Monthly Archives: August 2013

DIY and the Weather

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Daniel Todaro says DIY’s weather obsession needs to stop Adverse weather conditions often get the blame for retailers’ woes – and the fact that even in the middle of an heatwave we’re seeing many lament their bad luck demonstrates just how ingrained this mentality has become.

As I write this with temperatures sailing above 30C, Amazon reporting a 446% increase in paddling pool sales and Asda shifting BBQ sets at an increased rate of 204%, it seems strange to think it was barely a month ago that it was the rain causing all the problems for the sector. Headlines began with the same rhetoric: “wet weather hammers profits”, “coldest spring in 50 years prompts profit dive”.

Granted, these doom-laden headlines had something to do with our abysmally cold and wet spring but the message translates quite clearly; once again, sales drops were prefaced with the ready-made excuse of ‘bad weather. It’s repeated every year. Any fluctuation in the UK’s weather sees DIY retailers reach for the same tired excuses.  However, with the news emerging that spending on DIY fell for the fifth-successive year in 2012 to its lowest point since 2000, £5 billion less than the peak of £15.5 billion in 2004, DIY retailers need to look beyond the ‘seasonal’ approach they’ve taken in the past and endeavour to find innovative ways to being to drive their sales.

Good weather tends to go hand-in-hand with the desire to take to our gardens and the images foisted upon us by retailers in the summer tend to be rooted in aspiration and lifestyle – and indeed, lifestyle is the key word the DIY sector should be focusing on. In order to break-out of this industry-wide malaise, DIY retailers ought to look beyond the conventional approach and start to view themselves as lifestyle brands.

For even when these retailers are rejoicing at the sunshine, all we see is the same uninspiring campaigns, the same expected promotional offers we get every year, and the same wistful looks when the summer ends and autumn begins.  If they are able to position their offering as desirable and in synch with a certain sort of lifestyle, (in this case one that’s quite tropical), then the sector could see year round prosperity restored – and this is not as difficult as it sounds. Developments in technology mean brands can take advantage of outdoor advertising to create campaigns that adapt to real-time information.

 

Read the full article at http://www.diyretailer.co.uk/articles/item/407-the-last-word

Customer service SOS: How will John Lewis save the NHS?

Gekko Field Marketing
Faced with growing criticism of patient care and demand for better ‘customer’ experience, the NHS has turned to retailer John Lewis to help improve service in a move that has been both welcomed and scoffed at. As reported by the BBC, retail staff at the store made famous for its excellent customer service will be re-educating NHS doctors in Devon in a new bedside manner that focuses on the needs of the patients.

Daniel Todaro, MD at marketing agency Gekko, highlighted a key difference between the two: “The very fact that John Lewis is a retailer and the NHS is a service should be an immediate red flag,” he says. “If you shop in John Lewis, you are there by choice whereas if you’re in A&E it’s likely that you really didn’t have much of a choice in the matter; it’s a question of need.

“This is the crux of the issue; how do you translate the needs of a John Lewis shopper to that of a patient? It is true that John Lewis offer a best in class, successful retail experience with the human element at its core, but a health care provider and a retailer have zero points of synergy.”

“As good as the John Lewis model is, it applies to retail and not to an under-resourced not-for-profit public organisation.”

The proof of this unique collaboration between the public sector and retail’s golden child will essentially be in the eating – whilst it poses strong benefits in theory, only by putting the proposals into practice will the NHS understand if there are lessons to be learned from John Lewis.

Read the full article at: http://www.mycustomer.com/feature/experience/can-john-lewis-help-nhs-deliver-superior-customer-service/165386

What Have Brands Learned from the Olympics a Year Later?

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We’re all in agreement that what characterised the London Olympics was the way in which it brought the nation together; how it immediately created a spontaneous sense of community and altruism we never thought we had in us.  Likewise, we were also quick to agree that from a marketing perspective it had been a rousing success for the brands who had taken the leap by investing in sponsorship.

By aptly integrating into the wave of patriotic and social spirit, these brands found themselves quickly dispelling the previous conjecture ‘censorship’ and the ominous ‘brand police,’ and reaping the benefits throughout the Games and long after the final medal had been awarded. No fewer than half of the top 10 most improved in YouGov’s 2012 Brand Index were Games sponsors, whilst the likes of BA, Adidas, P&G and Sainsbury’s were among the many that revelled in the critical acclaim.

However, at the time I wondered how long this Olympic spirit would last, whether this upsurge in enthusiasm for altruism, community, volunteering and a sense of love for our fellow man would eventually peter out; the status quo soon restored.

A year on and we’re much better placed to answer that question. Is there evidence of an Olympic legacy within the marketing industry? Well, yes, very much so.
What we’re seeing is a clear shift in the way the world’s largest brands are conducting themselves, they’re acting more human (and perhaps, in turn we’re humanising such brands too). It’s difficult not to notice the pure and wholesome nature of the TV ads we see on the airwaves and the promotional activity we see in our towns. More so, it’s largely those who played a key role at the Olympic Games leading the charge.

Coca-Cola, for example, has eschewed its own branding in order to encourage us to share a coke among pals, as if it represents an age-old friend we’ve known since childhood. Adidas and GlaxoSmithKline have both been vocal in their opposition to steroid abusing athletes; a far cry from an era not so far behind us when sponsors would refuse to take a moral stance. Today, they seek to adopt an ethical code in line with their consumers.

The explosion of organisations on Twitter taking on a simple human guise (First Direct and Solihull Police provide two highly diverse, but excellent examples) further provides evidence of this move towards humanisation. The most successful view those online conversations much like a real-world one. They adopt the same rules of etiquette:  Much like you wouldn’t barge into a real-world conversation trying to sell a mobile phone contract, these brands are instead seeking permission to join the conversation by trying to demonstrate an effervescent (or at least useful) personality.

With more and more brands experimenting with this approach, the trajectory only appears upwards and I cannot help but feel that this trend was kickstarted by the Games. London 2012 showed us all the power of humans, ordinary humans that shattered the perception of a soulless, IOC machine we all believed would characterise the Summer. Instead, we found human beings we could relate to, ones that were more worried about contributing to our good times rather than nitpicking over red tape and fretting about the threat of ambush marketing.

The difference for these winning brands is that they’re moving on from simple traditional, broadcast communication; taking that ATL message and delivering it through the line. They’re walking the walk as well as talking it, and doing it at the local level to encourage real social cohesion, becoming the catalyst that brings entire communities together.

Through brands acting human and investing in people, the Olympic spirit may just become a genuine legacy after all.

Five brands taking a more human approach:
 
Visa
Visa signed Usain Bolt for its 2012 ‘flow faster’ Olympic campaign. The ad’s demonstrated the various payment technologies on offer from Visa, with the message that it made life quicker and easier.

That theme continues in Visa’s 2013 activity, but the influence of the Olympic legacy is clear. The focus shifts from Usain Bolt to an old man and while ‘speed’ and ease of convenience is still a key brand message, the story of the old man racing to the birth of his grandchild is a significant, family-orientated step-change from what had gone before that adds a new human dimension.
 
Coca-Cola
Coca-Cola went Hollywood with its all-singing, all-dancing activation at London 2012, enlisting Mark Ronson to create the brand’s own song for the Games; something quite introverted. While the brand did commendably look to find ways to connect with and inspire young people, the national TV campaign was typically weighty in both celebrity endorsement and investment.

It provides the platform for perhaps the most significant change of direction, with the incredibly successful ‘Share a Coke’ campaign. Simple, effective and very personal

P&G
P&G won the hearts of the nation in record time with its ‘Proud Sponsor of Mums’ ads; notable for being the first time the multi-global corporation had directly addressed its consumers under the P&G brand name.

Since then, new Global campaign ‘Everyday Effects’ has been launched with a significant human feel. Throughout the world, P&G are distributing ‘Blue Boxes’, making a not-so-subtle, but effective demonstration of all the products within the P&G family.

Carrying on the soft theme, P&G quickly signed up the highly-endearing Kirstie Allsopp to lead the campaign and the brand giveaway action, as it seeks to speak to customers on a one-to-one level and become a household name.
 
Adidas
Adidas implored Team GB to take the stage during the Olympics and in the process, became a legitimate part of the iconography of the Games that we hold in our memories.

Adidas have rarely looked back since, continuing to make the most of those British connections with the recent Andy Murray and British Lions successes. The brand also did not blink in its decision to drop star sprinters Tyson Gay and Asafa Powell following failed drugs tests. Would this decision have been so clear cut five years ago?
 
Sainsburys
As primary sponsor of the Paralympics, Sainsbury’s were a key driver in ensuring the Paralympic Games were elevated to a level of attention and status that was unprecedented. The retailer went to great lengths to both celebrate the athletes, but also emphasise the human qualities of its brand.

Such was the adulation Sainsbury’s received for its sponsorship, arguably they could have left it there and moved on – but a year on and they’re continuing with a push to promote sport in schools and investment in both disabled sport and British Athletics as a whole. The Sainsbury’s Anniversary Games left us in no doubt of a lasting commitment.

Perhaps the biggest winner of all, Sainsbury’s demonstrated a human aspect that is leaving rivals in its wake. It goes beyond tasting a difference; Sainsbury’s is genuinely making a difference .

By Daniel Todaro

Read the Full article at: http://www.brandingmagazine.com/2013/08/15/what-have-brands-learned-from-the-olympics-a-year-later/

Rajar Q2 2013: Industry reaction

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Last week Rajar announced that 91% of the UK population – 48.3 million people aged 15+ – tuned in to their selected radio stations in the second quarter of 2013, up by approximately 1.5 million adults on Q2 2012. The total average number of weekly hours listened to radio for this quarter is 1.03 billion.

Daniel Todaro of Field Marketing agency Gekko comments:

The latest Rajar figures are incredibly significant for we have reached a moment many never thought would arrive: the official ‘tipping point’ for digital radio. Moreso, we’ve reached it nearly 18 months earlier than Ofcom’s estimates which predicted November 2014 as the moment the UK would pass the 50% threshold.

With radio listening figures absolutely booming, no doubt this will prove the catalyst for the government to push ahead with the digital switchover – which this week also published a new report containing very strong hints the foundations are being laid for such a move already.

However, the steady upward trajectory of digital listening – or the consumption of radio via digital formats – should pique the interests of retailers, particularly with thoughts turning to the festive season in the not too distant future.

28 million people now listen to radio digitally – and increase of 16% YoY. If you couple that with the increase in listeners overall (91% of the population), we’re seeing not just a transition but an actual growth in popularity. Thus, particularly as consumers discover new stations through different mediums (TV, in-car, mobile, desktop), there’s a distinct opportunity for retailers to capitalise on this and drive product sales on the shop floor.

Read the full article at: http://mediatel.co.uk/newsline/2013/08/01/rajar-q2-2013-industry-reaction/

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