My dearest readers,

Some of you are probably wondering where I have disappeared, or even if I have chosen to let go of my blog. I would most certainly not forego the pleasure of entertaining and educating you with relevant brand building stories. I do, however, owe you an explanation as to why I have been rather quiet these last few months. To sum it up in one word, I have been: Glutened.

Gluten was a foreign word to me a few months ago and it is now most likely the most used word in my vocabulary. I have spent the last few months being quite ill and arduously working along with my doctors to find out why. After many tests and scopes, which revealed damage to my small intestine, the answer finally became clear: Celiac Disease, or to simplify this term: a condition that damages the lining of the small intestine and prevents it from absorbing parts of food that are important for staying healthy. The culprit: gluten, which is found in wheat, barley, rye, and possibly oats. Though this condition cannot be cured, the great news is that it can be monitored with a life long gluten-free diet. Goodbye regular breads, pasta, and pastries, hello GF world! (You’d be surprised, GF dining can be quite delicious once you master it). It does get quite tricky when eating in restaurants though since the slightest cross-contamination can be damaging. But one learns to adapt!

I am finally on the road to recovery and have regained full control of my life. One question has always lingered, however: how is it possible that I had never heard of Celiac Disease before my diagnosis?

Here are some substantial statistics related to Celiac Disease: Celiac Disease Facts & Figures

- 1 in 133 Americans are affected.

- 95% of Celiacs are undiagnosed or misdiagnosed with other conditions

- 6 to 10 years is the average time a person waits to be correctly diagnosed

- 5-22% if celiac patients have an immediate family member (1st degree relative who also has celiac)

- Celiac Disease can lead to a number of other disorders including infertility, reduced bone density, neurological disorders, some cancers, and other autoimmune diseases

- The Celiac Disease diagnosis rate may reach 50-60% by 2019, thanks to efforts to raise public awareness (Source: Datamonitor Group, 2009)

- Gluten-Free sales reached more than $2.6 billion by the end of 2010 and are now expected to exceed more than $5 billion by 2015 (Source: Packaged Facts, 2011)

The Road to Awareness:

It is quite clear that there is a lack of awareness of the disease within the medical community and amongst patients. This is in part due to the fact that since no pharmaceutical cure exists other than following a Gluten Free (GF) diet, pharma companies are not investing advertising dollars to raise awareness of this wide spread yet under diagnosed condition. Luckily, individual, non-profit efforts have been gaining share of noise in the media in the last few years. Moreover, a multitude of GF foods are now available in supermarkets and even in some select restaurants.

In fact, my recent move to Toronto has proven to be a wise choice since I have the option of visiting Whole Foods Market for a one stop delicious GF shopping.

In addition, with a simple internet search, I came across a fantastic boutique food shop in North York called Goodbye Gluten. I had the chance to speak with the owner who opened the shop after her daughter’s Celiac diagnosis 15 years ago. Back then, there were no savoury GF choices, and so she bravely catered a store to those suffering from a gluten allergy or sensitivity. I thought I had to make peace with never eating a cupcake again… but low and behold, Goodbye Gluten offers a wide variety of baked goods, including Delicious (yes with a capital D!) cupcakes and cakes.

Packaged Goods brands have also embraced this Gluten Free reality and rising concern amongst consumers and now offer a wide range of GF alternatives. The most exciting recent GF introduction is that of Gluten Free… wait for it… Rice Krispies! They are absolutely delicious and taste just like the original iconic cereal. Celiacs are always looking for tasty snacks and new Rice Krispies Brown Rice gluten-free from Kellogg’s make a wonderful ingredient for tasty recipes!

Source for Celiac related news:

Facebook has become my source for being up to speed with news regarding Celiac Disease. I am a fan of various Celiac Disease research centres, non-profit organizations and even food brands that cater to this topic.

http://www.facebook.com/CureCeliac

http://www.facebook.com/gluten freely

http://www.facebook.com/enjoylifefoods

http://www.facebook.com/CeliacDiseaseFoundation

http://www.facebook.com/CeliacHandbook

Hollywood and Celiac Disease:

Last but not least, it is humbling to see celebrities affected by the disease who are doing everything possible to raise awareness. You’d probably be surprised to know that the following stars and public figures all suffer from Celiac Disease:

- Zooey Deschanel, Jennifer Esposito, Chelsea Clinton, Keith Olbermann, Dean McDermott, Emma Rossum, Novak Djokivic, Elizabeth Hasselbeck, Danni Minogue, even JFK was suspected to have Celiac Disease!

If you know someone who is suspecting Celiac Disease to be the culprit of their symptoms, encourage them to request testing from their doctors. Stay tuned for strategies that I will shortly undertake to help fuel awareness of the disease in the media and within the medical community. Who says Marketing only relates to companies? In my opinion, Celiac Disease has become a brand of its own and we owe it to those suffering from it and to those who are not yet diagnosed to generate awareness through innovative brand building initiatives. Suggestions are welcome!

Stay tuned for my next post! I’ll be running a poll for feedback on your favourite hot topics.

- J.

British luxury fashion hourse Burberry and its unique tartan pattern has become one of the world’s most iconic fashion brands.  Burberry, invented by Thomas Burberry in 1856, has branded stores and franchises around the world.

According to the Burberry Group, the brand is defined by:

-       Britishness

-       Authentic outerwear heritage

-       Historic icons: the trench coat, trademark check and Prorsum knight logo

-       Democratic luxury positioning

-       Innovation and intuition

And the business is driven by:

-       Design, marketing and retail-led strategies

-       Digital focus and integration

-       Channel diversity: retail, digital commerce, wholesale and licensing

-       Multi-category competency: non-apparel, womenswear, menswear and childrenswear

-       Global reach and balance: across core regions and emerging markets

Since the 1970s, Burberry re-branded itself through several advertising campaigns that included famous top models and actresses such as Kate Moss, Agyness Deyn, Jourdan Dunn, Emma Watson, and most recently Rosie Huntington-Whitely.

Burberry Body Campaign – An Integrated Lesson for all Brands

British supermodel Rosie Huntington-Whitely was unveiled as the face of Burberry’s newest fragrance, Burberry Body, in July 2011.  A fully integrated marketing campaign immediately followed whereby the brand utilized television, print, outdoor and digital cohesively to tell the Burberry Body story.

“Burberry Body is the most exciting launch that we have ever created and captures the iconic spirit of the brand today in a striking and sensual way. Rosie’s effortless style and her staggering beauty made her the natural choice as the first Burberry Body.” – Christopher Bailey, Chief Creative Officer at Burberry

Television Commercial – Short Film:

Print Advertisement:

Digital Component

Burberry create a Facebook campaign offering free samples of the fragrance to its 8 million + fans. The initiative has created an instant buzz and has resulted in 245,000 sample requests in one week. The offer was available to all countries, not just the UK, a smart move for the company. A brilliant colleague of mine and digital guru, Annie Robert, ordered the sample to assess the rapidity at which she would receive the sample and the consumer friendly ordering process. After a short one week wait, she not only received her sample, but also a luxuriously embossed thank you for being a Facebook fan card.

Thank You for Being a Facebook Fan - Card

Samples Received

A YouTube masthead also ran for one day, featuring the Burberry Body short film.

Burberry Body was also introduced on Twitter and followers were redirected to Facebook in order to redeem their samples.

This is what I call a fully integrated campaign! Burberry definitely has the right Marketing mix in mind, leveraging television, print and outdoor to tell a brand story and social media to engage with consumers by offering them an irresistible fragrance sample that not only appeals to one of our 6 senses, but also is delivered with express rapidity and with a side of pampering. That my friends, is Customer Relationship Management at its best.

I’m off to shop for a fall Burberry scarf!

~ J.

Now that summer is coming to an end, I can’t think of a better time to try to keep it alive a little while longer by dedicating this next post to ice cream. But not just to any ordinary ice cream: to Ben & Jerry’s Schweddy Balls ice cream.

B & J History Snap Shot

The very first Ben & Jerry’s scoop shop opened in 1978 in Burlington Vermont. For over 30 years, the company has been indulging us with delicious flavours and witty names. Free cone day has now become a company staple and is ever popular with consumers. Over the years, Ben & Jerry’s has perfected it’s Marketing craft and has become one of the most cutting edge companies when it comes to implementing innovative Marketing programs. This is in part thanks to its acquisition by Unilever in the year 2000. Unilever’s inventive management teams have helped bring the Ben & Jerry’s brand to a new level and strengthen the brand’s positioning in consumer’s minds.

Do you have Schweddy Balls?

Staying true to their witty nature, the Marketing team at Ben & Jerry’s implemented a unique Marketing campaign during summer of 2011 for the introduction of the limited edition ice cream flavor called Schweddy Balls. Schweddy Balls? Yes, Schweddy Balls. Maybe this SNL video will help clarify:

You guessed right. Schweddy Balls was named to commemorate a 2007 Saturday Night Live skit featuring the hilarious Alec Baldwin as Pete Schweddy. The Schweddy Balls flavor consists of a Fair Trade vanilla ice cream with a hint of rum and loaded with fudge covered rum and milk chocolate balls. What’s not to love?!

Brilliant Marketing Program

Not only did the team at Ben & Jerry’s score a co-branding deal with SNL producers, it was also successful at implementing an equally grabbing campaign. “For a long time, I thought that ‘Here lies Pete Schweddy’ would end up on my tombstone. Now, thanks to Ben & Jerry’s, the goodness of the Schweddy family recipe won’t go with me to the great beyond. It is immortalized here, right now, and it’s an ice cream. Ben & Jerry’s and Schweddy. Two great names in American dessert, together at last.” stated Alec Baldwin in a press release.

Ben & Jerry’s introduced its new flavor on Twitter with the help of one ever famous comedian:

A hash tag #helpmefindschweddyballs became extremely popular:

The product was also introduced through Facebook where Ben & Jerry’s 3 million plus fans could choose their favourite SNL Schweddy Balls skit and send it to their friends (but not their grandma).

It goes without saying that Ben & Jerry’s has found great value in implementing surprising and viral-friendly campaigns. In the case of Schweddy Balls, the company promised consumers that the limited edition flavor will become a fan favorite, resonating with a line from the SNL skit: “You won’t be able to resist our Schweddy Balls!”.

Profitabilitiy of the flavor introduction has not yet been reported but I will definitely keep an eye out and keep all you fabulous readers updated. I look forward to seeing if this hype and co-branding effort paid off for the company.

The Schweddy Balls flavor will be available until the end of the year, so be sure to get your pint today! Have YOU tried Schweddy Balls?

~ J.

Here’s something to think about as you start your work week:

“Good business leaders create a vision, articulate the vision, passionately own the vision, and relentlessly drive it to completion.” – Jack Welch

Having a company vision is most definitely not a new concept, but it is one that is often forgotten and overlooked. The probability of continued success derives from the belief that a certain vision is being fulfilled. Whether you’re at the head of a company, a team leader, or a project manager, relating to a common company or team vision is fundamental.

I’m currently reading a truly inspiring book from Maria Bartiromo, anchor of CNBC’s Closing Bell: “The 10 Laws of Enduring Success”. In her book, she dedicates one of these 10 laws to the importance of vision. “Vision rallies people. Vision is more than rhetoric; it’s deeper than charisma. It is the quality that enables you to be creative, passionate, inspired and productive. With one eye on the future, it keeps you grounded in the practical actions of the present.” – Maria Bartiromo

This week, I encourage you to ask yourself: “What is my company’s vision? What is my team’s vision?”. If you don’t know, inform yourself. If you’re a team leader and have not established a team vision, I urge you to do so. It will change the way you do business and will improve the productivity of your employees.

‘Like’ this post if you lead your career with continued vision!

~ J.

~ Dear Mark Zuckerberg, on behalf of Jenna Benn, cancer crusher warrior princess, thank you. ~

It’s not only brands and companies that could benefit from the use of social media to build word of mouth, or as we say nowadays ‘world of mouth’. All it takes is one determined and influential person to create a social movement. Here is the fabulous story of Jenna Benn.

Jenna Benn, a beautiful and talented 29 year old from Chicago, was diagnosed with Lymphoma Cancer in December 2010. It took only a few seconds for a doctor to utter these words, ‘you have Cancer’, and consequently only a few seconds for Jenna’s life to be turned completely upside down. “The body that I had known for 29 years was no longer my own. I felt deeply betrayed by my body and was no longer able to identify with her.”states Jenna in her blog.

Jenna’s determination to crush Cancer led her to start a blog wittingly called Kill it in the Butt. Her blog was her outlet, her way of reaching out to the world and her way of sharing her story. As she was going through her numerous rounds of chemotherapy, Jenna was forced into isolation, mostly in order to protect her from external bacteria that could harm her already weak immune system. During this period of isolation, Jenna started dancing in her room as a form of emotional release. Undeniably, fighting Cancer takes a toll on one’s energy and ability to fight but Jenna is no ordinary fighter. She found an inventive way to help herself fight Cancer and inevitably to help other Cancer patients. It’s what I call the Jenna Movement.

The Jenna Movement is Born: Twist Out to Cancer

Jenna started twisting out to Cancer. Often, she would post on Facebook a video of her twising to the latest tunes. The response and support was overwhelming. Friends, family, and strangers started posting on Jenna’s wall offering support and guidance. People were watching, people were listening. Cleverly, Jenna decided to ask a favor from her community:

To help her cope, she asked her community via various social media outlets, to join her in her fight against Cancer by twisting out and posting videos on her Facebook page. Needless to say, she received an overwhelming amount of support and participants. So much so, that word got out about Jenna’s incredible journey and her innate way of influencing others. The Huffington Post, ABC, CBS, NY Times all wanted a piece of Jenna. Her inspiring story was making waves and was most importantly helping other Cancer fighters and survivors to cope. During this journey, Jenna was given the most incredible news. Her spirit, energy, strength and support helped her win the battle against Cancer.

Jenna is currently recovering from all her rounds of chemo. She is still blogging and sharing her story with numerous news channels. Her Twist Out to Cancer movement, started on Facebook, spread quickly and has reached thousands of people around the world. Twist Out to Cancer charity events, marathons, and press releases have become the norm now and Jenna is the leader of it all. She recently blogged about Mark Zuckerberg: Dear Mark Zuckerberg – Thank You For Getting Me Through Cancer. Her fight against Cancer was in large part influenced by the social platform Mark Zuckerberg created. Facebook enabled Jenna to communicate with loved ones around the world, to keep in touch with friends and family while in isolation, and above all, to start a Twist Out to Cancer movement that will forever help those battling Cancer.

Brands and companies should definitely be inspired by Jenna’s story. The power of ‘world of mouth’ and social platforms such as Facebook is incontestable. The power of being able to have a two-way conversation with people, with consumers is an incredible gift.

Use it wisely.

Jenna, I bow to you my friend. Mark Zuckerberg – I can’t thank you enough.

~ J.

Some of Jenna’s Press Coverage & Channels:

http://www.facebook.com/TwistOutCancer

http://www.youtube.com/user/bojo419?feature=mhee

http://twitter.com/#!/JennaBenn29

http://www.chicagotribune.com/news/columnists/ct-tribu-social-studies-cancer-column,0,3246324.column

http://www.huffingtonpost.com/jenna-benn/cancer-a-key-to-the-mind-_b_864146.html

http://abclocal.go.com/wls/story?section=resources%2Flifestyle_community&id=8171111

http://www.nytimes.com/interactive/2010/04/08/health/cancer-survivor-photos.html?ref=health#/4db886a5df72486ba8000002/

http://www.cbsnews.com/2300-204_162-10006851.html

When I bring up the Coach brand in a given conversation, I usually receive excited giggles and squeals. Yes, Coach does have that effect on people. With its colourful, fashionable, and accessible brand DNA, Coach knows how to attract consumers in large numbers, women and men alike. In fact, the Coach brand stands for quality, authenticity and value and has a truly aspirational, distinctive American style. But how does an ever-popular brand like Coach weather an economic recession? In the following blog post, we will take a look at a few key Marketing tactics that deemed successful for Coach, Inc.

History & Presence

Coach was founded in 1941 in New York as a family-run workshop. Now a greatly expanded and established brand worldwide, Coach continues to maintain the highest standards for materials, workmanship and fashionism. In America, Coach is renowned as a designer, producer, and marketer of fine accessories and gifts for women and men including handbags, business cases, luggage and travel accessories, wallets, outerwear, eyewear, gloves, scarves, fragrance and fine jewelry. There are currently over 400 Coach stores in the US and Canada. Coach leather goods are also available at over 940 department store locations in the US and at 182 international department stores. Coach aficionados can also purchase goods on the corporate website www.coach.com. Business was great until until December 2007 rolled around…

Dark Economic Times

According to the U.S. National Bureau of Economic Research, the recession began in December 2007. This financial crisis was linked to reckless lending practices by financial institutions and the growing trend of securitization of real estate mortgages in the U.S. A global recession resulted in a sharp drop in international trade, rising unemployment and declining commodity prices. For the retail industry, this dark moment in U.S. economy caused record-breaking declines in sales, inventories, consumer confidence, and stock prices. Companies such as Coach needed an action plan, and fast.

This is what Coach, Inc. Chairman and CEO Lew Frankfort had to say in 2009 about the recession and its impact on retailers: “For over a year, we have been addressing the very weak retail climate in the U.S. and abroad. We have adapted our pricing and product strategies to be successful in what will become the ‘new normal’. Consumers will have less credit than normal, will be saving systematically and will be overall more cautious.” Consumers became pessimistic about the future, they were visiting stores at a lower rate, and during their visits, they were purchasing less frequently. This required retailers to be more innovative, creative, and more value oriented.

Coach, Inc. Chairman and CEO Lew Frankfort

Coach’s Recovery Plan

In 2009, in order to respond to the ‘new normal’ when it came to consumer behaviour, Coach modified the range of its retail pricing and product mix to make its leather goods more accessible. After all, the recession brought about a phenomenon beaconed as the Lipstick Effect. The Lipstick Effect, is the theory that when facing an economic crisis, consumers will be more willing to buy less costly luxury goods. The important thing to take away here is that consumers are still willing to spend on accessible luxury goods during a recession. Consumers still have a need to pamper themselves, though in a much more sensible way.

Coach cleverly introduced in July of 2009, Poppy, a lower-priced line of handbags, shoes and other accessories. The Poppy collection is an accessible luxury line which ranges in price between $38 and $600. Poppy, often coined as Coach’s luxury line for recessionary times, required some product fine-tuning. The company’s corporate team wanted to explore new leather treatments, ones that would require the materials to be thinner, lighter, softer, and drapier. The team also wanted the brand name to look like it had been written in graffiti. Ironically, with the effects of the economic downturn, Coach benefited from a 15% drop in the price of leather. The Poppy design team considered 25 different materials and 15 Coach tags to hang on the purses. After a Manhattan based qualitative focus group comprised of young women was conducted, results explicitly showed that the Poppy DNA resonated with the young female demographic.

During its introductory period, the main Poppy collection was being tested in nine Coach stores and 23 department stores. For the first time, Coach let people make online purchases through Facebook. Coach also significantly changed its Marketing tactics to incorporate digital platforms on a greater scale. The brand became very active on Facebook and Twitter and partnered with several blogs. The company went as far as showing bloggers a preview of its new products and let them talk about them on their blogs. That most definitely created a buzz within the Gen Y consumer base. Prior to 2009, Coach had a history of sticking to print and outdoor advertising. “We’ve always been focused on traditional media,” said Mike Tucci, president North American retail for Coach. “What we’re really concentrated on is a diversified multimarketing campaign. We’re using new media as a platform, fashion blogs and in-store events. We really wanted to take a much more aggressive approach to Marketing (with Poppy).”

Poppy Goes Social

On July 1st 2009, Coach launch the “Are You a Poppy Girl” campaign on Coach.com. The program focused on viral Marketing and user-generated content with options such as designing a custom Poppy scrapbook page. Coach also redesigned its Facebook page, launched Twitter and launched a campaign on Yahoo.com. Coach also created a Poppy microsite, coach.com/poppy to kick off its e-commerce platform. To close the loop, the company also created a New York stunt where double decker buses were wrapped in Poppy signage.

Poppy Saves the Day

It goes without saying that Coach’s Poppy introduction was a timely one. Its clever price point, positioning, and advertising mix perfectly targeted the young gen Y user that still needed an affordable luxury fix during a tough economic climate. Coach Inc. successfully weathered the economic storm. In fact, the Coach stock was one of the most talked about stocks during this dark period, leading corporations to closely analyze Coach, Inc.’s strategies. You’ll notice on the chart below that the Coach stock plummeted at the start of the recession but regained stamina once the Poppy advertising and marketing campaigns were launched in July 2009.

COH - Coach, Inc. Stock 5 Year Trend

Coach lovers, I bet you enjoy the brand even more now that you know it has your back even when economic times are tough. I’d love to hear your Coach stories. What’s the latest Coach item you’ve purchased? What do you appreciate the most about the Coach brand? Share your comments below!

~ J.

Socialnomics by Erik Qualman

Wondering what to do while waiting for Hurricane Irene to pass? I’ve got a great read for you: Socialnomics by Erik Qualman. Qualman paints a realistic picture about how social media platforms are fundamentally changing the way businesses and consumers behave on a daily basis. As such, this shift in behaviour influences how individuals and companies interact with each other.

What is Socialnomics? Socialnomics is the world in which consumers and the societies they create online have a powerful influence on the economy and the businesses that operate within it. Qualman says it right: “Brands can now be strengthened or destroyed by the use of social media.”

In Socialnomics, Erik Qualman takes a look at the impact of social media on business. He explores how social media is changing the way companies are running their businesses. Here are a few passages that have particularly struck me:

- If Facebook was a country, it would be the third largest in the world only behind China and India.

- Social media eliminates millions of people performing the same tasks over and over. If a new father sees, via social media, 14 of his closest friends have purchased the same brand and model baby seat and they all express glowing reviews, he will not waste hours on research; this research and review process has already been done by the people he trusts. This recaptures billions of hours that can be redistributed toward the betterment of society.

- We no longer search for the new: it finds us. 

- The power of Socialnomics isn’t just online; it can also drive activity in the opposite direction- to the offline world. This makes sense because the roots of social media and the social graph come from an offline world (book clubs, garden clubs, athletic clubs, etc.)

- Watercooler conversations are now happening in real time. There’s no longer a need to wait until Monday morning to catch up because the speed of social media already has us well informed.  ( my favourite analogy! ~ J. )

- Social media is more of an ‘and’ thing than an ‘or’ thing.

- In a study conducted by Jupiter Reasearch in 2009, it was found that 50% of Internet users consulted a blog prior to making a purchase. A Nielson Study indicated that an outstanding 81% consulted reviews prior to their holiday purchases. 78% of us trust peer recommendations (July 2009 Nielson Global Online Consumer Survey) while only 14% of us trust advertisements (Marketing to the Social Web by Larry Webber, Wiley Publishing, 2007). 

- Currently, the social media networks don’t allow for much customization. How can-non-customization be a good thing? For small business owners, this places everyone on a level playing field, which means it comes down to the product you’re selling versus the glitz and flash of your website.

- Word of mouth now has become World of Mouth.

- People are simply compelled to give back to a community that has given to them.

- Consumers are taking ownership of brands and their referral power is priceless.

- “You can’t just say it. You have to get the people to say it to each other”. – James Farly, CMO Ford.

- “Our head of social media is the customer.” – McDonald’s

“Social media isn’t a fad. It’s a fundamental shift in the way we communicate.” – Erik Qualman.

On that note dear readers, see you at the virtual watercooler.

~ J.

To buy this book: http://amzn.to/fM3AHX

Reviews:

“It’s obvious that Erik Qualman’s passion is social media.”
—Dan Heath, New York Times bestselling coauthor of Made to Stick and Switch

“People are hot for social media . . . Erik Qualman says it’s about listening first, then selling.”
—Forbes

“Erik Qualman has been doing his homework on the social media phenomenon.”
—The Huffington Post

“This is a must-read for anyone trying to leverage the social graph rather than be squashed by it.”
—Steve Kaufer, CEO, TripAdvisor

“You learn a lot about someone from how they treat their moms. Erik is a trustworthy guy.”
—Chris Brogan, New York Times bestselling author of Trust Agents and Social Media 101

Be well Steve Jobs. You will be missed…

Which case will it be? Vote now!

Thanks for voting!

~ J.

The coffee of the people: that’s how I perceive Starbucks. I strongly believe that Starbucks had a significant impact on the development of the social community. I grew up with Starbucks and was always drawn by its love for people and for its willingness to provide unforgettable social experiences. I spent countless hours studying at Starbucks during my University years and guess what, I ended up meeting a host of new people, simply through one common interest: the love of coffee, Starbucks coffee.

Quick Starbucks stats:

- Present in over 55 countries around the world.

- Has over 17,000 stores worldwide

- Has approximately 137,000 employees.

- Over 24 million likes on Facebook

- Over 2.5 million Facebook check-ins worldwide

- Over 1.6 million Twitter followers

What’s not to like? Starbucks owes much of its success to Chairman and CEO Howard Schultz. Mr. Schultz is a man with a plan and when Starbucks was losing steam in 2006, he quickly came back and turned the company around. What happened? The business efforts became diluted and the company was growing at too quick a pace. It’s core brand promise, to provide consumers with an unequivocal social experience, was being undervalued by upper management and employees. It was time for Mr. Schultz to make a change. After halting store expansion, reorganizing management staff, and implementing training sessions for baristas, Mr. Schultz helped Starbucks find its spark again.

The campaign of the people:

Starbucks even had a role to play in encouraging the American people to vote during the 2008 presidential elections. With the help of agency BBDO it ran a 60-second ad that played mostly on emotions:

You & Starbucks, it’s bigger that coffee. If you care enough to vote, we care enough to give you a free cup of coffee. Starbucks invited consumers who voted on election day to visit a Starbucks store to redeem their complimentary tall cup of brewed coffee.

The campaign saw an influx of controversy on its social media platforms. Rumors started spreading that Starbucks was trying to influence how people voted. Starbucks then quickly responded to this by offering free coffee to any customer who requested it on Nov. 4th. Overall, the campaign succeeded on several fronts:

- Starbucks served more than 2 million cups of coffee on Nov. 4th (two and a half times more than on a typical weekday)

- The company saw an incredible sales increase in pastry products

- An undeniable sense of community was restored at store level

It goes without saying that a great social media story unfolded from this campaign. After the 60 second TV spot aired only once the Saturday before the elections, during SNL programming, activity on Starbucks’ social media sites was buzzing. Not only did Starbucks send an e-newsletter to all cardholders, but it also started campaigning on Twitter. Starbucks also launched its official Facebook page as this election campaign unfolded. To help fuel its Facebook page fanning and engagement, Starbucks purchased a series of ads. One Facebook ad showcased the actual election video and another invited people to come to a Starbucks store atfter they voted in order to redeem their free cup of coffee. People were also asked to RSVP to this 1-day event, triggering activity in consumer news feeds and on their profiles. The campaign was quickly becoming social by design. In total, 89 million people were exposed to the election campaign in some way, with Facebook fueling the widespread exposure.

Starbucks continues to cater to its consumers by actively responding to their needs. The company currently has in place a very successful loyalty program and has responded to the need to have more “green” in-store materials. As well, in a recent partnership with Apple, Starbucks has refined its iTunes pick of the week program to include iphone apps, samples of books from the iBookstore, television episodes and other mediums. The company also continues to engage with its consumers on a regular basis on social platforms such as Facebook and Twitter. In fact, its Facebook page is continuously featured as a top contender for best corporate Facebook page.

In sum, Starbucks has successfully restructured its business and Marketing platforms in order to stay true to its brand promise and cater to consumer needs. No other brand has been able to create a similar online and offline social experience.

I drink to you Starbucks.

~ J.