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Guest Columnist

Some Lessons Learned Over 20 Years

by Nancy Fletcher

Nancy Fletcher is the Vice President of Communications for the
California Milk Advisory Board

Like most in our industry, we keep a close eye on the horizon. But it can useful to look back and examine the decisions that got us where we are. 

The CMAB recently had the opportunity to review the past two decades of our industry’s growth through the eyes of a knowledgeable outsider when Michelle Greenwald, a professor at Columbia University’s Graduate School of Business, developed a teaching case study about the success of the Real California Cheese campaign since its inception in 1984. 

It is certainly flattering that one of the country’s top 10 business schools believes our campaign is a “success” and worthy of teaching to tomorrow’s business leaders. 

But more important, we gained a better understanding of how the decisions our industry made over 20 years have shaped the role that California now plays in the US dairy and cheese industries. Out of her thoughtful analysis of our efforts over two decades, several themes emerged that are useful to keep in mind as we move ahead.

In terms of promotion, the whole is stronger than the sum of its parts. One of the first things that impressed her, she noted, was that the CMAB had managed to create and implement a truly integrated promotional program, one that “implemented the Real California Cheese positioning across a wide range of channels.”

The Real California Cheese campaign began, in the early 1980s, by enlisting a broad range of promotional tools – advertising, PR, retail and foodservice promotion – which grew and expanded over the years. For example, increased emphasis has been placed on the Internet for consumer and professional communications in recent years. 

What made it all work as a comprehensive and coordinated program, according to the study, was the use of a certification mark – the Real California Cheese seal – that gave promotional communications a focal point and a distinct and compelling identity both in the industry and the marketplace.

While the individual elements are strong, each in its own right, the sum of their efforts is greatly amplified by their close relationship to the Real California Cheese Seal. The seal also allows the CMAB to promote the many styles and varieties of cheese offered by California cheese makers who qualify for, and use it, on their packaging.

It’s important to have a strategic vision, but it’s even more important to hold onto it over the long-term. Granted, 20 years isn’t really that long unless you’re a cheese. 

But in terms of business strategies and promotional programs, it is a very long time. It is not uncommon in today’s business environment for companies and organizations to switch promotional programs and even strategies every few years.

The fact that the CMAB developed a clear vision of what it wanted to accomplish – build the California dairy industry through a strong emphasis on natural cheese production – was not nearly so noteworthy as that the industry stuck to this vision for two decades. And is still following it today. 

Part of the reason is that the vision was not embraced lightly. The CMAB involved Stanford Research Institute (SRI) to conduct an in-depth industry analysis. SRI took nearly a year to develop a 200-page report that laid out the direction our industry needed to follow, and also noted the pitfalls we might encounter.

The SRI analysis concluded cheese was the dairy industry segment that offered the greatest profit and growth potential for the state’s dairy farmers. Our industry adopted this vision and, to its great credit, has stuck with it ever since. Today, just over 80 percent of the CMAB’s budget goes to the Real California Cheese program. 

People don’t have to like you to buy your products, but it helps. One area where our thinking evolved as time went on is advertising. Around 1995, it became increasingly clear that we weren’t just promoting cheese, but creating a relationship with our consumer. The case study gives us high marks for our advertising since 1995 because it is so distinctively simple and memorable.

According to the case study, “The role of advertising was to create a somewhat emotional bond or fondness and distinct affection for California cheese. The tone and manner of the advertising was designed to be human, intelligent and humorous. Counter to common advertising tradition, the copy strategy specified that the advertising should not make rational, tangible cheese superiority claims. Rather, it wanted consumers’ affinity to the product to be more emotionally based. It was felt that since there was ‘no supportable, rational reason to believe’ the superiority claim, the CMAB would provide an ‘irrational reason to believe.’”

That “irrational reason to believe” led first to the successful “It’s The Cheese” campaign that made the tongue-in-cheek observation that the real reason people come to California is for the cheese. And then, five years later, to the even more successful “Happy Cows” campaign that claims our cheese is so great because our cows are happy: Great cheese comes from Happy Cows. Happy Cows come from California.

Both campaigns have been a hit with consumers as well as retailers, and the research shows they continue to build both awareness for Real California Cheese and a high degree of affection for California cheese that has translated into growing sales.

Broadly speaking, it is a direct result of this strategic vision that California was able to double its cheese production in the past decade, as well as produce nearly half of the 1.8 billion-pound increase in US cheese consumption between 1994 and 2003. 

As we look at the next 20 years, these success factors – adherence to a long-term strategic vision; integration of diverse program elements under a unifying element such as the Real California Cheese seal; and advertising that engages the consumer on an emotional level – are lessons that will continue to shape our thinking as we move ahead. •