All Posts By

Salim Bueno

Service Heroes

In a “dog-eat-dog world,” you better watch out for your own interests because everyone else is watching out for theirs. You’re taught to guard your back and compete without mercy. In this world, winner takes all.

Unfortunately, this type of mentality drives a great portion of corporate America. Corporations that are motivated by greed, concerned only with the bottom line, breed employees that are trained to fight like attack dogs in underground pens, and win at all costs. In this blood sport, employees are driven by animal instincts, dark shadows are exposed, and brute behaviors are rewarded.

Psychiatrist and mystic David R. Hawkins wrote, “Success in any venture is simply the automatic consequence of being the best that one can be as a lifestyle, without looking for gain.” Now this type of mentality would seem antithetical to the mission of corporations, where having a competitive advantage in the market is crucial to their staying power and overall success. But as we know, it doesn’t have to be.

Companies that uphold Cult-Brand values are showcasing a different side of human nature. They expect the best from their employees, because as humans, they have the intrinsic capacity to feel, emote, contribute, and most of all, love.

The Container Store, the nation’s leading retailer of storage and organization products, landed its position on Fortune magazine’s annual list of “100 Best Companies to Work for” for its 9th consecutive years. The company consistently embraces their “do unto others” business philosophy. When this value pervades the organization, employees feel empowered and want to share the positive rewards. At the Container Store, you may hear an employee “being Gumby,” a highly prized attribute of bending over backwards to please co-workers and customers.

Like the Container Store, the pay-it-forward attitude pervades every corridor of Southwest Airlines. Southwest publishes an internal newsletter, Luv Lines, and dedicates a section to highlight how employees have gone beyond expectations, as documented by real customers who have been blessed by a Southwest angel. You’ll read about a passenger who arrived at the airport 20 minutes before her departure, frantic about missing her flight and not having enough time to move her car from the drop-off area. The Southwest employee reassured the passenger and offered to move her car into long-term parking. The following day the employee called to tell the passenger where her car was parked and where her keys could be retrieved upon her return.

You’ll also hear about a customer service representative who stayed overnight at a hotel with an elderly woman who was fearful of being alone after her flight was grounded due to inclement weather. And what about that SWA worker who stumbled across someone in the airport parking lot who had a flat tire? The employee got down on his knees and helped the stranded passenger change the tire. When the passenger said, “You know, I didn’t fly Southwest,” the employee replied, “It doesn’t matter.”

But it makes all the difference in the world.

On September 11, 2001, after the terrorist attacks, all airborne planes were instructed to land. One Southwest plane was grounded, and the passengers and crew were put up in a hotel. Southwest management called to check up on its flight, but the concierge told them that no one was at the hotel. The pilot took everyone on the flight—the crew and the passengers—out to the movies.

And the list goes on.

Ginger Hardage, Southwest’s Senior Vice President of Corporate Communications, explains, “There’s no manual from which to learn that. At Southwest, employees are encouraged to make decisions from the heart, and in turn, these proactive gestures provide positive benefits to the customers and the company.”

The leadership at Southwest knows a thing or two about kindness and love. Herbert Kelleher, founder and former chairman, once said, “You have to be genuinely interested in, and like, people. Show them tolerance, patience, respect and empathy. Drown them in a tsunami of gratitude for their marvelous works … People will respond with an esprit de corps–a desire to perform because they want to, not because they have to.”

With such a visionary at the helm, employees might ask themselves the WWHD question. What Would Herb Do?

Southwest has masterfully made “living legends” out of their “service heroes.” Rewarding values in this way inspires others to offer unparalleled customer service in return. In their pursuit of love, rather than techniques, Southwest inspires their employees to “make love a decision, not just a feeling; then stick to it.”

What values are being rewarded in your organization? Are you breeding dogs to fight for their own survival? Or are you raising angels to uplift and inspire?

Hungry Like The Fox: The Cult of Firefox

A Web browser now lurks among the world’s Cult Brands. I know it’s hard to believe. Seriously, how can a Web browser become a lifestyle? A little incident that happened during a lecture should put it into perspective:

When I lectured at an art university last year in Philadelphia, a student brought up the controversy over Dove and Axe—one company, Unilver, responsible for two campaigns: one that empowers women and one that objectifies them.

He asked: “As a product designer, how can I guard against something like this?” I told him that as a designer there’s nothing inherent in a type of soap that makes it required to be marketed as empowering or objectifying towards women; that’s up to the marketing department and the people managing the brand. It’s a seemingly simple question, but one that has important implications for brand development: any product, as long as it’s good, can, with enough imagination, clarity, and direction, be developed into a powerful Cult Brand.

I’ve been using Mozilla’s Firefox for years and never considered it a Cult Brand until I inadvertently stumbled upon Download Day 2008. Download Day 2008 was organized by Mozilla to celebrate the official release of the 3.0 build by attempting to set a new Guinness World Record for the most software downloaded in one day.

Despite technically difficulties, in the early hours, 9000 copies were being downloaded every minute. By the end of the day there were over 8 million downloads, moving the market share for the 3.0 build up from 1% for beta versions to 4%. Not bad for one day.

I began to wonder, could we have another Cult Brand in our midst?

With it’s first official release in November 2004, the Firefox browser has quickly gained in popularity and is currently the second most popular browser, behind Internet Explorer, with an 18.41% market share. Explorer’s lead is huge, but in the past year Explorer’s market share has gone down nearly 6%, while Firefox’s has risen 4%.

At the end of 2004, Microsoft was unwilling to admit the viability of the Firefox browser, with Australian managing director Steve Vamos claiming that Firefox did not offer any real threat. But, by mid 2005 Microsoft’s filing with the Securities and Exchange Commission (SEC) indicated that Firefox offers features that compete with Explorer.

So how does an open source browser go from a non-issue to a serious competitor in under four years? By embracing the same principles that make other Cult Brands successful.

Open source companies are great foundations for building Cult Brands. By being open, they not only invite everyone to participate, but they immediately position themselves against major market competitors and turn big business into an archenemy.

Open source also forces another hallmark of Cult Brands: collaboration. End users can make their own contributions without back end hacks, which shows in the over 2000 add-on applications Firefox users have developed that are available for download through the Firefox Web site.

If allowing users to contribute programs weren’t enough, in 2006, the development team asked users to submit what changes they would like to see in the browser for the current 3.0 release.

This focus on collaboration facilitates the development of a strong sense of community. And Mozilla encourages and supports this sense of community, making it a key element of the mission statement: “And as a non-profit, public benefit organization, we define success in terms of building communities and enriching people’s lives. We believe in the power and potential of the Internet and want to see it thrive for everyone, everywhere.”

With SpeadFirefox.com, they organize online events, like the Download Day 2008, and provide a community of brand evangelists to come together and speak. At FirefoxFlicks.com there are currently 280 user-submitted Firefox commercials. Users wanting to find other Firefox lovers in the real world can head over to MozillaParty.com and organize or look for a Firefox party in their area. And just so you know, 700 3.0 launch parties were registered.

And, what Cult Brand would be complete without some users branding themselves? One tattooed user, attacked the archenemy and altered the logo to show the fox chomping down on the Explorer E. Another user put a Firefox tattoo alongside two other emblems of the open source movement: the GNU mascot and Tux the Linux penguin. But the branded mark that really tripped me out is a crop circle of the Firefox logo generated by two interns that’s visible on Google Earth.

This investigation into the world of Firefox shocked me; I just liked the browser’s features. But now I’m asking myself: Is Firefox the next Linux?

MINI Mania Across the States

Monterey, California. It’s early morning. Hundreds of MINI’s line up. It’s not a new shipment of cars; in fact some of these MINI’s have driven from as far as Florida.

Why are all these MINI’s gathered? For one of the biggest events in motoring history: MINI Takes the States.

Starting in California and ending in Lakeville, Connecticut, this 4,000 miles road trip was the perfect way to celebrate everything MINI. Hundreds of MINI owners gathered for this historic trip and joined the rally across the states, an annual event inaugurated in 2006.

Great Cult brands create customer communities. MINI Takes The States was held to celebrate MINI’s vibrant community. “MINI owners always bring an unparalleled level of enthusiasm and energy to whatever they do, and I am excited to spend two weeks on the road with them. I encourage everyone, MINI owner or not, to keep an eye out for us in August and join in the fun for a day, a week, or even the full trip.” Jim McDowell, VP of MINI USA.

From the start of this historic journey MINI enthusiasts took every opportunity to have fun. MINI began the party with live music and a drive on Monterey Beach. With events such as MINI Music Festival in Tennessee, Tail gaiting parties, a carnival in New Jersey and a victory lap at the Lime rock racetrack, MINI showcased why they are masters at the golden rule of fun.

MINI is a lot more than a car—it’s a lifestyle. From a couple tying the knot to a husband paying tribute to his late wife, MINI owners became more than just friends, they became family. Over 3,000 registered participants from across the states traveled cross-country to celebrate the motoring lifestyle.

In each city MINI handed out rewards for several categories of enthusiasts. In Boston, Sandy Bouchieer won theI’m Not Afraid to be Noticed Award, for driving her ladybug spotted MINI all the way from Wyoming. The Tallest Person, Little MINI Award went to David Quesenberry who towered in at 6’5”. The Best Vanity Plate Award went to Shannon Polce, whose plate, MINIMZE, pretty much says it all.

MINI’s fun aspect goes way beyond the car. With events like MINI Takes The States and by constantly rewarding the community, it is easy to see why MINI and the people who drive them have a special relationship.

Interesting Links

MINI Takes the States Tour 2006 Video Highlights

A blog written for Motortrend by a MINI enthusiast who traveled and documented the 2006 tour

Most Dangerous Idea In Business

The cover story of the July issue of Wired, “The End of Theory” by Chris Anderson, forecasts a new age of science, the Petabyte Age—an age where data becomes more important than the frameworks we use to understand the data. The supposition is that with the massive amount of data that is becoming available, you will be able to run statistical correlations on the data that show relationships that exist and that the existence of these relationships will be enough to form the basis of decisions.

This model of the future is heavily influenced by the approach to searching the Web: it doesn’t matter why a page is the most relevant, from the perspective of a search; the fact that it is the most relevant is all that matters.

This is a dangerous path.

Every time I talk to clients about statistics I bring up a study published in 2006 by business professors Michael Waldman, Sean Nicholson, and Nodir Adilov. The study statistically correlated autism and watching cable television. The watching of cable television was inferred to occur at the highest rates in areas where cable subscriptions and bad weather were highest—if the weather is bad children were believed to be more likely to stay inside and, therefore, watch more cable television.

Statistically, there’s nothing wrong with the study, but is it an actuality? It’s impossible to tell. First, the correlation between weather and cable subscriptions, and increased cable viewing must be correct. And second, it assumes that the direct correlation between watching television and autism, rather than something like increased autism testing in areas where cable television subscriptions are highest, is correct. It’s a study that opens questions, rather than solving one.

More data, even Petabytes of data, aren’t going to solve the main problem with statistics: correlations can exist without true causality. The only thing that more data does is provide greater certainty that the correlation exists. But, more data also has a big problem: it increases background noise. In other words, it can mask relationships that are there and show ones that don’t exist.

With advanced analytical methods the odds that relationships will be masked is small, given that the software will likely analyze every possible combination. But, it may create relationships that don’t exist. When a data analysis comes up with multiple results, using the data alone, how can you know which is correct? Is it the one with the highest statistical correlation? Does the difference between a possible error of 0.001% and 0.002% make the data with the 0.001% chance of error somehow more true?

This is the main problem with search engines and why the problem of search, as Google even recognizes, is nowhere near being solved. Search engines assume that the highest correlation is the same correlation you’re looking for. In other words, because most people searching for “Robert” want “Robert Scoble” to be the result, then so do you. Correlation, rather than reality, becomes king.

In a 2004 talk for the TED conference, Malcolm Gladwell spoke about his friend Howard Moskowitz, an experimental psychologist and president of Moskowitz Jacobs, Inc., a consumer insights research firm. Moskowitz did research for Prego to discover the best type of tomato sauce. His research was influenced heavily by a study he conducted years before for Diet Pepsi: how much aspartame should be added to the mix to create the ideal Diet Pepsi. The Diet Pepsi experiment was inconclusive; the data was all over the place. Years later Moskowitz made sense of the data. There isn’t an ideal Pepsi; there are only ideal Pepsis. In other words, there should be multiple categories. It’s this thinking that he took to Prego and resulted in the creation of the much beloved category of chunky tomato sauce.

What would happen if this data were analyzed using the philosophy of the Petabyte age? Either the data would be inconclusive or the highest correlation would be revealed to be the ideal mix. In the first case the data would be useless, in the second case the data would be wrong; multiple categories for multiple taste preferences is the ideal solution. Only by understanding what the data means does it become useful; on its own the number crunching tells us nothing.

You’re probably wondering what this has to do with business. The majority of marketing research has been and is still being conducted according to statistical patterns, and, dangerously using these statistics to make future decisions.

For example, imagine a hypothetical, underperforming lawnmower manufacturer is trying to decide what percentages of red and green lawnmowers they should ship to Lowe’s. They analyze last year’s data and see that nine green lawnmowers sold for every red one. The company changes it’s production to make 90% of their lawnmowers for Lowe’s green and 10% red. When it came time to look at sales, hardly any of their lawnmowers sold.

Repeated statistical analyses show no cause for the increase in sales of red lawnmowers. The company hires a consumer insight firm to discover what went wrong. The firm looks at the Lowe’s stores and the purchasing decisions of Lowe’s customers. Looking at the stores, the firm finds that the previous year Lowe’s displayed green lawnmowers at the front of the store. But, this year there wasn’t a display at the front of the store. When asking the customers what color they wanted their lawnmower to be most customers answered red. But when the insight firm showed customers different colors and asked them to select their favorite lawnmower color from the group, 80% said orange—a color no lawnmower company was making. The next year the company released a slew of orange lawnmowers and outsold all other lawnmower makers in the Lowe’s stores.

Analyzing the manufacturer’s data would never have revealed anything. Sense was created from nonsense by coming up with questions to ask and looking for the answers from both the retail stores and the customers.

Just because a lot of data is out there doesn’t mean anyone has ever collected the relevant data. This is exactly what Howard Moskowitz discovered with tomato sauce: no focus group from Ragu or Prego ever came up with the idea of chunky tomato sauce as a type of sauce they would like until they were given the option. And no amount of data would reveal the observation that green lawnmowers were displayed at the front of the store the year before.

Only by understanding the customers can we give them what they want. On their own they don’t know. This has been a guiding force for Steve Jobs at Apple: “You can’t just ask customers what they want and then try to give that to them. By the time you get it built, they’ll want something new … If we’d given customers what they said they wanted, we’d have built a computer they have been happy with a year after we spoke to them—not something they want now.”

Observation and questioning gives us insight into what customers want. Statistical analysis only shows what they’re doing and is best used as a check and balance system to make sure the observations you made and the questions you asked were the right ones. Don’t let anyone try to fool you into believing it’s the other way around.

Making the Case: MINI

If you stop and talk to MINI owners about their car, you’ll see their eyes light up with child-like abandon. They’ll tell you driving a MINI is like driving a go-kart on a raceway course. The pick up is quick, the mileage is great, and the turns are seamless. They’ll even tell you that a MINI can do everything a sports car can do, without breaking the bank. They’ll animate, gesticulate, stimulate, and motivate. After a few minutes, you’ll want to motor to the closest MINI dealership and experience the phenomenon yourself. Their enthusiasm is truly infectious.

Like the Volkswagen beetle, MINI embraces the Golden Rule of Courage and stands out as something different. In the heyday of the gas-guzzling SUVs, the roads were congested with Escalades, Navigators, and the almighty Hummer. With bigger is better sensibility, drivers could preen their feathers and strut their egos by way of their vehicles. Yet when all of the cars were getting bigger, MINI prided itself on getting smaller, much smaller. When MINI wiggled its way onto the scene, it became the little engine that could.

MINI owners will tell you that although you might be the little guy on the road, out there fending for yourself, don’t be fooled. It’s usually the smallest member on the sports team with the most speed and agility. MINI has garnered respect because it can play on the same field as the big guns, sometimes leaving them behind in a cloud of smoke (but not too much smoke because MINI is gentle on the environment). Ultimately, it’s more fun rooting for the underdog.

Not the underdog for long …

MINI USA Sales have jumped 33% in new car sales in the first six months of 2008, compared to one year ago. This is no easy feat, since the car industry is facing its worst sales year in over a decade. With escalading gas prices, consumers are looking for wiser choices, and you certainly can’t beat MINI’s fuel efficiency at 37 miles to the gallon.

But it’s more than fuel efficiency that makes it a smart car. These are just a few reasons why MINI has the qualities of a powerful Cult Brand. Like other Cult Brands that follow the Golden Rule of Freedom, MINI celebrates each individual driver and encourages him or her to “you-ify your MINI.” MINI explains, “Everybody wants their car to say something different about them. Fortunately, the MINI can say anything.”

The roof is viewed as a blank canvas, waiting to be personalized and customized. If you’re feeling a little nationalistic, you can choose a flag, any flag, to proudly display. If you’re a child of the hippie era, flower power becomes your personal icon. If you’re a caffeine addict, you can slap a huge cup of Joe on your roof. There are hundreds of designs to choose from in the Roof Studio. Can’t find one you like? Go ahead and design it yourself.

MINI owners will also happily share their “MINI Moments” like the time when they pulled into a crowded parking lot, and squeezed into a corner spot that no regular-sized car could occupy. When your friends make the dare, you confidently turn your MINI around, drive in reverse, and effortlessly slide in. Fits like a glove.

Drivers will also boast about the ability to turn around on a narrow street in one shot. So forget about the three-point turn, MINIs can drive circles around and around their competition.

Like other Cult Brands, MINI loves surprising their customers at every turn. As a MINI owner, you might receive a cryptic package in the mail, complete with a purple filter sheet, a letter descrambler, a password key, and a note saying, “look forward to our hidden messages.” The following week, you’re reading the New Yorker magazine and you spot a MINI advertisement calling for a special code. Like a good detective, you grab your secret kit to decipher the covert message. But it really doesn’t matter what it says. What matters is that you’re like the lucky kid in the neighborhood holding the prized decoder ring from your winning box of Cracker Jacks.

This child-like, adventurous spirit prevails in the world of MINI. Remember how you could explore the world without constraints as a child? You couldn’t care less about what other people thought because you were too enthralled with each new and exciting discovery. MINI understands the nostalgia adults have for their younger years.

With a scrapbook of playful moments and creative collectibles, MINI defines the Golden Rule of Fun and sells lifestyles defined by freedom, good cheer, and camaraderie. As a Brand Lover or enthusiast, you might take part in MINI Takes the States Tour, traveling across country with a caravan of MINIs, stopping in different cities, attending special events, and mingling with other members of the MINI Family. However, staying true to the Golden Rule of Openness, the event organizers proclaim, “Everyone is invited, even if you don’t own a MINI.

For MINI owners, driving is not just a functional activity that makes going to work and running errands possible. It’s all about the experience. In their Book of Motoring, MINI explains, “The difference is in the mind of the operator. Just because you drive, doesn’t mean you motor. When you drive, you go from A to B. When you motor, you go from A to Z. It’s all about living. Nobody can tell you when you’re motoring. You just know.” Ultimately, for MINI drivers, “Mileage equals experience.”

Most of all, MINI proudly fosters a solid network of customer communities—the MINI Family, as it’s called—connected throughout the world. MINI explains, “Dating back to its birth in the UK, there’s a long-standing tradition of MINI owners acknowledging each other when they pass on the streets … So when you pass another MINI, don’t be shy. Give them a wave. It could be as subtle as raising an index finger off the steering wheel or as enthusiastic as two hands out the sunroof (although it would probably be best if these were passenger hands).” You’ll also hear MINI drivers acknowledging one another by flicking their headlights, and even giving high-fives out the window while passing each other by.

As you’re driving along the road, you might also make a kid smile. He’ll start waving with one hand, while punching his little sister with the other. Today’s new punch buggy perhaps?

That sounds about right.

Let’s Give ‘em Something to Talk About

Amazing customer experiences will start conversations

ORLANDO, Fla. – Last summer, in an article titled, “I Sold it Through the Grapevine,” Business Week reported that marketing powerhouse companies like Procter & Gable were using legions of moms to help promote their products. In behind-the-scenes word-of-mouth campaigns, these moms share products and coupons with co-workers and friends based on talking points suggested to them by the company, helping the company introduce new products and extol the virtues of current products.

BJ Bueno, marketing expert and a partner at Nonbox Consulting, believes hiring “pretend fans” often backfires. His newest release, Why We Talk: The Truth Behind Word-of-Mouth (Creative Crayon Publishers, February 2007, ISBN: 0971481539, $24.95) explores word-of-mouth marketing and how to generate, not manipulate, customer conversation. Bueno introduces seven principles to create amazing customer experiences and generate authentic product gossip, steering marketers away from buzz agents and freebies, as well as other techniques that do not build lasting brands.

As word-of-mouth becomes a more accepted and popular marketing practice, most marketers have focused on WHAT people talk about but have failed to address WHY people talk. Based on extensive research into psychology, marketing, and consumer behavior, Why We Talk explores what motivates consumers to spread the word about a company and its products. Bueno advocates learning how to serve your customer better, instead of investing time and energy trying to manipulate and influence customers to talk.

There is no magic formula to get people to start jumping around and telling the world about a new product or service,” says Bueno. “If you give someone something to talk about, they will. Create experiences for your customers through your products and services that give them something to talk about.”

Bueno is the co-author of the popular marketing book, The Power of Cult Branding, which received rave reviews from leading marketing mavens like Al Reis, Jay Conrad Levinson, and Jeffrey Fox. Bueno is also a partner in Nonbox Consulting, a consumer insight think tank located in Orlando, Fla., which provides consulting services for companies interested in discovering the secrets to creating beloved brands. He is a member of the Retail Advertising & Marketing Association (RAMA) and is on the board of the Chief Marketing Officers (CMO) for top international retailers. He has advised companies like Kohl’s Department Store, LA Lakers, Thomas Nelson Publisher, Scheels, and the Magic of David Copperfield. Bueno currently lives in Orlando, Fla.

For more information about Why We Talk: The Truth Behind Word-of-Mouth, please visit cultbranding.com/blog.


Making the Case: Netflix

The weekend is finally here. After weeks of hearing co-workers talk about the latest blockbuster hit, you can finally head to your favorite movie rental store and grab the movie you just missed in theatres. You get excited as you enter the store and run to the new releases assured you will get one of the guaranteed copies. As your eyes finally focus on the movie you were looking for, you find yourself in a race with the customer next to you for the last copy.

This scenario used to happen way too often. You were forced to rent something you didn’t want, leading to a potentially unenjoyable movie night. Thanks to DVD-by-mail provider Netflix, those days are over.

Now, you peer into your mailbox with delight and glee on the sight of that distinction red envelope: your new Netflix movie has arrived!

With their number one goal of delivering movies to their customer’s home within 1 business day and no late fee’s, Netflix has become the primary choice for 8.4 million movie lovers across the United States. How has Netflix beaten its competition, including the former giant Blockbuster Videos and even behemoth Wal-Mart? They focused on making their service easy to use and always serving their customers better than anyone else. Netflix’s promise to always have a movie waiting at home has made them a dependable source that customers can trust.

Netflix provides customers with continuous gratification. Starting at just $4.99 a month, the service allows anyone who has an address and likes watching films to sign up. Netflix caters to the entire spectrum of moviegoers, offering nine different subscription plans to choose from. Casual movie watchers can sign up for the two-movies-per-month plan, while fanatical film buffs can choose unlimited rentals with eight movies out at one time. Plus, users can change their plan at any time with a single click.

Netflix makes it easy to navigate and search through 100,000’s of movie titles online. The personalized “Queue” allows users to quickly and easily manage their upcoming film selections. Their sophisticated rating and searching tool helps users search movies by genre, director, blockbuster hits, and of course, academy award winners. Like a specialized movie store, Netflix strives to make it easy for their customers not only to find what they are looking for, but also allows them to explore and experience new movies. With over thousands of obscure and popular movies available at Netflix, there’s always a new film to enjoy. Plus, since subscribers pay a monthly fee for unlimited films, you never have to feel guilty for renting a movie and not liking it.

Understanding that sometimes five days is not enough to watch a movie, Netflix never penalizes their customers with late fees. Unlike Blockbluster Video and other traditional movie rentals, Netflix customers can keep movies for months without any worries thanks to their monthly subscription model. When the customer is ready to return the movie they simply drop it in the mailbox; the postage is already included. Within two days a new movie from their queue arrives, keeping the customer constantly gratified. With more than 100 fulfillment centers across the United States, Netflix has made a commitment to get movies to their customers quickly.

With trips to brick and mortar rental houses frequently ending with bad movie night, a more frustrating scenario is leaving empty-handed. By allowing users to rate any movie on a 5-point scale, Netflix has created a unique customer database that is constantly being improved. By comparing users profiles, Netflix searches for similar trends and provides personalized recommendations of movies their other customers might enjoy.

If 100,000 titles to choose from aren’t enough, customers currently have over 12,000 movies titles they can instantly play from any computer. Netflix also allows customers to have access to streaming movies on their TV through the Netflix ready device and soon on the Xbox360 (coming in fall 08).

Through web ads and TV commercials Netflix constantly communicates how easy and reliable their services are to use. By keeping their promise they have become a commodity for movie lovers, some even claim to have Netflix marathons and watch 27 movies in one month. Netflix fans have formed an online social network for movie lovers where members can discuss the Netflix website, movies, and can create personalized pages. Netflix raving fans have even made their own Netflix commercial.

Netflix continues to succeed because they have one thing in mind, keeping their customers happy. By providing an easy way to navigate through movies, fast delivery, and zero late fee’s, it is no wonder so many people are falling in love with Netflix.

Humor in the Workplace

Ah, laughter, the timeless elixir for the soul.

Passengers, taking a Southwest Airlines flight for the first time, are graciously taken aback by the flight crew’s lighthearted sense of humor. Compared to other commercial airlines whose stewards and stewardesses are dressed to the nines, with perfectly coiffed hair and plastic attitudes to match, Southwest stripped their crew of these pretensions and brought them back down to earth.

The flight crew traded in their business skirts, high heels, and pantyhose for khaki pants, polo shirts, and sneakers. At Southwest, comfort prevails over fashion. Along with this radical wardrobe change came a laid-back attitude, a great sense of humor, and a genuine smile that radiates, “Hey, I really love my job!” The fun-loving spirit that wafts through Southwests’ cabins is truly infectious. Bleary-eyed passengers who have come to equate air travel with their worst living nightmare have to fight hard not to smile when disembarking from a Southwest flight.

Immediately after take off, the pilot’s voice is heard through the overhead speaker: “Bear with me folks, this is my first time.” Chuckles are heard throughout the cabin. In reviewing the safety procedures, a flight attendant instructs, “In the event of a sudden loss of cabin pressure, oxygen masks will descend from the ceiling. Stop screaming, grab the mask, and pull it over your face. If you have a small child traveling with you, secure your mask before assisting with theirs. If you are traveling with two small children, decide now which one you love more.”

The laughter continues. When the plane has landed, a flight attendant warns, “Please use caution when opening the overhead compartments, as shift happens.”

A Healthy, Happy Workplace

It’s well known that a healthy workplace boosts morale, lowers turnover, decreases abseentism, and increases productivity. When workplaces are plagued by negative energy, backstabbing antics, and gossipmongers, people turn into the lost school children of Lord of the Flies, forced to fend for themselves in a cruel, competitive, and unforgiving world.

Southwest knows that humor is not incompatible with competition, however. After all, the airline has remained consistently profitable even in a post 9/11 era. Yet they intuitively understand the power of humor and its ability to ease stressful situations, build rapport and cohesiveness, and soften the most hardened lines of communication.

Who did they inherit the funny genes from? Who else, but the zany, jolly good fellow by the name of Herb Kelleher? As founder and former chairman of Southwest, Kelleher’s off-the-wall antics successfully established the mood for the company’s quirky culture. In one famously outrageous incident, in 1992, Kelleher and Kurt Herwald, chairman of Stevens Aviation went head-to head in an arm-wrestling competition over the rights to a slogan. Stevens Aviation was using their “Plane Smart” catchphrase for a year before Southwest inadvertently infringed on their rights with its “Just Plane Smart” campaign. The dual, scheduled for high noon, would proclaim one winner. Kelleher lost the match, but in a spirit of good will, Herwald granted Southwest permission for continued use of the tagline.

Kelleher gets the true power of humor. He knows it can disarm his competitors, dissolve hurt feelings, and mollify potentially litigious situation. He also knows that humor can ease customer frustrations and create positive associations that last.

To turn the farcical factor up a notch, for Halloween, you’ll even see Kelleher dressed as Dr. McDreamy of Gray’s Anatomy fame, and chief executive Gary Kelly dressed up as Edna Turnblad, the hefty housewife from the musical “Hairspray.”

Robert Half International, an executive recruitment firm, surveyed 492 professionals and found that 97% felt it is important for managers to have a sense of humor. Max Messmer, chief executive of Robert Half explained, “Managers who can laugh at themselves or difficult situations are often seen as more approachable and in touch with the challenges their teams face.”

It’s no doubt that Kelleher and Kelly are in touch with their people, and it’s this particular attitude that Southwest looks for in potential hires.

Ginger Hardage, Southwest’s Senior Vice President of Corporate Communications, explained, “What we try to show in our public relations and our advertising is the Southwest attitude. When we hire people, we look for that particular attitude.” A candidate on a job interview might be asked a question about the last time he or she used humor to pacify a tense situation. Hardage also recalls a time when a group of pilots showed up wearing traditional suits, but were told that only candidates wearing gym shorts would be interviewed that day. Sounds like a joke? To Southwest, humor is serious business. The pilots who changed into gym shorts got hired; the others went home. Hardage stated, “If people tend to be serious, stuffy and can’t laugh at themselves, then they probably won’t work out at Southwest.”

Punch Line the Bottom Line

Chris Robert, assistant professor of management at the University of Missouri-Columbia’s Robert J. Trulaske Sr. College of Business, studied the effects of humor in the workplace. With humor and positive emotions going hand-in-hand, there was also a strong correlation between positive emotions and workplace performance. Robert explains, “That’s where employee retention comes into it. If you have positive emotions about your job, you’re less likely to quit. And maybe part of that is because of the fun you’re having in the break room. You might get a better job offer, but it will take more to draw you away when you like where you work and you like the people you work with.”

Yet humor does more than create a happy workplace that increases productivity. Robert found that the use of humor is associated with two highly prized values: intelligence and creativity. He explains that humor traces its impact to incongruity. A joke is funny because two seemingly disparate things are connected in a way that makes them compatible. It parallels the process of creativity where ideas converge in a unique manner. With creativity flowing through the pipelines, innovation flourishes and businesses take on new heights.

When humor infuses the workplace, it becomes a breeding ground for happiness, productivity, creativity, and innovation. When employees are feeling positive, the customers catch onto the spirit and get the best ride of their lives.

In the words of Kelleher, the chief jester himself, “Humor rubs off on people. We don’t hire people to be funny, but we want them to keep their individuality, which makes them feel better about work and, in turn, makes them happier and more productive.”

So loosen up and let the laughter begin.

Apple, Making Friends From Foes

When the iPhone first released on June 29, 2007 there were lines of people in Mac stores across America waiting to be the first to pay $599—to touch its magical screen and make a phone call to a friend and scream “I got an iPhone!”

And there was another kind of person in those lines. This person could not wait to grab an iPhone, run home, and void their warranty immediately. Hundreds of developers, hackers, and power users were first in line to get their hands on an iPhone and start unlocking its full potential.

Since the first release of the iPhone people have been “jail breaking” and “unlocking” their iPhones by the hundreds of thousands. An iPhone that is “Jailbroken” can allow third party programs to be installed, such as games, karaokie machines, tip calculators, programming tools, and even a pretty stunning simulation of a guitar that could be played on the iPhone.

Other unique features of “unlocking” the iPhone include the ability to change settings in the phone, such as background images, sounds, and even the available service carrier.

In 2007 At a London Apple retail store where Jobs announced the iPhone’s Nov. 9 U.K. debut, He responded to a question about whether Apple would put a stop to the unlocking hacks that have mushroomed recently. “It’s a cat-and-mouse game,” said Jobs. “We try to stay ahead. People will try to break in, and it’s our job to stop them breaking in.”

When Apple first learned of the hack they released an update that would render “unlocked” iPhones useless, turning them into very expensive paperweights.

The hacking community did not stay still; within a day they had already found a way around the new update and hacked iPhones were working again. With every update that Apple has released, the community has found a way to continue to get the perks from Apple’s update while having their phones unlocked.

So what is Apple to do in a situation like this? Here is G4tv showing us one solution.

What Apple has done to help solve this problem is genius. The company decided to apply the Cult Branding golden rule of freedom and embraced their enemy.

Apple announced that they were releasing their SDK (Software Development Kit) to the public for free. But they went a step further too: Developers will receive 70% of the sale from their applications for the iPhone sold through the iTunes stores. Seventy percent represented an unprecedented earnings share and demonstrated a clear alliance with the hacker and development community. By being so generous with the developers Apple is extending their hand to all, they are helping to ensure the iPhone spot as the best handheld computer in the world.

With the release of the 3G iPhone, Apple is allowing the phone to be used in over 70 different countries, and eventually in the U.S with a different carrier other than AT&T. With over 1 million 3G iPhones sold on opening weekend and 70% of all sales, developers are starting to forget their hacking days and welcoming Apple as a new ally.

Of course there will always be the hardcore users who will never conform, but Apple’s strategy has helped them gain the trust and assistance of genius developers around the world. With this new addition to the iPhone developing team, the possibilities for the iPhone and its community are endless.

Apple has turned an enemy into a friend with a generous offer that seems too good to be true by industry standards. Apple is embracing the community that loves their product and all it has to offer. Instead of engaging in an endless battle with developers, Apple has opened the door to them.

There may be times when you might feel consumers are sabotaging your brand. You cringe at the thought of someone tainting your beautiful creation. Fear not. Make a friend out of a foe. Transform a saboteur into a brand evangelist.

Keep an open mind. Be ready to embrace change. Allow your best customers to co-create the future of your brand with you.

iPhone Deja vu

Ads proclaim, “The iPhone killer is here!” People are lining up,, eagerly waiting to be the first with the coolest new phone in the world. It sounds like déjà vu. This time, however, it’s not just happening in the US; it’s happening all around the world—and at the same time.

What product launch can be so big to get people in 21 countries to camp outside of their favorite store? Apples re-launch of the iPhone, of course.

With Apple’s launch of the 3G iPhone, the company is making their powerful brand even more accessible to the entire world. Apple’s worldwide success is not a coincidence; their brand stays true to itself across all of its touch points. With the iPhone’s 3G capabilities, multiple language keyboards, an exchange program that promises to be easy for all to use, and a beautiful design, it is no surprise that Apple is getting the same reaction as they always do.

New Zealand

The phone first went on sale in New Zealand where hundreds of people lined up outside stores in the country’s main cities to snap it up right at midnight (8 a.m. Thursday on the East coast ).

Japan

iPhone fever was strong, More than 1,000 people lined up at the Softbank Corp. store in Tokyo. The phone quickly sold out. Although Japan has phones that provide significantly greater functionality than the iPhone, people still gravitated to the iPhone’s magical allure.

“Just look at this obviously innovative design,” Yuki Kurita, age 23, said as he emerged from buying his iPhone, carrying bags of clothing and a skateboard he had used as a chair during his wait outside the Tokyo store. ”I am so thrilled just thinking about how I get to touch this.”

US: New York

Enthusiasm was running high in anticipation for the 8 a.m. launch of the new phone with a line numbering in the hundreds encircled the block at Apple’s Fifth Avenue store.

Apple learned a lot from their experience with the iPod and its dominance in the mp3 market. They are taking the same approach with the iPhone and making it the only real choice in the phone market. “The iPhone is just a superior user experience,” said Alex Cavallo, age 24, lined up at the Fifth Avenue store.

Apple has become a master at building anticipation and delivering killer products. This new release of the iPhone not only catered to those who didn’t have an iPhone but also for those who already have one. With the release of third party applications even the 1st Generation iPhone users have new toys to play with.

It’s not Déjà vu, and it certainly is not a coincidence. Apple announced after the first weekend that 1 million iPhone 3G devices have been sold, with earnings being reported at around $350 million in the first weekend. Apple continues to dominate their markets because they continue to provide their customers with unique products and experiences that can’t be found anywhere else in the world.