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NEWS ALERT: Hindustan Unilever Ltd has announced that a meeting of the Board of Directors of the Company will be held on July 27, 2010 in which the 1st quarter results will be announced. NEWS ALERT: Pakistan's exports to China during the first quarter of 2010 recorded at $0.41 billion showing an increase of 96.70 percent compared with the same period of last year. NEWS ALERT: Dr. Shahid Masood (Renown anchor person of Geo TV Network) has joined ARY Network as a President. He will look after as a head of all the related departments. NEWS ALERT: The Advisor to Prime Minister on Finance and Economic Affairs, Dr Abdul Hafeez Shaikh, has said that Economic Survey for 2009-10, highlighting the performance of the economy during the outgoing year will be released on June 4. NEWS ALERT: The consolidated budget deficit of the federal and provincial governments during first nine months (July-March) of fiscal year 2009-10 stood at Rs 625.960 billion or 4.2 percent of the GDP. NEWS ALERT: Barclays Bank said it would sell off its American mortgage collection operation for $1.3 billion in cash, exiting a business it acquired nearly four years ago before the mortgage market went bust. London-based Barclays said it would sell HomEq Servicing business to West Palm Beach, Fla.-based Ocwen Financial Corp., which specializes in handling loans made to borrowers with weak credit. News Alert: Pakistan economy is getting back on track after a balance of payments crisis 18 months ago but it still remains vulnerable to shocks and a risky market for investors, the IMF’s representative said on Tuesday. News Alert: President Asif Ali Zardari on Tuesday summoned the budget sessions of the National Assembly and Senate on June 3 at 5pm and 4pm, respectively. News Alert: Hinopak is Pakistan first automobile company to export its buses to Middle East and African countries in early 1990's and once again it has taken a gigantic leap in the international market by starting export of buses to Middle East and Africa. News Alert: Romanian Ambassador to Pakistan Emilian Ion has said that there are bright opportunities of establishing joint ventures in various trade fields between the private sectors of Romania and Pakistan. NEWS ALERT: International media is taking special interest of recently development of the Geo TV chief Hamid Mir linked to ex ISI man killing. NEWS ALERT: According to research reports, the mobile phone market has been forecasted to grow annually at 7 percent valued at AED 1.4 billion (US$ 374 million) by 2014 . Further, the sale of smart phone devices in the Middle East would reach 8.5 million units in 2010. NEWS ALERT: Nokia has filed a lawsuit in the US, alleging that Apple's iPhone and iPad 3G infringe on a number of its patents. NEWS ALERT: South Korean firm, LG Electronics has locally partnered with Silverbird Cinemas in a marketing strategy worth Sh12 million ($160,000) annually to grow its Kenyan mobile phone sales share. NEWS ALERT: The Cannes Lions International Advertising Festival 2010 edition of the festival will be held from 20 to 26 June. NEWS ALERT: Halal food is emerging as a big market and the Muslim brother countries should take the lead under the umbrella of OIC (Organization of Islamic Countries). This was stated by the Federal Minister for Commerce Makhdoom Amin Fahim. NEWS ALERT: The re-launch of Unilever Pakistan, Sunsilk with the Co-creations campaign was well received by consumers, company said. NEWS ALERT: Industrialists have asked the government to rethink over its plan to have two weekly holidays, by declaring Saturday as off day. NEWS ALERT: Pakistan second fashion week kicked off Monday, April 5th to April 10 at an upmarket hotel in the southern city of Karachi with a grand opening ceremony. NEWS ALERT: Pakistan telecom sector has boomed over the past 10 years and now has over 95.40 million mobile phone users, from some 300,000 in 2000, with cellular mobile density of over 58 percent, according to its state telecommunication authority. NEWS ALERT: Senior editors and anchors from India and Pakistan agreed on the need to create more empathy for each others country, and the dire need for more cross border information. The journalists are in the city for a meeting titled Talking Peace convened by Aman ki Asha, a joint initiative of the Jang Group of Pakistan and the Times of India Group. NEWS ALERT: Chinese telecom giant, China Mobile will invest $300 million in Pakistan in 2010, mainly on expansion of its infrastructure in the south Asian country. NEWS ALERT: McDonalds, which has about 1,100 outlets in China, expects to boost that number to a total of 2,000 by the end of 2013, said Tim Fenton, the company president of Asia Pacific, Middle East and Africa. NEWS ALERT: The lawmakers of NWFP on Thursday demanded immediate ban on late night packages offered by all the mobile companies as it was needed to protect the young generations from moral degradation. NEWS ALERT: NOKIA, The world's biggest maker of mobile phones, expects its share of the global handset market to remain flat next year. NEWS ALERT: Completing 50 years in India, Fevicol has released a new commercial titled Moonchwali, positioning it as the Worlds Shortest Feature Film. NEWS ALERT: Nike Inc. raised its quarterly dividend by 8 percent to 27 cents per share from 25 cents per share. NEWS ALERT: Finnish handset manufacturer Nokia announced today that it will lay off 330 workers from its research and development staff, which CNET says is roughly equivalent to 2 percent of its global R&D workforce. NEWS ALERT: Pakistan current account deficit has shrunk by 84 percent to some one billion dollars in the first four months of current fiscal year mainly due to rising home remittances and sharp decline in trade deficit. NEWS ALERT: The University of Peshawar has postponed the convocation 2009 for the regular students of MA/MSc/M.Phil/Phd degree holders for the session 2007 2008. The event scheduled on 30th October 2009.The new schedule would be announced by the administration soon. NEWS ALERT: To mark the 60th anniversary of Peoples Republic of China, the management of Beach Luxury Hotel, Karachi is organising the Flavours of China Food Festival from Thursday October 22 to 07 November 2009. NEWS ALERT: Pakistan current account deficit posted a decline of 89 percent in the first quarter of the current fiscal year, mainly due to higher home remittances and sharp decline in trade deficit. NEWS ALERT: Hamdard Foundation Pakistan is holding a seminar to commemorate the services of late Hakim Mohammad Saeed on his 11th death anniversary, at a local hotel in Karachi on Saturday (October 17) at 3.00pm. NEWS ALERT: Pakistan Telecommunication Authority (PTA) will hold Telecom Consumer Forum on a theme Together for consumer rights, in Islamabad on Thursday at a local hotel. NEWS ALERT: The countrys foreign exchange reserves rose to $14.75 billion in the week that ended on October 3 compared with $14.49 billion the previous week, the State Bank of Pakistan said on Thursday. NEWS ALERT: Although India Pakistan match registered a Television rating point (TRP) of 4.5, overall matches played in Champions Trophy ranged between 1.7-2, as per rating agency TAM. NEWS ALERT: The countrys foreign exchange reserves rose to $14.75 billion in the week that ended on October 3 compared with $14.49 billion the previous week, the State Bank of Pakistan said on Thursday. NEWS ALERT: Pakistan Steel Mills Corporation (PSMC) has posted some Rs 4 billion losses during first quarter of the current fiscal year mainly due to slow production, following shortage of raw material. NEWS ALERT: Asad Ali Shah, President of the Institute of Chartered Accountants of Pakistan (ICAP), has been elected as Chairman of the inter-governmental working group of experts on International Standards on Accounting and Reporting (ISAR) of the United Nations Commission on Trade and Development (Unctad). NEWS ALERT: The furniture and other valuables worth millions of rupees of Royal Bank of Scotland (RBS) branch located in Clifton reduced to ashes due to a huge fire in bank's basement on Wednesday. NEWS ALERT: Pakistan Telecommunication Authority (PTA) has seized two networks of illegal gateway exchanges in Lahore, which were causing huge loss to the national exchequer. NEWS ALERT: The Securities and Exchange Commission of Pakistan (SECP) registered 192 companies during the month of Sep, 2009. The total corporate portfolio as on 30th Sep, 2009 comprises of 53,780 registered companies. NEWS ALERT: PIA on Friday bade farewell to its Director Marketing Salah uddin, who proceeded on Leave Preparatory to Retirement (LPR), before he finally retires in June 2010. NEWS ALERT: The Students Week at the University of Karachi (KU) will be organised from October 12 to 17. NEWS ALERT: Vice Chancellor Punjab University, Dr Mujahid Kamran called on Punjab Chief Minister, Muhammad Shahbaz Sharif at Chief Minister Secretariat on Saturday and apprised him of academic activities in the university. NEWS ALERT: Samsung Electronics is all set to share its technological expertise with the underprivileged children of SOS Children Village and nearby dwellings at Dodhial, Hazara Division. NEWS ALERT: Saleem Moosa Parekh has been elected unopposed as Chairman while Ahsan Arshad Ayub as Senior Vice Chairman and Shahnawaz Ishtiaq as Vice Chairman of Site Association of Industry (SAI) for the term of 2009-10 NEWS ALERT: Sofitel Tower, an international chain of hotels and towers, is expected to commence its operation in Pakistan by 2011. This was stated by Abdul Rehman Naqi, managing partner, Sofitel Tower Karachi NEWS ALERT: The British Petroleum (BP) Pakistan in its development program drive has donated computers, classroom furniture, sports equipments and electric water cooler worth Rs 1.32 million to the Government Boys Higher Secondary School at Village Rajo Nizamani in Tando Muhammad Khan.  

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NEW APPRAOCH IS NEEDED TO REACH CUSTOMERS

ARTICLE

NEW APPROACH IS NEEDED TO REACH CUSTOMERS

The days of pure brand advertising are long over according to Stephen Fisher, deputy chairman of advertising agency CHE. Fisher contends marketing that enables consumers to bond with a brand is critical, but today consumers are not swayed by sentimental music and nice pictures.

"Brand image needs to be an integral part of all communication at all touch points, and when you think about it, weaving the brand’s values into every aspect of the communication makes sense. "It’s less wasteful than the days when products were launched with the glossy image campaign, before moving on to the more pragmatic retail work. Given Australians interact with a brand at a dozen different touch points, each touch needs to have a consistent brand component."

Alan Treadgold, retail director at Leo Burnett Australia, agrees that brands are woven into all communication with consumers, but is quick to point out that the in-store experience is paramount, especially with 70% of purchase decisions still made at point of purchase.

"One of the great communication dilemmas for many retailers is when to promote the brand and when to talk product and price call to action communication," Treadgold observes.

"You know strong brands deliver secure futures through meaningful differentiation and all of those appealing opportunities which flow through for sales growth and margin enrichment.

"But building brands takes time and costs big money and, in the meantime, you’ve got to stay in the game by persuading those oh-so-sceptical shoppers you offer great products at low prices and never mind the brand intangibles.

"So our letter boxes become ever more full of catalogues we don’t read and our TV screens full of messages we’re not taking in."

SATURATION POINT

Treadgold claims the average person in the US is exposed to 2500 to 3000 different messages every single day. "Little wonder then that they’re buying TiVo personal recorders in record numbers so as to ‘TiVo out’ the ads they don’t want to sit through."

IdeaWorks CEO Steve Kulmar says most retailers specifically encourage customer traffic and therefore rely on ‘product and price’ offers or ‘service at a price’ offers.

Most retailers use either catalogue or press and TV, in which they offer customers a particular product at a particular price, hoping to generate store traffic and sales, he says.

"That’s what we classify as product and price advertising. Brand advertising is where the retailer chooses to make a claim or a statement about their retail brand to build a positive image and create a stronger disposition to purchase from them.

"Once upon a time people used to do separate brand and product and price advertising, and they would take maybe one or two of the key brand creation images such as the strapline, music, how they interpret the logo, or perhaps a presenter wrapped around product and price offers.

"That was a traditional way to do things. I think what we are seeing today is that the brand and product and price advertising are merging."

STRINGS OF THE SAME BOW

Treadgold takes a similar view. "It’s a false distinction to think in terms of either communicating a brand message or a call to action retail message.

"What smart retailers understand is that so-called brand work needs to drive a call to action response and, similarly, product and price advertising needs to deliver and reinforce the values of the brand. "It is only in seeing the two as different strands of the same bow that brand work can grow sales and sales work enhance the brand." It can be done, Treadgold says.

"Interestingly and importantly, there’s a very strong correlation globally between retailers that consistently deliver sales growth and those with the most highly valued brands.

"Tesco doesn’t use brand or retail communication, it is a combination of both. There isn’t a single piece of Tesco brand communication which doesn’t have a retail call to action, and neither is there a product and price piece that isn’t delivered within the brand values of affordable quality."

The Target chains in both the US and Australia also effectively recognise that brand and product and price advertising support and reinforce each other.

Treadgold argues the dual approach is crucial for the US Target, which would be trumped if it attempted to use product and price alone against its major competitor, Wal-Mart.

"If you talk product and price within a theme and with a tone of accessible style, effectively cheap chic, then that creates a relevant and sustainable point of difference. Significantly, Target has outperformed Wal-Mart for several years in numerous key performance metrics."

He warns that when retailers succumb to short term sales pressures and lose sight of their brand values, they can be headed from trouble. He cites the Sainsbury supermarket chain in the UK as a good example of the inherent dangers of getting the balance wrong.

"Sainsbury had an unassailable reputation for product quality and assurance, but damaged its brand, sales and earnings because it talked for too long about low prices, largely to the exclusion of other benefits."

THE RIGHT BALANCE

Kulmar says smaller retail advertisers historically aim to drag traffic to their stores, and therefore tend to concentrate on a great product at a great price or a great service at a great price. "They think to themselves, ‘I’ll worry about my brand later’. I think the reality is that even small advertisers need to plan their advertising with the objective of reinforcing their brand and what it means to their customer.

"They should be thinking: what does my brand mean? What is my unique selling proposition? How do I take that product price offer I want to promote and wrap it in my brand so it is seen as a good product-price offer and generates consumer traffic, but also leave a residual imagery and positive perceptions for my brand?

"I think that is ultimately every retailer’s dilemma in the product-price offer today."

DIFFERENT STROKES

Kulmar says brand advertising and product and price advertising require different media strategies. "If you’ve got news, use the newspaper. If you want to achieve frequency of message for a sale, radio works very well because it is a frequency medium.

"Today retailers, particularly in the branding area, are exploring way beyond traditional medium out into the internet and other forms of communication, to build awareness of their name, and what that brand stands for.

"Smarter retailers also collect information about their customers and build profiles of them so they can communicate directly through focused media such as catalogues, email or SMS messaging." The best, but probably least affordable, media for brand advertising is TV, he says. It works because it can create an experience that relates a consumer to the brand.

While retailers are building brands, frequency and reach are critical to retain a brand message, whereas a product and price retail offer tends to be about short, sharp activity.

"I think it is increasingly relevant today to deliver appropriate product offers wrapped up in brand advertising so you get both a short term effect on sales and a medium to long term impact on the brand. The best advertising is where you manage to combine the two of them effectively," Kulmar says.

Treadgold contends a distinctive and ‘ownable’ style that would be categorised as a brand proposition can drive sales in its own right because consumers who recognise the brand are more likely to tune in to the advertising offer.

"Smart retailers understand they must engage with shoppers in ways which are relevant to them. If one of the defining features of the current retail landscape is competitive congestion, then another is surely media fragmentation.

"When P&G, who can be said to have invented modern marketing communication, says ‘there is life beyond the 30-second TV slot and we must accept there is no mass media anymore and leverage more targeted approaches’, you can be certain we’re operating in a very different and much more complex media landscape."

REINFORCE THE MESSAGE

Rather than brand or retail product and price advertising, Treadgold says retailers should reinforce messages with clear objectives delivered in a distinctive style, creatively using a range of media options. "Some retailers may continue to spend those scarce marketing dollars on the 30-second TV slot, but others may opt for a lead role for the internet, or ‘here today, gone the next’ pop up stores, card-enabled customer loyalty programs, viral campaigns or SMS messaging, or some other media.

"However, the important take-home message that retailers should never forget is that the in-store experience is still paramount."

That view is shared by Bernie Brookes, who headed marketing at Woolworths where the ‘fresh food people’ proposition delivered brand and product and price messages. Brookes, now CEO of the new Myer department store business, says the moment of truth for a brand is the in-store transaction, and the more senses you can touch, the better the results.

Brookes argues feel-good corporate advertising can miss the mark on brand values, particularly where a single business might have multiple market offers or different propositions in different product or service categories.

"In-store activity is the best media for building a brand while TV, the press and other media are the traffic generators. The brand advertising is always long term and strategic, but the product and price proposition is tactical."

Reinforce the message in a distinctive style.’ The Luella Bartley for Target collection hits the road in Manhattan.

 

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