• by Karl Greenberg , October 16, 2008

If the powers that be had decided to hold this week's annual Association of National Advertisers conference at a Motel 6 instead of at the Ritz, the food wouldn't have been as good, but the symbolism would be correct. Isn't the economy finished? By next month, won't we be cooking with Coleman stoves and living in tents?

While CMOs from blue-chip companies like Coca-Cola, Procter & Gamble, Bank of America, Amex, Nike and General Mills will "go to battle with the PowerPoint presentations they have," to paraphrase Donald Rumsfeld, there's little doubt that they will also fight any idea that these desperate times mean branding has to cede ground to a price war and commoditization of everything on every shelf.

Ironically, the theme for this year's conference is "Growth." Ow. Well, growth will be redefined at the conference.

The show kicks off with P&G Chief Marketing Officer Jim Stengel, which is probably a good idea. Procter & Gamble has actually weathered the market fairly well--considering, with stock price varying between $52 and $72, give or take. Yes, last month the company's price took a hit like everyone else's, but P&G has the kind of commodity-product diversity that serves as financial pontoons in rough seas. Yes, you may skimp on that HD TV, but maybe not on toothpaste.

Mike Mendenhall, CMO of Hewlett-Packard, will speak on how the company, which merged with Compaq in 2002, reinvented itself as a tech company.

Commodity and feedstock price increases and legal constraints around marketing to children SHOULD be putting a lid on General Mills' growth plans. Not so, says General Mills marketing chief Mark Addicks, who is set to discuss how backing the Food and Beverage Initiative helped the company's market position.

It is likely that the presentation by Bank of America CMO Anne Finucane will be packed. Bank of America, for anyone who has been living in a Trappist monastery for the past few weeks, is still afloat after having acquired Merrill Lynch following the failure of Lehman Brothers. The preview blurb says she will talk about how the brand "broke through the clutter and became one of the largest banks in the United States." She will also talk about how the bank is dealing with today's situation.

Robert Passikoff, chairman of New York-based Brand Keys, says that in a recent Brand Keys study on the segment that looked at brands from the perspective of trust, "Bank of America was number one on the list"--adding that Citibank, by contrast, was not. He said the issue was Citibank's play for Wachovia. "Citi looked like raiders. Not like white knights. They have been notoriously bad at establishing image in terms of continuity."

American Express SVP Claire Bennett will talk about consumer engagement as a platform for growth, via "affinity branding" with events, concerts, Webisodes, and charities. Also on tap: how Amex is using new media to fuel affinity marketing.

"It's not business as usual, and most of these folks need to have a better fix on consumer values," says Passikoff. "They have magnificent fixes on brand perspective--but as long as things were running smoothly they manage most of them, they muddle along doing what they always do--but in this environment a brand becomes a commodity. Unless you are able to imbue the brand or communication with some level of engagement or meaning."

Engagement is central to a joint venture between Unilever, Procter & Gamble and Stop & Shop, which will do a show and tell at the ANA: the three did a co-marketing program designed to bring shoppers to, and through, the entire store--which, per the companies, resulted in larger sales per trip. Lisa Klauser, VP consumer and customer solutions at Unilever, and Stephen Vowles, SVP/marketing at Stop & Shop, how the collaboration aimed to create sustainable growth, new purchase behavior across categories, and appreciation from shoppers.

Wes Brown with Iceology, Los Angeles, agrees with Passikoff that when times get more difficult--up to a point--brand equity becomes more, not less important. "You could make the argument that branding may be more important if I am having to fight that much harder for consumers' dollars. If you want to make the assumption that because of the economy consumers will be that much tighter on spend, one needs to find an even better way to connect with consumers, because if it becomes a price war all prices will become equal."

Indeed, Joaquin Hidalgo, CMO of Nike, and Bob Greenberg, CEO of ROI at R/GA, will argue the point in a discussion on connecting with consumers.

Brown says that at least in the short term, "from an ad and positioning perspective, marketers will have to make people feel more strongly about why their products and brands are worth it." He says value messages will have to come to the fore depending on brand and market category. The tone will have to be a value message.

As for banks and financial firms, Brown says messages should communicate trust, honesty, openness and credibility. Or they shouldn't advertise, period. "Banks, even Wells Fargo or Bank of America, are guilty by association. The attitude of consumers toward the investment industry is so negative, you are better off not saying anything."