Sports Endorsements – Worth the mega money?

Following on from my ‘Sports Marketing – It’s like social media’ blog, I thought I would look into player endorsement. I’ve looked at things like the costs and benefits of athlete endorsement; and in addition I’ve looked at what happens when it all goes wrong!

We all know that sports are broadcasted to the masses, and I’m talking internationally not like Eastenders! Their market exposure makes them some of the most recognised names and faces in media. This makes them a very attractive prospect for brands to associate themselves with.

It’s not just their market exposure that makes them attractive. If I asked what words you would describe a professional athlete some of the following would no doubt come up!

Can you imagine if consumers used some of those words to describe your business? One of the major benefits of player endorsement is associating your brand with the words or key attributes that the public perceive the chosen athlete to have.

Unfortunately like most things in life, it’s not as simple as paying any old athlete to endorse your product and waiting for the magic to happen. You must carefully consider the athlete’s popularity, if the public doesn’t like your chosen athlete then they aren’t going to buy into the endorsement. The negative association with a disliked athlete could even potentially harm the brand.

The association between a brand and an athlete needs to be believable. Sorry to point out the obvious, but the reason brands sponsor an athlete is to create brand awareness and impact sales. So consumers need to believe that the player/athlete uses the product that they are endorsing, otherwise the association isn’t credible. Are you familiar with Tom Brady? He’s an American Footballer who plays for the New England Patriots (ladies you may know him as Gisele Bundchen’s husband). Well he has an endorsement with the footwear brand, Ugg. Yes that’s right the sheepskin boot that is typically worn by females aged between 10 and 35!

For more NFL players with bizarre endorsements then click here

One particularly successful endorsement that stood out in my research was Michael Jordan and Nike. In 1985 Nike released the ‘Jordan Air’ trainer; the demand for the shoe was so high that it actually created a bout of ‘shoe jacking’.

Or have you heard of the lean, mean, grilling machine? It may be better known as The ‘George Forman Grill’, which is actually made by Russell Hobbs. The collaboration between the two has resulted in sales of over 100 million units since it was first launched.

Forbes Top Athlete Endorsers (Last 12 months) 2011

  1. Tiger Woods $90m
  2. Michael Jordan $45m
  3. David Beckham $37m
  4. Phil Mickelson $35m
  5. Roger Federer $26m
  6. Lebron James $25m
  7. Arnold Palmer $25m
  8. Vijay Singh $24m
  9. Ronaldinho $24m
  10. Ernie Els $23m

But what happens when it goes wrong?

The most well documented case is that of Tiger Woods, that man had everything:  14 ‘Major’ titles, 74 (as of today) PGA Tour Wins, 38 European Tour Wins, 2 Japan Golf Tour Wins, 1 Asian Tour Win, 1 PGA Tour of Australasia Win, 15 Other Professional Wins, 21 Amateur Wins, a hot wife, a son and daughter, and lucrative endorsement deals. In 2009 Forbes confirmed Wood’s as the first athlete to earn over a billion dollars in his career (before taxes).

In November 2009 Tiger’s crown slipped, he was wrapped up in a series of scandals which he referred to as ‘private matters’. Unfortunately they didn’t stay private, and lead to several companies re-evaluating their relationship with the athlete.

  • Accenture, AT & T, Gatorade and General Motors all ended the sponsorship deals with Woods’.
  • Gillette suspended their advertising which featured Woods’.
  • From December 2009, Tag Heuer didn’t utilise Woods’ in their advertising and officially ended the contract in August 2011 when it expired.
  • Golf Digest, suspended Wood’s monthly column starting with the February 2010 issue.

It looks bad, and it was. The ‘personal matter’ is said to of cost Woods’ up to $30m in lost endorsement deals, this isn’t even taking the cost of his divorce into consideration. He did have two companies stick with him, Nike and Electric Arts (they were working on the game Tiger Woods PGA Tour Online).

He had gone from the number one golfer to a low ranking 58 in November 2011. That said I think we are seeing the return of the Tiger! As of June 2012 he is now ranked number 4, and has just won his latest title at the Congressional totalling 74 PGA wins, and gaining yet another record. Over taking Jack Nicklaus’ 73 career PGA wins. One company that has recognised the rise of the Tiger is Rolex. It was announced that they are the first major sponsor of Woods since the ‘personal matter’ events. They were keen to be associated with the golfer, even with the knowledge that he doesn’t wear a watch when he plays, so the logo won’t be visible!

Maybe Woods’ agent had a similar conversation with him!

Does player endorsement work? There seems to be little data to support the thesis.

Let’s see what the nuggets say! (Welsh averages)

  •  3% Say celebrities influence their purchase decisions
  • 6% tend to buy products from companies who sponsor sports events and teams

(Source: GB TGI Radio+ 2012 Quarter 2, Kantar Media, Wales BARB region)

What do you think? Are Sports endorsements worthwhile? Can you think of any other examples of good, bad or funny player endorsements? If so leave a comment or get in touch with me by email, jodi.stuart@realradio.co.uk or @realradiojodi

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Will the London 2012 Olympics affect the Welsh economy?

The London 2012 Olympics are finally upon us. But what impact will the London Olympics have on Wales, or in particular Cardiff? I’ve looked into a number of different resources in attempt to establish if the Welsh economy will benefit from the 11 football games being hosted in the Welsh capital.

Almost every article I came across had mixed opinions on whether or not the Olympics will benefit the Welsh economy. If we look at the temporary levy on Sunday trading hours, Chancellor George Osborne makes a valid point about not wanting to hang up a ‘closed for business’ sign when some of the biggest events will be on a Sunday. However shop workers Union USDAW oppose the temporary rule change, and say there is no evidence to suggest it will boost the economy or tourism. USDAW also go on to explain that the extended shopping hours won’t put more money in consumers’ pockets and the last thing retailers need is increased overheads with little or no return. Retailers are asking staff to volunteer to work the extended shift not forcing them. I imagine the additional income from the overtime will be welcomed by many retail workers.

From a consumer perspective the biggest obstacle I foresee with the extended Sunday trading hours is the travelling and parking situation. On days where there is only one football match, roads around Cardiff will be closed for just over five hours and if there are two matches then they will be shut for up to 8 hours. Arriva Trains Wales will run extra trains into Cardiff, there will also be park and ride facilities. Unfortunately as a shopper it seems like getting into town will be too much hassle. I’m not a football fan, but I thought before a game you go to the pub and that’s where you would end up after, not in John Lewis!

Retailers can’t even advertise within 500m of the Millennium Stadium for almost a fortnight. There will be an increase in footfall throughout the city and local businesses are being denied the opportunity to promote their business, in order to protect the rights of official sponsors like McDonalds and Coca Cola. I understand that the advertising ‘no go zone’ was a condition Cardiff had to accept in order to host the events, as did all of the Olympic venues. The Millennium Stadium is in the heart of Cardiff, so it’s likely to impact a higher proportion of local businesses than some of the other venues throughout the UK.

There is no doubt that the hospitality and tourism industry have already benefited and will continue to do so throughout the next few weeks. Before the Olympics kicked off, Wales was a training base for almost 1000 athletes and support workers. A number of hotels have already reported that occupancy is up.

Hundreds of thousands of visitors are expected to visit the capital; a global television audience of 4bn is also expected. I keep reading about this being the perfect opportunity to showcase Wales to the rest of the world. However hosting the 11 matches, torch relay and preparing the city has cost Cardiff Council tax payers over £300,000. With so many in the city feeling financial hardship is it an appropriate use of funds? It’s not even as if the events are a sell out yet, so far 250,000 tickets have been sold but they are struggling to sell the remaining 300,000.

Wales won the lowest amount of Olympic contracts than anywhere else in the UK (according to new figures released from the DCSM). In total, Wales was awarded £4.5 million of contracts from the £7 billion worth of contracts that were up for grabs. At this stage in it unknown whether there was any bias towards companies based outside of Wales or if Welsh firms simply didn’t ‘cut the mustard’.

Wales has paid to host the London Olympics and it remains to be seen what we as a country will see in return. The evidence so far suggests that many decisions aren’t going in the favour of helping local businesses and the economy. The Olympics may actually affect ‘normal’ tourism trade with visits being avoided whilst the games are on. The 2010 Ryder Cup hosted at The Celtic Manor has continued to boost golf tourism in Wales, but this is a specific demographic with a golfing agenda. I don’t think we will see the same surge in tourism after the Olympics simply because Wales hosted 11 football games.

So will the London 2012 Olympics affect the Welsh economy? Some industries will benefit hugely over the next few weeks, but I don’t think the impact will be to the extent that some are anticipating.

Please leave a comment below or email me at jodi.stuart@realradio.co.uk or through Twitter @realradiojodi

Sports Marketing – it’s like social media!

No, my boss didn’t understand what I meant either when I first mentioned my headline! As I progressed with my recent research project into sports marketing and sponsorship, it suddenly struck me that there are many similarities between sports marketing and social media. So today I want to take you through what I learnt and then explain this conclusion.

If you’re not familiar with sports sponsorship, then the definition below is a great starting point. It comes from Steve Sleight’s 1989 publication: Sponsorship – What is it and how to use it.

Sponsorship is a business relationship between a provider of funds, resources or services and an individual, event or organisation, which offers in return rights and association that may be used for commercial advantage.

What’s the big deal with sports marketing? For starters it’s one of the biggest industries in the 21st century. One article I came across, believes that sponsorship revenue will soon overtake ticket sales. Sport’s marketing is one of the few ways that brands can connect with consumers through their passion for ‘sports’.

The most watched sport in the UK is football, which means it’s the most broadcasted! (Or in my case the one that interrupts my weekly soaps the most often.) We all know that footballers command particularly lucrative salaries, but it doesn’t stop there. The sport also receives the most new sponsorship deals; in 2010 the new deals were worth more than nine times of those in the next most valuable sport, Rugby Union. However, there are concerns that football is becoming too expensive and considered to be pricing out domestic brands.

It seems you can sponsor absolutely everything associated with sports, even the athletes healthcare (this one surprised me). Below are the most popular sports marketing activites.

For many the cost of creating and running a television advert isn’t an option financially, by associating your brand with a property you will gain mass market exposure at a lower cost than a television campaign. A sponsor can connect with their audience around their passion, but a TV advert interrupts the consumer’s coverage of the sports event.

With so many different opportunities in the market, many sponsor’s buy through an agency. The agency will then find suitable options for their client to sponsor, but the sponsor makes the final decision. So let’s look at the main drivers behind the decisions they make.

Whilst many companies would like to be associated with a sport or team that they have a personal interest in, they don’t sponsor them for the sake of it. The ‘deal’ needs to provide a benefit to the sponsor, particularly in times of austerity which put’s pressure on marketing budgets. The days of relying solely on brand awareness by putting a logo on a shirt are behind us. Like with any advertising/sponsorship the aim is to impact consumers purchasing decisions.

Most sponsors surveyed had few complaints about their relationships with their properties, but here’s what those that did had to say.

(Source: Mintel)

  • “You can see there’s been no real research of your business and what would work for it. I was asked to become title sponsor of a boat sailing round the world; we only operate in the UK, so I would be spending £700,000 on sponsoring a boat that will not be spending any time in the UK.”
  • “Some well-established properties seem unwilling, or unable, to evolve with the rapidly changing world around them. In lacking ambition and shared goals with the sponsor, the two partners will gradually fall out of step, delivering reduced value to both parties.”
  • “Communication, every day – it’s a nightmare. Rugby clubs entering the professional era, trying to get information out of them is like banging your head against a brick wall. It does depend on the personnel but it is a problem.”

The statements above suggest that some involved in the industry need to catch up with the rest of the world. Consumers have changed, technology is evolving, the way we can access sports is changing through services such as pay per view, but the sports advertising isn’t evolving at the same pace as the rest of the world. Those involved in sports sponsorship need to view the ‘sponsorship deal’ as a partnership and start collaborating.

The recession has impacted the industry, particularly those whose sponsors were in the financial sector. It seems that the strain on marketing budgets has highlighted a pre-existing issue in terms of demonstrating the sponsorships return on investment (in sports marketing this is referred to as evaluation). The industry doesn’t seem to have the facilities in place to prove to the sponsor the correlation between the sponsorship and the sales book. They rely on selling the emotional benefits of sports sponsorships rather than the results.

So how does this relate to social media?

  • Both generate high revenues
  • Sold on the huge reaches involved
  • Are focussed on relational features, so called soft measures
  • Companies/investors are challenged on how to engage with consumers beyond the obvious
  • Both find it difficult to prove/demonstrate the return on investment

The Little Nuggets

(Welsh averages – Source: GB TGI Radio+ 2012 Quarter 2, Kantar Media, Wales BARB Region)

  • 14% have paid to watch sport at a venue in the last 12 months
  • 35% rarely notice whether an event is sponsored or not (this doesn’t just cover sports)
  • 9% are more inclined to purchase from a corporation that sponsors an event then one that doesn’t (this doesn’t just cover sports)
  • 6% tend to buy products from companies who sponsor sports events and teams (That said only 3% tend to buy from companies who sponsor TV programmes)
  • 19% sponsoring the Olympics gives companies a better image

Of course there are some huge differences, but this is my quirky take on it! Let me know if you agree? What have I missed? Please leave a comment below or email me jodi.stuart@realradio.co.uk or via Twitter @realradiojodi

Why are marketers stepping over pounds to pick up pennies?

Photo: Barry Wetcher

Recently I read article in The Marketer, in essence it looks at marketing to baby boomers or those over 55. Rather than looking at the UK in general I thought it would be a good idea to look at Wales independently.

According to the Stats Wales website, in 2010 19% of the Welsh population were over 65, only 12% of the population were 16 to 24. (Unfortunately the data isn’t broken down to look at over 55’s) Here’s the full breakdown by age of the Welsh population in 2010.

 

Even though there are more over 45’s than 16 to 25 year olds, the majority of marketing is still aimed at the younger generation. The article in The Marketer put this down to the age of marketers, and thinks they are targeting people their own age because they can relate to them. The article also points out that people think the demographic shift is something someone else can worry about later.

Why wait for someone else to worry about the over 65’s when they hold 80% of the national wealth?

Too many people think this age group are over the hill, they are still very much perceived as the ‘pipe and slippers’ generation. Don’t forget those that are around 65 now were in their twenties in the 70’s! It wasn’t that long ago when they were going to see the Beach Boys, Led Zepplin and U2 in concert. Mums and Nan’s everywhere are immersed in the Fifty Shades of Grey trilogy, which couldn’t be further from the ‘pipe and slippers’ stereotype.

What about those who were in their 30’s and 40’s in the 70’s? Let me tell you about my Nan who is in her 80’s. Recently she sold her house in London and relocated to her second home by the sea and drives a sports car. To unwind she goes on holiday around several times a year, when she isn’t jetting off round the world she likes to ‘lunch’ with her friends Betty and Yvonne. They often potter round the local shops but also like coach day trips to Swindon shopping outlet and other areas of the country. In the evenings they can often be found in the theatre and she has been known to go and watch the Chippendales! Now I do appreciate that my Nan and her friends are particularly active, but they certainly aren’t the only pensioners that lead a better lifestyle than me.

Too put it into perspective I will tell you a little bit about myself. I’m in my late 20’s and last year was a big year for me, I purchased my first house and got married. I work full time, which means I spend most evenings during the week unwinding with my two dogs Crunch and Freckle. We generally eat out on a Saturday and spend the rest of the weekend walking the dogs and doing odd jobs round the house.

Yet the majority of companies, marketers and even media companies overlook my Nan and her friends. Instead they favour the younger generation, but let me tell you about them:

  • University graduates leave with an average of £26,000 debt
  • Youth unemployment figures for Welsh 16-24 year olds is 23.7%
  • The average age of a first time buyer in Wales is 36, many of them receive financial help from their family for the deposit.

Not only do the baby boomers have more disposable wealth than many of those younger than them, they also have more free time to spend it. Just because they may not use the latest technologies or be familiar with new media, doesn’t mean they aren’t exposed to traditional media.

Of course there are a number of pensioners that live in financial hardship. I’ve just come across this recent headline ‘Ageing population to put another £65bn burden on the public purse’. But don’t let that put you off tapping into this affluent generation.

Generally speaking the market is saturated with a multitude of products, being advertised through a number of different media platforms, all fighting to attract the ‘younger generation’. But remember the number of over 65’s is increasing and they currently hold 80% of the UK’s wealth. Maybe we need to stop stepping over pounds to pick up pennies!

If you have any fitting stories about the over 65’s, then please leave a comment below or get in touch by email jodi.stuart@realradio.co.uk or tweet me @realradiojodi

Socio-demographic… What?

When you work with industry specific terminology on a daily basis, it’s easy to forget that people outside of your immediate work circle may not be familiar with your industry ‘jargon’. In an attempt to break some of the barriers between marketing companies and advertisers I thought I would look at socio-economic groups.

First of all what is a socio-demographic group? Well it’s what companies use to group consumers into a ‘social class’. Socio-demographics are used in marketing to target a product/service to an individual via the media they consume. There are a few providers that supply socio demographic data, some of the most common ones include:

Mosaic which is provided by Experian, their definitions can be used at individual, household or postcode level.

ACORN is a geo-demographic segmentation of the UK’s population which segments small neighbourhoods, postcodes or consumer households into 5 categories, 17 groups and 56 types.

Both Mosaic and ACORN look at group geographical areas based on their demographic profile. The Personicx data differs and looks at the lifestyle and purchasing behaviours of the people that live there. There is also Call Credit’s Cameo and P2 People and Places.

The data we use is called the National Readership Survey (NRS), this data reports on the highest income earner in the household. Let’s look at the NRS data in further detail.

There are six social class grades (they are referred to as the letter/number in italic)

  1. A = Upper middle class
  2. B = Middle class
  3. C1 = Lower middle class
  4. C2 = Skilled working class
  5. D = Working class
  6. E = Those at the lowest level of subsistence

Now just to shake things up a bit, you can also combine the social grades together.

Here are a few examples:

  1. ABC1
  2. C1C2
  3. C2DE

On a daily basis I receive requests from both my colleagues and clients for data broken down by socio-demographics. What has become clear over the last year or so is that many people are confused as to what the socio-demographics actually mean, so I want to clarify a few points.

Yes it is correct that A’s and B’s are more affluent, every now and then I receive a request for the number of AB listeners that tune into Real Radio. Now on these occasions I often find myself wondering why these clients are targeting AB consumers, and the reason, only 4% of the population fall into the upper class category! Professions that are considered A’s are Judges and CEO’s of banks; essentially they are asking if Lord Alan Sugar or Bob Diamond listen to Real Radio! I know I am using extreme examples, but I’m making a point.

The majority of consumers fit into the C1C2 category, but these jobs vary substantially, I suspect this puts marketers off saying this is who they are targeting. People classed as C1 would be those in managerial, supervisory and professional roles. If you fall into the C2 group you are likely to be a qualified mechanic plumber or electrician. Yet a lot of people I speak too seem to think these particular categories are lower down the spectrum then they actually are.

Consumers that fall into the D’s are likely to be unskilled labourers and factory workers. E’s are those that live off state pensions or benefits as well as seasonal workers with no fixed contracts. (Sorry Santa you’re probably an E)

I have already touched on the fact that socio-demographics are derived from the main income earners job. Let’s take a 23 year old graduate that works in a bar and lives with their parents; they would be classed as a D. But if their father was a solicitor which is classed as a B, then the student would also be classed as a B. It doesn’t really make sense does it?

There are also other factors to consider, such as taxi drivers. Pretty much anyone can drive a car (providing they have a) a licence and b) a car) so this job is classed as a D. The exceptions are taxi drivers in London, who are classed as C2’s because of the exams they need to pass.

One final point I want to touch on is the theory that an A or B will go to a D as soon as they retire. This isn’t always the case; if they retire and receive a private pension they will remain there or potentially drop down into the next category. They would only be classed as a D if there only income was a state pension.

So unless you work at Harrods (or any other high end retailer) please don’t ask me what proportion of our listeners are A’s!

As always please leave a comment below or contact me on jodi.stuart@realradio.co.uk or @realradiojodi

The curious case of the shrinking ad media that’s doing better than ever!

Recently one of my colleagues circulated an article about a newspaper that ran an e-auction to sell £1.6m of premium advertising through the duration of the Olympics. Guess what, no-one placed a bid for this ‘premium’ advertising. Not a single one.

Given this and stories about the general decline of Newspapers,  why on a regular basis do my sales team ask me to provide analysis/evidence to prove to advertisers that press is in decline? Why do so many companies in Wales continue to use this seemingly decrepit method of advertising?

Back in 1990 a computer was the size of small a car and there was no such thing as a colour screen (just black and green). If someone told you that you would be able to access your newspaper through online, would you have believed them? What if you’d said access through a mobile phone? And as for tablets they were something we took for headaches!

Today you don’t even need to visit a newspapers website; you can read the headlines from several or even hundreds of media sources for instance, ‘Twitter’.

We no longer need to spend our time negotiating the pages of recycled creased paper whilst staining our hands with ink!

I know what you’re thinking, ‘She works for a radio station so at some point she will say radio is much more effective than press’. Well I pledge to not mention ‘radio’ again, I will merely investigate press as an advertising option.

There’s plenty of proof that fewer people are reading Newspapers. I reviewed 15 Welsh newspapers, from 2009 – 2011 all but 2 had lower circulation figures. One paper’s circulation number was down by 22% in 3 years. They haven’t only suffered from selling fewer papers, but the number of adults reading the paper has reduced in 13 cases as well. This is the number the Newspaper publishers use to calculate readers.

The loss of revenue from the number of papers sold certainly shows up in their financial statements. Even though there are several press companies trading in Wales, financial data was only available for three. All three of them experienced a decline in turnover from 2007 – 2011.

I wondered if the drop in revenue was also a reflection of the advertising market. The answer: Not necessarily, from 2007 – 2011 the amount spent by local advertisers in Wales only reduced by 4%, so it’s not even close to the huge 36% loss in turnover from company A.

It’s not even down to fewer companies using press in their marketing strategy, in 2011 there were 257 more companies in Wales that used press compared to 2007. They have more companies using them than any other form of media in Wales.  In 2011 press accounted for 61% of local advertising revenue in Wales. (Local revenue doesn’t include advertising brought via an agency).

Out of curiosity I looked at the press market share for all monies spent advertising in Wales, (includes campaigns booked via agencies and national advertisers) and press doesn’t fair as well and only accounted for 14% of the market share.

So this is where I have got to!

Why is press advertising so popular? It could be down to cost, putting an ad in the local paper may provide some comfort if the alternative is do nothing at all. What about the risk factor? In the height of a recession maybe the thought of trying something new is a little too daunting? There are so many new ways to advertise now it could be down to knowledge and not knowing where to invest your marketing budget.

I can certainly demonstrate to colleagues and yourselves why I think press isn’t currently the most effective media to use. But what I can’t do is provide a viable case as to why it’s the most widely used form of advertising by local Welsh businesses. I’d like to hear from press advertisers to try to understand your perspective on press advertising and hear what works well and maybe what doesn’t.

Please leave a comment below, or get in touch with me directly on, jodi.stuart@realradio.co.uk or @realradiojodi

Give more and more often!

Recently I was speaking to one of my fellow classmates on my social media course. She works for a charity and we were going through some different ideas for brand awareness and fundraising. As is usually the case the charity she works for doesn’t have access to an endless pot of funds. I am aware that there are many charities are in a similar situation in Wales and across the UK, so I thought I would turn some of our ideas into a blog that perhaps will benefit others.

The first point we touched upon was targeting the right people, if you aren’t asking the right people to donate/volunteer then your campaign will flop – yes it’s that simple! People tend to give to charities they can relate too, it doesn’t have to be a direct relation it could be that they know someone that may benefit from the charity. Typically women aged 45 to 64 are most likely to give (67%), those least likely to give are young adults aged 16 to 24 (I would like to put this down to insufficient disposable monthly income rather than question their generosity).

Once you have established the demographics of your target audience, it needs to be transferred into your marketing/advertising efforts. It doesn’t matter what form of media you choose to promote your campaign, each will have a different audience profile. If we use radio as an example, there are stations that target the young, family orientated and those for people in their twilight years. The radio station’s output will match their core audience; you will also see a difference in the companies that advertise on the station. After all there would be no point in a stair lift company on a station that has a strong 15 to 25 following.

Let’s look at different ways to appeal for donations.

Of course budgets will play a major part in what media/methods you use to advertise, let’s set that aside for now and look at what works best.

(Source: Marketing Week – Lightspeed Research carried out a survey asking 1000 respondents what works best when charities are appealing for donations)

Let’s go back to budgets; this is a major obstacle for my friend’s charity. They only have a small amount allocated for marketing, and they certainly aren’t in the minority. There are 2086 charities operating in Wales, but according to Nielsen only 153 advertised in Wales in 2011. Like with any company they are under increasing pressure to demonstrate the effectiveness of their marketing efforts. If they can’t prove that something works, then their committee aren’t inclined to sign off a campaign or to try something new.

So I came up with a few ideas as to how a small charity can measure their marketing efforts!

  • If you use radio or press then you can promote an event which requires participants to register.
  • How about an online campaign where people download information? You will then find out how many people downloaded the information.
  • What about asking people to donate via their mobile phones and text something along the lines of ‘donate £5’ to a number? Then you can find out how many people text the number.
  • How about using traditional media to recruit new volunteers, then use your volunteers to collect on the streets. This way you could measure the number of new volunteers and the money they generated on the streets.

This particular charity has one budget to cover:

How does social media fit in?

Every charity needs to have a social media presence, after all the only investment required is time! Use social media to drive brand awareness and keep your followers/connections updated on any news or articles relating to your charity. Social media used in the right way is a very powerful tool, use it to start stories and tell your audience what you are doing and why you are doing it. It’s about tapping into your followers and getting them to champion your cause.

People are still donating to charities, even with many of us suffering from pay freezes and ever increasing living costs. Surprisingly the average amount donated in 2011 remained the same as in 2010 (£31). Overall and estimated £11m was donated by individuals in 2011.

More people are giving online, but it still isn’t in a position to compete with the number of people giving cash or setting up direct debits. An increasing number of people are giving goods as an alternative to cash; perhaps this is a reflection of their current financial situation.

When working with limited funds, every penny counts. Identify your core audience and interact with them through the media they use. It’s about working smarter with what you have and capitalising on the resources available to you.

The Little Nuggets

(Source: GB TGI Radio+ 2012 Quarter 2, Kantar Media, Wales BARB Region)

Top 5 charities to donate too (Welsh average)

  1. 35% Cancer Research UK
  2. 23% Children in Need
  3. 22% British Heart Foundation
  4. 21% Macmillan/Cancer Relief
  5. 20% Comic Relief

75% have donated to charity in the last 12 months.

Please get leave a comment below if you’re a charity that would like to share your advertising success stories or faux pars. Alternatively you can email me jodi.stuart@realradio.co.uk or tweet me @realradiojodi

Letter of the week B

Broadcasters’ Audience Research Board (BARB)

BARB is an organisation that compiles audience measurement and television ratings in the UK. It can then be filtered down by regions, demonstrated in the map below.

Behavioural Targeting

This is a technique used by advertisers to target their audience based on their behaviours. It can be done via online data capture (there are consent constraints), alternatively demographic data may be used.

Below the line

If you have already visited my first marketing jargon post, you will be familiar with the term ‘above the fold’. Well below the fold is the opposite, when you load a webpage you would have to scroll down to view ‘below the fold’.

Brand Advocate

A brand advocate is a person or customer that talks favourably about your product or service. This may be done via social media, word of mouth or if they are existing customers it may be through a testimonial.

B2C

An abbreviation of business to consumer, this means that you as a business sell your product or service to individuals.

B2B

B2B is the abbreviation of Business to Business, which means that your products or services are targeted to other businesses.

Bitly

Bitly is a website that enables you to shorten a URL, it’s popular with Twitter users because of the character restrictions.

Bounce Rates

Bounce rates refer to the proportion of users that visit your website and only view one page. They don’t explore your website before exiting; bounce rates are usually recorded as a percentage.

Bread Crumbs

This is a sophisticated and online version of Hansel and Gretel’s breadcrumb trail. When users visit a website and navigate through to different pages it leaves a trail of ‘bread crumbs’, which allows the user to trace their steps back.

Below the line

Is a strategy companies use to promote or sell their products/services. It is much more specific than mass media advertising; sending flyers or brochures to targeted postcodes is one example of below the line marketing. It could also be used within targeted social media marketing.

Hi-de-hi Campers!

So it’s been a good few months since my last holiday. Whilst I am very grateful for the odd bank holiday, I think it’s about time I started planning a break which lasts longer than three days. After considering a few options I thought I would look further into the ‘staycation’ boom, so here are my findings.

Did you know that…… in 2011 UK visitors made up 9.7 million overnight trips to Wales and spent more than £1.7bn? Holiday trips accounted for 62% of all visits to Wales in 2011. Once Business Minister Edwina Hart had been presented with these figures there was no holding her back, she allocated an additional £850,000 to the Visit Wales UK campaign!

One industry in particular that has benefited from the staycation boom is holiday parks. In January, Centre Parcs stated that bookings for 2012 were up 2.2% on last year, demand for summer bookings were up 19.1% year on year. Holiday parks were popular back in the 60’s; people embraced the 3 set meal times a day and overzealous entertainment. As holidays abroad became more accessible in the 70’s and 80’s, holiday parks somewhat lost their appeal. Well the tables have turned…….. again! Centre Parcs have recognised this and extended their appeal beyond families, and now offer adult only spa experiences.

I attempted to find some reasons why domestic holidays appeal to the British, but the actual statistics varied somewhat. So let’s view the following as feedback, why do consumers favour holidays in the UK as opposed to abroad?

  • Flying is a hassle
  • Better standard of hotels
  • Prefer British restaurants and catering
  • Scenery (Keep Wales Tidy has announced Blue Flag Status to 43 beaches in Wales)

There are occasions where a late deal in Spain will be cheaper than a staycation. That said the recent popularity of discount voucher sites enables the UK to compete with such deals.

Where do they go, I hear you ask? According to the Welsh Assembly Government, the majority of overnight UK tourists head straight to North Wales. Whilst most overnight business trips are spent in the South East.

What do the Welsh do?

The following information comes from TGI and is split into short break and holidays, so stay with me! In the last 12 months 43% of Welsh adults took a short break in the UK whilst 25% stayed in the UK for their holiday.

Top 5 destinations for holidays/short break in the UK

Welsh adults 15+

  1. 22% Wales
  2. 11% Elsewhere in England
  3. 10% West Country
  4. 9% London
  5. 7% South/South East/Isle of Wight

Source: GB TGI Radio+ 2012 Quarter 2, Kantar Media, Wales BARB Region

It’s seems what’s made in Wales stays in Wales when it comes too domestic holidays! Even if they don’t stay in Wales 37% of our adult population like to go back to familiar places.

Just out of curiosity I thought I would have a peek at what the averages are around the UK for visiting Wales.

The majority went on holiday or had a short break with their partner (both 20%), closely followed by taking their family (holiday 19% and short break 14%). Now I understand that tourism companies have peak and off peak rates, and as a general rule of thumb peak tends to be in term time. Even so I was surprised to find out that more people take their holidays outside of school term time than in term time.

The increase in Air Passenger Duty combined with the UK joining the EU Emissions Trading Scheme means that going abroad is no longer a viable or ‘value for money’ for many people. Staycation’s are set to stay; they have been firmly in place for 3 successful years. The economy is set to remain toilsome over the coming year; consumers will look to escape from the monotony of everyday life.

I’d like to hear your thoughts on the staycation market, whether you are a holiday park, tour operator or visitor attraction. Please leave a comment below, or get in touch with me directly on jodi.stuart@realradio.co.uk or @realradiojodi

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