The Total Media Christmas Special Newsletter brought to you by the Insight Team
HOW WILL CHRISTMAS 2011 BE REMEMBERED?
For many retailers and market sectors,
Christmas is a critical period for business growth, but with consumer
confidence at an all-time low and increased pressure on the cost of living,
what will Christmas 2011 bring?
Forty five
percent of people plan to buy gifts for fewer people and 37% plan to buy fewer
presents. Women are far more likely to
be belt tightening, with half of them planning to buy for fewer people and 41%
buying fewer gifts over all. However,
women place far more emotional investment into gifting, with 74% agreeing that
it is the effort rather than the price, compared with 58% of men.
Traditionally retailers focus on women and housewives at this time of year,
but men are far less likely to modify their spending behaviour as a result of
the recession, with 33% saying it has had no effect on their Christmas spending
(compared to 23% of women). Men are far
less concerned with minimising waste, with just 36% planning to buy less food
and drink this year compared with 46% of women. Men seek convenience and ease
when it comes to gifting. They are less price sensitive (77% consider price
important vs 85% of women) and they invest far less emotion into gifting - just
62% claim to get a great deal of joy out of the act of giving compared with 78%
of women.
They are also
more likely to spend as little time as possible (31% vs 19%) and put less
effort into thinking about what the recipient would like (68% vs. 84%). Gifting represents so much more than the
exchange of presents. Giving directly benefits the emotional and social
wellbeing of the giver and the experience itself is important as 60% of people
want to be with the recipient when they open it.
PRESS
Santa Claus has been banished from the cover of the Radio Times Christmas issue this year,
over fears he would be viewed as a "symbol of over-indulgence" as
households struggle in a faltering economy.
The two-week festive edition of the magazine, which brings in about £2m
in revenue and has a print run of close to 3m, instead features a "flowing
festive illustration" that better reflects the sentiment of austerity
facing consumers this Christmas.
The Radio Times said that the illustration by artist Kate Forrester – who
has handled work for clients including John Lewis and Penguin Books – is
"nostalgic and beautiful to lift the spirits in troubled times".
"For many years Santa has been a cheery fixture … but somehow that
didn't feel right this year," said the Radio Times editor, Ben Preston.
"Would Father Christmas be seen as a bloated, red-faced symbol of
over-indulgence? At a time when so many people are hunkering down with friends
and family and turning their backs on extravagant gift-giving, we wanted
something different."
Despite the magazine's sensitive view towards its cover image, buyers are
being asked to swallow a 4.2% cover price rise.
The publisher has developed something of a tradition of dropping Santa
when times have been tough. Following
the infamous Black Wednesday in 1992 he was replaced with a snowman. He also
disappeared from the Christmas cover when the dotcom bubble burst in the early
2000s; in the year of the 1926 general strike; after the 1929 stock market
crash; after Britain was bailed out by the IMF in 1976; and during the 1981
recession.
On a lighter note, our congratulations go out to Guardian Media who have
won Campaign’s media owner of the year 2011. The Guardian were recognized as a
newspaper brand that has not only adapted well to the impact of digital with
20% share of revenue , but also for growing it’s print share and also continues
to break the most innovative insightful journalism around.
TELEVISION
Having recovered from the news of Father
Christmas being removed from the Radio Times cover, a further perusal will tell
you that Christmas day on TV will throw up a particularly interesting dilemma.
No it is not the agony of choosing to watch The Queens speech or Aladdin
(Aladdin every time).
It is in fact the dilemma of either
watching BBC’s usual line up of Christmas specials which this year will be the
annual Eastenders episode and 9pm followed by a brand new Absolutely
Fabulous at 10pm OR will you rebel against the BBC and
instead tune into the ITV’s 2 hour long special of the hugely popular Downton
Abbey?
This is the first time that ITV has gone head
to head with the BBC regarding the timing of their Christmas specials, &
with the recent shift of the Saturday night Crown to Strictly which received
record viewing this year we will be watching this one with some scrutiny. A
quick vote around the office indicates ITV may take it with 67%, but the real
result will be in the viewing data so watch this space!
Beyond 2011 TV is a hot topic for
discussion as we move towards a connected viewing experience and our TV team
never short of an opinion have posted their perspective on one emerging aspect
of this – addressable advertising. Definitely
worth reading over a mince pie and sherry! http://www.totalmedia.co.uk/insights/blog/153
RADIO
It’s been a great year for commercial radio with listening figures up 2% and 9 in 10 of the UK tuning in at least once a week. Digital listening hours have also broken through the 300 million mark for first time, with 28.2% of all radio listening now via a digital receiver.
Very much the theme as we move into 2012 is the transition from ‘radio’ to ‘audio’ where the growth in online listening and the flurry of new digital platforms has created a vast array of opportunities to connect with new listeners in different ways. Next year should see the online radio market heat up as We7; a free to user, ad-funded service who differentiate against paid for subscription models such as Spotify are embarking on a branding and awareness campaign with a TV ad seeking to position the brand as a ‘personal DJ’ . The campaign will also be promoting We7’s library of 10 million tracks and the availability of the service via mobile applications.
To mark this shift Absolute Radio are to host a digital event at the Houses of Parliament on January 12th 2012 in conjunction with Ed Vaizey - Minister for Culture, Communications and Creative Industries. ‘Redefining Radio’ – How the internet is transforming radio will showcase thought-leadership from key players within the digital & audio industry including speakers from the BBC, Radioplayer, Facebook, Absolute Radio and broadcaster, writer and comedian Dave Gorman – with more speakers to be announced.
For the first time ever Radio 5 Live will be teaming up with the commercial Industry to produce a 2 hour Christmas Day special looking back on the highs and lows of 2011 so tune into that if you remember, although in keeping with the Industries digital developments I’m sure there will be plenty of places to catch it after if you can’t escape the sofa!
And finally good to see also radioland or should say ‘audioland’ adding to the Christmas cheer with Christian Radio having signed up nearly 20,000 people to take part in a Carol Singing World Record attempt on 18th Dec! There’s still time if you want to get involved by going to www.christmasstarts.com for more information.
OUTDOOR
Time Out, the listings magazine, is to use the digital screens on the
London Underground to broadcast regular recommendations of things to do in the
city, through a partnership with CBS Outdoor. The "digital advertorials" will run on 60 digital cross-track
projector screens in London Underground station across the city and will serve
recommendations including theatre, exhibitions and restaurants.
Every other day, from today, Time Out will provide recommendations for the
theatre, exhibition and events on Sunday and Monday, films on Tuesdays and
Wednesdays and bars and restaurants from Thursday until Saturday.
Ben Cordle, marketing manager at Time Out, said: "London is one of the
most dynamic and constantly evolving cities on the planet, where the option of
things to do is ever-changing and almost infinite. Jason Cotterrell, country director at CBS
Outdoor UK, said "Our XTP format and network already stands out as the
only full motion digital display in London, now it can offer even more relevant
and exciting content. "This
campaign brilliantly utilises the unique dwell time of cross-track advertising,
providing these urban consumers something genuinely engaging and useful for
them on the busy journeys around the capital."
DIGITAL
Broadcasting regulator Ofcom's
International Communications Market Report says people in the UK watch more TV
online, use the internet on their mobiles more often and play more games on
their phones than people in other countries.
The research found over a quarter (27%) of
UK internet users said they watched TV online every week – up 3% from the 2010
survey and higher than any of the other countries surveyed. 8 of 10 UK internet
users (79%) said they had ordered goods or services online, higher than any
other country, and UK internet users were more likely to visit retail websites
online than other countries– 89% had done so in 2011.
The study found the proportion of the
population owning smartphones nearly doubled in the UK between February 2010
and August 2011, up from 24% to 46% and higher than the other European
countries surveyed.
Ed Richards, chief executive of Ofcom, said:
"Across the globe, people are embracing e-commerce and social media with
enthusiasm.
CINEMA
2011 was the year 3D took off in UK cinemas
with a raft of blockbusters rolling out the format attracting a higher premium
in return for a more immersive experience. Although early days still for 3D
advertising, next year could be a turning point for brands in this space as
research starts to emerge which supports deeper brand recall and engagement.
James Stewart, a leading producer of stereoscopic 3D commercials shared data
recently showing that audiences exhibiting 92% total recall of a 3D ad, with
68% of that number showing a higher likelihood of following through with a
purchase of the product advertised – a significant increase over the same
commercial in 2D. Whether this turn out
to be the case for mainstream brands and advertisers only time will tell.
EDITED BY THE INSIGHT TEAM
Daily Mail &
General Trust (DMGT), the publisher of the Daily Mail, has reported a 15% fall
in pre-tax profits to £146m, after its bottom line was hit by a price promotion
for The Mail on Sunday, following the closure of the News of the World. DMGT,
which also publishes the national daily title Metro, as well as more than 100
regional newspapers, reported revenues of £1.97bn in the year ending 2 October
2011. Pre-tax profits fell from £146m to £125m. Profits were hit by a number of
factors, including higher newsprint prices, a tough advertising market, price
promoting The Mail on Sunday, and a £42m one-off exceptional charge relating to
the group moving its print operations from Surrey Quays to a new site in
Thurrock, Essex. The Mail on Sunday dropped its price from £1.50 to £1,
following the closure of the News of the World, and also launched a major DM
campaign, as it looked to capture its readers. Across its UK national newspaper
unit, Associated Newspapers, operating profits fell from £89m to £76m, while
revenues were down from £883m to £862m, partly due to lower display revenues
from the Daily Mail and The Mail on Sunday. Circulation revenues across the
Mail titles fell by 2% to £343m, partly due to the temporary price discounting
by The Mail on Sunday, as it looked to lure in News of the World readers. It is
thought that executives at DMGT had hoped to attract more readers to The Mail
on Sunday, than proved the case. (Source: Campaign Live)
TELEVISION
Hundreds of Facebook and Mumsnet users have hit out at the
Littlewoods Christmas ad, with over 300 visitors to the parenting website
calling for the ad to be banned. The ad, created in-house, features a nativity
play with children rapping and singing about their presents bought by their
mums. Since the ad launched at the start of this month, a number of threads
have developed on the parent networking site calling for the retailer's
Christmas ad to be banned. To date, over 400 posts on the Mumsnet site have
voiced their antipathy towards the ad, with complaints such as the ad is
fuelling consumerism. No official campaign has been launched by Mumsnet itself
and not all comments in the thread are negative. Littlewoods had started
removing negative comments about the ad from its Facebook page. The retailer
has denied this, saying Facebook sometimes marks comments as spam. Additionally,
a petition "to ask Littlewoods to stop spoiling Christmas with their TV
advert" has sprung up on Facebook and has so far received 281 likes. The
ASA has posted a comment on the wall of the group saying there are
"insufficient grounds" for intervention because it does not breach
its Code. (Source: Mediaweek)
Channel 5 has revealed that close to two million votes were
cast during 'Big Brother' and 'Celebrity Big Brother'. Some 1.5 million votes
were cast during nine weeks of 'Big Brother ', 47% of which were through the
'Big Brother' Facebook app. Channel 5 received around 500,000 votes for
'Celebrity Big Brother' through its telephone services. 'Big Brother'
contributed to a 25% boost in Channel 5's evening audience while it was on air.
Channel 5 secured a number of deals around 'Big Brother': the sponsor was the
skincare brand Freederm, Domino's Pizza created an eviction-night pizza and
Touchstone Pictures held the world premiere of 'Paranormal Activity 3' in the
house. (Source Brand Republic)
RADIO
Spotify has reached 2.5 million paying customers, as the
company continues its subscription drive. The digital music service has
accelerated uptake of its paid-for services this year to help it in its
negotiations with record labels, as it capitilises on a successful US launch
and a close integration with Facebook. As part of this strategy, it scaled back
its free service in May, halving the amount of free music users can listen to.
It currently offers two levels of paid-for premium subscriptions and an
ad-funded free digital music service. Rival service We7 has adopted a different
approach, boosting its ad-funded service as part of a relaunch. The news comes
as Spotify continues its international expansion. Last week the service
launched in Belgium, Switzerland and Austria, taking it to 12 territories
around the world. (Source: Mediaweek)
UK Radioplayer, the cross-industry online radio player, has
created two new apps to make it easier to listen to UK radio stations, as it
announces that Splash FM has become the 300th station on the platform. UK
Radioplayer is a joint industry initiative devised to create a single online
player for all Ofcom-licensed radio stations and has grown from 157 stations at
launch in March, to 300 with the addition of Worthing-based Splash FM. The
first app installs Radioplayer onto the start menu of a PC, Mac or Linux
computer and lives in the Start menu to allow users to launch the Radioplayer
with one click, even if a browser is not open. The second app adds a
Radioplayer widget to the top of Google's Chrome browser. These apps will sit
alongside the existing Facebook Radioplayer app. Radioplayer hopes they will
lead to commercial tie-ups with computer manufacturers and retailers to
"pre-install" Radioplayer on to computers. Radioplayer had 6.7
million unique users in August, according to the latest figures from
Radioplayer, which showed the service experiences peak traffic around 9am when
people get to work. Digital platforms' share of radio listening hit its highest
level to date (28.2%) in the third quarter of 2011, according to Rajar, while
internet listening was 3.7%, up from 2.8% in the same period in 2010. (Source Brand
Republic)
DIGITAL
Starbucks, the coffee chain, is installing a mobile payment
system in the form of an iPhone app into 700 of its outlets across the UK and
Ireland, following a successful US roll-out. The Starbucks app will be
available for iPhone and iPod Touch users from 5 January and allows consumers
to pay for their items through their phone with the aim to reduce transaction
time by around 10 seconds. Consumers who own a registered Starbucks Card, part
of the chain’s loyalty programme, will be able to link the balance on their
reward card to the Starbucks app. Each consumer with a reward card will be
given a unique barcode that will appear on the app and can be scanned at the
till. Starbucks first launched the app in the US earlier this year across 6,800
stores, which have since processed more than 20 million mobile transactions.
Brian Waring, vice president, marketing and category, Starbucks UK and Ireland,
said: "We wanted to find a way for them to pay in the quickest way
possible. Because our customers want it, we have created our own custom-built
mobile payment technology rather than waiting for the near field communication
technology which is currently not widely available.” (Source: Marketing)