Tag Archives: Advertising

News Corp Reports Revenue Decline

News Corp, the publisher of newspapers including The Times and The Sun, has reported a 2.8% decline in revenues for the quarter ending 30th September 2013 with a decline in advertising being blamed for the decrease.

In the first quarter since News Corp was split into a highly successful entertainment company and a less profitable publishing business earlier this year, the latter’s net income rose from a loss of $83 million last year to a profit of $38 million. However, year-on-year annual sales actually fell from $2.13 billion to $2.07 billion, falling short of the $2.18 billion total predicted by analysts, according to data compiled by Bloomberg.

Source: www.advanced-television.com/

The news division, whose portfolio includes titles in the US, the UK and Australia, saw advertising fall 12 percent and revenues from circulation and subscription decrease by 6 percent with the Australian papers accounting for the largest decline (a 22% drop in sales).

In response to the results, Robert Thompson, News Corp’s chief executive, was keen to highlight that the company is in a period of transition with the brands’ evolution into digital content providers key to its future: “Our first quarter as the new News was the beginning of a journey in the digital development of the company. We […] are transforming our publishing operations longer-term into multi-platform businesses [and] we are even more convinced the company will thrive as the company becomes more digital.”

Paid websites represent a key part of this strategy – it is now three years since The Times and Sunday Times websites went behind a paywall with The Sun following suit earlier this year. While it has been a controversial approach at odds with that of the highly successful Guardian and Daily Mail sites, News UK argue that the indisputable reduction in visitors is compensated for by the quality of the data they have on their subscribers and, therefore, the level of targeting which they can offer advertisers. However, from Four’s point-of-view, this reduced traffic makes it difficult to reach a sufficient number of people on more niche areas of the site relevant to our clients, such as the Property section.

In addition, News UK has identified the iPad and tablet apps as central to a strong digital offering, with increased functionality and a wider range of creative advertising solutions being planned for 2014. With Tesco’s £119 Hudl tablet tipped to be a strong seller this Christmas, we believe that a presence on apps will become increasingly important to many of our clients in the coming months.

Can Twitter Work as an Ad Medium?

On its first day as a public company Twitter was valued at £19bn. Following its successful stock market launch, Twitter now needs to prove to investors that it can effectively grow its revenue; one medium through which it would do this is advertising.

Source: www.mediatel.co.uk

There are 230 million users globally on Twitter, 76% of which access Twitter on a mobile device. Therefore advertisers are extremely interested in utilising mobile ads. In response to this, Twitter is introducing a new set of targeting capabilities for mobile devices.  Now all advertisers can segment audiences on iOS and Android by operating system version, specific device, and WiFi connectivity. This helps advertisers reach the users most important to them, for example mobile app developers can target users with the necessary operating systems, prompting a new download or re-engagement through an app card. This is something that has previously been successfully operated by Facebook, the main rival of Twitter.

Telco companies can now also promote loyalty and rewards to users on their specific devices. All marketers can focus campaigns on users with device models that are indicative of demographics which align to their campaign goals.

Furthermore there is now the self-serve ad platform to be used by small businesses across the UK. Anyone with a Twitter account and a credit card can now buy promoted tweets and promote accounts; targeted through keywords or interests and followers.

In addition to this, the new segmentation reporting gives advertisers better insights in to the OS versions and specific devices of users engaging with their general campaigns.

Source: www.theguardian.com

So will Twitter be an effective advertising platform? Despite the many advantages of using advertising on social media, the juxtaposed dangers were suitably demonstrated last month on Facebook, when a video showing a human decapitation appeared without warning. This was a disaster for advertisers sharing this content on the same page. Clearly, regulation of content is a difficult and controversial issue to tackle. Twitter has its own pitfalls for companies, for example companies are being warned about Twitter ‘trolls’; who can harm the company’s reputation with unprovoked criticism.

Now that images are allowed, ads appearing in Twitter are much more prominent. This does change the experience for the user. As Twitter pushes for more advertising there is the potential for a backlash from users as they are inundated with adverts. Plans were revealed to widen its advertising to target “every business on the planet”. Although this is brilliant news for small/medium businesses, this may not sit well with some users. Therefore a fine balance needs to be reached to avoid the over-saturation of adverts, on Twitter feeds, driving its users away.

The Growth of Multi-Screening

Source: www.futuremedialab.com

Multi-touch point media campaigns are not a new thing.  Outdoor, print, TV and cinema have long operated hand in hand to enable brands to reach an audience through-out the day, with people interacting with different platforms at different points of the day.  This has changed over the years however, with the introduction of a variety of differing media.  Google announced, in a piece of research in 2012 that 80% of people in the UK’s interaction with media now come through a screen, be it TV, tablets or smartphones for example.

The portable nature of laptops and especially tablets and smartphones has encouraged a dramatic growth in ‘multi-screening’, where an individual interacts with multiple screened devices at the same time (Marketing Week, 2012).  Advertisers too are catching up with this trend with ad campaigns that run simultaneously on multiple screens, designed to drive response by emphasising the brand’s message to a consumers on all of the devices they may be using at one time

The British market has seen an increase in the number of advertising brands seeing benefit in multi-screen campaigns.  Some opt for ad campaigns on TV, along with online and tablet display advertising spots.  However, the most noticeable of interactive multi-screen campaigns have come with the inclusion by advertisers, of links to Twitter feeds on their TV advertising (Hawlins, 2013).  This is done in an attempt to drive social media interaction with a brand which ‘helps organise and steer the conversation’ (Twitter, 2013) on that brand.

Thinkbox reported in 2012 that 72% of TV viewers stay in the room for TV advertising when not multi-screening; while 81% do when multi-screening, meaning that not only are the multi-screening audience more likely to see advertising, the ability to reach them on multiple platforms will increase the impact.

The opportunities to take advantage of the multi-screening audience are also increasing with improvements in targeting technologies.  The technological facility to target specific households by their social demographic grouping and deliver messages to individual screens within that household now exists.  This technology considers all of the devices/screens in a household as part of the same ‘ecosystem’ and delivers ads across each platform accordingly.  19 million households across the UK are currently accessible in this manner. There is significant power to be gained from targeting both the breadwinner and decision makers in a household across multiple platforms simultaneously and for further details on how to take advantage of such technology please contact Four Marketing & Media.

Research of the US media market, undertaken by the Association of National Advertisers (ANA) and Nielsen shows that 20% of media budgets are now ear-marked for multi-screen campaigns.  (WARC,2013).  This trend will also continue to grow, with the sale of tablets predicted to continue to grow dramatically (Lomas, 2013) and the expansion of 4G networks and ever faster broadband connections ensuring smoother online access, delivering an easier route to interaction.  Advertising that takes advantage of the multi-screening phenomenon will therefore increase, given the repetition and strength of message a campaign of this ilk affords an advertiser and the ability it gives these advertisers to wrestle back the share of voice, lost by the divergence of advertisers across multiple screens.

Digital Ad Spend at an All-Time High

According to the latest IAB Digital Adspend report, advertisers have spent a record six-month high of £3.04 billion online. British consumers spend a staggering one in every 12 minutes online, equating to 43 hours a month!

Fuelled by smartphone ownership reaching 68% of the population in June 2013, mobile advertising now accounts for 14% of all digital ad spend, which grew like-for-like by 127% to £429.2 million in the first half of the year, almost double that for the same period in 2012.

Total mobile display advertising, which includes video, increased like-for-like by 195% to £105.5 million in the first half of 2013 and for the first time, consumer goods has doubled its share in a year to 26.8%.

Another online first, the consumer goods sector overtook entertainment and media, as the biggest spender as a mobile display advertiser, and finance as the biggest spender on the digital display advertising platform.

Research also shows that the tablet ad spend for the first half of 2013 was around the £10.5 million mark, up from approximately £2.4 million for the first half of 2012. This increase in ad spend could be a result of the increase in tablet users – almost one in three consumers in the UK will be using a tablet this year, according to research from eMarketer.

By 2017, the eMarketer estimates that more than half of the UK population will use a tablet device regularly.

One explanation for such a radical increase is the increasing availability of low-end tablet alternatives. Last month, Tesco announced the launch of its own brand tablet, called Hudl, which will retail at £119, a mere quarter of the cost of Apple’s iPad!

Another reason for such an increase could be that as audiences are more accustomed with going online via mobile devices, they are becoming more ‘adjusted’ to using tablets, with the majority of tablet owners still in the 25-54 age range.

UK Tablet Users

Source: www.emarketer.com

Commercial Radio’s Mid-Life Crisis?

Radio

Source: www.mediaweek.co.uk

Commercial radio recently celebrated its 40th birthday – time for a mid-life crisis?

Launched on Monday 8th October 1973, the first legally authorised commercial radio station was LBC, the London Broadcasting Company. After a slow start, commercial radio swiftly picked up with the launch of a number of local radio stations and eventually, national stations, providing new and exciting opportunities for advertisers to reach their consumers.

Over the last decade, there has been a lot of speculation over the future of radio, and whether it can survive amongst the iPods and Spotifys of the 21st Century. The latest Rajar data shows that while weekly reach doesn’t seem to be suffering, users are listening for fewer hours on average per week across almost all commercial stations. This is obviously not great news for the advertiser, as listeners are now exposed to fewer adverts.

But right on cue, radio appears to be going through a mid-life crisis of sorts, with a number of new music streaming services popping up to join the ranks of Spotify and Napster.

Apple Ads

Source: advertising.apple.com

One of the most hotly anticipated is Apple’s new iTunes Radio, which is set to launch in the UK in early 2014, offering a whole new radio experience to listeners. With more than 200 stations to choose from, listeners will be able to skip tracks, purchase songs and even customise stations around their favourite artists, songs and genres.
iTunes Radio is likely to prove attractive not only to consumers, but also to advertisers, allowing creativity and interactivity in ad formats and, most crucially, providing exceptional targeting tools. With registration and media consumption data, advertisers can use insights about listeners’ lifestyle and purchase habits to target with a precision previously unavailable to radio advertising.

Another way iTunes radio is setting itself apart from traditional radio is the frequency of ad breaks. With audio adverts only once every 15 minutes and a video spot every hour, this is fairly minimal compared to other stations; rival streaming services currently play around 8-12 ads per hour, whilst on traditional stations this number rises to 25.

It is currently unknown how much one of these coveted ad spots will cost, but for its recent US launch, the minimum buy-in was reputedly $1m worth of spots, with Apple forming partnerships with McDonald’s, Nissan, Procter & Gamble and Pepsi, giving them exclusivity within their respective industries until the end of 2013.

With the UK launch set for early 2014, brands don’t have long to wait before they can get onto the iTunes airwaves.

It remains to be seen whether iTunes Radio and other music streaming services are set to revolutionise radio advertising, but with year-on-year figures for online and mobile radio listening up 31% and 34% respectively, our radio consumption is clearly moving with the times. As advertising everywhere becomes increasingly digital, it would be a mistake to ignore the new possibilities offered by radio today.

Apple Ads

Source: advertising.apple.com

Mini gets up close and personal with new outdoor campaign

Mini has recently launched a new outdoor campaign to increase brand awareness, which reaches out to its customers in a fun and innovative way, and has got people talking about its brand.

Over the last few weeks, as Mini drivers have travelled between Earl’s Court and West Kensington, they have been greeted by messages such as “Hey cream Mini, what’s your secret?” and “Hello blue Mini driver”, flashing up on giant digital screens. This involves a team of ‘spotters’ stationed at the end of the road, whose job it is to spot Minis driving by, and to trigger a personalised message to appear on the screen.

Mini drivers

Source: adage.com

The screens in question are known as the Cromwell Road Digital Gateway. The series of 9 screens, each of varying sizes, must all be bought together, and cost £200,000 for two weeks.

Mini’s screens form part of their new 8-week integrated campaign, aimed to celebrate and thank their customers. They are also rewarding their drivers with freebies at service stations along the road, including bacon sandwiches or smoothies on the way to work and a tank of fuel or bunch of flowers in the evening. Drivers are also encouraged to upload photos showing ways they have customised their Mini, with the chance to have them displayed on the screens.

The personalisation of marketing messages is becoming increasingly important in today’s economic climate, as advertisers seek to maximise their reach of target audience. Advertisers have long been aware of the increased engagement that message personalisation brings, and technologies such as behavioural tracking and targeting form the lifeblood of most digital campaigns today.

The Mini campaign takes a range of familiar marketing concepts – digital and outdoor, behavioural tracking, targeting and personalisation – and combines them in a new and interesting way to create a really fun brand campaign.

While this combination of technology and techniques may be out of reach for most campaigns today, it’s an exciting glimpse into what we could be seeing regularly in a few years, as the future of personalised marketing really takes off. It will be interesting to see whether (and which) brands are open to taking a risk with new concepts such as these, and exactly what benefits they can bring to a campaign.

The ‘Rising Stars’ of digital media?

At Four we are always looking for ways to increase the effectiveness of our campaigns.

Visually creative new ideas that encourage audience interactions are being dubbed the ‘the canvasses of the future’ for brand advertising on digital platforms. Needless to say, it is a great way to run a branding campaign that drives user engagement.

As you can see from the chart below, the statistics demonstrate that the click-through rate (CTR) for these rich media banners tends to be significantly higher than standard banners:

Rich Media Banners

Source:http://blog.adform.com/rich-media/is-rich-media-the-key-to-better-engagement/

Some examples of these banners and how they work:

  • Dynamic skins that offer a stimulating background to a webpage.
  • Product carousels that allow the user to scroll through an ad and navigating further accordingly.
  • 3D MPUs literally jump out of the page at you, a sure way to catch the eye of the audience.
  • Gliders that present a floating ad in front of the original article, which can be navigated accordingly by the user.
  • Shutters that play a video advert when a user clicks or hovers over the ad that contain product images and further calls to action, such as ‘view further images’, ‘register now’, ‘click to purchase’ or ‘view more information

Not only do users tend to spend more time engaging with these ad formats, research also shows that users liked the ads more, saying that they improved their impression of the website more than standard banners.

The great advantage of using these ads is that they are deliberately interactive; they are designed to make it as easy as possible to instantly engage with a brand or product. This gives the audience the freedom to interact and explore the advert within a pop-up microsite, without being pulled away from their original article.

Below is an annotated example of an ‘open door’ format created by Adform:

Open Door Ad format

Source: www.adform.com/site/help-and-resources/

National newspaper round-up: June 2013

The latest national newspaper circulation figures published by ABC this week show that the Daily, Free and Sunday markets were all down compared to this time last year.

Daily Titles

When looking at the quality market, the Financial Times saw the biggest period on period (PoP) increase between May and June 2013 at just 0.7%. This equates to a circulation increase of 1,833 copies. However, the Financial Times did post a year on year (YoY) decrease in circulation of 13% which equates to 38,737 copies. One must take in to account that the FT has recently culled many of its bulk copies.

The Daily Telegraph posted a PoP increase of 0.3% (1,527 copies) between May and June with a YoY loss of 4.6%.

Despite YoY losses across the quality market, the “I” posted a circulation increase of 11.2% which equates to a total of 30,412 copies. However, it did post a PoP loss of 1.2% between May and June.

The mid-market titles did not fare any better, the Daily Express saw a loss of 0.6% from May and a 13.3% YoY loss. Despite the huge popularity of the Daily Mail’s online offering, its print circulation saw a YoY drop of 133,000.

Overall, the dailies were down 0.2% PoP and 0.9% YoY overall.

London Free Press

City A.M. was the only title in this market to see any period growth, at just 0.1%. The Metro (London) posted the greatest loss of all three title in June, its circulation fell by 3,188 copies.

The London Evening Standard posted a YoY loss of 0.1% which equates to just 555 copies.

Overall, the Free titles were down 0.3% PoP and 0.6% YoY overall.

Sunday Titles

The Sunday market did not see any YoY growth across June, however, the Sunday Post was up 5.1% PoP, this was the biggest increase across all three markets.

According to the latest figures, The Mail on Sunday took the biggest hit with its circulation down just over 42,000 (-2.5%).

All titles were down across the yearly period, with the Sun (Sunday) losing 314,704, followed by the Mail on Sunday (186,344).

Overall, the Sunday titles were down 0.4% PoP and 11.6% YoY, surpassing the million mark in terms of circulation loss.

The above figures have shown that overall, print circulations are declining. This in some respects is down to readers switching to digital platforms to consume their news, business and more general content.

The graph below shows the ever increasing trend of National Newspaper- daily average unique users, this is in stark contrast to how we see print circulations currently performing.

National Newspaper Daily Unique Users

However, from an advertising point of view, we feel print is vital despite circulations reducing, the medium itself is tried and tested and promotes brand affiliation. These are key elements that print media has over its digital counterpart.

National Newspaper ABC Figures – June 2013
Daily Titles Jun-12 May-13 Jun-13 YoY Actual Change YoY % Change PoP Actual Change PoP % Change
Quality
Daily Telegraph 573,674 545,579 547,106 -26,568 -4.6 1,527 0.3
Financial Times 297,225 256,655 258,488 -38,737 -13.0 1,833 0.7
Guardian 211,511 192,376 187,000 -24,511 -11.6 -5,376 -2.8
i 272,597 306,578 303,009 30,412 11.2 -3,569 -1.2
Independent 90,001 75,089 73,060 -16,941 -18.8 -2,029 -2.7
Scotsman 35,523 n/a n/a n/a n/a n/a n/a
Times 400,120 394,982 390,941 -9,179 -2.3 -4,041 -1.0
Mid-Market
Daily Express 602,482 525,235 522,264 -80,218 -13.3 -2,971 -0.6
Daily Mail 1,939,635 1,787,558 1,806,569 -133,066 -6.9 19,011 1.1
Popular
Daily Mirror 1,081,330 1,041,289 1,038,753 -42,577 -3.9 -2,536 -0.2
Daily Record 279,324 255,238 252,626 -26,698 -9.6 -2,612 -1.0
Daily Star 602,296 534,813 540,849 -61,447 -10.2 6,036 1.1
Sun 2,583,552 2,269,238 2,243,903 -339,649 -13.1 -25,335 -1.1
Total Daily 8,969,270 8,184,630 8,164,568 -804,702 -9.0 -20,062 -0.2
London Free Press Jun-12 May-13 Jun-13 YoY Actual Change YoY % Change PoP Actual Change PoP % Change
City A.M 132,857 127,983 128,152 -4,705 -3.5 169 0.1
London Evening Standard 700,506 702,458 699,951 -555 -0.1 -2,507 -0.4
Metro (London) 777,396 776,012 772,824 -4,572 -0.6 -3,188 -0.4
Total London Press 1,610,759 1,606,453 1,600,927 -9,832 -0.6 -5,526 -0.3
Sunday Titles Jun-12 May-13 Jun-13 YoY Actual Change YoY % Change PoP Actual Change PoP % Change
Quality
Independent On Sunday 122,588 113,082 111,986 -10,602 -8.6 -1,096 -1.0
Observer 243,946 222,723 212,376 -31,570 -12.9 -10,347 -4.6
Scotland on Sunday. 44,041 n/a n/a n/a n/a n/a n/a
Sunday Times 915,969 842,810 840,201 -75,768 -8.3 -2,609 -0.3
Sunday Telegraph 450,276 420,742 422,590 -27,686 -6.1 1,848 0.4
Mid-Market
Mail On Sunday 1,824,393 1,680,069 1,638,049 -186,344 -10.2 -42,020 -2.5
Sunday Express 512,843 462,812 455,901 -56,942 -11.1 -6,911 -1.5
Sunday Post 279,120 232,412 244,257 -34,863 -12.5 11,845 5.1
Popular
Daily Star Sunday. 473,352 329,669 335,864 -137,488 -29.0 6,195 1.9
Sunday People 450,097 415,539 415,075 -35,022 -7.8 -464 -0.1
Sun (Sunday) 2,189,924 1,867,980 1,875,220 -314,704 -14.4 7,240 0.4
Sunday Mail 313,698 288,736 284,051 -29,647 -9.5 -4,685 -1.6
Sunday Mirror 1,088,499 1,029,210 1,037,542 -50,957 -4.7 8,332 0.8
Total Sunday 8,908,746 7,905,784 7,873,112 -1,035,634 -11.6 -32,672 -0.4

Out Of Home Advertising coincides with the 21st Century

Out-of-home advertising is being radically transformed by the arrival of new technology including – Internet connectivity, real-time content, cloud based distribution software, cutting edge display and digital office communication, all of these are helping to reshape how the world’s oldest media has traditionally engaged with audiences, into a new hybrid medium.

Internet connectivity no longer requires the use of a telephone line and router in order to connect, with companies such as EE launching the new 4G, a system which provides mobile ultra-broadband Internet access. Conceivable applications include amended mobile web access, IP telephony, gaming services, high-definition mobile TV, video conferencing, 3D television and cloud computing. EE used 40 London taxis to advertise and launch this new form of internet connectivity. All 40 taxis which took part, had 4G installed meaning all customers could connect to this new style of internet free of charge once inside the taxi, this out-of-home campaign saw digital domination over the course of 3 months, which helped entice consumers to switch providers to EE.

Taxi Advertising

Source: ZONE 2013

Digital posters have enabled advertisers to engage audiences by using real-time and up to date content. Latest figures from the Outdoor Media Centre have revealed that digital revenues for Q1 2013 and were £43.1 million, up 21% year on year and accounts for a fifth of total outdoor revenue.

New technology means that consumers can now be more accurately targeted with content which is much more pertinent and compelling.

JCDecaux has seen the benefits for targeting consumers using digital technology and are now launching 400 new digital screens outside Tesco. Advertisers will soon be able to target shoppers by day of the week and time of day, through new digital screens being erected outside 400 Tesco stores.

This will enable advertisers to target specific dayparts to optimise their ad campaigns by four parts of the week – morning, afternoon, evening and night time, enabling brands to optimise their ad campaign.

Digital Billboards

Source: outputmagazing.com

This network of new digital screens will be made even more appealing for advertisers due to its ability to fuse data from the outdoor industry’s £19 billion Route research, with Tesco’s acclaimed Dunnhumby retail sales data, responsible for the data crunching behind Tesco Clubcard.

Andrew Mortimer, director of brand and media at the UK’s largest outdoor advertiser, BSkyB, announced, “It is time to move away from judging plans on metrics that are out of date. To move away from traditional measures like number of panels or cost-per-thousand to metrics of greater value to advertisers.”

Interactivity advertising

Source: jcdecaux.co.uk

The future of digital-out-of-home advertising will be driven by interactivity. Digital signage applications are likely to engage consumers on a more personal level by enabling them to interact using their smart phones via Bluetooth, text messaging and the many apps which are now available to scan QR codes. The opportunity to transmit live messaging provides a dynamic new dimension to out-of-home advertising, as well as offering the flexibility to engage with consumers in real-time.

Jaguar is going digital

Jaguar has put digital advertising at the forefront of its efforts to target a younger, more vibrant audience. The creation and use of viral movies and other mobile media platforms are at the centre of this campaign to target the ‘enlightened elite’.

The new activity forms a part of the campaign to promote Jaguar’s new sports car, the F-Type. The F-Type is Jaguar’s first two-seater vehicle since the iconic E-Type of the 1960’s. As with the E-Type, Jaguar is looking to promote its reincarnation to a younger well healed audience.

Jaguar is Going Digital

Source: marketingweek.co.uk

Promotional activity for the F-Type will focus around a short 12-minute movie featuring Homeland star Damian Lewis, the short movie called Desire was created by Brooklyn Brothers and Ridley Scott Associates. Desire will prominently feature the F-Type being driven by Damien Lewis throughout in various action scenes.

The video content will form a large part of the campaign to position the F-Type range and the Jaguar brand as a purchase consideration to a younger audience than it has traditionally had in the past.

Further digital elements are to be introduced to the F-Type campaign following the culmination of the Sundance Film Festival in April, where Jaguar will be screening Desire. These elements will include TV adverts that can be scanned using the mobile app Shazam as well as activities that utilise AR (augmented reality).

Jaguar’s utilisation of digital activity shows that even well established luxury brands still see the potential in using social networking and viral videos to target a relevant audience.

With the F-Type ranging from £60,000 to £80,000, it remains to be seen whether a social media campaign such as Jaguar’s Facebook activity will increase sales of the vehicle, when one considers that 49% of social network users are aged 15-34.

The term ‘enlightened elite’ would suggest that Jaguar is trying to target a specific group of social media users who are young aspirational businessmen and women and have the means to purchase a product such as the Jaguar F-Type.

Although these individuals are a small percentage of social media users, they are well connected with other like minded individuals, therefore the ability to share videos and posts with friends could lead to a very effective targeting campaign for Jaguar.