If you ask 5 different people to define experiential marketing, you’ll probably end up with 5 different answers (moreover, if you’re talking to the right people, all 5 answers will probably be on-target in one way or another).  Here’s a great piece by Erik Hauser from 2007 that comments on the “fluidity” of experiential marketing:

The definition of experiential marketing is fluid – as is the methodology itself. It was once little talked about, and is now being embraced as a silver bullet. I once posed the simple question of experiential marketing’s definition to the Experiential Marketing Forum (experientialforum.com), and received more than 200 definitions from more than 150 countries.

Given the wide range of views on what experiential marketing encompasses, it follows that literature on the subject abounds. Since many of these books rival college textbook prices, we thought we’d start a reading list challenge to lay down the definitive word on which titles are worth your time and money, and which ones are not.

We haven’t had time to read all of these experiential marketing books, so we turned to user reviews on Amazon.com and BarnesAndNoble.com to help sort through the mayhem.  We’ll ignore the reviews that read like the publisher wrote them for the back cover of the book, and focus on the brave souls who threw down their hard earned cash to discover if a book was a sleeper or a gem of marketing wisdom. The verdict will be a thumbs up, thumbs down, or when we can’t tell yet, thumbs sideways.

If you’ve read any of these books and have thoughts to share, please add your comments! If you add something particularly insightful, we’ll update the post with your thoughts and provide a link back to your site. Are you ready?

1. Experiential Marketing: How to Get Customers to Sense, Feel, Think, Act, Relate (1999),by Bernd Schmitt

The consensus on this book is that it treats old news (moving beyond features and benefits, marketing to consumer emotions, etc…) like it’s a revolution. Probably nothing you don’t already know.

2. Experiential Marketing: A Practical Guide to Interactive Brand Experiences (2009) by Shaz Smilansky

One 5-star positive review does not inspire supreme confidence but there’s no reason to believe there isn’t something worthwhile here. Jury’s out.

3. Experience the Message: How Experiential Marketing Is Changing the Brand World (2006) by Max Lenderman

Generally favorable reviews with a few thoughtful critiques. Lenderman hits the right notes with his analysis of the experience economy.

4. The Experience Economy: Work Is Theater & Every Business a Stage (1999) by B. Joseph Pine

This one seems to have withstood the test of time. However, it reads like a textbook (because it is one).

5. Customer Experience Management: A Revolutionary Approach to Connecting with Your Customers (2003) by Bernd H. Schmitt

Schmitt’s follow up to the 1999 release mentioned above received more positive feedback, but he still got knocked for his somewhat academic approach.

6. Managing the Customer Experience: Turning Customers Into Advocates (2002) by Shaun Smith

Positive reviews abound, but it sounds like a new edition is needed to take into account changes in mobile connectivity and the social web.

7. Critical Thinking in Consumer Behavior: Cases and Experiential Exercises (2009) by Judy Graham

No reviews to go on here. Have you read it?

8. Let Them Eat Cake: Marketing Luxury to the Masses – As well as the Classes (2005) by Pamela N. Danziger

According to one reviewer, the book lacks the why and how of marketing to the masses versus particular classes. Another reviewer thought it sounded an awful lot like this book, Trading Up: Why Consumers Want New Luxury Goods and How Companies Create Them by Michael J. Silverstein.

9. Ageless Marketing: Strategies for Reaching the Hearts and Minds of the New Customer Majority (2003) by David B. Wolfe

Loads of favorable reviews.  However, I’m curious what Wolfe would have to say on marketing to the new customer majority in today’s economic climate.

10. There’s No Business That’s Not Show Business: Marketing in an Experience Culture (2003) by Bernd H. Schmitt, David L. Rogers, and Karen Vrotsos

Seems to be targeting those interested in learning about what it’s like to work with major brands and (relatively) large budgets, not those who already work with well-known brands.

11. Events Design and Experience (Events Management) (2007) by Graham Berridg

A different look at events than what you might find in the other books listed here. The focus is on design elements.

12. Brandscapes: Architecture in the Experience Economy (2007) by Anna Klingmann

Another look at design in the experience economy. This one scales it up to the architecture of buildings and environments. Kudos to Klingmann for the portmanteau title too!

13. Place Branding: Glocal, Virtual and Physical Identities, Constructed, Imagined and Experienced (2009) by Robert Govers, et al.

While not directly applicable to experiential marketing, there are lessons here for any brand manager.

14. Trillion-Dollars Moms : Marketing to a New Generation of Mothers (2005) by Maria Bailey, Bonnie Ulman

Like Wolfe’s breakdown of the new customer majority, this title focuses on marketing to a specific demographic. Anonymous reviews don’t cut it though.

15. Brand Enigma : Decoding the Secrets of Your Brand (2009) by Duncan Bruce, David Harvey

A how-to guide for placing your brand at the center of your business… no reviews yet. Have you read it?

16. Life after the 30-Second Spot : Energize Your Brand with a Bold Mix of Alternatives to Traditional Advertising (2005) by Joseph Jaffe

Worth a look. Jaffe makes the case for mixing up your ad budget with new media. Another title where an updated edition might be needed.

17. Greentailing and Other Revolutions in Retail : Hot Ideas That Are Grabbing Customer’s Attention and Raising Profits (2008) by Neil Stern, Willard Ander

Interesting premise. No reviews though. Have you read it?

18. New PR : An Insider’s Guide to Changing the Face of Public Relations (2007) by Phil Hall

Looks at the role of experiential marketing strategies in public relations. No reviews yet. Have you read it?

19. Before the Brand : Creating the Unique DNA of an Enduring Brand Identity (2002) by Alycia Perry, David Wisnom, David Wisnom III

With this title, the emphasis is on brand identity. We’ll need to read it or hear your thoughts on it before we make up our minds though.

Experiential Marketing Delivers Engaged Consumers

Experiential marketing employs an arsenal of effective tactics ranging from nightlife marketing to campus activations, custom vehicle marketing to guerilla street teams, mall tours to word of mouth programs, and luxury marketing to publicity stunts.  Regardless of the tactic selected, there is one deliverable both client and agency agree is crucial — the engaged customer.

Without discounting the importance of acquiring new customers or re-engaging past customers (both essential), we believe experiential marketing can deliver results in the most sustained fashion by way of the long tail.   Be it the digital long tail of sustained content that feeds search, or the long tail of sales – all can be positively affected by events, experiences, and brand engagements that generate trial, consideration, adoration and conversation.

The Long Tail (image by Anup Shah)

Experiential Marketing Delivers Long Term ROI

The Advertising Research Foundation states in a recent study on experiential marketing that brand experiences “improve profitability by increasing both short-term sales and long-run brand demand… The tendency is to think they only have short-term impacts. On the contrary, the power of experiential marketing is shown in this study to go beyond short-term effects to generate a longer-term brand value.”

There isn’t a brand manager or CMO alive that would NOT want to get – and keep – 10-15% of their consumers “wagging.”  The lifetime consumers.  The new consumers interested in base, mainstay products.  The consumers interested in a company’s aggregate smaller product lines; and there’s good reason…Netflix being a great example.

Search engine optimization, word of mouth, and social media in general “wag” the Long Tail online with a constant supply of Flickr pics, blog comments, YouTube videos and comments, tweets and Facebook fan activity.  Brand generated content can get things started, but the real dividend of an experiential investment is consumer generated activity and its impact.

Experiential Marketing Delivers Lasting Relationships

Relationships begin with conversation, and at our shop that’s exactly what we sell.  We are conversant in sight, sound, scent, taste, touch, and the persuasive arts.

The Art of Conversation (image via tendaysontheisland.com)

It is in these conversations that brand advocacy is fostered, adopters become adorers, and new customers are won.  It is in these conversations that the prospects for a tail to grow long are greatly enhanced.  Brands can achieve both short-term and long-term goals with experiential marketing; it is a force multiplier in terms of real ROI…and that’s something to wag about.

As I sift through volumes of recent data and insight regarding social media (SM) and ROI, I am transported back in time. Long before Twitter and other SM platforms existed, we in the experiential marketing space faced the same brand team doubts and ROI questions:

• “How in the world can this expense be justified?”
• “How do we know if we got our money’s worth?”
• “Can you compare it to TV? We understand TV!”

A decade later, experiential marketing is an accepted entity while the “new kid on the block,” social media, is taking the brunt of industry skepticism. We experiential marketers must push for (and facilitate) the understanding of ROI in social media because we are inextricably linked by our disciplines’ abilities to significantly affect consumer mindset and – subsequently – consumer behavior. Our best practices bring out the best ROI in each other.

Experiential marketing is the epicenter, the nexus, the place where groupthink – or whatever you want to name it – happens. It’s where shared experience drives the sharing of the experience. It’s where the brand connects with the consumer, and the consumer becomes the conduit to their social network.

Because of social media, the energy of the brand experience is more easily broadcast to like-minded consumers. Engaged consumers at an event like Bacardi B-LIVE will share the experience with simpaticos in person and via Twitter, Facebook, YouTube, Flickr, etc. The digital ripple that emanates from the event is mighty, and it is measurable.

One tangible outcome of a powerful engagement such as B-LIVE is enhanced search engine optimization (SEO). A brand can climb the list in organic search by virtue of consumers blogging and driving traffic through comments on Twitter, Facebook, etc.. Give consumers a rich, sustained experiential and social media campaign experience to talk about, and they will do so. The more they mention the brand, the better the search results ultimately become.

It’s a finely knit garment, this blend of experiential marketing, social media, and SEO…but it’s real, it’s tangible, and it can be measured. It creates profound brand affinity and likelihood-to-purchase shifts in the consumer mindset.

For additional information about the ROI of social media, you may find the articles below helpful:

• HOW TO: Measure Social Media ROI
• 8 Predictions for SEO in 2010
• The Only Social Media Metric that Matters

Experiential agency selection demands careful consideration of where your spend is going. The current topic for everyone is of course the economy–or the “new” economy (a way to not say recession). But I think there is something to that turn of a phrase — let’s take a look:

Consider the term new economy not so much as a description of current conditions, but rather as a mantra — to think and spend and invest with new economy, with a new focus on value and a new premium on “being economical.”

I have a New Hampshire “Yankee” aunt. “Use it up, wear it out, make it do, or do without” is her mantra. In her world there NEVER, ever was a thing wrong with being “economical.” Her old economy, is our new economy, and it does have importance in Experiential Marketing. Here’s how:

If you are a person responsible for the marketing dollars of your brand, service, cable network, whatever, you have always had a fiduciary responsibility to seek the best deal for your company — and now you have to do that even better. The way you go about being more nimble, more “economical” requires a broader base of options, and the willingness to break old purchase habits. The “newly economical” require “new” services and vendors.

In our business there are largely two groups of experiential agency players — the ones who belong to big conglomerates, and the best-of-class independents We are the latter. In all honesty, both have merits, but we believe in this “new economy” marketers must adopt a “new economical” approach to doing business. This is where the privately held agency can deliver even more.

It is a tough time to justify the corporate fee/stipend/tax/revenue that subsidiary agencies must pay out of their P&E back to the holding company — usually it hovers between 15-20%!

That means every $1M of YOUR experiential budget can have $150,000 used to cover the network/holding company fee they assess to their subsidiary agencies — that’s a lot of dollars that could be better spent getting engagements with YOUR customers. Or in other words, not a very “economical” expenditure.

Thinking about the new economy - photo via Robert Rizzato, Flickr

If you are going to think in an entrepreneurial way to navigate the marketplace in these times — you would, it seems, be best served by looking anew at entrepreneurial agencies. Creative and strategy combined with executional capability should still win business — but don’t you think you can still get that and maximize your budget?

Those with the skills to be scalable, reactive, and still deliver best-of-class product will provide the best return on investment. We believe experiential marketing is an ideal marketing tool in which one can find great economy and maintain (if not increase) ROI over other marketing channels… even more so if you question the corporate tax/agency overhead that does not add anything to your program!

Put more of your budget into getting conversation, quality engagement and consumer consideration — not into the accounting, legal, and debt service needs of the network agency.