UK advertising trends

The UK economy is growing, which helps the UK advertising business rebound. As of 2018's first quarter, advertisers increased investments in digital advertising by more than 10%, not a surprise. What was a surprise was the increase of 12.5% in spending on radio advertising by 12.5%, a very strong result for this medium.

Another surprise was the increase in national newspaper advertising. Newspaper advertising spend had been decreasing since the end of 2010--until now.

Digital is, of course, a major focus for many advertisers. Yet transparency and trust remain a concern. The UK Competition and Markets Authority recently warned several influencers that any sponsored/commissioned posts on social media must be clearly marked as such.

Because celebrities and social media stars have millions of followers, what they post can make a difference in brand recognition, awareness and preference. That's why, says the senior director of the CMA, consumers should be 'clearly told whether a celebrity is promoting a product because they have bought it themselves, or because they have been paid or thanked in some way by the brand'.

Meanwhile, the Advertising Standards Authority is looking closely at marketers targeting children. It recently told Cadbury, Chewits, Squashies, KFC and Kellogg's to stop targeting children with digital adverts for foods that contain large amounts of fat, sugar or salt. For more about how the ASA protects children and vulnerable audiences, and for examples of banned adverts, see its explanation here.

Unilever improves transparency in influencer marketing

Unilever, which markets such famous brands as Magnum, Omo, Luxe and Lifebuoy, wants more transparency in the world of influencer marketing (marketing mentions by celebrities and social-media stars who have many followers and who serve as opinion leaders).

When a major marketing power like Unilever takes a stand, the advertising and social media ecosystems take notice.

Unilever's chief marketing officer says the company's brands will neither buy followers nor have a marketing relationship with influencers who buy followers. The company is also prioritising relationships with digital platforms that promote transparency.

The background: Unilever respects and appreciates the close, organic connection between influencers and their followers. After all, that's why these influencers have an influence on consumers. So Unilever wants brand fans to know it will not be associated with those who buy followers to boost their numbers on social media.

This is the next step in Unilever's initiative to increase trust and integrity in influencer marketing whilst also reducing 'toxic content' online. Read more about Unilever's pledge to improve transparency here.

Marketing accountability and metrics

More than ever before, accountability counts. Marketers are using a variety of metrics (both quantitative and qualitative) to measure marketing and media results.

One of the key quantitative metrics is ROI. The Harvard Business Review defines marketing return on investment as:

(Incremental financial value derived from a marketing investment minus the cost of that marketing investment)

divided by

 The cost of that marketing investment

In this ROI definition, the marketer must not only know what marketing costs, it must be able to gauge the financial value gained as a result of making that investment--not so easy.

Often, a company has difficulty attributing a sales increase (financial value) that occurs because of a particular marketing investment (such as one specific promotional campaign). So many influences can affect marketing results, including competition, other marketing efforts, economic conditions, consumer buying behavior, retailer activities and more. In fact, marketing that used to produce a certain result may no longer induce that same result.

Online marketing can be measured in clicks, for example, but there are also quantitative metrics that can prove valuable to long-term financial success--such as the sentiment of social media comments (positive or negative?). This can be measured, but how does a marketer relate that to financial value? And what about ROI of investing in influencer marketing, meaning paying for popular YouTube or Twitter celebs to promote a brand or product.

B2B marketers have to be accountable too, able to measure social media and other marketing efforts. Nonprofits are thinking long-term, not just measuring immediate marketing results from fundraising programmes and other activities.

UK marketing trends for 2018

2018

What trends should UK marketers pay particular attention to in 2018? Here are what some experts say:

• Influencer marketing will be increasingly important. Whether a marketer wants to reach a highly targeted audience or reach a broader market, influencers (opinion leaders) on social media can demonstrate products, explain benefits or simply express their positive feelings about the brand. 
• Highly targeted content for specific segments. Content marketing tailored to each segment offers the benefit of relevant and timely information. With better audience analytics, marketers can therefore target content accordingly, when and where each audience is receptive.
• Stories are useful for engaging customers. Some brands are using cause-related marketing to tell their stories, reinforcing brand purpose and showing that profit isn't the only motive for marketing. 
• Trust in many brands must be strengthened. For transparency, be sure the brand promise is clear and specific and deliver on the promise by incorporating the brand's values through all aspects of marketing.

Beauty brands widen their social reach

In 2016, CoverGirl was the first beauty brand to sign a guy as its brand ambassador. James Charles is a social-media star with crowds following him on Instagram and YouTube. This is an opportunity to work with someone who influences a lot of consumers, enabling CoverGirl to extend its reach in a viral way.

Now other beauty brands are also widening their social reach by signing male brand ambassadors. Maybelline has signed Manny Gutierrez to promote makeup to his nearly 3 million social media followers. Rimmel London has signed YouTube and Instagram beauty guy Lewys Ball as its UK male brand ambassador.

Expect more deals with opinion leaders in the future as beauty brands react to changing consumer behaviour patterns and social-cultural factors. Social media can build brand awareness and send demand soaring, especially when influencers show how a product can be used creatively.