Monday, March 07, 2011

Monday Night Marketing News from Mediapost


Click & Read:


Retail
by Sarah Mahoney
Alex Hiam is this close to flinging his iPhone out the car window. "I can do everything on it, except make a call that won't get dropped midway through," says Hiam, the author of Marketing for Dummies and instructor of the University of Massachusetts business school. He calls it core product neglect, a term he's coined for big companies that have forgotten what their brand is supposed to stand for. Marketing Daily asked him to explain what causes these strategic blind spots. ...Read the whole story >>
Food and Beverages
by Karlene Lukovitz
Sales of gluten-free foods and beverages, once considered specialty items, had a compound annual growth rate of 30% in the U.S. between 2006 and 2010, according to the latest report on this category from research publisher Packaged Facts. ...Read the whole story >>
Financial Services
by Aaron Baar
Duff & Phelps has launched its first advertising campaign in about five years, Dauer says. The effort, which started appearing last week, introduces a new corporate tagline, "Powering Sound Decisions," and creative that is less about what Duff & Phelps does and more about "how" it does it. ...Read the whole story >>
Financial Services
by Tanya Irwin
Jackson Hewitt Tax Service is launching both a sweepstakes and a contest with more than $25,000 in cash prizes. Consumers can enter one or both social media initiatives between now and April 15 for a chance to win a $1,000 weekly cash prize through the "Jackson Hewitt's Got My Back" photo sweepstakes or $20,000 in total cash prizes through "Win Win with the Big Check" video contest. ...Read the whole story >>
Automotive
by Karl Greenberg
Lexus, which launched a campaign for its CT 200h car last week, is hoping to continue its outreach to hip, early adopters and influencers via a campaign with MMN, the Mog Music Network, via events and branded digital content about local independent artists and emerging music. ...Read the whole story >>
Automotive
by Karl Greenberg
The campaign, which launched March 4 and runs through the beginning of 2013, targeting adults 18-49, starts with Highlander SUV advertising content on Pandora's Top 40 genre station. Every month hereafter, a different Toyota vehicle will be advertised on a specific Pandora genre station. The program will run across the Web, mobile, iPad and on other digital consumer electronic devices. ...Read the whole story >>

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Bark Like a Big Dog

Every Tuesday morning at 7am, I publish another chapter in the Not-So-Secret Writings of ScLoHo. Click here to go there.

Here's last weeks chapter:


Mr & Ms Business person,

Would you like to buy 1 30 second commercial that will air in the Superbowl and be seen by 111 million people (give or take a few million) and that is all the advertising and marketing you can do for the next 12 months?

Why? Well the cost of airing an ad was $3 million in 2011.

The cost of producing a Superbowl worthy ad? Between $400,000 and $4 million.

But let's just work with the cost of airing the ad. $3,000,000.

There were over 40 minutes of ads that ran during the game. That would add up to 80 30 second commercials. Plus pregame, plus post game, plus local ads, and the network promotional ads.

30 seconds in a 3 hour telecast means you are 1 of 360 half minutes. And it cost $3 Mil.

Were you a Big Dog or Little Dog?

If you just aired one time, you were a Little Dog.

The Game itself was the Big Dog.

Chrysler, VW, Doritos, Pepsi, they also were Big Dogs, because they dominated the advertising during the game and in the weeks since.

But they spent more than 3 million... so.. so.. much, Much, MUCH more.

And face it. You can't afford to spend what they spend to be the Big Dogs in the Superbowl.

So, do you look for other Big Dogs to advertise with?

Or do you become a Big Dog yourself?

Let's take this down a level to the arena I work in. The city is Fort Wayne, Indiana. We are market number 110 in the United States, maybe a little higher.

We have about 20 radio stations, the 4 major TV networks, a couple of newspapers, and the usual advertising options.

In the radio business that I work in, there are 5 radio stations that have over 100,000 listeners every week according to the ratings service.

The next 5 have between 56,000 and 96,000 weekly listeners. And the remaining 11 range between 37,000 and 5,000 listeners per week.

If you advertise on one of the top 5 stations, it could cost you $100 per commercial. If you advertise on one of the stations in the bottom half, you could spend $20 or less per commercial.

If you have $3,000 a month to work with, you could get 1 commercial a day on those Big Dog stations that reach a lot of people, but you would be a Little Dog because 1 commercial a day is nearly worthless.

(There are some exceptions to what I just said about 1 per day, ask me and I'll tell you.)

What happens if you spend your $3000 a month on a Little Dog Station? You become a Big Dog with those stations listeners, because they are hearing about you more, 5 times more per day, and your brand and reputation grows and in turn your business grows.

This concept of Big Dog vs. Little Dog is one that advertising sales people often get backwards, and if you buy into their thinking that you have to advertise only on the Big Dog Stations, you both lose. Sure they may get your money once. They may get it twice if they are convincing enough.

But your goal as a business person is to find a group of people that you can afford to reach repeatedly and consistently with your advertising and marketing messages, and become dominate in their mind and hearts. That's how you become a Big Dog.

One last thought for this week.

It's not mine, I read it somewhere a long time ago.

Would you rather convince 100 people 10% of the way to do business with you?

or
Would you rather convince 10 people 100% of the way to do business with you?

The initial cost is the same, the results are vastly different.

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Selling Sweet Spot

From Jill Konrath's Blog:

Ever Wondered About the Secrets to Prospecting Success?

Posted: 23 Feb 2011 07:10 AM PST

1-LondonRecently I interviewed Jonathan London, President of The Improved Performance Group and author of The Entrepreneur's Guide to Selling. Since founding his company, he's trained over 15,000 salespeople.

Prior to that, he was the TOP performer, company and sometimes industry wide in every sales and management position he ever held.

Jonathan is now training and coaching small to medium businesses who need to learn how to differentiate themselves in today's crazy-busy business environment. Today we're talking about prospecting!

MARKETING FOR SALESPEOPLE

Jill: Jonathan, I know one of your biggest areas of focus is a salesperson's ability to create their own success via successful marketing and prospecting. How are the two related to each other?

Jonathan: London: If you have 1 or 100 accounts, a territory or a combination, the most important thing a salesperson needs to do is create awareness which ultimately creates opportunities.

Marketing does this via branded and targeted marketing campaigns to a specific audience. But a salesperson needs to do it too.

Why both? Because the branded campaigns are meant to drive awareness or air cover while a targeted sales campaign is directed to specific people or departments. So a salesperson needs to do this as well and there are a multitude of technologies available that make it easier and good looking.

FOCUSING ON THE SWEETSPOT

Jill: You say that salespeople should focus their efforts on the "SweetSpot." What exactly do you mean by this and why is it important?

Jonathan: London: When an organization or salesperson focuses on their “SweetSpot”—which is the ideal match to their company's offerings—it gives them a decisive advantage in any sales opportunity. It's kind of like running a 100 meter race and starting out 40 meters ahead.

For example, when I started to sell sales training, with no experience or client list (just a strong desire to do so), I correlated my program's strengths with the 3 verticals that “should” be most receptive. I was told it would take me 12 months to hit my run rate from an earnings perspective. It took me 60 days. I've used this approach in every position I have ever had and it has never failed.

CHALLENGES OF THE SWEETSPOT

Jill: That's a pretty strong statement. Why don't people do this more often?

Jonathan: London: I think when it comes to prospecting, most people don't want to do it. It is hard, lots of objections, etc. They also don't know how to use the technology that is available to them. It it is much simpler than people think. It only takes 3 steps:

  1. Identify aspects of your offering that are unique or do something better than the competition.
  2. Identify the verticals or functional areas that need what you do differently or better.
  3. Look in your territory or assignment for the companies that would need what you have.

Then prospect and market with a vengeance.

INITIAL MEETINGS

Jill: Ok. Let's talk about that first meeting with a prospect. What do you recommend that salespeople do to ensure that it advances the sales process.

Jonathan: London: A salesperson should go into a client with a list of questions that they must ask to define a prospect's priorities, needs and gain.

They should also “plant seeds” which highlight their key differentiators and influence the prospect's thinking.

Then of course, they have to put together a solution that clearly presents the value of their solution that brings together every capability you have that is relevant to their requirements which will create a richer feeling of possibilities. This feeling on the prospect's part will lead them to buy more. As you know, there is so much more, but that is the essence.

DIFFERENTIATION

Jill: Any last thoughts on what differentiates top sellers from average ones?

Jonathan: London: There is so much to selling, and more “experts” with advice than any person can handle. SweetSpot and discovery are 2 key components.

What I rarely heard discussed is EFFORT, working harder than others. This is particularly true in the area of prospecting. It takes a committed effort, focused in the way we discussed. If people can do this, they will have greater success.

__________

1-book To learn more about JONATHAN LONDON's sales strategies, call 201-788-8922, email him at jlondon@ipgtraining or visit his website www.ipgtraining.com.

Also, make sure you check out his excellent book, The Entrepreneur's Guide to Selling. It's very aligned with everything I talk about in my two books!

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Sunday, March 06, 2011

Two Ways to Get Noticed


A story about my days as a radio advertising sales guy.

A few years ago, I used to call on a home remodeler who focused on windows, doors and siding. And every spring he would use the same lines, " Where do you rank?", "You don't have any listeners." "That's too expensive." "Go sharpen your pencil."

It was a game he played and I thought that he could become a good client. I was wrong. He was a pain in the ass and after playing this game a few times, I stopped calling on him. I had better things to do.

Last month I had a conversation with a guy who repairs computers.

Been in business 16 months.

Tried radio, didn't work he said. All he got was other salespeople wanting him to buy advertising. Advertising sales people can be vultures. They listen to the competition and try and grab those businesses as clients instead of cultivating new business.

Anyway, the common ground between the home remodel guy and the computer guy, is they didn't know what they were doing when it came to advertising.

Using radio as an example, all radio stations have listeners. Some have lots of listeners, others have lots and lots and lots of listeners. If you have unlimited resources (money) you can advertise on the big station.

If you have limited resources, then advertise on the the smaller station.

The concept is to not be heard by lots and lots of people, but to become "known about" by enough people to make it work.

I have more details on my other blog, The Not-So-Secret Writings of ScLoHo, Click here.

In the meantime, Seth Godin wrote about this concept recently:

Two paths for successful group events

I'm talking about trade shows, SXSW, street marketing...

There are two ways to be glad you went:

1. An overwhelming show of force. When you have the biggest booth, when you are the buzz of the event, when you are everywhere people look, you reinforce your position as the leader.

2. Powerful personal interactions. Not with everyone. Just with people who want to talk with you, who will benefit from a powerful exchange. Not mass, but high in value. Even better, designing these interactions (and your product) so that this small number of people set out to evangelize their peers on your behalf.

The mistake almost everyone makes is to do both. Or to believe that they know a cheap shortcut on their way to #1. Or to get too busy chasing (and failing) at mass that they don't have time to do the personal.

Years ago, the company I worked for spent millions at various venues of the Consumer Electronics Show. We were there, we were sort of big and we sort of won. But not really. Too much noise, too much competition, we were neither. By trying to reach as many as we could, we were never intimate enough to generate conversations that mattered or ideas that spread...

Once again, it comes down to scale. If you staff and invest appropriately, you don't have to 'win' the show to make it worth the trip. On the other hand, if you're setting out to win and investing at the appropriate level, you better win.

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Those Damn Cookies

My sweet tooth is satisfied by the occasional White Mocha coffee drink.

Occasional for me is a couple times a week. Or more. But never daily. Not anymore at least.

What's your weakness?

Michele Miller wrote this a few days ago:

How The Girl Scouts Are Forcing You To Buy Cookies… And Make You Like It

Posted: 01 Mar 2011 10:36 AM PST

The other day, I approached my favorite local grocer and spotted a table placed strategically between the entrance and exit doors. I could see four young girls with two mothers, and a dozen cardboard cartons.

That’s right. It’s Girl Scout Cookie Time.

Now, who can resist the coconutty yumminess of Samoas, or the refreshing, chocolately goodness of Thin Mints, not to mention the rest of the flavorful bunch?

As it turns out, more and more people are trying to, because of dietary concerns or health issues.

But the Girl Scouts have come up with an absolutely beautiful methodology for overcoming objections to purchase.

This is what I overheard:

“Would you like to buy a box or two of Girl Scout cookies?”

“No. My husband and I are on a diet.”

“Okay. Well, guess what? You can still buy a box and donate it to our troops overseas. How would you like to buy a box for our soldiers?”

These Girl Scouts are smooooooooooth.

This is a terrific example of thinking beyond your organization in order to overcome objections and make the sale.

I bought two boxes of Thin Mints. One box is headed overseas as I write. The other? I can’t tell you, because if my husband finds out where I hid them, they’ll be gone in five minutes.

By the way, these Girl Scouts are increasingly tech savvy. Check out this website for the NorCal Girl Scouts – they’ve created the “Free Cookie Mobile Locator App” for your Android or iPhone. Cookies on demand, no pre-ordering necessary.

You, my friend, are doomed.

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Happy Birthday!

from my email:

Daily Sales Tip: Remember Your Customers' Birthdays and They'll Remember You!

One of the definitions of elegance is simplicity.

When it comes to promotions, I'm a big believer in keeping things simple -- especially in this age of the 11-second attention span.

Here's a promotion any radio station or advertiser can put together easily and at minimal expense.

Its appeal is universal.

Can you say: Happy Birthday!

Take the total population of your market, however you may define it -- whether it's your city, county, region, customer database, or what-have-you -- and write it down.

Divide that number by 365.

The result equals the average number of birthdays taking place in your market every day.

Yes, the actual number will be lower on some days and higher on others. But the point is, each and every day represents an opportunity to wish your listeners or customers a Happy Birthday.

It's easy enough to start your Birthday Club. Simply invite people to register via email, a form on your website, your Facebook page, or whatever. Be sure to collect at minimum a name, email address, and date of birth; mailing address and telephone number are also desirable for building a useful database.

Each day you publicly recognize the people whose birthday it is. If you're a radio station, mention them on the air several times throughout the day. Congratulate them on your Facebook page (and theirs), in your Twitter feed.

Add to the fun by drawing at least one name each day to win a birthday prize: a cake, a birthday meal, a special gift, etc. -- traded in whole or part with advertisers who help sponsor the promotion.

If you're in a business other than radio, use all the means at your disposal to recognize your customers' birthdays. Design a "Happy Birthday" whiteboard or print up a sign to post prominently near the door, in a window, at the service counter, or behind the till where everyone can see it. Maybe put up a community bulletin board for this purpose.

If you can afford to send a hand-signed card, do so. If you have an email address, you can send an e-card. Dayspring, Hallmark and many others offer them. My personal favorite is Jacquie Lawson, a British artist whose intricate and whimsical e-cards are little works of art; the cost is just $12 a year!

Consider offering a free meal, a special birthday discount (make it meaningful) or a small gift -- a Happy Birthday balloon or candy bar -- even the littlest things can leave big impressions. I used to go to a dentist who had carnations delivered to his office each day. Every patient went home with one, and it lasted in water for at least a week, a fragrant reminder that the family dentist had a heart. The cost was minimal; the delight factor, huge.

One of the members of Radio Sales Café, "Jingle" Jim Reilly, sends his clients and prospects an email on their birthday. When the recipient clicks on the link as requested, singers start singing a special "Happy Birthday" jingle.

Want to surprise and delight each and every one of your customers? Start your own Birthday Club and watch their faces light up as brightly as the candles on their cake.

Source: Rod Schwartz, Owner/Creative Director, Grace Broadcast Sales (GBS)


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Saturday, March 05, 2011

Classic Ad of the Month

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Harvey's Take on Advertising


from Harvey Mckay:

Use your ads to your advantage


By Harvey Mackay

A lion and a tiger were drinking beside a river when the lion let out a huge roar. The tiger said, "Why do you roar like a fool?"

"That's not foolish," said the lion, with a twinkle in his eyes. "They call me king of all the beasts because I advertise."

A rabbit heard them talking and ran home. He thought he'd try the lion's plan, but his roar was just a squeak. A fox came to investigate and ate the rabbit for lunch. The moral of the story: When you advertise, be sure you've got the goods and can deliver them.

For every hundred ads that run, only ten are effective. About 85 sink beneath the waves unnoticed. The other five are noticed and give such negative sparks they work against the advertiser.

The Super Bowl presents an unequalled showcase for television ads -- so much that folks who don't care about the game watch just to see the commercials. The great ones run on air and online for weeks after, getting plenty of buzz. For those ads, the investment of $3 million for a 30-second spot, not to mention the $1 million to produce it, is worth it. Those that bombed will just leave their sponsors baffled, wondering where they went wrong.

What's the difference between good and bad advertising?

Advertising is one of those soft sciences in which many people regard themselves as experts. The results often are ads designed for a target audience of one -- the guy who pays the bills. Agencies may offer strong opinions, but there aren't many that are going to refuse clients who insist on having their own way just because the ads are stinkers.

How do you avoid the pitfalls of bad ads?

Rule 1: Stay out of the picture. There are many egotists who insist on having their own faces leering out from amid assembled multitudes of refrigerators or used cars because "the public knows me" or the agency couldn't talk them out of it. Consider this: Is it more important to sell your face or your product?

Rule 2: Don't be your own copywriter. This is the common failing of glib corporate types who make their livings selling words to other people. The only problem is, they make their livings selling the wrong kind of words as far as advertising copy is concerned. They sell big words and technical words -- and lots of them. Advertising people sell tiny words, and as few of them as possible. They know effective advertising isn't about products. It's all about the benefits people get from the product.

Rule 3: Hire an advertising manager. This is a tough one because so many corporate cultures are committee-driven rather than research-driven. It's true that too many cooks spoil the stew. An ad stuffed with everyone's idea of what's most important results in visual and verbal clutter.

Rule 4: Don't play it safe. The most common mistake of all is the "safe" ad. It doesn't make any obvious mistakes. It just isn't interesting enough to be noticed amid the multitude of ads clamoring for attention.

Rule 5: Hire an agency the same way you buy a suit. First consider quality. You can define quality as demonstrated success in working with companies similar to your own, with budgets similar to your own, and winning awards for those campaigns. I expect ads to be noticed, and I like hard data from consumer research.

Rule 6: Consider an agency's style. There are two types of agencies to avoid: account-driven and creative-driven. If the account people dominate, you're going to get terrific service. But what about the ads themselves? If the creative types dominate, you'll get great ads, but they might be wildly expensive and wide of your target. You need an agency that has strong account services, plus creativity.

Rule 7: Then make sure you have a fit. You want an agency that isn't so big you'll be lost in the shuffle but big enough to include the range of talents or media-buying capabilities you need. You want to make sure that personalities mesh. And make sure there are no conflicts of interest.

Rule 8: Set the price of the contract. Agencies can and do make a profit on your account. Remember, it's all negotiable. The good agencies will be open with you and discuss their fees.

Quality advertising shows your commitment to your product or service. Advertising puts a face on your company. Put your best face forward.

Mackay's Moral: If you're sold on what you're selling, great ads will do the telling.

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Don't Rush It

from my email:

Daily Sales Tip: When Negotiating, Great Sellers Talk Value

He asks, "how much is it?"

Undergraduate sales trainers call this a "hot button" and say "it's time to close."

Great Post-Graduate sellers know that the "sale" hasn't gotten to the "I must have it" stage yet and there's more work to do before it's time for the pricing conversation. "How much is it" is a knowing or unknowing expression on the part of the buyer which implies, "if this stuff is cheap enough, maybe I'll go for it."

The reality is, the presentation has gotten the buyer to "it's a nice doo-dad, but I have seven already. If it's cheap, ok."

So you say, "let's make sure we've nailed down the proposition. The idea I've put together to jump start/grow/expand/make more profitable/get more customers for...your business, starts with the notion...makes sense right?"

If he responds, "right"...you follow with, "and then I and my support team will make sure that the implementation is perfect by ensuring...you get that right?"

If he is still enthusiastic in his responses, you offer "well I'm happy to tell you that the project is reasonably priced for both of us at ________."

Then he says, "Great," right? Nah. He coughs and says, "that's way too much/unaffordable...how about ________?"

And you respond, "Mr. Jones, the value you will receive as a result of this targeted plan and the effort that will be expended to grow your business is very fairly priced for both of us. That will make it a successful partnership."

Smile, shut up, and wait for his "Let's go."

Source: Sales manager/consultant Bob Sherman

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Friday, March 04, 2011

Friday Night Marketing News from Mediapost

Just because it's the weekend, we don't rest at ScLoHo's Collective Wisdom.

Saturday at 6am a Sales Tip, Harvey Mackay's thoughts on Advertising at noon, and our Classic Ad of the Month at 6pm.

Sunday starts with another Sales Tip at 6am, because we do one every day of every year. Then at noon, a lesson from the Girl Scouts and our weekly Sunday Seth Godin thought starter to get you ready for Monday.

Now, you can click and read the wrap up:


Hospitality
by Tanya Irwin
"We've done a great deal of research to uncover 10 key markets that drive over 50% of revenue," Lee tells Marketing Daily. "We know that our guests are not only traveling for business, but for leisure, often with their families. Now we have insight into psychographics, attitudes and behaviors and actual likes and dislikes that informed our targeting strategy." ...Read the whole story >>
Retail
by Sarah Mahoney
It seems that consumers spent February doing something retailers love to see -- not just shopping but also shopping steadily, with retail sales gaining in just about every type of store. That will to spend is especially welcome, experts say, since it means people ignored disruptive winter storms and rapidly rising fuel prices to do so. ...Read the whole story >>
Automotive
by Karl Greenberg
Chevrolet will have a roster of events and programs at the South by Southwest festival in Austin, Tex. next week. This is the second year for Chevrolet as a "Super Sponsor" of the high-tech film, music, digital and arts event. The automaker will show off its panoply of in-vehicle gadgetry and serve as shuttle service for attendees. ...Read the whole story >>
Spirits
by Karl Greenberg
Tres Generaciones Tequila has signed a long-term partnership with retired boxer, future hall of famer, and president of Golden Boy Promotions, Oscar de la Hoya, who will act as a business partner and brand ambassador for the premium tequila. ...Read the whole story >>
Packaged Goods
by Nina Lentini
The multi-market digital and on-site activations will include Nivea's sponsorship of Rihanna's upcoming "Loud" tour in the U.S. and Europe. The multi-city tour will include fan engagement through Nivea- and Rihanna-owned social media channels and will feature various Nivea-branded activations. ...Read the whole story >>
by David Goetzl
While Netflix continues to add opportunities to stream TV episodes, Redbox may stick with films as it launches its subscription-based digital service, expected later this year ...Read the whole story >>

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Share What You Know

7 days a week, this website is updated 3 to 4 times a day with sales, advertising, marketing and media information and tips.

This only works because others are willing to share what they know. I subscribe to lots of newsletters, blogs, and the like and pick out my favorite to share with you.

If you would like to get updates in your email or an RSS reader, there are links on the right side of this page.

And speaking of email, this piece from MarketingProfs.com tells you how you can share what you know:

How to Make Content King. Again.

"The experts have apparently decided that content marketing is back for 2011," writes Mark Brownlow at Email Marketing Reports. "The new (old) mantra is 'quality content.' And everyone should be producing it: publishers, retailers, service companies."

If you're wondering what quality content is—and how it might differ from what you've been doing all along—Brownlow offers this workable definition:

Quality content is "any element in the message that provides standout value to the recipient (aside from the inherent 'value' of any offer)." It should be useful and/or entertaining and/or capable of emotional impact, he adds.

Good news: Consistently finding material for quality content need not be an onerous task. Brownlow outlines basic rules for discovering hidden gems. Among those rules:

Look for low-hanging fruit. "If you've not thought much about content before, start small," he suggests. "See what you already have lying around the office or website that might find use in your newsletters."

Repurpose or reuse content. That series of tweets can become a blog post; or that debate in your forum might make an entertaining article at your website. And it's fine to reuse content your new subscribers might not have seen. "Nobody on your email list today remembers the article you sent out in 2002 to your first 37 subscribers," he explains.

Create new content that stays relevant over time. You can discuss a news item that may be old news by next month, or offer a how-to primer that retains relevance. "Both make good content," Brownlow notes, "but one needs constant updating to have long-term value, the other doesn't."

The Po!nt: Set a royal standard. Don't make the mistake of producing email content for content's sake. "Always bear in mind how that content contributes to your business success," Brownlow concludes.

Source: Email Marketing Reports.

Looking for great email marketing data? MarketingProfs reviewed hundreds of research sources to create our most recent Email Marketing Factbook (May 2010). With 129 pages and 90 charts, it is full of relevant email marketing stats and trends. The Email Marketing Factbook is Part 1 of the complete Digital Marketing Factbook (our 296-page full report).

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And the BIG Money goes to....


Hey, it's tax season in the U.S. of A.

And lot's of folks use Uncle Sam as a savings account, with tax refunds as their annual payoff.

Here's who will benefit in 2011 according to a report from Mediapost in my email this week:

Tax Returns To Buy TVs, Furniture And A Vacation

According to the National Retail Federation's 2011 Tax Returns Consumer Intentions and Actions Survey, many Americans are now keen to use their tax refunds to treat themselves or their families to a major purchase. 13.2% of Americans will spend their refund on a big ticket item, such as a new television or furniture up from 12.5% last year.

But with the economy also serving as a reminder that it's best to be financially prepared for the worst, 42.1% of people will put their refunds away for a rainy day vs. 40.3% in 2010. 66.2% of tax payers are expecting a refund this year, up from 65.5% last year.
Matthew Shay, NRF President and CEO, says "Despite the difficult unemployment situation... Americans receiving a tax refund this year seem eager to plough this money back into the economy... NRF is becoming more bullish about the economic recovery."

Other ways consumers will use their refunds include:

  • 41.9% of consumers plan to pay down debt.
  • 11.9% planning a vacation
  • 29.7% paying for everyday expenses

This year, 57.6% of U.S. taxpayers will file their taxes online, up from just 50.1% in 2007:

  • 35.2% will prepare their taxes using computer software
  • 21.5% will use an accountant
  • 19.3% will use a tax preparation service
  • 10.9% will have a friend, spouse or other relative prepare their taxes for them
  • 13.2% will prepare their taxes by hand

According to the survey, 63.9% of Americans will have filed their taxes by the end of February, meaning that many tax returns have already been received or are on the way. An additional 21.1% will file in March and 15.0% will wait until the last minute and file in April.

Phil Rist, Executive Vice President, Strategic Initiatives, BIGresearch, notes that "Many Americans have spent the last few years paying down debt with their tax refunds, but... others are looking to the future... by putting their ‘free money' in a savings account... "

For more information from the NRF and BIGresearch, please visit here.

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Selling Like Charlie Sheen

This is from the TalkingMediaSales.com site:

What a Sales Person Can Learn from Charlie Sheen

sheen

The last week has been an interesting one if you’re a celebrity watcher. I’m talking of course about Charlie Sheen.

Regardless of your opinion on him and his very public fall from grace, it’s interesting as a sales person to see what kind of lessons you can take from it.

Let’s start with the product. Charlie Sheen is trying to sell himself, and it seems to be selling the producers of his hit show on hiring him back. Whether this is the right way to go about convincing them (especially in light of asking for a 50% pay rise), remains to be seen.

His strategy here is to try and rally popular support in order to do so – in joining Twitter just 2 days ago, he has amassed over a million followers. But he is also hitting the media trail, which you can liken to cold calling. And he’s been effective – in the space of 3 days, he has managed interviews with ABC, NBC, and CNN to go in and tell his story – which is perhaps the biggest lesson.

A couple of days ago, we shared a story on our Facebook page about being in love with your sales story, by Mike Weinberg. Sheen clearly loves his, because he tells it with such conviction. Sure, his story is low on benefit and high on crazy, but he sells it. He has belief in the facts of his story and a passion for his medium (himself), and he hammers it home.

So is it effective? Maybe not, but everyone in the world now knows the story. Do your clients know yours?

PHOTO – HOY! SUSHI

This post by Ben Shute

Ben has spent more than a decade in the media industry, across a number of mediums. He has worked for News Limited as an advertising sales manager across two of Australia’s biggest newspapers, and more recently as a sales strategist Yahoo!7.

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Thursday, March 03, 2011

Thursday Night Marketing News from Mediapost


Our nightly wrap up. Click & Read:

Beverages
by Karlene Lukovitz
Coca-Cola's decision to full-out acquire Honest Tea (it acquired 40% in February 2008, for $43 million) clearly means that the former sees substantial benefit in continuing to provide the organic tea maker with the formidable distribution and other resources at its disposal to help drive continued growth. ...Read the whole story >>
Retail
by Sarah Mahoney
Valassis owns RedPlum.com, and News America owns SmartSource.com, both leading digital coupon sites. The intention is to make both sites more robust, John Lieblang, president of Valassis Digital Media, tells Marketing Daily, greatly expanding the number of coupons available to consumers. ...Read the whole story >>
Food
by Aaron Baar
The council, a division of the National Fisheries Institute, is embarking on a month-long campaign to place ads in nearly 1,000 health clubs in 20 markets promoting "Tuna the Wonderfish." The effort, financed in large part by the three major tuna brands (Bumble Bee, Chicken of the Sea and StarKist). ...Read the whole story >>
Automotive
by Karl Greenberg
The firm said General Motors and Nissan showed the biggest year-over-year boosts in incentives among the top six automakers and that leases constituted about a quarter of new car transactions, making it the highest month for lease penetration since November 2005, when nearly a third of transactions were leases. ...Read the whole story >>
Financial Services
by Tanya Irwin
Having calculators or a few content articles about the home-buying process is no longer a viable strategy for mortgage lender websites. Bank of America, Chase and PNC have raised the bar with new tools, positioning those lenders as a "trusted partner" throughout the process, according to a report from Change Sciences Group. ...Read the whole story >>
Packaged Goods
by Karl Greenberg
Castrol is continuing its partnership with the FLW Outdoors tournament fishing organization for the 10th season. FLW Outdoors is the largest fishing tournament organization in the world, offering anglers worldwide the opportunity to compete for millions over the course of 191 tournaments in 2011. ...Read the whole story >>

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Still considering Groupon?

A lot has been talked about and written about Charlie Sheen, I mean Groupon in the past few months. Take a look at this from one of my clients:

Two Sides of the Social Buying Coin

Mar. 1, 2011

Thom Villing
Thom Villing

Two Sides of the Social Buying Coin

Lately all the buzz has been about social buying websites like Groupon, LivingSocial and SlickDeals. Everyone loves a bargain. I know I like the idea of getting half price at a good restaurant – whether it’s an old favorite or a new one I’ve been meaning to try. And it’s a great way for the business to get trial. Everyone wins, right?

Well, not so fast, my friend. Last month Scott Tingwald wrote about Groupon engaging in some activities that could hurt its brand. There are other factors retailers may want to consider before jumping on the social buying bandwagon.

The biggest concern for retailers should be whether they are willing to risk devaluing their product. There is always a point of diminishing return when it comes to discounting. If a product is always on sale, why would anyone ever buy it at full retail? Unless they are desperate, most consumers will simply wait until the next coupon mailer or this week’s “sale of the century.”

“There’s no doubt social buying sites have tremendous potential.”

There’s also the issue of selling below cost. If costs are higher than the selling price, “making it up on volume” is a dubious strategy. As I understand it, sites like Groupon essentially require retailers to discount their products by 75 percent. The consumer gets 50 percent off. The retailer and Groupon split the other 50 percent. That leaves the retailer with 25 cents on the dollar.

So what’s the problem? It’s just a temporary loss leader to stimulate trial. Nothing new or radical about that. Until it runs into that pesky old law of unintended consequences.

Let’s say all these new customers are just bargain hunters. They have no plans for return visits and don’t even fit in with the profile of the company’s regular customers. In fact, the influx of activity could upset the regulars and exceed the capacity of the organization to provide a positive experience for everyone. That’s seldom a good thing, and may be very costly.

But wait! There’s more. Never forget the nature of social media users. Many of them like to make their opinions known. That means reviews on sites like Yelp or Groupon itself. If those reviews are positive, great. If not… well, you get the picture.

There’s no doubt social buying sites have tremendous potential. For certain businesses, these sites can be a powerful new marketing tool. But as the old expression goes, “there are two sides to every coin.” So before you make the call, it would be good to know which is the winning side for your business.

To get our latest articles when they are posted, please subscribe by e-mail or RSS.

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New Ad Campaigns

Amy's weekly update:

Subaru brings sexy sumo back. Bedazzled Snapple bottles. Let's launch!


1John Jameson would do anything to save his famous Irish whiskey from the great fire of 1789. When a sensible plan fails to pan out, Jameson takes extreme measures and opens a dam, covering the town with raging waters. "In the end, the not-so brilliant plan saved the whiskey. And all of Ireland agreed: catastrophe averted," closes "Fire," seen here. TBWA/Chiat/Day New York created the ad for Jameson Irish Whiskey. Noam Murro directed it.

1Virgin Mobile brings crazy front and center with a pair of TV ads promoting the LG Optimus V, coupled with a $25 unlimited data plan. The ads show a woman who goes a tad overboard with staying connected to the man she's dating. And by overboard, I mean stalking and breaking and entering. In "First Date," a woman stalks her date from high above a tree, watching him read inside his apartment. To pass the time, she can check his Flickr stream and compare herself to his exes and send pictures to her mother. Watch it here. The same woman wonders why her date hasn't responded to the countless text messages sent. She knows he's home, for she's hiding in his closet and about to check-in via Foursquare. See the ad here. Mother created the campaign.

1How would you react if a sumo wrestler was inside your garage, leaning against your car? If you own a 2011 Subaru Forester, this sexy scene comes standard. Subaru first introduced viewers to sexy sumo wrestlers back in 2008. They're back in 2011, and they go where you go. Having a romantic moment with your girlfriend can be difficult when a wrestler's butt is in your line of vision. Park your Forrester in a no-parking zone? You'll probably get a ticket, but don't leave the ticket between the wrestler's legs. He doesn't like that. He does, however, enjoy car wash baths... in slow motion. "With the new Japanese-engineered Subaru Forester, sexy comes standard," says the voiceover. Watch the ad here, created by DDB Toronto. OMD handled the media buy.

1New York Presbyterian Hospital is running a phenomenal TV campaign, dubbed "Amazing Stories," featuring recovered patients, in their own words, describing the care they received by hospital doctors and staff. One patient that stood out for me was Matt Long. I recently purchased his book, "The Long Run," and recognized him immediately. Long is a New York City firefighter and marathon runner who was biking to work during the 2005 transit strike when he was hit by a bus. He tells two separate stories. The first ad praises his nurse, who came to work on her day off to make sure Long's dressings were properly changed. See it here. The second ad floored me. An orthopedic surgeon was called to the hospital to care for Long. He was unable to get past a certain street, because he was traveling alone and a minimum of four people was needed. The doctor drove back home and put his two kids and pregnant wife, who was on bed rest, into the car, so he could get to the hospital. Incredible. Watch it here. Munn Rabot, New York created the campaign, edited by wild(child).

1The Las Vegas Convention and Visitors Authority launched "Tough Questions," the latest ad in its ongoing "What happens here, stays here," campaign. In it, a dad seamlessly explains to his young daughter how babies are made, using a stuffed rabbit and whale as props. When the youngster asks why adults like to visit Las Vegas, the father becomes a bumbling mess, deferring the hard question to mommy. See the ad here, created by R&R Partners.

1Snapple doesn't need bells and whistles attached to its bottles to prove that it's extraordinary; using green tea, black tea and real sugar does the trick. A factory manager notices a number of Snapple bottles on the assembly line are equipped with gadgets: moving feet, bells, confetti and lights. He confronts a pair of assembly workers (very reminiscent of "Laverne and Shirley's" opening scene) and informs them that Snapple doesn't need outer accoutrements to make it better. Watch the ad here, created by Deutsch LA.

1A woman is one scratch away from buying the coveted necklace she dreams of in a TV ad for Colorado Lottery's Cool Millions game. Perhaps if she wins the voices will stop. The woman marches into a jewelry store, right up to her favorite piece of expensive jewelry. It talks back to her, and encourages her to scratch her lotto ticket inside the store, while wearing the piece of talking jewelry. As the voiceover states: "With three chances to win an instant million dollars, your wish list might start coming to life." See the ad here, created by Cactus, Denver.

1I'm resurrecting an old Web film from last year that continues to amuse me. Land Rover launched "Sword Collector" to promote the safety drivers and passengers will experience inside a LR4. The kicker is, you don't need to be driving the LR4 to feel safe. A man brings his sword-collecting co-worker outside. Carrying a sword in his belt, the collector asks: "is this about my swords?" It's not until the co-worker sits safely inside his Land Rover that he tells his colleague: "I lied. It is about the swords, actually. HR says they all have to go." "You'll feel safe inside," closes the film, seen here and created by Young & Rubicam New York.

1Random iPhone and Android App of the week: The Watsons created an app for the New York City Health Department called the NYC Condom Finder. The app uses a smartphone's GPS system to locate venues distributing free NYC condoms with packaging selected by fans. The app also provides information about the NYC Condom program and a "dos and don'ts" for condom usage. The free app is available in the App store and Android store.


Amy Corr is managing editor, online newsletters for MediaPost. She can be reached at amyc@mediapost.com.

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Call Prep

from my email:

Daily Sales Tip: Asking the Right Questions

You can improve the quality of questioning during sales calls by spending five minutes before each call thinking about these points:

* Determine the answers you need to find out. Choose pieces of missing information that you must get from the prospect.

* Try to phrase your questions in an effective manner. If you phrase your questions poorly, you may get loaded, self-serving or defensive answers.

* Ask your questions in an appropriate sequence. No matter how appropriate your questions are, you may not get the information you need if they're asked in the wrong order.

* Look for specific information about buyer needs. What are the specific results that the prospect expects to gain from what you're selling?

* Try to find more information about competitors. What are their primary strengths and weaknesses? What is the price differential between you and your competitors? Is price a major factor with this prospect?

Source: Adapted from How to Listen and Double Your Influence With Others, by sales trainer/author Brian Tracy

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Wednesday, March 02, 2011

Wednesday Night Marketing News from Mediapost

Click & Read:


Retail
by Tanya Irwin
The combined wasted dollars spent by both JCPenney and Stella Artois indicate that advertisers need to do a better job of testing, especially ads debuting during the high-priced media buy of big events, says Ace Metrix's Peter Daboll, adding that the Stella Artois ad also shows that using a celebrity does not ensure an ad hit. ...Read the whole story >>
Automotive
by Karl Greenberg
The automaker posted a 50% jump in sales last month, with 207,028 deliveries of Buick, GMC, Chevrolet and Cadillac. Retail sales alone were up 70%, which the company says is the highest year-over-year gain in its history. In the first two months this year, GM's total sales have risen 36%, with the retail portion of that up 52%. ...Read the whole story >>
Entertainment
by Aaron Baar
"We're seeing the momentum our business has gained with the explosion of smartphones; it's fueling the growth in our subscriber base," John Irwin, president of Rhapsody, tells Marketing Daily. "This is the right time to raise the awareness of the value that on-demand music can bring to the music fan." ...Read the whole story >>
Retail
by Sarah Mahoney
Add Best Buy to the list of big-box retailers looking to jump-start home appliance sales. The Minneapolis-based chain is upping the ante on such competitors as Lowe's, Sears, and Home Depot, and says it is now offering free delivery, haul-away, and no-interest financing on all its home appliance purchases. ...Read the whole story >>
Automotive
by Karl Greenberg
Nissan Motor's luxury division Infiniti used its Tuesday press conference at the Geneva Auto Show both to show a concept vehicle and to roll out a global brand strategy. Under the wraps was a car called Etherea, a harbinger of where Infiniti design is headed. ...Read the whole story >>
Restaurants
by Karlene Lukovitz
More than two-thirds (66%) of restaurant diners confirm that they are interested in healthier breakfast options, according to Mintel. Further, regardless of the day of the week, two-fifths of consumers who eat breakfast out say that healthy breakfast options are the "most important" factor in selecting a breakfast venue. < ...Read the whole story >>

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