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The Professional Student: “Greatest Marketing Campaigns” Magazine Advertisement Analysis

Hello, everyone, and welcome back to The Professional Student! This week, graduate students at Western Carolina University were challenged to analyze five magazine advertisements, keeping with the theme from the greatest marketing campaigns assignment. 

As I have posted previously, I will list the deliverables below for the analysis in case you’re just joining me for the first time.

The deliverables are composed of 5 different sections listed in the following order (Lahm & Lockwood, 2022):

  1. Describe the advertisement by product/service, company, brand, etc., and the focus. What was the appeal or technique that was used to evoke an emotional response? Include a link to the ad selected.
  2. What were the objectives of the campaign? To sell more? To inform customers about a new product feature? Were the objectives attainable and measurable, or were they time-specific? 
  3. Describe the target market that was the focus of the advertisement.
  4. What action does the advertisement want the audience to take? If action is taken, how will the audience member benefit from using the product? 
  5. Describe the value proposition of the product or service being offered in each advertisement. What are the specific reasons (product features and benefits) that would drive customers to purchase the product or service being sold in each advertisement? 

1. Old Spice: Smell like A Man, Man Advertising Campaign

The Smell Like a Man, Man magazine advertisement features old spice deodorant, body wash, and body spray with a beautiful background featuring the beach and ocean. The advertisement can be seen below.

https://www.strategian.in/post/case-study-on-old-spice-smell-like-a-man-man-campaign

A white horse is leaning into the display of hygiene products with a man sitting on his back. The man is shirtless in a pair of rolled-up jeans, tan boat shoes, and a matching tan belt, and his shirt is tied around his neck in a preppy manner like he is about to play a round of tennis. He has one hand on his hip, and the other is flat with his palm facing up, holding a bottle of body spray. His head is slightly tilted with a smirk and one slightly raised eyebrow to draw the viewer in. He is looking at you, and it is hilarious! His face is funny, and the notion of a man dressed the way he is dressed galloping about the beach with body spray on his palm like a serving tray full of drinks. The Old Spice Boat is displayed on the top right with the words “Old Spice” below it in classic Old Spice red. Under that, there is “SMELL LIKE A MAN, MAN.” 

Old Spice is owned by Proctor & Gamble, as I have previously discussed in the radio campaign advertisement blog. The consumer the advertisement is targeting is men who want to smell like a man, man! What’s the value proposition? Smelling like a man, of course! The objective of the advertisement is to sell a combination of Old Spice products. Interestingly enough, as I was reading about this campaign further, I discovered the reason behind this advertising was to encourage men to buy Old Spice products without taking away the fact that women enjoy using Old Spice products as well. 

This advertisement campaign ran from 2009-10, and according to an article in the New York Times, Old Spice spent $7.5 million advertising body wash in 2009, well under the $30 million spent by Axe body wash. However, in 2010, Old Spice was more aggressive than Axe and spent $11.4 million in the first quarter, whereas Axe only spent $3.6 million (Newman, 2010).

2. Nissan’s “Stay Home” COVID-19 Advertising Campaign

The second advertisement that I’ve chosen to look at is from Nissan, a popular Japanese vehicle manufacturer. Nissan serves many global markets, including Egypt, where this campaign was published. I really enjoyed looking at the two magazine advertisements that are shown in the link below.

https://www.adsoftheworld.com/campaigns/stay-home-8b153c9b-c5ac-4393-abdc-5a718cc8a38c

The first one has a Nissan symbol with a red backdrop. Below the symbol, the words “Innovation that excites” appear. Next is another display of words, “A safety Driven Lifestyle (value proposition). .” Below that is a vehicle bench seat displayed and set up like a living room space, complete with a floor lamp, table, and a house plant. To the right of the car seat couch, the words “Staying home with your family will save your life.” 

This was a very responsible and smart move for Nissan, and this advertisement would have served well in other markets outside of Egypt during a time of uncertainty. The use of the hashtag was also smart, as it highlights the widespread use of hashtags across several social media platforms. Hashtags place posts in related categories that pop up when users search for specific information. Using that particular hashtag could take people directly to Nissan’s social media posts or posts by users regarding Nissan. 

It wouldn’t be outrageous to think that most people who purchase vehicles value safety, especially a family vehicle where their loved ones will be passengers. Using the staying safe theme to highlight the safety of Nissan vehicles and the safety of staying home during the pandemic was smart. Nissan is demonstrating care and compassion while advertising its cars. I thought it was brilliant to use one of their vehicle bench seats in the same fashion as a couch in a living room. It looks warm and inviting, so Nissan’s are also safe, warm, innovative, exciting, and inviting!  A lot has been communicated in a straightforward ad, which I love.

The second advertisement is set up the same way with a few differences. Instead of a bench seat, there is a luxurious leather power bucket seat, almost recliner-like, complete with a gold side table, a vase of flowers, a reading book, a tall houseplant, and a beautiful light fixture hanging above it. The words “Enjoying the comfort of your home will save your life.” 

The same messages are being communicated, but I think both ads target two very different clients. In advertisement one, the bench seat is basic and made from cloth. Generally, cloth seating is more affordable than leather seating. The second advertisement seems more luxurious and aimed at customers who value luxury and comfort over practicality and price. It’s like looking at a base model vehicle versus the top-of-the-line trim level. 

In advertisement one, the target market is families or people looking for safety and practicality. In advertisement two, the target market is older people or people with more disposable income who value comfort and luxury. It doesn’t matter if you choose a base model or a top-of-the-line model because both will deliver innovation that excites a safety-driven lifestyle. 

Looking at Nissan’s financial data, sales in 2018 were strong at over 11 million Japanese yen. 2019 sales dipped slightly to just under $10 million Japanese yen. In 2020, sales dipped further to just under 8 million Japanese yen and have been going back up. In 2022, sales were at just above 10.5 million Japanese yen, which is almost on par with 2018 (Carlier, 2023). Looking at the amount spent on advertising, the numbers are very low compared to revenue (not bad). In 2018, Nissan spent just over 300,000 Japanese yen. The number continues to decline, and in 2020, Nissan spent 232,534 Japanese yen. In 2020, numbers were almost on par with what was spent in 2018, at 283,505 Japanese yen (Statista Research Department, 2023). I can see the correlation between what Nissan has spent on advertising and that year’s revenue. Of course, we have to take into account the pandemic and pandemic recovery, especially regarding the auto industry, as there were supply chain issues with microchips.

3. McDonald’s McMobile Advertising Campaign 

The McDonald’s McMobile campaign was targeted in North America and Canada, as the advertising agency was based in Montreal, Canada. A link for the advertisements is below.

https://www.adsoftheworld.com/campaigns/mcmobile

I found this advertisement to be simple yet effective. It was to the point, and I automatically understood what was being communicated. I had no particular feelings about the ad, but I don’t eat at McDonald’s. Displayed on the top right-hand corner of the advertisement are the classic McDonald’s golden arches with the words “Download. Order. Enjoy.” displayed. There is a burly background, and a woman holds her phone horizontally as if to take a photo. On her screen is a ham, cheese, and egg McMuffin. Similar images include a McCafe and a classic quarter-pounder. 

The value proposition is simple. Download the McDonald’s app, order, and enjoy your food. The target customer would be folks on the go who don’t want to deal with the time it takes to order and wait for food in person. This advertisement campaign was released in 2020, and McDonald’s grossed $19.21 billion globally, less than the previous year (Statista Research Department, 2024). There is nothing odd about the numbers because of the COVID-19 pandemic. McDonald’s spent over 650 million dollars on advertisements in 2020 globally (Statista Research Department, 2024).

4. Febreze Odor Chart Advertising Campaign

Nobody likes a bad smell, and Febreze is in the business of smelling good! This advertising campaign was released in Turkey, but it could have been successful anywhere as it is easy to understand and cleverly designed to represent a pie graph using smelly foods. Here is a link to the campaign. Like Old Spice, Febreze is owned by Proctor & Gamble.

https://www.adsoftheworld.com/campaigns/odor-chart

Three different advertisements are featured, all with Febreze Air in Ocean Mist. Advertisement one features a moldy wheel of cheese with a slice missing from it. Next to the mold wheel of cheese pie chart, a statistic states, “Bad odor makes it 84% harder to remember our memories.” As a chef, I appreciate this statement as it has been proven that smells can trigger memories. Nobody wants a bad or unpleasant memory triggered by a bad smell. 

In the second version of this advertisement, a red onion pie chart is featured, with the statistic “60% of the people who are exposed to bad odor has bad mood.” I don’t like to smell bad things, but I’m unsure about the truth regarding this. There are some grammatical errors, however. The “%” symbol is displayed on the wrong side of the number, and the “has” should have been “have a bad mood.” I’m not nitpicking, as this advertisement was in another country, but I noticed it. I completely understand how difficult it is to write in a foreign language and make an advertising campaign. I certainly could not make a Turkish advertisement. 

The last advertisement features a slice of a boiled egg pie chart with the statistic, “People stay up to 80% shorter on average in places with bad odor.” If your house stinks, your guests won’t want to be there. I like Febreze, and I think it has uses mainly in the bathroom as an after-spray deodorizer because it doesn’t matter how much you spray. If your home needs cleaning, no amount of Febreze can cover that up. Just clean your house! Most people don’t just slap on some deodorant daily without washing their pits, and if you do, that’s on you, but it isn’t going to be me! 

Some of the statistics made me laugh, and the use of stinky foods in the form of a pie chart was creative. The value proposition is clear: Febreze eliminates foul odors (to a point). Who is the target market? Anyone, I think, unless you’re scent-sensitive or allergic to strong smells. I also like the bright colors, as they grabbed my attention. The advertisements were simple and effective, which is something that I appreciate. 

I’ve discussed the financials of Proctor & Gamble in previous blog posts, so I will skip it and dive into something different. I’m curious to know how many brands that Proctor & Gamble owns. Proctor & Gamble is the 4th largest corporation in the world by market capitalization, and it’s Fortune’s 6th most admired company. Proctor & Gamble serves over 5 billion people globally with its brands (MMA, 2024). According to Levine (2024), “Proctor & Gamble is a leading consumer staple company with 80 brands.”

5. World of Wildlife Foundation “Love it or lose it” Campaign

The final series of magazine advertisements I will look at are from the World of Wildlife Foundation. The WWF is a non-profit dedicated to wildlife conservation and endangered species. Here is a link to their homepage to learn more.

https://www.worldwildlife.org

Here is a link to the “Love it or lose it” campaign.

https://www.worldwildlife.org/pages/public-service-advertisements-psa

The Love It or Lose It campaign features several images, but the theme is clear: if we don’t love it, we will lose it. There is a billboard featuring a woman drinking water, and below the words, “Time is running out to protect our freshwater. Act now. Below that is a honeybee pollinating a flower with the words, “Time is running out to protect our food system. Act now. The theme continues with glaciers melting, endangered tigers, and forests. 

This series makes me sad because it’s true. All people have a responsibility to the environment in which we live on Earth. A lot is destroyed for the benefit of people, and it is unfortunate. Little things can make significant differences, like recycling, eliminating plastics, taking a shorter shower, organic gardening, renewable energy, etc. I think this is the value proposition. It’s the “Act now” aspect of the campaign. The target audience is everyone, as we are all responsible for doing our part to reduce carbon footprints. 

According to the World Wildlife Foundation, 85% of WWF spending is on worldwide conservation. Since WWF is a non-profit, all of its financial information is available below on its website. 

https://www.worldwildlife.org/about/financials#:~:text=All%20told%2C%20WWF’s%20net%20assets,pressing%20needs%20our%20planet%20faces.

Total revenues in 2023 amounted to 469,953,556 million dollars, and total expenses were 454,544,058 million. Regarding expenses, the amount spent on advertising was not explicitly listed. I saw their audit for 2022, which included 8,613,526 million dollars in advertising expenses. Revenues were slightly less in 2023 than in 2022, so I am guessing that advertising was around the same or slightly less. 

The audit can be found below.

https://files.worldwildlife.org/wwfcmsprod/files/FinancialReport/file/wvsz4ctol_2023_World_Wildlife_Fund_Inc_SF_CFS.pdf?_ga=2.56794538.1415699859.1713125081-1843126818.1713125079

Thank you for taking the time to stop by The Professional Student. Please remember to comment or ask questions. Thank you, and I hope everyone enjoyed this analysis! 

References

Akhtar, S. (2022, June 15). Case study on old spice “smell like a man, man” campaign. Strategian. https://www.strategian.in/post/case-study-on-old-spice-smell-like-a-man-man-campaign

Carlier, M. (2023, August 29). Nissan: Total net sales. Statista. https://www.statista.com/statistics/314849/total-net-revenues-of-nissan/ 

Febreze: Odor Chart • ADS of the WorldTM: Part of the Clio network. Ads of the WorldTM. (n.d.-a). https://www.adsoftheworld.com/campaigns/odor-chart 

Funding and financial overview | WWF. (n.d.-a). https://www.worldwildlife.org/about/financials 

Levine, S. (n.d.). What companies does Procter & Gamble Own?. The Motley Fool. https://www.fool.com/investing/how-to-invest/stocks/what-does-procter-and-gamble-own/

Lahm, R., Lockwood, F. (2022). ENT 610 Entrepreneurial Creation. Master of Entrepreneurship Degree Program: “Greatest Marketing Campaigns” Analysis. https://www.canvas.com

McDonald’s: Mcmobile • ADS OF THE WORLDTM: Part of the clio network. Ads of the WorldTM. (n.d.-b). https://www.adsoftheworld.com/campaigns/mcmobile 

Newman, A. A. (2010, July 15). Old spice argues that real men smell good. The New York Times. https://www.nytimes.com/2010/07/16/business/media/16adco.html# 

Nissan: Stay home • ADS OF THE WORLDTM: Part of the clio network. Ads of the WorldTM. (n.d.-c). https://www.adsoftheworld.com/campaigns/stay-home-8b153c9b-c5ac-4393-abdc-5a718cc8a38c

Procter & Gamble. MMA Global. (n.d.). https://www.mmaglobal.com/members/procter-gamble#:~:text=As%20the%20world’s%20largest%20multinational,the%20world%20with%20its%20brands.

Public service advertisements (PSA) | pages | WWF. (n.d.-b). https://www.worldwildlife.org/pages/public-service-advertisements-psa 

Statista Research Department. (2023, September 13). Nissan ad spend 2023. Statista. https://www.statista.com/statistics/1412701/nissan-motor-advertising-spending/ 

Statista Research Department. (2024, March 19). McDonald’s revenue 2023. Statista. https://www.statista.com/statistics/208917/revenue-of-the-mcdonalds-corporation-since-2005/

Statista Research Department. (n.d.). 

WWF – endangered species conservation | world wildlife fund. (n.d.-c). https://www.worldwildlife.org/ 

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The Professional Student: “Greatest Marketing Campaigns”Newsprint Advertisement Analysis

This week, WCU graduate students studying innovative leadership and entrepreneurship are diving into newsprint advertisement analyses. If you’ve missed my previous analyses, I’ll post the criteria below.  

The deliverables for the assignment analysis are composed into 5 different sections listed in the following order (Lahm & Lockwood, 2022):

  1. Describe the advertisement by product/service, company, brand, etc., and the focus. What was the appeal or technique that was used to evoke an emotional response? Include a link to the ad selected.
  2. What were the objectives of the campaign? To sell more? To inform customers about a new product feature? Were the objectives attainable and measurable, or were they time-specific? 
  3. Describe the target market that was the focus of the advertisement.
  4. What action does the advertisement want the audience to take? If action is taken, how will the audience member benefit from using the product? 
  5. Describe the value proposition of the product or service being offered in each advertisement. What are the specific reasons (product features and benefits) that would drive customers to purchase the product or service being sold in each advertisement?

1. “We Can Do It,” 1942

The first newsprint advertisement I want to explore is a popular and well-known one that has resurfaced countless times since it was first produced during World War II. I’m referring to the “We Can Do It! Rosie the Riveter” poster. I’m not sure if this counts as a newsprint advertisement, as it’s a poster, but it is iconic and something I’ve always been attracted to. Here is a link to the famous war-time poster below:

https://www.loc.gov/item/2021669753

The poster, produced by Westinghouse during World War II, was part of a national campaign in the United States. There was a labor shortage in jobs that men traditionally filled due to the war. The campaign aimed to recruit women into the workforce (value proposition) to fill vacant jobs during a time when women were traditionally running households or limited to the types of jobs that were “acceptable.” The jobs that needed to be filled were in the defense industries, civilian service, and the armed forces. These campaigns were very encouraging, especially for women who had never had a job, to join up and contribute their part during the war (Library of Congress, 2024).

The poster depicts Rosie the Riveter all done up with a full face of makeup, wearing what appears to be a mechanic’s or flight uniform, with her hair pulled up in a red polka-dot scarf while flexing her arm muscles. Her face, while glamorous, looks focused and fierce. She looks strong and ready to take the world on. Looking at the poster makes me feel motivated and reminds me that we can all do jobs and take on new tasks, regardless of who traditionally does them. The yellow and blue background makes her pop and stand out. It almost reminds me of Mr. Clean for some reason. Later, tools, lunch boxes, and different war work uniforms were incorporated into revised images. 

The image has continued to resurface over time, representing women’s rights. Rosie the Riveter has been identified as Naomi Parker, who was working in a machine shop at a Naval Air Station in Alameda, California when her photo was snapped by a photographer sent to a photo agency and later became the face of the campaign. She even had heels on with her jumpsuit, working at an industrial machine. Naomi wasn’t officially recognized until 2016 and passed at 96 on January 20, 2018 (Pruit, 2023).

2. “Brad Is Single,” Norwegian Airlines- 2017

The second newsprint advertisement I’ve picked is modern and won a Cleo award in 2017. Norwegian Airlines took advantage of the very public split up of “Brangelina,” Brad Pitt and Angelina Jolie. In this advertisement, in big white letters on a bright red background, there is an announcement that “Brad is single,” and one-way tickets to fly to Los Angeles start at $169 British pounds, including taxes. I find this to be hilarious, and it makes me laugh. The advertisement can be seen below here: 

https://clios.com/awards/winner/print/norwegian-airline/brad-is-single-21503

The value proposition is a cheap flight to Los Angeles. Go travel, see the stars of Hollywood, and maybe even bump into the freshly single Brad Pitt! I mean, it’s not Las Vegas, but anything can happen, right? 

I could not find specific advertising budgets for Norwegian Airlines, but I did find the 2017 financial data that they released. According to Norwegian Airline Reports (2018), they experienced a net loss of 22.7 million British pounds due to increased fuel prices, wet lease, and passenger care. Total revenue was 2.8 billion British pounds, a 19% increase, with 33 million passengers that chose to fly with them in 2017, an 18% increase.

3. “Late Breakfast,” Burger King- 2024

The third advertisement I’ve chosen is “Late Breakfast” from Burger King. This print advertisement is a 2024 Clio Award winner and depicts two women sitting on a bus stop bench. One is older and dressed conservatively. The other is younger and dressed in a clubbing outfit with heels, sparkly black pants, and a sparkly black spaghetti strap top revealing two tattooed arms. The woman dressed in the clubbing outfit appears to be hungover or still drunk, eating a breakfast sandwich. The older woman looks kind of annoyed and disgusted to be awake so early, or maybe she is annoyed by the drunk/hung-over clubbing woman. There is a Burger King Bag between them both, but only club woman is eating. Below them, it says, “The most important meal of the night. Breakfast Menu. From 6 AM to 10:30 AM.” 

I think it would have been cleverer to have them both eating or even sharing a meal. I get what they’re saying about the most important meal of the night, as the younger woman clearly hasn’t gone to bed due to party time. Maybe the older woman could have been looking at her watch, and above it in a bubble, “6 AM” could have been displayed. 

The value proposition is the breakfast menu and the hours breakfast is served at Burger King. The advertisement doesn’t really make me want to go to Burger King, and it makes me kind of cringe. I would say the target market for this would be folks who like to be out late doing whatever or folks who wake up early and want to grab a bite to eat on the go.

The most recent data I could find regarding money spent on advertising and profits goes up to the year 2022. According to Faria (2024), Burger King spent $497 million dollars in the United States during 2022. According to the Statista Research Department (2024), Burger King made $1.89 billion dollars worldwide. 

 4. “Fight Against Alzheimer’s Association,” 2024 

The fourth advertisement I’ve chosen is about raising awareness about Alzheimer’s disease among people. This advertisement is a 2024 Clio Silver Award winner and has a powerful message.  Here is a link to the advertisement below here:

https://clios.com/awards/winner/print/fight-against-alzheimer-s-association-a-l-m-a-/second-523236

There is a background of all black with a small piece of light shining through against a wall. It could be an alleyway, a street, or someone’s home. There is lots of room for interpretation. In the light is an elderly woman dressed up with a large red handbag looking off into the distance against the wall. In the upper right-hand corner of the ad, it says, “One second, they know where they are. The next, they don’t. Six out of ten Alzheimer’s patients can get lost.” 

This advertisement made me feel sad as I lost my own grandmother to Alzheimer’s, but I am also happy about the fact that it raises awareness regarding the disease. I think it is important to understand and recognize the symptoms of a patient with Alzheimer’s because those folks need help getting to where they belong. I remember one day that my grandmother’s neighbor called my dad and told him she was wandering the streets and didn’t know where her house was. The home she had lived at for over 40 years. We lived hours away but were able to get in contact with folks to help her get home. I imagine one day I could have it, or anyone for that matter, and I hope someone could see that and help me return to where I belong. 

The value proposition of this advertisement is to raise awareness regarding Alzheimer’s and bring attention to the memory loss that so often occurs. 

5. McDonald’s “Big Mac,” 1969

I’ve chosen to analyze an old McDonald’s ad from 1969 that is featured in The Times-Tribute. The advertisement is introducing the new McDonald’s Big Mac, with “100% of the proceeds from sales on Feb. 1st and 2nd going to the Korisher fund for Bobby and Bill” at McDonald’s of Scranton. The link for the advertisement can be found below here:

https://www.thetimes-tribune.com/blogs/food_for_thought/big-mac-ad-1969/html_6303489a-d034-5637-bea6-21f60535410c.html

There is a photograph of the new Big Mac being marketed as “A meal disguised as a sandwich.”  I guess a burger is a sandwich, but I’ve never heard anyone refer to it, so I find it interesting that they’re not referring to it as a burger. The description of the Big Mac reads as follows: This is McDonald’s new Big Mac Sandwich. It’s two patties of pure, lean beef. Cheddar-blend melty cheese. Crisp, fresh lettuce. Slices of tangy pickle. And drenched in McDonald’s own special gourmet sauce. All on a club-style sesame seed bun. Now bring us a bigger than average appetite. We’re ready. McDonald’s is your kind of place.

I’m not sure what the definition of lean was in 1969, but I find the advertisement interesting! It’s almost as if the Big Mac is healthy! The “cheddar-blend melty cheese” made me laugh because this must be referring to American cheese, like a Kraft single or something. Marketing the “sandwich” as a meal was smart because it is big enough to be a meal. Honestly, I don’t like Big Macs, but the advertisement is very enticing! 

The value proposition is introducing the new Big Mac, which is “a meal disguised as a sandwich.” The target market would be folks who have a big appetite!  I would guess teenagers and adults, as I don’t know many children who slam Big Macs down. The advertisement is so old that I am unsure of the cost of advertising or how much revenue the advertisement generated. 

References

Archives, T.-T. (2023, May 1). Big Mac AD 1969. Tribune. https://www.thetimes-tribune.com/blogs/food_for_thought/big-mac-ad-1969/html_6303489a-d034-5637-bea6-21f60535410c.html

Burger King – Late breakfast. Clios. (n.d.-a). https://clios.com/awards/winner/print/burger-king/late-breakfast-510515 

Faria, J. (2023, September 6). Burger King: Ad spend in the U.S. 2022. Statista. https://www.statista.com/statistics/306694/ad-spend-burger-king-usa/ 

Fight against alzheimer’s association (A.L.M.A.) – Second. Clios. (n.d.-b). https://clios.com/awards/winner/print/fight-against-alzheimer-s-association-a-l-m-a-/second-523236

Lahm, R., Lockwood, F. (2022). ENT 610 Entrepreneurial Creation. Master of Entrepreneurship Degree Program: “Greatest Marketing Campaigns” Analysis. https://www.canvas.com

Norwegian airline – Brad is single. Clios. (n.d.-c). https://clios.com/awards/winner/print/norwegian-airline/brad-is-single-21503 

Norwegian reports 2017 full year results influenced by global expansion, fleet renewal and extraordinary costs. Mynewsdesk. (n.d.). https://media.uk.norwegian.com/pressreleases/norwegian-reports-2017-full-year-results-influenced-by-global-expansion-fleet-renewal-and-extraordinary-costs-2417623

Pruit, S. (2023, September 19). Uncovering the secret identity of Rosie the Riveter. History.com. https://www.history.com/news/rosie-the-riveter-inspiration# 

Statista Research Department. (2023, September 18). Burger King’s revenue 2022. Statista. https://www.statista.com/statistics/266462/burger-king-revenue/ 

We can do it! Rosie the Riveter. The Library of Congress. (n.d.). https://www.loc.gov/item/2021669753/ 

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Innovation Uncategorized

Innovation: A Modern Problem

Many people have ideas, but not all ideas are good. Those who can act on their ideas, capture and deliver value, and generate a profit for a new or improved framework, process, product, or service can be considered innovative.

What is innovative leadership? Innovative leadership can be described in several ways, but to break it down plainly, it is the ability to lead and drive the innovation process within an organization. Ideas are managed beyond the research and development departments through the practice of entrepreneurship, corporate entrepreneurship, or intrapreneurship.

The innovation process is a proven process broken down into five steps that can be found in different sources (Desouza, 2017).

Step 1: Idea Generation and Mobilization

Step 2: Advocating and Screening

Step 3: Idea Experimentation

Step 4: Idea Commercialization

Step 5: Diffusion and Implementation

According to The National Center for Science and Engineering Statistics (n.d.), “Of the estimated 4.9 million for-profit companies with at least one employee, 25% introduced an innovation during 2017-19. Eleven percent introduced one or more product innovations, and 22% introduced one or more business process innovations (para. 1).” If only 25% of for-profit organizations are innovating, 3.67 million are not.

Organizations that innovate, invest in innovation, and innovate during a crisis outperform their peers by 10% and outperform the market upward of 30% while recovering from a crisis (Furstenthal et al., 2021).

If organizations that innovate generate more revenue than those that do not, why are so many for-profit organizations failing at innovation? Innovation, like any business process, is a science that starts with a strong innovation strategy, but the problem goes beyond planning from top-level executives and management. It is the top-level executives and management.

Traditionally, organizations are structured with a top-down hierarchy. Still, innovation requires ideas from everyone, including front-line employees, who are often dismissed by management even though they interact with customers the most. You can’t teach an old dog new tricks, so maybe it’s time for them to ditch tradition, open their ears, and reverse organizational structure through a bottoms-up approach.

The problem goes beyond management and organizational structure. I could keep going but want to save something for my next post. In the comments, let me know why you think organizations fail to innovate. Thanks for reading, and I hope I’ve sparked your interest and curiosity to explore this topic further.

References

Desouza, K. C. (2017). Intrapreneurship: Managing ideas within your organization. University of Toronto Press Rotman-UTP Publishing. 

Furstenthal, L., Hirt, M., & Roth, E. (2021, March 18). Innovation: Your launchpad out of the COVID-19 crisis. McKinsey & Company. https://www.mckinsey.com/capabilities/strategy-and-corporate-finance/our-insights/innovation-your-launchpad-out-of-the-covid-19-crisis

National Center for Science and Engineering Statistics. (n.d.). Innovation data from the 2020 Annual business survey | NSF – national … ncses.nsf.gov. https://ncses.nsf.gov/pubs/nsf23310