Monthly Archives: August 2016

August 16, 2016 · 9:37 am

How Not To Get Fired By Consumers

When one of my managers would hire a new person, I always tried to sit that new person down for a few minutes in the middle of their busy (and probably scary) first day. The purpose was to welcome them aboard and to let them know that there was only one thing they could do (other than to break the law or the HR rules, obviously) that would cost them their job. That one thing was lying. In my mind, lying – to me, to their manager, to their co-workers – causes a lack of trust, and that mutual trust is what sees the team through all the challenges of the workplace.

That sort of thinking is what makes me wonder why marketers seem happy to lie all the time. I’m not talking about violating the law and mislabeling products. I’m talking about something much more common which is branded content. Now you might moot thing of branded content as lying, but your customers do. This from the folks at Citi (via Business Insider):

Looking at branded content — specifically as it relates to Facebook‘s opportunity in the space — Citi found that 48% of US internet users felt deceived upon realizing an article or video was not a piece of news or commentary, but was in fact a commercial.

I’m not talking about something like a review guide that was funded by a brand being reviewed as long as it was truly an independant work and properly identified as having been funded by a brand. That is content that is created for the audience and has value. I mean a glowing review, seemingly from a reputabile source,  that is clearly created to promote a single brand. Most of the time there is a little label someplace that mentions it’s an ad, but not always and not always prominent enough for a consumer to notice.

Are you creating content for the consumer or for yourself? Is the content deceptive in any way? Ads disguised as content is lying, and lying will get you fired, even if you’re a brand. You agree?

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August 15, 2016 · 12:45 pm

Scum Of The Digital Earth

I read something the other day that made me sad and then angry. It’s the sort of thing that lessens my faith in humanity, although as I describe it you’ll probably just say I’m naive. It concerns the PPI business. What’s that? It stands for pay-per-install and the companies involved in it, some of whom are business names you’d know, are the scum of the digital earth in my book. Why is that?

First, what exactly is PPI? According to the folks at NYU who did some research on this topic with Google, commercial PPI is a monetization scheme wherein third-party applications — often consisting of unwanted software such as adware, scareware, and browser hijacking programs — are bundled with legitimate applications in exchange for payment to the legitimate software company. When users install the package, they get the desired piece of software as well as a stream of unwanted programs riding stowaway. It’s big business, with one outfit reporting $460 million in revenue in 2014 alone.

Ever installed a legitimate piece of software only to find your browser behaving strangely afterward? You get a barrage of advertisements on the screen, or a flashing pop-up warning of the presence of malware, demanding the purchase of what is often fraudulent antivirus software. On other occasions, the system’s default browser is hijacked, redirecting to ad-laden pages. The vendors of this crap will claim that you approved the installation of all the additional malware by clicking through the terms and conditions or forgetting to uncheck a box approving the install. Having had to remove this junk from both my family’s and friends’ computers I can tell you that that simple error can cost you may hours of diagnosis and repair, or a bit of money to purchase an anti-malware package.

But it gets worse. Today it’s just crapware, adware and the like. What happens when someone takes a check from someone who has more sinister intentions? Keyloggers and other spyware could just as easily be installed. As one article on the study pointed out:

The one-year study by Google and NYU Tandon School of Engineering of affiliate networks running pay-per-install programs (PPI) found that nearly 60% of offers bundled with these programs are flagged as unwanted, and that in aggregate drove 60 million weekly download attempts with tens of millions of installs detected in the last year. These sites can run ad injectors.

Tens of millions of installs a week. Hundreds of millions of dollars changing hands, and a conscience nowhere to be found. I’m not one to encourage government intervention in the digital realm but someone needs to shut these scum down before something catastrophic happens. It’s not all “Russian hackers” doing this. These “businesses” are about as close to criminal as one can get without being arrested. What are your thoughts?

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August 12, 2016 · 12:14 pm

Give Them A Reason

This Foodie Friday comes in the midst of various companies announcing their financial results. One of those companies is Wendy’s, which reported weaker than expected sales growth. That’s not particularly unusual for any company, but I think there’s a business lesson in the thinking behind their reasoning for the weak results. Let’s see what you think.

Foto de una carretera en la cual se destacan a...

(Photo credit: Wikipedia)

According to Wendy’s, people aren’t dining out as much because it has gotten even cheaper to eat at home. Bulletin to the financial folks at the company: it’s generally been cheaper to eat at home. I can’t ever recall anyone I know saying let’s go out to eat and save some money, even when our destination is a fast-food place. In my mind, that’s not why people choose to dine out. It may be more convenient or they might just not feel like cooking. Maybe there is a time crunch (although unless you’re already out and about, you can probably whip up a couple of burgers in the time it would take to get to Wendy’s and eat). Wendy’s isn’t alone in either the weak results or the unusual reasoning, at least according to this article:

The results from Wendy’s follow disappointing sales from other chains including McDonald’s, Burger King, Dunkin’ Donuts and Starbucks. The other chains have cited a variety of reasons, including the political uncertainty created by the presidential election, for their performance.

Let’s accept that their reasoning is sound (hmm). Any of us in business realize that there are always any number factors beyond our control. Commodity prices, which can be strongly influenced by the biggest thing out of our control – the weather – are certainly one factor in the food industry. What we can control is how we give our customers a reason to come patronize us, regardless of the cost. We ought to be selling value. Unfortunately, in the food business “value menu” has become synonymous with “cheap.” That can only work for so long, especially, as in this case, as the costs of making our product or providing our service rise.

Solve consumers’ problems and provide excellent value at a reasonable (but profitable) cost. Give them a reason to turn off the stove and get in the car. Let’s see where that gets us.

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