Thursday, September 15, 2011 | Edited by Daniel Moores
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A Healing Touch From Hospitals Some advertising agencies weathering the economic downturn are getting a shot in the arm from the most suitable of sources: hospitals. In the first six months of 2011, advertising by American hospitals, clinics and medical centers rose 20.4 percent, to $717.2 million, from $595.5 million in the same period in 2010, according to the Kantar Media unit of WPP. Advertising agencies increasingly are trying to quicken the pulse of consumers, who have come to expect ads with doctors in scrubs posing with impressive machinery, ad copy boasting of "skilled" doctors and "caring" nurses, and the latest ratings from U.S. News and World Report. A new television commercial for Lenox Hill Hospital in Manhattan, for example, features pedestrians on a busy sidewalk, and the text, "We can't help you with playoff tickets. We can't help you with co-op board approval, or getting your child into a preschool. But if it's really a matter of life and death -- we can help." A print ad for the campaign, much of which celebrates the fact that the hospital has been around since 1857, has this headline: "We had cardiologists before the city even had arteries." The campaign is by the New York advertising firm of DeVito/Verdi. "We're looking to brand a hospital while breaking some of the clichés and unwritten rules of hospital marketing, like showing a building, showing pictures of the medical staff, or showing machines," said Andrew Brief, director of client services for DeVito/Verdi. DeVito/Verdi also created a campaign for Mount Sinai Medical Center, which began running in 2003. Print ads featured patient success stories with catchy headlines such as "Ironic that a plumber came to us to remove a clog." Also featuring patients' stories are television commercials introduced by New York-Presbyterian Hospital around the beginning of 2011. The campaign, by Munn Rabôt in New York, includes a spot featuring Heather McNamara, 9, in the commercial, who describes a lifesaving procedure when she was 7 to remove a baseball-size cancerous tumor. Patient testimonials have become so popular in the last decade that some hospitals get their hearts -- and their heart clinics -- set on the approach. "They say, 'We have really satisfied patients so why not use patient testimonials to tell our story?' " said Susana Cascais, managing director of Frank Unlimited, a Seattle agency whose local clients include the Group Health Cooperative and the Everett Clinic. "But we try as much as possible to steer our clients away from those clichés, because if you cover the logos in those ads, it could be anybody." A billboard by the agency for Group Health last year, highlighting secure online medical records, read, "Helpful for when your wife yells, 'What is wrong with you?' " And a print ad, for the Everett Clinic about pediatric care and scheduled to be introduced on Sept. 26, reads, "We diagnose mumps, ear infections and Legos lodged in noses daily." Also X-raying the funny bone is Bethesda Heart Hospital, in Boynton Beach, Fla., which recently ran billboards along I-95 in Boynton Beach and nearby Delray Beach, cities popular with retirees. "Your heirs can wait," read one billboard; another, "Outlive your foursome." Paul Amelchenko, the creative director at BFW Advertising in Boca Raton, Fla., which produced the ads, explained in an e-mail message that the strategy "was to focus on the benefit of the hospital (we help you live longer) versus the features that they have (great technology, world class physicians) that all other hospitals claim to have as well." A television spot for the Mayo Clinic that began in August starts with a single firefly in the night sky, which gradually lights up with too many to count, and is accompanied by the voiceover, "You can make an appointment with one doctor -- or you can choose Mayo Clinic, where a team of experts works together for you." The campaign -- by Campbell Mithun in Minneapolis, part of the Interpublic Group of Companies -- includes a similar spot with paper lanterns multiplying in the night sky. Reid Holmes, executive creative director at Campbell Mithun, said an institution as well regarded as the Mayo Clinic need not "prove its performance ability." Instead, spots highlight the collaborative approach of the doctors and the fact that -- with facilities in Minnesota, Arizona and Florida -- it is more accessible than consumers may think. "The reputation that the Mayo Clinic has is its own proof point," said Mr. Holmes. "But a predominant misperception in many ways is either, 'I'm not dire enough to need them,' or, 'I'm just a regular dude and I can't get access to them.' " The ads, he continued, demonstrate "that anyone can get an appointment at Mayo." At UPMC, which is based in Pittsburgh and operates 20 hospitals, some current commercials and online-only videos take the unusual approach of de-emphasizing hospital care. The spots, which feature people who are not actors, highlight efforts like a college scholarship program. The videos are part of a broader campaign, called "Life Changing Medicine," started late last year by Grey New York, part of the Grey Division of the Grey Group, which is owned by WPP. "When looking at building the brand of the hospital, this organization goes beyond just the hospital and beds," said Dean Walters, a marketing vice president for UPMC. "What consumers don't usually see is the tremendous giveback to the community that UPMC makes." (Source: The New York Times, 09/13/11) |
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Differences Abound Among Affluent Consumers Hard to believe, but back in 1977, if you made $40,000 a year, you were affluent. Of course, that was 35 years ago, when "Star Wars" episode IV led at the box office, "Laverne and Shirley" was a top TV show, and the gotta-have automotive technology was CB radio. Okay -- maybe CB peaked in 1975. These days, Ipsos Mendelsohn defines affluent consumers as those who make $100,000 and up. And while the survey size for the firm's annual Affluent Survey has grown from 1,463 to over 14,000, some things don't change: now as then, TV is the top medium for reaching the well-to-do, although the media picture, like the width of a flat-screen TV, has gotten a lot broader. Bob Shullman, president of Ipsos Mendelsohn, says that while billboards, mail, TV, magazines, and radio are still the strongest channels in terms of reach and influence, the influence of digital media is growing rapidly. "Print remains highly relevant, and readership for the 147 magazines we track has remained stable, while accessing print by digital means is growing," he said. According to the firm, in 2010, 5% of affluent households owned an e-reader. This year, 14% own one. Last year, 33% owned a smartphone versus 43% this year. This year, affluent consumers spent, on average, 30.3 hours on the Internet versus 25.3 hours last year. Also rising is affluents' use of social media. According to the study, 57% of affluent households visited Facebook in the past 30 days versus 50% last year. Ipsos Mendelson noted similar increases for YouTube, Amazon, Netflix and Pandora. The company has also boosted its estimate of the sheer numbers of affluent Americans, from 44.1 million to 58.5 million by reconfiguring its definition basis from "heads of households" to "affluent adults," which includes anyone in an affluent household over 18 years of age, whether parent or child. It's not just an exercise in statistics because the stakes are high. While the 24.5 million or so affluent households are only 21% of total U.S. households, they represent 60% of all U.S. household income. They hold 70% of U.S. net worth, are twice as likely to purchase goods and services in the over 150 categories Ipsos Mendelsohn tracks, and they spend 3.2 times more than the average in those categories, per the firm. Steve Kraus, chief research and insights officer at the firm, who sliced and diced the data into affluent segments, points out that within the affluent market, the very wealthy control most of the capital. While those households making $250,000 or more per year are 11% of affluent households, they constitute 33% of affluent income. Households making $2 million or more are 10% of affluent households but 46% of affluent net worth. Kraus showed that the differences between affluent Millennials who are 18 to 29 years of age and affluent Gen Xers 30 to 44 are profound. For example, while 80% of affluent Millennials are unmarried and only 20% of them have children under 18, 70% of Gen X affluent households include kids under 18 and only 15% of affluent Gen Xers are unmarried. "Gen Xers face much different life-stage challenges," says Kraus. "We went through the data and found that they score higher on things like watching movies together. They are more likely to agree that their job is not just a job but a career. They are more interested in wines; they see value in spending more on gourmet food." Boomers are, of course, the sandwich generation: one-third has a child under 18, a third have an over-18 kid, and many more are taking care of elderly parents. "This contributes to a 'home as castle' mentality," says Kraus. Per the study, they are more likely to read shelter publications, they are more likely to be interested in remodeling, and 66% say they feel the pinch of the economy. They are more likely to be "do it yourselfers," more likely to say the kitchen is the center of the living space, and more likely to say they are trying to simplify their lives. Affluent consumers 65 years of age or older are also the wealthiest, with a $1.6 million dollar net worth on average. A quarter of them owns a luxury car, and 16% are in a country club, twice the percentage of Boomers. Seventy-three percent of affluent seniors wear a wristwatch, while only 30% of Millennials wear one. "They are also most likely to have a 'buy America' mentality," says Kraus. "And they are most likely to have indulgences, keep up with financial news, and they tend to get the top-of-line luxury vehicle with the most luxury options." (Source: Marketing Daily, 09/13/11) |
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Brown Liquors Get Shot of Flavor as Distillers Look to Broaden Audience Born in Kentucky and first sold in 1795, Jim Beam has survived wars, depressions and plagues and, guided by seven generations of Beams, risen to the top of the bourbon sales charts. Along the way, the formula has remained pretty much the same -- a decades-old strain of yeast mixed with a mash of corn, rye and barley malt. So when the brand decided to come out with a new version called Red Stag in 2009 by adding a touch of black cherry flavoring, it was a pretty damn big deal. "There were a significant number of naysayers out there who were worried about what this was going to do for the broader category," said Rob Mason, director of U.S. bourbons for parent company Beam Global Spirits & Wine. But "the reality is, Red Stag as a launch has really opened up the category." Indeed it has. Brown spirits brands across the spectrum are coming out with flavored versions, following the longer-term success of flavored vodkas, and opening up the category to new drinkers such as women and millennials who like a little sweetness in their shot. Newer offerings include Evan Williams Cherry Reserve Kentucky Liqueur, Jack Daniel's Tennessee Honey, 7 Crown Dark Honey and 7 Crown Stone Cherry. And in October, Jack Daniels maker Brown Forman is hoping that there's as much appetite for spicy as sweet with the debut of Southern Comfort Fiery Pepper, co-branded with Tabasco, which follows the launch of Southern Comfort Lime last summer. In Brown Forman's case, the test kitchen was bars, where the company noticed drinkers ordering shots of "Cajun thunder," -- regular SoCo with drops of Tabasco. SoCo isn't technically a whiskey, but rather a fruity and spicy whiskey liqueur invented in the late 1800s in New Orleans by bartender Martin Wilkes Heron, who "wanted to make brown spirits taste better -- and literally that is what we are continuing today," said Mark Bacon, senior VP-managing director for the brand. While growing, the flavored varieties still only make up 4% of the total bourbon/straight whiskey category, according to Nielsen (Nielsen counts SoCo in this category). By contrast, flavored vodkas command some 20% of the vodka market. But companies see big growth potential in flavored brown spirits, which have helped grow the overall bourbon/straight whiskey category by 6.5% in the past year, according to Nielsen. New offerings are "accompanied by significant advertising which has created a lot of buzz and clearer positioning to the consumer and retailer," Danny Brager, Nielsen VP-group client director for beverage/alcohol, said in an email. Millennials "are really open to trying things that are softer in flavor, a little more palatable," said Yvonne Briese, VP-whisky, Diageo North America, which launched 7 Crown Dark Honey in the fall of 2009 and 7 Crown Stone Cherry earlier this year. Also, younger drinkers tend to socialize in mixed-gender occasions, so "they are looking for something they can all drink together," she added. But marketers are still treading lightly, careful not to turn off core whiskey drinkers as they woo new fans. For example, while the newer varieties appeal to women, most ads target men, who are still seen as the gateway. "In the world of spirits, if you're marketing to men it doesn't turn off or alienate women," Mr. Mason said. But if you're marketing is "a bit more female-oriented, men begin to think that it's not something that they want to drink." And that explains why 7 Crown has partnered with Playboy to push its flavored varieties, including hosting parties featuring a couple of Playmates. Meantime, one of the taglines for Southern Comfort Fiery Pepper, is "Sometimes a burning sensation is good news." Although it sounds like an STD reference, Mr. Bacon, the brand's senior VP-managing director, said the message was broader: "Experiencing something that is a little uncomfortable can also come with pleasure." (Source: Advertising Age, 09/12/11) |
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