Вы находитесь на странице: 1из 68

MarketingMix

M E A S U R A B L E M A R K E T I N G I N S I G H T S I Vol 27 Issue No. 5/6 I 2009 I R25.00 incl. vat


[ contents ]

02 ed’s note 22 a new era in direct marketing by Rick Joubert, Vodacom


Rick explains how the introduction of smartphones, whilst a
04 legislation update by Gary Simpson, DMASA disruption force, can also be a major opportunity for
Gary looks at the pieces of legislation that will affect the marketing.
direct marketing industry.
24 personalisation by Mark Angus, Innoviate
06 the do-it-yourself corporate bailout kit by Dennis
Mark describes how personalising digital media can
Armbruster, LoyaltyOne Consulting
Dennis discusses how to fine-tune marketing plans during provide huge direct marketing benefits.
uncertain times.
26 social media and the paradigm of one-to-one
07 the skills dilemma by Debi Loftie-Eaton, selling by Alistair Fairweather, 24.com
Wunderman Alistair explains how social media can be used in direct
Debi discusses the challenges facing skills in the direct marketing to influence buying behaviour.
marketing industry.
28 tweeting yourself into an empty nest by Walter
08 how to develop an effective data strategy for your
organisation by Marco Lopes, TransUnion Pike, AAA School
Marco looks at how to get the right segmentation models Walter investigates the impact of Twitter and how it can be
from your database. used for effective marketing.

10 the real challenge of direct marketing is measuring direct marketing case studies
effectiveness by Francesco Mariola, MBTS
Francesco explains why measuring the engagement of
29 sapo direct mail
direct marketing is key.

11 direct marketing and the youth by Nadine Sharp, 30 adidas/air miles


Personal Branding
Nadine looks at how the youth market is looking for 31 unilever/microsoft/sab
one-to-one marketing.
32 betterbond/sapo
12 creative elements by Nina Daniel-Gruber, Oscar
Tango Marketing
33 lexus/mweb/unilever
Nina looks at best creative practices in relationship
marketing.
34 mitsubishi/lexus
13 best practices for e-mail by Barbara Ulmi,
GraphicMail 35 revlon/saica
Barbara details how to get e-mail marketing right and
within the law. 36 gay marketing
How to market to the influential and often wealthy gay and
15 indirect direct – the new direct? by Andrew
Ambrogioni, Action Ambro’s lesbian audience.
Andrew looks at how indirect direct fits in with direct direct.
42 expert opinion: Dr Maria Dos Santos
16 loyal publishing by Bridget McCarney, New Media Maria explains how to going green can help reduce costs.
Publishing
Bridget looks at the relationship between customer 44 expert opinion: Richard Duncan
publishing and loyalty.
Richard looks at the phenomenal growth of small agencies
and consultancies that are staffed by experienced
17 interactive marketing summit
A reportback featuring comments from some of SA’s marketers and ad executives.
leading interactive thinkers.
46 expert opinion: Benon Czornij
18 location marketing by Vincent Maher, Vodacom In the final column from hello Computer, Benon looks at
Vincent explains how location advertising is the next the measurability of online.
frontier in marketing.
48 services seta
20 facing facebook by Ryan Silberman, Popimedia
Ryan looks at how Facebook can be implemented to great A comprehensive 16-page guide to the Services SETA and
success for one-to-one marketing. its offerings.

direct > 2009 1


[ ed’s note ]

Direct marketing. An art and a science; creativity married to


measurement and driven by a focus on results. Direct marketing has
become more complex, thanks to interactive media (social networks,
blogs, mobile platforms, etc), that are allowing the brand to connect
with the consumer in new ways, and reach them where a direct mail
pack or an e-mail simply cannot venture.
The rules are changing too – legislation is making it tougher for
brands to get away with unethical practice, on the one hand. On
the other, consumers are demanding that brands respect their rights
and don’t overstep the boundaries of acceptable etiquette.
The Direct Casebook 2009 brings together the direct industry’s
thinkers and strategists, as well as a few new media experts, to drive
the focus to some of the platforms and media that are on offer, and
could be integrated into campaigns.
Some of these are not traditionally considered direct marketing
tools. But, if used in the right way, to speak to the right customer,
they can certainly go a long way to enhancing a campaign by
giving it the kind of multi-touch point consistency and presence that
can be so powerful.
What’s more, the case studies in the book allow SA’s agencies to
showcase campaigns that work. Thanks to our consulting editor,
Nici Stathacopoulos, for her assistance and smart thinking.
The Gay Marketing feature sheds light on a niche audience that Oops! In the March/April 09 issue, Marketing Mix quoted circulation
is valuable, and yet undervalued. The tips from the top are almost figures for the Top Print Performers. The figures for SA4x4 were
expected – get close to this market, understand it; the usual. But I incorrect: the figures for the corresponding previous period are actually
think what brands are missing is the pressure to do this, to actually 17 670 and not 107 329 as stated. Marketing Mix apologises for
develop a marketing strategy that addresses the gay and lesbian any confusion.
market. I think that as mass marketing recedes even further into
history, and niche markets come to the fore, so brands will have
to start recognising the power of this market (of any niche market,
in fact).
What the LGBT market also needs is real research data. In an
ideal world, census studies ask one important question to define the
sexuality of respondents, so that nationalised, independent and Workshop dates
consistent data becomes available. But until the research fraternity

can be convinced that there is a market in this niche, and until it CRM Masterclass: 18 June 2009

can get the funding to carry out such research, we’ll remain far Young Adult Communications Workshop: 24 June 2009

from that ideal world scenario. Don’t get me wrong: the existing 2nd Mobile Marketing Summit Joburg: 20-21 July 2009

research in this market is doing a fine job, but I still want to see 2nd Mobile Marketing Summit Cape Town 23 July 2009

niche markets becoming more prominent in marketing thinking. OTC Pharmaceutical Marketing Workshop: 12 August 2009

Maybe I’ll challenge the research gurus when I attend the SAMRA Digital Marketing Masterclass: 24-27 August and
conference! 4 September 2009

Happy reading!

proprietor and publisher:


editorial staff Systems Publishers (Pty) Ltd.
1st floor, North Block, Bradenham Hall, Rivonia
publisher: terry murphy
T e l : (011) 234 7008
consulting editor: nici stathacopoulos
managing editor: michelle sturman © 2009 Systems Publishers.
The opinions in this publication do not necessarily represent the views of
editor: fulvia becatti the publisher
advertising sales: lethabo tloubatla Printed by: ContiPrint

layout: spencer van graan

2 direct > 2009


[ legislation ]

getting to grips
with legislation
By Gary Simpson, Direct Marketing Association of South Africa

This report covers the following aspects relative to legislative issues than
directly affect direct marketers:

 Laws (Acts and Bills) which affect direct marketers


 Consumer Protection Bill – an update
 Protection of Personal Information Bill – an update
 Database sub-committee report – an update
 Call Centre ‘Best Practice’ sub-committee report – an update
 The DMASA Code of Conduct.

Laws (acts and bills) that directly


affect direct marketers
The DMASA has identified 12 different Acts and Bills that directly affect
direct marketers. Recent press exposure highlights the obvious ones such
as the Promotion of Access to Information Act No. 2 of 2000, the
Electronic Communications and Transactions Act No. 25 of 2002, the
highly publicised National Credit Act No. 34 of 2005, the Consumer
Protection Bill and, finally, the Protection of Personal Information Bill.
But, this only equates to five pieces of legislation. The DMASA has
identified a further seven pieces of legislation it feels direct marketers
should be aware of. The purpose of this report is not to take you through
the content of all 12 pieces of legislation, but rather to highlight to you
that they do exist and that they have an impact on your business practices.

Consumer protection bill


The Consumer Protection Bill (CPB) was approved by Parliament on
3 October 2008 and was then forwarded to the Council of the Provinces for The DMASA has a voice at Business Unity South Africa (BUSA) and
its input and approval. It is currently on the desk of the President for signature. we will work with its members on implementation and regulations. To
The current status is that we are in the implementation stage which this end, a BUSA Consumer Protection Task Team has been appointed
includes the writing of the regulations in respect of the pending Act. that will workshop aspects of the overall strategy on engagement with
The time frame to complete this is 18 months after signature by the the dti, prioritisation of areas requiring regulations, allocation of work
President. It is acknowledged that the Department of Trade and Industry and engagement with the Department of Environmental Affairs &
(dti) fully intends to interact with business in this regard, for which Tourism (DEAT) on waste provisions.
business and the industry is very grateful. One of the action plans identified by the BUSA committee is to
circulate the DMASA Code to the full BUSA task team. In general,
the DMASA Code is in line with the legislation but consumer issues
are scattered throughout the Code at present. The dti has a copy of
our Code and we are working together so that in the interim, it could
use our Code as a guideline in dealing with consumer queries and
complaints.
the DMASA has identified 12 different
Acts and Bills that directly affect Protection of personal information bill
The fifth draft of the Bill was adopted by the South African Law
direct marketers. Commission (SALC) and submitted to the Minister in February, who will
look at it after the elections and decide when to send it to Cabinet. The

4 direct > 2009


[ legislation ]

State Law Advisor will then check the draft to ensure that it complies the main aim of the Protection of
with the Constitution principles. This is then followed by the
Parliamentary process (dates still undetermined) with public hearings Personal Information Bill (PPI) is to
before the National and Provincial Assemblies Portfolio Committees.
We are not sure when this process will be complete and ready for
give effect to the constitutional right to
signature by the President.
privacy, to regulate the manner of
It will then take some time before the start of its implementation,
because like the Consumer Protection Bill/Act, regulations need to be processing personal information and to
drafted and the establishment of a National Information Regulator’s
office and other support structures need to be put in place. Accordingly, fall in line with international (mainly EU)
there is time for the industry to familiarise itself with the legislation and
begin getting its house in order. standards for trans-border data flows.
The main aim of the Protection of Personal Information Bill (PPI) is to
give effect to the constitutional right to privacy, to regulate the manner
of processing personal information and to fall in line with international
(mainly EU) standards for trans-border data flows.
 All data must be supplied with a service contract that stipulates all
of the above
Opt-out versus opt-in  All list owners/brokers must sign a commitment to adhere to all
As it stands now, the Bill has an ‘Opt-Out’ rule surrounding telephonic
legislative frameworks as stipulated in the CPB, PPI and general law
communication (not automatic diallers) but an ‘Opt-In’ ruling with other
in RSA.
means of electronic contact (SMS, e-mail, fax, etc). But, this is not yet
Members of the DMASA who do not currently comply with the above
cast in concrete – things can still change given the process that must
principles should submit a time frame to the Association committing to
still be followed. Possible new clauses for the PPI include new sections
rectifying the situation. Once the legislation is finalised the DMASA will
on unsolicited electronic communications and automated decision also
draft guidelines for the implementation of these principles, including
to be included in the ECT Act, but wider and only Opt-In; the collection
Consent Marketing and Opt-Out Guidelines.
of children’s information; security safeguards become more critical in
Writing the rules is only one element, policing is a very different issue
this age of identity theft, compromise of databases and websites
and the DMASA realises that rules without policing is not self-regulation.
(regulations); directories and trans-border information flow.
Accordingly, the DMASA is workshopping the policing and enforcement
aspect in great depth and a prototype code inviting your input will be
Database sub-committee made public shortly.
The DMASA has established a sub-committee under the Legislative
Portfolio which is writing a Code for the regulation of list owners. Call centre ‘best practice’ and code of
among other things. This Code is included in the DMASA Main Code ethics
under section 10.6 Like the above-mentioned sub-committee, a further committee has
Basically, list owners must only rent or transfer their lists where they been established to address Call Centre Best Practice and Ethical
have a contractual guarantee that list users will abide by the relevant Behaviour – if we don’t regulate ourselves, we cannot complain when
privacy laws in South Africa. government steps in with new regulations. The ball is in our court now!
Further, list owners should adopt a list of rental and data transfer The signing into law of the PPI could arguably see an influx of companies
policies that limit rental of the information only to organisations that establishing their call centres in South Africa given language, cost and
agree to comply with Sections 10.3 and 10.4 of the DMASA Main time line benefits. Accordingly, the committee, under the chairmanship
Code (the DMASA Do Not Contact List and Opt-Out facilities). of Andy Quinan, is well advanced in the drafting of these guidelines
The following seven principles apply: and they will be made available to members for comment in the near
 A list owner/broker should be able to provide a source of all data future. The point of departure of these guidelines emanates from those
that is provided by the list owner principles written into law in both the UK and Australia, and adapted to
 A list owner/broker must prove that the data has been de-duped South African conditions.
against the National Opt-Out Register as provided by the DMASA
Further, the list owner must also have internal ‘do not contact’ data The DMASA code of conduct
 The list owner/broker must prove that the data is stored securely This Code is a ‘living and working’ document. It includes all existing
and that it cannot be removed from site by unauthorised personnel legislation (Acts) and already incorporates the requirements of draft
 The list owner/broker must have comprehensive audit tools that legislation such as the CPB and the PPI. A copy of the Code is
trace the usage of the data. All data must have date stamps for all available to members of the DMASA on request.
processing/update etc on each record Report by Gary Simpson, chairman of the Legislative
 The list owners/brokers must have a client service platform to deal Sub Committee of the Direct Marketing Association of
with consumer queries within a stipulated time South Africa (DMASA)

direct > 2009 5


[ loyalty ]

the do-it-yourself
corporate bailout kit by Dennis Armbruster, LoyaltyOne Consulting

Like it or not, we’re living in a do-it-yourself world.


Empowered by a bottomless pit of digital information, anyone can
find the know-how to bypass a professional and save money with just a
little elbow grease. Sweat equity, I think they call it.
The latest tax software allows me to prepare my annual returns in my
underwear. A little advice from the home and garden station on TV and
I’m adding on to my back deck. What better time than a recession to
embrace this money-saving, go-it-alone philosophy?
While Washington saves the day for Wall Street and Detroit, millions
of other companies must face the bleak economy without superhero
assistance. Now that the US has officially entered a recession,
cost-conscious companies are bound to be scrounging budgets for
spare change. Detect early warning signs
The tendency to take a hatchet to your marketing budget may be a When it comes to an economic recession, those that are last to know
knee-jerk reaction that could leave a company suffering when it should be (or last to accept) are usually left out in the cold. Changes in customer
on the favourable side of an upswing. Rather than furious cuts, companies purchase velocity are the first signs of trouble. If a customer’s buying
should be fine-tuning their marketing plans for maximum efficiency. trends lessen as the months go by, your customer retention alarms
The following strategies provide a blueprint for marketers to operate should be sounding. An event-triggered e-mail with a relevant offer is
during uncertain financial times while making an investment in the next the ideal tactic to get a valued customer back in the store when their
economic comeback. interest appears to wane.

Move from mass to targeted Be warm. Not fuzzy


It’s no secret that during a recession every division will most likely be It’s important when marketing in a recession to know which battles to
asked to tighten its belt. The scenario presents an opportunity for pick. For example, it’s fine to know that being green is a hot topic – but
marketers to invest more in their best customers. We know that regularly, the only green that weathered consumers want to hear about is the
20 per cent of a company’s customers represent 80 per cent of total extra money they can save.
sales. Any significant fallout with this core group could mean a serious Now is the time to combine a message of value with an empathetic
hit to total sales volume. payoff, all while staying true to your brand. Let the customer know that
Marketers should allocate dollars to target their best offers and you understand their plight and your company is in their corner. You
communications to their most loyal customers. Too often, mass marketing may need to temporarily abandon that cutting-edge green campaign,
efforts are catch-alls that ignore the groups that are familiar with your but the consumer will reward you when they know that your focus is
company. It’s the ‘bread-and-butter’ customers that need a reminder of firmly on them.
how much they enjoy your product to motivate a buy. You’ll need to
make some hard decisions – like shifting focus (and dollars) from the OPM is a good thing
more costly goal of activating new customers. But a down payment on OPM – or partnering your marketing spend with Other People’s Money
your most frequent shoppers is the best bet to keep the register ringing. – can be an effective way for suffering companies to join forces and
combat sagging ROI. Pooling marketing dollars with logical allies to
Leverage your loyalty programme create relevant offers is an oft-overlooked way to cut costs while not
Your loyalty programme is already an established communication line reducing overall visibility.
between your business and your best customers. What better time than OPM not only benefits your company or the partner, it’s also a win
in a down economy to remind consumers of your value proposition for the consumer. Often retailer-manufacturer partnerships will yield
with a casual ‘we’re still here’ poke? Use customer data to extend double rewards, bonus points and overall extended value.
relevant offers that your customers cannot refuse. And sweeten the pot Dennis Armbruster, managing partner, LoyaltyOne
with soft benefits that are relatively inexpensive to offer but make a wary Consulting and COLLOQUY contributing editor
consumer feel like they’re being pampered. darmbruster@loyalty.com

6 direct > 2009


[ skills ]

the skills dilemma of the


direct marketing industry
by Debi Loftie-Eaton, Wunderman

There’s a state of irony in SA’s direct marketing industry. While it’s a


growing multibillion rand business, it faces a skills crisis, which the
Services SETA identified in 2006 as ‘one of the key occupational areas
that could hinder future economic growth’.
The Direct Marketing Association of SA (DMASA) has focused on
fostering new talent in the industry over the past two years by attracting
competent youngsters to learn from some of the country’s top direct
marketers. That said, in 2008 the Services SETA’s national scarce skills
list showed a shortage of marketing professionals.

So, what’s the problem?


Well, historically the direct marketing (DM) sector has been
monopolised by the direct mail business, which offered limited usage
of through-the-line channels. This affirmed the idea that DM was all
about junk mail.
There’s a general perception that although direct marketers may be
the ‘brains’ of the advertising industry working on communications that
work (results driven), they’re also seen to lack creativity and the
perceived glamour and sexy environment that the world of brand Inevitable staff churn impacts on the longevity of client relationships
positioning and TV advertising offers. and the understanding of business issues, while the cost to manage and
What’s more, if talented youngsters are intrigued enough to explore service accounts can spiral. The HR aspect in DM agencies is not an
DM as a career choice, the option of entering blue-chip corporates is enviable task as the retention of great resources takes on a whole new
far more appealing than the idea of working at a small to medium meaning.
sized marketing services agency. Now more than ever, the industry needs to change mindsets with a
It’s all based on perceptions and a need for industry promotion. good helping of creativity and strategic insights.
While interviewing DMASA selected candidates for internships at our Solutions to this industry issue are being tackled head on by the
agency, we realised that youngsters are not aware of the opportunities DMASA, which launched an intern programme in 2008 and continued
that exist in this industry. It wasn’t until we shared our brand story and this year with even more innovative initiatives for marketing graduates.
scope of work, that they even considered working within a DM agency. DM is one of the fastest-growing marketing disciplines. We need a
The flip side of the skills shortage is that it’s resulted in a culture of collaborative industry effort to promote the value our direct marketing
strong competition for those who have DM skills under their belt. techniques offer the marketing mix. We should also dispel any myths
Skilled direct marketers are highly sought after and hard to find. Those about our industry, especially the one about being the poor cousin. The
who have joined the industry recently and mastered basic entry-level responsibility also rests with all DM service providers to be true to the
DM skills soon realise their value and tend to get their CVs out to promise of our business.
move and grow their income. So the juggle between cost of staff and DM…
specialist skills becomes an ongoing balancing act for agencies.  Is not dull, boring, formulae-driven communications
 Is an exciting, creative, insightful, industry that generates results and
builds brands Embraces leading-edge technology like digital that is
while interviewing DMASA selected growing at a phenomenal speed
 Is a highly professional industry where we understand the issues that
candidates for internships at our drive business, which enables us to develop strategic, data-driven
insightful, conceptually strong campaigns that deliver results
agency, we realised that youngsters
Only by working together can we build and catalyse the changes that
are not aware of the opportunities will ensure our industry continues to grow and play a key role in the
sustainable economy of the future.
that exist in this industry. Debi Loftie-Eaton, MD, Wunderman
debi_loftie_eaton@za.wunderman.com

direct > 2009 7


[ customer intelligence ]

how to develop an
effective
data strategy
for your
organisation
by Marco Lopes, TransUnion

Why is it that concepts like CRM and marketing databases work really
well when conceptualised in a boardroom or on a piece of paper, yet
when it comes to execution many of us fall flat despite securing an
army of binary code we call data?
Part of the problem is not knowing specifically what we want to
achieve with a database or how we will acquire and maintain the
information. Just like managing marketing spend on shoestring budgets,
we need to step back to the basics to determine our strategy and prioritise
which areas of the database will be most important.

why is data important?


Ultimately, you want to collect customer data that tells a story about
your prospects and customers that empowers you to interact, engage
and transact with them. Knowing more about these people isn’t just a In building a data strategy or reaffirming current policies and procedures,
marketing ‘nice to-have’ – it’s an objective that underpins the successful there are some simple questions to ask:
functioning of a marketing strategy.  What data do you need?
The following are key issues to consider when developing an  Where can you get it?
effective data strategy for your organisation.  How often?
 How will you get it?
gathering data  What will you do with it?
Many companies don’t take a long-term view of a database. Some buy
a database outright; for others, the first point of customer contact is the Simply having a database and collecting information on customers
only view stored in database. Many companies are now discovering and prospects will not automatically yield dividends. These activities
how to leverage customer touchpoints as ways to enrich and update must be defined by and directed toward a measurable purpose.
data – for example, having call centre agents ask customers to confirm
contact details. Far too often, policies like this aren’t successfully security
implemented because a) the company hasn’t got a clear strategy with This is one of the biggest risks in database management. Simply put, it
respect to data enrichment, and b) call centre agents are often comes down to securing two elements – storage and transfer. Many
compensated/measured by revenue, which undermines the perceived companies have extensive security for data storage, but the more
value of data in the organisation. typical area for theft and fraud to occur is in data transfer. To address
this, begin by identifying ALL data transfer points and how it is transferred.
When you know the scope of potential exposure, implementing security
measures to limit access and creating encryption processes will be
a database can be a valuable much easier and more effective.

asset, and policies for collecting, “Do you expect me to talk?”


maintaining and adding to this (the need for good analysis)
Fred Menger once said, “If you torture data sufficiently, it will confess to
resource should reflect this almost anything.” Despite technological advancements, one of the
importance. biggest obstacles to extracting value out of data is that often its potential

8 direct > 2009


[ customer intelligence ]

isn’t understood. Analytics is key to getting the full potential out of your improves ROI? In times like these, the answers to this type of question
data and enabling the database to begin paying for itself. will distinguish the marketers who survive from those who do not
Analytics should NEVER be limited to giving averages and achieve positive results.
headcounts of gender and age. Applied correctly, analytics allow you
to look deeper, refine segments and identify clues to the most efficient if you can’t measure it, you can’t
ways to reach each group, what to say to them, even the designs and manage it
imagery that may resonate most powerfully.

treating different people differently –


segmentation of your data
Consider for example that you have a view of affordability on your
database (for example, incomes of your customers) and customer
value (for example, their spend to date). Taking these two variables
together allows you to build a matrix like the one below where you can
refine segments and vary your marketing activity for greater effect.

Integral to the process of database management is learning from new


data. Databases and related technology have to be pliable enough to
record changes and take them into account for future campaigns. The
key is to track response rates for all campaigns. With each new effort
take a segment of previous non-responders and try something different
– maybe a competition, or a discount to incentivise spend, possibly a
different creative execution, or even a different medium altogether (for
example, direct mail vs. SMS). Tracking these results and trying new
things each time is important because it identifies alternatives that can
serve you like aces in the hand when times are tough.

privacy – do you know your customers


too well?
For example, if you have customers with good affordability and In all of this, a common thread of responsibility is woven. Customer
good historical value – keep them spending at current levels! On the information is very useful and powerful, especially when you have
other hand, customers who have good affordability but a poor historical secured permission to use the data or contact the customer for marketing
spend represent a clear opportunity for revenue growth, especially in purposes. However, a fine line does exist, amplified by various concerns
economic conditions where new customers are hard to come by. In too about privacy and human rights, which serve as the impetus for the
many cases such differences are NOT taken into account, with a single Consumer Protection Act and the pending Protection of Personal
‘generic’ marketing campaign targeted to all customers. The result is Information bill.
far too familiar – the campaign tries to be everything to everyone, and One acid test (apart from legal reviews) to find out if you possibly
ends up achieving less than the desired results. have too much information is to come back to the purpose for which it
Segmentation allows an organisation to ‘thank’ customers who is used. For example, for a marketer of baby products a list of new
spend well and reward them for their loyalty, creating potential mothers links directly to the business activity. But for a marketer of
ambassadors for the brand in the process. For those customers who running shoes such a list is not completely useful or appropriate.
have NOT spent so well, segmentation can assist to highlight them, There are already significant trends of ‘green marketing’ around the
empowering campaigns to incentivise them to increase spend. globe, driven by consumer rights, and environmental concerns being
highlighted in media such as Al Gore’s film, An Inconvenient Truth. In
knowledge is power – if you apply it database marketing and CRM, the key ethical measure will be where
strategically we draw the line. After all, privacy is one of our basic fundamental
The example above is very basic in terms of segmentation, but far too rights, and the next few years will determine more rules of engagement
few marketers apply even this approach in their direct marketing and about which data has freedom of ‘marketing’ expression.
CRM strategies. It’s one thing to know that there is a portion of your
base that represents your top 20 per cent of customers. It’s quite what does your data have to say?
another to market differently to them because of it. If we, as marketers, A database can be a valuable asset, and policies for collecting,
expect the data to ‘talk to us’, we really need to be prepared to listen. maintaining and adding to this resource should reflect this importance.
For example, even if we are multi-lingual, we may have a language By applying sound strategies for analysis, segmentation and testing,
preference. Why then, do so many marketers insist on using English to your data can reveal truths about your customers, prospects and market
audiences who prefer Afrikaans, Zulu or another language? It may cost that can increase loyalty, spend and profitability.
more to create a marketing piece in different languages, but what if Marco Lopes, product manager, TransUnion
accommodating the various languages preferred by your customers mlopes@transunion.co.za

direct > 2009 9


[ measuring engagement ]

the real
challenge of
direct marketing
is measuring
effectiveness
by Francesco Mariola, MBTS

Direct marketing has not received the respect is deserves. Many


perceive the medium to be the ‘poor cousin’ of marketing. However
you see it, this medium like any other, has a lot to offer.
Today, direct marketing encompasses print as well as online and therefore the ‘where’ can be measured but still the ‘what happened’ is
mobile media, to mention a few. To engage directly means just that – left unanswered.
one-on-one communication with your target market. No matter which Mobile and online are very different. While cellular operators are
direct marketing option you choose, any major retailer, or other able to provide loads of cellphone numbers for any direct marketing
business wants to know a) what it is going to cost and b) what return is campaign, with the premise of knowing the demographics of the
it going to get. people receiving the retailer’s SMSes, how do you measure the sales
So including direct marketing in the media schedule is a good place resulting from that mobile platform? How many people went to that
to start but marketers need to work closely with their agencies to specific retailer and bought the promoted offer?
determine which areas are going to be targeted, who lives there and Similarly, online can measure the amount of clicks per page, per ad,
will they be in the market to buy what it is you’re selling? Importantly, number of unique visitors and where they surfed, but what does that
every bit of communication should be tracked and its effectiveness mean for the same retailer who simply wants to move product off
assessed to validate its future existence. shelves? What if there have been many click throughs but no sales or
To measure any type of marketing activity involves tracking resultant how many actual sales have been generated off the click throughs as
sales data against initial input. But more than this, marketers need to know opposed to mobile and pamphlets?
exactly where their money is going and not accept ‘we’re covering the Measuring direct marketing campaigns, and any communication
whole of Gauteng’ or ‘we’ve got about a million SMSes going out to platform for that matter, has its challenges; however, the benefits are
the mass market – it’s going to be brilliant!’ – not very scientific. enormous as it allows marketers to spend wisely and minimise wastage.
Let’s say a retailer is spending R500 000 on a direct marketing Another factor to consider is the choice of media used for each campaign.
mobile campaign, another R500 000 on pamphlet distribution and While the same retailer may have spent over R1 million in one month,
R300 000 online for one month. The retailer will determine, together next month it may cost a great deal more to move the exact same
with its agency, which areas the print portion will cover – that’s easy number of products perhaps because a completely different media mix
because retailers can define by suburb the catchment areas it wants to may have been used. Different media mixes provide different results – that’s
target, down to which streets the pamphlets will be distributed in, a fact. Also, increasing or decreasing budget spend will impact results.
While a contentious issue, measuring engagement and all
communication spend, is crucial throughout the year and a company’s
existence, not just in times of financial strain.
I am amazed at the amount of data retailers and marketers have at
the future of direct marketing and
their disposal and how little it is being used. Instead, I propose using a
indeed, the famed words ‘return on tracking system which by inputting communication spend and overlaying
actual sales data, on a day-to-day basis is able to effectively assess
investment’, need not just be thrown what is working and what is not by product, category, area, outlet, even
media used by comparing results against actual delivery.
around the boardroom but actually The future of direct marketing and indeed, the famed words ‘return
on investment’, need not just be thrown around the boardroom but
put into action, cause and effect. actually put into action, cause and effect. Ultimately, if you’re going to
spend it, track it!
Ultimately, if you’re going to spend it,
Francesco Mariola, CEO, Media and Business Tracking Solution
track it! (MBTS)
franscesco@mbts1.com

10 direct > 2009


[ youth ]

how do we talk to the


next generation? by Nadine Sharp, Personal Branding

When last did you try to get into the heads of the next generation?
I did a small study of my own with my two teenagers and their
friends, 16-18 year olds.
I asked them some simple questions…
Q: Why use MXit and not just pick up the phone and call your
friends, mommy and daddy pay anyway?
A: On MXit I can talk to at least seven to 10 people at once.
Q: What is your e-mail address?
A: Which one? I have one for spam which you can have with
pleasure but if I give you my other one you must promise not to
send me rubbish.
Q: What keeps you interested in a website?
A: It must load within 10 seconds or it has no chance, it must give
me free stuff and be updated all the time, dude…
Q: What cellphones do your friends have?
A: Nothing short of the latest technology, the kind we get and need
to ask them how to use it.
Q: Where do you and your friends buy their software and games?
A: DUH! No need to buy, my friend has a friend who has a nine-
year-old brother who can get anything we want. our beloved youngsters and future shapers of the world.
This is very scary for the future of marketing. These are the guys The power of simply putting someone’s name on a media is
who will be paying our salaries in the not-too-distant future. mind-blowing. Take the example of a grocer store that launched a
The biggest revelation I had with this little practice was that they new store and sent out a mailing to potential customers to come to
all feel if we can target them individually, we have more chance of the new store and receive a sandwich with their name on it. The
getting through to them. Get to know them on a one-to-one basis. store ran out of sandwiches within two hours.
Cross-media and multichannel marketing will target all the human Think about it, what is the big fuss about Facebook and social
senses: sight through powerful creative, sound from mobile marketing? People want to tell others something about themselves.
and Internet applications; smell, touch and taste from print They want to tell us how they are feeling, what they like and dislike,
and sampling. WHO THEY ARE.
This is where direct marketing will play a big role for these future Why are we not listening and making use of it? We should be
brainiacs. While it’s easy enough to talk to them on various forms listening to find out what makes them tick, where they live, how old
of media – social being the strongest at the moment (MXit, they are, their previous buying habits, etc so we know how to make
Facebook, YouTube, Twitter, delicious etc) – the most important our message relevant to them.
factor is to be relevant and ever changing. Say what they want to They want personalised and relevant one-to-one communications
hear and how your product will increase their status in life. via the channels that they use: e-mail, SMS, personalised URLs on
We feel we don’t have enough time in the day now, imagine how personalised websites (PURLs), mobisites.
much worse it will get? I believe mobile is very powerful, the So how do you do it? Can we even do this in SA? The answer is
cellphone is the one thing youngsters will never leave behind. It yes and it is not too difficult. I’m already doing it – and it works! –
sleeps with them, showers with them and even the schools are I’m using a local supplier to run multichannel, one-to-one,
giving up on trying to control it. measurable and interactive communication. The results speak for
I don’t think this generation is out of control; we’re simply trying themselves – higher response rates and tracking of who has read
to communicate with them in the traditional way. my e-mail, what links they clicked on. In other words, I can now see
Think about mediums such as a web page with a teenager’s who is interested in my messaging and what they were interested
name on it, it will ensure they pay attention for much longer than in. When was the last time a TV or print ad was able to give you
before. Or a printed piece with their name on will at least be shown that information?
to friends. All of the combined mediums of highly personalised Nadine Sharp, Personal Branding
direct will dramatically increase the chances of getting through to nadine@pixelpainter.co.za

direct > 2009 11


[ creative elements ]

best creative are you branding or do you want to

practice in the world elicit a direct response? Sift through


all the ingredients, and then set to
of relationship work. Most of all, enjoy. It’s with

marketing good reason that relationship-


marketing agencies allow ample
Nina Daniel-Gruber, Oscar Tango Marketing
shelf space for coffee and sugar.

Many moons ago, a famous someone or other had this to say,


“Nothing is as dangerous as an idea, if it’s the only one you’ve
got.” Fair enough, but when we’re talking about best creative
practice for relationship marketing, a single, strong concept will Also, next time someone knocks any initial idea uttered during a
always ensure sunny skies in Customerville. brainstorming session, chase them from the building with a pack of
Relationship marketing has the following phases at its core – salivating hyenas at their heels. What seems like a mad idea might
customer acquisition, retention and extension. Get the customer to just be the spark that leads to The One – this idea development is
make their first purchase, let them buy for a second time and, known as ‘teasing the afro’.
finally, get them to make regular purchases. This is asking a great It is not the entire story of relationship marketing, but it needs to
deal of Mr or Ms Does-This-Have-My-Name-On-It. What happens be effective, speedy and focus on the needs of customers. If you
in the studio to ensure the sound of ringing cash registers? want to tell your life story in the e-mail’s subject line, think twice.
The consumer should be at the heart of everything we do. Use a maximum of 60 characters or even better, write the subject
Engage them, absorb them, allure them, arrest them, bewitch them, line and e-mail it to yourself. Just imagine if the bard’s famous one-
captivate them – call it what you may. It’s got to be done. Add to liner read as, “To be or not to be, that is the…” Infuriating or what!
this a good dollop of visual language that speaks to the target Thank you very much, off it goes to the trash folder – trendy design,
market, makes them think and appeals to their intellect. Stay within unbelievable competition, welcome pack and all.
the brand’s identity, be it the font or the general tone that is created. As for the actual content, less is more. If you’re asking them to
Talent is one thing, but it cannot flourish without the study of scroll down, you’re asking too much of the reader. Make it concise
human behaviour. Good ideas marinate in everyday life… and how and make it directional. There’s a very good reason why the word
you expose them. Take your idea and develop it into something far ‘spam’ rhymes with ‘damn’. Customers are sighing ever heavier
better than you originally thought it would be. The conversation that sighs when it comes to the content of their inboxes. You’re competing
you overheard between the cashier and the packer about die with the e-mail concerning salary reviews or gossip from a best
naweek se karaoke in die Heideveld Inn, might just set off a thinking friend trekking in Kathmandu.
process for Job Bag 3356. Never underestimate it. If you believe in Should you go the route of print communication, keep the following
your idea, fight for it. If it’s good and it connects with people, then in mind – inspirational writing and world-class design. End of story.
speak in the mic. If you’re going to ramble on to fill up spaces, rather head for politics.
You’re competing with top-class printing executions. Anything less
and your sweat and toil lands up at the bottom of the birdcage.
Worst of all, you devalue your brand. What paper do you choose to
print on? Beware of paper show-through – it’s the equivalent of a
petticoat sticking out. Chew the ear off your print, production and
repro manager. You’re a team. They are there to help you produce
a masterpiece – nothing less.
It is said that the best relationships – friendship or, in this case,
relationship marketing – tend to be those where you can say
anything to the other person, but you don’t say everything. Are you
branding or do you want to elicit a direct response? Sift through all
the ingredients, and then set to work. Most of all, enjoy. It’s with
good reason that relationship-marketing agencies allow ample shelf
space for coffee and sugar.
Nina Daniel-Gruber creative director, Oscar Tango
Marketing in Cape Town
nina@oscartango.co.za

12 direct > 2009


[ e-mail best practices ]

best
practices for
e-mail acquisition
by Barbara Ulmi, GraphicMail

‘Aesop once penned a story about a boy and a jar of nuts. With so
many nuts so tantalisingly close, the boy cried tears of frustration as
his fat and full fist remained stuck in the jar. So it is sometimes with
e-mail marketing. If only we could send more e-mails to more
addresses. But the permission jar has a narrow neck. If we get too
greedy, we end up with nothing.’ – Mark Brownlow, Aesop and
email marketing denial: an essay, Oct 16 2007.
(www.email-marketing-reports.com/iland/2007/10/aesop-and-
email-marketing-denial-essay.html)
Acquiring e-mail addresses is probably not Greek to you, but do
you know the art of proper acquisition? Acquiring quality opt-in
addresses is key to your e-mail marketing campaign in order to
build a list of recipients to whom your e-mail marketing is of value.
Opt-out proponents will counter this by saying that opt-out is fine as
long as their e-mails to those folk are relevant. However, these has effectively been stolen. Keep in mind that complaints from over-
marketers often suffer from misplaced self-estimation – they are seas subscribers are filtered through to local ISPs because their
convinced that their product or service is so good that people would ‘upstream’ providers are obliged to comply with international laws.
be grateful to hear about it. The reality is, that on a scale of 1 to At the same time, adhering to local e-mail marketing legislation is
10, the sender thinks his opt-out e-mail scores a 9, the recipient crucial as it helps you to maintain your credibility.
thinks its closer to 2, and the recipient’s ISP most likely places the In South Africa, it is crucial to give the recipient the option of
value at just above 0. Basically, opt-in is offering friends strawberry cancelling their subscription to your mailing list and for you to
tart at the dinner table and those who put their hand up get it, like indicate how you obtained their personal information, on their
it and might even want more. Opt-out is picking out friends on the request. Remember that nobody gives away their e-mail address
basis that they eat food and then forcing them to eat strawberry tart. lightly as it has become some sort of a modern personal attribute.
Secondly, create your own, clean house list. There is no point in
So what is best practice for e-mail creating an amazing e-mail campaign and having no one to send it
acquisition? to. Start building your database by creating a sign-up form and start
Firstly, it is important to have a working knowledge of international pointing people to it. You might even think of offering an incentive,
spam laws. Spamming can be equalled to theft because if someone prize or loyalty points if customers refer friends to you. In this case, opt
receives e-mail that they did not sign up for, their e-mail address for a double-opt in (DOI) sign-up process or at least a confirmed opt-in
(COI). DOI minimises bad addresses and malicious subscriptions
and also helps to ensure that those referred friends really do want to
receive your e-mails.
in South Africa, it is crucial to give DOI and COI help with deliverability and by applying these
processes you pretty much avoid your e-mail practices running foul
the recipient the option of cancelling of an ISP. You might want to consider adding a link to your sign-up
form in the e-mail signature of everyone in your company, printed at
their subscription to your mailing list the bottom of your invoices, or post it to your blog; and why not
collect e-mail addresses over the phone when clients call you?
and for you to indicate how you Thirdly, optimise your opt-in process. In your sign-up form,
provide a clear link to your privacy policy with links to past newsletters
obtained their personal information, or eflyers. Make sure you have a thank you page or pop-up when
new users subscribe. Welcome them, and tell them where to go for
on their request.

direct > 2009 13


[ e-mail best practices ]

the latest release or when to expect their first e-mail, newsletter or


flyer. For double opt in, provide them with the link on which to click
to confirm their subscription. Once confirmed, take them to a
confirmation page where you might want to include an incentive
such as a white paper, promotional code or gadgets to download.

Top six things to avoid when acquiring e-mail addresses it helps to remember that it costs
more to acquire a new customer
1 – avoid using an opt-out process
While financial pressure encourages more marketers to send bulk
than to cater to the ones you
e-mail to those who didn’t sign up to them, these e-mails are usually
neither relevant nor valuable to the recipients. A bigger list doesn’t already have. In challenging
necessarily mean a better list. Problems caused by the opt-out
process are not immediate or obvious but can have a long-term economic times, keeping your
negative effect on your brand and future deliverability. People who
receive e-mails they have not voluntarily opted for may not directly existing customers loyal; deepening
complain to you, but they’ll complain to their ISP or their social
network. Twitter and Facebook are great platforms on which such their relationship with your brand
complaints can be posted and you need a pretty strong and fast
reacting PR strategy if you want to iron out propaganda.
is critical.

2 – avoid purchasing e-mail lists


Sending unsolicited e-mail messages is a big mistake. Lists might
have been gathered during market research, from financial addresses from your list or concentrate on retention marketing. For
institutions or even scraped from websites by automated crawlers. instance, try reactivating them by sending some special offers,
All you will get is a lot of spam reports which damage your surveys or messages specially targeted to that audience. Or mail
reputation both with ISPs and potential clients. E-mail campaigns them less frequently and with different content. The key is to
are about ongoing relationships over more than one campaign, so segment your database into inactive and active addresses and send
take the time to build a good list. them emails accordingly.

3 – avoid using e-mail appends 5 – avoid expecting too much


You can easily get bad data on your recipients if the information Be realistic about the type of list you have built. E-mail campaigns
doesn’t come straight from the owner’s e-mail address. If you collect have to be tested and retested over and over. Don’t expect to strike
e-mail addresses through e-mail appends, you can land up with it rich instantly. Remember that your campaign is not just a major
addresses and data that actually belong to other people, and not drive for sales, but it also helps to cement your customers’ loyalty to
your customers. An e-mail append means to merge a database of your brand. Ask for advice from experts, listen to your peers and
customer information that contains everything but their e-mail check out your competition. A very large but generic e-mail list
addresses with a third party’s database of e-mail addresses in an might only average a response rate of 0.3 per cent while a highly
attempt to match the e-mail addresses with the information in the targeted, customer segmented niche list might score more than 50
initial database. Even if you don’t use e-mail append and think that per cent.
you have a lot of usable data on your customers, never presume
that you have accurate knowledge of what your customers are really 6 – avoid keeping your e-mail
interested in – their likes and dislikes, and geographical destinations; campaign separate from your overall
their life situations do change just like yours. Don’t presume that if marketing strategy
someone’s female, they want to get mails on beauty products. Once To acquire e-mail addresses and build your database and online
again, it is safest to go with an opt-in strategy, as opt-out just leaves community, consider integrating your e-mail campaign into your
you with cues and clues that are based solely on speculation. overall marketing strategy. Make full use of alternative marketing
channels such as media releases, articles, above- and below-the-
4 – avoid neglecting inactive addresses line campaigns, attendance of trade shows, competitions or event
Once you have built your house list and have started sending e-mail sponsorship.
marketing campaigns, track your sends to see if there are any It helps to remember that it costs more to acquire a new customer
recipients that haven’t purchased, opened or clicked on an e-mail in than to cater to the ones you already have. In challenging economic
a long time. What you consider a long time depends on the nature times, keeping your existing customers loyal; deepening their
of your business. However, it is important that you keep your list relationship with your brand is critical.
clean. Some of your older inactive addresses might lead to blocking Barbara Ulmi, marketing communication, GraphicMail
or filtering by ISPs if not removed. So, either remove the inactive barbra@graphicmail.co.za

14 direct > 2009


[indirect direct ]

– the new direct?


Indirect direct
by Andrew Ambrogioni, Action Ambro’s

A couple of years ago I began monitoring some of the world’s


awards and an interesting fact began to emerge. Internationally, the
greater number of award entries and awards in the Direct categories
is going to above-the-line agencies. Why is that?
Over 50 per cent of international awards last year went to
traditional agencies rather than direct specialist agencies; that alone
identifies a new trend. There are now two kinds of direct marketing
that have developed – ‘Direct Direct’ and ‘Indirect Direct’. Now I love
both of the disciplines and both allow for truly spectacular work, but
they are worlds apart.
Unfortunately, a lot of the work classified as direct doing the An example of the way direct is moving was an indirect piece that
rounds, is nothing more than brand advertising by another name. It walked away with the Grand Prix for Cannes Direct – the Lead India
uses direct techniques to drive traffic to websites, drive click throughs campaign. Oddly enough, it was entered as a response advert in the
in the digital environment or engage consumers in measurable ways. Direct Marketing category, but under closer scrutiny what the advert
You may ask, is that not direct? To a point it is if you are an specified was a call to entry for a game show on TV that was initiated
uneducated marketer or advertising practitioner that believes your and sponsored by the Times of
sole job is to get the viewer to simply say ‘Hello’. But get them to India – a national newspaper.
buy something and suddenly the approach changes radically. The campaign seemed to be
The Tesco chain of retail outlets has a quarterly mailing that has a brilliantly orchestrated piece
had no less than 150 000 variations each designed to stimulate sales of communication moving a
of products of specific interest to the recipient – Direct Direct at its nation to declare a new sense
most complex. It’s NOT sexy, but it works and it has been embraced of purpose and yet all it did
as a principle, a culture, a department in the organisation that was ask a few brave souls to
continually tests and tracks the efficiencies of each communication logon to a website and lead
against the bottom line. their country from the front,
Not an easy prospect for a marketer. It’s hard work and easy to rather than from an armchair.
shy away from. WOW, big idea. And yet, the
All too often, I have found marketers trying something just once, smallest thing of this whole
allocating a singular budget and a singular resource. Often they die a campaign was the website
slow death because of a lack of commitment to the process. True address – in 7 point teeny type
direct is not a once-off, but a commitment to a process and at the bottom of the ad. In
continuous testing. defiance of all direct principles.
Unfortunately, Direct Direct is widely misunderstood and very Yet, it led to 874 000 videos
seldom given the priority it deserves, mainly because of the three uploaded on to YouTube,
missing links – good marketers, good lists and good metrics. 50 000 column centimetres of PR and editorial content, and 34 000
So, how did Indirect Direct come into being? I’m happy to say that applications to Lead India. Measurable? Yes. Just very different to
traditional agencies and marketers finally woke up to the fact that at direct marketing ROI models.
the very least, the communication should gain a physical reaction I believe here lies the direct marketing industry’s biggest
and some form of trackability. opportunity for a very long time. Because of our understanding of the
So again I ask why Indirect Direct? Simple! No databases, thanks fulfilment process (Direct Direct), it is up to us to take the traditional
to the introduction of legislation and opt-in proceedings. Further to ATL budgets and convert them into actionable communications by
this, the digital world exposed itself as a marketing medium and applying ATL mediums to our communication mix.
suddenly one could track clickthroughs and page impressions. After all, what good is a brief ‘hello’ if you have nothing to say
See where I’m going with this? Eventually, a full-circle solution thereafter?
where two disciplines could work together seamlessly (ATL and Andrew Ambrogioni, CEO, Action Ambro’s
direct tactics). andrew@ambros.co.za

direct > 2009 15


[ customer publishing ]

loyal publishing
by Bridget McCarney, New Media Publishing

According to the UK’s Association of Publishing Agencies (APA), it is


estimated that the value of the total UK customer customer publishing
industry will reach just over £1 billion by 2013, despite the current
economic slowdown. The APA’s Advantage Study also found that
customer magazines keep consumers’ attention for 25 minutes,
which is significantly more than the eight seconds spent looking at a
poster or 20 to 30 seconds spent listening to a radio advertisement.
Customer magazines are found to increase brand loyalty by 32 per
cent, as the readers of customer magazines are more likely to hold
positive views of the brand. It’s clear that customer titles are
effective long-term loyalty tools, that have the potential to carry
brands through boom times as well as a recession.

Already in print
A recession highlights the need for an effective media strategy, as
clients demand more return on investment and customers search for
more relevance in their read. Therefore, those brands with
established customer magazines have the advantage of continuous
engagement to see them through tough times.
The key for these titles is to remain relevant, especially in a
market where consumers are bombarded with marketing messages.
Content remains king and a well thought out editorial structure with
bespoke content relevant to the target market remains the most What to consider when launching a
important aspect of customer customer publishing. If you can add customer title
value and personalise the message beyond that, then so much Editorial: The key to great customer publishing is great editorial.
the better. Essential in identifying an editorial strategy is understanding the
Retailer Ackermans is a good example. Not only does Ackermans customer’s needs. That doesn’t mean you need to know what they
engage with its customers through a magazine on a bi-monthly want to read about – most marketers worth their salt will have a
basis, but it also produces decor and baby supplements, which pretty solid understanding of their customers: how they think, what
have been so successful that they’ve led to baby, fashion and decor they want from the brand and why they buy it. It’s the publisher’s
workshops. job to match that understanding with a solid editorial and publishing
strategy. Plus, this content needs to be purpose created, not just
Considering it… repackaged from other sources.
For those brands that don’t have a customer title, but are A multiplatform approach: The target market has to be
considering launching one, the basic rules of marketing still apply. engaged in an environment in which they feel comfortable. HIP2B2
Objectives need to be clear and target markets identified; there has interacts with teenagers wherever they are. This means that when
to be a return on investment and a firm strategy should be in place. they are at home, they are reached on their cellphone, through the
The decision around the viability of launching a custom title website and on TV. While at school, they receive the magazine and
actually has nothing to do with the size of the brand, nor the enjoy one-on-one time with the roadshow and brand ambassadors.
budget. Instead, it has to do with the quality of the database. After The important rule to remember here is that we’re still communicating
all, relevant content plus accurate data equal no budget wastage. with humans! They need to feel comfortable with whichever medium
Segmentation plays a role both as a means of managing an is used – the channel must be appropriate for the reader.
existing database as well as offering cost-saving opportunities to Frequency: It has been proven that the frequency of a title has a
clients and a better product to each market. Globally, pay-TV direct effect on the amount of time the customer spends reading the
companies use their monthly magazines to prevent churn. Dish magazine. The higher the frequency of the magazine, the more time
magazine, produced for MultiChoice, was recently split into three the customer spends reading it, although this is specific to each
magazines according to each subscriber’s package. Dish Premium industry. The APA’s Advantage Study has proven that magazines
lists the full bouquet of channels, Dish Compact goes to subscribers published one to three times per year are read an average of 20
who pay for the smaller bouquet and Dish Commercial is mailed to minutes, while customers who receive a title 10 to 12 times per
hotels. Instead of all subscribers getting the programming for all annum spend 30 minutes per month reading it.
DStv channels, they now receive information relevant to their Bridget McCarney MD,
programme choices. New Media Publishing

16 direct > 2009


[ interactive marketing ]

interactive
marketing
summit of Twitter, is driving the next evolution of marketing. But, as Alistair
Fairweather, social media manager, 24.com points out, it’s amazing
that while advertising and media agencies have departments
devoted to traditional media, social media might have one full-time
person looking after it – if it’s lucky! He also says that marketers
should not be put off by the technology side of social media, but
instead concentrate on the fact that it’s merely another way to have
Marketing Mix recently hosted the 3rd Interactive Marketing a one-to-one conversation with consumers, something marketers
Summit. This year’s content focused heavily on social networks and are familiar with.
networking, and mobile – all of which indicates a change in direction All of this is well and good of course, but whether it’s the youth
for marketing, more specifically direct marketing. And this is a good market, the mass market or a niche market, the basics still need to
direction – not only providing even more measurable media, but be put in place with interactive media, the same as with any other
allowing instant one-to-one marketing to occur. It’s also a way to media. The basics pertinent to interactive media such as social
access the youth market, using their tools and on their level. networking, e-mail, online and mobile is the trusty database and the
As Charl Norman, co-founder/ops manager, Blueworld input of the ad agencies to use the available mediums. Both of these
Communities points out, there are simple tools that can be used to key elements are sorely missing. “Specialist agencies are way ahead
keep youth interested in a social community and online – videos, of the traditional agencies, and it is vital that ad agencies are
free SMSes integrated to competitions only available online, and involved in the digital realm,” says Adrian Hewlett, chairman of the
allowing users to customise website are some of the winners. “Don’t Online Publishers Association (OPA).
forget to track the influencers on the website as well,” he says. The database, particularly gleaning information through the use
Pete Case, creative director, Gloo says that the future of the of interactive media, can be filled with rich customer intelligence.
Internet is media that has been created specifically for it and agrees “Marketer’s haven’t interrogated the data properly,” says Marco
that most downloadable stuff is pre-made instead of allowing users Lopes, product manager, TransUnion Credit Bureau. For Lopes,
to create their own stuff. The lesson here is to put the power of customer intelligence is gained when analytics is added to customer
creativity in the hands of the consumer, particularly when dealing data. “Marketers need to know their base, what data is needed,
with the youth market as the response is much greater. where and when, how often, how to get it and what to do with it.
Creating a microsite for a campaign is a creative way of allowing “Intelligent segmentation can provide useful demographic,
consumers to design and make their own content, and the microsite behavioural, financial, geographic and timing data, for example,”
can be used for more than a particular campaign. “If you create a he says.
microsite, don’t shut it down after the campaign has finished, simply But, as Russel Stormin, founder of Strike Media points out, all too
redirect the site to the main site and share the content,” says Rob often, agencies ask for an SMS campaign, for example, but then
Stokes, CEO, Quirk. “Also, make sure to share content socially on never return for the database once the campaign is finished! A
your website,” he adds. wasted opportunity. Rodney Kuhn, co-founder and director, MyBeat
The shift to social media, including blogging, social networks Interactive backs this up, saying that while SMS is still one of the
such as Facebook, and the most recent, micro-blogging in the form most powerful media around, marketers need to optimise the
database.
It is certainly agreed that mobile marketing and advertising is key
to reaching South African consumers; even Google agrees: “Mobile
is expanding and exploding in SA, there is huge potential out there.
But you must map customer intelligence for interactive media,” says
the shift to social media, including
Dave Rooney, industry manager, Multi Sector, Google SA.
blogging, social networks such as The integration of online and mobile is rapidly becoming
apparent with more mobisites appearing, and the fact that for the
Facebook, and the most recent, majority of the population first-time access to the Internet will be
through a cellphone. “Mobile is now mainstream; it’s a real
micro-blogging in the form of alternative to traditional media. It’s an amazing way to bond with
consumers,” agrees Kuhn.
Twitter, is driving the next evolution
The following pages offer expert insights into the world of
of marketing. interactive marketing that will help to explain and guide marketing
campaigns to success.

direct > 2009 17


[ interactive marketing ]

location: the
next frontier for
digital advertising
by Vincent Maher, Vodacom

The digital advertising industry is falling over itself to come up with the
next big thing that will magically make users do exactly what advertisers
want them to do, despite a few hundred years of experience that tells us
this will never happen. Some are making ads bigger, some are putting
video into them, some make them more interactive but those who are
truly going to succeed are those who can make their advertising more
closely resemble information.
One of the major obstacles to even thinking about making
advertising relevant to users is the old-school media paradigm of an
audience, the heterogeneous mass of consumers that supposedly is needs, why should he spend money marketing himself to people in
formed when receiving a message. Even the notion of audience Johannesburg and Cape Town?
fragmentation is troublesome; the fact is that the living history of each Making web advertising truly local is difficult if you don’t start asking
consumer is different. users where they are and, even then, they move around a lot so that
information gets out of date quickly.
This is where cellular networks and mobile phones come in. One of
the experiments I have been running on The Grid, Vodacom’s
location-based advertising is only location-based social network, is to use cellphones to help target web
advertising. The way this location-based advertising works is fairly
one way to increase the relevance of simple – each time a Grid user requests a page on the website we
check the latitude and longitude of their phone and serve them an ad
an ad, but it goes a long way to
that best suits that location. The user does not need GPS on their
fixing some of the problems with phone, just a switched on SIM card, because the cellular network
triangulates their position relative to the cellular masts.
regional allocations of advertising It seems like a fairly minor adjustment but it makes a big difference
to the experience for both the user and the advertiser. On the one
budgets, local relevance and getting hand, the user can now roam around a city and get ads for shops and
services within metres of where they are. These ads can be connected
people to walk into buildings and to walking directions and a map. On the other hand, the advertiser
now has an opportunity to promote local products and pricing without
transact. the normal worries about wastage. Of course it means more work on
the production side too, because location-based ads need to have
something location specific in them to make them interesting in the
The bottom line, however, is that digital advertisers have a lot of first place.
information at their disposal about the person they are serving ads to, It’s a very new way to serve advertising and so far it looks like the
and the more relevant the ad is to the user the more likely they are to response rates are going to be much higher than the normal click
click on it. When a user sees an ad on a page the advertiser can know through rates. This means the users get more value from the ads and
detailed profile information about the user from the website displaying the advertisers get a quicker response to their campaigns. Needless to
the ad; fuzzy information about the contents of the page; basic say, there is no single magic bullet that will fix the low response rates
geographic information about the user; the time of day and much more. web advertisers currently ponder daily. Location-based advertising is
These are the basic building blocks for increasing advertising relevance. only one way to increase the relevance of an ad, but it goes a long
From a completely different perspective, the global nature of the way to fixing some of the problems with regional allocations of
Internet is also one of its major shortcomings when you’re trying to sell advertising budgets, local relevance and getting people to walk into
web advertising to a plumber in Kimberley who works within a 20km buildings and transact.
radius of his house. This plumber knows that the yellow and white Vincent Maher, portfolio manager, Social Media, Vodacom
pages, along with the local newspaper and word of mouth are all he vincent.maher@vodacom.co.za

18 direct > 2009


[ interactive marketing ]

facing
facebook
by Ryan Silberman, Popimedia

The basic steps to follow in creating a Facebook fan page for


What better way to do direct marketing than if it is sent directly from a a brand or company:
friend. Would you rather act on the call to action from a company or  You should already be a Facebook user – if not, sign up it’s
from your best friend? This is what Facebook can add to traditional free
direct marketing campaigns.  Visit http://www.facebook.com/pages and browse some of
If Google is the ‘Yellow Pages’ of today’s world, then Facebook is the more popular pages to understand what makes a page
the ‘White Pages’. It has become the biggest trend in the world with its successful
200 million users, growing at a rate of five million per week.  Then visit http://www.facebook.com/pages/create.php which
Facebook has turned its newsfeed into a stream of information will take you through the step-by-step process.
flowing from each user’s network. If the Facebook user becomes a fan
of a product or brand then this brand, in essence, is part of their Once the initial engagement has brought a user to the brand’s
network. This means that content is consumed on a many-to-one basis fan page, it is important that they opt in to receive communications
as opposed to a one-to-many strategy that is more common of from the brand – there’s no point in having a one-sided conversation.
traditional media. Consumers create a stream of information that is Thus over time, the brand starts to build up a database of users
their own that they find relevant. and, hopefully, will also segment this base in a richer manner
Business cannot afford to ignore Facebook. Consider that the than traditional methods might allow.
average Facebook user has 120 friends; imagine the result if this user
encourages their network to engage with your brand, creating credible Other media and negative sentiment
and widespread word-of-mouth referrals. Integration of the Facebook platform with other media is a viable
Add to this – through third-party applications and systems – the means of bringing the brand alive, as well as making its profile more
ability to track friend-to-friend referrals, and to collect rich data on a interesting and attractive to the user. A movie or sound clip can appear
real-time basis and what you have is a powerful direct marketing and on the fan page and be integrated into the campaign. A television or
market research tool. radio advert can promote the fan page of the product and in doing so
create more interest and drive traffic.
Rules of engagement Widgets that can be embedded in Facebook pages and across the
Businesses can interact with Facebook in any number of ways from; Web enable and optimise common online tasks, such as research and
among others; social competitions; applications; widgets; and standard basic transactions, as well as providing entertainment and unique
advertising banners to creating a fan page or group. However, before content. The use of widgets can translate into relevant offers,
selecting a strategy to engage with users, the following should be cross-selling opportunities and a real return on investment.
considered: A concern for brands is what level of control they should have over
 Identify objectives – sales, leads, conversions, brand building, etc. the interactions and conversations. Facebook does allow the fan page
 Outline a time-frame (short term, campaign based or long term) owner to delete negative comments about the brand. But the more
 Consider budget brands try to control a conversation in this manner, the more harm they
 Creative concept are actually doing. Brands should grow with their consumers and will
 Decide whether to leverage trusted referrals. find if they listen and address negative comments, the brand will
inevitably get stronger.
The most common initial engagement with Facebook has been the
creation of a fan page or group. Problems manifest when companies Measurement
try this on their own and find that it does not work because there are a Measuring the impact of a Facebook campaign will depend on the
lot of added features, applications and rich content options that can be brand’s objectives. However, the traditional online measure of click
added, including custom applications that will pull in information from through rates (CTR) needs to be transformed into cost per click (CPC ),
other content sources. The main issue is that consumers are not always cost per acquisition (CPA) and cost per sale (CPS) metrics. These should
passionate enough about a brand to become its Facebook fan. be implemented at campaign launch.
Businesses therefore have to keep their page relevant, simple, and Ryan Silberman, chief operating officer, Popimedia Group
perhaps add an incentive such as a competition. ryan@popimedia.com

20 direct > 2009


[ interactive marketing ]

the impact of
smartphones
on the development
of mobile media
by Rick Joubert, Vodacom
The success of the Apple application store has driven a range of
competitors like Blackberry, Nokia and Google to follow suit and the
The smartphone is rapidly accelerating the convergence of computing recently announced Vodafone application store clearly signals the
and telephony and taking the phone as a converged music player, determination of mobile operators not to be marginalised by the
gaming device, camera, GPS navigator, web browser and wallet to Internet and handset brands.
another level. Although the browsing of the regular Web is a far better experience
It is also beginning to disrupt some cosy legacy marketing value on most high-end smartphones than on a regular cellphone, the
chains, for example, in the traditional retail space savvy smartphone application stores with their massive diversity are causing the creation
owners are increasingly engaging in in-store price comparison behaviour. of an ‘application-based Internet’ for mobile, which implies a very
Operating systems from Microsoft, RIM (Blackberry), Apple, Nokia user-friendly mobile Internet experience as well as more often than not
(Symbian) and now Android (driven by Google) combined with some an aesthetically pleasing ‘rich media’ experience – all of which is
pretty sexy hardware from a range of vendors are radically changing driving dramatically increased mobile Internet session frequency, session
the way that people work, play, consume and create information. time and page impressions.
Being within arm’s reach of most of the information you need and It is interesting to see how once advertisers have been seduced by
desire 24/7 creates a level of stickiness which is almost addictive and the marketing possibilities in smartphones, they soon become converts
probably also makes us pretty lazy. to the broader mobile media opportunity and start to seek much larger
For example, a well-known ‘ad man’ told me recently over lunch that reach than currently offered by the smartphone population, even at the
he almost never uses Facebook on his PC anymore because the expense of dazzling creative executions.
Facebook application for his Blackberry is so great and never more Brands have opportunities to engage the typically high-end
than a few seconds away. In addition, he gets to create and upload smartphone audience in a variety of ways some of which are classic
content in a seamless way using only one small device. display advertising, brand sponsorship of applications and utilities and,
Talk about personal media. most interestingly, brand applications, where brands are able to create
their own applications allowing customers to engage with the brand in
a meaningful way.
A radical and successful example of a brand application is an
iPhone application from Kraft where rather than merely ‘sponsoring’ an
i would recommend that brands look
application Kraft has had the temerity to develop and brand an ‘iFood
for opportunities to include the Assistant’ application featuring recipes and tips, and place it in the App
Store charged out at a price of US$0.99! This application is among the
capabilities offered by smartphones top 100 App Store applications by download.
It is worth mentioning a few other interesting (and this time free)
within their mobile strategy – recent brand applications: Audi A4 Driving Challenge (370 000
downloads in first two weeks!) and Zippo Virtual Lighter application –
particularly brands serving primarily yes, now non-smokers no longer need to feel left out when the lights go
out at rock concerts (number one free application in the lifestyle category).
affluent market segments. Current smartphone offerings clearly show the future of mobile
advertising but it will be some years before smartphones have a sufficiently
deep penetration in developing markets to allow for mobile campaigns
It is, however, the recent emergence of the Apple iPhone, which has with the kind of reach required by most mass market brands.
truly transformed the way we think about the mobile ‘phone’ and has Meanwhile, I would recommend that brands look for opportunities to
forced competitors in the hardware, software and mobile operator include the capabilities offered by smartphones within their mobile
space to raise their game. It has also forced a wave of innovation (and strategy – particularly brands serving primarily affluent market segments
reverse engineering!) which has made a lot of very powerful products – but not at the expense of the more ubiquitous mobile media which
available at increasingly affordable prices. today provides meaningful and large-scale mobile engagement
Add to this the Apple application store which, on 23 April 2009, saw opportunities with the mass consumer population.
its billionth application download – ranging from utilities like weather, Rick Joubert, executive head, Vodacom Mobile
navigators and song identifiers to games and information resources – Advertising and Social Media
there are over 35 000 applications available in the App Store. rick.joubert@vodacom.co.za

22 direct > 2009


[ interactive marketing ]

a new era in
direct
marketing by Mark Angus, Innoviate
Versioning enables direct marketers to produce designs, images and
One-to-one marketing is essentially a four-phase process: identifying photography within cross media and PURL campaigns that can target
potential customers; determining their needs and their lifetime value to customers based on their market (career or vocation), the information
the company; interacting with customers so as to learn more about that would appeal to them, gender, ethnic grouping and age, for
them; and customising and personalising products, services, and example.
communications to individual customers. It is the personalisation aspect
of the process that can reap the biggest rewards. Measuring, tracking and ROI
Clients must ensure that they track and measure campaigns in real-time
Cross media and refine as needed. Individual customer behaviour should also be
A personalised campaign requires more time and resources than a tracked so that the campaign remains relevant and nimble. Measuring
less targeted campaign, but by using advances in communications ROI is made simple when each campaign or promotional offer remains
technology, direct marketers can track, analyse and refine one-to-one focused in this manner. In addition, any calls to action or special
marketing campaigns and deliver true return on investment (ROI). custom offers from each PURL can be tracked and measured.
An effective campaign starts with identifying the audience. Then it Solution triggers, application forms and any custom offers can
must be determined how to get the desired message to the targeted activate calls from a contact centre, while other offers can enable
audience, using personalised direct mailers, personalised e-mail and customers to self- service and receive instant gratification.
personalised SMS and MMS to drive customers to their own customised
and personalised websites or URLs. Challenges
Since an effective campaign is reliant on customer data, this can
Personalised websites or URLs (PURLs) sometimes be a problem. The customer data may not be accessible or it
PURLs are essentially personalised Web portals set up as landing pages may not be clean enough to execute personalised marketing. Renting or
and can be used by direct marketers to target customers with their own buying lists is a solution to this problem, but in this case, the data should
marketing, sales and promotional offers, advertisements, invitations to be cleaned, analysed and segmented before a campaign is deployed.
events, and vouchers. Content should be delivered on a one-on-one Managing and manipulating this data can be more costly, but the
basis, showcased alongside personalised images and videos, and pay-offs are that customers receive customised, segmented offers and
customised information. direct marketers can build more intelligent customer data that can be
By linking integrated cross-media systems with PURLs direct fed into centralised CRM programmes. The entire ROI has to be taken
marketers have powerful reporting tools for tracking, analysing and into account and the campaign has to be viewed as a lifetime value.
refining multiple touch-point campaigns and marketing activities. Another challenge is the societal shift towards privacy and the concern
PURLs also provide a self-service and interactive medium for of the so-called database nation. There are already many regulations
customers and can be used by direct marketers in five main areas: preventing things such as telemarketing and faxing to certain numbers.
 To deliver segmented sales, marketing and promotional offers to Many e-mail users have active spam filters, although advances in
targeted market sectors and customers communications technology can now enable marketing messages to
 To ask customers to respond to specific surveys whereby they are pass through firewalls and filters, as well as tracking the e-mail (did the
polled, answer questions and respond via their PURLs customer open it, read it and respond). Permission marketing must be
 To provide corporate profiles, white papers, information and initiated in this process, enabling customers to opt in or opt out of any
corporate Web pages for each customer, essentially turning each new acquisition campaigns, while also informing them of how their
website into personalised business communications portals contact details/data was obtained.
 To up-sell and cross-sell value-added services
 To embed statements and invoices – offering integrated eBilling What customers want
services – within each personalised website. The future of marketing, and indeed the future of direct marketing, is in
delivering what customers want: the best possible customer experience.
Versioning One-to-one marketing and cross-media campaigns are certainly
Versioning facilitates a creative framework whereby the look and feel of becoming an eye-catcher in an age of information overkill enabling
all one-to-one marketing and material can appeal to each customer as consumers to take back their ‘marketing power’.
the models are people who look like them, are their gender or age, or Mark Angus, ceo, Innoviate
work in the same vocation. mark@innoviate.net

24 direct > 2009


[ interactive marketing ]

alone together:
social media and the new
paradigm of one-to-one selling
by Alistair Fairweather, 24.com

In a world saturated by media, many of us struggle to fathom how


anyone has the time or energy to spend hours on Facebook or Twitter,
let alone blog or post videos online. All of these sites seem like giant
time sinks, designed to amuse teenagers and layabouts.
Yet more and more research is proving that people not only use
social media to make purchasing decisions, but that it’s fast becoming
the most important channel for those decisions. Research by social
media marketing agency DEI Worldwide shows that ‘70 per cent of
consumers have visited social media websites such as message boards,
social networking sites and blogs to get information about products’
and that nearly half of them made purchasing decisions based on
these visits.
Research like this underlines the essential power of social media: it
takes normal human interactions and strips out the friction of factors
like distance, time and research cost. Whereas before consumers
could only rely on their acquaintances and the mainstream media, now
they can instantly reach out to like-minded people on the other side of
the globe.
On the one hand this is exciting – social media can help you to
attract customers via a global word-of-mouth network. On the other,
it is sobering – one angry customer could damage your brand message boards/forums
irreparably. These are an older form of online conversation, but still a vibrant one.
Luckily, there is a way to make the best of both of these situations. The key here is finding and scanning the forums that matter to your
Social media is essentially about conversations. The only way to make it customers (‘listening’), and then responding appropriately to both
work for your brand is to join those conversations, and like any good complaints and compliments, and linking back to your blog or site
conversationalist you must listen as much as or more than you speak. wherever appropriate (‘talking’).
Listening means different things depending on the channel – as we will
see below. social networking websites –
The first step to joining the conversation is to understand the facebook, LinkedIn etc
channels and tools available to you: Because of their broad appeal these sites are the richest ground for
scanning and engaging in conversations, but they are also the most
blogs sensitive of all the channels. You wouldn’t walk up to a stranger at a
Successful bloggers are committed thought leaders with a proven ability cocktail party and try to hard sell them your product and you shouldn’t
to analyse messages and express their own opinions. In other words, a do the equivalent online. Rather use the public machinery of the
very tough crowd! To join their conversations in any meaningful way sites – systems like groups and fan pages – to attract and stimulate
you need to have your own blog on which you can respond and also conversations. With many established brands you will find users are
inject your own messages into the blogosphere. In the context of using this machinery to praise or attack the brand. Not only does this
blogging, ‘listening’ equates to scanning the blogosphere for mentions offer you a chance to convert new customers, but it also amounts to
of your brand or product (sites like Amatomu and Afrigator can be free market research.
helpful), and then commenting on those blog posts. You should also
respond to significant conversations (particularly those that involve twitter
several blogs) in posts on your own blog, and link back to the bloggers Twitter may seem like a baffling fad right now, but it has changed
who started the dialogue. This ‘link love’ is the oil that lubricates the media forever. Even if the brand does not survive, the idea of
blogosphere, and you ignore it at your peril. ‘micro-blogging’ is here to stay. Why? Because this simple mechanism

26 direct > 2009


[ interactive marketing ]

on the one hand this is exciting –

encompasses so many human urges: to broadcast your own thoughts social media can help you to attract
from anywhere, to hear the thoughts of peers and thought leaders
across the globe, to watch the rise and fall of trends and tap into the
customers via a global word-of-mouth
global zeitgeist, all instantly. It is fast becoming the ultimate real-time
network. On the other, it is sobering –
resource for scanning a brand’s reputation. You literally cannot afford
not to have a presence on Twitter. one angry customer could damage
The thought of scanning and updating all of these channels might
seem daunting, but it can be made a lot more manageable if you your brand irreparably.
follow some simple principles:

 decide on a tone and stick to it


Your brand has a personality – let your communication speak in a Okay, so you’ve got all these tools and principles, but what about the
voice that reflects that personality. Remember these are individual sales leads you’re supposed to be generating? Well, that’s the beauty of
human beings you’re talking to – not media companies. Dry, the game: by concentrating on having meaningful conversations with
formal business language just isn’t going to cut it and neither is customers (and potential customers), you are essentially converting
marketing-speak. those customers into a sales force.
Remember, all social media does is speed up and distribute
 be personal instinctive human interactions like word of mouth. As soon as a happy
People like to talk to other people – not organisations or machines. customer sees another person with the same problem that you solved
Appoint real people to manage your channels and make sure they talk for them they will direct them to one of your channels and bingo,
to the world from that perspective. These ‘talkers’ are essentially online you’ve got a lead.
brand ambassadors. And because you’re active in a range of social channels, these
potential customers are that much more likely to find you, have a
 link, link, link conversation with you and convert to your product or service. This
All of your channels should constantly refer to all your other channels. applies even more cogently to unhappy customers. If you can find them
Tweet about your blog, link to your site from your forum posts, put your quickly and deal with their problems, you have a chance of converting
blog feed on your site’s front page next to your Twitter feed. Your them back to your army of happy advocates.
social media communication strategy should be an interlinked ecosystem The DEI Worldwide study also shows that ‘consumers who visit a
of channels. This will dramatically increase the ‘surface area’ of your social media website are more likely to make a purchase decision than
channels and thus make you that much more visible. those who do not’. And this is further born out by an interesting case
study by market research experts Marketing Sherpa.
 position yourself as an authority In the study it explores the social media strategy of BreakingPoint, a
In the new ‘attention economy’ people are constantly re-evaluating technology start-up. In a six-month period, using the channels and
who they should be listening to. You know your industry and your products techniques described above, it achieved:
better than anyone else. Make sure people realise that by giving good,  10 230 unique blog page views in its last quarter
fair advice and prompt, helpful responses to complaints or questions.  280 Twitter followers
 141 members of its LinkedIn Group
 155 per cent increase in unique Web visitors.
 never argue
Inevitably, someone out there will take potshots at your brand, some- All this attention has made ‘inbound Web’ the most important part of
times with little material justification. The way to handle these cyber its pipeline, accounting for over half of its new leads.
bullies (or ‘trolls’ as they are called) is to remain calm, state your case Its success is not unusual – hundreds of companies are seeing similar
and offer to make amends for any wrongs or inconveniences caused. If results. All you need is the will to implement a strategy and then stick to
the troll refuses or carries on, they end up looking petulant and irrelevant. it. It could just revolutionise your business. After all, word of mouth is
But if you engage in a war of words with them you will always lose. still the most powerful form of marketing – the ‘mouths’ have just
become digital.
 be transparent Alistair Fairweather, manager: Social Media,
The Internet is all about openness, and telling white lies or half truths 24.com
will only get you into deeper trouble. When everyone is connected to
sources:
everyone else, and the world’s information is a click away, secrets don’t DEI Worldwide study:
remain that way for long. Don’t try to bluff or obscure the issue – rather http://themarketingguy.files.wordpress.com/2008/12/
dei-study-engaging-consumers-online-summary.pdf
own the problems and commit yourself to solving them. This approach BreakingPoint case study:
isn’t always easy, but it is always the most fruitful. http://www.marketingsherpa.com/article.php?ident=30946

direct > 2009 27


[ interactive marketing ]

tweeting People choose to follow you because you add value to their lives
with your humour, your thoughts and the way you share stuff. It’s a
relationship. It can be a strictly commercial relationship as well but it’s

yourself entered into knowingly with expectations.


So is it or any social media, a direct marketing tool? The answer is
only if I have that kind of relationship with my followers.
The concept of writing this article had bothered me for a while and

into an empty nest so I asked my followers what they thought, (my Twitter feed updates a
whole bunch of networks simultaneously). This came from Facebook,
but was a typical response. “No. Is Twitter even a marketing tool? And
by Walter Pike, AAA School of Advertising
what’s the difference between using Twitter as a DM tool and just
spamming people?”
That was the answer I expected.
Twitter is the hot online topic today. The community is growing at a rate The answer is true, however you gained your followers. It’s even true
of over 1 000 per cent. The Twitter owners have even recently turned if you have used artificial techniques to grow your list; for example, the
down massive offers from Facebook (half a billion dollars worth of strong push marketing that allowed Ashton Kutcher to hit a million
Facebook shares) and Google and, as I write this, there is speculation followers as the first person to that mark – beating CNN to that
that a rumoured offer from Apple will also be turned down. Twitter is milestone using some strong push marketing.
the hottest property in the digital world. People join Twitter primarily as a source of information; very few
Its also exactly 10 short years ago that Seth Godin was ridiculed by serious business users actually answer the “What you are doing
the marketing industry, especially the direct marketing industry for question?” Instead they use the space to distribute information, as a
suggesting the concept that you should only market to people who ask resource panel and as a method of building engagement. Followers
to be marketed to. The cornerstone of permission marketing is trust. It’s follow you because you have something valuable to offer, if you break
like dating. When I get into a relationship with you I do so with an that trust then they simply un-follow you. If you have a two to five per
understanding of the expectations of that type of relationship. When cent response on a Twitter ‘mailing’ that could mean that you lose up to
someone follows me on Twitter, they do so with some expectations as well. 95 per cent of your follower base.
Spam is voyeurism or infidelity or a pick-up line. There is no trust Twitter superstar, Zappos, the online shoe store famous for its
involved whatsoever, there is no relationship; you just interrupt me and 365-day return policy and free shipping, is also famous for its superior
try to get me to do something like buy your product. customer service. The company understands the power of engagement.
Twitter is an engagement tool, it builds relationships. It believes that it’s personal and emotional connections that turn into
Twitter is a simple concept. Simply the answer to the generic question sales. Its use of Twitter is legendary, but most of its tweets are about
“What are you doing?” given in 140 characters or less, to be read by getting to know its customers and them getting to know Zappos and its
your followers and people who search the database. The 140 character staff as people.
tweets can also be accessed using the Twitter API and mashed up Twitter and other social media tools offer opportunities to engage,
onto blogs, web pages etc; it can also be accessed and updated my to have conversations with customers. Out of the conversations
multiple devices such as cellphones. come loyalty.
The best way to use Twitter is as an engagement tool to build
relationships, to build a sense of community, to listen to what people
are saying about you, to use it to improve the customer experience (like
the Houston coffee shop that takes orders by Twitter).
One of the mega blocks to understanding, what we could call new
marketing, is the mindset that digital media and the Internet are just
another media channel and can fit into one of the current ‘old
marketing’ mindsets. It just doesn’t. Sure, you can use the tools to sell,
the tools will work but the context and the consumer mindset doesn’t.
This is what Seth Godin spoke about 10 years ago.
So if you are going to use Twitter for your marketing do it within the
context it operates in. Build relationships, build trust, build liking, build
loyalty. It’s not a short-term project and it’s definitely not a campaign.
You just don’t do social media campaigns.
If you do, and you break the trust in the relationship, exactly the
same happens as happens in your dating relationships. Lonely nights.
Walter Pike, head of the faculty of marketing and
advertising, AAA School of Advertising
walterp@aaaschooljhb.co.za
Follow Walter on twitter at www.twitter.com/walterpike.

28 direct > 2009


[ case study: sapo: direct mail centre ]
client: south african post office: direct mail centre
campaign: advertising that’s seen and not just heard about
agency: action ambro’s
The Post Office DMC (Direct Mail Centre) wanted to reach out to
marketers and communication specialists in an attempt to change the
perception of direct mail, emphasise SAPO’s commitment to this
medium and create positioning that encapsulates the significance of the
medium as a communication tool.
solution: Direct mail, advertising that is seen and not just heard about.
This is the message that was used to reposition the medium. To educate
brand managers and creative staff to embrace the possibilities of direct
mail as a medium, a series of mail shots showcased the different
mediums in a manner that gave each its own personality and unique-
ness. The medium had a one-on-one conversation with the recipient:
‘I am a letter, I am an envelope’ etc, so that each told its own story. have achieved greater exposure had direct marketing (DM) been used
The activation part of the campaign used a blank sample element instead of traditional channels.
of each communication piece that could be used as a template to This was followed with a series of DM elements that were
win a trip to Cannes. To maximise the number of direct mail introduced to the audience – a letter, envelope, stamp and a parcel –
campaigns through the postal streams, advertising agencies were that were humanised and used a quirky tone and speech to get
communicated to over a six-week period incorporating all the direct mail their messages across. They were also used to introduce the DMC
mediums. A microsite and online campaign integrated the message and its services.
across all elements results: The campaign is still in progress and so far there has been
Taking the target market into consideration, the campaign had to a response rate of 25 per cent in terms of participation and
adopt a tongue-in-cheek approach to get the message across. The registration on the competition microsite.
campaign started off with a teaser that adopted the ‘missing person’
approach – award-winning print adverts were placed on milk cartons
and posters and then sent t directly to industry big wigs – asking the
question ‘Have you seen this ad?’ They were then told that the ad would
sapo direct mail
[ case study: adidas originals/air miles ]
client: adidas originals
campaign: 60 years of soles and stripes
agency: posterscope
A direct marketing campaign was launched as part of a global
campaign to each global market.
In spring/summer 2009, adidas Originals truly celebrates the past 60
years of originality in different interpretations of products, offering a
broad spectrum of highlight themes, including a 60th anniversary range:
‘60 Years of Soles and Stripes’ plus a monumental women’s, fresh
coastal and summer offer topped off by a new partnership.
The objective of the campaign was to catch the target market’s
attention, create hype around the house party and motivate them to market to the stores where they could find out more about how to
participate in the celebration and house party held at the end of April stand a chance of winning this prize. Selected campuses included:
2009. Of equal importance was driving consumers to the adidas stores, UCT, University of Stellenbosch, CPUT, WITS, RAU, University of Natal
where they could enter the competition to win tickets for themselves and (DBN campus), University of Natal (Westville campus)
10 friends to the house party. Target market: Selected stores included Sportscene, Crosstrainer and Originals.
 15 to 24 year olds Distribution in the ‘hot spot’ areas revolved around a ‘guerilla-style’
 Trendy and fashion-conscious campaign, where promoters were briefed to distribute leaflets and put
 Music inspired up posters at will in the following areas over a three- to four-day period:
 Sport inspired. results:
solution: Graffiti murals, ‘hot-spot’ poster campaign and leaflet Campus posters handed out 1 300
handout, poster campaign in bars. The campaign needed to be Campus postcards handed out 25 000
communicated directly to the student market to generate hype. Tools Hot spot posters 1 500
used were A3 posters and A5 postcards that communicated the Hot spot postcards 15 000
campaign title. Strategically selected promoters (who fitted the Originals Six hundred people attended the house party with 3 500 people
profile) were used to approach the target market, chat to them and ask entering the in-store retail competition for them to win tickets to the
them what they think of the adidas Originals brand, give them a house party.
postcard and inform them that adidas is celebrating 60 years of soles
and stripes and this was their chance to get involved and win tickets to
the house party. The promoter’s main objective was to drive the target
adidas
client: air miles
campaign: flying high
agency: epsilon
The AIR MILES Reward Program is North America’s premier coalition
loyalty programme.
The eBusiness Group at AIR MILES sends a monthly newsletter,
eNews, to programme members promoting the latest sponsor rewards
and bonus point opportunities. Programme members are segmented
according to specific variables (for example, region, age group,
language) and versions are sent to both English- and French-speaking
members. As the primary vehicle of the AIR MILES e-mail campaign, the
newsletter is a vital conduit between the programme and its members.
While the e-mail newsletter historically performed well, with
above-average open and click rates, the challenge was to further boost
engagement rates.
solution: The decision was made to use Multivariate Creative Testing Once the analysis was completed, the recipe for the ‘Super E-mail’
(MVT) as a way to produce the creative design to best elicit the desired was determined – the combination of all winning factors that would be
response from consumers. MVT is an analytic approach that allows for used in future e-mail campaigns.
the testing of multiple factors simultaneously to determine which drive results: AIR MILES tested the Super E-mail with both the English and
common e-mail responses like opens, clicks and conversions. MVT is far French language audiences against the previous control version. In the
superior to the traditional means of testing, A/B split testing, because it sample group of 300 000 members, the English Super E-mail
can test multiple factors simultaneously, and thus arrives at the optimal outperformed the English control by 30.7 per cent in terms of total opens
creative execution faster and with fewer resources. and 48.6 per cent in terms of total clicks. For French, those numbers are
Epsilon reviewed past versions of the AIR MILES newsletter and 25.2 per cent and 39.9 per cent respectively.
proposed a list of factors to consider for the testing. Beginning with the AIR MILES has seen average lift of 25.8 per cent for e-mail opens and
June 2008 newsletter, MVT was used to test 12 factors of both the 43.2 per cent for click rates.
English and French versions of the e-mail newsletter. The analysis
showed that a personalised subject line, the placement of the ‘points
balance’ box, and a certain order of its navigation bar were leading
indicators of higher click rates. air miles
30 direct > 2009
[ case study: unilever/microsoft/sab ]
solution: Instant SMS and win promotion communicated on pack. A website
and Facebook application was developed as well the use of MXit and
promotional activity on campus to increase awareness. Fifteen iPhones were
delivered over three months and instant rewards, including two-for-one dinner
vouchers, free movie tickets, airtime vouchers and VIP nightclubbing were
given away.
client: unilever results: Cornetto saw a 400 per cent increase in traffic to
campaign: cornetto – ‘flip the lid’ www.cornetto.co.za during the campaign period. There were over 28 000
agency: habari direct SMS and MXit entries, and 3 587 586 impressions of the Facebook ad
The objective was to create a promotional were served.
campaign to cement Cornetto as the
‘Expression of Love’ ice cream among
teenagers in South Africa.
unilever
client: south african breweries
campaign: hansa board of approval (hba)
agency: mick&nick
The brief had two objectives, firstly to launch the Hansa Board of Approval
(HBA) directly to the consumer in a fun and engaging way and, secondly,
to drive volume during a notorious ‘dry’ spell in winter.
solution: The campaign was designed to bring the HBA to life by giving
the consumer the chance to ‘win a seat on the board of the HBA for one
year, with a salary of R600 000. This message was printed on bottles and
cans, and helped to drive the massive participation and volume. This was then
complemented by the activation where real HBA interviews were conducted
at over 230 taverns, clubs and bars. So consumers could take part in the
promotion via the bottle if they couldn’t have a one-on-one interview.
results: Due to the highly competitive nature of the beer market, exact client: microsoft (windows mobile)
figures are unavailable; however, it can be confirmed that Hansa saw campaign: office in your pocket
double-digit growth in volume over the promotional period. This far agency: wunderman
exceeded the original volume growth objectives. Microsoft wanted to introduce its Windows Mobile product to the small,
This promotion, during the notoriously dry winter season, saw sales medium and micro enterprise (SMME) segment. This was quite a challenge
equivalent to Easter – a peak sales period for the beer market. as these decision-makers are bombarded with mobile business offers and
Having a chance to experience the HBA concept beyond above-the-line Microsoft was not part of their consideration set for a product of this nature.
media, consumers’ understanding of the brand grew exponentially, As a result, an impactful mailer that really dramatised the offer and moved
strengthening the messaging for the entire 360 campaign. Microsoft out of the PC-only space needed to be created.
 Over one million SMS entries proved unequivocally how the The objective of the campaign was threefold:
communication inspired consumers to interact with the brand, wanting  To introduce Microsoft’s mobile offering to the SMME segment
not just to win cash but to become a member of the HBA  To highlight benefits of the products and demonstrate how it could make
 Of the 3.2 million people in the Hansa core market, receiving life easier for SMMEs
SMS entries accounting for over a third of that population set new  To reinforce the importance of mobility to the target audience.
SABMiller records solution: A direct mail campaign was developed that dramatised what it
 Within the first week a phenomenal 109 725 SMS entries were means to use Microsoft’s mobile solution. The campaign played on the
received and these numbers remained consistently above 65 000 in all insight that in order to make an office truly mobile business would need
13 weeks, seeing the highest number. of entries in over the first 10 weeks more than just a cellphone or laptop. In line with this, Microsoft offered true
 Over 5 200 individual interviews were conducted in 231 outlets over mobility through a complete range of solutions that allowed SMME owners
the promotional period to manage all their business information from one device, no matter where
 Incremental growth of 6 per cent in volumes they are.
was achieved over the promotional period. To dramatise this, an attention-grabbing 3D mailer was created, which
introduced prospective clients to their ‘new office space’. Inside a box was a
real trouser pocket made from suit material, containing a brochure
resembling a cellphone and a personalised letter explaining Microsoft’s
mobile office solutions. On the cover of the cellphone brochure was the
headline ‘Your office can now truly be mobile’.
results: The campaign achieved the highest response rate of all campaigns
run for this product segment by Microsoft South Africa, with a 17 per cent
response rate. It also facilitated considerable word of mouth and awareness
of the offering.

south african breweries microsoft


direct > 2009 31
[ case study: betterbond/sapo ]
client: betterbond
campaign: blue door
agency: lesoba difference marketing
Betterbond required a unique, dynamic relationship programme to
ensure it is ‘the originator of choice’ for estate agents. The Blue Door
programme was launched, which fulfils both the vital retention role as
well as attracting new estate agents, that is acquisition. The full estate agency universe for participation in Blue Door,
The main objectives were: including those registered with the competition, has been defined as
 Build a sustainable database of individual agents 15 000-20 000.
 Improve communication – generate ‘dialogue’ between parties via The direct elements include:
direct engagements/communication Blue Door launch packs for estate agents, principals and consultants,
 Relationship building between Betterbond and all participants including brochure, application, FICA requirements and wall clock
 Retention and acquisition initiatives driving brand differentiation (principals – “share-of-desk” item), Posters for estate agents’ offices,
 Add ‘freshness’ to internal and external market engagements – a e-mails and SMSes at various intervals, Monthly and grand prize
reason for regulation communication communication, Website, Betterbond Visa Electron Card mailers,
 ‘Top-of-mind’ awareness Card carrier mailer, PIN carrier mailer, Outbound calling, Regular
 An initial ‘pilot’ period of a year was established to gain learnings events/activations, plus more.
and understanding from the programme, providing invaluable
insights have since been applied to the rollout. results: Within a short timeframe, registrations total in excess of
solution: The programme architecture is structured around cash 6 500 estate agents – this equates to a phenomenal conversion sign-
deposits into a Visa Electron, Betterbond-branded membership card up of 32 per cent.
which revolves around three pillars: Registered estate agents’ contribute over 60 per cent of all
Pillar 1: Cash earnings (Visa Electron Reward Card) Betterbond business that is. R320 million per month = R3 .840
Pillar 2: Structured awards for leading estate agents billion, since inception, proving a key differentiator and huge bottom-
Pillar 3: Recognition of agency principal line contributor for Betterbond.
 Additionally, there are unstructured awards for estate agents A cost return ratio of R1 spent: R1 104 returned.
 Estate agent receiving spontaneous recognition rewards that ‘surprise
and delight’
 Incentivised registration into the programme also attracts reward.
betterbond
client: south african post office
Campaign: celebrate!
Agency: lesoba difference marketing
Postbank residing within the South African Post Office is positioned as a
‘bank for all South Africans’. Among its financial service offerings is
Smart Save – a book-based savings product.
Three primary objectives were identified for this national campaign:
 Reactivate dormant accounts
 Acquisition – focus on growing the number of active new accounts to
reach clients’ stated target
 Existing accounts – additional savings /raise balances by R500 per
account.
solution:
The market was segmented into two distinct groups:
Primary market (male and female, urban and peri-urban): A nationwide three entry mechanisms. A national road show with trailer, loud hailers,
promotion was originated based on a Lucky Draw with 1 000 prizes and scratch cards and prizes visited schools. Promoters educated, put up
substantial grand prizes on offer (two new Chery QQ cars and 10 prizes posters and distributed packs.
of R100 000 each). Integrated marketing communication elements:
To participate, individuals were required to fulfil one of the three following: TV, Print ads, Radio, Posters, Spaza shop collateral, Taxi activations,
 Open a new account and deposit R500 national schools programme, Flyers with application forms via Speed
 Deposit R500 into their existing Smart Save account Services (Post Office’s direct distribution channel), internal incentive with
 Deposit R500 into their unused Smart Save Account. competition focused on branches; e-managing support and staff
Once the account was opened/deposited into, the account holder participation, Posters, Instruction booklets, Button badges.
would SMS their surname and the number found on the back of their results: Within the three-month campaign timeframe, the promotion
Smart Save book to a short dial code – R1.50 per SMS. Each week saw thousands of participants SMSing. In addition to this:
participants were SMSed to reveal the winners. Monthly ads announced  New accounts generated capital inflow of close to R70 million
the winners.  New average balance per Smart Save customer saw an increase of
Secondary market (scholars, primary and high school students whose 98.80 per cent
parents were opening an account on their behalf): Learners were used  Received 8773 smses in total.
as vehicles for the promotion with specially designed ‘school packs’
originated for them to take home to their parents. Packs performed the
role of driving parents to participate in the promotion via one of the sapo
32 direct > 2009
[ case study: lexus/m-web/unilever ]
2. When the left-hand flap was closed, it could also be read across the page
(in conjunction with the grey section).
The brochure element expanded further on this theme, with the outside
inviting the recipient to be the ‘first to experience the merging of two great
powers’. In the first half of the brochure the inside pages were split
client: lexus horizontally – with the top section of each focusing on the performance
campaign: the best of both worlds aspect of the vehicles and the bottom section focusing on the environmental
agency: action ambro’s benefits of hybrid technology. Visually, different aspects of the vehicles were
Lexus was launching two new ‘Luxury Performance Hybrid’ vehicles to the showcased with beautifully photographed and relevant images. The latter half
South African market – the Lexus GS450h sedan and the Lexus RX400h SUV. of the brochure served as an educational piece on hybrid technology without
solution: It needed to be established upfront that there are two ‘sides’ to losing the ‘Performance and Sensitivity’ concept. The last page highlighted
Lexus hybrid vehicles – performance and eco-friendliness. This concept was the vehicles’ specifications.
carried through the entire mailer, starting with the envelope: results: It resulted in over 510 preview test drives booked and 415
Outer envelope completed, which was above and beyond the original target of 260 preview
The mailer was designed in an unusual ‘oblong’ format to make it stand out test drives. That’s 196 per cent over target!
from the usual ‘clutter’ that fills a mailbox. The strong grey colour further The lead generation campaign was targeted at specific individuals and this
separated it from traditional mail. The envelope was printed with the words showed in the overall results, as out of the 900 registrations, 510 were hot
‘Power or Sensitivity…’ which would you choose?’ – words that intrigued the leads, 230 were warm leads, and 160 were cold leads. Almost 60 per cent
recipient and encouraged them to open the envelope. of the customers were driving competitor vehicles and had never been into a
The letter was folded in such a way that the first thing the reader saw was a Lexus dealership.
response to the line on the envelope: ‘With Lexus you can have the best of
both worlds’. The letter itself was ‘split’ down the middle:
1. The ‘split’ section on the left related purely to the vehicles’ performance; lexus
client: m-web business
campaign: the lightbox
agency: primaplus
MWEB Business clients had to be convinced that Hosted Exchange makes
more sense for their business.
solution: The best way to communicate a complicated product like
Hosted Exchange is directly – with a hand-to-hand communication
delivered directly to decision-makers. Something big was needed to get to
its target and then be opened immediately. Conceptually, the execution
needed to be high-tech, in line with the brand and the product. It also
needed to be jargon free, as easily understandable as possible and
creatively portray a complicated product as simple and user-friendly.
So the ‘Lightbox’ was created. The Lightbox demonstrates the ultimate calculator that would calculate the cost-savings for their specific company
truth of the product – that a small switch (from Exchange bought outright of Hosted Exchange vs Exchange, is also included.
to Hosted Exchange) makes a big difference to your business... and then results: The campaign is rolling out over time. So far the response rate
it literally demonstrates the fact that when the recipients flick the switch is sitting at 25 per cent. This is based on confirmed appointments with an
themselves to see all the benefits displayed on a backlit lightbox screen. MWEB Business account manager, which was the measure of success set
A personalised letter and a business card for the target’s MWEB in place by the client
Business Account Manager were provided as well a strong call to action. A
letter is included from the general manager of MWEB Business, and a
brochure that expands on the benefits of Hosted Exchange. To highlight
that adopting Hosted Exchange isn’t as expensive as expected, an online m-web business

client: unilever
campaign: magnum mini and eva longoria
agency: habari direct
The client’s objective was to drive sales and increase awareness of its
new variant, Magnum Mini and to create instant gratification with an
immediate reply SMS.
solution: An instant SMS and win promotion was communicated via
on-pack stickers as well as a fully integrated and interactive promotional
website which tied in to the global MyMagnum theme. Consumer solutions
and prizes included ‘All things Eva’ and indulgences such as spa Website stats:
treatments, yoga, dining, cooking lessons, nightclub passes and Desperate Total impressions: 27 808
Housewives DVD box sets Unique visitors: 2 679
results:
Magnum Spar entries: 2 289
unilever
direct > 2009 33
[ case study: mitsubishi/lexus ]
client: mitsubishi
campaign: pimp my ride
agency: old shanghai and cellsmart
The launch of Mitsubishi Lancer aimed at first-time car buyers. The
objective was to create awareness, facilitate test drives and build a
database for future communication.
solution: ‘Pimp My Ride’ mobi site. The solution was influenced by the
TV show Pimp My Ride, which this target market was very fond of and
familiar with. This concept was used to drive users to interact with
Mitsubishi and to create excitement around the campaign.
To create awareness, banner advertising was placed on V-live as it
has a high reach (2.3 million unique monthly users) and is in line with
Mitsubishi Lancer’s target market.
Once the user clicked on the banner ad, they were directed to the
Mitsubishi Lancer mobile site which allowed them to interact with  Refer a friend to the site, which was a viral element to grow the
Mitsubishi; the user was able to do the following on the mobile site:
database
 Find their nearest dealer  Download wallpapers to be used as wallpapers and screensavers.
 Book a test drive, once user booked a test drive, based on the selected
location, an e-mail would go straight to that dealer to facilitate results:
test drives  Two-week campaign with 657 000 impressions served on V-live
 Check out the stylish Mitsubishi Lancer range  A total of 93 863 hits were recorded for the duration of the campaign
 ‘Pimp it up’; here the user was presented with a plain grey Mitsubishi (2.71 per cent click-through rate)
Lancer which they could detail by choosing the body colour, the  The highest number of hits was 16 766 hits recorded on 3 August
rims/mag wheels and background. Once the Lancer was detailed, it  Average time spent on the site was 4 min 37sec.
could be sent on to friends to brag (the recipient would receive a
personalised SMS with an embedded link which they could click to
connect to the mobile site) and save as wallpaper
mitsubishi
client: lexus
campaign: the scenery will change. the experience won’t!
agency: action ambro’s
The car industry is not in good shape. New car sales figures in South
Africa are on a downward spiral – down 32.9 per cent since August
2008. It’s especially difficult for a relatively new luxury car manufacturer
to break into the South African market. Trends show that consumers in
this segment prefer to upgrade their current model to a newer one within
the same brand rather than move to another brand.
Lexus stands for the pursuit of perfection. A premium brand in the
luxury-vehicle sector, it offers an outstanding driving experience. Every
Lexus model is designed around the concept of L-finesse – Lexus’
signature design elegance that optimises aesthetics and ergonomics to
cushion drivers in the height of comfort and luxury. It’s almost like every
trip in a Lexus becomes an event. The IS250 and IS250SE models are
no exception. The agency was tasked to design a direct mail pack that
invited 15 000 individuals to test drive these models.
solution: It was decided to emphasise the experience of driving the
IS250 and IS250SE, so the campaign started out by putting the recipient
behind the wheel of the car.
The envelope carried a visual of the interior of an IS250, with the
windscreen die-cut to reveal the inside of a garage, as if the vehicle was
parked within. A sign in the garage read: ‘The scenery will change. The Once the recipient was behind the wheel of the car, they were put in
experience won’t’. As the card was removed, the view through the the backseat. A competition element was included where recipients who
windscreen changed to a tar road and a cityscape to illustrate the idea test drove the vehicle before 31 July 2008 could stand a chance to be
of varying journeys, but one exhilarating driving experience. chauffeur driven for a week in an IS250 SE.
The mail pack comprised a square envelope, spec card, competition results:
card, a Z-card with a map of South Africa and a personalised letter. Quantity mailed: 15 000
The Z-card map of South Africa invited the recipient to ‘choose their Eighty-nine per cent of the leads generated applied for a test drive.
journeys’ in a short, punchy letter with the Lexus tone. The main message
was that journeys undertaken in the IS250 would vary, but the
experience of exhilaration would always be 100 per cent Lexus.
lexus
34 direct > 2009
[ case study: revlon/saica ]
For the three days following the start of the campaign a bulk message
was sent to all the users that registered on the site as well as all the referrals
that occurred on the site prompting them to visit the site to view a video clip
with tips shown by a virtual make-up artist.
Mobi site: On the landing page users had to choose their hair, eye and
skin colour via a drop-down menu in order to access the Beyond Natural
mobi site where they were presented with a page giving them a selection of
products that would best suit their features.
Users were able to view the entire Beyond Natural product range as well
as the prices of the products.
Tips were also put on the site so that the user was able to download
video clips showing them how to apply foundation and make-up to their
lips and eyes.
client: revlon Users could also refer two friends and stand a chance to win one of
campaign: beyond natural 1 000 Beyond Natural lip glosses.
agency: cellsmart results:
Revlon along with Cellsmart created a campaign whereby users were able  SMS entries: A total of 12 663 entries were received. The highest
to receive information on Revlon and the Beyond Natural range as well as number of recorded entries was 918 on 9 October
the types of make-up suited to their skin type.  Mobi site: A total of 41 211 hits on the mobile site. The highest number
The objectives of the campaign were: of recorded hits was 18 588 on 18 September
 Launch range  Registered users: A total of 3 482 users registered. The highest number
 Push product of registrations was 2 030 on 18 September
 Build database  Referrals: There was a total of 3 487 referrals recorded for the duration
solution: A virtual make-up artist gave tips on how to apply make-up and of the campaign with the highest number of referrals, 2 026, occurring
the best products to use based on skin type. Users clicked to a mobi site. on 18 September.
The campaign was well integrated into other supporting media (a call to
action was strategically placed on the TV and print ad prompting users to
SMS in to access the mobi site).
A bulk SMS was sent to 37 037 numbers on the day of the launch. revlon
client: saica
campaign: the job from hell
agency: action ambro’s
The South African Institute of Chartered Accountants noted a marked
decrease in the number of applicants to its designation. Teenagers are
hard to market to as they don’t play in the same space as the older
generation, plus data needed to be acquired that would help track and
encourage the most eligible candidates for the CA (SA) designation.
Maths from Grade 8-10 needed to be ‘sold’ to the students and then
make learners applying for university believe that a CA (SA) is the
designation of choice as it opens up career opportunities.
solution: ‘Choose maths. Don’t get stuck in one career’. Both maths and
the CA (SA) designation were positioned as the choices to make now to
provide more career choices later in life.
Channels and media that were relevant to the youth market such as
MXit, the Web and gaming were used. The crux of the campaign was the
online game Escape the Job from Hell. This helped to do two things: the
back-end allowed data to be gathered (the learners had to register in
order to play) plus their maths skills could be tested in an engaging way consisted of a tear off – each leaf torn off revealed the same man progressively
without it seeming like a maths test. ageing in the same bear suit.
This addictive maths-based escape game allowed players to climb up For the Grade 10-12 learners it was decided to tap into their
the corporate ladder and improve their virtual lifestyles by solving competitive nature, as high achievers are most suited for the academically
problems. A very tongue- in cheek approach was used to keep it challenging CA (SA) course. Since they had maths as a subject, they just
entertaining. The entire communication mix had a call to action that led had to be enticed to take up the CA (SA) course.
the learners to the game with a cash prize as an incentive. results: Although this campaign is still running there has been a marked
The campaign was split according to target market and message. increase in the number of students that have taken up both maths and
For Grade 8-10 learners, the reason for taking maths was made opted for a CA (SA) course. The number of click throughs is in the
attractive rather than the subject itself. This was achieved with the thousands and SAICA now has a database of potential candidates.
tongue-in-cheek campaign. This idea is illustrated by showing ageing
people who got trapped in the same awful job for life. The execution
translated across a variety of media, including posters for schools that
saica
direct > 2009 35
Gay marketing

Winning pink
If the globally adopted estimate that 10 per cent of the population research out, it is up to the smaller niche agencies such as Pink
is lesbian, gay, bisexual or transgendered (LGBT), holds true, then Advertising and Hot Salsa Media, and LGBT media to survey
in SA, the market is potentially around 4.4 million, yet only a their customers.
handful of brands are engaging with this market with real The result is pockets of research data, a lot of which has
commitment and understanding. found the gay market to be white, wealthy English/Afrikaans
The belief that supporting the LGBT market will alienate a speaking. “With this kind of research, one is seeing just
brand’s mass markets is unfounded – consumer research the little picture,” says Luiz de Barros, publisher/editor
proves that straight consumers don’t care MambaOnline.com.
(http://www.mambaonline.com/article.asp?artid=384). It’s the This is acceptable for a brand that wants to target this upper
lesbian and gay consumers who do care, and if the research is to be LSM demographic or get a better understanding of the customer
believed, then this is a market whose loyalty brands want to have. of the organisation carrying out the research. But it is not helping
In understanding this market, the first fact that needs to be us to uncover who the average SA gay or lesbian is, nor how they
acknowledged is that gay and lesbian consumers are (on a compare with the rest of the SA population. Pink Advertising’s
superficial level), like any other consumer. They buy the same research has begun to measure its survey data against AMPS data
groceries, at the same stores as straight consumers; they in an attempt to paint a more comprehensive picture, although
expect good service from brands and companies, and they there is still the need for an independent, nationalised study as well
want to feel valued. However, it is the nuances of the LGBT as segmentation models.
market that brands need to understand in order to really make “Marketers don’t understand how to address this market, and
a connection. each of the different segments within it, or how each segment
migrates through different life stages in ways that are different to
36 Research straight consumers,” says Morne Ebersohn, CEO, Pink
Until the census and AMPS studies include questions that address Advertising, and publisher, Wrapped magazine. It’s not about
this market, and are provided with sufficient budgets to carry this sexuality; ultimately, it’s about lifestyle.

GLBT: insights into ‘pink’ spending power


Pink Advertising commissioned Freshly Ground Insights (FGI) to conduct a study into the LGBT market in 2008, to profile the gay and lesbian community
in SA, and verify its spending power. The study was a Web-based self-completion study, and according to Morne Ebersohn, publisher of Wrapped
magazine and CEO of Pink Advertising, this explains the higher LSM profile of the average respondent. The high male bias is also due to the fact that the
questionnaire had been circulated mainly in gay men’s media.
Results for the second phase of the study are expected in the next few months.
The study reached a majority white respondent, aged between 18 and 44 years. The study was conducted nationally (66 per cent of them live in
Gauteng and 21 per cent, in the Western Cape).
Some of the findings:
 40 per cent have degrees
 73 per cent work full-time; 20 per cent are self-employed
 R23 342: the average income of the respondent
 51 per cent are single; 37 per cent live together
 78 per cent have no children/dependants
 55 per cent claim to be the household decision-maker
 65 per cent live in Gauteng and 21 per cent in the Western Cape
 In the past four weeks, 91 per cent ate in a restaurant; 86 per cent bought take-outs; 73 per cent watched DStv; and 61 per cent went to the cinema
 Walking/hiking, jogging, dancing and swimming rank as the most popular activities.
 86 per cent have purchased small electrical appliances and
56 per cent have purchased furniture in the past 12 months. The majority purchase with cash, rather than credit. The stores they frequent for these
goods are Game, Makro, Pick n Pay Hyper, Hi-Fi Corporation and Incredible Connection
 Woolworths, Truworths, Edgars Mr Price and Markhams are listed as the stores most frequented for clothes purchases
 Cape Town, Durban and Europe are the most popular holiday destinations.

> p38

marketingmix.co.za / vol 27 / issue 5/6 / 2009


Gay marketing
>> p36

LGBT media It needs to have a wider appeal and make people


There are a handful of LGBT media out there, including feel comfortable to watch it,” he says. In May,
newspapers, magazines, websites and a few TV offerings for this the group began shooting the pilot for a gay
market. “Surely, the SABC, as the national broadcaster, should be soapie, which Ebersohn hopes to sell to global
obligated to provide something for this market. In the US, HBO channels. “We find that gay channels around the
has produced the programme Queer as Folk, and locally, we were world have the capital to buy content, but not
told M-Net was looking at buying programming, but I have yet to to produce it, because the production is so
see anything from them,” says De Barros. The programme The costly,” he says. Another project that Ebersohn
L Word is screened on DStv, featuring a lesbian character cast, but and his team have up their sleeves is the
there is little beyond this. In the US, for example, there are establishment of a gay TV channel, which will take content to air in
dedicated channels such as Logo for gay and lesbian audiences. live format. “We would produce content for the local market, with
the aim of selling it to the international market,” he explains.
Wrapped Magazine
Wrapped magazine is a monthly glossy mag. It was redesigned earlier Gay Pages
this year, and publisher, Morne Ebersohn says it is eliciting a very A glossy lifestyle magazine published quarterly with a print run of
positive response from advertisers. The mag is multimedia in its 12 000. Once a year a large format collector’s edition is published
positioning: the team behind the mag have also made it available on as a standalone annual special summer holiday edition.
www.mymag.co.za, to allow for online subscriptions to the The demographics of the readership are wide ranging. Age varies
magazine. The magazine’s website is also going to be redesigned. from late teens to men in their 60s and 70s, but most are aged
“We suspect the website attracts a younger audience, but we have between 20 and 55. Over 70 per cent have tertiary education. More
not tested it yet,” says Ebersohn. than 85 per cent consider themselves techno savvy and 94 per cent
Ebersohn says the team behind Wrapped is currently testing the are Internet users. Ninety-five own a car and almost half buy new
feasibility of a gay TV programme. “We understand from our cars within a three-year period. Over 70 per cent of readers are
research that this programme cannot be exclusively gay in its focus. frequent travellers locally and internationally. Approximately seven

ABNSA Gay Consumer Profile


The Associated Business Network South Africa (ABNSA) Gay Consumer Profile 2008 saw 15 000 printed questionnaires being distributed countrywide
38 (printed in the Gay Pages magazine and mailed) with around 2 000 questionnaires e-mailed and circulated online. The majority of respondents were
male, with a median age of 29 years.
Some findings:
 70 per cent live in Gauteng and the Western Cape
 34 per cent have a degree/diploma
 75 per cent work in management; 47 per cent are self-employed
 R30 000: the median monthly income
 47 per cent live with a partner
 73 per cent own pets
 77 per cent own residential properties
 43 per cent bank with ABSA; 84 per cent have credit cards
 58 per cent dine out five or more times a month
 58 per cent are wine drinkers
 63 per cent consider themselves brand loyal; 47 per cent are label conscious
 74 per cent are consumers of luxury goods
 43 per cent buy groceries at Spar
 95 per cent own a car (Mercedes-Benz is both the most owned car and the most desired car brand)
 51 per cent read mainstream men’s magazines; 90 per cent read Men’s Health as well as decor magazines (top titles include Garden & Home, and
House & Garden)
 44 per cent are DStv subscribers (M-Net, BBC channels, Discovery Channel and e.tv top the list); 75 per cent would pay extra for a gay channel
 79 per cent have hobbies (art, reading, crafts, music, cooking and gardening, hiking)
 76 per cent would be more aware of a specific ad targeting gay people.

Some local LGBT websites:

WWW gaydating.co.za
flirtcamp.co.za
manspin.co.za
gaysa.co.za
q.co.za
gmax.co.za
oia.co.za
lesbiansouthafrica.tripod.com
mask.org.za.
wrappedmag.com
gaypages.co.za
pinktongue.co.za
gaysouthafrica.net gala.co.za
> p40
marketingmix.co.za / vol 27 / issue 5/6 / 2009
Gay marketing
>> p38

per cent are female and approximately 50 per cent are (a gay-friendly business directory) is a new section, but is proving
white males. Readership from other racial groups is fairly successful. It has around 200 suppliers listed; criterion for
growing rapidly. Most readers fall into the upper LSM inclusion is that the business must be gay or lesbian-owned or
brackets and 60 per cent of readers share their homes gay/lesbian friendly. There is a growing diversification among the
with life partners. The two provinces with the largest dating site user base, with an increase in the number of black and
distribution are Gauteng with approximately 50 per coloured users. This also signals the growing diversification of the
cent and the Western Cape with approximately online market in SA.
25 per cent.
Rules of engagement
The Pink Tongue A few tips for engaging this market:
A community leisure and lifestyle newspaper  Get to know the different gay/lesbian media and understand the
for the gay/lesbians of the Cape Town, role that each plays within its community (ie feature articles
published monthly. versus personal ads). “The purpose of each medium is an
15 000 copies of the Pink Tongue are distributed for free to the important factor to be considered in terms of both whether or
gay/lesbian community, on the last Wednesday of every month, via not to advertise as well as how to advertise,” explains Gavin
a network of gay-friendly bars, clubs, and venues in the Cape Town Hayward, editor, Exit newspaper. Consider the distribution
area. of each.
There are also a handful of Johnnesburg venues that distribute  Work closely with the gay/lesbian media that you want to
the paper in Gauteng (though the paper is firmly a Cape advertise with.
Town-based publication).  Commit to a long-term campaign to build trust. “I’ve seen it
happen – a great brand comes in with all the right advertising
Exit newspaper and indicators, but then, out of ignorance, it holds back,” says
According to publisher, Gavin Hayward, the Rubin van Niekerk, editor of Gay Pages and MD, Associated
newspaper’s audience ranges in age from 16-76 Business Network. “Corporate advertising is not
years, with a core audience of 25-35 year olds; just branding, it’s a form of acknowledgement.”
about 60 per cent white/coloured/Indian, and  Multi-touch point advertising makes a brand relevant across all
about 60-70 per cent male. They range from the platforms.
unemployed and students to CEOs and Supreme  Advertising that features an alluring image and a catchy phrase
Court judges, says Hayward. Circulation is 20 000 will probably work. This is a very well-connected community –
40 copies, and the paper is distributed primarily as a word of mouth is big.
giveaway in clubs and bars. The paper covers local For campaigns that run across more than one gay/lesbian media,
news, entertainment, health, classifieds and tailor the creative and the messaging to each. “Advertisers need to
personal ads. question how their creative is going to be interpreted by the
A 2002 survey of Exit readers yielded the following results: different audiences of each of the gay media,” says Ebersohn.
 R10 000 plus monthly income, and banks with ABSA Support advertising with activations and events, and hand out
 Has clothing account at Edgars (Levis, Diesel and Wrangler are samples where possible. The Pride Parades in Johannesburg and
the preferred jeans brands) Cape Town represent viable branding and sponsorship opportunities
 Most likely to fly SAA to Cape Town, US or Europe (and are becoming tourist attractions too). Other such events
 Uses the Internet for information, to chat, or to find porn include gay pageants, for example, and contests as well as
 Listens to 5FM, 94.7 Highveld Stereo or Classic FM. fundraisers. “The Pink Loeries festival in Knysna is possibly the
greatest undiscovered gem. Thousands of festival goers commute,
MambaGirl.com locally and internationally, for this festival,” says Van Niekerk. 
MambaGirl.com is an online community portal for the lesbian
market. However, according to De Barros, it is one tenth the size
of sibling portal, MambaOnline. “Anecdotally, lesbians consume Tiger of Sweden launch
less gay/lesbian media and are less proactive than gay men. We need Fashion brand Tiger of Sweden launched in SA via Wrapped magazine
to find out why,” he says. exclusively. Says brand manager, Nitsa Comninos-Rose, Wrapped approached
the brand, and proved that it was complimentary to the product and its lifestyle
MambaOnline.com: positioning. “We target any demographic that loves clothes, style and
A lifestyle website for gays and workmanship,” she says. And the brand found this in the reader of Wrapped,
lesbians. Aimed at 18-to-45 year-old she says. And as to the fact that the Wrapped reader is gay, she adds, it just so
urban, trendsetting Internet-connected happens that this reader tends to have a more astute understanding of fashion.
gay men and women (74 per cent are “We’re not isolating anybody by advertising in Wrapped first,” she explains.
aged between 21 and 35 years). An Wrapped prepared a fashion shoot for the brand to showcase and introduce it to
annual highlight is Mambaonline’s Sexiest Man Survey (for which the SA market, in a joint venture with Samsung Electronics (the shoot also
the MambaOnline.com team is looking for sponsors). The featured Samsung products). Since Tiger of Sweden makes high-end laptop
platform’s weekly e-newsletter reaches over 9 000 subscribers, while bags, it was decided that there was healthy synergy between the two brands.
the online dating service reaches over 18 000 members. “My advice to any brand wanting to make an impact in the top-end gay market
MambaOnline.com will be revamped over the course of 2009, is to find a partner that understands how the brand wants to be interpreted.
with enhancement to the dating section. The MambaBiz section The outcome should be beneficial to both parties,” says Comninos-Rose.

marketingmix.co.za / vol 27 / issue 5/6 / 2009


Expert opinion

Going green to cut costs


Since most of SA’s energy is produced businesses, including retailers, expect their
through the burning of fossil fuel, any suppliers to implement more sustainable
business that reduces its consumption of practices and to collaborate with them as
energy automatically contributes to a they strive to achieve their objectives. Any
reduction in greenhouse gas emissions supplier in SA who is able to do this will
while at the same time saving money. achieve competitive advantage and retain its
According to a news report in the local corporate customers.
media, the government is going to place Consumers will also expect South
increasing pressure on South African African businesses to become more socially
businesses to reduce their greenhouse gas responsible in relation to the natural
emissions as they are seen to be the largest environment, particularly as the South
contributors. This is of concern to South African mass media continue to comment
African businesses and brands as increased on the negative impact of climate change
government regulation and legislation mean on their lives: for example, the increased
greater expenditure in terms of compliance frequency of natural disasters in SA. There
and increased penalties for non-compliant are businesses in SA that are successfully
businesses. and profitably focusing on the emerging
SA’s over reliance on coal and fossil fuel green consciousness of consumers by
as an energy source make it the largest providing organic produce and promoting
contributor (41.9 per cent) of greenhouse sustainable business practices.
42 gas emissions in Africa. If one corrects On the plus side, any local business that
greenhouse gas emissions for income and is able to reduce its consumption of
population, the results reveal that SA electricity and fossil fuels will save money
pollutes the atmosphere 20 times more and earn brownie points for reducing its
than the US. This contribution to carbon footprint. A recent chat with the
greenhouse gases makes SA vulnerable to recruitment manager of a major retail chain
social and political pressures from the in South Africa revealed that the savings
international community particularly as won through reduced electricity consumption
members of the International Panel for strategies, for example, are substantial (in
Climate Change are stating that the planet the millions). Plus, this retail chain
is warming at a faster rate than anticipated, was able to tangibly demonstrate its
and the European Union is threatening to commitment to the Department of
introduce stricter emission and carbon Minerals and Energy’s Efficiency Accord
footprint controls in the future. as wells as to Eskom’s request to reduce
This is particularly significant for South energy consumption.
African businesses that export to countries Large South African businesses usually
where stricter emission controls are have an advantage over small and medium
imposed as importing businesses will sized business in terms of the resources
expect exporting companies to comply they have available to them. However,
with their environmental regulations. small and medium sized business can gain
This has been experienced in China where valuable insights into ways of reducing
it is estimated that the country lost their greenhouse gas emissions through
approximately US$20 billion in exports networking with other businesses and
due to ‘green barriers’ imposed by building partnerships with their suppliers
Dr. Maria Dos Santos
importing countries. and customers who are interested in
senior lecturer, department of
Pressure on South African businesses to sustainable business practices Business
Marketing Management
reduce their carbon footprint will also owners can also gain insights into the issues
Faculty of Management,
come from internal sources as the surrounding greenhouse gas emissions and
University of Johannesburg
country’s major businesses strive to meet their reduction by exposing themselves to
(011) 559 1278
their voluntary sustainable business articles and programmes in the mass media
mariads@uj.ac.za
objectives and commitments. These that discuss these issues. 

marketingmix.co.za / vol 27 / issue 5/6 / 2009


Expert opinion

Little giants
It’s neither a new phenomenon nor confined ‘guaranteed’ monthly pay cheques for the
to Australia, but it’s one that seems to be prospect of gaining their independence and
gaining considerable momentum across doing what they like best; solving their
the globe. clients’ communication challenges.
I’m talking about the birth of small agencies For many of these new highly experienced
and consultancies staffed by experienced consultancies and communications companies,
marketing professionals and disgruntled their senior staff seems to relish being
agency executives disillusioned by the big involved in the daily cut and thrust of working
multinational corporate machines. on the briefs and challenges thrown at
The advertising industry has over the them. Their clients in turn have enjoyed
years seen growth in the big multinationals much comfort and reassurance at having
and the successful rise of new challenger such skilled staff on their business and in
brands that in time joined the ranks of the return seem much more willing to pay
big five. This model has managed, against all lucrative fees. It’s not hard to understand –
odds, to survive many internal and external who wouldn’t pay the same fees paid to
challenges to its future. However, now a multinationals with their junior to mid-level
combination of factors has given rise to a new staff, heavy overheads, and overseas
threat which will force the big multinationals management and structure costs, to a small
to review the way they work, structure and dedicated and highly skilled group of
staff their companies in the future. seasoned professionals dedicated to your
From creative hot shops to virtual agencies, account, without the exorbitant overheads.
and integrated marketing communication The insight and knowledge that the big
specialists and brand consultancies, never multinationals constantly promise clients
before have marketers had as many to through their extensive networks and sheer
choose from than they do now when selecting size rarely seems to materialise and in reality
44 their advertising agencies or consultants. is little more than an illusion or hopeful
The growth in these highly skilled hired mirage. That’s not to say that there are
guns is as much a factor of the economic exceptions. There are, but in my career I can
global downturn as it is driven by labour count on one hand the number of agencies
force dynamics in each country, and the that I have seen properly leverage their
trend seems to be as pronounced from London network and staff complement to deliver a
to Sydney as it is from Johannesburg to tangible benefit that has warranted the fees
Cape Town. they have charged their clients.
One of the most common and long- In the past few years I have seen a number
standing complaints voiced by marketers of major advertisers give far greater chunks of
about their agencies is that they tend to their advertising business to this new breed of
only see the senior management when there advertising professional. The results have
is a review, problem or pitch. For the most almost always been impressive and served to
part, their accounts are staffed by junior to encourage the allocation of greater chunks of
middle-level staff under the supposed guidance marketing budgets to these Little Giants. I
and supervision of senior management. In don’t see this trend stopping, but I do see it
reality, few agencies can offer the level of forcing the big multinationals to adapt to
senior management involvement clients meet this new challenge.
would ideally like in the agency’s day-to-day This doesn’t signal the demise of the big
activities as their model just doesn’t allow multinationals, but it does suggest that
for it. Remove all the smoke and mirrors there is room at the main table for these
that senior agency management will give as small, integrated and specialist consultancies
assurances and you are left with stark reality with their experienced and senior-level
that the day-to-day contacts on the account client-facing staff. It won’t be every marketer’s
are unlikely to have more than 10 years’ cup of tea, but it will appeal to some. After
experience under their belts. all, what marketer wouldn’t want the support
Enter the new force from stage right. of such seasoned professionals on their
Richard Duncan The Little Giants I call them. They are payroll, for with them at their side, they can
The Partnership, Sydney, Australia small, nimble and highly skilled groups of have the sort of vision that Isaac Newton
richardd@thepartnership.com.au senior and experienced agency and marketing envisaged; “If I have seen further, it is by
+61 411 549 791 professionals who have forgone their standing on the shoulders of giants.” 

marketingmix.co.za / vol 27 / issue 5/6 / 2009


Expert opinion

Measurability
This is the final column in a series written by the Hello Computer team outlining the core
competencies of website creation.

This is the final column in a series written by replaced, sites that are providing low
the HelloComputer team, outlining the core conversion rates can be substituted with
competencies of website creation. better performing sites. This is the single
‘Measurability’ is a word that has crept most under-used facet of the digital medium.
into most marketers’ vocabularies lately and The result of this is a campaign that shows
with good cause. It is a word we use to better conversions over time and is more in
describe a horde of variables that when touch with the end-user’s current preferences
monitored and combined, allows us to gather and behavioural habits. Growing a campaign
far greater information and insight than say, a is a concept that more marketers are going to
simple click through or conversation rate. have to start adopting as we all compete in
Tools like Google Analytics offer even the what is fast becoming a very busy, banner-blind
most rudimentary Web user the basics, and marketplace. The growing of a campaign
are surprisingly easy to use. All you need is a should involve the same principles applied in
Google account... growing anything: constant attention and
Without undermining the value of accurate love. The more frequently these are applied,
cost-per-user acquisition figures or any other the healthier the growth experienced.
online metrics, I shall introduce you to the Maximising your ROI and online budget
individual components that should make up should be a daily concern and not a campaign
a good measurability report (as well as after-thought. Social media campaigns
explaining how to use this to mine trends too, only succeed with a relevant and smart
and insights that might not be apparent at idea coupled to constant daily campaign
first glance). The greater insight is not management.
46 achieved through some dark art or fancy new A final thought on measurability: question
technique, but rather in a new methodology, what you are measuring. We all know about
often overlooked, called Campaign the basics of accountable online adspend. But
Optimisation. the one thing I would advise any brand manager
In the traditional media environment, the to do is to put their finger on the digital
ATL campaign is launched and then forgotten pulse of our communities. Be active where
about; the success of the campaign is your users are and if you can’t be bothered to
analysed after it has ended. This approach is do so, invest in someone to do it for you.
often applied by traditional agencies to There is an unknown element of
digital campaigns (they consider the digital measurability that we have yet to maximise
battle won merely because they’ve succeeded effectively in South Africa. That is the ‘voice’
in being present online with some fancy Web of the Internet or buzz. It exists on the
2.0 gadgetry). message boards and news feeds of social
This approach is totally wrong. Since a networking sites as well as in your inbox and
digital campaign provides almost instant the comments section of a product review
feedback on its effects in the market, one can somewhere. Monitoring what is being said
see which pieces of digital communication online about your brand on a daily basis is
are working well and which ones are not something that you can ignore for long.
providing low conversion rates. You can also If you’re a small to medium sized start-up
monitor which websites are providing low without the capital to invest in proper Online
conversions on banner impressions or which Brand Custodianship or Campaign
sites are providing the lowest cost per lead. Optimisation, use the free tools available
In other words, you can tell which website to you.
that you are advertising on is most likely Get an RSS feeder, if you don’t already
to generate a conversion or sign up in have one, and sign-up for Google Alerts
Benon Czornij
your database. (www.google.com/alerts) using specific
technical director
Now since digital is so malleable and we keywords that are relevant to your brand.
HelloComputer
have all these instant metrics available to us, These two very easy, and most importantly,
(011) 477 3304
a campaign can be adjusted in real time, free services will give you heads up to some
benon@hellocomputer.net
hence Campaign Optimisation. of the activity that could be affecting your
www.hellocomputer.net
Underperforming creative elements can be brand and its reputation online. 

marketingmix.co.za / vol 27 / issue 5/6 / 2009


Services SETA

Chartered Marketer SA –
Mastery in Marketing
The Chartered Marketer SA (CMSA) designation
recognises and positions marketers who have reached a
level of “mastery” in marketing in South Africa. The
CMSA designation has been in existence since the late
1990s and is now, courtesy of the Services SETA and a The first new cohort of potential
dedicated team of individuals drawn from the marketing
industry, taking off again after the demise of the
Marketing Federation of South Africa (MFSA). chartered marketers are approaching the
Existing Chartered Marketers have been through an
extensive CPD (Continuing Professional Development)
process and those that completed this process were
re-certified with their certificates presented by the
end of their CMSA process at the end of
Services SETA at a ceremony in Johannesburg in
February. These CMSA’s and the ones yet to come are
recognised not only in South Africa, but also in 16 March 2009. The designation is set at
48 countries in Europe through the European Marketing
Confederation (www.emc.be/activities_rss.cfm). The
first new cohort of potential chartered marketers are Level 7 on the NQF.
approaching the end of their CMSA process at the
end of March 2009. The designation is set at Level
7 on the NQF.
Becoming a Chartered Marketer SA is no walk in the
park. It is not a tick-box process, but a rigorous
examination of a candidate’s marketing life. It is not just
about producing and structuring many years of evidence to achieve the ultimate career and income distinction,
of one’s successes in marketing. It requires the Marketing Practitioner South Africa (MPSA) is the
candidate to undertake a process of self-reflection that perfect primer. While the 10 years experience is not
makes one question and deliberate the reasons behind mandatory, it provides a good guideline of the requisite
the actions that were taken, what was learned and assess skills base and experience needed to successfully
how these learnings been applied subsequently. It also complete the CMSA process. Registered at level 5 on
challenges one to learn as much from your failures as the NQF in June 2008, the MPSA is the first
from your successes. You will need at least 10 years Professional Designation for mid-level marketers and is
experience at a senior level to qualify and get through targeted at individuals who have around three to five
the process. Thereafter CMSAs need to maintain their years of practical marketing experience at a tactical level
status through ongoing CPD involvement. in the “doing and implementing” of marketing
strategies. Such individuals should also have some
Bridging to CMSA status management experience at a supervisory level.
For young marketers who do not yet have around 10 The MPSA designation is internationally recognised
years of coal face experience as a marketing professional with the EMC (European Marketing Confederation)
to become a CMSA, but who have ambition and desire that represents marketing across the European Union.

marketingmix.co.za / vol 27 / issue 5/6 / 2009


Services SETA

On completing the process you gain yourself a South basis with RPL advisors to discuss and evaluate the
African certificate from SAQA (South African evidence that you have compiled and to see whether
Qualifications Authority) and Services SETA, as well as there are any gaps. If any are identified, then you
one from the EMC. make plans to remedy these.
 Complete your portfolio and submit it.
What do I have to do? Your portfolio is then assessed by registered
The process leading to the CMSA or MPSA designation constituent assessors.
is based on Recognition of Prior Learning. This means If anything is seen as not meeting the requirements
that you have to produce evidence that you are competent you will be advised and will then correct the situation
when assessed against the outcomes that are specified in (remediation).
the registered qualification. The evidence is compiled in You attend an hour long session where you make a
a Portfolio of Evidence (PoE). This is a structured 15 minute presentation to a panel on why you should be
process which has an ongoing set of quality assurance awarded the designation and answer questions from the
checks to ensure that those who complete the process panel.
are worthy of the designation. Your portfolio and the video recording of your
presentation and panel interview are then finally assessed.
MPSA Designation: If found competent you are
advised and are awarded the Marketing Practitioner
SA designation.
The process is dependent on the enthusiasm CMSA Designation: Write Board exam based on a
case study. If found competent you are advised and are
of the candidate and the availability of awarded the Chartered Marketer SA designation.

How long does this take?


evidence. For individuals who are totally The process is dependent on the enthusiasm of the
50 candidate and the availability of evidence. For individuals
committed to achieving either designation who are totally committed to achieving either designation
and have good access to evidence, then it could take
three months. Others have taken six months or more.
and have good access to evidence, then Once you commit to the process, you have one year to
complete the CMSA/MPSA.
it could take three months. Others have
What does it cost?
The total cost for the MPSA is R6 000 (excl VAT).
taken six months or more. The total cost for the CMSA is R12 000 (excl VAT).
Services SETA are offering various subsidies to
candidates.
How do I find out more? What do I do next?
The steps in the process for CMSA and MPSA are: Contact Recognition of Prior Marketing Learning
 Attend a full day Initial CMSA/MPSA Workshop. (Pty) Ltd. at info@rpml.co.za – the company handling
This explains all aspects of the process so that you the designation process for Services SETA. You will be
can decide whether you want to continue with it. sent documents that describe the process in more depth
 Start gathering evidence against the specified and what happens at the Initial CMSA/MPSA
outcomes and associated assessment criteria and Workshop that all candidates are required to attend.
consider the self reflections that led you to taking This includes a list of dates and an application form so
those actions. The specific outcomes for MPSA are that you can choose which workshop you want to
at a tactical level while CMSA outcomes are at a attend.
strategic level. For more information about either Chartered
 Attend a half day Evidence Review workshop at Marketer SA or Marketing Practitioner SA e-mail
which you work both in groups and on a one-to-one info@rpml.co.za.

marketingmix.co.za / vol 27 / issue 5/6 / 2009


Services SETA

CPD calendar June 2009 – 31 October 2009


SPEAKER TOPIC JUNE JULY AUGUST SEPTEMBER OCTOBER

Various Role of marketers in


CMSAs current economic climate 10 (JHB)

Interim CPD submissions 31

Prof. Marketing in an age of 27 (JHB)


Leyland Pitt consumer collaboration: 28 (DBN)
when the customer 29 ( CT)
controls marketing

Prof. Russell New approaches to 26 (JHB)


Abratt Product and Brand 27 (DBN)
Strategy 28 (CT)

Prof. Geoff Marketing 29 (JHB) 1 (DBN)


Bick Metrics 2 (CT)

Prof. Mike Marketing


22 (DBN)
Ewing Communications
23 (CT)
26 (JHB)

Final CPD submissions 31

CPD forums will also be scheduled, but all costs will be sponsored by CMSAs. 51
Registration for workshops to gain all the points required in the course / seminar
CMSAs need to register for each workshop. Any category of the CPD requirements.
changes that might occur due to unforeseen Interim Submission of CPD Record Cards
circumstances will be communicated to delegates that CMSAs are able to submit their record cards on the
are registered for the workshop that is affected. dates indicated for each region. This opportunity is
granted to allow us to give everyone feedback on their
Workshop Content progress and the content of their record cards.
Details of each workshop are provided on the Services Submissions are made electronically to
SETA website under the Chartered Marketer. michele@bdtcc.co.za and feedback will be given via
e-mail. CMSAs are NOT obliged to participate.
Cancellation However, less lenience will be allowed for submissions
Please advise the Regional Administrators if you are not made on 31 October for candidates that did not make
able to attend an event. The SSETA incurs costs per use of this opportunity.
candidate and needs to be advised of cancellations at Exemption from Attendance
least 48 hours prior to the workshop. Failure to cancel Candidates who are unable to attend at least 3 of the
will results in a penalty being raised to the candidate 4 workshops will not be able to meet the CPD criteria
who has not notified the SSETA. for this period. Should you have a valid reason for not
Programme Changes being able to attend the sessions, please submit a written
Programme details are provided in advance. These application for exemption to Ms. Dharmisha Govind at
arrangements are given in good faith. However, the the Services SETA. E-mail her at
SSETA reserves the right to make changes to the DharmiG@serviceseta.org.za or send a fax to
presenters or to the course content. Confirmed 011 718 6920.
delegates will be notified in advance. Contact Details
CPD points / Compulsory Attendance The CPD project manager is Dr Michele Serfontein.
Each workshop is allocated 3 CPD points. A Chartered She can be contacted on 083 287 3383 or by e-mail on
Marketer therefore needs attend 4 workshops in order michele@bdtcc.co.za.

vol 27 / issue 5/6 / 2009 marketingmix.co.za


Services SETA

CPD presenters
Prof. Michael T. Ewing
Mike Ewing is Professor and Head of the Department
of Marketing in the Faculty of Business & Economics,
Monash University, Melbourne, Australia. Dr. Ewing’s Prior to entering full time academe, Mike
research interests include marketing strategy, brand
management, marketing communication, health
promotion and the technology-communications was the marketing research manager for
interface. He has published more than 80 articles in
refereed international journals, including Information
Systems Research, the Journal of the Academy of Ford Motor Company’s South African
Marketing Science, the Journal of Advertising Research,
the Journal of Advertising, the Journal of Business
Research, the International Journal of Advertising, subsidiary (SAMCOR).
Business Horizons, Industrial Marketing Management,
the European Journal of Marketing and the Journal of
Small Business Management.
Mike has received numerous awards and citations for
research including a Curtin Business School ‘Researcher
of the Year’ award (1997), various Academy of Services, Argyle Diamonds, Levi Strauss & Co., the
Marketing best paper awards (Derby, England, 2000; CEO Institute, Isuzu-General Motors, Nissan and the
52 Cardiff, Wales, 2001 and Nottingham, England, 2002), West Australia State government.
and the inaugural Dean’s Award for Excellence in
Research Quality and Impact at Monash (2007). In Prof. Leyland T. Pitt
2008, he was appointed a Governor of the Academy Leyland T.P.H Professor of Marketing, Segal Graduate
of Marketing Science. School of Business, Simon Fraser University, Vancouver,
Over the past 16 years Mike has taught in Australia, Canada, and Senior Research Fellow, Leeds University
Austria, Brunei, China, the Czech Republic, England, Business School in the UK. He has also taught on exec-
Finland, Hong Kong, Malaysia, the Netherlands, utive and MBA programmes at schools such as the
Singapore, South Africa, Sweden and the Philippines. In Graham School of Continuing Studies (University of
2004 he won the inaugural Dean’s Teaching Award in Chicago), Columbia University Graduate School of
the Faculty of Business and Economics at Monash. He Business, Rotterdam School of Management, and
particularly enjoys graduate instruction and has taught London Business School.
MBA courses at the London Business School, the The author of over 200 articles in peer-reviewed
Helsinki School of Economics, the Rotterdam School of journals, his work has been accepted for publication in
Management, the Australian Graduate School of such journals, as Information Systems Research, Journal
Management, Lulea University of Technology (Sweden) of the Academy of Marketing Science, Sloan
and Tongji University (Shanghai). Management Review, California Management Review,
Prior to entering full time academe, Mike was the Communications of the ACM, and MIS Quarterly
marketing research manager for Ford Motor Company’s (which he also served as Associate Editor). In 2000 he
South African subsidiary (SAMCOR). He also held the was the recipient of the Tamer Cavusgil Award of the
position of Marketing Manager, Jaguar for a brief period. American Marketing Association for best article in the
More recently, he has consulted to such organizations as Journal of International Marketing.
Coca-Cola (Asia), Hakuhodo (2nd largest ad agency in He has won many awards for teaching excellence,
Japan), Unilever (Europe), Jollibee (the Philippines), including the Dean’s Teaching Honor Roll Simon Fraser
Telekom Austria, Holden, Saab, BMW Financial University, best MBA Teacher, Copenhagen Business

marketingmix.co.za / vol 27 / issue 5/6 / 2009


Services SETA

School, and Best Professor, Joint Executive MBA, U.K., Australia, Zimbabwe, Kenya, Ivory Coast and
University of Vienna, and Carlson School of China amongst others.
Management, University of Minnesota. In 2002, he was He has over 70 scholarly publications and his work in
awarded the Outstanding Marketing Teacher of the the areas of corporate identity, communication and
Academy of Marketing Science. In 2006 he was named reputation has been published in some of the worlds
TD Canada Trust award for outstanding teachers, and leading journals in this field, including the Journal of
listed as one of Canada’s top MBA professors in Adverting Research, Journal of Marketing Management,
Canadian Business, 2005. International Journal of Advertising, Corporate
Communications: an International Journal, Corporate
Reputation Review; European Journal of Marketing and
the Journal of Retailing and Consumer Services.
His article ‘A new approach to corporate image
management’ in the Journal of Marketing Management
After four years of consulting, Geoff in 1989 is regarded as a classic as has been cited by other
authors over 110 times. He has been the recipient of a
number of teaching awards at Wits and Nova
joined ASEA Electric as group Southeastern University, and has run workshops for the
Chartered Marketer for a number of years.

marketing manager, which subsequently Prof. Geoff Bick


Geoff Bick is a Senior Lecturer in Marketing at the Wits
Business School, and Area Head of the General
merged with Brown Boveri to become Management area. Geoff initially worked in engineering
on the mines and in industry. After completing his
54 MBA in the USA he joined Hayes/Hill, a firm of
ultimately ABB. management consultants, specializing in marketing and
strategy assignments in the engineering industry. After
four years of consulting, Geoff joined ASEA Electric as
group marketing manager, which subsequently merged
with Brown Boveri to become ultimately ABB. He then
moved to XeraTech (now Xerox SA) to head their
Prof. Russell Abratt marketing operation, which he ran for several years
Russell Abratt is Professor of Marketing at the before moving into business development during
Huizenga School of Business and Entrepreneurship at sanctions, and then on to managing the engineering
Nova Southeastern University in Florida, USA and systems division. He has been lecturing part-time since
Visiting Professor of Marketing at the Wits Business 1982 on various adult education and post-graduate
School. He holds degrees from the University of the programmes in the fields of marketing, economics and
Witwatersrand and the University of Pretoria. He was business policy. He joined the Wits Business School
the Academic Director of Wits Business School for a full-time in 2000, where he lectures marketing to the
number of years as well as head of the Marketing and MBA and other students. His areas of specialisation
Strategy area. He has also taught on MBA and include industrial marketing, the impact of technology
Executive programmes at Warwick Business School in on marketing, and marketing planning.
the UK, Rotterdam School of Management in the Lecture & research interests: marketing; measurement
Netherlands, and Melbourne Business School in of marketing effectiveness (marketing metrics, brand
Australia. equity, customer equity); relationship marketing; impact
Over a 20 year period he has completed consulting of technology on marketing; e-commerce (marketing
assignments for many of South Africa`s largest perspective); business-to-business marketing; marketing
corporations in marketing and related areas. He has had strategy and planning; branding; general marketing areas
short-term consulting assignments in Russia, Ukraine, (services, segmentation, consumer behaviour etc).

marketingmix.co.za / vol 27 / issue 5/6 / 2009


Services SETA

Boards and Qualifications


Why they are so important?
Industry boards are important to ensure good
governance and fair representation. The Skills
Development Act provides for professional bodies to enjoy Representation from organised business
representation in the industries they represent. SETAs
prepare sector skills plans and industry boards need to
prioritise their objectives, elucidate their industry and labour, professional bodies,
mandates and ensure the best possible representatives
drive strategic imperatives for their industries.
The Services SETA has over 120 000 member government institutions and bargaining
companies paying levies. Of the companies paying
levies, 3% are large companies, 1.4% medium companies
and 95.6% small and micro enterprises who do not councils is of utmost importance.
contribute to skills levies.

Why are boards important for Public Relations


and Communication (PRC)?
The Public Relations and Communication industry is
diverse considering the myriad of services and levels of representatives are well versed in the legislative and
55
professionalism on offer. The SETA industry board industry requirements. Industries should not abdicate
provides a collective voice that determines project this pivotal role to an individual with no technical
initiatives for the industry in relation to skills acumen or drive to secure the best possible options
development and consequently the acceptable for its industry. In short: select the best possible
professional standards within the industry. representatives that have credibility and are mandated by
the industry.
How do you formulate a board for the PRC?
The board is comprised of elected representatives whose Once the board is established, how should
term will end in 2010. The board is responsible for members go forward in being involved
industry issues pertaining to skills development within with the industry?
the industry. The board represents organised business and labour,
Representatives are nominated in terms of the Skills professional bodies, government institutions and
Development Act and Services SETA constitution. bargaining councils. These individuals are expected to
Representation from organised business and labour, work towards a common goal and be appropriately
professional bodies, government institutions and bargaining mandated by their constituencies. Professional bodies
councils is of utmost importance. Restrictions are obviously are an important step in realising a uniform standard and
placed in line with corporate governance requirements. common objective.
To prevent the advancement of self interest, the Services
SETA prohibits representation on boards from individuals Is recognition of Prior Learning (RPL) the
or organisations that are service providers to the SETA, way forward to understand what the
as well as accredited training providers. human capital of our industry is?
Qualifications and professional designations offer an
How do you find the right kind of opportunity to individuals to obtain formal status and
representatives? recognition. RPL is unfortunately under-utilised in most
Representative bodies must ensure that their elected if not all industries.

vol 27 / issue 5/6 / 2009 marketingmix.co.za


Services SETA

SAQA describes RPL as “a process whereby, through


assessment, credit is given to learning which has already RPL is intended for candidates who are
been acquired in different ways.” RPL is not intended
for new entrants to the market place. These individuals
would have to undergo training both on and off the job
immediately able to demonstrate
to obtain formal recognition.
RPL is intended for candidates who are immediately knowledge, skills and behavioural
able to demonstrate knowledge, skills and behavioural
(attitudinal) competence. The RPL candidate would be
someone who has been doing a job for three years or
(attitudinal) competence.
more and is able to demonstrate that they have acquired
the behavioural requirements, skills and knowledge
mastery against a registered qualification. These  Identifies suitable industry assessors and moderators.
candidates would not have to redo all classroom training,  Participates on SAQA appointed committees/ETQA
but would be required to produce predefined direct and task teams to provide advice and guidance on the
indirect evidence to demonstrate their competence to relevance of the assessment tools.
obtain a qualification or skills programme.
Certification Activities and CPD
Why are qualifications being  Identifies a Professional Body to represent the
de-registered? How does this affect industry within the skills development arena.
competence in the qualifications offered  Identifies suitable training providers to assist in
in the industry? industry certification.
Qualifications are reviewed every three years to ensure
that seminal influences are incorporated in the redesign Discretionary Grant / Funding Windows
of specific qualifications. The review process is primarily  Offer suggestions on industry/regional projects that
56 influenced by the Community of Expert Practitioners may be funded through the Chamber’s discretionary
(previously Standards Generating Body) of an industry grants.
and the SETA.  Advising on Chamber activities and expenditure
linked to the NSDS targets.
What are the roles and responsibilities of
the PRC board, or any committee? Establish Learnership Categories
 Identifies industry criteria for selection by participating
Standards & Qualifications: on the SAQA appointed/ETQA task teams
 Assists the Chamber in identifying suitable subject
matter experts that would be appropriate to Policies & Objectives
participate in specific industry task teams.  To be aware of all relevant Services SETA policies and
(e.g. qualification development). procedures especially the PFMA.
 Identifies industry demands by actively participating  To adhere to the rules and regulations of the Services
in PESTEL exercises, identifying scarce and critical SETA constitution, as well as to the roles and
skills, contributing to the OFO (Organisational responsibilities of a board member.
Framework for Occupations) process where
necessary, suggesting market trends, and addressing NSDS & Services SETA Targets
qualification needs in terms of learnerships.  To have an awareness of the NSDS and the Services
SETA targets in order to guide the Chamber
Learnership Design & Assessment: Manager on meeting the relevant industry targets.
 Identifies experts as per SAQA and QCTO  To ensure attendance at the various SETA
requirements. sub- committee meetings, eg. Audit committee,
 Ensures that the industry has a regional presence of ETQA, Finance, Transformation etc, to fully
accredited training providers through marketing understand the strategic objectives of the Services
and promoting the Chambers activities. SETA.

marketingmix.co.za / vol 27 / issue 5/6 / 2009


Services SETA

Marketing and Communication  To cooperate and interact with government on behalf


 To promote industry projects and activities to the of the Chamber and the Services SETA. If a board
relevant constituencies. member is attending meetings regarding the
 To promote a positive and sound image of the Chamber or the SSETA with Govt departments, they
Services SETA at all times. must ensure that the Chamber Manager is informed
 To encourage industry to liaise with the Services and invited to the meeting. If the Chamber Manager
SETA in terms of a partnership in advertising in the is unable to attend, the Regional Manager is requested
industry trade journals, sending out newsletters, to attend.
writing editorials etc. with regards to relevant Customer Service
industry success stories.  Promote chamber industry activities.
 To communicate Services SETA activities to the  Ensure member buy-in.
relevant industry members.  To promote and support the Services SETA.
 Participates in roadshows, launches, special projects  To co-ordinate and co-operate in the region and to
and own industry activities. keep the Chamber Manager informed of all activities.
 To submit quarterly reports on regional activities, as
Regional Government Interaction well as the Associations activities, these are presented
 To form strategic partnerships with Government eg and discussed at the Chamber Board meetings.
DoL, DTI, SEDA, etc  Board members to ensure attendance at a minimum
 To mobilise relations in the region. of 2 SIC code meetings.

Why are professional designations important?


Eg Chartered Public Relations Practitioner (CPRP) and Public Relations Practitioner (PRP), as well as the internationally
recognised Accredited in Public Relations (APR)
Individuals in all job categories should be recognised for the skills sets, qualifications and level of experience they
58 exhibit within an industry. Professional designations and membership holds individuals accountable as they are
required to comply with a uniform set of rules and code of ethics that have been established by the industry
professional body.
In mid-2005 the South African Qualifications Authority (SAQA) commissioned research to investigate and
compile a detailed report on all qualifications currently registered as “professional” on the South African National
Qualifications Framework.
The National Qualifications Framework Bill 2008 defines “professional body” as a statutory or
non-statutory body of expert practitioners in an occupational field, which is recognised by SAQA in terms of this
Act, and includes an occupational body.
“Professional designation” means a title or status conferred by a professional body in recognition of a person’s
expertise and right to practice in an occupational field. SAQA describes a “professional designation” as a “title/
status that is conferred by a professional body, which indicates the professional status of the individual and the
right to practice in the particular field of expertise governed by that body.”
Retention of this status is dependent upon compliance with the stated requirements of the body concerned.
These would typically include compliance with a Code of Professional Conduct, compliance with Continuing
Professional Development requirements and the payment of fees. An important corollary to this is that a
designation is not a permanent status and may be revoked if non-compliance with any of the specified
requirements occurs.
The award of the professional designation or professional title, for example Professional Lawyer or Chartered
Accountant, is a result of a separate competency assessment procedure. An applicant must exhibit competency
against the standards prescribed for registration. This assessment is decoupled from any study programme
followed by the applicant and is performed exclusively by the profession or by a body accredited by the profession.
The Services SETA has registered the Chartered Public Relations Practitioner (CPRP) and Public Relations
Practitioner (PRP) as professional designations with SAQA.

marketingmix.co.za / vol 27 / issue 5/6 / 2009


Services SETA

Understanding the Services


Sector and Skills Development
The services sector is one of the largest and most diverse
economic sectors in South Africa. It consists of over
20 different industries, including Public Relations,
Project Management, Communication, Marketing,
Events, Professional Bodies, Associations and
Federations, Hiring, and Cleaning etc.
The Services SETA has approximately 180 000
registered member companies, of which only 18 000 are
levy paying. Like the public relations and communication
industry, the majority are SMEs with the highest
concentration in Gauteng, KwaZulu-Natal and the
Western Cape.
While the Services SETA concentrates its skills
development initiatives on levy-paying members, it is
59
legislatively obliged to assist SMEs wherever possible. It
therefore offers workshops across all sectors, especially
at managerial and professional occupational levels.
PRISA is working with the Communication
Management Services Chamber Manager, Dharmisha
Govind, in planning workshops for the latter half of
this year.

What is the Business Coalition South Africa Dharmisha Govind, Communication Management Services Chamber Manager
(BCSA)?
BCSA started out as an idea in 2007 and now has the public relations and communication sector is
membership of Business Unity South Africa (BUSA) represented.
and thus NEDLAC. This is great news for SMEs as it BCSA committees include:
gives them a voice and meaningful role as a social partner  Social Policy
in socio-economic policy.  Transformation Policy
This Services SETA initiative proves its support of  Trade Policy
SMEs across all sectors. PRISA members have responded  Economic Policy
to its call for representation on BCSA committees and  SME Policy.
Services SETA

For comments, issues to be addressed by BCSA or to


become a member, contact Sanet Ramsaroop on
(011) 276 9600 or sanetr@serviceseta.org.za

Occupational profiles, the OFO and


standards generation
The Organising Framework for Occupations (OFO) is a
skills-based, coded classification system. It captures all
jobs in the form of occupations and groups them based
on similarity of skill specialisation and skill level.
The OFO for Public Relations and Communication
Management was developed in consultation with
industry representatives (consultants, academics,
corporate and government practitioners) and lists the
skills required by strategists, managers, practitioners
(tacticians), assistants and clerks.
These levels of practice were utilised as the basis for
the development of the NQF Level 4 Certificate and
NQF Level 5 Diploma in Public Relations and
Communication.
Information on the OFO is available on the Services
SETA website, www.serviceseta.org.za

Quality Council for Trades and


60 Occupations (QCTO)
QCTO is meant to strengthen the implementation
of the National Qualifications Framework (NQF).

Ivor Blumenthal, CEO, Services SETA


The Services Sector is one of the largest
It is based on the OFO of the Department of
and most diverse economic sectors in Labour (DoL).
The QCTO is the body which will ultimately register
the Professional Designations and Professional Bodies.
South Africa. It consists of over 20 different In the case of Public Relations and Communication, the
designations for PRP (Public Relations Practitioner) and
industries, including Public Relations, CPRP (Chartered Public Relations Practitioner) have
already been submitted and are awaiting registration.

Project Management, Communication, Learnerships and internships – what’s the


difference?
Marketing, Events, Professional Bodies, A learnership is a contract between a learner, employer
and a training provider for a maximum of 12 months
where the learner receives both training and workplace
Associations and Federations, Hiring, experience.
An Internship is a programme where an individual
Cleaning etc. works in a temporary position with an emphasis on
on-the-job training rather than employment. An
internship project runs for six months.

marketingmix.co.za / vol 27 / issue 5/6 / 2009


Services SETA

Services Sector Marketers Association


Recognising the need to increase These have covered the fundamentals
marketing skills levels in the services of marketing, marketing and sales,
sector, whether carried out by a dedicated customer service and the marketing
marketer, or by a general manager mix.” This benefit arose from the
responsible for the marketing function, initial research survey conducted,
the Services SETA has established a which indicated skills transfer as the
registered schedule 1 employee body, number one requirement.
which also can be the formal mouth- “I’ve chosen practical on-the-ground
piece of services sector marketers as a trainers who can connect with people
collective, whenever such representation who mostly have not had the benefit
is required. of acquiring formal marketing
Says Colin Hudson, project leader of qualifications, and yet are responsible
this initiative, “The SSMA already has for the marketing function in their
600 members, 200 of whom have organisations.” The programmes
attended the monthly training sessions have been delivered in Cape Town,
presented free to marketers in companies Port Elizabeth, Durban and
registered with the Services SETA. Colin Hudson Johannesburg.

61

Regional leader: TIM SHIER is the marketing manager at Quirk eMarketing’s Cape Town office, from where
he oversees the company’s international marketing department and Quirk’s Online Reputation Management
programme. He is available on 083 302 7737 or tim.shier@quirk.biz

vol 27 / issue 5/6 / 2009 marketingmix.co.za


Services SETA

Regional leader: Assisting in Port Elizabeth is EDDIE YATES, edkay@absamail.co.za


62

Regional leader: In Durban, a good contact is SIBUSISO MSAWONI, 079 331 1845, or
msawonis@durbanchamber.co.za

marketingmix.co.za / vol 27 / issue 5/6 / 2009


Services SETA

Regional leader: PETER IVANOFF, CMSA, is a Johannesburg based marketing professional, with a record of
success in the management and implementation of innovative communication strategies. He may be contacted on
082 716 2419 or peter@genesisfitness.co.za
63

“In discussions with the Chamber Manager, Dharmisha


Govind, we’ve agreed to retain the focus on skills
development – we’re not trying to duplicate benefits already “This is going to be the thrust of the
offered by other marketing and communications
associations, but rather to arrange access to such professional SSMA regional development, as there
services. The DMA has stepped forward, as has PRISA,
offering opportunities to SSMA members to attend
selected educational programmes and networking events at are excellent programmes already in
attractive rates.”
“This is going to be the thrust of the SSMA regional place, for example, organised for small
development, as there are excellent programmes already in
place, for example, organised for small business owners by
local chambers and other associations”. business owners by local chambers and
“Delegates are also being advised about the process to be
formally recognised as a registered Marketing Practitioner. other associations.”
As the MPSA designation is acquired through a Recognition
of Prior Learning (RPL) programme, this suits many SSMA
members, many of whom have learned their skills on the
job” says Hudson. “There must be thousands of junior to
middle management marketers who could achieve the
benchmark of Marketing Practitioner.”
Looking to the future, Hudson looks forward to extending
the SSMA model within future clusters of SETAs.

vol 27 / issue 5/6 / 2009 marketingmix.co.za


Expert opinion

What’s to stop us?


My last article posited the thought that the Changing technology
time for direct marketers in now based on We shall of course get more young people
the premise that we have already entered a entering our profession through the
new era where direct marketing is the most computer and IT routes. Last year I decided
appropriate form of communication. After to run an internal course on direct marketing;
some reflection I would like to change my none of the development team joined in.
position slightly. I believe that our time is Coming from the technical background they
nigh, which means that it could be imminent obviously figure it’s sufficient to possess the
but there are a number of factors which technical competence without needing to
might just be standing in our way. understand why they are doing what they
Business issues ... are doing. That, to me, makes them about as
Globalisation of brands useful as a chocolate fire engine.
The desire for my brand to look the same Insufficient resources
in the UK and the United States and In the more developed markets we do not
Khuzbekistan is natural. One of the have enough techies, yet digital direct is
implications of this is that the strategising growing faster than the available resources.
is taking place in fewer and fewer places The legal stuff ...
and our ability to influence it is therefore I saved the biggest challenge for last. I don’t
limited. Globalisation is still seen as need to reiterate all the legal and paralegal
business for the mass marketers. issues facing our industry. But if we are not
Implementation vs creation really bad guys, and in most instances I
If the real thinking is being done don’t think we are, then why are we
somewhere else you don’t need thinkers on constantly under attack. I can only hazard a
the ground (not true of all multinationals guess. Consumerism was not a factor when
but it is true of many). The local marketing other media were coming to the fore. So in
team therefore doesn’t see it as part of its part my answer is that that data collection,
64 function to challenge the given wisdom and data storage, data manipulation and data
the given strategy. usage all pretty much arrived on the scene at
High staff turnover around the same time as the groundswell for
We need to bear in mind that direct consumer protection. And if we cannot
marketing is an iterative process (ie test and self-regulate effectively then we deserve
learn). It’s not easy to get a client to take a all the rules they throw at us. My fear,
long term view when they know that they are however, is that we may do everything
likely to be moving on in six months time. right and the powers that be still decide the
Short term focus throw the Rule Book at us simply because
Being a CEO these days is more precarious they can.
than managing a football team in the UK. There are two rules which, if applied,
This is hardly likely to encourage you to ought to make many potential problems
use direct marketing, improve customer go away:
service or implement a genuine CRM Rule #1 – The right to know
programme since these all of these require a All consumers have the right to ask and be
longer term perspective. given answers to questions like where did
Industry issues ... you get my information or how do you
Lack of new blood protect my data or can I be certain that you
When I visit direct marketing events have deleted my data from your database
abroad, I am impressed by the number of when I asked you to ?
young people I see. When I look around Rule #2 – The right to NO
me in South Africa I see a very different My position on this might be politically
picture... for years, it’s been the same incorrect but it’s my belief that we, as direct
people heading up the agencies, judging the marketers, have the right to approach
awards and speaking at the conferences. everyone at least once BUT unsubscribe, go
Lack of training away, bugger off – or any other way the
Many Direct Marketing Associations are consumer wants to tell us – should be
Keith Wiser
doing their best but we simply do not have sufficient reason to stop.
MD, 5th Dimension
enough young blood entering the profession So whilst our time is imminent, maybe,
(011) 781 6396
and the consequences of that for the future with hindsight, I should have said our time
keithw@5thdimension.co.za
should be self evident. is nigh. 

marketingmix.co.za / vol 27 / issue 5/6 / 2009

Вам также может понравиться