Archive for September, 2008

September 27th, 2008

Dairy Milk gets the gorilla, but Galaxy gets the growth

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So, Dairy Milk with its Drumming Gorilla TV ad campaign has posted a sluggish 2% market share growth whilst ‘run of the mill’ Galaxy has romped home with a 12% growth. Research has shown that the Gorilla ad is more memorable than Galaxy activity, but clearly this success in recall does not seem to have translated into success in sales. Quite rightly, this result immediately ignites a discussion about the sales value of creativity. You can get into some of that here.

Not entirely unconnected to this is the debate that took place on the 4th August at the IPA - “Who makes better planners? Planners or creatives?” Veteran creative Dave Trott and planning sophistocrat David Golding battled it out with Trott arguing that it’s time planners got back to building sales rather than using advertising “to provide a window on a brand’s soul and to build the brand’s ‘equity’ in people’s minds”. Golding defended the principle of using the brand as a source of insight, and quite valiantly by all reports.

I’ve worked on projects with both of these characters, with David Golding on an existing client account at WCRS and Dave Trott on a creative pitch at WTCS (as was). Dave Trott worked in an interesting way. He did his own planning in his own mind, based on very considerable experience. His approach was intuitive - he visualised the target audience as people he knew (in this case his mother and her friends) and asked himself what type of message would engage her. Then he wrote those messages down and turned them into a visualized campaign for TV and press. Trott’s campaign was a distillation of the communication problem, solved, simplified and then visualised. Dave Golding on the other hand was measured, considerate, analytical and logical. He’d be as likely to base a campaign on what his mother thought as a judge would be to discuss a legal technicality with a courtroom security guard. The work that resulted was memorable and strong. So here’s the question - if the insight for the Dairy Milk Gorilla campaign were to have originated from the grey matter of either Golding or Trott, which would it be?

September 18th, 2008

Is Google Marketing’s new Yellow Pages?


For many years Yellow Pages had an interesting, if not pole, position in marketing performance reports. Whilst many communication and media channels would deliver a cost per sale of £X, the Yellow Pages always topped the report, often with a CPS of a 10th of £X - or even less.

Why did it do so well? Not because it had any magical qualities as an advertising medium but because it because it was the first calling point for many consumers wanting to find out more about an advertised product. When calling a call centre, the operative might ask, “And where did you hear about AB Financial services?” to which the caller would respond, “In the Yellow Pages”. This Yellow Pages source would then be duly logged in the call data for future agency evaluation. Let’s call this “Yellow Pages Syndrome”

Google is now increasingly performing this “first port of call” function in marketing activity, particularly in non-retail services marketing. The result is that when brand terms are measured in pay per click campaigns they can perform extremely well. Conversions on PPC brand search terms for product X can come in at less than 10% of the cost per conversion on generic category terms. Think “Atco lawnmowers” versus the generic “lawnmowers” for example. “Atco lawnmowers” may deliver a cost per conversion of less than £10, whilst the generic “lawnmowers” may produce a cost per conversion several times higher.

Informed marketers always knew that Yellow Pages was only the “receptacle for response” not the originator of the response itself. The problem was that Yellow Pages was very difficult to measure, all we had to go on was the circulation or distribution volumes in each book’s catchment area. This figure was flat over the whole year and no daily or seasonal readership reporting was available. As a result is was almost impossible to form robust causal linkages between advertising activity and Yellow Pages response. But Google’s daily level reporting across all purchased PPC terms including factors such as response, conversion and key page visits (through Google analytics) means that we have enough data variation to examine those linkages. And, lo and behold, the data clearly supports the idea that advertising drives brand searches.

The fact that advertising and direct marketing drive Google brand term searches means they now have a new metric against which they can be judged. Advertising and direct marketing that produces Google searches can be driving some of the lowest cost sales a business is likely to make - -provided Google searches driven by these channels are correctly attributed. So whilst online and offline, Google and other techniques may appear to be competing against each other, they are in fact enjoying a harmonious and synergistic relationship.