As inflation subsides, the global economy enters a new phase, and consumer confidence rebuilds, the challenge for marketers is to shift from communicating price rises and discounting, to building or maintaining pricing power and show why the value of their brands are worth a premium price.
Marketers are advised to use ongoing brand-building to defend pricing strategies, avoid frequent changes in advertising that can confuse consumers and devalue a brand, and become the customer’s voice in the boardroom by influencing the 4Ps – pricing, product, promotion and place.
- Close the customer experience gap: $3.7 trillion is at risk as customers cut spending or switch brands after poor experiences
A growing global dissatisfaction with customer service quality is now a critical issue for marketers. The gap between the brand’s promise and the actual customer experience is widening as brands struggle with complex customer journeys, cost-cutting, and margin pressures. A staggering $3.7 trillion is at risk as customers cut spending or switch brands after poor experiences.
According to the Marketer’s Toolkit survey, the majority of brand marketers directly manage just two elements of customer experience: website and/or app design and measuring customer satisfaction.
Brands are recommended to adapt strategies to better align customer promise and experience, boost memorability and distinctiveness at critical customer touchpoints (apps, websites, retail outlets), and constantly test, learn and listen to feedback.
Andrea Sengara, Head of Marketing, US, Campari Group, says: “A key part for me is getting input and feedback from everyone across the organization […] From people’s experiences in-store and at bars and restaurants to customer experiences trying the product, this can all help us improve how we are building the brand.”
- The digital dilemma: 40% of advertisers expect brand safety to have a “significant impact” on their marketing strategies in the coming 12 months but only 8% plan to reduce their investment in social media
Despite enduring concerns about the prevalence of hate speech and misinformation, Big Tech platforms are perceived as indispensable to many brands’ marketing plans, claiming a greater share of ad budgets. Alphabet, Amazon and Meta are forecast by WARC Media to account for 44% of all global ad spend this year.
40% of Toolkit survey respondents expect brand safety to have a “significant impact” on their marketing strategy in the coming 12 months, up 10 percentage points in three years, yet only 8% plan to reduce or cut their investment in social media. Concerns continue around the open web, the rise of AI-generated made-for-advertising (MFA) websites and the more than $80bn in global spend lost annually to ad fraud, per Jupiter Research.
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