Wednesday, October 17, 2007

Is Apple Rotten?

Much has been said about the new innovative iPhone, which Apple's rabid fans gobbled up when it was initially released. Now, just a few months later, this core group is turning on Apple, threatening what has become a hallmark of Apple's brand: consumer loyalty.

Apple has relished its role as the underdog computer-maker, but it is now becoming a major player in consumer electronics, fulfilling a promise to make Macs a digital media hub. The iPhone is just the latest entry- albeit a significant one- following the success of the ubiquitous iPod. As customers and investors reacted positively, Apple surprised them by dropping the price $200 only 2 months after it's release. To make matters worse, a recent security update wiped out user-installed apps, which Apple seeks to curb. It's assumed that Apple's strategy was to skim off the cream and drop the price to attract a broader market, while controlling their proprietary software, at least for awhile. Meanwhile, CEO Steve Jobs has been vilified, and Apple has suffered significant backlash.

My take? Steve Jobs is not an enemy of the people, nor has he lost his soul. He's a businessman- and a good one at that. Not only has he understood the market and leveraged consumer trends, he has capitalized on them and even driven the industry. The challenge is that he must deal with the army of followers he has created who demand both greater innovation and near infinite customization.

Apple is at a turning point. The point at which David becomes Goliath. Having stayed true to their brand- like so many of my "Best Brands"- they have grown. Nike faced this turning point years ago, and now they must deal with start-ups like Under Armour who have inspired a new generation. Even though Nike will always stand for "innovation", they can no longer fool anyone into thinking they are anything but the major player in the industry. Apple may not have to dominate market share to be perceived as the industry leader, and they will undoubtedly be faced with upstart competition in the near future, created in their own image. More than ever, Apple must continue to reinforce their brand as delivering the most innovative products consumers demand. If the iPhone is any indication, I think Apple will ripen.

Sunday, October 7, 2007

Big. Big. Big.

How big was Saturday's win in Manhattan? Any game against kstate is a must-win for the Jayhawks. This win was big for several reasons. Heading into the game 4-0, a loss would have had a devastating impact on the season. A win, however, makes KU's 5-0 record more than just legitimate and brings with it a national ranking. Consider the following...

A road win in the Big 12 conference is rare, and this was KU's first road test of the season- arguably in the most hostile stadium in the conference. KU had not won a game in Manhattan since I was in high school. Coach Mangino, like his predecessor, had never won in Manhattan. Jake Sharp's first quarter touchdown was KU's first TD in Manhattan since 1999.

This win was also KU's 3rd in 4 years, which finally gets things back to normal. KU has won more than half of all games in Manhattan, and commands the series overall. For perspective, the Snyder-era "turnaround" that brought 11 consecutive ksu wins fell just 28 wins short of evening the series. In other words, if I was unfortunate enough to live through such as string of losses, I would be 64 when the series would finally be even, or "competitive."

But the main reason I became so invested in this year's edition was because of my involvement with KU's visual identity project. I'm proud to say that KU has never lost to kstate with the new KU logo on our helmets. Let's hope that streak continues. Hats off to a big win for KU.

Monday, October 1, 2007

In Memory of Al Oerter

Al Oerter died today at the age of 71. The 4-time Olympic Gold Medalist can be considered the greatest Olympian of all-time, not only for his incredible come-from-behind Olympic victories spanning 4 Olympiads, or for his numerous Olympic and World Records. Oerter emulated the 3 Olympic ideals of excellence, friendship and respect perhaps better any athlete I know.

I'm fortunate to work in the Adams Alumni Center for the KU Alumni Association, where the All-American Room pays tribute to the greatest KU athletes of all-time in a series of painted murals. Fittingly, Oerter's likeness occupies the symbolic centerpiece above the fireplace, representing the best characteristics exhibited by these famed Jayhawk champions.

On the occasion of Oerter's last visit to the University of Kansas in 2004, I was honored to emcee his induction ceremony to the Kansas Relays Hall of Fame. At that time, I penned a letter to the editor that was published in the Lawrence Journal-World, which appears below, in tribute.

To the editor:

You can tell a lot about a person by his handshake, which begs the question, who has had the strongest grip of anyone I've met? This I can answer with certainty. It was Al Oerter. When I was a boy, my dad took me to the Kansas Relays where I got to meet the former Olympic discus thrower and shake his hand. I vividly remember his giant hand engulfing my 9-year-old mitt. Yet Oerter was a gentle giant who assured you everything was under control.

The handshake of this four-time gold medalist did not merely suggest his strength of character. Oerter's strength was his character, always competing with class, winning with dignity. Arguably the greatest Olympian of all time, he returned this weekend for the first time in 20 years to be inducted into the new Kansas Relays Hall of Fame. Let's all welcome this KU track and field legend and give him a hand.

David Johnston, Lawrence (4/18/2004)

Al Oerter
1936 - 2007

Thought for the Day


I thought you'd enjoy this cartoon, sent to me by a friend. For the record, I did not run 10 miles today, or last month for that matter. At this point, it might take a bear to get me back in shape. Grrr.

Thursday, September 27, 2007

Nike's Air Native

This week, Nike unveiled the new Air Native N7, a shoe designed and marketed specifically to Native Americans to promote health and wellness issues toward a population affected by high obesity rates. The shoe was designed to have a "culturally specific" fit and look, and it will be distributed solely to those populations through tribal wellness programs and schools at wholesale prices. In some cases, individuals may receive the shoes at no cost.

Niche marketing and cultural segmentation are certainly not new ideas, nor is Nike's approach to giving back to a particular community. But Nike's approach here is not altruistic, nor is it pure public relations. It's good business. I think it leads a trend we'll see that capitalizes on increasing consumer personalization, cultural affinity, and global consciousness. And it's a good thing.

Nike's Sport Culture division has taken these insights into account for the past several years to create trend-forward products appealing to credible "connectors" or "mavens", as Malcolm Gladwell calls them, on the streets of Manhattan or at Miami Beach. I predict Nike's efforts to serve the Native American market will be rewarded with consumer loyalty and commercial success.

Meat Loaf and Me

Today is my birthday, along with my twin brother Peter, and Gwenyth Paltrow, Avril Lavign, Shaun Cassidy and Meat Loaf. Clearly we're in good company. Cheers!

Monday, September 24, 2007

The Future of Advertising

When I worked in Chicago for Leo Burnett, the discussion around the water cooler was often about advertising trends. The hottest topic: what impact would Tivo (and the like) have on the advertising industry? If consumers could simply fast-forward through the ads, would we all be out of jobs?

My theory at the time- a good 10 years ago- has proven itself, or rather is proving itself today. We would not all be out of jobs. The industry would evolve in a way that would prove to be more challenging and infinitely more rewarding. I give you two words: product placement. Or to coin another cliche, content is king.

I knew we were headed this direction when, during one of the last seasons of Dawson's Creek (which ended in 2003), an episode opened with Joey and Pacey shopping for an iPod inside a conspicuously branded Best Buy. So as not to be missed, this fact was even included in the dialogue.

The funny thing? We all bought it- the context was entirely believable, especially in this era of reality TV where real people are on display- usually consuming real products. This sort of product integration lends a degree of credibility and access that a :30 spot can't deliver, and it has challenged advertisers to be more creative in how they reach potential customers.

Recently, David Peacock, VP of Operations for Anheuser-Busch (Left), and Bob Lachky, Chief Creative Officer, spoke at the University of Kansas. Peacock, a 1990 KU grad, said of the future of advertising: "It’ll be more content-based, whether it’s Internet, whether it’s television. People have DVR and are passing by the commercials. You’ve got to be part of the content of the programming, whether that’s a sporting event, whether that’s a TV show or a movie. You’ve got to be part of the content.”

Leave it to the "King of Beers" to remind us that content is in fact king. Perhaps we should drink to that.

Thursday, September 13, 2007

Change is Good

My blog is back. Over the summer, I had time to reflect while considering a job change. Fortunately, I have landed in a wonderful position after entertaining prospects that would have moved my family to Texas, Florida, the Pacific Northwest or the Rocky Mountains. In each case, I targeted organizations I felt had a strong corporate culture and purpose. Those of you who know me will not be surprised to learn that I ended up at the University of Kansas. Specifically, at the KU Alumni Association, where I'm privileged to work with wonderful people in a beautiful setting. Best of all, there's a shared purpose; to strengthen KU. My view from atop the hill should bring a new perspective to my posts, as my outlook has changed dramatically. Sometimes a change in scenery can do that.

Monday, June 11, 2007

Online Communities

Online networking is nothing new, but online communities and social networks have exploded in recent years. Depending on your perspective, this either means too much of a good thing, or endless opportunities to make a positive connection. How do we make sense of it?

Simple. When I went off to college, like most kids, I was overwhelmed. Fortunately, I had the opportunity to be a member of the track team and live in a fraternity. Add to that the classmates I had in my major, and I had at least 3 distinct groups of friends- the group I lived with, ran with and went to class with. Throw in a smattering of clubs and other groups, and you can see my point- I was no different than most people in college, with groups of friends defined by common interests and activities. In this way, a large community becomes very small.

The internet community has evolved the same way. The biggest communities (facebook, myspace), like most colleges and universities, provide ways to connect in the broadest sense, around user-generated content, interests, friends or spur of the moment activities. But among these broadbased social communities are a new generation of online communities that represent, in my opinion, an evolved and more specialized state of online networking.

One such advance in online networking is Linkedin.com, built around a simple common interest: professional networking. Think myspace at work. It works because there's relevance in its specificity (connecting employers and employees), asking users "what do you do?" and "who do you know?" (view my page here).

Companies like Nike are ahead of the curve, building communities around innovative products, like Nike Plus, enabling runners to track their workouts and compete against a virtual community of runners. This camaraderie, a critical element in sport, is finding relevance online through social networking, as Nike Plus allows users to share and discuss routes, music playlists and running-related topics.


Universities are following suit as they look to engage alumni and donors through affinity networks, such as inCircle, whose clients include everyone from Stanford University to the University of Phoenix, as well as Oregon, Texas, Wisconsin, Georgetown and Kansas. Within a common interest group (university alumni) can live specialized groups (cross country runners, business majors, fraternity members, etc.). Makes sense.

Non-profits are taking advantage too, as communities rally around a cause. Purpose-based groups will use these networks for advocacy and event planning, fostering very real engagement in a virtual environment.

Improving the signal to noise ratio, these affinity, permission-based groups represent the best evolution of the web, and they define, for me at least, the very concept of an online community. Hardly rocket science. The best connections are those allowing for mutually beneficial exchanges and stronger relationships. Proving, as always, the best ideas are usually the simplest.

Monday, June 4, 2007

A long time ago...

Last week marked the 30th anniversary of Star Wars, the movie that became a cultural phenomenon and is still relevant today. I'm proud to say that my first movie theater experience was Star Wars, at the age of 6. It was everything you can imagine- the music and sound, the special effects, the characters- and of course, the story. I can think of no better movie for a first movie experience, save perhaps the Wizard of Oz or Harry Potter.

There is much about Star Wars that makes it relevant; George Lucas singlehandedly changed the movie-making business. But the thing I find most relavant was Lucas's decision to get into merchandising. The licensing of Star Wars merchandise created a multi-billion dollar brand and set the stage for ancilary activies that continue to be the norm for movie studios today. I'll confess, my birthday wish every year was that I'd open one of my presents and it would contain the entire Star Wars collection of toys. No such luck.

Blockbusters today become instant franchises. Studios anticipate multi-movie deals before the first installment starts shooting. Product tie-ins are negotiated well-ahead of opening weekend, with toys, video games and apparel only the tip of the iceberg.

I never did receive the entire Star Wars collection (if that's even possible), but have grown to see beyond the hype. The relevance of all that merchandise was driven by the substance of the movie itself. For Disney's "Pirates of the Caribbean" franchise, it's driven by concept and one classic character. Let's face it, a Spiderman nightlight or Shrek toothbrush is no match for a compelling story with great characters and dazzling effects set to a memorable score.

30 years later, I can share the thrill of my first movie experience with my little girls- at home on DVD- and they love it. After all, there's a princess in it!