Clearly this is a trademark violation, but just look at the reach that this single application is having. There has to be a balance between legal and marketing in order to thrive in new media. Personally, I never really thought about Scrabble until I saw the flood of invites and blog posts and messages on Twitter about this little applicaiton. Personally I don’t own the real world game, but I know people who did buy it after this Facebook app reinvigorated their passion for it.

If I were in Mattel’s marketing department here is what my train of thinking would be here:

1. Somebody please kick the legal department out of the room. Thanks, now let’s continue.
2. Wow! These guys built an awesome application around our brand
3. We NEED to talk to them and buy this application ASAP
4. We NEED to hire these guys (or at least retain them) to do updates and possibly roll this out to other networks (Bebo, MySpace, etc.)
5. Seriously guys, keep those lawyers out of here! Just tell them somebody in accounting is using the wrong Pantone color in the logo again.
6. If we can’t buy it, we at least need to sponsor/co-present it as *the* official Scrabble game on Facebook
7. If none of those options work we need to congratulate those guys publicly for their efforts and encourage people to join in
8. I wonder why we didn’t think of this.

I think way too much of the marketing decision making is done by zealous, old-school, out-of-touch marketers or the legal department. I’ve personally run into legal departments that have the marketing group so fearful that the lawyers start making branding/positioning decisions for the company. That’s a very scary idea in my mind.

Any marketer out there should be looking at all of the options inside social networks like this. Look at these four actions steps to get the most value:

1. Creation: build the application, group, etc. that fits your business goals and adds value to your customers.
2. Acquisition: If you’re late to the party you should look at what is out there and set some acquisition targets. Look for those people adding the most value even if they don’t have the most traction.
3. Collaboration: If you can’t/won’t build it and somebody else has, look for ways to collaborate with them. Support them in ways that bring value to the users.

Companies have to defend their brands from nefarious use. That’s a given. But the law isn’t keeping up with the times and the lawyers have no choice but to fight. As Shel Holtz said, “blame the law, not the lawyers”. Marketing departments and legal departments need to get on the same page going forward in this new world of marketing and customer involvement.

Have you seen any other examples of marketers making snap judgements and persecuting their biggest fans? Social media is about supporting evangelists, not crushing them in a public display of force.

* * * * *
Over on the WOMMA Facebook Group, Shannon Stairhime has started a conversation about the Mattel situation. In the post, Shannon asks for evaluations of Mattel’s performance in building consumer trust by starting a conversation with consumers using WOM (word of mouth) tactics and principles of full disclosure.
Here’s my take:
I definitely applaud Mattel CEO Bob Eckert for making what appears to be a sincere apology. I watched the video and thought that it was refreshing to hear. I have to respectfully disagree, though, that Mattel’s actions are a triumphant use of WOM in a crisis. They’re not.
From a purely tactical perspective, the Mattel site doesn’t make it easy to share the video or forward any sort of key messaging to friends. Instead of an easy-to-share and forwardable PDF with a simple list of recalled toys, they have a slew of confusing links that make it difficult to understand exactly which products are being recalled and why.
Other tactics missing in action:
* Where is the forum allowing consumers to talk with one another?
* Where is the message board fully staffed with customer service personnel ready to answer questions?
* Where is the daily blog with updates on the corrective actions they are taking?
* Where are the Mattel representatives or PR folks in commenting on Consumerist, Babycenter.com, Facebook forums, etc. (i.e. *participating* in the conversation?)
Looking at this from a higher-level and more strategic perspective, though, my biggest problem is that this is NOT a conversation. As noble as this straightforward apology is, it’s still a one-sided “we tell you the message” monologue, not a conversation or dialogue with customers. If this was a true conversation, Mr. Eckert would have announced the formation of a special panel of parents and other consumers to monitor and watchdog the situation. They would have thrown open the doors of the executive suite and asked, “We’re taking action, but we need your help and want your input.” Not only would Mattel soon have a panel of advocates and evangelists ready to champion the company’s cause, but then you would have a more open, two-way conversation build on dialogue and trust.
None of that has happened, to the best of my knowledge.
Lastly, if this was a true conversation, Mr. Eckert would have started and ended his video by saying, “And if you have any further questions, please call my office at 1-800-XXX-XXXX, where we have specialists ready to answer your questions and concerns about the recalls. I’ll even pick up the phone and help out once in a while. I can’t answer every question, but I’ll do my best.”
Great apology. WOM success? Not even close.
What do you think?
Learn more:
Mattel Voluntary Safety Recall microsite
WOMMA Facebook Group
BL Ochman’s terrific Marketing Profs post

Tips for parents include: A home lead test and getting your child’s blood tested for lead at least once a year.
What’s a parent to do? What’s a company to do?
On this consumer relations answer center page for Mattel, there are steps to follow to determine if toys in your toybox might include lead and actions to take if any prove suspicious.
So what do you do if your Elmo Tub Sub toy that your child has been splashing around with is suddenly a fear for your little one’s safety? Here’s what they have to say: Remedy: Consumers should immediately take the recalled toys away from children and contact Fisher-Price. Consumers will need to return the product and will receive a voucher for a replacement toy of the consumer’s choice (up to the value of the returned product)..
Now, maybe I’m a hysteric, but doesn’t this all seem a bit too calm and collected? This is about children ingesting lead! And where is the apology? And the extra mile? Where is that?
Here’s the warning in red on the site: Lead is toxic if ingested and can cause adverse health effects. Ya think?
Is anyone else amazed and shocked that there is not more outrage and action over this?

Mattel is about to launch its new combination Barbie/MP3 player and to take its Barbie Girls site out of beta. The starter set for the BarbieGirls site is sold for $59.99 That investment brings young children into a culture of materialistic greed …. before the values that might temper that greed have been formed.
When her feet are plugged into the iPodesque docking station that she comes with, MP3 Barbie unlocks a site filled with games, virtual shops and online chatting functions on the BarbieGirls.com Web site. Every mini-skirt and pair of shoes gives bought with mom and dad’s very real credit cards give you more privilege in online Barbie’s Second Life for the 6-12 set.

Interestingly, the new doll and its world will be promoted virally, mainly through the site, with minimal (for Mattel) traditional advertising. That is a sea change in itself.
Yet, with all the money and talent available to them, Mattel has not come up with anything that isn’t a direct copy of already existing sites like Webkinz, neopets and Club Penguin.
The better way
If you wanted to copy someone else’s program Mattel, here are some places you could have looked. Harper-Collins Children’s Books is soliciting teen writers through a collaborative writing program. The American Express Members Project will help fund world-changing ideas suggested and selected by members. Starbucks Expedition for Change is another project hoping to bring about positive social change.
Webkinz, to its credit, rewards kids who solve math problems, teaches kids how to make their own videos, and at least tries to instill values beyond “I have more expensive toys than you.”
Children’s Models?
But none of the online communities for children that I’ve been able to find suggest that children think of ways to help other children who are less fortunate, or that they improve their reading and math or problem-solving skills while having fun.
Will MP3 Barbie succeed? The New York Times says that about 3 million people have registered since April 27 on the BarbieGirls Web site, and “that’s without Mattel advertising the site, even on its Barbie.com home page.”
Related:
Int’l Herald Tribune: Barbie and other toy companies use physical goods to unlock online goodies
Blogging Stocks: An MP3 for Barbie – who needs it