Zag ???? - How to grow in a slowdown, the risks of inauthentic purpose, and Klondike's savvy PR play for Choco Taco nostalgia

Challengers in Action

?? How to grow in a slowdown

The global ad spending slowdown is real. So says a headline from a recent Digiday article. It’s likely that if you’re reading this, you’re feeling or experiencing it in some way already. Much of the effect is being driven by bandwagon group think - if everyone else is doing it, then we should to. 

Yes, the economic and commercial landscape for many businesses is likely going to get worse before it gets better. But there’s always an opportunity to zig when others zag - to not jump on the bandwagon, but challenge convention and find the opportunity for growth that others can’t or won’t. 

If you haven’t been through a downturn like this before, or you just need a refresher, there’s a ton of research and many case studies out there about challenger brands that are able to increase their ROI and market share when others pull back. 

A recent report by Analytic Partners from that 

More than half (60%) of brands that increased media investment during the last recession saw ROI improvements

Don’t buy into the fear irrationally. Think like a challenger in any situation. There’s always an opportunity to grow. 

Read more on how to approach marketing in an economic downturn here (or reach out to join our free virtual workshop on the topic Sept 9th!). 

?? The risk of inauthentic purpose 

The Competition and Markets Authority in the UK has launched an investigation into three leading retail brands over their “eco-friendly marketing claims”. Fast fashion is one of the worst offenders when it comes to negative environmental impacts, contributing to 8-10% of carbon emissions. And yet many of these brands are attempting to claim green credentials in an attempt to reach and relate to a younger audience. 

This goes against a core principle of modern, challenger marketing: authenticity. Yes, your brand needs to be relevant to the audience you’re trying to reach (and for many that means being more eco-friendly), but it absolutely needs to do that in an authentic way. 

All the research on brand purpose, including our own, finds that consumers increasingly want brands to take a stand and contribute to positive change in the world, but only if they can actually back it up. They need to walk the walk, not just talk the talk. 

There is tremendous brand risk and potential backlash from this kind of greenwashing, or any kind of washing the paints the brand with a brush it doesn’t actually hold. 

Stay focused on what you can do, not just what you can say. Consumers will reward authenticity, even if it isn’t as ambitious as they or you might hope. 

?? Klondike's savvy PR play for Choco Taco nostalgia

If you grew up in the 80s or 90s you’ve surely already heard the news: the choco taco has been discontinued. If you aren’t familiar with the choco taco (one, you aren’t missing much - hot take!!), it’s an ice cream in the shape of a taco made by Klondike, and has developed a bit of nostalgic, cultural value over the years. So, when Klondike announced it was discontinuing the brand, it got national, mainstream attention. 

But! A few savvy marketers, including our own DuBose on Punchy a couple weeks back, predicted it could all be a marketing ploy. And it seems like they might be proven right with rumours that Klondike is now planning to bring the brand back due to all the buzz and demand. 

It’s not a new, or particularly original, play - there are plenty of brands that have been killed with the intent of driving up demand and then bringing them back. In this case it seems to have worked for Klondike. Choco Taco went from something some people had heard of from the 90s to a national, mainstream brand once again. Well played. 

Rival this Week

???? Eric was just announced as a speaker at Nordic Fintech Week in September. If you’re going, let us know! 

?? We’ve confirmed dates and locations for our fall Rival Roundtables (our small group challenger marketing thought leadership dinners). We’ll be in: 

???? Manchester

???? London

????NYC

???? Dubai

???? Amsterdam

If you’re in one of those cities and are interested in joining, please let us know!

Challenge of the Week

? Have you developed your strategy for navigating the economic downturn? How can you take advantage of the pull back from everyone else?