(Graham Brown mobileYouth) Customers Are The Brand

twitter: grahamdbrown www.CustomersAreTheBrand.com CUSTOMERS ARE THE BRAND

UNDER ARMOUR spent $25m promoting its cool range of sports clothing to savvy youth featuring Super Bowl ad placement. Results? Youth didn’t buy it; sales fell, stocks plummeted YOU CAN’T BUY INFLUENCE twitter: grahamdbrown www.CustomersAreTheBrand.com

MONSTER Yet, as we sink into recession, Hansen (Monster Energy Drinks) announced record profits. ALL OF THIS WITH NO ADVERTISING . HOW? IT’S MORE PROFITABLE PER EMPLOYEE THAN APPLE twitter: grahamdbrown www.CustomersAreTheBrand.com

THREADLESS 1 MILLION FOLLOWERS ON TWITTER 30% OPERATING MARGIN. $45M SALES. NO ADVERTISING. HOW? twitter: grahamdbrown www.CustomersAreTheBrand.com

twitter: grahamdbrown www.CustomersAreTheBrand.com

FROM PIPELINES TO PLATFORMS twitter: grahamdbrown www.CustomersAreTheBrand.com

ADVERTISING ISN’T THE BEST WAY TO REACH YOUTH. The Story that involves your Customer is more important than the one about your company, your logo and your reputation INTERRUPTION twitter: grahamdbrown www.CustomersAreTheBrand.com

FOR 50 YEARS MANAGING BRANDS WAS ABOUT LOGOS, REPUTATIONS, ADVERTISING, AWARENESS PIPELINES twitter: grahamdbrown www.CustomersAreTheBrand.com

FOR 50 YEARS WE’VE BEEN IN THE BUSINESS OF CONTROL CONTEXT twitter: grahamdbrown www.CustomersAreTheBrand.com

CONTROLLING THE STORIES WE TOLD ABOUT THE BRANDS TO SHAPE THEIR PERCEPTION OF VALUE mobileYouth® THE BIG IDEA twitter: grahamdbrown www.CustomersAreTheBrand.com

ADVERTISING TOOK THE EXTRACTS OF THE COLA NUT AND THE COCA LEAF AND CREATED THE WORLD’S MOST VALUABLE BRAND CREATIVES twitter: grahamdbrown www.CustomersAreTheBrand.com

CONTEXT ADVERTISING REINVENTED A ONCE-CURE FOR DYSPEPSIA twitter: grahamdbrown www.CustomersAreTheBrand.com

WE USED TO PAY ATTENTION. PAY ATTENTION. PAY ATTENTION AVE DAILY MINS OF MEDIA MULTITASKING IMMI 2008 AVE DAILY MINS OF TV VIEWING NIELSEN 2008 twitter: grahamdbrown www.CustomersAreTheBrand.com

WE USED TO TRUST WHAT THEY SAID. TRUST twitter: grahamdbrown www.CustomersAreTheBrand.com

twitter: grahamdbrown www.CustomersAreTheBrand.com Tell them you’re cool Tell them in a BIG way Keep telling them...

BUT NOW, EVERYTHING WE’VE TRAINED MARKETERS TO EXCEL AT MANAGING IS GRADUALLY BECOMING WORTHLESS BRAND twitter: grahamdbrown www.CustomersAreTheBrand.com

YOUTH DON’T WAKE UP THINKING ABOUT YOUR BRAND Unless you’re Google or Apple, it doesn’t happen. Get over it twitter: grahamdbrown www.CustomersAreTheBrand.com

FROM BRAND MANAGEMENT TO CUSTOMER EMPOWERMENT twitter: grahamdbrown www.CustomersAreTheBrand.com

IN THE FUTURE, STORYTELLING WILL BE ABOUT CUSTOMERS NOT BRANDS twitter: grahamdbrown www.CustomersAreTheBrand.com

THEIR CONVERSATIONS ARE FAR MORE INFLUENTIAL THAN OUR BRAND MANAGEMENT twitter: grahamdbrown www.CustomersAreTheBrand.com

twitter: grahamdbrown www.CustomersAreTheBrand.com WE ARE ALL SHAPED SOCIALLY

teens students young adults need to belong need to be significant Strength of consumer driver DRIVERS SOURCE MOBILEYOUTH REPORT 2009 HOW ARE YOU MAKING THEM SIGNIFICANT HOW ARE YOU MAKING THEM BELONG? twitter: grahamdbrown www.CustomersAreTheBrand.com

ANY COINCIDENCE STARBUCKS WAS BORN IN SEATTLE ? (THE US CITY WITH THE HIGHEST INBOUND MIGRATION RATE) ? ? ? ? ? ? ? ? ? “ we are the social network” CEO Howard Schulz = A LOT OF YOUNG PEOPLE UPROOTED, LOOKING FOR COMMUNITY

ENGAGEMENT twitter: grahamdbrown www.CustomersAreTheBrand.com

START LEADING twitter: grahamdbrown www.CustomersAreTheBrand.com STOP MANAGING

ARE YOU SUPPORTING OR INTERRUPTING THE CONVERSATION? twitter: grahamdbrown www.CustomersAreTheBrand.com

Customer is… Create context with… Role of the marketer Brand is… YOU CAN’T BUY INFLUENCE Destination for your marketing message The “Big Idea” Brand Management Logo, campaign, marketing capital Partners in its production Social Currency Customer Empowerment The Customer INDUSTRIAL PIPELINE MODEL SOCIAL PLATFORM MODEL twitter: grahamdbrown www.CustomersAreTheBrand.com

LONG TERM METRICS CRITICAL SUCCESS FACTORS twitter: grahamdbrown www.CustomersAreTheBrand.com

WHAT IS YOUR PRODUCT’S SOCIAL CURRENCY ? twitter: grahamdbrown www.CustomersAreTheBrand.com

YOU CAN’T BUY INFLUENCE ANYMORE YOU HAVE TO EARN IT twitter: grahamdbrown www.CustomersAreTheBrand.com

WHEN CUSTOMERS ARE THE BRAND twitter: grahamdbrown www.CustomersAreTheBrand.com

“ IF YOU ONLY FOLLOW THE RULES OF BUSINESS, THEN YOU’RE ALWAYS GOING TO FOLLOW WHAT YOUR COMPETITORS DO.” PETER VAN STOLK, FOUNDER JONES SODA

GREAT BRANDS DON’T ADVERTISE THEY BUILD A BEACHHEAD OF PASSIONATE FANS. MONSTER DOESN’T SELL ENERGY DRINKS IT SELLS THE ABILITY TO CONNECT CUSTOMERS 9% increase in profits for FY09 during recession. Revenue growth of $85m yoy. twitter: grahamdbrown www.CustomersAreTheBrand.com

1 MILLION MEMBERS OF THE MONSTER ARMY MORE PROFITABLE PER EMPLOYEE THAN APPLE BEACHHEADS twitter: grahamdbrown www.CustomersAreTheBrand.com

THIS HANDHELD CAMCORDER CAPTURED 13% MARKET SHARE WITH AN UNKNOWN BRAND UP AGAINST COMPETITOR SONY WITHIN 1 YEAR. MINIMAL ADVERTISING. HOW? BY INVOLVING YOUTH IN THE PRODUCT DEVELOPMENT AND MARKETING PROCESS. PURE FLIP twitter: grahamdbrown www.CustomersAreTheBrand.com

twitter: grahamdbrown www.CustomersAreTheBrand.com ORANGE ROCKCORPS 65% REPEAT RATE ON MARKETING 2008-2009 FOCUSED ON EMPOWERING INFLUENTIAL YOUTH BY GIVING THEM A SOCIAL PLATFORM TO BELONG AND BE SIGNIFICANT

twitter: grahamdbrown www.CustomersAreTheBrand.com #1 AIRLINE FOR CUSTOMER SATISFACTION 5 TH YEAR RUNNING (JD POWER) Jet Blue’s decision to take an employee’s idea of getting bloggers to recount their travel stories and create context around the brand interaction showed a remarkable degree of courage; Jet Blue both opened itself up to being pilloried by disgruntled bloggers as well as moving out of the “comfort zone” that defines what it is to be an airline or a product and start selling the context JET BLUE

twitter: grahamdbrown www.CustomersAreTheBrand.com JONES SODA “ WHERE AM I IN THIS STORY?” JONES SODA KNEW THAT PUTTING THE CUSTOMER’S PICTURE ON THE LABEL OF THE BOTTLE WAS FAR MORE RELEVANT THAN BRITNEY. JONES BELIEVED THE CUSTOMERS OWNED THE BRAND

“ PEOPLE GET FIRED UP ABOUT JONES BECAUSE IT’S THEIRS” (PETER VAN STOLK) twitter: grahamdbrown www.CustomersAreTheBrand.com

“ The Reality is that Consumers don’t need our s***” twitter: grahamdbrown www.CustomersAreTheBrand.com PETER VAN STOLK, FOUNDER JONES SODA

SLASHED ADVERTISING BUDGET FROM 5% OF REVENUES (2000) TO 1.2% (2009) APPLE twitter: grahamdbrown www.CustomersAreTheBrand.com

Dialogue: customers feel the brand is taking notice of what they are saying and making changes whether that be making youth the spotlight of the interaction of evolving the product lines Leadership: the brand sets the tone, implies the values of the platform and then backs off to allow customers to take control of the conversation A permission asset : a platform - online community, ongoing event, ongoing competition or social program that enables brand people and young customers to interact at a meaningful level Creating a Movement Partnership means creating a movement – a marketing strategy not tied to the start/stop of a campaign but an ongoing dialogue based on a permission asset that continues to generate word of mouth beyond a traditional campaign. “ Kristina has a thirst for travel, and itch for adventure, and a slight addiction to broadcasting her life and thoughts in various forms on the Internet” 3m Twitter instances 50,000 “potential” customers 20% saving in ad spend SOURCE: FORD 2009 TYPICAL “AGENT” FORD FIESTA MOVEMENT twitter: grahamdbrown www.CustomersAreTheBrand.com

HIGH VISIBILITY ADVERTISING MAY NOT ONLY BE INEFFECTIVE, IT COULD BE DAMAGING TO YOUR BRAND twitter: grahamdbrown www.CustomersAreTheBrand.com

THE BEST MARKETING STRATEGIES ARE LONG TERM FOCUS ON GRASS ROOTS ACTIVITY twitter: grahamdbrown www.CustomersAreTheBrand.com

FOCUS ON HOW YOU ARE GOING TO SUPPORT NOT INTERRUPT THEIR CONVERSATIONS. HOW ARE YOU GOING TO MAKE ME BELONG? HOW ARE YOU GOING TO MAKE ME SIGNIFICANT? twitter: grahamdbrown www.CustomersAreTheBrand.com

Are you marketing to or Are you marketing with ? twitter: grahamdbrown www.CustomersAreTheBrand.com

Want mobileYouth to present at your company/conference? Click Here twitter: grahamdbrown www.CustomersAreTheBrand.com

Graham Brown mobileYouth.org Youth Marketing Mobile Trends Ideation + Research twitter: grahamdbrown www.CustomersAreTheBrand.com

For FREE Youth Trends Reports visit: YOUTHTRENDSREPORT.COM

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(Graham Brown mobileYouth) Customers Are The Brand

by Graham Brown (mobileYouth) on Nov 07, 2009

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(Graham Brown mobileYouth) Customers Are The Brand — Presentation Transcript