Netflix just reported its half year earnings to analysts. Wall Street’s reactions were typical. After the initial knee jerk punishing of Netflix’s stock because Netflix did not capture enough subscribers, Wall Street, its analysts and media talking-heads focused on Netflix’ positive news regarding operating margins, free cash flow and operating profits.
Heavy users and advocates play important roles in marketing as they can help companies to reach new customer targets, increase brand awareness and loyalty, and drive sales. But you have to know them to love them, so here’s a closer look at their roles:
Marketers and market driven organizations have long had a strong appreciation for the value of brands. Jim Mullin, Scottish businessman and CEO of Reach, PLC, expressed this value well: “Of all the things that your company owns, brands are far and away the most important and the toughest. Founders die. Factories burn down. Machinery wears out. Inventories get depleted. Technology becomes obsolete. Brand loyalty is the only sound foundation on which business leaders can build...
CEO’s letters to shareholders that accompany annual reports of the firm almost always address to two things: cash flow and plans for growth. Cash flow is a measure of the firm’s current profitability and plans for growth address future cash flow. Strong cash flow and credible plans for growth are key indicators of the health of a business and, by inference, the success of the CEO. The implication for the marketing function is clear, develop...
Brand growth is a key business challenge. Research, such as the double jeopardy revealed by Jenni Romaniuk and Byron Sharp in their follow up book, How Brands Grow Part 2, explains why big brands are and stay big: they don’t just have a larger customer base than small brands do, customers also buy them more frequently than they do small brands (‘Double Jeopardy’).
