Insight Advertising, Marketing & Communications

Supermarket Prices...STILL Going Up

Amid growing unemployment, inflation fears and consumer saving vs.spending the prices you pay for food is still increasing.  But, like they say, the good news is not by as much as in 2008.

Nielsen Research just released their Supermarket Pricing Trends and noted the increase of 0.44 percent is much lower than last year at this same time.  They look at 45 different items that includes everything from butter to bleach and bacon to hot dog buns.  Those same 45 items today will cost you, on average, $143.65.

Contrary to what we've written for our radio show, Insight on Business, the new survey says private label products have actually lost ground in pricing.  In fact, private store brands fell by 4.7%.  We don't think that is because of panic selling on the part of the labels...we do think it's a correction in the inflated pricing we saw from last year.

The report incorrectly suggests that the price of dairy items have fallen due to the fact they were "over priced" last year.  Somebody in New York City must write this stuff.  The real reason dairy pricing has dropped is because the dairy farmers are receiving less than half of what they made last year.  In fact, times are so bad on many of the nation's dairy farms we're beginning to wonder if the commercial dairy industry might be the next thing to head "South of the Border".  Meanwhile, anti-trust issues are popping up against the handful of companies that control the US milk market. 

So, what does this mean to you...if you are in the business of selling products or services.  We think it suggests you can raise prices...slightly IF you are trying to cover for increases passed on to you.  However, be careful...consumers have more information today than just two years ago and it price adjustments are too far out of whack.  Expect a backlash.

Michael P. Libbie - Insight Advertising, Marketing & Communications - Learn more about us at www.InsightCubed.comand follow us on Twitter, @MichaelLibbie.  And, of course...read us in The Des Moines Register.

Sunday Morning Coffee - October 12

Sunday mornings usually find me writing last minute items for our radio show, Highway 6 - Your Road to the Country.  It's a rural lifestyle show coming out of Central Iowa and this nation's only full hour talk show about living and loving small farms and acreages.

Sunday Morning Coffee was, in a way, the the radio show before we started the show.  In it we look at several topics in quick bites.

Let's go:

There seem to be few bright spots in the news these days.  One of the scary things for farm states is the drop in the price of corn and soybeans.  In the past sixty days the commodities markets have lost 30% with corn dropping back to around $4 on the heals of the USDA estimate of a larger harvest that previously reported.  So, what does that mean?  1)  Slower economy in rural areas; 2)  Reduced prices but increased costs to farmers.  However, lower crop prices should help livestock farmers/ranchers.  We'll see.  Monday the government is closed (Columbus Day) but the markets are open.

The Iowa Chops have won their first two games of their American Hockey League (AHL) debut in Des Moines.  Both wins are come from behind victories.  The Chops (farm team for the Anaheim Ducks) replaced the Iowa Stars (farm team for the Dallas Stars) this season and play a very different style of hockey.  The Stars were a skating team...the Chops are a physical team and it's got the fans excited.  Not a hockey fan?   Come on...  Go once and get hooked!

Who is in charge?  With Americans disapproving of nearly everything going on in the country it's clear there is a profound lack of leadership.  And, when the conservative talk show hosts are relentless in their attacks on the Bush Administration...  Well, none of this looks good for John McCain.  The real question is can Obama turn the millions of young voters out on election day?  As David Yepsen from the Des Moines Register said today, "Don't count McCain out just yet."  David also said McCain won the first debate.

On a related note...Iowans can vote early and 14% of the voters already have.  The numbers:  65% - Obama, 31% McCain.  The Daily Kos has early numbers from some other states like Georgia and North Carolina.

Yesterday my wife rode her bicycle 127 miles.  That is NOT a typo!  It would have been a little less, but she made a wrong turn.  Here is the proof in the form of a phone photo she sent to me still 27 miles short of being home.  Amazing and yep, I'm pretty proud of that.  Nice job!

Hey...it's 7:15...time to head to the studio 983wowfm for the show.  Thanks for reading.  A reminder Highway 6 - Your Road to the Country can be heard by using your computer.  Just head here and click in.

Michael P. Libbie - Insight Advertising, Marketing & Communications 

 

The Best Job In The World?

This past week I spent a couple of hours at my favorite wine shop, Casa di Vino owned by my friend Howard Bernstein.

I've been bugging Howard to get into the world of blogging and start sharing his knowledge with the rest of the world.  And, for folks like me that don't know "vintage wine" from "vintage photos"...we could use some help.  That's why I was so excited to get the e-mail saying Howard was ready to jump in.

I've been amazed at how few brick and mortar wine merchants are blogging.  I'm not sure if they don't know about it or if the "mystery" of wine is too valuable to share.  But, I'm happy my friend is doing this.  Go ahead, have a look...I can wait.

So, Howard...welcome to this great way to interact with so many people.  You'll find folks friendly and really interested in what you do.

Speaking of what Howard does...like go to corporate wine tastings and doing 65 to 100 different wines in a day.  You might think he has the best job in the world.  But, nope.  I do.  Every day I get to visit with great people that have wonderful stories and even better products or services.  So, I'm not trading...but if he ever needs anybody to hang out and pull corks.

By the way...I only started him on this project.  I've suggested to Howard that he visit with Mike Sansone the "Iowa Godfather of Social Networking".  Mike you listening?

Michael P. Libbie - Insight Advertising, Marketing & Communications where we like wine, honest! 

Des Moines Restaurant Week...final cut

Here we are...day four of Restaurant Week in Des Moines, Iowa.  This time at Alba in East Des Moines....

Me?  I am looking at somebody in space...

Great food but they ran out of various "specials" at like 8pm?    Anyway, for somebody that did not hear about this event until Monday...I'm more than happy to take part.

It's an interesting marketing item too.  The week that school starts is traditionally the worst week of the year for your local restaurant.  So what better time to load up on the marketing and push for a first ever event like this?  Our bet is this is here to stay and the 33 places that decided to join in....will enjoy a higher profit week than they did a year ago.

And...tonight our waiter was John....he and we had a great time.  Here he is seen opening a new bottle of wine.  While John and Ron point to others who should have been more responsible. Thanks Waiter John for your help!

Friday night, I don't t get to go...but I hear Sam & Gabes is on the list.  Their Steak d'Burgo is to die for.

Thanks for a wonderful event.

The Last To Know...Or Wrong Vehicle?

Earlier this week my friend Michael Leo called and wanted to remind me that it is Restaurant Week in Des Moines.  He wanted to get together with other friends and hit some of the 33 different Metro restaurants offering a three course meal for only $20.08 per person.

I'd not heard a thing about it.

Usually we pride ourselves on knowing what the heck is going on in town...but this one totally missed us.

I did not read about it, nobody that I know blogged about it, I did not see it on the local television news....nada...nothing.  Am I out of the loop or was the vehicle used to transport the news not in my world?

So I went looking.

I found this piece on WHO-TV and this piece from the Des Moines Register or Juice...I just can't tell.

I see where the Des Moines Business Record and the Des Moines Convention and Visitors Bureau came up with the idea....  And it's a great idea...

Oh, And Sara had this piece on her BLOG.  Nice site!

Did we take advantage of Restaurant Week in Des Moines...you bet!  Here we are at Christopher's...and we're having a great time...but I swear I'd not heard about it until Monday!  I've GOT to get out more or expand my reading to stuff NOT associated with advertising and marketing!

Michael P. Libbie - Insight Advertising, Marketing & Communications where we need to "get a life"!

The "Food Dude" This Sunday on Highway 6

If you live or work in Central Iowa you've no doubt read the articles in CityView by Jim Duncan - "The Food Dude".

Recently Jim wrote a piece on "The Way We Eat - Cutting out the middleman with fresh and local foods".  Jim will join us on our live radio show this Sunday morning at 8 on 98.3 WOW-FM to discuss the fresh food brand.  Is it a fad and fancy or here to stay?  What did he learn about Buy Fresh/Buy Local?  What is the impact on area restaurants and grocery store chains?  How have, in his words, producers built the brand?  And...even...what the heck is it?

Jim Duncan - "The Food Dude" this Sunday morning on Highway 6 - Your Road to the Country.

In a related "food" development:  This Saturday the 16th television network Bravo and the program "Top Chef - The Tour" will be at the Des Moines Downtown Farmers Market.  If you are interested...here's the story.

Michael P. Libbie - Insight Advertising, Marketing & Communications where we're into fresh, local and good!

So, What Are You Doing For Mothers Day?

Insight Advertising - Our Business Publication

Now THAT might be a loaded question but I've got a reason for asking especially if you live in Central Iowa.  This is special...

We've teamed up with The Embassy Club and Dondino to bring to Des Moines a great Mother's Day Event.  Something really, really different!

An Elegant Mother's Day Event for mothers of all ages.  (Maybe even a great "date night" for you and your wife!)  Here are the details (well ahead of general publicity) so you can make plans now.

Saturday Night - May 10th (the night before Mother's Day) there will be a Dinner and Las Vegas Style Show in The Grand Hall of The Temple for Performing Arts.   This will not be like anything you've experienced before.  It is a great meal, gifts for all the ladies and a fantastic full blown show...Vegas Style.

The meal, according to our friend, General Manager and Culinary Director, Michael LaValle will be something very special.  "The Embassy Club is known for excellent food and top notch service.  Our goal here is to extend our reach into the community and build a series of special events at the Temple.  It will be something truly unique."

Headlining the evening will be the elegant, professional crooner Dondino.  An Italian native, raised in Brooklyn, Dondino spent years perfecting his show in Las Vegas.  Ten years ago Dondino moved to Des Moines where has been active in the Variety Club of Iowa.  While he continues to travel his home base is right here. "I love it in Des Moines", says Dondino.  "We've put our roots in one of the best cities in the nation and it's been very good for us."

Dondino will be doing the romantic standards of Sinatra, Martin, Davis along with his own compositions.

Make plans now for a very elegant Mother's Day Evening with the music of Dondino the fantastic food from The Embassy Club set in The Grand Hall of the Temple for Performing Arts.  Tickets can be purchased through the Embassy Club and major credit cards are honored.

• Dinner & VIP Stage Seating for the show - $65 each
• Dinner & Show - Tables of Ten - $50 each
• Show Only - $25 each

Dust off the "fancy duds".  For reservations - 515-244-2582

Michael P. Libbie - Now doesn't this sound like fun?

Hy Vee - When You're the Face of the Company

Sure, it's a goofy name if you're not from the Midwest.  But, HyVee has been a tradition here in Iowa for over 70 years.  Their age old slogan, "There's a Helpful Smile in Every Isle" (Did I really type Isle rather than Asle?  Must be my "English as a Second Language" class ain't working!) has been sung by scores of folks...and now with over 220 stores in the Midwest this privately owned chain is iconic to many.

But HyVee is experiencing a problem. 

You see, we think that many of the children that HyVee employs simply are not keen on being friendly.  Let alone smiling.

The most bothersome thing is that after the young man or woman says, "Did you find everything?" the conversation with the customer stops.  Dead.  And often, like this past Monday night, the young lady continued her conversation with the other young lady who was bagging.  They had some very important evening plans.  I did try, once, to engage...but I was ignored.  She did stop her co-worker conversation long enough to say, "Here's your receipt, have a nice day."

If you are a first time reader you need to know that we are not always critical of companies we come across.  In fact, we often lift up those excellent experiences and tell others about them. 

We're not sure what's up at HyVee...maybe we need to bring back a friend who really understood customer service.  Who?

Ron Pearson.

I've met Mr. Pearson at several events over my 20+ years here in Iowa.  It used to be that Ron was the "face" of HyVee.  He was in countless television ads, you would see him at the State Fair, he would go and visit stores, without notice.  At least that's what my old friend Dick Handy once told me.  (Dick was the store manager in Fort Dodge...  He loved the customers and once told me Ron Pearson demanded everybody work hard at "treating the customer like family".) It made a difference...to Dick and his crew.

I last saw Mr. Pearson a couple of years ago when he and his wife attended the wedding of Fred Schneider's daughter at the Wakonda Club here in Des Moines.  That's when he was CEO.  Now he's the Chairman of the Board and no doubt out of the loop.

I don't know, nor have I ever seen Richard Jurgens, the current CEO.  I suspect he's a nice enough guy but...something is missing.

Sometimes when you brand a company with a person there is a "go to" feeling...somebody that talks and walks the program.  Maybe Mr. Jurgens does...  But, then again, maybe that's why the entire brand has changed.  It's about food...not about the customer?

Maybe some of the kids could use a refresher course of the "old school"?  Maybe the design and PR firm they own...could help?

Michael P. Libbie - Insight Advertising, Marketing & Communications

Wine Making...In Your Own Winery?

The advertising agency business can be fun.  New, innovative and different is what we live for.

There are many things we enjoy.  Among them is finding new and exciting ways to build a business and then passing that information on to like minded individuals (You!).

Here's one that we thought was very clever.

There is a section of Des Moines called "Sherman Hill" that was once a blight on the city.  Today that same area has dozens of restored Victorian Era houses.  It's now a tourist destination.

This past Sunday the Sherman Hill Neighborhood held a tour of homes.  For $10 you could walk the route and visit homes that were being restored or had been completed.  Fun stuff.

One of the homes on the tour also had a business that hit our passion for innovative.

"Vines to Wine" is all about having individuals make their own wines from juice imported from California.  We're not talking sweet grape juice but some of the finest varieties available.

Here is how it works:  Get a group of friends together, make a reservation, decide on what type of wine the group would like, pay the money, sit around learning about wine while "making" your own.  Slap your own label on the bottles two months later and vola!  You've got wine!

Marketing the unique idea has not cost much and word of mouth has brought dozens of groups to the home.  Wines cost between $10 to $12 a bottle.

Neat idea and kudos to Eric and his family for bringing this idea to Iowa.  So, what do you think?

Michael P. Libbie - Insight Advertising, Marketing & Communications where we're always looking for innovative ideas...and we share.

Does The Image REALLY Matter?

You are really going to like this one...  It's an interesting story about consumers and how they react to image as reported by Science Daily.

According to a Cornell University study released last week, the simple changing of a wine label increased the consumers positive dining experience AND resulted in a diner being more likely to book a return reservation to the restaurant.

Forty-one diners at a restaurant in Urbana, Illinois were offered a free glass of Cabernet Sauvignon with their up-scale meal. Half of the wine was poured from a bottle that was labeled, "Noah's Winery of California" while the other half was poured from a bottle labeled "Noah's Winery of North Dakota".

Those folks who were drinking the "California" wine rated the wine AND the food as tasting better.  They ate 11% more of their food and were more likely to book a return reservation.

The kicker?  The wine was the same.  An inexpensive wine, in the $2 a bottle price range, from Charles Shaw.  All that was different...was the label.

It was all about expectations.  But in this study it was a "triple whammy" of sorts.  Not only was the "North Dakota" wine disliked more but so too was the food and the consumers were less likely to come back to the restaurant.

As a business owner...are you paying attention to things like "image" and "perceived image"?  Think your "logo" doesn't matter...or your business cards, letter head or website won't make a difference?  How about your print advertising message...does it drive folks to you...or away?

What does your label say?

Michael P. Libbie - Insight Advertising, Marketing & Communications where we're in the labeling business....