Letter To Friends, Partners, Supporters and Clients of CPM, Inc.

Today marks the 5 year anniversary of the founding of CPM, Inc.  Now doing business as Compass Partnership Marketing, CPM was originally founded as Compass Product Management, Inc.  This is because at the outset, I had only the faintest idea what I was going to do.

Then came the fortuitous call from one of the smartest and most charismatic business leaders ever, David Porter.  At the time, David was head of worldwide home video distribution for Dreamworks Animation home entertainment business.

“Stu”, he said “I have an idea”.  Thus the business of partnering CPG’s with studios to develop cost-efficient, effective partnership marketing programs behind entertainment releases was formed. 

It started with Dreamworks, and only DVD content.  Today CPM has been privileged to work with, in addition to the great folks at Dreamworks, 20^th Century Fox, Paramount Studios, and Sony Home Entertainment.  It’s not just DVD any longer, but includes about any way the consumer receives entertainment content, including theatrical releases and downloads.

Further, CPM has developed business driving programs with great CPG partners like The Coca-Cola Company, Bigelow Tea, Clorox, Con Agra, Bird's Eye, Cott Beverage, Del Monte Foods, Diamond Foods, Electrolux, Jarden Consumer Solutions, Kellogg's, Mars, Nestle, Purina, Reckit-Benckeiser, Schiff Nutrition, and Tyson Foods.

See my blog “A ‘Big Gulp” Approach to Marketing” for a simple explanation of how it works.  Here, the focus is on core values that have helped CPM grow business for five years, with more to come.  Usually achieved, always aspirational:

First, CPM is a marketing services agency where operating with ethics and integrity is a non-negotiable.  Respect for the individual is paramount. Programs are developed with 360 degree transparency.  Complete client satisfaction is guaranteed, or the client won’t be invoiced.  CPM will stand up for what is right and take responsibility if something goes awry, always taking a critical internal view to ensure the right things are done for the right reasons.

Having fun is key.  While the idea of fun is helping clients navigate Walmart and other retailers to expectation exceeding results, it also means joining with best-in-class partners who share similar values of integrity, fun, and competitiveness.  If you can’t work with people who share these values, walk away and work with those who do. 

CPM, Inc. likes to compete and win, for our clients and their customers.  Thoughtful, aggressive negotiation ensures programs are cost-efficient for everyone.  Anything proposed must make “1+1=3.”

CPM is small (it’s just me), lean, efficient.  And I like it that way.

This business has had the support of countless friends, media and agency partners, studio and CPG clients, and other supporters since June 1, 2008 (great time to quit a perfectly good paying job and start a new business right?). 

Thank you for your trust and your business, well wishes and support.  

Lessons From Bo Cox

Having been blessed with a veritable cascade of outstanding managers and leaders, mentors, in my career, one standout was Captain Bo Cox, Armor, U. S. Army.  Bo was my first company commander when I was a young platoon leader in the 24^th Infantry Division.  Along with my fellow 2^nd Lieutenants in C Company, 4/64 Armor, winning was expected, routine, and even fun under Bo’s (we called him Captain Cox, of course) leadership. 

Bo was actually Carlisle B. Cox III, a third generation armor officer.  Not a perfect man (who is?), Bo was 30, a little overweight, liked his beer, and was the biggest nicotine addict I have ever seen.  Bo would dip Copenhagen smokeless tobacco in one cheek, stuff Days Work chewing tobacco in the other, and smoke a cigar…at the same time!!  So, it would not be unusual to find his team of junior officers, all emulating our fearless leader, with chew stuffed in our cheeks and not a dry spot on the ground within six feet of where we were gathered.

Much of my foundation as a leader was formed by serving under Bo Cox, and much of what I did as a business leader everyday goes back to these examples he set:

Understand you have a serious responsibility, but don’t take yourself too seriously. 

A company commander in the army has a great deal of responsibility in both peacetime and wartime.  Care and accountability for equipment valued in the multi-millions, and responsibility for the discipline, development, well-being of 50 or 60 soldiers and junior officers fall on the Army’s company commanders.  Even so, Bo was a man of good humor.  Bo was confident in his abilities and talent, which meant he was secure enough to be himself.  He was no poser.

Don’t jump to judgment.

A commander in the army has a great deal of power over subordinates.  Understanding the gravity of his decisions, Bo made sure he got all the facts before passing judgment.  He realized that one (or two, or three) people saying something doesn't make it so.  There are always multiple points-of-view to any situation.  He had the maturity to know as fact that one can never really know another person’s motives and perspective.  Bo based decisions on demonstrable facts alone.

Have compassion

I observed Bo make a decision that sent a soldier to jail.  This soldier had a severe alcohol problem, and after several offenses was sent to “the brig”.  Through this, Bo did not judge the person, only the offense.  He sought multiple opportunities to get the soldier help. 

My first platoon sergeant was a performance problem.  Bo mentored me in the art of managing through performance problems, lessons that I applied throughout my career.  Most people, he taught, want to perform.  He modeled that a leader must take the good with the bad in any person, making the most of the “good” and seeking to improve the “bad”.

Have courage

We didn't go to war from 1983-1987 when I served, and that's ok with me.  I have no doubt that, had we gone to battle together, Bo would have been a model of physical courage.

However, I did see Bo model moral courage, stand up to politics, do the right thing when there was no immediate benefit to himself.  He had a bias for principles of fairness and common sense, and would speak his mind, even to senior officers, when he saw those principles violated.  

Show me, don’t tell me

In my experience, the U. S. Army is the ultimate meritocracy.  Many of my colleagues got their commissions through the USMA at West Point.  Many others, like me, were commissioned through a university ROTC program.  A few came through Office Candidate School.  Bo didn't care how we got there, he cared about demonstrated, measurable performance.  “Talk is cheap”, he modeled.  “Show me, don’t tell me”.

Deflect credit, accept blame

C Company was well trained, combat ready, and qualified to the highest standards.  Whenever possible, Bo would deflect credit to his junior officers, NCO's and soldiers.  Likewise, he willingly took responsibility for mistakes.  I never saw Bo throw anyone under the bus.  Or the tank.

Timing is key

Bo always seemed to know when to praise, when to provide a kick to the rear, when to press, and when to give relief.  A knack for timing is invaluable in leadership, whether one is leading a tank company, a business unit, a single subordinate, or a child. 

On one occasion, I was complaining to Bo about something or another.  He called me out for being a "whiner".  Because I knew how much mutual respect we had, and how invested he was in my development, that hit home hard.  And I was being a "whiner"!

Have fun

Bo managed to inject fun into almost any situation.  On one training exercise, we were moving our company of M60A3 tanks across a muddy field.  By mid-afternoon, every tank was mired in mud up to the top of the tracks.   Many commanders would have flipped out.  Not Bo.  He stood the company down for the night, and when the lowered temperatures firmed up the ground the next morning, we had “vehicle recovery” training. 

I was privileged to serve with an amazing group of young officers.  Mike Lehto.  Mike Woods.  Jon Walter.  Mark Terrill.  Chuck Palmer.  Debbie Palmer. Terry Feisthammel.  Lori Feisthammel.  Eric Turner.  Charles King.  Buddy Miller.  Andy Atcher.  Harry Darby.  Aaron Danis.  I get chills calling to mind the quality and commitment of these friends and fellow officers.  And we did have fun, working and playing hard, under Bo Cox’s direct leadership or influence.

I could not have hoped for a better leader for such a formative period in my career than Carlisle B. Cox III.  "Bo".

A "Big Gulp" Approach to Marketing

CPM, Inc. is a marketing services company that focuses on developing and executing cost-efficient partnership marketing programs, usually but not exclusively, with entertainment properties.  Since founding CPM in 2008, CPM has worked closely with Fox, DreamWorks Animation, Paramount, and Sony studios to develop co-promotions behind theatrical and DVD releases.

Further, CPM has developed broad CPG and retailer relationships, and has partnered with top companies such as The Coca-Cola Company, Bird's Eye, Cott Beverage, Del Monte Foods, Diamond Foods, Jarden Consumer Solutions, Kellogg's, ConAgra, Mars, Nestle, Purina, Reckit-Benckeiser, Schiff Nutrition, Tyson Foods, and Walmart. 

As CPM, Inc. approaches five years in business (June 1!), I reflect on my hesitation when someone asks, “Yeah, Stu but what do you do?”  So even if it only helps me, I’ll try to explain.

CPM develops partnership marketing programs that bring together consumer goods companies to promote their brands with major Hollywood releases.  The magic, the “secret sauce”, the “1+1=3”, is that CPM created programs generally do not require any licensing fees.  Often (though not always) the studio is willing to kick in some cash in support of a program, beyond permission to use the characters and assets from the movie.

The program starts with some type of proposition.  Buy two of this and get $5 off of that.  Buy the DVD and get a something or other for free.  Go to the promoting brand website and enter to win something having to do with the move.  A value-add offer.

Then we move on to “how do we get the word out” on the proposition.  Five years ago it was print in magazines, maybe some cross linking of websites.  Later, reciprocal Facebook posts were added.  Now, social media content generators (bloggers) are often a big part of “getting the word out”.

In-store activation is critical as well:  packaging, IRC’s, cross-merchandising, point-of-purchase materials.  It all combines to create a 360 degree approach to creating interest in the proposition, thus for the brands and the movie. 

So, where does CPM come in?  With nearly 30 years’ experience in CPG marketing and sales, about 20 of those in Bentonville working with Walmart and Sam’s Clubs, CPM is like the “Big Gulp”.  You know, buy a large drink, and for just a few cents more! you can get a lot more.

The large drink is the money a brand is going to spend marketing, on something, in any case.  CPM is the “Big Gulp”, the “Super Size”.  For just a little more, the brand can add value by partnering with complementary brands (to share costs and broaden the reach of the proposition), and tie in with a major Hollywood blockbuster.

So what is CPM?  What does CPM do?  CPM is the “Big Gulp”. The “Super Size”.  CPM, Inc. is what makes 1+1=3.