A Manifesto On Neuromarketing, Or How To Get Inside The Mind Of Today's Consumers And Win Them Over

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Sensory and social approaches for getting inside the minds of today's Generation X and Generation Y consumers. Hardhitting marketing that emphasizes stimulation of the five senses and social needs …

Sensory and social approaches for getting inside the minds of today's Generation X and Generation Y consumers. Hardhitting marketing that emphasizes stimulation of the five senses and social needs and values of GenX and GenY. Includes a section on both effective and ineffective advertising and promotions to reach the GenX and GenY.

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  • 1. PBT Consulting Strategic Marketing, Business Planning, Research, Venture Capital and Financing Home Archives Profile Subscribe « NBCS SATURDAY NIGHT LIVE ADJUSTS PROGRAMMING TO APPEAL TO A ABOUT MOST RECENT PHOTOS GROWING BABY BOOMER PRIME-TIME TV AUDIENCE | Main | INFOGRAPHIC: 150 YEARS OF MASSACHUSETTS INSTITUTE OF TECHNOLOGY (MIT) ALUMNI » 04/11/2011 A MANIFESTO ON NEUROMARKETING, OR HOW TO GET INSIDE THE MIND OF TODAYS CONSUMERS AND WIN THEM OVER MY OTHER ONLINE SITES LinkedIn: turk5555 MySpace: tooshyniceguy Other...: http://www.pointblankbusinesstechnology.com/BusinessPlanInquiry.htm Twitter: turk5555 YouTube: cabrone5555   RECENT POSTS It takes more than a fancy logo, fancy catch phrase or brand character to connect with todays consumers.  Today, what counts far more than a puma, a monkey, or a  FACEBOOK AND BAIDU, snarling aardvark is the cross-sensory experience your brand offers.  Its not just the  CHINAS SEARCH ENGINE emotion, beliefs, personality and desires your brand evokes, but its feeling, touch, GIANT, FORM PARTNERSHIP TO BUILD A NEW CHINESE SOCIAL view, sound and smell, of which the logo is just one small part.  NETWORK When marketing to todays Generation Y (a.k.a. Millennials) and Generation X consumers NUCLEAR POWER PLANT its very important for marketers to use a sensory marketing approach that appeals to the CONSTRUCTION PLAGUED BY five senses:  sense: hearing, sight, touch, smell, and taste and fulfills their social needs or  COST OVERRUNS, LONG values. DELAYS AND LACK OF PRIVATE FUNDING The sensory marketing approach has given rise to the science of neuromarketing, a new  OUT-OF-HOME ADVERTISING field of marketing that studies consumers sensorimotor, cognitive, and affective SPENDING UP BY 4.1% IN 2010, response to marketing stimuli.  In effect, getting inside the head of the consumer.  BUT EYES ON MEASUREMENT  Neuromarketing has often been equated with brainwashing, an evil concept if there ever METRIC NOT WITHOUT was one, which results in the forced modification of human behavior by repeatedly CONTROVERSY exposing individuals to the same stimuli over-and-over again.   WINKLEVOSS TWINS SECOND LAWSUIT AGAINST ZUCK AND Neuromarketing has been used very successfuly in the political arena, where candidates FACEBOOK DISMISSED BY U.S. for public office use "negative" advertisements that paint their opponent as "soft" on a COURT OF APPEALS popular political issue (e.g. national defense, crime enforcement, etal) or "for" an FORRESTER RESEARCH: unpopular political issue (e.g. abortion, universal healthcare, etal).  If voters are continually  MOBILE APP REVENUE TO told that Barack Obama is not a legal American citizen or is a muslim, a lot of people will REACH $38 BILLION BY 2015 eventually believe that as true.  Both parties are guilty of using negative ads, but I wont  DUE TO EXPLOSION IN get into political issues. SMARTPHONES AND TABLETS INFOGRAPHIC: 150 YEARS OF Without reallly realizing it, marketers have been using neuromarketing for quite some MASSACHUSETTS INSTITUTE OF time. When you come to think about it, a firms brand equity, is really the sum of all the TECHNOLOGY (MIT) ALUMNI influences, both sensory, emotinal and social that consumers connect with a brand.  No  where is this more importan5t than when marketing to Generation X and Y.   This is based  A MANIFESTO ON NEUROMARKETING, OR HOW TO on my observance of human behaviors especially among Millennials and Gen-X because GET INSIDE THE MIND OF they are both sensory and social animals.  They are very susceptible to sensory  TODAYS CONSUMERS AND WIN stimulation and place very high value on social interaction and relationships.    In fact, I  THEM OVER have developed a manifesto or marketing strategy built on two pillars:   NBCS SATURDAY NIGHT LIVE l Sensory Approach - A marketing approach that involves the five senses: sight, ADJUSTS PROGRAMMING TO APPEAL TO A GROWING BABY hearing, smell, taste and touch.  BOOMER PRIME-TIME TV l Social Approach - A marketing approach that involves the social needs of the AUDIENCE individual. VENTURE CAPITAL INDUSTRY It has been my experience that employing only a sensory approach will not prove as COOL ON THE IDEA OF THE SEC successful, and that marketers must integrate a social approach into the equation.  Trust  EASING RULES ON SALES OF me, you do not want to get this part wrong.   PRIVATE COMPANY STOCK MARKETERS BEWARE: In developing my manifesto, I discuss the general marketing principles I have employed in MARKETING TO BABY marketing to Gen-Y and Gen-X,  and the best and least successful advertising and  Page 1 / 6http://tommytoy.typepad.com/tommy-toy-pbt-consultin/2011/04/it-takes-more-than-a-fancy-logo-fancy-catch-phrase-or-brand-character-to-connect-with-todays-consumers-today-what-counts-f.html
  • 2. BOOMERS REQUIRES PATIENCE, promotions strategys that should be used for both demographics.          TACT, RESPECT AND THE RIGHT APPROACH Marketing To Gen-Y and Gen-X  RECENT COMMENTS GENERATION-Y MARKETING APPROACH Tommy on HOW MUCELL®      MICROCELLULAR FOAMING TECHNOLOGY FOR INJECTION MOLDING MAKES THINGS Gen-Y consumers are the most ethnically diverse of all demographics.  Gen-Y’s are interested in pop STRONGER AND LIGHTER culture, being part of the latest fad, things or activities that are trendy, hip and cool, experiencing new tastes, listening to the latest music, wearing the trendiest clothes, playing the latest online games, MTD Micro Molding on HOW interacting and communicating with their friends, expressing their opinions and showing off.  Their friends MUCELL® MICROCELLULAR are very important and part of their social DNA.  They ignore traditional advertising and rely more on word- FOAMING TECHNOLOGY FOR of-mouth.  Gen-Y’s are the “we want it now” generation and interested in immediate gratification.  Gen-Y’s INJECTION MOLDING MAKES work hard until they get bored.  Gen-Y’s are less brand loyal and always looking for a good value.  These THINGS STRONGER AND qualities require a marketing approach that is both sensory and social.    LIGHTER chandler defense lawyer on FOLLOWING THE TRAIL OF     KNOCK-OFF DESIGNER HANDBAG FROM CHINA TO THE The Sensory Approach The Social Approach U.S. Emery Sprau on EILEEN FISHER: HOW THE WOMENS FASHION     DESIGNER BUILT A $300 MILLION EMPIRE The sensory  marketing approach involves the five The social  marketing approach involves satisfying a Emery Sprau on UNIQLO, senses: sight, hearing, smell, taste and touch.   Gen-Y’s need for social interaction and being part of JAPANS TOP FASHION          social groups or communities. RETAILER, GOES BACK TO BASIC FUNCTIONAL CLOTHES     AND EXPANDS INTERNATIONALLY Marketers must be aware of the importance of the Gen-Y’s are social animals so marketers must Tommy on DISCOVERY: 70 five senses in reaching Gen-Y’s.  Gen-Y’s must be incorporate social elements into the design of a LITTLE ANCIENT BOOKS WITH sold on the great taste, texture, aroma, look and business whether it is a website, retail or eating LEAD PAGES BOUND IN WIRE quality of a food product (taste, smell, sight and establishment.  Businesses are no longer solely for COULD REVEAL THE REAL touch).  By the same token, Gen-Y’s would be shopping, eating or drinking, but places to meet friends, TRUTH ABOUT CHRISTIANITY attracted to a new electronic music gadget by its hangout, read a book, surf the Net, socialize and Bible Girl on DISCOVERY: 70 overall design, sound quality and features (sight, exchange gossip.  Facebook, MySpace and YouTube  LITTLE ANCIENT BOOKS WITH touch and hearing).  The Internet with its  are excellent examples of social networking sites that LEAD PAGES BOUND IN WIRE compelling digital imagery, video and sound is a appeal to a Gen-Y’s need to network and interact with COULD REVEAL THE REAL natural media channel for Gen-Y’s as it offers others.  Starbucks, Abercrombie & Fitch, Borders, TRUTH ABOUT CHRISTIANITY elements of all five senses.  Gen-Y’s are among Steve Madden, American Eagle and Best Buy are the heaviest users of the Internet for news, excellent examples of retail establishments that what is water pollution on information, entertainment and interacting with incorporate social design elements like cool and trendy INFOGRAPHIC: THE WORLDS others.  store interiors, the latest in fashion and electronic DRINKING WATER CRISIS, gadget’s, piped in music, visual displays, and in-store POLLUTION AND WATER food and beverage facilities.              SCARCITY REACHING EPIDEMIC PROPORTIONS what are the effects of global     warming on INFOGRAPHIC: A GLOBAL WARMING MAP THAT In the case of a business establishment, whether Gen-Y’s are notorious multi-taskers who communicate SHOWS HOW COUNTRIES ARE brick-and-mortar or digital, Gen-Y’s must be sold with their friends and relatives by telephone, text BEING AFFECTED IN 2010 AND on the convenience, product selection, atmosphere messaging, instant messaging (IM) and mobile devices WILL BE BY 2030 and total experience that the business like smartphones and iPhones. They interact by sharing Charles on IMAGE OF WHAT establishment offers (sight, hearing, smell and video’s and music, rating products, services and APPEARS TO BE JESUS CHRIST touch).  The success of eBay, Starbucks, business establishments and posting comments over APPEARS ON LEAD BOOK Facebook, Myspace and Borders are excellent the Blogosphere. Gen-Y’s have an insatiable desire to COVER, VATICAN REFUTES examples of brands that have capitalized on the interact with others and are the driving force behind AUTHENTICITY importance of the five senses in developing online social networks like YouTube, MySpace and successful products and services.          Facebook and Starbucks.  ARCHIVES     April 2011 GENERATION-X MARKETING APPROACH March 2011 February 2011     January 2011 December 2010 Gen-X marketing requires elements of high perceived value, quality, purity, less hype, more facts and a marketing message that is honest and straightforward.  Gen-Xers are cynical about advertising.  Less  November 2010 likely to be taken in by fads or product hype, and more likely to say, “show me”.  Their tastes and October 2010 preferences overlap with both Gen-Y’s and Boomers, making them an elusive target.  They are less brand  loyal that boomers, and more likely to experiment with other brands, new drinks and foods.  Gen-Xers are September 2010 very technologically savvy.  They tend to be first adopters of the latest electronic gadgets like iPods and August 2010 iPhones.  Gen-Xers support social causes like the environment and world hunger.  They enjoy social events, leisure activities and get-togethers with family and friends.  They are known as the “family-first”  July 2010 generation because they value their family over their jobs.  Success with Gen-Xers requires a marketing More... approach with less hype, more facts and a social approach centered around quality of life, social causes and importance of friends and family.                          CATEGORIES     Advertising Less Hype, More Facts Approach The Social Approach Aeronautics and Space Agriculture     Apparel and Accessories Archaeology Gen-Xers are interested in less hype and more Gen-X have a social need that is grounded in placing a Page 2 / 6http://tommytoy.typepad.com/tommy-toy-pbt-consultin/2011/04/it-takes-more-than-a-fancy-logo-fancy-catch-phrase-or-brand-character-to-connect-with-todays-consumers-today-what-counts-f.html
  • 3. Architecture and Construction facts and figures.  They are interested in knowing premium on quality of life, leisure activities, social the nutritional value of a food product: How many causes, strong parental and family values and Art and Design calories, how much fat, cholesterol and nutrients a spending time with family and friends. They enjoy Automobiles and Transportation product contains.  Gen-Xers look for products with family get-togethers, activities and socializing with their high perceived value and quality like the fuel- friends.    Marketers must incorporate social elements Beauty and Hair efficiency of Japanese cars and durability of whether they are an online, retail, eating or Bicycles German-made automobiles. Gen-Xers take delight entertainment establishment.  Businesses that have in experiencing new foods, beverages, films and succeeded in doing this include McDonald’s (children’s Bioscience products.  It is best to deal with Gen-Xers in an playgrounds), Las Vegas Hotels & Casino’s (electronic Blogs honest, respectful and straight forward manner.   games, rides and attractions), Disneyland (family- Gen-Xers seek products and services that are oriented rides and attractions), Gymboree (early Books relevant, solve a problem or fill a real need in the childhood development programs), Target (family- Childrens Social Development marketplace and offer a high value-added oriented merchandise and refreshments), component: Superior quality, design, durability, DisneyOnlineForFamily.com (Disney entertainment for Computers and Accessories features and convenience. the entire family) and BabyCenter.com (Young mothers Consumer Packaged Goods with infants),    Advertising that works with Gen-Xers include ads depicting the crash safety of Volvo cars Consumers and high performance of Michelin tires fit in perfectly Crime with Gen-X’s strong parental values.              crowdfunding and crowdsourcing Advertising & Promotions Strategy Current Affairs Although there is some overlap between Gen-X and Gen-Y, they differ in lifestyle and are Demographics and Lifestyle difficult to reach through traditional media channels, requiring: 1) commercial messages Segmentation and content that is relevant to their social and psychological needs, 2) selecting the Digital and Video Content Sharing appropriate media channel for each group and 3) carefully targeting our advertising and Earth and Environment promotions to insure we reach them most cost-effectively.    eCommerce REACHING GENERATION-Y Economy Education and Information MOST EFFECTIVE MARKETING CHANNELS Energy and Green Technology Entertainment     Espionage l Internet Advertising - Gen-Y’s spend l Viral Marketing - Gen-Y’s go online and Fashion and Style more time online than watching rely on word-of-mouth to obtain product Film television, reading publications or and information, so it is vital that firms have newspapers.  62% of Gen-Y’s watch TV a great website that is fully-optimized for Finance programs episodes online. Gen-Y rank the search engines and listed in all the major Firearms and Armaments highest in joining social networking search engines. Firms should have a communities, viewing and uploading online promotional page on popular social Food and Drink videos, downloading music, playing online networking sites like MySpace, Facebook Foodservice games sending instant and text messages and Twitter and video sharing sites like and reading online blogs.  Popular Gen-Y YouTube. Franchising sites include: Furniture l Street Marketing – Gen-Xers enjoy new l Online Social Communities:  MySpace , experiences and street marketing is a great Games Facebook and Bebo way to create marketing buzz and reach Geography l Video Sharing: YouTube, Veoh, Break, them face-to-face. Street marketing include ManiaTV, Hulu  and MetaCafe. neighborhood promotional stunts, free Government and Regulatory product samplings, and rollouts in specific l Online News and Information: Diggs, Health and Medical Technorati and StumbleUpon. venues (street fairs, music festivals, concerts, college campuses, bars and History l And a large broad array of Blogs.  clubs, etc).  This is also a great way to  Hospitality Marketers can achieve success reaching Gen-Y’s by pass out flyers, free offers and discount targeting websites where they are likely to coupons. Household Consumer Items congregate and socialize.   Information Technology Insurance     International   Internet l Contests and Sweepstakes – Gen-Y’s are wild about winning a contest or receiving a Inventions gift, especially something meaningful like an IPOs and Investments iPod, concert tickets, vacations, cell phones and FREE sample servings.  This is a great  Legal way to increase store traffic, create brand Luxury Goods awareness and get them to try a product.     l Flyers and Discount Coupons – These Magazines, Newspaper and should be incorporated into a firm’s street Publications marketing as a way to create excitement, Management and Human interest and additional traffic. “ONE FREE Resources PIZZA” and “BUY-ONE, GET ONE FREE”  Manufacturing and Prototypes coupons work the best.                      Marketing     Mental Health and Psychology Military and Wars   l Paid Search – Nearly 90% of Gen-Y’s use Mining, Metals and Minerals online search engines like Google, Yahoo Mobile and MSN Live Search  to find online  information, news and entertainment sites.   Music l Radio Advertising – Radio ranks third for Natural Catastrophes and Gen-Y’s in hours per week behind the Events Internet and TV as their preferred media.   Marketers should incorporate targeted radio News and Information into its media mix picking stations with the Nuclear Energy and Radiation largest reach and most effective CPM’s. Oil Outdoor Products     Page 3 / 6http://tommytoy.typepad.com/tommy-toy-pbt-consultin/2011/04/it-takes-more-than-a-fancy-logo-fancy-catch-phrase-or-brand-character-to-connect-with-todays-consumers-today-what-counts-f.html
  • 4. Parenting l Mobile Advertising – Gen-Y’s are the biggest users of iPhones, Smartphones and portable Pet Products and Health Care multimedia devices like iPods. Gen-Y’s prefer text message over email and this is a great way to Pharmaceuticals reach them through one of their most preferred methods of communication.   Photography Politics     Product Design and Development LEAST EFFECTIVE MARKETING CHANNELS Public Relations Radio Frequency Identification RFID     Real Estate l Television, Direct Mail, Publications and Newspapers – Gen-Y’s cannot be reached Relationships and Marriage effectively through traditional marketing channels.  Direct mail, magazine ads, newspaper ads and Religion television advertising does not work well with Gen-Y’s.  They do not respond to he marketing messages that appeals to their parents and grandparents.  A Gen-Y’s favorite TV programs Restaurants  include sitcoms Friends and Seinfeld, reality TV shows Survivor and Project Runway, Retailing Animated TV shows The Simpsons, Music contest shows like American Idol, music video programs like MTV and TV comedy shows like The Daily Show With Stewart., just to name a Robotics few.  Science Search Engines    Security Systems and Devices Sex and Mature Content REACHING GENERATION-X Social Causes Social Networks MOST EFFECTIVE MARKETING CHANNELS Software     Sports Technology l Internet Advertising - Gen-Xers are No 2   Telecommunications behind Gen-Y’s in spending time online than watching television and reading l Street Marketing – Gen-Xers enjoy Television publications or newspapers.  57% of Gen- new experiences and street marketing is Textiles Xers watch TV programs episodes online. Gen- a great way to create marketing buzz and Xers are just behind Gen-Y’s in joining social reach them face-to-face. Street marketing Toys networking communities, viewing and uploading include neighborhood promotional stunts, Transportation online videos, downloading music, playing free product samplings, and rollouts in online games sending instant and text specific venues (street fairs, music Travel messages and reading online blogs. Gen-Xers festivals, concerts, college campuses, UFOs and Extra-Terrestrial over forty represent the largest segment online etc).  This is also a great way to pass out Beings gambling. Popular Gen-X sites include: flyers and discount coupons.  Utilities l Online Social Communities:  MySpace , Venture Capital and Facebook, Twitter and Bebo Entrepreneuring l Video Sharing: YouTube, Hulu, Veoh, Break, Weather ManiaTV  and MetaCafe. l Online News and Information: Diggs, Web/Tech Technorati and StumbleUpon. Weblogs l And a large broad array of Blogs. World Affairs l Viral Marketing - Gen-Xers trust themselves and the opinion of their friends and rely World Records testimonials and word-of-mouth on product and services. It is important that firms have a great website that is fully-optimized and listed in all Add me to your TypePad People the major search engines. Firms should have a list promotional page on popular social networking sites like MySpace, Facebook and Twitter, and run online ads on popular video sharing sites like YouTube and Hulu. Subscribe to this blogs feed     Blog powered by TypePad   l Contests and Sweepstakes – Gen-Xers enjoy Blog powered by TypePad winning a contest or receiving a gift, especially Member since 09/2010 something meaningful like an iPod, iPhone, concert tickets and FREE sample servings.  This  is a great way to increase store traffic, create brand awareness and get them to try a firm’s products.     l Flyers and Discount Coupons – These should be incorporated into a store’s grand opening and street marketing as a way to create excitement, interest and additional store traffic.  Women with children, in particular, are attracted to discount coupons if there is high perceived value in the offer. Offers that work most often include “ONE FREE DESSERT”, “BUY-ONE, GET ONE FREE” and “BUY-ONE- ADULT serving and receive ONE-FREE child serving.       l Direct Mail – Direct mail works best for older Gen-X (Over 35) men and women, especially with children.  The offer must be compelling,  without a lot of hype, and sold on the basis of high perceived value or in support of a social cause.  Some offers that work best include Page 4 / 6http://tommytoy.typepad.com/tommy-toy-pbt-consultin/2011/04/it-takes-more-than-a-fancy-logo-fancy-catch-phrase-or-brand-character-to-connect-with-todays-consumers-today-what-counts-f.html
  • 5. “FREE AIR FARE” or “10% OF PROFITS GOES TO SAVE-THE-WHALES”.                            l Paid Search – Nearly 90% of Gen-Xers use online search engines like Google, Yahoo and MSN Live Search to find information, news and entertainment sites.  Paid search is an effective way to reach Gen-Xers and drive traffic to a firm’s website.       l Radio Advertising – Older Gen-Xers (Over 30) rank the highest in listening to the radio for music, news and information.  Marketers should  incorporate targeted radio into its media mix, selecting stations with the largest reach and most effective CPM’s. l Mobile Advertising – Young Gen-Xers (25- 30), like their Gen-Y counterparts, are the biggest users of iPhones, smartphones and portable multimedia devices like iPods. Younger Gen-Xers prefer text message over email and this is a great way to reach them through one of their preferred methods of communication. Marketers should incorporate mobile advertising into its media mix.      LEAST EFFECTIVE MARKETING CHANNELS     l Television, Radio, Direct Mail, Publications and Newspapers – Gen-Xers are stuck in the middle between Gen-Y’s and Boomers so there are some overlaps with both generations, making them an elusive target.  Younger Gen-Xers cannot be reached effectively using traditional marketing channels like direct mail, print ads, newspapers, radio and television advertising.  Older Gen-Xers (over 35) can be reached through direct mail, radio and television as their media tastes are similar to Boomers in many respects. Gen-Xers are impervious to the marketing messages that appeals to Boomers, who they treat with some resentment.  Favorite TV shows of Gen-Xers include prime-time shows like ER, CSI, Friends, reality TV shows like Survivor and The Apprentice, animated shows likeThe Simpsons, music video shows like MTV  and TV comedy  shows like The Daily Show. With Stewart., and late night talk shows like David Letterman and Conan O’brien just to name a few.  I first developed my manifesto for marketing to Gen-X and Gen-Y in 2006/2007, at about the time that social networking really began to take hold, and I realized then that in order to successfully market to these two generatioins, a social approach was also needed.    So far those observations have proven to be correct.   Although my manifesto is albeit a  bit dated, the basic concepts of neuromarketing work for all demographics.      If you are marketing to Millennials or Gen-Xers you might be interested in reading some of the following blog articles: l 9/24/10 - "IN ORDER TO ENGAGE WITH TODAYS GENERATION Y YOU MUST MAKE IT AN EVENT" l 10/1/10 - "GENERATION-Y IS QUITE LITERALLY A "WIRED" GENERATION OF TECH SAVVY AND SOCIAL NERDS" l 12/18/10 - "MARKETERS NEED TO CUT THE CLUTTER TO ACHIEVE SUCCESS WITH TODAYS COLLEGE STUDENTS" Courtesy of Tommy Toy, PBT Consulting Posted at 10:52 AM in Advertising, Consumers, Demographics and Lifestyle Segmentation, Marketing, Mental Health and Psychology, Social Networks | Permalink Technorati Tags: advertising, brainwashing, Gen-X, Gen-y, generation x, generation y, marketing, neuromarketing, online social networks, social marketing, social media, social networks Favorite Reblog (0) Comments You can follow this conversation by subscribing to the comment feed for this post. Post a comment Name: Email address: URL: Page 5 / 6http://tommytoy.typepad.com/tommy-toy-pbt-consultin/2011/04/it-takes-more-than-a-fancy-logo-fancy-catch-phrase-or-brand-character-to-connect-with-todays-consumers-today-what-counts-f.html
  • 6. Comment: 5 6 Submit PBT Consulting Powered by TypePad Page 6 / 6http://tommytoy.typepad.com/tommy-toy-pbt-consultin/2011/04/it-takes-more-than-a-fancy-logo-fancy-catch-phrase-or-brand-character-to-connect-with-todays-consumers-today-what-counts-f.html