A Tale of Three Marketing Campaigns: The Perception Formula in Action

I didn’t expect #hottargetsanta on my bingo card for this year, yet here we go. Hot Target Santa is the latest campaign by the retailer who had, up till now, lower than expected results for the year. It will be interesting to see how much this campaign moves that needle.??

This ad was released a week ago and has already been viewed over 5M times on YouTube:

Just watch this ad. I went through the rest and it’s the best of the bunch.?

Why Do Some Ads Work and Others Don’t

The success of an advertising campaign often hinges on its ability to resonate with consumers on multiple levels. The Perception Formula provides a useful framework for understanding why some ads capture our attention and emotions while others fall flat. Let's examine three memorable marketing campaigns through this lens:?

1. Target's “Hot Santa”
2. Coca-Cola's “Share a Coke”?
3. Pepsi's ill-fated Kendall Jenner ad

The Perception Formula Explained

Before diving in, let's understand the four key components that shape perception:

Perception = f(Heuristics, Hormones, History, Heritage)

• Heuristics: Mental shortcuts or rules of thumb that people use to make quick decisions
• Hormones: Biological factors that influence emotions and decision-making
• History: Past experiences and memories that shape current perceptions
• Heritage: Cultural background and values that affect how people interpret information

This formula matters because it provides marketers and advertisers with a framework to understand and influence perceptions. By considering all four elements, companies can create more effective strategies that resonate with their target audience on multiple levels.

Target's "Hot Santa": A Fresh Take on Tradition

Target's "Hot Santa" campaign, featuring the character Kris, has become a viral sensation. Here's how it aligns with the Perception Formula:

1. Heuristics: The campaign leverages the attractiveness bias and novelty effect, presenting an unexpected, appealing version of a familiar icon.
2. Hormones: The humorous and lighthearted approach triggers positive emotions, potentially releasing endorphins and reducing stress-related cortisol.
3. History: While subverting expectations, the campaign still builds on the long-standing cultural tradition of a warm, friendly and helpful Santa Claus.
4. Heritage: By offering ads in both English and Spanish Target acknowledges its diverse customer base and American cultural values.

The result is a campaign that feels fresh and engaging while still maintaining a connection to holiday traditions. It's a delicate balance that Target has struck remarkably well.

Since it’s too soon to have the numbers on this ad campaign to see if it moved the needle for Target, let’s review 2 older campaigns where we have that data.

Success Story: Coca-Cola's "Share a Coke" Campaign

Launched in Australia in 2011, Coca-Cola's "Share a Coke" campaign exemplifies masterful implementation of the Perception Formula. The campaign, which personalized Coke bottles with popular names, started in Australia and expanded to over 70 countries, eventually including more than 500,000 names.

How Coca-Cola Nailed the Perception Formula

1. Heuristics: The campaign leveraged the availability heuristic by making personalized Coke bottles easily accessible and visible. By printing popular names on bottles, Coca-Cola made it simple for consumers to find a bottle with their name or that of a friend.
2. Hormones: The campaign triggered positive emotions and the release of oxytocin, often called the "bonding hormone," by encouraging people to share a Coke with friends and loved ones. This emotional connection strengthened the brand's appeal.
3. History: Coca-Cola built on its long-standing history as a social drink, reinforcing the idea that Coke brings people together. This aligned perfectly with the company's previous marketing efforts and brand identity.
4. Heritage: The campaign tapped into cultural heritage by using locally popular names in each country where it was implemented. This localization strategy made the campaign feel more personal and culturally relevant.

So Good Coke Launched It Worldwide

The "Share a Coke" campaign was launched in the United States in 2014, targeting a new generation of teens who viewed Coca-Cola as an outdated brand. By reintroducing the drink as a personalized and shareable product, Coca-Cola successfully revitalized its image among younger American consumers.

Key Results:

Sales Increase: The campaign led to a 2% increase in U.S. sales, reversing a decade-long decline in Coca-Cola consumption.

Social Media Impact:

• Over 500,000 photos were shared on social media platforms using the #ShareaCoke hashtag.
• More than 125,000 social media posts referenced the "Share A Coke" campaign between June and July of 2014.
• 12% of online conversations about Coca-Cola during that time were attributed to the campaign.

Digital Engagement:

• Over 353,000 virtual bottles of Coke were shared via the campaign-specific website.
• The campaign saw a significant increase in US-based Google searches for terms like "share a coke," "Coke," and "Coca-Cola"

Brand Perception: The campaign successfully made Coca-Cola feel fresh and relevant to a younger generation of American consumers.

Personalization Scale: More than 250 of the most common U.S. millennial names were used to market the product to individual consumers.

The US implementation of the "Share a Coke" campaign demonstrates how Coca-Cola effectively adapted the strategy to resonate with American consumers, particularly millennials and teens. By personalizing the product and leveraging social media, Coca-Cola was able to create a significant impact in the US market, reversing sales declines and reinvigorating the brand's image among younger demographics.

Cautionary Tale: Pepsi's Kendall Jenner Ad

In stark contrast, Pepsi's 2017 advertisement featuring Kendall Jenner demonstrates what happens when a campaign fails to properly consider the Perception Formula's components.

Key Details:

• Part of the "Live for Now – Moments" campaign
• Featured Kendall Jenner joining a protest and offering a Pepsi to a police officer
• Pulled less than 48 hours after release, due to widespread criticism

Criticism:

• Accused of trivializing serious social justice movements, particularly Black Lives Matter
• Criticized for using Kendall Jenner, a privileged celebrity, as the face of social activism
• Perceived as tone-deaf and insensitive to real-life protest experiences

Where Pepsi Missed the Mark

1. Heuristics: Pepsi attempted to use the representativeness heuristic by associating their brand with social activism. However, they oversimplified complex social issues, leading to a backlash.
2. Hormones: Instead of evoking positive emotions, the ad triggered anger and frustration among viewers. It failed to consider the deep-seated emotions associated with social justice movements.
3. History: Pepsi didn't adequately consider the historical context of social protests and the Black Lives Matter movement. This oversight led to the ad being perceived as trivializing important social issues.
4. Heritage: The ad failed to respect the cultural heritage and significance of protest movements. By portraying a sanitized version of a protest, Pepsi ignored the real struggles and experiences of marginalized communities.

The Aftermath

• The ad was pulled less than 48 hours after release
• Pepsi faced widespread criticism for trivializing serious social justice movements
• The company was forced to issue an apology, acknowledging they had "missed the mark"

What Went Wrong with Pepsi's Ad

Looking through the lens of the Perception Formula explains why Pepsi's failure to properly implement led to several critical mistakes:

1. Misunderstanding of social context: Pepsi failed to grasp the depth and complexity of social justice movements, leading to an oversimplified and unrealistic portrayal.
2. Lack of authenticity: The ad came across as inauthentic and opportunistic, rather than genuinely supportive of social causes.
3. Inappropriate use of celebrity: Using Kendall Jenner, a privileged celebrity, to "solve" a complex social issue was seen as tone-deaf and insensitive.
4. Failure to consider diverse perspectives: Pepsi didn't adequately consider how different audiences, particularly those directly involved in social justice movements, would perceive the ad.

Key Lessons

These contrasting cases demonstrate why considering all aspects of the Perception Formula is crucial for marketing success:

1. Consumer perception is multifaceted, influenced by quick mental shortcuts, emotional responses, past experiences, and cultural context
2. Success requires authentic alignment with all four components of the formula
3. Oversimplifying complex social issues can lead to significant backlash
4. Cultural sensitivity and awareness are non-negotiable in modern marketing

The Perception Formula isn't just theoretical—it's a practical framework for understanding how marketing messages will be received. While Coca-Cola's campaign succeeded by carefully considering each component, Pepsi's misstep shows the consequences of overlooking these crucial elements.