This handout is an accompaniment to my keynote presentation on my new book "Monster Loyalty: How Lady Gaga Turns Followers into Fanatics." More on the book here: http://jackiehuba.com/books/monster-loyalty/
In the universe of customers, we have new customers, existing customers, and the
super-engaged loyal customers, who advocate to others on our behalf.
Gaga focuses on those advocates, the 1% of the fan base that are the most loyal. The
One Percenters is based on the 1% Rule research from my book, Citizen Marketers.
9 Monster Balls
5 BTW Balls
1st in line BTW Ball
Not all of Gaga’s fans are teenagers and young people in their 20‘s. One of Gaga’s
One Percenters is Amber Brown who is 38, works in insurance, lives in Illinois.
Your product doesn’t have to be sexy to have One Percenters. Ron Susi is a Costco
One Percenter and buys everythig from the store. His wife made him this shirt.
I am a Pittsburgh Steelers One Percenter. I was born there and currently I run the
Austin, Texas Pittsburgh Steelers fan club. Yes that is my Steelers tattoo.
They have Shiny New Object Syndrome, focused too much on new, new, new
CMOs top marketing objectives
Much less focus on keeping current customers happy and coming back for more
CMOs top marketing objectives
to keep a customer
than get a new one
“It’s more important to have
than to have
-Troy Carter, Gaga’s manager
The lesson of focusing on One Percenters to grow business through word of mouth
is one the top lessons that companies can learn from Gaga.
LESSON: Lead with
When we share our values, and what we stand for, customers who share these same
values can create an emotional connection to us.
Gaga is very open with
her values and what she
believes in. Gay clubs
booked the unknown
singer and gave her a
chance. Gaga repays
their loyalty by adopting
the fight for issues, like
marriage equality. Gay
youth are bullied 6x
more than straight
youth, and she supports
eﬀorts to stop bullying
wherever it occurs.
Gaga’s 2nd album was dedicated to her fans. Her message was one of believing in
yourself; don’t let others define you; you are perfect because you were born this way.
In 2012, Gaga launched the Born This Way Foundation -- more of a movement than a
charity -- to inspire youth to be brave, accept & love others, and that bullying is for
Gaga partnered with Harvard University, the California Endowment, and the MacArthur
Foundation. She launched the Foundation with Oprah and Deepak Chopra’s support.
Part of the Foundation’s work was to have Born Brave buses at Gaga’s US tour dates for
kids who wanted to talk with counselors about bullying or other issues.
Companies that lead with values outperform the market
Source: Millward Brown Optimor
Research shows investment in companies that lead with values have 400% better ROI than S&P 500.
Stengel 50 is the top values driven companies identified by former P&G CMO Jim Stengel.
Method, the green cleaning company, is part of the Stengel 50 and is a terrific example of a
company who leads with its values.
“We are a
catalyst in a
-- Eric Ryan & Adam Lowry,
While conglomerates like Clorox who jumped into green cleaning product category see a decline in
sales during recession, customers continue to buy Method because they believe in same values.
Key to building more loyalty is to build a sense of community among your One Percenters. Find ways
to connect One Percenters to each other so they can share their passion for you.
Gaga and her team launched an online community called“littlemonsters.com for her die-hard fans.
There are over a million fans who have signed up for the community.
The community is very visual, a cross between Pinterest and Reddit. Many of the images are fan art.
The chat room translates 57 languages in real time so Monsters around the world can talk together.
Gaga posts very personal messages to fans on the site. This is Gaga commenting a fan’s post about
being bullied. . Most fans have not met her but the intimacy of the messages makes fans feel like
know her well.
MINI’s philosophy is that current MINI owners are the best salespeople so the company
finds ways to build community among their One Percenters to keep the enthusiasm high.
There are over 107 volunteer-run MINI owners clubs in the U.S.. MINI lists them all on
their website so you can connect with your fellow MINI One Percenters.
MINI also holds an bi-annual owners’oﬄine event, called MINI Takes the States to bring
their One Percenters together to connect with each other.
In 2014, the trek was over 5,000 miles, with events in 15 states. Over 4,000 owners participated.
Often 900 MINI owners would attend these events with their MINIs to connect with other owners.
Over 400 people drove the entire Boston to San Francisco trek!
LESSON: Generate something to
We need to give our One Percenters things to talk about. They want to evangelize us but
we need to continue to give“pulses”of things to spread to their networks.
The celebrity perfume category is crowded with lots and lots of entrants. Gaga was very hesitant to
to do a fragrance at first. Here’s Britney Spears and Christina Aguilera’s perfumes.
Beyonce’s fragrance makes you want to feel the Heat and“catch the fever.”
Katy Perry has a perfume for the the woman who......likes cats?!?!?
Even Justin Beiber has a perfume. In fact, he has two of them.
Gaga told Coty, the perfume manufacturer, that she wanted the perfume to be called
“Fame.“ She wanted the liquid to be black but spray on clear.
Pic of Fame
Coty initially told Gaga this could not be done; the technology did not exist. Finally they tasked their
scientists to figure it out and they did. Now the the newly invented process is patent-pending.
“[Gaga] was really behind the
mostimportantinnovation in the
fragrance industry in the last 20 years.”
Gaga pushed Coty to do something worth talking about (the first ever black eau de parfum) and
“Fame”became the fastest selling fragrance after Chanel No. 5.
2Q13 Vision Leadership Meeting
Alamo Drafthouse is a theater chain based in Austin TX. Entertainment Weekly named it the best
movie theater chain in the country.
Providing an awesome experience
Founded in 1997 by Tim and Karrie League, the Alamo’s mission is to cater to movie One Percenters
and create the ultimate movie experience.
We do not play ads before the film.
We do not allow children under 6.
We do not allow unaccompanied minors.
The Alamo has strict rules that they adhere to, including not tolerating talking or texting. Upon a
2nd warning, the oﬀender wil be thrown out of the movie with no refund.
The Alamo runs a“public service announcement”before movies to educate patrons on
their rules. One customer who was thrown out of a movie for repeatedly texting left an
angry rambling message on the corporate voicemail. (Did I mention they serve food and
ALCOHOL at the Alamo?!) The company turned the voicemail into a hilarious YouTube
video, transcribing the customer’s comments over her audio, and it went viral.
Mainstream media outlets picked it around the world.
Click here for link to video.
“Tim League, great
American hero...I think
that guy should win the
Nobel Peace Prize.”
-- Anderson Cooper, CNN
Anderson Cooper even featured it on his“RidicuList.”Lesson here is be creative and give customers
things to talk about and spread to others.
Loyalty lessons from Lady Gaga
Generate something to talkabout
Lead with values
Focus on your OnePercenters
We’ve covered some of the loyalty lessons Gaga can teach businesses. Read Monster Loyalty to learn
more about the lessons not covered in this presentation.
I wanted to write this book because I have been inspired by Gaga. She is bold, creative, takes risks
and isn’t afraid to stand out. I hope you will be bold, take risks and stand out in all that you do.