Revolutionary Measures

Why leaving social media is bad for JD Wetherspoon

Received marketing, and indeed business, wisdom is that the future is digital. And that has lead to brands stampeding onto social media and devoting increasing amounts of time and money to engaging with their audiences there.

So the news that pub chain JD Wetherspoon is quitting Twitter, Facebook and Instagram seems to fly in the face of good marketing practice. Chairman Tim Martin has been vague on the reasons why it is leaving, citing the amount of time it is taking (as well as head office, its 900 pubs all have their own accounts), the addictive nature of social media, misuse of personal data and the trolling of MPs and public figures on social media.

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But reading between the lines it is more about a lack of engagement and impact from its strategy. It has 44,000 followers on Twitter, over 100,000 on Facebook and more than 6,000 on Instagram – a relatively low number for such an enormous, UK-wide organisation. It hadn’t been that active – the announcement that it was leaving Twitter was its first message in April for example, and most Facebook content was just reposted from Twitter.

However, not doing something well and not doing it at all are two separate things and I believe that the main reason that Wetherspoon’s is stopping social media is that isn’t really embracing the power of the platforms. It is true that most consumers are unlikely to be avid followers of their local branch of a chain pub – after all you’d not interact that much with your local supermarket, but they’ve not used it to create a buzz about local events or what they are doing. Therefore, it is logical to stop, rather than just going through the motions – and reap the news headlines and profile that the decision creates.

However, done well social media can deliver big results – even for 100% offline businesses like Wetherspoons. Here are three of the biggest:

1. Create a community
Why do people go to pubs? It is all about socialising, meeting people and enjoying yourself. After all, if you just want to drink it is cheaper to do it at home. Successful local pubs are all about creating a community – it doesn’t have to be on the level of Cheers, where ‘everybody knows your name’, but it is about interacting. Social media does the same thing in the online world – so not being present means you are not nurturing your punters when they aren’t in the pub.

2. Keep the influencers informed
Wetherspoon says that news will still be available via its website, but in today’s environment most journalists and influencers get their news through social media. They raise questions and start debates, and Wetherspoon won’t be there to take part in them. No doubt its PR people will be there lurking, but that is not the same – and failing to have an active account doesn’t look good to those journos who live their lives on social media.

3. People don’t want to change channel for customer service
Consumers want to interact with a brand on the channel that is most convenient to them at that time. And that is quite often social media – they don’t want to switch to calling or emailing customer services, as Wetherspoon now recommends they do. So therefore complaints will go unanswered, visible only to other consumers, without Wetherspoon getting involved. This impacts brand reputation, particularly of individual pubs, and further damages engagement.

I don’t know how much time and money Wetherspoon was spending on social media, and it could well be that it isn’t getting the return it is looking for. But shooting the messenger, rather than changing the message isn’t a long term strategy to compete – as Wetherspoon may well find to its cost.

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April 18, 2018 Posted by | Marketing, PR, Social Media | , , , , , , , , , | Leave a comment

The end of the Mad Men?

Advertising agencies have always exuded glamour and excitement. From Don Draper in Mad Men to more modern agencies they’ve combined mystery and the power to change how people think, act and buy. Take Ridley Scott’s 1984-themed Apple Mac launch ad, Saatchi’s 1979 “Labour isn’t working” campaign, widely seen as helping the Conservative party to win the election, or going further back, the WW1 “Your Country Needs You” recruitment poster.

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All of these iconic campaigns demonstrate what advertising can do, particularly when it is turbocharged by the reach of linear television. This has led to ad agencies rising in importance to essentially command the biggest budgets and greatest influence on how brands market themselves.

However, things are changing – fast. Three interconnected factors are upsetting the status quo and causing industry titans such as WPP to issue profit warnings in the face of slowing revenues.

1          We live in a digital world
We used to spend the majority of our leisure time watching a limited number of terrestrial TV channels and reading newspapers and magazines. All of that has changed with the rise of the internet, which now takes a much higher share of our time, and has introduced new gatekeepers such as Google and Facebook into the mix. The adverts that people run online are different – they can’t be as disruptive as during a scheduled TV ad break, or as big budget. While major ad campaigns still run, they are more seasonal, such as around Christmas – and are seen as marketing events, rather than run of the mill campaigns.

2          Consumers want a personalised approach
The internet has also encouraged and enabled us to demand a more personalised experience. We don’t want to be subjected to irrelevant adverts for things we aren’t interested in – and analysing our browsing habits and demographics should give advertisers the ability to segment their audiences and target them in a more individual way. The cost to our privacy is an ongoing debate – as is how capable platforms are of really delivering a personalised approach. All of these adverts tend to be smaller, more focused and therefore lower budget – in some cases even using AI to analyse response rates and automatically tweak copy so that it best reaches target audiences. So less Mad Men, more Metal Mickey.

3          Content is king
Consumers are more suspicious of advertising, and want greater transparency from the brands that they deal with. This is driving a much greater reliance on content across the buying cycle, helping build relationships, and overcome objections on the way. This requires a different set of skills to big budget TV advertising – in fact it is more akin to the copywriting side of public relations, with more information and less overt selling.

All of these factors are shaking up the marketing hierarchy and putting the role of the traditional ad agency under threat. At the top end, consultants such as Accenture are entering the sector, buying up agencies and focusing on providing strategic business advice as well as execution. Digital-first agencies are jockeying for position, and a greater share of budget, backed up by their ability to offer transparency, value and accountability. Brands are even taking key activities in-house, with many companies now employing digital marketing specialists, or even, as in the case of Pepsi, in-house advertising studios.

So does this mean the end of the ad agency, and in particular large international networks? Not necessarily – in a fragmented world clients value talking to one trusted advisor, rather than having to juggle a series of relationships with overlapping agencies. However, to prevent that trusted advisor being a strategy consultancy or digital upstart, agencies need to reinvent themselves quickly, learn new skills and become more of a high-level partner. One way is to move up the value chain. Back in the advertising heyday of the 1980s, Saatchi and Saatchi bought analyst house Gartner. The plan backfired, with the company sold less than two years later at a loss. But the idea clearly had strategic promise. Perhaps now is the time for ad agencies to think big again if they want to retain their power for the long term?

April 11, 2018 Posted by | Creative, Marketing, PR | , , , , , , , , , , , , , , , | Leave a comment

Machine, Platform, Crowds – what it means for marketing

What does the future of business, and by extension the world around us, look like? A recent book by two experts from MIT points to a radically different model that companies need to embrace if they are to survive.machine

Machine, Platform, Crowd: Harnessing our Digital Future by Andrew McAfee and Erik Brynjolfsson focuses on the three emerging trends that are changing how every business operates:

  • Machine – artificial intelligence is replacing the use of the human mind in many areas. While concerns about robots stealing jobs have been raised, this move also brings benefits. Applied correctly, in the right areas, the power of AI far outweighs what the human mind can do, leading to better products and services, better personalised to our needs.
  • Platform – aggregators that own no assets of their own (think Airbnb and Uber), are taking over from those that create products. Essentially they act as gatekeepers, taking a cut of every transaction without physically creating anything themselves.
  • Crowd – ideas and movements now come from the wider crowd, loosely organised, rather than tightly knit internal teams within companies. Wikipedia vs the Encyclopaedia Britannica is the perfect example here.

What does this mean for businesses? Essentially anyone trying to continue as before, or who simply tries to cram these new trends into their existing ways of working is going to fail. The authors give the example of the move from steam to electric power. Those businesses that simply replaced a steam engine with an electric motor quickly found themselves outpaced by those that realised electricity could completely change how a factory operated, enabling innovations such as conveyor belts and assembly lines.

It is also going to mean big changes in marketing, and therefore how marketing agencies (and marketing departments) are structured.

Traditionally agencies have focused on a single marketing discipline – whether it is PR, inbound marketing or SEO. They were built on a pyramid model to maximise efficiency, with lots of junior people doing relatively low value work at the bottom, with strategy coming from higher up. In-house marketing departments were again organised into different disciplines, with many having little cross-over between them.

The trends outlined in the book completely transform this model. Take Machines. You don’t need lots of junior people doing repetitive tasks that can be replaced by automation, and increasingly decisions taken at a middle ranking and senior level will be based on data analysis, rather than gut feel. Whether it is deciding which products to push through online advertising, or which influencers to approach on social media, AI will remove much of the legwork from the process.

Looking at Platforms, that’s where the traditional agency model comes unstuck. Why does a client want to go to multiple different agencies, all with their own specialisms? While the very largest might want the overhead of employing and managing disparate agencies, many more will want to embrace a platform or network model that brings together the skills that are needed, when they are needed, all under the control of one gatekeeper. It won’t matter if people with these skills are contractually employed by that agency or not, it will be more about solving a business problem. The gatekeeper handles the management, quality control and administration, without having the cost of full-time staff.

Finally, the Crowd. Marketing in the past has been top down – company X came up with an idea, developed a product, tried it out on some potential consumers, and if feedback was good, launched it. The whole process took a long time, and there was no real guarantee of success. Marketing now has to be much more of a two way conversation – listening to the crowd and using their insight to inform decisions on everything from product to pricing. The perfect example of this is the recent fidget spinner craze – it came from social media and completely bypassed the marketing machines of the big toy companies, catching them on the hop.

For anyone that thinks I’m being overly pessimistic or that the changes won’t impact them, take a look at other industries. Even 10 years ago electric cars were confined to a tiny niche in the market – and now major economies such as the UK are queuing up to ban petrol and diesel vehicles by the middle of the century. Once industries hit a tipping point, change is extremely rapid. The other point for marketers to note is that brands still need their skills, but at a more strategic level. You need to be agile, knowledgeable and willing to change, but the benefit will be a more interesting and varied role that is at the heart of business success.

October 18, 2017 Posted by | Creative, Marketing, PR | , , , , , , , , , | 1 Comment

Write more, type less

According to research quoted by Richard Branson, half of 13-19 year olds have never written a thank you letter, and just 10% own a pen. And before we adults start moaning about teenagers, texting and social media replacing good old fashioned ink and paper, think back to the last time you hand wrote something, other than your name on a Christmas card.

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As Branson points out, the act of writing long hand holds more meaning than an email or electronic message. You have to put greater physical effort into it, and you also need to think about it more, plan it and take time to actually write the sentences, particularly if your handwriting is as atrocious as mine. He points out that poems and love letters, no matter how scribbled, are the perfect way to crystallise feelings and emotions directly, rather than through the medium of a keyboard and screen. You can’t cut and paste sections of text, move things round or delete words without leaving a mess. Obviously this does involve more time, but that isn’t always a bad thing – particularly given the breakneck speed of modern life.

Writing shouldn’t just be about letters either. I find that physically taking notes is the best way of ensuring I actually remember what I’m hearing, particularly if I then type it out again later on. And planning in longhand is the perfect way of collecting your thoughts before drafting a press release or document and avoids starting with the soul destroying white space of an empty Word document.

The scary thing is that we are becoming physically less able and practiced at holding a pen. As a student I wrote for three hours straight in exams, without any ill effects, yet now I struggle to manage more than a single holiday postcard without getting cramp. Children today increasingly don’t need to write, with much of their coursework completed online, so no wonder that they don’t need to own a pen.

What we need is to embrace the best of both worlds – you need the skills to type quickly and organise your thoughts using modern technology, but also to take a step back, breathe and think about what you are trying to say. The pen is perfect for this – we should all remember to uses digits in the offline world, as well as the digital one. So, if you don’t have one, put a pen and notebook on your Christmas list and make a New Year’s Resolution to write more and type less.

This is my last blog of 2015, so thanks to everyone that has read, commented and shared my posts. Have a very Merry Christmas and a Happy New Year!

December 16, 2015 Posted by | Creative, Marketing, Uncategorized | , , , , , , , , , , | 1 Comment

Do we really need Chief Marketing Technology Officers?

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Photo Flickr – https://flic.kr/p/oh7hti

The last five years has seen two, separate trends hit marketing. Firstly the use of technology has skyrocketed as digital channels such as the internet, email and social media have risen in importance. Secondly, marketing has increased in importance as businesses across every sector realise that it is central to winning and retaining customers, reaching stakeholders and engaging with external audiences.

At the risk of showing how old I am, it is worth comparing the tools I had in my first PR job twenty something years ago, and what I have now. I started with a computer (yay!), and it even had email – but that was purely internal to the ten person company I worked for. I could just about access the internet, but it was text based, rather than the colourful World Wide Web we know today. If I wanted to communicate with a journalist I looked them up in a paper-based directory and called them. If I needed to give them information I wrote them a letter, printed and posted it. The same applied to press releases, which were faxed over by clients, laboriously re-typed, faxed back to the client for checking and then sent to a mailing house for distribution. Press clippings were sent through the post by a monitoring agency, and I then stuck them on large boards to show to clients or made up physical cuttings books. And I worked for a technology PR agency, so at the advanced end of marketing at the time.

Now marketers have access to a huge variety of online tools and devices. You can find out information instantly about a journalist through the web and send out a press release to the whole world at the touch of a button through mailing software – not to be advised unless you want to get a reputation as a spammer. Email and social media have replaced the telephone as primary communication channels, while digital marketing technology is available to run campaigns from start to finish. You can target audiences based on what they have searched for, what they have talked about on social media or simply the pages they’ve visited online. Marketing has gone from being behind the curve on technology use to being one of the most active spenders on IT. Much of this has been driven by the move to digital, with a corresponding rise in status for marketing chiefs. Rather than Marketing Directors, often reporting to sales, more and more organisations now have Chief Marketing Officers (CMOs), with a seat on the board and budgets to match.

In 2011, Gartner predicted that the CMO will spend more on tech by 2017 than the Chief Information Officer (CIO). People scoffed at the time, but it looks like this is well on the way to becoming a reality. There are now more than 3,000 marketing technology vendors, all aiming to support agencies and in-house marketers in their roles. This frankly dizzying Tube map-style infographic tries to make sense of their relative positioning, but was probably out of date as soon as it was released, such is the rate of growth and innovation.

I’ve longed argued that marketers in general, and PR people in particular, need to change and embrace technology if they want to continue to be relevant. However they shouldn’t just focus on technology for its own sake, but use it to support what they do – engaging with customers and creating long-term relationships that benefit both sides. There’s no point running an award-winning Facebook page if it doesn’t link to your marketing and business objectives and is measured solely by the number of Likes it delivers.

So I’m suspicious of the latest marketing trend – the introduction of the Chief Marketing Technology Officer (CMTO). It aims to bridge the gaps between stereotypically creative marketing people and the more conservative, risk-averse IT department, finding a middle ground so that marketers don’t make the wrong choices, but aren’t held back by out of date IT procurement practices. Despite its spread in the US – Gartner says that 80% of organisations have someone filling a CMTO-type role, even if it isn’t called that, I don’t believe that marketing (or IT) needs one. It is surely better to get both marketing and IT to talk to each other, and learn how to co-operate, than to essentially try and create a half-way house of someone with the range of skills to talk both tech and marketing. If the CMTO sits in marketing you just end up with a silo-based, departmental approach, rather than looking at the wider picture of what the business needs. Technology is a vital part of every department’s role, but that doesn’t mean it is good for them to operate in isolation. Marketers should continue to improve their tech knowledge, but actually use their communication skills to talk to IT and get their help in navigating the marketing tech maze. Otherwise the risk is that money is wasted and the whole business suffers.

July 15, 2015 Posted by | Creative, Marketing | , , , , , , , , | Leave a comment

Robots vs serendipity

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By bringing the world together the internet opens up pretty much unlimited possibilities. You can discover completely new topics and interests, communicate with people across the globe and access a myriad of content that was previously unavailable.

More and more of what we read, watch and listen to comes via the internet – and this is only going to increase as previously analogue services such as TV go digital. On one hand this widens choice, but how do we navigate and find things we are interested in? And more to the point, is just watching what we’re interested in necessarily a good thing?

Showing my age, when I was growing up I had a choice of three TV channels (I remember the excitement of the Channel 4 launch), and video recorders were in their infancy. So you watched what was on – or switched the TV off and did something (less boring) instead. That meant there was a greater chance of stumbling upon a programme or subject that you wouldn’t have chosen to watch but actually widened your knowledge. I’m not saying the 1970s was a golden age of TV but you were likely to see a broad range of subjects in your daily viewing.

Now we have a plethora of channels and there’s always that nagging fear that there’s something better on the other side. Navigating this maze is difficult – how do you choose what to watch when there are thousands of alternatives? The way I see it there are essentially three ways of making a choice:

Robots – like Amazon Recommendations your TV/Set Top Box or PC sees what you have watched and enjoyed in the past and comes up with more of the same. However this essentially narrows your viewpoint – you’ll potentially end up watching programmes very similar to those you’ve seen before. The same goes for search – after all, you’ve got to know what you’re looking for before you type something into Google.

Friends – personal recommendations work, provided they come from people you trust. And given pretty much every programme is available on catch-up TV, you can view what your friends on like after the fact. And social media provides a quick way of gathering recommendations. Better than robots, but still likely to keep your watching within a relatively constricted area – after all we’re governed by a herd mind.

Editorial choice – what does the newspaper/TV guide say is good and worth watching? TV previews tend to cover a wide range of subjects so can highlight programmes that you wouldn’t normally watch. All good, but even with glowing reviews some programmes may not sound like your cup of tea and you won’t watch them.

Ironically the digital world can give us too much choice and make us flee back into watching a tiny fraction of its range. So, what’s the solution – or does there even need to be one? I’d argue that we should rely less on robots or even our friends and trust to serendipity – switching on the TV to a random channel and giving the programme 10 minutes to make an impression. Yes, it might mean seeing some duds but it also gives the chance of finding a new area that will change your life. Now all we need is an app to help us do that……………

September 11, 2013 Posted by | Creative, Marketing, Social Media | , , , , , | Leave a comment

2018 World Cup – the digital dimension

So after what feels like years of campaigning, the hosts for the 2018 football World Cup will be announced this afternoon in Zurich.

Given that voting rests with the 22 men of the FIFA Executive Committee, you’d think that wide-scale marketing doesn’t have a large part to play in bid success or failure. But aside from glad-handing the FIFA dignitaries on a one-to-one basis, building a long-term marketing campaign that reflects brand values is going to be essential to the winner.

Witness the incredible effort that has gone into the digital side of the England bid. Designed to provide an opportunity for fans around the world to show their support and interact with the bid, it is integral to the bid premise “England United, the World Invited”. I’d say the stats alone show it has done an amazing job – over 300,000 fans from 170 countries have joined its Facebook group, 2.2 million have registered their support and 6,000 follow the bid on Twitter. And that’s ignoring the downloadable iPhone app, wallpapers, YouTube channel et al.

It really delivers on the key aim of showing FIFA the depth of support for England’s bid both at home and around the world. Let’s hope that at 3pm today, all England’s efforts, on- and offline, will be rewarded…………

 

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December 2, 2010 Posted by | Uncategorized | , , , , , , , , , , , , , , , | 1 Comment