This site uses cookies. By continuing to browse this site you are agreeing to our use of cookies. Find out more here.

About this blog

M&M’s Blog goes behind the headlines to offer a running commentary on the business dynamics within the international media and marketing industry. The M&M editorial team joins forces with industry experts and local market heroes to balance a bird’s eye view of global trends with the importance of local insight.

RSS feed Subscribe to blog feed

  • Schmidt: "There will be an Android in every pocket"

    29 February 2012

    Eric Schmidt 

    Google executive chairman Eric Schmidt has expressed high hopes for its Android operating system, even going as far as to say that in just 12 years time, every consumer across the globe will own one!

    As Google's ex-CEO addressed delegates during a keynote speech last night at the Mobile  World Congress in Barcelona, his bold statement about Android's impending success was met by cheers of laughter and clapping, as competitors such as Blackberry and Nokia sat in the wings at what is considered the biggest global event for the mobile industry.

    "A mobile experience at least at the level today will be available to everybody, at a fraction of the price," he said. “In 12 years, handsets are going to be 20 times faster, which means phones that cost  $400 now will be available for $20."

    "If Google gets this right, there will be an Android in every pocket," he said. "At our current growth rate, this is possible."

    He made the statement following a live demo from Google's Hugo Barra showcasing  'Chrome App for Android' which is now available in BETA. He described the app as "a product that brings together for the first time these two technology worlds."

    Comments (0) | Permalink

    Posted by: Jenni Baker

    Tags: Mobile, Google

  • Male skincare…back to basics?

    29 February 2012

    L'Oreal 

    By Mark Fiddes, executive creative director of Draftfcb London. 

    What’s the latest breakthrough in men’s moisturisers? Clue: it gives you wings.

    Yes, the active ingredient in Red Bull, taurine, now comes to L’Oreal Hydra Energetic, according to their latest ads fronted by Sparta’s very own King Leonidas a.k.a. 300 actor Gerard Butler.

    But are men dumb enough to believe that traces of 2-aminoethanesulfonic acid in their face cream will make them: more manly, younger looking and drink less Red Bull?

    Let’s start with manliness. Contrary to popular belief, taurine is not strained from bull’s testicles. Quite the opposite: it was first identified in in the saliva of oxen which, just to be clear, are bulls without balls. The name comes from the Ancient Greek for bull, via Latin and has most successfully been applied by Ford to its Taurus model, recently awarded No. 1 Affordable Large Car by US News and World Report.

    Does taurine make you appear more youthful? Yes, if you’re a cat. As felines cannot synthesise the compound, they need regular quantities of the stuff in their food to avoid hair loss and blindness. If you’re a man, then mixing taurine with vodka has been known to turn subjects into paragons of infantile helplessness, exhibiting mewling and puking behaviour.

    So if men are taking taurine by face rather than mouth, will sales of Red Bull slump? This is where the Austrian drink manufacturers missed a trick. They should have got into their own range of male cosmetics first. With the Formula One sponsorship already tied up, they couldn’t fail.

    At the very least we can thank L’Oréal once more for elevating marketing bull to a whole new level.

    This blog post was spotted on adblah.

    Comments (0) | Permalink

    Posted by: Bloggers' Gallery

    Tags: Marketing

  • When I die you won't hear about it on Facebook

    23 February 2012

    Last year I lost a childhood friend who died at the untimely age of 26 from a heart attack. Being from that generation that turns to Facebook to express all emotions one of the first things I did was go to his Facebook wall to write a message like many of his other friends that were also grief stricken.

    My friend Mark was funny, kind, thoughtful and an all around good guy which was reflected in the messages left for him from around the world and the final things that he had posted on his Facebook profile before he died. And while I did feel some comfort in seeing how much he meant to others I couldn’t help but feel that Facebook was the wrong environment for a real-life experience of this importance.

    Facebook is accused of being many things: a great place to keep in touch with old friends, a place to stalk old flames and the place to interact with brands (possibly one of its more contentious associations). Despite Facebook becoming the place to post all of your holiday snaps and announce your relationship status I find it very impersonal and one of the reasons (including the passing of my friend Mark) why I am no longer on the site after being an early adapter of it. The launch of a new application that announces your death on Facebook cements my feelings towards the mega site even more.

    The developers of ‘If I die’, an Israel based start-up company that specialises in 'time capsule' services and products, boasts that it is the ‘first and only Facebook application that enables you to create a video or a text message that will only be published after you die’. After three self-appointed trustees confirm your death a pre-recorded or written message will be published on your Facebook profile for everyone to know your final thoughts, or philosophy of life.

    I find this horrendous, and the flippancy with which the developers talk about death in their promo video for the app I feel pleads my case as to why I don’t find Facebook to be the place to deal with our emotions when someone close to us passes. I am sure many of us would like to get that one last message, thought or glimpse of a loved one when they die, but on their Facebook page?

    I think not.

    Comments (0) | Permalink

    Posted by: Martina Lacey

    Tags: Facebook

  • The state of gaming: an infographic

    23 February 2012

    Earlier this week, M&M Global hand-picked some key findings from Spil Games’ 2011 State of Gaming review, but enough of boring numbers, here's a fun and colourful infographic that illustrates all the stats you need to know about the state of gaming in 2011.

    Comments (0) | Permalink

    Posted by: Jenni Baker

    Tags: Gamification, Gaming

  • Do brands in a category always revert to mediocrity?

    15 February 2012

    It is an indisputable fact that purchasing in product and service categories obeys the law of Double Jeopardy. This is - stated at its most simplistic - an empirical generalization that higher market share brands achieve stronger customer loyalty than lower market share brands in the same category. But the thing that always intrigues me is whether all brands obey the Double Jeopardy law to the same degree all of the time.

    Take pretty much any data set at a point in time and plot brands on a graph comparing a penetration metric with a loyalty metric, and you will find a consistent relationship between the two; the higher a brand’s penetration the higher the loyalty. The metrics could be awareness and claimed trial, familiarity and favorable brand attitudes or actual penetration and repeat purchase, and the pattern will be there and favor the bigger brands. The obvious conclusion to be drawn from Double Jeopardy is that to grow market share, a brand must first grow its customer base.

    Two facing goldfish

    But Double Jeopardy only holds if brands are broadly substitutable and appeal to the same target audience. And having spent more time than I care to think about looking at brand scatter plots like the one described above, I have noticed that some brands manage to break away from the category relationship. A few appear to do so on a consistent basis, and others do so only temporarily. Brands that manage to achieve a higher loyalty than is predicted by the category relationship tend also to be the ones that have managed to innovate, and create a perception of meaningful differentiation versus the competition. The ones that fall short tend to be premium brands that have lost their differentiation.

    This observation makes me wonder if over time brands tend to revert to the category mean. In other words, from time-to-time brands find a way to innovate – either tangibly or intangibly – creating meaningful differentiation that allows them to command more loyalty than their size would normally dictate. But competitive pressures then erode that advantage, returning the brand to the category norm.

    But a return to mediocrity is not pre-ordained. In today’s hyper-competitive marketplace, tangible product innovation may not provide a sustained advantage but the same cannot be said for intangible differentiation created by effective marketing. Events, sponsorship, games, causes and communications all provide a mechanism by which marketers can reinforce what a brand stands for in the minds of its consumers.

    Even a small advantage in terms of consumer loyalty should be worthwhile provided it can be sustained over time. If you can retain more purchasers or encourage them to purchase more often, then the return on acquisition costs should be higher.

    But a temporary advantage is less likely to provide a good return on investment. But then marketing is not just about justifying differentiation in order to sell more stuff to more people. Marketing is also about selling more stuff at a higher price. Depending on your aspirations for your brand, maybe you are better off not worrying so much about volume growth but making sure your brand justifies its price premium (to read more on this topic click here).

    So what do you think? Are brands destined to revert to mediocrity? And is it possible to sustain a price premium without adequate differentiation? Please share your thoughts.

    This blog post was spotted on Straight Talk with Nigel Hollis.

    Comments (0) | Permalink

    Posted by: Nigel Hollis

  • Knowing what triggers people’s brand impressions: is it as important as what comes to mind?

    13 February 2012

    For some time now I have been exploring the role of meaning in marketing. I think being perceived as meaningfully different is the origin of a brand being able to command a price premium. So if your brand is one that aspires to command a price premium, then you need to understand what makes it meaningfully different from the alternatives.

    But meaning is in the eye of the beholder. So much as marketers seek to add meaning to their brands, the user also adds their own unique meaning to what the brand stands for, and the latter may be far more important than anything the marketer says or does.

    Marketers provide a sense of what the brand stands for; a collective meaning. And then consumers add their own unique interpretation; a layer of meaning that is more motivating to them than the collective one.

    This is not to say that collective meaning isn’t important. As I stated in my "Our Brand, Not Yours" post:

    Any symbolic power wielded by brands is rooted in a collective understanding of what these brands represent. Perceptions of powerful brands such as Coca-Cola, Apple iPod, and Harley Davidson, consist of well-known and widely shared associations, which form a base on which people can add their own individual, subjective reactions.

    So a collective understanding is critical to the power of brands. But those shared impressions may be less compelling than the individual, simply because they are less specific and personally relevant.

    Interestingly, I am not sure that the nature of those individual impressions really matters too much. After all, people respond to impressions of the world around them not specific attributes. Ask me what color my wife’s eyes are and my memory fails me, but I can recognize her as soon as I see her, even in a crowded room.

    My colleague, Gordon Pincott, suggests the same is true of brands. We don’t consciously remember everything we have ever experienced about a brand rather we retain a general impression of it. Gordon uses the word “gist” to describe this mental impression. And that mental impression is all important. It defines our relationship with the brand.

    But in order for the gist to have an effect, it must first be triggered by something. Just as differences in hair color and physique prompt my ability to recognize my wife in a crowded room, so too we respond to specific elements of a brand. It could be the color, text, sound, shape or smell that triggers our impression. Knowing what the most salient triggers are and the strength and valence of that impression is really important. Because in today’s crowded and fast-paced world, you only have a second to make a good first impression.

    Knowledge of a brand’s most prominent recognition triggers can help determine what is featured in ads and in-store to create a more coherent impression of the brand across all touch points (for more on this topic, see Gordon Pincott’s point of view, “The Keys to Brand Success”).

    From a research viewpoint, it makes me wonder about the utility of some of the brand equity questionnaires I see. Many of them are loaded up with attributes that are more important to the marketer than the consumer, and which usually correlate very strongly with generic statements like “never lets me down” or “I love this brand.”

    If we really want to know what inspires those reactions, I believe we need to adopt a more personal approach, such as qualitative interviews embedded in surveys, IdeaBlog® or in-depth interviews to find out not just what makes the brand meaningful, but what triggers those impressions most strongly.

    So what are your thoughts on the subject? Do individual impressions matter? And do marketers really know what triggers that all important first impression? How can we best use research to understand these factors?

    This blog post was spotted on Straight Talk with Nigel Hollis.

    Comments (0) | Permalink

    Posted by: Nigel Hollis

    Tags: Branding

  • OOH to OOO: The birth of out-of-oven media

    07 February 2012

    Contrary to what some believe, due to a certain feature that appeared in M&M last year under my watch, I am a big fan of out-of-home media. I would go as far as to say that OOH is my favourite platform.

    Why is it my favourite? Well due to all of the creative, engaging and sometimes somewhat outright absurd things that you can do with it. Case in point the current work that JCDecaux has done in the UK for McCain and its new Ready Baked Jacket Potato range. For those not familiar with the awesomeness that is a jacket potato, it is basically a baked potato filled with toppings ranging from baked beans to my personal favourite tuna and sweet corn.

    I know what you are thinking, why would anyone want to buy ‘ready-made’ jacket potatoes when they can already pop ‘non-readymade’ potatoes into the microwave when in a rush or in the oven. Who knows and that is a whole other blog post. But back to JCDecaux.

    As part of the marketing push for its new range McCain wanted to recreate the in-home experience of its new product to consumers in the streets, so naturally it turned to OOH. The result of this brief is 3D, 2-feet high, fibre-glass jacket potatoes appearing on bus shelters across the UK that heat up and smell of oven-baked jacket potatoes. But wait, it gets even better! The bus shelters also dispense money off coupons.

    McCain Jacket Potatoes 

    The images for this campaign speak for themselves and almost have me convinced that Ready Baked Jackets are a good idea – but not quite. However, one thing that it does cement is my love for OOH and the innovation that comes along with it. We might not have smell-o-vision yet but who needs it when we have interactive jacket potatoes rolling around the place!

    Comments (0) | Permalink

    Posted by: Martina Lacey

    Tags: OOH

  • Who wants to be a CEO?

    07 February 2012

    By Kamini Banga, brand consultant

    Think hard before you say yes to the above question. Listening to chief executives, economists and academics at the World Economic Forum in Davos, it appears that business today is between a rock and a hard place and it is a wonder that they can do anything at all. Well, there are several rocks and hard places really. Here is a list that came up again and again during different discussions.

    Short term versus the Long termboth are critical – in a rapidly changing environment staying on course for long term goals and future vision is critical for business. These gains may come at the expense of short term pain and this cannot be easy for business leaders most of whom are under constant scrutiny from shareholders, society, government and the media.

    Globalisation versus Protectionismone gives rise to the other – it is evident to everyone that globalisation is in everybody’s interest. Developed countries need to extend their global footprints to economies that are growing rapidly (read developing nations). That is not enough, for them to remain competitive they also need to offshore their manufacturing to many of these countries. However, rising unemployment and declining economies makes it imperative to first protect jobs at home. Migration policy also needs tightening as scarce jobs become scarcer with skilled migrant workers hungry for jobs. It would seem as if protectionism is a natural outcome of globalisation.

    Young versus Oldnot either or – as current models of capitalism and globalisation come for scrutiny and debate, there is a need for new models that call for greater disruption than those who grew up in the old world order will allow or have the skills to bring about. Unfortunately, the young are lacking the right education and the necessary skills to change the old models that perhaps need revision or a complete overhaul. Business versus the Government – friends or foes – while some regulation is certainly needed, there is perhaps a greater need to deregulate some areas that might be holding back growth. Labour laws and FDI rules are only some of the areas where easing stranglehold of policy might create jobs and increase competitiveness. Michael Porter presented a study done among HBS alumni that shows a decline in the US business competitiveness, primarily, because of government interventions. India has the same story, unfortunately.

    Business versus Society – certainly not friends – With rising income and inequality in both developed and developed economies becoming a tinder box, the debate on the 1% versus the 99% is finding expression in Occupy Wally Street, the Arab spring, Anna Hazare movement in India, riots in Britain and Wukan in China among other parts of the globe.

    Business versus Mediaadversaries – Media perhaps has overreached itself in its role as watchdog. They are now crucifying business without presenting a balanced view of events. Bankers have been their target and as a consequence everybody loves to hate them. Is the stigma of the financial world coming to haunt the entire business world?

    With so many challenges and so many adversaries is it any surprise that business is in the state that it is. While everybody seems to have taken a position against them, it is important to remind ourselves that business is the engine for growth, job creation and upward mobility. There is a need for civil society, government and business to come together to create a future that cannot be built without cooperation and collaboration.

    This blog post was spotted on The Economic Times

    Comments (0) | Permalink

    Posted by: Bloggers' Gallery

    Tags: Business models, Talent