Building brands requires CEOs to understand branding


95% of products fail to become brands, despite over US$1.5 trillion spent on marketing of which about US$500 billion is spent on advertising. And most of that is spent on awareness, reach and other mass market mass economy mass media tactics.

Advertising is important and always will be important to brand building but ‘getting your name out there’ or ‘creating awareness’ are too mass economy and we’re now in the customer economy.

In the customer economy, it is about engaging members of communities that have interests related to your product and entering into a communication initially and a collaboration eventually with certain members of those communities. Throw out the old mass economy mass market attitude that includes carpet bombing consumers with messages via full page ads, TVCs, billboards and one-size-fits-all communications.

But who is to blame? Is it the advertising agencies? Or is it the CEOs? I believe that until CEOs get over their own egos and realise that just because they can see their company name on a 40 foot by 10 foot billboard, or on page 3 of the national newspaper etc etc, doesn’t mean that the rest of us can see through the clutter and even if we do, most of us don’t take any notice because we don’t care.

Until CEOs instead seek accountability and ROI from their advertising, they will, in all likelihood be at the front of the long queue to be one of those products that fail to become brands.

And if advertising agencies continue to make hay, who can blame them?

Destination branding requires innovation and integration


About 300 kilometers south of Bangkok on the gulf of Thailand, lies Hua Hin once a quaint fishing village that was transformed in the reign of King Rama VI when it became a stop on the Southern Railroad route.

In the reign of King Rama VII a Summer Palace was constructed for the royal family. Despite the many political and social changes that Siam experienced during this period, the Palace gave the Royal Family and their friends an escape from court life and 100 years later, Hua Hin is still a popular destination for high-society and the Royal Family still resides at the Palace for part of the year.

Hua Hin is also a popular location with five star resort hotels, luxury boutique residences and private beach front homes offering unprecedented levels of luxury. In Hua Hin alone, there are roughly 200 hotels, including 30 five star hotels in an area no more than a few square miles. Hua Hin has struggled for years to attract tourists and fill rooms. Throw in a global economic meltdown, the on-going domestic political crisis and civil unrest and the business of building a hospitality brand gets rather complicated, even in a country with such a reputation for fun.

And with Asia’s hospitality business looking good in these troubled times – over US$1.3 billion was invested in hotels in Asia Pacific in the first six months of 2010 – destinations such as Hua Hin have to be innovative to compete. And to do this, the town and tourism related businesses must work together, not compete, to ride out the storm.

Intercontinental Hua Hin Resort has come up with one creative idea to differentiate itself by offering a private air service to shuttle guests from Bangkok’s Suvarnabhumi International Airport or Don Muang Airport to the beachside city. For anyone who has had the misfortune to experience the drive from Bangkok to Hua Hin, this is certainly an attractive offer! But it won’t be enough to raise Hua Hin’s profile, increase interest and ultimately drive traffic to the resorts that will allow room rates to rise and profits increase.

Intercontinental needs to work with other products within Hua Hin to offer a complete experience to guests taking advantage of this service. A personal discussion with those using the service will allow the hotel to get to know their interests and allow the sales person to offer suggestions, not from a worn brochure at the service desk in the lobby, but in the comfort of a pre flight lounge or even in flight.

Other hotels are offering free days or more traditional tactics such as large discounts. Whilst these may increase sales in the short term, they will do little to build profitable brands. These hotels need to innovate in the same way as the Intercon, to work with other destination stakeholders to ensure Hua doesn’t become a quaint fishing village for the next 100 years.

Valuable resources wasted on poorly executed awareness campaign


This screen grab of ISAF British Force Protection Company, Delta platoon, on a foot patrol around Kabul caught my attention because of the banner across the street advertising non stop flights to Frankfurt on an Airbus A340.

I doubt there is much demand in Kabul for flights to any destinations outside of Afghanistan. And those interested in such opportunities could surely be engaged more directly. Such poorly thought out tactics are often the result of not having a brand strategy.

These tactics may not be expensive but that is never a reason to use a marketing tool. And anyway, this is probably not the only one in the city.

Asia is the darling of luxury brands


As the effects of government stimuli wear off and with the global economy heading towards a double dip recession that will impact the traditionally wealthy economies of Europe, the US and Japan more than most, luxury brands have been looking to Asia for salvation. And they’ve probably found it.

Despite the recession, the consultants, Bain & Co predicts luxury industry sales of €158bn in 2010, up 4% after a drop of 8% in 2009. And these sales will, on the whole be driven by Asian operations.

25% of worldwide sales
Shiseido, Japan’s largest cosmetics company anticipates sales of high-end cosmetics to grow 20% a year in China over the next 3 years. In fact, China is driving the luxury business and is now the second largest market for luxury goods, accounting for 25% of worldwide luxury sales. More than the US, Europe and Japan who each account for about 20%.

According to Capgemini there are more than 345,000 Chinese millionaires and many of them are keen to snap up luxury products that offer a little bit of exclusivity and heritage.

India crucial for long term success
But the Chinese market is not the only market helping luxury brand ride out the recession(s). In India, Porsche Design recently opened its first store in New Delhi, joining Prada, Louis Vuitton, Ferragamo and Mont Blanc who are all setting up operations in the capital of the republic. Louis Vuitton now has 5 stores in India.

Luxury jewelry retailer Tiffany & Co reported recently that sales at Asian stores open more than 12 months, with the exception of those in Japan, rose 21% during its most recent quarter. The Asia-Pacific region is driving expansion, with stores scheduled to open in Singapore, South Korea and Hong Kong.

China has the highest sales per square foot
Mainland China is at the heart of Tiffany’s Asian expansion, with the number of stores there due to rise from the current 12 to as many as 30 by 2015. Chinese stores have the highest sales per square foot of US$3,800 compared to US$3,000 in other stores.

French luxury giant Hermes reported strong growth in sales in the first quarter of 2010, boosted mainly by sales in Asia but not including Japan.

LVMH, the company behind luxury brands such as Dior, Louis Vuitton and Moët Chandon recently reported a 11% increase in 1Q 2010 sales. Watches and jewellery sales rose by 33%, wines and spirits by 18% and fashion and leather goods by 8%. Sales of Dom Perignon and other LVMH owned champagnes shot up by 33% in the same period.

Watches and timepieces, there is a difference you know, have also had a bumper start to 2010 and the mood at Baselworld, the world’s largest watch and jewellery fair, was bullish after positive announcements from Bréguet, Blancpain, Omega and Longines whose sales were up 46%, 48%, 50% and 49% respectively in January and February 2010.

Mobile phones
Due partly at least to the fact that it doesn’t have many high end high margin devices, Sony Ericsson has been plagued by declining sales for years and hasn’t made a net profit since 2Q 2008.

However the firm moved quickly to develop high end phones and launched the Xperia X10 and Vivaz last year. The result, the company reported a net profit for 1Q 2010 of €21 million, compared with a €293 million net loss a year earlier. Analysts were expecting a €128 million loss.

US leather goods maker Coach has relied for years on the domestic market and Japan. However, after a slow start, it is ramping up operations in Asia and expects sales in China to rise to US$250 million by 2012, up from almost US$100 million this year.

Luxury brands will have to make significant changes to the way they operate in Asia. And they must learn to understand Asian consumers, learn how to build relationships with them, what are their influencers and how best to engage them. If they, they will find salvation not in the short term, for some time to come.

How to sustain a family retail brand


The picture below was taken in 1912 in Oxford, UK a city about 60 miles to the North West of London. It features Gill & Co, an ironmongers and a branch of J. Sainsbury, a food store.

Gill & Co was established in 1530 during Henry VIII’s reign. At the time it was the first ironmonger in the country. It has been in business ever since and has witnessed the English Civil War, two World Wars, a couple of global economic depressions, three recessions, the birth of the railway, the car, powered flight, electricity, the Internet and more.

Originally the firm supplied ironware and related products for Oxford residents however as times changed it tried to reinvent itself and also stocked equipment for chimney sweeps (think Mary Poppins), farming equipment, tools and gardening supplies. Although Gill & Co moved locations, it was always a one store operation in Oxford.

In 2010, after 480 years in business Gill & Co is closing down, beaten into submission by large DIY and home improvement suppliers like B&Q the 3rd largest DIY retailer in the world, largest in Europe and the largest in China and Homebase.

Sainsbury’s, at a mere 141 years old, a relatively new brand was established in 1869 in Drury Lane. Although now at the centre of the theatre district, this was once a very poor area of London.

Sainsbury has also witnessed much, including 2 world wars, 2 depressions, a couple of recessions, the automobile, manned flight, the moon landings and more. Sainsbury soon became an institution, offering high quality products at low prices. By 1882 Sainsbury was selling it’s own label brands.

Although lacking the heritage of Gill & Co, Sainsbury invested heavily in its staff, employing women as managers when it was unheard of in the early 20th century and developing its own training school to train managers.

Sainsbury also invested in new stores and although at times it has had a rough ride, today it employs more than 150,000 people, has 800 stores in the UK and there are on average more than 19 million customer transactions in Sainsbury’s stores every week and the company has a 16% market share.

It has diversified into non-food products and services and non-food is growing 3 times faster than food. It has a bank with operating profits of £19million and its Internet home delivery shopping service is responsible for 100,000 deliveries every week.

Asia has many small family businesses. In fact in Malaysia, Small Medium Sized Enterprises (SME’s) make up 99% of Malaysia’s total registered businesses. Hanoi in Vietnam has over 90,000 SMEs.

These organizations have a critical impact on the business of a country. In Japan, known for its heavy industry, approximately 70% of the Japanese work force is employed by small and medium-size enterprises (SMEs) and half the total value added in Japan is generated by SMEs.

Asian SMEs, many of them well established with years of heritage cannot sit by and hope that they will be safe from bigger, more aggressive retailers. They need to start planning for the future now before it’s too late.

Here are 5 recommendations for Asian SMEs to help them become a Sainsbury

1) Keep an eye on retail trends, especially in your space
2) Talk to your customers, not just about the weather/politics/sport. Ask them what their needs are, what they would like you to stock, when they would like you to open and so on
3) Build a database of customers and their preferences. If you do sell up, this will help you secure a better price for your business
4) Leverage what you have against the big retailers in your space. You can’t compete on price and probably can’t compete on choice but you can compete in other areas – convenience, personalization, customization, free alterations, returns, speed of delivery and more
5) Develop a brand strategy that includes succession planning. If you have sent your kids to university overseas, are they going to come back and work in your hardware store? If you don’t think so, look to create strategic relationships with other players in your space now before it is too late.

How to brand a city like Ipoh


Senior Executive Councillor Datuk Hamidah Osman of The Perak state government in Malaysia announced on a trade and investment mission to China recently that the state government, in an effort to boost its tourism industry, intends to brand Ipoh, the capital of Perak as the “City of White Coffee”.

Datuk Hamidah was quoted by Bernama “ Perak should have its own identity and branding just like Shenzhen that is known as the “Shoe City” and Paris which has long been known as the “City of Fashion”.

In conjunction with the plan, Datuk Hamidah said, “We plan to have a food fair to be held in Ipoh this December. The idea is to promote the local foods and tourism industry. We have the best bean sprout chicken rice and chee cheong fun (rice rolls),” she added.

Faced with increased domestic and international competition for both tourists and FDI, there is no doubt that Ipoh and Perak, need to develop a destination brand. But that brand must be based on a platform of multiple tourist attractions and business potential.

Set amongst picturesque limestone scenery, a diverse selection of tourist attractions include Kellie’s Castle, Perak Museum, Ipoh railway station, Tambun hot springs, Taiping lake gardens and Zoo, and more, Ipoh and the rest of the state have a lot to offer.

Other destinations include Pangkor and Pangkor Laut, Bukit Larut and others. Perak also has a rich heritage that can be promoted, including silver and tin mining. It is historically known as an innovator, having pioneered such advances as the first rubber trees in Malaysia and was also the first state in Malaysia to go wireless.

The tagline ‘City of white coffee’ certainly differentiates Ipoh from other destinations but what else does it tell potential visitors, businesses or investors? How can stories be developed around the tagline, who are the target market? How will it be communicated? If it is a one-size-fits all approach, it’ll need significant resources to communicate the new tagline. Have budgets been agreed and so on?

Today, Destination branding is not based on a tagline. Destination branding must be based on experiences that are successfully delivered to specific segments and not based on attempts to market all places to all people.

Research and data are critical to understand tourist and other stakeholder requirements before developing strategies and not the other way around.

Stakeholder buy-in is critical for brand consistency and fulfillment of the brand promise. As an example, how can a hotel contribute to the proposed approach? How can the same hotel leverage the approach to grow it’s business?

Branding is a long term coordinated and integrated strategic exercise and not a tagline. One-size-fits-all strategies using mass media are no longer effective.

Planning is essential to coordinate initiatives, ensure accountability and avoid wasting resources. Without a plan, activities will be reactive and tactical.

What Ipoh and other cities need is a consistent and organized methodology to brand themselves as domestic and international destinations.

Here is one approach that would definitely help Ipoh:

Stage one: Carry out extensive research
Research develops data on key success factors, generates insights and what current and prospective visitors seek, and provides benchmarks to measure branding ROI. The research should consist of the following activities

1) Destination analysis: Key members of the hotel industry, government bodies, local business associations and representatives of major attractions should be confidentially interviewed. The interview will be based on an agenda designed to explore a number of issues related to the city

2) Visitor audit: Carry out interviews with current and past visitors. Other groups can also be selected, such as conference organisers. The interviews will focus on the experiences and motivations associated with Ipoh, information resources, and suggestions for increasing tourist value.

Special attention will be paid to how they researched Ipoh, what they have heard or told others about Ipoh and the channels or vehicles used to tell them. Additionally, representative travel agents in Ipoh will be interviewed about tourist experiences and requirements. Online surveys will be useful to research baseline perceptions of brand Ipoh.

3) Place audit: A place audit will identify Ipoh’s economic/ demographic characteristics, review major attractions (including strengths and weaknesses of the attractions) and outline all brand assets. The place audit will also look to identify product potential.

4) Communications audit: A comprehensive analysis of the channels, vehicles and materials, both digital and print, current and proposed that are or will be used to communicate with both consumers and businesses.

Stage 2: Ensure community buy-in and set internal branding requirements
Community and other stakeholder buy-in is important both for delivery of the brand promise, development and ongoing funding. Stakeholders must be communicated with and input from stakeholders must be incorporated so that they understand that they play an important role in initial and ongoing brand development.

Such buy-in can be accomplished through a variety of activities, including “townhall” or other community meetings, private presentations and media briefings. Initial research findings and recommendations can be discussed as a basis for soliciting input.

Additionally, community buy-in requires a group of citizens, business people, and local and regional government officials. This planning group will:

• Define and diagnose the community’s condition, major issues and potential solutions

• Develop a long-term brand vision based on a realistic assessment of the community’s values, resources and opportunities

• Work to develop a long-term plan of action involving intermediate stages of investment and transformation

Stage 3: Brand plan development
The results of the research and community buy-in will be incorporated into a comprehensive plan for Brand Ipoh. This customized brand plan serves as a strategic framework for all marketing activities, messages, metrics, timetables and proposed budgets. Special attention should be paid to digital branding and product development to get previous visitors to return again.

Stage 4: Comprehensive and segment-specific execution & measurement
Unfortunately this is where most destination begin their brand strategy. Once the brand plan is in place, execution begins. The execution operates on two overlapping fronts – general and segment-specific:

General: General branding represents the ongoing efforts to ensure visibility and provide value to prospects, agents and visitors, as well as gather data, ensure continuous performance and maintain reporting.

Segment-specific: Segment-specific branding concentrates on two areas where it is important to establish and maintain strong relationships. These include existing customers/visitors, and target-rich segments such as families, agents, previous visitors, etc. The actual segments to be targeted will have been defined in the brand plan.

I appreciate that many cities will view this as a daunting and potentially expensive task. But it will not be as expensive as numerous one size fits all communications based on a tagline that tries to speak to all but really speaks to none.

There is no place for the 4 Ps in a brand strategy


The four Ps is a mass economy concept based on the ‘sell what we make’ company driven approach. It has no place in the customer economy of today where customers, not companies define brands. The 4 Ps emerged in the 1930s, a time when your doctor would enjoy a cigarette after examining you. A time when there really was lead in the pencil you stuck in your mouth all day at school. A time one, maybe 2 national TV stations. A time before leisure time, mass travel, cable or satellite TV, multiscreen cinemas, the Internet, Facebook and twitter. The 4 Ps were often used in conjunction with another popular formula, AIDA. AIDA was developed even earlier than the 4 Ps, in the 19th century, by door to door salesmen in the USA.

In the customer economy of today, firms have to sense, define, realise and sustain value for consumers based on those consumer requirements for value. They can only do that by identifying the right consumers, talking with and listening to those consumers and matching product attributes to those consumers requirements for value. And once the long and expensive process of gaining a customer is over, firms have to then continue the relationship to ensure they retain those customers. They have to accept that not everyone is a prospect and shareholders must pressurise them to deliver measureable results in marketing.

The good news is, those consumers no longer inhabit the mass economy world of TV, print media, billboards and so on. Today, those consumers inhabit communities of like minded individuals who can and do influence each others decision making process. And because of the effectiveness of new technology and the nature of those communities and where they are, it is possible to identify the right consumers, engage them, build relationships with them and measure marketing effectiveness.

A key element of successful brand building today is a massive move away from the aquisition focussed approach of the 4 Ps and positioning products (you can read my obituary to positioning here) and an increase in retention strategies that look to sell more and more often to existing customers, acquired at such great expense.

You have a 15% chance of selling to a new customer and a 50% chance of selling more to an existing customer. Bain and Co reckons a 5% increase in retention equates to a 25% increase in profitability. But are you still using the 4 Ps to acquire new customers? Are you still sighing with relief every time a new customer walks in and then letting them go without even finding out who they are? And even if you get their card, how much data do you collect and record and how much of your marketing budget is used to market to these existing customers? I doubt very much.

If you want to build a brand, forget about the 4 Ps and start looking at your existing customers.

Social Media is not a branding silver bullet


A brand is built not on acquisition but on retention.

And retention requires a relationship. And a relationship is based primarily on ‘Trust and an ongoing, sustained engagement, on customer terms that provides economic, experiential and emotional value to the customer’.

That’s what branding is all about. It’s not a communications exercise. It won’t happen as a result of an advertising campaign. And it won’t be carried out on the pages of Facebook. That’s right, social media is not a silver bullet.

Social networks give us the tools to engage with consumers and build relationships with them. But like any tool we need to use it properly to get the most out of it. We still need marketing with links to articles, while papers, blogs and so on that appeal to target markets.

Unfortunately the majority of brands are continuing to use new tools such as social media, that allow them to lay the foundations for a relationship with consumers, in the same way as they use mass market tools that trumpet a one-size-fits-all approach to marketing.

I recently tweeted about a cool bit of kit from sonos, makers of wireless digital audio systems. I asked if there was a Sonos dealer in Malaysia. Sonos tweeted me and told me to contact someone in Singapore and obviously allerted them as I got a tweet from the Singapore guy with an email of the distributor in Malaysia. I emailed the distributor and didn’t get a reply. Sonos hasn’t contacted me to see if I purchased and nor has the Singapore distributor followed up.

There is no silver bullet with social media. It won’t solve all our branding problems but, used correctly, it will help us build relationships with customers. From there you might, just might build a brand

Creative campaign not the solution to smoking issues in Singapore


As with many issues, Singapore has a zero tolerance approach to smoking and in particular, teen smoking. Get caught selling cigarettes to minors and you face a fine of over US$6,000.

Anyone under the age of 18 caught carrying cigarettes, carrying not smoking, and it is an automatic fine of US$30. Get caught again and the fine is US$60. If you don’t pay the fine, your parents spend a night in jail.

Smoking is banned in all public places such as hotels, supermarkets, restaurants, bars, shopping malls, museums, theatres, airports and other public transport places, libraries, indoor and outdoor sports arenas and government and private offices.

If a person serving in the military is caught smoking whilst in uniform he or she is disciplined and fined. Like other countries, cigarette packets carry gruesome images of what smoking can do to throats, mouths, unborn babies and so on.

Little wonder then that according to a recent Synovate survey, Singapore has the lowest numbers of smokers (13%) across a random selection of countries including Bulgaria, Cyprus, France, Italy, Korea, the Netherlands, Russia, Serbia, Slovakia, Taiwan, Thailand, South Africa, the United Arab Emirates and the United Kingdom.

Unfortunately many of these smokers started smoking in their teens. According to a Pfizer poll in May 2010, 84% of smokers started the habit in their teens and some started smoking as young as 12.

And although at 9%, Singapore has one of the lowest rates of teen smoking in the world, the Health Promotion Board is keen to address the issue of smoking amongst young adults and teens.

So the Health Promotion Board appointed Ogilvy & Mather Singapore to develop a creative campaign to encourage young people to reject cigarettes and live a tobacco free life that will improve their appearance, fitness, spending power and contribute positively to the environment.

The results are ‘Live it up without lighting up’ and they can be seen ogilvy_smoke-1 and ogilvy_smoke2-1. The campaign featured above the line (ATL), out of home (OOH), digital, radio and events such as the Great Audio Experience, held on 29th May 2010 as part of World No Tobacco Day celebrations.

The creatives feature gorgeous, young, happy, confident people with unblemished skin in semi cartoon like environments. Copy tells readers that “Non smokers tend to look younger than smokers of the same age” and “Non smokers tend to be physically fitter than smokers.” Goals are to communicate a better more beautiful and green world populated by gorgeous young things who are fitter, healthier and generally in a better place as a result of not smoking.

According to Jon Loke, Head of Art, Ogilvy & Mather Singapore, the agency was careful to ensure that the campaign would not talk down to them. “We needed to turn the traditional way anti-smoking campaigns are carried out on their heads to create a message that would appeal to youths. Hence, the campaign encourages, empowers and ultimately celebrates a smoke-free life.”

Now I really like the creatives, I think they are really well executed and I really hope the campaign works. But I sincerely doubt this is the way forward. That’s because a creative driven campaign, no matter how much it turns things upside down, is unlikely to have an impact on the number of smokers in Singapore.

Malaysia spent RM100 million (US$30 million) over 5 years on such a campaign that was inneffective in bringing down the number of smokers in Malaysia.

In the UK, after extensive research of more than 8,500 smokers over a ten-year period, the Institute for Social and Economic research found that the warnings on cigarette packets that smoking kills or maims are ineffective in reducing the number of smokers.

Likewise, chilling commercials or emotionally disturbing programs are also ineffective. The study also discovered that even when a close family member becomes ill from the effects of smoking, the smoker takes no notice.

In fact, according to the study, smokers only reduce the number of cigarettes or sometimes quit when their own personal health is at stake. And even failing health may not persuade a smoker to reduce or even stop smoking because smoking is linked to a lack of psychological wellbeing and often failing health results in psychological decline.

Even before this campaign, Singapore has successfully reduced smoking amongst youths. Statistics released in 2009 by the Students’ Health Survey (SHS) 2009 suggest a downward trend in youth smoking, with the proportion of youngsters who had tried smoking, even one or two puffs, declining from 26% in 2000 to 16% in 2009. That’s an impressive statistic and I would focus more on what drove those achievements rather than new creative campaigns.

I have a hunch that this campaign will not have a dramatic effect on the number of smokers in Singapore. Data shows that traditional marketing tools are even less effective today than they were 10 years ago. Consumers simply don’t listen to mass marketing the way they used to, especially when copy uses vague terms such as ‘tend’.

What is required is a data driven approach to the issue. Specific and comprehensive qualitative research with relevant targeted questions related to each segment (and each segment will be specific and targetted) that are designed to deliver actionable data. I’m sure this information is already available.

It is imperative that the audience is identified and then engaged individually, on a one to one basis. It will be an expensive and long term effort. That doesn’t mean repeating the same one size fits all commercials or messages, this means developing a relationship with these partners through engagement.

Also critical to the development of the strategy will be the buy in from stakeholders such as doctors, educators, retailers and others. Discussions must be held with these key elements to determine strategies. One such strategy might be to find alternative sources of income for retailers. Policing of key stakeholders such as retailers must be ramped up.

Once research is completed and analysed, a comprehensive strategy must be developed featuring a fully integrated program to communicate with all stakeholders with specific emphasis on education at residential level and dynamic, preventative and educational programmes for schools. Existing smokers will be targetted individually through interviews with doctors, rather than one-size-fits all creative campaigns.

Only once the strategic blueprint is ready can the implementation begin. There is no easy way to reduce the number of smokers in Singapore. It’s going to take a long term investment in time, effort and money.

Singapore has done many things right in the past to reduce the numbers of smokers. Investing valuable resources on creative driven campaigns that have not worked in the past is not the way forward.

Mass emails have a negative effect on your brand


In the early days of the Internet, as brands tried to capitalize on the consumer accessibility email addresses offered, spam was a real problem. But more efficient filters and the ineffectiveness of the one-size-fits-all mass marketing approach soon saw a reduction in spam.

Unfortunately, after a brief lull, the amount of mind numbingly irrelevant and sometimes irreverent emails that I receive from a variety of sources seems to be on the rise. But what’s surprising about the latest avalanche is that many of the emails are coming from advertising industry trade publications that should know better.

Recently I received 3 emails telling me how great a new radio station is. I received another three telling me about the launch of the Mandarin version of the same trade publication.

Now I understand that when I agreed to submit irregular articles to the publication, I probably also agreed to receive ‘carefully chosen 3rd party promotional messages’ but these emails were in Cantonese (I think)! Marcus Osborne does not sound like someone who might be interested in listening to Cantonese radio stations!

I’m also getting tired of receiving badly targetted emails from supposedly tech and branding savvy organisations like Amazon. Now this may be a coincidence but earlier this week I went to amazon.com to see if I could buy a Kindle. Unfortunately because I live in Malaysia I cannot buy one and even if I could it would be useless because none of the titles available on Kindle can be downloaded in Malaysia. I was obviously disapointed but after a while you get used to these things in South East Asia. However this morning I received an email from Amazon suggesting I buy my father a Kindle for Father’s Day. That really is rubbing salt into the wound.

Case studies of successful email campaigns are hard to come by, but American Greetings Interactive, an online supplier of greeting cards increased customer engagement by 13% between October 2009 and April 2010 thanks to a number of targeted email marketing campaigns.

Rather than shooting out the same email to the whole 5 million member database, American Greetings Interactive and their partner, Metrics Marketing, segmented the card company’s customer database into more than 15 sub segments and created relevant content based not only on the members status, but also previous history, account type and more.

This focus on relevant content and information that resonated with each of the sub segments increased engagement and resulted in more click throughs, more information, more referrals, opportunities for increased share of wallet and more subscriptions.

If you have something to offer, identify those in your data base who may be interested and target them alone. It may take a little time but it is time well spent. Otherwise using mass emails to try and sell the same product to everyone may actually have a negative effect on your brand and you may end up actually turning those customers away.