Monday 31 October 2011

Local feel to brand packaging

Robert Wiseman Dairies new packaging design follows in the footsteps of the large grocers with labels highlighting product provenance and conveying more of a 'local feel' to a major UK brand.



Friday 28 October 2011

Is Waitrose right to introduce a loyalty card?

Alright it’s not a loyalty card per se. The new Waitrose scheme will apparently "give cardholders access to exclusive competitions and offers".
Grocer margins are decreasing, marketing budgets are tighter than ever and the price war is intensifying. All of the big four are out to claim a larger market share and meanwhile Waitrose launches a loyalty scheme.

The scheme is the result of research carried out among thousands of customers to understand how they wanted to be rewarded and this is a crucial point - what they say versus what they do. Research would suggest that the scheme will not increase loyalty, regardless of what the customers say. Aside from the set up cost, this scheme is unlikely to generate growth. Only penetration in the form of more stores in new areas and incentives to attract new customers will do that. As recent work by researchers such as Byron Sharp points out “marketing that seeks to increase sales through targeting heavier buyers is unlikely to succeed”. So I’m left thinking that Waitrose plan to use it in two ways.


  1. The obvious benefit is data. This enables them to develop a better understanding of how the customers shop in order to improve ranging and better DM targeting in future – though that will take time and require further increased spend through channels such as DM and mobile to really see a return on the new found knowledge of the customer
  2. Use the scheme as a form of penetration driving activity by encouraging WOM and using the property in wider communications. O2’s priority campaigns are great example of this and may well prove a strong proof point for Waitrose, though whether they can deliver the tangible benefits and strength of rewards offered by the larger competitors remains to be seen.



Whether they should have put the money into store expansion to drive further penetration and growth remains to be seen, but it will be interesting to see the longer term affect of launching this scheme against the price war taking place amongst the big four. Will Waitrose succeed in maintaining share amongst the faithful and attracting new shoppers throught their offering, or will a second predicted recession prove too much for middle england shoppers on a tighter budget?


Thursday 27 October 2011

Building brand advocacy at Allens of Mayfair


I found myself at a butchery class a couple of weeks ago and it struck me what a great brand experience it turned out to be. I walked away with nearly seventy quidsworth of meat and a true convert to the brand after ninety minutes of expert tuition, tall stories and bad (but good) jokes.

What convinced me? The environment, the product, the sourcing, the history was all fascinating but it really came down to the guy that delivered all of this in such a personable and entertaining way. Welsh Michael as he was known was the single most important person in those 90 minutes and he did a brilliant job of tutoring and ensuring everybody really enjoyed it.

It’s a great example of an impressive institution or brand being strengthened or completely undone by their staff – especially when the product they offer is so heavily reliant on that service. Restaurants are the classic example – you can spend £2000 on each chair but pay the waiter minimum wage and you’re unlikely to see glowing reviews and repeat custom. Similarly alcohol brands spend millions every year on promoting their products at the point of purchase. Fonts, POS and permanent display will only do so much, the real influencer is standing behind the bar on £6 quid an hour.

Back to Allens - you could be forgiven for thinking it’s an institution that’s always been that way but it turns out that the shop had fallen into disrepair and the business was run purely for the trade until just four years ago.

Following a takeover the owners clearly saw the potential in the cooking revolution that swept the UK and began to target consumers directly rather than just the catering trade. The grade II listed shop is a unique experience in itself but it’s not just the bricks and mortar store that’s doing a good trade, the newly opened website has driven such high demand that an extra storage site has been purchased to cope with the increased stock requirement. With such an impressive product, PR seems to come pretty easily too, from a TV show on Dave to a Vogue photo shoot.

You can’t start word of mouth but you can encourage it, and with 400 people queuing up for the course I did, they can be sure of generating many more brand advocates and conversations all over the London.



The inaugural post

Nothing too taxing, just a great video of some French lunatics flash mobbing unsuspecting cyclists in the mountains from a couple of years back - they even got a devil lookalike in there.