HP's Dhore Discusses CRM for 60 Million Customers†

Brandweek, October 7, 2008 — When it comes to Customer Relationship Management, Hewlett-Packard has its hands full. The company gets 600 million calls a year from its customers and ships about 500 million products. The task is complicated by new forms of customer interactions, such as blogs and social networking applications. At the helm of all this data management is Prasanna Dhore, HP's vp of customer intelligence. Dhore joined HP last year from Dreyfus, where he focused on reducing churn. At HP, Dhore has more tools at his disposal, but also a lot more data. Last week he discussed HP's CRM program with Brandweek's editor Todd Wasserman. This article highlights excerpts from that conversation.

Tampa Bay Rays Get a P&G-Style Makeover†

Arsenal of Marketing Concepts Includes 'Brand Pillars' and Consumer Touchpoints

Advertising Age, October 6, 2008 — Under the guidance of a former Procter & Gamble brand manager, the Tampa Bay Rays have gone through the sort of transformation typical of deodorant sticks and shaving razors.

First off, the team got a new name — Devil is gone — and a fresh logo and color scheme, swapping green for blue. A list of "consumer touchpoints" was found via focus-group research and monitored to make sure the ballpark experience is fun for fans

Wal-Mart Grinning Big Through the Tough Times†

Sales, Margins and Stock Price All Up -- but What's the Reason Behind the Marketing and Merchandising Miracle?

Advertising Age, October 6, 2008 — Looking for a silver lining in the economy? It's shining brightly from Bentonville, Ark.

Same-store-sales growth for Wal-Mart Stores is well ahead of dismal levels a year ago. Amazingly, Wal-Mart's margins are up too. And the stock has soared more than 30% in the past year, trading at levels not seen since the turn of the millennium, providing hope that CEO Lee Scott can avoid a net loss during his reign. Wal-Mart has become a popular defensive buy for investors and consumers alike.

The big question: Is Wal-Mart's recent run of improved results more about the marketing or the economy? Most signs point to the economy, though economic distress has dovetailed nicely with the marketing.

General Mills, Kraft Launch Word of Mouth Networks†

Brandweek, October 5, 2008 — Recognizing that a consumer's two cents are well worth their dollars, General Mills and Kraft have both launched new word-of-mouth networks.

For General Mills, it is "Pssst . . . ," an online network that gives members the scoop on the latest product news and offerings. The site, pssst.generalmills.com, currently has 100,000 members after a quiet launch last month.

Pssst uses an initial survey to help gauge product preferences. Once registered, users can voice their opinions via blog posts, share online coupon offers and recipes, and test new sample kits via the mail.

Kraft, meanwhile, kicked off Kraftfirsttaste.com last week, which lets consumers share the newest coupon and sampling offers, but also includes features such as a member spotlight, product... continue reading

Ducking the Price War, Target Highlights Fashion

Instead of fighting on Wal-Mart's terms, discount retailer Target is accentuating its core strength: Affordable chic

BusinessWeek, October 1, 2008 — Just a couple of years ago, Target (TGT) was the darling of discount shoppers. The retailer profited from exclusive, stylish goods created by such big-name designers as Isaac Mizrahi and Michael Graves. But in today's rocky economy, Target seems out of fashion. Same-store sales are down, and net income is sinking. Even Target executives pin the troubles in part on the widespread perception that the chain is more expensive than Wal-Mart (WMT) because of its focus on trendy clothes and home accessories.

So how is Target revising its sales strategy as it heads into the holidays? It is actually ramping up its designer collection, with more labels than ever. But the $63.4 billion company is also recalibrating its marketing pitch to highlight low prices. In... continue reading

Rewards that Reward†

Most customer-loyalty programs don't boost market share. Here's how to improve the odds.

Wall Street Journal, September 22, 2008 — Used by businesses for more than 25 years, loyalty programs aim to entice consumers to make repeat purchases by offering them rewards — things like discounts on future purchases or points toward free airline tickets.

Since companies continue to expand them, one would think loyalty programs are powerful tools for boosting market share. Our research indicates many aren't, at least not as designed.

'Call to Action' Advertising

KenRadio, September 15, 2008 — The combination of mobile TV and the inherently cellular back channel are creating a new category of advertising known as "Call to Action" advertising. Call to Action advertising was virtually non-existent in 2007, but the specialty advertising market will grow to $419 million in worldwide advertising revenue by 2012, according to research by MultiMedia Intelligence.

Take Command of Service†

CMOs, You Must Have Responsibility for Training Service Personnel

Advertising Age, September 15, 2008 — There are businesses that provide adequate customer service and have many satisfied customers. This column is not about them. It is about the businesses that cannot or will not get it right.

Every year prominent research organizations such as J. D. Power & Associates survey millions of customers and businesses to gather customer-satisfaction rankings. A June 2008 industry-satisfaction study by that organization shows that Alaska Airlines, Continental Airlines and JetBlue Airways rank highest in customer satisfaction even amid declining overall satisfaction with the airline industry. Pella ranks highest for a second consecutive year in the 2008 Windows and Patio Doors Satisfaction Study. Microtel Inns & Suites is ranked highest in the... continue reading

Boomers: The Greenest Generation

Mediaweek, September 9, 2008 — While conventional marketing wisdom holds that it's the idealistic Gen Y shoppers who are most committed to buying products that are less harmful to the environment, a new study finds that baby boomers are the greenest generation.

McDonald's Reports 4.5% Sales Bump for August†

Olympic Sponsorship Appears to Pay Off, at Least in Short Term

Advertising Age, September 9, 2008 — McDonald's Corp. today reported same-store sales for August were up 4.5% in the U.S. — a result one analyst estimates will be nearly double the industry average. But industry-watchers are doubtful the company can keep up that pace, especially now that the Olympics are over.

UBS analyst David Palmer predicts the Golden Arches' August performance, which also saw global sales jump 8.5% compared to August of last year, will come in "nearly double" that of the fast-food industry as a whole.