Sure, you may find Gen Y gourmets whipping up their own aioli, or spreading some organic mayo on their whole-wheat sandwiches. But Kraft Foods is betting they'll go for good old Miracle Whip -- the downscale sandwich spread they grew up with -- and has launched a new campaign to win them over. Themed "We are Miracle Whip. And we will not tone it down," TV ads are set to a jangly soundtrack from rock band The Datsuns, featuring people who "proudly embrace the flavor of Miracle Whip without apology," says a Kraft spokesperson. "We will not be quiet," the voiceover says. "We will not blend in. And when we are in a salad or a sandwich or a panini or crostini, you'll know it. We are Miracle Whip." "Many people enjoyed Miracle Whip in the past, but with so many flavor options today, many of them -- especially younger consumers -- have lost sight of this tangy original dressing," the spokesperson says. "We have reinvented Miracle Whip, and we want to bring its one-of-a-kind flavor back in front of younger consumers who might not be thinking about it." The company hopes the new effort, from mcgarrybowen, "will reintroduce the brand to younger households, particularly those who grew up eating it but might not be using it today. We have an opportunity to contemporize the brand for today's younger consumers." TV ads broke this week and will run through November on prime-time women's cable, men's cable and adult cable, says a Kraft spokesperson. "There will also be a strong regional TV spot overlay, especially in the Midwest (early morning, primetime and fringe)," she says. Because the ads target younger consumers -- especially those who may have grown up with the product -- the campaign is running in multiple media, including out-of-home executions in several cities (with one near Chicago's Wrigley Field), print, a Facebook page and Twitter profile, other social media, FSIs, consumer relationship marketing tactics, sampling, in-store support, and truck fleet billboards. It's also using ZINGR, "a new downloadable plug-in that enables users to add their own comments on websites with friends," which consumers can download at MiracleWhip.com. Kraft "wants to be where consumers are," she says. "Social networks are a part of life, and we want Miracle Whip to be a part of the conversation. ZINGR is just the innovative tool to do that." The plug-in was created by AKQA.
Thursday morning, 789 Dodge, Jeep, and Chrysler dealers learned by overnight UPS that June 9 will be the end of the road with Chrysler, Inc. The company, in bankruptcy protection, will keep 2,392 dealers, which account for about 86% of volume. Every state is affected, and estimates are that about 40,000 dealership employees will lose their jobs. To jettison the dealers, which usually means having to buy them out per state franchise laws, the Auburn Hills, Mich.-based automaker filed a motion with the U.S. Bankruptcy Court Thursday. The dealership cuts are subject to court approval. The remaining dealers will be part of Chrysler's global deal with Fiat. In a press call on Thursday, Jim Press, Chrysler vice chairman and president, said the retained dealers are those that are selling all three Chrysler brands. "Because of restructuring, we will be developing fewer models and not adding products to support stand-alones," he said. Press also said the move does not include an appeal process or objection criteria to which rejected dealers can resort. "There are no winners or losers. We have submitted our lists to the court, and the list will not change," he said. "In the process of approval in the court, there will be some legal counsel representing the lists of dealers -- and they may make motions in the court, and we can't speak to that -- but our process is done, and we don't have a review process that would change this." Steve Landry, EVP, North American sales and marketing, said that warranties will be shifted to other dealerships. "The consumer may or may not choose to buy from a rejected dealer; there are about 3.5 million owners associated with the 789 dealers going out. A lot of service contracts are sold by multiple dealers and most are our own contracts to be honored at all dealerships," he said. He said Chrysler will redistribute new vehicles and parts to the remaining dealer network. The court has also approved a motion vis à vis Chrysler's agreement with GMAC Financial Services to provide the automotive financing products and services to the company's dealers and customers henceforth. That deal makes GMAC Financial Services the preferred lender in North America. General Motors, which killed Oldsmobile and had to pay around $1 billion to buy out the brand's dealerships, reportedly is also planning to close 42% of its 6,200 dealerships. Said Press: "The industry has been coping with excess dealer capacity for 15 or 20 years. This is the time to address structural issues that have given domestics a disadvantage in the market. The fact is, the opposite of bankruptcy is liquidation, and through liquidation everyone loses -- it's all gone; we are preserving this company through the future with an alliance with Fiat. Is there a more humane way to do it? No. This is a game where there's going to be some dealers rejected, and there's no way to say anything other than there must be sacrifice for the good of the total or nobody survives."
A new brand campaign from Georgia-Pacific for Dixie features popular food items that come to life to expound on the virtues of being served on Dixie. The multimedia campaign, launched by the company's Professional Food Services Solutions, includes three main characters -- Hamburger, Coffee and Ice Cream -- which give customers a first-hand look at what it is like "going out on Dixie." The campaign includes print, interactive and video elements. Beginning in June, the print ads will appear in vertical foodservice magazines such as QSR, Restaurants & Institutions and Nation's Restaurant News. Character videos and photos can be found at Dixie's YouTube and Flikr channels as well as a new Dixie Web site http://www.dixieisthebest.com/. The YouTube and Flikr presences are part of a social media campaign being coordinated through agency Howard, Merrell & Partners, says G-P spokesperson Michelle Wagner. There are two videos for each character; one is called "feature" and the other "sales call." In the feature video for Hamburger, a consumer takes a bite of a hamburger and puts it back on the plate. The bun slides off to reveal the character's face, which is that of a middle-aged man. "Check me out on this Dixie Ultra Paper Plate," the Hamburger says. Nice, huh? It's got a soak-proof shield. You can cut on it. You can put it in the microwave, for crying out loud. It's multi-layered luxury with a new rim design that makes it stronger than ever. I feel like a filet mignon here." The sales call video is more of a direct sales pitch. The campaign launches this weekend at the National Restaurant Association trade show in Chicago, Wagner says. "This is the largest annual event for the foodservice segment and a major forum for our customers," she said. "As a sponsor with NRA, we have an exclusive to run these campaign spots and publicize the www.dixieisthebest.com Web site on the buses that transport the attendees to the show." The trade show is expected to draw in excess of 70,000 attendees and participants this year. The campaign's creative evolved from the idea that no one knows Dixie products better than the food itself, said John Mulcahy, Georgia-Pacific Professional Food Services Solutions vice president, in a statement. "The new campaign captures our unique understanding that in the foodservice industry the little things make the biggest difference in a guest's experience," he said. "It just happens to come from the perspective of food and drinks." The other characters include Coffee, "a smooth talking beverage who resides in a Dixie insulated cup with triple-wall construction and insulated middle layer that is 99% recycled fiber. He talks about how the cup keeps users cool while the coffee stays hot. Ice Cream is "a passionate, sweet-talking, matter-of-fact scoop of ice cream who touts the Dixie SmartStock cutlery dispenser for single use cutlery at the press of a lever." It is easy to use and improves hygiene by reducing consumer touchpoints, according to the character. In addition to the main characters, the Web site includes "Testimonials from friends" such as "Swedish Meatball" who resides in Stockholm, N.J. and writes this fan letter: "Ja, not having every one touching the fork that touches me is very good, ya know. Just push a lever and boop! SmartStock cutlery dispensers deposits one fork at a time. Tack you, Dixie. Tack you very much."
There are two things wireless telephone customers hate: not having a signal and running out of battery juice. With the industry often addressing the former concern (through advertisements that focus on expanding networks and dropped calls and such), regional telecom U.S. Cellular next week will launch a program that addresses the latter. In a new "Battery Swap" program, U.S. Cellular customers will be able to exchange their dead or dying phone batteries for fully charged new ones in U.S. Cellular retail locations at no charge. "We're all about the human connection with others," Alan Ferber, chief marketing officer of the company, tells Marketing Daily. "And for our customers, the cell phone is that connection." The "Battery Swap" program will launch on Tuesday and will be supported with television, print and collateral advertising that targets both new and current customers, Ferber says. A "Phone Swap" dedicated television spot features a robot communicating the importance of always keeping an electronic device's battery charged. Noting, however, that many telecom companies lure and keep customers by offering the latest in gadgetry and devices, Ferber says the program will only cover batteries for phones sold over any given 18-month period. Customers with phones older than 18 months will be encouraged to get a new phone and sign a new long-term contract, Ferber says. The program, which is based on a test the company undertook last year, is the first of its kind for the wireless telecommunications industry. While it's possible that competitors might launch similar programs, Ferber says U.S. Cellular is not concerned. "We think our strategy is unique, and our program is built around customer service," he says. "We don't think that's high on our competitors' priority lists."
The global auto funk won't end next year, or the year after. If market firm R. L. Polk is right, global light-vehicle sales will decline 14.7% from 2008 levels to 55.2 million units in 2009, and the market won't right-size until 2012. Toyota will keep its hold as the top global auto manufacturer, with global share of 12% through 2020, predicts Polk. For Ford and General Motors, which have seen their global share of the auto market drop by about 5% from 2000 to 2008, Polk expects more losses at least until 2012. The firm says Volkswagen will gain nearly a point of market share in the next three years, because of activity in China. This year, in fact, Volkswagen will surpass GM as the No. 2 manufacturer in the world in a close race, the firm predicts. The firm is also saying what may be obvious, that the U.S. will no longer be the major auto growth market. That boom will come from Latin America, Central and Eastern Europe and the Africa and Asia-Pacific/Middle Eastern regions. Polk expects that in 2015 aggregated emerging markets will account for more auto sales than the U.S., Canada, Western Europe and Japan combined. "We see China and India as key drivers of growth, as vehicles become attainable for an increasing percentage of these countries' huge consumer populations," said Uwe Biastoch, director of global forecasting at Polk. "Like Tata Motors with the recent launch of the low-cost Nano in India, manufacturers that innovate and produce market-specific products will be successful in emerging markets." The firm also says the emerging markets will recover faster than the saturated ones -- with sales topping 2007 levels in 2011, something that will not happen in North America, Europe and Japan until 2014. This year will, in fact, mark a watershed for the industry, per Polk: the end of domestics as -- collectively -- U.S. market-share rulers. Per Polk, Asian manufacturers will capture 47% of U.S. market share, compared to 44% for American automakers and 9% for European brands. Western Europe will fare better because its countries have enacted scrappage laws that pay people to get rid of junk vehicles. The firm says sales in Western Europe will fall 9% from 2008 to 2009, versus 24% in the United States and Canada. "The U.S. market is currently in a state of flux, with the impact of Chrysler's Chapter 11 filing yet to be realized and GM's fate uncertain. It also remains to be seen whether the Obama administration will follow the lead of some European countries and reward consumers who turn in old vehicles and purchase cleaner cars, and what the impact of such a fleet modernization initiative might be," said Ulrich Winzen, chief analyst at Polk.
Ben & Jerry's announced its newest flavor, Chocolate Macadamia, during an email blast to consumers Thursday. The Burlington, Vt. company says the Fair Trade-certified flavor includes "sustainably sourced ingredients -- from the chocolate and vanilla right down to the macadamia nuts." "We purposely packed this flavor with more than enough chocolately-rich macadamia-nuttiness & more than a fair share of meaningful ingredients too, including sustainably-sourced macadamias and Fair Trade certified cocoa and vanilla," according to the email. "It's a contribution to ice cream lovers everywhere & to a better world that creates fair and equitable opportunities for farmers & their communities and promotes sustainable farming practices that support a healthy planet & respect for people, too." The company also is promoting the "Do The World A Flavor" contest to give "Flavor Guru" consumers the chance to "create the perfect ice cream" flavor online. "To take part, just mosey over to our online flavor lab, whip together the ice cream of your dreams and give it an appropriately appealing name. You can design your own pint and send to all your friends, for bragging rights." Ben & Jerry's receives tens of thousands of flavor ideas each year from consumers worldwide. "Thanks to these ideas, the company has launched flavors such as Chunky Monkey, Cherry Garcia and Cookie Dough," the company says. "Undoubtedly, our fun names and chunky flavors have become our hallmark. So, we are actively seeking consumers to help the brand's fun approach to ice cream by launching an official flavor contest to determine our next new global flavor." The online flavor generator has predetermined 18 flavors, 18 chunk varieties and 18 swirl varieties to choose from. The contest ends May 28. The grand prize winner will see their idea transformed into the next Ben & Jerry's scoop shop flavor and visit a working Fair Trade Cocoa farm in the Dominican Republic.
As the scope of mobile communications continues to expand, advertisers, marketers, publishers and content providers are working overtime to optimize this medium's revenue potential. At the same time, much attention is being paid to the phenomenon of mobile advertising networks -- some say they are too incremental or pervasive, yet they are crucial to the continued growth of the mobile economy, and are contingent to the sustainability of the existing mobile revenue structure. These networks function as a critical intermediary between businesses looking to reach consumers and publishers seeking revenues for their mobile content. They provide a means for advertisers to enter the mobile space without dedicating substantial resources to developing contact lists, messaging, and outreach tactics. The networks are vital in assisting publishers in placing their content inventory and can provide a visible platform for smaller and newer content providers. Advertisers Perhaps the most important reason mobile networks are gaining importance so rapidly is the way in which they reduce the barriers to entry into the mobile advertising market for companies new to the channel. Networks, particularly those with comprehensive distribution models, marketing capabilities and cross-channel partnerships, offer advertisers a 'one-stop' shop for mobile advertising solutions, reducing or eliminating the need for costly infrastructural investment on the part of the advertiser. Why would a company invest scarce capital into an in-house mobile initiative when a mobile ad network can provide unique touches, penetration, and a sizable return at a fraction of the cost? Other networks go further, bridging not only the content-viewing gap between smartphones and traditional handsets but also the gap between consumer touchpoints by offering partnerships with other media channels, including broadcast channels like radio and TV. These comprehensive networks represent the future of mobile advertising; by being highly accessible by both advertisers and publishers and highly visible by consumers, these networks can deliver as many as 200 million unique impressions per week. Advertisers and publishers are realizing that mobile advertising, while effective on its own, is truly resonant when used in conjunction with other, more traditional media, or as part of a comprehensive, cross-media marketing strategy. In-store point of sale advertisement coupled with mCouponing, or mobile ads reinforced by radio spots: These kinetic combinations represent the way forward for advertisers seeking to reach their constituencies in relevant, actionable ways, and the path to these is being forged by leading mobile ad networks. Publishers On the other end of the mobile advertising spectrum are the publisher, the content provider, and the ultimate platform by which mobile advertisements reach the consumer. For them, these networks are a vital method by which to sell their remnant inventory -- that content not purchased at a premium. Remnant inventory sales are an important part of the mobile ad network business model, and are vital to top publishers seeking to distribute the bottom third of their content inventory. But, ultimately, these are only part of the story. Mobile ad networks have a nobler publishing use: They can provide a valuable platform for smaller and newer publishers. There is a long tail of independent content providers. While the open source revolution has essentially enabled an unlimited number of publishers, only the top 50 account for 91% of all mobile advertising revenue. The rest -- and for the mobile channel, 'the rest' signifies hundreds of thousands of publishers -- fighting for visibility and the remaining 9% of advertising revenue. An incoming publisher, new to the market, inherits a support structure and a distribution capability by engaging a mobile ad network that it would be hard pressed to achieve trying to sell content on its own. Readers, this is not a bad thing. Ad networks link advertisers and publishers in ways that a market free of intermediaries could never achieve. Networks also provide crucial services to advertisers both new to the market and unwilling to assume the burden of in-house mobile marketing implementation. On the other side, mobile ad networks are key to distributing and selling all tiers of content inventory, and can help showcase emerging publishers. The mobile ad network is here to stay, so get used to it. Editor's note: If you'd like to contribute to this newsletter, see our editorial guidelines first and then contact Nina Lentini.