luni, 8 decembrie 2014

Building Consumer Awareness: How to Talk to People Who Don't Know They Need You

Building Consumer Awareness: How to Talk to People Who Don't Know They Need You


Building Consumer Awareness: How to Talk to People Who Don't Know They Need You

Posted: 07 Dec 2014 04:15 PM PST

Posted by bridget.randolph

As a marketer, if your product is the obvious solution to an obvious problem, your job is relatively straightforward. You simply need to show the customer why your product is the best one out there. Often the easiest way to do this is by demonstrating your USP; sometimes you can also compete on price. Either way, if your customer is already looking for the product or service you offer, and not attached to any particular brand, all you have to do is convince them that your brand does it best.

Image source.

This is where the old saying comes from: "Build a better mousetrap and the world will beat a path to your door."

But the reality is, a lot of us don't sell products that fill an obvious need. Even if your product or service does fill a genuine need or solve a real problem… do people actually realise that they have that problem? And do they know that a solution exists?

The three stages of consumer awareness

A lot of marketers today are facing this conundrum: "How do I sell the benefits of my brand over those of my competitors when my customer doesn't even know they need my product?" There's no point shouting about how you are the best at 'whatever-it-is' if people don't know they need it. The harsh truth is: no one cares.

How do we make them care?

This is where it gets a bit tricky. The immediate response you are likely to get when you ask this question is a fun one: "we need to increase brand awareness!!" After all, marketing blogs are full of posts about how digital marketing is all about brand loyalty, warm fuzzy feelings towards brands, brands as people, and so on. But for this type of situation, brand awareness actually isn't the right answer.

When people don't know they need something, you don't need increased brand awareness... you need increased need/want awareness, followed by solution/product awareness, and only then should you be looking to raise brand awareness.

This leads to a 3-stage customer journey:

  1. Creating awareness of the need/problem. At this stage the customer is both product and brand agnostic; they don't realise they have a problem or need which requires a solution. Your job at this stage is to show them that they have a problem or need. They may not be aware that this is a problem at all; or they may perceive it as an annoyance but not a problem they care enough about fixing. Raising awareness of this need or problem can be done through either an emotive or a logical message but either way the focus should be on the customer, not on you.
  2. Demonstrating the basic solution to that need/problem. At this stage the customer is still brand agnostic; they are now aware of the problem but not yet sure what the solution is. Your job at this stage is to present your solution as the best way to solve their problem or meet their need. However, the first step is simply to show them that this type of product or service is a good solution to their problem or need. Again, at this stage, you are focusing on the customer and his or her need. Don't try to sell them on "you" just yet.
  3. Selling your solution and your brand as the best version. At this stage, the customer knows they have a problem, and they know their preferred approach to solving the problem is through using the product or service that you provide. Your job now is to show that they should choose to buy that solution from you, and to link that solution with your brand in the customer's mind. This is the point at which talking about yourself is allowed. :)

Take one step at a time

The temptation which a lot of brands face is to try and create brand messaging and content which can do all three of these things at once. This can be due to a fear of inadvertently promoting their competitors, or sometimes a directive from above which dictates that we 'push the brand' regardless of the stage of the customer journey you are currently targeting, or any number of other reasons. Sometimes it happens because the marketers themselves are keen brand advocates and love talking about how great the brand is and what they do. But this is a mistake.

Don't try to make your brand messaging do all the things all the time. You will not succeed, and you will simply end up diluting the message and failing to speak to anyone's needs. Instead, focus on one stage of the customer journey only for each piece of content or marketing activity that you do.

But wait. Am I saying we should avoid branded content in the first two stages of this customer journey?

NO.

Please don't think that shifting the focus away from heavy brand messaging, or focusing on a different type of awareness, means that you have to avoid all branding completely! Of course any advertising, social, and website content which you produce should always incorporate your brand guidelines and include logos, straplines, etc.  (as appropriate).

What I'm talking about here is simply the focus of the messaging.

How does this work in practice?

Let's take an example, Dyson vacuum cleaners, and look at how their product messaging fits into this 3 stage framework:

Dyson has a starting point - people do know they need vacuum cleaners. But Dyson still needs to identify a problem that they solve that the other vacuum cleaner brands don't. In this case, their vacuum cleaners have a USP of extra strong suction that doesn't clog - but the average consumer may not realise that this is a feature that they should care about.

Stage 1: Creating awareness of the need/problem

At this stage the potential customer is happy with their current situation.

With the Dyson example: if the messaging is simply 'buy Dyson', that's not enough to convert Hoover or Oreck customers. Once you've chosen a brand for appliance purchases, the easiest thing when you need a new one is to replace the old one with a new version of the same thing. So the average person is happy just going back and buying another Hoover or Oreck.

Instead of shouting about the Dyson brand, your job at this stage is to show them that they have a problem or need which isn't currently being met. In this example, a problem which a lot of people have is that their vacuum cleaner gets clogged easily and loses suction over time. So our messaging for people at this stage focuses on that problem and how our product is differentiated: "others clog; ours don't".

Image source.

(Note that this ad is still branded but the focus is on the potential customers' problem.)

Stage 2: Demonstrating the basic solution to that need/problem

At this stage the customer is still brand agnostic; they are now aware of the problem (clogged vacuum cleaner --> "I wish I had a vacuum cleaner that didn't get clogged all the time") but not yet sure what the solution is.

Your job at this stage is to present your solution ("our vacuum cleaner doesn't clog because our cleaner has special patented technology which keeps it unclogged and maintain suction over time") as the best way to solve their problem or meet their need. The messaging in this ad focuses on the technology as a solution to a problem: If you want a vacuum that doesn't clog or lose suction, you need a vacuum with no bags and this special 'Cyclone' technology.

Image source.

Again, at this stage, you are focusing on the customer and his or her need and why your solution is best.

Stage 3: Selling your brand as the best version

In the third stage, the customer knows they have a problem, and they know their preferred approach to solving the problem is through using the product or service that you provide. In the Dyson example, they know that they want a vacuum cleaner with this special technology that keeps it unclogged and maintains suction over time.

Your job now is to show that your brand is synonymous with that solution. For Dyson, this is the type of messaging that ties the brand explicitly to the 'solution':

Image source.

Image source

Conclusion

When people don't already know they need your product, you can't just sell them on your brand right away, because your brand is meaningless to them. You create meaning and an emotional feeling about your brand by guiding people through these three stages of awareness: need/want awareness, solution/product awareness, and finally brand awareness.

Each of these stages requires a distinct message for a different audience of people, so you can't try to make your messaging one size fits all. Instead, tailor the messaging on different sections of your website, your social media and other digital content, and your advertising campaigns to speak to one group of people at a time. It may feel very counter-intuitive to sell your audience on why they need X product rather than why they need to buy from Y company. But you need to allow them to experience the need before selling your brand, they will care about the answer to that need.

And never try to do all the things at once.

...Unless you sell the best mousetraps ever, in which case I guess you can sit back and relax while the world comes to you.

Image source.


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Seth's Blog : What's next?

 

What's next?

What does a good day look like? A good week?

Who do you want to work with?

Who are you trying to please?

What sort of feedback brings you down?

What’s your tolerance for being misunderstood? By whom?

Is it about process or projects?

Which part of the project make you happy?

At the end of the project, what would you like in return?

What diminishes the work?

How high do the stakes need to be?

How close to the edge do you need to dance? Risk? Resources? Failure?

What will you take? What will you give? Who will you connect?

How much freedom will you sacrifice to get what you want? How much commitment will you promise?

What are you measuring? Smiles, comments, traffic, cash, media response, friends, peers, insiders, outsiders?

Will they miss you when you're done with this?

       

 

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duminică, 7 decembrie 2014

Mish's Global Economic Trend Analysis

Mish's Global Economic Trend Analysis


Abenomics Revised Down Again

Posted: 07 Dec 2014 04:26 PM PST

Economists expected Japan's third quarter GDP would drop 0.1%. The preliminary forecast was -0.4%.

Japan just announced capital spending was even worse than reported. Compared to last last quarter, the estimate now is -0.5%.

For those who prefer looking at annualized numbers, Japan's third-quarter GDP revised down to annualized 1.9 percent contraction.
Japan's economy shrank an annualized 1.9 percent in July-September from the previous quarter, worse than a preliminary 1.6 percent contraction as capital expenditure fell more than initially estimated, revised government data showed on Monday.

On a quarter-on-quarter basis, the economy shrank 0.5 percent in the third quarter, against a preliminary reading of a 0.4 percent drop, the Cabinet Office data showed. The result compared with a median market forecast for a 0.1 percent contraction.

Capital expenditure fell 0.4 percent from the previous quarter, more than a preliminary 0.2 percent decline.
Expect more printing: As everyone knows, if at first you don't succeed, do even more of what didn't work.

Mike "Mish" Shedlock
http://globaleconomicanalysis.blogspot.com

Ukraine Needs Second Bailout, Currency Reserves Drop to Critical Level; Another IMF Visit; Where's the Love?

Posted: 07 Dec 2014 10:47 AM PST

On Wednesday I noted the arrival of carpetbaggers in Ukraine. (See Enter the Carpetbaggers: Ukraine's New Finance Minister a US Citizen, New Economy Minister from Lithuania).

No carpetbagging mission is ever complete without at least one visit from the IMF.

On Friday we learned that Ukraine will be blessed with a second visit from the IMF as its Foreign-Currency Reserves Dip Below $10 Billion.
Ukraine's central bank reported foreign-currency reserves at their lowest for almost a decade, raising pressure on the West to provide more financing to the country being squeezed by Russia.

It also presents a dilemma for the West, which is reluctant to hand over more cash without clearer evidence that Ukraine's newly elected government will deliver on pledges to overhaul the bureaucratic and corruption-plagued economy.

Ukraine needs to pass a tight budget for next year among other overhauls to land nearly $3 billion from the International Monetary Fund, part of a $17 billion package that officials and analysts in Kiev say already needs to be expanded.

"Ukraine is currently in a pretty critical condition—and desperately in need of IMF life support," Standard Bank analyst Timothy Ash wrote in a note.

Ukraine's central bank said Friday its reserves dropped 21% to $9.97 billion in November from the previous month, after paying off some debt for natural gas deliveries owed to Russia, and servicing other debts.

Reserves are now at their lowest since December 2004, when they stood at $9.71 billion. Analysts said the reserves now cover a little over one month of imports, while the IMF recommends reserves equivalent to at least three months of imports.

The national bank spokeswoman said reserves were "enough to cover all current liabilities." [Failing to add ... for a month].
Where's the Love?

Encouraged by the US, Ukrainians overthrew a Russian-leaning government. The new thugs sought closer ties to Western Europe.

So, where's the European love?

There isn't any. No money is coming from Germany, Italy, France or anywhere else.

Worse yet, Ukraine is bogged down in a war with rebels and all of its gold mysteriously vanished.

Except for the printing press, Ukraine has no money to wage war or pay soldiers. And it has no money at all to pay for oil, natural gas, or any other imports.

Ukrainian Currency in Free-Fall

As one might expect under the dire circumstances, Ukraine's currency, the Hryvnia, is in a state of freefall.




Since November 30, 2013, the Hryvnia has gone from 8.15-per-US$ to 15.34-per-US$. That's a decline of 46.87% in just over a year.

Since June 30, 2008, the Hryvnia has gone from 4.5-per-US$ to 15.34-per-US$. That's a decline of 70.66%.

Were those closer ties to Western Europe worth it? If so, for whom?

Mike "Mish" Shedlock
http://globaleconomicanalysis.blogspot.com

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Seth's Blog : The stories we tell ourselves

 

The stories we tell ourselves

Here's one: "I'm too old to make a difference, take a leap, change the game..." (Sometimes, I hear this from people who are 27 years old).

This is a seductive story, because it lets us off the hook. Obviously, the thinking goes, the deck (whichever deck you want to pick) is stacked against me, so no need to even imagine the failure that effort will bring. Better to just move along and lower my expectations.

Hannes Schwandt has published some interesting research on this. Regret seems to peak at 50, and then, as people start rationalizing that they're not expected to make much of a difference going forward, life satisfaction starts to increase. Of course, this is doubly backwards... we can (and must) contribute as we get older, and freedom is nothing to fear.

Doctor, scientist and speaker Jonathan Sackner-Bernstein wakes us up with this powerful new TEDx talk:

       

 

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sâmbătă, 6 decembrie 2014

Mish's Global Economic Trend Analysis

Mish's Global Economic Trend Analysis


Police Chokehold Ends in Death: Two Videos, Which One is Right?

Posted: 06 Dec 2014 06:37 PM PST

Here is a pair of videos on the death of Eric Garner via police chokehold.

The first video is by comedian Jon Stewart. The Second is an interview of Senator Rand Paul on Fox News.

Please play them both.

Jon Stewart Tears Into Eric Garner Reactions



Link if video does not play: Jon Stewart Tears Into Eric Garner Reactions

Eric Garner 'Didn't Need to Die'



Link if video does not play: Eric Garner 'Didn't Need to Die'

My Take

Both videos come to the same conclusion: Eric Garner 'Didn't Need to Die'. I think we can all agree on that.

And we certainly should agree that Stewart is correct in that something is truly messed up with the grand jury process.

The grand jury problem is easy to describe:

Prosecutors are in bed with the police. The grand jury is fed info the prosecutor wants the jury to hear. If the prosecutor does not want to go after after a police officer, it will not happen. But, if a prosecutor really wants to go after someone, rest assured the charges will be trumped up.

It's that simple. So on that point I side 100% with Jon Stewart.

Yet, Stewart clearly took a couple of clips of Rand Paul totally out of context to make his point. That's something he should not have done.

Mike "Mish" Shedlock
http://globaleconomicanalysis.blogspot.com

Gold Drain at the New York Fed: Where's It Going?

Posted: 06 Dec 2014 11:28 AM PST

Nick at Sharelynx Gold, also known as Gold Charts "R" Us emailed an interesting chart last week showing gold drain at the New York Fed.



Earmarked gold dropped 42 tonnes for the month of October as foreign countries repatriate their gold home.

Here's a link to Earmarked Gold with a second chart that shows all Fed holdings.

Gold Charts "R" Us has 1,000's of pages and over 10,000 charts on a subscription basis, but you can check out the site for free until December 14. Click on the first link at the top for a look.

Where's the Gold Going?

This was the largest monthly drawdown in 13 years and the largest series of drawdowns since 2007 (drawdowns in red on above chart).

So, where's the gold going? Three answers:

Germany

Koos Jansen at BullionStar reports German Gold Repatriation Accelerating.

That article is interesting because it takes to task extremely sloppy Bloomberg reporting regarding German golf repatriation.

Netherlands

On November 21, Jansen reported Netherlands Has Repatriated 122.5t Gold From US.

The Dutch central bank, De Nederlandsche Bank (DNB), has repatriated in utmost secret 122.5 tonnes of gold from the Federal Reserve Bank of New York (FRBNY) to its vaults in Amsterdam, The Netherlands, according to a press release from DNB published today (November 21).

DNB states it has changed allocation policy from 11 % in Amsterdam, 51 % at the FRBNY, 20 % in Canada and 18 % at the Bank Of England (BOE); to 31 % in Amsterdam, 31 % at the FRBNY, 20 % in Canada and 18 % at the BOE. According to the World Gold Council's latest data DNB has 612.5 tonnes in official gold reserves.



Belgium

Yesterday, Jansen reported Belgium Investigating To Repatriate All Gold Reserves.

Countries want their gold back. Who can blame them?

Mike "Mish" Shedlock
http://globaleconomicanalysis.blogspot.com

Seth's Blog : Goals, strategy and tactics for change

 

Goals, strategy and tactics for change

The Goal: Who are you trying to change? What observable actions will let you know you've succeeded?

The Strategy: What are the emotions you can amplify, the connections you can make that will cause someone to do something they've hesitated to do in the past (change)? The strategy isn't the point, it's the lever that helps you cause the change you seek.

The Tactics: What are the actions you take that cause the strategy to work? What are the events and interactions that, when taken together, comprise your strategy?

An example: Our goal is to change good donors to our cause into really generous donors. Our strategy is to establish a standard for big gifts, to make it something that our good donors aspire to because it feels normal for someone like them. And today's tactic is hosting an industry dinner that will pair some of our best donors with those that might be open to moving up.

If you merely ask someone to help you with a tactic in isolation, it's likely you won't get the support you need. But if you can find out if you share a goal with someone, then can explain how your strategy can make it likely that you'll achieve that goal, working together on a tactic that supports that strategy is an obvious thing to do.

And it certainly opens the door to a useful conversation about whether your goal is useful, your strategy is appropriate and your tactic is coherent and likely to cause the change you seek.

A tactic might feel fun, or the next thing to do, or a lot like what your competition is doing. But a tactic by itself is nothing much worth doing. If it supports a strategy, a longer-term plan that builds on itself and generates leverage, that's far more powerful. But a strategy without a goal is wasted.

       

 

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