Marketing Magazine

AUGUST/SEPTEMBER 2013 AU$8.95 NZ$9.95

BIG DATA? BIG DEAL!

INVEST WISELY & BECOME A BUSINESS SUPERHERO COLLINGWOOD FOOTBALL CLUB: THE MODERN SPORTING BRAND SMASHING OFF-FIELD RECORDS REPORT: MEASURING THE BUSINESS VALUE OF TRADE SHOWS AND EVENTS PRUE THOMAS IS TOP OF THE SHOPS CASE STUDIES: 4 AWARD-WINNING DIGITAL CAMPAIGNS

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BRAND PROFILE

BLACK AND WHITE DOMINATION Collingwood Football Club, the biggest football club of any code in Australia, spills the beans on how it has juggled history, culture, on-field performance and marketing to drive its memberships to record levels.

COVER STORY

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INSIGHT OUT Got data? Great, but now what? Catherine Vallence asks how marketers can extract insight out of information, how to decide on suppliers, and how, if done right, the CMO can be the company’s greatest hero.

CAREER PROFILE

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TOP OF THE SHOPS Prue Thomas is group marketing director for Topshop, Topman, Miss Selfridge Australia and Glue Store.

She has led retail businesses online and off, locally and internationally, and now she talks to Marketing about a career of bricks and clicks.

DIGITAL MARKETER OF THE YEAR

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BUILDING BLOCKS AND DIGITAL WIZARDRY Lucinda Barlow is head of marketing, Google Australia and New Zealand.

The inaugural IAB Australia Digital Marketer of the Year talks about leading Google’s local office to global fame through gutsy, ambitous campaigns and having a healthy disregard for the impossible.

FEATURE

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IS RETAIL OUT OF FASHION? Whether online or off, experience is key for customer-centric fashion brands, finds Sarah Kempson, but intense interest from global players is putting the locals under even more pressure to evolve.

FEATURES www.marketingmag.com.au | AUGUST/SEPTEMBER 2013 | MARKETING

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8 12 HE SAID / SHE SAID: the best of digital and offline marketing eavesdropping.

18 IN THE POLLS: the results from our online reader polls over the last month.

CASE STUDIES – 2013 IAB AWARD WINNERS 26 MOBILE MEDIC by for Defence Force Recruiting by GPY&R Melbourne

Editor Peter Roper peter@marketingmag.com.au Newsroom assistant editors Rebecca Hagan Madeleine Swain Editorial designer Louise Ayres Art director Keely Atkins

28 PERFECT LAGER PROJECT for Casella Family Brewers by AnalogFolk

Production manager Julia Garvey julia.garvey@niche.com.au

30 REVERSE ROBBERIES for Parmalat by The Monkeys

Digital pre-press Davin Lim

32 VOLUNTEER TO PROMOTE VOLUNTEERING for Seek Volunteer by Leo Burnett Melbourne

Editorial illustration Stevie Rodger stevier.com

OPINION 34 BRAND TALK: Nobody loves a brand because of its ads 38 BLOG – MOST READ: Kitchen Nightmares turns social media horrorshow 39 BLOG – EDITOR’S CHOICE: Transition marketing 40 BLOG – MOST SHARED: 10 myths about agencies from a former client

Business development manager Linuccia Meinsma Tel: +613 9948 4987 linuccia.meinsma@niche.com.au Subscription enquiries Tel: 1800 804 160 subscriptions@niche.com.au www.marketingmag.com.au Marketing is a publication of Niche Media Pty Ltd ABN 13 064 613 529.

142 Dorcas Street, South Melbourne, VIC 3205 Tel +613 9948 4900 / Fax +613 9948 4999

42 BLOG – MOST COMMENTED: Market and social research: not broken, just bent 44 AN OPEN LETTER TO… those waiting for the next Big New Idea 46 BRAND IN HAND: The connected consumer and omnichannel retailing

Chairman Nicholas Dower

48 B2B TODAY: Reaching a niche audience

Managing director Paul Lidgerwood Group commercial director Joanne Davies

CAREERS 51 THEIR CAREERS: All the career moves that mattered 52 CAREER PROFILE: Prue Thomas, group marketing director for Next Athleisure

68 REPORT: Measuring the business value of trade shows and events

Content director Dave Bullard Financial controller Sonia Jurista Printing Southern Colour (VIC) Pty Ltd Tel: (03) 8796 7000 Accounting software SapphireOne www.sapphireone.com

72 THE DEBATE: Offline connection is crucial for online communities 74 THE WAY OUT

Marketing ISSN 1441–7863 © 2012 Niche Media Pty Ltd. All rights reserved. No part of this publication may be reproduced, stored in a retrieval system or transmitted in any form or by any means, electronic, mechanical, photocopying, recording, internet, or otherwise, without the prior written permission of the publishers. While every effort has been made to ensure the accuracy of the information in this publication, the publishers accept no responsibility or liability for any errors, omissions or resultant consequences including any loss or damage arising from reliance on information in this publication.

The views expressed in this publication are not necessarily endorsed by the editor, publisher or Niche Media Pty Ltd.

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MARKETING | AUGUST/SEPTEMBER 2013 | www.marketingmag.com.au

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20 COVER STORY

INSIGHT OUT Got data? Great, but now what? Catherine Vallence asks how marketers can extract insight out of information, how to decide on suppliers, and how, if done right, the CMO can be the company’s greatest hero.

MARKETING | AUGUST/SEPTEMBER 2013 | www.marketingmag.com.au

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t’s 2009 and the CMO is about to deliver a conference speech on his organisation’s new brand campaign and its plans to drive customer acquisition through TV, radio, print and digital.

In the same week, she receives a CEO request to update the board on how the investment is tracking and how to drive the business further based on trends and market sentiment. To say the CMO feels underprepared for the task is an understatement.

Fast forward to 2013 and we’re now four years into the real use of social platforms and the importance of mobile is growing at a rapid pace. The CMO and her team have just had their weekly catch up with their counterparts in IT, and the customer intelligence from the business’ digital and traditional channels has offered sparkling clarity for the CMO’s next brief to the board.

This time our CMO is armed with enviable insights on how the returns on investment are tracking in all channels, what ROI is expected three quarters out and what the business opportunities are, based on market trends.

For this organisation the relationship between IT and marketing has never been better: customers are increasingly seeing the organisation’s marketing materials as useful content, the board is welcoming favourable earnings results and the CMO has embraced this as an incredible time of opportunity to do more with less.

“It needs a fresh approach… to execute individual interactions at a massive scale rather than taking single communications out at a massive scale.”

THE THREE WAVES OF DIGITAL Aden Forrest has spent 22 years in the marketing technology space and the managing director, Australia and New Zealand, for Marketo, describes the current environment as the ‘third wave’ of CRM, where marketers can really grasp marketing technologies to drive business outcomes.

First wave, early 1990s: many businesses were buying technology simply because it was the thing to do. Companies weren’t aligning business processes to drive business outcomes and then allowing the technology to support it. The result: not much benefit from the technology.

Second wave, early 2000s: brought about by the dotcom boom, consulting firms were proliferating, focusing on the process getting to a business outcome. Technology had become more affordable, but there were limitations on how data sources could be consolidated to drive business outcomes.

Third wave, present day: cloud-based offerings that can be integrated into existing on-premise applications. A single outcome that is the culmination of the past two decades. A great time to be a marketer?

ANALYSIS PARALYSIS According to a number of local industry figures, the shift to data-driven marketing is revolutionising the marketing sector more than anything before, and it is quickly becoming a new standard.

While many marketers may be sceptical about what has simplistically and collectively been called ‘big data,’ and perhaps been overwhelmed by it, many in the industry say it heralds a fantastic time for marketers.

Graham Kittle, partner at IBM Australia and New Zealand Global Business Services and leader of its strategy and transformation practice, says data-driven marketing is changing the landscape so quickly that one-directional campaigns are losing their lustre.

“As marketers shift from above the line marketing to below the line targeting, we’re seeing the end of the average customer and focusing on the individual with targeted offers instead. Right now the opportunity is really terrific to put data-driven marketing solutions in place where the conversion rates are high.”

He says there’s a tremendous opportunity for astute marketers, but, “unfortunately some marketers are still going to conferences and talking about brand and how to develop a customer strategy and know the customer.”

The new era, says Kittle, is all about the relationship with the customer – that is why it is redundant for universities to still be teaching students about the four Ps, he believes. Analytical tools mean marketers can make informed decisions about their spend.

Despite data evangelists singing the praises of advanced analytics and marketing intelligence engines, there are many CMOs and marketing decision-makers who are unsure of how to gain value from it – and that indecision is compounded by the significant investments required in technology systems.

Co-founder of Salesforce.com and current managing director of Marketo Australia and New Zealand, Aden Forrest, says for marketers to reap the rewards they need to consolidate their digital and traditional channels. “If marketers manage that, the paybacks are phenomenal.

“There’s no question that the sheer volume of data coming through offers much opportunity, but just because you have more data doesn’t mean you’re going to do something with it.”

Forrest says being able to listen is vitally important, and then taking that insight and systematically scaling it across multiple channels and multiple organisations is what wil make the difference between ‘good’ and ‘exceptional’ in the coming years in the Australian marketplace.

www.marketingmag.com.au | AUGUST/SEPTEMBER 2013 | MARKETING

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CASE STUDY

The Perfect Lager Project

premium beer market is crowded and a recent rise in the popularity of cider and craft beers, along with increasingly promiscuous beer drinking habits, had made the beer market a complex one to navigate and gain market share.

OBJECTIVE CLIENT: CASELLA FAMILY BREWERS AGENCY/TECH PARTNER: ANALOGFOLK

WINNER Casella Family Brewers’ ‘The Perfect Lager Project’, which was developed by digital agency AnalogFolk, was the winner of both the ‘Product Launch’ and ‘Cross-Platform Integration’ categories at this year’s IAB Australia Awards, with a campaign that showcased the merits of using multiple channels to gain sufficient traction on market entry.

The campaign was notable for the fact that the product launch campaign would be kicked off without a product and it became a textbook example of how to execute a crowd-sourcing idea with originality and wit.

What impressed the judging panel the most was that each of the elements had a clearly defined and exceptionally well-executed purpose that amplified the two interactive experiences at the core of the campaign.

AnalogFolk was tasked with developing a launch strategy to crack the premium beer market and launch Casella’s new beer, promoting awareness, engaging and exciting premium beer-drinking males.

STRATEGY BACKGROUND Australian winemaker Casella Wines, known for exporting good value, mass-market wine, wanted to launch a premium beer brand targeting whitecollar males. Although it had identified a clear opportunity within the market, Casella knew that a successful launch would require innovation and ingenuity.

Australian beer consumption has been in decline since its peak in 1979, with per capita consumption dropping by around 35 percent in 30 years. The

Despite its extensive wine heritage, Casella lacked credentials in the brewing space in a category that is dominated by ‘old’ cues of history and heritage. This lack of experience became the central creative premise of the launch campaign and, instead of a ‘traditional’ launch, the campaign was transformed into a challenge to Australians to help Casella brew a new premium beer. This approach meant it would become Australia’s first crowd-sourced beer, a thoroughly modern approach to launching a thoroughly modern beer.

MARKETING | AUGUST/SEPTEMBER 2013 | www.marketingmag.com.au

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CAREER PROFILE

TOP OF THE SHOPS

From launching Australia’s first ever online store to bringing Topshop back from near extinction, Prue Thomas has established herself as a retail marketing superstar. Marketing sits down with her to discuss how she helped push the retail industry into the digital era.

MARKETING | AUGUST/SEPTEMBER 2013 | www.marketingmag.com.au

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rue Thomas kicked off her career as a shopgirl at UK department store, Selfridges. Her time there saw Thomas travel all over the world, rubbing shoulders with international celebrities like Bill and Hillary Clinton and spending the week with Kylie Minogue. Her marketing journey began when she was given a “ridiculous budget” to put together the celebrity program for the UK department store at the tender age of just 21.

“I couldn’t believe that they were empowering me with spending millions of dollars. It was incredible,” she says.

But it hasn’t all been gallivanting around with celebrities and sipping champagne. Thomas has been a pioneer in fighting the digital fight since returning to Australia from the UK six years ago.

She started her tertiary education in Brisbane where she “weirdly” dabbled in sports science and physiotherapy, but very quickly realised it just wasn’t the path she was meant to follow.

Just shy of 19, she packed up and left for London, where she landed the job with department store, Selfridges.

“When I moved to London, I very quickly realised that shopping over there was going to become a hobby, so I thought I may as well start earning money where I probably planned on spending the most money – it was actually a very logical choice.”

Thomas started working on the shop floor where she was handed a “really bizarre internship” with the marketing team and was gifted the task of handling all of the Christmas activities within the store over the holiday season.

“Once I had done that, it was basically into the marketing team and the rest was history after that.

That’s how I got my start.”

She volunteered a lot, putting her hand up for as many things as she could, a trait Thomas is seeing less and less of now with young up and coming marketers today.

“I could be alienating a huge segment of my demographic here,” she admits. “What I find interesting is that there is no one really putting their hand up for the sake of bettering themselves and experience. It’s all very much, ‘I want to do this,’ but then, ‘If I’m giving you this, I want this.’ For me, it was much more about soul-searching, finding what I wanted to do with my life and quite happily just do it and see what comes of it.”

I make sure that all the people around me are either with us on a strategic direction or they’re not. I’m very much a believer that you empower the people around you and you get a better result.

A fashion marketing, PR role eventually presented itself at Selfridges and Thomas jumped at the chance, explaining it is a little bit like ‘dead man’s shoes’ in an institution like Selfridges, where people have to move on before you move in.

At the still young age of 24, Thomas then set her sights on the next challenge and decided to start her own business – launching a fashion production company, which she has only recently sold her stake in. She spent two years on the road doing fashion show productions across London, Paris, Milan and New York. It was during this time that Thomas was confronted with some of the steepest challenges in her career.

“The biggest mistake I made, I think, was thinking I could suddenly do everything myself, and failing miserably on some really important kinds of projects. I think you’re only as strong as the teams around you and the people you put around you, and I underestimated the power of collaboration. I wanted it for myself and it was wrong. And ever since [with] any project or any role that I take on, I make sure that all the people around me are either with us on a strategic direction or they’re not. I’m very much a believer that you empower the people around you and you get a better result.”

She soon realised that while owning a business sounded very glamorous, doing her taxes at 11 o’clock at night was “becoming a drag”. So she jumped ship, and landed on the steps of Topshop.

For the best part of the next six years, Thomas was at the helm of the Topshop revolution, relaunching a brand that was, at the time, floundering with an outdated image and flailing profit margin.

“We saw this big beast of a brand turn really quite quickly. We didn’t realise how small the changes had to be to turn that business around. It went from a business [where] girls would go into Topshop to just get their sparkly top for a Saturday night, but they were forever saying, ‘The quality is shit, the store is shit, the brand experience is terrible.’ And then we just did these few tweaks and started positioning ourselves quite differently. We had nothing to lose.

The brand was not performing. And that was only 11 years ago.”

It took a baby and a burglary for Thomas to make the decision to finally leave Topshop, after spending over half a decade repositioning an ailing brand into one of the strongest retail commodities both in the UK and around the world.

www.marketingmag.com.au | AUGUST/SEPTEMBER 2013 | MARKETING

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