Are Brand Extensions Worth the Risk?

Welcome to Nerd Alert, a series of special episodes bridging the gap between marketing academia and practitioners. We’re breaking down highly involved, complex research into plain language and takeaways any marketer can use.In this episode, Elena and Rob explore how a brand's customer age profile impacts its success. They discuss why attracting both young and old consumers is crucial for long-term growth and stability.Topics covered:   [00:55] "Ageism Kills Brands"[01:55] New brands attract younger buyers[04:15] Why young-only appeal can lead to failure[05:25] Dead brands skew younger[06:20] The importance of age-diverse customers[07:50] Examples of age-transcendent products  To learn more, visit marketingarchitects.com/podcast  Resources: Anesbury, Z. W., Bellman, S., Driesener, C., & Page, B. (2021). Ageism Kills Brands. Australasian Marketing Journal, *29*(4), 350-365. https://doi.org/10.1177/18393349211017316   Get more research-backed marketing strategies by subscribing to The Marketing Architects on Apple Podcasts, Spotify, or wherever you listen to podcasts. 

90% of buyers choose from their initial shortlist of vendors. How can marketers ensure their brand makes it to that list?This week, Elena, Angela, and Rob are joined by Jason Ing, CMO of Gusto, to discuss timeless marketing principles that work across B2B and B2C. Jason shares insights from his experience at P&G, Microsoft, Amazon, and now Gusto on building distinctive brands, measuring marketing effectiveness, and creating customer-centric campaigns that drive growth.Topics covered: [01:00] Differences between B2B and B2C marketing[09:00] The role of marketing at Gusto[11:30] Measuring marketing impact and effectiveness[15:45] Balancing traditional and digital media investments[23:30] Three key marketing principles: customer centricity, strategy, and psychology[34:00] Translating marketing research for non-marketers[38:30] Most contrarian marketing opinion[42:00] Best and worst marketing decisions  To learn more, visit marketingarchitects.com/podcast or subscribe to our newsletter at marketingarchitects.com/newsletter.  Resources: MarketingWeek Article: https://www.marketingweek.com/ritson-applicable-b2b-marketing/ Get more research-backed marketing strategies by subscribing to The Marketing Architects on Apple Podcasts, Spotify, or wherever you listen to podcasts. 

Welcome to Nerd Alert, a series of special episodes bridging the gap between marketing academia and practitioners. We’re breaking down highly involved, complex research into plain language and takeaways any marketer can use.In this episode, Elena and Rob explore research challenging the common belief that focusing on heavy buyers is key to driving sales. They discuss how light buyers and non-buyers often hold the most untapped potential for brand growth.Topics covered:   [00:45] "Where is the Brand Growth Potential? An Examination of Buyer Groups"[01:00] Converting light buyers to regular customers[02:15] Breaking down growth potential across buyer groups[03:00] Why light buyers and non-buyers offer more growth opportunity[03:50] Challenging the "retention is cheaper than acquisition" mindset[04:45] Applying findings to real-world brand strategies  To learn more, visit marketingarchitects.com/podcast  Resources: Trinh, G.T., Dawes, J. & Sharp, B. Where is the brand growth potential? An examination of buyer groups. Mark Lett 35, 95–106 (2024). https://doi.org/10.1007/s11002-023-09682-7  Get more research-backed marketing strategies by subscribing to The Marketing Architects on Apple Podcasts, Spotify, or wherever you listen to podcasts. 

Is marketing truly intuitive, or should it be treated more like a science? Are American marketers falling behind their global counterparts? And why do so many marketers misinterpret the data they collect?This week, Elena, Angela, and Rob are joined by Byron Sharp, professor of marketing science and director of the Ehrenberg-Bass Institute. They explore evidence-based marketing, challenge common misconceptions, and discuss why many marketing practices aren't as effective as we think. Plus, learn why TV advertising remains a powerful tool for building mental availability and why it's a mistake to expect immediate sales results from brand-building efforts.Topics covered: [03:00] The problem with marketing effectiveness metrics[07:30] How Brands Grow and its impact on marketing[11:30] Why luxury brands follow the same rules as mass-market brands[16:00] The current state of marketing research[22:00] American marketing's reputation for insularity[25:30] The future of TV advertising and streaming[28:00] Mental vs physical availability in marketing To learn more, visit marketingarchitects.com/podcast or subscribe to our newsletter at marketingarchitects.com/newsletter. Resources: How Brands Grow by Byron Sharp: https://www.amazon.com/How-Brands-Grow-What-Marketers/dp/0195573560Get more research-backed marketing strategies by subscribing to The Marketing Architects Podcast on Apple Podcasts, Spotify, or wherever you listen to podcasts. 

Welcome to Nerd Alert, a series of special episodes bridging the gap between marketing academia and practitioners. We’re breaking down highly involved, complex research into plain language and takeaways any marketer can use.In this episode, Elena and Rob explore how sophisticated advertising algorithms can skew A/B test results, potentially leading marketers to draw misleading conclusions about ad performance.Topics covered:   [00:45] "Where A-B Testing Goes Wrong”[02:00] Divergent delivery in online advertising platforms[03:00] How user types and targeting policies impact tests[04:10] Pizza party analogy explaining divergent delivery[05:40] Marketing Architects' approach to testing[06:50] Using synthetic audiences for more controlled testing To learn more, visit marketingarchitects.com/podcast  Resources: Braun, M., & Schwartz, E. M. (2024). Where A-B Testing Goes Wrong: How Divergent Delivery Affects What Online Experiments Cannot (and Can) Tell You About How Customers Respond to Advertising. Journal of Marketing.  Get more research-backed marketing strategies by subscribing to The Marketing Architects on Apple Podcasts, Spotify, or wherever you listen to podcasts. 

Only 61% of marketing metrics tracked are meaningful to business, brand, and performance. The rest? Vanity metrics. What happens when marketers focus on the wrong numbers?This week, Elena’s joined by VP Analytics Matt Hultgren to discuss the perils of marketing misattribution. They explore how overvaluing certain metrics can lead to wasted budgets and misguided strategies. Matt shares insights on identifying misattribution, its consequences, and practical steps to improve measurement accuracy. Plus, learn why having your own measurement solution is crucial and why you should be skeptical of any single model claiming to definitively prove marketing’s impact. Topics covered: [01:00] Key findings from DMA study on marketing effectiveness metrics[04:30] Common signs of marketing misattribution[07:00] Frequently misattributed metrics and attribution tricks[10:00] Long-term consequences of relying on incorrect metrics[12:00] Steps to measure the right KPIs and avoid misattribution[19:00] Practical tips for marketers with limited budgets To learn more, visit marketingarchitects.com/podcast or subscribe to our newsletter at marketingarchitects.com/newsletter.  Resources:  2023 Marketing Week Article: https://www.marketingweek.com/wrong-effectiveness-metrics-focus/Get more research-backed marketing strategies by subscribing to The Marketing Architects on Apple Podcasts, Spotify, or wherever you listen to podcasts. 

Welcome to Nerd Alert, a series of special episodes bridging the gap between marketing academia and practitioners. We’re breaking down highly involved, complex research into plain language and takeaways any marketer can use.In this episode, Elena and Rob explore how the content of TV shows influences viewer perceptions of advertisements. They discuss new research on the "halo effect," and its implications for ad effectiveness across different TV genres.Topics covered:   [01:00] "The Influence of Television Content on Advertisement: A Neurophysiological Study" [03:15] Defining the halo effect in TV advertising[04:20] Impact of high-quality programs on ad perception[05:45] Ranking TV genres by brand value transfer[07:10] How different show types impact brand associations[08:50] The importance of engaging ads regardless of content  To learn more, visit marketingarchitects.com/podcast  Resources: Frontiers in Psychology. (2024, February 1). The influence of television content on advertisement: A neurophysiological study. *Media Psychology*, 15. https://doi.org/10.3389/fpsyg.2024.1266906   Get more research-backed marketing strategies by subscribing to The Marketing Architects on Apple Podcasts, Spotify, or wherever you listen to podcasts. 

95% of iOS users opt out of ad tracking. A judge ruled Google acted illegally to maintain its search monopoly. And the company backtracked on plans to eliminate third-party cookies... A lot is happening in the world of search.This week, Elena, Angela, and Rob explore the changing landscape of search marketing. They discuss Google's evolving role, the effectiveness of targeting strategies, and how AI chatbots are reshaping search behavior. Learn how to prepare your brand for a future where consumers increasingly bypass traditional search engines in this week’s episode.Topics covered: [0:47] Google's decision on third-party cookies[4:45] Targeting effectiveness: first-party data vs third-party cookies[11:00] Impact of the recent antitrust ruling against Google[14:47] The state of paid search advertising[20:23] How AI chatbots are changing search behavior[22:01] Strategies to prepare for the future of search To learn more, visit marketingarchitects.com/podcast or subscribe to our newsletter at marketingarchitects.com/newsletter. Resources: 2023 New York Times Article: https://www.nytimes.com/2023/09/12/technology/google-antitrust-ruling.htmlGet more research-backed marketing strategies by subscribing to The Marketing Architects on Apple Podcasts, Spotify, or wherever you listen to podcasts.

Welcome to Nerd Alert, a series of special episodes bridging the gap between marketing academia and practitioners. We're breaking down highly involved, complex research into plain language and takeaways any marketer can use.In this episode, Elena and Rob explore recent data on CMO tenure, revealing that the role may be more stable than commonly perceived. They discuss surprising statistics about tenure length, differences between B2B and B2C brands, and career progression for CMOs.Topics covered: [00:55] "The CMO Tenure Study 2024: An Expanded View of CMO Tenure and Background"[02:00] Average CMO tenure at Fortune 500 companies[03:20] The differences between B2B and B2C brand CMOs[04:55] Expanded responsibilities of modern CMOs[05:35] Career progression for CMOs after leaving roles[06:45] Diversity statistics for CMO positions To learn more, visit marketingarchitects.com/podcast  Resources: Spencer Stuart. (2024). *CMO Tenure Study 2024: An Expanded View of CMO Tenure and Background*. Retrieved from https://www.spencerstuart.com/research-and-insight/cmo-tenure-study-2024-an-expanded-view-of-cmo-tenure-and-background   Get more research-backed marketing strategies by subscribing to The Marketing Architects on Apple Podcasts, Spotify, or wherever you listen to podcasts.  

Brand extensions gain an average of 8.3% more market share and have 8.7% lower advertising costs compared to new brands entering a category. But they also come with risks. This week, Elena, Angela, and Rob explore the world of brand extensions. They discuss research on what makes extensions succeed or fail, share examples of extensions gone right (and very wrong), and debate whether Dyson's new headphones are genius or folly. Plus, learn why Lego might be the greatest brand extension success story of all time. Topics covered: [01:00] Dyson's extension into headphones[04:00] Research on brand extension success factors[09:00] Uber's expansion into food delivery[15:45] BIC's failed disposable underwear line[19:30] Lego's empire of successful extensions[23:00] Harley-Davidson's ill-fated perfume launch[26:30] Dove's expansion from women's to men's products[27:30] Evian's bizarre water bra product To learn more, visit marketingarchitects.com/podcast or subscribe to our newsletter at marketingarchitects.com/newsletter. Resources:International Business & Economics Research Journal Article: https://www.researchgate.net/publication/265222329_Brand_Extensions_A_Qualitative_Meta-Analysis_Of_20_Years_Of_Marketing_Research/fulltext/5485c1130cf2ef344787c30c/Brand-Extensions-A-Qualitative-Meta-Analysis-Of-20-Years-Of-Marketing-Research.pdf Get more research-backed marketing strategies by subscribing to The Marketing Architects on Apple Podcasts, Spotify, or wherever you listen to podcasts.