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Wednesday 29 May 2013

Are the woes of Abercrombie & Fitch highlighting the death of 'cool' or issues with superficial brand strategy?


It will be no surprise to many that Abercrombie & Fitch falls under The Brand Avenger’s almighty, all seeing gaze this week. It has taken some time but quite recently a couple of skeletons have fallen out of its CEO’s cupboard.


The fact that Mike Jeffries originally made these comments several years ago only for them to now resurface AND ignite backlash demonstrates two things.

Firstly it clearly outlines the power of social media in giving the general public a voice, which in turn can contribute to a swell in strong feelings of resentment towards brands. In the case of A&F the insensitive comments have only now begun to hurt the clothing retailer even though the initial messages was communicated years previous.  The below video has received 7.5 million views since it was released by Greg Karber on May 13th 2013. This video presented on YouTube has quickly become a thorn in the paw of the clothing giant.


Secondly, it is clear that this viral campaign has galvanized public opinion and led to negative criticism of the brand.  This should prove a valuable lesson to all CEO’s around the world; when it comes to controversial matters or contentious issues it is probably best to keep your mouth shut. We can understand why Jeffries should care that his remarks have resurfaced when we look at the noticeable impact it has had on A&F’s brand perception. The below link provides access to A&F’s most recent brandindex scoring.


Robin Lewis article on A&F’s marketing strategy, the consequent viral campaigns that have supported these views and the increase in negative perception of the A&F brand couldn’t have come at a worse time for the brand. The spotlight coincided as if by magic with the release of first quarter results that were less than flattering for stockholder when trying on for size. And unfortunately for Jeffries or A&F investors the results don’t come with a receipt to return within 30 days; A&F is stuck with the uncool image for at least a couple of months while H&M and American Eagle hang out with the cool kids in the 18-34 demographic.


Does the recent backlash highlight a significant change in the attitude of the key 18-34 demographic? Quite possibly. We have access today to more nuggets of insight and information than ever before and it is not unusual to conclude that all consumers are becoming more immune to transparent marketing strategy. In an excellent article von der Heydt wonders if A&F’s problems can only be restricted to Jeffries comments or other factors such as poor inventory decisions that boarder on lazy in the ever changing world of fashion retail.


What is clear is that the upper echelons of A&F have some work to do. Despite looking to address concerns on its social media channels it is perhaps the comments from A&F’s own Facebook followers which say more than the half baked statement Jeffries released.


Back in the days when The Brand Avenger was still in super absorbent nappies (super absorbent for a super hero) my mother use to tell ‘if you haven’t got anything to say don’t say anything at all’. Whereas I cannot abide a blatant censoring of personal opinion I am also reminded that ‘with great power comes great responsibility’ (another superhero can take the credit for that saying). On controversial matters that can lead to negative opinion such as the exclusive school cliques, bullying and the rising obesity epidemic Jeffries should have kept his mouth shut.  As one of the most important brand ambassadors A&F has it is important that he is seen as respectful member of society, aware of the power of his opinion and the impact it can have on brands.  His comments may have been made 7 years ago but the Internet will take no prisoners when it comes to vilifying those who should know better.

Thursday 23 May 2013

Strange bedfellows? The curious case of Adidas, Sergio Garcia and the use of celebrity endorsement.


Adidas have moved fast to review its relationship with Sergio Garcia following his outrageous remark a couple of days ago. Garcia having claimed he would serve Tiger Woods ‘fried chicken’ as a peace offering  following a disagreement on a recent golf tour acted in a completely unprofessional and profoundly immature way for a man with numerous ties to corporate sponsorship. In short he should have known better.


There is no surprise to The Brand Avenger that Adidas have moved fast to announce their intent to review the relationship with the golfer. Having secured the athlete’s services as a celebrity endorser for its Taylor-Made Gold range Adidas were always taking a calculated risk. You might suggest having shown no previous history of controversies the decision to invest in Garcia initially may have been a sound one. However, at the same time the PR disaster illustrates exactly why celebrity endorsement can be a big gamble for a companies brand reputation regardless of whether the celebrity endorser has had previous issues or not.

There are some companies that are taking even a bigger risk with their decision to link brand reputation with celebrity endorsement. Only last week PepsiCo were moving to distance themselves from any association with Lil Wayne following the public spotlight on controversial lyrics regarding Emmett Till


The Brand Avenger has to wonder what PepsiCo expected to gain from partnering with a celebrity whose career has been plagued with so many controversies. Are we led to believe the Mountain Dew marketing department was so desperate for inspiration the only way they felt they could connect with a younger audience was through a multi-million dollar association with such a controversial spokesperson? You can’t blame Lil Wayne for accepting a lucrative deal from a company chasing celebrity for the sake of celebrity. Steve Stoute says it best when he states that ‘Lil Wayne was just being Lil Wayne’. My question is why would any brand team ever think that this was the best way of spending brand investment? Unlike Adidas with Garcia PepsiCo took a risk that wasn’t calculated therefore they should have known better.

The Garcia and Lil Wayne examples demonstrate the dangers of giving the brand a human face to associate with. In essence we are moving towards a marketing model where celebrities thoughts and opinions become more and more exposed each day. These beliefs can be obtained much easier today than ever before and can have damaging consequences to the investment in brand association. But so far we have only discussed inappropriate comments and not the darker side of humanity and where ties to endorsement can lead to real brand damaging problems. Who could have ever predicted that a man who was one of the greatest inspirational figures to come out of London 2012 would 6 months later go onto to murder his partner?


Nike’s £2 million investment in Pistorius was money they flushed down the toilet and although this is secondary to the despicable actions of the fallen role model this again demonstrates how a brand can suffer from even what might be seen as the safest of endorsements for brad investment.

Even if you could control every single word and action of your chosen brands celebrity endorsement there are still some partnerships that just shouldn’t be paired together. Check out a great article below that details some of the poorest pairings between celebrity and brand.


The Brand Avenger would suggest the standout example of damaging celebrity endorsement woes in the article is Lance Armstrong. Having enjoyed a long and successful career and overcoming adversity Nike were so happy with their long-term relationship with Armstrong they decided to tailor an entire brand around the cycling legend. And then it turned out Armstrong had used performance-enhancing drugs during his time in cycling and his reputation plummeted along with any value in his joint venture brand with Nike. Live Strong might as well of become ‘Cheat Long’ as a brand once associated with sporting excellence quickly lost all value.

We have to wonder what role Twitter and other social media tools have played in changing the landscape of celebrity endorsement.


In many ways Twitter is a PR agent or celebrity endorser experts worse nightmare. Remember what we said about a dream scenario of controlling the endorser’s thoughts and opinions? Well not only does Twitter make it more difficult; it actually gives the celebs more of a voice to share their thoughts and opinions to a mainstream audience.

Some celebs have looked to take more of an active role in their partnerships with brands through taking to the Internet to spread the word of brand themselves. But as Richard Alford details in the below article this may become more of a worry for brand teams then a positive.


In a far away world in a different dimension The Brand Avenger used to have a Great Aunt who would sit in the corner and quietly mutter incoherent ramblings during family occasions. Whereas it was great to see her once a year you wouldn’t want to be trapped in a typical conversation with her about tuna on rollerskates on Mars. And god forbid your friends would come round and hear some of the garbage she came out with. For me this is strikingly similar to the issues marketers may face through giving their endorsers more of a voice. How sensible is it to have LeBron tweet about buying 100 pairs of a Nike shoe when the American corporate giant spends millions per year in more refined and sophisticated methods of marketing communication? The Brand Avenger isn’t saying LeBron doesn’t feel strongly about his kicks but it would be good to know how it impacts the bottom line above and beyond the other millions spent.

There certainly has been a recent trend in not only encouraging celebrities to vocalise their appreciation for products but actually appointing them more into a role of a brand ambassador rather than a one time deal on a Superbowl advert. One of the strangest changes has seen celebrities begin to hold job titles on some of the biggest brands in the world. The Brand Avenger wonders how Will.I.Am takes his coffee on a Monday morning?


What if your company isn’t that well known and is still in the midst of formulating a brand strategy? Does it make aligning your brand with celebrity endorsements more of a wise strategic choice?


The Brand Avenger feels that there are benefits and negatives for start ups looking to adapt such strategy. First and foremost if the marketing strategy you follow is endorsement it is probably the most expensive and riskiest form of brand investment you can take. You have to be 100% sure the brand image you are looking to portray is a perfect fit for your brand. Avoid controversies by selecting endorsers who are low risk. Established brands learned long ago that associating its product with events or people who are strong role models or have positive connections with ethical practice and morale like most Olympic athletes (ahem… most of the time) are the best ways to ensure the investment is worthwhile.

As you can see there are some strong and valid reasons why companies would want to go down the brand endorsement route even if there are big risks. Regardless of age we are all prone to persuasion and it just so happens that endorsement can lead to changes in brand wave activities which can demonstrate how and why endorsement can work.


However as we can see in the countless examples at the start of this blog endorsement is a risky strategy. The Brand Avenger can’t predict the outcome of the Garcia dilemma however we can certainly say that Adidas will come under intense scrutiny. Go back to the first link and read some of the comments on the article that have already been posted. Consumers are quick to associate any actions of the endorser to the brand. So if this type of investment does appeal to you rather than playing it a little safer read the below article, remember the 5 tips and for God Sakes… be careful!



Wednesday 15 May 2013

Which Brands are lying to their customers by claiming to be innovative?


Innovation is a dirty word especially when it comes to its relationships with brands.  Many multi-million pound corporations like to claim they are investing in innovation to give the perception that in the future there will be anticipated gains in brand share and exposure. Investment in innovation is particularly a great phrase to use when current brand returns have not met expectations or brand share diminishes. It provides an easy link into a utopian world of tomorrow where their corporate brand will be king and will within the realm they will enjoy unparalleled market dominance, maintained through a steady stream of investment in incremental innovations.

This all sounds great and all but as we all know saying is one thing and doing is another. The Brand Avenger wonders how many big brands over the last few months have actually embraced the art of true innovation and how many are using the idea as a get out of jail free card. Let’s look at some of the companies who are claiming future brand innovations

Morrisons have unquestionably taken a beating recently when it comes to brand share and positioning in the UK retail market. Morrisons food website is so far behind the times that…. well…. It doesn’t even exist!  As one of the big 5 supermarket chains in the UK you may very well question how, what and why Morrisons has allowed this to happen for so long. Not having a website where customers can order food in this day in age is unthinkable. The fact that Morrisons are looking to invest in its online presence over the next year cannot be classified as true innovation. Ronan Shields explores the UK high streets lack of innovation in further detail in a great article at the below link.


Had Morrisons had any foresight they would have already built an online presence and would be moving onto other phases of app and online technology to truly embrace innovative strategies. Here is where we begin to see why the use of the word innovation becomes all too convenient for some brands. In Morrisons case innovation is just a word that has been used to hide incompetence.

Only last week I praised HP for truly empowering its loyal customers to deliver support across all of HP’s products and services. However, it also seems that the company could do with a little support when it comes to embracing an innovative strategy for the future stability of the brand.


HP needs to learn a valuable lesson and learn it quickly. If they cannot begin to truly embrace brand innovation they will continue to lose its most ambitious and precious talent to companies who will. Over the recent years there have been little to no noticeable innovations from HP that elevated or communicated anything about the brand in a meaningful way. And history has already shown what happens to companies who continue to fail in truly embracing innovation.

Channel 4 has rolled out the red carpet for innovation in 2013 following a decline in return of ad revenues for 2013.


£844 million in ad revenue for 2012 isn’t a small amount however through the strong emphasis placed on innovation in the article Channel 4 is admitting that more could have been done to embrace true innovation. In order for Channel 4 to sustain and/or improve its performance moving forward they have outlined a strategy focusing on second screen and app technology.

There is also a difference here when comparing Channel 4 to Morrisons or HP in that Channel 4 is fully aware and deeply concerned of their brand perception when it comes to innovation. Despite not leading the curve in innovation in 2012 Channel 4 did take some initiatives to set the future framework for strategy set around innovation. The investment in the Paralympics alone did wonders for both the disabled community and brand perception.

Then there are those companies whose whole success has been built around a sustained policy of ensuring consistent and incremental brand innovations. Some may have been quick to view P&G’s announcement this week that profits had taken a hit as a sign that investments in brand innovations are risky and don’t pay off.


While at the same time it might be fair to say that brand innovation is risky the pure fact that P&G have $1 billion to cut from a marketing budget demonstrates exactly why this sort of investment can also lead to massive returns. Through carefully reevaluating brand perception, product performance and tracking the changing behavior of consumers P&G enjoy dominant market share in mostly every category they operate in worldwide. This allows them to have dozens of $1 billion plus brands in their varied product portfolio.


Then there are examples of brands that are beginning to truly embrace the concept of brand innovation through ambitious augmented reality or visual merchandising campaigns. I couldn’t help but be impressed with how well Carte Noire have embraced both social media and visual merchandising to communicate a clear and clever brand message for their coffee range. A clear demonstration of how even a small campaign innovative campaign can go along way to building brand recognition.


Audi have more ambitious plans when it comes to their planned investment in brand innovation.


Welcome to the beginning of a augmented and most importantly controlled brand experience. By 2020 it is reported that t least 80% of the UK population will have access to a smartphone. Audi is investing in its future by looking to become a pioneer in innovation and creating an all encompassing brand experience. Kudos for making the claim that they will invest in innovation and for sticking by it with such a long-term strategy.

Audi, Carte Noire and P&G should pose as shining examples for the rest of those companies who continue to promise their loyal audience that innovation is coming. Companies should be using these examples as inspiration for making some changes to truly embrace a strategy which is innovative and works… Don’t talk about it, be about it.


Take some marketing innovation inspiration from the above article which details Barack Obama’s marketing campaign for Presidential reelection There is no reason why everyone shouldn’t look to find ways to truly embrace the Facebook mentality ‘move fast and break things’.

Thursday 9 May 2013

What does McDonalds have to do with the Cleveland kidnapping?

Cleveland was well and truly the setting of the miracle this week when three kidnapped girls including Amanda Berry were found alive and well. Charles Ramsey has become an overnight internet sensation following his interviews for the press after his heroic actions. If you have not seen it yet you can watch one here but be warned that it is impossible not to take an instant liking for what the edit describe as an unlikely hero.

http://www.youtube.com/watch?v=V5ZzXSYUYrQ

After watching the video you probably don't need to ask me what McDonalds has to do with this? Recognising a viral marketing opportunity when they see one the company have been proactive via their social media tools to reach out and gain some positive, public awareness from the ordeal. This is just another shining example of how viral and real-time marketing techniques can well and truly help build brand reputation and positive brand perception.

http://www.chicagotribune.com/business/breaking/chi-mcdonalds-cleveland-kidnapping-20130508,0,3282572.story

When some of the more forward thinking companies aren't looking out for the next internet sensation to create a viral marketing campaign around they are focusing their efforts on real-time marketing. A recent example of a company embracing real-time is Adidas. It doesn't surprise The Brand Avenger that Adidas are investing more into their efforts to invest in real-time marketing but it does surprise me that more companies have not followed suit. Put pure and simple real-time marketing gets you ahead of the curve and in pole position compared to your competitors when it comes to marketing strategies. There is no better example of this than the YouGov BrandIndex rating for Adidas during the 2012 Olympics which had the sports company as the clear winner in positive sentiment for brands out of all the companies who decided to invest during the Games.

http://www.marketingweek.co.uk/news/adidas-to-maximise-real-time-marketing-opportunities/4006566.article

In a day in age where the general public are increasingly skeptical and somewhat bored with the traditional 'build it one size' marketing communication, real-time provides more than ample opportunities to surprise and delight the population. What a way to capitalise on positive public opinion and an overall feeling of adulation and ecstasy of The Olympics then to create a marketing campaign from conception to broadcast in a matter of days as opposed to months.

http://www.guardian.co.uk/sport/2012/aug/12/team-gb-rocks-to-queen

Real-time marketing has also been used across the pond in the US to capitalise on news worthy content generated from sporting events to critical acclaim and positive public opinion.

http://www.huffingtonpost.com/2013/02/04/oreos-super-bowl-tweet-dunk-dark_n_2615333.html

Full credit must go to 360i for a campaign which was turned around within 37 minutes of the blackout that engulfed the most watched sporting event in the world. The campaign was smart, innovative and some would argue the most remembered piece of marketing communication that was produced during this years Superbowl. It is for all intents and purposes a prime example why real-time and viral fully complemented with the perfect mix of social media can work to the advantage of brands.

If you are going to build a successful viral or real-time marketing campaign you of course need a adequate infrastructure to carry the message to the masses. You could argue that this places smaller companies at a disadvantage. If marketing investment is already a struggle to obtain from senior management how on earth can you begin to build a team around some of the newest forms of marketing communication? Well The Brand Avenger would argue that you don't have to be a big brand to capitalise on a specialised team of social supporters to carry your viral message. HP are a prime example of a company who use their most loyal customers to carry the brand on their social sites and this article provides great tips on how even small brands can build similar success.

http://www.socialmediaexaminer.com/social-support-team/

If you are a regular reader of The Brand Avenger (and if you are not welcome and you should be;) please enjoy my other blogs) then you have come to realise that there are two sides to every story. Just as it can make perfect sense for companies to look to respond to viral or real-time marketing as soon as possible it can also have some negative connotations. McDonalds may very risk treading on egg shells by looking to reach out to the internets flavour of the month. Charles Ramsey himself has multiple convictions and a substantial criminal record and may bring a considerable amount of baggage with him once the respect and admiration fades; baggage that will be traced back to the fast food big boy.

http://business.time.com/2013/05/08/the-charles-ramsey-mcdonalds-episode-how-a-viral-marketing-opportunity-can-backfire/

We will have to wait and see if there is any negative backlash from McDonalds viral backing of Ramsey. Although we can certainly say McDonalds may risk negative perception  as a result of the activity we can also say that there are plenty of safer ways of embracing viral and real-time strategies. All it takes is a quick idea, the use of a social media tool and a relevant support base to bring the idea to life. If you didn't think you would ever associate someone with the surname Ramsey with McDonalds before then you certainly do after the Cleveland miracle.

Monday 6 May 2013

Are complaints brand damaging or great for creating awareness?


If you have often wondered how may people take the time out of their busy lifestyles to complain about TV advertising you needn’t wonder anymore as the top 10 most complained adverts of 2012 from the Advertising Standards Agency was released today. The full list of offenders can be found below but to summarise for those who would rather have it now as opposed to clicking through to another website The Brand Avenger will provide you with the list below. Why? Well just because I’m a nice kind of guy.


10) St Johns Ambulance ‘Helpless’ campaign- 144 complaints
9) Kayak ‘Brain Surgery- 189 complaints
7=) Morrisons ‘For your Christmas’- 234 complaints
7=) Kelloggs ‘Crunch Nut Snake’- 234 complaints
6) Paddy Power ‘Ladies day’- 311 complaints
5) Richmond Ham- As nature intended- 371 complaints
4) Channel 4 ‘bigger, fatter, gypsier’- 373 complaints
3) Asda ‘Christmas doesn’t just happen by magic’- 620 complaints
2) GoCompare ‘Bazooka Sue’ – 797 complaints
1) GoCompare ‘Stuart Pierce advert’- 1,008 complaints

Going through the list there are some interesting offenders who have managed to upset the masses in 2012.  For the purposes of the length of this article let’s focus on a couple of case studies.

St Johns Ambulance.

It is interested that this advertisement made the complaints list but it is in there.


St Johns had a clear message they were looking to convey with this campaign and for all intents and purposes they achieve that quite well.  But the choice of linking the message to something like cancer, which has impacted so many families was always going to create a little controversy. This might not have been a bad thing for St Johns. The advert not only aired in a prime time spot with 9 million viewers to encourage as many people as possible to watch but it also generated extra coverage and more exposure through the hype surrounded it afterwards.


For a message as important as this this was a smart use of controversial activity to convey a strong brand identity and a clear message.

Paddy Power

Ladies day was not Paddy Power’s greatest day. No strangers to using controversial material in their television advertising and social media tools Paddy Power clearly overstepped the mark on this one and broadcast networks were quick to pull the material.


Paddy Power continue to push the boat out with the ‘we hear you campaign’. Whereas the adverts tend to be funny they always verge on the edge of offense and one has to wonder what objective this is achieving for the brand. If it is a case of raising awareness and making sure the brand is at the front of mind when it comes to gambling it appears this could is working when you consider their rise in pre-tax profits.


Go Compare

The two offending advert can be viewed on the below link.


Go Compare takes both the biscuit and the spoils of second place with two television adverts last year. It is interesting to compare the sheer amount of complaints something like this generated compared to campaigns like St Johns with a more serious message. I would argue The Go Compare campaign has been a success for many reasons and is a clear sign that sometimes offended or annoying a mass audience over a considerable period of time can lead to rapid returns. Take for example how much profit alone the jingle has made over the last year.


So an interesting list of offenders for this year but if you believe that no news is bad news you could argue it was all money well spent.