Le Meridien reinvents the art of the hotel experience.

Henri Scars Struck is holed up in the attic of a building in Manhattan's Flatiron District. The bald French composer is cornered by electric guitars, a grand piano, and a blue Moroccan mandolin -- only a fraction of the instruments he used to orchestrate his latest opus: a 24-hour track that syncs a mélange of sounds, from galloping horses to an Indian sitar. With a strike to his keyboard, Struck unleashes the music he spent four straight months composing with 20 musicians around the globe. "The goal is to be surprised," he says.

The only thing more surprising than the music is its patron: the $9 billion Starwood Hotels & Resorts Worldwide, specifically the Le Meridien brand. Last year, it hired Struck to be part of the LM100, a rotating group of artists heightening the experience at the "upper upscale" hotel chain. "When the business guy who just did 10 meetings in a day arrives at the hotel, all he can dream of is room service and sleep," he says. "We want to reset his mind!"

Channeling the sounds of galloping horses, shopkeepers yelling in a Cairo market, and water pulsating down a drain seems like a counterintuitive approach to courting an exhausted guest. But catching its customers off guard, says Eva Ziegler, senior VP of Le Meridien, is exactly the leap she believes the 36-year-old hotel chain needs to take. Starwood hired her shortly after it acquired Le Meridien, in late 2005, to refashion its 115 disparate properties to appeal to the more creative customer. "The first 10 minutes when you walk into a hotel, what do you typically remember?" she asks. "Nothing. It's a transaction."

To change that, she's in the midst of a five-year, nearly $10 million project to create a hotel where guests can revel in their tuna tartare while feeling as if they've spent a day at MoMA. Her first move: In 2006, Ziegler recruited Jerome Sans, the whimsical blond Parisian who cofounded the edgy art institution Palais de Tokyo, to become the chain's first cultural curator. "My role is to create unique experiences for the guest that stimulate all five senses," Sans says.

His primary mission has been to court LM100's cast of artists -- painters, designers, and architects -- to transform more than 50 aspects of the hotel. The first group of 12, which includes musician Struck, chef Jean-Georges Vongerichten, and filmmaker Kiki Allgeier, is focusing this year on guest arrival and cuisine. For the 15 Le Meridien properties that have been converted thus far, arriving guests are greeted in the lobby and elevators with Struck's visceral sound track. At check-in, they receive a limited-edition key card designed by artists such as Michael Lin and Sam Samore that doubles as a free pass to a local art institution. Samore's book of adult fairy tales awaits guests in their rooms as a take-home souvenir.

Later this year, on the cuisine front, Vongerichten will debut a series of breakfast "eye-openers" -- complementary palate teasers delivered in shot glasses -- while Italian coffee entrepreneur Andrea Illy is designing interactive workshops in which guests can learn to paint, cook, and create their own cocktails with coffee. "We're all looking for a filter," says Steven Addis, a branding consultant who recently wrote a white paper deeming companies like Apple and Toyota the new arbiters of taste. "Now brands can do that for their customers."

The artists have embraced their assignments because of the freedom Ziegler and Sans have given them. "Partnerships with companies aren't typically risk-taking adventures," says LM100 member Eddie Roschi, half of the perfume design team Le Labo with Fabrice Penot. Last year, the hotel drafted the duo to create a scent to be diffused through vents and candles in the hotels' lobbies. They conceived a number of options, among them a Coco Chanel -- inspired aroma meant to evoke the chic attitude of Air France, the hotel's founding company, as well as a marine scent rooted in its "meridian" name. But it was a more conceptual fragrance -- resembling an old weathered book (symbolizing culture and content) -- that the Le Meridien team opted for. "Believe me, there are other smells out there that would sell more candles," Roschi says of the olfactory cocktail of patchouli, vanilla, frankincense, iris, and musk. "But this isn't about pleasing the most people. Our main objective is to increase curiosity."

To make these transformations more than cosmetic, employees from front-desk clerks to housekeepers are now required to visit the local art institution they're sending guests to and are educated on each of the LM100 artists. "We're creating these things so we can talk to guests about something other than just, 'How was your journey?' " Ziegler says. Martin Vitry, a 35-year-old real-estate investor from Paris, stayed at Le Meridien's Miami location last December when visiting the city for Art Basel. "I travel two or three times a month and am used to the same old experience," he says. Awed by the 10-foot-by-40-foot blue-tinted Sam Samore photograph dominating the window at the hotel's entrance, Vitry notes, "It almost made me feel like I was entering an art gallery." Five months later, Vitry still carries the Samore-designed room key in his wallet and is wrangling his friends for a return trip.

That's exactly the kind of engagement hoteliers crave. In 2007, that "upper upscale" hotel segment generated $22.7 billion in U.S. room revenue, but occupancy was flat. "The pool of new travelers isn't increasing as quickly as the number of new hotels," says Jan Freitag, an analyst at Smith Travel Research.

But Le Meridien is already seeing results. In February, its online bookings hit a record 2.4 million, 41% higher than at the same time last year. And it will continue to track success by monitoring guest satisfaction and sales of retail spin-offs from its LM100 collaborations. "The old-school version of this would have been to put together a committee, redesign the hotel, and that's it," says brand maven Addis. "Instead, these guys are going to be perpetually curating on behalf of -- not marketing at -- its audience."

NEW YORK (AdAge.com) -- It's nearly Earth Day: Time to consume more to save the planet.

Newsweek subscribers can actually fashion the cover of the April 14 issue into an envelope to send plastic bags to Target in return for a reusable
tote bag.


As April 22 approaches, marketers of all stripes are bombarding consumers with green promotions and products designed to get them to buy more products -- some eco-friendly, some not so much. And while that message seems to contrast with the event's intent, the oxymoron seems to have been lost on marketers jumping on the Earth Day bandwagon in record numbers. This year it seems that just about everyone has found a way to attach themselves to what is fast becoming a marketing holiday that barely resembles the grass-roots event founded in 1970.

"This month I've definitely seen a lot of companies that I never would have associated with green popping up," said Steven Addis, CEO of Addis Creson, a branding firm. "Companies are saying, 'We need something to green ourselves up, so let's ... sponsor Earth Day.' ... It's really now in this hype curve, and hopefully we're getting toward the top, so we can start having some fallout."

Sustainable for one day
Indeed, many have begun to worry that as nearly every company out there paints themselves green, they are losing touch with Earth Day's reason for being. "My concern is that some companies just view [Earth Day] as a marketing event, like Thanksgiving or Christmas," said Larry Light,
chairman-CEO of Arcature, a management consulting firm. "Then they've fulfilled their obligation for the rest of the year. The whole issue of
sustainability means that a commitment also has to be sustainable. If it's only for one day, then it's a marketing event."

To be fair, many companies are already looking beyond the month of April by embracing comprehensive sustainability programs. But, regardless, the fact remains that as Earth Day approaches, consumers will find it difficult to
avoid green messaging.

Consumers can, for example, shop at Banana Republic, where 1% of sales from April 22 through April 27 benefit the Trust for Public Land. Or they can participate in Macy's "Turn Over A New Leaf" campaign by making a $5 donation to the National Park Foundation. In exchange, customers receive 10% or 20% off most merchandise the weekend of April 26.

Newsweek subscribers can actually fashion the cover of the April 14 issue into an envelope to send plastic bags to Target in return for a reusable
tote bag. Then there's Toys 'R' Us' launch of "enviro-friendly playthings," Sweet Leaf Tea's missive to "Don't just think green. ... Drink green" and
Fairmont Hotels' introduction of "Lexus Hybrid Living Suites." These days even Barbie has a green-accessories collection.

Seeing green
Major marketing dollars are behind these efforts. Experts concede it's difficult to quantify the amount of money spent on green marketing, but,
collectively, it's clear companies are spending tens of millions.

This month, Wal-Mart is running seven national 30-second spots, created by the Martin Agency. The commercials, bearing the tagline "Budget-friendly prices. Earth-friendly products," promote T-shirts made of recycled bottles and organic coffee, among other things.

In addition to charity shopping days, Macy's campaign involves giveaways of saplings and reusable totes, promotes eco-friendly merchandise and includes TV and newspaper advertising, as well as mention in the retailer's direct-mail catalog and in-store signage.

Clorox is also flexing its green muscles this month. Its Brita brand's integration with NBC's "The Biggest Loser" has resulted in the elimination
of plastic water bottles from the show's campus. And with the season finale slated for Earth Day, the brand is planning plenty of in-store marketing
around the TV program.

"It's not black or white," said Mr. Addis, of the Earth Day conundrum. "It's great that people are paying attention. It's great that companies are
starting to do something, but what really drives me crazy is when it's used as a vehicle of greenwashing. I call it the 95-5 rule. Five percent of
somebody's business is green, but 95% of their PR is green."

Wolves in green clothing
And that seems to be the sentiment among many experts, who recognize that separating the good from the bad is a tricky endeavor.

"There are some companies that are still feeling their way around and probably greenwashing to some extent," said Ken Rother, president- chief
operating officer of Tree Hugger and VP-operations of Planet Green Interactive. "This is the problem of our times, but anything that raises
awareness is good."

Experts said that, generally, initiatives that raise money for a specific cause or increase awareness, such as Macy's "Turn Over a New Leaf" campaign, are in keeping with the Earth Day message. However, those companies that play up tenuous links to Earth Day simply to drive sales are contributing to the din and confusing consumers.

The Federal Trade Commission has begun to respond to concerns about that. It announced in November it would begin reviewing its green-marketing guides, last updated in 1998, this year. The move comes a year ahead of schedule, in response to the increase in green-advertising claims, the FTC said.

Wal-Mart: Ads tout recycled materials.
But until the FTC updates its guidelines, the green-marketing landscape is akin to the Wild, Wild West. Anybody, it seems, can claim the mantle of
green, if it suits them.

"The combination of indiscriminate messaging, where everybody has a green message [and some are] flat out greenwashing, and people who are clearly not friends of the environment portraying themselves as that is leading a lot of people to be a little more skeptical," said Alex Steffen, executive editor of World Changing, a sustainability blog.

Saving the world ... yawn
And, if skepticism among consumers increases, one concern is that they could stop paying attention altogether. "Consumers can see through messaging that is not backed with a longer-term commitment to green," said Mr. Wigder. "Moreover, if consumers are bombarded with too much messaging, they may simply tune it out."

Maureen O'Connor, publisher of sustainability blog Alternative Consumer, said the number of green pitches hitting her inbox is just one indication of
the amount of noise in the market. "There are so many wannabes, it's frightening," she said. "There is such a proliferation of PR efforts that
are over the top."

That is leading some to declare Earth Day an overcommercialized event that has lost the cachet that made it so successful in the first place.

"Earth Day's usefulness has passed," said Mr. Steffen. "The idea that we're going to direct our attention to the planet for a day or a week ... is not a
sufficient response anymore. An awful lot of people view Earth Day as the time to express the idea that they are sympathetic to change. We need to
move from being sympathetic to change to actually changing things."

Beware the Bloggers
As consumers become increasingly skeptical of green marketing messages, there's no better forum than the blogosphere.

Bloggers, with their witty posts and reputation for carefully vetting information, are fast becoming the most trusted resource for truly green
products and promotions. As David Binkowski, senior VP-director of word-of-mouth marketing at Manning Selvage & Lee put it, "[It] better not
just be window dressing, because bloggers fact-check everything."

A recent report from Nielsen Online ranked Tree Hugger, World Changing, The Oil Drum and Alternative Consumer among the most popular sustainability blogs on the web. And all are far from ragtag operations.

Motley crew
The sites boast a mix of activists, scholars and experts in topics as varied as green building, energy and nutrition. Some came to the cause early -- one of Alternative Consumer's bloggers is Zach McGrath, a high-school junior -- but others, such as Tree Hugger's Kenny Luna, turned green more recently in response to climatic events.

Tree Hugger is the largest of the environmental blogs, with 10 staffers and more than 50 regular contributors around the world. Its founder, Graham
Hill, dabbled in fashion, viral e-mail and plant-based air filters, among other things, before launching the site in 2004. He's also the guy that
designed the ceramic cup that looks like a paper cup and reads, "We are happy to serve you."

According to Ken Rother, president-chief operating officer, as one of the more influential green sites out there, Tree Hugger aims to take advertising
that adds as much value to the site as the content. Advertisers include Wal-Mart, Simple Shoes, Envirolet composting toilets and a band, The
Weepies.

Pitching in
But even a smaller organization, such as Alternative Consumer, has eight regular contributors. Founded in 2007 by Maureen O'Connor, a native New Yorker, the site takes more of a lifestyle approach to green topics. Recent posts highlight hemp skirts and outdoor furniture made from recycled milk jugs, detergent containers and the like. Advertising, meanwhile, runs the gamut from smaller green companies touting plastic-free diapers and
eco-friendly dog sweaters to national brands such as GE, Sun Chips and Hush Puppies.

The nonprofit blog World Changing counts 150 contributors around the globe, with 25 regulars and five staff members. Its ranks include writers in
Stockholm, Shanghai, Mumbai and Las Vegas, as well as one "Global Nomad." The Oil Drum, which carries only barebones Google ads, is slightly more mysterious. Its writers are largely anonymous and include "Prof. Goose," a professor in the social sciences, and "Heading Out," a faculty member in an energy production discipline.

-- Natalie Zmuda and Michael Bush

Copyright © 1992-2008 Crain Communications

It's no surprise when Lizanne Falsetto says "passion" is her secret weapon. Thinkproducts' CEO, a former model and a mother of two, is excitable.

As think5—a nutrition bar meant for finicky kids who don't finish their vegetables—hits stores, the super-psyched Falsetto said, "This is what the astronauts should be eating!"

Like many fledgling entrepreneurs, Falsetto has a quirky back story. She started thinkproducts out of her kitchen eight years ago after having lived the hectic life of an international fashion model. Tired of watching other models starving or eating junk on the go, she set out to create functional snack foods that were healthy, too.

While the idea was to create "natural, convenient, great tasting, functional foods for people striving to live a life of vitality and free of disease," she found that her product had a positive side effect: It catered to the diets of the low-carb crowd.

"We grew 380% in one year [during the low-carb craze]," she said. The pendulum swung back by 2005. "The one lesson I've learned is to diversify," she said.

That was when she went back to her roots or, at least, nature. In January of 2006, the company relaunched and repositioned its bars with new packaging from Berkeley, Calif., design firm Addis Creson, that reflected a clean, simple look. A matte, color-coded system delineated products into lines that address every need of the category, such as diet (thinkThin), natural (thinkOrganic), nutritional "superfoods" (thinkGreen) and kids (think5). Concurrently, the brand embarked on a publicity campaign that told the story of Falsetto's background and the birth of her brand.

The plan worked. Sales grew to $20 million in 2007—to put that in perspective, they were about $8 million in 2005, before the relaunch. During this period, think expanded its distribution from natural foods stores to national grocery chains. Aside from their new wrapper "wardrobes," the brand was backed by a very modest marketing budget.

For the nutrition bar category, marketing is grass roots, she said. "[Just] get the food in their mouths." Think does in-store demos along with sampling at green- and food-oriented events.

But Falsetto isn't just thinking of think when it comes to marketing; she's spearheaded a cancer prevention initiative with other value-based brand leaders. To benefit Susan G. Komen for the Cure, she rounded up 18 natural-brand executives to pose for a Vanity Fair-style portrait of progressive brands, such as Seventh Generation, Nature's Way, Kiss My Face and Whole Foods Markets. Each May and October, she introduces a promotional item under the thinkThin Pink subline, proceeds of which go to the breast cancer research foundation.

And to show that "natural" fashion doesn't have to be ugly, the indefatigable Falsetto held her second annual thinkVitality fashion show and concert at the Natural Products Expo in Anaheim, Calif., last weekend.

As the company moves ahead, "vitality" and its role in disease prevention will be a key driver. Falsetto has helped family members battle cancer, and she believes in a holistic approach to health. Her Pink bars are formulated to meet the nutritional needs of someone going though chemo or radiation. Someday, she envisions a whole disease-prevention aisle at grocery stores.

A mere eight weeks after her line relaunched in early 2006, Whole Foods' sales of the bars had doubled. Falsetto definitely knew she was on the right track. However, she realized that she had truly arrived when her daughter did a taste test of the crammed-with-veggies think5 bar, which launched two months ago. "We were in the lab and she said, 'Mom this is good,' and I said 'Really? You'll eat that?' Then we're done!"

A year ago, Addis offered partnership of his firm to longtime co-worker John Creson, and the two decided to focus specifically on companies that reflected their ideals. With that, the Addis Creson brand-management firm was born.

“We decided that we didn’t want to be all things for all people. We wanted to be narrow and deep,” said Addis, who graduated from UC Berkeley in 1983 with a focus on marketing. “We wanted to be explicit, and expressively state that we want to work with customers who share our values, and want to bring about positive change.”

The personal values Addis covets in his clients are expressed in the firm’s four main tenets — shared experience, healthy lifestyle, future tense and social change — established along with the Addis Creson partnership.

Despite the stricter philosophical view, Addis said many of his existing clients naturally fell into one of the four desired categories, and prospective clients are now eager to work with the firm.

“If anything, this has created more opportunities for us,” Addis said. “We’re able to focus our resources more specifically on our older clients, and the companies that are referred to us know exactly who we are and what we represent.”

The firm’s client list includes Planned Parenthood, UC Berkeley and Kidfresh.

Addis said the urgency to provide meaningful change through his work is heightened now that he has two children, 11-year-old Sabina, and 7-year-old Cameron.

“Sure, I want them to be proud of their dad, but more importantly, I want them to be good citizens,” Addis said. “They see in me a father who loves what he does, and I hope that shows them everyone has a calling, not just a job.”

Acknowledging the connection between family and his work as a strong motivator, Addis said he tries to create a similar, yet ultimately unique atmosphere among his employees at Addis Creson.

“It would be a cliché to say the company feels like a family, because it doesn’t,” Addis said. “I don’t think companies should have the dynamics of families. But, I will say that the place sure doesn’t feel corporate.”

Project Better Place has a big idea. It’s not just a battery. It’s not just a car. It’s the electric power grid we use every day, extended to power your ride.
 
That’s the plan of Shai Agassi, founder of Project Better Place. He’s using the electricity we already have to create an infrastructure to power up cars at home, at work—wherever it makes sense. For road trips, a network of stations will quickly swap your battery that you'd pay for on a subscription basis – a lot like your cell phone plan.
 
Shai knew we would share his vision for alternative, zero-emissions fuel, and we're grateful for the trust he's placed in us to brand his vision.

You can keep abreast of the building of this major new global initiative, currently code-named Project Better Place here.

Recall of 1 Million Toys Containing Lead Paint Taints Trusted Brands

First Barbie gets beaten up by Bratz. Now Elmo and Dora the Explorer are tainted by lead paint.

Mattel announced Aug. 1 it was recalling 1 million Fisher Price toys, many featuring Nickelodeon and Sesame Street characters, after it found they contained excessive levels of lead paint. About two-thirds of the toys, made by a contract manufacturer in China, reached shelves, company officials said. No injuries were reported.

The massive recall will cost the marketer some $30 million, but it stands to lose a lot more than that. At stake is consumer trust for the Fisher Price brand, long held up as a standard bearer in quality and safety by the most cautious -- and squeamish -- buyers: parents of infants and toddlers.

"It's a million products, so in the grand scheme of things, it's not that significant," said Andy Bateman, CEO of Interbrand, New York. "But it's such a big issue in the public consciousness because it's about our children."

Recent gains
Only a month ago, Mattel posted second-quarter profits that jumped 15% on sales of Fisher Price and Hot Wheels. Even battered Barbie was showing signs of life, with international sales up 6%, her best showing in four years. Though Barbie's U.S. sales were down 5%, Mattel had been crowing over initiatives including a branded MP3 player and a website to bring Barbie into the digital age.

Branding experts so far have said the El Segundo, Calif., company is doing a good job of handling the recall and continued transparency is the only way to win back consumer trust.

"The early signs look very good. ... [Mattel] has been very transparent," Mr. Bateman said.

When a product is recalled, it's crucial for marketers to give out as much information as possible, said Allen Adamson, managing director of the New York office of branding consultancy Landor Associates.

"You need to be upfront, direct and very proactive. The louder they send out this message, the better it is for their brand," Mr. Adamson said.

Being specific
Steven Addis, CEO of branding firm Addis Creson, Berkeley, Calif., said Mattel should specifically say which products are safe and which are hazardous. "If they pull back, parents are going to assume the worst," he said.

Mr. Bateman also said the toymaker would be smart to get involved in online forums about the toys.

To get the word out about the toxic toys, the marketer relied mostly on news outlets, opting against paid ads, a Fisher-Price spokeswoman said. The marketer put an easy-to use chart on its website with the name, number and image of products recalled, and tracked all communication in the media related to the recall, including blogs, consumer affairs call notes and radio, newspaper and broadcast clips.

The recall, which comes months after poisonous pet food made in China was yanked off U.S. shelves, has raised safety questions about foreign-made products. "There is so much worry now that 'Made in China' is going to conjure up skull and crossbones in peoples' minds," Mr. Addis said.

But with a proactive response from Mattel, "the potential upside is [consumers saying] 'Good for you guys. You spotted the problem; it was contained,'" Mr. Bateman said.

What is it? At $20 million in sales, thinkproducts is one of the nation's
largest independent natural nutrition bar manufacturers. Its thinkThin
low-carbohydrate bar is No. 1 in the natural channel, yet CEO and former cat
walker Lizanne Falsetto felt her product line needed to have a more
consistent look and a stronger feeling of vitality. To accomplish this, she
hired food branding specialists, Addis Creson, Berkeley, Calif.

Who will buy it: "Mainstream consumers who seek to live a life of health and
balance," per John Creson, partner at Addis Creson.

The idea: To highlight the quality ingredients, flavor profiles and the
function of the bars. To leverage thinkproducts' core philosophy about
vitality and the power of nature into a new identity. To create a more
unified feel across all thinkproducts.

The challenges: "To break through a very saturated category without being
trite," said Creson. "Finding a fresh way to display food with appetite
appeal, yet conveying the message of a health bar with its functional
benefits that is good for your vitality."

Strategy: To focus on flavor appeal, each of the bars depict the ingredients
cascading down the left side—be it apples, cherries or peanuts. The
packaging design for the three bars is uncluttered and communicates the
purity of the "real food" ingredients thinkproducts is known for using.
Additionally, the color palette chosen is unlike any other in the bar
category. The background colors differentiate each product in cream
(thinkthin), Tiffany blue (thinkorganic) and sage green (thinkgreen).

Other major changes: Think's original corporate logo, a green and yellow
oval-shaped with the ribbon underline, was scrapped. It was replaced with a
text-based logo with a stylized organic apple leaf that dots the "i." A
personal message from Falsetto is printed on the back of each bar penned to
connect her customers with the original intent of the brand. It talks about
how the products in the line are "inner beauty foods" designed for those who
think about what they eat.

Why this is significant: All three bar products now reflect Falsetto's
original inspiration for creating functional, pure foods that are catalysts
for true beauty, strength, energy and vitality. "Think saturated [retailers]
so quickly that we didn't have time, really, to establish our public face,"
said Falsetto. The packaging "finally graphically communicates the essence
of the brand in a meaningful and beautiful way. Every aspect of our
philosophy, product, packaging and communications are now in sync."
thinkproducts is based in Ventura, Calif.

If you weren't wearing Birkenstocks, used patchouli oil and couldn't
immediately name your favorite live bootleg version of the Grateful Dead's
"China Cat Sunflower," then you probably weren't around for the first wave
of organic food's popularity.

No matter: This time around, it's a tidal wave. The consumption of organic
products among today's environmentally conscious population has doubled in
the last five years alone. According to the Nielsen Strategic Planner,
Americans now spend $3.5 billion dollars on organic foods. Last year, more
than 2,000 organic items debuted on grocery shelves—everything from baby
food to precut salads to breakfast cereal.

Which means plenty of food companies are clamoring for a piece of the
organic dollar—and they have two good reasons for doing so. Primarily, food
producers are meeting the demands of a population that's eating healthier.

Another force is driving demand: Americans' increasing wariness about
fertilizers and various farming/processing methods having a negative effect
on the ecosystem. So when consumers buy organic, they seem to be thinking
about their body and the planetary body at the same time.

"Consumers are far more interested in finding brands that fit in with and
support their green lifestyles," said John Creson, partner at Addis Creson,
a brand consultancy in Berkeley, Calif.

The size of this demand is no doubt the reason why the day of organic
products coming solely under brand names that few people recognize is over.
Today, Gerber, Hunt's, Orville Redenbacher, Ragu, Swanson and Frito-Lay's
Tostitos are but a few of the mainstream players who've crossed to the green
side. It also includes big companies that can go green instantly by buying
an organic label. Coca-Cola, for example, acquired the ultrapremium juice
maker Odwalla, while Kellogg gobbled up Kashi. Kraft has Boca Burgers and
Back to Nature.

But the experiences of a huge brand and a small one in the organic arena can
be markedly different. Perhaps because "organic" conjures images of indie
growers on family farms, many boutique brands are embraced while some mega food companies are not.

"Small brands are going from niche to mass because of consumer demand. They want authentic brands," Creson said. In contrast, "Mass brands have to work hard at convincing audiences of an absence of negatives. People are tired of the 'overmassification' of products."

Curiously, two factors that might seem to be risks—taste and cost—matter
less to the organic-buying consumer than one might think. "One of the most
amazing aspects is the consumers are basically giving producers of these
products permission to have them not taste good," said Ken Sadowsky,
president of Atlas Distributing, Auburn, Mass. "It's almost a benefit if it
doesn't taste good."

When it comes to cost, while price sensitivity may be an issue for lower-end
retailers (experts say Wal-Mart's organic offerings ran into trouble with
its core, value-seeking demos), Americans on the whole seem to accept the
idea that ecologically responsible food is going to cost them more. In a
series of 2003 and 2004 studies, researchers from the University of Ohio
found that consumer willingness to pay more for organics increased with age,
number of children in the home and, not surprisingly, household income. The
researchers also discovered that the consumers most committed to eating
organic were willing to spend as much as 37 to 52 cents more for each
organic food item.

That commitment, moreover, appears to vary depending on where you live.
"Regionally, consumers react differently," said Suzy Badaracco, president of
Culinary Tides, Tualatin, Ore., a trends forecaster that works in the food
industry. "In Chicago, for example, if a restaurant says 80% of its
ingredients are locally sourced, that's considered good. However, in
Portland or Seattle, if you're not green and 100% locally-sourced, it's not
acceptable."

Sourcing is, in fact, another factor that's characterizing today's green
movement. Green-conscious consumers don't just examine what's on the shelf,
they want to know about the entire process that precedes it—from how items
are grown, packed and transported, to how various animals are slaughtered.
"Food miles" are among the growing terms being examined. So if an organic
kiwi shows up in the produce aisle, that's a good thing, but if that same
kiwi has traveled to New York from Australia, the energy and fuel required
to get there makes it a far less acceptable choice.

Even if a food item is not organic, the resurgence of the green movement has
meant that many a food company has had to endure a magnifying glass held to
its entire production process. That, in turn, has put a number of major
brands—many of them fast-food chains—on the defensive, scrambling to clean
up their acts and get eco-friendly in a big hurry.

Invariably, that involves marketing messages too. Burger King (which People
for the Ethical Treatment of Animals once dubbed "Murder King") has taken a
very public lead in touting a policy that advocates more humane treatment of
animals, for example. Last month, the fast feeder announced that it's moving
toward "cage free" eggs and "crate free" sows. Based on economics and
supply, it decided that 2% of eggs would come from these sources as well as
10% of its pork.

BK rep Keva Silversmith maintained that these public changes were not
marketing maneuvers, but rather the result of the chain's Animal Welfare
Advisory Council's recommendations. At the same time, an ecologically
sensitive reputation doesn't hurt.

"Our animal agricultural policies . . . [are] not part of our marketing
strategy," Silversmith said, but "by the same token, we're delighted by the public response to our change in policy."

Yet even as the green movement has some companies on the defensive, it's
opened up a world of opportunity for some upstarts. Down in Ft. Lauderdale,
Pizza Fusion has integrated an eco-responsible ethos into its products, its
marketing and its delivery methods.

Barely a year old, Pizza Fusion serves 100% organic pizzas, salads and
sandwiches. It's tagline: "Saving the Earth, one pizza at a time!" The chain
takes the green attitude as far as the ozone layer by having its delivery
people drive hybrid cars, offering a quarter for returned pizza boxes and
offering "Spudware" (made from potatoes) in place of plastic utensils.

Pizza Fusion president Vaughan Lazar said there's a particular need for
organic fast food because "you can live 100% organically in your home, but
the second you walk outside, there goes that." Yet even for consumers who'll
never order from Pizza Fusion, the time is ripe for the business to start.
"People have become more aware of what they're putting in their bodies,"
said Lazar.

Yes, they have. Ask Diane Hartz, the executive director of Sustainable
Table, a nonprofit organization that works to educate New York consumers
about food-related issues. "Awareness has grown exponentially," she said.
"It's on the tip of entering mainstream. Last Thanksgiving, my 74-year-old
mother bought a pasture-raised turkey from a local farmer. It's starting to
sink in."

Kidfresh, a children's grocery store, recently made its debut, backed with a branding package by Berkeley, Calif.-based Addis Creson. Not exactly a Lunchables outlet, Kidfresh, whose first and only store so far is found on Manhattan's Upper East Side, offers a line of freshly prepared kids' meals to go, with an emphasis on organic and natural ingredients as well as nutritional value (staffers include an executive chef and a pediatric nutritionist). Breakfasts, snacks, lunches and dinners, adapted for four different age groups, are available fully prepared or sold on a mix-and-match basis. And fun, as you'd expect, is at a premium, via food shapes, colors, kits and games, not to mention cooking classes for kids.

Since Kidfresh is attempting to carve out a new retail niche, "our work needed to define this offering in the consumer's mind in order to insulate the brand from future competition," says Addis Creson CD John Creson. "The healthy-lifestyle category is being recast as it goes mainstream, and it appeals to a broader range of audiences. With this transformation, the visual vernacular of 'healthy and natural' is changing, in line with consumer aspirations. For Kidfresh, we created a brand language that appeals to the sensibilities of the affluent parent while making healthy food fun for kids — presenting 'healthy' as a vital component of a luxury lifestyle." A certain bold simplicity was in order, seen in the Century Gothic-based, custom-made lower-case logo and colorful fruit icons — "a playful, contemporary palette that appeals to kids and adults," says Creson. In addition, the branding supplies a system of assets that can be developed as the company grows, he notes. The Kidfresh concept is expected to expand to other cities over the next 18 months. In the meantime, this being Manhattan, you can bet they deliver. See Kidfresh.com <http://www.kidfresh.com>  for more.

We’re not even two months into a new year, and as our readers look into the branding crystal ball to divine the trends for the year, a number of branding firms around the world representing different disciplines were asked to give their own predictions of trends.

The responses were diverse, yet—surprisingly—unified. According to the experts, it's the year of the consumer—paradoxically bedraggled and emboldened. Traditional brand-building is hugely redefined; technology and brands merge; fantasy sports, virtual worlds, and social networking rule; "green" and accountability are king; and, of course, some things never really change. And so we present, in their own words, insights, predictions and further divinations for 2007.

Brand-Building Reinvented
"Many consumer segments have become numb to messages that smack of traditional advertising. Marketers and branders will need to understand how to integrate their brands into this type of experience, building entertainment and viral value in more grassroots approaches surrounding less overt sales messaging."
Josh Kelly, Principal
FINE Design Group

"We will see more product placement in films, TV, and on the bodies/lips of celebrities as advertisers scramble to find alternative ways to influence consumers in this fast-forward-through-ads, TiVo generation.

"Celebrities are 'influencers,' which is why brands will be dishing out more bucks to get celebrities to wear, drink, eat, and be photographed with their product brand. We will also see a rise in 'experiential' advertising, marketing, and public relations as brands try alternative ways to reach consumers."
Rita Tateel, President
The Celebrity Source

Power to the People
"Gen X-ers need independence and interdependence in products and services. In the time-pressed, faceless world, they seek to be heard. America Idol and YouTube are brands that provide opportunities for these consumers to be heard. In terms of interdependence, Gen X-ers seek to make meaningful social connections virtually and live. My Girl Friend's Kitchen helps women prepare meals and connect with friends all at a great value. Second Life reflects Gen X-ers' need to escape and connect in a virtual world."
Shelley Rosen, CEO
Airlift Ideas

"From MySpace to blogs to message boards, consumers are now listening to the voice of fellow consumers more than that of the marketer. Forty-four percent of the US online population publishes their thoughts and experiences they have with brands every day, positive or negative.

"With that said, the trend for brands is, and will be, complete accountability—period. The brands that walk the walk with their promise, and become an active part in the customer conversation, will flourish. The brands that don't will suffer."
Roy De Young, Brand Strategist
Temel Inc.

"Smart brands will learn to empower the consumer. Today's consumers know that they hold most of the power in their relationships with brands. Be it by sharing relevant learning with consumers, creating environments that foster customer communities, or offering relevant product or service benefits that improve people's lives, the brands that not only engage but also empower will be the brands that break away from the competition this year."
Hayes Roth, Chief Marketing Officer
Landor Associates

Design Redefined
"Design economy is about the convergence of value and design. Today's consumer is demanding both in their product offering. Brands like Target, Apple, and JetBlue intimately understand what the customer deserves both with their service and product offering."
Shelley Rosen, CEO
Airlift Ideas

"One interesting shift in how we develop the visual piece of the brand is how important digital presence is now. It, in many cases, is driving what we [design]. This means more color, more transparent overlapping. The old adage about how will it look in the Wall Street Journal is just that: old."
Jeffrey Marcus, Principal
Marcus Associates

"We have been tempted for some time to issue our staff black turtlenecks outfitted with pocket protectors. Increasingly, branding and design considerations are overlapping with technological ones and there is more than ever a need for this improbable pairing of analytical and creative minds. It could be argued that at some point in the future, branding will be more a function of technological savvy than design sensibility."
Josh Kelly, Principal
FINE Design Group

A Brave New (Entertaining) World
"Avatars are becoming more popular in marketing. Recently, stars like Ludacris and corporate mascots such as Tony the Tiger of Kellogg's have been utilized as a form of brand promotion. Much like a pop-up window, a singer such as Ludacris will appear on your desktop and walk you through various tasks on your computer (shopping, web browsing, etc.). He even will sing and dance based on voice-activated or keystroke commands. For many, this makes the online experience much more user-friendly and simple. It also provides entertainment and brand strength."
Dave Seidler, Designer
Baer Design Group

"The sports industry is booming like never before. A multi-billion dollar global business on the cutting-edge of entertainment, new media technology, and marketing synergies, the sports industry will continue to boom. However, amid the prosperity, the consumer of sport—the fan—has never been harder to reach…. To date, fantasy sports have changed the way major sports are viewed. A multi-billion dollar industry [in its own right], it has yet to be fully embraced by blue-chip marketers…. I expect that to change as the industry continues to grow by leaps and bounds, not to mention the prime demographic [comprising] influencers."
John Meindl, President/CEO
Sports Branded Media Inc.

Some Things Don't Change
"I believe we will see more and more brand extensions over the coming years. An example of this would be World Gym creating its own line of energy drinks. (This is strictly a hypothetical example.) While World Gym does not have a core competency in energy drinks or nutritional supplements, it could leverage its brand as experts in the physical fitness industry to create relevance and credibility for extending the brand into other niche markets. As companies with established brands gain more awareness in the marketplace, the brands become a commodity that can be used to leverage new products into new markets with a reduced amount of risk and a reduced barrier to entry."
David P. Smith, President
Envision Creative Group

"Brand identity is more important in 2007 than ever before for small and midsized companies, which need to establish some recognition before they go out and try to sell their unknown products and services. Integrated marketing communications and brand consistency across functions and divisions are imperative."
Todd Baer, Creative Director
Baer Design Group

Think Good and Green
"As we look to the future of branding, my thoughts have moved toward inspiring and guiding our clients to create new ideas, products, and experiences that make our world a better place. The tipping point of 'green thinking' has arrived and more and more people will search for ways to participate or choose brands that are actively making a difference. I believe—and I am optimistic—that we are moving toward something new: an era of new opportunity."
John Creson, Executive Creative Director
Addis Creson

"Sustainability will be a theme that resonates with consumers as it becomes better understood; and it will be a focus for companies looking to do well, while doing good."
Peter Dixon, Creative Director, Retail Design Practice
Lippincott Mercer

"More and more celebrities are supporting environmental causes and 'going green' with emphasis on supporting alternative energy sources…. Cause-related marketing and PR will continue to rise among brands as an effective tool to 'achieve success by doing good.' Socially conscious baby boomers—who are now in the decision-making roles in corporate America—are driving this trend, as are consumers who are much more likely to buy products from companies they perceive as socially responsible and supportive of causes."
Rita Tateel, President
The Celebrity Source

The Corporate Landscape
"[Worldwide,] 2006 saw some of the most heightened activity in mergers and acquisitions, across all sectors of the healthcare industry. As pharma and biotech converge to form potential powerhouses of the future, companies are going to have to look hard and fast at the role of the corporate brand as never before.

"Recent levels of attrition in both pipelines and the rate of new drug approvals coupled with some substantial patent expiries looming on the horizon, will continue to challenge the way in which companies approach both the development and management of their product brands. The watchword for the industry in 2007 will be how to make brands work smarter."
Rebecca Robins, Global Marketing Director
Interbrand Wood Healthcare

"[In Europe] I predict a shift from companies focusing on building their brand experiences to building their customer experiences. With good clothes you notice how good the clothes look, with great clothes you notice how great the person looks: so [it goes] with great brands—customers shouldn't notice the branding, but the great experience."
David Hensley, Senior Partner
Lippincott Mercer London

"[In Eastern Europe] there is a certain surge of the demand of branding jobs, mainly in the product branding and packaging areas. The shelf has been rather dull until now, and the EU accession brings also a tide of better-designed Western products, which put the local brands at a disadvantage in front of the consumer. Rapid change of consumer lifestyles is another factor to accelerate this trend."
Aneta Bogdan, Managing Partner
Brandient

"[In Asia,] even as media gets fragmented with more customer touch-points than ever, the importance of brand building cannot be overstated. To a large extent, the customer still buys with his heart rather than his head, and so it's imperative that clients and advertising agencies continue to project the right brand image for a product or service by investing in brand building."
Suresh Kumar, Creative Group Head
Gosh Advertising Pte Ltd Singapore

"[In the US,] corporate fraud, misdeeds, and lies will continue to be major problems for global and national corporate brands. Most corporations are still not walking the talk to become more honest, transparent, accountable, humble, and consistent to build long-term excellent reputations. As a result, a growing trend with corporation brands continues to be corporations with reputations in crisis.

"Ironically, fraud and corruption in the corporate world is so bad that simply doing the right thing has become a major differentiator."
Mike Paul, President and Senior Counselor
MGP & Associates PR

My own branding prediction? 2007 will continue to follow the laws of nature: only the fit will survive.

Source: brandchannel.com

Next time you blow your nose, you may find yourself thinking about your girlfriend. Or your kid. Or your dog. Or so Kleenex hopes.

On Monday, paper-products giant Kimberly-Clark will unveil plans to sell customized Kleenex boxes. Each oval-shaped, cardboard pack can be adorned with photos of just about anyone or anything folks want.

With the $7.2 billion household paper products market stalled — and Kleenex sales off last year — the brand is embracing personalized products. In a world where consumers can customize their Nike shoes, M&M candies and even their Heinz ketchup labels, the Kleenex box is jumping into the fray.

“It’s the brand as me,” says Grant McCracken, a cultural anthropologist. For an emerging generation of YouTube enthusiasts who prefer to blaze their own paths, reducing consumer-created content to the tissue box might work, he says.

But not without sticker shock. A conventional box of Kleenex costs about a buck. But the newfangled "My Kleenex" box, sold online at mykleenextissue.com, sells for $4.99 — plus roughly $3 shipping.

That's about $8 for one box.

"This strikes me as the height of idiocy," says Barry Schwartz, author of The Paradox of Choice: Why More is Less. "It says to me that we have too much stuff and too much money."

Kimberly-Clark thinks otherwise. It's already tried goosing sales by infusing perfumes, lotions and germicides into Kleenex. Now this.

"People love to express their own personal style," says Peggy Nabbefeldt, marketing director for Kleenex. "Now, you can take the special moments of your life and commemorate them on a Kleenex box."

She suggests weddings. Or graduations. Or special vacations. During a test among company employees over Christmas, one worker placed a personalized marriage proposal on a Kleenex box, Nabbefeldt says.

There is a limit to what can go on the box. The company will not print hate messages, violence, nudity or unapproved company trademarks, says Rob George, associate marketing manager.

At a time when generics are cleaning Kleenex's clock, the company hopes its personalized boxes nudge people to "bond" with the brand, Nabbefeldt says. In an ultra-visual pun, the site even advises folks: Let out your creative juices.

What to do with an empty box?

That's a bit of a sticky wicket. "Now you're getting into the area of throwing away memories," warns Steven Addis, a branding expert.

Not to worry. Kleenex is hot on the trail, George says. The website will suggest uses for empty boxes — such as pencil holders or a spot for potted plants. But not, heaven forbid, a place to stuff used Kleenex.

Watchdogs Call Nutrition Push 'Deceptive'
Two titans often portrayed as villains in the war against childhood obesity-Mars and Wal-Mart-are out to show they're good guys by introducing a line of nutrient-fortified kids' snacks promoted as "jam-packed with good stuff." But they aren't satisfying nutrition watchdogs, who are slamming the pretzel, cookie and cracker products, dubbed Kid-Didits, even as they hit the shelves.

"As an alternative to potato chips and Snickers bars, these snacks might be more reasonable, but to position them as truly healthful is misleading," said Margo Wootan, director-nutrition policy at the Center for Science in the Public Interest. "The public is always happy to hear they can eat junk food without the consequences ... so a little bit of deceptive marketing goes a long way."

The mission of Kid-Didits, targeted to 6- to 11-year-olds and initially available only at Wal-Mart, is to "motivate kids to discover the importance of good nutrition in their lives and empower them to make healthful choices on their own," according to kiddidits.com. The site offers teaching tools, including lesson plans about nutrients and food-pyramid charts for classrooms. It also offers kids the chance to post their photos and tales of achievement, some of which will grace the front of the brand's packaging.

Ellen Briggs, food consultant and author of "Are Your Kids Running on Empty?" notes that while Kid-Didits are a step in the right direction, with 100-calorie portions and a lack of artificial ingredients and trans fats, they are still heavily processed and derive more than 60% of their calories from a sugar source. She also said the added vitamins and nutrients will not be as well-absorbed by the body as vitamins that naturally occur in foods.

Steven Addis, president of brand consultancy Addis Creson, called Kid-Didits an example of "greenwashing," an attempt by food companies to paint junk food in a more positive light. He applauds Mars for heading down a more healthful path, but said, "It's a baby step, and as parents become more savvy about reading nutritional labels, they won't be too impressed by this."

Unfamiliar Territory

Mars, which is marketing the product out of its nutrition division, hopes to prove him and other critics wrong. With its six-item line of Kid-Didits cheese snacks, pretzels and cookies, it's leaping into largely unfamiliar territory dominated by heavy hitters Pepsi's Frito-Lay and Kraft's Nabisco. Mars' existing noncandy snacks have not fared well. Sales for its Combos brand in food, drug and mass merchandisers excluding Wal-Mart dropped more than 14% last year to $22 million, and its Kudos granola-bar sales fell 18% to $26 million, according to Information Resources Inc.

The inability to strike a balance between products both kids and critics can stomach has plagued food marketers trying to develop more-healthful fare. According to Packaged Facts' 2006 Snack Food Sales study, the move toward such products is the biggest trend in the $61 billion snack category. Less-healthful segments, such as cookies and crackers, have suffered from the fervor over increased nutrition as marketers struggle to crack the code on tasty, healthful snacks.

The Right Target

Allen Adamson, managing director of Landor and author of "Brand Simple," believes the empowerment piece of Kid-Didits' positioning shows Mars understands that "the answer lies in getting kids to want to eat healthier snacks." He said Kid-Didits "feel fun and cool for kids and don't say 'healthy' directly, which by default implies it tastes terrible."

Scott Lucas, VP-packaging for Interbrand, said the choice Mars made to address kids rather than moms is a trend with marketers, as is the kid-empowerment idea. "Brands that can get consumers to be advocates gain more legitimacy," he said.

Mars spokeswoman Marlene Machut said the Kid-Didits line is "a step in the right direction." Kids should eat plenty of fruits, vegetables and whole grains, "but these are snacks and, together with a healthy diet, they would complement any deficiencies kids have in the way they eat today." Kid-Didits, she said, taste good and meet most nutrition standards set in schools, which "is not that easy to do."

Mars will give out more than 3 million samples of Kid-Didits during the next five months, focusing on events in the 10 markets where it will initially be sold that tie in to its achievement and aspiration themes. Although it will not advertise the line during the initial test, Mars will use 15-year-old actress Amy Bruckner, star of Disney's "Phil of the Future," in public-relations efforts. The promotion agency is BFG Communications, Hilton Head, S.C.

Limited Edition Designed to Boost Sagging Sales
Fat Elvis might have put deep-fried peanut-butter-and-banana-sandwiches on the map, but Skinny Elvis is getting the spotlight as Hershey Co. turns to the King to shake up Reese's sales.Coinciding with the 30th Anniversary of Elvis's death next summer, Hershey will shimmy onto the shelf a limited-edition peanut-butter-and-banana-creme variety inspired by the rock 'n' roll legend. And the rollout will be accompanied by a significant promotional outlay.

30th anniversary
The push comes as part of Hershey's effort to regain momentum for its brands, which have lost share to Mars during the last three months. Sales for Reese's -- No. 1 in the chocolate category -- fell slightly during the last year to $412 million. And while many retailers question the appeal of the new flavor itself, the power of the pompadoured pop star is expected to bring attention to the item in stores.

Trip to Graceland
"Even retailers who don't do much with limited editions will with this one," said an executive close to Hershey. In part, that's because Hershey plans to promote it with far more pomp and circumstance than is typically put against its limited editions. Peanut-butter-and-banana-creme, which features Elvis (the skinny one) on package graphics, will include an under-the-label instant-win game offering a trip for two to Graceland. Other prizes include Elvis memorabilia and a limited-edition Elvis Nascar car.

Hershey will also place Elvis on the side of its Reese's Nascar car and will tout the Elvis tie-in heavily with advertising, in-store efforts and a major public-relations outreach during August and September, especially during Elvis Week 2007, which will be held Aug. 11-19. Because 2007 represents the 30th anniversary of Elvis' death, the event, according to the website of promoter Elvis Presley Enterprises, is expected to "be the biggest, most exciting Elvis Week ever."

A proven icon
This year's buzz aside, Elvis has done well hawking products posthumously, ranking first in Forbes' 2005 list of top-earning deceased celebrities with $45 million in sales last year. The King is featured in ads for the Honda CR-V, he'll be touted in a TV Guide tribute CD on the magazine's Dec. 11 cover and he has recently been licensed for everything from revolvers (the Elvis Presley "Taking Care of Business" Smith & Wesson) to keys. Zippo has sold out its limited-edition Elvis lighters annually for the last 20 years.

"Elvis is such a tried-and-true icon, using him is going to work [for Hershey]. The question is how big it will be," said Landor managing director Allen Adamson. That said, though, he added there is "potential upside and very little downside."

Steven Addis, president of Addis Creson, agrees that using the borrowed interest of Elvis couldn't hurt and is actually a great way to test a product. Given the promotional efforts around the variety, he suggested Hershey is thinking of rolling out a banana-creme Reese's variety longer term, and using Elvis is "a good way to get trial early on."

Retailers agree, even those who aren't crazy about the flavor combination. "I didn't like the way it tastes, but anything with Elvis has a possibility," said one Midwest grocery executive. "The girls in my office are thrilled." Even 30 years dead, Elvis still has a way with the ladies.

To see the full article, click here: Advertising Age

Ambassadors effort nets 400,000 blog mentions

The Sprint Ambassadors program, which is currently wrapping up after launching in January, was de-signed to promote Sprint’s Power Vision network, which offers music downloads, live TV and multiplayer games over mobile phones. Sprint launched the service last fall with no advertising. Instead, it asked high-profile bloggers like Jeff Jarvis (buzzmachine.com) and Jeff Jaffe (jaffejuice.com) if they wanted to take part in the program. Those who acquiesced, like Jarvis and Jaffe, got six months of free Power Vision service, starting in January, and a free Samsung 8920 phone. In all, about 400 people signed up for the program, said a Sprint rep. "We wanted to take a grassroots approach and give the phones to those people who were most likely to benefit and try to use the services," the rep said. The program was designed to get the word out in the blogosphere and to solicit ideas about the service and the phone. Sprint used some of the suggestions, though the rep declined to say which ones.

The program netted the term "Sprint Ambasador Program" 389,000 hits on Google. Jaffe said that, in itself, was a sign of success. "You can't buy 400,000 hits," he said. "Of all the bloggers they contacted, each one has an audience. Jarvis probably gets 6,000-10,000 people a day." Jaffe, who also runs the marketing consulting firm Jaffe in Westport, Conn., said he gets about 2,000 regular visitors a day to his site.

What kind of mentions did Sprint generate? Most were along the lines of this from Jason Dowdell's site marketingshift.com, who explained in a post that he had been contacted by Sprint and "the offer and e-mail didn't appear to be a scam or anything so after reading through the terms of service I decided to apply for the program. . . . At the end of the program the Ambassadors (users in the Sprint program) get to keep the phone, which I thought was pretty schweet."

Dowdell, reached by phone last week, said his enthusiasm had waned. "I don't really like the phone that much," he said. Dowdell added that he hadn't posted his assessment about the phone on his site because he's been too busy, but would have no qualms about doing so.

Jaffe, meanwhile, said he would also bash the phone or the service if he didn't like them. "I have no problem accepting a Sprint Ambassador phone," he said. "I would not and never would talk kindly of them just because they gave me something." Jaffe did, however, give the phone mention on his site whenever he posted a picture he had taken with the phone. He added that if he did speak ill of the phone or service and Sprint sent him a letter rescinding the offer, he'd post the letter on his site.

Such transparency represents a major risk for marketers looking to get their word out to the blogosphere, yet it remains a powerful, if untapped way to boost sales. According to a 2005 study by Forrester/Intelliseek, Cambridge, Mass., more than 60% of consumers trust other consumers’ postings about products and brands versus less than 50% for branded ads. So, it’s no wonder that others have tried Sprint’s approach. In 2004, Procter & Gamble gave free Mr. Clean Auto Dry kits to bloggers and asked for their honest appraisals. Last year, Nokia launched the Nokia 7710 VIP Program, an effort similar to Sprint’s that gave free phones to 1,800 people around the world.

"I think it’s pretty widespread," said Steven Addis, CEO of consultancy Addis Group in Berkeley, Calif. "People are looking for cues from others online. It’s a really powerful way to get your message across."

Nolo taped more than 50 hours of focus group feedback and tested redesigned books in mock stores to come up with a compelling design. Back in 1971, when the company founders decided to produce legal books for the layperson, they faced prison for the unauthorized practice of law. Nolo helped change the laws blocking the publication of its books, and its "Law for All" motto graced its titles for 35 years. But that tagline, however sentimental, did not resonate with today's consumers. While the focus groups responded to the "trustworthiness" of the Nolo's content, the books' covers were deemed unapproachable.

"The word 'textbook' kept coming up, and we pride ourselves on being plain English," said Nolo marketing director Pat Jenkins. After field-testing several redesigns, the company decided on its new look: less text-heavy covers that feature Astrid, the golden Labrador retriever. "What is more companionable than a dog?" said Jenkins.

Scott Doddington, buyer at Tower Books, noticed the change in Nolo's look right away. "For once I thought: the covers matched the content," he said. "And I predict the dog will become iconic."

To see the full article, click here: Publisher's Weekly

Sitting in a recent training class for Ikea's newest hires, Mark Poole said he quickly noticed a difference between past employers and his new one. "Everywhere else I've worked it's been, 'Work, work, work, don't complain'" said Poole, 38, a former security guard hired to work in the self-service warehouse at Ikea’s new West Sacramento store. "But this place is different. Ikea really cares about employees."

And that's the point, say officials with the Swedish-based retailer, who take pride in Ikea's culture of being "different."

Among its employees - known as "co-workers" in Ikea-speak - the company promotes a culture of "empowerment," encouraging entry-level employees to be vocal about suggestions for store improvements and to exert their own decision-making skills on the sales floor.

Unlike some competitors in the retail industry, Ikea offers family-friendly flexible scheduling, paid vacation, a 401(k) plan with employer match, and medical benefits - even for part-time employees. There's also a staff cafeteria with $2 "meal deals," reduced prices on all Ikea merchandise and even occasional employee discounts on Volvo vehicles and Dell computers.

Those are among the policies that have earned Ikea repeated recognition on Working Mother and Fortune magazines' lists of "100 Best Companies" to work for in the United States.

They also helped attract roughly 4,000 applicants to the West Sacramento store's four-day job fair in December, where prospective hires competed for 400 positions.

Although most were local, applicants came from as far away as Modesto and the Bay Area, according to store officials.

"Ikea is very progressive, they really make work-life balance a priority," said Carol Evans, chief executive of Working Mother Media, which publishes Working Mother magazine.

Among the practices Evans praised: half of Ikea's top earners are women; half of its internal promotions are of women; and it helped pay educational tuition for 750 of its 8,500 U.S. employees in 2004.

The privately held company won't disclose wages or how much employees contribute to their health insurance premiums, except to state that Ikea is competitive with other retailers. Full-time employees - considered as those with at least 19 hours a week - start with two weeks of paid vacation a year.

The company's work force is not unionized, nor have there been any attempts to organize Ikea workers in the United States, according to store spokesman Joseph Roth. "I'd like to think it’s because we’re known as a good employer. There's a recognition that because of our Swedish heritage ... we offer very good benefits."

Promoting a "work-life balance" for store employees has long been the mantra of Ikea North America President Pernille Lopez. As a working mother, Lopez began pushing for more generous benefits and flexible scheduling - allowing Ikea's employees to adjust their shifts around their family schedules as much as possible - as she rose to head of the company's human resources department in 1997 and then became president in 2001, Roth said.

But benefits are not just about altruism, experts say. An encouraging work environment can help companies reduce costly turnover, which is endemic in the retail industry, said Dave Brennan, co-director of the Institute for Retailing Excellence at the University of St. Thomas College of Business in Minneapolis.

In an industry where an annual turnover of 100 percent among employees is not unheard of, Ikea’s turnover is about 35 percent - about half of what it was before Ikea began its emphasis on so-called work-life balance, according to company officials.

Focusing on workplace benefits can yield a payoff in other realms. "To the extent you have happy employees who feel they are doing well and being treated well by the company, so much the better in how they react to customers," said Brennan. "If you have someone who doesn't want to be there, what are the chances that they’re going to be good with the customer?"

Ikea's workplace policies and its size - 38 North American stores, including 11 in Canada - also may help it avoid the fate that Wal-Mart Stores Inc., with 3,000-plus stores, often faces in expanding into new communities.

Wal-Mart's "labor practices give opponents fodder for opposing new stores. Because Ikea (avoids) that, it paves the way for far less resistance when they want to move in," said Steven Addis, chief executive of Addis Group, a Berkeley consulting firm that specializes in brand strategy.

For its yellow-shirted employees - as well as those who wear other uniforms at Ikea - training is ongoing. The 400 new hires in West Sacramento will have spent four to six weeks in training, including traveling to Ikea’s Emeryville store to practice their job skills. Their instruction runs the retail gamut, from how to prevent store theft to how to communicate with customers by understanding various "life stages" - empty nesters, college students, first-time apartment owners and young parents.

As regular employees, they'll be encouraged to plot their careers through a "Paddle Your Own Canoe" development program, where they keep an online file of career goals and how to achieve them. Employees also can participate in an "I want your job" program, where they identify desired positions and seek coaching from the person who has that job. On their breaks, employees can surf company computers to search for job opportunities in any of the company's global outlets, including its seven stores in China.

Indeed, the West Sacramento store has Ikea transfer employees from Poland, Germany and Russia, and two from Sweden.

And Baltimore. Terri Smith, a four-year Ikea employee who is the West Sacramento bistro and food market manager, said she got a chance to move from Maryland to California through the company’s goal-setting program. "You're encouraged to try 10 jobs in 10 years, if that's what you want," she said.

Back at the training class, one new hire, Darla Cofer, said she applied because she's looking to work outside the home now that her youngest son is about to head off to college.

"I'm pumped for us to open so we can put into action what we’ve learned," said Cofer, who was hired as a reconciliation clerk for the store’s cashiers.

That’s the kind of enthusiasm that store officials hope will keep employees on the job.

Store manager Heine Roikjer, a Denmark native and Ikea veteran who's starting his first U.S. job with the company, says that while it’s the benefits that may entice new employees, he believes it's Ikea's workplace culture that keeps them there. "It overshadows everything else. When you go home, you enjoy it so much more when you've had a pleasant time at work."

Full article: Sacramento Bee

Visa USA is bidding adieu to its advertising theme of 20 years, "It's Everywhere You Want to Be," in favor of "Life Takes Visa."

The new slogan is intended to convey the idea that Visa is the most accepted payment method in the world.

Viewers will see Visa's new ad campaign throughout the 17 days of the Winter Olympics broadcasts that begin Friday. Visa is the exclusive credit card sponsor.

In fact, it will be nearly impossible to miss the new ads. Visa, an association of card issuers headquartered in San Francisco, says it has purchased enough time and space on national broadcast television, in magazines, on high-traffic Web sites and on billboards over the next three months to generate more than 4 billion impressions on consumers.

"Most people with their eyes open will know that Visa has a new message in the marketplace," said Susanne Lyons, executive vice president and chief marketing officer of Visa USA.

Last year, Visa ended its relationship with BBDO, its advertising agency of 20 years. It then held a competition for the account, selecting TBWAChiatDay to create a new campaign and rebuild the brand.

"You don't lightly cast off an old relationship," certainly one so familiar and synonymous with Visa, said Lyons. She said the change had evolved over two years. The switch is necessary because Visa has evolved from a credit card company to the worldwide leader in electronic payments. Visa's products include debit, prepaid and commercial cards.

Ads shown during the Olympics will feature skater Michelle Kwan, skier Bode Miller and other athletes in what advertisers call aspirational spots, which feature personalities with whom viewers identify. Visa's consumer research shows a halo effect from Olympic sponsorship.

Otherwise, the "Life Takes Visa" campaign shows vignettes of regular people doing things ranging from ordinary to extraordinary, with a voiceover describing what life takes -- ambition, practice, luck, tradition, exploration, determination, joy, spontaneity and more. The commercials end with the tagline, "but no matter what it takes, life takes Visa."

The idea is to make an emotional connection with consumers. "Life Takes Visa reinforces our brand promise to deliver innovative products and services that can be used anytime, anywhere, and that empowers Visa cardholders to experience life and business their way and on their terms," Lyons said.

Steven Addis, chief executive of brand consultants Addis Group Inc. of Berkeley, said the "Life Takes Visa" campaign implies that using Visa cards is essential, just like qualities such as exploration and determination.

"We are to believe that buying things on credit is as important to our lives as spontaneity and joy," Addis said. "It takes a lot of hubris to assert that it takes Visa to live."

Addis said he believes Visa is trying to build on MasterCard's well-known theme, "There are some things money can't buy. For everything else there's MasterCard."

"MasterCard's execution takes the high road and elevates intangibles such as relationships and dreams above our needs as consumers," Addis said. But Visa "devalues those important intangibles by equating them to buying things."

Visa's long-running but now retired ad theme gave momentum to the brand, which is the world's top card issuer. Visa accounts for 14.6 percent of payments in the nation's $8.7 trillion in personal consumption expenditures, according to data from a variety of sources. Checks represent 44 percent, cash 14.5 percent, other cards 18.1 percent and miscellaneous 8.8 percent, according to the research.

Full article: San Francisco Chronicle

Verizon Communications Inc. launches an ad blitz for its new unit serving government and corporate customers today that is built around the client list, workers and global reach of the former MCI but that all but buries its brand.

Verizon Business, the new unit, is the result of Verizon’s $8.5 billion acquisition of Ashburn-based MCI Inc., which had a customer base covering most of the Fortune 500 -- including Boeing Co. and McDonald's Corp. -- and deep experience serving the federal government. The vast majority of the new unit's roughly $20 billion in revenue and 35,000 employees are from MCI.

Verizon had already telegraphed its plans to start erasing the MCI name, announcing after the merger closed this month that the MCI Center in the District would become the Verizon Center.

In a television ad that the company plans to unveil today, Verizon is seeking to target the corporate clients that were MCI's bread and butter and to emphasize the mobile capabilities that Verizon Wireless can offer them -- all while playing down the MCI brand.

Verizon will launch a new set of products designed to let corporate and government workers access their networks securely while working from remote locations via wireless cards or land lines.

It plans to highlight the ability of Verizon's wireless network to provide "business continuity," giving companies access to their data even if natural disasters or terrorist attacks knock out land lines.

MCI's name appears on screen for only about two seconds in the TV ad, which shows executives working on laptops in an airport lounge, video conferencing from a boardroom and typing away on an airplane.

In a print ad introducing Verizon Business the company uses the word MCI only once, in small print near the bottom of the page.

Advertising executives said it made sense for the company to have adopted the Verizon brand for the new unit, saying MCI -- whose roots date to the 1960s, when it began competing with AT&T for corporate customers -- had never come up with an enduring advertising image or slogan.

"MCI let itself die a bit, and not having something iconic like the Sprint 'pin drop' has something to do with that," said Claudia Caplan, chief marketing officer for Mendelsohn Zien Advertising LLC in Los Angeles. "Verizon's 'Can you hear me now?' has really become part of the lexicon."

Steven Addis, chief executive of the Addis Group brand consultancy in Berkeley, Calif., said there are advantages to adopting a "master brand" because ads for Verizon Wireless, Verizon Business and Verizon's high-speed DSL Internet access will reinforce one another.

He said MCI's brand may have been tarnished by its merger with WorldCom Inc., whose accounting scandal and filing for bankruptcy protection generated reams of negative media reports.

"It's a very convenient solution to get rid of that, and it's far more efficient to live under one name," Addis said. "If you're out marketing, [and] you spend a dollar on Verizon, there is a halo effect over to Verizon Business and Verizon Wireless and all things Verizon because it's the same name. . . . You get a dividend across all of them."

To drive home the point, the Verizon Business television ad ends with the slogan "We never stop working for you," which often appears in Verizon Wireless commercials.

Full article: Washington Post