The Egg McMuffin of Champions
Fri Aug 22, 2008 at 12:38 pm By Kyle
Nothing brings out responsible marketing messages like big-time Olympic sponsorships.
From Exxon Mobil touting its “green” initiatives endlessly on U.S. commercial breaks, to the ubiquitous McDonald’s ads showing truly ripped athletes biting into their favorite deep-fried sandwich, Olympic tie-ins really seem to be stretching the limits of common sense.
In fact, only McDonald’s is allowed on the Olympic Green, leaving many lamenting the lack of food options, much less healthy ones.
Even golden boy Michael Phelps can’t escape some of the criticism with his decision to endorse Kellogg’s Frosted Flakes over the traditional Wheaties cereal box. With 1/3 the fiber, and 3 times the sugar, obesity experts are wondering what message this sends to kids, according to NYDailyNews.com.
Perhaps the message that a few extra zeroes on a paycheck really do make a difference.
Or maybe that life is full of contradictions?
Yes, contradictions like these are all too common in business and marketing today, and one can look to the streets of China to see a lot more of them. Even amid rising gas prices, worsening traffic, and small families, the demand for SUVs and Hummers is through the roof.
China’s tax bureau tried to curtail some of this demand recently by doubling the consumption tax to 40 percent for cars with engines above 4.0 liters, according to Jack Perkowski’s Managing the Dragon blog. One liter and below engines will have their taxes reduced.
Although these efforts should be lauded for environmental reasons, they aren’t likely to have much effect on sales.
“It seems that Chinese consumers, once they reach an income level where they can afford a car, would prefer to pay more for a bigger car with more features that also provides more ‘face,’” Mr. Perkowski writes.
If the state really wants to discourage over-consumption (which we’re still not entirely sure they do), looking to America at the moment might actually provide some insight.
Thanks to a new level of eco-consciousness fueling many consumers’ feelings of shame or guilt in driving an SUV, sales of tiny cars, especially the new Smart car are exploding.
There is a year-long waiting list in the U.S., and contrary to the company’s original thought, only 5 percent of buyers are going for the cheap base model instead opting for the more luxury finishes, says BusinessWeek.
If a small car can become a status symbol in the U.S., surely one also can in the land of the bicycle.
Marketers should be looking to tout the luxury touches and uniqueness of autos, or other products in China - not necessarily the cost and tax benefits - especially in face-giving product categories.
And although we humans are contradictory creatures, we still value reason.
Eventually, owning a Hummer won’t seem reasonable in China either.



