Recently, we’ve seen two interesting examples.  Recall the 2011 SuperBowl with the Green Bay Packers defeating the Pittsburgh Steelers.  Couponing powerhouse Groupon steps into the advertising game with their first attempt at traditional mainstream advertising.  Their multi-million dollar TV commercials amidst 111 million fans viewing, frankly did more to offend consumers, than draw positive attention to their brand.   We’ve all seen the spots and heard the stories by now.  Groupon attacked by using celebrities to highlight the injustice in Tibet, by centering on the opportunity to get a half-price deal on Tibetan food.  Was it Groupon’s attempt to be funny?….entertain the American public?  Certainly appeared that way, but I’m pretty sure Americans missed the punch line.  Groupon had the right idea all along, by attaching charity components to this campaign, in which purchasers have the option to donate to worthwhile charities…including The Tibet Fund.  It’s a great exchange, as the consumer gets the half-price deal, Groupon makes money, plus a charity benefits.  One problem, Groupon neglected to mention the charity component in those now famous multi-million dollar TV spots.

So here it comes…Americans posting in online chat rooms and posting boards, talking about the negative gaffe that Groupon made.  And how has it affected Groupon?  Interestingly enough, online memberships to Groupon’s site are up since the SuperBowl…not down as many people had anticipated.  Greenpeace, another charity partner within Groupon’s campaign…racked up over $100,000 in donations in less than 48 hours after the game.  Rinchen Dharlo, President of The Tibet Fund came on record to state that he is saddened that Groupon has pulled the campaign.  “Even thought it offended many people, it brought the issue of Tibet to millions of people who may have never heard about our struggle,” Dharlo stated.

So, you would think this example has proved that publicity, even negative publicity, can generate the awareness of a brand and drive consumers to respond to opportunities, right?  Well, another example may lead us the other way.

A medium-sized Mexican restaurant in a small northern Indiana town, decided to kick off their first large-scale advertising campaign.  They bet the farm on billboard advertising with a cute picture of a nice, cold adult beverage, with the statement, “We’re like a cult, with better Kool-Aid.”

Here was the issue.  In November 1978, more than 900 members of Jim Jones’ People’s Temple, drank cyanide-laced grape flavored punch in a mass murder and suicide.  The billboards sent shocking memories and graphic images through the minds of the public viewing the boards, and offending many of them to the point of contacting the restaurants upper management members to demand the boards be taken down.  Again, is this simply the result of American’s not getting that punch line?  Or, as similar with Groupon’s case…now this small Mexican restaurant, has gained national status and presence in web reviews and such.

The case for the Mexican restaurant has all happened too recently to see how business and traffic will be affected, but it will be interesting to see how consumers now view the brand.  Again, publicity, good or bad…drives awareness.