Posts Tagged ‘Marketing’

Creative motor marketing

Sunday, November 9th, 2008 by Jon Clements

 

More than a nation of dog lovers, the British love their cars. Third largest car in the EU, 2.4m new cars registered in 2007 and 850,000 employed by the industry. But more even than cars, I’d say we love a bargain.And what a bargain online car dealer, Broadspeed.com, was offering this week: £20 grand worth of Dodge Avenger, but not just one - “buy one, get one free”.  Company MD, Simon Empson, speaking in The Guardian, couldn’t have been more understated when he said: “It’s the power of marketing, I suppose.” Amen, came the holy choir of marketeers across the UK.

Serious times call for serious measures. And those measures now include the motor industry calling directly on the Government to orchestrate a funding package to resuscitate the retail motor trade. The Society for Motor Manufacturers and Traders (SMMT) signalled the depth of the problem back in August, when reporting that month’s sales as the worst since 1966. At the time the SMMT caught some flak from the trade for “talking down the market”, and the messages seemed confusing, as with a bi-annual registration change the old focus on comparing August sales seemed misplaced.

But the industry’s lobbyists could clearly see the stark words written in the grime of the car market’s chassis. Yet it was probably David Smith, head of major - and iconic - motor manufacturer Jaguar Land Rover, going on the Today programme that added the true weight of the motor business to helping shift interest rates south by 1.5% at the end of last week. So, with potentially more cash slushing around people’s wallets and the prospect of another publicly-funded bail out package, the car industry should be quids in. But, as the BOGOF dealer offer showed, it’s time to be innovative in marketing, with a combination of tactics to drive people through showroom doors as well as giving them a good deal. It’s also an opportunity to test drivers’ brand loyalty - if someone will try a new marque at the right price, that brand might win a new customer for life.

Talking about the situation with my father - a motor business veteran of 50 years - he was remarkably sanguine. Having seen and sold his way out of economic lows across the decades - when even some UK car makers were not just helped by the state, but owned by it - the industry, he said, would get back in gear again.

No better time to keep talking

Friday, October 3rd, 2008 by Jon Clements

 

With the Western world’s financial system seemingly disintegrating around us, it’s no surprise that the magic formula for business buoyancy - confidence - evaporates.

In tough times it’s natural for businesses to take immediate action . But is it right to shave PR, marketing and communications from the budget? Along with the allocation for training and Belgian chocolate biscuits, marcomms is an easy target. If the late, great Bill Hicks had anything to do with it, we’d all be six feet under.

But in such uncertain times, there is a need for clear and open dialogue. Insightful comments on the topic have been shared on LinkedIn.

How would you justify the marcomms team and budget not being chucked overboard?

Does the marketing industry need to detox?

Tuesday, August 26th, 2008 by Michael Cooper

Forget your two litres of water a day. Cancel your colonical irrigation appointment. It’s time for the marketing industry to undergo a detox.

Steve Young, director at Winning Pitch, a business which assists individuals and companies to achieve profitable breakthroughs in revenue performance, has spoken out to put sales and marketing under the cost-cutting spotlight:
“While companies have ‘streamlined’ their factory floors and operations as the credit crunch continues to hit hard, few have dared to put sales and marketing under the same scrutiny – usually for fear of what they might find. However, in the vast majority of sectors, there is a huge amount of waste in marketing, which few companies have even noticed, let alone tried to address.”

With the recent conversations in the blogosphere about the death of PR, perhaps it’s not just this field of marketing that needs to refine the ‘usual way’ of doing things.

“It seems that half of what marketing professionals do is hugely wasteful. For example, a paltry two to three per cent response on a direct mail campaign is seen as successful and a one in twenty conversion rate in telesales is seen as phenomenal. Many advertising campaigns are based on the ‘drip effect’, and, despite an enthusiastic launch, most websites are rarely updated and often under-promoted. To compound the issue, most marketing and salespeople are driven, measured and even incentivised by sales volume – not profit volume.”

Steve goes on to state the seven ways in which most marketing is wasteful:

1. Waiting
This could be waiting for returns from a customer questionnaire or leaflet, waiting for another person to complete some other work, waiting for someone to make a decision or waiting for a call or meeting with a customer.

2. Wasted effort
Too many people make appointments with people who will never buy, spend time checking others’ work, do a mailshot of 500 when they can only follow up 50, retype proposals that you have on file, and many other duplications that could so easily be avoided.

3. Making mistakes
This could be as simple and careless as making spelling errors in a leaflet, or as costly as recruiting a salesman who, it turns out, can’t sell.

4. Poor admin and communications
Jargon puts people off, as does inviting prospects to an event taking place the same evening or not responding to enquiries quickly enough.

5. Inconsistent ways of working
Not having standard ways of doing things can lead to unpredictable timings and performance levels, trial and error and difficulty in training staff.

6. Unnecessary inventory
It’s no use being a jack of all trades – don’t hold an extra wide product range just in case, don’t print an extra thousand copies of a leaflet just in case, and don’t hold on to too many qualified prospects.

7. Untapped human potential
Not taking advantage of an individual’s latent talent or listening to new ideas from staff is a critical mistake for too many businesses.

So how can companies and agencies eliminate these waste by-products of the marketing industry?

“The surprisingly simple answer is to cut all the marketing mumbo-jumbo down to three key processes: finding customers, winning customers and growing customers. It’s then a matter of finding out how each process is performing currently, how it’s being measured, at which steps it goes wrong, where and how improvements can be made, and how to make these improvements a way of life.

“In the vast majority of cases, sales and marketing processes are both ineffective and inefficient. To maximise results, however, the detox exercise is much more than simple cost-cutting. You must be skilled in mapping and re-engineering techniques, and have the people skills to ensure that the team buys into the new approach, owns the new approach and continues to improve the new approach. But when you get it right, you will be stunned by the results.”

I don’t know about you but I’m feeling better already.

USE IT OR LOSE IT

Thursday, March 20th, 2008 by Michael Cooper

WPP’s chief executive Sir Martin Sorrell has told everyone in PR that we’re fine. We’re firing on all cylinders. He can’t recall a time when PR has been so strong. Why? We’re recession-proof. We’re annoying the advertising industry. As one over-muscled cartoon character once proclaimed: WE HAVE THE POWER…of editorial publicity.

“Something has changed and the reason for the change is online activity, where personal recommendation and personal communication have become more important. And it’s clearly editorial and it’s clearly not advertising based.”

 We’re good aren’t we? Let’s all go to the pub to celebrate. I’ll get my coat.

Sorry? What was that AdAge? A survey of attendees to your Digital Marketing Conference you say? And they said what??

Where should social media lie? Audience poll: 53% in marketing, 5% say in PR, 9% say customer service and 33% say some new division.

But this was just marketeers right? We’re still great…aren’t we?

Well no. Judging by the comments on Adrants, if PR isn’t playing second fiddle to ‘marketing’, it’s picking up bronze behind a ‘new division’ which is yet to emerge.

How did we fall so far behind? Social media is all about communication as is Public Relations. It was ours for the taking but somehow we’ve let it slip through our fingers. Were we all out to lunch, sipping champagne and smoozing? I doubt it. Maybe we’re too afraid of technology. All that typing could break a nail!

Seriously, I’m worried by the number of PRs who don’t just understand this area but who are too afraid to even experiment. I’m not suggesting they should take a multi-million pound client, stick the CEO in front of a camera, hit record and see the response on YouTube. I mean writing (or commenting on) a blog, listening to podcast, watching a webchat. Even a little twittering wouldn’t go amiss. It seems the furthest most PRs have strayed into social media is with a Facebook profile. It’s a start right?

Based on the the social media conferences we attend with speakers from a variety of backgrounds (bloggers, financial institutes and yes PR agencies), it seems there is a theme running throughout which is that PR (agencies and in-house) should be doing…something. We’re not going to tell you what it is but we will point you in the direction of the web and watch you worry. We can’t give too much away because we want to maintain that competitive edge. But we don’t mind throwing stats at you and watching you have a panic attack safe in the knowledge that you should be doing…something.

So who’s role is it to take ownership of this area? Who in PR is going to help educate the industry? The industry bodies clearly need to step in and provide the much needed training. Actually telling PRs how to do it. Seminars such as the CIPR one hosted by Rob Brown, soon to be MD of Staniforth (Full discolsure: I work for the agency) at Manchester University. Social Media is the future of PR but I’m concerned after looking at the CIPR list of upcoming events for 2008. Just five events based around social media planned for the rest of this year. Is that really enough for PR to take ownership?