Up-and-Coming Brands You Should Know


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The June 2014 edition of Frisk is themed "Brands to Watch Out For." That’s ‘watch out for’ in a sense of ‘they will become bigger and more prominent,’ rather than ‘careful, it’s flying toward the back of your head,’ obviously.

Inside this issue, Leo Burnett London picked the brains – not literally, that would be awful – of their Planning department and Canvas8, a deep-dive insight network, to see what they thought was hot and next-y.

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Up-and-Coming Brands You Should Know

  1. 1. Frisk Special: BRANDS TO WATCH OUT FOR June 2014 Frisk Special: BRANDS TO WATCH OUT FOR June 2014
  2. 2. Frisk Special: BRANDS TO WATCH OUT FOR June 2014
  3. 3. Frisk Special: BRANDS TO WATCH OUT FOR June 2014 Hi there. Welcome to the latest Frisk special. These newsletters rocket from our West Kensington home once a month, leaving a sizzling vapour trail of white-hot facts and ever-so-slightly singed titbits. Frisk has been running for some time as a weekly internal newsletter, with the first edition of each month centring around a particular theme; we recently decided to externalise these specials because, well, we just thought it was a good idea. No point sitting on all of this clever thinkery when we could be sharing it with you, right? Recent themes have included WOMEN, LUXURY, NOT-FOR-PROFIT, TRAVEL… but this time we thought we’d try something a little different. So we’ve taken a sidestep and chosen to theme this Frisk special around BRANDS TO WATCH OUT FOR. …that’s ‘watch out for’ in a sense of ‘they will become bigger and more prominent’, rather than ‘careful, it’s flying toward the back of your head’, obviously: In fact “brands that are doing things differently” is a bit of a theme too. So, we begin by picking at the brains of LB LDN’s Planning department – not literally, that would be awful – to see what they thought was hot and next-y, before moving on as we so often do to our chums at Canvas8, who’ve highlighted three intriguing brands that are doing offbeat stuff. We tapped up LS:N for further ideas, and got a wedge of tasty insight from resident retail hotshot Sarah as well. Quite a broad spread, then. Hopefully some of it will come true, eh? I do hope that you enjoy what you read. If so – or indeed, if not – be sure to fire some feedback into the Twittersphere: the handle’s @LeoBurnettLDN. See you next month for more of this crystal ball-fondling ideasmithery. Daniel Bevis Senior Knowledge Editor Leo Burnett London
  4. 4. Frisk Special: BRANDS TO WATCH OUT FOR June 2014 This is an incredibly smart but simple idea, executed with a real focus on design. It’s run by an ex-creative who got the initial idea when taking his baby daughter’s temperature late at night on an electric thermometer. He had to check what the reading meant online, using his phone, then google tips to bring her temp down… and it occurred to him that it would be great if the two devices were connected to make this simpler. He then designed an app, which links to a well-designed device to make your life easier. Bleep Bleeps now has a whole range of products to help parents/wannabe parents. For me, the design sets the brand apart. Utilitarian but funky, simple but eye-catching and totally un- medical. Given that people are obsessed with life hacks this fits the bill perfectly! REBECCA FLEMING MY BRAND TO WATCH: BLEEP BLEEPS I have been using the UBER cab service since they arrived in the London in 2012. I had heard about their fantastic User Experience when they launched in San Francisco and wanted to give them a go. UBER is an app on my phone that I click when I want a car home. I can choose a standard car, or a luxury one – the price adjusting accordingly. I get to see how long it will take to be picked up and the cost of the journey in advance. Once I confirm, the cab comes to my exact GPS location. I get a text to confirm the cab is on the way, another when they are around the corner with a photo of my driver, their name, car and registration. When the ride finishes, the bill goes straight to my credit card. No more worries about cash, or stopping at a cash point on the way home. A FEW FACTS: • UBER is a taxi service offering a low cost service UBERX or a luxury service UBERLUX • UBER started in San Francisco in 2010 – the founders thought it would be nice to push a button on their phone and have a Mercedes S-Class show up. So that’s what they did. LB LDN’s Planning department is basically a battery farm of eggheads, harnessed in such a way that we can catch the clever ideas as they fall out of their brains. We put to them the question of which brands we should be keeping an eye on, and here are some pearly nuggets that plopped forth…PLANNERS HELEN LE VOI MY BRAND TO WATCH: UBER http://bleepbleeps.com/
  5. 5. Frisk Special: BRANDS TO WATCH OUT FOR June 2014 • Cashless – automatically charged to your credit card • Fares can be split with friends – automatically charged meaning no more IOUs • Riders can rate their experience and leave feedback about the driver • Investors include Goldman Sachs, Google Ventures and First Round Capital • Rolling out to other cities across the UK including Manchester • Available in 100 cities across 30 countries UBER are doing so well that London Black cab drivers staged a demonstration against them in order to force TFL to deem their system as illegal. TFL are refusing to take action. Definitely a brand to watch! I think they are interesting because they seem to be finally succeeding where others have failed in persuading motorists to switch from internal combustion to electric. Key to this has been developing the technology so that it can actually come close to what people are used to, not just in performance but in aesthetics. They have also built the infrastructure in to their business model by providing charging stations along key routes and thereby removing a big barrier for drivers. It will be interesting to see how they fare in Europe – one would hope that the smaller distances and more eco-minded citizens of our continent will embrace this game changing brand. LAURENCE RUSS MY BRAND TO WATCH: TESLA http://www.teslamotors.com/en_GB
  6. 6. Frisk Special: BRANDS TO WATCH OUT FOR June 2014 It makes cooking an adventure into taste and deliciousness, and shows Lurpak as the clever brand that unlocks this experience. The new products - Cooking Liquid and Cooking Mist - put you in control, making you the ultimate master of the meal - as well as making it both easier and quicker to create which is always a help! OLIVIA HEYWOOD MY BRAND TO WATCH: LURPAK COOKS RANGE Citymapper is the one app that no one living in London can live without. Well perhaps they can, but life is definitely harder for those poor souls. It’s a truly brilliant journey mapping tool that manages to seamlessly integrate live data feeds from all the public transport providers and Apple maps to tell you the best way - be that cheapest, quickest, simplest or even most calorie-burning - to get to where you need to go. Citymapper have managed to unravel the complexity of the London Transport system, taking the frustration out of navigating this often bewildering city, leaving you to enjoy the journey. It’s what TfL should have done with their journey-mapper, but haven’t quite managed to. There are lots of other useful features, like the ability to save favourite locations. So even at your most inebriated you can just press the big ‘Get me home’ button without having to remember your postcode. The app also shows where all the Boris Bike docking stations are, and even what the bike availability is like at each. I’m not the only person who thinks it’s the best thing on my phone. Their awards to date include Apple’s ‘Editor’s Choice’ 2013, ‘Most Innovative Mobile App’ at The Global Mobile Awards 2014, and ‘Best Overall Mobile App’ at the Mobile World Congress 2014. FRANCES GIBBS MY BRAND TO WATCH: CITYMAPPER http://www.lurpak.co.uk/uk/our-products/cooks-range/
  7. 7. Frisk Special: BRANDS TO WATCH OUT FOR June 2014 Following on the success of the London original, Citymapper New York launched nine months ago and soon after won the prestigious 2013 Metropolitan Transportation Authority’s App Quest. They’ve recently launched versions for Paris, Berlin, Detroit and Washington DC, with more cities coming soon. Azmat Yusuf, the ex-Google employee that founded Citymapper, says that Citymapper can apply its algorithm to any city that has open source (free to everyone) transport data. His ambition is to cover every city in the world (naturally) but in the short term Citymapper are researching what data cities have to offer and listen to Citymapper users to see where demand is coming from. They’re also offering Citymapper for free to other leisure planning apps. Time Out London and New York have integrated Citymapper into their apps, as has Y Plan London. Y Plan New York is set to follow. A look at their website shows that Citymapper are hiring at pace. This is definitely a brand that we’ll be seeing much more of over the next 12 months. What we don’t yet know is when or how they’ll monetise their brilliant tool. When they do, I’ll sign up without a quibble. This is one app definitely worth paying for. https://citymapper.com/
  8. 8. Frisk Special: BRANDS TO WATCH OUT FOR June 2014 Decades of wonderful automotive beauty and success, a loss of direction, a loss of lots of money, a loss of its soul. Now back with the 4C, the most achingly gorgeous new car for years, plus plans for a completely revamped range said by Alfa themselves to be created “with no interference from the Fiat Chrysler automotive ‘machine’ except where talent is required”. Feisty. Sounds promising. JUSTIN CLOUDER MY BRAND TO WATCH: ALFA ROMEO The crisp and snacks category has become increasingly competitive over the past decade with launch after launch of new flavours, formats blah, blah, blah. The reality is that everything in the category has become wallpaper and decisions are rarely made outside of what is on promotion that week. Tyrrell’s added some real personality to the category when they launched an on-pack promotion to win ridiculous prizes such as “win Des as your middle name” or “win a tattoo of your boss”. It made me go online and look for all 24 of the prizes, which in reality are simply win £25,000. It just shows how with a bit of creativity you can add some much needed life to a routine category. I hope they continue to stretch the boundaries and entertain shoppers. ANTHONY DAVIES MY BRAND TO WATCH: TYRRELL’S & RIEDEL http://www.alfaromeo.co.uk/
  9. 9. Frisk Special: BRANDS TO WATCH OUT FOR June 2014 From a more personal point of view [Anthony is a prolific wine blogger], Riedel (wine glasses) have been making a lot of noise and getting lots of attention. The Austrian glassware company are obviously very passionate about selling the importance of a different glass for every single wine grape variety, but a couple of months ago they received thousands of column inches when they produced a glass for the specific task of enjoying Coca-Cola. The glass is inspired by the iconic curves of the original Coca-Cola bottle, and “designed to enhance the drinking experience”. They are also creating quite a fuss in the wine world at the moment by trying to make the Champagne flute extinct… apparently their glasses are much better! Not a new brand per se, but one I think will have a big impact this summer as it shifts geography to the UK from the continent. Aperol is an aperitif, a bit like Campari, but much lighter. It is a huge brand in France and Germany, but has not yet truly taken off in the UK. It is cropping up more and more in trendy restaurants and style bars. They’ve also done some clever things like marketing it heavily in continental resorts favoured by fashionable young British things, hoping they will bring it back home with them. It is also a nice orange colour, so really stands out in the on and the off trade. JOHN ATMORE MY BRAND TO WATCH: APEROL http://www.aperol.com/ https://www.tyrrellscrisps.co.uk/ http://www.riedel.com/
  10. 10. Frisk Special: BRANDS TO WATCH OUT FOR June 2014 Leo Burnett Colombia worked with Coca Cola to create a Bio Cooler. The project was inspired by the needs of towns around the world which live under extremely hot conditions and which, very often, don’t have any power supply to keep drinks cool in a fridge. The idea´s development took around a year, from its early conceptualisation to field tests. It was created by Leo Burnett Colombia and developed together with the International Physics Centre in Bogota. The Coca-Cola Bio Cooler is a completely revolutionary fridge that doesn´t need electricity to operate. Its design is based on ancient cultures, who cooled the air through water evaporation. It taps into sun heat in a very simple and innovative way. The warmer it gets, the better cooling effect it can achieve. This prototype model works like a vending machine - and the possibilities for this invention are inspiringly limitless… The project was successfully launched in Aipir, one of the hottest towns in Colombia, located in La Guajira, to the north of the country – showing, once again, the brand’s effort to bring happiness to as many places as possible around the world. http://vimeo.com/94200698 CRISTÓBAL PEMBERTON MY BRAND TO WATCH: COCA-COLA BIO COOLER
  11. 11. Frisk Special: BRANDS TO WATCH OUT FOR June 2014 We work closely with Canvas8, a deep-dive insight network who ‘make the complex simple by helping us make the simple significant’. This month they’ve given us a variety of globally-sourced ideas that fit into our ‘brands to watch out for theme’, from the sublime to the… well, not ridiculous, but… y’know. Unusual. Shopping for essentials is up there with laundry and vacuuming as an unenjoyable yet time-consuming requirement of running a household. “Between being a mum, working and watching American Idol, I simply don’t have the disposable time to devote to shopping,” confesses mother and food blogger Jane Maynard. And a barrage of agreeable comments suggests she’s not the only one. [1] Yet with the spread of technology and the democratisation of home electronics, companies are exploring the ways household chores can be made more bearable. And Amazon is appealing to grocery-hating mothers everywhere with Amazon Dash – the kitchen assistant intended to do for the shopping list what “It’s almost too convenient,” says freshly won over Amazon Dash customer Gregg Luskin. [2] He’s one of an undisclosed number of people to receive a complimentary Dash as part of beta testing. With a microphone on one end and a barcode scanner on the other, Dash is helping Gregg fill his virtual shopping basket more rapidly than ever – whether he’s scanning in deodorant directly from his bathroom or naming fresh fruit from the comfort of his kitchen. The Wi-Fi-connected wand is an assistant device for Amazon’s $300-per-year same-day-delivery grocery service, Amazon Fresh. And it could be the future of the traditional shopping list. Shoppers simply scan whatever they’re run out of – or say it if there’s no barcode – and the item is automatically added to their cart, ready to be paid for from a smartphone, tablet or desktop. AMAZON DASH image © Nic Taylor, Creative Commons (2013)
  12. 12. Frisk Special: BRANDS TO WATCH OUT FOR June 2014 It’s predicted that by 2017 there will be more than 10 million smart appliances installed in homes across the world. [3] Between tech-enabled washing machines that let people dry laundry remotely and Wi-Fi- connected fridges that run on Android, the prospect of a smart shopping list doesn’t sound so futuristic. [4][5] And while these gadgets have received critique for unnecessary overcomplication – “I’d rather walk to the local Tesco Metro than communicate with my fridge,” decries sceptic and writer Susie Steiner – the beauty of Dash lies in its functional simplicity. [6] If anything, it feels distinctly uncomplicated. While supermarkets like Tesco and Walmart have integrated similar services through their smartphone apps, it’s the one-use-only functionality of Dash that makes people feel so comfortable using it. “After time we stop engaging with apps because we’re dealing with too much stuff,” explains product designer Lucas Neumann. “If you have something that’s with you all the time, off your phone and computer – while at the same time connected with everything – [it’s] easier to create long-lasting of engagement.” [7] And with many young adults actively disconnecting – 35% of US adults don’t carry a smartphone – Dash is capable of weathering technological change, too. [8] This functionality is further upheld by the adoption of a voice user interface. With products like Google Now and Siri already demonstrating how a literal human-computer conversation where question are asked and answered can benefit the user, the simple act of saying “pineapples” or “milk” makes for an effortless customer experience. And while Amazon’s rejection of the smartphone app might seem counterproductive for a generation of shoppers increasingly checking out on their devices, Dash is actually aiding the m-commerce experience. [9] Since Dash lets people fill their baskets as they go about their week, payment can be processed from any device, wherever they are, at any time. image © Bruce Stockwell, Creative Commons (2010)
  13. 13. Frisk Special: BRANDS TO WATCH OUT FOR June 2014 If Dash takes off – and early feedback suggests that it will – an Amazon-branded shopping list could become a staple in family homes. Already a go-to online shopping destination for everything from books to electronics, AmazonFresh is the next frontier for the e-tailer’s domination of the home sector. As one San Francisco resident noted, Dash is yet another way for customers to become “a little more hooked on Amazon.” [2] Studies show that US consumers want a shopping experience with seamless crossover between mobile, in-store and online, and what better way to achieve this than with the seamless integration of as many products and services as possible? [10] That’s how Apple dominated consumer electronics, and why Facebook bought Instagram, WhatsApp and Oculus Rift. [11][12] image © The Telegraph (2014) While Amazon Dash has functionality that appeals to a broad range of demographics, the kid-centric advertising and demonstration images speak to the busy mothers of America. Working mums are the sole breadwinners for 40% of American households, and minimising the time and energy chores take up is high priority. [13] Between its sturdy, child-resistant design and simplistic interface, Dash does exactly that. And Amazon isn’t the only retailer appealing to this market: American Express has launched a rewards card that appeals to “the multitasking, carpool-driving, Starbucks-hopping, grocery-shopping mom.” [14] “It’s just there,” marvels journalist Mat Honan. “That loop on the end? That’s where you’re going to hang it on your refrigerator or pantry. It’s easier, and faster and dedicated.” [15] Dash’s physicality as a standalone item aligns it with the dust pan and brush or baby monitor as a tool that wouldn’t look out of place on a mother’s standard-issue utility belt. It’s about appealing to the convenience this demographic requires. The intention is to let people find the products they’re looking for as quickly as possible. “If you never had to type again on a phone, that would be great,” says Amazon’s director of mobile shopping Paul Cousineau. “We want you to go from ‘I want that’ to ‘I bought that’ in 30 seconds or 10 seconds.” [16] Philips are similarly attempting to apply this ethos to the in-store experience through smartphone-connected light communication which helps shoppers navigate supermarkets more efficiently. [17]
  14. 14. Frisk Special: BRANDS TO WATCH OUT FOR June 2014 While Amazon has already patented ‘anticipatory package shipping’ – a service through which what you’re going to buy is predicted before you buy it – Google Now can remind you to pick up milk when you’re near a store. Ultimately, Dash is joining an arsenal of technology which is designed to make chores so effortless, they stop feeling like chores. Sources 1. ‘Confession: I hate grocery shopping’, This Week for Dinner (May 2013) 2. ‘Amazon’s Dash scanning device wins early kudos’, Wall Street Journal (April 2014) 3. ‘Juniper Research forecasts smart home connected appliances to exceed ten million installed by 2017’, Hidden Wires (April 2014) 4. ‘Samsung’s WW9000 smart washing machine lets you control your laundry remotely’, Pocket-lint (January 2014) 5. ‘Samsung’s T9000 smart refrigerator runs on Android, includes apps like Evernote and Epicurious’, NDTV Gadgets (January 2013) 6. ‘Smart fridge? Idiot fridge, more like’, The Guardian (January 2012) 7. ‘Meet Bossy, a cute desktop assistant that wants you to be a better worker’, Co.Exist (April 2014) 8. ‘Some young adults disconnecting with ‘dumbphones’’, Chicago Tribune (January 2014) 9. ‘M-commerce has grown 63% in the last five years, with an average £199 spent on mobile purchases in 2013’, The Drum (February 2014) 10. ‘Accenture study shows US consumers want a seamless shopping experience across store, online and mobile that many retailers are struggling to deliver’, Accenture (April 2013) 11. ‘This year’s holiday theme is seamless integration’, Harrison Pensa (December 2012) 12. ‘Why Facebook is spending billions on companies it doesn’t need’, Forbes (April 2014) 13. ‘Working mothers sole breadwinners for 40% of US families, study shows’, The Guardian (May 2013) 14. ‘With new rewards card, AMEX focusses on busy-mom market’, The New York Times (March 2014) 15. ‘New gadget from Amazon makes grocery shopping dangerously easy’, Wired (April 2014) 16. ‘Amazon’s magic wand and the unrelenting race to make shopping more convenient’, Re/code (April 2014) 17. ‘Where is the guacamole? Don’t worry, Philips’ supermarket lighting will tell you!’, Philips (February 2014) BEYOND EGGS image © Hampton Creek Foods (2013)
  15. 15. Frisk Special: BRANDS TO WATCH OUT FOR June 2014 After years of work in a Silicon Valley laboratory applying high tech processes to natural plant proteins to try to make them do “the 22 different things” a hen’s egg can, Josh Tetrick, CEO of Hampton Creek Foods claims to have found a solution that’s both eco- and wallet-friendly. But at a time when many remain distrustful of ‘modified’ food, will people be willing to go Beyond Eggs? Egg replacement products are nothing new. Various powders and goos catering to vegans and the intolerant have hit supermarket shelves over the years, but nothing has proved anywhere near a threat to the real thing. At least until Beyond Eggs came along, if you believe the testimony of its fans. Its egg-free mayonnaise, cookie dough, muffins and scrambling mix are apparently as tasty as the real thing – Bill Gates was impressed enough to invest in the company. They’re free from the cholesterol or environmental baggage of real chickens’ eggs, because the entire process is low-impact and sustainable. And they’re up to 30% cheaper too. [1] It’s a compelling enough package to have been picked up for US retail by Whole Foods, as well as attracting a slew of high profile media coverage. And beyond the high street, Hampton Creek has its sights set on the broader food industry. It’s convincing Fortune 500 companies to use Beyond Eggs in their products as a cheaper, sustainable alternative. “What markets does the conventional chicken egg play in?” said CEO Josh Tetrick in a phone conversation with Canvas8. “We want to go after every single one of those markets.” [1] image © Hampton Creek Foods (2013)
  16. 16. Frisk Special: BRANDS TO WATCH OUT FOR June 2014 Thanks to the rise in environmental and ethical concerns over the past twenty years, selling food on its ‘natural’ attributes has become big business. Between 1990 and 2009, the organic food market grew from $1 billion to $25 billion, and is expected to reach $100 billion globally by 2015. [2] But while a reliable chunk of people continue to buy into organic and ethical products, research suggests the power of ‘organic’ as a label worth shelling out for in its own right might be waning. In 2012, a survey for the Organic and Natural Report found that 30% of people weren’t willing to pay more for organic products, up from 20% two years before. [3] And a vast amount of ethical decisions are made unknowingly. The same supermarket shopper might balk at buying battery eggs, but happily pick up a pack of pastries without knowing anything about how the eggs in them were farmed. Conscious of the gargantuan effort it would take for people to switch every part of their shopping list to ethical goods, Hampton Creek plans to make turning good intentions into good deeds as easy and impulsive as possible. They’re realistic about the habits of the average consumer, and use convenience to appeal to the innate desire to be good. “The more I do this, the more I think most people in the world, even though they have very unsustainable buying patterns, are generally good,” explains Tetrick. “But it just so happens that the good thing, the thing that makes the planet stronger and your body healthier, is harder to do and is more expensive. And as a result, it’s not done – and I think that’s crazy.” [1] And as Tetrick points out, it’s not the people who are already committed to buying ethical and sustainable foods he needs to focus on talking to. “The people that care about water and care about animals and care about the environment, they find out about us,” he says. [1] Instead, they concentrate on the average shopper, who might feel more urgent concerns during their weekly shop than animal welfare and the environment. And Hampton Creek isn’t the only brand refocusing the conversation it’s having with customers about ethical and sustainable offerings. Alan Knight, director of sustainability at Business in the Community, says brands are increasingly taking a “less preachy” approach to selling ethics to consumers. They’re looking to show them how a product can become an easy part of their lifestyle, and something that works for them, rather than asking them to choose products on their eco credentials alone. “Companies are saying: ‘This is about you having a better life, not about the Amazon rainforest’,” explains Knight. [4] And Beyond Eggs’ simple, functional appeal (‘like eggs, but cheaper’) is particularly resonant in the light of surprisingly unpredictable responses to ‘catch-all’ terms like ‘organic’. Research from Cornell University found that organic foods can suffer from a ‘reverse halo effect’, countering the positive halo effect enjoyed by foods labelled ‘low-fat’ or ‘sugar-free’. Not only did people perceive organic foods as tasting worse that non-organic foods (while expecting them to be healthier), but the level of imagined distaste was higher the less concerned people were about environmental issues. [5]
  17. 17. Frisk Special: BRANDS TO WATCH OUT FOR June 2014 According to Amy Sousa, senior research analyst at The Harman Group, brands that address specific ethical concerns are increasingly securing attention, over and above those adopting umbrella qualifiers like ‘organic’. “The more specific the action,” she says, “the more poignant.” [3] And Beyond Eggs is benefitting from a specificity of purpose and a compellingly simple concept. Tetrick maintains the importance of clear communication. “I do think a big part of our job is [to] communicate authentic stories about where our food comes from, and encourage everyone to be honest and transparent,” he says. [1] But will people bite? Writer Julian Baggini describes the “neat moral and conceptual contrast between ‘natural’ and ‘artificial’ [that] lines up neatly with the distinction between ‘good’ and ‘bad’.” [6] It’s an attitude that’s responsible for the ongoing debates around so-called ‘frankenfoods’ like in vitro meats – even though they offer potential solutions to the agricultural pollution crisis. These same attitudes may prove problematic for foods as technologically sophisticated as Beyond Eggs. And until negative perceptions are dispelled, getting people to adapt to a radically new product can be – in the manner of Beyond Eggs – a matter of not asking them to change their behaviours at all. “I think in much of what we do is actually not about changing attitudes,” says Tetrick. “If people want a cheap mayonnaise, they’re just doing what they’ve always done.” [1] image © Hampton Creek Foods (2013) Sources 1. Interview with Josh Tetrick conducted by author 2. ‘Food Is The New Frontier In Green Tech’, TechCrunch (April 2011) 3. ‘Consumers Care More About Natural Foods Than Organic’, QSR (August 2013) 4. ‘Consumers: The ethical way is an easy lifestyle choice’, Financial Times (June 2013) 5. ‘How “good” claims can evoke “bad” impressions’, EUFIC (2012) 6. ‘The vegan carnivore?’, Aeon Magazine (September 2013)
  18. 18. Frisk Special: BRANDS TO WATCH OUT FOR June 2014 At its worst, Beijing’s notorious smog-filled skies can drop the visibility to 30 feet. Traffic slows to a crawl, skyscrapers extend into a brown-grey haze, and kids can’t even kick a football in the park. And with most people confined to their homes, those that have to venture outside wear face masks, giving the city an eerie apocalyptic atmosphere. As young people in China begin to speak out against social and environmental issues around them, Coke has stepped in with a new charitable water brand called ‘Chun Yue’ – translated as Pure Joy. And with messages of sustainability, Coke is targeting socially conscious Millennials. But is this just a CSR project, or has Coke found a new niche for bottled water in China? With a burgeoning population and rapid economic growth coupled with a lax environmental oversight, China has long had environmental challenges. But now the country’s water resources are being contaminated too. The Ministry of Land and Resources estimates that at least 60% of China’s underground water has “very” or “relatively” poor quality. [1] Spotting a gap in the market and extending its sustainable efforts in China, Coca-Cola is launching a socially responsible bottled water brand. Proceeds from the sales will fund projects to bring water-cleaning facilities to schoolchildren in rural areas. It’s Coke’s first initiative of this kind, not only in China but across the globe too. The charitable water brand is targeting Chinese Millennials, with each bottle costing 32 US cents – slightly more than local products generally sell for. And with the brand coming as an extension of Coke’s Ice Dew water label, which ranked number five on the national market in 2013, the drinks giant hopes to tap into the growing Chinese demand for bottled water. [2] CHUN YUE image © The Mirror (2014)
  19. 19. Frisk Special: BRANDS TO WATCH OUT FOR June 2014 In April 2014, state media announced that the country’s largest oil company was to blame for a leak that contaminated the tap water of 2.4 million people in northwest China. [3] But rather than a one-off disaster, water pollution is constantly in the news. In 2013, 16,000 dead pigs were found floating in the Huangpu River, which supplies drinking water to Shanghai. And even when local officials reassure residents that their tap water is safe, people don’t seem to trust them. Despite quality control tests, about 20,000 people from the town of Changshou in the Hunan province have refused to drink local tap water for years, preferring instead the mountain spring water. [4] With such a deep-seated fear of the water that comes out of their taps, it’s hardly surprising that sales of bottled water in China increased 86% from 2008 to 2013. [5] And after the Chinese bottled water market doubled in the same period, it’s now close to that of the US by volume. [6] But while Americans may see bottled water as an eco-unfriendly luxury, Chinese people are increasingly considering it as a necessity for their health. [5] Zenith research co-ordinator Yumiko Magara Wilkey says concerns over “pollution and purity”, as well as a “better understanding of health”, have fuelled this rise. [7] Seeing an opportunity in the market, Coke’s Chun Yue is aimed at health-conscious and socially aware Millennials. According to Pratik Thakar, Coke’s Pacific Group lead for creative and content excellence, they’re more vocal about social and environmental issues than previous generations. “[They] are proud of being part of solving social issues,” says Thakar. “They may not be very active, maybe not going out and planting trees… but they see pollution and other issues and immediately chat about them on Weibo.” [8] image © Let Ideas Compete, Creative Commons (2009)
  20. 20. Frisk Special: BRANDS TO WATCH OUT FOR June 2014 Sparking a widespread movement in early 2013, environmental activist Deng Fei asked people to post a picture of their local river onto Weibo. With thousands of people sharing pictures of polluted rivers and demanding stricter environmental regulations, censors got to work deleting posts deemed ‘inappropriate’. [9] Finding their voices silenced online, people are taking to the streets, looking for different ways to draw attention to the pollution. Statues have been given face masks, performance artists sing ‘smog-versions’ of popular songs, while Beijing artist Liang Kegang grabbed headlines when he auctioned off a jar of fresh air from France. [10][11] Although leading Chinese bottled water brands like Kangshifu, Nongfu Spring, and Yibao have all highlighted the health benefits of mineral water, people are beginning to question even the quality of some of these brands. [8] In 2013, the National Health Association of China told the Beijing Times that the water standard of Nongfu Spring was “worse than tap water” because it contains chemical levels that are above the national standards. Afterwards, 69% of people in an online survey said they wouldn’t buy Nongfu Spring water anymore, demonstrating the damage to the brand. [12] Addressing the issue of water safety on a national scale and positioning itself as a healthy alternative, Coke’s Chun Yue is aiming to take a larger slice of China’s growing bottled water market. And by directly funding projects to provide clean drinking water to schoolkids, Coke is tapping into the desire among young people for a greater social responsibility towards the environment, with the entire brand designed around the cause to “Drink Good, Do Good, Feel Good.” image © Joel Price, Creative Commons (2008)
  21. 21. Frisk Special: BRANDS TO WATCH OUT FOR June 2014 Until recently, the concept of socially conscious brands was relatively undeveloped in China. But as people gain a greater understanding of their impact on the world around them, and social platforms such as Weibo help to drip information to a wider audience, the calls for action are growing louder. A 2013 Pew survey found that 47% of people in China considered air pollution a “very big problem”, up from 36% in 2012. And it’s not just environmental concerns that people are worrying about. Financial inequality is considered a major problem too, with 52% saying the gap between rich and poor was serious, up from 41% in 2008. [13] Responding to the shifts in the public consciousness, an increasing number of Chinese companies have begun producing corporate social responsibility (CSR) reports over the past decade. In 2006, State Grid was the only company in China to file a CSR report. In 2012, 1,722 Chinese companies filed CSR reports, according to a study by sustainability consultant Syntao. [14] Whether this has led to more sustainable business practices is open for debate – but for Coke, this presented an opportunity to flaunt its own sustainable efforts. And in the same way that Coke links the safety of its bottled water through an association with clean water projects, brands are finding ever-smarter ways to highlight the sustainability of their products. Honda has produced a line of bottled water to demonstrate the ecological technology in its hydrogen-powered car, which emits water as exhaust. Similarly, in the wake of the Fukushima nuclear disaster in 2011, Japanese brand Protoleaf wanted to prove that its organic gardening soil was safe. In collaboration with a French chef, it created a six-course menu with soil as the main ingredient. [15] These brands are connecting the concept of sustainability in the minds of their customers. Yet, says Thakar, “this is not just a CSR project, but a real brand for Coca-Cola.” [16] The company wants to reach 20 to 35-year-old health conscious Millennials, but it also saw an opportunity to tie the brand to that demographic’s desire for social activism. Tailoring brands to local needs and desires has never been so important. It’s why Moët Hennessy launched a locally produced sparkling wine in India, tapping into the desire for Indian-made products. And it’s why Weetabix sells small sachets containing two biscuits to rural shops in Kenya, gaining 70% of the Kenyan cereal sales as a result. [17] Understanding the cultural nuances of a foreign market can be the difference between success and failure, so could Coke’s “socially responsible” bottled water messaging hit the right note? Sources 1. ‘China’s eco-crisis: 60% of underground water polluted’, RT (April 2014) 2. ‘Coca-Cola has introduced a new charitable water brand, Ice Dew “Chun Yue,” in China’, Popsop (May 2014) 3. ‘China water contamination affects 2.4m after oil leak’, BBC (April 2014) 4. ‘Hunan villagers refuse to drink tap water deemed ‘safe’’, South China Morning Post (March 2013) 5. ‘Coke Launches Socially Responsible Water Brand in China’, Advertising Age (May 2014) 6. ‘Bottled water market in China doubles since 2008‘, FoodBev (December 2013) 7. ‘China: Bottled water market to grow as health concerns boost consumption’, just-drinks (December 2013) 8. ‘Bottled Water Market Quickly Turning Chinese’, Forbes (August 2013) 9. ‘Chinese Activist Web Users Take Aim at Water Pollution, and Censors Strike Back’, Tea Leaf Nation (February 2013) 10. ‘Speaking out against air pollution through “smog art”’, China Dialogue (March 2014) 11. ‘Jar Of French Mountain Air Sells For $860 In Smog-Choked China’, Huffington Post (April 2014)) 12. ‘Nongfu bottled water quality questioned’, China Daily (April 2013) 13. ‘Environmental and social concerns on the rise in China‘, South China Morning Post (September 2013) 14. ‘“Corporate Social Responsibility” Reports in China: Progress or Greenwashing?’, Businessweek (December 2013) 15. ‘Protoleaf / Soil Restaurant’, Contagious (May 2013) 16. ‘Coca-Cola wraps Chinese bottled-water brand in social responsibility‘, PR Week (May 2014) 17. ‘Weetabix: Teach a market to love your product’, Marketing Week (April 2012)
  22. 22. Frisk Special: BRANDS TO WATCH OUT FOR June 2014 Another take on our Brands to Watch theme looks at how important a brand’s popularity is to consumers. Popularity is Leo Burnett’s mantra. We believe that once achieved, a brand’s popularity is a powerful thing – giving a brand enduring success. We wanted to delve into the intangible nature of brand popularity and understand, not only which brands are perceived to be popular, but what are the ingredients that combine to create popularity and how a brand attains and retains popularity over its life. Popular brands have a DNA which, if decoded, can be identified, replicated and accelerated. We recently carried out consumer research amongst 5,000 buyers of 50 FMCG brands. Here’s just a taster about what we found out about the power of popularity for brands. We asked these consumers to rate one brand each on perceived popularity and a series of related attributes. By comparing their current perceived popularity scores to 10 years ago, we were able to group brands depending on their popularity and momentum scores. LEO BURNETT’S ‘PATHWAY TO POPULARITY’ We were then able to identify the attributes that seem to drive perceived brand popularity, which could be grouped into five general areas that we call – the Ingredients of Popularity.
  23. 23. Frisk Special: BRANDS TO WATCH OUT FOR June 2014 The influence of each ingredient differs depending on where a brand appears in our Popularity Matrix, and it became clear that there was a natural progression for brands to take over time, with a need to focus on different ingredients depending on where they are. Brands in the Rising Stars quadrant tend to be young brands - Brands to Watch - that have risen to prominence in the past 10 years, such as Innocent Smoothies, Gü Puds and Dorset Cereals. They tend to score well on measures of Affinity, but less so on Visibility and Differentiation. In descending order of influence, these Ingredients that drive Popularity are as follows:
  24. 24. Frisk Special: BRANDS TO WATCH OUT FOR June 2014 In order to evolve into a Superstar, a brand’s natural pathway to growth, they need to improve those perceptions, and especially on establishing a differentiated brand personality. For instance, although Green & Black’s scores highly on Affinity measures, it scores just 16% on “a fun brand” (Differentiation measure) and 19% on “a brand you see everywhere” (Visibility measure). That compares to mean scores for Superstar brands of 32% and 41% respectively, and scores of 35% and 70% for Cadbury’s Dairy Milk. For brands that have achieved Superstar status, it’s natural that their Momentum score will decline over time and they will move into the Settled Greats quadrant, providing they retain their popularity, or move directly into Former Glories if they don’t. In order to prevent a move into Former Glories from either the Superstar or Settled Greats territory, brands must work hard to retain the Differentiation and Visibility scores that they have built up. Coca-Cola for example, despite being one of the oldest brands in our study, is firmly entrenched in the Settled Greats category with one of the highest popularity scores of all the brands evaluated. Although its momentum score is relatively low, it has retained its popularity due to very high Visibility and Differentiation scores. Within Differentiation, its score on “modern and up to date” was only beaten by Innocent Smoothies and Ben & Jerry’s. If you want to find out more about this study, please contact Mike Treharne, out head of Data Insights, at mike.treharne@leoburnett.co.uk
  25. 25. Frisk Special: BRANDS TO WATCH OUT FOR June 2014 Jugofresh, a Miami-based health-food retail chain, has come up with a new way to market and sell health food – think hip-hop and army fatigues rather than hemp sacks and worthy illustrations of hedgerows and field mice. Jugofresh’s newly opened store in Wynwood, Miami’s ultra-hip arts district, is decked out in popping lime green. Enter, and there’s a feature wall with bold graphics and lime-green fans suspended in rows. Music is blasting. The counter wall features bright green camouflage print. Another wall features a giant LCD TV screen. Meanwhile, instead of seats, there are church pews for people to sit on while they wait – and worship at the altar of health. The store is the latest in a series of planned openings in Miami for 2014, after Jugofresh launched its first store in Miami’s South Beach in 2012. Others in South Beach’s South Pointe neighbourhood and Santona Corner in Coral Gables are scheduled for spring 2014. Connecting to health-conscious Floridian Millennials, the company also sponsored YogArt for Art Basel Miami Beach. Jugofresh’s menu features cold-pressed juices, ‘life-enhancement’ shots, superfood smoothies and other snacks, and the juices and smoothies are all customisable with extra shots and supplements. The packaging is clean, sleek and lab like. One of Jugofresh’s goals is to change the perception that healthy eats are boring and flavourless. ‘People have a misperception that eating healthy tastes bad, but Jugofresh proves just the opposite,’ says founder Matthew Sherman. ‘Our chef is incredibly talented in turning traditional comfort foods into something that is actually good for you,’ he says. JUGOFRESH We work in partnership with LS:N, the Lifestyle News Network, to offer planners and client teams access to a trends and insight base that plugs us into what’s new, next and innovative in consumer thinking. Here’s what came up in conversation when we asked which brands were exciting them these days… http://www.jugofresh.com/
  26. 26. Frisk Special: BRANDS TO WATCH OUT FOR June 2014 Cold-pressed juices – which push every last drop out of fruit fibres using high-pressure processing (HPP) rather than heat pasteurisation – have enjoyed a rapidly growing fan base in the US in the past few years as large companies such as Hain Celestial Group (BluePrint) and Starbucks (Evolution Fresh) have invested in the segment, creating products that claim to keep their pure, nutritious, raw state. Cold-pressed juices and juice ‘cleanses’ are also gaining traction in the UK, with the launch of brands such as ColdPress and Raw Fruity into major supermarkets and the opening of new juice bars such as Roots & Bulbs, which recently set up shop in London’s Marylebone. ‘We believe that people need fast, accessible solutions to healthy food, but that needs to be coupled with a pleasant experience that leaves one feeling motivated, inspired and positive,’ says Roots & Bulb founder Sarah Cadji. When you think of the word ‘bespoke’, it is perhaps the luxurious world of Savile Row tailoring that springs to mind, but increasingly beauty brands are borrowing from this made-to-measure approach and allowing customers to become involved at the point of blend. Concoction, a new DIY beauty service inspired by cocktail mixology, enables consumers to create customised haircare products tailored to their hair type and colour or other specific needs. In three simple steps, consumers select their shampoo base and add up to two Superserums, before the formula is blended to create a personalised ShampYou. There are 256 possible combinations. The collection consists of four fragrance bases: rosemary and mint, lemon and verbena, black pepper and citrus, and Bakhour. The eight Superserums contain a concentrated blend of vitamins, minerals and active ingredients that target specific haircare concerns. Completing the collection is the Crème de Concoction Conditioner, scented with cashmere and white lily, designed for all hair types. ‘Bespoke beauty has been on the rise for some years,’ says Millie Kendal, director of BeautyMart, a beauty store designed, curated and merchandised around the concept of a magazine. ‘Women already buy from a variety of brands, and mix and match at their leisure. We have been waiting for a brand that combines this method of creating your own cosmetics with ease and sophistication.’ The service will be launched exclusively at Selfridges on Oxford Street on 25 July for two weeks, allowing customers to become personally involved with the blending process. At the Concoction Mixology Bar, expert Concoction mixologists will examine customers’ hair and colour type. ‘We live in a world in which people are becoming accustomed to being involved in the curation and development of products,’ says Alex Epstein, founder of Concoction. ‘The beauty industry is starting to embrace the opportunity to give consumers new experiences with products that can perfectly meet an individual’s unique needs.’ CONCOCTION
  27. 27. Frisk Special: BRANDS TO WATCH OUT FOR June 2014 http://www.concoction.co.uk/ Toms shoes and glasses can be found at thousands of stores in the US and overseas, but until recently the brand had only one dedicated store, in Venice, California. With its new branch in Austin, Texas, Toms has created a retail space that brings the brand’s behaviour and values to the fore, rather than products. ‘I wanted it to be more than a store, for it to be a community,’ said Toms founder Blake Mycoskie at the Austin store’s opening event. I didn’t see us as a shoe company. I saw us as a One for One company.’ For every pair of shoes or glasses purchased, Toms donates a pair to a needy individual, often in the developing world. The model has proved very popular among socially conscious consumers and inspired a host of imitators, many of whose products Toms recently began selling through an e-commerce platform called Toms Marketplace. Toms opened its latest One for One venture, Toms Roasting Co, to coincide with the Austin store’s opening during the recent South by Southwest music, film and interactive festival. Toms will provide a week of clean water to a person in need for every bag of coffee sold. Like so many other community-minded stores that have opened recently, Toms Austin includes a coffee bar. But in this case, the bar isn’t just a social meeting place, it’s an expression of the brand’s values. TOMS
  28. 28. Frisk Special: BRANDS TO WATCH OUT FOR June 2014 Mycoskie also sees the store as a place for the community to gather and discuss ideas. It’s a clever extension of the company’s take on marketing, which relies on person-to-person recommendations or ‘peer-vertising’. At the launch, Mycoskie told the story of a woman he met at the airport who didn’t realise he was the founder. He asked her what she thought of the shoes, and she spent the next long while enthusing about how amazing the brand was. Mycoskie said he realised the power of recommendation, and that building a community around the brand was much more powerful than traditional advertising. ‘I tell the story of that woman all the time. She wasn’t just a customer, she was an evangelist. She had seen every single video on our site. She was one woman, in an airport, with the desire to tell the Toms story,’ Mycoskie said at the launch. ‘She loved it so much she posted on Facebook, gave Toms as birthday presents. I thought: ‘How many more people are there like that?’’ The new Toms store contains its share of attractive merchandising, but it is the focus on community and behaviour that makes the space stand out. http://www.toms.com/toms-stores
  29. 29. Frisk Special: BRANDS TO WATCH OUT FOR June 2014 ‘The practice of shopping in order to make oneself feel more cheerful’ is how the Oxford English Dictionary defines ‘retail therapy’, and while many would agree, there are some that still find the thought of any kind of shopping brain-numbingly dull. But going shopping is no longer just about buying something; it is now an experience. Retail spaces are being exploited in a vastly different way to how they once were. The uneventful simple store has been transformed into a combination of interactive showrooms and experience hubs to make retail mooching more of a pastime than ever before. And it’s not just electronics giants such as Apple paving the way, but these days every sector, especially fashion, are having to re-assess how best to use their space to gain traction with shoppers and enhance their retail therapy sessions. RETAILTAINMENT Storebites is a regular in-house roundup of tangy titbits relating to shopper marketing and the goings-on in the retail environment. Here, Sarah Leccacorvi discusses ‘retailtainment’, and the ways in which retailers are evolving the concept of the physical store to fit into the modern way of shopping. LIFESTYLE POP-UPS: BOXPARK Short-term retail initiatives that appear one day and are gone the next create hype like no other. Frequently unannounced, curiosity and anticipation draws in eager shoppers wanting to know more. Pop-up spaces are often conceived to drive sales for limited edition items, but they are also more frequently used as gallery-like shopping spaces with one-off exhibitions that build brand equity. Boxpark in London’s Shoreditch is now one of the best known pop-up shop communities, showcasing both budding newcomers as well as established brands. Made from shipping containers to create low cost, low risk ‘box shops’, collectively they create a portable fashion, art and lifestyle hub. Boxpark’s success comes down to bringing variety, talent and innovation, all designed with the local trendy urbanites in mind. And because of its diverse nature, Boxpark continues to draw the crowds, living up to its ‘fertile living community’ mission statement.
  30. 30. Frisk Special: BRANDS TO WATCH OUT FOR June 2014 From a small workshop in Leicestershire in 1866, Brooks England has now firmly placed itself on the map as the byword for quality craftsmanship. Specialising in bicycle saddles, Brooks England has recently opened its first London store, selling handcrafted bags, clothing and other cycling accessorises. At a time when bike lycra is not cool, beautifully crafted items are high in demand. But what makes the Brooks retail really standout is their ‘Catherdral’. Leveraging their heritage, the store has created a museum to showcase the brand’s 150 year history and to demonstrate its passion in creating bespoke items. MUSEUM FOR SADDLES: BROOKS ENGLAND Connecting digital and physical experiences, whether for store theatre or day-to-day shopping is no easy feat. But one retailer which is leading the way is Burberry. Their much-acclaimed flagship store in Regent Street has long been admired for being one of the first to leverage in-store tech in a truly captivating manner. The store has become the physical manifestation of the Burberry website, mirroring every aspect of the site’s rich content from events, to music, to heritage. With nearly 500 speakers and 100 screens, the store can provide an audiovisual experience that plays back branded content which is synchronised at selected moments throughout the day. The store also has a digitally- enabled gallery and events spaces, including a permanent hydraulic stage to showcase established and emerging creative talent. Not only that, the clothing is embedded with RFID chips that can be read by mirrors to relay images of how it was worn on the catwalk, or details of how it was made. TANGIBLE TECH: BURBERRY
  31. 31. Frisk Special: BRANDS TO WATCH OUT FOR June 2014 Many retailers look to diversify into new categories, and many are unsuccessful. Topshop have a habit of making it look simple; creating a destination for style, Topshop’s Oxford Circus store delivers everything a trend setting shopper would want. From fashion spanning casual to smart and vintage to modern, they also offer free Personal Stylists sessions, a nail and blow dry bar and their much-admired Kate Moss collection. And to keep shoppers firmly locked in-store, they now have food company Eat conveniently located downstairs and a candy zone upstairs giving their shoppers no reason to go next door. Topshop, like Burberry, are also pioneers of embedding tech into their store; whereas Burberry is about theatre, Topshop is about social, enabling their shoppers to connect and share their experiences with friends instantaneously. BEYOND ITS CORE: TOPSHOP Ripped torsos, beautiful girls, high energy music, alluring scents and low lighting is how Abercrombie & Fitch pull in the teenage crowd. But love it or hate it, A&F are engaging their target audience on a multiple sensorial level. The high- octane environment is perfectly pitched to give their audience a real connection to the brand and the lifestyle it portrays. And whilst A&F are well known for the multi-sensory experience, more and more retailers are beginning to follow suit. Nike for example is now introducing scent into their stores as they found it to increased intention to purchase by 80%. SENSORIAL SPACES: ABERCROMBIE & FITCH
  32. 32. Frisk Special: BRANDS TO WATCH OUT FOR June 2014 Iconic Danish brand Bang & Olufsen, who are renowned for excellence in design, have continued to evolve the retail experience in electronics. Showcasing a product range that exemplifies seamless media experiences in the home as well as in the car and on the move; the B&O retail concept enables consumers to try out their range in-store. Shoppers can listen to music from the smallest cube speakers to the largest floor models by using their own playlists streamed from their smartphones. They can also visit the ‘Play’ zone where they can try out tech for more mobile lifestyles. Lastly, in a more private area, shoppers can immerse themselves in viewing and listening combinations. Here, they can view films on the latest flat screen technology with surround sound, as well as discover the convenience of linking rooms and multiple entertainment sources through BeoLink system integration. AUDIO-VISUAL IMMERSION: BANG & OLUFSEN
  33. 33. Frisk Special: BRANDS TO WATCH OUT FOR June 2014 Famed for excellence in customer service, John Lewis are masters at maintaining their high standards whatever and wherever the shopper engagement takes place. By adopting an omni- channel approach, they provide the shopper with a seamless customer experience regardless of channel. Even better, John Lewis recently launched JLAB, a technology incubator scheme involving investors from a range of backgrounds to work alongside five start-up firms. With a brief to develop relevant tech solutions, the sole aim is to enhance the customer’s experience. If successful, the winning firm will get £100,000 worth of investment to grow their business. OMNI-CHANNEL: JOHN LEWIS The store is the heartland of the brand, which can create emotional connections that go beyond a simple and rational transaction. Brands have to use their space to create a multitude of memorable experiences that can be tailored to individual needs and shared with friends. Whether it’s a multi-sensorial event, creating high-tech theatre, or simply joining the dots between channels and touchpoints, retailers that create and curate engaging experiences are the ones who can make shopping appealing… even to those who shudder at the thought. Sarah Leccacorvi Client Service Director