November 11, 2019
From Deepak’s neuroscience desk, Nielsen identifies exactly when readers attention is at its peak, and how publishers can benefit from it.
BRAND & MARKETING
- Behind Kraft Heinz’s turnaround strategy is a return back to the basics of marketing – namely, strategic brand-building vs. liberal cost-cutting.
- Though CMOs already have plenty of roles and responsibilities on their plate, product experience management is a key one that shouldn’t be overlooked.
- Employee experience is a critical component of corporate culture; these ten examples demonstrate the very real ROI to be enjoyed from improving EX.
- Continuing the theme of slowly divulging more performance indicators, Netflix is now emphasizing total viewing time over number of subscribers as a KPI.
- Ben & Jerry’s CEO offers guidance on how to get cause marketing right. Thanks to Emmanuel Probst for the find!
- To blend analytics and insights in impactful ways, P&G has adopted a mindset of “constructive disruption.”
- Merkle suggests that identity, informed rich consumer data that allows brands to “get” consumers, is critical for delivering more a personalized and effective CX. But beyond tailored messaging and loyalty perks, the right channel is also critical for winning with consumers, as Twilio’s Consumer Engagement Best Practices for 2020 confirms.
- Today’s consumers may not actively desire a brand to make a difference in the world, but they certainly want it to be committed to making a difference in their own lives. As such, Campaign diagnosed 2019’s brand purpose hits and misses.
RETAIL, SALES & SHOPPER
- Google has incorporated shopping ads into the YouTube home feed and search results. It’s an effort to make the platform more shoppable at a time when “consumers are increasingly using the platform to inform buying decisions.”
- Consulting POV – The 2020s are going to be about the collapsing of “the line” between above the line and below the line marketing. Helping companies understand how to plan, measure and execute integrated demand creation and demand conversion campaigns will be critical for success. In particular, watch how the major retail footprints like YouTube, Instagram, Snap and Facebook extend into retail.
- Kohl’s has launched an omnichannel campaign that, along with activations on Twitter and Pinterest, includes a pop-up in New York City which Snapchat users can shop from nationwide.
- Consulting POV – See the above comment. Continue to watch how retailers evolve here; though (generally) less sophisticated marketers than their CPG peers, they are less constrained by historical infrastructure and are more able to respond to the changing marketing landscape in a different way.
- B8ta, an experiential retail startup and “retail as a service” provider, raised $50 million last week. Already using some of the company’s technology in its Market format, Macy’s was a key investor as it strives to embrace the experiential retail revolution.
- Consulting POV – As an observer, it’s tough to understand the excitement about B8ta – it seems like The Sharper Image but with less choice and way more expensive stuff. Macy’s continues to buy new deck chairs for a business that has major holes in its hull. Tiffany Hogan’s update on Macy’s is a good overview of their deck-chair purchases.
- CB Insights details how three key ways startups are leveraging technology to power and personalize their loyalty programs in three key ways.
- Consulting POV – We like our perspective on best in class loyalty programs in beautyA number of concepts that are niche in nature will continue to evolve, but it’s also useful to learn about how loyalty is evolving into CRM from scaled programs with real skin in the game.
- The departure of Gap’s CEO last week may put the failing brand’s future (including the spinoff of Old Navy) even further in jeopardy – or, it may lay the foundation for the transformational change needed to revive the brand. This comes as 2019 has already seen the highest number of CEO departures on record.
- Consulting POV – Apparel has been cursed with, during a time of massive industry transformation, some colossally poor management. It is truly impossible to tell whether The Gap is broken or was simply badly-run. The idea that anyone was the CEO of JetBlack, a tiny business that loses 10,000 per shopper, is really awesome. The marketplace, in general, likely lacks any idea what an apparel retailer CEO is supposed to do, which is part of the problem. An evangelist who can inspire design professionals, make an increasingly complicated economic model work, and understanding tech transformation are hard skills to find in one person.
- New research from Google digs into what makes shoppers around the world click “buy” online. Related, Google’s newly-launched behavioral insights on 2019 holiday shoppers, including drivers of choice and tips on how to sell to US consumers in particular.
- Consulting POV – Great piece of work from the Kantar team! Enjoy the read.
- Amazon’s search is increasingly featuring sponsored products, Amazon brands, and recommended products as it increasingly demotes organic results in search. Which products get shown in search results has real implications for how customers discover products, and brands trying to launch new ones.
- Consulting POV – We’re continuing to dive into this in our work, but Amazon has been becoming a more paid search ecosystem for years. In essence, it’s like a retail store cluttered with displays and signage….each incremental display “works” until the whole works markedly less well. Our pieces on the essentials of online search and the essentials of Amazon are helpful companions to this piece.
- Professor Scott Galloway believes we are seeing the mother of all shifts from a focus on growth at all costs to margin, also known as profitability.
- Consulting POV – Professor Galloway has been having a field day with the demise of WeWork. The right way to interpret this may be as a move away from businesses with negative gross margins (who just lose more when they sell more) to businesses with positive gross margins (where they can eventually sell enough to offset startup costs like customer acquisition).
- More US retailers are expected to participate in Alibaba’s Singles Day this year, though risks and sensitivities may also be higher than ever.
- Consulting POV – Our Singles Day coverage will be second to none as always. Read our “precoverage” here!
ON THE HORIZON
- The new dot com bubble is here, and it’s called online advertising. In a world where “marketeers actually believe that their marketing works, even if it doesn’t,” a thorough and thoughtful look at what we know about digital advertising, and whether or not it’s really effective.
- Andrew Chen shares an interesting piece on the passion economy and its implications for the future of work.
ON THE GROUND
- This week, our Global Streetscapes Network shares three global marketplace solutions for single women in South Korea.
- Female “sanctuary” Sharehouse: This share house is created to keep young women safe and happy, and is particularly popular with young female adults who may feel unsafe/unhappy living alone. ‘Dalrem’ literally meaning ‘to soothe’ and ‘to comfort’ in Korean, is a sharehouse only for single women and abandoned animals.
- One Glass: As single households in Korea continue to rise in number (they are predicted to hit an all-time high of 29.6% in 2019), more companies are focused on serving this market. One Glass is a kit created just for Honsul tribes, which means you are a single Korean who enjoys drinking alone.
- Born Wedding: The South Korean hospitality and leisure company Daemyung Group is offering wedding packages called “Born Wedding” for singles, mostly women. As more South Koreans are opting to remain single in their early adulthood, single wedding packages provide the chance to indulge in the glamour of a wedding without actually committing to a relationship.
- Airbnb has already confirmed its partnership with the Olympics for Tokyo 2020, and even LA 2028.
- Accenture Interactive has purchased UK-based digital ventures consultancy Bow & Arrow to help the behemoth seize new market and customer opportunities and diversify their revenue streams.
- Disney’s new deal with Amazon means Disney+ will be on Amazon Fire TV devices, as well as on Samsung and LG televisions. Disney CEO has said that the launch of Disney+ is the biggest corporate initiative in his 40+ year career at Disney.
- Seattle-based companies Alaska Airlines and Starbucks partnered on an early boarding promotion to celebrate the start of the beverage company’s holiday season.
- Ferrari is teaming up with Armani to power luxury fashion offerings “more refined and artisanal” than anything currently available.
- In other luxury news, Prada and Adidas have announced a new sneaker collaboration.
- Xerox is looking to purchase PC-maker HP.
- Still, it’s important to remember that brand partnerships can go wrong – especially when values, agreements, and trust levels are inconsistent.
- Columbia Business School’s Rita McGrath offers companies advice on detecting and actioning on early warning signs of a looming inflection point.
- Facebook’s new corporate branding both hopes to differentiate the company and its apps, and plays a legal role.
- Forbes deep-dives on the emergence of neobanks and the resulting threats for established players.
- Challenged big brand market brands trying to play the startup game are totally missing the point. However, startups aren’t all sunshine and rainbows as even the most disruptive brands face a reality check amid profitability and performance pressures.
- Nielsen is splitting into two businesses (one to focus on marketing services and the other on media) to enable each business to grow faster and more efficiently.