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Derrick Daye

Derrick Daye Future Of Branding

What Does The Future Hold For Marketing?


Brand Marketing Future

William Gibson, speculative fiction writer, has several times

The future
is already here — it's just not very evenly distributed.

The truth of this statement lies in the fact that trends are
formed by the adoption of something new that facilitates an unchanging human
motivation: a need, want or desire. For instance, the advent of Facebook and
other social media did not create the desire to share our lives with others,
but they have enabled the ability to share more easily, immediately and widely
than ever before.

So whatever the future holds, its roots are here with us in the
present. The real trick is to predict which thing is going to be the next big
thing, which is why Mark Twain was right when he said:

The art of
prophecy is very difficult, especially with respect to the future.

Here are three mini scenarios for 2020. My question for you is
what will really happen? Do these seem likely or do you envisage an alternative

Scarcity of Time

  • People find themselves increasingly short of time, and can no
    longer get by with less sleep. 
  • Lifestyles become less planned, more immediate and
  • People become reliant on technology and brands to facilitate
    their lives. 
  • Consumers expect to be able to get what they want when they want
    it, leading to a boom in on demand and delivery services. Product brands seek
    to add levels of service and just in time accessibility to their offer. 
  • People expect
    packaged goods, food and drink, to be resupplied automatically. As a result,
    brand owners must focus on initial brand adoption rather than encouraging brand

2. Battle for Control

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Brand Watch Derrick Daye

Weakness In The Apple Brand?


Brand Strategy Apple Groupon

People who work in brand admire Apple for very good reasons. An
iconic brand that delivers revolutionary, beautifully designed and incredibly
profitable products.

In light of recent events we wonder if we are starting to see weakness in the Apple Brand. Recent
Wall Street iPhone 5 expectations were not metbrand
 is diminishing while Samsung’s
popularity is increasing
. The share price is suffering too. Is the brand struggling to retain its status as
the Apple of people’s eye? Consider these points:

▪ Leadership? Steve Jobs was a superb brand marketer, visionary and was core
to Apple’s brand story (starting off in the garage etc). Tim Cook has very big
shoes to step into. Can he really match up to Steve Jobs with regards to vision,
brand strategy and product innovation? A tough act to follow.

▪ Questionable brand personality? Apple was recently ordered to remove a banner
from its site that hid the court ordered apology to Samsung relating to the
recent IP case. Apple has also been in the press with regards to questionable working practices. Will consumers
identify with this type of brand?

▪ Stronger Competitors? Samsung is launching products people are buying.
Similarly, Samsung is starting to poke fun at Apple’s coolness in its recent
campaigns. This indicates growing confidence. More importantly, this
advertising strategy serves a deep psychological and emotional purpose – to get
Apple consumers to question their decision making motives and chip away
at emotions concerning conspicuous consumption.
Insidious? Maybe. Clever. Definitely. Similarly in brand hungry countries like
China Apple’s position is being challenged by increasingly
powerful incumbent brands. Apple’s iPhone 5 is also struggling to get traction in China’s mobile market through
up-channel relationships with key players like China Mobile. Apple needs a
piece of the Chinese mobile market pie but key channels are not playing ball.

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Derrick Daye Political Brand Strategy

Marketing At The Margins


Presidential Campaign Brand Strategy

This is the third of three
blog posts on the valuable marketing lessons to be learned from the recently-concluded
Presidential election. One and two can be found here and here.

the many lessons the successful Obama campaign taught brand marketers, one has
been largely overlooked. It is this: the
current Big Data ramp-up in marketing database infrastructure needs to be
focused on winning at the margins.

about the campaign’s voter database continue
to dominate post-election coverage
of Obama’s victory. These stories are filled with fascinating details
about the fusion of disparate databases, the profiles constructed of individual
voters, the likelihood scores assigned to each individual, the targeted phone
calls made and the frequency of making them, and the experiments conducted to
optimize the framing of Obama’s message to voters. But few of these stories describe, or even
recognize, the most valuable purpose of these efforts, which was to sway and
motivate voters at the margins.

were two such marginal effects the Obama campaign needed to accomplish. The first was to get the Obama constituency
to the polls. Romney’s campaign made a
huge bet that Obama would fail to get the vote out among his strongest
constituencies, and thus the final distribution of actual voters would wind up
in Romney’s favor. As it turns out, this
was a very bad gamble. The Obama
campaign was able to use its data infrastructure to turn out likely Obama voters
at the margins who, otherwise, would probably have not gone to the polls.

second effect was to persuade many of those on the fence to vote for the
President. Again, this was a marginal
effect, one of winning over the next voter, and then the one after that and the
one after that, etc., with each successive voter a little harder to convince
than the one before.

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Derrick Daye Political Brand Strategy

Brand Strategy And Politics: A New World


Political Brand Strategy

This is the second of three posts on the brand marketing lessons to be learned from the recently-concluded
Presidential election. The first can be found here.

is one thing in particular about the recent election results that Baby Boomers
should take care not to overlook. The world Boomers live in nowadays is no
longer their own.

is to say that, as a group, Boomers voted one way; young people voted another. Exit polling data from Pew
found that 60 percent of voters under 30 voted for President Obama while only
48 percent of voters 30 and older voted that way. Contrast this with 1980. Reagan
captured 56 percent of the under-30 vote, along with 62 percent of the
30-and-over vote. In other words, in 1980, young Boomers, as a group, voted the
same way as their parents. Not so in 2012.

generational divergence was first seen in the 2004 race between Kerry and
Bush. In that year, 54 percent of
under-30 voters voted for Kerry versus 47 percent of over-30 voters. But it has only been in the last two
elections with Obama that the political preferences of young people have
overwhelmed those of older voters.

far back as McGovern versus Nixon in 1972, young people and older people have
swung the same way politically (with the one exception of Clinton versus Dole
in 1996), barely differing in proportions in most elections. No longer. In the
last three Presidential elections, young voters have marched to a completely different
drummer, and now older voters must make do in a world at odds with their overall

sort of ascendance of Millennials is an unprecedented generational
phenomenon. Boomers came of age with new
values but the same politics as older people; so, too, GenX. Millennials are
the first generation since the end of WW2 to start off with a completely
different politics than their elders, and they are doing so in such numbers
that their preferences are dictating terms for everyone else.

is true of politics is true of brand marketing as well.

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Brand Marketing Derrick Daye

Brand Marketing: The Six Principles Of Persuasion


Brand Strategy Social Proof

In my research of the psychology of persuasion I have found there are six overarching principles. Each with implications for brand marketers. If one or another of these principles is incorporated into a request, it significantly increases the probability of getting a yes to that request.

1. Reciprocation

The first principle is called Reciprocation, the idea that people want to give back to us what we have first given to them. It gives us great power in a situation by being able to determine the tone of the interaction by doing it first. If we want a positive attitude, we give a positive attitude first. If we want free communication, we begin by giving free communication, and so on. It gives us the ability to get the sort of interaction that we are hoping for in exchange. The tone that is set, from focus groups to brand messaging is the thing that comes back most frequently. You can even find it in things as simple as appeals from the Disabled American Veterans association. When they send out their direct mail requests for contributions to their organization, they get about an 18 percent hit on their rate. But, if they include a little packet of personalized address labels in the envelope, their hit rate of contributions goes up to 36 percent because people have received something. Now they feel obligated to give back. That is the principle of reciprocation. It is the sort of thing that governs so much of our behavior, and it is the first of the pillars of influence I talk about.

2. Social Proof

The second one is Social Proof, which is the idea that when uncertain, people want to look around to see what others are doing and thinking before they take action. They look to people who are just like them for evidence of what they should do in situations. So, the proof of what they should be doing is not something that is empirical or logical — it is social. What everybody around me is doing tells me what I should do. For example, this experiment in hotel rooms. When traveling, Branding Strategy Insider readers are sure to have encountered a card in their hotel room that asks them to recycle towels. Well, the question is, “What should the card say to get people to recycle?” What hotels typically do is to say, “Do this for the environment” or “Do this for future generations” or “Cooperate with us toward this cause.” We put those cards in various hotels rooms around the Phoenix area where I live, and we found they all produce about the same level of compliance. But then we put a fourth card in the room that we had never seen any hotel use. It employs the principle of social proof, the idea that if a lot of other people are doing it, then it is the right thing to do.

Our fourth card said, “The majority of the guests who stay at this hotel do recycle their towel at least once during their stay.” And, that’s true. The result? We got a 34 percent increase just by saying something that was true, except the message was very below the surface. Just by bringing out something that is true about what those around us are doing, increases the likelihood that our audience will do the same thing. That is why, for example, when a restaurant owner puts on the menu, “This is our most popular dish,” it becomes more popular. That is social proof. Online reviews and testimonials are very important as a form of social proof. What do the people around me think about this product? How are they reacting? How are they handling a particular situation?

3. Scarcity

Have you have ever seen infomercials, those late-night television commercials where you call in and buy a product? Infomercial producers have found that they get a spike in call-ins at two points during their commercial. The first spike comes just as the item is sold out or no longer available. This refers to the third principle of Scarcity, when things are dwindling and we want things that we can’t have. The second spike occurs immediately after viewers have heard a testimonial from a caller who said, “This worked for me.” These testimonials are the social proof causing people to buy. And that works well with the manufactured feeling of scarcity — that time is running out, only a few left — also motivating people to buy in that one context of the infomercial.

What is interesting is that the consummate form of scarcity is loss. In fact, research shows that the fear of loss is more motivating than the possibility of gain. If people are honestly told what they stand to lose by failing to follow the suggestions that you are offering them, in addition to what they stand to gain if they do, you get a better response from the threat of loss. People do not want to lose something that they think would be valuable. That is a much stronger motive than the wish to gain something. Let me give you an example. People were asked if they would like an energy audit of their home. The company checked all of the weather stripping and insulation, and at the end of the evaluation, they said, “If you will insulate your home fully, you will be able to gain 50 cents a day, every day.” That was for half of the homeowners. The other half of the group was told, “If you fail to insulate your home fully, you will lose 50 cents a day.” Believe it or not, 150 more people insulated their homes when the language was changed to reflect loss, and it was the same 50 cents. The idea of losing it every day was more powerful than the idea of gaining it. So, I like to advise people to think honestly about those things that your audience or prospect or client would lose by failing to following your recommendations and to mention that as well as what they stand to gain. That way, you fire both barrels, at the same time.

Here’s another example. Doctors have found that telling their patients who smoke that if they stop they will gain three years of life, isn’t nearly as affective as telling them that if they don’t stop, they will lose three years of life. It makes total sense. It is so amazing. And it is a simple thing — changing the language a little bit can make a big difference.

4. Commitment and Consistency

The next principle is Commitment and Consistency, the idea that people want to be consistent with what they already committed to, what they have said or done, or came to believe in the past.  As a rule, people want to be consistent in their lives.

For example, a study was conducted in Palo Alto, California, where researchers asked people to sign a petition favoring safe driving. This was done in the course of the first week of the study. A week later, the researchers came back and asked these same people to put up a billboard on their lawns that would favor safe driving, and they got a tripling in the percentage of people who were willing to do that, compared to those who were just asked to put up a billboard without first signing a petition a week earlier. So, having gone on record making a commitment inclines people to want to be consistent with subsequent similar kinds of behavior, even if it is much larger.

There was another version in which people signed a petition saying that they were interested in beautifying California. A week later, a researcher came to their door, asking them to put up a billboard favoring safe driving. Now there didn’t seem to be a connection there, but these people also increased their willingness because now they were being consistent with the idea of being a public servant. So, by first signing that petition, they saw themselves as community-oriented and more public-spirited. A week later somebody came along and asked them to help in terms of driver safety, and they were willing to do that, too!

5. Authority

The next principle of persuasion is Authority, the one that says people want to follow the lead of legitimate experts, true authorities in an arena. Here is an example that always makes me smile. They put a man on a street corner and had him cross the street against the light, against the traffic and against the law. Half of the time he was dressed in jeans, an open-neck shirt and running shoes, and the other half of the time he was dressed in a business suit, pressed shirt, tie and shiny shoes. Then they counted how many people followed along behind him. An amazing 350 percent more people followed him when he was wearing a suit.

6. Liking

The last of the six principles is the Liking principle, which is the one that says we prefer to say yes to those we know and like, and I don’t think any brand marketers will be surprised to hear that. But there is a little twist to it. There are two things that really cause people to like us. One is similarity; we like the people who are like us, especially in values and attitudes and opinions and so on. Secondly, we like the people who like us and say so by giving us compliments.

Contributed to Branding Strategy Insider by: Dr. Robert Cialdini, President, Influence At Work

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