Showing posts with label Retail marketing. Show all posts
Showing posts with label Retail marketing. Show all posts

Monday, October 11, 2010

Gap: "We have a new logo?"

This is part 2 of 2-part blog about Gap and their recent logo redesign. Part 1 focused on the design itself. This part focuses on the roll-out of their logo redesign.


"We have a new logo!"

"We have a new logo?"

How would you rather announce to the world that you have a new logo?

Gap appears to have taken the timid, experimental, almost apologetic approach to a logo redesign.

In a recent Advertising Age article, Gap's spokesperson: 1) confirmed that the new logo was NOT a joke (as many people believed), but more importantly 2) confirmed that they had planned all along to roll out the new logo by placing it on their North American web site... ONLY.

That's just the wrong way to roll out a logo redesign.

It's as though they're standing outside of the meeting room, sliding the idea under the door, then listening through a glass pressed up against the door to see how people will react.

Now they've gone so far as to: 1) admit it was experimental in nature ("to monitor responses") and 2) write a FaceBook post that solicits new logo ideas!

As though they burst in to the meeting room yelling "Psych! We weren't really going to do this!" when they really were.

Now it just so happens that the design is in fact poor, and that the response has been overwhelmingly negative, so they've paved the way for retracting their new logo experiment without too much invested. But they were setting themselves up for failure by the method of the roll out.

They didn't do anything other than post the new logo on the web site. Their corporate FaceBook page had the old logo. And the challenge page (where you select your country) on the web site even had the old logo!

Exceedingly poor execution of a strategically monumental undertaking, with an overwhelmingly negative impact on their brand reputation.

LESSON FOR BUSINESS OWNERS / EXECUTIVES:
  • Create a detailed, coordinated, thorough (internal) roll-out plan (including FaceBook page updates!) for re-branding roll-outs
  • Have a similarly coordinated internal communications plan
  • Have a similarly coordinated media launch
  • Announce your new logo with pride and conviction!

Friday, August 27, 2010

How to steal customers from your competition (or in this case, how NOT to)

If a competitor of yours screwed up and that customer came to you looking for help in fixing the mistake, what would you do?

Today I was getting a haircut and I overheard (not that it was hard - they were NOT being discreet... that's a whole other issue) the staff talking about a person that had their hair dyed at a competitor, but it turned out green by mistake. I gather that the competitor couldn't fix the problem, so the customer - let's call him/her Kermit - called the barber shop I was in looking for help.

Each staff member was quite adamant that they did NOT want to try to fix Kermit's problem, citing the potential damage to their reputation if they were unable to fix the problem.

Come again?!?!?

Let me see if I got this straight: A potential customer has come to your door, asking to give you money and be the hero that your competition couldn't be... and you turn them away?

They were worried that their reputation would be tarnished if it didn't go well, and that it would be a waste of product.

HUH?!?

Tell the customer you will do your best, but there are no guarantees in a case like this, then give it a shot! If it doesn't work, it's not your reputation that's tarnished. It's still the competitor's problem (which they couldn't fix either). Sure, you used some product and some time, but Kermit PAID FOR THAT! You're no worse off then before you started. And in fact, TURNING THEM AWAY IS THE BEST WAY TO RUIN YOUR REPUTATION! That would be admitting to this potential customer that you are just as inept as the first shop.

Imagine if it works and you fix the problem! You can't buy that kind of press!

Now think of what Kermit is saying to his/her friends right now: 1) Barber shop A screwed up. 2) Barber shop B wouldn't help me. Do you think that's doing you any favours? Nope. Now think of what Kermit would say if you were the hero!

In an economy that's so tight, you have to fight for every last customer.

TAKEAWAY FOR YOU AND YOUR BUSINESS:
  1. Do a better job than your competition.
  2. When a potential customer comes to you asking to give you money, say 'yes'. Even if you don't want to. The downside of turning them away is FAR greater.
  3. Empower your employees to think up reasons to take on more business, not shoo it away.

Your turn: You know where I stand on the issue. How about you? Do you think the risk is greater than I do?

Thursday, February 11, 2010

How to give yourself a BAD reputation

I talk a lot about the importance of effective brand management to my clients, because it's arguably the most important element of your corporate marketing.

Your brand is the collection of words, thoughts and impressions that pop into the consumers' mind when they hear your name. Everything you say or do reflects either positively or negatively on your brand. You could have the best advertising in the world but if your brand image is poor, you won't be successful.

Case in point: McDowell Ovens.

They make bread crumbs. At Sobey's at least, they have great shelf space which, for packaged goods companies, is one of the most important marketing strategies.

But look closely at the package: "For all your bread crumb uses."

Wow - what a revelation! Here I thought I should use bread crumbs for non-bread crumb uses! (that's sarcasm, in case you didn't catch it)

Packaging (and specifically, what you put on the package) is also a key marketing strategy for packaged goods companies. They had an opportunity to write anything they wanted on their package, and they chose that ineffectual statement. This packaging decision damages their brand. All the good they did for their brand by obtaining key shelf space is undone by their packaging laziness.

I bought a competitive brand.

THE TAKEAWAY FOR YOU:

The lesson for ALL businesses (packaged goods or otherwise): please, please, please look at ALL you do (from packaging to answering the phones) and consider whether you are enhancing or damaging your brand reputation.

HAVE YOUR SAY:

Any other examples of exceptionally poor or exceptionally effective packaging?

Wednesday, October 28, 2009

Worst flyer EVER?

I wish this wasn't real.

It's sad to me (as a Marketing Consultant) that this would even happen. That something so truly fundamental could be overlooked.

As you flip through this flyer, there is NO WAY TO CONTACT THE COMPANY!

No phone number.

No web address.

No street address.

Nothing.

Nothing on the inside pages. Nothing on the back cover. Nothing.

So as a consumer, if I am at all compelled to respond to this flyer (which I received in the mail), I would have to Google the company name (McNain TV and Communication) and try to find them. Do you think ANYONE would do that? NO!

It would appear that they are assuming we already know how to contact them! What a colossal blunder. I live in their retail footprint, and I have never even heard of them (I Googled them out of sheer morbid curiosity - they have 4 locations in south/central Ontario). And I'm in their target market (I buy too many electronics products).

In some ways I'm sad because it's possible that my profession - the collection of marketing advisors across the globe - has failed them somehow. How could they not have known to include this information?!

Imagine building a car with no ignition.

And it gets worse: a graphic designer likely did the layout for them and didn't notice it or say anything, and someone obviously printed it and didn't notice it or say anything either.

It's just sad all around.

I guess I have more work to do! To spread marketing best practices across the country!

At least now I know where to start.

Tuesday, July 21, 2009

Zellers sets a new standard for terrible

This is www.zellers.com...















So let's reflect on this for a minute...
  • Approximately 95% of the space "above the fold" on the home page has nothing on it
  • Approximately 75% of that space is just BLANK
  • I can't find any sort of catalogue (just the recent flyer) or list of products they sell
  • I can't buy anything online
  • The home page seems to want to promote their specials, but they don't update it often enough (that Sung promo's been there for a WHILE)
Sure, maybe they want to drive shoppers to the physical store, but COME ON. You mean to tell me that you really don't want any business from the MILLIONS of people that shop online?

The reason I saw this in the first place is I am in the market for a new flat screen TV. Zellers has an electronics department. And TVs are a big ticket, big margin item!

No catalogue.

No ability to shop online.

I took my hundreds of dollars somewhere else.

Monday, June 1, 2009

Take that big box part 2 - bike shop alive and kicking.

Small, local business success story #2.

Totally Spoke'd here in Stratford.


Bicycle shop - pure and simple. Quality, selection and all that, but above all, a crystal clear position the market. I took my daughter's birthday present in today (bought it from Direct Buy - more on them in a later post) to be tuned up before she started riding it. The guy I talked to summed up their story succinctly and effectively: "95% of the bikes we fix here are from big box and department stores."

That says so much, don't you think?

They are the Un-Canadian Tire. The Un-Sears. With those simple words they solidified their position as the place to go if you want a GOOD bike.

You can say a lot by saying what you're NOT.

So, let's take a snapshot of their success:
- Good retail location... check.
- Good product... check.
- Clearly defined offering... check.
- Clear positioning in the market... check.
- Unique/differentiated... check.
- Appropriate marketing tactics... check (good sponsorships in town).
- Pricing to support positioning... check (they aren't the cheapest).
- Uber-consistency in message...check.

Oh, and by the way, I took the bike in today (Monday). They told me I could pick it up on Wednesday. They called THIS AFTERNOON and said I could come pick it up. Imagine that, they over-deliver as well!

I think what this example shows, as does the other one, is that you have to be so thoughtful, relentless, clear and consistent to really be strong.

How is your company's "checklist"? Can you stand up against these guys?

Sunday, May 24, 2009

Take that big box! Toy store alive and kicking.

Yes, big box stores and national chains have made it exceedingly difficult if not impossible for the small, single location, specialty store to survive.

But some do.


Family and Company in my home town of Stratford, Ontario, for one.

Family and Company is a toy store - pure and simple. They face just as much competition as any other specialty store would. Perhaps more. Imagine competing against the likes of Toys R' Us, Walmart, eBay, Zellers/Bay and more. To be a successful David among Goliaths like these you have to be TRULY UNIQUE. Consider these examples:
  • They gift wrap, but not with normal gift wrap. It's a bag with loads of ribbon and decorations, additional toys thrown in (which the kids can pick out by the way), unique decorations, and branding, of course.
  • They hold regular magic shows.
  • Almost every toy has one opened sample for the kids to play with.
  • They carry toys that no one else does. Those truly clever toys that just may not have widespread popularity or, more likely, distribution.
  • They have tons of kids walking around (in uniform) playing with the kids and offering advice on which gifts to buy.
  • They have a small patio outside where entertainers sometimes perform.
Imagine any of those things happening at Walmart.

In addition to their uniqueness, they have also covered all the marketing fundamentals (relevant to them):
  • Prime location in heart of downtown.
  • Every receipt comes with a flyer attached highlighting upcoming events, sales and specials.
  • Extended hours in peak seasons.
  • Relentless focus on the kids.
So here's the lesson for the specialty shop:
  1. Address your marketing fundamentals.
  2. Be TRULY, OBVIOUSLY, MEMORABLY UNIQUE.
  3. Be relentless.
  4. Be creative.
They remind me of the "Shop Around the Corner" from the movie You've Got Mail. Of course, that store had to fail against the mighty Fox Books for the storyline to work, but I wonder what would have happened to a store like that in real life. They had some uniqueness (storytime for the kids), but not as many as Family and Co. They had some fundamentals covered (location), but not all of them.

I think that's a lesson for small retailers too: You can't hang your hat on one or two differentiators. You have to really stand out.

But if Family and Company gives us anything, it gives us hope.

Tuesday, March 24, 2009

Rip-off of the century!

This example of price gouging was so offensive, I thought it must have been a mistake!

Shame on you, Suncoast Energy.

Suncoast Energy operates a gas station close to the Orlando airport. I stopped in there yesterday to fill up the rental car before returning it, only to notice that the price was $3.99 per gallon!

No, that's not a typo, that was $3.99 per gallon! (Canadians: imagine gas at $1.90 per litre)

I thought for sure that they must have set the price wrong on the pump. I even went in to the store to confront the cashier (not that I was expecting her to do anything about it). She said the price was right. I reminded her that gas is, on average, about $1.99 per gallon right now. She said... are you ready for it... "We charge that much because we're the closest gas station to the airport".

WHAT!!!!????

I was immediately offended. How could they assume I would be so stupid as to pay more than double for a commodity product (87 Octane gas is basically the same no matter where you buy it)?

They are obviously deliberately price gouging. They assume people filling up on their way to the airport won't notice the price until they finish filling up and realize they paid double what they usually pay. By then it's too late - they have to pay. They are also assuming people aren't willing or able to go anywhere else (there was another gas station ONE BLOCK away - $1.92 per gallon). Get this: they don't even have a sign by the side of the road (like EVERY other gas station in the world does) because they're worried people might notice before they pull in to the station. Wait - there's more! You have to pre-pay!

I understand the concept of premium pricing as much as anyone... but not for a commodity product! If you have a clearly superior product (think Ferrari, Rolex), then premium pricing is expected. For commodity products (think paper, fast food), there can be minor fluctuations in pricing (usually related to location or packaging), but not double! The gas station near our cottage is the only station for at least 25 kms, so we're forced to pay about 10% more. We don't like it, we complain about it, and we try to fill up elsewhere because we know gas is gas is gas. I can't even imagine paying 108% more. The gas station would go out of business. I certainly hope that fate comes to Suncoast Energy.

They're clearly trying to capitalize on consumers' need for convenience, but to an offensive level. They're manipulative. And in this economy, their audacity sickens me.


Have your say: I dare you to think of a worse example.

Thursday, February 19, 2009

C'mon DQ, don't be THAT cheap!

Here's a picture of an ice cream sandwich I bought from DQ recently. Perhaps this is just an anomaly, or perhaps they decided to cut corners a bit by decreasing the amount of ice cream in the sandwich. Either way, it illustrates the potential damage of cutting corners in your product manufacturing.

In this case, I am expecting an abundance of ice cream. Why else would I pay so much for a sandwich full of calories?! This allotment of ice cream is inadequate. If your product does not match your customer's expectation of it, you fail! The damage to your brand far exceeds any cost savings you've squeezed out.

In DQ's case, they may have been able to add $0.02 to the bottom line by cutting ice cream costs, but they lost a customer and all the profits I might have contributed to the bottom line, which would have far exceeded $0.02. Who knows, as a result of this blog post, they may have even lost more customers!

Don't cut corners. It damages your brand irreparably and costs you more in the end.

Have your say: Other examples of products or companies cutting corners?

Friday, February 13, 2009

If it weren't for their spinach dip, I'd never go to Kelsey's again

I ripped Kelsey's in an earlier post for their lack of creativity (by using the Cheer's theme song) and it would seem their marketing laziness continues.

I heard a radio spot today which described some of life's great (pleasant) surprises, including rekindling an old romance, or... wait for it... discovering that Kelsey's has all-you-can-eat wings for $15.99.

And they were serious!

Are you kidding me?

They're trying to tell me that I should be just as excited about $15.99 wings as I should be about rekindling an old romance! Never in a thousand years Kelsey's!

If they were being sarcastic, I might have bought it. Instead, they just come off as ridiculous. Is that really the best they can come up with? I'll never equate those things, and worse yet, $15.99 isn't even that much of a deal! Give me an all-you-can-eat wings offer of $5.99 and maybe I'll be somewhat surprised, but still not as much as they claim I should be at $15.99.

When your ads are this ridiculous, you accomplish nothing but damage to your brand (see Bad Boy Furniture).

Have your say: What are the cheesiest ads of all time?

Sunday, November 16, 2008

Make money, not excuses

Dollarama is going to be the unfortunate brunt of my wrath with this post.

Not that I buy much from Dollarama (OK, I do! Busted.), but I was in there yesterday because I needed change: coins for my kids' allowances. Now ordinarily I don't like to ask for change from a retailer without buying something. I just think that's a common courtesy. So I bought a pop for $1 and asked for the $9 change to come in loonies and toonies.

Here's what they told me: "We're low on change - it's the weekend you know."

Are you kidding me?

They (I say 'they' because both the cashier and some sort of supervisor were involved in this exchange) said it in a tone as though I was supposed to know that on the weekend, change would obviously be in short supply and that I shouldn't expect any. Well, here are the problems with that:

1) If you know you're going to go through more coins on the weekend, PREPARE FOR THAT! Get more rolls of coins! It's not hard. You're not out of pocket any more than you would already be. It's just a difference in denomination!

2) Don't, don't, don't talk to your customers in a snippy voice!

I didn't buy the pop. I went somewhere else.

So now, instead of buying a pop and going on with my day, I decided not to buy the pop and proceeded to trash the company in a blog. And I probably won't go there again. Imagine if that was your company.

The point is: think like a customer and prepare as much as you can to meet their needs. It's not hard, and it matters.

Thursday, August 21, 2008

Spotted: the elusive online impulse buy!

A shout out to TGW (The Golf Warehouse) for doing what you're supposed to do in a checkout lane: promote some offers to inspire that impulse buy! You see it everywhere in offline commerce: supermarkets offering tabloids and chocolate bars as you wait in the checkout lane; golf retailers offering golf coupon books and discount boxes of balls at the cashier; book stores offering CDs and gift cards; and so on.

Sadly, though, this simple, effective marketing tactic has not, for the large part, crossed the line into online checkouts. With the rare exception, when you buy something online, you go through the simple process of checking the order, confirming the address, entering payment information, and confirming the sale. Where is the cross-sell / up-sell?

Some sites are OK at it. Online books stores, for example, have at least figured out the "people that bought this also bought..." tactic, which is very effective. But take a look at your online checkout process, and see if it comes anywhere close to TGW's

Some may argue that this is a bit invasive. But in this case, invasive works. You might be irritated somewhat, but how hard is it to simply scroll down if you're not interested? And it's a lot easier than sitting through commercials, for example.

Better still, a portion of online shoppers might actually buy more product! I'm guilty - I bought a golf glove and subscribed to their free magazine offer during the checkout process for the golf balls I bought. See, it works!

MOST companies offer no impulse buy options in their online checkout. SOME companies have at least taken a stab at it. But the RARE FEW market leaders, like TGW, have really figured it out.

Where do you stand?

Thursday, July 10, 2008

Would someone please sell me something!?

Fireworks! Canada Day weekend! You can feel the excitement in the air - people are buzzing, crowds are building... and we all sit there waiting.

There must have been a couple thousand people at the fireworks display in Tobermory this past July 1. The posters on the streetlight posts tell you to arrive at 9:30pm. We all show up at 9:00pm because we want the best seats. And the show doesn't start until 10:15pm. So what happens in the 75 minutes between when we all arrived and when the show begins? NOTHING!

Of all the retailers in town (the fireworks were held in the harbour - the centre of town), not one was open (except the bars), and not one tried to sell me anything.

How hard would it be for the local BeaverTails (to die for!) franchise to send someone around with one of those trays that you can carry around your neck (like the popcorn guy at hockey games) selling ready-made BeaverTails for $5 each? They would have sold 1,000!

How hard would it be for the Fish and Chip Place (yep, that's the name of it, and I think it's a good one for that matter) to stay open an extra 2 hours? They have an outdoor deck that is a prime viewing location for the fireworks. So instead of staying open until 11:00 and selling us all a whole pile of fish and chips and drinks, they scurried everyone OFF the deck so they could close by 9:00. I would have advertised "Watch the fireworks here!" all week long. Would have taken reservations, and filled the place until 11:00 (or even later). Would have been the best night of the summer!

Please, I'm begging you, sell me something! When you're in business, you have to keep thinking: 'how can I sell more today?'

Working IN your business means closing up on time. Working ON your business means staying open two extra hours so you can have your best night of the year.


Tuesday, June 17, 2008

Great golf, lousy marketing

Today I noticed, as I was traveling along the 401, a huge flag at Puslinch Lake Golf Course that read "GREAT GOLF"... and that's it. Now, I knew it was Puslinch Lake because I happened to play there two days ago. But they have raised that flag to advertise their course to all passers by. Great idea because it's a huge audience (more than 500,000 cars per day) and because a good potion of them will be potential golfers.

But what if someone was actually interested in golfing there based on the flag? Only a small handful of the potential audience would know which course that was! No phone number on the flag. No web address. Not even the name of the course! They're saying 'come golf here, but you have to guess where here is'.

What a waste.

We work so hard in marketing to convince people to try our products. You CAN'T make it hard for them to figure out how to get it! In fact, you have the burden of making it EASY.

Have your say: In an earlier post, I gave an example of how easy VISA made it for online shoppers to apply for a card. What are some other examples of companies making it easy to try a product?

Wednesday, June 4, 2008

Put up a sign, would ya!

Kudos today go to Rexall Pharmacies.

The other day I noticed that they are currently constructing a large new retail location in London, Ontario, on a fairly busy street that many commuters take to get downtown every day. One of the first things they did was construct their permanent pole sign.

If you're constructing a retail location, your sign should be the first order of business. We are all inherently curious and even nosy. All too often I notice a new building going up and wonder to myself "I wonder what that's going to be?" Construction takes several months, and if you don't have a sign up, that's several months of missed marketing opportunity.

Put the sign up. Get people talking about your business ("Did you notice there's a new ___ going up on ___ street?"). People love talking about that stuff, especially locals (who are usually the most important people for retail locations). It lets people know that your business is successful and expanding. You could even use the sign to build up anticipation for a coming event, such as a grand opening (also very important for retail locations).

This is an easy one folks - don't miss the opportunity to market your business.