Next week, the Spring radio ratings are released. In the business I’m in, I’m often asked by clients to plan media schedules, and along with that make recommendations on which media they should buy, influenced in no small part by the results of these ratings surveys.
Planning media buys often means meeting with different media sales people, all of whom are trained at specialized media propaganda training camps in Russia to insist their station/newspaper/etc. is number one. It’s rumoured one radio station sales rep once claimed his station was number two. He was immediately shipped off to a Gulag and never heard from again.
So, how exactly are ratings determined? By sales reps pummelling each other with foam nerf bats, of course. I’m kidding, though there is an argument to be made for adopting this system.
Instead, broadcast media ratings are determined by periodic surveys conducted throughout the year. In radio, BBM, formerly known as The Bureau of Broadcast Measurements, conducts two surveys a year, in the Spring and Fall.
During radio ratings periods (indicated by the sudden onslaught of radio stations giving away cars, trips, small countries, etc.), diaries are distributed randomly throughout various coverage areas. Regular people, like you and I, receive these diaries and are invited to log our radio listening habits during this period. When we’re done, we return the diaries so data can be compiled and published in a ratings ‘book’.
Once published, media sales reps lock themselves away in darkened rooms for days, studying all the various number combinations, in an effort to find the statistics needed to justify emerging days later, claiming to be number one.
So, does this mean there can actually be more than one number one? Odd as it may sound, the answer is yes. Broadcast media ratings are convoluted, complex beasts, measuring every imaginable demographic, day of the week, time of day, etc. These statistics can be interpreted in many, many different ways and inevitably are.
Some calls from media reps following the release of a new ‘book’ go like this:
“Adam, great news, the ratings just came out and we’re number one with women aged 25-54, Monday - Sunday, all day parts!”
Others go like this:
“Adam, great news, the ratings just came out and we’re number one with one-legged, male clowns aged 90-99, between the hours of 3am and 4am on Mondays! Hello? Hellooooo?”
While one station can be number one with males 25 - 44, another station can be number one with males 35-44. While one station can be number one woman 18-24, 18-34 and even 18-44, another station could still take top honours in the 18+ category (meaning everybody over the age of 18).
Comparing apples to apples is always the key to making educated ratings decisions. Make sure whenever you request ratings information from different stations, what you get back is consistent across the board; same demographics, same time periods, and so on.
In the end, of course, if you’re still not satisfied you’re getting the information you need, don’t be afraid to get assertive and be insistent. And when all else fails, a good, firm foam nerf bat always helps.
Thursday, June 10, 2010
One More Time... With Passion!
As those who follow my columns know (and I thank you both), I often refer to my kids in these little scribblings. This week though, I feel compelled to puff out my chest as a boastful Father and congratulate my daughter for winning the Grade 7 School District 23 Rotary Speech Competition this past Tuesday.
She delivered a fantastic speech, but what was just as impressive as what she said, was the conviction and passion with which she said it.
I was reminded as I watched her, passion sells! And therein, lies a good lesson for all those in the business of pitching ideas. (you know who you are)
I’ve spent nearly thirty years pitching concepts to clients. I’ve pitched every type of client in every type of situation and two things I’ve noticed: 1. Clients are scary and 2. When you really believe in an idea and you show it, the energy is infectious.
I’ve seen many great ideas plummet faster than George Bush’s second term approval ratings’ as a result of a less than impassioned pitch. Creative ideas, being intangible as they are, are often difficult to visualize. In many cases, the confidence of the presenter is the only way to determine whether or not there is genuine confidence in the proposed direction. And when grasping the concept isn’t all that easy to do, sometimes it’s that confidence that wins the day.
Now, there is a converse to this, which is that creative people, in sinking their heart and soul into a creative idea, can at times become so attached to their own work they will fight for it long after the idea’s been read its last rites.
Years ago, I was sent by the company I worked for to a creative conference in San Francisco. During one of the sessions (yes, I did actually attend one or two of them in between trolly rides and far too much time spent at Fisherman’s Wharf - sorry if my old boss is reading this) a Creative Director from Chiat & Day, a leading US agency, reminded us to court our ideas but never marry them, which was a good thing because one of my ideas wound up cheating on me and running off with a pediatrist. I’m over it.
Creatives, like myself, always believe in what we create. That isn’t to say however, that what we create is always right, or that it’s the only idea that works. As important as presenting a concept with passion, is the ability to know when to give it up.
And here’s a tip, when an idea is right, everybody knows it! If you have to try too hard to sell the idea, it may not be a matter of ‘them’ not getting it. It may just be that the idea doesn’t work, period. Exhibit A: Green ketchup.
While working in radio in the 1990’s, I worked with a writer who would call a client with a script idea and what followed was a theatrical, over-the-phone performance worthy of an Oscar. He would mimic sound effects and do all the character voices in a one-man-show worthy of paid admission. His passion and his energy were irresistible.
This dynamic applies to brainstorming sessions as well.
Brainstorming can be an intimidating process, even for the most creative people. The thought of throwing an idea out there to face a potential mauling by a room full of creative grizzlies can render silent even the loudest voices in the group.
So, got a great idea? Present it with passion and conviction. Be prepared to fight for it with the same passion and conviction. And always know when to quit.
Before signing off, a shout out to my kid. Congratulations sweetie. The good news is you won! The bad news is, in a few years I’ll be getting you to do all my pitches! Did I mention clients are scary?
She delivered a fantastic speech, but what was just as impressive as what she said, was the conviction and passion with which she said it.
I was reminded as I watched her, passion sells! And therein, lies a good lesson for all those in the business of pitching ideas. (you know who you are)
I’ve spent nearly thirty years pitching concepts to clients. I’ve pitched every type of client in every type of situation and two things I’ve noticed: 1. Clients are scary and 2. When you really believe in an idea and you show it, the energy is infectious.
I’ve seen many great ideas plummet faster than George Bush’s second term approval ratings’ as a result of a less than impassioned pitch. Creative ideas, being intangible as they are, are often difficult to visualize. In many cases, the confidence of the presenter is the only way to determine whether or not there is genuine confidence in the proposed direction. And when grasping the concept isn’t all that easy to do, sometimes it’s that confidence that wins the day.
Now, there is a converse to this, which is that creative people, in sinking their heart and soul into a creative idea, can at times become so attached to their own work they will fight for it long after the idea’s been read its last rites.
Years ago, I was sent by the company I worked for to a creative conference in San Francisco. During one of the sessions (yes, I did actually attend one or two of them in between trolly rides and far too much time spent at Fisherman’s Wharf - sorry if my old boss is reading this) a Creative Director from Chiat & Day, a leading US agency, reminded us to court our ideas but never marry them, which was a good thing because one of my ideas wound up cheating on me and running off with a pediatrist. I’m over it.
Creatives, like myself, always believe in what we create. That isn’t to say however, that what we create is always right, or that it’s the only idea that works. As important as presenting a concept with passion, is the ability to know when to give it up.
And here’s a tip, when an idea is right, everybody knows it! If you have to try too hard to sell the idea, it may not be a matter of ‘them’ not getting it. It may just be that the idea doesn’t work, period. Exhibit A: Green ketchup.
While working in radio in the 1990’s, I worked with a writer who would call a client with a script idea and what followed was a theatrical, over-the-phone performance worthy of an Oscar. He would mimic sound effects and do all the character voices in a one-man-show worthy of paid admission. His passion and his energy were irresistible.
This dynamic applies to brainstorming sessions as well.
Brainstorming can be an intimidating process, even for the most creative people. The thought of throwing an idea out there to face a potential mauling by a room full of creative grizzlies can render silent even the loudest voices in the group.
So, got a great idea? Present it with passion and conviction. Be prepared to fight for it with the same passion and conviction. And always know when to quit.
Before signing off, a shout out to my kid. Congratulations sweetie. The good news is you won! The bad news is, in a few years I’ll be getting you to do all my pitches! Did I mention clients are scary?
Music To My Ears!
Tuesday and Wednesday nights, my house is filled with intolerable wailing, piercing squeals and the occasional inappropriate gyration. I’m speaking, of course, of American Idol.
We watch with anticipation, fresh, innocent youngsters transformed into cocky, self absorbed superstars, one of them destined for fame, fortune and the Betty Ford clinic. Now that’s family entertainment.
I hate American Idol and it’s cavalcade of singers who leave me humming 1970’s Captain and Tennille songs for a week, unable to get the melodies out of my head. This week, the wannabees belted out Elvis Presley classics. I’ve spent the last three days working to Blue Suede Shoes playing over and over in my brain.
Such is the power of music and audio. And therein lies a useful tip for advertisers.
For advertisers using broadcast mediums, there are few things more powerful than a memorable jingle.
For years in Vancouver, I created advertising for companies like United Furniture Warehouse, Lens & Shutter, Speedy Auto Glass and Budget Brake & Muffler, all of whom were heavy broadcast advertisers. Jingles were an invaluable tool used to deliver their brand to the market.
Not all the jingles are hood. Then again, not all Elvis’s songs were good either, but he never complained.
A memorable jingle, used repeatedly over time, creates an indelible marker in our brain that never disappears. A few bars forces complete recall of the advertiser, in a powerful, influential way. Even if we don’t like the jingle, its ability to reside in the brain’s filing cabinet and be instantly recalled is incredible.
Buyology Inc. and Elias Arts, a sound identity company in New York, wired up 50 volunteers and measured their galvanic, pupil, and brainwave responses to sounds using the latest neuroscience-based research methods. Amazing was how many commercial brands over the past 20 years have made their way into the world’s 10 most powerful and addictive sounds, beating some of the most familiar and comforting sounds of nature.
Sound is such a powerful stimulus, in Las Vegas, when casinos experimented with removing sounds from their slot machines, the end result was a decline in revenues of 24%. Coincidentally, they tried the same thing with Wayne Newton, turning off his microphone during his concerts... ticket sales soared.
A good jingle can run several thousand dollars or more. But prorated, over the life of the jingle, which can be several years or even several decades, the cost is minimal. Companies like Budget Brake & Muffler, for example, have been using their jingle since the 1980’s.
Jingles can be as simple as a little “stinger”, like the electronic Intel signature sound, which, by the way, ranked number two on Buyology Inc.’s most addictive, memorable sounds of all time. Or they can be fully blown songs with verses and choruses, something, apparently, Eminem is still trying to figure out how to do.
For advertisers looking to create a jingle, there are several good jingle companies locally, ranging from one-person composers, to larger, fully equipped studios. Of course, you can look to larger markets like Vancouver or Toronto, but expect to spend a lot more money.
If you’re a broadcast advertiser, don’t under estimate the power of sound and the value of a great jingle.
Get a great tune into the consumer’s head, and it’s there forever! ... “Well it’s one for the money.. two for the show.. three to...”, sorry, what was I saying?
We watch with anticipation, fresh, innocent youngsters transformed into cocky, self absorbed superstars, one of them destined for fame, fortune and the Betty Ford clinic. Now that’s family entertainment.
I hate American Idol and it’s cavalcade of singers who leave me humming 1970’s Captain and Tennille songs for a week, unable to get the melodies out of my head. This week, the wannabees belted out Elvis Presley classics. I’ve spent the last three days working to Blue Suede Shoes playing over and over in my brain.
Such is the power of music and audio. And therein lies a useful tip for advertisers.
For advertisers using broadcast mediums, there are few things more powerful than a memorable jingle.
For years in Vancouver, I created advertising for companies like United Furniture Warehouse, Lens & Shutter, Speedy Auto Glass and Budget Brake & Muffler, all of whom were heavy broadcast advertisers. Jingles were an invaluable tool used to deliver their brand to the market.
Not all the jingles are hood. Then again, not all Elvis’s songs were good either, but he never complained.
A memorable jingle, used repeatedly over time, creates an indelible marker in our brain that never disappears. A few bars forces complete recall of the advertiser, in a powerful, influential way. Even if we don’t like the jingle, its ability to reside in the brain’s filing cabinet and be instantly recalled is incredible.
Buyology Inc. and Elias Arts, a sound identity company in New York, wired up 50 volunteers and measured their galvanic, pupil, and brainwave responses to sounds using the latest neuroscience-based research methods. Amazing was how many commercial brands over the past 20 years have made their way into the world’s 10 most powerful and addictive sounds, beating some of the most familiar and comforting sounds of nature.
Sound is such a powerful stimulus, in Las Vegas, when casinos experimented with removing sounds from their slot machines, the end result was a decline in revenues of 24%. Coincidentally, they tried the same thing with Wayne Newton, turning off his microphone during his concerts... ticket sales soared.
A good jingle can run several thousand dollars or more. But prorated, over the life of the jingle, which can be several years or even several decades, the cost is minimal. Companies like Budget Brake & Muffler, for example, have been using their jingle since the 1980’s.
Jingles can be as simple as a little “stinger”, like the electronic Intel signature sound, which, by the way, ranked number two on Buyology Inc.’s most addictive, memorable sounds of all time. Or they can be fully blown songs with verses and choruses, something, apparently, Eminem is still trying to figure out how to do.
For advertisers looking to create a jingle, there are several good jingle companies locally, ranging from one-person composers, to larger, fully equipped studios. Of course, you can look to larger markets like Vancouver or Toronto, but expect to spend a lot more money.
If you’re a broadcast advertiser, don’t under estimate the power of sound and the value of a great jingle.
Get a great tune into the consumer’s head, and it’s there forever! ... “Well it’s one for the money.. two for the show.. three to...”, sorry, what was I saying?
Medium Rare.
Recently I had lunch with a friend of mine who also happens to be my banker. I know he’ll be reading this, so I have to be nice. I don’t want my interest rates to go up.
After catching up on our personal lives, we began talking about marketing, mainly because talking about banking while I eat gives me indigestion.
Half way through his quesadilla, he stopped in mid bite and asked me which media works best.
It’s a question I get asked quite often by my clients, usually followed by, “I’ve tried ‘such and such’ media and it doesn’t work.”
Some weeks ago I wrote a column encouraging advertisers not to blame the media but instead question the message. In some ways, this is part two of that same topic.
While the message is critically important, understanding each media and how to use, is just as important.
Contrary to what many advertisers think, all mediums are not alike. But let me reassure you, they all work.
If newspaper advertising didn’t work, you wouldn’t be reading this column, because there would be no more newspapers published. If radio didn’t work, there would be no radio stations. If TV didn’t work, Survivor wouldn’t exist and Mark Burnett would be grilling burgers and asking drive thru customers if they’d like fries with that.
It all works; TV, radio, print, the Internet, busboards, billboards, magazines, map guides, even those little one page coffee readers in coffee shops everywhere that treat you to important trivial facts about women in Cleveland with cantaloupes growing out of their heads.
Where things tend to fall down is when advertisers make the assumption that every media is digested the same way by all consumers.
Take TV and newspapers, for example.
TV is an entertainment media, that is if you don’t include shows with Tori Spelling in them. It’s an escape, where viewers tune in to be stimulated and entertained. Even TV news is more entertainment than news. When a consumer is in entertainment mode, advertising needs to follow suit.
In contrast, newspapers are embraced for their news and information value. Readers want content (and that includes advertising) that is informative and current. Newspaper creative should therefore be developed with that in mind.
This can be extended even further to individual media outlets within the same media and the differences between them.
I remember years ago, working in radio, advertisers would often produce the same piece of creative to run on three different radio stations. With the same commercial running on a country station, a rock station and a news/talk station, advertisers would wonder why their ads weren’t as effective as they’d hoped.
What works on a twenty year-old heavy metal listener doesn’t necessarily work on a forty year-old academic listening to a program discussing the psychological ramifications of polyster on society.
Want to create an effective TV ad, it had better be entertaining and stimulating. Want a great newspaper campaign, make the message current and create urgency. Plan on spending some money in that little coffee shop one-pager? Keep it short and compelling... it doesn’t hurt to throw in the odd picture of a woman with a cantaloupe growing out of her head either. And if you’re running advertising on two or three local radio stations, consider developing different creative to appeal to each unique audience.
That’s this week’s tip. And if my banker is reading this, since I wrote my column about it, do you think I can submit my club sandwich as a business expense?
After catching up on our personal lives, we began talking about marketing, mainly because talking about banking while I eat gives me indigestion.
Half way through his quesadilla, he stopped in mid bite and asked me which media works best.
It’s a question I get asked quite often by my clients, usually followed by, “I’ve tried ‘such and such’ media and it doesn’t work.”
Some weeks ago I wrote a column encouraging advertisers not to blame the media but instead question the message. In some ways, this is part two of that same topic.
While the message is critically important, understanding each media and how to use, is just as important.
Contrary to what many advertisers think, all mediums are not alike. But let me reassure you, they all work.
If newspaper advertising didn’t work, you wouldn’t be reading this column, because there would be no more newspapers published. If radio didn’t work, there would be no radio stations. If TV didn’t work, Survivor wouldn’t exist and Mark Burnett would be grilling burgers and asking drive thru customers if they’d like fries with that.
It all works; TV, radio, print, the Internet, busboards, billboards, magazines, map guides, even those little one page coffee readers in coffee shops everywhere that treat you to important trivial facts about women in Cleveland with cantaloupes growing out of their heads.
Where things tend to fall down is when advertisers make the assumption that every media is digested the same way by all consumers.
Take TV and newspapers, for example.
TV is an entertainment media, that is if you don’t include shows with Tori Spelling in them. It’s an escape, where viewers tune in to be stimulated and entertained. Even TV news is more entertainment than news. When a consumer is in entertainment mode, advertising needs to follow suit.
In contrast, newspapers are embraced for their news and information value. Readers want content (and that includes advertising) that is informative and current. Newspaper creative should therefore be developed with that in mind.
This can be extended even further to individual media outlets within the same media and the differences between them.
I remember years ago, working in radio, advertisers would often produce the same piece of creative to run on three different radio stations. With the same commercial running on a country station, a rock station and a news/talk station, advertisers would wonder why their ads weren’t as effective as they’d hoped.
What works on a twenty year-old heavy metal listener doesn’t necessarily work on a forty year-old academic listening to a program discussing the psychological ramifications of polyster on society.
Want to create an effective TV ad, it had better be entertaining and stimulating. Want a great newspaper campaign, make the message current and create urgency. Plan on spending some money in that little coffee shop one-pager? Keep it short and compelling... it doesn’t hurt to throw in the odd picture of a woman with a cantaloupe growing out of her head either. And if you’re running advertising on two or three local radio stations, consider developing different creative to appeal to each unique audience.
That’s this week’s tip. And if my banker is reading this, since I wrote my column about it, do you think I can submit my club sandwich as a business expense?
Slap This!
I cleaned up my storage room recently. The reason, of course, was to make room for... more storage.
I’ve come to realize my home has become an expensive storage locker, packed to the brim with old camping supplies, personal documents dating back to 1873, food dehydrators and the occasional, dusty Ab-Master thrown in for good measure. This weekend we’ll be drawing straws to determine which one of us will now have to move into our backyard.
Here’s an observation. No matter what item you choose to store in the most hard to get at place, you can be certain it will be the first thing you need once you get everything packed tightly away.
I’m no stranger to fitting a lot of stuff into a small space, after all I ran a radio station Creative Department for many years, writing thousands of commercials that had to fit into thirty-second time slots.
Unlike the valuable tools they really are, unfortunately, many advertisers see broadcast commercials and print ads like marketing storage lockers. In an effort to utilize the space they’ve purchased to the fullest, they cram everything they can into their commercial real estate.
Any fans of Celebrity Apprentice will have seen this result in the downfall of Team Tenacity last Sunday night. Those who aren’t fans of Celebrity Apprentice can clip that last reference out and store it away somewhere.
Rule number one in advertising, less is more. (a saying I particularly like, by the way)
I’ve seen it happen many times in print advertising, where the game is often to fill every last ounce of space with information.
Client: “We’ve booked a postage stamp sized ad for this weekend’s paper.”
Me: “Great, what are we putting in it?”
Client: “The first three chapters of War and Peace.”
Me: “There’s not enough room for that!”
Client: “Fine, leave out the table of contents.”
I think using colour in print advertising is a great idea, but I’ve seen colour in print ads handled much the same way as space. Advertisers pay extra for colour, and darn it, they want to use that colour! The next thing you see is a print ad with so many colours plastered all over the place, it looks like Walt Disney threw up on the printing press.
We’ve all been in our cars, driving, when suddenly the radio station goes dead. What’s the first thing you do? You pay attention. You notice the dead air. The same way you notice the ”white space” in the newspaper.
Consumers respond to a message that is clear, concise and easy to understand. Thirty-second radio rants that come out sounding like the Chipmunks on steroids won’t get heard. Print ads that look more like business plans than advertising don’t get digested. The best ads are the ones that deliver a simple, often single message without clutter.
That means white space is our friend and silence really is golden. Sometimes what you take out of an ad is even more important than what you put in it.
Fill your ad to the brim with messages and I guarantee the most important one will wind up in a place where nobody can find it.
Which reminds me, time to sign off, I’ve got a Slap Chop to pack up!
I’ve come to realize my home has become an expensive storage locker, packed to the brim with old camping supplies, personal documents dating back to 1873, food dehydrators and the occasional, dusty Ab-Master thrown in for good measure. This weekend we’ll be drawing straws to determine which one of us will now have to move into our backyard.
Here’s an observation. No matter what item you choose to store in the most hard to get at place, you can be certain it will be the first thing you need once you get everything packed tightly away.
I’m no stranger to fitting a lot of stuff into a small space, after all I ran a radio station Creative Department for many years, writing thousands of commercials that had to fit into thirty-second time slots.
Unlike the valuable tools they really are, unfortunately, many advertisers see broadcast commercials and print ads like marketing storage lockers. In an effort to utilize the space they’ve purchased to the fullest, they cram everything they can into their commercial real estate.
Any fans of Celebrity Apprentice will have seen this result in the downfall of Team Tenacity last Sunday night. Those who aren’t fans of Celebrity Apprentice can clip that last reference out and store it away somewhere.
Rule number one in advertising, less is more. (a saying I particularly like, by the way)
I’ve seen it happen many times in print advertising, where the game is often to fill every last ounce of space with information.
Client: “We’ve booked a postage stamp sized ad for this weekend’s paper.”
Me: “Great, what are we putting in it?”
Client: “The first three chapters of War and Peace.”
Me: “There’s not enough room for that!”
Client: “Fine, leave out the table of contents.”
I think using colour in print advertising is a great idea, but I’ve seen colour in print ads handled much the same way as space. Advertisers pay extra for colour, and darn it, they want to use that colour! The next thing you see is a print ad with so many colours plastered all over the place, it looks like Walt Disney threw up on the printing press.
We’ve all been in our cars, driving, when suddenly the radio station goes dead. What’s the first thing you do? You pay attention. You notice the dead air. The same way you notice the ”white space” in the newspaper.
Consumers respond to a message that is clear, concise and easy to understand. Thirty-second radio rants that come out sounding like the Chipmunks on steroids won’t get heard. Print ads that look more like business plans than advertising don’t get digested. The best ads are the ones that deliver a simple, often single message without clutter.
That means white space is our friend and silence really is golden. Sometimes what you take out of an ad is even more important than what you put in it.
Fill your ad to the brim with messages and I guarantee the most important one will wind up in a place where nobody can find it.
Which reminds me, time to sign off, I’ve got a Slap Chop to pack up!
New Posts! Finally!
For those who, for whatever unknown and perverse reason, come here and read my posts, I apologize for not having updated the Blog in a while. I have now added new posts and am back on the blogosphere (which is probably spelled wrong), and I'll make an effort to be more diligent as far as refreshing these columns.
So read the latest posts and don't be afraid to leave a comment or two along the way!
So read the latest posts and don't be afraid to leave a comment or two along the way!
It's Classified!
I want to use this week’s column to personally thank Pierre Omidyar and Craig Newmark, founders of eBay and Craigslist respectively.
Thanks to Pierre and Craig, I now proudly own over a decade’s worth of stuff I probably don’t need.
I began using eBay in 1996, just socially at first, until I found myself injecting the online auction site directly into my arteries several times a day.
After years of therapy and retail shopping interventions, I weaned myself from eBay, just in time for Craig Newmark to slip me an unsuspecting Craigslist in 2006. Back I was again, hooked on looking for other people’s junk.
Thanks to eBay and Craigslist, even though I live in the Okanagan, I can now buy other people’s junk from all over the world. (The Swedes have some excellent junk by the way).
In all seriousness, both eBay and Craigslist are not only great sites for finding highly sought after stuff like Pinocchio shaped food dehydrators and Pamela Anderson, Tommy Lee commemorative divorce spoons but, believe it or not, they’re also great sites for studying marketing at a grass roots level.
Common mistakes in ‘amateur’ advertising can often be useful lessons easily adapted to the commercial marketplace.
In a recent exchange, for example, a Craigslist seller in Seattle responded to an offer on an item by telling me the offer was too low, because he knew what the item was worth. As it happens, sellers don’t dictate price, the market does.
Interestingly, what the market will pay for one item and not pay for another, despite which item may be more ‘valuable’, doesn’t always make sense. Often times it comes down to how you sell, not what you sell; and that’s the power of marketing.
Take the following two examples.
In the first, a liquid product is produced that is extremely rare and becoming rarer. It is available in only a few areas of the world. It requires enormous plants, machinery and skilled workers to create it, complex distribution channels to bring it to market and is only sold at specific retail outlets. This particular product is essential to maintaining our modern existence.
The second liquid product is quite literally available everywhere. It can be produced and packaged by virtually anyone with no major equipment, factories or skills required. Distributing it is simple and the product is widely available for sale at all kinds of retailers on every street corner, despite the fact that we can access the very same product for free whenever we want.
By these two definitions it would stand to reason that the first product would be far more valuable and demand a much higher price than the second.
As it happens, first product is gasoline. The second is bottled water.
While gasoline hovers at a dollar a liter, a penny or two increase in the price of gas can cause near riots on the streets, consumer boycotts and general disdain for the entire oil industry.
And yet, bottled water sells at a premium, in some cases for several times a liter more than gasoline, with few consumers ever complaining about the price or even bothering to pay attention to what they paid for their last bottle of evian.
The marketplace and how you sell into it is the same whether you’re Shell Oil flogging gasoline at the pumps or Fred Wimplemore pushing a 1965 Meccano set on eBay. In some cases, how you market will do more to create demand than what you market.
And for those of you who would like to treasure these words forever, you’ll be pleased to hear copies of this column are now available on Craigsliist... But, don’t bother trying to negotiate on the price, I know what these columns are worth!
Thanks to Pierre and Craig, I now proudly own over a decade’s worth of stuff I probably don’t need.
I began using eBay in 1996, just socially at first, until I found myself injecting the online auction site directly into my arteries several times a day.
After years of therapy and retail shopping interventions, I weaned myself from eBay, just in time for Craig Newmark to slip me an unsuspecting Craigslist in 2006. Back I was again, hooked on looking for other people’s junk.
Thanks to eBay and Craigslist, even though I live in the Okanagan, I can now buy other people’s junk from all over the world. (The Swedes have some excellent junk by the way).
In all seriousness, both eBay and Craigslist are not only great sites for finding highly sought after stuff like Pinocchio shaped food dehydrators and Pamela Anderson, Tommy Lee commemorative divorce spoons but, believe it or not, they’re also great sites for studying marketing at a grass roots level.
Common mistakes in ‘amateur’ advertising can often be useful lessons easily adapted to the commercial marketplace.
In a recent exchange, for example, a Craigslist seller in Seattle responded to an offer on an item by telling me the offer was too low, because he knew what the item was worth. As it happens, sellers don’t dictate price, the market does.
Interestingly, what the market will pay for one item and not pay for another, despite which item may be more ‘valuable’, doesn’t always make sense. Often times it comes down to how you sell, not what you sell; and that’s the power of marketing.
Take the following two examples.
In the first, a liquid product is produced that is extremely rare and becoming rarer. It is available in only a few areas of the world. It requires enormous plants, machinery and skilled workers to create it, complex distribution channels to bring it to market and is only sold at specific retail outlets. This particular product is essential to maintaining our modern existence.
The second liquid product is quite literally available everywhere. It can be produced and packaged by virtually anyone with no major equipment, factories or skills required. Distributing it is simple and the product is widely available for sale at all kinds of retailers on every street corner, despite the fact that we can access the very same product for free whenever we want.
By these two definitions it would stand to reason that the first product would be far more valuable and demand a much higher price than the second.
As it happens, first product is gasoline. The second is bottled water.
While gasoline hovers at a dollar a liter, a penny or two increase in the price of gas can cause near riots on the streets, consumer boycotts and general disdain for the entire oil industry.
And yet, bottled water sells at a premium, in some cases for several times a liter more than gasoline, with few consumers ever complaining about the price or even bothering to pay attention to what they paid for their last bottle of evian.
The marketplace and how you sell into it is the same whether you’re Shell Oil flogging gasoline at the pumps or Fred Wimplemore pushing a 1965 Meccano set on eBay. In some cases, how you market will do more to create demand than what you market.
And for those of you who would like to treasure these words forever, you’ll be pleased to hear copies of this column are now available on Craigsliist... But, don’t bother trying to negotiate on the price, I know what these columns are worth!
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