According to Newsweek, in the circles of America’s upper strata, a new emotion is being felt. Coined as “luxury shame”, and described as “embarrassment of riches, particularly the flaunting of riches”, the trend is cutting into high-end retailer sales.
It seems the wealthy, perhaps ashamed of the spending sprees and bling consumption encouraged and flaunted during the last decade, now are feeling sorry for their friends who have lost everything. It just doesn’t seem right to purchase and brag about the new Ferrari that was on back order at the dealer.
Not to mention, the public doesn’t seem to be any too tolerant of a company’s $440,000 spa retreats at the St Regis when their tax money is being used for that same company’s bailout.
If you run a luxury high-end community, now is not the time to be utilizing a “You deserve it!” strategy. The wealthy, while they may secretly believe they deserve it, don’t want to believe that is why they are buying. It’s making them feel guilty.
Focus on the concrete - location, value, convenience and a low profile lifestyle. For example, if you used to sell “abundant”, or “over the top” closets, change your strategy to “adequate and functional” closet space. Don’t use words like, “indulge” and “luxury” to sell your product, rather, try “quality” and “smart”. Think about it this way – if you’re a high-end renter at a cocktail party celebrating the 2009 New Year, and somebody asks you why you chose your current residence, which would be more apropos of the times – “It was important to us to have only the best money could buy” or, “ We love our apartment because it’s location is perfect and it’s an extremely well maintained, quality building.” ?
People still want what they want. They are just feeling obligated to justify the need.
Tuesday, December 30, 2008
Monday, December 22, 2008
Why I'll Miss Kinko's
I never really “got’ the FedEx/Kinko’s merger, and an article in this week’s Business Week, http://www.businessweek.com/magazine/content/08_52/b4114078612060.htm helped me to understand why.
As a small business entrepreneur, I loved Kinko’s. They could do anything. If I needed bound handouts, they could deliver. In prewireless days, I could go to Kinko’s in whatever city I was in and get online. Through the years, I utilized the company for over-sized visuals, business cards and photo reprints. Particularly memorable was my 5 am visit in Dallas when I was supposed to be in San Antonio, but was stuck due to weather. That wonderful woman took my mammoth presentation and made sure it got to San Antonio before me, and for that I will be forever grateful. Now, FedEx is dropping the Kinko’s brand all together to become FedEx Office. Huh? The company’s CEO, Brian Philips states in the article that the FedEx Office name will create more opportunity for growth. “Kinko’s is known as copies”, he says. “Nine cent, black and white copies you got in college. FedEx is a very elastic brand. We do packaging, shipping, digital document storage, direct mail. We’re the back office for small businesses, the branch office for mobile professionals. Copies are a small part of our business.”
When I walk into a FedEx/Kinko’s, or Office or whatever it is, and I don’t really see a back office for small business. I see a place to ship stuff. Some of the stores are really small, and only have one or two employees. I miss Kinko’s. I wonder if they did a focus group about the whole, “Kinko’s is only copies” assumption. To me, Kinko’s wasn’t about copies; it was about solutions. Any time, day or night, I always had Kinko’s to help me deliver. Kinko’s is one of those brands that had an almost ethereal quality to it – that is, just the word said so much to the consumer about the product and the benefits it offered.
Life goes on. Brands come and go. Businesses evolve. The Kinko’s signs are coming down, but the brand will be remembered, not only for its clever name, but for the solutions it delivered, always in the nick of time.
What does your brand say to the consumer? Does it convey solutions? Is it confusing? Is it clear when someone walks into your office what you stand for? Do people feel good when they think of you?
What brand messages do you convey?
As a small business entrepreneur, I loved Kinko’s. They could do anything. If I needed bound handouts, they could deliver. In prewireless days, I could go to Kinko’s in whatever city I was in and get online. Through the years, I utilized the company for over-sized visuals, business cards and photo reprints. Particularly memorable was my 5 am visit in Dallas when I was supposed to be in San Antonio, but was stuck due to weather. That wonderful woman took my mammoth presentation and made sure it got to San Antonio before me, and for that I will be forever grateful. Now, FedEx is dropping the Kinko’s brand all together to become FedEx Office. Huh? The company’s CEO, Brian Philips states in the article that the FedEx Office name will create more opportunity for growth. “Kinko’s is known as copies”, he says. “Nine cent, black and white copies you got in college. FedEx is a very elastic brand. We do packaging, shipping, digital document storage, direct mail. We’re the back office for small businesses, the branch office for mobile professionals. Copies are a small part of our business.”
When I walk into a FedEx/Kinko’s, or Office or whatever it is, and I don’t really see a back office for small business. I see a place to ship stuff. Some of the stores are really small, and only have one or two employees. I miss Kinko’s. I wonder if they did a focus group about the whole, “Kinko’s is only copies” assumption. To me, Kinko’s wasn’t about copies; it was about solutions. Any time, day or night, I always had Kinko’s to help me deliver. Kinko’s is one of those brands that had an almost ethereal quality to it – that is, just the word said so much to the consumer about the product and the benefits it offered.
Life goes on. Brands come and go. Businesses evolve. The Kinko’s signs are coming down, but the brand will be remembered, not only for its clever name, but for the solutions it delivered, always in the nick of time.
What does your brand say to the consumer? Does it convey solutions? Is it confusing? Is it clear when someone walks into your office what you stand for? Do people feel good when they think of you?
What brand messages do you convey?
Friday, December 19, 2008
Don't Get Stuck
According to a 2008 corporate relocation survey by Atlas Van Lines, and reported in USA Today, employees and new hires are increasingly turning down relocation opportunities because of the housing market. 62% of workers declining relocations cited “family ties” as their top reason for staying put, down from 84% in 2007. By contrast, 50% of companies said employees cited “housing and mortgage concerns” as the reason for turning down relocation offers, vs. 30% in 2007.
It appears that while they may not want to, many employees are willing to relocate, but can't, because they are stuck with a house they can’t move.
In building value with your presentations, don’t forget to sell the benefits of flexibility, and more importantly, the freedom that renting can offer.
It appears that while they may not want to, many employees are willing to relocate, but can't, because they are stuck with a house they can’t move.
In building value with your presentations, don’t forget to sell the benefits of flexibility, and more importantly, the freedom that renting can offer.
Monday, December 15, 2008
Industry on the Inside
I've just finished exploring the industry's newest online resource and must say, finally, we have a comprehensive network specifically for multifamily professionals. Need an employee? Post the job here. Looking for information on Social Networks? Pop into the discussion forum - your questions and comments will encourage lively, informative discussion. Want your voice heard? Blog it - right at the site. Visit now at http://www.multifamilyinsiders.com. There really is, (and will be - keep in mind the site is still pretty new), something for everyone. I will be there often.
Thursday, December 11, 2008
The Tap is Back
It is estimated that 8 out of every 10 water bottles ends up in landfills.
If that is not bad enough, think about all the oil needed to make those bottles. According to the Earth Policy Institute, a Washington-based nonprofit, even if every bottle were recycled, the amount of oil needed to make those bottles equals about 15 million barrels a year, or enough to fuel 100,000 cars for a year.
Get glasses. Have them inscribed with “The Tap is Back”, or “We drink our H2O right out of the tap”. Serve them to your potential clients and residents. Be proud to drink tap water.
And next time you pass by a garden hose, do what you did as a kid. Take a good long swig.
Tap water is chic. Tap water is vogue. The tap is back.
If that is not bad enough, think about all the oil needed to make those bottles. According to the Earth Policy Institute, a Washington-based nonprofit, even if every bottle were recycled, the amount of oil needed to make those bottles equals about 15 million barrels a year, or enough to fuel 100,000 cars for a year.
Get glasses. Have them inscribed with “The Tap is Back”, or “We drink our H2O right out of the tap”. Serve them to your potential clients and residents. Be proud to drink tap water.
And next time you pass by a garden hose, do what you did as a kid. Take a good long swig.
Tap water is chic. Tap water is vogue. The tap is back.
Monday, December 8, 2008
Color My World
There was a great article in USA Today http://www.usatoday.com/money/industries/retail/2008-12-07-holiday-gifts-color_N.htm about the use of color to stimulate retail and how new colors will keep people coming back for more of the same thing, even if technically, they don’t need it. Ipod and Dell offer their products in a myriad of colors and you can even buy a pumpkin colored Viking range. According to the experts quoted in the article, people, particularly in troubled times, will indulge in colors that appeal to them. Symbolically and psychologically, vibrant colors speak to the change people are craving.
So, it may be time to take a look at your models and clubhouse. Is the color palette fresh? Is there anything vibrant going on? Purple is really big right now, and as I know from reading my Feng shui book, is a symbol of prosperity. Is there a way to incorporate touches of purple into your décor’? I once did an entire model in fuscia, lime green and purple. Very “I Dream of Jeannie”. To this day, I can’t believe they let me do it, but it worked. The target, middle class women, 24 – 40, ate it up and we leased the product in record time.
Color can be an amazing persuader.
So, it may be time to take a look at your models and clubhouse. Is the color palette fresh? Is there anything vibrant going on? Purple is really big right now, and as I know from reading my Feng shui book, is a symbol of prosperity. Is there a way to incorporate touches of purple into your décor’? I once did an entire model in fuscia, lime green and purple. Very “I Dream of Jeannie”. To this day, I can’t believe they let me do it, but it worked. The target, middle class women, 24 – 40, ate it up and we leased the product in record time.
Color can be an amazing persuader.
Thursday, December 4, 2008
Click Those Coupons
I read today that coupon use, after a 15-year decline is on the rise again. I might be time to start offering coupons for a waived application fee, or discounted rent as a buying incentive on your websites, Internet listing providers and in print publications.
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