Tuesday, March 3

Buzzing Boondoggle: Skittles


How does Skittles measure success?

The 250,000 blog posts about the new site that broadcasts consumer comments back at them (and counting)? The 240 mainstream articles, including the Wall Street Journal blog (and counting)? How long #Skittles stays in the top ten most talked about subjects on Twitter?

Congratulations. You're being talked about. Now what?

For all the buzz about the new Skittles site, one wonders if the candy company might just jump the shark. Skittles, which has temporarily (underscore temporarily since it will be putting back its home page soon enough) has turned to social media as its primary marketing push online.

While there are scores of complimentary and contrary opinions to choose from, its still too early to determine whether their social media stunt might produce tangible outcomes. The smarter choice, for now, is to consider it as a living case study, with four basic observations up front.

• The reach might be too far. There seems to be no escape from the buzz on social networks like Twitter, which is irritating some participants. The primary reason for all the buzz up on Twitter is vanity over candy. Any time someone says anything about Skittles, they pop up on the current Skittles homepage (which will be regulated to chatter soon enough). Simply put, Skittles may be alienating its audience by focusing too much on atmosphere, which is something I wrote about just yesterday.

• The impressions aren't all positive. Almost 75 percent of the impressions being left and lofted at the Skittles site via Twitter and across various blogs are off topic or negative. It's one thing to praise buzz, but something else all together to consider a campaign a success when the negative impressions start to outpace positive impressions.

• Sustainability is a watch point. Talking about Skittles just isn't all that sustainable. The company runs a real risk of encouraging people to talk about the site so much, they will get sick of the shallow chat and stop talking about it all together. Right, there is a valid reason that most movie franchises are generally confined to a limited number of installments. Communication overload can kill interest.

• Skittles and its return on communication. There are only two real outcomes that may determine if the Skittles social media campaign is a success. First, what is the net sum of all positive and negative impressions? Currently, it seems they are losing ground. However, I have to concede that this may change once the initial buzz up wears off (unless some consumers go out of their way to attack it). The second measure is sales. In all fairness, we have to wait and see.

Even more interesting to me is why this marketing program seems to be getting so much attention for a program that is not new. The concept has been around for some time; we even wrote about it in February. In fact, using Tweetfeed.com, Skittles could have done the exact same thing, but benefited from better background.

Of course, there is that other thing too. One wonders what the response will be like when Skittles puts its homepage back up, regulating the Twitter stream to the chatter button. It makes me hope that someone has a contingency plan for what could be billed as a short-term publicity stunt that fails at authenticity. My guess is there isn't one.

Why? They were in such a rush for buzz up that they neglected to consider how annoying it is to type in your birthdate on every single visit. Not only is it annoying, but any data capturing at this point is futile because the bulk of their visitors are visiting out of curiosity and not because they are interested in consuming candy.

Monday, March 2

Measuring Communication, Realization Part 3


Since 1999, radio has experienced a steady decline in listenership, and has become mostly confined to specific personalities and drive times. In fact, according to the BIA Financial Network, Inc. (BIAfn), the radio industry has suffered its second year of negative growth in 2008, tripling station revenue losses to -7 percent and will experience another 10 percent decline in revenue this year.

It's worth mentioning because radio provides an excellent example of the overvaluation of reach as it pertains to live radio remotes. As a promotional tool, Warner & Buchman once described radio remotes as an excellent promotional tool "to create excitement and increased awareness for a product or service and to get consumers involved with a product." Simply put, they were traffic generators.

But what traffic? When poorly planned, many stations, especially those with strong station personalities, would sometimes attract crowds that were more interested in the station than the marketer's location. And some, weren't even interested in either as much as the free food, drinks, contests, and drawings.

That is not to say radio remotes are bad. They work great for some businesses and can create an atmosphere. But in terms of real reach — real potential future buyers, some remotes are over valued. I once attended an agency organized event that delivered not a single buyer because they chose a popular remote station over a station with the right demographic, and still insisted the event was a success based on the number of bodies. Hmmm ...

Redefining Reach To Avoid Over Valuation

In most communication fields, reach is often defined as the total number of impressions or how many people are exposed to a message. However, in considering the effectiveness of communication, marketers can capture a clearer picture if they narrow the definition of reach to only include the intended public.

Mack Collier, a social media consultant, alluded to this thinking in January after he became one of 25 hand-picked communication-related bloggers to see a sneak preview of Pepsi cans sporting the new logo. While each blogger framed up their posts for their audience, most were not Pepsi fan boys.

Was it an effective application of reach? Or would Pepsi have benefited by targeting bloggers who are actually fans of the product or related products, like Justin or the Pepsi Blue Blog? And even if Pepsi did target communication bloggers, wouldn't it have been more worthwhile to send out what Fast Company has called the most ridiculous thing ever perpetrated by somebody calling himself a designer? After all, the brief has generated more buzz than the bloggers ever did, even if most of it was bad.

Some Public Relations Firms Are The Worst Offenders

Kathy Keenan, principal at Keenan Strategic Communications, called it right when she said column inches is more "ridiculous" than most public relations measures. The practice, counting column inches and then attempting to equate the value of those inches to the ad rate equivalent, is just plain fraud. I also agree that clip counting or basing the measure on circulation is equally flawed.

Don't get me wrong. Hits are great, but only if they reach the intended public. And even then, only if they move that public in a specific direction or, perhaps, raise the brand equity of the company. Personally, I suspect if more public relations firms measured properly, journalists would celebrate because it would mean a whole lot less spam.

One example I use in my Writing For Public Relations class at the University of Nevada, Las Vegas, is how a predominately local attraction that relies on visitation from a proximity-based public would not benefit from every impression earned from mention in an out-of-market publication. Sure, it might be cool to see a West Coast local attraction written up in the Wall Street Journal, but only if business people might might buy plane tickets.

Otherwise, it's all perception that has nothing to do with much of anything. However, that perception of faux reach is so strong, even some publications are starting to cross ethical lines to have it online.

Does a local hamburger stand benefit from exposure in Singapore? Probably not, but they are paying for it.

Gaming Traffic Online Runs The Risk Of Ruining Companies

On Twitter this weekend, Joe Hunkins asked if Twitter participants would follow a company for $.01 a day. He said that half would, and half would not. But what does that do? Simple, but silly.

All it really does is bring a sketch from the once popular television show Ally McBeal to real life. In an episode called Out in the Cold, the character named Billy decides to hire six girls as his new entourage, hoping to impress a powerful potential client. However, online perception is not television programming, and paid followers will never help you determine if you have an effective message for real prospects.

Astroturf aside, the bottom line is that while exposing as many people as possible to a specific message may yield results, the over valuation of reach can distract companies from their primary objectives or even drive existing customers and prospects away. I've watched dozens of blogs over the last five years turn off their core audience by chasing numbers instead of customers.

When To Consider Reach Part Of The Equation

In sum, to determine the effectiveness of communication, the measure of reach is more useful when it is limited to intended publics as opposed to the general public. In other words, if you have a product or service intended to be purchased by your demographic, then the only number that counts are those in that demographic and the frequency that the demographic is exposed to that message.

Download The Abstract: Measure: I | O = ROC

The ROC is an abstract method of measuring the value of business communication by recognizing that the return on communication — advertising, marketing, public relations, internal communication, and social media — is related to the intent of the communication and the outcome it produces. Every Monday, the ROC series explores portions of the abstract.

Friday, February 27

Asking Social Questions: Pete Cashmore


Pete Cashmore, founder of Mashable, which is a news blog dedicated to Web 2.0 and social networking news, asked an interesting question last week about human behavior. Does social media — specifically the immediacy and accessibility of information — change the way people act in an increasingly public world, and thereby make people nicer?

Diverse Reactions Suggest A Common Answer

"I think it may improve behaviour in 'public spaces' (that term deserves its own entry), and it may extend that improved behaviour to family and friends that could turn on us - I’m thinking of The Hoff’s daughter and Alec Baldwin’s daughter (yep audio alone can be embarrassing too.) - but this is a superficial change. Behaviour is about appearances. And changing behaviour does not mean changing intent (hearts and minds)." — Richard Weiser

"How you handle a differing opinion will speak volumes about you and can either enhance (or undermine) your personal credibility." — Sharlyn Lauby with online conflict tips

"It certainly can, if we use it properly - and, as the blog post suggests, the instant exposure of social media can help throttle down bad behavior. But people are people, and I think we’ll always see a mix of goodness and folly in any method of communicating." — Steve Woodruff

"The comments at the end of the article are mixed. I for one, do not think that social media makes me a better person. Maybe a person with more access to contributing my thoughts and opinions or a person with more public visibility or a person who is more careful of what I choose to throw around online, but not a better person." — Practicum Pioneers

"Social media doesn’t make us better people, but it does make us more conscious people." — Melissa at ZooLoo

"You hear too often about people getting caught in the act of committing unacceptable societal acts (i.e. most recently Michael Phelps). With people becoming more socially active on the Web, not only do you have big brother government watching, you also have millions of other people that are watching if they really wanted to. More than ever, you need to protect your reputation, because it can be tarnished in an flash." — Ismael Seguban

Common Answers Clarify Complex Questions

Two years from now (barring government restrictions), it's very unlikely we will distinguish Internet communication or social media from other forms of communication. It will become part of the whole, much like all other mediums eventually became indistinguishable as they were adopted. And, therein lies the answer to Cashmore's question.

Direct intervention, such as changing the environment as any new medium or technology does, influences behavior. However, direct intervention generally does not change a person's character. Only indirect intervention, such as nurturing specific ideas or encouraging specific choices so that people might choose to change themselves, instills a legacy of positive behavior.

In other words, while the immediacy, accessibility, and diminished privacy may influence the way we interact — knowing that any of our actions, conversations, and correspondence could be published for public consumption — it does not change human behavior or character. It only makes us temporarily more guarded.

Thursday, February 26

Rebranding Blunder: Tropicana Orange Juice


Watching Peter Arnell, founder and chief creative officer of Arnell Group, explain the rationale behind the branding change of Pepscio's Tropicana package redesign is almost painful to watch. The clip from a press conference held five weeks ago is now archived at AdvertisingAge.

"Emotionally, it was very, very difficult, and it still remains difficult, for everyone to grasp the importance of that change because it so dramatic," said Arnell. "Of course, historically, we always showed the outside of the orange. Um, what was fascinating was that we had never shown the product called the juice."

Does he mean like EVERYBODY else?

Arnell, who suffers his own brand paradox, seems to have made a fatal mistake. Perhaps swept up by the bizarre sea of change occurring at PepsiCo, the redesign scheme for Tropicana Orange Juice was doomed from the start. Why? Because the concept was driven by an introspective redesign.

As consumers pointed out to The New York Times, the new packaging was “ugly” or “stupid,” resembling “a generic bargain brand” or a “store brand.” In fact, even after hearing Arnell's explanation, it's difficult to understand the logic behind a redesign that makes the product look like everybody else because the company had never tried that before.

Change For The Sake Of Change Is Naughty.

This isn't the first time marketers and consumers have questioned agency recommendations to embrace identity redesigns that don't hinge on the five best reasons to consider change. It won't be the last either. You see, the reality is that rebranding, especially when it's built on some guy's imagination without significant consideration of the external market, is an easy way to own an organization while the rebranding occurs and squeeze out some extra billing too.

During those relatively rare occurrences when rebranding makes sense, it's important to factor in what changes have occurred in the marketplace over what the company has done before. In other words, redesigning away from existing identity doesn't make any sense whatsoever if the creative only delivers a contrast to past creative instead of a contrast to competing products.

In the case of Tropicana, PepsiCo is now bowing to public demand and scrapping the changes and sticking the straw back in the orange, an image that was smart because it stuck with the consumer. While some might argue that the publicity might pad the price tag of the redesign, I disagree. The last impression you want attached to your brand is "stupid." Ironically, Tropicana orange juice will retain the "squeeze cap" concept, which makes you work a little bit harder to enjoy the product and makes me happy that my daughter prefers apple juice.

The bottom line: when agencies "sell" rebranding concepts, make sure the rebranding is market driven and not agency "sales" driven. Otherwise, the only thing your company will be stuck with is the bill.

Wednesday, February 25

Planning Breakthroughs: Mike Ferrell


"Success is simple. Do what's right, the right way, at the right time." — Arnold H. Glasow

Simple becomes the operative word in describing Mike Ferrell's new book, Ultimate Breakthrough Planning, from Scarletta Press. It's simple enough that it risks being overlooked by varied best seller lists, but important enough that small business owners and managers would benefit to see it there.

Ferrell, president of The Pinecrest Group, has been involved with eight different start-ups, with considerable time working in the financial services arena. He has also presented to thousands of people at workshops and seminars. But that's not why management could benefit from the little red book that could.

"In 2005, 544,800 small businesses closed for a variety of reasons: lack of capital, lack of customers, poor location, bad service, or the wrong product," writes Ferrell. "How many of these could have avoided this fate if they had an easy-to-follow plan, or blueprint, that would help them succeed?"

Ultimate Breakthrough Planning defines itself as the blueprint that can help small businesses move away from thinking in terms of a traditional business plan and into an actionable business funnel approach. While I found the funnel to be similar to other models we've helped businesses adapt in the past, Ferrell puts down his approach in a much more comprehensible format and then goes a step further. He starts with the six key elements of success ...

Vision and Branding. How to determine what your business will look like and how it will function.
Leadership and Team. How to clearly communicate vision with your team to make it more effective.
Marketing Systems. How to create marketing that is done consistently across a variety of mediums.
Sales Process. How to understand your customers and develop stronger relationships with them.
• Exceptional Service. How to take good service to a higher level, and engaging your team to do it.
Strategic Alliances. How to determine what you do well and find people to do what you don't do so well.

... and then, he drives each of these critical areas through his funnel process. It seems to me that it is this process where Ferrell's ideas for an executable business process take hold. He does not force businesses into a cookie cutter model, but rather guides his readers through a process, from the macroscopic concept to the microscopic action.

What's the difference? Most business advisers define vision and branding in typical terms and then produce various statements that are sometimes mocked until they are long forgotten. Contrary, Ferrell suggests all six elements are all executable by identifying priorities, setting goals and objectives, defining strategies, determining tools, communicating and training, creating tasks and timelines, tracking results, and rewarding success. While the outcome of this process for each company would produce very different conclusions, each would benefit with an equal propensity for results.

That is the point isn't it? Personally, I have yet to find any two companies that are the same. And yet, every day, marketers and business consultants insist that all companies adopt the same models, marketing, or priorities. Why? Because that is what most businesses want to hear. Never mind what works for our employees and customers, they say, I want to do what works for someone else's customers because we want their outcomes. Ferrell spells out the problem with a sports analogy.

"When a football coach designs a game plan, he doesn't focus on the eventual outcome of the game; he focuses on the specific offense, defensive and special teams plays that need to happen to affect the eventual outcome in his favor," writes Ferrell. "Too many business owners focus on their plan and skip specific steps needed to achieve those results.

He's right. The reality of any game is this: we do not know the outcome. So while setting goals is useful, the focus needs to remain on the strategies and tactics that are required in order to achieve those goals. It's not all that different from what I've been suggesting with the ROC abstract.

It's also this kind of thinking that makes Ferrell's work immediately applicable. Every business has strengths and weaknesses, and there is ample material to help determine which areas — offense, defense, or special teams — could be brushed up for better results. More importantly, Ultimate Breakthrough Planning helps business owners think about and evaluate their businesses as if it was the first time, which far too many forget to do.

With the exception of a few minor blemishes throughout, the only soft spot in the book can be found in the Question and Exercises chapter where Ferrell suggests a self-analysis for Vision and Branding that is a bit too introspective for my taste. I believe even the smallest businesses can benefit by involving key members of the team to answer the questions he proposed. There is no need to wait until the second element before you bring them into the process. Engage them at the beginning.

Otherwise, it's easy for me to recommend this book. It's straightforward and clearly articulates what businesses ought to do if they want to make success simple. That is what we want to do, isn't it? After all, if a business isn't focused on success but only "survival" in a down economy, then it's already operating at a deficiency and heading for a loss.

Tuesday, February 24

Closing Case Studies: Peanut Corporation Of America


Two weeks ago, Peanut Corporation of America, which was the source of a national salmonella outbreak, filed for Chapter 7 bankruptcy in Virginia.

The decision to file bankruptcy is clearly stated to limit the company's ability to take any actions regarding recalled products that were shipped from its Georgia and Texas plants. It has advised that it is no longer able to communicate with customers of recalled products, and the previous instruction for customers to contact PCA is no longer applicable.

To date, the U.S. Food and Drug Administration (FDA) and the Centers for Disease Control and Prevention (CDC) have recalled 2,100 products in 17 categories by more than 200 companies. The list continues to grow.

The FDA has released several communication materials to help consumers make sense of the outbreak, including an video of how outbreaks outbreak occurred and PDF documents that illustrate the distribution process and investigation timeline.

How Reputation Mismanagement and Bad Communication Can Kill

The FDA and several investigations seem to indicate that the PCA acted with gross negligence that is responsible for sickening over 600 in 44 states and Canada, linked to nine deaths, resulted in thousands of recalls, and caused the business failure of at least one company.

While it remains the argument of many that Stewart Parnell, owner and president of PCA, placed profits before public safety, there are still valuable lessons to learn for public relations professionals and communicators. You don't have to lie.

Show me a PR person who is "accurate" and "truthful," and I'll show you a PR person who is unemployed. — Andrew Cohen

While the public relations industry took exception to Cohen's comments last year, there is some truth to be found in his harshness. Some public relations practitioners help companies turn frowns upside down, attempting to put the very best light on the very worst situations. We might see it over, and over, and over again, but it's not the job. So what is the job?

Reinforce Core Values. A smart public relations professional or communicator could have reinforced the core values of the company, making employees aware that consistent quality, safety, and dependability was the priority not just in marketing materials but in action.

• Advise On Reputation Management. A skilled public relations professional or communicator could have outlined the considerable risk of reputation damage if the company continued to maintain substandard safety practices.

Turn Whistleblower. An ethical public relations professional or communicator could have reinforced public safety as a critical component to plant operations and communication, including their responsibility to report transgressions.

Manage The Crisis. A seasoned crisis communication professional or communicator could have outlined a proper course of action for the company, assuming the contamination was in fact an accidental occurrence and not an orchestrated event.

Prioritize Communication. An experienced public relations professional or communicator could have prioritized the communication, advising a deeper than needed stop shipment and recall. The second priority would have been to demonstrate (not state) empathy to those affected and accept responsibility as warranted, including any wrongful deaths.

Avoid Marketing Messages. A vigilant public relations professional or communicator could have ensured any statements made to the public were devoid of marketing messages until evidence concluded the contamination was an isolated incident.

Keep Communication Open. An attentive public relations professional or communicator could have kept communication open, honest, and candid throughout the crisis, even if they were not the designated spokesperson, making minute-to-minute recommendations to the executive team to avoid disaster.

So why didn't any of this happen? I've spoken to enough recruiters and public relations firms to know that most consider the skill sets necessary to perform any of these tasks secondary to the size of a person's e-mail list and perceived relationships as an extension of marketing. As long as that remains the priority, companies will continually find themselves in the kill zone when their reputation is on the line because the most common answer out of the mouths of Rolodex keepers is to spin it away.

The longer you work in communication, the more likely you will learn that it's hard enough to tell the truth and be believed. Do you know what I think? If you lie to the public, you're not in public relations. You're in the urban dictionary.

Peanut Corporation of America. Case closed. And the company too.

Three public relations related posts:

Communication Overtones: Is PR paid to lie?

Sane PR: 60.3% of Britons Believe PR Officers Lie

Silicon Alley Insider: Top ten lies PR agencies tell their clients
 

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