Showing posts with label IBISWorld. Show all posts
Showing posts with label IBISWorld. Show all posts

30 March, 2012

Sometimes to get noticed you have to contaminate the product

Melbourne Herald Sun, Friday March 30, 2012

You've all heard the story of "There's a fly in my soup," or "There's a finger in my pie!" Well how about, "There's a twig in my cider"?

Not only that, but the foreign body was deliberately inserted by the advertising team. It happened in New Zealand to the product Monteith's Cider. It's a nice example of out of the box thinking - or should I say "into the box"?

The brief to Colenso BBDO was to sell cider in a crowded drinks market, as usual with too little funds. But they applied their grey matter to identify what was special about their product. The client had told them that it was one of the few ciders made wholly from real apples, as opposed to concentrate and pulp.

Now, we are all aware of what happens when a foreign body is found in food. The health authorities are alerted, the papers report it, the talk-back runs hot. So our team decided to use this reflex for their marketing. They put twigs of apple tree into the product.

Oh, not into the bottle let me reassure you - that would have been illegal. They dropped a couple of twigs into each six-pack box of cider. Sure enough the complaints started coming in to the brewery's exchange. "I found twigs in my cider pack", "What are you going to do about it?", no doubt hopefully looking for some compensation for the "error".

They called the radio stations and the newspapers and soon the country was buzzing with this "contamination" story. At which point Monteith launched their newspaper and poster campaign.

Headline: "Sorry about the twigs, folks". The ads then went on to explain, "Because we use real apples in our cider, you may find real twigs in this box." And everywhere big labels, "Not from concentrate".

They're talking about this campaign as far away as London and New York. Don't you love those little brain bubbles that turn into global ideas? Of course it has to happen in the right place at the right time.

For cider the time is now. All of a sudden this little bottom-of-the-shelf drink has come into its own. Ibisworld Research reports that in the past five years Australian cider sales have jumped by 19 per cent every year.

Currently our beer consumption is at a 60-year low, yet last year cider sales increased by more than 30 per cent - which on the chart looks like the trajectory of a rocket ship.

The theory is that cider is finding its own "middle ground". Less bitter than beer, less alcoholic than wine, it has carved a refreshment niche. While it was long looked at as a girls' drink, it is now appealing increasingly to men. And the advertising campaigns are encouraging this.

Cider of course comes from olde England, it's the traditional West Country drink. Until recently their market was declining to perilous depths. Then along came Magners Irish Cider with a funny, catchy campaign running the slogan "There's method in the Magners".

It was positioned as a sophisticated drink over crushed ice and sales took off - 250 per cent in a year. Pulled in the wake came other small ciders, and the big ones too, Now cider is cool - in the UK and in Australia too.

Foster's, Lion Nathan and the other brewers are pumping out new cider brands as fast as they can grow the apples. Pubs and retailers are making more space on their shelves and among their pumps for the emerging brands. So if you find a twig in your drink, ignore it.

ray@ebeatty.com
Blog: themarketeer-raybeatty.blogspot.com

30 September, 2011

Cash bells ring for the marriage market

Melbourne Herald Sun, Friday September 30, 2011


If your business has been running a bit slow in its profits or growth, maybe you ought to look at marriage.

No, I cast no aspersions on your current relationship - rather, the money to be made out of splicing the knot.

Marriage seems to be one of the armour-plated, recession-proof products in this world and believe it or not, Australians are marrying more than ever - with ever-increasing cost.

This year 119,000 Australian couples will tread the aisle, a percentage point up from last year. Historically the marriage rate has been steadily falling, so any increase is a surprise.


The Australian Bureau of Statistics records the current annual marriage rate at 5.5 per thousand population. In the seventies it was close to eight. The record was set in 1942 when it hit 12. Mind you they had good reason to be in a hurry.

Today’s couples are much older than in the past. The median age is now 32 for men and 29 for women, whereas in the seventies they married five or six years earlier.

Is this the sign of new wisdom and maturity? Certainly they have had time to develop careers, their incomes and savings. So when it comes to the wedding, they splurge.

Researchers have placed the average cost of a wedding at $36,000. And much of the money seems to come from the savings of the couple. Manager of the research group IBISWorld, Karen Dobie, pointed to couples regarding the wedding as “A high priority expense”.

Couples save for a long time, tightening their belts to raise the bank balance, and no doubt doing their waistlines no harm either.

Each Saturday as you pass your local church, think about the cost of those gowns and flashy cars. This is a $4.3 billion industry.

The biggest winners are the hotels and reception palaces that rake in $1.4 billion of the takings. And that does not include the food which brings in another $670 million. Flowers also generate a hefty $760 million. All these categories are expected to grow by more than 10 per cent in the coming five years.

Photography and film production is the only category not doing so well. No doubt it’s because of so many friends and uncles offering to film the event with their newly-acquired expensive equipment. Mind you, seeing some of the results of these efforts makes me think that the prudent couples will double-up by hiring a professional too.

Of course, who could forget the wedding dress. Now you don’t have to buy the world’s most expensive - that record is currently held by Renee Strauss who created a dress with 150 carats of diamonds, valued at $12 million.

But possibly if you are the father of the bride, you may feel that hers is not so far behind. Especially when you throw in the bridesmaids’ custom-designed frocks and the groomsmen’s Armani dinner suits. At the end of the year you are looking at close to a billion dollars spent on clothes.

Progress is effecting printers too, as more invitations are done by email, with DVDs replacing the mountains of photo sets sent to the guests.

However there is another ray of light in this story, for the wedding industry. Around the world a whole new gold rush is evolving. From Argentina to Sweden, from Canada to South Africa, the phenomenon of same sex marriage is spreading.

And when gay couples pledge their troths, you’ll usually find a high-income couple, older and wealthier, surrounded by friends who insist that this must be the best bash since Princess Di.

Ah, there’s a whole industry here waiting with bated breath for our legislators to get in on the act and give gay marriage a go.

ray@ebeatty.com
Blog: themarketeer-raybeatty.blogspot.com