CMO Magazine Reports Message of Reassurance Key to Doing Business in Age of Anxiety

Framingham, MA – December 1, 2004 – In its December issue, IDG’s CMO magazine examines the softer side of marketing in its cover story, The Soothe Sayers, revealing the secrets of gaining consumer trust in an increasingly cynical world. In the same issue, CMO reports on stealth marketing, detailing the often controversial techniques employed by guerilla marketing firms. Editors also unveil how Internet searches are serious business for CMOs (chief marketing officers) in the know, and spotlights JetBlue’s latest marketing strategy: in-flight yoga.

ISSUE HIGHLIGHTS

Cover Story: Soothe Sayers – Marketing in the Age of Anxiety

For decades, MasterCard tracked what consumers think signifies success and accomplishment. From the ’70s through the mid-’90s, people generally put faith in that old “whoever-dies-with-the-most-toys-wins” ethos. Then, during the dotcom bubble, MasterCard noted a growing emphasis on quality-of-life factors, a trend that spiked after 9/11. CMO senior writer Constantine von Hoffman explores the fall of materialism with senior marketing executives including Lawrence Flanagan, executive vice president and CMO for MasterCard. “Rather than drive a fancy car or stay in fancy places, [materialism] was being replaced by things such as having a good family life or having the time to do the things they really want to do,” says Flanagan. “There is just so much going on with people these days that they really are focusing more on the things they can control around their own personal relationships and their own time.” The basic mission of marketing, of course, never really changes: It’s companies telling customers they’ve’ got what they want. But now, whatever companies are selling, they’d be wise to give customers something that goods or services rarely provide: a sense of stability in an unstable world.

Under the Radar

CMO correspondent Deborah Branscum goes covert in this revealing examination of the sometimes controversial world of stealth or guerilla marketing, where the name of the game is to increase the bottom line without crossing it. “Most of our clients are loathe to discuss the work we do for them, because they don’t want their competitors to know about it,” says Tom Dugan, president of NewGate Internet, which specializes in Internet grassroots marketing. Then again, it’s also possible that Dugan’s clients don’t want to admit they’re paying for chatty postings in Internet forums—the kind that NewGate and similar agencies organize to look like the thousands of casual recommendations swapped daily by forum enthusiasts. After all, it’s hard to sneak up on consumers if they see you coming…

High-Stakes Search

Paid-search initiatives, in which companies bid to sponsor the results of specific Internet search phrases or keywords—and pay the search engine provider for each click-through—are now the mainstay of online marketing budgets. Companies that began paid-search campaigns a year ago with only a handful of keywords are juggling tens of thousands of words and phrases daily. The ability to zero in on target customers at such a potentially crucial point has led marketers to ante up billions of dollars for tools and services they hope will improve their odds of winning. Search is gobbling up a far bigger piece of companies’ online advertising budgets, accounting for 40% of the $2.37 billion spent on online advertising in the second quarter of 2004, up from 29% during the same quarter in 2003, according to a recent report. Experts predict spending on paid search alone will pass the $3 billion mark next year. CMO correspondent Beth Stackpole examines the big business of Internet search engines and reveals how even tech-phobic CMOs, when consistent, can come out on top.

Buzz: Coffee, Tea, or Yoga?

Continuing its coverage on hot and notable marketing trends, CMO magazine reports on new innovations and some seemly offbeat concepts including:

•In-Flight Yoga: JetBlue, the popular startup airline, known for its free satellite television, partnered with Crunch Fitness International, the gym fitness franchise known for classes such as “Booty Sculpt,” to start an in-flight fitness program. CMO contributor Meg Mitchell gets physical with the facts as she looks into the breaking trend of airline fitness. The buzz continues with a report on the behemoth fitness chain 24 Hour Fitness, which runs a 14,000-square-foot gym at Las Vegas’s McCarran airport, complete with a full selection of exercise equipment and first-class area to check flight information on computer terminals once their workouts are complete.

About CMO

Launched in 2004, CMO magazine and its companion website (www.CMOmagazine.com) provide chief marketing officers (CMOs) with high-level, strategic information to better manage and integrate the marketing profession’s diverse portfolio of disciplines. In today’s ultra-competitive, real-time marketing economy, the magazine offers its executive readership a mix of practitioner-focused features, horizon thinking, useful tools and practical advice. Through CMO magazine, 25,000 CMOs and other marketing executives gain a better understanding of the role information technology plays in managing customer relationships, increasing market share, and measuring and justifying return on investment. The magazine and its online resource cater exclusively to the unique needs of executive marketers in medium- to large-size organizations, across all industries. CMO magazine and CMOmagazine.com are produced by International Data Group’s award-winning business unit: CXO Media Inc.

About CXO Media Inc.

CXO Media Inc. produces award-winning media properties and executive programs for corporate officers who use technology to thrive and prosper in this new era of business, including CIO, CMO, CSO magazines and websites, Darwinmag.com and the CIO Executive Council. CXO Media is a subsidiary of International Data Group (IDG), the world's leading technology media, research and event company. A privately-held company, IDG publishes more than 300 magazines and newspapers including Bio-IT World, CIO, CSO, Computerworld, GamePro, InfoWorld, Network World, and PC World. The company features the largest network of technology-specific websites with more than 400 around the world. IDG is also a leading producer of more than 170 computer-related events worldwide including LinuxWorld Conference & Expo®, Macworld Conference & Expo®, DEMO®, and IDC Directions. IDC provides global market research and advice through offices in 50 countries. Company information is available at http://www.idg.com.

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