Daily Mail Launches Fashion Sharing Website and App

The group behind the popular newspaper The Daily Mail, have this month launched a fashion wearing website and mobile app called 'Today I'm Wearing.' 

The new site allows followers to upload pictures of themselves wearing their favourite items of clothing. They can then tag these items, allowing viewers to see where they got them and how much they cost. The website has also been partnered with fashion search engine 'ShopStyle' to allow users to then shop online and make a purchase based on other people's uploads.

Users can 'follow' certain profiles much like Twitter in order to keep up to date with their favourite profile's latest outfits. Registered users can also post comments underneath pictures to give uploaders feedback on their clothes.

It is thought that the Daily Mail group are looking to build on their strong 18 - 35 year old following that it has developed largely thanks to its popular entertainment website. The latest website and app combination was launched before Christmas in an attempt to gain a user base and identify teething problems before a full  advertising and promotional campaign begins for the service in the new year. However, signs are promising for the newspaper group, as 3,000 people have already downloaded the newly available app.

There is a wider issue that must be examined in light of this new service however. In the wake of recent cyber-bullying tragedies in this country, offering a platform for young adults to post comments about people's styles and looks may prove an unpopular venture among parents. The newspaper group will have to monitor content carefully or what initially started as a clever brand extension may prove to be more of a hindrance rather than a help. 

Luke Jordan - Marketing Advisor

Australian Cigarette Packaging

Over the past decade there has been enormous changes in legislation relating to the sale and promotion of Tobacco. On 1^st December 2012, Australia implemented new legislation that has set the bar even higher in terms of how cigarette brands are sold.

Now, all brands of cigarettes in Australia must be sold in the same brown package. These packages carry graphic images and health warnings. The Australian government aim to remove the glamour from smoking, they intend to reduce the level of smokers from 15% to below 10% by 2018. The initiative is particularly focused on the prevention of teenagers taking up smoking in the fist place. However, the move is also set to reduce the number of those smoking also. Research found that when a particular brand was given to a sample of 640 people from the branded packaging and from plain label packets the branded packet scored higher in terms of taste, flavour and aroma.

Cigarette companies did take this new legislation to the high court on the grounds that in infringed on their intellectual property, however the courts ruled against their case.

The hope is that now other countries will follow suit, in particular the EU have shown signs of adopting similar legislation surrounding the sale of cigarettes.

Is this initiative something that should be introduced into Ireland and would it have the desired affect, ie reducing the number of smokers and preventing teenagers from starting in the first place? 

‘Happiness’ drives another new business venture for Coca-Cola

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The notion of Happiness is something Coca-Cola has long been incorporating into its brand DNA. With an estimated brand equity of $72 billion, Coca-Cola has well and truly hit a soft spot with consumers. Now, the company is seeking to expand this joy into the realms of social media, through the launch of a new photo app, ‘Happy Places’. 

 The free mobile app is aimed at encouraged people to share their happy moments with friends.

“Your day, your friends, your trips, your music… your life is full of happy moments worth storing and sharing. 
Happy Places by Coca-Cola is that place where you can upload photos of your happy moments, share them, and remember them any time you want” - Coca-Cola

Users will be able to view and comment on friends’ pictures just as with the likes of Instagram. There is also the option to follow hashtags, such as #music #festivals and #dogslife. This will allow users to keep up to date with friends’ photos that fit prioritised "moments."

Versions of the Happy Places mobile app for both Android and Windows phone are currently not available for download, but the app is available for iOS users through the iTunes store, which was released on November 1^st 2012. The website www.happyplaces.com, registered in June, is currently still inactive.

The absence of Instagram-esque filters on Happy Places might mean it is at a disadvantage when compared to its competitors. There are circulating rumors that Twitter is launching their own photo filter, cementing the trend that customers want an artistic component offered in their photo apps. 

It will be interesting to see how far a global company such as Coca-Cola can push this app. The fact that the company has such an international presence means there is potential to reach out to a whole new audience that most photo-sharing services have never dreamed of. 

Once the website is launched, we will have more details on the service. For now, I don’t think that the Happy Place photo app will make as big a dent in social media as the likes of Instagram, as the service offering seems limited in comparison. In my opinion, the availability of editing options is the key to the success of photo apps. Everyone wants to an artist, to make a statement in ‘vintage fade’ or ‘colour shock’, and the likes of Instagram’s filters have made this possible at the touch of a button.

 

Sharon Donnelly - Marketing Advisor

Ms Halappanavar died at the Galway hospital on October 28th of septicemia seven days after she presented with back pain. She had been 17 weeks pregnant and her husband says she asked repeatedly for a termination over a three-day period but was refused, as there was a  heartbeat present.

The inquiry team has seven members. Its chairman, Prof Sir Sabaratnam Arulkumaran, head of obstetrics and gynaecology at St George’s Hospital, University of London, said it was important to have representatives from Galway University Hospital on it to allow the panel to compare the guidelines in use there with the national and international guidelines.

The investigation into the death of Savita Halappanavar will now be “utterly independent’’ of Galway University Hospital, Taoiseach Enda Kenny has said.

The husband of the late Savita Halappanavar wants employees of Galway University Hospital removed from the inquiry established by the Health Service Executive into her death.

Mr Higgins said the investigation into Ms Halappanavar’s death must ensure “above all else” that women will be safer and get the medical services during pregnancy to which they are entitled. He was responding to questions from local journalists during an official visit to Liverpool and Manchester.

The inquiry to come into the tragic death of the young Indian woman must meet “the needs of the public’s concern, the need of the family and meet the need of the State”.

The HSE  published the terms of reference of its inquiry and named three new members, two Irish and one from England, of the inquiry team. These replaced the Galway-based consultants who stepped aside in an unsuccessful attempt to meet the objections of Mr Halappanavar.

The report to be compiled by the team will not identify staff members involved in the treatment of Ms Halappanavar or any other names, according to the terms of reference.

The death sparked off a heated debate and protests in Ireland for a change in the country's abortion laws. Around 10,000 people marched through Dublin on November 18 during one such protest.

Niamh Cusack- Marketing Advisor 

Paddy Power Obama Campaign - An Intelligent Publicity Stunt or A Step Too Far?

The U.S. Presidential Campaigns of both Barack Obama and Mitt Romney have been the centrepiece of international news across the globe over the past few weeks. However, last week the spectacle came to an end as the American people took to the poll's to choose the next leader of their country. Although the U.S. polling day was set for the 6th November, Paddy Power were so sure of themselves and confident in the success of an Obama win that they declared they would begin paying out to all punters who backed Obama to win from Sunday the 4th of November.

A spokesman for Paddy Power explained how the company felt that Obama's win was a "nailed on certainty" making the possibility of losing the €500,000 associated cost of an Obama loss extremely irrelevant to the company:

Romney gave it a good shot and is doing well in the popular vote, but we suspect he’s had his moment in the sun and is likely to be remembered more for his legendary gaffes than Presidential potential.  

The overall betting trend has shown one-way traffic for Obama and punters seemed to have called it 100 per cent correct.  

Despite Romney appealing to the large evangelical and senior vote, America’s sticking with black and cool.

So this may all seem like a bit of harmless fun and an intelligent risk worth taking for the betting company that is known for its wild marketing and advertising campaigns. However, many have criticised the company for its print media campaign that was launched in support of the Obama payout:

The Advertising Standards Authority of Ireland stated on Monday the 5th November that they would be launching a full investigation into the matter after receiving a public complaint in relation to the advert. Ken Robertson, a spokesman for Paddy Power defended the half-page advert stating the company did not create an ad that was meant to be racist or stereotypical. He added that in keeping with previous campaigns developed by the international company, it was "edgy, if not a little bit provocative but always funny".

So how would you rate the overall marketing campaign engaged by Paddy Power? Personally, I think its another example of the smart marketing that the company is consistently famed for using. It has caught international headlines across the world, has got people talking about the brand yet again and all for a feeble cost of a 1/2 page print advert in a local Irish newspaper. A single complaint to launch an investigation seems unrealistic, I might go as far as saying it may have been Paddy Power themselves who issued the complaint - more media attention, more hype - more brand awareness.

Overall the campaign has had one question resonating in my mind - what's next Paddy??

 Jennifer Beirne - Marketing Advisor

Facebook is testing a retail-friendly “Want” button

Facebook is testing a retail-friendly “Want” button accompaniment to the “Like” button, which could help Facebook increase revenue through sales commissions and ads. Facebook is working with seven retail partners in the beta test, including Pottery Barn, Wayfair, Victoria's Secret, Michael Kors, Neiman Marcus, Smith Optics, and Fab.com. Facebook users in certain areas have been able to click “Want” and “Collect” buttons upon products from the retailers.

Items that users “Want” will be saved in a collection or wish list. Also the wanted item will appear on the users’ timeline. In turn, Facebook friends will be able to look at a users' wants/collections/wish list and treat them.

During the test phase, Facebook will not get a commission for wish list purchases by Facebook friends. However, it is likely the social network will take a cut when the feature is rolled out properly.

Although Facebook won't get a cut of sales, Robert W. Barid analyst Colin Sebastian told Reuters that the "Want" button provides other opportunities for monetisation. "In addition to potentially collecting a transaction fee for referring users to an e-commerce site, Sebastian said that retailers might also pay Facebook to promote products featured on users' wish lists, similar to the way the Facebook's current ads function."

The “Collections” wish list feature will be gradually rolled out to all US users when the wish list feature is fully integrated into Facebook.

The Collections feature won't be a social plug-in or available outside of the Facebook site for now, the company said. It will be viewable by Facebook users on their News Feeds.

There was some talk at the time of the addition of a Want button for products, but more speculation centred on different variations of how a user might be able to signify that they'd consumed media.

Mengxue Zheng - Marketing Advisor

007 Loses his 50 year tradition

In recent times product placement has become more and more popular being used in anything with air time on our screens from day time TV, documentaries and movies. Product placement is where branded goods or services are placed in a context of being advertised in such things as movies, music videos, the story line of television shows, or news programs. Famous movies and TV shows that are popular for product placement are James Bond, Sex and the City, The Hangover, ET, The Office, Mad Men, Suits and Friends to name a few.

With the release of the 50 year anniversary bond movie “Skyfalls” this month product placement is set to go crazy. When you think of product placement through all the James Bond movies we automatically think of brands such as Dom Perignon, Rolex, Aston Martin and Walther PPK are all naturally linked to James Bond. In recent times they have changed Bonds habits and have changed the regular product placement to new brands which are Heineken, Range Rover and Coke Zero. James Bond has always drunk Vodka Martinis 'shaken, not stirred' since the line first appeared in Ian Fleming's novel Diamonds are Forever in 1956.

But Bond has hit hard times like the rest of the world and has been forced to sell himself to the highest bidders as film-makers MGM have tackled financial difficulties. It is believed that the Bond deal to swap Vodka Martinis for Heineken was worth a massive €35 million. They claim the movie could not have been made without the deal.

Although in my opinion, I do not know if this is the right move for the enterprise especially as it is an iconic 50 year anniversary release. But on the other hand will viewers even notice the difference?

Do you think €35 million was worth MGM changing 007 James Bonds trademark drink for a 50 year symbolic movie or do you think the change is a good for the move?

Nada Mousa- Marketing Advisor J

Express Yourself With Your Espresso

Screen shot of the 7-eleven website

Some Americans live and breathe politics, and now some of them can sip it.

With the U.S. presidential election just six weeks away, American consumers can slurp their morning coffee while toting a Democratic or Republican coffee cup from the 7-11 convenience store.

The store is running it’s 7-Election campaign for the third presidential election in a row. By purchasing the cups, participants can cast their vote with either the red Republican cup for presidential hopeful Mitt Romney or the blue Democrat cup for President Barack Obama.

Though it is considered to be an unscientific polling device, the results have been relatively accurate in the past. According to the store’s website, the cup's sales have echoed the popular vote in the last two elections and predicted the new president of the U.S. for both. 

As of last week Obama leads with 58% of the vote in cup sales, while Romney has acquired 42% of the votes. All of the participating states are blue for President Barack Obama, except for Idaho and West Virginia.

Beginning next week the 'mobile oval office tour' begins a road trip around the U.S. The company will tour in a truck containing a replica of the oval office in the White House while giving out free cups of coffee leading up to the elections in November. Voters can also have their pictures from the road posted on the 7-eleven website.

It is also a fully integrated marking campaign with the opportunity for voters to follow on social media as well. Consumers can download special edition Facebook cover photos for social media profiles complete with the 7-eleven logo and their preferred presidential candidate.

If the pressure of politics is too much while you’re waking up in the morning, there is also a purple, non-partisan vanilla-flavoured Slurpee to ‘chill out’ with all of the heated political talk. The tagline reads, “Chill with vanilla. Spread the peace.”

So whether voters pledge red, blue or purple, consumers can make their own judgement when it comes to their morning java. Wake up and smell the democracy!

Unilever’s Lynx ‘Newsjacks’ Prince Harry Vegas Scandal

Recently, Prince Harry once again hit headlines as naked photos of him on holidays in Las Vegas were published online. The photos were published on website TMZ on the 22^nd of August 2012.

St James’ Palace initially reacted by contacting the UK press through the Press Complaints Commission (PCC) in order to remind UK editors that the “pictures were private and any possible publication of the photos would intrude upon the Prince’s reasonable right to privacy” (campaignlive.co.uk). However, it would seem that the sheer scale of the internet coverage the pictures were receiving on the internet was just too much for The Sun, which decided to publish the pictures on the 24^th of August with the headline “Heir it is! The pic of Harry you’ve already seen on the Internet”.

In that issue of the Sun, Unilever decided to connect Lynx to the royal scandal by publishing two one-off tactical press ads which joke that it may have been caused by the ‘Lynx Effect’. The ads were created by Bartle Bogle Hegarty London and use the same typeface as the governments “keep calm and carry on” posters. The ad itself says “Sorry Harry if it had anything to do with us” and shows a picture of Lynx’s newest scent Lynx Attract. The two adverts are very much in keeping with Lynx’s long-running ‘Lynx Effect’ marketing strategy which markets the Lynx product as being irresistible to women.

It would seem that Lynx managed to ‘newsjack’ this story quite effectively. ‘Newsjacking’ is a relatively new concept, which means injecting your ideas into breaking news stories in order to try to generate media coverage at a very low cost. Successful attempts are rare but it would seem that Lynx managed it here.

Lynx’s social networking publicity more than doubled after the ad ran, with mentions of the brand on Twitter alone going from 1500 to 3300 daily mentions. Lynx reached 1.5% of Twitter with key words appearing with Lynx including “advert”, “today”, “Sun”, “great”, “Prince Harry”, “Vegas” and “love”. By Monday, Lynx had reached a score of 3% on Twitter with the word “clever” being referenced alongside Lynx. Furthermore, by Tuesday, Lynx’s score had increased again, now reaching 5% of Twitter newsfeeds, of which 59% belonged to those between the ages of 18 and 34 (you.gov.co.uk).  Interestingly, the Lynx Attract product is the first Lynx product to be released which includes a version for women and during the three-day period, between 48 and 52% of those hearing about Lynx on Twitter were women.

This is not the first time that Lynx and BBH have used Prince Harry in an advertising campaign. In November 2010, just two days after the engagement of Prince William to Kate Middleton, Lynx ran a seven day advertising campaign with the tagline ‘Keep up Harry’ at an estimated cost of £35,749. However, although a figure has not yet been released for the cost of the ‘Sorry Harry’ campaign, it is likely to have been much lower as the ad ran for one day only.

Personally, I really like this ad campaign by Lynx. The humorous taglines fit well with the Lynx brand image and the overall marketing strategy for the product. News jacking is a really good way for the brand to gain extra publicity at a low cost. If Lynx continues to be innovative and stay ahead of the competition in this way then it will continue to differentiate itself from the rest. My feelings regarding Prince Harry’s behaviour on the other hand are a blog for another day...!

Audrey Aspell – Marketing Advisor

Spot the Difference: 20,000 Fake Louboutins to be Destroyed by US Customs

U.S. Customs and Boarder Protection (CBP) seized over 20,000 fake pairs of luxury Christian Louboutin shoes in four separate shipments from China last week. The shoes, described as “very good counterfeits” by the CBP, are estimated to have cost about $3 per pair to produce, indicating a total value of around $60,000. Louboutins usually sell for around $800 but can reach $5,000 or more for elaborate designs. The haul would have fetched over $18 million in the American market alone. The shoes are now set to be destroyed, most likely by being incinerated.

The French designer’s creations, famous for their red lacquered soles, have become a world-wide symbol for sexy sophistication and elegance. Louboutin’s obsession with shoes began as a teenager, when he worked as an apprentice in the famous Parisian music hall Flies-Bergere. There, he marvelled over the ability of showgirls to dance in elaborate headdresses and heels. Louboutin launched his own shoe boutique in 1992 in Paris and developed his signature red lacquered soles, inspired by a glamorous assistant’s scarlet nail polish. Louboutin described the bright red shade as “a symbol of love, of blood, of passion.” Industry journal Footwear News described Louboutin shoes as “a subtle status symbol”.

It’s not just Louboutins; luxury brands from Chanel to Louis Vuitton, from Rolex to Burberry have been plagued by the counterfeit market for decades. The U.S. Chamber of Commerce estimates for every $1 spent policing counterfeit goods, it gains $5 in new tax revenue. Louboutin fought and lost in court battles against fellow designer Yves Saint Laurent and high-street retailer Zara last year over the right to sell shoes with red soles. DIY versions are popping up on the high-street too, with kits to paint the soles of shoes scarlet growing in popularity.

CBP Director of Field Operations in Los Angeles Todd C. Owen stated in a press release: “This seizure illustrates the outstanding level of commodity expertise and vigilance of CBP import specialists and officers at our nation’s largest seaport. CBP maintains an aggressive and proactive posture on intercepting shipments containing counterfeit and pirated items.”

How much do knock-offs really damage a brand? It’s hard to say. Counterfeits attack possibly the most valuable qualities of prestige brands – their exclusivity, their power as a status symbol. If people buy designer clothes in part to be seen with them by others, then a proliferation of fake designer produce that places doubt over authenticity might torpedo demand. On the other hand, if the brand is strong enough, maybe consumers will still aspire to own the real thing.

But aside from the brand – what about the fakes? While high-heeled shoes probably aren’t the easiest commodity to divert towards a more useful end than the designer knock-off market, it hardly seems right to destroy 20,000 pairs of shoes. Wasting viable products, regardless of their production methods, doesn’t appear to be the answer.

- Caroline Reid, Marketing Advisor

New payment App enters the market

Starbucks is always one step ahead in the payments game. Recently the coffee company’s CEO, Howard Schultz, agreed to adopt Jack Dorsey's (co-founder of Twitter) new payment system called ‘Square’, in their 7000 coffee chains across America. This payment system is considered game changing, surpassing mobile payments.

The system is simply a free iPad app, which turns into a digital cash register. Customers create a free square account by giving their name, setting up password security, uploading a profile picture and entering their Visa, American Express, MasterCard or Discover credit or debit card. What is amazing about the system is that when a Square-registered customer enters a shop, bar or restaurant with this system, their names and photographs automatically appear on the retailer’s iPad. When customers place an order, they say their name and the transaction is then approved by the retailer. This new system will be of huge benefit to cafes, bars and restaurants, which will increase service speed and also revenue.

The advantage Square has over mobile payments is that the system makes the process of purchasing even simpler. Who would of thought that payments were going to become easier than swiping a phone? However, like mobile payments people are sceptical to adapt. They are finding reasons not to adopt a payment system like this 'some people look the same' , and are asking questions such as ‘what if I am charged for browsing  in a shop by mistake or even deliberately’. Consumers are undoubtedly going to have issues with these new payment systems. However, it is predicted mobile payment spending will increase to $600 billion by 2016.  Therefore, it is only a matter of time before people really embrace these new payment methods.

It is interesting that the new ios Apple update will have a new version of maps for the iPhone and iPad, stealing Google’s thunder. With the new iPhone 5 due to be released in a couple of months it will be interesting to see if they implement something new in relation to mobile payments.

Ross Hartnett - Marketing Advisor

Tobacco Plain Packaging Act

Australia will become the world’s first country to sell cigarettes in plain packaging cases on the 1^st of December 2012.

Cigarettes will now be sold in plain olive packs with graphic health warnings such as pictures of cancer-riddled mouths, blinded eyeballs, and other smoking-related illnesses. This news comes after a legal battle between the Australian government and Tobacco giants (Japan Tobacco Inc., British American Tobacco Plc, Philip Morris International Inc. and Imperial Tobacco), lost the right to print logos or trademarks on cigarette packaging.

British American Tobacco released a statement saying that not only were they very disappointed with the court ruling, but they believe that packaging would only “exacerbate an already significant illicit tobacco trafficking problem.” In addition, the company believes that this would have other adverse consequences including reduction of cigarette prices which would lead to increased smoking and reduced government tax revenue. According to Japan Tobacco and Imperial Tobacco, Australia’s government loses about $1.1 billion in annual revenue because of the cigarette black market, which is equivalent to 13.4 percent of the legal industry. Tobacco moguls also claim that the “Australian ruling unlawfully extinguishes the value of their trademarks without providing compensation.”

Health Minister and Attorney General Nicola Roxan, who has headed this international test case in Australia, has stated, “Gone are the days that cigarettes are glamorous, gone are the days where gold embossing can imply that they are luxury or pale green can imply that they are light and safe.” The federal government believes that this move will not only deter consumers from purchasing cigarettes, but also save many lives.

It will be interesting to see not only how tobacco marketers will differentiate their products in the Australian market under the new laws, but also if the case will create the chance for change down under.

Lyanne Ryan – Marketing Advisor

True of false: The higher they're priced the harder they fall

On Friday 10^th August, 2012, Manchester United made its debut on the New York Stock Exchange, a step which valued the club at £1.5bn making it the most valuable club in the world, followed by Real Madrid who are estimated to be worth £1.2bn.

16.7 million shares are to be sold (10% stake), which will raise money which was originally said to be used to pay off the club’s debts. It has now come to light that half of the money raised to date may have gone to the Glazer family with a smaller proportion spent in reducing the club’s debts. This has led to United fans worldwide to boycott the club’s sponsors’ products to prove the brand is worthless without the purchasing power of the loyal fans.

The club’s IPO (initial public offering) was priced at $14 which was below the $16 to $20 per share the club was initially offering investors. The IPO was cut the night before their debut on the stock exchange as a result of comments from Wall Street analysts and Facebook’s disastrous unveiling on the stock market in May. Facebook’s shares initially sold for $38 are now worth only $20, so it’s no wonder Man United was cautious with their IPO. One week after their debut on the stock exchange, United’s shares fell 5% below their IPO price before somewhat bouncing to just 1.99% below the IPO.

Both Facebook and Man United have fans all over the world, but these fans don’t seem to count for much on Wall Street. Facebook share owners are now able to sell their stakes in the company, which may lead to a further downward spiral in share price. Are Man United facing the same destiny? Some analysts believe Man United’s share price was wildly over-valued; some saying it is truly worth $4.97 per share.

Will it be a case of the higher they’re priced, the harder they fall? Only time will tell! Who knows, maybe the new signing, Robin Van Persie, has the answer!?

-      John Heavey, Marketing Advisor

Olympics 2012 & Branding

The 2012 London Olympics have been the main talking point of the world for the last number of months. With an audience of over 20 million tuning in for the 100m final, people have had plenty to say about the events, the athletes, the countries involved and also the branding and marketing of the products associated with the event. The Olympics brand is currently the second biggest global brand after Apple, and is worth over $47.6 billion. Many of the top tier companies would pay up to $100 million in order to become official sponsors of the event (CNN). 

Consequently, there has been a lot of speculation in the media recently about unofficial sponsors using ‘ambush’ marketing techniques in order to to try to increase sales of their products. The International Olympic Committee (IOC) stated that athletes are not permitted to promote any brand, product or service within a blog, tweet or any other form of social media, which is not an official sponsor of the Olympics. However, one brand which has been focused on in the media is “Beats” headphones by Dr Dre.  It has been reported that the company sent these headphones with a special Union Jack pattern, to athletes at the British Olympic camp. The athletes accepted the headphones and went on to publicly thank the company using Twitter. This particular  brand is not new to these types of marketing tactics as they previously provided the two teams participating in the 2012 NFL Superbowl with their products also.

 

As a result of this, many Olympic athletes have criticised the IOC's code of conduct for not allowing them to mention their personal sponsors on social media during the games. After all, these brands play a huge role in providing the athletes with what they need to become Olympians.

There continues to be huge controversy over the use of branding in the Olympics. The big brands such as Adidas, McDonalds and Visa, have paid huge amounts of money to be associated with the Olympics brand. However many other companies such as Nike, Paddy power and Google have used the Olympics strategically, in order to market their products or have their services used.  There are a lot of different views as to what is right and what is wrong with regards to branding and the Olympic games. It will be interesting to see what will come out of these branding issues once the Olympics are over. Will the IOC consider changing these strict rules? 

Ross Hartnett MDP Advisor

Air New Zealand Now Boarding for Middle Earth

An Air Zealand flight attendant wearing
elf ears for promotion of 'The Hobbit.'

This past week Air New Zealand announced a new partnership with New Line Cinema, the major American film production studio responsible for the Lord Of The Rings trilogy. 

This strategic alliance was announced at San Diego’s Comi-Con festival for the upcoming release of the two-film Peter Jackson epic “The Hobbit: An Unexpected Journey” and “The Hobbit: There and Back Again.”

In a press release from the Air New Zealand website, Sue Kroll, Warner Bros. Pictures’ President, said, “Just as Peter Jackson is able to transport audiences to the magical world of Middle Earth, Air New Zealand brings people to the breathtaking landscape that has been home to these epic productions.” 

The country of New Zealand is the filming location for both Hobbit films as well as the Lord Of The Rings trilogy, which helped to put the country on the map as an international tourist destination. With ‘Tolkien Tourism,’ or the trend of fans to flock towards iconic places like ‘The Shire,' the country has experienced a major economic boost from the popularity of the previous films. The government of New Zealand has also poured in $10 million NZD into the promotion of The Hobbit films around the world, the first of which is scheduled to hit theaters on the 14th December, 2012.

The airline has dubbed themselves the “Official Airline of Middle Earth” for the campaign. As part of the two-year agreement, two Boeing 777 aircrafts will be branded with The Hobbit for flights from the U.K. and North America to New Zealand. The airline promises a unique, in-flight promotion experience, as well as an in-flight safety video with a hobbit theme.

This is not the first time Air New Zealand has embarked on bold marketing campaigns. In 2010, the company introduced a twist to their in-flight safety video called the “Bare Essentials of Safety.” The airline staff stowed their regular uniforms for a wardrobe fashioned out of just body paint instead. This commercial spurred online marketing discussions all over the world and has since generated nearly 7 million views on YouTube. No doubt their new campaign will spark sky-high enthusiasm once again.

McLaren Aim to Alter Brand Image

The recent launch of Sky Sports F1 HD has given F1 teams a platform to communicate with their fan base like never before. To capitalise on this, McLaren have teamed up with London-based animation company ‘Framestore’, in order to produce a series of twelve 3-minute animations featuring members of the McLaren team. The series, Tooned, will release one episode for every race remaining in the season, with plans for another series next year. The first video, Wheel Nuts, which aired on July 8th features Lewis Hamilton and Jensen Button battle for dominance in a humorous CGI animation. 

The idea behind the series is to thaw the cold image McLaren perceive their brand to have. With a meticulous and scientific approach to their sport, it is difficult to lose this image off the track. The plan is to appeal to a wider audience, with hopes of tapping into the family market. It is hoped that using the real characters and voices, in CGI form, will alleviate the seriousness associated with the brand presently. 

The question now is, have McLaren taken the correct approach to altering their image? Will this series even reach its target audience? It is difficult to tell at this early stage, however, with talks of full length episodes and even a feature film, there is the possibility of great success.

Keep an eye out for the series over the coming weeks! - R.Conway

This year’s Olympic sponsors have taken an alternative approach to promoting their brand. They are no longer trying to push their products to the market through mass marketing. Instead, they are focusing on the parents of the athletes, the people at home, and the Olympic fans. This shows an increased level of engagement with the fans and target consumers. It makes the whole experience a lot more personal and touches on the consumer’s emotions, humour, and their own experiences with their children or parents.

Procter and Gamble currently have a ‘Thank you, Mom’ campaign which shows the athlete’s childhood and how their mother was the force behind them encouraging them each step of the way. The campaign focuses on the life of the athlete rather than the sporting excellence of the athlete. It means that the consumer feels as though they can relate to the athlete, whilst also being emotionally connected to the campaign. 

A less likely sponsor to take this approach is McDonald’s. Their most recent Olympic campaign focuses on the fans of the Olympic Games. The campaign consists of portrait photographs of the different types of fans, such as ‘the come-on come-on-er’. These portrait photographs will be made up of the McDonald’s customers, employees, and some of the British farmers that supply ingredients to the restaurant.

The campaign is going to record, replay, and celebrate the people, the moments, and emotions that will make the London 2012 Olympic and Paralympic Games an exciting and engaging event worldwide.

Is this the way forward for these large companies? Is this their long-term marketing strategy for the future, or are they playing on the emotions of the consumer in order to personalise their brand? Something tells me it is probably the latter. 

Starbucks to Open Tazo Tea Shop

Go to Starbucks for coffee? How about having some tea?

Starbucks is looking to open a new 1,700-square-foot store solely dedicated to its Tazo tea in the fall. It planned to sell more than 80 varieties of loose-leaf tea and other tea products. It will also offer hot and cold tea drinks, brewing equipment, pastries, packaged chocolates, infused sugars and honey.

This Seattle-based company decided to enter the new area because they see tea as a $95 billion global market that represents a significant growth opportunity.

According to the data from Euromonitor International, a privately owned, market intelligence firm, 5.6 million tons of coffee were consumed at home and through food service channels like restaurants last year, as tea were drank up approximately 2.9 million tons.

Both figures above exclude ready-to-drink products. Sales of ready-to-drink tea beverages through stores, restaurants and vending machines hit $56.2 billion in 2011, up from just over $32 billion in 2006.

The new store arrives at a time when Starbucks is aiming to expand its brand beyond coffee. Earlier this month, Starbucks announced plans to buy Bay Bread for $100 million and last year it bought the Evolution Fresh juice brand for $30 million.

Greek Elections delay the inevitable.

Global Leaders hailed the results of the Greek elections on Sunday which resulted in a win for the New Democracy party over the leftist Syriza party who had vowed to tear up the terms of the bailout under the premise that the European Union could not afford to have Greece leave the Euro. With the victory of the New Democracy party led by Antonis Samaras there is a common understanding that Greece will push for a review of their bailout terms as they believe they have accepted considerable pain by electing the pro bailout party to power. Reports coming from Germany suggest that the terms of the bailout are non-negotiable however they would be open to discussing the timeframe surrounding the arrangement.

The problem with the continued financial aid being given to Greece is it is just building on their already insurmountable debt and what they really need is not more funding but a complete write down of what they owe to the Eurozone governments (€161 billion) as well as the European Central bank (€50 billion). One of the major arguments against this is the potential of other indebted countries such as Ireland seeing Greece receiving these huge cuts in what they owe and wanting similar treatment. So the dilemma remains, if the EU continue to enforce these austerity measures on Greece then it is more then likely that the Greek economy will continue to shrink and therefore they will not be able to raise the funds to repay there loans and will require further aid from the European Union.

There is a growing number of people who believe that Greece leaving the Eurozone is no longer a case of “if” and more a case of “when”. This could result in a number of disastrous scenarios with investor confidence in other nations damaged. Confidence in other highly indebted countries such as Spain and Italy could suffer and cause them to move money from these banks to the safer banks in Germany or the Netherlands which may result in more banks defaulting on their payments. Another problem with Greece leaving the Euro is the fact that a switch to the Drachma would result in a huge devaluation of the currency which would make repayments of Greek debts even more difficult. It is time for more radical action to be taken as it is clear that the measures being taken at the moment are not enough to save our faltering economy. If major changes are not made in the near future then this will spiral further out of control and this is something that the vulnerable Irish economy can ill afford.

Last week saw the launch of Kellogg’s first ever 3D interactive cinema ad, which was created by glue Isobar. The ad falls under the ‘It’s all lies’ campaign and was launched in line with the new Men In Black movies. It claims to be the first ever ad that can be tasted and, that by the end of the advert, consumers will be able to taste their Rocky Road Rice Krispies Squares bar. Kellogg’s claim that taste will be achieved through ‘audio taste technology’ which has given them high hopes for the success of the ad. Sally Tribe, Rice Krispies Square’s brand manager, has said that Kellogg’s are always trying to push the boundaries with their brand.

Upon watching the ad, it is clear that it fits perfectly under their ‘It’s all lies’ campaign as it is not possible to actually taste the product. It cannot be argued that the ad doesn’t show high levels of creativity, but there is a fear that younger consumers may be confused, or even disappointed, that they cannot actually taste the product. This is a risk that Kellogg’s are happy to take. They have supported the launch of the ad by explaining that interacting with customers adds ‘real value to the product’ and they feel that it will help bring many more followers to the Squares brand.

The launch of the cinema advert appears to follow in the steps of a new trend of interactive movies, which are moving into 4D. These movies are getting customers to interact on an increased level through smell scratch and sniff cards, rain and vibrations. Is this something that we are going to see more from marketers in order to interact more with their consumers?

It is clear from the advert that Kellogg’s are looking to integrate their customers into their advert and interact with them on a new level. All in all, the ad has given the snack bar a whole new dimension and has shown that Kellogg’s aren’t afraid to think outside the box. Looking to the future it appears that Kellogg’s are one to watch out for. The question is, what will they think of next? 

Diversification of Fashion Labels into the Cosmetic Market

Tapping into a $170 billion market sounds appealing to fashion designers in today’s world. They just cannot resist. The cosmetic and perfume industry in the world is worth an average of $170 billion worldwide with the USA and Japan having the largest market. Europe alone leads the cosmetic market representing almost €63 billion with sales in France exceeding €6.5 billion alone. The Cosmetic and Perfume industry is one of the industries that has had consistent growth over the past 40 years and has not suffered greatly in the decline from retail sales over the past couple of years.

In saying that, it also has been one of the most developing industries in terms of celebrities. Celebrities have been developing their own range of perfume, celebrity affiliates with brands such as Rimmel and Kate Moss and the increasing amount of online retail outlets being set up and the growth of online sales.

In terms of fashion designers and the luxury clothing market well any one can see in  current times that it’s a declining market but the large brands are still there and going strong. In order to overcome this period in the industry,  they are expanding their customer reach to lower price range.  The dilemma being that people want the brand, but cannot afford the cost of a €600 pair of shoes or €2500 bag. In so why not develop an accessories or cosmetic range to target customers, keep the brand awareness out there, with diversifying your product range and in the process increase sales as well as hopefully targeting potential new customers that were previously not attainable.

But that is the very thing that luxury fashion brand designers are doing such as Christian Louboutin who has decided to diversify his iconic read soled shoes to hand bags and men’s shoes but more recently announced the launch of a Louboutin cosmetics range for launch in early 2013. The cosmetic range will be collaboration between Louboutin and Batallure Beauty ltd. Batallure Beauty already has a famous clientele of Madonna and Justin Bieber. Also following close in his footsteps is the renowned fashion designer Marc Jacobs who has also announced that he also will be adding a cosmetic line to his current clothing and fragrance range.

Does this diversification into the cosmetic industry damage their reputation and their new found lower price points in the retail industry? That will only be decided over time, but until then we will enjoy the anticipation of the new lines.