Ethical marketing in the spotlight

Companies employing ethical marketing tactics are increasingly in the spotlight. Web 2.0 technologies like Youtube and blogs are providing activists with a quick and affordable medium to get their message across. Other tactics also include guerrilla poster campaigns and large banners. FMCG companies are targeted with issues ranging from palm oil production to water purification.

Walking the Olympic tightrope

The Olympics is traditionally big business for sponsors, however this year’s Olympics is turning out to be something completely different. Not only do corporate boards have to deal with angry western protesters, but they are also facing the wrath of more informed internet savvy developing world consumers, as China clearly demonstrates.

Companies like Coca-Cola, Anheuser-Busch and Carrefour with a large footprint in China find themselves in a challenging position. Carrefour is facing criticism from Chinese consumers that includes protests and calls for a shopper boycott after an eventful Olympic Torch Relay in France. In Europe, Carrefour is under increased scrutiny and mounting pressure as the retailer continues to expand in China. Activists have called on sponsors like Coca-Cola to pressure China on issues ranging from Tibet to Darfur. Should Carrefour write a letter to the United Nations criticizing the Chinese government’s actions? How will Chinese activists and consumers respond? While this blog was never intended to address such pressing matters, it does raise some interesting questions for consumer goods companies and retailers.

For many western companies, winning in China has become critical. With the prize being China, the stakes are high in both worlds. Both developed and emerging.

The value of coupons

Experts evaluate the value of coupons. Coupons are potentially an effective tool to drive traffic. Different strategies required for repeat and new business. DMNews 07/04/08

Packaging and design blog

I am a big fan of great packaging and design. I highly recommend the The Dieline blog , a packaging and design blog. Click on the food and beverage section.

Learnings from Unilever Indonesia

I recently read an article about the success of Unilever Indonesia, one of Asia’s top consumer goods companies. Please find below a summary of the key learning:

Distribution network strength – covering more than 600,000 outlets, their distribution network is a key competitive strength and a barrier for entry.

Growth in modern trade- accelerated growth in the modern trade sector provides opportunities for competitor entry.

Affordability – small pack sizes ensure the brand is affordable to all segments of the population.

With crisis comes opportunity- the 1997-98 financial crisis forced the company to reevaluate their strategy. These strategic changes are currently driving sales growth.

Low labour cost provides opportunity- the company is currently exporting products to South East Asia and Australia.

Micromarketing approach- consumers are segmented by geography and need state. Different climate and environment, result in different need state.

Quality assurance- the company does not outsource manufacturing and has better control over quality.

Changing spending of brands

Consumer Goods companies are turning to online promotions such as contests, games and quizzes. Standout promotions or special events consumers can relate to, can give a brand a distinct personality. DMNews 06/12/07

Boosting holiday sales

 

Special packaging, seasonal flavours (e.g. Christmas) and convenience (e.g. easy carry pack) could increase sales for food and beverage manufacturers during the holidays. Manufacturers should also take advantage of the health trend with health-conscious products. Nutraingredients