by: Geoff Ficke

Several years ago I wrote an article entitled “How Do You Choose the Best Marketing Consultant”. The article was posted on my website – www.DuquesaMarketing.com – and on numerous print and internet links. The content was written to advise layman of the many options and obstacles that should be addressed in their search for experienced and competent consulting help. Common sense, some inside-baseball tips and guidance on avoiding shyster’s constituted the bulk of the articles copy points.

Since being printed, the article has elicited much positive response. I appreciate the nice comments and reviews. I also, fully recognize the wild, wild, west nature of the internet and the reality that anyone’s work may be misrepresented and even plagiarized by some unsavory elements that play in the “mucky” side of the medium. So I write the following as a real life cautionary advisory.

Recently while policing my web-site and personal web links I discovered a link to my article “How Do You Choose the Best Marketing Consultant” that had been posted by the marketing consulting firm True North Services. I know nothing of this firm, its associates, experience or abilities. I was, however, shocked that my article was re-printed in the link and on their web-site in its exact entirety, and only in the finest small print at the bottom of the article re-print am I credited. The professional, honorable way to credit authorship is with a bi-line and source mentioned at the top of an article, beneath the title.

When you visit the True North Services web-site there is a tab on the Home Page noting their “Articles”. My article is included as if authored by this firm.

This may seem a small point, a slight indiscretion in a world full of violence, duplicity and corruption. Maybe! Nevertheless, if a service provider in any field feels compelled to use a competitor’s work product to enhance their curriculum vitae what does this say about their ability, originality of thought, creativity (or lack thereof) and honor as a potential working partner.

In a laissez-faire medium such as the internet, and in a world where unscrupulous firms will sell shoddy products and services through gross misrepresentation, it is crucial that buyers and clients exercise due diligence before making decisions. The purpose of my article “How Do You Choose the Best Marketing Consultant” is to assist in that process. The fact that good perspective, guidance and intentions have been abused by misrepresenting this writing should make seekers of professional services even more careful and wary.

by: Geoff Ficke

Many years ago, I was required to read a modern translation of Sun Tzu’s classic text on warfare, “The Art of War” for a college course on Ancient History. I completed the read, took the test, passed the course, and promptly filed old Sun Tzu in the catacomb of my mind. I thought I was done with war theory and strategy.

As the years have gone by, and I have worked as a consumer product sales manager, product developer and marketing strategist for over four decades, I find that I use many of the military lessons that Sun Tzu taught in 600 B.C. and which are still studied at West Point and in military schools to this day. The lessons are simple, timeless and convert almost exactly for use as marketing commandments. I even refer regularly to my old dog-eared student copy of “the Art of War” for inspiration.

War and marketing have many similarities. Warfare is all about the successful control of ground. Marketing is all about the successful control of in-store (or media) ground: shelf space, location, display.

In warfare Sun Tzu stressed the importance of controlling the high ground. From a position of height, an army can look down on their enemy, target fire, hold ground with fewer soldiers and maintain cover while the enemy must expose themselves to come forward.

Robert E. Lee was arguably the greatest field commander ever produced in the United States (well, George Patton fans might argue this point). Lee performed remarkably in the Civil War with less manpower, less armaments and horrible logistic support. And yet, General Lee, a student of Sun Tzu, forgot the crucial importance of not fighting unless an army controlled the high ground as his Confederate force was routed at Gettysburg and the trajectory of the bloody conflict was irredeemably altered.

In marketing the high ground is taken when you offer a service or product that is honest in performance, presents value, offers new, exciting features and benefits and motivates consumers to choose your item and not the competitions. Do not be fooled, the craft of marketing and selling consumer products is a form of warfare. There is only so much shelf space in even the largest big box retail store. Advertising vehicles are limited by time (television, radio spots), space (newspaper, magazine ads), cost and frequency. The competition is always seeking to take the high ground and advance on your market share.

Sun Tzu said, “The winning general knows what is required for victory and then attacks. The losing general attacks; then seeks victory”. The same is true in marketing a business service or consumer product. A business plan, customized marketing strategy, Unique Selling Proposition and sales plan for successfully achieving distribution is essential to success. All too often, the over-confident or novice marketer attempts to penetrate a sales channel without conducting the proper due diligence and laying a groundwork that will support a campaign.

“Use the resources of others to your advantage”, is another theorem that Sun Tzu espoused. This is the basis of guerrilla warfare. It is equally applicable to guerrilla marketing.

“The winning general must think like a cobra”, wrote Sun Tzu. Cobras are fast, nimble, agile, ferocious and cunning. General Dwight Eisenhower is a perfect example of a military leader thinking and acting as a cobra. For the invasion of Normandy, D-Day, June 6, 1944 the Allied Commander continually feinted, used General Patton’s movements as a ruse, oversold false landing spots, and used deceit to confuse the Nazi’s about the date, place and strength of the landing force they would confront.

Successful marketers utilize as much secrecy, speed, agility and cunning as possible to outwit and out-hustle their competition. The cobra advantage is why new products continually penetrate large, established, often lethargic categories that are lead by sluggish, multi-national bureaucratic companies. In the beauty and cosmetic industry Bare Essentials and Philosophy has powered past many old line brands. Apple continually re-invents itself and energizes the technology sector. Jimmy Choo has become a generic label for the high-end footwear industry in the last decade. In 40 years WalMart has come to dominate and run off dozens of far older retail competitors. The Korean auto maker Hyundai has quickly become a top selling brand as price, quality and performance has provided the Company a keen Unique Selling Proposition.
“The Art of War” is still studied religiously to this day at military academies around the world. The reasons are simple: the lessons of successfully making war have not changed. Technology certainly has. Strategy and logistics, as described over 2600 years ago by Sun Tzu have not. The same applies to marketing. New distribution channels and technologies are created but the essential rules of marketing, and they parallel the rules of successfully making war, do not change. I recommend any serious aspiring marketer to pick up a copy of “The Art of War”, read it, and hold onto to it for career-long reference.

by: Geoff Ficke

One of the pioneering brands in the fast food business was the venerable Horn & Hardart chain of automat restaurants. Started in Philadelphia in the 1890’s by partners Joseph Horn and Frank Hardart, the stores became hugely successful. The restaurants were famous for their unique food delivery system and iconic interiors.

The chain quickly expanded from Philadelphia to Manhattan and their location on Time Square became a tourist attraction. Horn & Hardart was famous for displaying their entrees, sandwiches and desserts behind little glass windows. The customer placed the correct change in the money slot and the door was then unlocked and the food removed. As soon as a serving was taken another was placed in the compartment by hand.

The automat was the precursor of the modern fast food restaurant. The Company expanded aggressively in the Atlantic region and at one time, during the Depression, operated over 150 stores. They popularized the phrase “Less Work for Mother” and take-out food.

And yet, Horn & Hardart went into a steady decline after World War ll and closed its last remaining outlet in 1991. What happened? How can an industry leader and trend setter become so inconsequential and obsolete that it goes extinct?

Joseph Horn died in 1941. Three generations of the Hardart family continued to run the business until the 1980’s. As so often happens when visionary entrepreneurs pass from the scene there is often a loss of focus and drive to stay ahead of competitors. In the 1960’s fast food restaurants became ubiquitous and as the population became more mobile, Horn & Hardart did not react to changing consumer buying and eating habits.

In marketing consumer products and services there is an old adage that always holds true: “You are never the greatest, only the latest”. As the great baseball pitcher Satchell Paige often said, “Don’t look over your shoulder, someone might be gaining on you”. Marketers, entrepreneurs and product innovators must protect their position in the market by constantly improving existing product and by introducing new products that bring consumers back into stores for their wares. In every business category from retail, to auto manufacturing, to cosmetics to airlines, and more, there are endless examples of once mighty industry leaders that have been replaced by more nimble, forward looking visionary companies. These new business leaders too will fall if they do not respect and react to this oldest of marketing truisms.

by: Geoff Ficke

The largest selling mouthwash brand in the world is Proctor& Gamble’s Scope. In second position is the very popular and familiar Listerine. These products enjoy massive sales and international distribution. They command dominant shelf positioning in retailers large and small. There are very few households that do not utilize one of these products to fight halitosis.

And yet, a better product, scientifically verified, and the brand that invented the term “halitosis” to describe bad breath is largely forgotten. Once a huge seller, Lavoris has declined precipitously in consumer popularity. Why?

Originally Lavoris was used as an antiseptic during the Civil War. Formulated utilizing the ingredient Zantrate, Lavoris was first marketed as a mouthwash in 1903. Zantrate is a patented ingredient, and coupled with a low alcohol content and pleasant cinnamon flavor, Lavoris quickly exploded in popularity.

Zantrate has been clinically proven to instantly neutralize the bacteria that promote bad breath. Clinical studies at Hill Top Research in Cincinnati, and the University of British Columbia claim to show that Lavoris is three times more effective than Scope at killing oral bacteria. These studies were so compelling that the three major television networks accepted and validated the results.

Richardson-Vick, the former owner of Lavoris created a classic marketing and advertising campaign that still resonates with older Americans to this day. The Company created the word “halitosis” as a powerful branding aid to identify the problem that Lavoris could solve. It succeeded so well that the word “halitosis” is now found in Webster’s Dictionary. In addition, the term “Pucker Power” became one of the most famous slogans of all time after years of use in Lavoris advertisements.

How does a brand with a century old pedigree, solid clinical support for its claims of better performance and clever branding fall off the precipice and almost disappear from the consumer’s radar? Actually it is not that unusual and the reasons are often quite similar. Lavoris lost sight of the famous old marketing adage, “You are never the greatest, only the latest”.

Graphics, packaging, branding, sales promotion, sales collateral, public relations, display, advertising strategies, sampling and product placement are only some of the components involved in constantly refreshing a product. The goal is to keep the brand fresh and in the forefront of the consumer’s mind as times, tastes and competition changes. However, it is imperative that the consumer not be put off by the new and the changed. Remember New Coke? Remember the K-Car?

The Lavoris brand found itself in a constant state of flux. The product was involved in a number of corporate ownership changes that forced frequent management and creative adjustments. Each new owner was less than keen on refreshing the brand and making essential investments that might have protected its place on shelves, while profits were used for other corporate purposes. In the face of an aggressive onslaught from brands like P&G’s Scope, Lavoris wilted.

There are many examples of great products that are outsold by more pedestrian quality competitors. The resources to market properly, aggressively and creatively all too often trump quality. If you can’t let consumers know about a products superior features and benefits, especially in a cyclonic marketplace, your item will suffer at the hands of the more dexterous marketer. This is where alternative marketing strategies, such as bootstrapping and guerilla marketing become essential.

by: Geoff Ficke

In 1927 the Austrian inventor Eduard Haas introduced PEZ as an aid to curb smokers urges to engage in the unhealthy habit of smoking. Haas was an early anti-smoking crusader. Even in the early 20th century it was widely understood that smoking was a vile practice with potentially dire health consequences for users who engaged in the habit on a regular basis. Governments too, understood that smoking had dangerous long term effects on smokers health, and accordingly began to assess stiff excise taxes on sales of cigarettes.

PEZ were originally peppermint flavored. The word PEZ comes from the German word for peppermint. Mr. Haas believed that peppermint would energize the sense of taste and mute the smokers desire for smoking cigarettes as the flavor of burning tobacco smoke was believed to be unpleasant with peppermint in the body. For 25 years PEZ were sold in pharmacies in Europe and by today’s standards would be considered a modest commercial success.

The evolution of PEZ from an over the counter health aid to a candy took place before and during the World War II years. As much of Germany and the European continent lay in ruins Mr. Haas recognized that smoking was becoming more popular among many people. Smoking was one of the few relaxants readily available on the severely diminished retail marketplace of the time. Though an ardent evangelist opposed to smoking, Haas understood that his business would collapse unless he reinvented PEZ. The peppermint flavor of PEZ made the product an ideal candidate to be remarketed as a candy product.

In 1952 Eduard Haas began to export PEZ candy into the United States. Sales were initially very sluggish. American consumers did not respond to the strong, almost overwhelming peppermint flavor of PEZ candies. At this point Eduard Haas made a decision which provides an excellent teaching moment for entrepreneurs seeking to reposition their product.

Haas withdrew PEZ candy from the market, but he did not do so to close the brand down. He repackaged the candies, using new colors and fruit flavors that children especially enjoyed. The overpowering German peppermint was toned down significantly. Most importantly, the packaging of PEZ candies was reworked to possess the features of a child’s toy with cute animal heads that acted as a spring load delivery system to engage, and almost magically produce each piece of the candy. Children loved the interactivity of the packaging and the fruity treats that they delivered.

As a result of Eduard Haas reinvention of PEZ he created an iconic candy brand. The sales success and popularity of PEZ have continued unabated to this day. Very few consumers, even if they do not eat PEZ, fail to recognize PEZ when they see the cute little colored, animal inspired packages of the sweet.

Many inventors, entrepreneurs or small businesses hang their hats on a signature, “alpha” product. When or if sales lag they are flummoxed. What can be done to resurrect the brand? A new marketing strategy? New Branding? Redesigned packaging graphics? New distribution channels? These and other options must be considered. However, the Eduard Haas option, to reinvent the “alpha” product as a completely new item with fresh features and benefits is rarely considered. It should be.

by: Geoff Ficke

My marketing consulting firm, Duquesa Marketing, reviews hundreds of new product ideas each year. We specialize in the consumer product space and consider submissions for product specific categories such as beauty products, foodstuffs, pet care items, sporting goods and gift items among many others. If the item can sit on a store shelf, or can be sold through electronic retailing, we are keen to review and critique the opportunity.

It is rare that we are introduced to a new idea that the creator does not position as unique, fresh, novel, and/or different from competitive products or services. Every inventor or entrepreneur is seeking to create or fill a niche, called a Unique Selling Proposition (USP) by those in the marketing/branding trade. Occasionally they score a bulls-eye at the initial presentation. Most often, however, the product cannot differentiate itself and create significant separation from existing goods. Sometimes this is a prescription for failure. Other times we can massage an item until fresh features and benefits are added that justify a USP.

I often wonder why our contemporary times, news, personal and professional environments and the life’s journey we all are undertaking is not more useful in identifying commercially viable business concepts with strong USP’s. Today, there is a land rush occurring to find answers to environmental, wellness, medical, obesity and energy issues and problems. Successfully addressing these societal concerns would be of immense import for the inventor and consumer of problem solving new commercial services and products.

In the United States we are consumed with a heated debate about reinventing healthcare. One of the opportunities that should be readily apparent to all entrepreneurs immersed in the details of this issue is that medical doctors are concerned about their future income. Modern medical practices are housed in expensive medical complexes, contain the latest and most costly technology, employee nurses and technicians that are highly trained and compensated and doctors face shrinking remuneration from insurance companies and government programs.

A store within an office, or a clinic within a clinic, offering a tangential service or products would be of interest to many medical practitioners, IF, the opportunity could be presented as a logical extension of the services they offer and profit generation can be easily demonstrated. A proprietary Body Mass Index Test clinic, and a range of supplements for sale, computer generated dietary directives and training could be of interest in a country with the obesity problem we have.

The creation of a product that would enable parents of new, inexperienced teen-age drivers to chart their cars operating systems while driving alone would be of immense value. A device which monitors engine rpm, speed, use of signals, braking velocity, radio volume, blocking cell phone signals while car is in motion and distance travelled would serve to put a damper on reckless behavior. Insurance companies would be thrilled to provide discounts for drivers operating cars equipped with such a device. What concerned parent would not want the comfort of having such a product in their child’s car with a monitor they could follow at home?

The market is flooded with cosmetic options to fight anti-aging and wrinkles. Creams, implements, Botox, cosmetic surgery and supplements are everywhere. And yet, while much is addressed to treating the eye, face, lips and throat, there is virtually nothing that effectively targets hands, wrists and the body. A woman with a face lift, or a Botox injection, is completely given away by the lines and wrinkles on the wrist and back of hands.

Energy saving devices, wellness products, entertainment systems, product portability, packaging innovations, recycling concepts, weight control, pet and child safety and anti-aging regimens are only a few areas ripe for fresh USP’s. Successfully penetrating these niches will reward innovators with fame, riches and immense personal satisfaction. Even small niche advances can be exceedingly rewarding.

by: Geoff Ficke

In 1937, the venerable inventor and scientist Edwin Land, founded the Polaroid Corporation. His business served to introduce the world to the first instant film camera in 1948. For almost four decades the Polaroid Land Camera was ubiquitous at christenings, parties, graduations and weddings as families so loved the speed the system provided to see images almost immediately.

Polaroid grew to be one of the most recognizable products and brands in the world. Mr. Land enjoyed tremendous fame and wealth during his distinguished life and career. He expanded his product offering to include polarized sunglasses and enjoyed significant success in that category.

With the advent of digital photography in the 1980’s Polaroid was presented with a most vexing problem. The success the Company had enjoyed in instant photography was obviously conflicted by the improved image quality of digitally produced photographs. Polaroid did make a fleeting effort to pioneer a digital product when it introduced the PDC 2000 in 1996. However, Kodak and other German and Japanese manufacturers, who had never been players in instant photography, were aggressively promoting digital photo quality and the low cost of reproducing prints, thus seizing the lead in the space. Polaroid never recovered.

Since the beginning of the 21st century the fate of Polaroid has been a sad tale of court fights, asset squabbles and bankruptcy filings. The famous Polaroid Camera has suffered the indignity of seeing production halted completely.

This is a case study in a corporation that lost its way. Milking the instant photography segment for many years was not at all wrong, however, the old adage that “you are never the greatest, only the latest” was never more applicable. Market leaders, those that stay market leaders at least, are always seeking to expand their range, offer product improvements or leap to new markets with existing products.

For years a hobby/craft use for the Polaroid Land Camera and instant film was a real option that the firm’s management reviewed but dismissed. The Monet Miracle is one of the most clever and useful artisan applications for an existing product that has ever been created. The Money Miracle enables the user to manipulate the chemicals inside the envelope of the individual Polaroid instant film photos, while the chemicals are developing the image is distorted to provide an artisan, high quality and hugely satisfying “Monet-like” image. This simple artesian distortion is accomplished by utilizing a stylized implement.

Claude Monet is considered one of the great “impressionist” painters of all time. His romantic, soft, hazy images are hugely valuable to art collectors and patrons to this day and many museums relentlessly seek to acquire Money’s works to enhance their collections. The “Monet Miracle” technique, possible to achieve only when utilizing Polaroid technology, could have been one lifeline for the great old brand.

There was a budding community of devotees to the Monet Miracle style of creating modernist art from contemporary images. The images were highly desirable and provided a unique medium for artists. A number of attempts were made to interest Polaroid management in marketing product specifically to the hobby class. The process was amazingly simple and highly individualized. However, there was almost no interest shown by company officials in pursuing a relationship with Monet Miracle enthusiasts.

Polaroid is virtually gone. Monet Miracle practitioners were forced to scrounge instant film and rare Polaroid cameras. There is actually a boom in prices for Polaroid products and eBay does a brisk business in these items. Many people, when exposed to Monet Miracle art are amazed at the originality, the creativity and the romance of the images that the style creates. The obvious benefits of pursuing a Monet Miracle relationship were clearly missed by Polaroid.

Studebaker, Montgomery Ward, Beeman’s Gum, TWA and Polaroid are just a few examples of great brands and businesses that have gone the way of the dodo bird. Successful businesses, those with long term growth and future upside, constantly strive to reinvent themselves. New products, new channels of distribution, new product applications and novel, fresh features and benefits are essential to avoid slow demise and ultimate extinction.

by: Geoff Ficke

As readers of my articles well know, I run a marketing and product development-consulting firm. We review hundreds of novel consumer products, new service concepts and prototypes each year. The level of creativity contained in some of these offerings is truly stunning and always amazes.

Entrepreneurs have always found the United States to be the mother lode of places to birth ideas and bring them to successful fruition in the worlds most aggressive, cluttered marketplace. As Frank Sinatra crooned in his classic song New York, “if I can make it there, I can make it anywhere, New York, New York”! If you have an idea and you can not make it happen in this country, you might not have such a good idea. But, this is the country in which to try.

I recently saw a great product, offering excellent features and benefits, a clearly defined unique selling proposition and wonderful margins, crash and burn because of a totally flawed launch strategy. This product was in the Health and Beauty Aids (HBA) category. HBA can be a wonderful space to launch differentiated products. The barriers to entry in HBA are relatively low. The market hungers for the freshest, most advanced product and price resistance is limited.

This product was not one that my firm developed, perfected and then launched. We looked at the product and declined the opportunity. Based on what I have written above, why would we turn down such an option to work on a cosmetic beauty program that offered real commercial potential? The answer to this question identifies the single biggest reason that good concepts fail in the marketplace: people!

The entrepreneur is as important as the product they have created. An unrealistic, deceptive, bombastic or flighty character is almost always death to an otherwise product offering. Investors become wary of such a person. Suppliers are put off. Buyers want to look into someone’s eyes and feel they are dealing with an honorable resource.
In this case, the entrepreneur was an immigrant, spoke excellent English, American educated, very bright, very driven. The product regimen was in the very hot skin care/anti-aging category. The performance (we signed Non-Disclosure Agreements) of the products was special, demonstrable and an advance over the competition. The potential channels of distribution were varied and international. Our excitement, initially, was very high.

However, as we did our due diligence we became concerned. Ingredient specifications, clinical testing, testimonials and proof of performance results that were supposed to exist were never produced. The entrepreneur held severely inflated estimates of the initial equity value of his product, which had as yet, sold not a single unit. For these, and a number of other reasons, we declined the opportunity to contract to consult on the project.

We pass on the vast majority of projects we review. Usually the product is not commercial. When the project does pass muster, then we have the issue of the entrepreneur, their wants, needs, perceived valuations, project harvest goals, etc. Are they realistic? In this case we chose not to proceed, but kept loosely in touch with the owner out of professional curiosity.

Over the next year we started to lose touch with this skin care project. The product did not appear on store shelves, there was no infomercial that we could find and there was nothing we saw on the internet. Then surprisingly, we attended a huge international cosmetic industry trade show and saw the products, and the developer, presenting the anti-aging regimen to distributors from all over the world.

After cursory greetings with the owner, we perused the public presentation that he had assembled. In product development business there is one almighty truism that can never be bent: “you only get one chance to make a great first impression”. This most important of all absolutes had been severely abused by this entrepreneur.

Visuals, branding, sales collateral, display, tester units and demonstration elements were uninspired, uncoordinated and appeared to be of poor quality. The owner had fallen in love with his product. It was of excellent quality but he felt it was good enough to stand alone without supporting the brand with top quality esthetics. Disaster is imminent when shortcuts are taken.

The first day we visited the stand the entrepreneur was understandably excited about his prospects. We stopped back each day to touch base at his stand. It became more and more obvious as the exhibition progressed that disappointment had replaced excitement and the products were not receiving the reception he had expected. By shows end he was totally deflated. By going it alone, and his inexperience, he had doomed a truly innovative product to failure.

Having a good, or even a great product, is simply not enough. The marketplace is cutthroat. Success is difficult to achieve unless the entrepreneur anticipates and addresses each aspect of their product, its performance, packaging, marketing, branding and sales and distribution strategy. Failure to offer buyers and investors a comprehensive, professionally constructed package of features and benefits is the key to a very short shelf life, minimal or no sales and then death.

by: Geoff Ficke

Many of the inventors and entrepreneurs we deal with in our consumer product marketing business approach us with dreams of selling product to the masses. This can be lucrative and a proper launch strategy in cases where all of the stars in the galaxy line up properly. How often does that happen?

Mass marketing success is contingent on economies of scale, production advantages and large budgets for penetrating a clamorous commercial environment. Large, established companies, think Procter & Gamble, Unilever, Rubbermaid, have all of the tools needed to launch products into this maelstrom. Most small entities and individuals do not.

Our preferred strategy is often to create a branding strategy based on exclusivity. When a product is sold in a limited distribution basis, available in select stores, and usually at a higher price than similar products, consumers tend to attach a higher perceived value to these items.

There are numerous examples of exclusivity that can be used as a template when considering the proper strategy to utilize for a new consumer product launch. Retailers that sell high-end limited distribution products are very profitable and enjoy exceedingly high profiles. Bloomingdales, Tourneau, Neiman Marcus, Harvery Nichols, Harrod’s, and Ralph Lauren are just a few of the stores that appeal to the “carriage trade”. These stores seek goods of high quality, that can be priced at a premium, and that are not available from competitive outlets. This creates a loyal customer for the types of merchandise that can only be found in these doors.

Automobiles, jewelry, ready-to-wear, cosmetics, watches and home décor are only a few product categories where exclusivity is validated as a marketing and branding strategy.

Ferrarri, Mercedes-Benz, Porsche and Jaguar are world famous automobiles franchises. Ferrarri has created a worldwide thirst for these sleek, super fast, super priced sports cars with the “Prancing Horse” on the hood. There are only a handful of authorized Ferrarri dealers in the United States. Production is kept very small and all cars are typically sold two years before they are produced. This insures that value for used vehicles remains very high. Indeed, many old Ferrarri’s appreciate in value, something that can be said of very automobile brands.

Rolex, Baume Mercier, Audemars Piguet, Chopard and Patek Phillippe are a smattering of the very expensive watch brands that are considered to be prized for their exclusivity, beauty, artisan craftsmanship and perceived value. They are sold in very few retail stores. The very fact that they are hard to find, expensive to buy and limited production makes each of these watches highly desirable.

Cosmetics houses at the highest end of the market differentiate themselves by limiting distribution to a select few stores in any given trading area. Clarins, La Prarie, Guerlain, Crème de la Mer, and Estee Lauder are very choosy about where their products are placed. This insures that consumers recognize that by their very lack of availability these products are special, and therefore, justify higher retail price points.

We look at hundreds of new products each year. A select few offer that unique blend of novel consumer features and performance benefits that insure success. A strategy we often use to launch such products is built on exclusivity, at least initially. It is very easy to “knock yourself off” and replicate high-end success with less expensive mass-market versions of your product. If you do not secure this space, competitors certainly will.

Alfred Sloan, the business and organizational genius that created General Motors in the 1920’s, crafted the multi-price point strategy of offering something for everyone. Cadillac was exclusively for the rich. Buick and Oldsmobile were positioned for the middle class, older customers, seeking unobtrusive styling and soft rides. Pontiac was sportier and Chevrolet was the mass market, entry level brand. Sloan recognized that today’s Chevy driver, as they prospered and aged, would move up the GM food chain.

Charles Revson adapted this multi-level channel distribution strategy with Revlon cosmetics. Etherea was his very exclusive carriage trade brand. Ultima II was for fine department stores. For broader distribution in general department stores and boutiques Revson sold his Revlon brand. These Revlon corporate lines were each differentiated by price point, packaging, product claims and performance. He offered something for every range of consumer.

There are a number of advantages to an exclusivity strategy. Typically initial inventory build out is mitigated, freeing up capital for sales promotion. Limited distribution means that the entrepreneur can be more attentive to each individual door carrying their items. Fewer doors can mean that product features and benefits can be demonstrated to individual consumers. This creates word of mouth and referrals. It minimizes the need for expensive media advertising. In-store merchandising is more manageable when distribution is limited. The opportunity to grow organically, the turtle approach; often enables the new company to establish a much more stable foundation from which to expand.

A type of exclusivity strategy can be constructed for products in virtually any category. From liquor, to beer, to hardware, to foodstuff, to lingerie, to pet products, the list goes on endlessly, there are opportunities to successfully commercialize ideas and make them successful using limited distribution techniques. This tried and true methodology is under-utilized, but often the best way to penetrate a very tough marketplace.

by: Geoff Ficke

Any visitor to modern Egypt, or viewer of a travelogue on this amazing country is awed by the antiquities visible everywhere. The Sphinx, hundreds of pyramids and mausoleums, temples and statuary are testament to the brilliance of this 4000 year old culture. These relics have survived the ravages of time, weather, wars and invasions.

Almost entirely forgotten, however, is the ancient Egyptian fetish for personal health and cleanliness. We know from written records and paintings that they were very keen to promote health, wellness and hygiene in ways that were amazingly advanced for the time, and would be considered modern today. Unfortunately, after the glory of the pharaoh’s faded, these habits were forgotten for centuries and, particularly in Western Europe, people lived in filth for ages.

An example of ancient Egyptians interest in cleanliness is their oral hygiene regimen. Egypt is an arid, windy, sandy country. Dust was omnipresent and was often blown into their foodstuffs. Grains were ground for flour between stone wheels and bits of the stone would become mixed into the final product. We know from examining mummies that their teeth were ground down almost to the gum line from a lifetime of chewing this gritty diet. The pain must have been unbearable.

Halitosis is most prevalent when tooth and gum disease is present. The Egyptians perfected the art of perfumery. For treatment of halitosis they would chew fragrant herbs and rinse with a concoction of warm water, a drop of perfume and an herb cocktail. They also practiced a form of dentistry, using needles to pierce and bleed abscesses. Priests acted as doctors and dentists.

More than half of all ancient Egyptian babies died before the age of five. Women were very protective of their bodies as soon as they became aware of their imminent pregnancy. We know that they utilized a very clever pregnancy test, thousands of years before the red/blue urine test modern women buy at pharmacies. Wheat or oat grains were collected, and the ancient Egyptian woman would urinate on the seeds. If the seeds sprouted, the woman knew she was pregnant and would adjust her personal regimen to prepare for the precious moment of childbirth.

There are many more examples of practical, but advanced hygienic procedures that were used 4000 years ago to pamper and protect the human body. And yet, a millennium later, virtually none were in wide use in most of the world. What happened?

Climate, demographics, social mores and superstitions are a few of the reasons historians and anthropologist’s offer as evidence for the loss of ancient healthcare techniques. Today, we believe that living in advanced modern societies we will improve and perfect new care techniques and each subsequent generation will live better, healthier lives than previous generations. Unless we learn the lessons of history there is no guarantee that we might not revert to a Dark Age lifestyle.

Currently there is a world economic crisis. If we had studied and learned from past economic calamities much of the pain being suffered by the worlds economy could have been mitigated. The fact is we often ignore or forget the lessons of the past. The bubonic plague of the middle-ages would most assuredly have been mitigated if society had utilized hygienic procedures perfected by the ancient Egyptians and Romans. Manias like Holland’s 17th century tulip-mania, South Africa’s milk culture scheme, Ponzi schemes, and countless modern recessions and the great depression all germinate from the same seeds: greed, fear and a lack of historical perspective.

Societies do forget. Governments do forget. Groups and individuals do forget. The ancient Egyptians gifted the world with many advances in engineering, construction, science, health care and art. These lessons were largely lost in subsequent centuries. Some, such as the mystery of the erection of the pyramids, have never been rediscovered. It behooves us all today to rekindle an interest in history and ancient creativity.