Thursday, September 14, 2006

Channel Dimensions

There seems to be adequate reasoning to suggest that the solution requires us to take a multi-dimensional look at the variables that can possibly influence the relationship between a brand and an end-user.

If the relationship can be broken down into its parts and the effectiveness of each measured then once again we can begin to apply some science to an area which has traditionally left MDs irritated and marketing departments the subject of much mirth.

There are of course many more reasons to look beyond the 8 dimensions I consider in my modeling but at least we have a starting point.

Brand
Channel
Sales
Customer
Retailer
Field
Purchaser
Consumer

We need to introduce the concept of there being a necessary level of performance for each dimension before we can then focus on our winning strategy.

Simply map the score for each dimension and then decide which dimension you will develop to cement future growth and success. Easy hey?

Channel Dimensions

There seems to be adequate reasoning to suggest that the solution requires us to take a multi-dimensional look at the variables that can possibly influence the relationship between a brand and an end-user.

If the relationship can be broken down into its parts and the effectiveness of each measured then once again we can begin to apply some science to an area which has traditionally left MDs irritated and marketing departments the subject of much mirth.

There are of course many more reasons to look beyond the 8 dimensions I consider in my modeling but at least we have a starting point.

Brand
Channel
Sales
Customer
Retailer
Field
Purchaser
Consumer

We need to introduce the concept of there being a necessary level of performance for each dimension before we can then focus on our winning strategy.

Simply map the score for each dimension and then decide which dimension you will develop to cement future growth and success. Easy hey?

Tuesday, September 05, 2006

Channel Brand Conflict

There is a giant black chasm. The brand team are on the campus talking media, ideas, big spend, and some new funky stuff to surround the consumer in a unique and exciting experiential way. The sales guys? They are out. They are meeting the main grocery buyers. They are managing stock and helping move it through key outlets. They are promoting on price. They are bundling deals. They are creating more value and supporting the trade at every opportunity.

The brand battlers. The brand team know their work is going to see their brand grow and develop. Their work is almost done. The job is now resting heavily on the shoulders of the sales team. The sales will happen won't they? The products will just fly off the shelf, won't they? The brand has never been stronger.

The puppy dogs. The sales guys don't want another TVC. They don't won't a really cute campaign that is going to get us front page news. They don't want awards. They want the trade to give them support. What can they do to engage the trade? More advertising? No. The trade want exclusive support. They want a Harley Davidson on display, because the buyer has always liked them. They want a brilliant promotional activity that will be exclusive and unique. They want innovation and category support. They want better margins.

The fact is that there is a huge black chasm that exists. Brand want one thing and sales another. They rarely agree and find it hard to compromise. Surely there is an optimal position of compromise.

My belief is that you can plot on the same axis what happens to brand and channel values when the ratio of brand spend to channel support swings in favour of the channel. As a result we can begin to understand where the optimal position of compromise is. We can understand where we are and where we need to get to. We can build strategies to help us get there and then begin to play with the variables that define the two said curves of values.

It is an utterly intriguing space. Unilever, Vodafone, Virgin, LG Electronics and Blackmores have all expressed interest in a model that can be applied across a multitude of categories. It can lead to longer term measures and assist in evaluating beyond traditional media and brand measures.

The outcome is simply greater understanding and the tools to help a business move strategically and creatively in the right direction. The sales and brand conflict turns into a meaningful and deeper relationship based on real measures.

I thank our partners in this wonderful journey as we build the Harmony Model - Pollinate, Kinergy, Octane Marketing and of course the team at Bamboo Marketing. If you would like to know more or have something to contribute please feel free to respond or to contact me - Mark Alexander, Bamboo Marketing on 02 9280 2440.



Channel Brand Conflict

There is a giant black chasm. The brand team are on the campus talking media, ideas, big spend, and some new funky stuff to surround the consumer in a unique and exciting experiential way. The sales guys? They are out. They are meeting the main grocery buyers. They are managing stock and helping move it through key outlets. They are promoting on price. They are bundling deals. They are creating more value and supporting the trade at every opportunity.

The brand battlers. The brand team know their work is going to see their brand grow and develop. Their work is almost done. The job is now resting heavily on the shoulders of the sales team. The sales will happen won't they? The products will just fly off the shelf, won't they? The brand has never been stronger.

The puppy dogs. The sales guys don't want another TVC. They don't won't a really cute campaign that is going to get us front page news. They don't want awards. They want the trade to give them support. What can they do to engage the trade? More advertising? No. The trade want exclusive support. They want a Harley Davidson on display, because the buyer has always liked them. They want a brilliant promotional activity that will be exclusive and unique. They want innovation and category support. They want better margins.

The fact is that there is a huge black chasm that exists. Brand want one thing and sales another. They rarely agree and find it hard to compromise. Surely there is an optimal position of compromise.

My belief is that you can plot on the same axis what happens to brand and channel values when the ratio of brand spend to channel support swings in favour of the channel. As a result we can begin to understand where the optimal position of compromise is. We can understand where we are and where we need to get to. We can build strategies to help us get there and then begin to play with the variables that define the two said curves of values.

It is an utterly intriguing space. Unilever, Vodafone, Virgin, LG Electronics and Blackmores have all expressed interest in a model that can be applied across a multitude of categories. It can lead to longer term measures and assist in evaluating beyond traditional media and brand measures.

The outcome is simply greater understanding and the tools to help a business move strategically and creatively in the right direction. The sales and brand conflict turns into a meaningful and deeper relationship based on real measures.

I thank our partners in this wonderful journey as we build the Harmony Model - Pollinate, Kinergy, Octane Marketing and of course the team at Bamboo Marketing. If you would like to know more or have something to contribute please feel free to respond or to contact me - Mark Alexander, Bamboo Marketing on 02 9280 2440.