UPS was locked-in as the number one delivery service for small packages. Their original logo was simply a small parcel with a bow tied around it; they outwardly identified themselves with small packages, confining their image to small package delivery. In order to break away from small packages, UPS needed to have a strong repositioning.
Instead of coming across with an in-your-face strategy to rebrand, UPS took an incredibly intelligent approach- they made an intermediate connection, or a new node, in order to link their new positioning to their old one. They took a random, boring color, brown, and "made it cool." They associated their product with brown in several ways. They repainted all of their trucks, changed their employee's uniforms, and even changed their slogan to "What can brown do for you?," essentially making "UPS" synonymous with "brown."
After UPS was known specifically for the color brown, a process that took several years, they were disassociated with their original positioning as only a small parcel delivery service. They could then shift their positioning through the color brown to their new goal: a shipping logistics company.
This leads us to today. UPS no longer has the slogan "What can brown do for you?"
They now have "We <3 logistics."
This just goes to show the extreme power of spreading activation and the associative networks our long-term memory maintains on how we view, understand, and coexist with even the most well-known and established brands. By finding an unrelated node (brown), UPS was able to shift an extremely deep association away from its roots to something completely different.
Article on the slogan shift from 2010:
http://www.brandchannel.com/home/post/2010/09/13/UPS-New-Global-Campaign.aspx
Thursday, March 20, 2014
E-commerce and gender differences
In class, we talked a lot about gender differences when a couple shops together. I recently found an article that discussed how men and women shop not in actual stores, but online. I decided to write it here since we didn't really touch on eCommerce.
1) Sometimes, consumers tend to look at the items in store first and then purchase them online for a cheaper price. While the majority of people don't do it, 12% of male customers said they looked at an item in the shop and bought it afterwards on the internet for a cheaper price; only 9% of women did so. This is an interesting finding: it seems to me that the endowment effect has a lot stronger impact on women than men. I can personally agree with this: when I find something that fits me or that I like, I would prefer to buy it on the spot rather than wait days before I can actually wear it.
2) Women are more likely to pay attention to marketing emails; "14% of women, compared to 8% of men, say that they first saw their most recent online purchase in an email from a store." With this in mind, companies can look over their email subscriber database and send out more promotional emails to women. Also they could try sending them out at times when the consumer is more likely to look and respond to those messages.
3) "Women are also more likely to use coupons, with 34% of women using them vs. 26% of men." One marketing strategy would be to include and advertise the discounts and coupons more prominently in the emails.
http://smallbiztrends.com/2013/08/male-vs-female-shopping-behavior-survey.html
1) Sometimes, consumers tend to look at the items in store first and then purchase them online for a cheaper price. While the majority of people don't do it, 12% of male customers said they looked at an item in the shop and bought it afterwards on the internet for a cheaper price; only 9% of women did so. This is an interesting finding: it seems to me that the endowment effect has a lot stronger impact on women than men. I can personally agree with this: when I find something that fits me or that I like, I would prefer to buy it on the spot rather than wait days before I can actually wear it.
2) Women are more likely to pay attention to marketing emails; "14% of women, compared to 8% of men, say that they first saw their most recent online purchase in an email from a store." With this in mind, companies can look over their email subscriber database and send out more promotional emails to women. Also they could try sending them out at times when the consumer is more likely to look and respond to those messages.
3) "Women are also more likely to use coupons, with 34% of women using them vs. 26% of men." One marketing strategy would be to include and advertise the discounts and coupons more prominently in the emails.
http://smallbiztrends.com/2013/08/male-vs-female-shopping-behavior-survey.html
Sunday, March 9, 2014
Can A Goldfish Show You How To Excite Your Customers?
Can A Goldfish Show You How To Excite Your Customers?
In the competitive hospitality market today, hotels are forced to take the next step to market themselves to consumers. The Soho Grand, in New York City, offers guests a simple, yet memorable, gold fish during their stay. The "gold fish touch"generates prosperous word of mouth status from the delighted guests staying at the prized hotel. The word of mouth rave reviews greatly increase customer satisfaction and future sales (ding, ding, ding...jackpot).
Studies show that word of mouth advice generates 20 - 50 % of all purchasing decisions and a 10% word of mouth increase boosts sales by 1.5%. In the linked article below, there are ways in which companies can differentiate themselves to boost word of mouth sales and sales in general! The bullets pertain to technological apps, hotels, and anything and everything that could attract a consumer.
1. Simplicity
2. Quality
3. Exceptional Service
4. Innovative Technology
5. Hedonism
6. Exclusivity
7. Mystique
http://www.forbes.com/sites/mckinsey/2014/02/14/can-a-goldfish-show-you-how-to-excite-your-customers/
One More Dove
Here is one more example of the Dove campaign and a parody from the short ad. Is this really how male and female's view themselves? Are there takeaways from these clips to help understand each type of consumer? Again, what effect does the parody have on the propensity for consumers to buy Dove products?
Dove: The Evolution of Beauty
Drive like everybody is an idiot trying to kill you
http://www.youtube.com/watch?
In order to get people to drive slower, this creative New Zealand advertisement focused on social norms rather than trying to highlight the monetary punishment that comes with speeding.
Studies have shown that a speed reader which reminds drivers how fast they are going with either a frown or a smiley face is much more effective than expensive cameras which capture license plates and then send tickets in the mail. This is because when try to motivate and reinforce people with monetary measures, market norms take over, and people perform a cost benefit analysis.
For example, in order to try curb carbon emissions, China introduced carbon credits which charged companies money based on how much they polluted (if they polluted less they could sell their credits, and if they polluted more they needed to buy more). The result of introducing money to this problem was that after a cost benefit analysis many companies found it was cheaper to pollute more and buy credits instead of becoming more sustainable.
When we look at speeding tickets, money is often the most expensive and least effective way to motivate people. New Zealand does a great job in this advertisement, by staying about from money and reminding the consumer that when they speed it doesn't just affect them, but it also effects everyone around them. They also did a really good job with how they framed the ad because instead of saying it was the fault of the person speeding (could cause people to become defensive, "self serving bias"), they phrased it as everyone makes mistakes. By staying away form market norms and focusing on social pressure this advertisement was much more effective at sending their message to slow down.
How you feel after watching the ad --> http://i.imgur.com/Ltwew26.gif
In order to get people to drive slower, this creative New Zealand advertisement focused on social norms rather than trying to highlight the monetary punishment that comes with speeding.
Studies have shown that a speed reader which reminds drivers how fast they are going with either a frown or a smiley face is much more effective than expensive cameras which capture license plates and then send tickets in the mail. This is because when try to motivate and reinforce people with monetary measures, market norms take over, and people perform a cost benefit analysis.
For example, in order to try curb carbon emissions, China introduced carbon credits which charged companies money based on how much they polluted (if they polluted less they could sell their credits, and if they polluted more they needed to buy more). The result of introducing money to this problem was that after a cost benefit analysis many companies found it was cheaper to pollute more and buy credits instead of becoming more sustainable.
When we look at speeding tickets, money is often the most expensive and least effective way to motivate people. New Zealand does a great job in this advertisement, by staying about from money and reminding the consumer that when they speed it doesn't just affect them, but it also effects everyone around them. They also did a really good job with how they framed the ad because instead of saying it was the fault of the person speeding (could cause people to become defensive, "self serving bias"), they phrased it as everyone makes mistakes. By staying away form market norms and focusing on social pressure this advertisement was much more effective at sending their message to slow down.
How you feel after watching the ad --> http://i.imgur.com/Ltwew26.gif
Friday, March 7, 2014
During our class conversation about gender stereotypes
on Tuesday, I recalled a commercial I recently saw.
The commercial (displayed below) depicts a Dad being reminded constantly
via sticky notes by his wife and son to put Go-Gurt in his son’s lunch box.
This commercial pulls upon Snoop, as it shows both the wife as well as the little boy placing
reminders for the Dad in all of the places he comes in contact with during his
daily routine, such as the lunch box, cabinet, and freezer—the wife and child
know the Dad’s patterns and place the notes accordingly in order to make sure he would not forget the
Go-Gurt.
This commercial is targeted more towards Dads then it is
children, as it shows how much kids love Go-Gurt as well as that it is a
healthy and nutritional snack. I found
it interesting that the Dad is portrayed in this commercial as the parent who
puts together the child’s lunchbox, versus the Mom. With the steady raise in dual-income
families, both parents not only work but also take care of the kids. This commercial is a good example of how times
are changing and the stereotypical stay-at-home Mom is starting to phase
out.
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