Last Saturday, Pepsi sponsored a concert in Uganda featuring controversial murder performer Beenie Man. An account of just some of the contention was detailed by Daily Monitor reporter Rafsanjan Abbey Tatya:

“The King of Dancehall stuck a sword of words into gay people through singing and talking.

‘In my family, we don’t have any gay person but if you’re gay, my brother that’s not my fault,’ he said as he performed his song Mi Nah Wallah, in which he says he would like to cut the throats of all gay men.

George Bush and Bin Laden were also at the receiving end of the Jamaican’s wrath calling on the audience to say ‘murderer’ as he sang about the pair’s warfare.”

Pepsi has responded with this statement:

“We are appalled by the performer’s lyrics and find them repugnant. Our bottling partner in Uganda was not aware of the performer’s views and never would have sponsored the concert with this knowledge.  Moving forward, we will work closely with our bottling partners to be more vigilant about the events associated with our brands.”

Pepsi’s statements seem to be rather void, considering Uganda is currently debating a bill in parliament, the Anti-Homosexuality Bill, which would institute the death penalty for many members of Uganda’s LGBT population, and that Beenie Man has had runs-ins for years regarding his public beliefs. So, consumers are left with only two conclusions: either Pepsi is run by women-hating, murder-supporting lunatics, or by people too busy and uninformed to make sound choices about their brand. Neither option is really appealing to any consumer … or spectator.

Truth is, Pepsi is a world-wide brand, so these blunders may cause them a slight dip in sales, but probably not kill them. Lucky for them. But what about your brand?

Let this be a lesson to us all about what it means to be engaged and aware not only of what’s going on within our organization, but also within the best interests of our consumer base as a whole. While it seems that the Ugandan Pepsi representatives were well aware of what the Ugandan people wanted to hear, they were willing to risk the loyalty of hundreds of thousands, if not millions, of other consumers to reach this group. So, while a tactic like an iPhone App or sponsored event sounds like an effective tool, don’t forget they all impact the overall goal—which in Pepsi’s case, it seems, may be to destroy themselves.

As I culled through my morning emails, I noticed that of the many emails in my Inbox, 45 were from retailers! And what surprises me the most is there were repeat offenders—3 from Gap, 2 from Overstock.com, 2 from Godiva, etc. How in the world does Gap have enough relevant material to contact me three times in one 24-hour period? And why would I care three different times? Needless to say, I didn’t even open them. And others feel the same way apparently. According to a new poll from the Chief Marketing Officer Council, 64% of consumers say promotional offers dominate both the email and traditional mail they receive, and only 41% view these as must-read communications.

Knowing your customers, especially those who have enough positive disposition towards your brand to give you permission to contact them directly, is essential in building a premium brand. If you can’t be relevant, then why bother? The numbers don’t lie.

Liz Miller, Vice President, Programs and Operations, CMO Council, said “Irrelevant, impersonal communications… (do) not engage a receptive recipient… customers will disconnect and stop doing business with brands who continue to send messages that demonstrate a lack of intimacy, customer insight and individual understanding.”

In the end, there has to be some sort of strategic plan and knowledge of the individual consumer in place. If the powerhouse of social marketing hasn’t proven this already, each consumer wants to have a unique voice, and needs to be marketed to independently.

So, the question a premium brand manager should ask themselves is this: do you manage your information to keep things personal for your consumers? Or, are you just creating opportunities for them to opt-out of engaging with your brand?

Macy’s brilliantly capitalized on its status as a pop-culture icon last year as it celebrated its 150th anniversary. The TV spot is a montage of classic U.S. films and TV shows that all mention shopping at Macy’s with obvious pride in their voices. Some shots are black and white, while others are in color, but they vividly show how deeply woven Macy’s is into the fabric of America.

Macy’s is now leveraging social media to carry the warm-hearted and personable brand even further. It has its own Facebook page and this week is really promoting it’s Thanksgiving sales. Becoming a Macy’s fan gives you exclusive access to preview all the great “Black Friday” specials—it’s for “Special VIPs Only.” Unlike many brands on Facebook who never participate in the discussion, Macy’s stays actively engaged, responding to fan posts several times a day.

Every time I go to Macy’s it’s clean and bright. The associates are always knowledgeable, polite and helpful. If being treated like a human being weren’t enough to keep me coming back—sadly, these days it usually is—Macy’s sends me great discount cards regularly because I’m a Macy’s card holder. I’m happy to spend money with Macy’s because they make me feel valuable. As I always suspected, it’s a special place.

And does Macy’s really bring the magic? Oh, yeah, it does—premium magic!

What’s more dangerous than avoiding social media is the mistake of not participating. Food manufacturers, for example, have the opportunity to quickly either dispell or address head-on the consumer concerns that might get brought up in social media. What’s risky is not having the ability to participate in the dialogue, or coming to the party too late to be seen as credible. There are lots of references for this kind of address, including a prominent effort regarding Starbucks. You don’t have to be a mega-brand like Starbucks to have a comfortable dialogue with consumer advocates, or with consumer adversaries for that matter. For sure, though, if you’re a premium brand, the realm of social media is a space you shouldn’t ignore, especially when your fans are gathering online on their own.

Social media will only prove to be a threat to premium brands that opt out of the conversation.

Here to stay or gone tomorrow?

Before you decide, check this out:

http://bubble-cast.com

Finding the right time, place and voice to insert your brand in this context will be critical to sustaining your brand’s health into the forseeable future. How’s your brand doing?

When even the most traditionally-held consumers of premium brands, the affluent, are turning to private labels, how can these brands most effectively communicate the reasons their products are still more desirable? This is where advertising meets public relations.

Brands will need to be reaching consumers in new and innovative ways to keep — and earn — their shopping loyalty. For example, research continues to demonstrate that women make the majority of purchasing decisions in American households – and that women are most likely to be influenced by those they trust: family members, friends, colleagues. Public relations outreach can be much more finely tailored to reach very specific audiences, and influence purchasing decisions through word-of-mouth campaigns. As simple as it may sound in today’s global marketing arena, Mrs. Jones may not decide to use product Premium vs. product Private on the basis of a funny or engaging new commercial – but she may do so because her neighbor, doctor or member of her parents’ group encouraged it. We are so bombarded with advertising that we can learn to tune it out. Purchasing decisions are often personal, and a more personal approach can increase the likelihood of the consumer connecting to that brand.

Grassroots PR outreach opportunities can include building relationships with many of the websites your target demographic regularly visits and cultivating positive commentary from the columnists/bloggers. Looking for opportunities to have positive stories placed in the media about a specific brand’s quality and ease of use (such as in recipes); providing brand experts for relevant stories or for tie-ins such as a cooking segment on a morning show; or promoting local community projects (targeted donations made by the company) can help brands reach consumers in ways that seem much more educational and personal, adding to an increased likelihood for both believability and connection.

Today’s consumers are savvier than ever, but sometimes it’s the most traditional methods that once again become the most innovative.