Tag Archives: branding

Amtrak Tries a New Strategy: Hotel on Wheels

Do you travel by train in the United States?  And did you know that the U.S. has the largest rail transport network in the world at about 160,000 miles? Yet, the odds are that most of consumers not have gone on a vacation riding the train.

Last year, Amtrak carried 28 million passengers, up from 22 million in 2022. And, while there are other train services in the U.S. (particularly commuter trains), Amtrak is the only operator of regularly scheduled long-distance trains in America. It operates more than 300 trains each day to more than 500 destinations.

So, why don’t we travel on vacation by train more? Many reasons, including limited service to destinations by train, and many of the trains and stations are run-down or outdated. We have also become accustomed to air travel, which carries more passengers than do trains.

Environmentally, Amtrak uses 27% less full per passenger mile. Economically, train travel can be much cheaper. So, what is the answer for Amtrak? It will run a multiyear advertising campaign with the tagline “Retrain Travel.”  The ads will also compare rail travel to driving and air travel.

Ready to roll?

Group Activities and Discussion Questions:

  1. Poll students: Have they traveled by train? Why, or why not?
  2. List barriers to travel by train.
  3. Show Amtrak’s website: https://www.amtrak.com/home.html
  4. Also show Amtrak Vacations site: https://www.amtrakvacations.com/
  5. Show the new commercial – “Retrain Travel”: https://media.amtrak.com/2024/10/retrain-travel-30-second-commercial/
  6. Poll students about their opinions of the ad.
  7. Divide students into teams.
  8. For Amtrak, have each team select three different tactics. For each tactic, explain why it was selected and how it will be used. One tactic must be video ads.
  9. Have each team develop a story board for the Amtrak ad.

Source: Deighton, K. (1 October 2024). Amtrak’s new marketing strategy: It’s not a train, it’s a hotel on wheels. Wall Street Journal.

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Latest Candy Hit – Nerds Gummy Clusters

Do you love candy? We love candy – a lot! It typically starts around Halloween and continues until Easter. So many holidays to celebrate and candy is one way to enjoy them.

The problem is that there are also a lot of candy products from which to choose, many of which have been around for decades and have a devoted consumer base. That makes it difficult for new products to gain a market following. It can be even harder to resurrect a dying product, but Nerds has done it. Enter: Nerds Gummy Clusters, a gummy core holding just the right amount of mini Nerds to make the perfect, crunchy bite.

Nerds needed revitalizing. In 2018, Nerds sales were only $40 million. But in the past year, with the new product, sales have increased to $800 million.

Of course it doesn’t hurt sales to have celebrity Kylie Jenner rave about the product to her 200 million followers on Instagram. And then follow that with a Super Bowl commercial. The result is great brand awareness and sales for the new candy.

What are Nerds Gummy Clusters? The candy is manufactured in Illinois, beginning with a melted gel that is poured into molds that create small, chewy orbs that look somewhat like a gummy bear. Added to that is dots of sugar (also called baby Nerds) in which the gummy balls tumble through a river of baby Nerds until completely covered. Crunchy and gummy.

Yum…

Group Activities and Discussion Questions:

  1. Poll students about their candy consumption.
  2. What kinds of candy do they buy? How much do they spend on candy in a month?
  3. Show Nerds Super Bowl commercial: https://youtu.be/VHjNKVwIHfs?si=nHPchTuHRIr3pzGx
  4. Show Nerds website: https://www.nerdscandy.com/crunchy-gummy-yummy
  5. Divide students into teams. Each team will develop a new candy product.
  6. Who is the target market for the new candy?
  7. Describe the new candy product.
  8. How will the candy be priced?
  9. Where can it be purchased?
  10. How is it different from an existing candy product?
  11. Finally, have teams develop a marketing campaign for this product and market.

Source: Sanders, H. (29 October 2024). Inside the colorful and cultish world of Ners Gummy Clusters. New York Times; Vranica, S., and Cohen, B. (7 November 2024). America’s newest hit candy is gummy, crunchy and printing money. Wall Street Journal.

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‘Tis the Season for Advent Calendars

I don’t know about you, but I have seen a LOT of Advent calendars this year. For years,  the only Advent calendars available were rather inexpensive and had a single piece of chocolate behind the door for each day of Advent. But now it seems as if every product category is offering some sort of Advent calendar.

You may now be asking “what is Advent?” Advent, from “adventus” in Latin, means “coming” and refers to the four weeks leading up to Christmas. It started as a religious period for both remembrance and anticipation. Now, as the times have changed, so too have Advent calendars changed.

While the calendars still mark the days of the season and countdown to Christmas, they have evolved from having a small piece of inexpensive candy each day to now having full-sized products and gifts.

Today, Advent calendars are sold with makeup, jewelry, toys, foods, spices, alcoholic drinks, and more, with prices ranging from a few dollars to hundreds of dollars. [There are also more expensive and branded Advent calendars such as one from Swarovski with jewelry priced at $1,200 and Williams-Sonoma’s calendar of foods and goods is $300.]

One of the more popular calendars this year is from French jam company Bonne Maman with 25 days of differently flavored jams for $45. The calendar has become so popular that this year it opened for ordering in July (last year it opened in August). Since 2017, it has increased production of the calendar by 400%.

What Advent calendar would you like?

Group Activities and Discussion Questions:

  1. Discuss the use of Advent calendars in marketing a product or company.
  2. Poll students: What types of Advent calendars have they received or seen?
  3. Google Advent calendars and view an assortment of products.
  4. View Wirecutter’s list of Advent calendars: https://www.nytimes.com/wirecutter/reviews/our-favorite-advent-calendars/
  5. Divide students into teams.
  6. Have each team select a product that they believe could be promoted using Advent calendars.
  7. Develop a marketing plan for the calendar. Make sure to start with target market and include product description, price, distribution, and promotion.
  8. Since this is a time-sensitive product, build the timeline for development and promotion, through delivery.
  9. Teams could also prepare a mock-up calendar with artwork and daily gifts.

Source: Hennessy, M. (29 November 2024). How the Bonne Maman Advent calendar became a hot commodity. New York Times; Wirecutter. (24 October 2024). Our 20 favorite Advent calendars of 2024. Wirecutter.

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