0861 247 328

Martin Lindstrom on the high cost & extreme stickiness of free stuff

/in ,

“$2 billion dollar revenue generated for Apple from free stuff” – “This is neuro-marketing at its best,” says Martin Lindstrom.

SAB get this. Just last week they created a new love affair with an obsessive fan of their competitor. They applied Martin Lindstrom’s evidence that scientifically proves what happens when free stuff triggers an unconscious response in the lateral prefrontal cortex – the area that generates emotion.

Just last week, I got to see how SAB  use free stuff.  Picture this,“ a-can’t- wait- for- Friday- beer-o-clock”,  guy in the queue buying his regular “Friday-beer- o-clock”-non-SAB brand six  pack. A SAB rep happened upon him by giving him a Castle Draught six pack, “Here, why don’t you try this? It’s on the house”, he said.  And it was contagious – lateral prefrontal cortex smiles all round, including the other people in the queue.

Apple took the legendary free Gillette strategy to a whole new level – the razor and the blades are free –  Free app, free game … you only pay when you want to be recognised as a gamer that has liberated the cute creatures. Not convinced – It is estimated that 65% of the revenue generated in the iTunes store comes from free games = $ 2 billion per year.

Some more food for thought – how 2 cents impacts sales by 222%

And free stuff is not all – Martin has studied the psychology behind the sweet spots of pricing.  A Chicago grocery store dropped the price of margarine from 89 cents to 71 cents – sales improved by 65%. When they dropped the price by just 2 more cents to 69 cents, sales jumped by 222%.

Take away the $ sign and your customers will spend more

So couple this with his other research which shows that stores who mark their goods with a $ or R or £ sign are creating a very unpleasant emotional response – one linked to our consumers purses/ wallets leading us to believe that the item in question is more expensive than it actually is.

Brand Marketing Secrets for Africa

/in , ,

Martin Lindstrom has done millions of dollars of research and predicted new brand marketing strategies to tap the African market.

According to a recent McKinsey study on the rise of the African Consumer, private consumption in Africa is higher than in India and Russia. It is anticipated that consumer facing industries are expected to grow to more than $ 400 billion by 2020.

So how do you tap into an emerging optimistic consuming class?

Here is what Martin and McKinsey have to say:

Martin Linstrom McKinsey Study 2012
Is obsessed with brand ROI Quality and Brand Matters
Studies the psychology behind the sweet spots of pricing Price Matters
Says you must get your house in order as the concept of privacy is radically changing Surging digital usage
Predicts that offline social branding is the next big thing after online Word of Mouth is enormously important
Says opportunity 101 to create conversations with your consumers in Africa Mobile and Digital connectivity is surprisingly high
Says you must create a love affair with your consumers, by becoming their obsessive fan Brand loyal customers are willing to pay more

How Your Enemies Power Brand Innovation

/in , ,

Pepsi’s epic war with Coke and Apple’s public dust ups are evidence that enemies power brand innovation.

According to Martin Lindstrom, “Had Pepsi and Coke, not had each other, the chances are that their brands would not have spread to more than 100 countries around the world. The retired executives of both these companies claim that the real reason why their brands achieved world dominance was in the fighting words of one exec, “Every day we went to work, we went to war.”

Think of 2 successful brands that chose to win support by deliberately positioning themselves as the underdogs. Apple used “I’m a Mac, and I’m a PC commercials ”. Avis positioned itself as number two with a slogan we try harder. In 2013 it is still working hard at it.

Do you deliberately identify your competitors as your enemies and use this declaration of war to inspire innovation when it comes to your brand. Declaring war can be very good for your health.

According to Warren Buffet, “Your premium brand had better be delivering something special, or it’s not going to get the business.” In all probability it could be your enemy that will be the grateful recipient of the business you just gave away.

FNB did this – they “declared war on all of the other banks” –  which has inspired innovative products, services and marketing strategy. They are at war daily and winning market share fast. Their switching steve campaign has paid off handsomely.

As Martin Lindstrom puts it, “It requires courage, determination and a fierce focus, but aren’t these the very ingredients that successful companies are supposedly made of.” We challenge you to identify your “enemies” and out- innovate them as never before.

How your enemies power brand innovation

/in ,

Pepsi’s epic war with Coke and Apple’s public dust ups are evidence that enemies power brand innovation.

According to Martin Lindstrom, “Had Pepsi and Coke, not had each other, the chances are that their brands would not have spread to more than 100 countries around the world. The retired executives of both these companies claim that the real reason why their brands achieved world dominance was in the fighting words of one exec, “Every day we went to work, we went to war.”

Think of 2 successful brands that chose to win support by deliberately positioning themselves as the underdogs. Apple used “I’m a Mac, and I’m a PC commercials ”. Avis positioned itself as number two with a slogan we try harder. In 2013 it is still working hard at it.

Do you deliberately identify your competitors as your enemies and use this declaration of war to inspire innovation when it comes to your brand. Declaring war can be very good for your health.

According to Warren Buffet, “Your premium brand had better be delivering something special, or it’s not going to get the business.” In all probability it could be your enemy that will be the grateful recipient of the business you just gave away.

FNB did this – they “declared war on all of the other banks” –  which has inspired innovative products, services and marketing strategy. They are at war daily and winning market share fast. Their switching steve campaign has paid off handsomely.

As Martin Lindstrom puts it, “It requires courage, determination and a fierce focus, but aren’t these the very ingredients that successful companies are supposedly made of.” We challenge you to identify your “enemies” and out- innovate them as never before.

Press Release – Martin Lindstrom Live and In-person in SA – 16 May 2013

/in ,

The Progress Conference on Branding and the Digital Marketing Revolution – 2013 and beyond

The Progress Conference on the 16th May arguably promises to be one of the most prestigious, inspiring and information rich events on the calendar for marketing, branding and retailing professionals in South Africa 

Honoured by Time Magazine in 2009 as one of the 100 most influential people – the people who most affect our world

Martin Lindstrom was honoured by Time Magazine for his brave leap into neuroscience to study the biology of consumer desire. Google does it with clicks and links and Lindstrom does it with neurons, blood flow and the most advanced brain imaging technology.

Martin will be visiting South Africa to present his very latest findings on Branding and the Digital Marketing Revolution – 2013 and beyond.

Be the first to discover the latest secrets of online social media as Martin Lindstrom takes you behind the scenes to expose the secrets of brand ownership – what people are getting right and what people are getting wrong.

Backed by millions of dollars of research Martin Lindstrom is acclaimed by world leading marketing authorities, Faith Popcorn, Philip Kotler and Don Peppers amongst others.

In this one day programme on 16th May 2013, he will present the latest findings on:

  • rE-Tailing – From Brick and Mortar to Click and Mortar
  • Brand Sense – How the science of neuro-marketing rationalises the irrational behaviour of human beings
  • Brand ROI – The future of best returns on your brand
  • Brand Ethics – Getting your house in order before we see a “wikileaks” of brands

Martin has predicted that if brands do not get their house in order we are sure to see a “wikileaks” of brands. Just as we see disclosed information about governments around the world – we could see a similar situation for brands.

In March 2013, Dion Chang revealed how 24% of Wall Street believe illegal or unethical behaviour is necessary to succeed. Companies that have their house in order have nothing to fear – but those that don’t should anticipate nothing less than a branding and PR disaster. Our increasingly open and social world is becoming disparate with the rush to make money. Consumers are demanding more honesty, integrity and respect and your brand needs to reflect this in all that you project and do. Lindstrom highlights how companies like Nestle and P & G have developed internal ethics standards and urges companies to consistently assess the perception of their brands.

Lindstrom presents these robust concepts in a spellbinding way and will share his latest research and techniques to develop your Brand ROI.

According to Lindstrom, “I am an obsessive fan of the consumer. Whilst technology enables us to recover all past history of consumer’s surfing patterns we need to contemplate if this is good or bad news for advertisers.

How far, can, or should companies go to collect data and act upon it? The concept of privacy is rapidly changing and the tricks you may use to manipulate the minds of consumers can be both negative and positive. I believe in treating my customers like I would a close friend.” His latest work is defining brand ethics guidelines.

___________________

Contact: Ingrid Ashwin | T – +27 11 463 9898

Martin Lindstrom Live and In Person in SA – 16 May 2013

/in , ,

The Progress Conference on Branding and the Digital Marketing Revolution – 2013 and beyond

The Progress Conference on the 16th May arguably promises to be one of the most prestigious, inspiring and information rich events on the calendar for marketing, branding and retailing professionals in South Africa 

Honoured by Time Magazine in 2009 as one of the 100 most influential people – the people who most affect our world

Martin Lindstrom was honoured by Time Magazine for his brave leap into neuroscience to study the biology of consumer desire. Google does it with clicks and links and Lindstrom does it with neurons, blood flow and the most advanced brain imaging technology.

Martin will be visiting South Africa to present his very latest findings on Branding and the Digital Marketing Revolution – 2013 and beyond.

Be the first to discover the latest secrets of online social media as Martin Lindstrom takes you behind the scenes to expose the secrets of brand ownership – what people are getting right and what people are getting wrong.

Backed by millions of dollars of research Martin Lindstrom is acclaimed by world leading marketing authorities, Faith Popcorn, Philip Kotler and Don Peppers amongst others.

In this one day programme on 16th May 2013, he will present the latest findings on:

  • rE-Tailing – From Brick and Mortar to Click and Mortar
  • Brand Sense – How the science of neuro-marketing rationalises the irrational behaviour of human beings
  • Brand ROI – The future of best returns on your brand
  • Brand Ethics – Getting your house in order before we see a “wikileaks” of brands

Martin has predicted that if brands do not get their house in order we are sure to see a “wikileaks” of brands. Just as we see disclosed information about governments around the world – we could see a similar situation for brands.

In March 2013, Dion Chang revealed how 24% of Wall Street believe illegal or unethical behaviour is necessary to succeed. Companies that have their house in order have nothing to fear – but those that don’t should anticipate nothing less than a branding and PR disaster. Our increasingly open and social world is becoming disparate with the rush to make money. Consumers are demanding more honesty, integrity and respect and your brand needs to reflect this in all that you project and do. Lindstrom highlights how companies like Nestle and P & G have developed internal ethics standards and urges companies to consistently assess the perception of their brands.

Lindstrom presents these robust concepts in a spellbinding way and will share his latest research and techniques to develop your Brand ROI.

According to Lindstrom, “I am an obsessive fan of the consumer. Whilst technology enables us to recover all past history of consumer’s surfing patterns we need to contemplate if this is good or bad news for advertisers.

How far, can, or should companies go to collect data and act upon it? The concept of privacy is rapidly changing and the tricks you may use to manipulate the minds of consumers can be both negative and positive. I believe in treating my customers like I would a close friend.” His latest work is defining brand ethics guidelines.

Contact: Ingrid Ashwin | T – +27 11 463 9898