The New Consumer Contract, with Erich Joachimsthaler of VIVALDI

Today’s guest is Erich Joachimsthaler, VIVALDI CEO and author of The Interaction Field (among others). Since his time at university, Erich has spent his career chasing the intangible value of a brand, far beyond sentimentality and logo recognition. In his latest book, Erich lays out the true intangible value brands can leverage — new digital business models that go beyond delivering great products and services. He shared why brands must enter into a new “Customer Contract” with consumers, one in which they work to solve problems faced by society, not the market.

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Light at the End of the Tunnel: How Dark Stores and Micro-Fulfillment Centers are Revolutionizing the Retail Supply Chain

As the well-worn proverb says, “necessity is the mother of invention,” the pandemic hit retail spaces particularly hard, pushing consumers to use ecommerce more as social and safety protocols increased. While there may be more stores open now, shoppers have found that the convenience and speed when ordering items online is invaluable even long after the protocols have gone.

To take advantage of this, retailers have turned parts or all of their spaces into “dark stores,” which act much the same way a warehouse or fulfillment center would. The opportunity then arises for retailers to not only leverage a wealth of direct consumer data from these types of transactions, but also provide greater personalization and localization services. This itself sets off a bevy of offers and angles from which to engage their customers.

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Pulse Issue 30

Keep Colors Bright All Year Long: How to Avoid Rainbow Washing Your Pride Marketing

June 2021

By Josch Chodakowsky, Senior Manager, Research & Innovation at Ask the Expert
By Josch Chodakowsky, Research Manager at Ask the Expert
Marketing to any demographic includes looking at sets of trends and profile basics to craft a message that will reach them most effectively (the explosion of articles discussing "marketing to millennials" is an easy way to see this in action). The issue with reducing groups of a similar generation, race, or preferences to a target on a marketing calendar, however, is that it forgets the individual, and betrays strong consumer preferences for personalization.

 

This has become especially true for LGBTQ+ communities, where marketers have grown comfortable during June's Pride Month in posting a rainbow on social media, creating a promotion, and calling it a day. While this is, of course, important, it also reduces the community and event to a symbology; it forgets that in the U.S., 5.6 percent of the U.S. population identifies as LGBTQ+; this community is made up of distinct individuals who don't want to just see performative allyship but messages that speak to them on an individual level with honesty, authenticity, and care.
A slight scratch on firms’ freshly rainbow-painted logos too often reveals that they lack the policies to support LGBTQ+ employees and/or miss the mark in designing products and services with LGBTQ+ people in mind — and the community is scratching at that paint. Every year, there are dozens of articles and posts identifying companies with queer-friendly branding and anti-LGBTQ+ actions. Considering that 78 percent of queer people want to support companies that support them and that Forrester research shows that Gen Z is looking for companies to commit to transgender rights, a lack of authenticity isn’t just inviting damage to a brand — it’s a wasted opportunity. Before you talk the talk, show that your company can walk the walk by committing to the LGBTQ+ people on your payroll and in your CRM.
While Pride Month should be about community, recognition, and honoring the millions of people who left us all too soon, it’s unfortunately become a money-making machine for many organizations that tend to drop off the face of the earth when July 1 rolls around. Business 2 Community provides five considerations to help your brand avoid the performative pandering and be a true ally to the LGBTQ+ community — all Pride Month and beyond.
Effective storytelling in ads isn't just about the scenario presented, but how it's presented. Tokenization and stereotyping are two ways marketers often create ineffective ads. No one wants to be the "token" LGBTQ+ person at a company meeting or family function — and no one wants to see ads stereotyping the community (which itself is diverse). This looks at some campaigns that have captured authentic moments to connect with LGBTQ+ consumers and their families and friends and may inspire success.
Pride month is certainly a time for celebrating the diverse accomplishments, identities, and members within the LGBTQ community, but companies hoping to make a buck from slapping a rainbow on their products and calling it a day should think carefully about engaging in pink capitalism this year. While the business community has made strides in observing Pride with more substantial commitments to queer people, 2020 emphasized the need for companies to go even further. With a renewed focus on diversity, equity, and inclusion across all industries, tokenistic marketing won’t fly anymore. 2021 Pride campaigns must acknowledge the lived experience of queer people over the past year if they hope to find any success and avoid backlash. This presents a few key elements that every company should include in their Pride outreach.
Thirty years ago, activist group Queer Nation popularized the slogan, “We’re Here! We’re Queer! Get Used To It!” Just weeks until Pride month, it’s clear that the contemporary call-to-action is: “We’re Here! We’re Queer! And We’re Queer All Year.” We’re already seeing memes like “Pride 365” and “Pride Is Every Day,” but are brands ready to enact evergreen LGTBQ+ strategies and meaningfully connect with a community wielding an estimated global spending power of $3.7 trillion? Media Post offers some tips to avoid rainbow washing:
  • Get your house in order: Community is not a monoculture. The intersectionality of culture and semiotics provide extraordinary scope for creative exploration and meaningful connection.
  • Use a predominantly LGTBTQ+ team to develop queer campaigns, and pay queer professionals/creators appropriately.
  • Do your homework: Commission workshops by LGBTQ+ professionals to educate all levels of your marketing team to make LGBTQ+ education an ongoing commitment.
  • Scale your involvement: Partner with LGBTQ+ nonprofits, advocacy groups, and projects to fuel a year-round narrative with groups such as GLAAD, GLSEN, The Trevor Project, It Gets Better, Our Family Coalition, The Transgender Law Center, and PFLAG.
  • Sponsor a queer space: Queer spaces are closing at an alarming rate. Save Our Spaces has a GoFundMe to contribute to those bars, and Conde Nast imprint Them runs a series remembering lost, iconic queer spaces. Jägermeister launched an initiative to save 15 lesbian bars.
  • Take the less-traveled road: Don’t just launch LGBTQ+ campaigns in progressive cities. Activate in markets where the work will make people uncomfortable.

 

Procter & Gamble partnered with LGBTQ media advocacy group GLAAD on an initiative that seeks to help advertisers and agencies develop more authentic and inclusive messaging strategies. The Visibility Project will serve as a resource for industry best practices and thought leadership around LGBTQ representation. It is P&G's most significant program to accelerate LGBTQ advertising leadership: phase one looks to bring more Fortune 100 advertisers on as partners; they will then work with the GLAAD Media Institute on improving inclusion practices internally and in their consumer-facing marketing.
Are you an ANA member with a research request? Contact Ask the Expert to submit your question.

About ANA Marketing Futures

Knowing that marketers are increasingly challenged in their efforts to keep up with the latest trends and technologies, the Association of National Advertisers (ANA) tasked itself with creating a program designed to help marketers anticipate—and prepare for—the future of marketing.

 

ANA Marketing Futures is what emerged. With a focus on innovative topics and emerging trends, ANA Marketing Futures provides resources that will influence and inform via member cases, research studies, and insight from industry innovators. Check back often to learn about emerging trends and become inspired to take steps toward the growth of your business.

 

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