December 2008 Entries

False Memories: Was that Bugs Bunny or Just My Imagination?

First published in the Search Insider, September 11, 2008

 I've talked about how powerful our mental brand beliefs can be, even to the point of altering the physical taste of Coke. But where do these brand beliefs come from? How do they get embedded in the first place?

A Place for Every Memory, and Every Memory in its Place

Some of the most interesting studies that have been done recently have been done in the area of false memories. It appears that we have different memory "modules," optimized for certain kinds of memory. We have declarative memory, where we store facts. We can call these memories back under conscious will and discuss them. Then we have implicit memory, or procedural memory, that helps us with our day-to-day tasks without conscious intervention. Remembering how to tie your shoes or which keys to hit on a keyboard are procedural memories

Declarative memory is further divided into semantic and episodic memory. In theory, semantic memory is where we store meaning, understandings and concept-based knowledge. It's our database of tags and relationships that help us make sense of the real world. Episodic memory is our storehouse of personal experiences. But the division between the two is not always so clear or water-tight.

The Making of a Brand Memory

Let's look at our building of a brand belief. We have personal experiences with a brand, either good or bad, that should be stored in episodic memory. Then we have our understandings of the brand, based on information provided, that should build a representation of that brand in semantic memory. This is where advertising's influence should be stored.

But the divisions are not perfect. Some things slip from one bucket to the other. Many of our inherent evolutionary mechanisms were not built to handle some of the complexities of modern life. For instance, the emotional onslaught of modern advertising might slip over from semantic to episodic memory. There will also be impacts that reside at the implicit rather than the explicit level. Memory is not a neatly divided storage container. Rather, it's like grabbing a bunch of ingredients out of various cupboards and throwing them together into a soup pot. It can be difficult knowing what came from where when it's all mixed together.

This is what happens with false memories. Often, they're external stories or information that we internalize, creating an imaginary happening that we mistakenly believe is an episode from our lives. Advertising has the power to plant images in our mind that get mixed up with our personal experiences, becoming part of our brand belief. These memories are all the more powerful because we swear they actually happened to us.

That Wascally Wabbit!

University of Washington researcher Elizabeth Loftus and her research partner Jacquie Pickrell have done hundreds of studies on the creation of false memories. In one, under the guise of evaluating a bogus advertising campaign, they showed participants a picture of Bugs Bunny in front of Disneyland, and then had them do other tasks. Later in the study, the participants were asked to remember a trip to Disneyland. Thirty percent of them remembered shaking Bugs Bunny's hand when they visited the Magic Kingdom, which would be a neat trick, considering that Bugs is a Warner's character and would not be welcome on Disney turf.

We all tend to elaborate on our personal experiences to make them more interesting. We "sharpen" our stories, downplaying the trivial and embellishing (and sometimes completely fabricating) the key points to impress others. When we do this, we will draw from any sources handy, including things we've seen or heard in the past that we've never personally experienced. To go back to last week's Coke example, our fond memories of Coke might just as likely come from a Madison Avenue copywriter as from our own childhood. We idealize and color in the details so our conversations can be more interesting. It goes back to the human need to curry social favor by gossiping. When you have this natural human tendency fueled by billions of dollars of advertising, it's often difficult to know where our lives end and our fantasies take over.

This mix of personal experience and implanted images explains part of where our brand beliefs come from. Next week, I'll look at the power of word of mouth and the opinions of others.

There's More to Coke's Brand than Taste

Originally published Sept 4, 2008 in the Search Insider

Last week, I looked at the unprecedented backlash against the introduction of New Coke. The fervor of the protest took everyone by surprise, especially flabbergasted Coke executives (and truth be told, Pepsi brass as well). After all, New Coke was subjected to exhaustive consumer testing in the lab, and the results were clear: most people preferred the taste. So why did something that did so well in the lab fail so miserably in the real world? Why were people so passionate about brown, sugared water? Baylor University neuroscientist Read Montague set out to find out why in 2003.

More than a Blink

In his book "Blink," Malcolm Gladwell advanced his theory of why Coke drinkers are so loyal to their brand, yet failed to pick it in a blind taste test. The problem, Gladwell says, is in the nature of the test. Coke is meant to be drunk in big gulps, not metered little sips common in taste tests. It's only when you down a whole can that you can truly appreciate the distinctive biting tang of Coke. But, as Montague would find out, the reason for the irrational devotion to Coke has little to do with taste at all and much more to do with beliefs, emotions and memories. It's our brains that love Coke, not our taste buds.

Montague and his research partners started with a common blind taste test, where after stating their preferences, study participants were given sips of Pepsi and Coke without knowing what they were drinking and asked to pick the drink they preferred. The results were all over the place. Coke drinkers chose Pepsi. Pepsi drinkers chose Coke. Going into the study, the groups split evenly based on their stated cola preferences and in picking their favorite drink, Coke fared slightly better than Pepsi, but there was little correlation between what people said they preferred and what they actually chose. Their tastes buds were not that finely tuned.

Mind over Matter

It's only in the last few years that we've discovered just how powerful our mind is in altering our physical perception of the world. The world is what we judge it to be, and judgment is largely passed by mechanisms beyond our conscious awareness. This explains the "placebo" effect, noticeable changes in our physical being due to the power of suggestion alone. If our minds believe, our bodies follow.

In Montague's (along with his co-authors, McClure, Li, Tomlin, Cypert & Montague ) study, the truly interesting findings came when people were put inside the MRI scanners. Remember, fMRI scanners (functional magnetic resonance imaging) allows us to see which parts of the brain are activated during specific tasks, giving us some clue as to what's happening inside our minds. After devising a rather elaborate method to feed participants sips of Coke or Pepsi, preceded by visual cues of what they were drinking (the methodology description took up a good portion of the published paper and is worth reading just to see the lengths one has to go to if you're intent on conducting fMRI research) the researchers analyzed differences in brain activity.

The Brain on Coke

In one group, they provided two sips, one of Pepsi, the other also of Pepsi, but in an anonymous presentation with participants being told that the second sip could be either Coke or Pepsi. In the second group, the same thing was done, but this time it was Coke that was both the identified and anonymous drink. Then participants were asked to state their preference. In the Pepsi group, about half the group chose Pepsi and there was no strong preference over the anonymous drink (also Pepsi). But in the Coke group, the respondents overwhelmingly chose Coke over the mystery cola (also Coke).

When Montague examined the difference in brain activity, the difference between the two groups was fascinating. When the identity of the cola wasn't known, the only brain activity registering was in the Ventromedial Prefrontal Cortex, an area associated with feelings of reward. When participants were told they were drinking Pepsi, the brain activity didn't change significantly. But when the third group was informed they were drinking Coke, suddenly other areas of the brain started lighting up, including the hippocampus, parahippocampus, midbrain, dorsolateral prefrontal cortex, thalamus and the left visual cortex. What was happening? Well, Coke was obviously eliciting a much strong mental response than Pepsi. People were experiencing Coke at two levels: first, the sensory reward, and secondly, by tapping into people's beliefs and feeling of self-identify. The parts of the brain that lit up under the conscious awareness of Coke are suspected to control access to emotion and act as gatekeepers to working memory. The brand belief structure of Coke was being mentally loaded up and altering the perception of Coke's taste. The effect was so strong yet so far below the level of consciousness, brand loyalists swore they could identify Coke's taste and preferred it, even though blind taste tests consistently proved them wrong.

Coke's Brain Branding

Somehow, Coke has created a brand that its fans believe in and identify with. The brand unlocks a treasure trove of brand reinforcements that have little to do with the taste or quality of the product. And it was this effect that Coke turned its back on in the introduction of New Coke in 1985. It's this untapping of brand beliefs we have to keep in mind when we talk about branding and search. With search interactions, the appearance of a brand can unlock belief structures just as strong as Coke's. In the next column, I'll explore some of the many elements that go into the building of these beliefs.

For Coke, Brand Love is Blind

Originally published August 28, 2008 in the Search Insider

In 2003, Read Montague had a "why" question that was nagging at him. If Pepsi was chosen by the  majority of people in a blind taste test, why did Coke have the lion's share of the cola market? It didn't make sense. If Pepsi tasted better, why wasn't it the market leader?

Fortunately, Read wasn't just any cola consumer idly pondering the mysteries of brown sugared water. He had at his disposal a rather innovative methodology to explore his "why" question. Dr. Read Montague was the director of Baylor University's Neuroimaging Lab and he just happened to have a spare multi-million dollar MRI machine kicking around. MRI machines allow us to see which parts of the brain "light up" when we undertake certain activities. Although fMRI scanning's roots are in medicine, lately the technology has been applied with much fanfare to the world of market research.  Montague is one of the pioneer's of this area, due in part to the 2003 Coke /Pepsi study, which went but the deceptively uninteresting title, "Neural Correlates of Behavioral Preference for Culturally Familiar Drinks" (Note: Montague has since picked up a knack for catchier titles. His recent book is  "Why Choose this Book? How We Make Decisions" ).

Believing in Brands

In my last two columns, I talked about how our emotions and beliefs are inseparably wrapped up in many brand relationships. The strongest brands evoke a visceral response, beyond the reach of reason, coloring our entire engagement and relationship with them. It doesn't matter if these brands are better than their competitors. The important thing is that we believe they are better, and these beliefs are reinforced by emotional cues.

This certainly seemed to be the case with Coke and Pepsi. The market split was beyond reason. In fact, the irrationality of the market split caused Coca Cola to make the biggest marketing blunder in history in 1985. A brief recap of marketing history is in order here, because it highlights one of the challenges with market research: namely, that there's a huge gulf of difference between what we say and what we do, thanks to the mysterious depths of our sub-cortical mind. It also sheds light on the strength of our brand beliefs.

Coke's Crisis

Through the '70s and '80s, Coke's market share lead over Pepsi was eroding to the point when, in the mid '80s, Coke's lead was only a few points over their rivals. This was due in no small part to the success of the Pepsi Challenge advertising campaign, where the majority of cola drinkers indicated they preferred the taste of Pepsi in blind taste tests. This wasn't just a marketing ploy. Coke did their own blind taste tests and the results were the same. If people didn't know what they were drinking, they preferred Pepsi. It was panic time in Atlanta.

Enter new Coke. It was a lighter, sweeter drink that was possibly the most thoroughly tested consumer product in history. Coke was preparing to kill the golden goose, and it wasn't a decision they were taking lightly. If they were changing the secret recipe, they were making damned sure they were right before they rolled it out to market. So they tested, and tested, and tested again Coke meticulously did their home work, according to all the standard market research metrics. The results were consistent and overwhelming. In the tests, people loved New Coke. Not only did it blow the original Coke formulation away, it also trounced Pepsi. They asked people if they liked New Coke. Yes! Would you buy New Coke. Yes! Would this become your new favorite soft drink? Yes, Yes and Yes! Feeling exceptionally confident, Coke bit the bullet and rolled out New Coke. And the results, as they say, are now history.

Classic Coke's Comeback

On April 23, 1985, Coke shocked the world by announcing the new formulation and ceasing production on the original formula. And, at first, it appeared the move was a success. In many markets, people bought new Coke at the same levels they had bought original Coke. They kept saying they preferred the taste. But there was one critical market that new Coke had to win over, and that wasn't going to be easy. In the Southeast, the home of Coke, people weren't so easy to convince. There, ardent Coke fans were mounting a counteroffensive. By May, the "Old Coke" backlash had spread to other parts of the U.S. and was picking up steam. Soon, a "black Coke" market emerged when deprived Coke drinkers started bring in the original Coke from overseas markets where the old formulation was still being bottled. By July, the Old Coke counteroffensive was so strong, the company capitulated and reintroduced the original formulation as Coke Classic. Within months, Coke Classic was outselling both New Coke and Pepsi and began racking up the highest sales increases for Coke in decades, rebuilding Coke's lead in the market.

Although it eventually worked out in their favor, Coke executives were puzzled by the whole episode. President Don Keough admitted in a press conference, "There is a twist to this story which will please every humanist and will probably keep Harvard professors puzzled for years, The simple fact is that all the time and money and skill poured into consumer research on the new Coca-Cola could not measure or reveal the deep and abiding emotional attachment to original Coca-Cola felt by so many people."

Keough was amazingly prescient in this statement, although he had the university wrong. Almost two decades later, it would be a professor at Baylor, not Harvard, that would dig further into the puzzle. Next column, we'll see what one of the very first neuromarketing studies uncovered when Montague replicated the Pepsi Challenge in an fMRI machine.

Fear, Greed and the Google Parallax View

Originally published in the Search Insider, December 18, 2008

Greed is right.

Greed works.

Greed clarifies, cuts through, and captures the essence of the evolutionary spirit.

Greed, in all of its forms -- greed for life, for money, for love, knowledge -- has marked the upward surge of mankind. -- Gordon Gekko, "Wall Street"

Yesterday, I listened to an interview with Canadian businessman Stephen Jarislowsky. Jarislowsky is one of Canada's richest men, our version of Warren Buffet. And he said something simple but profoundly important in the interview: Greed is strong, but fear is stronger.

Gekko is right. Greed does drive us. It is evolutionary. It's hardwired into us. Harvard professors Nitin Nohria and Paul Lawrence identified the drive to acquire as one of the four primary drives of humans But as Abraham Maslow pointed out, there is a hierarchy of human needs and drives, and fear will always trump greed.

Our society has been defined by greed but I don't agree that greed is right. It forces a zero-sum mentality, which, due to the blessings of fate, has resulted in a inequitable division of resources for us here in North America. The world's possessions are seriously out of balance, and there is no way to redistribute without severe pain for those that currently have the possessions. Bill Clinton has been warning us about this for years, and it's now beginning to happen. That is the pain we're just beginning to feel, and we're afraid. So, our evolutionary transmission has geared down into the first gear of survival: fear.

The interesting thing about this, from our own little slice of the world, is that we see our collective human consciousness captured in the query logs of Google. As we switch from greed to fear, we see search volumes reflect that. That's why, in the past year, we've seen number of searches for "recession" catch and surpass the number of searches for "mortgages." We've gone from dreaming about acquiring to worrying about defending, and whatever we're thinking about, we search for.

This is a powerful demonstration of the power of search. It shows just how accurate a barometer it is of our collective mood. And mood determines reality. Our emotions are the jet fuel of our drives. They are our internal guidance systems that keep us on track to realize our goals. Our emotions, in aggregate, swing the economy, and the nation with it, from boom to bust. And there's no better indicator of that then the searches we do on Google. John Battelle had it right. Google is the database of our intentions.

There has been endless speculation about whether search will weather the financial crisis. The question is really not worth asking. The fact that search has so accurately reflected the shift of our confidence shows how essential it is. Yes, people will use it less to search for things to buy and use it more to search for ways to survive, which will impact advertising revenues and cause pain (and hence, fear). But it is what it is. The search patterns show who we are and what's on our mind.

But there will also be an interesting side effect that search marketers will have to adjust for. Kevin Lee called it aspirational searches. Just because we go into defend mode doesn't mean we stop dreaming. Greed can be pushed out of the driver's seat temporarily by fear, but soon we start planning our escape. Fantasy is a favorite activity of ours. Look at the boom of the movie industry through the depths of the Great Depression. Even though we can't afford a new car or a trip to Mexico, we can still pretend that we can, and this ersatz consumer activity will also show up on Google's query logs, causing much head-scratching about the sudden drop in conversions.

We'll adapt to the new reality and we'll survive. That's why fear exists. It allows us to marshall our resources and focus on the threat. And eventually, greed will once again turn on the tap. The balance between these two forces has been swinging back and forth for hundreds of thousands of years. But never before have we had such a clear view of how it happens, thanks to search.

P.S. Just realized, because of the way the holidays stack up on the calendar, that this is my last column for 2008. It's been a true pleasure spending each Thursday with you talking about search, branding, the brain and anything else that crossed my mind. Thank you for listening (and responding). I look forward to picking up the conversation again in 2009!

Zappos New Business Model: Have Insight, will Respond

A story this morning in Adweek about Zappos reminded me of a recent experience with a client. I'll get to the Zappos story in a moment, but first our client's story.

This customer wanted to set up a client summit at Google's main office in Mountain View. Attending the summit were not only their search team but also some highly placed executives. The reason for the summit was ostensibly to talk about the client's search campaign, but it soon became apparent that the executives were looking for something more. They had specifically asked for someone to spend some time talking about Google's culture.

Throughout the day, Google paraded a number of new advertising offerings in front of the team. While the front line teams were intrigued, one particular senior executive seemed to be almost snoozing through the sales pitches for Google's new advertising gadgets and gizmos. It was only when the conversation turned to Google's business practices that the executive perked up, suddenly taking volumes of notes. It made me realize that sometimes, it's not only what we sell that has value for our customers, it's what we are. I chatted about this recently with someone from Google, saying that their corporate philosophy and way of doing business is of interest to people. I urged him to find a way to package it as a value add for customers. While he agreed the idea was intriguing, I think it got relegated to the "polite jotting down without any intention of acting on it" category.

Now, back to the Zappo's story. That's exactly what they're doing, taking their customer service religion and packaging it so that thousands of businesses can learn by going directly to the source. Zappos Insights is a subscription service ($39.95 per month) that let's aspiring businesses ask questions about the "Zappos way" and get answers from actual Zappos employees.

The service, said CEO Tony Hsieh, is targeted at the "Fortune 1 million" looking to build their businesses. "There are management consulting firms that charge really high rates," he said. "We wanted to come up with something that's accessible to almost any business."

It's a pretty smart move. There's no denying we're going through a sea change in how business is done. And I've always felt that there's a impractical divide between consultants and businesses that are consistently implementing every day. It seems like you can either do, or teach, but not both. Amazing stories such as Apple, Google, Southwest and Zappos have shown that innovation with culture is as important as innovation in what ends up in the customer's hands. Zappos is trying to blend the two in an intriguing revenue model.

Google's Death Grip and Search Snapshots

Originally published Dec 11, 2008 in MediaPost's Search Insider column

Considering that I've devoted the last six months to exploring the impact of brand in search in this column, I do have a bit of a backlog of other things to deal with, so today I'd like to clear the decks on at least two issues. Last week, I was in Park City, Utah for the Search Insider Summit. As usual, a number of insight comments bubbled to the top over the three and a half days. This time, many of them were centered on the Google hegemony. In fact, on Day 2, we tackled that very question with Danny Sullivan, Jeff Pruitt, President of SEMPO (day job: iCrossing) and John Tawardros from iProspect. What did we resolve? Not very much, but that didn't make the conversation any less interesting.

Google is Looking Good by Comparison

When it comes to search as it's currently defined (we'll get to that definition in a minute), Google is in a league of its own. But I think the panel agreed that it's not so much that Google is doing exceptionally well as that the competition is either standing still or going backwards. Yahoo is struggling on many fronts and its search experience is drifting without direction (other than bolstering the sagging bottom line). And Microsoft not only isn't in the race, its strategists can't seem to agree amongst themselves where the starting line is. Right now Google's algorithm could be powered by beer, darts and a frat house and it would still outperform the competition. I've talked before about the Google Habit"(a term that came up again in the discussion) and right now, there's no compelling reason to even think about breaking it.

Will the Threat Come From Below, If Not Above?

So, if the big players aren't threatening Google, how about a start-up company? Several have stepped up to the challenge recently, as detailed in Aaron Goldman's "Not so Natural Born Google Killers" series. But so far, it seems that they've all come to a gun fight armed with a jack knife. I get an invitation every week or two to look at the next "revolution in search." As I've ranted about at length in the past, most of these starts-ups are based on some founder's idea of what should be revolutionary, without really considering whether it helped the user. Cuill was particularly abysmal in this regard. And, if a start-up did somehow significantly up the ante for the search user, I'm guessing Google's radar would pick it up and it would be quickly gobbled up. The three conditions that allowed Google's emergence -- a truly better algorithm, founders naïve yet capable of inventing a new kind of company, and competition too stupid to realize it -- are unlikely to happen again.

One other point on this issue. If innovation comes from another player, it has to benefit the user. Google has always had a clear prioritization of goals. The user always comes first, monetization after. Yahoo and Microsoft don't share this same philosophy, trying to juggle the goals of advertisers and users. Because of this, if something that revolutionizes search for the user comes from a start-up, Google will be looking at it through the right lens and will be more likely to recognize it for what it is. It could pass right under Yahoo and Microsoft's nose without them realizing it.

Hint: Look Outside the Box

Given the factors above, the outlook is not good for easing Google's death grip on search. But the fact is, we're assuming search will remain as it is. As someone in the audience reminded us, search takes many forms in the digital world: looking for people, searching maps, scanning videos, etc. Much that is search happens outside the world we currently define as "search." It's from here that Google's challenger might potentially come.

Search Snapshot

Now to the other piece of business I wanted to clear up this week. Obviously the world of search has changed a lot in the past 12 months. Google's increasing domination is only one aspect. The global financial meltdown has turned everything upside down. So, with all the forces at play, what is the impact on search? Well, SEMPO is currently asking you just that in its annual State of Search survey. Please take a few minutes to share the view from your particular part of the search world.

Emotion and the Formation of Brand Memories

 Originally published August 21, 2008 in the Search Insider

In my last column, I looked at how beliefs can affix labels to brands, which forever after form our first brand impression. Beliefs are a heuristic shortcut we use to reduce the amount of sheer thinking we have to do to come to quick and efficient decisions. Today, I'd like to focus on emotions and their part in the forming of memories.

Why "Selfish Genes" Remember

First, from an evolutionary perspective, it might be helpful to cover off why humans are able to form memories in the first place. To borrow Richard Dawkins' wording, memories are here to ensure that our "selfish genes" are passed on to future generations. While memories are incredibly complex and wonderful things, their reason for being is mindlessly simple. Memories are here to ensure that we survive long enough to procreate. This is why emotion plays such a huge role in how memories are formed and retrieved.

Researchers have long known that emotions "tag" memories, making their retrieval easier and the resulting effect more powerful. In fact, very strong emotions, such as fear or anger, get stored not just in our cortical areas but also get an "emergency" version stored in the limbic system to allow us to respond quickly and viscerally to threatening situations. When this goes wrong, it can lead to phobic behavior. Emotions add power and urgency to memories, moving them up the priority queue and causing us to act on them both subconsciously and consciously. The very meaning of the word emotion comes from the latin "emovere" -- to move.

Driven by Emotions

Emotional tagging works equally well for positive memories. Our positive emotions are generally affixed to three of the four human drives identified by Nohria and Lawrence: the drive to bond, the drive to acquire and the drive to learn. For the selfish gene, each of these drives has its evolutionary purpose. We have the strongest positive emotions around the things that further these drives the most. We reserve our strongest "bonding" emotions for those that play the biggest part in ensuring our genetic survival: partners, parents, children and siblings. In some cases we share a significant portion of our genetic material; at other times, the complex sexual wiring we come with kicks into gear.

If we look at the drives to acquire or to learn, millions of pages have been written trying to decode human behavior in pursuit of these goals. For the purpose of this column, it will have to suffice to say that markets have long known about the power of these drives in shaping human behavior and have tried every way possible to tap into their ability to move us to action, usually through consumption of a product.

In summary, we reserve our strongest emotions for those things that are most aligned with the mindless purpose of the selfish gene, passing along our DNA. These emotions tag relevant memories, giving them the power to move us to immediate action. Perceived threats trigger negative memories and avoidance or confrontation, while positive memories drive us to pursue pleasurable ends.

Brand + Emotion = Power

This emotional tagging of memories can have a huge impact on our brand relationships, in both positive and negative ways. While I've painted a very simplistic picture of the primary objective of emotions and memories (and the heart of it is simple), the culture we have created is anything but. Memories and emotions play out in complex and surprising ways, especially when we interact with brands.

Brand advertisers have become quite adept at pushing our evolutionary hot buttons, trying to tag the right emotions to their respective memories. Their goal is to affix a particularly strong emotion (either negative, referred to in marketing parlance as prevention, or positive, which we've labeled promotion) to their particular brand construct so that when the memories that make up that construct are retrieved (along with the attached beliefs and brand label) they are powered with the turbo-charge that comes with emotion. If the marketer is successful in doing this, they have unleashed a powerful force.

When emotions play a role, our motivation comes not just from rational decisions, but a much more primal and powerful force that sits at the core of our subconscious brain. The most successful brands have managed to forge these emotional connections. And when the emotions remain consistent for a particular brand, there are coalesced into a strong brand belief that is almost unshakable once formed. This is why your father buys nothing but Fords, Mac fans wouldn't be caught dead with a plain grey laptop ,or coffee connoisseurs swear that Starbucks is worth the price.

Next week, I'll give you one particularly interesting example of how one brand belief and its corresponding emotions developed, in a fascinating study from the emerging world of neuromarketing.

Brand Labeling: Building Our Beliefs

Originally published August 14th in the Search Insider. I thought this was particularly timely, given my post on Al Ries and GM's brand crisis

Up to now in this series on search and branding, I've been looking exclusively at how and why we use search engines. But the idea of the series is to show how branding and search can work together. So in this column, I'd like to start from the opposite end of the spectrum: our brand relationships, from a memory retrieval perspective.

Storing Complex Concepts

In the computational theory of mind, the prevailing theory that seems to best explain how our minds work (although it's not without its detractors), the elegance with which the brain processes complex patterns of information is remarkable. These are called constructs, and brands are no exception.

For any complex concept, the components of the concept are individual and scattered memory patterns, called engrams. Engrams are groups of activated neurons that fire together. But the more complex the concept, the greater the network of engrams. For a person we know well, like our mother, we could have a huge number of scattered components that make up our concept. Snatches of memories, what her voice sounds like, what she looks like, what her banana loaf tastes like. All these, and many more, individual memory components make up our concept of "mother." And these fragments are stored in various parts of the brain. When we remember what our mother looks like, it's an engram in our visual cortex that fires, the same part of the brain that fires when we're actually looking at her. We're actually picturing her in our mind. When we hear her voice, it comes from our auditory warehouse.

Our Neuronal Warehouse

The concept of a vast neuronal warehouse is actually a good analogy. When we call up our concept of "mother," it's assembled on the fly from the individual sections of the warehouse. The retrieval call goes out, depending on the need, to the various parts of the brain, and the required components are brought together in our working memory and assembled in the conscious part of our brain. Each memory is custom made from available parts. If we were looking at a model of the brain, we'd see maps of neurons "lighting up" across the cortex, almost like a lightning storm seen from above the clouds.

But with a construct as complex and extensive in scope as our mother, there needs to be a shorthand version. We can't retrieve every single piece of "mother" every time we think of her.  So, the parts retrieved are restricted to the context we do the retrieval in. If we're buying a dress for our mom, we retrieve components that include her body shape, her color preference and probably memories of other things she's worn in the past. We don't retrieve her banana loaf recipe because it's not relevant.

Executive Summaries of Memories

But there's also a labeling process that goes on. For complex constructs, like our mother or a familiar brand, we need a quick and accessible "label" that sums up our feelings about the entire construct. This is the top of mind impression of the construct, the first thing that comes to mind. It helps us keep the world straight by providing a shorthand reference for the many, many constructs stored in our memory warehouse. These labels have to be simple. In the case of people, the summing up usually determines whether we like or dislike the person. It's a heuristic shortcut that is built up from the sum of our experience and exposure which determines whether we're willing to invest more time in the person. The same is often true of brands.

The power of these labels for brands is absolutely essential, because they determine our attitudes to everything that makes up the construct. The brand label, or belief, is a gut feeling that impacts every feeling or attitude towards the brand.

Top-of-Mind Brand Beliefs

Often when I'm speaking, I'll do a little exercise where I'll show well-known brand labels and ask people to write down the first thing that comes to mind when they see it. What I'm capturing is the brand label, the top-of-mind belief about the brand. Apple generally brings out labels like "cool," "cutting edge" or "design." Starbucks is labeled "indulgence," "great smell," "delicious" or, less positively, "overpriced." The entire scope of our experience with the brand is labeled with a few words. Obviously, our entire concept of Starbucks is usually much greater than just the way it smells or tastes, but for the people that have assigned it this label, that's the best overall descriptor and the easiest access point. The rest of the details that make up our concept of Starbucks can be unpacked at will, but for these people, they're all packed in a box that is labeled with "great smell" or "delicious." If the label is "overpriced," this may be a box we seldom unpack.

Next week, we'll continue to look at how we store our concepts of brands, what can make up our brand constructs and the role emotion plays.

Search Insider Summit: That's a Wrap!

Another Summit is done. I'm just on my way home from Park City..and an ill timed cold aside, it was a great time!

A few things that stand out:

Meeting Old Friends. SIS is perhaps the most social of the many search shows. I had a chance to reconnect with old friends like Olivier Lemaignen, Rand Fishkin, Todd Friesen, Danny Sullivan, Jeff Pruitt, Richard Zwicky, Dan Boberg, Aaron Goldman and many, many others. And at SIS, you actually have a chance to visit.

Making New Friends. Some of the above friendships started at SIS. I still have active friendships from past ones, not to mention the beginning of some great partnerships. This summit also gave me the chance to make some new friends.

Great Conversations. This is what the Summit is all about..and this edition didn't disappoint. Even though my extracurricular activities were somewhat curtailed by my cold, I still managed to have a number of fascinating conversations.

Intriguing Kick Off Sessions: Each morning of the Summit started with a particularly intriguing conversational session: Day One - The Implications of the Online Obama Campaign. Day Two - What does Google's Dominance mean for Search, it's competitors and for search marketers. Day Three - How can we improve the relationship triangle between publishers, agencies and marketers. Each session barely scratched the surface of interesting ideas that merit further discussion, but we had to reluctantly move on as other agenda items beckoned.

Stimulating Breakouts: A big shout out to Frank Lee and Dan Perry, who organized the break out discussions and the in house track on Day Three. Neither were able to attend the summit due to work demands, but their contribution made the show a great success.

Presence of Publishers: I didn't get as many representatives as I was hoping from Google, Yahoo! and Microsoft, but what we lacked in quantity, we more than made for in quality. John Nicoletti and Katie Wasilenko from Google, Katherine Shappley and Esco Strong from Microsoft and Dan Boberg and Ron Belanger from Yahoo! represented their particular companies well (I'm sorry I didn't get the name of other representatives. I know I'm missing someone from Yahoo! at least). A particular note of thanks to John and Katie for really embracing the spirit of the Summit, sticking through to the very end and being very involved in the breakouts. I had great feedback on the genuine concern and approachability.

In summing up, it was a great three and a half days, in a fantastic location (even though I barely stepped outside) with some really wonderful people. There are a number of others who helped make the show happen and I thank you all. A special thanks to my assistant, Denise Herrington, who made my frustrations and concerns her own and managed to corral everything together to make a wonderful event. And finally, a big thanks to MediaPost and the show sponsors (Dave Fall and Doubleclick deserves special mention for their huge support) for continuing to make the show happen.

Al Ries Slightly Off on GM's Brand Woes

Who am I to disagree with Al Ries on branding? No matter, I'll take a swing at it anyway.

In AdAge, Ries takes GM to task (may need a subscription) for not creating strong brands, which in turn was triggered by an article in the Wall Street Journal titled "How Detroit Drove Into a Ditch". The WSJ article places the blame on Detroit's failure to understand the nature of the Japanese competition:

"Just as America didn't understand the depth of ethnic and religious divisions in Iraq, Detroit failed to grasp -- or at least to address -- the fundamental nature of its Japanese competition. Japan's car companies, and more recently the Germans and Koreans, gained a competitive advantage largely by forging an alliance with American workers."

Ries disagrees:

"Nowhere in this entire article is a mention of Detroit's failure to build powerful brands. Rather the blame is placed almost totally on problems in the factories."

I have to say, I side much more with the WSJ on this one. Just where, I wonder, does Ries think brand comes from? He seems to think it's somehow seperated from what happens on the factory floor...that brand is somehow magically concocted in a Madison Avenue boardroom and lives and thrives independent of the crap that comes off the assembly line. It's a troubling throwback to the arrogant assumption of marketing control that I believe is at least partly responsible for the situation we currently find ourselves in: you don't have to worry about being good, as long as your advertising is. Consider the examples of successful brands that Ries uses as examples:

"It seems to me that the fundamental nature of Detroit's Japanese competition is its ability to build brands. Toyota stands for reliability, Scion for youth, Prius for hybrid, Lexus for luxury. "

It's not a marketing ploy that has determined that Toyota stands for reliability. It's superior quality control. I question Lexus's exclusive claim to luxury, or Scion's claim to youth, but their success in both markets comes directly from the appeal of their products and an acceptance of this by the target market, not by any particular marketing genius. And the success of the Prius as the definition of hybrid comes from engineering excellence and the ability of Toyoto to make it into a practical vehicle. This isn't marketing, this is just being better than the competition.

Ries seems to suffer from the delusion that brands can be unilaterally built. In the hyper connected reality of today, brands can, at best, be mutually agreed upon. Brand is a label that is connected in the cortex. All the advertising in the world can plant some mental seeds, but if the reality doesn't connect, those seeds wither and die. It wasn't Detroit's ineptness in advertising that killed them, it was their ineptness in every single aspect of their business.

The hole that GM (and Detroit) has dug for themselves has been built over the last 40 years. And contrary to Ries's opinion, Detroit has been extraordinarily successful in creating brands. Consider the cultural legacy of the Mustang, the Corvette, the Cadillac, the Jeep. These are brands that were once rich with meaning..with mental connections that resonated and rang true with enthusiasts. But the meaning has been eroded away because the products didn't live up to the promise. And the reasons had nothing to do with advertising, it's was squarely rooted in what came off of the factory floor, and everything that contributed to it: shoddy workmanship, antagonist relationships with workers, squeezing vendors for every last cent, arrogant management, lack of respect for customers and poor service in the dealer network.

What is true is if the product doesn't deliver on the promise, word spreads much quicker now. And perhaps that was the final nail in Detroit's collective coffin. The new connected marketplace allowed us to call bullshit in a way that is heard much further and much louder.

It's not that Detroit can't build a brand. It's that they just can't build a very good vehicle.

 

 

Search Insider Summit: Day One

Good kick off to the Search Insider Summit in Park City, Utah..my killer head cold aside.

We started with a great conversation around the Obama campaign and it's use of online. We had Ben Seslija from Clickable and Corina Constantin from Didit as informed observers, with Emily Williams, who worked on the campaign as director of online marketing. One of the recurring themes was that the campaign was really a ground swell movement, that was effectively captured because the Obama campaign had the foresight to provide the right tools. The brand that was Obama was not a top down strategy, but rather a cooperative effort that largely played itself out online.

From there, conversations at the summit progressed through analytics and engagement mapping, advanced SEO tactics and best practices at PPC. When I retreated to my room to down a few decongestants and catch up on email, several were already planning on meeting at the bar (Todd Friesen and Rand Fishkin planted a seed that needed little in the way of nurturing) to pick up several discussion threads. Richard Zwicky from Enquisite wrapped up the day with a somewhat radical suggestion that the SEO monetization model was badly broken and promised an answer was coming.

So..the official part of Day One is over. But I'm sure the conversations are still going on.

Needs, Beliefs and Search

Originally posted in the Search Insider: August 7, 2008

In the last few weeks, I've looked at how we gather information, depending on how complete the information is we already have. But it's not just information that colors the search interaction. Like all human interactions, we are governed by our desires, our objectives and our beliefs, and this is certainly true in search.

Computing Concepts

Steven Pinker is one of the foremost proponents of a computational theory of mind. Following in the footsteps of Alan Newell, Alan Turing, Herbert Simon   and  Marvin Minsky,  Pinker argues that our "minds" lie within the patterns of information processing and functionality founds in the specialized modules of our brains. Like a software program being executed step by step, our minds break down the incredibly complex concepts we are faced with each day and feed them through these patterns. We create objectives that get us closer to our desires, and in order to get there in the most efficient way possible, we depend on a vast library of heuristic shortcuts that include our beliefs. We don't think everything to death. We make quick decisions and create short cuts based on existing beliefs. Simon called this  bounded rationality.

Irrational Short Cuts

The challenge with these short cuts, as  Amos Tversky,  Daniel Kahneman, and more recently,  Dan Ariely, have discovered, is that they're often quite irrational. Our beliefs are often driven by inherent patterns that have evolved over thousands of years. While they may be triggered by information at hand, the beliefs lie within, formed from a strange brew of inherent drivers, cultural influences and personal experience. In this brew, it's almost impossible to see where one belief shaper begins and another leaves off. Our beliefs are largely formed in our vast mental sub-cortical and subterranean basement, below the hard white light of rational thought. But, once formed, beliefs are incredibly stubborn. Because we rely on beliefs to save our cognitive horsepower, we have an evolutionary interest in keeping them rigidly in place. Heuristic shortcuts don't work very well if they're based on ever-changing rules.

And there you have the crux of marketing. Every time we're presented with a symbol that represents a concept, whether it be a word, a picture, a sound or a logo, it unlocks a mental concept complete with corresponding beliefs. Unless it's a brand we've never heard of before (in itself a significant marketing challenge), that brand comes with corresponding belief luggage, some of it undoubtedly highly irrational. We are built to quickly categorize every new presentation of information into existing belief filing cabinets or "schemas." The contents of those filing cabinets are difficult to explore, because they exist at a subconscious level. Consultants such as  Gerald Zaltman and  Clotaire Rappaille have carved out lucrative careers by creating methods to unlock the subconscious codes that lie behind brands.

Search and Our Subconscious Baggage

So, when we interact with a search engine, it's important to understand that this is not entering new information onto a blank canvas. Each word (or now, image) on a search page has the potential to trigger an existing concept. This is especially true for the appearance of brands on a page. Brands are neat little labels that can sum up huge bundles of beliefs.

It's actually amazing to consider how quickly we can filter through the degree of information presented on a search page. We quickly slice away the irrelevant and the items that don't fit within our existing belief schemas.

It's not just the information on the page that we have to filter through. It's all the corresponding baggage that it unlocks within us. Somehow, through the power of our subconscious mind, we can scan 4 or 5 listings, let the words we scan trigger corresponding concepts in our minds, quickly evaluate which listing is most likely to get us closer to our objective (based on beliefs, aligned with our desire) and click, all within a few seconds.

This simple act of using a search engine is actually a very impressive and intricate cognitive ballet using the power of our conscious and subconscious minds.

Search Behavior: I Don't Know What I Want or Where to Find It.

In my last two columns, I looked at how search plays a part when we're in two information gathering states: I know what I'm looking for and where to find it; and, I know what I'm looking for but not where to find it. Today, I'll look at what happens when we don't know what we're looking for or where to find it.

In the first two states, our intent is pretty well defined. We're looking for a piece of a puzzle and we know the shape of that piece when we see it. In information-foraging terms, we've already defined our diet. It's just a question of which patch we look in. When we extend that to search engine usage, we have already defined our query, and it's just a question of how we interact with the results page. In both these states, search engines work pretty well.

The Missing Puzzle Piece

But what if we have no idea what the puzzle piece looks like. We don't know the shape, we haven't assembled the adjacent pieces and we only have some vague idea what the finished picture should look like. This is the ultimate challenge for online search, and one that all search engines have largely failed to meet until this point. This is where we need a guide and advisor, a connector between ourselves and the universe of potential knowledge available. Because our knowledge is imperfect, we need a sage whose knowledge is perfect -- or, at least, much less imperfect than our own.

Of Disambiguation, Discovery and Berrypicking

This is where three concepts play an important role: the need to disambiguate, the thrill of discovery, and a revisit of Marcia Bates' concept of berrypicking. Let's begin with disambiguation.

When we have no idea what we're looking for, we don't know how to define it. We don't know the right query to present to the search engine. The more imperfect our knowledge, the more ambiguous our query. This is where search needs better knowledge of who we are. It needs to know -- through implicit signals such as our areas of interest, our past history and our social connections --what it is we might be searching for. If a search engine is successful in lending more definition to our query, it stands a chance of connecting us to the right information.

The second piece is discovery. If a search engine is successful in introducing potentially relevant information to us, our interaction is quite a bit different than it is in the first two information gathering states. We spend more time in our interaction and "graze" the page more. We're also open to more types of content. In the first state (know what we want and where to find it) we're just looking for the fastest navigation route. In the second state (know what we want but not where to find it) we're looking for confirmation of information scent to judge the quality of the patch. But in the third state, we could be enticed by a website, an image, a news story, a video or a product listing. We're pretty much open to discovering anything.

And this brings us back to Bates' theory of berrypicking. Because we have no preset criteria for the type of information we're looking for, we can change direction on the turn of a dime. In our pursuit, we fill in the definition of our prey as we go. We follow new leads, change our information-gathering strategies and sometimes completely change direction. Our interactions with search turn into a serendipitous journey of discovery. It is in the third state where our patience is generally higher and our scanning pattern the broadest. Any cues on the page that trigger potential areas of interest for us, including brands or cultural references, could catch our attention and lead us down a new path.

Search Pursues Discovery

It's this type of search that Ask's 3D interface or Google's Universal results set was built for. It's also the thorny problem of disambiguation that has spawned a number of approaches, from Google's exploration of personalization to the human assisted approaches of ChaCha and Mahalo . Even Yahoo's Answers is a discovery tool, using the more natural approach of question and answer to lend some definition to our information quest. But even though we are defining our criteria as we go, we still seek to conserve cognitive energy. We have a little more patience in our seeking of information scent, but just a little. We still spend seconds rather than minutes looking for it, and because search is still trying to get discovery right, our sense of frustration can mount rapidly. We're still a long way from finding a universally satisfying online source for discovery.

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