Stuart Elliott Announces the 2009 Most Memorable New Product Launch Survey Results: KFC’s Grilled Chicken Tops List

Read the Media Decoder blog post from Stuart Elliott of the New York Times here.

This year had a number of noteworthy trends, including the emergence of Migration Marketing (products encouraging trading up or down in a recessionary environment), a high occurrence of media multitasking, where most Americans watch TV and surf the Web simultaneously, as well as a continued, low recall of new product launches from the list of 50 products. Read the full release located under the tab ”2009 Results.”

Controversy Turned to Conquest: KFC Grilled Chicken

Have you tried the “unfried side?” Known for its fried chicken since 1930, Kentucky Fried Chicken now offers grilled chicken to attract new consumers who care about calories, fat grams and sodium. But the real claim to fame for the new grilled chicken is it provides all the tried and true taste of the Original recipe.

KFC declared April 27, 2009, “UNFry Day” and offered Americans a free taste of its new chicken. Oprah once again proved she could mobilize the masses by offering coupons for a free two-piece meal. On cue, more than four million hungry customers approached KFC stores only for many of them to be turned away. Faced with too much consumer demand, anger from franchise owners, and refusals from some stores to honor the coupons, KFC called off the promotion. As a peace offering, KFC offered a rain check and a free Pepsi. Advertising Age called it a “fiasco” and remarked, “KFC’s grilled-chicken launch was to be the biggest in the chain’s history. Now it might also go down as a marketing case study in what not to do.”

But KFC wasn’t about to let their grilled chicken go up in flames. They launched a huge campaign that included television commercials, print ads and online marketing promotions. A contest on MySpace offered a lifetime supply of chicken to whoever could come up with the most creative KFC commercial. KFC also created a widget called the “bucketizer” to show what your face might look like in place of the Colonel on a KFC bucket.

The so-called “worst PR nightmare in KFC’s history” turned out to be the best product launch in the brand’s history. According to KFC, 20% of the fast food market, or 220 million people tried Kentucky Grilled Chicken by July 2009, and even more compelling 85% of those consumers expressed repurchase intent. Ad Age promptly issued an apology article titled, “KFC Results Leave Ad Age With a Helping of Crow.”

Was this Grilled Chicken fiasco-turned-major marketing coup enough to make you “UNThink” KFC? Find out on December 1st if KFC has served up a winner in the 2009 Most Memorable New Product Launch Survey.

Draped in Hype: Snuggie Takes Over

 

Who could have predicted that a one- size- fits- all, “blanket with sleeves” would become the next modern day viral phenomenon? The Snuggie has become one of the biggest pop-culture hits this year – from fashion week to online video parodies, everyone is wrapped up in Snuggie mania. Now the Snuggie brand has expanded to include “fashionable” animal print versions, children sizes and even doggy Snoggies just in time for the 2009 holiday season.

In the first three months of Snuggie’s debut, over 4 million blankets were sold. Allstar Marketing Group spent $12.2 million in 2008 and increased the budget to $14.3 million in early 2009. “We were definitely in on the joke,” said President and CEO Scott Boilen. “Do we expect a family to wear these to a football game? No… Certain products transcend advertising and become an indelible part of popular culture.” Positioning their brand as a great value ($19.99 for two Snuggies), Allstar lets the whole family cuddle up and keep energy bills low. By tapping in on the trends of viral sensation and money saving deals, Allstar Marketing Group sold more than 5 million Snuggies by February of 2009.

The fashionable- fleece- frocks also drew attention from celebrities such as Jay Leno, who questioned, “Why don’t you just put your robe on backwards?” and Ellen DeGeneres who joked, “They should throw in a pointed hat so you can look like a wizard.” Snuggie even inspired 48 pub crawls across the nation, making it easy for everyday enthusiasts to jump on the bandwagon. You can also create a cheesy video or become one of over 24,000 fans on Facebook. Be aware : if you wear your snuggie in public, you might find yourself on SnuggieSightings.com where fans can post photos, videos and snuggie related “news.”

Wrap your arms around the warm, soft facts – the Snuggie is here to stay – and it might even snuggle up to #1 on this year’s Most Memorable New Product Launch survey.

Take a Break from the Everyday – Eat Giant Cheetos.

 

Major snack brands, like Frito-Lay are discovering creative ways to help consumers cope with the sagging economy. That is exactly what Frito-Lay did when they created the BIGGEST innovation to come out of the snack industry – Giant Cheetos.

Launched April 1, 2009 and roughly the size and shape of a golf ball, this cheesy sensation comes in both regular cheese and Flamin’ Hot flavors.  What was originally perceived as an April Fool’s Day prank was far from it. Frito-Lay hired cultural anthropologists to observe what restless workers fiddle with at their desks. The most popular object was the stress ball…and hence Giant Cheetos were born.

Hoping to lighten up “recession-obsessed” consumers, Frito-Lay ran significant amounts of print and television advertising including creating a virtual online playground encouraging adults to take a break from the everyday and have more fun at work. The website has everything from interactive video games to a custom created “Office Pinata” that can be formed in the shape of an enemy. In addition to declaring April National Humor Month, Frito-Lay offered tips on how to enjoy Giant Cheetos while unleashing the fun side.

“A historic day, indeed,” muses Chester the Cheetah in the new Giant Cheetos commercial. Will snack foods be the cure to recession woes? Probably not, but at least Giant Cheetos have provided some much needed fun and entertainment.

Making their (Accent) Mark: McCafé

 

Percolating what some experts are calling the “coffee wars,” McDonald’s is taking on Dunkin’ Donuts and Starbucks with its new line of coffee beverages that includes customizable lattes, cappuccinos and mochas.

Introduced in May, 2009 with a reported combined media spend of $100 million, McDonald’s found ways to ‘McCafé your day’ by turning your morning commute into a commuté and your cubicle into a cubiclé. In the world of McCafé something ordinary takes on a whole new caché just by adding an “é.” McDonald’s chief creative officer told Ad Age that the accent shows that there is “a wit and charm to the brand, and to the products and to McDonald’s.”

On launch day, McCafé took over YouTube’s homepage, and their first foray on this medium was so successful it helped legitimize YouTube as a premium ad space. The company also advertised heavily across TV, print, outdoor, radio, Internet, and events.

As an extra incentive for consumers, McDonalds ran a promotional contest to win a $50,000 Visa gift card and a $500 McDonald’s Arch Card, asking contestants to submit a story and photo about how McCafé improved their day. On McCafé’s own micro-site, visitors engaged in ice skating, attending the theater and making coffee art.

While Beverages make up about 5% of McDonald’s business, McCafé poses a real threat to competitors at 79 cents less than the cost of a same-sized cup of Starbucks. The sales figures back it up, with an overall 2.2% rise in August 2009 (attributed to McCafé and other new products like the Angus Burger). McDonald’s successfully capitalized on a trend in cost-conscious behavior among consumers. But long term success hinges on one question: Does a McDonald’s McCafé make your day?

Beatles: Rock Band: Experience the Music from the Inside Out

The interactive gaming world changed forever on 09/09/09 when MTV Games and Harmonix introduced Beatles: Rock Band, the first of its kind in retro rocker gaming experiences. Beatles Rock Band takes gamers on an interactive journey through the Beatles’ career from “Please Please Me” to “Abbey Road.”   Gamers can play-along on Beatles replica hardware to any of the 45 songs in the extensive catalog. “The project is a fun idea which broadens the appeal of the Beatles,” according to former Beatles member, Paul McCartney. “I like people having the opportunity to get to know the music from the inside out.”

To promote the product, Beatles: Rock Band was released simultaneously with the re-mastered Beatles catalog. Viacom spent a whopping $10 million in payouts for the rights to Beatles songs, taking a yellow submarine-sized gamble in the down economy. The marketing efforts were massive and included expensive TV spots, a co-promotion with Pepsi as well as a major cross-promotion on all of Viacom’s cable networks at 9am and 9pm on 09/09/09. Other efforts included the sale of Beatles memorabilia at a broad range of retailers, from 7-11 to Whole Foods.

Since its September release, the game has sold 595,000 copies. Revenues in the music video games category have increased 72% in the past year due to the success of both Beatles: Rock Band and Guitar Hero 5. Sales were also driven by the new replica hardware. Gamers can purchase the Rickenbacker 325 guitar, Gretsch Duo Jet guitar, Höfner Bass and Rock Band Ludwig drums, which cost around $100 each.

Viacom CEO Philip Dauman reported, “The sales have exceeded our internal expectations…In the first week we’ve sold about 25% of our inventory, and we’ve had tremendous excitement around this game.” Sales numbers and excitement of that kind are enough to give anyone “kaleidoscope eyes.”

Second Chance to Make First Impression: Microsoft Launches Windows 7

Windows Vista’s first impression with customers was simply terrible, leaving consumers begging for the older XP. So it’s an understatement to say that Microsoft had its work cut out when developing Vista’s successor. Three years later, we have Window’s 7.

Using customer feedback and “borrowing” popular features from Apple (including Mac OS X dock and touch technology), Microsoft is seeking some much needed redemption. A team of 3,000 employees have developed an array of improvements including better versions of Internet Explorer and System Restore.

For marketing, Microsoft launched a TV ad campaign six weeks ago, and did something unique: they asked consumers to host Windows 7 launch parties. Party hosts had the opportunity to explore the software weeks before it was released, and were encouraged to post blog, video and picture updates.

To promote this global event, Microsoft released a video advertisement explaining the concept of a Windows 7 launch party. Although the commercial received over one million views on YouTube, critics and bloggers wondered if the effort was intentionally awful or just poorly put together. Search Engine Watch commented, “If you create something so bad that it goes viral, is it a public relations disaster or a video marketing triumph?”

Despite the dicey launch party marketing, Windows 7 received very positive press with businesses and general consumers who expressed intent to buy. In addition, 5,000 launch party packages for Windows 7 were mailed to hosts. First impressions (Vista) and horrible marketing aside; can unique launch parties and a great product turn the tide of negativity?

What’s the best way to cope with the recession? Eat Giant Cheetos.

Major snack brands, like Frito-Lay are discovering creative ways to help consumers cope with the sagging economy. “People are looking for anything to break the negativity,” states Ann Mukherjee, marketing chief at Frito-Lay. And that is exactly what Frito-Lay did when they created the BIGGEST innovation to come out of the snack industry – Giant Cheetos.

Launched April 1, 2009 and roughly the size and shape of a golf ball, this cheesy sensation comes in both regular cheese and Flamin’ Hot flavors.  What was originally percieved as an April Fool’s Day prank was far from it. Frito-Lay hired cultural anthropologists to observe what restless workers fiddle with at their desks. The most popular object was the stress ball…and hence Giant Cheetos were born.

A company that typically markets to America’s youth, Frito-Lay shifted its focus and spent $13 million in the first 11 months of last year to bring cheesiness to working adults, compared  to the mere $8 million in 2007. Hoping to lighten up “recession-obsessed” consumers, Frito-Lay ran significant amounts of print and television advertising including creating a virtual online playground encouraging adults to take a break from the everyday and have more fun at work. The website has everything from interactive video games to a custom created “Office Pinata” that can be formed in the shape of an enemy. In addition to declaring April National Humor Month, Frito-Lay offered tips on how to enjoy Giant Cheetos while unleashing the fun side. Frito-Lay offered ideas such as; “Use plastic wrap to close off a co-worker’s cubicle.  Then, fill the cubicle up with Giant Cheetos for the cheesiest of ball pits.”

“A historic day, indeed,” muses Chester the Cheetah in the new Giant Cheetos commercial. Will snack foods be the cure to recession woes? Probably not, but at least Giant Cheetos have provided some much needed fun and entertainment.

A Liquid to Grow Lashes

In the quest for eternal beauty, many women do whatever it takes.  Whether it’s Botox, chemical peels or the latest face cream, some consumers just can’t put a price on beauty. Soon, Latisse may be  the next-best, must-have product.

The first of its kind, Latisse is approved by the FDA for the treatment of eyelash hypotrichosis, the condition which causes inadequate eyelashes. Available by prescription only, Latisse is shown to increase the length, thickness and darkness of eyelashes after applying the liquid to lashes regularly.  This product eliminated the hassle of using messy mascara (yes, you heard right, a pharmaceutical solution to eyelash envy).

Allergan has been promoting and selling Latisse for only a few months, but early projections indicate the product could pull in more than $500 million annually. Allergan, Inc. has been marketing this new product by targeting dermatologists, optometrists and plastic surgeons as well as buying ads in medical journals to establish the brand in the medical community. The company is also using public relations and advertising to educate consumers. Television commercials feature spokesperson Brooke Shields, and the Web site even features pictures of Brooke’s eyelash progression while using Latisse.  In her video diary, Shields says “Everyone” has noticed the difference in her lashes and that her expectations were exceeded.

Brooke is also involved with LATISSE^® Wishes, a charity campaign whose goal is to raise $1 million to support the Make-A-Wish foundation, which grants the wishes of children with life-threatening medical conditions. LATISSE^® Wishes kicked off with a star-studded launch party in March.

By launching Latisse with such a strong marketing campaign, Allergan is presumably hoping that women will give the product a chance and spread the word. For now, we’ll wait to see if Latisse gains approval from this demanding demographic, making it a staple in their beauty regimen. What do you think – perfect product or scary science?

Samsung Launches New LED Technology in Ultraslim TV

TV junkies, techies, gamers and film buffs everywhere are drooling over Samsung’s new line of high definition LED TVs. The TVs, introduced earlier this year, are expected to sell 10 million units by 2010. Samsung will spend more than $25 million for a US promotion deal with the NFL.

Samsung has been promoting the launch heavily, spending three times what they have on marketing in the past. This summer, they ran an international ad featuring a hummingbird, lit by glowing diodes, flying from flower to flower. The zoom out revealed the shimmering LEDs. A recent Sears ad played off quarterback Brett Favre’s infamous indecisiveness (the quarterback has retired and un-retired twice, with both decisions a lengthy saga in the press). As the store closes for the evening, Favre feigns agony while deciding which Samsung LED to buy.

Samsung is also behind a hugely successful and exceptionally creative viral campaign known as ‘extreme sheep LED art.’ They contracted with a British TV studio to make a short film involving live sheep decorated with LED lights that are herded along a hillside to create different images. One version on YouTube has almost 10,000,000 views.

Marketing aside, the big question is: what’s all the hype about? Well, LEDs (or light emitting diodes), as opposed to commonly used CCFLs (cold cathode fluorescent lamps), produce ultra-high contrast ratios (5,000,000 to 1 ratio in the best model). They also generate colored light without the use of filters for advanced color processing and brighter, truer shades, while allowing for slimmer designs. Finally, LEDs contain no mercury and create more light per watt, so they’re not only cooler, they’re greener – to the tune of 40% less power than conventional LCDs.

Extra goodies include a slim 1.2-inch design that hangs like a picture frame (with a special mounting rack), USB 2.0 and HDMI ports and wireless capability that allows users to watch content from their PC with no cables (higher end models). Pre-loaded content includes picture galleries, games, recipes – even yoga classes. Plus, Samsung is teaming with Blockbuster to allow owners access to Blockbuster’s library of digital entertainment from their living room sofa.

It’s hard to refute that Samsung is defining the leading edge with the slim design and features of the LEDs. The question for consumers is whether the extra features and picture quality are worth the price, which contrasts with LCDs by as much as $1,000. Choreographed sheep art, slim design and crazy-good picture quality are enough to stoke excitement – but are they enough to put you out an extra $1,000? Let us know what you think.