Gillette’s Controversial Campaign

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Our society continues to become increasingly polarized and we see that polarization spill over into marketing campaigns as well.  One recent example is Gillette’s campaign, We Believe.  The commercial calls out bullying and harassment, challenging men to rise above the stereotype of toxic masculinity.  According to this MarketingDive article, the campaign was met with 1.1 million social media and news mentions within the first 24 hours of the ad’s launch which represented a 215% increase in brand mentions compared to the previous 24 hour period.  As you would expect, not all of the mentions were positive but overall consumer impressions were very positive (79.6% of survey respondents saying they liked the ad) and the majority of respondents thought the ad was very memorable.

This can be used in a discussion about different forms of advertising (this seems to fit the institutional advertising definition best), it could be discussed in context of evaluating the social environment, and possibly even an ethical discussion – could campaigns like this be viewed as disingenuous or backfire on the company?

He Knows if You’ve Been Naughty or Nice

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Welcome back, I hope everyone had a restful and relaxing holiday with friends and family!  When I saw this Marketoonist cartoon I thought it was very topical for the start of a new semester.  Marketing should be all about informing and enabling consumers but there’s always the risk (and temptation) to push ethical boundaries.  As we welcome a new batch of students, talk with them about where those boundaries lie.  Is it intrusive if consumers give permission to track information?  What if they didn’t opt-in but instead you utilize an opt-out strategy?  Are we doing a disservice to customers if we don’t utilize available tools and technology to optimize our messages?

2018 Brand Failures

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We generally focus posts on clever, interesting, and/or effective marketing news but this post is all about marketing failures.  Marketing Dive recently posted an article titled “Relive the year’s 6 biggest brand fails — they carry important lessons for marketers” that covers failures from Facebook (via Cambridge Analytica), Papa John’s, McDonald’s, Heinekin, Snapchat, and the digital media ecosystem.

The causes of these failures are varied but the impact is significant.  For instance, following a redesign of the Snapchat app, influencer Kylie Jenner tweeted that she didn’t use the app anymore.  That tweet erased $1.3B of Snapchat’s market value overnight.  McDonald’s tried to show support for Women’s Day by flipping their golden arches upside down but it wound up being perceived as a publicity stunt and drew attention to some of McDonald’s own issues related to it’s female employees.  The article covers these issues and more as well as talking about some of the lessons to be learned from each case.

Facebook’s Slow Burn

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Facebook has been plagued by negative publicity for the past couple of years but according to this article from AdAge, they don’t appear to be losing any advertising dollars.  From all appearances, Facebook seems immune to issues resulting from high-profile hacks, Russian political interference, privacy issues, negative press, and more.  Perhaps Facebook’s plethora of problems stems from their long-time motto:  Move Fast, Break Things.

The lack of impact in advertising dollars to Facebook seems to fly in the face of a consumer society (primarily millennials) who value transparency and social responsibility.  According to the AdAge article, many industry executives are urging caution and suggesting the tide might turn against Facebook if they can’t get a handle on their business.

I find the situation interesting, especially considering the fact that Facebook is now considered “old person social media” (at least according to my students).  Perhaps the millennial desire for social responsibility won’t have an impact if advertisers aren’t focusing on that demographic.

As a side note, the article also talks about efforts made by a firm with ties to the Republican party that have tried to push lawmakers off of Facebook and onto Google and Apple.  This can provide a good example for students of how the political/legal environment can potentially influence the business environment.

Ever-Increasing Airline Fees

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Jet Blue and United Airlines recently raised their checked baggage fees from $25 to $30 for the first bag checked (see this article to read more).  Just 10 years ago checked baggage fees were unheard of but they are the norm today and airlines are increasingly looking for ways to add charges and fees to improve their bottom line.  Air travel is basically commoditized and, as a result, leisure travelers tend to search for the lowest price when booking travel.  This significantly hurt airline profitability until they started charging additional fees for checked bags, carry-on bags, early check-in, seat reservation, leg room, in-flight snacks, entertainment, and more.  Now airlines can benefit from the high margin they get on these fees yet still advertise low fares.

This topic presents numerous angles for a conversation with students.  Is it ethical for airlines to advertise low prices when the end price a consumer will pay will likely be significantly higher?  Why were the airlines able to enact this trend in adding supplemental charges?  i.e. if one airline started charging for checked bags, why didn’t others push free bags as a differentiator?  How does the airline industry’s status as an oligopoly affect this market dynamic?  How do business travel and loyalty programs make it easier for airlines to push price increases like this?