Hey there 👋 - Abhi here!
Happy Thursday to the 23,434 marketers reading today :)
It's my last week in San Francisco, and then I'm back in Chicago for a bit. I'm not ready for the cold, but you're not ready for the heat I'm bringing today either.
Today we're going to cover:
Oreo's diversification strategy
The psychology behind it
3 tactics for you
Reading Time = 3 minutes 42 seconds
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Oreo's Secret to Diversification
The Oreo is a household favorite. Wait! Let me clarify:
The classic Oreo is a household favorite.
No one likes Jelly Donut or Avocado Toast Oreos. At least I hope not. But that's just the beginning, there are more than 85 of these flavors. Each more absurd than the next:
To me, it seemed like an absolute waste of all those resources. But why does Oreo keep creating more of these weird concoctions? Well, there are a couple of reasons:
between 2017 and 2020, sales of limited edition Oreos grew 12%
during the same time period, sales of classic Ores grew 22%
These weird flavors didn't take away from the sales of the classic Oreos. In fact, it did the opposite. It increased the sales by triggering our cravings for the classic...
It all comes down to the Creative Curve:
Too familiar and it's boring. Too novel and it's off-putting. And based on Oreo's results, we can see that this same principle applies to product diversification.
Think about it this way, when a person enters a store and sees all those flavors:
the new, trendy flavors intrigue them
the classic? Makes them feel right at home
So what's the solution? The customer builds their own creative sweet spot by buying a combination of the novel and the classic. For Oreo, that means more $$$.
And according to Nik, the man who shared this wild insight on Twitter, "The key is striking that perfect balance between FOMO and nostalgia."
Needless to say, but as your chief marketing psychologist, I agree :)
Now that's enough about these confusingly, delicious Oreos. It's time to focus on you and your business.
Whether you're from a SaaS, agency, or DTC brand.
3 Tactics For You
1/ For DTC Brands: Bundle Your Limited Edition Drops
Don't release new drinks independently.
Bundle them and you will:
hit that creative sweet spot
derisk the customer's purchase
Nik did it this way too:
2/ For Digital Businesses: CopyWork
Take the best sales letters and stories, just rewrite them.
This will help you internalize the best frameworks and apply them in your own way. The perfect blend of the familiar (proven frameworks) and the novel (your voice).
In fact, my friend Nathan put together a course to help you with CopyWork. I'm doing it now, and it's great!
3/ For SaaS: Brand Logos
Imagine you're building revolutionary tech...
Your audience is already confused. Potentially overwhelmed. One quick way to help them out - showcase some well-known brands you already work with.
Your revolutionary idea (novel) + Well-known brands (familiar) = $$$
That's the 3 tactics :)
Out of curiosity, which niche do you work in? |
Regardless of your niche, though, check out my picks!
Abhi's Picks
🔍 Boost conversions and improve your marketing creatives with Predict AI. With over 95% accuracy, Predict helps you optimize ads, websites, and videos.
🔨 The Marketer's Playbook brings you the latest marketing strategies, consumer psychology, and more, giving you the edge you need to win in marketing.
🧪 A Free 5-Day Email Course On All Things DTC Conversion Optimization
ICYMI, last week we analyzed Barnum Statements.
A Review From A Fellow Marketing Psychologist...
So what did you think of today's newsletter?I appreciate all your feedback and read every comment. |
I look forward to reading your feedback :)
See you next Thursday,
Abhishek "I Need Some Sriracha Flavored Oreos" Shah
My Spot of the Week: Shake Shack
Had the Shroom Burger, and made a couple of new friends too.
Call me Abhishake Shack Shah ;)