Making lists is something I’m really good at. Unfortunately, thinking of cool names for said lists is not. I’ve been secretly keeping track of the things I’ve learned this summer, just in case anyone asks me to prove that I did something other than drink champagne on occasional Thursdays. So, here it goes, with the most annoying acronym ever invented. TTILDMSIAF: Ten Things I Learned During My Summer Internship At Firehouse. Note: not all entries are work-related. Another note: this is not an all-encompassing list of things learned…more of an “including, but not limited to” collection.

1. The love and affection the people of South Texas have for a gas station is so strong, it’s astonishing.

2. Firehouse’s Media department alone has more acronyms than the rest of the entire English language combined.

3. Talking on the phone is not so scary, once you a) learn how the phone works and b) pretend to know what you’re talking about.

4. There actually is a lot of skill and technique involved in foosball. And I don’t have it. Years and years of spinning like mad until you get a point is a habit that takes a while to reverse.

5. Dressing alike with a co-worker, although unplanned, will result in endless questioning and mocking. Avoid at all costs.

6. When one of your bosses sends you out to buy flowers for centerpiece arrangements, do not come back with potted plants. Those are unacceptable.

7. The phrase “throw this in a deck” is just fancy code for “make a PowerPoint, then print it.” Took about 6 weeks to learn that one…

8. Cooking in a kitchen with one skillet, one pot and a slim selection of utensils can yield a surprisingly large array of wonderful dishes, with the help of a few food blogs and a lot of improvising.

9. Stalking the battery section of Autozone with an undercover camera is quite thrilling, especially knowing that any potential bail money can be filed as an expense report.

10. Signs that say “NO DIVING” should not be ignored. It is difficult to explain to agency folks that your trip to the emergency room was not alcohol-related. They will not believe you.

I also learned a lot of industry-relevant things that will prove very useful during my senior year at Notre Dame, which starts in approximately 15 days, 11 hours, and 5 minutes. Everyone here at Firehouse has been so wonderful, helping me to understand the ways of this business and how I might fit into it. I’m so lucky to have had this opportunity and I’ve loved (almost) every minute of it.

Kidding. I loved it all.

Many I have spoken with (or read) believe sales growth versus 2010 will fall somewhere between the 1.6% increase forecasted by Technomic back at the start of the year and the 3.6% predicted in The NRA’s 2011 Restaurant Industry Forecast.

One factor that will play an important role in determining the degree of recovery the industry and individual brands will see in 2011 is the consumer behavior known as ‘trading down’ or ‘trading up’. Most in the industry are familiar with the behaviors; what’s important to realize is these behaviors are directly linked to mindsets.

Recently released research from The NPD Group, a report titled The Changing Consumer Mindset: What It Means to the Restaurant Industry, begins to explain this connection. It identifies two mindsets when it comes to spending – those that cannot spend freely and those that can – and addresses how the dichotomy between these two mindsets will shape the industry now and into the future.

According to this report, three-fourths (76%) of consumers fall into the cautious, controlled spender group – those who would be more likely to trade down; the other 24% appear relatively unaffected by the recession, are optimistic in general and have been less inclined to change their restaurant behavior.

These optimists will be enticed to visit restaurants more often by good service and a relaxing atmosphere, which matter more to them than price and value. And while the optimists are naturally more likely to be employed and live in affluent households, NPD says this mindset cuts across all demographic groups.

This has created opportunities for both product offering and marketing communications directed specifically to this group. When it comes to communicating with them, it’s important you recognize they think and feel differently and will respond best to messaging that reflects their own more confident outlook.

Regardless of when you think we’ll see major recovery in the industry, we can all agree the restaurant turnaround happening now is nascent. A significant bounce back to pre-Great Recession days is not expected this year, and it will take a long time to get back to sales levels of 2007 and 2008.

Until that point, restaurateurs have to think about being most relevant to their best prospects, and that 24% – the optimists – just might be yours.

See also: http://www.youtube.com/watch?v=vOxFa0cZhCs

First off, the keynote and closing speakers were both great picks, delivering unique perspectives that illuminated how to do what creative thinkers do better.

Author, technologist, all-around smart guy Steven Berlin Johnson kicked things off with a talk about the nature of breakthrough ideas – they are rarely a lightning bolt, rather a slow soaking rainstorm, an accumulation. He used the story of John Snow who discovered cholera’s water-born transmission to illustrate the power of “the slow hunch”. You have to give ideas time to grow. Google’s 20% policy, one day a week devoted to free, company- but not job-related thinking, was cited as one example of creating idea breathing room.  Also love the thought of giving staff a reading vacation – work time to read, think, connect ideas (even if what they choose to read is comics or beauty magazines). And like the notion of liquid networks – in short, an unstructured atmosphere for idea sharing (think coffeehouse culture).  Finally:  If you want to innovate, surround yourself with those unlike you instead of you-clones.

Closing speaker Emily Pilloton was downright inspirational. I love this woman. She doesn’t see obstacles, only ways around them.  An architect from San Francisco who moved to relatively impoverished Bertie County, NC, she committed herself to teaching design to high school students in an amazing hands-on way that ultimately helps these kids learn not only skills but self-worth. Implication: All of us have talents that can make a difference if we change our lens on how we apply them.  Emily is the founder and executive director of Project H Design.  Check them out and donate to help fund this important work.  I did.

Breakout sessions I attended focused on The Digital Lives of Multicultural Consumers; The Use of Mobile Tech at Retail; The Relationship of China and the US; The Similarities and Differences Between the US, UK and the rest of Europe; Redefining Aspiration and Aesthetics in a Post-Recession World; and the International Palate and what that may mean for US taste buds. I’ll share only some of the stickier thoughts here:

- Wonder if social media is right for a multicultural target? Was surprised to learn multiculturals pioneered SM in the early ’90s. It’s important is to recognize the motivations that drive engagement for multicultural consumers though. And they’re different.  Think Collectivism, Aspirations, Culture.

- There are a host of tag technologies – from Microsoft tags to Jag Tags to QR codes and several others – beginning to pop up in the retail environment. Don’t worry about learning the differences; natural selection will narrow the field. Instead, think about how to linking to content can provide real value to consumers…that’s the nut most brands seemingly can’t crack.

- The relationship between China and the US will be the one history books focus on in describing our time. We are set on a course I would best describe as symbiotic rivalry.  The Tiger Mom debate interestingly encapsulates so much of the culture clash baked into this relationship. Read “Battle Hymn of the Tiger Mother” and watch the education documentary “Race to Nowhere.”

- The cultural differences between people of various nations really can be linked back to values. And values would tell you some stereotypes are true.  Americans are fat; the only fatter country is Saudi Arabia.  Germans are anal, okay practical. Brits are really not over-sexed; a real Austin Powers just might bee-have. And, finally, perhaps the French are actually more insecure than arrogant. (Try boosting their esteem to win their elusive affections.)

- Some brands and properties are playing well to post-recession aspirations and aesthetics:  Anthropologie, Pinterest, Ace Hotel, and Club Monaco.  It’s about how they relate to Individuality, Heritage, Simplicity.

- Iconoculture has introduced a new macrotrend (not something they do often) called Mindful Matters™. It’s about people mindfully re-prioritizing what they buy, who they do business with and even how they live. Less can be more if it’s the right less.  Keep an eye out for how that’s manifesting in your world.

- Finally, the Brazilian Cherry or pitanga may be the next passion fruit; fish sauce an increasingly familiar way to achieve Unami.  And, FYI, I don’t recommend salmon jerky.

These are some sound bites. Find me and I’ll be happy to share more. All in all, some stuff you and I already knew, some I was happy to learn, and some I was inspired to hear. Such is the nature of conferences – at least the good ones.

Versus last year, this Iconosphere was more heavily attended by brand people versus agencies.  Guessing the economic climate may be driving some of that. That’s too bad. Lots to learn for those ready to listen.

It was a great time. Great for all of the people here at the agency. A chance to stop for a moment and take a breath. Say thank you to all of our wonderful clients who trust us to help them grow their businesses. A chance for me to deliver a well deserved pat on the back to all our hard working creative problem solvers. And well deserved it was. The agency in every discipline continues to surprise and impress even its toughest critic. Me.

Over the course of the past several months this agency has received accolades for a very diverse collection of problem solving creative ideas. Serious accolades for television and print, multiple awards for interactive (including Best of Show), awards for success in events & promotion and even a couple of awards for what essentially is a pro bono account that we didn’t just do work for — we created the entire Eat Out For A Change movement ourselves. Want more? Well we certainly didn’t cure cancer, but we did the best we could.

Impressive.

Want to know what’s even more impressive? The real success lies in the performance this work has helped to make happen for our clients.

Now, clients are modest, and a little sensitive about broadcasting their particular results here on the interwebs. So I will be a little guarded in telling you that the approach we have here at Firehouse is working.

However by working I mean:
-Driving a guest count increase of more than +10% vs. previous trend
-Reversing a sales trend to positive that had seen 12 consecutive quarters of declining sales
-Setting a monthly sales record – for a multi-billion dollar company – four different times over a 15 month span
-Helping to increase a company’s 2009 system wide sales by +4%
-Driving a YOY +55% sales increase in a featured menu item
-Driving a +31% sales increase in features products in a brand’s emerging markets
-Delivering a +8% YOY same store sales increase – and that was for a client’s QSR partner

The people of this agency are committed. They are focused. They are making a difference.

And I am happy for them, and their accomplishments. Forgive me for taking an indulgent moment to let them know how proud I am to call myself the president of this agency.

Cheers,
Mark

In a recent MediaPost article, Gary Leopold referenced two studies that could indicate future generations won’t share that love.

First, a study of 100K global teens by virtual world site Habbo concluded that today’s teens are far less inclined to want to travel or work overseas.

Then, a study commissioned by lastminutetravel.com said young people were spending more of their money on entertainment and technology than traveling the world. This, in turn, caused the UK’s Daily Telegraph to jump to say “perhaps worringly, a new generation will reject travel altogether in favor of gaming, social networking and ‘always on’ media.”

Telegraph, meet giant leap.

Still, would it surprise you if tomorrow’s adults liked to travel less?

This is a generation weaned online. They explore and connect virtually. It makes sense these experiences might supplant some of the need to travel.

Add to that the joys of travel today: Airports. Security. Global tensions. Not to mention, expense. And, let’s face it, you have to love travel to make it a priority.

Leopold offers the travel industry two pieces of advice. They’re good thoughts, whether you buy the doom-and-gloom or not.

Turn today’s youth into tomorrow’s travelers. In short, make them want it. To do that, you need to recognize what drives them is not the same as generations past.

Create ways to engage children (and help parents interact with their kids). Start a dialogue now that is going to make them want to pursue the wonders of the world beyond the screen.

Really, he’s saying, understand and engage the next generation.

Whether the studies cited point to anything or not, traveler marketers need to heed the advice. Turn on the news — terrorism, storms, oil, the economy. It doesn’t exactly breed a love of travel. If we hope tomorrow’s adults will have one, we might invest in helping grow it among our kids and youth today.

*RevPAR

Exhibit A from the article:

The defense rests, your Honor.

Oh, one more thing, did I mention that it has 1,380 grams of salt–an entire day’s allowance in one whopping, deep-fried dose. The court finds the defendant guilty of attempted culinary manslaughter.

But what’s going on here? For some reason, at a time when obesity rates top 20% in most states, some brands are cranking the calories to 11, ripping the nob off and walking away. Too far, you bet. What really baffles me though is that many of these same brands are also pushing “healthier” options.  This, of course, includes KFC (see above) who only last year launched their “healthier” grilled menu.

Their new menu reminds me of a guy with an angel on one shoulder and a devil on the other, but this time the devil is deep fried and served with two sides (but that’s probably just me…and weird.)

See for yourself. Our food is so heavy it will crush your house to death:

Wait, did I say that? I mean to say that our food is so light, it’ll make you throw your sassy hands in the air like you just don’t care:

Colonel, it’s like I don’t even know who you are anymore.

This type of brand schizophrenia has become commonplace in the QSR world. The conundrum seems to be, “Do we serve food that tastes really good or are do we serve food people really want to eat?” In the panic to be everything to everyone, a lot of marketing dollars are being spent communicating contradictory messages. What you get are brands that don’t mean much to anyone.

But some upstart QSR brands are out to prove they can serve up good food that also–gasp–tastes good and do so without developing a serious personality disorder.

Brands like Naked Pizza are laser focused on bringing truly healthier options to the QSR market. Its menu was created to offer the “world’s healthiest pizza”, with each slice only containing just a fraction of the calories and fat of a standard pizza. Plus, their pies are still bona fide delicious according to Yelp reviewers. And it looks like they’re going to be far from a local or regional phenomenon: Mark Cuban just partnered with the company to turn it into a national franchise.

Sadly, not the first thing that popped up when I Googled "naked pizza."

Feisty, focused challenger brands like Naked Pizza that truly know who they are, what they stand for and are in line with where consumers’ minds are at are going to start giving the big fish palpitations soon.  According to the whip-smart folks over at Iconoculture, Americans are becoming less and less willing to suffer the slings and arrows of outrageous gastronomic misadventure:

Consumers have come to see food as a key to all that ails them; physically, mentally, sociologically and psychologically.

Gosh, I dunno, perhaps doubling-down on deep-fried gut bombs isn’t the best long-term strategy given consumers’ current mindsets. So it’s also probably not a good idea to spend millions to bombard consumers with confusing, scatter-brained messages either. After all, if a brand has no idea who they are, they shouldn’t expect consumers to have a clue either. Something to consider in a hyper-competitive industry where few brands are safe forever.

Any big fish brand confident they won’t end up on the fryer should join me down at Bennigan’s for a nice Monte Cristo Sand…oops, never mind.

R.I.P. Sweet Temptress.

Update: Canada has decided to pass on the Double Down. (Back bacon on the other hand? Still totally fine.)

Update 2: Hardees doubles down on Double Down.

You see, we’re in the idea business. And we love what we do.

You may also notice (if you’ve seen our client list) that we have a great deal of restaurant experience. In fact, not just experience, but a real passion for the dining industry and tackling the unique challenges restaurant brands face.

So as the economy started going south and the media kept banging the gong of doom, people started hunkering down, staying home and spending less. But for some reason, things didn’t get a whole lot better.

Our planning and insights team started taking a hard look at behaviors, trends, statistics and a whole lot of other factors in order to see if something could be done to help not just our clients, but everyone else as well.

And as we dug, and learned and uncovered…an idea began to form.

Waiting around for bailouts and handouts isn’t the answer. The answer is us. All of us.

Our intent is to create a movement. One based on the simple premise of reminding people that they can contribute to the economic recovery by doing very normal things.

Like eating out at a restaurant.

Take a look at this video. Let us know what you think.

And eat out for a change, will ya?

If asked to recall every minute of a single day, what would your chart look like? Are you really working every minute in the office, or would some of those minutes be consumed by eating, socializing, shopping and phone calls? If you start thinking about it, we engage in a lot of different activities every day.

Take a look at the Time Use Survey and see what other people are up to throughout the day.

On any given Sunday morning, a customer wants a Hazelnut Signature Hot Chocolate and another customer wants a Tall Decaf Coffee. By Monday afternoon, the same customers may switch to a Grande Iced Black Tea and a Tall Mocha Frappuccino. Starbucks understands that by offering coffee and tea in whatever size, flavor, combination, and variation the consumer wants, they are able to meet picky, fussy, ever-changing customer desires of their target. That’s not easy. That’s a lot of segmentation.

Starbucks responds to customer segments by providing nearly endless product variations. Yet what really matters is not the product, but how having control over the options makes customers feel. The magic of Starbucks lies in making customers feel like the company enjoys providing those small, well-served and tailor-made indulgences to them. And what makes a real impact is that when they call your name and hand you your customized version of one of those 18,000 beverage combinations, it comes with a nod and smile from a friendly barista. They understand that it’s little things like feelings that really make a difference.

This is segmentation at its best. It embraces what really matters; emotional reward. It’s pretty simple: Give people something they can’t get at another coffee shop—make them feel good about themselves. They’ll go out of their way and pay extra to get it. Now there’s a segment. Shall we call them “happy customers?”

Isn’t that like going to meet with a home builder and quizzing her about the carpenters she employs? Sure I expect her to hire the best people, but what I care most about is what I can expect my home to look like and why it’s the best fit for my family and me.

So, I’d like to suggest that a more productive initial discussion might be to focus on how the agency gets to ideas and past examples of great insights, rather than the tools they have at their disposal. Having been a client myself for several years, I know that if I had to pick between an agency dedicated to insights and an agency that employs dozens of Flash developers, I’d go with the first scenario every single time.

So, how do you identify an agency that’s truly committed to building brands based upon identifying stronger and deeper insights? Here are some things to keep your eye on:

See what the agency thinks are great insights. Put them on the spot. Every single piece of work ought to be based upon a key insight into that client’s business, customers or competitive situation. Telling that story should come as second nature.

Follow the money. A pretty clear indication of their commitment is how much they have invested in this area. Do they have Account Planners on staff? How much do they spend in research tools or research facilities? If the head of Account Planning is not present in your first meeting, maybe they’re not really committed to discovering those nuggets.

Ask whose job it is. Oftentimes, agencies play the “it’s everyone’s job” card. While certainly all of an agency’s efforts should be focused on getting smart about the client’s business, their target and their marketplace, truly great agencies treat insight gathering as a separate discipline. If they don’t, then it’s clear that relevant ideas are not seen as the strategic foundation of the organization.

Today’s agencies need to be more insight-centric and far less obsessed with narrow production capabilities. I’m sure we’d all agree an agency shouldn’t be tied into making recommendations based on its capabilities. It goes to the old saying about, “if the only tool you have is a hammer, then everything starts to look like a nail.”

But, don’t take my word for it. In this Ad Age video, Patrick Edson, VP Marketing Innovation, MillerCoors points to hard-to-find insights as the reason behind the success of the Rocky Mountain Cold Refreshment campaign. Funny, he never says a word about his agency’s production capabilities.