Weekend Rollade, comeback marketing and insomnia attack! (Part dos)

Comeback marketing… What is that about? Well, you all know Burger King, this hamburger fast food chain store once opened its door for business in Indonesia, sometimes in the 80’s/early 90’s. But for whatever reason it closed down and Indonesia had its burger shot from McDonalds, A&W, Wendy’s, the not so dead but not alive Jolly Bee, the deceased Arbys, the recently opened hotshots and the many small local burger joints. All of them are barely survive on selling just burgers, or they shift their selling strategy and survive by selling something that the Indonesian market wanted. McDonalds nowadays sells more fried chicken then burger, so are A&W, Wendy’s and the likes. This is because as most Indonesians’ are Muslims so chicken are considerably safest animal to eat, it’s also cheap. So how are the burger only joints? They suffer, they choke, they are dieing sloooooooooooooooowly, case in point, Hotshots. If you happen to read this and live in Jakarta, at Kelapa Gading area, just go to La Piazza and see the void of buyers at Hotshots counter. The burger itself is one of the nicest, I love it… But it’s price is something to be left for the rich to enjoy.

So, a burger joint is not the best idea to open in Indonesia is it? Not really, and here it is, comeback marketing in its full glory! Burger King is back and what do you know? They have 4 registers, and each are full of people queuing to buy the burger. How can this be? How can something that came back from the dead sell something in a place where people don’t necessarily consume that particular product?

The answer is very simple my friends… Coming back from the dead or in the case of Burger King, a hiatus, is sometimes a good thing. Sun Tzu mentions that retreating is a way to live and fight back another day, therefore there is no shame on doing that. Burger King while on its hiatus really done their marketing work carefully, and answers what Indonesian’s really wanted, affordable and fresh.

So Burger King now adopts an open kitchen concept where customers can see their product being cooked directly in front of them (with safety glass of course), and what do you know, it’s quite cheap. One average burger of Burger King is half the prices of Hotshots burger, which are freshly grilled also, with the same gimmick Burger King used.

Comeback marketing is not simple, and like the above example I haven’t elaborate more on the subject… Hey! It’s 4 o’clock in the morning and I haven’t slept yet! So pardon my absent minds. I will elaborate more next week, but let me give you all a snippet. Comeback marketing is tricky; first you need to know why the company left a particular region at the beginning. Then, you need to know why they are coming back to that region. Lastly you need to know how the company are going to approach the surely changed social condition of the market… Till next week.

So about my insomnia… according to Wikipedia, I have a transient insomnia, caused by a short term anxiety… D’oh, I’m broke and there are really important stuff I need to buy. Ah, what the heck… I’m used to being depressed and my body is starting to shut off anyway. Damn it! Tomorrow is a busy day too, I’m really hoping for that day when I can sleep, knowing that when I wake up, there’s that special somebody next to me.

Weekend Rollade, comeback marketing and insomnia attack! (Part uno)

Well, it’s that time again finish the week with a closing comment of my cluttered and crazy approach to make sense of a cluttered and crazy marketing and the world in general. First let’s discuss about why Honda still insists using female model to promote Vario whereas Suzuki and Yamaha promote their competing product with both female and male (you’ll be surprised). On part two we will discuss about the silly termed comeback marketing and (if anybody cares) about my insomnia attack.

If I may talk seriously for a while… Why Suzuki and Yamaha uses two person that represent all group of users is that… Dum dum dum dum… They are just an average joe and jane, they are not celebrity, heck! They are not even famous… But Honda? Whew, Honda uses Agnes Monica, the current Indonesia’s hottest sexiest actress/singer/public figure/what not (I didn’t find her hot or sexy though). In advertising term, Honda is using Celebrity endorsement campaign, where in one; a celebrity becomes the representation of that product image and positioning. But is it effective?

Celebrity endorsed advertisement is like the debate of the century in the marketing world. Who actually benefited from the relationship between the celebrity and the product/brand? From one perspective, the advertiser expect that the celebrity star status will stick to their product, giving it a faster recall on the target market and audience minds. However, there is the catch that the advertiser actually promotes the celebrity and actually making the celebs more famous because of the extra “air time” and the product… Meh, what product? I just saw the celebrity on that ad.

On 2003, Madhukar Sabnavis, country manager for Discovery, Ogilvy and Mather India even wrote on rediff.com that celebrity endorsement is a diseases, stating that it (celebrity endorsement) sprout from advertising agency/marketer inability to promote the product using its own strength. Ouch… Madhukar even goes to state that celebrity endorsement is just an easy way out… More ouch.

I couldn’t agree more with Madhukar… (if you guys noticed, I used the name quite often, because I don’t know if Madhukar is a female or male). Sometimes the use of a celebrity will bring about the cult following effect, where fans of the celebrity will expectedly uses the product she/he is selling. However, this became a trap also for the hiring party… Why? Because that celebrity person needs to be used again and again and again and again… Buuuuuuuuuut, today people are getting smarter you know. If you read at my post entitled “Hypocrisy Marketing, the worst kind…” people nowadays are able to discern paid individuals to endorse product. So does that means something? YES! It means that people know that celebrity is just another paid individuals and their credibility is going down. So instead of using high paid celebrity, why not just use average joe/jane to promote the product?

With agreement on Madhukar excerpt , I see that Honda is just wanting to take the easy route, using celebrity to promote their product, whereas Suzuki and Yamaha believed wholeheartedly on their products they don’t need to pay much for an endorsement. Am I dissing Honda? The same Honda I have a motto over it? (my motto: I may change for the better or for worse, but Honda will always be there) Um, yes. The lack of marketing effort of Honda Indonesia both motorcycle and automobile really worries me. I may uses harsher words, but suffice to say, I have this urge to know how the marketing mind behind Honda Indonesia works.

I’m sorry… Goodbye…

Well, on this special day, I would like to say farewell to a very deared colleague of mine, Bayu.

Throughout the two years we had together… Well, to tell you the truth, it’s the two years most fun I ever had with a colleague, ever. If there’s a reason why I always went back to my current workplace it’s all because of him (and the relaxed atmosphere).

Now that he’s moving away, I sincerely hope he finds a better job to support his family and where that job might be, I hope he finds the best of friends.

So here’s to you Bay,

I’m sorry… Goodbye… Well, I think I used the wrong sentence from a song, what about this one… If I could run away and hide away, forget the way I feel, but your memories still haunting me, convincing me it’s real… Now you’re not here… Now you’re not here…

Marketing 101: Target Market & Target Audience

Rewriting the entry, will be done shortly

Target market and target audience are essential elements that determines the tone and manner of a marketing strategy. However, the proximity of meaning between the two sometimes trap “green marketers” in formulating a strategy. In my field of work and in my teaching days, I always found people who mistook target market and target audience.

The concept is very simple, yes, but I admit I too used to mistake the meaning of both. Target market is literally means to which we target that general product/service too, while target audience is the people that we expect to purchase or use the product/service. In short, target audience can become the target market.

One of the extreme examples I used on the class to describe the definition of target market and target audience is baby milk. The baby consumes the product, which means they are our target market. However, babies doesn’t go around shopping the milk themselves, it’s their parents job. Again, this is oversimplifying target audience and swerving too close to buying process, with the parents acting as the buyer while the baby as the user. However, the information is given to the audience about the benefit of the product towards the target market.

When talking about target market and target audience, we also uses buying

Let’s take another easier example with less ambiguous but more general. Let’s take Honda entry level scooter, the 2010 Beat. For purists out there, no, this is not the “mini NSX”, this is a small two wheel scooter that spearheads Honda effort to sell scooters in Indonesia. We can see everywhere the tone and manner of Beat’s promotion, from billboards to printed ads, they all depicts famous young stars riding the bike. The visuals alone indicate a strong relation to the young, perhaps those who are still in high school or in their college years (indicated by the figure the stars imposed).

Target market wise, these young people are Honda key target but, do they have the money to buy it? At US$1,2K or roughly Rp. 12 Million, the bike is rather expensive for somebody with no main income outside from monthly allowance. This is where we are seeing the expansiveness of target audience and the focused target market.

Honda Beat with its catchy younger tone visuals is targeted to the young, this is its target market, however, the target audience for the beat is all people who can drive a motorbike. A little bit extreme and lazy observation, but I wanted to exemplify the meaning in the simplest way possible. Even though the Beat is targeted at young people, there’s no fault at older people or other people from other discipline of work to own the Beat. As a matter of fact, there’s the bonus of resonating message from the initial campaign. Beat’s marketing effort is directed towards younger audience, sometimes, “older” people would like to be associated with this “young” image and thus bought the bike even though they are outside the target market, and even audience.

Most often, I saw seniors or older people driving around in the new Honda Jazz, and as fast as I can think, wow… Those guys are really young at heart. They should be driving Mercedes or perhaps Accord, but no, for whatever reason they drove a Jazz instead. I don’t see them as incapable of buying upmarket products because of economic reason, I just saw them as wanting to be associated with the image created by the product (Jazz = young & hip).

The definition of target market and target audience can be found on many books and sources. They are after all the basic element for a marketer to base the overall marketing strategy and approach. However, there is one thing that pique my interest… On his book, Marketing Management by Philip Kotler, he omits target audience altogether and just refer target market as a sole base value to be considered when creating a marketing strategy. Well, a good move, but personally I think that the book is intended towards advanced readers who already understand the boundary of audience and the real target market.

Some uses psychographics and demographics to create distinct barrier between target audience and target market. One of my marketing professors defines that psychographic and demographic creates core target market while outside of those influence comes in the target audience. Let’s put those in graphics shall we?

Applying that to Honda Beat core target market, we can see that

Okay, so last week I blabber about how Yamaha changed the target market of Mio from female to male with the introduction of Mio Soul. I expect other brands will follow suit (Honda & Suzuki) because as far as these eyes can see, all automatic scooters are being driven by the male population. However, yesterday I saw an ad about Honda Vario, they still use this popular actress to promote the brand alone, without any hint whatsoever to indicate that this scooter is a unisex bike. On the other side of the competition, Suzuki launched Skywave, the successor of the not so popular Spin, an automatic scooter. The advertisement clearly shows a very macho man and a very sexy woman, just like Yamaha did with the new Mio soul.

So will this bring about wrong image delivery to Honda Vario? After all, people aspire to the “representation” of people displayed on the ad. Well, the answer is not that simple… First of all, if anybody remember how Honda Jazz (Fit) is advertised here in Indonesia, then people will acknowledge that Honda used a pair of popular female singers to endorse the product. So does only female buys Jazz? No, does only young people buy Jazz? Not so much.

Here we have what I would like to call, “splash damage”, the message that originally intended towards specific target audience spreads to other expected segment. When people buy something first they have to go through what marketing defines as The Buying Process, yes, a process. In it, people will go through several phases, first people will acknowledge/know the product, then interest will grow, decision making is formed and action is taken to buy or not to buy. Yes, it is AIDA we are talking about here, the basic skill we learn at faculty of communication, but do you notice there’s a few word that I leaned? (pardon the pun)…

Decision making, what is all that about, and what it got to do with Honda Vario? Well, to tell you the truth, I don’t know. But one thing for sure, this has got to do with target audience and target market. When you sell a baby’s milk, do you create:

a. Advertisement for the baby

b. Advertisement for the mother

c. Advertisement for the father

Sane people will choose mother or father, but the product (the milk) is consumed by the baby, so why not create an ad for the baby? Anybody who asks of this should be shunned out of society immediately. Of course the baby couldn’t comprehend the ad, they doesn’t even comprehend why the sky is blue or why daddy hump mommy at night in front of them. Thus this explains the very basic of the difference between target market and target audience; with the baby being the target market and the parents as the target audience.

Anyway, back to the matter, so why is Honda still uses a female representative to promote Vario? Simple, because Honda Jazz is promoted by two female singers and we all know that most Jazz drivers are male.

Hot of the press! Updates galore! Last weekend rollade I close the week with a completion of Marketing Garbage entry. So Honda uses a famous actress to attract customer and consolidates its presence using the hottest spokesperson in the town. But waaaiiitt… It seems that I’m too fast from making a judgment, because just a couple days ago (I think on sunday) I saw an ad of Honda Vario with that hot spokeswoman and a hot spokesman, another handsome pretty face which I don’t know the name of because I’m too busy writing a blog thingie.

Weekend rollade

Okay, for this week, I’ve talked about experimental and hypocrisy marketing. Experimental marketing is actually something to be expected these days, especially because of a rapid change in our social culture condition. Yamaha reposition Mio from a scooter for woman to a scooter for man is not something new in the world of marketing. Marlboro for example, it was first designated as a cigarette for woman, but what do we see now about Marlboro advertisement? Well, I guess you cannot associate cowboys and the plains with the elegance and beauty of the woman kind.

Will Honda follow Yamaha footstep and change Vario’s positioning like Mio? It is very likely, Honda and Yamaha are both the number one and two motorcycle player in Indonesia, and they fiercely fight for the number one spot. Although the current market is held by Honda, in February, they lost the number one title to Yamaha. At least it should be a wake up slap for Honda to not just sit idly and expect their brand to help along.

Hypocrisy marketing is actually not called that way; it is just good old plain maintaining good media relationship. When you maintain a good media relationship, most often than not, when you have a bad product that is reviewed by the media, the media would soften the blow in their respective review. A disreputable media might say only good things about your product, even if you are selling a stale dog poo, when you have good standings with them. But not all media are bastards, some have integrities, but some you can buy it straight out of the box.

Be warned though, when you meet a bastard media, which is trying to sweet talk their way to write good things about your products… Stop. When people knows what kind of a media that was, your product and brand image might falls down with them. It’s a bit of a gamble, but if a media looses its credibility, so does the product reviewed in it. This kind of media sometimes just wanted to get you to put advertisement on their media as sign of thanks for writing a good product review.

So, have a nice weekend, and next week… Arsenal approach and COMEBACK MARKETING… When will I stop using this corny term…

BTW, perhaps I’m gonna change the visual theme of this blog next week, I’ve received emails that my blog was heavy to load with all of those Fit pictures. Perhaps I’m going to make a short article with a link somewhat…

Hypocrisy marketing, the worst kind…

Well, it’s not enough that I coin up the experimental marketing term, I came up with another silly one. Hypocrisy marketing… What is that? Well in this world of mass media, sometimes it is good to have a good standing with the media. So what does having a good media relationship got to do with marketing at all? Well first of all, the media is a third party, meaning that people often believe third, fourth, fifth, and so on party better than the first party… Confused? Well, so do I.

First party off course is the brand principle itself, by doing marketing effort, it is trying to portray a good image of itself and are trying to sell something to the audience. The second party is a brand ambassador, a person which the principle uses as a medium to sell more products because usually people are suckers for believing other people than the principle itself. However, even though people are suckers for this kind of things, they are not stupid either. Off course, people recognized the brand ambassador has connection with the principle and thus his/her arguments are not valid enough to push sales more. However, a third party, or usually the media, are portrayed as independent, therefore more believable than first or second party.

Case in point, which would you believe, your friend or a stranger talking on the television? Well, I’ll be damn if you believe straightaway some stranger talking on the media; just like that college professor who got swindled by a scam, and he lost US$140K because of it. People lies, and marketers are the worst kind of liars, but off course out of self defense they will say not saying the truth is not lying… But still, for me, not telling the truth = lying. So psychologically, people will resort to whomever the closest person for telling the truth, for a second opinion. But in the professional world, can we rely on just friends? Because the more source of information we use, the valid the data is (according to statistic).

The media is the best third party medium around that displays non sided news, or is it? Well, this is where hypocrisy marketing came in and blows some dirt on to the media itself. Good media relationship, is just that, to garner favorable write up from the journalist/editor which the principle chooses to befriend with. When your product is a bad, without good media relationship, your product is bad, period. But if you have a good relationship with the media, your bad product suddenly became something like… A jewel in the rough, or unpolished gem stone, or it could be better in the future, any phrase that softens the blow to the product itself.

Just like a news, when a principle does not have a good media relationship and there’s a horrible accident, most often the principle will be at blamed. For example, when Suzuki launches SX-4 in Indonesia, there are 2(two) units that tumbles upside down because of a driver error. How the hell it did not get into the news is beyond me, really… There are multiple cameras and I believe the event was filmed by a local news channel.

Does the above example indicates good media relationship? I do not know personally. But good media relationship can be seen most often on an IT/end-user products magazine. The reviewers/editors are often invited to lavish lunch/dinner/any occasion to win the favor for their particular brand. Some marketing staffs are even assigned specifically to the media to maintain good relationship, with unlimited budget to “entertain” the media staff to garner favorable reviews.

This kind of act really disgust me… If you have a good product, why would you need to even go far to have a good media relation? A good media relation is important, but in my lifetime I had saw disgusting practices done by the principles to “entertain” the media so lavishly, the media staffs always says nice words for the brand principle and say otherwise to their competitors.

I am no saint, I am a sinner, but assigning marketing effort to buy a review is just beyond me.

 Whew… Wow, I really did blow some steam away… It seems that I’m a bit upset about everything… Well, I try to make the entry more make sense sometimes this weekend if I’m cool enough.

Performance appraisal… Part deux

Looking at my blog stats, it seems that performance appraisal is the most searched term on the internet. In that sense, I’m going to explain more in a simpler term on how to appraise people without causing jealousy to other employees.

As I have stated in my previous post down there, replying to Adi on how to appraise people without causing jealousy to others, it is quite difficult to do so. To acknwledge different culture in different individuals will cause massive human resource headache, as they cannot follow each and every individuals working in the company. Therefore, we only have to follow suit management by objective as has been stated by Peter Drucker. Using MBO, the employer and employee, or to the operational level, each managerial and employee personnel understands what are the cause and effect of increased or decreased productivity.

MBO in a simpler term defines that each personnel understands and signed a contractual agreements that underlines performance appraisal. By doing that, one could not be jealous to their comrades if promoted because they mutually understand and agreed what defines a good performance appraisal. With this in mind, you won’t have to fuss about the workers are easterners or westerners when doing a performance appraisal… You only need to show them the rules that they agreed upon.

If one still jealous to whomever being promoted/rewarded for good performance, then that individual is not a team player and did not have the capability to understands a contractual agreement… Will you still keep him? I won’t.

Experimental marketing (image repositioning)… Get used to it

Let’s start this week with something to think about untill the weekend… I think I’m going to make this as a feature, start an interesting topic which I will think about and answer at the end of the week… Not bad…

Okay, let’s talk about experimental marketing, what the hell that is all about? Everybody knows about experiential marketing, but what about experimental marketing or EM to make things simpler. Well, EM is everything that revolves around continual changes of marketing concept, a sign of rushed or reckless planning, something we got used to in developing countries, or in this case, Indonesia. Usually, when a marketer set tone and manner and the image positioning, it usually already set and written in stone (unchanged). But sometimes due to poor marketing research, a change of mindset in the society, a change in company’s goal and everything in between, an initial positioning of a product or brand may change down the line.

Want proof? “Yamaha Mio Soul, the soul of man”

When Yamaha launch Mio, an automatic scooter in Indonesia, it positions the product as a vehicle for woman. Yamaha did their homework very fine, applying what they got from market research that Indonesians, especially the male gender prefers manual gearbox for their motorcycle. Boys will be boys some say, and boys love to drives fast, and you can not do it on an automatic scooter, for obvious technical reasons. Yamaha captures that essence and apply it to the first generation of Yamaha Mio, positioning it as a “civilized” motorcycle that woman could appreciate.

But what do you know? Those who buys Mio are males… The same male gender that prefers fast bikes rather than the slow automatic scooters. How could this be? Well, Yamaha did a very heavy marketing campaign for the bike, buying a 30 minute slot on one of Indonesia’s leading news channel, and make a show based on that scooter alone. The show was crazy to say the least, and I give my two thumbs up to whoever proposed it. On the show, the scooter was used in a variety of interesting conditions, acrobats, drag racing against a turbocharged car, fan club interview, design contests and everything.

The result? Well, you can say Honda and Suzuki are hoping that at least half of Yamaha Mio buyers are theirs. Honda and Suzuki sucks at marketing (the bikes)… Compared to Yamaha, they are like sitting still, well you can gives a hat’s up to Honda because they can cling to their brand image, but what about Suzuki? Suzuki needs to follow Yamaha if they want to improve the market share.

Coming back to experimental marketing, we now see that Yamaha is indeed positions the new Mio as a vehicle for man, no longer a woman motorcycle. One TV spot I saw about the new Mio is that it is depicted as an aggressive vehicle, driven in a sandy desert situation, avoiding obstacles with ease. On the background you can notice a woman singing in a sensual voice saying “My Soul, My Man” Or something like that, if not my soul, she may also says mio soul (mio and my sounds similar). The change of positioning here is as clear as day and night, and it shows that Yamaha reacts to a change of people’s perception against automatic scooter.

Although the term that I used, experimental marketing might not be proper to be used in the situation of Yamaha Mio, I define that a change of image positioning in just a short time as a sign that the marketing plan for it is not set in stones, that means it is experimental. For example, Honda Life (www.honda.co.jp/LIFE) positioning has always been as a car for woman from the get go, even the highest trim of the car is called Honda Life Diva…D’oh.

So experimental marketing, or with the example I’ve written above, changing image positioning is quite normal nowadays, especially with the constant change of people. Like a classic sociology definition of humans, “we are finite and creative” therefore, what works for us today, might not work for us tomorrow.

Here comes the new Fit… For sure :)

Heh… It looks my previous post speaks volume, it is the new Fit/Jazz, so here goes another set of PR photos from Honda, leaked from a Japanese website.

Here’s the front side and back side profile of the new Fit RS, the cheaper version make do without side skirts, aggressive bumpers and side mirror mounted turning signal.

Click on to read more…

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