Emerging Markets: Will Shift Social Scores

A recent study by eMarketer pinpoints something marketers may need to consider in the near future. Emerging markets lead the world in social networking growth. And these markets are very likely to eclipse North America (China already did).

This simple but important truth could change the way people look at online measurement. With the fastest growth rates in the Middle East, Africa and Asia-Pacific, places like North America will represent a smaller and smaller portion of the global audience.

Specifically, some estimates suggest 78 percent of the U.S. population is connected to the Internet, but it only represents between 10 and 11 percent of the global online population. Conversely, 38 percent of China's population already represents 22 percent of the global online population. India already represents 5 percent of the global online population, with only 10 percent of its population.

It also means marketers have to erase some of their previous preconceptions in terms of influence or importance. Looking at Alexa rankings or influence measurements might not mean what social media experts told them they meant. Some search engines will likely be impacted too.

There are several ways to think about the global population shift.

One old rule of thumb (although it was as erroneous then as is it today) was to ignore anyone who didn't meet a specific global threshold. Nowadays, it's even less true. Unless a site or social network account is attempting to cater to a global audience, it's not likely to have a global rank as high as its country, regional, or local rank.

Ranking or popularity doesn't have anything to do with content quality. It has everything to do with potential reach. If the potential readership has a smaller audience, then it likely won't perform at higher levels. It's a lesson I wish some communicators would have considered before dropping their communication blogs.

Some thought they were losing their audience, but the reality was that they were catering to an ever shrinking reach against the total population. Ergo, as online demographics diversified, a smaller percentage of people were interested in communication-related topics. Likewise, as time goes on, fewer people may be interested sites with English content or Western-style visuals or even hot topics.

Mashable scratched the surface of how global participation can shape a network. It compared participants in the U.S. and participants in the U.K. on Pinterest and discovered some very different statistics. In fact, the interests of U.K. participants looked vaguely familiar to me. They were similar to the online interests of U.S. participants five years ago (but on different networks).

What seems to be happening on the small scale is similar to what happens on a global scale. In this case, U.K. small businesses and consultancies are moving into Pinterest ahead of consumers. In the U.S., the migration patterns were flipped. Small businesses mostly stayed away until public relations and social media specialists began taking an interest, based on independent blogger traffic spikes.

It's a small example, but one worth considering. If your content or connection isn't geared for a global audience, you'll either have to accept your company's smaller global reach or begin altering the content in consideration of other cultural expectations and influences. The latter isn't necessarily the best idea. It all depends on what your companies does, who it serves, and where those people might live.

Marketing Research: Listening For You Or To Them?

Last year, American Express must have been pretty happy. It had the most dramatic increase of voice and positive sentiment across social networks among banks. This implies it was doing something right. But was it really? Maybe all the other banks were doing something wrong.

The real evidence of an outcome came later. In April 2011, the company reported a first quarter net income of $1.2 million, up 33 percent from $885 million the year prior. The baseline analysis alludes to the idea that sentiment may be predictive. In this case, maybe. American Express had just moved aggressively into online commerce.

But there were several other factors in play for the company. It had settled litigation with MasterCard and Visa. It had launched several premium products. Cardmember spending was up 17 percent.

One year later, the story was much the same but not nearly as strong. Cardmember spending was only up 12 percent and net income only grew 10 percent (without the benefit of settlement payments). And according to Digital: MR, it was still the most talked about bank on social networks.

It also carries a great introductory APR, but its regular APR is not nearly as competitive. And its stock performance, which is among the top ten, does not reflect the same exuberance as its conversation points.

Sentiment analysis can be useful, provided it is not a distraction.

Personally, I'm a big fan of sentiment analysis. It can be used as a benchmark for communication efforts. But marketers ought not mistake sentiment as the end all in marketing measurement, making decisions that upturns mean "do more of the same" or downturns mean "do less."

In fact, in digging deeper into the American Express sentiment, we found that much of the buzz comes from a smaller group of passionate advocates than, let's say, Citibank, which has considerably more reach from a broader base of people. My only point is that not everything is as it appears to be.

My second point is that if your marketing team is only using sentiment analysis as a means to track positive impressions and share of voice, then the research time is probably being wasted. There is a big difference between listening "for you" or listening "for an industry" and really hearing consumers.

In reality, only about 20 percent of research investment ought to be tracking impressions or attempting to snuff out complaints or improving positive:negative sentiment ratios. There is something much more important to consider: who are these people anyway?

The more you hear from consumers about everything else, the better your communication.

Instead of dropping every dollar on sentiment analysis, there are much more interesting things to learn about any particular segment of the population you might identify as customers or prospects. And none of it really has to do with your company.

What kind of music do they like? What were the last three movies they saw in theaters (and liked)? What were the underlying messages, if any? What kinds of books are they reading? Are they rigid in these tastes or more eclectic? Would they rather go to a fancy restaurant or buy new clothes? Is there a difference between what they buy and what they like? What kind of political leanings do they have? Are they aggressive about it or not? Do they cook? Are they struggling or secure? So on and so forth.

While you always have to keep in mind people feel this level of marketing research seems creepy, the takeaway is that marketers have a better chance of building a relationship if they hear what people are saying instead of listening for the latest mention. Or, in other words, marketing insight might be more powerful than marketing research.

It's a valuable lesson from old school copywriting — you communicate to a person, not an audience.

Going Social: 2012 FedEx Ketchum Social Business Study

While some companies are still arguing about what constitutes a return on investment for social media, others are forging ahead with social business models. Never mind that there isn't a definitive definition.

What has been worked out, according to the 2012 FedEx Ketchum Social Business Study, are the elements that it will include. Everything else that a social business might be is a work in progress.

Key elements of a social business model from the study. 

• A non-linear flow of information between the organization and internal/external stakeholders.
• Input that drives the decision making, business processes, organizational structure, and innovation.
• The flexibility to listen and adapt to shifting marketplace opportunities in real time.
• Distribution of the ownership of social media tools across a broader set of internal stakeholders.

Simply put, a social business model aims to employ social media as it has been by a few companies even before social networks became prominent. The general idea is to move away from the notion that social media is merely marketing but rather an engaged dialogue that leads to transformative change in every area of operation. It presents one of the greatest opportunities and threats to business long term.

In essence, what people are calling the next wave of adoption is really what many people realized social media was meant to be. It's not merely about the amplification of what the company wants to tell people, but rather a vested interest in increasing the company's intelligence by removing silos and including the customer as an active participant as opposed to connecting with them exclusively at the point of purchase and when there are problems.

In theory, it sounds close to perfection. But there are some concerns. According to the study, companies are still concerned about employee privacy, content ownership, legal/compliance issues, and the inability to correct misinformation that appears on the web. Some of issues are more valid than others.

What are valid concerns? What are not? What's being missed?

• Employee Privacy. Social media has a tendency to both expose individuals (strangers want to "be friends" with the business contact) and tend to associate people with the company brand (even during off hours and even when they leave a company). It's a semi-valid concern because employees haven't adapted to the new environment. Mostly, people want to selectively be associated with their companies.

• Content Ownership. The general concern is that when employees generate a high level of interest and develop their own online networks, they tend to take those networks with them even though their association with the company had a hand in developing those connections. Although it's a risk, it's largely invalid because it's a risk that companies have faced long before social media. When people move, so does some intellectual property and so do some customers.

• Legal/Compliance. The legal/compliance issues are largely invalid, trumped up by some executives who never wanted to have the social media conversation. The reality is that as environments change so does the governance of legal/compliance issues. Many government agencies are even encouraging companies to communicate more, not less.

• Misinformation. While the Internet has some growing up to do in terms of understanding credibility, concerns over misinformation are largely invalid because it's not a new threat. If anything, more sources of information on places such as the net can better protect a company than the fewer sources that used to exist. More and more, people check four or more sources of information before making decisions. Ergo, they know misinformation might exist.

• Improper Vetting. This is the concern that ought to be on the radar, but generally isn't. Just because you increase the size of your input pool doesn't always mean you increase the size of its intelligence. Or, in other words, customers aren't always right and crowd-sourcing runs an equal chance of becoming done by committee. In fact, crowd-sourcing may have killed touch screens on the front end. Thank goodness companies didn't listen until people had the opportunity to change their minds.

• Shutter Clearance. Sometimes companies really don't want everything on the table. It's not for any malicious reason as some people like to argue. Judgements made on half-baked ideas don't necessarily make for better products. For example, I can't imagine what someone might have thought watching me write a first draft. Sometimes we all need some breathing room to think and fully realize something. At the organizational level, this might translate into fewer not more people having a big picture view.

The 2012 FedEx Ketchum Social Business Study is worth a look. 

All in all, the 2012 FedEx Ketchum Social Business Study makes for an excellent primer. The highlights I mentioned above only scratch of the surface of the content that can be mined there.

Sure, I think the buzz term "social business" is trumped up as if these things never existed (being a "social business" is what convinced Corning to make specialty glass for iPhones), but what might be different is that some of it is more likely to play out in public. That said, no matter what you think you know or feel about social business models, it's in your best interest to pay attention to what is being produced, created, and innovated as a result. This study, specifically, makes an excellent primer.

Marketing Affiliates: Are They Worth The Time?

Rakuten LinkShare released the results of its June 2012 Forrester Consulting study. The study was commissioned to determine the direct and indirect value of affiliate marketing, but its importance reveals compelling data for social media and online advertising as well.

Specially, the report demonstrates why social media and similar marketing efforts cannot be measured like direct response, with definitive paths to product purchases. This is especially interesting because affiliate marketing pays publishers based on direct clicks to the point of purchase.

Key findings about affiliate marketing from Forrester.

• Affiliate marketing spending is on the rise and will keep pace with digital marketing through 2016. Total marketing spending will increase from about $2.5 billion to $4.5 billion in four years.

• Affiliate making channels produce more new-to-file customers and generates incremental customer acquisition. Some brands report 50 percent of the traffic received by affiliate marketers are new buyers.

• Affiliate marketing channels attract consumers that spend more than the average online shopper. The difference is approximately $500 more per year, with average shoppers spending about $1,300 per year. 

• Affiliate marketing channels trigger brand recognition and can close the sale for online shoppers. Online shoppers typically visit four sites before making a purchasing decision. 

• Affiliate promotions have a positive impact on an advertiser's brand reputation and loyalty. Almost half of all consumers report a positive feeling when they see special offers on multi-brand sites and blogs.

"The study reflects how the affiliate marketing industry is strongly aligned with today's value-driven, always connected consumer who typically visits multiple sites before making a purchase," said Scott Allan, senior vice president of global marketing, Rakuten LinkShare. "As interactive marketing budgets grow and evolve, affiliate marketing will continue to be a key, measurable tactic for brands and retailers to attract and acquire new customers."

Considering the crossover as it relates to social media. 

• Investments in digital advertising, online marketing, and social media are continuing to rise whereas other mediums have flattened or demonstrated a loss in the last ten years.

• Third-party introductions and endorsements have become increasingly important to prospects before they consider new products and services as opposed to direct path purchases. 

• Shoppers may visit multiple sources to learn about products and services, even when they already have a connection to the brand, which makes outreach as important as direct communication. 

• Shoppers who visit more than one source for promotions, coupons, and reviews online are much more likely to make a purchase and spend more than people who are dedicated to a channel. 

• While some people question third-party endorsements and agendas, the majority of consumers are unconcerned because they are visiting more than one source of information.  

One of the more interesting aspects of the study is that consumers have a general presumption that brands will offer better deals on multi-brand sites and blogs than they will on their own sites. The study also hints at the influence of review sites frequently visited by consumers. They are nearly four times more likely than average buyers to try a new brand after seeing and receiving a new offer.

The study has been made available online. If you would like to read the study, find it here. The download does require several content fields, including an email address and phone number. 

Getting Twitter: Now What?

There are hundreds of articles that describe how to use Twitter right and thousands that tell people how to do it wrong. One of the newest ways from Buddy Media, statistically, is both right and wrong.

It's right if your company fits the paradigm. It's wrong if your company doesn't. Most companies don't.

That doesn't mean that new study, which tracked 320 top Twitter handles for two months, isn't worthwhile. It can be, but not in the way most people think. It can help you ask better questions.

Reading the takeaways from the Buddy Media study.

• Tweet on the days heaviest for your industry.
• Use Twitter between 7 a.m. and 8 p.m., Facebook between 8 p.m. and 7 a.m.
• Tweet four times per day or less; traction tends to drop off with more tweets.
• Type less than 100 character per Tweet, making it more likely to be shared.
• Links and photos tend to receive more Tweets than straight connect.
• Include hashtags, but never more than two hashtags at a time.

• Use "Retweet" or "RT" as a prompt for retweets. Spell out retweet for increased retweets. 

Asking the right takeaways from the Buddy Media study. 

• Do you know when your followers are online? 

• Do you know what social networks they use?

• What is the optimal number of tweets for you? What are the exceptions (e.g., chat sessions)?

• Are you leaving enough room for people to share your tweets with a comment?

• Are your links to high value content or are they all promotional in nature? What about pictures?

• Are your hashtags well thought out? Did you remember to drop them during one-on-one chats?

• Have you prioritized comments you hope are retweeted? Each degree means something different.

There are hundreds more questions to consider, one in particular. 

What are you trying to do on Twitter? Most small business people usually have one or two answers. They want followers (but don't know why). They want more "awareness" about their brand (but don't know who). 

Most of the time, they want these things because it looks good to gather followers, retweets, etc. But that isn't enough, not really. Every aspect of social media is an opportunity to forward your company's mission or another objective revolving around the mission of your company.

More than anything else, that is what the best brands do online. Southwest Airlines tries to be friendly. Nike tries to tie everything outdoors to your feet. Coca-Cola tries to spread connectivity and happiness. Wal-Mart likes to talk about sales. Ford likes to promote automative technology as an industry leader.

As long as your brand is working toward its mission on social networks, with a healthy respect about adding value, the rest will almost take care of itself. But once you start seeing some traction with your campaign, you can start to refine it — picking the time of day or days when it seems to work its best.

Eventually, unless your mission is out of whack with your message, people will follow, share, engage, and (yes) possibly buy things from you too. Just don't put those things first. People can see through it.

Shopping Smarter: Smartphone Shoppers

There is an interesting ongoing shopper behavior study being conducted by The Integer Group® and M/A/R/C Research. The latest findings suggest that African-Americans and Hispanics are adopting new shopping technologies at a faster rate than Caucasians.

Currently, 18 percent of African-American shoppers and 16 percent of Hispanic shoppers use their mobile devices to make purchases. Only 10 percent of Caucasians do.

This may be especially significant because, combined, African-Americans and Hispanics make up more than 30 percent of the total population (Hispanic, 20 percent; African-American, 12 percent).

Along with making purchases, one in five African-American shoppers (21 percent) use their phones to read product reviews and maintain shopping lists and one in five Hispanic shoppers (20 percent) use their mobile devices to compare prices on products. Only 13 percent of Caucasians do.

Even more interesting, despite adoption, smartphone penetration skews lower among African-Americans and Hispanics than Caucasians. Currently, it is estimated that as many as 50 percent of the total mobile phone population is using smartphones.

Other Highlights From The Integer Group Study. 

• Almost as many shoppers use email coupons (49 percent) as Sunday paper coupons (57 percent).

• Men might be viewed as tech toy lovers, but women are more apt to use technology to shop.

• Having children in the household drives adoption of digital shopping technologies.

"Digital shoppers are just shoppers," said Ben Kennedy, group director of Mobile Marketing at Integer. "Digital shopping tools are illustrative of the continued blurring of the on- and offline spaces. Today's reality is that shoppers use whatever tools they have on hand to make them smarter, savvier shoppers."

According to the conclusions of the study by The Integer Group, companies and businesses would be smart to consider basic mobile communication through SMS, making mobile websites the points of entry. Mobile marketing to multicultural shoppers is a huge opportunity, said Martin Ferro, senior account planner for Velocidad, a Hispanic promotional, retail and shopper marketing capability of The Integer Group.

It could be, but marketers ought to demonstrate some constraint over segmenting their advertising too thin. With each generation, even cultures resistant to assimilation tend to shift toward multicultural messages that are inclusive as opposed to targeted and/or exclusive. For example, many second generation Hispanics are bilingual, but not necessarily literate in their parents' or grandparents' language.

The best part of the study, however, is that it demonstrates that the old perception of tech adoption is outdated. Like many social media and online marketing pros know, the stereotype that the Internet predominantly consists of white tech guys is largely gone.

The study is by The Integer Group (integer.com), one of the world's largest promotional, retail, and shopper marketing agencies, and a key member of Omnicom Group Inc. You can download the study from its site, The Checkout, where it was first published. It requires basic contact information (name, title, business, and email are mandatory).

Retiring A Deck: Social For Strategic Communication

Since my first presentation on social media in 2005 (not counting blogs), I've always considered it a moving target. The average deck lasts six months (or a year with ongoing updates).

The deck I am retiring today served as the framework for two classes at the University of Nevada, Las Vegas, and five presentations (each customized for a specific industry). The intent of the deck was to get students with diverse and varied backgrounds (some with social experience and some without) to rethink social media.

Rather than simply focus on tips, tricks, and tactics, the 3-hour class is meant to inspire students and working professionals to ask better questions before developing their programs. Personally, I don't think the future of social media lies in social software as much as it lies in understanding people, which ought to be the goal of any social media program attached to strategic communication. In other words, understand what people want you to communicate and then find the right tool to help you do it.

Integrating Social Into Strategic Communication

View more presentations from Rich Becker, Copywrite, Ink.

Anyone who has seen other social media presentations that I've made in the past will recognize a few items that never seem to change such as defining social media as an environment where people use social technologies to communicate. For me, that is what it has always been about.

Some people can make great cases that social media is about sales, impressions, influence, or whatever. But sooner or later the ones that have the greatest successes change their thinking. It doesn't make any sense to teach people how to adapt a social network without considering the organization's purpose or needs.

Instead, communicators and related professionals need to ask what do the people they serve really need as it relates to their product and then deliver it. While a restaurant might share some cooking tips or their latest culinary creation, a motorcycle dealer might feature customization tips, rider profiles, and area club events.

Or, as you will see at the end of the deck, a youth sports program might offer real-time score updates via text messaging and Twitter, team stories, coach tips, game photos, and any number content ideas across any number of social networks. All the while, everything needs to be developed with the organization's purpose in mind. And with that in mind, I hope you can find something useful in the deck too.

Fostering Change: Social Business Research

A new research report by the MIT Sloan Management Review in collaboration with Deloitte suggests there might be more to the social business concept than most people think. In addition to a survey, the study includes supplemental case studies from companies like McDonald's, IBM, Salesforce, SAP, and Yammer that are putting the practice to work.

According to the report, 52 percent of survey respondents believe that social business is important to their business today and 86 percent of managers believe social business will be important within the next three years. The only holdback to the enthusiasm is that executives still don't feel comfortable with the metrics that might prove value.

The researchers, on the other hand, make the case that metrics might not be as important as some people believe. While metrics are important to make assessments, the outcomes transcend measurement in improving operations, innovations, and humanization.

The social business movement is being led by media and tech companies. 

Not surprisingly, the businesses that seem to be leading the way in developing a social business structure are media (entertainment, news, and publishing) and technology (IT and tech). Among the media industry, more than 74 percent of managers already rely on social software. Among the tech industries, more than 65 percent already do.

The industries less excited about the social business concept include energy and utilities, manufacturing, and financial services. However, even these industries do not dismiss the concept outright. Almost half the managers in energy and utilities (which are generally conservative and slow to change) say it will be more important in three years.

The downside for all of these businesses is clear enough. Several struggle with defining the terms they apply to their business, developing long-term vision, funding adoption, and prioritization. The overwhelming holdback is fear in various forms, including employee abuse, change, and self-preservation by means of operating in closed silos. Justification of those fears are often verbalized as risk, security, legal liabilities, regulatory concerns, lack of measurable results, and the lack of industry-wide adoption.

There also seems to be an overemphasis on growing revenue (and linking measurements to it) as opposed to pursuits that result in revenue growth, e.g., innovation, cost reduction, and better efficiency. And while social software (including social media) is generally considered the backbone of social business (whether applied internally or externally), the adoption of these tools are largely underfunded.

The study included surveying managers in 115 countries and 24 different industries. The 3,500 respondents represented a cross-section of management roles, ranging from coordinators to those on boards of directors. You can find the report on social business here. It requires the submission of a name and valid email address.

Marketing To Hispanics: Think People First

Ten percent. That is the number of people in the United States who can trace their ancestry to Mexico. It doesn't include any other Hispanic or Latino cultural connections, which is why I'm sometimes baffled by the way companies try to segment Hispanics and the way some Hispanic organizations suggest those companies market to Hispanics.

If you ask most of these companies and consultants, they seem to think Hispanic marketing means adding Spanish messages to their marketing mix or making a Hispanic media buy. The Forbes article (referenced above) even highlights a Volkswagen spot as an example.

It features two white guys who listen to a Spanish tape during a car trip. At the end of the spot, they speak Spanish. That's it?

Don't misunderstand me, it's a brilliant little spot. But the reason that it works has nothing to do with dropping in Spanish. The spot is about gas mileage, which is a cross-cultural message. It could have been French and had the same impact. It just feels more relevant given the increasing number of people who speak Spanish (as a first and as a second language).

I might be more convinced if they added subtitles for English or dropped the subtitles for Spanish. But more than that, I don't believe Hispanic marketing simply means adding foreign flags, select fashions, subtitles, and actors who look the part. It's about doing your homework and understanding cultural values while avoiding cultural sensitivities. 

But doesn't this apply to everyone? Depending on your product and your market, it always makes sense to consider cultural values and sensitivities. It could be any group, even those that aren't based on heritage. It might include socio-economics, job description, faith, or political views too.

Likewise, it seemed disingenuous that the thrust of the article suggests that companies sustain a dialogue with Hispanic consumers rather than trying to push a message with monologue.

The secret to market segmentation is listening to individuals over groups. 

The dialogue tip isn't exclusive to Hispanics — it's a marketing lesson that includes everyone. And therein lies the problem with choosing market segmentation based on demographics alone. Marketers really need to do their homework and have a dialogue with consumers because Hispanic has become too big of a segment to work.

In the United States, for example, Hispanic is usually defined by the government as "persons of Mexican, Puerto Rican, Cuban, Dominican, Central or South American, or other Spanish or Portuguese culture or origin, regardless of race." Each of these sub-segments are as unique as the various sub-segments by the overly generic term Asian. And in some cases, those subgroups can be segmented too (Mexico is a big country, with many regional and urban-rural differences if you take the time to listen).

So where does that leave us? Hispanic marketing seems like a good idea today because research points to a rapidly growing Hispanic population that retains a significant amount of their cultural heritage (more so than many European immigrants). But over the long term, the Hispanic culture in the United States will not be synonymous with Hispanic culture as it is identified today.

It will eventually be something else, which it already has if you consider just how different Hispanics in California are when compared to Hispanics in Texas (or how different Californians and Texans are for that matter). In other words, marketing segmentation works but it works its best when marketers assess their entire customer base instead of trying to appeal to national demographics. Think global, act local.

In fact, it might surprise some to learn that the difference between Apple and Droid consumers is greater than the difference between Hispanic and non-Hispanic smart phone subscribers.

Segmenting Publics: Can Online Moms Be Segmented?

MWW published an interesting, albeit curious, survey on the behavior of moms online. According to the mid-sized agency, moms can be broken into five types as illustrated by the nifty graphic (which links to the the agency's infographic). The study alludes to the idea that not all moms are created equal.

It's very, very dangerous territory to tread; I even thought twice before sharing it. But then I thought I might offer up why over-segmentation sometimes backfires. Before I do, here are the five types of digital moms they identified:

• Mobilizers. The youngest segment (average age 33) is hyper-connected, driven by the desire to connect with friends, and interested in pop culture. They are easily influenced by celebrities and prefer mobile devices as their primary tool for staying connected.

• Urban Originals. The smallest, most influential segment of digital moms (average age 35) lives in mostly urban areas, view themselves as influencers, and frequently interact on social networks. They also create 90 percent of the content generated by moms and are the biggest influencers.

• Practical Adopters. The working moms segment (average age 45) uses digital technology to harmonize their professional and personal lives and manage their families. They are too busy to be on the cutting edge. They look to urban originals and mobilizers to keep up on trends.

• Casual Connectors. The lowest average income segment (average age 47) uses digital technology to connect with their close circle of family and friends (particularly their children) and are influenced by the preceding groups. They prefer simple technology and few have adopted smart phones.

• Wallflowers. This segment of digital moms (average age 34) prefers to browse and consume content rather than create it. More than half are full-time homemakers, and are visual and entertainment focused. These moms are highly interested in tablets, read what others share, and enjoy sites like Pinterest.

My advice? It's an interesting attempt, but never confuse online behavior with demographics. 

I've worked with lots of moms online for the better part of a decade. I tend to agree with another study that suggests moms know best. Not some of them or certain segments, but all of them all the time.

Beyond the case studies I mentioned in the moms know best brief, I've also seen them at work on very large-scale projects that range from the cancellation of the television series Jericho and shaping of Days Of Our Lives to social good campaigns like Human Rights and March of Dimes (and scores of others).

And in observing or working with all them (including the demographics captured by MWW), I've noticed only one thing is certain. When faced with an issue they care passionately about (or their friends feel passionately about), moms will jump these so-called spheres faster than you can blink.

Further, the concept of micro-targeting along these lines is also fraught with peril and misses opportunities. You never really know when a wallflower might become the rally point or pass it to her long-time friend who happens to be a quasi-celebrity. In fact, it was one of these under-the-radar moms that connected the Bloggers United: Human Rights campaign to Amnesty International because she was only one degree of separation away.

If you want to create a micro-targeting effort, don't consider supposed behavior styles as the model to follow. What you really want to do is look at their areas of interest, which is how most people are motivated online. Don't waste time chasing influencers because they don't exist. Nurture relationships with like-minded people. Otherwise, you might as well start assigning them klout scores.

Redefining Public Relations: Convergence Or Confusion

There are several things you can take away from the Current State Of The PR Industry (Annenberg Study 2012), a guest post on PR Squared, written by Burghardt Tenderich, associate director for the Strategic Communication and Public Relations Center at the USC Annenburg School for Communication and Journalism. But if you had to pick one: the field is in a state of change.

• There are significantly fewer agency-of-record relationships in the industry.
• The number of agencies that an organization hires has increased over time.
• The areas of specialization, including proximity, have become more significant.
• Social media is mainstream, whether public relations manages it or not.
• Public relations is being divided into tactical and strategic communication.

It's the last bullet that ought to raise eyebrows among public relations firms. It pinpoints why some firms, which sought specialization as a means to become more competitive, may have moved themselves further away from a strategic level of participation. As they become more known for specialties — planning special events, managing social networks, working with the media, crisis mitigation — they become less likely to work with executive management on a meaningful level.

Fewer firms manage the message. More firms are managed by it. 

One of the reasons, it seems to me, that more firms are being hired by organizations and fewer firms are being asked to manage the entire public relations component of a campaign is by accidental design. In developing their own comparison and contrast points, clients began to think of them as specialists.

This, along with the size of most firms, led to clients becoming more inclined to assign each firm smaller and smaller  "project work" such as Facebook, a special event, a product launch, a specific short-term campaign, etc. This benefits the organizations three-fold: it negates high monthly retainers, expands the potential reach of the organization (with each contracted firm handling its pool of contacts), and frees the client from having to perform too much task work.

A few years ago, I was brought in to to oversee one project managed much the same way. One firm handled New York, one firm handled Los Angeles, one firm handled secondary national markets, one firm handled radio stations, one firm worked with talent and street teams, and one firm handled social media. Along with these firms, there were four organizations designated as strategic partners.

There were two takeaways for me then. First, while the firms were invited to make suggestions, none of them were given the responsibility for a strategic plan. Second, each component was easier to replace if need be. It seems somewhat dangerous. All of them had made themselves reasonably replaceable.

Another outcome that I did not see at the time is hinted at in the full study released by USC Annenberg. The study notes that organizational communication/public relations budgets have increased but the fee allocation to an increasing number of public relations firms is shrinking. While the study points out that the increasing budgets exaggerate the chart, the takeaway is the same. The shift is toward tactical.

The number one reason agencies are hired is to increase arms and legs. 

While some firms are finding themselves more inclined to provide strategic or regional insight (the number two and number three reason to hire a firm), the majority of organizations hiring firms are looking to offset task work. This doesn't mean public relations is becoming less strategic as a whole, but it does demonstrate that there is a division occurring within the field.

Some public relations firms, much like internal departments, are gaining more relevance within the organization. In fact, according the Annenberg study, 60 percent of departments say they are involved in the senior-level decision making process and 70 percent say their recommendations are taken seriously. In other words, departments (along with a few firms) are increasing their relevance as strategic partners, but the majority of the industry is not.

While there is nothing wrong with this, it does illustrate a trend. Over the long term, it may diminish the importance of public relations firms despite the recent definition change proposed by the Public Relations Society of America in an effort to bolster the strategic importance of the industry. Or, at minimum, concentrate the most important strategic aspects of public relations to a smaller pool of strategic communication firms and in-house departments.

Social Networking: Moms Know Best

If you have ever wondered why some companies cater to moms more than any other group online, a new study by Performics, a marketing firm owned by Publicis Groupe, recently shared its answer. After studying nearly 3,000 active U.S. social networkers, the firm concluded that mothers were "more versatile, present, active and engaged users of social networking sites, compared to other women."

Not only were mothers 61 percent more likely than other women to own a smart phone, they are also more likely to be active on social networking sites. Specifically, they were 16 percent more likely to visit Facebook and 46 percent more likely to visit Google+ on a daily basis.

But even outside of the study, there is ample evidence of how important moms can be to a social network. In fact, despite noted policy problems, moms are the catalysts behind the success of Pinterest, which reported 16.23 million unique users last February.

It is now one of the most active social networks online despite that 80 percent of its participants were female (March 2012). And, according to another study, almost all "mom bloggers" are actively engaged in Pinterest (as much as 98 percent) with  90 percent describing it as fun, 67 percent using it for organization, and 60 percent browsing beautiful things.

Do you know what other social network moms embraced? Right. A little app called Instagram that Facebook recently purchased for $1 billion. The irony? Facebook isn't among many moms' favorite social networks, despite them visiting it on a daily basis to connect and keep up.

Moms have a long history of engaging and organizing on social networks. 

When most people look back at some of the most spirited successes and failures online, most of them are linked to moms. They were the catalyst behind the Motrin headache, were part of the GAP logo retraction, continue to be part of McDonald's outreach efforts, prompted one of the largest recalls in Maytag history, and were among the first to express their distaste over the Tropicana logo change too.

In terms of the biggest disasters mentioned above, the reasons seem clear enough. Moms are reported to be 75 percent more likely than other women to trust information they receive from companies through social networking sites. And, as a result, they tend to react more aggressively when that trust is broken.

Marketing to moms might make marketers think twice about quick fixes. 

There have always been benefits to including moms in the online marketing mix. But there are some downsides for companies that are reckless with their messaging. Moms, unlike many other groups, have a greater awareness and more experience influencing, participating with, and promoting brands.

View more presentations from Performics

They are 45 percent more likely to make a purchase as a result of a recommendation on a social networking site than other women, including apparel (54 percent more likely), cars (64 percent more likely), and travel (46 percent more likely). They are also more likely to recommend companies/brands via social sites (34 percent), discuss companies/brands on social sites after seeing an ad elsewhere (48 percent), talk about companies/brands they follow on Facebook (24 percent), link to a company/brand ad (23 percent), post a company/brand ad (53 percent), and share interesting or relevant content about a company/brand (50 percent).

In other words, if your company isn't thinking about moms, then it isn't thinking. And if your company isn't thinking, these moms will be among the first to remind you who really knows best.

Shaping Experiences: Why Every Contact Counts

If you want to appreciate how important the customer experience can be, consider the airlines industry. Despite noticeable improvements in overall airline quality performance as measured in the 2012 Airline Quality Rating, consumer impressions of the airlines industry continue to lag and even falter.

The reason is evident. The global view of the industry is shaped by the collective past experiences of all customers.

"Consumer perceptions are shaped by past experiences," said Dr. Dean E. Headley, associate professor of marketing in the Department of Marketing at the W. Frank Barton School of Business, Wichita State University, and one of two co-researchers who head the project. "Small, often unnoticeable, outcome improvements do not get included into consumers' mindset very quickly."

Specifically, every time a customer has a negative experience related to an airline, it reinforces their personal negative perception of the airline and potentially the industry. In turn, disenfranchised customers share their experiences with friends and family, who immediately remember their own negative experiences or become hypersensitive to negativity if they will be traveling soon.

That's too bad, especially because there are countless stories and studies to confirm that negative experiences tend to be shared more often and remembered much longer. And while this phenomenon is not confined to the airlines industry, the industry is unique in being one of a handful of industries with an abundance of indistinguishable brands.

It's also unique because the industry invites (or is required to invite) third-party interruptions into the experience, which is exacerbated by fragmented teams who are more departmentally loyal (and sometimes location loyal) than company loyal.

There are about 16 points of contact, of which the airline can only manage half.

• The airline's individual marketing efforts and online presence.*
• Online booking agents that sell price-based fares.
• Reservationists and customers service phone lines in lieu of third parties.*
• Airport parking and traffic flow for arriving/departing flights.
• Self-serve kiosks that present new fees beyond the ticket price.*
• Ticketing agents, with less empowerment because of self-check in.*
• Airport security, interrupting the experience between ticketing and gates.
• Gate seating and a new team of passenger service agents to assist.*
• Airport and weather conditions that may or may not impact the flight.
• Baggage handlers, working to load the bags on the plane.*
• Flight attendants, who sometimes serve less and push product more.*
• Flight crews, with pilots who have varied degrees of styles and experience.*
• Other customers, who are extremely varied in how they interact.
• Destination airport, which presents new conditions into the mix.
• Baggage claim, which introduces any number of new experiences.*
• Airport parking, traffic flow, and car rental companies, indirectly.

Again, the oddity here is they are only responsible for little more than half of the experience in reality. But from the perception of a customer, the airline and the airlines industry experience begins the moment they arrive at the airport and ends with when they leave the destination airport.

One would assume that any company knowing this would work that much harder to ensure the areas they are responsible for create pockets of positive experiences where customers feel protected. But the truth is that most do not, with a few exceptions.

Specifically, Southwest Airlines continues to promote a service-oriented message and consistently scores the highest in passenger friendliness for consumers as a result (it is ranked fifth overall). AirTran, JetBlue, Hawaiian, Alaska make up the top four airlines in terms of quality, overall. (Virgin was not included in the Airline Quality Report, but would probably make the top five if it was included too.) Conversely, most airlines are not so cohesive.

Many set themselves up for negative experiences on the front end. 

Among some of the most common complaints from customers are delays at ticketing, hidden fees, extra charges for bags, and agents who forward standard service questions (like seating changes) to gate agents. All of these prime the customer for a bad experience before they ever reach airport security, which most consider unpleasant.

By the time people arrive at the gate, any additional negative experience can create an overall negative experience: a lost bag, flight attendant having a bad day, delays, missed connections, uncomfortable flight, etc. Generally, such experiences are only salvageable when customers stumble into one of those employees who genuinely champion customer causes or concerns. But even if these employees can salvage the moment, most cannot transform a soured experience into a positive experience.

Instead, the abundance of negative experiences only set expectations to be a negative experience, which is almost always easily confirmed and never suitably addressed. Until every individual airline elects to make changes, the industry will continue to falter — which is good news for the few that have brands that transcend being lumped into the industry.

A little more about the Airline Quality Rating survey.

The Airline Quality Rating survey measures on-time arrival and departures, denied boardings, mishandled baggage, and customer complaints to score each airline. Before the Airline Quality Rating, there was effectively no consistent method for monitoring the quality of airlines on a timely, objective, and comparable basis. Anyone can participate online.

The research is headed by Headley and Dr. Brent Bowen, professor and head of the Department of Aviation Technology within the Purdue University College of Technology. Their body of research is recognized as the most comprehensive within the airlines industry by the American Marketing Association, American Institute of Aeronautics and Astronautics, Embry-Riddle Aeronautical University, the Travel and Transportation Research Association and others.

The most interesting aspect of the research right now is that "more than 50 percent of frequent fliers say air travel has gotten worse for them in the past year, despite the fact that overall airline quality performance has risen as measured in the recently released Airline Quality Rating."

Breaking Up: Customers Dump Brands On Networks

"There isn't any question that social media has become an increasingly important part of organizational communication. And although some people still call it a bandwagon, the general conversation about social media has transformed from convincing companies to consider it to teaching them how to implement tips and tactics.

But are tips and tactics really enough? Maybe not. Sometimes trying too hard to "woo" customers can alienate them more than win them over.

Social media can engage or irritate. It's all about communication.

At least that might be the takeaway from a study conducted by Relevation Research. It found that 52 percent of consumers have subscribed to a company or brand via a social network. But of those, one-third of them will dump the organization or brand after a few short weeks or months.

But that's not the worst of it. After those customers dump the brand, they are more likely to distance themselves from the brand online. Many report that they develop a negative impression of the brand. And, as a result, may shop less, spend less, or even turn to competitors.

"At present, marketers are too cavalier, and even abusive, with their approach to social media relationships because it's a powerful tool which can pay off but only if used thoughtfully," said Nan Martin, managing director at Relevation Research. "It's that very thin line between courting and annoying. Right now some brands are effectively drawing people in, but then undermining their equity by what happens next with their social media activity."

So what's the number one reason that fans or friends decide to ditch the brand? According to the research company, most leave because the brand comes on too strong — acting excessively clingy or posting, tweeting, and joking around too often.

The second most common reason is that the brand fails to engage, offer any additional value, or otherwise ignore the people who have taken the time to like them. One of the funniest lines pulled out from the research sums how people who break up with brands really feel.

"It's not you, it's me," they say. Or, in other words, they signed up because a friend did, lost interest, or simply decided that they liked too many other brands and somebody had to go.

Changing Health Care: Mobile Technology

If you want to consider just how much mobile technology could change lives, consider how it might save lives. One company, ER Texting, is already experimenting with one possibility — providing information that can help parents make decisions on which emergency room to visit based on wait times.

The simple information-based service that taps mobile technology tracks current wait times at children's health care facilities. People who use the service merely have to send hospital text codes to 4 ER 411  and instantly receive the current wait times, hours of operation and direct contact information for participating hospitals.

Cincinnati Children's Hospital and Medical Center (CCHMC) and Miami Children's Hospital (MCH) are among some of the most recent hospitals to utilize these services. Since MCH implementation last May, more than 2,000 subscribers have used the service,

"When examining how to reach our patients and families, we knew we would have to meet them in the mobile space," said Kurt Myers, coordinator of community relations at CCHMC. "Providing an option to receive wait times via text was a logical first step into the mobile arena."

Not only does the service provide insight into wait times so parents might consider an alternate medical facility, but it also provides parents with expectations before they arrive. The service benefits the hospital with three locations too, helping control patient flow by increasing transparency.

Communication ought to augment the service, but the potential is limitless. 

Naturally, parents using the service shouldn't take to diagnosing life-threatening situations — adding additional minutes to their commute time to a hospital in life-threatening situations or opting to drive children who would be better off being transported by an ambulance — it still represents how technology can start to be used as a lifeline for medical purposes.

A few years ago, I was working with the National Emergency Number Association (NENA) and we would frequently discuss the far future of emergency medical services. While the iPhone was still in its fledgling phases by comparison, there was always interest in developing a 9-1-1 service that could incorporate mobile into everyday operations — including the use of video technologies to pre-diagnose when patients called (giving first responders a pre-assessment of the scene and giving hospitals more information before arrival).

The wait time text messaging service certainly expands upon that concept, driving future life-saving concepts toward two-way communication models. Perhaps one day, patients will be able to call 9-1-1 and receive emergency medical assessments and direction (including visual aids) before the ambulance arrives. Or, if medical transport isn't needed, which hospital would be best suited given wait times and specialties. Cool stuff.

Branding Power: The Bank Of Apple, Part 2 of 2

On Wednesday, I shared the interesting outcome of a survey conducted by strategic and research consultancy KAE in cooperation with online pollster Toluna. The study they conducted revealed that 10 percent of the public and almost 50 percent of all Apple customers would choose the Bank of Apple over all other bank brands.

While the survey is still speculative, there is always the possibility that Apple could reinvent the banking industry much like it helped shape the music, video, telecommunications, and publishing industries. The technology already exists to do it.

But more than the news itself, we considered how powerful a properly managed brand can become, eclipsing institutions with years of experience in one sector simply because the winning brand has continually demonstrated that it can improve any industry it happens to set its eyes upon.

Even people who aren't fans of Apple sometimes ask how it could build a company as admired as Apple overall. The answer is easier to deliver than execute, but it's remarkably simple. A company that wants to develop real brand power — enough that people will trust it outside of its own niche — has to stop worrying about profits alone and nurture something less tangible like character.

The five Ps of creating a dynamic and unforgettable brand. 

Purpose. Define who you are and what you are to offer-- a mission that defines what you do, a vision that defines where you will go, and the values you will employ to get there. It establishes the voice and character of an organization, and the willingness of a company to stay true to it makes all the difference.

Product. Innovation is sometimes in the eye of the beholder. While the most successful companies innovate products and services that the world has never seen, it can be as simple as making something more accessible or delivering it faster or creating an experience around it. Whatever that contrast in the market might be, the most critical element is meeting or exceeding expectations.

Promise. All successful communication is designed to change behavior, whether it invites someone to try a new product, shop at a new store, or help redefine an industry. Marketing, advertising, public relations, and social media not only generate attention, but also set an appropriate level of expectation.

People. It's not enough that products and services operate within the mission, vision, and values of a company; the people have to adhere to those qualities too. When done correctly, each individual person-to-person contact reinforces the brand and reputation of a company just as much as the product. The goal, through international communication and operations, is to empower people to realize the vision of the company just as much as the executive team.

Public. Perhaps even more so than years prior, companies are not only judged by their customers but also by their presence within the communities in which they operate. Sometimes it is just important for a company to meet the expectation of the friends and family of customers as they must meet those of their customers.

The character-driven brand will thrive in the future. 

Apple isn't the only company that seems to have crossed this threshold. Virgin was founded on some of these same ideas. So was Google. So was Castle Rock. So was Zappos. So was The Four Seasons. On the front end, scores have been (and some even remain) committed to those companies to this day. 

At least on the front end, all of these companies and others were less concerned about profit and product (although some leveraged product price as a means to reinforce their brand) than any of these five areas. Not only did they know the obvious, but they were unafraid to execute it.

When you think about companies almost like you might think about character development, everything is a little easier to understand (even if it is a little more complicated than that). People who nurture their character tend to excel in their professions, earn more money, attract more friends, and earn more respect. And even if all things do not come right away, they are still content in being beneficial.

People who do not — those who are always looking for an edge, chase money or steal, undermine others to look better, and insist they are entitled to authority — might experience short-term gains but eventually sputter out or perhaps even build entire organizations of discontent. There are scores of those kinds of companies too, Budget Rent A Car, Netflix, NS Goldman Sachs to consider a few.

Branding Power: The Bank Of Apple, Part 1 of 2

Two years ago, there was a little-read post that speculated what might happen if Apple opened a banking or credit card division. Most of the speculation centered on Near-Field Contactless (NFC) technologies, which would enable payments to be made with a phone; no cards, inserts, or swipes.

This year is a little different. Strategic and research consultancy KAE in cooperation with online pollster Toluna didn't focus on whether or not Apple could open a banking division based on technology but rather the willingness of customers to bank with Apple. Ten percent of the public, almost half of all Apple customers would.

The real value of a brand is elevated trust.

Some people never go further than the latest valuation of a brand — Apple is valued at $39.3 billion — to determine its worth. But with the simplest of surveys, KAE demonstrates what brand value really means.

The reason people would bank with Apple, a field in which it has never operated before (unless you make the connection that shopping carts are close), is the high level of trust. Sixty-six percent, in fact, said that their trust in the brand would sell them alone. More than half said they expect Apple would make banking easier and more reliable. Many wouldn't expect the company to open brick and mortar banks.

"Apple would face no capital constraints in building a deposits base. With a proven ability to cross-sell additional products, along with the highest sales per square foot of any retailer and affluent customer base, it wouldn't take long for Apple to become one of the most profitable banks in recent times," said David Rankin of KAE. "Once the power of the Apple brand and its options for growth are understood, it tends to prompt one of three responses from financial institutions: accelerated invention, defensive benchmarking, or blissful avoidance."

In recent years, especially with disruptive innovations that include iTunes, phones, tablets, and even the near perfect prospect of iBooks (there are a couple more advents the company needs to kick publishing out of the ball park), Apple has consistently demonstrated it can reinvent how industries are perceived, elevate expectations within those industries, and then either meet expectations or even exceed them.

A logo alone is not what modern branding is about.

In looking at communication trends among top performing brands, there has been one standout among those brands like Apple and Google racing to the top and unseating some of those that held the reins for a long time. These companies in particular are less interested in managing their reputations and more interested in managing their character.

How can that be? For companies, character isn't merely an assignment of an individual's trait to a group. It's really a manifestation of corporate culture — the company's ability to do what it says it will do with some exceptionalism at every level of customer contact — product/service-to-person, person-to-person, public perception-to-person.

That's not to say that all things will be perfect. Apple, much like Google, has its share of detractors and sometimes questionable decisions. But mostly, it consistently delivers on every point of contact — at least as good as it says it will (which is often more important than being number one in every category). Any company can do it, assuming they choose to. We'll take a look at the steps on Friday.

Voting: Personal Business Becomes Public Policy

According to a new Harris Interactive/HealthDay poll released today, most Americans are ambivalent about new regulations aimed at governing lifestyle choices. In most cases, the public is happy to support regulations that they perceive have little impact on themselves, personally.

While 61 percent worried that legislation aimed at lifestyle choices might be too coercive, impeding individual freedoms, 81 percent agreed (33 percent strongly agreed) that these same laws are important to protecting safety. This creates a paradox in that Americans vote their immediate moral conscience without considering consequences.

"The public is somewhat schizophrenic about laws and policies that are intended to improve health and safety and reduce injuries and accidents," said Humphrey Taylor, chairman of The Harris Poll. "Most people favor many regulations that protect them but they worry about our becoming a 'nanny state.'"

Issues that respondents supported or strongly supported.

• 91 percent supported the ban on texting and driving.
• 86 percent supported child vaccinations.
• 86 percent supported safety belt laws.
• 82 percent supported motorcycle helmet laws.
• 80 percent supported smoking bans in enclosed public places.
• 78 percent supported requiring nutritional information on menus.
• 70 percent supported cell phone use while driving.
• 68 percent supported reducing salt in packaged goods.
• 61 percent supported mandatory HPV vaccinations for girls, ages 11-12.
• 38 percent supported a tax on high sugar soft drinks.
• 35 percent supported employers not hiring people who smoke.
• 24 percent supported employers not hiring people because of weight.

The same respondents said that people should be free to make their own decisions (81 percent) unless those laws reduce accidents, improve health, save lives, and reduce health care costs (78 percent). And it is in this paradox that the survey doesn't go far enough, one that is prime for psychologists.

Packaging and propaganda are driving Americans to make decisions for others.

When you look at many of the controversial issues today, many are packaged with an intent to reduce accidents, improve health, save lives, and reduce health care costs (on both sides of the argument). The only difference between one argument and the other is how it is framed and how directly it impacts the individuals making the decision.

This is a compelling study in that it pinpoints a growing ease for people to vote for what used to be considered lifestyle and personal choice. However, with the adoption of a national health care program, people are increasingly willing to make personal, medical, health, and lifestyle choices for other people.

The extremes tell the story. Most people support the texting and driving ban because it represents an activity considered by most to be the highest form of distracted driving, and a significantly increased risk. But the bottom of the scale tells another story. How much you weigh may become a public issue.

Being Wrong: Banco Popular Customers

When banks sell loans, you really never know what to expect. And with some banks, you never know what to expect from month to month. Popular Mortgage a.k.a. Banco Popular is much like that.

About a year ago, our small home improvement second was sold by Bank of America to Popular Mortgage, a subsidiary of Banco Popular, which is a subsidiary of Popular Inc. Ever since, the experience has been a comedy of errors, apparently ours.

The customer is always wrong with Banco Popular.

The first time it was our fault was because we received a statement two days before the due date. We sent the payment straight away. But their processing department is slow. So the payment didn't post until the day after their collection department called, two weeks after the due date (but still within their grace period).

Not wanting to take any chances with our credit rating, we made a payment over the phone (you can't pay via the Internet as they don't accept online payments). Meanwhile, the missing check posted the next day. They had it for more than a week, but didn't know it. No big deal. The extra payment was applied to the principal, and we offered remedies that they rebuffed.

The second time it was our fault started out as a mystery. The collection department called on Sunday but didn't leave a message. When we called to find out why they had called, we were greeted by a message that said their offices were closed. (They can call out, but you can't call in.)

In the interim, we checked with our bank. We had sent the check the same day that we received the payment (Feb. 21), they processed it on March 2 (the day after the due date), and it cleared our bank on March 5. This time, their collection department called even earlier within their grace period (March 11).

When they returned our call on the next day, "David" said he would open a ticket and research it. The practice is pretty standard in the banking business so I thanked him. What isn't standard is that he called back a few minutes later and told us to research it and send evidence of payment, with urgency.

We sent a copy of the check the same night, but found out it wasn't so urgent. After I didn't receive confirmation that the email was received, I called. He had the day off.

He never did confirm receipt of the email, but he did call the next day. He called to say we were wrong.

"The issue they had was because you didn't put your loan account number on it," said David, much less accommodating than in our previous conversation.

What happened was that they received the check (which carries the address of the home with the second) and statement coupon, but they were confused which account to apply it to (even though we only have one account with them). So, they cashed the check and set the money aside until someone claimed it.

I didn't know what to say. Apparently, I was wrong again. All I could do was chuckle and accept it.

You can learn a lot about investments by working with prospect companies. 

While we do business with several banks — various business and personal accounts — I have only ever invested in one. And I would never invest or willfully do business with Banco Popular. Why?

Three reasons. 

• Its operational structure is lopsided to account for the deficiencies it creates (e.g., its payment processing is overburdened or incompetent, which slows down their process and gives their overstaffed collection department more cause to be zealous, calling high credit score customers on days that they are closed even if the customers are well within grace periods).

• It violates its own stated values and creed (e.g., it claims to obtain customers' satisfaction and loyalty by adding value to each transaction but places the burden of research and evidence on the customer).

• It works too hard to prove itself right and the customer wrong (e.g., interactions frequently seem to bear it out, given the emphasis is always about discovering what the customer did wrong rather than addressing how they can fix their shortcomings).

I'm happy to admit I'm wrong with Banco Popular. But every now and again it pays for a company to work harder to make their customer right, at least as hard as the customer works to make them right.

The first time we experienced a problem, we had requested they send their statements out earlier (25 days out is relatively standard, but they said it wasn't their policy). We requested a payment book if they could not send them earlier (they refused because our account was an acquisition). And we asked about making payments online (they said they offer no such service).

They did suggest direct withdrawals from our bank account, but I don't believe in giving deficient companies that kind of access. Instead, we feel crummy every time they send a statement, paying it as quickly as possible and hoping for the best. It usually arrives between two and seven working days before the due date, which gives them a chance to prove us wrong every month. Go figure. It's their policy.

The policy seems to be working for them too. Here is an analysis of investor recommendations. Yikes.

Filtering Content: Efficiency Or Liability?

A team of researchers led by Carnegie Mellon University neuroscientists has identified how different neural regions communicate with each other in order to determine what we visually pay attention to and what to ignore. The study is a breakthrough in visual cognition.

Although the findings will be primarily used to guide research in visual and attention deficit disorders, the discovery has some far-reaching implications. Specifically, it could shed some light on how brains are trained to seek out affirmation-related content and how we might retrain brains to be more objective or, in the case of marketing, better understand how to weigh new information for consideration.

How can you ask someone to consider a red pencil when they are already looking for a yellow pencil?

The study, published in the Journal of Neuroscience, used various brain imaging techniques to show exactly how the visual cortex and parietal cortex send direct information to each other through white matter connections in order to specifically pick out the information that we want to see.

For example, if the parietal cortex (which is where free will partially originates) tells the visual cortex to look for a yellow pencil, the visual cortex and parietal cortex send information to each other to help find relevant information. It will literally screen out other objects and/or colors to make finding the yellow pencil easier and more efficient.

However, there are many presumptions made before we ever start looking for a yellow pencil. We may assume that a pencil is the right instrument for the job. We may assume that the yellow pencil may have other attributes (such as being a no. 2 pencil). We may assume it is made by a specific manufacturer. We may assume that a yellow pencil is superior based on previous experiences with the yellow pencil. Everything we associate with the yellow pencil (consciously and subconsciously) might come into play to find what we're looking for.

But what if some or any of these assumptions are incorrect? What if a red pencil manufacturer has made a better instrument for the task at hand, but consumers have already trained their minds to screen out other writing instruments? How can the marketer bring attention to what people are not looking for?

How visual cognition shapes our world, and not always in the best way.

What if we think about this phenomenon on a grander contextual scale? It is possible that people are predisposed to look for things that either affirm their opinions or cause alarm because something seems dramatically out of place from how they want the world.

Depending on what we have trained our minds to look for — either information that makes us right or information that causes us to be alert — people generally find exactly what they are looking for without ever considering any other relevant data. It could explain why inferior but popular products frequently edge out lesser known superior products. It could be why certain news grabs our attention (mostly negative) while we dismiss more important news (mostly positive). It could be why some people immediately dismiss some political candidates based on age, ideology, and/or party affiliation.

"With so much information in the visual world, it's dramatic to think that you have an entire system behind knowing what to pay attention to," said Marlene Behrmann, professor of psychology at CMU and a renowned expert in using brain imaging to study the visual perception system. "The mechanisms show that you can actually drive the visual system — you are guiding your own sensory system in an intelligent and smart fashion that helps facilitate your actions in the world."

While Adam S. Greenberg, post-doctoral fellow in the Dietrich College of Humanities and Social Sciences' Department of Psychology and lead author of the study, suggested that the research could help scientists find new ways to train white matter (the connections that help the visual cortex and parietal cortex communicate) to filter out irrelevant or unwanted information, one wonders if the other is possible — white matter can be trained to allow more information, thereby seeing a bigger picture and drawing well-reasoned conclusions that are not weighted by presumption.