Company: Rosetta Stone
Agency: HBL Media, Carmichael Lynch Spong
Timeframe: 2006
The $100 billion language-learning market confirms that having the ability to speak and understand multiple languages is a necessity, as accelerating globalization prompts
nations and people to interconnect. Minneapolis-based PR agency Carmichael Lynch Spong set out to prove that effective brand awareness is universal -- even if the language
is not -- when they led an international media relations campaign for Rosetta Stone, a language-learning software program, that was deemed an under-the-radar brand for the
average consumer.
Rosetta Stone users consist of government agencies such as the U.S. State Department, the U.S. military and NASA, as well as more than 10,000 schools and
colleges, though the brand's lack of a focused media relations program resulted in mere doses of attention from consumers who happened upon the product at airport or shopping
center kiosk advertisements.
Speaking In Tongues
Rosetta Stone software enables users to develop everyday proficiency as if learning their first language--by associating new words directly with real words and objects. The
product "creates an immersive environment and is a different language-learning environment that people are used to," says Grete Krohn, senior counselor for Carmichael Lynch Spong.
"The goal was to figure out how to communicate that [concept] to people because it is a different mindset, and how to make people understand that this is a natural way to use an
immersive environment to help develop everyday proficiency the same way everyone learns their first language."
Krohn's enthusiasm for the product echoes that of the entire agency, says Peggy Lohmann, director of PR for Rosetta Stone. "One of the things I love about Carmichael Lynch
Spong is that they love our product," Lohmann says. "They're all using it, and that makes a difference."
In 2006, the brand embarked on "Cracking the Stone: Translating Language Software into Brand Awareness," a campaign to increase its consumer business in the U.S. market as well
as further develop its business in Africa, Europe and the Middle East. One challenge early on was figuring out how to grow market share for a product with such a diverse learning
strategy -- and simultaneously make it the solution language learners turn to first -- while being pitted against competitors such as Berlitz, arguably the best-known
classroom front-runner.
"Media relations was our main strategy from a PR standpoint," Krohn says. "This year, we greased the skids in the formative years, and now we're ready to go after and nurture
some of the relationships with more influential national media."
Think Global, Act Local
The campaign proved to be truly global as Carmichael Lynch Spong and Rosetta Stone teamed up with London-based HBL Media to aggressively increase sales and awareness
among the American and European markets. The agencies quickly realized that these particular markets have different attitudes about language-learning processes. Country- and
culture-specific PR practices in these markets are a necessity, prompting Rosetta Stone to "think global" but "act local" in its communications and marketing initiatives.
"Basically there were three main objectives for the problem: building brand awareness, reinforcing the brand positioning and driving traffic to some of the sales locations for
the product," Krohn says.
Initial steps consisted of bilateral research that targeted customers and general interest in foreign language. Primary research highlighted age, sex, education and income of
consumers, as well as product sales that proved highest in the fourth quarter, when many customers received the product as a gift.
Fourth quarter is an especially profitable period, thanks in part to the holiday season. The solution to outreach during other quarters was to "target earlier in the year to
generate coverage and media interest to think beyond just gift-giving," she adds. The first round of research enabled several strategies to reach out to new consumers and core
consumers during the first, second and third quarters primarily to grow the business.
Secondary research from several articles and reports, such as the Seattle Times, the National Centre for Languages and the Society of HR Management, showed
increasing interest in foreign languages for both business and general communication purposes: English-only speakers find themselves at a competitive disadvantage when it comes to
U.S. employment; a mere 36% of U.K. firms can conduct business in a foreign language versus 70% of European executives; and as the workforce/customer diversity rises, so does the
number of employers who offer foreign-language training.
Research, Krohn says, is key to a smart media relations program. "Take a serious look at what research is out there, and what you can take from that in order to develop your
strategy," she advises.
Campaign planning stages consisted of narrowing Rosetta Stone's target audience -- segmented by demographics, attitudes and psychographics -- to include explorers who
communicate abroad, enrichers who find language to be an educational tool, and earners who use language as a business tool for advancing their career.
The two-pronged strategy consisted of:
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Increasing share-of-voice and driving awareness and trial with a targeted media relations campaign to keep Rosetta Stone in the news
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Providing ongoing PR support for entire branding, including new product launches, corporate initiatives, and institutional contracts
Following insight into Rosetta Stone customers and behavior of cross-boarder communication, the agencies believed that consistent pitching on a range of topics "would garner
successful placements." The agencies frequently launched news about Rosetta Stone via print, online and broadcast targets, with a focus on pitching "thought-leadership stories
tied to topical events or trends in both the U.S. and the U.K."
Subsequently, Carmichael Lynch Spong had a successful pitch in 2005 to Walt Mossberg of The Wall Street Journal, and used that "in" to spark interest from The New
York Times, The Wall Street Journal and USA Today, as well as The Guardian and The Financial Times in the U.K. The acknowledgement "boosted us into the
limelight" and allowed for strengthened "credibility with more national media," Krohn says.
Endangered Species
The team also relied on Rosetta Stone's corporate program, Endangered Language Program, which develops software to assist in language revitalization and strengthens Rosetta
Stone's position as a leader in rescuing cultures. Rosetta Stone released its first endangered language--a Mohawk tribal language--in early 2006, and it was pitched to consumer
and trade media in both the U.S. and Canada, Krohn says.
Timing is also a key element when leveraging media interest, Krohn says. For example, research found that learning a new language was a popular New Year's resolution, and
Rosetta Stone was pitched as a solution in 2006 in both the U.S. and the U.K. "We used that as a news peg, sort of a problem-solution kind of thing," Krohn says. The team
partnered with a bilingual doctor who has researched and authored studies about why people fail to follow through on their goals. Rosetta Stone sponsored a radio media tour that
released the tips over the wire and launched a promotional offer for a first-quarter product discount.
The second part of the team's strategy consisted of contacting media to share news about new products, corporate initiatives and contracts to "keep Rosetta Stone top-of-mind
with customers."
New product launches included the brand's 30th language, Tagalog (Filipino) and expansions of current programs to include additional levels of Farsi, Hebrew and Tagalog
languages. The team garnered consumer media attention for Rosetta Stone's business-building achievements with the announcement of a $4.1-million contract renewal with the U.S.
Army and a case study about a school district in El Paso, TX, that used Rosetta Stone to teach English as a second language.
Corporate initiatives consisted of major changes, including a management transfer, establishing an independent board of directors, the hiring of several new C-level executives
and the opening of an office in Washington, D.C. "We used to be a small mom-and-pop agency," Lohmann says. "Because we have experienced exponential growth over four years, we've
had to put in structure that didn't exist before on the fly and hire senior level people to be responsible for creating that structure," Lohmann says.
The agencies pitched the business growth story, as well as recognition by Deloitte & Touche's Fast 50 and Rosetta Stone's inclusion in the Inc. 500 list, to
business press.
The campaign exceeded its objectives, building Rosetta's brand awareness through a PR campaign that generates 40-million gross impressions. Media coverage -- from 2006 to
present -- boasts 119.3 million gross impressions solely in the U.S., and boosted gross impressions of more than 150 percent over 2005. "In the coverage tracked, the majority of
all 119.3 million gross impressions were about Rosetta Stone, not mentioning a competitor, and if so, positioning Rosetta as the leader." A May 2006 online brand survey reported
a growth of 16% unaided awareness of the firm, up from 13% from the previous year.
A core element to the campaign's success is consistency among the agencies and company, Lohmann says. "We've had the same team, and that's made a big difference" in Rosetta
Stone's rapid growth, she says. "They have a knowledge that has a history behind it."
CONTACTS:
Grete Krohn, 612.375.8535, [email protected]; Peggy Lohmann, 703.387.5835, [email protected]
Maintenant, Qu'est-que Ca Veut Dire?
The Rosetta Stone brand is an interesting example of one that has massive reach across industries, companies and user demographics, meaning that the potential consumer
base is in the millions.
When the company's PR team embarked on a re-branding strategy in 2006, it quickly realized that growing the market share of such a diverse product globally meant more than just
speaking languages - and a lot of them at that. The following best practices helped the communications team overcome geographic, demographic and linguistic barriers to meet all
its objectives:
- Partner with an agency that is passionate about your mission. According to Peggy Lohmann, PR director for Rosetta Stone, her relationship with Carmichael Lynch
Spong is strengthened by the fact that agency representatives have a personal interest in the product - so much so that many of them are currently using it to learn a new
language themselves.
- Think global, but act local. The PR team wanted to increase awareness in U.S., European, Middle Eastern and African markets. In other words, they wanted to reach
almost every culture and nationality around the globe. However, no single overarching theme or initiative could possibly apply to such a diverse audience, so the team customized
the initiative to appeal to locals within each target country.
- Timing is everything. The team knew from research that Rosetta Stone sales were especially strong during the 4th quarter because it is a popular gift during the
holiday season. With that knowledge as ammunition, they timed media relations initiatives to specific holidays (and, therefore, specific cultures), from Kwanza to Hanukkah to New
Year's (because learning a new language is a popular resolution).
- Take advantage of big wins. Rosetta Stone is often used by companies looking to give employees foreign-language training, so the team kept the media abreast of all new
contracts with corporations, schools and government agencies - which included the U.S. Army and NASA.
- Highlight unique offerings. Rosetta Stone's Endangered Language Program was a shoe-in for media coverage. Even though it applied to a very limited group of people,
the release of its Mohawk tribal language program positioned it as an organization that is also rescuing endangered cultures.