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Blog Stuff

Microsoft's New XNA Game Studio Express Offers Unique Oportunity

I have to say that I love the trend of democratization that technology is bringing. Anybody can put up a blog, a web page, video on YouTube, a MySpace profile. Any some stuff out there is actually quite good. Along with this comes new opportunities for small to medium businesses to promote themselves.

The key is content

Remember the old time radio and TV shows that were not only sponsored by, but produced by the advertisers? You might have the Camel cigarette variety hour, for example.

I believe that this trend is coming around again, as soon as businesses figure out how to capitalize.

Microsoft has announced the launch of its XNA Game Studio Express. For a license fee of $99, the tool will allow those with some programming experience to create and distribute their own rudimentary X-Box games. So what?

Well, imagine a smart small business that teams up with a local high school computer science lab. The small business provides the licenses and maybe some instruction, and the high-schoolers could compete in teams to create branded games to distribute. The prize could be a small scholarship, but the learning experience would be invaluable.

Now you have a game - developed at very low cost, and distributed on a popular game console. The game would carry the brand of the company and, if it's good, possibly bring global viral attention to your business.

This is a plan that is eminently achievable, and would undoubtedly generate secondary press for a company that handled it well.

With this new set of tools, Microsoft has promised that simple games could be developed in a matter of weeks not months. I am sure that other console makers will be soon to follow suit - if they know what's good for them.

In any kind of sponsored content endeavor it's really important to remember that if the content appears too much like an ad - it will not get nearly the attention that it should. Think product placement in movies.

I am excited about anything that gets people to think creatively. I think the XNA Game Studio Express may be a fantastic opportunity for some smart smaller businesses.

J D Moore - Marketing Comet

A Fabulous Promotion

Today I had lunch with my wife on Newbury Street, Boston's swankiest shopping district. We passed by a women's clothing store that I felt was running one heck of a promotion. With a little creativity, you can apply their idea to almost any business.

The sale was called the BFF sale. BFF is female slang for "best friends forever" The promotion is that if you bring in your BFF (really you can bring in anyone) you both get 25% off when you buy the same outfit. Brilliant.

What makes this such a great promotion?

First, rather than just a sale, it encourages two sales.

Second, it takes advantage of the fact that many women shop with their friends as a social activity.

Third, and perhaps the most powerful part of the equation, it utilizes social pressure. You can easily refuse a pushy sales clerk, but it's less easy to resist your friend who's begging you to get the same outfit.

"Bring a friend with you" promotions aren't new, but I don't see them executed as well as this one. He store had huge signs in the window that explained the promotion in one sentence of about 10 words. You don't want a promotion that's too complex for people o figure out.

Think about how you might double a few of your transactions with a promotion like this one.

J D Moore - Marketing Comet

Clean Bathrooms as a Marketing Tool

My wife and I travel to Maine often to visit friends and family. There is a chain of gas stations called Blue Canoe (how cute) that are run by the Irving company up there. We almost always (99% of the time) stop at a Blue canoe in Falmouth to gas up, get soft-drinks, and do our business. Why? Immaculate rest-rooms.

How many public restrooms have you been in that were a disaster? And don't they give you a horrible impression of the establishment?

I can tell you that one of the swankiest malls in Boston has filthy, foul-smelling bathrooms. It's one of those places that you need a second mortgage to buy a pair of shoes. You can't tell me that the can't afford an extra few hundred dollars a week to keep their bathrooms spotless. It's simply laziness and a lack of appreciation for the fact that every shopper - even the wealthy ones - have to pee.

As a marketing tool, a gas station with an sparkling rest-room is a huge differentiator. I can tell you that there are frequently lines to use the rest room at this gas station, and everybody is getting gas and snacks while they are there anyway. I have never seen anything like it at any other gas station.

The Blue Canoe stations boast that they check their bathrooms every half an hour (and I bet they do). They have a suggestion box inside the bathroom. The bathroom is incredibly clean, comfortable, and tastefully decorated. At Christmas, there were even decorations in there.

Does it make a difference to me? Absolutely. I can get gas almost anywhere, but why not stop in where my wife and I can use the bathroom and not have to hold our breath or feel like we've contracted the creeping crud?

On top of this, the Blue Canoe employees are extremely courteous and go out of there way to give extra service. One of the cashiers got me  liter of diet Pepsi from the back because they were on special and were out in the front cooler. Here's a company that understands that, in a commoditized industry, customer experience counts.

In Boston, Hess gas stations get the big thumbs up from me for excellent customer service. Given the 6-7 vendors I can choose to get gas from around my home - I nearly always choose to go to Hess.
Customer experience marketing translates to dollars on your bottom line. It isn't that expensive to keep a bathroom clean, or to set policies and train for customer service.

Make your customers enjoy doing business with you. It seems like common sense, but unfortunately almost nobody gets it. Customer experience is in short supply. The good thing is that you can easily outshine your competition with very little effort.

J D Moore - Marketing Comet

Viral Marketing - get Your Customers To Do Your Marketing For You

It's one of the latest marketing buzzwords: viral marketing. If done correctly, viral marketing is one of the least expensive, but most effective ways to build word of mouth.

What is Viral Marketing?
A viral marketing piece has a couple things in common with the virii that cause colds and other diseases: common:

  1. It can be replicated easily and cheaply.
  2. It can be passed along from person to person.

What are some common examples of viral marketing?
Viral marketing today happens primarliy on the web. This is because the web offers instantaneous communication and community building tools.

One of the simplest forms of viral marketing  are electronic greeting cards. Everybody has gotten one of these from a friend or family member at one point. And, what do you have to do when you get an email saying that you have an e-card waiting? You have to go to the company's web site to retrieve it. And while there, they offer you the chance to send out cards of your own.

Reccomend this site to your friends buttons are another example.

Some of the most popular viral marketing pieces are movies or animations that are funny. People pass these around in email endlessly. The guys at JibJab.com became wildly famous when their musical cartoons poking fun at US politicians circled the web. I'm guessing their business has profited as well.

What Makes a Good Viral Marketing Piece?
The best pieces tend not to be straight advertisements. However, there are some examples of very funny TV commercials becoming very popular on the Internet.

My feeling, from the thousands of emails I have recieved over the years, is that people are more likely to pass on things that are amusing rather than things that are useful. However, I appreciate the useful stuff more and am more liekely to act upon it.

Again, the mechanism of delivery must make the piece easy to pass along or replicate.

You can build a reward system for passing a viral along. Recommend this web site to 5 friends and you'll get to download a free report, or movie, or whatever.

Look around for viral marketing pieces, or look in your email to see what your friends are sending you. This shoudl give you a sense of what is working, and what people are sending around. You don't have to have the resources to produce movies or funny animations, your viral can be useful information.

J D Moore - Marketing Comet

How to Compete with Dove (Or Other National Brands)

A nice woman named Rhea Brown wrote me and asked if I would write an article about competing with a national brand like Dove. She sells a line of 100% natural products that include things like Organic Shea Butter.

I think that her question is a good one and I will offer several pieces of advice. Even if you aren't in the beauty products business, pay attention - there are probably a couple gems in here for you too:

Realize That Your Target Market Is Different:
OK, everybody buys soap, and Dove is one of the top selling brands in the US. However, there is a separate, smaller, but profitable market that is willing to pay a premium for natural or organic products.

If you can show a valuable difference in your product you can actually charge a premium for your products. While you may not be able to capture the market share of a billion-dollar branding organization like Unilever, you can have a higher profit-margin per product.

Think About Your Brand
Some successful brands that come to mind are Burt's Bees and Tom's of Maine. These products are carried at many health food stores and even some regular grocery stores and gift stores. These brands sell to people who want to avoid unnatural chemical beauty products. They both have a "modern hippie" orientation.

Another way you can go with the brand is pure luxury. Think about selling your products through Spas, boutiques or other luxury locals. a|MEN|ity is a brand of natural men's having products sold through boutiques and at Barney's New York.

Branding is all about difference and clarity. What makes you products different and meaningful? Now everything you do from packaging to copy must reflect that.

Remember that the price you can charge for your product has a lot to do with branding. Why are a pair of Nike shoes, made in the same sweatshops in China as other brands, able to command such a high price. Nike has branded itself as an elite product synonymous with success, power, and importance.

Position Correctly
If you do your job correctly, you will not be in competition with national brands. Leave them to the masses. Unless you have a few hundred million dollars in your marketing budget - you won't be in the same league for a while.

Starbucks started as  a quirky, hippie, environmentally sound, youth-oriented brand. Their prices were higher than other coffee shops, and much higher than brewing a brand at home. They penetrated their market and offered a significantly different product (they have nearly double the caffeine content of other coffees).

Use Guerrilla Marketing Tactics:
If I had a beauty product to sell, here are a few things I might do to get the word out.

  • Develop a "media kit" or info packet about the product that can go out to the media or interested buyers
  • Get the product into the hands of every beauty editor for every magazine in the country
  • make sure to clip and copy every positive thing written about your product to use as a sales tool
  • Send free samples along with wholesale order forms to the owners of upscale boutiques and salons
  • Have a web site / blog / and e-newsletter that offers free beauty tips. Make sure to capture customer information through an opt-in form.
  • Find bloggers that write about health and beauty and get samples with info packets to them
  • Go to conventions, hair shows, etc. as an exhibitor. This is one of the best ways to get in front of buyers.
  • Focus on a word of mouth campaign. Run a promotion on your web site where if somebody buys one unit you will ship another unit free to a friend.

These are just a few of the tactics I would use to get the product known and in front of as many people as possible.

With a little ingenuity, competing with a national brand is unnecessary. Ultimately you create your own market of loyal customers.

J D Moore - Marketing Comet

Culture And Marketing

"Cultural" marketing or cross-cultural marketing are hot topics in today's globalized marketplace. Even in the US where several states are about to gain a Spanish speaking majority, cultural marketing is big talk.

With all the gab it's really important to step back and ask the question, "what is culture?" I can tell you that most of my college and grad-school professors even got this one very wrong. The problem with defining culture is almost anything you point to and say "that's culture" just isn't.

Here's my working definition of culture (it has served me well): Culture is a shared set of underlying values and beliefs both conscious and unconscious that affect behavior.

That's it. Culture is not a country, or a language, or a race, or a set of artifacts. These things are the footprints of culture. Let's take a look at a few things:

Country / Nationality: Can you say there is a US culture? Sure, but there are so many sub-cultures that it is hard to point to what people in the US hold as common beliefs. Some ethnocentric Europeans like to claim that the US has never developed a culture (probably while they listen to rock and roll, wear jeans, eat a Big Mac, and vote for elected officials).

But the US is a Hodge-Podge of cultures so maybe it would be more helpful to look at a more homogeneous nation. Well if I could find one on the globe we could look at it. Even China whose culture is ministered by the state has very different regions, ethnicities, languages, forms of dress and definitely sub-cultures.

Language: Language is closely tied to culture, because it is intimately tied to the way we think and make sense of the world. Native Japanese speakers will have a very different sense of some things than native speakers of Romanian. Learning language actually affects the way our brain is constructed.

Language may also reflect cultural norms and rules. For example, in french there are polite and familiar forms of the word "you" as well as verbs. Using familiar speech with a stranger is rude and extremely insulting. we don't have a concept like that in English. Likewise Japanese has a complicated set of levels of formality and politeness. These linguistic rules express cultural ideas about societal behavior that probably do not exist anywhere else.

With the influx of Spanish speakers to the United States, many marketers talk about "Latino" marketing. I think this can be tricky because the Spanish speakers come from many different cultures. Surely Cuban, Colombian, Puerto rican, and Mexican cultures are different despite linguistic commonality. A friend of mine from Puerto Rico told me about the difficulty he had with Spanish speakers from some other countries because the dialects were so different.

OK, if I haven't established how difficult pinpointing a culture can be, hold on:

Each individual is more or less a collection of overlapping cultures. However, the cultures don't perfectly overlap because each individual may reject certain components from one culture and accept others. Every person is really unique.

I live in Boston, but I'm not a native. I accept some things I identify as Bostonian and not others. I am a citizen of the United States. I am primarily Caucasian but have Passamaquoddy and Pawnee American Indian roots on both sides of my family. I have studied a traditional Japanese martial art for 10 years. I identify my religion primarily as Buddhist, but draw teachings from many beliefs. I grew up in a small town in Maine, but like living near the city. I married a woman who is Filipina, whose parents are from different regions of the Philippines that have different languages. And this is just beginning to scratch the surface of where I draw cultural influences.

The thing is, I am not in any way uniquely complex. Most people are at least as complex as I if not more.

So is culture an entirely useless concept for marketing?

Is culture so complex, individual, and unfathomable as to be useless from a marketing perspective? It can be if done wrong.

It's about levels of abstraction. It may be useless to say something like, "Latinos prefer the flavor of pineapple to the flavor of cola." However, you might say something like, "in Cuba there are no cola drinks, and in other Latin American countries fruit flavored drinks outsell cola drinks, pineapple outperforms most other fruit drinks in many of these markets." That is a much more useful piece of information if you are trying to penetrate these markets in the US with a soft drink.

In China Victoria's Secret failed because the idea of spending a lot of money on undergarments was very foreign, and in general the Chinese spend less money on luxuries that are not seen by the general public. US companies that are marketing food products in China have to modify many flavors because the diets their are so different.

In the US when most people get "Chinese food" takeout they are not eating anything that resembles a native Chinese diet. Most Chinese food in the US (save for a few places in various Chinatown's) has been modified to be palatable for those used to the average American diet. I do have friends that love pickled jellyfish and chicken feet and go to Chinatown regularly to get these delicacies.

Marketers that are expanding into new foreign markets are smart to hire local experts to work on campaigns. Everything from packaging colors, product choices, slogans, etc... should be reviewed by local staff. 

I remember an unintentionally humorous propaganda campaign run by the Iraqi army during the first Gulf War. There was an Iraqi propaganda radio broadcast by an operative that was meant to emotionally deter US troops. The broadcast declared that while the troops were in Saudi Arabia, their wives were being seduced by movie stars like Bart Simpson.

Research is good.

J D Moore - Marketing Comet

Negative Benefits in Your Small Business Marketing

If you've been reading this blog, or if you've done any sales training, you know that benefits are the answer to the customer's question - "what's in it for me?" A pencil has an eraser - that's a feature. Not having to worry about making mistakes when you write - that's a benefit.

But what the heck are negative benefits? I'll get to that...

If you've read this, you understand that people only do thing for one reason - it makes them feel better. By extension we also know that people do things to avoid what they perceive as future displeasure. In fact, for many people, anticipated regret is a prime motivator for buying anything.

Negative benefits are those things that people are going to avoid buy buying your product or using your service. For example, if there was no risk that we'd ever go to jail or have to pay a fine, how many of us would actually do our taxes? We do our taxes, not because it's fun, but usually to avoid the negative repercussions.

One way to motivate people to buy is to make them aware of the consequences of not buying. You have to be really careful here, and here are some tips:

  • The negative repercussions must be realistic to the customer.
  • They should be as near in the future as possible
  • They should be things that people care a great deal about.
  • If they are too over-the-top you can scare customers away.

Part of the reason the original youth anti-smoking campaigns didn't work well is because they focused on long-term health repercussions. What 16 year old kid thinks he's going to die from lung cancer?

Many commercials for senior citizen life insurance policies focus on the burden of burial expenses left behind to family. Seniors realistically know they are close to the end of their lifespan and being a burden is generally something they want to avoid. Their families are important to them.

Some people are more motivated to move towards a reward while others are more motivated to move away from loss. The best way to determine what's going to work for you is to test as best you can. Certain products and services lend themselves to positive or negative benefits.

Insurance - particularly life insurance, usually doesn't have a strong positive "towards" motivator. However, there is a strong positive feeling associated with taking care of ones family, being responsible, and ensuring your children thrive.

Look at the benefits of your own products or services. What motivators influence people's buying decisions. Look at both the rewards and the avoidance of loss. See which motivators are strongest, perhaps you can use a combination in your marketing.

J D Moore - Marketing Comet

What Does Maslow Know About Marketing?

We all have needs. You have needs, I have needs, your dog has needs. A lot of what makes marketing is matching or creating products to meet customer needs.

In 1943 a guy named Abraham Maslow wrote a paper and outlined a hierarchy of needs. His idea was that certain needs take precedence over others. For example, if physiological needs like food and water are unmet, you might care less about self-esteem.

Maslow put the needs into a nice pyramidal form, with the needs that take precedence toward the bottom:

500pxmaslowsneeds You can click on this image to get a full-sized version.

You can see at the bottom are physiological needs, moving to safety, then to love (social needs), esteem, and self-actualization.

In the United States, most people have their physiological and safety needs met. Sure, sometimes we are hungry, and sometimes we may feel unsafe. In general when we are hungry - we can get food. In western countries like the US, people spend a higher proportion of their income on needs other than physiology or safety.

Yes, I know you need shelter, but you do not need a half-million dollar condo. You need food, but you do not need to eat at fine restaurants. These choices are usually about love and esteem. They give us social power.

Self-actualization needs are about the human drive to experience our own uniqueness. It's the drive for musicians to create music, and painter to paint.

If you own a restaurant - marketing that plays on hunger can be very powerful. The problem is that you only get people to pay attention when they are actually hungry. It's important to realize that people go to restaurants for a lot of reasons including socialization.

Look at the advertising for the Olive Garden chain of restaurants. It's all about family experience - this falls into the love / belonging set of needs on Maslow's scale. The desire to connect with our family is a strong human motivator.

Esteem needs are the primary motivators for luxury items. For good or bad, people pump up their self esteem with brand names, labels, luxury cars, and things that are expensive. If you are marketing a luxury restaurant - expressing physiological needs is not going to work for you. People who are feeling physiological needs aren't paying attention to esteem.

Safety is a strong motivator in marketing and the basis of many large campaigns. Think ADT alarms, Volvo, and a lot of health campaigns.

How do you fit this into small business marketing?

First, start with your target market. Always start with your target market. Then figure out what needs are going to be most motivating for them. A lot of this is going to depend on their social and economic position.

Let's say that your target market are people who read the women's fitness magazine Shape. We know that these tend to be educated women in their 30's who have a higher than average median income.  Delving further we might discover that these women's interest in fitness is geared towards body image. We might conclude that these readers are at a life phase that is primarily motivated by love, belonging, and esteem.

OK - our marketing tactics might include direct mail to Shape subscribers and a print ad in the magazine. Our various pieces should promise, directly or indirectly, to fulfill those needs. the ways to do that are basically infinite.

Here's the beginning of a the process to develop a marketing brief:

  1. Who is my target audience?
  2. What needs do they have?
  3. In which ways do my product or service meet those needs, or how can my product or service be made to meet those needs?
  4. Which needs will we focus on in a particular campaign?

By the way, if you can't answer question #3, then find a new target market.

J D Moore - Marketing Comet

Social Proof And Small Business Marketing

Remember in high school when all the nonconformists hung out, wore the same clothes, and listened to the same music? Maybe you were one of them. High school is a fantastic laboratory to examine the socio-psychological effect known as social proof.

Social proof basically means that we look to others, usually in some social group with which we identify, to validate our choices. It's why a lot of women shop together, why trends happen, and why people tend to always vote for their party's candidate.

It may make you uncomfortable to think that your choices are influenced by mob mentality, but it's a an empirically sound phenomenon. There have been many studies that have shown social proof to be an extremely powerful force in decision making. Experiments have been conducted where the subjects sometimes even ignores what their senses are telling them to go along with the crowd.

Social proof tends to happen on an unconscious emotional level. We don't tend to think, "all these other people are wearing purple sneakers ... I'd better get some too!" We see dozens of people with purple sneakers and one day we have to have them.

You can see the negative effects of social proof in Nazi Germany, riots, and gangs. People sometimes succumb to social proof and go along with the pack even if the pack is doing something stupid, destructive, or dangerous.

Why do we do this? Think about human beings in the stone age. Compared to the animals that we hunted or hunted us we were slow, had weak claws and teeth, and weren't very strong. Our ancestors survived by being social.

They lived and hunted in groups for increased safety. They shared the technology to make tools, hunt and gather, and make fire with each other. To keep from killing each other off they needed to act together and cooperate. If you saw three cave-people drinking from a stream, you could assume the water was safe. If all the people in your tribe made arrowheads the same way, you could assume it was a good way to make arrowheads.

Advertisers have long understood the effect of social proof. The next time you're watching TV, notice how many commercials talk about how many customers a company has, or show testimonial after testimonial. After opening weekend, many movie ads will talk about how well they did. The idea is that if they sold $45,000,000 in tickets, it must be a good movie.

Some ways you can use social proof in your marketing

  • Collect and use testimonials.
  • If you are the most popular brand, talk about that in your marketing.
  • Get your product, t-shirt, or bumper sticker into the hands of as many people as possible.
  • Focus on building buzz with beta-testing, or focus groups.
  • Have special "bring in your friends" events.

Social proof can be a powerful convincer strategy. When you use it intentionally and well, your business will grow.

J D Moore - Marketing Comet

What Jury Duty Can Teach You About Small Business Marketing - The Negative Lessons

For the second time in my life I got the notice to appear for jury duty, and it's a good thing the jury duty people in Massachusetts aren't in charge of anybody's marketing.

I actually don't mind jury duty - I served on a jury a few years back and found the experience enlightening. I know a lot of people that try to get out of jury duty, but I would only seek to get disqualified under legitimate reasons.

So I get the card in the mail saying I have jury duty. In Massachusetts they have the one day or one trial system. That means I go for a day if I don't get put on a jury or, if I make it on a jury, I serve for the duration of the trial. I have no idea how long it's going to take so I make my schedule as flexible as possible around that time. It's a pretty big inconvenience, but it's my civic duty.

Now there's a form I have to fill out, and I have only ten days to do it or they can chuck me in jail. Thank goodness I didn't get the notice at the beginning of a two-week vacation. I am expected to parse through this booklet looking for reasons why I might be disqualified to serve on a jury. They're making me work to do my civic duty.

I send that thing in and I get another notice in the mail. I have been put on standby and I have to call on a specific date and time to find out if I actually need to show up. That makes me feel wanted. Oh yeah - there's yet another form I have to fill out and remember to bring with me should I have to show up to the courthouse.

I understand the process of jury selection can be very difficult, but if the system wants more people to do their civic duty shouldn't they make it easier?

In marketing, unless you are selling unique products with a very limited customer base, you should make it as easy as possible to buy. Don't make people work. By the way, most people consider thinking work. We like shortcuts, and we like things to be easy. We want to buy, but not if it's work.

Look at the sticking points in your selling process. What can you do to make it easier for your customers to do business with you?

J D Moore - Marketing Comet