What Australians want: Nunwood customer experience index makes local debut

Value for money, creating a customer experience and being empathetic to customer’s specific needs are what counts when it comes to Aussie consumers. Customer experience research agency and consultancy, Nunwood, has released its Customer Experience Excellence (CEE) study for the first time in Australia.

The researched surveyed 5000 Australian consumers and is comprised of both qualitative and quantitative data about what companies they feel provide excellent customer experiences, and how, building on previous UK and North American waves. Respondents rated multiple different dimensions of their experiences and indicated their willingness to advocate, remain loyal, forgive mistakes, be less price sensitive and take a wider range of products from a provider.

The top ten companies were found to be:

  1. Singapore Air, Air New Zealand
  2. RACQ (Royal Automobile Club Queensland)
  3. ING Direct
  4. ALDI
  5. Specsavers
  6. Emirates
  7. Ubank
  8. Chemist Warehouse
  9. Dan Murphy’s

 

Joint managing director, Asia Pacific, at Nunwood, Anna Thomas, says it’s unusual for airlines to feature so predominately in the top ten. “It’s a different landscape here in Australia, top performers here are the airlines listed in the top ten, which is something we haven’t really seen in other countries,” she says.

Their success is being put down to delivering the total package, attentive staff, the latest in-flight entertainment, comfort and price.

But companies have also developed their offer with a tone of voice and a personality, which is clearly defined and easy to identify with.

For Air New Zealand it’s an ‘irreverent’ sense of fun, for Singapore Air have a gentler style, like giving a single flower on departure to female travellers.

“It is the brands like this that are simultaneously offering quality and a competitive price that are the leaders in the field,” Thomas says.

The majority of the top ten all focus on offering value as part of their brand. But offering value is far more complex than just offering ‘low prices’.

The report says price includes the cost to the consumer as well as the time and efficiency spent engaging with the company.

There is also a sense of a ‘fair go’ with all of the companies that ranked highly, the companies that were perceived to be treating the consumer with respect and to be charging a fair price for a fair product were rewarded with high levels of customer satisfaction.

But Australian customers appear to be to be chasing value within reason, with Aussie consumers being described as ‘empathetic’ with their purchasing choices.

“What’s really different and interesting about Australian consumers is that they are really empathetic to businesses. They are all about balancing what they want and need with what is reasonable for a business to deliver for the best price. It’s really interesting,” says Thomas.

The majority of companies featured in the top ten are described as finding a balance between value and quality. Brands like ING Direct, Aldi, Specsavers, Ubank, Chemist Warehouse and Dan Murphy’s are all felt to be achieving the perfect balance according to the report.

“Building great customer experience is about understanding the nuances of the consumer need – which may change at various points along the customer journey – and bringing them to life within the parameters of the brand and the particular business culture. It’s part art, part science, and it’s really exciting work,” Thomas says.

Thomas notes that companies that are going the extra mile will certainly be rewarded, in the example of the airlines, 87% of the passengers of these airlines have recommended them to others and 82% of the passengers of these airlines will choose them in preference for future travel

“Our research really found that Australians really just want an objective source of information. The challenges for Australian companies is still really getting that peer to peer objectivity is becoming increasingly important and turning a terrible experience into a good one. If you sting an Aussie customer they won’t forget easily.”

The survey outlines seven key criteria that Nunwood think businesses should adopt as standard across the board.

Australians want to buy Australian. Time and again, they say that locally-sourced goods are very important. Where price is increased, consumer’s want and need to clearly understand why things are so much more expensive in the domestic market than overseas – and what that extra is buying! The challenge for the next-generation Australian business is to make that equation make sense to the consumer.

Australians want information before they get in the car. The growth in online has led to the empowered consumer. Smart phone penetration is high and pre-purchase price checking is on the increase. Companies that can provide clear, differentiated, on brand information that is accessible to the consumer, will profit.

Australians want an objective, down-to-earth, recommendation: on line peer-to-peer reviews are a growing source of reference and influence. The company that can facilitate and engage with online conversations to draw and manage reviews will flourish

Treasure hunters abound. In line with the North American marketplace, where Extreme Couponing has become something of a national sport, there is a growing subset of the Australian population for whom finding a deal is an occupation in itself. Building in that thrill, pursuit and resulting satisfaction could create an important consumer-brand relationship

Don’t sell rubbish. As would be expected in a mature marketplace, there is a lowest price, below which quality is perceived to suffer. Whilst markdowns, reduced to clear and Specials are acceptable, (and outright bargains are chased), Australians draw the line where low price means low quality. There is a an undercurrent of antagonism towards retailers who get this balance wrong – and that antagonism, unfortunately, seems to have a lasting impact.

If they can do it overseas. With the high Australian dollar making overseas markets less expensive to access, more consumers are becoming exposed to global brands which may have different Customer Experience standards. This is leading to a marked level of dissatisfaction when domestic experiences fall short, on the expectation that – somewhere in the world – someone must be able to serve me better!

 

Air NZ markets without marketing with Bear Grylls safety video

Air New Zealand continues to break the mould with its marketing and inflight messages, creating a safety briefing starring British adventurer Bear Grylls that ticks multiple boxes: utility, entertainment and promotion.

Not one to follow the tried and tested path, Air New Zealand employed the ruffian charms of Grylls to deliver an inflight briefing to both boost cut through of the inflight message and double as a marketing message.

‘The Bear Essentials of Safety’ is supported by an online campaign, which offers online viewers the chance to win a trip to New Zealand to complete the ‘Great Kiwi Bucket List’. It will be promoted online via the airline’s YouTube channel in an attempt to gain viral viewership.

The video, rolled out across the Air New Zealand fleet yesterday, follows other viral successes from the airline including The Hobbit-themed ‘An Unexpected Briefing’ and All Blacks-themed ‘Crazy About Rugby’ and ‘Fit To Fly’.

It was filmed in a remote part of the Routeburn Track near Fiordland in New Zealand’s South Island late last year. Grylls is assisted in the execution by renowned Kiwi entomologist Ruud Kleinpaste (also known as The Bug Man) as he contends with a cast of native creatures.

He says shooting the in-flight safety video in the wild was an inspired idea. “New Zealand is a country that I have always called my home away from home and I feel so proud to be involved with this campaign. We shot in a truly amazing setting with an amazing team – and that is always a privilege.”

Air New Zealand Chief Marketing and Customer Officer Mike Tod says Grylls was the ideal choice. “Bear was the ideal partner to help us bring to life important on-board safety messages in a unique and compelling way, while at the same time demonstrating the best of what New Zealand has to offer.

“We hope the global attention this safety video will receive generates more awareness of our amazing country and gets a few more bums on seats.”

The airline partnered with the New Zealand Department of Conservation (DOC) to promote the country’s environmental tourism experiences.

Grylls has a global following of more than nine million Facebook fans and nearly a million followers on Twitter, and his ‘Man vs. Wild’ TV shows have been watched by more than 1 billion people in 182 countries.

 

Short hop or a giant step?

Campaign: Kiwi Sceptics

Client: Air New Zealand

Agency: Host

Background

The Australia to New Zealand trans-Tasman route is of huge strategic importance to Air New Zealand’s business. Unlike Qantas, Jetstar and Virgin, which have significant operations in the lucrative Australian domestic and Asian markets, Air New Zealand relies on the trans-Tasman route to significantly contribute to the business’ overall bottom line.

New Zealand is an incredible country. You would think that the average Australian would be flocking to such a stunning place. But Air New Zealand faces a huge challenge on this route.

An Air New Zealand tracking study conducted by TNS found that while around five million Australians consider going to New Zealand every year, fewer than one in five actually do. The facts speak for themselves. The simple truth is that Australians always find an excuse to put off going to New Zealand on holiday, including ‘I’ll go when I am older’, ‘I will go somewhere less rainy’ and ‘It’s just like Australia’.

Objectives

Host was tasked with developing a campaign that would tackle the problem head on and actively encourage people to go to New Zealand on holiday.

Given this challenge, Air New Zealand and Host set a number of broad campaign objectives:

  • Generate an uplift in bookings (visitors) and revenue to New Zealand for Air New Zealand,
  • enhance the appeal of New Zealand as a destination among Australians, and
  • enhance the appeal of Air New Zealand as the airline of choice among Australians.

Hipster

Strategy

Clearly we would need to prove to our audience that New Zealand is a holiday destination that they shouldn’t put off going to any longer. So why were they not booking trips? The bottom line is that they weren’t going there because deep down they didn’t really believe it would provide a suitably unique or different holiday experience.

We would need to find a compelling way of convincing our audience of the merit of a holiday to New Zealand.

In the course of strategy development, research revealed a fascinating fact: New Zealand has some of the most satisfied holiday-makers in the world:

  • 99% of Australian holidaymakers would be willing to recommend a trip to New Zealand to a friend, and
  • 97% of Australian holidaymakers who go to New Zealand want to go back there on holiday again.

Given the country delivers such an amazing holiday experience, why were so many Australians so reluctant to book a trip? The answer was simple yet strategically powerful: potential visitors were completely unaware of the incredible, transformative impact of a holiday in New Zealand.

This thought led directly to our proposition: ‘You will be transformed by going on holiday to New Zealand’.

Aussie

Execution

The creative solution took the strategic proposition of ‘You will be transformed by going on holiday to New Zealand’ and both dramatised and exaggerated it by focusing on the most resistant. The non-believers. The people who wouldn’t go to New Zealand in a million years.

If we could prove to such a sceptical audience that New Zealand is an incredible country, we could prove it to anyone.

Introducing the Kiwi Sceptics

We created an online reality show called the Kiwi Sceptics, which documented the journey of Air New Zealand’s attempts to convert four Australians into New Zealand advocates. We found four real Australians who all said that they wouldn’t go to New Zealand in a million years and set out to change their mind. The sceptics were made up of Australian holiday-maker stereotypes: Bali Girl, The Hipster, The Europhile and a True Blue Aussie.

But, first we had to get them on an aeroplane, so we told them they were going to their dream destinations, before surprising them with the fact that they were actually going to New Zealand. Needless to say, they weren’t happy. The journeys that followed became the basis for our show.

The Sceptics were not easily turned. But Air New Zealand enlisted the help of Kiwi guides who knew New Zealand inside out. Slowly but surely our guides, Air New Zealand and New Zealand itself worked their charm. We showed them all the awesome places, friendships were formed and our sceptics began to believe that New Zealand truly is an incredible holiday destination.

The show consistently reinforced our key message that even the biggest of sceptics would be transformed by a holiday to New Zealand, proving to our audience that New Zealand wasn’t a trip they should continue to put off.

Telling the world

We created an online hub on Ninemsn, so everyone could see the Kiwi Sceptics come out of the closet as lovers of everything Kiwi. The hub provided people with more information about the Sceptics’ itineraries as well as flight information and special New Zealand travel promotions.

Press and banner ads pulled people into our content and our ‘Dob in a Sceptic’ social campaign helped people to share it around. Our episodes were also broadcast in cinemas and on YouTube. We also used our former Kiwi Sceptics as spokespeople to preach to their ‘Kiwi Sceptic’ brethren in Australia in PR and advertising.

Creating a special winter edition

Given the success of our earlier episodes, Air New Zealand launched a special Winter edition featuring Lara Bingle as the Kiwi Sceptic. Given Bingle had no interest in New Zealand and had even been used to promote another destination, we would have a challenge on our hands. But Bingle was blown away by Queenstown where her guide showed her the best of what New Zealand skiing had to offer. Not only was the episode released online, but Bingle’s Channel 10 reality show Being Lara Bingle integrated her involvement with Kiwi Sceptics into the storyline of two episodes, reaching an average audience of 706,000.

Lara Bingle

Results

1. The campaign has already generated a significant ROI

We have already seen an ROI of over two dollars per advertising dollar spent. This revenue is directly attributable to the campaign, as it has all been measured by retargeting those who have seen the campaign with travel offers for Air New Zealand.

The tactical sale campaigns, which supported the campaign, saw Air New Zealand break its own records for revenue recorded in Australia.

Furthermore, the nature of the tourism and airline industry means that campaign effectiveness usually needs to be evaluated over the six-month post-campaign period. The campaign only came to a close in April, so we expect to see the ROI significantly increase in the future when we have the opportunity to do further campaign analysis.

2. The campaign pulled in a huge audience

The episode views reached 922,000 on Ninemsn and YouTube. The campaign also saw us generate over 20,000 additional Facebook fans, an increase of 66%. Furthermore, Lara Bingle’s New Zealand story was featured on her reality TV show, which pulled in an additional 706,000 viewers. The campaign has generated over $818,000 worth of PR coverage.

3. The campaign enhanced the appeal of New Zealand and Air New Zealand

The appeal of ‘feeling positive towards New Zealand as a holiday destination’ peaked at 53% during the campaign. The brand preference score for Air New Zealand peaked at 48% during the campaign.

But perhaps our proudest achievement of all is that we managed what many in Australia would consider nigh on ‘impossible’. We found the biggest Kiwi Sceptics in the country and turned them into New Zealand’s biggest fans.

cmw13

 

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Ride the Hobbit plane to Middle Earth with Air NZ

Air New Zealand will label itself the ‘official airline of Middle Earth’ and roll out Hobbit-branded aircraft as it throws millions of dollars into marketing around upcoming films based on J.R.R. Tolkien’s The Hobbit.

Marketing UK reports that the airline has signed a two-film deal with New Line Cinema and Metro-Goldwyn Mayer for the big screen adaptation of the fantasy novel, taking a leaf out of Brand Australia’s book after its global push behind Baz Lurhmann’s film Australia.

Initial activation of the deal will see two Boeing 777 airliners fitted out with Hobbit-inspired trimmings to act as ‘flying billboards’ on routes between the UK and North America. The activity will be supported by experiences and competitions, executed via social media, and a new passenger safety video.

It’s not the first time Air New Zealand has used the Middle Earth positioning, having been involved in a similar partnership for The Lord of the Rings trilogy, which lured droves of tourists to the film’s picturesque setting.

Mike Tod, general manager, marketing at Air New Zealand, says New Zealand is established as the home of Middle Earth and Air New Zealand will bring the magic to life for travellers.

“This partnership follows on naturally from the success of Air New Zealand’s relationship with The Lord of the Rings trilogy in raising New Zealand’s profile as an international travel destination,” Tod says.

Like the final book in the Harry Potter series, The Hobbit’s single book instalment is being split into two – The Hobbit: An Unexpected Journey and The Hobbit: There and Back Again. Directed by Peter Jackson, the series will debut in December this year.

 

Air New Zealand trials ‘cash for conversion’ social media scheme

Air New Zealand is trialling a program in the UK, whereby customers who recommend the airline’s new premium economy service on social media will receive £50 cash back on their next booking.

To be eligible for the reward, customers must register and plug the airline’s premium economy service on Twitter, Facebook or other social network, or by email or blog post, and have one of their friends, fans or followers make a booking as a result of their recommendation.

The ‘Share and Earn’ program is being run to promote the airline’s new 777-300 Premium Economy Spaceseat, which has won two design awards – Wallpaper Magazine’s award for best air style and the 2011 Skytrax Award for best premium economy.

Commenting on the scheme, Air New Zealand GM for Europe Chris Myers, said:

“Since we introduced the new premium economy on the London route our customers have been sharing some great experiences with us. This is a great chance for them to now be rewarded for telling their friends and family about it.”

Created in partnership with marketing agency Digital Animal, the program trial will run until 16 May.

 

Oz consumers favourite airline

Air New Zealand and Singapore Airlines have topped customer satisfaction ratings in Australia, according to research company, Roy Morgan.

The ‘Roy Morgan Airline Satisfaction’ report is based on feedback from Australians aged 14 and over who have used airlines for international travel in the last 12 months (from August 2009 to July 2010).

Both Air New Zealand and Singapore Airlines shared the lead with 90% of the their respective consumers “very or fairly satisfied” with the service offered by each airline. Emirates followed closely with an 87% satisfaction rating, with V Australia just behind at 85%. Other airlines who rose beyond the industry standard of 75% satisfaction were Thai Airways (85%), Malaysia Airlines (85%), Ethiad Airways (81%) and Qantas (81%).

According to Jane Ianniello, international director of tourism, travel and leisure at Roy Morgan, “Air New Zealand and Singapore Airlines are vying for the lead in customer satisfaction, with Emirates in third position. It is interesting that V Australia has been able to improve its customer satisfaction ratings since May and is now fourth, receiving much higher ratings than Qantas which has remained in eighth position since May.”

Tourism New Zealand sends a million thanks to Oz

Figures released today show New Zealand hosted 1,001,880 Australian visitors between May 2008 and May 2009.

Taking advantage of these statistics, Tourism New Zealand is launching a new online campaign, ‘Thanks a Million Oz’. Offering a “Millionaire’s Holiday” (eight nights in luxury New Zealand lodges, complete with helicopter transfers), entrants are required to write 25 words about New Zealand.

“This record is an important milestone for the New Zealand tourism industry. It shows that the increased focus we have put on the Australian market over the last twelve months to offset reductions in other markets has paid off,” Tourism New Zealand chief executive George Hickton said.

Launched a decade ago, the 100% Pure New Zealand’ campaign has seen Australian arrivals to New Zealand double. Coupled with Air New Zealand’s own $2.5 million campaign, Australians now make up over 40% of external tourism and contribute around $1 billion in visitor spending.

Qantas most discussed airline brand online

Qantas is the most-blogged airline by online Australians, with more than one third of consumer discussion online around airlines focusing on it according analysis by online measurement company Nielsen Online released today.

The analysis looked at consumer-generated media (CGM) relating to the top airline carriers in the Australian market.

The data revealed that online discussion relating to Qantas was more than double that of any other carrier, followed by Virgin with a 17% share of chat and Jetstar which accounted for 15% (see Chart 1).

Looking at the most discussed topics online relating to airline travel, airline crew drew the most comments, particularly for Air New Zealand, whose in-flight team was discussed more than any other airlines’. Maintenance was also a hot CGM topic, with Qantas the most talked about airline in terms of maintenance – 4.1% of online discussion around Qantas was on the topic of maintenance.

Singapore Airlines also generated much discussion around maintenance (2.4% of online discussion).

In the area of customer service, Virgin topped the list with 2.2% of online discussion around its brand attributed to customer service, while Jetstar had around 1.9% of online discussion focused on customer service.

Online sentiment pointed to a lingering fear amongst travellers as a result of recent airline incidents.

In particular, concerns around Qantas following two mid air incidents in 2008 generated a spike in online discussion, which carried on well into 2009, with consumers attributing the incidents to outsourcing of maintenance.

Nielsen BuzzMetrics found that Emirates received the most positive discussion online – 19% of consumer sentiment relating to the airline was positive, with consumers touting service, in-flight staff, check-in and in-flight meals as the most satisfying aspects of their experiences. However, the volume of discussion relating to Emirates was one of the lowest of the airlines analysed. Similarly, although

Singapore Airlines and Air New Zealand had relatively low volumes of online discussion, the percentage of positive discussion making up that volume saw them ranked second and third respectively behind Emirates for online sentiment.

Bloggers have rank Emirates best in the air, followed by Singapore
Airlines and Air NZ. Recent airline incidents raising travellers’
concerns around air safety.

Verbatim comments sourced by Nielsen BuzzMetrics:

“On an entertainment point of view emirates and singapore airlines generally offer better in seat entertain than qantas as they allow more movies starting at any time etc.” members.essentialbaby.com.au, 27/08/2008

“Having done 4 long haul flights in the last 7 months Emirates are outstanding-from online check in till receivng baggage at end they were faultless-could teach BA/QANTAS a lot of things…” au.messages.yahoo.com, 17/06/2008

“We travel extensively internationally and domesticly – Jetstar is now our last choice for flights as they are very unreliable, we are also unlikely to use qantas again as they slipping – inflight service on international runs are very poor.” www.frequentflyer.com.au, 14/12/2008

“No one has ever said every Qantas flight is a disaster. Only that they appear to be having way too many serious issues.” aus.aviation, 01/12/2008

“I decided long ago never to fly with Qantas again due to their rude & unhelpful staff.” au.messages.yahoo.com, 21/11/2008

“But, that said, if I was on a plane like that Qantas one that had the major problems recently (where quite a lot of passengers got injured etc), I think I would find it very hard to get back on a plane again.” forums.tn.com.au, 06/11/2008

“So as far as Virgin as a carrier in general I think theyre great – good rates and great customer service (from my experience).” forums.whirlpool.net.au, 26/6/2008

Weekly Podcast: The wonderful world of widgets

Podcast

Marketingmag.com.au has teamed up with the guys at Love Digital to bring you this weekly podcast on all things digital.

In this weeks show:

  • A few years ago if somebody dropped the word widget into a
    conversation, youd probably think they were talking about a
    mechanical device they didnt have a name for. But how are widgets
    changing the face of the internet?
  • News in 90: with Kate Kendall – MySpace brands census and the top 10 business brands.
  • Top & Flop: with Gary Jaffer. The top is this clever piece for Air New Zealand and the flop is the Australian advertising industry for falling behind in SEO.
  • Interview: Interview with Will Price, CEO of Widgetbox

IAB Awards winners announced

The results of the IAB Awards are in, but well save you the press release and just show you the interesting bits – the winners. The 2008 Interactive Advertising Awards covered two streams – creative and media – across five vertical sectors. A search category was included this year for the first time and included some of the highest scoring campaigns in both rounds of judging.

Best of Show Winner

Creative Winners

Category one: Automotive

Category two: Consumer goods

Category three: Financial services

Category four: Travel, entertainment and leisure

Category five: Fusion

Media Winners

Category one: Automobile

Category two: Consumer goods

Category three: Travel, entertainment and leisure

Category four: Fusion

Category five: Financial Services

Inaugural Search Winner