echodemic

Buying Facebook Friends – uSocial and Social Media ROI

2009-09-17T17:02:00.000-07:00

(Photo courtesy of CloudAve.com)

Social media has never been about the number of followers you have. It’s about the relationship and interaction you have with your followers. However, According to AdAge, Australian based uSocial.net is trying to convince you otherwise.

USocial is already famous for selling votes on such popular social bookmarking websites as Digg.com and StumbleUpon.com. They also sell Twitter followers ($87 for 1000, $147 for 2500, all the way up to $3479 for 100,000).

Adage reports that uSocial is now selling Facebook friends…yes, you can buy “friendship” now.

What I find most interesting, is that uSocial attempts to put a value around each follower. According to uSocial:

Traditional ROI

(Net Profit / Total Investment) x 100

BNET.com gives the example: If net profit is $30 and the total invested is $250, the Return on Investment is:

30 / 250 = 0.12 × 100 = 12%

Social Media ROI

(Net Profit directly related to social media / Total Investment in Social Media) x 100 = Social Media ROI

(Net Profit directly related to social media) / (# of followers) = Net Profit per Follower

Social Media ROI and USocial

Where uSocial goes wrong, is that they are confusing subjective or potential ROI with actualized ROI. Olivier Blanchard of The BrandBuilder eloquently explains: “If I’m going to invest money in, I want to get money out. Currency is not variable.” The ‘R’ in ROI is based off of a monetary value. If a company is going to invest money into their social media marketing strategy (their ‘I”), then they need to see a monetary return (the R). The return cannot be based off of potential or subjective numbers. It doesn’t matter how many followers you have, how many fans you have, or how many sales you think will directly correlate to your social media marketing efforts. The only thing that matters is your actualized return – money you have already gotten back on your investment. A financial investment demands a financial return. (For a great vid on ROI check out The BrandBuilder's video here).

Let’s take a closer look at that social media ROI equation. Let’s say that you purchase 1000 “friends” for $1000 from USocial. These “friends” aren’t actually doing anything. They aren’t passing along your message. They aren’t interacting with your brand. They are just a number, therefore you will never see an actualized return from them. Given that $1000 investment in “friends” from uSocial and knowing that you will never see an actualized return from them, the ROI equation looks like this:

$0 / ($1000) x 100 = $0 Social Media ROI

$0 / 1000 friends = $0/friend (not $1/month like USocial boasts)

Until buying followers or friends from uSocial actually realizes a monetary return, it is completely worthless. When buying from uSocial, all you are getting is a number, not an actual customer or relationship.

What are your thoughts around buying followers and friends through uSocial and its implication on your ROI?

--Now Let Me Clear My Throat—

Josh Groth

The 5 Worst Times to use the iPhone’s Shazam App

2009-09-01T23:36:00.000-07:00

I absolutely love my iPhone (minus not having mms). I also love discovering new music. Enter Shazam - the prodigal love child that came about when someone far better at programming than myself also discovered that they had those same interests.

Now Shazam is not new. It is no longer featured in Apple’s iPhone commercials. It’s buzz has all but completely worn off because anyone with an iPhone already has it. But by God is its sex appeal still there. It’s the Jennifer Aniston of iPhone apps - it keeps getting sexier with age. With each software update, it keeps getting better and better.

It’s because of it’s raw sexiness that I find myself compelled to write this article. If the darn app didn’t get so my action from everyone, we wouldn’t have this problem. The problem is that this app is so amazing, that it is constantly being used, and often, during highly inappropriate times and places.

So I have highlighted what I consider to be the 5 most inappropriate times and places that I have actually seen people using the Shazam app. And please, feel free to leave a comment detailing any of your sightings of inappropriate usage of Shazam.

The bathroom at Red Robin

I honestly couldn’t make this up. After recently grabbing a burger at Red Robin (aka The Dirty Bird) with some friends, I decided to hit the bathroom on our way out. As I walk in, some guy is just standing next to the sinks with his iphone out, arm extended slightly towards the ceiling speakers, trying to have his phone recognize Crazy Town’s Butterfly. It was just awkward. And what’s the etiquette on something like that? It’s tough not to stare, he’s just hanging out in the bathroom. Do you tell him the name of the song? No, probably not. You don’t want to talk to someone like that.

During the toasting of the bride and groom

I was at a wedding a little while back, being reminded yet again of my relationship status (darn weddings). Time comes around for the toasts for the bride and the groom. The DJ turned the music down, but not all the way off - guess it added to the ambiance. Anyways, as one of the groomsmen is giving his toast, some guy at the table right next to me whips out his iPhone, opens up Shazam, and tried to casually extend his arm out a little bit so that his phone would be a little closer to the speaker. Sure not too many people probably noticed, but I found this hugely disrespectful not only to the person giving the toast, but also to the bride and groom.

Packed elevator

We’ve all been there; in the painfully slow elevator packed elbow-to-elbow like you’re up at a bar on Dollar Beer night trying to get another beer (or two) before last call. In the midst of this already awkward social situation where everyone stares blankly at the back of the head of the person in front of them, some woman starts fumbling through her over-sized purse for her iPhone. After successfully finding her phone, she had to find a way to maneuver her arm above her head, bumping the people around her, to get her phone closer to the speaker.

First off, it’s elevator music. You don’t want it anyway. Secondly, there was no reason to extend her arm, the only sound in that elevator was the music.

So there we stood for the remainder of our slow descent, in complete, awkward silence, with this random woman in the dead center holding her phone to the ceiling. Really?

Doing 70 on the freeway

Nothing like riding shotgun to someone that is in no way, shape, or form paying attention to the road. I was riding with this girl once, and while flying down the highway into downtown, her “new favorite song” came on the radio and she needed to Shazam it right then and there. So she grabs her phone out of her purse, and starts thumbing through it to find the app. Then selects the app, and if you have experience with it, you know that it takes a little bit to load. So there was probably a good 10 seconds where there was next to zero attention paid to the road. Not cool.

I’m sorry, you may love the song, but don’t endanger the people around you (and me) because you need to Shazam it while on the freeway.

While talking with someone at a bar

A little while back, I ran into a buddy a the bar who was in from out of town. As I began responding to one of his questions, he reaches down and starts thumbing through his iPhone, finds Shazam, and opens it up to tag the song that was on. He then extends his hand up and out so it right near the side of my head (since I was closer to the bar’s speakers) and then continued to “listen to my response” as the program goes about tagging the song. Talk about an awkward 20 or so seconds. It was one thing when I knew the song was more important to him than what I had to say, but then to stand there with his hand right next to my head while the song tagged...just weird.

So what are some of your awkward/offensive/inappropriate experiences with Shazam?

--Now let me clear my throat--
Josh Groth

CNN: An Example in Trying Too Hard to Reach Gen Y

2009-08-31T23:21:00.000-07:00

I have seen a lot of good and a lot of bad when it comes to big name companies trying to connect with Gen Y and become more ‘relevant’ to them. Companies have made these changes in a variety of different ways, with the two prominent methods being: rebranding efforts and/or a social media presence.

CNN is a little bit different. They decided to make themselves more relevant to Gen Y by creating new segments. Not a bad idea - in theory. Content that is pertinent to Gen Y should attract Gen Y viewers...right?

The problem does not pertain to the content, but in the branding of the segment. They decided to name the segment after what they perceived to be trendy Gen Y slang. They then have their Gen X and Baby Boomer news anchors painfully using this slang in the segments. The whole thing just comes off unbelievably forced.

The segments are seemingly satirically named: Just Sayin’, Are you kidding me?, and What The...?

The result (besides losing entirely too much credibility in the process) is that CNN gets put on blast by perhaps the most influential and popular news anchor in the eyes of Gen Y, Jon Stewart of The Daily Show.

Stewart has some excellent jabs at CNN’s “Slangtastic new strategy,” asserting that “they report the news like I talked...when I was a 12 year-old girl.” While some claim that all press is good press, I can only imagine that CNN lost even more credibility in the eyes of Gen Y after Stewart was done with them.

What should CNN have done differently? How about speak to and engage Gen Y intelligently! It should be natural; no need to force it. We may be younger as a generation than their news anchors, but that doesn’t mean we’re unintelligent. There are ways to cover news pieces that are relevant to Gen Y without demeaning us in the process. Just Sayin’ CNN...

--Now let me clear my throat--
Josh Groth

5 Reasons Why Gen Y is the Minority on Twitter

2009-08-19T16:48:00.000-07:00

Before going any further, I think that it is imperative to clarify that teens are indeed on Twitter - they’re just a minority (a clarification I attribute to my friend Joey Mucha ( @mucheazy ).

Last week, Mashable published an article that seemed to get everyone’s underwear in a bunch - Stats Confirm it: Teens Don’t Tweet. They cited a recent Nielsen report that shows that only 16 percent of Twitter users are under 25. Later that same day, one of my favorite editors over at Mashable, Ben Parr ( @benparr ) came out with a very interesting piece titled Why Teens Don’t Tweet. This took a closer look at the numbers and tried to add reason to them. If you haven’t read his post, you should. It’s very well written. Below I’ve put some of my thoughts around Gen Y and twitter. I’d be happy to hear your thoughts on the subject as well!

1. Perceived Value vs. Actual Value (the status update)

Twitter is a social network, therefore it must be like all social networks. Wrong. I’ve heard this a lot from my non-tweeting Gen Y peers. Just because Facebook and Twitter both have a place where you can update your status, it doesn’t mean that they are used in the same ways or even for the same reasons. I have seen a decent amount of my peers get on Twitter expecting it to be like Facebook, only to not really “get it” and close their accounts.

2. Snowball

Like any other hit new thing, at some point it’ll reach a tipping point and go viral. There will always be the first movers, but the masses begin their adoption when the they see the majority of the peers following suit. While other demographics have snowballed with Twitter use, the under 25 segment hasn’t. But who ever said that every demographic adopts things at the same pace? It could simply mean that there haven’t been enough movers in that segment to instigate the viral affect yet...

3. Push vs. Pull

Twitter is best utilized as a means for accessing news/articles in real time (pulling) and pushing content to others, not for finding what all of your friends are currently up to (especially if most of your friends aren’t on Twitter). If you’re following several hundred to several thousand people, trying to keep tabs on all of your friends updates will prove difficult as their tweets will get lost among the tweets of all the other news agencies, celebs, and randoms that you’re following as well - that is, unless you’re utilizing a client like TweetDeck.

4. The Friend Zone

If teens are mainly using social media to connect with their friends, then Twitter is not the most efficient means of doing so, Facebook is. If all of your close friends are already communicating in one area, why move them all over to another social media site unless it has some amazing value-add (might I remind that Facebook is launching real-time search functionality as well...)?

5. The LinkedIn Syndrome

My observation is that Twitter is a lot like LinkedIn: it is great for people trying to build a professional network, or substantiate themselves as subject matter experts on something. Which is why both struggle to attract teens. Why do teens need to build a professional network? Their network consists of their friends and little more. So what is the value-add for a teen to join?

What are your thoughts on the subject?

--Now Let Me Clear My Throat--

Josh Groth

5 Easy Steps for Gen Y to Go Green

2009-08-05T17:29:00.000-07:00

I’m all for green. I love the color (I’m a UO Duck...what can I say) and I love the environment. What I don’t love, are how most of the suggestions I hear about being environmentally conscious from the media, aren’t relevant to me and a good portion of my fellow Gen Yers. What I mean, is that a lot of the focus of the media is solely around driving an eco-friendly car. For someone who is unemployed and has student loans to pay off, dropping some serious coin for a green ride is something that isn’t feasible at this time. Moreover, the tips on “going green” that I receive in the mail from my local utility company seem to relate solely to home owners. I, like most of the younger half of Gen Y, live in an apartment. I don’t need to buy new energy efficient appliances, re-caulk my windows, or re-insulate my walls.

While I don’t have the money for a new eco-friendly Prius or for a LEED certified new house, I still want to make a difference. Below are five suggestions for how Gen Y can positively impact their environment and simultaneously, their wallets without exerting too much effort.

Use Compact Fluorescent Light Bulbs (CFLs)

An Energy Star qualified CFL can save you $30 over its life time! This means that this little guy will pay for itself in about 6 months. It uses about 75% less energy and lasts 10x longer than a regular bulb (just remember to turn the lights off when you’re not using them too). If that isn’t convincing, check out this stat from the Energy Star website:

“If every American home replaced just one light bulb with an Energy Star qualified bulb, we would save enough energy to light more than 3 million homes for a year, more than $600M in annual energy costs, and prevent greenhouse gases equivalent to emissions of more than 800K cars.”

Use appliances during off-peak hours

Re-Nest.com explains: "Peak" energy hours are the time of day during which the most electricity is used – typically daytime. During peak energy hours additional power plants, "peak-hour plants", are needed. If energy usage is spread out more evenly throughout the day, peak-hour plants will not need to be used.

So simply run your energy-sucking appliances like your dishwasher and washer/dryer between the hours of 9PM and 7AM. Moreover, many utilities companies will offer reduced energy rates during these hours.

Wash clothes in cold water

Approximately 90% of the energy used to wash clothes is used to heat the water. So grab some of that new Tide Coldwater detergent and go to town.

If you don't use it, you lose it

Even if you aren’t using your electronics, if they’re plugged in, they’re still sucking power. So instead of plugging your electronics into the wall, plug them into a power strip. This way, when your not using them, you can shut them all off at once. This also goes for things like your toaster and blender. Only plug those bad boys in when you’re using them, then unplug them when you’re done.

Use public transportation

What I find interesting, is that a lot of “green tips” put the C02 emission savings in relation to the comparable amount of cars you’re taking off the road. So why not just take your car off the road in the first place...

Yes, I recognize that this is not possible for everyone. But if it is, do it. It’s hugely eco-friendly and saves major cash.When I started using my city’s public transportation, I was saving around $200/mth in gas and parking expenses. That’s 200 items on the Dollar Menu or 200 rounds of beer on Dollar Beer Night for your 200 closest friends. Either that, or it’s a good chuck towards rent.

If you want some more tips, check out these sweet sites:
http://planetgreen.discovery.com
http://treehugger.com
http://energystar.gov

--Now Let Me Clear My Throat--
Josh Groth

Social Media Marketing Case Study: Express

2009-07-27T11:38:00.001-07:00

I’ve decided that I do a lot of critiquing of social media strategies, rebranding efforts, Gen Y marketing tactics, and general business strategy. While I enjoy these mini case studies, I’ve decided that it’d be a nice change to spotlight companies/brands that are doing an excellent job in their social media and Gen Y marketing efforts.

Today’s spotlight, my long-time favorite clothing brand - Express.

I’ve been a loyal Express customer since it was originally named Structure (8-10ish yrs or so). I was originally drawn to the brand for its bold colors and tailored fit clothing - it use to be a hassle finding clothes that fit someone with an athletic build. I’ve remained a loyal customer not just because of the styles, but the customer service and incredible sales that have.

As someone with a marketing background, it’s been fun watching the digital marketing efforts of the brand explode like Vegas on Fight Night. After reflecting on Express’ digital and social media marketing strategy, I’ve decided that their success is due to three key characteristics: Brains, Brawn, and Balance.

Brains:

A good marketing strategy is only as good as the person at the helm. In Express’ case, it’s their CMO Lisa Gavales (@ExpressLisaG). What I’ve enjoyed about her approach to social media, is that she’s incorporating a nice blend of push/pull marketing via Twitter. With her 7500ish followers, she alerts followers of upcoming sales, as well as quickly responds to individual comments/questions (an essential and often overlooked aspect of social media).

Example: When I was recently shopping on Express.com, I was getting frustrated with my inability to sort shirts and pants by size. I kept clicking on shirts I was interested in, only to find that they were sold out in my size. I tweeted @ExpressLisaG saying that it was hindering my shopping experience, and I’d be more inclined to purchase items from from their website if I could easily view everything that was available in my size. I promptly got a reply, and was informed that IT would get working on a fix. Awesome.

Brawn:

Many times, I see companies take a stab at social media marketing and open a Twitter or Facebook account and call it good. While it’s a good first step, social media is bigger than just Facebook and Twitter and it requires constant interaction with the consumer via these communication tools.

What Express has done well, is establish themselves in several social media mediums. They have a Facebook fan page with approx 50,000 fans, a Twitter account with 7500 followers, and a Bebo and YouTube channel to boot. Moreover, these accounts are all continually updated and they are interacting with their core consumers on a regular basis.

Balance:

Every marketing campaign needs balance. You can’t focus only on social media, or only on direct marketing. To stay relevant with your consumers, you need to interact with them and create impressions across several marketing channels. By experiencing the brand’s message over several marketing channels, the likelihood of being able recall the brand and its messages is greatly increased. The marketing tactics are even more effective when all the communication channels compliment each other instead of being attempting to stand alone.

Over the past year Express has stepped up their opt-in email marketing efforts. The emails now come more frequently, are aesthetically pleasing to view, and most importantly, they direct the consumer to each of their four social media webpages.

Their direct marketing mailers contain additional sales coupons, as well as direct the consumer to their social media webpages. They also feature verbiage explaining a 15% savings off your first purchase when you signup for email alerts.

Finally, the social media strategy not only provides their consumers with info, but interacts with their consumers. Their Facebook and Bebo pages provides the information, as well as a blurb about the 15% discount for signing up for email alerts. Their Twitter account interacts with their customers and their YouTube channel provides videos with fashion/styling advice.

Each marketing channel supports the others seamlessly. This impeccably balanced approach to their marketing campaign is perhaps the most impressive and effective facet of their strategy.

Four for you Glen CoCo! You go Glen CoCo! (yes, I realize I just quoted Mean Girls, but it seemed appropriate given Express’ utter dominance in the social media marketing field.)

--Now Let Me Clear My Throat--
Josh Groth

Starbucks to Sell Beer and Wine...?

2009-07-21T11:51:00.001-07:00

It’s been quite the year for big-ticket rebranding efforts. Kentucky Fried Chicken has been transitioning over to Kentucky Grilled Chicken in an effort to ditch the negative health connotation linked with deep fried food. Pizza Hut has begun its transformation to The Hut - in an attempt to connect more with Gen Y. Starbucks has now started down the yellow-brick road of rebranding in an attempt to gain the upper hand in the Coffee Wars.

Two days ago USA Today broke the story that Starbucks is not only experimenting with a new name, but also several new additions to their menu - beer and wine. Opening next week in Seattle, the birthplace of the Starbucks brand, is the pilot store called “15th Ave. Coffee and Tea inspired by Starbucks” (seems a little long winded to me, but what ev).

15th Ave. Coffee and Tea will feature all of the same menu options as any other Starbucks, however it will have a liquor license. It will offer a half-dozen kinds of beers and wines — most with connections to the Northwest, and priced between $4-$7.

Starbucks has been attacked from all sides like Kobe on game night. However, unlike the Black Mamba, Starbucks isn’t coming home with a ring. During the recession, Starbucks has endured store closures, layoffs, and same-store sales declines. They’ve also been hit with a full-court press by McDonald’s, as their competitor infused their McCafe with a $100M marketing budget.

Starbucks’ solution: increase foot traffic during the evening hours, where store sales are at their lowest. It’s a viable strategy, but are beer and wine the answer?

In order to address Starbucks’ proposed solution, I think it would behoove them to take a closer look at the problem at hand.

The Problem(s):

Starbucks has the highest price point among its competitors (McDonald’s and Dunkin’ Donuts).
Demand for coffee peaks in the afternoon then tampers off into the evening.
Coffee can be considered a luxury good in a recession (easily replaced by brewing at home).

Solution(s):

Bite the bullet and compromise on price. While it may have an immediate negative result on net profit, they could start making up some of the ground they’ve lost to McCafe and Dunkin’ with consumers who are price conscious. Their competitor's biggest selling point (in relation to Starbucks) is that their product is less expensive. If you take that away from them, what do they have?

Give recession weary consumers a reason to come to Starbucks instead of brewing their coffee at home (i.e. FREE WI-FI). When I was at school, there was a small locally-owned coffee shop right next door to the campus Starbucks called Espresso Roma. It always got the same, if not more, traffic than the Starbucks. Why? It was a better place to get work done at because it offered free Wi-Fi. This seems like a no-brainer, which makes it even more impressive that Starbucks is seemingly the only company left that actually charges customers for Wi-Fi.

If they’re still hell-bent on increasing traffic in the evenings via alcohol, why not sell alcohol that at least has something to do with their pre-existing brand image? Rather than beer and wine (yes I recognize that these are common in European coffeehouses), why not sell drinks like Spanish/Irish coffees and peppermint schnapps infused mochas around Christmas? Unlike beer and wine, this would not be a complete 180 from the brand image and would actually complement their current product offerings quite nicely. After all, Starbucks already produces their own coffee flavored liqueurs.

What are your thoughts? Would you go to a Starbucks for a late night beer with your friends? What alcoholic drinks (if any) would you consider purchasing from a Starbucks?

--Now Let Me Clear My Throat--

Josh Groth

Consumers React To Pizza Hut's Rebranding Efforts

2009-07-02T16:37:00.000-07:00

(Photo Courtesy of Consumerist.com)

As a follow-up to my previous post on the rebranding of Pizza Hut to “The Hut,” I thought that it would be interesting to highlight consumer’s reactions to the news. So, I went to several prominent news sources that posted the article, as well as several popular social bookmarking websites such as Digg and Reddit. I then copied and pasted them here so that you can get an idea of how consumers are reacting to the rebranding efforts (none of the posts have been edited). Some of them are offensive, others are crass. However, the majority of them are pretty hilarious.

From the article’s thread on Reddit.com

HAL_9000: “Already printing up stickers in the same font style that just say "JABBA" on them to be ready.”

alesis: “Yes! Eat pizza at The Hut and wind up like Jabba!”

Rantastic: “Because naming your restaurant after the fattest villain in cinema history is a good marketing strategy. I hope they fire that marketing team and kick them in the balls for good measure.”

Shiggityx2: “Seriously, "The Pizza" would have been way cooler.”

From the article’s thread on Consumerist.com

nocturnal99: “OH MY GOD! I TEXT! MAYBE I SHOULD EAT AT PIZZA HUT!FINALLY A CHAIN RESTAURANT FOR MY GENERATION!”

Mika Hutchison: “It sounds like a very bad joke. Too bad it's not. Lame.”

Robobot: “I was dearly hoping to see a link to The Onion at the bottom of this post.”

From the article’s thread on MSN Money

Fedup in VA: “Wow, wheel of fortune. Can't get any hipper than that.”

jimmyjoejack: “a little late for an april fool's joke!”

Amanda Hugankiss: “They should start by serving beer. Who wants to hang out and JUST eat pizza and maybe watch a little "Wheel"? I'll have a Sam Adam's with that cheese pizza, then we'll talk about hanging out.”

healthyeatin’girl: “These fast food restaurants can change their names a hundred times and they're still going to have the same greasy, unhealthy food and the image that comes with that.”

chaostheory6682: “This is Pathetic!!! I will never eat at a pizza hut again, o sorry,"the hut ". I'm so sick and tired of companies and people changing and often shortening their names in an attempt to look more hip. It's bull and I won't have anything to do with it.”

Throttlemonster: How about "Jabba the Hut"

Caffeine Clone: “Hmmm. The Hut... makes me think of Jabba the Hutt... which makes me think of something grotesquely fat and disgusting... qualities that I am sure that Pizza Hut doesn't want to bring to mind when thinking about their restaurant.”

theadrock13: “I just called a few friends and asked what do you think of when you hear the name "The Hut" as a place to go eat or hang out. Everybody says it sounds like a gay bar.”

Michaellane: “The Hut? Ewww. Sounds like some 70'sish- Long Island-Christian rock-coke drinking-"Wheel" watching-hipster-dude, (or Travis from WKRP) saying ‘let's do The Hut guys!, come on- it's almost six o'clock.”

Rittenhouse-Wise Family: “I think that it is hilarious that they think young people want to sit around and watch CBS... My dad watched Wheel of Fortune and Jeopardy. As far as Entertainment Tonight... Don't we get most of our entertainment info from the net anyway? Hilarious... Next thing they will do is add a disco ball and take names at the door... LOL”

From the article’s thread on Digg.com

fiendishMuffin: “Good luck getting people to not say "Pizza Hut." Saying "The Hut" makes me feel like a tool.”

seattlegirluw: “Maybe they watched Spaceballs too many times?”

onechad: “Maybe I'm just completely out of the cool-people loop (okay, I definitely am), but it seems to me that the harder a business tries to be "hip," the less likely they are to be viewed as such. It's like when parents try to use slang to sound younger and relate to their kids.”

FirstOne1: "Let's order The Hut tonight!" Sounds pretty stupid actually.

BDOUG: “...this will simply remind people of Jabba the Hutt, probably not a good idea when you want to sell fast food. I have a better idea, how about not putting 14,000 tablespoons of sugar into your nasty pizza sauce instead?”

MrColdHeart: “Add wifi and beer and I would go.”

greenvortex: “Leia felt chained down by her Job at the Hut.”

relaxeder: “They will include televisions that broadcast CBS-programs such as Wheel of Fortune and Entertainment Tonight." Oh boy, I can't wait to watch crap while I'm eating it.”

ErrorLoading: “Let's connect with youth by showing "Wheel of Fortune"! Are these people like 900 years old and consider 60 year old's youth?”

SnuKs: “Jabba?”

Pizza Hut Rebrands as "The Hut"...Hilarity Ensues

2009-07-02T16:09:00.000-07:00

To rebrand or not to rebrand. It’s a question that many companies are dealing with as they attempt to reposition their company/brand in order to better align themselves with current hot topics (i.e. clean and green energy, organic/healthy food, etc). This repositioning is often times in attempt to make the brand more relevant to Gen Y.

Case in point, Pizza Hut.

Pizza Hut is currently rebranding in an attempt to change their image. They’re currently testing a new name: The Hut. They are also introducing new items such as a multi-grain crust and all natural tomato sauce in an effort to cast their pizza in a healthier light. While The Hut is just a marketing effort and not a permanent name change, it’s got me scratching my head. But more on that later.

Brian Niccol, Pizza Hut’s CMO explains the rebrand in BrandWeek:

“There's a big trend in general around having confidence in the foods that you eat. People over the age of 35, whose frequency with pizza is declining, said one of the big things that would reignite their passion with the category is to have a pizza made with multigrain crust and an all natural tomato sauce...

Design is a great way to create an emotional expression for your brand. But the pizza category has been a real laggard in doing that. Our red box is a game changer in packaging and design. And yes, we're also introducing another vocabulary word with Pizza Hut, which is 'The Hut.' That ties in nicely with (today's) texting generation. We wanted to make sure that Pizza Hut and 'The Hut' become common vernacular for our brand. Red is our mark and when you see that red roof, people will refer to it as 'The Hut' or 'Pizza Hut.' As we expand our online and mobile businesses, 'The Hut' is the perfect icon for our mobile generation.”

Additionally, Pizza Hut is introducing Hut TV, an in-store video channel that allows customers to watch shows like Wheel of Fortune and Entertainment Tonight while eating.

Instead of putting this rebrand on blast (like I have a tendency to do), I opted to offer some quick observations of mine. Then to add insights into other consumer’s reactions, I will highlight some of the comments that I’ve seen popping up on popular social media sites in a follow-up post tomorrow.

My Initial thoughts:

“The Hut” may be shorter, therefore easier to text, but dropping one word in a text, one that’s in my phone’s predictive text anyway, is not going to affect a purchase decision. Now if you had an iPhone app for quick orders, that’d be a completely different story.

The first thing any Gen X or Gen Y consumer thinks of when hearing The Hut (especially male consumers) is Jabba The Hutt from Star Wars. The second thing they think of, is Pizza the Hutt from Spaceballs. If you’re trying to associate your brand with a healthier image, why is the first thing I think about when I hear your new brand name, a 4000 pound, drooling alien?

Pizza is about convenience and price, it’s rarely about a dining experience (outside kid’s soccer parties). As Gen Y consumers, we’re not going to be dining in, but out. Make it more convenient to order; don’t try and entice us to dine in with Hut TV.

Address both cost and convenience by ditching the store front, and have more stores like a Dominos where all they do is deliver. Make a phone app for easier ordering. With the money you’re saving on the lease, buy healthier or even organic products and differentiate your brand that way. Convenience and Organic = Gen Y = increased sales.

--Now Let Me Clear My Throat--
Josh Groth

The RIAA: Where Profits Outweigh Domestic Violence

2009-06-23T17:31:00.000-07:00

Chris Brown and the RIAA (Recording Industry Association of America) have two things in common - they are two of the most recognized and influential “brands” in the lives of Gen Y. More importantly, their brands are intrinsically intertwined. Brown, at the age of 16, became the first male artist to have his debut single top the Billboard Hot 100. At the same time, millions of Gen Yers flocked to their favorite torrent sites to download his work (yet he still managed to sell over 2 million copies of his debut album). Then the RIAA slapped many of those same Millennials with lawsuits (the RIAA has allegedly settled with 30,000 people that they’ve sued over illegal downloading).

What I find sad, is that these “brands” are both setting horrible examples for malleable, young minds.

Chris Brown just pleaded guilty to beating up his girlfriend Rihanna, and was only given 180 days of community labor and 5 years of probation. Oh, and he can’t go near Rihanna for 5 years. No jail time. No huge fine, just community service.

Then there’s the RIAA. They have shown Gen Y the ways of a successful business plan. The RIAA has gotten so huge, that their sue-and-scare tactics have netted them $100M in settlement money! This week, a federal jury found a 32-year-old Minnesota woman guilty of illegally downloading music and fined her $80,000 each - awarding the RIAA a total of $1.9 million for 24 songs.

What have they taught Gen Y?

Illegally downloading 24 songs is worse than domestic violence.

I am sorry, but this is absurd. The RIAA is a business that represents the record labels that employ the recording artists. Instead of spending time and money to publicize the very real issue of domestic violence in an effort to condemn Chris Brown’s actions, they took the people that downloaded his music to court and profited from it. Unforgivable.

In my business law class, my prof pounded two things into my head: a business has fiduciary and ethical duties. Businesses have a duty to accurately report their finances and to conduct their business in an ethical manner. I’m sorry, but there is nothing ethical about the way the RIAA is conducting their business, especially since they are an industry leader (they represent 85% of all distributors and labels in the US).

If we Millennials are going to be the leaders of tomorrow, then how about setting a good example for us on how to run a business? Huh RIAA, is that too much to ask? If the very artists that you represent are speaking out against your disdainful sue-and-scare profiteering (Radiohead, Moby, etc.), isn’t it time for a change?

--Now Let Me Clear My Throat--
Josh Groth

The Tipping Point for Charitable Giving and Social Media

2009-06-11T22:11:00.000-07:00

In my prior post, I addressed the issue of involvement (or lack-there-of) in charitable or philanthropic events by Facebook users. Of the 25M Facebook users that have installed the Causes app, less than 1% have ever actually contributed money to a cause through the program.

My friend Jessica Lomelin brought up an interesting comment: “I think many people like the idea of being philanthropic and self-less, but only do it until it affects their day-to-day and time.” Amen.

This got me to thinking of Causes in terms of a social epidemic, as Malcolm Gladwell would call it in his crazy good book The Tipping Point (I hear it did decently well...). Causes sure seems to fit the bill as a social epidemic with 25M users, but how come so few actually utilize the app for charitable giving?

According to Gladwell, a social epidemic has 3 key players:

Connectors: These are the people that seem to know everyone despite what circles they run in and seem to “link up the world.”

Mavens: These are the people that we rely upon to get us new information - aka the kingpins of word-of-mouth marketing

Salesmen: The persuaders. They’re charismatic and have powerful negotiation skills.

It appears that Causes has utilized both Connectors and Mavens. The people that seem to know everyone and the people that we rely on for new information and trends got the word out. They told their friends, who told their friends, and everyone signed up because of it.

What Causes is missing, is the Salesman. There is nobody out there persuading us to give our money to worthy causes. And the subtle Facebook messages that remind us to donate don’t count. We all know that it’s a good thing to do, but there is nobody busting our balls about it that gets us to empty to empty our pockets for AIDS research or starving children in Africa.

So far, I honestly think that comedian Dane Cook has the best answer to this. In one of his standup routines, he talks about how the soft sell tactic is ineffective. That the guy that comes onto the screen to tell us to give 15 cents to help a kid in Africa “Is too nice. He’s too sweet. And we’re Americans, and we need our f***** asses kicked once in a while. If you’re too nice and too sweet, that’s not gonna work. They need to have a f****** dude in a leather jacket, few days of growth, just step in the frame...” and in fewer words, tell us off and put us in our place.

Do yourself a favor and watch the clip, you’ll laugh because you know it’s true.

Jokes.com

Dane Cook: Uncensored - 15 Cents

comedians.comedycentral.com

Dane Cook Kool Aid Video

Do we Need to Start a Facebook Cause for Facebook Causes?

2009-06-08T20:32:00.000-07:00

(Picture Courtesy of FB Causes)

First off, I want to apologize for not posting in the past two weeks. Evidently typing is difficult to do when your middle finger has been crushed by a huge dumbbell. Who knew?

Now onto the good stuff - Facebook Causes is a total waste (might as well come out swinging). Ok, more accurately, those that sign up and support Facebook Causes are a complete waste - or pretty close to it. Full disclosure, I lump myself into this "complete waste" category, so don't think I'm calling just calling you out.

According to the WSJ, “Only a tiny fraction of the 179,000 non-profits that have turned to Causes as an inexpensive and green way to seek donations have brought in even $1,000.”

While one might argue that Causes at least brings free publicity to the non-profit, the goal of publicity is to drive donations. If the free publicity isn’t equating to donations, then is it really helping?

Free publicity aside, what is truly shocking is that “More than 25 million of Facebook's 200 million worldwide members have signed on as supporters of at least one cause, making it the third-most popular of the more than 52,000 applications on the site. But just 185,000 members have ever contributed through the site. The majority of Causes' participants have received no donations through the site.”

Looking at the numbers, less than 1% of us are truly cause-conscious, and the other 99% of us are just really, really good at signing up for things (again, I'm lumped into that jaw-dropping stat).

This is reminiscent of the 2007 Project Red campaign to raise money for AIDS research. With Bono as the spokesman, and consumer product manufacturers Apple, Gap, and Motorola (along with many others), the cause was hugely publicized, and simultaneously, a hugely publicized failure. In fact, the companies that were taking part in the Project Red campaign spent $100M dollars marketing their involvement, making sure everyone knew that they cared about AIDS research and were associated with the cause, while the cause only raised $18M. That's right, the campaign would have been 5x more successful if the companies involved simply donated the money they spent on marketing their involvement with Project Red rather than spending it on marketing.

It seems that whether its huge corporations like Apple or Motorola, or the lowly Facebook user, we’re all statistically more concerned with other people knowing that we give a damn about a cause than actually doing anything about it.

So what are your ideas about how to make Facebook Causes more effective? How do we get even 1% of Facebook Causes users to actually donate to the cause of their choice? It's not like there's something wrong with the application, just those of us that use it. Do we need to start a Facebook Cause for Facebook Causes?

-- Now Let Me Clear My Throat --
Josh Groth

Social Media: Are You Listening?

2009-05-12T20:20:00.000-07:00

Here's a thought; so often we yak about using social media for our benefit and communicating through this amazing medium. Let's drive market share, increase customer loyalty, communicate with our old high school classmates, and stalk our exes (or is that just me?). However, how often do we ask, "What does social media tell us and what exactly can I learn if I listen to it?" Oooh...I feel so sensitive and in touch with myself. In this analogy, I'm the sensitive male who just listened to a woman for the first time. It feels so rewarding. For both of us.

The epiphany of social media is its not only about how businesses and people communicate with consumers and friends. It's also about how we listen to what social media tells us and apply its lessons to our businesses.

I suppose this hit me today after Josh had a rocking post on the Kindle DX. After Josh e-mailed me, I clicked through to the article. The comparison of the cost-benefit ratio of the Kindle DX as a replacement for the college textbook immediately brought to mind the cash-strapped college kid who loves gadgets thinking, "Ooooh...what sort of complicated financial analysis did Josh use to justify me purchasing this neat new toy? It is SO sustainable!" My first reaction was, "Wow...if people love reading about this and its the top gadget story on Reddit, we obviously know the demographic for the Gadget section on Reddit."

And then it hit me; social media is not only a portal for communication, but its also a raw insight into what interests people. If you want to use social media, you have to be interesting to the people who are using it. For example; if Josh blogged about AARP's use for the Kindle...no dice. However, blogging about college textbooks? Front page of Reddit.

For businesses, entrepreneurs, and serious bloggers/vloggers/tweeters, the lesson is simple; find the pulse of your target consumer, communicate with them in the medium they use (preferably social media), and you will be successful.

The Kindle DX Costs College Students $1050.60 More Than Traditional Textbooks

2009-05-11T22:35:00.001-07:00

(Photo of crazy expensive Kindle DX courtsey of Amazon.com)

The internet is having a very public love affair with Amazon's Kindle DX. So let's cut through the foreplay, and get right to it. Will the $489 Kindle DX replace the textbook for Gen Y?

All the buzz has been about how the Kindle DX is going to replace the textbook and how it's the future for college campuses everywhere. Mashable reports that Princeton, UVA, Case Western, Arizona State, and Reed College are all onboard with the Kindle DX and helping to digitize textbooks. While I'm all for digital textbooks, since textbooks are hugely inconvenient, we need to address the numbers first.

To get some other insights, I opened this topic up to HARO and to Twitter. Two of my responses were quite interesting (and polarizing at the same time):

Tim Lytle writes: "With a not quite a year old daughter, I think about what her education will be like. I wouldn't be surprised if she had most of her 'books' on a Kindle, and did most of her work on a tablet pc styled netbook or a 'smart' pen (the livescribe). The technology exists today, and it will only get better, more portable, and more accessible. Sure, maybe it won't be the 'Kindle' from Amazon that she uses - it will probably be something even more integrated, more 'natural'. Maybe something like a netbook with a second screen instead of a keyboard. She'll use it as a laptop with one touch screen displaying a keyboard. She'll use it as her book, flipping it 90 degrees to view two pages. She'll lay it flat and grab a stylus to take notes or work on her art project.

As for cost? Ask any college student if they'd rather pay $500 once then $10/ebook, or buy all paper books. Of course, textbook publishers won't be happy, but there's a change growing in that field as well."

Kit Yarrow, Consumer Psychologist and Professor of Business at Golden Gate University writes: "What Gen Yers will love most is the mobility. They lead active lives and are famous for multi-tasking. I think the idea that they could snatch a few minutes of reading in anytime will appeal to them. Those texts are weighty in more ways than one. The problem lies in their ability to buy used texts via Kindle. Now that they have multiple online resources available to them many college students are circumventing their college bookstores in favor of less expensive options."

Tim and Kit bring up an interesting point - costs associated with adoption. Kit says that the abundance of online resources for buying and selling textbooks drive the cost of textbooks down already and that the inability to resell texts via the Kindle is a deterrent to adoption, while Tim brings up the idea that if the ebooks are cheap enough, it'll increase adoption rates.

So Let's look at the numbers:

The National Association of College Stores conducted a study that found that students spend on average $702/year on textbooks. This equates to a total expense of $2808 on textbooks over a 4 year college experience. It is also important to note that e-books are already available and contrary to popular belief, textbooks will not be $10 – publishers and authors still want their share. E-books were generally around 70% of the price of the regular print textbooks at the college bookstore and could not be sold back

(Looking at the UO bookstore, MKTG 420 Section: 41830 has their required book ISBN: 9780132224154 for sale at $159.75 new, $120 Used, $95.75 e-book. The e-book is 60% of the new price and 80% of the used price, or an average of 70%) Also important to note, is that the website states that an e-book can only be downloaded once, and will be auto-deleted after 150 days.

The Kindle:

1 Kindle DX = $489

Yearly E-Book expenses = $491.4/yr (70% of the yearly $702 average)

$491.4 x 4 years = $1965.6 + $489 for the Kindle

= $2454.6 for four years of e-books and a Kindle DX

The Traditional Textbook

$702 (avg cost/year) x 4 years = $2808

Given the alternative online resources for reselling textbooks, (Amazon.com, half.com, eBay.com, or simply selling them to my friends) I was on average able to recoup 40-60% of what I paid for my textbooks. For argument's sake, let's average that out at 50%.

If I'm able to make 50% back when I resell books at the end of the term I get:

$2808 x 50% = $1404

Total cost of traditional textbooks over four years = $1404

Total difference in cost over 4 years between traditional textbooks and a Kindle DX: $1050.60

While the Kindle DX may be slim and sexy, I'm pretty sure that any college student on a strapped budget is going to elect to carry their heavy books if it means saving $1K. Moreover, according to the National Association of College Stores, 26% of students said they usually pay for course materials with scholarships and grants. If the Kindle DX isn't can't be purchased with scholarship money (like some high-end electronics, i.e. computers) then the DX has even more pit against it.

Most importantly, you can buy a pretty sweet netbook for $489 which has way more functionality than a Kindle DX. Or alternatively, buy 489 rounds of drinks at Dollar Beer nights…just sayin.

--Now Let Me Clear My Throat--

Josh Groth

McDonald's + Marketing = Better than 6-Piece McNuggets

2009-05-06T20:48:00.000-07:00

Thank goodness marketing improved since this picture was taken.

I really love that Josh always picks sexy topics like Star Trek's new ad campaign, car ads, and the like, but I choose topics like the Les Schwab guy and McDonald's. This probably says a lot about why I live at home with my parents.

For those of you guys that haven't had a chance to be inspired (and filled) by your neighborhood McDonald's, I would encourage you to all go and visit one. If you actually take me up on that advice, please order a #10 six-piece for me. Oh. And two apple pies for $1. What a deal.

McDonald's has come a long way from the old days of horrible salads, entirely processed foods, Morgan Spurlock's Supersize Me, and a clown for a spokesperson. Seriously...who thought up the idea that Ronald McDonald would be a good spokesperson for your brand? Haven't clowns always been creepy, or is that just a Gen Y thing? If this was the pinnacle of advertising in the 80's and early 90's, I obviously was born ten years too late. I would've been brilliant.

McDonald's latest venture in their rebranding and business evolution is the introduction of the McCafe. This line of pseudo-premium coffee beverages at slightly lower prices is designed to undermine Starbucks and create market share for the hamburger giant. In the spirit of eating into the market share of the Starbucks and Dunkin' Donuts of the world, McDonald's is committing over $100 million to its efforts to spread the good word to consumers everywhere.

McDonald's latest venture is fantastic; the company launched the business during an economic downtown, its Seattle-based (and snobby) competition is closing stores, and people are looking for tasty escapes from everyday life. The integrated marketing communication plan involves TV, radio, print, online, and outdoor ads.

The only critique I have about McDonald's integrated marketing communications plan can be summed up in one world; integration. Especially in online ads, we see a lack of connectivity between a Facebook group, the McCafe theater banner ad posted on Youtube yesterday, and communication to the end consumer.

McDonald's failure to utilize social media lessens the impact of its $100 million campaign. By creating and official Facebook group run by the company and promoting the McCafe website through the Facebook group (and vice versa), McDonald's could increase touch points and develop a stronger connection to the consumer by furthering the integration of the marketing campaign. This move, similar to the moves made by Pinkberry, increases the possibility of seeing a more loyal (and zealous) fan base.

Please, McDonald's...step up the one area that can really bring you great bang for your buck (a marketing "value meal" if you will); social media.

I'm hungry; good thing the dining room is open 'til 10 p.m. at my favorite McD's.

- Mama said knock you out -

Phil Jones

Not Your Father’s Star Trek: Marketing Star Trek to Gen Y

2009-05-05T22:56:00.000-07:00

Full Disclosure – I’m not a Star Trek fanboy. I’m a Star Wars guy. I’ve grown up stereotyping and poking fun at Trekkies. I remember growing up and seeing my dad engrossed in everything from the original Star Trek episodes, to spinoffs like Deep Space Nine. I’ve spent my entire life looking down on Trekkies – so why the hell can’t I, or anyone I know, wait until May 8th to see the new movie?

Paramount faced a monumental challenge when making the new Star Trek. How do they get Gen Y on board for a Star Trek movie? Sure, it’s easy to get all the Gen X Trekkies onboard, they’d go see the movie if it had a $1M budget and actors found on Craigslist. But how do you get an entire generation psyched for a movie that’s based on a tv show they’ve grown up with a negative opinion of? Seriously, is there any tv show out there that is more polarizing than Star Trek?

Selling Gen Y on Star Trek:

Casting: There are plenty of good actors/actresses out there. However, certain actors draw certain crowds. If you’re struggling to figure out how to attract Trekkie-hating Gen Yers, cast actors they know and like. Enter – John Cho and Zachary Quinto. Cho starred in the mega hit Harold and Kumar, which is on most Gen Yers all-time favorite comedy lists. Then there’s Quinto, who plays the infamous Sylar on the hugely popular Heroes (let’s face it, Sylar is one of the best villains in a long, long time). Cast actors Gen Yers like, you'll win them over (it's so simple it hurts).

Directing: Like casting the right actors, there’s also smart marketing in who you choose as a director. Paramount brought in J.J. Abrams who wrote and produced the tv shows: Alias, Lost, and Fringe. On top of that, he wrote and directed Mission Impossible 3 and produced Cloverfield. Abrams has a proven track record when it comes to Gen Y, and the experience with big budget films to pull off a blockbuster like this. That, and he'll bring his whole cult following along for the ride too.

Marketing: Like any movie, the marketing comes with the trailers. Audiences got their first peek months ago, and since then, the trailers have gotten increasingly more action packed. However, unlike traditional trailers that try and sell you on what it is, the Star Trek trailer come out and tried to sell you on what it isn’t. With rock music blaring, and cut scenes of bar fights, sex, and a goofy looking John Cho, the bold text flashed across the screen:

THIS IS NOT…YOUR FATHER’S…STAR TREK

Want to change Gen Y’s perspective on something, take a page out of Star Trek’s marketing campaign. Because Lord knows I couldn’t have EVER foreseen myself writing anything positive about Star Trek…and I haven’t even see the movie yet.

--Now Let Me Clear My Throat--
Josh Groth

Will Chen of Wisebread: Wise Indeed

2009-05-01T14:39:00.000-07:00

**To conclude my analysis of Ford’s Fiesta social media marketing campaign, I sought out the opinions of several social media marketing experts – to have them weigh in on the Fiesta Movement, but also the broader idea of making a social media marketing campaign sustainable over a long period of time (6-12 months)**

The following interview is with Will Chen, the social media marketing director for Killer Aces Blog Network. Their flagship blog, WiseBread.com has over one million page views a month. He has run several successful social media campaigns via Digg, reddit, twitter, blogger reviews, and forum development.

How do you keep Gen Y interested in a campaign that is 6 months to a year long?

There are two types of viral content. One type has a high WTF factor that gets a ton of attention. For example, this awesome picture of an eagle was a huge hit last month on Digg and Reddit. It is funny, it is fresh, and in a few more weeks it will be gone.

The second type of viral content sells a specific lifestyle. My favorite example is Where in the Hell is Matt. Matt is a game designer who travels the world and videotapes himself dancing in every location imaginable. People love his videos because we all dream about leaving our dreary cubicle jobs to see the world. Matt's videos started in 2006 and they are still going strong (just a few months ago one of his videos hit the frontpage of Digg, again).

The Fiesta Movement is trying to do the same thing. It is selling the dream of the "college road trip" lifestyle. Sort of a Zen and the Art of Motorcycle Maintenance meets MTV's Roadtrip.

A lot of people make travel videos, but none of them did them as creatively as Matt. There are a lot of "Matts" in Ford's campaign. Autoblog reports that Juston Laipply, creator of the über-viral "Evolution of Dance" video applied to be an agent. I think they are going to create some awesome content.

Finally, if Gen X is the "me" generation, then Gen Y must be the "me me me" generation. Everything in their digital life is customized to revolve around them. Pandora plays music based on their tastes. Twitter broadcast the flavor of coffee they drank this morning to all 27 of their friends. They watch only the shows they want on Hulu.

These kind of people want to see a campaign that shamelessly panders to them. The traditional car commercial with a authoritative announcer talking up a car while a butler serves champagne on the sun roof is not going to get the job done. Gen Y people want to see themselves in that car. And Ford will show the Gen Y people, not just themselves, but the best version of themselves they've always secretly hoped to become.

Is a social media really the correct medium for a long campaign?

This movement is designed to brand Fiesta for the long term. Ford isn't just looking for a couple of Digg home runs or mentions on Autoblog. The online viral campaign is probably part of a much larger campaign that looks 1, 3, 5, or 10 years into the future. My marketing budget for Killer Aces Media is probably a drop in the ocean compared to what Ford has to work with, but even I do media plans for up to at least 24 months.

It would be a mistake for Ford to rely completely on social media, but it was shrewd of them to use it as part of a bigger plan. I suspect they plan on sponsoring more traditional things like college sports events, print campaigns, product cobranding, etc.

How do you make word of mouth marketing sustainable for the entire length of the campaign rather than having it die off after people stop blogging/tweeting about it?

Blog posts leave anchor text and links. Due to this campaign, 3 months from now when you Google "fun car for road trip" or "great college ride" you'll see Fiesta at the top of that list. Industry analysts and journalists also use Google to help them find information about products. I personally get tons of media inquiries from journalists who found my site http://www.wisebread.com/ because they saw our site while Googling for "best personal finance blog" or "personal finance forum."

Instead of stuffy marketing material, these analysts and journalists will see a bunch of "testimonials" from users of the car. Some of them might not even be aware of the fact that this was a paid campaign and mistake it for a grassroots type of consumer love.

What Ford needs to do to keep this momentum going is to make sure the campaign evolves beyond existing social media. They need to anticipate game changing applications like Twitter before they become the industry standard. I know Scott's body of work and I think he will have no problem with this.

Creating a Sustainable Social Media Marketing Campaign

2009-04-28T21:45:00.000-07:00

To conclude my analysis of Ford’s Fiesta social media marketing campaign, I sought out the opinions of several social media marketing experts – to have them weigh in on the Fiesta Movement, but also the broader idea of making a social media marketing campaign sustainable over a long period of time (6-12 months).

The below response is provided by Moosylvania’s CMO Rodney Mason. Saint Louis based Mooslyvania specializes in digital branding and promotion. Rodney is a social media expert, and has authored several white papers, namely “The 7 Trust Builders of Gen Y” and “The Nine Step Guide to Social Networking.”

“Social media campaigns are like the produce section of the grocery store, the content is perishable and people’s tastes change often. Sometimes they buy oranges and grapes, other times they switch to strawberries and bananas. They consume social media campaigns in the same way.

If your Social Media campaign has a strategy that provides depth of content, variety of selection, and regularly updates the stock, throwing out the expired, it can run to perpetuity.

Need proof, look to the movie studios with many of their prelaunch campaigns running six months or more with some over a year. Barack Obama’s campaign did the same.

How about a car? The Ford Fiesta Movement has breadth of content and variety through its small army of connected Agents.

How engaging and appealing they are to the Gen Y audience over time remains to be seen. But many of them have thousands of visits to their content. If they are truly going for staying power, they will regularly introduce new, compelling reasons for visiting.

Burger King’s approach to Social Media, whether it’s derived from a macro strategy or not, is to regularly bring out fresh new messages around different products. This has worked for them. They’ve built credibility in the space and continue to grow their audience which anticipates their next move.

The Skittles social media campaign that drove hype for about a week, was missing sticky content or a long term strategy. There’s nothing wrong with flashy launches, but if your goal is to be relevant for more than a week, you have to build a sound strategy – that includes regular touches with compelling and different content.”

Rodney Mason
CMO, Moosylvania

rodney@moosylvania.com

Gen Y : Stick to the Basics

2009-04-23T21:07:00.000-07:00

My hero (and the proof that reaching Gen Y can be more simple than you think).

Long, long ago...in a galaxy far, far away...there existed a saying (I think it came from my father's childhood); keep it simple, Stanley. Yes, Stanley's really his name.

Since Josh is up in Ford's grill about their social media campaign for not meeting his high standards (you should see the women he dates), I thought I might as well just jump in and comment on Dealer Marketing Magazine's article Keeping Up With Gen Y: How Automakers Can Reach This Upcoming Group of New Car Buyers.

The article from Dealer Marketing Magazine goes on to say that to reach Gen Y you should consider using social media, automated kiosks in dealerships, car customization, and technologies that allow Gen Y to custom build (and preview) their pimp new ride.

Here's the concern; reaching Gen Y isn't just "bling". Yes, it helps. In this analogy, I'd obviously prefer my car to be rollin' on Dubs and Lambo doors like Fiddy, a disappearing hood ornament like Too Short in "Blow the Whistle", and I always love me television headrests like Bird Man and Mannie Fresh. However, if the car doesn't have wheels, an engine, or smells like a cat just yakked tuna all over the bucket seats...that car's not worth my time.

Here's the dirt; the technologies above are fantastic. They would work. They do work. Scion is a great example of a company that's utilized customization, social media, and great advertising to reach Gen Y. However, I wouldn't step foot inside some of the car dealerships I've visited with their sleazy salespeople, pushy lines, and horrible advertising even if they had all those technologies. And that includes Scion.

At the end of the day, interacting with and reaching Gen Y can really come down to the basics of service, quality, and product. For example, take Les Schwab. They have some antiquated technologies to preview your car with rims. I can't see a computer animation of how much better I will handle wet roads if I sipe the tires. Yes, the store is a little mid-90's. Their advertising involved a senior citizen driving a Jeep around in the mud. But when it comes down to it, people still go buy there to buy their rims and most certainly go there to get their tires maintained. Why, do you ask? It's simple; great service, high-quality maintenance, and reliable product.

As people get more and more caught up with Gen Y and the concept of social media, they must always be on the lookout to see if they're exceeding the needs of their customers in the core aspects of service, quality, and product. If we fail in these areas, your $300,000 flat-panel, multi-touch, fully-integrated tabletop customization magic computer machine won't be good for much else other than the standard purposes of a table (and impressing your bored workforce).

Dealer Marketing Magazine; I look forward to your next article on those three topics.

- Mama said knock you out -

Phil Jones

How to Improve Ford's Fiesta Movement

2009-04-20T22:50:00.001-07:00

Part 2 of 3 of my analysis of Ford's Fiesta Social Media marketing campaign.

In my previous post, I not-so-politely documented my frustration with the Fiesta Movement social media campaign. I had a lot of questions sent my way in the past couple of days, both on and offline, and I think I need to clarify my position on the Fiesta Movement.

I do not hate the campaign; in fact, I think it was thoughtfully conceived – to a degree. The launch was effective; successfully harnessing the power of YouTube. The target market was intelligently selected, pegging 100 highly socially connected individuals who, most likely, act as influencers in the respective social circles. The buzz culminated into an orgy of tweets as social media fan boys/girls caught wind of it. However, I don't see how the hype can be sustained as the campaign heads into its maturity stage (if we're talking in terms of its product lifecycle).

I see the campaign like Fox's 24. We've watched the first 16 hours of Jack Bauer kicking ass and taking names, and right as we are heading into the most important and exciting final 6 hours, the camera cuts to 6 solid hours of watching Jack Bauer sleep (but it's shot in night vision, so it's "edgy"). Having these 100 Agents blog and tweet about their experiences driving the Fiesta just isn't going to peak consumer interest.

This is a problem that is not unique to Ford's Fiesta Movement –it's an epidemic associated with many social media campaigns. Well conceived social media marketing campaigns typically start out hotter than the contestants of the Miss USA pageant, and then die faster than Chris Brown's career. Few have successfully found a way to become sustainable over the life of the campaign and maintain the high performance rather than peaking too soon (that's what she said).

Now that I've talked about what's wrong with the campaign, I want to talk about what could make it better and subsequently, make it more sustainable.

Social Bookmarking and Wikis: The Three Musketeers of social media are Communication (blogs, microblogs, and social networking), Collaboration (Wikis and social bookmarking), and Multimedia (Flickr, YouTube, etc.). The Fiesta movement managed to hit up two of these three, however it neglected such behemoths as Digg, Reddit, and StumbleUpon. Being able utilize social bookmarking website can help draw crazy, crazy traffic. And yes, the argument would hold that a popular article on Digg may only drive traffic for a few days. However, if you can consistently post interesting, exciting, or humorous articles on these websites, you have consistent traffic that also makes its way into the blogosphere and twitersphere.

Mockumentaries – The Fiesta Movement needs to find a way to spice up the daily postings of its 100 Agents. So rather than writing about their daily experiences with the car, why not have them make mockumentaries poking fun at how much their morning commutes suck. Have the 100 Agents film daily vlogs documenting the horrors of their commutes, finding quirky ways to incorporate the Fiesta into the mix and have viewers vote on which are the funniest/most tragic and the person that gets the most votes gets to keep their car. This could potentially drive traffic from all three of the major social media avenues.
Hire real influencers – Yes, the 100 Agents Ford handpicked all have substantial pull. But they should also consider getting the car into the hands of people that have A-List social media cred – think Andy Samberg and his mega hit crew Lonely Island. Or vlog all stars on YouTube like Michael Buckley and his What the Buck Show, or Philip DeFranco and his channel Sxephil. These two vloggers alone average 300,000+ viewers/post. Not only that, but they are channels that are hugely popular with Gen Y. Get these guys and others on board, and watch the buzz take off!

What suggestions/ideas do you have for the Fiesta Movement to help it sustain a healthy marketing buzz?

--Now Let Me Clear My Throat--

Josh Groth

The Only Thing Better Than Yoga Babes: Yoga Branding

2009-04-16T21:03:00.000-07:00

Oh boy, oh boy, oh boy...this post just spoke to me. I don't even know if the points I will make would be worth the 0s and 1s it takes to type this, but there are two things that got me excited tonight. They include:

Chattarunga
Branding

Yes, ladies and gentlemen, let's combine two things of awesomeness; things that make you well and things that make you money. That is the best thing I heard all day since I found out it was supposed to be 80 degrees in Oregon on Monday. In April. Thank you global warming. This is truly a day of the possimble.

For the record; yoga babes count too. I just don't think anybody would read the rest of my post of it was listed.

Tonight's post inspiration comes from Fast Company's article on the rise and Harley Davidson-esque cult following of the one and only Lululemon. I'm not going to lie; I think Harley Davidson is a little cooler. And more dangerous. And probably less healthy. Hold up...scratch that. I'll stick with yoga. I don't look good in leather pants and I don't look good with road rash. Then again, I don't look good in capris. And I have tan lines if I go shirtless in yoga class. Darn. I'm going to stick to video games.

Since Lululemon started in 1998, it has grown from one tiny yoga apparel store to 100 storefronts, $340 million in revenue, and triple the sales per square foot compared to retailers like J. Crew and Abercrombie. Although the revenues aren't on par with the Nikes and other athletic apparel companies of the world, it's still worth noting a tiny storefront puts up huge numbers and has a cult following similar to a yogi Michael Jordan doing a one-handed handstand at the yoga All-Star Pose-off.

I first heard of Lululemon on a trip to Seattle a few months ago. A family friend said his daughter now worked for them, attended yoga classes as an ambassador as a relational marketer, made practically nothing, and lived in the trendiest part of Seattle. Is that Gen Y or what??

What makes Lululemon so delicious? I could pun and say its the flexibility of the organization or the raw peace of nirvana, but that would be a lie (and truthfulness is one of the eight pillars/limbs of yoga). Then again, I'd probably be lying if they didn't follow at least a few pillars of yoga on their way to success. If Gen Y holds up its end of the bargain (and why wouldn't we? If we fail we'll just blame it on our parents), Lululemon should keep on its rise to the top. I'll highlight some of the key points I love about Lululemon below:

Recruiting influencers: Lululemon targets hot gyms and great instructors to increase brand authenticity and spread the word about its products. At a grass roots level, you see very few companies that have done this as well as Lululemon. As a bonus to the instructors, the portraits they throw up on the walls of the storefront increase loyalty and develop mutually beneficial relationships between influencers and the company itself.
Finding great inspiration: First and foremost, Lululemon and its employees believe in what it stands for. Second, they didn't care where they got it. Just because you take inspiration from cults or psychological mumbo jumbo to create a company culture doesn't make you evil; it makes you smart for using the addictive techniques of Jim Jones and the like to create jobs, improve health, and impact communities. I can't lie; I believe criminals are the most creative and best entrepreneurs in the world today.
Hiring people who "drink the Kool-Aid": This doesn't mean hiring people who eat, breathe, and sleep yoga. For Lululemon, it means hiring people who help drive its business AND believe in the message. By hiring people who believe in the message, you create a motivated, dedicated, and loyal workforce. Oh; did I mention they'll work for practically nothing?

Gen Y, eat your hearts out; this is the brand of our futures. Health, wellness, goal actualization, achievement, and expensive product. Oh wow. Did I just raise the limit on my credit card?

That's all I've got for tonight; I'm going to throw on my manpris and go do some crow push ups.

- Mama said knock you out -

The Ford Fiesta Campaign – As Exciting as a Colonoscopy pt. 1 of 3

2009-04-13T21:33:00.001-07:00

I recently happened upon Ford's new social media marketing campaign that surrounds the re-launch of their Fiesta car. After looking into the campaign at length, I've decided I want to do a three part series on it (or four, if I feel so inclined), analyzing it in detail. Why? Because I think the campaign sucks - a lot. However, I think that there is a lot that can be learned from taking a closer look at Ford's mistake.

If you need filling in, Ford recently selected 100 "Agents," as they've dubbed them, to test out the 2010 Ford Fiesta for the next 6 months. These Agents are all Millennials, and social influencers. Ford selected these Agents by their geographical dispersion and their affinity towards social media; aka the more digital friends they had, the more likely they were to get a car. According to Ford: "[The] 100 agents are spending six months behind the wheel of their own Fiesta, sharing their experiences, and completing monthly missions to show you what experiencing the Ford Fiesta is all about, way in advance of the U.S. launch in 2010."

This sounds about as exciting as a colonoscopy.

I don't care what car you drive, a morning commute is a morning commute; it sucks, it's boring, and nobody talks about it in a positive manner. I've yet to hear someone tell me "wow, my experience driving to work this morning was exceptional, and it's all because of the new car I bought!" All you hear about is how much traffic sucked that morning, where the accidents were, how long you waited at the staggered onramp light. So please tell me Ford, why would I ever care about someone's daily "experience" driving your car? If the Agents are not writing about how much their commute sucked, they're probably not being honest.

I could understand it if it was something like a Land Rover, and they were writing about all of the cool off roading they did, or a Wrangler and how they made it up to the mountain to board despite the crazy snowfall that kept everyone else at home. But let's be honest about it, it's a hatchback – it's not much of a game changer.

This leads me to wonder if Ford knows how Word of Mouth Marketing (Viral marketing to the cool kids) actually works. While I don't have any qualms with them basically purchasing Fiesta fanboys (and girls), I actually think that was a strategic move, the topic isn't something that's actually going to provoke more consumers to pass along their message. Consumers are going to pass along a link/brand/commercial/video whatever, if it is something that they like and find valuable or entertaining. It doesn't matter how much you pay your Agents to pass along your campaign, if the campaign isn't interesting, then the consumers that the Agents share your message with will not continue to pass it along via Word of Mouth. If they really wanted to reach Gen Y, as they stated, they should have had a campaign that appealed to Gen Y's interests and not just their communication channels.

What Ford did well:

Identified the "influencers" of social media
Beautifully designed website
Careful launch along with New York International Auto Show

What Ford did wrong:

Unexciting campaign
Nothing (good) that will drive consumer Word of Mouth

-- Now Let Me Clear My Throat --

Josh Groth

President Obama: Tactical Employer

2009-04-09T20:32:00.000-07:00

Ladies and gentlemen; welcome to the new face of the Obama administration. No, not the respectable Asian that lost his dress shirt; the other one.

In case you haven't heard, Kal Penn, of the infamous Harold and Kumar movie series, Van Wilder, and House, decided to leave Hollywood to join the Obama administration as an associate director in the White House Office of Public Liasion.

When I first read this, I felt shocked not by Penn's decision to leave Hollywood, but instead by the Obama administration's decision to hire him. With such rigorous background checks that include questions like, "Have you done something that could embarrass the White House?", I felt a little surprised the administration would hire someone whose image in the public mind is a stoner in Harold and Kumar. Don't get me wrong; I'm sure Kal Penn is an great guy. Any person who loves politics and acting (as quoted in the Washington Post) is someone I'd buy a beer for any day of the week. It just seemed too ironic that an administration so concerned with image would hire an individual who has at least "acted" foolishly.

However, as I thought about it a little longer, I changed my tune on the Obama administration's decision to hire Kal Penn. He's certainly articulate, intelligent, and driven to be successful. More importantly, the Obama administration identified key markets where Penn would be highly impactful. According to the Washington Post article, Penn should contribute positively to the environments where he'll work; youth, arts, and Asian American communities.

The brilliant decision made by Obama and the White House was to hire an individual and selectively target him to where he can make the most impact. Youth today know of Kumar or the dearly departed Dr. Kutner, the arts would align with his passion for acting, and his ethnic background would play well with Asian Americans. Sure, most 45-64 year-old Republicans would hate him for the loose morals of his characters, but to the demographics the Obama will use him in...he's brilliant.

As an employer, President Obama and the White House give us all a few key lessons on hiring and branding. These lessons can easily be applied to Gen Y, and have particular relevance as businesses try to get "the most bang for their buck" out of employees in this economic environment. They include:

Right person: A lot of organizational hiring is finding the right person for the job. Penn, with his experience and ethnicity, is the right fit for the role and the target audience they want to reach. How many times do we see companies "reinventing" themselves and their marketing by taking current marketing campaigns (and managers), adding a little social media, and thinking Gen Y will swoon? It's important to match a person with relevant experience and relationship to the role to have maximum impact.
Targeted (and generation specific) branding: Not all ad campaigns need to appeal to all generations. Penn certainly won't appeal to anyone above the age of 35. Thankfully, the Obama administration will put him in front of people under that age (and appreciate the finer humor of Harold and Kumar, Van Wilder, and House). Companies can employ the same strategy in all areas; from marketing to management to communication, messages need to reach an intended audience in the way they respond to best.

- Mama said knock you out -

Phil Jones

Social Media: It Actually Works!

2009-04-08T20:39:00.000-07:00

Oh boy, oh boy, oh boy...social media is so cool! If you can't wait because you're as excited as I am, then you can just read Wired's article on Moldova's riots by clicking here.

That's right, ladies and gentlemen, today Twitter was used for something far beyond Twitter's standard list of responses for the question, "Why use Twitter?"

In case you haven't visited Twitter's Why? page, the body of the page contains some information on why people should use Twitter. These reasons include:

Eating soup? Research shows that moms want to know.
Running late to a meeting? Your co-workers might find that useful.
Partying? Your friends may want to join you.

Although I'm honestly not sure if my Mom would care about my chicken noodle soup with a soda on the side or if I would consider Twitter to be the best way to communicate to my co-workers and the world at large I'm not making the meeting on time, it's a good thing Twitter's functionality is better than its description of why you should use it and its hotter than wasabi peas when you inhale wrong and your nose burns.

However, Twitter is now forgetting about one key thing that you can use Twitter for...you guessed it! Inciting public disturbances, organizing flash mobs, and destroying government buildings by lighting things on fire and smashing windows. THAT is a great reason to use Twitter.

No joke, Moldovans felt like the government fixed their most recent elections and organized demonstrations via Twitter and Facebook. People tweeted from the heat of the action, updated and posted pictures or video to fellow Moldovans, and communicate to the world via a single computer.

The amazing thing about the Moldovan Twitter fiasco is not that people revolted and broke things; we can just go to college campuses around the country for that. The amazing thing is this is the practical and real-world demonstration of what social media offers people; an incredible voice to reach a mass audience and the opportunity to do it in real time. On a mass scale, we can see how social media (when paired with a cause, belief, or idea people will believe in), has real-world power to organize, educate, and empower people to impact (or destruct) the world around them.

If only Josh and I could get our hangouts to be this well attended (and destructive)...

- Mama said knock you out -

Phil Jones

I’ve Got 99 Problems and Motivation Ain’t One

2009-04-06T22:50:00.000-07:00

My counterpart Phil wrote an article a couple months back entitled “How Do We Motivate Gen-Y.” He wrote the article in response to several poorly written articles about how to motivate Millennials. He offered some excellent alternative approaches about how to motivate a Gen-Y employee.

I want to take it one step further; why do so many professional articles offer advice on how to motivate Millennials? Yes the advice offered is usually a hodgepodge of overused corporate catchphrases, but why do so many experts think Millennials need an exorbitant amount of motivation?

If anything, I would consider most Millennials overly ambitious – products of our raising. Ron Alsop, author of The Trophy Kids Grow Up: How the Millennial Generation Is Shaking Up the Workplace believes that we all just want a trophy for participating and need constant mothering from our bosses, I’m going to politely disagree, and actually provide the perspective of a Millennial.

While I may not be an “expert” like Ron Alsop, I (unlike him) actually happen to be a part of this demographic that he has under a microscope.

As a Millennial, I was raised as a “trophy kid” as Ron would label me. I got a trophy for participation. However contrary to Ron’s opinion, my success wasn’t solely defined by what place I took in a competition, but also by how many different activities I successfully competed/took part in. I didn’t just get a trophy for basketball, but also for baseball and soccer. While I wasn’t training for sports, I was active in Boy Scouts collecting merit badges like an inmate collects tattoos. When I wasn’t reciting the mantra “Be Prepared,” I was competing at the state level with the chess club. The list goes on and on.

But I’m not tooting my own horn, all of my peers led similar lives.

This mindset was only perpetuated in high school. Growing up being told “you can achieve anything you set your mind to,” we quickly realized that our resumes stacked up equally with everyone else’s. So we piled on Advanced Placement courses, language skills, leadership roles in clubs ad infinitum. We grew up being told we needed to be the best, and we spent our lives learning how to accomplish just that.

So when articles come out talking about how to motivate me as a Millennial, I get frustrated. When I see similar articles saying how Millennials are arrogant and think they can take over, I get even more frustrated.

I’ve got news for you, as a Millennial I don’t need fluffy motivational techniques. I’ve spent my life motivating myself past my peers. What I need is the motivation that’s found from being believed in as someone who CAN be successful and challenged accordingly. Millennials' personal drive should not be a threat to Corporate America, but an asset. Companies that can put stock in their youth and trust in Gen-Y’s personal drive have an invaluable leg-up on their competition.

I’ve got 99 problems Corporate America, and motivation ain’t one.

--Now let me clear my throat--

Josh Groth

Google Buying Twitter: Internet Bling

2009-04-03T22:26:00.000-07:00

Rumors are awesome because they're like that first date when the girl says something like, "Oh, we should totally do this again. I had a fun time," when you drop her off. The hopes go up, you tell all your friends, but 80% of the time you end up confused and wondering why she avoids your calls. Hold on; maybe that's not awesome. Obviously I've avoided dating too long.

Tech rumors are no different than the whispers of romance you hear on a first date. You start to salivate and dream over the potential that what you hear on the blogs is true. "Oh my gosh...they're going to do what? They bought them for how much? They're producing little babies? GOOTUBE??" Sadly, they're not always true, and you realize all the time you spent figuring out if you were going to short the company's stock was an exercise in frivolity.

Today was one of those special rumor days. Internet blogs blew up saying Google was looking to buy Twitter. Past the "he said she said" of one blog saying it would indeed happen while another blog vehemently denied it, the rumor persisted and made it onto mainstream news sites all over major networks. The rumor, just like any good one, was delicious. To quote the alien, Hulu-loving Alec Baldwin; "I think I'm drooling a little."

If I could put the Google and Twitter (Gootter) relationship into a simile, I would equate this to a rap star with a few platinum albums, creative beats, and plenty of groupies. This rap star decides with all the spare coin he can kick around he should go buy "bling" (e.g. new cars, new houses, new boats, new women, etc.). Although the rap star can certainly afford his bling and generates buzz by making it onto MTV Cribs (or CNET in Google's case), it really does little to improve his bottom line or increase his profitability.

The problem with Twitter is the same problem that Youtube, Myspace, Facebook, or any other social media site. They were raised in the wild of the Internet, and like any feral cat worth its weight in financial valuations they're awfully tricky to control, manage, or make lots o' dollars. The business models created by these websites were born out of user ingenuity and the idea of meeting the needs of a consumer...not making bottom line dollars. As far as I can tell, I don't think anyone has completely mastered the art of profitable social media. In the end, it's a matter of convenience and user simplicity for the users of the site...and isn't that the way it should be??

If you don't believe me, take a peek at Google's purchase of Youtube for $1.65 billion in 2006. Good googly moogly, that's juicier than my Fruit Punch Capri Sun I had with lunch today. However, if you look at estimates of Youtube's revenue forecasts, the highest revenues I saw for 2009 were $125 million. Although this is an impressive 50% increase over last year, if sales plateau at $125 million it will take them about 13.2 years to break even on this initial investment. I'm a patient man, but in the world of business don't you expect a return on your money a little quicker?

The trouble with social media born in the wild of the Internet is conversion of the medium to a profitable commercial enterprise. In my opinion, Google should just put its genius programmers (preferably the same ones who brought us the joys of Google Maps, Google Earth, and Gmail) and let them loose on creating social media that boggles the minds of its users and makes killer profit for Google.

-Mama said knock you out-

Phil Jones

Study Shows Tweeting Increases Worker Productivity 9%

2009-04-02T22:08:00.000-07:00

BOOM TIME! I was busy catching up at tweets this evening, when I noticed that my friend @mattsingley tweeted about an article on Wired.com that was about an amazing study that came out of Australia. According to researchers, people who use the Internet for personal reasons at work are about 9 percent more productive that those who do not.

What I’m wondering, is why it took so long for a study to come out to validate this!

I wrote an article a few weeks ago about social media being Gen-Y’s “water cooler.” Why submit yourself to awkward, forced, and sometimes painfully repetitive conversations at a water cooler when you can spend that same time catching up with friends and family online? This study plays in tandem with that, and gives credibility to those “stolen” minutes at the office spent tweeting of Facebooking.

To me, this is just another painful example of how the “tried and true” ways of Corporate America are outdated and in dire need of a defibrillator to the jugular in order revitalize the workplace.

Take the following examples to help these points sink in:

-Sitting at a computer for 8 straight hours with no breaks is like being strapped to a chair and being forced to listen to Rick Astley’s Never Going to Give You Up on repeat for the entire day. You’re brain is going to be numb. Your productivity is going to suffer, your mood is going to be off, and you become increasingly more likely to punch a koala (see Careerbuilder.com Super Bowl ad below)

-Sitting at a computer all day with intermittent water cooler breaks is like shotgunning a beer; it’ll briefly wake you up, but it’s only one beer. Not enough for a buzz, but just enough to put you right to sleep – and you’ll take more frequent bathroom breaks to pass the time/beer.

-Sitting at a computer all day and having breaks to cruise your favorite websites is like a never-ending Red Bull. The breaks revitalize the mind, break up the monotony, and help engage separate parts of the brain.

According to the researchers, "short and unobtrusive breaks, such as a quick surf of the Internet, enables the mind to rest itself, leading to a higher total net concentration for a days' work, and as a result, increased productivity." More importantly, "firms spend millions on software to block their employees from watching videos, using social networking sites or shopping online under the pretence that it costs millions in lost productivity." Someone should let them know their logic is flawed.

--Now let me clear my throat--

Josh Groth

If Big Business Ran Web 3.0

2009-04-01T23:20:00.000-07:00

The mantra of Gen-Y, is that social media and web 2.0 are synonymous with efficiency. Anytime an article comes out blaming Gen-Y of wasting time at work on Twitter or Facebook, another article pops up from a Millennial praising the efficiencies of using social media to communicate.

I whole heartedly agree that web 2.0 has provided numerous ways for us streamline our lives – to an extent. Don’t hate me. It wasn’t until recently, as more and more people recommended that I join more and more social media sites, and I began working more and more hours at work, that I realized I straight up don’t have time to balance all of it. Where’s all that damned efficiency that everyone’s been raving about? With a handful of social media websites, I can be efficient. With hoards of them, each offering me unique ways to simplify my life, I find myself bogged down. I’m being bludgeoned with promises of efficiency.

This reminds me of a Robin Williams quote from his infamous Live On Broadway performance where he talks about a similar problems with pharmaceutical drugs. There a drug for this and that, but why can’t there just be one wonder drug?

Robin Williams: I want a drug that encompasses it all. We'll call it "Fukitol." (pronounced "f***-it-all"). I don't feel anything. I don't care for anything. Fukitol. The closest thing you'll ever be to being in a coma: Fukitol. I'm sitting here in my own dung. Fukitol.

Hilarious – yes, but it also got me to wondering what would happen if big business drove the future of web 3.0 instead of basement startups. If efficiency was the tune of web 2.0, then big business would beat it to death with all of their corporate logic.

I’d be able to blog, micro blog, and microscopic blog (not here yet, but I’m thinking 10 character limits are what we’ll unfortunately progress to seeing as how our time is stretched so many ways.). I could skype, connect with coworkers, and upload all my pictures at once, but I’d be bombarded with even more ads in the side bar since they still wouldn’t have found a creative way to monetize the millions of users they have suckling at the teat of social media. While we could speculate at what all would be encompassed, I think, in the name of efficiency and in true corporate fashion, I could outsource my social media obligations to someone overseas. For a fee, I could give someone a rundown of my recent happenings, and have them post on my friends walls, tweet for me, take pictures for me and post them to Flickr, and manage my social network for me. Aahhhhh, sweet sweet delegation, it’d make networking so much less work!

What are your thoughts/concerns with the ever growing number of social media sites that you’re being encouraged to join? Are you finding yourself strapped for time as well? Would you want someone in a third world country to delegate your social networking obligations to? Haha just kidding, but seriously…

--Now let me clear my throat—
Josh Groth

All Hail the Return of the FroYo

2009-03-30T19:53:00.000-07:00

On a recent Friday night in Portland, I stumbled into a little frozen yogurt shop on West Burnside. I had heard the hype about Skinnidip, but I really never understood the appeal of frozen yogurt. Boy, was I wrong. Skinnidip is more than I could have dreamed of as a consumer, a marketer, and an entrepreneur. A small store space filled with plastic chairs, minimal staff, unique "natural" frozen yogurt, small amounts of fresh fruit, and tons of Gen Y at 9:30 p.m. on a Friday night.

As I perused Fast Company's website today, I stumbled across an article on another frozen yogurt shop, Pinkberry. The frozen yogurt chain's success from a tiny shop in West Hollywood to 70 locations in two states is a testament to great product but also great branding.

Truthfully, brand building and brand identification are tricky things. However, a great product and effective brand makes for a happy (and repeat) Gen Y customer. A few key things Pinkberry did to expand to 70 locations in under two years include:

Building the brand off something other than the product itself: Most marketers develop a product and/or brand image they want to project and then drill down to store design, product mix, etc. However, Pinkberry did it differently; they based it off the design of the store. Although not totally applicable to all products or companies, allowing a product to be branded off something other than the product broadens the marketing techniques and opportunities for a company. By basing a yogurt shop's brand off something other than yogurt, Pinkberry created new venues, mediums, and channels it could use to market itself.
Integrating brand attributes into every portion of the brand: From the store design to the sign that says "Swirling Daily from 11 A.M. - 11 P.M.", Pinkberry creates an entire experience based off the concept of swirly deliciousness. Any visiting consumer is enveloped (or enswirled?) in the brand experience. For the time a customer is in the store, they think only of the person they're with and swirly tart goodness.
Integrating social media: To be honest, I'm surprised this worked; I never knew yogurt could have such a following. In an attempt to elevate Pinkberry to a cult/rock star status, the company started "Pinkberry Groupies". In two years, they now have 20,000 members who play with their frozen yogurt and design conical yogurt entities...and then consume them. They also send out promotions, events, and store opening notifications. This is one of the few branding/marketing ventures that successfully created a community around a central product/service/brand.

If you'd like to check out more on Pinkberry's branding, check out Ferroconcrete.com; I personally want some frozen yogurt right now.

- Mama said knock you out -

Mom...I'm In Debt

2009-03-26T20:43:00.000-07:00

Gen Y; I hope you're ready for some pain. No, not physical...unless you count bed sores from sleeping in and spending too much time on the couch watching House reruns because you're unemployed. I'm talking about the financial pain we'll feel it for the rest of our lives; yup...we're going there.

The reason for my angst is a recent Wall Street Journal article stating student loan defaults increased to 6.9% from 5.2% over the past year. Hooray, recession!

Sadly, this default rate comes from a perfect storm of a worsening recession, increased tuition to attend college, less saving by our parents to help us with paying for college, and a general willingness to go along with the crowd and drown ourselves in an average of $20K of debt by the time we graduate.

The sad thing is this; all our life, we were told to take on debt to fuel our collegiate dreams. "Oh, you're going to study anthropology at a prestigious and very private liberal arts school? AND you want to double major in art? That'll cost you $30K a year in loans! Don't worry; five years is an average. That means at least half of the people out there finish after five years!" No one ever told us that maybe we should do a cost-benefit analysis. No one ever asked us the question of, "Do you really think that's smart? What's your exit strategy? How will you pay that back?" Nope...we, the happy Gen Y, followed our dreams to minimum wage jobs and debt loads we won't pay off for the next thirty years. Even without a recession. Yay.

The hard part is this; should we have known to ask those questions? I don't feel like our parents did. Who was supposed to teach us about financial literacy? The value of compounding interest? Or even the general wisdom of savings?

Usually, Josh and I post about creative solutions or things that companies or people can do to improve their position (financially or otherwise) with Gen Y. In this case, I don't see much of a solution for Gen Y. As the first generation to not exceed the standard of living of its parents, there are few options for us. I could give the standard "cut up your credit cards, eat Top Ramen, sell your belongings, date cheap women, budget, and only drink PBR" type lines...but they seem inadequate given the number of people in my generation that will stay in debt for the rest of their lives as they struggle to overcome student loan debt, care for their aging parents with no savings, get married, have kids, and generally try to survive their lives.

Well, now that I've vented, I'm going to find that bottle of Three Buck Chuck I've been saving.

Mama said knock you out

NASA Take Two: Stephen Colbert

2009-03-24T20:41:00.000-07:00

Oh, NASA...the chips just aren't falling your way with Gen Y. I first blogged about your attempt at social media; I predict fail. Next, you somehow decide it'd be a great idea to let people vote online for the name of the new space module and put out lame names like "Serenity." Worse yet, 40,000 people vote for it! If you wanted to impress us, you could have at least tried Moonraker or Centrifugal Force. At least those sound cool. Since when was space supposed to be boring? Battlestar Galactica is in space and it has clones. And sex. Both not boring.

Thank goodness Stephen Colbert caught wind of this vote and told his adoring fans to write him in. Better yet, I'm glad he received 230,000 votes and beat out Serenity by ohhhh...8x the votes. Although NASA doesn't seem like they'll name the module after him, I'm pleased they may offer to name the toilet after him.

Now I know that Stephen Colbert usually causes a ruckus by convincing his fans to vote him as a write-in for president and/or naming space modules after him. However, did anyone at NASA think about the opportunity to use this free press from Stephen Colbert to appeal to Gen Y and get people interested once again in space?

Like Burger King and its cross-promotional misfire, NASA stands poised to look the other way and not capitalize on a great opportunity for free press and shoutouts from one of the most influential men on television.

Here are my ideas for NASA to capitalize on the Colbert:

Name the toilet after him: This is probably the least classy thing NASA could do, but at least it'd be free press. I could see an epic name like "The Seat of Truthiness" or "Russian Purgatory" or even "Communism Anger Demonstration Room" as relevant and somewhat in line with names like Serenity.
Put a copy of his book in the space toilet room for pleasure reading: This is literally some velcro and a nail in the space toilet, and you'd have instant press. Besides, what do space astronauts read in space when they need to relax while doing their business? And where do they go to relax? I mean...they can't go for a walk.
Send Stephen Colbert to space: Seriously...that easy. You'd have more viewership than your last four space launches combined.

Forbes: Yes, CEOs Should Facebook And Twitter

2009-03-23T23:16:00.000-07:00

Last week, Forbes ran an excellent article about social media reaching a tipping point. With Obama utilizing YouTube and Twitter to bolster his campaign, to BlendTec’s Will It Blend videos quintupling their sales, Forbes states that “chief executive officers are finally looking more and more at how social networking tools can extend their brands, create corporate cultures based on listening and learning, and establish their own leadership profiles.”

It’s about damn time.

However, most CEOs in corporate America are just doing what they do best...mitigating risk. It’s their corporate mantra - that and synergy, but don’t get me started on that. They’ve simply been following the product life cycle.

Web 2.0 was the scary unknown, huffing and puffing at the doors of the corporate America in the Introduction Stage. While scores of companies made off like bankers with bailout money, rejoicing in their Early-Mover risk-taking glory, boss man brushed it off. TOO MUCH RISK.

In the Growth Stage, Web 2.0 progressed from a pesky (freakishly rich) upstart who laughed in the face of risk, to a now even peskier, richer, and more threatening unknown. Think: Jonas Brothers. Nobody understands them; they have horrible music, and they came out of nowhere. Now their fan base is the size of a small country, they probably have the money to bailout AIG, and the music still sucks. We’re perplexed, stupefied, curious, and a little bashful - much like the first time you hooked up with that special someone in middle school while standing next to the lockers waiting for the buses to come, only to have your Spanish teacher catch you and yell at you all the way down the hall...nope, just me? Dang. But still, confusing middle school PDAs are too risky for corporate America...(I feel like I may have digressed)

Alas, the heavenly Maturity Stage. All is safe, their is zero risk (unless you’re an idiot who doesn’t even know how to spell: b-u-s-i-n-e-s-s p-l-a-n). Demand is proven. Supply is increasing, but they’re still sure they can carve out their piece. So, they do what everyone else has been telling them to do: they throw a bunch of money at it, and embrace the Jonas Brother...errr....Web 2.0...with their clumsy corporate America hands and expect it to poop gold for them. (see Phil’s posts about the Republican Party and Twitter and NASA and Twitter).

The painful thing, is that most believe it to be simply a fad, so they’ll hop on the party bus, have a good time, and wait for the Maturity Stage of the next wonder product’s life cycle.

However, Forbes slams “big brands” like John Stewart’s left hook to Jim Cramer: “They fail to grasp that the new media require new ways of doing business. Old ways need to be tossed out.”

Web 2.0 is changing the way we do business; failure to act is acting like a failure.

-- Now let me clear my throat --

Josh Groth

Twitterati: Like Glitterati...but Nerdier

2009-03-20T20:48:00.000-07:00

If any of you know what Glitterati means...spend less time on perezhilton.com. If you're like me and maybe heard the phrase but have no idea what it means, make your way over to urbandictionary.com. It has definitions to many useful phrases (including all the rap words/phrases you sing but don't understand they really are gratuitous sexual references), and will help you navigate the pitfalls of cultural colloquialisms in conversations with your hip friends.

As defined by urbandictionary, Glitterati is a noun that means "Social elites. Famed, fashionable, and learned. The beautiful people." Sadly, urbandictionary currently defines Twitterati as snotty members of society. However, as it is with the English language, I think words should have more than one definition.

I believe Twitterati should refer to the growing group of people who use Twitter and/or social media to put on an aura of relevance but fail miserably. Sadly, just because you can buy Louis Vuitton luggage or have the exact same pair of Slim Taper American Apparel skinny jeans as Lindsay Lohan, that doesn't entitle you to hang with Kanye or hang out with Sam. However, it does mean you probably spent too much money on your carry-on and should really buy some baggier jeans.

The ultimate reality is this; just because you sit there and say, "Ooooh! I have Twitter! I'm sooo relevant and trendy," that does not necessarily make you relevant and trendy. For some who get into the Twitter game, it's analogous to glittering up Miss Piggy, calling her a supermodel, and throwing her on the catwalk. Everybody sees that she doesn't belong...except her (and the people who had the grand idea to put her there in the first place). Companies and organizations legitimately delude themselves every day that Twitter is the answer and fail to look at if they actually are relevant, know their consumer, and offer great products and services to its end user. The good news is, failing at Twitter is cheap; the bad news is they're deluding themselves that Twitter is their answer.

The latest person to delude themselves by thinking that Twitter will cure their problems, help them win loyal customers, and generally improve their livelihood? You guessed it; the GOP! The Republicans are working with Patrick Ruffini to evolve their game. You can check out the article here.

Ideologically struggling, this group launched www.rebuildtheparty.com. Rebuildtheparty.com has a mission statement; the first key element in their plan is, "Win the battle of technology with the Democrats." This is just so sad. A party that arguably struggles with ideology, lacks meaningful leadership and any response to President Obama's charm, fails to connect with most people in Gen Y, and a host of other issues has chosen it's number one issue as winning the battle of technology against its rival. Don't you think that winning the battle of technology might be a good idea to focus on after you figure out what you want your message to be??

I must confess; I'm not a Republican. Then again, I'm not a Democrat. I just am pointing out an obvious truth; even if you put a gold ring in a pig's snout...it's still a pig. No matter how good your medium is, it fails without a powerful and relevant message to your end consumer. The GOP seems to lack any message at this point of its long and stories history, and I fear it will be another proud member of the Twitterati in a short time.

The Paradox of Managing Gen-Y

2009-03-18T22:17:00.000-07:00

Corporate America is a lot like a relationship – everybody is sending mixed signals. However, in this simile, I am the lowly Millennial courting corporate America, telling her she completes me, and that together we’ll both be better off, but she can’t make up her mind if she likes me or not…typical.

Over the past few months I’ve read a number of articles on how to manage Gen-Y. While a good majority did cast Millennials as a “problem” and provided a means for fixing that “problem,” I was able to find some gems, one of which was a review of the new Harvard Business Review Case Study: "How I learned to love Millennials (and stop worrying about what they were doing with their iPhones)."

The Harvard Case Study revolved this 23 year-old staff writer named Josh (excellent name), who is given a basic assignment. He instead gives an elevator pitch to his boss on his ideas around on how to use new media to promote the product. What I found most interesting about the case study was actually the “expert” responses provided, and how even though Josh had legitimate ideas around improving the effectiveness of a campaign, he was out of line. Please see naïve “expert responses below:

Ron Alsop, author of The Trophy Kids Grow Up: How the Millennial Generation Is Shaking Up the Workplace: "Like many Gen-Yers, Josh doesn't respect the corporate pecking order. His generation has little tolerance for lines of authority and proper protocol."

Jim Miller, executive vice president of sales and marketing at General Tool & Supply: "Josh's behavior is wrong on so many levels. He's been hired to do a job, not this other thing that he'd like to do. He has no respect for his boss; that's apparent in his actions."

These responses, along with countless other “expert” opinions from other related articles, all seem to revolve around “roping Gen-Y in,” and keeping them on task, rather than letting them think for themselves. They cast Millennials in a light as believing that since they are more tech-literate, they believe themselves to always be right.

What I fail to understand, is that if we, as Millennials, are encouraged in the workplace to “think outside the box,” be proactive, and most importantly, help make the company as profitable as possible, why then is it a pecking-order faux pas to actually…dare I say…think outside the box? We’re damned if we do, damned if we don’t.

Yes, it is incorrigible for anyone, regardless of generation, to always think that their ideas are always better, however it is important to note, that sometimes, people do in fact have better ideas or new insights to provide.

So at what point does our opinion matter to our superiors? If my idea could save the company $5 then probably not, but what about $5M? While that may be an easy answer when the numbers are extreme, it starts getting grey when the numbers move closer together – if my idea were to save the company $500, $5000, $50,000… At what point does my idea make an indecipherable transition from being an irresponsible use of my paid time and an insult to the “corporate pecking order,” to an idea worthy of a promotion?

The point that I am driving at, is that you cannot put a dollar figure on it, there is no magical formula a Millennial can punch in to see if his/her idea is worth pursuing or not. As a company, you either choose to embrace change, encourage forward thinking, and LISTEN to new ideas, or you don’t. It’s that simple. You cannot straddle both sides of the fence and expect to be successful, because you cannot simultaneously preach a practice of creative thinking and a practice of submission to best practices. So please corporate America, stop sending the mixed signals, I get enough of that already.

-Josh Groth

NASA: We Have Twitter Liftoff!

2009-03-17T22:04:00.000-07:00

Liftoff! Just this week, NASA made headlines by announcing they would use social media websites, notably Twitter, to "lure" Gen Y into increased interest in what NASA does and/or to convince us we should work there. According to the article, it sounds like they're trying to recreate the awe and amazement of the televised moon landing of the 60's.

Sadly, I fear NASA is embarking on a great mission to nowhere. Admittedly, failure is part of the process of success. However, I think there are some serious obstacles NASA must overcome to actually engage Gen Y in any serious interest in space exploration or career opportunities. Luckily, this mission to nowhere is much less expensive than the billion dollar satellites that fall out of orbit or the Mars Lander that gets stuck on a rock. Way to go, NASA driver. Thank goodness Twitter doesn't have a subscription fee...

Currently, only 4% of NASA's workers are under the age of 30. This alone spells huge problems; with an older group of workers who became interested in space exploration in the 60's, it doesn't take Marvin the Martian to realize the culture of NASA resembles that of the the 60's compared to the 22nd century. Gen Y has never been attracted to this type of organization; I envision men in skinny ties and short sleeve shirts (before they were cool).

Sadly, a true Gen Y company isn't one that embraces Twitter, allows flex time, and throws open bar parties (although that all helps). A true Gen Y company is Gen Y at its roots; you don't see companies like Nike, UnderArmour, Anthropologie, Deutsch, or Google using Twitter to appeal to Gen Y. These companies, and many others, appeal to Gen Y because Gen Y identifies with and finds appeal in the companies themselves. Just because you use Twitter does not mean you will become an instant Gen Y marketing sensation.

So what is NASA to do? Keep Twitter; it's the cheapest thing they do, and I'm sure the budget cuts are hurting the space program. A few other things NASA should consider if they want to appeal to Gen Y include:

Do something that actually interests Gen Y: I personally have no idea about anything that space exploration has done for me in the last 20 years. Sadly, the pace and evolution of science fiction has outpaced NASA's exploration of space. In a generation filled with ADD (and almost as much Ritalin), NASA needs to find a project or team to inspire this generation and give us a tangible benefit. That would keep us interested. My opinion? Laser guns, sharks with laser beams, or sending Lance Bass into space again. I swear that's the only notable piece of space exploration I've heard of in the last five years.
Hire younger staff at managerial levels: NASA should identify key areas to create "Gen Y bubbles" inside its organization. My pick? Marketing. Start with marketing, let them develop a Gen Y relevant marketing campaign, and allow them to drive certain areas of the organization. As you see staff retire, hire in younger managers to bring in top Gen Y talent.
Send us into space: Seriously. You'd make headlines to send a Gen Y group into space. Kind of like the whole Challenger "teacher into space" contest, but more Gen Y relevant. You could let them blog, vlog, and Twitter. Heck, you could even do the first Twittertakeoff; I sense victory at epic proportions for NASA's marketing and Gen Y recruitment.

Burger King Attempts the Possimpible - The BK Lounge

2009-03-12T23:47:00.000-07:00

First and foremost, if you recognized “the possimpible” as a quote by Neil Patrick Harris from the show How I Met Your Mother, you get +5 Awesome Millennial points, and a virtual high-five from me. If not, go watch the show, and read the below definition:

Possimpible. adj. Capable of happening yet not capable of happening.The magical place where the possible and impossible meet. Utopia. The Victoria Secret Fashion Show. (Ok, the last one isn’t a dictionary definition...you got me).

Or consider the following definition:

Possimpible. mktg. Burger King launches a “lounge.” Burger King FINALLY recognizes the easiest cross-promotional marketing venture in the history of cross-promotions...or marketing...or ventures.

But sadly, this painfully easy, cross-promotional venture that has been blessed by the Gods, Millennials, and Obama (don’t quote me on the last one) has been screwed up more than Chris Brown’s reputation.

“What’s the big deal?” you ask...Burger King decided to name their new “lounge” the Whopper Bar, in an attempt to become more contemporary. FAIL. Had they named it The BK Lounge, guaranteed success - or at least a one hit wonder.

For those of you not familiar with the term, The BK Lounge, it’s a phrase that 90% of Millennials can quote. When they hear it, they make an unconscious association with Burger King with comedian phenom Dane Cook. In one of his legendary standup routines, The Dane calls Burger King “The BK Lounge,” the rest is legend. Many people I know don’t even call Burger King by it’s real name, they just call it The BK Lounge.

If Burger King really wanted to appeal to Gen-Y and become more contemporary, all they had to do was call it The BK Lounge, it’s that simple (and serve beer, the fact that they have a “bar” and no beer is disconcerting...I digress). Name it something 90% of your target market not only can recognize and recall, but name it something that they unconsciously associate with a good time.

I think the most painful part of this, is that this is coming from a company that lays claim to two of the biggest viral marketing campaigns ever - the Subservient Chicken (which had a petty 450 million views) and The King, which not only helped re-brand the company, but also generate word of mouth marketing and 100K+ MySpace friends. I may not eat their food, but I have the utmost respect for the way they market.

How could they have dropped the ball on this? Epic Fail Burger King. Epic Fail.

*walks off sadly into sunset*

-Josh Groth

Gen-Y: It Just...Sucks? Really?

2009-03-11T21:27:00.000-07:00

To keep pulse on Gen Y, Josh and I frequently peruse Google News and sign up for Google alerts for anything related to Echo Boomers, Gen Y, and Millennials. As I looked for some relevant blog topics this evening, I stumbled across an op-ed on statehornet.com titled, "Gen Y: It Just Sucks".

The surprising thing about the article is the author, Jordan Quinn, ultimately states that Gen Y is a bunch of whiners and losers who are refusing to realize the amazing opportunities they have. He goes on to call Gen Y females "sperm banks" and seems to have a serious problem with Ecko-wearing, flat-billed hat sporting gentlemen who didn't hear their professor. Although he acknowledges that Gen Y does have an elite group of diligent students, they are far outnumbered by lazy sperm banks that like people with Ecko shirts and have problems paying attention to their professors.

When I hear such negative talk about Gen Y and how we're all lazy, self-absorbed, or generally useless in society and in the workplace, I'm reminded of the Pareto rule I learned in college. The rule generally states that 80% of your problems/productivity/anything comes from 20% of your processes/people/anything.

With that in mind, I think it's worth going out on a limb and saying that yeah...Gen Y is generally lazy, self-absorbed, and useless. However, that's the way most of society has worked for most of modern history. Heck, what made "The Greatest Generation" the greatest generation was that they probably actually all were affected (and effected) one of the greatest causes and wars in history. It's not just Gen Y who's caught up in the rat race and doesn't have a clue about global issues and squanders the opportunities they have to help their neighbor, fight global hunger, eradicate preventible disease in the third world, or generally benefit society.

The truth is that it is the power of very few that make the biggest differences in society. Mother Teresa, Gandhi, Martin Luther King Jr., and many others were one person in their generation, race, and/or culture that profoundly affected an entire planet. It is no different with Gen Y; for the 100 Gen Y that do nothing or will squander their opportunities, you will see a talented and very driven few in Gen Y taking advantage of every opportunity and galvanizing the world (and their generation) to action. Over the next few years, we will see the elite Gen Y rise up and make a difference in their world.

Take heart, Jordan Quinn; Gen Y is generally lazy, self-absorbed, and useless. Then again, it's debatable that most of this world would fall into that category as well. Let's try to look at the glass half-full.

Facebook - The Most Useless Ads Ever

2009-03-09T19:49:00.000-07:00

Welcome to the face of Facebook advertising. Attractive, huh?

(I'm not going to lie; I am copying Josh's format)

By now, most of you have probably seen the ads on your Facebook profile. It's the worst thing to happen since Facebook introduced the mini-feed so your friend could see how many women you made plans with over the weekend (oooh...was that out loud?) - but that was almost a year ago. Like the other social media sites before (and with) it, Facebook has managed to underwhelm its users with lackluster advertising and an underwhelming capitalization of the unique opportunity that is social media marketing.

Before I go further, I must confess; Facebook occasionally provides its users with decent marketing. I notice some ads will focus on my interests stated in my profile, including cycling, running, triathlons, and real estate. This is the extent of Facebook's marketing success over its existence.

However, Facebook's most recent ads leave its users (or at least me) feeling dirty and at high risk of identity theft if we click through them. The two images I posted are actual images of the ads I find on Facebook. They include the generic:

"How many eyes in this image?"
"How many deltoids in the picture above? 96.7% of Americans get this question wrong"
"Make $75/hour working part-time and being lazy" (smells scammy)
"Meet Christian singles" with pictures of busty Catholic school girls looking for a party

Aside from my last example, these ads tend to put nightmare-inducing images on your profile (and this totally detracts from my awesomely attractive friends). Since when did marketing involve putting incredibly unattractive images on ad space and expecting/hoping for click-throughs? Did I miss something in Psych 101? I knew I shouldn't have skipped that day...

Due to not controlling the quality of ads on Facebook, Facebook diminishes its overall reputation in the American marketplace and its users perception of the quality of Facebook advertisements. Also, poor ad revenues will kill any business valuation...

The solution for Facebook is simple:

Increase the cost of advertisement: Boom! Facebook's valuation just went up. Creeper advertisers; go run ads your scammy ads elsewhere. My profile is a scam-free zone and I don't care how many deltoids that guy has. Perception is everything, and cost increases will increase the perceived benefit.
Make them bigger: Facebook is a website that needs to generate revenue; increasing ad size will allow companies to develop more original and creative marketing. It's hard to convince someone of anything with the postage-stamp marketing used today.
Recruit better companies to advertise: Scam-O-Rama still isn't appealing even if they can set me up with busty Judeo-Christian women who attend private Catholic high schools and like to party. Even the ShamWow guy would be a step in the right direction.
Increase corporate-developed applications: The best (and only) Facebook application I ever used was Red Bull Roshambull. It had nothing to do with Red Bull but everything with my 9-2 record of crushing my friends at rock paper scissors. When Red Bull opened up its Roshamblog for tag lines, over 1,100 people submitted ideas to reflect your recent performance in the world of ro, sham, and bull. Check out the Roshamblog for yourself. I still laugh.

Mark Zuckerberg; do yourself and Facebook's market evaluation a favor and improve your online advertising. Please?

Mama said knock you out.

Skittles – The Laziest Marketing Campaign Ever

2009-03-08T22:26:00.000-07:00

By now, many of you have probably read about Skittles’ new website. It’s the best thing to happen to Skittles since Skittles Vodka tutorials flooded the net – but that was two weeks ago. It’s being hailed as “an amazing social media campaign” by econsultancy.com. Where other brand- built social media websites have failed, Skittles has succeeded. Why? Because they’re lazy.

I imagine the brainstorming session went a lot like the way the late comedian Mitch Hedberg described the way the meeting went for the naming of the Doubletree Hotels:

"Let's call this hotel …Something...Tree." So they had a meeting; it was quite short.
"How 'bout Tree?”
“No, Double Tree."
"Hell yeah! Meeting adjourned!"
“I had my heart set on Quadruple Tree. We were almost there!”

The Skittles brainstorm around their website must have been similar:

“What do Millennials like?”
“Twitter, Facebook, and Wikipedia…”
“Well let’s just copy and paste those onto our website?”
“Hell yeah! Meeting adjourned.”

Alright, it might not have been that simple, but the layout sure it. It may be the laziest, most simplistic media campaign in recent history, but that’s the genius of it. Although, they left out the how-to on the vodka, unforgiveable. I’d describe it, but that’d take longer than it would for you to just follow the link at the bottom and see for yourself.

The reason the campaign is effective, is because it does not require the consumer to join a new brand-built social media network. Who on earth would want to do that? It lets the consumer utilize the social media networks they are already members of.

It’s also successful because it’s bold and new – hence the buzz it generated – but you could have figured out on your own. However, this only helps in the short run. But what I’m asking you is, will the campaign increase average website hits or more importantly, sales in the long term? I can’t imagine who on earth needs or wants to visit Skittles' website, but they’ve got a slick new campaign, so people will visit right now, much like you’re going to visit the site after reading this out of curiosity (but that’s after reading a few more of our posts…). But will anyone utilize this even a month from now – especially since the Skittles Vodka tutorials are not on the website?

-Josh Groth

My Water Cooler Owns Your Water Cooler

2009-03-04T22:03:00.000-08:00

Photo Courtesy of Mordant Orange

Being a consultant, I get the “privilege” of experiencing many different office cultures. Some offices are fun and laid back, others are so uptight I feel like I need to rub my ears and mutter “Woo-Sawhhh...Woo-Sawhhh” just to maintain my sanity (+5 pts if you recognized the Bad Boys II reference).

The one commonality I unfortunately bear witness to from office to office, is the painfully awkward water cooler conversation. It’s forced. It’s unnatural. it’s an obligation. It’s typically the only authorized escape from the mundane dredges of “cube” life - besides a trip to Starbucks.

On one particular project, my cube was right next to the cooler. After the thoughts of banging my head repeatedly against my desk as I was subjected to being a unknown third wheel to all cooler convos, I learned that there are 5 generally accepted cooler topics (GACT...my accounting prof would be proud): weather, past weekend events, upcoming weekend events, healthy snacks, and the game.

At which point I wonder, is this really socializing? There are GACTs and there are GSCRs (generally accepted cooler responses). They’re predominately predetermined conversations that are more of a social obligation than actually socializing. Is it socialization when you already know the answer you’ll receive?

However, my water cooler is bigger...better...has 1000 people around it.

The Millennial’s water cooler is Facebook, with a splash of Twitter, and a twist of GChat. I can use that same 5mins you spent at your cooler to have meaningful conversations over GChat in my Gmail, or post a comment/question/reply to a friend’s wall, or even give a quick update to my friends as to what I’m up to.

I would even argue that my cooler is better for business. The time I spend on social media is time spent growing my network outside of the office. The more people I have strong connections with, the more 2nd degree contacts the company I work for has.

So, if both coolers eat 5 minutes of break time, and both are forms of socialization, why do companies allow cooler talk and block employees from accessing social media sites? Let’s face it, Gen-Y and Gen-X communicate differently. Why should one generation be allowed to converse one way, and a different generation be denied the ability to converse another way?

-Josh Groth

Screw Stocks! Uncle Sam Wants YOU to Buy Skinny Jeans

2009-03-04T20:37:00.001-08:00

Fellow Gen-Yers:

I hope you realize the absolute power you hold to bring this great country from the depths of the recession we find ourselves in today. Heck, if FDR actually had a generation of credit-card carrying, skinny-jean wearing, Starbucks sipping teenagers running around in the 1930s, I'm sure there would be far fewer conspiracy theorists telling me World War II, not the New Deal, brought us out of the Great Depression.

Truth be told, I think President Obama's stimulus bill is all wrong. Instead of giving individuals tax breaks and doubling that amount for married couples, I think he should give everybody in Gen Y double the amount given to other generations since saving is irrelevant and neon deep-cut v-necks are sooooo the in thing for spring fashion.

This latest brainstrom comes from reading NBC Los Angeles' article Recession Proof: 10 Stores We Can't Live Without. Although the list included the un-Californian (and un-Gen Y) Wal-Mart and BJs, five stores that target Gen Y made the list. The Gen Y stores I noticed include:

Urban Outfitters
American Apparel
Game Stop
Aeropostale
Buckle

As some background, while the world shuddered in fear and most retailers posted a -6% sales decline in same-store sales over Christmas, American Apparel and Aeropostale posted 6-10% increases. Stand tall, Gen Y! Just don't do anything involving moving your legs; your skinny jeans may split.

Although the so-called "experts" attribute the stores' successes to their ability to develop "lifestyle brands", I really think they mean to say they successfully created "Gen Y brands." Each of the stores I highlight from the list are truly for a Gen Y consumer. I have yet to see my father order the Slim Taper skinny jeans I saw at American Apparel or his "Optimus Prime Says Stay in School" t-shirt I noticed at Urban Outfitters. If he does, I'm moving out of the house. For real this time.

Truly, it is the power of Gen Y that has made these companies so successful during the economic downturn. Our amazing buying power in the face of global calamity, poverty, war, hunger, famine, and economic collapse will keep these brands strong. Our continued affection from credit card companies means we won't be running out of free cash (with interest) anytime soon. Oh, and don't forget we generally don't have mortgages, kids, 401(k) accounts worth 50% of what they were with retirement staring us in the eyeballs, or other nasty fixed expenses to worry about each month.

All in all, the stores listed above will continue to be successful because Gen Y will continue to spend money there. We don't have to worry about retirement...why would we?

Go forth and spend, Gen Y. Screw buying one pair of neon pink, ambi-gender, slim taper skinny jeans; buy two. Uncle Sam needs you.

Gen-Y Marketing: Do Something Foolish

2009-02-26T19:39:00.000-08:00

That's it; no citations tonight. No more caring about who sues me. Blogs were made for people to rant, and gee golly whiz, I want to rant.

Since Josh and I started this blog, we really have become amazed at the generic application of "marketing" can magically become "Gen Y marketing." Statements that the Hyundai Assurance program is a Gen Y marketing campaign is about the same as me saying I have a girlfriend; sure, I take her out and we spend hours alone, but I'm really just talking about my bicycle I ride 200+ miles per month.

Marketers want to get all slick and try to sell us...well, novelty. Usually, they fail. They try to sugarcoat their marketing or take generic marketing and say it's now "Gen Y" because it might indirectly apply to our demographic.

Even if trends do change in Gen Y, marketing your product or creating brand recognition for a product is simple; do something obscene, funny, or make something blow up.

Need proof? Say no more:

Obscene: Andy Samberg dropped his latest hit "Jizz in My Pants" on SNL two months ago. The following Monday, I had two different people come up and mention that skit, and the lyrics circulated among my Gen Y coworkers. I had a friend come home from LA and one of her first questions to me; "Have you seen Jizz in My Pants?" I was the 28,516,564th person to watch that video last night on Youtube (and the 28,516,655th...if you count replaying it at least once more). You can't buy that kind of exposure. More importantly, anybody over the age of 26 hates that kind of exposure. This is perfectly Gen Y.
Funny: Careerbuilder.com had a great ad over the Super Bowl about changing jobs. The funniest part? The fact that the obviously fake koala wearing glasses with a British accent gets punched in the face. Twice. Humor is a very base thing for us. Yeah...we're real complicated.
Make something blow up: Nothing more here. If you need proof a generation raised on Halo, Transporter 2, Goldeneye, and action movies full of kung-fu free violence, just read the news. Or realize that the hype generated by the movie "Wanted" and the fact they made bullets bend around people's head just demonstrates how willing we are to fall for absolute gimmicks that have no basis whatsoever in reality. Especially if it involves Angelina Jolie. Rawr.

At the end of the day, it's really not about how slick you can make your ad, the dollars in your media budget, or what you promise us, or. If you want buzz and/or you want hype, just do one of the three things mentioned above decently and you'll probably get yourself a nice little following.

5 Car Ad Campaigns That Successfully Target Gen-Y

2009-02-25T22:03:00.000-08:00

I’m beginning to wonder just how much people understand Gen-Y.

Exhibit A: John Austin wrote an article this week titled: Automakers pursue the elusive Gen Y customer

I was more than excited to read his take on how the auto industry plans on pursuing Gen-Y as marketing shifts into new channels, but found the actual content as disappointing as Chris Brown’s credibility.

There were the token stereotypes of Gen-Y, which were provided by University of Notre Dame prof Carol Phillips: "They're cynical. They believe all advertisers lie." More interesting were the three examples of new marketing campaigns that target Gen-Y...let’s just say that if Gen-Y was an apple on my head, and each example were an arrow, I’d be bleeding out right now - although the new piercings might look cool in some parts of town.

Example 1: BMW’s The Hire campaign (...arrow pierced my clavicle)
Example 2: Hyundai’s Assurance Campaign (...arrow through my big toe)
Example 3: Mercedes’ Social Network (...I give up, and throw the apple at you instead)

My interpretation of the “New Marketing Strategies”

Example 1: The Hire launched online in 2001. Deloitte pegs Gen-Y at those born between ’82 and ’95; Howe & Strauss pegs Gen-Y at ’82 - ’01. Either way this example is 8 years old, and at the point of The Hire’s launch, the oldest Millennials were just beginning college and most likely not in the market for a Beemer.

Example 2: Hyundai’s Assurance campaign is targeted at fearful consumers who are skeptical at purchasing a new car in the middle of a recession. Yes, Millennials are fearful too, but this campaign is broadly target at anyone wanting an inexpensive car with an awesome return policy. This is NOT Gen-Y specific.

Example 3: The oldest Millennials are 27. Few are probably in a financial position to even think about dropping $50K on a car. Most, still have college debt they’re paying off. Making a social network that only allows people under a certain age when most of the demographic cannot afford your product is not the best use of resources. However, it is at least an effort to utilize a new marketing channel.

Here are five GOOD examples of car campaigns that target Millennials:

Good Ex 1: Volkswagen “Unpimp Your Ride” by ad legends Crispin Porter + Bogusky. Successfully launched the GTI’s new body type, while featuring a hot blonde, a goofy German engineer, and tricked-out cars being launched by catapults. 20M+ youtube views before the ads were pulled, and catapulted not just cars, but both sales and reputation for VW.

Good Ex 2: EVERYTHING Toyota did with Scion. Fully customizable cars, easy to use website, sponsorships of huge concerts, and flashy animated tv spots. Epic win for Toyota.

Good Ex 3: The sleeper pick: Hyundai’s 2010 Genesis Coup. The entire ad spot is of a 300hp beast of a sport car drifting around a race track. Tag team that with the Assurance program and a $22K price point, and now you have a campaign that targets Gen-Y.

Good Ex 4: Crispin Porter + Bogusky strapping BMW Minis to the roofs of SUVs and driving them around NYC to launch the Mini brand.

Good Ex 5: BMW’s 65,000 square foot billboard in Russia that dangle real cars with fully functional lights that makes it look like a sideways freeway o’ BMW. It may not have been in the US, but it generated an obscene amount of buzz online.

What are some of your favorite car ads/campaigns that targeted Gen-Y?

-Josh Groth

How do We Motivate Gen Y?

2009-02-24T17:07:00.000-08:00

I stumbled across an article today on CIO's advice section by Carolyn Douglas titled Motivating Gen Y. As a Gen X startup guru and manager of Gen Y employees, Douglas' column highlighted key points from a recent panel discussion on recruiting and retaining Gen Y.

In her post, Douglas states:

"For Gen Y, studies indicate their top wish list includes:

Work/life balance
To be heard and valued
Regular recognition
Work in a fun atmosphere
Motivated by challenge and a collaborative environment"

http://advice.cio.com/carolyn_douglas/motivating_gen_y

Although Douglas' advice is valuable and has nuggets of truth, I'm always surprised at the ambiguity in the advice for managing Gen Y.

What I mean is this; show me someone who likes to work 18-hour days, to be ignored and unvalued, to receive little or no recognition, work in a boring atmosphere, or work in an unchallenging and back-stabbing environment. Can you think of anyone? Implicitly, management gurus and hiring managers seem to think that Gen Y demands these things, but Gen X or the Baby Boomer really doesn't value these attributes. Even if a hiring manager does all these things, will this really make us happy?

I don't think Gen Y management is about the five things Douglas mentions. Sure, they help, but they're as applicable to Baby Boomers, Gen X, and Gen Y. What makes Gen Y special, and how do you leverage the human capital inside this demographic?

In reality, it boils down to a few things:

Taking time to know our goals and dreams: This is probably the single most important thing to understand when hiring or managing a Gen Y employee. We were born with the belief we can do everything, and every management book out there tells us how talented, good looking, and fashionable we are. However, it doesn't matter how great a company is; if Gen Y does not find value in a position, they will most likely burn out and managers will lose valuable human capital. Take the time to know what we want to do and where we want to go. Better yet; show us how what we're doing today will get us where we want to be tomorrow.
Recognizing all Gen Y are different: Please, people; stop thinking we're all the same. I have friends who enjoy collecting state unemployment and friends who consistently work 14-hour days. Do not stereotype us that we are supposed to only want to work 35 hours a week, we want to volunteer for Green Peace on Friday, or we want (or don't want) money. Understand each Gen Y is different; know us and what we want, and we will make you successful.
Understanding the pace of Gen Y life: For the longest time, if we wanted something, we could have it instantly. From microwave dinners to broadband downloads, we get what we want in three minutes or less. However, we now work in a world with boundaries, deadlines, and scarcity. Make sure managers communicate career path timelines and the pace of corporate America's promotions, job changes, etc. before hiring a Gen Y employee.

SmartyPig Co-Founder Responds to Social Networking Article

2009-02-23T22:16:00.000-08:00

Last week I wrote an article about Australia’s largest bank, ANZ, and their strategy to encourage Gen-Y to save money rather than spend it. They teamed up with US-based SmartyPig to develop a web app for social networking sites that can track your savings from your MySpace or Facebook page.

My two arguments were:
-Most people’s “friends” on their social networking sites aren’t really friends but sometimes acquaintances, and would not want their financials broadcast to these people they barely know.
-ANZ said the “new venture is targeting Generation-Y in an attempt to teach financial responsibility and promote savings.” However they offer incentives for their customers to convert their savings and/or interest earned into gift cards; which appears entirely contradictory to ANZ’s mission.

Shortly after posting, SmartyPig’s co-founder, Michael Ferrari responded with the following:

Josh,

Thanks for the post. My name is Michael Ferrari and I'm one of the co-founders of SmartyPig. Saw your post come across my alerts. I spend a great deal of my time each and every day listening to customer feedback, thoughts and suggestions. And jump in whenever I can.

I started SmartyPig as a way to help people save money for specific goals in their life. Be it a down payment on a house or apartment, an emergency fund, a Wii, a MacBook Pro or a family vacation. And in doing so I thought it would be great to let people make these goals "public" allowing friends and family to contribute. And in making them "public" give users the opportunity to share their gals on their social networking site of choice (if they choose) like Facebook, MySpace, their personal blog or their desktop. Our widget platform is built on the Clearspring technology http://www.clearspring.com/. In doing so, it provides an opportunity to let others know what you are saving and allows friends and family the chance to contribute to your interest-bearing goals. Don't want that "sweater" for your birthday, perfect, please contribute to my "Trip to Honduras" goal instead.

Again, the social side of SmartyPig is optional. Our goal is to help change the mindset of "buy now, pay later". And in doing so, should you choose, SmartyPig has some great features to help you get the word out to friends and family be it moral support or financial support.

Some quick stats:

-66% of our customers in the U.S. are under the age of 35

-1 out of every 3 goals created on SmartyPig are public

...Thanks for the opportunity to share my thoughts. Really appreciate it.Mike Ferrari, SmartyPig co-founder @mferrari

First off I want to thank Michael Ferrari for taking the time to comment. I think that he helped to help paint a clearer picture of SmartyPig's intentions. I think it’s also important to note that the article originally quoted, neglected to mention that the widget has a privacy setting and doesn’t have to be broadcast to everyone (for those of us who don’t want to share our financials). While I personally cannot see myself sharing my financials on Facebook, I can see the value of SmartyPig’s widget if I could change my privacy setting.

However, I must still push back – but not at SmartyPig, but at ANZ. As stated in the beginning of this post, I have two gripes: privacy, and hypocrisy. Michael addressed the issue of privacy, but what still rubs me the wrong way is that ANZ is promoting and what almost seems like encouraging customers to convert their savings and interest earned to gift cards. If their goal was to “attempt to teach financial responsibility and promote savings” to Echo Boomers, then why are they trying to get us spend our savings on gift cards?

I don’t think this is just an issue with ANZ, but with banks at large. All the “perk” that go along with savings programs, credit cards, etc. encourage more spending, not saving. It’s the same irresponsible spending habits that got us into this financial crisis in the first place. If we’re to progress out of the recession and truly learn from our mistakes, we need to change our spending/saving habits moving forward. Having our “savings institutions” encourage more irresponsible spending habits is only furthering the process.

What is your take on the saving habits of Gen-Y? Will the current recession help change our notoriously bad savings habits, or do you think we'll see more of the same?

A sincere thank you again to SmartyPig’s co-founder Michael Ferrari.

-Josh Groth

The Graying (and Staying) of the American Workforce

2009-02-20T16:08:00.000-08:00

I recently posted about managing Gen Y in a recession. A week later and the Dow down 6.2%, I’m starting to think that post may be obsolete. A more relevant post this week may be something closer to Surviving Your College-Educated Child Living at Home. It’s not that I don’t believe in in Gen Y’s ability to get entry-level positions; recent college graduates will always find jobs. However, with entry level-jobs disappearing from company budgets and experienced middle-management applying for junior positions, Gen Y will face a difficult job market as they compete for fewer jobs against more experienced candidates.

Unfortunately, I fear the delayed arrival of Gen Y in the American workplace will go far beyond the end of this economic morass. In a recent Tech Ticker post, Howard Davidowitz, of Davidowitz & Associates, highlighted a few effects of the economic downturn and deathly-ill economy, including:

An $8 trillion negative wealth effect from declining home values
A $10 trillion negative wealth effect from weakened capital markets
A $14 trillion consumer debt load amid "exploding unemployment", leading to "exploding bankruptcies"

These enormous financial losses, which no doubt affects the Baby Boomer generation and their retirement accounts, will cause significant shifts in workplace demographics for years to come. With so much net worth lost, Baby Boomers will need to push off retirement and continue working in the jobs Gen Y would have otherwise employed or moved into as the Baby Boomers exited the workplace. The increased graying (and staying) of the Baby Boomers in the American workforce will cause:

An increase in college-educated Gen Y taking minimum wage jobs: Employers can capture untold amounts of human capital and drive during this economic downturn by leveraging Gen Y’s skills to improve operational performance in their roles. Any Gen Y worth their weight will recognize the opportunity for a resume-building experience and jump at opportunities for experience and application of their abilities.
An increase in Gen Y moving back in with their parents: Sorry, apartments and property managers; you may have serious struggles soon. Parents; I hope you didn’t convert Sonny’s bed into an office or sewing room. Minimum wage jobs can’t pay the rent, utilities, cable, iPhone, and student loan payment.
A decrease in employer ability to leverage staff to work longer hours: Entry-level positions are typically dominated by young professionals who are single with the energy, time, and freedom to work longer hours. With the commitments Baby Boomers face, including aging parents, financial commitments, and other responsibilities, we may see Baby Boomers in demanding positions struggle to balance commitments to their family, profession, and finances.

Would You Want Your Financial Info Broadcast On Facebook?

2009-02-20T07:58:00.000-08:00

Photo Property of

Australian mega-bank ANZ has combined finance with web 2.0. They’ve partnered with US-based SmartyPig to develop a widget that can display your savings goals and track your progress towards the goal, then display it on your MySpace or Facebook page. And they developed this why?

Before I drop my two cents in, here’s the specs:

Developed to reach Gen-Y
App displays your financial goals/progress on Facebook for your friends to see
SmartyPig was founded with the goal of trying to thwart Gen-Y’s “spend now” attitude
Users can choose to save cash plus interest or convert money into a gift card (for some reason I feel like this contradicts the prior bullet)
ANZ claims the goal is to teach financial responsibility and promote savings, rather than sustain a reliance to credit (again, appears to contradict the above bullet)

I commend ANZ for making an attempt to embrace the direction that both technology and communication are heading. And they’re correct, Generation Y communicates differently than other generations, and saves money differently – in that they really don’t. I honestly do not know too many individuals my age that are saving, and are instead choosing to life for today. So I want to make it extremely clear, that any effort to change the savings habits of Gen-Y is excellent.

However, I think this is a classic case where a company attempts to align themselves with a younger generation by utilizing a technology that does not fit with its product offering.

Mint.com works – it’s not social networking, but it’s a service that tracks and categorizes your personal expenses so that consumers are aware of their spending habits. Best of all, you can utilize mint.com from a convenient, FREE, iPhone app. The reason it works, is because it utilizes technology Gen-Y embraces, it’s free, and it easy to use. More importantly, it keeps your expenses private.

ANZ’s new app does not work. Yes, Echo Boomers use social networking. Yes, Echo Boomers bank. But this does not mean that A + B = C. “This therefore that” logic does not apply in this situation. As an Echo Boomer, I want to use Facebook, but that does not mean that I want all of my “friends” to know my current financial situation. Especially, since a lot of my “friends” really aren’t friends – they’re people I’ve met at parties, met while backpacking Europe, or met at a conference. And in a few situations, I confirmed their friend request out of feeling obligated to do so. Yes, most are my friends, but a good portion are just contacts – and in no way do I want my far reaching contacts to have access to my financials.

Excellent effort; well intentioned; poorly thought through.

Can any of you think of other examples of products/services/apps that were targeted at Gen-Y that totally missed the boat?

-Josh Groth

Microsoft to Open Retail Outlets: Fatal Error?

2009-02-16T19:58:00.000-08:00

I'd like to give a Darwin award out to one of my new favorite non-awesome companies. Hooray, Microsoft! Yes, pesky Apple is stealing away valuable Gen Y college students and young professionals. However, does this mean that you really want to open brick and mortar retail outlets? I have a prediction for you; fail.

In case you haven't heard, the AP reported Microsoft plans to open its own stores to improve the PC-buying experience. I don't really want to describe any more of the article because it almost makes me angry, but you can click on the link to read more if you'd like.

The fact I'm angry isn't because someone wants to invest in retail. So many companies, including Apple, LaCoste, Nike, and countless other companies have recognized the value of retail stores and controlling your product at the final stage of consumer interaction and purchase. However, the fact is that Microsoft is doing it all wrong. As much as I laugh at Apple's ads mocking a faux-Bill Gates, I am starting to believe Microsoft and their senior board may actually be as unintelligent as Apple shows them to be.

There are three fatal erros that Microsoft already made...and they haven't opened any stores yet! I'm going to outline them below, but feel free to add your own; I'm pretty sure there are plenty more to discuss.

Illogical choice in retail leadership: Hiring David Porter as the corporate VP of retail stores does not do the trick. As a 25-year veteran of Wal-Mart and most recently with Dreamworks as the head of worldwide product distribution, this is fatal error #1. What does a man who produces big-box stores or distributes DVDs know about improving the PC buying experience? What experience does he have with small boutique retail spaces compared to big box stores? What on Earth made them think a man with experience in distribution and supply chain knows anything about pimping the retail world with cool boutiques that improve shopping experiences? Then again, maybe Wal-Mart shouts original and creative store design and improved customer experience over its competition to everyone but me and my friends who refuse to shop there. Seriously, Microsoft, what were you thinking?
Poor timing: Microsoft spent its time as a wholesaler pushing its operating systems and products to retailers. They operated a low overhead and low operating expense business (comparatively). Now, Microsoft wants to enter the high overhead and high operating expense game of retail during the worst economic downturn since the Great Depression. Really, Microsoft...let me know when you have your bake sale with $10,000,000 cookies to compensate for your recession-affected retail stores.

Confusing brand image: Microsoft is an operating system. Their OS support business, creative media, and games. How do you put this into one retail space? What do you have your associates wear? What trend do you follow? Business attire certainly doesn't reflect the gaming side of Windows, and black tee-shirt wearing Apple clones won't give respect to the business functionality of Windows. Microsoft is so broad in its application and functionality, it will be difficult to capture this into one cohesive theme for its stores.

Long live Apple; at the rate Microsoft is going, it won't be too hard for Apple to continue its growing streak and take market share from the big boys. With the decisions Microsoft is making, I think they deserve to lose it to a more intelligent competitor.

I (We) Want It That Way

2009-02-12T20:50:00.000-08:00

Yes...Backstreet Boys. They speak the anthem of our generation. Who knew employers could learn lessons managing Gen Y in a recession from 90's pop songs like I Want it That Way, Semi-Charmed Life, or Bye Bye Bye (hey, given the recession, it's appropriate)?

Sadly, this post isn't about the Backstreet Boys OR 90's pop songs; however, there are real-life lessons about managing Gen Y during a downturn. Just because jobs are hard to come by and we need to hit up Mom and Dad for rent doesn't mean we don't keep our ridiculously high standards for work-life balance, mentorship, or promotion-worthy year-end reviews. We may be stuck working for your organization and be unable to hop to the next company willing to buy us a company iPhone, but that doesn't mean we have to like it.

Ultimately, we can make your life miserable...or absolutely awesome (our parents were practice; you're the real test and application of our skills). Keeping us happy, especially as your lackeys and entry-level professionals, will make your lives easier by creating more positive employees who aren't just showing up to work every day and hating their jobs like some Office Space reality show.

Three key things will make or break your professional manager-managee relationship with Gen Y. These things include:

Letting us have fun: We realize the top-shelf, open-bar, all-expenses paid trip to Vegas (or even downtown) are now gone. However, that doesn't mean we don't want to and can't have fun. Maybe it means organizing extracurricular trips downtown, happy hour on a weeknight, or having goofy office challenges. Just because sales are down and the company may reduce headcount, that doesn't remove the desire for Gen Y to have fun in our jobs.
Recognizing us for our work: Listen...we know we don't make six figures. However, would it kill for a compliment every once in awhile? Knowing someone's proud of you or appreciates what you do is one of the simplest and most meaningful things a manager can do. Best of all; it's free. However, how many managers really thank their people on a monthly, weekly, or daily basis for their efforts? Recognizing us for our work is a free and great way to keep us enjoying our jobs because we know our pointless data entry brings you value and makes us look good.
Interacting with us: No man is an island...unless his manager is never there. Then things get awfully lonely. As Gen Y, we're used to having attention, receiving constant feedback, and being told exactly how to succeed. However, when sales go down the tubes and the economy is in a recession, we know you get busy. However, we still would like to have you talk to us, buy us a cup of coffee, and tell us jokes.

Ultimately, managing Gen Y in a downturn isn't overly complicated; however, it takes more time than some managers and organizations are willing to give. However, the importance of this is obvious; if you ignore your entry-level knowledge professionals, eventually they'll burn out and become uninterested (and ineffective) in their positions.

Mama said knock you out.

Stimulate This - How to Create More Jobs for Gen-Y With the Economic Stimulus Plan

2009-02-11T20:09:00.000-08:00

My friend over at Entry Level Living wrote an excellent article on how certain line items in the stimulus plan will effect Gen-Y. Some of the key take-aways I felt were from job training and higher education:

Job Training: the goal of the stimulus is to create jobs, this job training will help ensure Echo Boomers will have the required skill sets to get some of those jobs. $4 billion for job training including :

$1.2 billion to create up to one million summer jobs for youth
$50 million to expand Youth Build (provides jobs for low-income youths in constructing low-income housing)

Higher Education:

Pell Grants: $15.6 billion to increase the maximum Pell Grant by $500, from $4,850 to $5,350.
College Work-Study: $490 million to support undergraduate and graduate students who work.
$6 billion for higher education modernization
Student Loan Limit Increase: Increases limits on unsubsidized Stafford loans by $2,000.
Student Aid Administration: $50 million to help the Department of Education administer surging student aid programs while navigating the changing student loan environment.

Read the executive summary of the stimulus plan here or read the full document here

Here’s where I get on my soapbox…

The purpose that the stimulus plan serves is to create jobs, unfreeze the loan market, and instill consumer trust and get them buying again – all as quickly as possible. Therefore I do not believe that $15.6B for Pell Grants belongs in the stimulus. Don’t get me wrong, I’m all for making higher education more accessible, shoot I hate having college loans. However, an increase of $500/grant/person is drop in the bucket when students are facing mounting student loans of $100K+. Moreover, this increase has no immediate fallout. It will help individuals get a four year degree, but we’re in a recession NOW.

Here’s what that $15.6B should be put towards, because it would be far more effective. Instead of giving that $15.6B away in federal Pell Grants, add it to the $6B set aside for higher education modernization, and then make that $21.6B total now available ONLY to students in the form of work-study compensation. Pay students to renovate their campuses with government money. This creates IMMEDIATE jobs for Gen-Y as they struggle to pay for school, it effectively helps modernize our state universities, and it makes higher education more accessible to those who are willing to participate in the work-study program. Granted, some of the workers would have to be more experienced workers who could train Gen-Y to give them the necessary skill sets required for the labor, but you get the gist of it.

Problem solved.

Thoughts?

-Josh Groth

The Video Game Wars: Gen-Y's Non-Choice

2009-02-10T21:02:00.000-08:00

Finally...a subject so dear to my heart. Honestly, I don't know why society rejects video games. Desensitizing violence some claim; others say your eyes go bad. Let's look at things in a positive light; aside from the in-car DVD player, very few devices in the history of mankind that can entertain a child (or husband) for extended periods of time. I think we own Atari and the people who invented the first game systems a huge thanks.

There's a lot going out in the press about the game wars between Nintendo Wii, Microsoft Xbox360, and the Sony PlayStation3. So far, Nintendo Wii has overcome weak graphics and a limited game selection with original games and unique controller. A darling of the Nintendo line, the Wii is a supposed statement of the resurgence of Nintendo as a brand and the ability of a lower-performing system with original controls and game play to win over game systems with better graphics and more diverse game selections.

Alas, I fear Wii's day in the sun is near done, particularly for Gen Y. The success of Wii comes from a few key factors; it's downfall will come from a few more. I highlight a few key points below:

Wii is a party system...not a true game system: Wii is a novelty for parties and group hangouts. I know few people in Gen Y who have logged the countless hours gaming on the Wii compared to the weeks they spent playing Halo, Call of Duty, Rainbow Six Las Vegas, or Grand Theft Auto on traditional gaming systems. Personally, I just think they just get tired waving around the controller; however, there is a reality that eventually you will run out of people looking for a party system because, well...there just aren't enough parties.
Wii supplements traditional gaming systems...not replaces them: The one great benefit of the Wii is I see many of my friends own a Xbox360 or PlayStation3 and a Wii. However, you see very few people in Gen Y owning just a Wii because it does not meet their needs as a gaming system. The inability to stand alone as a gaming system will lead to inadequacy and eventual loss of market share as people upgrade or replace the Wii with other systems.
Wii is designed for families...not for Gen Y: I know some of you may disagree with this point, but I like to think of the Wii like Shrek or Finding Nemo. They have plenty of sophisticated humor to keep adults entertained, but I can't remember the last time an animated movie where adults left their children at home to go watch the movie. It's the same way for Wii; we all like it, but in reality, it's not for us. The games don't have the violence, complexity, or speed that Gen Y and serious gamers need in a gaming platform.
Wii's experience is in the control of the game...not in the game itself: Although Wii's control is revolutionary, it's uniqueness is in the control of the game itself and not in the game. People get all giggly over waving their arms around and balancing on boards. However, Wii's fundamental failure is the lack of advanced and original games. The graphics lack the necessary pop to keep up with the Xbox360 or PlayStation3, the games lack the addictive nature of games on other systems, and the controls (to their failure) lack the crispness and control of a dual-joystick controller. Aside from Wii Fit, you see very few titles that are exclusively associated with the Wii or that can drive people to purchase the system for that game (or games).

As a final note, I remember when I told my Dad I wanted to buy a Xbox360 and a violent video game, this was his counter; "Why don't you buy one of those Wii things? I'd help out with that." With that statement in mind, Nintendo is obviously pointed towards someone other than Gen Y...and I'm off to buy an Xbox360.

When Going Green is Going too Far

2009-02-09T19:23:00.000-08:00

(Photo source)

Dear Motorola,

Your R&D team needs to be fired. Introducing a “green” cell phone 1.0 model when BOTH supply and demand have shifted towards smart phones which dominate the cell phone 2.0 movement, makes as much sense trying to sell pagers to Tweens. Face it, it’s a dying technology. If I was in your shoes, I would ask for your developer’s resignation, and ship all of your remaining inventory to Al Gore, because I’m pretty sure he represents 100% of your customer base.

Why? Honestly Motorola, why? Do you think that because I’m a eco-friendly, carbon-conscious Echo Boomer I’ll drop some serious coin for a “Green” cell phone? You have extremely over-estimated the greenness of Gen-Y.

I’m all for sustainability. I’m all for preserving the environment. I think that America has an addiction to oil, and that Obama is taking excellent strides in helping our economy move towards alternative energy sources. I also think the Prius is a great car, not that I’d ever buy one because it would instantaneously promote me to tree-hugger status, but because it paved the road for hybrids and brought attention to environmental issues at large. However, I’m not going to ditch my iPhone for a carbon-neutral, prehistoric looking phone that lacks as much functionality as the Bush Administration.

Here’s four quick reasons why your green phone is a horrible idea (which I’m surprised you couldn’t come up with on your own in the product development stage):

1. Your unique product offering is wrong for the product category. Being successful in the cell phone market means cramming as much new tech features into the smallest possible device, not sacrificing functionality for being eco-friendly.

2. Your technology is out of date. It’s the analog to the smart phone’s digital. Your phone has maybe an inch of screen real estate, no apps, it cannot seamlessly sync my gmail calendar with my Microsoft calendar at work, if it has a mp3 player built in it most likely doesn’t have the memory to make it at all worthwhile, and I guarantee that it doesn’t have an intelligent web browser. What at all does this phone have to offer me?

3. Boasting that the phone is made from recycled water bottles does not excite me, but instead gives me serious reservations as to the reliability of the phone.

4. Zero sex appeal. Let’s be honest, being green is sexy because it’s the IT thing right now. Your SIGG water bottle is durable and prevents you from polluting the environment with plastic bottles. Riding your bike to work reduces your carbon footprint and gives you killer legs. Organic food has less preservatives, pesticides, and other awesome cancer-causing things…and it makes you sound cool when you say you shop at Whole Foods. People like being green because it’s sexy right now. The iPhone and the Storm are sexy; your phone is a chartreuse eyesore that would have been great 7 years ago.

Motorola, if you want to successfully build and market a product that targets Generation-Y, drop $30K on some market research and attempt to understand what your target demographic wants. Don’t simply try and build something you think we’ll like then cram it down our throats. That $30K in research could have saved you the $5M+ it probably took to build the darn thing. But look on the bright side, they will work as great paperweights that you can give to all your employees.

-Josh Groth

Reality Check: No More Credit

2009-02-05T21:28:00.000-08:00

Courtesy: Edwardkhoo.com

First off; I hope you got the pun about the reality "check"...as in the method of payment and the act of recognizing reality. Seriously. I love puns. Maybe Josh and I can create a "Top 10 Puns on Echodemic" list since people like lists so much. I'm going to say that's at least in the top three.

The great thing about the recession is people realize they cannot live outside their means. We can no longer outspend our paycheck, use stated income loan applications, and ignore savings as part of our budget. Unfortunately, the recession is a lot like puberty; good for us in the long run (thank goodness I filled out since high school), but horribly painful as we deal with pimples, realizing women are attractive, and high school dances. Yes, Josh is white; yes, he can dance better than me. Odd.

As a general rule, Gen Y have rarely heard or applied the concept of savings to their lifestyles. More importantly, if we've heard it, we rarely apply it. Saving money is somewhere below an iPhone, far below not living with your parents, definitely below an education in English at a private university (great career path there), and probably below Friday night's bar tab at the newest club in town.

However, this recession is the puberty of Gen Y. Nobody likes to talk savings. Everybody likes their iPhone, private university education, new clothes every week, and financial indifference to the credit cards, interest rates, and latest American Apparel sale items (I hear the neon green leg warmers are the next big thing). Too bad for us, reality arrived in September. Kids who never worked before are now taking part-time jobs to help pay for school. Parents aren't handing out the money that grew on the lending tree; they're tightening their budgets too. We're now realizing that a glamorous lifestyle isn't automatic, money does get tight, and you can't live the dream without working for it (and paying for it) as well.

The question Gen Y faces is its response to this new era of financial responsibility. Will Gen Y correct the mistakes of its parents and live within its means? Or is our generation headed towards another time in history with overspending, easy credit, and unmanageable credit card debt? Although our generation feels the effect of this recession, I seriously doubt we will change our ways unless this recession becomes much worse. We cannot ignore our upbringings; we watched our parents give us everything. That will be a hard habit and reality to change.

As a generation used to having everything and working for practically nothing (many of us never held jobs before we graduated from college), we now need to face a new reality; cash or check. Credit's not accepted.

Weed: The Only Way Phelps Can Eat 12,000 Calories/Day and Why it Doesn’t Matter

2009-02-04T23:01:00.000-08:00

(Photo property of ESPN...if you couldn't figure that one out on your own)

For the most part, Echo Boomers have grown out of the typical definition of the term “role model.” The word simply does not apply to us in the way that it use to. We no longer look to actors, athletes, and astronauts to set a precedent for us - we look to them to set the bar.

As high schoolers are hitting the pool, they aren’t looking to be like Phelps - they’re looking to be better. They aren’t looking at his bong; they’re looking at the pounds of Beijing gold hanging from his neck - and they want it. They are looking at his $100M in endorsements and thinking to themselves that they too want to be paid to prance around in a Speedo and eat PowerBars.

I don’t think of Phelps any less for smoking - it's not my place to judge. In fact, it almost makes the fact that he won 14 golds just that more impressive, considering how much smoking anything affects your lungs. The only possible way for it to have helped him, is if it aided in his insane, 12,000 calorie/day intake in order to have enough energy to burn in the pool.

The whole situation reminds me of a quote from Robin Williams:

“The poor Canadian snowboarder, in the 1998 Olympics, they took away his medal because he tested positive for marijuana, which is kinda redundant number one, number two, they said that marijuana was a "performance-enhancing drug.” [buzzer sound] Marijuana enhances many things, colors, flavors, sensations, but you are certainly not f****** empowered. When you're stoned, you're lucky if you can find your own god**** feet. The only way it's a performance-enhancing drug is if there's a big f****** Hershey bar at the end of the run.”

The whole thing comes down to Phelps setting the bar in business and life. He set out to be the best, and he is. He is the top in his sport and commands one of the most lucrative endorsement contracts in the world. Gen-Y will not look at him and think “stoner,” they’ll think of his accomplishments - and then try and be better.

I’m curious to hear other people’s opinions on the subject!

-Josh Groth

The ObamaBerry

2009-02-03T21:32:00.000-08:00

Obama: Research in Motion as...

Rick Astley:The 80's
Hot Tubs:Water
Michael Jordan:Nike
Peanut Butter:Jelly

Correct answer: #3

No, sports fans, this isn't about Obama and his ability to shoot the J. This is about Research in Motion missing out on one of the biggest opportunities of its corporate lifespan.

To give some background on why C is the correct answer to this multiple choice, one has to look back to 1984 and the Air Jordan 1. After Michael Jordan signed with Nike, the company created a pair of red and black basketball shoes that became known as the Air Jordan I. A significant departure from the traditional white basketball shoe, the NBA fined Michael Jordan up to $5,000 per game for the shoe's non-conforming colors. Nike gladly paid the NBA fines, and the amount of buzz, media attention, and controversy surrounding the shoe created the beginning of one of the strongest brands and shoe lines in the history of footwear.

The results of this marketing effort is seen today. The Air Jordan I led to the creation of a Nike subsidiary, twenty-four year line of high price point shoes, and a global phenomenon. Certainly the designers at Nike and the pure ability and talent of Michael Jordan played a strong role in the development of this brand, but one cannot neglect the role of the Air Jordan I, the controversy the shoe created, and Nike using the controversy as a marketing tool to develop the Jordan brand.

Today, Research in Motion has an amazing opportunity to do the same with Barack Obama. I'm sure there's a clause that forbids the president from signing endorsement deals; however, why doesn't Research in Motion market this? Everyone else seems to be capitalizing on Barack Obama's election, and Research in Motion should do the same. Heck, at least Research in Motion's product offering is better than the mail-order Barack Obama plates I saw on TV yesterday.

Sadly, Research in Motion seems to be letting this opportunity fall by the wayside. No news releases came out about Research in Motion developing an ultra-safe BlackBerry for the president. There were no Gen Y targeted ads or viral marketing efforts to increase the brand image that the leader of the free world will fight the Secret Service for his BlackBerry.

I'm still waiting for the ObamaBerry Storm complete with a Shephard Fairey Hope poster and pre-registration to Barack Obama's weekly webinar and RSS feed.

Get on it, Research in Motion; don't let this one pass you by.

Living the High Life in Low Times - 10 Awesome Money Saving Tips

2009-02-02T22:32:00.000-08:00

The idea of cost-cutting is no fun. The idea of a global recession is worse. Therefore, a reduction in expenses is not only a good idea, but an imperative - even for Echo Boomers.

The idea of a Top 10 list for managing expenses is nothing new. In fact, in the last few months I’ve seen an overabundance of these lists. However, they all have one thing in common – they are no fun. They almost all involve removing everything fun in life, because let’s be honest, a lot of the fun things in life cost money. Herein lies the differentiator between my list and theirs, I chose the route of moderation instead of elimination – life needs a balance of work and play.

1. Hop on your parent’s family plan for your cell phone – This is a gimmie, family plans are a bargain compared to being on your own. Hop on a family plan with your parents or significant other and just share the cost.

-- Savings ($150/mth for unlimited everything on an iPhone - $50 family plan = $100/mth)

2. Ditch Starbucks – trade in that $4/day latte for a pound of a gourmet beans and roast your own cup before you head to your cube in the morning. Gourmet, fair-trade beans are also a cool source of convo by the water cooler (more so than a generic Starbucks cup). A good 1lb bag of java should run you around $12 and last 2 weeks.

-- Savings ($4/cup x 5 days - $6/half lb = $14/wk)

3. Make your own lunch – Impress your colleagues with a gourmet lunch you prepare, not a calorie-filled burrito from down the street. Not only a convo starter, like the java, but it’s easier to manage your nutrition if you prepare the food yourself.

-- Savings ($7/take out x 5 day - $3/brown bag x 5days = $20/wk)

4. Bike vs. drive to work – This is an easy one (if possible). It’s healthy, it’s eco-friendly, and the cardio wakes you up in the morning.

-- Savings ($10 parking x 5 days + 1 tank of gas @ $25 = $75/wk)

5. Beer vs. wells - The weekend is for fun, axing the bars entirely means axing your social life. Quick fix, order beer instead of a mixed drink, it’s almost always cheaper.

-- Savings ($7/mixed drink x 3 drinks - $4/beer x 3 drinks = $9/wk)

6. Bars with no cover – The best bars aren’t always where you pay a cover – and if you’re going in a group, it doesn’t really matter where you go. You don’t even have to ax bars that charge covers all together, you can simply alternate weekends.

-- Savings $10-$20/bar

7. Bargain theater vs. multiplex – In my opinion, the best theaters are the ones that show movies that have been out for 3 months and serve beer instead of a Coke. It adds novelty and creativity to a date/hang out. And tickets are less expensive and you get beer instead of a Coke (oh, did I just repeat that).

-- Savings $4/movie

8. eBay your threads – When shopping, try on the clothes you like, and if you want to buy them, take down the item number and size, then eBay it and get it new with tags, or used if you don’t mind. If you’re smart, the savings can be awesome – I recently got a brand new pair of Rock & Republic jeans for $50 instead of the $250 MSRP.

-- Savings vary, but if you’re savvy on eBay, you can save a grip

9. Nordstrom Rack instead of Nordstrom – For those that need their Nordstrom fix, the Nordstrom Rack is a God-send. The savings are awesome, and it’s on all your favorite brands.

-- Savings vary, but markdowns are typically 50% off MSRP

10. Ditch the gym membership if you don’t use it – I, like many of my friends, utilize my gym membership 6 days per week. I’m a huge proponent of a healthy lifestyle that involves regular exercise. However, I can’t even count how many of my friends have gym memberships that they never use – something about having a gym membership makes people feel better about themselves even if they don’t go. Ditch it if you don’t use it, it’s just a waste of money.

-- Savings $30-$100/mth

Your wallet thanks me.
-Josh Groth

The BlackBerry Storm: Dark Past, Sunny Future

2009-01-30T16:29:00.000-08:00

Since the Blackberry Storm's release, uproar has been made about the glitches, marketing expense, and "lack" of sales at a cool 500,000 units in its first month. In the latest Tech Ticker, Om Malik came out and slammed Research in Motion for "forgetting to play to its strengths" and leaving its traditional key board behind for a touch screen. What most critics forget, including Malik, is the absolute necessity of entering the smart phone marketplace as more and more Gen Y use smart phone technology.

I can imagine some of you scoff, "Ha. Gen Y doesn't use and can't afford iPhones or BlackBerries." Nine months ago, I spoke with a product manager for Nike who told me the newest trend among high school girls was using a BlackBerry to stay in touch with your friends. Do you think the launch of the iPhone changed the concept of "cool" in local high schools from the BlackBerry to the iPhone? Or were the 1.9 million activations of the iPhone in Q4 exclusively of people 30 and up? For that matter, will the smart phone market decrease over the next few years? Please.

The fact of the matter is the smart phone is the next generation of technology embraced by the next generation of white-collar labor in this country. Foolish companies are staying out of the marketplace. Intelligent ones, including Research in Motion, will make the leap into smart phone technology because they recognize the present and future value of mastering this technology. Just because one firm owns 25% of the playground and has first mover advantage doesn't mean no other kids can come to play. It doesn't mean they'll get it right or everything will go perfectly, but Research in Motion is far ahead of Dell or the countless other firms who want to join (or will be forced to join) the smart phone race.

Long ago, Walgreen's used to serve food. At a board meeting, Walgreen's CEO gave them a five-year deadline to totally exit this segment of their business to focus on its less profitable operations. The result? Walgreen's decision to leave its most profitable business to a weaker area earned it a spot in the business management Bible Good to Great because it worked and they succeeded. If Mr. Malik and the critics of Research in Motion ran Walgreen's? Well, I'm sure we'd have to go elsewhere to get our prescriptions filled.

Good job, Research in Motion; I'll probably still buy an iPhone, but I think you're on the right track.

Chrysler – the “Keith Richards” of Automakers

2009-01-28T21:18:00.000-08:00

Picture Sources: pic 1 and pic 2

I’ve come to realize that Chrysler is essentially the “Keith Richards” of automakers. It once looked good, went platinum with their sales numbers, and had groupies galore. However, that was 30 years ago. After 30 years of sex (expanding the family to include Jeep), Drugs (gas guzzling), and rock and roll (blowing money they don’t have), everyone is left scratching their heads wondering just how they haven’t kicked the bucket yet.

Like Richards, Chrysler has not aged gracefully. Its years of addiction to gas guzzling are finally catching up. However, there is one distinct difference that sets the two apart – groupies. Richards has them, Chrysler does not. That is the determining factor between the polarities of their success. Richards may be hideous, but the fan base is still there. Chrysler’s started abandoning them years ago.

Chrysler has always targeted their vehicles at Gen-X and the Baby Boomers – people familiar with the brand before it started becoming yet another Hollywood rehab story. When Echo Boomers started demanding vehicles that not only looked good, but were “green,” had a high MPG average, and were reliable, Chrysler ignored them. By ignoring an entire generation, Chrysler effectively blew their amp in front of a concert of 60M angry fans.

The only car in Chrysler’s lineup that even marginally targets Gen-Y is the Chrysler 300. From their subsidiaries, they’ve got the Jeep Wrangler which has always had a cult following, and maybe the Dodge Charger. Chrysler’s Hybrid SUV, the Aspen, is $10K more and only does 2 MPG better than the non-hybrid model.

Chrysler has effectively severed its relationship with Gen-Y. They simply cannot neglect their groupies and expect all to be forgiven now that they’re broke and have theoretically gone to rehab ($4B from TARP and a proposed partnership with Fiat) to get better.

Expecting to fully recover from their current financial troubles without groupies is about as ludicrous as Richards going back on tour only to play covers of Britney Spears hits.

Josh Groth

An Open Letter to President Obama from the Future Unemployed Gen-Y

2009-01-27T20:43:00.000-08:00

President Obama:

Since you're technologically savvy and probably have a Google alert on your name (I do), I know you're reading our blog (or at least the FBI/CIA/NSA/CTU are). Maybe you're on your BlackBerry during halftime of an intense three-on-three game with your Cabinet. How's Reggie Love playing today? Oh; I hear Hillary throws some crazy elbows. On a side note; she still hasn't forgiven you for beating her in the primaries.

Mr. President, I'm very excited because I have a huge pool of talent available to you. No, we don't have much skill in road construction. However, we are some of the top talent from universities across the country. When we graduate we probably won't be employed, and six months from the time we cross the stage we're going to start paying off an average of $19,200 of student loans (based off 2004 numbers; with a 3% increase each year, I'm sure the number has gone up). We're looking for opportunities to apply ourselves, and we have a few financial deadlines that are coming up quick. We promise we work hard, have great ideas, and believe we can change the world.

You ran a campaign based off change, hope, and belief in our ability to make a difference. We supported you at your primaries, Facebook clubs, rallies, and most importantly, election day. We believed our voice could make a difference. Now we ask that you let us be the change you described. Don't just create jobs fixing infrastructure and building bridges; we can do so much more. Create ways for us to tackle the world's most complicated problems. Create ways for us to help the poor, solve global warming, increase volunteerism, and change people's daily lives for the better. Create ways for us to be the change we wish to see in the world.

Heck, we'd probably do it for almost free (loans need to get paid somehow).

E-Slapping Blockbuster: 5 Reasons why they are failing...miserably

2009-01-24T14:41:00.000-08:00

Two weeks ago, Netflix and LG unveiled their recent HD love child – a new TV that can stream HD quality content from Netflix without a set-top box. There will be no need for a bulky box that sits among the orgy of DVRs, DVD players, VHS players (God forbid) and stacks of unorganized DVDs that are waiting to be scratched to the point of being unreadable. There will simply be a TV and an Ethernet jack – simplicity worthy of an Absolut Vodka ad brandishing their token slogan “In an Absolut World.”

It is this sort of ingenuity that has thrust Netflix to the forefront of the DVD rental business. In 12 short years, Netflix has grown its customer base to 8.2M subscribers and leads all online retailers in customer satisfaction. This innovative drive towards excellence begs one question: “Why is Blockbuster failing...miserably?”

Below, is a closer look at Blockbuster’s 5 biggest foul-ups.

Ignorant complacency – Winston Churchill once said “However beautiful the strategy, you should occasionally look at the results.” Blockbuster should have paid attention in history class. While a solid brick and mortar (B&M) strategy carried them through the nineties, it was a strategy that did not leave them flexible to react effectively to changes in the marketplace.
Blatant disregard to Gen-Y – Advancements in content delivery equate to higher efficiencies for consumers. If Echo Boomers are enamored with streamlining their lives, then a business needs to be responsive and work to fulfill those wants/needs in order to be successful. Trying to force-feed Echo Boomers a B&M solution to their media needs just won’t cut it.
Poor customer satisfaction - Blockbuster is to late fees what Bono is to crazy sunglasses. No matter what else the biz/person may do that is positive, all the consumer can focus on is those darn sunglasses.
One foot in – One foot out - Kudos to Blockbuster for FINALLY attempting to take on Netflix a couple years back with their Total-Access program. The only problem is - there’s a greater probability of getting drunk off O’Doul’s than Total-Access actually posing a threat to Netlix. The reasoning: Blockbuster is still trying to dominate the B&M biz while trying to launch a movies-by-mail biz model simultaneously, effectively neglecting both children - someone should contact child welfare services.
Reactive business Environment - It took them 9 years to develop an internet-based DVD subscription service to compete with Netflix! Need I say more?

As the internet axiom goes with debunked ideas...“kill it with fire.” Blockbuster has been heading down the wrong path for quite some time, and it won’t be too long before they’ll be keeping Circuit City company.

Our Mission Statement

2009-01-24T14:25:00.000-08:00

The worsening financial and economic crisis affects all our lives. It has caused our civic leaders, clergy, and media to analyze and critique our decisions, habits, and lifestyles. In the midst of all this, what has become unequivocally clear, is that most coverage and analysis of the crisis fails to address the impact on the Echo Boomer generation.

We do not see this as a problem - but as an opportunity. Business and economic trends do not affect Echo Boomers the same way as the generations that precede us. Our opinions and perspectives matter, especially since the Echo Boom generation is three times the size of Gen-X. As Baby Boomers are preparing to retire, we are preparing to fill their roles in every part of society. Echo Boomers are just stepping onto the stage, and it'd be a good time to listen to the next presenter.

As Echo Boomers and recent graduates of an undergraduate honors business program, we created this blog to offer our opinions on the effects of business and economic developments on our generation. Our hope is the voice of our generation will be heard as we begin to take our place as the dominant generation of society.