October 21, 2019
Welcome back to your weekly update on the changes, trends, and movers-and-shakers making headlines across marketing, brand, consumers and more!
From Deepak’s neuroscience desk, marketers could benefit from adopting a synesthetic approach that engages multiple senses to tell a story and set the stage for an experience. And, a look at the importance of hemispheric balance, rooted in the reality that each half of our brain does different things, in advertising.
Below are a few thought-provoking articles to kick-start your week. Thanks as always for reading, sharing and sending your contributions.
BRAND & MARKETING
- With lessons to be learned for Facebook and Boeing alike, new research confirms that good brand leadership comes down to trust, authenticity and connection – and the foundation must be laid long before crisis strikes. However, CMOs are overlooking the emphasis consumers place on brand trust and transparency.
- Interbrand’s most valuable brands ranking cites 20 years of brand performance as evidence that maintaining relevance and responding rapidly to consumer demand are the secrets to successful brand growth.
- IDEO argues against the obsession with open offices, instead recommending actually studying the employees inside the building for insight into what changes would improve their experience, and ultimately support the company’s growth. In other news underscoring the criticality of culture, Barkley’s VP of Growth Strategy reminds that culture is your brand – demonstrated by Southwest and others, companies have to win inside to win outside.
- Though startups get all the headlines, small businesses are also ubiquitous – but brands don’t know how to reach and resonate with small business owners, particularly millennial ones.
- Dove and Comcast leveraged purpose and fandom to engage consumers with more culturally relevant marketing.
- Going broad, moving fast, renewing often, prioritizing health, and continuously stretching aspirations are the makers of a successful transformation, McKinsey finds.
- One industry voice wonders if marketers become so distracted by the youthful allure of targeting Millennials and Centennials that they’ve forgotten about the 25% of the population (and 53% of the wealth) that are Boomers.
- Bain suggests that executive teams’ overreliance on three CMO archetypes is a key hurdle to the marketing leader’s success.
RETAIL, SALES & SHOPPER
- CB Insights digs into how brands are using emotion to transform the shopper experience.
- Consulting POV – Sensory, engaging and human are good ways to describe shopper experience.
- A thoughtful if lengthy piece explores whether Amazon, America’s second-largest employer, is indeed “unstoppable.” At the same time, myriad startups are following Amazon’s lead into the cashierless store space.
- Consulting POV – Everyone should read the New Yorker piece – it’s fantastic. The second piece is a breathless look at a technology that is receiving way more attention than its commercial importance, which is the ability to make a store cashierless. The underlying economic challenge with a small footprint store is not cash station labor cost – it’s inventory and managing in-stock conditions.
- Walmart will begin trialing in-home grocery delivery in pilot markets in response to Amazon’s ever-evolving delivery experience – including just-announced free next-day delivery on low cost items for Prime members. eMarketer has some thoughts on the “good, bad and the ugly” of next-day delivery.
- Consulting POV – In two weeks, you’ll have the best of our new thinking on Walmart as an outcome of our Walmart session in Northwest Arkansas (led by Tim Campbell and Tory Gundelach, and ably assisted by Bryan Gildenberg). Bryan’s hosting a breakfast for our senior Walmart clients that morning as well.
- Kantar’s Sara Al-Tukhaim provides her thoughts and highlights the headlines on the upcoming holiday season.
- Consulting POV – Al-Tukhaim is always worth listening to on this topic. One of our favorite quotes is her line “we are what we celebrate, and what we celebrate is changing.”
- A look inside how Pinterest built one of the Valley’s – and the internet’s – most successful algorithms.
- Consulting POV – This is a really interesting piece, and Pinterest remains one of the digital marketing ecosystem’s most underleveraged assets. If it ever decided it wanted to be a retailer, the ability to curate with humans the way it overrides its algorithm to minimize the downside of their user experience would be a really interesting capability.
- Though it’s certainly a unique business model, direct to consumer commerce is certainly not just a business unit – it’s a critical and widely applicable skill, and a powerful and increasingly demanded mindset.
- Consulting POV – Since we’ve promoted Malcolm Pinkerton’s work on this topic several times, we can use this space to welcome another expert in DTC back to the Kantar fold – Reid Greenberg takes on a senior consulting role in our US eCommerce practice. Welcome back, Reid!
- Geometry’s Michelle Whelan provides a few thoughts on why all the change happening in retail is “not all doom and gloom.”
- Consulting POV – An interesting take on an issue that’s quite emotive in the UK, which is some organizational changes that the John Lewis company (parent to the eponymous department stores and Waitrose’s grocery business) is making to become more competitive.
ON THE HORIZON
- BCG analyzed 95 million online job postings over the past three years to elucidate what’s trending in jobs and skills.
- And, in a world where the war for customer acquisition is fought on the battleground of limited advertising space – and against shrinking user attention – an excellent perspective on why the future of holding companies will be built around audiences, not industries.
ON THE GROUND
Not-to-miss consumer trends manifesting across the global marketplace. Each week, Kantar’s Cultural Streetscapes Microsite will power unique insights on value-driven consumer innovations emerging in a key trend area.
This week, our Global Streetscapes Network shares three global marketplace solutions targeted to beer-drinkers that ALSO value fitness! These are just a few examples of Healthier Vices (see Global MONITOR Energies framework), where consumers are seeking creative ways to indulge in vices while minimizing guilt and risk to self and/or minding the health and comfort of those around them.
- The German beer Joybräu is a brand that not only can be enjoyed guilt-free, but is also a supplement to a fitness training regime. This is a non-alcoholic beer that contains twenty-one grams of protein as well as essential amino acids to boost fat metabolism.
- The US’ Earn Your Booze is a philosophy, the idea of which is to stay healthy and keep fit through exercise, and through this exercise earn the privilege of drinking. The social element of EYB’s events and platform is very strong: working out as a ‘tribe’ and then enjoying some booze is a great way to meet new people.
- Birell beers out of the Czech Republic has come out with a new line of Isotonic Beers for people who live an active lifestyle and seek refreshment during and after physical exertion. The non-alcoholic beer has fewer calories and isotonic properties, designed to hydrate the body while enjoying the taste of beer.
- A different type of partnership to feature this week: the powerful duopoly that is performance marketing and brand-building for the long-term. Lego CMO Julia Goldin recently spoke to the balance, advising that we bring marketing back to its original purpose – creating long-term value. Another success story: Levi’s, whose recent IPO performance demonstrated that investors have an appetite for companies that are committed to running the business for the long-term.”
- Jim Bean is offering a stay at its American Stillhouse cottage “to give bourbon fans the opportunity to join the Beam family for a day” – for just $23 a night.
- Salesforce’s Marc Benioff recently spoke to why women and men are often paid so differently, what’s really generating value in businesses today, and why some big tech companies just don’t get it. Benioff made the case this week for “a new capitalism,” observing that the profound inequality caused by the current system can only be remedied by businesses and their leaders pursuing purpose as well as profit.
- Ecosystems are all the rage these days, but does your business really need one?
- Targeted innovation and relevant marketing powered by consumer insights underpin PepsiCo’s (well-performing) snack portfolio.
- Through establishing an accelerator, trialing new business models, and generally embracing a new strategy, Mondelez has shifted from cost-cutting to growth.
- New research from MIT shows that learning fast through empowered teams, clear hypotheses, and adept questioning, leads to better innovation – not failing fast, as one might think.
- Carlsberg has just revealed the world’s first beer bottle made of paper so that it’s both sustainable and recyclable.
- BCG proposes an actionable guide for harnessing the power of purpose – what employees wake up excited about – to drive your business.
- Fueled by investment from venture capital, successful startups invest heavily in growth –– but just how much at each stage varies.