Go back to 1984 to learn a lesson Apple. When the Mac was introduced and there was “the computer for the rest of us” there was nothing else in the category (except maybe the Amiga). The enemy was Microsoft- a company that didn’t even make a computer. Apple has seen its fortunes rise and fall with the all important market share- and the battle has taken it close to the edge of non-existence. Now, sitting on $54 billion in cash, once again- Apple is taking a huge gamble- fighting the Android operating system from Google- a company that tried to make a phone and failed (the Nexus 1).

As of this week- Android operating system, which is FREE, took third position in smart phone operating system market share. That’s third with a bullet- in a little over a year, it’s passed the iOS which has been out for 4 years.

Android is now larger than the iPhone on the world stage, analysts at Gartner said today. Google’s phone platform jumped to 10.6 million phones sold, or enough to overtake the iPhone and take 17.2 percent of the market. The researchers believe Apple sold more iPhones than it shipped, at 8.47 million, but the higher number was still enough to put it at fourth place with 14.2 percent.

via Gartner: Android has overtaken iPhone worldwide | Electronista.

The Google Apps store is quickly catching up with Apple’s in number of titles as well- and this is where the real money is for software. This is where Apple has to learn that no matter how great their hardware- the money is in Software- especially when every single iOS units buys an average of 5 apps- which Apple makes money on.

The market share in the US would be much larger if Apple ended their “exclusivity” deal with AT&T early. In fact, right now, paying AT&T off to allow the iPhone to come to other carriers before the Christmas buying season would be a smart move. Offer AT&T the profits on every Verizon app store sale through Jan 1, 2012, offer a lump sum for every AT&T switcher between now and Jan 1, 2012, but don’t continue to not be available to so many who are making moves to Android because of lack of competition. Winning that market share is infinitely more expensive in the long run.

Apple also has to look at each iOS device now as a part of its iAd strategy- which will pay more for every user connected, the revenue from AT&T will pale in comparison very soon- unless iOS gets marginalized again by Android. Smart phones are the most important data gathering devices for martketers that we know of. Google is a master at this game- and will be increasingly harder to beat.

If Steve Jobs- or anyone at Apple has the smarts to look at their own history, they’ll know that market share by having more carriers is worth more in the long run than anything else. It’s bad enough we have 2 year contracts and early termination fees to battle- now, the enemy is giving away software- and if you think it’s not dangerous- go ask Marc Andreesen what happened to Netscape once Microsoft started giving away Internet Explorer.

When it comes to marketing efficiency and software sales- market share is everything. Letting your competition leapfrog you because of stubborn business models is insanely stupid. There is no rational reason not to end the exclusivity deal with AT&T early- even if it costs Apple in the short run.

I highly recommend reading The E-Myth by Michael Gerber, which spells out the difference between a business and a job.

We’ve been getting a lot of “beginner” questions lately- and so I thought I’d share some answers:

As to the question in the title of this post- just having a website doesn’t bring customers anymore than having a business on a side street. You still need to advertise,  marker, or beat a drum. Building a reputation requires continuous action and reaction.

SEO be damned- even turning up first on Google isn’t anymore of a strategy than being listed first in the yellow pages- even if your name is really “Aardvark.” Although turning up in Google somewhere is mandatory- but, a quick trip to places.google.com can solve that.

“I want to buy a bunch of email addresses and send out a newsletter to get them to my website so they’ll buy.” Sure- and what do you do with e-mail that comes from strangers? Do you read it all?

“Call the paper and find out why they didn’t write a story about my new business.” Right now newspapers are having a hard enough time writing real news- and getting people to read it. Some have a “press release submission” page on their site- and post everything. When was the last time you went and read it?

“My prices are the best in the {pick one: City, State, Nation, Continent, Planet, Universe} why aren’t people buying from me?” If you are planning on using price as your main marketing tool, get out of business now. It’s hard enough competing with price comparisons a google click away.

Here are some bits of wisdom for all new entrepreneurs:

• People do business with people they like. Do thinks that make friends- online and offline, and then work like hell to get your friends to talk well of you.
• Trust is the most important currency in business today, don’t play games with prices, people, or promotion. Mean what you say- stick to your word and under-promise and over deliver and you’ll be fine.
• Branding does matter. If people are going to talk about you- they need a name to talk about. If we print it on a t-shirt for our employees- will customers want to buy the shirt from you to wear around town? That’s the quick way of figuring out if you have a brand people like- or not.
• In this economy there are no “safe” moves. Don’t do things like your competition- do things that make them want to be like you. Being flamboyant is cool again- be it with constant self-promotion via social media like Twitter, YouTube, Facebook- or, driving a billboard. Don’t be shy- it’s not going to get your name out there.
• As a warning- many of you will find that working for someone else isn’t the same as working for yourself, you thought you got rid of your old boss- now every customer is now your boss. The idea that when you own your own business you can take a half day off anytime you want- the correct answer is which half, the first 12 hours or the second 12. Young businesses are like babies- they need a lot of attention.
• Banks aren’t lending like they used to. Be warned, credit cards aren’t your friends. Learn quickly the value of cash- and never forget it. It’s probably the least pushed part of small business accounting in business school- but, cash is king- you heard it here first. With cash- drive a super-hard bargain every chance you get- and try to get your vendors to finance as much of your business as possible- then they have a real stake in if you will succeed or not.

And if you still are wondering where the customers are- you can always call a good ad agency who can help you find them and deliver your core message. We’re available btw.

The key to the news industry is the first part of their name: NEWS. The rest of it- if it isn’t absolutely relevant to their readers- isn’t worth the paper it’s soon to be no longer printed on.

For as long as newspapers have been in business- they’ve been a one-to-many ad sponsored vehicle. Those days are over. Now, they have to learn how to be a one-to-one conversation- and know as much about you and your interests as they know about the things they are supposed to cover. Unfortunately- no one in the corporate suite has figured it out yet- and they are still selling impressions- by the thousands, instead of meaningful relations.

And while the iPad from Apple may be the ultimate way to provide a multi-media experience on a screen- these are areas that the newspaper industry is still playing catch up on. Sure – a little video here or there, and of course- photos in color (although if you look at their print editions some newspapers are still printing some pages in black and white). But- iPads are expensive and Apple isn’t exactly being easy to work with on the data collection side.

With Amazon’s new $139 wi-fi Kindle- or any of the numerous Android powered tablets hitting the market these days- the economics of publishing “Newspapers” digitally is now practical: of the $200 or so collected for a 1-year subscription- at least that much is spent on the printing and distribution of the dead wood with oil on it. It’s time for newspapers to take a lesson from the phone companies and start handing out Kindle’s for a 2 year subscription. So what if you can read other newspapers- or books on it, put your logo on it and lock customers into a “better news experience.” Make the content slightly better than the print or typical online experience- and tailor the ads like a Hong Kong custom suit- expressly for the reader. Work to sell the relationship to local businesses- who are struggling for a way to reach the masses without being obstructive- and build a community that’s talking to each other.

People still want news- and especially news that’s relevant to them. But- being assaulted by random ads in the internet age has no more relevance today than back in the sixties when Howard Luck Gossage said “People don’t read ads. People read what interests them, and sometimes it’s an ad.”

What they taught us in “marketing” and in “advertising” was that it’s all about deliver a product to match up the consumers needs with our products and services. Only one small problem in our eyes- consumers who had unlimited choice and the entire globe to buy from- and an abundance of information aren’t rational- they are emotional.

The nice science of the “4p’s” didn’t work. It wasn’t Product, Place, Price, Promotion” – it was what makes me happy. Selling was out- stories were in. People activated when charismatic leaders put on great performances- just look at what Steve Jobs did with Apple- and has refined over the years.

That Apple computer had a position called “Evangelist” was the writing on the wall- not a VP of sales- but a fracking Evangelist. Which would you rather have on your business card?

We thought the most cogent explanation of business to date was one from Peter Drucker- that business only had two tool- marketing (in the broad sense) and innovation- hence our name.

But our methodology was all Apple- it was style with substance. It was stories and sales. It was more about “In Search of Excellence” – the first mega-business best seller book by Tom Peters and Bob Waterman, than about marketing and advertising- we wanted customers to delight in the process of buying things.

One of our hero’s is still David Ogilvy, the founder of Ogilvy advertising- and even though he died in 1999, with the epitaph “I’d like to be remembered as a copywriter who had some big ideas” his firm lives on- and is still generating big ideas for big clients.

Recently, they posted their new take on the 4ps- which they believe as given way to the 4E’s- and we concur:

from Product to Experience

from Place to Everyplace

from Price to Exchange

from Promotion to Evangelism

EXPERIENCE Discover and map out the full Customer Journey on your own brand – in your own country.

EVERYPLACE
Develop your knowledge of new media and channels the way a chef masters new ingredients. Try new things – do something that doesn’t start with TV or print.

EXCHANGE Appreciate the value of things, not just the cost. Start by calculating the value of your customers – and what their attention, engagement and permission are worth to you.

EVANGELISM Find the passion and emotion in your brand. Inspire your customers and employees with your passion.

via The 4Ps Are Out, The 4Es Are In | Ogilvy & Mather.

The reality is that even the best advertising only brought customers to your door- you still had to do the final sale. The best ad agencies in the world now tell their clients- we’re not only going to do your ads- but we’re even going to tell you how to ask for the sale- how to answer the phone. It’s why Burger King has finally found an ad agency in Crispin Porter + Bogusky that’s delivered the kind of growth that BK hadn’t gotten out of the traditional agencies they’d worked for previously. Pull through the drive thru- and the voice on the speaker will say “nice order” after you finish. Crispin has even helped with product development- typically not a part of what an ad agency does.

The move from a media creation and buying agency to one as partner and consultant has been difficult for many agencies and clients alike. With the overload of media and messages that the typical customer experiences everyday- there is one thing that will always outperform any ad: an amazing experience with your product or service.

So before the next meeting with your ad agency- instead of asking what the next ad is going to look like- maybe it’s time to discuss what the next customer should experience- because that’s where the money changes hands if it’s done right.

Art & Copy DVD cover

The number of “students” who come through this small agencies door, drawn by the work on this site is truly amazing. Many are about to graduate from 2 or 4 year programs that specialize in Advertising, Graphic Design, Marketing, Business or even the new buzz-degree “new-media.”

With the economy being what it’s been- we’ve also seen a lot of “seasoned professionals” in the market. People who’ve been going through the motions for 5, 10 and even 20 years- turning out what they believe to be “advertising” and “marketing” materials.

The sad thing is, most may know the tools- page layout, illustration, webdev- but, few- understand the why of what they do. I make everyone here at The Next Wave read, at a minimum, “Ogilvy on Advertising” or “Hey Whipple, Squeeze This” so that they understand the reason behind thinking before putting ideas on paper (or in “new media”). I’m seriously thinking of making them watch this too:

ART & COPY introduces the cultural visionaries who revolutionized advertising during the industry s golden age in the 1960s by creating slogans to live by and ads we all remember. You may have never heard of them, but pop pioneers Lee Clow, Hal Riney, George Lois, Mary Wells, Jeff Goodby, Rich Silverstein, Phyllis K. Robinson, Dan Wieden, and David Kennedy have changed the way we eat, work, shop, and communicate often in ways we don t even realize. From the introduction of the Volkswagen to America to the triumph of Apple Computers, ART & COPY explores the most successful and influential advertising campaigns of the 20th century, and the creative minds that launched them.

via Amazon link Art & Copy: Inside Advertising’s Creative Revolution: Doug Pray: Movies & TV.

An hour and a half of listening to the greats of this business- discussing what makes real advertising work. It’s the real thing, baby- from the genteel West Coast cool of Lee Clow- to the NY Bronx attitudes of George Lois, you get the feel for the business the way it’s supposed to be practiced- with guts and gusto.

Lois steals the show, with his straight forward comments about most contemporary advertising- which is missing as he calls it “The Big Idea”- but, while he’s put on a pedestal for growing Tommy Hilfiger from a no-one to some-one with one gutsy ad- the clear hints in the film about how he basically stole his own “I want my Maypo” to “I want my MTV” show how in advertising originality isn’t always the golden egg- effectiveness is.

If you are a student of advertising and you haven’t seen “Art & Copy” it’s time. If you are an advertising professional, and haven’t seen it- maybe someone should question what profession you are really in.

Because, as is alluded to in the film- we’re all students of public perception, desire, trends- and this film helps us understand how that process evolved from the beginning of the “creative revolution” started by Bill Bernbach, to today.

And if you want more good stuff to further your education, try our booklist.

When Acura first came out they had two models- the Legend and the Integra. People started talking about their car model name instead of the brand name and Acura soon switched to numbers and letters ala Mercedes Benz, BMW, Jaguar et al.

Giving your brand top billing is great, but- make sure customers can actually identify your product clearly. With cars- it’s pretty simple because they have brand name, model number and model year. When it comes to computers and peripherals, cameras, hi-fi equipment and other stuff- most companies fail.

Computers should be easy- because you can turn them on and there should be a screen that has all the info. Apple has it under the “About my Mac” where you can copy the entire spec sheet. But- what if you CAN’T TURN IT ON- and are trying to identify it? Frustration sets in. This is critical for customer support- this is critical for the resale market (and never ignore the resale marker- because the value of your used goods is the best indicator of the value of your new products). Serial number look ups are great- if they are readily available online- but, then again- please don’t make it microscopic (Apple- are you listening?).

Recently trying to sell some old Pantone swatch books on Ebay I was having a hard time identifying what year each book was printed. For a company that likes to claim that you should buy new swatch books or chip fans- annually- shouldn’t the product date be on EVERY page you print?

When you look at the myriad of offerings from companies like Dell- compared to the simple product matrix from Apple- how do customers really choose between the 7 different 24″ monitors with different price points- and know what model does what? Did you make your product matrix and nomenclature too complex?

Customer frustration isn’t a good branding strategy. Think back to the early days of Sears & Roebuck: Good, Better, Best- and make sure the numbers and letters work in some kind of logical order (Hello Canon- 1D, 5D, 7D which is best? Most expensive? ARGH!).

Only Marketplace seemed to have a grip on what it really means- Google will have yet another way to learn your behaviors and deliver relevant ads to you.

Google is big brother. They read your e-mail through gmail. They know what you are interested in by what you watch on YouTube, what you search for on Google, they know who you called and what you talked about via Google Voice and they can even read your Google docs and check your Google calendar. It’s a Google life.

As the kings of sponsored search- they provide ads relevant to what your interest is RIGHT now. Tie all that info together and you can see the advantage of you watching TV through their Google Settop box. Forget the networks selling ad time in their show- the Google set top box will have a stockpile of ads that they think will be just what you are interested in already sitting in your box waiting for just the next commercial break in your programming. Sure, they’ll kick some of the ad revenue back to the content producer (they know making content is expensive (sometimes) and that people should get paid for making programming YOU like to watch). They just don’t think you should watch anything that isn’t specifically relevant to you.

They’ll be so good at analyzing all that data that they’ll even offer to run the ads for next to nothing- as long as you use Google checkout via your Google SetTop box so they can skim off the credit card processing fee plus a few points for delivering the sale.

No other company has as much access to data as Google does right now. The few other players in the field- Amazon, Apple, Netflix and a few dating sites including the really interesting dating/market research site OKCupid- can only put a few pieces of the puzzle together. Even Apple with it’s Mac/iPhone/iTunes environment can’t also provide search results (although they could gather data via their Safari browser and their elegant operating system).

Is this move by Google good- or to be feared? Their mantra is “don’t be evil” but, at some point, life can get pretty boring with everything coming to you picked by someone else. What happens with political ads? Public service messages? At what point do we want to step away from the giant database of human intentions?

It will most certainly change the world of advertising and media buying. Clients will be freed of all media buying planning- just serious demographic/psychographic profiling in order to identify target markets. Then again- maybe that will be part of the next Google algorithm.

The only problem left will be how to figure out what content to watch- but, then again- Netflix and Amazon have already figured out the whole “you like this- then you’ll like this” deal- so maybe, it won’t be an issue. Google’s only remaining hurdle is how to deliver all this data- but, that’s why they are starting the Google Fiber project, so it won’t be long.

Posts about the Google SetTop Box:

How a Google-Powered Set-top Box Could Make a Splash

All Giz Wants: A Google Set Top Box That Doesn’t Suck

Google and Partners Seek TV Foothold

It comes down to customer service- and understanding that the best marketing is outstanding customer service- “marketing as a service.”

Amazon got it when an ad agency suggested they spend at least $30 million a year on ads- and instead they decided to give their customers free shipping (of course, once they started into their own products like the Kindle- they had to start advertising).

One has to credit Crispin Porter + Bogusky for taking on Domino’s Pizza- and not only telling them that the quality of their pizza is the problem (they probably told VW that being below average in the JD Power car quality charts wasn’t helping sales too) but getting the company to pay money to tell customers that their pizza did suck, but it’s better now:

You can spend all the money on marketing you want- just remember, if your product or service is less than stellar- good advertising will only kill your product sooner.

That’s the beauty of web 2.0, not, when you screw up, someone will tell a lot of people- either on your site, where you can respond and try to fix it- or on anyone of millions of other sites, including their own- where you may or may not be able to respond. If you haven’t set up Google Alerts on every product name, company name, key people in your business- you may be finding out the hard way when things are going wrong.

If there is one place we need customer service 2.0 it’s government. Unfortunately, most politicians and bureaucrats think they are immune from finger pointing (although they’re all aces at it). The rest of the nation already understands the value of open, honest communication, unfortunately we’re still doing government with rules from long before the information age.

If you want an in your face take on customer service, I give you Gary Vaynerchuk of Wine Library speaking at SXSW (parental advisory for naughty words):

As a parting thought- thanks to Gary- it also doesn’t hurt for your company to have a personality either. Try reading “Personality not included” by Rohit Bhargava- it’ll wake you up to what kind of service is possible with personality.

There is no “App for that” when it comes to customer service- it all comes from the choices leadership makes. Advertising or free shipping? Quality product or lower pricing? A warranty that customers can believe in, or a legal trap to play gotcha?

Customer service should be first on everyone’s mind, everyday, because there is an app to tell the world when you screw up- you’re looking at it now. Comment below at will.

Now, pizza is a very subjective subject- some like it with thin crust, some thick, some believe in wood fired and others like deep dish. The “contest” is really not about the pizza- but about the paper driving traffic to their site and selling ads.

But, it can have real effect to the winners and the losers. The winner get’s bragging rights- and possibly a business bump. The losers all get ticked off. Next thing you know, you’ve lost a subscriber, a reader, or respect from the pizza aficionados who really know pizza- all because the contest wasn’t really a contest, but a popularity contest- and with internet voting, for the most part- a very imperfect system that can and will be gamed. Bragging rights for pizza is one thing, but a contest for a hybrid school bus takes this to another level. This is a real prize and required the students to invest time in creating a video/work of art to compete. Now, you’ve asked for free labor (crowd sourced creative) and then left the “judging” up to whomever can rig the system best.

We will choose the top 10 finalists, then all of America will be invited to vote online for the ultimate champion. Students of any age can enter (although a parent or teacher will need to sponsor students under 13 years of age). Group or class entries are also encouraged.

via America’s Greenest Schools – Contest Overview.

There is no requirement to watch all 10 videos before voting, no way of verifying without a doubt that voters are actual voters. It’s not like the Superbowl ad meter- which is a more scientific system, although not perfect by any means.

While all the voters may actually be made aware of your new hybrid bus, the 9 losers won’t be happy. And, does the stunt of the contest really advance your brand? Or does it alienate the losers it creates?

Contests for contests sake are fine, but once you tie in user generated content and ask people to do your work for you- make sure that the user gets more benefit that you do. Considering YouTube is the second most important search engine- consider requiring key words or links to a page that you want to have at the top of search- instead of allowing it to be a popularity contest open to all- have a real panel of judges to filter the final entries- and allow all the other entrants to judge the finalists- with a random prize for those who take the time to review the top finalists.

Just like you wouldn’t bet the farm on a spot that tested well with bad methodology- why run a contest that way?

Unless you like being tagged #FAIL by those who believed in your contest in the first place.

Yes, knowing how to use tools like the Adobe Creative Suite is important, but knowing how to use ones brain is why someone wants to hire you.

So, here it it is, in real simple words: your job is to make me more money than I pay you as your boss. And my job is to make my clients more money from the money they spend on advertising/marketing/design/development etc.

Because, advertising only costs if it doesn’t work.

Yep, there you have it. The essentials of business, all in one nice, easy to digest post.

You’ll see those words all over this site (unlike other ad agencies) who talk about all kinds of other things that sound good to MBAs, but, when we get right down to it- we do things to help sell stuff. If it doesn’t sell, it’s not creative, good or worth a dime to anyone.

How does a student need to prepare for that moment of terror when they walk in with their book and ask for someone to hire them, instead of all their other classmates?

Here’s a secret: you are the product. If you can’t sell you- how can you sell other peoples sugar water, netbooks or feminine hygiene products?

Just like any other creative brief, you better have done the research: what’s the industry, who are the leaders, what’s their claim to fame, what did they do better than their competition? If I get one more student through these doors who hasn’t heard of Bernbach, Ogilvy, Chiat, Clow, Fallon, Wieden, Bogusky, Rand, Pentagram, Duffy, etc. I should start cutting off ears and sending them back to their schools. How can you teach this business and not talk about those who’ve changed the industry?

And as much as we like to think it’s all pretty pictures with snappy words, you better understand something about how money is made. What’s a business model, what’s the distribution channel, how does your client make their money? Is it the razors or the blades? How can you make your client money if you don’t know what makes them money? Being able to focus on the right thing, is the first step in making them more money than they pay you. Read a few business books- get cozy with Peter Drucker or Tom Peters. Know what’s made to stick and who is a linchpin. (I should be putting in links galore here- but, I’m already giving you the secret tools to your success, you should have  to work a bit).

Last but not least, the job market you are preparing yourself for isn’t the one that’s there today, but the one for when you graduate and beyond. You better be tapped into what’s the next big thing- not what’s the big thing right now. Hint: Web 2.0 is already well established- start thinking about what happens when your phone has the bandwidth and speed of a desktop machine and is always on and connected. If you don’t know how to run a content management system, optimize for search, build community or produce video don’t even think of graduating yet.

And when you do go in to interview for that job, and you’re sitting across from an old guy like me (face it, men still rule in advertising) it shouldn’t be me interviewing you as much as it should be you interviewing me- because the first job you take will have a lot to do with how much you get to grow. Make sure the passion is still burning in your future boss as brightly as it’s burning within you, because it’s going to a take a super hot fire under your butt to add your name to the list of those who’ve come before and changed this business.

That’s what makes me get up every morning and love what I do. Because, as the saying goes, even a bad day in advertising beats a great day in anything else.

And that’s why you went to ad school in the first place? Isn’t it?

Click here to view the embedded video.

The video really showcases an elegant interface, but it’s still a very 1 way mechanism- with no discussion of feedback, learning about the user, or delivering custom ad feeds, very much a designers solution as opposed to an advertising based/business model based solution:

The concept aims to capture the essence of magazine reading, which people have been enjoying for decades: an engaging and unique reading experience in which high-quality writing and stunning imagery build up immersive stories.

The concept uses the power of digital media to create a rich and meaningful experience, while maintaining the relaxed and curated features of printed magazines. It has been designed for a world in which interactivity, abundant information and unlimited options could be perceived as intrusive and overwhelming.

via Digital Magazines: Bonnier Mag + Prototype | Bonnier AB.

The real value is being able to deliver custom ads, with feedback to advertisers- do you like this ad, this product, do you want to learn more, or you want to buy? Will the content be a pure cash buy for the user, or will advertising still support it? And best of all, we’ll finally know who is reading the ads.

Remember, without the need to print- and distribute, the costs for content producers drop considerably. However, the cost of getting readers willing to pay- that’s another matter. While we may solve the hardware issue, solving the content value equation- and the amount of intrusion of advertising is a much bigger problem.

What will be most critical is a single publishing standard- so that one e-reader can read any content and advertisers can reach all readers based on your personal preferences. The only other remaining challenge is getting enough of these readers out all at once. It will have to be fast for publishers to transition smoothly. With magazines and newspapers dropping like flies, maybe it’s time for a national e-reader initiative as part of a green tech movement. Every newspaper, every magazine, should consider ending printed publications by banding together and delivering an e-reader as part of the subscription cost.

The faster we move to digital print, the faster we move to better, more trackable advertising.

Good advertising makes fans/friends, good service makes customers for life.

Google decided to spend their marketing money giving customers something that is useful: free WiFi at airports (note- at least two on the list already had free WiFi- Las Vegas and Jacksonville).

When you’re traveling this holiday season, you can enjoy free WiFi at 47 participating airports and on every Virgin America flight. Just bring a WiFi-enabled laptop or mobile device and stay connected to family and friends for free while you travel now through January 15, 2010.

via Free WiFi – A 2009-2010 Holiday Gift from Google.

The real question is why most airports haven’t realized that business travelers, who are their bread and butter, would tell you that WiFi is more (or at least equally important) as toilet paper in the bathroom stalls. In the hyper-competitive market for business travelers there is no excuse for not having both free WiFi and plenty of charging stations/power outlets for the power traveler.

What can your business give away to build goodwill? What information could you provide that makes you not only the expert in your field, but invaluable to customers? Make every interaction with customers one where you give them value and they will value your business relationship.

“Because the purpose of business is to create a customer, the business enterprise has two–and only two–basic functions: marketing and innovation. Marketing and innovation produce results; all the rest are costs. Marketing is the distinguishing, unique function of the business.”

Yet, time after time we see companies trot out responses to competition that aren’t much different than the competition. Witness the box like car pioneered by the Scion Xb, then the Honda Element, and now the Nissan Cube. Honda misjudged the primary market so badly for the Element- thinking young hipsters would be the primary market- and it ended up being a car for the practical geriatric set (don’t worry, Chrysler had the same experience with the PT Cruiser).

And then there is a crazy inventor named James Dyson. The man who made 5,127 prototypes before coming up with the vacuum that doesn’t lose suction as it does its job. Not only did the vacuum work better- it also looked better- bright yellow, in a land of beige and brown. It also proudly displayed your dirt- something other vacuums were skittish about.

He was able to charge a premium for his product, not because of better marketing, but because he had built a better product. How many times would I rather get a better product than a better advertising pitch: it’s a no brainer, every time.

Dyson Air Blade hand dryer

But the key to the Dyson brand is that they’ve continued to offer products that don’t look or act like other products. Just adding a ball to the vacuum wasn’t enough, next came the hand dryer- the “Air Blade” the scraped the water off your hands with one simple swipe through a wall of super fast air. It cut the time to dry hands by a third compared to other air dryers.

Now, Dyson introduces a fan- like no other. And, while the fan looks different, works different, it also solves a major safety issue (which I only found out once I tweeted about it- and a friend instantly retweeted- kid safe, no fan blades).

Dyson Air Multiplier fan

Sure it costs about 10 times more than the fan you can get at the local superstore, but, that’s what real innovation does- it gives a business a distinct competitive advantage. Here is the description from Dyson:

The Dyson Air Multiplier™ fan works very differently to conventional fans. It uses Air Multiplier™ technology to draw in air and amplify it 15 times, producing an uninterrupted stream of smooth air. With no blades or grill, it’s safe, easy to clean and doesn’t cause unpleasant buffeting.

via Dyson Air Multiplier™ fan | Dyson.com.

So, next time the client says “make the logo bigger” the correct response is “make the product better.”

Dyson understands what Peter Drucker preached. Innovation is better marketing.

Spend millions of dollars to tell us that they’re the Friendly skies- but break one guitar, try to deny a claim- for several years, and it all goes bye-bye faster than a rocketship.

One week after Dave Carroll, a relatively unknown singer in a band called Sons of Maxwell, released a music video called “United breaks guitars” he’s had over 3.3 million views. It was all over twitter the very first day of release, and United was finally making apologies two days later.

Click here to view the embedded video.

Companies can’t afford to tick off customers anymore- because customers can fight back.

Taylor guitars took the cue from the video- and posted an info video to talk to guitar players about how to travel safely with their guitar, and offered to repair their competitors guitars, should this happen to you:

Click here to view the embedded video.

Of course, while United has spent literally millions to associate themselves with Gershwin, I’m pretty sure that for the next few years- Rhapsody in Blue won’t be the first thing many people think of when they think United.

In fact, the total absence of information on the United site- about this, or on a response from United on YouTube, instead- having Dave Carroll telling folks that United decided to pay up after the release of the video, show United just doesn’t get it.

Click here to view the embedded video.

When you search on their customer service site- it says it all:

Screenshot from United Site for United Breaks Guitars

This is not how to respond to 3 million plus views on YouTube.

So, remember- next time a customer calls with a complaint- think of it as an opportunity to create a good news story, ’cause the bad news one will hurt.

Advertising legend Howard Luck Gossage said “People don’t read ads, they read what interests them and sometimes it’s an ad.”

In today’s marketplace, people watch and share the outrageous. The question is, is it outrageous in a way that extends your brand message? Is it something that helps you make your point about why brand X is better than brand Y?

Evian, a company that sells the most commoditized product in the world- water, gives us an entertaining ditty with babies roller skating to the track of “Rappers Delight”- anyone 40 and older- their core market, remembers this song, and thinks babies are cute. This ad will get a lot of positive spread.

Click here to view the embedded video.

Then, there is an ad, probably done by the bad boys of advertising, Crispin Porter + Bogusky for Internet Explorer 8 and it’s private browsing feature. You’ll watch this- go, eehhwwwwww- and then tell 10 friends. O.M.G.I.G.P. or “Oh, my god, I’m gonna puke”

Click here to view the embedded video.

If given the choice, which would you prefer represented your brand? And, if trends continue, the puking woman is outscoring the babies in views on YouTube by a landslide, so think carefully.