Tag Archive for "New consumer"

Posts Tagged ‘New consumer’

When the Funnel Becomes the Bucket

Nov 20, 2009 | tags: advertising, bike industry, Channel Signal, Climbing, Grass-roots marketing, Influencers, Marketing, New consumer, New media, New media. outdoor recreational industry, Outdoor Industry Association, Outdoor Retailer, public relations, snowsports, snowsports industry, social media, Sporting Goods Manufacturing Association, Strategy

Recently I wrote that the distribution of information had always been a funnel but it had now turned right side up. The mouth of the funnel is wide open and consumers are publishing because it is easy and they have opinions. The good brands are building these funnels, advertising their communication portals (Facebook,etc) , attracting consumers, collecting opinions, engaging, finding their voices and constructively inviting/channeling consumers further down into the brand storyline. During this process the brands are quietly measuring their effectiveness, learning, and becoming much better communicators as consumers elect to engage more deeply. They are collecting excellent data on Influencers, athletes and active consumers as the information travels down the funnel.

In recent conversations I have been painfully reminded that many me-too brands in the Outdoor Industry are not building solid funnels but building buckets with holes and no bottom.

How? Well, these companies crow that they have a Web Site, Facebook Page, are on Twitter, YouTube, and Flickr.

And consumers are initially engaging…entering the bucket. But they are not directed or invited to go anywhere. They just sit in the bucket, quickly draining to the bottom…without direction.

And then an analyst from Channel Signal investigates. We find that they had good sign-up for the Facebook page, a decent following on Twitter, and that YouTube and Flickr had good traffic, but that it fell off quickly.

Why did the traffic fall off? Because these companies did not allocate the resources to engage. Employees were not assigned to respond to consumers, and direct them to the next point of interest. Consumer questions and comments went unanswered. They were not invited to go to Facebook or the Website, or YouTube, or a User Group. And because there was no natural momentum of engagement, no funnel, consumers were stranded and then took the easy way out….quickly out the bottom of the bucket. They were invited to the conversation and then nobody talked to them.

So they didn’t stick around. And they took all of their knowledge about the brand with them.

A study by the Chief Marketing Council shows that 38 percent of the 480 executives in the industries surveyed say their companies have no programs in place to track or propagate positive word of mouth among customers. And only 29 percent rate highly their ability to handle and resolve customer problems or complaints

All that money to make products that attract consumers. All that money to sell into retail. All that money for advertising to attract consumers. All that money to set up conversation channels. And then the pay-off…consumers responding online by engaging in one of the channels. And…

And silence. All that wonderful potential data about consumers and what they like and don’t like about your brand and products…out the bottom of the bucket. And all those potential Influencers, gone.

Never to be captured again.

Say goodbye to measuring ROI.

Paul Kirwin, Founder and CEO of Channel Signal

The New Consumer and the Outdoor Industry

Dec 15, 2008 | tags: New consumer, New media, Outdoor Industry, Snowsports Industries

Just read a great piece of research called Grounding the American Dream. Put together by Context Based Research Group and Carton Donofrio Partners, Inc., it makes some strong points that outdoor recreational businesses ought to examine. Here’s a short entertaining video on the Grounded Consumer.

Here’s my take.

1. “What you buy is not who you are.” Consumers are now realizing that purchases don’t reflect personal identity. So, purchasing is going through a tougher filter.

2. “Living on credit sucks.” Consumers don’t want that monkey on their back anymore. Enough and be gone.

3. ” Me is okay, we is better.” Consumers are beginning to balance what is good for them with what is good for others in their lives…family, friends, and social issues.

4. “Too much stuff.” The late George Carlin had a great bit about “stuff”. Everybody needs places to put stuff. Well, consumers are realizing they have too much stuff. It costs money and much of sits idle.

5. “I want to change, but keep the stuff that is important.” All of the above points lead to consumers making major decisions about lifestyle, personal identity, and social causes.

What does this mean for the outdoor industry? Some good things, I think. People will take their recreational pursuits seriously. And they will continue to purchase outdoor recreational stuff because that part of their identities will stay in tact. They like that about themselves.

In fact, Snowsports Industry of America is reporting that sales figures are up over last season: 6% for integrated ski systems and 8% for winter apparel. And the Outdoor Industry Association reports that October core store sales grew by 8% over October of 2007.

New media is helping here. Thousands and thousands of consumer reviews are being read every day by thousands other consumers. This viral link is driving consumers into brick and mortar or online and giving them the confidence that the product is a good buy, and well worth it.

Another good thing. Our industry has over designed and over-enginnered the crap out of our hard and softgoods for so long that we don’t know any other way. We have two different technologies in our socks! So…our stuff is good stuff and it lasts a long time.

Now, we need to go sell that through the new media channels. Why? Because that’s where many of these new consumers will interact about an important part of their revamped lifestyles.

Paul Kirwin, Founder and CEO of Channel Signal