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APRIL 16, 2009

An Example Of The Power Of Word Of Mouth

Long before I accepted a position at TMG Strategies and learned a lot about consumers’ concerns and habits regarding drinking water, I was a fan of filtered water.  In college, I could only afford a Brita-filtered pitcher for my drinking water needs. (Bottled water was a luxury I just couldn’t afford in college - along with Starbucks, toilet paper, and deodorant.)

pur3Now that I’ve graduated from college, I can proudly say that I’ve moved past my Brita-pitcher budget, but my habit of drinking only filtered tap water remains. Only now, I use a faucet-mounted Pur water filtration system for all my H2O needs.  On one of my recent trips to Costco (another habit I picked up along the way - I can’t help it, I “heart” wholesale!) while shopping for replacement filters, I was stopped by a woman who asked me what I knew about using the Pur system. She appeared to not know anything about the product- or filtered water, for that matter - but was concerned since she lived in an area where dye testing was under way.  As a seasoned user of the product I simply explained to her how the whole system worked - everything from installing the filter onto the tap to replacing the filters when the little LED tells you it’s time.  Now, I’m no scientist, I’m not an engineer, nor am I a salesman for Pur, but at the end of our conversation, she smiled, wished me a good day, and picked up two Pur water filter kits for her and her son.

Despite the fact that I’m no salesman, I know I’m the one who “sold” her that product!  It wasn’t some grandiose advertisement, a gimmick of sorts, or a celebrity endorsement that sealed the deal, it was a simple recommendation from an Average Joe (or maybe in my case an Average “Pho”) who could relate to her concerns about contaminated water, who knew the product well, and could share his own personal experience with the product.

And that, my friends, is the power of “word of mouth”.

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MARCH 2, 2009

A Look Back At February On Undercurrents

I always discover something new when I read Undercurrents - not only things that I may have missed in the news, but entirely new things about the blogosphere or new ways of finding and sharing information. And that was certainly the case last month.  As usual, Undercurrents covered a remarkably diverse set of topics - from a hot new product called the Snuggie to cutting-edge social networking web sites.

facebook_pic.jpgFor example, consider the rapidly evolving world of social networking where new ideas pop up as fast as the grass on my lawn in the spring. Gloria wrote last month about the race to lure users away from Facebook and how some social networks like BeBo and FriendFeed are remaking themselves into one-stop aggregators for people’s digital lives.

yelp.bmpAnd Gayle produced an illuminating blog about Yelp, a Web site that bills itself as a community-driven city guide that has also been accused of manipulating its ratings to extract payments from the businesses and merchants it reviews.  This example underscores the point that not all information on the Web is reliable, and that in this age of information-overload the careful reader must approach all information with a skeptical eye.  The websites that engender the most trust, Gayle points out, are the ones that take transparency seriously. And for any information provider, whether it is a cutting-edge site or a free city newspaper, trust is the key to long-term viability.

credit.bmpTransparency is a topic that comes up often on Undercurrents because it’s so important to creating trust in an expanding universe of information.  Who you trust ultimately means who will survive in this mega-information age.  Monica wrote about the timely topic of the need for greater transparency in credit, a need underscored by the deepening credit mess that is choking our economy.  She focused on an idea advanced by two authors that broader credit safety regulations should be adopted, including the formation of an oversight panel like the Consumer Product Safety Commission.  Corey wrote about transparency, too, arguing that transparency doesn’t mean the indiscriminate dumping of information into the public square.  Even in the name of transparency, businesses and governments should be careful to put their information into context.

snuggie3And the Snuggie?  It’s a blanket with arms — an old product that has found mass market appeal through a new marketing pitch and a good dose of luck.  Our blogger Kristen argued that the infomercial used to pitch the product was so bad and out of touch that its ineptitude actually attracted attention, even spawning YouTube parodies.  All that attention triggered a word-of-mouth buzz among consumers.  And that, Kristen argued, is what has helped produce some 4 million sales so far.

There was much more great blogging on Undercurrents last month, from Mallory’s look at the renewed interest in sewing that reflects a back-to basics movement in a troubled economy, to Michele’s examination of a newsweekly’s effort to reinvent itself in the declining days of print.  All in all, another rich and varied month on Undercurrents.

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JANUARY 22, 2009

Don’t Judge Me By Area Code

When I signed up for FiOS service back in November, I was thrilled, to say the least. I loved the internet speed and was overwhelmed with the deluge of TV channels. However, I recently noticed an error on my bill and have accepted that the honeymoon phase is most likely over.

While I value the service Verizon gives me, the customer service  leaves a lot to be desired. Every time I call Verizon, they always ask for my phone number, regardless of what I am calling about. I know that when I enter my Verizon Wireless phone number one of two will things happen: they either assume I want to talk about my cellular service and forward the call to Verizon Wireless, or they look at the “978″ area code and transfer me to the New England regional office.  The latter happened earlier today.

The first operator whom I spoke with was really confused that I could live in Arlington, VA with a “978″ number (Massachusetts). Why this was confusing in this day and age, I’m not sure, however, the representative proceeded to transfer me to five different representatives - each asked for my number, I might add - and all of them informed me that I was at the wrong place and forwarded my call. Every time I reached someone new I explained the situation to them, but it appeared to make no difference.

Frustration.

But then I had an idea.  I lied.  It’s unfortunate, but I simply told the next customer representative that I actually did not have a phone number. Without a phone number, the representative had to ask me for my Verizon Account number, and then we were able to address the issue quickly and with no other problems.

While I was fully satisfied with the “friendliness” of the representatives, I value my time, and I take issue with the process (or lack thereof) they use to organize calls and accounts. Like my personalized license plate, my phone number is a little piece of my identity- it says I’m from Massachusetts and I’m proud of it - and I’m not going to change my number to make Verizon a little bit easier to talk to.  It used to be that area codes identified the state/city/county of the caller; in today’s world, however, that function is outdated.  The FCC established phone number portability so consumers could keep their numbers without maintaining loyalty to a provider. The rise of VoIP phone service has also contributed to the death of the area code.

So, Verizon, if you’re listening: make a simple change - ask for the account number from now on, not the phone number!

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JANUARY 12, 2009

A Fan Of The “Pink Lady”

I turned 30 this past year.  There, I said it.

Unfortunately, as a woman, the number 30 usually carries a lot more baggage – literally and figuratively – than it does for men.  (Let’s just say crow’s feet on women don’t look nearly as “distinguishing” as they do on men.)  And so, in preparation of my 30th, I vowed to start taking better care of my skin than I had in years past.  No more washing my face with Dove soap, slapping on some moisturizer, and calling it a day.  It was time to get serious.  Call me paranoid, but it seemed like every morning I woke up to find yet another crease in my forehead, or lines around my eyes and mouth that weren’t there before.

Sure, I knew I could magically look years younger if I took the Botox route, but injecting a toxin into my forehead that paralyzes my muscles just seems, well…extreme.  And so I started looking elsewhere, and discovered none other than the famous (or infamous) Mary Kay Cosmetics.

Now, I know what you’re thinking: “Mary Kay?  Do you mean my grandma’s Mary Kay?  Are they even still in business?”  I know, I thought the same thing; in fact, visions of Tammy Faye Baker  and Dolly Parton flashed through my mind when a family member suggested that I try it.  But because I trusted this particular family member and because she happened to look fabulous, I decided to give the “pink lady’s” products a try (word-of-mouth works every time), and… I loved them!  Not only do I use the skin care line, I gradually began using the MK make-up line, too.

Over the past year and a half, Mary Kay has undoubtedly earned my loyalty, and in today’s marketplace, being loyal to any product is saying a lot.  And it seems I’m not the only fan: in 2007, Mary Kay brought in $2.4 billion in total sales – they must be doing something right. In addition to the great products (especially the new mineral line), here are some other reasons I like this company:

  • Mary Kay spends millions of dollars conducting over 300,000 tests a year to ensure that its products meet the highest standards of quality, safety and performance.
  • Mary Kay does not conduct animal testing for its products and is a PETA pledge member.
  • Mary Kay understand what it means to be a “socially responsible” company.
  • Mary Kay was before its time in anticipating consumer’s most valuable asset - our time.  I value the moments saved by having my products mailed directly to me.

It’s true, I’m not getting any younger, but with Mary Kay’s help, I’m hoping to look as if I am!

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NOVEMBER 5, 2008

An Apology Goes A Long Way

I really like JetBlue. Not just because of the comfortable seats, in-flight DirectTV, or even because of the cool events the company sponsors (although I was lucky enough to have one hosted near me recently). I like them because of this:

Subject:  Our Apologies…

jetblue1 

Earlier this afternoon, I had received a JetBlue promotional email - a fairly regular occurrence as part of my membership in the company’s frequent flier program, TruBlue. I thought the subject line was great and suited JetBlue’s typical, laid-back style. But, when I was opened it, I was disappointed to see who it was addressed to:

Subject: It’s been awhile… we miss you.

jetblue2

I initially wondered if the company was making some bizarre attempt to be cute & random by addressing to me as ”Soandso”. (Some marketing can be a little out there.) But, the “Mr.” confirmed that there was no way this email was meant for me. I’m not particularly sensitive, but this lack of personalization bothered me - and evidently it bothered a few other people as well. I immediately shared the email with my co-workers, looked up the email address of a friend who works with the company, and contemplated sending him an note about it. 

That is until I checked my email again and found the apology.

Maybe it’s because I’m still coming out the election day haze - a time when we all were bombarded with messages revealing alleged secrets and half-truths - but I find this prompt apology incredibly refreshing.  Received just about an hour and half after the Mr. Soandso message, email #2 was simple and refreshingly straightforward: We screwed up and we’re sorry for it.

I don’t always expect companies to be perfect, but sadly, I do expect that most companies would try to cover tracks and bury mistakes. That is why acts of honesty and transparency stand out. You’re having a hard time? Tell us. You messed up? Admit it.

Because in most cases, we’ll like you even more.

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OCTOBER 31, 2008

This Ain’t Yo Mama’s Church

Besides the friends I’ve met at church, I can only think of a handful of people my age that regularly go to church.  This isn’t surprising: the Pew Forum on Religion and Public Life recently found that 44% of Americans have left the religions of their childhoods.   The New York Times also reports that, “Among those born after 1984, about 33 percent attend church on a typical weekend” while 49% of Baby Boomers attend church regularly.  Churches are obviously having a tough time “[e]nticing young people to become regular members of a Christian congregation.”

So what are churches seeking younger members doing about it?  They are plugging into social media and other multi-media outlets to reach their flock.  In addition to having rock music instead of hymns and adding video clips to sermons, churches have begun joining Facebook, MySpace, and MyChurch.org among other sites.  Churches have begun blogging, texting pastors during services, podcasting, and set up message boards.

Most churches I know are all about growing community.  I think it’s interesting that now, community doesn’t have to stay local.  Some churches now show their sermons live online so you can check them out before ever darkening the doorway.  Out-of-towners and troops overseas can feel a part of the community while talking in a forum during service.

I can stay connected to my old church by watching clips posted to YouTube (yes, that’s my pastor and church staff doing the New Kids on the Block… I’d also recommend their Dirty Jobs clip!).  Churches have found a way for prospective members to preview what they can expect, figure out if it’s a community they want to be involved in, and decide if it’s worth their time to even show up.

In what ways has your place of worship updated its methods to keep up with the times and younger members?

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OCTOBER 23, 2008

NKOTB – Loyalty, Or Just An Unhealthy Obsession?

When I was 12 years old, the walls in my room were completely covered with New Kids on the Block paraphernalia. I memorized every word to every song on their albums, learned their dance routines, bought books about them, and here’s the most embarrassing one – I used to have a 6-foot-long, door poster of them and, sometimes, I’d sit dreamy-eyed in front of it and sketch their pictures on blank sheets of paper (I am laughing at myself right now; I don’t think I’ve ever admitted that to anyone). Plain and simple: I was obsessed with them. I had no shame then, and, apparently, I still don’t…

In early April of 2008, there were rumblings that the New Kids were reuniting after a 15-year break. Could it be?! After hours of scouring blogs and online news outlets, it was confirmed and, even better, they were doing it on The Today Show in New York City the following day. I had no idea that at 30 years old my feelings for the New Kids were still so strong, but “giddy” doesn’t even come close to describing what I felt. Surprising even myself, that night I jumped on the first train up to NYC, met up with my friend Lisa (a fellow TMGer), woke up before dawn to stand in the freezing cold rain outside the NBC studios, and waited for the New Kids to announce their big news. After 3 hours of misery and anticipation, they stepped outside onto the The Today Show plaza and announced that not only would they be reuniting, that their new CD would be out in September, and that they would be going back on tour. (If you look closely, there’s a shot of me and Lisa in the crowd.) Not only were we there to see them that day, we even got to meet them.

For the next six months leading up to their concert, I visited their new website several times a week for updates (and even signed up to receive news first). I TiVoed every interview of them on TV. The day their new CD was released I drove to several different stores to buy it when I could’ve just downloaded it on iTunes, and I even took off from work the day of the concert to prepare for my big night; a night I’d been waiting for, for over 20 years. The concert was everything I hoped it would be and more; they did not disappoint. I sang and danced like no one was watching, so much so that I lost my voice for an entire week! When I look back over the time and money I invested into these guys over the past six months, I’m amazed at the emotions they can stir up in me, and the loyalty that still remains.

At TMG, we believe we’re in the business of loyalty: helping businesses understand what it is that attracts and maintains loyalty with consumers. Some argue that loyalty no longer exists, that what appears to be loyalty is just convenience, familiarity, and/or coercion. And yet, there are some of us that still believe true-blue commitment to a brand, a business, and, yes, even to a boy-band from their childhood, still exists. I am living proof.

What do you think? Is loyalty a thing of the past or does it still exist?

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OCTOBER 17, 2008

Google’s Midas Touch

Google, a brand among brands, I dare say can do no wrong.  Its delightfully simple homepage (in use and design), its logo’s cheerful colors, its name’s soothing double “Os”, not to mention its leadership in its industry - these are all reasons why I mark Google an “it” brand.  A brand that, when it innovates or introduces new products like Chrome, its new Web browser, has the potential to see instant and prolonged success based solely on a reputation for quality and reliability.  We all know these “it” brands, like Apple, Toyota, Starbucks, Target, and IKEA.

Now I’m reading about the first mobile phone from T-Mobile to use the Android software from Google.  In a time when technology is constantly being updated and companies are competing aggressively to launch the next big thing, critics might question whether this phone, even with Google’s brand reputation behind it, will break through.  But, come on, it’s Google.  If nothing else, I’m at least intrigued enough to see what it looks like, how the interface works, and what kind of neat features it might offer.  Of course, in true Google fashion, I’m expecting that I will like it, that it will be easy to use, and that it will work well.  Stellar customer expectations and a powerful first impression, indeed.  Lucky dog, that Google brand.

What’s equally interesting is the path this brand has traveled.  It found success as a search engine, created a personal email program I love, launched a Web browser whose name alone invokes coolness, and is now embarking into the phone-tech world, a world dominated by the likes of iPhones and Blackberries (nicknamed “Crackberries,” to illustrate their addictive qualities). In my mind, Google can seemingly do-no-evil - and I can’t wait to see what’s up next.

What other brands do you think have the Midas touch?

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AUGUST 29, 2008

I Wish I Knew How to Quit You

recessioncartoona.bmpHigh gas prices and a global recession looming have changed our buying behaviors… or have they? I know I’ve been more conscientious lately by cutting out a few habits, but it appears that many others have not. The little things that brighten up our days - coffee in the morning, eating out for lunch, online shopping  - can all add up pretty quickly. But the Londoners in this article say, “Eat, drink, smoke, and be merry,” and apparently that’s exactly what we’re doing.

Despite the economic downturn, companies like Hershey Co.Anheuser-Busch, and Philip Morris have all been profitable this year. I guess candy, beer, and tobacco are items we just won’t quit. The luxury items of yesterday have become the bare necessities of today. When the Desert Sun asked Coachella Valley residents what they would not give up during an economic recession their answers included: pets, cars, fitness, dining out, coffee, and chocolate.

During a recession, what are some of your must-have items and which one are first on your chopping block?

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AUGUST 7, 2008

Yippy Skippy!

Blame it on my Italian-American upbringing where family wine is made to our liking in my grandfather’s garage and using Prego is like using a four-letter curse word, but if there’s one thing I take seriously, it’s food.  I realized this on a deeper level when it came to food shopping and making decisions on buying generic versus brand name products.  No matter the cost (to an extent) I rarely compromise when it comes to food products.  For example, lunch meats and cheese always come from the deli counter, never prepackaged, and I’ll only buy the Skippy brand of peanut butter.

For most consumer products, I never considered myself loyal to any particular brand.  I can’t tell you what kind of toothpaste I use other than it starts with a “c,” I buy clothes from stores with sales and the right fit, and I purchase gas usually from the most convenient station.

But food, food makes a difference.  For me, food more than serves a nutritional purpose.  Preparing it can be an art and eating it (especially around the holidays) can bring much joy to your life.  And when it’s unsatisfactory the experience of food and the activities surrounding it are spoiled as well.  Any food marketer who knows this and reaches me on this level may have a chance of selling me their product.  The key here is the ability to know these small individual details about a consumer’s buying preferences.  Sure, Google can track my searches and Facebook can record my applications and border my email and profile pages with related ads, but identifying what I’m interested in is only half the battle.  Why I’m interested is the more important question to answer.  This requires what we at TMG Strategies call Deep Listening

Want to know what consumers really care about?  It’s going to take more than tracking their search histories.  There are personal, tangible, reasons why I purchase what and how I do and those reasons exist for every consumer – getting to the bottom of them, making the extra effort to truly listen to what consumers want and why they want it will ultimately sell the product.

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Our culture is shifting all around us. In Undercurrents, we present our observations and insights about where our society is heading.

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