Aaron Shields’s Mind Terroir

Branding, Neuroscience, Innovation, and a Taste of Wine

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Who’s In Control: Gary Vaynerchuk, Wine Library TV, and Why Coauthored Brands Will Rule The World

July 9th, 2009 by Aaron Shields
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Over half a century ago, consumer research was considered irrelevant and the ad-man-as-god model ruled the landscape: whatever the advertising said the product was, that’s what the product was, and you needed it.

Forward thinkers caught on early: Theodore Levitt in his classic Marketing Myopia argued that the downfall of companies is a lack of focus on the consumer perspective; and advertising guru Bill Bernbach realized that consumers really weren’t paying attention to everything the companies were shouting in their ads:

Do you know that 85% of ads don’t get looked at?…They ignore us…We’re right about everything, but nobody looks.

Decades later, spurred on by the rise of the Internet and consumer generated media, focus shifted to the opposite end of the spectrum, and shouts from the advertising world echoed around the world: “Help! The consumer is now in control!”

The latest incarnation of the consumer-in-control model was explored by Rob Walker in his popular Buying In: the best brands act as blank slates for consumers to craft their own personal history. One brand Walker highlights is Red Bull, showing how a variety of different people from extreme-sports enthusiasts to club goers have latched onto the drink. Yet, despite never telling consumers what they should think of the product, Red Bull, as detailed in Alex Wipperfurth’s Brand Hijack, releases a manual to determine which events are on brand and off brand—hardly the behavior of a company that gives over total meaning to the consumer.

The truth is that consumers never were and never will be in control, and neither were or will the companies and their advertising agencies. Great brands have always realized that, just like in all aspects of life, there are two parts to great relationships—it’s a constant give and take.

Over at The Cult Branding Company, we help clients understand the nature of this relationship—we like to use the term “coauthored brands.” The brand sets the initial context, grounded in the nature of its products (Red Bull can’t get away from its extreme nature, it’s an energy drink, and Apple would be hard pressed to anchor its brand away from beauty and creativity), of what its value is for the customer, but from that point it becomes altered and refined through a constant dialogue between the customers and the brand.

This coauthored experience is something that it is hard for many brands, especially large ones, to understand and even harder to implement. One brand that really gets it is Wine Library TV and its creator Gary Vaynerchuk.

After transforming his parents’ alcohol business into the over $45-million-a-year wine business Wine Library, Gary picked up early on the trend of social networking (a Twitter user since 2006), and promoting his brand online. With that in mind he created Wine Library TV where he regularly broadcasts episodes of him tasting and evaluating wine.

His goal with the show is to inspire passion for wine among his viewers, inviting them to find wines that “bring the thunder” for them—wines that excite them and deepen their passion for the Dionysian juice.

And this is where Gary really excels. Although he rates the wines on his show, he reiterates how important it is to find your own taste in wine, and explore the wine world, making it okay if you like a wine he doesn’t.

Gary even admits he likes drinking wines he doesn’t rate highly, because they expand his knowledge of wine and he finds them interesting. This is in contrast to other critics in the industry whose reviews that focus on a point hierarchy that gives the wine drinker little incentive to try a wide variety of wines.

Gary counts 80,000 viewers on Wine Library TV daily (in addition to over 675,000 Twitter followers), with his most devoted fans deubbing themselves Vayniancs. This Vayniac nation cuts across demographic barriers, ranging from people who started out like Gary—those interested in wine who are too young to drink and yearning for the time they can try their first glass—to even seasoned wine professionals.

Gary understands that the real force behind changing people’s opinions on the accessibility of wine, and therefore building his brand, lies with his viewers.

Gary signs off each show with, “You, with a little bit of me, we’re changing the wine world.” It’s rare for brands to understand the nature of a co-authored brand and how critical it is to developing a successful, lasting following. Kudos to Gary for getting something so few brands do.

Now that Gary is expanding his business into the consulting business Vaynermedia with his brother AJ Vaynerchuk, he is conveying the same message to his clients. In a video blog post in May, Gary speaks of what he likes to call storytelling, and how great storytelling becomes the property of the group by the end, as everyone adds a little bit to it. Gary’s use of storytelling is another way to think of a coauthored experience.

Many companies entering the “social media” stream (Vaynerchuk hates the phrase and so do I, my part because it encourages thinking of it as just another media channel alternative to radio and television) are treating it just like another channel for broadcasting messages. The ultimate use of this medium will for brands to be able to establish a strong connection with their fervent consumer base, deepen their understanding of their passionate fans, and do more of what all great brands have always done: create coauthored experiences.

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To @Pepsi, Thanks For Everything. Your Fan on Twitter, @CocaCola

July 1st, 2009 by Aaron Shields
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Coca-Cola has the Twitter-verse buzzing with a post made yesterday saying hi to Pepsi. Today, Pepsi responded, saying hi to Coca-Cola.

On Twitter even old rivals can be friends.

This exchange between Coke and Pepsi is at the heart of how Twitter can be best used by brands.

1) Listening to customers. The exchange started with a request from @eunmac for Coke and Pepsi to be friends. Several retweets later, Coke took notice and responded. Twitter allows brands to tap into customer chat and keep a current pulse on sentiment.

2) To Humanize Brands. Traditional advertising is important to brand building and achieving top of mind awareness. But. especially in the current climate of corporate distrust, it’s important to have a human element behind your brand.

Even though Coke and Pepsi will continue to be fierce rivals, at least for a moment they acted like people and listened to others, and like friendly opponents and shook hands. Both seem all the more human, and all the better for it.

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What It Takes To Be A Winner

July 1st, 2009 by Aaron Shields
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Just like genius takes a commitment to the creative process, success takes a commitment to winning.

Salim Bueno, my friend and co-worker at The Cult Branding Company published a deck called The Psychology of Winning over at Slideshare on what it takes to become a winner. His deck is currently featured on the homepage.

It’s great advice for success.

You can check it out below:

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What Is A Genius?

July 1st, 2009 by Aaron Shields
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Steve Jobs is a genius. Einstein was a genius. The folks over at Pixar are geniuses.

What is a genius?

A genius is a word we use to describe people who we cannot understand. We perceive them as special, as if they were magically blessed by a creator to have greater abilities than others.

But, genius isn’t easy; it’s hard work. Geniuses aren’t lazy.

The gift that geniuses are given is that they’re more committed to cultivating the creative process, knowingly or unknowingly, than everyone else.

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The Four Ps of Creativity

June 30th, 2009 by Aaron Shields
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Typically, we think about creativity in terms of the creative act, the product that solves a problem. Thinking about it a bit deeper, we recognize that there’s a person that solves a problem that results in the product. But, we tend to ignore the most important P of creativity: process.

Viewing creativity as a sudden act is found in almost all tales of great discoveries; it is the iconic eureka moment. The popular story of Samuel Taylor Coleridge writing Kubla Khan involves Coleridge having a dream, suddenly waking up and having the whole poem in his mind. Yet, when scholars looked at Coleridge’s notebooks and the poem, they found passages already written and lines borrowed from other people.

One of the classic quotations on creative inspiration is Wolfgang Amadeus Mozart’s: “When I am…completely in myself, entirely alone, and of good cheer…it is on such occasions that my ideas flow best and most abundantly. Whence and how they come, I know not; nor can I force them.”

Mozart also realized that his creativity was the result of hard work, but this is often ignored: “People err who think my art comes easily to me. I assure you…nobody has devoted so much time and thought to composition as I. There is not a famous master whose music I have not industriously studied many times.”

Creativity is something that everyone has access to; it is not the provenance of select individuals. Although there isn’t a rigid creative process, there are acts that can be undertaken to facilitate and develop the creativity ability. It isn’t easy but it can be learned.

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Wisdom From The Past: Qualitative Market Research

June 26th, 2009 by Aaron Shields
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We cannot use the random sample because informed opinion is not evenly distributed throughout the population…We can use the questionnaire only in broad form because we need maximum flexibility in recording the information if we are to allow the informed person to display every facet of his knowledge as he sees the situation.

-Alan R. Wilson. “Qualitative Market Research”
Harvard Business Review Vol. 30, no. 1 1952

Wilson wrote to subscribers of Harvard Business Review urging them to explore a new form of market research that could produce more actionable results than traditional quantitative methods: it was called qualitative research.

Although qualitative research is old to us now, any marketer would be wise to read Wilson’s article: I’ve seen many fall into pitfalls that would be easily avoided if they headed this wisdom from the past.

Wilson’s 2 main points are: 1) It’s not the quantity of the study subjects that really matters, but rather their quality. Those who know more about a subject are immeasurably more valuable for decision making than those who know little to nothing about your product and service. 2) Interviews should be open-ended rather than closed like the typical questionnaire. Questionnaires only allow you to select the best from a set of predetermined options that are being tested, whereas the open ended method allows you to select the best option, an option you may not have been aware of before the study.

Following these two ideas will help any business maximize the effectiveness of its research.

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Godin Misunderstanding Apple

June 23rd, 2009 by Aaron Shields
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Leander Kahney’s Inside Steve’s Brain, a look at what makes Steve Jobs tick, made me stop, jump out of my seat, and shout, “Are you serious?” It wasn’t caused by a sudden revelation or a scandal; it came from a passage clipped from an interview with Seth Godin:

Not everyone loves Apple’s advertising. Seth Godin, author of several best-sellers about marketing, said Apple’s advertising has often been mediocre. “I’m underwhelmed by most of Apple’s advertising,” he told me by phone from his office in New York. “It’s not been effective. Apple’s advertising is more about pandering to the insiders than acquiring new users. If you have a Mac, you love Apple’s advertising because it says ‘I’m smarter than you.’ If you don’t have a Mac it says ‘you’re stupid.’”

Apple’s advertising is not effective. Really? Are you serious?

In a 2006 talk, Godin told Google: “What I want to sell you really hard on is not that technology wins, ‘cause I don’t think it does, I think what technology does is that it gives you a shot at marketing. And, if you don’t buy into that then I believe that the company sooner rather than later is going to smash into a wall.”

Godin’s saying that Apple’s advertising isn’t effective, but technology only succeeds if the marketing works. And, Apple’s obviously succeeding, so I’m not sure I follow the logic.

Rather than being ineffective, I’d consider Apple’s advertising brilliant. Most new converts got hooked into the Apple brand through the iPod and the silhouette-dancing ads. These ads are some of the most inviting ads in the last decade: anyone can picture themselves as the faceless figures rocking out to their own tunes. The message is obvious: if you love music, come in.

Once you’ve already bought into the brand, why wouldn’t you want to stand out as a person making the best choice? This is what the advertising for these computers reflects: Apple is the better choice. And, sooner or later, if you don’t already have an Apple computer and you’ve already bought into the Apple brand, you’re going to want one to go along with that iPod or iPhone. Apple stores are even set up with this in mind: try the iPod or iPhone and while you’re at it why don’t you play with that pretty computer sitting next to it.

Apple’s advertising, as I see it, is really a two-pronged approach: (1) invite you in with the iPod advertising and (2) keep you there with the computer advertising. One makes you want to come in, and the other makes you want to stay there, all while keeping true to the brand’s identity.

Ineffective? Anything but.

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Spending In A Recession

June 18th, 2009 by Aaron Shields
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When asked to define the purpose of business, most businesspeople will proclaim, “To make money.” The problem with this view is that it results in misguided business decisions. Making money isn’t the primary purpose of business, it’s a byproduct. As Peter Drucker elucidated decades ago, the purpose of business is to create a customer.

Focusing on making money leads to short-sightedness and leads to a lack of emphasis on long-term strategies. During a recession, anything that doesn’t lead to immediate cash is in danger of being cut.

The two areas that contribute primarily to creating and keeping customers are marketing and innovation. Yet, these are often the budgets that most companies cut quickly. Marketing is perceived as an extra cost, and when revenue declines the immediate conclusion is that innovation isn’t working enough to warrant the budget given to it and its better to focus on known assets.

But, spending on marketing and innovation during a recession is what companies should be doing to take advantage of their competitors taking a misguided approach. With marketing your brand position will be strong whereas theirs will weaken (and you can probably get more for your money because everyone else is spending less) and you have an easier chance at dominating share of mind. With innovation, you’ll be forcing the competition to play a hard-to-win game of catch up when they eventually realize that they’re way behind the market position you have created.

Instead of thinking about cutting costs and gaining short-term stability, think about how you can spend wisely to drive your long-term growth.

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Overcoming Failure

June 17th, 2009 by Aaron Shields
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Meet three failures:

1) One of the greats in the field wrote an essay doubting the future of his chosen form of the medium. After trying to convince everyone in the company to greenlight his project, he found only one supporter. His project was later terminated and he was fired.

2) He graduated last in his class in his chosen field from an institution not well know for what he wanted to pursue. After college, he couldn’t find a job and his father even wrote a letter begging for help to get his son a position.

3) He was told he didn’t have enough musical talent to join the choir. Later, when his band tried to secure a record contract, he was told that guitar groups were on the way out, making his future success unlikely.

Who were these three men?

1) After being fired from Disney, John Lasseter took a position with Pixar and went on to change the field of animation with his landmark film Toy Story. Now, Lasseter is the chief creative officer at both Pixar and Disney.

2) After being forced to take a position as patent clerk, Albert Einstein went on to change the world of physics.

3) The boy with no musical talent was Paul McCartney and the band that had no future was The Beatles.

All three of these men share one thing in common: passion for their chosen fields.

Passion can propel you through all types of failure and it is rare to achieve real success unless you are passionate about what you are doing.

Passion causes the mind to be naturally creative. As psychiatrist Carl Jung noted, “The creative mind plays with the object it loves.”

What are you passionate about? How can you apply your passion to your work?

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Effective Brainstorming: Thinking Together

June 17th, 2009 by Aaron Shields
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Most brainstorming meetings devolve into debates and verbal essay contests over which of two ideas is better. This creates an environment that is counterproductive to true brainstorming and maximum productivity.

This battle is usually the result of not having everyone focused on the same objective at the same time.

When ideas are being generated, everyone should be generating ideas, and nobody should be evaluating the worth of the ideas.

When ideas are being evaluated, everyone should list the positives of each idea at the same time, and, later, the negatives, so as not to argue one idea over another before all the positives and negatives of each idea are listed.

By having everyone think in the same way at the same time, optimal results can be achieved rather than creating an argumentative environment that stifles creativity and productivity.

For more on getting people to think together, check out my free booklet over at The Cult Branding Company called Creativity in the Workplace, or Edward de Bono’s Six Thinking Hats.

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