





Forget about the brand loyalist, writes Patrick Collister. It’s time to work with the brand participant.
David Ogilvy famously said once, “The consumer is not a moron, she is your wife.”
And wives have never been morons. They can see through flim-flam and have always been able to make up their own minds about products.
Nowhere is this more true than in the literary world. Take Captain Corelli’s Mandolin as just one example. Trashed by the critics, word of mouth turned it into a bestseller. And if consumers had believed the critics, then J. K. Rowling would still be sitting in an
In the
82% of all new product launches in the
Marketers bravely come up with new extensions, new variants and new takes on old brands just to try to keep us interested and most of the time they fail miserably. Still, the money they spend does help keep the economy chugging along and right now it needs as much chug as it can get.
The point is, consumers have always had more common sense than marketers and you would imagine that in all those research groups they are given the opportunity to help brand managers avoid expensive mistakes. After all, in the
It’s not that marketers are not listening, but that they are asking all the wrong questions and in the wrong ways and in the wrong places. In truth, the consumer has changed, yes. But that doesn't mean we need to change how we address him and her. It means we have to change everything we do; how we organise our companies, how we manufacture our products and how we price them.
As a result of the digital revolution, the consumer can be, even should be, an active participant in the four P’s of marketing – in helping to create the product then place it, price it and promote it.
A handful of brands have ‘got it’ and it is no surprise these are ‘youth’ brands, because our youth are actively seeking out the brands they aspire to, and they appreciate and demand involvement.
Take Doritos. In
Nearly 1,000 videos were submitted and on the night of the Superbowl they ran four of the spots and invited viewers to go their website to vote for their favourite ad.
What they were not prepared for were the many visitors who wanted to talk about how much they love Doritos. These fans had ideas for the packaging, ideas for new flavours, ideas about how to get new customers. In essence, the website had become a big friendly focus group.
They listened to their fans and responded by creating new Sweet n’ Spicy Doritos. But before launching the new variant, they created an online competition to find the sweetest girl and the spiciest guy. This was a website where kids could upload photos of themselves and details about what made them sweet or spicy. An algorithm determined how long visitors spent looking at each of the applicants and selected the 12 young people who had the most time spent looking at them. The dozen were invited to take part in a reality TV show on MTV, where teen viewers could watch and phone in their votes for the sweetest girl and the spiciest boy.
Once the couple had been chosen, then Doritos were able to announce: “now you have chosen who will star in the TV campaign to launch the product you designed, all you have to do is write the commercial.” Doritos fans have been engaged in new product development, launch strategy and in creating the advertising. And they loved it.
The new consumer doesn’t so much want to be a brand loyalist any more, as a brand participant, and as is so often the case these days, the advertising industry lags behind others in understanding the implications of this.
Radiohead is an alternative rock band in the
Most websites are simply online brochures offering absolutely no reason at all to the visitor to return a second time. Radiohead set out to get their site bookmarked and regularly visited by writing a blog. Whereas Britney Spears is said to hire in people to tweet for her, Radiohead actually do write the blog themselves. In 2007 the band launched In Rainbows from their website, inviting customers to download the album and make whatever payment they felt was fair.
It is said that 82% of their fans thought paying nothing at all was fair. However, those that did pay, did so over the odds and bought the special ‘discbox’ with extra goodies included. By the time they had finished, they made over four pounds per CD and had created enormous buzz as well and a nice warm feeling.
Their next move was to release the single Nude but in five different parts which you could download from iTunes to remix yourself. They invited fans to upload the remixes to the website and vote for them. The number one remix garnered nearly 250,000 votes.
Now, think about it.
Nine Inch Nails is another innovative marketer with rocker Trent Reznor showing many brands how sharing enthusiasms and ideas can be profitable. But it means brands have to listen. And maintain a conversation.
In the old days, advertising was the business of creating messages every now and then and measuring the effect. Now you can tell within hours what that effect might be and amend your communications accordingly. It means you have to have someone, if not entire teams, creating your communications daily. Not every once in a while.
It means, rather than spend a million pounds on a TV campaign, you might be better off hiring four or five people to blog and twitter for you.
Zappos, the
While television advertising remains the single most powerful means by which marketers can reach mass audiences, the model is changing rapidly. Social media is becoming more and more important and this is providing marketers and their agencies with new challenges. It’s not enough to create B to C messages. Now you have to have ideas that allow and encourage C to C communication.
In 2009, the RNLI, a charity dedicated to saving lives of stricken sailors at sea, wrote to a dozen young video bloggers and asked them: Is your generation really as selfish and as stupid as your elders believe? The result was a torrent of argument and debate online before RNLI put out a video explaining what they were doing and why. So far, the video has received nearly one million views on YouTube, reaching a swathe of youngsters who had previously been unfamiliar with the charity and its important work. The number of volunteers has significantly increased.
The old consumer called this word of mouth, and it was always the most powerful of all advertising tools. It still is. But whereas the old consumer used to pause and chat on street corners or in the supermarket café, the new consumer has myriad more places to go and sound off.
She also knows that together with like-minded souls she can bring pressure to bear on even the largest companies; www.babymilkaction.org is a group engaged in getting as many mums as possible to boycott buying Nestlé products because they find Nestlé “to be responsible for more violations of the World Health Assembly marketing requirements for baby foods than any other company.” One day, Nestlé will stop ignoring what people are saying about them and start to listen because if they don’t their business will be damaged.
The trouble is, like so many organisations, they are working hard to preserve the status quo, to keep processes and procedures exactly as they are.
The companies that will succeed in these bold new times are those that actively set out to create and manage change, knowing that if they do not, change will come and engulf them anyway.
It is not so much that there is a new consumer nowadays as a whole new order.
Patrick Collister is Editor, Directory magazine. He is former Executive Creative Director and Vice Chairman, Ogilvy & Mather.
patrick@directnewideas.com

The consumer is king in every way but are brand managers paying attention? Marylou Andrew reports.
Consumers have always been in flux, there is nothing new about that. Some develop new needs over time, others have changing tastes and still others find new ways of looking at old things. This simply highlights the importance of the golden rule of marketing: know your consumer (at all times).
But if people are generally subject to change, why all this talk of a new-age consumer? Many experts say it is because the pace of change is far more rapid now than ever before. This begs the question: who are these new consumers and what are the characteristics that define them?
Before answering this, it is important to remember that there is no ‘typical’ consumer.
Consumers are differentially evolved and savvy, i.e. different types of people change at entirely different paces, and in a country like
1. Access to Technology
Technology has always been an important driver of change in consumer behaviour. Even people at the lowest rungs of income and education now own or have access to a television and a mobile phone. On the more evolved end of the spectrum, there are the smartphones, the MP3 players, the PSPs and the internet, which with its hundreds of social networks and websites gives people the chance to share views and opinions with peers and to generate and publish their own content.
2. Expansion of the media
A by-product of access to technology,
3. The impact of the financial meltdown
Pakistan may not have been as badly hit by the global economic meltdown as the West, but the recession (and internal security issues) have destabilised the rupee, leading to levels of inflation that were previously unheard of. According to the CIA World Factbook,
Fleshing out the new consumer
Marketing experts unanimously agree that an increased sense of awareness is the key characteristic of the new consumer. Sara Amjad Qureshi, Senior Planner, JWT Pakistan says that “a mere decade ago, Pakistani consumers were not as aware, well informed or sophisticated… [now] consumers are no longer naïve or willing to settle; they know what they want and ask for it.”
On the one hand, consumers have a great deal more information about brands, on the other, they have many more brands to choose from – at the top end there are the international brands flowing in by legal and illegal means, and at the bottom end there are the regional, mushroom brands that are giving mainstream brands a run for their money. These two factors combined have given today’s consumer the confidence to demand that companies give them the brands and products they need, rather than mindlessly consuming what they are given.
Two excellent examples of categories driven by consumer demand exist in the Pakistani market. The first are the healthy food alternatives, where even as late as 2005 there were very few options for health conscious consumers. However, look at the aisles of any supermarket now and there is evidence that brands have responded to the health drive by introducing green tea, low calorie sweeteners, brown sugar, skimmed milk, low fat yoghurt, low cholesterol margarine, etc.
The other example is the convenience foods category. As consumer lifestyles have become fast paced, the need has been for food that is uncomplicated and hassle free. This has spawned the birth of a number of companies which offer ready-to-cook and ready- to-eat meals as well as frozen foods of every imaginable variety. Both examples underline the simple fact that the consumer is in control.
To further complicate matters for brands, this new, controlling consumer is price sensitive and bargain driven – as a direct result of inflationary pressures. This does not mean that people are not buying anymore, but rather that they are looking for value (or perceived value) for money from their purchase.
Arslan Ashraf, Managing Director, AC Nielsen
If down trading is difficult (and it can be in
“They may buy Lux soap for their guest bathroom but Lifebuoy soap for themselves.”
As a result of conjunction consumption (and because they are spoilt for choice), consumers are no longer brand loyal. Muhammad Zubair, CEO, Foresight Research, explores the many issues surrounding brand loyalty in detail on page 40 (see A question of loyalty). However, in an interview for this story, he explained that new-age consumers are defined by unstable brand preferences.
This instability is intensified by increased access to peer review and opinion. People have always been influenced by what their friends and family tell them about brands, but thanks to the internet, there are thousands of consumers worldwide to tell them exactly what they want to know. Peer reviews offer the kind of credibility and relevance that advertising and brand promotions are unable to provide.
Marketing to the new value seekers
Therefore if consumers are changing, it should follow that the way brands talk to them has to change too. People are no longer in the places they used to be. Instead of being at home in front of their TV, they are in shops, supermarkets, parks, cinemas and restaurants. And even if they are at home, brands probably have a better chance of catching them on the internet or on their mobile phone. This is not to say that TV is unimportant, just that it is easier to get lost in the clutter of 70 plus channels.
But catching the consumer is not enough – engagement is the new buzzword and it is here to stay. New-age consumers (according to a 2008 edition of the Journal of Brand Management) are “empowered by information, but time poor… [so they are] driven by value seeking… value for time, value for attention and value for access to their personal information.”
This basically means that if a brand’s message is not relevant or engaging enough, consumers will filter it out. Thus the many touch points available to brands have to be infused with the value of customised (and memorable) messaging.
On page 34, Ali A. Rizvi (see The new rules of engagement) calls on marketers to re-examine their use of traditional and non-traditional media to reach the new consumer. On page 16, Patrick Collister (see The new consumer order) says that it isn’t enough just to re-look at the use of media, brands have to make consumers brand participants from the get-go (in product development and brand communication) because that is the kind of interaction people are looking for.
However, there appears to be a disconnect between these views and those expressed by brand managers in
It seems unlikely. Consumers are already quite aware of the marketing gimmickry they are confronted with. Now more than ever, they understand the concepts and rules which govern the promotion of products and services. Obviously marketers will view this as a challenge, but there is also the opportunity of starting a conversation between the marketer and savvy consumer. However, this does not mean that all consumers want to have a conversation. Just like consumers are differentially evolved, brand managers have to be differentially responsive. While some consumers may have the time and inclination to be involved in the participative model Collister refers to, others may simply want a brand that is responsive to their needs.
Nevertheless, the one constant that remains, to quote a cliché, is change. Consumers are in charge and they are constantly changing. It is time for brand management to sit up and take note.
Tyrone Tellis draws a few apt marketing lessons from Bollywood legends.
Love it or hate it, you just can’t ignore the Indian media barrage. It’s there, and from the look of things, it will be there for some time to come. I, for one, decry the scandalous and boring content of the Indian dramas, where everyone seems to be rich and attractive; the unprofessional attitudes and theatrics of the stars in the music-based reality shows, and the low level of entertainment value in Bollywood movies. It’s sad to see the regression in Indian cinema – standards have fallen drastically – they may outstrip
Perhaps this is the reason why people from both sides of the Wagah border remember with fondness and regret the halcyon days of Indian cinema, when stars like Rajesh Khanna and the young Amitabh Bachchan strutted the stage. Truth be told, there was a time when all three Woods – Holly, Bolly, and even our now defunct Lolly – were on par in terms of grace, charm and style.
In those days, the celebrities who came along not only revolutionised Indian cinema, they also had a big impact on how that country’s culture evolved. Nowadays, everything is related to marketing. We are taught that you have to market your brand, your company, your image, even yourself. The most recent example was Obama’s successful presidential campaign, which was the result of savvy and insightful marketing by his team as well as thousands of motivated volunteers. However, the people I want to talk about here did not have the luxury of reading Kotler’s books on marketing or had access to the tools and research methods that we have today. Yet, they made it big and turned their ‘brands’ into household names, not only in
A HERO’S TALE
Shammi Kapoor had a problem. He wanted to become a Bollywood hero, but he knew he could not compete on level terms. In the mid-50s, Indian cinema was ruled by a trio of stars: Raj Kapoor, with his Chaplin-like antics, Dev Anand the down to earth debonair lover, and Dilip Kumar, a powerful actor with a talent for serious roles. Shammi knew he wasn’t like any of them. Judging by a string of failures acting in serious roles, he knew that if he was to break into the cinema industry he would have to do something radically different.
His solution was pure genius. Realising that he didn’t fit the market, he changed the market to fit him. He created a new type of hero; vibrant and lively; dashing and charming and also a bit of a rogue. His strategy worked. Whether he was a very intelligent marketer who foresaw the changes that were to come in lifestyles and music globally, or whether his timing was right in terms of reaching out to a new youth culture is a question up for debate. But whatever the case, his new look hero was an instant hit with the young. To ensure his success, he enlisted Mohammed Rafi as his playback singer, making the already established Rafi the voice of Shammi Kapoor.
Marketing lesson: I remember reading in (I think it was) The 22 Immutable Laws of Marketing by Al Ries and Jack Trout that if you can’t be first in a category, then set up a new category you can be first in.
A TALE OF TWO KS


In the late 40s, a young man from
In the chapter titled, ‘Kenna’s Dilemma’ in his book Blink, Malcolm Gladwell deals with the weaknesses of market research and how it affects marketing. For those of you who haven’t read Blink – Kenna is a singing sensation; he is loved by the record industry experts (the manager of U2 flew him to
Gladwell also deals with the problem of context. Market research, especially product tests, are conducted in an artificial environment, and yet, consumers do not interact with products in a sterile space; they meet and use them in the real world. We produce ads in agencies and test them out in research agencies, or in what we consider to be close to real life situations in workplaces, colleges or homes. However, what we fail to realise is that in the process we are shutting out a lot of the stimuli and distractions that a consumer experiences in daily life. Our close to real life situations are not close enough!
Marketing lesson: Beware of relying on research too much (especially when considering a product launch), as some people mistake a confused response as a negative one.
A TALE OF TWO SISTERS
As a small time actor herself, Shobhna Samarth wanted her daughters to become heroines of the Indian silver screen. She launched both of them in the same movie in 1950, but the movie failed to bring them fame and stardom. So what did Shobhna do? She packed them off to a finishing school in
Marketing lesson: Sometimes instead of changing the marketing or the advertising, it’s better to tweak the product and change the packaging.
These examples are proof that the fundamentals are the same whether you are trying to launch an automobile or a Bollywood star. As it says in 22 Laws – marketing is not a battle of products, it’s a battle of perceptions.
Tyrone Tellis is a media planner.
tyrone.tellis@gmail.com