Marketing Milk: Why the Dairy Industry is Mooing

For years, the dairy industry "owned" the category milk. In our minds, milk meant the stuff from cows. As a result, other forms of milk needed a descriptor. For example, nursing a baby wasn't about just "milk," it was about breast milk. 

Marketers know there is nothing better than dominating a category. Like FedEx created and dominated the category of overnite delivery, the dairy industry (a family of brands) dominated the category of milk. 

But, in the words of the great singer/songwriter Bob Dylan, "Times, they are a-changing."

Check out the game on the Got Milk website to find "real" milk. Here's a screen shot of how they show what one can only assume are the "fake" milks.

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Then take a look at their "Real Milk comes from cows" TV ad. Seems that the California Milk Processor Board (they're behind the long-running the Got Milk campaign) is getting defensive. That means Silk and other brands of Soy Milk, Almond Milk, Coconut Milk, Rice Milk, and others are taking not just shelf space, but market share from cow milk folks. Hence, the campaign to equate cow milk with real milk. 

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As a long-time consumer of the competing non-dairy products (when my "raised on rice milk" kids were little and lactose-intolerant, they heard the refrain cow milk is for baby cows at least a million times), I see this as a prime example of a category (milk) growing beyond its dominant product line (cow milk).

Will we see the day when restaurants say, "Would you like cow's milk, coconut milk, or rice milk with your cereal?" I suspect we will.

Sales Channels & Internal Competition at Verizon

I just bought a new phone at Verizon. It's always, umm, an "experience" shall we say. First I went to my local Verizon store to try some out. I found what I wanted (the new Samsung Fascinate in case you were wondering!) and told the very helpful salesperson I wanted it. Who told me they couldn't give me my special $100 discount until my 2 year renewal date hit in another week. By which time their SmartPhone "2 for 1 special" would be over. Hmm. I talked to the manager who said things like "nothing I can do. it's policy. can't change promotional dates or any rules, etc. why am i a manager anyway, etc. (I made up the last one)." Anyway, I knew that no matter how much I threatened to go to AT&T or played my 'good customer with lots of phone lines' card, it wouldn't matter. So much for the in-store retail sales channel!

Frustrated, I called Verizon and asked for a customer service manager. Who immediately agreed my request to start my new contract one week early and get the discount and the twofer was very reasonable. And she made it happen. When I remarked on how much better her service was, she said that it usually goes better by phone and that retail outlets often run into problems. And that phone sales reps can redeem "mail in" rebates without needing me to mail anything in. Made me realize that the two Verizon sales channels - in-store sales vs. phone sales - compete! With phone sales the clear winner. The question is should Verizon steer people toward the better sales channel? The answer...Why not?!