Marketing as Service: the speech

I spent a fair amount of time sawing together a speech on Marketing as Service for The CMO Club Summit yesterday. The response to the speech seemed favorable–I saw a lot of CMO’s nodding their heads even when I suggested they spend less time worrying about what their ads say and more time figuring out what they can do for their customers and prospects.

David Spark put together a nice recap of my speech on The CMO Club blog. I will be following up with a more comprehensive article in the next few weeks.And another thing

Powerful Samsung Service

Samsung Charging StationMaybe this scenario sounds familiar–you’re at an airport between flights and you’re desperate to power up your laptop and cellphone and maybe even your iPod. You search everywhere, drawing strange looks as you get down on all fours to look under the occupied chairs for a solitary unused outlet. Half the time you have to walk so far from your gate that you risk missing the next flight. And it makes you wonder if the people who design these buildings actually travel themselves. Why can’t there just be outlets where you need them?

Well the folks at Samsung picked up on this problem on 2007 and have subsequently installed “charging stations” in 5 heavily trafficked airports including LAX, JFK, DFW and most recently LaGuardia and Orlando. What a powerful idea!

According to Bill Ogle, Chief Marketing Officer of Samsung Mobile in a press release:

The Samsung Mobile Charging Stations are an easy way to reduce some of the stress that can come with traveling for business and vacation alike. The charging stations are easy to find and simple to use. We expect them to be as big a hit with travelers passing through these major cities.

Samsung found an unmet need, offering a genuine service to the frequent traveler. The stations are also quite relevant to the mobile products Samsung offers and certainly will make existing customers feel good about their brand. The medium is the message with the charging stations, showing not saying that Samsung will help you when you’re mobile. Samsung is definitely plugged into the idea of Marketing as Service.

Batting for Mom

Lots of companies use cause marketing like a magic bat with which they hope to get a quick hit. The commitment from the sponsor is obviously insincere and ends after one at bat, a strike out with both consumers and the cause they supported. Marketers who support a cause should do so because they believe it is the right thing to do and plan on staying in the batter’s box season after season.

Major League Baseball has made this kind of commitment to Breast Cancer and is doing so in quite an innovative way. Here’s a bit about their program this year from MediaPost:

Major League Baseball launched a Mother’s Day campaign to raise money and awareness for breast cancer research. A full-page print ad ran in USA Today on May 9 depicting a flower made from pink baseball bats. “This Mother’s Day, give more than just flowers,” says the ad urging baseball fans to support the Susan G. Komen For The Cure foundation by attending MLB games on Mother’s Day, or by watching MLB games on TBS and ESPN. Special pink baseball bats were available for purchase at the stadiums and MLB will donate $10 to the Susan G. Komen fund for every bat sold.

I know this is at least the second time around the bases for this effort by the MLB. And as far as I’m concerned, this cause marketing program is a hit. It’s good for Susan G. Komen since it raises awareness and money (the pink bats are auctioned off). It’s good for MLB because it brings a little good will into an arena of otherwise self-obsessed, absurdly-paid and questionably-muscled athletes. And its good for the baseball fan–I for one found the whole idea of these macho athletes swinging pink bats both hilarious and touching–reminding us all that these players have moms too.

Tweaking brands mid-stream

This is the second of two columns on nonprofit branding (first appeared 5/13/08 on PhilanthropyJournal.com)

Branding began with cows, as a way to keep ranchers’ herds distinct. But in the nonprofit world, brands play an equally important role in helping donors and constituents determine which herd to join and which to steer away from.

Changing cows mid-stream

A lot of non-profits start out with a core group of supporters that are well attuned to the group’s initial mission. These special friends have contributed the blood, sweat and cash that has sustained and nurtured the organization. They often live and breathe your brand and have a proprietary feeling about the cause.

And this is all goodness until the organization starts to grow and the services offered expand, often beyond the original mission and interests of the early supporters. This is the point at which you will wish you had a name that wasn’t so restrictive, and there may be a temptation among some to change the name to address this expanded purview. My advice-don’t do it. Don’t change cows mid stream. It is far more dangerous than you think and could set the organization back for years. Awareness takes time and money to build, time and money that you can put to better purposes.

Blazing new trails

Just because I suggested you shouldn’t change your name doesn’t mean you can’t expand your mission. The trick is to do this and not completely alienate your early supporters. Part of the trick is not trying to do everything at once. Pick your new trails carefully and don’t overreach. Invite the core group of supporters into the process and ask them both to trouble-shoot and lead one of the new expeditions.

At the same time, start to mix in a fresh group of supporters that are truly enthusiastic about the new path forward. Their enthusiasm will be infectious and many of the old guard will see the light. For those that don’t, it might be time to create an “emeritus board of advisors” that focuses on the old mission and provides a place for them to remain comfortable with the organization.

Divide the herd

If you are truly concerned about losing the financial support of your early supporters, you may need to think about dividing your communications into two segments, one for the old guard and one for the new. This assumes you have a database of your constituents and can segment your email and mailing lists. If you don’t know how to do this, reach out to any number of organizations like Charity Focus that can help you set up the required technical infrastructure.

Once you have the lists divided, you can send customized communications and solicitations that promote the interests of that particular segment. It’s a little more work but it will pay off very quickly since you won’t have to replace your old fans with a bunch of new ones. Don’t panic if your new course frightens the herd. While there are unknown dangers in uncharted courses, going backwards is rarely a good alternative.

You must be brave, holding the reins of your brand with steadfast determination.

Marketing as Service Goes Global

I was amused to see an article on iMediaConnection UK called “The New Paradigm: Marketing as Service.” The author, Stuart Maister of UK-based Broadview, notes:

At the recent iMedia Agency Summit in the U.K., I heard two ideas that I think are now among the most powerful in marketing. One, attributed to Simon Andrews of media planners Mindshare was the concept of ‘Branded Utility’. This means providing a service or content to our target market without asking anything directly in return as a way of positioning the brand in the minds of the audience.

The second was the famous quote from Axel Chaldecott at the agency JWT: ‘We’ve got to stop INTERRUPTING what people are interested in and BE what people are interested in!’ …

In summary, what they say is this: if we really understand our target market — I mean really understand our target market — then we should know what is useful and interesting to them. If that is the case, then digital channels allow us to develop content and services to serve these needs in a way which clearly positions our brand as a provider of real service and differentiates it from others who do not.

This was the second time in a 24-hour period that I had heard the words “branded utility” as a euphemism for Marketing as Service. So I did a little homework and found an interesting article in Contagious Magazine called, “The brave new world of branded utility.” Here are some highlights:

Contagious ImageSo how about brands giving something back? Being useful? Having something interesting to say? How about creating a topic of conversation? Planning guru John Grant recently reminded me of a Stan Rapp quote – ‘Ask not what your customers can do for you, ask what you can do for your customers’.

Welcome to the brave new world of Branded Utility, where brands look to provide a useful service or a helpful application; to give people something they actually need – without demanding an immediate return. Web 2.0 means that it’s never been easier or cheaper to develop applications. A key element is gadgets and widgets – the new, new thing on the web, as people build applications that can be added to your homepage on Google or Microsoft Live or your MySpace page. Widgets are little desktop gizmos that range from a time and date clock to a mini Amazon recommendations page. Useful services, at your fingertips – and catching on fast. Yahoo! is said to be investing heavily in the expansion of their Widget Gallery.

Not all branded utility occurs online. Ideas like Nike Run London (where 35,000 Londoners pay to run 10km in an event organized by Nike) and Innocent’s Fruitstock (a family-friendly music festival in London’s Regent’s Park that is completely paid for by cult smoothie brand Innocent) fit the label – but they’re inherently limited in scale by their physical nature. Tesco’s Computers for Schools scheme gets closer – vouchers given away for free with groceries to be pooled and redeemed against PC hardware.

The good news for this blogger is that it should be a bit easier for me to bring you more and more good examples of Marketing as Service. Call it what you want, the idea is sure to catch on soon.

Watch Pangea Day Closely

Got a nice reminder from TED regarding Pangea Day’s inaugural event tomorrow:

Pangea Day logoThe program on Pangea Day, May 10, is a celebration of the power of film to unite us all. You’ll see films that are funny — sad — gorgeous — stark — powerful. Voices that have never been heard before. Things you’ve never seen. Scenes from worlds you didn’t know existed. A cross-section of our amazing, complicated, noisy, beautiful world. Tune in or find a viewing party to watch on May 10, 2008, at 6:00 PM GMT. Click here to find the many ways to watch.

As a marketer, Pangea Day is worth watching closely as it brings together a number of Web 2.0 possibilities:

  • User-generated content
  • Cause-based communities
  • Video sourced from all over the world
  • Education through entertainment
  • For profit and non-profit collaborations
  • Video from and to any source (see Nokia Mobile Film making awards)

And just in case you’d prefer to following along in Arabic, French, German, Hindi, Portuguese or Spanish, this too will be possible courtesy in ingenuous subtitling service called DotSub. DotSub was developed by Michael Smolens, who also happens to be a good tennis player, which is how I got to know him. More on DotSub:

dotSUB is a browser based tool enabling subtitling of videos on the web into and from any language. There is nothing to buy and nothing to download. Recognizing the potential of global communication powered by the Internet, the founders of dotSUB created a web-based tool that enables video to be accessed in an open, collaborative, “wiki” type environment. The dotSUB tool gives anyone the ability to translate video content into multiple languages via subtitles rendered over the bottom of the video.