In Challenging Times It Pays to Advertise
by Warren Tyler
July 22, 2008
Something I rarely write about is
retail advertising. Not that it’s a subject I am unfamiliar with, but there
have been other priorities. In addition to this, the subject is controversial
simply because there are so many opinions on the subject and more importantly,
it is an area where fiber producers, marketing people and manufacturers insert
themselves. While these people and their organizations are indispensable to all
of us, their agendas are at odds with that of most retailers.
First we
need to understand that marketing is distinct from sales. Marketing has a place
in retail advertising, but only in an advisory capacity. Marketing is desk
work. Selling is field work. Marketing addresses groups of consumers. Selling
is more difficult; you are dealing one-on-one with individual consumers, each
unique in his or her manner. A manufacturer’s marketing effort is aimed at
creating desire for a product among targeted groups. Retailers, meanwhile, are concerned with directing individual
consumers to purchase products from an individual store. If you think about
these two agendas, it becomes apparent that sales and marketing can be
competing activities. Moreover, both require unique skill sets.
The
problem arises when marketing types bring their “create-a-desire
for-the-product-agenda” into retail advertising. We desperately need the input
of marketing people to help create effective retail ads, but it should be
strictly in an advisory capacity. Unless they are retail advertising experts,
they shouldn’t be creating advertising for retail stores.
Effective
manufacturing advertising programs such as, “Carpet From the Looms of Mohawk,”
“Home Means More With Bigelow on the Floor” and the ingenious “Stainmaster”
promotion have been legendary, but any retailer running offshoots of the ads
produced by their suppliers would most likely be disappointed by the response.
Because
these professionally produced ads from manufacturers and suppliers look so good
and are free, retailers run them. Sometimes it’s possible to make a few changes
that would make these ads productive for the retailers, but the altered ads may
not qualify for maximum (or any) co-op advertising funds. Retail ads need to be
designed for one specific purpose: bring consumers who are ready-to-buy to a
specific store.
A great
retail ad will have people lined-up at the door, in some cases hours before you
even open. I must admit, I have been totally unsuccessful trying to explain the
difference to manufacturers but it really is two different worlds.
There
have been some great retail advertising campaigns in this industry. Einstein-Moomjy’s “A Good Carpet for Bad
Dogs!” featured a sad-eyed Bassett
Hound and Teddy Einstein saying in a cartoon balloon “I can’t sell this
beautiful Saxony plush for $8.99!” while his partner Walter Moomjy stands back
to back with a balloon over his head saying, “I can!” Jordan’s Furniture had a
great radio ad that taunted their much larger
competition: “Not to be confused with Jordan Marsh!” said the ad
directing consumers to buy from their particular store.
Another
difficulty is that the advertising industry abrogates responsibility for sales.
Whenever I asked the question about responsibility for sales at advertising
sessions, the room fell silent. The ad people would finally say they were more
concerned with “image,” “positioning” or the “desire thing.” That’s terrific if you’re advertising Guess,
Coach or Canali in fashion magazines, but it doesn’t work for our retailers.
The great divide results from the elite mindset of the
advertising industry. The top people
concentrate on suppliers, while “retail” is treated as the poor sister, not
really worthy of their best efforts. The greatest of the great advertising
geniuses, David Ogilvy, understood the correlation between advertising and
sales. I have often referred to him and his incredible book Ogilvy on
Advertising, (a must read, by the way) as I set out to prove to ad agency
people that, yes, they are indeed responsible for sales.
A Unique Selling Proposition
David Elychar’s success with Big
Bob’s Flooring Outlets is a direct result of his unique TV advertising. His
premise was that there are more K-Mart shoppers than Neiman-Marcus shoppers.
The characters he created kicked off his nationwide franchising operation.
David took on the persona of several characters in these ads which created
intense interest while rarely, if ever, mentioning price. Seeing is believing;
when walking with him in Kansas City years ago, people continually approached
David to ask for his autograph.
Einstein-Moomjy’s
reputation was such that during busy times before the holidays, they would have
to hire outside trucks to keep up with deliveries. There are stories of E-M
customers who actually refused to accept deliveries because the truck wasn’t
marked with the distinctive E-M logo. Customers wanted their neighbors to know
just where they had purchased their new flooring.
Your ad
should focus on your unique selling proposition (USP). This is something you
have that separates you from every other store. A USP is sometimes difficult to
find and it can be anything. Many athletes invest in restaurants and auto
dealerships—their celebrity being the USP. A product or service can be a USP. Right now, for example, fiberglass backed
vinyl can be a USP because every other store is stuck with the old fiber backed
vinyl.
Granted,
a specific type of vinyl is not an ideal USP.
It would be better if you could promote the services of the trained
decorators you have on staff. Few stores offer such a service, so this would
qualify. Retail is giving consumers a compelling reason to flock to your store
and no one else’s. Advertising produced by suppliers doesn’t accomplish this.
Under
distressing economic conditions, retailers can not afford ineffective
advertising. Today, there must be an immediate return on advertising. No one
can afford useless headlines such as “Spring Fling,” “Color Your World,” “The
Colors of Spring,” “Long Hot Summer Sale Days!” or “Autumn Jamboree!” These are
marketing headlines masquerading as retail advertising.
Professional
retailers know the “Proven Consumer Buying Periods” and they build promotions
around these periods. The headline should identify the event: “Veteran’s Day
Sale!” It must be dominant in the media, have a descriptive sub-headline
explaining the reason for the sale and stress immediacy. “One Day Only!” is far
more effective than “One Week,” which is weak. Some words are still magic;
“New!” “Introductory,” “Sale!” “Free!” “Revolutionary!” “Breakthrough!” Too good to use these words? You have to
maintain your image? Remember, you can’t take image to the bank.
The
secret to successful retail advertising is the ability to bring consumers to
your store; be it a celebrity, a character (local celebrity) like Big Bob, a
USP or an overwhelming promotion planned around the 8-10 proven consumer buying
periods.
A word of
advice: most advertising agencies are unfamiliar with the art of retail
advertising. Media people, especially in print, have little idea of the
intricacies of retail advertising, so be careful. Unless you are lucky enough
to find a talented retail agency, your best bet is to do the research and guide
a local agency through the steps. Most importantly, now is not the time to save
money by not promoting.
One last
note: retailers are periodically surveyed about the reasons consumers buy
flooring and, more importantly, the chasm the often divides suppliers and
retailers. The results, predictably, are always the same. Given the choices,
consumers overwhelmingly rank the reasons for selecting the floor covering they
did as: color, style, quality, store reputation and price.
Interpreting
these results naively brings manufacturers, suppliers and, on occasion, even
the trade press, to offer this seemingly logical bit of advice: If these are
the reasons consumers say they buy, why not advertise color and style?
Knowledgeable retailers would immediately answer, “Because
that is not what brings people to the store. Consumers select the store based
on perceived value, not color and style. It’s only after she finally steps
through the door that these factors become valid—duh!”
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