“Addiction marketing” is a phrase I coined a few years ago while waiting in line for my drink at Starbucks. I was looking at the mass of people who, like lost desert explorers racing toward an oasis, seemed desperate for their daily (if not more frequent) dose of caffeine. It was at this point that I realized that one of the key business drivers for Starbucks, if not the most critical business driver, was that Starbucks sells products that cater to people’s addictive tendencies. What Starbucks has done better than many other addictive vendors is that they also make succumbing to your addiction cool and trendy. In today’s blog post, I’ll examine addiction as a key success factor in business.
When I was in school, economics professors would lecture on using the drivers of supply and demand to create business advantage…business professors would evangelize the strengths of recurring value and stability in consumable products… marketing professors would expound on the benefits of relationship marketing, but nowhere do I remember being able to sign up for a class on addiction. However, if you think about “addiction marketing,” you’ll quickly realize what the “media movers” on Madison Avenue and the marketing and product development gurus in the corporate world have known for years. …everyone has their unique set of vulnerabilities that if creatively and effectively exploited will lead to strong sales and powerful brands.
If you read the business news over the weekend, you may have noticed that the Indian government is trying to force Coca Cola and Pepsi to disclose the formulas of their popular beverage products. One of the charges upheld in the High Court of India is that Coca-Cola and Pepsi products are addictive and harmful to health… Hmmm… Examine the following representative list of successful companies and/or industries and arrive at to their own conclusions about whether these companies or industries take advantage of the addictions of consumers around the world to generate their income:
vegas – The slogan “What happens in Vegas, stays in Vegas” satisfies just about every possible addiction under the sun… Sin City lives up to its reputation.
Label Body Spray – Tag’s recent commercial campaign has taken the phrase “Sex Sells” to a whole new level… In this campaign, all a teenager has to do is spray themselves with Tag product and they are instantly attacked by hordes of attractive. young women… If you have a teenage son, it’s a safe bet that Tag is his cologne of choice.
The beer and alcohol industry – It will be difficult to find a beer or alcohol company that does not represent the consumption of its drink as the key ingredient for a lifestyle of fast cars, beautiful women, successful careers, etc.
The Tobacco Industry – The tobacco industry has been publicly criticized for selling products that harness the addictive effects of nicotine, and even with all the known health dangers smokers face, in many cases the addictive nature of the product is greater than people’s ability to make a logical decision.
I don’t think anyone would question the examples listed above because they obviously prey on addictive consumer tendencies. However, what about the more subtle side of the addiction business? Isn’t Starbucks using the same addictive business tactics as the industries mentioned above? What about companies in the luxury goods sector? Companies that sell high-end products and services cater to the elitist attitudes of this segment, allowing consumers to make claims about their socioeconomic status based on the products they buy. Isn’t this also catering to addictive tendencies?
OK, now I’m going to touch a little closer to home… What about the value proposition of my company? We sell success… Isn’t it possible to see success as an addiction? What about the social media industry? Are social media users and bloggers addicted to interaction, attention, etc. What does the new media platform offer? While I could go on, I think my point is clear… I’m certainly not implying that all consumers are addicts, nor am I implying that all companies are “pushers,” but I am pointing out that addiction marketing sells and that many companies they use this as a strategic advantage. In fact, I think the evidence is clear that a company can create a strong strategic advantage in sustainability if it doesn’t find ethical flaws in what I’ve coined “Addiction Marketing.”
The bottom line is that I love traveling and watching movies and I don’t think that makes me an escapist… I have a thing for Starbucks (venti caramel frappacinos in particular) and I don’t think it’s a caffeinated one. addict, I appreciate fine clothes and quality cars and I don’t think that makes me a social elitist. However, I have also come to realize that my clearly perceived addictive tendencies are intended to be taken advantage of by clever and creative marketing and product development efforts. I leave you with the following questions to ponder:
What is the difference between pleasure and addiction?
Do you think “addiction marketing” is ethical?
Does your business engage in addictive marketing strategies and tactics?
And, when was the last time you made a purchase based on your addiction?
