RE: Do you enjoy large-scale advertising? http://www.motherjones.com/media/2009/05/hard-sell-how-mad-men-spin-recession
In a striking admission of the chaotic new reality, in March the advertising goliath Ogilvy & Mather—which counts Coca-Cola, Ford, Kraft, and IBM among its blue-chip clients—launched a dedicated Recession Marketing Practice. Brochures announcing the new venture ooze confidence, but also give off a slightly ominous vibe; they open with a quote from Charles Darwin ("It is not the strong, nor the intelligent who survive, but those who are quickest to adapt") and prominently feature Ogilvy's fatalistic motto: "We sell—or else." ...
Conveniently for ad firms, students of recession and depression economics (from Wharton professors to basement-dwelling business bloggers) advise spending as much on ads as possible—to "steer into the skid," rather than slam on the brakes and wind up in the ditch. According to Ogilvy's own stats, companies with enough cojones "to increase marketing spend" will dramatically enlarge their market share during the recession and—just as enticingly—recover an average of three times faster once happy days return. Counterintuitively, product visibility, more than price cuts or gimmicks like BOGOF (buy one get one free), drives consumers' purchases in tough times. Better, in short, to blow your budget on aggressive advertising than to lose money offering discounts.
But the real challenge—the art, even—of recession marketing is perfecting a pitch that doesn't emphasize your hunger for your cash-conscious buyers' cash. Ogilvy recommends using "reassurance messages"—acknowledgments of the current situation, couched in a spirit of we're-in-this-together-ness. A good example is a recent Allstate commercial, in which Dennis Haysbert (known as 24's crisis-plagued first black president) intones over a Ken Burns-style slideshow of Depression-era photographs, "1931 was not exactly a great year to start a business, but that's when Allstate opened its doors." He goes on, "After the fears subside, a funny thing happens: People start enjoying the small things in life—a home-cooked meal, time with loved ones, appreciating the things we do have, the things we can count on. It's back to basics, and the basics are good." What exactly home cooking has to do with car insurance is unclear, but that's the point. Allstate is feeling our pain.
Not that any of this has to be true or even reflect consumers' best interests: Reassurance messages, Ogilvy notes, "don't need to be purely rational, of course. Indeed, there is growing evidence that emotionally based messages are more persuasive than rational ones." Hard to believe companies pay big bucks for news flashes like this.
[Edited by Jacek K. on May 19, 2009 3:39 AM]
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