The 2011 UK Budget by Chris Thomas
Chris Thomas from One Accounting (www.oneaccounting.co.uk) discusses the impact of the UK’s 2011 Budget for the self-employed and SMEs. Podcast recorded in Edinburgh on 31 March 2011.
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How St Andrews Golf Company has re-invented itself by exporting to Asian markets
At our Dundee Lunch on 17 March 2011, Ewan Glen CEO of St Andrews Golf Company, discussed why his company was forced to look for new markets and opportunities after the corporate gift market virtually disappeared following the European and American financial crisis in 2008.
Ewan Glen explains the background to St Andrews Golf Company.
Ewan Glen explains why St Andrews Golf Company runs historical golf days.
Ewan Glen discusses his plans for St Andrews Golf Company.
The Last Traditional Golf Club Maker in the World
Ewan Glen from St. Andrews Golf Company (www.standrewsgolfco.com) explains how he got involved in the St. Andrews Golf Company, the challenges he has faced and his ambitions for the business. Podcast recorded in Dundee on 17 March 2011.
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Six Ways to Excel in Business Today by Ruth McKay and Ben Cartwright
Ruth Mckay and Ben Cartwright from UNIQ The Academy for Entrepreneurs (www.souniq.co.uk) offer six ways to excel in business. Podcast recorded in Edinburgh on 15 September 2010.
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Record Your Life Story
Anne Reid from SpeakingLives® (www.tellyourstoryoncd.co.uk) discusses the importance of recording your life story to CD for posterity. Podcast recorded in Edinburgh on 10 February 2011.
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What would David Ogilvy (one of the original Mad Men) think of online marketing?
The American television series Mad Men has received rave reviews and awards for its depiction of a fictional New York advertising agency in mid 1960s. Part of it’s appeal is the attention to detail and thorough research the creators have given to everything, from the set, props, wardrobe and script. Indeed, several legendary advertising figures and campaigns are often mentioned in the boardroom conversations, David Ogilvy among them.
For viewers who are unfamiliar with advertising history and it’s key figures, David Ogilvy was an Englishman (born 1911) to a Scottish father and Irish mother. He attended Fettes College in Edinburgh then Oxford, but left before his degree to work as a chef in Paris, then returned to Scotland to sell AGA cookers, which he did very successfully.
His older and more successful brother, Francis, gave him a job in advertising agency in London, Mather & Crowther. David then moved to New York to seek new opportunities.
Between 1938 and 1948 he worked as a researcher for George Gallup, a British intelligence officer during the war and an Amish farmer in the post war years. During this time he read extensively on advertising and business management.
Returning to New York in 1948, he was instrumental in starting a new advertising agency Hewitt, Ogilvy, Benson, & Mather. The agency would later be known as Ogilvy & Mather. His talent for writing and research (honed at George Gallup) coupled with hard work and a growing network of contacts, propelled Ogilvy’s fledgling agency to steadily win accounts for household brands and blue chip companies. Being British gave him a different perspective on American culture, which he used to his advantage.
Ogivily’s innovative theories on advertising were an antidote to what was prevalent at the time. Much advertising was too artistic, poetic and in his opinion, meaningless. Ogilvy believed advertising should sell the product and be memorable. Benefit and fact based headlines and copy was, in his view, the best way to achieve this, as this headline for Rolls Royce shows:
At 60 miles an hour the loudest noise in this new Rolls-Royce comes from the electric clock
He also believed that any illustrations or photography in printed advertising should have story appeal and the ‘burr of singularity’, which is discussed later in this blog post.
While he personally created a handful of classic and enduring advertising campaigns for the likes of Rolls Royce, Hathway shirts, Dove, Guinness, Puerto Rico and British tourism, he eventually left the copy writing and creative input to his staff. Ogilvy ultimately became a figure head for the agency, regularly giving speeches, writing books, travelling around the world (he hated flying) and appearing on TV. In his later years, he believed he stopped working as a copywriter too early.
David Ogilvy’s Legacy
While Ogilvy wrote three books during his life time (he died in 1999) the most comprehensive about the man himself and his legacy is Ken Roman’s biography ‘The King of Madison Avenue’. Roman is one of the few people who could do justice to writing the first ever biography about David Ogilvy, since he started working at Ogilvy & Mather in 1963. Roman eventually became CEO and Chairman.
Ken Roman visited Edinburgh in 2009 to promote the book at a reading organised by The Drum magazine (see video clip below). This was followed by a visit to Ogilvy’s former school, Fettes College. Roman discussed the key moments of Ogilvy’s life, his qualities, failings and anecdotes from their decades of working together.
Having read Ogilvy’s two key books on advertising(‘Confessions’ and ‘Ogilvy on Advertising’) I was interested to find out more about the man himself and what lead him to create the legendary advertising and of course, the global agency. While his life was not without a dull moment (he married three times) it’s Roman’s assessment of Ogilvy’s legacy that helps us understand his relevance in advertising and business today. It also supports my views on what he would of thought of the new digital age we live in today.
It’s easy to focus solely on the advertising campaigns, Ogilvy influenced many aspects of the advertising business. We can credit him for:
- Encouraging business and corporations to adopt a brand image. He didn’t invent the idea but he championed it as early as 1955. All the Ogilvy & Mather offices had a consistent brand image, from the stationery, advertising and office interiors.
- He was instrumental in making the advertising a profession.
- Changed in the industry norm for charging commission to fees, like the legal profession
- Championed direct mail long before it’s prevalence in the 80s and 90s. Many organisations and businesses still appoint agencies to deliver direct mail campaigns today.
- Campaigns should be measured in terms of sales or results. Today many industry awards honour effectiveness in terms of sales, response or results.
- He abhorred agencies that created advertising to seek awards and recognition for creative inventiveness.
- He was a great leader, whose principles and values helped to build a major international agency that still exists today. Albeit, after a hostile takeover in 1989 by Martin Sorrell’s WPP Group.
- He showed respect for good manners in advertising, in dealing with clients, and in treating employees. In contrast to some of the petulant and egotistical personalities that have appeared in the marketing industry.
For me, one the most interesting sections in the book is the final chapter, titled ‘(More)Unpublished David Ogilvy’. This is a selection of memos, letters, speeches and articles from the files of his partners.
In one memo from 1973, Ogilvy supported working freelance or ‘moonlighting’: “We encourage moonlighting, particularly among our copywriters. It broadens their experience. It gives them more sense of responsibility. It increases their income – at no cost to us.”
He continues: “Only two rules. Chaps must not moonlight on competing accounts or for other agencies, and they must not be caught doing the work in office hours.”
What would David Ogilvy think of today’s digital platforms?
I agree with the author’s belief that Ogilvy would have approved of todays digital channels and social media, since they can be used for research, data capture as well as delivering a campaign. The web is full of dashboards for capturing data and statistics about an individual, brand or business. In addition to numbers, the sentiment can also be measured and filtered if needed. I am sure Ogilvy would have marvelled at these innovations and approved of their use in marketing.
Personalised content and location based advertising is the modern day equivalent of direct mail. However, from experience of working for large organisations, print based direct mail is still widely used, so digital channels haven’t replaced it entirely yet.
Incidentally, using the technology would have been beyond him. Ogilvy never used a typewriter, only freshly sharpened pencils. He rarely watched television and didn’t embrace it as an advertising medium. His contemporaries, such Bill Bernbach and Leo Burnett (often mentioned in Mad Men also) were the creatives blazing a trail with television.
Nowadays, you know, the creative departments and agencies are dominated by specialists in television. Their ambition is to win awards at festivals. They don’t give a damn whether their commercials sell, provided they entertain people and win awards. The won’t have anything to do with research if they can help it. These creative entertainer have done the advertising business appalling damage.
Using David Ogilvy’s advertising principles in your business
While many of today’s advertising creatives and writers owe a bigger debt to greats such as Bill Bernbach (Volkswagen adverts) and Leo Burnett (Malboro man and Jolly Green Giant campaigns) if your business needs to produce it’s own press or outdoor advertising they should adopt
Ogilvy’s approach of communicating the facts and benefits in an attractive and compelling way.
6 Degrees Networking, co-founder, Steven Mitchell adopted this approach for a series of shop window postcards for City Car Club. The postcards were nominated for a Chip Shop Award in 2008. The six cards simply convey the benefits of using City Car Club. You can view the postcards here.
Great advertising, Ogilvy was fond of saying, has a ‘burr of singularity’, something unusual enough to stick to the reader’s or viewer’s mind, the way a non-metaphoric burr sticks to your trousers. A burr could be a visual device in a print advertisement, like the eye patch conveying the aristocratic aura and story appeal of the Hathaway man. View this classic advert.
I keep on beating the drums for advertising that sells, and flogging those who think that advertising is entertainment. I will go to my grave believing that advertisers want results, and the advertising business may go its grave believing otherwise.
For anyone new to advertising and marketing Ogilivy’s first book Confessions (written in 1964) and his second one ‘Ogilvy on Advertising’ (written in 1982) are essential reading. He is a good writer and very quotable:
Search all the parks in all your cities. You’ll find no statues of committees.
Ogilvy’s third book was an autobiography ‘Blood, Beer and Brains’ which received mixed reviews, however, it was re-released in 1997 with new a title and additional material two years before he died at Château de Touffou, France on 21 July 1999.
Ultimately, Ogilvy has inspired many to embark on advertising as a career and his principles are widely advocated by many marketers and industry figures today. A recent campaign for Dos Equis beer pays homage to the Hathaway shirt campaign.
Not only did he pioneer a new direction for advertising he created successful advertising for many UK companies (such as Guinness, Rolls Royce and Schweppes) who were exporting to the US for the first time (view some these classic adverts here). This feat was recognised and he was awarded a CBE (he thought he deserved a Knighthood). Today Ogilvy & Mather creates campaigns for brands such as Cisco, Coca-Cola, IBM, Ikea and Yahoo! The agency employs 16,000 people spread over 173 cities around the world.
Fast and Furious Intro to Social Media
Gary Ennis from NS Design (www.nsdesign.co.uk) gives a fast and furious introduction to social media and the tools available. Recorded in Glasgow on 4 November 2010.
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Alastair Mowat on Erronerous Drinks Marketing
On the 9 December 2010 at Centotre, Edinburgh, Alastair Mowat gave an entertaining account of his time as Marketing Director at Scottish & Newcastle (S&N). Below is a transcript of Alastair’s talk.
I hazard a guess that most of you feel, given more time in the day, you could handle marketing pretty well off your own bat. My topic today, erroneous marketing, may prove how right you are. In my 12 years (1982-1994) at the helm of marketing, I made plenty of errors, and it may be helpful for you to learn from them.
Mistake number one, Amstel lager
In the wake of Becks Bier growing volumes, we decided S&N could easily handle another premium lager. We picked Amstel and went forth with the tag line:
“The lager the Dutch wished to keep to themselves.”
The British consumer wholeheartedly agreed with that view, and after just two months I had to withdraw the product from our Managed Houses (pubs and bars).
Where did we go wrong?
- Half-hearted advertising.
- We failed to win the hearts and minds of the salesmen.
- Licensees felt we were doing well enough with Becks Bier.
- We were complacent and conceited.
Incidentally, Amstel, after several false starts, has its place on some UK bar counters now.
Mistake number two, Coors Export
Later on, I was persuaded to look for an American product. We chose Coors which enjoyed, at that time in the USA, a sincere cult following.
American beer was adjudged by many Brits as weak and washy! In fact, most lager in America was at least 5%, so the bias was strangely inaccurate. Budweiser had launched unsuccessfully while Australian lagers were making impressive ground. It was a gamble, but S&N had to improve its lager portfolio.
Ironically, I helped to re-design the Bush Bottle, but that’s another story. We’d have gone with Bush, if they had been prepared to grant us both the on-trade (pubs and bars) and off-trade (off licences and supermarkets). So it was Coors it had to be.
- I wanted to introduce Coors in a can (the famous Silver Bullet) but failed to convince my board. They wanted draught lager.
- The liquid was an export lager, which did initially do well in research against other premium lagers.
- This time we were ready with TV and all the expensive paraphernalia of an national launch. The reps and drivers attended cinemas all over the country. Speeches were made endlessly by me and a lively American called Marizenala. Actors from the USA TV sitcom Cheers took part in our TV advertising.
- We struggled to gain 100,000 barrels in our first year. Despite high endeavour, we eventually shuddered to a halt.
What went wrong?
- We tried too hard and launched in a hurry.
- We failed to pick the right name. Silver Bullet has an association with guns, violence, etc. Would have been excellent in the off-trade (off-licences and supermarkets).
- The off-trade would have been an easier market for us and less expensive.
- As we ground to halt at 120,000 barrels in our second year, our company lost heart. By this time we were under take over rumours.
- Our timing was wrong.
- We were in an educational role and we underestimated the time it would all take.
Coors now has a brewery at Tadcaster in England – what goes around, comes around.
Mistake number three, Starbrite
Ever heard of the brand? I doubt it, as we tested the brand in the North East of England. It was a fusion of beer and lager – well that was the general idea. A lager beer that was aimed directly at the young aspirational market. Newcastle had a reputation for partying and clubbing and this was to be a breakthrough. 4% alcohol by volume, bright, cheery and that word I am loathe to use in drink advertising: refreshing.
It bombed, why?
- Too early for the market.
- At that time, club goers favourites were Snakebite, Blast Away (Diamond White and Castaway), premium lagers such as Pils and Carlsberg Special.
- Drinking bottle by the neck was popular, draught tap was not wanted.
- Cider was on tap, but was popular due to Snakebite and was up to 8% by volume.
- We didn’t explain the virtues of the product well enough.
The lessons learned
I have not told you all our failures. Our stout, ‘Heavy Bevy’, McEwan’s Low Alcohol lager were also unsuccessful. God knows how I lasted 13 years. We must have done some things better, when I come to think of it, but here’s some of the lessons we learned from the failures.
- In new developments, travel quietly and cautiously and learn how the consumer reacts. Research can’t reveal everything.
- It’s no sin to adjust one’s marketing attack.
- Carry one’s natural ambassadors with you. In our case, breweries, salesmen and bar staff.
- Watch the weight of burden the salesmen has in his portfolio.
- Check and check again the quality of the liquid.
- Avoid conceit and complacency.
- Make sure the concept is understandable to the normal punter.
- Don’t exaggerate the forecast or the net profit.
- Your competitors will be ready to copy if you are successful.
- Claim the heart and respect of your target consumer. That’s what great brands achieve.
- Word of mouth is the most efficient and reassuring vote of confidence that can develop the halo effect.
The fun in marketing
Finally, I would like to end on a cheerful note and turn to the fun in marketing.
- The men and women who make it in marketing are generally amusing, have an up beat tempo and like partying.
- It’s usually three to six months before you are found out. By then you may have moved on to another brand.
- If you have a modicum of sense, marketing is a balistic caper.
- In my day, plenty of travelling about the country, especially to the hand-picked advertising and design agencies in London. Useful for weekend breaks, much of it on expenses. The MP’s copied us lot.
- Sponsorship could be a lot of joy. Whether the arts, charities or sports. Free seats, mingling with the great and the good.
- And if you were really lucky, trips abroad to conferences and the like.
- As the great Sinatra put it. We did it our way.
I would like to end on a more cheerful note
The Growth of Zappos by Colin Gilchrist
Colin Gilchrist from Digital Face (www.digitalface.co.uk) explains how the online shoe and clothing retailer Zappos (www.zappos.com) grew by adopting a unique culture, social media and exceptional customer service. Recorded in Edinburgh on 9 November 2010.
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The Future of the Web by Stephen Whitelaw
Stephen Whitelaw from Toowist (www.toowist.com) discusses the latest online resources and the future of the web. Podcast recorded in Glasgow on 7 October 2010.
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