The Purple Cow

Another Seth Godin classic!  In this book Seth Godin explains that most of the “needs” people have are now met by one or more products which with the rise of retail and the internet are now widely available.  The brands that enjoyed the benefits of being first to market coupled with investment in large broad above the line advertising 20 years ago now have a dilemma.  They have to continuously invest in that mass advertising just to stay still, yet whilst doing so they cannot grown market share any further.

This means that introducing new products is even harder than ever, but it does not require the mass advertising investment that was required 20 years ago.  Instead, marketers must ingrate their marketing strategies and ideas into the very fabric of the products they develop.  Furthermore, for the product  to have any impact or chance of success the strategy and or execution of strategy must be remarkable.  That is to say, it is no longer remarkable to get your milk from a cow….. you need to find a purple cow to make it remarkable and differentiated!  For a product to succeed it must be truly remarkable in its packaging, the advertising, the message, etc etc.

If you are able to achieve this Seth Godin explains that then it is possible to generate an immediate interest and engagement with your audience who will share the idea with likeminded people.  Seth describes people who he calls “Sneezers”, people who will embrace your product but crucially enthuse about it to other people often through new media applications.  This can deliver the momentum needed to build a business.

The essence of The Purple Cow is to transform your whole business from being ordinary to remarkable, and that in a way becomes your overarching marketing strategy.  This in many ways ties in nicely with the Values Led approach that is described in Ben and Jerry’s book the Double Dip.

The Starbucks Experience

I must admit I found this book rather disappointing from a marketing insights point of view.  I was really hoping to get an inside perspective on the story behind the company, what the starting point for the brand was, and how the company dealt with its phenomenal growth in America.  Unfortunately, the book is in many ways just a promotion tool for the business, reminding people of the experience they should get when they pop into their local Starbucks!

The best thing I can say about the book is that it does give an insight into how great customer service can really add value and become a competitive advantage within a business or as part of a marketing strategy.  With this of course comes the challenge of maintaining both the quality of people and the consistency of message as the company grows in size.  The book gives some good tips and approaches to ensure that the core values of a business and/or brand are maintained as it gets bigger and has to deal with issues such as multiple sites.

The Starbucks Experience describes some interesting approaches towards environmental policies and to public relations management.   It illustrates how Starbucks has developed policies to try and support appropriate charities in a meaningful way and integrate these into its wider marketing activity.  The book explains how some activities have worked whilst others haven’t.  Its promotional work with the Rain Forest Alliance is a good example of a strategic partnership that has worked well, but is more complex to manage and market than it first appears.  The book also describes the public relations challenge of being big and still wanting to grown to the point where small independent businesses feel threatened and the negative impact this can have on a brand.  There is a strong parallel between the concerns raised by the USA general public when Starbucks stores threaten to open near an independent coffee house, and the concerns raised in UK when a Tesco Express opens right next door to an independent green grocer.

Another interesting theme in the book is the concept of trying to occupy what it calls “the third space” in the hearts and minds of its consumers.  The third space is a special place – the home is the first space and the most important place to individuals, the second space is the place where people work, and that leaves another place or space which Starbucks aims to fill – the most important and comfortable place to be when not in either the first or second space.  It is an interesting concept and a strong example of a brand trying to own a particular place or occasion in the hearts and minds of its customers.  As a marketing consultant in Norwich, I am often helping people to identify the space their brands occupy in the minds of customers.

The most startling thing about the book is that the picture it portrays of Starbucks bears little or no resemblance to the Starbucks I know except for that fact that they both make coffee!  The book maintains that Starbucks has managed to preserve a culture where the customer really is king and making the customer happy by looking at every possible detail is the purpose of each and every single employee.  Whilst the supporting stories to illustrate this are heart warming, I am afraid to say they are not born out in my experiences of Starbucks coffee houses in England.  Perhaps this is because the company is so large now and it is more challenging to preserve the culture in overseas operations.  My own conclusion is that this is not the case, and simply the author sees Starbucks through very rose tinted spectacles!!

I still enjoy Starbucks, their coffee and free Wi-Fi access!

The Long Tail (New Edition The Longer Tail)

I really enjoyed reading the Long Tail by Chris Anderson.  The book considers the impact of several recent phenomena to demonstrate how the old conventional rules around building a business may no longer need to be applied.  In particular he discusses how the internet has dramatically broadened the consumer’s choice.  This, coupled with advances in just in time manufacturing and centralised warehousing with far more efficient distribution, has lead to new and emerging very different business models.

He also uses the book to give an insightful overview of how the web has developed over the last few years and how businesses have been able to harness its power and potential to realise new profits and reach new customers.  He describes in detail the digitalisation of many products such as music, books and films, and the processes and marketing tools businesses are using to sell and distribute these.

The book is easy to read, insightful and also inspirational.  Chris Anderson suggests that the world wide web has a) reduced the cost entry point at which people can offer a product for sale, b) reduced the minimum run rate for product manufacturing in many circumstances, c) greatly expanded the boundaries of a market for even the smallest business, d) increased consumer choice and in doing so created a huge number of niche business opportunities.  He explains how the explosion of this technology has created global networks, stimulated innovation, blurred the gap between professions and enthusiastic amateurs, and built a new culture where the minority thrive rather than being concerned with trying to become the majority to get their voice heard.

A great ready from many perspectives.

Good To Great

I have just read the Jim Collins big seller – Good To Great. A few people in marketing , Norwich business people and MBA colleagues, have mentioned the book to me.

I was surprised when I finished reading the book that there is actually quite a lot of criticism about the book. It is true that some of the conclusions such as the benefits of level five leadership are not spelt out in great detail. What exactly is a level 5 leader? Then there is the fact that many of the companies cited as “Great”…….. are no longer even “good” or even in existence in some cases!

But I actually really really rate the book. It is easy to read and easy to understand, and personally I intuitively understood even the conclusions with less clarity such as the Level 5 Leader. The most compelling outtake from the book to me, is the importance of getting the right people to buy into your vision. Jim Collins uses the analogy of a bus…… get the right people on the bus, then let them work out where they should sit, then you can work out where you can go! It may sound strange, or perhaps obvious, but that conclusion helped me to crystallise my thoughts on a number of projects I have worked on in the past and am currently engaged in.

Below I have summarised the books conclusions:-

- Level 5 Leadership: Leaders who are humble, but driven to do what’s best for the company.

- First Who, Then What: Get the right people on the bus, then figure out where to go. Finding the right people and trying them out in different positions.

- Confront the Brutal Facts: Confront the brutal truth of the situation, yet at the same time, never give up hope.

- Hedgehog Concept: Three overlapping circles: What makes you money? What could you be best in the world at? and What lights your fire?

- Culture of Discipline: Being able to stay entirely focused in a changing, challenging environment

- Technology Accelerators: Using technology to accelerate growth, within the three circles of the hedgehog concept.

- The Flywheel: The additive effect of many small initiatives; they act on each other like compound interest.

As a marketing consultant in Norwich I get involved in some of these areas more than others, but I do think they are a robust set of principles to at least influence business management.

Predictably Irrational

I have just finished reading Predicatably Irrational – The Hidden Forces that Shape Our Decisions. I enjoyed the book although personally I think in places it is rather predictable and that some of the findings seem fairly rational to me!

The format of the book also can become a little repetitive. Every chapter is basically, I thought this or questioned that, so I did an experiment with some MBA students, and here is the result that you were not expecting (or sometimes expecting in my case!).

The areas I found most interesting were around people’s perception of price and how this can be dramatically altered by creating a different environment or a different set of benchmarks for what the price should be. The exploration of why things hold more value once we own them, and why price is different to cost were also interesting. Less interesting were some of the chapters around human behaviour, which to me were fairly obvious conclusions – we are animals and therefore sometimes we don’t behave to a mathematical pattern which is entirely predictable. The observations about honest and human behaviour are also interesting but again in my view perhaps not so radical. More interesting was the research around our decision making and how peer groups can affect that. Overall some useful stuff, (from the perspective of a Norwich marketing consultant) particularly when considering how to stimulate sales or build a new proposition for potential customers, but not as exciting as Freakonomics!

So, you open your fridge and someone has left some Coke and some cash.  If you are thirsty maybe you will take the Coke, but if you need some cash, you still don’t pinch what’s in the fridge.  Predicatably Irrational…… you tell me?!!

Norwich City Of Culture Bid

What a shame Norwich didn’t win the City of Culture bid. Following the impact in Liverpool, who won the European Capital of Culture in 2008, clearly it would have given the city a great boost at a difficult time. The competition was tough, Birmingham, Sheffield and Londonderry are all great cities. I haven’t been to Londonderry, but I have visited Birmingham and Sheffield many many times and they are terrific places full of culture. That said – so is Norwich. We are smaller, perhaps a little more remote, and at times perhaps a little slow off the mark. On the other hand, we are independently minded, original, entrepreneurial, friendly and welcoming, imaginative, creative, successful, skilled, and knowledgeable. We have a great heritage of buildings, of places, of events and celebrations. We have some great musicians, artists, writers, photographers and actors. We also love coming together and have a history of producing great food and drink in all manner of different ways. Norwich has two amazing Cathedrals, two beautiful rivers, a historic market, a castle, a superb and technically advanced university, and one of the most respected Art Colleges outside of London. We also spent considerably less money on putting our bid together than the other cities did.

Although we didn’t win the honour, I think the process reminded a lot of people just what a special place Norwich is, it got a lot of the arts community in Norwich talking and working together, perhaps marketing Norwich properly for the first time, and it laid the foundations to make Norwich a city of culture not for one year but on an ongoing basis.

Freakonomics!

I have just finished reading Freakonomics. What a thought provoking and interesting read. When I first became interested in Marketing professionally I did dabble a little in economics and this book reminded me what a fascinating subject it really is. The writers describe economics as the study of incentives: how people get what they want, or need, especially when other people want or need the same thing. It asks the question, what is the precise incentive needed to trigger an exchange between two people? And the scary thing is that the incentive required may not always be what you think it is. By looking at a wide range of topics (including gun crime, sumo wrestlers, education, and the naming of children amongst other things) some unusual comparisons, and some clever contexts, the book demonstrates how deeply you have to look at things to truly understand the correct incentive to offer up to make something happen.

The book is fun in places, but difficult reading in others, perhaps because there is a side of human nature which is disappointing to us all. Easy to read and very thought provoking…. I recommend!

What is leadership?

I heard a great quotation last week. You become a leader with great leadership qualities when you can see “the whole vision in glorious Technicolor!” I love this phrase because I think it sums up so neatly when a great leader is able to do. Something inspires them, excites them, makes them passionate, makes them focus, and then they are off. They move into a different “gear” because ignites those qualities in them. They do not rest until they have reached their goal, no matter how long it takes, and no matter what gets in the way.

When I think of great leaders, I think of Winston Churchill, Earnest Shackleton, Nelson Mandela, J F Kennedy, and Ghandi. What seems to unify all these great people, and all the other great leaders there are in life, is having that vision, sticking to it, relentlessly communicating it, and pursing it without compromise indefinitely.

For me, if you want to be a great leader you must possess these qualities. Perhaps you don’t have them all the time, and in all circumstances, but for a particular project or cause, something is ignited that brings those qualities to the front of the persons mind. I don’t think you can teach someone to be a great leader but I think you can provide the opportunities and environment for leadership to naturally flourish. I think anyone can become a great leader, but they need to find the cause that brings it out of them!

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Build A Brand In 30 Days

I have just started reading Simon Middleton’s book – Build A Brand In 30 Days. I met Simon a few weeks ago when he gave a presentation to my Common Purpose team in Norwich. By coincidence I met him on the train the following morning, and again in the evening at his book launch in Waterstones. Simon is a great communicator and is able to really inject enthusiasm and passion into his discussions and presentations about branding. That ability to really capture the attention and imagination of an audience is such a great gift to have.

I have only read the first three chapters of the book, but I like the easy to read style and language, and the relevant examples that make it easy to translate his ideas into story’s people know and can relate to.

Personally I am not sure that you can build a brand in 30 days – even if they are spread over a longer time period. That is because I don’t think one person can build a brand. I think brands are built by consumers, consumers who pester customers to buy on their behalf – even if that is just another part of their own conscience, and customers who demand more from their brands. Perhaps more products, features and benefits, perhaps better packaging design, perhaps better language or tone of voice which suits them, or perhaps a simple demand that the brand pulls itself together! The greater the enthusiasm with which consumers and customer do this, the more powerful your brand is. I have been privileged enough to manage some great brands – but I never thought I owned them or built them. I did some stuff to keep them in good shape, to keep them engaging with their audiences, and to keep them relevant. Perhaps I did help in some small way to build them, but I was only a small part of an architectural team, the people who did the building were the guys how bought the products, who emailed me when my products weren’t quite good enough, who mentioned the irritations in something that wasn’t quite right, who said when they did or didn’t like our advertising, and who pointed out when a competitor was better than us.

I like Simon’s book and thoroughly recommend it, and I shall be writing more about it from a different perspective in a couple of weeks, but if you don’t own a brand (apart from you own – watch out, this is going to be Simon’s next book!) you can still help to build one. Choose the product you love – enthuse about it to your friends, find out more about it and how you can help it to grow…. what do you get in return? A small emotional stakeholding in something that as it grows and you see it appearing in more places you will be proud of!

A News Room In Norwich

On the last but one day of my Common Purpose course I was lucky enough to get the opportunity to visit a news desk for a local TV broadcaster. It was a great opportunity to get behind the scenes of how a story can become news and news can become a television broadcast. The first things I noticed were 1) the energy of the team, their enthusiasm and excitement, and 2) the audience’s natural scepticism and negative perception towards the media.

The process of making news is interesting. Information comes into a news room from all kinds of sources, about all kinds of things (business, politics, economics, marketing, Norwich, Norfolk, the UK, celebrations, people, history, etc etc), sometimes by investigation, sometimes by a third party, and sometimes just through observation. News can come from twitter, from a press release, from a phone call or email, or from a spokesperson. Every potential piece needs to be assessed and this is where the editing and production team have such an important role. They must consider if the piece is newsworthy to the audience, have they got the relevant facts and figures, the different perspectives of the story, and where does it fit into the programme format. Above all the editing team and producers must seek to protect the integrity of their programme and reporting, perhaps even their brand.

In any business this would be challenging. In most of the businesses I work with information typically comes from the same familiar sources in the same format – the source and format of information received by a news reporting organisation is rarely the same. If this doesn’t make the challenge big enough, you often have only a few hours to pull your entire product or presentation together. Again, in the typical businesses I work with, a presentation would take some weeks to build and the information that underpins it would have been analysed for several months.

Whatever you may think of the media in the UK, I think we should at least acknowledge the great accomplishment that is a news at six, or a news at ten, every day, every week. It’s never late – it’s never not half an hour, and there is usually something of interest in there somewhere!!!!