Posts tagged "food marketing"

Stark reality of rapid change mandates marketing shift

March 24th, 2020 Posted by brand marketing, brand strategy, consumer behavior, Consumer insight, e-commerce, Higher Purpose, Marketing Strategy, Supermarket strategy 0 comments on “Stark reality of rapid change mandates marketing shift”

Guidance as new voice required in the face of cultural upheaval

Whatever the marketing plan looked like four months ago, it’s changing now in the face of a new reality and shifts in consumer attitude. Here we will chart the conditions and explain an enlightened approach.

So you understand what sits underneath the shifts:

Awhile back when we were engaged in the home safety products category, we had access to reams of quantitative and qualitative research to help us understand what the barriers were to purchase of potentially lifesaving products. The primary hill climb can be summed up in six words: “It will never happen to me.” Home fires, carbon monoxide incidents and other similar close-to-home threats happen to “other people,” consumers believed. This complacency could only be disrupted when confronted with real people stories of loss and tragedy.

The self-assessment people made was, never in my backyard. Now that sentiment has broadly shifted.

The unfolding events around us all has created a new reality. The change can be summed again in a statement, only modified as “it CAN happen to me.” We are witnessing the emergence of primal fear, anxiety nourished with uncertainty, multiplied by the speed of change going on and accelerated by public policy moves in an effort to flatten the curve of pandemic impact.

People believe they are truly vulnerable, while news reports of continued escalation in COVID-19 cases operates as confirmation of that view.

What does this mean to you? There is a rapidly increasing need for emotional support and preparedness. If you’re wondering whether or not consumers are paying attention to your behaviors and communication, a new research report suggests they are closely watching your moves.

  • Gfk research has been tracking the changes and in a recent report said that 73 percent of consumers say how companies react and handle the unfolding crisis will have an impact on future purchase decisions. No surprise, 85 percent of Gfk respondents indicated the virus is impacting their shopping behaviors, presaging a significant, and likely lasting, migration to e-commerce channels.

Primary call to action: consumers are looking for “a brand I can trust to guide me.” Thus, it’s time to step back and take a hard look at what initiatives and outreach in your current efforts are specifically addressing the need for trust creation.

Trust and safety are paramount

  • How are you expressing and addressing empathy and support for the lifestyle upheaval and anxiety people are experiencing?
  • Can you help people answer and manage the emergence of ‘family cabin fever’ conditions in the home?
  • Can you provide lifestyle encouragement, advice and ideas to help home-bound families continue healthy living regimens and behaviors?
  • Of note here, the more ‘unexpected’ it is from you in the areas to try to be helpful in, the more unselfish and trustworthy you appear.
  • Time to enable and encourage community conversation of shared experiences and events in your social channels. People need a place to engage and share.
  • Reveal details of your ingredient safety and testing standards in product creation. In fact, generally there has never been a better time than now to be transparent about everything.
  • What are your manufacturing hygiene protocols and safety procedures?
  • For emerging brands, communicate your supply chain integrity and ability to continue the regular flow of products to distribution. If there are limitations in this area, explain them openly and honestly.
  • For food retailers, your customers are going to hit exhaustion with home meal preparation 24/7. How can you amp up your prepared meal solutions business to bring some welcome relief for home chef monotony syndrome?

Engagement likely to be at an all-time high

With fewer distractions and a feast of extra time on their hands, people will be more open to engagement and have the bandwidth to pay attention. Content creation strategies can help fill the void. That said, it’s important to observe the rules of being helpful and useful over product promotion hype.

In 2008 and 09 when the economy tanked, a great lesson was served to businesses everywhere. Companies that continued to invest and communicate experienced share gains over rivals who answered the soft economic conditions by going into a fiscal fetal position.

You have the chance now to be seen and heard. What you say will impact perceptions of your ability to be trusted and of value to consumers’ rapidly changing lives.

If you need help navigating in this time of great change, please let us know.

Looking for more food for thought? Subscribe to the Emerging Trends Report.

Bob Wheatley is the CEO of Chicago-based Emergent, The Healthy Living Agency. Traditional brand marketing often sidesteps more human qualities that can help consumers form an emotional bond. Yet brands yearn for authentic engagement, trust and a lasting relationship with their customers. Emergent helps brands erase ineffective self-promotion and replace it with clarity, honesty and deeper meaning in their customer relationships and communication. For more information, contact Bob@Emergent-Comm.com and follow on Twitter @BobWheatley.

Emerging Trend: The Personalization of Food

February 27th, 2020 Posted by brand marketing, brand strategy, CMO, consumer behavior, Culinary lifestyle, food retail strategy, Food Trend, Healthy lifestyle, Healthy Living, Higher Purpose, Insight, Transformation 0 comments on “Emerging Trend: The Personalization of Food”

Creating hyper-relevant products for the marketplace of one

Have you noticed over the last 20 years palates have become more sophisticated? Quality expectations around menus, ingredients and preparations have grown alongside the rising popularity of celebrity chefs. Elevated cooking is everywhere. A genuinely satisfying culinary experience can now be had at the neighborhood gastro-pub. Great food experience is just an arm’s reach away. This is evidence of a food culture shift.

Equally so, food literacy has jumped with the treasure trove of content available online that satisfies the consumer’s thirst to know more about the food they put in their bodies. This concern got traction when people generally connected the dots between the quality of the food they consume and the quality of their lives. People now understand that diet influences the foundation of health and wellness, and sub-optimal nutrition may contribute to the onset of disease. More culture driven transformation.

An outcome of being in constant control is the marketplace of one

While the importance of food-to-lifestyle goals climb, the consumer’s ability to control every aspect of brand engagement, curation of the information and media they ingest has changed their expectations and their worldview. Culturally, people no longer buy the idea of one size fits all, and this applies equally to dietary sensibilities and food regimens.

The North American CPG food business is evolving towards a market of one. It hasn’t fully arrived yet, but the signs are emerging around a desire for more personalized and customized food and beverage solutions. A recent report on this topic by The Hartman Group cites the growing interest in individualized and hyper-relevant products and food experiences.

This step into personalized nutrition is already being reflected in dietary preferences, shopping behaviors, food preparation skills and techniques and most of all, consumption. What’s coming soon is the marriage of personalization and customization with health and wellness to redefine the future of the food and beverage business.

Factors influencing the personalization trend can be seen in the consumer’s growing interest in biomarkers. When people start to pay attention to DNA kits and reports, blood glucose levels and microbiomes, it is an outgrowth of the desire to truly understand how to optimally fuel oneself. We are all unique and our lives impacted by how we are assembled from the moment we arrive on earth.

  • By the way, this emerging trend in human food will crossover to pet food at some point because the same rules apply.

Be-spoke menus and meals

People want to tailor the food they eat to their needs and preferences. I like the ordering line at Chipotle for that very reason. I can get the burrito exactly how I want it. What’s going on there is a sense of control that sits at the foundation of its appeal. We ask the question: how can food and beverage businesses answer the desire for greater dietary control?

One way to look at this is to follow the thread of dietary concerns that are gaining momentum.

Here are some leading-edge areas ripe for innovation and fresh perspective:

  • Stress, anxiety and sleeplessness
  • Neuro health
  • Aging and beauty
  • Microbiome (gut health and inflammation)
  • Independence and mobility
  • Food as medicine

These emerging concerns sit alongside the long-standing stalwarts of weight management, energy boost and clean eating, and are now demanding more attention in the aisles at your local supermarket.

Note that all of these emerging nutrition considerations bear witness to the intersection of food as a primary driver of health and wellness. Nutrient density sits at the front door of defining, for the consumer, what is indeed healthy food or drink. From a marketing viewpoint, it’s important to mention here that relevant health & wellness markers such as fresher, less processed, locally and sustainably sourced, simple recipes/labels, real food ingredients and higher quality, matter because of what they represent to a novice or less trusting base of potential purchasers.

Not far away is the growing list of avoidances that accompany the consumer’s food literacy advances. Essential especially for legacy CPG brands to be aware of these concerns and to optimize their formulations to steer clear of problem areas like GMOs, hormones, antibiotics and preservatives.

What can be emphasized here is a prevailing consumer desire to accumulate positive nutrients, in an effort to improve and better manage health and wellbeing. When beef jerky becomes a positive contributor to wellbeing with cleaner labels and vastly improved recipes, you know goodness can be created just about anywhere. Check out Prevail Jerky.

Emergence of new food and beverage is symptomatic of cultural shift

With the barriers to entry for new food and beverage concepts near zero, the marketplace is awash in improved ideas touting higher quality ingredients and simple labels to legacy categories . It is a reflection of consumer interest in better-for-you.

So, too, will the desire for more customized solutions gain momentum as it mirrors the consumer’s view that who they are, what they want and their perceived unique needs and preferences.

  • Answering this call will be the next great revolution in food as businesses work to create more options that answer the desire for hyper relevance.

Functional shopping at the store

Increasingly people are shopping for attributes – looking for solutions to the dietary challenges they face. Food retail today doesn’t offer much help in this context. Online searches for energy solutions doesn’t necessarily serve up a relevant menu of alternatives.

Personalization and customization reflect a growing interest in finding answers. Label Insight has landed on this and is working to provide digital platform solutions that enable food retail shoppers to search by attribute, especially important when faced with a store environment of thousands of SKUs. What’s in the health and wellness aisle when options in this area become more pervasive across the entire store?

The consumer’s move towards hyper relevant food is a huge consideration for brands related to what’s in the wings for product improvements and formulations. You can’t make these assessments from a distance. Consumer insight research, more than ever, is required to best determine the pace of this evolution and how the consumer considers this from a product attribute and shopping perspective.

Consumer-centricity is the path to your success

  • The consumer has to be at the center of strategic planning
  • Assessments of how consumers see personalization requires getting close-in on their needs
  • Retailers should then support how consumers want to shop for foods with various health & wellness attributes
  • Retail shopping experience matters more than ever, and these insights can help create that roadmap

Insight and Emergent

Your goal is to build relevancy in an era of constant and rapid change, where cultural shifts are redefining the business based on the consumer’s desire for personalized food solutions.

We help clients with this form of discovery research, and then help build strategic plans to translate insight into an innovation and marketing communications game plan.

Want to know more? Let’s talk.

Looking for more food for thought? Subscribe to our blog.

Bob Wheatley is the CEO of Chicago-based Emergent, The Healthy Living Agency. Traditional brand marketing often sidesteps more human qualities that can help consumers form an emotional bond. Yet brands yearn for authentic engagement, trust and a lasting relationship with their customers. Emergent helps brands erase ineffective self-promotion and replace it with clarity, honesty and deeper meaning in their customer relationships and communication. For more information, contact Bob@Emergent-Comm.com and follow on Twitter @BobWheatley.

Think Beyond: Lessons in Disruption from Beyond Meat

November 18th, 2019 Posted by Brand preference, brand strategy, change, CMO, Consumer insight, Emerging brands, Emotional relevance, Growth, Healthy lifestyle, Integrated Communications 0 comments on “Think Beyond: Lessons in Disruption from Beyond Meat”

Guidance on how to hit the food brand home run

Poised to create and capture the next wave in center-of-plate meal preferences, Beyond Meat is scaling at break-neck speed in both grocery and foodservice channels, throwing off sparks of insight to all emerging food brands who will listen about the new path to relevance and glory.

At Chicago’s recent Good Food Financing conference produced by the venerable Jim Slama of Family Farmed and Good Food Accelerator, keynote speaker Seth Goldman held the audience of embryonic food brand founders and equity investment executives in rapt attention while delivering a data driven highlights reel of business home run after home run. The score sheet demonstrated in dramatic fashion how Beyond Meat’s team is leading the nascent meatless meat invasion, while disrupting conventions and traditions of the legacy animal-based proteins industry.

Within Goldman’s engaging recap of refrigerated beef patty without the beef, was a significant revelation to all of the strategic leaps Beyond Meat achieved. “Animals are really four-legged bio-processors of plant materials, converting the ingredients to meat,” he said. Thus, meat in truth actually comes from plants, and Beyond has amazingly reverse engineered the components of meat structure to imitate and recreate the same bite and flavor characteristics of the animal variety.

Said Goldman: “Our goal is to enable consumers to eat what they love.” Right there was respect for what consumers want, and a vault from making vegetarian meat for vegetarians to making plant-based meat for meat lovers. The foundations of this strategic narrative are critical and inform how the entire Beyond story unfolded. Within his story is a living example of what separates ‘just another one’ from a meaningful innovation that influences consumer behavior and informs the future of food.

It worked because this plant-based juggernaut fully delivered on its promise to replicate the animal meat taste and texture eating experience. “Traditional veggie burgers look to us like a plot by the meat industry to make sure plant-based versions aren’t a threat because, let’s face it, they don’t taste very good – and I’m a vegetarian,” Goldman reports.

Meanwhile the plant-based category table is set for dinner:

Trend lines seem clear that plant-based anything is on the way up, as consumers “flex” their preferences and look for what they believe are healthier alternatives that are friendlier to the environment but which also deliver fully on taste experiences consumers crave.

According to IPSOS, 54 percent of consumers say they’re trying to consume fewer animal-based foods and eat more plant-based options. What’s going on here? Shifting values mixed with health and wellness is what’s going on. SPIN Scan data reveals that refrigerated plant-based meat is up 37 percent year on year to $212 million in sales.

No surprise, it is outpacing animal meat sales. Within the $270 billion US meat category, plant-based share is under 1 percent. The upside is significant and bodes well for Beyond as first mover and brand perception leader in the space.

Mintel’s 2018 “Better for you Eating Trends” study provides evidence of why it’s best to strike when the macro trends are working in your favor. In their national survey, Mintel found across all four primary age segments, consumers said they agree with the following statements:

  • Plant-based protein is healthy – yes for 74 to 80%
  • Plant-based foods are better for the environment – yes for 47 to 63%
  • Plant-based functional claims are trustworthy – yes for 35 to 56%
  • Plant based foods are better for you than animal options – yes for 42 to 50%

Dollar sales for plant-based meat in the aggregate, frozen or fresh, is $801 million and rising rapidly.

By the way, this form of market-opportunity-assessment matters for the business plan!

Emergent Guidance on the Path to Victory

Surveying the adjacent exhibit hall of new, emerging food and beverage brands, Beyond stood as the “A” lister in a field of hopefuls who bare their heart and soul daily in product concepts that authentically align with higher quality, more artisanal and healthier food solutions now fueling the renaissance in Good Food. The acid test, however, is can they redefine the categories they’re playing in or will they plateau among a collection of similar offerings with similar stories and similar preparations.

The secrets to outsized success continue to follow six repeating themes:

  1. Think Differently Going In

It would have been logical and expected for Beyond – founded by Ethan Brown, a vegetarian – to exist in service of that ethos and segment, working to create a better product for this devoted marketplace. But the mental leap to create a product for meat lovers caused the entire R&D development process to rally around a specific standard of performance and outcome with a moonshot at a VERY big market. Vegetarians are roughly 5% of the population and have remained anchored at that level for some time.

The goal to build an analog to meat inspired the revolution unfolding before us.

  1. Disrupt the Space You’re Entering

Beyond Meat defied the conventions and expectations of its veg foundation, opting to swing for the meat department case fence. Beyond could have easily been a frozen product in the vegetarian section freezer case. Instead they pushed and cajoled retailers to merchandize their products alongside animal meat, and in doing so, not only accentuate the perception that this was a legit option to a beef product, but also meet the meat shoppers where they shop.

Entrepreneurs would be well advised to look for extreme disruption, major departures, unconventional solutions, big moves on the perception chess board that constitute uniqueness.

Legacy food brands often suffer from a recurring illness we refer to as line extension-itis. Read as, adjustments, incremental improvements to an existing idea that don’t ultimately reframe the category.

Relatively minor improvements to ingredient strategies, recipes, preparation techniques or story may not be enough to inspire the kind of attention and magic that leads to new category creation, the zenith of best-in-class marketing opportunity.

  1. Focus on Taste Satisfaction

Formulation can be a fickle friend. While hitting benchmarks on nutritional label improvements and better-for-you metrics, taste sometimes gets marginalized. I will never forget my first bite of a Beyond Burger at the Chicago Restaurant Show, in a backwater booth buried in the better for you zone, where curiosity got me up to the table. And then – Holy Cow – I swore it was a ‘burger burger,’ not a veggie burger. Relentless search of optimal marriage between culinary and taste considerations with healthier is paramount. Taste wins every time.

  1. Place the Right Bets

Most people believe that plant-based anything is healthier, but Beyond wisely did not elect to make nutritionals a predominant part of their go-to-market game plan. For the simple reason, that pound for pound a Beyond Burger isn’t necessarily a traditional nutrition label winner. Yes there’s no cholesterol, but…

Instead Beyond wisely pursued a values-based messaging platform weighed against the environmental tax exacted by raising animals who compete for natural resources. Beyond Meat tells us their product creation process (compared to animals) consumes or produces:

79% less water

93% less land

90% fewer greenhouse gases

46% less energy

  1. Tell Your Story, everywhere your customer or stakeholder can be found

If Seth isn’t a walking, talking personification of this point, I don’t know what is. Goldman the Ambassador of Beyond is everywhere, bringing the remarkable news of the company’s outsized performance to any and all who will listen.

These business and media audiences are chocked full of content creators and reporting types like me who turn around and do what I’m doing here.

We extol emerging brand companies — be careful not to  short sheet the brand building process early on. Yes, cash is at a premium and yes, resources are limited, but the “if we build it they will come” mentality is a recipe for small ball. All marketing is strategic storytelling. You have to invest here and sooner rather than later.

It takes experienced hands to shape and inform the consumer-ready brand story efficiently and with great impact – thus, why Emergent exists. We’re good at this, but then again, we’ve been doing it to great effect across multiple categories and honed our communications techniques and strategies.

  1. Relentlessly Innovate

Goldman will tell you the Beyond Burger today is different, and better, than the Beyond product was when they first got traction. He claims the company has 70 scientists at their Manhattan Project campus in California, working around the clock to improve their taste, recipe and nutritionals – and to innovate new products like the recent Dunkin ‘Beyond Sausage Sandwich’ for the hand-held breakfast crowd. Don’t rest on your laurels, don’t stop working to make it better and to search for the next meaningful adjacency where the product concept can go to solve yet another problem or capture another market opportunity.

Be careful, however, to avoid extending your brand in areas too far afield of your core equity where the proposition dilutes rather than builds on what consumers believe is your expertise.

While the barriers to entry have fallen away for emerging food and beverage ideas, and yes everyone knows it won’t be easy, there are key ingredients in here that spell the difference from modest growth to something that looks like Beyond Meat.

Our Offer…

So we make this offer: let us come in and conduct an audit, no cost, of your current platform, product concept, supply chain, and business opportunities. We’ll provide an assessment and make some recommendations and if you agree, perhaps we can partner on a future path to business transformation.

You have nothing to lose and everything to gain. Let me know.

Looking for more food for thought? Subscribe to our blog.

Bob Wheatley is the CEO of Chicago-based Emergent, the healthy living agency. Emergent provides integrated brand strategy, communications and insight solutions to national food, beverage, home and lifestyle companies. Emergent’s unique and proprietary transformation and growth focus helps organizations navigate, engage and leverage consumers’ desire for higher quality, healthier product or service experiences that mirror their desire for higher quality lifestyles. For more information, contact Bob@Emergent-Comm.com and follow on Twitter @BobWheatley.

Digital commerce redirects the future of retail

June 27th, 2019 Posted by CMO, consumer behavior, Consumer insight, Digital marketing, e-commerce, food retail strategy, Retail brand building, retail brand relevance 0 comments on “Digital commerce redirects the future of retail”

Profile of refined strategy for brick and mortar

In today’s consumer-driven marketplace, staying ahead of food and lifestyle cultural swings, shopping behaviors and the significant sea changes they create, are the most important considerations to marketing strategy effectiveness. Failure to recognize and address these ongoing shifts can negatively impact brand relevance with core consumers.

Case in point:  increased traction of e-commerce occurring in most product categories consumers’ value is causing a domino effect that will drive the future of successful retail strategy. Consumers are pushing harder on their preference for retail uniqueness, differentiation and memorable experiences. In the first of our two-part series we will look at implications of digital commerce to retail, and in part 2 we’ll peel the onion on what’s coming for CPG brands.

Home is where the heart, wallet and shopping reside

As consumer friction declines in e-commerce purchases and fulfillment, the inevitable move to online-ordering convenience will continue to grab share momentum. This trend is starting to amass a variety of ancillary impacts, such as consumer preference for the exceptional retail experience over the mundane. When the very definition of convenience to satiate needs transfersfromregional zones toarmchairs and screens in the family room, retail businesses are now being challenged  to adjust their optics and embrace new cultural (read consumer) priorities sooner rather than later.

  • This is an inevitable transition. In a recent report from Federal Express, the granddaddy of quick delivery is projecting e-commerce growth will double the number of packages shipped to 100 million per dayby 2026.

The point-and-click ease of fulfilling product ‘wants’ creates a companion outcome: less and less venturing out from the four walls of the residence. More in-home purchase and consumption of everything. More online comparison shopping. More emphasis on consulting consumer reviews. Along with this at-home shopping revolution is a declining tolerance for the routine hassles of destination shopping and the time requirements to drive, park and walk. How far will people be willing to go for a shopping experience that has nothing special to offer — what’s really going to pull them from that point-and-click simplicity?

Experience with the endless shelf of digital commerce will adjust expectations of ‘want it now’ and cause people to be less forgiving of retail out-of-stocks and more limited assortments. With it, the added value premium on exceptional in-store experiences goes up as anything that feels commodity-like will yield to the ease of electronic ordering.

Trends ahead and the emergence of micro-trading areas –

Consider the long-term impacts of the decline in car ownership (once a defining metaphor for personal financial success and independence), alongside the emergence of driverless delivery vehicles and drones. Distance-confining legs, scooters and bikes are increasingly common modes of urban transportation. Witness the explosion of online restaurant and ghost- kitchen prepared food delivery that jumps squarely on the never-have-to-leave-home bandwagon.

As retail shopping becomes increasingly commoditized, there is a growing consumer thirst for scarce and transcendent experiences, more personalization and meaningful relationships with retail banners that matter. This may play against the vanilla, conventional character of some chain store concepts that can feel derivative, common and maybe even a bit boring.

By definition, the chain model depends on consistency and mechanization to achieve operating efficiencies and the ability to replicate at scale. Is it possible to rethink the business paradigm to allow for different designs, footprints and merchandise collections more attuned to the community they serve?

As convenience gets a makeover, with it comes a premium on re-casting what a trading area looks like to smaller circles of proximity. Alongside this condition we observe the continued idealization of the “small town” as a colloquial, romantic reference point for aspirational lifestyles. In urban areas this puts an increasing premium on reflecting neighborhood character and shopping within walking distance.

In Chicago, a fair example of this is Andersonville, a northside city neighborhood known for its Clark Street shopping district packed with unique collectible stores, fashion boutiques, local restaurants – all walk-able within a three-block core. Stands to reason this ‘go smaller’ development favors shopping experiences that mirror the lifestyle characteristics and populace of the neighborhood.

For retail we see five implications for planning strategy:

  1. Increased pressure on the viability of destination shopping centers, as convenience is recast within shorter distances from home.
  2. The rise of smaller footprint store designs that align with neighborhood shopping areas.
  3. Emergence of retail concepts based on lifestyle experience more so than the traditional array of shelves and merchandise. Instead the attractions are ideas, emotion and guidance rather than pushing merch off fixtures (a twist on omni-channel commerce strategies).
  4. Recognition that the future is with those who work to build bonds and relationships beyond just stocking inventory at a price.
  • Expect to see a host of novel ideas develop in service of more relevant lifestyle associations such as on-line dating brand Bumble and their wine bar café concept and Taco Bell’s new hotel.
  1. The bifurcation of omni-channel strategies to embrace exceptional experience that reside inside the retail store front while volume objectives are delivered online. How will this symbiotic hand-off work between high touch retail and digital convenience? Only the seamless survive.

Speaking of smaller footprint concepts, if people are increasingly food shopping for meals and menus more so than stock-ups, does it make sense to force them to search for 7 to 12 items in an 80,000 square foot maze? Can food shopping be made more fun and less of a navigational chore by specializing in what’s for dinner?

ALDI, a darling of grocery hard discount, recently announced an expanded test of their new “Local” store concept in the United Kingdom. The 6,000 square foot stores operate with 300 fewer SKUs than the normal ALDI. Proof that hard discount does not mean absence of insight, relevance and creativity.

Larger trend: ‘Extremeification’ of retail in America

Robinhood, the investment platform for non-one-percenters, recently reported examples of the growing bookends of success between the higher and lower ends of the retail spectrum — while the middle falls away. Restoration Hardware (RH) continues its relentless march towards further upscaling its retail roots. After recently posting a 7% gain in sales, RH stock shot up 25% on the related news of its new chic catalog concepts RH Beach House and RH Ski House. As well LVMH (Louis Vuitton Moet Hennessy) and Dollar General are celebrating record highs at the same time in their share prices.

Yoga pant purveyor Lululemon reports Spring quarter revenue of $782 million vs. its period forecast of $755 million, despite increased competition in its category. Last quarter profits hit a record $97 million. Hard discount and heavenly experience collectively show how disparate propositions that lean in heavily on their mission and ethos are advancing.

You have to stand for something — and go all in (go low or go high). In fact that’s really the message here. The future of retail belongs to the innovators who go deep on uniqueness and memorable experiences — which by definition requires focusing the concept and target audience appeal to a specific need and cohort. All things to all people is often a recipe for ambivalence.

Find your core, narrow your appeal, optimize your mission and go for it.

Looking for more food for thought? Subscribe to our blog.

Bob Wheatley is the CEO of Chicago-based Emergent, the healthy living agency. Emergent provides integrated brand strategy, communications and insight solutions to national food, beverage, home and lifestyle companies. Emergent’s unique and proprietary transformation and growth focus helps organizations navigate, engage and leverage consumers’ desire for higher quality, healthier product or service experiences that mirror their desire for higher quality lifestyles. For more information, contact Bob@Emergent-Comm.com and follow on Twitter @BobWheatley.

 

 

 

 

 

 

 

Why Trust Now Precedes All Brand Engagement

June 18th, 2019 Posted by brand marketing, Brand preference, brand strategy, consumer behavior, Consumer insight, Emotional relevance, Higher Purpose, Marketing Strategy, Pet food marketing, Transparency 0 comments on “Why Trust Now Precedes All Brand Engagement”

A storied call to embrace trust creation

Consumers continue to vote using their time, attention and spending to favor brands they trust while virtually ignoring the rest. Yet this important insight apparently hasn’t informed the daily barrage of product claim and assertion-style communication that dominates the food and beverage marketing landscape.

What’s needed is a fresh approach and new ideas that disrupt the old model of overt selling in favor of a more enlightened view of reciprocity — which works to form the proper foundation of any successful brand and consumer relationship. What’s changed? The ever-evolving consumer who shapes cultural norms and with it, expectations that impact what they find meaningful, relevant and purchase-worthy among the brands they consider.

Here’s the profound truth about what sits at the core of consumer behavior: Jerald Podair, Editor of The Rutledge History of the 20th Century United States said it succinctly, “we live in the age of disputed facts, disputed truth, personal truth, my truth and your truth.” The collective desire and yearning among people are simple – they want to know and believe they are in receipt of the truth about products and services they love.

This explains the rapid rise of transparency, product creation candor, and validation as a fundamental driver of what people require ahead of purchasing the brands that matter to them. See-for-yourself-marketing. Thus, food marketing best practices must move further away from gloss and artifice, and closer to embracing the plain-spoken credible voices of personal experience intertwined with respected expert guidance.

Survey data shows the extent of this important swing

At the recent Cannes festival celebrating the ad creative world, Edelman once again presented their annual Trust Barometer, a quantitative study focused on consumer attitudes about brands. The evidence reinforces the conclusion that trust is required for anything in marketing to function effectively.

Here’s the hard truth:

  • 73% of people actively work to avoid advertising. This is likely to increase with continued adoption of ad blocker software that makes it easy to do so.
  • 41% of people say about the marketing activity they do encounter that the communication is seldom seen as truthful.
  • 63% trust what outside third-party experts and influencers say more so than what a brand conveys on its own – what’s that tell you?

Lest this all appear to be an assault on brand communication, there’s another statistic in the report that bodes well for brands that put trust creation at the center of strategic planning.

  • 76% of consumers want and will pay attention to advertising from brands they trust. How come? Because they believe in and embrace the story as true.

The path forward: Emergent guidance

It’s important that we note the difference between trusted and not yet trusted. Brand believers want affirmation of their good decision. Believers enjoy and seek out (confirmation bias) a little positive drama and emotion connected with the community they’ve joined.

On the other hand, the unconverted require evidence and credible demonstration of the product creation backstory, disclosure of company beliefs and mission, and proof of visible actions that shine a light on the truth of what’s being conveyed.

Here are three simple steps to improved engagement and greater marketing success:

  1. What is the message?

Shameless brand self-promotion isn’t nearly as effective as aligning the brand with the consumer’s lifestyle interests and needs – and becoming an enabler of them. You have to earn trust first. Before you can sell your pet food for example, pet parents need to see how the brand helps enhance and contribute to the experiences and interests they have in their shared lifestyle and pet’s wellbeing.

  1. Who is the messenger?

For the yet-to-be-converted credibility matters. Social proof is a critical factor to help foster trust. People believe their family, friends and contemporaries first. How is the brand enabling the voices of fans to convey their experiences and to distribute content that tells their stories? Outside credible experts can also be enlisted to amplify the evidence underneath the product creation story about ingredient sourcing, standards of quality, safety and generally walking the walk.

  1. Intentionally following the path to trust

It’s important to note here this is easier said than done. It requires changing the mindset on why the company exists and what, in the larger, human, universal scope – and certainly beyond the balance sheet – is the company trying to contribute to the greater good. It requires everyone to care about the consumer’s welfare and to see the brand as contributing to their health and happiness. However, what you think and believe will inform every action. It’s hard to get away with messaging around this without addressing the company’s true higher purpose and at its foundation what it stands for.

People are very astute these days at recognizing the truthful from anything that isn’t. If your brand heart is in the right place and you’ve optimized strategies to make trust creation a top priority, there’s an opportunity to earn permission for a relationship that can drive sustainable growth.

What kind of conversation are you really having with your prospective consumers? Is trust creation a top priority around the strategic planning table?

Looking for more food for thought? Subscribe to our blog.

Bob Wheatley is the CEO of Chicago-based Emergent, the healthy living agency. Emergent provides integrated brand strategy, communications and insight solutions to national food, beverage, home and lifestyle companies. Emergent’s unique and proprietary transformation and growth focus helps organizations navigate, engage and leverage consumers’ desire for higher quality, healthier product or service experiences that mirror their desire for higher quality lifestyles. For more information, contact Bob@Emergent-Comm.com and follow on Twitter @BobWheatley.

 

 

 

 

 

 

 

 

 

Don't undercut investments in experienced marketing guidance

The Woeful Challenges of Marketing Inexperience

May 29th, 2019 Posted by brand marketing, brand strategy, CMO, Content Marketing, Digital marketing, Emerging brands, Marketing Strategy 0 comments on “The Woeful Challenges of Marketing Inexperience”

Building an emerging brand when you don’t know what you don’t know

If ever there were a time when new emerging food and beverage ideas have a chance at stardom, the golden age has arrived. Investment capital is flocking to the culturally relevant and unique, while new food ideas and innovations are popping up right and left. While the barriers to entry are lower than ever, the stakes and requirements for sound strategy are accelerating rapidly as more emerging brands compete for share of limited consumer attention and stomach. This, by the way, was the genesis idea underneath creating Emergent, the Healthy Living Agency.

Into the abyss entrepreneurs jump, entering the fray seeking to answer what looks to be a nearly insatiable appetite for new, higher quality, healthier and novel food and drink experiences. At the front door all appears promising in a world yearning for new and better.

Meatless meat, lab grown proteins, dairy milk without the cow, probiotic and prebiotic, keto kits, ancient grain snacks, pea protein-infused everything – and now in the developing pipeline – food-as-medicine. Whew. Yet many of these aspiring enterprises will encounter critical interruptions along the path; challenges to scaling the business that will relegate some to permanent small ball status and others to the heap of failed concepts.

Marketing plays a significant and important role in mitigating the challenges that exist in moving from very early adopters to scale-able mainstream audiences and wider distribution channels. More often than not, however, we encounter the misappropriation of marketing as essentially a social buzz-making proposition. Rather, it should be a disciplined strategic asset built on a foundation of sound consumer insight.

What’s lacking in the emerging brand zeitgeist is this: experienced marketing brains and early strategic, hands-on guidance – thus why Emergent is a partner in the Food Marketing Institute emerging brands “Mentor” program. There, we counsel that marketing is not just sending out a press release, filing content routinely in social channels or retaining an influencer with a foodie follower base. It is a strategic proposition that optimizes the entire go-to-market plan for growth, effectiveness, measurable outcomes and fewer mistakes.

The eight deadly sins of marketing myopia

Here in random order are eight mistakes that can impede growth and hold the emerging brand proposition back from a leading role in the evolving food and beverage industry:

  1. A form of business grade narcissism – business in love with itself to the exclusion of what’s relevant to the consumer’s passions and interests.
  2. Absence, then, of a continuous devotion to seeking consumer insight and putting the customer at the very center of business planning. One thing to say and another to do.
  3. An undernourished mission and higher purpose that should become the driver for everything the brand stands for and its ability to acquire deeper meaning and connection with consumers.
  4. Improper positioning most frequently manifested as no real discernable positioning. This should be created through careful exploration of how best to push uniqueness and differentiation.
  5. Scattered and less relevant messaging that is the outcome of not addressing the first four sins correctly, and the vanity of assuming consumers will resonate simply because it’s there (if you build it, they will come).
  6. And messaging’s twin sister, an absence of sound strategy in trade and consumer facing communication that mirrors their lifestyle aspirations and wants. This directly impacts any opportunity for engagement.
  7. A real show-stopper: a clunky packaging presentation that dilutes impact in any crowded retail setting at a time when consumers long to know more and care about the product creation backstory.
  8. Finally, failing to fully optimize the brand’s opportunity story in the context of real-world competitive advantage and own-able equity with existing and potential investors. Experienced brand and business storytellers know how to skillfully navigate this arena.

There’s simply no margin for error

No one gets a hall pass from doing the strategic heavy-lifting to refine the brand, its meaning, how it’s presented and what is conveyed. Experienced hands are needed for this work. It can be tempting for founders to think they know marketing even when their background, training and experience does not hail from this discipline.

After all, founders understand the product from the ground up, right? Yes – but, experienced marketing players grasp the consumer, the retail environment, and know the tools to refine how the entire concept is served up, and how best to make every communications dollar work like 10.

  • Emergent’s Brand Sustainability Analysis, for example, constitutes the kind of foundational work that creates a strategic anchor for a new brand to maximize its higher purpose, differentiate the concept and imbue the story with greater consumer relevance and deeper meaning.

Yet in many cases, none of this is done as new brands hire a designer for package graphics – call it “marketing” and then call it a day. Evidence of the oh-so-powerful axiom: you don’t know what you don’t know. Some of the more fully funded emerging businesses have witnessed faster acceleration because they understood the long-term importance of engaging the right marketing minds at the start.

For others it seems less of a priority because, again, owners believe they can do it themselves. The honest answer here is no. In varying degrees of involvement from guide to outsourced execution, it is wiser and better to get the marketing experience in the door early for the very reason – you never get a second chance to make a first impression.

The strength created today will, pay dividends for years to come and when you start out on the right foot good things tend to follow. Success is in the eyes of the beholder certainly. That said home runs will always be more satisfying than base hits.

Luck by the way has nothing to do with it. This is hard work that requires enough time in the saddle for those at the marketing helm who can quickly recognize, develop and separate the big ideas from anything less than that.

  • Owners create extraordinary products with a story to tell.
  • Investors invest capital to fuel the effort.
  • Marketers should shape the brand and go-to-market plan, and tell the story.

A word to founders: it’s hard to let go and it is also tempting to assume you can do anything if you put your mind to it. Engaging experienced, professional marketing talent is not a nice to have, it is essential to the future of the business because you won’t achieve jet engine results if you fuel the brand with regular, unleaded expertise.

Looking for more food for thought? Subscribe to our blog.

Bob Wheatley is the CEO of Chicago-based Emergent, the healthy living agency. Emergent provides integrated brand strategy, communications and insight solutions to national food, beverage, home and lifestyle companies. Emergent’s unique and proprietary transformation and growth focus helps organizations navigate, engage and leverage consumers’ desire for higher quality, healthier product or service experiences that mirror their desire for higher quality lifestyles. For more information, contact Bob@Emergent-Comm.com and follow on Twitter @BobWheatley.

 

 

 

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