In a rare display of togetherness, the U.S. Supreme Court dealt the National Football League a major marketing setback, saying the NFL and its 32 teams can be sued under antitrust laws. The case, "American Needle vs. The National Football League," deals with the NFL's decision in December 2000 to grant exclusive licenses and its 10-year contract for hats with NFL logos with Reebok International. That caused American Needle, a licensing apparel company based in Buffalo Grove, Ill., to lose its licensing deal, and it sued. An Illinois court threw the case out, but the Supreme Court's ruling means that American Needle and other companies are now free to sue the NFL under antitrust provisions if they choose. "It's a very narrow ruling and doesn't impact the entire licensing business," Oliver Herzfeld, chief legal officer for Beanstalk, a licensing agency based in New York, tells Marketing Daily. "But it does mean that major sports leagues cannot automatically assume that they can grant licenses for the entire league and escape exposure to antitrust claims." Interestingly, baseball is the exception, and has been protected as a single entity since 1922, says Herzfeld. (That decision was written by Justice Oliver Wendell Holmes.) "The fact that the NFL teams share an interest in making the entire league successful and profitable, and that they must cooperate to produce games, provides a perfectly sensible justification for making a host of collective decisions," writes Justice John Paul Stevens in the decision, but he also says "the NFL teams do not possess either the unitary decision-making quality or the single aggregation of economic power characteristic of independent action." "Each of them is a substantial, independently owned, independently managed business, whose 'general corporate actions are guided or determined' by 'separate corporate consciousnesses,' and whose 'objectives are' not 'common.'" Reuters reports that of the $7.6 billion in total revenue generated in 2008 by the NFL, about $4.5 billion came from revenue sources with prices independently set by individual teams.
Toyota's Scion division is trying something completely different. The brand's next-generation tC coupe doesn't come to market until the fall, but it is hoping to get 20-somethings talking about it with a Web-based cross-country journey, "Unlock the tC Road Trip." The eight-week-long campaign elaborates on the Scion brand philosophy that the car is a vehicle both for moving around and for expressing oneself. In the game at UnlockthetC.com, players have to navigate from New York to Miami, with a final destination in Los Angeles. As players "drive" from city to city, they can personalize their tC's at dealerships using a currency called tCoins, which players can earn by getting friends to join the game via routes like Facebook Connect. The latest version is also the second generation of the tC, which first launched in 2004. In each of the eight weeks, there is a different road trip and 140 daily prizes. Leaderboards will track player standings. At the end of the online competition, four finalists will be flown to Los Angeles for a VIP event on Aug. 14 to compete in a real-world competition, where one winner will receive a 2011 tC. The effort is via Haley Miranda Group, which developed the contest and the Web site, social media marketing agency American Pop, which will be promoting the program, Beyond Marketing Group, and PR firm Rogers & Cowan. Jack Hollis, VP of Scion, tells Marketing Daily that the program is intended to build awareness with a specific crowd -- young people who spend a lot of time on the Web. He says the tC has the youngest median-age buyer -- around 25 -- of any vehicle in the industry. Scion is also the youngest brand in the industry in terms of the median age of its buyers. "We have to do things, obviously, that are much more innovative -- non-traditional," he says, adding that the program is designed as a "pull" marketing program that people should want to get involved in. "These are mostly males, who spend a lot of time online, are socially connected in all digital social-media outlets; they are not just gamers, but fans of emerging startup sites as well." Nancy Inouye, Scion advertising manager, says the company is promoting the game through social media. "We are not just mobilizing our fan pages -- we have 20,000 fans -- but also Twitter, and our Scion influencer network, and blogs," she says, adding that the game will get mileage via other digital channels as well as within dealerships. And per Inouye, there is dealer integration in the game: registrants can also opt in for information from a dealer. Scion is also getting handraisers through its lifestyle programs and has run a pre-registration program for the car for the past three weeks. She says in the first two weeks, 1,000 consumers registered for information about the car, with 10% asking a dealer to contact them directly. Says Hollis: "The whole goal was to do something that was slightly different from the traditional launch of a car, that has both branding elements and personalizing. What's cool is, it pays off with a real-world car." Hollis says Scion, which has sold some 770,000 vehicles since the brand launched, has succeeded in winning younger people to Toyota. "Three-quarters have never purchased a vehicle from Toyota, Lexus or Scion, and 50% are staying in the brands for their next vehicle."
Kraft Foods this week is launching its most significant campaign in several years for Bull's-Eye barbecue sauce. The marketing push, which emphasizes flavor boldness with its tagline "The Bold Choice," is reaching out to influence the males -- who still do most of the barbequing and who in turn influence the women, who still do most of the grocery shopping -- via radio, digital channels, male-hosted home BBQ parties, sampling and in-store promotions. The decision to invest in a new campaign for the brand, which is also launching four new flavor varieties, was based on the growing popularity of barbecuing, reports Bull's-Eye brand manager Noelle O'Mara. That growth is being spurred both by the economy-driven trend to more eating at home, and by consumers' interest in chicken as a healthy main course and their desire to find tasty new ways to prepare it, she notes. The efforts include 30- and 60-second radio spots asking guys what kind of men they are when it comes to BBQ sauce -- bold or sweet -- and urging them to make "The Bold Choice." Those will air in more than a dozen markets this week through August. "We want to communicate that the kind of sauce a man chooses says a lot about him," says O'Mara. "We know that our key consumer loves having a barbecue and that he's known as a great host among his friends. Our message is that Bull's-Eye can help him be the best host because it's great right out of the bottle: 'You're a bold guy, you should choose a bold sauce.'" The same core theme is being conveyed via just-launched broadband videos (used as pre-rolls to content videos) and banner ads on heavily trafficked sports Web sites such as FoxSports.com, CBSCollegeSports.com and GolfLink.com. Bull's-Eye's new message/promotions are now also being featured within Kraft Foods' Facebook fan area and its Twitter presence, and the brand's own site will by the end of June be updated to feature its expanded varieties (the regionally inspired new flavors include Texas, Carolina, Memphis and Kansas City styles), new recipes, and its radio and other new marketing efforts. On June 26, Bull's-Eye will drive its new message and expanded varieties home by offering male BBQ aficionados the opportunity to host their own free home BBQ parties. About 2,000 of these parties, created/executed by House Party, Inc., will take place across the country on that day. Guys who are chosen to host will receive free party packs that include bottles of Bull's-Eye sauces, branded grill caddies, shot glasses and drink koozies, coupons, a party-game guide and a "bold BBQ soundtrack" (courtesy of eMusic). Sampling at Major League Baseball games and other targeted venues will start in June. In addition, about 15 of Kraft's distribution trucks -- fitted up with "bull's eyes" featuring the brand's horns and hooves motifs -- will create additional presence around the country for Bull's-Eye and its "Make the Bold Choice" message. In stores, Bull's-Eye will be offering shippers with high-value coupons and some instant coupons.
The Hartford is the top auto insurance Web site, according to Web researchers Change Sciences Group, based on ease-of-use, content quality, use of social media and persuasiveness. The New York-based company released a 70-page report ranking the Web sites of 17 top auto insurance carriers. Rounding out the top three were Liberty Mutual and Progressive. "With The Hartford topping our ranking for the first time, traditional carriers are clearly beginning to catch up, and even in some cases, surpass major direct-to-consumer players like Progressive and GEICO," says Pamela Pavliscak, a Change Sciences partner, and one of the authors of the report. The Hartford hits its mark by reducing effort wherever possible, and presenting the right messages at precisely the right time, according to the study. "Getting the rate quote process right is notoriously difficult and is a moving target," Pavliscak tells Marketing Daily. "The fact that traditional carriers are catching up clearly demonstrates that. Sites that had the best rate quote process a year ago have fallen behind because the way that these sites address consumer needs is constantly evolving. It's not like all the processes are more or less the same. For example, the longest rate quote process requires roughly twice as much effort as the shortest." The sites at the top of the list practice what Change Sciences considers "hyper usability," with a focus on reducing user effort. In the last year, almost every carrier has added an interactive tool to help consumers sort out coverage options and make recommendations. However, only a few have figured out how to make the tools quick and easy and lead effortlessly to the quote process. Once there, only a few sites excel at keeping consumers motivated throughout the entire quote process, according to the study. Roughly 76% of sites fail to answer at least one question that users have, while 24% have content problems that make information difficult to understand for some users. All sites lack some content that some users consider persuasive, while 59% have instances of navigation design that pose challenges to some users. About 12% of sites have instances of visual design that are perceived by many users to be less than professional, while 12% have visual design elements that are perceived as inconsistent. About 6% of sites have visual design elements that are perceived as less than welcoming, and 47% ask users to do things that many see as annoying. The complete list of sites included in the research were 21st Century, AAA California, Allstate, Amica, Esurance, Farmers, GEICO, GMAC Insurance, Liberty Mutual, LowerMyBills.com, Nationwide, Progressive, Safeco, State Farm, The Hartford, Travelers and Unitrin Direct. The new report is based on Change Sciences' Kantuit interactive user experience modeling technology and process.
Genesee beer, a brand that is trying to climb out of the purgatory of nearly forgotten blue-collar brews that have the odd status of being so out they're almost in, is taking that irony to a campaign for its new light beer, Genny Light. Intended to compete with regional brands like Keystone and Yuengling, the brand will make fun of -- and give a blue-collar twist to -- top-tier brands' affinity for big-bucks sports sponsorships. But instead of sponsoring a concert, sports figure, league, car or entertainment property, Genny Light is sponsoring a fictive regular Joe, or "Chet," in this case. The campaign, via Portland, Maine-based Via Group, comprises radio, point-of-purchase, social media and online videos that posit the brew as "Official Beer of Chet Hammerton." Hammerton, invented by the agency, spouts "Chet-isms" at www.ChetHammerton.com, appears in videos and generally is intended to evince the American-blue-collar-dude ethos. Aimed at 21- to-45-year-old men, the campaign comprises four radio spots -- all featuring Hammerton -- that will air in 18 markets across New York, Ohio, Vermont, Michigan and Pennsylvania through the summer. Online is a video and social media campaign that includes the Web site as well as Twitter and Facebook. Videos on YouTube, Vimeo and Blip.tv have Hammerton doing foolhardy things like eating the world's hottest chili pepper, after which he runs to the fridge -- whose shelves are lined with Genny Light beer -- chugs milk, and sprays whipped cream down his throat to ease the pain. Radio ads say: "Here at the Genesee brewery, we recognize Genny Light not as the sponsor of any trendy nightclub, concert tour or rodeo, but as the official beer of Chet Hammerton," after which Hammerton reels off working-guy wisdom. In-store elements feature a life-sized Chet Hammerton that speaks to passersby, saying things like: "If I wasn't made out of cardboard I would personally put a 30-pack of Genny Light in your grocery wagon and we would become best friends." The lead brand, Genesee, is sponsoring a summer rock concert called "Rock the Cans" next month at the brewery, a six-hour event featuring bands like the Gin Blossoms and Soul Asylum. The Rochester, N.Y. brewer, founded in 1878, was acquired about a year ago by KPS Capital Partners' NAB, which also grabbed Labatt USA and merged the two companies, investing some $16 million in growth and expansion -- $10 million into operations and $6 million for marketing, per the company. NAB also handles licensing of Seagram's Escapes. Via Group won the NAB account last year.
Mountain Dew took three new Dew flavors to fans, asking for feedback on placing ad media buys. The move represents the latest in a series of attempts through Dew Labs to turn over the entire product development cycle and marketing process to consumers who love the brand most. The year-long project now asks Mountain Dew lovers to guide the media-buying process after creating the products and designing the marketing campaign. Through the DEWmocracy project, Mountain Dew polled the 4,000 Dew Labs members about their favorite Web sites. Gathering that information, Mountain Dew invited the potential media partners to pitch the DEW Labs community. Entertainment Web sites CollegeHumor, The Onion, Crave Online, and Funny or Die became Mountain Dew Media Partners after DEWmocracy members were asked in February to name their favorite Web sites. At CollegeHumor, the group created a campaign that emphasized the ultimate road trip. For each Dew flavor, the site will come up with three video ideas, and then it's up to those in the DEW Lab to decide which one they want to see. The three videos will post to the CollegeHumor site and allow users to decide their favorite. The flavor that wins dictates where the group goes on the road trip. The group will film all of its popular series. The CollegeHumor cast will tweet clues on Twitter as to their specific location, but it's up to DEW Lab fans to find them. One lucky fan will get a chance not only to ride in the CollegeHumor tour bus, but also to star in a segment of "Hardly Working." That's if CollegeHumor wins the media pitch challenge and the members of the DEW Labs vote them in. It turns out the road trip gets underway this week. The team will meet up with the DEWmocracy Flavor Teams already on the road. The Distortion video that CollegeHumor created received the most "likes," so the team will meet up with the Mountain Dew's group on its Flavor Campaign Tour in Cincinnati this week. Mountain Dew, whose parent company PepsiCo shunned this year's Super Bowl in favor of advertising on social media, has been rallying soft drink fans not only to create and name the Dew flavors, but to market them too. Since last year, competing teams chose flavors, voted on new drink names, spread the word on Twitter and Facebook, inspected commercials and organized stops for the sampling vehicle. "Between 70% and 90% of the more than 4,000 members have responded throughout the process," says Brett O'Brien, Mountain Dew's marketing director. The vans with marketers and fans recently set out across the United States representing each flavor -- Typhoon, Distortion, and White Out. Consumers can track the vans through the DEWmocracy Web site. A map link to the Twitter page provides geographic location. Technology and social media give the travelers the ability to tweet their location and have fans nearby join them for a little fun and a taste test. The iPads in the trucks allow fans to vote and have their preference added to the tally in real-time. Designed by consumers, Mountain Dew's three new flavors hit store shelves three weeks ago. Voting on the flavor will continue until June 15, and on Labor Day the next permanent product created entirely by Dew drinkers will debut. The first DEWmocracy initiative began in late 2007, allowing consumers to create flavor, color, name and graphics. About 1 million participated in the process. The result was Voltage, a citrus-flavored beverage that came to market in January 2009. DEWmocracy 2 followed in July. The idea to give the brand's fans another outlet to express their passion created an ongoing dialogue between the brand and DEW drinkers by leveraging social media and giving consumers a voice. The DEWmocracy platform has become a pedestal for collaboration among fans, as Pepsi loosens control and turns over the creative process and marketing to those who dig deep into their pockets to support the brand. "We don't plan to continue to outdo ourselves," O'Brien says. "It's really about keeping the lines of communication open."
Percentage of Jack Daniels drinkers more likely than the average American adult to: 1 Use cigarette rolling papers +311 % 2 Smoke cigars +260 % 3 Play billiards/pool +175 % 4 Shop at Men's Wearhouse +173 % 5 Participate in football +170 % 6 Participate in softball +160 % 7 Participate in a fantasy sports league +154 % 8 Listen to or purchase Hard Rock music +149 % 9 Agree that radio keeps them up-to-date with the latest styles and trends + 53 % 10 Believe that seeking adventure and risk is very important + 49 % Source: GfK MRI Survey of the American Consumer, Fall 2009
Summer is finally around the corner -- May is just about over, and most of you are already preparing your Memorial Day weekend plans -- headed to the beach, backyard BBQs, picnics in the park, and so on. So as we celebrate, let us all remember that these activities are in commemoration of those that have served and given their lives for our country, acts of courage and bravery well worth celebrating! But, did you know that just a few weeks after your Memorial Day celebration, thousands of young African Americans and their families will celebrate Juneteenth all across the country? I'm assuming some of you are scratching your heads right now -- Juneteenth? Well, one of my clients scratched his head, too, when I recently referenced Juneteenth in a meeting. I was providing recommendations for the brand to tie its efforts around local market events this summer to reach young adult African American consumers and Boston was one of those markets. Boston may not top the list of the nation's mecca of multicultural movement. However, the recommendations came relatively easy and, as a part of my list, I included Juneteenth, of which the awareness and celebrations happen to be very prevalent in Beantown. Fortunately, the event recommendations for my client were very well received, although I did hear back from him inquiring to hear more about Juneteenth and what it's all about. This piqued my curiosity and prompted me to ask a few other clients, colleagues, and peers if and how they celebrate Juneteenth. What I quickly came to realize is that a lot of people aren't aware of this historical celebratory event. According to www.juneteenth.com, "Juneteenth is the oldest nationally celebrated commemoration of the ending of slavery in the United States. It commemorates African American freedom and emphasizes education and achievement. It is a day, a week, and in some areas, a month marked with celebrations, guest speakers, picnics and family gatherings." Many African American families and communities treat this holiday as a cross between Memorial Day and Thanksgiving. Since it takes place in June, it often involves outdoor celebrations at parks, beaches, or simply the back yard. And much like Thanksgiving, it is typically a large gathering of family and friends. Many families schedule their family reunions around this holiday. It's truly a time to reflect on our history and take those events and experiences to use as an educational component and cultural connector while also serving as an inspiration and motivator to continue to look ahead and fuel our future. As we creep into June, I thought the timing was appropriate to share this bit of history and why I think it's relevant to marketers. Brands should not lose sight of how important it is to identify and establish a meaningful cultural connection with African American consumers. It is obviously not strictly about cultural connection when it comes to African American consumers, but it is a nuance that matters. Based on our recent research exploratory, "The New Black," we understand that young, Millennial-aged black consumers are part of a New Era, with New Expectations of themselves and New Expectations of brands, and they do not define themselves simply by their race. But they also understand and recognize that their history, their race and their culture all play a big part in who they are. Our research also reinforces how important the attributes of Expression, Discovery, Connectivity, Creativity and Openness apply to The New Black consumer. So, I encourage brands to strongly consider a Juneteenth strategy or approach when exploring summertime activations to connect with African American consumers. The holiday gathering delivers against all the attributes of Expression, Discovery, Connectivity, Creativity and Openness addressed in our recent findings and, quite simply, it reflects your brand's knowledge of the culture, your brand's interest in what's important to them, your brand's desire to celebrate with them and your brand's ability to empower them. Make your Memorial Day weekend a memorable one and Happy Juneteenth!