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The Re-Engineering of Marketing and Sales
2016
________________________________________
EXECUTIVE SUMMARY WHITE PAPER
By Paul Stanley
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Overview
The purpose of the authored “Re-Engineering of Marketing & Sales 2016” is to explore reasons as to
why the effectiveness of Brand marketing today is at an all-time low; how it can be Re-Engineered
to be far more effective, optimized, cost efficient and successful in building brands, maintaining
brand loyalty, regain its’ connectivity and leveraging power, while delivering incremental sales and
multiple impressive ROI. This is an Executive Summary from my publication.
BACKGROUND
Brand marker’s effectiveness is currently severally limited primarily due to:
 the traditional marketing and advertising strategies/platforms/ models they and their
agencies employ,
 a lack of connectivity,
 their sales force’s lack of leverage or influence over their sales channels,
 a severe lack and failure to integrate marketing with sales today,
 a consumer empowered and driven market, a Digital “schism”,
 fierce competition and a sales channel that is highly focused on itself and its private label
brands2 being among the primary reasons.
 Silo’s at the agencies and manufacturers marketing & sales silos.
The following is an excerpt from a speech given in back 2004 by the CMO of Procter & Gamble;
“Traditional advertising and marketing isn’t working anymore and is in turmoil as more and more
generations are becoming immune to traditional advertising models via TV, radio, print and outdoor,”
Procter & Gamble’s CMO, Jim Stengel, “the traditional marketing model we all grew up with is obsolete
and needs to be reinvented.”
In 2016, a speech by PepsiCo's president of the global beverage group; Brad Jakeman “Suggests Shops
Have Not Kept Pace with Change”. "The agency model that I grew up with largely has not changed
today," and he further questioned the level of innovation. "I am really worried that this model is not
going to bend -- it's going to break if we don't really think about how to innovate," he said.
Mr. Stengel is no longer with Proctor & Gamble but he was correct; the erosion of traditional
mediums and platforms continues and the only real change in the past 12 years from agencies,
mediums or platforms, is it’s only become more ineffective, segmented and expensive.
(Actually, the agency model has been broken for a long time because the advertising and marketing
models are indeed antiquated)
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Newspapers and magazines have folded, publishers declaring bankruptcy,6 television continues its’
freefall to historical ineffectiveness and insignificance; 2015 consumer research from Leichtman
Research Group, Inc. (LRG) found that 76% of US households have a DVR, subscribe to Netflix, or
use on-Demand (VOD). So they aren’t watching commercials, while those that may watch, have a
“wear out” factor some researchers suggest after only 8 viewings today. Time Magazine writes; “the
networks are crashing, ‘Business Insider writes, “The number of people watching TV is falling off a
cliff”
AND IT’S NOT JUST PACKAGED GOODS
Chief Marketing Officers from a plethora of industries are screaming that the current agency model
is badly broken and therefore are the strategies and platforms they continue to serve up to clients
in addition to seriously not understanding today’s sales and distribution channels or certainly not
integrating marketing with sales, therefore continuing to make marketing a ‘hope and see’
discipline-regardless of the industry.
It must be understood that they have been offered up little, if any, alternatives-with the exception of
trying to focus their clients now on ‘shopper marketing’, digital & social marketing. (You may also
want to read my, “Fixing the Flaws & Myths of Shopper Marketing”)
ANSWERS
One answer for all marketers can actually be found in marketing history during it’s’ maximum
effectiveness and ‘heyday’s.’
Additional and very interesting answers can also be found in historical marketing successes from
highly regulated industries; their trials, tribulations, and solutions, when faced with regulations,
both governmental and industry self-imposed, and bans on uses of traditional mediums; primarily
television.
These industries include tobacco and spirits marketers.
For instance, televisions’ ban on tobacco, I believe, was a huge “blessing in disguise” for the tobacco
industry and it took place when television was still a viable medium forcing tobacco marketers to
discover and create alternative marketing strategies and platforms- “sooner than later”, with
“necessity being the mother of invention”. I believe brand marketers to be in a similar position
today.
DEFINITIONS
It may be prudent to define a couple of terms, as utilized in this paper, for there appears to be some
confusion or “different definitions” emanating from various marketing entities’ and publications.
“Integration”; the term is used to define the “meshing and integrating of both Marketing and Sales
objectives”, whereas, agencies tend to define integration as the coupling or integrating of
Mediums/Media.
The term “platforms” which is defined as; an “exclusive Brand marketing & Sales “performance stage”
from which to integrate both marketing and sales objectives-simultaneously. Imagine what power,
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control or leverage a brand would wield with consumers, sales channels, media, digital, PR, etc., if a
brand owned or controlled any of the following platforms; The NFL, MLB, NASCAR, GRAMMY’S,
SUPERBOWL, AMERICAS GOT TALENT, PGA…
MARKETING HISTORY WHAT WE CAN LEARN
“In the beginning”, the purchasing “power” was in the hands of the consumer; their needs fulfilled
by the sales channels upon consumer purchaser request or “demand.”
With the advent of brand advertising and marketing, the “power” was firmly shifted to the
brand/marketer; the key today is in knowing how and why and then “Re-Engineering” that models
elements or ‘DNA’ for today’s market place.
The simple answers are that brand marketing power was primarily due to; 1) the marketer
controlling the content, its originality and live delivery platforms;(Procter & Gamble creating,
owning and delivering soap operas, Texaco hour, weekly live radio serials etc.), 2) a highly targeted,
captive and responsive audience,( a connection that translated into brand sales)3) a subliminal
inherent credibility and believability, 4) minimal brand competition and 5) the marketer’s
simultaneous control of the sales channels primarily through a “push-pull” brand dominance
MARKETING TODAY
Today, after an evolution of power shifts to the mediums and sales channels, we once again find the
“power” returned to the consumer (with the sales channel still a very close second) primarily due
to:
 fierce brand competition
 multitudes of choice
 the “tune out” factor to traditional messaging (one study suggests we are bombarded by
3500- 5000 messages and 110,000 words per day)
 the internet, social, digital media
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 the huge erosion in the use and believability of the delivery platforms (broadcast, print etc.),
 a community oriented versus national “audience”,
 a lack of connectivity to the brand and limited, if any, brand marketing integration or
control of the sales channels-where we purchase!
What marketing history and the “In the beginning” model can teach us is “what goes around can
come back around” if we can “re-engineer” in today’s terms what was present when the brand
marketer was in power. Brands originated and controlled content, control of the delivery
platforms, highly targeted, a reach and connection with their consumers, (whom were very
receptive to their messaging/content) and control of the sales channels.
Today, marketers/advertisers have no owned programming, no exclusive platforms, no “true”
marketing and sales integration (Silos at both the manufacturer and agencies), little or no sales
channel leverage/control and hardly stand apart as they virtually “bump” into each other in
overcrowded traditional marketing arenas with highly eroded, ineffective and inefficient platforms.
The Agencies and Brands response has been to ‘load-up’ on social media which has also become
unbelievably crowded and unfortunately is not a solution in and of itself.
Coca Cola has one of the largest social followings at 86 million. But in looking at the online chatter
that takes place on social networks, Coca-Cola has come to a startling conclusion: there's essentially
no impact on sales. This is according to Eric Schmidt, Coca-Cola's senior manager of marketing
strategy and insights: "We didn't see any statistically significant relationship between our buzz and
our short-term sales."
EXCLUSIVE BRAND MARKETING ‘ARENA’S
Manufacturers’ own the brand and diligently patent and protect that brand. The brand becomes a
valued corporate asset with the objective of growing that brand asset. Yet, brand marketers, like
many, if not most, take an exclusive and valued brand asset and throw it into a very crowded
marketing arena they neither control, has little or no exclusivity/connectivity and a very ineffective
shotgun approach to a lot of “empty seats”. They go head on with competitors in the same
inefficient “arenas”, basically seeing who can “scream” louder and more often.
What truly differentiates the marketing of these Brand assets … creative?
Not in today’s market and certainly not through current executions and platforms; “maybe a little
more humor in the spot this time might work huh?”
Currently we find a stampede of “value” positioning and everybody’s “screaming” it to where
“value” becomes a “commodity” positioning.
I’m not suggesting that there is no value to television commercials or traditional platforms,
especially when trying to create category awareness or even website traffic…However, as currently
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implemented, brand connection is highly ineffective and ROI highly inefficient; the ability to truly
connect with consumers today through the current use of traditional platforms to produce a valid
ROI is simply not there. (Push-pull is a 1950’s model and strategy)
Today, an exclusive brand marketing and sales integrated mix platform is called for that actually
can heighten the effectiveness and return from traditional media usage, when those mediums are
utilized as an integrated part of that focused platform and mix, “own” it; content, programming,
delivery platform, integrate and leverage it with both consumers and the sales channels to make it a
piece of a “full integrated platform puzzle”, not a stand-alone and ‘hope’.
If a main objective of brand marketing is to differentiate that brand from competitors, would it
therefore not make sense to have an exclusive means of building and marketing that brand, which
in itself, would differentiate that brand? A brand exclusive ‘arena’.
Silos & silos
The manufacturer has sales and marketing departments generally each with their own (and separate)
objectives and agendas (Silos). They each have their own set of “filters”, hurdles and politics.
Manufacturers typically “outspend” their consumer marketing budgets on the sales channels with the
sales force having their own objectives and usually not in concert with marketing. A huge waste of
money.
Unfortunately, this is because the sales force is neither armed with anything competitively different to
create power over the sales channel, therefore, to get that support they pay heavily for it. And the sales
channel is sometimes questionable in its actual participation, compliance or execution with little to no
recourse by the manufacturer or the brand.
On the “other side”, marketing and their agencies (With silos & silos ) are busy “layering on”;
advertising, shopper marketing, internet, direct, ‘experiential’, sales promotion, PR, social, digital; a
seemingly endless list of FORCED marketing and sales “puzzle” pieces from “different puzzles”; there’s
little or no true integration or connectivity (certainly, little between marketing and sales) and NO “Big
picture” marketing puzzle completion, starring back at a very busy and hard to reach consumer.
Marketing today goes off in “twenty different directions” until it finally gets to a consumer who isn’t
exactly paying attention, while the sales force is off in a different direction most likely armed with only a
check book.
MARKETING IS “WAR”
Marketing today is analogous to being in a war, just ask most marketers.
So, how are wars won?
Are all of the armed services deployed and utilized in a joint, integrated and focused effort?
If you want to win that war… they better be.
Imagine if on D-Day any one of the armed forces or allies…failed to show up or showed up at
different uncoordinated times?
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If the navy started shelling the beaches with no connectivity to air or ground forces, what do you
think the results would have been? How about if you sent in the army/ground forces with no air or
naval support/connectivity? How about if you used only an air attack, hoping it somehow turned
into the enemy surrendering; ridiculous all of it, right?
Well, look at marketing and sales today; that’s what’s being done and you wonder why consumers
or sales channels aren’t “surrendering”?
If a marketers’ broadcast (television, radio) internet, twitter, social, digital media is their brands Air
Force; sales promotion, couponing, direct, events, their Navy and the sales force and sales channels
their Army/Ground Force-it appears there is very little coordination, if any, between one or more
of their marketing “armed forces” (silos) or certainly not in time, cooperation or focus for true
integration, ‘360 optimizations or maximizing ROI.
How in the world is that a winning marketing and sales strategy?
It isn’t.
Just take a “snap-shot” look at Brand Marketing & Sales today and is it really a wonder why it’s not
working at a level that it should?
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Where’s the connectivity, marketing & sales integration or brand leverage?
THE SALES CHANNEL= SITUATION “CRITICAL”
I would submit this is one of the biggest threats of all, as brands continue to battle each other head on in
the most competitive of times with the most elusive consumer in history. As brands basically serve to
weaken each other, here comes a new and well equipped “army” of “new” (and finally declared)
competition; private label and to my point, as even major Brands are being “shown the door” by
retailers. What protection did they have?
Obviously NONE
Here’s the bottom line; Brands must control the sales channels in tandem with their marketing efforts.
“Buying” the trade is no longer cost effective (especially when you don’t have to) and is actually now
“biting the hand that feeds them”. To counter, we have discussed that the Brands exclusively created
and ‘OWNED’ platforms serves to connect with consumers (demand) while leveraging the sales channels
through the sales channels own competitiveness- and the channel just handed the brand another
leveraging tool; Private label –if you know how to leverage it to the brand marketer’s advantage.
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AGENCIES
I am still amazed that agencies and the major holding companies haven’t figured out how to deliver
what these, “I’ve had it with agencies,” CMO’s are seeking. Which is also a key to the agencies future
success. Agencies talk ‘360, they pretty much have amassed all the marketing ‘weapons’ and puzzle
pieces”, but they just can’t synergistically integrate and deploy.
Agencies don’t “fix” themselves because frankly, I believe, they simply don’t have to because brands
keep paying or they simply do not quite know how to fix it. I contend that agencies, as well as brands
primary ‘wall’ in fixing it are their P&L ‘silos’ and the lack of marketing & sales integration. They continue
to play it ‘safe,’ but in today’s marketing reality, ‘safe’ is no longer ‘safe’ or ‘smart’.
The key today is in creating and delivering ‘true’ ‘360 integrations. I would submit that the people now
in charge of integration are not experienced in all of the necessary disciplines that make up a true
integrated (‘360) approach. The biggest void is also the most critical; the sales channels and sales forces,
which happens’ to be paramount to delivering and maximizing ROI.
I would also submit that most agencies or holding companies today are run by “bean-counters,” versus
creative’s or account people, which plays a big part in the stagnation of agencies in their pursuit of
‘innovation’ and certainly integration (agency silo’s). The irony is that by creating exclusive platforms it is
the solutions or the ‘holy grail’ for agencies “bean counters” for they are highly profitable and the
platforms can become agency Intellectual Properties that are growing as exclusive and hard agency
assets with a multitude of new and nontraditional revenue streams in a service business!
Maybe there’s hope; in a very recent 2016 speech to the 4A’s, Publicis CEO Maurice Levy said,” Publicis
Groupe and much of the rest of the industry are now shifting from a structure comprised of specialized
silos toward integrated services that operate on marketing technology platforms”. (Make sure to include
the sales channel, Monsieur Levy)
FAIRNESS TO AGENCIES
In fairness to agencies, clients must shoulder the responsibility for their lack of internal ‘integration’ of
marketing and sales (their own silos). Marketers, by and large, operate within a huge “maze” with
countless departments; usually a sales department at odds with marketing, or certainly not in concert
with each other to the needed extent, and usually ‘too many cooks’. Brand ‘360 platforms offered up by
agencies would also serve to integrate the client for the client; as it serves both client and agency as an
integrated focus and exclusive platform to ‘rally around’ breaking down all party’s silos (air traffic
marketing ‘360 controls)
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Here I would also submit that clients, by and large, aren’t asking or ‘demanding’ from their
agencies the platforms they should be creating; they just change the agencies.
AND IF THAT WASNT ENOUGH
In CPG, retailers are now more concerned with building their own private label brands adding a new
‘enemy’ to your marketing war. (See “situation critical”)
There’s well over 90,000 SKU’s in a typical grocery store today, Wal-Mart says “jump” and the brand
says “how high”, private label now commands 25 to 40(+) percent of total volumes and today private
label is pretty much in every CPG category.
Obviously, our sacred Brands are being seen more and more as commodities.
Further, Wal-Mart demands brand advertising dollars (in addition to the huge levels of sales dollars
already commandeered), as other sales channels follow suit (see Advertising Age’s,” Wal-Mart Brow
Beats Brands for advertising dollars”, “From CVS to Costco, retailers put the “screws” to brands,” CVS
now bills brands to make up profits” and “Retailers show a willingness to boot even major, well-
advertised brands the feared De-listing).
Where is the brands’; “fight fire with fire”? Where’s their leverage?
THE GOOD NEWS
The good news is that there is a very proven cure for what currently ails Brand marketing;
The historical model, which frankly is still being utilized by marketers and agencies today, simply
needs to be re-engineered based on today’s marketplace
Our historical “power” model had a lot less brand to brand competition as part of its attributes; today’s
re-engineered model exchanges out the lack of heavy brand competition (then) for what will be a lack of
competitive brand marketing competition (now) through exclusive brand marketers marketing & sales
platforms, I must also stress that it is very measurable and accountable-unlike traditional
mediums today and by its very nature, it brings down the silos at agencies and manufacturers.
HISTORY CAN LEAD THE WAY
It appears that brand marketing is in a rut for all industries. Traditional/conventional simply is no
longer effective in today’s marketing arena and certainly not cost effective in delivering a
maximizing ROI. The good news is it’s quite fixable and better yet; “own-able”.
The answer is Optimization, Connectivity, a true “360” from inception and it happens to be where
ROI lives! It’s marketing with a ‘HEARTBEAT’ and a Brand ‘VOICE’!
Marketers take this very expensive asset (brand) and throw it into a marketing and sales ballpark where
everyone is out swinging a bat. They spend more and more money on bigger bats and “creative” players;
but the audiences, for the most part, have left the ballpark!
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Why wouldn’t a brand marketer “follow them out” into their communities, have them all to themselves
and connect with them where they connect?
TAKE A LOOK AROUND
Stop screaming at your consumers, because their obviously not listening. Build an exclusive means of
marketing, reaching and motivating them (consumers and sales channels) and treat that exclusive
marketing asset as you do your brand asset-growing it year after year.
PUT THE POWER BACK INTO THE BRAND.
And note that this is obtainable in all industries including regulated (Pharma, spirits), cell phones to
computers, automotive manufacturers and even Cruise ship marketers. (Dealerships, Travel agents)
DISNEY
One of the best marketers that exists!
Why? Let’s take a simplistic look at their “model”
They create the ‘360’ IP platforms.
They create and own the content, they control the delivery platforms (Own ABC Television network,
Disney Channel, etc.) they control the sales channels(Disney stores, Amusement parks) they control non
Disney sales channels through content/brand exclusivity and a working “push/pull” (no competition in
their creations), they have constant “live” deliveries to communities (Endless tours), synergistic
partnerships, opening new channels, promotion and budgets promoting their products, and they create
and own exclusive, truly integrated marketing and Sales IP Platforms
Why would brand marketers not build the same model if they could?
WHERE DO YOU THINK THIS IS GOING?
The marketing “wars” now look to go “nuclear” from an army that controls the ‘ground’ (sales channels)
When the battle became highly competitive historically, brands started throwing money at the sales
channels to control sales channels participation and support (‘The Ground’), they use to control through
brand dominance and “push-pull.”
Now, as brands find the most competitive times they have ever faced, they once again are throwing
even more money at the sales channels, (Dare I call it shopper marketing) throwing money at the
internet and social, digital channels and seem to be panicking- and frankly, probably should be; because
they have NO exclusive “platforms” or integrated means of building, marketing and selling their brands.
(Just ask MillerCoors as the ‘EX’ official beer of the NFL-whose title now bought by Budweiser)
If the sales channels didn’t think the brands were vulnerable to private label-do you think they would be
heavily investing the amounts they are investing? Do you think if they weren’t holding just about” all the
cards today”, they would be “brow beating” brands for their advertising dollars or be De-listing to the
extent they are so doing? Have you noticed how their private label has moved up the shelf?
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By creating and building exclusive marketing and sales platforms, the marketer is also bringing the brand
to ‘life’, directly to ‘me’, engaging ‘me’ and in essence, creating and bringing your own brand sales
channel to ‘me’ essentially utilizing a re-engineered push/pull model-for today’s marketplace
Even mediums today; Publishers, Broadcast, Newspapers, Portals (AOL, Yahoo) could all be creating
integrated ‘360 platforms for their advertisers’ and STOP trying to strictly sell ‘eyeballs’.
The ABC Television Network and Nickelodeon have utilized the following ‘Re-Engineered’ model and
have proved the power and heavy financial gain in so doing.
TODAYS “RE-ENGINEERED INTEGRATED MARKETING & SALES MODEL”
It’s the 7 C’s model platform of connectivity, optimization and ROI; Connectivity = Content
(origination) + Consumer + Channel+ Communication + Community= Optimization/ Marketer
Control/ROI
It actually takes the marketing model that worked historically and Re-Engineers it to adapt and
succeed today through platform design & ownership, the integration and leveraging of the sales
channel and the integration & leveraging of the communications channels (media, social),
dominating those channels through original & perpetual content creation & programming; a true
“360” in today’s marketing vernacular.
“Re-Engineering” also interchanges the brands’ lack of its historical “push-pull” sales channel
dominance (now), for what will now be a lack of brand marketing competition through a brand
marketing exclusivity (dominance) today, leveraged for brand control at the sales channel through brand
platform customizations based on a plethora of sales channels objectives. We also ‘switch out’ the
national ‘audience network community’ for where that ‘audience’ is found today-their communities
(real and Cyberspace).
The 7C’s marketing and sales models’ main tenet is based on the connectivity of all stakeholder’s
objectives and the achievement of those objectives
Brand marketer control, connectivity and optimization is achieved through; content origination
and ownership, simultaneously adapting, connecting and customizing for other stakeholder’s
needs and objectives (channels) “owning”, leveraging, controlling and customizing for the
communication and sales channels,(giving the sales force “power”) “shaking hands with, engaging
and relating (connecting) to the lifestyles’ of highly targeted consumers, influencers, owning,
controlling the delivery platforms and directly targeting and delivering the brand platforms -
“fishing where the fish are”; consumers ‘dual’ communities. It also integrates, heavily leverages and
optimizes both marketing and sales spends, as it is always designed on true ‘360 strategies while
always based on a Pre- required, Pre-secured ROI.
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A TRUE “360” = S+M+A+R+T
A perfect acronym for the 7 C’s model of connectivity is S+M+A+R+T! “Smart” Marketing; Sales,
Marketing, And ROI Together; Marketing and Sales have to go together on one platform today. It’s
“building a brand WHILE you ring a cash register”- Not “hoping” marketing turns into sales, rather,
having the model to do so. (Shoppers, Manufacturers, Analytics, Retailers, Together)
“AIR TRAFFIC MARKETING CONTROL”-BRINGING DOWN THE SILOS!
An exclusive Brand proprietary marketing Platform (stage) inherently acts as a central focus for all
marketing disciplines. It also simultaneously customizes and integrates for the sales channels objectives,
(what’s in it for me?); leveraging exclusives the channel “must” have and participate in. It plays upon the
channels competitiveness, their community consciences, and “fear” of being left out (in core business
and their private label); and it customizes and leverages for all communications objectives (media,
social…) delivering a big media ROI, all of which putting power back into the Brand and their sales force.
It heavily arms and equips the sales force with a multitude of new and powerful tools based on their
customers’ objectives, boosts morale and allows for long lead time sell in, as the brands’ exclusive
platforms are much anticipated yearly/quarterly “happenings”
It acts as “air traffic marketing control”
; connectivity between all marketing disciplines, agencies and
between marketing and sales-delivering a true integration and brand focused platform (sorely missing
today) It naturally brings down both the manufacturer and agencies ‘silo’s-a big problem today.
The Brands ‘Smart’ Marketing & Sales Platform is an exclusive brand/marketer and sales force ‘360
‘hard asset’, now, and for years to come and always based on pre-required and delivered ROI.
Likewise, it can be an agency hard asset for years to come too.
EXCLUSIVE MARKETING AND SALES “SMART HARD ASSETS”
Today, think of the brands exclusive marketing and sales Platform as the creation and origination of
content and programming based on; multiple research, consumer insights, data base analytics, brand
USP’s, positioning, objectives and simultaneously on the consumers, influencers, channels lifestyles and
objectives, the sales channels objectives/competitiveness and the media’s objectives, therefore making
its’ audience’s and demographics highly targeted, highly reached and highly receptive- “What’s in it for
me”-for all stakeholders.
Brands continue to buy into other’s platforms such as; the NFL, MLB, NASCAR, GRAMMY’s SUPERBOWL
Etc.
What power do you think a brand would have if they owned or controlled any of the above platforms
versus currently ‘renting a piece of them’?
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What leverage over consumers, sales channels, mediums and social channels do you think the Brand(s)
would have-let alone, totally competitive free versus seeing one car ad or beer commercial ‘one after
the other’?
When it was announced that MillerCoors was “outbid” and had lost the rights to Anheuser-Busch (AB)
for the ‘official beer of the NFL moniker’, couldn’t have made my point any better. A non-owned or
controlled platform that MillerCoors paid HALF A BILLION DOLLARS to be but a part of, over 8 years!
(Not counting all the dollars needed to tell you they were the official beer) So, now what asset do they
have? Not an exclusive IP marketing & sales platform they could have grown and owned for years at
nowhere near $500,000,000! – Moreover, an exclusive marketing and sales tool in multiple sports and
other categories they would now truly own with a ton of money left over. AB too will be building
absolutely no marketing and sales long-term asset or platform equity as the currently ‘official beer’.
Is it really that easily interchangeable to consumers? Do you really think they care?
And ironically, Advertising Age reports that” In the beer industry, millions are spent on advertising
by the MillerCoors, Budweiser’s and yet, Pabst (PBR) who spends almost nothing comparatively is
skyrocketing as they have managed to embed themselves locally”
THE EXCLUSIVE MODEL…BRINGING DOWN ALL THE SILOS, BUILDING AND SELLING BRANDS
Here then is a look at the Exclusive 7C’s ‘SMART’ Platform; Model of Optimization, Connectivity,
multiple ROI and “air traffic marketing control” ‘360:
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It all starts with a platform design of marketing and sales objectives ‘hand in hand’ integration from
inception; Brand building USP’s, content origination and platform “ownership” are all pre integrated and
focused as are all the ‘traditional’ and ‘new’ mediums all ‘marching’ in the same choreographed
direction; customized, leveraged and directly delivered to communities, consumers, sales and local
communication channels-it’s the ENTIRE marketing and sales arsenal & puzzle “completed” prior to
“deployment”-not deployed in pieces!
This means creating marketing that is not only based on the brands objectives, but on the objectives
and lifestyles of the models’ other connectivity “C’s” or Stakeholders, critical to the success of the
brand; sales channels, sales force, consumers, communication channels and communities.
ITS NO SECRET
In our historical look when brands were in control and successful in their advertising and
marketing, we found that the marketer created and controlled original content and programming.
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We found that their advertising and content origination was delivered ‘directly’ to, and reached, a
highly targeted audience and demographic with a high degree of believability and connection.
We found that the marketer, for the most part, controlled the communication channels and delivery
platforms-they also controlled the sales channels.
SUMMARY
I am not suggesting that Brand Marketers and agencies stop what they’re doing and start building
nothing but exclusive IP marketing & Sales platforms. On the contrary, ‘360 Platforms utilize all
traditional mediums. Agencies have been promising total integration for years (Remember “the whole
egg” or “Squeezing the juice” etc.).
What I am suggesting, is a highly proven model for actually delivering on the promise, all with built in
and PRE-SECURED ROI! It’s what I call “IP2
-as it is an agency or brand Intellectual Property, and
simultaneously, an “Insurance Policy” as it always delivers impressive sales, impressive ROI. So why
wouldn’t a Brand marketer or agencies add IP Platforms to their arsenal? I submit they simply haven’t
been offered the opportunity.
Oh, did I mentioned that in addition to pre-secured ROI, how about a ZERO budget impact to go with
that success? (That’s for another time and White Paper)
As far as agencies, these platforms have actually been called, ‘the holy Grail’ for agency holding
companies-as the platforms are “hard assets,” while serving to truly integrate and utilize all sister
agencies and services (finally bringing down those silos)-while delivering clients leveraging power and a
multitude of ROI.
Brands’ marketing & Sales objectives in tandem with all stakeholders’ objectives, both satisfied
simultaneously, “courtesy” of the Brand, is just plain… SMART!
ABOUT THE AUTHOR
Paul Stanley has spent over 30 highly successful years in marketing and sales which includes; advertising, sales promotion,
direct, event and experiential marketing, media, social, digital, internet, E-Commerce, Broadcast, programming and concert
promoting. He also has created for and worked with virtually every class of sales channel and every classification of sales forces.
Founder & Creative director; PS and Partners, Co-Founder & Creative Director Tenth Power Marketing
Honored in Promo Magazines “100 years of events and platforms that pioneered the industry,” with the exception of the Bud
Bowl and Macy’s Day Parade, Paul Stanley created them all
Authored, “Fixing the Flaws & Myths of Shopper Marketing”2016
17
Authored the first book on Event marketing & sales platforms for Northwestern University; “Its’ NOT about the Event-Building a
brand while you ring a cash register”-Dartnell Press
Adjunct Professor of Integrated Marketing Northwestern University Graduate School-IMC
Masters of Advertising program; Michigan State University
Created and Trademarked; the 7C’s™ marketing & Sales model of connectivity, optimization & ROI
Authored: the “Re-Engineering of Marketing & Sales 2016,”
Authored: the “State & Future of Pharma Marketing,”
Authored: the “Invisible” Manufacturer-a new B2B Marketing & sales ROI model 2015
Created and trademarked; Sponsownerships™; the first “360” Marketing & Sales platform ZERO marketing budget impact
Model
Founded PS Promotions Inc.- the first and ultimately largest experiential, event, & “360” marketing & sales integrated platform
firm in the business.
Represented some of the largest marketers & brands in the world including; Procter & Gamble, Philip Morris, Ford, Chrysler,
Kraft, ABC Television Network, Nickelodeon Network, Sony, House of Seagram’s, Premier Cruise lines, AT&T, Motorola, Discover
Card, SC Johnson, Wordperfect software, Keebler, Frito-Lay, Dairy Farmers of America-Co-op…
Represented/worked with every class of trade (25 years); Mass, Walmart, Target, drug, Walgreens, CVS, grocery, C-stores,
Auto-dealerships, On/Off premise, Travel agents…
Trained/assisted/equipped & empowered Manufacturers’ Sales Forces-All classifications; Direct, Brokered, Distributor-Plethora
of Industries
Major agency clients including: Leo Burnett, DDB, JWT, Havas –Created Intellectual Property Platforms/ Integrated marketing
and sales/sales channel platforms and execution for their clients.
Founded & Built I IMAGINE Inc. advertising agency
Reach Paul at:
Pstanley@Tenthpowermarketing.com
312-550-7285
The data and ideas presented herein are the property of Paul Stanley Use and/or reproduction of the materials contained
herein, and/or the verbal portion of this Whitepaper presentation, without the prior knowledge and written consent of Paul
Stanley is strictly prohibited. Copyright2016© Paul Stanley all rights reserved

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The RE-ENGINEERING OF MARKETING & SALES 2016...Bringing down the 'silos'

  • 1. The Re-Engineering of Marketing and Sales 2016 ________________________________________ EXECUTIVE SUMMARY WHITE PAPER By Paul Stanley
  • 2. 2 Overview The purpose of the authored “Re-Engineering of Marketing & Sales 2016” is to explore reasons as to why the effectiveness of Brand marketing today is at an all-time low; how it can be Re-Engineered to be far more effective, optimized, cost efficient and successful in building brands, maintaining brand loyalty, regain its’ connectivity and leveraging power, while delivering incremental sales and multiple impressive ROI. This is an Executive Summary from my publication. BACKGROUND Brand marker’s effectiveness is currently severally limited primarily due to:  the traditional marketing and advertising strategies/platforms/ models they and their agencies employ,  a lack of connectivity,  their sales force’s lack of leverage or influence over their sales channels,  a severe lack and failure to integrate marketing with sales today,  a consumer empowered and driven market, a Digital “schism”,  fierce competition and a sales channel that is highly focused on itself and its private label brands2 being among the primary reasons.  Silo’s at the agencies and manufacturers marketing & sales silos. The following is an excerpt from a speech given in back 2004 by the CMO of Procter & Gamble; “Traditional advertising and marketing isn’t working anymore and is in turmoil as more and more generations are becoming immune to traditional advertising models via TV, radio, print and outdoor,” Procter & Gamble’s CMO, Jim Stengel, “the traditional marketing model we all grew up with is obsolete and needs to be reinvented.” In 2016, a speech by PepsiCo's president of the global beverage group; Brad Jakeman “Suggests Shops Have Not Kept Pace with Change”. "The agency model that I grew up with largely has not changed today," and he further questioned the level of innovation. "I am really worried that this model is not going to bend -- it's going to break if we don't really think about how to innovate," he said. Mr. Stengel is no longer with Proctor & Gamble but he was correct; the erosion of traditional mediums and platforms continues and the only real change in the past 12 years from agencies, mediums or platforms, is it’s only become more ineffective, segmented and expensive. (Actually, the agency model has been broken for a long time because the advertising and marketing models are indeed antiquated)
  • 3. 3 Newspapers and magazines have folded, publishers declaring bankruptcy,6 television continues its’ freefall to historical ineffectiveness and insignificance; 2015 consumer research from Leichtman Research Group, Inc. (LRG) found that 76% of US households have a DVR, subscribe to Netflix, or use on-Demand (VOD). So they aren’t watching commercials, while those that may watch, have a “wear out” factor some researchers suggest after only 8 viewings today. Time Magazine writes; “the networks are crashing, ‘Business Insider writes, “The number of people watching TV is falling off a cliff” AND IT’S NOT JUST PACKAGED GOODS Chief Marketing Officers from a plethora of industries are screaming that the current agency model is badly broken and therefore are the strategies and platforms they continue to serve up to clients in addition to seriously not understanding today’s sales and distribution channels or certainly not integrating marketing with sales, therefore continuing to make marketing a ‘hope and see’ discipline-regardless of the industry. It must be understood that they have been offered up little, if any, alternatives-with the exception of trying to focus their clients now on ‘shopper marketing’, digital & social marketing. (You may also want to read my, “Fixing the Flaws & Myths of Shopper Marketing”) ANSWERS One answer for all marketers can actually be found in marketing history during it’s’ maximum effectiveness and ‘heyday’s.’ Additional and very interesting answers can also be found in historical marketing successes from highly regulated industries; their trials, tribulations, and solutions, when faced with regulations, both governmental and industry self-imposed, and bans on uses of traditional mediums; primarily television. These industries include tobacco and spirits marketers. For instance, televisions’ ban on tobacco, I believe, was a huge “blessing in disguise” for the tobacco industry and it took place when television was still a viable medium forcing tobacco marketers to discover and create alternative marketing strategies and platforms- “sooner than later”, with “necessity being the mother of invention”. I believe brand marketers to be in a similar position today. DEFINITIONS It may be prudent to define a couple of terms, as utilized in this paper, for there appears to be some confusion or “different definitions” emanating from various marketing entities’ and publications. “Integration”; the term is used to define the “meshing and integrating of both Marketing and Sales objectives”, whereas, agencies tend to define integration as the coupling or integrating of Mediums/Media. The term “platforms” which is defined as; an “exclusive Brand marketing & Sales “performance stage” from which to integrate both marketing and sales objectives-simultaneously. Imagine what power,
  • 4. 4 control or leverage a brand would wield with consumers, sales channels, media, digital, PR, etc., if a brand owned or controlled any of the following platforms; The NFL, MLB, NASCAR, GRAMMY’S, SUPERBOWL, AMERICAS GOT TALENT, PGA… MARKETING HISTORY WHAT WE CAN LEARN “In the beginning”, the purchasing “power” was in the hands of the consumer; their needs fulfilled by the sales channels upon consumer purchaser request or “demand.” With the advent of brand advertising and marketing, the “power” was firmly shifted to the brand/marketer; the key today is in knowing how and why and then “Re-Engineering” that models elements or ‘DNA’ for today’s market place. The simple answers are that brand marketing power was primarily due to; 1) the marketer controlling the content, its originality and live delivery platforms;(Procter & Gamble creating, owning and delivering soap operas, Texaco hour, weekly live radio serials etc.), 2) a highly targeted, captive and responsive audience,( a connection that translated into brand sales)3) a subliminal inherent credibility and believability, 4) minimal brand competition and 5) the marketer’s simultaneous control of the sales channels primarily through a “push-pull” brand dominance MARKETING TODAY Today, after an evolution of power shifts to the mediums and sales channels, we once again find the “power” returned to the consumer (with the sales channel still a very close second) primarily due to:  fierce brand competition  multitudes of choice  the “tune out” factor to traditional messaging (one study suggests we are bombarded by 3500- 5000 messages and 110,000 words per day)  the internet, social, digital media
  • 5. 5  the huge erosion in the use and believability of the delivery platforms (broadcast, print etc.),  a community oriented versus national “audience”,  a lack of connectivity to the brand and limited, if any, brand marketing integration or control of the sales channels-where we purchase! What marketing history and the “In the beginning” model can teach us is “what goes around can come back around” if we can “re-engineer” in today’s terms what was present when the brand marketer was in power. Brands originated and controlled content, control of the delivery platforms, highly targeted, a reach and connection with their consumers, (whom were very receptive to their messaging/content) and control of the sales channels. Today, marketers/advertisers have no owned programming, no exclusive platforms, no “true” marketing and sales integration (Silos at both the manufacturer and agencies), little or no sales channel leverage/control and hardly stand apart as they virtually “bump” into each other in overcrowded traditional marketing arenas with highly eroded, ineffective and inefficient platforms. The Agencies and Brands response has been to ‘load-up’ on social media which has also become unbelievably crowded and unfortunately is not a solution in and of itself. Coca Cola has one of the largest social followings at 86 million. But in looking at the online chatter that takes place on social networks, Coca-Cola has come to a startling conclusion: there's essentially no impact on sales. This is according to Eric Schmidt, Coca-Cola's senior manager of marketing strategy and insights: "We didn't see any statistically significant relationship between our buzz and our short-term sales." EXCLUSIVE BRAND MARKETING ‘ARENA’S Manufacturers’ own the brand and diligently patent and protect that brand. The brand becomes a valued corporate asset with the objective of growing that brand asset. Yet, brand marketers, like many, if not most, take an exclusive and valued brand asset and throw it into a very crowded marketing arena they neither control, has little or no exclusivity/connectivity and a very ineffective shotgun approach to a lot of “empty seats”. They go head on with competitors in the same inefficient “arenas”, basically seeing who can “scream” louder and more often. What truly differentiates the marketing of these Brand assets … creative? Not in today’s market and certainly not through current executions and platforms; “maybe a little more humor in the spot this time might work huh?” Currently we find a stampede of “value” positioning and everybody’s “screaming” it to where “value” becomes a “commodity” positioning. I’m not suggesting that there is no value to television commercials or traditional platforms, especially when trying to create category awareness or even website traffic…However, as currently
  • 6. 6 implemented, brand connection is highly ineffective and ROI highly inefficient; the ability to truly connect with consumers today through the current use of traditional platforms to produce a valid ROI is simply not there. (Push-pull is a 1950’s model and strategy) Today, an exclusive brand marketing and sales integrated mix platform is called for that actually can heighten the effectiveness and return from traditional media usage, when those mediums are utilized as an integrated part of that focused platform and mix, “own” it; content, programming, delivery platform, integrate and leverage it with both consumers and the sales channels to make it a piece of a “full integrated platform puzzle”, not a stand-alone and ‘hope’. If a main objective of brand marketing is to differentiate that brand from competitors, would it therefore not make sense to have an exclusive means of building and marketing that brand, which in itself, would differentiate that brand? A brand exclusive ‘arena’. Silos & silos The manufacturer has sales and marketing departments generally each with their own (and separate) objectives and agendas (Silos). They each have their own set of “filters”, hurdles and politics. Manufacturers typically “outspend” their consumer marketing budgets on the sales channels with the sales force having their own objectives and usually not in concert with marketing. A huge waste of money. Unfortunately, this is because the sales force is neither armed with anything competitively different to create power over the sales channel, therefore, to get that support they pay heavily for it. And the sales channel is sometimes questionable in its actual participation, compliance or execution with little to no recourse by the manufacturer or the brand. On the “other side”, marketing and their agencies (With silos & silos ) are busy “layering on”; advertising, shopper marketing, internet, direct, ‘experiential’, sales promotion, PR, social, digital; a seemingly endless list of FORCED marketing and sales “puzzle” pieces from “different puzzles”; there’s little or no true integration or connectivity (certainly, little between marketing and sales) and NO “Big picture” marketing puzzle completion, starring back at a very busy and hard to reach consumer. Marketing today goes off in “twenty different directions” until it finally gets to a consumer who isn’t exactly paying attention, while the sales force is off in a different direction most likely armed with only a check book. MARKETING IS “WAR” Marketing today is analogous to being in a war, just ask most marketers. So, how are wars won? Are all of the armed services deployed and utilized in a joint, integrated and focused effort? If you want to win that war… they better be. Imagine if on D-Day any one of the armed forces or allies…failed to show up or showed up at different uncoordinated times?
  • 7. 7 If the navy started shelling the beaches with no connectivity to air or ground forces, what do you think the results would have been? How about if you sent in the army/ground forces with no air or naval support/connectivity? How about if you used only an air attack, hoping it somehow turned into the enemy surrendering; ridiculous all of it, right? Well, look at marketing and sales today; that’s what’s being done and you wonder why consumers or sales channels aren’t “surrendering”? If a marketers’ broadcast (television, radio) internet, twitter, social, digital media is their brands Air Force; sales promotion, couponing, direct, events, their Navy and the sales force and sales channels their Army/Ground Force-it appears there is very little coordination, if any, between one or more of their marketing “armed forces” (silos) or certainly not in time, cooperation or focus for true integration, ‘360 optimizations or maximizing ROI. How in the world is that a winning marketing and sales strategy? It isn’t. Just take a “snap-shot” look at Brand Marketing & Sales today and is it really a wonder why it’s not working at a level that it should?
  • 8. 8 Where’s the connectivity, marketing & sales integration or brand leverage? THE SALES CHANNEL= SITUATION “CRITICAL” I would submit this is one of the biggest threats of all, as brands continue to battle each other head on in the most competitive of times with the most elusive consumer in history. As brands basically serve to weaken each other, here comes a new and well equipped “army” of “new” (and finally declared) competition; private label and to my point, as even major Brands are being “shown the door” by retailers. What protection did they have? Obviously NONE Here’s the bottom line; Brands must control the sales channels in tandem with their marketing efforts. “Buying” the trade is no longer cost effective (especially when you don’t have to) and is actually now “biting the hand that feeds them”. To counter, we have discussed that the Brands exclusively created and ‘OWNED’ platforms serves to connect with consumers (demand) while leveraging the sales channels through the sales channels own competitiveness- and the channel just handed the brand another leveraging tool; Private label –if you know how to leverage it to the brand marketer’s advantage.
  • 9. 9 AGENCIES I am still amazed that agencies and the major holding companies haven’t figured out how to deliver what these, “I’ve had it with agencies,” CMO’s are seeking. Which is also a key to the agencies future success. Agencies talk ‘360, they pretty much have amassed all the marketing ‘weapons’ and puzzle pieces”, but they just can’t synergistically integrate and deploy. Agencies don’t “fix” themselves because frankly, I believe, they simply don’t have to because brands keep paying or they simply do not quite know how to fix it. I contend that agencies, as well as brands primary ‘wall’ in fixing it are their P&L ‘silos’ and the lack of marketing & sales integration. They continue to play it ‘safe,’ but in today’s marketing reality, ‘safe’ is no longer ‘safe’ or ‘smart’. The key today is in creating and delivering ‘true’ ‘360 integrations. I would submit that the people now in charge of integration are not experienced in all of the necessary disciplines that make up a true integrated (‘360) approach. The biggest void is also the most critical; the sales channels and sales forces, which happens’ to be paramount to delivering and maximizing ROI. I would also submit that most agencies or holding companies today are run by “bean-counters,” versus creative’s or account people, which plays a big part in the stagnation of agencies in their pursuit of ‘innovation’ and certainly integration (agency silo’s). The irony is that by creating exclusive platforms it is the solutions or the ‘holy grail’ for agencies “bean counters” for they are highly profitable and the platforms can become agency Intellectual Properties that are growing as exclusive and hard agency assets with a multitude of new and nontraditional revenue streams in a service business! Maybe there’s hope; in a very recent 2016 speech to the 4A’s, Publicis CEO Maurice Levy said,” Publicis Groupe and much of the rest of the industry are now shifting from a structure comprised of specialized silos toward integrated services that operate on marketing technology platforms”. (Make sure to include the sales channel, Monsieur Levy) FAIRNESS TO AGENCIES In fairness to agencies, clients must shoulder the responsibility for their lack of internal ‘integration’ of marketing and sales (their own silos). Marketers, by and large, operate within a huge “maze” with countless departments; usually a sales department at odds with marketing, or certainly not in concert with each other to the needed extent, and usually ‘too many cooks’. Brand ‘360 platforms offered up by agencies would also serve to integrate the client for the client; as it serves both client and agency as an integrated focus and exclusive platform to ‘rally around’ breaking down all party’s silos (air traffic marketing ‘360 controls)
  • 10. 10 Here I would also submit that clients, by and large, aren’t asking or ‘demanding’ from their agencies the platforms they should be creating; they just change the agencies. AND IF THAT WASNT ENOUGH In CPG, retailers are now more concerned with building their own private label brands adding a new ‘enemy’ to your marketing war. (See “situation critical”) There’s well over 90,000 SKU’s in a typical grocery store today, Wal-Mart says “jump” and the brand says “how high”, private label now commands 25 to 40(+) percent of total volumes and today private label is pretty much in every CPG category. Obviously, our sacred Brands are being seen more and more as commodities. Further, Wal-Mart demands brand advertising dollars (in addition to the huge levels of sales dollars already commandeered), as other sales channels follow suit (see Advertising Age’s,” Wal-Mart Brow Beats Brands for advertising dollars”, “From CVS to Costco, retailers put the “screws” to brands,” CVS now bills brands to make up profits” and “Retailers show a willingness to boot even major, well- advertised brands the feared De-listing). Where is the brands’; “fight fire with fire”? Where’s their leverage? THE GOOD NEWS The good news is that there is a very proven cure for what currently ails Brand marketing; The historical model, which frankly is still being utilized by marketers and agencies today, simply needs to be re-engineered based on today’s marketplace Our historical “power” model had a lot less brand to brand competition as part of its attributes; today’s re-engineered model exchanges out the lack of heavy brand competition (then) for what will be a lack of competitive brand marketing competition (now) through exclusive brand marketers marketing & sales platforms, I must also stress that it is very measurable and accountable-unlike traditional mediums today and by its very nature, it brings down the silos at agencies and manufacturers. HISTORY CAN LEAD THE WAY It appears that brand marketing is in a rut for all industries. Traditional/conventional simply is no longer effective in today’s marketing arena and certainly not cost effective in delivering a maximizing ROI. The good news is it’s quite fixable and better yet; “own-able”. The answer is Optimization, Connectivity, a true “360” from inception and it happens to be where ROI lives! It’s marketing with a ‘HEARTBEAT’ and a Brand ‘VOICE’! Marketers take this very expensive asset (brand) and throw it into a marketing and sales ballpark where everyone is out swinging a bat. They spend more and more money on bigger bats and “creative” players; but the audiences, for the most part, have left the ballpark!
  • 11. 11 Why wouldn’t a brand marketer “follow them out” into their communities, have them all to themselves and connect with them where they connect? TAKE A LOOK AROUND Stop screaming at your consumers, because their obviously not listening. Build an exclusive means of marketing, reaching and motivating them (consumers and sales channels) and treat that exclusive marketing asset as you do your brand asset-growing it year after year. PUT THE POWER BACK INTO THE BRAND. And note that this is obtainable in all industries including regulated (Pharma, spirits), cell phones to computers, automotive manufacturers and even Cruise ship marketers. (Dealerships, Travel agents) DISNEY One of the best marketers that exists! Why? Let’s take a simplistic look at their “model” They create the ‘360’ IP platforms. They create and own the content, they control the delivery platforms (Own ABC Television network, Disney Channel, etc.) they control the sales channels(Disney stores, Amusement parks) they control non Disney sales channels through content/brand exclusivity and a working “push/pull” (no competition in their creations), they have constant “live” deliveries to communities (Endless tours), synergistic partnerships, opening new channels, promotion and budgets promoting their products, and they create and own exclusive, truly integrated marketing and Sales IP Platforms Why would brand marketers not build the same model if they could? WHERE DO YOU THINK THIS IS GOING? The marketing “wars” now look to go “nuclear” from an army that controls the ‘ground’ (sales channels) When the battle became highly competitive historically, brands started throwing money at the sales channels to control sales channels participation and support (‘The Ground’), they use to control through brand dominance and “push-pull.” Now, as brands find the most competitive times they have ever faced, they once again are throwing even more money at the sales channels, (Dare I call it shopper marketing) throwing money at the internet and social, digital channels and seem to be panicking- and frankly, probably should be; because they have NO exclusive “platforms” or integrated means of building, marketing and selling their brands. (Just ask MillerCoors as the ‘EX’ official beer of the NFL-whose title now bought by Budweiser) If the sales channels didn’t think the brands were vulnerable to private label-do you think they would be heavily investing the amounts they are investing? Do you think if they weren’t holding just about” all the cards today”, they would be “brow beating” brands for their advertising dollars or be De-listing to the extent they are so doing? Have you noticed how their private label has moved up the shelf?
  • 12. 12 By creating and building exclusive marketing and sales platforms, the marketer is also bringing the brand to ‘life’, directly to ‘me’, engaging ‘me’ and in essence, creating and bringing your own brand sales channel to ‘me’ essentially utilizing a re-engineered push/pull model-for today’s marketplace Even mediums today; Publishers, Broadcast, Newspapers, Portals (AOL, Yahoo) could all be creating integrated ‘360 platforms for their advertisers’ and STOP trying to strictly sell ‘eyeballs’. The ABC Television Network and Nickelodeon have utilized the following ‘Re-Engineered’ model and have proved the power and heavy financial gain in so doing. TODAYS “RE-ENGINEERED INTEGRATED MARKETING & SALES MODEL” It’s the 7 C’s model platform of connectivity, optimization and ROI; Connectivity = Content (origination) + Consumer + Channel+ Communication + Community= Optimization/ Marketer Control/ROI It actually takes the marketing model that worked historically and Re-Engineers it to adapt and succeed today through platform design & ownership, the integration and leveraging of the sales channel and the integration & leveraging of the communications channels (media, social), dominating those channels through original & perpetual content creation & programming; a true “360” in today’s marketing vernacular. “Re-Engineering” also interchanges the brands’ lack of its historical “push-pull” sales channel dominance (now), for what will now be a lack of brand marketing competition through a brand marketing exclusivity (dominance) today, leveraged for brand control at the sales channel through brand platform customizations based on a plethora of sales channels objectives. We also ‘switch out’ the national ‘audience network community’ for where that ‘audience’ is found today-their communities (real and Cyberspace). The 7C’s marketing and sales models’ main tenet is based on the connectivity of all stakeholder’s objectives and the achievement of those objectives Brand marketer control, connectivity and optimization is achieved through; content origination and ownership, simultaneously adapting, connecting and customizing for other stakeholder’s needs and objectives (channels) “owning”, leveraging, controlling and customizing for the communication and sales channels,(giving the sales force “power”) “shaking hands with, engaging and relating (connecting) to the lifestyles’ of highly targeted consumers, influencers, owning, controlling the delivery platforms and directly targeting and delivering the brand platforms - “fishing where the fish are”; consumers ‘dual’ communities. It also integrates, heavily leverages and optimizes both marketing and sales spends, as it is always designed on true ‘360 strategies while always based on a Pre- required, Pre-secured ROI.
  • 13. 13 A TRUE “360” = S+M+A+R+T A perfect acronym for the 7 C’s model of connectivity is S+M+A+R+T! “Smart” Marketing; Sales, Marketing, And ROI Together; Marketing and Sales have to go together on one platform today. It’s “building a brand WHILE you ring a cash register”- Not “hoping” marketing turns into sales, rather, having the model to do so. (Shoppers, Manufacturers, Analytics, Retailers, Together) “AIR TRAFFIC MARKETING CONTROL”-BRINGING DOWN THE SILOS! An exclusive Brand proprietary marketing Platform (stage) inherently acts as a central focus for all marketing disciplines. It also simultaneously customizes and integrates for the sales channels objectives, (what’s in it for me?); leveraging exclusives the channel “must” have and participate in. It plays upon the channels competitiveness, their community consciences, and “fear” of being left out (in core business and their private label); and it customizes and leverages for all communications objectives (media, social…) delivering a big media ROI, all of which putting power back into the Brand and their sales force. It heavily arms and equips the sales force with a multitude of new and powerful tools based on their customers’ objectives, boosts morale and allows for long lead time sell in, as the brands’ exclusive platforms are much anticipated yearly/quarterly “happenings” It acts as “air traffic marketing control” ; connectivity between all marketing disciplines, agencies and between marketing and sales-delivering a true integration and brand focused platform (sorely missing today) It naturally brings down both the manufacturer and agencies ‘silo’s-a big problem today. The Brands ‘Smart’ Marketing & Sales Platform is an exclusive brand/marketer and sales force ‘360 ‘hard asset’, now, and for years to come and always based on pre-required and delivered ROI. Likewise, it can be an agency hard asset for years to come too. EXCLUSIVE MARKETING AND SALES “SMART HARD ASSETS” Today, think of the brands exclusive marketing and sales Platform as the creation and origination of content and programming based on; multiple research, consumer insights, data base analytics, brand USP’s, positioning, objectives and simultaneously on the consumers, influencers, channels lifestyles and objectives, the sales channels objectives/competitiveness and the media’s objectives, therefore making its’ audience’s and demographics highly targeted, highly reached and highly receptive- “What’s in it for me”-for all stakeholders. Brands continue to buy into other’s platforms such as; the NFL, MLB, NASCAR, GRAMMY’s SUPERBOWL Etc. What power do you think a brand would have if they owned or controlled any of the above platforms versus currently ‘renting a piece of them’?
  • 14. 14 What leverage over consumers, sales channels, mediums and social channels do you think the Brand(s) would have-let alone, totally competitive free versus seeing one car ad or beer commercial ‘one after the other’? When it was announced that MillerCoors was “outbid” and had lost the rights to Anheuser-Busch (AB) for the ‘official beer of the NFL moniker’, couldn’t have made my point any better. A non-owned or controlled platform that MillerCoors paid HALF A BILLION DOLLARS to be but a part of, over 8 years! (Not counting all the dollars needed to tell you they were the official beer) So, now what asset do they have? Not an exclusive IP marketing & sales platform they could have grown and owned for years at nowhere near $500,000,000! – Moreover, an exclusive marketing and sales tool in multiple sports and other categories they would now truly own with a ton of money left over. AB too will be building absolutely no marketing and sales long-term asset or platform equity as the currently ‘official beer’. Is it really that easily interchangeable to consumers? Do you really think they care? And ironically, Advertising Age reports that” In the beer industry, millions are spent on advertising by the MillerCoors, Budweiser’s and yet, Pabst (PBR) who spends almost nothing comparatively is skyrocketing as they have managed to embed themselves locally” THE EXCLUSIVE MODEL…BRINGING DOWN ALL THE SILOS, BUILDING AND SELLING BRANDS Here then is a look at the Exclusive 7C’s ‘SMART’ Platform; Model of Optimization, Connectivity, multiple ROI and “air traffic marketing control” ‘360:
  • 15. 15 It all starts with a platform design of marketing and sales objectives ‘hand in hand’ integration from inception; Brand building USP’s, content origination and platform “ownership” are all pre integrated and focused as are all the ‘traditional’ and ‘new’ mediums all ‘marching’ in the same choreographed direction; customized, leveraged and directly delivered to communities, consumers, sales and local communication channels-it’s the ENTIRE marketing and sales arsenal & puzzle “completed” prior to “deployment”-not deployed in pieces! This means creating marketing that is not only based on the brands objectives, but on the objectives and lifestyles of the models’ other connectivity “C’s” or Stakeholders, critical to the success of the brand; sales channels, sales force, consumers, communication channels and communities. ITS NO SECRET In our historical look when brands were in control and successful in their advertising and marketing, we found that the marketer created and controlled original content and programming.
  • 16. 16 We found that their advertising and content origination was delivered ‘directly’ to, and reached, a highly targeted audience and demographic with a high degree of believability and connection. We found that the marketer, for the most part, controlled the communication channels and delivery platforms-they also controlled the sales channels. SUMMARY I am not suggesting that Brand Marketers and agencies stop what they’re doing and start building nothing but exclusive IP marketing & Sales platforms. On the contrary, ‘360 Platforms utilize all traditional mediums. Agencies have been promising total integration for years (Remember “the whole egg” or “Squeezing the juice” etc.). What I am suggesting, is a highly proven model for actually delivering on the promise, all with built in and PRE-SECURED ROI! It’s what I call “IP2 -as it is an agency or brand Intellectual Property, and simultaneously, an “Insurance Policy” as it always delivers impressive sales, impressive ROI. So why wouldn’t a Brand marketer or agencies add IP Platforms to their arsenal? I submit they simply haven’t been offered the opportunity. Oh, did I mentioned that in addition to pre-secured ROI, how about a ZERO budget impact to go with that success? (That’s for another time and White Paper) As far as agencies, these platforms have actually been called, ‘the holy Grail’ for agency holding companies-as the platforms are “hard assets,” while serving to truly integrate and utilize all sister agencies and services (finally bringing down those silos)-while delivering clients leveraging power and a multitude of ROI. Brands’ marketing & Sales objectives in tandem with all stakeholders’ objectives, both satisfied simultaneously, “courtesy” of the Brand, is just plain… SMART! ABOUT THE AUTHOR Paul Stanley has spent over 30 highly successful years in marketing and sales which includes; advertising, sales promotion, direct, event and experiential marketing, media, social, digital, internet, E-Commerce, Broadcast, programming and concert promoting. He also has created for and worked with virtually every class of sales channel and every classification of sales forces. Founder & Creative director; PS and Partners, Co-Founder & Creative Director Tenth Power Marketing Honored in Promo Magazines “100 years of events and platforms that pioneered the industry,” with the exception of the Bud Bowl and Macy’s Day Parade, Paul Stanley created them all Authored, “Fixing the Flaws & Myths of Shopper Marketing”2016
  • 17. 17 Authored the first book on Event marketing & sales platforms for Northwestern University; “Its’ NOT about the Event-Building a brand while you ring a cash register”-Dartnell Press Adjunct Professor of Integrated Marketing Northwestern University Graduate School-IMC Masters of Advertising program; Michigan State University Created and Trademarked; the 7C’s™ marketing & Sales model of connectivity, optimization & ROI Authored: the “Re-Engineering of Marketing & Sales 2016,” Authored: the “State & Future of Pharma Marketing,” Authored: the “Invisible” Manufacturer-a new B2B Marketing & sales ROI model 2015 Created and trademarked; Sponsownerships™; the first “360” Marketing & Sales platform ZERO marketing budget impact Model Founded PS Promotions Inc.- the first and ultimately largest experiential, event, & “360” marketing & sales integrated platform firm in the business. Represented some of the largest marketers & brands in the world including; Procter & Gamble, Philip Morris, Ford, Chrysler, Kraft, ABC Television Network, Nickelodeon Network, Sony, House of Seagram’s, Premier Cruise lines, AT&T, Motorola, Discover Card, SC Johnson, Wordperfect software, Keebler, Frito-Lay, Dairy Farmers of America-Co-op… Represented/worked with every class of trade (25 years); Mass, Walmart, Target, drug, Walgreens, CVS, grocery, C-stores, Auto-dealerships, On/Off premise, Travel agents… Trained/assisted/equipped & empowered Manufacturers’ Sales Forces-All classifications; Direct, Brokered, Distributor-Plethora of Industries Major agency clients including: Leo Burnett, DDB, JWT, Havas –Created Intellectual Property Platforms/ Integrated marketing and sales/sales channel platforms and execution for their clients. Founded & Built I IMAGINE Inc. advertising agency Reach Paul at: Pstanley@Tenthpowermarketing.com 312-550-7285 The data and ideas presented herein are the property of Paul Stanley Use and/or reproduction of the materials contained herein, and/or the verbal portion of this Whitepaper presentation, without the prior knowledge and written consent of Paul Stanley is strictly prohibited. Copyright2016© Paul Stanley all rights reserved