The Gift That Keeps on Giving: To Yourself

Leave it to marketing professionals to come up with this one. Buying yourself that little “I’ve earned it” pick-me-up has a new name: self-gifting.

Just in time for the peak of holiday season giving and receiving, evidence suggests that 60 percent of all shoppers will add themselves to their holiday lists, spending an average of $130, a 16 percent increase from last year. In the short term, many are quick to call this yet another strong indication that the still-weak US and global economy is taking its vitamins and getting stronger all the time. Deep discounts and the relaxing of recession-era belt tightening seems to have left customers in the buying mood.

But is it me, or does anyone else see a bit of a problem with this “I, Me, Mine” relapse? I remember reading somewhere that Americans’ gluttonous consumerism and anemic savings rate was supposedly at the root of our current economic troubles?

Ellen Davis, Vice President of the National Retail Federation, who was quoted in an Advertising Age post that addressed the phenomenon, rightly points out the pragmatic downside to such an aggressive self-indulgent holiday marketing campaign. If the holiday season becomes overly connected with adding oneself to their annual guest list, as people patiently wait for the end-of-year price slashing, how will retailers attract business during the other 10 months of the calendar, she asks?

Davis’ concerns, however, aren’t even number one on my list, shopping or otherwise.

The bigger question is this: what happens when the over-terming of trends and excessive labeling, waters down the meaning behind such actions? There’s absolutely nothing wrong with an occasional spur-of-the-moment purchase. Such actions send your brain’s pleasure center into the stratosphere, washed over with the neurotransmitter dopamine. And like that coveted end-of-day piece of chocolate, provides your body with warm and fuzzy feel good feelings. But when impulse buys are turned into a self-promoting season of “You’ve Earned It” and “Gift Yourself” tag lines, as is being done by J. Crew, hasn’t the meaning behind the purchases been lost?

Instead, what once felt good has morphed into another transparent attempt to get consumers to open their wallets?

As a public relations professional, and one who is keenly aware of properly calibrating messages for clients, marketers this holiday season would be wise to consider the pitfalls of overly promoting the self-gifting fad. Otherwise self-gifts could rapidly become self-returns.

Occupy What?

The following article by Vanessa Horwell, Chief Visibility Officer of Thinkink, originally appeared on Marketing Daily on 11/18/11.

If ever there was a group in America that could benefit from a public relations team — or some PR counsel — it’s the Wall Street protesters and their increasingly global counterparts. Penn State or the recently released Jack Abramoff? I wouldn’t even bother…

The protesters may number in the tens of thousands, cut across demographic, cultural and socioeconomic lines, and are handy fodder in GOP political debates when the talk of 9-9-9 grows old. But when it comes to effectively disseminating what they stand for, millions of Americans throw up their hands in, well, protest, and draw a blank.

Considering their growing clout, that’s not a good sign.

A CNN/ORC International poll released earlier this month revealed a major disconnect between the protesters’ aims and what people think they stand for. They’re having an identity crisis, you say?

Not at all, they simply don’t have one.

Nearly half of those polled (40%) said they had no idea what the movement stood — or stands — for. Another 27% said they had a negative view of the overall cause – even if they were still fuzzy on the specifics. People I know who have taken part in the sit-ins, stand-ins, and protests have become disillusioned with the lack of organization or united message.

As someone who spends her days (and nights) helping companies develop and communicate a united and coherent message, I have to admit that I, too, would have trouble drafting up, say, four or five critical aims the group is trying to accomplish.

I think I know the basics: they are known as the Wall Street protestors or Occupy Wall Street, and spinoff groups or self-identifiers have cropped up  across the globe, from Lower Manhattan to Oakland to Miami, to cities in Europe to as far away as Guam – the island, literally, not the expression. Their aim, or rather, their manifesto “is fighting back against the corrosive power of major banks and multinational corporations over the democratic process, and the role of Wall Street in creating an economic collapse that has caused the greatest recession in generations,” according to the group’s website.

But beyond carrying signs saying they represent 99% of the not-so-silent majority, brandishing megaphones, and getting into skirmishes with law enforcement, what exactly are they doing, and what, specifically, has been achieved by the group’s existence?

The truth is, not too much. But asking the above questions is exactly the type of maturing the Occupy Wall Street movement needs if it wants to be taken seriously in the long run. There are too many overnight successes, start-ups and movements that are forgotten as quickly as they rose to (limited) fame.

It’s time for Occupy Wall Street to embrace a modicum of corporate structure and communications strategy, and better disseminate what it hopes to achieve. Ranking second on a Google search is just not enough. If it wants to fight corporate America, it has to put itself in corporate America’s shoes – if only for a few moments, or hours.

Granted, in terms of civil (mostly) non-violence and grassroots organizations, the “occupiers” are babies, and still have a long way to go. For comparison, it’s easy to associate the civil rights movement with the decade of the Sixties, but its stirrings and undercurrents had been set in motion decades and generations before. Even with that slow burn, over time, civil rights moved from restaurant table sit-ins and hard-fought bus seats, to the top of the national agenda. Only then, finally, did meaningful change sweep across the country and flesh out its most discriminatory backwaters.

Whether the Wall Street protestors recognize it or not, the success, durability, and health of our citizen’s democracy has long been able to absorb these types of splinter groups and incorporate their values into the middle class, and through the legislative pen and ballot box, effect meaningful change. The road to that change may begin with street signs and protests, but it continues with a smart, cohesive, well-publicized public relations-honed message.

Here’s hoping that in our instant-gratification society, the Wall Street protesters grow up fast. I’m sure they have a lot to say and can definitely benefit by taking their message – whenever they work out what it is — in multiple directions. Their actions and their words may have a tremendous impact on our future.

So I’m ready to listen, and I think so is the rest of that 99%. Still. For now.

The following article by Vanessa Horwell, Chief Visibility Officer of Thinkink, originally appeared on Marketing Daily on 11/18/11.

Next Generation’s New Pathways – And Potential Dead Ends, All Just A Click Away

A recent post on the Future of Media (my favourite new blog) predicts that the next big business boom is likely to be in occupational therapy, (OT) and intimacy counselors. Millennials, the generation born post-1985, will increasingly require their services, having become too plugged in to remember that a “friend request” isn’t always a mouse-click away.

Sadly, I don’t think this a prediction, it’s  turning out to be true – and growing. A report, “Cyber Communication on Today’s Youth,” by the American Counseling Association was already ringing alarm bells in 2008. Reading the document three years on, it’s fascinating to note how much the digital landscape has changed in such a short period. While Myspace gets at least minor billing, Facebook, which was already 4-years-old at the time, does not receive a single reference.

How the mighty have fallen. Or, more to the point, how the mighty squandered a golden opportunity. But I digress…

If that much can change in three years, it’s rather hard to envision the next 1,100 days. While I’m praying for an economic rebound, I would hate to think that these new, or “reinvigorated” professions would be spurred by society’s digital addiction. When President Obama talked of job creation, it’s unlikely he was referring to these.

Taking advantage of our “click addiction”

A recent article in the New York Times looks at Americans’ growing reliance on their shrinks – online. Can’t make it to your weekly couch-session in person? Not a problem. Just fire up Skype and connect with your therapist anywhere. Having an anxiety attack, possibly caused by having to do an “in-person” interview? Get some webcam time with your therapist for an online RX.

And the irony continues..

Driving to the beach this morning, I was reminded of this growing “click-to-counsel” profession: A huge billboard touting a local hospital’s ER room “click and book your ER visit online.”

The scenario could go something like this..

Have an accident with the automatic carving knife. Put sorn-off finger(s) on ice. Log on to hospital’s ER booking system and reserve your place in the ER queue. Wait at home hoping you don’t lose conciousness in the meantime, or take a leisurely stroll for a few hours (with ice pack of course), stopping at a drive-thru before your appointed time slot.

“Turn on, tune in,” may have been part of ‘60s countercultural icon Timothy Leary’s well-known phrases. I doubt he would have imagined the phrase’s 21st century impact on the Children of the Sixties’ children.

Of course, “click-to-counsel” hadn’t been invented then. I wonder what he would have made of that?

10 Years Later: A Look At The Impact of 9/11 On Nonprofits And Giving

As most of the country spent yesterday, September 11, remembering and reflecting on the day of immense tragedy that took place 10 years ago, we also recounted that day, and how its events changed the course of our lives, businesses, outlook and, well, the world.

If you think about it, the period of 2001 to 2011 could go down in history as the “decade of disasters.”

Beginning with 9/11, threats of WMD, two (many will argue unnecessary) wars, a deep and still lingering recession bookended with a spate of natural disasters both at home and in every corner of the globe, and not least an extremely noxious political climate that threatens to divide the country: It’s hardly surprising that society’s capacity to empathize and to give often to charitable causes has diminished.

It’s The Economy Stupid

Of course, it’s important to remember the first victims of the “disaster decade,” even if a myriad of other events have shared the spotlight since, but a still-weak economy remains a sewer-sized drain on America’s almost empty wallets and has undoubtedly affected the bottom line of every nonprofit organization.

Data released last year (the most recent figures we have available) revealed that charitable giving dropped by a hefty 11 percent compared to 2009. At that time, nearly two-thirds of those surveyed in a Harris Interactive poll said they would be giving less than they were 12 months ago.

Worse still, the number of respondents who said they would be giving nothing as of last September doubled to 12 percent.

In the year since that report, the private sector has added a million new jobs (1.6 million from September ’10 to August ’11; 1.7 million from August ’10 to August ’11 – both figures seasonally adjusted from US Department of Labor: Bureau of Labor Statistics).

That may sound encouraging, but when you consider that at the height of the 2008 recession, American payrolls were contracting by some 800,000 jobs per month, it’s clear there is a very long way to go – in terms of job creation and rebuilding a society of Americans who have the capacity to give.

Today, some 14 million of our friends, families, and strangers remain out of work and the jobless predicament remains dire.

Perhaps we should look close to home and at our own neighbors to reignite our sense of empathy? Perhaps we should re-start our giving mindset by helping our fellow Americans – those 14 million who are jobless and in many cases homeless.  Their lives, after all, could have been ours. Perhaps 9/11 should be renamed Our National Day of Service, where Americans help fellow Americans – in any way they can.

Because charity begins right at home – around the corner, up the stairs, or across the street.  Perhaps then we can start to look outward again and start helping those organizations that rely on us to support their worthwhile causes and those in need.

Join us on I will to make your commitment to helping others in any way you can.

Note to the Small Business Owner: Groupon WON’T Save Your Company

Current economic environment notwithstanding, most consumers are attracted by ways to save money – not in their bank account, but on stuff – because they are going to spend. Businesses, naturally, oblige by offering “deals,” the growth of which has exploded thanks to Groupon, LivingSocial, Daily Deal and the dozens of other wannabes. Of course, the growing number of daily deals appeal to our human nature – getting the best offer before the next person does.  One doesn’t have to be a coupon hoarder or penny pincher to fall in that category, and Groupon has been most “helpful” in transforming so many of us into online deal hunters.

In less than a year, the “Groupon experience” has become incredibly popular with retailers and restaurants trying solicit new customers and get the cash register ca-chinging again. But if they expect a lot of these new customers to jump all over non-Groupon prices after paying heavily discounted rates at the start of the relationship, they are delusional and tragically mistaken.

Last month, I posted a comment on a Loyalty group I’m a member of on LinkedIn:

“While relatively innovative, Groupon is not a company that helps brands build loyalty. Because Groupon offers consumers discounted goods/services from an ever-changing variety of companies, it inherently encourages consumers to purchase a scattershot of different items, driven by heavy discounts offered during a short timetable – not through developing brand loyalty. The process works against loyalty because it drives consumers to try many new brands – rather than sticking with one brand consistently – all on a single factor. Price. Groupon essentially says to consumers, why stick with the usual go-to salon/restaurant/bookstore when you can try this coupon for another, different company that’s much cheaper than what you’re probably paying? Companies may increase business by using Groupon to bring in new consumers who might not normally try their brand, but in terms of encouraging long-term brand loyalty the service simply isn’t equipped to offer real results. I’ve always argued that when marketers go down the discount highway, it’s almost impossible to turn back around. Think about it… it’s highly unlikely that a consumer making a purchase decision based on a percentage discount from an unknown retailer/brand will return to that retailer/brand for “non-Groupon” prices. Why would they? Instead, they’ll simply look for the next bargain delivered by Groupon from yet another retailer/brand… and so on.”

That discussion is gaining a lot of traction as the “Great Groupon Debate” is argued among retail marketers and business reporters alike:

-          Bryon Morrison, president of The Marketing Arm’s wireless practice discusses the cons of Groupon in his article featured in Mobile Commerce Daily Countering the Groupon effect and linking tactics to strategy

-          And Fred Minnick, writing for Stores, asks if daily deal sites good or bad for retail in his article “The Great Groupon Debate”

In a recent Slate feature, Noreen Malone lived off Groupon for a week. There was a lot of effort involved (20-minute walks each way for a coffee shop? No thanks.) and a little pressure (don’t forget your coupon!), and Malone noted that it’s also an easy way to be blinded by the deals: “We might not know, sitting in our cubicles, that we want these things—but take 50 percent off the sticker price, and suddenly we do,” she said.

 

And that’s the trouble with Groupon. In a social deals-type environment, we look at sticker price, not at brand value. Groupon is less about the brand, more about the price. Why go back and pay full rates if you’re always presented with something new—and that deal you grabbed wasn’t even nearby?

Yes, we are even willing to go out of our way for a good deal, but will we return to the same place when we don’t have a chance at a discount? Fat chance. In a recent survey by Cooper Murphy Copywriters, 82 percent of companies that had Groupon promotions in the past said that they were unhappy with the level of repeat business they received after running their promotion.

To continue Groupon momentum, a company might consider another deal, and another one… and they’re continuing that cycle of margin giveaways in the process, not to mention alienating loyal customers who have been paying standard prices for months or even years. With an influx of new customers waving deals, will the regulars have the same level of service, the same experience?

It’s better to concentrate on customer connections in the long run. Keeping costs low for all buyers—not just the Groupon set—will ensure repeat customers. Specialized pricing and competitive edge can hook new clients, but how can we keep customers coming back? is a better question than how low can prices go this month?

There is no quick fix to finding new customers – any marketer worth their grain in salt will tell you. The experiences that consumers are having with Groupon like not being able to redeem coupons for 4+ months (personal story that I’ll share with you next week) or finding out that the deals are only available at very limited times will and work against Groupon, the business and their brand.

My advice? Treat Groupon and its ilk with caution and think about long term ways to connect with customers to build profits – not give away margins and alienate existing customers through deep discounts.

Trending: Customization

Thursday, September 23, 2010

By Katie Norwood

In today’s market, almost any product can be customized – the features of cars, cell phones, even computers can be upgraded with the consumer’s  personal touch.  Customized products have long been a favorite of trendsetters, creative types, and those who know exactly what they want – but it seems that customization now is growing popular with a wider market.

A recent article from Sara Needleman of the Wall Street Journal investigates the trend toward customization, and notes that while customized products “may cost more than their mass-produced counterparts, they’re still generally less expensive than luxury goods.”  In this economy, the thinking goes, customization provides a unique and special shopping experience for consumers who crave high-end goods but who may not be able to afford luxury products. 

Product customization also appeals to self-expression obsessed “Gen-Y”ers  who appreciate, and have come to expect, a high level of customization in products and services.  Expectations of the customized buying experience vary among consumers; as a recent study by Treehouse Logic notes, some people want endless customization options, while others are content with a modest array of choices.

Mass customization, which has been masterfully implemented by Dell, is another approach in which products are assembled according to customer specifications.  Barry Berman of The Wall Street Journal argues that, from a practical perspective, mass customization is preferable to excessive product proliferation – after all, are 17 varieties of toothpaste really necessary?  Yet, like the purchase of luxury goods, the purchase customized products is not so much driven by what consumers need, but rather what they want.  

What do you think of the recent trend of product customization?

We’d love to hear your thoughts on this topic!

About Katie Norwood

A native of Texas, Katie holds degrees from the University of Miami in public relations and art history. Her background is in PR and strategic communications and she has extensive experience with social media, as well as marketing campaigns and event planning.

The Glad Demise of the Ugly American

For a very long time America has been seen as the global Pac-Man – gobbling up everything in its path. The debt accrued in a quest for “more and better” (in addition to an international policy of exploitation and planet policing) has sullied the intended image of America as being a beacon of opportunity, democracy and freedom.

On a domestic level it has left many in more than a bit of a pickle. Strained personal finances and a shortage of work hours have left Americans with time on their hands to spend someplace other than a restaurant or a shopping mall. Yep. The bottom has fallen out of the bucket – and change, though painful, is proving to be a very positive thing. Rewarding, even!

According to an article in the NYT, in response to the “Great Recession,” many Americans are choosing to spend their time and money on things like exercise, gardening and aesthetics, and are re-discovering the simple pleasures of “friend and family time.” People are now being presented with the opportunity to internalize the notion of it being better to “do things” than to “have things.”

And although retailers are suffering from the shifting value system, museums and the performing arts are enjoying an increase in support. People are still spending, but are opting for experiences over objects. Economists are concerned that the end of a spendthrift mentality could hamper efforts to revive the economy, but with people redefining their values, marketing just have to follow suit as in any market shift. In the big picture, we’ll all be better off for it.

Will this change in priorities be permanent? One can only hope so!

Meanwhile, despite our struggles, here’s to the hope that 2010 brings America happier individuals and families with a greater appreciation for their lives – and a greater empathy for the struggles of our neighbors around the world. After all, we’re all in this together.

8 Things that Won’t Happen in 2010

Reprinted from www.younghotelier.com

By Jennifer Rodrigues, TravelInk’d

If you’re anything like me, you’re probably getting very sick of reading new predictions released daily about what 2010 will bring for the hotel industry. Have you noticed a theme in all of them yet? I have, and it goes something like this: bad news, bad news, bad news and more bad news.

So, to lighten the mood, I’ve decided to put together my list of unpredictions for the hotel industry in 2010; basically this is a list of things that I’m pretty sure WILL NOT happen in the hotel industry next year.

Let’s start the countdown:

#8 – Consumers decide that value ISN’T the most important thing in choosing a hotel; decide to pay full price for all bookings.

With the advent of technology, the hotel industry has had to make their rates much more transparent. And with more and more OTAs springing up every day, transparency is the only way forward for hotels. Even though we, as an industry, may be suffering, charging high-season rates during the off-season will never equal more bookings or higher RevPAR; instead, it will result in a hotel losing out on valuable bookings to their competition. Think value, and your hotel will be thinking successfully in 2010.

#7 – Social media sites Facebook and Twitter, die peacefully in their sleep from lack of usage, moved on to social media heaven. Hoteliers worldwide sigh with relief.

At this rate, the only people not on Facebook and Twitter by the end of 2010 will be my grandparents. Oh, I just got an email: ‘grandpa is now following you on Twitter’. What?? Well, that proves it. If you’re not using Facebook or Twitter (or both) to promote your hotel, then you’re not reaching a huge audience… everyone!!

Hotels need to embrace social media as an efficient and cost-effective way of interacting with consumers. While it can be confusing to figure out what works and what doesn’t, if you don’t, you risk missing out on the opportunity to develop the brand loyalty that makes your customers keep coming back for more.

#6 – Hotel rates continue to fall. Free hotel rooms all the rage!

I think that we’ve seen the end of one cent rooms and hotels giving away the house (or rooms). Hoteliers have learned their lesson; increased occupancies without a proper rate, does not equal more dollars in the pocketbook. In 2010, the emphasis for hoteliers will be more on RevPAR rather than just filling space. And it’s not a moment too soon!

#5 – Consumers stop travelling altogether; recession to blame.

Lodging supply actually grew in the third quarter of 2009 (again according to PwC, which revised its room supply prediction to 3.2% growth for 2009) so I know for a fact that this unprediction won’t happen. With the recession at an end, consumers will start to feel more comfortable with the thought of spending money and the travel industry, including the hotel industry, will start to pick up again. It will be slow going for most of the year but in my mind, any increase is a good thing after a year like we’ve had in 2009. Don’t you agree?

#4 – Hotels at 100% occupancy worldwide.

While hotel rooms won’t be empty, they also won’t be completely full. It will still take at least a year until occupancy rates are back up to the levels that we’ve seen in previous years, and even at the best of times, occupancy rates (in general) are rarely coming in at 100%.

Hotels can increase their occupancy by focusing on value and offering value-adds to distinguish their property from its competition (rather than focusing on slashing rates). Consider free breakfasts, WiFi, passes to area attractions, or even a buy one, get one free coupon for longer-term stays.

#3 – Customer service falls to the wayside.

In a market where online travel reviews are almost the norm, customer service becomes of utmost importance. Many consumers use previous hotel reviews to gauge whether or not they should also choose to stay at a particular property so it’s important that hotels don’t disregard the importance of these reviews.

It’s simple: bad customer service=bad reviews=decreased bookings. Hotels need to focus on delivering the best experience possible to their guests in 2010. And when there is a problem, hotels need to make sure that they address it immediately and to the guest’s satisfaction, to prevent them from spreading negative reviews online.

#2 – Expedia goes out of business, closes its virtual doors. CEO Dara Khosrowshahi out of work!

Again, never going to happen. Expedia is a leading OTA and a constant innovator in the travel space. Until the web is replaced with another primary booking channel, Expedia will be around, charging hotels commissions.

Which reminds me, although we all hate those pesky commissions, Expedia and the other OTAs are something that we have to just grin and bear through 2010. They will continue to be even more important for the success and revenue generation of hotels, especially in North America, but increasingly worldwide.

And last but not least, Numero Uno – Hotels become obsolete; RVs back in style!

Hotels have been around for hundreds of years for one reason – consumers love them. While RVs offer the benefit of being able to pick up and go, hotels will never be beat when it comes to luxury, amenities and ambiance.

But that doesn’t mean that hotels don’t need to stop thinking about continuing to innovate and distinguish themselves from their competition. In 2010 and beyond, hotels will need to keep moving forward, embracing the future and keeping themselves ahead of the pack in order to survive in today’s post-recession world.

In 2010, keep reading my columns to find out how your hotel can use marketing and PR to establish your property for continued success. And don’t hesitate to contact me at any time if you have questions about your marketing programs – jlr@travelinkd.com.

Happy holidays to you and your family and I look forward to hearing from you next year!

About the author: Jennifer Rodrigues, Visibility Specialist with ThinkInk and TravelInk’d, is a seasoned public relations professional with a passion for the hospitality industry, which is expressed in her role at ThinkInk’s travel division, TravelInk’d. At TravelInk’d, she is responsible for developing cost-effective and creative public relations and marketing strategies for clients in the travel and tourism, airline, lodging, cruise and meeting/event sectors. For more information on TravelInk’d, please visit www.travelinkd.com or contact Jennifer at jlr@travelinkd.com.

How mobile is set to impact the 2009 holiday retail season

by Eric Holmen * • 15 Dec 2009

 

 

With Black Friday over and Christmas tree lights now officially blinking, it’s time to gather around and sing the Retailer’s Holiday Carol. All together now: “It’s the most wonderful time of the year.”

Except, of course, for the fact that last year’s holiday sales season was anything but wonderful. And retailers from Poughkeepsie to Palo Alto are worried that this year will be the same.

Analysts’ forecasts are mixed, and so it’s hard to know who to listen to. For some, the outlook is half-empty, whereas for others it is half-full. Last month, the National Retail Federation predicted a single-percentage-point sales decline from last year’s holiday period, while an independent research group, ShopperTrak, foretold a 1.6 percent increase. Deloitte estimates total holiday sales from December to January to be essentially the same as the same period a year ago.

So although these predictions don’t take on the catastrophic tone of last year’s, none of these analysts seem ready to join in the caroling and festivities just yet.

Gloomy projections notwithstanding, individual retailers are not all doomed to a lackluster holiday season. In fact, an environment of weaker demand marked by uncertainty in consumer’s willingness to spend provides exactly the type of opportunity for retailers to engage in forward-thinking marketing tactics — having few options can breed innovation. Increasingly, therefore, non-traditional marketing channels are being introduced by innovative retailers because the costs associated with catalogs, direct mailers, and mass media advertising campaigns are no longer justified by the returns they yield. The retailers that are best positioned for success this holiday season are engaging in high-return, low cost-per-touch, interactive strategies like mobile marketing and mobile advertising.

Mobile’s magic

It seems that each of the last five years has been touted as the year that the retail industry will finally integrate the mobile channel into its marketing efforts. And each year, this gets closer to the truth. Mobile device saturation in the U.S. is at its highest level ever (a fact that has been true every year, as Americans continue to adopt mobile technology in ever-greater numbers). Currently, more than 82 percent of Americans own and use mobile devices on a regular basis, making the mobile channel as wide ranging an outreach tool as mass media.

What’s changed this year is that more individuals are willing to use their mobile devices for more than a phone call or text message, for which we can thank smartphones in part. Thirty-two percent of American mobile users have used their devices for accessing the internet at some point, and a majority (54 percent) use their phones for non-voice activities. Thankfully, this type of usage has spilled over to the holiday period as well. The same Deloitte study mentioned above also indicated that nearly 1 in 5 consumers plan to use their mobile phones this holiday shopping season to find store locations, obtain coupons and sales information, and research products and prices. In the 18 to 29 year-old age group, four out of 10 (39 percent) say they plan to use their mobile phone for holiday shopping.

For retailers, leveraging this technology to increase holiday sales will be a hallmark of a successful season, and an imperative heading into the New Year. Mobile coupons are already featuring prominently in some retailers’ comprehensive mobile strategies, in addition to SMS (text message) marketing campaigns carried out with respectful express consent opt-in and double opt-in practices.

Mobile couponing, the latest technology-fuelled wave in direct discount marketing, is another aspect of the mobile-retail universe that is on the verge of breaking out on a big scale. Although some form of mobile coupon has been around since SMS became widely available on mobile networks and handsets, it’s only now that U.S. consumers have adopted a more value-conscious attitude and marketers look for high-impact, low-cost means of reaching new consumers that mobile coupons are finally coming into their own. The convenience of redemption, immediacy of value, and efficacy in driving both revenue and feedback are driving that trend. And the more that retailers embrace the mobile medium as a legitimate and powerful marketing tool, the more mobile coupons will flourish as a bona fide business driver and revenue generator.

In fact, a study by Juniper Research estimated that by 2011, retailers worldwide will be sending out nearly 3 billion coupons to mobile phones, which will be redeemed for $7 billion worth of discounts.

Apples, oranges and mobile

What has also emerged as a powerful tool and is being tested by some bigger retailers this season is mobile advertising. Mobile marketing and advertising – both in conjunction with mobile coupons or executed independently — have gained prominence among retailers over the past 12 months; however, there is a difference between the two. Both play an important role in developing the customer lifecycle and attracting new business, but mobile advertising is focused on precisely that — advertising. Mobile ad networks provide retailers with the ability to place banner ads on mobile sites, or iPhone apps, or within a text message; however, these reach an audience that is not likely to be existing customers. Mobile marketing, in contrast, focuses on developing and building the customer database and sending relevant messaging to that audience.

As such, mobile ad networks have evolved rapidly and the best networks can generate as many as 200 million unique mobile impressions in a month. Strong mobile ad networks also offer partnerships with mainstream media outlets, providing cross-channel integration and using traditional means to feed the actionable mobile sales channel. What this means is that retailers now have the ability to advertise on the billions of impressions mobile is capturing, combining marketing to build a database of engaged consumers they can sell to.

While the mobile channel may not be the holidays’ savior — because the American consumer will ultimately determine the fate of the retail industry’s highest season — it is allowing innovative retailers to differentiate themselves, using mobile advertising and mobile marketing to open whole new avenues of communication with existing and potential consumers.

And in my mind, that is definitely something to rejoice and sing out loud about. 

Eric is responsible for leading SmartReply’s strategic and creative teams in developing innovative voice, mobile marketing and advertising solutions.

http://www.retailcustomerexperience.com/article.php?id=1547&na=1

Budget Marketing Tactics

By Jennifer Rodrigues, TravelInk’d

Reprinted from www.younghotelier.com

Hotels and lodging companies are facing a difficult reality in today’s market. Even as the recession seems to be waning, revenues, occupancy and ADR are still down and the next 12 months are still looking hazy for the hotel industry. Budget cuts are still in effect and hotels don’t have money to spend on marketing or PR or social media outreach or, well anything for that matter. But that doesn’t change the fact that if hotels aren’t putting themselves out there and making themselves visible to their potential customers, they can’t and won’t be successful, today or tomorrow. Visibility equals sales. Period.

So how do hotels with fewer marketing dollars market themselves effectively? What tactics work? What tactics don’t? And how can you make them work for your hotel without spending a fortune?

Here is my list of four highly effective hotel marketing tactics that won’t drain your bank account:

Website (Where is Yours?)

Let’s be frank – if you don’t have a website for your property, there’s a good chance that your property won’t ever be found by consumers. No ifs or buts about it. It is a fact of today’s operating environment: dynamic websites and an online presence are crucial.

Today’s website, however, is no longer just for information and sexy pictures; today, a website has to function as a lead generator, booking path, marketing vehicle and revenue manager all in one. It is a hard-working multi-purpose tool that must be developed accordingly. Ask yourself, is your website doing all that?

And while have a great website is important, what is the point if no one can find it? Embrace search engine optimization (SEO) with a passion. This is the process of improving the volume or quality of traffic coming to your website from search engines using un-paid search results (organic search), so that your site comes up in Google and other search engines. The next step beyond SEO is Paid Search Advertising, which is another effective way to drive traffic to your property’s website.

Social Media (Is Not Just Hype)

Social media is a great way to create interest about and get consumers involved in your property. There are social networking sites for almost every niche market and it’s only your creativity that limits which sites you choose to use to promote your property. Here are a few social media guidelines to keep in mind:

• Social media is not a sales forum for your property. While it’s important to deliver some of your key messages about the benefits of choosing your property, it’s also important to provide information that is interesting and engaging for consumers. Keep the sales pitch for your website.
• The goal with social media is to have others do the work for you. That doesn’t mean that you should have others post for you; it means that the overall goal is to make your content so interesting and compelling that others will forward it to friends and networks, spreading the word about your property with no effort on your part.
• Social media sites are perfect for developing relationships with your customers and the best way to do that is to develop a two-way conversation. Two-way! That means that when your customers contact you through your sites or provide you with feedback, it’s imperative that you respond immediately.

Bad news travels faster than good news. Make sure that you address concerns brought to your attention through social media sites. If you don’t, you risk having the word spread far and wide that you don’t care about your customers’ complaints.

So which site will work best for your property? Here are some of the more popular sites (but remember there are many more to choose from!):

Facebook – This is where people spend a growing amount of their [online] time. They create and maintain friendships, document their lives and connect with brands they care about. Hotels should be using Facebook to create a community and develop two-way conversations with their customers. The community should provide consumers with content and conversations that are relevant to their lives, desires and mindsets.

Twitter – An effective way to communicate short messages to your followers. Twitter is very effective for promoting sales, providing travel tips and other information which your guests could use when planning a trip to your destination. Keep your ‘tweets’ short and sweet because you only have 140 characters for the entire message. Be personal, be interesting. This isn’t a marketing brochure; it’s a conversation starter.

And last but not least, blogging. Blogging is a perfect complement to your social media strategy. It’s a way to post news, stories and opinions to attract visitors to your company’s website – and hotel community. Bring people to your blog by including links to articles and posts from your blog on your other social media sites.

Blogging – Blogs are a great way to communicate useful information to your customers. Try including reviews of local attractions, things to do, updates on tourism to the area and other relevant details people can use. But remember: the information you provide MUST be of interest to consumers, otherwise they won’t take the time to read it.

Public Relations (Is More Than A Press Release)

You’ll hear me extol the virtues of PR in this column over and over again. Of course, I work in PR but it’s more than that. PR is inexpensive and most importantly, PR’s results are much more credible and then advertisements. How so?

Most people only “know” what they read, see, hear in the media or through word of mouth. PR optimizes both those channels and provides third-party testimonials about the benefits or advantages of your property.

Truth is in the advertising? Well everyone knows that a hotel, or any advertiser for that matter, can say whatever they want to about their property. A hotel can claim 100% occupancy for 10 years straight, or that 100% of their customers will choose to return, and so on. In today’s media market, however, consumers are hesitant to believe these types of claims regardless if they are true. But when a trusted media source offers an unbiased perspective and compelling story about your hotel, consumers are far more likely to believe it and react positively to it.

An effective PR strategy has the ability to deliver far more credibility than most advertisements ever could, as well as drive brand preference and yes, sales.

The Online Travel Agencies (OTAs)

It’s true that OTAs aren’t exactly “budget” tactics; in fact, their commissions can become pricey. But I’m including them here because hotels must (repeat, MUST) have a presence on the OTAs to find success in today’s (and tomorrow’s) marketplace. Today’s consumer is looking for the best deal and knows that most often, their best deal is found online with an OTA.

Consumers use OTAs as their Google for travel. In some destinations, there are hundreds of hotels to choose from and there is little chance of the consumer knowing all available options, or indeed having the time to spend individual sites for the best deal. What this means is if your hotel doesn’t have a presence on those sites, you are losing out on valuable booking opportunities and valuable revenues.

It’s a must do, an operational imperative and what makes this one come in at number four on my list.

Don’t Close Your Doors To New Business

For a hotel, a slow travel market shouldn’t mean slow or non-existent marketing efforts. Many studies have shown that if you don’t continue to promote your business during rough times, you might not be around once the market improves. Only your competitors stand to gain if you stop or slow down your marketing efforts.

Think strategically, think on a budget, but don’t stop thinking. Think outside the marketing box, and you just might be pleasantly surprised by the success you find there.

Just don’t close your doors to new business.

About the author: Jennifer Rodrigues, Visibility Specialist with ThinkInk and TravelInk’d, is a seasoned public relations professional with a passion for the hospitality industry, which is expressed in her role at ThinkInk’s travel division, TravelInk’d. At TravelInk’d, she is responsible for developing cost-effective and creative public relations and marketing strategies for clients in the travel and tourism, airline, lodging, cruise and meeting/event sectors. For more information on TravelInk’d, please visit www.travelinkd.com or contact Jennifer at jlr@travelinkd.com.