Posts Tagged ‘Target’

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The Shock and Awe of Reality

Tuesday, April 2nd, 2013

Since graduating college in 1991, I’ve had the privilege to live and work in two amazing US cities – New York and San Francisco. Both of these cities are great places to live and to visit, but the experience of life there isn’t even close to being representative of the rest of the country  - and importantly, of the people you as a marketer want to use your brand.

Let’s start with some facts – which continue to shock and awe many marketers:

-The average household income is $50,054 (SF Gate via US Census Bureau, 2011 data)
-The average  family savings account balance is $3,800; 25% of families have no savings at all (statisticbrain.com via IRS and Federal Reserve)
-The median age for marriage is 26.6 among women, 28.6 for men (About.com via US Census Bureau, 2012 data)
-The average age for women to have their first baby is 25.1 (Babycenter.com via CDC, 2008 data)The average household income is $50,054 (SF Gate via US Census Bureau, 2011 data)

-The average household income is $50,054 (SF Gate via US Census Bureau, 2011 data)

-The average  family savings account balance is $3,800; 25% of families have no savings at all (statisticbrain.com via IRS and Federal Reserve)

-The median age for marriage is 26.6 among women, 28.6 for men (About.com via US Census Bureau, 2012 data)

-The average age for women to have their first baby is 25.1 (Babycenter.com via CDC, 2008 data)

One of my favorite stories of shock and awe happened when I was an Account Executive at an advertising agency in NYC.  The president of my client’s division – company not to be named, but the product was canned pasta – decided that their “new & improved” canned pasta should sell for 50¢ more than the current product, and that we should explore how to talk to consumers about the increase in quality and price. We were in Charlotte, doing research with their target audience – lower-income families.  A woman whose profile stated that her family of 5 lived on an income of $15,000-$19,999 looked the moderator squarely in the eye and said (I’m paraphrasing here, as the conversation happened in 1996): “you tell that rich president of your company that while he’s in his big office in the big city, I’m trying to feed my family.  And just because your price goes up 50¢ doesn’t mean I get another 50¢ in my grocery budget. It just means I will have to buy less food.”

Shock.

I had a similar experience as a moderator, just a few years ago.  I was doing research with people who use pre-paid debit cards, focusing on single mothers who make less than $25,000 per year.  We sometimes do a “lottery” where all respondents who get to the facility 10 minutes before group start time have a chance to win another $50 on top of their incentive.  As I walked out of the room to get final questions from the backroom, one woman asked “do you know who won the lottery?” and I said I’d find out. When I came back in, I casually mentioned that oh yeah, Jacquie had won the lottery. Jacquie, a single-mom working at Wal-Mart, began to cry  – and the other women in the room hugged and congratulated her for the win.

Awe.

And recently, working on a project for a TV network, there was absolute silence in the room when listening to the tape of an ethno where a 42 year-old mom from outside Atlanta talked about being ready for her youngest to go off to college. Shock and Awe – because everyone in the room was either waiting to have kids or had kids in diapers or kindergarten.

These are the moments that can define you as a brand strategist, marketer or researcher.  Do you really understand and empathize with your audience – their challenges, joys, stresses? Do you know how they use their money, their time, what they value? Can you have compassion for their difficult realities? It really is so easy to think about the world through a very fortunate (and often hard earned), but less relevant, lens.  So, what to do to avoid the troublesome “shock and awe”? A few thoughts:

  1. Be armed with the facts – not big sweeping numbers that belittle reality (e.g. $50,000+), but a real and thoughtful overview of what your consumers’ lives are like
  2. Talk to your consumers – lots of them – in their real life environments, as often as you can
  3. Do research outside your comfort zone – instead of LA and NY, consider Sacramento and Baltimore (and keep in mind, Chicago does not represent the entire middle of the country)
  4. Never ever make a decision based on what you, your family or your friends might like (unless the category/product skews to people of your socio-economic level)
  5. Ensure that the senior decision makers are engaged with #1-4

At the end of the day, for most brands, the “real people” who live outside of the major business centers can make or break your business.  Avoid the shock and awe (in your financials) by really getting to know them.

Sara Schor, Sterling Strategy

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Social Media…Pretty Much Like Real Life (a series)

Thursday, August 16th, 2012

Part I:  Good Friends Are Good Listeners

Do you have a friend that you sometimes can’t stand to be around because he steamrolls the conversation – talks so fast, and so much, and so loudly that you want to cover your ears? I do. Actually, I think I might have several.

I’m reminded of these friends when I think about the way a lot of brands behave when it comes to social media.  These brands walk into the Facebook party and become the guy that dominates the conversation.  It makes sense in a way, given that marketers are trained to talk loudly and often to help shape their brand.  But this model doesn’t work within social media.

Why?  Essentially, making friends in social media is akin to making friends in real life – it’s as much about listening and getting to know your friends as it is talking about yourself.  Good listening builds trust, rapport, and openness.

Let’s take a look at some self-aware brands that get this – and through their adapted behavior, have become fluent social butterflies.

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Target: Target is all about being the philanthropist.  But Target’s Facebook page doesn’t just shout about the brand’s good-deeding.  Instead, Target asks its fans to share what they care about (charities in past years; now focused on schools) and then makes charitable contributions based on their responses.  Target’s Facebook presence gives the company’s consumers and advocates an actionable voice and enhances Target’s position in the community.

fordFord: Ford loves talking about cars – but it understands that it needs to hear from consumers, too. In fact, Ford is so empathetic that it developed a social site dedicated to soliciting stories from car owners.  Ford’s brilliant approach lets the brand get to know their car owners in a much deeper, more personalized way, which provides inspiration as well as the chance to build long-term relationships with consumers.

kleenex

Kleenex: Kleenex is listening even when friends don’t realize it.  In December 2011, the brand launched the “Feel Good” campaign, whereby the brand combed through status updates on its page to identify 50  “friends” with colds – and it couriered each of them a get-well kit.  All of them returned the favor by posting the interaction to their FB walls (delivering 650K impressions).   Pop Chips is also known to take this low-key approach– the brand will show-up with unexpected gifts of Pop Chips if they discover hungry Facebook friends.

One red flag: don’t bother initiating dialogue if you don’t really care.  Because no one likes that guy, either.  One online travel company recently asked its community to share stories of their favorite travel souvenirs.  A ton of fans spoke up, but the company took no note of their responses and missed an opportunity to bond and create dialogue.  Brands attempting to listen to their consumers need to follow through on what they hear and learn to start building lucrative relationships.

Sara Linderman, Strategist

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Forget me, I’m 50.

Wednesday, June 27th, 2012

For the past decade, it’s been in almost an apocalyptic tone that the media and marketers have been discussing the Baby Boomer target audience and the profound impact they will have on the American marketplace, economy, etc.  Phrases like “an American turns 50 every 7 seconds” would suggest a massive marketing shift to consumers born before 1965, leaving Gen X, Gen Y and the like stranded. Sure, there’s a lot of lip service being given to the “Boomer” audience or “50+ consumers (with a skew to 50-55, of course),” but target down-aging and targeting of youth continues to prevail.

First, some fun facts:

- There are 77M Baby Boomers (defined as people born between 1946 and 1965), most of whom are 50+ (US census)

- By 2015, adults 50+ will represent 45% of the population (AARP)

- 50+ consumers control 67% of the nation’s wealth and 42% of all after-tax income (US Census and Federal Reserve)

- Baby Boomers will spend about $20T over the next 20 years on consumer goods (Forbes.com)

Everyone agrees that the opportunity with 50+ consumers is there.  So why is everyone so afraid to market to them?  Maybe we should look at some of the concerns we hear from our clients, and an alternate point-of-view.

1. My consumer is going to die off.

In 20-30 years, yes, he or she will.  But between now and then are a lot of “active consuming years”, and there’s a lot to be said for gaining a decade or two of consumption among the nation’s largest (and most well-off) audience. And importantly, if you become respected as a brand that gets and serves the 50+ audiences in a fresh, compelling and honest way, the Gen Xers who will be turning 50 really soon will be right in line to adopt your brand.

2. I don’t want to be an old person’s brand.

Haven’t you heard? 50 is the new 40 (or something like that).  One of the most dramatic demographic and psychographic changes we’ve seen in the past decade is the redefinition of what “old” is today. The notion of a 60 year-old woman, sitting in a rocking chair knitting a sweater for her 10 grandchildren is ancient history (so to speak).  So is the idea of a 58 year-old man, retired in Florida, wearing black socks and sandals, playing shuffleboard, murmuring to himself about the good old days.  It’s just not the case any longer.   The typical Boomer believes that old age doesn’t begin until age 72, according to a 2009 Pew Research survey. In fact, while half of all American adults say they feel younger than their actual age, 61% of Boomers say this. In fact, the typical Boomer feels nine years younger than his or her chronological age.

3. We need to refresh the brand.

I’ve heard this one a lot and really don’t get it. I guess what this assumes is that if you target 50+, you’re advertising is going to look like the Geritol ads of the 80s or that “I’ve fallen and I can’t get up” infomercial.  OK, so you might not want to use Justin Bieber in your marketing if you are going after Boomers, but really…who cares?  50+ consumers are also interested in marketing communications and packaging with a fresh and contemporary tone, feel and message.

4. I’m not targeting age…I’m targeting an attitude.

We love this sentiment and agree totally. A 52 year-old divorced woman’s needs and attitudes will more likely mirror that of a 31 year-old single woman than a 52 year-old married woman with 2 teen-aged kids. This approach should be used with planning product portfolios and marketing communications. But this doesn’t mean that a 52 year-old woman is sourcing MTV for influence. Nor does it mean that she’s going to use, consume or wear products in the same way as her 31 year-old “peer.”  Target the age; Position and market to the attitude.

5. Older adults just want to be young anyway.

Sure, the back pain, loss of vision and dry skin of 50+ suck, and I’m sure most Boomers would kill for the body they had when they were 20. But it stops there. Boomers don’t want to be young – they want to be youthful and they absolutely do not want to be told they are old.  Like younger consumers, Boomers have dreams and goals. They have passions. They are still looking to improve. They want to participate in trends. They want to have lots of new experiences. Phil Goodman, co-author of the Boomer Marketing Revolution, describes Boomers as “Adult Teenagers”…”they will try to act younger than their chronological age.”

To close, I don’t for a second disagree with targeting the massive Millennial generation or Gen Xers.  But sometimes Boomers are also an ideal audience for your brand, and importantly, they want advertisers to acknowledge they are still alive and still spending. The headline from an article I found on the Internet articulates this really well: “The Boomer Consumer: Stop Ignoring Me, Da*&^it!”

Sara Schor, EVP – Strategy

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Holiday Countdown: The Perfect Gift

Tuesday, December 21st, 2010

Just buy it.

That’s all it really comes down to, but around this time every year we find ourselves asking the same question – what gift should I get?

Finding the perfect gift is as much about knowing your target as it is about knowing yourself. To that end, here are a few thoughts, tips, and insights towards recognizing and giving the perfect gift this year.

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Don’t Panic!

If you’re not having fun finding a gift then you’re doing it wrong.

People have a tendency to place too much emphasis on the gift itself rather than the sentiment behind it. The experience you go through in picking a gift says as much, if not more, than the gift itself ever will. This is why gifts you’ve made yourself, donations to charity groups, and quests for “that one thing they really want” pay such high dividends.

A great card or good story can go a long way toward achieving perfect gift status. If you relax and enjoy finding your gifts, they’re more likely to be received with equal aplomb.

Sentiment Is Everything

Many people forget that giving a gift is about showing that you really truly care. That’s why it’s so easy to misplace the pressure of the act on the object rather than the expression. Thought and love are the two biggest factors that will make your gift perfect, and neither of them costs a thing.

Tell that person you love them, give them a hug, cook them breakfast, give them a massage, say thank-you, let them know you mean it… there are a million ways to touch the heart of your target without paying an arm and a leg. A simple act of kindness has the power to transcend any object and hit the perfect-gift mark.

If you can’t come up with something to get someone, think about whether there’s something you can do for them instead.

Let The Gift Pick You

You know it the moment it happens. When that perfect gift picks you there’s just no feeling that quite compares.

The power of surprise is one of the most compelling and inspired manifestations of the perfect-gift experience. Catching someone off-guard can position your gift for limitless extension because it obliterates any preconceived notions your target has about what a gift can be. However, care must be taken to ensure your gift delivers more than just a surprise.

The key to being found by the perfect gift is to put yourself in a position to be lucky. That means going someplace you’ve never been, walking down a different street, tagging along with friends while they shop, flipping through a holiday magazine your target might read, and just keeping your senses open to things that jump out and grab them.

When a potential gift seizes your attention there are several steps you should take if you’re not certain about it:

(1) Explore It – pick it up, try it, read it, open it, push its buttons, and see if it merits perfect-gift consideration. What does how it feels say about how your target will?

(2) Contextualize it – imagine it being unwrapped. Who’d enjoy this the most? Are they your target? What might the card say? Where/how would it fit into this person’s life an hour/day/week/month/year from now?

(3) Let it go – Put the gift down and try to walk away from it. If a sense of impending regret emerges, explore it. There is an amazing amount one can learn from the feeling of opportunity being won or lost.

(4) Ask if you want it for the right reasons – don’t be a selfish-Santa. Think about what aspects of giving this gift you’re most looking forward to. If there’s the slightest hesitation, make sure you’re not tricking yourself into thinking the gift is for anyone other than you. Selfish gifts are more transparent than anyone ever admits -  avoid at all costs!

giftpick

Provoke A Memory

Knowing something about someone gives you a number of advantages in finding a meaningfully perfect gift. Do they have a pet? A favorite experience from the past year? Was there something you did together that you’d like to remind them of?

Provoking a memory is a great way to invoke a new one. A gift that’s personally relevant to your target’s life naturally inherits characteristics and qualities of that experience, providing a fresh opportunity to reengage and enhance something that is real for both of you.

Help!

The world needs a lot of help and for one reason or another, doesn’t always get it. Whether local or abroad, long-term or short, there are a number of ways you can invest your sentiment on behalf of your target and show them not just that you care, but that they make a difference.

Adopting or sponsoring a charity, animal, star, habitat, or cause can provide an educational and exemplary avenue for a meaningful difference in the world – a perfect gift.

The Saturation Technique

If you really want something outside the box, take a moment to focus on everything you know, think, and feel about your target. Completely immerse yourself. Once done, your instincts will be primed to detect two polarities that can lead you to the perfect gift. Each has its advantage and disadvantage. They are:

(1) The gift that fits – Knowing that something will comfortably fit into your target’s life offers perfect-gift security, but may run the risk of being something they already have or will receive from someone else. Be forewarned, obvious gifts promise the greatest utility but ultimately fall short on sentiment.

(2) The gift that isn’t there – Knowing that something doesn’t fit in your target’s life could mean that it might be missing. In this case it could stand a greater chance of really surprising them. With a little extra thought and exploration you’ll know whether it’s a perfect gift or not.

In either case, saturating yourself in your target’s world affords you an instinctual advantage. Both opportunities belong in that world. Your perfect-gift senses will tell you whether it should be an obvious gift, or an unexpected one.

cardFinally

Just buy it. That is what it comes down to and you’ll know it the moment you feel it. In most perfect-gift instances there’s little choice involved.

In the end, giving a gift is an inherently generous act and only as difficult and prone to go astray as you let it.

If you relax, enjoy the experience, and keep yourself open to new experiences and worthwhile opportunities then that’s exactly what you’ll be giving.

Take heart gift-giver. The fact you’re worried about it just means you care, and that’s all you ever had to do to be on the right track.

Mac Love, Design Intelligence

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The Gifts You Give Yourself

Thursday, December 17th, 2009

In a recent Mintel presentation on Consumer Trends for 2010, there was an emphasis placed on the concept of Balance, and specifically our need to find balance between the low-end necessities we purchase and those few indulgences we still allow ourselves despite the recession- because we’re only human after all.

Right?

(more…)

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