JWT’s AnxietyIndex is designed as a place to discuss how brands and consumers are responding to the global recession. With daily content updates, AnxietyIndex.com includes contributions from around JWT’s network, offering a truly global perspective.
In our AnxietyIndex Quarterly report on hope-fueled vs. fear-fueled brands “What Hope-Fueled Markets Can Teach Brands,” we urged brands to return to the core value of hope. More brands are doing this in the emerging markets of Brazil, India and China than in developed markets, which tend to be more fear-fueled than hope-fueled. Marketers from Coca-Cola in Spain to Havaianas in Brazil have sold hope as a way to overcome adversity and fend off anxiety.
Before Christmas last year, as consumers tightened their wallets, the Red Cross in Portugal decided to sell hope in a literal way. In a popular mall in Lisbon, it opened a store where little cards promoting “hope” were clipped onto hangers and stocked on shelves, just as normal goods would be; the cards sold for 10 euros apiece. “Hope” was positioned as a gift alternative for the holidays, a product that people can’t hold in their hands but can feel emotionally. Shoppers could get the satisfaction that comes with both a mall transaction and the act of giving.
It was a success—hundreds of people attended the opening night, and in its first day the store achieved a place in the mall’s top 10 for sales. The Red Cross extended the stores’ hours as well as its closing date. And the store not only helped raise immediate funds but boosted awareness for the Red Cross.
Where its messaging could have played on the guilt of previously generous patrons, the Red Cross spoke in a voice of optimism. A hope-fueled approach can only benefit nonprofits and regular marketers alike as another challenging holiday season approaches.
This is one more example of a brand leveraging the crisis to communicate with consumers. Which doesn’t mean that it’s creatively good—it’s not. We’re talking about Anador, a well-known analgesic brand in Brazil used mainly for headache relief. It was easy for the brand to make a link with this crisis moment; after all, money (or lack thereof) is one of the major causes of headaches, at least metaphorically.
Anador’s new campaign, “Live your life without pain with Anador. No more headaches,” provides consumers with tips on navigating the domestic and day-by-day economy. It does this via collectible brochures available free from drugstores. The campaign also includes a contest in which a year of groceries is the prize, a bonus sure to alleviate headaches in a time of crisis.
With the contribution of Felipe Senise
Toys “R” Us is following the lead of Kmart and Sears in offering shoppers a layaway option for the holiday season. “The Big Gift” program helps people pay for bigger-ticket items such as bikes, swing sets and baby furniture: Shoppers put down 20 percent of the total purchase and pay a $10 service fee, then pay off the rest in small, interest-free increments. Participants must make the final payment by Dec. 6 for items to be delivered in time for Christmas. Toys “R” Us has said it may extend the program beyond this holiday season if it proves popular.
In what is likely to be a tough holiday season, layaway is a smart way to attract consumers who don’t have credit or want to avoid piling on more debt. And after nearly two years of recessionary living, people are becoming accustomed to delayed gratification. eLayaway.com, which administers online layaway programs for retailers including Best Buy, Apple and Dell, has seen business double over the past year, according to the Chicago Tribune. Surprisingly few retailers are adopting such programs: “I’m surprised we haven’t seen more companies announce layaways at this point,” Ellen Davis, vice president of the National Retail Foundation, recently told the Tribune.
National Bonds Corp. in Dubai has launched a “Save for Life” promotion in an effort to change people’s attitudes toward saving. (NBC, described as the National Saving Scheme of the UAE, is a three-year-old joint stock shareholding company in which the government of Dubai holds a 50 percent stake.) A Mercedes is given away in each weekly drawing—taking place from October through December—for customers with holdings of at least 3,000 AED (about $800); those with 10,000 AED (about $2,700) or more are eligible for a weekly prize of 1 million AED.
At the end of the promotion, a grand prize drawing (open to customers holding at least 25,000 AED) will give away a furnished two-bedroom apartment, a Mercedes and 1 million AED.
It’s hard to imagine that these incentives will ultimately lead to a life-long savings habit or culture. Most people just need to be educated on managing their money. In Dubai, most of the expats are simply there to make money—before the recession, rising rents and the glitz and glamour of the city left them little inclined or able to save, and now they’re even less able to do so. But habits are hard to kick, and those who are accustomed to spending will continue doing so, at least to the extent that they can.
This recession has created a lot of guilt around spending money on things we may want but don’t necessarily need. In her upcoming book Bitches on a Budget, Rosalyn Hoffman, a former fashion buyer and marketing executive, argues that living on a budget need not mean abandoning the fabulous life. “Living well is one trend that will never go out of style, and it doesn’t take oodles of moola to make it happen,” reads promotional copy. Targeting affluent women who now find themselves on a budget, the book (due out Dec. 29) and its accompanying blog offers tips ranging from where to find the most affordable organic honey to a homemade solution for getting stains out of carpet. One tip recommends Shop It to Me, a service that regularly searches the Web for sales on items that match a user’s size and preferred brands.
Bitches on a Budget illustrates how the habits of affluent shoppers are shifting as they figure out how to align their new budgets with their old ways. These consumers are coming up with creative ways to get around budget barriers in maintaining aspects of their pre-recession lifestyles. Brands that represent the luxury lifestyle that consumers miss must work to maintain their status as “worth saving up for,” giving affluent shoppers reason to save on other items in order to make room for an ultimate-goal purchase.
The festive season has beaten consumers’ blues and acted as a tonic for their anxiety. It started with Onam in the South, increased its tempo with Durga Puja in the East, then came Navaratras, and the season finally peaked last week with Diwali in West and North India. This is a period when a lot of gifts are purchased, and it’s also considered an auspicious time to buy all things expensive for oneself and one’s home—jewelry, durables, automobiles.
It seems that consumers were just waiting for the season to kick in as a reason to splurge. This festival season has been phenomenal for marketers across almost every category, from retail and durables to automobiles, apparel, furniture and liquor. Car sales rose 21 percent in September. Future Group, India’s biggest retailer, clocked more than $107 million in 10 days, while Samsung and LG saw revenues grow nearly 40 percent during the festival period.
It seems that the only signs of anxiety among Indians emanated from the torturous traffic encountered while visiting friends, relatives or colleagues.
The New York Times recently ran a story, “In New Campaigns, Spots Take On a Rosier Hue,” observing that new messaging from brands including GE, Bank of America and Levi’s visualizes a bright future for America. “Marketers’ emphasis on American pride and an economic comeback suggests that the air is starting to crackle with optimism,” the paper reported.
But new spots for John Hancock’s “Cursor” campaign—dialogue-free commercials in which people tap out digital messages—acknowledges some disheartening realities that everyday Americans are facing. In one ad, an older man in a café messages a friend: “Remember when we used to say ‘WHEN’ we retire like it was a sure thing?” Responds his mate: “Then it became a lot of ‘WILL WE.’” To get “from WILL WE back to WHEN WE,” the spot touts Hancock’s findtheanswers.com. In another spot, a middle-aged man texts his wife about someone whose parents are selling their house—“realized their money wouldn’t last”—and moving in with the younger couple. “Tell me that won’t b us,” he pleads.
Viewers likely want a bit of both approaches. John Hancock’s message that it understands the retirement-related anxieties of Americans will surely strike a chord; at the same time, consumers want to believe in an “American renewal” (as GE puts it), even if the job market they’re facing offers little immediate hope.
Saudi Arabia is very fiscally conservative, and messaging from banks focuses on the careful relationship between the person and his money. The banks are very cautious about who they loan to; earlier this year, our work for HSBC (known locally as SABB) targeted reliable prospects with stable jobs.
Saudis who are on the brink of a new life—recent graduates, new parents, first-time homebuyers—tend to be anxious about how they will secure the funding to fulfill their dreams. A new bank, Al-Inma, is making a revolutionary and risky move, going against the grain by promising loans to the strivers. Its hope-filled message is based around the unique Arabic word “Tafa’al,” which encourages people to be optimistic. Al-Inma is positioning itself as the bank that helps all borrowers achieve their goals, even in hard times, a message that’s been very successful in gaining awareness for the bank.
The OTC pain-relief category in China has been very competitive due to low product differentiation. So successful brands such as GlaxoSmithKline’s Fenbid try to differentiate on emotional territories. Since as early as 1995, Fenbid has consistently worked to own “empathy” and “care” with touching copy. Fenbid’s latest campaign for headache relief caught my attention because it shows how anxiety can be turned to brand’s advantage if handled skillfully.
The TV commercial features a real-life conscientious lawyer who helps poor people protect their civil rights. Her monologue has the audience empathizing with the pressures and anxieties she must have weathered over the years in dealing with numerous difficult cases. The product comes into the scene as she starts to talk about how anxiety-induced headaches can render her mind blank—but that thanks to Fenbid, she can continue to work for the people.
“Coke deckt den Tisch” (“Coke sets the table”), Coca-Cola’s new campaign in Germany, brings the whole family back to the table and successfully communicates that Coca-Cola is a perfect drink to serve at mealtime.
Families tend to come together during economic downturns and uncertain times, and they’re more likely to do so at home, since people are dining out less often. A recent survey by TNS Infratest on behalf of Coca-Cola confirmed this and also found that in Germany almost half of Coca-Cola drinks are served with food. And 40 percent of these drinks are consumed at home. The survey also found that 95 percent of families want to spend more time together and more than two-thirds want to eat at home together more often, but only half do so.
This recession has created a lot of guilt around spending money on things we may want but don’t necessarily need. In her upcoming book Bitches on a Budget, Rosalyn Hoffman, a former fashion buyer and marketing executive, argues that living on a budget need not mean abandoning the fabulous life. “Living well is one trend that will never go out of style, and it doesn’t take oodles of moola to make it happen,” reads promotional copy. Targeting affluent women who now find themselves on a budget, the book (due out Dec. 29) and its accompanying 
been phenomenal for marketers across almost every category, from retail and durables to automobiles, apparel, furniture and liquor. Car sales rose 21 percent in September. Future Group, India’s biggest retailer, clocked more than $107 million in 10 days, while Samsung and LG saw revenues grow nearly 40 percent during the festival period. 
