Article

Marketing 101: Why emotion is better than promotion

To build loyalty and connect with today's consumers promotion has to be built around a system of beliefs and values.

July 19, 2013

By Jason Wright, The Via Agency

Two for $20, $5 dollar meal deals, the super-saver value menu — in today's price sensitive world the promotional offer has taken on increasingly more iterations and creative formats. But to really build loyalty and connect with today's consumers promotion has to be built around a system of beliefs and values; any brand can promote a value price, but not all brands are equipped to promote their values and beliefs — i.e. their differentiator.

It's a concept that's been embraced by the fast casual segment and a big reason why the category is presenting such a threat to both quick-serve and casual dining restaurants.

Jason Wright

Rapidly growing fast casual brands like Raising Cane's, Firehouse Subs, Five Guys and Noodles & Company have recognized this opportunity and focus on effectively communicating their values, standards and beliefs. This emphasis provides an edge over the competition, by creating an honest and open dialogue in their consumer-facing communication. It gives consumers – especially Millennials – a compelling reason to believe in your company and align themselves with your product. Case in point, in a report last year JWT found that 71 percent of Millennials wished they knew more about how the food they eat is produced, while 70 percentt believed that brands do not disclose enough information about the environmental impact of their food products. Cause-driven Millennials are going to continue to ask themselves, "Why would I buy this burger if I can go across the street and buy a burger that represents something more aspirational (like an appreciation for slow food), and therefore says something about me?"

Creating a dialogue with your consumer is an extremely powerful tool in today's world. Most Millennials say that the No. 1 impetus behind purchase decisions is word of mouth from friends. If you can build a similar trust, you'll create a connection that naturally leads to a two-way dialogue and feels more person-to-person versus company-to-person, which will forever be a one-way conversation of diminishing returns.

Chipotle has become the poster child for this kind of purpose-driven two-way communication — and for good reason. Consumers love Chipotle's fresh, tasty food at affordable prices, but Chipotle didn't develop a cult-like following on flavor alone. Leading the Mexican category by more than 400 percent, Chipotle provides a delicious meal in a pleasant setting surrounded by their commitment to eco-friendly practices and sustainable farming. In fact, Chipotle is so dedicated to sustaining fair company practices that even its employee uniforms are made out of organic cotton that is sustainably sourced. Chipotle also endorses festivals and other forms of entertainment that support and promote food sustainability. It creates a sense of value to consumers by creating an emotional connection and a commitment to making the world a better place.

It's very possible that most consumers don't know (or don't think they know) about these responsible practices that a company enacts to support its brand values. What they do understand, however, is that the food that they are eating is good for them, good for the planet and better than the competitors. They relate to the brand not just through their price point, but by sharing a point of view.

One subject that never comes up in these two-way dialogues? Money. These brands have made a commitment to putting their values first. And that makes a connection with consumers who are inundated with "2 for $20" promotions and other value plays. It facilitates more customer-centric relationships, and customers — especially Millennials — are now hesitant to indulge in value if it comes at the sacrifice of social consciousness.

Is promotion valuable? Of course it is, but if done independently and without a point-of-view it becomes less valuable and less competitive. Creating a connection and shared belief system, combined with a promotional message, will be infinitely more powerful in the eyes of a consumer who is increasingly looking for brands that don't just sell them products, but set a positive global agenda.

Jason Wright is a group strategy director at Portland, Maine-based The VIA Agency, where he works across blue chip brands including Welch's, Unilever, and Proximo Spirits.