Tag Archives: Radio Shack

Don’t Be Something You’re Not

This week a woman named Federica Marchionni was eased out of her position as CEO of Lands’ End after only 19 months on the job.

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Federica Marchionni

This illustrates (fairly predictably) what can happen when a brand tries to be something it’s not.

Ultimately, brand-building success is driven by meeting customers’ needs, not by trying to teach them to want something different. And loyal customers have this peculiar habit of resisting (resenting) signs that they’re being taken for granted.

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Lands’ End 1983

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Recent Lands’ End

 

 

 

 

 

 

 

 

 

In the case of Lands’ End, since its 1963 founding by Gary Comer as a sailing supplies business, it developed a heritage as a casual sportswear business that was eventually bought by Sears (and spun off in 2014).  Mr. Comer was fond of saying “Take care of the customers, take care of the employees and profits will take care of themselves.”

But Lands’ End had recently been stumbling, so Ms. Marchionni, with a background at high-style retailers Dolce & Gabbana and Ferrari, was brought in and offered an experienced, glamorous executive who could help reshape Lands’ End “into a meaningful, global lifestyle brand”.

That’s when the trouble started.

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Marchionni and actress Kate Hudson

New lines were immediately introduced, meaning loafers were sold alongside stiletto heels. Ms. Marchionni dropped low-profitability catalog shoppers and hired prominent fashion photographers to shoot elegant catalogs at exotic locations. She insisted on working out of New York City rather than the corporate headquarters in Dodgeville, WI, and was often seen hobnobbing with celebrities.

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New Lands’ End Canvas Line

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Lands’ End shoes – traditional and new

 

 

 

 

 

 

 

 

 

 

 

 

All of this alienated not only customers but employees, who were used to casual access to top management in Dodgeville and who would be critical in execution of plans. And unfortunately sales lagged spending, creating a lot of red ink. Ultimately the board decided it was time for another change.

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Successful reposition – Old Spice

While there are success stories about brands repositioning to catch a younger/new demographic (think Old Spice or Target), this is not the first time a brand has suffered from trying to fly too close to the sun.

JCPenney famously failed recently; going farther back, the breeding ground (figuratively) of nerds, Radio Shack, tried and aggressively failed to get more hip by calling itself ‘The Shack’. And even staid Dolly Madison snack cakes invented a character called the ‘Snackin’ Dude with a Snackin’ attitude’ to try to become somewhat more hip. Another whiff.

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Radio Shack unsuccessful reposition

Back to Lands’ End, the acting CEO (COO James Gooch) spends all of his non-traveling time in Dodgeville and is odds-on favorite for the permanent role.

We’ll see how the company and customers respond to an expected return to tradition. On the other hand, Mr. Gooch was recently CEO of the S.S. Radio Shack. Hmm…

Conclusion #1- – ignore loyal customers at your own peril.

Conclusion #2 – – just because a brand isn’t hip, doesn’t mean it isn’t great

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First Ever Battle of the Super Bowl Ad Reviewers!

Ever wonder why you never totally agree with Super Bowl ad reviewers?
Well, other than for a few good ads* they mostly don’t agree with each other either.  

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The Armchair MBA has selflessly taken on what is certainly is a vast unfulfilled need and compiled a comparison of 9 disparate SB ad reviewers just for you!   Wow!   Almost as much fun as being a Broncos fan!

Just click on the chart below to see that while there is some consistency, in the end advertising is still an art and everyone’s got their opinion.  (You can click on the chart twice to make it even more readable.)

(*Generally universally liked:  Budweiser, Cheerios, Radio Shack, Microsoft – – although I’m not in the bag for all of them)

The reviewers:

Kellogg Graduate School of Management
Advertising Age
Wall Street Journal
Chicago Tribune
Entertainment Weekly
Variety
Slate
Yahoo Sports
New Yorker

I’ve provided my own opinion, to make it an even 10.

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Green/Yellow/Red ratings were my best interpretations of what the reviewers meant.   White means they didn’t review this particular ad –  – which in itself tells you something.  They are grouped based on my ratings, on an alphabetical basis by brand within ranking.

My evaluations are generally based on the Kellogg ADPLAN approach, which is becoming the standard:
Attention
Distinction
Positioning
Linkage
Amplification
Net Equity

However, I also incorporated a liberal dose of my visceral reaction during the game.

Quick commentary:  The Super Bowl is a unique marketing environment where stakes and expectations are high, and the bar for breakthrough is considerably higher than any other day.
Advertisers use the SB for much more than the eyeballs – – as a way to make a corporate statement, introduce something new, reposition themselves, set up other promotional activity, and many other things.
So these spots can be seen through many different lenses, which is why reviews often differ dramatically.

Having said that, sometimes an ad just sucks any way you look at it.

Not included in my ratings (but increasingly important) is how long of a tail these ads might have – – what their viral reach, impact and duration becomes.

Maybe next year.