How the airline industry helped to shape modern marketing thinking

By March 15 2013, 10:18 pm Leave a comment
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Few would argue that the nature of social media, communication, information and the global economy have merged to transform the way we must now communicate and prospect for customers and clients.

In many respects, the strategies that are often employed to predict and manage customers’ or clients’ purchasing behaviour have been spurred on by the growth of online data, which in itself has its own challenges for the sales and marketing professional.

What started life within the airline and hotel market segments has rapidly been adopted across other market segments that now database and online strategies proliferate sales pipeline management thinking.

Implementation of these techniques often requires a combination of sophisticated mix of tools with equally sophisticated statistical methods to help manage and track frequency and timing of purchase, repeat purchase behaviour, market share and other indicators of commercial success including cost of sales and profit data and return on equity.

Customers are more different and individual, more discerning and demanding than ever before. Whilst 100 years ago, a new car buyer would be more than happy to buy a Ford Model T, a model that hardly changed in decades, in ‘any colour as long as it’s black’, today customers are intelligent, expectant and pedantic. Their stated needs may well be true, but their unstated needs and wants often matter even more.

A recent survey in the UK showed that 70 per cent of the respondents found that online research and review to be extremely helpful in making a purchase decision and 97 per cent of them also trusted online reviews (both negative and positive) five times more than they trusted information in a TV commercial or newspaper advertisement.

As a result, there’s a fundamental shift in power to the consumer, to the people. That requires us to engage, to create and connect with consumers on a scale that we’ve never seen before. And this is regardless of whether they are in the home or at the office.

Every consumer today has either heard of or knows someone who’s been on the wrong side of a sales transaction that’s gone badly wrong. Today, its colleagues, friends, family and peers that your customers and clients will want to listen to and it’s this group that increasingly has a stronger influence on the ultimate purchase decision that’s being made.

The starting point for marketing to customers, clients, supporters and prospects is to take a more enlightened and focused approach.

And in practical terms this means sitting in the passenger seat and not believing we can see everything that’s going on from the comfort of our own cabin.

Ardi Kolah is the author of High Impact Marketing That Gets Results published by Kogan Page. Click on the book to order your copy today!

  • Roger Wade

    Thanks for your lessons in corporate storytelling, but like all tales its just a work of fiction. The facts are the following:

    Nugget of truth: Boxpark is a home for both small and larger brands, international and local. What we have stated is that we are not a home for high street fascias. We have politely turned down requests from numerous high street retailers, and have choosen smaller operators. For instance, we were approached by most major international coffee operators and choose to work with a small one unit London based, Foxcroft and Ginger. When we have worked with larger brands like Nike and Diesel, both of these brands are bringing a unique concept to Boxpark. Diesel, has the only 55DSL flagship store in the UK, and Nike is bringing a brand new concept store in Spring 2012.

    Be consistent: If you actually researched, and came to the Boxpark press launch, we have never preached to be global. We have positively discrimated towards smaller local brands, like Namo ( a local vietnamese restaurant) Art Against Knives ( a local based charity) Smiley/Abuse ( both local based stores with their 1st UK stores. We have attracted some large international brands, but we have asked them to create something special at Boxpark.

    Have a vision: Again if you actually researched, Boxpark has a five year lease. We are the the World’s 1st Pop Up mall. We want to create a special brand offering to our customers, and have selected a unique combination of brands.

    Avoid the generic: We are trying to break the mould for retail developments. We have focused on the strength of their brand not their financial covenants.

    Come on Louise, give us a break. I have spent 20 years actually building up brands like Boxfresh, and Carhartt in the UK. We are really trying to create something special at Boxpark. Stop preaching your ABC of brand building, and actually roll up your sleeves, and do your homework !

  • Louise Kennedy

    Thanks for commenting Roger, it’s really good to spark up some debate but I’d like to just clarify a few of my points. I must stress that my post was based on viewing your proposition as a consumer, not a branding bod. 

    I think the idea behind Boxpark is fantastic. You talk about a fertile community of smaller brands – I understand now that by that you mean some well known brand outlets with specialist/non-high street fascias as well as smaller boutique brands. This is a new and interesting concept, but it feels to me that interpretation is left open to the consumer. I think all the consumer may see is ‘a community of smaller brands’ on your website, turn up and see Nike and Levi’s and then make an instant judgement – much like I did! 

    I didn’t come to the Boxpark press launch, but nor did some of your consumers. It’s great that you’re focusing on smaller brands, but if Nike et al are going to be there, you need to make it clear to the consumer that they’re offering something special. As a passer by, I didn’t realise that, so others won’t.

    It’s great you have a five year lease, but even if I knew that, the consumer wouldn’t. To the consumer ‘Pop up’ means temporary, it could be gone in a few months for all people know unless you tell them you will be around for a while. By being the World’s First Pop-Up Mall, that doesn’t mean that the consumer will deduce that you aren’t temporary. 

    You’re trying to break the mould, which again, is a great proposition. But when you use words like ‘modern’ and ‘innovative’ and ‘talented’, they are generics. Claim after claim. I think you can say a lot more by saying a lot less. 

    Once again, I think your concept is exciting and unique and I identify with what you’re trying to do, but in my opinion, could do with a bit of streamlining so that your claims aren’t up for debate.

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