Many times, companies tinker with their logos, their slogans, and other branded materials. They want to “freshen” things up.
Four recent rebrandings (Gap, Starbucks, Vodafone, and AirBnB) are the subject of a recent analysis by Erik Devaney for HubSpot:
” If you’ve ever been part of a company or worked on a product that’s undergone a rebrand, you know how absolutely crazy it can be. From establishing goals, to iterating on designs, to actually implementing your branding changes on your Web site and across all of your marketing channels, it’s a lot of work.”
“I was part of a rebrand at a startup a few years back. The company at the time was shifting direction and targeting a different audience, so a rebrand made sense. We had to come up with a new name, new logo, new colors … new everything! Needless to say, there were a lot of brainstorms, a lot of late nights, and a lot of general craziness right up until we flipped the switch on the new branding.”
Click the image to read about rebranding at Gap, Starbucks, Vodafone, and AirBnB.
There are millions and millions of apps out there — some better than others. :-) One clever new app is from Adidas, called Confirmed.
As described by Kyle Stock for Bloomberg:
“Are limited-edition sneakers still special when buyers can reserve them via an app, like a pizza or a pair of movie tickets? Adidas hopes so. The German sportswear giant just launched Confirmed, a mobile platform that will let sneakerheads skip the long lines at Foot Locker, obscure shoe lotteries, and the occasional disturbance of the peace that come with the sale of a rare pair of shoes. ‘You hear a lot of chatter and frustration that the existing system is somehow rigged for friends of friends or VIP customers,’ said Simon Atkins, the company’s vice president of brand activation. ‘We saw a real opportunity to change the paradigm with customers.'”
“Here’s how it works: Consumers who download the app, register with personal details, and allow push notifications from Adidas will get offers to reserve limited-edition shoes and apparel as they become available. Those who respond first are given the right to buy the products at a certain time and place, both in Adidas-owned stores and other retailers.”
Click the image to read more by Stock.
A pair of Adidas “Year of the Goat” sneakers celebrating the Chinese New Year that go on sale on Feb. 19 for $130.
by Joel R. Evans and Barry Berman
Too many firms concentrate on how to woo new customers and, thus, they do not pay enough attention to what they can do to gain the loyalty and increased patronage of their repeat customers. For example, when was the last time that YOU ran a special sale just for current customers, communicated with your current customers via a phone call or direct mail piece, encouraged current customers to recommend new ones by giving the former a gift for doing so, sent birthday, anniversary, or holiday cards to current customers, offered extended shopping hours just for current customers, etc.? Unless you are actively engaged in all or most of these activities, you can do a better job in this area.
Why It Is Vital to Target Current Customers, as Well as New Ones
- Develop a database with the appropriate customer information. This could be done by giving your shoppers a small prize for filling out a short form and then updating the information periodically. Computerization is not necessary to do this, although it helps.
- Set up some type of frequent-shopper program that can reward people for their continued patronage. The program does not have to be complex. For instance, many car washes give out punch cards (or a similar variation) whereby customers can earn free services based upon a certain number of washes.
- Communicate with these customers on a regular basis. Mail (E-mail) them a letter at least quarterly. Call them at least once per year. Customers are often quite impressed when they receive “friendship” rather than “sales pitch” letters and calls. People like to feel appreciated.
- Run special events for good customers. This also lets them know how important they are to the firm.
- Offer extra services, such as free delivery or more liberal re turn policies, for good customers.
- Do not reward your new customers at the expense of the current ones. Think carefully about having promotions that offer benefits to new customers that are not available to current ones, such as reduced credit terms for first-time car buyers. Try to run promotions in a way that also offers benefits to current customers, such as also having special trade-in terms for people who have bought their previous car from the same dealer.
As we have posted before (see for example, 1, 2, 3), identity theft, hacking, and invasion of privacy are rampant issues that we face today. And this is a BIG issue when we shop online.
Recently, we sat down with Fios1’s Money & Main$treet host Giovanna Drpic for a TV interview on this important subject.
Smart companies realize that repeat business (customer loyalty) is one of the most important — if not THE most important — objectives to achieve in both the short and long run. This is a key challenge for marketers.
As Bain & Company explains:
“Investing to earn the loyalty of your customers often requires trade-offs — you must decide which of the many investments you could potentially make will result in the greatest return. A clear understanding of your company’s loyalty economics will help you make those decisions. It will give you a quantitative basis for investments in long-term customer assets and provide a defense against the short-term, sub-optimal, ‘quarterly earnings’ mind-set that often tempts leaders to generate ‘bad profits.'”
“It is possible to calculate loyalty economics with great precision, if you have the resources and the tools to do so. If not, you can also make rough estimates that can help guide decision-making. This page describes a relatively simple way to get reasonable, rough estimates of the potential value that can be created by improving your company’s Net Promoter score and earning the loyalty of more of your customers.”
According to Bain, a simple formula for computing customer lifetime value is:
Click the above formula to read a lot more about customer lifetime value and how to calculate it.
Last week, we posted about JWT Intelligence’s 100 best predictions for 2015.
But how about some past predictions by others that really turned out to be wrong? Take a look at this infographic.