Be Afraid Of The Marketing Gospel
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BE AFRAID OF THE
MARKETING GOSPEL
By Nigel Rahimpour, Planni
ng Director
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FOREWORD
This Presenta=on Dispels Today's Popular, But Baseless Marke=ng Myths And Provides A Path Forward
To Brand Salience And Growth Supported By Marke=ng Science.
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MARKETING GURUS HAVE BEEN SAYING FOR YEARS:
“People want to interact with brands” “People want to join brands”
“People seek rela6onships with brands”
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HOWEVER, A RECENT FORRESTER STUDY SUGGESTS:
Source: Forrester Q1 2014 US Top 50 Brands Social WebTrack
“People don’t engage with branded social content very o;en”
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% OF BRAND FANS INTERACTING WITH BRAND POSTS:
FACEBOOK TWITTER
0.7% 0.3%
Source: Forrester Q1 2014 US Top 50 Brands Social WebTrack
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AGAIN, THESE ARE NOT RANDOM PEOPLE, BUT SO-‐CALLED BRAND FANS
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= % of Facebook fans who interact with posts of the brand they are
fans of
THE DISMAL INTERACTION RATES ARE CONFIRMED BY THE EHRENBERG INSTITUTE
0.5%
Source: Facebook fans: A fan for life? Karen Nelson – Field and Jennifer Taylor
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PASSION BRANDS DON’T FARE MUCH BETTER
Source: Facebook fans: A fan for life? Karen Nelson – Field and Jennifer Taylor
Even Facebook fans don’t talk much about Facebook
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PART OF THE PROBLEM IS THAT MARKETING TREATS SOCIAL CHANNELS LIKE PAID MEDIA
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This app shows you how to turn a Corona Upside Down to make the PERFECT beer.
A LOT OF WHAT IS CREATED DOESN’T
MAP BACK TO REAL LIFE
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“Almost every app built for a brand on Facebook has NO usage. Heavy, immersive experiences are NOT how people engage and interact with brands.” Paul Adams, Facebook’s Ex-‐Global Head Of Brand Design
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Source: Google
PEOPLE HAVE BIGGER INTERESTS THAN BRANDS The World’s Top 10 Searches Do Not Include A Single Brand
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Source: Meaningful Brands, Havas Media Group
IN EUROPE AND THE US, PEOPLE WOULD NOT CARE IF 92% OF BRANDS DISAPPEARED
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77% OF CONSUMERS ADMIT THEY HAVE
NO RELATIONSHIP WITH A BRAND
Source: Corporate Execu=ve Board
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77% OF CONSUMERS ADMIT THEY HAVE
NO RELATIONSHIP WITH A BRAND
“MOST OF US GO THROUGH LIFE FINDING IT HARD
ENOUGH TO HAVE GOOD
RELATIONSHIPS WITH THE REAL PEOPLE IN
OUR LIFE, LET ALONE ALL THE BRANDS WE BUY.” Bruce McColl, chief marke=ng officer of Mars
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Source: Byron Sharp “How Brands Grow”
BRAND LOYALTY TENDS TO BE POLYGAMOUS
“Buyers typically have a number of brands they rou6nely buy”
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HALF THE PEOPLE WHO DESCRIBED THEMSELVES AS
BRAND LOYAL WERE NOT LOYAL A YEAR LATER
Source: NPD Group
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Source: Byron Sharp “How Brands Grow” TNS UK
72% OF PEPSI USERS ALSO BUY COKE
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Source: TNS UK
72% OF PEPSI USERS ALSO BUY COKE
Source: Byron Sharp “How Brands Grow” TNS UK
37% OF HÄAGEN DAZS CUSTOMERS
ALSO BUY CARTE D’OR
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WHAT WE LEARN ARE THREE THINGS:
1. Deep brand engagement is not a mass-‐market occurrence, but an occupa=on of the few.
2. Heavy, =me-‐intensive brand experiences have liile in common with the way people want to use brands.
3. Simply assuming that people want to engage with brands is a recipe for failure.
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ACCEPTING THAT PEOPLE DON’T CARE MUCH ABOUT BRANDS MIGHT SERVE US BETTER!
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IT WILL RAISE THE CREATIVE BAR
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AS THESE BRANDS HAVE DONE
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THEY SHOT FOR
FAME
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SINCE CAMPAIGNS THAT TARGET FAME ACHIEVE LARGER BUSINESS EFFECTS
% repor9ng very large effects on: Sales Market share Profit Penetra=on Loyalty Price sensi=vity
Campaigns aiming to build brand fame
55% (+)
40 (++)
28%
35%
16% (+) 6%
Campaigns aiming to build brand awareness
51%
34%
22%
31%
8% (-‐) 4%
Source: Marke=ng in the era of accountability, 2008
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THEY TOOK INTEREST IN WHAT PEOPLE ARE INTERESTED IN…
(As opposed to the other way around)
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DEVELOPED HIGHLY EMOTIVE CONTENT, (As opposed to highly func=onal)
Source: Karen Nelson-‐Field “Viral Marke=ng – The Science Of Sharing”
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BECAUSE CREATIVE THAT ELICITS HIGH AROUSAL EMOTIONS GAINS TWICE AS MUCH SHARING
Source: Karen Nelson-‐Field “Viral Marke=ng – The Science Of Sharing”
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THEY MADE IT EASY TO INTERACT WITH… (As opposed to heavy & complicated)
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AS MOST PEOPLE’S PARTICIPATION IS “EASY” (i.e. sharing photos, checking news, watching video)
Source: BBC Online Spring Briefing May 2012
Friends, family & photos TV, Entertainment, Lifestyle
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THEY GAVE IT STRONG PAID MEDIA SUPPORT (As opposed to hoping it will be discovered)
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BECAUSE CONTENT VIEWED BY FEW PEOPLE CAN’T BE SHARED BY MANY
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AFTER ALL, 90% OF VIEWERS DON’T SHARE
Source: Karen Nelson-‐Field “Viral Marke=ng – The Science Of Sharing”
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Source: Karen Nelson-‐Field “Viral Marke=ng – The Science Of Sharing”
HITTING THE RIGHT TARGET IS ESSENTIAL
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20 16 12 8 4 0
1 2 3 4 . . . . . . . . . . . . . . . . . . . . . . . . . . 50
Percentage of Coke buyers buying Coke X =mes in the U.S.
Number of purchases
Source: Nielsen USA from Karen Nelson-‐Field “Viral Marke=ng – The Science Of Sharing”
LIGHT BUYERS MATTER FOR BRAND GROWTH
Light Buyers’ impact on sales
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50 38 25 13 0
1 2 3 4 5 6 . . . . . 12 . . . . . . . . . . .
Percentage of Kellogg’s Special K buyers buying Kellogg’s Special K X =mes in the U.K.
Number of purchases
THIS IS PROVEN ACROSS CATEGORIES
Source: Kantar WorldPanel UK from Karen Nelson-‐Field “Viral Marke=ng – The Science Of Sharing”
Light Buyers’ impact on sales
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12.500
9.375
6.250
3.125 0
1 2 3 4 5 6 7 8 9
Number (millions) of Pantene buyers buying Pantene X =mes in the U.S.
Number of purchases
EVEN FOR HAIR CARE
-‐ -‐ -‐ -‐ -‐ -‐
Source: John Dawes Panel Data provided by Mar=n Weigel Canalside
Light Buyers’ impact on sales
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Source: Karen Nelson-‐Field “Viral Marke=ng – The Science Of Sharing”
LIGHT BUYERS ARE LESS LIKELY TO BE FOUND ON BRAND SITES, WHICH HEAVY BUYERS DOMINATE
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THIS IS WHY SUCCESSFUL BRANDS ADVERTISE BEYOND OWNED CHANNELS
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IN CREATIVELY POPULIST WAYS…
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WITH THE GOAL OF BUILDING NEW AND REINFORCING OLD MEMORY STRUCTURES…
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IT’S ALL PART OF A BIGGER PLAN TO DRIVE MENTAL AVAILABILITY, WHICH IS KEY TO
GROWING MARKET SHARE
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THIS IS DONE THROUGH STRONG INCREASES IN PENETRATION, NOT LOYALTY
Source: Byron Sharp “How Brands Grow”, TNS UK
Detergent Brands Market Share % Annual Market Penetra9on %
Purchase Frequency (Avg.)
Persil 22 41 3.9
Ariel 14 26 3.9
Bold 10 19 3.8
Daz 9 17 3.7
Surf 8 17 3.4
Average 3.7
Purchase frequency does not vary much between the top and boiom brand. But penetra=on does, which is what drives market share!
Purchase frequency doesn’t vary much Penetra=on varies a lot
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Source: Byron Sharp “How Brands Grow”, TNS UK, Nielsen USA
AS SEEN ACROSS CATEGORIES I.E. SHAMPOO U.S.
Purchase frequency does not vary much between the top and boiom brand. But penetra=on does, which is what drives market share!
Shampoo Brands Market Share % Annual Market Penetra9on %
Purchase Frequency (Avg)
Suave Naturals 12 19 2.0
Pantene Pro-‐V 10 16 1.9
Alberto VO5 6 11 1.6
Garnier Fruc=s 5 9 1.7
Dove 4 8 1.5
Finesse 1 2 1.4
Average 1.7
Purchase frequency doesn’t vary much Penetra=on varies a lot
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Source: Byron Sharp “How Brands Grow”, TNS UK, Nielsen USA
…AND COUNTRIES : I.E. SHAMPOO U.K. Purchase frequency does not vary much between the top and boiom
brand. But penetra=on does, which is what drives market share!
Shampoo Brands Market Share % Annual Market Penetra9on %
Purchase Frequency (Avg)
Head & Shoulders 11 13 2.3
Pantene 9 11 2.3
Herbal Essences 5 8 1.8
L’Oreal Elvive 5 8 1.9
Dove 5 9 1.6
Sunsilk 5 8 1.7
Vosene 2 3 1.7
Average 1.9
Purchase frequency doesn’t vary much Penetra=on varies a lot
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BOTTOM LINE:
YOUR BRAND’S HEALTH DEPENDS ON
LOTS OF PEOPLE WHO DON’T KNOW YOU WELL, DON’T THINK OF YOU MUCH AND DON’T BUY YOU OFTEN,
IF AT ALL.
Mar6n Weigel
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REACHING ALL BUYERS IS VITAL.
TO INCREASE AND MAINTAIN BRAND GROWTH, LIGHT & NON-‐BUYERS MATTER, NOT JUST LOYALS.
SHOOT FOR FAME AND USE HIGHLY EMOTIVE CONTENT BASED ON PEOPLE’S INTERESTS,
THAT IS EASY TO INTERACT WITH, BACKED BY A STRONG MEDIA-‐BUY AND DISTRIBUTED FAR BEYOND
BRAND COMMUNITIES.