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The winner is….

On September 28, 2011 Ms Reyna of Impressione Jewelry and Fashion Accessories, received the first prize in the contest to create a Buzz at a gathering at Casino Espanol in Cebu city in the Philippines.

Reyna won the prize for her ideas to develop ‘Live and love green’ and ‘Me and My style’ games. The games reflect a unique approach for the Philippines lifestyle sector and would offer a good basis for a campaign through social media and to be supported by a mobile app.

Congratulations Reyna, and keep the creativity flowing!

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Posted in Guerilla marketing, Innovation and value addition, Online marketing, Social media, Trade shows | Leave a comment
 

Innovation in green marketing

best practice green marketingAs Coca-Cola expanded its green initiative in 2011, they unveiled a “living” billboard made out of plants. In Manila, Philippines, Coca-Cola and the World Wildlife Foundation (WWF) partnered to produce a 60×60 foot billboard advertisement made out of 3,600 Fukien tea plants.  The plants are potted in recycled Coca-Cola bottles that contain organic fertilizers, and are watered by a drip irrigation system.  These plants can absorb 13 pounds of carbon dioxide each year, meaning that this billboard will absorb over 46800 pounds of carbon dioxide in a year (if the billboard is kept up for a full year)

Inspiration for trade promotion
We find this a beautiful innovative advertisement by Coca-Cola and the WWF, which has received a lot of positive feedback and media attention. It could be a very nice source of inspiration for trade promotion and tourism promotion organizations in developing countries. For example for green ‘destination marketing’, eco tourism or sustainable tourism promotion, CO2 compensation programs, clean production and consumption etc.

What do you think? What kind of ideas could you generate out of this good practice?

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Contest: Create a Buzz!

Introduction
As part of the SMART Cebu program, companies in the fashion accessories, furniture and gift toys and houseware sectors in Cebu, the Philippines are working on more sustainable production, achieving cleaner production processes and more ecofriendly products.

In the next 6-8 months, the focus will be on the marketing side. There are three trade shows selected for the participating companies to showcase their products and promote their sustainability efforts in the EU. But to make these shows a success, there is a need to bring the Cebu lifestyle industry back on the map and top of mind of the buyers and opinion leaders. People have to talk about the Cebu industry again and become eager to engage in business with Cebu manufacturers. It’s time for a big buzz!

Create a buzz!
In order to draw more attention of potential buyers and opinion leaders to the Cebu lifestyle sectors, we want to create a buzz.  A guerilla marketing campaign, on-site (at or around the trade show) and online.  A marketing action that is unique, uncoventional, and fun, that makes people smile and share the experience, stimulating viral activity on the Internet. Some recent Filipino examples of successful buzz campaigns: Kenneth Cobonpue’s bamboo car, and the dancing air hostesses of Cebu Pacific Air. Other examples that can serve as inspiration…

Join the contest!
Do you have ideas about a creative, unique and unconventional marketing action that will ceate a buzz? Join the contest and submit your idea to us. The winner of the contest, will win a Kindle e-reader, the nr 1 best seller of Amazon.com!

How to participate?
It’s easy. Anybody can participate and you can submit one or more ideas. All you have to do is submit your entry in the the comment box below.
It’s important that the campaign idea is original, relates to the Cebu lifestyle industry (furniture, home decor and fashion accessories), the drive towards clean production and green design,  and is well explained in no more than 1,000 words.

The Deadline for posting your idea is July 15, 2011. The winner will be announced before August 15, 2011.

More information?
In case you have a question related to the contest, please contact us.

Conditions
The winner will be selected by a jury, consisting of the SMART Cebu project team. The winner will be announced before August 15, 2011. The decision can not be disputed. By participating in the contest, the participants renounce the copyrights or any intellectual property right and agree that the project can use the campaign ideas in the actual marketing campaign without compensation.

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Posted in Guerilla marketing | 5 Comments
 

SustainabiliTEA – Value in Partnership

In December 2009, according to Trade Forum, a group of 12,500 smallholder tea farmers achieved Rainforest Alliance certification through a public-private partnership (PPP) project between Unilever (world’s biggest tea company), the Rainforest Alliance and the Kenya Tea Development Agency (KTDA). The scale of the partnership has started a revolution in the same way that the coffee industry has been influenced by the sustainability movement of the past decade, particularly in light of the International Fund for Agricultural Development’s recommendations to smallholders in emerging economies to meet the increased demands for world food production.

Kenya is the world’s largest tea exporter producing around 320,000 tonnes of tea annually. More than half of which or about 60% is produced by KTDA. KTDA brings together around 560,000 smallholders, each owning a small plot of tea, sometimes not more than one acre. KTDA’s Momul factory dries and processes the green leaf into black tea and then shipped to Unilever’s processing plants for blending and packaging  into tea bags.

On their small, yet carefully managed plots of land, each farmer had to implement ecosystem, water and soil conservation practices and wildlife protection and agrochemical reduction processes to meet the strict standards of the Sustainable Agricultural Network (SAN), a coalition of leading conservation groups, and in order to earn the right to use the Rainforest Alliance Certified seal on their products. The standard also guarantees workers’ rights and safety and also decent housing, legal wages and contracts for workers.

Rainforest Alliance’s Manager for East Africa and South Asia Marc Monsarat said that Kenya has the largest single group certified in their certification system to date.

Read the full article on Trade Forum

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Alibaba: China’s king of e-commerce

Jack Ma, founder of Alibaba, stands out in a country where tycoons are often the children of politicians. He failed twice to get into college, learned his English from the radio and stumbled on the internet during a trip to America as an interpreter. He typed the phrase “Chinese beer” into a search engine and found no results, wherein, he saw an opportunity.

57 million users
Mr. Ma created Alibaba.com in 1999 to help and assist small firms find customers and suppliers without going through middlemen. Now Alibaba has 57 millon users worldwide and is sometimes likened to eBay or an online Yellow Pages. Although the business is performing pretty well, Mr. Ma is far from satisfied.

Clients in Alibaba are small firms that want to link cheaply to the global market. Machine-makers in Turkey or Britain use Alibaba to find cheap suppliers without physically going to China. Also buyers can read reviews that others have written about each seller, which foster trust, though it is far from foolproof.

… a payment system
To boost traffic through in Alibaba website, Mr. Ma set up an online payment system, ‘Alipay’, in 2004. Its growth was greatly helped by the impediments that China placed, until recently, before its American rival, PayPal. Alipay says it now has 470 million users worldwide and about 500,000 Chinese merchants accept it.

… and ‘Ali-loan’
Mr. Ma has also started a service called ‘Ali-loan’. He does not lend money but works with banks which typically have no idea if a small borrower is creditworthy. However, some in government probably think it’s a good idea to help small businesses and even consumers get loans, but others are cautious. The Communist Party is terrified of credit bubbles, the bursting of which might spark unrest. So Mr. Ma must tread carefully.

Challenges
The Economist, however, enumerates several obstacles that Alibaba is facing. First, the Chinese internet market is cut-throat and evolving fast. Second, talent is in short supply. And third, Alibaba has neglected to make much profit.

and more opportunities …
But then again, Alibaba has compiled huge database in which the firm could profit what it knows without violating anyone’s privacy.  One idea might be is to use customer data to identify trends and help companies to anticipate what consumers want. Given the paucity of accurate data in China, this would be extremely valuable.

Read the full report on The Economist

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Strategies that keep innovators win

As we all know, innovation is a key aspect for being successful in international markets and trade promotion. Authors Barry Jaruzelski and Kevin Dehoff in ‘Strategy + Business’, describe three fundamental innovation strategies. Organizations that follow either one or combinations of the three strategies consistently and significantly outperform their rivals.

It’s not the amount of money spent on research and development that makes them successful but it’s about the particular combination of talent, knowledge, team structures, tools and process – the capabilities – that they put together to enable their innovation efforts, thus creating products and services they can successfully take to market.

The three innovation strategies that the authors are referring to are briefly described below:

  1. Need Seekers actively and directly engage current and potential customers to shape new products and services based on superior end-user understanding, and strive to be the first to market with those new offerings.
  2. Market Readers watch their customers and competitors carefully, focusing largely on creating value through incremental change and by capitalizing on proven market trends.
  3. Technology Drivers follow the direction suggested by their technological capabilities, leveraging their investment in research and development to drive both breakthrough innovation and incremental change, often seeking to solve the unarticulated needs of their customers via new technology.

Furthermore, the authors mention that none of these strategies are any better than the others at producing sustained superior financial results, although individual companies outperform others within each strategy group. The success of each strategy depends on how closely companies pursue innovation and align this with their business strategy and how much effort they devote to directly understanding the needs of end-users.

In the full article, more information is included about the characteristics of the capabilities that are critical to the success of the innovation strategies.

Read the full article on Strategy+Business

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7 tips for succeeding as a social media strategist

The role of social media is expanding rapidly and many organizations of all types are trying to stay afloat amidst the changes. In this regard, ‘Mashable.com’ describes the good practices in social media from the presentation of Jeremiah Owyang, an industry analyst at Altimeter Group – a digital consulting firm, during the Word of Mouth Marketing Association Summit.

Owyang presentation was based on months of research in which 140 enterprise-class social strategists across various industries were interviewed.  The seven key tips for building a successful social media program are as follows:

  1. Be proactive, not reactive.  As a true strategist you will steer the organization in the right direction before staff knocks on your door to call for a Facebook page. As we say: Get your ‘interact’ together.
  2. Be a program manager, not evangelist. As social media programs become more advanced, a new set of skill is going to be required and a program manager is responsible for resources, timelines, Gantt charts, ROI models, analytics, data modelling, resource management and program management. This set of skill is very different than those of the evangelist role.
  3. Educate your business units. It is important to not only lay down guidelines, but also provide training for employees who want to learn more and get involved in the social media program.
  4. Organize for success. Owyang recommends that social media programs be organized in hub and spoke or dandelion models in order to scale. In the hub and spoke, there’s typically a cross-functional team that’s serving multiple business units, with the strategists at the center of the formation.
  5. Be an enabler. Owyang believes that it is crucial for social media strategists to slip into the mindset of an enabler because it is unrealistic to think that one strategist can stay at the center of every social media effort or that he or she could even hire enough community managers to stay on top of an entire enterprise’s social activity.
  6. Deploy scalable social media programs. Dialogue and one-to-one communications does not scale. Community programs, advocacy programs, social media management systems and social customer relationship management are all worthwhile social media efforts because they are scalable.
  7. Transcend marketing. The report found that 71% of social media programs fall under the domain of marketing or corporate communications. In order to make an impact, Owyang says that social media programs must transcend marketing. Think about how social media can be applied to support and service customer experiences and improve products and services. Strategists should take note and act accordingly.

Read the full article on Mashable

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Regional trade promotion – a sound vision leading to success

The European Chamber of Commerce of the Philippines (ECCP) introduced a concept of regional trade promotion, almost 5 years ago. Ever since, it has successfully implemented the concept at trade shows in Europe and the Middle East. The concept is titled ‘Asean Fusion‘. It demonstrates that  a vision towards regional co-operation instead of competition can be very successful in trade promotion.

Recently, I met with Joan Zabala, manager at the ECCP, and we discussed about the concept, and Joan explained about the rationale and the results.

Rationale
Ten countries make up the regional cooperation group called the Association of Southeast Asian Nations or ASEAN: Indonesia, Malaysia, the Philippines, Singapore and Thailand were the original members, later joined by Brunei Darussalam, Cambodia, Laos, Myanmar and Vietnam. As explained by Joan, “together, these countries offer an incredibly diverse array of design sensibilities, motifs and influences. That makes for a very interesting mix of products and styles suited for highly-globalised modern living.”

Concept
The concept is built around:

  • A regional identity that allows manufacturers in small Southeast Asian countries to merge as one;
  • A collective showcase of products by manufacturers from the region with emphasis on design+ material;
  • A visual feast of the best furniture, furnishings, home accessories and giftware from the region in a collective lifestyle presentation  (Asean Fusion Lifestyle)

Objectives
As Joan continues to explain, the objectives are threefold:

  1. “To make use of leading trade fairs in identified/target markets as  promotional platforms to promote Asean Fusion by focusing on its roots in the Southeast Asian cultures and reverberating throughout the modern world;
  2. To bring exporting companies and leading designers in the region together under the Asean Fusion concept, promoting to complement rather than to compete, cooperating under a common ‘roof’ on the basis of style, design, quality and mid-up pricing;
  3. To establish Asean Fusion in the international design industry as a viable one-stop source of a wide-range and internationally competitive high-design, high-quality products.”

Results
According to Joan, the launching of Asean Fusion at Tendence Lifestyle in Frankfurt (August 2006) was promising and led to follow through presentations at Ambiente in Frankfurt (2008/2009/2010) and Index in Dubai (2007/2008). It  successfully featured designer and design companies initially from Indonesia, the Philippines, Thailand and Vietnam.

The response has been very positive,  the Asean Fusion concept was welcomed as innovative, exciting and making a lot of sense. The overall set-up made a positive and lasting impression to visiting buyers, exhibitors, guests, VIPs, diplomats and fairs organizers at these shows in Europe/Middle East. Obviously, without business results, it would not have lasted so many years already.

When asked about the future of the Asean Fusion concept, Joan mentions that based on the positive results, “it is envisioned that Asean Fusion may expand into other sectors  like fashion, or food, and will attract participating companies from other Asean countries like Cambodia, Malaysia, and will participate in more fairs worldwide.”

Success factors
The Asean Fusion concept has become a success because of because of:

  1. a sound vision on conceptual marketing, complementarity and regional co-operation;
  2. the leadership to translate the vision into a viable concept;
  3. a reliable network of partners;
  4. a consortium of designers from each country participant; and
  5. a curatorship program that is needed to maintain design directions and achieve the desired quality presentation Asean Fusion stands for.

More about The European Chamber of Commerce of the Philippines

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Viral videos, why it works?

Viral marketing can be one of the key promotional strategies for trade promotion because everybody loves viral videos and is eager to share them. Ad agencies are trying to replicate the success of some viral videos to help their campaigns get exposure and new fans. While some miss the mark, other viral videos are truly great and innovative.

Mashable has published the most innovative viral video ads from 2010. Some good practices from which exporters and trade promotion bodies can learn.  Below is one example. Toyota and its ad agency, Saatchi & Saatchi, made a video that makes any parent in search of a minivan feel cool and hip… Amazing stuff, downloaded around 8 million times!

According to Josh Warner, President and founder of Feed Company, every creator of a viral video knows his or her audience well and what executions appeal to them most. The viral videos are also inclusive in tone, making you feel like you’re a part of the brand’s message and experience, that’s why it works.

View the other top 10 viral videos on Mashable

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Posted in General, Guerilla marketing | Tagged , , , | 4 Comments
 

Germany’s midsized companies have a lot to teach the world

The second world’s largest exporter next to China is Germany, despite its high labor costs and strong euro. It is the home of durable “Mittelstand” companies that have survived hyperinflation and two world wars.

In the Economist of November 25, 2010, Bernd Venohr of the Berlin School of Economics and Hermann Simon of Simon-Kurcher & Partners gave some good ideas of the management theory of Germany’s success.

Niche markets and Innovation
These ‘Mittelstand’ companies focus on market niches that helps Germany avoid head-to-head competition with global giants. However, skeptics worry that the Mittelstand model will eventually become a victim of globalization and others worry that Mittelstand companies are too conservative.

These criticisms are overstated because ‘Mittelstandler’ have not only focused markets that are hard to enter. They are also constantly innovating to stay ahead of potential rivals. The second criticism has more substance because Germany has a poor record generating start-ups or at quickly turning small fish firms into giants. But for all that, the record of the Mittelstand over the past three decades has been history of global conquest rather than missed opportunities.

Country branding
On top of that, these  companies contribute significantly to the reputation and image of Germany, as a country known for top quality, durable products and state of the art engineering. It’s a solid foundation for country branding and trade promotion campaigns. In fact, it is a mutually reinforcing relationship: The country branding campaigns reinforce the position of the Mittelstand companies, and spills over to other sectors whereas the performance of the companies support the country brand.

Lessons
There are three lessons that the world can learn from the Mittelstand model. First, do not try to build your own version of Silicon Valley to prosper; it is often better to focus on the traditional strengths in “old-fashioned” industries. Second, niches that appear tiny can produce huge global markets. And third, western companies can preserve high quality jobs in a vast array of industries so long as they are willing to focus and innovate. These are some valuable lessons that can be learnt from good practices in Germany’s medium sized industries.

Read the full article in The Economist

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