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Marketing Darwinism - by Paul Dunay
Advertising, Content Marketing, Conversion Optimization, Customer Experience, Design, Innovation, Interactive Marketing, Internet, Optimization, Web Design

4 Lessons from Responsive Design for CMOs

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Responsive design brings a variety of benefits – both for brand marketers and the consumers interacting with content across multiple devices. According to data from a December 2012 study conducted by eConsultancy, nearly 70 percent of client-side marketers described their experience level with responsive design as “average” or better, and more than half of that group described their companies as “ahead of the curve” or “state of the art” when it came to the design technique.

As advanced as some brands and in-house digital marketers may believe they are in responsive design, there are still quite a few challenges that optimization experts and digital marketers must heed. Here are some lessons CMOs can use to get strategic in their approach while driving real, impact-filled growth to the bottom line.

Rule #1: Don’t Become Complacent

Since the mobile marketplace is extremely dynamic and the mobile consumer is ever changing, don’t become complacent just because you launched a responsive-design site.  At the beginning of 2013, tablet users were already showing a higher conversion rate than desktop shoppers. Moreover, 20 percent of mobile users use it as their primary device. This means consumers are evolving more quickly than you may think, so closely monitor your analytics. In fact, companies like Gilt have seen a 100 percent increase in mobile users in a single year.

Rule #2: Always Be Refining

Continually develop and refine new design iterations that work seamlessly across multiple screen sizes and functionalities (e.g., touch, swipe). Being immersive is just as important as being intuitive. Pinch, swipe and zoom are features that smartphone and tablet users know and love. In the early days of responsive design, it was said that these were features that couldn’t be tapped into. With today’s more common blend of adaptive and responsive design, we know that this is not the case. Developers have touch-screen-specific controls at their disposal, and customization can be achieved through injection of JavaScript, for example. It’s important to strike the right balance between optimal performance (page-load time) and customization, as the two are interrelated.

Rule #3: Never Stop Testing and Learning

Always be testing and learning with your responsive-design site so that key information and functions are visible, prioritized and accessible to people regardless of what device they are using. Getting shoppers to move through the entire funnel – starting on the home page and moving to key product and landing pages all the way through the checkout process – is no easy feat. Each consumer, be it a first-time visitor or a longtime brand advocate, wants something different and unique from the checkout process. For a big-box apparel retailer, for example, free shipping can prove effective in rewarding high-value customers and cultivating loyalty among a brand’s average customers. This is where testing and learning play an integral role in pinpointing the optimal threshold for free shipping to boost online sales and grow the brand’s market share amid competitors. The data and insights delivered from a test-and-learn strategy could very well disprove brand assumptions and, in turn, generate the type of ROI brands seek such as higher average order value, as well as an increase in purchase conversions and overall revenue. 

Rule #4: Leverage All Data

Even the most basic site analytics can reveal huge potential opportunities.  Incorporating analytics early in the development of a responsive-design site is important. Set your responsive breakpoints you seek to track within your analytics solution and run a report for traffic to specific pages by device type. You’ll be able to glean a wealth of information about which areas of your site are seeing the heaviest tablet traffic, compared to areas with significant upticks in smartphone-only traffic.  You’ll also be able to see which areas produce low traffic or poor conversions. This tactic can help you optimize the customer experience to drive customer engagement, loyalty, conversions and revenue consistently for the long haul.

February 12, 2014by Paul Dunay
Innovation

Your Marketing Strategy Needs to Keep Pace with Digital Culture

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In a company, the term “culture” is often defined by qualities such as an organization’s business values, overarching mission statement, operational style, working languages, technology and operating systems, personality traits and in-office habits. Basically I tend to think of a company’s culture as the delicate balance among those inexplicable qualities that make your employees do the things they do. It’s those traits that cannot always be written down on paper that often make employees and their company culture stand out amidst a crowd of “so-so” performers. And it’s often what keeps customers happy and coming back year and after.

Take, for example, a global footwear brand. This brand’s primary foothold may have been from brick-and-mortar stores around the U.S. But as consumers quickly ditch in-store shopping in favor of the speed, ease of use, convenience and massive array of product options made possible by online and mobile devices, a brand’s digital marketing culture matters, a lot. It can make all the difference in customer engagement and loyalty on one level. But most important, it can also very drastically impact actual sales figures and revenue across multiple channels. So let’s look at some of the prevailing digital “values” that could either help or hurt a brand’s bottom line.

The “other” dominates our attention. We spend our marketing dollars and resources in search of ways to “one-up” our competitors.

We see this a lot among brands. The marketplace is highly competitive these days. Consumer budgets are drastically lower, since the 2008 financial collapse. Attention spans and free time are often very limited. Consumers, in turn, demand much more from their experiences with brands, regardless of where these experiences occur and what devices they are using.

Because of these challenges, we often see brands looking to digital marketing to move the engagement and revenue needles in the right direction. But then they get stuck because their digital focus becomes all about showmanship and facing off in a tit-for-tat competition with others in their same space. What good will that approach do? Not much. It will only make your customers feel more frustrated, less appreciated and more unlikely to interact with your brand. If you can’t make every single interaction and experience customers have with your brand a positive, engaging and intuitive one—whether it’s in-store, online, mobile, social or email—you should expect to say goodbye to them relatively quickly.

We can no longer envision “big ideas” and creative marketing without the support of big data.

There once was a time when the “creative” process of branding and marketing was left solely to agencies and their teams of art directors, creative designers, copywriters and everyone else who spent a good portion of their days drawing and sketching out brand concepts and stories. On the other side of the proverbial “brand” table sat the numbers and analytics “geeks,” as they were often called. These teams would crunch numbers, run hundreds of equations, and compile long and arduous Excel® sheets.

Well, that divisive line between creative and data is no longer existent. To be a brand that’s challenging the status quo, inspiring consumers to smile, laugh, cry and even debate what’s acceptable, as well as getting consumers to spend more time and more money with them, we have to use data to support those “big ideas.”

No two consumers will ever want an identical experience, so we continually test and learn.

A recent poll by Korn/Ferry among senior executives indicates that 53 percent of them believe their companies should allocate budget to explore new marketing channels through a “test-and-learn” approach, in order to remain competitive; but half of the respondents feel that their marketing departments do not receive enough budget to do so.

Can chief marketing officers transform the way they market by simply employing a test-and-learn philosophy? Well, yes and no. Let me explain. If a brand is simply going to try a bunch of random “tactics” without any real reason or purpose behind them, there won’t be much value in it. Just look at how many brands these days are jumping headfirst into the responsive-design game. They’re doing it because they are being told by either the C-level executive team or the board of directors that mobile is where they need to be. So they go after a quick fix and rush into responsive design without any real thought, strategy or testing behind it. That’s a big mistake.

On the other hand, the real value of a test-and-learn digital culture lies in being patient, spending the time to analyze all of the data available (CRM, online, mobile and social), and identify what’s working and what’s falling through the cracks. That allows you to formulate a very calculated and strategic hypothesis and then test against that, until you can create an experience—be it online or mobile or social—that’s as relevant, seamless, easy to use and engaging as possible.

December 8, 2013by Paul Dunay
Crowdsourcing, Gaming, Innovation

How Are Serious Games Reinventing Businesses?

Luke Hohmann

I had a chance to sit down with Luke Hohmann, founder of Conteneo, Inc. and creator of Innovation Games® and Knowsy® to discuss how serious games are changing Sales and Marketing teams at major brands. The following is a transcript of our conversation.

PD:     Talk a little bit about what is a “serious” game.  How does that differ from just a game?

LH:      A serious game is a game that we play to solve a business problem as opposed to any other kind of game typically played for entertainment purposes.  When I’m playing Scrabble with my wife on a Saturday night, we’re just enjoying the company and the time together, and there’s nothing really serious about it. When I play a serious game, I’m trying to solve some kind of a business problem like managing a complex sale or developing a product-marketing plan.

PD:     Why are they becoming so popular?  What’s driving the popularity of some of these games?

LH:      The reason serious games are becoming so popular is because we’re learning that when people are playing games, their brain is literally in a different state. When you’re playing a game like Angry Birds, tiny amounts of dopamine are released every time you achieve the next level in the game or create a new high score. This dopamine, in turn, makes you happy and motivates you to play more – achieve the next level, reach a new high score.

We’re finding we can take some of those feelings of positivity that occur when people accomplish a goal and put them into a work context.  For example, let’s say you need to make choices on where you’re going to invest your marketing dollars across various social media challenges. This is a classic portfolio management question.

Unfortunately, traditional ROI approaches to portfolio management often leaves you feeling beat up and hollow when you’re done, because you’re trying to argue about uncertain futures using only half of your brain.

Our collaborative games-based approach to making these choices leaves you and your entire team feeling energized because in the game you can explore both ROI and non-ROI factors to selecting your social media investments. When you achieve the goal, you’re going to feel great about the result, because along the way the game will induce your brain to release some dopamine while you’re playing.

That’s similar with Knowsy in the sales context.  A traditional way that strategic sales managers determine the priorities of a buyer or get a group of stakeholders that influences the buying decision aligned is usually a sequence of painful meetings in which salespeople interrogate their prospects. Knowsy shortens the buyer alignment process by engaging buyers in a meaningful, collaborative and fun activity that results in people feeling good about the alignments that they’ve created and the paths they agreed to take. And yup, the dopamine released during the game, and the behavioral economics theory that underpins the choices in the game, all help your sales team close complex deals faster.

PD:     Let’s go into some examples of how sales teams have solved potential business problems.

LH:      One of our clients, Serena Software, makes a software application that help large companies manage the flow and upgrade of other software applications on mainframe systems.  So if you’re a bank or insurance company and you have an old mainframe system you want to update, Serena makes software that makes the upgrading process easier. Typically, Serena’s sales involve a number of influencers: the CIO, the head of application development, the head of data security, the head of operations, all of whom need to be comfortable that Serena is the right solution to not only meet their corporate IT needs but also their individual departmental  priorities. The traditional approach of a salesperson trying to make that sale is like herding cats and chasing after one-on-one meetings. The salesperson spends inordinate amount of time setting up interviews  to understand individual stakeholder’s priorities, one at a time. Of course, when the salesperson brings the group together,  he must  present a slide deck that magically shows how his solution is going to meet everyone’s number-one priority.

But if you look at the discussion in that room that ensues, it is slow and painful, because suddenly the buyers realize that while they might know their own individual priorities, they probably do not know the priorities of their peers. And they think: “We’d better talk about our shared priorities, because if we are going to purchase Serena’s solution, it will affect everyone, but individually and as a team. So we’d better figure out what our priorities are and how we want to go forward.” The most effective salespeople know that they need to skillfully facilitate that meeting so the sales process doesn’t stall or slow down due to lack of internal customers’ alignment.

What Knowsy does is it tackles that situation head on. When you’re in a complex sale, the salesperson calls his prospects and says I want to have this meeting. I want to bring in the key players into the room. And I’m going to lead you through a guided activity that will reveal your priorities and help you reach alignment as a team. When that’s done, if the priorities of the group are such that my solution can be useful, we’ll figure it out and we’ll move forward.  If it’s not, we’ll discover this soon enough as a team.. Either way, we all win because the priorities of the individual stakeholders will be revealed, and we’ll be able to see if there’s internal alignment to progress down the buying process.

PD:     Let’s go to marketing team.  Can you give us some examples of how either a corporate team or maybe even a product team might use Knowsy?

LH:      Even though Knowsy is a tool for salespeople, we’re finding that the people who are bringing our tool into their organizations are, in fact, marketing departments. The marketing team tells us two things. One, they’re never in the room with the salespeople when the salespeople are reviewing prospects’ needs and, therefore, they’re never really sure what messages are resonating, what are the important trends and what are the important priorities. The idea behind Knowsy is that by playing this game in a fun and engaging way, you’re actually feeding a real-time database that the marketing team can use.

On the flipside, the other thing that the marketing departments that we’ve been working with have told us repeatedly is that they have expertise and a point of view about their industry that they want to communicate. Many marketing departments want to establish their employees as thought leaders. So what we do in Knowsy is we take those thought leaders and we put their opinions into the platform about what a prospect might do in a certain situation.  Prospects can compare their opinions individually and/or as a team with recognized thought leaders from the company or the industry.

What that does is it lets the marketing department promote thought leadership in the most direct manner possible, which is when the buyers are most interested in hearing the opinion of an expert.

PD:     Let’s switch to big brands. Can you give us some examples of how big brands are deploying serious games?

LH:      A recent advergame that actually is doing very well is Plantville from Siemens. An advergame is a game that is an advertisement disguised as a game. In this case, Plantville is a thinly-veiled version of Farmville.  In Plantville, you’re a facilities manager inside a manufacturing plant, building your plant and operating it using the same kind of principles of building and operating your farm in FarmVille.  And by playing this simulation game, you learn about Siemens technologies that solve certain problems in plant management, and you can test your knowledge of how to be a good plant manager.

You might assume that the last thing someone who works in a plant all day would want to do is play a game where they operate and manage a plant – and you’d be wrong. What we’re finding is that some of the most-devoted users of Plantville are in fact plant managers of significant facilities who want to demonstrate through various game mechanics that they are really good at their job. Of course, in the process Siemens is getting tremendous brand goodwill and educating the players on new products and features. For example, a plant manager who has an existing set of equipment might not have an ability to explore the operating characteristics of new equipment. But in Plantville, they can try that new equipment and get a sense of what it would do or not do in a simulated environment. It’s a tremendous value to Siemens’ marketing department, of course, to deploy Plantville as a brand engagement tool that effectively reaches its target audience and communicates the features and benefits of Sieman’s products and services.

October 5, 2013by Paul Dunay
Branding, Buzz Marketing, Conversational Marketing, Crowdsourcing, Innovation, Interactive Marketing, Mobile, QR Codes, Visual Recognition

Creating an Immersive Brand Experience at the Red Bull Wake Open

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The Red Bull Wake Open in Tampa, Florida is the world’s largest Wake Boarding contest and they wanted to do something new and engaging from a guest experience perspective this year. So, after reviewing various mobile technologies they decided to partner Smartsy to incorporate Visual Recognition and User Generate Content into their branding and collateral to help make them more interactive and actionable.

The custom app was easy to use and built around Red Bull’s main priorities for the event: driving guest engagement, generating new content and building athlete awareness. To do this various functionality was incorporated that allowed users to unlock secret content from posters and wake board rider cards (think baseball cards for wake boarders!) that offered insider perspectives on the competing athletes and the event itself.

During the event the fans could also capture their own experiences and see themselves on the Jumbotron, which created a lot of good user generated content and buzz. They were also asked to vote for their favorite rider (electing who would be the official “Fan Favorite”).

In addition to that they could see content from previous Wake Opens, as well as share content over their social networks and follow their favorite riders on FB or Twitter.

Despite inclement weather at the event, held over two days in Tampa on July 5th and 6th, the app ended up with a lot of adoption and users provided very positive responses to the app. While Smartsy can’t disclose specific stats on the results, they can say that they experienced very strong voting numbers, sharing across social networks, content ‘liking’ and user generated content exceeded expectations, and received extremely high numbers of visual recognitions, especially on a per download basis. The feedback from both Red Bull and guests were that they loved the new experience and thought it was a really fun way for Red Bull interact with their fans.

September 4, 2013by Paul Dunay
Innovation, Interactive Marketing, Strategy

The Social-Shake-Up: A New Breed of Marketer is Coming

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Gartner is predicting that by 2015, 25% of organizations will have a Chief Digital Officer (CDO) and further estimated that 20% of existing chief information officers (CIOs) have already taken on some of the responsibilities of the CDO.

So what does a CDO do?

The role of the CDO in the enterprise has gotten a great deal of attention in recent months. Perhaps because of the impact and influence that the CDO had in the Obama campaign last fall. All the tools of the trade – text analytics, social media analysis, Website personalization, community analytics, computational advertising and online testing, among other things – were used for re-elect the President of the United States.

In this new Age of the Customer (credit to Forrester for naming this one), how well a company uses the readily available information about their customer will determine how successful they are in the marketplace. Which is no small feat since most companies are not “born digital” there is a lot of work to do to get all the people, process and technology to line up.

Adapting to the Age of the Customer requires a new skill set that existing leadership teams don’t necessarily possess. At many modern companies, it’s hard to find anything that is not related to technology in some way.

Moreover, marketing has become so deeply entwined with technology. But this didn’t happen to us overnight; it’s been sneaking up on us for a while. But because technology had been so tangential to marketing management for most of our history, the organizational structure of marketing has been slow to adjust to this new technology-centric reality. But we’ve clearly reached a tipping point. To fully reap the benefits marketing must officially take ownership of its technology platforms and strategies.

I also like to think the traditional path that the CMO has taken to get into the C Suite is changing. Typically the modern day CMO takes Marketing 101 in college, gets a Masters in Marketing, works for a major brand like P&G as an entry level marketer, becomes a brand manager then rises up to eventually become the CMO. Well today’s marketers are growing up digital – they create aps, they place Facebook ads, they run some mobile ads and design augmented reality games – all before lunch! Its no wonder why the idea of a CDO has emerged – because it didn’t make sense for many organizations five years ago, it’s hard to imagine that major companies won’t be operating without one in the very near future.

So how are you preparing for this new reality? 

In this new era, business models cannot be limited to what legacy IT is able to support. Instead, all business systems, including monetization platforms, must adapt to deliver the experiences customers want.

Like it or not, what Andrew McAfee predicted in 2006 in his book, Enterprise 2.0, is here, it’s happening and whether we call it “enterprise social,” or “social business” or just the biggest communications revolution since the printing press, it’s changing the way we do business in a fundamental fashion.

So I suggest the best way to prepare for this is to join me in attending the The Social-Shake-Up Conference. This is not your ordinary conference about social media. Nor is it a conference about advertising or marketing technologies. It’s meant to prepare you for changes that are occurring and give you what you need to succeed in this new era. The conference is a jam-packed two-and-a-half days from September 15-17 in Atlanta with 5 tracks ranging from Big Data, Mobile, Social Organization, Customer and Community as well as Content. I hope to see you there!

April 25, 2013by Paul Dunay
Business Intelligence, Innovation, Interactive Marketing, Internet, Sales

Online Shopping’s – Zero Moment of Truth

Although the average online shopping cart abandonment rate is a staggering 65 percent, incomplete purchases are largely credited to controllable issues: high shipping prices presented too late in the game, a long or confusing checkout process, not enough payment options, too many requests for customer information, etc. Sealing the deal comes down to being able to provide a great deal of information in as few clicks as possible.

Like many things in marketing, the solution lies in listening: listening to your customers, that is. And if you listen carefully enough, they have likely told (or showed) you why—and when—they are leaving without completing the sale.

Think about it: how do things like the existence of hidden shipping costs, lack of early shipping cost estimates, out of stock items and lengthy registration forms affect your overall conversions? Would reduced or free shipping increase the number of conversions? Are you telling visitors upfront when items are out of stock, or are you waiting to spring that on them when they go to checkout? Are they forced to leave the shopping cart to read your return policy when it strikes them that, “I’m not sure whether Aunt Susie is a size 4 or a 6 — I wonder if she’ll be able to return this?” The list of variables that create a good (or bad) checkout experience goes on and on.

According to Forrester Research, the top six reasons for abandoning a cart before making a purchase are:

  1. Shipping and handling costs are too high (55%!)
  2. Wasn’t ready to purchase the product
  3. Wanted to compare prices on other sites
  4. Product prices higher than they were willing to pay
  5. Wanted to save products to the cart for lower comparison
  6. Shipping costs were listed too late in the checkout process

Consumers are openly fickle, and telling. They want to make sure they are getting the best deal and experience possible, and it’s up to you to give it to them. To achieve this, here are some tried and true do’s and don’ts when it comes to your cart:

1. Ditch hidden shipping costs and fees. Be honest about what the cost is upfront; consumers appreciate integrity.

2. Offer free shipping promotions. Whether it’s via an offer, a time frame (act now!) or “buy a certain amount, get free shipping,” showing customers you know shipping fees are a pain point for them is an easy win. After all, by throwing them a bone with shipping fees, you’re sure to make up for those costs in additional sales and Average Order Values.

3. Make registration simple. Make sure your registration process is easy to get through, perhaps even with a progress indicator—lengthy or confusing forms cause frustration. Frustration causes visitors to wander.

4. Leave room for virtual lay-a-way. A “save for later” button, though doesn’t lend to the immediate sale, can be great for those who are in browse – not buy – mode. Consumers who can easily log back in to retrieve their item and buy it will convert faster than those who have to start over.

5. Make it safe and secure. While online shopping has become a very credible way to receive goods and services, many websites still display a “security logo” during the checkout process to ensure visitors that they are using a trusted site for their online purchases.

6. Test everything. A/B and multivariate testing will help you immediately pinpoint your trouble areas, rather than playing guessing games. And based on the data gathered in testing, you can optimize your checkout process to reflect the most popular combination of variables. For example, if testing reveals that last-minute or lengthy registration forms are a primary issue, you may decide to replace those with auto-filled forms for return visitors; let new users login with their social media accounts instead of filling out a new form, or simply provide guest checkouts.

With consistently greater demand for online shopping, comes greater opportunity. Putting customers at the heart of any online content and user experience decisions is crucial for not only surpassing revenue and conversion goals, but also to sustain lasting consumer relationships. Your online shopping cart is the moment of truth: is it ready?

September 18, 2012by Paul Dunay
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Welcome to my blog, my name is Paul Dunay and I lead Red Hat's Financial Services Marketing team Globally, I am also a Certified Professional Coach, Author and Award-Winning B2B Marketing Expert. Any views expressed are my own.

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