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Book Summary
Seth Godin really
practices what he
preaches. The cover of
the book tells it all.
All marketers are liars. It
is radical and offensive.
You are either convinced
or repulsed.
1
What sells a product these days? Is it
the price point? Is it the buyer’s need?
Are product features and benefits the
deciding factors for customers to buy?
Seth Godin says it is none of the above.
2
Consumers buy products when they
fall for a marketer’s story. A
successful marketer has to come up
with stories that consumers want to
believe. The stories should fit a
consumers worldview and encourage
people to talk to others about it.
When a marketer’s story is authentic
and remarkable, the product will sell.
3
Stories make it easier to understand
the world. Stories are the only way
we know how to spread an idea.
Marketers didn’t invent story telling.
They just perfected it.
4
Marketers are a special kind of a
liar. Marketers lie to consumers
because consumers demand it.
Consumers are used to telling
stories to themselves and each
other, and its natural to buy stuff
from someone who’s telling us a
story. People can’t handle the truth.
5
A GREAT STORY SHOULD
Be true
Make a promise
Be trusted
Be subtle
Happen fast
6
A GREAT STORY SHOULD
Not appeal to logic, but appeal to senses
Rarely be aimed at everyone
Never contradict itself
Agree with a “worldview”
7
8
Telling a GREAT Story
Story: “…a wine glass
conveys the wine’s
messages to the
human senses”
Kiehl’s story:
“Genuine cosmetics
made by someone
who cared”;
customers lied to
themselves & to their
friends”
GOT MARKETING
Marketing is about spreading ideas, and
spreading ideas is the single most important
output of our civilization
In the Golden age of television, marketing was a
matter of buying 60 seconds of airtime, and
using that time to tell a simple story to create
demand. It is not that simple now. Marketing has
now become more complex and challenging.
9
MARKETERS DON’T REALIZE
They are not in charge
People can’t be forced to listen
Conversations cant be controlled (its not
always a broadcast)
No stability (disruption, competition)
10
The new power curve
11
Invention
Production
Marketing
Invention
Production
Marketing
Invent stuff worth talking about Tell stories
about what you invented
Marketers don’t realize
When marketing works?
“Most marketing fails. Here are the 5 steps
that people go through in a successful
marketing campaign”
12
Their worldview & Frames got there before
you did
People only notice the new & make
guesses
First impressions start the story
Great marketers tell stories we believe
Marketers with authenticity thrive
13
The 5 steps…..
STEP 1:
THEIR WORLDVIEW AND
FRAMES
GOT THERE BEFORE YOU DID
Every consumer has a worldview that affects the
product you want to sell. That worldview alters
the way they interpret everything you
say and do. Frame your story in terms of that
worldview, and it will be heard.
14
CONSUMER WORLDVIEWS
Marketers should not try to change this worldview
15
“Worldview” is the term that refers to
rules, values, beliefs and biases that an
individual consumer brings to a
situation
CONSUMER WORLDVIEWS
Each person has a different set of biases,
values and assumptions that forms their
worldview
This worldview is the lens they use to
determine whether or not they are going to
believe a story
People can see the same data and make totally
different decisions.
16
CONSUMER WORLDVIEWS
The consumer’s worldview affects the following:
17
ATTENTION – With all the numerous messages being
broadcast at the public, a consumer can pay attention only to a
few. Which message they pay attention to depends on their
worldview. As a marketer, we cannot force them to pay
attention unless we enter their worldview
BIAS – The same message can be interpreted differently by
different people depending on biases previously formed.
People don’t like to change their worldview and they want it to
be reinforced
VERNACULAR – Consumer’s worldviews also affect the tone of
the message they expect. When this is not matched, it leads to
dissatisfaction among them
CONSUMER WORLDVIEWS
• We cannot assume that all consumers have the
same wants or that the market is a large group of
similar people
• People clump together into common worldviews
and we should identify a previously
undiscovered clump to tell them a story
• Marketing succeeds when enough people with
similar worldviews come together in a way that
allows marketers to reach them cost-effectively
There is no monolith of wants
18
A worldview is not who you are. It’s what you believe. It’s
your biases.
A worldview is not forever. It’s what the consumer
believes right now
CONSUMER WORLDVIEWS
19
FRAMES
• Frame are the words, images and interactions that
reinforces a bias someone is already feeling
• They are a means to present an idea in a way that
embraces the consumer’s worldview and not fight it
The power of frames
• Framing our message in alignment with the
consumer’s worldview is important to get their
attention
Getting in the door
• It is not enough to find a niche that shares a
worldview. That niche has to be ready and able to
influence a large group of their friends
• For example, it is not enough if the consumer
embraces your story of helping the environment: it
should lead them to buy your product
Finding the right audience
20
We might need the same things, but we definitely don’t want
the same things
21
Smart marketers don’t change people’s worldview, they
look for ones with the required worlview
Find a neglected worldview, tell them a story they will
believe
Every group wants to hear a story that supports its
worldview
Frames reinforce people’s biases
Who we are affects what we see.
Attention Bias Vernacular
“I don’t want to drink coffee right now, but it would make me feel
good to spend a little extra on a hot drink that’s special, makes
me feel like a connoisseur”…so a tea
22
23
Appealed to people who were disgusted
with system. Those who rejected status
quo.
The “None of these” President
Jimmy Carter (Democrat)
While marketers tend to focus on the center of
the curve, it is the edges where we can find
people with an unfulfilled worldview
SEGMENTATION BASED ON
WORLDVIEW
24
In the case of edgy issues, use of euphemisms allow the
marketer telling the story to paint a picture before the
consumer decides to withhold their attention
The best marketing goes on when we talk to a
group that not only shares a worldview but also
talks about it, i.e., a community
One of the most important worldviews that
marketers can leverage is the desire to do what
people we admire are doing
Other important worldviews:
• “If it ain’t broke, don’t fix it”
• “I like working with you”
OTHER CONSIDERATIONS
25
SUMMARY OF STEP 1
Find a shared
worldview
Frame a story
around that
worldview
Make it easy
for the story
to spread
Create a new
market
26
Worldview – Beliefs, Values, Biases
Frame – Element aligned with worldview
Shared worldviews - Community
• Will consumer notice or ignore the firm’s activities
• Vernacular- color, words, tone of voice, media
used as per consumer’s biases
• Find an untapped worldview and create a
frame to match it
• Hans Brinker Budget Hotel in Amsterdam
• Influence other people in the community
• Most important worldview- leaders, early
adopters, sneezers, success behind stories
marketers tell
STEP 2:
PEOPLE NOTICE ONLY THE NEW
AND THEN MAKE A GUESS
People only notice stuff that’s new and different.
And the moment they notice something new,
they start making guesses about what to expect
next
27
Marketers tell stories to let the
consumers know about the product.
But every single fact cannot be told.
Consumers then interpret the story
their own way and create their own
judgement.
28
How the brain works
1
• Look for a difference
• Compare with status quo
2
• Look for Causation
• How did this happen?
3
• Make the Prediction
• Put the missing pieces
together
4
• Cognitive Dissonance
• There can be no
Contradiction
29
LOOK FOR A DIFFERENCE
LOOK FOR CAUSATION
USE OUR PREDICTION MACHINE
RELY ON COGNITIVE
DISSONANCE
How our brain deals with so much of everyday information?
• Compare
with status
quo
• Ignore if
information
is not new
E-Commerce
sites sell
mobiles at
lower prices
w.r.t. to brick
and mortar
stores
• If window
breaks, we
want to
know what
broke it
• We make a
theory about
the cause
• We predict
what is next
based on our
world view
• If we predict
right, we
again start
ignoring
• Ignore
anything
which is
contrary
Abstain from
buying from
ecommerce
websites despite
their promotions
The mobiles at
e-commerce
sites are fake,
Chinese pass-
offs
There will be
complaints by
buyers on
ecommerce
sites
The best marketing techniques are the simple stories – Ideavirus
What is being sold has to create an emotional want, not just fulfill a need 30
STEP 3:
FIRST IMPRESSIONS
START THE STORY
Humans are able to make extremely
sophisticated judgments in a fraction of a
second. And once they’ve drawn that conclusion,
they resist changing it
31
You don’t get much time to tell a story
Blink – Malcolm Galdwell
“Most human beings make decision with almost no data & then stick
to those decisions regardless of information that they might be
wrong”
Consumers use snap judgment to escape bombardment of options
Snap judgments are
Powerful
Authentic
Share & validate Stuck to
Inputs??
Automatic /Reflex
32
Snap judgments are incredibly powerful
Humans do everything they can to support those initial
judgments
They happen whether you want your prospects to make a
quick judgment or not
One of the ways people support snap judgments is by
telling other people
You never know which input is going to generate the first
impression that matters
Authentic organizations and are far more likely to turn their
stories into ideavirus
33
STEP 4:
GREAT MARKETERS
TELL STORIES WE
BELIEVE
34
THE ART OF TELLING STORIES
Every day all of us market. Some of us
are really lousy at it, and worse, believe
the reason for our failure is some sort of
intrinsic inadequacy. It’s not.
If you have an idea you’d like to see
spread, you have got to be good at
telling stories
35
THE ART OF TELLING STORIES
Even if the story is based on fact, all
the stories people rely on to make
decisions are blown out of proportion.
One story isn’t the whole truth.
An SUV isn’t a safer car than a station
wagon, but the story the car tells sure
makes us feel that way as the driver
climbs on board and sits way up high.
36
TELLING STORIES IN AN INTERNET
WORLD
Lots of marketers were under the
illusion that marketing = advertising
, and when advertising stopped
working, they had no idea at all
what to do
In an internet world, opportunities
for marketers have shifted away
from mass marketing and
commercials
37
TELLING STORIES IN AN INTERNET
WORLD
Marketers can use the many dimensions of
our media culture to tell more complex stories
faster and more effectively than they ever
could have using television commercials.
Now marketing = storytelling, and everything
an organization does supports the story
38
TELLING STORIES IN AN INTERNET
WORLD
So everyone is in the marketing department
and a company either tells a story that people
care about, or their story disappears
39
POSTCONSUMPTION CONSUMERS
Stories only work because consumers buy what
they don’t need
If consumers have everything they need, there’s
nothing left to buy except stuff that they want.
And the reason they buy stuff they want is
because of the way it makes them feel
40
POSTCONSUMPTION CONSUMERS
This leads to the formulation of the fourth
step which can be termed as follows –
Stories let us lie to ourselves. And those lies
satisfy our desires. It’s the story, not the
good or the service you actually sell, that
pleases the consumer
41
Internet Era – Marketing is much more than advertising
Relationship building, customer engagement
Case: US Elections 2004 – Bush vs Kerry
$100,000,000 intellectual
campaign
vs
Incumbent with near record low
approval ratings
Americans selected the “strong ,
assured & infallible leader”
42
Post consumption Consumers
Consumers buy stuff because of the way it makes them feel
“Even B2B selling behavior is not too different.. after all they are managed
by people as”
…. what makes them secure, gives them sense of belonging or helps them
get promoted
Siebel outsells Salesforce
(better product, less recos)
Packaging
Peer approval
Out of box experience
Customers
Want
WE DON’T NEED WHAT YOU SELL, WE BUY WHAT WE
WANT
43
EXAMPLES:
STORIES FRAMED
AROUND
WORLDVIEWS
44
EXAMPLES: STORIES FRAMED
AROUND WORLDVIEWS
45
Home cooked meal is better for my family
Americans feel guilty about the fact that they
no longer cook dinner for their families
They were raised to believe that a home
cooked meal = love = family = healthy
Banquet sells precooked frozen food with the
story of home prepared food
EXAMPLES: STORIES FRAMED
AROUND WORLDVIEWS
46
I believe sushi tastes better if chef is Japanese
Expectations are engines of our perceptions
Ralph Lauren generates huge sales from
seconds sold at many Polo factory stores
around the country
People tell themselves a story about finding a
bargain
They are delighted to spend $40 for $400 jacket
which costs less than $4
EXAMPLES: STORIES FRAMED
AROUND WORLDVIEWS
47
I like to beat the system
An innovative entrepreneur bought branded
speakers at discount, rented a U-Haul truck
Then they parked behind a dorm at Harvard
and started whispering, “Pssst… Hey! You
wanna buy some speakers”
People believed that the speakers were stolen
even though they never said that
Speakers were priced higher than in nearby
shops
EXAMPLES: STORIES FRAMED
AROUND WORLDVIEWS
48
Organic Food is better
Organic food is a relatively cheap way to
satisfy the desire to take care of families, to
take care of our bodies, to take care of earth
and to fell we are doing as we can to tread
lightly
Organic food is selling well not because of
what the food actually does but because of the
way buying it makes people feel
“I DON’T BELIEVE MARKETERS”
It’s easy to tout your features, focus on the
benefits, give proof that you are, in fact, the
best solution to a problem. But proof doesn’t
make the sale. Of course, you believe the
proof, but your audience doesn’t. The very
fact that you presented the proof makes it
suspect. If a consumer figures something out
or discovers it on her own, she’s a thousand
times more likely to believe it than if it’s just
something you claim
49
“I DON’T BELIEVE MARKETERS”
You must present enough of a change that
the consumer chooses to notice it. But then
you have to tell a story, not give a lecture.
You have to hint at the facts, not announce
them. The process of discovery is more
powerful than being told the right answer-
because of course there is no right answer,
and because even if there were, the
consumer wouldn’t believe you!
50
“I DON’T BELIEVE MARKETERS”
Subtlety matters. If you choose to tell a story
that’s more subtle, something more
interesting and more believable, these people
will choose to pay attention.
51
FIBS AND FRAUDS
52
FIBS & FRAUDS
Every marketer tells stories about his/her
products
Stories which have elements of truth are called
“Fibs”
Stories made just to dupe the customers are
“Frauds”
53
FIBS
Something which the marketer tells the
customers ; which is not totally true, but still
honest and acceptable in their eyes
Eg: A furnace company’s customer service
line being answered by the company owner
who passed away 50 years ago ; it still makes
customers feel special
People buy expensive cars even though they
could do with cheap ones ; it is the stories
told that matter
54
FIBS
55
Fibs are true
Is Mercedes really 15 times better than Toyota?
When a car buyer slams the door of the
Mercedes, it tells a story. Story about solidity
and workmanship, a story about safety and
performance
That doesn’t happen with Corolla
Mercedes wins because they are authentic in
their quest for car worth talking about
FRAUDS
These are baseless stories told to attract
customers which, if unfurled, backfire
Eg: Nestle spreading the false story that
bottled milk is better than breast feeding.
It does not only tarnish your reputation
but also drives away current and potential
customers
56
STEP 5 : MARKETERS WITH
AUTHENTICITY THRIVE
57
MARKETERS WITH AUTHENTICITY
THRIVE
58
Changing the story requires personal
interaction
Personal interaction cuts through all the filters
They can be nasty or rushed or even selfish.
But when they are genuine, they have an
impact
MARKETERS WITH AUTHENTICITY
THRIVE
59
Some senses count for more than others, but
every sense matters
It’s the combination of senses that convinces
the sceptical consumer
You might be able to trick me with a
handwritten menu in the window of your
restaurant, but if the chairs are wrong, or
restaurant smells wrong, I will bolt
THE POWER OF STORIES
Personal interaction cuts through all filters
and is the best way to market yourself
A product recommended by a friend has
higher chances of being bought compared
to when advertised by TV or sales persons
A story has to be authentic : “once fooled, a
person will never repeat your story to
someone else. “
60
THE POWER OF STORIES : CONT..
If you are not authentic, you will get the
benefit of just one sale, not a hundred. The
cost of your deception is just too high.
Eg : Toyota Prius ; The makers branded it a
“Smart” car , and features like automatic door
open, insane mileage etc. proved it
61
MARKETERS WITH AUTHENTICITY
THRIVE
62
All successful stories are the same
They promise to fulfil wishes of a consumer’s
worldview. They may offer
Shortcut
Miracle
Money
Social success
Safety Ego
Fun Pleasure
Belonging
COMPETING IN THE LYING WORLD
63
ONE STORY PER CUSTOMER
You cannot succeed if you try to tell your
competition’s story better than they can
Wal-Mart Internet : “You can’t out-Amazon
Amazon.”
This is the most difficult competitive lesson to
learn. Marketers (and all human beings) are
well trained to follow the leader
64
ONE STORY PER CUSTOMER
The problem is that once a consumer has
bought someone else’s story and believes that
lie, persuading the consumer to switch is the
same as persuading him to admit he was wrong.
And people hate admitting that they’re wrong
Instead, you must tell a different story and
persuade those listening that your story is more
important than the story they currently believe.
If your competition is faster, you must be
cheaper
Example: Woot, It only sells one item a day.
“Come back tomorrow and see what’s new”
65
FINDING THE RIGHT
COMMUNITY
WNBA women’s basketball: went to a new
group (families and women and kids) and
offered a fundamentally different story
Is it guaranteed that you’ll find a new
community that will embrace you and make
your success certain? Of course not.
But it’s also certain that addressing the
community of your dominant competitor is
going to fail
66
SPLITTING THE COMMUNITY
What if you’re entering a market where there is
already successful competition and they’ve all
bought your competition’s story?
Tell different story to part of the community
with a particular worldview that’s different
from that of the masses
Example: Masa, the $300-per-person sushi
restaurant in New York, offered proposition
“This is the best sushi in the world, but only
for people who are willing to pay for it”
67
THE OTHER WAY TO
GROW
What if splitting the community doesn’t get you
a big enough share of the market?
The other way to grow is to recognize that in
every community, people have more than one
worldview at a time
Example: Trek bicycles, The comfort story
persuaded people to spend $1,000 or $5,000 on
a mountain bike or a hybrid bike that had a
racing heritage
68
REMARKABLE? THE COW HAS NOT
LEFT THE BUILDING
69
INVISIBLE OR REMARKABLE?
The only way to grow was to do
something remarkable
You can’t just use any story. You
can’t tell a selfish story from your
point of view. You can’t invent an
inauthentic story or tell an amazing
story when the reality is banal
70
INVISIBLE OR REMARKABLE?
The only stories that work, the
only stories with impact, the
only stories that spread are
the “I can’t believe that!”
stories. These are the stories
that aren’t just repeatable:
these are the stories that
demand to be repeated
71
THE REALLY AND TRULY
GREAT NEWS
Stop fighting your fear and just tell
the best story you can imagine
All great stories are purple cows for
one simple reason: a great story is
believed and the lie is retold
72
IN DEFENCE OF
EXTREMISM
You need to look in the mirror and
realize that only a remarkable, authentic
story is going to have a chance of
spreading
73
GOING TO THE EDGES: GETTING
PEOPLE TO VOTE
People on the edges are more likely to vote.
Not the middle of the curve, but those who
are incensed and focused and care deeply
about only one issue.
You succeed by being an extremist in your
storytelling, then gracefully moving your
product or service to the middle so it
becomes more palatable to audiences that
are persuaded by their friends, not by you
74
GOING TO THE EDGES: THE TITLE OF
THIS BOOK
Example: Title of the book, No one would
hate a book called All Marketers Tell Stories.
No one would disagree with it. No one
would challenge me on it. No one would talk
about it
Your goal should not (must not) be to create
a story that is quick, involves no risks and
is without controversy. Boredom will not
help you grow
75
WHEN STORYTELLING (AND THE COW)
DOESN’T SEEM TO WORK VERY WELL
Big and small work fine. It’s medium that is to
be worried about
Big: enabling consumers to believe the big lie
works for an entire brand e.g. Dell
Small: it’s pretty easy to see how telling the
right story can really help an individual e.g. Job
Interview
76
GOING TO THE EDGES: THE TITLE
OF THIS BOOKMedium: It’s hard to be remarkable
when you and your organization
insist on not changing the status
quo
Example: Little Miss Match, mis-
matching socks for pre-teen girls
77
Dar k aage
Jeet Hai
Self
Actualization in
Maslow’s
Hierarchy
Different
story telling
Targeting the
adventure
loving youth
Consistent
78
MASTER STORYTELLERS AND THOSE
WHO ARE STILL TRYING
79
MASTER STORYTELLERS
• The needlessly flared wheels in SUVs
don’t serve any functional purpose
• However, they do make the car look big
and imposing, which is the story the
SUV tells about its owner to other
people
• This is why people buy it: the story they
want to tell others
The SUV
Story
• Its location on the fringes made it
unpopular with non-foodies
• However, for foodies it was a story of
how they went all the way to have Indian
food
• This has made Jackson Diner very
popular, even though its food is not as
good anymore
Jackson
Diner
80
MASTER STORYTELLERS
• Their soap costs thirty times as much
• Does it clean thirty times as well? Does
soap need to be organic?
• No! But consumers like the story it tells
of organic rosemary fields and helping
the environment
• The product is nothing but a souvenir of
the shopping experience and how the
customer felt during the purchase
Avalon
Organic
Botanicals
• They realized that viewers don’t watch
news for facts but for stories that
conform to their worldview
• Thus, Fox News tells a coherent story in
its programs, which makes its viewers
recommend the channel to friends as well
Fox News
81
MASTER STORYTELLERS
• The review in New York magazine
compares it to the Chao Phraya River in
Bangkok
• But it’s a restaurant: shouldn’t we talk
about food?
• No: consumers want a story and if that
story matches the worldview of what they
seek, they are more likely to tell their
friends about it
Thai
Restaurant
• Sirius has more features and channels
than existing services
• But people will ignore such advertising as
long as their worldview does not include a
problem with their current services
• Sirius got their attention by taking off
Howard Stern from radio and entering their
worldview by breaking traditional radio for
them
Sirius
Satellite
Radio
82
MASTER STORYTELLERS
UK travel firm Lunn Poly uses scents in their offices to
give customers an experience of being in the holiday
location, which increases their interest in the
product/service
Blue Nile online jewellery has overtaken Tiffany & Co. not
by selling cheaper jewellery but by selling jewellery that
have a story behind them
Napster was successful because it does not view its
customers as ‘people who don’t want to pay for music’
but as people to whom music is important
Michelin tyres score over those of Goodyear as Michelin
has a story to tell while Goodyear only uses the blimp
83
ADVANCED RIFFS
84
FERTILITY
Different audiences act differently because of
their differing worldviews
Some are more likely to use the product and
recommend it to others. They are also more
likely to have friends who are willing to listen to
the same story
Thus, it is important to focus on the right
audience for your product. Eg. Music labels
correctly focus on college students as their
initial audience
Choosing a fertile audience can help your idea
spread
85
Worldviews change and marketers can take this
opportunity to tell the right story to the transitioning
audience as they form a fertile group
• Not only worldviews but also the way we feel about a
product or service changes over time
• This is more because of the change in us than the
change in the product
• Thus, the marketplace is dynamic and marketers
should find ways to stay relevant
• At the same time, old stories die hard. We still believe
that cotton is more natural even though facts have
proven that it is more harmful to the environment than
high-tech fabrics
86
EXPLAINING FAILURES
Few products fail because they don’t work as
designed. Most products fail because of choosing
the wrong story or framing it in the wrong way, due
to which it fails to resonate with the worldview of
the audience.
There are four possible reasons for a product’s
failure:
 No one noticed it
 People noticed it but decided they didn’t want to
try it
 People tried it but decided not to keep using it
 People liked it but didn’t tell their friends
87
Why didn’t anyone notice it? Our default setting is to
ignore everything unless it is remarkable or exceptional
Why didn’t those who noticed it try it? Barring the real
enthusiasts, most people do not want to take the effort.
Therefore, we must start with the enthusiasts
Why didn’t they become loyal customers? Early adopters
tend to try new products and are not loyal. It is important
to make them feel that your product is the best solution
Why didn’t they tell their friends? Depending on their
worldview, consumers are more comfortable sharing
certain things than others. We need to identify
consumers with the right worldview for us or choose the
right category
88
The Key Addition to Purple Cow thinking
Before telling a story to their friends, consumers
must first tell a story to themselves. Marketers need
not make their product for everyone. They can key
into a niche worldview and cater to that as long as it
is fertile enough to generate a real business.
89
Some Problems are Hard
Sometimes the prevailing worldview
misaligns with the solution we have to offer.
In such cases, we must change our story or
our offering so that it aligns with the current
market dynamics.
90
Protect Me
Fear is one of the most common worldviews
and stories based on fear are easily accepted
even if they are often groundless.
91
OXYMORONS
Oxymorons are created when the words and
images we use to tell a story conflict with one
another. Eg. “Social capitalism”
By framing a statement around a worldview,
and then deliberately confounding
expectations, it’s easy to tell a story
However, some oxymorons create a conflict
that people cannot embrace so they ignore it
92
OXYMORONS
Oxymorons help us address a small,
previously unaddressed group that wants to
achieve two conflicting objectives. Eg.
Starbucks’ Soy Decaf Latte
The Acumen Fund aimed to use capitalism to
aid progress in poorer countries. It was
unable to appeal to traditional investors or
philanthropists so it targeted the ones
dissatisfied with the traditional systems
93
REFERENCES
Godin S.(2009) . All Marketers are Liars. India: Penguin
Books
94
95
Prepared By: Prof. Sameer Mathur, Ph.D.
Sameer Mathur
Indian Institute of Management,
Lucknow
Marketing Professor 2013 –
Marketing Professor 2009 – 2013
Ph.D. and M.S. (Marketing) 2003 – 2009

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(MBASkills.IN) Book summary: All Marketers Are Liars

  • 1. Book Summary Seth Godin really practices what he preaches. The cover of the book tells it all. All marketers are liars. It is radical and offensive. You are either convinced or repulsed. 1
  • 2. What sells a product these days? Is it the price point? Is it the buyer’s need? Are product features and benefits the deciding factors for customers to buy? Seth Godin says it is none of the above. 2
  • 3. Consumers buy products when they fall for a marketer’s story. A successful marketer has to come up with stories that consumers want to believe. The stories should fit a consumers worldview and encourage people to talk to others about it. When a marketer’s story is authentic and remarkable, the product will sell. 3
  • 4. Stories make it easier to understand the world. Stories are the only way we know how to spread an idea. Marketers didn’t invent story telling. They just perfected it. 4
  • 5. Marketers are a special kind of a liar. Marketers lie to consumers because consumers demand it. Consumers are used to telling stories to themselves and each other, and its natural to buy stuff from someone who’s telling us a story. People can’t handle the truth. 5
  • 6. A GREAT STORY SHOULD Be true Make a promise Be trusted Be subtle Happen fast 6
  • 7. A GREAT STORY SHOULD Not appeal to logic, but appeal to senses Rarely be aimed at everyone Never contradict itself Agree with a “worldview” 7
  • 8. 8 Telling a GREAT Story Story: “…a wine glass conveys the wine’s messages to the human senses” Kiehl’s story: “Genuine cosmetics made by someone who cared”; customers lied to themselves & to their friends”
  • 9. GOT MARKETING Marketing is about spreading ideas, and spreading ideas is the single most important output of our civilization In the Golden age of television, marketing was a matter of buying 60 seconds of airtime, and using that time to tell a simple story to create demand. It is not that simple now. Marketing has now become more complex and challenging. 9
  • 10. MARKETERS DON’T REALIZE They are not in charge People can’t be forced to listen Conversations cant be controlled (its not always a broadcast) No stability (disruption, competition) 10
  • 11. The new power curve 11 Invention Production Marketing Invention Production Marketing Invent stuff worth talking about Tell stories about what you invented Marketers don’t realize
  • 12. When marketing works? “Most marketing fails. Here are the 5 steps that people go through in a successful marketing campaign” 12
  • 13. Their worldview & Frames got there before you did People only notice the new & make guesses First impressions start the story Great marketers tell stories we believe Marketers with authenticity thrive 13 The 5 steps…..
  • 14. STEP 1: THEIR WORLDVIEW AND FRAMES GOT THERE BEFORE YOU DID Every consumer has a worldview that affects the product you want to sell. That worldview alters the way they interpret everything you say and do. Frame your story in terms of that worldview, and it will be heard. 14
  • 15. CONSUMER WORLDVIEWS Marketers should not try to change this worldview 15 “Worldview” is the term that refers to rules, values, beliefs and biases that an individual consumer brings to a situation
  • 16. CONSUMER WORLDVIEWS Each person has a different set of biases, values and assumptions that forms their worldview This worldview is the lens they use to determine whether or not they are going to believe a story People can see the same data and make totally different decisions. 16
  • 17. CONSUMER WORLDVIEWS The consumer’s worldview affects the following: 17 ATTENTION – With all the numerous messages being broadcast at the public, a consumer can pay attention only to a few. Which message they pay attention to depends on their worldview. As a marketer, we cannot force them to pay attention unless we enter their worldview BIAS – The same message can be interpreted differently by different people depending on biases previously formed. People don’t like to change their worldview and they want it to be reinforced VERNACULAR – Consumer’s worldviews also affect the tone of the message they expect. When this is not matched, it leads to dissatisfaction among them
  • 18. CONSUMER WORLDVIEWS • We cannot assume that all consumers have the same wants or that the market is a large group of similar people • People clump together into common worldviews and we should identify a previously undiscovered clump to tell them a story • Marketing succeeds when enough people with similar worldviews come together in a way that allows marketers to reach them cost-effectively There is no monolith of wants 18
  • 19. A worldview is not who you are. It’s what you believe. It’s your biases. A worldview is not forever. It’s what the consumer believes right now CONSUMER WORLDVIEWS 19
  • 20. FRAMES • Frame are the words, images and interactions that reinforces a bias someone is already feeling • They are a means to present an idea in a way that embraces the consumer’s worldview and not fight it The power of frames • Framing our message in alignment with the consumer’s worldview is important to get their attention Getting in the door • It is not enough to find a niche that shares a worldview. That niche has to be ready and able to influence a large group of their friends • For example, it is not enough if the consumer embraces your story of helping the environment: it should lead them to buy your product Finding the right audience 20
  • 21. We might need the same things, but we definitely don’t want the same things 21 Smart marketers don’t change people’s worldview, they look for ones with the required worlview Find a neglected worldview, tell them a story they will believe Every group wants to hear a story that supports its worldview Frames reinforce people’s biases Who we are affects what we see. Attention Bias Vernacular
  • 22. “I don’t want to drink coffee right now, but it would make me feel good to spend a little extra on a hot drink that’s special, makes me feel like a connoisseur”…so a tea 22
  • 23. 23 Appealed to people who were disgusted with system. Those who rejected status quo. The “None of these” President Jimmy Carter (Democrat)
  • 24. While marketers tend to focus on the center of the curve, it is the edges where we can find people with an unfulfilled worldview SEGMENTATION BASED ON WORLDVIEW 24
  • 25. In the case of edgy issues, use of euphemisms allow the marketer telling the story to paint a picture before the consumer decides to withhold their attention The best marketing goes on when we talk to a group that not only shares a worldview but also talks about it, i.e., a community One of the most important worldviews that marketers can leverage is the desire to do what people we admire are doing Other important worldviews: • “If it ain’t broke, don’t fix it” • “I like working with you” OTHER CONSIDERATIONS 25
  • 26. SUMMARY OF STEP 1 Find a shared worldview Frame a story around that worldview Make it easy for the story to spread Create a new market 26 Worldview – Beliefs, Values, Biases Frame – Element aligned with worldview Shared worldviews - Community • Will consumer notice or ignore the firm’s activities • Vernacular- color, words, tone of voice, media used as per consumer’s biases • Find an untapped worldview and create a frame to match it • Hans Brinker Budget Hotel in Amsterdam • Influence other people in the community • Most important worldview- leaders, early adopters, sneezers, success behind stories marketers tell
  • 27. STEP 2: PEOPLE NOTICE ONLY THE NEW AND THEN MAKE A GUESS People only notice stuff that’s new and different. And the moment they notice something new, they start making guesses about what to expect next 27
  • 28. Marketers tell stories to let the consumers know about the product. But every single fact cannot be told. Consumers then interpret the story their own way and create their own judgement. 28
  • 29. How the brain works 1 • Look for a difference • Compare with status quo 2 • Look for Causation • How did this happen? 3 • Make the Prediction • Put the missing pieces together 4 • Cognitive Dissonance • There can be no Contradiction 29
  • 30. LOOK FOR A DIFFERENCE LOOK FOR CAUSATION USE OUR PREDICTION MACHINE RELY ON COGNITIVE DISSONANCE How our brain deals with so much of everyday information? • Compare with status quo • Ignore if information is not new E-Commerce sites sell mobiles at lower prices w.r.t. to brick and mortar stores • If window breaks, we want to know what broke it • We make a theory about the cause • We predict what is next based on our world view • If we predict right, we again start ignoring • Ignore anything which is contrary Abstain from buying from ecommerce websites despite their promotions The mobiles at e-commerce sites are fake, Chinese pass- offs There will be complaints by buyers on ecommerce sites The best marketing techniques are the simple stories – Ideavirus What is being sold has to create an emotional want, not just fulfill a need 30
  • 31. STEP 3: FIRST IMPRESSIONS START THE STORY Humans are able to make extremely sophisticated judgments in a fraction of a second. And once they’ve drawn that conclusion, they resist changing it 31
  • 32. You don’t get much time to tell a story Blink – Malcolm Galdwell “Most human beings make decision with almost no data & then stick to those decisions regardless of information that they might be wrong” Consumers use snap judgment to escape bombardment of options Snap judgments are Powerful Authentic Share & validate Stuck to Inputs?? Automatic /Reflex 32
  • 33. Snap judgments are incredibly powerful Humans do everything they can to support those initial judgments They happen whether you want your prospects to make a quick judgment or not One of the ways people support snap judgments is by telling other people You never know which input is going to generate the first impression that matters Authentic organizations and are far more likely to turn their stories into ideavirus 33
  • 34. STEP 4: GREAT MARKETERS TELL STORIES WE BELIEVE 34
  • 35. THE ART OF TELLING STORIES Every day all of us market. Some of us are really lousy at it, and worse, believe the reason for our failure is some sort of intrinsic inadequacy. It’s not. If you have an idea you’d like to see spread, you have got to be good at telling stories 35
  • 36. THE ART OF TELLING STORIES Even if the story is based on fact, all the stories people rely on to make decisions are blown out of proportion. One story isn’t the whole truth. An SUV isn’t a safer car than a station wagon, but the story the car tells sure makes us feel that way as the driver climbs on board and sits way up high. 36
  • 37. TELLING STORIES IN AN INTERNET WORLD Lots of marketers were under the illusion that marketing = advertising , and when advertising stopped working, they had no idea at all what to do In an internet world, opportunities for marketers have shifted away from mass marketing and commercials 37
  • 38. TELLING STORIES IN AN INTERNET WORLD Marketers can use the many dimensions of our media culture to tell more complex stories faster and more effectively than they ever could have using television commercials. Now marketing = storytelling, and everything an organization does supports the story 38
  • 39. TELLING STORIES IN AN INTERNET WORLD So everyone is in the marketing department and a company either tells a story that people care about, or their story disappears 39
  • 40. POSTCONSUMPTION CONSUMERS Stories only work because consumers buy what they don’t need If consumers have everything they need, there’s nothing left to buy except stuff that they want. And the reason they buy stuff they want is because of the way it makes them feel 40
  • 41. POSTCONSUMPTION CONSUMERS This leads to the formulation of the fourth step which can be termed as follows – Stories let us lie to ourselves. And those lies satisfy our desires. It’s the story, not the good or the service you actually sell, that pleases the consumer 41
  • 42. Internet Era – Marketing is much more than advertising Relationship building, customer engagement Case: US Elections 2004 – Bush vs Kerry $100,000,000 intellectual campaign vs Incumbent with near record low approval ratings Americans selected the “strong , assured & infallible leader” 42
  • 43. Post consumption Consumers Consumers buy stuff because of the way it makes them feel “Even B2B selling behavior is not too different.. after all they are managed by people as” …. what makes them secure, gives them sense of belonging or helps them get promoted Siebel outsells Salesforce (better product, less recos) Packaging Peer approval Out of box experience Customers Want WE DON’T NEED WHAT YOU SELL, WE BUY WHAT WE WANT 43
  • 45. EXAMPLES: STORIES FRAMED AROUND WORLDVIEWS 45 Home cooked meal is better for my family Americans feel guilty about the fact that they no longer cook dinner for their families They were raised to believe that a home cooked meal = love = family = healthy Banquet sells precooked frozen food with the story of home prepared food
  • 46. EXAMPLES: STORIES FRAMED AROUND WORLDVIEWS 46 I believe sushi tastes better if chef is Japanese Expectations are engines of our perceptions Ralph Lauren generates huge sales from seconds sold at many Polo factory stores around the country People tell themselves a story about finding a bargain They are delighted to spend $40 for $400 jacket which costs less than $4
  • 47. EXAMPLES: STORIES FRAMED AROUND WORLDVIEWS 47 I like to beat the system An innovative entrepreneur bought branded speakers at discount, rented a U-Haul truck Then they parked behind a dorm at Harvard and started whispering, “Pssst… Hey! You wanna buy some speakers” People believed that the speakers were stolen even though they never said that Speakers were priced higher than in nearby shops
  • 48. EXAMPLES: STORIES FRAMED AROUND WORLDVIEWS 48 Organic Food is better Organic food is a relatively cheap way to satisfy the desire to take care of families, to take care of our bodies, to take care of earth and to fell we are doing as we can to tread lightly Organic food is selling well not because of what the food actually does but because of the way buying it makes people feel
  • 49. “I DON’T BELIEVE MARKETERS” It’s easy to tout your features, focus on the benefits, give proof that you are, in fact, the best solution to a problem. But proof doesn’t make the sale. Of course, you believe the proof, but your audience doesn’t. The very fact that you presented the proof makes it suspect. If a consumer figures something out or discovers it on her own, she’s a thousand times more likely to believe it than if it’s just something you claim 49
  • 50. “I DON’T BELIEVE MARKETERS” You must present enough of a change that the consumer chooses to notice it. But then you have to tell a story, not give a lecture. You have to hint at the facts, not announce them. The process of discovery is more powerful than being told the right answer- because of course there is no right answer, and because even if there were, the consumer wouldn’t believe you! 50
  • 51. “I DON’T BELIEVE MARKETERS” Subtlety matters. If you choose to tell a story that’s more subtle, something more interesting and more believable, these people will choose to pay attention. 51
  • 53. FIBS & FRAUDS Every marketer tells stories about his/her products Stories which have elements of truth are called “Fibs” Stories made just to dupe the customers are “Frauds” 53
  • 54. FIBS Something which the marketer tells the customers ; which is not totally true, but still honest and acceptable in their eyes Eg: A furnace company’s customer service line being answered by the company owner who passed away 50 years ago ; it still makes customers feel special People buy expensive cars even though they could do with cheap ones ; it is the stories told that matter 54
  • 55. FIBS 55 Fibs are true Is Mercedes really 15 times better than Toyota? When a car buyer slams the door of the Mercedes, it tells a story. Story about solidity and workmanship, a story about safety and performance That doesn’t happen with Corolla Mercedes wins because they are authentic in their quest for car worth talking about
  • 56. FRAUDS These are baseless stories told to attract customers which, if unfurled, backfire Eg: Nestle spreading the false story that bottled milk is better than breast feeding. It does not only tarnish your reputation but also drives away current and potential customers 56
  • 57. STEP 5 : MARKETERS WITH AUTHENTICITY THRIVE 57
  • 58. MARKETERS WITH AUTHENTICITY THRIVE 58 Changing the story requires personal interaction Personal interaction cuts through all the filters They can be nasty or rushed or even selfish. But when they are genuine, they have an impact
  • 59. MARKETERS WITH AUTHENTICITY THRIVE 59 Some senses count for more than others, but every sense matters It’s the combination of senses that convinces the sceptical consumer You might be able to trick me with a handwritten menu in the window of your restaurant, but if the chairs are wrong, or restaurant smells wrong, I will bolt
  • 60. THE POWER OF STORIES Personal interaction cuts through all filters and is the best way to market yourself A product recommended by a friend has higher chances of being bought compared to when advertised by TV or sales persons A story has to be authentic : “once fooled, a person will never repeat your story to someone else. “ 60
  • 61. THE POWER OF STORIES : CONT.. If you are not authentic, you will get the benefit of just one sale, not a hundred. The cost of your deception is just too high. Eg : Toyota Prius ; The makers branded it a “Smart” car , and features like automatic door open, insane mileage etc. proved it 61
  • 62. MARKETERS WITH AUTHENTICITY THRIVE 62 All successful stories are the same They promise to fulfil wishes of a consumer’s worldview. They may offer Shortcut Miracle Money Social success Safety Ego Fun Pleasure Belonging
  • 63. COMPETING IN THE LYING WORLD 63
  • 64. ONE STORY PER CUSTOMER You cannot succeed if you try to tell your competition’s story better than they can Wal-Mart Internet : “You can’t out-Amazon Amazon.” This is the most difficult competitive lesson to learn. Marketers (and all human beings) are well trained to follow the leader 64
  • 65. ONE STORY PER CUSTOMER The problem is that once a consumer has bought someone else’s story and believes that lie, persuading the consumer to switch is the same as persuading him to admit he was wrong. And people hate admitting that they’re wrong Instead, you must tell a different story and persuade those listening that your story is more important than the story they currently believe. If your competition is faster, you must be cheaper Example: Woot, It only sells one item a day. “Come back tomorrow and see what’s new” 65
  • 66. FINDING THE RIGHT COMMUNITY WNBA women’s basketball: went to a new group (families and women and kids) and offered a fundamentally different story Is it guaranteed that you’ll find a new community that will embrace you and make your success certain? Of course not. But it’s also certain that addressing the community of your dominant competitor is going to fail 66
  • 67. SPLITTING THE COMMUNITY What if you’re entering a market where there is already successful competition and they’ve all bought your competition’s story? Tell different story to part of the community with a particular worldview that’s different from that of the masses Example: Masa, the $300-per-person sushi restaurant in New York, offered proposition “This is the best sushi in the world, but only for people who are willing to pay for it” 67
  • 68. THE OTHER WAY TO GROW What if splitting the community doesn’t get you a big enough share of the market? The other way to grow is to recognize that in every community, people have more than one worldview at a time Example: Trek bicycles, The comfort story persuaded people to spend $1,000 or $5,000 on a mountain bike or a hybrid bike that had a racing heritage 68
  • 69. REMARKABLE? THE COW HAS NOT LEFT THE BUILDING 69
  • 70. INVISIBLE OR REMARKABLE? The only way to grow was to do something remarkable You can’t just use any story. You can’t tell a selfish story from your point of view. You can’t invent an inauthentic story or tell an amazing story when the reality is banal 70
  • 71. INVISIBLE OR REMARKABLE? The only stories that work, the only stories with impact, the only stories that spread are the “I can’t believe that!” stories. These are the stories that aren’t just repeatable: these are the stories that demand to be repeated 71
  • 72. THE REALLY AND TRULY GREAT NEWS Stop fighting your fear and just tell the best story you can imagine All great stories are purple cows for one simple reason: a great story is believed and the lie is retold 72
  • 73. IN DEFENCE OF EXTREMISM You need to look in the mirror and realize that only a remarkable, authentic story is going to have a chance of spreading 73
  • 74. GOING TO THE EDGES: GETTING PEOPLE TO VOTE People on the edges are more likely to vote. Not the middle of the curve, but those who are incensed and focused and care deeply about only one issue. You succeed by being an extremist in your storytelling, then gracefully moving your product or service to the middle so it becomes more palatable to audiences that are persuaded by their friends, not by you 74
  • 75. GOING TO THE EDGES: THE TITLE OF THIS BOOK Example: Title of the book, No one would hate a book called All Marketers Tell Stories. No one would disagree with it. No one would challenge me on it. No one would talk about it Your goal should not (must not) be to create a story that is quick, involves no risks and is without controversy. Boredom will not help you grow 75
  • 76. WHEN STORYTELLING (AND THE COW) DOESN’T SEEM TO WORK VERY WELL Big and small work fine. It’s medium that is to be worried about Big: enabling consumers to believe the big lie works for an entire brand e.g. Dell Small: it’s pretty easy to see how telling the right story can really help an individual e.g. Job Interview 76
  • 77. GOING TO THE EDGES: THE TITLE OF THIS BOOKMedium: It’s hard to be remarkable when you and your organization insist on not changing the status quo Example: Little Miss Match, mis- matching socks for pre-teen girls 77
  • 78. Dar k aage Jeet Hai Self Actualization in Maslow’s Hierarchy Different story telling Targeting the adventure loving youth Consistent 78
  • 79. MASTER STORYTELLERS AND THOSE WHO ARE STILL TRYING 79
  • 80. MASTER STORYTELLERS • The needlessly flared wheels in SUVs don’t serve any functional purpose • However, they do make the car look big and imposing, which is the story the SUV tells about its owner to other people • This is why people buy it: the story they want to tell others The SUV Story • Its location on the fringes made it unpopular with non-foodies • However, for foodies it was a story of how they went all the way to have Indian food • This has made Jackson Diner very popular, even though its food is not as good anymore Jackson Diner 80
  • 81. MASTER STORYTELLERS • Their soap costs thirty times as much • Does it clean thirty times as well? Does soap need to be organic? • No! But consumers like the story it tells of organic rosemary fields and helping the environment • The product is nothing but a souvenir of the shopping experience and how the customer felt during the purchase Avalon Organic Botanicals • They realized that viewers don’t watch news for facts but for stories that conform to their worldview • Thus, Fox News tells a coherent story in its programs, which makes its viewers recommend the channel to friends as well Fox News 81
  • 82. MASTER STORYTELLERS • The review in New York magazine compares it to the Chao Phraya River in Bangkok • But it’s a restaurant: shouldn’t we talk about food? • No: consumers want a story and if that story matches the worldview of what they seek, they are more likely to tell their friends about it Thai Restaurant • Sirius has more features and channels than existing services • But people will ignore such advertising as long as their worldview does not include a problem with their current services • Sirius got their attention by taking off Howard Stern from radio and entering their worldview by breaking traditional radio for them Sirius Satellite Radio 82
  • 83. MASTER STORYTELLERS UK travel firm Lunn Poly uses scents in their offices to give customers an experience of being in the holiday location, which increases their interest in the product/service Blue Nile online jewellery has overtaken Tiffany & Co. not by selling cheaper jewellery but by selling jewellery that have a story behind them Napster was successful because it does not view its customers as ‘people who don’t want to pay for music’ but as people to whom music is important Michelin tyres score over those of Goodyear as Michelin has a story to tell while Goodyear only uses the blimp 83
  • 85. FERTILITY Different audiences act differently because of their differing worldviews Some are more likely to use the product and recommend it to others. They are also more likely to have friends who are willing to listen to the same story Thus, it is important to focus on the right audience for your product. Eg. Music labels correctly focus on college students as their initial audience Choosing a fertile audience can help your idea spread 85
  • 86. Worldviews change and marketers can take this opportunity to tell the right story to the transitioning audience as they form a fertile group • Not only worldviews but also the way we feel about a product or service changes over time • This is more because of the change in us than the change in the product • Thus, the marketplace is dynamic and marketers should find ways to stay relevant • At the same time, old stories die hard. We still believe that cotton is more natural even though facts have proven that it is more harmful to the environment than high-tech fabrics 86
  • 87. EXPLAINING FAILURES Few products fail because they don’t work as designed. Most products fail because of choosing the wrong story or framing it in the wrong way, due to which it fails to resonate with the worldview of the audience. There are four possible reasons for a product’s failure:  No one noticed it  People noticed it but decided they didn’t want to try it  People tried it but decided not to keep using it  People liked it but didn’t tell their friends 87
  • 88. Why didn’t anyone notice it? Our default setting is to ignore everything unless it is remarkable or exceptional Why didn’t those who noticed it try it? Barring the real enthusiasts, most people do not want to take the effort. Therefore, we must start with the enthusiasts Why didn’t they become loyal customers? Early adopters tend to try new products and are not loyal. It is important to make them feel that your product is the best solution Why didn’t they tell their friends? Depending on their worldview, consumers are more comfortable sharing certain things than others. We need to identify consumers with the right worldview for us or choose the right category 88
  • 89. The Key Addition to Purple Cow thinking Before telling a story to their friends, consumers must first tell a story to themselves. Marketers need not make their product for everyone. They can key into a niche worldview and cater to that as long as it is fertile enough to generate a real business. 89
  • 90. Some Problems are Hard Sometimes the prevailing worldview misaligns with the solution we have to offer. In such cases, we must change our story or our offering so that it aligns with the current market dynamics. 90
  • 91. Protect Me Fear is one of the most common worldviews and stories based on fear are easily accepted even if they are often groundless. 91
  • 92. OXYMORONS Oxymorons are created when the words and images we use to tell a story conflict with one another. Eg. “Social capitalism” By framing a statement around a worldview, and then deliberately confounding expectations, it’s easy to tell a story However, some oxymorons create a conflict that people cannot embrace so they ignore it 92
  • 93. OXYMORONS Oxymorons help us address a small, previously unaddressed group that wants to achieve two conflicting objectives. Eg. Starbucks’ Soy Decaf Latte The Acumen Fund aimed to use capitalism to aid progress in poorer countries. It was unable to appeal to traditional investors or philanthropists so it targeted the ones dissatisfied with the traditional systems 93
  • 94. REFERENCES Godin S.(2009) . All Marketers are Liars. India: Penguin Books 94
  • 95. 95 Prepared By: Prof. Sameer Mathur, Ph.D. Sameer Mathur Indian Institute of Management, Lucknow Marketing Professor 2013 – Marketing Professor 2009 – 2013 Ph.D. and M.S. (Marketing) 2003 – 2009