Posts Tagged brand strategy
corporate memo stupidity
Posted by Chris Houchens in branding, marketing on June 10, 2010
GM has sent out a memo telling employees to stop refering to the Chevrolet brand as “Chevy.”
From the Advertising Age Adages blog…
The note said:
“When you look at the most recognized brands throughout the world, such as Coke or Apple, for instance, one of the things they all focus on is the consistency of their branding … Why is this consistency so important? The more consistent a brand becomes, the more prominent and recognizable it is with the consumer.”
Adages is now preparing a return memo to inform GM that Coke is, in fact, shorthand for Coca-Cola.
I’m one of the world’s most ardent advocates for brand consistency. But I also know the heart of the brand resides with the consumers, not the company. If people buying your cars are calling them Chevys, you call them Chevys.
Jetpacks thinks the memo is a stunt. He may be right. But if it’s real, GM has more pressing brand issues to deal with rather than trying to retrain 100 years of consumer behavior. And if it is a stunt, it’s a dumb one.
Corporate is charging staffers 25 cents for each time they use the word Chevy. I wonder who pays everytime chevy.com redirects to the main site?
And what happens if Chevy Chase walks into GM headquarters? Something like this?
rebranding the hut
Posted by Chris Houchens in branding, marketing, strategy on June 19, 2009
In one of the worst “re-branding” moves that I’ve ever seen, Pizza Hut is dropping pizza from its name and will now be known in some locations as just ‘The Hut‘.
What a great move. Trash over 50 years of brand equity for something that makes me think of a dark dank dwelling in the Third World. Of course, it’s been coming for awhile. They’ve brand-extended themselves to oblivion instead of doing the core product (pizza!) well.
What makes it even more sad/funny is the delusion they’ve sold themselves and are now sending out in media relations…
…characterized the name change as an attempt to transform its stores into hip hangouts…..The new “hut” stores will be more than a place to simply pick up some take-out…they will include televisions that broadcast CBS programs such as “Wheel of Fortune” and “Entertainment Tonight.”
Because we all know the kids think that nothing can be more “hip” than Wheel of Fortune. Maybe they could reach back into the CBS archives and air old episodes of ‘Murder She Wrote’ to be even more hip.
They just may have a bad case of self-loathing with their name. They’ve tried to “rebrand” the Pizza Hut name on several previous occasions like “Pizza Hut Pizza & Pasta Cafe”, “Pizza Hut Italian Bistro”, “Pizza Hut WingStreet”, and the half-joking April Fools’ prank, “Pasta Hut”. A smart guy once said “doing the same thing over and over again and expecting different results is the definition of insanity”
Hey Yum!, listen up. The problem is not the Pizza Hut name. The problem is the customer experience. Even though your spokesperson, Christopher Fuller, gave a cheesy non-answer to real issues, the facts are clear in the public’s mind: Your employees don’t care. Your stores are dirty. Your service is horrible. (In one of my local Pizza Huts, there’s a sign above the lunch buffet that says not to even bother requesting any type of pizza because they aren’t going to do it.) And as I previously said in this post, you have forgotten your core product.
In kneejerk fashion, other chains may follow the move:
- Dominos will become “Backgammon”
- Papa Johns will become “Papa Smurfs”
- McDonalds will become “Mick”
- Taco Bell will become “The Bell”
- KFC will become “Sammy Nellas”
- Burger King will become “CP+B”
connecting the dots
Posted by Chris Houchens in branding, media, strategy on March 17, 2009
Another printed newspaper went away today and with typical media self-absorption, the paper reported their own obituary with an in-depth report complete with a full page front page farewell. This death comes on the tails of last week’s Pew Research report that apparently shows that the public is not concerned with the demise of newspapers.
First off, I think the reports of the death of newspapers are widely overstated — because they’ve been over reported by the subjects themselves. The Narcissus Media demands that other news orgs report on other news orgs. So the Seattle and Denver news deaths were front page news from the NY Times down to the Podunk Weekly Times (circulation 51). The editors of other papers were interested in the deaths of these papers so they thought you would be too.
Plus some of these papers (which are actually for-profit businesses!) needed to die just like some banks need to die right now. Over-consolidation and over-monopolization of newspapers have caused unrealistic expectations from shareholders of these bloated behemoths corporations. (Radio, you’re next!) The reality is that with more available media outlets some markets can no longer support more than one major daily newspaper. (but what about the San Francisco Chronicle, you cry? Prediction: If the Chronicle does go under, there will be a new nimbler newspaper pop up in its place within a month.)
Despite the naysayers — there will always be a market for news and information. Sure, now is a rough economic time for any industry that depends on ad dollars — but a sensibly run media organization that’s looking to the future will be OK in the long run. That doesn’t mean that information will always be printed on sheets of dead trees and thrown on your doorstep. That model is going / will eventually go the way of the dodo. I think the Seattle Post-Intelligencer is a good coal mine canary to see if a traditional newspaper can transition to a new distribution model.
Every pundit, guru, and almost everyone in media has put their two cents in about the journalism “crisis” and have come up with a plethora of ideas from micropayments to new distribution models to crowdsourcing. Some have merit and some are “just rearranging the deckchairs on the Titanic” (a favorite phrase of the pundits). From my seat in the nosebleed section, I see that newspapers (and all traditional news media) have two main problems that need to be solved before the ship sinks:
Problem 1) — a house divided against itself cannot stand
I rail and rant against organizations that have no marketing/business strategy. And while having no strategy is a bad problem, there’s something that’s even worse — and that’s having two strategies. News organizations are particularly prone to this problem because of the supposed “editorial wall” (there’s a great post here about this problem). Walk into any traditional media outlet and ask 5 people what’s the organization’s plan for dealing with the new realities of communication, and you’ll get 5 answers that will be biased by the side of the wall they’re on.
REALITY: People read the newspaper for news. Go try to sell advertising in a paper that has no news content and see how far you go.
REALITY: Reporters want a paycheck. That Mac needs electricity to run. Advertising supports the economics of journalism.
SOLUTION: Every news organization needs to kill their separate internal tribes, come up with one war strategy that everyone agrees on, and fight the white man before he takes your land.
Problem 2) — the Brand has been forgotten
There’s a disconnect in perceptions when it comes to news coverage. While the news orgs are saying “You’ll miss us when we’re gone!“, the public is saying “uhhh, no we won’t“. It doesn’t matter who is right. But guess which group’s perception matters to the bottom line and staying in business?
Brand is perception. Perception is reality. What changed the public’s perception of the news brand into something they think they can live without?
Alot of people blame the emergence of online media for journalism’s current troubles. And while it’s a major factor, online is not what is killing newspapers. Newspapers saw the Internet coming way before you had your first AOL account. The trouble was that their first line of defense didn’t work in Web 1.0. When Web2.0 rolled around, they saw they missed the opportunity so now they’re trying to out amateur the amateurs — which is killing the brand image they’ve been cultivating for 50, 75, or 100 years. It’s not hard to find ameutuer-ish crap on the Internet, but it is hard to find sources of information that you’ve trusted for years.
The news media have not done a good job selling their USP. Instead of focusing on the one thing that they could do better than anyone else (local news), they wrapped 2% of news into 98% of other stuff that could easily be replicated by competitors and sold it as such.
The sale to the news consumer is not “you can’t get this type of information anywhere else”. It devolved into “buy a subscription and get a CD and an umbrella“. News media have forgotten what they’re really selling so the consumer has forgotten as well. The public thinks they won’t miss the newspaper because the newspaper has cultivated a brand that they are the place to get the items that the public can now get other places in better ways. But there is no better way to get local news.
Problem 2 is the bigger problem and the one that will take the longest to fix. But the fix needs to start today.
Plus there’s a third problem of trying to fit old mass media models into new media which I addressed last fall.
Suicide Attempts at 10 2 and 4
Posted by Chris Houchens in branding on September 28, 2006
You can pay a lot of money to have your logo placed everywhere.
Even in places where you have no control over how your brand is presented.
Sometimes you can stay top of mind with a strategy like that.
And sometimes you’re associated with suicide denials.
Who says there’s no such thing as bad press?
tags:: brand placement – terrell owens – dr pepper
The Name Game
Posted by Chris Houchens in branding on April 24, 2006
Naming a business is one of the most important decisions you’ll ever make. It’s second only to naming a child (Pass the salt, Veleena.)
Nine years ago, I gave my marketing practice the name, Shotgun Concepts. Sometimes people ask me what that means. (“Well, Shotgun is Norse for “Sage Marketing Wizard” and Concepts means… “)
Actually, I was dating a girl at the time and my nickname for her was “Shotgun”. Luckily, today that girl is my wife and the mother of my children. Don’t name a business after a girlfriend. You might not be so lucky.
Shotgun also fit because I have a very broad “big picture” outlook on marketing….just like a broad shotgun blast.
I’ve never liked the fact I stuck the word “Concepts” in there. I was younger and more stupid nine years ago and hadn’t fully appreciated how that word would fade into “business speak”. It could have been “The Shotgun Group” or the painfully obvious “Shotgun Marketing”. But now, “concepts” is engrained in URLs, letterhead, legal paperwork, and people’s minds. It’s too late to change.
So I was glad to see this post on Adrants today. There’s a blog movement to get the word “concept” as it’s used in the marketing/ad world (as a verb) added to the dictionary.
–to concept (knspt) – v. 1. A process whereby ideas are generated for the purpose of creatively solving a problem.
Fits perfectly.
tags:: business names – concept – brand – branding – Look that up in your Funk and Wagnalls
The New Business Strategy Model
Posted by Chris Houchens in strategy on April 13, 2006
Dmitry Linkov is a consultant and entrepreneur in Moscow and has been a friend of the Shotgun Marketing Blog for several months as a reader and commenter. Dmitry is currently working on a project and is soliciting ideas and quotes on the topic of the current state / evolution of Business Strategy.
Of course, anytime I can contribute information that will be published in Russian, I’m in. Here are my thoughts to his query…
We are currently at the beginning of a dramatic shift in the way that business strategy will be crafted. In the past and to a large part today, businesses have developed strategies that relied upon controlling a one-way message that went out to the market.
Today, we find that the message is starting to become two-way and multi-dimensional. Many messages about a company don’t even include the business as a participant. As the 1st Thesis of the Cluetrain states, “Markets are Conversations”.
As a part of a sound business strategy, corporations must learn to guide (not dictate) how these conversations are developed. They must be observant and reactive (or proactive) to what marketing messages are generated about them through channels such as consumer generated content, blogs, and other aspects of the new social model of the Internet. The challenge in business strategy in the next 10 years will be the switch from the old guard to this new model.
That’s my 2 cents. Maybe you agree or have a different idea. Please visit Dmitry and contribute. He’s also going to organize all the info he collects and post it (in English!) on his blog.
tags:: cluetrain – business strategy – russia – marketing
Decaf Venti Amplification and Clarification with Foam
Posted by Chris Houchens in branding on March 17, 2006
I wanted to clarify and add to my McDonalds “premium” post after something I saw on the news this morning. The focus of the story was that McDonalds is going after the morning coffee market now firmly held by Starbucks and Dunkin Donuts.
The talking head from McDonalds’ marketing department was listing the reasons why the new “premium” coffee was better than competitors:: They have a “special bold blend…how studies show that people get their morning coffee to go (perfect for drive-throughs)…and that they had more retail locations for customer convenience. On paper, these are all good reasons to get into the coffee market and expect to win. However, consumers don’t buy things in a marketing analysis. They buy them in the real world.
So what will happen in the real world? When it began in Seattle, Starbucks was all about the coffee….and only the coffee. The customers were coffee fanatics that could taste the subtle differences in different coffees. And some of those people still come to Starbucks.
But most of Starbucks’ customers now go there to announce to the world the following statement about themselves:
“I just paid $2 more for a cup of coffee than I needed to. I must be affluent (or at least doing OK). I am also worldly and hip because I have conveyed my coffee needs to a barista this morning. Look at the cup that I drink from and draw your own conclusions!”
90% of Starbucks’ customers don’t go there for the coffee. They go there for the CUP.
tags:: branding – brand strategy – marketing – McDonalds – Starbucks


