Archive for the ‘competition’ Category

El Pollo Loco adds heat to KFC challenge

Monday, May 11th, 2009

One way or the other, you probably heard about KFC last week.

If you didn’t see one of their ads for their new Kentucky Grilled Chicken (the largest ad blitz in KFC history) you probably heard about the Oprah catastrophy. KFC was caught off guard when a promotion for a free two-piece meal featuring its new grilled chicken created such an overwhelming response the company ran out of chicken and customers had to be turned away.

KFC wasn’t execution responsible, but most companies would love to be overwhelmed by new customers. Especially El Pollo Loco, the 418-unit Costa Mesa, California-based chain that challenged KFC to a taste test in late April.

The company wants to pit its citrus-marinated grilled chicken against the KFC offering and has taken specific aim at KFC’s cooking process. While El Pollo Loco grills its chicken over an open flame, KFC’s chicken is cooked on a griddle—a point that the smaller contender hasn’t missed:

In KFC’s defense, if El Pollo Loco wants a taste test, all they have to do is conduct one, and by definition, grilling doesn’t require an open flame.

Amid the Oprah firestorm, KFC issued rain checks for anyone that was turned away. The rain checks were good until May 19, 2009—excluding Mother’s Day, May 10, 2009.

El Pollo Loco’s response: Ask KFC what they have against mothers, and honor KFC’s coupons on Mother’s Day.

In this David v. Goliath story, Goliath has yet to throw a swing.

It’s familiar territory for KFC—the company has failed to effectively respond to PETA’s long-running Kentucky Fried Cruelty campaign.

El Pollo Loco is receiving national attention playing chicken with KFC.

Do you love their tactics or hate them?

Should KFC accept El Pollo Loco’s challenge?

If not, how should they respond?

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UPDATE: QSRWeb, an online publication covering quick-service restaurant ideas and trends, covered this topic in detail, interviewing me for the Responsible Marketing take in El Polo Loco winning this round of chicken war. Check it out.

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Thanks for Matthew Mason for the KFC tip.

Coke v. Pepsi: Refreshingly irresponsible

Friday, January 2nd, 2009

Coke and Pepsi are at it again.

They battled it out on New Year’s Eve in Times Square with Pepsi revealing it’s new Refresh Everything campaign while Coke introduced it’s Refresh. Recycle. Repeat. green campaign, wind-powered billboards and all.

Here’s Pepsi’s New Year Eve video:

Both campaigns are refreshing, but that’s the problem.

By using the word “Refresh,” either Pepsi or Coke is breaking rule #6 of the 22 Immutable Laws of Marketing: Two companies cannot own the same word in the prospect’s mind.

I don’t know who claimed the word “refresh” first, but the company that claimed it second is guilty of irresponsible marketing.

If you know who claimed “refresh” first, or if you just want to show your Coke or Pepsi allegiance, comment below.

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Comparitive advertising: Love it or hate it?

Thursday, December 18th, 2008

You’ve probably noticed there’s a lot more comparative advertising being done lately.

Miller Lite v. Bud Light, Whopper v. Big Mac, Campbells v. Progresso and Dunkin’ Donuts (or McDonalds) v. Starbucks all immediately come to mind.

Of course, the poster child for comparative advertising is Mac v. PC:


View Mac v. PC on YouTube

Is comparitive advertising good or bad?

In New ads: battle of the brands, the Christian Science Monitor argues all this comparative advertising might backfire.

Why?

After a negative, protracted political campaign season, people are fed up with negative advertising. And when one brand compares itself to another, both brands receive publicity.

I’ll buy that.

But while some ads can be downright brutal, the fact is consumers are overwhelmed with choices and information, and by comparing one product to another—even though it’s biased—they are learning about differences they might not have been aware of before.

So, do you love or hate comparative ads?

Are there particular brands that you think are doing this type of advertising particularly well?

Comment below to share.

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Thanks to Bill Boyd for sharing the CS Monitor story with me.

Marketing lessons from Barack Obama

Wednesday, November 5th, 2008

Marketing lessons from Barack Obama

Whether you are red or blue, you can’t deny Barack Obama’s marketing prowess. Here are a few lessons every organization should consider when they are seeking ‘votes’ from prospects:

Develop strategies based on consumer insights. The Obama campaign clearly understood where America was hurting most, and developed strategies in response.

Build an organization that can deliver that strategy. Obama was casting responsible, fielding an impressive team from the very start.

Own a unique position. Hillary and Barack stood out in a sea of mostly white guys. While Obama was new, different and attractive as a brand, he claimed the word “change” first. It was the thing the market wanted most, and when others tried to claim “change,” they looked like copycats.

Work from a plan. The Obama campaign never veered very far off course from their original plan. They said they would compete in and win in red states—and they did just that.

Stay on message. From the primaries through the general election, Obama did a better job than his opponent at staying on message. Though distracted more than once, like clockwork, he would faithfully return to his message strategy.

Get a great name. Okay, maybe his name didn’t help him much.

Offer form and substance. While Obama’s marketing was the best presidential politics has ever seen, his opponent’s statements that he was a great orator but simply wasn’t ready to lead fell on deaf ears. His policies resonated better with voters, and his delivery, especially later in the campaign, were downright Presidential.

Stay positive.Yes we can” trumps “No you can’t” every time.

Work from the ground up. Over 90% of the $640 million raised by Barack Obama came from individuals, and the bulk of that was contributions under $200.

Respond to the competition immediately. Smear tactics were often responded to within minutes by Obama’s staff and the candidate himself. The campaign’s Fight the Smears site helped spread the truth to supporters and the media.

Pick partners that reinforce your strengths and make up for your weaknesses. Obama chose a running mate that filled one of his greatest weaknesses by selecting Joe Biden, the chairman of the Senate Foreign Relations Committee.

Embrace social media. The Obama campaign did a masterful job using social networking sites, using word of mouth campaigns that often went viral.

Remember all your audiences. As a minority, Obama understood he would have some cross-cultural appeal. Still, Team Obama pursued an ambitious multicultural marketing effort. Here’s an ad that aired in Puerto Rico:


View this video on YouTube

The strategies above aren’t red or blue. They’re green—the color of money.

So did you pick up any other marketing tips during the campaign that might translate well to your organization?

Comment below to share.

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Photo: Rainer Jensen/European Pressphoto Agency, via The New York Times

Are you ready to compete?

Monday, August 18th, 2008

Are you ready to compete?

Watching the greatest Olympians inspires.

The competition is fierce, and to succeed at the highest level these dedicated athletes train for years.

Day in and day out, they work at their craft to swim faster, jump higher or hit with greater precision.

Whatever it is, it’s their singular focus—and they know how to win.

It’s for these reasons, you wouldn’t consider trying to compete against Michael Phelps in water or Usain Bolt on land.

You simply wouldn’t stand a chance.

You face fierce competition every day, too—and not just from companies with professional marketing departments. You compete with information overload, cynical consumers and a slumping economy, to boot.

So, what are you doing to compete?

Comment below to share.

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