Godin, Are You Serious?

Leander Kahney’s latest book Inside Steve’s Brain, a look at what makes Steve Jobs tick, made me stop, jump out of my seat, and shout, “Are you serious?” It wasn’t caused by a sudden revelation or a scandal; it came from a passage clipped from an interview with Seth Godin:

Not everyone loves Apple’s advertising. Seth Godin, author of several best-sellers about marketing, said Apple’s advertising has often been mediocre. “I’m underwhelmed by most of Apple’s advertising,” he told me by phone from his office in New York. “It’s not been effective. Apple’s advertising is more about pandering to the insiders than acquiring new users. If you have a Mac, you love Apple’s advertising because it says ‘I’m smarter than you.’ If you don’t have a Mac it says ‘you’re stupid.’”

Apple’s advertising is not effective. Really? Are you serious?

On an anecdotal level, I’m sure most of you know someone who has switched to an Apple computer in the past few years. But, how many of you know someone who has switched back? I don’t. Recently I watched a friend, who doesn’t own a cell phone, drop to floor in the middle of an iPhone commercial and start to proclaim how much he needs one.

Anecdotes are one thing and market numbers are another. But in this case, they both show the same thing. The first fiscal quarter of 2008 showed a 35% year-over-year growth in revenue, up $2.5 billion from the previous December, posting the most successful quarter in Apple’s history. The second fiscal quarter results surpassed Apple’s first quarter predictions with a 32.9% year-over-year growth, marking the strongest March quarter in Apple’s history. And, remember, this growth is occurring during an economic downturn.

Surely this growth isn’t coming at the hands of lifelong, hardcore Apple loyalists. Twenty-five percent of our office last year used Apple Computers; this year it’s 100%. We’re not the only ones: Investment bank Morgan Stanley reported that 40% of college students plan to make their next purchase an Apple computer, a full 25% increase in that market share over current statistics, which is likely to have an effect on the work force after these students graduate. And, even Godin has recognized how ubiquitous Apple computers have become.

If it’s not the advertising, then, surely it must be the technology. But, if the history of inventions is any indication, the best technology doesn’t always win. And, it seems Godin would agree. In a 2006 talk for Google, Godin told Google: “What I want to sell you really hard on is not that technology wins, ‘cause I don’t think it does, I think what technology does is that it gives you a shot at marketing. And, if you don’t buy into that then I believe that the company sooner rather than later is going to smash into a wall.”

So Godin’s essentially saying that Apple’s advertising isn’t effective, but technology only succeeds if the marketing works. And, Apple’s obviously succeeding. I’m not sure I follow the logic.

Rather than being ineffective, I’d consider Apple’s advertising brilliant. Most new converts got hooked into the Apple brand through the iPod and the silhouette-dancing ads. These ads are some of the most inviting ads in the last decade: anyone can picture themselves as the faceless figures rocking out to their own tunes. The message is obvious: if you love music, come in.

Once you’ve already bought into the brand, why wouldn’t you want to stand out as a person making the best choice? This is what the advertising for these computers reflects: Apple is the better choice. And, sooner or later, if you don’t already have an Apple computer and you’ve already bought into the Apple brand, you’re going to want one to go along with that iPod or iPhone. Apple stores are even set up with this in mind: try the iPod or iPhone and while you’re at it why don’t you play with that pretty computer sitting next to it.

Apple’s advertising, as I see it, is really a two-pronged approach: (1) invite you in with the iPod advertising and (2) keep you there with the computer advertising. One makes you want to come in, and the other makes you want to stay there, all while keeping true to the brand’s identity.

Ineffective? Anything but.

Talk is Cheap. Gossip is Priceless

Beware of Word-of-Mouth Marketing

ORLANDO, Fla. – From water-cooler conversations about American Idol to once-popular-but-quickly-forgotten products like Beanie Babies, what makes consumers talk about some brands and not others? One study by the Keller Fay Group, a word-of-mouth market research company, revealed that over 32 million consumers are considered WOM leaders and generate 1.5 times more conversation about products than a normal consumer. As the emphasis on word-of-mouth marketing increases are there secrets to harnessing the power of word-of-mouth marketing?

Marketing expert and partner at Nonbox Consulting, BJ Bueno believes the answer resides in the kind of experiences a product or service creates for a customer. His latest release, Why We Talk: The Truth Behind Word-of-Mouth (Creative Crayon Publishers, February 2007, ISBN: 0971481539, $24.95), provides seven principles to creating amazing customer experiences–the kind of experiences that prompt customers to talk. Most marketers have focused on WHAT people talk about but have ignored 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.

“Perhaps the most important skill in business is not strategic planning, or marketing savvy, or risk management, or investment analysis. Rather it is simply the ability to LISTEN,” says Darryl Cobbin, Chief Marketing Officer and Vice President at Boost Mobile. “Why We Talk compellingly and elegantly illuminates why listening to your customers with your eyes, your heart, and your instincts is more important than listening exclusively with your ears.”

As a guest, Bueno can discuss:

  • How to generate authentic product gossip
  • The seven principles to sparking customer conversations
  • Why hiring “fake fans” does not work
  • How to successfully deliver your message in our “hypersonic-word-of-mouth world”

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. 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.


The Forces Behind Customer Loyalty

Understanding how branding influences decisions

(ORLANDO, Fla.) What attracts people to a particular brand? What motivates their loyalty to a product, or to the brands their parents bought? Why do Oprah, Apple, Jimmy Buffet, WWE, and Star Trek have such a huge following? Marketing consultant and cult- branding expert BJ Bueno’s book, The Power of Cult Branding: How 9 Magnetic Brands Turned Customers into Loyal Followers (Random House/Crown Business, ISBN: 0-7615-3694-9, $24.95), is a fascinating look at how some of the most popular brands created the right combination of position and branding to develop remarkably loyal fans.

The Power of Cult Branding is a fantastic guide for marketers or anyone involved in business wishing to reach their target audience and turn them into repeat customers. It is a smart and savvy presentation of what it takes for a brand to win the positioning battle in today’s crowded marketplace. By presenting case studies of highly successful brands such as Harley Davidson, Volkswagen, and Linux, the book uses tangible examples of success that all marketers aspire to achieve.

“A masterfully instructive book on what it really takes to build a powerful brand today. It should be required reading for students at the country’s top business schools. I recommend it wholeheartedly to entrepreneurs, executives, visionaries, and managers, who should not just read it, but also live by it!” – Edward P. “Ned” Grace III, managing director, Grace Venture Partners

As a guest, Bueno can discuss:

  • What makes a product fascinating to consumers
  • The psychology of marketing and branding
  • The values upon which powerful brands are built and how they connect with human needs
  • The roles customers play in determining whether a brand succeeds
  • Why customers and stores become crazed during the holiday shopping season
  • The branding war during the holidays

Bueno is an innovative marketing consultant and cult-branding expert. He has successfully delivered keynote speeches to the Harvard Business School and other top universities throughout the world, as well as Fortune 500 companies. He is a member of the Retail Advertising & Marketing Association (RAMA) and on the Chief Marketing Officers (CMO) board for top international retailers, which advises companies like Target, Wal-Mart, Washington Mutual, Toys-R-Us and JCPenney. Bueno currently lives in Orlando, Fla. where he enjoys studying and helping clients connect and build relationships with their customers.

For more information, please visit: cultbranding.com/blog