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According to more than two dozen interviews with senior marketing leaders at
large global companies around the world, the number one problem they face is organizational silos.1 These silos slow decision making and
make it difficult or impossible to reach a consensus on critical issues such
as brand values, communications strategies, new offers, and messages.
As one would probably expect, silos often exist between marketing and other
functions, such as finance, human resources, sales, and operations. Yet what
surprises many is that within marketing itself silos often exist as
well—between research and communications creative, or between corporate and
business communications groups, or among regional marketing teams.
The results are generally easy to see—as the organization proclaims different messages, based on different strategies, from its various groups
and functions. Public relations, advertising, executive speechwriters,
sales, and investor relations each tend to create messages that address
their respective audiences, but they generally fail to take the extra step
and marry them with common themes that best reflect the value and essence of
the business in its totality.
The result is that companies rarely speak with one coherent voice. And the
consistency of the brand—one of the key drivers of value—is undermined.
And marketing, charged with developing and executing coherent positioning
and communications, ends up spending an enormous amount of time struggling
against the cacophony of voices within its own company, often begging and
pleading with others to get into line.
The political world identified and solved this problem years ago.
When President Reagan took the White House, his team recognized that part of
the problem faced by the Carter Administration, an incumbent that they
defeated soundly, had been the lack of a coherent message, which created, in
turn, the perception of a lack of leadership. To address this, the Reagan
administration was the first to implement a "message of the week" to align
all communications around one idea. The impact was dramatic. Reagan, in
contrast to Carter, was seen as a competent, focused leader, in large part
because his team was seen as "on message" on a weekly basis. Moreover these
weekly messages almost always reflected the overarching conservative
principles of the president, thus reinforcing his distinctive political
brand.
In President Bill Clinton's administration, messaging was taken to a dynamic
and more strategic level, through better research techniques. Rather than
testing messages in isolation on variables like appeal, as is done at most
companies today, the White House's current and potential messages were
tested in head-to-head comparisons against current or potential opposing
messages. Then after being exposed to the pro and con messages, the
respondents were asked to choose one—an approach that gave a vastly more
accurate and precise picture of public attitudes. By gaming out multiple
attack and response sequences simulating all the expected paths the
issue might take, the White House could see how
public attitudes and policy fights would play out, often before the first message ever came out. This kept the White House as much as
two or three steps ahead of the opposition, and created a focused and
effective White House leadership team that was able to win immensely
difficult battles over balanced budgets, NAFTA, impeachment, and welfare
reform.
While new research techniques that dramatically improved the usefulness and
reliability of the results were essential to this success, there were also critical structural reorientation and process changes that made it
possible.
In a political campaign and in a well-run White House, there is "the
communications team." It includes the senior people from advertising,
speechwriting, PR, strategy, management, policy, and research. They all sit
at the table, decide the strategy, and then decide how to execute on the
strategy in the most effective way using each of the different
communications channels as a tool. Everyone at the table accepts the reality
that "everything communicates," which means they have to agree on one
message.
This consolidated organizational structure for managing communications is intimately involved in the research process itself, whereas
before this research did not play nearly as central or useful a
role.
Everyone on the communications team can, and is encouraged to, suggest
strategies and messages—and that full range of perspectives is put into the
research, in an open and transparent process. That way, everyone gets their
ideas tested and, when the research comes back, they know what messages won
and lost; and—most importantly for attaining buy-in and agreement across the
group—they know that their ideas had a full, fair, and objective vetting.
The results are powerful, crisp communications that have an
enormous impact in projecting competent leadership, building reputation and
brand value.
Now over ten years later the corporate world is starting to catch up. But it
has a long way to go, largely because of a self-imposed Catch-22. Through
habit and inertia, most marketing people use obsolete research
techniques. They still
test messages qualitatively; or in isolation from the competition (monadic)
in terms of appeal; or they judge them against historical,
and largely irrelevant, benchmarks. They fail to test in the competitive
context that frequently yields results three to four times more accurate
than these older approaches. As a result, the CEOs and other senior
executives, lacking accurate and reliable research to guide their decisions
on messaging, are (rightfully) reluctant to make the organizational and
process changes needed to let the marketing executives own and guide the
full spectrum of the communications agenda.
For the companies that manage to break out of this status quo gridlock, the
impact can be spectacular. Several years ago now, IBM, facing immense
problems, settled organization-wide on one messaging platform anchored on
eBusiness. This central message significantly improved perceptions of a
teetering giant. More recently you see companies like P&G invest
considerable time and effort to clarify and make distinct the core idea and
message behind each of its laundry detergent products with again positive
results.
The business world, in general, badly lags the political world in using the
latest and most effective research techniques and in making the commitment
to align communications around research results. Better research and
organizational changes are the two inter-related keys that would allow
marketing to escape from its silo prison. If companies, and marketing
organizations in particular, took these twin simple lessons of the political
world and implemented them, they would find their organizational cultures
far more focused, effective, and respected; and brand communications would
realize their full potential value.
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1 Interviews conducted by Dave Aaker, former Emeritus
Professor of Marketing at University California Berkeley and Tom Agan.
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