글쓴이 보관물: ironmatblog
The big deal of « Pepero Day » commercial festival
11th of November, for some people this date refers to the end of the First World War, especially for European and North American people. But in South Korea, since 1994 this date is well-known as the « Pepero Day ». Indeed, on this day people offer to each other this small box of long and thin biscuits covered by either chocolate or strawberry.
An unclear storytelling has been created to justify this young national day. In 1983, two female middle school students in the Yeongnam region exchanged Pepero wishing that they would both become tall and thin. The fad spread with the idea that, for maximum effectiveness for height and thinness, one must eat 11 packets of Pepero on November 11, 11:11am and 11:11pm at 11 seconds exactly. Why 11 ? Because it’s exactly what 2 peperos look like when they are shared. Which of course is very controversed because eating chocolate biscuits has never been known as a way to keep a fit shape. Anyway.
We all knew Valentine’s day when (almost) all couples offer presents to testify their affection and love to the one-loved. Korea way is slightly different, on this day it’s up to girl to offer chocolate to their boyfriend (or secretly loved boy) and one month later it’s boys turn to prove their affection in offering Marshmallow on the « White Day ».
As these last ones, the 11th November sounds to be a commercial day. This is straight outta Compton Lotte’s imagination. Its marketing department had a brillant idea. As important as Valentine’s or Christmas for some people, the Pepero day seems that it could not be missed by korean people.
Even if a small biscuits packet is not that expensive, that’s million boxes which are shared every years during this day and broadly the week. Event if some people argue it’s just a commercial festival so they would not celebrate it, regarding the cost of a small box (around 1500 wons), they finally do it.
That’s how a brand has succeeded to create a national day, even if it is not recognized by the government. They introduced this day as a must celebrate using affectional factors and it works very well because on this day Lotte realizes a significant share of this annual turnover. In 2012, the company realized 50% of its annual sales of the product on that day. Such a great opportunity for other brands which now use to sale their own products related to this very celebrated day.
Lotte would deserve a prix Nobel of Marketing if this one would exist for creating a festival directly related to their own product and being now a must-celebrate day. Storytelling, special packaging as pepero’s fit satchel, needs created, CSR marketing around that day, Lotte definitely did a very good job.
References
http://mountainreport.weebly.com/world-affairs/pepero-day
http://blogs.wsj.com/korearealtime/2013/11/11/on-pepero-day-a-japanese-rival-lurks/
http://koreanfood.about.com/od/holidaysandoccasions/a/November-11th-Is-Pepero-Day.htm
https://en.wikipedia.org/wiki/Pepero_Day
http://madamechoi.canalblog.com/archives/2014/11/11/30934367.html
http://seoulsync.com/culture/current/happy-pepero-day-11-facts
Does a commercial ads during a main sport event is a good investment ?
One week after the end of the World series final which resulted in Chicago Cubs victory, medias agree to say that was one of the most covered sports final of the year. Not only because we called them the « lovable losers » but commercials money spent during this final was a record for Baseball.
Spending huge amount of money in sport is now common; the most famous one is the Super Bowl which opposes the two best US football teams of the country. And known as one of the most broadcasted event in the world each year.
So, it offers an important media coverage for brands who can afford the tune of 4.8 millions dollars for a 30 sec. ads. But does this investment pays ? Yes, bu not always.With an audience which reaches 190 millions people over the world, the Super Bowl has a particular atmosphere and viewers tend to memorize easily the message and the brand they have seen during the commercials part.
« With a 54% rate of memorizing, Super Bowl commercials are a way more efficient than others ». The simple fact to quote « Super Bowl » sounds like bankable. Over the last ten editions of Super Bowl, the commercials incomes reaches 1,90 billion $, an impressive result.
Many viewers also watched the game without watching the match. They only switch on their Tv to watch the show and the new ads. Popularity has increased after the Janet Jackson’s « accident ». Sometimes they dont even really care about the result. Moreover, many of commercials are broadcasted throughout social medias, Twitter, Facebook principally.
That’s how, Budweiser commercial has been shared millions times after the show and now scores more 55 millions views on Youtube.
In the opposite, some brand didn’t see their sales boosting, but instead of that, they improved their brand image and brand awareness. Which sometimes results after some months in an increasing of sales and orders. The statement is almost the same with other important sports finals, World series finals, NBA finals, Olympic games.
In a lesser measure, European soccer’s championship which took place last summer was witness of increasing commercials prices and in the same time, boosting of sales for official and non-official partners for those who can afford. Three channels was allowed to broadcast European’s championship matches and regarding to M6 channel commercials costs, prices has been increased by sometimes 5 five times.
During the first round matches, a 30 sec spot costed 62 000€, a same length spot which reached around 300 000€ during the final.
But many companies fought to be one of them because of the benefits resulting of a such opportunity as Soccer final. Thus, thats why sales boost after UEFA European Champion’s league launch (example for Carlsberg beer).
Frequently criticized because of their prices, commercials ads during sport finals are globally a very good investment and opportunity to spread a message and boosting sales for a company who can afford it and if the choice of final is wise.
http://www.forbes.com/sites/steveolenski/2014/01/30/are-super-bowl-ads-worth-it/#6de335aa181c
http://www.forbes.com/sites/steveolenski/2014/01/30/are-super-bowl-ads-worth-it/#29e14ef8181c
http://www.cnbc.com/2016/01/29/is-a-super-bowl-ad-really-worth-the-5-million.html
Galaxy Note 7 : A failed crisis management
Following the recent scandal about Samsung Galaxy Note 7 explosions and the resulting shortfall assessed at 5 billions dollars, i’ve decided to go back to the main steps of a good crisis management. Because more than a lot of money, Samsung risks to lose its reputation.
Result of a Galaxy Note 7 left in a car
Step N°1 : Quick reaction and be transparent !
Samsung started well. The first explosion occured in August, the 24th and Samsung decided to call back the 2,5 million cellphones within 10 days after the first accident. But the Korean company was very imprecise in their press release, they did not talk about a risk of explosion or ignition. When consumer’s security is the main purpose, we can’t cheat with it and must act quickly, honestly and be transparent.
The situation has not been helped with the long time needed by Samsung to establish a real « call back » plan.
Step N°2 : Be empathic
Globally, in the event of a crisis, companies communicate only about things which happened, it’s too factual and not enough emotional. Consumers need to put a human face to a name and need to be understood. It could be tv or radio interviews. Samsung decided to spread its corporate press release and their social network were idle. One month later the fisrt accident, the pinned message was the first one which asked to return-back the phones.
A burnt Galaxy Note 7
Step N°3 : Resolve the problem and fin a solution
If Samsung has resolved the problem during the « call-back » wave, the crisis would have been an acceptable inconvenience for consumers. But the battery of the new models have also ignited and consumers now doubt about the seriousness of the company.
And this is the worst moment because Apple just released its iPhone 7 and Google its
brand new premium smartphone, Pixel..
Samsung is currently enquiring to find the real problem and they must be fast, because the evaluated shortfall is increasing day after day.
Step N°4 : Lear from the past mistakes
People tend to forgive if the company shows real apologizes and regrets especially for a well-known and serious company as Samsung. Samsung must be irreproachable, find the problem, fix it ! Unlike to Ford fiasco concerning tires problems which resulted in several deaths or Ikea’s one about the chests which killed some children in North America, Galaxy Note 7 explosions did not caused any death but it could have happened.
Samsung must change his way to communicate !
PS : We could also talk about the Apple iPhone 4 antenagate. The problem was that the reception of waves was reduced if you hold the phone by the left-back corner. A problem which Steve Jobbs answered : « Dont hold it that way » but it not really interfered on the sales.
http://www.startlr.com/recall-the-galaxy-note7-cause-5-billion-shortfall-provides-samsung/
Marketing knowledges
Planned Obsolescence : A way to consume ?
While consumers desperate about ephemeral adventures and dream of long love stories with their appliances, protest movements are emerging. Regarding this and to fight against over-consumption, some collective-groups and others associations propose low-cost reparations.
Some of these groups who said « No » to the planned obsolescence are well-organized, and meet-up couple of times in a month to help people to fight against over-consumption. That’s the case of Eric, instigator of this movement in his borough of Lille (France). He and 3 other friends, engineers by training who spend their free time to give advices, technics and repair for free. There is only rule : the appliance must be keeping in a plastic bag.
« Our approach is not-for-profit but educational. We want to re-educate people, to learn them how to consume better, more responsible and stop junking when we can repare. Sometimes, it’s just about a welding problem. »
Who never had a monitor problem ? « The idea started from a simple observation but unfortunately too common. One Sunday morning, trying to switch on my TV, this one didn’t want to respond, it was broken ! It was only 5 years but too much to get repaired under warranty. So, after a request quote from the constructor, i would pay a huge bill. 380$ for a tv bought 500$. » confessed Eric.
Eric repairing a washing machine
Some parts are manufacturing to be short-lived and feed the constructor economy. That’s very common for TV, smartphones, refrigerator and washing machine to mention.
For instance, the bill received by Eric which suggested to replace the mother board, then labor costs would be added. Recommended by a friend he bought four condensators (which are parts of the motherboard) on Ebay for a total amount of 3,60$ and repaired it by himself. The TV is working well now.
An approach included by the Third Industrial Revolution
The problem is more than a money saving, it’s about energetic and materials consumption. Yet, it’s the energetics laws who lead the mondial economic activity and the current crisis mark the fatigue of the past energetic paths. A position that leads us to apply a self-analysis about our consumption habits we were facing. We must reinvent the tomorrow’s economy.
This approach is called « the Third Industrial Revolution ». It is more present than ever. Based on five main pillars which are distributed renewable energies, energy supplier buildings, hydrogen and energy storage, mobility innovation and smart networks. The goal is to set up a global economic model more responsible, collaborative and thrifty regarding the energetic consumption.
Unfortunately people are still wanting last innovation, more thin appliances, more innovating, more beautiful with new materials which results in over-consumption. Because instead of sell their old eletronic companons or get repair when they are broken, they prefer throwing them away.
Sometimes it’s about a trendy affair, but as we saw, it’s also because of the manufacturing habit of the constructor in order to get more money by after sales service.
That’s a fight between constructors and consumers. The first one is pretending that is more convenient to fix some components to extend the product life and the second one argue that they would like to do themselves and it would be cheaper than being repaired by the constructor.
http://www.bbc.com/future/story/20160612-heres-the-truth-about-the-planned-obsolescence-of-tech
http://www.economist.com/node/13354332
Personal experience
Ewha [Brand Communication] 