Sex Sells

I’m still waffling about the title of this post, as I know the spam-catcher is going to have a hayday. However, there’s no way around this overwhelmingly obvious truth in Vegas: sex sells. And, quite frankly, that bothers me. Aside from my moral quandary about using sex as a selling tool, I feel like it’s bad marketing.

First, the moral issues. It’s disconcerting to walk down a street in broad daylight, and see people in t-shirts with a phone number and the slogan, “Girls Direct to YOU…… 24/7!!!!!!!!!!!!!!” They stand on the corners slapping trading cards of provocative pictures on their hands, and thrust them at you as you walk by. There’s trucks that drive down the street, with the sole purpose of carrying a giant billboard to advertise these women, and huge signs on every hotel boast some kind of topless review or burlesque show. I’m sorry, but I don’t think our society needs any more encouragement to have promiscuous sex, and I find it disgusting that in 2011, we still degrade women to nothing more than sex objects. I literally heard a man and a woman negotiating for women on the street. NEGOTIATING for women! Being from a conservative, Christian family in the South, I haven’t been exposed to such blatant, overt, sexual advertising. Sure, we see it in everyday innuendo and less-than-clothed advertisements, but open price discussions are unheard of where I’m from. People may disagree that promiscuous sex is immoral, but I would wager most would agree that negotiating the sale of another human’s most private possession is morally deplorable. We see stories about rape, abuse, and trafficking all over the world, but we’ve got a thriving market right here at home. We send aid and workers and police to fight the problem abroad, but pour money into billboards to advertise it in Vegas. Does anyone else find this to be a contradiction?

Second, I think it’s bad marketing to use sex to sell. What do sushi and sex have to do with each other? Why would you need to go topless to sing songs from the 1950s? Are your food and voice sub-par without that extra little umph of a naked woman? There’s plenty of places that serve great food, and put on a great show, without resorting to catering to man’s (well, humans’, but particularly man’s) basest instinct. The argument that people like good scenery while they dine or listen to music rings true… and there’s plenty of marble, paint, gold, fountains, and greenery to enhance your experience. It’s a cheap shot to make everything about sex, since it’s a strong biological imperative. People get up-in-arms about marketing to children, as they’re susceptible to all manner of suggestion. But, where’s the outrage at using sex to sell? And don’t tell me it’s because adults “know better”. Look at Axe, the company that sells men’s body products on the premise that you’ll have women throwing themselves at you after incorporating Axe into your daily routine. One story talks about a lawsuit from a disgruntled customer, who claims that he’s seen no “effect” after using the products. Cars, phones, shoes, and the list goes on, tell you that you’ll get more sex if you buy their product. We all know we’re not going to get rich quick, we’re not going to lose weight fast, and we’re not going to stay young forever, but for some reason, we all think we’ll be sexier or get more sex! These claims are equally ridiculous, but people are less likely to dismiss them. Again, let your product stand on its own merit. Am I the only one that questions the quality of the ACTUAL product when they feel they must use sex to sell?

Las Vegas knows how to sell sex. In fact, part of me wonders if they ONLY know how to sell sex, as food, shows, and other attractions are all paired with random sexy images.  The advertisement for Celine Dion features a picture of her back, in an extremely low-cut gown, with the slogan “Celine’s back”. Clever turn of a phrase, I suppose, but what does her bare back have to do with her ability to sing? Vegas has some great attractions, but I, for one, can do without the sale of sex.

Beauty and Detail

I’ve just returned from my trip to Las Vegas, and I was struck by the level of beauty and detail in each of the many hotels and shows! I’d say Vegas has one of the most successful marketing strategies in the world, and I’m going to give you a look at my trip over the next few posts.

I’m starting out with my surprise at the beauty and detail shown in the hotels. I’ve been to Trevi Fountain and the Arc de Triumph, and the Vegas replicas rival the real thing to a T. Further, the painting on the ceilings, marble-like statues, and gilt columns really give the tourist a sense of the old cathedrals and museums on the other side of the world. It’s amazing what we can do with technology today. You can literally walk down a street and see Italy, France, and New York in an hour!

As a marketer, giving people the “real thing” is a cornerstone for many campaigns… it’s one of Coke’s taglines! People return to Vegas again and again to try to find the new details that they missed on countless other trips. Many car companies, clothing retailers, and restaurants sell entire concepts and product lines based solely on their ability to provide beauty and detail to their customers.

In addition to the beauty in the hotels, many of the tradeshow booths featured gorgeous art and sleek marketing collateral. Aviation is often perceived as boring, technical, and ugly, which many companies proved wrong at the show. You can find artistic shots of engines, wings, and aircraft parts, all woven perfectly with the company tagline and benefits. I’ve been inspired to work on a new booth for one of our companies, insisting that there’s no reason to do things the ugly way when a beautiful way exists! Artistic shots of the details of an engine draw attendees in, and can make the difference between an empty booth and a busy booth.

Once again, I saw how beauty and detail bring people in by the thousands, literally! Part of the Vegas appeal is the ability to experience so many forms of beauty and detail in one small space. The desire for beauty extends beyond our entertainment, and straight into the corporate world, as the booths and marketing pieces demonstrate. Have you ever longed for a car just because it’s a work of art? Purchased a pair of shoes because they looked beautiful in the window? Marveled at the presentation of your food at an expensive steakhouse?

Groupings

Almost immediately after yesterday’s venting post, I noticed an interesting idea (well, maybe just to the marketing nerds!). Sometimes you just need to let the stress out and things will come to you! Anyways, my inspiration came in the form of trying to hang pictures around the office. I’ve got three photos of engines in one company’s product line, and I wanted to hang them together in a group. Here’s my version of the arrangement:

Arranged by color: silver, blue, silver

I tend to notice colors and crops first, so my initial grouping placed the photos with the “odd” color in the middle, just to keep things even.

My boss, and industry veteran, suggested this arrangement:

Arranged from largest engine type to smallest engine type

He felt that the engines should be arranged from the largest engine type to the smallest engine type. Based on his experience and viewing of photos from aviation, planes, engines, and parts were always arranged either smallest to largest, or largest to smallest. There was some order to the arrangement based on hard data, not color or crop.

And finally, another colleague suggested this arrangement:

Arranged with engine fans framing the non-fan engines

Her assessment was based on factors similar to mine, thinking that you should have the two engines that look like fans on either side of the engine that does not look like a fan. Again, she was going with symmetry that made sense to her mind as her eye saw it.

So how does this relate to marketing? The first application that comes to mind, is grouping things together in a grocery store. Cross-selling is a basic concept in marketing that basically says you should put complementary products together to increase the sales of both items. For example, putting salsa in the same aisle as the chips makes sense, because people eat chips and salsa together. However, salsa could also be placed in the hispanic foods aisle, the condiments aisle, or the sauces/gravy/mixes/marinades aisle. Groupings are an integral part of a store planner’s job, and as my picture example shows, people often group things differently. What happens if I associate salsa with chips, but your brand of salsa isn’t on the chip aisle? If I’m only looking for salsa as grouped with chips, you lose out on me even looking for your product!

Groupings are extremely important in marketing, and how your customer makes connections to your product can make or break the sale. Are they looking at color, hard data, or pictures to determine which things “go together”? Have I missed any other groupings of my pictures?

Subtle Selling

I went to Panera yesterday morning to pick up some pastries for a company meeting. As usual, the cashier asked if I had a reward card, and asked if I’d like to get a reward card. I said, “no” to both. However, I might just change my mind after my experience!

The cashier gave me the reward card discount anyway, which took about 8% off my order total. When I saw that total ring up, I almost asked for the paperwork for the reward card right then. However, I was in a hurry, so I decided to just wait until next time. This is a great strategy for getting people to sign up for the card. The restaurant is not losing any money by giving me the reward discount, as they budgeted for this “loss” when they started the loyalty program. It makes me feel good about my relationship with the company, allows me to try out the discount, and gives me the satisfaction of savings. My only thought was that the cashier should’ve told me he was giving me the discount anyway, just as a courtesy. I happened to notice, but not all customers would. This is a great sales opportunity, so calling attention to the benefits of the loyalty program might have tipped the scales.

While waiting for my breakfast sandwich, two other customers used their reward cards. Both of them were eligible for a free coffee that morning! Wait, I can get free coffee if I get a reward card? You didn’t tell me THAT! These customers were giving reviews without even knowing it. Seeing other customers utilize the loyalty program was helpful in showing me the ease and the benefits. They were able to give their phone number to pull up their rewards account, and the cashier helpfully told them their freebie-eligibility. I like that they make it easy… you don’t even have to keep up with a coupon or points! Again, had I not been in a hurry, I would have picked up the paperwork.

Your customers can be your best sales people, and a product sample goes a long way toward making the sale. I’ll be signing up for the Panera reward card next time I visit the restaurant, and I their subtle selling gets all the credit.

Keep Your Current Customers Happy

My husband and I use Blockbuster for our movies. We started this when we lived within walking distance of Blockbuster, so trading in our movies was a great perk for using their service over Netflix. Our life has been pretty busy recently, and we no longer live close to a Blockbuster store. Thus, we decided that we should downgrade our monthly plan. Imagine our surprise and frustration when we found out that Blockbuster has lowered the price of our current plan by $2, and didn’t give us the new price! We’re paying $16.99 per month, and it’s been reduced to $14.99 per month! It’s not really about the money, but rather feeling like we’re unappreciated and that they’re taking advantage of us. This is not how you want your current customers to feel (especially when you’re tanking as bad as Blockbuster!)

A lot of companies miss opportunities to keep their current customers happy. Blockbuster could have made a great impression by sending us an email with the message, “Thanks for being loyal. We’re lowering your monthly payment because we appreciate your business. Enjoy the savings!” This would have made us feel like valued customers, and we would want to stay with Blockbuster because we feel like we can trust them to give us great service and fair pricing. Now, we have a sour taste in our mouth because we feel like Blockbuster has been jipping us for the past few months! This price change was a great opportunity to solidify our loyalty by treating us well, and instead, they’ve made us angry.

Acquisition costs for new customers are much higher than maintenance costs for current customers. Sure, you lose $2 per month by giving us a price break. But you’re about to lose $14.99 per month because we want to switch to a company that will give us better service, including the discounts they’re giving to new customers. If we were in a year-long contract, I could understand not passing on the discount, but this is a month-to-month service! Some companies are so focused on growing the number of customers that they forget to look at revenue growth. You’ll lose revenue if you’re constantly chasing new customers by offering them a lower price, while excluding your loyal customers from the new price.

There’s a reason Blockbuster has had some hard years, and their strategy for reaching and keeping good customers might be a contributing factor. So, I say to companies everywhere: Keep Your Current Customers Happy…. your bottom line will be happier in the long-run!

Let the Cold Calls Begin

A big industry trade show is just a few weeks away, and I’ve been getting cold calls all over the place for a myriad of different services and products. We always talk about the latest thing, but I’ve found that some sales tactics are tried and true.

The direct and authoritative route. One sales person called me with such an authoritative voice, I almost thought he was with the official show staff. He quickly told me his name and company and immediately asked for the dimensions and weight of my shipment. I barely had time to process that this gentlemen was about to sell me shipping services! I’m open to quotes for our booth shipment, so I after explaining that I’d be open to some information about his company, I gave him my email address. This route is pretty abrasive to me, so I don’t recommend it in most situations. But for cold calling? Be direct, be the authority, and make them hear you in the first 10 seconds… before they hang up!

The price route. Most of the vendors use this approach, opening with something along the lines of, “Ashley, I’m sure you would love to save money on shipping your booth. I’ve been able to save my customers $x dollars, why don’t I send you some information about how we can meet your needs cheaper!” This route seems to stand the test of time, because who doesn’t want to save money? The problem is that my in-house shipping crew runs tons of packages through two regular providers. Thus, they get a special discount, which is passed on to my shipment when the time comes. Most of the people calling only handle booth shipments, but we don’t ship our booth often enough to receive the prime rates from these companies. Again, I give them my email address for quote information, but most of the time, it’s a bust.

The “different, unique, quirky, unexpected” route. This tactic is a staple in a lot of industries, particularly at trade show booths. All of these vendors are calling to say that their unexpected talent will woo attendees to my booth. This is, undoubtedly, true. Last year’s conference featured a spin-the-wheel carnival game at one booth, a trapeze routine (yes, girls hanging from the ceiling!) at another booth, and a chair massage at another booth. Essentially, EVERYONE has something “unique” going on at their booth. The problem is that at a show of this size, most of the people who come to watch the show aren’t actually decent customers. My company deals with engine maintenance for planes, so while I’d love to go see the caricature artist at the interior upholstery booth, the fact of the matter is that I have absolutely no need for their services. They can try to engage me as I’m getting my portrait, but they’ll quickly find that I’m not worth their time. I think quirky attractions have their place when all attendees need all the services displayed, but generally, I feel that most shows are too big to benefit from this type of gimmick. As a marketer, I think your message, brand, and product should speak loudly enough, without a fake teaser!

It’s been interesting to receive the first round of calls, and I’m sure there will be many more to come. It makes me glad I’m not in sales, as I’ve yet to take advantage of any of the “deals” these reps are offering!

Package Pricing

My mother-in-law is gaining steam in a business for hand-decorated theme cookies. She’s the owner and the sole employee, and she does some pretty amazing designs with icing! She’s been asking for pricing advice over the last few months, and I think she’s finally made some strides in how she’s pricing her items. I wanted to share a quick bit of insight that we recently discussed!

She offers several different sizes of each cookie, and several different levels of decoration. The price is a function of size and decorative complexity, so she’s been pricing the cookies individually. This model works well for cookies, as the sizes and decoration are customizable. However, she also has other baked goods, like mini muffins. She intended to price the mini muffins individually as well, but it would come out to something like $0.50 per muffin. She also wanted to factor in the cost of the container and ribbon, and considered pricing these a la carte as well. Instead, I suggested going with a different route: offer 3 different amounts of muffins, and either standard or premium packaging. I explained that it feels like “nickel and diming” if you start requesting 1 additional muffin, and charging an extra $0.50, a “nice” bow for $1 instead of $0.75, and a bigger tag for $0.75 instead of $0.50.  Offering a single price for standard packaging and premium packaging also applies to any future products, so she’s not having to list out many different prices for each item she offers.

She’s been asked to make up some gift bags within a certain price range, and she was debating about the type of items to include. I think the first question should be, “who is the customer, and what do they care about?”  The client is providing gift bags for Christmas to the mostly male staff, who are generally married with children. I don’t want to stereotype, but I would make the following assumptions: men care less about decoration than taste and quantity, men don’t care at all about pretty packaging, and they will take at least some of the cookies home to their wife and kids. Thus, for a given budget, I would allocate more money to quantity than decorative complexity or premium packaging. She originally suggested one large, highly decorated cookie, a small package of muffins, and a large bow. I recommended two smaller, minimally decorated cookies, a large package of muffins, and a small bow to allow for more sharing.

She hasn’t looked into her profit margins and pricing schemes too heavily, but as her business grows, she’s continuing to research the best options. I think package pricing is going to be more important as she grows the business, and I think there are a lot of ways to make customized packages without confusing the customers or sacrificing profits. If you’re in the mood for some delicious treats, check out her gallery and pricing for Moon Glitz Delicioso! She can ship anywhere in the US (and she’s shipped overseas once or twice too!), and I can say from personal experience, you don’t be disappointed 🙂

Marketing Hype? Lessons From the Trail, Part 1

My husband and I enjoyed a backpacking trip over Labor Day weekend on the Lone Star Hiking Trail. Even in the middle of the woods, I couldn’t help thinking about marketing and the corporate world! So, I’ve got a quick 3-part series of posts with some of my thoughts from the backpacking trip.

 

From the source...

 

Straight to Your Bottle!

When trekking through the woods for a few days, you either pack all your water, or find water sources along the trail. The water sources along the trail need to be purified, so we used chlorine drops to make the trail water safe. It struck me that most bottled water companies advertise their bottled water as some variation of the message “pure, straight from the source.” There’s usually a picture of a rushing stream, or a lake surrounded by mountains. They sell this water at a premium, and people swear that “pure stream water” tastes much better than “fresh mountain water”. But here I am, LITERALLY getting water directly from the source, and I can’t sell it at a premium… in fact, it’s basically free (I suppose we can count the pennies worth of drops used to purify the water in the cost, but that’s trivial). I think most people would agree that my drops-induced creek water tastes a little funny, and isn’t worth paying top dollar.

On the flip side, if you’re without water in a desert, you’ll pay top dollar for ANY water, not just the fresh, purified stream water. At the point of dehydration, you might not even care if the water is purified at all, figuring a stomach ache is worth the risk to avoid the possibly fatal effects of going for days without water. We weren’t in dire need of water, but we were glad to find this little creek on our route. This creek water was much more satisfying than the lake water (confession: I couldn’t drink the lake water… it was just too gross-looking!).

Thus, my water in the woods is ironically not a “premium” product, even though it lives up to the “straight from the source” marketing, but it would become a premium product if it were more scarce. This was a fun realization in nature, and I look forward to sharing my other insights from the weekend!

Shotgun vs. Rifle

I don’t know much about guns, but I know this: shotguns use bullets that explode everywhere, and rifles use bullets that go precisely into a single target. Marketers use these tactics as well. The shotgun marketer throws a ton of strategies, commercials, and messages to every customer in every market. The rifle marketer takes careful aim, and takes one single, pivotal shot at one single, pivotal customer. Neither tactic is better or worse in general, but they should be used in different situations.

The shotgun approach works well when you have a product that most people use. “Most people” could be included in a certain industry or demographic. For example, most people across all age groups and industries use some type of computer, with some type of browser and software. I’ve really enjoyed the last few campaigns by Microsoft to sell their different products and services to the market. Their “I’m a PC” campaign and “Make It Great” campaign showcase customers of all ages, from all walks of life, from business owners, to students, and everything in between. Their “Bing and Decide” campaign touches on all the different subjects and information people are searching for, and offers a variety of ways that their search engine, Bing, can help them make better decisions. Since most of the population can use at least one of Microsoft’s products, the shotgun approach makes sense. Their campaigns don’t focus on single features or single user characteristics, but rather the overall picture of a great product to meet everyone’s needs.

The rifle approach works well when you are in a very niche market. I’m currently working in the aviation industry, and the rifle approach is our best bet. We do have some subtle differences between customers, but our niche is pretty defined, with a certain type, size, value, and use of an aircraft. It makes no sense for us to put out a radio ad promoting our services, as a majority of radio listeners don’t need our services. Instead, we focus on industry trade shows that cater to our market, and industry magazines that cater to our demographic. Sure, some of these publications only have 10,000 readers, vs. mainstream publications with hundreds of thousands, or even millions of subscribers. But if the 10,000 readers are actually viable customers, we get more bang for the buck by targeting them with a specific message. We go to our customers, instead of making the customer come to us, or adding to the clutter and noise of the advertisements they see every day.

These are simplified examples, but the sentiment is the same: do you use the shotgun or the rifle? Once you pick the type of strategy, you can make your message much more effective.

5 Love Languages… Business Edition

I’m enjoying the sales training session, and an idea struck me while we took a break. There’s a great book on relationships called “The Five Love Languages”, which talks about how people give and receive love. These days, business often feels like a marriage, and I think some of the tips in the relationship guide are transferable to the business setting. So, how can you make your partner in business feel loved?

Quality Time. “The Five Love Languages” mentions that some people feel “loved” when you spend quality time with them. I think we can all agree that some customers need quality time to feel comfortable moving forward with a business relationship. This may be taking them out for coffee or dinner, stopping by their office for a meeting, or finding a way to give them some face time on a regular basis.

Gifts. Just like a husband brings his wife a bouquet of flowers, a sales person might need to woo a customer with a gift. Gifts don’t have to be large or expensive, but a little trinket to show appreciation, remind them of your name, or keep the relationship moving forward might be the key to success.

Words of Affirmation. Most couples exchange encouraging words, and business relationships are no different. Maybe your customer likes recognition, and a simple phone call to say, “I appreciate your business” is the key to keeping the relationship strong. These types of customers also appreciate plaques or certificates to show their relationship with a company, thank you notes after a meeting or a purchase order, and generally bragging on your relationship and praising them for choosing to work with you.

Acts of Service. Some people feel most loved when you do the dishes, take out the trash, or get the oil changed in the car. Similarly, some customers respond best to an extra level of service. This customer might appreciate “the little things”, like hand delivery, discounts on fees, or saving them time by making all their travel arrangements.

We’ll skip the fifth love language mentioned in the book about romantic relationships, and focus on why the four types of “love” work for businesses. The key is finding which language your customer speaks, and giving them the type of attention that makes them feel most valued. Some customers could care less whether you show up to take them out to dinner every quarter, but they go wild when you send them pens or hats with the company logo. Other customers may feel slighted if you don’t send a thank-you note after they send in a purchase order, but don’t even notice if you haven’t passed out giveaways in several months. A good sales person will figure out what makes their customer tick; what language they speak, and find a way to improve the business relationship by delivering the appreciation that makes the customer feel most valued. So, are you a good partner?