BizEd

NovDec2003

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Any organization can go from boom times to bankruptcy on the back of a poorly planned marketing strategy or a lackluster brand. Only by being first in the mind of consumers, according to father-daughter marketing team Al and Laura Ries, can any business—or business school—succeed. I f war is hell, then so is marketing. At least, it is when it comes to developing effective strategies to win the loyalty of consumers, says Al Ries, one of marketing's most prominent figures for the last two decades. Ries often compares marketing to warfare, both in conver- sation and in the 1997 book he co-wrote with Jack Trout, Marketing Warfare. He emphasizes that it's really a battle out there—any manager who doesn't quickly seek the high ground and secure his territory is almost sure to lose. Ries has come to this conclusion after spending years help- ing businesses differentiate themselves from their competitors. After graduating from DePauw University with a degree in lib- eral arts, Ries worked for General Electric and then two New York advertising agencies before starting an advertising agency with Trout. After a few years in the business, he and Trout realized that most companies were in market- ing trouble. They didn't see that advertising and PR weren't separate entities, but two halves of an inseparable whole. "We would present advertising programs to our clients that You spend a great deal of time trying to help compa- nies distinguish between advertising and PR. Why do you think it's so difficult for them to tell the difference? I think they're under a lot of pressure. Any good-sized com- pany has an advertising agency and a PR agency working for it. The advertising agency will always say, "Spend more money on advertising"; and the PR agency will always say, "Spend more money on PR." Most of our clients throw up their hands and say, "We don't know what to do." So they give the advertising people some money, they give the PR people some money, and then they hope for the best. We try to show companies the difference between the two by Tricia Bisoux photos by Bob Mahoney called for a change of product name, a change of strategy, or a change of marketing direction. The client would say, 'Wait a minute, we hired you for advertising. We do the market- ing—you do the ads,'" says Ries. "We realized that compa- nies didn't know that if the marketing is wrong, it doesn't mat- ter how good the ads are. They'll still fail." In response to what they perceived as a widespread mis- understanding of marketing, Ries and Trout wrote several other books, including Bottom-Up Marketing; Positioning: The Battle for Your Mind; and The 22 Immutable Laws of Marketing. Ries now frequently speaks to employees of glob- al companies to give them new perspectives on advertising, PR, and branding. In 1994, Ries and Trout parted ways. Ries now partners with his daughter Laura in their business Ries & Ries in Atlanta, Georgia. (See "Like Father, Like Daughter?" on page 20.) The two have co-authored The Fall of Advertising and the Rise of PR, The 22 Immutable Laws of Branding, and The 11 Immutable Laws of Internet Branding. In an increasingly crowded field of business schools, the true battle isn't in the rankings, says Ries, but in establishing a brand identity in the minds of consumers. And it's not enough for a school to get its message to the masses or even to have the best product available, he emphasizes. To win over con- sumers, any organization has to find its true identity, focus its products, and, above all, fight to be first. functions. We don't downgrade either function, but at certain times, you should focus on one or the other. For example, at the launch of the brand, when the brand has no credibility, you need to power PR. PR has many disadvantages, but its one advantage is its credibility—people tend to believe the message. Once a brand has been estab- lished, you should focus on advertising. Advertising has many advantages, but its main disadvantage is that it's not believable. The only thing you can really say in advertising is what people already believe. For example, if an ad says Volvo is a safe car, people will say, "Yes, that's right. Volvo is a safe car." If an ad says Dodge is a safe car, people will say, "No it isn't. I've never read anything about Dodge being a safe car. That's just an ad." Marketing and branding are significant parts of the business school curriculum. What do you think is the biggest misconception about these topics still taught in a business school classroom? The biggest misconception that colleges include in their courses is the notion that you should start with advertising and develop the concept—what advertising people like to call "the big idea." Then, you use PR to publicize the ads. What we're saying is, "No, go in the opposite direction." Use PR to start the fire, and use advertising to fan the fire. For instance, when you start a war, the first thing you do is use air power to soften the defenses. When the defenses are softened with air power, then you move the infantry in to occupy the territory. When you study strategy at West Point or another military school, they don't teach infantry strategy and air force strategy separately. They teach military strategy and consider both elements. One's not more important than the other. The same thing is true with marketing. You use PR to soft- en the consumer's defenses and establish credibility in the consumer's mind. Then, when you have that credibility, use BizEd NOVEMBER/DECEMBER 2003 17

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