Monday, August 26, 2013

This Is So Troubling


Last week I read an article about a man who was convicted of rape and has spent 16 years behind bars. The story goes like this. In 1998 a man, by the name of Daryl Kelly, was convicted of raping his nine year old daughter. Mr. Kelly had been living with his wife Charade, and their five children, in Newburgh, N.Y. which is about 90 miles north of New York City. In October of 1997 Kelly's daughter told the police that Daryl had raped her.

Obviously such an allegation is very serious and Kelly was taken into custody. Dan Slepian writes, “On the morning of October 29, 1997 Newburgh police took Kelly downtown for questioning. They found some of his answers suspicious. For example, when they asked him why his semen and fingerprints were found on his daughter, Daryl scrambled for an explanation. According to a police report, he said, 'My wife is doing drugs and alcohol. Maybe she’s setting me up.'”

Kelly wouldn't find out until later that no semen or fingerprints had actually been found. The investigators were lying. Kelly was found guilty and convicted to 20-40 years in prison. In a very troubling turn of events, Kelly's daughter eventually came clean and admitted that she had lied. That her father had never raped her. She only said that he had raped her because her mother forced her to say it. Kelly's wife was indeed hooked on drugs and, when asked, she couldn't remember why she forced her daughter to lie.

Things like drug addiction and spousal estrangement are very complicated matters and they are beyond the scope of this blog post. What really disgusts me, right now, is the lies the investigators told. As it turns out, the police are allowed to lie, to crime suspects, in an effort to solicit a confession. According to Julia Layton, “With a few exceptions, the police are allowed to lie to a suspect to get him to confess. The belief is that an innocent person would never confess to a crime she didn't commit, even if she were confronted with false physical evidence of her involvement. Unfortunately, that's not always the case, but it's a big part of the reason why the police are allowed to employ deceptive tactics in interrogation.”

This is SO troubling to me. False confessions are a very real thing. And there are innocent people, in prison, who were convicted based on false confessions. It goes a lot like this. The investigator claims to be in possession of sufficient hard-evidence to convict you of a crime. If you don't fess-up the penalty will be a lot worse than if you do. You might assume that a law enforcement officer tends to tell the truth. After all, getting to the truth is what our court system is supposed to be all about.

Plus, when you staring at the possibility of serving 20 years in prison, a plea-bargain for 5 years might not look so bad. This has a lot to do with a cognitive bias that we all suffer from. The cognitive bias, known in psychology as "anchoring," has been well-established. It's the reason restaurants put high-priced items on the menu. If the most expensive bottle of wine on the list is $60, you probably won't order it. However, sitting next to a $200 bottle it looks a lot more reasonable.

This is a big part of what makes the investigator's lies so troubling. Humans are not very good at judging things in isolation. We are much better at using comparisons. I just gave you an example with bottles of wine. When the investigator lies, and says that she has more evidence than she really does, the anchoring bias is induced in the suspect. As I mentioned, 20 years appears to be an eternity. While 5 years might look somewhat manageable. Now, I highly doubt there's much I can do to change the system. Investigators are likely to the right to lie indefinitely. There is, however, something I can do to help level the playing field.

We've all heard of our Miranda Rights. This is a statute in U.S. Law that was adjudicated by the Supreme Court in 1966. As the saying goes, if you don't know your rights, you don't have any. The Miranda Warning, as it is often referred to, reminds you of your two (and only two) rights, when being questioned by law enforcement. The first is your right to remain silent. This is certainly a viable option but perhaps not entirely practical. If you're “downtown” being questioned, time and pressure may wear you down. You may eventually crack and start to speak. We can probably all think of times where exhaustion and frustration made some wild things come out of our mouth. Or, as the comedian Ron White once said, “I had the right to remain silent, but I didn't have the ability.”

Your other right is the right to an attorney. You don't have the right to call your momma or to call your pastor or anything like that. You only have the right to an attorney. But, to paraphrase Mr. White, you have the right to an attorney but you might not have the ability. Meaning, attorneys usually ain't cheap. I say usually because there is at least one insistence where there are within range. My company makes top-rated law firms completely affordable. And this means 24/7, which is a big deal. If you want more information let me know.

Don't get me wrong. I am no supporter of guilty people walking away free. However, at the same time, it makes me sick to my stomach that innocent people, like Daryl Kelly, have their lives thrown away being bars. Life is so short and precious, I can't stand the idea of false imprisonment. The story of Mr. Kelly got me thinking about something I read from Mike Eades. Dr. Eades turned me on to a couple videos, on YouTube, that speak to the importance of having an attorney by your side. First I'll quote Eades' words and then I'll include links to the two videos. They are sequential videos, of the same presentation, in two parts. They're kind of lengthy but I think you should watch them. As I have before, I will quote GI Joe, “Knowing is half the battle.”

Here's what Dr. Eades said, “These long must-watch videos are in two parts: the first part is by a defense attorney discussing the unbelievable complexity of the law, especially federal law, and the difficulty of simply going through life without knowingly or unknowingly breaking some kind of law. And he discusses the dangers of talking to the police without a lawyer present. The second part is a talk by a police detective confirming everything the attorney says and, fascinatingly, discussing his own tricks, learned in over 25 years of police work, to get people to talk to him and even to confess to crimes.

I’ll probably alienate any readers who are involved in law enforcement, which isn’t my intention. I’m sure that if any law enforcement officials were suddenly under investigation, they wouldn’t say a word without their lawyer present. The rest of us need these same protections.

I’m not presenting these videos for any criminals who may be reading, but for the average citizen who happens to get crosswise with the police. Every single police officer I know (and I know a half dozen or so) are hard working, dedicated, responsible, and even kind-hearted folks, but they can make mistakes. I make mistakes, so I figure they can too. The officer speaking on the last part of this video says that he doesn’t really interrogate people that he doesn’t think are already guilty. So, you are basically assumed guilty if you’re under investigation for whatever. And if the officer is mistaken, you can be in real trouble. You can’t talk your way out of it; you can only make it worse. When you watch these videos, you’ll see what I mean.

Most clever career criminals know to never speak to the police without an attorney. The stupid criminals don’t make it long as criminals before they’re locked up. It’s the non-criminals … who need the protections these videos describe. Don’t think your smart enough or clever enough to intellectually steamroll over an investigator. They are very, very good at what they do. It’s their world, and you are totally a fish out of water in that world.”

Here are the YouTube links:



Monday, August 19, 2013

Book Review: The Sales Bible

This is an overview of the book
The Sales Bible: The Ultimate Sales Resource by Jeffrey Gitomer



Gitomer's bio: Jeffrey Gitomer is the founder of buygitomer.com, a sales training company. Mr. Gitomer is also a Certified Speaking Professional and in 2008 he was inducted into the National Speaker Association's Speaker Hall of Fame.

Key point: Selling is a science. Learn the science and convert it to an art.

Selling requires self-promotion and self-promotion requires some level of audacity. Naming your book The Sales Bible is unparalleled audacity. I would venture a guess that he thinks any press is good press.

Gitomer is the consummate self-promoter. And so, you see his name all over the place. For that reason I figured it might be a good idea to give you an overview of this book. The format is just like the Bible, containing different books within a book. For example, starting with Genesis there's also The Book of Questions, The Book of Power, The Book of Networking.

I always search for an overriding theme to the books I report on. However, finding a theme is not always possible. It's safe to say Gitomer is a soft-seller. Meaning he's big on things like rapport. He goes so far as to say, “No rapport, no sale!” However, if you're paying attention, you may have picked up on a contradiction already. Being such a big believer in rapport, and the like, how does he remain straight-faced when he says that selling is a science? I know of no science of rapport.

Let me give you a couple quotes to point out the problem. On page ten he says, “It always grates me when someone says selling is an art. Baloney. Selling is a science.” But then, on the very next page, he writes, “Learn the science and convert it to an art.” So, selling was indeed an art all along? I'm confused.

Side note: Actually, I'm not at all confused. While Gitomer clearly contradicts himself, he's making a distinction without a difference. This whole thing about an activity being an art or a science is just ridiculous. Art is a science!! Think about it. The scientific method is basically a method of trial and error. You will appear to be an artist once your scientific experiments pay off and you can seamlessly execute your craft. Of course, artists would never use the words scientific experiment. Rather an artist would just call it practice. So, art and science are just different sides of the same coin. Science maybe more number-based (quantified) than art but they're both based on trial and error. Sorry, I had to rant, now back to the overview.

I don't point the contradiction out to pick on Mr. Gitomer. My intention, as I've said, is to simply find a theme or a guiding principle for action. When it's all said and done I want to provide you with information that you can use. Information you can incorporate into your career. With that said, the best summation I can identify of Gitomer's work is his acronym A.H.A. Jeffrey says that AHA stands for – Attitude Humor Action. He wants you to work on your attitude, use humor and take action. As far as a short report goes that doesn't translate so well. So, this is a report with lots of little factoids on various topics. 

When performing your duties as a salesperson Gitomer implores you to remember that a sale is always made. Either you sell the person on your product or they sell you on the their excuses for not buying. Gitomer says, “If you can make 'em laugh, you can make 'em buy.” If you happen to be a funny person, great! If not, the author would recommend that you make an effort to improve in the humor department.

Prospecting can be a very stressful activity. Humor is not only useful in that it can build rapport with your prospects. It's also a healthy attitude to have when dealing with all the rejection that inevitably comes with business building. Gitomer tells the story of one salesman who told Jeffrey that he had a big fear of being thrown out of a company when making a cold call. Gitomer suggested to the salesman that his strategy should be to only do cold calls in one-story buildings. Another example, of Gitomer's zany humor, would be based on the idea that it takes five “No's” to get a “Yes”. Gitomer suggests that, on a cold call, you can inform the prospect of this fact and ask for their help because you're only on number three.

Gitomer believes that all salespeople should have 10-12 different closing questions written down and memorized. That's 10-12 ways of asking for the business. In particular, he talks about what he calls Power Questions which he says he's borrowing from a gentleman named Ray Leone. The Power Question has three levels as follows. First you make a factual statement that can't be refuted. Next you make a personal observation that reflects your experience and creates credibility. And last, you ask an open-ended question that incorporates the first two stages.

Gitomer gives one of his power questions as an example. It goes like this, “You know, Mr. Jones, sales staffs rarely meet the sales goals and quotas for them by their boss or manager. My experience has shown me that when there is a lack of training there is often poor staff attitude and an absence of goal-setting and goal-achievement skills. Interestingly the staff tends to blame their inability to sell on other things and other people rather than take the responsibility themselves. How are you ensuring that your sales reps meet their goals and maintain a positive attitude?”

Jeffrey also writes about creating what he calls Power Statements. He says a Power Statement is, “A statement that makes your product or service outstanding, understandable, credible (incredible), and buyable. A (nontraditional) statement that describes what you do and how you do it in terms of the customers and their perceived use or need for what you're selling.” An example he gives is that of Bruce Julian who works at Miltons Clothing Cupboard in Charlotte, North Carolina. Bruce says, “When our customers have an important meeting or speech to make, they go to their closet and select clothing they bought at Miltons.”

Gitomer trains on the importance of Power Questions and Power Statements and how they can be used to create your 30-second commercial. According to Jeffrey, here's the objective of the 30-second commercial:
  • State who you are.
  • State who your company is.
  • Creativity tell what you do.
  • Ask one or a series of Power Questions.
  • Make a Power Statement that shows how you can help others.
  • End with why the prospect should act now.

As far as presenting and asking for the close Gitomer encourages, “Ask for the sale as soon as you hear the first buying signal.” When there is resistance (objections) you will want to have skills and techniques for handling these obstacles. Here's Gitomer's Cliff's Notes version of overcoming objections:
  1. Listen to the objection and decide if it's true.
  2. Qualify it as the only one.
  3. Confirm it again, in a different way.
  4. Qualify the objection to set up the close.
  5. Answer the objection so that it completely resolves the issue, and confirm the resolve.
  6. Ask a closing question, or communicate to the prospect in an assumptive (I have the sale in hand) manner.
  7. Confirm the answer and the sale in writing.

One example, in the book, is how to deal with the “I want to think about it” objection. Here's how it would go if you have asked for Mr. Jones' business and he tells you he wants to think about it:
You: Great! Thinking it over means you're interested. Correct, Mr. Jones?
Jones: Yes, I am.
You: You're aren't just saying, “I want to think about it,” it get rid of me. Are you? (said in a humorous vein)
Jones: Oh, no, no, no. (laughter)
You: (seriously) You know, Mr. Jones, this is an important decision. A copier is not just a duplicating device. Every time you send a copy out to a customer, it reflects your company's image. I'm sure you agree with me. Is there anyone else in your company you will be thinking it over with? (Meaning: Is he deciding alone, or are others involved?)
Jones: No, just me.
You: I know you are an expert at building; your reputation speaks for itself, but I'm an expert in copiers. In my experience in the copier industry over the past 6 years, I've found that most people who think things over develop important questions that they may not have answers for...since the image of your business is on every copy you make. Why don't we think it over together so that as you develop questions about the copier, I'll be right here to answer them? Fair enough? Now, what was the main thing you wanted to think about? [At this point you will begin to get the real objection(s).]
If Mr. Jones had said he was going to think to over with others, you must think it over with all parties in the same room, or you're dead.

Gitomer winds things down with various advice. He says, “Be willing to put forth the effort it takes to get past the seventh no and get the sale...or consider taking a job with a salary.” He says this level of persistence is required. He also says you need to being acquiring 20 new contacts per week and that, as a professional salesperson, you need to be networking at least five hours a week.

You must work your numbers consistently to get them to pay,” Jeffrey writes. And, “Your chances for success increase in proportion to the number of sales calls you make.”

As a disclaimer, I don't want you to think that because I have written this overview I am endorsing the book. I actually disagree with a number of things that Gitomer teaches. Nonetheless he is very visible. And I figure if you can pick up even one little things from this report, it will have been worth it.


Monday, August 12, 2013

Your First Impression


You know the saying, you never get a second chance to make a first impression? Is that true or false? I guess the most accurate answer would be, “It depends,” right? A definite maybe. I mean, ultimately, whether you get a second chance to make a first impression depends on how you see the world. Albert Ellis would call it your philosophy and Aaron Beck would call it your belief.

I mean, technically, in the most literal sense, it's true. A first impression, by definition, happens the first time. The second time would, of course, be a second impression. But, it is true in a more general sense? In order to answer that question we need to consider the meaning of the statement. Because the statement wasn't meant to be a tautology. It was meant to make a point. It was meant to emphasize the importance of first impressions. And so the statement is true, if you sell first impressions.

The statement was part of an advertising campaign for Head & Shoulders dandruff shampoo back in the 1980's. And today, legions of mindless people march around repeating the statement, with pride, as if it were scripture. Please understand, there are a whole lot of smart people working at Procter & Gamble. In the case of Heads & Shoulders, they successfully created a social taboo out of dandruff. As hard as it may be to accept, the fact of the matter is, dandruff is completely natural. But with messaging like, “Tis the season for the flakes that don't melt,” it's no wonder we all hate dandruff.

The human brain is wired to believe what it sees. An excellent example is known as The McGurk Effect. If you don't know what that is I encourage you to Google it. There's a great video by the BBC on YouTube. At any rate, as most of us know, people are very superficial. This isn't just the result of cultural influences. As the McGurk effect demonstrates, superficiality is hard-wired into our brains. But cultural messaging can amplify the situation, which is exactly what P&G wants to do.

Anyways, back to the statement in question. I say it is largely false for the exact reason that it overemphasizes the importance of first impressions. If you're only going to get one interaction then, yes, you only get one chance. An example where this might be the case is a college application. Although, you can always reapply. Even to college. As a matter of fact, I sat here and thought about it for a while and I can't think of any situation where you would necessarily be limited to only one shot. The statement totally downplays the role of persistence. It suggests that life is some sort of crap-shoot. That life is a lottery. And that's a proposition I reject outright.

A lot of really interesting things have been coming out of the lab of Angela Duckworth at the University of Pennsylvania. Duckworth has coined the term "grit" to describe the psychological state of, "passion and perseverance for long-term goals." I will elaborate on the topic in later posts. But for now let me tell you she's finding that grit is more important than talent when it comes to achievement. Now, the word achievement sounds rather lofty. We could just as easily use the more colloquial phrases, "accomplishing things," or, "gettin' stuff done." However you want to think of it, it has very little to do with first impressions. More on this later.

So, to be more accurate, the full statement should really be, “You never get a second chance to make a first impression, if you're a quitter.” But I guess that wouldn't sell much shampoo now, would it?


Monday, August 5, 2013

Book Review: Positioning

This is an overview of the book
Positioning: How to be seen and heard in the overcrowded marketplace
by Jack Trout and Al Ries


Author's Bios: Both gentlemen own marketing consulting firms but their real claim to fame is that they wrote this book. It's that important!

Key Point: It doesn't matter what you think your product is, it only matters what the prospect/customer thinks it is.

This book is widely considered a classic in the world of marketing books. Though it was originally published in 1981, the book is as relevant today as ever because it contains timeless principles. Positioning is considered the fifth P of marketing. Traditionally marketing has taught four other P's, they are: Product, Price, Place, and Promotion. Everybody, from all careers, can benefit from properly positioning themselves in the marketplace. Tom Peters once wrote a book called The Brand You. And in the modern economy, it's important to understand your distinction and your value proposition. Basically it's about answering the question, “Why should we go with you?” If you're answer is, “Because I work harder,” (or anything vague like that) you indeed need to read this post and do some more hard work.

We live in what the authors call an, “overcommunicated society.” With so much communication taking place the value of any single communication is reduced. To say it in a somewhat mathematical fashion, the value of any single communication is inversely proportional to the total volume of communications. For this reason one of the main axioms of marketing is repetition.

Every bit as important as repetition is positioning. Positioning is about the way your marketing message relates to what the population already knows or accepts. The authors say, “The basic approach of positioning is not to create something new and different, but to manipulate what's already up there in the mind, to retie the connections that already exist.”

To cope with the shear volume of information people are forced to simplify things. We have neither the time nor the inclination to understand much about all the available and competing products. The authors write, “The average person will sit still when being told something which he or she knows nothing about. (Which is why 'news' is an effective advertising approach.) But the average person cannot tolerate being told he or she is wrong. Mind-changing is the road to advertising disaster.”

Now, you might not think you're in the advertising business. I would agree that you might not work on Madison Avenue. But, you most certainly are in advertising. You need to advertise your services if you wish to survive and thrive. It's called self-promotion and not a lot of people do it. A lot of people think if they just do a great job they'll get noticed and promoted. If you believe that, I'm sorry to burst your bubble, but it ain't true. Sometimes the people who make it to the top are butt-kissers. More often they're self-promoters.

As a rule, the first product or service to occupy a category (position) in peoples' minds will have the most success and be very hard to defeat. “In advertising, it's best to have the best product in your particular field. But it's even better to be first. IBM didn't invent the computer. Sperry-Rand did. But IBM was the first company to build a computer position in the mind of the prospect.” And please remember, you yourself are a product, indeed a brand. So you can use this information to your benefit. Here's something to think about. Perhaps you can carve out a specialty, in your profession, and be its first service provider. Think about it for a while. How can you segment your market so as to carve out a specialty for which you are the first to offer services? I'm not saying it is easy. But I am saying it's worth it.

Let me give you an example. In the 1980's a new segment appeared in the car market. It wasn't a new type of car, it was a new segment, created by marketers, to satisfy the desires of their customers. This new segment was the SUV. This type of car had been build for decades. But by labeling the car a sports utility vehicle, car manufacturers were able to draw a distinction between the SUV and the station wagon. I don't even have to example the distinction to you because the two positions are already well entrenched in your mind.

Now let me give you a few examples of products that dominate their position. When a person accidentally cuts them self, what do they put over it? A Band-Aid, right? Do you realize that Band-Aid is a brand name? We don't even have another name for it. Could you imagine cutting yourself and asking your friend for one of those, “Sticky gauze things”? Being that it was the first to the position, Band-Aid has become the generic name, which is an extremely difficult position to compete against. We don't wrestle with words like “blood stoppers” or “sticky gauze thingies” because we know they're called Band-Aids. And, as a result, the company is rolling in dough.

Some other examples are Kleenex, Xerox, Coke, etc. You can ask for a Kleenex or a tissue paper. You can tell someone to photocopy it or Xerox it. And when you're at a restaurant you might order a Coke to which the waiter will almost apologetically ask, “Is Pepsi ok?”

The book says, “Too many companies embark on marketing and advertising programs as if the competitor’s position did not exist.” One of the most powerful strategies is to position yourself, or your product, with respect to the category leader. A great example is Avis Rent-A-Car. Hertz was the first entry into the category and held a dominate position. So what did Avis do? Well, they lost money for 13 years in a row is what they did. But then they got smart and acknowledged Hertz's position. Avis embraced the fact that they weren't the market leader, and used that very fact to their advantage. Avis said they're second and because of that their tagline was, “We try harder.” One time they even said, “Rent from us. The line at our counter is shorter.” Classic positioning.

Ready for another example of the power of being first? Dr. Pepper completely dominates its position. Even with the very deep pockets of the Coca-Cola company, Mr. Pibb is a distant also. (I guess misters aren't as respected as doctors :P) As the authors say, “Almost all the advantages accrue to the leader.” But, that doesn't make them invincible. So, it is strongly suggested that, “A leader swallow his or her pride and adopt every product development as soon as it shows sign of promise.”

I have said a lot about being first because it's extremely powerful. So, again, I ask you to think about ways you can create a specialty, in your profession, and be the first to work that specialty. I'm not saying it's easy, I'm saying it's worth it.

One of the things that makes positioning so powerful, and real, is that, “Your eyes see what you expect to see.” Many studies have been done to confirm this. Do you know someone who swears by a certain kind of light beer? For example, maybe, Coors Light? Experiment after experiment has shown that this person wouldn't be able to pick their beer, out of a lineup, in a blind taste test. These people are loyal to the brand, not the taste. Especially in our overcommunicated society, branding is very valuable. You can't really change or improve the taste of light beer. However, you can create a story about your brand and affect the way your customers feel while experiencing your brand.

Brand name cold remedies work work better than generics only when the person can see the box or label. However, when the person doesn't know whether the medicine is a brand name or generic, the two work equally well. If you want, you can test this out for yourself. An interesting experiment to run is the following. Take an empty bottle of Grey Goose and fill it with charcoal-filtered vodka. Serve it to your friends and I bet no one calls you on it. The last handful of years has seen an explosion in the number of vodka products on the market. Very few people (and I mean VERY few) can tell the difference between them. Packaging play a big role in your decision. It also applies to wine as well. Here's the way most people choose a new wine to purchase. We first select the amount of money we want to spend on the bottle. Then we pick the wine with the best packaging (specifically the best label) at that price point. If you're honest with yourself I bet you do the exact same thing.

What about the power of a name? The authors write, “Hog Island in the Caribbean was going nowhere until they changed the name to Paradise Island.” Remember, this book was written in 1981. They make an interesting suggestion of what margarine could have been called. At the time margarine was struggling to get any traction and was simply viewed as imitation butter. The authors suggest, “What should margarine have been called? Why 'soy butter,' of course – a name in the peanut butter tradition.” This way the product would have been positioned in a positive light, instead of an imitating one. The book does advocate changing your name if you have a bad one saying, “There's only negative equity in a bad name.” I only include this to be thorough and complete with this report. Few people, outside of Hollywood, actually change their name.

This leads to the discussion of the line-extension trap. Branding is a difficult and finicky proposition. When your brand name has lots of equity it's tempting to use that name to develop other lines of products. Xerox, for example, made a critical mistake when they misunderstood the value of their brand. They extended their brand name onto a line of computers. They even went to far as to say the following in one of their ads, “This Xeroz machine can't make a copy.” Well, everyone knows that to Xerox is to copy, so what do we do with a Xerox machine that can't make copies? We don't buy it, that's what we do! Do you own a Xerox computer? Nope! They lost a lot of money on that blunder.

Logic seems to be on the side of the extension,” the authors say. If a brand is so recognizable, why not put it on other products? The books say, because it doesn't work. Coca-Cola soda is fantastic. But would you buy Coca-Cola mouthwash? I doubt it. What's worse, being associated with mouthwash would damage Coke's soda position. Coke MEANS soda!

Another huge mistake, in the use of a name, is Bayer. As you probably know, Bayer is a brand name. But it's also the generic name for aspirin (or at least it used to be.) Along came Tylenol which has acetaminophen. Acetaminophen has the advantage of being metabolized in the liver which alleviates the sour stomach that can often come with aspirin (it's also the reason you don't want to take acetaminophen when you've been drinking a lot of alcohol.) With that great sour stomach advantage, Tylenol took a huge chunk of the market away from Bayer. So what did the Bayer people do? They came out with nonaspirin Bayer, which contained acetaminophen. And they completely shot themselves in the foot? How can you have nonaspirin aspirin? You can't. And Bayer heavily damaged the equity of their brand name. I just looked at the Bayer website and it seems the nonaspirin product has been discontinued.

A great example that ties in positioning, first-to-market advantage, and the line-extension trap is clear soda. The original was 7Up and it has a strangle hold on the category. Being first clearly (wink) has its perks. When 7Up arrived on the scene the cola market was dominated by Coke. And everybody knows that the color of Coke is brown. Coke had such a dominate position that it would have been foolish for 7Up to take them head-on. So what did the folks at 7Up do? They called it the “uncola” and people were able to accept it.

The power of positioning is very strong and it's wise to position your product in relation to the leader. What about Pepsi? Well, they didn't want to be left out of the fun so what did they do? They came out with Crystal Pepsi, a classic line-extension faux pas. Do you remember that stuff? Everybody knows that Pepsi is brown in color, so when you produce a clear Pepsi people didn't know what to make of it. It tasted just like Pepsi but it failed because it didn't gel with the commonly accepted wisdom (expectation) that Pepsi is supposed to be brown. Remember, you want to work with peoples' preconceptions, not against them.

The book says, “The classic test for line extension is the shopping list. Just list the brands you want to buy on a piece of paper and send your spouse to the supermarket: Kleenex, Bayer, and Dial...That's easy enough...The confusion caused when one name stands for more than one product is slowly but surely sapping the strengths of brands like Scot and Kraft...What's a Kraft? It's everything and yet it's nothing.” In mayonnaise Kraft can't compete with Hellmann's (Best Foods.) In salad dressing Wishbone kicks their butt. In fact, the place that Kraftco has the lead is a product they don't call Kraft. It's in cream cheese and they call it Philadelphia.

In a similar way marketers conduct the bartender test. If you ask for, “J&B on the rocks,” you get scotch. A “Beefeater martini” will be made of gin. And a bottle of Dom Perignon will definitely get you champagne. A guy walks up to the bar and says, “Give me a Johnnie Walker with a splash, The bartender asks, “Red Label or Black Label?” The man says, “Ahhh...the hell with it. Make it a Chivas.” Not surprisingly, Chivas outsells Johnnie Walker by a considerable margin.

Who do you think sells more pineapples? Dole or Del Monte? Even thirty years later, it's still a no-brainer!

As it turns out, Asian companies are notorious for their line-extension problems. Huge conglomerates are the norm in Asian business. An old marketing joke says that Hyundai makes everything except money. The phenomenon I've never heard the authors discuss is the British company Virgin. Richard Branson extends the hell out of the Virgin name and it works.

Geography matters too. We want wine from Napa, vodka from Russia, TV's from Asia and, if we're buying a watch or chocolate, we look to the Swiss. You wouldn't be surprised if the hippie you met said she's from Berkeley. And it makes sense that the surfer dude was raised in San Clemente. Incidentally, I use those two locations because that's where I'm from. So don't get too surprised when you meet me. Actually, you could make some predictions based on the fact that I'm from San Clemente via Berkeley. I seldom wear a tie but I do flip-flops on most days. There isn't a cuisine in the world I don't enjoy. And I write book reports even though I not in school. :)

In summary, the authors have said, “Don't try to trick the prospect. Advertising is not a debate. It's a seduction.” Please understand that the market is crowded with competition and you want to work with that fact, not against it. Position your product or service in relationship to what's already out there. The entertainment industry does a masterful job of this. When trying to sell the concept of a script Hollywood-types often give the new idea a tagline which people can relate to. This is called a “high-concept pitch.”

Just to give you an example, do you remember that movie Speed with Keanu Reeves and Sandra Bullock? They found that trying to explain the plot is a lot harder than just selling it as “Die Hard on a bus.” For another example, I'll give you one I'm familiar with. At LegalShield we do for attorneys what health did for doctors, a long time ago, and that's make them affordable for everyone. We're like a legal HMO. It's pretty neat.

Now, go forth and prosper.