Despite what some politicians are saying, there is now plenty of strong evidence that Australia is turning around.
We all know the economy was in great shape before this downturn. Now it seems, we are leading the way out of it.
The Reserve Bank Governor, Glenn Stevens, says that China’s economic recovery is "real" and could bring an Australian recovery within months.
In the strongest sign yet that officials believe the economic tide is turning, Stevens said on 19 May 2009 that developments in China and Australia were "consistent with the view that a recovery will get under way towards the end of the year".
Backing this view, here are two quotes from the latest board minutes from the Reserve Bank of Australia (26 May 2009):
· “In the case of the Australian economy ... there are signs that the economic stimulus is supporting demand.”
· “Overall, the Australian economy is likely to record better outcomes than most other advanced economies in 2009 and 2010, reflecting the healthy state of the domestic banking system and effectiveness of the macroeconomic policy stimulus to date."
It seems that the very conservative Reserve Bank is becoming increasingly bullish.
Also on 26 May, an international business confidence survey of some 7500 business people in 24 nations announced that Australia was rated as the number one country for coming out of the downturn in good shape.
The survey conducted in April was aimed at gauging business sentiment and what impact the economic downturn has had on businesses globally.
Australian businesspeople appeared relatively unaffected, according to the poll conducted for Servcorp, a provider of virtual and serviced offices that operates in 61 nations. Interestingly, the survey found that it was pessimistic media reports that were named as the number one concern among Australian businesses.
"I think the doom and gloom reports that Australians hear every day are harmful to Australian businesses and hold them back from seeing opportunities,” said Servcorp executive director Taine Moufarrige.
And there is good news from the US too. On 26 May, Associated Press in New York reported that consumer confidence rebounded in May – soaring to the highest level since last September – as more shoppers are feeling the worst of the recession is behind them.
The US “Consumer Confidence Index”, which had dramatically increased in April, zoomed past economists' expectations to 54.9 from a revised 40.8 in April.
The reading marks the highest point in eight months when the level was 61.4. The levels are also closer to the year-ago reading of 58.1.
In addition, the “Present Situation Index”, which measures how shoppers feel now about the economy, rose to 28.9 from 25.5 last month. But the “Expectations Index”, which measures shoppers' outlook over the next six months, climbed to 72.3 from 51.0 in April.
31 May 2009
Should your advertising be more aggressive?
Advertising Age in the US is reporting (25 May 2009) that “attack dog” ads have become far more commonplace over the last year or so.
In competitive advertising, advertisers name their chief competitor and say “we are better than them”.
Is there any evidence to suggest that Australia is going the same way?
It’s probably hard to know where Australia sits on the “soft sell” versus “hard sell” pendulum, but it’s interesting to think about where you believe your company should be.
According to Advertising Age, comparisons in advertising in the US are getting sharper, responses are growing testier, and an increasing number of ad battles are ending up in court.
So why is this happening?
Obviously, the point of comparative advertising is to set yourself apart.
If you can find a strong point of difference that is important to a sufficient number of prospects, then the advertising is most likely going to be very effective.
With the economic downturn, marketers have been under so much pressure to improve their market share, it’s probably not surprising that this trend has appeared.
Of course, the evaluation you have to make is whether you get more for your promotional investment with an aggressive approach compared with a more conventional advertisement.
With comparative advertising, clearly you can be on a winner, but equally you can risk getting sued or alienating consumers. In our laid back way, it seems that at least some Australians don’t like to see you “going after” a competitor.
Some points to consider:
If you want to avoid ending up in court, don’t name your target rival. A more general term such as "some of our competitors" is less likely to get you into trouble.
If you are negative, you can reduce sales in the overall category! Which is hardly likely to be your objective. So stay positive. Highlight the benefits you offer. And the more specific the benefits, the better.
If you say it, consumers will doubt it. So only make a claim if you can back it up. Ideally, have facts and figures or an authority to support you. “The Reserve Bank supports this type of loan in its report on . . .”
Keep your advertising original. Avoid “me too” claims. If a competitor can prove that you are using a claim that they made previously, you may be in hot water.
In competitive advertising, advertisers name their chief competitor and say “we are better than them”.
Is there any evidence to suggest that Australia is going the same way?
It’s probably hard to know where Australia sits on the “soft sell” versus “hard sell” pendulum, but it’s interesting to think about where you believe your company should be.
According to Advertising Age, comparisons in advertising in the US are getting sharper, responses are growing testier, and an increasing number of ad battles are ending up in court.
So why is this happening?
Obviously, the point of comparative advertising is to set yourself apart.
If you can find a strong point of difference that is important to a sufficient number of prospects, then the advertising is most likely going to be very effective.
With the economic downturn, marketers have been under so much pressure to improve their market share, it’s probably not surprising that this trend has appeared.
Of course, the evaluation you have to make is whether you get more for your promotional investment with an aggressive approach compared with a more conventional advertisement.
With comparative advertising, clearly you can be on a winner, but equally you can risk getting sued or alienating consumers. In our laid back way, it seems that at least some Australians don’t like to see you “going after” a competitor.
Some points to consider:
If you want to avoid ending up in court, don’t name your target rival. A more general term such as "some of our competitors" is less likely to get you into trouble.
If you are negative, you can reduce sales in the overall category! Which is hardly likely to be your objective. So stay positive. Highlight the benefits you offer. And the more specific the benefits, the better.
If you say it, consumers will doubt it. So only make a claim if you can back it up. Ideally, have facts and figures or an authority to support you. “The Reserve Bank supports this type of loan in its report on . . .”
Keep your advertising original. Avoid “me too” claims. If a competitor can prove that you are using a claim that they made previously, you may be in hot water.
Tips for online writing
If your job requires you to tackle some online writing, here are two tips to help:
1. Reading versus scanning
When you are writing for the web, one of the first things to think about is that your readers are not really readers. They are scanners. Because the eye reacts badly to reading text on a computer screen and because the online experience fosters impatience, users tend not to read streams of text. Instead, they scan. As a web writer, you have to write for scanners.
It is critically important to focus on headlines, keep paragraphs short and highlight keywords, phrases and sentences. You need to make the important bits stand out.
2. Think about “you”
Using “you” and “your” will make your writing more inviting. And more personal.
You can convey serious and important messages – even legal rules and notices – using “you”. In fact people are much more likely to take in those messages because they can see themselves in the text.
On the web, it’s also good to show that you are a person and that your organisation includes people.
The more you do to make your visitors feel that you are in conversation with them on all your web pages, the more comfortable most people feel.
There are numerous other practical tips for online writing presented in the Action Words one-day workshop “Web writing that works”. For an outline of the workshop, please email us: vikki@actionwords.com.au
1. Reading versus scanning
When you are writing for the web, one of the first things to think about is that your readers are not really readers. They are scanners. Because the eye reacts badly to reading text on a computer screen and because the online experience fosters impatience, users tend not to read streams of text. Instead, they scan. As a web writer, you have to write for scanners.
It is critically important to focus on headlines, keep paragraphs short and highlight keywords, phrases and sentences. You need to make the important bits stand out.
2. Think about “you”
Using “you” and “your” will make your writing more inviting. And more personal.
You can convey serious and important messages – even legal rules and notices – using “you”. In fact people are much more likely to take in those messages because they can see themselves in the text.
On the web, it’s also good to show that you are a person and that your organisation includes people.
The more you do to make your visitors feel that you are in conversation with them on all your web pages, the more comfortable most people feel.
There are numerous other practical tips for online writing presented in the Action Words one-day workshop “Web writing that works”. For an outline of the workshop, please email us: vikki@actionwords.com.au
Last Saturday at Auschwitz
We all know about the horror of cruelty and death at Auschwitz. There is nothing new I can add that you have not heard before.
Today, the site is green and serene. Strangely, it is not horrible to look at. We saw it on a grey day. But our mood was sombre, for you can’t go there without focusing very acutely on what it represents.
I was especially hit by the fact that so many people could have been so cruel for so long. The one million plus deaths were not the act of one mad dictator. It was not a small group of fanatics. The Nazi SS who managed the camp numbered more than 8000 operatives.
The killings lasted day after day for two years. And it was not just the SS that was involved. It included the engineering companies like the one that manufactured the ovens and confirmed that those ovens could burn some 3500 corpses a day. It was the other companies that supplied gas – refined especially for the purpose. It included the doctors who carried out shocking experiments on young girls. And there were hundreds of other organisations involved to keep the dreadful place going.
The size of the camp site is something no film had ever conveyed to me – 191 hectares (Melbourne Zoo is about 20 hectares and Werribee Zoo about120).
At many points, the double lines of wicked electric fence stretch as far as the eye can see.
It was a major life experience to be there. It will remain vivid. I am sure of that.
More than anything else, this horrible death camp stands today as a reminder for us all to be wary of Nazi-type regimes wherever they may arise.
Today, the site is green and serene. Strangely, it is not horrible to look at. We saw it on a grey day. But our mood was sombre, for you can’t go there without focusing very acutely on what it represents.
I was especially hit by the fact that so many people could have been so cruel for so long. The one million plus deaths were not the act of one mad dictator. It was not a small group of fanatics. The Nazi SS who managed the camp numbered more than 8000 operatives.
The killings lasted day after day for two years. And it was not just the SS that was involved. It included the engineering companies like the one that manufactured the ovens and confirmed that those ovens could burn some 3500 corpses a day. It was the other companies that supplied gas – refined especially for the purpose. It included the doctors who carried out shocking experiments on young girls. And there were hundreds of other organisations involved to keep the dreadful place going.
The size of the camp site is something no film had ever conveyed to me – 191 hectares (Melbourne Zoo is about 20 hectares and Werribee Zoo about120).
At many points, the double lines of wicked electric fence stretch as far as the eye can see.
It was a major life experience to be there. It will remain vivid. I am sure of that.
More than anything else, this horrible death camp stands today as a reminder for us all to be wary of Nazi-type regimes wherever they may arise.
Special offer for one-day marketing conference
The Victorian Employers' Chamber of Commerce and Industry (VECCI), is staging a one-day Sales and Marketing Conference on Thursday 25 June 2009 at ZINC, Federation Square, Melbourne.
This conference promises to provide practical and insightful information for business. Discover the latest trends in sales, marketing, media and online from an outstanding line-up of expert presenters from companies such as GEEK IT Group, JUST Magazines, Leo Burnett, Huthwaite, Keep Left PR and more.
VECCI has a limited exclusive offer. All bookings made before Friday June 5 will receive $100 off each individual ticket, PLUS a $100 training voucher per attendee.
Who should attend?Sales and Marketing Managers, Marketing Communications Managers, Business Development Managers, Small to Medium Business Owners, Retailers, Not-for-profit Organisations.
VECCI Members - $499 ($399); Non-Members - $589 ($489)
Interested?T. 03 8662 5333.E. events@vecci.org.au Or click on this link: http://www.vecci.org.au/vecci/events+and+training/event+item1.asp?code=CME9015&fcode=MAIN
This conference promises to provide practical and insightful information for business. Discover the latest trends in sales, marketing, media and online from an outstanding line-up of expert presenters from companies such as GEEK IT Group, JUST Magazines, Leo Burnett, Huthwaite, Keep Left PR and more.
VECCI has a limited exclusive offer. All bookings made before Friday June 5 will receive $100 off each individual ticket, PLUS a $100 training voucher per attendee.
Who should attend?Sales and Marketing Managers, Marketing Communications Managers, Business Development Managers, Small to Medium Business Owners, Retailers, Not-for-profit Organisations.
VECCI Members - $499 ($399); Non-Members - $589 ($489)
Interested?T. 03 8662 5333.E. events@vecci.org.au Or click on this link: http://www.vecci.org.au/vecci/events+and+training/event+item1.asp?code=CME9015&fcode=MAIN
04 May 2009
Swine flu here again - will we learn the lessons of 1976?
The media has proved that it loves the threat of a disaster. Panic sells newspapers.
Malaria kills 3,000 people every day, yet it is considered ‘a health problem’ and not worthy of media coverage generally. At time of writing, there are ten confirmed deaths from H1N1 (popularly known as ‘swine flu’).
The warnings coming through now may be justified. And it is possible we have a very serious health issue facing the global community.
However, it was only in 1976 that the US Government very sternly warned that one million Americans were likely to die of swine flu.
In fact, the Great Swine Flu Epidemic of 1976 never took place. The 1976 to 1977 flu season in the US was the most flu-free since records had been kept. The President at the time, Gerald Ford, attempted to gain credit for keeping America safe. But the people knew better. He was kicked out of office.
Worse, countless people suffered paralysis from the vaccine, some ended up as paraplegics and the vaccine itself was blamed for 25 deaths.
More recently than President Ford, in 2005 our dear friend President Bush said two million Americans would die as a result of bird flu!
Now, as fears of swine flu spread, US companies ranging from soap and hand-sanitiser manufacturers to makers of designer face masks are ramping up their marketing efforts. Mostly these companies are pitching prevention messages starring their products.
At the same time, in Sydney, a box of 40 simple surgical masks was selling last week for a cool $130. Apparently, way above above the pre panic price.
Most consumers would say there is something particularly distasteful about price gouging with medical supplies.
In the US, the soap makers, whose ads don’t explicitly mention swine flu, but focus more broadly on germ-fighting, already have a key endorsement. “Frequent hand-washing” is put forward by the Centre for Disease Control and Prevention as the best tip for preventing the spread of swine flu.
However, marketers have to act with care and thoughtfulness.
It’s OK to promote a product during a public-health emergency. But it is how you do it that’s important. It will come across as sleazy and opportunistic if you try to capitalise on fear. If you go out of your way to inform, then that’s a different thing.
The renowned New York branding consultant, Dean Crutchfield, says instead of increasing their ad budgets, marketers should be donating resources to schools and hospitals and creating an aura of goodwill around their brands.
Such an approach would certainly build a better brand image and would more than likely prove to be effective over the longer term.
Malaria kills 3,000 people every day, yet it is considered ‘a health problem’ and not worthy of media coverage generally. At time of writing, there are ten confirmed deaths from H1N1 (popularly known as ‘swine flu’).
The warnings coming through now may be justified. And it is possible we have a very serious health issue facing the global community.
However, it was only in 1976 that the US Government very sternly warned that one million Americans were likely to die of swine flu.
In fact, the Great Swine Flu Epidemic of 1976 never took place. The 1976 to 1977 flu season in the US was the most flu-free since records had been kept. The President at the time, Gerald Ford, attempted to gain credit for keeping America safe. But the people knew better. He was kicked out of office.
Worse, countless people suffered paralysis from the vaccine, some ended up as paraplegics and the vaccine itself was blamed for 25 deaths.
More recently than President Ford, in 2005 our dear friend President Bush said two million Americans would die as a result of bird flu!
Now, as fears of swine flu spread, US companies ranging from soap and hand-sanitiser manufacturers to makers of designer face masks are ramping up their marketing efforts. Mostly these companies are pitching prevention messages starring their products.
At the same time, in Sydney, a box of 40 simple surgical masks was selling last week for a cool $130. Apparently, way above above the pre panic price.
Most consumers would say there is something particularly distasteful about price gouging with medical supplies.
In the US, the soap makers, whose ads don’t explicitly mention swine flu, but focus more broadly on germ-fighting, already have a key endorsement. “Frequent hand-washing” is put forward by the Centre for Disease Control and Prevention as the best tip for preventing the spread of swine flu.
However, marketers have to act with care and thoughtfulness.
It’s OK to promote a product during a public-health emergency. But it is how you do it that’s important. It will come across as sleazy and opportunistic if you try to capitalise on fear. If you go out of your way to inform, then that’s a different thing.
The renowned New York branding consultant, Dean Crutchfield, says instead of increasing their ad budgets, marketers should be donating resources to schools and hospitals and creating an aura of goodwill around their brands.
Such an approach would certainly build a better brand image and would more than likely prove to be effective over the longer term.
Cutting is the soft option
It is not that difficult to cut budgets.
It is not difficult at all to cut a marketing budget. You just use a pen. You rule a line through items.
Any fool can do it. And before long, it’s all over. Fifty percent of marketing initiatives are off the agenda.
The speed and ease of the cutting operation may give you the clue as to what is really happening. Cutting items out of marketing is actually the soft option.
It is much more challenging to carry out a thoughtful review of activities and to decide how best you can achieve the results you need with less marketing investment.
Instead of cutting the initiatives that the manager does not like – or maybe does not understand – what professional marketers do is re-evaluate the marketing plan and analyse what is working and what's not.
Doing the job for long term benefit means exploring new options of marketing that cost less, but can still deliver the results you are looking for. It means checking the relevance of popular no-cost or low-cost marketing tips that you can begin implementing today.
When you recognise the need to be resourceful, obviously, social media is an option. This may be the perfect time to give social media marketing a try. We can be fairly certain that it won’t be the complete answer, but depending on your target market and how much time you are prepared to put in, it may be effective for you.
Using networking tools such as Facebook, the business-oriented LinkedIn or the rapidly growing Twitter, you can connect with a huge, diverse population. Of course, you have to make an effort in building your online network. You have to reach out and build relationships with those you have something in common with.
And remember, things are moving rapidly. If you looked at Facebook, for example, six months ago and decided it was just for kids, that’s history. Today, the demographic of Facebook continues to broaden.
Not sure about that?
Just look at these figures provided by O’Reilly Media. Between September 2008 and February 2009:
> The number of Facebook users between the ages of 35 and 44 increased by 51%
> Facebook users among the ages 45-54 grew by 47%
> Facebook users aged 26-34 increased by 26%
> More than half of the 140 million Facebook users are out of college.
With, apparently, some 600 million searches and more than 30 billion page views a month, the volumes alone justify a second look.
And, maybe surprisingly, the picture is similar with Twitter. According to an eMarketer report, Twitter drew 4 million unique visitors from home, work and college/university locations in February 2009, up from 340,000 a year earlier – a 1,086 percent increase. After months of double-digit growth, traffic to Twitter accelerated 131 percent to 9.3 million visitors for the month of March 2009.
Social networking may or may not have a future, and it may or may not be an opportunity for your business. Who knows? But one thing is sure. You should be monitoring it.
It is not difficult at all to cut a marketing budget. You just use a pen. You rule a line through items.
Any fool can do it. And before long, it’s all over. Fifty percent of marketing initiatives are off the agenda.
The speed and ease of the cutting operation may give you the clue as to what is really happening. Cutting items out of marketing is actually the soft option.
It is much more challenging to carry out a thoughtful review of activities and to decide how best you can achieve the results you need with less marketing investment.
Instead of cutting the initiatives that the manager does not like – or maybe does not understand – what professional marketers do is re-evaluate the marketing plan and analyse what is working and what's not.
Doing the job for long term benefit means exploring new options of marketing that cost less, but can still deliver the results you are looking for. It means checking the relevance of popular no-cost or low-cost marketing tips that you can begin implementing today.
When you recognise the need to be resourceful, obviously, social media is an option. This may be the perfect time to give social media marketing a try. We can be fairly certain that it won’t be the complete answer, but depending on your target market and how much time you are prepared to put in, it may be effective for you.
Using networking tools such as Facebook, the business-oriented LinkedIn or the rapidly growing Twitter, you can connect with a huge, diverse population. Of course, you have to make an effort in building your online network. You have to reach out and build relationships with those you have something in common with.
And remember, things are moving rapidly. If you looked at Facebook, for example, six months ago and decided it was just for kids, that’s history. Today, the demographic of Facebook continues to broaden.
Not sure about that?
Just look at these figures provided by O’Reilly Media. Between September 2008 and February 2009:
> The number of Facebook users between the ages of 35 and 44 increased by 51%
> Facebook users among the ages 45-54 grew by 47%
> Facebook users aged 26-34 increased by 26%
> More than half of the 140 million Facebook users are out of college.
With, apparently, some 600 million searches and more than 30 billion page views a month, the volumes alone justify a second look.
And, maybe surprisingly, the picture is similar with Twitter. According to an eMarketer report, Twitter drew 4 million unique visitors from home, work and college/university locations in February 2009, up from 340,000 a year earlier – a 1,086 percent increase. After months of double-digit growth, traffic to Twitter accelerated 131 percent to 9.3 million visitors for the month of March 2009.
Social networking may or may not have a future, and it may or may not be an opportunity for your business. Who knows? But one thing is sure. You should be monitoring it.
Email marketers not measuring up
On 15 April 2009, Target Marketing magazine in the US uncovered some amazing findings about email marketers.
Despite the vast array of statistics available, numerous email marketers in the US are not measuring the effectiveness of their promotions. Let’s hope this is not the case in Aus.
According to the Target Marketing report, some 500 email marketers were surveyed and the results showed that more than 18% of email marketers don't track their campaigns at all. Of those who do, marketers chose, in order of importance, open, click through and open-to-click rates as the most important metrics.
But it gets worse. The email marketers surveyed did not recognise the importance of sector statistics. Respondents rated sector specific metrics as the least important metric of all!
Reality check: If you don’t measure your results by sector you are forfeiting the chance to gain precious insights about your target market.
In my own experience, there have been campaigns where I have received a 5% response overall, but a 25% response from one or more segments. If you don’t know that’s happening, you move to your next campaign with very incomplete knowledge.
Let’s say you are selling a new health plan. Overall response is 5%, but response from people over 55 years is 25%. Clearly, you have a plan that is attractive to an older market – but you can only discover that with sector specific metrics. That’s essential information for your next campaign. And it is critical for your product development team as well.
Despite the vast array of statistics available, numerous email marketers in the US are not measuring the effectiveness of their promotions. Let’s hope this is not the case in Aus.
According to the Target Marketing report, some 500 email marketers were surveyed and the results showed that more than 18% of email marketers don't track their campaigns at all. Of those who do, marketers chose, in order of importance, open, click through and open-to-click rates as the most important metrics.
But it gets worse. The email marketers surveyed did not recognise the importance of sector statistics. Respondents rated sector specific metrics as the least important metric of all!
Reality check: If you don’t measure your results by sector you are forfeiting the chance to gain precious insights about your target market.
In my own experience, there have been campaigns where I have received a 5% response overall, but a 25% response from one or more segments. If you don’t know that’s happening, you move to your next campaign with very incomplete knowledge.
Let’s say you are selling a new health plan. Overall response is 5%, but response from people over 55 years is 25%. Clearly, you have a plan that is attractive to an older market – but you can only discover that with sector specific metrics. That’s essential information for your next campaign. And it is critical for your product development team as well.
Subscribe to:
Posts (Atom)
Posts
