February 3, 2020
Welcome back to your weekly update on the changes, trends, and movers-and-shakers making headlines across marketing, brand, consumers and more!
With a new month comes new recommended reading! The Future Is Faster Than You Think, the latest from Peter Diamandis and Steven Kotler, takes a look at how converging technologies are transforming business, industries, and our lives
From Deepak’s neuroscience desk, seven neuromarketing strategies that every marketer should know by now.
Below are a few thought-provoking articles to kick-start your week. Thanks as always for reading, sharing and sending your contributions.
Brand & Marketing
- CMO makes the case for why sustainability and marketing are a “match made in heaven” just as Unilever confirms plans to invest more marketing spend on explicitly purposeful communication, having seen the short- and long-term ROI in doing so.
- Rising interest in the secondhand market and circular economy translates to real potential for DTCs. This is also a trend Nordstrom has noticed; it’s the latest retailer with plans to sell luxury clothing secondhand, both online and at its NYC flagship location, via its “See You Tomorrow” initiative.
- How beer brands are adapting to the growing appeal of Dry January.
- Though advertisers spent $5 million for 30 second ad spots during yesterday’s Super Bowl, Business Insider explains how they could’ve put that money to better use. Kantar’s Satya Menon shares three research-backed best practices for effective advertising at the big game. And, for any Super Bowl ad junkies like yours truly, all ads can be found here.
- Nigel Hollis offers a key reminder that change for the sake of change has more potential to undermine brand growth than to drive real impact.
- FedEx is tapping into consumer emotion insights to better understand and rectify pain points along the journey.
- In partnership with Gap and Athleta, [Peloton%20is%20expanding%20into%20apparel%20and%20broader%20retail%20offerings]Peloton is expanding into apparel and broader retail offerings. Related, Mastercard’s noncard efforts may very well be critical to its future growth – and survival.
- While it’s never been easier to launch a new brand, the Economist explains the forces around why it’s only getting harder to build a world-beating one.
Retail, Sales and Shopper
- When consumers order online, they want what they want — and fast. Industry leaders recently discussed their current eCommerce strategies at Wharton’s Baker Retailing Center CEO Summit.
- Consulting POV – Interesting article. Marc Lore’s obsession with delivery speed is interesting and it’s unclear whether or not that’s the big win for Walmart in eCommerce given some of their other advantages. And, as always a caution: 70% of Millennials are NOT going to be buying all of their groceries online in 2023 – that data point cited is wrong and silly.
- Pinterest has launched Try On, a new AR tool in which users can virtually ‘try on’ different shades of lipstick within their mobile app.
- Consulting POV – Great idea that continues the trend of beauty driving a lot of the “CPG/Retail” tech agenda. Pinterest remains an underleveraged shopper marketing asset.
- Selling products directly to consumers gives companies critical insight about their customers, as well as the freedom to innovate; CFOs at a recent MIT Summit revealed tips for mastering the “art form” that is DTC. Related, Venture Beat warns us to expect a DTC shakeup in the year ahead.
- Consulting POV – Anything that talks about DTC as a tool rather than a business or religion is on the right track. Yes, companies need to know more about their consumers, but suggesting Peloton is uniquely qualified to understand its deliveries were terrible because it’s a DTC company is, well, silly. Anyone can ask for and receive feedback on specific steps in your value chain.
- eMarketer digs into whether Amazon or Walmart is winning online grocery. But perhaps, per this piece on “Amazon’s secret weapon” and Amazon’s stellar earnings report last week, grocery isn’t the place where this battle should be fought.
- Consulting POV – Asking who is winning online grocery right now is like asking who’s winning the 24 Hour at Le Mans race 40 minutes after it starts. I’m sure someone’s winning, but not sure it matters. Amazon’s earnings were interesting for a variety of reasons – 150MM global prime members (with a lot of growth outside the US) and an advertising business that in revenue exceeded what Whole Foods sold in Q4 Amazon’s footprint will continue evolve into a “post-retail” economic and operating platform.
- Fitch offers some quick thoughts on new challenges retailers will face in this new decade.
- Consulting POV – “Cult Collective” is a really good catchphrase in this deck. A good way to understand how to use niches to drive scale as democratizing and amplifying these cult collectives into mass movements is the winning skill of the 2020s.
- Discovery is instrumental to bigger baskets and impulse buys in online shopping, but many companies are missing the mark on doing this right.
- Consulting POV – A really good article that explores the new world of “Basketon” – using technology to manage shopping baskets instead of categories and shelves to drive profitability.
- Shopify, the billion dollar eCommerce company behind many popular online stores (including a number of DTCs) sees itself as “arming the rebels” more than competing directly with Amazon.
- Consulting POV –
Shopify is another example of the “post-retail” retail landscape – a platform that will be critical for CPG companies seeking to understand more fragmented competition and a more complex route to market.
- Consulting POV –
On the Horizon
- Adswerve outlines five digital marketing trends that will define the year ahead, which are largely distinct from the four highlighted by Prophet.
- eMarketer explores the increasing use of content marketing in brand- and business-building, showcasing [Monday%20Edge_11Feb2019.docx]Aetna’s application of it to educate consumers on healthier living.
- A new study released by The CMO Club and Deloitte offers benchmarking and a roadmap for the evolution of modern marketing organizations.
- In partnership with Mastercard, SoFi is launching a credit card in a bid to help the fintech boost user loyalty.
- The retail space will likely see significant transformation in the year ahead as some of the category’s biggest players explore M&A options.
Fast Company and Marriott’s AC Hotels are partnering on a co-branded content series oriented around purposeful design creations featured in the hotel chain.
- YouTube has struck a multi-year rights deal to exclusively stream game publisher Activision Blizzard’s global esports competitions.
- Global spend on sports sponsorship is expected to rise to more than $48bn – the strongest growth in a decade and ahead of growth projections for all traditional media, suggesting the channel remains a viable and valuable option.
- Ted Baker will be installing a chief customer officer to develop the company’s customer and digital strategy – and ultimately reboot the brand.