Tuesday, September 30, 2008

Disrupt the Status Quo in Product Offerings

A friend recently sent me a link to Demo.com -- it's a self-titled launch pad for emerging technology. I was intrigued at what one of the conference producers said...

...said Chris Shipley, product analyst and executive producer of the DEMO conferences. "Ours is a year-long process that culminates in 72 hours of products that are more than disruptive; they change the rules of the game as we know it. They are innovative, they are important, they are fun, and they represent the future products and solutions we all will be using soon.”


What struck me here is the willy nilly application of the idea of disruptive. Most people think that disruptive products are those that go agianst the grain, or that offer a modified alternative to the leading product within a category. That's where I think this whole idea of being disruptive goes horribly wrong, and companies waste money and energy on nothing more than variations on a theme (e.g. vanilla ice cream with nuts, vanilla ice cream with caramel ribbons, etc.). No matter what, you're still producing plain, mediocre, vanilla.

Disruptive means that you fundamentally change the nature of the market and the way the consumer interacts with it. The Apple iPod, the Nintendo 64 and Wii, and even in films with The Matrix and Lord of the Rings trilogies; these products changed the industry and consumer interaction within them forever.

I am going to do some research on this and see if I can come up with a list of what makes something disruptive. There is a ton of books on the subject -- I'll do a quick review and see if anyone has anything "disruptive" to suggest.

-- David Kinard, PCM

Wednesday, September 24, 2008

Jack Trout on Marketing News Radio

There are few in marketing who can legitimately claim guru status – people who early on shaped the way marketing has been practiced for decades. Today on Marketing News Radio* I spoke with one of those people -- Jack Trout. One of his earlier works almost 30 years ago defined how companies approached market leadership, and his soon-to-be-published book will hope to correct some of the mistakes that he feels we’ve been making.

That seminal book I was talking about is Positioning: The Battle for Your Mind. Well, Jack has written a new book called In Search of the Obvious and he’s taking marketers and companies to task for creating a complex mess out of something that should be, well, obvious.

Trout earned his reputation with practicing his own preaching -- focus on one thing and be known for it. Well, no one can argue his credentials in helping companies find their singular identity. And from that experience he is decrying the state of marketing today and pointing a finger at marketers who have gotten lazy in the face of stiff competition, and at Wall Street for focusing on generating profits rather than building brands and customers.

Based on research spanning 70 categories, Trout has noticed at least a 10% increase in commoditization turning products into placeholders, and brands into price points. In today's show he offers a straightforward four-step process for marketers to use to battle the trend toward commoditization, and highlights the five-ingredient formula for being obvious to the consumer.

Though Trout can't be credited with keeping up-to-date on the latest technology and new media, he does admonish marketers who put the medium before the message. If the singular idea and story is the nail, the medium is the hammer. It doesn't matter if that hammer is social networking or direct mail -- you're only measuring its ability to drive home the message.

A great show today with one of the founding fathers of marketing. Make sure to listen for his predictions of what it will take to survive the future.


* Some of you may not be aware but I have the privilege of hosting the American Marketing Association's weekly radio program, Marketing News Radio. For the past four years I've interviewed some amazing (and sadly, some not-so-amazing) people. Check out the archives of the show, or set up a podcast and RSS feed.

Sunday, September 21, 2008

Jack Trout on Marketing's Mess

There are few in marketing who can legitimately claim guru status – people who early on shaped the way most of how marketing has practiced for decades. Well, I have the privilege of interviewing one of them in my AMA radio show on Wednesday, Sept 24 -- Jack Trout. One of his earlier works, almost 30 years ago, defined how companies approached market leadership. Soon his next book will hope to correct some of the mistakes that he feels we’ve been making since then.

That seminal book I refer to above is Positioning: The Battle for Your Mind. Well, Jack has written a new book called In Search of the Obvious: The Antidote for Today's Marketing Mess and he’s taking marketers and companies to task for creating a complex mess out of something that should be, well, obvious.

Be sure to listen to the show live and even call in with your own question. If you're one of the first five callers, you can get a free copy of his book.

Check out the Marketing News Radio program at: There are few in marketing who can legitimately claim guru status – people who early on shaped the way most of how marketing has practiced for decades. With me today is one of those people. One of his earlier works almost 30 years ago defined how companies approached market leadership, and soon his next book will hope to correct some of the mistakes that he feels we’ve been making.

With me today is author and consultant Jack Trout. That seminal book I was talking about is Positioning: The Battle for Your Mind. Well, Jack has written a new book called In Search of the Obvious and he’s taking marketers and companies to task for creating a complex mess out of something that should be, well, obvious.

Be sure to listen live to Marketing News Radio on September 24 at 9 a.m. PST. If you're one of the first five callers you can get a free copy of his book. Also, be sure to check out the archives of the show for other incredible interviews.

Monday, September 15, 2008

Yeah, so?

People who know me know I believe in courageous conversations. Typically these happen in personal relationships when it takes courage to approach someone and talk about an uneasy subject. But the same is true for business situations. Those courageous conversations happen when creating strategy, thinking about the competition, or evaluating the power of your value proposition.

Posing the right questions gets to the root of issues and assumptions about ourselves and our competition. They are the "bare-naked truth" questions often avoided not because the questions are offensive or even complex, but because we don't have the answers we should. The quality of a question determines the quality of the response. When we ask easy questions of ourselves or our competition, or questions that can't be answered, the answer gives us exactly what we put into the question--easy answers or no answer at all.

What powerful questions do is give us a broader range of exploration. They lead us to examine possibilities and develop scenarios that can lead to competitive advantages. Powerful questions do not have to be complex or sophisticated. My favorite one is: "What would happen if we did nothing?" And another: "Why?" "What is this for?" and "So, what?" These questions cannot be answered easily or quickly; though beware the people who promise that they can. Questions like these require thoughtful consideration of all the possibilities. They allow the us to create different scenarios leading to innovation and leadership within the marketplace, which is what competitive intelligence and positioning is all about.

Sunday, September 14, 2008

Recession Marketing: Lead or Get Left Behind

A few years ago during another recession in the US economy, I wrote this article. It became widely popular being syndicated in dozens of publications across the country. Given our current economic situation, I thought I'd resurrect it here.
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Sure we’re in an economic downturn. Times are hard and we have to be very careful on how we spend our resources. Every effort must count. However, just because we have to be careful doesn’t mean we have to be frugal. Perhaps one key marketing strategy during a recession is to spend like a leader – not a follower – in three key areas: vision, commitment and execution.

Vision
The ability to articulate and communicate a compelling and passionate vision for your organization – or yourself – is a primary form of persuasion that is very powerful. Guy Kowasaki, then CEO of Garage.com said, “Create a cause, not a company.”

How can you turn your company into a cause that others will want to get behind and help succeed? Does your vision set your organization apart from others or are you just another “me-too” provider? How can you lead through your vision?

Having a compelling vision means you believe in something important. You can see the end result and can offer value to your community of followers as they participate. There is total employee buy-in because your vision is so clear and compelling that it energizes them to give from their hearts as well as their hands. A strong vision creates advocates in both employees and customers.

Commitment
How you sustain and nurture your vision depends on your commitment to your core purpose. You need to be willing to take risks to see your vision grow and thrive. This means that you’re working smart – employing smart marketing methods – to motivate your customers and employees to action. Your marketing efforts are not riddled with chaotic reaction, but rather sharply focused by your vision and a deep rooted desire to do something truly unique.

Jerry Garcia of the Grateful Dead once said, “You don’t want to be considered the best at what you do. You want to be the only one doing what you’re doing.”

In a recession it is easy to cut costs and pull back on our marketing efforts. However, commitment to marketing is a discipline all savvy and successful companies have developed. It is the exercise of integrity in the moment of choice. To follow Jerry’s example, if everyone else is pulling back, perhaps a recession is an opportunity to move forward.

Execution
Jan Edmondson of DDB Worldwide Seattle, one of the area’s top advertising agencies, said that “a vision without execution is a hallucination.” This means that successful recession marketers put feet to their vision by developing close relationships with their customers. They are passionate about getting close and not just knowing, but understanding them.

Execution in recession marketing focuses on loving the customer, communicating clearly and precisely, spending as a leader and using the right tools to accomplish your goals. But even the greatest communication tactics can fail if there is not a strong value proposition. The creation and delivery of value will be the most defining competitive advantage of the 21st century marketplace. Your execution cannot be just activity, but the communication of extreme value that only you provide.

During a recession, many people and organizations will slow down and watch. They will become spectators in the marketplace and some will never become players again. You can ensure your place as a leader in the market by choosing to be a leader and not a follower. Recessions do not have to be retreats—they can be opportunities knocking at your door.

Thursday, September 11, 2008

Remember the Association

Yesterday I have the privilege sharing to other marketers at a local American Marketing Association meeting in the Seattle area -- the PSAMA (Puget Sound AMA). I was asked by the president, Kathryn Hall, to share about the value I have received from my AMA membership. It was an easy thing to do.

Three main thoughts came to mind -- gains, growth, and gelling.

In reverse order, I have gelled with some amazing people I've met through my connection with the chapter and the national association. Truly scary smart people like Sue Reninger from RMD Advertising in Ohio, Daryl Brewster, former president of Nabisco and former CEO of Krispy Kreme, and Jim Ward, former president of Lucas Arts. I would not have connected with any of these individuals if it wasn't for my AMA membership. But while these few are mentioned here, there are literally dozens of close friends, and hundreds of important contacts I've made that have made me a better marketer. And, because of my membership, I can contact any member with confidence -- anywhere in the world -- to help me or answer a question.

With regard to growth, my membership in the American Marketing Association has been the best professional development resource I can identify. Pure practical knowledge has flowed from amazing speakers into my brain -- people from companies like Nike, Nabisco, Jet Blue, Second Life, Google, Microsoft and Yahoo are just a few that come to mind. Learning about dashboards from those who are defining the practice, or branding from Jack Trout himself -- amazing learning and amazing development -- and all because of my memberhsip in the AMA.

But in the most practical sense of it all, I can attribute more than $100,000 of revenue to my company or self because of my membership. I work my membership. I network, reference my PCM credential, and use my connections to position myself as a valuable resource to my customers and employer. I am talking hard cash in my pocket -- earning me well more back than my annual membership fees have cost.

When you think of how you want to compete in this breakneck world of business, or keep on top of the latest trends and issues facing your industry, and meet people that are the links to future business development and resources -- remember the association. Whatever industry you belong to, there is likely an association serving it. And, if you're a marketer of any kind, being an active part of the American Marketing Association is a must.

-- David Kinard, PCM

Wednesday, September 10, 2008

The Accidental Marketer

There is a great movie called The Accidental Tourist (1988) starring Gina Davis and William Hurt. It's about a guy who is a travel book writer. Though he doesn't realize it in the beginning, he's written about how to travel with minimal impact and fuss. As a result, the traveler ends up going to amazing places without letting what they're experiencing really make an impact. There's far more to the story, but this is the part I wanted to eek out in my first blog entry.

It's easy for us marketers to go through the motions of marketing and not really make an assessment of what we're doing. When we fall into this rut, this routine, we end up not letting our marketing impact us, teach us, change us. We become stagnant, valueless drains on our organizations and deserve the criticism of being cost centers, repetitive, and meaningless.

I've taken a long, hard look back at the last two years of my life. Each is so different from the other. Two years ago I fell into a rut, becoming complacent and giving up. Organizational mindsets toward the role of marketing vary and for me I had four bosses in four years all with very different views. Rather than be tossed by the whims of this executive only to have them replaced by another made it easy to minimize my input, thus minimizing my impact.

But this last year I began the journey of taking back the mantle of what good marketing is and what marketing should be. I've done away with the complacency and have reenergized myself. Yep, its pretty much a daily struggle sometimes, but one that is worthwhile because there is power in what we do. As marketers we weild powerful tools to shape opinions, promote ideas, sell value, and build empires.

Thus, the beginning of MarketAbility -- the blog about how marketing and the real world collide, and what to do when it happens.

Let the journey begin.

-- David Kinard, PCM

Monday, September 1, 2008

Welcome to Marketability -- Marketing in Real Life

I am starting this blog with the idea of sharing information with everyday marketers about real life marketing. The idea came to me when I heard a CEO say for the hundredth time, “My friend’s company is doing XYZ and growing by 300% a quarter! We should do that too!” Well, it’s a two-edged deal to hear glamorous stories about another company’s success, or look at Apple and their marketing machine and think that you too should have those same results. It’s two-edged because the success is so appealing and the path looks so easy, but that same success is almost impossible to replicate into another company. Sure there are best practices and lesson to learn, but duplication is a mirage chased after by the ignorant.

My entire marketing career has been about distinguishing and differentiating, not duplicating. I hope that in these entries you’ll find value in the form of originality and clarity, not a carrot dangling out in front of you leading you to an imaginary treasure. Marketing must be rooted in reality and that reality is controlled by consumers not marketers. We exist to serve.

So marketers – go forward with real-life marketing. Do good work, challenge yourselves, and make sure you learn something new every week. Here’s to you and the journey you’re now taking.

-- David Kinard, PCM