Early in my career Jerry, the marketing director at my company, came to me and said we need to develop a UMPOD for an upcoming new product launch.
“Sure,” I said. “I’ll get right on it.”
There was only one problem. I had no idea what Jerry was talking about.
UMPOD…what exactly was that? I had never heard the term before. Since this was in the early 90’s I couldn’t Google it nor could I relate it to some new product extension of on iPod because they were still 6-7 years away from hitting the market for the first time.
So with nowhere to turn I just decide to forge ahead as best I could. But I didn’t give up trying to figure out what this UMPOD thing was. Over the next few days I tried to slip the UMPOD reference into discussions with my marketing counterparts to see what they could tell me.
“You know,” I said to one of our brand managers, “Jerry has asked me to develop copy for a new UMPOD. I really have some good ideas and I can’t wait to get started.”
“Yeah, he really likes those UMPODs,” was the response.
As the day went on I received similar responses from others on the marketing team to my UMPOD references. This was getting me nowhere.
Stay calm I said to tell myself. I could sense clouds of doubt starting to creep towards me. Okay, so maybe I wasn’t going to be able to figure out this UMPOD thing, but perhaps I could develop a different approach for Jerry. I knew he wanted this for that new product launch and I knew the product had a newer, patented technology that comparable products didn’t have. Why don’t I start by writing about that? And I also remembered that we had just finished some field testing on this product and we had data that showed how it outperformed competitive products. I just needed to find that data to see what products it had tested against.
I found the results from the field testing and it confirmed that our new product would have some points of difference when it hit the market. So I put my copywriting hat on and started to formulate some good sell copy that would promote that distinction and establish a good value proposition for the product that could be integrated into all collateral and advertising touch points.
So maybe I hadn’t cracked the case of the UMPOD, but I at least felt good that I had developed a good value proposition story for the launch that called out some good points of difference. In lieu of that UMPOD, I at least had something to give to Jerry.
Since we were still a few years away from email correspondence, I walked to Jerry’s corner office the next day and handed him a copy of what I had developed.
He took my offering in his hand and swiveled his chair around to face towards the window as he began to read it. I had written about a page, but it seemed to take forever for him to get through it. This didn’t feel good, I thought. I looked towards his office door and wondered if I could bolt through it before he turned his chair back towards me. I don’t’ know...it was about nine to ten feet away. If only it was casual Friday and I had my running shoes on…
As I continued to contemplate my next move, Jerry spun back towards me and flicked the paper on top of this desk.
Always a fast thinker, the word “Sooo” came out of my mouth half spoken as a statement and half as a question.
Jerry paused. Then he spoke.
I was looking to get a good UMPOD out of you. But instead I get this?
“Jerry, uh…let me …,” I started to mutter not knowing where I was going.
“This is not good,” he interrupted, “it’s …actually…one of the best UMPODs I ever seen. You know, I see so many brands out there without a good one it’s just unbelievable. Why anyone would launch a product without one, well that’s just Brand NonSense. Good job.”
...oh by the way...if you haven't yet figured out what UMPOD stands for, its 'Unique and Meaningful Point of Difference.' And its something every product or service should have to differentiate it from competitors. And as Jerry said some years ago...if you don't have one--its Brand NonSense.
Monday, August 6, 2012
Wednesday, August 1, 2012
I'm Baaack
Ok, so its been a while…4 years to be exact…but I just wanted to make sure that this blogging thing wasn’t just some passing fade before I made a full time commitment to it. But now I’m back and in the coming days / weeks will be adding some new reflections on the word of brands and the things marketers do to enhance them…and tear them done.
The latter, of course makes no sense, which is why this site it called Brand NonSense.
Saturday, July 26, 2008
On The Go...Or Slow Go
A few months ago in this space, I served up a recipe for a full Thanksgiving dinner that could be fully prepared in a total of 9 minutes. I did this as a service for the new generation of “on the go” chefs who have become accustomed to routinely delivering quick meal solutions. I received several responses from fellow bloggers who were dismayed and taken back at the idea of a quick serve Thanksgiving meal. But what I found most interesting was that no one seemed to think THEY were an “on the go” chef. In fact, many seemed a bit angered at the thought of being lumped into this group – especially on Thanksgiving.
Nonetheless, the “on the go” cooking lifestyle has been driven by the needs and desires of consumers for many years. It is not a new trend at all. More than ever the food industry continues to innovate towards products that offer maximum convenience and ease of preparation, while maintaining “made from scratch” quality. And we all know this trend is not going to change. It is just going to become more accelerated thanks to advances in food technology and brand innovation that is focused on making products better and easier to use.
And guess what. These industry trends and product innovation may be transforming you too into an “on the go” chef. It may have already happened and you just don’t know it. Okay, maybe you are not ready to accept this classification on special holidays just yet, but you may already be closer than you think based on your everyday cooking approach.
So to determine if you are an “on the go” or “slow go” chef, I have created a short quiz. Try it. It’s as easy as boiling water (assuming you remember how to do that!).
Questions 1-10: please answer “Yes or No”.
1. Have you ever broken open an egg? (and dropping one on the floor doesn’t count!)
2. Have you ever purchased “Standard” Quaker Oats Oatmeal?
3. Did you even know there was a “Standard” Quaker Oats Oatmeal?
4. Do you ever worry that you left the house and forgot to turn off the oven?
5. Have you ever opened the Joy of Cooking?
6. When you feel like making mashed potatoes, do you check first to see if you have any potatoes?
7. Do you own a mixing bowl?
8. Have you ever simmered anything?
9. Have you ever made Macaroni and Cheese from scratch?
10. Did you know that preparing Kraft Macaroni and Cheese is not considered “making it from scratch”?
Questions 11-15: please choose A, B or C
11. A rolling pin is: A) something that occurs after a nice shot at the bowling alley, B) used in the kitchen to roll dough, C) something I saw my mom chase my dad around the house with once when I was young.
12. The last time I turned my oven on was to: A) heat up a left over slice of pizza, B) cook a meatloaf, C) take the chill out of the house.
13. There is nothing worse than arriving home at dinner time only to realize your: A) flat screen TV is not working, B) dog has run away, C) microwave is not working.
14. Dice is: A) a gambling game played extensively in Las Vegas, B) cutting cube-shaped pieces especially of meat or vegetables, C) what you roll to play Monopoly.
15. On average, the time I spend making dinner is best described as A) around 30 minutes but I wish it could be longer, B) a minimum of 60 minutes to ensure proper preparation and attention to detail, C) where can I get a copy of that 9 minute Turkey recipe mentioned earlier?
Scoring:
· Questions 1-10: add 3 points for every “Yes” and add 10 points for every “No”
· Questions 11-15: add 5 points for every “A”, 2 points for every “B”, and 10 points for every C
Results:
· 40-75: you are the classic “slow go” chef, both Emeril and Betty Crocker would be proud of you, please invite me to your next holiday dinner.
· 76-114: you are like the middle dial setting on your stove top, somewhere between fast boil and slow simmer.
· 115-150: you think Minute Rice takes too long to cook, welcome officially to the “on the go” club!
Don’t worry if you find yourself in the “on the go" club because you are not alone.
It actually makes a lot of Brand Sense..but for the traditionalists, it feels like Brand NonSense.
Nonetheless, the “on the go” cooking lifestyle has been driven by the needs and desires of consumers for many years. It is not a new trend at all. More than ever the food industry continues to innovate towards products that offer maximum convenience and ease of preparation, while maintaining “made from scratch” quality. And we all know this trend is not going to change. It is just going to become more accelerated thanks to advances in food technology and brand innovation that is focused on making products better and easier to use.
And guess what. These industry trends and product innovation may be transforming you too into an “on the go” chef. It may have already happened and you just don’t know it. Okay, maybe you are not ready to accept this classification on special holidays just yet, but you may already be closer than you think based on your everyday cooking approach.
So to determine if you are an “on the go” or “slow go” chef, I have created a short quiz. Try it. It’s as easy as boiling water (assuming you remember how to do that!).
Questions 1-10: please answer “Yes or No”.
1. Have you ever broken open an egg? (and dropping one on the floor doesn’t count!)
2. Have you ever purchased “Standard” Quaker Oats Oatmeal?
3. Did you even know there was a “Standard” Quaker Oats Oatmeal?
4. Do you ever worry that you left the house and forgot to turn off the oven?
5. Have you ever opened the Joy of Cooking?
6. When you feel like making mashed potatoes, do you check first to see if you have any potatoes?
7. Do you own a mixing bowl?
8. Have you ever simmered anything?
9. Have you ever made Macaroni and Cheese from scratch?
10. Did you know that preparing Kraft Macaroni and Cheese is not considered “making it from scratch”?
Questions 11-15: please choose A, B or C
11. A rolling pin is: A) something that occurs after a nice shot at the bowling alley, B) used in the kitchen to roll dough, C) something I saw my mom chase my dad around the house with once when I was young.
12. The last time I turned my oven on was to: A) heat up a left over slice of pizza, B) cook a meatloaf, C) take the chill out of the house.
13. There is nothing worse than arriving home at dinner time only to realize your: A) flat screen TV is not working, B) dog has run away, C) microwave is not working.
14. Dice is: A) a gambling game played extensively in Las Vegas, B) cutting cube-shaped pieces especially of meat or vegetables, C) what you roll to play Monopoly.
15. On average, the time I spend making dinner is best described as A) around 30 minutes but I wish it could be longer, B) a minimum of 60 minutes to ensure proper preparation and attention to detail, C) where can I get a copy of that 9 minute Turkey recipe mentioned earlier?
Scoring:
· Questions 1-10: add 3 points for every “Yes” and add 10 points for every “No”
· Questions 11-15: add 5 points for every “A”, 2 points for every “B”, and 10 points for every C
Results:
· 40-75: you are the classic “slow go” chef, both Emeril and Betty Crocker would be proud of you, please invite me to your next holiday dinner.
· 76-114: you are like the middle dial setting on your stove top, somewhere between fast boil and slow simmer.
· 115-150: you think Minute Rice takes too long to cook, welcome officially to the “on the go” club!
Don’t worry if you find yourself in the “on the go" club because you are not alone.
It actually makes a lot of Brand Sense..but for the traditionalists, it feels like Brand NonSense.
Tuesday, December 4, 2007
Size Matters
First let me clarify that I am talking about marketing trends in the food and beverage products category here. So stay with me. Because more than ever I see that size matters.
Let’s face it, we are a society that has been brought up to think bigger is better. It really is a psychological thing. I mean why should we settle for a small or medium sized offer when you can colossal-size or super-size? Who wouldn’t agree that bigger is better?
And yes, I am still talking about food and beverage.
Lately I’ve been encouraged by the smaller size trend in the industry and its effect on product offers and packaging. Smaller portions are popping up everywhere. Portion control has always been a major facet of dietary regimens but finally the rest of the industry seems to be taking note. For decades, we've been told to shape up, eat better and control our amount of calorie intake. Americans are becoming too obese. Much of this obesity has been due to the lack of portion control, fatty foods and demanding consumers wishing to get more for their money. This and the lack of restraint at feeding time.
Industry manufacturers are certainly paying attention. And as far as consumer packaged products go there seems to be a new direction. There are individual packets for snack foods, bite-sized breakfast snacks, bite-sized ice cream poppers, one cup coffee pods, pocket-sized diet bars, and my favorite: energy drinks that come in thin 8 oz. bottles.
The bigger the package you pour from, the more you will eat or drink. Larger portion sizes result in more consumption. Put the contents from a jumbo box into a small individual–sized package and consumers will eat less. The smaller the box, the less you prepare and the less you eat. It’s all about creating an illusion.
On the flip side, this can backfire for the consumer’s purchasing decision. They may simply buy more product. Talk about a marketer’s dream! Though not too good for obese America.
But forget about that. It’s not certain that food and drink manufacturers will help trim America’s waistline with this new smaller portion packaging. It’s a long-standing and open debate whether they carry this social responsibility to do so or not.
But what I like most about the smaller portion trend today is that consumers are getting the best of both worlds: convenience and taste. Food companies are producing new small products with big taste. Gastronomically speaking, smaller sizes combined with new and interesting ingredients are bringing about big and exotic new flavors too. Exciting ingredients, fewer calories, bigger taste. Layered flavors are sending sales of food such as cheeses, condiments and ethnic foods soaring. There are new flavored oils and vinegars, pairings of fruit and tangy flavors, and Asian and Latin American flavors which are all in vogue. It’s starting to feel like some sort of “gastro-orgy”.
All of this makes it an exciting time for the food and beverage brands. And for consumers as well. As long as you remember one thing - size matters.
Again I can say this is not Brand NonSense…it actually makes a lot of Sense!
And yes I am still talking about food and beverage!
Let’s face it, we are a society that has been brought up to think bigger is better. It really is a psychological thing. I mean why should we settle for a small or medium sized offer when you can colossal-size or super-size? Who wouldn’t agree that bigger is better?
And yes, I am still talking about food and beverage.
Lately I’ve been encouraged by the smaller size trend in the industry and its effect on product offers and packaging. Smaller portions are popping up everywhere. Portion control has always been a major facet of dietary regimens but finally the rest of the industry seems to be taking note. For decades, we've been told to shape up, eat better and control our amount of calorie intake. Americans are becoming too obese. Much of this obesity has been due to the lack of portion control, fatty foods and demanding consumers wishing to get more for their money. This and the lack of restraint at feeding time.
Industry manufacturers are certainly paying attention. And as far as consumer packaged products go there seems to be a new direction. There are individual packets for snack foods, bite-sized breakfast snacks, bite-sized ice cream poppers, one cup coffee pods, pocket-sized diet bars, and my favorite: energy drinks that come in thin 8 oz. bottles.
The bigger the package you pour from, the more you will eat or drink. Larger portion sizes result in more consumption. Put the contents from a jumbo box into a small individual–sized package and consumers will eat less. The smaller the box, the less you prepare and the less you eat. It’s all about creating an illusion.
On the flip side, this can backfire for the consumer’s purchasing decision. They may simply buy more product. Talk about a marketer’s dream! Though not too good for obese America.
But forget about that. It’s not certain that food and drink manufacturers will help trim America’s waistline with this new smaller portion packaging. It’s a long-standing and open debate whether they carry this social responsibility to do so or not.
But what I like most about the smaller portion trend today is that consumers are getting the best of both worlds: convenience and taste. Food companies are producing new small products with big taste. Gastronomically speaking, smaller sizes combined with new and interesting ingredients are bringing about big and exotic new flavors too. Exciting ingredients, fewer calories, bigger taste. Layered flavors are sending sales of food such as cheeses, condiments and ethnic foods soaring. There are new flavored oils and vinegars, pairings of fruit and tangy flavors, and Asian and Latin American flavors which are all in vogue. It’s starting to feel like some sort of “gastro-orgy”.
All of this makes it an exciting time for the food and beverage brands. And for consumers as well. As long as you remember one thing - size matters.
Again I can say this is not Brand NonSense…it actually makes a lot of Sense!
And yes I am still talking about food and beverage!
Monday, November 19, 2007
Thanksgiving On the Go
Thanksgiving. It is one of my favorite holidays. It conjures up many memories and traditions. From family gatherings, to cooking in the kitchen for many hours, to the smells that fill the house, to the anticipation of the big feast – these are the associations I have with Thanksgiving.
But the world is changing. As such, even my traditional associations with Thanksgiving seem quite in contrast to consumer trends in the food industry. Today it is all about convenience. Meals are rarely cooked from scratch anymore – they are fast and on the go.
Today brands promote terms such as ready-made, self-heating, single-serve, in the car, 90-second, etc. All of this caters to the needs of consumers for fast and convenient meals. Who has time to cook from scratch? Today we are becoming a society of on the go chefs where a microwave or a self-heating can is our best friend.
So how does the traditional home cooked Thanksgiving meal fit into this new world of super fast convenient meals? More importantly, as consumers move further away from cooking from scratch, can the slow-cooked Thanksgiving meal survive or will it go the way of the floppy disk? Will the Thanksgiving dinner evolve into some on the go version that is whipped up in less than 15 minutes without ever turning on the oven?
Maybe.
So for this new legion of on the go chefs I have created a recipe for a full traditional Turkey feast: turkey, sweet potatoes, stuffing, corn, gravy, cranberry sauce and pumpkin pie – in the fastest cooking time and with minimal use of kitchen appliances or tools.
It all starts with the turkey. But who needs to prepare that big bird when you can pick up Butterball Oven Roasted Turkey Strips which are sure to taste fresh since they are delivered in a resealable freshness container (perfect for all those leftovers) which is also dishwasher safe.
Cooking time - 0 minutes.
Next come the sweet potatoes. A can of private label sweet potatoes will do just fine. Just dump them in a bowl and put in the microwave for 2 minutes. Unfortunately you will need a can opener, as this pack does not have a pull lid. Oh well.
Cooking time - 2 minutes.
Next comes the stuffing courtesy of Kraft and Stove Top stuffing. It always tastes great, but will take 5 minutes to cook. Can’t they make this cook faster?! And you will have to turn on the stove (it’s that big thing below the microwave) and boil water in a saucepan. I know, this is getting complicated! Okay stay calm…it is Thanksgiving.
Cooking time - 5 minutes.
Corn and gravy are next. These should be easy, thankfully, and will permit some time to recover from all the work spent on the stuffing. For corn, I’ve chosen Green Giant Just for One. It comes in microwavable trays and cooks in 2 minutes. No can opener needed – perfect! For gravy it’s a can of Heinz Turkey Gravy that comes with a pull open lid. Just dump into a bowl. Next put both the corn and the gravy in a microwave and cook at the same time. Talk about multi-tasking!
Cooking time - 2 minutes.
Cranberry sauce is one of my favorites. In the old days I either made it from scratch or bought the jelly in a can. But it was so difficult to get the contents to slide out of the can in one piece. Instead I recommend Ocean Spray Squeezable Cranberry Sauce. Just put it on the table and you are set.
Cooking time - 0 minutes.
Finally it’s down to dessert. Baking requires too much time so instead my recipe calls for a ready made pumpkin pie from you local market. Just put it on the table and cut. I’m hopeful that by next year they will sell it pre-sliced so you have one less thing to deal with.
Cooking time - 0 minutes.
So there you have it. An on the go full Thanksgiving feast cooked in less than 10 minutes. Who needs to spend all that time in the kitchen? Due to new technology and innovation in the food industry, it doesn’t have to be you. Now that is something to be thankful for!
And for those who want it fast and convenient, this one is not Brand NonSense…it actually makes a lot of Sense!
But for those traditionalists, it’s really…Brand NonSense.
But the world is changing. As such, even my traditional associations with Thanksgiving seem quite in contrast to consumer trends in the food industry. Today it is all about convenience. Meals are rarely cooked from scratch anymore – they are fast and on the go.
Today brands promote terms such as ready-made, self-heating, single-serve, in the car, 90-second, etc. All of this caters to the needs of consumers for fast and convenient meals. Who has time to cook from scratch? Today we are becoming a society of on the go chefs where a microwave or a self-heating can is our best friend.
So how does the traditional home cooked Thanksgiving meal fit into this new world of super fast convenient meals? More importantly, as consumers move further away from cooking from scratch, can the slow-cooked Thanksgiving meal survive or will it go the way of the floppy disk? Will the Thanksgiving dinner evolve into some on the go version that is whipped up in less than 15 minutes without ever turning on the oven?
Maybe.
So for this new legion of on the go chefs I have created a recipe for a full traditional Turkey feast: turkey, sweet potatoes, stuffing, corn, gravy, cranberry sauce and pumpkin pie – in the fastest cooking time and with minimal use of kitchen appliances or tools.
It all starts with the turkey. But who needs to prepare that big bird when you can pick up Butterball Oven Roasted Turkey Strips which are sure to taste fresh since they are delivered in a resealable freshness container (perfect for all those leftovers) which is also dishwasher safe.
Cooking time - 0 minutes.
Next come the sweet potatoes. A can of private label sweet potatoes will do just fine. Just dump them in a bowl and put in the microwave for 2 minutes. Unfortunately you will need a can opener, as this pack does not have a pull lid. Oh well.
Cooking time - 2 minutes.
Next comes the stuffing courtesy of Kraft and Stove Top stuffing. It always tastes great, but will take 5 minutes to cook. Can’t they make this cook faster?! And you will have to turn on the stove (it’s that big thing below the microwave) and boil water in a saucepan. I know, this is getting complicated! Okay stay calm…it is Thanksgiving.
Cooking time - 5 minutes.
Corn and gravy are next. These should be easy, thankfully, and will permit some time to recover from all the work spent on the stuffing. For corn, I’ve chosen Green Giant Just for One. It comes in microwavable trays and cooks in 2 minutes. No can opener needed – perfect! For gravy it’s a can of Heinz Turkey Gravy that comes with a pull open lid. Just dump into a bowl. Next put both the corn and the gravy in a microwave and cook at the same time. Talk about multi-tasking!
Cooking time - 2 minutes.
Cranberry sauce is one of my favorites. In the old days I either made it from scratch or bought the jelly in a can. But it was so difficult to get the contents to slide out of the can in one piece. Instead I recommend Ocean Spray Squeezable Cranberry Sauce. Just put it on the table and you are set.
Cooking time - 0 minutes.
Finally it’s down to dessert. Baking requires too much time so instead my recipe calls for a ready made pumpkin pie from you local market. Just put it on the table and cut. I’m hopeful that by next year they will sell it pre-sliced so you have one less thing to deal with.
Cooking time - 0 minutes.
So there you have it. An on the go full Thanksgiving feast cooked in less than 10 minutes. Who needs to spend all that time in the kitchen? Due to new technology and innovation in the food industry, it doesn’t have to be you. Now that is something to be thankful for!
And for those who want it fast and convenient, this one is not Brand NonSense…it actually makes a lot of Sense!
But for those traditionalists, it’s really…Brand NonSense.
Tuesday, November 13, 2007
The Innovation Journey
With the holiday season right around the corner, I’m sure many of you are planning trips, maybe even driving trips. As with any journey it is always a good plan to get directions and know where you are going before you start. This ensures you of knowing the fastest route and revealing where the roadblocks may be.
The innovation journey, much like a holiday excursion, also requires an understanding of where you want to go, the roadblocks you may hit and how long it could take. So before you get in the car and start your engine, here are some things to consider on the Innovation journey.
First, innovation must be fully aligned with your marketing strategies and objectives. Sounds obvious, right? But many marketers today undertake product innovation simply because they think change will provide an added benefit. This is not always a good thing, nor is it always greeted at the shelf with applause. Marketers oftentimes fail to properly align innovation with actual consumer needs, and this forces their strategy right off the road and into a ditch.
Innovation in product development and packaging design must be fully integrated; not separate. If not, your innovation strategy, like your brand planning, will never get out of the “garage.” More than anything, if you focus on being connected with the emerging needs and desires of consumers, your marketing strategy will unlock the clues on how innovation will lead to your product standing out on the shelf.
Another important element is understanding how consumers shop your category. How many of you have ever watched or observed consumers at point of purchase? (And no, reading research on how consumers shop doesn’t count). You have to see how they move and interact at the point of purchase. You have to know the environment your products occupy and realize what other forces are around it. Is it cluttered, poorly lit, noisy, cramped, or crowded? You must use these insights to challenge the norms to achieve distinction.
That’s real innovation.
Anything else is just some low-fat or reduced carb version of innovation. So understanding what I call “The Moment of Intimacy”, that brief two-second moment where consumers choose between brands and make a purchase decision at the shelf, is not only critical, it is key to staying competitively alive.
Innovation must keep the consumer’s needs in mind. And innovation must benefit your consumer by making a direct impact on their purchasing behavior. So remember, when planning any innovation “trip”, have a roadmap before you start, and carefully consider how it makes sense to your consumers. Otherwise you will never get out of your driveway.
And that makes no Brand Sense; it’s really…Brand NonSense.
The innovation journey, much like a holiday excursion, also requires an understanding of where you want to go, the roadblocks you may hit and how long it could take. So before you get in the car and start your engine, here are some things to consider on the Innovation journey.
First, innovation must be fully aligned with your marketing strategies and objectives. Sounds obvious, right? But many marketers today undertake product innovation simply because they think change will provide an added benefit. This is not always a good thing, nor is it always greeted at the shelf with applause. Marketers oftentimes fail to properly align innovation with actual consumer needs, and this forces their strategy right off the road and into a ditch.
Innovation in product development and packaging design must be fully integrated; not separate. If not, your innovation strategy, like your brand planning, will never get out of the “garage.” More than anything, if you focus on being connected with the emerging needs and desires of consumers, your marketing strategy will unlock the clues on how innovation will lead to your product standing out on the shelf.
Another important element is understanding how consumers shop your category. How many of you have ever watched or observed consumers at point of purchase? (And no, reading research on how consumers shop doesn’t count). You have to see how they move and interact at the point of purchase. You have to know the environment your products occupy and realize what other forces are around it. Is it cluttered, poorly lit, noisy, cramped, or crowded? You must use these insights to challenge the norms to achieve distinction.
That’s real innovation.
Anything else is just some low-fat or reduced carb version of innovation. So understanding what I call “The Moment of Intimacy”, that brief two-second moment where consumers choose between brands and make a purchase decision at the shelf, is not only critical, it is key to staying competitively alive.
Innovation must keep the consumer’s needs in mind. And innovation must benefit your consumer by making a direct impact on their purchasing behavior. So remember, when planning any innovation “trip”, have a roadmap before you start, and carefully consider how it makes sense to your consumers. Otherwise you will never get out of your driveway.
And that makes no Brand Sense; it’s really…Brand NonSense.
Monday, November 12, 2007
9 Out of 10
In his book “Why Companies Do Dumb Things,” Calvin Hodock the former Chairman of the Board of the American Marketing Association, states that over the last 60 years 9 out of 10 new products launches have failed. In the food category alone, he estimates the cost of these failures to be nearly $30 billion. Oh and by the way, who do you think has paid for these failures – the consumer.
Why, you may ask, are these failure numbers so high? As someone who has led innovation initiatives for one of the world’s largest companies and who has served as a consultant to others, I have my point of view.
First, no one really teaches marketers how to develop product innovation. Sure there are some business school courses that exist, but they have the same basic flaw. The focus is always on best practices. In my view, it should be worst practices.
Why you ask?
I believe most innovation fails because marketers continue to make the same mistakes over and over. Maybe marketers would be well served to look and learn from this history of failure. After all, those who forget their history - tend to repeat it.
Failure can be a rich instructional tool. Many of the best professional (and personal) lessons I have learned are directly linked to an initial failure. But most marketers are loath to talk to their professional failures and are more inclined to adopt what I call the No-Bad News Policy.
Why you ask?
Marketing groups within large global CPG companies tend to serve as a “Marketing Kindergarten” – a training or proving ground for inexperienced marketers. Here the goal is to see how quickly you can vault to your next role versus spending the required time and rigor to develop a true case for product innovation. As such, the focus is on quickly developing innovation strategies that will be perceived as meaningful and then moving upward to the next assignment before implementation and imminent failure can set in. This becomes a true recipe for failure.
The recipe usually begins with fuzzy front end strategic development that has been formulated through an unclear discovery period. Secondly, you blend in a lack of respect / full understanding for marketing research. Next you let the calendar drive your launch date by setting a timeline that is unrealistic. Of course you must stir in a sales forecast that meets or exceeds expectations, but likely fails to understand trail versus adoption. Finally this get baked into a glitzy innovation presentation intended to sell the virtue of the initiative to senior management, but is delusional in thinking competitors will do nothing in reaction (untrue especially with testosterone brands).
What’s missing? Well intuition based on some experience for one. And also creativity. Plus getting into the minds of the consumers and really understanding how they shop the category – and what really drives preference.
Why you ask?
Let’s take a look at History 101.
In 1983, Procter & Gamble launched Citrus Hill orange juice nationally and positioned it as the sweetest and best tasting juice in the market. In test markets in Indiana and Iowa during the previous year, Citrus Hill had reportedly grabbed a respectable 14% to 17% market share. P & G supported the Citrus Hill entry into this $3 billion category with a $100 million media blitz.
P & G does everything in a big way. When they enter a category, competitors view the marketing assault as a massive invasion. Said a Tropicana spokesman at the time, “We intend to aggressively defend every area where we’re doing business.” So what happened? Citrus Hill failed and was out of the market 10 years later.
Why you ask?
P & G failed to understand the category. Orange juice was and still is a price promotion category. It’s not necessarily about taste. Consumers purchase based on buying 2 for $5.00 and generally are not willing to pay more for a brand because of taste. Besides, the perception is they all taste about the same. Citrus Hill’s mistakes included marketing misjudgments and positioning issues. Being positioned as a better tasting juice was insignificant to consumers. The product and the benefit were out of sync.
Additionally P & G underestimated the competition which fought back by sticking to traditional price promotion strategies that where more relevant to shoppers.
The failure rate for new products is staggering. Let’s face it; Corporate America does not do innovation well. They talk about it. It’s something they all want. And they think anyone can develop new products.
Cost of innovation is a barrier. Most CEOs look to generate short term results to create shareholder value. Rarely can innovation be implemented at the same cost as the status quo. My challenge in leading a corporate innovation team was justifying the cost to bring something new to market and showing how it would generate increased revenue through the sale of more units.
So how do you improve the product innovation process? I see the need for innovation advisory committees made up of internal and external constituents (including consumers) that act as consultants – making recommendations, not decisions – to steer corporate marketing teams. These committees would look at best and worst practices and provide the foresight to understand markets and consumers before moving forward. But most importantly, they would be focused on embedding the business of product innovation within an industry that has a history of failure – 9 out of 10 that is.
Innovation is too important a contributor to economic growth for us not to do well. It is the engine of business growth. The real danger is that the engine will keep stalling unless we get innovation right.
What Corporate America has done with innovation makes no Brand Sense; it's really...Brand NonSense.
Why, you may ask, are these failure numbers so high? As someone who has led innovation initiatives for one of the world’s largest companies and who has served as a consultant to others, I have my point of view.
First, no one really teaches marketers how to develop product innovation. Sure there are some business school courses that exist, but they have the same basic flaw. The focus is always on best practices. In my view, it should be worst practices.
Why you ask?
I believe most innovation fails because marketers continue to make the same mistakes over and over. Maybe marketers would be well served to look and learn from this history of failure. After all, those who forget their history - tend to repeat it.
Failure can be a rich instructional tool. Many of the best professional (and personal) lessons I have learned are directly linked to an initial failure. But most marketers are loath to talk to their professional failures and are more inclined to adopt what I call the No-Bad News Policy.
Why you ask?
Marketing groups within large global CPG companies tend to serve as a “Marketing Kindergarten” – a training or proving ground for inexperienced marketers. Here the goal is to see how quickly you can vault to your next role versus spending the required time and rigor to develop a true case for product innovation. As such, the focus is on quickly developing innovation strategies that will be perceived as meaningful and then moving upward to the next assignment before implementation and imminent failure can set in. This becomes a true recipe for failure.
The recipe usually begins with fuzzy front end strategic development that has been formulated through an unclear discovery period. Secondly, you blend in a lack of respect / full understanding for marketing research. Next you let the calendar drive your launch date by setting a timeline that is unrealistic. Of course you must stir in a sales forecast that meets or exceeds expectations, but likely fails to understand trail versus adoption. Finally this get baked into a glitzy innovation presentation intended to sell the virtue of the initiative to senior management, but is delusional in thinking competitors will do nothing in reaction (untrue especially with testosterone brands).
What’s missing? Well intuition based on some experience for one. And also creativity. Plus getting into the minds of the consumers and really understanding how they shop the category – and what really drives preference.
Why you ask?
Let’s take a look at History 101.
In 1983, Procter & Gamble launched Citrus Hill orange juice nationally and positioned it as the sweetest and best tasting juice in the market. In test markets in Indiana and Iowa during the previous year, Citrus Hill had reportedly grabbed a respectable 14% to 17% market share. P & G supported the Citrus Hill entry into this $3 billion category with a $100 million media blitz.
P & G does everything in a big way. When they enter a category, competitors view the marketing assault as a massive invasion. Said a Tropicana spokesman at the time, “We intend to aggressively defend every area where we’re doing business.” So what happened? Citrus Hill failed and was out of the market 10 years later.
Why you ask?
P & G failed to understand the category. Orange juice was and still is a price promotion category. It’s not necessarily about taste. Consumers purchase based on buying 2 for $5.00 and generally are not willing to pay more for a brand because of taste. Besides, the perception is they all taste about the same. Citrus Hill’s mistakes included marketing misjudgments and positioning issues. Being positioned as a better tasting juice was insignificant to consumers. The product and the benefit were out of sync.
Additionally P & G underestimated the competition which fought back by sticking to traditional price promotion strategies that where more relevant to shoppers.
The failure rate for new products is staggering. Let’s face it; Corporate America does not do innovation well. They talk about it. It’s something they all want. And they think anyone can develop new products.
Cost of innovation is a barrier. Most CEOs look to generate short term results to create shareholder value. Rarely can innovation be implemented at the same cost as the status quo. My challenge in leading a corporate innovation team was justifying the cost to bring something new to market and showing how it would generate increased revenue through the sale of more units.
So how do you improve the product innovation process? I see the need for innovation advisory committees made up of internal and external constituents (including consumers) that act as consultants – making recommendations, not decisions – to steer corporate marketing teams. These committees would look at best and worst practices and provide the foresight to understand markets and consumers before moving forward. But most importantly, they would be focused on embedding the business of product innovation within an industry that has a history of failure – 9 out of 10 that is.
Innovation is too important a contributor to economic growth for us not to do well. It is the engine of business growth. The real danger is that the engine will keep stalling unless we get innovation right.
What Corporate America has done with innovation makes no Brand Sense; it's really...Brand NonSense.
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