Showing posts with label Social Media. Show all posts
Showing posts with label Social Media. Show all posts

Thursday, November 24, 2011

Qantas in 'epic PR fail'

A Twitter competition has drawn thousands of angry responses after Australian airline Qantas launched it amid a major labour dispute, reports BBC.

The airline asked people to describe a "dream luxury in-flight experience", offering Qantas gift packs as prizes.

But users of the micro-blogging service instead used the competition to vent their frustration with Qantas.

The contest ran a day after talks with unions broke down, and after Qantas grounded its entire fleet in October.

Thousands of passengers were stranded worldwide after the firm halted flights in an attempt to end months of strike action by workers angered by the firm's restructuring plans.

The "Qantas Luxury" promotion, launched on 22 November, quickly tapped into customers' ire.

"Qantas Luxury means sipping champagne on your corporate jet while grounding the entire airline, country, customers & staff," one Twitter user wrote.

"Qantas Luxury is getting my flight refund back after waiting almost a month," wrote another.

One Tweeter suggested the phrase meant "more than 3mins notice that the whole airline is on strike".

Social media commentator Peter Clarke wrote: "Epic PR fail, excellent case study in corporate cultural tone deafness. Simply don't get it".

But the airline put a brave face on what is being seen as a debacle, Tweeting: "At this rate our #QantasLuxury competition is going to take years to judge".

When Qantas grounded its fleet in late October, Australian Prime Minister Julia Gillard said its bosses had taken "extreme and irresponsible" action.

Unions are reported to be considering more disruptions to Qantas flights, while the government's industrial relations umpire is beginning work to impose a new wage agreement between the airline's management and workers.

Tuesday, September 13, 2011

Italian fashion adapts to changing media world

Andrea Tremolada, Worldwide Communications Director of Salvatore Ferragamo, is one of the most respected media experts in fashion advertising. It's also clear that he possesses boundless stores of energy. At the 10th Annual Connect Alliance Conference in Lago Maggiore, he provided an overview of the luxury giant's media strategy -- directly after landing at Malpensa from South Korea and before rushing back to headquarters for meetings with Mrs. Ferragamo. (The Founder's widow, Wanda Ferragamo, is also amazingly energetic. Although in her '80's, she continues to come to work daily.)

Salvatore Ferragamo, a family empire built on a heritage of fine craftsmanship, now sells its products in 75 countries and through 573 stores bearing its name. The company produces two different major ad campaigns each year. "We are proud to make products that are totally produced in Italy," says Tremolada. The current Ferragamo campaign was filmed at Lake Como's famed Villa d'Este—just an hour north of the company's Milan office -- to underscore the brand values of a "Made in Italy" label.

Andrea Tremolada admits that he knows much more about the Ferragamo consumer than ever before -- largely due to the exchange of information through social networks. "In last 3 years, we've found that consumers have become more involved than in the past. Those who are very interested in our products offer tremendous feedback about our quality and share opinions that are helpful to our brand.

We have come to see key differences between those who buy online and those who shop in stores. And given the number of people who use their phones to take photos of products they'd like to find, we are looking forward to the mobile aspects of e-commerce in the near future."

As a rule, luxury and high-fashion brands have been slow to embrace digital media as they seek media environments associated with wealth, good taste and those tactile qualities found with elegant print vehicles. Yet Tremolada is convinced that Ferragamo should invest more in its online activities. 'This is not just for advertising, but to continue the strong relationship we have with our consumers." He also admits that there are times when an iPad application is better than a glossy magazine—particularly when video can be embedded and the brand story expanded.

He also recognizes the need for the company to become a publisher. "We need to be a content producer, particularly if we want to keep our Facebook presence meaningful to customers every day. When people are interested in the label, they always want to know more."

Although still largely invested in print, Tremolada's media strategy varies by country and the brand's median age is changing. For example, Ferragamo runs its advertising in a teen magazine in South Korea—something that he says "would never happen in Japan or even Italy." South Korea also boasts one of the highest shares of the company's internet spending. China has a portion of its budget dedicated to Outdoor, a medium now associated with luxury when placed adjacent to upscale shopping malls accessed largely by those who can afford to visit by cars. Ferragamo also runs television advertising in the US and Brazil with some limited spots in Japan for its fragrances.

Sales by region now reflects the overall trend found by most luxury marketers, which underscores the huge significance of the Asia Pacific region, followed by the US -- which has now outpaced Europe. Top countries include Japan, China South Korea and Taiwan, while fast-growth markets now include Mexico and Brazil. - The Internationalist Magazine

Tuesday, August 2, 2011

The End of 'Random Acts of Marketing'

In its newly-released annual report on the State of Marketing, the Chief Marketing Officer (CMO) Council sees a new commitment to marketing performance measurement, particularly in relation to digital effectiveness and social media integration as marketers seek increased accountability. The report is based upon the in-depth responses of 600 CMO Council members in 110 countries and was produced with the support of Deloitte and OpenText.

Integration, alignment, visibility and return on investment (ROI) are among the key requirements for marketing performance improvement according The 2011 State Of Marketing: Outlook, Intentions and Investments. Any resources or agencies that fail to bring innovation, technical knowledge or value‐added thinking to the marketing equation are certainly at risk in today’s environment. The survey results underscore how CMOs now require marketing analytics talent coupled with strategic planning and business development experience to better target, segment and then act on growth opportunities.

"While marketers have been focused on transforming their operations and customer engagements with hosted services and digital solutions, many have actually created a grab bag of siloed point‐solutions that just proliferate Random Acts of Marketing," said Donovan Neale‐May, Executive Director of the CMO Council. "Today’s successful marketing organization is unifying its extended ecosystem, aligning more effectively with business and sales groups, and integrating campaign components to drive efficiency and more measurable outcomes."

The report also concludes that marketing, as a function, continues to reach beyond the borders of branding. CMOs surveyed indicated a growing authority in such areas:
The report also concludes that marketing, as a function, continues to reach beyond the borders of branding. CMOs surveyed indicated a growing authority in such areas:

* Strategic planning and forecasting -- 74%
* Business development and collaborating- 46%
* Pricing- 36%
* Distribution/channel management - 36%
* Product design and specification - 27%

* Pricing- 36%
* Distribution/channel management - 36%
* Product design and specification - 27%


This growing authority matches the rising expectations on marketing leaders to driving business growth and revenues. Among the top deliverables for CMOs are:

* Driving top‐line growth - 46%
* Growing and retaining market share - 45%
* Better defining brand value - 31%

According to one in four marketers surveyed, marketing spend is being influenced by a shift to digital media and online marketing effectiveness. However, just 5% of respondents claim high marks in regard to their current online marketing performance capabilities. To improve the situation, those surveyed are planning headcount increases in interactive design, online advertising, search engine marketing, web analytics, and integrated campaign management.

Cost cutting and operational efficiencies are priorities for the marketers polled. In order to increase the impact and value of marketing, 64% of respondents say they will move to improve customer segmentation and targeting. They will also consider: greater investment in digital demand generation programs (43%); increased plans to qualify and track the conversion of leads (42%); and a commitment to explore alternative media and new routes to market (41%).

The State of Marketing Report also determined that almost 64% of respondents said they reported directly to the CEO, president or COO, while another 14% said they were accountable to a regional vice president, general manager or division/business group head. Among the respondents, 34% held CMO or Head of Marketing titles, while 33% held roles of Vice President or above.

The CMO Council is a global affinity network of 6,000 chief marketers who control more than $200 billion in annual spend.--The Internationalist Magazine

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