- Your company/products/services need to have differentiators.
- You need to have differentiators before you can begin effectively marketing and communicating.
- Employees are the nucleus for your brand.
- In fact, employees are your brand. And it’s all employees, especially front-line employees, and not just the marketing department.
- Reaching travelers is hard and won’t get easier.
- While still valid for some industries, mass marketing overall is not as effective as in prior years.
- Word of mouth is an increasingly important and effective marketing component, although not the only marketing tool to use.
- Two formats of word of mouth: natural and stimulated
- Word of mouth can range from buzz, viral, evangelists, community, grassroots, referrals and cause related
- Find out what consumers are saying about you, whether they’re talking to other consumers in indirect channels such as message boards, or directly to you such as through your customer service department
- Community or “emotive networks” (interconnected groups of consumers engaged in communication and support) are especially growing in importance
- “Connectors” are people who influence other consumers and can become your company/product/service’s advocates
- Communication with connectors needs to be relevant and tailored to their interests/concerns
- You need a brand and a story.
- Your story brings your brand to life and adds context and understanding.
- Hospital example – You can use a traditional approach to your business and your story by saying you’re a hospital and therefore you act in a traditional “hospital way.” Or you can be in the business of “making people well.” The latter approach and story are very different and often will generate better outcomes.
Conference Session Notes
 Keynote: Jonathan M. Tisch, Chairman and CEO, Loews Hotels and Author of The Power of We: Succeeding Through Partnerships
- Six different constituencies need to focus on:
- Consumers
- Need to understand what customers want
- Co-Workers – Especially ones on the frontline with customers
- Community
- Competitors (ex. include associations and CVBs)
- Government
- Partners in Your Business – Understand why folks are investing in you
- Support the community where you do business – absolutely have to do this
- Understand one’s responsibility to the community. Not just “giving back”
Trends: “Wrestling with Alligators in Uncharted Territory”
Henry Harteveldt, VP Travel Research, Forrester Research
- Presentation available at: www.forrester.com/ATME
- Henry’s theme
- “You don’t control your brand anymore. Deal with it.”
- Can no longer afford to have customer be upset – they can turn to Internet to spread their dissatisfaction – Consumers have power to comment
- Reaching travelers is hard and won’t get easier
- Consumers are ticked off with spam
- They want relevant content
- Think and speak like your customer
- Some groups are less negative about advertising than others
- New product ads appeal to women
- Young adults find adverting more entertaining (connect in relevant way)
- Technology optimists’ attitudes are paradoxical
- Negativity increases with income
- Word of mouth: time-tested and proven
- Word of Mouth Marketing Association
- Examples of word of mouth marketing include: buzz, viral, evangelists, community grassroots, referral and cause related marketing
- Emotions eclipse everything
- Consumers seek like-minded individuals
- Consumers are reading reviews to help decide what to buy
- Vital connections are social, not professional
- Using consumer generated media (CGM), travelers seize control – and create emotive networks (emotive networks = interconnected groups of consumers engaged in communication & support)
- Discussion/message boards
- Blogs
- Real Simple Syndication (RSS) feeds – create what you want to see delivered to a unique spot (personalization)
- Critical mass of travelers belong to emotive networks
- Leisure travelers – 21%
- Business travelers – 23%
- Compared to all travelers, travelers in emotive networks are:
- Younger
- College graduates
- Technology optimists
- These travelers in emotive networks are highly influential
- Self directed
- Self perceived leaders
- Primarily household decision makers
- They’re more open to new ideas
- Surprise – they don’t hate advertising
- What should you do?
- Appoint a networking expert on your marketing team
- What makes customers relate to you?
- Listen to natural word of mouth
- Instrument your consumer relations department
- Build a brand community
- Example: Apple and its evangelists
- Starbucks
- Enable campaigns for viral marketing
- Example: Forward this to a friend
- Use the same networking sites your customers do
- Invite your customers to talk to executives
- Look at what your employees are saying too
- Don’t impose a relationship that isn’t there
Using Brand Power to the Fullest:
Henry Harteveldt, Forrester Research, Moderator; Mark Snyder, SVP Brand Management, Holiday Inn; Rick Meadows, SVP Marketing, SVP Marketing, Holland America; Annette Hogan, VP, Amadeus; Ron Roy, SVP Marketing, Sol Melia Hotels
- Branding has become less important to America West because it’s in a commoditized industry focused on price and airline schedule; instead branding more heavily focused on employees
- Henry Harteveldt says that employee are the nucleus to brand
- Customer service is where the major breakdown is in our industry and this begins with employees says Annette Hogan with Amadeus.
- Ron Roy says a happy employee makes a happy customer makes a happy shareholder. He also said that for differentiation, you must have it before you can communicate it
MARKETING KNOW-HOW (2 presentations)
1). Internet Marketing – What really matters and how to optimize your ROI Online:
Dwight Sholes, CEO, Quotient Marketing
- Study on where eyes focus on search engine results
- Upper left hand corner (organic listings) – such as free Google listings
- Organic still rules versus paid search
- Most important in building your site right at start
- People buying more via e-mail
- ROI should be MOI (means “me in French) – your online marketing should be all about me, not you
2). Story Driven Marketing – Learn how your brand starts with your story:
Bob Allen, Chief Story Teller, i.d.e.a.s.
- Creatively Converged Marketplace
- Time jealousy
- Micro Audiences (not mass market)
- Brand alone is not enough
- Ubiquitously connected
- Impossible to maintain attention – we’re A.D.D.
- Authentically human – “togethering”
- The audience rules (not content is king)
- Healthcare Example – “Hospital” versus “Make Me Will” approach
- You can act like a hospital with a hospital’s goals in mind, or act like a company that makes people well = very different approach and outcome.
- Stories – Native language of human species – use them to make sense of our universe
- Storying Model (guest/customer at center)
Why have stories?
Part One:
- People retain stories longer
- Imbed information deeper
- Create advocates of the story
- Recall with higher accuracy
- Story – “ultimate viral”
Part Two:
- Reverse engineer from the guest out
- Build inside a story
- Do not confuse platform (Web) with product (story)
- Create Community
Delivering the Brand Promise:
Gary Sain (Moderator), CMO & Partner, YPB&R
Panelist include: Bob Coggin, VP Cendant TDS, Joanne Smith, President, Song; Chuck Bowling, EVP, MGM Grand, David Kong, CEO, Best Western; Susan Black, EVP Marketing, Liberty/GOGO
- What’s your companies brand promise?
- Song – brand promise to deliver value with better in-flight experience
- Liberty – service and expertise delivery
- MGM Grand – escape, indulgence – “Maximum Vegas”
- Everyone in company has brand goals
- How do employees deliver brand?
- Song
- Created song anthem – “We are a culture, not an airline…”
- Conference calls called “morning coffee talk”
- Songapoolaza event for all employees
- Employee characteristics = graciousness, stylish, playful, savvy
- Record customer feedback during flight through entertainment system
- Best Western
- Part of hiring process – look for employees that have certain “life themes” such as they like to please
- MGM Grand
- Made sure brand promise/efforts not viewed as just another training session or marketing program
- Why important to employees – e.g. more tips
- Liberty
- Go to Trip Advisor to see what they are saying about your brand
- Song
- Treat employees like a business partner – part of the business, you value them and show how they can contribute to their business
- Cendant
- Reward people for delivering beyond expectations
- Using PR to build brands?
- MGM Grand: Get internal brand set with employees, before you begin communicating externally
- Song
- Choose partners that fit brand – even if it means declining a PR opportunity with a company because its not a fit
- Turned Song into an adjective – “That’s so Song”
CMO Magazine Presents a Panel of Non Travel Industry Marketing Executives:
Rob O’Regan (Moderator), Editor-in-Chief, CMO Magazine
Panelists include: Steve Knox, CEO, Procter & Gamble Tremor; Anthony Rosetti, Director of Marketing, Vonage; Brian Cohen, CMO, Farmers Insurance
- Procter and Gamble
- Most powerful form of marketing = word of mouth
- Their targeted audience = teens and moms
- Vonage: Use existing customers - give them tools to spread the word
- Farmers: Commoditization affecting insurance industry just like travel
- Word of Mouth = advocacy (by Procter and Gambles’ definition)
- Because trying to affect change and generate business results and have audiences take action
- 2 fundamental principles
1) Connectors: 8-10% of demo
- Social networks – have ones larger than most peoples’
- Deeply inquisitive
- Like new ideas
- 300K moms
- Teens
2) Messages that go to them: message they want to hear from you and there’s a different message they want to share with friends
- Vonage: not sales focused in materials = education focused
- Procter & Gamble
- How to determine “connectors”?
- Identify psychological characteristics needed and then screen for them (note their intent or plans)
- Invite to join Tremor (Procter & Gamble’s advocacy group)
- Then watch their behavior
- Message they want to hear = product based (ex. Company says “We have a great beach you can swim, surf, etc.”)
- Message they want to share = More personal (ex. “This beach has the best sunset.”)
- Advocacy occurs offline and in one-on-one communication
- Measure outcome versus. process
- Certain markets
- In markets they were tracking, 18-40% increase in sales tied to advocacy
- Insurance Industry Similarities to Travel Industry
- Commoditization
- Distribution battle – buying insurance of internet v. agent
- Technology changing how you can price product
- Procter & Gamble
- Before you can approach “connectors” – need to know why they care/what’s in it for them?
- Word of mouth always more influential than traditional marketing in every country except France
- Word of mouth is one part of marketing mix, not the only part
- Consumer is the boss
- Roper Poll about what made you buy something
- Word of mouth – 96%
- Word of mouth – occurs when relevant to me, in natural part of interaction, with credibility
- Teen Connectors
- Motivated by sharing exclusive information with friends
- “trend spreaders” – inclusive
- Teens – being cool
- Moms = how do I nurture my social network? – very important to moms
- Proctor & Gamble: market in different way to advocates
- Farmers: Needed to change legacy of how we are built – compensated employees/agents as transaction agents versus one-on-one marketers
- Should you respond to negative talk about your company?
- No, because customers don’t want to hear from the company
- Intelligence tool & warning tool
- Procter & Gamble = you don’t necessarily need superior product to do this type of marketing; just need differentiator
- Have to ask consumer – you don’t necessarily know
Wyndham Hotels – Andrew Jordan, EVP & CMO
- Program of recognition, not rewards = Wyndham By Request
- Profile card filled out by guests
- Results of Program: Tripled repeat guests
- Brand promise = personalization = offering of choice
- Global hotel alliance
- Marketing alliance
- Guest recognition program based on preferences, not points (no passive benefits)
|
