22th of May 2008 AdAge Update

More later - and if you wish to comment -

business@theadcompany.com.au

Tony Clemenger

 

Old AdAge Daily Updates can be found at - AdAge Daily Updates.

Advertising & Promotion Campaigns

 

 

LG goes global with fake TV series to sell TVs

The Sydney Morning Herald
Page: 31 : 22 May 2008
Original article by Julian Lee

LexisNexis Summary: Advertising & Promotion Campaigns

South Korea's LG Electronics is more likely to adapt global advertising campaigns for Australia than develop advertising for the Australian market only. LG Electronics Australia has unveiled the first segment of a campaign focused on a fake television series called "Scarlet", which stars actors Gary Sweet and Sharni Vinson. The campaign is promoting LG's ultra-slim flat screen television and recently started in the US and Europe. LG category marketing manager, Carli Wilson, said there will be a shift to global campaigns as there is a need to be more consistent with naming and marketing across different markets to reduce consumer confusion. The company is serviced in Australia by George Patterson Y&R and Mindshare


 

 

 

STW gets creative and uses outside talent to crack NRMA

The Sydney Morning Herald
Page: 31 : 22 May 2008
Original article by Julian Lee

LexisNexis Summary: Advertising & Promotion Campaigns

Human Communications, an STW Communications company, has used independent agency Droga5 for a campaign for NRMA Insurance. At STW's AGM, investors were told of the success of its model of getting clients to work with more group agencies. STW executive chair Russell Tate said companies within the STW group sometimes need to approach third parties to get the best result. STW won the Insurance Australia Group account from M&C Saatchi Agency in late 2006


 

 

 

SD not yet ready for TV debut

The Australian Financial Review
Page: 23 : 22 May 2008
Original article by Neil Shoebridge

LexisNexis Summary: Advertising & Promotion Campaigns

Australians will see new TV channels, probably in the second half of 2009. The Seven, Nine and Ten free-to-air TV networks plan to introduce standard definition (SD) digital TV channels in 2009, but probably only in the the second six months. Representatives of big media buying groups and advertising agencies, negotiating TV advertising rates, have been given no information about the new SD products. This means that they do not have to factor in these channels for the 2008-09 fiscal year. Media buying firms in talks on TV advertising rates include Group M, Universal McCann and OMD. There is much speculation about the content to be shown on the new TV channels


 

 

 

It's a new $0 deal with same old sting in the tail

The Australian Financial Review
Page: 4 : 22 May 2008
Original article by Ben Woodhead

LexisNexis Summary: Advertising & Promotion Campaigns

Telstra launched a $A0 laptop computer promotion on 21 May 2008, in an attempt to reach the small end of the business sector. Under the plan, Telstra will offer laptops featuring "Next G" wireless internet connections for $0 upfront, although by the end of the three-year contract customers will have paid around $A3,564. Telstra Business executive director, Cathy Aston, said the company was looking to demonstrate the accessibility of laptops and new types of internet connections. According to Aston, those who take up the deal will find it to be cheaper than purchasing the components separately

 

Products & Services

 

 

Gloss comes off high-flying women's titles

The Sydney Morning Herald
Page: 31 : 22 May 2008
Original article by Paul McIntyre

LexisNexis Summary: Products & Services

Roy Morgan Research figures show readership of ACP Magazines' women's titles "Cleo" and "Cosmopolitan" has declined. The readership of "Cleo" has decreased 25.1% on a year-on-year basis, while the readership of "Cosmopolitan" has fallen 14.2%. Circulation of "Cleo" has dropped 22% to 160,137 since 2003, while "Cosmopolitan" is down 16% to 175,455. ACP is making investments in the two titles to arrest the decline in sales. The marketing budgets for both magazines will be increased by around 200% in 2008


 

 

 

Noni B hit as women tighten purse strings

The Australian Financial Review
Page: 23 : 22 May 2008
Original article by Noelle Waugh

LexisNexis Summary: Products & Services

The tough economic climate in Australia has hurt the women's fashion chain, Noni B. It appears that many women have stopped spending on fashion, in response to higher interest rates, petrol costs and food prices. On 21 May 2008, Noni B management forecast a net profit of between $A6 million and $A6.7 million for the year to 30 June 2008, down from $A8.3 million in 2007. Profit growth at Noni B has slowed, as the tougher economic climate hurt sales. On the above date, shares in Noni B rose by $A0.07 to close at $A2.30. Noni B management will release the full-year results on 20 August 2008


 

E-Business

 

 

More commercial stock for sale

The Australian Financial Review
Page: 68 : 22 May 2008
Original article by Robert Harley

LexisNexis Summary: E-Business

Over 8,800 new listings were added to commercial property web site realcommercial.com.au in the first three months of 2008. REA Group GM Asia-Pacific, Shaun Di Gregorio, said tightening credit markets and concern about global economic conditions increased market uncertainty during the period, despite the Reserve Bank of Australia's decision to leave interest rates on hold. Di Gregorio said his company's major customers were spending more on advertising but seeing fewer transactions, as growth in the commercial property sector continues to wane


 

Marketing Strategy

 

 

Tune in, eavesdrop as new tool helps brands monitor internet chatter

The Sydney Morning Herald
Page: 31 : 22 May 2008
Original article by Julian Lee

LexisNexis Summary: Marketing Strategy

Nielsen Online's BuzzMetrics tool monitors and collects comments from 12,500 blogs in Australia. Nielsen has not yet signed up an Australian client for the service, but believes it will come to be utilised by advertisers as it has been in the US. Around 150 companies in the US are using BuzzMetrics to keep track of what it being said in blogs about their brands, competitors and market category. Young & Rubicam Brands offers a similar service with its Seer software


 

 

 

Time for fair play

The Weekly Times
Page: 3 : 21 May 2008
Original article by Leslie White

LexisNexis Summary: Marketing Strategy

Many Australian agricultural sectors pay levies to help the marketing of their produce, including the avocado and stone fruit industries. They claim that the marketing that they have paid for indirectly helps importers to take some of their domestic market share from them. For example, avocados from New Zealand now command a third of the Australian market, for which Australian growers have paid a levy to promote for the last 17 years. However, Tony Burke, the Australian Agriculture Minister, is not sure about the notion that overseas growers should contribute to levies, stating this would give them a say in domestic marketing strategies

 

Consumer Behaviour

 

 

Budget fails to find its bounce

The Age
Page: B1-B2 : 22 May 2008
Original article by Scott Murdoch

LexisNexis Summary: Consumer Behaviour

Consumer confidence in the economy following the release of the 2008-09 Australian Budget rose a mere 2.7% in May. The figures from the Westpac Consumer Sentiment Index indicate that reaction to the Australian Labor Party's first budget in 13 years was mildly supportive. The previous government gained 7.5% in the same period in 2007. In terms of voting, support for Labor rose by 8.3% while the Coalition gained just 1.9%. Given Labor's voter support base, responses to the Budget should be more positive, but analysts suspect the government's pre-Budget campaign to lower the public's expectations worked

 

 

 

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