Wednesday, October 31, 2012

Why are India's retailers afraid of Wal-Mart?


Indian supermarket chain owner Ramesh Lahoti says he has every reason to fear encroachment by global retailers - since 2007 he has had to close five of his MK Retail stores in the southern city of Bangalore due to stiff competition from Germany's METRO Cash and Carry.


If Wal-Mart, the world's biggest retailer, sets up shop near his existing eight stores in India's third most populous city, Lahoti says the future of the family-run business will be in jeopardy.

"There's a question mark over the future of my establishment," Lahoti, 50, told CNBC. "We cannot compete...What will happen when I keep on closing my shops? Ultimately after 10 years there will only be big retailers."

What makes the Indian shopper different and what retailers ought to do to keep them hooked

If that's the question, Indian consumers are overwhelmingly going with "to buy", as a recent survey from global branding and retail design consultancy Fitch reveals. David Blair, managing director, Fitch South Asia, weighs in on what makes the Indian shopper different and what retailers ought to do to keep them hooked
Retailers and product manufacturers need to be on their toes. The retail landscape in India is evolving quickly and shopper expectations are soaring. Consumers are no longer content with the ordinary or the predictable, they are now looking to draw emotional connections with a brand and to have more meaningful retail experiences.

A new study from Fitch* reveals that the Indian shopper has a particularly high desire for inspiration. Indeed, 69% of Indians want to be inspired when they shop, compared to only 49% of UK shoppers and 51% of Americans.

Local retailers will need to react to this call for creativity to ensure that the traditional bricks-and-mortar store remains relevant and engaging, especially with the advent of FDI.

Want Growth? Engage Your Loyal Customers.

As marketers, we all agree that this is a challenging time for us across all business segments. 

We live in a “do more with less” world where disposable income is down, coupon redemption is up, and budgets are tighter than ever.  So the fight to win and keep profitable customers is on…and it is a tough one.

SMB’s Relationship With Social Media Options

The small and medium business crowd has always been tough to figure out and for good reason. Unlike the companies they may compete against they often do not have the systems or support to do the many things that even they know would be good for their business.


One of the areas that is of particular concern is social media. There are many SMB’s who ‘get’ social media and are doing a tremendous job of leveraging the channel for their business. On the other hand there are many who simply are not. What seems to be a common thread, however, is the types of social media that the SMB set is most comfortable with. 

 

Tuesday, October 30, 2012

Why National Brands Should Be Using Local Targeting In Mobile

 
Gone are the days of broad, fingers-crossed advertising. Advances in mobile location targeting technology now allow large national brands to reach their audience at a local level without the sweat once involved.

Finally, the promise of location targeting is a reality…. so why aren’t more national brands using it? Here are five reasons why local targeting will finally show national brands (and the world) the real value behind mobile.

 1. Builds Local Brand Awareness (Where Sales Happen!)

Whether you’re a brick and mortar-based business or an online retailer, local consumer awareness is at the core of any national brand’s marketing — and mobile can achieve that at scale.

Cities and neighborhoods around the country are defined by the unique behaviors and needs of their local consumers. Therefore, laser-focusing your brand’s outreach to cover a number of more granular local audiences as opposed to one, broad target, can more effectively reach these diverse communities nationwide.

Local consumers can better identify with the franchise around the corner or the online retailer offering local deals, grabbing their attention and driving them to engage.

The Future Of Advertising & Media

Future Media Trends

What trends will  form in the future? The following are a few predictions for the future, some of which also happen to be contradictions in their own right:
1. Virtually no one will personalize their advertising experience. Yet, as a consumer, everything that you do will be tracked, and your advertising experience will become highly targeted (and be heavily linked to data). 2. No one wants to see advertisements . Yet, it will become increasingly impossible to go through 60 seconds of any day without viewing some sort of advertisement (this may have happened already).

Psychology of the Want Button

The potential commercial appeal to businesses of the Want button is clear – it’s a clear “sell to me” invitation – if you’re selling what’s wanted.

But from a user perspective the value of the Want button is less clear and there is good reason to believe that Facebook users will not want the Want button (a Dislike button to dislike the Want would have been a far better idea, opening the doors to lucrative sentiment and reputation analysis opportunities (Facebook what are you thinking????)).

Monday, October 29, 2012

FMCG's rise to the top of the online adspend pile

The FMCG sector has become the joint biggest online ad spender according to figures from the IAB and PwC’s online ad expenditure study, released earlier this month.

FMCG spend has doubled in the last three years, reflecting changing attitudes to digital display as a branding tool in its own right.

Indeed only three years ago marketers generally saw online media as a lead generation tool, and kept their branding activity offline. Insight from Kantar Media’s TGI Clickstream survey can help explain their change of heart.

10% of consumers use mobile as their primary device for checking email

Almost 10% of consumers use a smartphone or tablet as the primary device for checking email, according to a new survey by the DMA.
This suggests that desktop clients should still be the most important focus for marketers, however it doesn’t take into account the number of people who check or prioritise their emails on mobile.

Stats published in May shows that more than a third of consumers (36%) read marketing emails on mobile, rising to 55% among 18-34 year olds. 

A separate study found that 33% of respondents said that they use their mobile to screen emails before reading them later on a desktop.

Data from the DMA’s survey also shows that 39% of respondents open emails from trusted brands using their mobile, while 36% would save it to read later on their desktop, so it’s important that brands are optimising email content and subject lines for mobile.

Almost half (48%) said they didn’t know what proportion of emails they send are read on mobile devices.

For tips on how to optimise your email campaigns, check out our blog posts on best practices for mobile email design and a few words of advice from dotMailer’s Tink Taylor.

Email signups

The DMA report shows that around half (49%) of respondents are signed up to receive emails form between one and 10 brands. 

Therefore the main challenge for email marketers isn’t trying to be heard among competing brands, but getting into the inbox in the first place.

There are several tactics that brands can use to encourage consumers to signup to email alerts, including explicitly highlighting the value of the emails through testimonials or a clear statement of subscription benefits, and using a clear signup process.

However there are also underlying factors that the signup process alone cannot overcome.
For example, although the main reasons consumers signup for emails are for offers/sales (61%) and discounts (59%), other important factors include being a regular customer (42%) and liking the brand (40%).

Most annoying online ad formats revealed

For many media buyers, the more prominent the ad, the better the ad.

Case in point: earlier this year, GM pulled its paid campaigns on Facebook in a very public way prior to the social network's highly-anticipated IPO.
The back story: Facebook had rebuffed GM's demand for bigger, bolder ads.

While Facebook has become more aggressive in integrating advertising into the world's most popular social network, it had a pragmatic reason for saying no to GM: consumers hate bigger, bolder ads just as much as media buyers love them.

The good news for companies like GM: when it comes to annoying consumers, there are plenty of options.

Sunday, October 28, 2012

Marketers lack strategy in social activities

An Eloqua survey of 296 UK B2B marketers found that nearly two thirds (64%) use some form of social media to promote their companies, and 83% of those use social to create company and brand awareness.

However only 22% of respondents use social media to capture information on leads.

The study also found that of those who use social media, less than half (35%) admitted to incorporating any kind of social into their demand generation activities.

Saturday, October 27, 2012

Can Omni-Channel Retail Combat Showrooming?

In the late 90’s, the e-commerce revolution was upon us and it would come to realize many speed bumps and growing pains to get to the point where we know it today. 

Industry analysts spent hours debating how e-commerce would change the shopping experience. 

Once e-commerce was generally accepted, the industry spent the next several years discussing how to create a cross-channel or multi-channel retail experience. The goal was to deliver consistent information and customer support via phone, email, Web and retail store channels. 

Multiscreen future for on-demand TV

The number of adults in Britain watching TV on-demand via TV sets and mobile devices is growing, while on-demand viewing via a desktop or laptop computer has peaked, according to data from Kantar Media’s future PROOF study.

While the overall percentage of adults watching television on demand has remained consistent across the year at 47%, there has been a shift in the devices used for this on demand viewing.

The number of adults in Britain viewing content on demand through a TV set has increased by 16% over the course of 2012. The number of adults viewing via tablets has doubled over the same period while mobile viewing has increased by 39%.

The most common screen for on demand TV viewing is the television (33% of adults have watched on demand through a TV set in the last month) followed by laptop/desktop computers (20%), tablets (5%) and mobile phones (5%).

Preparing for 2017: The Year of Omni-Channel

2017 will be the year of omni-channel, according to Anoop Kulshreshtha, director of e-commerce and Web development for The Vitamin Shoppe. The retailer is one of few organizations that have made the effort and investments necessary to become a true omni-channel retailer. In fact, many have rushed to deliver customer-facing capabilities without matching the effort on back-end systems.
 
Kulshreshtha explained how retailers can plan and execute an omni-channel strategy without the risk of losing shoppers in the demanding retail environment of 2017. Omni-channel today has three aspects: buy online pick-up in-store, buy online and return to store, and the endless aisle. 
 

Showrooming — It’s Not Just for Online Purchasing.

Everyone, at some point in his life, is guilty of going into a store, examining a product and leaving, only to search for a cheaper price online. 

And who can blame him? We all want the best deal. 

While this concept of “showrooming” is a huge concern for stores, recent developments indicate it won’t necessarily lead to the demise of the local retailer, as once thought.

A showrooming they will go!

Retailers will be making greater use of technology to create seamless digital and brick-and-mortar shopping experiences--and curtail sales lost to showrooming--according to Accenture's annual Holiday Shopping Survey, released this week.

There seem to be more purchases up for grabs this year, judging from the responses of 500 consumers surveyed by the consultancy this month. 

SMEs failing to use the web to drive local business

A survey by Bdaily has found that only one in four (27%) small and medium enterprises (SMEs) are carrying out any kind of online marketing to drive local business.

Two thirds of businesses surveyed (67%) cited a lack of expertise, confidence or understanding of digital marketing.

Of those businesses that are spending on online marketing, nearly half (45%) are spending less than £200 a month.

15 interesting facts about international social media use

 
Here are some of our other favourite social media facts and figures :
  • India’s internet use is being driven by mobile. India has 700m mobile subscribers, with an estimated 200,000 being added every day.
  • Qzone is the most popular social network in China with a massive 530m users. China’s RenRen has 130m users, 74% of whom are under 30.

Friday, October 26, 2012

Brands that don’t listen, don’t compete

Data-responsive brands will rapidly gain ground

Companies that are quick to detect and adapt to signals in social data will be more efficient, more profitable, and more beloved by consumers than ever before. 

The race to omnichannel will separate winners from losers

Consumers are becoming “omnichannel”– floating freely between online, offline, and mobile channels during the research and purchase process (so much so, that consumers now refer to 10.4 information sources before buying), all the while expecting a channel-agnostic experience.

Brands that seamlessly deliver the right information, utility, and convenience for each channel to these omnichannel consumers will win their business and loyalty. 

It’s an important point to note, considering consumers who research across online, offline, and mobile channels spend 18-36% more than those who don’t.

Retailer JewelryTV, which has no offline presence, realises the importance. Its consumers use mobile devices as the second screen beyond the television or PC and are reaping the benefits with 17% of the online business now coming via mobile channels.  

Digital marketing boosts Unilever brands

Unilever has hailed the impact of advertising and digital marketing for its Lynx, Domestos and Hellmann’s brands for boosting performance in its third quarter.
Lynx 

The FMCG company has posted a better than expected 5.9 per cent rise in underlying sales in its third quarter, driven by growth in emerging markets. Sales have increased 6.6 per cent in the year to date.

Thursday, October 25, 2012

Online CPG audience increased video viewership 44% in Q3 2012.

Viewership of online videos in the CPG category was up sharply in Q3 2012 compared to the previous quarter, according to research from social and interest graph operator 33Across.

Based on the internet usage and social interaction habits of over a billion unique visitors worldwide to sites in the company’s interest graph, 33Across discovered that CPG category consumers watched 44% more online video in Q3, making them 1.5 times more likely to watch online video than the average web user. 

Mobile experiences are quickly falling short of consumer expectations: Forrester

Take a long term view
Ebusiness professionals who do not take a longer-term approach to mobile will see their efforts  fall short, according to a new report from Forrester Research. 

In the report, “Why eBusiness Pros Need A Five-Year Plan,” Forrester explains that mobile will evolve over time from the simple migration of online services to more mobile-unique products, processes and services.