Furthermore, could this edgy ad campaign turn women off to the entire Dr. Pepper family of sodas or does it just miss the mark?

I think beer advertising has trampled all over this space in the past and I never hear women boycotting beer because of it. It’s just a fact that women drink less beer than men, and that probably will never change, but it is not because of the advertising is overly targeted to men…it’s just the nature of things.

I think the largest obstacle Dr. Pepper faces is that men are not the primary grocery shoppers by a margin of 2-1.  It is mainly women who are going to make that decision about the soda at the point-of-purchase and Dr. Pepper’s message does not resonate with them. They’ve completely lost the valuable women shopper.

Proctor and Gamble’s Old Spice brand realizes the importance of the women shopper while still targeting men with the “Smell like a Man, Man” campaign. Isaiah Mustafa, actor and former pro football player, who, in mock earnestness talks directly to women about the smell of their man. It uses humor to engage the user and the buyer. Old Spice realizes the key to reaching both sexes is leveraging humor that both sexes can relate too. 

In contrast, Dr Pepper misfires on this one not because it is being overly sexist, but because they’ve failed to have a conversation with the buyer-in-chief.

“Hispanic” is more often than not considered a race among many U.S. citizens (It isn’t.) A Puerto Rican man in the Bronx even refused to fill out his Census form because the term “Hispanic” was not considered a race, something he considered plain offensive.

I think the 2010 Census took a positive step forward on question 8 by offering “Hispanics” or those of Spanish origin to list a more specific country of origin.  My wife is Argentinean.  In America she usually gets lumped into the “Hispanic” crowd, but her background, culture, and family history identifies more with Italians.  It just so happens that she speaks Spanish because she grew up in Argentina.  She fills out government forms saying she is White.  After all you wouldn’t expect an Italian American to fill out a form saying they were Hispanic.  Why should a Argentinean-Italian who happens to be an American citizen fill out a form saying they are “Hispanic?”  America’s vast cultural mosaic is too complicated and diverse to even bother labeling anymore with these over-simplified labels.

In question nine of the Census many Americans found an easy way out: Taking advantage of the 19-character free space box under “race,” many chose to spell out the word “mestizo,“ indicating the mixed nature of their heritage.  I look forward to the day when everyone recognizes that we are all “mestizo” or we can just put on a form “American,”  and be done with it.

So how Are consumers emerging from the great recession?

First, let’s look at some key indicators:

• We are getting paid less, not more.  Middle-class families earned less by the end of 2008 than they did in 1999 when adjusted for inflation (NY Times 1/10).
• 1 in 4 mortgage borrowers are under water (WSJ 11/09)
• 10% is the official unemployment, but Real Unemployment is 17.5% (NY Times 11/09)
• American’s are saving more.  Savings increased more than +6% year-over-year (WSJ 8/09)

A new consumer consciousness has awoken and consumers are more aware than ever about the products and services they are purchasing.  What they are doing with this new found awareness is diverse.   The choices we are making are definitely more deliberate. Our newfound clarity has helped to align choices with values.

Here are just a few takeaways:

• People are discovering new ways to explore the world, appreciate their lives, and to reconnect with values.  American’s are reconnecting with what they can see and feel that is local and tangible–themselves, their family, and community.  Respondents said Main Street (49%) was the most important indicator for them to pay attention to for gauging a recovery.

Much has been written about how Groupon.com popularity has soared due to the fact that consumers are looking for great deals in this economy and the new power of crowd-sourcing.  However, connecting with what is local and tangible is a major driving force behind Groupon’s success.  In an out of control economic situation making choice that are local gives consumer a sense of order and control.

• Self-Reliance is the new insurance policy.  Americans have developed a new sense of planning, analyzing, and delaying gratification that has become part of who they are.  They like to see themselves as strong and capable in the midst of all this economic dysfunction.  56% of American’s would rely on themselves to get the country back on track vs. the Government (33%) or Financial Institutions (11%).

Brands need to align with this can-do attitude and be helpful to their quest for something better.  American Express and All State have tapped into this consumer insight with their latest campaigns.  American’s are inherently optimist even if they are not thinking optimistically at the moment.  On a political level the National Tea Party movement has captured this feeling that we need to rely on ourselves vs. government and large corporations.  Brands that offer consumers empowerment and independence will win this battle.

• The reincarnation of the American Dream.  The dialing down of ambitions and the traditional pursuit of happiness–which is bound up with accumulation material wealth–is being relinquished in favor of the pursuit of PEACE OF MIND.  Consumers are achieving this goal by adopting sustainable living habits for the long-term.  Not only when it comes to the environment, but also making choices that do not bankrupt our health, fiscal resources, or values.

While this recession may have given rise to more cynicism, doubt, and confusion, it has also been the springboard for Americans to develop new appreciations for intangibles, and to reconnect with what they think is important.  Brands that will be successful will offer durability, authenticity, transparency rather than corporate, one-size-fits-all, protect the profits at all cost mentality.

So by providing Vick with free apparel every time the camera gets a close-up of Vick consumers will see Vick wearing a Nike logo.  In other words: free advertising for Nike.  Nike and Vick get to maintain their relationship over the next few years through this “non-agreement,” and when the time is right and the world has mostly forgotten Vick will be under contract pitching Nike again.  Just like Kobe Bryant is pitching Nike after a few year hiatus from his Eagle, Colorado hotel escapade.

Through this association can the Nike brand association help redeem the Vick brand?  Is the Nike brand that prolific?  Will consumers see the Nike logo on Vick and subconsciously say, “if Nike likes Vick he must be a good enough guy.”

The Nike brand does help legitimize the Vick brand. I think it will take a couple more years, and it is still undetermined whether Vick will return to his previous playing glory, but if he does, I do expect to see Vick in Nike commercials.  If they are using an accused rapist and cheating husband in their ads, why not a dog abuser too.

Enter RFID chips.  With RFID technology, marketers can track their messages and cut down on counterfeiting. Tetherball a Carmal, Ind.-based mobile marketing company launched a new radio frequency identification (RFID) loyalty platform.  Customers who want to receive special offers opt for an RFID chip, which is affixed to their phone like a sticker.  Weekly specials are then sent out via text message.  Then  to redeem the coupon, customers’ RFID chips are scanned at a terminal at the POS. While no name or personal information is shared with the companies, a member’s buying behavior is tracked through an ID number assigned to each phone, so future customer offers can be tailored to specific menu items, time of visit or other purchase data.  This allows the marketer to use the customer’s behavior as a way to customize messages and offers.  The customer gets more relevant content reducing the chance they will opt-out of the program in the future.

Dairy Queen is testing the technology in some of its locations in the Mid-West and so far redemption results are positive.

Click here to view the embedded video.

Branding to this point has been largely about relevance.  Good branding is seen as something that touches the target on an emotional level and inspires loyalty, market buzz, and purchase intent.  In order to achieve all these things the product and the communication has to be relevant to get noticed.  In the future being relevant alone will not be enough to get noticed; marketers will need to focus on ways to make people’s lives better through their marketing efforts.  It won’t just be about making people’s lives better through product improvement, but through the marketing of the product as well.

Social media, branded content, widgets and the branded utility are all part of a bigger shift in how brands reach out to the consumers they’re interested in talking with.  As traditional media declines marketers are now less willing to pay to interrupt consumers.  Consumers are looking for more and more ways to block irrelevant content, and we know as marketers that with the right content and the right approach we can create an audience without paying huge media companies. This approach can give marketers a direct link into people’s lives, at the appropriate moment, earning not only awareness, but more importantly engagement.

Nick Law, Chief Creative Officer, North America for R/GA said in a recent Adweek article, “When you create a utility, you’re creating something that gives people time back.  It becomes less about information as pollution and more about information to help people get through life.”  As consumers isn’t that just what we want:  less bombardment and new ways to make our lives simpler and less convoluted.

Ground zero for marketing utility is the mobile device and I believe it will continue to be well into the foreseeable future.   The iPhone and Blackberry can track your FedEx packages, make bids on eBay, and test how moronic you are. And now your iPhone can even order a Burger King Whopper—with fries and a drink.  The new app even acts like a loyalty card offering incentives and tracking order history. Nationwide Insurance offers an app that walks a driver who’s been in an accident through the steps required to file a claim. In addition to the details of the other person’s insurance, it uses the device’s GPS to create a map of scene and uses the camera to take photos (which the carrier is not obligated to use).  Customers get a direct filing through the app and have the opportunity to call local authorities and get a tow.  What makes mobile devices so useful is that they are now location aware, can retain your information and history, and also they are real-time capable.

A branded utility does not necessarily need to be digital either.  A local bike shop here in Denver builds public bike racks and installs them around the city with a built in ad for the shop.  They probably don’t look at it as a branded utility…more like good marketing karma.  However, it is a great example of how companies need to shift their thinking about marketing in the digital and non-digital world.

Branded utility is part of a redefinition of advertising. It is about the move away from interruptive ‘push’ models towards more meaningful ways of connecting. As people become immune to ad clutter or tune out the noise, brands have to work harder than ever for their time and attention.

“The reality is that we are a challenger brand,” Chief Marketing Officer Rebecca Steinfort said in an interview. “Our main competition is Subway, which is an 800-pound gorilla. We may be 200 pounds, but they’re 800 (Adage: http://adage.com/article?article_id=135435.”

That is correct.  Quiznos is a challenger brand, but you do not challenge the low-cost provider in the market by under-cutting their price.  Especially when you are not positioned as a low-cost provider yourself, and there is another low-cost provider in that space (Blimpie).  What will they do when Subway comes out with the $3 sub?  Quiznos already lost 300 stores to lack of profitability last year and I don’t see how $4 subs is going to help this matter any.  This latest effort just reinforces that Quiznos is a price alternative to Subway and not a quality alternative.  They’ve officially entered a hyper-competitive price sensitive space they are not suited to compete in.

Their marketing has been ineffective over the last couple of years because the CMO, President, and Ad Agency have all been in a revolving door.  There has been no consistency and they have lost their differentiating message of “toasty,” better quality, and taste.  Furthermore, they have gone downmarket.  They’ve turned into just another QSR instead of appealing to the fast- growing, Fast-Casual, up-market crowd that go to lunch at Panera Bread, Paradise Bakery, and Chipotle.  They could have done price-oriented promotions during this recession as a way to retain business; they just didn’t need to stoop as low as they did.

The better alternative would have been to be more proactive in improving the consumer experience, making site improvements, and food quality improvements to differentiate Quiznos on the basis of quality.  The consumer experience has greatly deteriorated at Quiznos over the last couple years.  Other chains have seized the “quality positioning” from Quiznos through better food, experience, and service.  Consumers don’t see the value in a Quiznos experience anymore and therefore Quiznos only alternative is to play the discount game, which is not a winning strategy.

The latest trends in housing point to downsizing not just because of economic factors, but also to make the “right statement.”   Sales for certified pre-owned luxury cars are brisk.  The “smart” thing to do is buy a two or three year old used luxury car instead of flaunting the latest model right now.  This certainly is a 180 degree turn from a few years ago when products like Bling H20 bottled water that came embellished with Swarovski crystals hit the market.

Consumers are also downshifting, which involves people voluntarily accepting a drop in their income in order to rebalance their lives – often in order to regain control over time and to improve their personal relationships.   Research suggests that in the UK, 20-35% of adults aged 30-59 have downshifted and resulted in an average income fall by 40%.  In a US study, 19% of people from across social classes had voluntarily changed their lives and made less money (http://www.citizenrenaissance.com/).

Brands can leverage this new frugality to their competitive advantage by actually enabling the concept of simple living in their marketing and social-networking efforts.  This may sound counter-intuitive to marketers who want to promote more consumption.  Patagonia in an effort to simplify and cut environmental impact dropped 30 percent of its clothing line in its most recent catalog without a negative effect.  Last fall subscribers had a choice of five ski pants, now they may choose between two.  The two designs contain all that Patagonia has learned about design and the best available coatings for weather protection.  They felt the other three pants offered were unnecessary and did not offer any extra value.  Kia, the Korean car maker, promoting its Sedona model in the United Kingdom, attempted to differentiate itself from competitors by encouraging walking instead of driving for short trips; not your typical car company marketing tactic (http://www.greenbiz.com/feature/2008/12/22/taboo-talk-buy-less-stuff).

Brands that continue to innovate new processes to minimize environmental impact, tout their products durability/sustainability, and focus on the utilitarian connections of their products will reflect the current consumer mindset and stand to benefit the most in the near future.

I see this all the time among challenger brands and growth companies.  They feel compelled to get every last bit of information into an ad or packaging to demonstrate that their product or service is truly superior.

The smarter solution: strip away the clutter and aim for simplicity.  This may sound like a no-brainer, but for whatever reason many challenger brands do not practice the restraint they should when putting together their marketing communications. I think it may be due to the fact that they feel a need to get the most value out of their paid media space, and therefore try to cram as many messages as possible.

How is it that powerful brands like Target, Apple, Volkswagen, and In-N-Out Burger connect so deeply with their core consumers?  For starters these brands communicate through imagery rather than words, and connect emotionally with consumers as a result.  They strongly stand for one thing, and by simplifying their message they allow it to cut through the clutter.

New consumer behavior research supports this trend toward simplification.   Research suggests that humans quick filter through a bombardment of messages at any given moment.  We filter out everything except the most visual stimuli that hits us at an emotional level.  This is nothing new to successful brands and advertisers (see Malcolm Gladwell’s book from a few years back: Blink).

Here are three steps to get going on simplifying your communications:

1) Distill your positioning down to its most critical emotional element. Once you’ve defined it stick to it.  Move all secondary messages to your website or to the back of your packaging.

2) Use visual cues to help define your positioning.  Identify colors, shapes, images, and graphics that evoke your positioning. Use these to develop your brand imagery.

3) Step away from that white space!  Practice restraint when wanting to fill your communications with secondary messages.  If the communication is uncluttered and engaging consumers will look at it.

Finally, consumers want to discover your brand.  Brands that just throw all their marketing messages at the consumer at once lose the mystery that makes them engaging and interesting.  They also are not encouraging consumers to start a conversation and most likely will turn consumers off.  It’s like going out on a first date and one of the parties spending the entire time talking only about them.  Interest quickly fades, not to mention it is rude.  The key is to encourage consumers to discover your brand story on their terms, not yours.