SGW Blog

Abbreviated brand names...a new trend?

Earlier this week, a reporter for CNN was asking about the reason for the SciFi channel shortening its name to "Syfy".  He was curious as to whether this might be the start of a trend.  Here's how I replied:

 

There are many guidelines that provide a basis for what constitutes a good brand name.  The most important is that it either has inherit meaning upon first seeing it or that you can infer what the brand stands for (usually by adding a constant theme and/or icon that is proprietary).  Whether it is an "initialized" or "abbreviated" brand, it still must convey a thought or feeling that the person seeing it can connect with.  Even better if that person has a particular need that the brand "connection" can fulfill.  Now, in the case of KFC, it obviously was an established brand and the meaning was pretty clear.  I believe that the reason for abbreviating the name was to not be "locked into" just a purveyor of fried chicken.  The company wanted to branch out into ribs and other products such as roast chicken and the feeling was that the full name was too limiting for them to do that.  It reminds me of the name change of Boston Chicken to Boston Market.  The KFC brand was not so much a case as being "trendy" as is the case with Sify.  Cable TV has been going this route in my opinion to be more trendy in keeping with today's IM and texting language.  It's could be deemed as more modern, thus it grabs a younger person's attention.  Will the trend continue?  Probably.  I cannot see a reason for it to stop.  Yet, I would like to point out that abbreviated brands have been around forever.  I go back to brands like BVDs, TWA, UPS, K-mart, the major tv networks, BP, HFC, GM and on and on.  I guess you could say "Coke" could be called an abbreviated brand as well.

 

 

 

The main point here is that I do not think that the SciFi Channel will lost an ounce of equity by changing to Syfy.  I think the name change is a reason to create new awareness to the brand.  However, given their appeal to such a defined audience, I don't see many new people "entering their tent" as a result of this name change.

 

 

 

NJ Bank Marketers Show Interest in Social Media

Last Wednesday, I spoke to the New Jersey Bankers Association on the subject of protecting your brand during this kind of economy.  Part of my presentation had to do with the growth of social media.  I talked about the fact that things like "blogs" are reminiscent of the chat rooms and user groups that had seen some momentary popularity when the Web was first introduced.  They were basically the same kind of information dissemination techniques that people today use, such as Twitter, Facebook, LinkedIn and others.  The main change is that the number of users today is significantly greater, of course.

A fellow speaker, Steve Lubetkin from Professional Podcasts LLC, talked more about social media and the work he does delivering audio and video over the Internet.  I was most interested in what he had to say, given that we offer the same kind of disciplines and programs.  Steve used his blog to show how important it has become as a tool for growing his business.  Over the years, he has garnered hundreds of followers and many of the discussions today revolve around the usage of social media.  This is yet another indication of what we are seeing and hearing from New Jersey businesses, large and small.

As for the banking industry, there has yet to be any noticeable use of social media.  In a business that has been so "behind the scenes" with the confidential nature of the financial business in general, that is understandable.  However, it will be hard to convince people that you are offering "personal banking" when you avoid the new two-way media other businesses are starting to adapt.

Things will change.  For example, one of our newer clients is a leading title search firm.  One of the disciplines we perform for them is a turnkey blog program.  In the beginning, there was some question about whether a blog was a good idea for this sector of the financial industry.  Then, one of the principals of the firm attended a recent trade show focused on the category and one of the major topics discussed in a very positive way was blogging.  How convenient that we were off and running with their blog before the competition could even think about it!

The Battle of the TV Networks

In a recent article, Ad Age requested the agency's viewpoint on the divide between CBS and NBC on the future of network television.  One believes it is in retreat and the other believes it is still the best media buy there is.  Here is how we replied:

We find it difficult to conclude that network advertising is in retreat.  To begin with, television is a mainstay in people’s lives and networks dominate. Obviously, they have taken a hit from cable and a bit from the Web in terms of household viewing, but the networks are still the super powers of television. 

Given the fact that the recession has taken some network advertisers temporarily out of the medium and (in many cases) into some forms of social media, the CPMs had to be reduced accordingly.  That will change as the economy improves.  Only the networks, however, have the power and clout to televise major events and promote them properly to continue to attract large audiences.  The advent of HD has made the quality of the picture vastly better and this will continue as more LCD-based monitors replace current sets.  Networks can telecast their programs in the highest-qualitative manner with the best technology available.  In my opinion, they will continue to dominate “live” special events, sports championships, and regular quality programming.

Speaking to Bank Marketers

On June 10, I will be addressing a group of New Jersey bank marketing folks on how to advertise in these difficult economic times.  The problems that all banks are faced with are: 1. the recession created huge negativity and mistrust of all financial institutions; 2. banks and other financial-related service providers suffered, both locally and nationally; 3. people are scared and suspicious of all new offers; and 4. bank advertising budgets in many cases were "frozen."  We were (and still are to some effect) in a situation where Big Business had to convince people that it could fix the problem.  Government, too, has to convince people that it could fix the problem.  What one observer said was worse had to do with his feeling the "the marketing and advertising economic model of free enterprise, differentiation, creative advertising and marketing" was beginning to be looked at as broken beyond repair.  One thing that happened immediately was the race to social media as a alternative.  But the real issue was not a new means of delivering positive messages as much as it was one of just going back to basics.

What really is at issue here is a case of going back to the brand to see how and if it has been tarnished...and in what ways.  A bank's brand is everything.  Unless it conveys trust and solidarity at the minimum, all the advertising cleverness in the world cannot make it stronger.  First, bank marketers have to find out what's broken and figure out ways to promote the brand to mend it.  It's really a case of doing some research among key audiences to get an "update" on the brand.  It's not rocket science.  But it does involve some in-depth research even to the point of revisiting the bank's mission statement.

I could go on, but I think you have an idea of how to start the process.  Look to the brand first, and then things will start to fall into place.

“Social Media” is a Misnomer

One of the things I have heard from several folks who are involved in social media planning is the comment that the word “media” is misleading in this case.  The medium is basically the internet.  Beyond that, using the word “media” implies an advertising cost versus “the press.”  

I am finding as I venture deeper into the world of social media that a ton of people in the advertising business do not understand that it is truly different from traditional advertising thinking.  Sure, the idea of having communications goals and strategies, plus metrics for evaluation are the same, but the difference lies elsewhere.  It basically comes down to going into “communities” and becoming a member of those groups to develop relationships.  Once those relationships are formed, you can then start leaving messages which will have more credibility and ring truer than an ad (whether online or in traditional media).  In simple words, you have to find ways to be where your target audiences are and “be there.”  You cannot just broadcast a message from on high and force people to buy what you’re saying any more.  This is a cultural shift that people in the advertising business have to learn and accept if they want to be successful in the world of social media.

International Online Research for B2B is Not a True Option

With several international B2B clients wanting more and more offshore reactions to their concepts and ideas, I began using online bulletin board focus groups as a tool.  First of all, they were selected because I get everyone in the group to answer every question, so the feedback is richer than a traditional focus group.  Also, I get some “group dynamics” because everyone can see the other persons’ answers as soon as they submit their own.  In addition, they can change their answers any time their want to and they can comment openly on what other participants have said.  As a moderator, it gives me the option to clarify answers as well during the normal three-day sessions.  Participants come in and out over the course of the three days at their convenience and usually spend about 15 minutes a day inputting their answers and comments.  Perfect tool for getting answers in a controlled manner from a geographically dispersed audience.  Right?  Unfortunately, the answer is “no.”

The main problem has become one of recruitment.  Unless you can get the person with the right title who also speaks English, chances are he or she will not participate even if you offer an incentive fee of $200USD!  It appears that in some countries in Asia, for example, there are mores that make it uncomfortable for people in business to talk about that business openly online.  In other situations, while they may speak English, they really don’t “write English” too well, making it hard to understand their answers.  On top of that, unless you provide a list of names, numbers and e-mails, chances are the incidence levels will be so low that you’ll wind up paying another $200 per recruit above and beyond the incentive dollars.  At this point, this type of research not only becomes impractical, but also expensive.

The answer?  There’s really little choice.  It’s “go back to basics.”  I cannot take any more risks that this kind of study will be plagued with problems.  As a result, I am going back to one-on-one personal interviews done in each country in that country’s official language.  It’s the only alternative to ensure I get the data my clients need.

Big Spenders Change Their Strategy

According to the latest research from the American Affluence Research Center, some pessimism has is being recorded among "luxury consumers."  It appears that the wealthiest U.S. households have cut their spending plans, lowered their expectations for personal income and have a less than positive outlook for an improved economy. The Center also reported that the numbers are at their lowest point since it began this twice-yearly survey of wealthy consumers in 2002.

What’s the new strategy?  It really is a shift in changing their primary financial objective -- from capital appreciation and growth to preservation of assets.

The study reports that: “Multiple reasons, more than four on average, were given for cutting expenditures, with the top being "uncertain when the economy will recover" (80%), followed closely by "decline in the value of our investments/savings." Both were mentioned twice as much as in 2008, when "possibility of a recession" was cited by more than 50%.

Nevertheless, those in the higher income bracket that have assets that the study calls “investable” are not reducing spending and are much more optimistic about the future of the economy.  In addition, the “over-50 group” is also more optimistic, although efforts to reduce expenditures in the past year and plans to so over the next year were found to be consistent across all demographics.

Why should you hire an expert blogger?

First of all, if you aren’t keeping up with the ever increasing power of company blogs and how effective they have become in building Web site traffic and credibility with the media, you won’t even be interesting in hiring an expert.

The fact is that, sooner or later, your company will have a corporate blog.  When that happens, you have to be sure you develop the best blog possible.  It isn’t, however, all that simple.  In fact, it’s tricky to define a good blog.  The closest I can come to a definition is that a good blog should impart valuable and timely information in a user-friendly way.  The starting place, then, is to make sure you have a professional writer at the helm.

Some folks are great marketers but not great writers, some are great writers but not great photographers, others are lacking charisma, others can’t design a Web site, or program, or SEO their way out of a paper bag.  Not that there’s anything wrong in that, it’s just that in my eyes, in order to truly call somebody a “blogging expert”, you need to have all of these.

At SGW, our blogwriters are mostly print journalists, publishing articles regularly in national publications, in addition to writing blogs.  One of our bloggers also has as legal background, ensuring communications that won’t get you into trouble.  The main thing that all our bloggers have in common is that we come from an integrated marketing communications background.  We know how to use relevant media and target messages effectively using the right language to get people involved.

You cannot afford to take someone without this kind of experience and make that person your corporate blogger.  There’s a lot more to it than that.  When you need to know more, we’ll be happy to discuss this with you further.

Government Advertises for CIA and FBI Recruits!

The other day, I was driving up the NJ Turnpike and saw a billboard wherein the FBI was asking for recruits. The next day, I saw an article that talked about how the CIA is using both traditional and online media to do the same. I have the following comments on this subject:

1. When the U.S. Government agencies that protect our freedom, such as the CIA and FBI, implement traditional advertising programs to recruit, they could psychologically be doing more harm than good. People here and abroad could easily get the impression that these agencies are running short on qualified people, which is a bit scary.
2. These agencies are usually thought of as having people who are the “best of the best.” Advertising to the masses gives me the feeling that they can no longer get the kind of people as they have in the past without advertising to the general public.
3. In the past, they used a targeted “rifle approach” by visiting school and colleges. This new advertising approach is more like a “shotgun” or scattered attempt which also leaves me with the impression that it is somewhat wasteful.
4. You don’t see Scotland Yard advertising in the London Telegraph for recruits or the government of Israel running ads to join the Mossad.  Overall, I fear people might get the impression that these agencies are in trouble and that is not a signal I would risk sending to terrorists and other anti-U.S. organizations. Even in our local police departments, the elite are promoted to higher levels from within. I do see recruitment advertising for NYC policemen, but it’s only for entry level positions. 

Let me know what you think.

Online Video Usage Soaring

It always make us quite pleased when the media singles out our best-and-brightest to learn about dynamic changes in our business. In this case, Leo Montes de Oca, director of the interactive video department here at SGW Integrated Marketing Communications, was interviewed by Jennifer D. Meacham of practicalcommerce.com on the subject the growing role video is playing on the Internet.

According to a new study conducted by PermissionTV for the Center for Media Research with a base of 400 senior-level decision makers, the main conclusion was that online video has become the top priority for digital marketing budgets. One of the organizers of the study went so far as to predict that online video will play an increasingly critical role in all interactive campaigns.

“It’s taken a long time for eCommerce companies to realize its potential, but it’s finally starting to happen,” said Montes de Oca. “What is causing the online video boom is not only the ability to be cost-effective, but of greater importance is the trend toward making videos more interactive, or as we like to say more 'user-engaged.'” He asserts that in the past, use of video was basically a passive experience where the viewer sat there and just watched the screen. Now, with the additional use of rich media and Flash technology, the viewer will be able to look at a video, click on the product and see a “turn around graphic” allowing the user to see the product from all possible angles. This kind of “virtual reality approach” is just one way that videos can be made to be more interactive and enhanced in the process. Similarly, videos can be “attached” to main videos, PDFs can be clicked on via the video, etc.

Mr. Montes de Oca added that “Time is at a premium right now. Anything that online videos can do to make the buying process shorter such as “examining a product online” is just another way in which we will be able to keep up with this face-paced world.”