This is also the image I have of Reed Hastings, Netflix CEO, before he hit “SEND” on his latest communication to his customers. He’s reversing his latest plan to spin off his DVD-by-mail business as a new company (Qwikster) so the core brand “Netflix” can focus on its streaming services. This is a good thing, and while clearly it was the consumer backlash that pressured him to back off, I fear that Reed still doesn’t think he did anything wrong.

Netflix has been in the “don’t do this” spotlight all year for a series of moves that makes one wonder who exactly is minding the store. It’s not the first company to anger customers with a bold move, but ironically, Netflix had been a brand that was built on doing everything right.

When Blockbuster zigged, Netflix zagged.  Tired of having to wait weeks for an available copy of the latest release?  Plagued by late fees? Yearning for a classic “Young Frankenstein” laugh only to find out the store’s single copy was damaged or MIA?  Netflix solved all of these problems.  It was convenient. It was cost effective. It was satisfying – just like a classic retail relationship should be.

Oh, there were small grievances — failed Starz negotiations, limits on streaming — and then? A 60% percent rate hike this summer. When Reed sent his personal apology on that, it was really a thinly disguised rationale for his next piece of news: he’d be splitting his company in two, including two websites to order from, two bills to pay, etc. Works for him.  For everyone else? Not so much.

It’s not like I don’t get it. From a business perspective, advances in technology will radically change the Netflix business model and a continued focus on the mail order business would mean eventually joining the graveyard of 8-tracks, vinyl records and VHS tapes.  Streaming is the future, and I applaud the vision. As a consumer, though, I couldn’t help wondering if you meant to send your message to your board of directors, not me. Call me selfish, but I know I can’t be alone in asking, “Where does the customer stand in this new vision?”  Yes, it’s AMAZING athletic prowess, but I am still left with a broken glass.

Netflix would have been interesting to watch, even if I wasn’t a loyal customer. But since I am, and since Netflix is still trying to make this right, here’s my take on lessons (to be) learned and, hopefully, a positive outcome:

• It’s not wrong to have an aspirational vision for your business, but it does require a cohesive plan.  At some point Dunkin Donuts realized it was making more money on coffee than donuts. Instead of spinning off the donut business into a lesser company, they migrated the focus to coffee, leveraging the brand equity they had to get new customers and encourage those donut lovers to add the cup-o-joe.
• Speaking of brand equity, don’t mess with it unless you have a really good transition strategy.  If you start playing a shell game with multiple brands, you will undermine and weaken them all.  Must I really bring up New Coke?
• Don’t lead your brand with a lesser quality product. Make sure your new favorite son can deliver on the brand promise already established. Young Frankenstein? Only available on DVD, not streaming. Selling me a distant promise of equality, let alone improvement, will force me to review other options
• Listen to your customers. This seems obvious, but it never ceases to amaze me how few companies really listen.  Yes, some of us are irrational and hate any type of change, but every business has a core, loyal base that will patiently wait out the bugs in ‘new’ features, even if it’s due to inertia.  Cross that line though, and you risk alienating the people who helped you get where you are. (Remember Tropicana’s new packaging?  Nothing says “Hear Me Roar” like a 20 percent dip in sales.)
• Understand personalizing a relationship with your customers is a door that goes both ways.  I had no idea who Reed was until he sent me a personal email with “An apology” in the subject line, and yet his next “I goofed” email was delivered by the “NETFLIX team.” This feels a little like saying, “My mother made me apologize.” Once bitten, twice shy and all, but don’t hide behind your team. If you’re gonna put yourself out there, you gotta be prepared to take the both the kudos and the heat. (See Kenneth Cole and the Egyptian riots tweet.)
• Don’t forget the question: “What’s in it for me?” Not you, the business owner, but the consumer. Businesses spend way too much time extolling features, rather than benefits.  Make sure your customers know why this is a good thing.  I imagine if Netflix had included a little something extra for their loyal customers (free Blu-ray upgrade?), you’d be reading a lot less of these posts.

Here’s the good news: Reed (or Netflix team), I still haven’t canceled my membership. Never lose sight of the customer’s ability to forgive if you make it right. I challenge you to sit down tonight and actually use the Netflix service.  Browse your website, find a streaming title your family can all agree on, watch it on a less than state-of-the-art TV and imagine how you might go about expanding customer service.  If you can make company decisions from this point of view, I am hopeful we can recover the brand romance we once had.

In the meantime, I have pre-ordered a Kindle Fire, which comes with a free month of Amazon Prime.  Funny thing, that inertia! Any force can cause change in direction. I wonder how Jeff Bezos signs his emails….

Wait! I don’t mean it like THAT.

It’s just that when I started to do research for our new client KO Sailing, I kept coming across all these gorgeous photos of sleek boats streaking across the water with the sun at their backs. And well… my laptop, my desk, and my office all suddenly started to feel more than a little bit suffocating.

You see, KO Sailing is the largest small boat dealer on the Gulf Coast. They help equip performance racers with everything from boats and sails, to gear, apparel and more. And with a new owner and president at the helm, they’ve been looking to make a bold statement with a new brand.

But building a brand is about more than just making a splash. You have to tap into the passion that drives the company in the first place. And for owner Mark McNamara, that’s youth performance racing. He knows the sport. He’s lived the lifestyle. And now he’s ready to help a whole new generation discover the thrill of taking to the water.

The new look, tone, and feel are just the beginning of what we’ve got in store for KO Sailing. And everything we do will be infused with the life and energy that are readily apparent in any conversation you have with Mark. His company is charting a whole new course, and they’re already miles ahead of the competition.

Now, if you don’t mind, I’m going to go see if I can expense something like this for my office.

You know… for inspiration.

Watch as Senior Art Director Ivan talks through the KO Sailing transformation.

A blog — ‘all the way up here’ — written by Marina promotes the introduction of the Missoni brand at Target. The doll writes about her porcelain skin and hollowed body. However, it seems as though the savvy social media minds at Target are behind this fashionable “it” girl who promoted the September 13^th launch of Missoni at Target.

The Tumblr account, which popped up in the blogosphere on April 5^th, is primarily devoted to sharing information about the Target- Missoni collaboration. However, Marina also blogs about her home country of Italy, her excitement in moving to the big city of New York and her favorite fashion trends (particularly stripes, the pattern which adorns a majority of the Missoni lines) –all seen from the eyes of a doll. These random “personal” blog posts, sprinkled throughout those promoting the new collection, are no accident. Rather, these fashionista- inspired, whimsical posts are a way for Target to promote and grow its desired image for the line.

On August 10^th, Marina received a gift from her new BFF Margarihta— better known as Margarihta Missoni, the brand champion and heir to the Missoni throne. The Tumblr account unveiled a number of pieces she had received in this “sneak peak” at the Missoni line. These looks were immediately shared by readers in the subsequent hours through Twitter accounts, Tumblr accounts and blogs.

Further, Margarihta Missoni, the face of the brand, has continued to keep the story alive by tweeting back and forth with her new best doll’s Twitter account (@marinawithstyle) and sharing Tumblr links.

During New York Fashion Week, Marina’s followers finally got a peek at the blogger, as the 25-foot doll, decked out in Missoni for Target merchandise with a giant smart phone in hand, made its way from venue to venue. As Fashion Week go-ers snapped pictures to upload to Twitter, Marina communicated back and re-tweeted images, further increasing followers’ excitement and engagement with the brand.

It only takes a little digging to learn Marina’s tweets don’t come from a “real doll,” but from Target’s marketing department, as a number of links utilize Target’s custom URL shortener, Tgt.bz. Some have commented on the shadiness in tricking consumers to believe Marina is a passionate fashion blogger. But we think that is taking things rather too seriously. As a consumer who anxiously awaited the launch, I can admit that even I have exchanged tweets with Marina about my excitement, knowing the marketing tactic is all in good- fun. Many readers either think giant, porcelain dolls can talk or, more than likely, of course, seem willing to suspend disbelief.

Either way, it’s working. With bloggers utilizing the “re-blog” feature of Tumblr and the real-time aspect of Twitter, Missoni for Target has spread like wild fire through the fashion, lifestyle and culture blogs on the internet. Target’s creation of a fictional fashionista to promote the brand through Tumblr has, thus far, proved strong. The highly anticipated collection created quite a buzz for the mass retailer/luxury brand collaboration – enough to crash its website with a clamoring mob of online shoppers.

Dear PetSmart,

Okay, I am a little jealous of that lucky puppy in the footage from the commercial you’ve been tweeting about. But in general, my tail wags every time I see @Petsmart on Twitter.

For example, I like your pet care posts, like the tweet with a link to this post about shielding pets from the boom of fireworks. Really useful (that one saved me from the shame of peeing on the floor), and they get retweeted a lot.

I also love all of your pet trivia. Who knew that “rats have starred or appeared in over 400 films & close to 100 TV series?”

However, I’d be happier if you gave me even more attention. Please don’t put me in the doghouse for this, but I do have a few suggestions for how we might make our relationship even better.

• First, I know nobody likes a dog that yips all day, but @PetSmart could tweet quite a bit more frequently. Remember, you can post way more messages to Twitter than you can on Facebook without bothering the neighbors.
• Second, retail is a dog-eat-dog world (I can’t believe I just said that!). @PetSmart should be tweeting a lot more about savings, deals, coupons and specific price points (43.5% follow brands for this reason ) and spreading brand goodwill with instant win contests and giveaways.
• Third, how about the whole world of non-human celebrities? @PetSmart could be reaching out to critters like @sockington or @BronxZoosCobra — I’m sure that’d get you some RT action!
• Fourth, you should start sniffing out tweets containing things like “my dog” or “my parakeet;” and if the tweeters have a solid number of followers, RT their posts.
• And finally, don’t be afraid to accessorize. Nothing makes me kick my back leg like a well-placed #hashtag.

So there it is. You’re not going to hit me with a newspaper, are you? I’m just trying to be friendly. Maybe get you to scratch my tummy for just a couple of minutes?

Love,
Mister Peepers

(typed by Carolee Sherwood, Conversation Manager, on behalf of her wild-boy pug)

The card, which serves as an extension of The Ritz Carlton’s existing rewards program, more than delivers on “Access to the Extraordinary” — the reward program’s foundation and tagline. With complimentary stays and upgrades, access to travel perks and adventures, J.P.Morgan’s exceptional concierge service and more, any expectation one might have about a credit card baring The Ritz-Carlton name and iconic Lion & Crown is exceeded.

To support the launch of the product, Media Logic collaborated with J.P. Morgan and the Marriott Rewards group to develop acquisition and customer marketing materials that not only align with the higher level of experience and service the affluent target audience has come to expect, but also evoke the brand promise of extraordinary.

Amex consistently delivers the new and the innovative: from striking a deal with the USPS to sell Amex gift cards in post offices to launching their Foursquare partnership during SXSW or developing “Serve” the next-gen digital payment platform that may someday do away with cash and card payments. With this outstanding record, naturally The Social Currency ™ piqued my interest.   I wondered, “What does that mean?  Can Amex deliver on branding a rewards currency with such a loaded and overused word?”

Paid sponsorships on venues like Serious Eats and Imperfect Parents and blogs like Make Her Up and Lil’miss got the word out during the launch….

Everything we do these days revolves around a social network. American Express Membership Rewards is getting in on the act with an updated points program that will really give your friends on Facebook something to “Like.”  You’d think a rewards program that’s been around 20 years would be set it in its ways, but not American Express. Membership Rewards points are your currency for real-life social connections with friends and family. Don’t just tweet about life; get out there and enjoy it with products and experiences for which you can use your points.

A deeper dive uncovers substance behind The Social Currency ™ claim:

• A dedicated Facebook tab promotes using MRPs for weekly featured deals and features bloggers who suggest ways and places to redeem MRPs
• The opportunity to “share your story” –  how you use your MRPs — via a Twitter feed  integrated  onto Facebook and the MRP microsite
• Redemption options for Zynga virtual currency allows cardmembers to buy limited edition real and virtual merchandise — a purple cow for Farmville will set you back 540 MRPs.  Note:  Citi soon followed with their own Zynga deal involving Thank You Points 
• Amex touts redemption at Amazon and Ticketmaster thereby broadening the redemption options beyond the MRP platform

 But how can Amex further The Social Currency ™ claim?

• Although they encourage the “share” by giving bonus points for referral to friends – this networking opportunity is limited to the MRP microsite and an occasional wall post could go far towards “member get member” efforts.
• The currency remains highly focused on the traditional earn and burn — spend a dollar and earn MRPs and burn MRPs for travel, merchandise and gift cards most redemption is transacted on the MRP site.  Hopefully, Amex has plans to broaden the value of MRP as a virtual currency through more retail partnerships with retailer Facebook storefronts.
• Redemption for “deals of the day” while promoted on Facebook transact only on MRP rewards site.
• The copy pay-off  for The Social Currency ™ …”real-life social connections with friends and family”….” giving your friends on Facebook something to Like”…. is weak and  I’m empathetic here as to how a copywriter can solve for a challenging concept.

Take a look this Social Currency ™spot and be the judge:

Sometimes, marketing spin is just that; but sometimes it’s true innovation.  I’ll be keeping an eye on what’s next as Amex – the marketer and the innovator – adds more substance to its social spin.

No longer.

Technological changes, specifically in mobile devices and social media, have driven a rapid evolution of our marketing culture. Today, in addition to up-to-the-second information, consumers expect sincere two-way communication between themselves and the businesses and organizations with which they would like to have relationships. Owned media – websites, social sites, stores, etc. – must now take the strategic point, ahead of traditional advertising and public relations, in branding and promotions.

It’s all very exciting. But the time and resource demands of real-time engagement through owned media is stressing – and often breaking – established marketing budgets, protocols … and relationships.

To meet the challenges and take advantage of the incredible communication opportunities now available, Media Logic created Zeitgeist & Coffee, a real-time marketing collaboration and management platform.

Zeitgeist & Coffee is a complete social ecosystem – idea exchange, content development environment, assignment and approval dashboard, posting hub, and monitoring and an analysis tool – designed to deliver marketing for a social world.

But Zeitgeist & Coffee is much more than a technology.

Zeitgeist & Coffee manages the new marketing protocol, the new way clients, agencies and customers must work together. It is the tool our Conversation Managers use to connect and collaborate with our clients in real-time and is the tool that allows Media Logic to deliver our innovative social marketing services: Influencer Marketing, Managed Community Marketing and Social Promotions and Social Stream Marketing.

Zeitgeist & Coffee comes bundled with every Media Logic relationship and undergoes routine enhancements to meet the evolving demands of marketing for a social world.

For more information and to request a custom demo, contact us.

Think of the hostess of that party. It’s likely she wasn’t very good, either.

Social promotions are like hosting a gathering, and a really terrific hostess is essential. In your social media streams, the hostess for every promotion is your brand. Are you giving your guests great experiences they will be excited enough about to tell their friends?

Specifically,

• Is your social promotion simple to find? In this competitive environment, if your guests get lost on their way to you, it’s likely something else will capture their attention and divert them.

• Is your brand welcoming and attentive? If putting bits of text out into your stream is the final product of your social media efforts, you’re not getting it. Brands need to greet guests, participate in the conversations that develop and express genuine interest. These are your customers, potential customers and possible advocates for your brand. Make them feel comfortable and appreciated.

• Do you know what your guests want to do? Good hostesses don’t build gatherings based on what interests only them. They know what their guests like to do, and they know what their guests value. Brands must build promotions around this knowledge.

• Did you remember the goodie bags? If you’ve ever been to a kids’ birthday party, you know very well that party-goers are all about goodie bags. What is the hostess sending them home with? Adults like rewards, too. Your brand will want to thank its guests for spending time with your promotions by providing entertainment, information, discounts and prizes.

• What will your guests say about you after the party? You want your guests to share details about your party, and you don’t want them to say: “The hostess didn’t even talk to me; she was too busy with a single clique. And you wouldn’t believe what she was wearing!” As a brand, you want likers and followers to be excited enough about your promotion to talk it up. Make sure they come away with a good feeling.

In an environment where 9 out of 10 companies feel that they are doing a poor job using social media, what has World Market tapped into that others may be missing?

Here’s my analysis:

World Market goes beyond delivering on brand value, by doing something that gets its fans talking again and again … it makes its Likers feel “valued.” Feeling valued, in fact, was found to be the #1 attribute for building brand engagement in a recent report released by digital ad agency Razorfish. World Market demonstrates a virtual “how to” for making Likers feel valued.

• Deliver on the brand experience – first and foremost, customers love the selection, prices and customer service both in-store and online. The celebration of unique, affordable and authentic world goods continues on Facebook.
• Listen  – World Market does more listening than talking, letting its delighted Likers drive the conversation
• Tap into the zen – Building on its listening skills, World Market understands its target audience and gets that its Likers are about lifestyle.  World Market gains user-generated content by asking Likers to talk about what’s important to them – their favorite memory, pictures of their pet, the name of their favorite football player, etc., smartly facilitating conversation by relating a World Market sales post to an “ask” about personal experience
• Reward – World Market rewards its Likers in several ways, by including a link to entry in a rewards program with special perks; frequent contests that the Likers love and have them coming back for more; links to tips on decorating, etc. – a recent charity promotion even rewarded Likers for participating
• Respond – While World Market does not respond to all comments, it has a great track record for responding quickly to any complaints or questions on running social promotions, occasionally earning kudos on Facebook for its response.

World Market surely feels the love of its Likers on Facebook. Without a heavy hand, World Market deftly works its positive mojo to earn customer remarketing of its posts on sales and links to its e-site. Optimizing use of Facebook as an owned media channel, World Market also has an “ad tab” featuring its events and ads on current sales, that also including link to online shopping.

While there is no single path to success in marketing for a social world, World Market has certainly found one that works for them.

To calm everybody down, we enlisted a few of the youngest Media Logicians to help us with our predictions for retail marketing in 2011 (see our predictions in plain text below).

1. There’ll be no more social media strategies for you, missy
2. Anybody with a conversion fetish will be asked to leave
3. Big box retailers will make friends with phones
4. Media will stop costing money and start making money
5. Interactive promotions will escape the Facebook tab
6. Goodbye social media cowboy
7. AdweekMedia’s 2011 list of “Agencies of the Year” will not include a single traditional advertising agency
8. The headlines will read, “Facebook is Dead!”
9. We’ll ask paid media to come out and play too
10. I’m running away
11. Don’t worry, marketing will get fun again