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Pomp Forum Julia Hutchinson Patrick Fuller The Power Of Customer Publishing


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Pomp Forum Julia Hutchinson Patrick Fuller The Power Of Customer Publishing

  1. 1. Julia Hutchinon and Patrick Fuller, APA 4/3/2010 Slovenia
  2. 2. EDITORIAL CONTENT IS KING The Power of Customer Publishing Slovenia March 2010
  3. 3. The APA : <ul><li>“ Customer publishing is a rapidly growing industry where brands are using editorial content, irrespective of channel, to engage consumers to deliver tangible marketing effect.” </li></ul><ul><li>APA encourages best practice and promotes the industry on a global level </li></ul><ul><li>Drive growth of new business and margin for members (both print and digitally) through: </li></ul><ul><ul><li>Promote: Marketing/International </li></ul></ul><ul><ul><li>Prove : Research </li></ul></ul><ul><ul><li>Persuade: ASK – new business service </li></ul></ul><ul><ul><li>Proclaim: Events – training and awards </li></ul></ul><ul><ul><li>Protect: Environment/ lobbying </li></ul></ul><ul><li>98% of UK market are members </li></ul><ul><li>Run ICPF with 17 countries taking part globally </li></ul>
  4. 4. £904m spend 323,000 average circulation 33/100 circulation titles 20% turnover is digital 45% of client work is cross media An overview of the UK market: 16% growth 92 launches 70% posted 20% income from 3 rd party advertising
  5. 6. Industries investing in Customer Publishing:
  6. 7. Growth in the future…
  7. 8. Key reasons for growth: <ul><li>The changing media marketing place: </li></ul><ul><ul><li>1,000’s of ways to reach consumers </li></ul></ul><ul><ul><li>Difficult to engage time poor consumers </li></ul></ul><ul><ul><li>Reach versus outcomes </li></ul></ul><ul><ul><li>Customers losing trust in brands </li></ul></ul><ul><ul><li>Trend towards participatory communications </li></ul></ul><ul><li>Innovation </li></ul><ul><ul><li>Power of editorial online and in print </li></ul></ul><ul><ul><li>Creativity and quality </li></ul></ul><ul><li>Effectiveness </li></ul><ul><ul><ul><li>ROI is key </li></ul></ul></ul>
  8. 9. “ Long copy - and prolonged leisurely engagement - are often out of fashion in an advertising business which often confuses creativity with brevity. This would have driven David Ogilvy insane. Happily your industry is one of the last few pockets where this talent still flourishes: and it's a talent that somehow lends to brands a quality that nothing else can.” Rory Sutherland Vice-Chairman, Ogilvy Group UK Effectiveness - engagement is key:
  9. 10. Proving the power of customer magazines: <ul><li>APA/Millward Brown Advantage Study: </li></ul><ul><ul><li>21,000 consumer interviews </li></ul></ul><ul><li>Key findings: </li></ul><ul><ul><li>25 minutes time spent with a brand </li></ul></ul><ul><ul><li>Top 6% of consumers spent over an hour with the brand </li></ul></ul><ul><ul><li>More time than any other media = 50 x 30” TV slots </li></ul></ul><ul><ul><li>57% of consumers read at least half of the magazine </li></ul></ul><ul><ul><li>18% of consumers pick the magazine up 3 – 4 times </li></ul></ul><ul><ul><li>60% keep the magazine for a week or more </li></ul></ul><ul><ul><li>14 % keep it for reference </li></ul></ul><ul><ul><li>8% pass it on to a friend </li></ul></ul>Engagement = marketing effect
  10. 11. Engagement = marketing effect: <ul><li>Customer magazines drive response: </li></ul><ul><ul><li>On average 44% of consumers who receive a customer magazine do something as a result: </li></ul></ul><ul><ul><ul><li>78% - retail sector </li></ul></ul></ul><ul><ul><ul><li>45 % - membership titles </li></ul></ul></ul><ul><ul><ul><li>30% - automotive sector </li></ul></ul></ul><ul><ul><ul><li>23% - finance sector </li></ul></ul></ul><ul><li>Improving loyalty and driving brand equity: </li></ul><ul><ul><li>Positive impact on consumers view of a brand: </li></ul></ul><ul><ul><ul><li>Increase view of leadership values by 11% </li></ul></ul></ul><ul><ul><li>32% increase in brand loyalty </li></ul></ul><ul><li>Tangibly drive sales: </li></ul><ul><ul><li>Drive an 8% increase in future sales </li></ul></ul><ul><ul><li>Readers of supermarket titles spend over £5 or more on groceries than non-readers </li></ul></ul>
  11. 12. Retail titles: Study Average Retail Average Tried a recipe Visited store/branch Bought a new product/used a new service Used a voucher Showed the magazine to a friend or relative Entered a competition Recommended the store to a friend Visited the website Enquired about a specific product/service Visited a department you would not usually shop in Carried out an idea Used a service you would not usually use Level of active response % Best performer
  12. 13. Finance titles: Study Average Financial sector average Called the company for more info Entered a competition Enquired about a specific product/service Visited a website Visited a store/branch Bought a new product/used new service Added to an existing product owned Used a voucher Responded to an offer Level of active response % Base: Magazine sample (915)
  13. 14. Automotive titles: Study Average Automotive sector average Discussed with friend/colleague Visited store/branch Visited the website Enquired about a specific product/service Called/visited dealership Given copy to interested friend Called the company for more info Bought a new product/used new service Entered a competition Requested a test drive Bought a winter service Requested a brochure Responded to offer Used a voucher Contacted the featured insurance company Level of active response % Base: Magazine sample (1529)
  14. 15. B2B Customer magazines: <ul><li>9 B2B case studies </li></ul><ul><li>53% read for more than 20 minutes with 11% reading for more than one hour </li></ul><ul><li>54% keep for over a month </li></ul><ul><li>61% of all readers prefer to receive the magazine in the post rather than pick up </li></ul><ul><li>1 in 4 pass on to a colleague – great WOM for brand </li></ul><ul><li>72% open the copy that they receive in the post </li></ul><ul><li>64% read almost every single issue they receive in the post </li></ul><ul><li>Whilst there is a growth in demand for online access this is not at the expense of a printed copy </li></ul><ul><li>In B2B category as a whole, magazines are more likely to be kept for reference – 32% </li></ul><ul><li>. </li></ul>
  15. 16. “ Online editorialised content is a vital form of communication to engage with the consumer – and is getting more important by the day. Depending on the brand it either needs to be purely functional, relevant and informative or have a wider role in building a stronger lifestyle presence and role within the consumers life. ” Tim Bonnet, CEO, Tequila
  16. 17. The Power of Editorial Content Online <ul><li>28% of consumers who interact online are driven in-store to purchase from articles and reviews from branded websites </li></ul><ul><li>27% of consumers are more likely to buy online if branded content is available </li></ul><ul><li>Nearly a quarter (22%) of consumers online are more likely to recommend a website to friend if it is constantly updated with information than one that isn’t </li></ul><ul><li>The desire to interact with other consumers through social media is very low – with only 2% of consumers wanting more </li></ul>“ 60% of Consumers Who Interact Online are More Likely to Buy if Websites offer Branded Content”
  17. 18. <ul><li>The traditionally difficult to engage age range of 18 – 24 year olds respond to content online more than any other age range – 7% higher desire for brands to offer more editorialisation </li></ul><ul><li>25 – 34 year olds are predominantly looking to buy online and are more engaged by offers than any other age range </li></ul><ul><li>Those in the 45 – 54 age bracket are looking to be entertained , with the highest percentage of any demographic looking for games from brands </li></ul><ul><li>Nearly half of consumers interacting online who are over 55 use branded websites to research brands and products over being entertained, gaining offers and purchasing </li></ul>“ How to Engage Consumers Online of all Ages Revealed”
  18. 19. <ul><li>65% of consumers who interact online would visit a website once a week or more if content was updated daily </li></ul><ul><li>60% of 18 – 24 year olds would visit a website a few times a week or more if content was updated daily </li></ul><ul><li>12% of consumers online would spend more with a brand that engages them online through constantly updated content </li></ul>“ Almost three quarters (72%) of online consumers want content that is updated weekly or more regularly”
  19. 20. <ul><li>Other than to make a purchase or seek information, 72% of consumers repeatedly visit websites because they are easy to navigate, provide content and offer reviews of products </li></ul><ul><li>Consumers are least likely to return to a site to read a blog from a brand, with only 2% of the vote and games only persuade 5% of consumers online to return to a site </li></ul><ul><li>More women than men are encouraged to repeatedly visit a site by offers – women 36%, men 28% </li></ul>“ Top Reasons for Consumer Repeat Visits to Websites Revealed”
  20. 21. “ Companies should be looking to engage with their core customer audiences through whichever channels are relevant to those customer’s lives . Branded editorial content allows for good targeting and can provide a quality environment for messaging that is less commercial and more trusted than advertising ” Martin Hayward, Director of strategy and consumer futures, dunnhumby
  21. 22. Cross media editorial effectiveness – modes of media consumption: <ul><li>In all cases online and print media are consumed differently: </li></ul><ul><ul><li>Magazine: </li></ul></ul><ul><ul><ul><li>Longer sittings, read in more depth </li></ul></ul></ul><ul><ul><ul><li>Retained & picked up more frequently </li></ul></ul></ul><ul><ul><li>Online: </li></ul></ul><ul><ul><ul><li>Shorter sittings, more functional use </li></ul></ul></ul><ul><ul><ul><li>Although still read in-depth by a minority </li></ul></ul></ul><ul><ul><li>The more successful editorial combinations capitalise on this: </li></ul></ul><ul><ul><ul><li>Differentiated presentation and content between media </li></ul></ul></ul><ul><ul><ul><li>Online designed more around scanning mindset </li></ul></ul></ul><ul><ul><ul><li>Magazine more for immersion and spending prolonged time </li></ul></ul></ul><ul><ul><li>Combination of print plus online has the strongest effect </li></ul></ul><ul><ul><li>Evidence of media crossover effect – where exposure to once channel drives readers to the other </li></ul></ul><ul><ul><li>Online has a more functional role </li></ul></ul><ul><li>. </li></ul>
  22. 23. Posted Magazines Research results: <ul><li>Over a third (39%) of consumers that receive a magazine are driven online to investigate or purchase from that brand </li></ul><ul><li>Posted customer magazines drive more people online than those that are picked up in-store (26% compared with 23%) </li></ul><ul><li>18-24 year olds are the most likely age group to go on to buy a product online as a result of reading a magazine </li></ul><ul><li>25 – 24 and 35 – 44 year olds are by far the most likely age groups to be driven to investigate a brand online having read a customer title </li></ul>“ Customer Magazines Drive Online Activity”
  23. 24. <ul><li>Posted customer magazines engage the 18 – 24 year olds more than any other age group </li></ul><ul><li>This notoriously hard-to-engage group are more likely to purchase online , pass the title on to friends and twice as many consumers take more notice of that brand’s other advertising and marketing having read the magazine than any other age range </li></ul><ul><li>More than double the number of consumers in this age range feel that brands should make the effort to post their title than those over the age of 45 </li></ul>“ Customer Magazines to Engage Youngest Audience”
  24. 25. “ Editorialised content is now a hygiene factor in the building of relationships between brands and consumers. However the brands that get it right are the ones that truly connect brand values and the brand promise to the very real needs of their customers. Editorialised content is absolutely key to continually refining and honing the relationship and is a very real demonstration that brands are listening. ”   Chris Ward Managing Partner Partners Andrews Aldridge