Kickstarter Mythology Needs Some Retail Reality


Kickstarter mythology has outgrown reality.

(But let me be very clear. I’m NOT talking about Kickstarter art, music, and movie projects. It was designed for these and they seem to be running pretty well overall.)

I’m talking about Kickstarter campaigns that raise money by Directly Selling new Products that have never been built – and taking orders for lots of them. In the computer business we used to call this selling vaporware and investing in businesses dedicated to vaporware led to the dotcom crash. Segway and Google Glass were both massive vaporware disasters.

Now, by selling vaporware with Kickstarter, we’re seeing amazing train wrecks among the most highly successful money raising campaigns. These train wrecks are all made possible by the mythologies that drive Kickstarter and other crowd funding sites. (Incidentally, a comment below points out this is a far more dramatic version of the direct mail practice of “dry testing”. There is already FTC guidance on dry testing.)

The Mythology of Kickstarter for Inventors. Inventor mythology starts with a belief that it’s enough to come up with a good idea and some money to build it. And Kickstarter appears to “unshackle” inventors so this can happen.
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The Absurdity of Brand Disconnected from Product

Last week I ran into research that presents a strange example of disconnected brand thinking. I found it in a study claiming to tell us what brand attributes are most important to the fabled Millennials. (Link here.)

Problem is the research draws broad brand preference conclusions that are entirely disconnected from product – there’s no product anywhere to be found. And that means the reported findings are entirely meaningless since consumers can’t tell us about brand in the abstract.
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Consumers Buy Products, Not Brands: How This Should Change Your Advertising

“Whenever you can, make the product itself the hero of your advertising.”
– David Ogilvy, Ogilvy on Advertising

We live in a grand age of “brand advertising” – where most ad agencies believe that their role is to directly build brand with advertising. Except they’re wrong.

There are far more advertising options for building a brand than so-called “brand advertising”. Quite often, these options end up building stronger brand, faster and at less cost. Sadly, most agencies never tell their clients about these other options – perhaps because they’ve never thought that deeply about them. (It’s a bit ironic, since one fundamental of creative is that a linear approach to subtle things is often the least effective. So creative teams shouldn’t be surprised that the fastest way to build brand isn’t to directly try to build that brand.) Read more of this post

“The Best Ideas Come as Jokes”… But the Best Quotes are Sourced

The Quote
OgilvyMemeRecently, at Atomic we came across a funny meme on DigiDay. The piece was a blend of clever quotes attributed to David Ogilvy, mixed with a couple pictures from Mad Men. A great comment about finding ideas through creative process stuck out:

“The best ideas come as jokes. Make your thinking as funny as possible.”

If you look closely, you’ll notice that the quote doesn’t say “the best ideas ARE jokes”. But in this advertising world, many people would prefer to interpret the quote to mean the best ads are “funny”.

Rather than just assume that Ogilvy’s quote only meant the creative process, Doug asked me to locate the context of this Ogilvy quote. Seems like an easy Google search, right? Wrong.

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Using Response Measured Advertising in an OmniChannel World

I’ve spent my advertising career in the most immediately measurable of TV disciplines…direct response television. Through that career I’ve seen the tremendous economic power that DRTV offers. Used in the right situation, DRTV delivers far more economic impact (including brand value) than traditional TV.

At the same time…in contradictions we find truth. And here’s the response contradiction.

Response measurements are exceptionally powerful at helping make campaigns more effective.

But if response becomes your ONLY focus, campaigns become less effective.

How’s that happen? We must remember that even the best metrics (response, audiences, targeting, etc.) can never measure the total impact of a TV campaign. They are helpful guides but don’t tell the entire story.

So it’s important to respect the numbers for the extraordinary help they offer as we make media dollars go further (up to 4x further). And it’s important to respect that response numbers are only one window in to the impact of our work.

This reality doesn’t only apply to DRTV. It applies to online ads (especially), direct mail, catalogs, search, and many more areas where we are able to measure response.

Here’s a recent article I called “Seeing the Forest Despite the Trees” (link here) that appeared Response Magazine’s December 2013 edition. It digs deeper into how to work with response measured media in the highly (and extraordinarily profitable) market you enter when your product is sold through the omni-channel world of phone, web, and retail store.

It’s no surprise to find DR marketers obsessed with response to the exclusion of all other reality. But it has been a surprise to find that experienced audience measured advertisers also too quickly lose sight of the fact that response measurements are indicators – but not the whole story.

It’s surprising because many of these are advertisers who have lived in a world their entire careers where they had NO measurement of response and where impact is projected by guys in the back room with pointy hats and crystal balls reading Nielsen reports. (For clarity: I do love audience numbers. But while there’s tremendous learning to be found in audience measurement, projecting sales impact based on audience remains an area for alchemists.)

So embrace response measurement for what it is: An extraordinary measurement that can help us spend client media money far more efficiently. And then lets use that measurement to drive campaigns where the total impact surprises us all.

Copyright 2014 – Doug Garnett – All Rights Reserved.

Lego Takes the Life Out of Its Own Party

20130114-191437.jpgThis past weekend, there was a Lego expo here in Portland and my youngest son went with my wife. We’ve been to these kinds of shows in the past – and they can be really exciting.

Sure, these shows have had Lego brand goods. But far more interesting are the aftermarket products – specialized figures, unique model sets created by innovative designers, amazingly innovative models created by Lego enthusiasts, Lego topical shirts for sale, etc…

Did you know you can buy aftermarket Lego figures painted with specific WWII uniforms and holding replica guns to match? Or aftermarket Halo figurines? Or rare collectible sets no longer on the market? Or unique sets creating interesting new Lego creations? Read more of this post

The Brand Building Power of Product Advertising

Funny how names are. A specific type of advertising was labeled “brand advertising”. So the myth developed that in order to build brand, you need to use brand advertising.

Except, it isn’t true. And with billions of dollars of revenue on the line, it’s time advertisers got smarter. Because here’s the real brand truth:

1. All types of advertising build brand.

2. The type which is most effective changes – depending on your company, brand, consumer, profit structure and product or service situation.

3. Quite often a mix of types is most effective – a mix which may or may not include “brand advertising”.

The Brand Building Power of Product Advertising Given this truth, it’s sad that one particularly powerful tool is also one of the least understood by agencies & the ad biz — advertising which uses the product to build brand. Read more of this post