Why Brands Need Promotional Analysis and how does this impact the Bottom Line?

Why Brands Need Promotional Analysis and how does this impact the Bottom Line?

 

The retail and wholesale market in South Africa is very competitive and both channels advertise on a regular basis.  Line selection for promotions generally depends on the market share of the brand and the suppliers who are able to afford the cost to participate and have the capacity to produce.  This makes is difficult to achieve variation as the market leading brands are rotated from one promotion to the next.  Retailer’s invest money in advertising and therefore need to trust that the brands selected will draw enough shopper’s into store to impact business measures.  So, what does this mean for a brand’s profitability?  

Promotional evaluations consider the following influencers:

Primary considerations:

  1. Brand turnover,
  2. Cost to participate,
  3. Impact of discount level and,
  4. Expected volume uplift and expected retained future sales are when doing.  

Secondary considerations:

  1. Promotional campaigns for the brand at the time,
  2. The traffic the promotion will generate to the store and
  3. Competitor brands that will be advertised.

In some instances, the brand might negatively impact the yearly profit by participating in a promotion despite a huge volume uplift due to a longer period at a discounted price.  In other cases, a brand could increase its share of market by engaging with a broader audience that’s available with a major promotion.  The alternative to price discounting is a value added offer which is more cost effective for the brand owner.  It is important for companies to continuously assess their ROI on promotions to strategically drive profitable bottom line growth and ensure that funds are being spent efficiently.

 Written by Emiryl Paul, she is a trade marketing specialist.  She has worked in the FMCG industry for 12 years and has built capabilities with cross functional roles.  She has worked on market leading brands and medium sized brands.  Emiryl has an interest in entrepreneurship having assisted start up companies, within local and Africa markets.

Why Email Marketing is Essential for Business Today

Why Email Marketing is Essential for Business Today

Email marketing has become a booming business solution for company’s strategic approach to direct marketing. We can now see the transition in traditional marketing through interactions in email, social media and analytical integrations. Email marketing has become the forefront of building effective customer relationships aligned with CRM practices.

Generating leads

Obtaining leads from your website and social media sites asking visitors to subscribe to your newsletters builds the platform for a potentially successful campaign. The more relevant contacts you have the better. Directing the right message to the right person can make the difference, when it comes to closing the deal. It is important to send out targeted messages to relevant groups of people to avoid unread emails and spam reports.

Starting an email campaign

Consumers are in control, and businesses need to step up their game accordingly. Email marketing has been around for a while with many bulk email services out there. Choosing your email service carefully is vital, primarily to choose a vender that can deliver and provide a range of email capabilities. Cloud email marketing solutions have become popular to manage campaigns efficiently. Intelligent marketing automation platform is what will make your email more engaging and ultimately successful.

 

The power of automation

Emails that are based on the understanding of each subscriber’s interest and behavior, is a start for a successful campaign. Conversational emails which are more personal can be automatically addressed by name, thus a relationship-oriented mindset is created with the consumer over time.  Intelligent marketing automation allows behaviorally targeted emails to be sent, by triggers, group automation, and automatic subscriptions. Carefully coordinated emails are then consistent and progressive that can be measured to assess their effectiveness. This means for businesses, that a marketing automation system is able to streamline marketing tasks and workflows for increased operational efficiency and grow revenue quickly.

 

Use metrics to grow

Data analyzing of bulk email sending, reports click through rates and opened email rates which are both relevant data that can be used to plan your next step.  You can identify issues with unsubscribing emails and look for trending subscribes. Thus growing your data base, keep your subscribers on board, and segmenting your lists.

 

Email marketing revolution

Email marketing is now a cross-channel, customer focused, automated and analytical tool. Informative and valuable content can be shared by optimizing and distributing it across digital channels using email, mobile, social display and advertising. This is an inbound marketing approach which uses available resources to communicate, attract, expand and engage visitors converting them to prospective buyers.

 

Effective email marketing

  • An effective email provides awareness and interesting information, such as important articles, product information and whitepapers adding value to your campaign.
  • Send value added messages
  • Call to action driving targeted traffic to your website.
  • Reach prospecting clients.
  • Gain the trust of existing clients through communicating with them.
  • Reach a wider audience by implementing social marketing applications and let your audience spread your message.
  • Measure client’s metrics from the email campaign to measure overall success or failure.

Email marketing is an effective way of communicating your brand to the consumer and promoting your business to new leads. It allows free flowing communications between you and your customers. By achieving your campaign objectives, your email should build customer relations, retain and communicate with existing clients; turn leads into customers and consequently increases your business sales.

 

References:

 

 Written by Fatima Karrim.  Fatima has worked in the Marketing Communications industry for the past 8 years.  She has completed her degree in Corporate Communications at the University of Johannesburg.  Being dedicated to Internet Marketing, Fatima has build an understanding of customer relations, by making use of essential tools.  She specialises in Information Management by approaching it through online and email marketing.  Fatima has had the opportunity to assist start-ups and established businesses with brand identity, concepts, design as well as developing online strategies for marketing communications.

7 Ways that Shopper Research can grow a Brand’s Market Share

7 Ways that Shopper Research can grow a Brand’s Market Share

Brands exist in a fluid market with high levels of change and this makes the market risky.  Good marketing research helps reduce the risk by providing information necessary to make critical decisions.  The secondary impact is that research gives customers an opportunity to express the true views and needs about the product.  It is critical for brand owners to understand the person that buys and uses the product, to ensure that the brand keeps up with changes that consumers and shoppers respond to.  

The research process follows the following steps:

 

1.Defining the problem

Defining the problem, includes assessing the current marketing situation and coming up with a tentative solution to the problem.  A solution at this point determines the research projects direction, helps to formulate objectives and gives an indication of the type of information that must be collected.  This step is the most important as a clearly defined research problem is the core of the process.

 

2. Objectives

Identifying the research objectives and design, further tests the objective of the research and defines the framework for how the research will be conducted.

 

3. Collect data 

Here the secondary data (historical data that has already been gathered) and the primary data (the data gathered as part of the research) is collated and organised into a series of subsets.

 

4. Fieldwork

Conduct an investigation or fieldwork.  This is the most expensive part of the research as interviewers need to be trained to ensure integrity of the results.  It’s critical that the respondent’s environment is considered, to ensure that the respondents view is extracted without any form of pre-determined direction.

 

5. Process the data  

The information gathered in step 4 is added to the information gained in step 3 and organised to begin the analysis.

 

6. Analysis the data  

Considerable amounts of time is spent on this step as the quality of the findings depend on the experience of the researcher in analysing information from multiple subsets and interpreting the results.  

 

7. The Results

Interpret the results and compile a research report.  The findings are compiled in a report but the research is only complete once the results are presented to the decision maker for interpretation purposes.  The researchers owns the journey up to this point and the success on the project depend on her ability to transfer this knowledge to the marketer.

Generally brand owners that are serious about growth invest in some form of research and the results can be applied for many years.  The scope of a research project is determined by the problem that needs to be solved so there are various costing models that would apply.  The brand owner needs to be a part of steps 1, 2 and 4 to have input into the construct of the research and foresight of the value to be gained.  Brand owners rely on good research to drive strategy and achieve market share growth.

 

 

 Written by Emiryl Paul, she is a trade marketing specialist.  She has worked in the FMCG industry for 12 years and has built capabilities with cross functional roles.  She has worked on market leading brands and medium sized brands.  Emiryl has an interest in entrepreneurship having assisted start up companies, within local and Africa markets.
Why Instagram could change the face of your   business this year

Why Instagram could change the face of your business this year

They say picture is worth a thousand words, so what better way to paint your brand in beautiful, creative ways than with Instagram. This is one of the most fast developing social media platforms in South Africa, and according to World Wide Worx and Fureware’s SA Social Media Landscape for 2016, it has more than doubled its user numbers from 1.1 million in 2014 to 2.68 million in 2015.
Here is why this platform is a must-have for brands this year:
It’s already tried and tested by major SA brands

According to the World Wide Worx study, at least 42% of major brands in South Africa are planning to use Instagram in the coming year. This follows massive success on the platform from brands such as Mercedes Benz and Mr Price.  You cannot afford to fall behind this major trend, so get snapping and ready to wow the world with your creativity!
It is an opportunity to add personal insight into your brand and what you do

Human beings are by nature most attracted to things that tell a story, move the heart or give them a look into the behind the scenes of things that they already know and love. With Instagram you can add a little soul to your business and let your customers into the world of your brand in a creative and personal way.
It’s true – you don’t have to be a professional photographer to make this happen!

Not all of us are professional photographers and enjoy just wondering at awe-inspiring images of those of us who are. But with Instagram you have an opportunity to release some of that hidden creativity with a wide variety of filters, background, text options and stickers. This really is a platform that is just as enjoyable and fun for you as it is for your customers!
It’s incredibly easy to use and highly accessible on smart phones

Instagram is by nature largely driven through mobile devices; in fact the one down-side of the application is that it is not very user-friendly on laptops or desktop devices. However, this is essentially because Instagram is meant to be spontaneous – a quick snap while you are out and about, at your desk, in the office or workshop, or even using your favourite product. The good news is that most South African consumers access social media platforms on their mobile devices so your beautiful pictures are just a button away at all times of the day.
Instagram is an opportunity to tell your brand’s story in a unique and creative way, by bringing your customers along for the ride.  It’s interactive and fun and a way to engage the world in something that we all understand – imagery. Happy snapping!

Video for marketing is no longer a “nice-to-have”

Video for marketing is no longer a “nice-to-have”

Remember how it was good enough to have a decent-looking website with a couple of keywords on a few product pages? How times have changed!

Internet users have come to expect video. According to Cisco by 2019, 80% of the world’s internet traffic will be video. And according to Smart Insights, simply stating that the piece of content is a video, increases engagement across all channels.

Here’s just one big number that should make you sit up and take notice:

1.8 Million Words

That’s the value of one minute of video, according to Dr. James McQuivey of Forrester Research.

Do you have the time and energy to write 1.8 million words? That’s the equivalent of 3,600 typical web pages. If you write an average of one web page an hour, it would take you 150 days of writing to achieve the impact of one minute of video.

When you look at it that way, online video marketing is the single most practical use for your marketing time and energy.

Teach your viewers something they didn’t know

One way to connect with customers is by posting tutorials and tips relevant to your line of work. While it may seem as though you will be giving away your secrets, you’ll actually establish yourself as a subject matter expert, leading viewers to want to learn more about your business. Tutorials also provide built-in series potential. Rarely will you post just one “how-to” video. Provided your tips are useful, you’ll likely find customers keep coming back to see the next video in the series.

Customer-Generated Content

An even better way to connect with customers is to put them behind the camera. User-generated content is more likely to generate a response than company-generated content. Instead of spending hours coming up with a script and producing a powerful video, invite your customers to create one of their own. Offer a prize for the best video showcasing customer use of your product and you’ll likely get an overwhelming response. Featuring real life customers evokes positive emotion and instills a sense of trust.

Call to Action

One mistake many marketers make is creating a great video without attaching a call to action. Customers may enjoy your message, but if they have no idea what to do after watching it, your hard work will be futile.
The call to action can be something simple like a coupon code for use on your website, sign up for a free trial, fill out a contact form. For local customers, attach a discount for any customer who mentions the video in your store. Just a few words at the end of your video could lead to a conversion that otherwise wouldn’t have happened.

Jump right into action

Grab the attention of your viewers by jumping right into action. Introductions of any kind undermine the purpose of video, which is to communicate a message through action.
Ten seconds. That’s how long you have to grab the attention of viewers in a video marketing clip. According to research by Visible Measures, 20% of your viewers will click away from a video in 10 seconds or less. Effective video marketing has to be engaging right from the start

Although videos are extremely important, you shouldn’t create videos just for the sake of creating them.

According to Cisco, by 2019 nearly a million minutes of video will cross global IP networks every second.

It would take a single person 5 million years to watch the amount of video that will cross the network in a single month.

That is a lot of noise… so don’t create some simple educational video, throw it up on YouTube and expect your potential clients to miraculously find your content and start banging down your door.

Videos need to be well planned and have a clear purpose to make an impact. They can range from quick and inexpensive to long, costly projects, and therefore you need to find a balance that will fit your budget and keep viewers engaged.

Online video has become a necessity – the chances are your competitors are already producing video which means they will be receiving a lot of love from search engines and viewers alike. If you haven’t started your own video marketing campaign, isn’t it time you plunged in headlong? There’s nothing to lose and about 403% more profit just waiting for you.

 Written by Anneke Louw, Anneke is a certified video editor with over nine years of experience in the broadcast industry.She is multi-skilled in the visual communication sector with her expertise ranging from video editing, graphic design, kinetic typography, creative writing and e-learning.She completed her BA Communication Studies degree at the Northwest university and thereafter her Honours in Audio-visual communication.She has a strong creative vision and a passion for the art of visual storytelling.