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PRESS RELEASE    DECEMBER 2002

Marketing Christmas

Research undertaken by the marketing services group,
DirectionGroup, has come up with some alarming statistics
about the persuasiveness of advertising and its marcoms
cousins, sales promotions, direct marketing, banner
advertising and cold calling in the way that we spend our
money over the Christmas period.

TV Advertising

Using a sample population of a thousand adults across the country,
DirectionGroup found that 73% of adults, with children under 12 believed that they would purchase more than one present for their children, which had been advertised during the run up to the festive season. Pester power - a child's repetitive nagging for a specific product - was cited as an equally important persuasive tool. Ads for children's toys seen on TV and the cinema were the most usual methods of raising parents consciousness of the products. One of the most persuasive ads was the Scalextric ads for it’s new Race Management System.

The sample was also asked about the most annoying and endearing elements of commercials. The most enjoyable, according to 52%, was retrospective music. According to Chris Parry, director of DirectionGroup hearing nostalgic tunes evokes a feeling of comfort. He says: "Straightaway, the viewer is lured into a sense of security about the product on display. As most commercials are relatively short, it is important that the viewer connects as quickly as possible with the brand. Nostalgic music is often used to promote a new product bringing with it the comfort, values and history of a bygone era."

Children, on the other hand, preferred the 'bash and crash' of ads, where usually at the end of a commercial a car, ball or any other plaything is seen to hurtle out of control.

The most detested commercials were those advertising children's toys, 24% and Boxing Day sales, 23%. Reasons for the latter generally stemmed from annoyance that viewers knew they were paying full price for a product that was going to be hugely reduced about 24 hours after opening. Once again, pester power was referred to as the reason most parents did not like toy commercials. Parry says: "It would appear that toy ads are not inherently annoying in terms of creativity, it is just that some parents feel that they have lost the battle about choosing their children's Christmas presents."

Direct Mail

59% of those researched said that they were more likely to respond to
direct mail campaigns promoting charities during the run up to Christmas than if they received the mailer at any other time of year. 64% said that they would most likely donate more, if at all that is, over the Christmas period than if they received the same direct mail pack at any other time of year. Parry says: "It seems that the charitable spirit is still evident during this time of year, which is in contrast to so much that we hear about the commercialisation of Christmas."

Respondents revealed that the more emotional the message, the greater the likelihood of giving became. Heart warming success stories proved less persuasive at incentivising those researched to part with their cash.

The most appealing elements of the direct mail campaign, with 47% agreeing, were the colour and texture of the envelope. Whilst most knew that they were being targeted with unsolicited mail, they still seemed to mind less if the envelope was attractive and quirky.

Contrastly, 55% detested their name being spelt incorrectly on either the envelope or after the salutation.

Sales Promotion

71% of respondents said that they would definitely purchase specific
Christmas related food if it was part of a sales promotion, such as two for the price of one; purchase second one at half price; or discount on grouped items, e.g. buy a turkey and purchase the stuffing at half price. Very little negativity was shown towards promotions of this ilk. In fact, over half those questioned said that they would hunt out the Christmas sale promotions, as they have became an integral part of food shopping at this time of year. Parry says: "Promotions are always popular. Consumers feel that they are getting a bargain. Christmas is an expensive time of year and consumers seem to appreciate any discounts."

The most positive response was shown to be on two for one offers, 43% believing they were receiving a good return on their investment.

The least liked promotion was the cross-promotion, as most believed they were being encouraged to purchase a product that they did not really want.

Internet Banners

32% of the group believed that they would purchase something related to Christmas off the internet this year, often prompted by a banner ad. The majority, 18%, thought that this was most likely a gift, 10% believed food, one percent a Christmas tree and the remainder was made up of miscellaneous items such as decorations, plants and tableware.

The most popular items to be purchased were likely to be DVDs, CDs and books, 29%, 27% and 19% respectively. Chris Parry of Direction Group says: "More and more people are feeling comfortable buying off the internet, their concern over internet fraud has diminished considerably.” Manufacturers and retailers are now taking it more seriously as a route to market, whilst the consumer is seeking out bargains and comparing prices in the comfort of home."

The main attribute of buying off the net was shown to be ease of purchase and convenience. Although this was tempered with the least most popular feature of the net - bombing. 72% of respondents said that the main frustration they encountered when using the internet to seek out presents or purchase them was the frequency with which sites froze or the connection bombed.

Cold Calling

Only 1% of respondents believed that Christmas discounts, delivered via cold calling, would make any impact on them, over and above any other time of year. The majority, 85%, found cold calling, especially at home intrusive and rude and no matter what the incentive, they would not be swayed into purchasing any item relating to the festive season.

The most infuriating aspects of a cold call was the use of first names,
followed by a late evening call - after 7pm, and the persistence of the
caller. There were no redeeming features.

Chris Parry of DirectionGroup says: "Whilst most people believe that they are not swayed by advertising and marketing, it is evident that they still are. Christmas is a time when many products, especially those relating to children, sell a majority of their annual stock and so their marketing has to be spot on. Often the marketing is more subtle than previously as the consumer becomes more sophisticated and wiser, yet still much of it is blatant and over the top."

"It seems that those products that are more heavily marketed are likely to be those products that are bought. A sobering thought."


For further information, please contact:
Richard Stephens
DirectionGroup
Tel: 0118 989 8104
Mob: 07836 587096
Email: richards@directiongroup.co.uk
www.directiongroup.co.uk