Archive for May, 2008
Marketers – The Perils Of Being In A Commodity Market
Posted by: | CommentsOut doing my weekend grocery shopping I decide to pop into the local Aldi store for a change.
If you’re not familiar with the company, Aldi is a supermarket company with a very clear positioning at the no-frills and very low-cost end of the market. It’s a German company, privately owned by a couple of brothers. The brothers are said to be very wealthy, so I guess we can assume the company is successful (although as it’s a private company it’s hard to know the details).
Anyway, as a marketer you are probably aware that competing on price alone is generally not a very good strategy. After all, only one player can be the lowest price and you’re always vulnerable to someone coming in and undercutting you.
However, the strategy can work provided that you are the lowest cost producer in the market and you can sustain that competitive advantage. This is where Aldi seems to excel.
They seem to have managed to strip out every unnecessary cost. The stores are spartan, although clean, well-lit and quite well laid out. Unlike some “budget” stores, it’s quite a pleasant environment. The merchandise is pretty much all “own label” and very inexpensive compared to mainstream branded goods. The product range is limited (again, that helps cut costs).
In short, there are absolutely no frills. And behind the scenes, I’m guessing the company has a ruthlessly lean supply chain. This is probably where the company’s competitive advantage lies and I’m sure they focus continually on maintaining that edge.
One other thing. If you are aiming at the low-cost position you generally need big volume to make it work (after all, one implication of the strategy is that you’re likely to have low margins). In pure commodity markets you’re likely to end up with the biggest market share and so the strategy can be very profitable.
So what’s all this got to do with Direct Response Marketing? Well, as I was looking around in Aldi it was very noticeable how most of their “own label” products are pretty obvious copies of branded goods. The packaging isn’t quite the same but it’s pretty close. The product names are similar and the goods themselves look pretty similar.
Now, you can argue about the ethics of this copying (and Aldi have got into trouble in the past when they’ve been too blatant) but it’s a fact of life. And the lesson for marketers is that in a commodity type market, conventional branding offers little or no defence.
I know I’m probably preaching to the converted here, but for most businesses, Direct Response Marketing is the surest and safest way to success. Don’t be seduced by the idea of branding, although it has it’s place (see Ben Mack’s excellent book “Think Two Products Ahead” for the right way to combine branding and Direct Response Marketing).
Remember, there’s only room for one “Aldi” in any market!
Copywriters – The Right Way To Use Questions In Headlines
Posted by: | CommentsAustralian copywriting maestro Pete Godfrey is blogging up a storm this week. He has just posted an item titled “The Power Of A Provocative Question”.
Pete provides a great example of how to draw readers into your copy with this question…
“How Much Younger Do You Want To Look?”
And, of course, it can easily be adapted to appeal to the core desire of your particular market.
Now it works because it’s effectively a question that pretty much everyone is going to say “Yes” to and as a result will want to discover more.
The other main type of question that works well is the classic…
“Do You Make These Mistakes In English?”
In this case, the reasons the headline works are slightly different. Firstly, it’s playing on the fear of missing out (because of a “mistake”). Fear of loss, as discussed in a previous post, is often a very powerful motivator.
Secondly, in this case there’s the curiosity element. What are these mistakes that could be so costly? Actually, in this case, the potential pain is implied, so the writer had to be pretty certain that the question would hit the right “pain” buttons in the audience. (It did of course, as the ad was extraordinarily successful).
Now, there is a danger to using questions in headlines (indeed, in copy anywhere). If you ask a question that does not engage the reader, one that elicits indifference, you’re going to lose them. As an example, a question like this…
“Are You As Excited By Our New Widget As We Are?”
…is probably going to result in a “Who cares?” response. Not a great example, I know, but I think you get the idea.
So, Pete’s post is well worth a read and also contains a couple of variations on the idea that you can use in your headlines (or subheads, as well).
Copywriting Videos – More From John Carlton On Crafting A Great Sales Letter
Posted by: | Comments“The Success Or Failure Of Every Sales Letter Or Advertisement Is Determined Before A Single Word of Copy Is Ever Written”
- Kevin Francis via Sun Tzu
I’m going to backtrack slightly with master copywriter John Carlton’s “Copywriting Checklist” series of videos. The last video I posted was #3 in the series but I discovered there is also a #1a and #1c (what happened to #1b, I wonder?) talking more about the basics of a sales message.
So here’s a special “Double Issue” of copywriting videos.
The first video (#1a) is titled “Who You Are” and John is talking about who YOU are as a copywriter. It echoes the message of my recent post “Scientific Advertising In The 21st Century” – Part 2.
Here’s the video…
Basically, your job as a copywriter is to sell. You are…gasp…a salesperson!
Now I know the term “salesperson” has negative associations for many people. You may not like thinking of yourself as a salesperson. If that’s the case, you have two options…
1. Get over it!
2. Find something to do other than copywriting!
John Carlton puts it this way…
“Sales chops trumps intellectual acuity”.
The second video (#1c) is titled “Defining Your Product”.
The title is a little misleading because the video is mainly about connecting with your reader and how “cliches” can be a very effective tool for copywriters to use.Included is…
- John Carlton on why “cliches” are the copywriter’s friend
- How Gary Halbert used “cliches” in a special way to devastating effect
- When you can use “cliches” in headlines (a tip from a top “A-List” copywriter)
The video is only 2 minutes 50 seconds and it will repay you handsomely for the time you spend watching it.
Next up in the “Copywriting Checklist” series will be #4 – “Defining Your Avatar”.
Marketers – Is This Apparently Attractive Tactic Costing You Dearly?
Posted by: | CommentsCopywriter Michel Fortin recently published a post titled “Customers Won’t Discount Your Dishonesty”. It’s about the marketing tactic of making an “Exit Offer” at a discounted price as a last ditch effort to squeeze some revenue from the traffic.
Now, there is a “wrong way” and a “right way” to make this kind of offer. Briefly, simply offering a discount is likely to result in all sorts of problems. If you offer a discount there needs to be a credible “Reason why”. Usually, it involves a “Downsell” or offering a more limited version of the product at a reduced price. Read the whole post for more details.
However, even if you do things the “right way” there’s still a risk with this tactic. Let me illustrate with a personal example.
“Scientific Advertising In The 21st Century” – Part 2
Posted by: | CommentsWelcome to Part 2 of this series “Scientific Advertising In The 21st Century”.
Hopkins begins the second chapter (“Just Salesmanship”) as follows…
“To properly understand advertising or to learn even its rudiments one must start with the right conception. Advertising is salesmanship. Its principles are the principles of salesmanship. Success and failures in both lines are due to like causes. Thus every advertising question should be answered by the salesman’s standards.”
Hopkins goes on to say that the book will contain no chapter that is more important. Everything, to Hopkins, came down to the question of advancing the sale.
Now, Hopkins did not come up with the description of advertising as “Salesmanship In Print” (in some sources “Salesmanship-On-Paper”) – that was John E. Kennedy. But he has probably done more to popularise the idea and he extended it by also describing advertising as “Multiplied Salesmanship”.
In other words, the principles Hopkins put forward apply not just to the classic long form print ad but to all media. Even today (perhaps especially today) in the internet era the same principles apply.
So, when planning and writing an advertisement, Hopkins’ advice was to approach it in the same way as if you had in front of you a typical buyer.
He talks a lot about face to face selling and the parallels between what a salesman needs to do and what an advertisement needs to achieve.
And always when faced with a decision about an advertisement or piece of copy, the question to ask is…
“Would it help me sell them if I met the buyer in person?”
It’s the answers to that question on which Hopkins bases his guidelines for writing and copywriters.
For example, how long should the copy be?
Answer: “Give them enough to take action”.
Use a “clever” slogan?
Answer: “Can you imagine a customer whom such things would impress? If not, don’t rely on them for selling in print.”
And so on with every decision the copywriter or advertiser must make.
There’s a telling section that all copywriters (especially I’d suggest those who think of themselves as “creative” types!) should heed…
“That is one of the greatest advertising faults. Ad-writers abandon their parts. They forget they are salesmen and try to be performers. Instead of sales, they seek applause.”
Finally, Hopkins talks about the vital importance of studying the consumer and finding out what they want and what will make them buy. He mentions a number of different ways to do this (such as surveys) and he emphasises the importance of accurate information. He makes the point that “Guesswork is very expensive”.
He finishes the chapter by returning to the theme of salesmanship and mentions what is perhaps the single most important factor in successful selling…
“Ads are planned and written with some utterly wrong conception. They are written to please the seller. The interests of the buyer are forgotten. One can never sell goods profitably, in person or in print, when that attitude exists.”
This is the reason behind the apparent stubbornness of great copywriters like John Carlton and Clayton Makepeace who don’t back down when clients ask for changes to copy that are more to do with the client’s vanity rather than advancing the sale.
Much of the above might seem like “conventional wisdom” to many copywriters. But remember, this is the source where that wisdom came from originally.
Next up in Chapter 3, something that’s often overlooked but that can produce big returns.
Copywriters – Are You Missing Out By Not Using This Unusual Tactic?
Posted by: | CommentsGot your attention? Good, that kind of illustrates the topic of this post!
Copywriter Pete Godfrey, Australia’s own “Wizard Of Words” has made a couple of interesting posts on his blog ( “The Fear Of Loss Is More Powerful Than The Hope For Gain!” and “Persuasion Power…The Two-Sided Coin”) about the use of “negative” emotions in copywriting.
“Fear of loss” is one of them, hence the title of this post. There’s no doubt that most of us absolutely hate the idea of “missing out” on something. That’s part of the idea behind the use of the “scarcity” tactic in offers as well.
I know from my own experience that I have moved pretty fast when I’ve thought I was going to miss out on something that I really wanted. Recently, I heard about an upcoming workshop in September. There were only 30 places available but I figured I had some time before I had to book and pay over my money. About a week later, however, I got an email informing me that there were only 3 places left. I couldn’t get my credit card out quick enough!
So fear of loss can be a powerful tool to use in copy. The other thing Pete talks about it using negative emotions to stir people to action. The example he uses is guilt, but fear and jealousy are other emotions to use.
Master copywriter and teacher David Garfinkel calls this “Negative Optism” or the “optimal use of negative thinking”. You see, many of your prospective customers out there are mired in negative thinking and emotions. And sometimes, the best way to reach them is to meet them where they are, connect with them and then lead them out of that emotional swamp to something better.
It’s sometimes difficult to do because most copywriters and entrepreneurs tend to be positive individuals who take responsibility for their own lives. We instinctively shy away from wallowing in negativity. But it’s not about us. It’s about the prospective customer and understanding where they are coming from.
Be careful how you use “negative” emotions, however. Copywriter Carl Galletti advises that if “you throw someone in the water, don’t leave them too long!” In other words, use negative emotions or fear of loss to grab attention and stir up the problem but make sure you offer a solution and a way out. I’ve done a couple of critiques recently where the negativity has gone on way too long and become downright depressing!
So keep these ideas in mind. They are not used as often as the more familiar “hope for gain” approach and they can be very powerful.
Copywriting Video – Proving Credibility
Posted by: | CommentsHere’s another video from master copywriter John Carlton. It’s #3 in his “Copywriting Checklist” series titled “Proving Credibility”
The point about “Proving Credibility” comes about halfway through and it’s quite subtle. It’s not the usual material about credentials and testimonials. It’s about how to present proof points and other elements of your proposition. John talks about presenting information in small chunks like “soundbites” and, in effect, building a ladder of proof.
Most of the rest of the video is about putting emotional impact into copy and salesletters. There’s a priceless moment 30 seconds into the video. Enjoy!
Marketing – Product Review – “The Secrets Of A 10% Conversion Rate”
Posted by: | CommentsA while back I mentioned an interesting report called “The Secrets Of A 10% Conversion Rate” recommended by master copywriter Michel Fortin. I promised a review and (finally!) here it is.
This may sound arrogant of me, but sometimes when you get a new course or book it’s main value is confirming that you already knew the contents! As an aside, most of us have an almost unlimited hunger for new information and a need to know if there’s some “secret” out there that we don’t know about yet. Of course, as copywriters we do play on this emotion at times, so I guess I shouldn’t complain too much here!
So when we read a “new” course or book and discover that we did already know the content, then there is indeed some value. It confirms we’re not “missing out” on something that we need to know. Make sense?
Now, there are a few things in “The Secrets Of A 10% Conversion Rate” that I didn’t know about and that will be very useful to me. However, most of what’s in the report is material that any serious marketer and copywriter should already know. However, there is value in being reminded of these things PLUS I may know something but am I actually putting it into practice? All too often I’m guilty of not doing things I should be doing.
Also, I think there’s great value in hearing from people out in the field about what’s really working for them.
Having said that, here are 3 things I liked about this report…
“Scientific Advertising In The 21st Century” – Part 1
Posted by: | Comments“Nobody should be allowed to have anything to do with advertising until he has read this book (Scientific Advertising) seven times. It changed the course of my life.”
– David Ogilvy
One of the foundation books in the canon of Direct Response Marketing and Copywriting literature is “Scientific Advertising” by Claude Hopkins (usually found twinned with his autobiography “My Life In Advertising”). Hopkins was one of the pioneers of modern advertising and copywriting in the years spanning the late nineteenth and early twentieth centuries.
But is the book still relevant in the 21st century and the age of the internet? Not having read the book for a while, I decided to revisit “Scientific Advertising” to see for myself. This post is the first in a series taking a look at each chapter of the book.
The first chapter is titled “How Advertising Laws Are Established” and Hopkins sets out his philosophy and the basis for the book. He opens the chapter as follows…
Attention Copywriters! Amazing FREE Headline Swipe File!
Posted by: | CommentsAs far as I’m concerned, a copywriter can never have too many headline swipe files. It’s a bit like the old adage that you can never be too rich or too thin!
Why are headlines so important? Two reasons, in my opinion…
Firstly, as I’m sure I don’t need to repeat, the headline is what gets someone to actually start reading your ad. Without that, you are toast! The best body copy, offer and everything else is useless if nobody reads it!
Secondly, the headline and the headline deck should summarise concisely and in a compelling form the “Big Idea” behind your offer. I don’t see this talked about too much but I view this as very important. It both gets your message across to the potential client and helps the writer stay on track. It’s a hell of a lot easier to write your copy if you have a clear idea to guide you.
Anyway, back to the main point of this post. Lawrence Bernstein is the brains behind the “Ultimate Online Swipe File”, a collection of classic winning ads and campaigns. Lawrence is currently updating the product and preparing a relaunch. As part of that he is making available a free special report to his subscribers that contains 127 winning headlines from copywriting great Eugene Schwartz (of “Breakthrough Advertising” fame).
There are some absolute gems in this collection. I’ve actually got access to many of the original ads and I have drawn on them several times in the past.
If you want this free swipe file then head on over to Lawrence’s site at www.Ultimate-Online-Swipe-File.com and sign up for his list. Alternatively, head on over to his blog at www.InfoMarketingBlog.com where there are a ton of other great resources as well.
UPDATE: (October 2009)
The link above doesn’t appear to be “live” any longer. But you can still get the swipe file by opting in at this link “127 Winning Headlines”.
