Palessi is an Indictment of Our Times
Palessi Website

Palessi is an Indictment of Our Times

You may have seen this clever, compelling, and creative campaign from Payless, the discount shoe chain. Payless took over a former Armani store in a Santa Monica mall. The chain stocked it with an array of their $19.99 pumps and $39.99 boots. Then they invited groups of so-called “Influencers” to the grand opening of the faux retail brand, “Palessi”.

The event attracted tons of media...

AdWeek:Payless Opened a Fake Luxury Store, ‘Palessi,’ to See How Much People Would Pay for $20 Shoes, The answer? A hell of a lot

CNN:Payless dupes fashion influencers into buying $640 shoes

CTV News:Payless Tricks Social Media Influencers into Paying $600 for $20 shoes

Fortune:Payless Opened a Fake Luxury Store With $600 Shoes

USA Today: Payless marked up discount shoes to $600 at luxury event 'Palessi'    

AdWeek reported, “Party goers, having no idea they were looking at discount staples from the mall scene, said they’d pay hundreds of dollars for the stylish shoes, praising the look, materials and workmanship. Top offer: $640, which translates to an 1,800 percent markup, and Palessi sold about $3,000 worth of product in the first few hours of the stunt.”

The entire event was well done. Check out Payless’ video explaining it,  https://vimeo.com/303592261 and be sure to visit the slick Palessi website that will have you thinking all-things-luxury, https://www.palessishoes.com. Visit fast, as I am sure this site will be taken down.

The unwitting or, witless, influencers who made purchases had their money returned and received free shoes in exchange for hilarious and kind-of-sad video. It is brilliant for an accessible and affordable retail brand to take on the deeply flawed influencer-marketing model.

The agency who pulled this together was DCX Growth Accelerator. You can just imagine the fun of conceptualizing it in one of their meeting rooms. According to Doug Cameron, DCX’s Chief Creative Officer, the retailer “wanted to push the social experiment genre to new extremes, while simultaneously using it to make a cultural statement. Payless customers share a pragmatist point of view, and we thought it would be provocative to use this ideology to challenge today’s image-conscious fashion influencer culture.”

DCX hit the key marketing objectives. They challenged the hypocrisy in fashion retailing, questioned the use of influencer marketing, and got Payless press. The response to the campaign has been consistent from both the marketing and fashion industries. Most see it as a commentary on the positive and negative power of image and on the discernment, or lack thereof, among fashion influencers. After all, these “experts” paid 18-times the normal price.

However, I see something much deeper in Palessi. To be sure, forms of influencer marketing have been around for centuries. It started with endorsements. Royal families once endorsed Wedgwood china. This evolved into celebrity endorsements in the 20th century. Pat Boone crooned for General Motors, Ellen DeGeneres became a Cover Girl, and Donald Trump shrilled for Burger King and Pizza Hut (which should have prompted people to ask, “Is he really a billionaire?”, but that is a whole other story).

We are all familiar with the line, “Promotional consideration paid for by ___________.” That is sly, deceptive language that has brands hijacking whole programs on television. NBC’s The Today Show is four hours of ads weakly disguised as a news program. Why society falls for and allows such flimflam boggles the mind. It is hucksterism akin to tactics from Barnum, a sleight of hand that is a big false promise like every ounce of snake oil that has ever been sold.

So, while this evolution has taken place, there is a profound difference from days of yore. Today, the majority of influencers are nobodies trying to be celebrities. Influencers are close cousins to “life coaches”. These twenty-something life coaches hang out a pseudo-science shingle with zero bona fides except their shared love of not working. More often than not, they pump-out hollow, try-to-feel-good diatribes on Instagram beneath a photo of them posing in sunshine only to return home at night to a bed in their parents’ basement before crying themselves to sleep. 

Influencers and life coaches suffer from self and broadcast disillusionment making both “professions” equally and profoundly dangerous. 

We live in a time of credibility-missing expertise. That is why all of our institutions are in disarray. Are our truly best minds entering politics? Not by a long shot. Where are the sharp, ethically minded business leaders? Certainly not at Facebook. What we have instead are those that self-promote and wildly profit from our ignorance and apathy. We are eroding society from within by not calling B.S. and letting the least qualified have the loudest voice.

Payless may have viewed this as a stunt. A bit of guerilla marketing to gain short-term media exposure. And that is what it may amount to. However, if you look harder at what it communicates, calls-out and proves, it is a bigger story. When this period of history is written it may be pointed to as one of the many siren calls concerning our purpose and authenticity. A plea to eschew the vacuous pablum of silly commercialism we too willingly gulp down in liberal amounts.

This is neither a marketing stunt or tiny historic footnote, it is a sad and pivotal wake-up call that goes far beyond shoes, malls and marketing. It is an indictment of so much more.

Erin O'Keefe Graham

Imaginal Ventures | Women’s Equity Lab | East Valley Ventures | Strategy, Brand & Culture

6y

Oh, Jeff. It really is a tragedy. I have spent the past few years feeling empty whenever I worked with a big brand trying to attract buyers, because I've just lost the will to use influence in order to help people part with their money. Wish that more of brand were about delivering on the promises. I'm not saving lives but shifting to working on building a great culture/employer brand feels a bit better. Sadly, so much pablum, to your point. Miss your wit, well written!!  

Q(uirino) Malandrino

Brand counsel, advice, and answers - plus the Masterbranded.com online course. And proud IDEALIST(.org)

6y

Wanted to add that this is an example of the immense power of 'Brand' -- as Alan said, it's 'perceived value'  ... which here was crafted and then manipulated extremely well. Of course, this would all fall short -- in terms of 'brand' -- when the shoes fall apart two months later, and then the Palessi Brand would be dead and buried by the very forces that caused its initial success --- Promise vs Delivery of the Promise, indeed.

Mike Wilkes, MBA

New Ventures @ Rejuvenation Medical

6y

Chris Ackroyd, Brett Larson, Jeff Lohnes, 🍺Chris Snoyer - solid read I think you'll all be interested in reading.

Rick Nason

Associate Professor of Finance at Faculty of Management, Dalhousie University, Author who is passionate about complexity science as well as risk management

6y

Great points Jeff.  The question is: was it effective advertising.  Your article should be part of every B-School curriculum (but that would require courage and critical thinking of B-School academics ... never mind)

Rick Nason

Associate Professor of Finance at Faculty of Management, Dalhousie University, Author who is passionate about complexity science as well as risk management

6y

The staff is wearing all black - thus it must be a classy, hip, ultra high quality, only for the exclusive in the know rich.

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