Tag Archives: Marketing

Sep 17 2020
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Key trends impacting the lucrative back to school market

With schools and offices finally back this week, we are finally seeing some measure of the ‘old normal’ returning. This will come as a relief for brands and retailers targeting the lucrative back to school market. It was worth £1.7bn last year, according to GlobalData. However, like so much of the rest of the economy, we are seeing huge differences in how this market operates in 2020.

The home has been the new setting for schooling for most of this year and many parents remain nervous about sending their children back. There is even a strong possibility 2021 exams will be pushed back by several months with children losing so much time from the classroom. So with the school gates re-opening, what are the key trends those targeting the back to school market should take notice of?

Consumer electronics serving at home studying

When the lengthy lock down first hit, parents across the country collectively groaned. Their next move was going online to buy consumer electronic equipment. Laptops were needed for living rooms that had now become classrooms. In fact this category has been one of the few winners of the pandemic. While most sectors are significantly down, Electricals 2020 sales growth of 0.7% is predicted for the year, according to Retail Economics. Notebooks have been at the centre of a demand surge in particular. 73% of retailers have reported growth in sales for these products on the back of home learning. Looking to the future the momentum is likely to be maintained. A recent opinion poll by Redfield and Wilton Strategies suggested just two-thirds of parents were preparing to send their children back to the classroom with many remaining unconvinced schools are safe. If cases spike there could be a return to at least some element of home schooling which will necessitate further demand for these products.

Instore retail figures confound expectations

Recent retail figures have confounded expectations with a huge pent up demand now being met. Retail sales volumes rose a better-than-expected 3.6% in July and are now above pre-pandemic levels. Data from the Office for National Statistics showed that sales rose 2% ahead of a 0.2% prediction by economists, and a 13.9% bounce in sales in June. Relating to the back to school market specifically, clothing will still be a driver during the historical peaks of July, August and September. However stationary and tech products have been in demand during lockdown as both children and adults have been at home, with discounts readily available to take advantage of. The latest GDP figures also showed Ireland which is slightly ahead of the UK’s “return to normal” steps has shown positive precedent of customers returning to retail to buy their laptop and other back to school equipment and seek expert advice to do so.

Shopping with purpose
Connected to this, a clear new trend is people ‘shopping with purpose’. People are looking to make less retail trips but ensure they have something to show for it. Parents are looking to buy equipment for back to school and still need expert advice. However at the same time they will want to minimise unnecessary journeys with coronavirus still circulating. While there is a good chance of closing a sale from a consumer’s instore visit, it can also present some challenges. Many retailers will have a strategy to retain stock at their central locations to service online orders first. They will also encourage stores to process click and collect or web orders for customers. Therefore there is limited opportunity for instant gratification – often the reason a customer visits physical retailers. Therefore retailers should ensure they can match the needs of customers to make sure they avoid a wasted journey. The feedback is likely to be far more negative if they can’t source what they need on a trip out in 2020.

Promotional activity still strong
Brands and retailers should certainly not skimp on promotional activity during back to school. As we have identified there is a large amount of pent up demand and parents are out in larger numbers looking to purchase. Brands that offer customers what they need on these ‘purpose-driven’ visits can succeed. With lots of competition brands should ensure they are still offering promotional activity to attract new customers. Many brands and retailers have strong offers to tempt sales. For example Dixons are offering consumers a 1-in-20 chance to win money back on laptop purchases of £349+. They are also offering Buy now pay later also on devices £349+. Additionally John Lewis have run an “Off to Uni” online event showcasing needed items.

Knowledgeable staff key to capitalising on purpose-driven trips

Having staff who can influence a sale was critical before the pandemic and is now more vital than ever. With so many hardware options out there for pupils, it is vital that instore staff and those on the telephone can advise and sell parents the products that meet both the needs of their children, but also are compatible with their schools. One really interesting trend we are seeing is a +40% conversion rate of product demonstration leading to a sale. The potential for high conversion rates on purpose-driven trips highlights how critical it is to have knowledgeable staff on hand.

Schools may have been out for Summer (and Spring), but now they are back, brands and retailers need to meet pent up demand in these uncertain times. Those that help hard pressed parents meet their children’s’ educational needs will reap the rewards in good will and sales.

To read the full article please visit The Drum

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Sep 07 2020
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Gekko ranked No.1 by Dixons Carphone

Only an approved agency can provide demonstrator teams in DCP stores (Dixons, Currys, & PC World), so back in June we were delighted to have once again, made it on to their approved agency roster for 2020/21.

The accreditation process examines five key areas namely, Operations Excellence, Campaign Experience, Recruitment, Training and finally Financial stability. We have recently been informed by DCP, that out of 18 approved agencies, Gekko has been ranked in first place for the second year running.

The DCP approved agency programme is for supplier brands wishing to deploy product demonstrators, promoters or brand ambassadors in to their stores to help drive sales of their product ranges.

Speak to us and find out how working with the top rated agency can add huge value to your retail campaigns.

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Aug 12 2020
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Brands Should Focus on Delivering a ‘Human’ Experience in the Brave New World

CXM Graphic

The uncertainty surrounding the fallout from lockdown and consumers’ changed behaviour makes the task of forecasting the future a difficult one for brands. While commentators obsess about the performance of channels and the extent to which ecommerce is replacing bricks and mortar, we are in danger of missing the key factor. Namely the customer.

As the global population responds to the coronavirus pandemic, key trends are emerging, reshaping the consumers priorities and spending outlook in the UK. The real dividing line is between those who respond and offer a great customer experience with those who don’t.

A changed context: New patterns of behaviour established

Every aspect of our life has been impacted. This ranges from the focus on the preservation of health & wellbeing to the renewed focus on the connection with family and friends to cope with the impact on personal safety and security.

Meanwhile, new behaviour patterns for work & play have emerged. We are staying at home to reduce travel and human interaction. This is, in turn, is changing spending habits as consumers adapt and fill their time in new ways.

Brands have had to find a new raison d’etre and are discovering new ways to communicate that emphasise empathy for employees and customers as they go into overdrive to overcome the downturn.

eCommerce can’t offer a true brand experience

While we have remained at home ecommerce has thrived and will be of growing importance. However, the evidence shows online sales will not completely replace lost revenue from traditional retail which needs to be examined.

Online retail sales share increased to 30.8 percent in May and June, however it is forecasted to decrease by 9 percent as stores open. The fact remains customer experience in considered purchases remain important as online can’t offer a true brand experience. Customers still long for the human interaction and advice that comes as part of the bricks and mortar shopping experience.

This was born out by a study we carried out last year that indicated 59 percent of people would always rather speak to a person than an automated system to find out more information about a product. Meanwhile, 73 percent preferred dealing with a human when trying to get a refund.

Innovation tackling safety concerns

So what lessons can retailers and brands take? The circle needs to be squared of people wanting an in-store experience when they are less likely to go to a shop. They also need to have their safety concerns considered when they do venture out.

Interactions can be managed and ideally, some element of browsing can already have been delivered.

Bringing the shop floor to the digital realm

For those more nervous about venturing out, innovative technology can deliver the desired customer experience. For example, Ikea has acquired AR startup Geomagical Labs, driving shoppers to purchase more big-ticket items without needing to visit a store. Geomagical Labs’ key product allows users to scan a room using a smartphone, render that into a panoramic 3D picture, remove all the furniture currently in it and then change the layout of items around the room by adding new items to scale.

This type of innovation and AR more generally will create more engaging digital experiences to help customers accurately visualise their home with new furniture. The same could apply to a whole range of product categories. Smart brands and retailers will be able to gain an advantage through differentiation of this kind.

It’s good to talk

While this may replicate the ‘show’ part of the in-store experience, a gap remains for the ‘tell’ part led by an expert. Retailers need to consider new ways of delivering human interaction, often required with higher ticket items. For example, instore advice can be replaced by training staff in call centres which could replicate the expert advisor instore. The human advice so desired by customers can be given but at a safe distance. This could range from product advice to refunds.

The focus should be a seamless experience delivered across all touchpoints, instead of obsessing about the false divide between online and offline. Retailers and brands need to put the customer’s needs front and centre and understand the need for a human touch. This is the best way of preparing for an uncertain future.

To read the full article please visit CXM.

The photo that accompanies this article is by Robin from Pexels

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Aug 05 2020
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Five behavioural trends to take note of as the high street re-opens

The Drum Five Behaviour Trends

The latest signs of economic recovery look promising. So promising that Andy Haldane, The Bank of England economist, believes that the UK economy is growing at 1% a week. The V-shaped recession thought to be unlikely just a month ago now seems to be very much on the cards again.

Retail has been a big motor for this mini-recovery. People have been returning to the high street in large numbers with UK retail sales near pre-lockdown levels in June. According to the ONS, the amount of goods sold last month increased by 13.9% in June compared to May. The trend has continued in July as the reopening of shops supports pent-up demand punctuated with the roll out of marketing activity and campaigns to support retail in its reawakening mode.

The worry remains that the recovery may stall due to consumer confidence dipping. Consumers need to also have their safety concerns addressed. A real understanding of new behaviour is critical to maintaining momentum. So what are the key behavioural trends that retailers and brands should take notice of?

Safety is now the top priority

The starting point for bricks and mortar retailing pre-coronavirus may have been expert salespeople, attractive window displays, in-store offers and branding. Today the starting point is safety. Many shoppers still do not want to venture into public spaces without a purpose. In fact more than half of consumers, who would have shopped instore pre-coronavirus, now believe the risk to be high. This poses a serious challenge for many retailers seeking to draw shoppers back to stores. The focus has to be on reassuring these customers and clearly demonstrating your credentials across all your communications touchpoints.

Late adopters have finally embraced ecommerce

With new fears for safety, evidence shows some consumers intend to permanently change their shopping behaviour. This includes purchasing more online due to the continuing risks of infection. Many late adopters are the new converts to online. They have been slow to adopt online banking and shopping but they have done it now. This has not been driven by choice but due to fear about offline shopping. In fact, shoppers are now four times more likely to shift to online in the long term, particularly if they have health concerns. Local lockdowns like that in Leicester will only serve to reinforce the wariness.

In-store consumers are more likely to convert

The good news is that those who like to shop in person will continue to do so to have a decent customer experience. While online retail sales increased to 30.8% in May they are forecast to have decreased by 9% as stores open. In other words, while online is growing it still can’t fully replace the bricks and mortar experience. In response many brands and retailers have adopted an omnichannel proposition, rather than choosing one over the other. The resilience of instore is more evident in considered purchases and in the CE category where we are seeing consumers shopping with purpose. They are travelling and entering retail with a clear determination to purchase. As a result we are seeing a conversion rates of over 40% of product demonstrations leading to a sale. Naturally, this is determined by the experience and engagement they receive in-store. Therefore, a bad retail environment or salesperson pre lockdown isn’t going to change that post lockdown.

The home will remain our new centre of existence

In response to the lockdown, the reality of working from home has meant a likely shift in the workplace dynamic for many on temporary or permanent basis. Therefore, many technology brands in the market have shifted focus to home productivity and accessories. Retail must take learnings from this to support the initiatives and messaging put out by brands. This will ensure they are able to engage consumers looking for technology to support their change in working habits and in turn grow with the trend. As we spend more time also that clear winners throughout and ongoing are food retailers and also home stores with many opting to tackle home improvement projects whilst in lockdown and on furlough.

The rise in demand for appointments

As we are moving from a browsing culture to a purpose driven one, we are going to see the rise of the appointment booking. This will certainly be the case in the considered purchase space. It seems those who commit to the appointment do so with a clear intention to purchase within the set appointment duration. This trend seems to be speeding up the customer journey and increasing much needed sales.

To succeed in this new environment retailers need to be creative, follow the trends and create a customer experience worthy of a sale.

To read the full article please visit The Drum.

The photo that accompanies this article by Tim Mossholder from Pexels

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Jul 31 2020
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Let Me Engage You

LMEY

Our experience of working with tech and CE brands in retailers such as Currys and John Lewis has taught us that engagement with RSAs doesn’t have to complete once our brand ambassador has left the store.

At the beginning of the year we invested in developing our own digital Learning Management System (LMS) and engagement platform to extend the support Gekko provides for brands beyond the physical store. With the subsequent lockdown and challenges of getting back in-store, we’re glad we made that decision and are now pleased to be able to offer this innovative service to brands.

Let Me Engage You or LMEY is aimed at third party retail sales teams, whether based on the shop floor, in contact centres or online sales teams. As a fully brandable platform, LMEY can supplement the face to face engagement and training provided by field teams as well as extending reach to retailers, stores and regions not covered by such teams – a ‘digital first’ approach.

Speak to us and let us show you how we can make LMEY work for you an inexpensive and effective tool.

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Jul 22 2020
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Gekko expands with key senior appointments

gekko-retail-marketing-how-to-benefit-from-the-forthcoming-massive-wave-of-ad-spend-tom-data-and-insight

Gekko, a field and retail marketing agency specialised in enhancing the shopper journey on behalf of brands across both the physical and digital retail space, has made four key appointments as it invests in new initiatives to drive growth for the business and clients and reflect the current retail landscape.

Jeremy Daniels has joined as a senior Account Director for the business where he is responsible for directing and expanding the agency’s strategic partnerships with key clients. With a wealth of experience in the Telco sector, Jeremy brings not only industry knowledge and commercial acumen but also the drive to spot and maximise sales opportunities. His most recent role was managing the UK launch of Xiaomi into key retailers as well as the distribution channel. Previous roles have been at LG Mobile, ModeLabs and Kondor. 

Coming from Oppo Mobile, Wilkin Lee joins as Client Services Director to oversee all strategic client relationships. Recruited for his tech industry experience and understanding of the retailer landscape, Wilkin will ensure that as the business grows, that clients continue to receive the strategic support and commercial direction they need to succeed in retail both online and in stores.  Aside from Oppo, his career has seen him in roles at industry leading brands including Xiaomi and Huawei.

To lead Gekko’s data and reporting team, Tom Harwood joins as Data & Insight Manager from within the retail industry having worked at QVC and Cotswold Outdoor.  His role is to provide campaign, category and marketing information and analysis to Gekko’s portfolio of clients and the retailers they partner.

Finally, to expand Gekko’s ecommerce marketing capabilities, extending and complimenting the services provided to clients from traditional retail to the online retail space, Charles Burrows joins in the newly created role of e-commerce manager. By understanding the online retailer environment in relation to third party e-commerce sites and Original Equipment Manufacturers (OEM) positioning of brand products and messaging, Gekko will now be able to direct and guide e-commerce strategies and improve sales opportunities with customers and retailers. Charles is a digital expert with many years’ experience in the Gaming and Telco sector including roles at EE and Carphone Warehouse

Commenting on the appointments, Daniel Todaro, MD, Gekko said: ““During this pandemic, we’ve seen the increasing trend of the contraction of brick and mortar retail expedite.  As a company that specialises in helping brands be more successful in retail, we’ve spent this time working closely with our clients to establish how best we can continue to help them to thrive across both bricks and mortar channels and e-commerce to improve the customer experience and sales.  The above additions to the team will help us to strengthen our business and deliver on our promise to clients and demonstrates Gekko’s resilience and adaptability during the lockdown by deciding to invest in leading industry talent”.

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Jul 20 2020
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Demonstrating sector knowledge & experience

We reckoned that as the lockdown started to kick-in back in March our clients would want their agency to continue providing them with fantastic insight and analysis of the changing situation in the channel.

So over the past 5 months we’ve continued to demonstrate our experience & understanding of these sectors by keeping them fully briefed on the latest situation with insightful reporting that has seen Gekko Marketing reports, Scrapbook decks  and Newsletters going out on a weekly basis.

These resources have been highly valued and instrumental in shaping our plans for getting our brand teams back to work as rapidly as possible with the easing of lockdown. 

And our latest ‘Future Outlook’ report looks at the trends we are seeing coming into the 2nd half of the year and beyond with predictions and analysis, bearing in mind the impact of the coronavirus on the markets.

Speak to us to find out how our sector experience can add huge value to your retail campaigns.

#Resilience #Ability #Experience #People.

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May 07 2020
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Smaller players need the support of big retailers like never before

I’ve never been prouder to own an independent agency, but we need the support of ‘big retail business’ like never before, says Gekko Managing Director, Daniel Todaro

I’ve been running an independent marketing agency, working in retail for over twenty years and I’ve never felt so fortunate to be in charge of my own destiny and the people that work for me.  Rather than shareholders telling me what I have to do, I know in these unprecedented times, I can do what’s right.  I’m attune to my social and corporate responsibilities and I’ve already seen numerous other independent agency owners across all disciplines from PR to creative doing the same. I hope by talking about some of our initiatives we can all share ideas to protect the people of this country.  But when we’re doing all we can without big behemoths behind us like the networked agencies surely, we should command and see the same behaviour from the retail brands we work with?

 

As a sector, industry and business which is all about its people, the commercial focus for us is ’not for profit’ and any revenue we are able to generate is for the sole purpose of keeping staff employed, paid and proud to call us their employer. From large and small independent agencies across the UK I’m hearing similar and heart felt messages to employees ‘we’re in this together’.

 

Gekko is operating with a with a ‘People First’ approach but what about the global retail businesses we work with?  At what point do we as an industry call out brands for their behaviour?  Or are they allowed to get away with it because us independent agencies are scared that we’ll never get work with them again?

 

Like hundreds of agencies big and small across the country we’ve seen clients pulling campaigns and budgets overnight.  While I recognise that in the short term retail outlets are closed and e-commerce has slowed down surely global corporations can take a more generous approach and support their suppliers as best they can? Primarily honouring the pay of their account teams dedicated to their brand by scaling down spend rather than switching it off, paying a proportion of the fees for their next project and banking the time or sharing agency team cost to aid cash flow.

 

I’m not saying that retail businesses should do this above looking after their own staff and businesses, but this is only a temporary situation and we have to survive together because we’re going to need each other when we come out the other side.  Businesses live or die by the power of their brands, this value often driven by us marketing folk.

 

Diageo has this week announced a $1million pot to help its on-trade customers through these difficult times so it is possible to commit to the supply chain. But I, like I’m sure many other agency owners have seen both sides of the coin, incredibly supportive retail clients and those that quite frankly have shirked their moral duty and are failing workers who thought they represented a decent, honest brand.

 

Brands who turn their back on their responsibilities, relationships and partners are the brands that need to be called out. When they act in this manner, they also fail the consumer as the brand values they portray in their marketing are the antithesis of the brand values they trade on. As you can probably tell I’m trying not to yell a name and shame but when your retail brand turned over billions last year, it’s kind of incumbent of you to do your bit and support not turn your back on the agencies who work hard for you.

Read the article at Retail Sector

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Apr 30 2020
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Covid-19 is temporary, but attention to the environment must be permanent

The Drum Covoid is Temporary

We’re living in a society where we’re constantly encouraged to do ‘better for the planet’. And I don’t disagree. But we’re at a point of inflection when a lot of people don’t know what’s best for the planet. From fake news to real news – it’s information overload everywhere you turn.

Recycling your plastic should be simple, but that’s another article depending on where you live and which type of plastic it is. Buy more sustainable products. Shampoo in a block is great if you have the money to buy more expensive products.

And there’s the biggest conundrum for most people when we’re thinking about the environment and greenhouse gas emissions. If I order online for delivery am I burning more carbon than necessary? Or is it more environmentally friendly to go to the shops, buy a less environmentally friendly product but save the delivery van a journey? How we expect people to know the answer, when many of us in retail don’t know it, is beyond me! It’s all rather complicated.

The impact of FMCG

I read an interesting study from the American Chemical Society that looked into the estimated emissions created by UK sales of FMCG goods, typically low-priced toiletries, packaged foods and cleaning supplies. Although shoppers have traditionally bought these items at brick and mortar shops, online sales are increasing.

The study compared the carbon footprints of three different shopping practices: old fashioned ‘bricks and mortar’ shopping and the two main forms of e-commerce, bricks and clicks and pure play (which both have different supply chain configurations). Included in the three models were emissions from transport, warehouse storage, delivery and packaging.

The results showed that the total emmissions per item purchased from bricks and mortar retailers were higher than bricks and clicks vendors in 63% of cases, but lower than pure play in 81% of cases. It appears that more items are usually purchased from bricks and clicks retailers is used and this leads to a smaller carbon footprint per item than for the same shopping trip via a brick and mortar retailer. Another factor is, of course, that one van driver bringing multiple deliveries into one area will create fewer emissions than all those people driving to the shops.

The study made some clear but obvious recommendations for consumers for cutting emissions across all three shopping categories: walking, cycling and trip chaining for brick and mortar; and purchasing from a single retailer and bundling for bricks and clicks and for pure play online retailers. Importantly for pure play businesses – whose share of the FMCG category is on the increase – switching to electric cargo bikes could cut emissions by 26%.

I’ve tried to simplify what is actually a complex study, but it does highlight the dilemma and responsibility we have as consumers and retailers to the planet. In a recent online shopping survey we conducted among 2,000 consumers, 73% said they were concerned about the environmental impact of excessive packaging, 75% single use plastics and 42% multiple deliveries to one address. There is a clear will from consumers to want to do better for the planet but it’s far too complex for them to work out how. So, retailers, trade bodies and governments need to do more to educate consumers so they can make the right choices not just any choice.

Our current Covid-19 situation is only temporary, so my mantra as we come out of the other side of it is just to take a little more time to think before you shop.

To read the full article please visit The Drum.

The photo that accompanies this article is by Porapak Apichodilok from Pexels

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Apr 11 2020
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Smaller suppliers need the support of big business like never before

Fresh Blog

Small British businesses are facing an existential crisis like never before on the back of COVID 19. Recessions bite slowly and in those circumstances small businesses can see and plan for every eventuality across sales, cashflow, headcount etc, but this virus has hit us like a bolt out of the blue and a lot of small businesses have seen revenue ravaged literally overnight and that’s both consumer and b2b.

So now more than ever big and small business need to work together.  This is no longer about David and Goliath, but the fabric of the business ecosystem that keeps this country afloat and people able to feed their families.  Often small businesses find themselves in situations where they are scared to ask for help or argue with big business in case they lose a contract – but this isn’t the time for self-deprecation, it’s fight for what’s right.

Big brands often have more support and cash to deal with such challenges yet many are pulling deals, campaigns and agreed contracts at a stroke.  And having been in this situation myself here’s my advice when faced with big brands not playing fair.

Practice what you preach:

If you own your own business, you are in charge of your own destiny and the people that work for you.  Rather than shareholders telling you what to do, in these unprecedented times, you do what’s right.  Be proud of the strategies you are implementing and articulate clearly to big business – especially if you’re currently operating not for profit so you can keep your team employed.

Scalability:

If big businesses want to stop contracts overnight, push them with alternative solutions like scaling down spend slowly rather than switching it off immediately, paying a proportion of fees for their next project.

Don’t believe the Hype:

Diageo has this week announced a $1million pot to help its on-trade customers through these difficult times, so it is possible for big business to put people before profit. Don’t be fobbed off, keep working with them on a solution that works for them and you.  They also have a moral duty and it’s incumbent on them to do their bit to support you.

Unscrupulous brands who turn their back on their responsibilities, relationships and partners are the brands that need to be called out. When they act in this manner, they also fail the consumer as the brand values that portray in their marketing are the antithesis of the brand values they trade on.

To read the full article please visit Fresh Business Thinking.

The photo that accompanies this article by fauxels from Pexels

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