CMOverheard: CPG Ad Spending, What CEOs Should Say on Twitter and the Rise of Neuroscience
Here are a few of the most interesting things happening in the marketing world this week, courtesy of some of the top experts, thought leaders and CMOs in the industry.
By Stephen M ZorioWe're paying attention, so you don't have to. Here are a few of the most interesting things happening in the marketing world this week, courtesy of some of the top experts, thought leaders and CMOs in the industry.Digital Spending SoarsA new report by eMarketer forecasts digital media advertising spending by the CPG (consumer packaged goods) and consumer products industries will hit $4.2 billion this year and climb to just over $7 billion in the next four years.Because of the role of retailers in the CPG and consumer products world, the majority of that spend will be focused on branding. This year alone eMarketer forecasts, "US digital ad spending on branding will make up 65% of total budgets." That's keeping in line with a study earlier this year from Duke University’s Fuqua School of Business. It found that "brand building was among the categories for which CPG CMOs in the US said they expected to increase their marketing budgets," eMarketer reported.What CEOs Should Tweet AboutA CEO.com study in August of last year found that "68 percent of Fortune 500 CEOs have absolutely no presence on any of the major social networks." While many executives are (perhaps prudently) reluctant to dip a toe -- much less plunge -- into the social media pool, Twitter represents a truly valuable opportunity to those who know how to use it.To that end, rajan.com has compiled a list of 14 things worth Tweeting about from a CEO perspective. Those topics include earnings information, employee praise, Tweets from events, quotes and Q and A sessions. We've compiled some of the best examples in a Twitter slideshow below:
1 of 6Moving Beyond DataCMO.com highlights an emerging trend called "neuromarketing." As marketers seek more accurate methods by which to measure consumer preferences, a number of brands -- including CBS, Coca-Cola, Frito-Lay, Google, Hyundai, Microsoft, and PayPal -- have turned to neuroscience to gain additional insights.While the idea itself is not exactly new, the validity of the approach was given a boost back in 2002 when Ale Smidts, a professor of marketing research at the Rotterdam School of Management at Erasmus University, coined the term. "It was based on the idea that observation, typically using sensors and tracking devices, could provide valid insights into thinking, emotions, and behavior that would otherwise fly below the radar," reports CMO.com.
"Neuromarketing offers a more robust picture of how consumers engage with marketing and product materials. It provides insights that otherwise aren't available," said Michael E. Smith, director of industry relations for the Consumer Neuroscience Branch at Nielson told CMO.com.And the most important thing? It's working.
Frito-Lay discovered that shiny bags with pictures of chips elicited a negative response, while the same images on matte bags lead to a more positive view. In addition, images of healthful ingredients on a package did nothing to trigger behavior associated with buying. Consequently, the company introduced a new bag design with pictures of the chips frying.Worth Watching-- Submissions for the inaugural Loyalty 360 CX awards are open. The awards will recognize "leading customer experience strategies in North America."-- The leaked New York Times Innovation Report made major waves in media circles, but the insights contained in it are priceless information for CMOs too.-- VentureBeat shows how Airbnb used data to propel itself to a $10 billion valuation.-- Finally, the largest single ad seller in the world has offered a glimpse into where ads will live in the future -- and the short answer is everywhere.