SECRETS OF SUCCESS

My friend Jolene Pellant sent me an email today with a link to BusinessBrief.com.  She wanted me to see “Walt Disney’s 8 secrets to success” that they had written about.  Jolene knows that Walt is one of my business heroes and always believed that experience was most important.  Here are Walt’s secrets that you might want to work into your daily life.

1)      Provide a promise not, a product: The Walt Disney brand certainly delivers that.  From the moment Disney started the focus was always on the “experience”.

2)      Always exceed customer’s expectations: As stated in the last newsletter, over-delivering can be a cheap and effective marketing technique.  Going over budget to make the experience wow your guests one year might save you a lot of money in marketing dollars the next.

3)      Pursue your passion, and the money will follow: You may know that Walt went bankrupt several times building his dreams.  Work on labors of love and the profits won’t be far behind.

4)      Stay true to your company’s mission and values:  As it says on BusinessBrief.com, “Walt Disney was famous for saying; I hope that we never lose sight of one thing – that it was all started by a mouse”.   

5)      Differentiate your offer: Six-Flags are amusement parks.  Disney Land and Disney World are theme parks…actually “Resorts” complete with themed hotels and restaurants. 

6)      Lead by example and delegate: Walt was the original artist for Mickey Mouse.  He was also the man would ran the studio, sold the pictures to movie houses, cut distribution deals etc.  As the company got bigger, Walt hired the right people to take over those jobs. 

7)      Defy convention: Don’t listen to critics and those that can’t follow your dreams.  Everyone thought Walt was crazy when he purchased thousands of acres of swampland in central Florida.  Now, not so much.

8)      Leave behind something to grow: Just think about how much the Walt Disney Company has diversified since Walt’s death. 

Sure there will only be one Walt Disney, but it doesn’t hurt to try to emulate the best.  If all you are looking at is cutting budgets, stop.

Speak with you soon…

Jim

PURCHASE DECISION TIME

It isn’t just the economy…or marketing clutter…or technology…or number of entertainment options…or price, that has reduced the time consumers take to make purchase decisions, it is all of the above.  This should weigh heavily in your mind as you are drawing up marketing plans for 2010. 

PRINT

Not dead…well certainly not for music anyway.  Fans still go to their local weekly publications for news about what’s happening around town.  The key is to change your messaging if it isn’t working.  Dailies have a place in the world too, but not for your advertising.  For those managers still making promoters buy full-page break-ads in the NY Times, please stop.  Monthlies, their deadlines are too far out for most of us.  How do you know what your messaging should and will be in 3-months?  

Social Media

You need to really commit yourself to this.  No sticking your toe in the water.  There needs to be a fulltime voice or voices online.  You can’t go half-ass or fans will either take over the conversation or you will end up talking to yourself.  If all of your social media efforts are self-serving, you will fail.

TV

If you are going to use television, start producing content the public will take notice of.  Remember what you are competing with. 

SEARCH

Search marketing such as Google and Yahoo! can be very effective.  Just don’t buy-in to your marketer’s claims of 300% ROI.  A click isn’t a purchase.  Measure appropriately. 

RADIO

Again, don’t listen to those holding the crystal balls.  In 2010, radio is still a very effective way to reach a targeted audience.  The problem is our radio spots are too cluttered.  With all the sponsors, pre-sale info, new album info, promoter info, “concert series” info, and website addresses, most of the time the message we want to send isn’t getting through.  Test for yourself.  Listen to a radio spot from a national advertiser and then one of ours…on the radio.  It will make you laugh. 

PUBLIC RELATIONS

PR is a lost art.  What happened to publicity stunts?  When did our talent get so precious that they can’t speak with journalists anymore?  If you can find a good publicist… like I did with Giant Noise, you should hang-on for dear life. 

YOUR WEBSITE

Keep it simple and easy to navigate.  Make sure you have as much information as possible on your site, as well as a place for visitors to contact you.  If guests don’t have a way to purchase tickets on your website, kill yourself. 

MAILING LISTS

Whether online or not…NO SPAMMING!  You must get permission to talk to someone.  No permission, stay away.

PRICING

This doesn’t always mean going lower.  As many promoters found over the past several years, the same ticket that wasn’t selling at a P2 price will sell at a P1 price.  At the same time, rewarding fans for purchasing early versus late would help.  By discounting tickets as you get closer to the show, you are training your customers to wait even longer than they already are to buy.  Flip the model.  Why not make tickets more expensive each day?  That would certainly get some attention if nothing else.

LOYALTY PROGRAMS

We haven’t really been able to get this right since the Columbia Records Club, but it doesn’t mean we should stop trying.  Take a look at what Harrah’s has done.  Hell, Amex makes you pay to be in their loyalty program if you think about it….and the same with many artists’ fan clubs.  The key is to know your customers.  What do they see as a value?  If you are doing some of the other things right, you will know.

OVER-DELIVER

Instead of looking for ways to cut your budget this year, search for places to over-deliver for guests at every touch-point possible.  As marketing guru Seth Godin recently wrote, “Radically overdeliver. Turns out that this is a cheap and effective marketing technique”. 

MAKE YOUR MESSAGE TIMELY

Anyone who has followed how automaker Hyundai and its sister Kia have used the economy in their messaging to sell hundreds of thousands of cars in the U.S. will understand this point.  Because Hyundai could move so quickly, they were able to roll-out their “Hyundai Assurance” program.  Perfect messaging that resonated with consumers. 

A PLAN IS NOT A GRID

A grid showing where and when you are buying adverting isn’t a marketing plan.  You must understand that each show is different.  That every act is a brand…so is every venue, promoter, and producer.  Measure your results. See what’s working and what’s not.  Although you do have a plan in place, it doesn’t mean it can’t be amended. 

Keep Trying…

Jim

COMPARISON ADS

Happy New Year!  At some point I will write a Newsletter (which also appears on my Facebook page, etc) on why I haven’t been writing newsletters recently…but not now.  Today I want to rip-off some more business’s  advertising ideas.

Have you seen the Allstate Insurance TV spots where they compare their competitor’s prices to Allstate’s?  We could do the same type of ads comparing money a consumer spends on a video game…or trip to the movies that one thinks is so inexpensive…or going out to dinner, etc, to going to a live event or purchasing music.  The comparisons don’t and shouldn’t be limited to a financial message, since our ticket prices aren’t exactly cheap…and we all have seen what younger consumers think the value of recorded music should be.

There probably isn’t a person alive today that doesn’t mark important times or periods in their lives…good or bad, with a song or piece of music.  Many of remember decades by the type of music prominent at the time… 70’s Rock, 80’s New Wave and Punk, etc.  Do you think the casual gamer has the first game they ever owned…although I am very sentimental to Pong?  But you never forget your first concert.  Now that I’ve taken my 12-year old Gwen to a few, she told me she wants me to take her to as many live shows as I can.  Gwen is now hooked on live music!

Experiment…in your next ad, instead of the same old music video, new single, and frame with the B.S. “call to action”, try comparing going to a Zac Brown Band concert (just an example since I’m a fan and we were talking about him in the office today) to going to a movie.  It’s a no brainer for a consumer after that.  Price is very comparable… Zac is only in town a few times a year at most…it is fun, communal …you can go with friends…you can meet members of the opposite sex, that show will only happen once as no-show is exactly the same…but the movie and theatre aren’t going anywhere…just to name a few. 

Hope to hear from you on the subject.  Let me know what you come up with.  Also, the movie trailer concept is something we all should consider.  More on that in the Aspen Live wrap-up which will be headed your way shortly.

Have a great day!

Jim Lewi

GOING ON DEFENSE

Just as the labels took-on fans in the music business, it started with a lawsuit in telecom as well.  AT&T sued Verizon for “false claims” believing it was Verizon’s advertising and not AT&T’s service that was hurting the company.  But as a very long time AT&T customer (yes they’ve gone through several name changes in the process) I can tell you that Verizon found a real weakness in their competitor and exploited it.  Verizon’s coverage, service, whatever you want to call it is better than AT&T from my experience.  AT&T needed to go on the defensive with their marketing…a long time ago.  It took till mid-November to get something from them.

Verizon was eating AT&T’s lunch for them.  Check out this for creativity http://www.youtube.com/watch?v=4JgrBtn8XdU&feature=player_embedded.  So AT&T hired Luke Wilson as their spokesperson and finally went on the defensive while at the same time highlighting their network’s strengths.  If you watch NFL football, chances are you have seen these commercials.   

• http://www.youtube.com/watch?v=X3PbBmElObI
• http://www.youtube.com/watch?v=NbLyEmhXlkQ&feature=player_embedded
• http://www.youtube.com/watch?v=MB3_FQ3ZRnQ&feature=player_embedded

In Live Entertainment, we could go on defense too.  What if we were to create similar ads where stars compare and contrast other forms of entertainment to live?  For example, would you rather play a video game alone in your room, even if you are playing with other gamers over the internet, or would you rather go and sing, scream, dance, eat, drink, and have fun with your friends at a concert?  Bono said something at the Rock and Roll Hall of Fame induction concert on HBO (I wasn’t at the concert) that really said it all…”Rock-n-Roll is Liberation”.  What gamer could put that kind of cherry on top?

Have you seen the ads for California tourism http://www.youtube.com/watch?v=Md69zCJKD1c?  How about the creative radio spots for Vegas?  The fact that our business isn’t investing in itself is a testimony to why we have an attrition problem.  We are competing with entertainment with huge marketing budgets.  We can’t do that.  Yet it’s Live Entertainment that has the amazing communal experiences… and cool stars that have a direct pipeline to fans. 

Let’s start now! It doesn’t have to cost a lot.  It could just be a web/Twitter/blog thing.  Watch how many tickets fly out the door!

Speak with you soon…

Jim

I LOVE FORD

Ok so although they’re not currently giving the attention my food and music fest deserves (Even though it was literally made for them), I’m really falling in love with Ford these days.  Through innovation, design, and in most cases, good marketing communications, the company has not only avoided the pitfalls of their two Detroit cousins GM and Chrysler, they just announced a third-quarter profit of nearly $1 billion ($997 million according to their press release).  So here are a few of the important lessons I’ve pulled out of Ford’s transformation.

1) Design and Innovation are key – Have you seen the new Ford Edge or Flex?  How about the Taurus?  The new Taurus is so well designed, so beautiful; you will be asking to drive one the next time you have a chance to rent it instead of asking for a Toyota.  And watch out for the new Fusion Hybrid, as it will be taking market share away from Toyota and Honda as consumers run out of reasons not to buy American. 

2) Separate yourself from the pack – With the exception of the “Cash for Clunkers” program, Ford steered away from advertising that speaks to the recessionary times as many of their competitors including Ad Age’s Marketer of the Year, Hyundai have.  They also didn’t take government bailout money which gave consumers confidence.

3) Have a good spokesperson – If you are going the way of celebrity endorser, pick one that fits your brand.  Mike Rowe fits Ford like a glove…even better than O.J.’s.  Mike is the perfect American “everyman”.  His shows such as “Dirty Jobs” have a need for vehicles like Ford Trucks.  Rowe started out just hawking for that division, but as may have seen from the new ads, he can sell anything with the Ford badge on it.

4) Expand your market – Look around your town and I bet you will notice more Ford’s than you have in the past.  It seems that those who might have purchased a more expensive “prestige” vehicle a few years ago are very happy with Ford’s new products, price points, and value.  Remember that value isn’t just about price.  Ford is delivering a better product at a competitive price point compared with others in the category. 

5) Legacy is important in down times – Consumers are looking to purchase from companies they believe they can trust.  If you have been around for 100-years (unless you are GM), one gets the feeling there is a reason for it.  Their years in business give you a comfort level.  Ford Motor Company has been known since its inception as an innovative, forward thinking company.  Henry Ford made cars affordable for every American, transformed modern-day production with the Model-T assembly line, and through the wood scraps from that factory, founded Kingsford Charcoal.  Where cam we find that kind of innovation in our business?  We have still yet to roll-out paperless ticketing!

6) Market the experience – You might be sick of hearing me say this, but our marketing sucks!  Check-out the new Axe body spray commercials.  You get what the product does for you…NOT how it smells, how much it costs, where it is available…nothing like that. Consumers purchase based on an emotional response.  How are they going to get emotional about hearing an artist’s new single they don’t know, followed by a bunch of quick information about sponsors, pre-sales, sales, locations, who is promoting the show…and of course the famous “call to action”.  It is a new world…for over 20-years now.  It is time we catch-up. 

Full disclosure, I haven’t owned a Ford vehicle for many years. It doesn’t stop me from sitting up to take notice at the great changes they have made…and how easy it would be for those of us in Live and Branded Live Entertainment to follow their lead.  

How about we each come up with 3-new innovations in 2010?

Speak with you soon…

Jim

THE U2 EXPERIENCE

I wanted the next LiveWorks Newsletter to focus on marketing but needed a little inspiration.  It came in the form of a radio commercial for U2.  What caught my attention was that it didn’t sound like one produced by our business.  It sounded professional.  Then I realized that’s because it was paid for by Wal-Mart…to me that’s actually a good thing.  And then I read what Lefsetz wrote on U2 last night and I was a bit bummed http://lefsetz.com/wordpress/index.php/archives/2009/10/25/u2-360/.  Is Bob for the tour and U2 or not?

Back to the ad…it was just awesome.  What I got out of it was that the biggest band in the world was coming to down…they had new music…a new album @ Wal-Mart…and of course the “360 Tour“.  It sounded exciting, like you needed to be a part.  It was the U2 Experience!

For years I’ve harped on marketing the concert experience versus tickets going on-sale on a day and time.  U2’s tour is called 360 so right away you get a sense of what you are in for.  The radio spot comes on and envelopes you in U2 music, the band’s show and tour, the new album, and where you can get it (available at Wal-Mart).  The Lefsetz Letter’s opening last night almost took all the wind out of my sails as he pointed out that the biggest news on the U2 tour was the stage.  This is great!

With U2 360, you know you are in for an experience.  I love U2 and have since I saw them in high school when they played for free at SUNY Albany.  Now I love their marketing.  They know how to connect the dots.  Do you?  If you aren’t sure, let me recommend someone who does. 

Years ago, I had the good fortune of working with Jolene Pellant while she was a VP of Marketing for what was then Clear Channel Entertainment.  She had passion, knowledge, tenacity and relationships.  Jolene was willing to go the extra mile.  Cut to this past spring.  We needed help with the marketing around The Great American Food & Music Fest.  We needed a quarterback.  I called Jolene who now runs a company called “Yes Dear” with her partner Mike Gormley.  Within days everything was organized and all pistons firing at the same time.  The Fest had a well-organized plan that was implemented step-by-step by Yes Dear along with our “Best in the Business” PR team, Elaine Garza and Jada Williams from Giant Noise. 

So, here is three pieces of advice.

1. If your marketing needs help call Yes Dear @ (310) 203-9007 and speak with Jolene or Mike
2. Need the best PR people for festivals and events, call Giant Noise @ (512) 382-9017
3. If you are a U2 fan, go see U2…if you can afford to

Don’t forget that if you have any plans to go to Aspen Live (Dec. 10-12) this year, I really need to hear from you soon.  jim@theagencygroupevents.com or (310) 385-2800.

Speak with you soon…

Jim

DINNER CLUB UPDATE

Tomorrow, Wednesday, October 7th’s meeting of the Dinner Club in Los Angelesis postponed due to unforseen circumstances…BUT New York is on thanks to Gayle Miller. If you would like to meet up with people from our industry (hopefully other businesses too), get a dialogue going…socialize….share ideas, etc, please don’t miss another chance. 

The Details are:

ASPEN LIVE NYC OCTOBER MEET UP:

Date Weds, OCTOBER 7, 2009

Time7p-9:30p

Where Social Bar – The Loft

795 8th Avenue (b/w 48th & 49th street)

New York, NY 10019

212-459-0643

www.socialbarnyc.com

Note No minimum; everyone responsible for their own tab; food & drink available

Subway: A, C, E, N, R, Q, W, 1, 2, 3, 7 trains to Times Square;

N, R, W to 49th & B’way; and

C, E to 50th & 8th

Kindly RSVP to: rockinhorse@mac.com , by Tues, 10/6 2p, if possible.

Sorry I don’t have more.  I did hear from my brother, Mark Kates and Adam Klein, that the first meeting of the Boston Dinner Club went very well.  Hopefully we will see that group grow as well. 

Thanks and I’ll speak with you soon…

Jim