Loyalty programs not keeping Aussie shoppers faithful

A new study has found that 88% of consumers over the age 16 belong to a loyalty program  of some kind and that Coles Flybuys came out on top when respondents were asked who was doing a ‘doing a particularly good job’. However less than half feel more loyal to the brand despite being a member of their program.

The results come from a new report called For love or money? 2013 consumer study into Australian loyalty programs, commissioned by strategic marketing company Directivity and digital agency Citrus and conducted by First Point Research and Consulting, and has found that although loyalty programs influence buying behaviour, they don’t equal customer loyalty.

An online panel of more than 1,000 consumers of men and women aged 16 and over were surveyed in February this year about their loyalty program habits. Men were found to be members of fewer programs than women (on average three compared to five), but they’re more active with their memberships, with 49% presenting their card upon purchase compared to 41% of women.

Points-based programs where members can redeem points for vouchers, products or other rewards were the second most popular benefit.

Adam Posner, CEO of Directivity says, “Basic monetary rewards give brands a ‘ticket to play’ in the loyalty game but the real opportunity lies in building deeper engagement with members through more personally relevant, unexpected and emotional rewards.”

“This plays out in the research which shows surprise rewards such as a gift on your birthday, exclusive offers or special experiences go a long way to overcoming the belief that programs don’t offer any real value,” Posner says.

Older Australians in particular those aged 55 and over buy more than younger consumers and choose to buy from companies who have a loyalty program over those who don’t. However they also believe more strongly that programs don’t offer any real value.

Citrus CEO Peter Noble says Baby Boomers are extremely valuable to marketers today.

“Loyalty marketers shouldn’t dismiss this older age group given their higher propensity to spend, but need to work harder to offer greater value,” he says.

Having a tiered rewards program such as gold/silver/platinum memberships based on the amount you spend wasn’t as popular with consumers, with only 36% saying they were very important.

“Ultimately financial rewards win the day for consumers and is the main motivation for joining loyalty programs,” Noble said. “But a winning program is one that also has multiple emotional and unexpected benefits creating an element of ‘surprise and delight’ and tailoring offers based on consumer needs and preferences,” he says.

Australia’s top 10 loyalty programs

The most mentioned loyalty programs cited by respondents as ‘doing a particularly good job’:

1.       Coles Flybuys

2.       Woolworths Everyday Rewards

3.       Qantas Frequent Flyer

4.       MYERone

5.       Priceline

6.       Virgin Velocity

7.       CBA credit card

8.       IGA

9.       Millers

10.   Spotlight

Aussie creatives win big on global stage at IAB MIXX Awards

Australian creative agencies have proven their might on the global stage, taking out three golds, four silver and one bronze award at the eighth annual IAB MIXX Awards in New York overnight.

Whybin\TBWA\Tequila had the best showing taking home all three of the gold awards and one silver, for its NRMA Car Creation execution for Insurance Group Australia, at the event which celebrates creativity in digital advertising.

Leo Burnett Melbourne, George Patterson Y&R Sydney and Droga5 also picked up gongs taking home two silver, one silver and one bronze respectively.

CEO of the IAB Australia, Paul Fisher, says it was immensely satisfying to see so many Australian campaigns presented as finalists and for eight out of 10 of them to win was brilliant. “It was a fantastic showing by Australian digital creative on a truly global stage at one of the world’s most prestigious awards nights.”

Australian campaign entries made up 10 of the 111 finalists from 30 countries across the 27 award categories this year.

The full list of Australian finalists and winners are as follows:

Branded Content – Single execution:

- Australian Bureau of Statistics, Leo Burnett, Spotlight – finalist

Cross-Media Integration – Campaign:

- Insurance Australia Group, Whybin\TBWA\Tequila,  NRMA Car Creation – GOLD

Digital Out-Of-Home – single execution:

- Insurance Group Australia, Whybin\TBWA\Tequila, NRMA Bus Shelter – SILVER

Public Service/Not For Profit:

- NGIA, VML Australia, Improve your plant/life balance – Finalist

- St Vincent de Paul Society, George Patterson Y&R Sydney, Signed Finds – SILVER

- Mars Petcare, Whybin\TBWA\Tequila, The Pedigree Adoption Drive – GOLD

Direct Response and Lead Generation – Campaign

- Insurance Group Australia, Whybin\TBWA\Tequila, NRMA Car Creation – GOLD

Online Commercial – Single Execution

- Kraft’s Boost, Droga5 Australia, Moreing – BRONZE

Experimental and Innovative – Campaign

- Giant Bicycles, Leo Burnett Melbourne, Everyday rider Sponsorships – SILVER

Social Marketing – Campaign:

- 7-Eleven Slurpee, Leo Burnett Melbourne, BYO Cup Day – SILVER

Campaign and single execution winners in the 27 categories were announced after a competitive process judged by a panel made up of ad agency executives, marketers and major media brand leaders.

The MIXX Awards is the only competition in the US that evaluates all key facets of interactive marketing – including strategy, creative development and execution, media placement and integration, effectiveness and ROI.

 

IAB Awards 2012 winner – Spotlight

Winner: Best in Show; Brand Awareness & Positioning; Brand Destination Site; Rich Media & Digital Video

Execution: Spotlight (spotlight.abs.gov.au)

Client: Australian Bureau of Statistics

Agency: Leo Burnett

Its a winnerBackground

The Australian Bureau of Statistics (ABS) carries out a national Census every five years. The data that it collects is critical in guiding future decisions pertaining to education, healthcare, transport and the environment. It therefore needs to collect as much and as accurate data as it is able to in order to make a real difference when it comes to shaping future government decisions that affect each and every Australian.

The ABS realised that many citizens saw the Census as little more than an irritating obligation affecting participation rates and consequently the quality of the data. This was particularly noticeable among Gen Y, who not only shared the general population’s apathy, but more worryingly were choosing not to participate at all. One of the biggest problems was that people didn’t understand how the data collected by the Census relates to and affects their own lives.

Objectives

The ABS wanted a solution that would demonstrate to the general population, but specifically targeted at Gen Y, that the Census is more than just a bureaucratic exercise. The key requirement was for the campaign to illustrate how engaged participation in the Census could have personal benefit to the individual. The goal was to make data feel tangible and relevant to everyone and thereby drive interest in the Census.

As the campaign target was the previously disengaged and largely apathetic Gen Y, it also needed to use both tone of voice and a platform to connect with its main audience and move away from traditional government awareness campaigns.

Strategy

The idea behind Leo Burnett’s campaign was a simple one. It sought to engage people by showing them how their Census data could influence decisions that would shape their community and the future of Australia.

As with all simple ideas, however, it was the execution that really set the campaign apart. Leo Burnett knew that the target audience had little appetite for more facts and figures about why they should participate in the Census and that they would be difficult to target, especially via traditional means.

So, instead of telling people about the benefits of participation, it chose to create an experience that was tailored for them. This took the form of ‘Spotlight’, a personalised interactive film using existing Census data to create a story about each visitor to the site. This provided an engaging visual illustration as to how the data collected by the Census relates to the individual and how it is used to make a real difference to government decisions that affect their lives.

 

Execution

The heart of the campaign was a Spotlight m-site, personalised film and related social media activity. The film uses real data from the 2006 Census to create the highly personalised animated film. Customised infographics within the film tell the story of ‘you’ – depending on the information you provide as to how old you are, what you do, where you live and where you come from. It has 20 different points of customisation, so provides a truly personal and variable experience for each visitor.

In order to drive awareness in the target audience after Spotlight was launched, social media was heavily relied on for building traffic to the site.

Spotlight was seeded with influential bloggers, appropriate sites and on Twitter, as well as through the Census’ own social channels. A bespoke sharing mechanism was built into the site, so that after users completed their Spotlight experience, a unique selfportrait infographic of their Census data was created, which could be shared across Twitter and Facebook, attracting more visitors to the site and building momentum for the campaign.

Key to the success of the campaign was the tone of voice used. It was important to both the client and the successful execution to keep it as far as possible from feeling like a standard government communication. The film was voiced by well-known comedian and TV presenter Shaun Micallef and employed both humour and a touch of edginess to fully engage with its audience. Raw data was presented as more relatable scenarios illustrated with quirky and fun animation.

The experience was also made fully accessible for all users by concurrently developing an alternative version that made the same content available to the highest accessibility standards.

Spotlight infographic

Results

Within weeks, and with no paid media support, the government website about statistical data was visited by more than a quarter of a million people, each spending on average more than four and a half minutes with the content. More than 37,600 personalised infographics were generated and shared online with over 61,500 views and 4500 likes. Although at the time of judging the 2011 Census data itself was yet to be released, more than half of the visitors to the site were from Gen Y, suggesting a much improved level of engagement.

In the Brand Awareness and Positioning category, the way the campaign focused on the experience of the individual and not about the Census itself was admired. As one judge noted it was a, “fantastic way to make a dry subject matter very relevant for the target audience”. The traction to the site and engagement with it on the back of little or no media spend was also lauded.

 

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IAB Awards: Leo Burnett shines for taming ‘confusing mass’ of Census data

Leo Burnett Sydney’s ‘Spotlight’ campaign for the national Census scooped the pool at last night’s IAB Awards, taking home three gongs as well as the prestigious ‘Best in Show’ title.

‘Spotlight’, commissioned by the Australian Bureau of Statistics to increase participation rates in last year’s Census, picked up top prize in the ‘Brand Awareness & Positioning’, ‘Brand Destination Site’ and ‘Rich Media & Digital Video’ categories, as well as the best in show honour.

The judges praised the campaign for answering the brief with a creative solution that made the “confusing mass of Census data relevant and interesting to a very hard to impress audience”.

View: Marketing’s case study of ‘Spotlight’s’ interactive film that personalised Census data to engage the public in the process.

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Twelve other agencies were announced as winners at the Sydney Town Hall awards ceremony last night, including Ikon Communications who snared two awards – ‘Social Media Marketing’ for its Coca-Cola ‘Share A COKE’ campaign and the ‘Mobile Platform or App’ award for its efforts on the ‘FANTA Playzone’ campaign – 303Lowe who snared the ‘Direct Response & Lead Generation’ award for its IKEA ‘Rent’ campaign and Soap Creative, who won the ‘Product Launch’ award for its Cornetto ‘Enigma’ campaign.

Whybin\TBWA\Tequila, ZenithOptimedia, The Monkeys, UM Australia, FirstClick Consulting, Nomad and George Patterson Y&R Sydney were all also recognised as category winners on the night.

Soap Creative was named the winner of the ‘Creative Showcase Grand Prix’ award for its Lynx Anarchy Invisible Ad campaign, dazzling judges with the world’s first invisible ad that allowed people to experience product first hand. Judges praised the campaign for its innovative approach and success in creating buzz while still driving a clear message to its audience.

Commenting on the pool of entries, CEO of IAB Australia, Paul Fisher, boldly predicted that in five years all media will be digital. Tongue in cheek, Fisher said, “Let’s be generous and share our skills, our ideas and our experience with those in the media industry who are less fortunate than you – those that have never worked in digital. Take pity on those that suffer each day as they battle the limitations of 30 seconds, column centimetres, inside back covers, sides of buses, popcorn buckets and the back of shopper dockets.”

Spotlight, along with Soap Creative’s Grand Prix winning campaigns, will go on to seek more honours abroad by being entered into the US MIXX 2012 Awards. The campaign has already attracted international attention, winning a Gold Cyber Lotus at Adfest 2012, Silver and Bronze awards at the Spike Asia awards and a Bronze World Medal for online design at the New York Festivals International Advertising Awards 2012.

The night’s winning campaigns will also be presented at inaugural IAB Awards Case Study Showcase events in Sydney and Melbourne in August, as well as featured in Marketing magazine’s August issue.

News Australia Sales was the major sponsor of the 2012 awards, which were also supported by AD2ONE, AdapTV, BBC.com, eBay, Facebook, Fairfax Media, Google, Gruden, MediaMotive, Mi9, realestate.com, Telstra Advertising Network and TressCox.

2012 IAB Australia Awards Winners

Category:  Brand Awareness & Positioning
Category: Brand Destination Site
Category:  Rich Media & Digital Video
Category:  Best of Show

Leo Burnett, Sydney – Spotlight; Australian Bureau of Statistics

http://www.thanksforclicking.com.au/spotlight/

Category: Direct Response & Lead Generation
303Lowe- Rent; IKEA

http://www.ikea.com/ms/en_AA/about_ikea/rent/index.html

Category: Product Launch
Soap Creative with Mindshare & Ensemble -Cornetto Enigma; Unilever

http://www.cornetto.com.au/

Category: Brand Loyalty & Retention
Whybin\TBWA\Tequila\- The Pedigree Adoption Drive; Mars Petcare

http://www.pedigreeadoptiondrive.com.au/

Category: Cross-Platform Integration
ZenithOptimedia with Holler Sydney – Kick For Your Country; Heineken

http://itunes.apple.com/au/app/heineken-rugby-clubhouse/id450375998?mt=8

Category: Branded Content
The Monkeys- The Ship Song Project; Sydney Opera House

http://www.youtube.com/theshipsongproject

Category: Search Marketing – Paid Search
UM Australia and Reprise Media – Beating the Big Four; ING Direct

Category: Search Marketing – Organic Search
FirstClick Consulting- Mission Migration; CMC Markets

Category: Social Media Marketing
Ikon Communications with Ogilvy, Wunderman & Naked Communications – Coca- Cola “Share A COKE”; Coca- Cola

http://www.shareacoke.com.au/home.jsp

Category: Mobile Platform or App
Ikon Communications with Webling, Ogilvy & Naked Communications – FANTA Playzone; Coca-Cola

http://itunes.apple.com/au/app/fanta-playzone/id476574314?mt=8

Category: Tablet Marketing
Nomad with Deepend – Wilderquest – Animal Discovery; NSW National Parks and Wildlife

http://www.wilderquest.nsw.gov.au/#/intro

Category: NFP / Public Service Category
George Patterson Y&R Sydney – Signed Finds; St Vincent de Paul Society

http://www.facebook.com/signedfinds?sk=app_222077057836752

Shining a spotlight on the census

Campaign: Spotlight (spotlight.abs.gov.au)

Client: Australian Bureau of Statistics

Agency: Leo Burnett, Sydney

Background

In 2011, the Australian Bureau of Statistics was preparing for a census: the official count of the population and its characteristics. The Australian Census happens every five years and provides data that helps guide decisions about many things that affect our lives, including infrastructure, transport, education and the environment.

Unfortunately, many people saw the Census as little more than an obligation, affecting participation rates and, as a result, the quality of information gathered. Beyond a lack of interest in the general population, the Census was facing a worrying trend of increasing under representation from several key groups. Of these undercount groups, the most significantly under represented was Gen Y.

More disturbingly, research showed that Gen Y were actively choosing not to participate. We needed to show them why the Census matters, and convince them that it’s more than just a bureaucratic exercise.

You

Objectives

The key objectives were defined as follows:

  • actively dispel the cynicism that Gen Y have towards most government initiatives,
  • increase engagement levels with Gen Y and encourage interaction in the lead-up to Census night, and
  • increase participation of Gen Y in the Census to be in line with the overall population.

The main challenge we faced was finding a way to connect with and generate interest among this audience. We knew that they would be difficult to reach through traditional means, and that they typically tune out to mainstream communications – especially messages from a government department.

Where you're from

Strategy

From a strategic perspective, we realised that one of the biggest issues with the Census is that people don’t understand how it relates to and affects their own lives. They are so far removed from the data and the decision-making process that they can’t see how their own contribution will make a difference.

The Census needed to step away from its heritage as a compulsory government initiative and stand for something aspirational – we needed to find a compelling benefit so people wanted to participate. By helping people understand the true value of the data they provide for themselves and their community, we showed them that their contributions to the Census would shape the country’s future, making participation more desirable.

We took the communications away from ‘compulsory’ to participation for a better Australia, and a better future. We also knew that statistics and data weren’t the most popular subjects on our audience’s minds. So, instead of focusing our communications on the Census itself, we focused on something we knew our audience would be interested in: themselves.

We decided to create compelling content to show them in a very real way how the Census relates to their own lives, using Census data to bring a story to life that’s ultimately all about them.

Where you live

Execution

We knew that our audience would be difficult to target, especially via traditional means. So, instead of pushing a message at them, we created a unique, talkable and engaging digital experience called Spotlight.

Launched in the weeks leading up to the Census, Spotlight is a personalised interactive film that shows how all that data relates to you as an individual.

Spotlight uses existing Census data to create a story about each visitor to the site: who they are, where they live, where they’re from and what they do.

After launch, social media was key to getting the word out and building our audience. We seeded Spotlight with influential bloggers, sites and on Twitter, and through the Census’ own social channels. We also knew that giving people a simple way to share and talk about their experience – beyond the standard ‘like’ and ‘share’ links – would be a powerful way to build our audience. With this in mind, we built a unique sharing mechanic into the site. Once users have completed their Spotlight experience, the site generates a unique infographic for them – a personalised self-portrait based on their Census data.

This infographic could then be shared across the users’ own networks through Twitter and Facebook, attracting more visitors to the site and building momentum for the campaign. The creative idea was simple: shed some light on Census night and help create a brighter future for Australia. We deliberately kept the tone of Spotlight as far as possible from feeling like a standard government communication, and bringing the content to life in an engaging way was of primary importance.

Central to this was making the data feel relevant to the user. By showing them information about themselves, and adapting the raw numbers to relatable scenarios, we were able to put Census data in a different context. We used animation and humour to keep the content fun and engaging.

We also made the experience fully accessible for all users by concurrently developing an alternative version that made the same content available to the highest accessibility standards.

Ultimately, we made as much of the experience as possible about the person experiencing it. Instead of talking about the Census, we made it truly relevant to them.

Jen's infographic

Results

Spotlight is an innovative, inclusive and inspiring idea that brings ‘your’ Census data to life. Spotlight successfully reached its notoriously evasive Gen Y target and engaged them with something they had previously been actively dismissive of. And it changed the way people look at Census data, making it relevant to them and driving interest in the Census itself. In just a few short weeks, and without paid media support, this government website about statistical data was visited by more than a quarter of a million people, each spending on average more than four and a half minutes with the content. By Census night, the site had generated 37,000 unique infographics, which were viewed more than 61,500 times and earned more than 4500 ‘likes’.

The large numbers of people coming to the site from social networks further evidences the shareability of the content.

User data from Spotlight indicates that more than half of our visitors were from Gen Y – even though they only account for 30.9 percent of the population – showing that our previously disinterested target audience were now actively engaging with us.