What habits do you have that could potentially create a negative perception of you with your customers and prospects?
It could be your style of dress, a dirty or bent business card, disorganized samples, typos and grammar mistakes in written communication, your table manners at business dinners, a cluttered car, talking too much, or any of a myriad list of behaviors that your prospects and customers observe. Think hard, and be honest with yourself. Then begin the process of changing these behaviors.
You see, in sales you are always on stage. Everyone from the guys in the guard shacks, to the receptionists, to the decisionmakers are watching you and based on their perceptions, deciding if they like you or not.
If you want to close more business and earn more commissions, it is imperative that you work tirelessly to influence these perceptions. Being likeable won't necessarily guarantee you get the deal done, but being unlikeable will almost certainly guarantee that you won't get the sale.
Thursday, November 18, 2010
Big-Spending Baby Boomers Bend the Rules of Marketing
Chris Bonney knows precisely when marketers abandoned him: the day he turned 55.
Until then, the consultant from Virginia Beach says, his opinion on new products was valued by a major marketing research firm that crunches consumer preference data. It would ask him to respond to surveys almost daily. But after his 55th birthday, the e-mail surveys abruptly stopped.
"The minute I turned 55, it was like nobody cared anymore," Bonney says. "I didn't change from one day to the next, but as far as they were concerned, I'd aged out of relevance."
Marketers traditionally have lavished the most attention on the 18-to-34-year-old set, believing their brand loyalties are more malleable so they can be captured as lifetime customers.
It's as if marketers all wear the same blinders. Because so many marketing executives are under 40 -- or even under 30 -- many presume most consumers not only think like them, but want to be like them, says Matt Thornhill, 50, founder of The Boomer Project, a specialty research firm. "They forget that people over 50 still have dreams," he says.
The traditional thinking among marketers is that older folks spend less, have little interest in new products and have brand preferences set in stone. But across the USA, the 77 million members of the Baby Boom generation -- folks born from 1946 through 1964 -- are turning that conventional marketing wisdom on its head.
As Baby Boomers are aging and accumulating wealth, their spending is growing at a pace that's leaving younger generations far behind. Spending by the 116 million U.S. consumers age 50 and older was $2.9 trillion last year -- up 45% in the past 10 years. Meanwhile, the 182 million people younger than 50 spent $3.3 trillion last year -- up just 6% during the same decade, according to an analysis for USA TODAY of U.S. Bureau of Labor Statistics data by The Boomer Project.
And unlike the stereotype of older consumers being averse to new things, Boomers are among the biggest buyers of new technology and new cars.
"Life doesn't stop at 49," says Peg Hudson, 59, a radio station sales rep from Greenville, S.C.
All this has some marketers taking a new look at older buyers and testing new avenues and products to tap into this gold mine. Among them: Unilever, which makes Dove soap and Lipton tea; General Mills; Lincoln; investment firm Raymond James; Best Buy; and Maidenform. Instead of treating Boomers like damaged goods, marketers for these products are notably celebrating them.
"Most marketing that targets Boomers presumes there's something wrong with them that needs fixing," such as age spots, wrinkles or erectile dysfunction, Thornhill says. "It's malady-based. For the most part, it's not accurate."
About to get richer
Marketers who ignore Boomers do so at their peril. For one thing, Boomers are about to get a lot richer. Maybe not as rich as before the recession, but richer nonetheless.
People 50 and older will inherit an estimated $14 trillion to $20 trillion during the next 20 years.
"This is something that will never happen again," says Brent Bouchez, founder of consulting firm Agency Five-0, which specializes in adults 50 and older. "What's more, this group will probably not leave a lot of that money to the next generation."
Among the things Boomers most love to buy: new cars.
Last year, consumers 50 and older spent $87 billion on cars compared with $70 billion by those under age 50, reports the Consumer Expenditure Survey from the Bureau of Labor Statistics. They buy more new cars, spend more on the cars they buy -- and even buy cars for their kids and grandkids.
"But can you think of any carmaker that really focuses on the 50-plus segment?" asks Thornhill. "Cadillac doesn't even do it anymore. The whole auto category thinks people over 50 are invisible. I just can't explain this. There's a major change afoot that most marketers are missing."
What they're missing is not just the spending power Boomers have -- it's their sheer numbers. By 2030, there will be twice as many people over age 65 as now, Thornhill says. One in seven drivers now is over 65; by 2030 it will be one in four.
"This is demographic dynasty," Thornhill says. "If you don't have a strategy for making your product relevant to 50-plus consumers, you will have a very rough time over the next 20 years."
Crafting a strategy for age-specific products -- such as seniors-only condos on a golf course -- is relatively simple. But making mass-market products relevant to Boomers is more like walking a generational minefield.
Marketers have to be careful their ads don't make Boomers feel like old fogies, and avoid talking to them as if they're under 30.
Here's how some marketers are trying to avoid that fate and are courting Boomers:
• Make them feel good. There was heated debate at Unilever over a proposal to extend marketing of its 53-year-old Dove soap brand to men -- particularly men 35 and older.
"Let's say it wasn't an idea that everyone said 'yes' to," says Lisa Klauser, Unilever's consumer solutions vice president.
But executives ultimately bought into the idea that self-confident men wouldn't be shy about using Dove products to help with dry and aging skin. After all, many had been using their wives' Dove for years.
The Dove Men Plus Care line got its initial ad push in February's Super Bowl and already has nearly 3% of the bar and body wash market -- a big win.
"There were certainly people who were skeptical of the idea," says Klauser. Not anymore.
• Make them feel hip. From 2007 to 2010, the average age of a new car buyer rose from 52 to 56. Lincoln saw its average buyer shoot past 60 in that time.
Lincoln's marketing challenge was to skew slightly younger -- into the mid-50s -- and also appeal to people in their 40s.
So it brought in 48-year-old "Mad Men" star John Slattery to help pitch its tech-loaded 2011 Lincoln MKX crossover SUV.
"Fiftysomethings can relate to him, but he's also cool to people in their 40s," says Matt VanDyke, marketing director for Lincoln.
The ads avoid conspicuous consumption and any "over-the-top characterization of luxury," says VanDyke. Instead, they focus on the MKX's Boomer-appealing intuitive technology. For example, ads show there's no volume knob on the radio -- you slide your finger across a touch bar.
• Make them feel smart. Raymond James is not a household name. So the investment firm decided it had to try outside-the-box marketing to capture Boomer attention.
Many Boomers are retiring without pensions, so managing their 401(k) and other retirement accounts is critical. "It's a huge need and a huge opportunity from a business standpoint," says marketing head Mike White.
So Raymond James recently began airing an ad with a woman who lives (and lives vigorously) to 187. She remarries at 100. And again, at 150. And she hang glides at 187.
Many Boomers seriously believe they may live into their 90s -- or beyond. "But if you told the same story about a woman who lived to be 90, it wouldn't be very interesting," says White.
Boomers relate to the woman who appears in the ad -- and actually is 80, says White. "They look at her and think: That'll be me in 20 years."
• Make them feel sexy. For Boomer women, "slimming, toning and smoothing becomes more relevant," says Lucille DeHart, chief marketer for women's lingerie maker Maidenform.
That's one reason the 88-year-old brand has created Boomer-appealing products intended to enhance one's shape and counteract gravity. Long gone are the days of girdles and corsets, replaced by undergarments with new materials -- and a new spin -- dubbed shapewear.
And sex appeal is part of the sell. Several months ago, Maidenform rolled out the Ultimate Push Up Bra -- a bra with lift, as well as enough padding to expand a woman's shape by two cup sizes. The bra is aimed at women ages 35 to 54 who "like the lift and definition," says DeHart.
The brand's shapewear also includes the all-in-one Fat Free Dressing line rolled out two years ago: tank tops and legging items that DeHart calls an "undergarment, shaping piece and apparel in one."
Key to selling these products, says DeHart, is to keep them fashionable. "We don't design older pieces for older people."
• Make them feel hungry. While Boomers may eat less as they age, they'll pay for quality. After hearing consumers say they wanted P.F. Chang's food at home, Unilever in April teamed with the Asian-food casual-dining chain on P.F. Chang's Home Menu meals for two. While they may seem a tad pricey for frozen meals at $7.99, Klauser says sales were nearly $14 million last month, so it's well on its way to becoming a $100 million-plus brand.
General Mills had a similar idea and, in September, rolled out Romano's Macaroni Grill frozen entrees for two.
Food marketers also are aware that Boomers' lives have changed, that some have health conditions that require diet changes and many are empty nesters. "We know the majority have had a trigger event that changes the way they interact with food," says John Haugen, vice president of health and wellness at General Mills.
So General Mills added a line of reduced-sodium Progresso soups. It's launched portion-control Green Giant veggies. And it's begun to increase type size on packaging targeted at Boomers.
• Make them feel techie. Boomers spend more on tech than anyone. They spent an average of $850 for their latest home computer -- $50 more than any other group, reports Forrester Research. "People presume that Gen Y is the most eager to adopt technology, but they don't have the spending power of Boomers," says Jacqueline Anderson, consumer insights analyst.
Bonney, the Virginia Beach Boomer, owns an iPhone, an iPod and a Mac. He particularly likes Apple's marketing because it speaks to his interests "and not to my age." Such thinking can help broaden any product's appeal. While few brands beyond the tech world think so successfully outside the box, Louis Vuitton, the designer brand, takes a similar tactic by featuring Bono in its newest print campaign and Madonna in a previous one.
Familiar celebs aside, few things capture Boomer interest more than tech. And few marketers are more aware of Boomers' tech interest than retailer Best Buy.
Spokeswoman Paula Baldwin says Best Buy tries to make its stores "touch and feel" places, which helps Boomers feel comfortable with new technologies. The chain's Geek Squad service -- which helps buyers set up new devices and get more out of them -- is heavily used by Boomers.
In a recent blog post, Best Buy CEO Brian Dunn, 51, who is a Boomer, noted, "I'm always caught off-guard by the assumption that Boomers hesitate to embrace technology."
Boomers do demand ease of use, he says. Apple's iPad "caused some bloggers to quip that this device is merely an iPhone for the elderly. To which I respond, 'You got a problem with that?' "
(Source: USA Today, 11/16/10)
Until then, the consultant from Virginia Beach says, his opinion on new products was valued by a major marketing research firm that crunches consumer preference data. It would ask him to respond to surveys almost daily. But after his 55th birthday, the e-mail surveys abruptly stopped.
"The minute I turned 55, it was like nobody cared anymore," Bonney says. "I didn't change from one day to the next, but as far as they were concerned, I'd aged out of relevance."
Marketers traditionally have lavished the most attention on the 18-to-34-year-old set, believing their brand loyalties are more malleable so they can be captured as lifetime customers.
It's as if marketers all wear the same blinders. Because so many marketing executives are under 40 -- or even under 30 -- many presume most consumers not only think like them, but want to be like them, says Matt Thornhill, 50, founder of The Boomer Project, a specialty research firm. "They forget that people over 50 still have dreams," he says.
The traditional thinking among marketers is that older folks spend less, have little interest in new products and have brand preferences set in stone. But across the USA, the 77 million members of the Baby Boom generation -- folks born from 1946 through 1964 -- are turning that conventional marketing wisdom on its head.
As Baby Boomers are aging and accumulating wealth, their spending is growing at a pace that's leaving younger generations far behind. Spending by the 116 million U.S. consumers age 50 and older was $2.9 trillion last year -- up 45% in the past 10 years. Meanwhile, the 182 million people younger than 50 spent $3.3 trillion last year -- up just 6% during the same decade, according to an analysis for USA TODAY of U.S. Bureau of Labor Statistics data by The Boomer Project.
And unlike the stereotype of older consumers being averse to new things, Boomers are among the biggest buyers of new technology and new cars.
"Life doesn't stop at 49," says Peg Hudson, 59, a radio station sales rep from Greenville, S.C.
All this has some marketers taking a new look at older buyers and testing new avenues and products to tap into this gold mine. Among them: Unilever, which makes Dove soap and Lipton tea; General Mills; Lincoln; investment firm Raymond James; Best Buy; and Maidenform. Instead of treating Boomers like damaged goods, marketers for these products are notably celebrating them.
"Most marketing that targets Boomers presumes there's something wrong with them that needs fixing," such as age spots, wrinkles or erectile dysfunction, Thornhill says. "It's malady-based. For the most part, it's not accurate."
About to get richer
Marketers who ignore Boomers do so at their peril. For one thing, Boomers are about to get a lot richer. Maybe not as rich as before the recession, but richer nonetheless.
People 50 and older will inherit an estimated $14 trillion to $20 trillion during the next 20 years.
"This is something that will never happen again," says Brent Bouchez, founder of consulting firm Agency Five-0, which specializes in adults 50 and older. "What's more, this group will probably not leave a lot of that money to the next generation."
Among the things Boomers most love to buy: new cars.
Last year, consumers 50 and older spent $87 billion on cars compared with $70 billion by those under age 50, reports the Consumer Expenditure Survey from the Bureau of Labor Statistics. They buy more new cars, spend more on the cars they buy -- and even buy cars for their kids and grandkids.
"But can you think of any carmaker that really focuses on the 50-plus segment?" asks Thornhill. "Cadillac doesn't even do it anymore. The whole auto category thinks people over 50 are invisible. I just can't explain this. There's a major change afoot that most marketers are missing."
What they're missing is not just the spending power Boomers have -- it's their sheer numbers. By 2030, there will be twice as many people over age 65 as now, Thornhill says. One in seven drivers now is over 65; by 2030 it will be one in four.
"This is demographic dynasty," Thornhill says. "If you don't have a strategy for making your product relevant to 50-plus consumers, you will have a very rough time over the next 20 years."
Crafting a strategy for age-specific products -- such as seniors-only condos on a golf course -- is relatively simple. But making mass-market products relevant to Boomers is more like walking a generational minefield.
Marketers have to be careful their ads don't make Boomers feel like old fogies, and avoid talking to them as if they're under 30.
Here's how some marketers are trying to avoid that fate and are courting Boomers:
• Make them feel good. There was heated debate at Unilever over a proposal to extend marketing of its 53-year-old Dove soap brand to men -- particularly men 35 and older.
"Let's say it wasn't an idea that everyone said 'yes' to," says Lisa Klauser, Unilever's consumer solutions vice president.
But executives ultimately bought into the idea that self-confident men wouldn't be shy about using Dove products to help with dry and aging skin. After all, many had been using their wives' Dove for years.
The Dove Men Plus Care line got its initial ad push in February's Super Bowl and already has nearly 3% of the bar and body wash market -- a big win.
"There were certainly people who were skeptical of the idea," says Klauser. Not anymore.
• Make them feel hip. From 2007 to 2010, the average age of a new car buyer rose from 52 to 56. Lincoln saw its average buyer shoot past 60 in that time.
Lincoln's marketing challenge was to skew slightly younger -- into the mid-50s -- and also appeal to people in their 40s.
So it brought in 48-year-old "Mad Men" star John Slattery to help pitch its tech-loaded 2011 Lincoln MKX crossover SUV.
"Fiftysomethings can relate to him, but he's also cool to people in their 40s," says Matt VanDyke, marketing director for Lincoln.
The ads avoid conspicuous consumption and any "over-the-top characterization of luxury," says VanDyke. Instead, they focus on the MKX's Boomer-appealing intuitive technology. For example, ads show there's no volume knob on the radio -- you slide your finger across a touch bar.
• Make them feel smart. Raymond James is not a household name. So the investment firm decided it had to try outside-the-box marketing to capture Boomer attention.
Many Boomers are retiring without pensions, so managing their 401(k) and other retirement accounts is critical. "It's a huge need and a huge opportunity from a business standpoint," says marketing head Mike White.
So Raymond James recently began airing an ad with a woman who lives (and lives vigorously) to 187. She remarries at 100. And again, at 150. And she hang glides at 187.
Many Boomers seriously believe they may live into their 90s -- or beyond. "But if you told the same story about a woman who lived to be 90, it wouldn't be very interesting," says White.
Boomers relate to the woman who appears in the ad -- and actually is 80, says White. "They look at her and think: That'll be me in 20 years."
• Make them feel sexy. For Boomer women, "slimming, toning and smoothing becomes more relevant," says Lucille DeHart, chief marketer for women's lingerie maker Maidenform.
That's one reason the 88-year-old brand has created Boomer-appealing products intended to enhance one's shape and counteract gravity. Long gone are the days of girdles and corsets, replaced by undergarments with new materials -- and a new spin -- dubbed shapewear.
And sex appeal is part of the sell. Several months ago, Maidenform rolled out the Ultimate Push Up Bra -- a bra with lift, as well as enough padding to expand a woman's shape by two cup sizes. The bra is aimed at women ages 35 to 54 who "like the lift and definition," says DeHart.
The brand's shapewear also includes the all-in-one Fat Free Dressing line rolled out two years ago: tank tops and legging items that DeHart calls an "undergarment, shaping piece and apparel in one."
Key to selling these products, says DeHart, is to keep them fashionable. "We don't design older pieces for older people."
• Make them feel hungry. While Boomers may eat less as they age, they'll pay for quality. After hearing consumers say they wanted P.F. Chang's food at home, Unilever in April teamed with the Asian-food casual-dining chain on P.F. Chang's Home Menu meals for two. While they may seem a tad pricey for frozen meals at $7.99, Klauser says sales were nearly $14 million last month, so it's well on its way to becoming a $100 million-plus brand.
General Mills had a similar idea and, in September, rolled out Romano's Macaroni Grill frozen entrees for two.
Food marketers also are aware that Boomers' lives have changed, that some have health conditions that require diet changes and many are empty nesters. "We know the majority have had a trigger event that changes the way they interact with food," says John Haugen, vice president of health and wellness at General Mills.
So General Mills added a line of reduced-sodium Progresso soups. It's launched portion-control Green Giant veggies. And it's begun to increase type size on packaging targeted at Boomers.
• Make them feel techie. Boomers spend more on tech than anyone. They spent an average of $850 for their latest home computer -- $50 more than any other group, reports Forrester Research. "People presume that Gen Y is the most eager to adopt technology, but they don't have the spending power of Boomers," says Jacqueline Anderson, consumer insights analyst.
Bonney, the Virginia Beach Boomer, owns an iPhone, an iPod and a Mac. He particularly likes Apple's marketing because it speaks to his interests "and not to my age." Such thinking can help broaden any product's appeal. While few brands beyond the tech world think so successfully outside the box, Louis Vuitton, the designer brand, takes a similar tactic by featuring Bono in its newest print campaign and Madonna in a previous one.
Familiar celebs aside, few things capture Boomer interest more than tech. And few marketers are more aware of Boomers' tech interest than retailer Best Buy.
Spokeswoman Paula Baldwin says Best Buy tries to make its stores "touch and feel" places, which helps Boomers feel comfortable with new technologies. The chain's Geek Squad service -- which helps buyers set up new devices and get more out of them -- is heavily used by Boomers.
In a recent blog post, Best Buy CEO Brian Dunn, 51, who is a Boomer, noted, "I'm always caught off-guard by the assumption that Boomers hesitate to embrace technology."
Boomers do demand ease of use, he says. Apple's iPad "caused some bloggers to quip that this device is merely an iPhone for the elderly. To which I respond, 'You got a problem with that?' "
(Source: USA Today, 11/16/10)
Wednesday, November 17, 2010
GM Expands landmark IPO...May Raise $22.7 Billion
General Motors Co. today set the final terms for a landmark initial public offering that could raise up to $22.7 billion after a surge of investor interest in an automaker that had fallen from blue-chip status to government bailout.
At the high end of its price range, the IPO could be the largest ever in the United States -- and a major first step toward break-even for a $50 billion U.S. government bailout of the 102-year-old company.
GM now plans to sell 478 million common shares for $32 to $33 each and $4 billion worth of preferred shares, according to an amended filing with U.S. securities regulators on Wednesday.
The automaker had initially filed to sell 365 million shares for $26 to $29 each and $3 billion worth of preferred shares, but upped the terms in the face of robust demand.
If the underwriters exercise an overallotment provision, the IPO could raise $18 billion in common stock and $4.6 billion in dividend-paying preferred shares in GM.
The U.S. Treasury owns 61 percent of GM and may reduce its stake to as low as 26 percent following the IPO.
The decision to raise the offering was made late Tuesday afternoon.
The U.S. Treasury, GM and underwriters felt recent stock market declines wouldn't deter investors, a person familiar with the discussions told The Wall Street Journal.
Underwriters say they are receiving excess demand for available shares.
The IPO, scheduled for today, will help CEO Dan Akerson return some of the $49.5 billion GM received in a taxpayer bailout last year. The Treasury, which is taking a loss on its portion of the sale, will break even only if the shares climb at least 50 percent, Bloomberg data show.
The IPO could top Visa Inc.'s $19.7 billion sale in March 2008, and comes 16 months after GM emerged from bankruptcy.
At the high end of its price range, the IPO could be the largest ever in the United States -- and a major first step toward break-even for a $50 billion U.S. government bailout of the 102-year-old company.
GM now plans to sell 478 million common shares for $32 to $33 each and $4 billion worth of preferred shares, according to an amended filing with U.S. securities regulators on Wednesday.
The automaker had initially filed to sell 365 million shares for $26 to $29 each and $3 billion worth of preferred shares, but upped the terms in the face of robust demand.
If the underwriters exercise an overallotment provision, the IPO could raise $18 billion in common stock and $4.6 billion in dividend-paying preferred shares in GM.
The U.S. Treasury owns 61 percent of GM and may reduce its stake to as low as 26 percent following the IPO.
The decision to raise the offering was made late Tuesday afternoon.
The U.S. Treasury, GM and underwriters felt recent stock market declines wouldn't deter investors, a person familiar with the discussions told The Wall Street Journal.
Underwriters say they are receiving excess demand for available shares.
The IPO, scheduled for today, will help CEO Dan Akerson return some of the $49.5 billion GM received in a taxpayer bailout last year. The Treasury, which is taking a loss on its portion of the sale, will break even only if the shares climb at least 50 percent, Bloomberg data show.
The IPO could top Visa Inc.'s $19.7 billion sale in March 2008, and comes 16 months after GM emerged from bankruptcy.
Thursday, November 11, 2010
Holiday Sales Projections Look Encouraging for Consumer Electronics
Nearly three in four consumers who plan to spend money on gifts during the holidays intend to aim their dollars squarely at technology products -- the highest percentage of tech-leaning holiday shoppers in the 17 years the Consumer Electronics Association has been studying holiday shopping trends.
"That was a key finding," said Steve Koenig, CEA's director of industry analysis, who, with the group's chief economist, Shawn DuBravac, presented fine-tuned unit-sales-projection updates for the holidays on figures provided just last month. The newer figures were given on Tuesday at a New York City-held CEA briefing on the 2011 International CES.
CEA's research showed no change between October and November in the 5.1 million units of tablets that are expected to be sold through to the U.S. market during the holiday season. A modest rise was noted in the projection for flat-panel TV sales -- from 10.51 million projected in October to 10.74 million projected in November. Blu-ray player projections dipped very slightly, from 4.77 million units to 4.76 million. Projections for MP3 players were up to a small degree, from 12.83 million to 12.88 million units, and digital camera projections were adjusted from 14 million to 14.3 million units, while camcorders dropped from 2.65 million to 2.41 million.
"Overall, we see the holidays shaping up quite nicely," said DuBravac about buyers' intent to spend on CE. He painted a retail scenario that the CEA findings showed was already being shaped -- and would continue to be shaped -- by the momentum of well-before-and-well-after Black Friday deals.
DuBravac added that retailers are for the first time using appliance-deal-driven advertising on the front pages of their circulars to take advantage of Black Friday's irresistible lure.
Computer-product and video-product "uber-bundling" taking the form of deals like two TVs for the price of one, DuBravac said, would also be a hallmark of the season. "It communicates value to the consumer and helps achieve a higher-ticket ring for the dealer," he said.
Another trend that CEA research showed would make the season bright for CE sales is the tendency of nascent technologies to see half their sales volume realized in the fourth calendar quarter. DuBravac pointed out that "this year, there are lots of new product categories in the market to take advantage of this." He specifically cited tablets, and noted that as this is 3DTV's inaugural year, "50 percent of volume in the fourth quarter would be unsurprising."
(Source: Dealerscope Today, 11/10/10)
"That was a key finding," said Steve Koenig, CEA's director of industry analysis, who, with the group's chief economist, Shawn DuBravac, presented fine-tuned unit-sales-projection updates for the holidays on figures provided just last month. The newer figures were given on Tuesday at a New York City-held CEA briefing on the 2011 International CES.
CEA's research showed no change between October and November in the 5.1 million units of tablets that are expected to be sold through to the U.S. market during the holiday season. A modest rise was noted in the projection for flat-panel TV sales -- from 10.51 million projected in October to 10.74 million projected in November. Blu-ray player projections dipped very slightly, from 4.77 million units to 4.76 million. Projections for MP3 players were up to a small degree, from 12.83 million to 12.88 million units, and digital camera projections were adjusted from 14 million to 14.3 million units, while camcorders dropped from 2.65 million to 2.41 million.
"Overall, we see the holidays shaping up quite nicely," said DuBravac about buyers' intent to spend on CE. He painted a retail scenario that the CEA findings showed was already being shaped -- and would continue to be shaped -- by the momentum of well-before-and-well-after Black Friday deals.
DuBravac added that retailers are for the first time using appliance-deal-driven advertising on the front pages of their circulars to take advantage of Black Friday's irresistible lure.
Computer-product and video-product "uber-bundling" taking the form of deals like two TVs for the price of one, DuBravac said, would also be a hallmark of the season. "It communicates value to the consumer and helps achieve a higher-ticket ring for the dealer," he said.
Another trend that CEA research showed would make the season bright for CE sales is the tendency of nascent technologies to see half their sales volume realized in the fourth calendar quarter. DuBravac pointed out that "this year, there are lots of new product categories in the market to take advantage of this." He specifically cited tablets, and noted that as this is 3DTV's inaugural year, "50 percent of volume in the fourth quarter would be unsurprising."
(Source: Dealerscope Today, 11/10/10)
Wednesday, November 10, 2010
WBAP's Brad Barton inducted into Texas Radio Hall of Fame
Six longtime radio personalities with Dallas-Fort Worth connections, including some who are still very much on the job, will be inducted into the Texas Radio Hall of Fame this weekend.
The ceremony, which is sold out, will take place Sunday at Tin Hall in Cypress, northwest of Houston. Seventeen Texas-radio personalities will be honored. The ones from North Texas are:
Brad Barton: One of the most respected broadcast meteorologists in Dallas-Fort Worth, Barton has been with WBAP/820 AM for the past year, after a lengthy career at KRLD/1080 AM, where he spent 31 years before being laid off in a round of budget-cutting. Barton had already been a 14-year member of KRLD's news team in 1992, when he began studying to be a licensed meteorologist through Mississippi State University's two-year degree program. Among the big stories Barton has covered are the 1994 Lancaster tornado, 1995 Mayfest hailstorm and the 2000 tornado in downtown Fort Worth. He also briefly resumed his role as news anchor to cover the news on 9-11. Barton also did weather during the '90s for KTVT/Channel 11. He has received an Edward R. Murrow Award and several Katie Awards.
Also being inducted in the Texas Radio Hall of Fame; Tony Bridge, Bud Buschardt, Jack Hines, Scott Hodges & Jim White
Buyers Usually Don’t Consider Loyalty When Choosing Dealerships
After the termination of about 2,300 Chrysler and General Motors dealerships over the past year, the market research firm Morpace found that consumer loyalty to brand name dealers is an insignificant factor in choosing a dealership.
The recent survey of 1,000 online respondents -- representative of the general U.S. population over 18 years old -- examined factors that consumers consider most influential when choosing a dealership. It marked the first time that Morpace posed these specific questions.
In the data collected over four days in September, respondents were asked to rank the importance of dealership attributes such as personal service, location, environment, inventory, deals, referrals and prior experiences with a dealership.
Of the 1,000 people surveyed, 74 percent of respondents considered "best deal offerings" when choosing to buy from a dealer. In fact, four in 10 respondents -- the largest group -- ranked best deal offerings as the top consideration.
Other top considerations were "prior positive experience" and "referral from family or friends."
Among the lowest-ranking considerations for buyers were "location," the top consideration for 4.4 percent of respondents, and "desire to patronize a particular salesperson," the No. 1 consideration for 1.6 percent.
The survey also asked respondents to rank the importance of the brand name of a dealer, such as Smith Chevrolet or Johnson Toyota. The majority of respondents -- 54 percent -- said "not at all" important, further showing that customers cared more about what they were buying rather than from whom they were planning to buy.
Although the survey shows that customers do consider friend-and-family referrals, their own prior experiences and even dealer marketing strategies, these factors are only starting points for buyers, said Morpace Vice President Karen Gaule.
"The bottom line is that people go where they can get the best deals," Gaule told Automotive News. "They may start with a recommendation from a friend or go to the closest dealership. But when it comes to actually making a purchase, they are willing to travel for a good deal on the product they really want."
This may be bad news for dealerships in the post-bailout chaos. GM has shuttered about 1,550 dealerships and Chrysler about 760 since their bankruptcies in 2009.
Based on these findings, consumers may not mourn the loss of particular dealers so long as they still can find what they want at a low price.
"The fact is, the American consumer buys products that are convenient, predictable and affordable. It's the same for cars. The most important factors for a car buyer are overall price and monthly payment," Ed Tonkin, chairman of the National Automobile Dealers Association and a multifranchise dealer from Portland, Ore., said in a recent speech to the Automotive Press Association in Detroit.
(Source: Automotive News, 10/26/10)
The recent survey of 1,000 online respondents -- representative of the general U.S. population over 18 years old -- examined factors that consumers consider most influential when choosing a dealership. It marked the first time that Morpace posed these specific questions.
In the data collected over four days in September, respondents were asked to rank the importance of dealership attributes such as personal service, location, environment, inventory, deals, referrals and prior experiences with a dealership.
Of the 1,000 people surveyed, 74 percent of respondents considered "best deal offerings" when choosing to buy from a dealer. In fact, four in 10 respondents -- the largest group -- ranked best deal offerings as the top consideration.
Other top considerations were "prior positive experience" and "referral from family or friends."
Among the lowest-ranking considerations for buyers were "location," the top consideration for 4.4 percent of respondents, and "desire to patronize a particular salesperson," the No. 1 consideration for 1.6 percent.
The survey also asked respondents to rank the importance of the brand name of a dealer, such as Smith Chevrolet or Johnson Toyota. The majority of respondents -- 54 percent -- said "not at all" important, further showing that customers cared more about what they were buying rather than from whom they were planning to buy.
Although the survey shows that customers do consider friend-and-family referrals, their own prior experiences and even dealer marketing strategies, these factors are only starting points for buyers, said Morpace Vice President Karen Gaule.
"The bottom line is that people go where they can get the best deals," Gaule told Automotive News. "They may start with a recommendation from a friend or go to the closest dealership. But when it comes to actually making a purchase, they are willing to travel for a good deal on the product they really want."
This may be bad news for dealerships in the post-bailout chaos. GM has shuttered about 1,550 dealerships and Chrysler about 760 since their bankruptcies in 2009.
Based on these findings, consumers may not mourn the loss of particular dealers so long as they still can find what they want at a low price.
"The fact is, the American consumer buys products that are convenient, predictable and affordable. It's the same for cars. The most important factors for a car buyer are overall price and monthly payment," Ed Tonkin, chairman of the National Automobile Dealers Association and a multifranchise dealer from Portland, Ore., said in a recent speech to the Automotive Press Association in Detroit.
(Source: Automotive News, 10/26/10)
Tuesday, November 9, 2010
Client-voiced commercials: What’s your take?
The Friday Poll Question for members of Radio Sales Café was a two-parter:
1) What percentage of your advertisers voice their own ads?
2) What are your thoughts on having clients doing their own voicework?
Some stations said "zero." Others reported that 15-20% or more of their clients did their own ads.
My answer was decidedly, and perhaps remarkably, on the high end: two-thirds of my top local clients voice all or most of their own commercials!
Of these, most read from scripts. They have been doing this for so many years that they're quite comfortable at the microphone.
Admittedly, I'm a fairly driven coach. I have no problem requiring repeated readings or "takes," until I have sufficient material to piece together an effective spot.
Former Los Angeles radio production whiz Blaine Parker, who now operates a boutique advertising agency/creative services company atop a mountain in Park City, UT, is adamant about the conditions under which he allows his clients to get near a mic. He says:
We're a general agency, and at the moment, we have two clients on radio. One of those clients is voicing his own commercials. The other client has testimonials. Both campaigns were produced exactly the same way: non-professional voice talent sitting behind a microphone, answering relevant questions about the business and what it means to be a customer. Then, those extemporaneous recordings are cherry picked and massaged to create glowing sound bites. When we know what the performer is saying via the magic of non-linear digital editing, we write announcer wraparounds.
That is just about the ONLY way we ever let clients voice their own commercials.
When you hand them a script and crack the mic, most clients' voiceover sound like exactly what it is: amateur product. Sometimes, that can be endearing and work in their favor. Too often, it just sounds bad. If it must be done that way, there are simple tricks to directing them that make them sound much better. But overall, I try to never make a client read a script or carry the entire weight of the voiceover on his shoulders. Whenever possible, I record him extemporaneously and pull out the nuggets. It's more real than anything we could ever write, and it presents the client in the best, most flattering light possible.
I would tend to agree with Blaine's approach: recording conversations and extracting the gold. It's time-consuming and painstaking, and a labor of love that typically results in an exceptional and effective commercial. This is the only technique I employ when creating testimonial campaigns, and it's a great way for an advertiser to tell his story, one nugget at a time.
Do my clients have the training and polish of voice actors? Of course not.
Nor is it important that they do.
In the context of a local market where they are known by many, what's important is that they come across as who-they-are, doing what-they-do, that they sound authentic and credible, and that the content of their communication meets their customers' needs. When all these factors line up, the results speak for themselves*.
Now, I don't disagree with Blaine's analysis for the most part, based on the fact that too many client-voiced commercials one hears seem to have been done hastily and without critical analysis. Whether due to a lack of education or training, a lack of time or effort, or a lack of concern, there's no good reason to settle for second-rate work. But the salesperson, producer and client must be of the same mind on this, each willing and able to invest the time and effort to persist until it's right.
Either do it well or don't do it at all.
It's interesting how attitudes toward client-voiced ads have changed over the past couple of decades. Today the practice is widely accepted. When I first started pushing for clients appearing in their own commercials back in the late 1970's, most radio programming and production people resented it as an incursion onto their sacred turf. Their attitude was not unlike what we encountered from the education establishment when the home-schooling movement began to gain some momentum in the late 1980's. These days, the accumulation of success stories has demonstrated the merit of both ideas.
*Here are three examples from campaigns currently on the air in our small market. One is relatively new, having started this past summer. Two have been on the air for over a decade. Are they "airworthy?" Listen, then decide.
Sales trainer Jim Williams used to say that the real proof a campaign is working is that the advertiser continues to pay his monthly bill, year after year. Folksy, perhaps, but true nonetheless.
--Rod Schwartz, owner/creative director of Grace Broadcast Sales
1) What percentage of your advertisers voice their own ads?
2) What are your thoughts on having clients doing their own voicework?
Some stations said "zero." Others reported that 15-20% or more of their clients did their own ads.
My answer was decidedly, and perhaps remarkably, on the high end: two-thirds of my top local clients voice all or most of their own commercials!
Of these, most read from scripts. They have been doing this for so many years that they're quite comfortable at the microphone.
Admittedly, I'm a fairly driven coach. I have no problem requiring repeated readings or "takes," until I have sufficient material to piece together an effective spot.
Former Los Angeles radio production whiz Blaine Parker, who now operates a boutique advertising agency/creative services company atop a mountain in Park City, UT, is adamant about the conditions under which he allows his clients to get near a mic. He says:
We're a general agency, and at the moment, we have two clients on radio. One of those clients is voicing his own commercials. The other client has testimonials. Both campaigns were produced exactly the same way: non-professional voice talent sitting behind a microphone, answering relevant questions about the business and what it means to be a customer. Then, those extemporaneous recordings are cherry picked and massaged to create glowing sound bites. When we know what the performer is saying via the magic of non-linear digital editing, we write announcer wraparounds.
That is just about the ONLY way we ever let clients voice their own commercials.
When you hand them a script and crack the mic, most clients' voiceover sound like exactly what it is: amateur product. Sometimes, that can be endearing and work in their favor. Too often, it just sounds bad. If it must be done that way, there are simple tricks to directing them that make them sound much better. But overall, I try to never make a client read a script or carry the entire weight of the voiceover on his shoulders. Whenever possible, I record him extemporaneously and pull out the nuggets. It's more real than anything we could ever write, and it presents the client in the best, most flattering light possible.
I would tend to agree with Blaine's approach: recording conversations and extracting the gold. It's time-consuming and painstaking, and a labor of love that typically results in an exceptional and effective commercial. This is the only technique I employ when creating testimonial campaigns, and it's a great way for an advertiser to tell his story, one nugget at a time.
Do my clients have the training and polish of voice actors? Of course not.
Nor is it important that they do.
In the context of a local market where they are known by many, what's important is that they come across as who-they-are, doing what-they-do, that they sound authentic and credible, and that the content of their communication meets their customers' needs. When all these factors line up, the results speak for themselves*.
Now, I don't disagree with Blaine's analysis for the most part, based on the fact that too many client-voiced commercials one hears seem to have been done hastily and without critical analysis. Whether due to a lack of education or training, a lack of time or effort, or a lack of concern, there's no good reason to settle for second-rate work. But the salesperson, producer and client must be of the same mind on this, each willing and able to invest the time and effort to persist until it's right.
Either do it well or don't do it at all.
It's interesting how attitudes toward client-voiced ads have changed over the past couple of decades. Today the practice is widely accepted. When I first started pushing for clients appearing in their own commercials back in the late 1970's, most radio programming and production people resented it as an incursion onto their sacred turf. Their attitude was not unlike what we encountered from the education establishment when the home-schooling movement began to gain some momentum in the late 1980's. These days, the accumulation of success stories has demonstrated the merit of both ideas.
*Here are three examples from campaigns currently on the air in our small market. One is relatively new, having started this past summer. Two have been on the air for over a decade. Are they "airworthy?" Listen, then decide.
Sales trainer Jim Williams used to say that the real proof a campaign is working is that the advertiser continues to pay his monthly bill, year after year. Folksy, perhaps, but true nonetheless.
--Rod Schwartz, owner/creative director of Grace Broadcast Sales
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