So that’s why they keep sending me catalogs.

For years I have been baffled by the fact that after I buy something from a company online they start sending me catalogs.  I mean isn’t it clear that I do my shopping online?

Part of the mystery was solved when a friend who specializes in direct mail informed me that it only costs about a dollar to print and mail a catalog.  I guess when the cost is that low it’s worth the expense even if I immediately take it to the incinerator room, because one of my neighbors might pick it up and place an order. 

But a new Baynote study suggests a more obvious answer.  After analyzing consumer behavior across various retail channels during the 2012 holiday season they have discovered that paper catalogs influenced 81.9% more in-store purchases and 42.9% more online purchases than Facebook.  (Loechner, 2013)

I hope marketers are paying attention.

Loechner, J. (2013, January 21)  Paper Print Prevails For Purchases.  mediapost.com.  Retrieved January 23, 2013, from http://www.mediapost.com/publications/article/191470/paper-print-prevails-for-purchases.html#axzz2IpY1ovMW

Coca-Cola strikes back.

I live in Manhattan, where Mayor Bloomberg fought and won a battle to ban sugared sodas larger than 16 ounces.  (Lerner, 2012)  Now all the soda delivery trucks in the neighborhood have a billboard on the back that says – “Don’t let bureaucrats tell you what size beverage to buy.”  Whenever I see one, I fantasize about spray painting over the message – “Preserve your right to kill yourself by drinking too much soda!”

At this point you’d have to be in major denial (or not too bright) to not know about the health issues that have emerged for 2/3 of our population due to the consumption of too many calories.  Recent studies have pointed the finger squarely at sugared beverages.  Sugar-sweetened drinks are the single largest source of calories in our diet and account for 7% of our total calories while providing no nutritional value at all.  (Brody, 2012). 

I have found myself wondering why we aren’t just banning them outright, and have reached the sad conclusion that their low cal substitutes must be even more unhealthy than they are.  In fact, studies have suggested that Diet Coke sucks the potassium out of your body.  (Phillips, 2010).  So there’s no easy solution here.

But, with more than a few people recommending that we now fight soda consumption with the same multifaceted approach that has been used to reduce cigarette smoking it seems clear that change is on the horizon.  So it’s no wonder that Coca-Cola has decided to react.  They’ve posted two commercials on YouTube and quite frankly I find them to be very rational.  They point out that the company is giving consumers the freedom to make their own choices.  In fact, as someone commented perhaps they should make their new tagline:  “Coca-Cola:  It’s not our fault that you’re fat.”  (Forbes, 2013)  Needless to say they’re unlikely to make any meaningful contribution to the fight against obesity.  Here they are in case you missed them.

http://www.youtube.com/watch?v=zybnaPqzJ6s

http://www.youtube.com/watch?v=ByvHJ0uiXAo

On the other hand, there was a much more interesting editorial about the situation in the New York Times last week, pointing out that celebrities who would never dream of promoting cigarettes are thrilled to push soda.  Are you listening Beyonce?  (Bittman, 2013)

Just like with cigarettes the first step is to make drinking soda uncool.  I like that approach and hope that someone chooses to support it.  Which celebrity will step up first to do the right thing?

Lerner, G. (2012, September 14)  New York health board approves ban on large sodas.  cnn.com.  Retrieved  January 16, 2013, from http://www.cnn.com/2012/09/13/health/new-york-soda-ban/index.html

Brody, J. (2012, October 23)  In Fighting Obesity, Drink Sizes Matter.  New York Times. pD7

Phillips, K.  (2010, January 2)  Hypokalemia: Low Potassium.  insidershealth.com. Retrieved  January 16, 2013, from http://www.insidershealth.com/article/hypokalemia_low_potassium/3372

Forbes, T.  (2013, January 15)  Critics Jeer Coke’s Entrance Into Obesity Discussion.  mediapost.com.  Retrieved  January 16, 2013, from http://www.mediapost.com/publications/article/191073/critics-jeer-cokes-entrance-into-obesity-discussi.html?edition=55434#axzz2I9KrK100

Bittman, M. (2013, January 5)  Why Do Stars Think It’s OK to Sell Soda?  nytimes.com.  Retrieved  January 16, 2013, from http://opinionator.blogs.nytimes.com/2013/01/05/why-do-stars-think-its-o-k-to-sell-soda/

AMC/OLTL – Take 2

For those of you who haven’t been following along, here’s the background.  Last spring ABC abruptly canceled two long-running soap operas – All My Children and One Life to Live.  When the move was first announced I recommended that the brains behind the move be fired and the shows brought back. Here’s that blog:

Should ABC axe Brian Frons and keep One Life to Live?

http://pjlehrer.blogspot.com/2011_05_01_archive.html

 

Subsequently Brain Frons was fired and it was announced that the shows were headed to the internet.  Here’s what I had to say about that development:

One Life to Live…will live again!

http://pjlehrer.blogspot.com/2011_07_01_archive.html

In early 2012, after the internet deal fell apart, I took a look at the replacement shows and suggested that The Revolution was not long for this world – it has since been canceled. 

Can ABC Even Call This A Pyrrhic Victory?

http://pjlehrer.blogspot.com/2012_02_01_archive.html

So where do we stand now?  Well first of all, General Hospital has been terrific the past few months.  They’ve moved away from the serial killer plots and brought back many fan faves, and even a few of the best faces from One Life to Live.  As a result, ratings have hit a two-year high and GH is now the number two soap for Women 18-49. (Bibel, 2013)  And with Genie Francis’s return in February confirmed and the revival of the ever entertaining Nurse’s Ball coming up, it seems very likely that by the time the show’s 50^th anniversary rolls around in April ABC might reconsider becoming a soap free network. (Kroll, 2013)

But the big news this week is that Prospect Park has revived its plans to bring AMC and OLTL to the internet.  No doubt the decision was due in part to the recent performance of GH.  But it’s also due to the evolution of online tv, which now makes the proposition that much more viable.  

Early word is that the shows will shrink to ½ hour, run 4x a week, and will have limited advertising with heavy product placement.  That approach certainly makes sense based on the extreme loyalty of viewers.  But mostly it made me smile because I had de ja vu – the first soaps, which moved from radio to tv in 1956 were actually produced by Proctor & Gamble.  How interesting it is to see things come full circle.

But the true significance of this development is what it portends for the future.  If the soaps are a success financially using online distribution they will undoubtedly usher in a new era in content development for the internet.  I like the symmetry of that.

 

Bibel, S. (2013, January 8)  Soap Opera Ratings: ‘General Hospital’ Hits a Two Year High in Total Viewers.  tvbythenumbers.com.  Retrieved January 9, 2013, from

http://tvbythenumbers.zap2it.com/2013/01/08/soap-opera-ratings-general-hospital-hits-a-two-year-high-in-total-viewers/163802/

Kroll, D. (2013, January 8)  Genie Francis to return as GH’s Laura Spencer.  soapcentral.com.  Retrieved January 9, 2013, from  http://soapcentral.com/gh/news/2013/0108-francis.php

 

(2012, December 25)  ‘All My Children’ and “one Life to Live’ Will Return With New Format, Hire Fi-Core Writers.  aceshowbiz.com.  Retrieved January 9, 2013, from http://www.aceshowbiz.com/news/view/00056621.html

Can NASCAR do for Tide what oil spills did for Dawn?

Apparently, a fire broke out on the track of the Daytona 500 last year.  Spectators were surprised when crews pulled out huge boxes of Tide to douse the flames and clean-up the mess.  P&G decided to take advantage of the opportunity and created a 15 second spot explaining what happened.  In case you missed it, here it is.

http://www.youtube.com/watch?v=L4AY0ehdagI

While I am not a NASCAR fan, I can’t help but be impressed by the fact that Tide was used in this critical cleaning situation.  (Full disclosure, I am a Tide user.)  As someone whose brand loyalty to Dawn began when it was used to clean oil off of baby ducks after a tragic spill, I can’t help wonder if this effort will be equally successful for Tide.  I guess only time will tell.

(2012, December 28)  Television: Starcom MediaVest P&G and Tide, Tide at daytona 500.  mediapost.com.  Retrieved January 2, 2012, from

http://www.mediapost.com/publications/article/189699/television-starcom-mediavest-pg-and-tide-tide-a.html#axzz2Gpy7lzto

The best ad of 2012 made me want to eat fast food!

Yes, I know it’s shocking since I basically qualify as a health nut these days and can’t remember the last time I entered a QSR.  But when I saw the Chipotle ad – Back to the Start – on the Grammy’s I was intrigued.  Of course its message pushed my buttons since it focuses on sustainability and suggests an organic approach to farming. 

But apparently I wasn’t the only one that found the ad, which was also viewed over 7 million times on YouTube, motivating since company revenue increased by 23% during the first half of 2012. (Vranica, 2012)

In case you missed it, you can check it out here. 

 

http://www.youtube.com/watch?v=aMfSGt6rHos

Vranica, S. (2012, December 24) Bold Stunts, Bad Taste Mark Year’s Ads.  Wall Street Journal.  pB1

Overwhelming your customers with emails is not a good sales strategy.

The other day I received 22 emails from Staples.  Granted they only meant to send me two.  But as far as I am concerned two emails a day from Staples is two too many.  I discussed the fact that I find their emails overwhelming and annoying with another small business customer and he agreed.  This was last spring.  Then I noticed that they started coming even more often.  Not surprisingly soon after I read that sales were soft.

It’s true that most of the emails they sent included coupons.  But they all had strings attached – good for purchases over $100 – excluding these items, good in-store or online only, limited timeframes etc.  Even the coupon they sent me to apologize for the 22 emails came with caveats. 

I was never too keen on Staples’ emails to begin with because they are not customized based on my purchases.  Instead they tell me what they have on sale that week even if I have never bought anything like those items before.  What’s the point of having a database if you don’t intend to use it?  On the other hand when they have tried to use my data for outreach it is clear that they are not coordinating my offline and online purchases properly even though I always use my rewards number. 

I have canceled every opt-in newsletter I have ever received due to the same issue with overkill.  I noticed recently that when I canceled one I was given the option of selecting a lesser frequency.  Perhaps Staples offers the same option, but given their database dysfunction I am afraid that if I do try to cancel their promotional emails they will stop sending my rewards as well.  So I just ignore them.

According to the Direct Marketing Association, these days only 22% of emails are opened, and just 1.5% result in a purchase.  (Holmes, 2012)  That’s comparable to direct mail rates; and, much lower than the online rates used to be. 

Perhaps if companies gave a bit more thought to both the frequency and the content of their emails they might become an effective marketing tool again.  At the very least they’ll stop alienating their customers.

 
Holmes, E. (2102, December 19)  Dark Art of Store Emails.  Wall Street Journal.  pD1

Is it time for Macy’s to fire Donald Trump?

I have never been a fan of using celebrities in advertising.  While they may be effective in getting your brand noticed, they often overwhelm it and ultimately distract from it.  That’s exactly what’s happening now with Macy’s and Donald Trump.

In case you haven’t been following the story, many people, including me, have been highly offended by the disrespectful comments Mr. Trump has made about President Obama and the American election process over the past several years.

In response, on October 24^th a petition was started on signon.org urging Macy’s to part ways with this ill-fitting spokesperson.  And as of this morning, 678,789 people have signed that petition. (Carusone, 2012)

Moreover, a recent survey by YouGov BrandIndex shows that since the beginning of November the store’s loyalty measure has dropped from 31 to 19, its lowest levels in more than a year, putting them behind all their competitors -- even J.C. Penney. (Mahoney, 2012)

(Strasser, 2012)

And last, but not least, there’s the boycott.  It will no doubt take a while for the company to assess the damage, but when they do, I imagine they will find that I am not the only Macy’s shopper who took my business elsewhere this holiday season.

Advertisers beware.  You can’t have it both ways, when you partner with a celebrity you have to take the good with the bad.  Why risk it?

 

Carusone, A. (2012, October 24)  Urge Macy’s To Dump Donald Trump.  signon.org.  Retrieved December 12, 2012, from http://signon.org/sign/urge-macys-to-dump-donald

Mahoney, S. (2012, November 29)  Is Trump Chasing Women Away From Macy’s?  mediapost.com.  Retrieved December 12, 2012, from

http://www.mediapost.com/publications/article/188167/is-trump-chasing-women-away-from-macys.html#axzz2Emipoa7s

Strasser, A.  (2012, November 29)  Donald Trump Partnership Ruins Macy’s Popularity.  thinkprogress.org.  Retrieved December 12, 2012, from http://thinkprogress.org/media/2012/11/29/1258001/macys-popularity-trump/?mobile=nc