Tagged 'retail'

Saudi hardware retailer spotlights groom’s burdens

help-mousaedIn Saudi, where grooms are expected to pay the bride’s family a dowry for her hand in marriage, many young men are asked to bear financial burdens they cannot hope to shoulder. Saco Hardware, in collaboration with JWT, created a social media promotion that spotlights the financial challenges facing young people and positions the retailer as a tool for helping them.

We came up with a simple concept/story: A video clip shows young Mousaed making the traditional visit to his future father-in-law, who demands 28 items from Saco as a dowry. Returning home, Mousead finds the catalogue is ripped to shreds, and the young man is left to guess the names of the items he needs to buy. Photos of torn pages were posted to the Saco Facebook page, and people were encouraged to identify the products to help Mousaed get one more item toward his marriage. Correct guesses won items.

The campaign is doing well with minimal support, and the hope is to evolve the effort into a commitment to sponsor newlyweds who need to furnish their apartments. For more social media case studies, see our Social Media Checklist.

Photo Credit: http://www.facebook.com/sacoksa?v=app_7146470109#!/sacoksa?v=app_7146470109

Dunkin’ Coffee shows it’s in touch with Spain’s consumers—unlike politicians

zp-cafeThe general sensation that politicians are disconnected from reality gets even more pronounced during a downturn, often contributing to anxiety. Several years ago an infamous incident showed Spanish Prime Minister José Luis Rodríguez Zapatero’s disconnect from everyday life: During a TV debate with citizens, a man asked him how much a coffee costs, and Zapatero answered “80 cents,” 40 cents under the actual price. “Zapateros’ coffee” became a classic media buzzword, indicating how out of touch politicians are with their countrymen.

Earlier this year, as Spain’s consumers continued to grapple with high unemployment and other effects of the downturn, JWT created an 80 cent “ZP’s coffee” promotion for Dunkin’ Coffee. Since this low price had existed only in the optimistic mind of the prime minister (nicknamed ZP), we made it real, demonstrating that a “better world” can exist! With only point-of-sale marketing—copy read “This month, have a coffee with a different frame of mind”—the “ZP coffee” got significant media coverage. This simple way of leveraging a catchphrase put a smile on people’s faces and transmitted the brand’s connection with its customers’ needs.

Insurance company responds in a flash to Singapore floods

NTUC ST Fullpage PATHAs a clean and efficient city with an ultra-modern sewage system, Singapore is not a place you would associate with flooding. But one freaky Wednesday morning in June, an intense and prolonged rain caused knee-high flooding in several parts of the island, including the tourist haven Orchard Road. Shops were flooded, buses were stuck on the road, and cars were floating in apartment buildings’ basement parking areas.

In a display of quick thinking amid anxiety, NTUC Income—a once stodgy state-owned insurance company—ran print ads the very next day. One headline assured readers that “We won’t leave you high and dry. Even when you’re waist-deep in water,” while copy in another ad promised that “you won’t have to worry about footing the bill, when you set foot on dry ground again.”

The resulting buzz has been phenomenal. But more than being clever advertising, this is a great example of how a speedy response is the best one in the real-time world we live in (especially for an insurance brand)—and that pre-empting anxiety is just as effective a strategy as responding to it.

Photo Credit: http://www.campaignbrief.com/asia/2010/06/someone-will-pay-for-wet-wedne.html

AmEx downplays upmarket credentials in the U.K.

amex-posh-nosh1Recent American Express advertising in the U.K. attempts to reverse the brand’s luxury image, telling consumers they should no longer just consider it for “posh nosh” and “vintage bubbly” but also for burgers and shampoo (bubbles for your hair, not your glass). What’s interesting is that American Express has spent years creating its luxury image. But in this post-recessionary world, it’s frowned upon. Many of us are worried about being associated with the overtly upmarket or luxurious. Gone are the days of flashy watches, over-the-top cars and flashing the credit card that suggests you’re loaded. Frugal is still the new flash.

Consumers seem to like the ads—they garnered positive feel-good scores in a recent study of digital outdoor advertising by Clear Channel Outdoor and Kinetic that used new face-tracking technology. And what better cure for anxiety is there than that?

Photo Credit:http://www.mediaweek.co.uk/news/1002107/gallery/7594/page/1/#7594

Pepsi gets egg on its face with Mexican promotion

A Pepsi promotion in Mexico that seemed designed to address consumer anxiety ended up causing some angst instead. The major causes of anxiety in Mexico, a country beaten down by regular economic crises, are uncertainty about future income, job loss and rising food prices. (For more on anxiety in Mexico, click here to download our AnxietyIndex Mexico report.) In the states of Puebla and Veracruz—where poverty rates are high and families regularly struggle to buy the basics—Pepsi distributors launched a promotion in which people could redeem two specially marked bottle caps at small corner stores for an egg (yes, a fresh egg).

The “Now Pepsi is worth an egg” campaign, which ran during April and part of May, was supported with TV, press and, of course, posters outside the corner stores. Problems began to surface when shopkeepers would not redeem the Pepsi caps, even those that displayed the promotional materials outside. Consumers started blaming Pepsi, though the point-of-sale materials stated that Pepsi was not responsible for the availability of eggs.

The idea of demonstrating the brand’s empathy and solidarity with struggling consumers, and helping them in a real way, was a good one. But Pepsi distributors failed to fully consider the logistics behind the idea. Once a brand launches a promotion, it has to deliver an immaculate implementation, strengthen it, ensure the participation of partners, put monitoring and control programs in place, provide a call center for consumers and so on. In this case, something that could have been historical became hysterical.

Photo Credit: dos tapas un huevo? by ~brickarms on deviantART

Philip Morris, Clorets see co-selling opportunity in Japan

philip-morris-and-clorets-gumAs mentioned in a previous post about co-branded kits of canned coffee and packages of smokes, cigarette brands facing declining sales and a shrinking market are looking for ways to steal share and reinforce loyalty wherever possible. The latest effort by Philip Morris leverages the ever-present concern of the smoker—smoker’s breath—by offering a box of cigarettes bundled with a pack of new Clorets gum in a two-in-one package.

This is a good example of turning an issue of consumer anxiety arising from one brand into a co-selling opportunity with a second brand that solves the problem, resulting in a win-win for both. Philip Morris gains a chance to convert new users, while Clorets gets its new product into the hands of a potentially core target. This is also an example of creatively re-imagining how your products are sold, one of our recommendations for brands in our Recession Handbook.

Photo Credit: Jordan Price

Saudi group aims to make malls a better environment for women

it-suits-youIn Saudi Arabia, there’s not much in the way of entertainment. I grew up spending quite a bit of time in malls and restaurants, the only source of entertainment. They are also among the few open places in a country that mostly segregates women and men. But although religious and social norms call for respect toward women, they are often harassed in malls. 


Now some young men in Riyadh have formed a group called Layeg Aleek (“It Suits You”), which sets up stands in malls to educate both young men and women on appropriate behavior in public places. It used to be that only government-appointed officers would be responsible for this; having young men speak to their peers instead is a refreshing and overdue idea. (Socially, Saudis do condone giving advice and discussing matters of religions and manners quite openly.)

While this initiative is very specific to Saudi society, perhaps brands can take inspiration from the notion of helping to make shoppers more comfortable in the retail environment.

Photo Credit: http://www.facebook.com/photo.php?pid=4247409&op=1&o=global&view=global&subj=182681962433&id=522715676

Walmart shows Mexicans it’s engaged in local concerns

pauletteMexicans are increasingly anxious about personal safety and more empathetic to crime victims. When a little girl, Paulette Gebara Farah, was reported missing last month, millions of Mexicans rallied around her cause (sadly, and confoundingly, nine days later she was found dead in her bedroom). Walmart responded by quickly joining the collective effort, proving that the global company could be an active member of its local community. The retailer put photos of the girl on every cash register and let sheets with her picture be affixed to the back of cereal boxes.

Walmart’s reaction was a significant way of showing Mexicans that it has a real interest in giving something back to the community, especially when confronted with an anxiety-inducing situation. They say, “Desperate times require desperate measures,” and for companies or brands to show interest and actively engage on issues and events of concern to society can surely generate only good will.

Photo Credit:http://www.facebook.com/photo.php?pid=105131&id=107103509322896

Target’s mobile coupons a smart tool for post-recession consumer

Helping value-minded consumers shop more smartly is becoming increasingly important for brands and retailers in the post-recession era. According to a new PricewaterhouseCoopers report, the “rampant deal-seeking” of the recession is giving way to a selective consumer who still uses “shopping techniques and tools discovered during the recession.”

A PwC executive notes in a press release that as tools such as online and mobile coupons, comparison shopping sites, and loyalty and rewards programs become more ingrained among shoppers, “retailers will need to adapt their strategies to appeal to this new generation of consumers.” One recommendation is that retailers make “promotion and savings-related information more easily accessible across all shopper touch points.”

Target took a step in the right direction last week when it became the first major nationwide retailer in the U.S. to introduce mobile coupons. Customers sign up online or via text, then get monthly texts with links to a coupon page. The store clerk scans the bar codes from the phone at checkout. Watch for mobile coupons to become as popular as they already are in Japan, where consumers have used them for several years already. Juniper Research has forecast that in the developed world, more than 1 in 10 mobile subscribers will use mobile coupons by 2014, according to USA Today.

target

 

 

 

 

 

 

 

Photo Credit: www.target.com

Uniqlo’s cheap jeans lead deflationary trend in Japan

UJIn the past year, price competition has intensified in Japan, especially in the apparel, furniture and food categories, and appears to have accelerated the country’s deflationary trend. Brands are shifting to provide both good quality and low price to attract consumers with tight purses and discerning eyes.

Last year the casual-clothing chain Uniqlo helped spark this deflationary trend by surprising consumers with the “g.u.” jeans line, priced at just ¥990 ($9.99) a pair. In response, rival brands released even lower-priced jeans at other big retailers (Aeon Co., Daiei Ltd., Walmart-owned Seiyu Ltd. and Don Quijote Co.). For spring, Uniqlo is now launching “UJ,” and changing the current perception of jeans in the process with a line that offers a new standard of quality, design and price—between ¥1,990 ($19) and ¥3,990 ($39).

This trend is a threat for the authentic jeans brands (Levi’s, Edwin and Right-on), which come with a substantially higher price tag, from ¥6990 ($69) all the way up to ¥30,000 ($300). These brands will have to react as soon as possible now that cheaper products are no longer cheap quality.

Photo Credit: UJ