Friday, January 29, 2016

5 things you need to know this week

Steve Kaplan Marketing:

McDonald’s is rolling out table service across its UK restaurants

McDonald’s are loving it. According to the brand’s CEO Steve Easterbrook, its turnaround strategy is beginning to show signs of paying off.

Earlier this week the fast food chain revealed it is planning to speed up the rollout of table service across its refurbished UK restaurants and expand a trial of its premium burgers.

So far a quarter of McDonald’s 1,200 restaurants in the UK have been converted to offer customers self-order kiosks, digital merchandising and customised order points, but that number will be closer to a third by the end of the year. McDonald’s will also introduce table service, which is on currently on trial in 14 locations, to “nearly all” converted restaurants in 2016.

The changes are part of Easterbrook’s plans to turn McDonald’s into a “modern and progressive” burger company as competition in the market increases. That involves a move to premiumise its offering and improve service, while at the same time not losing focus on the value aspect that has made McDonald’s so successful in markets such as the US.

Why Adidas is re-evaluating its relationship with athletics

adidas

Earlier this month, the independent World Anti-Doping Agency concluded that doping was “widespread” within athletics and that former IAAF president Lamine Diack had been “responsible for organising and enabling the conspiracy and corruption that took place in the IAAF.”

This wouldn’t have escaped the attention of Adidas, the IAAF’s biggest sponsor.

One source, with inside knowledge of the deal, told Marketing Week that Adidas is already on bad terms with the IAAF due to current president Seb Coe’s links with rival Nike as well as its decision to hold the 2021 World Championship’s in Eugene, Oregon – where Nike is headquartered. “The waters were already muddied,” he explained.

Adidas is also under pressure from shareholders because it is trailing Nike and New Balance in the key North America region. It is thought to be re-evaluating its sponsorship portfolio in underperforming areas – such as golf – in order to boost overall profitability.

Therefore its reported decision to cancel the 11-year athletics tie-up, which was due to run until 2019, could not only be down to scandal but also pleasing shareholders.

Coca-Cola, Britvic and Innocent speak out about the sugar debate

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Sugar is a big issue. A report by the Commons Health Select committee released in November last year recommended the Government tackle the UK’s obesity crisis by banning the advertising of junk food during family TV shows and by introducing a 20% tax on sugary drinks and sweets.

The debate has forced the food and drink industry and big brands to shout louder about what they are doing. While Coca-Cola and Innocent are focusing heavily on new innovations, Britvic is looking to cut calories out of its drinks.

All three brands agree, however, the consumer should remain at the heart of the debate.

Britvic’s CMO Matt Barwell explains: “Fundamentally, we believe in choice, being able to offer consumers a range of choice, then educate them and be transparent. At the same time, you have to nudge people in the right direction. They have to be active. But there’s no point in having products on the shelves no one buys, and that people don’t like from a taste point of view.”

Tesco becomes first UK brand to run an ad on Twitter Moments

tesco

Twitter is increasingly looking to boost its creative credentials and eager to have more brands advertise on its site. It introduced Twitter Moments as a solution to this problem, and now Tesco has become the first brand to take up one of Twitter’s Promoted Moments ads in the UK market.

The online #FeelGoodCookbook campaign – which aims to inspire Tesco shoppers with tips around all their main meals – integrates videos, images and allows users to flick through shareable recipe pages.

The supermarket giant will also pin the online cookbook to the top of its Twitter profile to boost interaction and is running a Promoted Twitter Trend, #feelgoodcookbook. The campaign was created by BBH and Mediacom.

“Promoted Moments gives us the opportunity to tell this story in an even more visual and impactful way than usual,” says Claire Hoey, marketing manager at Tesco.

Nestlé rolls out first brand campaign for its sustainable cocoa initiative

Nestle_cocoaplan_ad

The first brand campaign for the company’s ‘Nestlé Cocoa Plan’ looks to talk up its sustainability efforts and highlight how it has achieved its goal of sourcing 100% sustainable cocoa for its confectionary and biscuits.

The ad, which was placed in The Sunday Telegraph last weekend, states: “At Nestlé Confectionary, we are proud to say that 100% of the cocoa we use in the UK and Ireland is certified sustainable. We also work with partners to train thousands of farmers, distribute millions of better quality cocoa plants and build schools in the Ivory Coast. Nestlé Cocoa Plan: supporting farmers for better chocolate.”

Nestlé announced in December last year that it had reached its target to source 100% sustainable cocoa for its chocolate confectionery and biscuits, becoming the first major confectionery company in the UK and Ireland to do so.

As a result, the entire range of Nestlé’s chocolate confectionery and biscuits sold in the UK and Ireland, including KitKat, Aero and Smarties, is now produced using certified sustainable cocoa.

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