Tag

study

Browsing

A summary of the most exciting recent research in brand marketing in the U.S., U.S.-Hispanic and Latin American markets. If you’re trying to keep up, consider this your one-stop shop.

US/US-HISPANIC MARKET

According to a study from Shareablee, brands get more bang for their buck paying a publisher or influencer to produce a branded-content post through their Pages and paying to promote that post as an ad instead of a post published to the brand’s own Page.

A study from Persistence Market Research (PMR) is predicting that the global programmatic advertising platform market is set to enjoy a compound annual growth of 33.3% from 2017 to 2025 when it will likely be worth around $30 billion.

Dentsu Aegis Network announced Wednesday the acquisition of U.S.-based HelloWorld, a promotions and loyalty group that will roll into Merkle’s loyalty division to improve on the agency’s people-based marketing offerings.

This piece looks at trends in the luxury market for 2018.

The ANA (Association of National Advertisers) has acquired another leading trade group, the Word of Mouth Marketing Association (WOMMA), a group of companies committed to progressing the word of mouth marketing industry through advocacy, education, and ethics.

According to InMoment’s 2017 Retail Trends Report, more than 50% of consumers value in-store interactions with friendly and knowledgeable staff, and positive in-store interactions can raise customer satisfaction by 33% — with higher rates reported in fashion and sports retail sectors.

Amazon and consumer product companies like Procter & Gamble and Clorox are discussing the possibility of advertising via the e-commerce giant’s Echo devices and Alexa voice assistant, according to sources from CNBC.

Gen Z is the first generation fully comfortable online and offline with a demonstrated ability to simultaneously utilize digital, physical and hybrid tools, according to a report by business intelligence platform PSFK.

eMarketer estimates nearly 84% of U.S. digital display dollars will transact programmatically by 2019.

LATAM MARKET:

L’Oreal will expand a media ownership strategy it piloted in Mexico to other Spanish-speaking countries to generate first-party cookies from its customer base.

Adoption of self-service kiosks, which help brands get closer to consumption patterns and consumer behavior, is gaining momentum in the emerging countries such as Brazil.

 

What: Interpublic Group agency Golin released its first-ever Global Relevance Review, highlighting the importance of popularity — being talked about and recommended by others — in driving the success of leading brands across categories today.
Why It Matters: While the study found that today’s most relevant brands are driven by word-of-mouth and popularity, none of them is meeting customers’ expectations when it comes to trustworthiness. At our PortadaLat conference next week, Steve Bent, Director of Analytics and Research at Golin will provide a presentation on “What Fake News Means for Brands” and discuss more insights of the study .

Golin recently released its first-ever Global Relevance Review, which analyzed the factors contributing to today’s most relevant brands’ success.

The study shows that consumers are increasingly skeptical of brands and institutions and look to each other for validation in which brands to support. The findings suggest that successful brands will recognize the power of word-of-mouth, but that they should also work on increasing their trustworthiness to drive even more growth.

Most Relevant Brands Are Popular But Remain Untrustworthy

Golin’s respondents defined relevant information as anything useful/practical (54%), informative (53%), and funny (35%). Other adjectives like “inspiring,” “shocking” and “exciting” were not as important in driving relevance. While 91 percent of the most relevant brands studied exceeded expectations when it comes to being popular, not even one was able to meet the ideal when it came to being trustworthy — ethical, moral, honest and truthful — the company’s press release said.

Gary Rudnick, CEO + Operations at Golin said, “the trend of talkability trumping truth played out consistently across all three of the categories we looked at,” pointing to the fact that the leading global Social Marketing brand fell 32 points short on meeting the ideal for Trustworthy, but scored almost 30 points higher on popularity than the ideal.

The fact that so many brands could be very popular without being trustworthy highlights an interesting trend: “Leading brands are sustaining relevance by under-delivering on ideal expectations when it comes to Trustworthy, and over-delivering when it comes to Popular,” said Rudnick.  To illustrate this,  “I can point you to a leading German car maker and a major American bank,” Rudnick continued, “both of whom have been unequivocally established as not telling the truth about important things, and manage to maintain popularity.”

Lack of Standout Leaders in Auto Category

While the report does not give details on specific brands, it focused on three categories: social media, personal banking and automotiveWhen it came to social media, the firm found that people care more about being entertained than truth, and in banking, consumers prefer local to global banks. In the automotive category, individual brands are struggling to stand out in terms of relevance. 

 “It’s surprising, given the vast amounts of money that car brands spend around the world trying to craft evocative and distinctive personalities for their brands, and for their individual cars, how similarly consumers seem to perceive them,” Rudnick explained.

Small Town Loyalty Most Intense

To complement the data from the study, Golin also conducted an ethnographic study of residents in two small towns whose populist movements surprised everyone in their respective countries’ recent elections: Seymour, Indiana, and Preston, U.K. In both towns, one of the strongest sentiments that the team picked up on was that small town residents feel they are being taken advantage of, and are equally skeptical of big government, cities, the mainstream media and large companies.

The study also found that residents of small towns are intensely loyal to brands: in Seymour, Indiana, particular loyalty to Chevrolet was discovered, and panelists also spoke passionately about Facebook, Google, and McDonalds.

“Seymour’s loyalty to Chevy is community-wide,” Rudnick said. “Perhaps it’s that the networks are smaller and more tightly-knit and that the cultural reinforcements are more concentrated.”

Among other macro trends, social media (59%) and television (57%) consistently ranked first and second above “word-of-mouth from friends and family” (45%) as the most relevant sources of news and information, and word-of-mouth from friends and family is more relevant to women (50%) than men (39%). Across the categories, brands that achieve relevance do so through similar drivers, respecting “the contours of the ideal,” Rudnick said.

Above all, the study proved beyond doubt that “people’s loyalty to certain brands is an important part of their personality,” Rudnick said.