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Franklin Morris is a Senior Writer for Rackspace Digital—the digital marketing infrastructure specialists.
The mom-and-pop shop on the corner probably doesn’t rely on traditional advertising (television, print, billboards, etc.) to bring in customers. In 2014, businesses will spend nearly $545 billion on advertising, and that number is expected to increase by another $100 billion by 2018, according to eMarketer. Despite their size and influence, these brands have built their loyal followings by co-opting the grassroots, relationship-focused marketing tactics that are often the domain of smaller businesses.
The Huffington Post reports that, in lieu of expensive TV spots and print ads, Krispy Kreme instead relies on its network of nearly five million Facebook followers. The Great Recession made us all into budget-conscious shoppers, and Costco is reaping the benefits.
Today, Costco is the second largest retailer in the United States—bringing in over $100 billion in revenue annually—and it didn’t get there by running TV commercials.
Not advertising could be seen as a handicap in such a competitive industry, but Costco turns it into a business advantage. Instead of viral videos and magazine photo spreads, Costco aims to engender customer loyalty through discount coupons and a strong mailing list. Additionally, its subscription model of annual membership dues, which requires an ongoing investment, increases the odds that customers will become repeat shoppers. Even if you’ve never set foot in an Asian restaurant, you’ve likely encountered the ubiquitous Sriracha rooster.
In the last several years, this mouth-burning condiment has become something of a cultural force. The company’s CEO David Tran contends it is by focusing less on business and marketing, and more on making a great product.
The company doesn’t have any official social media presence, and its website hasn’t been updated since 2004 (seriously, it still uses frames). In short, its philosophy can be summed up as: If you bottle it, and it’s awesome, they will come.
GoPro, maker of high-definition personal cameras for adrenaline junkies, does do some traditional advertising. Its YouTube channel is packed with videos of customers skydiving, base jumping and deep sea diving. This media strategy, explored in greater length in a previous article on The Next Web, is resonating with customers to the tune of 3.8 million cameras sold last year, according to CNN money.
It’s an example of a company knowing its market, and fostering a content strategy that allows fans of the product to share their experiences.

If there is one lesson we can take away from the success of these non-advertisers, it’s that a winning strategy—even without advertising—comes down to product and people. Daily Billboard is fast discovering there's a story behind every ad, be it the one the brand wants to communicate or the context behind the billboard. Take for example this super-sized billboard for GoPro camcorders spied in Hollywood above the Pantages Theatre on July 13, 2013. That's GoPro founder and avid surfer Nicholas Woodman, who recently became a billionaire when Taiwanese electronics manufacturer Foxconn bought an 8.88% share in the extreme sports video camera company, Woodman Labs (feel like investing in an up-and-coming website Mr.
Since selling its first camera in 2004, GoPro have been the go-to brand for adrenaline junkies filming their extreme sports exploits like surfing, skiing and skydiving. Let's face it, if you're going to indulge in these high-octane activities, you want the best equipment to capture your experiences, especially in this world of social media sharing. This giant surfer billboard certainly does the job of capturing what this video camera product is all about.
UPDATED: Just in case you missed the fact that GoPro cameras are for extreme sports enthusiasts, here's a breathtaking snowboarding ad creative to remind you. This giant-sized wall mural was spied in the same Hollywood Boulevard location as the previous surfer creative on November 11, 2013.
UPDATED: So far GoPro has featured surfers and snowboarders on this giant ad site in the heart of Hollywood, and now it's the turn of skiers to show off their skills. This super-sized sporty ad creative was photographed on March 5, 2014 in the same location as the others for this 'Be a Hero' campaign. UPDATED: Here's the latest massive ad creative for GoPro, this one suggesting that there's more to the versatile video camera than just extreme sports. This giant guitar playing billboard was spied in the same Hollywood Boulevard ad location on June 27, 2014. UPDATED: And here's the latest creative for the 'tech toy' which everyone seems to have at the moment on their telescopic poles and be posting photos from on social media, so GoPro's advertising is obviously working.
This giant sporty father and child wall mural was photographed on September 18, 2014 in the same Hollywood location. UPDATED: GoPro continue to dominate this giant wall mural space in Hollywood in the New Year, with a fresh singer creative, further expanding the camera's uses beyond extreme sports. This colourful giant billboard was snapped westbound above Hollywood Boulevard on January 15, 2015. UPDATED: Here's the latest sporty snowboarding billboard for GoPro's cameras snapped in the same Hollywood location on February 11, 2015. For awhile now, I have been using the GoPro HD to record footage for the mountain biking section of Bike198.

As you can tell by the editing, we like to keep some friendly competition going between our group of riding friends. But there are major brands, with huge market share, who have opted out of the traditional advertising game. Starbucks, Wendy’s, McDonalds and even breakfast newcomers like Taco Bell all rely on TV commercials and paid advertising to draw you into their restaurants.
According to Slate, breakfast food sales amount to $65 billion annually, and they’re rising by an average of 4.8 percent a year… all while other restaurant sales remained flat. The doughnut giant built its empire—with sales topping $1.07 billion in its best year—entirely on word-of-mouth marketing. Visit its profile and you’ll see hundreds of fans uploading photos of their doughnuts and begging the company to open new locations closer to them. Over the last few years bargain warehouse retailers have experienced significant and sustained growth at a rate of four to five percent per quarter, according to Forbes.
Despite the fact that it’s going head-to-head with retail giant Wal-Mart, Costco continues to embrace an unorthodox advertising strategy: no advertising at all. According to the New York Times, this strategy allows the company to save and reinvest two percent of its annual budget. It differentiates itself from competition by offering top quality, high-end products from luxury brands like Coach.
Search on Etsy and you’ll find all manner of fan-produced memorabilia—from Sriracha t-shirts and bumper stickers, to baby onesies and charm bracelets.
The message is subtle but clear: purchasing a GoPro is more than just buying a camera—it’s buying an experience. After some positioning testing, I decided to test out the helmet cam on the road bike in preparation for some product reviews and long downhill runs in the mountains to see how it would do. Building customer relationships through emotional, personal connections has been central to Krispy Kreme’s long-term success—the company turns 77 this year.
Culinary spinoffs include Sriracha Kettle Chips, cocktail salt and—somewhat questionably—a Sriracha-Salted-Caramel flavored MoonPie. For this test, I mounted it to the stem and recorded some of our regular Thursday night road ride.
These places have the best prices and service, which is why I've used them since before this website existed.

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