Monday, July 25, 2011

Is Your Marketing Killing Your Consumer Electronics Product?

Every day, multi-million dollar consumer electronics products suffer the consequences of poor, lazy, ineffective, uninspired, unprepared, overly-technical, follow-the-status-quo marketing. Were it not for the intense media and consumer interest in high technology, the industry would be in big trouble. The products at retail are generally good, but the marketing ranges from atrocious to bad.

The consumer electronics industry is succeeding in spite of its marketing.

I define the most successful consumer electronics as those which have the most evangelists — passionate, high-energy communicators — among mainstream consumers. Based on my observations and experience, the most successful products in the industry are various Apple devices (the iPad, the iPhone, and the Mac), the Amazon Kindle, and the Netflix service. These three companies create more mainstream evangelists as a percentage of their total users than other companies. Think of the way these companies are talked about by your friends and family — more than likely you know an evangelist of one or more of these firms.

So, the question becomes, what separates them from other players in their markets?
First, the products share elements that elevate them above the consumer electronics commodity bin: all of them make people feel good, exceed already high expectations, and improve people's perceived quality of life.

But other devices that don't have evangelists also meet these three criteria for product excellence: consider HDTVs, digital cameras, even a good cable service.

So what's the difference between an iPad and a Samsung HDTV? Why does one create raving fans and the other create users? Why does the Kindle inspire a critical mass of mainstream consumers to tell everyone they know how much they love the Kindle, while Kodak digital camera customers simply takes pictures and stay quiet? (Have you ever heard anyone say they don't like their Kindle? I've talked to hundreds of people about it, and I haven't.) The Kodak camera is a great, affordable device, but the company does not enjoy mainstream evangelists.

The difference is marketing.

And while there are many actions that separate the best from the rest, after years of working with top consumer electronics brands as a marketing consultant helping clients brand, position and evangelize their products and services, I've realized that it all comes down to three things: knowing what your customers want, giving it to them, and then communicating about it simply and relentlessly.

Let's look at each one:

Knowing What Your Customers Want

Apple knows what its customers want because of its CEO, Steve Jobs. He has proven that he knows, on instinct, what will succeed with consumers. In fact, he famously avoids customer input and focus groups because he is so sure about his own gut feeling. But because your CEO is not Steve Jobs, you'll have to do talk and listen to your customers like crazy. This means qualitative, one-on-one interviews. They can be brief — ten minutes is often enough. But you must allow yourself the opportunity to probe and ask follow-up questions based on their responses. This eliminates online surveys and focus groups.

Here are 10 questions to ask:

1. Who in your home uses our product?
2. Why do they use it? (Leave it open ended, just like that.)
3. What do you do with the product?
4. What features do you use most? Why?
5. Which features do you NOT use? Why?
6. What's your favorite thing about owning this device?
7. What do you tell your family and friends about the device?
8. How does our product improve your life?
9. Describe our product using three descriptive words.
10. How does our product make you feel?

These questions get you away from technical specifications and move you towards the real-life value of your device.

I often conduct these interviews for clients — big brands, companies you hear about frequently — and I can tell that the findings are almost always surprising to my clients. The language consumers use to describe my clients' devices is simpler and almost entirely focused on the life-improving outcomes of the products. Out of 100 customers, maybe one or two talk about technical specifications, the rest focus on real-world emotional value.

Giving it to Them

In asking the questions, you learn what your customers want. The answers to these questions become the most powerful consumer marketing language you can possibly use. The words of your market are the best language for your market.

I can tell you about any number of my clients who have executed this approach successfully, but cannot elaborate here due to confidentiality. However, if you want an extreme example: Microsoft (not a client) did this recently with its wildly successful "I'm a PC" television advertisements. These were simple, straight-forward, feel-good, emotional and featured real people — happy, hip, pleased with their experience — talking about exactly what parts of a Windows PC improve their life. These were powerful commercials, allowing viewers to immediately identify how a Windows computer might affect their day.

Communicating Simply and Relentlessly

I've found that simple always wins in marketing. The less technical specification the better. In consumer electronics, "simple" is the answer to this question: How does this product improve people's lives? And relentless means you must never stop communicating. Even pauses are harmful. Look what happened to Palm, which, at one point, just stopped communicating with customers. In consumer electronics, if you stop communicating, gravity pushes you out of people's minds. The competition will pass you by in three seconds. You must innovate and execute your marketing relentlessly just to maintain the advantageous position you've attained.

If you've attained a space on retail shelves, I can say fairly confidently that your product is good enough to attain evangelists. The rest, the magic, is in the marketing.

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