A global research study has highlighted new insights around the launch marketing stategies for new products. The research was commissioned by launch marketing specialist agency Five by Five, interviewing more than 730 senior marketers across the US, UK and Australia.
Sales promotion ranked second among the most important channels, with more than half of marketers (55 per cent) citing it, with email campaigns coming in third (53 per cent). TV advertising only ranked sixth, also behind press and PR, suggesting that ‘traditional’ above the line ad campaigns are no longer holding sway when it comes to building awareness for new products and services.
According to this new study, one factor in the growth of social as the go-to channel for launches may be the faster timeframes facing marketers: eight out of ten (81 per cent) say that the average time between the idea first originating and launching the product has shrunk over the past five years. In addition, 70 per cent say they usually have only six months or less to prepare for a product launch.
It also found that around two-thirds (64 per cent) use social listening to support their new product development. This proportion is highest in the retail sector (72 per cent), second highest in the entertainment sector (68 per cent) and by far the lowest in financial services (51 per cent).
Furthermore, around half of marketers (46 per cent) believe the biggest benefit of social channels lies in generating awareness before the product actually launches.
Matt Lawton, managing director at Five by Five, commented, “Insights from each category indicate there’s a big focus placed on social media pre and post launch and that’s an exciting challenge because it requires communications plans to be flexible.”
The study also asked marketers how they feel launch marketing has changed over the past five years. In addition to the tighter timeframes involved, around two-thirds (63 per cent) now think launches cost more, although more than half (57 per cent) believe the process is less difficult than it used to be and a colossal 88 per cent believe they are now able to make better-informed decisions about their product launches.
Meanwhile, three-quarters of marketers (72 per cent) think the creative ideas around product launches have become braver over the past five years, rising to 97 per cent among marketers in the travel sector.
Also, nine out of ten (87 per cent) believe launch campaigns are now more measurable. This proportion is highest among the luxury goods (91 per cent), healthcare (91 per cent) and FMCG (90 per cent) sectors.
Larissa Rembisz, client director at Five by Five added, “Measurability brings insight and that’s both a blessing and a curse for marketers who feel that effectiveness comes at a higher cost and under greater time constraints. It’s great news for our industry that braver work is widely regarded as the solution.”
Unsurprisingly, eight out of ten (80 per cent) think launch marketing is completely different to other forms of marketing and requires specialist handling.
According to the findings, almost seven in ten firms (69 per cent) use soft launching or pilots to support new product or service development. Soft launching specifically is used by more than half (53 per cent) of marketers, rising to 63 per cent among technology brands and 60 per cent for FMCG businesses.
In addition, the three factors most likely to threaten the successful launch of a new product or service are a lack of launch budget (selected by 45 per cent of marketers), ineffective marketing communications (40 per cent) and slow processes (38 per cent). The proportion of senior marketers’ time spent on launch activity is generally variable but high, typically between 30 per cent and 80 per cent. As a consequence, many cite the need for additional resource around launch.
Lawton concluded, “Senior marketers find launches to be all consuming in both the planning and execution phases. The complexity involved requires close agency alignment and effective communication. There’s a lot on the line.”
To download Five by Five’s 2017 Launch Marketing Report, click here.
Please login with linkedin to commenttv advert
Leading independent media agency, Avenue C, is thrilled to announce the appointment of Paula Lopes as Digital Director. Paula, a seasoned professional with over 17 years experience in the media industry, joins Avenue C from her role as Chief Operations Manager of KINESSO (merger of Reprise, Matterkind, and Kinesso specialities).
oOh!media brought together more than 260 of its sales, operations, commercial, marketing, finance and leadership teams last week for its national annual revenue and growth conference. Held over two days at the picturesque Rydges Resort in Hunter Valley, the event ‘Fusing people and performance’ focussed on how to build a high-performance mindset and how it […]
Free TV has welcomed the federal government’s ongoing commitment to ensuring that all Australians can access their local free television services on connected TVs through the introduction of legislation to implement a prominence framework in coming days. Free TV CEO Bridget Fair (lead image) said: “Right now, Australian viewers are being steered in the direction […]
New-generation media agency 27 Degrees Media has been appointed to manage digital media for national tyre retailer Tyreright in one of its first Australian client signings. Lead Image: Loan Morris – 27 Degrees Media CEO Under the partnership, 27 Degrees Media will be responsible for all digital media strategy, planning and buying, along with influencer […]
Brisbane performance agency farsiight has announced the launch of its new market positioning, Growth for Good, in response to a changing business landscape, marking a departure from a “growth at all costs” mentality that has defined the industry in recent years. Agency founders and brother duo, Josh and Ben Somerville, envision Growth for Good as […]
Australia’s largest privately owned transit media supplier, GoTransit Media Group, now offers unprecedented options for transit advertising in Newcastle – on both land and sea following their successful tender to supply interior advertising inside the popular Stockton Ferries. The national transit media company is already well acquainted with the thriving NSW market, having successfully operated […]
Heritage and People’s Choice have launched People First Bank, the new name for positive change in banking Australia’s largest customer-owned bank has unveiled its new brand, announcing that Heritage and People’s Choice will be unified under the new name of People First Bank. Chairman Michael Cameron said the highly anticipated new brand offered a compelling […]
L’Oréal Groupe Australia and New Zealand have announced one of the largest investments to the Great Barrier Reef Foundation to pioneer new coral restoration efforts in the region. L’Oréal Groupe Australia and New Zealand have announced today a new partnership with the Great Barrier Reef Foundation (GBRF), to help coral reefs withstand the devastating impacts […]
Effective immediately, S4Capital’s operating brand Media.Monks, a digital-first marketing and advertising services company, has appointed Matthew Godfrey to lead its APAC Content practice. With over 15 years of experience leading innovative businesses in the Asia-Pacific region, Godfrey will support a best-in-class senior leadership team across the region as EVP, head of content, APAC. He joins […]