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Archive for the ‘Branding’ Category

Thank You Saturn! You Guys Were the Best

Written by Tracey

November 2, 2009 12:02 AM

My Saturn dealership in Downers Grove, Illinois closed down this weekend. Joining it was the dealerships in Joliet, Illinois and Northwestern Indiana.

Apparently, the Naperville Saturn lives on- but obviously not for long- as the brand is closing. The Naperville Saturn is large and has been in business longer than some of the others which must be why they’re holding on a little longer.

I have owned my green 4-door Saturn since 1997. It was a “new” 1998 model at the time, just new in the showroom, when I bought it. The car now has 83,000 miles on it and has been on both the east and the west coasts.

And it still drives like it’s brand new.

A Tale of One Car

I bought the car at the Saturn of Alexandria, Virginia where the “salesperson” (I use those terms lightly because, as you recall, there was no negotiation on price at the Saturn dealerships of old) gave my older brother and I the keys to the car and said, “come back in an hour”- all just by plopping down a copy of my drivers license.

I formerly had owned a Honda Accord that my parents had bought me after I got out of college. We sold that when I went off to law school (as I certainly didn’t need that car in downtown Philadelphia.) But by the end of college, I again needed transportation.

Having loved my Honda Accord, my brother and I (he was my “negotiator”) went back to Honda expecting to purchase another one. But in the intervening years, the Accord had become the “best selling car in America” and they now had the attitude that went along with that.

The Accord was also much more expensive than a few years before. The Honda dealership in Virginia could care less if I bought one of their cars. They refused to negotiate off the $16,000 price tag and basically said “take it or leave it” as they had “others” who would want the car.

We left it.

We went to Mazda after that because Mazda had the cute Protege model that was similar to the Accord. But the Mazda dealership was also unhelpful and practically kept us trapped in the salesman’s office trying to get us to drive off with the car. They also had a price tag of $14,000 or so, which was also steep for a new law school grad.

Saturn Did it Right

Finally, we went to the Saturn dealership in Alexandria. And love struck.

For $12,300 I got my 4-door automatic with air conditioning (a MUST in Virginia). The air conditioning was around $800 extra.

The car was so basic it didn’t have a CD player (considered an upgrade back in the 90s.) To this day, there is simply an empty space where the CD player would have gone and which turned out to be a blessing in disguise when I parked it on the streets of San Francisco for several years. After all, that was one less thing available to steal.

Saturn used to pull the newly bought cars into the showrooms where they would take your picture as you stood in front of the car (I still have mine.) I didn’t know until they sent it to me some weeks later (attached to a calendar) that the sales people were behind me jumping up and pumping their fists into the air in celebration.

Very amusing, to say the least.

Ohio Turnpike or Highway 1 in California: My Saturn Could Handle it All

Bought in Virginia, my green Saturn traveled with me to Chicago after law school graduation (including one night where my brother and I had to sleep in the not too comfortable front seats overnight because all the motels along the Ohio Turnpike were sold out.)

It then moved with me when I took a job in San Francisco (though I had it shipped- as I didn’t want to test it over the Rocky Mountains.)

But it did just fine up and down the California coast- easily traversing the sometimes treacherous, but always beautiful, Highway 1 along California’s coast as far south as Hearst Castle.

I drove it through the mountains to Lake Tahoe several times (yes- with the 4-cylinder engine- I occassionally had to use the “turnout” zones to let those with bigger engines pass me by on the narrow mountain highways.)

My green 4-cylinder Saturn with no cruise control also fearlessly took on the hills of Highway 280 from San Francisco to Silicon Valley (47 miles each way) every day for over 6 months.

No More Free Donuts

With the closings of the dealerships imminent, I recently took my car for one last service at the Downers Grove Saturn. Back in Illinois after 7 years in California, the only “major” problem I ever had with the car was a bad starter and a fuel pump that had to be replaced.

On this check-up, I felt some pulsing in the brakes and wanted them to check it. Sure enough, it was pretty rusted out (Chicago winters for you) so I had the whole thing replaced.

It was eerie being in the dealership so near the end. There were still a few cars in the showroom and a few on the lot (but not nearly what was there six months ago.) There was a receptionist, but one of the two waiting areas had already shut down. The cable tv was still on.

But on the counter, as always, were the free donuts.

Every time I’ve been to any Saturn dealership, and I’ve been to 5 different ones around the country, they have always had the free donuts.

Maybe that’s just a little thing. But it matters.

Here was a dealership about to close, which meant all of those people would likely be out of work, and the donuts were still there.

The service was also still there. First class all the way.

I’ve always taken my car to Saturn dealerships even for basic oil changes because I felt that the service was so good and they, frankly, knew my car best.

Maybe They Built It Too Good?

My car is nearly 12 years old- which is ancient by car standards. But if you look around you on the highway, you still see quite a few of the late 1990s-era Saturns (and sometimes an early 1990s Saturn.)

With its plastic exterior and basic interior there is, frankly, not a lot that can go wrong with the car (knock on wood.) Maybe Saturn built them “too” good. Because I would have bought another Saturn if I desperately needed a new car- but with the old one working just fine- there’s not much of a point.

Children Without a Home

When I was paying for my new brakes at the Downers Grove Saturn two weeks ago, another customer meekly asked, “where do I take my car now?” which is the same thing I was thinking.

Who wants us now?

The receptionist told us that any General Motors dealership can service it.

That’s fine and all, but it won’t be the same. Why will Cadillac’s service department care about us? They won’t.

Saturn had a lot going for it (not to mention the loyalty from its customers.) I’m hoping something positive comes out of the demise of the brand. Maybe there’s an entrepreneur out there just hankering to start up a car company that caters to the customers, has fun cars AND can make a profit.

Thank You Saturn!

And so, after 12 years, I want to say thank you to all the fine Saturn employees, especially the mechanics, who took care of me and my car in multiple states around the country with exceptional service.

And, of course, free donuts.

Thank you Saturn of Alexandria (for selling me my car).
Thank you Saturn of Naperville (for servicing it in the late 1990s)
Thank you Saturn of Marin, California (this dealership closed about 6 years ago)
Thank you Saturn of San Jose, California (for quickly replacing the fuel pump and my starter and other odds and ends)
and
Thank you Saturn of Downers Grove (for my new brakes and numerous oil changes.)

You guys kicked butt. May your spirit live on.

Learn From Prince: Control Your Brand

Written by Tracey

September 29, 2008 05:05 AM

I’m going to take a break from the “economic crisis” to talk about branding- which I’ve talked about in the past.

In this age when seemingly anyone can go on YouTube and become an internet star or start a blog and suddenly be a media-personalty- the brand becomes more important than ever.

This year, Prince, Madonna and Michael Jackson all turned 50. All three were at the top of their profession at one point but only two out of the three are left standing. And, despite what you may believe about Madonna, only Prince is totally in charge of his image, his brand and the money that flows from that.

Prince has a new book out called “21 Nights” that is a photography collection of the 21 nights of concerts he recently did in London (all of which were sold out.) He allowed the photographer into his personal world for the book.

The book is an extension of Prince’s brand, which is allowing him to distribute his music.

He recently gave an extensive interview to USAToday as the book was being released:

Music remains a passion. Not just a book, 21 Nights is a delivery system for Indigo Nights, a CD tucked inside. The 15 tracks, culled from post-concert club jams, include Delirious, Alphabet Street, covers of Whole Lotta Love and Rock Steady and two songs spotlighting protégé Shelby J.

He’s turned down multiple book offers, “but now we have to look at every form of distribution,” says Prince, who’s exploring a TV channel start-up to unleash his massive video archives.

He’s regarded as a maverick for fleeing the label system in favor of innovative distribution. In 2004, he bundled his Musicology album with concert tickets, grossing $85.3 million for 94 sold-out shows. Last year, he struck a deal with U.K. national newspaper The Mail, which included Planet Earth in its July 15 edition, leading Sony to cancel the album’s British release.

“We weren’t trying to upstage the record company,” Prince says. “I just wanted to get new music out. I asked Sony, ‘Were you planning to sell 3 million copies in London?’ I sold 3 million copies overnight. That’s a good, clear business deal.”

Prince acts as his own manager and lawyer (sure to keep costs down that way.) He currently has no major record label deal (after fighting with his old one for years over control of his content.)

He says:

“Behind closed doors, they’ll tell you it’s over,” he says. Record companies can’t profit unless they retain ownership of artists’ work, “and that’s why labels are in a bad situation. People with content are going to win.”

It’s All About the Content

In this internet era, it isn’t enough to simply start up a website and think that will be your product. It’s about the content that appears on that website.

Prince was an early believer in the internet and distributed content on his own website until he realized that he was losing control over the content. In 2006, he shut down his website and still does not have his own site (almost unheard of in the entertainment industry where you have Lindsey Lohan and John Mayer blogging almost daily.)

He’s also not a fan of YouTube or iTunes:

Cyberspace “is a black hole to me,” he says. “YouTube is the hippest network, and they abuse copyright right and left. You see a song like Purple Rain turned into Pure Cocaine; what should my response be? I chase the money to find out who’s behind it. It’s a matter of principle. I don’t want my music bastardized.”

He’s not impressed by iTunes’ terms or sales projections (”They give you a figure that’s embarrassing”). While frustrated, Prince resists pessimism.

Even with the distribution difficulties, Prince is making money. Lots of it. Mainly from touring (why do you think Madonna is on tour right now?). But the music is getting out there.

Lessons from Prince on Branding

1. Never give up control of your content.

2. Look for alternative distribution methods to get your brand out there.

3. The Internet is not the end all, be all of your brand. In some cases, it can even harm your brand.

Your brand is your most important asset. Be like Prince: guard it.

If this is a recession, why is everyone still buying labels?

Written by Tracey

July 16, 2008 05:30 AM

I was walking to work the other day and ended up behind a 20-something young woman who was also, presumably, on her way to work as we were near big office buildings in downtown Chicago.

She had on a black skirt and purple tee-shirt with flats by Tory Burch. How did I know who made her shoes?

They had the distinctive Tory Burch gold insignia on the front of the shoe (and yes, I DO read Vogue and other fashion magazines in addition to my Fortune and Money.)

In fact, they were these very shoes:

tory-burch-flat.jpg

Price on the website? $225 a pair.

But that wasn’t all. She was carrying a Gucci handbag. It was one of the older bags and I can’t find a current picture but I would place it at around $550 or so.

To top it off, she was wearing Chanel sunglasses. How do I know they were Chanel? Because I recognized their logo on the side of the glasses. Didn’t you know that even sunglasses have labels now? Yes- on the stem that goes to the ear.

Don’t ask how I knew it was Chanel.

I would estimate the cost around $350 to $400 (based upon looking at various designer sunglasses websites).

Labels, labels, labels.

Who said we’re in a recession? And what happens if we really go into one?

Will people really give up their $225 a pair leather flats with a gold buckle on the top?

Will consumers downsize to, gasp, $25 sunglasses from Old Navy or Target?

What will happen to the empires of these fashion labels who make millions off of people simply wanting to wear two “C”s intertwined on a piece of plastic?

I also could only think- what if this woman had invested all of the money she spent on these labels into the stock market? How truly rich would she become?

Instead, she merely looked rich (in some people’s eyes.) Labels mean you have money- right?

When, in reality, it means you don’t.

Labels are as old as time.

Heck, look at Chanel herself. She built a powerful brand off of her name decades ago. And the “Kelly” bag that Grace Kelly used after she became Princess Grace? Hermes made that. It remains a classic.

The drive for labels doesn’t appear to be slowing. Nearly every celebrity has their own “brand” whether it is clothing, swimsuits, purfume, shoes (Jessica Simpson!), sunglasses, or jewelry. The marketing powers that be want you to buy the label.

Will consumers keep spending for that extra cache?

Stay tuned.

I Tried to Be “Green” and Use a New Detergent - But Failed

Written by Tracey

June 23, 2008 05:30 AM

With the “green” movement reaching full steam, I’ve been trying to change my behavior to better the environment.

So, I recycle.

And I’m now bringing my own bags to the grocery store so that I don’t get endless plastic bags.

The other day, I bought some detergent that was “organic” and better for the environment because when it goes into the pipes and out the other side, it’s not full of chemicals.

The detergent (which shall remain nameless- we’ll call it “unnamed” detergent) claimed to clean as well as the usual brands, only it used “lavender” and other “oils” to do the cleaning.

Fabulous!

Only not so much. After just two weeks of using said “unnamed” detergent, I had to go to the grocery store and buy, well, Tide.

Gasp!

Tide- the detergent with all those nasty CHEMICALS.

And what a relief it was. As soon as I did the first load and saw that the stains came out of my pants, a smile appeared on my face.

Make no mistake. The good for the environment “unnamed” detergent, wasn’t just bad- it was awful! It was as if I hadn’t washed the clothes at all. And we’re talking “normal” stains such as dropping a piece of buttered popcorn on your pants leg while you’re in the movie theater. This wasn’t even 2-year pudding on the front of the shirt or 5-year old grass stains on the jeans.

Did the “unnamed” detergent get that out?

Nope.

But Tide, of course, did.

Maybe I just underestimated how good Tide really is. Think about all of those years in the laboratory by scientists and then several decades of consumers using it and the company tinkering with it. From inventors.com

:

In the 1920s, Americans used soap flakes to clean their laundry. The flakes performed poorly in hard water, leaving a ring in the washing machine, dulling colors, and turning whites gray. Procter & Gamble began an ambitious mission to change the way Americans washed their clothes. Researchers discovered two-part molecules which they called synthetic surfactants. Each part of the “miracle molecules” executed a specific function–one pulled grease and dirt from the clothes, while the other suspended dirt until it could be rinsed away. In 1933, this discovery was introduced in a detergent called “Dreft,” but it could only handle lightly soiled jobs. The next goal was to create a detergent that could clean heavily soiled clothes. That detergent was Tide®.

Created in 1943, Tide detergent was the combination of synthetic surfactants and “builders.” The builders helped the synthetic surfactants penetrate the clothes more deeply to attack greasy, difficult stains. Tide was introduced to test markets in October 1946 as the world’s first heavy-duty detergent. Consumer response was immediate and intense. Tide detergent outsold every other brand within weeks. It became so popular that store owners were forced to limit the quantity purchased per customer.

Tide detergent was improved 22 times during its first 21 years on the market, and Procter & Gable still strives for perfection. Each year, researchers duplicate the mineral content of water from all parts of the United States and wash 50,000 loads of laundry to test Tide detergent’s consistency and performance.

So, maybe it’s not so easy to make a detergent after all? And especially one that works.

I know, I know. You’re all thinking that maybe I just didn’t use a “good” detergent that is good for the environment and that there are probably others I can try.

Frankly, the experience was so bad, I’m discouraged about even trying any of the others.

Sorry- I guess I won’t be helping the environment (at least in the detergent department.)

I’ll take my Tide- thanks.