Key Insights to Kickstart Your Week: Long-Term Investments, Retail Promotions, and Festive Advertising

Marketing leaders focused on long-term brand-building amid turbulent times

A majority of UK marketing leaders (84%) allocate at least 60% of their budget towards long-term strategies like brand-building. In fact, almost half of them (around 40%) invest 80% or more of their budget in long-term initiatives.

According to the survey, the majority (84%) of UK marketers feel they have achieved a suitable balance between short-term returns and long-term brand building in their marketing efforts. Furthermore, a significant portion (46%) strongly believe that their CEO and CFO recognize the value of investing in the brand for the long-term.

UK marketing leaders are confident in their approach of prioritizing long-term brand building. However, they also believe that they have been disproportionately affected by the ongoing macroeconomic turbulence. According to nearly 70% of UK marketing decision-makers, their industry has suffered more compared to others in recent years.

In addition to economic concerns, marketers are also focused on addressing sustainability and diversity, equity, and inclusion issues. Approximately 40% of marketing leaders agree that supporting diversity, equity, and inclusion in society is a vital aspect of their brand's identity.

According to a study conducted by GfK, it was revealed that 38% of marketing leaders in the UK believe that addressing sustainability and environmental protection is expected by customers. However, this percentage is lower than the proportion of consumers (73%) who expect companies to take environmentally responsible actions.

Over half of retailers planning to offer steeper discounts this festive season

Over half (54%) of UK retailers are planning to offer steeper discounts in the 2023 festive season. Retailers expect their price cuts will average at 23%.

Retailers are optimistic about the upcoming festive season, with 83% anticipating a boost in sales. Around 31% believe sales will increase significantly, despite the challenging economic climate. Nevertheless, retailers are concerned about the impact of online ecommerce giants such as Amazon and Etsy, with 55% expressing worry that these platforms are negatively affecting their sales.

The research also examined the attitudes of consumers in the UK and US. Only 16% of UK consumers plan to increase their spending this holiday season compared to the previous year. In contrast, 32% of US consumers expressed the same intention. According to the research, consumers prioritize deals when shopping for Christmas presents, which may be influencing retailers' decision-making for the holiday season. Nearly 38% of consumers prioritize finding deals during their festive shopping.

Source: Fiverr

Consumer anticipation for Christmas ads reaches three-year high

According to research conducted by Bynder, consumer excitement for Christmas campaigns is reaching its highest level in three years, as retailers and brands begin to unveil their holiday advertisements. The study, which analyzed Google Search data, reveals a notable 6% increase in searches for "Christmas advert" in 2023 compared to the previous year. Bynder's analysis further predicts that there will be approximately 67,840 searches for this term in the UK during the month of November.

In 2016, the search term "Christmas advert" reached its peak with over 120,000 searches. However, this year has seen a significant decrease in searches compared to 2016. Last year and this year, there were only 54,000 searches for "Christmas advert."

Furthermore, the research reveals the most anticipated Christmas ads. John Lewis, renowned for its festive ads, is the top searched brand. Asda takes the second position, having topped the effectiveness rankings last year with its ad featuring Buddy the Elf.

Aldi is in third place, as its series of festive ads featuring brand character ‘Kevin the Carrot’ continue this year.

Source: Bynder

Less than one in 10 women think brands are doing ‘very well’ at catering to menopause

A mere 7% of women between the ages of 35 and 60 believe that brands and retailers are excelling in their efforts to cater to individuals going through menopause. Interestingly, 45% of women feel that they are performing reasonably well in this regard. However, these statistics clearly indicate that there is ample room for improvement in this particular area.

Less than 20% of the respondents mentioned observing advertising or marketing materials targeted specifically at menopause-related products. This marks a 10 percentage point increase from the levels recorded in 2000.

Among the women surveyed who were aware of this advertising, a notable portion of 26% consider it "uninspiring". Conversely, nearly half (45%) refer to it as "informative".

Nearly half (46%) of the women surveyed find that advertising aimed at their age group does not accurately portray their own life or that of their friends. Similarly, almost equal proportions feel that the advertising lacks inspiration (45%), is outdated (43%), and is not relatable (41%).

When it comes to the product categories in which surveyed women believe brands could improve, nutrition and supplements (63%) and feminine care (58%) are ranked the highest.

Source: IPA and GenM

Mail attracts ‘undivided attention’ say almost two-thirds of recipients

According to a study conducted by WARC and Royal Mail Marketreach, nearly two-thirds (63%) of recipients find that mail captures their undivided attention.

The engagement rate of mail marketing seems to be remarkably high, as 80% of recipients open mail in envelopes. On average, recipients view each piece of mail just over twice during the week it was received, and nearly three-fifths (58%) choose to keep it for future reference.

According to JICMAIL analysis, business mail captures recipients' attention the longest (150 seconds), followed by direct mail (108 seconds) and partially addressed mail (65 seconds). In terms of its effect on the funnel, the research reveals that a typical piece of mail convinces 16% of recipients to contemplate the brand. Additionally, nearly one in 10 individuals are motivated by mail to take action, such as visiting a store or website. On average, 5% of mail ultimately results in a transaction.

Source: WARC and Royal Mail Marketreach