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Marketing Lessons From Prop 8 Defeat

Last week’s defeat of California’s Prop 8 is a classic case of not knowing your market. Yes the ads were heartgrabbing where the woman is unable to get to the alter of her wedding. But in the end, the proposition lost.  The campaign seems to have focused their hindsight to the black vote having been particularly skewed against them. Now we are seeing endless peaceful protests.  I am writing this to look at the marketing that needed to be done, not to state a case.

A good marketer knows the competition, they understand their own flaws and works to change perceptions. In Prop 8′s case, to just call people bigots, focus on one ethnic or racial group or write expletives on your house about certain religions misses the point.  You are not helping change the situation, but instead fomenting the idea of “them vs. us.”

From a marketing standpoint, my suggestion is that the leaders of Prop. 8 meet with the various groups who opposed them to try and understand why. The ones who voted for it were white, Jewish, Latino, LDS, Presbyterian, black – you name it.  To focus on that is to miss the opportunity.  

Unless it says “marriage” do lesbians and gays feel they won’t have equal rights?  I doubt it.  What is wanted is equal rights for people who choose to partner in front of the state. 

If the Bible is the hangup with the word, then come up with a new word that both can agree to.  Once you get into the Bible, you can’t justify your case versus someone else’s beliefs – that’s too deep ingrained into everyone’s psyche. But you also can’t write them off out of hand – they are people too.  

I doubt anyone in America really wants to take rights away.  But we have to find common ground here. 

As a retailer, once you market to the people who know you, do you try to understand why others don’t shop with you? Perhaps you should.  Maybe it is the way your store is arranged – it doesn’t seem welcoming. Maybe your employees give an off-putting air to shoppers. Maybe your product offerings are seen as lacking or inferior.  You won’t know until you try to engage them. And once you do, you might find some easy ways to address their needs that results in higher sales. 

Otherwise, you may be making assumptions about what you “think” others are thinking.

Just today, to return to Prop 8 for a moment, Bill Marriott, CEO posted his facts about Marriott corporate and him personally not supporting Prop. 8. “I am personally motivated to speak now because Marriott was built on the basic principles of respect and inclusion. My father, who founded this company along with my mother, told everyone who would listen: “Take care of your employees, and they’ll take care of your customers, who will come back again and again.” 

A great message and one that should be all of our mantras during these tough economic times.  I’ve said it in practically every speech I’ve given since 1994 – we’re more alike than different.  I don’t care if your customers are men, women, gay, straight, black, white, young, old, with kids, without – they’re all purple and their money’s green.  Unless we look past how different everyone is and find common ground, we will only continue to feel isolated from each other and lose.

Don't Bet On the Depression of 2008

A great article is in today’s Wall Street Journal titled, “The Depression of 2008? Don’t Count on It” by Jason Zweig.  Due to its powerful antidote to the “sky is falling”.  I quote much of it here:

“The Wall Street domino has toppled just about everything in sight: U.S. stocks large and small, within the financial industry and outside of it; foreign stocks; oil and other commodities; real-estate investment trusts; formerly booming emerging markets like India and China.Of all the dominos that have tipped over, the most psychologically damaging collapse was the last: the very notion of diversification itself..

How much worse might things get?  Let’s consider some of the arguments that have been surfacing lately.

“We’re going into another Great Depression.” The failure on Monday of the U.S. House of Representatives to pass the bailout plan makes those G-D words seem possible for the first time. But I don’t think another depression is likely, for two reasons.

First, when you spend time studying the Crash of 1929 and the depression that followed, what stands out the most is the dearth of doomsayers. Even the economist known to posterity as “the man who called the crash,” did no such thing; he forecast only a 15% to 20% drop, not the apocalypse that actually occurred. Depressions start not when lots of people are worried about them, as we have today, but when no one is worried about them, as in 1929.

Second, the Great Depression occurred before the Federal Reserve Bank had aggressively grown into its role as “lender of last resort.” In the wake of 1873, after a railroad-building boom had swept the nation and then gone bust, companies and consumers alike were left gasping for capital. Nothing but the passage of time could supply it; the Fed would not be established until 1913. After the crash of 1929, when the Fed was still weak, years passed before the federal government could flood the economy with cash.

Today, however, the resolve of the Fed is not in question; nor is there any doubt that the Treasury Department is willing to provide the financing it takes to get the economy moving again. Furthermore, U.S. nonfinancial companies have just under $1 trillion in cash on their books. Even though Wall Street is dead, innovation is not: In the months to come, clever new financial go-betweens will spring up and find a way to get that cash flowing again. It’s hard to see how a depression could get under way when so much capital is waiting in the wings.

That’s what is happening now, but it will not last indefinitely. It never does. 

“Investors hate uncertainty.” Well, that’s just tough. Uncertainty is all investors ever have gotten, or ever will get, from the moment barley and sesame first began trading in ancient Mesopotamia to the last trade that will ever take place on Planet Earth.

If tomorrow were ever knowable with absolute certainty, who would take the other side of a trade today?

The financial future is no more uncertain now than it used to be; in fact, it’s far less uncertain than it was in the summer of 2007, when the Dow shot above 14000, the future seemed bright, and utterly no one foresaw the disaster that would befall the financial system. The absolute certainty of blue skies ahead was an illusion then, and the notion that we all know that worse misery lies in store is an illusion now.

The only true certainty is surprise.

You’ve probably spent a lot more time worrying about negative than positive surprises lately. But we could get surprised on the upside by a further fall in oil prices, a kick from low interest rates — and, of course, untold other possibilities that no one can foresee.

Whatever happens with the bailout, don’t bail out.”

I’m speaking this Friday morning at the Economic Summit in Richmond, Virginia and the message I’ll have for them is the same I give to you now.  No matter what is going on in the world – it is up to you to make the sale – not the government, Palin, Couric, Obama or the weather.  We have got to remain focused on the customer on the phone, walking in the door, sending an email.  Only then can we get out of this hysteria that is making for great ratings and sleepless nights. 

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