Professional Documents
Culture Documents
I 0 8 I News
All the latest gossip in the wonderful
I 4 2 I Expert Opinion:
world of the marketing mix
Gary Harwood
Gary says that if there’s an itch,
I 1 5 I Expert Opinion: scratch. He’s referring to brands and
relationships
14 42
Helen McIntee
Investigates small town marketing
I 4 4 I Consent Marketing
Marketing Mix brings you a
I 1 6 I Brand Anatomy reportback on the pending data
legislation that will affect marketing
Go Banking has relaunched its brand
after discovering all is not as it
should be
I 4 6 I Research
45
Thought Leaders
I 1 8 I Expert Opinion:
Four of our local research thought
20 leaders offer their advice and opinions
Richard Duncan
on a large range of topics from rear
Richard looks at how if you put
view mirrors and experiential to the
garbage in, you get garbage out,
changing face of marketing
with reference to research
I 5 4 I Expert Opinion:
I 2 0 I Education
48
What to look for in short-courses and Yoav Tchelet
where to actually study Yoav explains why online really
does work
26
I 2 4 I Sports media
Marketing Mix looks at sports I 5 6 I Law Mix
sponsorship and how to get the
Frank Joffe gets clarity on certain
best deal
critical areas of the Designs Act
Good o n e
I received an e-mail recently from The One Show, telling me
all about One Show.TV. For those of you who haven’t
received the information, the nominated TV ads are on
www.oneshow.tv and the public has been asked to vote for
their favourites.
Lowe Bull’s Get a Girlfriend is up there as well as
Net#work’s Ghost Pops.
My personal favourites are all of the Skittles ads and Jam
for Asiasoft Corporation from Thailand. The e-mail was
right. Without the website I would never get to see these ads (unless of course, I was at the
One Show).
According to Meredith Turner, account executive for The Rosen Group, although a lot has
been done to promote OneShow.TV it has taken off due to word of mouth more than to
any other efforts to promote it. “A further bid to drive people to the site has included press
releases as well as Mary Warlick, CEO of the One Club, undertaking a radio media tour to
promote it. The New York Times has also covered it,” she says.
What I love about all of this is the fact that a made for TV ad that wins a Pencil is now
recognised by those beyond the ad industry. OneShow.TV has opened up South Africa’s
advertising to the world – to anyone and everyone who’s online. If I were an ad woman, I’d
be making damn sure that my fabulous creations were posted on MySpace, just for a start.
Then I would let viral marketing take over while I sat and basked in the glory of 70 million
people worldwide viewing my ad.
At the time that Meredith got back to me (which was immediately, given the time
difference) on 30 April, Simba Ghost Pops was sitting at number nine in the public’s vote.
Way to go! A quick perusal of the finalists for The One Show showed that SA was ranked
at number five, having made it through with a total of 29 ads – a great result so far. A look
at One Show Interactive and lo and behold, not one for South Africa – pretty pathetic so far.
I’m hoping that the success of OneShow.TV will spur some of you into action.
blog: http://mmxsa.blogspot.com
Direct training
programmes launched
The Direct Marketing Association of South Africa (DMA) The Essentials of Direct & Interactive Marketing
has launched the first two of a series of training programmes This course offers a full overview of direct marketing and takes
that focus on the techniques of direct and interactive place over two days. It focuses on how DM fits into marketing and
marketing. business plans and is designed to provide basic skills. It represents
The DMA courses are the only DM courses that are NQF 8 credits on the NQF.
aligned and companies are able to benefit in terms of the skills
levies that they have paid. “As a method of doing business, Both these programmes guide the learner through a step-by-step
direct marketing encompasses everything from customer learning process, based on an integrated relationship marketing
acquisition and retention processes database development; e- model. The model itself is grounded in many years of practical
commerce; integrated communications to loyalty and cus- experience in the South African market and takes the latest inter-
tomer relationship management (CRM) programmes. Direct national developments into account. It provides a framework for
marketing is the fastest growing form of marketing worldwide the planning, implementation and measurement of all direct
– in all its different forms it accounts for about 60 per cent of marketing outcomes. “Both the Certificate and Essentials
the total advertising expenditure in the USA. The DMA courses programmes are packed with real examples of interactive marketing
offer newcomers to the DM industry a solid grounding. They activities – often drawn from the personal experience of the
also represent an opportunity for people who are already in presenters – to illustrate the principles. They are offered by well-
the direct industry to refresh their skills and to monitor new known direct marketing educators, practitioners and authors, Steve
trends and technologies,” says Brian Mdluli, CEO of the DMA. Bird and Rory Duckles, joint winners of the DMA Gold Assegai
Award for Direct Marketer of the Year in 2000. Overall you gain the
The first two training programmes are: latest know-how directly from the experts in a coherent format that
The Certificate in Direct & Interactive Marketing ensures continuity between subject areas and easy comprehension,”
This course has been updated and redeveloped. It is aligned says Mdluli.
to NQF Level 4 Marketing unit standards and is accredited The courses are aimed at direct and general marketing
by the Services SETA and endorsed by the DMA. The course managers, product managers, marketing assistants, advertising
takes place over six days (two blocks of three days each) agency personnel (strategic planning, client service, media planning,
and the programme provides a comprehensive overview creative) and suppliers to the industry (printers, list brokers, mail
of direct and interactive marketing as well as a set of houses, database developers). DMA members qualify for a 20 per
key skills to apply immediately back in the workplace. It cent discount on the course fee.
represents a total of 34 credits on the National Qualifications For more information on the programmes, please visit www.dmasa.co.za.
Framework (NQF). To book telephonically please call Shanelle on (011) 706 2358.
Special consideration will also be given to Founder Members through Marketing Mix, with respect to:
Nominating topics and being invited to provide expert opinions, leading sponsorship rights and occupying premium advertising
positions within Marketing Mix
Nominating topics for executive roundtables that are hosted by Marketing Mix
A customised communication programme that can be implemented with the DMA and Marketing Mix
For more information on the DMA Assegai Awards 2007 contact Contact details:
Michelle Perrow on (011) 808 1600 or e-mail (011) 577 2780
michelle@difference.co.za. dma@facilities.co.za
www.dmasa.org
Channel: CNBC Africa developments, lifestyle and and understanding the busi-
Launch Date: 1 June 2007 entertainment. Late night ness of Africa, as well as just
Platform: DStv, Channel 54 feature programmes each getting to know more about and Brownyn Nielsen.
and Sentech Vivid weekday looking at and the continent and its people Programming strategy: A
Ownership: 70 per cent of interacting with editors and Advertising rates: Run-of- unique feature will be live cov-
CNBC Africa’s funding comes journalists, entrepreneurs, air 50x30” spots per week: erage of the opening and clos-
from the Middle East mining issues, matters of R87 500 ing of key African financial
The core investment group concern for ordinary people Details: CNBC Africa is the markets. Programming will be
also has ownership in CNBC on the continent, personal first international business about information and news
Arabia and CNBC Pakistan, finance and close encounters news channel in sub-Saharan that consumers can use to
both channels are affiliates of with Africa’s personalities Africa. The cornerstone of the make decisions and stayed
CNBC Africa. CNBC Africa’s Number of viewers: Over channel will be business informed. While a number of
ownership structure involves 1.5 million subscribers across news, financial markets infor- bureaus will operate immedi-
a 30 per cent investment by the continent. (DStv) mation and in-depth analysis ately including Cape Town,
the IDC. CNBC is part of NBC Target market: Financial and throughout the day. There plans are for bureaus across
Universal. business professionals that will be live crossings to key Africa, including Botswana,
Programme highlights: need useful and up-to-date African markets for comment Nigeria, Kenya and Tanzania.
The Other Dimension – an business and markets informa- and analysis, along with regu- The channel will broadcast
interactive political economy tion. Decision makers and the lar crossings and updates from Johannesburg. CNBC
programme looking at the influential on the continent, from Europe, Asia and the Africa will broadcast 24/7 with
issues that influence business including business leaders, US. Regular news updates 12 hours of local program-
on the continent. senior mangers, government during the day and a news ming, cutting across to inter-
Kaleidoscope – a nightly busi- officials, diplomats and civic report each evening will be national affiliates throughout
ness magazine show high- leaders. Ordinary people that featured. Journalists include the day for market updates
lighting trends, interesting have an interest in knowing Peter Ndoro, Nikiwe Bikitsha and breaking news.
NEWS
Undiestanding underwear
Putting on a pair of panties (knickers, briefs, grundies) for a woman is
not quite the same as it is for a guy who is putting on his Y-fronts
(does anyone still wear them?) or boxers. Women have a much more
intimate relationship with their bras and panties. In order to under-
stand the booming underwear industry, Bateleur Research went
snooping through peoples’ intimates. Bateleur set out mainly to
understand the female perception of underwear compared to the
male perspective.
Women’s underwear – bras and panties – can be broken down into
three main categories: comfortable, sporty and seductive:
Bras
Comfortable: full cup; little or no
detail; natural or skin tone colours;
thick straps
Sporty: tight fitting; ventilation
holes; no underwire;
crossover backstraps; natural
colour fabric
Seductive: black and rich
colours; underwired;
padded;
intricate detail.
Panties
Comfortable: little or no detail; tight fitting with hidden panels; skin women). They also seem to think that women wear sexy and seduc-
tone or natural colour; cotton or stretch material; full bottomed aka tive underwear all the time! However in reality, women opt for com-
granny knickers fort, fit, hygiene and support first. This only then followed by seduc-
Sporty: thin hemlines and stitching; natural fitting; cotton; colourful tive. Men characterise women who don’t wear sexy underwear as
with little or no detail those who wear ‘granny knickers’. According to women, underwear
Seductive: high detail with lace and embroidery; high cut, sit on has personality: conservative women are associated with natural tones
the hip, usually a G-string; bright colours or black; silk and delicate and practical underwear and outgoing women are associated with
materials. underwear that is exciting and brightly coloured. However both men
While the above may appear to be common sense, responses from and women agree on the definition of sexy underwear.
interviewees – especially male – may be surprising. Men say that a Colours have certain connotations: black is classy, elegant and sexy;
woman’s underwear adds to the excitement – rather than being a red is seductive and showing off; pink is naughty and fun and skin
hurdle to overcome – before engaging in sex (which is great news for tones are unattractive and mature.
Sweet creative
Adobe has unleashed its largest software offering ever with the above enhancements plus an upgrade to InDesign, facilitating the
launch of its Creative Suite 3 (CS3) product line. In keeping with creation of print publications as well as website, rich media and mobile
today’s ever-expanding media landscape, CS3 includes almost every content. For video and rich-media professionals, CS3 Production
creative workflow tool available for designers and developers. The Premium includes After Effects, Encore and Soundbooth as well as
integrated package provides development and design tools for Illustrator, Flash and Photoshop. It caters for film, broadcast, web, DVD
print, web, mobile, interactive, film and video production. There are and mobile devices. One of the more innovative releases is Adobe Device
six configurations of CS3, which can be bought on their own or all Central CS3, specifically designed for those who are working on and cre-
together in the Creative Suite Master Collection. ating mobile content. A library of more than 200 mobile device profiles
CS3 Web Premium, for example, offers a set of tools for web and from cellphone OEMs and operators is built into Device Central. These
interactive design and development that includes new versions of include details of the capabilities, constraints and features of individual
Dreamweaver, Flash and Fireworks, as well as updates of Photoshop, devices. Content previews are available, using realistic mobile device skins
Illustrator and Acrobat Professional. CS3 Design Premium includes the to test the appearance, performance and behaviour of the content.
NEWS
Mission impossible?
Those who missed CK Prahalad on his recent trip to airlines); does it maintain and improve functionality (IT);
Johannesburg missed out. Best known for his book, does it make it difficult for incumbents to react (generic
The Fortune at the Bottom of the Pyramid, Prahalad medicines); is it sustainable and built on logical, internally
talked about how to cater for the poor masses and consistent business principles (single-serve sachets) and
about what businesses should be looking at in does it enlarge the size of the market (cellphones)?
order to compete in the future. While Prahalad used Another vital aspect of building a successful company is
many examples from India and other emerging paying attention to the drivers that will change the way we
markets, including South Africa, the general feeling look at the world. These include the convergence of
from the floor was that a few of the innovative technology, boundaries and ubiquitous technology.
ideas cited were unworkable locally. Instead of being passive buyers, consumers are going to
Marketing Mix got the feeling that far too many become procreators.
copyright: Business Report
marketers are simply unwilling to try new ideas that The following areas will have a significant impact on the
target those living on or below the poverty line – even if this global way we do business and should also be taken into account: brain studies,
market is worth trillions of dollars. nano technology, maths, genetics, artificial intelligence, communications/
The following are excerpts taken from his presentation: computing, global warming, energy, search engines and imaging.
According to Prahalad, the broad idea is not about positioning Prahalad points out that price-performance envelopes are changing
yourself in an industry space: it’s about discovering an industry faster than anyone expected. What does this mean for managers? It
space.There is a preoccupation with benchmarking best practices and means that everyone can have advanced technology solutions. In a
if we all continue to benchmark each other, everyone will gravitate to local context it means that we are not limited to what we can do in
mediocrity. We should be preoccupied with focusing on the next the townships. High-tech is not only for the rich – the only limitation is
practice rather than the best practice. The key is to recognise the range our imagination. Taking the opportunity to use poverty to leapfrog
of opportunities that exist in the emerging market; focus on consumer ahead requires imagination. Poor people don’t only have cellphones
insights that have not served before and figure out how to leverage today – they can also use technology. Many assumptions regarding
technology and new distribution systems etc to reach them. those at the lower end of the market have proved to be wrong. As an
Prahalad suggests that companies tend to look at the current example Prahalad cites pre-paid cellphone cards that require money
situation, do a budget and call it strategy. He says that companies upfront and rake in millions of rand.
should rather imagine a future and then fold the future into the Global consumer trends also need to be taken into account. These
company. In other words, companies should move from budgets to include: an awareness of individuality and experience, involvement, risk
innovation. Disruptive business models should be built. By this Prahalad taking, experimentation, technology-mediated relationships, global
means: does it radically alter the economics of the industry (budget community, green and a focus on the future.
Eye popping
Daniel Levy and Ryan Silberman, founders of
PopEye Wrap-a-Rental Media, have taken a
simple idea and turned it into big business
with the concept of advertising on car hire
company cars. They offer advertising space
on a range of Tempest Sixt cars, which are Rental products. The Adopt-A-Rental product ers an average of 4 500 km and is seen by
based at all major airports. “We have had a involves placing marketing paraphernalia in approximately 20 000 people each day.
phenomenal response to our products as the entire national Tempest Sixt fleet. The The Panel Mosaics offer marketers a variety
well as to this innovative concept,” says Levy, Wrap-A-Rental package offers marketers of panel sizes and positions, thereby providing
PopEye Wrap-A-Rental CEO. ad-space on branded fleet cars, as well as full branding as well as great flexibility and
PopEye Wrap-A-Rental offers two distinct marketing paraphernalia inside the car (including choice. “Outdoor media is restricted in vari-
services: the Wrap-A-Rental and Adopt-A- samples, pamphlets, brochures, etc). ous regions of South Africa, which is why our
Tempest Sixt ran an online pole for product is unique and desirable. We can
10 days, asking whether clients would rent a brand 100 cars based at Cape Town airport
car that is wrapped in branding. Of the and put our clients’ branded umbrellas and
1 500 who responded, 90 per cent said that cooler bags into them. These cars invariably
they would do so if this meant lower hire make their way to the beach – and so do the
rates. In this case both consumers and adver- free products,” says Levy.
tisers win: consumers get cheaper rates while For more information and ad rates, visit
advertisers get exposure. Each rental car cov- www.wraparental.co.za.
Act and song Why it’s hot Genre and emotion evoked
Kelis feat Will I Am Kelis and Will I Am sing about hav- Pop – fun, mainstream,
It’s The Weekend ing a fun time on the weekend – young and upbeat
for any social brand
Naturally Seven guys sing powerfully and cap- Pop – crossover – young and old.
Herman Dune A quirky fun phenomenon of a song Pop – light-hearted, charming, cute,
Wish That I Could See You from France happy
Soon
Chemical Brothers Powerful electronic music from a Dance – uplifting, energetic, speed,
All Rights Reserved classic band drive
Suzanne Vega Strong awareness and favourable Jazz – soft, quirky, peaceful, relaxing
New York Is A Woman attitudes towards her unique vocals
will cause an audience to listen
Tasha Baxter Instant and catchy; it’s happy, Pop – cheerful, fun, friendship,
Fade To Black recognised and liked social, full of life
DJ Bongz Well-known and great for a bash House – anthemic, forceful, festive
As Long As You Love Me
Hip-Hop Pantsula Very crossover and popular ad Hip-Hop– patriotic and positive
Jabba
Taxi TV
Provantage TTV is another way of reaching the millions of commuters Two hundred screens have been launched nationwide. These will be
that travel by taxi daily. In this case the advertising travels with them in followed by a further 200 in June and another 100 in July. There will
the form of TV screens, keeping them entertained for the duration of be a second roll out at some point in the future.
the journey. Created by Provantage Media, the TV screens are only Independent research into Provantage TTV was undertaken last
installed in new Quantum taxis and are conveniently situated for pas- month by Markinor. A major component was ‘to achieve a better
sengers to view. The screens are robust and lockable and content is pre- understanding of commuters’ needs, likes, dislikes and attitudes
loaded onto a chip, which is then loaded into the TV by specialist tech- around the new concept of in-taxi advertising.’ 100 respondents were
nicians. Each screen possesses a barcode that interviewed over one week and interviewers
records vehicle registration, driver details and travelled in taxis to observe reactions and
(significantly) driver routes. Drivers receive a fee responses to adverts on TTV. It was found
for having the TV. that forms of advertising seen or heard in
After intensive research involving taxi drivers, the past week, in the taxi, TTV came top
it was decided that the TV screens would not with 100 per cent, above radio (91 per
have sound as 70 per cent of drivers didn’t like cent), ad outside the taxi (74 per cent),
it. They do however have unique content on a billboards (65 per cent), pamphlets (31 per
30 minute loop. Advertising content is set at cent) and print ads inside the
30 per cent and could rise to 40 per cent in taxi (30 per cent). In terms of
the future. Preferential packages are available advertising awareness, prompted
to accommodate exclusivity in certain cate- awareness was generally high
gories and deals consist of monthly or yearly with ads for Nokia, Aquafresh
packages. Content (all of which is in English) and Clover; Kick Off led the way
includes film reviews, lotto tips, quizzes, with 85 per cent prompted
moments in history, hip and happening awareness. What is more telling
events, beauty makeovers and funnies. is a fictional product ‘Goo’ was
A tie-in with Kick Off magazine content has created for and only exposed on
also been agreed. “The recommendation for TTV. ‘Goo’ generated an unaided
advertising on Provantage TTV is to create recall of 32 per cent and aided
something unique while remembering recall of 66 per cent.
that there is no sound. We are able to For content, Comic Relief had the highest recall
offer regional advertising as well as an inte- (54 per cent), followed by a Nokia competition,
grated package across our other brand makeover, HIV and SA history. Ninety nine per cent of
activations. However, it must be stressed respondents claimed the screens were totally visible
that the TV ad should be able to work for the entire duration of the journey, with 88 per
as a standalone,” says Rene Venter, new cent aware of what was flighted on the screens. The
product development manager, majority of commuters spend between 25 and 40
Provantage Media. minutes in a taxi.
Brandz
The 2007 Brandz™ Top
100 ranking has been
released, along with a
few surprises. The fastest The top brands by category:
growing sector is fast BV 06 Top 10
food, followed by luxury, (US$m) BV 06 (US$m)
motor fuel, personal care Apparel: Nike 10 290 Google 66 434
and technology. Long live Beer: Budwesier 9 977 GE 61 880
the consumer! Millward Cars: Toyota 33 427 Microsoft 54 951
Brown interviewed over Fast Food: McDonald’s 33 138 Coca-Cola 44 134
one million consumers Financial Institutions: Citi 33 706 China Mobile 41 214
regarding almost 40 000 Luxury: Louis Vuitton 22 686 Marlboro 39 166
brands worldwide. Mobile/wireless: China Mobile 41 214 Wal-Mart 36 880
Soft drinks: Coca-Cola 44 134 Citi 33 706
For further information Motor Fuel: BP 5 931 IBM 33 572
visit www.brandz.com Personal Care: Gillette 17 954 Toyota 33 427
Bush basics
Three months ago I took a huge plunge near the ATM and while you are waiting in the
– I packed up my house, my daughter and my queue (of usually only one or two people) you
city life and moved to Hoedspruit. For those of are able to peruse the employment opportuni-
you who don’t know, Hoedspruit is a very ties. You can also examine what’s for sale and
small town in Limpopo, roughly 120km from what new events are taking place over the
Tzaneen and 160 kms from Nelspruit. I weekend. Apart from the notice board, most
mention these distances only because they stores or restaurant windows feature notices
give you an idea of how far I have to drive to such as the feeding times for the friendly
get to my nearest Woolworths! hippo down the road or the contact details for
Hoedspruit, according to my map, has 18 the local hockey club. Road signage is very
streets and not a traffic light in sight. We are effective because it displays telephone num-
therefore not pestered by people who are sell- bers written in large and visible letters. (This is
ing super glue or cellphone chargers. In fact, how I tracked down the local beauty spa.)
the only trader of this nature (that I have After living in the city for so long, I also find
seen) is the car guard who tries to sell cata- the high level of service extremely impressive.
pults on the side. We have a Friendly 7-11 (This is a marketing method that so many
store that closes at 9 pm and until recently, huge companies seem to leave out of their
“
only a Spar for groceries. When the long- plans.) I can phone the local butcher and he
awaited Pick ’n Pay store opened last month, it will quite happily select, cut and wrap the
was as if the circus had come to town – there Don’t you think that order for me to collect later on in the day.
was a real carnival atmosphere with loud When purchasing some furniture, I was
this ‘non-city’ market
music, sweets for the kids and balloons! While informed by the shop owner that delivery was
Hoedspruit doesn’t have a CNA or specialised is perhaps one that no problem at all as the “the lady at the cloth-
bookstore, there are two garages, the ever ing store has a bakkie.” None of this ‘small
present Wimpy and a gem of a bottle store
marketers should time’ marketing is due to a lack of money – it
with a selection of wines that I consider vastly assess and consider? just works.
superior to most in Johannesburg. There are Consider that Hoedspruit is set among the
It might be worth its
”
also many hardware and building supply stores very best of South Africa’s game lodges. It is
(for which I am grateful, as these have always weight in gold. situated about 40 kms from the Kruger Park
been on my list of favourite places to shop!) and has a small but beautiful award-winning
As a professional marketer of some 25 years commercial airport that caters to tourists by
standing, I have been intrigued by the market- offering twice daily flights. It is surrounded by
ing methods that are implemented in small big farming estates and has a large and active
towns such as Hoedspruit. It has occurred to air force base. Many people, both in and
me that so many of us (professional marketers) around the town, are self-employed city life
spend most of our working days (and nights) ‘refugees’ or business owners. For these
slogging it out in tall buildings, analysing the individuals it is a matter of forgetting all the
pros and cons of advertising in the Sunday fancy competitions, glossy magazine
Times or scraping huge budgets together for a advertising and massively expensive newspaper
new campaign on M-Net or 94.7 Highveld back again, probably because they are almost ads – it’s about getting back to basics. Don’t
Stereo. In doing so we have perhaps lost touch guaranteed to feature someone that you you think that this ‘non-city’ market is perhaps
with the millions of people who don’t live in know. These publications have become the one that marketers should assess and consider?
the concrete jungle. local ‘directory’ of services and are especially It might be worth its weight in gold. g
Marketing here is as basic as asking the useful for town newcomers like me.
friendly owner of the gift shop to shove your Rubbish bin advertising is also still extremely Helen McIntee
pamphlets into her customers’ paper bags. popular. It’s a very useful guide when you
director, IMM Graduate School of
Alternatively you might place a small advert want to find a specific store in Hoedspruit –
Marketing
(usually designed in Microsoft Word) in either you just drive around its 18 streets and look
(011) 628 2038
the Hoedspruit Week or the Kruger 2 Canyon. for the store in question.
helen@imm.co.za
Both of these are read from cover to cover and There is a sizeable notice board situated
unchanged over the past three years. Their cards number and very few IVR options, which
have also been revamped. They have done away ensure quick access to a call agent.” The
with the Gold and Silver status of clients, opting team has received numerous compliments
instead to provide all their customers with the on the improved call centre experience,
best service and the best treatment. including a very positive Finweek (15
Previously the bulk of Go Banking’s promo- March 2007) review.
tional activity was predominantly represented While the brand’s new positioning has
in-store – literally only in-store – and this had not yet undergone official evaluation and
entrenched consumer belief that this was a Pick measurement, it has already seen very pos-
‘n Pay loyalty or cash card. “We have improved itive results. Bedingfield points to a growth
our in-store message and have moved the bulk in real active accounts; growth in usage
of our activity into the marketplace through per account (ie transactions per account
varying degrees of media and PR activities,” says holder); account holders using their
Bedingfield. The focus is on fun but not at the accounts beyond the Pick ‘n Pay environ-
expense of serious banking. The service is ment; growth in the usage of account
now outbound and engages customers on a facilities (such as debit orders, Internet
voluntary basis, whereas previously the in-store banking, etc) and a sales increase relative
sales staff pushed sales. to the increased brand awareness and
Today the Go Banking brand is advertised overall transaction growth. He adds that
through the use of outdoor billboards, radio the success of the rebranding lies in the
campaigns, TV advertising and consumer media increased activity of the customers.
(business publications etc where, according to A further positive development is the
Bedingfield, the message is best received). The improved rapport that Go Banking has
brand now also makes use of direct marketing with Pick ‘n Pay staff, who now take the
platforms, including SMS interactions. The initiative in providing the team with feed-
500 silhouette cut-outs are perhaps the team’s back. They also receive training and will
favourite promotional component. These are hand out call centre business cards when
placed in store (and in other key locations such they cannot answer a customer’s questions
as major road intersections). The life-sized about Go Banking. “They are happier
silhouettes generate buzz, cause disruption because they no longer feel trapped by
and carry a provocative message. “They are complicated customer questions,” explains
strategic and more mobile and allow us to Bedingfield. Brochures at the till points are
respond very quickly in our campaigns. Hiring a taken up more rapidly and online and call
crowd of 500 people is difficult – and we centre traffic has increased. The new web-
already have them in the form of these site is more intuitive, allowing visitors to
silhouettes,” says Bedingfield. find the information they need swiftly.
The Go Banking call centres also underwent a makeover in response “While the measure of our success is how quickly we have raised the
to customer feedback. Some of the major related issues included the bar, we’re not resting on our laurels. Every day we have to behave in a
fact that individual agents were dealing with specific tasks and that manner that gets us closer to the five out of five rating,” says
customers would be handed from one agent to the next in a single Bedingfield. He adds that the revamped Go Banking brand is aimed at
phone call. They had to call different those who enjoy contemporary
numbers (depending on their enquiries) society; who want to be in the
and often did not know which number now and who are progressive
to call. Queuing times were too long and willing to express their identity
and first call resolution was limited to a through the choices they make.
few enquiries. The Go Banking customer is
Now call centre agents work in a looking for liberation from tradi-
comfortable and spacious environment. tional banking methods and
“This has gone a long way to improving wants banking to be easy, fun,
the morale and commitment of the uncomplicated and simple. “We
agents,” says Bedingfield. They also are definitely attracting an astute
receive extensive training on everything customer who understands
from general life skills to banking skills, banking. In the month since our
etc. As a result of this multi-skilled train- relaunch we are happy with the
ing, first call resolution is at 90 per cent. progress we are making, which is
“We now have only one call centre in line with our plans.” g
Garbage i n g
This old adage is never truer than when the first group starts. I have long since learnt
it is used in the context of market research. that research groups should not be rushed and
The quality of the output of research groups that a great deal of time, effort and concentra-
is completely contingent on the calibre of tion should be invested by all concerned in the
their input. early stages of any research project. There are
During a career that has spanned two also times when the right route requires fine
decades I have sat in on some spectacular tuning along the way and in these cases the
research groups and have witnessed my fair discussion guide or group participant profile
share of unmitigated disasters. The latter may be changed based on learning’s from the
always comes at a great cost to clients in initial groups. Whilst this may appear to be
terms of wasted time and money. More wasteful, the knowledge gained should
often than not, the client walks away with a ultimately more than justify the additional time
limited amount of new information. and money spent.
Occasionally the group moderator will tease While doing some desk research of my own
out some real nuggets and great insights but before writing this article, I spoke to a number
generally, clients complain that they have of research specialists here in Sydney and in
heard it all before. South Africa. I finally turned to Research
There are many reasons for this phenome- Surveys and recently retired CEO and doyen of
non. Certainly great facilitators can make all the industry, Henry Barenblatt, for counsel on
“Ensure that your the difference. If they are well briefed and if this matter. After considerable assistance from
they prepare properly they can collect invalu- Barenblatt and his colleague Kudzai Guvi, the
research company has able insights from group participants and get qualitative account manager, I spoke at length
past the predictable answers. However, the for- with Kim Krone, national qualitative projects
covered all the bases mula for success shouldn’t rest entirely on their manager. Her candour and insight into the
and that it has shoulders. In order to get it right the correct industry was refreshing and furnished further
steps need to be taken right at the beginning proof of the high level of professionalism that I
made the necessary of the process and each stage needs to be have come to expect from Research Surveys
contingency plans for properly completed. Sadly this is not the norm during my 11 years of working in South Africa.
and this is where we find the Achilles heel of So where does qualitative research fall short
the unforeseen.” qualitative research. and where does it sometimes come unstuck?
Frequently the clients, be they marketing While I discovered a few glaringly obvious
departments or advertising agencies, haven’t areas (which I will cover) there was one in par-
thought through what they are looking for. ticular that was frighteningly simple and yet
Sometimes this is because they are on a fishing dramatically and disproportionately important
expedition while at other times they are merely to the final outcome of research groups.
seeking to ratify an existing belief, concept or (Get this one wrong and frankly, it’s all a waste
idea. A further complication arises when a of time.)
project is rushed because the client has not Firstly, what are the more obvious potential
allowed sufficient time for the exercise to be slip-ups?
completed. This often means that the agency Not surprisingly, moderators don’t really
planner or research executive only gets the know what participants look like before they
discussion guide to the client one or two days walk into the room. This may give rise to prob-
– and on occasion only an hour – ahead of the lems that might be avoided if better intel is
groups. The same applies to the research supplied upfront on each participant. It puts
boards or animatics… On top of this the pressure on the moderator to manage and
moderator is often only fully briefed just before control groups and it becomes even more
n garbage out
difficult if they have a troublesome participant. should not work for a related business. If par- run workshops to update them on the desired
It also places an emphasis on the importance ticipants fail to disclose the correct answers to procedures. Research Surveys has realised the
of proper training for moderators. If you have these questions, either at recruitment or in the importance of this area and are appointing a
ever seen the old Henry Fonda movie (remade screening questionnaire when they arrive, they recruitment manager to improve the quality of
with Jack Lemmon) Twelve Angry Men you will can directly compromise the probity of the their recruiters. The business of recruiting for
remember the power that one person has to research findings. business-to-business research is more compli-
change the minds of others. It’s up to the The recruiters themselves (the people who cated and has given rise to specialist compa-
moderator to watch out for this. Whilst I’m go out and recruit the group participants) rep- nies that find group participants. This automat-
told that there is an industry surplus of moder- resent another aspect of the recruitment ically raises the professionalism bar.
ators, the really good ones are rare. process. Have you ever given them a thought? Among the key things to remember when
Wouldn’t it be great if there were a central On the whole they are freelancers who are embarking on a qualitative research project are
database that kept a record of problem partici- only paid for the quality participants who show making sure that you know who your con-
pants? Whilst most research companies have up. They tend to come from all walks of life sumers are and setting the correct recruitment
internal databases, they only become effective rather than having some sort of formal qualifi- criteria. Don’t be afraid of setting more filter
in the bigger research companies. SAMRA cation or industry accreditation. Some are ex- questions. This may require additional funding
would be the only other viable alternative, group attendees and where they live is often and time but the results should justify the
since research companies tend not to share more important than who they are. This is costs. You should also avoid approaching
data for practical and legal reasons. clearly a recipe for disaster because the quality groups with a preconceived notion – and don’t
Consequently there is no formal black list. of the work varies according to each person react if you don’t like the truth that emerges.
Have you ever wondered whether the new and this fundamentally undermines the poten- While it is your prerogative to ignore it, if this
product that you are investigating and the new tial for consistency in recruiting group partici- is the case, you should ask whether you should
brand positioning that you are testing will pants. To use a gambling analogy, it’s like be conducting research at all.
remain a secret after a research group – and changing the croupier each time the roulette I hope that this article has served to help
whether the participants will tell their friends wheel is spun – it resets the odds. you to appreciate some of the potential flaws
or families? Not all participants sign confiden- How do they recruit? Some recruit through and pitfalls in qualitative research groups.
tiality documents and in any event, how would their networks and through word of mouth. Given the cost of running groups these days, it
you trace a leak back to one of them? This is fine, provided they conform to SAMRA’s seems logical to me that any loose ends in the
This brings us to the major Achilles heel of rule that not more than two people in a group recruitment and preparation phases should be
qualitative research groups. may know each other. Then there is the tied up before you sign any cheques.
The key to success or failure starts with the intercept recruit who is identified at a specific I am not advocating the demise of groups
recruitment process. No matter how good the place, eg in front of a yoghurt fridge in a nor do I believe that they cannot be effective. I
moderator, the facility being used, the support supermarket. Whilst this allows the recruiter simply believe in the old adage that ‘fore-
material that is prepared or the discussion to find relevant people, this method does warned is forearmed.’ Just ask the right ques-
guide, if you have the wrong people in the have its flaws. Some also recruit by using tions to put your mind at rest. Ensure that your
room you might as well go home early. the telephone, which is the least desirable research company has covered all the bases
The accuracy of the information provided by because it’s non-visual and so further limits and that it has made the necessary contin-
the group participants completely depends on effective screening. Finally, there is ‘list gency plans for the unforeseen. You cannot do
their honesty. Since people can become stale recruiting’ where the specific details of known more than that. As long as market research is
and ‘coached’ they fail to qualify to attend customers (such as BMW drivers) are provided driven by human nature it will remain more of
groups if they have been over-exposed to simi- by the client. This is one of the most difficult an art than a science. g
lar research groups and are research groupies routes since acceptance levels are affected by
of a sort. This can directly affect the value of the fear of this being a sales tactic, even if
the group’s output. Standard SAMRA guide- recruiters have an endorsement letter or an Richard Duncan
lines stipulate that they should not have been introduction from the client. Sydney, Australia
to more than four groups; should not have The recruiters don’t have any formal training +61 411 549 791
attended a group in the last six months and for this process, although some companies do lduncan@bigpond.net.au
A learning
curve
Change is a constant within the marketing credentials to look out for.) “I think the secret Mumford has this to say: “With regard to
environment and marketers continually need really lies in having a good team of lecturers. industry trends, I think that marketers need to
to keep up to date on the latest trends. They should have more than a few years of gain knowledge about the following key
Courses and workshops offer an ideal way for experience in their field of practice and even aspects: new media (such as the cellphone
marketers to extend their knowledge and more importantly, they should currently be in and Internet), services marketing (i.e. intangi-
skills in bite sized sessions. “Things change all the process of creatively integrating the tech- ble products) and global marketing (including
the time and generic courses tend to be nologies themselves, pushing boundaries and marketing to different cultural groups).”
quickly outdated,” says Alexia Georgiou, experimenting with what they know,” she Thomas emphasises the focus on multimedia
academy manager, Africa Academy for says. Ramon Thomas, managing director, experiences and campaigns as well as on user
Communications. Netucation, agrees that facilitators should generated content (of course this includes
When discussing change one must also have a track record in the use and implemen- word of mouth marketing, which has more
enquire about industry transformation. Is tation of the media and methodologies that power to drive sales than any other form of
transformation being effected – and what is they teach: “A good course is one which has online marketing). “You cannot buy attention
being done to address this issue? a practical component; one that you can any more. You have to start thinking about
Short courses and workshops offer great learn by doing. A bad course only includes how to amaze small groups of people or
value for qualified marketers who are simply theory and you’re expected to figure it out on communities in the way that they prefer.”
wanting to up-skill. What should one be your own when it comes to the practical Kleyn lists financial literacy, as well as
looking for? implementation.” Conceptual thinking and customer psychology and sociology, as another
Georgiou believes that a hands-on problem solving modules are also very valu- two areas that marketers need to focus on.
approach and a concise, cost effective pack- able, particularly in developing creativity, says For designers, having applicable skills is
age are ideal. Kathy Mumford, marketing Csernyanszky. It’s becoming ever more impor- more important than having experience in
consultant, IMM Graduate School of tant to develop skills in new media, particu- the field. “This is where we stand after 30
Marketing, punts the value of relevant con- larly in Web 2.0 (blogging, social media, etc), years of the PC and 12 years of the World
tent that is presented in the right contextual throughout the marketing, advertising and Wide Web. The medium through which we
‘language’ as well as the appropriate applica- creative industries. Thomas says, “Most grad- now communicate as a human race is the
tion of theory. As Eva Csernyanszky, owner uates are going into the workplace with very Pixel. This is a digital world and it’s the down-
and founder of the Friends of Design little understanding of how these new tech- load era. If this isn’t influencing the way you
Academy of Digital Arts puts it: “The course- nologies work – those who have taken it think and produce, you are out of touch,”
ware should be up to date and should inte- upon themselves to learn more about them says Csernyanszky.
grate mediums across different software may only be partially prepared for the task Sadly – according to Lerato Ndoro, Group
applications. The course itself should mirror at hand.” HR director, FCB South Africa – it seems that
what’s hot out there and equip you to take it With the vast array of courses, workshops in the advertising and creative industries there
further on your own.” Dr Ludi Koekemoer, and presentations on subjects that range is an attitude of been there, done that, know
head of the AAA School of Advertising, from branding and new media to digital everything amongst the older generations.
speaks of the importance, value and applica- design, there is no excuse for marketers who Generally, they don’t pursue extra training
bility of focused content. don’t take advantage of the learning oppor- unless the agency conducts in-house training.
Mumford believes that good courses tunities that are available. “There is a huge The trend seems to be that it’s the younger
involve the sharing of ideas and experiences. need for training and development in our crowd (who have been working in the indus-
She adds that they should add value to one’s industry,” says Georgiou. There is also a need try for less than five years) who are hungry
CV, while also providing one with skills that for marketers to refresh contextual input, for knowledge: they are the ones who are
can be applied in the working environment. such as changes in the legislative, competitive taking the initiative to sign up for short cours-
A good course is recognised by the relevant and consumer environments, says Nicola es to supplement their knowledge and skills.
institutions and agencies. (Registration with Kleyn, senior lecturer, Gordon Institute of Other education issues that are impacting
the Department of Education and Services Business Science. on the marketing and advertising industries
Seta accreditation are among the right What should you be learning more about? relate to transformation. Is the industry doing
enough to address this? Is it What to look out for in a good animation diploma?
enough to hand out a few scholar-
According to Depth VFX (an animation
ships to previously disadvantaged
students every year? In a word, no. school based in Johannesburg),
“The need is so great that there can the following aspects are important
never be enough scholarships and
considerations when it comes to choosing
support,” says Mumford. While pre-
viously disadvantaged students may an animation course:
be awarded scholarships, they also
• The length of the course (if the duration
need support to survive a degree or
course. “You can take a student to is less than two years it will be more
a university – but do you know specific or focused and it might not qualify as an industry-recognised diploma)
where he/she comes from? As far
• Software applications (many jobs will require that you are familiar with specific software)
as I am concerned, giving a scholar-
ship is not enough. There is no • Course tasks (should expose you to a diverse set of skills; should teach problem solv-
holistic approach in these pro- ing, practical application, time management and working to deadlines etc; should be
grammes. We need to do more
relevant in the real world)
than just give money; we need to
focus on life both in and out of • Instructor experience and history (instructors should keep up to date with the latest
school,” says Ndoro. For many techniques and software developments; they should either work in the industry or
township-dwelling students, the
have sufficient industry experience; internships should be included as part of the
cost (both financial and otherwise)
of travelling to and from an institu- curriculum)
tion to fulfil a scholarship is greater • Post-course benefits (look for internships and exposure to the industry)
than they can afford. It is therefore
not surprising that the dropout rate
• Curriculum (must be relevant, cover all the basics and offer some sort of speciality)
is so high. The fact that they may • Fees (investigate as many schools as possible)
not have support at home or in the
• Post graduate employment rate (does your choice of institution guarantee employment
township community exacerbates
the problem. In addition, parents or have strong relationships with actual animation companies?)
often have a poor understanding of • Internet access (this is essential to instruction and to independent research and learning)
marketing as a career. “Maybe we
• Personal goals and expectations.
need to focus on delivering ‘bridg-
ing’ courses to take care of some of For further details about Depth VFX, contact 08611 DEPTH or
the gaps, rather than just providing email info@depthvfx.com or visit www.depthvfx.com.
financial assistance,” says Mumford.
She adds that schools are not doing
enough to prepare students either: literacy virtually no black people in this industry. The to the theory and its practical application in
and grammar are frequently underdeveloped, latest figure is in excess of 36 per cent.” He the field.” She insists that this will not be
as are logical and rational thinking skills. has found that while agencies are taking in achieved without increased collaboration
While Koekemoer is positive about the grow- newcomers, they are not prepared to train between formal institutions and
ing number of black students entering the and mentor the new staff or pay them agencies/companies. In order for this to hap-
education system, he acknowledges that the accordingly. Koekemoer says that although pen, she says, the marketing and advertising
disadvantaged background of many students funding for scholarships and training is industries need to open up and position mar-
has not afforded them the kind of private becoming less of a problem, in general keting and advertising more attractively.
school education that prepares them for terti- internship programmes (such as the Seta pro- Ndoro adds that in townships, for example,
ary education. As a result, skills such as lan- gramme) are not being utilised efficiently. parents have a limited understanding of
guage proficiency do not meet industry stan- “The money is there: employers just have to advertising and marketing and of how their
dards and requirements. “We need to do kick-start the whole process and do the children will make a living in these fields.
more to retain these students and help them paperwork in the correct manner. The indus- Opening these industries up through open
to get up to speed more quickly,” he says. He try is unaware of this fact and doesn’t trust days, career days and mentorship pro-
points to mentorship programmes and addi- the seta,” says Koekemoer. Ndoro believes grammes, will make them more transparent.
tional computer literacy classes as a suitable that perhaps internships and learnerships “Marketers need to work together to ensure
means of student support. need to be incentivised so that more agencies that they have access to a professional body
With regard to transformation, Koekemoer begin to offer them. “We shouldn’t only offer that promotes the growth and reputation of
has this to say: “Five years ago, there were the training. We also need to expose learners the marketing profession,” says Kleyn.
The AAA School of Advertising (owned by the ad. industry via the ACA) is tasked with turning out achievers who are in demand and ready to be effective from
day one. These are people who have experience and the ability to squeeze the last milligram of creativity from their brains. This includes creative media
selection, creative marketing strategies and creative account or brand management as well as creative executions.
The AAA School is the only one of its kind that is owned by the advertising industry. It is also the only one in South Africa that provides graduates with an
internationally accredited diploma from the International Advertising Association, New York.
AAA offers evening courses related to advertising and communications for working professionals who want to either polish or add to their skills. Candidates
who have a minimum of two years of work experience in a marketing or advertising related field qualify to do a three-year Diploma in Marketing
Communication on a part time basis.
The school specialises in serious theoretical and practical learning that prepares people for the real world in an ad agency or marketing department. AAA
School sources guest lecturers from the industry to provide insights into the experiences they have had in their designated fields.
For more information regarding our part time course please call Alison on (011) 781 2772. You can also email Alison at alisonr@aaaschooljhb.co.za or visit
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AAA School is giving away one seat for their Brand Management or Media Management or Account Management course. One of our readers will have the
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Competition Question
Marketers are spending less on above-the-line advertising. What do you believe will be hot in the next three to five years if you take all possible
marketing communication tools into consideration? (maximum 500 words)
All you need to do is to respond to the question below and e-mail your answer to marketingmixcompetition@aaaschooljhb.co.za. The winner will
be announced in the July/August issue of Marketing Mix, so watch this space.
needs of sports fans in particular as it allows ing a massive role here. FIFA regulations
them to catch rugby matches live while oth- make it difficult for advertisers to get into this
ers in the house catch their favourite soapies. arena and this paper provides them with a
The facility to record programmes means that way into soccer, particularly the PSL,” says
no fan is ever torn between which two events Roper. The newspaper is also increasingly
to watch. aware of the impact of new media and is
Print media is faring well. According to planning the development of a new website
Sport. It makes grown men and women cry and pulls strangers
together in their shared devotion. It can build the pride of a nation.
It’s a trillion dollar industry, and today’s sports stars are worshipped as
heroines and warriors. It’s not surprising then that brands spend
billions worldwide associating themselves with sports and sports stars,
“In a country characterised by and that sports marketing has become an integral part of brand
budget. But how do you ensure that you receive maximum return on
your investment?
diversity, sport has become a
Sports marketing company MSCSPORTS has
binding force which unites the answer.
MSCSPORTS is a company which Makes Sport Count by maximising
communities. MSCSPORTS is their clients’ ROI through customised and value-driven opportunities
that have specific objectives, high measurability, and that deliver
committed to ensuring that your significant brand exposure to relevant markets.
brand is associated with the right Joint MD of MSCSPORTS, Neil Jankelowitz, believes that sport is the
way forward for every business. “We partner with you and help your
sporting entity. We have proven brand to seize value-driven and unique marketing opportunities that
will place your brand firmly in the hearts and minds of South Africans.”
ability to deliver the maximum
One of South Africa’s most recognisable brands, and an MSC-
return on investment with definitive SPORTS’ client, OUTsurance, entered the sports marketing arena some
12 months ago through inter-alia, the sponsorship of the Supersport
measures thus ensuring that you Update channel, as well as title full sponsorship of the road running
event, the OUTsurance Gun Run in Cape Town. Marketing Manager of
Make Sport Count.” OUtsurance, Peter Cronje, explains how sport has offered a unique
value proposition to his company.
– Neil Jankelowitz
“Sport has become an experience in which fans and spectators
get caught up in a world of passion, excitement and fun. The
exhilaration that a close match can create is a unique memorable
experience with which the product will be associated. MSCSPORTS
has ensured that OUTsurance is in touch with our customers in ways
which enhance their experiences and which have worked wonders for
our brand.”
ADVERTORIAL
Another client of MSCSPORTS, is RAM Hand-to-Hand Couriers. “Recently we held an event around the donations made by Tedelex
This courier company has managed to achieve the ultimate marketing to the BIDVest WITS University Football Club, and they ran the event
mix, by ensuring the broadcast sponsorship of South African Test from beginning to end. They organised huge media presence, handled
Cricket on Supersport, and then supporting this ‘above the line’ all the logistics, and ensured that they invited all the right people.
campaign, with ‘below the line’ events, such as the RAM Captains MSCSPORTS is committed to the football club. It’s not strictly business
Breakfasts. This event was a series of national corporate Q & A ses- – they’re passionate about the team, and want to see us succeed.
sions, with cricket captains Graeme Smith and Ricky Ponting, hosted They are a part of the fabric of the organisation. They’re effective, and
by Neil Andrews. operate with true expertise.”
sorships and waste sponsorship budgets In terms of sponsorship support, the big five sports (which account for more
through poor understanding and flawed than 65 per cent of the total sponsorship spend in SA) are: soccer, rugby, cricket,
processes. “Sports sponsorships fall short of
motor racing and golf. More than 50 per cent of the total hours of TV coverage
the mark because companies spend big
money to buy them but don’t have the budget is allotted to these sporting codes.
or knowledge to leverage the investment,
which consequently doesn’t reach its full Big players: who are the major sport sponsors in
potential. They buy a TV package to create
awareness but emotively this does nothing
SA? (BMI-Sport Info)
for the brand,” he says. He adds that industry According to BMI-Sport Info, around 50 per cent of the annual direct sponsor-
gurus recommend operating on a one-to- ship spend is generated by the Telecoms, Banks, SA Breweries’ flagship brand
ratio (adspend to leveraging budget). “So if
you spend R1 million on buying a sponsor- Castle, South African Airways and Sasol. This applies to the three most popular
ship property, you should spend at least R1 sports codes (soccer, cricket and rugby).
Which are SA’s favourite sports? million on leveraging it,” he says. If not, it will
in all likelihood not deliver the expected ROI
According to a Markinor TeleBus survey (a total of 1 500 respondents, and this further undermines the sponsorship.
representing the adult population with home telephones): Neil Jankelowitz, MD, MSCSports, believes
that: “The key to a successful sponsorship
36 per cent enjoy watching soccer
strategy is to set clear objectives prior to
19 per cent enjoy watching cricket entering a sponsorship, with definitive mea-
18 per cent enjoy watching rugby surables for post-campaign assessment. It is
also key to try and own the property.” For
4 per cent enjoy watching tennis
Roper one of the major issues affecting sports
3 per cent enjoy watching motorsport is that naming rights are being sold indiscrim-
2 per cent enjoy watching athletics and wrestling respectively inately. While selling the rights to stadium
names is not problematic, the sale of team
1 per cent enjoys watching golf.
naming rights is destroying fan affinity for
sports teams, especially because they change
Soccer is most favoured by blacks, while whites prefer watching rugby. Indians every few years when one sponsor’s contract
is succeeded by the next. “You don’t see this
favour cricket, while the coloured community enjoys all three major sports.
happening overseas. For example, in the UK
The survey found that in general South Africans are optimistic about the coun- the club names are sacred and they don’t
try’s readiness for 2010, with 45 per cent of respondents believing that South allow brands and sponsors to buy the team
naming rights. They understand that fans
Africa is prepared for the World Cup. It’s not surprising that whites are the identify with the club name. Local advertisers
least optimistic racial grouping, with less than a third of the group believing and marketers, as well as sporting teams and
clubs, need to be mindful of their supporters
that SA is ready for the World Cup.
in this regard,” says Roper.
Du Plessis believes that the biggest miscon-
ception about sports media and sponsorship
Soccerex 2007:
is that it’s isolated in the marketing mix, in
Soccerex 2007 (hosted by the Gauteng Province) will take place from 26 to 28 spite of the fact that it can extend the impact
November at the Sandton Convention Centre. This international forum brings of other elements (including advertising, sales
promotion and PR) in an environment where
together the world’s experts and is not to be missed. (This years’ speakers have
consumers are more open and receptive. “In
not yet been confirmed but some of last year’s speakers include Joseph Blatter, South Africa, sponsorship is often cut off
FIFA president, David Gill from Manchester United FC, Andy Knee, Philips head from other communication elements,
decreasing its effectiveness. Internationally,
of sponsorship and Eric Cantona, former Manchester United player.) For more integration is the sponsorship buzz word,” he
information visit www.soccerex.com or email enquiry@soccerex.com. says. He quotes research by Redmandarin (a
UK based sponsorship consultancy), which
found that an overwhelming 83 per cent of
respondents believed that greater levels of
integration would enable sponsorship to
meet their objectives, whereas only 56 per
cent integrated sponsorship into PR, 52 per
cent into advertising, 36 per cent into sales
and 20 per cent into direct marketing.
“Sponsorship without a plan is merely a logo
on the field but through an integrated
through-the-line approach, it has the ability
Picture courtesy of EIMAGE
Refreshing the Vision: key aspects of the 2006 Redmandarin Sponsor’s Survey
(This survey, conducted during June and July 2006, measured the responses of sponsorship professionals and executives
from companies in 18 countries situated around the world. Redmandarin is based in the UK. For more information and
research reports, visit www.redmandarin.com)
Findings:
• 79 per cent of respondents claimed to have a sponsorship strategy and 59 per cent reported a global strategy. It is
believed that 39 per cent of sponsorship strategies are signed on the whim or preference of the company chairman
• 88 per cent of respondents reported setting sponsorship objectives prior to buying rights; seven per cent did not. Five per
cent didn’t know whether objectives were set or not. Extrapolating from annual European sponsorship spending,
Redmandarin suggests that almost R9,5 billion is annually allocated to sponsorships without a clear rationale
• Over 80 per cent of respondents claimed that all areas – including the fit between the brand and the sponsorship property,
competitor activity and the interests of the target audience – were researched prior to sponsorship rights acquisition (with
the dominant forms of research being ‘existing research’ and ‘personal judgement’)
• The respondent ratings for the most important objective for sponsorships: 81 per cent brand equity building; 74 per cent
brand awareness; 54 per cent driving sales; 39 per cent stakeholder relationship management; 37 per cent motivating
employees
• 39 per cent of respondents reported that sponsorship plays a ‘very important’ role within the organisation’s overall
marketing and communications plan
• 56 per cent of respondents reported that sponsorship was ‘very integrated’ with PR, while 52 per cent also said this about
advertising. 83 per cent of respondents believed that improved integration with other areas of marketing would improve
the capacity of sponsorship to meet its objectives
• 67 per cent of respondents had a budget for sponsorship evaluation. The most popular evaluation methods were internal
company feedback, sales data and existing brand tracking
• 61 per cent of respondents reported that they would definitely use, or consider using, ambush marketing.
What can sponsorship do better than other marketing disciplines? Responses: create an emotional connection with
consumers; generate rapid brand awareness in new markets; offer new communications or content opportunities
The most popular sponsor brands named include Red Bull, Heineken, Adidas, BMW, Nike and Vodafone.
there is a lack of innovation, the result of a tion of the sponsorship environment. The
handful of key players monopolising the major sporting codes are over-traded, making
industry. “Mentions of sponsorship clutter it difficult for smaller brands to get involved.
have slowly begun to creep into the market “Sponsorship is over-traded in SA and it is dif-
as the industry becomes not only more com- ficult to find a unique property and occupy
mercially sophisticated but also more widely centre stage with it. Brands must try to find
accepted,” says David Sidenberg, head of an exclusive niche, which is aligned to the
BMI’s Sponsorship Strategy & Rights Division. brand, rather than jumping into an over-trad-
Differentiation will become increasingly chal- ed space. Alternatively, they should create a
lenging if this industry continues to grow. new property,” says Smith. The Red Bull
Picture courtesy of EIMAGE
“The customer is becoming aware of and Downhill Extreme is one example of this.
frustrated by commercial clutter, even in “They have created their own sponsorship
sports events. Sponsorships will need to property and no one will take them on in this
become more intelligent and be targeted to space,” says Smith.
specific markets and populations,” says du Smaller niche sports (such as mountain
Plessis. This raises concerns about the satura- biking), which have not been bought out by
self-sustaining and avoid the yo-yo effect that benchmark for the measurement of
a series of short sponsorships will have. “When marketing spend, association levels and
it comes to sponsorship property, brands must impact are gaining greater relevance.
go into the deal with a view to being involved According to the BMI Top Companies
for three to five years,” says Smith. He adds Survey 2006, 93 per cent of respondents
that short term projects and sponsorship deals claim that a synergy between sponsorship
allow brands to “test the waters.” objectives and overall brand communication
objectives is important. “Integration and
Reputation remain the most important
Which is SA’s favourite rugby team?
challenge for the industry. In fact, this is
According to a recent survey conducted by BMI, the Blue Bulls take this title becoming more and more critical than ever,
with a support base in excess of two million. The Blue Bulls now account given the speed of technology and the rapid
convergence of media platforms,” says
for more than 20 per cent of the total rugby support base and have
Sidenberg. With the rise in rights fees, only
generated more exposure for sponsor Vodacom than any other team (thanks those brands that take a strategic approach to
to their performance in the final stages of the Absa Currie Cup and the sponsorship, fully integrating brand and
communication objectives with sponsorship
Vodacom Super 14).
objectives, will survive.
However BMI reports that rugby still has a long way to go to match the sup- Smith encourages marketers to develop
campaigns that use mechanisms such as SMS,
port of SA’s top soccer clubs. Both Kaizer Chiefs and Orlando Pirates boast fan
which allow for interaction with consumers as
bases that are two or three times larger than that of the Bulls. Furthermore well as for measurable feedback. “Evaluation
these fan bases stretch countrywide, while the support bases for rugby are still is a key element in managing and implement-
ing a successful sports marketing campaign.
concentrated around one or two regions (accounted for by the fact that the
Without it you might as well have purchased
top two soccer teams account for 70 per cent of the total soccer support base, a vehicle without any tyres. As long as the
while the top two rugby teams account for only 40 per cent). evaluation methodology is consistent and in
Taking it home
Direct to Home marketing is defined as they live in – something that can’t be done
the below the line, one-to-one communication with old media. “The ROI is high because of
that happens when an advertiser’s pamphlet/ Direct to Home’s affordability and the reduc-
sample/flyer/brochure reaches the consumer tion in media wastage. In Australia door
at his/her home. drops are the most frequently used medium
Is this just unsolicited junk mail? “It’s preci- and in the UK they are second only to TV,”
sion marketing and it has the ability to reach says Chagonda. He adds that this industry is
the right target market with little or no media worth a cool R300 million locally.
wastage. It means that the right brands are Caroline Nunes, managing member,
delivered into the right hands,” says Melvin Vibrant Direct, maintains that while it’s not
Chagonda, MD, Primedia @ Home. While always easy to measure ROI relative to
marketers may have their doubts, Dalene adspend, a successful Direct to Home
Muller, sales manager, Newspaper Leaflet campaign can have a marked influence on
Distributors (NLD), insists that they fail to see in-store foot traffic and brand awareness –
the medium’s effectiveness. “It is the most and even on store turnover. “Marketers need
effective medium for the lowest cost… and it to realise that for a third of the price of a
is as reputable as any other medium.” normal campaign they can reach a more
Direct to Home is an easily personalised selective market within a specific time period.
medium that has great reach. Distributors are They can also achieve better results,” she says.
able to reach millions of households across Muller argues that Direct to Home is as meas-
South Africa in a matter of hours or days. urable as any other medium and that it will
Marketers are able to target their audiences generate a response if the marketing offer is
by distributing material directly to the regions good enough. “The cost per point of other
personalised/addressed information to speak They also audit all distribution processes and
to the needs and wants of individuals, rather services and provide marketers with measurable
than just putting out information and hoping results and feedback.
for the best. We must move away from being As Direct to Home moves forward,
peddlers of unsolicited marketing and Chagonda points to the UK market in which
move towards being information brokers,” ‘brands in hands’ seems to be the trend. This
says Mdluli. is a more experiential and activation-based
It seems that industry regulation and form of Direct to Home marketing, which
industry standards are major issues. involves sending out samples and brands to
Chagonda believes that industry regulation the right target groups. “It’s the only medium
needs to be tightened and polished. In his that utilises all of the five human senses,” he
opinion unscrupulous players damage the says. He refers to the following very successful
credibility and perceived effectiveness of the Gillette Sensor campaign in Europe in which
medium. This is a sentiment that is echoed by a leaflet was distributed informing house-
many of the industry’s major players. holds that plastic packets would be distributed
“Everyone needs to operate to the same high over the following few days. People were
standards of distribution. Those of us who asked to place their old shaving machines in
are doing things correctly invest significantly the packets and to leave them outside on a
in the process,” says Muller. “It’s not just specific day. Each bag was swapped for a
about having an oakie in a bakkie delivering new Gillette Sensor shaver and two blades.
pamphlets. We must demonstrate that this is “Over 200 000 bags were exchanged – it was
a reputable medium,” she says. It boils down a huge success. The same programme has
to reputable distributors – who have access now been run in Holland, Spain and
to reliable data that includes target audience Belgium,” says Chagonda.
demographics (population sizes, where they This platform is ideal for our lower LSM
dwell, etc) – advising marketers on where markets where single servings and samples
and how to best distribute their items for could go a long way to boosting brand
maximum impact and minimum wastage. awareness and sales. g
by nici stathacopoulos EXPERT OPINION
“
accounts for some of the most highly profiled a deadline). Sadly, our teams don’t have the
property developers in the world. In order to luxury of sitting down with paper houses and
secure a Sheikh’s attention – and an appoint- suppliers of innovative elements. They don’t
Think of the delight
ment to one of the multi-million dollar hotel have sufficient time for the meeting and they
developments – the company has the oppor- of the consumers who have even less time available to print on velvet
tunity to present a once off ‘box’ that con- or to manufacture a special box. This said,
tains concise and accurate information that is
receive a letter that is it’s surprising how we can find both the time
presented in the most elaborate fashion. We absolutely personalised – and the suppliers – when we most need to.
judged eight such boxes – the first was After years of being told that I could not pos-
Perspex, the second was wood and the third and that arrives on a sibly laser print on anything heavier than
was an aluminum accordion style box. Each stock which makes them 160gsm bond – and certainly not on anything
was complete with a heavy set, photographic with a finish to it – we have recently found
feel instantly rewarded
”
depiction of the architecture, style and suppliers who are able to deliver exactly what
imagery that represented each developer’s we need. Think of the delight of the con-
vision. After we had seen the first three we
for their behaviour. sumers who receive a letter that is absolutely
decided that none of these boxes possessed personalised and that arrives on a stock
any of the differentiating factors that we were which makes them feel instantly rewarded
looking for. In my opinion, while it is all very for their behaviour.
well throwing a great deal of money at a Now lets get back to the entertainment
pack, the result sometimes still lacks innova- experience. Imagine being the producers of
tion and creativity. the theatrical production, the Lion King. Every
Showtime is not only about the pretty pic- moment – from cast to consumer; from lay-
tures that are used in a mailing or on a out to advert – has to be a show. Now imag-
microsite. It’s about creatively utilising your ine being the marketing director of a great
resources to ensure that consumers are truly brand and proudly sitting back and signing
delighted when they engage with your brand. ommended to one of my clients that she off on a direct marketing piece that is in itself
They should do a dance around your pack, should rather segment her database and mail a show. g
which should be personalised and surprisingly her high value clients than try to reach the
fresh in its approach. They should hunger for entire database with a letter and an envelope. Nici Stathacopoulos
every word in your letter and act instantly. (This is not rocket science – it’s just that I pre-
How do we get to this point? We need to sented the idea to her in a creative way). She CEO, proximity#ttp
(011) 447 7093
be given the time, money and license to do it. agreed wholeheartedly and we are now pro-
nici@proximityttp.co.za
Let’s begin with the budget. I recently rec- ducing three tiers of communication pieces
20 /04/07
Ah, Fridays! Here at ZOO HQ Fridays are post-deadline days. Everyone
trundles in a bit later than usual and a bit more hung over than usual,
before settling down to a calm day of magazine-making. Yesterday Steve
Tanchel photographed Survivor-hottie Jacinda Louw for a ZOO cover.
(M-Net has just announced that a new season of Survivor is starting
soon, so it’s a perfect reason to remind our readers of Jacinda). Today art
director Mike McLeod and I have the pleasure of looking at the pictures
from the shoot and selecting the final versions to be used in the
magazine. Next out is the upcoming cover – we’re featuring the
101 Hottest Models 2007. Who to put on it? Decisions… decisions... Ah
– would you look at the time? 3.30pm already. Just in time to catch the 24/04/07
Australia/New Zealand match on telly. It’s a hard job but somebody has Deadline day number 2:
to do it. Now we’re off to the local drinking hole Su Da Da (we’ve Somehow between the madness I manage a moment to observe that our
renamed it ZOO Da Da in honour of the amount of time we spend there) semi-fictional ZOO character, The Zoode, is gaining popularity and has a
to bid a sad farewell to Ivor Price, assistant editor of ZOO Weekliks. He’s constant online presence at www.zoo.co.za. I spend 20 idle minutes on
returning to the Cape to become a publisher – lucky man! the site (watching hilarious Zoode videos and reading his blog), giggle
and make everyone else in the office watch it too. Enough. On a weekly
21/04/07 magazine there is no time to write more than this on deadline day.
Urgh!
25/04/07
22/04/07 Somehow we get up again on the next day, say goodbye to ZOO issue
Spent some time doing paperwork. It’s performance appraisal time at 27 (which we’ve nurtured over the past seven days) – and start filling
ZOO! It would be criminal to bore you with the details. those 200 empty pages all over again.
10am: Today starts with a lengthy production meeting and a lot of
23/04/07 brainstorming. We settle on a cover girl and a feature idea. Since the
7.50am: Deadline day! Today and tomorrow we go to print, a day Cricket World Cup semis are on there is much Aussie-bashing in the air
earlier than usual because… – and Australians always like to brag about how dangerous and
10.21am: … of the public holiday this Friday. We’re… aah… poisonous their wildlife is! Rubbish! In ZOO issue 28 we take a ZOO-
11.47am: … also welcoming a new assistant editor on ZOO Weekliks, style look at the killer critters that populate Africa and why they’re
Johan Vos, at the staff meeting today. much harder than anything the Aussies could come up with.
12.32pm: I’m still furiously signing off pages before rushing to an 3pm: All work stops as the beer arrives at ZOO HQ and we all settle
interview with KykNet’s Gons. Actually, it’s a double whammy of TV down to watch the South Africa-Australia CWC semi-final.
today. I’m also chatting to the guys from Glitterati tonight about ZOO’s 3.20pm: Ah. Yes. We may need to rethink that feature.
World Bikini Model International 2007 competition. Entries close on
11 May so we are busy publicising the event to encourage models to 26/04/07
enter. This means that I have to be on TV with two previous years’ Shoot day at ZOO! Yay! We’re shooting four lovely models who appear
winners – gorgeous bikini models both. Great. I, sadly, am style- in the Axe Mostesses advertising campaign – you know, those gorgeous,
deficient. This is less of a problem than it would be if I edited a fantasy air hostesses who cater to the every need of the lucky, lucky
women’s mag, of course. I must remember this next time someone passengers. You’ve probably seen the ad on TV. If not, go and look for
asks me how it is that I, a woman, edit a men’s mag. Answer: “I’m too it on YouTube. My favourite co-Bob Dylan fan, Nick Boulton, is the
much of a naff dresser. I am only allowed in men’s mags!” day’s snapper and much of it is spent inside an airplane at Lanseria
I stopped smoking four kilograms – and four months – ago by using airport. Our aim: to show our loyal readers the Axe Mostesses looking
the Allan Carr easy way to stop smoking method. (Sure, it’s propaganda hotter than you’ve ever seen them before. That way, when they see the
but it seems to have worked.) So ZOO style editor Chrisna Raft will Mostesses at the FHM 100 Sexiest Women in the World 2007 party,
have to work her magic on me. I don’t want to look too shabby next they will be intrigued – and buy a ZOO the next day!
to the 21-year-olds! Luckily she’s on the ball and has already selected I go home, delighted to be working with the coolest team this side of that
some outfits I might wear. Off to the dressing room! new planet they just found. I have the best job in the world. And I know it. g
“
ing, constant shifts in approach to meet tipples of choice become the life and soul of the
changing needs and demands at certain party? Jack Daniels and Jaegermeister are now
times… and luck. the hottest drinks in the coolest places. It wasn’t
Branding is about
The branding itch is a reality. Whether it so much about what these brands looked like,
comes after seven years or 17 years there is relationships. If there’s their success lay in what they did. The brand
no empirical evidence to suggest a definite activation was spot-on.
timeframe. In fact in my experience, given our
an itch… scratch it. Like How do we know when a brand needs an
rapidly changing environment and the pace of relationships, some update? Does it manifest as an urge or a need
technology and globalisation, it is increasingly to change? I guess that if we had all the
evident that most brands need to revisit their brands simply need answers, all brands would be great – and
expression to the market every three to five golden wedding anniversaries would be run-of-
work more often than
”
years at the very least. the-mill. Brands can defy the law of gravity. The
Thomas Friedman in his book The World is others. solution lies in a combination of art and science.
Flat highlights several drivers of change (most It’s important to have a clearly defined
notably that of technology) and spells out the brand platform in order to have a reference
dramatic impact they have had on business point for ongoing health checks. This provides
and social change. Professors Jonas a foundation for directing all brand activity.
Riddersdale and Kjell Nordstrom of the Brand custodians constantly need to evaluate
Stockholm School of Economics describe the brand performance intuitively and by using
advent of ‘serducts’ and ‘provices’ in their measurable means such as research and
book titled Funky Business. They dramatise brand valuations (and obviously performance).
the blurring of the boundaries between what Successful brands are guided by visionary
constitutes a product and what constitutes a leaders who understand the market. They
service – and how we as consumers and are able to anticipate changes in it and
brand builders distinguish between them. instinctively manage the ebb and flow of their
For example in the South African banking by bringing in a fresher, simpler identity to brand’s connection to it.
arena, new entrants into the fray, changing complement the bank’s vision. Others such as Branding is about relationships. If there’s
market dynamics and the emergence of a Nedbank and Rand Merchant Bank have an itch… scratch it. Like relationships,
growing middle class have presented very recently updated their corporate images, sim- some brands simply need work more often
interesting challenges for the established plified their brand architecture or redefined than others. g
players. These challenges have accelerated their brand positioning in order to reconnect
their need to evolve. with their target markets. Go Banking (Pick ‘n Sean McCoy
The majority of banks have recently rede- Pay and Nedbank’s low-cost financial services
fined and clarified their offerings to meet the arm) has just launched its own refreshed managing director, HKLM
(011) 461 6600
needs of a changing market. For example, brand to broaden its appeal.
smcoy@hklmgroup.com
FNB modernised the brand’s visual language The pace and process of change in a brand
Experiential Marketing:
A new word for some ways of doing things
by Jan Hofmeyr
Why has above-the-line’s share of response model. The second is to look at which are beyond the marketer’s control.
marketing budgets fallen steadily in the past what are known as ‘split cable TV’ tests of iii). What is experiential marketing and
decade or so and how – if at all – is this advertising effectiveness. In the first method why does it work…
connected to a predominance of what I call we take all the inputs that we can find that While there are multiple definitions of experi-
‘mercenary managers’? Let’s try to answer may play a role in a brand’s sales and we use ential marketing, the heart of all experiential
these questions and in so doing say some- statistical techniques to quantify the impact marketing is the attempt to harness the
thing sensible about the importance of expe- of each input. In the second method we split power of the direct brand experience by
riential marketing. a scanner panel into two, pipe advertising to exposing people to the brand in ways which
i). The emergence of the mercenary manager one half and not the other – and then look are under the marketer’s control. Sampling is
In years gone by one of the most difficult but at what each half buys over the days that one of its simplest forms and ‘event market-
successful ways in which you could become follow. Either way, in the end conventional ing’ represents a more sophisticated option.
wealthy was to start and own a successful advertising accounts for somewhere between Brand events give marketers a chance to
business. In recent years however, this has seven per cent and 15 per cent of a brand’s manage exposure in a way which reinforces
been replaced by an important and easier sales. Up to 80 per cent is accounted for by the intended brand imagery. Brand immersion
alternative. Get yourself hired to run a really other factors, the largest portion of which – which is what a properly constructed
big company; appoint a compensation com- (40 per cent-50 per cent) is what the model brand event is – has far greater power than
mittee composed of people like yourself and makers call ‘brand equity.’ conventional communications when it comes
sit back and enjoy the bonuses that they vote to shaping brand beliefs.
to add to your package! Over time the scope and sophistication of
This is the modern ‘mercenary manager.’ experiential marketing has increased significantly.
This person is not a business owner but a The viral campaign that drew people into the
manager. world of The Blair Witch Project is a great
Competition has forced businesses to example. When properly managed, experiential
become more efficient than they used to be. marketing delivers multiple benefits:
In a world in which the winner is the one • It pervades the experience of the actual brand
who can drive out costs while improving rev- consumption with a range of complementary
enue, the mercenary manager (usually an experiences which touch all the senses
accountant) is king. Employees and share- • It creates ‘buzz’ because the people who
holders have lost their power. Capital efficien- participate willingly tell others about the
cy rules. What does all this have to do with experience they have had
marketing, you may ask? • It creates editorial – provided that it gener-
The problem is that marketers are strug- This being so, we need to ask ourselves ates news interest.
gling to prove that their use of capital is effi- what the most effective way is of building a Experiential marketing is therefore the pri-
cient – and market researchers are battling to strong historical heritage and reputation? The mary means by which marketers can leverage
provide measuring instruments that are able answer does not lie in advertising. Direct the two dominant ways in which people
to substantiate this. What can we conclude, brand experience is by far the most important form brand beliefs, ie direct brand experience
to the extent that we can conclude anything? source of what people believe about brands. and credible word-of-mouth. Given this
ii). There is a problem with advertising… Word-of-mouth from credible sources (like phenomenon we can expect spending to
There is really no problem with advertising. industry experts or trusted friends) comes continue to be diverted from classical
Like all tools, advertising has a role to play in second and marketing communication advertising to new marketing methods like
the creation of brand value. The question (including advertising) limps in third… experiential marketing. g
however, is how much brand value does Quite simply, most of what impacts on
Jan Hofmeyr (Ph.D.)
advertising create? how people feel about a brand either has to
Marketing researchers provide two meth- do with the direct experience of what the international director of Innovation for
ods for answering this question. The first is product folks have created – or with factors Synovate’s Brand and Communications
to create what is known as a marketing that are communicated about the brand Practice
Life in marketing used to be much simpler consumer who wants personalised brand
and more straightforward than it is today. In solutions as well as functional and emotional
the past, marketers segmented consumers brand superiority. This opens the door for
based on their demographic information. personal and participatory marketing activities
Most consumers had traditional roles and that have the ability to offer integrated
responsibilities and the buying power and customer experiences across all points of
decision making processes were clear for contact. In recent years the evolution of
most categories. However, today’s consumer consumer marketing customisation has been
comes in multiple guises and is much coupled with the ever-increasing pace of
more complex. consumer technology development. The basic
Marketers have been forced to respond to mass media channels of the early 50s have
the growing sophistication of consumers and developed into highly individualised and
marketing paradigms that were developed in customised channels such as third screen
the 1950s when products were sold by technology (cellular, PSP, iPod and other
focusing on their quality and functional bene- personalised communication channels).
fits and through mass production. By the 70s The proliferation of media has accelerated
this process had evolved beyond pushing at an exponential rate over the past 20 years.
brands based on their functional and emo- When The Boston News-Letter published the
tional platforms – and by the late 90s it had first newspaper advertisement in America in
reached a stage where marketing had 1704, they could hardly have foreseen that
become contingent on building strong con- 300 years later there would be more than 40
sumer relationships. different channels for marketers to use for
The modern day marketer is faced with a the communication of their messages to
consumers. Along with the increase in dramatic in the higher income segments of the a significant increase in the number of titles
channels, the number of commercial messages market, where satellite television penetration is available (from 63 in 1998 to 106 at the end
that consumers are exposed to on an average at its highest. Coupled with the increased of 2006 – AMPS 2006 RA). The strength of
day have increased from around 130 in 1975 controls that ICASA have placed on television magazines remains their ability to convey
to more than 1 300. advertising availability, this has lead to an esca- highly targeted messages in an intimate and
In order to appreciate how the media land- lation of spot prices across all channels as well trustworthy manner.
scape is changing, it is important to understand as high levels of television media inflation. In-Store signage is able to fulfill the infor-
consumer interaction and the role of each Magazines and newspapers tend to offer mational role when the shopper is actively
communication channel within the greater greater readership engagement because of seeking something. It has become one of the
media context and marketing environment. the way that readers actively consume them. primary focus areas for communication. At a
Certain media serve as background, eg They also have an entertainment and diver- global level the activation marketing spend of
outdoor, sponsorship and radio. Radio is fre- sion component, which tends to soften their many clients surpasses their demand building
quently ambient sound in the environment, focus. Internationally, magazine and newspa- advertising spend.
present at times when other tasks are primary per consumption is stable, a trend that is According to Veronis Suhler, the Internet is
“
– reading, working and of course driving.
According to Veronis Suhler (a specialist inter-
national media merchant bank) radio has We need to be constantly aware of how to
shown steady increases since 1998 and is the
most widely consumed medium internation- reach consumers with marketing messages –
ally. This trend is mirrored in the South
and of how this information needs to change
”
African market, with radio listenership (past 7
days) sitting at 92.7% (AMPS 2006 RA). based on its interaction with different channels
Although the big commercial stations are
showing a consistent decline, there is a
strong growth in community station listener- reflected in South African newspaper reader- the fastest growing communication medium
ship. Radio still remains the key communica- ship data. There are marginal declines evident in the world. In the United States it has
tion channel for much of the rural South in the South African market across almost all become the greatest contributor to advertis-
African population. LSMs for magazines, although there has been ing and brand awareness and online advertis-
For the most part TV has a relatively low ing spend is estimated to reach (US$)1.5 bil-
focus and viewers tend to sit back and have it lion by 2010 (eMarketer report). Internet pen-
‘come at them.’ This is beginning to change, etration is growing rapidly in South Africa,
particularly with the advent of interactive TV although it is still relatively small at 6.4%
and the use of PVR’s, remotes and other con- (AMPS 2006 RA). It is limited to the higher
trol mechanisms. Web streaming, branded income segments of the market, where it is
content and placements within TV shows as high as 65% (AMPS 2006 RA). While still a
tend to follow the same pattern. niche market, it offers the opportunity to
Internationally there are significant declines in communicate specifically targeted messages
terrestrial television viewing. This growth of to certain segments of the population.
cable/satellite viewing – which exceeded In conclusion, it is clear that the world of
terrestrial penetration in 2003 – has resulted traditional marketing and communication is
in significant increases. Global data clearly changing rapidly. South Africa is not isolated
shows that in 1984 an average 12 spots were from these changes. We need to be constant-
required to achieve 100 GRP’s/AR’s. Currently ly aware of how to reach consumers with
the number of spots required to achieve the marketing messages – and of how this infor-
same reach is closer to 67. In South Africa, mation needs to change based on its interac-
research conducted by Charles Foster (man- tion with different channels. Furthermore,
aging director, Millward Brown South Africa) due to the growing aversion to advertising,
has highlighted that the number of new (non the increasing importance of channels such
retail) TV commercials launched per year has as word of mouth and consumer blogs is
increased five fold, from around 500 in 1984 opening up an entirely new world of experi-
to more than 2 500 in 2006. However, the ential marketing possibilities for the successful
average peak noting and impact of these marketers of the future. g
commercials have decreased substantially. In
addition, the amount of exposure required to Hendrik van Vuuren
reach peak noting has increased significantly.
research director: Millward Brown SA
This effect has been considerably more
Driving a car requires multiple simultaneous things in a whole and connected fashion, having another loyalty card in my wallet (a la
activities that are non-negotiable. Whilst even if they are not aware of it. I judge the airlines, financial services companies, the
shifting gears, changing lanes, choosing a CD till staff at Woolies by using one set of expec- place where I buy my toiletries and the
to listen to, separating fighting children and tations; I judge the till staff at Shoprite by sushi restaurant chain). Although loyalty
taking calls on the cellphone, there are really using another. These expectations consist of programmes may be a precursor to the thing
two key things that need to be done con- things that are related to brand, quality, called loyalty, they don’t take it’s place.
stantly and at the same time as the other value, price and image and I ‘smush’ them all Real loyalty requires me to connect with
stuff. We have to look through the front together (un- or sub-consciously) as I rate two things as a customer – the attitudinal
windscreen and regularly look into the rear them. When I evaluate the experience at the and the behavioural (the future behavioural
view mirror. In order to obtain a complete set till (satisfaction if you like) I do it in the con- stuff). So if I feel committed (attitudinal
of integrated data that enables us to drive text of what I expect from the brand experi- stuff) – and I intend to continue this relation-
the vehicle effectively and safely and to ence. My evaluation is influenced by the ship, at least in the short term – I am a truly
navigate the roads and hazards, we need to advertising, the price I pay, the brand promise loyal customer.
know both where we’re going and where and the overall quality that I expect in terms Actually, I’m not too fussed about what
we’ve been. of each of these things. So the fact that these we call it – my concern is that we stay true to
It’s no different in business. Navigating the are all actually ‘rear view measures’ aside, it’s the science. We need the predictor or future
strategic and operational elements of view of how a customer intends to
the business environment without a act, to add to the historical view of
holistic and integrated set of meas- his or her experiences. We then
ures is impossible. So why try to do have true loyalty or deep engage-
it? Some businesses have no meas- ment – call it what you will. The
ures at all and many are only working experiential or satisfaction stuff, the
with fragmented and retrospective brand stuff, the pricing stuff and so
information. The trick is always to on, are all influencers of or precur-
think FTCPOV (from the customer’s sors to the loyalty construct.
point of view). Customers experience What are the consequences or
an organisation in a holistic and results of having truly loyal cus-
integrated fashion – and this is exact- tomers? (Here’s why this is crucial
ly how we should measure our rela- for marketers.) The consequences
tionships with them. really best not to create artificial scenarios for are the essential business enhancing behav-
While there are companies that believe a customer to assess in a vacuum – this is not iours that we all want from our customers –
deeply in only using gut feel, in organisa- real life. they’ll stay longer, buy more, recommend us
tions where research is used – whether it Assuming that we measure these things in (the latest global hot thing to track and
happens to be DIY or whether it takes place a whole and connected way, all that we end manage), resist offers from competitors
with a research partner – a whole menu of up with is a view of how it was in the past. and limit their search for alternatives. The
things may be measured. So how does one Did the customers stay? Did they leave? science has proved that a set of good
describe a ‘rear-view’ measure or a ‘front Did they like the experience? Did they like experiences alone do not predict these future
windscreen’ measure? Most often, someone the price? Did they like the advertising? You desirable behaviours.
will measure something to do with satisfac- get my drift. Now try and drive your car Yes, we do have to look at the
tion, the strategy person will measure pricing, while only looking into the rear view mirror. churn/retention, sales and figures, as well as
the brand person will measure brand It’s impossible. measure brand and experience and such –
health/strength/affinity and perhaps advertis- So now let’s get to the ‘front-windscreen’ and ask the customers about their intended
ing recall/affinity/effectiveness, the customer measures. This is where loyalty comes into behaviour – all at the same time. We then
service person will measure complaints, the play. For a start we need to get into the same have a complete set of integrated data, from
sales person will track retention/churn and headspace about what loyalty is – and it’s both the front and rear views, with which to
sales figures and so it goes. These are ‘rear easier first to deal with what it isn’t. The sci- navigate the business. It is doable. You do it
view measures’ which are good things to ence teaches that it isn’t about ‘buy a dog’ every day in your car! g
keep a track of – just not in the way that it’s (blind following and acceptance); it isn’t
typically done. about staying forever (‘Gee, he’s loyal, he’s Heidi Brauer
The fact is that customers experience been here since 1963’) and it isn’t about marketing director, Markinor
“
and strategic execution of all available online and message) and interactive video are price-
marketing channels. less vehicles for brand equity. With an
Make sure that you
So you’ve just spent thousands on a new Advergame your target market interacts with
website – what now? Perhaps you’re still are not wasting your your brand. This is something that you can
spending your current marketing budget on measure. It involves a recurring motion of
TV, radio, print etc? Without combining
media – something we playing and interacting – great for your return
online with your offline marketing mix, you still see with South on investment.
will always be one step behind. Internet This brings us to the matter of measurability.
marketing is the most measurable of all African publishers who Creative that uses a technology such as Flash
marketing mediums. It allows for targeting allows for tracking beyond impressions and
use pop-ups. Please do
accuracy that is way ahead of any offline click-throughs. You can track interactions in
medium and it can be as engaging or as not squander your the creative with razor sharp precision. What
interactive as you wish. It all depends on what other medium affords you the opportunity to
you would like to achieve. You also need to
advertisers time and do this in real-time? There are no rules or
money – pop-ups are
”
plan in order for this to happen. predefined formats for online media plans. I
The online media plan is the foundation on like to think of all online media plans as a
which any planning and creative conceptuali- tantamount to spam. finely tuned set of mini-plans that utilise
sation must be built and any campaign comprehensive research, technology and
requires that you consider the target market online marketing experience. Make sure that
and the message and results you’re looking to you are not wasting your media – something
attain. Certain channels such as SEO take we still see with South African publishers who
longer to implement and have to have a long- use pop-ups. Please do not squander your
term focus in order to achieve results. advertisers’ time and money – pop-ups are
Rich media campaigns, where technology tantamount to spam.
such as Flash, video and other interactive ele- There are many opportunities for marketing
ments are used, are generally used for shorter in the online world. Provided that you under-
campaigns that require more of an impact. stand what you want to achieve, plan correctly
There will be a use for banner ads for some and take the time to explore the existing
time to come, as long as they are part of a opportunities, you will see results. g
well-planned and integrated online marketing
campaign in which a combination of channels which to spread campaigns. Even if this were Yoav@ilogic.co.za
such as search marketing, blogs and rich true, by using Geo-Targeting technology you
media are used. are able to ensure that your advertisements director, iLogic
Tel: +2711832 2800
There is a false notion that there are not are shown only to users from South Africa –
yoav@ilogic.co.za
enough publishers in South Africa across or any other country, region or even city of
Masterclass ‘07
C RM 5th June 08h00 – 12h30
Southern Sun, Grayston Johannesburg
Learning about the best experiences from the best people and all very relevant to SA. Most importantly you will be
able to ask your questions in one-to-one sessions with some of South Africa’s most successful CRM practitioners,
just look at the names below. Morning workshop organised by Marketing Mix in association with the DMA and lead
by Nici Stathacopoulos, a very eminent CRMer indeed.
Programme:
Technology, Enabling CRM Solutions Yaron Assabi CEO, Digital Solutions Group
How Custom Publishing Builds Loyalty Bridget McCarney CEO, New Media Publishing
It will be a busy morning. You will learn a lot and also will get good answers to your questions. The charge is
R1 500 plus VAT and 3 or more delegates reduces the charge to R1 250 plus VAT per delegate.
Terry Murphy
Publisher
Marketing Mix
by frank joffe LAW MIX
Registering designs
Clarity on certain critical areas of the Assessment of novelty:
Designs Act has finally been achieved, thanks The court confirmed that in line with the
to a recent – as yet unreported – judgment of established principles for patenting inventions,
the Supreme Court of Appeal. it is not permissible to mosaic different pieces
In addition to establishing important of the prior art in attacking the novelty of a
design-related principles, the judgment in registered design. Generally speaking, the
Clipsal Australia (Pty) Limited v Trust Electrical prior art consists of all matter that is in the
Wholesalers [2007] SCA 24 (RSA) is the first public domain at the date of application for
Appeal Court judgement to deal with regis- the relevant design.
tered designs under the present Act. Furthermore, the assessment of novelty
The issues in question include the following: must be assessed against the background of
relevant prior art, ie the definitive statement
Sets of articles: and drawings have to be assessed in the light
The Act permits the filing of a design applica- of the state of the art to determine the
tion for a ‘set of articles,’ defined as a number degree of novelty achieved. This is so because
of articles of the same general character, where the measure of the novelty of a design
which are ordinarily on sale together or is small, the ambit of the monopoly is small.
intended to be used together and to all of
which substantially the same design is Originality:
applied. The court held that the object of the The court found that the present Act differs
provision is to enable an applicant to obtain structurally from its antecedents to the extent
“
registration for the design of more than one that it requires that a design has to be both
article for the price of one. new and original. While the Act requires that
The Act stipulates that what constitutes a novelty be tested against the prior art, there is
set will be determined by the Registrar of
The registration of a no measure against which originality has to
Designs. The court held that if the Registrar design applied to a set be tested. The court held that the meaning of
had registered articles as a set when in truth the term ‘original’ when applied to aesthetic
they did not form a set, it was at best a mat- of articles provides a designs, is the same as or akin to the mean-
ter for review and could not be raised as a ing of the term in copyright law, ie that the
cost-effective way of
defence for infringement or serve as a ground design should not have been copied from
for revocation. The judgment further estab- registering a number of another source.
lishes that the registration of a set of articles
as such cannot be used in interpreting the
related designs and the Infringement:
scope of registration. Each member of a set issue of whether such The court held that a test for infringement was
has its own individuality and must be assessed not a trademark infringement test and that the
on its own. articles do in fact com- issue was not whether or not there was
In short, the registration of a design prise a set is one for the confusion or deception. Thus it would be
”
applied to a set of articles provides a cost- wrong to introduce concepts developed in a
effective way of registering a number of relat- Registrar to decide. trademark context, such as imperfect recollection.
ed designs and the issue of whether such arti- Rather, a designs test is closer to the patent
cles do in fact comprise a set is one for the infringement test and relies on the good sense
Registrar to decide. In the absence of an of the tribunal to decide if the substance of the
application for a review of the Registrar’s design with the object of claiming novelty or invention or design has been pirated. g
decision, the registration of a set of articles originality of a particular feature.
may not be used as a ground for the invalidity This is achieved via the filing of a definitive
Frank Joffe
or revocation of a registered design. statement as part of the application. Should
such a statement not be filed, the whole of managing director, Intellectual Property
Whole or part: the design will be considered, not only for the Bowman Gilfillan
The judgment confirms that an applicant for a purposes of novelty and originality but also (011) 669 9000
design may elect to isolate an aspect of his for infringement. f.joffe@bowman.co.za