One of the great sessions at last month’s CMO summit, which was organized by Corante and the Center on Global Brand Leadership, was moderated by Johh Hagel. While the session has been summarized in a variety of places, John now summarized his points on his own blog. At the risk of being somewhat repetitive I will summarize/paraphrase the post here as it has a ton of great insight…
So where does John think marketing is going?
For starters, he thinks that the current shift in the economics of business will force major changes in marketing. With attention being the new scarcity and customer acquisition and retention costs being on the rise – business will have to start focusing on economies of scope instead of economies of scale. In customer relationships it will come down to getting the largest share of wallet of any single customer rather than a fix share of wallet across a large number of customers. This whole trend is reinforced by the fact that the cost of interaction and the ability for customers to find information about vendors and products is steadily declining as well.
According to John, this all leads to the need for fundamental changes in the areas of marketing strategy, branding and performance metrics.
In the area of marketing strategy, we need to move from the 3I’s (intercept, Inhibit, isolate) to the 3A’s (attract, assist, and affiliate). Another way of looking at it is that we have to move from a “one to one” marketing to a “many to one” marketing mindset.
From a brand promise point of view – we need to move from a “buy this product because I am great” mindset to one closer to “buy this product because I know you and you can trust that I will configure it properly for you.”
As for the new metrics, try these on for a change: average life time value of the customer (customer service execs – are you listening!), 80/20 segmentation of customers based on profitability, ROA (return on attention), ROI (return on information).
And so what are vendors doing?
As John says, they are…well…acting like vendors!
In response to attention being the new scarcity – they are bombarding us with intrusive ads on animals, in urinals, in the sky, and with other desperate moves to “grab” our attention. John has it right when he says “Rather than just focusing on how to get attention, vendors might also want to consider how they can help their customers receive attention that is important to them and not just from the vendor, but from others that matter to the customers.”
And as is typical with any new wave of tools, they are also jumping on the new social media technology bandwagon – deploying blogs, communities, wikis and other network-enabled marketing tools without really asking themselves how this will help the customer, or how “it will increase return of information for customers.”
John finishes his article with some recommended actions for CMO’s to take: affiliate with partners to create more useful solutions for your best customers, change organizational roles so execs are in charge of the total customer experience, and adopt performance metrics that measure and reward the increase of the lifetime value of the customer.
As usual – a post chock-full of great insights for marketers.
While wearing the many different hats of MC, coordinator, wifi guy, podcast traffic cop, and many others at the 2006 Innovative Marketing Conference, I was not able to take good notes of the great discussions that took place at the conference. Thankfully, many others did, and I will try to capture most of them here. I will also elaborate on specific sessions/discussions in future posts.
Overall I believe that we delivered against the promises that were made ahead of the Innovative Marketing Conference. We promised that it would be a conversation about the new marketing foundations that need to be built in the face of the ongoing breakdown of the old rules, and we delivered just that – few slides and one way presentations and many deeply insightful discussions. We also promised that this conference would be a conference about marketing as a whole – as one of the main premises for the event was that unless all aspects of marketing are tied together, marketers will fail! Here too, I believe we delivered against that promise – with many sessions focused on tying all the conversations together.
But enough bragging – here goes the summary and associated links to interesting posts from across the blogosphere.
Day 1 – CMO Summit
We started both days with a CMO telling us what it is like to be in the trenches. The first day’s keynote, delivered by Russ Klein, CMO at Burger King, was insightful and surprising for its degree of innovation. He spoke of how they started looking at Burger King as a “social brand” in order to revive it, introduced their social currency strategy and much more. You can listen to a podcast interview with Russ here, and you can find some good summaries of the speech at:
Next up was a discussion about the creation process of products and services, and the role of innovation, co-creation and many other new factors on that process. The discussion was led by David Sutherland and you can find some good summaries at:
John Hagel’s fabulous session on attention scarcity and what that means to brands, marketing and metrics is summarized at:
Next came David Weinberger, who led a discussion on the future marketing department. Good summaries for that session can be found at:
Prof Bernd Schmitt wrapped up the day by summarizing what we discussed that day and by attempting to tie it all back together. We have recorded this session and will post the audio transcript online shortly. For now you can listen to a podcast interview with Bernd Schmitt here..
Day 2 – Marketer’s Forum
The CMO who kicked off the second day was Deepak Advani, CMO at Lenovo. He spoke of the challenges to build a new brand across national and cultural barriers and also touched on what it means when your brand comes under attack by xenophobes. You can listen to a podcast interview with Deepak here, and you can find summaries of his speech at:
Next up was a panel discussion on models for innovation, where David Sutherland from the Launch Institute, Gwen Ishmael from Decision Analysts, Tony Ullwyck from Strategyn and Paul Zarookian from AIG debated all the different angles of innovation. You can find summaries of this discussion at:
After that we had a great session on the new marketing tools that are available to marketers, which was ably moderated by Johnnie Moore, and included Kevin Lee from Did-it.com, Heidi Lehman from Third Screen Media, Max Lenderman from GMR Marketing, Bill Tancer from Hitwise and Diane Hessson from Communispace. You can find some summaries at:
A particularly hot topic – the pros and cons of online marketing in the context of consumer generated content – was debated in the next session. The session was moderated by David Rogers from the Center on Global Brand Leadership, and included John Hiler from Xanga, Craig Newmark from Craigslist.org, and Chris Tolles from Topix.net. Good summaries of that session can be found at:
You can also listen to a Skypecast we did on the subject ahead of the conference
I was told that you could not have a marketing conference without a session on metrics and measurement, and so we put a great session together with Max Kalehoff from BuzzMetrics, Bryan Eisenberg of Future Now, and Ruth Stevens from eMarketing Strategy. Summaries of the session can be found here:
Kicking off the afternoon sessions were Larry Weber from the W2 Group and Lois Kelly from Foghound, talking about the future marketing department – a lively and provocative session to say the least – and which is summarized at:
After that we had a session on the future of advertising – led by Joseph Jaffe from Jaffejuice and including Chris Hoyt from 141 Marketing, Lee Johnson from McCann, Rick Klau from Feedburner and Len Ellis, most recently with Wonderman. A set of summaries for this session can be found at:
The last session before the wrap-up was a discussion on the future of PR – which consisted of a lively panel with Neville Hobson from Nevon, Lois Kelly from FogHound, Shel Holtz from Holtz Communication + Technology, and John Moore from Brand Autopsy. A good summary for this session can be found at:
Professor Bernd Schmitt then closed it all up and you can find the summary of his closing remarks at:
Other, overall conference commentary can be found at
A photo stream of the event can be found on Flickr.
You can also listen to tens of podcast interviews which Shel Holtz and Neville Hobson did during the event – including interviews with Craig Newmark from Criagslist.org, Dianne Hessan from Communispace, Max Lenderman from Axe fame, Johnnie Moore and John Winsor on co-creation, David Sutherland from the Launch Institute, Eric Mankin from the Center on Enterpreneurship at the Babson University, in addition to the ones listed above with Russ Klein, Deepak Advani, Bernd Schmitt and Larry Weber.
Keep checking the site as we will be adding additional edited audio versions of the sessions in the next few of days.
Unfortunately I have not have much time to report back from the first day of the 2006 Innovative Marketing Conference. The conversations so far have been unbelievable rich and at times intense. Fortunately you can read or listen to some of the things that happened here today on the Fast Company blog, David Weinberger’s blog, Johnnie Moore’s weblog, the social customer manifesto, and of course on the For Immediate Release report.
Tomorrow at noon (EST) we will be having Larry Weber, PR Guru, author and founder of the W2 Group, and Lois Kelly, interactive marketing pioneer and partner at Foghound, discuss the future of the marketing department in a Skypecast.. You can find more information about the upcoming Skypecast here. To join – simply go the Skypecast url at noon and log in with your Skype account. If you do not have a Skype account, it’s easy, sign up for a free account, it will take you less than 2 minutes.
If you missed some of the Skypecasts that we ran leading up to our Marketing Innovation conference next week, you can go to the event’s home page and look for MP3 recordings in the sidebar (contact me at francois AT corante DOT com if you still want to get access to the physical conference next week – I will find a way to get you in!).
If you have not heard the transcript of the Skypecast conversation we had with Pete Blackshaw and Max Kalehoff from Nielsen BuzzMetrics and Chris Tolles from Topix on the threats and opportunities of online marketing in the context of consumer generated content – make sure to go to the Corante/Columbia University 2006 Innovative Marketing Conference’s home page and download the MP3 file of the conversation from the sidebar.
While there, also make sure you check on the latest list of speakers. It is packed with awesome people who have shaped the field of marketing and are likely to shape the future of marketing.
If you have not signed up yet – make sure you do so – we still have some spots left!
What are the risks and opportunities of marketing your brand in the context of consumer generated content – think Xanga, Myspace, Topix, or Google News & Yahoo! News.
As you may know by now, and in the weeks leading up to the Innovative Marketing Conference – June 8-9 in NYC – we will be hosting a series of provocative Skypecasts in which we will chat with conference participants as well as allow our audience to shape the conversation at the physical event. In this Skypecast we will sit down with Chris Tolles, Pete Blackshaw & Max Kalehoff for a discussion on the pros and cons of online marketing in the context of consumer generated content. (more info at: skype.corante.com)
Our first in a series of Skypecasts leading up to our Marketing Innovation Summit in June went flawlessly yesterday. You can listen to the recording of David Rogers, Associate Director for the Center for Global Brand Leadership, interview experiential marketing expert Prof. Bern Schmitt by downloading the Skypecasts’ MP3 recording..
Also of interest for the upcoming event is that we will be having a team of bloggers who will blog the event live on a Fast Company marketing BlogJam. Bloggers who will make up the team so far include:
Chris Carfi from the Social Customer Manifesto
In the weeks leading up to the 2006 Innovative Marketing Conference – June 8-9 in NYC – we will be hosting a series of provocative Skypecasts in which we will chat with conference participants as well as allow our audience to help shape the conversation at the physical event.
These should be fun…make sure you attend! We will announce more of them in the near future.
Awhile back I mentioned our upcoming Marketing Innovation Event which will be held on June 8-9th in NYC, and which is produced in partnership with the Center on Global Brand Leadership and the Columbia Business School.
The first day – our CMO Summit – is reserved for CMOs and VPs of Marketing only – and will consist of a series of highly interactive discussions around the some of the fundamentals of marketing. The second day – our Marketer’s Forum – which is open to the public will feature cutting edge thinkers and business leaders who will present new models for innovative marketing and lessons from companies that are leading the way towards a new marketing foundation.
So far we have assembled a really nice lineup of both attendees as well as speakers. One of the nice achievements so far has been our ability to assemble marketers from a wide variety of industries – including representatives from consumer packaged goods, high tech, automotive, travel, financial services, and the pharmaceutical industry. Combine that with a few international registrations and you end up with a mix that should really lead to innovative discussions.
There are a few great partnerships that we are about to announce, which would give the conference a dimensions that would go beyond the physical event – stay tuned for that! And if you’d like to register, visit our registration by clicking on the registration button in the sidebar!
We also launched a new weekly Marketing & Innovation Digest. I have added a subscription box for the email digest to the sidebar of this site, as I believe that the content will interest people that read this blog. It is also an easy way to stay up to speed on the latest developments of the upcoming conference.