Posts tagged ‘marketing’


Keeping the Victoria in Victoria University of Wellington

08.08.2018

 

A letter I penned today to Prof Grant Guilford, Vice-Chancellor of Victoria University of Wellington. I support the official adoption of a Māori name (I thought it had one?) but removing Victoria is daft, for numerous reasons, not least the University’s flawed research, dealt with elsewhere.

Wellington, August 8, 2018

Prof Grant Guilford
Vice-Chancellor
Victoria University of Wellington
PO Box 600
Wellington 6011
New Zealand
 

Dear Prof Guilford:

Re. Name change for Victoria University of Wellington

There have been many arguments against why Victoria University of Wellington should change its name. Count me in as endorsing the views of Mr Geoff McLay, whose feedback the University has already received.
   To his comments, I would like to add several more.
   First, since I graduated from Vic for the fourth time in 2000, branding—a subject I have an above-average knowledge of, being the co-chair of the Swedish think tank Medinge Group and with books and academic articles to my name—has become a more bottom-up affair. In lay terms, all successful brands need their community’s support to thrive. Not engaging that community properly, and putting forth unconvincing arguments for change when asked, fails ‘Branding 101’ by today’s standards. I don’t believe those of us favouring the status quo are a minority. We’re simply the ones who have engaged with the University.
   As an alumnus, I have a great deal of pride in ‘Vic’, so much so that I have returned to support many of its programmes, namely Alumni as Mentors and the BA Internships. The University’s view of market-place confusion is, to my mind, a defeatist position, one which says, ‘Oh, there’s confusion, so let’s cede our position to the others who lay claim to “Victoria”.’ That’s not the attitude that I have toward our fine university.
   The alternative is to stand firm and build the brand on a global scale, something that is more than possible if the University were to adopt some lessons from international marketing and branding.
   I have done it numerous times professionally, and for New Zealand companies with strictly limited budgets, and the University has an enviable and proud network of alumni who, I suspect, are willing to help.
   Vic has told us for years it is ‘world-class’, and I expect it to stand by those claims—including confidence in its own name, not unlike the great universities in the US and UK. A lot of it is in the way the brand is positioned. Confidence goes a long way, including confidence in saying, ‘This is the real Victoria.’
   Kiwis are adept at being more authentic, something which a strong branding campaign would highlight.
   As alumnus, and fellow St Mark’s old boy, Callum Osborne notes, if there is to be a geographic qualifier, New Zealand has far more brand equity than Wellington, so if a change is to occur, then ‘Victoria University of New Zealand’ is an appropriate way forward.
   ‘University of Wellington’ says little, and there are Wellingtons elsewhere, too.
   This isn’t about apeing others, but being so distinct in the way the University communicates, symbolizes and differentiates itself to all of its audiences. To be fair, I have only seen pockets of that since graduating, yet I believe it is possible, and it can be unlocked.
 

Yours respectfully,
 

Jack Yan, LL B, BCA (Hons.), MCA

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Posted in branding, culture, marketing, New Zealand, Wellington | No Comments »


If FCA kills Chrysler today, then it’s another chapter of a company weakening its brands

01.06.2018

There’s a rumour circulating that Fiat (specifically, Fiat Chrysler Automobiles, or FCA) will kill the Chrysler marque today.
   The range currently consists of two models: the ageing 300 and the relatively fresh Pacifica.
   It seems to be another step in the mismanagement of car marques, especially US ones, something I wrote about many years ago when Condé Nast Portfolio was still running. (Note: it was a published letter to the editor, not an article.)
   Marques do disappear, but when the wrong ones get killed off, long-term it leaves the company in a weaker state.
   DaimlerChrysler found that out in the early 2000s when it decided Plymouth was surplus to requirements. Suddenly, its entry-level budget brand was gone—a very bad move when the recession hit later that decade. Plymouth had been conceived as a low-priced line that kept Chrysler afloat during the Depression.
   DaimlerChrysler then found itself having to sell Plymouth products under the Chrysler marque, which was traditionally the priciest between Plymouth, Dodge and Chrysler.
   Today’s Chrysler resembles, at least in market ambition, the one of old, where it offers reasonably good quality vehicles, with Plymouth a distant memory.
   It also offers Fiat a relatively premium brand in the US market. It’s not Jeep, Ram or Dodge, all of which have very different brands, messages and brand equity.
   The fact it is light on product could have been solved long ago if Fiat had adopted the sort of platform-sharing that is now commonplace in the car world—you only have to look at Volkswagen and the Renault–Nissan Alliance, now Renault Nissan Mitsubishi. Even Jaguar Land Rover is realizing economies of scale with Jaguar SUVs and a car-like Range Rover (the Velar).
   While Chrysler found that the 200 had flopped, there was always room for a premium, American SUV to take over from the Aspen, for example. If Jeep can build SUVs on Punto and Giulietta platforms, why couldn’t Chrysler, aimed at very different buyers?
   The truth is that Fiat has a very confusing platform strategy, something I alluded to in earlier posts both here and in Drivetribe, and there appear to be no signs of bringing any harmony to the mess.
   The firm hasn’t been properly merged, and not enough thought has been given to reducing platforms, and sharing them between marques. There’s more in common on this front between Fiat and British Leyland than between Fiat and Volkswagen, which it once vied with to be Europe’s number-one.
   The domestic range has cars on platforms shared with Ford, Chrysler and GM, not to mention OEM vehicles from Mazda, Mitsubishi and Peugeot. I might not love SUVs, but the public does, and the Fiat range is light on them. There’s not enough of a global effort, either: the Ottimo and Viaggio are Italian-styled, based on the Alfa Romeo Giulietta (or more specifically the Dodge Dart), and they are only sold in China—a ridiculous situation when Fiat doesn’t have a CD-segment saloon in any other market. The rationalization of the range in South America has helped, with the Argo and Cronos streamlining a confusing array of Palio, Linea, Siena and Grand Siena models, but they bear little resemblance to the models on offer in Europe.
   Lancia, which had benefited from Fiat platforms, is practically dead, its 500-based, Polish-made Ypsilon being deleted this year. As models at Lancia died out, they were not replaced. Yet things could have been so much better, had Fiat allowed Lancia the sort of freedom it needed to sell Italian luxury and innovation. Those values are different from Alfa Romeo’s, yet through its conduct, Fiat seems to think that if Alfa and Lancia have similar prices, then they must vie for similar buyers. They never did. It seems to believe that costs will be saved through axing marques and model lines, which can be true in some cases—but those cases tend to presume that what remains, or what replaces them, is stronger.
   I’m not being a Luddite or pining for the “good old days” when it comes to Chrysler. I hold no romantic notions for the brand. But I do know that once they’re gone, the firm doesn’t necessarily find its resources are freed up to pursue surviving lines. It finds that it’s lost a segment that it once fielded.
   It’s sadder to realize that Chrysler, as a group, was much stronger in the early 1990s, with record development times and good platform-sharing. Plymouth was in the process of developing its own identity—the PT Cruiser and Prowler heralded a new retromodern design language that was to spread throughout the range, while utilizing the same platforms as Chryslers and Dodges.
   Fiat itself, too, was a strong company at this same period, riding high on great styling, with a reinvigorated line-up. Think Bravo, Brava, Barchetta, Coupé Fiat, 456, Quattroporte, Delta, Dedra, Kappa, 145, 146, GTV and Spider. A lot of these vehicles were talked-about, and considered some of the most stylish in Europe.
   Last year, in Europe, luxury marques Mercedes-Benz, BMW and Audi all outsold Fiat, supposedly a mass-market brand. Its market share in Italy and Brazil, traditionally places where it was strong, has continued to dip.
   In the US, it’s the same story, with Mercedes-Benz, BMW and Audi all outselling Chrysler both last year and year-to-date.
   It’s all very romantic, and good press, to show off premium Alfa Romeos and Maseratis, or money-making Jeeps, but many of these models don’t donate any of their architecture to Fiat’s troubled brands.
   In 2018, when you see that certain Fiat marques aren’t getting access to platforms, you have to wonder why—especially when so many other big players don’t place such restrictions on their brands.
   A new 500 and Panda might be around the corner, but we’ll need to see far more logic applied to the business, especially with Alfa’s Mito and Giulietta looking more dated, Fiat’s range in a mess, and Chrysler barely making an effort in China, a market where its sort of positioning would have attracted luxury-conscious buyers who might prefer foreign brands, such as Buick.
   Even if Chrysler gets a stay of execution, Sergio Marchionne’s successor will have a very tough job ahead.

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Posted in branding, business, cars, China, marketing, USA | No Comments »


Ford to stop selling passenger cars in the US and Canada, save for Mustang and Focus Active

26.04.2018


The Ford Focus Active: by the turn of the decade, this will be the only four-door passenger car Ford will sell in the US and Canada

In a surprise move, Ford has announced that it will cease selling passenger cars in the US and Canada by the early 2020s, excepting the Mustang and the Focus Active.
   The announcement was actually for ‘North America’ but as Ford of México does a reasonable trade on Figos and Fiestas, it’s hard to see the policy be uniform right across the continent.
   It’s a cost-cutting exercise, designed to save $25,500 million in five years, and trucks and SUVs simply make more money for them. Small cars mean small profits. In fact, car sales lag those of the F-series, Escape and Explorer in the US. Shares have risen on the news.
   That means Americans and Canadians will say goodbye to the Fiesta, Fusion (the four-door sedan counterpart to the Mondeo) and Taurus, the last of which is already superseded in China. If you liked the cooking RS and STs, then too bad. Lincolns are losing money for Ford, too, so maybe the Continental will vanish—given the Fusion is history, the MKZ will follow. That doesn’t leave much in the Lincoln line-up.
   My initial reaction was that the economies of scale would worsen: if you’re not developing for a global market, will development costs be successfully amortized in the same period? We have, however, seen the Japanese do reasonably well with products strictly for the North American market, e.g. certain Acuras and Hondas that are sold only in their neck of the woods. We also know most of the costs of the car are in the platform and architecture, and Ford has shown decent adaptability, particularly with the C519 Focus (the recently released Mk IV).
   Ford says the cuts will come from sales and marketing, engineering and product development, as well as material costs, manufacturing and IT, in that order, according to Automotive News.
   The fact that product development and engineering rank so highly there is worrying to me.
   They’re bandying the word efficiency about a lot, and that always has me worried. That’s the word you used to hear from corporate raiders like Slater Walker. Things can look efficient while they’re being weakened.
   CEO Jim Hackett says he’s feeding the healthy parts of the business, ‘and deal decisively with the parts that destroy value.’
   While it’s true that the crossover, SUV and truck markets are strong, as they are in many parts of the world, I can’t help but think that Ford isn’t preparing itself for tougher future scenarios.
   Energy crises can come unpredictably, for one. Ford was late to the downsizing game in the 1970s because it saw the dollar signs with big cars. By 1977, GM had stolen a real march on Ford. By the turn of the decade, Chrysler was back from the brink with fuel-efficient cars while Ford sailed into the red.
   Chrysler found itself too truck- and SUV-heavy with the recession of the late 2000s, and its entry-level nameplate Plymouth had already vanished, thanks to mismanagement by Daimler earlier in the century.
   While there’s not always a need for a full line—AMC taught us that extending yourself too far isn’t always wise—I wonder if Ford is leaving itself vulnerable.
   Crossovers like the Escape, which might outsell the Fusion, are being beaten in the market-place by the likes of the Toyota RAV4, so it’s not as though Ford is that strong in all the markets it wishes to remain in.
   GM, having pulled out of Europe and Russia, might be in better shape because of its position in China. Ford trails GM when it comes to its Chinese footprint, although it will remain in Europe.
   Ford’s Jim Farley says the company is looking at new types of vehicles that are spacious, versatile and economical, which hopefully will fill the gap should economic surprises surface. Because you need something cheap to hook buyers and get them to the brand. That’s not going to happen if Focus Active is the smallest car in the line-up.
   Ford is likely to have these on global platforms. But that signals to me a real need to remain strong in R&D. Failing that, Ford is looking to partner up with someone, and it may already have an idea who that is.
   I am speculating here, since I don’t have any figures outlining what proportion of revenue is devoted to that area.
   Nevertheless, this sounds like an appeasement of Wall Street.
   That leaves one concern over nameplates. Ford has successfully introduced nameplates over the years because the product was right: Cortina, Mustang, Escort, Capri, Fiesta and Focus among them. But it has also failed by killing nameplates and replacing them with ones that had no real goodwill, such as Five Hundred and Freestyle.
   Whatever Ford has in mind, I hope for their sake that the new product is compelling, as much as the Mustang and Fiesta were when they appeared on the market. Both emerged in the wake of economic recessions, with Ford innovating because it had to.
   In this century, Alan Mulally’s time at Ford had a measured, sensible approach, where you could understand the future. There are question marks over what Hackett has planned, and usually we have some clue what these new products will be four years out. All I know of is that the Ranger will make it to the US again, boosting truck sales, but that’s hardly an innovation. That’s just filling a market niche with familiar product.
   Will Ford do Brasil come up with something that can be sold in both North and South America? Perhaps the next-generation Ecosport?
   There are lessons in history that shouldn’t be ignored, and Ford has one of the most interesting pasts of any car maker. There is, however, a feeling from the announcement that this heralds a time of retrenchment, as its profits fall globally, and net income in the US rising for the first quarter in part due to a lower tax rate.
   Remember, Isuzu also once thought it was a good idea to stop selling passenger cars and focus on SUVs and trucks. And they’re no longer around in North America.

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Posted in business, cars, China, globalization, marketing, USA | 1 Comment »


Cambridge Analytica is merely Facebook’s ‘smaller, less ambitious sibling’

14.04.2018

Beyond all that had gone on with AIQ and Cambridge Analytica, a lot more has come out about Facebook’s practices, things that I always suspected they do, for why else would they collect data on you even after you opted out?
   Now, Sam Biddle at The Intercept has written a piece that demonstrates that whatever Cambridge Analytica did, Facebook itself does far, far more, and not just to 87 million people, but all of its users (that’s either 2,000 million if you believe Facebook’s figures, or around half that if you believe my theories), using its FBLearner Flow program.
   Biddle writes (link in original):

This isn’t Facebook showing you Chevy ads because you’ve been reading about Ford all week — old hat in the online marketing world — rather Facebook using facts of your life to predict that in the near future, you’re going to get sick of your car. Facebook’s name for this service: “loyalty prediction.”
   Spiritually, Facebook’s artificial intelligence advertising has a lot in common with political consultancy Cambridge Analytica’s controversial “psychographic” profiling of voters, which uses mundane consumer demographics (what you’re interested in, where you live) to predict political action. But unlike Cambridge Analytica and its peers, who must content themselves with whatever data they can extract from Facebook’s public interfaces, Facebook is sitting on the motherlode, with unfettered access to staggering databases of behavior and preferences. A 2016 ProPublica report found some 29,000 different criteria for each individual Facebook user …
   … Cambridge Analytica begins to resemble Facebook’s smaller, less ambitious sibling.

   As I’ve said many times, I’ve no problem with Facebook making money, or even using AI for that matter, as long as it does so honestly, and I would hope that people would take as a given that we expect that it does so ethically. If a user (like me) has opted out of ad preferences because I took the time many years ago to check my settings, and return to the page regularly to make sure Facebook hasn’t altered them (as it often does), then I expect them to be respected (my investigations show that they aren’t). Sure, show me ads to pay the bills, but not ones that are tied to preferences that you collect that I gave you no permission to collect. As far as I know, the ad networks we work with respect these rules if readers had opted out at aboutads.info and the EU equivalent.
   Regulating Facebook mightn’t be that bad an idea if there’s no punishment to these guys essentially breaking basic consumer laws (as I know them to be here) as well as the codes of conduct they sign up to with industry bodies in their country. As I said of Google in 2011: if the other 60-plus members of the Network Advertising Initiative can create cookies that respect the rules, why can’t Google? Here we are again, except the main player breaking the rules is Facebook, and the data they have on us is far more precise than some Google cookies.
   Coming back to Biddle’s story, he sums up the company as a ‘data wholesaler, period.’ The 29,000 criteria per user claim is very easy to believe for those of us who have popped into Facebook ad preferences and found thousands of items collected about us, even after opting out. We also know that the Facebook data download shows an entirely different set of preferences, which means either the ad preference page is lying or the download is lying. In either case, those preferences are being used, manipulated and sold.
   Transparency can help Facebook through this crisis, yet all we saw from CEO Mark Zuckerberg was more obfuscation and feigned ignorance at the Senate and Congress. This exchange last week between Rep. Anna Eshoo of Palo Alto and Zuckerberg was a good example:

   Eshoo: It was. Are you willing to change your business model in the interest of protecting individual privacy?
   Zuckerberg: Congresswoman, we have made and are continuing to make changes to reduce the amount of data …
   Eshoo: No, are you willing to change your business model in the interest of protecting individual privacy?
   Zuckerberg: Congresswoman, I’m not sure what that means.

   In other words, they want to preserve their business model and keep things exactly as they are, even if they are probably in violation of a 2011 US FTC decree.
   The BBC World Service News had carried the hearings but, as far as I know, little made it on to the nightly TV here.
   This is either down to the natural news cycle: when Christopher Wylie blew the whistle on Cambridge Analytica in The Observer, it was major news, and subsequent follow-ups haven’t piqued the news editors’ interest in the same way. Or, the media were only outraged as it connected to Trump and Brexit, and now that we know it’s exponentially more widespread, it doesn’t matter as much.
   There’s still hope that the social network can be a force for good, if Zuckerberg and co. are actually sincere about it. If Facebook has this technology, why employ it for evil? That may sound a naïve question, but if you genuinely were there to better humankind (and not rate your female Harvard classmates on their looks) and you were sitting on a motherlode of user data, wouldn’t you ensure that the platform were used to create greater harmony between people rather than sow discord and spur murder? Wouldn’t you refrain from bragging that you have the ability to influence elections? The fact that Facebook doesn’t, and continues to see us as units to be milked in the matrix, should worry us a great deal more than an 87 million-user data breach.

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It’s as though Statistics New Zealand set up this year’s census to fail

04.03.2018

You have to wonder if the online census this year has been intentionally bad so that the powers that be can call it a flop and use it as an excuse to delay online voting, thereby disenfranchising younger voters.
   It’s the Sunday before the census and I await my access code: none was delivered, and I have three addresses at which this could be received (two entries to one dwelling, and a PO box). If it’s not at any of these, then that’s pretty poor. I have been giving them a chance on the expectation it would arrive, but now this is highly unlikely.
   And when you go to the website, they claim my browser’s incompatible. I disagree, since I’m within the parameters they state.

   This screen shot was taken after I filled out a request for the access code yesterday. Statistics NZ tells me the code will now take a week to arrive, four days after census night. Frankly, that’s not good enough.
   While I’ve seen some TV commercials for the census, I’ve seen no online advertising for it, and nothing in social media. My other half has seen no TVCs for it.
   Going up to the census people at the Newtown Fair today, I was handed a card with their telephone number and asked to call them tomorrow.
   You’d think they’d have people there at the weekend when we’re thinking about these things. Let’s hope I remember tomorrow.
   And I’m someone who cares about my civic duty here. What about all those who don’t? Are we going to see a record population drop?
   I’m not alone in this.

   They’ll be very busy, as Sarah Bickerton Tweeted earlier today (the replies are worth checking out):

and there are a lot of people among her circles, myself included, who don’t have the access code. Kat’s story is particularly interesting (edited for brevity):

   Online systems are robust and can be successful.
   It’s just that they need to be backed up by people with a will to make things succeed, not people who are so intent on making them fail.

PS.: Jonathan Mosen’s experience with this census as a blind person makes my issues seem insignificant. Fortunately, for him, Statistics New Zealand came to the party.—JY

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Social media: not the evolution you might have expected

01.02.2018

I’m getting a buzz seeing how little I update social media now. Around February 2016 I began updating Tumblr far less; I’ve gone from dozens of posts per month to four in December 2017 and seven in January 2018. (Here’s my Tumblr archive.) Facebook, as many of you know, is a thing of the past for me (as far as my personal wall is concerned), though that was helped along by Facebook itself. However, I’m still a pretty heavy Instagram user, and I continue to Tweet—though with Twitter’s analytics telling you how much you’re up or down over the previous month, it might be a challenge to see if I can get that down by 100 per cent next. (It won’t happen any time soon, but if Twitter continues on its current path over its policies, it might come sooner rather than later.)
   I’m wondering if the next badge of honour is how much you can de-socialize yourself, and for those of us with web presences (such as this blog), bringing traffic to your own spaces. Why? It’s all about credibility and authenticity. And I’m not sure if the fleeting nature of social media provides them, at least not for me.
   Now in an age where so many are trying to be an “influencer”, then wouldn’t we expect the tide to turn against the shallow, fleeting posters in favour of something deeper and more considered? After all, marketing seeks authenticity—it has for a long time. What is authentic about a social media influencer who changes clothes multiple times a day out of obligation to sponsors? Even if they reach millions, did it really connect with audiences on a deeper level or did it simply seem forced?
   I can understand how, initially, social media were real connectors, allowing people to connect one on one and have a conversation. It seemed logical that marketing would head that way, going from one-to-many, to something more personalized, then (as Stefan Engeseth has posited for a long time) to one where brand and audience were on the same side, trying to find shared values (let’s call it ‘oneness’). At a time social media looked like it would help things along. But has it really? Influencers are less interested in being on the same side than being on the other side, in an adaptation of the one-to-many model. It’s just that that model itself has become democratized, so a single person has the means of reaching millions without a traditional intermediary (e.g. the media). There’s nothing really wrong with that, as long as we see it for what it is: a communications’ channel. Nothing new there.
   Some are doing it right in pursuing oneness with their audiences by posting just on a single topic, updating honestly about their everyday lives—my good friend Summer Rayne Oakes comes to mind with her Homestead Brooklyn account, and has stayed on-message with what she stands for and her message for over a decade. Within the world of Instagram, this is a “deeper” level, sharing values in an effort to connect and be on the same side as her audience. However, she isn’t solely using Instagram; other media back her up. Hers is a fantastic example of how to market and influence in the context I’m describing, so there is still a point to these social media services. But for every Summer Rayne there are many, many who are gathering attention for no values that I can fathom—it has all been about the numbers of followers and looking attractive.
   I haven’t a problem with their choice—it is their space, after all—but we shouldn’t pretend that these are media that have allowed more authentic conversations to take place. Marketers should know this. These messages aren’t customized or personalized. Algorithms will rank them so audiences get a positive hit that their own preferences are being validated, just like any internet medium that places us in bubbles. The authenticity is relative: because no party has come between the communicator and the audience, then it’s unfiltered, and in that respect it’s first-hand versus second-hand. But how many times was that message rehearsed? How many photos were taken before that one was selected? It’s “unreality”.
   There are so many such social media presences now, and crowded media are not places where people can have a decent connection with audiences. Some with millions of users—I’m thinking of young models—might not even be reaching the target audience that companies expected of them. Is what they wear really going to be relevant to someone of the opposite sex browsing for eye candy? That isn’t a genuine conversation.
   Don’t look to my Instagram for any clues, either—I use it for leisure and not for marketing. I don’t have the ambition of being a social media influencer: I’m happy with what I do have to get my viewpoints across.
   And I don’t know what’s next. I see social media decentralizing and people taking charge of their privacy more, even if most people are happy to have the authorities snoop on their conversations. Mastodon has been pretty good so far, because it hasn’t attracted everyone. The few who are there are having respectful conversations, even if posts aren’t reaching the numbers they might on Twitter, and mutual respect can lead to authenticity. If, as a marketer, that’s not what you seek, that’s fine: there are plenty of accounts operating on audience numbers but not genuine conversations—as long as you know what you’re getting into. But I believe marketing, and in particular branding, should form real relationships and dialogue. Not every life is the fantasy shown in social media—we know that that’s not possible. One politician has coined the term ‘fake news’; and social media have “fake lives”, in amongst all the bots.
   If these media become known for shallow connections “by the numbers”, then even those doing it right, forming those genuine conversations, may be compelled to move on, or at least value the social media services less because of what their brands stand for. Email is a great medium still, and you can still have great conversations on it, but email marketing isn’t as “sexy” as it was in the mid-1990s, because there’s more spam than legit messages. It takes skill to use it well and to build up a proper, consented email list. Social media are getting to a point where some big-number accounts are associated with shallowness, and the companies themselves (e.g. Facebook and Twitter) have policies and conduct that have the potential to taint our own brands.
   In 2018, as at any other time, doing something well takes hard work. There is no magic medium.

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The last American Falcon

25.01.2018

I’m fascinated by the 1970½ Ford Falcon for a number of reasons. The first is the obvious one: rarity. This car was built for only half a model year, from January to August 1970. If you think it looks like a contemporary Torino, you’re right: it’s basically a very stripped-down Torino. Yet you could spec it with any of the engines from the Torino, including the 429 in³ V8 (and some did). Which brings me to the second reason: why would anyone really bother with it, if you could get a Torino for a bit more? (That answers why this car only lasted half a model year.) And that leads me to the third reason: what was going through Ford’s mind at the time? That’s where it gets interesting.
   At this time, Ford was undergoing managerial changes, with Henry Ford II firing Bunkie Knudsen (who had been lured away from GM). That happened in September 1969, by which time the decision to go ahead with the Falcon had already been made. This is, in other words, a Knudsen initiative.
   Federal regulations made the 1966–70 Falcon obsolete because it had a dash-mounted starter—the rule was that they had to be in the column. However, it’s curious that Ford made this call to put the Falcon nameplate on a mid-sizer, considering it had made its name as an ‘economy’ car (by US standards). If you read the brochure, you’ll find that this was all about size. Ford bragged that the car was 2 ft longer. Yet for this half-model year, it was still marketed as an ‘economy’ car.
   I imagine as the US headed into the 1970s, there was no sign of the fuel crisis on the horizon, so there was nothing wrong about size. Why not spoil the average Falcon buyer, used to a smaller car, with something much larger? Hadn’t upsizing already happened on every other model line out there—by this point the Mustang was about to grow into a monstrosity with massive C-pillars and terrible rear visibility?
   Ford (and the other Big Four makers) had been known to blow one model line up, then start another little one, and the Maverick had already been launched for 1970, and was now doing the compact work. By that logic, Falcon could grow more, even though other solutions might have been to either replace the Falcon with the Maverick or simply shift the Falcon nameplate to the Maverick—but both would have involved “downsizing”, and in 1970 that was not in the US car industry’s vocab. The panic hadn’t set in yet.
   Fourthly, this is a beautiful shape. Unnecessarily big (till you consider it had to accommodate the 429), but a beautiful shape. The 1970s hadn’t really started in earnest, so we hadn’t seen some of the really garish shapes that were to come. This has that 1960s classicism coupled with 1970s uncertainty. There’s still some optimism with jet-age inspiration, but the lack of practicality foreshadowed the style-first, single-digit mpg “road-hugging weight” cars that were round the corner, cars which no one truly needed but Detroit, in its optimism (or blindness), believed Americans did. There’s still something very honest about the last US Falcon. After this, only the Australians and Argentinians kept things alive, but those are other stories.

Also published at Drivetribe.

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Posted in business, cars, culture, design, interests, marketing, USA | No Comments »


Zuckerberg wants to fix Facebook: too little, too late

14.01.2018


WTF: welcome to Facebook. (Creative Commons photograph.)

Mark Zuckerberg’s promise to fix Facebook in 2018 is, in my opinion, too little, too late.
   However, since I ceased updating my Facebook profile last month, I’ve come across many people who tell me the only reason they stay on it is to keep in touch with family and friends, so Zuckerberg’s intention to refocus his site on that is the right thing to do. He’s also right to admit that Facebook has made ‘errors enforcing our policies and preventing misuse of our tools.’
   Interestingly, Facebook’s stock has fallen since his announcement, wiping milliards off Zuckerberg’s own fortune. Investors are likely nervous that this refocusing will hurt brands who pay to advertise on the platform, who might now reconsider using it. It’s a decidedly short-term outlook based on short-term memory, but that’s Wall Street for you. Come to think of it, that’s humanity for you.
   But let’s look at this a bit more dispassionately. Despite my no longer updating Facebook, I’m continuing to get a lot of friend requests. And those requests are coming from bots. Facebook hasn’t fixed its bot problem—far from it. This reached epidemic levels in 2014, and it’s continued in 2018—four years and one US presidential election later. As discussed earlier on this blog, Facebook has been found to have lied about user numbers: it claims more people in certain demographics than there are people. If its stock was to fall, that should have done it. But nothing happened: investors are keen to maintain delusions if it helps their interests. But it needs to be fixed.
   If Zuckerberg is sincere, Facebook also needs to fix its endless databasing issues and to come clean on its bogus malware warnings, forcing people to download “scanners” that are hidden on their computers. This should have hit the tech media but no one seems to have the guts to report on it. That’s not a huge deal, I suppose, since it has meant tens of thousands have come to my blog instead, but again, that was a big red flag that, if reported, should have had investors worried. And that needs to be fixed.
   Others I’ve discussed this with inform me that Facebook needs to do a far better job of removing porn, including kiddie porn, and if it weren’t for a lot of pressure, it tends to leave bullying and sexist comments up as well.
   All these things should have been sending signals to the investor community a long time ago, and as we’ve discussed at Medinge Group for many years, companies would be more accurately valued if we examined their contribution to humanity, and measuring the ingredients of branding and relationships with people. Sooner or later, the truth will out, and finance will follow what brand already knew. Facebook’s record on this front, especially when you consider how we at Medinge value brands and a company’s promise-keeping, has been astonishingly poor. People do not trust Facebook, and in my book: no trust means poor brand equity.
   But the notion that businesses will suddenly desert Facebook is an interesting one to me, because, frankly, Facebook has been a lousy referrer of traffic, and has been for years. We have little financial incentive to remain on the site for some of our ventures.
   Those of us with functioning memories will remember when Facebook killed the sharing from our fan pages by 90 per cent overnight some years ago. The aim was to get us to pay for sharing, and for many businesses, that worked.
   But it meant users who wanted to hear from these brands no longer did, and I believe that’s where the one of the first declines began.
   People support brands for many reasons but I’m willing to bet that their respective advertising budgets isn’t one of them. They follow them for their values and what they represent. Or they follow them for their products and services. Those who couldn’t afford to advertise, or opted to spend outside social media, lost a link with those users. And I believe users lost one of their reasons for remaining on Facebook, because their favourite brands were no longer showing up in their news feeds.
   (Instagram, incidentally, has the opposite problem: thanks to Facebook’s suspect profiling, users are being bombarded with promotions from companies they are not fans of; Instagram’s claim that they rely on Facebook’s ad preferences, and Facebook’s claim that you can opt out of these, are also highly questionable. I get that people should be shown ads from companies they could become fans of; but why annoy them to this extent? Instagram also tracks the IP where you are surfing from, and ignores the geographical location you freely give either Instagram or Facebook for advertising purposes.)
   What then surfaced in news feeds? Since Facebook became Digg, namely a repository of links (something I also said many years ago, long before the term ‘fake news’ was coined), feeds became littered with news articles (real and bogus) and people began to be “bubbled”, seeing things that supported their own world-views, because Facebook’s profiling sent those things to them. As T. S. Eliot once wrote, ‘Nothing pleases people more than to go on thinking what they have always thought, and at the same time imagine that they are thinking something new and daring: it combines the advantage of security and the delight of adventure.’
   This, as Facebook has discovered, was dangerous to democracy and entire groups—people have died because of it—and thinking people questioned whether there was much value staying on the site.
   From memory, and speaking for myself, Facebook probably had the balance of personal, brand and news right in 2010.
   But I doubt that even if Facebook were to go back to something like the turn of the decade, it will entice me back. It’s a thing of the past, something that might have been fun once, like Myspace. It didn’t take long to wean me off that.
   Even Zuckerberg notes that technology should decentralize and democratize, and that big tech has failed people on this front. I can foresee an attempt to decentralize Facebook, but with a caveat: they’ll want to continue gathering data on us as part of the deal. It’ll be an interesting gamble to take, unless it’s willing to give up its biggest asset: its claim to understanding individual profiles, even if many of its accounts aren’t human.
   To me, the brand is tarnished. Every measure we have at Medinge Group suggests to me Facebook is a poor corporate citizen, and it’s going to take not just a turnaround in database stability or the enforcement of T&Cs, but a whole reconsideration of its raison d’être to serve the masses. Honesty and transparency can save it—two things that I haven’t seen Facebook exhibit much of in the 10-plus years I have used it.

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Posted in branding, business, internet, marketing, technology, USA | 12 Comments »


I don’t do paid blog posts here (so don’t ask)

11.12.2017

I know we all get these emails from time to time, but they still annoy me.
   If ‘Peter’ had visited this blog, he would know that every single post since 2006 has been my own, unpaid, unsponsored thoughts. Why would I change that now?
   You may say it’s a fair question, and maybe in his case it is, if I had to be generous. Peter mightn’t have had the time to analyse every entry I’ve made.
   But it’s not just this one. Medinge gets these requests, too: again, it’s not something you would have asked if you had actually visited the site, when everything on the blog has been members-only, and when the philosophy of the organization would probably tell you that we couldn’t be bought or endorse any products.
   The most ridiculous would be Beyond Branding’s blog getting these requests—when that blog hasn’t been updated since 2006. We were still receiving requests in 2017.
   I know, some of these people found us through blog directories, and there was probably an email address tied to each entry.
   However, if they haven’t the courtesy to check us out, can I really trust that they would even pay up? And if Peter were legit, these unsolicited approaches have been coloured by the ridiculous ones we receive for a blog that hasn’t been updated in 11 (and almost 12) years.

Incidentally, our commercial publications do carry paid content, and advertorials (‘native advertising’), by law, are clearly marked as such.

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All I really know is who I won’t vote for

29.08.2017

One thing I love about New Zealand is that we’re not mired in an election cycle years before the event. We’re three weeks or so out from our General Election, and only now am I feeling things are heating up.
   It’s not that we haven’t had drama. Weeks ago, Metiria Turei was co-leader of the Greens, Andrew Little led Labour, and Peter Dunne was aiming for another term as MP for Ōhāriu and leader of United Future. None of these hold true in late August.
   What is unusual is that I’m undecided because of all these late changes, and we’re still learning about policies in some cases—I remember getting my manifesto out six months before an election, and the uncertainty here isn’t helping. The billboards have done nothing to sway me one way or another. Policy-wise, I have some things in common with each of the parties, excepting ACT, though probably like most New Zealanders, I haven’t had a chance to visit all the parties’ websites yet, though I will in the next few weeks. Various websites helping people decide based on stated policy actually give very different answers: On the Fence suggests I am both a National and Labour supporter (I often kid and say the parties are the same, just plus or minus 10 per cent); yet taken earlier, it said United Future and Māori Party were the top two with the most in common with me. Vote Compass gives Green and Mana. The websites, then, are no help, because they base their answers on selected issues, and apparently I’m both right- and left-wing.
   Twitter is comparatively quiet in 2017, giving fewer clues about how candidates are thinking, and I hardly look at my Facebook (for obvious reasons). I have spied some of the TVCs, where Labour has done an excellent job, and (last I looked) National has uploaded only one to its YouTube channel, so I can’t even see the first one that has been on telly. A lack of coordination between online and traditional media worries me.
   It’s an odd mix, none of whom really stand out.
   The incumbent National Party currently has an unimaginative TVC that is an adaptation of the rowers of 2014, and it only serves to highlight that, after three terms, they are out of touch. Say what you will about the former PM, the Rt Hon John Key, he had a pretty keen sense of the electorate. Not so this National Party, where the Deputy PM gave this quote:

   I see my friend Andy Boreham suggests ‘Minster’ is a misspelling of ‘Monster’, but such a point makes a mockery of New Zealanders’ belief (even if it does not hold true with growing inequality) that being Deputy PM is no greater a duty or more important a job than being a union leader. Some might have voted for National before on the premise that John Key is rich (I’m sure that worked for Trump, too), but, as we know, they aren’t going to return the favour of a vote by giving up a share of their wealth with you. PM Bill English, whom I first met while he was Treasurer in 1999, is an intelligent man with a sense of humour that doesn’t come across on television, and that won’t hold him in good stead this time out. Pity: there are many National MPs I like (e.g. Paul Foster-Bell, Simon O’Connor). The Nats’ 2002 campaign with Bill as leader was a disaster: I saw no outdoor advertising when I came back from Europe. This time there’s a lot of outdoor, but none of it says anything to me, other than National has spent some money licensing new fonts. I should note that no one has won an election for a long, long time in this country using a typeface that has a single-storey lowercase a.
   Labour has staged a turnaround like no other, one where leader Jacinda Ardern is neck in neck with the PM on one preferred prime minister poll. I had dismissed Labour earlier on as a party with unhealable divisions, but the speed at which Ardern and her party have pulled together an overhauled campaign is to be commended. I’ve never voted Labour before, and I’m still not convinced that the divisions are gone, but I will say this of Ardern, just as I once did of myself when I stood for office in my 30s: if we screw it up, we have a lot, lot longer to live with the consequences. She will take this seriously. She has had more parliamentary experience at this point than Key when he first got to the PM’s office, and former PM Helen Clark has endorsed her. Rose-coloured glasses about the Clark administration will help, even if I was critical of certain aspects of it back then. Post-Little, Labour could get more Chinese New Zealanders voting for them, too, after an earlier screw-up with a real estate agent’s list that was handled horribly. Chinese NZers have long memories, and some labelled the gaffe racist. Ardern is a departure from Little and the message here is ‘Don’t hinder Jacinda.’
   Peter Dunne’s decision not to stand in Ōhāriu means that the United Future party is at an end. It’s a shame, because I have always got on with Peter, and he has been generous to me with his time, more so than my own MP. Similarly, the Greens’ James Shaw I count as a friend of over seven years, but the Turei scandal has left the party hurt, even if its policies remain on track. The signage has been appallingly dull, bereft of imagination, even if James’s performance in a recent Nation debate clearly marks him out as the intellectual, aware of global trends. If we want a globalist (or at least a globally aware MP) in Parliament, then we could do far worse than ensuring the Greens get in above the 5 per cent threshold. Strategically, a party that has its origins in the environment (even if that message hasn’t been hammered home of late) makes sense, as I believe we need to protect ours desperately. Vote Compass says I’ve most in common with the Greens this time out, and Toby Morris makes a good point with his latest cartoon.
   The Opportunities Party has some good points—I’m in favour of closing tax loopholes for foreign companies operating on our shores—and its leader, Gareth Morgan, who normally comes across as lacking the common touch, did well in the debate, at least when he had something to say. I’ve followed Morgan on Twitter for some time, long before this political foray, and often liked what he had to say. However, at either website TOP and I don’t have that much in common.
   The Māori Party, as my supposed second choice based on On the Fence (at least the first time out a few weeks ago), could have received my vote after Peter decided not to stand, but Marama Fox’s performance in the above debate didn’t impress me, even if she impressed all the talking heads in the studio. It goes to show how different things are in person. Fox has passion and fire, but didn’t have the figures to back up her policies—and I know from having been on the podium with my opponents that you should have them, and your researchers should have at least come up with an estimate. I don’t know where Mana sits; I had a far better idea when Kim Dotcom was involved.
   New Zealand First, helmed by the Rt Hon Winston Peters, the most establishment of all the politicians who successfully carries on an antiestablishment message, has signage up with Peters’ face and the words ‘Had enough?’ On that note I find accord with New Zealand First’s message. I have had enough of Winston Peters, and I answer their advertisement in the affirmative. But I shan’t be voting for them.

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Posted in marketing, New Zealand, politics | 2 Comments »