May 16 2013

Brands We Love: Publix

Plain and simple, I love Publix. It’s a love affair that‘s going on 20+ years, and with the Florida-based grocer now entering my adopted home state of North Carolina, it’s an affair I don’t see ending anytime soon.

 

There are so many reasons to love a grocer whose tagline is “where shopping is a pleasure,” but for today’s post, I’m going to discuss two things that make the Publix brand stand out: Its private label brand and its advertising, specifically its holiday commercials.
But first, a little history on Publix.

 

Publix is an employee-owned supermarket founded in 1930 by George W. Jenkins. According to My Private Label Buyer, George was managing a Piggly Wiggly grocery store in Winter Haven, Florida when hard times brought a drop in the store’s sales volume and staff pay cuts. When George learned the owner had sold his store to an Atlanta businessman, he looked forward to a visit from the new owner, but as time passed there was no meeting. So he took initiative and made his way to Atlanta to introduce himself. George never got the face-to-face meeting he hoped for and left Atlanta feeling a bit scorned, but also extremely motivated to start a store of his own, and that store was Publix.

 

Publix now operates over 1,000 stores in the Southeast. Publix brought in profits of $1.5 billion in 2012 and is ranked #106 on Forbes’ Fortune 500 list. Publix’s accolades don’t stop there though – it’s consistently ranked as one of Fortune’s top 100 Best Companies to work for, and according to a report compiled by Deloitte in 2010, Publix took the top spot on the most valuable retail brands list, even beating out big-time players such as Amazon, Ikea, and H&M.

 

To learn more about its history, check out this video that a Tampa news station produced for Publix’s 80th anniversary in 2010.

Publix Private Label:
The Publix Private Label brand has a loyal following, and with good reason. Those who regularly shop at Publix know that buying private label means they won’t have to sacrifice quality for price – something that most shoppers might take for granted – because you see, not every private label brand holds their goods to the same standard that Publix does. It’s this sort of standard that has propelled the Publix private label brand to account for 20 percent of all its sales. The Publix private label is projected to have sales of $6.6 billion by 2014.

 

And the packaging hasn’t hurt the brand’s success either. In 2003, Publix redesigned its private label packaging across all offerings, and now features a clean, simple and prominently white design that clearly separates it from big label brands.

Publix Commercials:
A standard branding “must do” is creating emotional connections with your customers. Do that and you’ll have a greater chance of bringing that customer back time and time again. This is something Publix does better than almost anyone. If you haven’t seen a Publix commercial, you might wonderhow a grocery store can do this? Publix is just another store to get the food I put on my table. That may be true, but you’d be hard pressed to find another brand – in any market – that capitalizes on human emotion more than Publix does. Liz Crawford, senior vice president, business and communications strategy with Mars, a shopper marketing agency, summed it up quite nicely when she said, “Publix conveys this image, particularly in its television advertising, of family and a good meal, it’s almost like love on the table.” There’s a warmth there that any national chain, even the really successful ones, just can’t seem to match. I get the sense that Publix really is lodged in the hearts of its shoppers.”

 

Grab your box of tissues and check out some the most memorable Publix commercials below.

As Publix begins to extend further north, so will the impact of its brand, and personally, I can’t wait to see it in my backyard again.

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May 14 2013

Branding 101: Product Placement and TV Shows

Branding has become such a general term – a catch-all for everything relating to a brand: names, logos, portfolio organization (we call this architecture), advertising, public relations and marketing. In its purest form, branding is defined as “the promoting of a product or service by identifying it with a particular brand.” So, sticking with this black and white definition, we’re going to focus on the evolution of product placement in television shows.

 

Historically, product placement could be as simple as the use of Reece’s Pieces in the movie “E.T.” (one of the most memorable examples of product placement), or as obvious as Fed-Ex in the movie, “Cast Away.” Television show equivalents are Carrie Bradshaw’s Apple laptop in “Sex in the City” and the recurring iPhone or Chevy presence in “Glee.”

 

What’s the evolution of this type of branding? Instead of simply placing a product in a show, it’s actually written into the script. When done well, viewers aren’t hit over the head by the placement, but are, instead, quite pleased with its integration into the storyline. Television viewing has become complicated for brands. And, with the emergence of DVRs and streaming options like Netflix and Hulu, a shift to incorporating products into plots is necessary.

 

Scripted versus Reality

Scripted television shows have gotten pretty creative when it comes to product placement. A few examples are below.

  • Possibly the most famous (or infamous, as the case may be) is “Sex and the City.” The show’s primary focus on fashion and NYC style made brands like Manolo Blahnik and Jimmy Choo household names. But that’s only the tip of the iceberg- Gucci, Louis Vuitton, Prada and Versace made multiple appearances as well. And, the show’s incredible success eventually led to a myriad of product placements in the first “Sex in the City” movie.
  • Throughout its seven season run, “30 Rock” became somewhat synonymous with product placement. Some endorsements were exceptionally funny, e.g., Verizon, while others were a branding cash cow, like Kraft’s sponsorship of “30 Rock’s” Kraft sponsorship storyline. Talk about product placement coming full circle!
  • “Revenge” took product placement and sponsorship to an entirely new level in a November 2012 episode. Target and Nieman Marcus were the ONLY sponsors of the show, and the ads featured a storyline that was a subplot of the main episode, and even included the show’s main characters. “It was a whole new level of integration,” said Jeff Jones, Target’s chief marketer.

 

Reality versus Scripted

Product placement has absolutely exploded in reality television shows. Check out these examples:

  • In a single month, “American Idol” has inundated viewers with more than 200 in-show product appearances. The most notorious placements? Coca-Cola, AT&T Wireless and Ford.
  • “Biggest Loser” repeatedly incorporates Subway, Extra Sugar Free Gum, Ziploc and Brita into its programming.
  • And, “Extreme Makeover: Home Edition” leveraged brands for rebuilding homes as well as for family vacations. Examples? Sears, Ford and Disney.

 

Does product placement really build brand awareness?

Reviews are mixed. Psychologically, the mere exposure effect suggests that people feel a preference for things simply because they are familiar. Need proof? Reese’s Pieces experienced a 65 percent increase in sales after its placement in E.T. So, if you subscribe to this belief, then more equals better for your brand, but viewers don’t always agree. There is a very precarious line that brands have to be careful not to cross, or they may lose some of their followers.

 

Knowing all of this, here are some final points to ponder: Which brands have you noticed in your favorite TV shows? Does your show handle the product placement well, or do you end up rolling your eyes when you see it?

 

Sources

Merriam-Webster

“’30 Rock’ Satire of Kraft Sponsorship Is Sponsored by Kraft,” New York Times

“Target, Neiman Marcus Look to ‘Revenge’ to Launch Anticipated Holiday Collection,” Ad Age

“Product Placement Hits High Gear on ‘American Idol,’ Broadcast’s Top Series for Brand Mentions,” Ad Age

“Mere Exposure Effect,” PsychCentral

“Product Placement Can Be A Lot More Powerful Than We Realize,” Psychology Today

 

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May 09 2013

For the Love of Moms

With Mother’s Day this weekend, we found it apropos to focus on how brands capitalize on this holiday to generate buzz and attention.

 

First off, a little history about Mother’s Day: 150 years ago, Anna Jarvis, an Appalachian homemaker, organized a day to raise awareness of the poor health conditions in her community, a cause she believed would be best advocated by moms. When she passed away, her daughter began a campaign to memorialize the work of her mom and lobbied prominent businessmen and politicians to create a special day to honor mothers. Nine years later, Woodrow Wilson signed a bill recognizing Mother’s Day as a national holiday.

 

From its humble beginnings, Mother’s Day has grown into a commercialized, branding free-for-all, and it has become the second most popular holiday for gift-giving, following Christmas. With 85 million moms in the U.S., this influx of gift-giving equals huge market potential and exposure for brands.

 

So, how are brands leveraging Mother’s Day? Well, most obviously, the sheer amount of promotions, giveaways, deals and sweepstakes being offered this week by florists, jewelers, greeting card companies and restaurants is staggering. But what’s really fun to see are brands joining the conversation in creative ways:

 

 

Finally, we love when companies effectively use nostalgia to tell a story – and Mother’s Day is the perfect occasion. These examples show exactly what we mean, and make us love their brands even more. Enjoy!

 

 

Sources
Hallmark, U.S. Census Bureau

 

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May 07 2013

The Appeal of Shopping Local

Mixed by Lizzy Guterma under Uncategorized

Here on brandsalsa and at Addison Whitney, we spend a lot of time talking about big global brands, and with good reason – they’re the most recognizable and impact our daily lives. It is also fascinating to watch brands that have been around for decades develop innovative and creative ways to stay relevant. But, today, we’re paying homage to brands that aren’t global players – and honestly never will be – and, we’re examining the emotional and economic impact these brands and activities on have their communities.

 

So, why Local Brands?

 

Emotional Appeal
Where we shop, where we eat and where we have fun — all of it makes our community home. Our one-of-a-kind businesses are an integral part of the distinctive character of a city. When someone comes to visit, you don’t take them to the nearest chain, you take them somewhere that you feel shows off something unique.

 

Local brands, stores and businesses have the ability to create tighter bonds with their communities and it is that connection that makes them attractive to consumers. We love meeting store and restaurant owners and hearing their stories – why they opened, what they love about what they do, who they are. . It gives you a strong sense of pride to know your money will directly help them, their families and continue to drive their passions.

 

Economic Impact
Aside from the emotional appeal, there are strong economic impacts from shopping local. A recent study by Independent We Stand, an organization dedicated to educating communities on the importance of shopping local, showed that:
• Local businesses reinvest in their local economy 60 percent more than chains.
• Small businesses account for 75percent of all new jobs in this country.
• Small businesses employ over half of all U.S. workers.

 

In a recent report, the executive director at the Business Alliance for Local Living Economies said the “buy local first campaign helps bring local businesses together to build community health and wealth from the bottom up.” Her organization found that communities with a “buy local” initiative reported revenue growth of 5.6 percent compared to 2.1 percent for the communities who did not have such an initiative.

 

Learn More:
To learn more about how to support local businesses your community, visit Independent We Stand. Now get out and shop local!

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