Managing the Wobbly Economic Recovery

MENG Evening Marketing Leadership Town Hall Meeting January 21

MENG ChicagoMarketing leaders are in the line of fire. We’re on the road to the New Normal, but it promises to be a wobbly and unpredictable economic recovery. Fully exposed to the volatile pressures of an uneven recovery, marketing leaders must learn to navigate the change. This wobbling recovery will present challenges as we strive to manage reactions (and overreactions) within our organizations, markets and customers.
Join our  guest moderators—veteran marketing leaders— who will share experiences from current or past exploits, to spark discussion about how we might all learn to balance the wobble:

Gaye Van Den Hombergh, President, Winning Workplaces

Jerry Rosen, Chief Executive Officer, Rosen & Brichta

Shari Matras, VP Brand Management & Strategy at Career Education Corporation

Part one will address managing expectations and events that occur within the organization, such as increased expectations from top management as well as dealing with fear and anxiety from direct reports.

Part two will examine managing expectations from outside the organization, e.g., communicating with customers and maintaining a positive response to the information flowing in from the company’s audiences, such as through social media.

I hope you can participate in the passionate debate and creative ideation of the issues of managing the wobbling recovery of this economy. Attendees will have the opportunity to exchange their views, visions and apprehensions, helping to shape this leadership charter. See what the minds of MENG have to say, and be sure your point of view is heard!

Event Essentials and registration
January 21, 2010
Location: Information Resources Inc., 150 N Clinton St, Chicago, IL
Drinks and heavy hors d’oeuvre buffet
5.30p networking
6.30p – 8p program
8p-8.30p networking
Admission: $30 members, $40 non-members

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The facility for this event is generously provided by IRI

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Tis the Season to Venture Something New

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It’s the season for many things: festivity, shopping, and last but not least, connecting with people. The holidays are a time of year when many people acknowledge they want to feel more connected to others. They let their guard down and embrace the messages and experiences that are all around them. And in doing that, they discover a side of themselves they never expected.

Last Friday, in the spirit of connecting, we held our Torque holiday party. We opened the doors wide, and invited friends, clients, vendors and associates. It was a great success. What made it even better was having long-time friend and highly talented photographer Angela Swan photograph our guests in wildly unexpected ways. Angela changes what can be an awkward occasion into an engaging, spontaneous experience that makes for lasting memories.

Angela has modified her business model to be unique in a crowded market of event paparazzi and wedding photographers. She gently pushes, prods and cajoles party guests to leap with wild abandon into the air, where she captures them in a clear moment of euphoric glee. She calls her business Jump Shots, and hires herself out to events as a photographic experience. Her images are provocative portrayals of people indulging their uninhibited selves and connecting through pure play. They can transform an otherwise ordinary event into a lively surprise.

Angela is a great example of how a company can depart dynamically from a predicable service, to provide a unique offering. I found her work to be a clear reminder of how important it is to make a product stand out, get remembered and build connection. Don’t take my word for it: see for yourself how the Torque party guests flew!

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Reinventing Business at The Hilton

Hilton LisleHospitality has been hard hit by the current downturn. But the host must go on, and the hotels that are rethinking their customers and the communities they serve are finding a way forward.

Darla Sinnard, Catering Sales and Convention Services Manager at the Hilton Lisle/Naperville has done just that.

She began more than 18 months ago with an attitude of: how can I re-think revenue streams when overnight guest stays are down? As with many hotels, she has focused on events and event planning services. But she’s gone further. She has reached out to the community, hosting fundraisers for charities and showcasing vendors in her community. The revenue is modest, but that’s not her only measure of success. The nonprofits appreciate raising even a thousand dollars, and her vendors and suppliers appreciate the exposure during slow times. Of course this all occurs in the upper tiers of society where Hilton naturally moves.

In addition, Hilton Lisle has rolled out a Signature Toffee, announced this Thanksgiving and offered during a wine pairing dinner event. This Chocolate Pecan delight is the handiwork of Nick Landeweer, Executive Chef at Allgauer’s Restaurant.

As Darla takes stock of the Hilton Lisle/Naperville’s performance over the past two years, she notes that many other hotels are not doing as well (neither top-line nor bottom-line). She attributes this to having been engaged with the surrounding community, with local organizations and of course with her vendors. As the economy turns around, she expects the relationships that she has been careful to maintain and nurture, to flower into new volumes of traditional guests and overnight customers.

Darla has focused on the Hilton brand promise and the customer tribes in their habitat around her hotel. She has held the long view, a patient approach to building relationships and business in a time when more direct or aggressive sales may have been off-putting. The result is strong relationships and a business that keeps moving forward despite difficult times.

It is our view that the virtues and practices of tribal customer relationship development and brand building, which depend on long-term exchanges of value and consistency, will deliver the greatest business returns over time. Companies and brands that focus too closely on sales transactions and operations will be left vulnerable in challenging times when the marketplace becomes extremely choosy about how it spends money.

Follow Hilton Lisle on Twitter: http://twitter.com/hiltonlisle

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Only Green is Growing: Green Build 2009

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While real estate and the building material segments remain bleak, green building is thriving with vitality and diversity.

The International Green Build Conference took place in Phoenix, Arizona last week, with 1200 exhibitors and 25000 attendees. The show has grown to be among the biggest conferences. Graced by Al Gore, Sheryl Crow and other public figures, Green Build also had ample celebrity presence.

Not just for wild-eyed, shaggy-headed tree huggers, Fortune 100 companies have taken permanent places. Whether exhibitors were truly sustainable, or just working hard to look that way, it’s becoming clear that “green building” will not be a differentiator, but a requirement within the next few years.

The show drew a diverse crowd, from the ruddy-faced battalions of sales reps at Johnson Controls, to their younger counterparts with innovative niche specialty products (with natural hair and bearded chins). Also present were the hosts of government agencies and associations supporting commerce, labor and trade. College students and young professionals comprised a significant segment of the gathering.

Notwithstanding the sluggish economy, attendees and exhibitors were eager to share and to learn. Challenges of the all-too-slow emergence of sustainable and renewable business have given green business veterans the patience of the ages.

I was fortunate to meet a great number of important participants, more evidence that the “real deal” is thriving on green. Some of the meetings I had:

The creative people of Rubicon Seven, led by Principal J. Tedrowe Bonner, who boast achievements such as raising a $180 million fund to develop land use projects that serve the “triple bottom line” (people, planet, profit).

Also at Rubicon Seven’s booth, the architects of 7group, including Bill Reed, Bohn Boecker, and Marcus Sheffer, signed my copy of their new book: “The Integrative Design Guide To Green Building,” an authoritative text for the field, which redefines the practice of sustainable architectural design.

Featured on the cover is their recently completed project, the new home of the Syracuse Center of Excellence in Environmental and Energy Systems. The Executive Director of Syracuse CoE, Ed Bogucz, shared his vision for the program with me: fostering the convergence of academic study and business commercialization. We discussed Torque’s notion of brand talent, and how the ‘brand tribe’ can determine the competitive advantage of a business and shapes its value proposition. Intrigued, Ed invited me to their private reception that evening.

At the reception, S. Richard Fedrizzi, President, CEO & Founding Chair US Green Building Council (also a board member of the Syracuse CoE) spoke to the attending guests, and recognized accomplishments of the Center and the breathless success of the Green Build show.

Orchestrating behind the scenes of all this was Jan McAdams of The McAdams Group. Jan has been at the forefront of helping sustainable business raise grant, loan and donated money for 30 years, and knows all the public, private and governmental players of substance.

In addition to supporting all of the above individuals, Jan was at Green Build in collaboration with Jenni Peterman, President and CEO of Global Green Grants and Consulting, currently involved in  construction of a series of six LEED certified health care facilities in Texas and other Southwest markets.

I’ve come to know Jan as she is also advising Unique Solar Solutions, a technology company with a business model for redefining the ROI of solar thermal systems. As a member of the founding team, I am serving as Chief Marketing Officer.

Yes, the pace of construction is still slow. But big business, small business and real business all seem to see their future in green building. As Torque helps launch businesses and products into the space, we expect more strong signs of life in the category!

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Changing Minds, Changing Mindsets

The release of the 10.2% unemployment figure last week vividly illustrates the wobbly recovery we’re navigating, and challenges marketing leaders to adapt their minds and mindsets, to navigating the new normal of this recovering economy. I suspect anyone in the trenches of business or marketing is experiencing just that, first-hand. It’s certainly been my experience.

On Friday I had the pleasure of moderating a roundtable at the Coleman Entrepreneurship Center at DePaul. The title of the event was: How to Use Social Media to Build Your Brand. For the session, I focused on the barriers to starting or extending social media to build brand. I chose this direction because I think old mindsets are the biggest challenge to using social media to build brands. To use social media effectively demands an enormous change in mindset, especially for those who have practiced marketing for many years. It’s tough to change old paradigms such as controlling brands, communicating top-down to customers, and running an insular marketing organization separate from the rest of the business. The entrepreneurial group at DePaul was up for the challenge. They were adroit, focusing on such issues as fostering customer dialogue, community, finding and activating existing social spaces, and joining conversations and involving the entire organization not just the CEO or the marketing department. What a refreshing change. They came with questions: they could see the importance and also ways to move forward in this emerging area.

In the last 30 days, my agency has been hired by two companies that chose us over other firms with years more industry experience. Our new clients have shown that they are willing to experiment with their agency partner, to find new ways to go to market, and to think and see things differently. Of the two companies that engaged Torque, one is a financial organization, the other a real estate developer. In the past, business managers in these industries in particular have been very credentials-driven (i.e., demand extensive category experience) when selecting suppliers. This is not a new discussion. AdAge Magazine recently ran the article: Stop Hiring Based Only on Category Experience. It addresses talent hiring practices of agencies, and the ideas apply equally well to companies hiring an advertising or marketing agency. It seems obvious. After all, the purpose of branding and marketing is to differentiate brands, not replicate them.

Also last week, Mori Seiki earned kudos for reinventing mindsets, as well. I attended their open house, celebrating their new facility, headquarters for the Americas, in Schaumburg’s Huntington Woods Corporate Center.  A central feature of the new facility is the Mori Seiki University, a rich curriculum of training and knowledge sharing. Their online training has been developed in part by Oxygen Education. I spoke with Ed Cross of Oxygen at length about the value of  “tribal knowledge,” the wisdom held by experts in the machine tooling field.  Ed helped me see where brand talent — the knowledge and skill of workers — intersects with an organization’s competitive advantage and distinct value proposition, and how this is achieved through ongoing training. In short, Mori Seiki has a system and a method for changing mindsets.

It’s important to distinguish between the two meanings of mindset I’m talking about: one is a state of mind, and the other is a collective set of shared cultural/tribal beliefs. Both are very difficult to change. And this is the opportunity for marketers (and marketing-minded business managers’), whose greatest strength is their ability to change the way they think, the way they organize their perception of the world. I believe we all need to embrace this mindset.  For a closing thought, read what Rob Slee, the investment banker who wrote the book on private capital markets, has to say on the matter. (Yes, he’s a “money man.”)

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