Reality Spikes

On a scale of 1 to 10, just how optimistic are you feeling this week? How excited are you about your summer activities? Are you pumped about your personal and career development? How’s business?

According to the Conference Board, The Conference Board Consumer Confidence Index® increased in May, for a third consecutive monthly gain to 63.3 (1985=100). Keep in mind, though, that a reading above 90 reflects stable economic activity; any number above 100 indicates strong growth.

This is supposed to be good news, suggesting that as a nation we are more optimistic and confident in our economy. From my perspective, 63 is a poor reading on a 100-point scale. Basically? We are still feeling mighty unstable.

Shoppers remain cautious in May, reflecting the delicate nature of economic recovery. According to CNBC’s Christina Cheddar Berk, “Although more retailers topped analysts’ estimates than did not, the overall gain in same-store sales fell short of what analysts were expecting.”

Berk confirms, “The results were especially disappointing given that estimates had been trending lower ahead of the sales reports as analysts adjusted for comments made by retailers in earnings conference calls and reports on store traffic trends.”

To add to the confusion of higher consumer confidence but disappointing retail spending habits, we’re changing how we spend. According to PriceGrabber.com’s “Smartphone Shopping Behavior” survey as reported on emarketer.com, one-third of US Web-enabled mobile phone owners said they had participated in some form of mobile shopping in the past year, such as browsing or researching but not necessarily purchasing products. That was up from 17% who said the same in 2009.

Enough with behavior: what about our citizens’ state of mind? According to the HuffingtonPost.com, about 85 percent of all Boomer parents with at least one child in their 20s “expect their kids to be at least as financially successful as they are. Yet, 41 percent of all Boomer parents subsidize their adult children in some fashion, and 35 percent don’t expect their children to achieve financial autonomy before the age of 30.”

Unlike today’s Millennials, 5 in 6 Boomer parents claim they were entirely independent by the age of 25. And nearly 40 percent admit their adult children are more dependent on them than they were on their own parents.

How is our newest generation – the one that will manage the country as boomers fade into retirement – doing in terms of confidence and optimism? Their collective confidence is well-reported by Martin Predd in a guest post on MillennialMarketing.com:

“Ten years ago I was a college freshman, full of irrational optimism about the world and my place in it. I have to wonder how much longer my generation, a generation known for its optimism and belief that individuals truly can make a difference, will remain resilient in the face of the near perfect storm of bad news that has dominated our nation’s collective psyche in the last two, five – even ten – years.

It’s worth noting some of the major events that have occurred since that time:

• Bush v Gore, one of the more divisive elections in recent memory (2000)
• 9/11 (2001)
• Anthrax Attacks (2001)
• Enron (2001)
• United Airlines bankruptcy (2002)
• Shuttle explosion (2003)
• War in Iraq (2003, on-going)
• War in Afghanistan (2003, on-going)
• Hurricane Katrina and the aftermath (2005)
• Economic meltdown/housing bubble/Great Recession (2009)
• GM bankruptcy (2009)

It’s hard to recall a decade filled with more reasons not to be hopeful and optimistic about our future… For Gen Y or any generation, I suspect it’s these moments of disillusionment that turn optimism to apathy and resilience to resignation.”

So, how to remain optimistic during difficult times? Perhaps you will find this difficult to believe, but it will get better. Yes, it always changes – for better or maybe for worse before it then it improves. Good grief, e-how.com even has a section entitled, “How to Remain Optimistic in Times of Adversity.” Well, at least now you have instructions on how to survive.

Client expectations – how do you define them for your customers? And how do you deliver results to meet their expectations?

Consider this: After being awarded a large project by a high-profile client, the agency team worked for weeks developing background, clarifying objectives, understanding and overcoming market challenges, and setting goals to produce a stellar advertising campaign designed to meet the client’s market needs.  The agency aligned every aspect of the campaign with each step it had taken to meet objectives, verifying that it had kept to plan. Instead of an enthusiastic reception by the client, a modest acceptance peppered with questions and concerns greeted the agency’s presentation. What’s up with that?

And while we’re asking, what do shoppers want their products to do? How will using the product change them, their health, their self perception, their acceptance by others? Do you know?

And car buyers – do they want to feel safe, environmentally friendly, upscale, that they made a wise strategic purchase decision? These are the kinds of needs which most customers really want resolved.

Clients and customers want answers. Solutions. Results that move them forward in some way or give them an edge. It’s not the process – that’s frequently more pain than pleasure for the buyer. It’s the impact of the final result.

Back to the agency presentation – what was up with that reaction, anyhow? After some impromptu discovery, the agency realized the client wanted to know two things:

1. What does it mean? All of the research, goal-setting, and design – what does it really tell the client and the agency? What does it direct them to do…to avoid…to pursue? What should we do?
2. What’s in it for me (us, the client)? Known as WIIFM, this is the How will it move us toward greater success? question. What will the final result do for us?

Ultimately, clients really want to be successful, to improve their bottom line or to meet/change some other critical success metric. And sometimes, those who serve clients lose sight of what clients really want.

So, before your next presentation, do a quick pulse-check against these two key client questions. Aligning your deliverable to respond to those two desires increases your, and the client’s, likelihood of success.

Had a chance to hear Lauron Sonnier, author of Think Like a Marketer, speak recently. Her very direct and basic presentation served as a great update on the critical importance of ALWAYS thinking about one’s business in terms of marketing impact. Her focus is on defining “what it really takes to stand out from the crowd, the clutter and the competition.”

Marketing can be a difficult concept for non-marketers such as inventors, product developers, and entrepreneurs whose ideas have taken root in the form of a new enterprise. But regardless of what a business buys, sells, creates or fulfills, that core business must be communicated and sold to prospective customers. According to Sonnier, there are several ways to develop and maintain a marketing mindset for the business.

• Demonstrate that marketing is a top priority for the company and its leadership. Prove it with commitment and back it up with the treasury. To do otherwise moves marketing out of the priority bracket.
• Ensure that all employees (and vendor partners, too) are excited about marketing. They have to be “sold” on the company’s initiatives before clients will respond. Sonnier states, “Show them the positive effects of it. Success is validation that what they do is important and of need and service to others.” Continue to provide answers to employee’s’ key question WIIFM (What’s in it for me?).
• Hold everyone accountable to the firm’s marketing program, standards and systems. They are in place for a reason.
• Celebrate all marketing successes large and small. When efforts to build and maintain marketing momentum are realized, shout it to the team, even those small successes.
• Perpetually ask if words, actions and decisions – each one – are consistent with how the company is positioned in the marketplace If it’s off-target, it’s off the action steps list.

I walked away from the event at which Sonnier spoke invigorated, renewed and recommitted to our firm’s marketing efforts. And it was a real eye-opener to reminded that anyone who expects revenues from customers must think like a marketer. And everyone must have in place a practical marketing plan with clever strategies that respond to even a bare-bones budget.

What is the neatest or coolest marketing activity you’ve seen or done recently that proves you can think like a marketer?

Lauron Sonnier’s book, Think Like a Marketer, is available at Amazon.com and Borders.com.