Luxury Marketing: Austere Times Call for Disarming Strategies

Even if the harsh realities of this year's economy have not touched us personally, we have not been unaffected by them.

As has been widely reported, the luxury market has taken a hammering. This year has seen a widespread climate of disapproval emerge in our culture. Mere ownership and display of luxury goods has become synonymous with an almost ostentatious flaunting, seen as reflecting a callous insensitivity to the hard times befalling so many others. There has been widespread rush to judgment, in much the same way that greets a Hummer on the roads albeit for different reasons; its existence has become an embodiment for a disregard for environmental concern..and almost a shameless pride in it.

One smart strategy is not to deny the criticism but to tackle it head-on. It is, after all, a hurdle that prevents people being comfortable buying, however much they might want (and secretly covet) the prize and long to own it.

Hats off to Porsche for adopting this approach. Anticipating criticism is captured elegantly in the headline with a tone that far from seeming defensive sounds pragmatic, evoking a feeling of being confidently prepared. An accomplishment in itself.



















The key to success? Leverage the equity that give luxury makers rooted in substance (rather than overly dependent on style) a powerful neutralizing effect: Performance.

Performance is that wonderful quality whose existence is inherently self-justifying. It represents tangible proof for what one has paid more. It is born of advanced engineering and design - noble characteristics indeed - which enables assertions to or inferences about privilege to be assiduously avoided. Porsche has even suggested that the efficiency dimension of performance represents greater environment responsibility, the idea of 'doing more with less'.

Arming the audience with ammunition in the form of knowledge serves to disarm the critics. This is the final part of this erudition -- recognition of what is so overlooked by marketers in cultivating people's relationships through brands: storytelling.


















Give people things that help them to tell their stories. If we can tell a story we have a claim to having a reason. An assertion to belonging. Storytelling is a basic human need, one that helps us feel connected to others and perhaps more importantly, to ourselves:

"A need to tell and hear stories is essential to the species Homo sapiens--second in necessity apparently after nourishment and before love and shelter. Millions survive without love or home, almost none in silence; the opposite of silence leads quickly to narrative, and the sound of story is the dominant sound of our lives"

Reynolds Price

Consumer Consciousness: The Third Element Redefining the Value Equation

In our last post, we outlined PERSONAL and PLANET as two recent dimensions of the value equation emerging in light of the new climate of consumer consciousness.

There's a third that most readers will have seen almost at every turn: PEOPLE.

In the era of higher standards, of greater scrutiny about what is being bought and its effects, people also want an opportunity to participate and contribute towards a greater social good. As a result, they are also expecting more of the companies they buy from, for them to do their part to improve the world we live in.

Corporate social responsibility (CSR) has been around for decades, but it's typically been more of a PR driven initiative to generate goodwill in order to shape perceptions than a deep-rooted embrace. Tom's Shoes is a great example of a commitment on a different scale. It donates a pair of new shoes to a needy child for every pair sold. The social good is inextricably part of its business model.










An example of a more traditional approach is Tide Detergent. The "Loads of Hope" campaign is P&G's latest CSR attempt to link 'doing laundry' with 'doing good'. (Don't get us wrong, something is better than nothing: but not only is the link conceptually a weak one - in our culture 'hope' is not something we think of in terms of 'loads' - but the scale and sustainability of the impact is modest).










Overall, this strategy is an ever popular one with marketers. The basic approach is to link consumption directly with a virtuous outcome.

Starbucks says that by buying its coffee YOU are the force behind change on a massive scale...



















Volvic touts its 'Drink 1 Give 10' benefit if you buy its water (click on this recent airport commercial).



The intent of course: shape brand choice in a way that requires no additional effort by the consumer. "Keep doing what you're already doing". The act of buying is an act of giving.

Not a bad strategy (few things are inherently flawed except teapots made of chocolate). Though as Brandchannel points out: Cause Marketing Grows: but is the backlash ahead?

Use another brand's colors at your peril

Quick! What company is promoting its breakfast fare?























If you thought the Golden Arches, it's understandable.

After all, McDonalds is associated probably more than any other brand with breakfast eaten out of the home or on-the-go. It's not come free: they've spent millions of dollars to establish themselves in pole position in this regard, in the minds of people who eat there as well as those who don't, such is the scale of McDonalds relentless promotion and ubiquitous retail presence.

The Red, Yellow and White colors are also a key part of the permanent repertoire of associations that are tied to the brand.


All of which makes it odd indeed that a relative minnow of a player - Jamba Juice - should use these colors in the branding of its own breakfast offering.


















True, the white strip on the right-hand side promotes Jamba Juice as the owner of this message, but it occupyies only 1/4 of the entire advertising space. We believe that the large red block is so dominating that it is likely to be processed as a separate unit, and so mis-attributed as a McDonald's communication.

We're also left wondering why Jamba Juice doesn't sharpen the distinctiveness of its breakfast offering compared with the burger and biscuit behemoth. After all, this is a time when people are more aware of the health consequences of eating than ever before.

The climate is ripe for Jamba Juice to promote its unique take on breakfast, with fruit and a blender being key elements to 'brand' this healthier approach. Instead we get these items visually with nothing more than a perfunctory promotion that 'new breakfasts meals are here.'

A missed opportunity in our book. Or perhaps, a nervous David afraid to pick up a gauntlet against a category Goliath.

A strategy of direct contrast against a well-known entrenched competitor can be highly successful. It worked for Veryfine beverages back in the late 80s when they positioned their 100% juices against sodas (at a time before the explosion of Snapple, Sobe, Nantucket Nectars and Arizona Ice tea on to the market).

One simple yet memorable ad featured a Pepsi can next to a Veryfine bottle.

'Gas' it read under the Pepsi container, 'Guzzler' underneath Veryfine's.

The point was telegraphed. There's only such much soda you can sup without feeling full of gas. But a beverage without the carbonation? You can drink as much as you want to quench a thirst.

For litigious-fearful among you, the Veryfine brand - largely unheard of at the time - got tremendous credit for the boldness and courage it displayed in challenging a giant. Something that replacing the Pepsi can with an air-brushed generic soda can would not have inspired.

As a brand, if you are a David facing a Goliath, act like it. You have a legion of devotees waiting to believe in your cause if you authentically embrace it instead of hiding in the shadows.

Guiness Advertising Campaign: Genius in Message and Medium

Like any good strategy it seems obvious in hindsight. Not unlike the 'Born from Jets' campaign that Saab ran a year or so ago. When it comes to establishing performance pedigree, what better than to leverage the company's heritage as a manufacturer of fighter planes?

The 'Alive inside' theme seems like it emerged in a place that many of advertising's finest ideas come from: the pub. No doubt in the spirit of some old fashioned but time honored product interrogation (which the creatives unusually suggested) someone noticed that there's a lot of activity when the pint has been poured and it is settling.

This was a good starting point but not enough. The idea needed to be connected to some distinct group which shares a belief or mindset, actual or aspirational. The result pays of well in this example of outdoor advertising for the brand in downtown San Francisco.

The inventiveness of the medium is easily apparent. The kiosk supports the idea of a pint of Guiness perfectly, which is what it seen from a distance.
























Closer up, however, the Guiness reveals itself not to contain bubbles but instead to be filled with people holding up cigarette letters as if at a concert.























The viewer is rewarded for closer observation, but it also confirms the positioning intent: Alive Inside is a statement that extols as much about the characteristics and ambition of the Guiness drinker as it does the drink itself

Range Rover’s Ad Campaign Recycles Nissan and Raises The Bar

Many SUV brands face a challenge. Most drivers won’t use the vehicles for what they were built to do. The vast majority will stay on road rather than venture off.

The trick for marketers is to figure out how to showcase capabilities in a relevant way that heightens appeal despite the fact that most likely won’t ever be used.

One strategy has been to promote a distinct attitude or mindset that aligns with the character of the brand to foster strong affiliation and therefore confirmation desire.

Nissan’s Pathfinder campaign in 2000 was one good example. The SUV’s were featured in a variety of implausible yet possible situations: one ascending a ski slope, another navigating a steeplechase course and a collection of Pathfinders playing polo (rather than horses). “Not that you would but you could” was the rallying cry. It was an inventive solution to exactly the challenges outlined above.















Print copy closed with a similar theme: “…..So, while you may never storm Pikes Peak or own the passing lane in Munich, isn’t it nice to know you could?”

More recently Range Rover does a nice job of using this strategy. It does more than serve up a fresh interpretation. As an SUV distinctly in the premium class, the campaign ensures the prestige and luxury appeals are elegantly delivered.

















At rising tide, few of its owners may ever drive to Mont-Saint-Michel – or possibly escape – but as the copy notes, the fortunate ones have the privilege of an extra half an hour for passage. If you listen intently you can almost hear in the wind crossing the flats….not that you would, but you could.

Advertising disabilities with darkness

Among other things, Mae West is famous for a shrewd observation: "It is better to be looked over than over-looked". She was commenting on the matter of women being the subject of unsolicited attention, but the context today might equally be marketing communications and a similar challenge to capture unsolicited attention.

It is the starting point of most agencies working on behalf of clients today to bring heightened attention to a specific cause. This is a time of marketing abundance and a barrage of communications daily that dulls the senses. It makes the first challenge the need to break through the barrier of indifference and be registered. If the advertiser is fortunate, the message will also be read and processed in its entirety rather than being partially processed and abandoned.

This is not to suggest that shock tactics are always a good idea and should be justified. It is merely to provide the perspective that it can be needed in order to gain traction in the first instance.

The campaign in question certainly does that. Which is better however: a less controversial approach that doesn't get noticed as much, or one that is polarizing and inspires greater involvement? The number of responses to the original article is a testament to the latter. There is a rubric in advertising that states that effective communications that engages, moves and persuades will never appeal to the everyone: an authentic point of view will by definition be polarizing. Dove's Campaign for Real Beauty of which a principle OFDer was one author is an example: there are plenty of women who reject this vision and accessibility of beauty, but a core and zealous group that does not.

Like good art, good advertising will provoke a response, which inevitably will be favorable among some and unfavorable among others.

The above duly noted, the campaign does cross the line into poor taste in our view at OFD. Positioning disabilities as 'taking a person hostage' is true in a conceptual sense - but not compelling when expressed in a literal sense. Positioning any person as a victim is not a constructive way to frame the issue. Moreover, the dark overtones of this strategy are likely to alienate more that win people over. Top marks for creativity, but miss-applied in our book. A good idea to drop this approach and pursue another.