Posts by Jessica Vaughn - New York

A bit of ‘optimism’ with every NYC transit ride

Published by Jessica Vaughn - New York on February 22, 2010 in North America. 0 Comments Tags: , , .

Promoting optimism through difficult times has been a recurring theme among marketers. Now New York City’s Metropolitan Transportation Authority is doing the same—very literally—through a public art project. Beginning last fall, the MTA’s Authority Arts for Transit, one of the world’s largest public arts institutions, began adding the word “optimism” to the reverse of 14 million MetroCards.

The idea comes from graphic and conceptual artist Reed Seifer, whose Project Optimism originated in 1995 as part of his senior art thesis. His goal is “to communicate a sense of positive, forward-looking energy into the hands of those using the MetroCard through the simple use of the word.” Rolling out the project in the midst of a recession was a simple and timely idea for a city that’s been badly bruised by the downturn. Its residents are hurting—as of December, Manhattan had the nation’s highest level of unemployment—and Wall Street has become a symbol for all that was wrong with the economy before the bust. “Optimism” is a heartening message for a city that can certainly use a smile.

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Photo Credit: The optimism MetroCard by Reed Seifer/Artwork commissioned by the Metropolitan Transportation Authority/Photograph by Michael Valcic

Hyundai stands firm with the little guy in timely transition messaging

Published by Jessica Vaughn - New York on February 4, 2010 in North America. 0 Comments Tags: , , .

As we’ve noted, a couple of recent commercials are tapping into today’s populist sentiment. Hyundai does a good job of this in a recent spot for the popular Assurance Program, hammering home its commitment to the little guy. While “the dust has started to settle, and some indicators are up—especially for the big guys,” Hyundai understands that many people are still anxious. So it’s sticking with its Assurance Program, reassuring viewers that “The economy hasn’t really turned around for any of us until it turns around for all of us.”

An Ad Age article, “Now’s the Time to Reset Marketing for Post-Recession,” cites this spot as an example of messaging that “bridge[s] from recession to recovery.” But a real recovery isn’t likely to happen soon—as we noted in our 10 trends for the year ahead, consumer spending in 2010 will look very much as it did last year, with people continuing to exercise restraint until they see more clear and dependable signs of stability. By addressing the current sense of instability—and the resulting anxiety—head on, Hyundai offers yet another example of smart marketing in a downturn.

Best Buy promotes collective retail consumption

Published by Jessica Vaughn - New York on January 22, 2010 in North America. 0 Comments Tags: , .

best-buy-pitch-inThe recession saw many consumers postpone big-ticket purchases, a challenge that electronics chain Best Buy is addressing with its novel Pitch In card. Think bridal registry meets microfinancing meets layaway. Best Buy terms it “easy group gifting.”

Customers looking for help financing a purchase create a Pitch In card along with a Best Buy wish list, which they share with friends and family. Gift-givers can contribute payments ranging from $5 to $9,999.99. “It’s the perfect way to get that big Wish List item you’ve been dreaming of,” says Best Buy on its Web site.

Recently we’ve seen a rise in collective action, with people increasingly understanding that every bit counts in addressing today’s big issues, from the economy to the environment—adopting a “we” rather than a “me” mentality. While we’ve seen similar efforts in the independent music scene, Best Buy is charting new territory by bringing this idea to the commercial realm, enabling consumers to tap into the collective conscious of their friends.

It’s a great example of how brands can help spur spending without relying on steep discounts while their customers are laying off the plastic.

Photo Credit: www.bestbuy.com

Kia Motors drives on toward a brighter tomorrow

Published by Jessica Vaughn - New York on January 13, 2010 in North America. 0 Comments Tags: , , , .

Kia Motors envisions a new future for the American auto industry in a spot introducing the company’s West Point, Ga., plant, its first manufacturing facility in the U.S.

The commercial features a young boy in 1951 riding a bicycle through time straight into 2010 and the company’s brand new Georgia plant. As the boy rides, a voiceover describes how Kia has evolved over the past 60 years from a bike manufacturer to a leading international automaker. Kia attributes its success to the company’s progressive spirit. Since the 1950s, Kia has continually challenged itself to “come up with better ways to help people get around.” The voiceover goes on to say how the new, state-of-the-art manufacturing facility in West Point, Ga., is the company’s proudest achievement yet, not because it demonstrates how far Kia has come, but because it offers “a glimpse of where we’re headed tomorrow.” The commercial concludes with Kia’s past and present alongside each other as the boy and his bike watch Kia’s newest car, the Sorento, drive off into the future.

This spot provides an excellent example of how hope-filled rather than fear-filled messaging can help brands transition into recovery. Instead of focusing on the auto industry’s turbulent past, Kia is shining a light on the future promising better days ahead for the American auto industry and auto worker. In this spot, Kia offers a future in which consumers will be better off thanks to the ambition, innovation and optimism at the core of the company.

Cooperative consumption enters the New York art scene

Published by Jessica Vaughn - New York on December 17, 2009 in North America. 0 Comments Tags: , .

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We’ve blogged about deal-seeking fashionistas using sites such as Bag Borrow or Steal and Rent the Runway during the recession to rent designer bags and dresses. Now, a similar venture called nAscent Art New York aims to “bring art back from the stratosphere to prices within reach of everyday people,” as co-founder James Wallace told artdaily.org.

For $99, a nAscent Art consultant will visit a client’s home or office to match works from the company’s catalogue of emerging New York artists. The client then pays a monthly rental fee for the work, a portion of which can go toward its eventual purchase. Renters who choose not to buy can simply trade in their artwork when they want something new.

The recession has had a sobering effect on the contemporary art market (after 10 years of explosive growth, the art auction market saw a 75 percent decline in sales this past year), leading many sellers to investigate alternative distribution channels. Could “cooperative consumption” (as we’ve termed the spread of the timeshare concept) and rent-to-buy models be one solution? We’ve seen these models win converts in new categories during the downturn, and we’re likely to continue to see experimentation in categories that once seemed unlikely candidates for this concept.

Photo Credit: Andrew Wingert, an artist who works with nAscent Art New York

 
 

Macy’s seeks to inspire holiday shoppers with ‘Believe’ campaign

Published by Jessica Vaughn - New York on December 3, 2009 in North America. 1 Comment Tags: , .

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“This holiday, America will be inspired to believe again,” says Macy’s chief marketing officer Peter Sachse. The department store’s “Believe” campaign expands on last year’s holiday promotion of the same name. It includes a contest that asks participants to explain “why you believe in the magic of the season” via a video clip or brief essay (the prize is a trip to next year’s Macy’s Thanksgiving Day Parade in New York). Macy’s has also designated Dec. 11 “National Believe Day”—street teams across the U.S. will recognize and reward random acts of kindness and generosity.

As we noted in our second AnxietyIndex Quarterly, rather than take a defensive approach to the recession, brands should go on the offensive, finding opportunities where everyone else sees challenges. Macy’s has done just that: Instead of focusing solely on discounted pricing and “more for less” messaging this holiday season, the “Believe” campaign seeks to inspire consumers by returning to the core value of hope.

Photo Credit: macysinc.com

Godiva sells chocolate’s ‘golden moment’

Published by Jessica Vaughn - New York on November 25, 2009 in North America. 0 Comments Tags: , , .

GodivaA new campaign from Godiva focuses on “the golden moment” of eating a delicious piece of gourmet chocolate. Whereas in better times the brand essence revolved around “luxurious celebration,” one new aim is to play up the “emotional appeal of giving, sharing, eating Godiva chocolate,” Godiva’s Lauri Kien Kotcher told The New York Times. The print and outdoor ads feature black-and-white fashion shots of young British socialites experiencing moments of joy that are easy to identify with (a romantic embrace, laughing with friends, etc.).

We’ve noted that candy sales have spiked during the recession and that this is one indication of the recession-era appeal of simple pleasures (one of 10 trends we forecast for 2009) and small treats. Godiva’s shift in focus to emotional indulgence is a smart move in tune with today’s definition of luxury. Anxious consumers are looking for ways to squeeze more enjoyment out of what they can afford. Godiva is effectively increasing the pleasure/price ratio by providing consumers a means of feeling good without a high price tag. Instead, Godiva is encouraging consumers to derive more satisfaction from moments of simple delight.  

Photo Credit: love-janine

Toys ‘R’ Us jumps on the holiday layaway bandwagon

Published by Jessica Vaughn - New York on October 28, 2009 in North America. 0 Comments Tags: , , , .

layawayToys “R” Us is following the lead of Kmart and Sears in offering shoppers a layaway option for the holiday season. “The Big Gift” program helps people pay for bigger-ticket items such as bikes, swing sets and baby furniture: Shoppers put down 20 percent of the total purchase and pay a $10 service fee, then pay off the rest in small, interest-free increments. Participants must make the final payment by Dec. 6 for items to be delivered in time for Christmas. Toys “R” Us has said it may extend the program beyond this holiday season if it proves popular.

In what is likely to be a tough holiday season, layaway is a smart way to attract consumers who don’t have credit or want to avoid piling on more debt. And after nearly two years of recessionary living, people are becoming accustomed to delayed gratification. eLayaway.com, which administers online layaway programs for retailers including Best Buy, Apple and Dell, has seen business double over the past year, according to the Chicago Tribune. Surprisingly few retailers are adopting such programs: “I’m surprised we haven’t seen more companies announce layaways at this point,” Ellen Davis, vice president of the National Retail Foundation, recently told the Tribune.

Manhattan steakhouse provides high-end dining with a side of deception

Published by Jessica Vaughn - New York on October 9, 2009 in North America. 1 Comment Tags: .

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Manhattan businesspeople longing for the good ole days when expense accounts ran high are the target of an innovative marketing idea from pricey midtown steakhouse Maloney & Porcelli. “Expense-a-Steak,” deemed “one of the cleverest ideas we have seen in 24 years of AdReview-ing” by Ad Age’s Bob Garfield, is an app that aims to lure back corporate clients.

At expenseasteak.com, patrons fill in the amount of their Maloney & Porcelli bill and the site generates a printable PDF of phony receipts for taxis, deli lunches, office supplies and the like. And voila, the meal can be expensed on the sly. Garfield reports that 61,000 fake receipts were downloaded in the site’s first four days.

To complete the stealth experience, Maloney & Porcelli provides “camouflage” doggie bags. Walrus, the boutique responsible for the campaign, explains that the restaurant offers a choice of bags sporting the logos of cheap-and-basic restaurants, leaving patrons “completely invisible to the watchful eyes of the etiquette police.” It’s a perfect realization of “brown bag luxury,” a trend we cited in our “90 Things to Watch for 2009” forecast.

The campaign’s over-the-top tone provides telling insight into current perceptions of luxury spending—since living high on the hog is looking more and more like the spoils of crime, people are going to great lengths to avoid seeming like accomplices.

Ethical questions aside, this strategy can only benefit Maloney & Porcelli. With many high-end restaurants relying on promotions and discount messaging, Maloney & Porcelli is attracting interest by staying true to its core image as a place for luxury dining. When the economy recovers, the restaurant won’t have to worry about moving its image back up-market.

Photo credit: expenseasteak.com

Live Nation sells Passport to unlimited concerts

Published by Jessica Vaughn - New York on October 7, 2009 in North America. 0 Comments Tags: , .

Recently, JetBlue got buzz for its “All-You-Can-Jet Pass,” which allowed unlimited flights for a month for $599. Now concert producer Live Nation is offering concert junkies a $49.99 “Club Passport,” providing entry to unlimited shows in the pass holder’s metro area until the end of the year. Live Nation is promoting the program as a no-hassle, big-savings deal, but the Passport has a few strings attached. Passport holders can only get tickets for select shows at participating local venues, not all of Live Nation’s events, and the fine prints specifies that the Passport does not guarantee entry. So a Passport holder may easily be out in the cold if a show sells out quickly, despite an expectation of unlimited attendance.

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While the promotion seems like a good way to fill empty seats at a time when consumers are curtailing expenses, the qualifiers could leave some purchasers feeling a little burned. Perhaps Live Nation could address this in part by using its Twitter and Facebook feeds to let Club Passport holders know when a show is close to selling out.

Photo Credit: Livenation.com