Attraction, not promotion
Steve Dennis
Top Retail Influencer & Analyst | Strategic Advisor | Keynote Speaker | Award-winning Podcast Host | Bestselling Author of "Leaders Leap" and "Remarkable Retail" | Forbes Senior Retail Contributor
If you are familiar with 12-step recovery programs you know about the Eleventh Tradition of Alcoholics Anonymous, which goes as follows: “Our public relations policy is based on attraction rather than promotion.”
The obvious reason for this practice is that 12 Step programs have the anonymity of their attendees at their core. Moreover, AA–and its spin-off programs–reject self-seeking as a personal value. But it goes deeper.
Most people do not wish to sold to. If I have to hit you over the head again and again with my message, perhaps you are not open to receiving it. Or maybe what I’m selling just isn’t for you. Shouting louder and more often, or pitching all sorts of enticements, may be an intelligent, short-term way to drive a first visit, but all too often it’s a sign of desperation or lack of inspiration.
12 Step programs were among the first programs to go viral. They gained momentum through word of mouth and blossomed into powerful tribes as more and more struggling addicts learned about and came to embrace a recovery lifestyle. No TV. No radio. No sexy print campaigns. No gift cards. No '3 suits for the price of 1'. When it works it’s largely because those seeking relief want what others in the program have.
In the business world, it’s easy to see some parallels. Successful brands like Nordstrom, Apple and Neiman Marcus run very few promotional events and have little “on sale” most days of the year. And, it turns out, they sell a very large percentage of their products at full price and have low advertising to sales ratios. Customers are attracted to these brands because of the differentiated customer experience, well curated and unique merchandise and many, many stories of highly satisfied customers. Net Promoter Scoresare high.
Contrast this with Macy's, Sears and a veritable clown car of other retailers who inundate us with TV commercials, a mountain of circulars and endless promotions and discounts. Full-price selling is almost non-existent. How many of these brands' shoppers go because it is truly their favorite place to shop? How many rave about their experience to their friends? Unsurprisingly, marketing costs are high, margins are low and revenues are stagnant or declining.
Migrating to a strategy rooted in attraction vs. promotion does not suit every brand, nor is it an easy, risk-free journey. Yet, I have to wonder how many brands even take the time to examine these fundamentally different approaches?
How many are intentional about their choices to go down one path vs. the other? How many want to win by authentically working to persuade their best prospects to say “I’ll have what she’s having” instead of beating the dead horse of relentless sales promotion and being stuck in a race to the bottom.
Maybe you can win on price for a little while. Maybe you can out shout the other guys for a bit. Maybe, just maybe, if you can coerce a few more suckers, er, I mean customers, to give you a try, you can make this quarter's sales plan.
And sure we didn't make any money, but we're investing in the future, right?
Building Biologist -- Environmental Consultant & Electromagnetic Radiation Specialist
9 年That phrase has always resonated with me also. Have long been suspicious of people or places/companies that repeatedly tell us how great they are, as if a normal person won't recognize good quality on their own!
Alternatives Investor | Advisor | Entrepreneur
9 年Completely agree with this post. Companies are going for the easy way out when they resort to these kinds of tactics over building a truly unique customer experience. Then of course, they have to maintain the experience. I had someone complain to me today that Uber isn't what it "used to be." How long did that decline take? Neimans is a perfect example of a store I can't get enough of and an experience - from parking to being greeted to product curation - I can't seem to get repeated anywhere. Is customer experience a dying art?