Companies Put Billions into Promo 'Freebies'
Companies Put Billions into Promo 'Freebies'
The Street
If you are a doctor, or ever worked for one, odds are you haven't bought a pen in years. As part of the marketing blitz waged by pharmaceutical companies and medical device makers, pens imprinted with the logo of their wares are ubiquitous and, until recently, were doled out like Halloween candy. The items may be small, but there is big business as companies, large and small, buy and pass along freebies—all those pens, mugs, caps and T-shirts intended to build or reinforce name recognition.
The Advertising Specialty Institute estimates that companies spent $17.4 billion on logoed business giveaways last year, an average of $56.13 for each person in the U.S. Although the cost isn't shared equally, of course consumers are on the hook for paying back, item by item by item, what companies and institutions spend on promo products. The industry grew by 9.1% last year, with businesses and organizations in the South leading the nation in terms of money spent on logoed promotional products by region—$5.9 billion last year.
Marketers, Quit Blaming Your Agency—It’s Your Brief At Fault
Advertising Age
John Harrobin isn't a fan of the "blame the agency" school of advertising.
Recently, Mr. Harrobin, VP-marketing communications at Verizon Wireless, informed more than 100 execs responsible for marketing in his division that their job performance will now be evaluated on more than strategic thinking, leadership skills and contributions to the business success of a brand. It will also be judged on demonstrating excellence in providing Verizon's stable of agencies—which include McGarryBowen, McCann Erickson, Hill Holliday, R/GA, Tribal DDB, Zenith, Global Hue and Moxie—clearly defined briefs from which to execute marketing communications and campaigns.
In other words, Verizon, the country's second-biggest ad spender, wielding a budget that Ad Age DataCenter pegs at more than $3 billion a year, is putting its money where its marketing is.
Agencies Value, Craft New Post: Creative Technologists
Marketing Daily News
Creative technology is now a core agency competence," stated Nancy Hill, president and chief executive officer of the 4As, in remarks at the association's first CreateTech conference, Friday in New York.
Although increasingly important, the "creative technologist" position at agencies is still relatively new. As JP Rangaswami, chief scientist of Salesforce.com, pointed out, the words "creative" and "tech" have not merged often. Hill refused to define what the creative technologist does, saying the position "must have organic freedom in order to evolve."
Two co-chairs of the 4As' new Creative Technology Committee offered their own take. Trevor O'Brien -- creative technology director of McKinney, the 40-year-old, Durham, NC-based agency that went independent in 2008 after seven years under Havas -- said the creative technologist has five functions: research and introduce emerging technology; suggest concepts; build prototypes as proof of concept; help manage the clients; and guide projects to live date.
Creative technologists, he said, don't have to be app developers, but should have a background in coding.
Subway CMO on the Brand’s ‘Commit to fit’ Sweepstakes
Promo magazine
Most of us know Jared Fogle, the long-time Subway spokesperson who lost 245 pounds eating the brand’s sandwiches and exercising. He is credited with increasing sales and bringing in lots of new customers. And when he pounded the pavement for 26.2 miles during the 2010 ING New York City Marathon as a fit and trim “everyman,” his presence helped increase the number of participants in the first run of Subway’s “Commit to Fit” sweepstakes promotion.
About 100,000 people registered to set, share and adhere to fitness goals. This year, Apolo Anton Ohno, the gold-medal decorated Olympic short-track speed skater takes the baton from Jared to run the Nov. 6 race and set the pace for the second iteration of “Commit to Fit” sweepstakes. The sweeps offers a variety of prizes from Subway gift cards to up to $25,000.
Tony Pace, the chief marketing officer at Subway, talks about Take Two of the program and the health of sweepstakes in general.
New Study: USAA Is Tops In Customer Experience
Marketing Daily News
Online retailers and restaurant chains are among the Top 10 companies in marketing firm Nunwood's ranking of Top 100 consumer brands for customer experience. But a financial services firm for military families topped the list. United Services Automobile Association, based in San Antonio, Tex., beat Darden Group brands, not to mention Zappos, Amazon and Apple.
The Nunwood Customer Experience 100 is a new study based on a poll of 4,853 U.S. customers that ranks brands on four factors on a one-to-ten scale: Would you recommend them? How did they meet your needs? Were they easy or difficult to deal with? How did each company meet your expectations?
USAA had a score of 8.34. Second place was Amazon.com with a score of 8.29. Third and fifth place were Darden's Red Lobster (8.19) and Olive Garden (8.02) brands, while Charles Schwab (8.06) was between them at fourth. Forty of the Top 100 brands were retailers, while fast food restaurants and financial services companies each made up a fifth of the full list. Just seven hotels chains were in the Top 100.
Among other online retailers, Netflix (7.97) was sixth and Zappos.com was ninth. Southwest Airlines, at 7th place, was one of only four airlines to make the list. Eighth place was Krispy Kreme, which bested Apple Stores, which tied with Subway, both at 10th place.
Infographic: The Changing Scope of Advertising
Advertising Age
Yesterday, we looked back at the 200-year history of modern American advertising in that gargantuan infographic from Aquent and The Barbarian Group. Now, we look at the recent past and into the future with the following infographic, from MDG Advertising, called The Changing Scope of Advertising.
MDG writes: "In advertising, as in life, it seems the only constant is change. Innovative formats, new technologies and shifts in priorities mean there’s always something new and always something next in our ongoing quest to communicate with consumers. While tracking the trends of today and tomorrow takes extensive research and insight, MDG has compiled this data … that clearly paints a picture of advertising’s ongoing evolution."
It's fairly rudimentary stuff, but a decent overview of the big shifts from channels to formats; from fixed/static placements to mobile reach; and from outbound to inbound messaging.