Rules of engagement
Experts at the Kellogg Marketing Conference
explain that there’s a right way -- and a very wrong way -- to engage
with consumers during these economic time.
Listening to your consumer isn’t going to cut
it anymore. These days, firms need to engage, interact and connect with
their customers on a deeper, more meaningful level if they’re going to
survive the economic downturn.
That was the common thread of
advice given by marketing scholars and practitioners at the 2009
Kellogg Marketing Conference, held Jan. 23 on the Chicago campus and
Jan. 24 on the Evanston campus. Themed “Consumer 2.0: The Game Has
Changed,” the conference featured a series of panel discussions,
lectures and networking opportunities directed at marketing
professionals and Kellogg students, faculty and alumni.
During
his keynote address on Jan. 23, Rory Finlay ’88, senior vice president
and global chief marketing officer for Beam Global Spirits & Wine,
emphasized the importance of increasing the “talkability” of brands
during a recession. “We know that when people talk about a brand, the
odds that they will consider using it go up,” Finlay said. “Nothing is
more powerful than person-to-person talk; it’s genuine, trustworthy and
has legs.”
Finlay offered several examples of how Beam has
increased the talkability of its spirits and incited “brand fans.” For
instance, Maker’s Mark consumers can now sign up online to become
“Maker’s Mark Ambassadors” and have their name printed on the barrel of
“their” whisky batch. Today, there are more than 600,000 registered
ambassadors, and “we’re starting to see people listed as ‘Maker’s Mark
Ambassadors’ in obituary listings,” Finlay said.
Mike
Mickunas, global vice president of consumer insights at the Kellogg
Company, shared similar strategies during his keynote address on Jan.
24. To drive consumer engagement with Kellogg’s Frosted Flakes,
Mickunas said, Kellogg’s introduced a “Plant a Seed” program to rebuild
playing fields across America. Consumers can visit the Frosted Flakes’
Web site to nominate a playing field in their community and send
“virtual seed packets” to friends to spread the word. Not only has the
campaign allowed Frosted Flakes to connect with “Mom,” Mickunas said,
but the program has been picked up by national media.
Conference
participants selected from a series of panel sessions on Jan. 24,
including “Reframing Brands for the International Consumer,”
“Minorities as the New Majority” and “Customizing an On-Demand Nation.”
One of the most popular sessions, “Letting Go: When Consumers
Control the Message,” evaluated how firms can benefit from, and be hurt
by, close engagement with consumers. On the positive side, Andrea
Winitsky, regional marketing director of Yelp.com, explained that a
moving company saw its sales jump 30 percent in one year after
customers posted positive reviews on Yelp.com. However, when Chevy
allowed consumers to post videos on their Web site about how much they
loved their Chevy trucks, “wouldn’t you know that many of the videos
were made by people who hated trucks and were interested in green
technology,” said Andrew Strickman, managing director and vice
president of creative at Ammo Marketing. “It did a huge amount of
damage and threw egg on the face of Chevy. And the press picked it up,
which was the ultimate egg on the face.”
Moreover, it’s
dangerous to speculate on the needs of your consumers, said Teaque
Lenahan ’01, associate partner at gravitytank. “A lot of businesses
assume that that people using technology like Facebook are Millennials
or younger,” he explained. “But that’s a mistake. One of the fastest
growing consumers of Facebook is 36-45 year olds. So what you expect is
not always reality.” To get at the heart of your consumers, Lehahan
said, you need to do some dirty work: Hit the streets, “play dumb, shut
up and let the customers talk.”