Investing in Innovation

LEADERSHIP LESSON OF THE DAY from Motivate!

Do whatever is necessary to understand each individual on your team

You will not be able to motivate people unless you discover precisely what it is that makes them tick. Think hard about each individual; learn their background; conduct personality profiling.

LEADERSHIP LESSON OF THE DAY from Motivate!

See in others more than they see in themselves
Your job as a manager is to identify the potential in others, often previously completely unseen and untapped, and then make sure that they fulfill it.

LEADERSHIP LESSON OF THE DAY
from Motivate!

Players play, managers manage

Managing is too important to be a part-time pursuit. If you’re a manager, concentrate solely on getting the best out of others.

Incorporating your Brand into Everyday Lives

How is it that only now, companies are beginning to think, “Hey, maybe our audiences don’t want to be bombarded with advertisements?”

With TIVO, the Internet, and the mute button on the remote control, it’s easy for marketers to be very afraid that the largest consumer base is looking elsewhere. But, in the midst of all the booming technology, marketers are retreating to the more simple concepts that are less “in your face.”

In this week’s The Wall Street Journal, executive vice president and director of integrated marketing at TM Advertising James Hering says, “People are just tired of being yelled at.”



The newest trend in advertising is trying to fuse into people’s daily lives.

That's why we use our C.H.E.M. tool:
* Connecting -- fit in their world, not try to disrupt it
* Honest -- utilize your best data, not distort it
* Easy -- simplify communications, not make it more difficult
* Motivating -- show customers how to take action, not demand it

If you can become part of people’s everyday scenery, they are more likely to study the “ad” and be open to seeing and hearing what it is about. If you think that maybe people who like flavored coffee will like your newest flavored cereal, make that their newest breakfast.

Put the cereal next to the coffee. Grocery stores are now the biggest place to sell. It’s the last place of decision-making. Put the Oreos next to the tampons, your newest juice flavor next to the alcohol or the bagels. It’s simple. Fit into people’s lives. Make connections for them. Certain things just go together. Put the breath mints next to the Doritos. Maybe these companies need to merge.

Can you imagine if Lays marketed a new brand of breath mints that specifically cut the lingering stench that the Cool Ranch, or Spicy Cheese chip causes, then put them next to each other in the grocery store aisle?

All I’m saying is that, advertisers are making a great move by being less bombarding, but maybe some research needs to be done in the grocery stores.

Keeping the Brand Alive

As a follow up to our June 26th blog, Branding Motorola cell phones with the stars, I wanted to recognize the ad I saw in The Wall Street Journal.

The Global Fund, which is benefited by the sales of the Bono’s Red brand, is looking for an Executive Director starting in 2007. The ad states that since it was founded in 2002, it has attracted $8.9 billion dollars and is funding programs in 131 countries. Who is up for “one of the most exciting opportunities in international health and development”?

While Red is trying to stay hot, sexy, and cool, The Global Fund is looking for someone with proven leadership and strategic management, international experience in health & development, and experience working with boards of directors. Oh, and you have to speak multiple languages.

Expanding your Brand

It’s a dream come true! Chrysler, in its latest Dodge Caliber, transformed the typical glove compartment into a cooler for drinks and snacks! While I’m thinking soda and candy bars, in marketing this genius idea, they claimed on Comedy Central’s Stand-Up that, “The chill zone holds up to four hands!”

Self-deprecating humor, or “mocketing” is the latest risk-taking strategy being used to expand brands across target markets, some of which were highlighted in Brandweek last week. Using different forms of parody and approaching their consumers with a relaxed, open-mind has proved success for NASCAR, Boost Mobile, and Toyota.

It’s risky because humor is so selective, and companies cannot afford to offend their consumers and risk drowning their product. NASCAR, whose popularity has skyrocketed in the last decade, is willing to take that risk. Will Ferrell will be staring in Talladega Nights: The Ballad of Ricky Bobby. Definitely a parody of Days of Thunder and NASCAR, the movie will attract NASCAR fans, Will Ferrell fans, and millions of movie-goers of all ages, genders, races, and socioeconomic backgrounds—everyone. Sarah Nettinga, media entertainment director at NASCAR says, “Comedy may be risky, but stepping out of the box and away from the safety zone can pay dividends in expanding the brand’s core fan/consumer base.”

One of the parodies was on MADtv. Toyota’s low-end Yaris were parodied as “the ride of nonconforming underachievers, not the likes of Donald Trump.” An edgier approach like this appeals to a broader population whose access to communication mediums is just as alternative as their humor; chat rooms, blogs, message boards.

Taking risks for the opportunity of brand name expansion will be successful so long as you keep in mind all the elements of moving your brand, as entailed in our “Forward. Fast. ® model. They are:
-Likeability
-Logo
-Quality offering
-Associations
-Attitude
-Quality experience

A More Innovative Way to Innovate

“We sit there looking embarrassed like we’re all new to a nudist colony,” says Joe Polidoro who has worked for a variety of banks.

“I can’t remember a single instance where a group produced a really creative idea,” says John Clark, a former university dean of engineering.

“It can’t be scheduled at 9:15am, I’m more mercurial than that,” says Kate Lee, General Electric worker.

“The best way to get good ideas is to get people to write them down privately and then bring them in,” says Harvard professor David Perkins.

“There are so many things people do in management because they think it’s good, but there’s no evidence for it. Teamwork is one example. Brainstorming is another,” says Paul B. Paulus, professor of psychology at University of Texas at Arlington.

The Wall Street Journal recently featured an article about brainstorming in the workplace, and it conclude that collaborative brainstorming sessions are nothing but a waste of time. Managers use these sessions to make people feel like they have a voice in the decisions that will affect the company. But while teamwork is the American way, and “there is no bad idea”—it’s not always the best way, and yes, there is.

Terms like “coblabberation” and “blamestorming” are commonly practiced in team situations with a diverse group of people to the point where they come to obvious conclusions, or even worse, mediocre ideas.

As a creative facilitator, I’ve walked into sessions like this, and it takes effort to get the group to a state of mind in which they actual feel like they have a voice, but more importantly, a state in which they are able to voice strong, creative ideas. Just a couple of weeks ago, our firm conducted brainstorming groups with nearly 300 scientists. We encouraged them all to take time prior to the scheduled meeting for brainstorming. This type of pre-work is generally effective. Attendees know the topic of discussion, and have ideas to bring to the table. This creates a nice discussion because they have thought through their ideas and are able to expand on them, and others.

I have learned how to motivate people for optimum performance – and with our Action Shoes® tool – you can create a productive meeting full of respect and innovation to help accelerate ideas and explore mediums for action.

Innovation Retention

I know a lot of people who attend focus groups on a regular basis. They have told me that in one hour they can make anywhere from $60 to $125 for sharing their opinions about beverages, CD label-making kits, or credit cards. Whether they use that money for rent or for dinner, they like the fast, easy cash. This type of quick fix is ok for the participant and maybe even the consumer goods client hosting the focus group.

But contrast that with the needs of pharmaceutical-biotech companies who are sponsoring clinical trials, and you see the needs for client retention strategies are very high. These patients need more than quick cash since they have to complete a more lengthy study. They need trust, recognition, and support. They need to be kept informed, shown that their values matter, and rewarded for their initiative.

Sound familiar? These are the exact things employees want from their bosses. In the workplace, compensation is very important, but when it comes to long-term employee happiness, loyalty, and retention—well, it takes more than money.

Anna LeGoff and Liz Moench share their research in an article “Patient Retention and the Power of Praise” in PharmaVoice.

“Employees thrive, are motivated, and stick around longer when they are recognized for a job well done; the same goes for patients,” the article says. And it lists these 10 ideas:

1.) Full appreciation for returning for study visits and following study instructions directly expressed by the physician investigator as well as the study coordinator.
2.) Learning opportunities about their condition and other relevant information that can help them manage their healthcare.
3.) Decision-making authority and autonomy--providing patients with the knowledge that study participation is their decision and choice.
4.) Flexible visit schedule (within the boundaries of the clinical protocol) to accomodate patients' schedules.
5.) Being kept informed about the study--how many patients are participating in the United States and in the world; how many studies have been conducted; the importance of the study and their participation.
6.) Providing feedback, making study participants feel that their opinion counts.
7.) Having a sense that their study participation is meaningful and they are making a difference.
8.) Feeling part of a study team with great people.
9.) A caring study coordinator who provides constructive feedback.
10.) Fair pay and compensation for participation.

While not all business have gotten this down yet, many have. So, pharmaceutical companies are incorporating the best practices of this model into their strategies for motivating patients to complete their studies. As in anything, it’s keeping people interested in your brand – and even creating what we call an Evangelist Effect to share their happiness with others – that will lead to success.

Equal Opportunity Innovation

In a perfect world, teachers would be paid like brain surgeons and non-profits could function as though they were making millions. They would get the money they needed and then some. A mere reward for all their hard work. With that money, they would be able to protect themselves and their ideas from big corporations and those ideas would be on the cover of magazines.

Unfortunately for Sound Portraits Productions, this is not an ideal world. This non-profit created a national oral-history project called StoryCorps back in 2003. Their trailer travels the country recording the stories of everyday Americans. The stories are archived in the Library of Congress and NPR shares them weekly on their new program “Morning Edition.” Since 2003, they have recorded over 8,000 stories and have grown to have two offices in New York and two traveling trailers. The value of these stories obviously goes beyond any monetary value, and contributes to the history of Americans all over the nation.

But last month, Sound Portraits accused the discount airline JetBlue of taking their idea. An idea they believe took years to generate and maintain. And they say it’s a project that will be put in jeopardy if this airline doesn’t change its name and concept from ‘Story Booth.”

JetBlue created the same type of trailer and the same type of experience for Americans to tell their stories. They even showed up in the same cities as StoryCorps. And while the airline thinks it’s ridiculous for the non-profit to take credit for the idea, the point is, they can’t even fight JetBlue in court for the rights of their project. They don’t have the resources.

“StoryCorps is the boldest attempt I have ever seen to take the American art of storytelling and bring it everywhere in the country. I find it astonishing that any company would try to capture and take that spirit and apply it for commercial purposes,” says Ken Stern, executive vice president of NPR.

It raises the question: How can we combine the humanistic passion from the non-profits and the money and resources from big business?

Perhaps in the answer, innovation for both can be expressed equally.

Reclaiming your Brand

It’s scary to think that if Illinois followed suit with New Zealand we would call ourselves “Corns.” Illinois’ cash crop has brought in tons of revenue from exports just as the kiwifruit has for the tiny island nation. New Zealand relied on the kiwifruit to represent 40% of their horticultural exports for over 25 years, but in 1989 the world got smaller and farmers in Italy, Spain, Chile, South Africa, and France began to expand the market of kiwis (now a $2.5 billion global market) to the point where New Zealand was just another face in the crowd.



Thankfully this time for GMO;s, New Zealand was able to crossbreed kiwis and patent their new Zespri Gold kiwi. It’s sweeter, more tropical, it’s bright yellow, and it’s dramatically expanding the kiwi consumer base. The Zespri Gold sold $150 million last year, and by 2009 sales will hit $650 million. They are determined to become what Dole is to pineapples or Chiquita is to bananas. With their new patent they are able to control the Zespri Gold market by establishing a number of licensing deals with orchards in those countries that were at one point leading to New Zealand’s demise.



New Zealand has reinvented its national brand and rebuilt a franchise. Next on the agenda is a mix of the green and yellow kiwi with a bright red sunburst in the middle. The moral of this story is: when life hands you lemons, crossbreed it with limes.

Creating an Innovative Work Culture

If it weren’t for the strong desire to achieve from managers, the passion and energy that fuel the growth of companies would deteriorate. In fact, the number of managers for whom achievement is a primary motive has increased over the years. However, sometimes the drive for success can lead to lack of communication, shortcuts, or worse, stifling other employees and their innovation. Scott W. Spreier, Mary H. Fontaine, and Ruth L. Malloy discuss in Leadership Run Amok: The Destructive Potential of Overachievers (Harvard Business Review, June 2006) the possible problems that can arise from too much celebration of individual achievement.

David McClelland, a late Harvard psychologist, spent much of his career studying motivation and how it affects leadership behavior. Spreier, Fontaine, and Malloy continued his research and identified six styles of leadership that managers and executives use to motivate, reward, direct, and develop others. They are:

-Directive: Strong, sometimes coercive
-Useful in crises or when a leader must manage a poor performer, but overuse stifles initiative and innovation

-Visionary: Focuses on clarity and communication

-Affiliative: Emphasizes on harmony and relationships
-Appropriate in certain high-stress situations or when employees are beset by personal crises,
but it is most effective when used in conjunction with the visionary, participative, or coaching styles.

-Participative: Collaborative and democratic

-Pacesetting: Characterized by personal heroics
-Can get results in the short term, but its demoralizing to employees and exhausting for
everyone over the long haul.

-Coaching: Focuses on long-term development and mentoring

When using all of these types at the appropriate times, employees can feel empowered to learn and create, expand and develop. When these styles and techniques are used appropriately, managers can not only collaborate better and easier with their employees, but can also sustain the growth of production and achievement.

Chicago Olympic Panel has a brand plan.

As much as today already feels like Thursday, the year 2016 is right around the corner. So, a U.S. Olympic Committee claims they have an 'elegant' venue idea for Chicago. Chicago's global status has put it in the running with Houston, Los Angeles, Philadelphia, and San Francisco; all of these cities are set to present their bid Friday to the Committee in La Jolla, CA.

Because Chicago doesn't have a venue able to seat 80,000 people for the opening and closing ceremonies or the track and field events, our civic and corporate leaders have been exploring other possibilities. Ideas for a temporary stadium are in the works, one that will transform into housing after the games.

The catch is -- no one really knows what this 'elegant' idea is. Architects, corporate sponsors, and community organizers are all in the dark until after the presentation to the USOC. Until then, the buzz is out about the secret "elegant venue idea."

While everyone is curious and talking, Mayor Daley says, "When we do things in Chicago, we do them right, but we have to make sure we have a complete understanding of cost and revenue implications before, of course, we commit to a bid."

This July, Chicago hosted Gay Games VII, a worldwide event drawing in people from over 80 countries and endless revenue. Opening and closing ceremonies were at Soldier Field and Wrigley Field, with events held all over the city including Evanston. If Chicago is big enough to hold over 200,000 'fabulous' athletes, I'm sure the USOC can create an 'elegant' venue idea for the 2016 Olympics.

Branding Motorola cell phones with the stars

When you live in Chicago, the suburbs seem so far away. We refer to them as "the suburbs" with a what-a-drag attitude.


But now maybe it seems Motorola headquarters are perfectly located in Schaumburg, IL “close to the customer” – just across the tollway from IKEA and Woodfield Mall. Especially as that they look to become the American Idol of cell phones.


International Idol, more like it.


Because the United States only accounts for 16% of phone shipments, Motorola is turning to soccer star David Beckham, rocker Bono of U2, Russian tennis player Maria Sharapova, and Indian heart-throb Abhishek Bachchan to sell their phones. They have landed the most popular stars in the whole world to pose with their phones, have parties with their phones, and even use their phone to create social change.


That is exactly what Motorola and Bono have teamed up to do. Bono has his own phone, which may just look like a red version of the Slvr, but it's part of Bono's Product Red project. Product Red partners with other brands to fight AIDS and pestilence in the developing world by donating a portion of sales. Motorola is the fifth company to join Product Red, and is successful because of Bono's number 4 ranking in the "Celebrity 100" list of Forbes Magazine.


Hey, if Beckham can sell phones during the World Cup to soccer fans, and Bono can help people with AIDS by selling phones, that's a smart brand. People are attracted to global superstars and activists, and Motorola has realized that with their global likeability, the phones will sell.

A Lean Brand Experience

During the technology boom in the late 1990’s, everyone was talking about their next big idea. It was all about you, you, you. No one was talking about the customer. They thought that because they were so brilliant, everyone would want to look at what they built. They were wrong.

Now we have Craigslist, the 7th most popular website in the world. Craigslist says that they don’t have advertisements because the user hasn’t asked for them. That’s right. Craigslist has passed up billions of dollars simply because they believe what the users want, the users get. No more, no less.

CEO Jim Buckmaster says, “The revenue aspect is really an afterthought. If I look across the Internet at the big Internet companies, there’s a large proportion of their staff that are devoted in various ways to trying to maximize revenue. Those employees I don’t think are delivering much bang for the buck to the end user.”

Craigslist is a minimalist site, with just rows of text. It is a site where people can post housing for rent, jobs, yard sales, activities, and personal ads. The postings are endless and now over 300 cities are listed. They have 20 employees. What if…this type of leanness were applied to your company and its sales force to create a better experience for your employees and your customers.

Branding By The Numbers?

In 1999, a 19-year-old named Shawn Fanning created a software program that changed the way the world bought and listened to music: Napster. It allowed people all over the world to share mp3 music files for free. No more buying $17 CD’s. A simple key-word search and a click to download was the extent of the process. Getting music had never been easier, and while the musicians weren’t getting a dime, everyone was listening to their music. The government and the music industry together put a ban on this raw innovation, but since then, we have fine tuned it and found ways to share new, old, rare, and popular music that benefit the people and the artists.

It looks as though Nick Grouf and David Waxman are changing the way we make commercials. They created a revolutionary start-up called Spot Runner that makes 30-second spots affordable for any size marketer. Prices start at $499 for the making of the ad, plus $10-$100 for the time slot.

How is it so cheap?

Spot Runner works with independent videographers and keeps a library of images and scenes from thousands of professionally produced tv commercials with graphics, music, and photography. The marketer would browse the library and select an ad template that best suits their company. If you want to customize your ad, look to spend an extra $99-$600, then pick the channels you want it to air on!

This innovation is putting people in business, helping them increase sales, and share their brand. Take the example of a Santa Barbara surf shop. They spent $3000 on a semi-customized commercial that aired 432 times. “I still laugh when I think about how easy and affordable it was,” said owner Terri Merrick. They doubled expected retail sales for the final 3 months of 2005.

Ali The Brand

What products float like a butterfly, sting like a bee, and have outdated haircuts? Muhammad Ali power tools.

Ali Cadillacs.

Ali video games.

Ali sports bars.

Ali slot machines

Ali medications!

The $50 million invested to extend Ali into a brand will be stretched thin as it tries to capitalize on the athletic fame of 30 years ago, and his recent fame of struggling with Parkinson’s.

What’s next: a Muhammad Ali American Girl Doll?

Improving City's Brand Experience With Social Innovation

Constantly assessing a brand’s quality offering and quality experience is key to growth on so many levels. In light of Chicago being recently outbid by Indiana, Michigan, Montana, and California for a 3-year grant to study the state of regional innovation, a new program is gaining strength. It’s called “Innovate Now!”

Lance Pressl, president of the Chicagoland Chamber of Commerce Foundation, is organizing 80 businesses and community leaders from across our region to assess Chicago's economic potential and facilitate the spread of innovation. He thinks that, "it's time for Chicagoland to take a hard look at where the region stacks up against others and identify opportunities to embrace innovation and maximize our region's assets."

While I firmly believe that innovation is the key to continuous growth, I can't help but think about what social innovations we could also champion – like improving the living experiences of underprivileged people who live in this city. It's through this kind of innovation that the city could create new value, new offerings, new products, new services, and new tools to improve lives. The city's plan to convene innovators from across the Midwest is exciting to me, and I will keep eye out to compare the rate of innovation to the rate of tearing down affordable housing.

Branding a Legislative Issue

In the debate for the freedom of the Internet, there is a new “brandname” that’s been created: Net Neutrality.

In the fight for equal treatment on the Internet superhighway, lobbyists have created this brand that has memorable alliteration, a likeable connotation of equality, and a brand association with telecom competition.

Not everyone agrees, of course. Publisher and politico Steve Forbes says, “It would be an inexcusable barrier to the tradition of innovation at the heart of the Internet.” He feels it restricts companies like Verizon and AT&T from developing their networks. Already far behind countries like Japan and South Korea, it would compromise our communications industry and send us into a “technological Stone Age.”

While Net Neutrality seems to be great legislative branding, innovation is an investment that holds real fruitful future.

Brand Experience

When I used to hear “It’s not AM, it’s not FM, it’s XM”, I thought: What’s the difference? It’s music, it’s radio…it’s the same songs!

But now that I have had it for 3 months, I can tell you it’s a far superior brand experience.

It’s another classic example of what appears to be a two-player market with competitor Sirius, actually being more dominated by XM than people think. XM according to the latest numbers has 71% of the market share of satellite radio users.

Here are my favorite channels. What are yours?

-7, Seventies Hits
-15, Folk
-25, Adult Contemporary
-26, Modern Hits ‘90s & Now
-46, Early Classic Rock
-49, Later Classic Rock
-50, Acoustic Rock
-75, The Sound of Starbucks
-76, Eclectic/Free Form

Innovation Possibilities

As an old D.J. and long time music aficionado (not to mention an independent entrepreneur), I couldn’t help but admire the aggressiveness of WBEB-FM Philadelphia. (Smaller Player Spends Big to Remain on Top from, The Wall Street Journal, Tuesday, June 6, 2006)

They have proven that paying attention to the customer and paying attention to the sales force delivers consistent results even in stagnant markets.

Consider the brand innovation possibilities of creating a “Change Agent” in your sales and customer service unit.

Brand Rejuvenation

Well, Allergan certainly wasted no time in leveraging the brand innovation possibilities in its acquisition of Inamed. The company already had market domination with BOTOX, but its launch of its follow-up product JUVÉDERM could have been considered simply a market follower. Instead, it created a “total facial rejuvenation experience.”

So, when we would apply our Forward.Fast.® model, its marketers are doing a lot of things right:
- Likeability
- Logo
- Quality Offering
- Brand Associations
- Brand Attitude
- Quality Experience

It will be interesting to watch which of these brand assets they concentrate on leveraging the most.

Brand Innovation In Supply Chain

Too often when we think about brand innovation, we start with a logo and product enhancement. But if we expand our thinking to the overall brand experience, a more robust brand emerges. In some cases, a key customer experience is that of a distributor or retailer.

Take Pepsi for example, which for the past several years responded to unhappy retailers by modernizing its supply chain delivery.

Its new program featured technology upgrades, revised work schedules, and an overhaul of its order taking systems. It is this kind of broad “brand innovation” that is designed to:
- Connect with what is truly relevant to the customer at all levels of distribution.
- Honestly address the gaps in service issues.
- Make it easier to do business with your brand while also improving efficiencies for you.
- Motivate your customer service teams to be more responsive to customer demands, complaints, and needs.