Category: Europe

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Marketers split on ambush marketing ahead of World Cup kick off

Carlsberg has set the standard for this year’s FIFA World Cup adverts with the most memorable advert from South Africa 2010, according to research byWorld Cup marketing, digital and communications recruiter, EMR.

More than one in four (26%) marketing professionals polled by EMR picked out Carlsberg’s ‘Probably the best team talk in the world’ campaign as making the biggest lasting impression, ahead of Nike’s TV campaign (18%) and Bavaria Beer’s ambush stunt (17%).

Both Carlsberg and Nike opted for high profile tie-ins with sporting icons in 2010. Carlsberg’s advert featured English greats Jack Charlton, Trevor Brooking and Stuart Pearce, while Nike’s ‘Write the Future’ campaign employed modern-day stars including Wayne Rooney and Cristiano Ronaldo.

In contrast, Bavaria – a non-FIFA affiliated Dutch brand of beer – ambushed the Holland vs. Denmark game with a cohort of 36 women who were pictured in the stands wearing short orange dresses carrying its logo: a stunt that fuelled the debate about the rules on ambush marketing to this day, as unofficial sponsors are prohibited from advertising in FIFA venues.

EMR’s research shows marketers are divided on the subject in the build-up to the 2014 tournament: 32% feel ambush marketing should be subject to stricter regulations while 33% feel the opposite, with the remainder unsure.

Just 4% voted official sponsor Budweiser’s ‘Bud House & Bud United’ campaign as the most memorable from 2010, with Bavaria’s stunt also having made more long-term impact than efforts by Pepsi, Coca-Cola (both 13%) and Adidas (10%).

Sportswear giants benefit most from World Cup sponsorship

More than one in four (28%) marketing professionals identified Nike as the brand which benefits the most from its association with the World Cup.

Rival sports manufacturer Adidas was placed second with 19% of the vote, having signed up for the next four tournaments until 2030.

With almost half (47%) of marketers picking out one of the two sportswear giants as enjoying the greatest brand benefits, the results suggest that brands with sponsorships which closely match their business focus have the best chance of standing out.

Coca-Cola and Visa were tied for third place on 14% with both having also extended their sponsorship commitments until the 2022 World Cup in Qatar.

Tournament expected to enhance Brazil’s reputation

Almost half (49%) of marketing professionals predict that the 2014 World Cup will have a positive impact on Brazil’s international reputation. Despite political and social unrest in the build-up to the event, this is twice as many as the 24% who feel Brazil’s reputation will suffer from hosting the tournament.

More than half (51%) believe Brazil’s tourist industry will grow as a result of the World Cup, while nearly a quarter (22%) forecast a rise in international business with Brazil.

One in ten (11%) expect the World Cup will result in more overseas investment in the country, while 7% predict a surge in migration and job relocation.

Simon Bassett, managing director of EMR – which has offices in Leeds, London, Moscow, São Paulo and Singapore – said: “The World Cup will see many of the world’s most recognised brands competing for the attention of a truly global audience. The mix of high drama, national pride and multi-million pound reputations makes the tournament a genuine theatre for marketing excellence.

“Competition is not limited to the pitch, with a galaxy of sponsors joining the host nation in the limelight. Our findings suggest the ultimate prize awaits those brands who can best marry strategic creative concept with memorable execution.

“The 2010 controversy over ambush marketing showed how original thinking and opportunism can also help to make an impact. But, given how challenging it is to stand out in this hugely competitive environment, it is no surprise to see opinion so evenly split about the rights and wrongs of sidestepping the rules governing big-budget sponsorship deals.”

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Europe In the News UK

Ageing UK: Experian reveals insight into modern British pensioner

Retirees look to market towns and larger villages for a quiet but more cosmopolitan life.

As the ageing population rapidly increases in the UK, new and divergent groups of retirees are emerging, displaying a range of new traits such as wider internet adoption and changing property preferences, according to the latest analysis from Experian’s new Mosaic people classification. This trend will have a wide impact on a range of services, on the high street, the housing market and local authority planning.

Research has highlighted the growth of two new groups of older people – Village Retirement and Diamond Days, who have grown apart from the two more classic groups of Senior Security and Vintage Value. Recent figures from the ONS have highlighted the growth in the older population of the UK, showing that one in six people (16.4 per cent) in England and Wales was aged 65+ in 2011, with the number of over 90s growing from 340,000 in 2001 to 430,000 in 2011 – findings that emphasise the increasing diversity of elderly lifestyle and experience in the UK.

Rise of the Senior Market Town Retirees

Characterised mainly by the Mosaic Type Village Retirement,  Experian has identified a group of people dubbed Smarties:  traditionally couples and singles aged 65-plus, who have chosen to move to market towns for retirement. They now live in village locations, within thriving communities that are large enough to give them access to the local amenities they require for their everyday living and social needs. Characteristics of this group include:

  • Good health, higher pensions and savings, and more active than most pensioners of a similar age
  • Having been well-educated and enjoying long careers in higher managerial and professional positions, Village Retirement are comfortably-off with no outstanding mortgage and average household incomes of up to £29,000
  • High consumption of goods and services compared to their less-affluent peers
  • Prefer to shop in more upmarket supermarkets that prioritise provenance and quality over price
  • There are around 800,000 people within this this group living in the UK
  • Have downsized from family homes to spacious three or four bedroom properties
  • More likely to own a computer for internet access compared to other people of similar age

Top 10 towns for Village Retirement

  • Evesham
  • Dorchester
  • Yeovil
  • Cirencester
  • Kendal
  • Salisbury
  • Banbury
  • Bury St Edmunds
  • Stratford-upon-Avon
  • Bangor (Gwynedd)

Nigel Wilson, managing director of Consumer Insights & Targeting at Experian Marketing Services, UK&I, said: “Smarties – made up largely of our group Village Retirement – are a distinct type that are part of a rising trend of better-off retirees who, instead of staying in the family home or moving to the coast as they might have done in the past, are downsizing, freeing up assets and starting new lives in attractive towns and small cities across the UK.

”These types have a distinct set of needs with regard to a wide range of issues – downsizing house size and shopping for different groceries, normally from higher end convenient supermarkets that use smaller ‘local’ stores, being two examples. Preferences held by these groups will shape the areas in which they settle, with the desire to downsize likely to impact younger groups moving up the property ladder, and shopping preferences shaping the local high street.”

Older, happier, more comfortable

The second new type identified by Experian is Diamond Days: retirees who have stepped down from high earning roles to enjoy a comfortable retirement in large, mortgage-free houses that were once home to their families. Other key features of this group include:

  • Affluent, older retired couples, no longer financially responsible for younger generations
  • High disposable income, desirable four or five bedroom homes, travel widely and clustered in the South East of England
  • A smaller group; there are around 520,000 people within this type in the UK More likely to use a tablet compared to others of a similar age

Top 10 towns for Diamond Days

  • Epsom
  • Maidenhead
  • Guildford
  • High Wycombe
  • Farnham
  • Woking
  • Redhill
  • St Albans
  • Camberley
  • Orpington

Decline of the ‘average’ British pensioner – a snapshot of elderly diversity A further two types have grown out of larger groups identified by Experian that coincide more closely with previous views of the older population. Broadly, these groups are split between those who have retired with a reasonable nest egg and a pension to rely on, to those whose finances may be more strained:

Senior Security:

  • Senior Security are elderly singles and couples who are still living independently in comfortable homes that they own, and have often chosen to retire to the seaside
  • Considerable equity in property – many own their homes outright and have chosen to remain in family homes after the children have left
  • Top locations include: Bournemouth (Boscombe), Eastbourne, Hempstead Valley, Worthing and Bognor Regis

Vintage Value:

  • Elderly people who mostly live alone, either in social or private housing, often built with the elderly in mind
  •  Levels of independence vary, but with health needs growing and incomes declining, many requiring an increasing amount of support
  • Top locations include: Sunderland, Chester-le-Street, Washington, Motherwell and Merthyr Tydfil

Wilson added: “Our research has found that these emerging groups within the older age bracket have distinct tastes and needs in terms of housing and product preferences which stand apart from previously held generalisations regarding older groups within the UK. As the older population of this country increases it will become more important than ever before for organisations that want to reach this age bracket – be they retailers or local councils – to understand them and ensure that they are seen not as one identical group, but as a section of the population with a broad range of varied interests and lifestyles.”

Experian unveiled a new version of Mosaic in April 2014, which offers new insight into demographic shifts in the population of the UK. Modelled using the latest Census data, Mosaic offers insight into households, living patterns and the shape of UK cities.

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Africa Americas Asia-Pacific Data Driven Channels Europe In the News Mobile

Mobile wallet – in 1 in 5 handsets by 2018, researcher finds

A new report from Juniper Research has found that 1 in 5 mobile handsets will have mobile wallet functionality by 2018, against less than 1 in 10 at the end of last year.

The report – Mobile Wallets: Strategies for Developed and Developing Markets 2014-2019 – found that growth would be driven by two distinct wallet models. In emerging/developing markets, SVAs (Stored Value Accounts) are increasingly enabling first time financial access for unbanked individuals, and the report anticipated a surge in deployments across sub-Saharan Africa, developing Asia and Latin America.

Meanwhile, the report says that wallet launches across North America and Western Europe are increasingly expected to feature contactless payment functionality. The sector is forecast to receive a boost both from the anticipated launch of an Apple iWallet later this year and through HCE (Host Card Emulation)-based NFC (Near Field Communications) services. According to the report, more than 1 in 3 mobile wallets – and over 50% of wallets in developed markets – will featuring contactless payment by 2018.

P2P ‘Attractive Value-Add’

The report also claimed that the mobile wallet profile would be bolstered through high-profile P2P (Person to Person) payment initiatives such as the UK’s Paym, which will be integrated into customers’ existing mobile banking or payment apps as an additional way to pay. At the same time, it argued the mobile P2P market in the US was being driven by a number of start-ups – including Venmo and Dwolla – targeting younger demographics.

According to report author, Dr Windsor Holden: “While P2P mobile payment services have struggled to gain traction in developed markets, financial institutions are keen to commit to them as they can serve as an attractive value-add to consumers in an increasingly cashless society.”

Other findings from the report include:

  • China’s Alipay now has more than 100 million wallet users.
  • HCE threatens operator role in contactless value chain.

The whitepaper, Smart Phone – Smart Wallet – Smart Cash, is available to download from the Juniper Research website together with further details of the full report and the attendant Mobile Wallets IFxl.

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Europe

Foreign direct sales are lost in translation

David Cole (pictured) discusses latest research into the cross-border buying habits of seven European countries.

If you’re direct marketing to consumers in the UK, France, Germany, Holland, Spain, Turkey or Italy, it might be helpful to know that most buyers in all those countries used search engines to source foreign goods and services.

Company websites were second most commonly used, followed by comparison websites and emails, but outside these commonalities (and even within the above findings response rates differ from country to country) buying experiences and habits vary.David Cole, May 2010 (WEB)

But if you’re thinking of dipping your toe into the European direct marketplace, Italy might be a good place to start, since14% of Italians often buy goods direct from other countries. To put this in context, only 5% of the British buy often – less than in the other six countries, followed by 6% of Germans. Click here to view the chart.

Other countries where people often buy direct from abroad are France 12% and Turkey 13%. Half of the French, Dutch and Spanish sometimes do, along with 37% of Germans.

Spain offers potential; 65% often or sometimes buy from abroad, as do 62% of the Dutch.

In mid-February, GMA commissioned online research company fast.MAP to ask panels of French and UK adults about their direct buying habits. These insights were so useful to marketers that, in March, GMA extended the study to take in 344 German, 389 Dutch; 415 Italian, 566 Spanish and 406 Turkish under-65s.

The research indicated some customers have already been alienated by the hurdles of cross-nation purchase – 4% of Dutch and Turkish pioneers won’t try it again, along with 2% of the British, French, Germans, Spanish and Italians.

Germany is definitely the toughest of the seven European direct sales markets to crack. There, only 6% buy often, 37% sometimes and 55% rarely.

Second most foreign-sales resistant after the Germans are the British – 46% often or sometimes; 52%rarely buy.

Once you’ve decided upon which countries to target, you need to decide how to reach potential customers there.

Across the seven European countries, search engines drive an average of 44% of foreign direct purchase. Three countries are above this average: Germany 52%, Italy 50% and France 49%.

Company websites drive an average of 3 in10 direct foreign sales; comparison websites around a quarter (including 3in 10 in Italy and Germany); email an average 23%; and mobile ads an average 6% (the latter includes a massive 20% of Turks).

Across the seven countries an average 6% bought at exhibitions (including 1 in10 of the French, Germans and Italians). An overall average of 1in 10 also bought via direct mail.

An average 12% were motivated by a TV or radio ad; 1 in 5 via an auction site; and 14% in Turkey and Italy bought because of a print ad.

Online ads motivated 37% of Turks, a quarter of Germans and a fifth of Italians; and an average of 17% across all seven European countries bought goods on social media (a figure boosted by 31% of Turks and 25% of Italians). View chart here.

Lost in translation

Language presented more problems in some countries than others.

For example, three quarters of the Dutch, half the Germans and a third of the Spanish who bought direct from abroad spoke the language of the country marketing the goods, whereas 7 in 10 in the UK and 4 in 10 in France bought from native-language websites.

A fifth of Turks, 15% of Spanish and 14% of Italians (average is 12%) overcame problems by using translation software.

9%Turks; 7%Italians; 5%Spanish; 4%French encountered translation software problems. The French were the most likely to persevere and 8% bought despite this.

Exporters are not well prepared to cope with buyers’ language problems. They only offered help to 2% of Dutch, Turks and Italians and 1% of Brits, French; Germans and Spanish. Chart here.

The results suggest sellers need to concentrate on providing as many language options as possible on their websites as well as in their other marketing initiatives and consider spreading their reach by using the sales routes favoured within each country they target.

Since translation software is the source of problems for all but the multi-lingual, lost sales might be avoided if more real-time foreign language help was offered by exporters.

David Cole is MD of online research company fast.MAP. 

 

 

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Americas Europe Insight Strategy and Management

Marketing and customer insight in a digital world

Effective Strategy, customer insight, marketing strategy

Professor Merlin Stone is calling for examples of how classic CRM data has been integrated with true digital data to produce good customer insight.

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Data Driven Channels Europe Insight Mobile UK

Is your site’s browsing experience mobile device friendly enough?

Adapt to change and don’t get left behind as e-shoppers switch to mobile device, advises Philip Rooke.

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Europe In the News UK

Coupon craze reaches new heights

coupon41UK shoppers redeemed 603 million coupons in 2013 – up 35% from 2012 and worth £1.7billion

UK shoppers’ appetite for coupons has reached new heights, increasing by over a third (35%) in 2013 compared to the previous year.

According to coupon experts Valassis, coupons and vouchers worth £1.7billion were redeemed last year, showing that the coupon craze is far from over even though the economy is strengthening. This means the average household redeems coupons and vouchers worth approximately £64 in a year. (26.4 million households in the UK in 2013: National Office of Statistics)

Figures from Valassis retailer clients reveal the following:

  • Coupon and voucher redemptions increase by 35% with 603 million coupons redeemed in 2013, up from 448 million in 2012
  • The total value of coupons and vouchers redeemed is £1.7billion
  • Retailer-issued coupons have driven growth, but manufacturer-issued coupons are increasing

The figures from Valassis, which works with 85% of the market, show that coupon redemption is continuing its upward trend, with volumes increasing by 223% since 2010. Retailer-issued coupons are driving most of the growth and account for 71% of redemptions or 466 million coupons.

Charles D’Oyly, managing director of Valassis, commented: “The 35% increase in coupon redemptions in 2013 is exceptional. Bearing in mind that retail sales in 2013 grew by just 1.6% compared with 2012, such growth is remarkable.

“The recent increases in retailer-issued redemptions are primarily due to the popularity of coupon-at-till promotions and price matching promises which mean the consumer would not have been able to buy certain items as economically elsewhere.”

Compared to 2012, and indeed any of the last five years, redemption of manufacturer-issued coupons is rising once again and 2013 saw a 50% jump in the volume of such redemptions, compared the previous year.

D’Oyly continued: “What’s behind this growth? Our recent research indicates that consumers’ use of coupons is widespread across all demographics (*), and supermarkets have responded accordingly by increasing their use of coupons as the promotion of choice for targeted consumer offers.

“We were also encouraged to see that part of the overall growth was driven by manufacturer coupons which have been largely flat for a number of years. We attribute this resurgence partly to increased awareness of couponing’s efficiency and effectiveness as a promotional tool, as well as the tendency for manufacturers to take their lead from retailers’ promotional activity. In 2013, average face value decreased from £1 to 85p, which suggests that manufacturers are refining their coupon tactics and trying to find optimal offer points that trigger behavioural change with consumers.”

* Valassis Gfk NOP research findings in November 2013 showed that 39% of ABs planned to use ‘everyday low price promises’ as part of their Christmas grocery shop, compared to 51% across other demographics.

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Europe In the News

Within Europe, cost of a standard letter in Germany remains reasonable: DHL report

Letter Price Survey 2014 shows higher rates in Europe

Even though the German postal rate for a standard letter rose by 2 cents to EUR 0.60 in January, the price of a stamp continues to rank in the mid-range among European prices and below the European average, according to the latest European postal-rate comparison.

The 13th version of the annual European postal-rate study analyses the rates for standard letters in all 28 EU member countries as well as those in Norway, Switzerland and Iceland.

Since the 2013 study was conducted, postal rates have been raised in 14 European countries. The rate for a standard letter in Norway is currently EUR 1.28. By contrast, it is only EUR 0.26 in Malta.

When such fundamental factors as dissimilar purchasing power and labour costs found in individual countries are taken into consideration, Germany’s postal rates rank among the most favourable in Europe.DHL postman (WEB)

Over the past ten years, postal rates have risen by nearly 20 per cent on an inflation-adjusted basis. By contrast, the German rate for a standard letter has fallen since 2004 by nearly 8 per cent on an inflation-adjusted basis. A sharper decline was seen only in Portugal, Cyprus and Croatia.

Deutsche Post also charges favourable rates for a letter sent from Germany to other European countries (the Europabrief): While Europeans pay an average of EUR 1.03 for an international letter, the cost of the German Europabrief remains EUR 0.75.

The study can be downloaded here. 

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Denmark Europe France Germany In the News Netherlands UK

Teradata drops eCircle branding

Teradata has scrapped the eCircle name, one of the most well-known brands in European marketing automation, following the purchase of the business inTeradata-drops-eCircle-branding June 2012, and folded it into the main business.
The company insists Teradata eCircle had only ever been a “transitional name” and will now revert simply to Teradata.
At a product level, eCircle’s eC-messenger will be rebranded Teradata Digital Messaging Center, the label currently used in the rest of the world.
In addition to the organisational and product name changes, Teradata eCircle media services will become Teradata Interactive. Teradata Interactive is a full-service online marketing unit and is part of Teradata’s broad offering of business services.
Volker Wiewer (pictured), who co-founded eCircle in 1999 and is now Teradata international vice president of marketing applications, said: “As one brand and one unified global organisation, Teradata can better deliver its market-leading solutions to help companies increase the value of their data and customer relationships.
“By any name, Teradata’s solutions are enabling marketers to more effectively manage operations, multi-channel campaigns and analytics, resulting in greater effectiveness and efficiency and increased ROI.”
Teradata will maintain its European HQ in Munich, with offices throughout the EMEA region including Denmark, France, Italy, The Netherlands, Poland, Spain and the UK. The company also has offices across the Americas, Asia and Japan, with more than 10,000 employees in over 40 countries.
This was first published on Decision Marketing. For more breaking news and opinion pieces on direct, data and digital marketing in the UK visit us at www.decisionmarketing.co.uk

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Ensure your customers enjoy the magic of AR!

Jess Butcher (pictured) tells how to use Augmented Reality effectively in marketing.
Today’s consumers are a demanding bunch. They want more than traditional, static advertising, they want interaction and magic. They don’t want to be shown a poster, they want to play with it. When they see a product in a magazine, they want to try it on and they insist they’re given more from packaging than just a receptacle for their goods.Jess2

Previously the elitist, futuristic realm of computer gaming and military training, augmented reality (AR) is finally entering the consumer space, and quick-witted marketing managers are grabbing hold of the technology, spotting it as a way of deftly, subtly and creatively packing infinitely more into all their campaigns.

At Blippar – the magic lens mobile app offering an AR platform to brands, media outlets and agencies – I’ve watched partnerships flourish with global clients, including Coca Cola, Conde Nast, Heinz, Justin Bieber, Proctor & Gamble, Nike, Disney and PepsiCo. Clients understand that enhanced consumer engagement is paramount when securing brand loyalty and return custom.

Here are the key methods for ensuring your AR campaign always hits the mark:

1. Include a strong CTA (Call To Action)

If you’ve invested in exciting ‘invisible’ collateral, it’s inexcusable to waste it by not showing users that it’s there or how to access it. Signify there’s something behind the 2D image and that something needs to be done to see it. Show them how to unlock exciting content, and explain what they’ll get when they do.

Omitting a noticeable, consistent CTA is where we’ve seen campaigns fail. Give users one they recognise and continue to provide the same one across all collateral. Familiarity is key.

2. Make it simple for consumers

Don’t assume knowledge when it comes to AR. It’s still a fairly new technology, but if you work within it, you’re bound to think everyone knows as much about it as they do. They don’t.

Hold users’ hands throughout the process to ensure it’s accessible. Ensure they know how to place their phones over the image, what to click, why to do it. If it’s too tricky people will become frustrated and not bother, leading to a wasted opportunity.

3. Create powerful content

Users need a reason to interact with AR, and it must be a good one. What unique experience will you offer that can’t be garnered simply by clicking on a website or downloading a coupon? ‘Delight, inform, reward’!

Still relatively new, AR – when executed well – is always visually impressive. But the surprising aesthetics won’t last forever. Who is still amazed when they see themselves on YouTube or are mentioned in a tweet?

First impressions are vital, but it’s crucial marketers think beyond the initial gimmick and offer something more tangible, whether virtual try-ons, free samples, sweepstake entries or prizewinning games.

Offer the complete package and you’ll guarantee users keep returning for more.

4. Refresh content regularly

Nobody continues visiting a blog if it’s never updated and the same goes for AR content. Why would consumers download coupons they’ve already used, recipes they’ve already tried, videos they’ve already seen? Don’t let your campaign go stale. It’s the quickest way to lose supporters.

Tap into the cultural zeitgeist and give AR enthusiasts what they want. Reward them for their time and effort. This is especially important if your AR marker doesn’t change – say, if it’s your company logo. Never rest on the laurels of one campaign: give users a reason to ‘unlock’ content on a regular basis. Keep them on their toes, wanting and expecting more. It’s the main reason they’ll share experiences with others.

5. Be social media savvy

Word of mouth is still the most powerful form of advertising and channels such as Twitter, Facebook, Instagram and email have kindly provided us all with a number of different loudspeakers. Use them.

Boast about your exciting forays into AR, whether on your brand’s blog, within the company newsletter, or in a tweet to your followers.

Similarly, at the user end, once you’ve made your AR experiences exciting enough for people to want to share them with the world, make it easy for them to do so. It’s the most effective way for them to flourish and, if they’re really good, go viral.

Jess Butcher is CMO, Blippar. She will be speaking at The Augmented Reality Marketing Conference at Guinness Storehouse on Tuesday April 15. Attendees will have the opportunity to meet with speakers, experience demonstrations of latest technology and learn from previous case studies. Augmented Reality (AR) experts are flying in from Los Angeles, San Francisco, The Netherlands, France, UK and elsewhere. Presentations and panel discussions will be considering the effective application of AR to marketing and for building brands.