Sprint’s Spending on Marketing

According to Adage, Sprint has a new CMO, Bill Moyer, who fired the old agency for a new agency to handle the $1.4 Billion ad spend of Sprint. I looked at that number and my jaw dropped. Sprint spends more than 1 billion in marketing dollars?

Surely there is a better way to spend that money than more black and white ads of Dan Hesse.

Yesterday, I asked some friends – all in marketing of one flavor or another – if they had seen the new Rocket Man VW ad. All said no. One said, “AH! But you remember it.” Yeah. I like the Elton John song. I thought it was creative. But I would never buy a VW – even if it is a great stereo system. And this is VW’s second creative commercial.

There are many elements to an effective commercial. It has to be creative or innovative or original. It has to be memorable, which is usually tied to an emotional response or connection with the viewer. Linking an emotion with a brand is HUGE!

However, today, we see that companies want more than “just” branding. They want – no, need – to move the needle of sales with their marketing spend.

Some companies are migrating ad dollars to social media. Too many get caught in the trap of social media numbers, while still others view social media as just another broadcast channel. Both miss the whole point.

Branding is important, especially in a commodity market. VW seems to be spending its time featuring features – the stereo and the remote start. More success could come if the brand centered around the customer experience. Customers own that car for 5 years and own that cell phone for at least 2 years. What are those years going to be like dealing with the Brand?

There are thousands of companies selling Hosted PBX. Call it anything you want, it’s hosted PBX and it’s fast becoming a commodity because everyone is selling it – Parallels, Intermedia.Net, Broadsoft’s 400+ customers, Metaswitch’s client base and more. To differentiate, it won’t be about the features since you all have about the same ones. It will be about the Customer Experience, the Quality of Service and the Integration. At the end of the day, the marketing will have to demonstrate to your market what it will be like to have your service. Get there first. (Want help? Call me.)