General Mills' Innovating Marketing

Many CPG organizations are still set in their old marketing ways. IMC is not always a mentality or common practice. One CPG that is paving the way with innovation in marketing is General Mills. Just yesterday, Mashable and AdWeek talked about how General Mills is getting the word out through MyBlogSpark - a network of bloggers (many of them mommy bloggers) who get access to new General Mills products and review them on their blogs.

In our Marketing Mix class, we got an insider perspective on how General Mills continues to innovate and expand their marketing efforts to meet consumer needs. Our class was also tasked with three projects: extending CRM to social media, online coupon yield management, and email subject and content optimization. The results and recommendations will be presented in June. VitaminIMC had a chance to sit down and chat with out guest speaker, IMC alum Geoff Johnson ('97), Director of Household Marketing at General Mills. Here are his thoughts.

Incorporating IMC at General Mills
It's easy to fall into the trap of 'what we want to do to the consumer' instead of focusing on the benefits to them. Understanding IMC helps maintain that consumer focus. From my degree I learned the importance of data and analysis. For example, the first time I encountered decile analysis was as a student at Medill. By using that tool to analyze the entire General Mills portfolio, I was able to uncover valuable insights.

Effect of the recession on marketing efforts at General Mills
Everyone has to eat, and the recession has forced people back into the home (instead of eating out). But consumers are still hurting. We're focusing on the value of our products for consumers by providing solutions such as helping to plan for leftovers, coupons, and turning meals into family time.

The post-recession marketer
You need to focus on goals and what works. It's also important to have break through ideas that differentiate you and connect with the consumer in a compelling way. There will probably be hyper competition post-recession and those that have their game on now will be able to create a long term advantage.

Advice for new IMC graduates
Be curious and don't be afraid to ask questions. Share your ideas and don't be part of the status quo. The people that are able to do this are the most successful in an organization.

-- Marina Molenda and Stacy Cohen

The Art of Twisiness

It seems like everyone is on the Twitter band wagon, and businesses are scrambling to find a successful way of promoting themselves on this new social media platform. But as businesses enter the Twittersphere, they need to realize that customers don’t want to be bombarded with its messages. Businesses must use Twitter wisely and communicate with its customers in a way that addresses their needs—the art of Twisiness (a.k.a business-twittering to customers). 

Check out how the Albion Cafe in London has perfected this art. The bakery installed a system called BakerTweet to tell the world that something hot and fresh is out of the oven. With a simple turn of a dial and a button pressed, all of the bakery’s followers get a Twitter alert. 

Everyone knows that bread, rolls, muffins and cookies are better when they are hot, and customers want to know when they are out of the oven. Additionally, a bakery has a limited time span to notify its customers. Using Twitter is the perfect solution because it addresses the needs of its customers and is relevant to the bakery's business model. 

Do you have examples of other businesses using Twitter in interesting ways? Leave a comment below or send a tweet to @VitaminIMC!

-- Guest Contributor: Elizabeth J. Wortley, IMC Graduate Student

Earth Day Buzz

It’s Earth Day and everyone from NBC to Google is going green. Some companies are even taking this opportunity to educate consumers and promote awareness of Earth-friendly initiatives.

One example is the ‘Haagen-Dazs Loves Honey Bees’ campaign. The interactive site has information on the bee crisis and how this crisis will effect consumers' favorite foods (such as Haagen-Dazs ice cream). Visitors can help spread the buzz by creating a bee to send to family and friends. Haagen-Dazs has a sister-site for college consumers. Yesterday, on campuses across the country, the company gave out free ice cream and buttons to promote awareness, drive students to the campusbuzz Web site, and hopefully pollinate the Web with dancing bee videos.

Haagen-Dazs has also involved other companies. Anthropologie's initiative brings the message to where the consumers are. The company has an interactive learning tool on its homepage. The tool provides bee facts, links to resources, and a link to the Haagen-Dazs bee site. The bee awareness initiative extends to the in-store experience with bee awareness facts and displays incorporated into each store and photos of the displays accessible on Flicker.

Do you have a favorite Earth Day or green campaign? If so, please share by adding a comment!

--Marina Molenda

Yum! Visits IMC

Did you know that on one street corner in Shanghai, China, there are four Kentucky Fried Chicken restaurants? Were you aware that in a country with India’s population (approximately one billion people), there are only 300 Pizza Hut restaurants? Jonathan Blum, senior vice president and chief public affairs office for Yum! Brands Inc., shared these interesting facts and more with Integrated Marketing Communications (IMC) students at a Professional Speaker Series event in the Medill IMC program.  

Blum explained the history of Yum! Brands Inc. and how the company spun off from PepsiCo in 1997 with the brands Taco Bell, Kentucky Fried Chicken (KFC), Pizza Hut, Long John Silver’s and A&W Restaurants. Students learned of the incredible growth of the company, especially with its current international expansion to approximately 112 countries including Russia, China, Vietnam, Brazil and India. Blum also spoke of IMC tactics his company is executing to both domestic and international consumers during these tough economic times. For example, recent Kentucky Fried Chicken ads emphasized the value of the KFC products, a concept that is particularly important to consumers who are watching their wallets. Additionally, Blum emphasized the importance of conducting thorough market research in arriving at consumer insights and understanding purchase behavior. It is through these market research processes that Taco Bell decided to create its Fresco line, to appeal to the health conscious consumer through its low fat, fresh products.  

Prior to joining Yum! Brands Inc., Blum worked in the White House during President Jimmy Carter’s administration. He obtained his law degree and worked in an advertising agency, but never felt like he ‘found his niche’ until he joined Yum! Brands Inc., which he claims is “fun and slightly left of center.” Yum! recently posted a twinternship position for Pizza Hut that will focus on new and emerging social media. 

About his job, Blum says, “I love that I get to roll up my sleeves and do what I love every day.” Blum’s passion for his work, his ability to adapt with the times, and keeping the consumer at the core of all activities serves as a reminder to us all of the importance of creating a customer centric marketing approach grounded in thorough research.

--Guest Contributor: Divya Chopra, IMC Graduate Student

Amazon Steps on Its Own Tail

Amazon.com is a prime example of using the Long Tail theory as a business model. Amazon sells a lot of unique products to niche markets instead of focusing on selling a few popular products to the masses. However, recently the company stepped on its (long) tail when books categorized as "adult material" (including LGBT themed books) were removed from sales rankings and search results. Whether an unfortunate decision or accidental 'glitch,' Amazon's blunder incited outrage that spread like wildfire across the internet.

While Amazon is icing its tail, marketers should take this as a lesson learned and as a reminder to never underestimate the power of the consumer. Consumer communities and social media can escalate an issue before you've even had time to blink. Prevent situations like this by listening to your customers and being proactive. If they are taking time to report issues to you directly, these issues should be investigated and addressed quickly to prevent discontentment. Slow action and sub-par responses infuriate customers. In Amazon's case, one blogger encountered the issue as early as February and posted a timeline of his effort to get the issue resolved.

You can't always expect customers to come to you with issues. Therefore, you must be proactive and monitor Web chatter about your company. Consumers are more forgiving to companies that are trustworthy and authentic. If you uncover an issue and can't fix it immediately, be honest and open with customers and let them know what you're doing to control the situation.

What are your ideas and best practices handling issues and complaints in a social media world?

--Marina Molenda

Ford “Pony Girl” Targets Tweens and Teens

Last week, Ford Motor Co. announced a move to target tween and teenage girls after research released by trend tracking firm The Zandl Group indicated that the Mustang is the “most desired car” among girls ages 8 to 16. “Pony Girl by Mustang,” according to the April 9 Brandweek article, is an “automotive-inspired, lifestyle-driven licensing program” designed to build brand affinity before its target demographic is old enough to take the wheels, in hopes that when the time does come to buy that first car, they will buy a Mustang.

With a colorful, “girly” style guide and a logo that features the Mustang brand’s iconic galloping horse, the program is intended to be aspirational—not promotional. According to John Nens, Ford’s director of global brand licensing, the program is really about “the essence of the brand” and forging brand relationships early on. The product categories being explored include apparel, accessories, jewelry, cosmetics, home décor and back-to-school partnerships.

It seems like a no-brainer: an underserved target market, dying to get a piece of the Mustang brand, a character from a wildly-popular movie franchise who drives a pink, monogrammed version of the car—and research that backs it all up. But, while the insight points to a great opportunity, the execution may be pointing toward disaster.

A simple web search of the term “pony girl” indicates that Ford and its licensing agency, the Beanstalk group, may have more work to do yet, in developing a strategy for execution that won’t have legions of mommy bloggers up in arms. Even among Mustang’s most passionate fans, the term “pony girl” has an entirely different meaning than the one likely intended for the tween consumer—just check out the photo galleries at any enthusiast website.

Could Ford be headed toward the same faux pas that forced Motrin to pull the baby-as-fashion ads that had Twitter ablaze with outraged mothers in November of last year?

--Guest Contributor: Alexandra Walford, IMC Graduate Student

To Tweet or not to Tweet?

*image from http://misterseniorblogger.com

In a recent Ad Age digital newsletter article entitled, “Top Ten Reasons your Company Should Hold off on Twitter,” B.L. Ochman argued that Twitter isn’t for everyone.  Don’t let the negative headline mislead you – these are insightful tips on best practices for Twitter users.   

The IMC principles of listening and conversing with customers are emphasized in several of Ochman's points.  Social media applications are meant for conversations (pull), not one-way messages (push).  Using defunct marketing tactics in a modern space is like an old dude using corny pick-up lines at a bar full of young women.  You’re not going to get anyone’s number and you might get slapped in the face. 

 
Egocasters take note: The Golden Rule applies in Twitter as it does in real life.  Tweet with others as you would like others to tweet with you – if you expect people to listen to you ramble on but you don’t care to hear their response, they’ll stop listening.  Remain open to feedback and welcome commentary – and respond to others’ tweets as well! Also, see what people are saying about you to determine how your presence (or lack of presence) on Twitter could help build a relationship with your customers.  You’ll receive a warmer welcome if you’ve done your homework. 

--Guest Contributor: Kate Floyd, IMC Graduate Student

The Evolution of Marketing

David Armano created this fantastic visual explaining how changing consumption habits have changed the way marketers need to think.The visual nicely sums up the key points of a recent Economist article discussing how the recession will change the way people shop. In this new post-consumer era marketers need to really understand the needs of their customers, a key tenet of the IMC approach.

How do you think the recession will change marketing? What are you thoughts on this visual representation?

-- Stacy Cohen

The Problem with Price

The current economic recession has caused both companies and consumers to watch their pennies and focus on financial budgeting.  In fact, it is pretty hard not to see a television commercial, print ad or e-newsletter highlighting a discount in prices or a product that can help save money.  But as IMC practitioners understand, businesses not only must keep in mind the current customer needs, but also remember that it needs to continue to reinforce its brand’s promise, not just its ability to offer lower prices. 

Home improvement superstore giants The Home Depot and Lowe’s are currently riding a potentially treacherous slippery slope with their latest round of television commercials.  The Home Depot uses their familiar, uplifting music to introduce its new slogan “More saving. More doing.” while Lowe’s cleverly places a “t” in the form of a letterman’s jacket and telephone pole after its name to highlight that they provide the “Lowe’st” prices.  Both are vey time relevant, but are the commercials brand distinctive and identifying?  No.  Other than the companies’ familiar logos and catchy tunes, one could easily mistake one store’s lumber aisle for the other. 

Of course saving money is a leading motivator for customer behavior during these times and The Home Depot and Lowe’s are trying to play into this consumer insight.  However, it is still imperative for companies to understand that the recession will not last forever.  By not continuing to emphasize their differentiating features such as breadth of products (The Home Depot) and professional expertise (Lowe’s), companies risk losing long-term brand distinction for a short-term solution. 

-- Lauren McCabe

OfficeMax Case Study: IMC done right

Ideas are the fuel that drive marketing ROI – great ideas can overcome a challenging market problem or a small budget. Great ideas are exactly why OfficeMax has built a brand that is seen as fun, innovative, and caring about its customers. Did you ever think an office supply store would be the one to create the single most successful viral marketing campaign in history? Do you know anyone that hasn’t Elfed themselves?

OfficeMax’s CMO, Bob Thacker, spoke to our Brand Communication Decisions class and discussed how OfficeMax’s recent campaigns show the power of creativity. By understanding the needs of their consumers and appealing to their hearts, OfficeMax saw great success in its Schooled, Elf Yourself, and Power to the Penny campaigns. Viral marketing can be a solution for small budgets. And if done right, you can benefit from the powers of social media – everyone else will do the marketing for you. Brands can see great returns from creating campaigns that really connect with their consumers. Even in this economy, OfficeMax is continuing to fund it’s a Day Made Better program which make surprise donations of supplies and gifts to teachers across the country. 

Thacker told us that advertising is a party crasher and “if you’re going to crash a party, you’d better bring a bottle of wine”. Advertising needs to be memorable and enrich the experience of consumers. It’s no longer about what marketers can sell to consumers – it’s now about how marketers can help consumers. 

OfficeMax clearly understands this. Recently the brand revamped its look, products and advertising because of research showing that women are the primary purchasers in the office. By infusing excitement and style into everything from the layout of the store to the website to its catalogs, OfficeMax has moved away from the common perceptions of work space as dull and boring and is off to a great start with its Life is Beautiful, Work can be too campaign.  

Thacker’s words are a lesson to all marketers. The recession poses a challenge to marketing and the only way to overcome it is with creativity and a little heart. A bouncing rubberband ball can’t hurt either.  

-- Stacy Cohen