Tag Archives: marketing

The Art of Sparking Emotions: Building Desire for Your Brand

By James D. Roumeliotis

Couple in Love

Add to FacebookAdd to DiggAdd to Del.icio.usAdd to StumbleuponAdd to RedditAdd to BlinklistAdd to TwitterAdd to TechnoratiAdd to Yahoo BuzzAdd to Newsvine

Whether offering products or services, a business is expected to create connections and engage in conversations with its prospective clients ─ but equally important, with its existing clienteles. While these connections might come in the form of attractive print ads, or utilizing social media/digital platforms, or even face-to-face interactions at various touch points, they should all be tailored to initiate meaningful conversations between brand and consumer. Conversations that can achieve sales targets along with obsessive fan followings which ultimately boost the popularity of the brand.

Customer engagement: the essentials

More than 20 years ago, a popular method for companies to obtain sales was to utilize a sales force and apply pressure tactics. Some companies used the telephone as their tool of choice for cold calling. This was a typical marketing and sales approach. Sales staff where trained in persuasion and closing techniques including answering the most popular objections. This is what is known as a “push” strategy. Today, customer engagement works in reverse. It is the customer, whether an end-user or a business, who decides if and when to communicate with a company. The typical contemporary consumer has the power of the internet and word of mouth in determining great deals and which brands they should be transacting with. Moreover, on the consumer side, there are countries with strict national regulations concerning telephone solicitation. This has had companies scrambling to stay relevant with the times and is considered a “pull” strategy. There is also a refined marketing method known as Permission Marketing” (opposite of interruption marketing) which was coined by marketing maven Seth Godin. As a result, marketers have been adjusting their strategies and integrating them with online and offline marketing activities, along with a laser focused approach with their specific audience. This has resulted in deep customer engagement.

Customer engagement is not a single outcome ─ it is an ongoing dialogue. They have come to expect more personalized interaction, customized solutions, timely results and most certainly a “bang for their buck.” This requires brands to be customer centric ─ with everyone in the organization on-board, in addition to being well versed in the digital age. This includes blogging, Twittering, Instagram posting and viral marketing among others. One other notable trend is towards widespread audio and video production and communication. From podcasting to mobile video, audio and video is predominating in our digital world.

Push vs. Pull marketing

Push marketing and pull marketing are different yet complementary marketing methods for promoting a business – most notably online.

Push marketing is more traditional methods of advertising – essentially, you are pushing your message to your audience, regardless of whether they want to receive your message or not. Push marketing focuses on product features and awaits the audience to respond. Examples of push marketing include email marketing, website advertising, and cold calling.

Pull marketing is more proactive, pulling the customers toward your brand/product with targeted messages they care about. Pull marketing is all about brand building. Examples of pull marketing include media interviews, public speaking, and word of mouth advertising.

The holistic approach

Consumers today are more brand conscience, better informed and with more options. Despite this, there are companies which continue to spend money advertising and selling product rather than brand. They place emphasis on price and quality as differentiators despite these two being overused by many copycats. Successful brands take a holistic approach to selling by exploiting the five human senses which now constitute the brand. This is accomplished by what I regard as “ambiance marketing” and “sensory/sensorial branding”, through a captivating designed setting, yet alluring. This adds character and invites clients to truly feel the brand experience.

The five senses, when applied toward the customer, are regarded as follows:

  • Visual – lighting, decor, colors, layout…you can get a real sense of movement using these elements.
  • Auditory – music, effects, volume, vibrations…you set the tone and the energy of the room with your sonic selections.
  • Tactile – textures, comfort, climate…this is all about how your guests interact with the environment.  This is a big thing to consider when you are designing the layout.
  • Olfactory – fragrance, emotion, ambiance…this sense is under-rated and powerful. Of all our senses, the sense of smell is most closely linked to emotion and memory. You can use something as simple as burning incense or candles to something far more complex like computer controlled scent machines to enhance your environment. This could just be the extra touch needed to set the mood.
  • Gustative – with food establishments, the challenge is in finding the perfect balance between sour, salty, sweet, and bitter during menu designs and beverage selections.  The presentation also makes an impact on the overall image.

Storytelling along with the total customer experience

Standard products and mundane user experiences don’t offer compelling reasons for consumers to do business with certain brands. If a business can’t articulate its USP (unique selling proposition) ‒ as to why anyone should do business with your brand, your product and/or service merely becomes a “commodity” whose price will be the sole determinant in any transaction.  Being formidable and considered top of mind in your B2C sector requires a philosophy – a certain culture which will develop a following by consumers who share your values.

Quality materials, assembly and final product look increase a company’s competitiveness. The quality of a product may be defined as “its ability to fulfil the customer’s needs and expectations”. If the characteristics and specifications of a brand’s product line are equal or superior to its competitors, along with a fair price-value equation, the brand will turn out to be a preferred choice.

Storytelling, on the other hand, builds relationships by the stories that are well told. Stories add personality and authenticity to products which customers can better relate to and feel affinity with. Luxury brands tend to boast their pedigree since their discerning clientele desire a deeper level of involvement and understanding of the history and heritage of the brand when it comes to their luxury purchase. This is referred to as “experiential luxury.”

It is essential that the sales professional be product proficient and adept at assisting and guiding the client to the purchase making use of flattery, romance and showmanship. To illustrate, when selling a niche automobile such as a Porsche, the sales consultant can talk about racetracks, describe road-holding capabilities, build-up a fascinating story – after which time he/she can bring-up reliability and the technical details which confirm to the discerning client what he/she is already aware of.

When consumers are delighted by a particular brand experience, they begin to bond emotionally with it. They become brand loyalists and advocates – purchasing the brand more often and recommending it to others. This behavior serves to build the brand’s reputation.

In the end

With a plethora of marketing noise, differentiation in the delivery of non-evasive communication, personalized service and focus in niche markets will be the determining core value equation for success in attracting and retaining clients.

When consumers are treated with honesty and delighted by a particular brand experience, they begin to bond emotionally with the brand. They become brand loyalists and advocates – buying the brand more often and recommending it to others. This behavior serves to build the brand’s reputation. This approach is priceless –even though it may take longer to take positive effect.

Add to FacebookAdd to DiggAdd to Del.icio.usAdd to StumbleuponAdd to RedditAdd to BlinklistAdd to TwitterAdd to TechnoratiAdd to Yahoo BuzzAdd to Newsvine

___________________________________________

Request your TWO FREE chapters of this popular book with no obligation.

 

Leave a comment

Filed under Business, business development, Business success, customer engagement, customer experience, customer service, Marketing, pull marketing, push marketing, sales strategies, sensuous brands, sensuous products, total customer experience

Three Things Businesses Can Learn from the Late Prince, The Artist

by James D. Roumeliotis

Prince Logo

Add to FacebookAdd to DiggAdd to Del.icio.usAdd to StumbleuponAdd to RedditAdd to BlinklistAdd to TwitterAdd to TechnoratiAdd to Yahoo BuzzAdd to Newsvine

Prior to his sudden demise, I always had quite the fondness and following for Prince, “The Artist.” Ever since I discovered his music in the late 70s, what never seize to amaze me since was his eclectic work (comprised of dance, funk and rock tunes), vocal range and the method in which he always managed to integrate it all seamlessly during his formidable stage presence.

However, what many may not have been aware of was his show business acumen. Prince built and sustained his personal brand along with the resources he exploited which comprised of his musical entertainment enterprise.

What I have learned from this beloved and prematurely departed artist are three lessons which any business can use as a takeaway for implementation. They are as follows:

1) Stray from the ordinary and remain relentlessly competitive

“The Artist” was widely acclaimed by his fans, the media and fellow musicians as one of the most influential and creative musicians of his generation. He seemingly left behind an impressive music legacy. Unlike most artists, Prince was a prolific songwriter, multi-instrumentalist, sang in a variety of vocals, produced his work, as well as displayed dance and theatrical antics on stage. Must we forget that he was also an actor ─ most notably in “Purple Rain” along with performances in four other movies including on television. Moreover, he wrote songs for and produced work for other musical acts including some he impacted and/or for whom he acted as their mentor and coach.

Prince also knew how to outdo his competition by standing out with his artistic performances including the eccentric outfits he sported along with his leaping dance acts he displayed with his platform shoes ─ as he only stood at 5’2”/1.58m. Some of his singles, which eventually turned into big hits, were purposely targeted at some of his rivals.

An exemplary display of Prince’s unique and memorable performance was a video, recorded at the 2004 Rock and Roll Hall of Fame induction ceremony. The illustrious artists playing the Beatles’ “While My Guitar Gently Weeps.” include George Harrison’s son Dhani, along with old band-mates and collaborators Jeff Lynne, Tom Petty and Steve Winwood. However, most striking among this band, who stood slightly apart from the rest while they played ordinarily, was Prince. Despite his small frame and wearing a dark suit with a red shirt, a matching derby hat, and staying on the sidelines for the first 3:27 minutes or so (in the YouTube recorded video), he suddenly steals the show with his passionate guitar solo. As the song ends, Prince abruptly takes off his guitar, tosses it in the air and then disappears off stage. That was probably the most memorable part of the video from my perspective. Many more who watched it share the same sentiment.

2) Branding, image and reputation are your equity

As with traditional businesses, Prince had created a personal persona – where the brand and performer were synonymous. He created a logo dubbed the “The love symbol” ─ one that blended the symbols for male and female which was instantly recognizable. It was also the shape of his customized guitars. Prince even owned a signature color in the mind of his followers – purple. His occasional provocative lyrics, seductive singing, dramatic performances and distinctive album covers all depicted a unique style as an icon and as a showman of his personal brand.

As one Twitterer remarked in his Tweet following Prince’s death,Prince built a brand around his music and his genius before content marketing and personal branding became a thing.” Another stated, “Like Bowie, Prince reminded us that it’s not just OK to be weird—it’s cool to be weird.”

The moral of this narrative is that as a business, follow what Prince did ─ by working on building your brand image consistently, by establishing unique features with your products/services that distinguish them from the competition, and by being true to yourself, as well as by what you truly stand for.

3) Become vertically integrated

Prince was more than an artist, he was one who only entrusted himself with songwriting, arranging, producing, naturally performing his own music, as well as distributing it through his own label (NPG Records and Paisley Park Records before it). To do so, he built a $10 million state-of-the-art complex in a suburb of Minneapolis, Minnesota which he named Paisley Park Studios. That said, he became his own vertically integrated corporation. This was, after all, a multi-talented musical artist who believed in taking control of his own destiny and in return, earning the maximum revenue and profits rather than giving much of it away – most notably to a record label. He considered the role of record labels exploitation and slavery. He was a fierce advocate for artist rights and independence and in he had standoff with Warner Bros., his label at the time. In protest, Prince removed his name from his album releases and changed his name to a symbol. He also styled himself as “The Artist Formerly Known as Prince.” Furthermore, during a legal battle with Warner Bros., he scrawled the word “Slave” on his face during his appearances and performances.

The significance with this illustration is that a business with adequate capital, resources and expertise ought to consider amalgamating most or all of the processes under its own umbrella. A such, quality control and improved profits are now controlled by the business itself.

Paisley Park Studio

Paisley Park Studios

A final point of intrigue

On a noteworthy footnote, in his 37 years as an artist ─ and unlike many with his fame, he kept himself out of the negative spotlight. He never plagiarized a fellow artist’s work, never had to hire a ghost writer, and neither involved in a scandal which would drag him to the courts. In the end, he was capable of playing more or less 20 instruments admirably and having earned 19 Platinum albums, 6 gold albums, along with a double diamond record for his Purple Rain album which sold 21 million copies. Impressive for a personal brand to say the least.

Add to FacebookAdd to DiggAdd to Del.icio.usAdd to StumbleuponAdd to RedditAdd to BlinklistAdd to TwitterAdd to TechnoratiAdd to Yahoo BuzzAdd to Newsvine

________________________________________

Request your TWO FREE chapters of this popular book with no obligation.

 

Leave a comment

Filed under 1, Branding, Business, Business success, entrepreneurship, entrepreneurship success, Marketing, public relations, Show business

Genuine Luxury vs Accessible Luxury: Two Distinct Yet Opposing Categories

By James D. Roumeliotis

Mass - Masstige - Prestige

Add to FacebookAdd to DiggAdd to Del.icio.usAdd to StumbleuponAdd to RedditAdd to BlinklistAdd to TwitterAdd to TechnoratiAdd to Yahoo BuzzAdd to Newsvine

“Masstige” (a combination of two words: “mass” and “prestige” – aka mass with class) is a contemporary marketing term which denotes prestige for products perceived as luxurious and targeted to a wide range of customers known as the “mass affluent.” As per Wikipedia, the mass affluent are the high end of the mass market, or individuals with US$100,000 to US$1,000,000 of liquid financial assets, or consumers with an annual household income over US$75,000. These upper middle class individuals can afford to splurge on some of the finer (and affordable) things in life which include fashion merchandise, sporting goods, cosmetics, various accessories (silk ties, scarfs, small leather goods, perfumes etc.), high-end consumer electronics/gadgets, as well as culinary food and spirits. Brands in those categories depend on the “masstige” crowd for a majority of their sales, despite a few which also happen to be purveyors of inaccessibly priced products catered to the HNWI/UHNWI (aka the very wealthy or the 1% respectively).

This is purely an oxymoron and paradoxical since in the authentic luxury domain, “mass prestige” is an artificial term for “luxury” as it is not generally geared for the mass but rather the well heeled. Sadly, the true meaning of “luxury” has been bastardized by many brands who are falsely in the “luxury” business (in the true sense of the word and definition). ​However, there are luxury brands which have chosen to offer lowered priced products in a bid to join the “accessible luxury.” Think Coach with its leather bags and accessories or Chanel with its perfumes and cosmetics.

Defining the true meaning of the term “luxury”

Definitions of “luxury” vary significantly and depend on with whom you discuss the topic and in what context. The term “luxury” is not the easiest to define. It is relative, mysterious and elusive. In essence, it revolves around subjective criteria in the mind, which creates a mood and what is generally referred to today as lifestyle.

Gary Harwood at HKLM, one of the founders and directors of a leading strategic branding and communication design consultancy, stated:

A luxury brand is very expensive, exclusive and very rare – not meant for everyone. When it ceases to be these things, then it’s lost its exclusive cachet. Commoditizing luxury brands and making them more accessible to the middle market puts them at risk of becoming ordinary, common and less desirable. And the more available a brand is, the less luxurious it becomes.”

Authentic luxury brands compete on the basis of their ability to invoke exclusivity, prestige and hedonism to their appropriate market segments not the masses. There is a classic litmus test as follows:

  • Is the product manufactured in artificially limited quantities? (i.e. the rarity factor)
  • Does the firm have a story to tell? (i.e. history & pedigree)
  • Is the firm portraying a unique lifestyle? (i.e. the product or service will enhance one’s experience through an exceptional appeal)
  • Is craftsmanship the hallmark, which delivers products that only High Net Worth individuals (HNWI/UHNWI) can purchase without question?
  • Does the brand offer authenticity?

Genuine luxury purveyors remain relatively small and select in their category. Ultra wealthy (UHNWI) consumers purchase rare luxury products because they seek to distance themselves from the mass through the emotional value of acquiring flawless and rare objects of desire.

“Aspirational” luxury, on the other hand, is another fancy marketing parlance which is generally defined as a brand that most want but only a fraction of them can actually afford it. Most cannot afford a $2000 bottle of vintage wine but may be able to occasionally splurge on a $200 bottle of one of the finest single malt Whiskey.

Identifying luxury sectors

Genuine Luxury is classically defined in three key segments:

1) Luxury Goods: Fashion & Accessories, Watches & Jewelry, Well-being & Beauty products.

2) Lifestyle Purchases: Automotive, Experiential Travel, Home & Interiors, Exclusive Alcoholic beverages (exceptional wines, champagne & spirits)

3) Private/Executive Jets and Yachts: An absolute category in their own right.

Brands which fittingly claim authentic luxury status

Few brands can really claim the trademark of luxury. It is those which combine allure with pedigree and quality attributes. Discounting is not part of their strategy and their entire raison d’être is geared to the UHNW (Ultra High Net Worth). Many of their products actually increase in value over time since they are either discontinued or necessitate a long waiting list/time.

Most notable authentic luxury brands are in the haute merchandise category:

Hermes, Chanel, Louis Vuitton, Bottega Veneta, Rolex and Cartier.

Other players to this core list include: Bentley, Rolls Royce, Gucci, E. Goyard, Charvet, Salvatore Ferragamo, and Bulgari.

Exclusive and bespoke travel companies provide tailor made adventures and excursions. The four key players in this category include: Abercrombie & Kent, Kuoni, Orient-Express and Cunard Line.

Broadening our view of luxury services, certain firms offer services and privileges to a rare percentile. Such services include credit cards with no limits, jet ownership, private plan charters, global concierge services and the like. Think NetJets and Amex.

“Accessible” luxury is a marketing notion, not a merchandise category

The concept of making luxury available to the masses goes against what true luxury is as
there is no such thing as accessible luxury ─ it is either luxury or it is not as “accessible” luxury is a marketing notion and not any product category. Think Michael Kors, Coach, Ralph Lauren, Godiva and Apple among others. Top luxury brands such as Hermes, Louis Vuitton and Chanel have accessible luxury with perfumes and cosmetics, sunglasses, as well as accessories (leather, silk scarfs etc.).

In marketing parlance, being coined as an “accessible” luxury good can be deceiving when the quality of materials is not quite at par as one would normally find in a “genuine” luxury product. For such companies, becoming too commonplace is a risk for such brands as they lose their cache due to a lesser price line, as well as risk their reputation for the sake of increasing their revenues. Then there are some non-luxury brands which use the codes of luxury strategy to grow their sales. Needless to say, many consumers will eventually catch-on that such products are merely a gimmick thus on their way to lose their luster.

Masstige - My other bag is a Birkin

“Premium” and “prestige” categories defined

If luxury brands are related to scarcity, quality and storytelling then premium goods, on the other hand, are expensive variants of commodities in general: i.e. pay more, get more.

These brands are less ostentatious, more rational, accessible, modern, best in class, sleek design, and manufactured with precision. Beats headphones and TAG Heuer watches are a case in point and so is Audi and Lexus in automobiles.

“Luxury” and “prestige” brands respectively both have a similar status. Although some may disagree, in some cases, brands such as Mercedes-Benz automobiles, are considered to be both “luxury” and “prestige.” There are also brands which are either labelled one or the other. It depends how they are identified in the eyes of consumers.

Prestige brands offer a high level of innovation, craftsmanship ─ and with some categories, the finest ingredients or raw materials. Due to their well-established names, status and pedigree, they boast quite a loyal following. As a result, they can command premium prices which their clients do not mind paying for since they are made to feel special. Examples of some prestige brands include Breitling watches, Lancome cosmetics and Aston Martin automobiles.

The distinction between a prestige brand and premium brand is simply one of perception. In automobiles it is Cadillac and Lexus vs their German counterpart of BMW and Audi. In watches, it is perhaps a Rolex versus a Breguet and a Cartier.

On a final note

When it comes to lower priced supposed “luxury” products for the affluent masses, they are essentially “premium” products ─ otherwise known as “masstige.” The brands succeed at creating fancy designs and utilize expensive looking material to make their products appear very expensive which are then sold at a fraction of the price compared to genuine luxury brands in the same product category. Add clever window dressing and marketing and the result is that those products become affordable objects of desire. Unlike authentic luxury brands which are manufactured at their country of origin (mainly Italy, France or the U.K.), they are outsourced to low labour cost factories in Asia or Turkey. Despite this, they are given a premium markup which is intentionally done to create an aura of high value.

As long as there is a big demand for massitige products that its target market can afford and make them part of their social status and lifestyle, the category will be around indefinitely.

As a final point worth mentioning, at this day and age, there are luxury branding experts who claim that there are actually four categories of luxury: Old, New, Eco and Indie as exhibited in the following table (credit: David Sherwin). This translates into additional choices ─ categories to satisfy most desires.

Four Types of Luxury Chart

Add to FacebookAdd to DiggAdd to Del.icio.usAdd to StumbleuponAdd to RedditAdd to BlinklistAdd to TwitterAdd to TechnoratiAdd to Yahoo BuzzAdd to Newsvine

___________________________________________

Request your TWO FREE chapters of this popular book with no obligation.

 

Leave a comment

Filed under brand positioning, Branding, Business, country of origin, Luxury, Marketing, mass affluent, masstige, selling luxury, what is luxury, what is premium

Creating Purchase Desire by Means of Alluring Product and Package Design

by James D. Roumeliotis with contribution by Thomas C. Mylonas (Creative Entrepreneur & CEO of Dot Kite Design-Branding)

Add to FacebookAdd to DiggAdd to Del.icio.usAdd to StumbleuponAdd to RedditAdd to BlinklistAdd to TwitterAdd to TechnoratiAdd to Yahoo BuzzAdd to Newsvine

Fancy Food Packaging Design

Packaging for renowned chef Enrique Olvera by Ponxo Design (Mexico/Spain)

Beauty and design in all things is artistic, engaging, stimulating and creates a sense of comfort. It’s also a very personal thing. Creativity is beauty in art form. It starts from nothing, utilizes mind exploitation, imagination then something awe inspiring is produced which stimulates the mind and senses. Apple comes to mind, first and foremost as it has successfully created not merely electronic entertainment consumer merchandise, but products of desire which are visually appealing, user friendly and ergonomically designed through a minimalistic approach. Tesla Motors has not only created an environmentally friendly car but taken the mundane automobile to greater heights in design, functionality and gratification with the driving experience.

Done well, minimalism is highly nuanced and widely engaging as it’s a catalytic blend of functional essence and aesthetic elegance. Equally impressive in the design aspect was putting plenty of thought into getting its packaging right. The shape, details and texture of each package is just perfect and a unique work of art in its own right. It is quite evident that Apple and Tesla, amongst others, went above and beyond to get the overall product experience above and beyond customer expectations.

Innovation perception

What is design? In the simplest form, it is creating an aesthetically appealing and functional solution to a problem. Innovation has the same concept without necessarily having the creative appeal. Problems that design and innovation resolve vary from a product or service that functions poorly to not having enough market share. In that case, you innovate and design a new solution. Design and innovation are related at another level. If your company is designed in the right way, then it will stimulate innovation. This can be done by designing your processes so that:

  • Employees have the time to work on their own projects;
  • People are motivated to generate new ideas;
  • Others outside of the company can contribute (outsourcing);
  • You have time to listen to new ideas;
  • Experimentation and risks may be taken.

Investing time and money into new ideas may be the most difficult barrier to generating tangible solutions that can be executed. This is because most companies are averse to taking risks, especially large companies. However, once the processes in a company are designed so that new ideas can be followed up on, more ideas will follow.

Even though design is not so easily categorized, there are two main types of innovation; radical and incremental. One can also say that a new design is radical or incremental. An incremental innovation is basically an adjustment to an existing product or process while a radical innovation shakes up the entire product or process so that you will have something distinctive.

You cannot say that one form of innovation is better than another. It all depends on the market and how you communicate your new design. So, will a new design or innovation have a positive impact on your bottom line? No one will know from beforehand, but the most innovative and design conscious companies are doing well, even during an economic downturn.

Clever design significantly increases sales and improves brand performance

There are many ways of seeing the value of design. For instance, you can measure sales and relative value as an output of changes in design. Design can also improve your standing amongst rivals and give you a competitive advantage. The Design Council published a report where facts and statistics concerning the value of design are highlighted. One interesting statistic is that design conscious businesses can expect a return on their internal design investments as high as 125%. That’s quite an impressive return compared to other types of investments made in a business.

What may be obvious is that if you have high quality design, you do not need to compete with your competitors on price. If you design your product and/or service well, then customers will enjoy what you have to offer and continue to be loyal to your company – even if the price is higher than the nearest competitor. That’s because you offer something unique and of a higher standard/value.

If you would like to increase your market share, then being a design savvy business is a wise option. Businesses that did so increased their market share by 6.3% through design. This could be due to several factors, such as those mentioned above concerning the increased value of the product or the notion that you will set yourself apart from the competition.

Furthermore, companies that grow rapidly are almost six times more likely to see design as an integral part of their business compared to those companies that remained static. The effects of design are hard to see, but these hard facts prove the value of design.

Cutting into consumer indecision amongst the competition

When you head to the grocery store to pick up a product such as cereal, do you purchase the same one each and every time or, like many consumers, are you comparing and contemplating about which one to grab?

When presented with a large range of choices to fulfill a need, it is in human nature to become confused, thus the inability to quickly make a choice. When we spend too much time comparing the plethora of options we are presented with, the functional differences between each of them soon become blurry. Once the functional differences lose importance, the peripheral aspects take precedence. This means that whichever product’s ad, spokesperson, or packaging color stands out favorably in our minds will most likely influence our product purchase.

What does this signify for those responsible for branding and communications for such low-involvement products? The peripheral aspects must stand out for products in categories where the number of substitutes is vast enough to cause customer confusion close to the point of purchase. Axe, a brand of male grooming products owned by the British-Dutch company Unilever is a good example of this. Their marketing messages are well known and hold a great amount of recall. They are likely to be quite popular in the deodorant and body spray isle where men are faced with more brands than they can count. The functional superiority or inferiority takes a back seat in such a situation.

Those factors differ for high-involvement goods, such as in cars, watches and so on, where the customer is not likely to make a grab-and-go purchase. In these cases, functionality, brand values and associations begin to play a key role.

Product Industrial Design

Form and function

Product designers work on new products with two aspects in mind: functionality and aesthetics. Through their work, designers connect the industry with consumers by translating a concept into something that adds extra value to consumers.

A competent design team should have an excellent understanding of people, culture, and societies. This knowledge is applied to its deep knowledge about design and includes, but is not limited to:

– Materials
– Components
– Production techniques
– Practical experience
– Financial insight

In this way, products are developed that not only have an appealing design and bring out emotion, but are also practical and of high quality. The products will have the right combination of feel, detailing and ease of usage. Pricing will then determine the value equation. Here are sample ingenious packaging designs in the consumer goods sector http://bit.ly/1clAHSN.

Creative packaging leads to increased sales

Packaging is as important as product itself. The main objective of packaging design is attracting a buyer’s attention to the product. Along with making the product look amazing, it should prompt and influence the customer into buying the actual product as looks do matter. No matter how good the product is, if the packaging is dull and inferior looking it may compromise sales of its contents. Consequently, modern, creative and clever packaging design plays a major role in inspiring and selling any product. Packaging design should include labeling which expresses and communicates key information to the end-user such as benefits, product information, usage directions and perhaps a story.

Some consumer product companies are using a more educated market approach. For instance, to stand-out on the crowded supermarket shelves they introduce art in the printing of their packages and/or labels inviting the consumer to reach-out for the product to learn more about it.

A case in point, after more than two decades in the limelight, California’s Kenwood Vineyards‘ highly-acclaimed Artist Series Cabernet Sauvignon reigns as a premier marriage of fine art and fine wine. The combination of the fine art of wine-making with the work of contemporary artists creates an elegant, easily identifiable package, while promoting beautiful artwork at the same time. Other brilliantly designed wine bottles can be viewed at this link: http://bzfd.it/1AubMIH

Saddlers Creek Naked Wines minimalist design

Saddlers Creek Naked Wines minimalist design

Food and water product branding via brilliant packaging

Taking bottled water to a whole different level for uniqueness and attractiveness requires broad imagination and creativity if one is to turn an essential daily commodity to a product with a premium or luxury cache. The most common approaches to differentiating water that the marketing professionals apply are:

  • Fancy bottle and label packaging – shape/color/functionality
  • Source and story telling
  • Health qualities – promote fitness
  • Flavor enhancements – better tasting than plain drinking water
  • Ways to drink – creating a certain lifestyle
  • Adding unusual and compact/practical sizes
  • Limited price offers or bundling with other products
  • Solid and extensive distribution channel with retailers and institutional clients
  • Sponsorships for additional exposure and significant opportunities for distinct marketing

Here are several eye catching designs – some of which you may mistaken for premium vodka http://bit.ly/1HwA01J.

How about branding water and putting the world’s most expensive price tag on it predominantly by visual appeal and perception? That’s just what its founder and president, Kevin G. Boyd, did for Bling H2O which he labels it as “luxury” and charges about $44 per bottle. He has accomplished this through a clever marketing strategy such as:

– focusing on distribution of limited editions;

– creating a fancy glass water bottle to add cachet;

– conveying a glamorous story with his marketing messages;

– has celebrities sipping his water and as a result, gaining massive publicity.

Bling H20 bottle design (Image processed by Code Carvings Piczard)

Bling H20 bottle design
(Image processed by Code Carvings Piczard)

If that weren’t enough, Kevin Boyd introduced the Dubai Collection’s “The Ten Thousand” with a price tag of $2,600 per bottle. This item has over 10,000 hand applied Swarovski Crystals with each bottle custom made to order, numbered and comes with a pair of white handling gloves and an attractive case. There appears to be a market for it – albeit a very small one.

In food packaging, unique examples of standout and alluring packaging design with storytelling can be found with the following products:

Stylish yet environmentally friendly

With the rise of consumer protests and a heightened concern for the environment, many modern companies are responding these days by making every effort to produce both “green” products and packaging that is biodegradable or, at the least, recyclable. This includes the reduction of the size of its packaging and demonstrates eco-friendliness which can bolster their image and attract additional new clients – especially those who are environmentally sensitive.

“While eco-friendly packaging is a recent phenomenon, it is already a large and rapidly growing trend,” observes Susan Selke, Ph.D., acting and associate director of the School of Packaging at Michigan State University, East Lansing.

Some of the companies with well-publicized use of sustainable product materials and packaging are Nike, Starbucks, Estee Lauder, Unilever, Dell and Hewlett-Packard to name a few.

The way forward in product and packaging design

The approach to creativity is the way an artist might stand before a new canvas, on which a beautiful painting can be crafted. Staffs who work in a creative environment should be given plenty of leeway to utilize their full potential – the freedom to flourish. Not doing so limits their artistic talent and deprives the company from taking a leap at the competition.

By having a good understanding about materials, production techniques and manufacturers, striking designs can be created that assure loyal partnerships between consumers and manufacturers. This saves marketing costs in the short term and creates more stability in the long term.

The primary goal of packaging design is to entice customers’ attention. For this purpose, package designs cannot simply inform the customers, but also provoke feelings and communicate emotions. An effective packaging looks attractive, impresses with its creativity and not simply appealing to have on the shelf. As a result, it stands out in an increasingly competitive marketplace.

Design for Customers not Brands Quote

Product and packaging design should also clearly communicate a company’s brand identity. As such, the brand team should be asking: What is our product? What is its unique selling proposition (USP)? Who is our primary target client? What is our company’s mission and vision? Accordingly, the product and packaging design ought to be consistent with the brand identity, as they will help determine the size, shape, colors and materials used with the product and packaging.

Amongst other impressive statistics, stocks of design-led firms outperformed the FTSE 100 by 200%! That should be compelling enough to make product designs consumer appealing, along with practicality and quality built-in to them, precedence. If a manufacturer is to create and produce new products, as well as re-design/revitalize existing ones, why not put some creativeness into it, like industrial designer Philippe Starck, who turns mundane items into objects of desire or Apple who took personal electronic devices to an extraordinary level. It is the “wow” factor accompanied by emotionality in branding.

Add to FacebookAdd to DiggAdd to Del.icio.usAdd to StumbleuponAdd to RedditAdd to BlinklistAdd to TwitterAdd to TechnoratiAdd to Yahoo BuzzAdd to Newsvine

___________________________________________________

Request your TWO FREE chapters of this popular book with no obligation.

Leave a comment

Filed under 1, brand refresh, brands with sex appeal, catering to picly clients, package design, product design, sexy brands, total customer experience

B2B Sales Distribution Channel Options: Lessons learned from a CE Manufacturer – Case Study: Novero

Viewpoint by James D. Roumeliotis

Add to FacebookAdd to DiggAdd to Del.icio.usAdd to StumbleuponAdd to RedditAdd to BlinklistAdd to TwitterAdd to TechnoratiAdd to Yahoo BuzzAdd to Newsvine

If you are involved in B2B and are in manufacturing then your firm needs to carefully assess the most beneficial B2B distribution channel. It goes without saying that this should be done along with strong marketing support. A reasonable sales promotion budget should be put aside in order to foster brand awareness.

This also should include choosing among distributors, agents, retailers in addition to the firm’s own sales force (aka ‘direct model’ of distribution). The main advantage of a direct sales force is “control” and the ability to give direction to the sales team. The major disadvantage is overall cost.

Take the case of Novero. The following example highlights what can happen when the pieces of the puzzle do not gel coherently.

Novero, headquartered in Düsseldorf, Germany, is a manufacturer of premium and contemporary Bluetooth accessories. It was founded in 2008 via a management buyout from Nokia’s Mobile Enhancements division.

At the launch of their initial products, Novero had outsourced their sales team. This route delivered mixed results, directly proportional to the quality of the candidates hired by the outsourced sales and marketing services firm.

On the other side of the coin, Novero did not allow sufficient time (~ 4 months) to play out, or devote sufficient marketing resources, to making this approach work. On a short-term basis (>3 years) with uncompetitive products, high overhead, and lengthy sales cycle of outsourcing the sales team, the project was doomed from the start.

When Jarrod Stark, Director of Sales at Novero for North America, was asked which distribution channel to-date was the most effective, he replied:

“The distributor we signed up with, which specializes in consumer electronics and O.E.M partnerships, has been the most effective by far, and I would have gone with them from the start. The problem is that when we first started looking for distributors, Novero wasn’t willing to give them the necessary margin. It capped the ‘distributor margin’ at 12% globally, meaning that the higher percentages that certain distributors charge (off of wholesale) was a non-starter.”

He further added, “That distribution margin isn’t high because the distributors are being greedy, it’s the reality of a market where retailers demand significant MDF (market development funds) co-op programs and where sales commissions, warehousing, logistics, billing, and operational costs all need to be paid.“

Following lackluster sales, Novero relented and was finally able to put together a workable deal with its present distributor – at which point it shed its entire sales force.

However, it’s important to point-out that a manufacturer should avoid contracting with a distributor that uses more sub-distributors and layers in more costs. Since they carry so many brands and manage so many SKUs, products can get lost in the mix.

In 4 months time, Novero’s North American distributors were able to have their products in two big box stores in both the U.S. and Canada, as well as in about two dozen independents in both countries.

It’s not enough for any manufacturer such as Novero to simply focus on placing their products on the retail floor. An additional challenge is with ‘sell-through.’ Products can be placed on the shelf, but with inadequate marketing or advertising, and with products that haven’t generated ‘buzz’ on their own, overall product sales can remain below expectations.

Image

The Novero’s Case teaches that if a manufacturer does not have a branded name in the market place then partnering with a well-known reseller and/or a major distributor is a viable option. This should allow a firm to gain entry in the market place quickly and presumably at an optimized cost.

“So, where does Novero go from here?” Jarrod Stark pointedly asked.

“Steady as she goes. We’re concentrating on promoting the products that have the most traction at retail, build out our retail network, leverage social media sites to generate buzz, develop stronger sales partnerships, increase our online presence, and work with our retailers and distributors to respond more effectively to their feedback.”

One must keep in mind that resellers are usually selling other vendors products – and perhaps competing products. That said, manufacturers should be quite selective on who they choose as a reseller/distributor. The selection criteria should be by geography, customer type, industry or value proposition.

Needless to say, choosing separate reselling partners avoids overlap coverage.

As for compensating the resellers and/or distributors, they require a list price discount or volume scaled prices for the products that need to be sold. This reduces the manufacturers’ margin in the short-term, if not for long-term gain. These include promotion, training, returns, tradeshows/events, resellers’ activities, and marketing collateral. They are merely a few areas that should be factored into the overall financials to determine the actual profitability.

Controlling the flow of products and services from producer to customer requires careful consideration because it can determine success or failure in the market place.

Distribution strategy is influenced by the market structure, the company’s objectives, its resources and its overall marketing strategy. To take this scenario lightly is to put the firm at risk no matter how seductive or unique the product offers are. Careful planning and thought should go into the details to achieve the objectives, which should be clearly articulated from the start.

Add to FacebookAdd to DiggAdd to Del.icio.usAdd to StumbleuponAdd to RedditAdd to BlinklistAdd to TwitterAdd to TechnoratiAdd to Yahoo BuzzAdd to Newsvine

https://plus.google.com/u/0/118014688407975907991?rel=author

Leave a comment

Filed under Business

Defining the Luxury Brand

by James D. Roumeliotis

Add to FacebookAdd to DiggAdd to Del.icio.usAdd to StumbleuponAdd to RedditAdd to BlinklistAdd to TwitterAdd to TechnoratiAdd to Yahoo BuzzAdd to Newsvine

Open any quality fashion or lifestyle magazine, and you will see how brands conceptualize and package luxury. The hype is deafening, and in reality can be quite confusing. Everyone wants “luxury” brands, and from a marketing point of view defy sales trends and seem recession proof.

As consumers, we want to be made to feel special. Definitions of “luxury” can vary enormously and depend on who you ask and in what context. The term “Luxury” has never been something easy to define. It is in my view, a mysterious and elusive concept. Studies highlight that no one is immune and when properly executed makes products and services highly desirable by broad market segments.

To put things into perspective, I will discuss the nature of luxury, and how luxury and premium brands differ in the marketplace although both types of products and services can be targeted to similar audiences.

Why Luxury Brands?

Add to FacebookAdd to DiggAdd to Del.icio.usAdd to StumbleuponAdd to RedditAdd to BlinklistAdd to TwitterAdd to TechnoratiAdd to Yahoo BuzzAdd to Newsvine

YOU CAN READ THE REMAINDER OF THIS SUBJECT MATTER IN THE BOOK “ENTREPRENEURIAL ESSENTIALS: UNCONVENTIONAL BUSINESS WISDOM AND BOLD TACTICS

For a no obligation FREE preview (2 chapters), kindly click here.

6 Comments

Filed under Branding, Business, Luxury, Marketing

Demonstrate Rather than Tell: How experiential marketing is creating a sea-change in the world of branding and advertising

by James D. Roumeliotis

Add to FacebookAdd to DiggAdd to Del.icio.usAdd to StumbleuponAdd to RedditAdd to BlinklistAdd to TwitterAdd to TechnoratiAdd to Yahoo BuzzAdd to Newsvine

Ask any consumer what they think of all the advertising messages they are exposed to on a daily basis and chances are the majority, as most surveys have revealed, believe there is far too much advertising noise – whether offline or online. A sizable percentage of consumers have also admitted that they avoid purchasing products that over-advertise.

Several months ago, I attended a local conference organized by a Canadian marketing group. I was drawn to one of the key note speakers, in particular, who made a compelling presentation on the benefits of “experiential marketing”. To me this clever approach was the antithesis to traditional advertising which is generally a monologue. Rather than sell the features of products or services, you apply innovation to draw your ad audience’s full attention to your wares. What’s more, this tactic builds brand awareness which settles longer in the mind of the consumer – allowing people to experience the benefits for themselves. As consumers are bombarded with multiple messages daily, companies ought to find a way to keep their brands top of mind and earn loyalty.

Add to FacebookAdd to DiggAdd to Del.icio.usAdd to StumbleuponAdd to RedditAdd to BlinklistAdd to TwitterAdd to TechnoratiAdd to Yahoo BuzzAdd to Newsvine

YOU CAN READ THE REMAINDER OF THIS SUBJECT MATTER IN THE BOOK “ENTREPRENEURIAL ESSENTIALS: UNCONVENTIONAL BUSINESS WISDOM AND BOLD TACTICS

For a no obligation FREE preview (2 chapters), kindly click here.

Leave a comment

Filed under 1, Branding, Business, Marketing

Ambiance Marketing: A multi-sensory approach to attracting and retaining clientele

by James D. Roumeliotis

Add to FacebookAdd to DiggAdd to Del.icio.usAdd to StumbleuponAdd to RedditAdd to BlinklistAdd to TwitterAdd to TechnoratiAdd to Yahoo BuzzAdd to Newsvine

The dictionary conveys to us that “ambiance” is “the character and feeling of a place.“ A place which wants to attract the most discerning souls, should be unique and embody a complete lifestyle concept which combines a relaxed, spiritual ambiance amongst an elegant setting and decor with attention to detail. Staging an impressive, well executed upscale event, such as a product launch or promotion takes creativity, organizational skills, as well as savoir faire.

Pleasing hors d’oeuvres and drinks prepared and presented with pizzazz are complemented by soothing music which is also an integral part of the ambiance and ranges from classic music to smooth jazz or chill-out rhythms. The attractive, smiling and well mannered staff is dressed stylishly.

All of these elements combined will, undoubtedly, seduce the senses and generate good vibes along with positive memories created. This principle applies equally well to business establishments and brands and includes boutique hotels, restaurants & bars, fashion boutiques and other upscale business establishments. In marketing, a multi-sensory approach is proven to increase sales.

To be effective, the use of an integrated approach is essential across various touch points with the purpose of engaging customers.

Today, consumer purchase decisions are increasingly driven by consumers’ hearts. With ambiance marketing, a custom designed attractive setting – yet alluring with captivating style, invites customers to truly feel the brand experience by adding character. This is accomplished by connecting the emotions to a product or service, and infusing it with a tangible and intangible essence that remain in the customers’ minds.

The ambiance you create is one of your best marketing tools. The aesthetic appeal to human senses, the feel of your business and the brand you create is your image. Along with great service, it is one of the most important reasons customers will choose you over the competition.

CONTACT ME to receive a complimentary slide presentation on “Ambiance Creations: exploiting the 5 senses to attract and retain customers.”

Add to FacebookAdd to DiggAdd to Del.icio.usAdd to StumbleuponAdd to RedditAdd to BlinklistAdd to TwitterAdd to TechnoratiAdd to Yahoo BuzzAdd to Newsvine

YOU CAN READ THE REMAINDER OF THIS SUBJECT MATTER IN THE BOOK “ENTREPRENEURIAL ESSENTIALS: UNCONVENTIONAL BUSINESS WISDOM AND BOLD TACTICS

For a no obligation FREE preview (2 chapters), kindly click here.

3 Comments

Filed under 1, Business

Marketing Strategy v. Public Relations – In Tune With The Times

by James D. Roumeliotis

Add to FacebookAdd to DiggAdd to Del.icio.usAdd to StumbleuponAdd to RedditAdd to BlinklistAdd to TwitterAdd to TechnoratiAdd to Yahoo BuzzAdd to Newsvine

PR and inbound marketing aligned

THERE’S A FALLACY that most public relations firms do PR. Essentially they do publicity. How’s that possible, you ask? Well, this according to marketing gurus and what’s stated in Wikipedia (as follows): “Public relations and publicity are not synonymous but many PR campaigns include provisions for publicity. Publicity is the spreading of information to gain public awareness for a product, person, service, cause or organization, and can be seen as a result of effective PR planning.” PR, then, is the creative strategy of a story. It’s focused on its intended audience and with the full utilization of the tools at its disposal, such as press releases, speeches and public service activities amongst others, can determine what and how people talk about a company, a brand, a product.

Add to FacebookAdd to DiggAdd to Del.icio.usAdd to StumbleuponAdd to RedditAdd to BlinklistAdd to TwitterAdd to TechnoratiAdd to Yahoo BuzzAdd to Newsvine

YOU CAN READ THE REMAINDER OF THIS SUBJECT MATTER IN THE BOOK “ENTREPRENEURIAL ESSENTIALS: UNCONVENTIONAL BUSINESS WISDOM AND BOLD TACTICS

For a no obligation FREE preview (2 chapters), kindly click here.

Leave a comment

Filed under 1

Branding Strategies for a Fundamental Differentiation

by James D. Roumeliotis

Add to FacebookAdd to DiggAdd to Del.icio.usAdd to StumbleuponAdd to RedditAdd to BlinklistAdd to TwitterAdd to TechnoratiAdd to Yahoo BuzzAdd to Newsvine

Most businesses have an opinion on what branding constitutes, though how do you go about standing-out apart from similar product or service categories? Let us begin the thought process on this issue by first looking at what the word “Branding” is defined as in the Cambridge English dictionary. “Branding” is “the act of giving a company a particular design or symbol in order to advertise its products and services.” Sounds very simplistic. However, we know that it takes plenty of thought, creativity and flawless execution to truly define a brand which radiates externally to produce notable customer experiences. A brand is essentially an intangible asset which is injected with personality – values that consumers like and can relate to. Moreover, a cleverly created and executed branding strategy develops an intangible association with consumers

Defining the Brand
We start with the idea of what we want the product, service and its respective company to be perceived as. What do you want it to represent? Specifically what category does it belong to that will be in the consumers’ mind? Defining your target market too will help to strengthen the brand’s effectiveness. Explain what your brand stands for and why it is better than the competition. This is where you execute your brand communications. Commonly used methods of brand communications include advertising, events, sponsorships, promotions, direct marketing, customer relationship management programs and public relations. In defining who your brand and your audience is, you create the foundation for all other components to build on. This requires a distinctive brand vision, positioning, personality and affiliation for the product/service. Those are crucial factors that will make it truly unique. Proper branding can also get you out of the commodity trap and attract value in terms of higher pricing.

Customer Experiences
This is what truly creates differentiation from mass and from competing brands. The key objective is to create a relationship of trust. The world’s powerful brands establish trust and friendship with their customers. They develop emotional capital, and gain passion. This is what makes them great. A brand’s image is how consumers perceive it and this may not be the same as how the owner wants it to be seen. It is important to note that without a premium product or service quality, a strong brand image is difficult to create.

Every customer contact (“touch points”) should be handled with the utmost care to ensure that the total brand experience a person has is consistent. This involves properly training and occasionally evaluating employee performance and when necessary, changing strategy, systems, technology, methods, services, products and even physical premises to produce a positive customer experience. Complacency should be replaced with continuous improvement.

Standing-out from the Crowd
Brands can’t stand out by blending in. They need to be distinctive, compelling, create buzz and call for action. Advertising in almost every industry appears to look the same. Visually distinctive brand features enhance customer recall and positively influence intent to purchase. “Advertising” creates attention and promotes an image and the brand. On the other hand, “Marketing” compels someone to buy. Since we’re constantly bombarded with advertising, it’s important to cut through the clutter. You only have one or two seconds to grab the attention of your intended audience. Compared to your competition, take an unusual approach by being first, different and bold in the way you create and deliver your message.
Marketing campaigns should have elements of:
 Imagination
 Mystery
 Memory

Whether a product or service is a luxury brand or falls into another category, it is how you stand out from the crowd that distinguishes you. Know your target audience, get inside their heads and understand how they think and feel. What are their fears, emotions and anxieties? It’s not just about demographics, it’s about neuro-psychology. Once you have this down pat, you then manage the brand consistently.

YOUR COMMENTS/OPINIONS ARE WELCOME.

Add to FacebookAdd to DiggAdd to Del.icio.usAdd to StumbleuponAdd to RedditAdd to BlinklistAdd to TwitterAdd to TechnoratiAdd to Yahoo BuzzAdd to Newsvine

 

Leave a comment

Filed under Business