a little less conversation

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A Little Less Conversation, A Little More ActionFUTURELAB

Feel free to re-use or mash-up this presentation under Creative Commons 2.0 licence (non-commercial, attribution)For more information on this topic, subscribe to: http://blog.futurelab.netThe central theme for Marktplein DM is Marktplein 2.0: A little less action, a little more conversation. A theme that comes from the current developments in DM and online. The consumer is ever more in charge. Only he seldomly talks with the companies he buys from. And ever more with others about the brands he buys. Positive and negative.

During Marktplein 2.0: A little less action, a little more conversation you will hear stories from companies who recognise this new situation and act upon it. FUTURELABFrom the conference brochureWord-of-mouth is 7x more effective than newspaper advertising, 5x stronger than a personal sales pitch and 2x as effective as radio advertising

Marketing Science Institute, 200619671983200120071955FUTURELAB

After 52 years of facts and research stating that WOM is key do marketers still need to learn how to deal with itFUTURELAB44WE FOCUS ON THE SYMPTOMS, RATHER THAN THE DISEASEWE DONT GIVE PEOPLESOMETHING ENOUGH TO TALK ABOUTWE PREFER A ONE NIGHTSTAND OVER A COMMITTEDRELATIONSHIP

FUTURELAB

WE FOCUS ON THE SYMPTOMS, RATHER THAN THE DISEASEWE DONT GIVE PEOPLESOMETHING ENOUGH TO TALK ABOUTWE PREFER A ONE NIGHTSTAND OVER A COMMITTEDRELATIONSHIP

FUTURELAB

What drives conversations?

FUTURELAB

EXPERIENCE EMOTION WOM

Source: SRD Group, Customer Satisfaction Averages, New Zealand, 200644% of consumers say the majority of their Customer Experiences are bland

Customer Satisfaction Averages, New Zealand, 2006And most wouldnt recommend a brand

BTW: The same often applies to the people working for the brand themselves

Telecom Europe = - 48%Profusion, 2005

80% of CEOs believe their brand provides a superior customer experience

8 % of their customers agree

(Bain & Company)FUTURELAB

Do you talk about brands that leave you indifferent?FUTURELAB

Does your brand systematically delight customers?FUTURELABTO AFFECT THE CONVERSATIONDONT FOCUS ON WOM AS A SYMPTOMYET START DELIGHTING CUSTOMERSWE FOCUS ON THE SYMPTOMS, RATHER THAN THE DISEASEWE DONT GIVE PEOPLESOMETHING ENOUGH TO TALK ABOUTWE PREFER A ONE NIGHTSTAND OVER A COMMITTEDRELATIONSHIP

FUTURELAB

In a million channel world,brands whose consumers tell the best stories, win

FUTURELAB

Tell me storiesthat make my conversations more interestingDont Just Tell Me AnythingFEATURES - BENEFITSVALUES - PROPOSITIONS

WHERE ARE THE STORIES ???

FUTURELABBrands must become storytellers

FUTURELABSo it is possible for customers to talk about them.

THE GREATEST MARKETING STORY EVER19

OriginsPope Innocent IIIFourth Lateran Council (1215)Birthstones

20The inception of the engagement ring itself can be tied to the Fourth Lateran Council presided over by Pope Innocent III in 1215 [citationneeded]. Innocent declared a longer waiting period between betrothal and marriage; plain rings of gold, silver or iron were used earliest. Gems were important and reassuring status symbols to the aristocracy. Laws were passed to preserve a visible division of social rank, ensuring only the privileged wore florid jewels. As time passed and laws relaxed, diamonds and other gems became available to the middle class.At one time, engagement rings mounted sets of stones. One traditional sentimental pattern mounted six to celebrate the joining of two families: The birthstones of the bride's parents and the bride (on the left), and the birth stones of the groom and his parents (on the right). The parents' stones were mounted with the mother to the left of the father. The bride and groom's birthstones would be adjacent in the center. Another similar pattern, for four stones, mounted the birthstone of the parents' marriages, and the birthstones of the bride and groom. These token rings often disassembled, to expose a channel in which a lock of the suitor's hair could be treasured.

The first recorded diamond engagement ring was presented by the Archduke Maximillian of Austria to Mary of Burgundy as a betrothal gift in 1477. However, the diamond engagement ring did not become the standard it is considered today until after an extensive marketing campaign by De Beers in the middle of the 20th century.

BUT WHY THE DIAMONDS?

21

1938: Harry Oppenheimer meets Gerold M. Lauk of N.W.Ayer FUTURELAB22The Great Depression was an economic downturn which started in 1929 (although its effects were not fully felt until late 1930) and lasted through most of the 1930's. It centered in North America and Europe, but had devastating effects around the world, particularly in industrialized countries.

1938

1953

1948

1990sCullinan IXCullinan III & IVEuropeFUTURELAB23

FUTURELABVideo http://www.youtube.com/watch?v=p0FDGnAIWpk24

1967 The Beers Goes Japan (occasional)1972 Diamonds = 27%1981 Diamonds = 60%2007 Second largest diamond market (after US)Stories replace 1,500 years tradition

HemingwayVan GoghChabrolSartre...

26What is the story of your brand?

FUTURELABTO AFFECT THE CONVERSATIONTELL STORIES WHICH CUSTOMERS CANAND WANT TO TALK ABOUTWE FOCUS ON THE SYMPTOMS, RATHER THAN THE DISEASEWE DONT GIVE PEOPLESOMETHING ENOUGH TO TALK ABOUTWE PREFER A ONE NIGHTSTAND OVER A COMMITTEDRELATIONSHIP

FUTURELAB

Renault vs. SonyStyleAre You a One Night Brand?29Imagine the following situation. A man sees an attractive woman at a party. They talk and decide to have a few dates. After giving all the right signals for being a loyal, caring, trustworthy and relationship-oriented guy, he convinces her to spend the night. The next day he is gone and when she calls it is clear he doesn't want to speak to her....Three months later, they meet again at another party. The guy has no memory of who the woman is and talks to her as if they meet for the first time. He even asks for her phone number because he thinks she's goodlooking and perhaps they could go for dinner.I think you'll agree that unless the guy was a truly exceptional lover, his chances of a sequel are pretty slim. Those of actually building a relationship... are zero.But when you think about it, this is exactly how many brands behave. They advertise, promote, seduce and sell to get us to trust and believe them. And once we have fallen for their charms, we get a box with product and a customer service number which doesn't really want to answer our calls.And the next time we enter the market place, those without an expensive CRM system (*), have forgotten all about us, yet don't hesitate to make the same proposition all over again.

What amazes me is that, in spite of their behavior, these same brands still talk about customers "loving them" and "building a relationship." After all, if they really care, why do I only hear from them if things are wrong or of they want to sell me something new?Why doesn't anyone call me 2 weeks after I bought that new TV to see if I figured out all the buttons? Why don't I ever get an invite for a chat from the guys who sold me my car until my lease contract is up for renewal? Why don't they call me after I have - metaphorically - spent the night?If you run a brand and in the past 12 months have used words like "love" of "customer loyalty," I would like to challenge you to consider whether your actions reflect those of someone truly committed to building a lasting relationship, of they are the moves of someone looking for a quick score. If it is the latter, then don't be surprised if your customers start treating you as a "one night brand" in return.(*) Most with expensive CRM systems only fare marginally better as they are typically the type who does remember the name, yet behaving like the guy who disappeared after the first night only to show up three months later with a bunch of flowers, instantly expecting the same treatment.As many companies want customers to "love their brand," in this and a few following posts, I'll be testing a few of the actual behaviour of organisations against the ways we would expect people to behave in a loving relationship. Any thoughts on the topic (good, bad or ugly) are very welcome.

How often do you really talk to your customers?

We show that we value our customers by serving them well, putting their needs and interests at the center of everything we do. (AOL mission statement)Do you keep your promises?http://www.youtube.com/watch?v=xaaAYVUWP0ITO AFFECT THE CONVERSATIONYOU WANT ME TO CARE

If you want me to care

Call me

Write me

Buy me flowers

But dont dare take me for grantedFUTURELAB

FOCUS ON THE DISEASE, BY MAKINGTHE TOTAL EXPERIENCE UNIQUETELL STORIES SO PEOPLEACTUALLY HAVE SOMETHINGTO TALK ABOUTIF YOU WANT CUSTOMERSTO COMMIT TO YOU, SHOW SOME COMMITMENTFIRST

FUTURELAB

But Im just a marketerThat is not my department FUTURELAB

YES IT IS

Your brand communicates every time it touches a customer.

As a marketer you need to manage this communication.

This makes you responsible for eachmoment of truth

FUTURELAB

Identify every touchpoint of your brand

Prioritise its (emotional) importance to the customer

Determine what your brand promise means at this touchpoint

Enlist support of your colleagues, retailers,

Measure and manage

Consider Each Moment of Truth as a Brand ExpressionSource: DAVIS S., LONGORIA T., Harmonising Your Touchpoints, Brand Packaging, Jan/Feb 2003FUTURELABTO MANAGE WORD-OF-MOUTH

YOU NEED TO MA

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