Wednesday, 31 March 2010

Brand as a Service // Brand Butlers

Today, Emily, our PR Executive forward me an email. Emily usually forwards me either work to
approve or interesting articles to read, usually in areas that I’m not overly educated, such as fashion! The thing about Emily is that as a good PR executive, she always manages to get my attention, as she puts an extra effort to write catchy subjects on the emails so I open them and read them...although sometimes they’re not as subtle with headings such as “Read this” or “Help me”!

Anyway, the subject of this mail was "Brand Buttlers". The content of the mail was Trendwatching.com newsletter. Trendwatching.com have identified an imminent new trend that is based around brands working hard on assisting consumers make the most of their daily lives, rather than the old model of
selling them a lifestyle or identity.

At Clownfish we called this Brand as a Service. But Clownfish did not coin the phrase. Nigel Morris, CEO of Aegis Media North America and our Chairman did years ago!

In our book Peter Fisk and myself defined “Brand as a service” as a facet of brand innovation

We defined brand innovation as
developing a culture or an identity that reflects the purpose and sustainable practices of businesses. This can be from an strategic and or tactical level and it can be disruptive or evolutionary so for example:

Product innovation – new products and services that embrace new technical and sustainable dimensions as sources of differentiationMarket innovation – addressing new needs and wants, finding new markets as either new places for existing sectors, new sectors in existing places

Business innovation – rethinking the purpose of business, the business model by which it works, its stakeholders and measures of success

So brand buttler or brand as a service is the result of the innovation process whether disruptive or evolutionary..it is essentially how to bring innovation to life.

Why consumers are embracing these trend?

For consumers, time, convenience, control and independ
ence are the new currencies: this trend requires B2C brands to turn many of their 'campaigns' and all points of communication with their customers into broader services. In short: a shift from 'broadcasting' to 'servicing'

Relationships with brands are now more down to earth and less reverential. With uncertain times, consumers are longing for institutions that truly 'care'. This
is more about showing empathy and providing customers with a status fix . This too requires brands to master a more service-oriented personae.

On top of all of the above, the current online mobile revolution
is shifting consumer expectations even further into the always-on, instant gratification online arena. For brands, this means that there are now endless creative and cost-effective ways to deliver on this need for Brands as a Service

In short, for a brand to become a butler or be a service – it need
s to be relevancy not about gimmicks or entertainment for enter
tainment's sake.

In the end, finding the right mix of online and offline services is something that requires thinking and cross functional capabilities

Here is an example:
Thank you again Trendwatching.com team for inspiration and content

Happy Easter





Monday, 8 March 2010

Great video but look who is the inspiration...

A friend sent me a link to this video, http://www.youtube.com/watch?v=qybUFnY7Y8w&fmt=18

All looked a bit too familiar and then I remembered where I saw it before... http://greenxchange.force.com/





Sunday, 7 March 2010

Sustainable innovation - just a rant

Sunny and crisp Sunday morning. Woke up went for a run and here I am with a bunch of thoughts I though I owe to right somewhere...

Why sustainability is such a difficult concept to grasp!? The concept and practice of sustainability is evolutionary. The things around us rarely become extinct, they don’t simply disappear. They evolve as the context and backdrop changes.

In business the reason for evolution and re-invention is growth. The opportunity businesses have for sustainable economic growth and innovation is directly linked to their incentive for profit which is ever more dependent on their willingness and ability to evolve

Accepting that delivering shareholder value, and therefore profits, can be one our greatest motivators for sustainable actions, particularly during a recession is crucial to understanding the importance of how businesses should embrace innovation with every new wave.

So has the idea to sustainability innovation finally captured the imagination of brands? What is Sustainability Innovation?

Sustainability Innovation is discovering new ways of creating value and building capacity whilst taking in account the environmental and social impact of our thinking (brainprint). Sustainability Innovation will become the lifeblood of many brands survival and growth as communication get more fragmented, consumer became savvier, and the markets gets more uneven

The sustainable innovative model needs to foster sustainable creativity and this is quite different from the traditional innovation programs developed by many innovation companies.

The diverse backgrounds and experiences that Peter Fisk and myself have, has allowed us understand the drivers and outcomes that make brands successful when it comes to sustainability innovation and communications.

In People, Planet and Profit, we describe how our innovation process is about enabling, creating capacity and value. The success of our work is about delivering a dynamic process that sustains itself. Making sustainability normal, part of everyday life, and for a business part of every day process.

The convergence of digital technologies and need of businesses to continue to grow from supply led models to a service mode, are the cornerstones and drivers of our thinking...




Tuesday, 23 February 2010

How can companies achieve competitive success?

It is no secret that in today’s consumers are faced with too much choice. How are we supposed to know which of the twenty types of coffee on offer in our local supermarket represents the optimum combination of attributes to meet our personal requirements?

Advertising hardly makes our choices easier, as we struggle to cope with a eon different messages every day, across TV, Twitter, Out of Home, ads on public transport and so on.

Helping consumers to make better choices is the key to success in today’s crowded and competitive consumer markets. We know from our own research and experience that the relationship between brands and consumers is changing. Whereas, in the past, brands were able to dictate to consumers via a combination of advertising and distribution, the new approach is more akin to the way that personal relationships develop between ordinary people.

When we meet someone for the first time, our decisions about whether or not to develop a friendship with them is often based on two questions: “Do we have enough in common?” and “Can I trust this person”?

If we think the answers to both questions may be yes, then we are far more likely to follow their advice and overlook their imperfections. Brands that are open and honest about their values and aspirations are more likely to succeed in the long term than those that pretend to be perfect.

Value is not a simple combination of price and product/service performance. Consumers use brands to symbolise aspects of their own identity, and if the behaviour of those brands falls below what they expect of their own friends, then they will either reject them completely or continue to use them only until a more suitable alternative comes along.

Arguably, the aspect of personal identity that has changed the most in the last year relates to our personal responsibilities to society and the environment. It is no coincidence that these types of issues are now dominating the political agendas on both sides of the Atlantic.

Of course, the better you get to know a new friend, the better able you are to spot lies and hypocrisy. So it is especially important that brands revisit their core values – particularly as they relate to environmental and social issues and express them through everything they say and do. Then, there is no need to fear the attentions of bloggers, social networkers, journalists and NGOs; rather, those attentions will become powerful drivers of brand value.

In short, if want people to speak well of your brand behind your back, then you need to earn their praise through your own good behaviour...

What we need, is not to need

Maslow’s theory, published in 1943, created a hierarchy of mans’ needs. The main thesis provides that once basic needs are met, then man is able to fulfil his higher needs – the ‘growth needs’ that form the pinnacle of man’s desires.

Basic ‘deficiency needs’ comprise the bottom four layers of the five-level pyramid. Basic needs encompass (1) physiological necessities (air, food, sleep etc); (2) safety needs, or basic human rights provisions which, once satisfied, establish the threshold of happiness; (3) social needs (friendship, family, sexual intimacy and so on); and (4) self-esteem (respect and a sense of achievement).

Once basic physical and psychological needs have been satisfied then the opportunity to develop spiritual needs is maximised. According to Maslow there is a desire to search for meaning, which may include a transcendence of ego.

Intuition suggests that the idea of self-development or a hankering after meaning and value in life remains true to experience. If we are fortunate enough to enjoy the security that society can provide us – if we have a secure job and the means to achieve a comfortable level of subsistence protected by our fundamental rights – then there often arises a desire, or we flirt with the idea, that there is more to life than basic survival.

So what does all this have to do with sustainability or social and environmental issues you might be asking yourself? Is there a link to be made with the market, brands and companies?

In today’s consumer society, brands can help people to progress through all levels of Maslow’s hierarchy of needs. At the most basic level, they provide the means to eat and stay warm. At higher levels, they provide the means to express and even develop personal identity.

Brands are beginning to recognise what research clearly shows: that despite the proliferation of possessions and significant rises in personal wealth, people are no happier now than they were thirty years ago. This represents, in part, a failure on the part of brands to enhance people’s emotional lives.

Some say that this is an impossible goal; that true happiness cannot come from material possessions. This is partly true, but too easily dismisses the important role that brands can play in delivering sustainable development. Brands can be the key to separating the material from the emotional, reducing environmental impacts while maximising customer satisfaction.

Consumers are increasingly developing an ethical conscience in the face of threats such as global warming and human rights abuses. There is an increasing awareness that consumption habits have causes and effects, just like everything in the world, and how we act and/or consume may often have negative impacts in the world and on our personal and collective well-being. These impacts are often not visible and account for the reckless economically driven consumption patterns that have become the norm.

Consumers increasingly want to be seen to have a conscience and, as such, there has been a huge shift towards ‘sustainable consumption’ as a process of social identity formulation. Material goods assume a certain importance in our lives, above and beyond their practical function, for their embodied symbolism. If we are seen to be a ‘green consumer’ then we may be associated as a person with a worthy moral outlook, one who is able to fight the mundane existence that has come to represent traditional unsustainable consumption patterns.

‘Sustainable Development’ is shorthand for attempts to bridge the divide between economic growth and environmental protection. It seeks to develop means of supporting economic growth whilst supporting biodiversity; it embodies goals of relieving poverty and, fundementally, a means of long-term progression and development without the depletion of this planet’s "natural capital".

Sustainable development is often misinterpreted as focusing solely on environmental issues. In reality, it is a much broader concept that embodies not only the environment, but society and the economic performance as well.

Though concerned about environmental and social issues, most consumers do not have these issues in mind when they are doing their shopping. Instead, they go for whatever is convenient, trendy, fashionable or whatever else they have as their primary need. Consumption is about habit – whilst consumers are aware of the problems of the world they tend to push them to the back of their minds and dissassociate actions from their hidden consequences. In this form of traditional consumption ‘growth needs’ cannot be satisfied.

Consumers want to invest in products that embody their ethical ideals; however, they want to without too much cost or inconvenience to themselves. Most of the true pressure on business to become more sustainable comes from others, such as NGOs, investors and government. This distracts businesses from the enormous commercial potential of delivering “responsible” brands to consumers. There are plenty of CSR reports, but few sustainable products or brands. Consumers do not read CSR reports; they do buy brands they can trust to be responsible.

At the end of the 1990’s apparel and footwear brands such as GAP and Nike were embroiled in scandals over the working conditions in the factories that supplied them. Since then, they have made tremendous progress in eliminating these abuses, and incorporate social and ethical values into their business practices. Nike is today one of the most innovative companies when it comes to sustainability business practises. However, most of this good work has remained hidden from consumers and therefore useless in building positive brand value or laying to rest the ghosts of past reputational crises. Why? because Nike has not yet successfully integrated into the brand message.

Communicating with consumers in today’s cluttered and democratic media environment is expensive and difficult. Consumers who are interested in the ethical performance of brands can turn to a proliferation of ethically guided magazines and websites.

Surveys also reveal, however, that ‘functional’ factors such as quality, price and convenience still dominate purchasing decisions. There is a real value gap in the market that brands can fill. If brands can bridge the gap between values (in terms of sustainable production and sourcing) and a product that functions as well as the best on the market, then commercial success shall undoubtedly follow.

Consumer choices are dependent on information and product awareness. Paradoxically though, many consumers are cynical about advertising strategies that deliberately market products as ‘ethical’. For brands to succeed they must be trusted to deliver on their promises. Brands must internalize the emerging values of the modern consumer and embed them throughout the entire organization. Aligning values will make the brand more relevant to the consumer and differentiate it from its competitors. If brands claim to be ethical without properly embedding sustainable and social values into their make-up then accusations of “green washing”, or exaggerating environmental and social progress, are bound to surface.

In short, any CSR message must be representative of the brand as a whole. Companies must honestly define and understand what they are about and their values must be honestly communicated to their stakeholders and to consumers.

I agree with Ed Mayo, Chief Executive of the National Consumer Council, who signalled that whilst marketing got us into this mess [of unsustainable consumption], it may be that marketing can get us out. By leading consumers with engaging messages and useful, sustainable products, brands can lead consumers on a mutually beneficial journey that safeguards and improves quality of life for this and future generations. Consumers cannot be relied upon to demand responsible brands, but they will respond positively to ones they are offered.

Perhaps there is a new layer for the top of Maslow’s hierarchy that goes beyond “self actualisation” to address the needs of future generations. We might call this “genetic actualisation”, since the ultimate winners are yet to be born.



Friday, 19 February 2010

PayPal and Facebook

Did you know that PayPal is being introduced as a way to pay in two important areas of Facebook: Facebook Ads and Facebook Credits. Advertisers around the world will soon be able to pay for Facebook Ads with PayPal

PayPal will also become a payment option for Facebook’s virtual currency, Facebook Credits, which is currently being tested in a small number of games and applications.

What do you think this will mean for the advertising community? but I think what is a more interesting questions What do you think this will mean for small brands and entrepreneurs... I think that the sky is the limit - Keep tuned this is just the beginning of the story!

https://www.thepaypalblog.com/2010/02/paypal-is-now-a-way-to-pay-for-facebook-ads-and-facebook-credits/

Thursday, 18 February 2010

A new iPhone application that may shake the cosmetic industry...

Lines and wrinkles has become the obsession of eon people. We spend incredible amount of money in products to look younger... but, is what we are putting on our body or face good for us?

I came across Cosmetifique http://www.cosmetifique.com/ an iphone application that claims to have a searchable database of over 5,000 ingredients, in INCI format.

The results for ingredients searches come back highlighted as either red, orange or green, to tell us whether the ingredients in our chosen cosmetics are good, acceptable or should be avoided.

The application also allow users to save their favourite product by brand and colour, which can then be shared with friends via email, facebook or twitter.

Delli Bovi the application developer said:
“We talked to make-up gurus and 90 percent of them preferred natural ingredients, so we don’t suggest chemical ones like dimethicone,”

A local scientific agency provided much of the information for the application as did webservices, explained Delli Bovi.

The application is the answer to consumer demand for more information about product ingredients, and its sustainability credentials.

All products for sale in Europe have to comply with the European Cosmetics Directive which provides a list of ingredients banned from cosmetics and others for which concentration limits apply. If a product complies with the Directive and therefore allowed for sale in the region, then, according to industry, it can be deemed safe.

Getting reliable and accessible information to consumers about what is in cosmetic products and their safety is a challenge but is likely to become more important if this type of applications take off.


Only time will tell....