February 2014 - c3centricity | c3centricity

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New Thinking for Old Ways of Business

I’ve just come back from IIeX-EU (Insight Innovation Exchange – Europe) in Amsterdam, and my head is full of exciting new things to experiment. It’s strange what happens to our brains when we have the chance to get away from the office and THINK! We become more creative, less bound by old habits, and ready to try new experiences.

After these few days away, I am fired with enthusiasm to bring real changes to my own business, those of my clients, as well as to yours through this post. I’d like to share a few of the ideas which were stimulated by some of the best presentations I’ve ever seen grouped into one single conference. Read on for four inspirational ideas for you to implement immediately, to bring new thinking into your own business.

Partner for Growth

Lowes logo eOne of the first speakers at the event was Kyle Nel from Lowe’s, an American home improvement chain. He explained that business is about changing customers’ behaviour and to do this we need to constantly update our methods for underst anding them. Lowe’s finds inspiration in partnering with organisations including Coke, UNICEF and NASA; how’s that for thinking outside the box? By connecting with companies in other industries, their thinking is constantly challenged, which enables them to grow exponentially, rather than in the linear fashion that most of us seem to be satisfied with. Kyle shared how Lowe’s accepts that whilst there may often be disappointments, the one in ten new ideas that truly deliver are worth all their efforts.

NEW THINKING: Find a catalyst for your own growth to bring you new ideas from external sources. Also look outside your industry for inspiration, and partner with a select few industry leaders that are trying new, exceptionally creative things (Like Loew’s!)

Know what you Know

Information & knowledge sharing is essentialGregory Short, author of “The Billion Dollar Paperclip”, suggested that it’s time we took a new look at our business and the eco-system in which it is operating. Amongst the list of things mentioned, he included identifying what you already know. This resonated with me because so often when new clients ask for help, they often already have a lot of the information they are seeking, they just didn’t know they had it!

Haiko van Lengen and Sjoerd Koornstra shared a Heineken case study which covered a similar point on knowledge sharing. They mentioned the 2009 Boston Consulting Group Insight Benchmarking study which showed that most companies are not using the majority of the information they gather.

Haiko and Sjoerd suggested that before doing any sort of information gathering, we should first assess what is already available internally on the topic. This review should include talking to all departments and definitely not just market research. You would be surprised how many companies operate in silos, each buying their own reports and information, and too often without the knowledge of their market research and insight department.

NEW THINKING: Find a way of sharing more information across your organisation, by setting up an easily accessible storage system. This could be as simple as a shared folder or as proprietary as a knowledge management system and library.

Don’t be Scared of Emotions

Plutchik's wheel of emotionsDiana Lucaci at True Impact Marketing, spoke about the surprising habit many marketers have of being satisfied with knowing just the “Who” and the “What” of their customers’ behaviours. She pointed out that it is even more important to underst and the “Why” of customer actions in order to impact them.

With the rapid expansion in the use of neuroscience and biometric measurement in market research, we now have the possibility to underst and a lot about our customers without even directly asking. Perhaps it’s time for you to experiment (again?). Let me know if you’re interested in trying out the leading emotional measurement tool around.

Diana also made a throw-away comment at the end of her presentation that was also later picked up by Daryl Travis during his talk on “Why emotions win the battle of the br ands”. It reminds us that there are simple things we can do that can have an incredibly positive impact on our customers’ loyalty:

“Make sure that checkout, or the last action your customer makes, is a memorable and positive experience” (>>Tweet this quote<<)

Daryl also ended his presentation with another well chosen, inspiring quote from Maya Angelou, the American author and poet:

“I’ve learned that people will forget what you said, people will forget what you did, but people will never forget how you made them feel” (>>Tweet this quote<<)

NEW THINKING: Review your own customer journey maps, but this time as an emotional journey and ensure that the last step is a positive experience – or urgently correct it if it isn’t!

Customers only Care about the Benefit

Benefits are what interest customersThis links to the previous comment on emotions. Michael Bartl from Hyve, mentioned that your customers don’t really care about who or how you solve their problems, only that you have a solution. Whilst this is probably correct in general, I believe there are some customers who do care and you need to know who they are. Concerns about sustainability, sourcing and ecological impact can all be relevant for some industries and br ands, so you need to check whether they are to your customers or a segment of them.

NEW THINKING: Review your advertising and see if you too spend most time speaking about rational product or service elements and less about the customer benefits. If it’s the case, make the swap to a more benefits-driven communications and measure the impact.

These are just four of the tens of pages of ideas I wrote, that were stimulated by presentations I followed during the IIEX-EU conference in Amsterdam last week. I hope they inspired your own thinking and interest in trying out some new things in your own marketing and market research. Let me know if you have any questions or comments, or if you’d be interested in getting some help in catalysing change in your own organisation.

C³Centricity uses images from Dreamstime and  Kozzi

What’s Love Got to Do with It? Satisfaction, Surprise & Delight

There’s been a lot of rather liberal use of the word LOVE recently in connection with br ands and their customers. Perhaps this was partly due to the lead up to Valentine’s Day last week.

But ever since Lovemarks was published in 2004, followed by The Lovemarks Effect and more recently Loveworks, companies have talked about how much br ands are loved by their customers. Sorry Mr Roberts et al, I personally don’t think consumers love br ands. Consumers may say they love you but I think that they really just love themselves! (>>Click to Tweet<<)

Whilst I agree with the premise that traditional br anding practices were (still are?) generally dull, boring and rather predictable, digital has certainly livened things up in the last ten years. With greater real-time visibility, br ands are constantly trying to out-do each other and luckily the customer has everything to gain from this. After all, surprise and delight are the fundamental dem ands of consumers today and the holy grail of br ands. However from attracting interest to inspiring love, that’s one heck of a jump!

Wikipedia defines love in many different ways, because the English language doesn’t distinguish between the levels of love that other languages do. The closest I could find to the emotional connection Kevin Roberts was referring to, was impersonal love described as “People can “love” material objects, animals, or activities if they invest themselves in bonding or otherwise identifying with those things”. This definition points out a very important element of br and love, that of personal investment. As I already mentioned, I believe that customers love themselves first and will only invest in br ands if they get something out of the relationship in return. That is the part of the bonding that too many br ands seem to forget when developing online advertising, fan pages and social media exchanges. It’s as if they publish and then say “Love (Like) me I’m great”, when they should be saying “We love you, you’re great”.

In 2004 Kevin Roberts introduced the notion of emotions to br anding and I believe everyone today agrees that purchasing involves an emotional response, often even stronger than rational based decision making. This is the one essential element that some br ands struggle to incorporate into their online presence in a meaningful way, so let’s see how the top br ands do it.

TwitterFirst, taking a look at Twitter’s list of the Top 20 most followed br ands for 2013 we can see that involvement (in this case following) is triggered by one of four simple customer needs:

  • Entertainment: YouTube, Instagram, TwitPic, Funny Or Die, MTV, Ramalan Indonesia, funnyordie, UberSocial
  • Keeping up with your friends: Twitter, Facebook
  • Keeping up with the world: CNN Breaking News , CNN, The New York Times, BBC Breaking News, Google
  • Keeping up with your team: FC Barcelona, Real Madrid F.C., NBA, ESPN

Interestingly, the br ands in this top 20 all provide a service to people, rather than blatantly looking for love, although they have been successful in bonding with their followers. Also, the only consumer br and to make it onto the list came in at number 20, namely Samsung Mobile. However their tweets are actually more like those of the news channels than a manufacturer promoting their br and, although of course they do include their product names when relevant.

Chatting for customer service connectionThe relationship between br ands and their followers is one of need (>>Click to Tweet<<); the Tweets provide customers with information they can use or share with their friends. In addition, for many, Twitter has become the modern day customer service line, since they are assured a more rapid response and usually a more positive conclusion than through a simple telephone based connection. Whilst excellent customer service should be the delivery no matter which medium customers choose to use, we have all now understood that they are not created equally. We know that telephone-based customer service still exists, but we just don’t get the fast, efficient level of assistance that we desire anymore, and are moving away from its usage.

As a result organisations are very keen to improve the service they give via Twitter and use it not only to respond to customer comments, but also to involve their customers in improving their products and services, as well as to keep them abreast of launches, new campaigns and promotions.

FacebookAnother platform that br ands use to connect with their customers is Facebook. Br ands create pages and encourage “Likes” for their postings, which seem to have similar purposes to Twitter, albeit with a more generous allowance than the 140 characters of a Tweet.

Looking at the pages with the most fans, we find a similarity to Twitter in terms of content and also a few of the same companies (NBA, MTV) but there are more consumer br ands present amongst the most popular. These br ands are promoting themselves through similar types of content, entertainment and news, but the biggest difference is the possibility for customers to reap direct benefit through coupons, promotions, store information and free games. In addition, customers can usually provide content too, by uploading their own photos, videos and stories.

So coming back to my original question, br ands should underst and that customers’ love can be as short lived as a holiday romance. As with marriage, it takes consistent effort to maintain the connection, providing satisfaction, surprise and delight in almost equal proportions. The br ands which succeed online are without exception those that offer all of these, as the following table shows:

Br and

Content

10 NBA videos, commentary, photos, merch andise
9 McDonald’s games, prizes, promotions, news,
8 Monster Energy extreme-sports clips, news, events
7 Victoria’s Secret exclusive updates, videos, screen wallpaper doubled its talking about me score when it started giving away 100k gift cards to fans, electronic gift cards
6 Converse photos of unique shoes
5 Red Bull mix of humour, extreme sports, events, images, games & apps
4 Starbucks photos, store locator, electronic gift cards, manage rewards, challenges
3 MTV sneak peeks of trailers, clips, humour, questions, photos, quizzes, information about pop stars
2 Disney facts, film screenshots, cartoons, videos, quotes, photo & story sharing
1 Coca-Cola encourages donations, local & global events & promotions, videos

In conclusion, let me say that I am not suggesting that we forget love, but rather that we take off our rose-tinted spectacles and underst and that our customers don’t really love us; as with my two cats it’s just a matter of “cupboard love”!

Did you know that C³Centricity measures EMOTIONAL REACTIONS to advertising, packaging, new br and concepts, products and just about anything else a customer can see, hear, taste or feel? Interested in learning more? Then why not CONTACT US today for an informal chat about your needs? We’re sure we can help.  

Time to Change your Outdated Work Habits

This week I’ve been helping a client create a new website. He had already mapped out what he wanted to include in it and he provided me with pages of ideas and possible content. Have you ever noticed how it is much harder to rewrite or adapt something, than it is to create from scratch? (>>Click to Tweet<<)How difficult it is to “unlearn” behaviours? Whether it is changing the content of a website, editing the script for a play or book, or adopting new habits, it always dem ands far more effort than the original creation itself. Why is this?

One reason is that we humans like comfortable solutions. We always look for the easiest and simplest way of doing things. That’s why you can find yourself in your car in front of your garage with no memory of the drive back home. You know the way so well, you’ve been on autopilot and your brain has been thinking about other things. 

A recent excellent short read in The Guardian entitled “Habits: why we have them and how to break them” by Dr Benjamin Gardner, Lecturer in Health Psychology at University College, London, provides some of the answers:

  1. Habits are automatic responses to situations
  2. Smoking, snacking and TV viewing are common habits
  3. We learn habits by repeating actions in a situation
  4. Around half of all everyday actions are habitual (>>Click to Tweet<<)
  5. Habits free up mental resources for use elsewhere
  6. They usually take more than two months to form
  7. Setting a realistic goal will help you persevere
  8. Habits may form more quickly for enjoyable tasks
  9. To break a habit, find and avoid the habit trigger
  10. Moving house disrupts many existing habits

So how does this apply to our work? Well firstly, if you are looking to measure behaviour, customers are likely to struggle when referring to the reasons for certain habits, since they have been adopted and now take little mental power (points 4 & 5 above). This is why retailers sometimes change the layout of their stores – although that can also have a negative impact too – to make their shoppers think about what they buy and perhaps also tempt them to try new products or categories.

Reading the above list, it may sound like it will be difficult to break a habit, but as the last point mentions, disruption makes it much easier to change. Think about the arrival of a new boss, the introduction of a new structure or some other event in business, it can result in many habitual tasks being re-evaluated and even replaced. Read on to find a few ideas on how you can make some perhaps necessary changes of your own.

Tracking Br and Equity

Br and equity measurement is a great habit

Last week I wrote about the importance of tracking the three areas of customer br and value: those of functional / rational, emotional / subjective and relational / cultural. Now before you congratulate yourself on measuring the complete spectrum of image attributes, ask yourself how long you have been working with exactly the same list. We all love consistency and comparability but that is often just an excuse to avoid the hard work of evaluating the current metrics and deciding what needs to be added, replaced and removed.

The marketplace for so many – dare I say all? – products and services is moving so fast today that your attributes need to be regularly reviewed and adapted to the new market environment.

Tracking Usage & Awareness

Are you still measuring usage through an omnibus paper or telephone interviews? Look into the possibility of online or mobile as both a quicker and cheaper method of data gathering. Or what about using automatic data gathering from mobile phones, online websites, or smart chips on your products? Of course you will need to conduct comparative runs before switching methodologies, but you may find you get more acceptance from the consumers contacted and easier and swifter returns of information into the organisation.

Trend Following

Future l andscape

Do you continue to buy a st andard service and reporting for following societal trends, just like your competitors do? How about extending trend following into scenario planning? It will make more use of your current service and will provide a significant competitive advantage. (>>Click to Tweet<<)

Replacing Reports by Stories

Replacing reports bz stories is a great habitThere is so much talk about the value of storytelling that I hope I don’t need to explain this point, but have you done anything to integrate it into your own work? One of C³Centricity’s partners (SciFutures) just produced a short and inspiring summary of the key themes and ideas generated at FT2013 (2013 Foresight & Trends Conference). However, they did it through telling a science fiction narrative, rather than by writing the usual report. I would highly recommend checking it out here  and then I dare you to tell me that you would have preferred to read a conference report instead!

So these are just a few habits that it might be worth considering to change in your work environment. Do you have others that your know you should break? If so I would love to know what they are and more importantly, what is stopping you from bringing those needed changes? Let me know because perhaps I just might be able to help.

Did you know C³Centricity runs training workshops and support sessions on revamping your Market Research Toolbox and Processes?  Contact us to learn more.

C³Centricity uses images from  Dreamstime, Microsoft  and  Kozzi

Reputation and Trust: Do you Have Both?

At the end of last year I asked readers to send me their biggest challenges for 2014. The winning question was related to innovation, which I wrote about last week: “This is why your new products crash & burn“.

Another of the questions I received was related to measuring equity and the relative importance of following the image of the br and or the corporation. I respond below to this interesting dilemma and propose some ideas about what you should be following.

The three essentials of br and valueLet me start by saying that I covered br and image metrics in some detail last year in a popular post  called “ How to Build Br and Reputation and Consumer Trust: And then Track it”. The article spoke about the three important areas that you need to measure in order to have a complete perspective of your br and image, namely Rational / Functional, Emotional / Subjective and Cultural / Relational.

Whilst this is the simplest method for measuring br and equity, it is said that there are in fact seven essential elements that make a business great in the eyes of the customer. These elements are a combination of product perceptions as above, together with those of the enterprise. Perhaps surprisingly, the latter actually trump the former in driving behaviours today, so corporate reputation is now essential to follow too. It also suggests that whilst product performance, services and innovation are important, it is the companies behind the br ands that influence a consumer’s trust and final choice. If you’d like to read more about this, please click on the above link where you can find more details.

Coca Cola logo

However, measuring br and image and corporate reputation is still not going to give you all the answers you need. One of the areas that few organisations study today, even when they measure both of these, is the relationship between the images of the br ands and the company.

Unilever AXE logoFor some br ands such as Coca Cola, the relationship is both obvious and strong, whereas for Pantene or Axe the link to P&G  and Unilever may be far less evident.

P&G Pantene logo

Despite an increasing effort by both companies to strengthen the association between their br ands and themselves as manufacturer, the connection remains tenuous at best.

So how do you measure this link and underst and what the br and brings to the corporation and vice versa? Read on for a simple process.

Following Br and & Corporate Reputations is a 3-step process

Step 1: Measure your br ands’ images

Hopefully you are already doing this on a regular basis. If not please start immediately since you cannot manage br ands without knowing where you are today, even if you have a clear idea planned for where you want to go. The post linked above gives you a start on getting this done.

The one addition that you may have to incorporate in your current questionnaire is to ensure that you clearly identify whether the respondent knows who makes each of the br ands. This will be essential for the analysis later on.

Step 2: Measure your corporate image

Again you should already be doing this, but I am always amazed how few companies collect such metrics on a regular basis. The prompt for doing so is often a crisis or a change of management and vision, but by then it is actually too late. Whatever you measure in such circumstances will be difficult to analyse since you don’t know what the figures looked like before the event happened. This is why it is essential to measure it at least annually and perhaps even more regularly when a lot is happening in the marketplace.

As was also the case for your br and equity metrics, you will need to include a measurement of br and attribution for each of the companies you measure. This will again be used in the analytical phase.

Step 3: Analyse and cross-reference the information gathered

The third step of the process is to first review the images of each br and by the knowledge and awareness of the consumers about its parent company. Then review the corporate images based upon whether each is attributed or not to each of its br ands, or maybe even to competitive br ands. Then by crossing these two sets of relational information, you will get a clear picture of what the br and brings in terms of reputation to the company and what the corporate reputation adds to or detracts from each br and. Once you underst and the relationship between your br ands and your business, you can start to lay out a plan to boost your consumers’ knowledge and trust with appropriate PR and advertising.

Some organisations, including those mentioned above, find ways to associate their company name within their br and advertising. For instance Nestlé and Purina both end their ads with a company link and logo. Unilever and SCJohnson are a little more creative in showing  a fold up / down corner with their logo and name and in the case of the latter, even their corporate slogan. This is far less intrusive and leaves the br and to shine as hero in the ad.

If you already run your own br and equity or corporate reputation studies, why not combine them as suggested above, for improved actionability? If you do a different type of analysis I would love to hear about it; just add a comment below or write to me in person at denysedd@c3centricity.com. It would be great to hear your thoughts on this essential element of tracking.

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