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Gonzo Marketing: Winning Through Worst Practices

Reader Steve MacLaughlin (you can visit his blog here) contributed this review of Gonzo Marketing: Winning Through Worst Practices, which sounds like an interesting followup to The Cluetrain Manifesto. Whether micromarketing of this sort really takes off will depend chicken-and-egg-like on whether a few companies escape being annoying and actually get people interested in what they have to offer. Gonzo Marketing: Winning Through Worst Practices author Christopher Locke pages 256 publisher Perseus Publishing (2001) rating 8 reviewer Steve MacLaughlin ISBN 0738204080 summary Leaping through and thrashing about current conceptions of reaching people and making money in an inexorably more-connected world.

Christopher Locke, one of the co-conspirators of the best seller The Cluetrain Manifesto, has again set off to teach companies how to talk, not just offer lip-service, to their customers. In Gonzo Marketing: Winning through Worst Practices, Locke takes on the myths and monuments of marketing armed new ideas and a razor sharp wit. Buckle up. Hold on. Mr. Locke is going to take you on a wild ride to the new world of marketing.

While the book's frenzied style will be compared to that of Hunter S. Thompson, I view the book instead as the first real book written in hyperlink-style. Jumping all over the map and all over the mind in search of gonzo marketing. Scrolling from idea to author to tactic and back again around the horn again.

Locke devotes a portion of the book to a refresher course in The Cluetrain Manifesto?s teachings: Markets are conversations. The Web is a micromarket made up of individuals. Your mass market mind tricks won't work on us. Gonzo Marketing picks up from there with a deeper examination of how companies must understand how micromarkets operate.

Locke accomplishes this by giving readers a detailed examination of the evolution of current marketing thought. The experts and evangelists range from Marshall McLuhan to Noam Chomsky to Sergio Zyman and Seth Godin. I stopped counting books and articles Locke mentions or dissects when it hit 32. Gonzo Marketing is quick to point out when grand ideas, like Godin's "Permission Marketing," were nothing more than underhanded tactics to send us spam.

What Locke pushes forward instead is this notion of gonzo marketing. Gonzo marketing "is marketing from the market's perspective. It is not a set of tricks to be used against us. Instead, it's a set of tools to achieve what we want for a change." No more tricks. No more schemes. No more mass market messages.

Gonzo Marketing also explains the evolution of the micromarket. Mass production created the need for mass markets. But globalization has been cutting the mass market into smaller and smaller pieces for many years now. The rapid proliferation of the Internet has only increased the growth of these micromarkets. While only global giants were once exposed to the power of micromarkets now companies of every shape and size must learn to deal with them.

The bad news for companies is that micromarkets are here to stay. As Locke puts it, "The web is a non-stop planet-spanning celebration. And we ain't goin' back in the box." The good news is that companies can be active participants in these micromarkets. But Locke isn't talking about "hashbrowned or refried databases" but instead "genuinely social social groupings." Micromarkets are "collections of people, communities joined by shared interests." And the big catch is that you need to belong to these groups to have a conversation with them.

This all sounds very 1960s commune-esk. And some readers may quickly label Locke's ideas as being as foolhardy as those he criticizes himself. But the evidence of micromarkets in action are all around. Internet chat rooms allow micromarkets to flourish and communicate like never before. Interested in rare coinage from the ancient world? There's a micromarket and somewhere people are talking about it, and telling people where to buy the best Tiberius Aureus Tribune penny. Online personal Web logs, also called blogs, allow micromarkets to share ideas, discuss new products, and to speak their mind in a way that traditional journalism never allowed for. Think, Oprah Winfrey's Book Club x 50 million and growing. Get the picture

Locke points to companies like Ford Motor Company, Delta Airlines, Intel, and Bertelsmann who are already reaching out to micromarkets. In February 2000 Ford announced that it was giving each of its 350,000 employees a computer and Internet access, and it didn't take long for those other companies to follow suit. Sure, Ford wants to put technology in its people's hands, but "the real deal is that Ford has unleashed 350,000 independent and genuinely intelligent agents to fan out online and listen carefully." First people start listening, then they start talking.

Gonzo Marketing doesn't tell companies they can't market to customers -- but that they need to radically rethink how they communicate. Before the automobile, the transcontinental railroad was the only easy way to get to the west coast. Before the Internet, mass marketing was the only easy way you could communicate on a global scale. And the railroads of old were just as inefficient and costly as the bloated marketing budgets of today.

Where as Cluetrain described the disease in detail, Gonzo Marketing concludes with a cure for companies to begin using. While Locke often sounds anti-big business, he notes that it is these larger companies who have the best advantage in making the early "transition from traditional marketing to more intimate micromarket relationships." They can begin to experiment with gonzo marketing by skimming a little bit off the top of their massive advertising budgets. Companies need to value their employee?s individual interests, and to find ways to nurture those interests. Allow people to go out and be ambassadors for your company, even if their interests have nothing to do with what the company is selling. People are more likely to talk to people with whom they share common interests than to corporate talking heads that share no common ground. Think about it.

Gonzo Marketing makes for great reading because it gets the gears in your mind turning. Everyone says their employees are their best advertisers. What if you really put that kind of attitude into action? Taken individually, micromarkets may seem insignificant, but collectively they have the power to move mountains. Locke concludes Gonzo Marketing with instructions for those pioneers that want to make first contact with micromarkets: "Hook up, connect, co-create, procreate. Redeploy. Foment joy. Brothers in arms, sisters of Avalon, champions of the world get to work."

You can purchase this book at Fatbrain.

24 of 222 comments (clear)

  1. Successful marketing. by Matt2000 · · Score: 5, Interesting


    The best way for marketing to be effective on me as a consumer is to... wait for it... show me products I am actually interested in.

    Micro/macro/viral marketing call all suck it as far as I'm concerned. Show me things I have even a remote chance of buying and watch as advertising becomes effective for the first time in it's history.

    --

    1. Re:Successful marketing. by iso · · Score: 5, Insightful

      I would like to point out that in order to find which consumers are interested in a company's product, market research is required. A lot of people around here complain about market research companies harvesting data from people, through cookies and devices like personal video recorders.

      Privacy advocates are up in arms about this kind of research, but these people have to get it through their heads that these companies don't give a fuck who you are. To them you're just a number. A number who happens to like programming books, geek shirts, alternative music and donkey porn. And it is through that information that you can get what you want: "show me products I am actually interested in."

      - j

    2. Re:Successful marketing. by donglekey · · Score: 3, Insightful

      Exactly, you are dead on. I'll just say that google has it right, everything2 could make money if they wanted, and slashdot could probably make a lot more, not through more ads (WHICH ISN'T THE ANSWER) but from being smart about it. I just clicked on an ad for frustration tees from Think Geek. I am likely to buy t-shirts. I am not likely to buy servers, I don't make decisions for a company. Will this be recorded? Not the last time I checked. There are many other ways too, you just have to think.

      Tricking people into looking at shit they don't want... will not make them buy shit they don't want! Oh my god really? Punching the monkey and conning someone out of 2 minutes doesn't make people buy X10 cameras that they don't care about? Etc. That's why internet advertising doesn't work. It could.

    3. Re:Successful marketing. by sg3000 · · Score: 5, Informative

      As the token sleazy marketing guy that reads slashdot, I feel obligated to weigh in there.

      First, to correct someone else who commented earlier, the point of marketing is not to convince someone to buy what they don't need. That's nuts; getting someone to buy something they don't need is no way to build a business. There are, however, two points to marketing:

      1. Differentiation: explain the value of your products to solve a prospect's problems better than those of your competition.
      2. Segmentation: determine what attributes your product has (or needs to have) to solve problems that your prospect is willing to pay to solve. This means either take an existing product to solve the products of different prospects, or start with a market that you're successful in and build something new that solves additional problems.

      So looking at that, let's consider your statement:

      > The best way for marketing to be effective on me
      > as a consumer is to... wait for it... show me
      > products I am actually interested in.

      that's a concise goal, but it raises additional questions.

      > marketing to be effective

      What do we mean by "effective"? What do you do? what problems are you having today and you're trying to solve? what buying decisions are you involved in? how much money do you have? How much are you willing to spend to solve the problems you mentioned? How about your ideas of brand loyalty? How long will you keep the product?

      > show me
      Okay, how? Come to your house? Come to your office? Set up a booth at a trade show? Which ones? Advertise in trade magazines you read? How do I know what you read? Advertise on Slashdot? What if you're blocking ads? How about television ads? What do you watch? Are you using Tivo to skip ads? Do you like billboards? Do you prefer mailing circulars? Is there a more cost effective way of reaching you?

      > products I am actually interested in

      How do I know what you're interested in? Is it related to what you read on the web? Is it related to your job? How about your hobbies? Do you know what specific products you want? How about product categories? What attributes do you consider important in your buying decision? What attributes does your boss force you to have, but you don't think you really need?

      My point is your statement makes perfect sense, but it leads to a lot of other questions as well, which is what complicates the issue. And just like with anything, there are good approaches to it, and bad ones (for the web these would include annoying popup ads, email harvesting, spam, telemarketers, etc.). Just like you, I hate the annoying approaches, but remember, hearing someone say they hate marketing is like when you hear someone say they hate computers. They don't really hate *computers*, they hate the experiences they've had with certain computers (or software programs, or whatever) so far.

      --
      Insert simplistic political, ideological, or personal proselytization here.
    4. Re:Successful marketing. by WNight · · Score: 3, Funny

      Actually, the caller ID is the phone company selling you out...

      They sell Caller ID, but then sell a service which completely blocks it (like *67, but permanent).

      They then often sell a service to get around the blocking, and some are contemplating selling a service to get around that.

      It'll end up with everyone buying five levels of block/display and ending up with the same situation as now, except that the phone companies will make more money.

  2. I don't know... by Dirk+Pitt · · Score: 3, Funny
    but it seems like only Disney could market Gonzo--don't they own the Muppets?


    Wakka wakka wakka!

  3. Marketing and control by Alien54 · · Score: 5, Insightful
    Earlier marketing models and research have been devoted to controlling the market. This has been done using the very best methods using the best techniques that modern psychology has to offer. This is where the vast majority of the marketing money has gone.

    Yes, If you want to be paranoid, you can call this mind control. Or you can give some other politically correct name and feel better about it.

    But in any case what has happened with the internet is that the monkeys have escaped from their cages, so to speak. This is what the concept of micromarketing has tapped into, but it is more global than that.

    This is because marketing is not just for business. It is also used for political agendas.

    Marketing tries to aggregate people into masses. This is because it is easier to deal with the demographics of large groups of people. Also, large masses of people are easier to manipulate with images and emotions such as fear, sex, etc.

    If you cut the visceral reactions to various images out of the loop, then there is a problem. Then you end up with dealing with individuals with individual thoughts and ideas and experiences. It is far easier to market to a million people as a mass market that to market to a million independent thinking individuals.

    --
    "It is a greater offense to steal men's labor, than their clothes"
  4. And do that... by Greyfox · · Score: 4, Insightful
    Without profiling you or intruding on your privacy in any way?

    Man, you don't want much, do you?

    Well, maybe not you per se, but a vocal segment of the slashdot community. There's something fundamental missing for the advertiser. Something simple... maybe he should ask you what you're interested in. That might be a little less annoying than current methods, and allows you to control what information they recieve.

    --

    I'm trying to teach myself to set people on fire with my mind... Is it hot in here?

    1. Re:And do that... by CyberKnet · · Score: 4, Insightful

      I dont quite think that would work though...

      Follows is an actual(*) conversation between a marketing agent and an internet user.

      Salesman: "Hi, I have bunches of products to sell... but I care, I only want to sell you what you WANT to buy. So. What would you like me to advertise?"

      Recipient: "Go away. I dont WANT to be advertised to. I am more than capable of doing my own research."

      Salesman: "OOooh now you've done it. I'm going to monitor your favorite websites, and then I'm going to blast 640x480 popups and banner ads specifically targeted at your browsing habits. Watch out for them, they'll make you buy my stuff anyway!"

      Recipient: "Why cant you just ASK me what I want, huh?"

      (*) Actual conversation made up by myself

      --
      Video meliora proboque deteriora sequor - Ovidius
  5. Re:X-10...get the hint! by Black+Parrot · · Score: 3, Funny

    > Wonder if someone at X-10 is reading this...or reading the book?

    No, X-10 is a write-only operation.

    --
    Sheesh, evil *and* a jerk. -- Jade
  6. You argue the privacy advocates' position by Loundry · · Score: 3, Insightful

    Privacy advocates are up in arms about this kind of research, but these people have to get it through their heads that these companies don't give a fuck who you are. To them you're just a number.

    And this is precisely why I am up in arms about that kind of research: because, to them, I am "just a number." Companies don't care that I am am human with notions of privacy and dignity. I'll take my privacy and dignity over someone else's notion of "what I might want to buy from them" every single time. To companies trying to make money, my privacy and dignity are barriers to their profit-making abilities. What gives them the right to take it?

    And if you argue that people have no privacy, then I reserve the right to clandestinely take photographs of you masturbating and send those photos to everyone who knows you, including your employer, potential employers, and your extended family.

    --
    I don't make the rules. I just make fun of them.
    1. Re:You argue the privacy advocates' position by great+throwdini · · Score: 3, Informative

      this is precisely why I am up in arms about that kind of research: because, to them, I am "just a number."

      You must really have a problem with the census, then, and all the benefits that arise from it and other forms of social research. Intelligent marketers want to achieve the same goals as with any social research project - learn as much as they can about target populations as accurately and efficiently as possible. In the case of marketers, so they will know who best to peddle their wares and what wares will sell best.
      The leap from statistical analysis of populations to the privacy concerns you voiced is a large one. Why moderators continue to confuse slippery slope arguments with true insight is beyond me.
  7. micromarkets by SirSlud · · Score: 4, Interesting

    ... are basically a return to the idea of mom & pop. We all find blanket marketing annoying, but we have friends who 'advertise' whatever they are interested in to us, every day, and it doesn't bother us. It's perception. If we feel that the carrier of the message has alot to gain from you being receptive, we're more likely to 'rebel'. Much of this subject centers around the perceived gain of communication .. ie, some employee/salesperson posting on a board or hosting a community or whathave you. Since the messanger isn't "CORP X" but "Joe who works for CORP X", we tend to think less about putting more money in the pocket of the company and more about Joe probably saying what he's saying because he /believes/ in it. He's not going to win a zillion dollars if the communication results in a sale (hell, the company has no way of really tying you back to him), nor is he going to lose his job (unless he truely is a salesperson) if you subsequently decide not to purchase, or do so from a competitor.

    So, we had: people at company -> communication/marketing dept -> you

    And the dream is: people at company -> marketing dept -> people at company -> you

    Which is best for all of us, as it puts social responsibility and accountibility back in the hands of a community (ie, community of exployees) rather than the all-or-nothing super-hygenic communication that comes out of board-meeting-inspired mass ad campaigns. Note that I am not saying that the form and message of that communication won't still go through the marketing dept and PR-sanitizers, but for the most part, humans want to talk to humans; not answering machines, billboards, or any other one-to-many communication platform.

    I mean, at the end of the day, we all work for companies, and I don't believe we're all evil. We are just capable of intrusive or annoying behaviour far better when our names and individuality is 'trimmed' from the communication. People are very very cynical today about advertising, but we have to understand that we all, to some extent, depend on it. The goal is to balance the needs of the consumer (to allow them to distinguish between marketing and personal communication) while bringing marketing more inline with the types of communication that we actually enjoy and participate in every day.

    --
    "Old man yells at systemd"
  8. Any actual effect from "Cluetrain"? by sphealey · · Score: 3, Interesting

    There was a lot of excitement around "The Cluetrain Manifesto" when it was first published.

    Personally, I found it to be similar in many ways to "Seven Habits of Highly Effective People": a couple of useful observations and good ideas, wrapped up in many pages of useless blather, pseudo-religion, annoying condescension, and obviousity.

    Has anyone seen any effect, anywhere in the world or the world's economy, resulting from the publication of "Cluetrain"? From the perspective of late 2001, that is, with all the dotbombs now fully buried, not 1999.

    sPh

  9. WTF is this?? by denshi · · Score: 3, Insightful
    Gonzo Marketing doesn't tell companies they can't market to customers -- but that they need to radically rethink how they communicate. Before the automobile, the transcontinental railroad was the only easy way to get to the west coast. Before the Internet, mass marketing was the only easy way you could communicate on a global scale. And the railroads of old were just as inefficient and costly as the bloated marketing budgets of today.
    What kind of stupid analogy is this?? 'railroads inefficient and costly'? WTF planet are you on? The auto is a fantastically inefficient vehicle compared to a rail system. The auto generally expends, minimum, 3 times the fuel that a train expends when transporting proportional masses. There's a reason trains, rather than sedans, are used for freight. MacLauglin is spouting some kind of stupid American 'my car is god' fetishism. It's getting in the way.

    There are real economic trends that support "Gonzo Marketing". Much of it will come true. But this kind of bad writing isn't helping. One trend is that everyone is this future will be a writing. Hopefully MacLaughlin takes some time between now and then to learn how to write effectively.

  10. Constrasting view? by sharkey · · Score: 5, Funny

    Locke wrote the book, but I want to hear Demosthenes take on the book and subject before I buy it.

    --

    --
    "Outlook not so good." That magic 8-ball knows everything! I'll ask about Exchange Server next.
    1. Re:Constrasting view? by sharkey · · Score: 3, Funny

      Aren't you Locke's sister, helping him write his works?

      --

      --
      "Outlook not so good." That magic 8-ball knows everything! I'll ask about Exchange Server next.
  11. thought experiment by streetlawyer · · Score: 4, Funny
    If an unqualified publicist with no experience in computer programming or project management wrote a book saying that all previous models of software development were wrong, providing no quantitative evidence for his thesis but insulting everyone who didn't sgree with him for not having a "clue", then how seriously would you expect him to be taken?



    Oh yeh, I forgot, Eric Raymond. Well, carry on then I guess.

  12. Re:Rate your mate! by TopherC · · Score: 3, Interesting

    This is really two topics in one post -- sorry.

    1) The point of grammar-based prejudice is a good one! I think online communications (email, message boards, chat rooms, IM, multiplayer games, etc) actually exacerbate the situation. Since text is often the only clue we have about other people, I end up making a lot of assumptions about others by their writing style. Assumptions about age and education, primarily. The fact that my assumptions prove correct more often than not strengthens this instinct. But is this another form of prejudice?

    2) While I enjoyed the test, it always aggravates me when people equate salary with success/prestige. I've just finished my Ph.D. in physics, and am looking at jobs now. There appears to be a major fork in the road, where I need to decide to go into industry or acadamia. I could be challenged and happy either way, but it's a difficult decision. My feeling is to stay in academics, because I feel a strong affinity with the whole academic process of teaching, research, and open sharing of knowledge. But jobs in the industry typically pay two to three times more than academic jobs, just starting out. And later on the academic salaries quickly asymptote while salaries in the industry have practically no limit. From a purely financial perspective, the decision is absurdly obvious.

    So my future salary is not determined by my grammar, grades, or whatever. It's determined by my priorities. I would say "greed/ethics ratio", but that's too smug. So I won't say that. ;)

    I also aggravates me when people talk about intelligence like it is some kind of metric. I personally don't think that intelligence can be measured in any meaningful way. Grammar, intelligence, and salaries are not like inches, centimeters, and cubits. They are related more like sweetness, color, and temperature of food are.

    Whew! done ranting. That felt good.

  13. Re:X-10...get the hint! by budgenator · · Score: 3, Insightful

    The difference between marketing and advertising is the same as between accounting and beancounting. Marketing involves communicating with your potential customers so that you can make a reasonable profit suppling them with what these need, where they need it and at an attractive price.

    Advertising involves pestering them into buying whatever trash, you need to get rid of the quickest or at the most sales commission. At most your role in it is to object in terms that the salesman has researched rebutltes to.

    To a marketer you are a part of the process from the very start, and he strives to build a long term relationship with you. To an advertiser you're just prey, eat quickly and move on to the next mentality.

    Yes I know about X10, but it'll be a cold day in hell before I'd ever buy one. This gonzo marketing is more about a "Am I proud enough about our product to recommend it to my friends" then it is about consumers being prey. It appears to me that X10 not only considers me to be prey, but the entire theme of its adverts are trying to appeal to preditors as well. Personaly I think that Marketing and advertising depts should be in sepperate buildings

    --
    Apocalypse Cancelled, Sorry, No Ticket Refunds
  14. Theory of Marketing by Hieronymus+Howard · · Score: 5, Funny

    * You go to a party and you see an attractive girl across the room. You go up to her and say, "Hi, I'm great in bed, how about it?".
    That's Direct Marketing.

    * You go to a party and you see an attractive girl across the room. You give your friend a $10. She goes up and says "Hi, my friend over there is great in bed, how about it?".
    That's Advertising.

    * You go to a party and you see an attractive girl across the room. You somehow mop up her mobile number. You call, talk to her a while and then say "I am great in bed, how about it?"
    That's Tele-Marketing.

    * You go to a party and you see an attractive girl across the room. You recognize her. You walk up to her, refresh her memory and get her to laugh and giggle and then suggest, "I am great in bed, how about it?".
    That's Customer Relationship Management.

    * You go to a party and you see an attractive girl across the room. You walk around playing Mr. Busy. You put on your best smile and walk around being Mr. Congenial. You stand straight, you talk soft and smooth, you open the door for the ladies, you smile like a dream, you set an aura around you playing the Mr. Gentleman and then you move up to the girl and say, "Hi, I am great in bed, how about it?".
    That's Hard Selling.

    * You go to a party, you see an attractive girl across the room. SHE COMES OVER and says, "Hi, I hear you're great in bed, how about it?"
    Now THAT is the power of Branding.

  15. First book in hypertext on paper? Not really... by acroyear · · Score: 3, Interesting
    I view the book instead as the first real book written in hyperlink-style

    James Burke has already done that sort of thing, in The Pinball Effect and The Knowledge Web -- any time a subject in the book (histories of technology, effectively the companion books to TLC's Connections 2 and Connections 3 series respectively) has references in other parts of the book, he provides the page number and an id for that reference in the margin, so you can switch gears and see where the same invention or event had other effects described in the book instead of just following the text in order or having to check the index to cross-reference the subject.

    --
    "But remember, most lynch mobs aren't this nice." (H.Simpson)
    -- Joe
  16. Re:Damn. by Tackhead · · Score: 3, Informative
    > > Course, if you also realize that 'gonzo' also is a method of filming low-budget porno, this book takes on a whole new meaning.
    >
    > "Gonzo" is not a method of filming porn. It has no meaning specific to porn. It is just an adjective roughly equivalent to "outrageous" (gonzo [dictionary.com]).

    Google query for "Gonzo porn"

    I do believe you owe the original poster an apology.

    Though your point - "outrageous" - is equally well-taken.

    For those at work and unable to check out the links, it appears that "gonzo porn" is to "tasteful erotica", as "goatse.cx" is to "national geographic".

  17. X-10 Focus by _Sprocket_ · · Score: 3, Insightful


    I too despise those idiotic X10 ads. But isn't it curious that everybody knows the name X10? They've attracted our attention and have created a very high profile brand name. Sounds like pretty good marketing to me.


    Actually, a few years ago... and before the blitz of annoying adds, X10 devices were often subjects of slashdot stories. Cool little devices that do various neat things. And they weren't that expensive. Gadgeteer's delight.


    Now, it seems that the only time X10 is mentioned on slashdot its about their annoying adds.


    You tell me. Is moving a perfect customer base (gadget-loving geeks) from a focus on a product to a focus on an advertising campaign all that good of a move?


    We've all heard that the phrase "there's no such thing as bad publicity." I'm sure there are industries where this is true. However, I can't see how the message "avoid buying this product, whatever it is" is really going to help hardware sales.