valuable quote

The mechanics for a successful launch are simple, but often forgotten, says Dave Woodward, ex-P&G now head of Heinz UK & Ireland - "You need to gain distribution, stimulate trial, stimulate repeat purchasing and finally encourage multi-purchases and long-term loyalty"

Why Brand Licensing is like sex.

Licensing is like sex. With good sex, all the effort leads to deep satisfaction with both sides enjoying the moment. Bad sex leaves one side feeling dominant and the other feeling cheap, dirty and used. Ugly sex, on the other hand, leaves both sides mystified why it happened with noone wanting to talk about it any more.

Whilst there are plenty of guides to sex, there aren’t that many devoted to licensing. In fact in the guides to marketing and branding I’ve come across there’s usually several chapters about brand extension but rarely more than a cursory paragraph or two about licensing as a way of executing a brand extension. Licensing seems to generally be considered by marketing gurus as either a low-key, unimportant activity or a dirty little secret.

To read the rest of this article, you'll have to wait until the September edition of the Brand & Sport Licensing source book...

intriguing signage

Have to admit to being a bit of an addict when it comes to weird public information signage and couldn't resist taking a picture of this one. Whilst travelling recently I came across this one which begs the question: How many people were alarmed by noisy flushing before the need to print this became a priority?

holiday blues

As I predicted to the wife on the return from holiday, Tuesday is the cruellest day after the excitement of being back at the desk is over and the afternoon is the time when the blues are most likely to strike.

So here's the news of the blues most definitely arriving, there's a lovely sunny day outside though - perhaps that's the antidote....

latest brand licensing newsletter

Yes, once again a quarter comes to an end queuing up another flurry of royalty reminders and reports. For the latest exciting brand extensions, see the newsletter

negotiation workshops

Note: If you're about to go on a negotiation workshop, do not read this.


The red black game that all negotiation workshops use involves splitting the group into two teams, and getting both sides to try and achieve the maximum score by having them announce a vote of red or black. If one team votes red and the other one black then the red team wins 5 points and the black team 0, but if both teams vote red, then they both get 10 points. So after 10 rounds the score is announced and one team usually wins. At this point the facilitator will announce that both sides have lost because the aim was to achieve the maximum score which would have meant both teams voting red consistently.

As the dust settles, and the 'yes buts' get aired, it gradually dawns on the group that the purpose of negotiation is to work towards a common goal rather than get one up on an opponent.

been a while

Been a while since the last post. Mainly because i've been flat out whilst also having the entire house virtually knocked down and rebuilt. The cost of the building work is far outweighed by the inconvenience. Having nowhere to live and feeling like a refugee is uncomfortable enough for one person, never mind a family of four.

Delighted by my first legitimate comment after 4 years of blogging - a true reward for all the hard work.

Am about to launch Harry Ramsden's Deep Fat Fryers - with the Oil, Batter Mix and baking tray you may never need a fish and chip shop again.

The other hot topic is Heston Blumenthal who i met for the first time on Friday. Very modest and unassuming, almost bashful actually.

More to come no doubt....

Product is go....

Well, this is it. After 3 years of hard slog and continually raised and dashed hopes it all comes down to about 6 skus in Tesco. Ironic that after all the blood, sweat and tears my first mainstream product is an anti-perspirant.

spring fair news

back from Springfair and finally after several years of doing this job it was gratifying to actually see some products on display that i'd had a hand in over the years. Not only that but a positive response to new client - jean-pierre got.

The only downside of spring fair was the fact that they'd moved all the halls around. While I was running from one side of the show to the other for a meeting - a quick 10 minutes hike - i happened to glance the front page of show daily which read 'new layout a success'.

Considering everyone looked completely lost and most of the exhibitors i spoke to were severely pee'd off, I'd have to say that they were taking a small liberty with the truth.

Back and in the thick of it now....

had a meeting in town on day of snow and three of us arrived at 9.00 sharp - client never showed up!!!

it's a number game

Licensing can occasionally be like prospecting for gold. If you know where to look, and you're very lucky, you might just find the motherlode.....just don't forget to stake your claim in all the excitement....

strange old start to the year

Well it's definitely 2007 and if i had to guess i'd say this is going to be a really weird and off the wall year. Whilst it seems ominously calm and i'm doing my best not to agonise whilst, once again, waiting for more tectonic plates to roll into gear. Business is firmly established now (four years in and counting) and so the thinking is more mature, and yet at the same time i'm sure the next barrier is the biggest one yet - yes it's time to take on the animal that is the retail buyer.

Up till now my only experience has convinced me that these people were best avoided... but now i'm afraid the time has come to take on this next challenge.... wish me luck...

reflections on 2006, forecast for 2007

So 2006 draws to a close. On a personal note and despite physical evidence to the contrary, i hit 40 this year. With a cultural past very much routed in the previous millenium I can't help feeling slightly outmoded. Phenomena such as Myspace, Second Life, You Tube, and the vast wave of other websites that us over 20s haven't heard of, mean that if you're age 14-16 you spend on average 2 hours less time watching television than us 'experienced' consumers.

What does this mean? Well, age tends to kick the legs away from previously laid cultural foundations. I can't help smiling when I hear Chris Moyles quoting Derek Jamieson with his 'Do they mean us impersonation' and then suddenly remembering that most of his audience won't get the cultural reference.

So as my generation goes slowly past its sell by date, the longed for certainties of life start to fade into a distant memory.

What does this tell us about 2006? Well for me, the next 2-3 years are when the new decade will start defining itself. If the 80s were about powerdressing and greed, the 90s were caring and revolutionary, what will the 00s be about? The dawn of the green age? The audience generated content age? CCTV on demand? Probably the farthest reaching cultural event of our time is 9/11 and the London bombings, I think and hope that we're going to experience a serious backlash against the war in Iraq and the fascistic state in some way shape or form.

In London I'd expect the run up to the Olympics to be the start of a clearly defined generational push back against the voice of authority. If you combine the flashmobbing trend with a political agenda, you might get something interesting....perhaps towards the end of the year.

Of course the transition from Blair to Brown to Cameron will also have a huge impact on the country, so expect this to have a long-lasting impact. (If Blair does in fact go...)

So my reflection and forecast are that our long-lasting cultural foundations will be even more quickly eroded but new foundations will be laid. What's the impact of all of this on the brand licensing front? Well, it's use it or lose it for any brand that has spent millions over the past 5 decades building a brand through mass market advertising. Brand Equity is just one more cultural phenomenon like Humphries, Pick up a Penguin, You only get an OO with Typhoo and all the other dreadful slogans that you'll instantly remember but the new generation never heard, not even once.

Considering that the sort of advertising that we put up with as 9 year olds is no longer legal and that our children now get their media fix from DVD's Mobile, PSPs and other games, and you have a recipe for brand degradation unless you can reach the new audience of consumers. Advertising can't reach them so you better make sure your product does....What would happen if a whole generation stopped eating Heinz tomato ketchup? Surely no amount of advertising could build the current brand loyalty? Distribution is king.... if you're not out there, you're nowhere.... so get your brand going on or see it gone....in 06/07 and beyond

a mobile week

Covered about 1,000 miles driving from London to Leeds, South Yorkshire and Scunthorpe and then back to London on what was probably the foggiest day of the year. Helpfully, every so often there were signs saying Fog, so i didn't think it was part of an ensuing alien invasion.....

Anyway, here's a great link to the latest Tipping Sprung Survey of brand extensions... more amazing things that exist for no obvious reason....http://pdfserver.emediawire.com/pdfdownload/493223/pr.pdf

AAAAAAARGGGGGGGGGH

Only onomatopaeic words can describe the feeling of losing four and a half hours of work because your computer suddenly crashes. Now my work is sullied by the recollection of the pain of losing that initial inspiration.... gutted

Oops there goes another food manufacturer

Don't blink or you might miss Premier Foods acquiring another company. To think that the year started with Quorn, Hovis, and OXO all under separate management is to recognise that Premier are hoovering up underexploited brands. The city certainly approves of the strategy and, as someone who positively encourages brand extension, i'm hardly likely to criticise. The only gripe from my point of view is fewer potential clients.

How long before there's an outsourced brand management department in every VC fund's portfolio?

yet more observations about marketing

I have subscribed to marketing magazine for the past 2 years and also subscribe to the on-line version. Other sources of research include the FT and The Grocer as well as some less well known places.

In today's marketing magazine there are two apparently unrelated pieces on pages 2 and 3. One is about the website 'second life' which is a virtual world with about 1.2M members. Apparently advertisers are buying space and investing in appearing within this virtual community. On the other page there's a picture of the recent Vauxhall Astra campaign of cars in incredibly daring stunts.

What these two pieces have in common is a divergence of opinion about marketing. In the on-line world, advertising is measurable, monitorable and can be easily marked against ROI. If I advertise on second life and 300,000 of its members see my campaign and 30,000 look for more information and 3,000 click onto my landing page and 300 make an enquiry and 30 buy something, well that's good isn't it? My £30,000 bought me 30 customers. Provided i make more than £1,000 per client i should keep spending money.

The Vauxhall Astra campaign is the opposite. How many times have i seen these flying cars? What do i think about the advertisment? Am i more likely to buy an Astra at some point in the near future? Has my opinion changed about Vauxhall and Astra since seeing the ad repetitively? These are the great unknowns of mass marketing.

What's interesting about the increasing trend towards spending marketing budgets online is the failure to appreciate the need to reach beyond the core market. This non-buying, non-receptive mass receives a far more complex message than the 299,970 people who didn't click on the banner advertisement on second life. Maybe they receive messages that reach into the future, that one day, when Vauxhall actually produce a product that goes beyond the astra and truely hits the customer sweet spot, there will be an understanding that this brand cares about them and their needs even if they only just got round to meeting them.

In other, fewer, words - mass marketing is branding, on-line advertising isn't. In this context, branding is selling to people who don't want your product on the basis that at some point in the future, they will want your brand.

When i used to sell advertising and my customers complained it didn't work i'd say, "yes, but think about the branding." I guess this is what i meant...

an odd day

A day of offering free general purpose advice to a wide range of people including: relationship difficulties website, pornographic magazine looking to extend, children's educational brand, and finishing with something rather curious... an unsolicited enquiry.. a very varied menu

the worst sensation in the world

Possibly the worst sensation in the world is when, after months of elaborate work and great endeavour you realise you've actually built your own booby trap.

dancing round the maypole

If your company is like mine calling it an organisation is probably an abuse of the word. Most companies are like a maypole.

Speaking as someone who works in licensing, I start working for the marketing department. Someone recognises that there's a thing called licensing and they'd like to know more. Once the marketing department gets excited, legal get involved and then accounts, production and anyone else who wants a say.

The various departments all spin round the brand and the more involved i get with them, the less power they have, until eventually if things progress far enough the whole thing ends up logjammed around the all-powerful, immovable centre.

the show must go on..

Well, yes we exhibited at brand licensing and yes it was, I think, a success. But on what level can success be judged? Answer:

did you actually manage to get a nice looking stand up?

yes
did you actually have people come to the stand who expressed an interest in it?

yes

so that's that then really isn't it. except of course the conclusion is 'once you've done it one year, you probably have to be there next year' and thereafter.....

word 1.0 was probably a lot of fun to create, not sure about word 6.0... feeling very tired suddenly, most probably just need a lie down....