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By Josh Barrie

People are more keen to see practical advice

Shoppers much prefer ads with practical messages during the coronavirus lockdown and are shunning generic messages about “togetherness”, new data shows.

Advertising related to the Covid-19 pandemic from brands such as Heinz, Tesco, and Aldi have been the most effective to date, according to analysts Kantar, while ideas from McCain, Nike, and Bird’s Eye have fallen short.

Where Heinz saw success with its campaign to launch 12 million free breakfasts for vulnerable children, which scored well for long-term potential and short-term sales, and Tesco’s “Helps for safer shopping” also invoked a widely positive response, Bird’s Eye’s “What’s for Tea?” TV ad performed poorly, with low memorability and consumers suggesting they were unlikely to engage.

Shoppers want practical advice as well as good humour

Kantar ranked marketing campaigns’ effectiveness out of 100, measuring long and short-term potential in how they resonated with the public, and noting how likely they would be to lead to sales.

The data shows brands focusing on what they are actively doing to help people during the virus outbreak have proven more successful than those trying to push sentimental messages about pride and a common purpose.

Nike’s “Play for the world” campaign, for example, wasn’t disliked, and sparked some emotion, but failed to cut through, Kantar said.

While Aldi’s lighthearted relaunch of its Kevin the Carrot series, a recent Christmas hit, not only reminded consumers of happier times, but also looked to raise money for the NHS.

Empty campaigns without a clear, specific message aren’t as memorable

“An unwritten set of category codes gets established because these key moments are considered essential to conveying what the product is and what it does,” Kantar said.

“If you’re a deodorant brand for example you need to show wetness, armpits and the product being applied. This is often accentuated further when the brand doesn’t have anything different to say about itself versus other alternatives.

“The brands that win out are those that pursue a creative and distinctive creative platform, through a powerful and original human insight that resonates deeply, or through a unique brand vision or purpose,” Kantar says.

“Ads that reference the current situation but don’t have anything different to say to the next brand, struggle to cut through. They don’t make the featured brands feel different to other alternatives and they aren’t strongly building love towards the brands either.”

Feature Image Credit: Tesco has produced a helpful campaign (Photo: Getty)

By Josh Barrie

Sourced from iNews

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UK TV broadcasters are attracting record audiences, meeting their public service remit, and keeping the lights on while working from home. In return, they are bracing for a precipitous drop in ad revenue these next few months.

First, ITV said it expected a 10% ad revenue drop in April. Just weeks later, Channel 4 announced business cuts and staff furloughs, blaming the pandemic’s “severe effect” on demand and predicting that the current situation would burn a 50% hole in the TV market in April and May. ITV also said it was “taking measures to reduce costs and manage cash flow”.

At any other time, these audiences would be cause for celebration for the TV industry (ThinkBox says Easter weekend viewing in the UK was up 29% year on year). However, there are a difficult few months ahead as broadcasters look to ensure the flow of content keeps people informed and entertained at home, which balancing the books.

Barney Farmer, sales and marketing director at Nielsen Online, says its data shows that UK ad spend dropped 27% year-on-year across all media channels in March. Money coming in from from travel, transport and business utilities halved, while retail investments fell by a fifth. Some sectors saw the reverse. Among them was government advertising was up by 38%, food was up 16%, and tech/computing rose a massive 60% from an already high base.

Farmer explains: “The initial data for TV advertising in April does not paint a pretty picture, and it is expected that the numbers will drop significantly for the overall month.”

Many TV budgets have been frozenbroadcasters are unable to rely on tentpole events to prop them up. Brands looking to activate around the now delayed Euro 2020 (which ITV was expecting a particularly strong performance from) have been forced to shelve their best-laid plans. Other businesses are turning off the tap due to diminishing stock or demand.

“Broadcasters will be looking at all avenues for revenues, whether that is through different advertising sectors or ways to ensure money stays in their businesses via different digital channels,” adds Farmer. “Out of a crisis often comes new ideas so we can potentially expect something emerging that doesn’t exist today.”

The UK’s major broadcasters are all reliant upon ad income, although to differing degrees. ITV is less vulnerable to the ad freeze than the likes of Channel 4 due to its diversification efforts in production, e-commerce and its stake in streaming service BritBox. Sky, meanwhile, has user-generated revenue to lean on — although without the draw of its sports properties it could be bleeding custom.

Which brands are still on TV?

Amid this bleak outlook, British broadcasters are forming battle plans.

Some advertisers are still spending, with many leaning on TV to communicate how they are adapting to the pandemic or driving home message for viewers to ‘Stay At Home’. Though it’s brought the economy to a grinding halt, there is an opportunity for usefulness and long-term goodwill from brands willing to embrace a higher purpose. Others TV spenders may still follow, be it retailers directing shoppers from their shuttered stores to online, or games and apps looking to grab the attention of a bored locked-down populace — also, prices for a premium ad slot have dropped significantly.

“It’s looking like the cheapest TV pricing I’ve ever seen in my in my media career,” asserts Mihir Haria-Shah, head of broadcast at Total Media. Some audiences are down 50% year on year in terms of pricing. “I wasn’t working then, but it is comparable to the 2008 recession”.

The combination of larger audiences tuning into the TV at home and a reduction in demand for the inventory is to blame, argues Haria-Shah. “TV is really deflationary at the moment, and prices have really fallen kind of through the floor.”

Haria-Shah also notes some trepidation among brands that have been absent from TV for a while, a quick return may look “opportunistic”.

“Given the current circumstances, there’s quite a fine balance between doing the right thing for your business and also maintaining your long-term brand reputation,” he continues.

He adds its important to note that not every brand’s been fully hamstrung by the pandemic: “Some brands have actually reported their best sales in years, or for younger brands, the best in their existence.” FMCGs are among those seeing a bump from some of the early panic-buying of essential items, for which toilet paper will long be a visual metaphor for.

Right now, one of the biggest barriers to entry on TV, beyond falling ad budgets, is the lack of ability to produce big-ticket, sensitive creative. With most of ad land under lockdown, amendments will have to be made to existing films. Shots of friends and family out in the world having fun, or even in close contact, now carry negative connotations. The tone has to be right. The message can’t deviate too far from stay home. And the work can’t feel cynical, else long-term damage will be done in the name of short-term gains.

Some brands have been quick to adapt though. Apple is telling us that the lockdown doesn’t mean the end of creativity. Nike has been showing the home training routines of athletes. Toyota new creative was directed over Zoom. Mobile-footage and sweeping image slideshows driven by voiceover are the flavour of the day for brands limited in what in they can produce.

Accessibility

To woo brands among all this, broadcasters are looking to remove as much as the friction from buying and production as possible. Certain fees are being waived, and the best spots are more readily available than they’ve been.

On the production side, ITV’s in-house team is now being tooled to help clients where it can. There’s a great effort to get the work over the line fashion in its keen to help and others will be doing the same.

The in-house creative teams have indeed been busy too, Channel 4 and the BBC’s PSA efforts both landed earlier this week with strikingly different tones but the same message – ‘stay at home (and watch TV)’.

Further down the chain, according to Haria-Shah, TV ad clearance house Clearcast is reportedly working at an impressive rate – its new priority is to ensure no TV ads exploit the pandemic, spread misinformation, or offer advice contrary to that government guidance: “It’s [clearance period] seems to be down from five to three working days.”

He believes demand in TV ads will rise these coming weeks.

“TVs always been seen as the best brand builder. And now consumption is through the roof, you can sit alongside record audiences on trusted news or alongside the escapism of comedy, soaps and drama. There’s a lot of longer-term positive associations, that brands that advertise correctly can build right now.”

The aforementioned broadcaster budget cuts threaten this dynamic. Many productions have been frozen, few that were on the slate can be delivered under lockdown. As replacements, broadcasters have literal warehouses of archive content they can tap into.

ITV moved fast in releasing Euro 96 footage to its on-demand Hub as was requested by fans. BBC’s current affairs panel show is going ahead with phoned-in floating heads in a virtual studio. Netflix released a series of calls between Joel McHale as a bonus Tiger King episode. A BBC weatherman stole headlines by entering a frenzied cover of the news theme after his delivering his forecasts.

Will these bold makeshift productions continue to draw high attention these next few months? Or will audiences get their heads turned by a wealth of entertainment content on many of the ad-free subscription video-on-demand services.

Disney+ has just launched, Netflix and Prime and going anywhere. And for some, Quibi may be worth a look.

Concluding, Haria-Shah says: “You always believed that soaps like Coronation Street would always be on the TV. Its pause is a real symbol of how serious an impact this is having on the TV landscape.”

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Sourced from The Drum

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From The Trade Desk to Condé Nast and Puma to PepsiCo, we ask some of the world’s best digital marketers where they think the next big industry shift will come from?

Nigel Vaz, global chief executive officer, Publicis Sapient

If you’re riding (or getting hit by) waves then you’re probably still swimming in the shallows. By which I mean it would be easy to answer that the next big wave is the ability to reach new possibilities in personalization at scale, across touchpoints, through data and machine learning. It’s true, but tells only part of the story. What we are all here to do is not to help clients create a deliverable, but a way to operate and exist so they don’t end up on the receiving end of another company’s disruptive breakthrough. The most compelling conversations I have are with business leaders who aren’t looking for waves, but horizons: people such as Novartis chief executive Vas Narasimhan, whose vision is to move beyond being a pharmaceutical company and to create value for patients and support them through their entire lifecycle. That’s an incredibly powerful and purposeful ambition that requires reimagining that business on a number of fronts, from strategy to experience to the application of data.

Oliver Deane, director of commercial digital, Global

Voice will start to have a huge impact on our daily lives. We will begin to do much more than ask Alexa to play the radio. As we embrace voice to be more productive, we will use our devices to order groceries while we make dinner, have a long-form feature read to us while we exercise and book our train travel while shopping. Much of this technology is already accessible – the wave of disruption in the coming years will be how much voice is used and how regular it becomes within our lives.

Ray Soto, director of emerging tech, Gannett

The digital signs of the next big wave are all around us, but you can’t focus on one without considering the others. I foresee the next big wave will be a convergence of several technologies that solves a problem and delivers an experience worth being a part of. I see it as something that helps us navigate our digital space differently, but provides a more immersive experience and efficiency without a lack of connection we may feel today.

Adam Harris, director of custom solutions, Twitch

I believe live sport is surfing the first wave of digital disruption. Sports often look to expand their reach into different audiences or look for different ways to communicate with existing fans. On top of that you have a host of traditional sports, such as golf and Formula 1, with aging fan bases, contrasted with the eSports scene, which is thriving among younger demographics – just look at the success of the recent Fortnite World Cup.

With eSports’ success as a purely digital-first experience, traditional sports have a huge opportunity. Interactive live environments such as Twitch are made for the kind of communal, passionate tribal experiences live sport delivers. We are already seeing strong engagement in this area with the likes of the NFL, Champions and Europa Leagues, MLS, Rugby League and National Women’s Hockey League all broadcasting live on Twitch.

Luke Davies, senior manager of global yield, Reuters

Data privacy law, again. GDPR is a slow burner and unfortunately our industry’s attempts of adoption have reduced the general user experience quality across the web. For GDPR, and now CCPA in 2020, with the potential for wider uptake across the US market, we can expect to experience changing tides across the next few years.

Simon Gresham Jones, chief digital officer, Condé Nast

On our mobile devices, again. 5G will open up a new frontier of business and creative possibilities for brands. For media and entertainment in particular, there’s an opportunity to re-imagine how we inspire our audiences at scale.

Morten Grubak, executive creative director for northern Europe, Virtue

The intellectual properties of brands. Brands need to be innovative in the products, services and solutions they bring to the world (this is where adding value really gets to live), not just in their communication.

Creative agencies should have as much contact with product development and innovation, not just marketing. We need to prove our value by solving real problems – and not just that, but doing it in surprising and interesting ways to capture the world’s increasingly scarce attention. It’s harder than it sounds. But don’t fret: the world is young.

Alexandra Willis, head of communications, content and digital, AELTC

A continuation of the ability of AI, machine learning and automation to drive personalization: it will just get better and more sophisticated and therefore true choice for the consumer over experience, rather than just customization within rules.

Voice: not being wedded to keyboards will rapidly increase the speed at which things are expected to happen, both in terms of the way we work and how consumers engage.

5G penetration: if it does what it says, it could transform the cost and flexibility of content production in such a way that we move completely away from linear and digital, and have a truly integrated model.

Alysia Borsa, chief marketing and data officer, Meredith

It’s hard to pick just one thing. From a consumer perspective, behaviors continue to evolve and expand to multiple platforms, with voice being a major shift in engagement. From a business perspective, providing personalization and relevancy in a cookieless world is going to be disruptive, and players who have direct relationships with consumers will be best set up to succeed.

Julie Clark, global head of automation revenue and podcast monetization, Spotify

How we leverage and utilize data is going to be a massive disruptor to our industry; we all need to plan for it now rather than allowing it to happen to us. There is also a reimagining happening right now as we start to connect digital back to real-world engagement of consumers. While direct to consumer brands have fundamentally changed purchase behaviors, I do believe human tactile experiences will continue to be fundamental now and into the future. From pop-up store trends to retailers becoming more skilled in connecting their on and offline worlds, I think we are going to have an interesting few years seeing these worlds merge.

Victor Knaap, chief executive officer, MediaMonks

In my opinion the word ‘digital’ needs to be killed soon – everything is digital. Besides that, my prediction is media companies that don’t master programmatic will have a real hard time in the next 12 months. To be frank, I am afraid we all generally expect too much from the near future. Old models die slowly, while we are overlooking the real change that will happen in the long-term. The media, agency and consultancy industry will look completely different in 10 years’ time.

Tamara Rogers, global chief marketing officer, GSK Consumer Healthcare

A truly intelligent internet of things. A world where the devices around you no longer just respond to your instructions, but predict your needs based on the behavioral data patterns they have tracked. For example, your vehicle self-adjusting the seat and heat pads to the optimum position and temperature to ease your back pain, identified as an issue from the way you have been moving during sleep the previous night and your range of mobility since rising. How are brands part of a dynamic system to improve the quality of life?

Aaron Cho, head of digital, IPG Mediabrands Hong Kong

There are growing privacy concerns around the usage of data, while digital properties continue to tighten their data policies. I think these forces might bring about the next big shift in digital marketing for two main reasons. Firstly, the privacy landscape is still changing and the dust has yet to settle – there’s no clear indication about which digital linkages will break and which ones marketers will need to bridge, which affects practices around identity resolution and data-driven audience planning. Secondly, while there are numerous data and tech companies on the market right now, their solutions are mostly still in development in the APAC region and there’s also a very real shortage of talent that understands how to manage their implementation.

Josh Peters, director of data partnerships, BuzzFeed

First-party audience collection and data privacy. They’re intrinsically linked together – as they should be – and companies and brands who handle this well will be big winners. We’re already seeing apps like BigToken helping consumers not just take control of their data but also helping them monetize it themselves. That’s a huge shift in the market – users making money off their own data instead of just companies. This, in turn, makes the data the app holds even more valuable in the market.

For brands and publishers, the ways in which they collect and use audiences is going to be imperative to future success, especially in an industry whose regulatory structure is exponentially increasing in complexity. Tech that makes it easy to collect in areas third-party pixels can’t, that seamlessly connects to privacy compliance frameworks and even the privacy frameworks themselves, will change the way marketers do business. The ones who make it both easy and effective will help change the course of digital marketing soon.

Sean Lyons, global chief executive officer, R/GA

Data privacy. There are a lot of new technologies currently in development that rely on almost unlimited access to people’s behavioral and personal data. What happens when people, and legislators, decide that privacy is more important than personalized messages and services? What happens when these technologies fall into the wrong hands? There is a big opportunity to solve this problem in fair and novel ways.

Mike Scafidi, head of martech, adtech and consumer data, PepsiCo

The next digital disruption will be through establishing trust. This will protect the interests of the consumer and improve the marketer’s ability to have an accurate understanding of the consumer. This will fundamentally disrupt everything we see in the data ecosystem today.

Sujatha Kumar, senior director of marketing, Visa India

I think we are seeing it as we speak. It’s no longer a fragmented market or media, but it’s a fragmented consumer who has a myriad of choices and a short attention span – hence the rise of programmatic ad platforms for dynamic creative optimization. There’s still a long way to go on how these platforms really evolve to serve their purpose – not just to us marketers, but also the end consumer.

The other big disruption will be voice – how it will become the key enabler and how tools such as facial and voice recognition will become the norm for security encryptions.

Stephan Loerke, chief executive officer, World Federation of Advertisers

The next big wave of digital disruption will be voice. We see penetration of voice assistants growing exponentially, and hurdles to voice commerce are comparatively low – once the technology is fully there. From a brand marketer’s perspective, voice will change the equation fundamentally – in terms of consumer trust, role of platforms and brand presence.

Chris Curtin, chief brand and innovation marketing officer, Visa

Augmented reality will hit in a big way. I think we’ll see it primarily through virtual shopping experiences, with consumers being able to trigger supplemental experiences through AR and brands. With AR, companies can manifest much more engaging experiences with their consumers than what we generally see today.

Adam Petrick, global director of brand and marketing, Puma

I think many brands have been successful in making the jump from advertising-based messaging to storytelling, story creation and content-focused messaging. Now we must find ways to actually leverage the power of the technology at our fingertips to leverage content and story creation in a targeted way, at scale. That’s the issue at the heart of the current moment of stress and tension in the industry. Once we overcome the hurdle of getting promising dots to line up, then we can all start to focus on the ‘next’ wave, which I have to assume will be linked to end customers beginning to exert ownership of their personally owned marketing space and opting in to virtually all messaging that we want to deliver.

Jeff Green, chief executive officer, The Trade Desk

As I have said before, we will likely never see a bigger industry shift than what’s happening right now in connected TV. We are at the very beginning of the digitization of TV advertising. For the first time, advertisers can apply real data to their large TV ad campaigns. Much of what we’ve done over the past decade has simply been a dress rehearsal for the digital shift happening in TV right now. Every top advertiser wants to know how they can best access CTV inventory at scale and how they can apply programmatic to it.

Nicolas Bidon, global chief executive officer, Xaxis

To use a famous quote: “The future is already here – it’s just not very evenly distributed.” I believe the next big wave of digital disruption will be when some of the forces that have been at play in China for a couple of years already – such as mobile-first experiences powered by AI, social commerce at scale and frictionless mobile financial payments, to name just a few – will make their way to the US and Europe.

Lisa Utzschneider, chief executive officer, IAS

At IAS we are placing big bets on connected TV and OTT as the next digital disruption. We are already seeing major broadcasters start the shift to CTV/OTT content and that trend is expected to continue and grow. We’re leaders in creating solutions for advertisers and publishers to ensure that every ad impression is viewable, brand-safe and fraud-free, and we’re bringing our 10 years of experience in digital verification to the CTV space with our open beta in the US.

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Sourced from The Drum

The coronavirus pandemic could slash as much as $3 billion from advertising and marketing budgets in 2020, according to a new report.

“This is a global human disaster that impacts every company,” said Jack Myers, who authored the report and who has been tracking the ad spend market since the 1980s.

On Monday, Myers released a new forecast on the ad spending impact of the COVID-19 outbreak — tripling his previous forecast of a $1 billion blow. Given how quickly the virus has been spreading — resulting in entire industries like Broadway shutting down — a decline of $3 billion is more likely, he said.

“What I saw a week ago as the worst-case scenario, I now see as the most likely scenario,” Myers told Media Ink.

Before the coronavirus forced retailers, restaurants and entertainment venues to close their doors, Myers was predicting $227 billion would be spent on advertising and marketing in the US this year— a 6.2 percent increase from 2019.

The $3 billion decline — to $224 billion — represents a 1 percent drop from the earlier forecast, meaning ad and marketing spending could still be up 4.8 percent from a year ago.

Because even as legacy media sees advertising grow 1 percent year over year, social media from platforms Facebook and Snap could see a 12 percent surge in ad spending to $30.8 billion, Myers said.

And as the coronavirus forces people to spend more time at home, streaming video platforms like Hulu, Pluto, Roku and Direct TV could see ad spending grow 42 percent, to $2.6 billion — up from his pre-coronavirus forecast for growth of 38 percent.

Broadcast TV may actually see a rise in ad spend due to increased demand for political ads leading up to the November presidential election — and the Olympics. Myers sees network TV ad sales up by 4 percent, or $100 million.

Of course, the Summer Olympics could also be canceled, Myers acknowledged, and sporting events have been put on hold.

Cable could see a decline in ad spending if it’s forced to halt production of popular dramas and resort to reruns.

Myers was already forecasting a 3.3 percent drop for cable before the coronavirus hit, but he now predicts a 6 percent decline of nearly $800 million to $27 billion.

Myers sees a 3 percent decline for digital news site advertising, but says the coronavirus may actually help newspaper ad spending, which he now predicts will be flat.

Feature Image Credit: JOHANNES EISELE/AFP via Getty Images

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M&C Saatchi’s chief creative officer, Ben Golik says that great ideas are those that travel and that one word says it all, Greta. “A seventeen-year-old woman is schooling us all.”

Ahead of The Drum Chip Shop Awards 2020, of which he is the chair of the jury, Golik talks to us about breaking the rules of advertising, why the industry is afraid to take risks, the effect social platforms have on creativity and what the future holds.

Is there a lack of ambition from the agency/creative community to break the rules?

Wow. That’s a negative start. But perhaps not an unfair one. It’s true that much of our work passes through the world unnoticed. So maybe we need to break some rules to bust that collective ennui?

But what are the rules of ambitious work? Let’s assume they stem from what we make, and how we make it.

What we make has never suffered so much innovation. Big data, bigger tech, countless channels. Park this stuff. The single most innovative thing we can offer, is insight. That unexpected prop, dramatised beautifully, is still the best way to add value to our clients’ businesses, and to our own.

As for how we make it, despite repeated calls for a “new agency model”, bright people bouncing ideas off each other still proves mightily successful. The ambition here has to be in achieving diversity throughout that process.

Work that truly understands the people it’s for? That’s ambition enough for me.

Who can break the rules and who can set them?

Another interesting question, because it’s really asking – where does the real power lie? The truth is, it’s never been with agencies. Or with clients. It’s always been with customers. With this view, I prefer to think that there is more opportunity than ever.

Customers are more marketing savvy than ever. So we must think smarter to excite them. Customers are more visually savvy than ever. So we must look better to entice them. Customers are more aware of the data we hold than ever. So we must respect what we know, and use it without entitlement. They’ve leveled up. So must we.

What is that one creative idea from the last decade that went way beyond advertising?

I believe that great ideas are those that travel. They enter the language. Other people claim them as their own. To do that, they need a handle – an easy way of being picked up, and carried forward. I’ve hated some of the best recent handles.

Make America Great Again. Four words. (Or one red cap.) But it smartly evokes a time when America led global culture, and their own suburban dream had not soured. Take Back Control; Get Brexit Done. Each three words. Each emotionally charged. Each totally intoxicating, and bang on for their disenchanted audience. Extinction Rebellion. We’re down to two words now. What a fucking great brand. Totally punk. Brilliantly British.

But, ultimately, I can get it down to one word. Greta. Thoroughly compelling. And without compromise. She stands by her ideas, and ideals, in a way that we fail to. Does everyone agree? Sadly, no. Has everyone heard? Hell, yes. A seventeen-year-old woman is schooling us all.

There are so many rules on social platforms that breaking the morale, the lines of creativity could have a negative impact. Could social platforms potentially have affected creativity negatively?

I do think social media has put new pressure on our output. Not because we were insensitive Luddites blindly abusing humankind, but because we haven’t always grasped nuance. A stereotype is an easy reach for a creative short on time. But it can also make the work fairly broad-brush.

How amazing, then, to have this newfound spotlight of social critique? We must actually understand people, include them, and respect them. Genuinely, our work now has permission to have all the quirk, nuance and specificity of society itself – which can only be a brilliant invitation for ideas that stretch beyond the expected?

Do you think advertising is afraid to take risks with its model?

I think individual agencies are desperate to take risks. With remuneration models, and to push back on the pitch process. But individually, we can feel powerless. We know that we’ll immediately be undercut, or over-promised, by an agency more desperate keen than our own.

So we toe the line. We give away too much, for too little. We devalue our best people, and our best ideas, in the hope of acceptance. That elusive ‘yes’. The only way to truly change the paradigm is to align. Agencies must work together for a system that better serves us all.

I see a brighter future where we don’t give away the farm, for the chance to plough a field.

Over the next decade, how can agencies/creatives be pushing the boundaries of creativity? How can they move the industry forward?

I’ll take the creatives option of the question for this answer. Creatives need to spend more time with planners, not with their briefs. Creatives need to spend more time with clients, not with their feedback. Only by driving the conversation, can we drive change.

What are your expectations for The Chip Shop Awards entries?

The best stuff in The Chip Shop Awards is never the work the client was right to swerve. It’s the work that was born brave but somehow didn’t survive the system. We’ll be looking for ideas that are smart, and sensitive, and suitable. But that sadly found their final media placement on slide 72 of the PowerPoint.

It’s brilliant and bonkers that we award work that might not even have been made. (No wonder people judge us.) But ultimately, that’s why we all keep turning up. To make great stuff that sometimes sees the light of day. (Maybe that’s why we’re so happy to give it away?) Big up the Chip Shop for shining some light into the bottom drawer. Let’s hope someone pays us to make it next year.

Feature Credit Image:Greta Thunberg is schooling us all, says M&C Saatchi CCO, Ben Golik

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Sourced from The Drum

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Influencer marketing has proved to be a reliable marketing resource throughout the years.

A number of companies have allocated a large portion of their overall marketing budget to influencer marketing activations. It is a great way to get user-generated content, feedback from users/customers, improve brand awareness and increase sales (especially when a specific discount code or time-sensitive offer is used by an influencer in a TikTok video, YouTube video or Instagram story).

Yet, as we enter a new year, agencies and brands should be aware of the biggest challenges the influencer marketing industry will face in 2020. They should pay attention to the following:

  • How much do I compensate influencers?
  • What metrics should I track?
  • How to be truly authentic?

As the campaign budget expands, it becomes even more crucial to gauge compensation to the influencer and calculating payment isn’t as simple as one may think. In fact, calculating an amount per post published that is based only on the number of followers would not be accurate, since it is fairly simple to manipulate that metric (for example buying fake followers). A good number of brands and agencies pay influencers based on the number of followers and engagement rate. This is also additional metric that is easy to manipulate by purchasing fake likes or participating at engagement pods (private groups where influencers exchange comments to each others social media posts).

With that being said, a brand or agency should take more factors into consideration when it comes to compensating influencers and I’ve listed some of the main factors below:

  • Country of the influencer
  • Geo-location of the audience of the influencer
  • N. of followers
  • AQS (Audience Quality Score) that can be calculated using free tools online that analyze a sample of the followers of an influencer to find any fake profiles or follow/unfollow pattern
  • Quality of the comments: Are they related and specific to that content or just generic and full of emojis?
  • YouTube videos: are they strong for SEO? What’s the traction of a specific video? You can use a tool like VIDQ to make an- in-depth analysis
  • Time spent in: creating the storytelling, shooting a video or a series of photos, editing and post-production, number of contents sent to the client or agency for approval

Once you have decided on the amount that you are going to pay a specific influencer or group of influencers, it becomes crucial to track the right metrics that will determine whether or not your campaign will be successful. Before even beginning the campaign, the agency and the client have to be on the same page to avoid any miscommunication. KPIs and metrics have to be decided. KPIs and metrics depend on the type of campaign and goals of a specific campaign, but some examples could be:

  • Organic reach
  • User-generated content
  • Sign-ups generated on the client’s website
  • Number of download of the client’s app
  • Sales on an eCommerce
  • N of. Time a promo-code has been used during the campaign

It is important to remember that an influencer marketing campaign is not directly associated with generating sales or signups of an app. In fact, influencer marketing is one of the many touch points to get in contact with potential users and customers that will see the promotion from one of their favorite influencers, and they might activate and become paying customers or download the client’s app in a second moment. Results can even be seen weeks after the marketing campaign has been completed. For that reason, is important not to compare influencer marketing with display ads, programmatic or remarketing activities, as they are completely different ways to communicate to the users.

Lastly, It will be even more vital for influencers to be authentic in 2020. Users are enjoying less of the same perfect and aesthetic Instagram content. In turn, starting to prefer more raw photos and videos. TikTok is the best example of how to be authentic and relatable: Gen Z users want to feel accepted and share their emotions and feelings with other peers of the same age around the world. Less photoshop and more “be yourself” will gain some wins in 2020.

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Alessandro Bogliari, co-founder and CEO of The Influencer Marketing Factory.

Sourced from The Drum

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Marketers must stop prioritising strategies built around cookie data if they’re to succeed in the 2020s. Speaking on a panel at The Drum’s Predictions 2020 event at Sea Containers this week, Andy Chandler, Adjust’s VP for UK and Ireland, called for brands to evolve in the post-cookie world and start to work out whether they’re truly adding value to their customers’ lives.

“With Google Chrome getting rid of third party cookies, brands need to start looking at data differently or they’re going to very quickly get left behind,” he explained. “We are moving into a cookie-less world, where consumers are interacting more with apps than browsers, so the way we measure data needs to truly reflect that. We need to keep evolving and keep up with where people are, ensuring we add real value to their lives.”

A recent feature by The Drum explored the impact of Google’s plans to “render third-party cookies obsolete” and how brands must now respond. According to Ed Preedy, chief revenue office at Cavai, one solution could be for brands to use online messenger apps to speak directly to their consumers. He says messenger apps can ensure more tailored advertising and better conversion rates when it comes to making a purchase.

He added: “In 2019, there were 73 trillion posts across all messaging apps. And in markets like APAC and Latin America, something like 63% of consumers purchased over a messaging app or spoke directly to a business. These are becoming hotbeds for commercial opportunity and it will only grow in the decade ahead in the UK too.

“Messaging apps allow for a genuine two-way interaction. They qualify what users want and who they are almost instantly, so therefore the advertising that runs is contextually relevant. They will become so much more important as cookies start to dissipate. I think there will be a wider move to more personalised platforms, where advertising is less random.”

It was a frank assessment that Tanzil Bukhari, managing director for EMEA at DoubleVerify, very much agreed with. He insisted consumers now want to see more relevant advertising and that getting rid of cookies will ensure this happens more consistently. “The Google Chrome announcement will mean publishers have to offer much richer and directional content, and that’s only a good thing.”

Using data in the right way

But there was also a message of caution in the air, with Vodafone’s brand director Maria Koutsoudakis warning that brands and agencies who prioritise data too heavily risk becoming irrelevant, on a panel earlier that morning alongside Ogilvy CEO UK, Michael Frolich. Koutsoudakis asked the audience: “When was the last time you spoke to a customer? If you stood back from click attributions and A/V testing then what do you really know about your customers now?

“By only really focusing on data, there’s a risk we create a generation of marketers who don’t understand brand, consumers or behavioural change and aren’t agile enough to cope with it. There needs to be more of a blend of people being on the ground, really speaking to their customers, as well as having a good data strategy. If marketers only care about digital metrics then there’s a risk they become irrelevant in marketing in the 2020s.”

With consumer data obviously so important to the UK mobile network’s business, she admitted it has taken a back step to ensure it’s precious about protecting it. “We don’t sell this data as we can’t afford to lose our consumers’ trust,” she admitted. “Being so cautious might mean we get left behind, but I think it’s worth it as we can’t take any chances.”

Frolich agreed with Koutsoudakis’ sentiment. In the 2020s, he said ad agencies shouldn’t be using client and third party data unless they can absolutely prove it has a positive impact on creativity and this in turn enriches the lives of their customers.

“We aren’t a data company, we are a creative agency,” he insisted. “We use client data and third party data to feed our creativity and build better work that consumers then enjoy. If you’re using this data and it isn’t creating better human insights then you’re using it incorrectly.

“Agencies have bought big data companies and it isn’t working because they’re not using the information to create better marketing. If we can work with a client like Vodafone and use their data to feed better creativity then we’re winning.”

The sentiments around trust were picked on another panel, where Courtney Wylie, VP of product & marketing, Mention Me had a word of caution: “We’re going to continue to see this evolving trend of lack of trust. A declining trust in influencers, brands, marketing channels.”

However, the way the relationship between agencies and brands works will become a lot more adaptable over the coming years, with a one-size-fits-all approach now completely redundant. John Readman, CEO & Founder, Modo25, explained: “In past there were only two options: work with an agency or do something in-house, but we will see these lines blurring more and more. There’s no reason why a combination of both won’t be the best way forward.”

Talking about the way forward, Andrew Challier, chief client officer, Ebiquity predicted that the industry will finally see “the rebirth of creativity and the importance of creativity in engaging people and reaching people in a meaningful way.”

A more ethical way of thinking could impact Facebook and Amazon

As we move further into the 2020s, some of the event’s panellists warned that established retailers and social media brands could start to fall short, as consumers switch to a more ethical way of thinking.

“Yes, lot’s of people still buy off Amazon, but the fact Brits also want to become more engaged with their local community means independent retailers should be confident heading into this new decade,” predicted Hero Brown, founder of Muddy Stilettos.

She explained further: “We’ve noticed a real shift in our readers wanting to support the high street more and more, and there’s this ethical thinking coming through, which could be detrimental to an Amazon. Shoppers want real-life experiences, even from online brands. They’re starting to get tired of faceless fast transactions and want to see brands brought to life in a more physical way. This trend will only intensify in 2020.”

Meanwhile, Darren Savage, chief strategy officer at Tribal, would like to see Facebook’s dominancy recede in the social media space. “I think major firms who consistently lie will come unstuck in the 2020s as people won’t put up with it anymore,” he said. “An immoral toxic cess-pit like Facebook will come tumbling down.

“The blatant lies they tell around consumer data will mean people will leave the platform in much bigger numbers. Truth is more important than ever before and just being a big business isn’t going to protect you if you mislead consumers.”

Proving you’re making a difference

This ethical way of thinking also extends to a brand’s commitment to sustainability, and Misha Sokolov, co-founder of MNFST, believes this will only rise in importance over the coming years.

“I spoke recently to someone at the Volkswagen Group and he was telling me how they calculated they were responsible for 1% of all global emissions, and that’s why they now want to be carbon neutral within 10 years,” he said. “The smartest brands won’t just put a nice message on their packaging, but do something that has a provable positive impact on the environment and helping reduce climate change. It must happen automatically as brands will lose market share if consumers don’t think their being ethical enough. There’s no excuse in the 2020s.”

And businesses shouldn’t just think of sustainability in environmental terms either, with it also being just as wrapped up in how a brand and business treats its employees. Stéphanie Genin, global VP of enterprise marketing at Hootsuite, says employee advocacy will be a huge trend moving forward, as consumer want to ensure their favourite brands treat their staff good before supporting them with a purchase.

She added: “Employee advocacy and employee generated content will become so so important. When you empower employees to be the communicator of what your business stands for it really adds to brand value and boosts sales. I think marketers are missing a trick by not prioritising this more heavily.”

However, Readman, added none of this will work unless it’s part of a global governance policy. “It’s all good being sustainable and doing good things for employees in one market, but if it’s not something you’re doing consistently across the board then consumers will work it out and there will be a backlash.”

Meanwhile, for John Young, executive creative director and co-founder, M-is, as brands start to really understand the consumers through personal engagagement, “the advertising budgets will transfer into experiential budgets.”

Be as safe as possible

Another topic of conversation that came up throughout the day was brands ensuring the data they keep on consumers remains safe, especially as more and more of their ads are traded programmatically.

Francesco Petruzzelli, chief technology officer at Bidstack, said that 13% of global ads are currently fraudulent and that while major brands know it’s a “big issue”, they’re not necessarily doing enough to prevent it. “We acquired a publishing guard to protect publishers, but I find a lot of people aren’t thinking seriously enough about this issue. It won’t go away!”

Dan Lowden, chief strategy officer at Whiteops, added how he recently worked with a major brand who believed bots were accounting for up to 5% of fake views of its £10m campaign, but says his team worked out they were actually accounting for 36% of traffic.

Looking ahead, he concluded: “The bad guys aren’t going to let up and will keep on persisting with cyber crime in the 2020s. We all need to be serious about tackling this problem and do more to collaborate as an industry to ensure that marketing dollars are genuinely being spent on human engagement and not just robots.”

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Sourced from The Drum

By Gideon Spanier

Growth is forecast to rise 6% in 2020 and digital promise fuels confidence in the future…

Get Brexit done — Boris Johnson’s election-winning slogan, proved the power of an effective marketing message and the UK ad industry begins the new decade in optimistic mood. Rapid changes in technology and consumer habits caused huge disruption in the last decade but digital advertising has been a growth engine as the UK, enjoying ten years in a row of rising ad expenditure. Here are some key trends for 2020:

A Boris ad bounce?

Even before last month’s decisive election result, leading agency groups were forecasting ad growth of around 6% in the UK in 2020 — in line with recent years, and ahead of most Western countries.

Advertisers keep ploughing money into search and social media as the UK is a leader in ecommerce and mobile.

Outdoor billboards are also generating more revenue as poster companies invest in digital screens. Greater “certainty” at Westminster could boost confidence, according to WPP’s media-buying arm, Group M, which sees “some potential for unlocking of advertising budgets — at least in the short-term”.

Brands are still obsessed by digital disruption

Some agency folk say the ad industry should stop talking about “digital” because it is no longer a silo and should permeate everything, but plenty of clients disagree as they grapple with transforming their businesses. Unilever has just appointed Conny Braams as its chief marketing and digital officer — with “digital” added to her job title as the FTSE 100 company behind Dove and Marmite emphasised it wants to become a “future-fit, fully digitised organisation at the leading edge of consumer marketing”.

Similarly, drinks giant Diageo is in the final stages of a global review of its ad-buying account as it seeks to be “at the forefront of media planning and data-driven marketing”.

The rise of streaming and “chasing the missing viewer”

The streaming wars will hot up when Disney+  debuts in the UK on March 31 as a rival to Netflix and Amazon Prime Video. Subscription video on-demand is a worry for advertisers because many of these services carry “no ads”, as the marketing for BritBox, a joint venture between ITV and BBC, boasts.

Zenith, a media agency whose clients include RBS and Disney, has warned “available audiences” for advertisers are shrinking as consumers “replace television viewing with non-commercial video”. One marketer talks about “chasing the missing viewer”, who is now on Netflix, surfing the web or playing video games.

Too much targeting?

Another worry is getting the balance right between mass marketing to big audiences and data-driven targeting of niche groups. Some brands, including Adidas and TopShop, have admitted in recent months that they have focused too much on digital, performance marketing to drive sales, and neglected brand-building. Truth is, advertisers want both. ITV, led by Carolyn McCall, plans to launch a targeted, online video ad-buying service, Planet V, in February.

Holding tech giants to account

Governments and advertisers have struggled for years to hold Google and Facebook to account but the UK’s Competition & Markets Authority could take a lead when it completes a big inquiry in July — with the potential to recommend regulation. The CMA warned last month that “a lack of real competition” in the digital ad market could be harming consumers and other media companies such as news publishers.

Agencies must adapt

Ad spend is rising but some clients are using technology to bypass agencies and “legacy” players are struggling to adapt. Publicis Groupe, Dentsu and M&C Saatchi all warned of poor trading before Christmas. The future for agencies is to be nimbler, more consultative and more strategic, which is creating room for new entrants.

Luke Smith, co-founder of Croud, a Shoreditch-based digital agency that has just sold a £30 million stake to private equity, says bullishly: “There are very few industries globally that have as much energy as the digital marketing space in London.”

London versus the regions

The number of people working in UK creative industries grew 30% in the past decade to two million — with half of them in London and the South East. However, some rebalancing away from the capital towards the regions is likely to be a theme in post-Brexit Britain.

Channel 4 will complete the opening of its new, national headquarters in Leeds this year, Dentsu is to move hundreds of jobs out of London in a cost-cutting move and WPP is planning a “campus” in Manchester to drive expansion.

Advertising matters

All of this change and growth is exciting because new, British disruptors from Starling Bank to On The Beach are using advertising to build their brands and it can add value. Shares in US exercise bike company Peloton, another “new economy” brand, slumped after the poor reception for its “sexist” Christmas ad campaign.

Ultimately, advertising matters because it is how a company communicates what it stands for. And, unlike Brexit, it’s a job that is never done.

Feature Image Credit: Gideon Spanier: Brands are still obsessed by digital disruption when it comes to advertising ( AFP/Getty Images )

By Gideon Spanier

Sourced from Evening Standard

By Valentin Saitarli.

Conventional marketing tactics usually lead to typical outcomes — what if we try something different? I’m sure each of us has a dress, shoes, a tie or a bag that we bought only because a salesperson in the shop was kind to us, or just because we were in search of positive emotions. Most of us strive to be happy in our personal lives, so we often seek ways to feel good and are willing to pay for them.

Emotional connection plays a significant role in the choices we make as consumers. As reported by Psychology Today, “functional magnetic resonance imaging (fMRI) shows that when evaluating brands, consumers primarily use emotions (personal feelings and experiences), rather than information (brand attributes, features, and facts).” So as marketers, why not aim to trigger the right feelings and make an emotional impression to attract attention to your product or service and boost sales?

I’ve worked with many clients on fixing some of the major issues with their marketing. Some of these clients were delivering an outstanding product to the market that, unfortunately, failed. And it was because their marketing strategy never emotionally engaged their target customers. Many companies seem to have a really hard time understanding how their particular product can make their clients happy. They forget that even though we’re in the age of digital marketing, there are still real people — a real Jake, Melissa or Jessica — on the other side of the screen, and those people care, laugh or cry the same way that we all do.

As a result of this tendency, when our team brings emotional marketing to the table, we’ve found that 80% of our clients seem to doubt the strategy — until we deliver results. For example, 10 months after bringing one client’s medicine-related app to the market using the emotional marketing strategy, the app doubled its revenue and our client saw a significant increase in brand recognition. We helped another client, a skincare company, hasten their sales growth and attract new investor funding by concentrating marketing efforts on triggering customers’ emotions.

So just how potent is it, this magical emotional connection? American poet Maya Angelou is often quoted as having said, “People will forget what you said, people will forget what you did, but people will never forget how you made them feel.” Emotional engagement inspires a potential customer to notice and remember your marketing campaign if you do it right.

Research further illustrates the power of emotional advertising. Fast Company reports that “in an analysis of the IPA dataBANK, which contains 1,400 case studies of successful advertising campaigns, campaigns with purely emotional content performed about twice as well (31% vs. 16%) as those with only rational content (and did a little better than those that mixed emotional and rational content).”

Some brands seem to organically make emotional connections with consumers, while others have to work at it. But in my experience, any product can evoke an emotional response. So where do you start?

First, recognize that you can’t always aim to evoke happiness with your marketing. Research from the Institute of Neuroscience and Psychology at the University of Glasgow found that we have only four basic emotions: happy, sad, fear/surprise and disgust/anger. So determine which feeling you intend to inspire. This will give you the right insights for copywriting, graphics, photos, music, etc.

Then, to get in touch with your customers’ emotions, identify their critical motivators. We strongly recommend putting more effort into research to discover the sole critical motivators that are typical for your niche and target audience. It’s crucial to provide customers with what they genuinely need, though they may not always be able to say what that is. Try to figure out what your customers care about, whether it’s standing out from the crowd, well-being, freedom, a sense of belonging or the environment. And make sure to leverage that. Their motivators may be secondary to the underlying emotions that drive them, but take them seriously. They can provide you with a more in-depth understanding of your customers’ emotions.

Once you understand what drives your customers, use these insights to create a broad marketing strategy based on making emotional connections. This strategy should include every link in the chain, from product launches and sales to marketing and service. Storytelling can be an indispensable tool here. Stories can be compelling and easy to share. They can help trigger the emotions you may need to get your desired outcome.

Dale Carnegie once said, “When dealing with people, remember you are not dealing with creatures of logic, but with creatures of emotion.” Emotional connections in the marketing field are not a secret strategy anymore — but they can be a real advantage. To be successful, find out how your customers feel and what they need and be able to identify what motivates them. This customer-oriented attitude and strategy can help you inspire customers’ devotion.

By Valentin Saitarli

Managing Director at Exclusive PR Solutions, overseeing Brand Strategy and Marketing. Read Valentin Saitarli’s full executive profile here.

Sourced from Forbes

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Smartphone traffic now accounts for the majority of visits to retailers, but mobile conversion rates lag behind desktop. We take a look at the reasons for this.

A decade on from the release of the first iPhone, mobile shopping is massive. Much of this is thanks to Apple, and the many smartphones which followed, but there are still obstacles for retailers to overcome.

According to stats from Monetate, smartphone traffic worldwide to retailers is at 56.2%, and 34.5% for desktop.

However, this mobile traffic is converting at less than half the rate of that on desktop, at 2.25% compared to 4.81% for desktop. Even tablet fares better, converting at 4.06% on average.

We’ve seen the same pattern in our own stats. Around half of all visits to retailer’s sites come from mobile, but just 36% of purchases take place on mobile.

It seems that people are happy to browse on mobile, but many still prefer to buy on desktop, so let’s look at the reasons why.

There are several reasons why people prefer to buy on a laptop or PC. For one, it can be easier to navigate around the site and view images on a bigger screen, so some shoppers may browse on mobile and select products later on.

People are also more likely to buy on desktop when purchases are more complex. Travel purchases are generally more expensive and complicated – only 18% complete bookings on mobile.

Much of the issue comes down to checkout. Indeed, the add to cart rates shown above suggest this. While mobile conversion rates are less than half that of desktop, add to cart rates aren’t so far behind.

Even in sectors where shoppers are more likely to use mobile, such as fashion, mobile conversion rates still lag behind desktop.

Fashion sites attract a greater proportion of sales on mobile. In fact, this is the only sector to attract the majority of its sales from mobile shoppers (51.39%).

However, data from our recent Fashion Ecommerce Trends Report finds that fashion conversion rates are almost twice as high on desktop when compared to mobile.

Mobile usability on fashion sites has improved greatly, but some customers are still reluctant to convert via mobile devices.

The average mobile add to cart rate is 10.4%, compared to 12.9% for desktop. This implies that people are adding items to their cart at similar rates, but many more are bailing out during checkout.

The biggest issue behind lower mobile conversions is the checkout. So how can checkout be made easier? Here are three ways to do this…

People hate registering before they begin a purchase, and it seems like hard work for mobile shoppers, so providing a guest checkout option is one way to improve conversion rates.

It’s a barrier for customers, and one that isn’t necessary, as they can complete registration after purchase anyway. Streamlining forms makes checkout easier and faster, reducing hassle for shoppers, and removing sources of friction where people might abandon checkout.

Sites can allow users to autofill address and payment details saved on their phone’s browser, or postcode lookup tools to reduce the number of steps customers need to take.

Small details matter, such as defaulting to the most appropriate smartphone keyboard, like the numeric version for entering payment card details. It’s about making it easier for customers through marginal improvements.

Payment methods matter too, and providing alternatives can make it easier for mobile shoppers. Card details take time to enter, but PayPal and digital wallet options like Apple Pay can make payment fast and smooth.

Mobile is a challenge for retailers, but now that customers have shown they’re willing to browse and buy on mobile, it’s all about making the payment process smooth and easy for shoppers.

Feature Image Credit: Photo by William Iven on Unsplash.

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Graham Charlton is editor in chief at SaleCycle

Sourced from The Drum