range varying from high end luxury items to routine FMCG purchases.


Approximating the location of examples of the 4 CIT categories on the Sternberg triangle shows how different products may interact with the consumer in affinity based relationships.

        Subsequently, approximating the position of CIT category examples on the branded section of the Sternberg triangle illustrates how different product categories form differing types affinities with the consumer.  

Low involvement/emotional purchases such as a music cd or other quick impulse purchases are rooted firmly in a passionate type of affinity. Forming such a relationship with the consumer may prove difficult for such products however, as the proximity and trust needed to work through the consumer relationship model to continuation aren't normally found in quick decision purchases. This lack of commitment is also found after affinity is formed, due to the fleeting nature of low involvement emotional purchase enjoyment.
Type of affinity evoked: Infatuation

Low involvement/rational purchases such as routine FMCG goods like a preferred breakfast cereal or cola hold a commitment of affinity with the consumer due to their extended relationship. The products in this category have delivered value to continue the relationship, but have failed to evoke passion from the consumer.
Type of affinity evoked: Empty Love

High involvement/ rational purchases such as Financial services are rooted in a high commitment, low passion type affinity with the consumer. The high involvement factor of products such as life insurance, mean that a commitment can be fostered through the consumer relationship, but that emotional elements are largely avoided within the product interaction. Products such as this also possess the possibility of forming a partnership type relationship with the consumer, increasing "intimacy" and allowing for the brand to take on a collaborative role.
Type of affinity evoked: Companionate Love

High involvement/emotional purchases such as a luxury sports car are primarily rooted in the passionate/emotional nature of the purchase. Interestingly though, this product category, much like High involvement/rational purchases, can build commitment or intimacy with the consumer though shared experiences and routinized use.
Type of affinity evoked: Infatuation or Fatuous Love

     Of course, these example classifications aren't static in their positioning within the Sternberg model. Approximate locations can move based on specific consumer perceptions, effectiveness of marketing communications and the overall performance of the product.

How can Marketing Communications tools shape the development of the consumer relationship?
 
       Since product positions within the Sternberg model of love aren't entirely static, the role of marketing communications tools extends beyond the basic consumer relationship model and has implications within shaping affinity types as well.

        Within the consumer decision model, marketing communications helps to shape favorable consumer perceptions of the product's value and ensure repeat purchase. During problem recognition, mar-comms helps to encourage consumers that a need is present and that such a desire is valid. Tools such as Advertising, DM & PR are useful during the information search & evaluation of alternatives through informing consumers of product features & promotions. Further, Sales promotions and DM can be utilized through the evaluation of alternatives and purchase to increase the value perception of a product. Finally, marketing communications efforts in the post purchase stage are utilized to reduce cognitive dissonance and convince the consumer the correct purchase was made (and should be repeated).

       Beyond this basic consumer journey however, marketing communications plays a role in the evolution of the consumer relationship. While its primary capacity is to aid in the consumer value perception, which continues the relationship, it also helps in aiding proximity. As was demonstrated earlier in the Levinger model, proximity plays a large role in the development of interpersonal relationships. Within the modified consumer model, product awareness plays the largest role in a consumer's search for information and evaluation of alternatives, which allows the brand to stay within a consumer's consideration set. In addition to this however, maintenance of product awareness between purchasing cycles may function in the same capacity as proximity for interpersonal relationships, helping to further along the development cycle of the relationship.

     Within Sternberg's model, marketing communications tools help products and brands to achieve capacity greater than that allowed by the product's characteristics. Once a brand has managed to reach a continuation within the consumer relationship, the product's general classification and characteristics should dictate what type of affinity develops. Marketing communication efforts can help to extend the position of the brand in the consumer relationship by increasing commitment from something initially classified as an impulse purchase or attempt to give passion to a routine FMCG relationship.

      For example, through mascot based advertising a breakfast food brand aims to add depth to a routine purchase decision by putting a personalized face on the brand interaction. Alternatively, a luxury car company may offer after purchase extras (i.e. free maintenance) to minimize dissonance about the purchase and create commitment in the relationship.



Not all mascots humanize the brand as much as others...but there's no denying Domo-kun's magnetic personality - Who wouldn't want to be on this guy's good side...


 Conclusions

        In response to the initial question of this thought piece, it seems that brands can evoke "love" from a consumer. However, as shown above, the types of love a brand can generate in the generalized consumer relationship are incomplete in comparison to love in an interpersonal relationship. Such a conclusion seems to be common sense, as brands will eternally be handicapped by their avenues of communication and personal assets. A milk brand may, with time, develop to be a comforting breakfast time partner, but it won't develop into any other dimensions, either emotionally or in different aspects of the consumer's life.

        When looking at the similarities between brand and interpersonal relationships, it becomes evident that personal perception, continued communication and the delivery of value are key in any type of relationship. Just as avenues of communication, personal attraction and emotional value are key in developing a relationship with another person, proper marketing communications, a favorable brand image and key value delivery are necessary to foster a proper brand relationship. By analyzing the type of relationship a brand hopes to form with a consumer (i.e. functional vs. more complex) and rationalizing what emotional and involvement the product is capable of, marketers can hope to coordinate a strategy that forms the optimum type of affinity based relationship with the consumer.

        Paying for love jokes aside, it becomes evident that in any type of relationship, continued interest, perception of a partner's emotional/intellectual position and effort are necessary for development.....so go message Aleksandr Orlov on Twitter before he gets all upset again.


Suggested Reading:
Sternberg, Robert J. (1988). The Triangle of Love: Intimacy, Passion, Commitment
Curtis P. Haugtvedt, Paul Herr, Frank R. Kardes (2008). Handbook of Consumer Psychology
Dwyer, Diana (2000). Interpersonal Relationships

Friday, 16 October 2009

Mindshare Twitter Research

    I've been waiting to put this up for a while as we've been conducting some network and user analysis for the course of this year. As you can probably tell from the previous (4 part epic tome) on brand analysis on Twitter, I and 3 other great people at Mindshare (@acotterill,@JezP76 & @picolim) conducted qualitative research on Twitter  users and quantitative research (through a bespoke analytics engine I'm still very proud of) on Twitter user behavior and WOM pass-on rates. Our analysis yielded some interesting facts on how users utilize Twitter, through what platform they do and how messages travel through networks.

     I plan on writing a bit more about the research and its implications later on; but for now, check out below and let me know what you think.

Tuesday, 22 September 2009

Tweet it your way? Twitter's Capacity for Consumer Sentiment Measurement - Part IV

Research Conclusions
   In the previous two parts of our Twitter Consumer Sentiment analysis series (II & III), we aggregated and analyzed data relating to mentions of Burger King on the social network/microblogging site. When we consider these parts as a whole, insights are produced in one of three areas.

     Overall Twitter Performance:
           Without comparing Burger King with other companies within the sector (which would generate our share of activity for the UK), the company's Twitter activity is shown to be less than purely reactive to media or campaign events. As can be assumed with others within the sector, while some consumer opinions and experiences are stated, most messages are posted mentioning BK as a destination or location. Exceptions to this trend include certain rumors or news items which reasonate with the younger target demographic of the firm. Assuming the rest of the sector performs in the same manner on Twitter, opportunities for general performance increases exist through simple Twitter based campaigns. An audience sporadically tweets about the company and therefore the opportunity does stand to transition these sporadic 'experiential' conversations into a longer, more robust one through promotions ranging from simple (hashtag based contests or promotions) to complex (multi-step campaigns tied into a brand page).

      Geographic and Chronological Performance
            Analyzing mentions of the firm by geographic UK region yielded similar results to the overall distribution for network usage. London reigns large in most geographic analysis of the UK and requires a much more granular analysis to get insights for comparably smaller areas. For Twitter based communications and promotions, this signals that the current trend of London based campaigns should continue specifically for the firm. The prominence of the catchment area in our results (users mentioning the brand outside of a specific radius of a metro. area) could signal the possibility of future possibilities outside of London, but a large amount of activity can be described as commuters or non-specific location coding.
              Chronologically, our hourly data and user analysis of dining mentions (i.e. Breakfast/Lunch/Dinner) showed that lunchtime activity was highest for the brand, both in content and volume. This, by itself, doesn't indicate much, but it might begin to hint at the brand's image as a lunchtime destination for network users.

        User Behaviors
             User and platform data yielded perhaps the most concrete insights of our analysis. Platform data highlighted the fragmented usage context for Twitter, something that is matched by overall network data. Burger King was shown to be mentioned on the go, at a desktop and everywhere inbetween. Data also demonstrated that users weren't likely to mention the brand frequently, another consequence of brand mentions being a product of experiential tweeting. User mention frequency was demonstrated to have little or no effect on when or what a user tweeted about when talking about Burger King, but an overall patten of traction was found for product launches or advertising campaigns.

Implications
        As we can see from the example analysis, a majority of the insights gathered from Twitter search are more topline than detailed. For getting a quick feel for the performance or promenance of a brand on Twitter, such an analysis may prove rather useful, however, further analysis or supporting data is required to produce detailed observations. Network analysis of user segments or a brand page could serve to deepen the insights produced from Twitter.

      Perhaps the most important thing missing from the current analysis is the examination of consumer opinions for sentiment. While we manually did this in our user analysis section, available online automated solutions for such are still in the rudementary phases. By scanning for key words or terms, various websites and programs attempt to classify messages as "Happy/Sad", "Good/Bad". While there is an inherent value in knowing the amounts of good vs. bad messages about a brand, the intricacies of why these messages were classified as such, as well as errors that can stem from semantic differences in wording, are still necessary considerations when thinking about automated analysis. Overall, without utilizing automated sentiment analysis (or doing a lengthy manual analysis), data should be examined from the top down, establishing points of interest or behaviors that warrant more attention. These can serve as starting points to segment users for analysis, cutting the work load involved.

        On the whole, the usefulness of utilizing Twitter search to measure customer sentiment is highly dependent on the company, the sector and the product. Search analysis shouldn't be viewed as the end point of generating consumer insight, but the beginning of seeing where your brand sits within user's minds and the network. From a completed analysis, a company can consider promotions, brand page(s) or adjusting online activities to raise prominence or conversation levels.

Monday, 21 September 2009

Tweet it your way? Twitter's Capacity for Consumer Sentiment Measurement - Part III

     Carrying on from our general analysis of Burger King's UK twitter messaging in Part II, we can move on to specifically examining detailed user data and behavior. General messaging volumes indicated that certain events spiked Twitter activity, but this effect was enhanced by events that resonated with the target market for the brand. In order to fully understand this interaction, we can examine general geographic and behavioral patterns before moving onto specific user behaviors.

     Moving from our general analysis measures, Twitter activity data can be cut by geographic or chronological layers. Analyzing Twitter data by time (as shown below), creates a pattern of usage similar to other social networks or general internet usage. Usage data does diverge from existing patterns around 11am to 1 pm, as usage peaks that would generally increase, peak earlier in the day than with overall UK internet usage. Analyzing messages between 11 and 1, there is a distinct trend of experiential messages involving going to Burger King for lunch or returning from Burger King after lunch.


      Geographically, mention data is limited by the methodology of the search. Geographic searches can be conducted two differing ways: manually through the interface (which allows for searching by mentioning of towns or other locations) or through the API (which limits searching to by geocode and radius). Being that our data was taken by geocode, each area analyzed within the UK was gathered by determining the coordinates for the center of a metropolitan area and then the radius of that body. In order to determine the entirety of the UK, a catchment area was set up encompassing the entire UK, with duplicate messages stripped out later on between all the areas.

     Analyzing the data for Burger King by geography (shown below) we see that the data mirrors the overall distribution of UK Twitter activity pretty closely. London, named the metropolitan hotbed of Twitter activity worldwide, dominates other specific geographic areas. The catchment area proves to be the largest area of activity, due to ambiguous location entries or commuter users being counted in this category. Geographic data doesn't yield as many useful insights in this example as it might in more geographically sensitive examples such as monitoring of political bodies within voter districts or global monitoring of a term by country.


     Analyzing data by platform can help to generate insight on variety of usage (i.e. mobile vs. static), preferred client (i.e. Tweetdeck vs. Twitterrific) or context for messaging (i.e. about something going on simultaneously or later). Previous research has shown that, as a whole, more than half of UK twitter messages are sent from either mobile or hybrid third party clients (meaning less than half of Twitter messages are posted through Twitter.com). Twitter users mentioning Burger King mirror increase on the trend of non-Twitter.com based Twitter usage, as only 32% of mentions came from the "web" platform (which represents site usage). The following four platforms (2 mobile platforms and 2 hybrid (desktop/mobile) options) account for more usage than Twitter.com. The overall fragmentation of usage (170 different platforms register at least one Burger King mention) means that users are talking about the brand through a variety of avenues, both on the go (leading to the possibility of in-store tweeting) and at home. Furthermore, future marketing on Twitter for Burger King, including possible sponsorships, should take into account not only Twitter itself, but this variety of 3rd party clients and platforms.


     Analyzing rate of user mentions, we find that 12.3% mentioned Burger King more than once. The distribution (shown below) indicates that while the overwhelming majority mentions Burger King once (showing that most users don't mention every time they interact with the brand), there are users who have exhibited an ongoing conversation. While all brands want to extend consumer awareness, its essential to mention that some brands won't be successful in generating positive commentary from consumer on Twitter, regardless of their efforts. While people may sporadically mention their detergent on Twitter in passing, spawning widespread and frequent mentions of such may prove nearly impossible, due to the nature of the product. 

      In order to discern what actually drove such high mentions for the brand from certain users, we can specifically analyze the tweet's contents and properties from those users. Comparing users who tweeted more than once and the overall tweet distribution shows that no obvious difference between frequently mentioning users and the overall user base exists.


    While the time series hasn't explained why some users have mentioned the brand more than others, specific analysis of tweet content sheds more light on the situation. First, examining the users who mentioned the brand more than 6 times, showed that the group comprises of both normal users (either conversing about Burger King or joking about it frequently) and functional/brand pages (mentioning specials about surrounding businesses or hosting quizzes for users that may mention the brand). One example of functional users mentioning BK is @Manairport (The Manchester Airport), which tweeted about "2-4-1 Burger King Angus Burgers with a VAT booklet" at the airport. Looking at the high frequency normal users, we can search for product mentions (Chicken Royale comes up a few times) or discern opinions (One user stated that in Worchester, he would travel to Burger King for the burger and then go to McDonald's for the fries - something I might try).

     As we move down the frequency distribution to 2-5 mentions, our analyzed sample size grows greatly and shows an increasing trend towards experiential tweets (43% are estimated to contain terms relating to going to, being at or leaving a Burger King). Analyzing the tweets by word frequency, it becomes evident that mildly moderate mentioning users infrequently compare Burger King with McDonald's (only 7% of this segments messages mention the competitor and 4% mention KFC), preferring instead to mention products (an estimated 46% mention the product either indirectly ("food") or directly ("Whopper")). Scanning the messages manually shows that users have commented on campaigns and products such as the "Angry Whopper" favorably.
 
      When we compare the tweet content from our moderate mentions segment with that of the overall sample,  37% of messages are estimated to contain an experiential term, down from our moderate sample. Product mentions also maintain a low frequency, as overall McDonald's is mentioned in 5.4% of messages and KFC in 4%. Messages mentioning "breakfast" (1.76% overall), "lunch" (4.2%) or "dinner" (1.55%) showed a progression in frequency similar to the hourly activity distribution, peaking midday.

     From this point  in an actual analysis, it would be possible to drill down the data to individual users based on terms used and then continue through their network identifying individual behaviors or opinions. Furthermore, user segment data could be contrasted against activities, such as we did above, to indicate how users with certain predispositions viewed campaign activity or stories. These activities can lead to possible outreach of individual users for advocacy or more detailed information, as well as identifying possible "influence leaders" for further analysis or activities.

     Tomorrow, we'll finish the consumer sentiment series by drawing some conclusions from our aggregated data and insights, as well as identify strong points and short comings of the process as it currently exists and in the future.