Last year we issued the first of our eponymous awards to some very worthy winners.
The word Like took honors for Most Annoying Word in the Marketing Lexicon, while Twitter walked away with the Most Overhyped Yet Ineffective Marketing Tool award. And, to nobody’s surprise, Groupon won Bonehead Decision of the Year (for passing on a $6 billion offer from Google).
Although 2011 is only 10/12ths of the way done, we’ve pretty much seen enough (in fact, we’ve seen all we can take), and can confidently call this year’s winners in some newly ordained categories.
The New Coke Award
This year’s winner of the New Coke Award, for the company that commits the worst strategic blunder, is — hands down — Netflix. The firm’s pricing decision and flip flop on the Qwikster thing resulted in the loss of nearly a million customers and somewhere in the order of $12 billion in market valuation. If you’re Google, that’s no big deal. But to the rest of us in the 99%, that’s a lot of money.
In the age of social media, where gathering feedback from the market and testing marketing (read: pricing) decisions can be done relatively fast and cheap, there’s simply no reason for major strategic blunders like this one.
Now, I know what you’re thinking: Based on the criteria, wouldn’t Bank of America be a close contender? No. They captured a different award:
Credit Union Marketer of the Year
Bank of America, with a single move — that they didn’t even implement — has done more for the credit union industry in one month than credit unions have done for themselves in 100 years. The Great Debit Fee Fiasco of 2011 will be a case study in business schools for years to come.
The circus surrounding an announcement — wait, did they ever really announce it? — is perhaps unprecedented. The number of parties taking credit for the reversal has only just begun. Claiming that they “listened to their customers” as the reason for the reversal only begs the question: Why didn’t they ask their customers BEFORE they made the decision?
Congrats, credit unions. This is your Rocky moment.
Most Overused Word in the Marketing Lexicon
I’m going to go out on a limb and make a prediction: 2011’s most overused word might just repeat the honor in 2012. Whether I’m right or wrong about that, there’s no doubt in my mind that Analytics takes the crown for most overused word in the marketing vocabulary for 2011.
Did you know that when you create a spreadsheet, and populate some cells with formulas that do addition and subtraction, that that’s called Analytics? If you use an Excel function, you might get away with calling it Predictive Analytics.
Have you ever taken a list of customers and identified those that meet a certain criteria, like under a certain age, or over a certain income level? Congratulations, you’re an Analyst performing Analytics!
Do you create reports for the management team showing them traffic on your firm’s web site? That’s called web analytics.
And there’s certainly no shortage of experts telling us that analytics is the key to competitive success. If you’re not performing predictive analytics on the social media data you’re monitoring and capturing, then you might not still be in business in 5 years.
If analytics was overhyped and overused in 2011, just wait until next year. 2012 will be the year of Big Data. We here at The Marketing Tea Party will be doing our best to make it the year of Right Data. Because what’s one more bruise on the side of our heads from beating it against a brick wall?
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