WHAT IT MEANS FOR BRANDS TODAYd24wuq6o951i2g.cloudfront.net/img/events/3411530/assets/... ·...
Transcript of WHAT IT MEANS FOR BRANDS TODAYd24wuq6o951i2g.cloudfront.net/img/events/3411530/assets/... ·...
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WHAT IT MEANS FOR BRANDS TODAY
CANADA
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Brands Are Becoming More Involved In Culture
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As An Industry, We Need To Learn More About…
Consumer Perspectives On Brand Involvement With Culture
What Steps Brands Can Take To Become More Relevant Today
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We Did Some Preliminary Research
• 4 webcam-based mini-groups were conducted for online discussion (90 min each)
• Pre-group assignment to find a digital ad they thought was culturally relevant, which were shown and discussed in the groups
What
• Brands that are culturally relevant are brands that align well with cultural events, promote trends that define today’s culture, and support social issues that benefit everyone*
Findings
• How should we define culture from a consumer’s point of view?
• How do consumers think about culture in relation to the brands they interact with?
Why
4*Brand cultural relevance defined in survey as having an impact on ideas, views, or behaviors in society. Preliminary research was conducted in the US.
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Next, We Used A Two Pronged Research Approach
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Objective: Measure the branding impact of culture focused strategies
Method: Mobile testing on MAGNA’s Twitter app
1 2Objective: Uncover what consumers think about brands’ involvement in culture
Method: Online survey
Survey on Brands + Culture
Ad Effectiveness Testing
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Consumer POVBrands + Culture
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There’s Much More To Culture Than You’d Think
*In addition to traditional culture, 81% of consumers think of culture as pop culture and current affairs.Canada general population, n=398Q: When you think about culture in your own life, what comes to mind? Select all that apply.
When You Think About Culture In Your Own Life, What Comes To Mind?
67%
62%
56%52%
43%
38%
56%
43%
31% 31%
26%
11%
25% 25%21%
Trad
ition
s
Fam
ily/H
erita
ge
Cui
sine
Lang
uag
e
Cel
ebra
tions
Rel
igio
n
Mus
ic
Art
s
Tv/M
ovie
s
Fash
ion
Soci
al T
rend
s
Cel
ebs
Spor
ts
Cur
rent
Eve
nts
Pol
itics
Traditional Culture Pop Culture Current Affairs
7
% A
gre
e
81% of consumers think of culture as being more than just traditional
culture.*
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Consumers Think It’s Important For Brands To Be Involved, Particularly In Social Issues. Events & Trends Are Table Stakes
Canada general population, n=398Q: How important is it for a brand to be involved in each of the following? 8
Importance Of Brand Involvement In Culture - % Very Important/Important
Social Issues & Movements Includes social movements such as gender equality and fair trade
Events & Trends Includes pop culture events such as the Oscars or the Super Bowl, as well as smaller cultural events, such as #TacoTuesday or National Dog Day
37%
51%
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There’s A Desire For Brand Involvement In What Consumers Are Most Passionate About
*Includes pop culture events such as the Oscars or the Super Bowl, as well as smaller cultural events like #TacoTuesday or National Dog Day**Includes social movements such as gender equality and fair tradeCanada general population, n=398 | Q: How passionate are you in following cultural events, trends, and issues? 9
Passion for Cultural Events, Trends & Issues - % Very Passionate/Passionate
Social Issues & Movements**
Events & Trends* 30%
43%
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Consumers Also Feel More Informed About Social Issues
*Includes pop culture events such as the Oscars or the Super Bowl, as well as smaller cultural events like #TacoTuesday or National Dog Day**Includes social movements such as gender equality and fair tradeCanada general population, n=398Q: How informed are you when it comes to events, trends or issues relevant to culture? 10
Informed on Cultural Events, Trends & Issues - % Very Informed/Informed
48%Social Issues & Movements**
Events & Trends*40%
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Emerging Generations Feel Even More Strongly About Brand Involvement
Canada general population, n=398, Canada A18-35, n=120Q: How important is it for a brand to be involved in each of the following?Q: How passionate are you in following cultural events, trends, and issues?Q: How informed are you when it comes to events, trends or issues relevant to culture?
Perceptions of Cultural Events, Trends & Issues - Adults 18-35, Indexed
127
158
136
106
128
117
Importance Passion Informed Importance Passion Informed
A18-35 INDEXED TO GEN POP
11
Events & Trends Social Issues & Movements
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Among The Young, Twitter Users Are Particularly Ardent About Brand Involvement
Canada A18-35, n=120, Twitter users 18-35, n= 91Q: How important is it for a brand to be involved in each of the following? Q: How passionate are you in following cultural events, trends, and issues?Q: How informed are you when it comes to events, trends or issues relevant to culture?
Perceptions of Cultural Events, Trends & Issues -Twitter Users 18-35, Indexed
112116 116 117 117
112
Importance Passion Informed Importance Passion Informed
Twitter Users A18-35 Indexed to Gen Pop A18-35
12
Events & Trends Social Issues & Movements
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Many Ways Brands Can Become Culturally Relevant – But ‘Giving Back’ Is Key
*e.g. Race, gender**e.g. Organic foods, natural***e.g. Super Bowl, OscarsCanada general population, n=398Q: In your opinion, what can a brand do to become more culturally relevant?
Ways Brands Can Become More Culturally Relevant - % Strongly Agree/Agree
Give to community, 63%
Support social issues that benefit everyone, 60%
Donate to charity, 48%
Puts customers first, 54% Be transparent, 51%
Be inclusive of all types of people*, 61%
Create innovative products, 39%
Keep up-to-date with consumer trends**, 39%
Sponsor cultural events***, 28%
Have celebrity endorsements, 14%
Philanthropy Know Your Customers
Stay Current
What about the U.S.?Canadians value
inclusivity even more than those in the U.S., where just 50% cite it.
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Twitter Users Believe Innovation Is Key
*e.g. Race, gender**e.g. Organic foods, natural***e.g. Super Bowl, OscarsCanada general population, n=398, Twitter users, n=205Q: In your opinion, what can a brand do to become more culturally relevant?
Ways Brands Can Become More Culturally Relevant - (Twitter Users – Gen Pop)
Give back to community, -2%
Support social issues that benefit everyone, +1%
Donate to charity, -2%
Puts customers first, +6%
Be transparent, +9%
Be inclusive of all types of people*, -1%
Create innovative products, +13%
Keep up-to-date with consumer trends**, +14%
Sponsor cultural events***, +5%
Have celebrity endorsements, +4%
Philanthropy
Know Your Customers
Stay Current
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Fringe BenefitsWhat’s the impact for brands?
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Brand Involvement
in Culture
To Understand What Consumers Value Most When Making Purchases…
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We asked consumers to rank a range of attributes based on…
Price & Quality
Brand Perceptions*
*Brand Perceptions: Brands that are… premium, popular, trendy, innovative, modern, authentic, traditional, top rated, have a good reputation.
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When It Comes To Making Purchase Decisions, Being Involved In Culture Is Surprisingly ImportantInfluence on Purchase Decisions -Relative Importance (%)
17Canada general population, n=398Q: When you purchase a product/service, there are many factors that can influence your purchase decision. Please select your most preferred and least preferred feature for each category below:*Brand Perceptions: Brands that are… premium, popular, trendy, innovative, modern, authentic, traditional, top rated, have a good reputation.
Being involved in culture is nearly
as important as having positive
brand perceptions
Brand Cultural InvolvementBrand Perceptions*Price and Quality
46%
24%
30%
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Support Of Social Issues & Movements Have The Most Impact When Making Purchasing Decisions
Canada general population, n=398Q: When you purchase a product/service, there are many factors that can influence your purchase decision. Please select your most preferred and least preferred feature for each category below:Rankings are between 1-10 and account for people’s overall preference for a feature as well as the features’ overall importance 18
Influence of Types of Cultural Involvement on Purchase Decision - Importance Ranking
Brands That Sponsor Cultural Events (e.g. Super Bowl)
Brands That Promote Trends That Define Today's Culture
(e.g. Organic Foods, Natural Beauty)
Brands That Support Social Issues That Benefit Everyone
(e.g. Gender Equality, Fair Trade)
1.24 1.780.73
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What Are The Key Factors That Make Up An Optimal Brand?
*e.g. gender equality, fair tradeCanada general population, n=398Rankings are between 1-10 and account for people’s overall preference for a feature as well as the features’ overall importance 19
Top Attributes for Strongest Influence on Purchase Decisions - Importance Ranking
1.781.97 2.06
2.29
3.6
Social Issues & Movements*
Top Rated Authentic Good Reputation Moderately priced with some premium
benefits
Brand Cultural Involvement
Brand Perceptions Price & Quality
The optimal brand supports social issues, is authentic, and is moderately priced with premium benefits.
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Consumers Prefer Brands That Are Culturally Relevant
Canada general population, n=398, Canada Twitter users, n=205, Canada A18-35, n=120Q: How would you describe [insert brand] based on the below? 20
“Is A Brand I Prefer” by Cultural Relevance - % Agree
27%
40% 39%41%
47%
57%
General Population Twitter Users A18-35
Low Cultural Relevance (Bottom 1/3 Of Brands)High Cultural Relevance (Top 1/3 Of Brands)
Brand IndexConsumers were randomized to rate brand perceptions, including cultural relevance, for 12 brands
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Opportunities In Each Category To Be Culturally Relevant
Canada general population, n=398Q: How culturally relevant would you consider each of the following brands? 21
Range of Cultural Relevance by Vertical - % Strongly Agree/Agree
0%
20%
40%
60%
QSR Auto CPGApparel
20%23%
49%
35% 34%
16%
32%
18%
Most opportunity to stand out in the CPG category
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Ad EffectivenessCulture at Work for your Brand
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PSA
We Tested Three Types Of Video Ads
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Standard Ads Culture Focused AdsControl Ad
• Typical ad• Product-centric• Appeals to individual
• Atypical ad• Culture-centric• Appeals to community/society• Integrates current events, trends, & issues
• Public Service Announcement• Allows measurement on brand
perceptions among those not exposed to the test ad
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Ad Effectiveness Testing/Media Experience
Personal Twitter Feed
Participants logged into their own Twitter page and saw real time
content from their feed, along with 2 test ads: 15 sec promoted video and
15 sec skippable pre-roll
Skippable Pre-roll On Premium Websites
Participants selected which content they wanted to watch.
Participants could skip the 15 sec video after 5 seconds
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Ads From A Range Of Industries Were Included
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Quick Service Restaurants
Auto
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Cultural Ads Work Harder, But It Takes Time To Convey The Message
Viewable is defined as in-view for 3+ seconds.All Platforms: Standard Ads n=361; Culture Ads n=359; 50% Complete -Standard Ads n=225; Culture Ads n=186↑ = Statistically significant difference between test groups at >=90% confidence 26
Impact of Ad Strategy by Completion Rate - % Agree
65%
59%
67%61%
-4%
6%
16%
26%
36%
46%
56%
66%
76%
Brand Favorability Purchase Intent
Standard Ads Culture Focused Ads
Any Viewable Impression
64%
56%
72%↑
66%↑
-4%
6%
16%
26%
36%
46%
56%
66%
76%
Brand Favorability Purchase Intent
50%+ Completion Rate
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Even The Least Culturally Relevant Brand Made Great Strides
Least Culturally Relevant Brand (50%+ Complete): Standard Ads n=116; Culture Ads n=80↑ = Statistically significant difference between test groups at >=90% confidence 27
Impact for Least Culturally Relevant Brand (50%+ Completion Rate) - % Agree
18%
28%↑
Brand Favourability
Standard Ads Culture Focused Ads
14%
23%↑
Purchase Intent
32%
46%↑
Is a brand I prefer
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Inclusivity And Charity Are Strong Ways To Become Culturally Relevant
Q: What about the tweet was relevant to events, trends, or social issues happening in today’s culture? 28
Consumer Opinions on Culturally Relevant Tweets
“The brand lending a hand […] is praise worthy.”
“They give back to things that matter.”
Charitable
“The language that was used was very current and today’s social identity was clearly present in the tweet.”
Modern
“The trend towards showing brands as ambassadors for inclusive and caring communities and the people that work towards these communities.”
Inclusive“It was inclusive and is in keeping with the changing world perspective on social issues and modern life.”
#AdCampaign #womenpower
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Cultural Ads Perform Best In Environments Where Consumers Are “Culturally Primed”
Premium Websites (50%+ Complete): Standard Ads n=153; Cultural Ads n=123; Twitter (50%+ Complete): Standard Ads n=71; Cultural Ads n=63↑ = Statistically significant difference between test groups at >=90% confidence 29
Impact of Ad By Platform (50%+ Completion Rate) - % Agree
29%27%
32%↑
44%↑
-4%
6%
16%
26%
36%
46%
56%
Premium Websites Twitter
Standard Ads Culture Focused Ads
“Is a Brand I Would Pay More For”
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Premium Websites0% More
Twitter27% More ↑
Cultural Ads + Culture-Focused Media Environments = Higher Valued Brands
Premium Websites (50%+ Complete): Standard Ads n=153; Culture Ads n=123; Twitter (50% Complete): Standard Ads n=71; Culture Ads n=63↑ = Statistically significant difference between test groups at >=90% confidence 30
Impact of Ads by Platform (50%+ Completion Rate) –% Difference in Amount Willing to Pay for Product Between Standard Ads and Culture-Focused Ad
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Passionate Consumers Tend To Be Younger
Respondents who are not passionate n=238; Respondents who are passionate n=160↑ = Statistically significant difference between test groups at >=90% confidence 31
Consumers Not Passionate About Culture Consumers Passionate About Culture
43%
49%
66%63%
57%
51%
34%37%
16-24 25-34 35-54 55-65
% Of Age Group Who Are Passionate/Non-Passionate
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But Media Habits Are What Truly Set Them Apart
Q: How often do you use the following social account(s)?Respondents who are not passionate n=238; Respondents who are passionate n=160↑ = Statistically significant difference between test groups at >=90% confidence 32
% Of Monthly Users Who Are Passionate/Non-Passionate
37%
56%
45%
56%
37%
56%
63%
44%
55%
44%
63%
44%
Twitter Facebook Instagram LinkedIn Snapchat YouTube
Consumers Not Passionate About Culture Consumers Passionate About Culture
Differences in passion based on social media
usage are 26% greater than the differences that exist
across age groups
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Implications:Putting Culture Into Action
Today, consumers expect brand involvement with culture, particularly when it comes to social issues. In order to stay relevant and keep pace with competitors, brands need to keep culture in mind.
While there are many ways for brands to become involved, one size does not fit all. Brands should be thoughtful in their approach to ensure authenticity and appropriate brand alignment.
Culturally focused advertising performs differently based on environment and audience. Brands must tailor cultural ads to the right environment to ensure intended impact.
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