The poll results are in! Do we have a new Cult Brand?

June 5th, 2008

We asked you to select what company you thought was closest to becoming a cult brand. The results are in and here are our reasons for selecting them as potential contenders for cult brand status.

Coming in at number four was The Motley Fool. Founded in 1993 and run by brothers David and Tom Gardner, The Motley Fool provides investment advice to millions of self-empowered investors. More than just a financial services provider, The Motley Fool provides a community for these like-minded investors who don’t want to deal with structure of traditional investment agencies to congregate. Motley Fool’s encouragement of investors to take their own financial future in their own hands in a fun environment with a community of support earned them a place on our list of potential Cult Brands.

At number three was America’s favorite hot sauce brand: Tabasco. Still made on the same site and using the same recipe as Edmund McIlhenny did in 1868, Tabasco production is supervised by a member of the McIlhenny family applying rigorous standards to pepper selection and production to ensure a consistent product and quality. The customers’ love of Tabasco begins at the biological level. The active compound in hot peppers, capsaicin, triggers the pain response and leads to the release of endorphins, leading people to become addicted to the high and fall in love with the spicy taste of Tabasco. Tabasco has such a loyal following that some fans refuse to travel without it. Tabasco earned its place on our list for its ability to take advantage of biological drivers and its ability to polarize consumers into two groups: those that love it and those that refuse to go near its spicy power.

The runner up was the king of search engines: Google. The amount of information being added to the web on a daily basis is mind boggling and for information seekers it’s hard to imagine what it would be like in a world without Google. Tapping into the world’s information searches, Google attempts to come as close as possible to providing you with exactly what you’re trying to find. As good as Google is, founders Larry Page and Sergey Brin aren’t content to see themselves as anywhere near a solution. They see their whole enterprise as focused on one thing: improving users ability to find what they want in any place and at any time. It’s this intense focus on serving everyone who loves information and knowledge in all areas of their life that put Google on our list.

And the winner of the poll: YouTube. Founded in 2005 and purchased in 2006 by Google. And costing nearly $1 million a day to run, YouTube’s profit is, according to a Google revenue report, “not material.” But for what YouTube lacks in profitability it makes up for in power and loyalty. YouTube was at the forefront of user-generated material that led Time magazine in 2006 to declare “You” as the person of the year. YouTube has created a platform for users to upload their lives and passions and find a likeminded audience that traditional media would never have allowed. YouTube’s bucking of the traditional profit-focused enterprise and its ability to bring people together and have them feel weird together and therefore weird no more make us think it may be a worthy business for Cult Brand status.

That’s why these brands made our list. But, we’re more interested in why you voted the way you did and what you think about each of these brands. Now it’s your turn to join in on the discussion.

Online Sports Marketing

May 27th, 2008

Question: What have distinguished the best online marketing efforts that target sports fans? What are the tactics/strategies that work and the ones that don’t?

Answer: From the perspective of growing your brand, the Internet should not be looked at in isolation. It’s important to look at the Internet as just another touch point for building a brand and connecting with the customer. There are smart brands out there that have integrated online efforts into their overall branding strategy. So the online marketing efforts targeting sports fan that work are approached from this larger perspective. For example, ESPN has a strong brand that serves the sports fan community in general, but now they also connect with the sports fan via their new wireless service that keeps dad up to date with his favorite team’s scores while he’s at work. Specialty outdoor retailer Cabela’s has an almost “cult”-like status for their catalog, which is well-integrated in their online efforts where users select their preferences. For instance, “I like camping, but not fishing.” This small variance in consumer preference translates into an entirely different experience in the offline catalog and the retail store. When your Internet presence supports your offline business, you have smart online marketing efforts.

Offline Brand, Online Community

February 26th, 2008

Question: How does an offline brand create online community?

Answer: First, let’s look at why communities of people come together. Usually, groups of individuals come together because they have a shared meaning or idea about something — whether it’s Star Trek, Jimmy Buffet, iPods, or Oprah. Once you understand the human needs that drive people to come together, you must figure out what groups already exist that have naturally formed around your brand (offline). Who are your core loyalists? Figure that out first and then find ways to support this group of loyalists online.

For example, Harley Davidson owners meet at rallies through HOG — Harley Owner Group — where they enjoy the companionship of like-minded individuals, sharing stories, drinking, and having fun. Now, HOG members also meet online at HOG.com. Apple had their own physical Mac User Groups (MUGs) that would get together to discuss how to get things done more effectively on the Mac or anything else related to using and enjoying a Mac computer. With the development of the Internet, bringing the MUGs online was a natural extension at www.apple.com/usergroups/.

There are biologically-rooted drivers in place that give humans the propensity to come together to share the same enjoyment or bliss. This drive is so powerful that we go to movies together, we often shop together, and eat together. Also, keep in mind that consumers accept brands that are differentiated, which translates to the fact that people want to be part of a group that’s different. So embrace your brand’s uniqueness and find ways to support your loyal customers who are already rallying around your brand.

Marketing ROI

December 7th, 2007

Question: There seems to be an increasing pressure marketing departments face to demonstrate ROI to boardrooms. I am specifically interested in how this pressure varies for marketers depending on whether traditional media such as television or billboards are applied or whether new media like networking sites or paid search are employed.

The common wisdom is that it’s easier to track ROI using newer media. But what is the reality for marketers? Is traditional media, responding to this pressure, providing marketers with new ways to measure and track ROI? Is newer media in fact more measurable than traditional media?

What strategy should the ROI-concerned marketer be taking now?”

Answer: From the practical side, ROI is not only a demand from the Board of Directors, but also from the consumer. Let me explain: When marketers get a high ROI on a particular tactic / idea, it usually means the consumer also has won. Each form of media is revered for its different qualities — a great billboard can make you turn now, while an amazing radio spot can make you image something you have never seen before.

Each form of media has its own ability to become a powerful tool in building ROI, but each media has to be used for its best and highest purpose. If you are looking to liquidate items and not build a brand, you can hit the radio waves, TV, and direct mail with as much financial resources you can afford, but you aren’t likely to build long term sustainable brand.

Great ROI in marketing means also a return on innovation — the return for creating something the consumer would react to and connect to.

What is the ROI on the iPod TV spots? This campaign created the dominated choice in MP3’s and placed Apple first in the consumers mind. ROI-driven marketers should strive to connect with their consumers in meaningful ways and use their marketing dollars in driving the consumer to choosing their brands more often. It’s about thinking, “Where can I connect with my core customer in a way my competitors can’t imitate, or better yet, won’t try to take on?”

In the end, ROI is a nod back from the consumer that you reached me and connected with me.

The Cult Branding Blog is Live!

December 7th, 2007

Welcome! Many of you have had questions for BJ Bueno and the folks of CultBranding.com.

You can comments on the rifts on this blog or submit your question here.

Onward!