CHRISTMAS AND Q4 OPPORTUNITIES IN OOH
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1 CHRISTMAS AND Q4 OPPORTUNITIES IN OOH MAY 2016
2 KEY EVENTS IN Q4 Ryder Cup 30th September 2nd October Golden Week 1st 7th October World Food Day 16th October Diwali 30th October Halloween 31st October Bonfire Night 5th November US Election November Fantastic Beasts And Where To Find Them 13th November 8th Star Wars December 16th
3 CHRISTMAS EVENTS CALENDAR Winter Wonderland November - January Pantomime Season November - January Cyber Monday 28th November Christmas Party Season First half of December Last Shopping Weekend 17th 18th December Boxing Day Sales Monday 26th Dec Black Friday 25th November Travel Getaway 18th December 16th New Years Eve Saturday 31st December
4 CHRISTMAS RETAIL OVERVIEW 2015 UK Christmas market worth 76bn 75% of all Christmas shopping is still done OOH Value of online retail during Christmas in 2015 was 19bn Mobile shopping during Christmas made up 1/3 of online retail spend Total spending per household averaging 795 Spending on gifts is the biggest item representing nearly 60% of total spend Shoppers tend to be in a more relaxed mind-set Spending on average 2 hours shopping per trip With the average UK consumer spending 8 hours in total researching and buying Christmas presents the majority is still on the high street/malls Source: Centre for Retail Research 76bn 2015 Xmas market value 75% of all Christmas shopping done OOH +2.3% 2015 Xmas sales increase 1/3 Online retail spend was mobile
5 WHEN PEOPLE START CHRISTMAS SHOPPING 40% 35% 30% 25% 20% 15% 10% 76% of Xmas shopping occurs pre December 87% of Women do their shopping pre December 35% of men leave their shopping until December 5% 0% Jan / Feb Mar / Apr May / Jun July / Aug Sep / Oct Nov Dec 1st half Dec 2nd half Source: TGI 2015
6 GOLDEN WEEK KICK STARTS SPEND ON LUXURY GOODS 2016 Golden Week 1 st -7 th October Chinese shoppers have now become the top tax-free spenders in the London Luxury Quarter, accounting for 28% of all sales on Bond Street. According to VisitBritain, the average Chinese visitor to the UK spends nearly 2688, or four times more than the average. Selfridges reports that Chinese customers have increased their year-on-year spending by 65%. Harrods have revealed that its average Chinese customer spends approx. 3,500 per visit. They have also hired over 100 interpreters to account for demand. It is predicated that just three years from now, China will be spending a whopping 18 billion a year on luxury brands and that it will consume 44% of all the world s luxury goods. Source : Global Blue
7 BLACK FRIDAY AND CYBER MONDAY HAVE CAUSED TRADITIONAL DECEMBER SPEND TO BE PULLED FORWARD
8 2015 GIFTING GOOGLE TRENDS Key weeks for Googling Christmas gifts are: W/C 22 Nov (i483) W/C 29 Nov (i649) Week 49, 100 Week 48, 94 Week 50, W/C 06 Dec (i691) Week 47, W/C 13 Dec (i663) But with a strong interest starting a lot earlier, around the beginning of October Week 46, 66 Week 45, 58 Week 44, 45 Week 43, 30 0 Source: Google Trends
9 ONLINE RETAIL: A SHIFT TO MOBILE COMMERCE Online sales grew by 7.8% in December % of people used their tablet to buy gifts 20% of people used their smart phone to buy gifts Online Shopping Plans for Christmas 2015 Next year I plan to shop online: The same amount More I do not plan to shop online Less Don t know 5% 5% 10% 21% 59% 0% 10% 20% 30% 40% 50% 60% 70% Source: Mintel
10 OUTSMART S OUTPERFORM RESEARCH People take significant actions on their smartphones from their interaction with OOH
11 THE RISE OF CLICK AND COLLECT AND THE CONTINUED RELEVANCE OF THE HIGH STREET ENVIRONMENT 66% of UK consumers used the click and collect service over the 2015 Christmas period. The deals on offer in the Boxing Day sales proved popular as 10,000+ shoppers used the Click & Collect service for the first time on Tuesday 29 th December alone. 8 million people live within 300 metres of a CollectPlus store. Over 90% of the UK population in urban areas live within a mile. At John Lewis, click and collect overtook home delivery over Christmas as the preferred way of receiving goods purchased online At Argos approx. 80% of online sales were Click and Collect Source:Paypoint
12 OCT-NOV-DEC ALSO SHOW AN INCREASE IN RETAIL FOOTFALL & SALES Retail footfall during the Xmas gifting period (Oct-Nov-Dec) increased by an average of +8.3% compared to the previous 3 months Sales increased by an average of +9.2% with November showing the highest increase at +13% Source: Experian Retail Index
13 KEY PATHWAYS TO CHRISTMAS GIFTING Online Reinforced by key online shopping days: Black Friday Cyber Monday Manic Monday Online shifting to Mobile shopping Click & Collect becoming increasingly important Offline Still going strong! During the last 3 months of the year, retail footfall and brick & mortar sales increase Experience over convenience, as for many people, Christmas shopping is an essential part of the holidays
14 DATES ARE KEY TO PLANNING Overall advertising activity should ideally start as early as October, intensifying as we move closer to Christmas This is backed-up by Google Trends, online retail visits and retail footfall numbers, covering both online & offline shopping Key weeks include: W/C 22 Nov (i483) W/C 29 Nov (i649) W/C 06 Dec (i691) W/C 13 Dec (i663) Key online dates should be taken into account Black Friday 25 th Nov 2016 Cyber Monday 28 th Nov 2016 Manic Monday 5 th Dec 2016 (last wave of online discounts)
15 NOT FORGETTING IMPORTANCE OF POST-CHRISTMAS SALES Approximately 22 million shoppers spent 3.5billion during the sales period last year. 12% increase in footfall in the West End for Boxing day sales. Approx. 50% of shoppers are estimated to be tourists, with Chinese, Middle Eastern and US shoppers spending four or five times the amount of a UK shopper. Selfridges recorded the most profitable hour in its 100 year history. Harrods saw over one million customers to come through its doors during the four-week winter sale. Smaller shopping centres saw surge in footfall by 23.9 per cent. 1 in 4 have made a pact with family to buy Christmas presents in the sales Half of us visit the high street and malls for sales after Christmas (66% of 15-24s)
16 CHRISTMAS TRAVEL: A VERY MOBILE POPULATION We take three times as many taxi journeys in December, spending 420 million Half of the UK population travel to friends and families for Christmas, spending an estimated 2bn One of London Underground s busiest days of the year is the second Friday in December, as shopping and partying reaches a peak 20% of the adult population spend one night away from home over the festive period Peak getaway period is the last weekend before Christmas (16 th 18 th December) Source : Visit England, Inrix
17 SOCIALISING AND LEISURE The first two week of December are when the majority of corporate Christmas parties occur 15 th December to 1 st January is the busiest trading time in the year for bars and restaurants Alcohol consumption increases by 40% in December and sales on Christmas Day were up 3.7% year on year. Visits to pubs, bars and restaurants fell slightly in 2015 however spending increased. The drop was led by the release of Star Wars which was the UK s most successful film of all time. Fantastic Beasts and Star Wars Rogue One are predicted to be enormous blockbusters this Christmas.
18 THE FINAL COUNTDOWN Saturday 17th December will be the busiest retail day of the year Saturday 24th will be the last shopping day before Christmas day The last Amazon order date will likely be Monday 19th December
19 CASE STUDIES
20 BOOTS CONTEXTUAL XMAS ADS AND LOCATIONAL RELEVANCE INCREASED BRAND ASSOCIATION (WITH GIFTING) AND CONSIDERATION Contextual messaging increased Boots association with Christmas by +19% points (+39%) All respondents at post stage Boots has a wide range of Christmas gifts for all the Boots is a destination for high quality Christmas gifts Boots has Christmas gifts to suit all budgets Boots is one of the first stores I would consider for I am more likely to consider Boots for Christmas gifts OOH recogniser 70% 82% 68% 82% 63% 76% 45% 72% 38% 67% Proximity to stores and locational relevance helped with Xmas decisions showing a +27% points uplift by OOH recognizers (+66%) All F2F respondents I am less likely to forget about the I am more likely to see the offer Advertising near a store helps It helps to position Boots as a If I am tempted by the offer, it It helps you to consider Boots when F2F OOH recognisers* 39% 59% 41% 70% 42% 68% 43% 70% 39% 70% 43% 73% Source: Talon, Clear Channel, JCDecaux
21 AND, REAL EFFECTIVENESS From a total ad recall of a third behind John Lewis, Sainsbury and M&S to THE brand MOST associated with Christmas gifting among those exposed to OOH and leapfrogging John Lewis, Debenhams, Tesco and M&S. and delivered a campaign ROI of 11. Source: Boots, Mediacom
22 TASSIMO USED OOH + SOCIAL TO DRIVE GIFTING MESSAGE AND STAND OUT FROM COMPETITORS Tassimo, the first time they embarked on a big scale OOH campaign, managed to the be the most recalled brand in the hot drinks machine market with 1 out of 5 recalling seeing the advertising.
23 THE IMPORTANCE OF USING CONTEXT IN OOH +30% across action, sales, consideration, awareness and perception metrics +44% driving behavioural change (action metrics) +20% for perception and relevance shifts Source: Talon analysis of campaigns across various metrics including sales, call to action, brand perception, consideration and awareness, versus OOH. 20 key measures across campaigns , based on 100+ statements/questions
24 OPPORTUNITIES TO INNOVATE LED and bespoke lighting effects Sponsorship Opportunities Showcases or Snowcases Bespoke installations
25 UGG
26 CANON CAPTURE THE NIGHT
27 ESTEE LAUDER MODERN MUSE
28 SUMMARY There is a plethora of opportunities throughout Q4 People are starting their Christmas shopping earlier than ever Black Friday and Cyber Monday are pulling traditional December retail spend forward Still high levels of intensity around the Christmas period
29
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