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Can coffee fix the talent crisis?

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The Fairtrade coffee movement offered a premium product that reset expectations, and now has people convinced that they can’t live without a $5 latte. Advertising could learn from this, says Des Jones, the Chief Strategy Officer at Juniper Park\TBWA.

In the many discussions about the talent crisis faced by creative agencies, there is lots of talk of how employee values have changed. But this issue isn’t just about the gap between what agencies offer and what employees want, it also relates to the growing gap between what employees want and what clients want. At the heart of the crisis, people are rejecting the poor training, talent management, and lack of purpose that the agency operating model often delivers.

This hasn’t always been the case. When I came into advertising, it was full of creative spirit, optimism, and opportunity – not words widely associated with it today. Since the abolition of media commission, advertising has been on a steady march toward commoditization. Pricing is presented in hours, rates are blended across roles and seniority, “fat” has been trimmed, and the relationship between price and quality has been lost. Today we are a commoditized industry, and current and future employees are rejecting the environment this has created.

With 77% of agencies claiming there is “some” or “high” scarcity of talent in their organizations, we need to do something constructive – and coffee could be the answer.

Breaking out of commoditization

Long before today’s $5 latte market, coffee was a commodity with low price elasticity of demand. This put price pressure into the supply chain from retailers to manufacturers and eventually, to farmers. The result: some farms scaled up and mechanized for cost efficiencies, while smaller, quality-conscious farmers worked harder to break even. Remind you of anything?

In a similar vein, to give some clients the cheaper product they want, many advertising shops are automating, scaling up and reducing their reliance on creativity, while those that rely on human capital are finding it harder and harder to sustain environments where creativity and talent can thrive.

So, can what worked for the coffee industry work for us, can we break out of commoditization and lure a new generation of creative minds into advertising?

The first step in coffee’s journey from commodity to the valued product we know today, was the Fairtrade movement. Fairtrade gave people an option to buy coffee that didn’t exploit anyone in its production. From field to cup, you could be sure that everyone involved was treated properly. This transparency, honesty and awareness put a generation of coffee drinkers on the path to conscious consumption. Fairtrade was the start of real, meaningful differentiation and the beginning of a proper hierarchy of value.

So, could Fairtrade Advertising be our industry’s answer? I believe it could. For years, the industry has embraced demands for leaner pricing and processes while still promising to deliver high quality work. The human and financial pressure this creates has seen expectations and remuneration lose touch with the broader market, to the point where employees are now refusing to work in the system this has created.

Human creativity can prosper

By not standing up when procurement measures first started to put the industry under pressure, the ad industry finds itself where it is today: 57% of marketing procurement professionals and 59% of marketers believe their relationship is “extremely or very healthy” – but only 15% of agencies would agree. Industry-backed, tiered products could be the first step in being able to offer the working conditions and packages that help us to build businesses where human creativity prospers. The tiers could look like this:

Efficient investment tier – Focused on maintaining the status quo and meeting benchmarks. Uses the lowest cost talent, and existing systems and approaches.  Staff only work their contracted hours.

Effective investment tier – Focused on delivering incremental change by getting consumers to behave differently. Agencies invest in building a culture that inspires and nurtures, so talent bring a higher level of dedication and professionalism.

Disruptive investment tier – Focused on redefining commercial outcomes and putting brands into a category of their own. Staffed with inspirational, committed, market leading talent, that is consciously nurtured through growth opportunities, inspiration, and a truly creative culture.

If the industry is transparent about the quality of the talent they can offer, how talent is stimulated, supported, and treated, and the quality of the output that can be delivered, clients can make informed choices. By setting a hierarchy, we can be sure to deliver what we promise, and clients can choose to invest in their brands as the needs of their business and conscience dictate.

The talent crisis provides us with a chance to make a stand. If the industry takes a lesson from the coffee business, we can make talent and quality valued aspects of our offerings. But if commoditization is allowed to continue, the talent crisis will drive us out of business.

It’s time we woke up and smelled…

Juniper Park\TBWA is a member of the Institute of Canadian Agencies. Report on Marketing is where leading Canadian agencies showcase their insights, cutting-edge research and client successes. The Report on Marketing provides a valuable source of thought leadership for Canadian marketers to draw inspiration from. Find more articles like this at the Report on Marketing.

The three big media opportunities for marketers ahead of 2023

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It’s not been an easy time for brands but Devon MacDonald, President at Cairns Oneil, the strategic planning and buying agency, has some solutions as we hit the fall

We’ve all been through another year of change with a realization that it will never be ‘normal’ again. Beyond our lives at home, this has left marketers with the very real sense that there are more questions ahead before they finish off the year and ready for the next.

With that in mind, and using our strategic knowledge of the media industry, there are three key trends that marketers can appreciate, embrace and capitalize on right now.

A big two years for TV

Are you kidding? You thought we’d say TikTok or the Metaverse. But, no, we see real opportunity in television in the next 24 months. While we have seen client metrics focus on lower funnel success, we have also witnessed renewed understanding and interest in building awareness, and the importance of this in terms of brand building. So, of course that means TV right? Yes, but it is different. Today “traditional TV” doesn’t need to be measured by reach and frequency.

We should instead chart outcomes. The deployment of targeted buying of traditional TV through products like Bell’s S.A.M. and Corus’s Cynch can give even the most modest spend a chance to deliver awareness and consideration at scale. Add Connected TV (CTV) to this and, in the next 24 months, new streaming access to audiences of Disney+ and more, can deliver real scale for cord-cutters and traditionalists alike.

For clients comfortable with broadcast television, CTV and OTT present opportunities to expand their current awareness programs to new consumer sets with existing creative assets. For clients who have shied away from television in the past that are attracted to the audience-based targeting and digital video performance metrics that CTV and OTT provide, this combination of OTT and traditional is a terrific recipe for success, at affordable investment levels. These opportunities are equally providing a demonstratable link to again showing how awareness can support performance

Making the most of fragmentation

There is a danger of diminishing audience performance within Demand-side Platforms (DSPs) as reach is impacted by privacy changes and content erosion. We continue to evaluate and onboard tech (including DSPs) for our internal trade desk CO2. This can also benefit brands with their own desk in terms of consultation on additional tech, target building and data activation.

Now it’s time for TikTok. The social platform’s initial audience size was partially fueled by the pandemic, but it continues to grow. Video formats on other social platforms are looking to replicate that success in building engagement so that they aren’t left behind. In relation to this, we have been talking fragmentation since the introduction of MuchMusic and TSN in Canada. The proliferation of content opportunities across OTT and CTV are also building on the increasing fragmentation of time across social. But can you name the platform where you last watched a hit show? Don’t worry, most people can’t either.

In both cases we are encouraging clients to continually explore options, but to ensure that strategically they remain focused on the platforms that best support their business objectives. That’s because there’s a real danger in chasing trends while not increasing budgets. Performance can be severely impacted if spend is spread too thinly across platforms, leading advertisers to wonder why certain KPIs look strong, but the outcomes disappoint.

Invest to grow

Study after study has shown that advertising, especially when it comes to brand advertising, aids in the long-term health of a brand. So, no problem, let’s keep spending, 2020-22 was a glitch right? But the budgeting process is the toughest of all right now, and whether clients have had a banner year or are still working out of the pandemic impacts, this budget season has been difficult for all. With uncertain economic times ahead of us and supply chain issues lingering globally, marketers now also have “economist” added to their job descriptions.

We know for certain though that the brands that paused marketing during the pandemic had the hardest time climbing out of it. Private companies might be more open to the idea of continuing to invest spend as supply chain challenges are solved and the fear of recession fades. The pain of reduced EBITDA for one or two years will be offset by a much healthier future. And what about the opportunity cost? Holding, delaying, are natural options but being proactive here can pay off in terms of preventing competitors from entering your category or solidifying a first-to-market position.

As a result, we believe consumers are looking for value and choice and will scrutinize each decision in the household. That presents an opportunity for both new and existing brands.

Where do we go now?

In terms of next steps, each of the three trends re-enforce the importance of goals-based planning. To encourage this, we’re integrating client web and sales data with media performance to level-up decision making because it’s clear that using data to make informed decisions and measure results is paramount to success.

More fundamentally, if you work back from business objectives to make informed decisions and create smart media opportunities then you will win in your category. And then do the same in 2023.

Cairns Oneil is a member of the Institute of Canadian Agencies. Report on Marketing is where leading Canadian agencies showcase their insights, cutting-edge research and client successes. The Report on Marketing provides a valuable source of thought leadership for Canadian marketers to draw inspiration from. Find more articles like this at the Report on Marketing.

A Heart in Two Homes: The 1.5M Inclusion Opportunity

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By Jessica Borges, VP, Business Lead, Koo Multicultural

Summer brings a buzz of excitement for new beginnings, as immigrants arrive in the country to set up their new homes, find fulfilling jobs, or pursue higher education, many with the goal of permanent residency and, eventually, Canadian citizenship. The buzz is even bigger this year, as pandemic restrictions are being lifted and the Canadian government rushes to welcome 432,000 new permanent residents in 2022, as promised in Canada’s Immigration Levels Plan 2022–2024. With a target of 447,055 for 2023 and more than 451,000 for 2024, it could well mean 1.5 million new immigrants calling Canada home in the next three years.

The excitement of coming to Canada and positive feelings about the Great White North have only grown since the pandemic. Take international students, for example—close to 80% said that “safety and stability” were the biggest draw, with 70% citing Canada’s educational reputation, according to The Canadian Bureau for International Education’s (CBIE) 2021 International Student Survey, which reached out to 41,000 international students across 67 Canadian educational institutions.

Canada scores high in global surveys on safety, progress, and quality of life for people from around the world wanting the Canadian dream for themselves and their families. In the 2021 Social Progress Index and the Global Peace Index 2021, Canada ranked among the top 10 countries.

For new immigrants, moving to a new home and settling into a new country means flexing their purchasing power. They not only want to recreate the luxuries they enjoyed in their home countries, but also enhance their lifestyle. They have big dreams for themselves and even bigger ones for their children, and they’re willing to make sacrifices to achieve them. Research shows that their families tend to be younger, larger and more multi-generational than average. Missing the home and community they left behind means recreating festivals and celebrations, considering friends like family, learning new skills, and maintaining close ties with the people back home, even as they embrace all that Canada has to offer.

These immigrants represent a huge profit opportunity for brands that want to grow their consumer base in the short term. And they hold even greater potential for brands that want to connect, create bonds, and build a long-term relationship with new immigrants and the generations to come.

Brands can benefit by following a series of steps that get right to the heart of inclusion with new immigrants.

  1. A warm first welcome is always remembered.
  2. Be there to celebrate—at festivals, but also during important life moments, all year round.Kia launched its Carnival by celebrating a milestone Canadian moment—a multicultural, multigenerational family’s first camping trip. Unfamiliar with sleeping outdoors in tents, the family gravitates to the comfort of their minivan at night. The online video produced by Stradigi Marketing used this simple insight to resonate with consumers and make them smile.
  3. Understand their worries, their insecurities, their dreams. Be there with solutions that meet their needs and bring them value.In these times of vulnerability and change, Pfaff Harley-Davidson, working with the agency Zulu Alpha Kilo, displayed corporate inclusiveness by reaching out to underrepresented riders from the Sikh community. Inspired by Sikh warriors who wove chainmail into their turbans, their prototype product Tough Turban (with 3D-printed carbon fibre and impact-hardening foam) merges modern engineering with ancient tradition. What a powerful way to embrace heritage, identity, freedom of expression, and a sense of pride—by offering riding safety that also protects who you are.
  4. Your employees should represent your customers. Make sure you have advisors on your team with lived experiences and rich insights into the new immigrant journey.
  5. Be authentic—show respect and genuine care and encourage them to speak in their language and be their true selves.Multicultural audiences are strongly connected to their culture, traditions and language, even as they settle in Canada, and it’s very important for them to pass on this connection to the next generation. Created by Cossette, Google’s Pixel 6 spot, featuring the Live Translate function, brought together Chinese-Canadian Simu Liu and his parents in Canada’s first national campaign shot entirely in Mandarin. Moments like when the Marvel superhero’s parents call him by his nickname, Mama, and tell him to sit straight, brought authenticity and a personal connection that resonated with the audience.
  6. Be prepared to listen and keep learning—a new first-generation immigrant isn’t the same as a second-generation Canadian. A newcomer changes as they move forward in the settlement journey.
  7. Embrace the diversity within diversity. There are cultural differences, food preferences, beliefs, and differing ways of life, even among people from the same country. It’s easy to make the mistake of stereotyping them.

Diverse, vibrant, strong— the multicultural consumer is the fastest-growing customer base in Canada. Reach out with inclusivity to build lasting bonds and brand love. Celebrate their love… both for where they came from and for Canada, their new home. After all, their success is your success.

Cossette is a member of the Institute of Canadian Agencies. Report on Marketing is where leading Canadian agencies showcase their insights, cutting-edge research and client successes. The Report on Marketing provides a valuable source of thought leadership for Canadian marketers to draw inspiration from. Find more articles like this at the Report on Marketing.

How to Approach the Changes in Tech & Digital Hiring Practices

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By Darian Kovacs, Founder, Jelly Digital Marketing & PR

The last two years have brought on many changes, shifts, and new approaches for Canada’s businesses. The global pandemic alone was enough to alter the way we approach business functions but alongside this, there were many large and impactful cultural events such as the Black Lives Matter movement, Missing and Murdered Indigenous Women, and Every Child Matters that urged for more effort surrounding Diversity and Inclusion policies from all industries.

Based on these events, Jelly Academy wanted to dive specifically into how hiring and company practices have changed in the past two years for tech and digital marketing industries. In early 2022, Jelly Academy ran a survey, sponsored by Innovate B.C., that interviewed 1,532 Canadian hiring professionals in varying industries including technology, marketing, retail trade, healthcare, life sciences, and education hiring for these roles. From this survey they were able to gather data on how hiring has changed, ways in which Diversity & Inclusion has been incorporated into company culture, and how company policies have shifted.

The study revealed that many participants have felt the effects of the pandemic for hiring, with 56.64% noting hiring for digital marketing and tech roles has become mildly to very difficult. While these were the roles difficult to hire for, they were also the roles respondents were looking to hire for the most. The roles listed included SEO, social media, digital ads, PR, content creation, website development, and software development. This is likely based on the pandemic being a catalyst for digital and tech skills being in demand, with not enough skilled-workers in the field.

While there have been many downsides to the pandemic, it has also set in motion the transition to working digitally and relying more heavily on digital platforms. 50.25% of the respondents stated that digital hiring tools, such as LinkedIn and Indeed, have made hiring more simplified. Continuing to utilize these tools will assist in the process of hiring for the much in demand tech and digital roles.

The study found that flexible work environments may be one of a few solutions to finding skilled tech & digital workers. 37.31% of participants said that offering flexible work schedules has increased the number of applicants they receive for these roles. Flexible schedules include hybrid, remote, flex time, and compressed work weeks. Based on these results, it would be beneficial to hold onto these changed work schedules as they are providing balance for employees and applicants for employers. The changes in hiring have been advantageous and show just how flexible these industries can be, and how they prioritize innovation to problem solving.

Diversity and Inclusion has been a relevant topic for companies for some time, but only in the past two years has it become widely discussed and emphasized. Larger social movements, such as Black Lives Matter, really urged companies to have more transparency in their efforts, demonstrate commitment to diversity, and be held accountable. Based on this, the study had questions around how much has changed since this topic of conversation has come to the forefront in the past two years. Surprisingly, 86.6% of study respondents stated they had not increased or changed their Diversity and Inclusion practices in the past two years. Alongside this stat, 34.33%, the highest collection of respondents for the given question, noted their workforce was only 5-25% of a visible minority.

When comparing these results with 70.23% of respondents noting they believe their industry peers had increased Diversity and Inclusion efforts, there is clear inconsistency. It is hard to say exactly why these stats are so contradictory but it could come down to public facing efforts that may be more emphasized than internal policy. If anything, these results are important reminders that brand image management may be a factor and there is still much work to be done in this department.

The only way to make these statistics more cohesive is by increasing action around diversity and inclusion. Steps like learning sessions, increased hiring initiatives, and funding programs and opportunities for diverse staff members are all ways to work towards equality in the workplace. The businesses surveyed for this study, and other companies in the tech and digital industry, should apply their available resources and commit to concrete, long-term Diversity and Inclusion initiatives.

This study provided enlightening and useful results that should be taken into consideration for tech and digital companies when approaching hiring and Diversity and Inclusion policies. The study showed the aspects in which the industry has changed in the past two years, and where little to no shifts have occurred for others. Results from the study such as increased job applicants when offering flexible work schedules, and digital tools making the hiring process more simplified, show how despite the challenges over the past two years, the digital and tech workforce has not stopped evolving. For the two industries, tech and digital marketing, that are so quickly adapting and putting emphasis on innovation the past two years, it is key that this same mentality is applied to efforts for Diversity and Inclusion. The ability, the innovative minds, and the tools are all there for these industries, they just need to utilize them.

Jelly Digital Marketing & PR is a member of the Institute of Canadian Agencies. Report on Marketing is where leading Canadian agencies showcase their insights, cutting-edge research and client successes. The Report on Marketing provides a valuable source of thought leadership for Canadian marketers to draw inspiration from. Find more articles like this at the Report on Marketing.

Inflation, yogurt, and why everyone will be a luxury marketer soon

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By Mo Dezyanian, President of Empathy Inc.

Yesterday a friend came over with home-made yogurt.

It made me think of how my mom used to make yogurt back home – because it wasn’t readily available at stores (and certainly not in the dizzying variety of flavours we have here).

Recent events have made me gain a new  appreciation for the luxuries of the big city in the rich world, the world I live in as an adult. But I don’t mean washers, dryers, or Uber Eats. I mean the real luxuries. One of those is disposable income and the choice to spend it in abundance.

For many, the pandemic has engineered an abundance, lifting the disposable incomes of an entire class of people. Even the rich feel richer than before. Bank of Canada reports that Canadians accumulated on average $5,800 in extra savings by the end of 2020, mostly by high-income households. Household spending on items such as travel and entertainment was down, due to lockdown measures and fear of the virus. And at the same time household income increased, due to government aid.

But that story is changing now. As the economy opens up, “consumer expectations for spending growth remain near a survey high, likely reflecting pent-up demand from  pandemic-related restrictions,” according to a Bank of Canada survey. Inflation is top of mind in the news, affecting categories such as food and gas that touch people’s day-to-day life. Add to this, Bank of Canada has increased interest rates, increasing the cost of borrowing and shelter.

In other words, we’re at the beginning of an inflationary marketing economy.

But an inflationary marketing economy isn’t about actual inflation. It’s a market where perceived discretionary income is falling.

People feel financially crunched. Like they have less and less to spend. Whether that’s actually true or not is close to irrelevant. Whether the current inflation cycle is long term or temporary isn’t relevant either. It’s all about human behaviour.

And we haven’t really been here in recent memory. While we did go through a financial crisis during the great recession, a sharp decline in cost of borrowing and deflationary force countered the temporary rise in unemployment, so that household disposable income remained growing and consumer confidence trended steady. In short, people borrowed more to spend.

What does an inflationary marketing economy mean for marketers?

Most of us don’t know! We haven’t experienced something like this in our careers – since the late ‘80s or ‘90s. It’s new territory. So here are three key factors to look out for:

  1. Market segmentation will have to consider financial relationships. After the great recession (2007-2009), Harvard Business Review looked at consumer economic downturns. It  concluded that demographic segmentation is less relevant than segmentation that accounts for “consumers’ emotional reactions to the economic environment.” Subsequently, it  segmented the marketing into four groups. Whether marketers use those old segmentations or other new ones, it would be wise to move away from demographics and build financial segmentations.
  1. Your products may inadvertently enter the sub-luxury market. Whether a product is considered a luxury isn’t always determined by the marketer; services and products move into luxury categories because of how folks feel about the economy. What used to be considered a staple or a convenience can suddenly become a treat or a luxury item. For example, our research shows that meal kits, once a convenience product for the busy household, are starting to become a treat that makes people feel better about themselves – marketers are encouraged to consider that and change products and branding accordingly.
  1. In the short-term, brands will become less relevant. Brand loyalty will suffer. People are more likely to move away from their favorite brands in favor of cost savings.It’s easy to fall into the trap of chasing revenues at the expense of long-term building: “Saks Fifth Avenue encountered this trap during the 2001 recession, implementing deep price cuts that temporarily boosted revenues but punishingly undercut its luxury status for longtime customers. Nieman Marcus assumed the luxury mantle, and when the economy rebounded, Saks’s sales were slower to recover,”-according to Bain Co.

It’s also easy to say “brand marketing” is the answer. But investing in more advertising that talks about your brand purpose without being able to back it up is a recipe for disaster.

In reality, building brand loyalty is more complicated. The key is to effectively double down on your most loyal customers and find new similar segments, to create incremental revenue. Once again, our research found that in the case of meal kits, the pandemic created a new segment for the product of single folks looking for indoor date ideas – folks concerned about their social status and generally of higher disposable income and less budget conscience. To maintain this new segment, marketers could further position their meal kit products as luxurious … providing a VIP experience or partnering with known chefs to innovate.

In summary  

Some perception patterns will be permanent.

Frugality is a habit that is difficult to shake. Looking at past recessionary markets, we see that once conservative spending habits develop, they are difficult to reverse. At this critical juncture, marketers would do well to look out for the three patterns outlined above. Then, position their products accordingly and market to set themselves up for future success.

Empathy Inc. is a member of the Institute of Canadian Agencies. Report on Marketing is where leading Canadian agencies showcase their insights, cutting-edge research and client successes. The Report on Marketing provides a valuable source of thought leadership for Canadian marketers to draw inspiration from. Find more articles like this at the Report on Marketing.

Rapid reskilling training can bridge the skills gap

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By Darian Kovacs, Founder, Jelly Digital Marketing & PR

Digital marketing is evolving quickly to become a coveted career-choice for many. Yet, while the interest in roles is certainly there, a recent Canada-wide survey, conducted by Jelly Academy, demonstrates the extent of the skills gap in the industry.

The survey was conducted by gathering insights from hiring professionals in industries such as marketing, service-based businesses, healthcare, hospitality, education, across Canada. And one of the most prominent findings was from those respondents who found digital ads management to be the most difficult role to fill, while also being the most important role to hire for.

The role of rapid reskilling

That difficulty is most likely due to a lack of training within this sector of marketing, as 23.2% of respondents found digital ads management to be a key skill missing from resumes. To address this skills gap, we need to find ways to make digital training more readily available and build awareness about the existing programs and organizations that provide it. As a new wave of marketers enter the industry it is crucial that they have the skills and education that is expected from employers to land jobs and thrive in their roles.

This is where rapid reskilling comes in. This is the process of gaining new, or different, skills to change a current role in quickfire time. It’s ideal for both working professionals who are looking to make pivots or move forward in their career, and for post-secondary students who can’t take on much more in terms of course-load.

It’s the type of training that’s beneficial for digital marketing professionals who can cross-train in different skill sectors in order to fill a gap many companies are looking to fill. Combined with traditional post-secondary education, rapid reskilling through micro-credentials offers a solid foundation and wide breadth of knowledge for students. It can really help people to amplify and hone in on specific skills that apply directly to their roles, such as developing campaigns and strategies, and monitoring results with commonly used tools.

Bridging the skills gap

Following ads management skills, Search Engine Optimization (SEO) and social media were identified as the most important skills that respondents are looking for in new hires with 15.16% noting social media and 12.4% SEO. Within these particular sectors of digital marketing, most post-secondary courses cover the subject matter in a very broad sense but in reality, these are the types of skills that need more specific training using industry-accepted platforms and tools.

On top of this, rapid reskilling training is a viable way to bridge the skills gap in digital marketing by quickly training professionals with the in-depth knowledge to either land a new job or amplify their existing role. It’s also beneficial to in-house marketing teams looking to increase morale and simplify the process of hiring additional professionals.

For ads management specifically, it is important to find reskilling courses that use the most prevalent tools today such as Facebook Blueprint, cover a full scope of digital marketing, and dive deep into ads management training.

As the industry continues to grow, it is important that the professionals striving to advance their individual careers are equipped with the training required to fill the gaps. The time is now, more than ever, for rapid reskilling courses to play a large role in addressing both the current skills gap and minimizing future gaps by keeping digital marketers certified and prepared.

Read The Digital Marketing Skills Gap in Canada Survey results.

Jelly Digital Marketing & PR is a member of the Institute of Canadian Agencies. Report on Marketing is where leading Canadian agencies showcase their insights, cutting-edge research and client successes. The Report on Marketing provides a valuable source of thought leadership for Canadian marketers to draw inspiration from. Find more articles like this at the Report on Marketing.

Ipsos unveils the 2021 Most Influential Brands in Canada

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What brands do Canadians love? Ipsos has released its eleventh annual Top 10 Most Influential Brands in Canada. The study ranks brands according to their influence and this year’s study polled a representative sample of over 6,000 Canadians. Survey findings were analyzed geographically, by gender and across generations including Boomers, Gen X, Millennials, and Gen Z.

While the Top 10 brands have remained relatively stable over the past ten years, those that are technology-focused continue to be very influential—in fact, 2021 was a spectacular year for big tech.

Steve Levy from Ipsos announced the 2021 Top 10 Most Influential Brands at a recent virtual event, sharing how this year’s brands achieved their status and why they’re influential.

“Canada’s most influential brands have needed to adapt, be resilient and provide assistance in new and different ways. Their edgy, unconventional and in some cases supportive nature is what makes them stand out in a crowded, competitive marketplace,” observed Mr. Levy. “They influence how we dress, communicate, shop, spend our free time, celebrate, socialize and since 2020 stay safe.”

The Most Influential Brands study examines five key dimensions that drive the most influential brands in Canada: trustworthiness, presence, being leading edge, corporate citizenship and engagement. With the unprecedented shift in consumer behaviour driven by COVID-19, a sixth dimension was added in 2020 and retained in 2021– COVID which reflected the help, sincerity and caring that some brands demonstrated. 

“Over the past two years, we’ve seen consumers increasingly expect brands to exert more influence beyond sharing their beliefs and values to contributing to the greater social good. This year’s brands highlight what brands are doing it right and provide insight into where consumer expectations could be headed” said Andrew Saunders, Chief Revenue Officer, the Globe and Mail, a sponsor of the virtual event.

Last year’s big learn: brands that listened to their customers and found ways to respond through digital and service innovation were rewarded with loyalty and increased influence. Here are the lessons marketers can take away from the 2021 Most Influential Brands report:

  1. New technology and media brands are still dominant from an influence perspective
  2. Products, solutions and advertising that intersect in relevant ways are most likely to have influence
  3. Brand influence does differ by generation
  4. Very difficult for local brands to attain and retain a top 10 ranking – they don’t have the scale, scope and access to capital and talent that global brands do (when we do see a local brand in the top 10 it’s special)
  5. Of course innovation matters, it’s anchored in systems and helpfulness really matters
  6. Trust is important and has always been important, but more than that, brands that are seen as earning the public’s trust is a differentiator

To read the Ipsos report and get details on how the top brands made the list click here.

To see the entire 100 Most Influential Brands in Canada click here. 

Missed the virtual event? Watch the Top 10 Brands of 2021 as presented by Steve Levy from Ipsos Canada.

How does the meal kit industry gain post-pandemic traction?

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By Mo Dezyanian, President, Empathy Inc.

The pandemic affected many product categories but few as profoundly as meal kits. Their adoption rose rapidly in the wake of Covid as people looked for new and constructive ways to spend their time at home.

At the start of the pandemic, we saw a rush to order meal kits, which is demonstrated clearly in the success of the businesses supplying them. For instance, Hello Fresh posted a €369 million global profit in 2020, after a loss of €10 million the previous year.

The reasons why were really simple. We had fewer options at meal times, restaurants were closing, and people weren’t going out as much. Many customers also had more disposable income. The spike in meal kit adoption almost doubled to reach 17% of the Canadian population, 5.3 million people, according to research from Vividata.

An industry nearly doubling in size in a year is extremely rare. But, as we’re gradually coming out of the pandemic, how do meal kit providers work to connect further with audiences and uncover real, new opportunities? And what does the sector need to think about to maintain and build its traction?

Beyond demographics

Demographic research provides some good insights into where the growth in meal kits has come from. Students looking for fresh and convenient meal options, for instance, and higher income households. But, while factors such as age and occupation are great indicators, there’s a chance here to dig deeper.

At Empathy we worked with Vividata on a new research project, “Cooking By The Numbers”, which focuses on what the meal kit sector can do to make the most of the opportunity in Canada as the economy recovers and consumer confidence rises.

One of the insights that we’ve uncovered is that people have a greater propensity to use these meal kits if there’s a life event happening. People who have just bought a new property, experienced the death of a loved one, are recently married, or have a new baby, are especially attracted to the idea of meal kits. For instance, 20% of people who just bought their first home are more likely to use them, says the Vividata research.

Looking through this data shows quickly that the success of the category is not solely related to the pandemic. This gives us a chance to connect with people’s aspirations because the data shows many Canadians view meal kits as a small luxury, a treat that also says they’ve made it in life. Some are thinking, “I’m hiring a personal chef, but without the expense, and that makes me feel a bit better.”

A little luxury

The analogy is the Starbucks Latte. It makes us feel good, and it’s luxurious. But, at the same time, it’s accessible. That’s relevant because research shows that perceptions of meal kits are shifting from them being a convenience product to a semi-luxury that people purchase to feel good.

So, what does this mean for brands in the sector? Traditionally, many have hooked people in on convenience, and the meal itself. And, of course, that remains important. But while that’s why many go in and make the initial purchase, it’s not always the reason they stay.

The big story throughout the pandemic is that certain products and categories will emerge differently. Some behaviours will stick, others will not. And one of the most fascinating things I’ve seen is that many products are moving towards the luxury, or at least “treat” category almost inadvertently through the perception of their consumers.

This shift has implications for both media targeting and the promotion of meal kits. In terms of media activity, we’re seeing the category skew towards younger, more diverse, audiences with heavy mobile and digital media usage. And, when it comes to coupons and bargains, there’s a risk that they cheapen the product. That’s because adopters of meal kits value the status that comes with them.

Stronger customer relationships

There are clear ways to position meal kits in the luxury space. One of them involves charging a premium, while encouraging people to sign-up for meals backed by a celebrity, a chef with a voice in the market, to provide authority that contrasts with looking up a recipe online and being faced with wildly inconsistent results.

That’s an approach worth considering because positioning the product in the luxury space puts the focus on potential customers looking for relationships, who are less budget conscious, and not as attracted to coupons that erode the margin of the business.

Ultimately, greater investment in looking beyond straightforward demographics towards segmentation, targeting and clear messaging will deliver growth for meal kit brands beyond the pandemic.

Empathy Inc. is a member of the Institute of Canadian Agencies. Report on Marketing is where leading Canadian agencies showcase their insights, cutting-edge research and client successes. The Report on Marketing provides a valuable source of thought leadership for Canadian marketers to draw inspiration from. Find more articles like this at the Report on Marketing.

Five questions with Lindsey Lowy

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There is nothing more certain in marketing than change.  In March of 2020, marketers began to navigate pandemic marketing and two years later, marketers are starting to navigate post pandemic marketing.  We asked Lindsey Lowy, Senior Director, Consumer Marketing at The Globe for her thoughts on what marketers must keep in mind as they navigate the months ahead.

  

What has surprised you over the last year in marketing? 

The continued need for productive dialogue between people with expertise. The Globe launched its first virtual event a few weeks after the pandemic sent us all into lockdown in March 2020. Two years later, despite Zoom fatigue, we’re still seeing a strong interest in virtual events, particularly for broad-based topics that dominate the news – thing like food security and agricultural sustainability, the future of work, the future of healthcare, cybersecurity, diversity and inclusivity for example. Brands want to be seen as thought-leaders and audiences want to deepen their understanding of these often complex issues. Virtual events do this really well with few barriers. While I’m really looking forward to connecting with people at live events in the near future, I’ve been pleasantly surprised by the role of virtual events in the B2B and B2C marketing mix. They’re definitely here to stay.  

What brands are getting marketing right and why?  

Nike always gets it right, in my opinion. Their mission, to bring inspiration and innovation to every athlete in the world, is infused in everything they do as a company from product design and athlete sponsorships to inclusivity, environmental sustainability and of course, their marketing. And they’ve mastered storytelling. I’m in awe of how Nike consistently taps into cultural moments in a way that feels true and inspiring. When sports were locked down in 2020, they came out with You Can’t Stop Us; When George Floyd was murdered, they implored people to not ignore racism and twisted their 30-year old slogan to say Just don’t’ do it.  And now, as we all emerge from our COVID cocoons, their Play New celebrates the joy of trying something new. It’s no wonder they’re one of the top apparel brands in the world.   

What’s holding marketers back right now?

As marketers strive to be ‘always-on’ with our marketing communications, I think many of us are still beholden to a campaign-centric mindset and structure that may not be serving us well in today’s digital world. We build annual budgets and sequential, waterfall campaigns that often require months of preparation. But, as we saw with COVID, the consumer environment is far from static. Creative that made sense a month ago may not be relevant or even tasteful today. 

 I recently completed the Digital Marketing Strategies: Data, Automation, AI and Analytics course from Kellogg and I’m increasingly fascinated with the idea of applying agile development principles to marketing.  Can marketers build a 6-month or 12-month roadmap that’s updated quarterly on a rolling basis and focused on a few key themes? Can we break those themes into 2 week or 4 week sprints shaped by user stories and epics to create iterative messaging that allows us the flexibility to respond to feedback and a dynamic consumer environment, while also providing consistency in terms of longer-term strategic goals and outcomes? Should marketing teams have product owners, scrum masters and developers? 

What makes marketing with The Globe different from other providers? 

Two things: Our audience and our understanding of content marketing. Our readers are whip smart with high expectations of us, which requires everyone at The Globe to continually do better and be true to our mission as a trusted, independent, Canadian news brand. It’s a daily challenge that’s infused in our corporate culture. As well, we’re experts in content marketing. Content marketing has been our business before content marketing was a thing, and with the added insight from Sophi.io, our proprietary data analytics, informed by millions of visits every month, we not only have a pretty good sense of how consumers engage with content, but more importantly how to identify patterns and draw insights from that engagement. The more we can work closely with clients on marketing challenges beyond a campaign or a media buy, the more strategic and nuanced we can get.

What are the biggest opportunities for marketers right now? 

 In the midst of war in Europe and rising inflation, on the heels of a pandemic, and on the cusp of climate disaster, companies and brands that embrace social good in big ways have a huge opportunity to win the hearts and minds of consumers. I think right now, marketers need to be thinking about how they can steer their companies to solve real problems. I love, for example, how Patagonia embraces anti-consumerism. Or that Dave Rawlings and Gillian Welch released a truly handcrafted, limited edition first-pressing of their new album “All the Good Times” in the midst of the pandemic. I think consumers are ready to treasure and value things in a way that our grandparents once did.

Five Questions for Jamie Rubenovitch, Head of Marketing, Sophi.io

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As marketers navigate accelerated change and innovation, being bold, taking risks and leading the change are as important as taking stalk of what works.  We asked Jamie Rubenovitch, Head of Marketing, Sophi.io at The Globe for her perspective on how to approach the technological opportunities that lie ahead.

What has surprised you over the last year in marketing?

As we emerged from Covid lockdowns around the world, I’ve seen a new willingness in marketers to take more risk with the goal of achieving higher rewards. We’ve been pushed to innovate and embrace new ways of doing things faster than before. What worked pre-Covid doesn’t work today and won’t necessarily work in the future – that means we need to adapt quickly. That’s also where technology comes into play. The sheer amount of technology that’s becoming mainstream in the market these days is impressive. These solutions can help marketers do more, better and faster. For example, Natural Language Generation (NLG) tools that generate titles for your content, AI that curates that content online, and chatbots that talk to your customers in your stead. It’s an exciting time for marketers who want to push the boundaries and lead their teams in new directions.

What brands are getting marketing right and why?

I like how Pepsi went completely outside of the box with Pep’s Place, a Fast
Beverages Restaurant. Turning things on its head, the pop up let customers pick their Pepsi beverage of choice first and then offered suggested meal pairings only available online and through food delivery apps. It’s getting harder and harder to break through, so forcing consumers to think differently about such an engrained behaviour of ordering your drink last is smart.

Five Questions for Jamie Rubenovitch, Head of Marketing, Sophi.io

And then there are brands like Pampers and Redbull that continue to show why they’re among the best at marketing with campaigns like Million Acts of Love, launched by Pampers on Mother’s Day last year to give hope back to parents during a trying year. Pampers focused their message on giving back hope during some of the most trying times when other brands were still falling back on the “we’re in it together” message.

What’s holding marketers back right now?

A lot is up in the air today. Will the world ever go back to “normal”? What will the new normal look like? Are virtual events here to stay? Are hybrid events? Is brick and mortal a thing of the past? There are a lot of questions floating around that won’t immediately be answered. But that doesn’t mean we have to sit around waiting around for answers. It’s time to make bold decisions and take actions that will propel your brand forward even in unusual times. That starts with identifying your core business goals and then making sure everything you do – every piece of content you produce and promote – brings you a step closer to achieving those goals.

What makes marketing with The Globe different from other providers?

The Globe and Mail is constantly looking to innovate, advance and elevate what we are doing; for example, the Globe has spent a decade developing its own growth platform. An AI-powered automation, optimization and prediction solution that’s sole purpose is to help content publishers identify their most valuable content and leverage it to achieve their business goals. It’s called Sophi.io. And Sophi doesn’t bother with your most popular content, it ranks all of your content according to which pieces drive real value, like acquisition, retention, order value, LTV, and so on. Then it can autonomously curate that content across all of your digital properties to place your most valuable content in the most valuable places online and even in your newsletters. It can present different content to different segments of users coming from a set geography, or coming from social, for example.

Sophi can also help you activate your first party data strategy by curating a user experience that makes users want to tell you more about themselves. Sophi fast-tracks progressive disclosure by getting you from level 1 where you have one piece of data about your visitor, to a completely different level where you’ve earned higher loyalty, retention and engagement. Sophi’s 1-to-1 personalization engine knows to present the highest value offer an individual user is likely to accept, at the exact right time. And anytime it does make a mistake, the AI learns from it and does better the next time.

What are the biggest opportunities for marketers right now?

This comes back to making bold moves and having the MarTech stack to support that. The brands that are excelling these days are looking at the challenges their audience is facing and positioning their brand in intelligent, innovative ways, as the solution. And it isn’t always easy to do more with your existing team, so don’t be afraid to lean into new tech. Not tech for tech’s sake, but tech that impacts your bottom line and takes away some of the work that things like AI and machine learning can just do better and faster, so your team can focus on the things they inherently do better, like developing creative campaigns and strong brand and mission-focused messaging.

Bonus question: What’s your most rewarding project in the last year?

Seeing publishers across the world really benefit from the Globe’s commercial AI solution, Sophi.io, has been fantastic. The number of webpages that used to appear in reverse chronological order that are now automated and driving incredible business results is remarkable – Sophi is solving a real challenge for many and being a part of that is definitely rewarding. Looking forward, I’m excited about the work we’re starting to do with brands outside of the media space. Stay tuned for more updates on that later this year!

Find out more about The Globe’s ground breaking AI technology Sophi: https://www.sophi.io

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