OPTIMISING YOUR MEDIAMIX TO YOUR BRAND RELATIONSHIP Claude
OPTIMISING YOUR MEDIA-MIX TO YOUR BRAND RELATIONSHIP Claude Verstraete, Belgian Post Solutions Herman Toch, Synovate Censydiam May 8 th 2007 1
TOPICS Introduction : the communication challenge The DM Brand Relationship model Synovate Censydiam Brand relationships across categories Application to the Fashion sector Improving your brand relationship with DM 2
THE COMMUNICATION CHALLENGE: RE-BUILDING BRANDS… Respect Premium brands Lovemarks (mystery, intimacy, sensuality) Love Discount /Commodity brands Fancy brands 3 Source: “Loyalty beyond reason” - Kevin Roberts , CEO Saatchi & Saatchi
THE COMMUNICATION CHALLENGE: … IN A FRAGMENTED AND DIVERSIFIED MEDIA ENVIRONMENT 1920 1930 1940 1950 1960 1970 1980 1990 2000 Emerging Sources: Veronis Suhler Communications Industry Forecast, 7/03; TVB; Kagan; e. Marketer; Jupiter 2010 Magazines Newspapers Radio Television Cable PC GSM CD Internet E mail VCR PDAs Satellite TV (DBS) Broadband Internet Digital cable DVD Home wireless networks HDTV MP 3 DVR VOD Electronic ‘e ink' books Tablet PCs Entertainment robots (Sony Aibo) 4
THE COMMUNICATION CHALLENGE: … IN A FRAGMENTED AND DIVERSIFIED MEDIA ENVIRONMENT 1920 1930 1940 1950 1960 1970 1980 1990 2000 2010 Magazines Newspapers Radio Television Cable PC GSM CD Internet E mail VCR PDAs Satellite TV (DBS) Broadband Internet Digital cable DVD Home wireless networks HDTV MP 3 DVR VOD Electronic ‘e ink' books Tablet PCs Emerging Entertainment robots Sources: Veronis Suhler Communications Industry Forecast, 7/03; TVB; Kagan; e. Marketer; (Sony Aibo) Jupiter 5
THE COMMUNICATION CHALLENGE: … WHICH THE CONSUMER IS INCREASINGLY CONTROLLING 6
THE COMMUNICATION CHALLENGE: … BY BEING INVITED BY CUSTOMER RATHER THAN INVADING HIM Traditional communication approach: New communication approach : “Invading” a rather passive customer with a maximum GRP’s & OTS Being invited by the customer in control through a relevant media mix , message & tone of voice Maximising GRP ‘s OTS Optimising quality touchpoints 7
THE COMMUNICATION CHALLENGE: … AND RE-BALANCING MEDIA MIX AND TONE OF VOICE Traditional communication approach: Breaking through the advertising clutter with a higher share of voice to reach a rather passive customer via massive “carpet bombing” Massive one-to-all New communication approach : Being invited by the customer in control through a relevant media mix , message & tone of voice by understanding my brand relationship Differentiated one-to-one Communication 8
THE COMMUNICATION CHALLENGE : HOW BUILDING A CUSTOMER RELEVANT RELATION ? It is crucial for Consumers are a brand actively looking to prove for ways to it’s relevancy by control, enrich becoming part and optimize of the solutions their lives of this active consumer When invited, But this consumer your brand gets a is in control. psychological So your brand meaning needs and develops to be a unique invited in his/her relationship life with this consumer 9
TOPICS Introduction : the communication challenge The DM Brand Relationship model Synovate Censydiam Brand relationships across categories Application to the Fashion sector Improving your brand relationship with DM 10
DM BRAND RELATIONSHIP MODEL Model initiated by Belgian Post Solutions and developed with Synovate Censydiam A sound qualitative and quantitative analysis of consumer brand relationships and media expectations Allowing to adjust media mix (ao Direct Mail ) and tone of voice in order to improve contact quality rather than contact quantity So that brand experience and loyalty is increased… 11
DM BRAND RELATIONSHIP MODEL Understanding the brand relationship and communication expectations of your consumers in order to build a meaningful relation (via the right media-mix, message & tone of voice) So that they enjoy a better brand experience and become more loyal 12
DM BRAND RELATIONSHIP MODEL : A NEW COMPLEMENTARY COMMUNICATION APPROACH Traditional communication approach : How can I communicate my brand to my target customers ? BRAND MESSAGE TONE-OF -VOICE MEDIA-MIX TARGET CUSTOMERS BRAND RELATIONSHIP Complementary communication approach : How can I adjust my communication ( message , media mix, tone of voice) starting from my brand relationship with my customers ? 13
DM BRAND RELATIONSHIP MODEL: 7 STEPS FOR MORE IMPACT Your brand MEDIA RELEVANCY Mass & MEDIA Media IMPACT Impa ct Add DM It installs personal contact 2 Understand the brand relation you want to build 1 3 5 4 The brand knows I exist 7 keting ted DM egmen im al Prox n io t o Em Choose your mix based on unique role of DM and media It meets the relation specific communication expectations DM ity of Design your DM relevant with your relation(s) Segment your DM according to each type of brand relation The brand understands people like me Qualify each individual into a Brand relationship It increases involvement by It gives the right using the right emotional Each individual emotional meaning to the is addressed meaning right type of with the right people emotional The brand resonates with people like me meaning My brand reaches out to me CRM ar l. DB M S CORE SCOPE RELATIONSHIP SURVEY I see a lot of cluttered information 6 My brand understands me 1 person = 1 tailor made message It creates a mutual understanding through dialogue My brand is my guest 14
1 23 4 5 6 7 DM BRAND RELATIONSHIP MODEL: THE ANALYTICAL STEPS A Understanding brand relationship B C Matching media with key information needs & expectations Understanding information needs and expectations D Aligning DM with communication expectations E Improved brand experience & loyalty 15
TOPICS Introduction : the communication challenge The DM Brand Relationship model Synovate Censydiam Brand relationships across categories Application to the Fashion sector Improving your brand relationship with DM 16
DM BRAND RELATIONSHIP MODEL Multi category qualitative survey (Synovate Censydiam): 16 focus group discussions (4 hours each) for : mapping brand relationships understanding media mix perception Quota groups 8 groups of 4 individuals of which: Youngsters aged 15 18 : 2 with women / 2 with men (FR+Nl) Young Adults aged 18 24 : 2 with women / 2 with men (FR+Nl) Of which all are not yet settled 8 groups of 6 individuals of which: Mature Consumers aged 30 45 : 2 with women / 2 with men (FR+Nl) Of which half of respondents are professionally active and half are not active Empty Nesters aged 50 – 60 : 2 with women / 2 with men (FR+Nl) Of which all are socially very active 17
DM BRAND RELATIONSHIP MODEL : QUALITATIVE MULTI-CATEGORY ANALYSIS Starting point : Each consumer seeks and experiences a specific relation with brands Inspiration : Brand offers pleasure , is a source of inspiration and makes my life funnier ! Status : Social axis Reliability - Trust : Brand is re-insuring and offers possibility to belong to the group Brand offers recognition and the possibility to differentiate oneself Individual axis Functionality : Brand offers practical help and makes my life easier ! Source : Synovate Censydiam 18
6 BRAND RELATIONSHIPS WERE IDENTIFIED THROUGH QUALITATIVE SURVEY Inspiration: Brands as source of pleasure and inspiration The expressive relation • • • The feel good relation • Emotion Unique Strong • • Mainstream Open-minded lifestyle Trust : Status : Brand as differentiator The status relation • • • Visible Value Aspirational Social axis The unconditional relation • Routine • Loyal • Trust • A-brands Brand as reliable label (being part of a large group) Individual axis The Ego relation • • • The dependable relation Sophisticated Trendy Exclusivity • • • No-nonsense Price/quality Honest Functionality: Source : Synovate Censydiam Brand as enabler (usefull – control) 19
TOPICS Introduction : the communication challenge The DM Brand Relationship model Synovate Censydiam Brand relationships across categories Application to the Fashion sector Improving your brand relationship with DM 20
APPLYING MODEL ON FASHION SURVEY: THE METHODOLOGY Quantitative study( Synovate Censydiam) in the fashion sector (45’ face to face interviews): Mapping brand relationship types Understanding media perception and expectations of different media (with focus on DM) N= 308 people, nationally representative for age, gender, social class , region and language 9 banners were researched : C&A, E 5 mode, H&M, JBC, Mexx, Zara, 3 Suisses, La Redoute and Neckermann. The “local boutique” was also added 21
123 4 5 6 7 A Understanding brand relationship DM BRAND RELATIONSHIP MODEL: THE ANALYTICAL STEPS B C Matching media with key information needs & expectations Understanding information needs and expectations D Aligning DM with communication expectations E Improved brand experience & loyalty 22
QUANTITATIVE ANALYSIS ON FASHION RETAIL SECTOR REVEALED 8 BRAND RELATIONSHIPS INSPIRATION A store that follows fashion and ensures that it is accessible for Creative Open minded everybody A store that is passionate about fashion and clothing and that is always looking Original Humouristic for innovation A store that allows you to be out of the Innovative ordinary, to be just a little bit different Young Inspiring Relationship Expressive Relationship than the others Feel good Relationship Hedonistic A store that allows you to express your own personality Unconditional Relationship Refined Luxurious A store where you do not just buy something, it is also about showing that you choose for quality RELIABILITY STATUS Status Relationship Honest Reliable Straightforward A store that is all about traditional soundness and reliability Solid Special Choosy Rational Dependable Relationship A store that delivers clothes with its Buying clothes in this store makes it clear that you feel it is important what other people think of you Ego Relationship A store that looks at clothes in a Functional. Mature Relationship functional, no nonsense way A store that is not just for anybody; that gives you the feeling of being unique Source : Synovate Censydiam A store where it is about more than just clothes, it is a way of life Sociable Welcoming A store where clothes are mainly about good about yourself A storefeeling that always helps you in making the right choices because of its interesting offer and by keeping you informed Loyal Superior Unique A store that makes life more fun and creates an uninhibited atmosphere Practical FU NC TI ON own, familiar and recognizable style, you know what you can expect Traditional A store that makes life and shopping more simple 23
DM BRAND RELATIONSHIP MODEL : Fashion sector Consumers perceive player A in 3 relations INSPIRATION PLAYER A A store that follows fashion and ensures that it is accessible for Creative Open minded everybody A store that is passionate about fashion and clothing and that is always looking Original Humouristic for innovation A store that allows you to be out of the Innovative ordinary, to be just a little bit different Young than the others Inspiring Relationship A store that allows you to express your own personality Hedonistic Feel good Relationship A store where it is about more than just clothes, it is a way of life Sociable Welcoming RELIABILITY STATUS A store where clothes are mainly about good about yourself A storefeeling that always helps you in making the right choices because of its interesting offer and by keeping you informed Loyal Superior Refined Luxurious A store where you do not just buy something, it is also about showing that you choose for quality A store that makes life more fun and creates an uninhibited atmosphere Dependable Relationship Special Choosy Honest Reliable Straightforward A store that is all about traditional soundness and reliability Solid Rational Unique A store that delivers clothes with its own, familiar and recognizable style, you know what you can expect Traditional clear that you feel it is important what other people think of you A store that is not just for anybody; that gives you the feeling of being unique Source : Synovate Censydiam Mature Practical FU NC TI ON A store that looks at clothes in a functional, no nonsense way A store that makes life and shopping more simple 24
DM BRAND RELATIONSHIP MODEL : Fashion sector Whereas consumers perceive player B in only 1 relation (Status) INSPIRATION PLAYER B A store that follows fashion and ensures that it is accessible for Creative Open minded everybody A store that is passionate about fashion and clothing and that is always looking Original Humouristic for innovation A store that allows you to be out of the Innovative ordinary, to be just a little bit different Young than the others Hedonistic A store that allows you to express your own personality A store where it is about more than just clothes, it is a way of life Sociable Welcoming RELIABILITY STATUS A store where clothes are mainly about good about yourself A storefeeling that always helps you in making the right choices because of its interesting offer and by keeping you informed Loyal Superior Status Relationship Refined A store that makes life more fun and creates an uninhibited atmosphere Luxurious A store where you do not just buy something, it is also about showing that you choose for quality Honest Reliable Straightforward A store that is all about traditional soundness and reliability Solid Special Choosy Rational Unique A store that delivers clothes with its own, familiar and recognizable style, you know what you can expect Traditional clear that you feel it is important what other people think of you A store that is not just for anybody; that gives you the feeling of being unique Source : Synovate Censydiam Mature Practical FU NC TI ON A store that looks at clothes in a functional, no nonsense way A store that makes life and shopping more simple 25
DM BRAND RELATIONSHIP MODEL : Fashion sector Consumers perceive player A in 3 distinctive relations Player A fits with “Feel good” relationship Feel Good Relationship Inspiring Relationship Dependable Relationship Expressive Relationship Unconditional Relationship Ego Relationship Functional Relationship Status Relationship index Index > 120: This relationship is relatively more linked to this store Source : Synovate Censydiam 26
DM BRAND RELATIONSHIP MODEL : Fashion sector Description of ‘feel good’ relation: Player A is about having fun in a welcoming atmosphere • This relationship is rooted in the consumer need to add fun to his life. Shopping is about amusement and entertainment. STATUS F U N C T I O N A L I T Y RELIABILITY INSPIRATION • The relationship that the consumer has with these stores is non-committal. Loyalty is more of a coincidence and lasts as long as the consumer is stimulated by this relationship. • The atmosphere that these stores have is often more important than the quality of the product. These stores have a sociable, welcoming and young image. They stand for a hedonistic and humoristic view on shopping. 27 Source : Synovate Censydiam
DM BRAND RELATIONSHIP MODEL : Fashion sector Description of ‘inspiring’ relation: Player A allows people to be up to date with the latest trends • Player A needs to give inspiration to its clients by providing them with a very wide range of ideas, clothes, accessories, etc. STATUS F U N C T I O N A L I T Y RELIABILITY INSPIRATION • Fashion needs to be democratized: bring fashion of the catwalk and make it available for everybody (at a reasonable price). • To constantly be this source of inspiration for its clients, Player A needs to stay innovative, creative and original at all times. • This relationship is not a stable one. Stores need to keep attracting attention by offering original and new things. 28 Source : Synovate Censydiam
DM BRAND RELATIONSHIP MODEL : Fashion sector Description of ‘dependable’ relation: Player A has its own recognizable style: you know what to expect • This relationship is about having the certainty that one can rely on the store. • No surprises have to be offered. Clients expect a stable offer, not giving in to the smallest fashion whims. STATUS F U N C T I O N A L I T Y RELIABILITY INSPIRATION • Clients expect traditional soundness and reliability with a good value for money. • The clothing store within this relationship is straightforward, mature, solid, honest and reliable. • Store loyalty is high within this relationship but only if one has the feeling that the store delivers stability. 29 Source : Synovate Censydiam
123 4 5 6 7 A Understanding brand relationship DM BRAND RELATIONSHIP MODEL B C Matching media with key information needs & expectations Understanding information needs and expectations D Aligning DM with communication expectations E Improved brand experience & loyalty 30
UNDERSTAND THE COMMUNICATION EXPECTATIONS IN FEEL GOOD RELATION (FASHION) Communication expectations of Feel Good Relationship (index) Index > 115: feature is more relevant Source : Synovate Censydiam Index < 115: feature is less relevant 31
UNDERSTAND THE COMMUNICATION EXPECTATIONS IN INSPIRING RELATION (FASHION) Communication expectations of Inspiring Relationship (index) Source : Synovate Censydiam Index > 115: feature is more relevant 32 Index < 115: feature is less relevant
UNDERSTAND THE COMMUNICATION EXPECTATIONS IN DEPENDABLE RELATION (FASHION) Communication expectations of Dependable Relationship (index) Index > 115: feature is more relevant Source : Synovate Censydiam Index < 115: feature is less relevant 33
123 4 5 6 7 A Understanding brand relationship DM BRAND RELATIONSHIP MODEL B C Matching media with key information needs & expectations Understanding information needs and expectations D Aligning DM with communication expectations E Improved brand experience & loyalty 34
UNDERSTAND UNIQUE ROLE OF DM AND OTHER MEDIA IN YOUR MIX Match right media with the key expectations: Feel good “Brands communicate trhough media and advertising. Can you tell me which media gives you the following feeling (multiple choice allowed)” Index based on total average score 35 Source : Synovate Censydiam
UNDERSTAND UNIQUE ROLE OF DM AND OTHER MEDIA IN YOUR MIX Match right media with the key expectations: Inspiring relation “Brands communicate trhough media and advertising. Can you tell me which media gives you the following feeling (multiple choice allowed)” 36 Index based on total average score
UNDERSTAND UNIQUE ROLE OF DM AND OTHER MEDIA IN YOUR MIX Match right media with the key expectations: Dependable “Brands communicate trhough media and advertising. Can you tell me which media gives you the following feeling (multiple choice allowed)” Index based on total average score 37 Source : Synovate Censydiam
DM BRAND RELATIONSHIP MODEL 123 4 5 6 7 A Understanding brand relationship B C Matching media with key information needs & expectations Understanding information needs and expectations D Aligning DM with communication expectations E Improved brand experience & loyalty 38
DESIGN THE IDEAL DM WITH THE RIGHT EMOTIONAL MEANING STATUS F U N C T I O N A L I T Y RELIABILITY INSPIRATION The Ideal Direct Mail for all relationships for all target groups 39
DESIGN THE IDEAL DM WITH THE RIGHT EMOTIONAL MEANING • DM is able to increase brand loyalty because of its rewarding qualities. It is able to make the customer feel acknowledged, unique. • DM can be a source of inspiration where information on latest trends can help to make the right choices. • DM needs to be visual attractive and should be about more than clothes only. It should also be about lifestyle. • DM must ensure the feeling that I am really connected to the store. Self-assured Tone of voice : Ø Be self-assured but friendly and inviting Ø Can be a personal way of addressing the consumer Ø Use a language so that one feels close to the store Ø Not too much text. Visual elements are important Ø Be stimulating and catching Ø Less technical details, more emotional values Ø Talk about the latest trends in an informative but playful way Ø Include an element of trust or consistency Humor Active Intelligent Happy Source : Synovate Censydiam 40
DESIGN THE IDEAL DM WITH THE RIGHT EMOTIONAL MEANING Lay out Ø Use optimistic, natural, happy colors Ø Use a lot of pictures. Ø Be a guide and inspiration for latest trends. Ø Logo or signature of the brand should be visible Content Ø Focus on togetherness. Ø Enhance the feeling of a lifestyle Ø Use other non clothing brands Ø Allow for dialogue with the brand. Latest trends, more than only clothing Expressing a lifestyle Format Ø Be original and different Ø A folder or a catalogue portray a way of life. Ø A catalogue can serve as a source of inspiration, a reference guide. Ø A catalogue as permanent way to enter the home 41 Source : Synovate Censydiam
CREATE THE RIGHT EMOTIONAL MEANING FOR SELECTED TARGET GROUPS STATUS F U N C T I O N A L I T Y RELIABILITY INSPIRATION The Ideal Direct Mail for selected target groups 42
IDEAL DIRECT MAIL FOR PLAYER A FOR YOUNG WOMEN… INSPIRATION Inspiring Young. F Women U N C T I O N A L I T Y RELIABILITY STATUS Feel Good Friendly, inviting tone of voice Be familiar, team up with the consumer. Be a friend. Be informal and convivial Pictures of fashion “experts” can be a form of inspiration. Look for experts that relate to the world of 35 plus, that are aspirational Be sunny and cheerful: play with colors and use of photos Do not only focus on clothing. Go more broad on content (culture, leisure…) The life style should reflect their possible life stages Logo or signature of the brand should be visible A folder or catalogue can be used to give as much as possible (visual) information on latest trends. At can serve as a manual of inspiration or a reference book. ÞCreate a welcoming atmosphere Lifestyle Welcoming, convivial 43 Happy, feeling good
DM BRAND RELATIONSHIP MODEL: 7 STEPS FOR MORE IMPACT Your brand MEDIA RELEVANCY Mass & MEDIA Media IMPACT Impa ct Add DM It installs personal contact 2 Understand the brand relation you want to build 1 3 5 4 6 7 keting ted DM egmen ar l. DB M S im al Prox n io t o Em Choose your mix based on unique role of DM and media It meets the relation specific communication expectations DM ity of Design your DM relevant with your relation(s) Segment your DM according to each type of brand relation Qualify each individual into a Brand relationship It increases involvement by It gives the right using the right emotional Each individual emotional meaning to the is addressed meaning right type of with the right people emotional CORE SCOPE RELATIONSHIP SURVEY CRM meaning 1 person = 1 tailor made message It creates a mutual understanding through dialogue 44
CREATE THE RIGHT EMOTIONAL MEANING FOR SELECTED TARGET GROUPS : NEED TO ENRICH YOUR DATA Category / Brand relationship data Lifestyle data Transaction data Socio Demo data NAL data Cost complexity Relevancy 45
CREATE THE RIGHT EMOTIONAL MEANING FOR SELECTED TARGET GROUPS : NEED TO ENRICH YOUR DATA Finding those people in database Cost & Complexity 6 Questionnaire to your customers / prospects to qualify them within a specific relation 5 Ad hoc survey on your brand integrating lifestyle or purchase behaviour attributes 5 Segmentation based on own data (NAL, socio demo, lifestyle etc ) Level of relevancy 46
TOPICS Introduction : the communication challenge The DM Brand Relationship model Synovate Censydiam Brand relationships across categories Application to the Fashion sector Improving your brand relationship with DM 47
DM BRAND RELATIONSHIP MODEL In the ever growing advertising clutter , the communication challenge is no longer a GRP or share of voice battle but a customer relevancy battle. It is therefore key for the brands to understand their meaning to their customers , to become relevant and to engage a unique personalised relationship with them. Direct Marketing is a 360° communication tool improving most brand relationships 48
THE KEY TERRITORY OF DM Direct Marketing is an efficient way to increase this brand relevancy because it addresses consumers as an individual and INVOLVES them as no other media This media can give me the feeling of …. . … rewarding me as a customer … being connected to the brand … acknoweldgement / appreciation … being important for that brand … being unique DM Avg other media. 73% 63% 57% 51% 19% 8% 8% 7% 7% 49 Source : Synovate Censydiam
DM DISCOVERY 4 : DM BRAND RELATIONSHIP MODEL Belgian Post Solutions helps you reaching the unique person behind each letterbox 50
BACK-UP 51
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Understand unique role of DM and other media in your mix Feel good: matching the right media with the key expectations 53
Understand unique role of DM and other media in your mix Inspiring relation: Match the right media with the key expectations 54
Understand unique role of DM and other media in your mix Dependable relation: Match the right media with the key expectations 55
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