Della: A Missed Opportunity
As reported by Engadget Dell has decided to dramatically change its recently posted Della Micro site after only 10 days of being online. Designed as a site to communicate with women offering them user tips and product suggestions Dell looked to create an environment that was welcoming and knowledgeable to the computing needs of this customer segment.
Interesting thinking but instead the project almost immediately blew up in their face. The initial content such as the tips and tricks can be found here and here but to give a brief discussion it spoke about things such as finding recipes on the net, counting calories and as we know every woman’s favorite color PINK (LIKE OMG!) . Instead of attracting women they were feeling put off and they were letting their voices heard online:
From their facebook page:
“Um, some of us ladies were checking out Dells new Della computer section and we think it is condescending of you to make a different one for women as though we are not as smart as men when it comes to computers??” - Wynter Gentry Nash
“….if it wasn’t for the tech tips section of the site, I wouldn’t be offended, but all it seems to imply is that women don’t care for anything but cooking and gossiping and looking fashionable with their computer.” Caily Jones as well as on the
On Della site itself:
“..This is a load of fluff that only serves to provide insight into how Dell perceives my demographic. Essentially, we women will buy anything if it comes in pink and fits in our purse.” User UmmmWhat
Overall Dell took a huge grilling from this audience they wanted to pursue and very smartly made some changes to the site such as updating the tips section and changing the Della name to ” Dell Lifestyle”. In my opinion the site is still a bit fashiony/ultra feminine but its passable.
Now the question is ,isn’t segmenting your market important in marketing?? Absolutely, and if Dell executed the site right it could have been successful but here are a few things that it seems they did wrong:
Stereotyping/Over Segmentation: My initial impression of the Della website was that it targeted women concerned about fashion and things that are ‘cute’ ( I’m thinking Paris hilton types) it didn’t delve into anything technical and rather focused on the smaller netbooks and that you can have colors on your laptops. Mistake: The majority of women haven’t been locked away and want more from a laptop than just email and facebook.They use it day to day at their work and they blog, make movies etc. They want to know which machine is going to suit the reasons they use their computer.

There are many women who know computers,advertising a pink computer isn't going to work anymore- Photo Via Flickr from TheSeafarer
Created a Man/Woman separation: looking again at the sites lack of any technical topics it didn’t acknowledge that there are women in the high tech industries. This was definitely an opportunity missed! There are many smart women out there who do tech ( I personally know a few ) but very often anything dealing with computers and things technical like that is seen as an area for men. Highlighting the successes of women in computers could have not only welcomed women into buying a dell but it could also left viewers of the site with a feeling of empowerment and wanting to go out and do the same. This also could have been a great opportunity to expand into mentioning Dell’s other business of computer accessories and products.
I think it was very smart of Dell to have listened to the negative feedback and react as soon as they did, it will definitely cut any negative coverage or drop in sales they would have suffered if it were online any longer. Unfortunately I think they lost out on a great opportunity , and had they been more careful with the execution they could have had a site for audiences to talk about . A website that embraced the needs of women in computing and helped women be successful with laptops and computers. In the end of it all when it comes down to segmentation I think it comes down to doing the research but also importantly when you’re online acknowledging all of the audiences that will be viewing your website and not making anyone feel inferior.
Have any questions/comments? Contact me at kevin.richard@ryerson.ca or send me a twitter message .
The High Cost of Product Giveaways
Recently two major American restaurant chains, Popeye’s and KFC ran large promotions of their product. Starting off with Popeye’s who in a nation wide promotion slashed the price of their regular 8 piece bucket in half from $9.99 to $4.99 for a single day and most recently KFC with their even larger new product promotion through Oprah giving viewers the opportunity to receive a 2 piece roasted chicken meal and biscuit for free. From a short term consumer stand point this sounds amazing, the idea that there’s a recession going on and these companies are giving a little to help people out. From a corporation point of view not only is this a flash pan promotion, but as witnessed on media outlets this promotion is actually becoming a frustration for customers.
While this promotion was made with the best intentions, it seems that they didn’t consider the larger consequences. In this post I’d like to play devils advocate demonstrating why mass free campaigns should not be on a companies radar for selling their product , after demonstrating a case that did the the idea of free samples right.
So what are some of the problems with these large campaigns? :
1. Large Costs: Both of these companies will be taking a major hit when it comes to their bottom line with this promotion. To start off, they face major promotional costs with a national campaign but there are also the significant costs of giving away product and reimbursing their franchisees. Also an unforeseen cost is the temporary loss of regular paying customers as a result of this promotion, with long lines filled with people looking to get their free product paying customers with limited time and attention levels are more likely to avoid these restaurants till the promotion ends.
2. Lack of Relationship Building: Everyone enjoys a free product, it doesn’t matter what it is , if its placed in front of them they will want it because there is no cost. The downside of this is that the consumer has little to no interest in anything else. In my personal experience volunteering with the Canadian Liver Foundation, during a promotion with the Women’s health convention the CLF gave away mesh shopping bags which were a big success, people completely crowded the booth wanted to have these bags.
THE PROBLEM: the booth’s informational materials went completely ignored, people just grabbed the bag and left. The giveaway defeated the purpose of being there which was informing the public on liver diseases and the resources available to those who have them. Much like the Liver foundation , KFC and Popeyes wanted to expand their company awareness. KFC wanted to position itself as a place of healthy eating and Popeye’s wanted to increase its market position. While both companies allowed people to sample their product it created little to no change in perceptions or connections overall with the company.
Giving something away for free doesn’t inform anyone or build long term loyalty to a firm, it may build some short term good will but the bigger problem is that people are more interested in the free and not on considering the company on a deeper level.
3. Service Failure: Last and probably the longest lasting negative factor in giving away your product for free experienced through these campaign is when the promotion fails to meet expectations. Within the examples of KFC and Popeye’s deal seekers became angry and upset when they didn’t receive the promised product (as shown in the following You tube clips):
Service failure like this not only builds negative feelings among coupon users, but negative word of mouth among those that they interact with as they describe their negative experience. A promotion like this also effects the relationship held with current customers and franchises who’s regular habits are disrupted resulting in a loss of good will towards the firms.
Giveaway’s done right! : In a previous post of mine I discussed the case of Whopper Sacrifice, a promotion where consumers could get a coupon for a free Whopper by defriending 10 people they knew on Facebook. Yes it gives away a free product but here is what I felt they did right:
1.The Consumer was active in the process: instead of mindlessly printing off a coupon participants had an opportunity cost in receiving the product which was making the decision of which 10 friends they should sacrifice. This was more than just getting a product, the person was actually forced to think and have a memorable experience.
2.It was limited: This campaign was not made open to everyone as it only ran for a short period and had a limited run of coupons. This decreased the costs and demand on Burger King’s restaurants meaning there was very little opportunity for service failure for all parties involved . Also by creating exclusivity this also created a topic for discussion creating word of mouth for the brand.
3.Involved others: this promotion involved more than just the participant , those who were defriended were sent a notification that they were taken off someones’ friend list with a branded notice creating further discussion ( I’m worth 1/10 of a whopper wtf?!) and expanding into a larger audience.
Many people equate free with being a good idea , but without a well managed campaign and a way to build stronger attachment to the firm what the campaign really works out to is taking on a large cost with little reward. While KFC and Popeyes got a lot of attention for these large campaigns they will probably fail to see any long lasting effect.
Have any questions/comments? Contact me at kevin.richard@ryerson.ca or send me a twitter message .
MeshU 2009
So I had an insanely busy past few weeks, and this last one was pretty much the end of it. Big highlight was taking in MeshU 2009 at the MaRs Discovery District this past Monday. After attending Refresh Events on March 23rd ( watch out for these events, they fill up insanely fast!) I won a ticket to attend MeshU (thanks!). The first convention I attended in 2009 , I walked away with some great learning and experience. Although there were 3 streams (Design,Programing, Management) as a marketer I’m more experienced in the organizational portions of business so I opted to stick with the management stream for the day. Here is a brief run down of all the sessions I attended and a few of the key learning points I gained:
1. Finding and Keeping Startup People, Daniel Debow (Rypple) :
For anyone not involved in HR the first knee jerk reaction to this is to zone out, but the key insight from this session is in a start up EVERYONE needs to be involved in getting great people on board. Looking at my notebook I have a lot of little points written down but the key things are that everyone should be actively seeking great people to bring into the organization ( the idea that great people bring more great people) and that firms should build a company culture where people will want to be ‘friends’ with the company. Through this they may take an active role in seeing how the company is progressing and eventually feel passionate about signing on with them if asked.
As well, getting great people doesn’t happen overnight. The process needs to be as transparent as possible clearly stating the risks of joining the company. In the end both you and the candidate are investing a lot into this relationship and it needs to be developed not smashed together.
2. Selling Agile Development , Dominic Bortulussi (The Working Group):
For someone who isn’t a web developer/programmer I had a bit of difficult time getting my head around this but by applying the topic in a more general business/client sense it became a lot more understandable. To think about a regular client/business relationship you have one side who has a task that needs to be done and specifies a price that they are willing to pay. Then on the other side there is a company who approaches the client and provides the service for them.Very simple. But thinking deeper its not.
Like all things in life not all projects go out with out experiencing problems or delays.There can also be the case where a client suddenly wants additional specifications added. Very often either the company or the client suffers having to take a loss on the project or not getting everything they wanted. That’s where the flexible project practice the “Target/Scope Model” comes in:
- The client sits down with the company to determine a set price and key project needs. Additional optional features are discussed and priced out.
- As the project continues the client removes and adds scope to the project depending on how ahead/behind progress the project is.
- Any scope added/removed from the project is discounted at 50% of the price ( ex: a new feature is added because the project is running ahead of schedule, an optional feature is added for half its price)
There are some criticisms in terms of it being very meeting heavy (between 15%-30% of the project is spent in client/provider meetings) but especially in the consulting field the idea of flexible pricing and having a project be more realistic to the needs of both the client and producer is a really interesting idea.
For more info check out the powerpoint from the presentation
http://docs.google.com/Present?docid=dn7623p_7pdc5b7cd
3.Lessons learned: How I founded, bootstrapped, grew and sold my web startup,Carl Mercier ( Defensio) :
Very often startups feel that they can’t survive without having venture capital funding. Attending this session I learned that you can go it on your own and perhaps be even more likely to walk away profitable. Rather than having an investor who will have first go at your profits you control the revenues and can sell at lower thresholds in comparison.
In part Carl Mercier spoke about having an effective marketing plan (Digg doesn’t work!) and a strong business strategy from the start(neither does an advertising revenue model!). Compared to a funded start up, a bootstrapped start up needs to be making money fast and must also do away with all of the niceties they could have had being funded (must have cheaper offices, used equipment, less flash). Important to all companies but especially to bootstrapped startups is the connection the firm has with their customers especially the early adopters. These are the people who will be selling your company to their friends,family and everyone else around them. Treat them right!
4.Segmentation, Positioning and Storytelling: How a Smart Market Strategy Can Drive Growth, April Dunford ( Rocket Launch Marketing)
As someone studying marketing I was really excited for this session, and I wasn’t disappointed. While there was a lot of no brainer marketing things (for me anyways) like segmenting your market (you can’t target everyone!) there were some good points made in terms of selling your company/product:
- Creating a strong value proposition: Tell up front why your customer should buy your product and what makes you different from your competition ( customers don’t want to think!)
- Create a personal story of your company to tell to customers, it builds a stronger connection and is more effective than listing off facts. They come in 3 forms: Customer Success ( how has the product/service positively affected a customers business) , Competitive Win ( how did you one up your competitor) and Company creation ( such as how Youtube was supposedly started in someones garage *Wrong*) .
- Communications is VERY important. For whatever initiative you do be it a website, using social media , all the way down to your corporate culture , companies need to have a clear and targeted message. Don’t make it too formal or generic , every piece of messaging should be targeted towards the customer and leave an impression. Another key to this is to remain consistent, everyone should be on board saying the exact same thing even when it may seem repetitive as this is how your company is being portrayed to the public.
5. Boiling the frog: how to get everyone else as excited about your idea as you are, Jason Oke
( Juniper Park) :
I think this presentation complimented well with April Dunford’s presentation. This presentation furthered the idea of effectively communicating yourself to clients. Lets face it when faced with change most people try to resist it ( interesting enough I learned from this presentation that the ipod was at first rejected) but by being passionate and targeted with your presentations you can defeat objections and win over people.
Again the idea of telling a story was presented. People need to be sold on the process as well as the product. Often times we are too modest or self defeating of ourselves , we need to stop this as sometimes we can actually kill good ideas. While a strong business case is always important, demonstrating your passion to others and how this came about is important as well. Jason Oke presented the idea of going beyond the old powerpoint or boring report for the idea of being multimodal : present some of the tools or inspirations that your team worked off of, bring in a customer to use and demonstrate this product and tell your customer what they think, or go a completely different route and give them something like a book describing the story of your product. To get your customer on board you need to make them part of the process, allow them to give input and take an active part of your presentation so they feel a stronger connection with your company and what you’re trying to sell!
Have any Questions/Comments? Contact me at kevin.richard@ryerson.ca or send me a twitter message.
SURPRISE!!
One of the quickest but most intense emotions we can feel, it catches hold of us and puts us completely off guard.
Doing something completely out of the ordinary is something we all know will get a reaction from people. So its interesting that companies and organizations don’t try to SURPRISE us more often, especially in a market place where the fight for mind share is becoming more and more intense.
I just finished reading POW! Right Between The Eyes! by Andy Nulman a book I had registered to recieve for free a few months back (and it was well worth the effort!). Having the time now to sit down and read the book I have to say I’m surprised I don’t think about the power of surprise more often but also notice that “DUH!” its so obvious some of the companies I’ve always been a fan of use surprise and IT WORKS!
As for the book itself, its not a stuffy business book presenting you with a lot of institutionalized information but its also not completely dumbed down. Andy Nulman builds a strong business case for the use of surprise tactics in organizations drawing from his own personal experience in the many companies he’s worked with( Just for Laughs, Airborne Entertainment etc) but also drawing from real world examples from something as small as exceptional service delivery to full marketing campaigns. Best of all he doesn’t leave it at that, he leaves the reader with thought processes and differerent tactics ( very tempted to try time bombing) that anyone with a bit of creativity can put into practice.
Overall very enjoyable book, worth every penny I spent ( ie: $0! Go and get the book anyways!) . After spending the last 3 months with my nose in very theoretical and cut and dry textbooks it was a great mental break that actually got my mind going and has me seeking out ideas. Thanks Mr.Nulman for sending me out a copy of your book , expect me to contact you sometime in the near future
Have any Questions/Comments? Contact me at kevin.richard@ryerson.ca or send me a twitter message.
My First podcast!
Just a quick warning, as its my first podcast its far from perfect but after the amount of time it took me to learn to edit this thing on garage band ( because Apple software is so much more ‘user friendly’) I’m a little proud of it. Its a short look at my life as an army brat, the ups and downs of it and where things are headed in the future. Hope all of you enjoy! I’m hoping sometime in the near future to make this a regular thing, for now its just a class project.
Why I’m Not Listening to Your Presentation!
This seems like a pretty back to basics post but I find too many people get this all wrong and loose the very people they are trying to persuade in the process. Creating a great presentation ( powerpoint or otherwise) is something that takes time and a lot of thinking to do right, but can also be easily completely screwed up. While I’m no expert on the subject as I’ve been a guilty party well ,I’ll use a bit of my experience from my communications background and from having to sit through countless presentations ( and many bad ones!):
Practice! : There are very few people who can ‘wing it’.You need to put time into knowing your presentation and what you plan to say or else you’re more likely to have many run on points and take way too long! As well practicing can’t be done in your head as it doesn’t account for the speed of your talking and any Ummm’s and Ahh’s that you’ll have trying to put decent words together. By doing it out loud you can hear how your presentation is going to sound and can change any wording that doesn’t flow right.

Personalize: This comes in two parts, adding a personal aspect/experience to your presentation to build credibility ( can’t be done in all cases) and personalizing it for the audience. What I mean by personalizing it to the audience is if you’re speaking to for example a group of Computer programmers you’re not going to tell them the basics of a computer. So basically don’t regurgitate information that you’re audience already knows this is probably the easiest way to have people tune out, even if you have something relevant to them later on.
Learning to use less : Another very common mistake I’ve seen is people trying to cram as much information as possible onto slides. People aren’t there to read from a powerpoint, they’re there to hear you speak . So speak more than what you place on the powerpoint/blackboard etc. This will keep the attention on you and your audience won’t zone out after reading the slides before you’ve gotten to your points. There are so many general rules out there that I won’t go into in terms of how much you should place on slides , what I can say is to put on only as much that it will compliment what you’re saying and not dominate the presentation.

Be Creative and Interactive: Unfortunately we all have very short attention spans and if we’re not engaged we start talking with the person beside us or do anything that doesn’t involve actively listening to you! Again if you’re using powerpoint it needs to be interesting to the eye and what you say needs to keep the audience listening . Moving beyond just telling the audience information is effective as well. It can be a demonstration, a short skit, a funny little game just something to break away from just constant speaking.
To add more to this, audiences tend to take away more when they are actively involved. This also can be the hardest thing to do as there will be a lot resistance. Through asking simple questions, having people do small activities or at least giving them a small laugh , not only will they be more likely to pay attention but they will also remember the key information that you’re presenting!
I hope this helps out a bit for the next time you’re doing a presentation in whatever setting that may be. The biggest take away I would like to express is to be audience oriented! Your audience is the whole reason you’re presenting, if you loose them you’ve pretty much failed at your goal.
Have any Questions/Comments? Contact me at kevin.richard@ryerson.ca or send me a twitter message.










