Tag: Warc

  • Asian Marketing Trends 2017

     

    By A Correspondent

     

    WARC, the global body tracking advertising and media effectiveness, has released its annual Asian Strategy Report, an analysis of the region’s most effective marketing trends based on insights from the 2017 WARC Prize for Asian Strategy.

     

    Said Lucy Aitken, Case Study Editor at WARC: “We’ve analysed the data of close to 200 entries from 17 countries to the 2017 WARC Prize for Asian Strategy to ascertain insights and trends that Asian marketers are deploying to build their strategic capabilities.

     

    “Against a backdrop of demographic challenges, new technologies and market-orientated reforms, we’re seeing that Asian brands are moving from tactical, activation-based marketing to more long-term, consistent and strategic marketing.”

     

    WARC’s Asian Strategy Report highlights the following key insights and marketing trends in Asia for 2017:

    Mirroring social change: Purpose continues to be a popular strategy for many brands in Asia that successfully plug into the social and cultural change that is still under way in many territories. Brands are still recognising the long-term value in appealing to women and taking on the issues that are important and significant to them. However, brands need to exercise caution: those that are not entirely authentic to a particular cause will find themselves called out by consumers.

     

    Low-interest categories, high-interest ideas: User experience is starting to play an important role in brand differentiation, so smart product or packaging ideas are emerging within Asian communications. These ideas are efficient at engaging with elusive target audiences, particularly if they can prove that they are useful products. Asian brands are increasingly putting innovation at the heart of their marketing strategies.

     

    Channel-first ideas: Channel choice is core to an effective strategy and is not an afterthought. Having a particular target audience and the means by which it is reached, is reframing the brand, building awareness and engagement, and adding to the bottom line.

     

    Blue Ocean brands: Deploying a Blue Ocean strategy – which sees brands existing in places where they are not competing with rival brands for the same sector – is increasingly important at a time when brands are finding it hard to differentiate through mere function alone.

     

    WARC Datapoints – Asian Strategy 2017

    • 78% of shortlisted campaigns used online video – a 34% increase from 2016
    • 72% of shortlisted campaigns used emotion – a 41% increase from 2015
    • 2 out of 5 shortlisted campaigns targeted influencers – a 17% increase from 2016

     

    The Asian Strategy Report 2017 in full is now available to WARC subscribers on warc.com

    The WARC Prize for Asian Strategy is an annual competition showcasing the smartest

     

     

  • BBDO Mumbai’s ‘Share the Load’ declared best campaign in the world

    By A Correspondent

     

    WARC has announced the 2017 results of the WARC 100, an annual ranking of the world’s best marketing campaigns and companies according to their business impact.  Procter & Gamble, Vodafone, BBDO Worldwide, adam&eveDDB and WPP are among the organisations at the top of this year’s rankings, which are based on performance in effectiveness and strategy competitions around the world.

     

    The top-ranked campaign was the highly awarded ‘Share the Load’, developed by BBDO Mumbai and Mediacom Mumbai for Procter & Gamble’s Ariel detergent brand in India. The campaign film, in which men were encouraged to share the weight of household chores, was supported by campaign-specific packaging, and was spread across online, cinema and TVCs. As 1.57 million men pledged to ‘share the load’, Ariel more than doubled value and volume sales, which grew 106% and 105% respectively.

     

    Now in its fourth year, the WARC 100 is built on a rigorous methodology, developed in consultation with Douglas West, Professor of Marketing at Kings College, London.

     

    Looking at this year’s top 100 campaigns, key findings include:

    1. Data-driven creative hits the top 10
    Two of the top ten campaigns this year are those that have seen success from the smart use of data to drive creative and media strategy. The Economist used a targeted programmatic display campaign to reach new prospects with humorous and accessible tagline ads. The campaign hit 50% of target in 9 days, with a return on investment of over 25:1. In sixth place, a big data campaign for Australian swimming pool builder Narellan Pools took a ‘moment marketing’ approach. Customers were targeted at the precise times they were most likely to buy a pool, with focused creative motivating purchase decisions. The campaign increased direct leads by 11% and sales by 23% year on year. At a time when the ad tech industry is under attack in some quarters, these campaigns show how, when used smartly, programmatic techniques can open up new creative and media opportunities.

     

    2. There was a strong showing for stunt or event-based campaigns, as well as big-budget TV
    Campaigns built around an event or stunt also ranked highly this year. ‘Rabbit Race’, a seasonal live event and stream involving rabbits racing for customers of Media Markt in Germany to win in-store prizes, was the fourth-ranked campaign of 2017. More than 21 million people watched the races, prompting the electronics retailer to make the stunt an annual event, with consumers spending on average €8.60 more than the previous Easter. The number-three campaign in the 2017 rankings was ‘Lucy the Robot’, a news-grabbing stunt in which Double Robotics, an American technology company, created a telepresence robot called Lucy to be first in line to buy a new iPhone 6s outside a Sydney Apple store. The stunt aimed to launch the company into the Australian market, and was covered in 4,000 news stories globally, resulting in more than 12,000 sales enquiries worth more than $44 million.

     

    However, beating these two campaigns into the top two positions were Share the Load and John Lewis’ Christmas campaigns – both big-budget, big-idea,TV-led campaigns. There were plenty of other examples in the top 20 showing the power of TV-led work, including campaigns for Old Spice, Snickers, IKEA and Sainsbury’s.

     

    3. Procter & Gamble retains its lead as No. 1 advertiser over Unilever
    Procter & Gamble is for the second year in a row the top advertiser for 2017, though its lead over Unilever has decreased since last year. With five campaigns in the top 100 versus Unilever’s three, the success of campaigns for its Ariel, Always and Old Spice brands have cemented P&G’s position as No.1.

     

    4. Vodafone wins top brand as Coca-Cola and McDonalds drop from 1st and 2nd place for the first time
    Vodafone has had an extremely consistent year in terms of award wins across campaigns and regions. With only two campaigns in the top 100, but multiple wins at fifteen separate awards competitions, the brand accrued enough points to take it into the lead.

    For the first year since 2014, Coca-Cola and McDonalds do not occupy positions one and two in the brands ranking. Both have dropped down the rankings in a year when neither had a campaign in the top 100.

    New entries to the top 10 include UK department store John Lewis at No. 3, as a result of its series of highly effective Christmas campaigns; Dove, with its continued socially progressive stance; and Snickers, through campaigns including their big-budget TV campaign ‘You’re not you when you’re hungry’.

    Said David Tiltman, Head of Content at WARC, says: “This year’s WARC 100 reflects an industry in flux. It’s clear from the rankings that TV-led, ‘big idea’ advertising, when executed well, is still highly effective. But we’re seeing a range of alternative approaches also capable of generating business results – from data-driven ‘moment marketing’ to stunts or events designed to focus consumer attention. One of the big questions in the industry at the moment is whether these alternative approaches build brands and deliver results in the long term as well as at the time of the campaign.”

     

    WARC 100: Top 10 global advertising campaigns 2017

    Rank Campaign Brand Primary Agency Brand Location

    Points

    1 Share The Load Ariel BBDO Mumbai / MediaCom Mumbai India

    164.2

    2 John Lewis Christmas advertising, 2012-2015 John Lewis adam&eveDDB / Manning Gottlieb OMD UK

    142.2

    3 Lucy the Robot Double Robotics Atomic 212° Group Australia

    95.0

    4 Rabbit Race Media Markt Ogilvy & Mather Frankfurt / UM Frankfurt Germany

    84.2

    5 Raising Eyebrows and Subscriptions Economist, The Proximity London UK

    68.3

    6 Diving into Data for Narellan Narellan Pools Affinity Australia

    64.5

    7 World Gallery Apple TBWA\Media Arts Lab Los Angeles / OMD Los Angeles USA

    64.2

    8 #LikeAGirl Always Leo Burnett Toronto / Leo Burnett London Global

    52.2

    9 #MyFamilyCan SPC Leo Burnett Melbourne Australia

    51.7

    10 Infrequent Flyers Tigerair McCann Melbourne Australia

    49.

     

    Rank 2017 Rank 2016 Top 5 countries 2017 Points
    1 1 USA 3558.9
    2 2 UK 2091.5
    3 3 India 977.7
    4 4 Australia 877.7
    5 5 China 666.2

     

    Rank 2017 Rank 2016 Top 5 creative agencies 2017 Location Points
    1 41 adam&eveDDB UK 219.7
    2 5 AMV BBDO UK 152.4
    3 47 BBDO Mumbai India 142.2
    4 31 Grey London UK 140.1
    5 new MullenLoweLintas Group Mumbai India 123.3

     

    Rank 2017 Rank 2016 Top 5 media agencies 2017 Location Points
    1 2 Starcom New York USA 147.3
    2 16 Mindshare New York USA 100.6
    3 new Atomic 212 Group Australia 95
    4 14 Mindshare Istanbul Turkey 71.8
    5 new OMD Los Angeles USA 61.0

     

    Rank 2017 Rank 2016 Top 5 digital specialist 2017 Location Points
    1 36 Proximity London UK 81
    2 new Affinity Australia 70.9
    3 new Ketchum New York USA 64.1
    4 new Trisect USA 56.7
    5 13 R/GA New York USA 51.6

     

    Rank 2017 Rank 2016 Top 5 agency networks 2017 Points
    1 1 BBDO Worldwide 1412.4
    2 2 Ogilvy & Mather Advertising 978.9
    3 9 McCann Erickson 702.9
    4 7 Starcom 573.9
    5 5 Leo Burnett 572.8

     

    Rank 2017 Rank 2016 Top 5 agency holding companies 2017 Points
    1 1 WPP 4079.4
    2 2 Omnicom Group 3598.4
    3 4 Interpublic Group 2237.7
    4 3 PublicisGroupe 2174.6
    5 6 Dentsu 549
  • Marketing effectiveness in the digital age: WARC

     

    Marketing effectiveness requires striking the right balance between close targeting and mass reach, and between short and long-term strategies, according to Warc, the global marketing intelligence service, in its trend report ‘Toolkit 2017’ in association with Deloitte Digital.

     

    Said David Tiltman, Head of Content at Warc: “The decision by Procter & Gamble last year to cut back on targeted advertising on Facebook has led to an ‘intellectual battle’ with Media owners – both traditional and digital – engaged in a race to prove how effective their channels are in driving business outcomes, and how best to combine channels,” adding: “The big-picture issue is close targeting (particularly via digital channels) versus mass reach – and a number of FMCG brands have concluded that a renewed focus on reach will drive sales growth. With budgets under ongoing pressure, more studies along these lines can be expected in 2017,” continued Tiltman.

     

    “At a time when businesses are talking about ‘digital transformation’, marketers are ideally placed to engage with customers in new ways across emerging touchpointsin a more informed manner,” added Jason Warnes, Digital Marketing Partner, Deloitte Digital.

     

    Key insights identified in Warc’s Toolkit 2017 on ‘Effectiveness in the Digital Age’ that will impact marketers are:

    1. Major FMCG advertisers are pulling back from granular targeting:
    In August, Procter & Gamble’s Chief Brand Officer Marc Pritchard publically questioned the value of close targeting of audiences on Facebook. In doing so, he cast doubt on one of digital’s key benefits over so-called traditional media – the ability to target more closely – and resurfaced the industry debate on close targeting versus reach.

     

    2. Short-termism weakens links between creativity and effectiveness:

    Research by marketing consultant Peter Field based on data from the IPA, a UK ad agency association, and The Gunn Report, a ranking of creative advertising, found that short-termism and pressure on budgets are weakening creative effectiveness. The shift of budget into digital media, where short-term metrics are common, has exacerbated this shift. In short, the impact of highly creative work has halved since 2011 as a result of these forces.

     

    3. However, digital platforms are making TV more effective:
    A further study by Peter Field and Les Binet of adam&eveDDB suggests that digital platforms can be used to make so-called ‘traditional’ media more powerful than they used to be. They do so in two ways. They provide additional reach for video content by, for example, combining TV with online video. They also provide a wide range of activation channels that can complement the long-term brand-building efforts of other channels.

     

    4. Digital has a ‘reach ceiling’ and is most effective supporting TV:
    Research by Nielsen confirms that TV remains the biggest single driver of reach, ahead of digital platforms. Brands currently investing in TV who want to maintain reach are advised not to go digital-only; doing so may mean they hit a ‘reach-ceiling’. However, digital does add an average incremental reach to a TV campaign of 4.4%. The research also suggested that mobile is now performing on a par with or better than desktop at delivering impressions to an intended audience.

     

    5. Mainstream channels are fighting back in the effectiveness ‘arms race’:
    Industry bodies representing several mainstream media channels have released a number of in-depth studies supporting the effectiveness credentials of those channels. For example, a UK report on radio by trade body Radiocentre claimed that the channel delivered a 7:1 return on investment, and that one of the key benefits of radio is its ability to extend the reach of brand campaigns. Separate research by trade body Newsworks concluded that advertising in newspapers makes TV twice as effective and online display four times as effective.

     

    6. Social sites are starting to focus on business outcomes:
    Facebook has openly criticised some of the measures marketers are using on the social site (and, by extension, other social platforms). It is focusing on research that links advertising exposure on Facebook to sales increases.

     

  • How & Why Social Video can turn marketers into broadcasters

     

    Social video, which involves the dissemination of content in audio-visual format across social media platforms and applications, is experiencing massive growth as a content marketing format, and is expected to continue in 2017. Video is transforming social media marketing and turning social platforms into broadcast media, according to Warc, the global marketing intelligence service. Social video is one of six key trends featured in Warc’s Toolkit 2017. The annual report, produced in association with Deloitte Digital, brings together the best of Warc’s content over the past year – the latest ideas, research and examples. With social media sites now offering a wide range of (paid-for) options for posting and distributing video, brands are finding success with approaches that prioritise quality over quantity, consider emotional and social motivations for content engagement, and focus on a three-second window of opportunity to grab a viewer’s attention. “We’re seeing a growing number of brands experimenting with live video on platforms such as Twitter’s Periscope and Facebook Live and this format tends to work best for content that is exclusive, newsworthy or that requires live audience involvement,” comments David Tiltman, Warc’s Head of Content. “But a major challenge in 2017 will be video measurement.”

     

    Key insights identified on how video is transforming social are:

    1. Social video will see rapid growth in 2017:
    The signs are that marketers plan to increase the amount they spend on social video advertising, with mobile the major driver of investment and the biggest growth area for video. One Forrester report predicted that worldwide advertising spend on mobile video would grow at a 28% CAGR in the next five years.

     

    2. Live video is an untapped opportunity for exclusive or interactive content:

    Live video remains an emerging format, but a wide-range of brands are experimenting with it. Early signs show that sharing and comment rates on live video are higher than for standard video. The main decision is considering which opportunities are right for live video. The guiding principles appear to be whether the video will be exclusive or newsworthy enough to attract a live audience, or whether it requires a level of interaction with viewers.

     

    3. Facebook leads in the ‘broadcast’ model of social:
    The rise of a ‘broadcast’ approach to social media means brands are choosing which platforms will best reach their chosen audience, rather than attempting to entice shares and engagement across all social channels. Facebook is the lead platform when it comes to social media audience reach and popularity, however, platforms such as Snapchat and Twitter offer targeting and formats that may suit certain campaigns.

     

    4. Sharing rates remain a useful measure of engagement:
    As brands invest in paid distribution of social video, sharing has become less important as a means of generating reach. However sharing remains a useful indicator of engagement with a video. As social video continues to grow and mature, marketers are advised to focus on the fundamental motivations behind the sharing of content on social media in order for it to be as effective as possible.

     

    5. Brands are advised to make fewer, better posts:
    As the amount of video content on social sites increases, it is becoming harder to gain consumer attention. Some brands that have been experimenting with social video have concluded that quality (high production values) is preferable to quantity (multiple different videos).

     

    6. Social video has a small timeframe to engage; brands must work ‘with the skip’:
    Brands should look at both the content and context of video consumption. A Millward Brown report concludes that audiences prefer the inclusion of functional aspects that give them control, such as the ability to skip content and click-to-play options. Branded videos that are not advertising also appeal, such as tutorial and review videos, hence brands should consider broadening their strategy beyond paid online video.

     

    7. On mobile, the 30-second ad is becoming the 3-second ad:
    Brands may have only three to five seconds to grab a mobile social media user’s attention. Advertisers should remember that online video is often watched with the sound turned off, so content should make sense to the viewer without sound, and possibly include captions or entice people to turn on the sound.

     

    8. Social video metrics should be studied carefully:
    In September 2016 Facebook admitted to significantly overestimating average viewing times over the last two years. The revelation was significant as such metrics are a factor in marketers and media agencies allocating digital budgets. It highlighted the lack of third-party verification on social sites – and this is likely to be an ongoing theme in 2017.

     

    9. Influencer-focused video is effective as a complement to traditional approaches:
    Online influencers, including ‘vloggers’, have become a focus of advertiser interest. Brands can appear more appealing and enjoyable in a vlogger setting, even if they are limited in reach. Vloggers add credibility, displaying the brand in a new way that’s believable and more relevant than advertising. Vloggers are best for enhancing above-the-line communications, and at presenting the brand in a new way. Critically, they are an addition to, rather than a replacement for, traditional channels.

     

  • Looking at marketing through a new lens: Dana Anderson, CMO, Mondelez

     

    What do you see as innovation?

    I find innovation fun and challenging and, personally, I enjoy it. When I think about some of my most favourite things that I want to do, they’re all around transitioning into new ways of working. That can be uncomfortable but the pay-off is so rewarding – so often innovation is a part of that. It’s about growth, stretching, excitement and fun. I don’t have bad feelings about change – it’s a necessary part of moving forward and just living. It’s important to brand communication because people need to be engaged and entranced; they want to interact with you differently.

    The pace of change is our marketplace in terms of channels and what people get turned on by requires us to think ahead in a fearless manner about what to do and the digitisation of everything. So not only do we experience mobile and social media but, as marketers, we need to learn how to do it and to do it well. Sometimes that involves turning your own view of the world upside down. In the past year, we’ve spent a lot of time here embracing Ehrenberg Bass and Byron Sharp’s Laws of Growth and that’s undoing everything we learned in school and looking at marketing through a new lens. We changed our strategic tools, media guidelines, how we do comms planning and how we brief agencies. That has created a new thing of its own: our Freedom to Create presentation has been delivered to agencies and town halls everywhere so everyone knows what we are looking for. Change can mean more work but it makes you feel like you’re on the fresh end of things and that can be enlivening for a group.

     

    Can you share a recent example of innovation within the Mondelez brand portfolio?

    We’re just launching a new chocolate bar that merges Oreo with Milka chocolate. Already, even at this early stage, people are crazy for it. Mashing up those two products and marrying what US consumers refer to as ‘European chocolate’ with Oreo, a brand they have loved forever – things like that are examples of product innovation

     

    How have you innovated in your relationships with agencies and media owners?

    It’s primary to our conversation and to our annual plans, particularly for new partnerships. When we are goal-setting at the beginning of the year, we have found that if we can see an intersection with what we tell our partners we are doing and what our partners tell us they are trying to accomplish, we are going to enjoy greater success. When we’re aligned we can make more progress. Two years ago, we worked with Facebook on creativity in social media – this was an intersection we shared.

    We also ask our partners what we can help them with and look for mutual benefit. Sometimes it’s great to just tell each other what we’re thinking about. It’s becoming much more critical to the selection of partners because once you begin to work with people who are innovating you look for it in other places. You can certainly feel it if you have a partner who’s not innovating.

     

    How is Mondelēz innovating in terms of its company structure and culture?

    We are re-engaging with our marketers. It’s a whole new way of working that affects culture and adopting things that we believe in. The work that we’re doing on content monetisation means that we want to be out there and trying new things. We want people to be proud to be here. Wellbeing is a big part of our growth plan: a couple of members in my group put together a presentation about how brands are marketing in the wellbeing space and it was fascinating; they’d identified eight big trends. They delivered that presentation internally to the finance, legal and IT teams because they wanted to know more about it. Those teams might not be marketing these products but they are still kept informed.

     

    What are the benefits of making non-marketers stakeholders like that?

    They get a view into a world they don’t participate in too closely. For them, it’s an enjoyable immersion – it helps them just as it helps us when they teach us about IT. That helps our world as it informs the decisions that we make and helps us act more holistically.

     

    Which companies have a good approach to innovation that link to clear business outcomes?

    DDB’s recent offering to McDonald’s. I don’t know the particulars of the offering except that it was custom-built with compensation on a different level. That’s a hats off.

    Also, two campaigns that I have seen recently at awards shows: one is for GoPro that is using word-of-mouth and social media to try to move from extreme sports to everyday usage. The second is U By Kotex launching a pop-up – a whole store about tampons. They had singers, they sold T-shirts with tampons all over them, and you could get your hair done there. People were lining up to go in. One girl said that she wished all public bathrooms were like that. Their purpose was to open a conversation about a product and a topic that isn’t usually treated like a desirable, beautiful thing and they monetised the whole thing. That’s innovative thinking.

     

    Is it harder to innovate with products like that, in low-interest categories?

    It doesn’t matter because it’s boundary and constraint that causes creativity to flourish. The book A Beautiful Constraint features some of the best creative and ideas that have come out of situations where you would have thought they had nothing going for them.

     

    What are Mondelez’s criteria for selecting innovation partners?

    I don’t know if there is just one criterion because we work with so many different types of people. When we work with startups, everyone walks away smarter and with an enhanced view of the world: they can’t believe how much information we have and we can’t believe how scrappy they are! Jim Stengel’s new book, Centurions and Startups:

    How They Can Thrive by Learning from Each Other, shows that bigger companies are going to need startups because actually that mixture creates sparks that don’t come any other way. Jim has interviewed a couple of our folks that have participated in some of our work with startups specialising in mobile or retail futures. When working with partners, you certainly look for chemistry and competency but it’s a turn-on for someone to have a fresh approach when you’re in a pitch situation. Most people get to the same level of understanding when it comes to strategies because it’s a process of going through what you’re giving them. But sometimes someone zooms way ahead because they have a way of working or a process of taking apart a problem. When you see that in action it’s pretty enthralling and magnetic.

    We try to create new engagement models rather than waiting to be reactive. You don’t criticise someone else for not stepping up if you don’t do it yourself! We developed a way of working through Fly Fearless. We piloted it and

    now have been working it out for smaller brands and it has meant we have been able to reduce the amount of time [spent working with creative agencies on campaigns] from 52 weeks to 20 weeks. Everyone is around the table at the same time and there are ground rules such as having a strategy before you start. What happens in the session is developed and run by a troika of the creative partner at the agency, a strategic partner on our side or from the agency and brand leaders. Together, they determine what they’re going to do in the session, whether it’s bringing in external stakeholders or whatever to deliver. So [Greek chocolate brand] Lacta is known for being all about love so they invited two guests to their sessions: one was a marriage counsellor and the other directed soap operas.

    All parties enjoy it more and agency partners prefer it because work doesn’t get revised 20 times. You can also bring in people who have engaged with us before, such as Google and Facebook, and we can all work together to financial advantage. That’s a form of innovation that anyone can take on. We’re going into our third year now – we did a year of pilots around the world and now we’re rolling it out and training people and showing them how to do it so they can be self-sufficient

     

    Can you please share an example of how a Mondelez brand has benefitted from working alongside a startup?

    We worked with [community-based traffic and navigation app] Waze and [Mondelez-owned chewing gum brand] Stride years ago on using geo-targeting to show where you could buy Stride. Unbelievably, we saw an increase in sales! What’s more, the outcome was what they learned: they felt innovative and like fearless marketers. They felt they didn’t necessarily need the rules that they had been taught because they had a whole new level of creative partners to work with.

     

    Where in the world is a future hotbed of innovation?

    It’s everywhere. We work across developing and emerging markets and I’m forever humbled by what I see. You think that developed markets are going to have more but sometimes the things that you see in awards shows – you’ve already seen this in the Warc Innovation Awards – don’t limit themselves. Brave people are brave people. But there’s a difference between brave people who talk about things happening and brave people who are actually doing it so we get to experience their work.

    At the 2016 Warc Innovation Awards, an app from Vodafone in Turkey designed to curtail domestic violence won the Grand Prix. Do you think innovation and purpose are closer together than they ever have been?

    I really do – more people are interested in purpose. We have a one day session for brands called Storyteller where you work out what your brand’s purpose is so we can then work out strategy. This is part of global marketing. We’ve nicknamed it ‘the luggage tag’ – people can look at it and know exactly what it is, from product to purpose. The visuals really help to clearly communicate to everyone what a product is as well articulating its benefits and values.

     

    At the 2016 Warc Innovation Awards, an app from Vodafone in Turkey designed to curtail domestic violence won the Grand Prix. Do you think innovation and purpose are closer together than they ever have been?

    I really do – more people are interested in purpose. We have a one day session for brands called Storyteller where you work out what your brand’s purpose is so we can then work out strategy. This is part of global marketing. We’ve nicknamed it ‘the luggage tag’ – people can look at it and know exactly what it is, from product to purpose. The visuals really help to clearly communicate to everyone what a product is as well articulating its benefits and values.

     

  • Big benefits for brands from VR & AR: WARC

     

    By A Correspondent

     

    Developments in Virtual Reality (VR) and Augmented Reality (AR) will offer viable ways for brands to engage emotionally with consumers in 2017, according to Warc, the global marketing intelligence service.

     

    VR, which immerses consumers in a 360-degree digital environment, most commonly experienced via a headset, and AR, the integration of the real-world environment with computer-generated digital information, have been identified in Warc’s Toolkit 2017, produced in association with Deloitte Digital, as key marketing trends which marketers will be looking to in the coming year.

     

    David Tiltman, Warc’s Head of Content, says, “VR and AR are not new technologies – but 2016 saw them really emerge as marketing platforms. A lot of money is now going towards VR in particular as brands seek fresh ways to engage consumers. As the advertising marketplace becomes more cluttered and many people opt out of receiving marketing messages, brand experiences that can cut through are increasingly valuable.”

     

    Jason Warnes, Digital Marketing Partner of Deloitte Digital adds, “Disruptive digital technologies, such as VR and AR, are being used to define, develop and rapidly deploy new experiences to improve the customer journey. Despite a limited adaptation of some of these technologies, they should be seen as new opportunities to interact with customers and understand more about their behaviours and preferences.”

     

    The value of VR and AR is predicted to hit $150bn by 2020. As VR and AR grow hand-in-hand to create mixed-reality experiences for consumers by creating immersive personalised content, key insights identified where VR and AR are expected to impact the marketing industry in 2017 are:

     

    1. Retail and travel brands have been early adopters of VR:

    Virtual reality could revolutionise the e-commerce sector, leading to a decrease in product returns, and it has significant potential in the travel, hospitality, design, education, engineering and healthcare industries. In the travel sector, the technology gives would-be travellers a taste of their possible destinations, hotel facilities and rooms. Whilst shopping could become one of VR’s top applications, allowing connected consumers to experience a full retail environment from their own home.

     

    2. VR can be more than a showroom; it is a vehicle for storytelling and high-end experiences:

    Two factors have driven VR into the mainstream: more devices have arrived on the market and the prevalence of smartphones puts a high-power display into a large proportion of the global population. As the technology develops, forward-thinking brands are sharing immersive experiences with customers that provide a sensory overload and block out all distractions from TV, websites, and apps.

     

    3. Early research confirms VR’s potential for emotional engagement:

    A study by ad tech firm YuMe and research firm Nielsen using neuroscience techniques found that VR elicited 27% higher emotional engagement than in a 2D environment and 17% higher emotional engagement than a 360-degree video on a flat screen. Additionally, VR viewers were emotionally engaged 34% longer than when they viewed the same content in 2D and 16% longer than when they watched it in 360-degree video on a flat screen.

     

    4. VR adds an extra dimension to brand tie-ups with celebrities or influencers:

    Brands can leverage virtual reality to engage with consumers as well as test and explore new business models. In June 2016, Absolut Vodka unveiled a mobile app that used VR to successfully drive its mission of delivering unique nightlife experiences.

     

    5. Many brands have reconsidered AR in the wake of Pokémon GO:

    The phenomenal rise of Pokémon GO was heralded as a tipping point for AR. Launched in July 2016, Pokémon GO’s downloads reached 50 million installations before the end of the month. Looking ahead, marketers face two opportunities around AR: First, piggyback on AR properties that are popular with their audience, like Pokémon Go, as more AR-based games and applications emerge. Second, formulate bespoke, branded experiences. Fashion and beauty firms, for example, can let people digitally ‘try on’ clothes and cosmetics.

     

    6. AR augments the product trial process:

    Beauty group L’Oréal, has been exploring a number of technologies to offer greater utility and personalisation. Perhaps its most popular foray into this space to date is Makeup Genius, a mobile app that turns smartphone cameras into virtual mirrors enabling consumers to digitally ‘apply’ L’Oréal Paris products scanned in a store. The app has been downloaded more than 16 million times.

     

    7. AR offers greater scope for consumers to engage with campaigns:

    AR via mobile devices is likely to be significant for many marketers because it offers great scope for how, when and where consumers can engage with campaigns, branded collateral, packaging and product. It also opens the door to technology such as visual search. AR also relies on existing mobile behaviours that users are comfortable with, such as using the camera.

     

    8. Virtual ethnography offers a new insight tool:

    VR has significant potential as a research tool, particularly in the field of ethnography. Simplot, an Australian food manufacturer, combined VR with ethnography to inform product development and communications. The research approach adopted was to place 360-degree VR cameras in consumers’ kitchens; key stakeholders could then ‘walk into’ their customers’ homes and observe their preparation and interaction with food, just using a simple overlay on their smartphones.

     

    Virtual and Augmented Reality are one of six key trends featured in Warc’s Toolkit 2017. The annual report, produced in association with Deloitte Digital, brings together the best of Warc’s content over the past year – the latest ideas, research and examples.

     

     

  • Why & How AI will have greater impact than social media

     

    Warc, the global marketing intelligence service, concludes that Artificial Intelligence (AI), defined as the ability of computers to take on tasks that have previously required human intelligence to complete – such as speech recognition or interpreting data – will have a major impact on the marketing industry next year. More than the impact of the social media.

     

    Said David Tiltman, Warc’s Head of Content: “2017 looks set to be the year that many brands take their first steps in artificial intelligence. Machine learning is already being applied to programmatic trading – and we’ve seen brands like Aviva in the UK improve their media efficiencies as a result. The next major application looks set to be chatbots, as marketers look to respond to a consumers’ take-up of messaging apps.”

     

    The key insights identified where AI is expected to impact the marketing industry in 2017 are:

     

    1.    Immediate opportunities include advanced data analysis:

    Data mining and analysis that is normally done manually may be done quicker and better using AI. This can span business and consumer data, with AI potentially providing more informed outcomes.

    2.    Global CMOs are already planning their AI strategies:

    According to a survey by PR agency Weber Shandwick in association with KRC Research, nearly six in 10 (58%) global CMOs believe that, within the next five years, companies will need to compete in the AI space to succeed, and around seven in 10 (68%) say their organisations are already using or planning for business in the AI era.

    More than half (55%) of global CMOs expect AI to have a greater impact on marketing  and communications than social media ever had.

    3.    Chatbots will become key touchpoints for service brands:

    Chatbots are software programs designed to automate customer-to-company conversations. They use machine learning to help determine what the consumer’s question is, source a relevant answer and form a reply.

    4.    Marketers must consider the tone of voice of ‘branded conversations’:

    Brands will be keen to express their identities via chatbot technology. Language nuances, sentiment and the ability to hold conversations are the next short term nuances to be addressed.

    5.    Virtual assistants will change path-to-purchase strategies:

    ‘Programmatic consumption’ is the automation of brand choices. Rather than a consumer spend the time and effort selecting a product and placing an order, these are partially or fully automated – in other words, purchase decisions will increasingly be made by computers, rather than by consumers standing in shops.

    6.    Machine learning is being applied to automated trading:

    Machine learning is already used within certain areas of programmatic media trading, and this is expected to be a major growth area. For example, machine learning might help optimise campaigns based on what is working, or adapt campaign creative based on new information.

     

    Artificial Intelligence is one of six key trends featured in Warc’s Toolkit 2017. The report, produced in association with Deloitte Digital, brings together the best of Warc’s content over the past year – the latest ideas, research and examples. The result is a guide to current thinking in each area, and the implications for marketers. For more information and insights on Toolkit 2017, visit www.warc.com 

     

  • 6 key Marketing Trends for 2017

     

    By A Correspondent

     

    Warc, the global marketing intelligence service, has released Toolkit 2017, an annual examination of forthcoming challenges faced by marketers around the world. Produced in association with Deloitte Digital, the report identifies six topics which marketers will be looking to in the coming year.

     

    “We’ve reviewed the best of Warc’s content over the past year – the latest ideas, research and examples. The result is a comprehensive guide to current thinking and the implications for marketers going forward into 2017,” SAID David Tiltman, Head of Content at Warc.

     

    The six key marketing trends identified are:
    :: Tech: The marketing applications of Artificial Intelligence (AI)
    Data mining and analysis that is normally done manually, may be done faster, quicker and better using AI. As such, AI is predicted to have a major impact on the marketing industry with key areas being insight generation, chatbots, personal assistants and optimisation of media buying. Whilst the technology is still emerging, one study found that 55% of global CMOs expect AI to have a greater impact on marketing and communications than social media.

     

    :: Brand Experience: The emerging roles of Virtual Reality (VR) and Augmented Reality (AR)

    As the advertising marketplace becomes more cluttered and young consumers opt out of receiving marketing messages, brand experiences that cut through, such as VR and AR, are increasingly valuable. After years of promise, VR is becoming a viable mainstream marketing tool which focuses on experience and emotional engagement.

    In the wake of Pokémon Go, there are a number of emerging opportunities in AR in particular around product trial and utility.

     

    :: Content: How video is transforming social

    Social video is experiencing massive growth as a content marketing format and is turning social platforms into broadcast media. Brands are finding success with approaches that prioritise quality over quantity, consider emotional and social motivations for content engagement, and focus on a three-second window of opportunity to grab consumers’ attention. A growing number of brands are also experimenting with live video for content that is exclusive, newsworthy or requires live audience involvement. But video measurement will be a major challenge in 2017.

     

    :: Social: The rise of ‘Dark Social’ and messaging apps

    The rise of chat or mobile-focused messenger apps such as WhatsApp, Facebook Messenger or WeChat is fuelling the rise of ‘dark social’ – conversations that are not trackable by marketers. This has two implications: brands may be missing out on insights into their brand or category, and chat apps are moving social marketing towards conversations.

     

    :: E-Commerce: The direct-to-consumer opportunity

    Low-cost startups have disrupted established business models with customer-centric, online businesses. Innovative apps, subscription services and engaging branded social platforms have encouraged impulse purchases and trials with seamless transactions and personalised experiences. The challenge for established brands is responding to these new models as they look to increase direct-to-consumer opportunities. The coming year is likely to be an area of considerable experimentation.

     

    :: ROI: Effectiveness in the digital age

    Major FMCG advertisers are beginning to focus more on mass reach using traditional media to drive sales growth versus close targeting via digital channels. In addition, fresh research this year has suggested that brands are overinvesting in short-term ‘activation’ media, undermining the impact of creativity and harming long-term effectiveness. Meanwhile, media platforms are racing to prove the effectiveness of their channel. With budgets under ongoing pressure, more studies of this sort can be expected in 2017.

     

    Summing up, Jason Warnes, Digital Marketing Partner of Deloitte Digital, said: “As the pressure to improve marketing performance continues, the three key challenges I see for 2017 are: how clients will optimise their marketing experience; how can they use marketing technology to automate and personalise their customer experience; and how can they use disruption to define, develop and rapidly deploy new services and experiences to improve customer experience.”

     

    The Toolkit 2017 executive summary by Warc in association with Deloitte Digital, is now available on warc.com.

     

     

  • Indian adspends to increase 13.4% as global spends to slow next year: Warc

     

    By A Correspondent

     

    India is expected to see the strongest annual rise in adspend this year, up 13.3%, with a similar rate of growth anticipated next year (13.4%).  The latest Consensus Ad Forecast from Warc, the marketing intelligence service, indicates that global advertising spend will rise by 4.5% during 2016 as a whole, before the growth rate slows to 4.2% in 2017.  With the exception of newspapers and magazines, all major media channels are expected to record adspend growth this year and next. However, the two largest, TV (+1.1%) and internet (+13.0%) are forecast to see their growth rate ease during 2017. The same is true for mobile, though it is still set to be the fastest-growing ad channel over the period.

     

    Warc’s Consensus Ad Forecast is based on a weighted average of adspend predictions at current prices from ad agencies, media monitoring companies, analysts, Warc’s own team and other industry bodies. Current sources include Carat, eMarketer, GroupM, Magna Global, Nikkei Advertising Research Institute (NARI), Pitch-Madison, Pivotal Research Group and ZenithOptimedia.

     

    All 13 markets covered in the report are forecast to see the amount invested in advertising rise both this year and next, though for eight of these the growth rate will be softer in 2017.

     

    The world’s largest ad market, the US, is expected to post adspend growth of 5.1% this year – buoyed by the presidential election campaigns and the Rio Olympics. US adspend growth is then forecast to cool next year – rising by 2.8% – as the impact of these events is lost.

     

    Adspend growth by country

     

    2016 vs 2015 year-on-year % change 2017 vs 2016year-on-year % change
    India 13.3 13.4
    China 7.8 7.1
    Russia 5.8 6.1
    Spain 5.8 5.2
    UK 5.6 4.3
    US 5.1 2.8
    Australia 3.8 3.8
    Brazil 3.3 2.1
    Italy 2.8 1.6
    Germany 2.1 1.8
    Canada 2.0 2.4
    Japan 1.7 1.7
    France 1.3 0.8
    Global 4.5 4.2

    Source: Warc’s Consensus Ad Forecast, November 2016 (www.warc.com)

     

    Despite the uncertainty surrounding the “Brexit” process by which the UK will leave the European Union in 2017, the nation’s ad market is forecast to record adspend growth of 5.6% this year and 4.3% next; both above the global respective rates.

     

    All four BRIC markets, India (+13.4%), China (+7.1%), Russia (+6.1%) and Brazil (+2.1%), are expected to post rises in ad expenditure this year and next. France is forecast to record muted growth of +0.8% in 2017, the softest rate of the 13 markets studied.

     

    All media, barring newspapers and magazines, are predicted to record year-on-year growth in 2017, with mobile expected to see the greatest adspend rise, up 34.2%. Total internet (including mobile) growth is expected to be 13.0% next year, while TV, the world’s largest ad channel by spend, is forecast to post growth of 1.1%.

     

    Global adspend growth by medium

     

    2016 vs 2015 
    year-on-year % change

    2017 vs 2016
    year-on-year % change

    Mobile

    47.1

    34.2

    Internet

    14.6

    13.0

    Out of home

    3.4

    3.2

    Cinema

    3.1

    5.1

    TV

    2.8

    1.1

    Radio

    0.4

    0.3

    Magazines

    -5.9

    -4.5

    Newspapers

    -8.0

    -6.1

    Source: Warc’s Consensus Ad Forecast, November 2016 (www.warc.com)

     

    Said James McDonald, Senior Research Analyst at Warc: “The latest consensus results present a positive outlook for advertising investment at both a global and local level. All 13 markets studied are expected to record adspend growth in the short term, and this despite their contrasting socio-economic environments.”

     

    “We have identified a common trend among more mature markets whereby increasing investment in internet – particularly mobile – ad formats is driving headline growth. Applying consensus trends to Warc’s adspend data shows that mobile will grow to be the world’s third-largest ad channel by the end of 2016.”

     

    Indian adspend growth by medium

     

    2016 vs 2015
    year-on-year % change

    2017 vs 2016
    year-on-year % change

    Mobile

    62.9

    56.9

    Internet

    32.7

    32.7

    Out of home

    10.6

    10.3

    Cinema

    18.2

    15.6

    TV

    12.9

    12.2

    Radio

    12.8

    15.8

    Magazines

    -1.3

    -2.3

    Newspapers

    10.3

    9.6

    Source: Warc’s Consensus Ad Forecast, November 2016 (www.warc.com)

     

     

  • Warc ranks MediaCom, Mumbai among Top 10 in the world

    By A Correspondent

     

    In its annual ranking of the world’s 100 best campaigns and companies, the WARC 100 has declared MediaCom, Mumbai as one of the top 10 media agencies in the world based on performance in effectiveness and strategy impact for their clients.

     

    The agency has earned the 8th position in the ‘top media agency’ global list, up from from its 32nd position last year.

     

    Debraj Tripathy

    Commenting on the achievement, Debraj Tripathy, Managing Director, MediaCom India  said, “2015 was a remarkable year for the agency with a lot of interesting campaigns, awards and client accolades. The recognition by WARC has further motivated us to raise the bar and set new benchmarks in the industry. We will continue to deliver the best for our clients and achieve more milestones.”

     

    This is yet another well deserved honor for the entire team at MediaCom which has won and celebrated its recent success with Cannes, M&M global, Festival Of Media, Ad Club Emvies and Goa Fest Media Abby & Dragons Of Asia awards to its name in 2015.

     

  • Warc rates MullenLowe Group India top creative agency, again

    By A Correspondent

     

    The WARC 100, an annual ranking of the world’s 100 best campaigns and companies based on their performance in effectiveness and strategy competitions, has named MullenLowe Lintas Group, India the top creative agency in the world. The agency is the first to claim the number one position for two consecutive years. Following at number two is Droga5, NYC with Ogilvy, NYC being ranked number three. Additionally, the MullenLowe Group global network has retained its 4th place position as Top Creative Network for the second year in a row.

     

    The WARC 100 study focuses on marketing that makes a difference, driving business performance or changing consumer behaviour, and the rankings are compiled from over 2,200 winning campaigns from 87 different global competitions.

     

    Joseph George

    Commenting on the achievement, Joseph George, Group CEO, MullenLowe Lintas Group said, “2015 was a milestone year for the agency with over 60 awards for creative effectiveness alone. This year too began well for us, being declared the Agency of the Year at Effies India this January. And now this WARC 100 recognition 2 years in a row further demonstrates the primacy of delivering ROI for our clients as our singular pursuit, as indeed in our belief in the type of work we want to deliver for our clients.”

     

    Adding to its list of achievements, of the three campaigns that have been selected from India in the Top 20, two of them were from MullenLowe Lintas Group. ‘Kan Khajura Tesan’, which was ranked number one last year remained in the rankings at number nine this year while Idea Cellular’s campaign ‘No Ullu Banaoing’ was ranked number 17. Havells Appliances ‘Respect Women’ also managed to find a place in the table as it was ranked number 25 in the list.

     

    The above recognition builds on the recent success that has been witnessed by Mullen Lowe Lintas Group which has a host of accolades against its name including Agency of the Year 2015 by Effie India, the Most Effective Agency in APAC by Effie Effectiveness Index, The Agency of the Year – AMES 2015, The Agency of the Year – U&AP Awards 2015, Runner-up International Agency of the Year by Ad Age and also put up India’s best ever performance at the Jay Chiat Awards twice in two years.

     

    The WARC 100 is a ranking of advertising and marketing campaigns that have worked. WARC tracks advertising competitions around the world – all of which require entrants to show the business impact of a campaign, rather than solely recognizing the campaign’s creativity.

     

  • No Ullu Banoing this. Lowe bags Warc Grand Prix award for Idea

     

    By A Correspondent

     

    There was no hooting like we have in the Effies and the Emvies and also the Abby and Kyoorius. There were no men in black from Ogilvy. And even when the grand cash prize of USD 5000 (Rs 3 lakh-plus) was given away, there were just some loud claps.

     

    But, then, it was a closed door affair. Playing host to the evening was Madhukar Kamath and his team from DDB Mudra in Mumbai. It was held in the reasonably large hall on the sixth floor of Mudra House. There were plenty of nibbles and assorted liquids that you could just pick up.

     

    There were many reasons to celebrate the evening. For, as the market is getting tougher and advertising needs to deliver, the emphasis is on how strategy can work for your client.

     

    The Warc Prize for Asian Strategy celebrates the very best in strategic marketing in Asia. Entries are judged on the quality of strategic thinking and the results it delivers.

     

    More than 135 campaigns from across the region entered the 2015 Prize, with half of the shortlisted entries hailing from India.

     

    Entries were judged by a panel of senior marketers and agency-side strategy experts, chaired by BV Pradeep, Unilever’s global vice-president of consumer and market insight.

     

    A campaign for telecom major Idea Cellular won the Grand Prix at the Warc Prize for Asian Strategy awards.

     

    “Idea Cellular’s campaign ‘No ULLU Banoing’ was outstanding because it was based on a powerful and universal cultural insight that worked across the whole of India, across urban and rural populations and across socio-economic classes. The strategy expanded the market, strengthened brand equity and drove growth of sales revenues. To achieve all three deliverables with one campaign was really amazing,” said Pradeep in a statement.

     

    Seventeen campaigns from across the region picked up gold, silver and bronze awards at the Prize event in Mumbai. Five award-winning campaigns came from India with work from Bangladesh, China, Hong Kong, Singapore, Vietnam and the Philippines also represented in the prize list. The Grand Prix, as we mentioned earlier, went with a $5,000 cash prize. Five other entries won Special Awards, each worth $1,000.

     

    The full list of winners can be viewed on the Prize website, www.warc.com/asiaprize, but we also have them here. A visit to the Warc site is recommended where you can get a look at the shortlisted stuff, some even without a paid subscription.

     

    Winning entries (Agency / Client / Market of Origin)

    Cash prize winners

     

    Grand Prix ($5,000 cash prize)

    Idea Cellular: The ‘fool-proof’ internet service
    (Mullen Lowe Lintas Group India / Aditya Birla Group / India)

     

    Market Pioneer Special Award ($1,000 cash prize)

    Government of People’s Republic of Bangladesh: Anti-urinal campaign ‘language matters’
    (Grey Advertising Bangladesh / Ministry of Religious Affairs Bangladesh / Bangladesh)

     

    Research Excellence Special Award ($1,000 cash prize)

    Visa: Get Lost challenge
    (BBDO China; Proximity China; OMD China / Visa China / China)

     

    Channel Thinking Special Award ($1,000 cash prize)

    MasterCard: The Priceless Engine
    (TBWA\Digital Arts Network, Carat / MasterCard / Singapore)

     

    Local Hero Special Award ($1,000 cash prize)

    Havells: A woman is not a home appliance
    (Mullen Lowe Lintas Group India / Havells India / India)

     

    Asia First Special Award ($1,000 cash prize)

    Whisper: Touch the pickle
    (BBDO India / Whisper / India)

    Regional winners: Multi-Market

     

    Silver

    MasterCard: The Priceless Engine
    (TBWA\Digital Arts Network, Carat / MasterCard / Singapore)

    Regional winners: East Asia

     

    Gold

    Visa: Get Lost challenge
    (BBDO China; Proximity China; OMD China / Visa China / China)

     

    Silver

    Volkswagen: Project Polo – turning probationary drivers into professional ones
    (DDB Group Hong Kong / Volkswagen Hong Kong / Hong Kong)

     

    Bronze

    McDonald’s Hong Kong: Repairing a relationship in 12 weeks
    (DDB Group Hong Kong / McDonald’s Hong Kong / Hong Kong)

    Bronze

    AIDS Concern: Can coffee melt stigma?
    (TBWA Hong Kong / AIDS Concern / Hong Kong)

    Regional winners: South Asia

     

    Gold

    Idea Cellular: The ‘fool-proof’ internet service
    (Mullen Lowe Lintas Group India / Aditya Birla Group / India)

     

    Gold

    Government of People’s Republic of Bangladesh: Anti-urinal campaign ‘language matters’
    (Grey Advertising Bangladesh / Ministry of Religious Affairs Bangladesh / Bangladesh)

     

    Gold

    Whisper: Touch the pickle
    (BBDO India / Whisper / India)

     

    Silver

    Voluntary Compliance Encouragement Scheme: A crash course in recovering taxes from stubborn defaulters
    (McCann Worldgroup / Government of India / India)

    Silver

    Havells: A woman is not a home appliance
    (Mullen Lowe Lintas Group India / Havells India / India)

     

    Bronze

    Mawbima: The newspaper that stopped dengue in its tracks
    (Leo Burnett Solutions / Ceylon Newspapers / Sri Lanka)

     

    Bronze

    Tata Tea: From packaged good to packaging good
    (Mullen Lowe Lintas Group India / Tata Global Beverages / India)

     

     

    Regional winners: Southeast Asia

     

    Silver

    CebuanaLhuillier: Re-meet
    (Ace Saatchi & Saatchi / CebuanaLhuillier / Philippines)

     

    Bronze

    OMO: Reunion champions
    (Lowe + Partners / Unilever / Vietnam)

     

    Bronze

    Tiger Beer: How a brand that had lost its way found its way home
    (BBDO Singapore / Asia Pacific Breweries / Singapore)

     

    Bronze

    McDonald’s Singapore: Wake me up before you go go… for breakfast
    (DDB Group Singapore / McDonald’s Singapore / Singapore)

     

    Bronze

    IKEA: 2015 Bookbooklaunch
    (BBH / IKEA / Singapore)