This Week in Digital Advertising: September 11th, 2020

This Week in Digital Advertising: September 11th, 2020

Hello, Bidtellectuals!

Today is September 11th. We remember the men, women, firefighters, and rescue workers who lost their lives on this day in 2001. Tell someone how much you love them today.

Congratulations to Bidtellectual TEAM of the Week Kendra, Ashley, Kevin and Shannon! The client wrote an unprompted note praising the team for their personal attention to the campaigns along with withBidtellect’s platform technology. If this doesn’t make your heart glow…

Pharma’s COVID Recovery (And Then Some)

Health, healthcare, medicine: nothing like a global pandemic to revamp a vertical’s popularity. SO we dove into COVID-19’s impact on the health and pharma industry. While there was a brief dip in ad spend in March, by May medical and pharma ad spending was up 56% year over year. Trends to note: higher adoptions of telehealth, filling prescriptions from home, and a shift in spend to programmatic –especially video.

For this week’s Bidtellect Beat: Digital Edition, I spoke with Bidtellect Director of Sales Phil Marth on the unique challenges pharma marketers face, trends in the industry, and how native programmatic can deliver on the shift to more conscious, hopeful and helpful messaging. Give it a watch here.

PHARMA Marketing Challenges & Industry Changes Since COVID

 

 

 

Google States Obvious: Keyword Blocking of ‘Coronavirus’ Was Too Broad

Nice, Google. If you’ll recall, the industry made a major effort (see IAB) to call out the harm of such broad block brush strokes to news and publishers. Google’s marketing team conceded that it had been “too conservative” in including “coronavirus” on its list of blocked terms earlier this year, and pledged to spend $100 million in advertising to support news organizations this year. Feels a little late to me? Adweek interviewed VP of Marketing Joshua Spanier. Read it here.

eMarketer: CPG Crushing It

eMarketer’s latest report: Thanks to a boost in digital sales of essential goods and personal care products (purchased more frequently online during the pandemic) digital ad spending in the US consumer packaged goods (CPG) industry will increase 5.2% to $19.40 billion this year, making it the third-largest spender behind retail and financial services. Mobile spending will grow 11.4% and account for 73.2% of all CPGdigital ad spend – WOW. Competition with direct-to-consumer (D2C) brands, along with an uptick in ecommerce sales, has led to a higher focus on performance marketing. Hit us up.

Good News, Maybe: Pro Sports Are Coming Back

Tennis is underway at the U.S. Open sans fans. Serena Williams, Victoria Azarenka and Tsvetana Pironkova made history on Labor Day at the USTA Billie Jean KingNational Tennis Center by becoming the first trio of mothers to reach the quarter finals of the same Grand Slam. Go Moms! One of them will face 2018 U.S.Open winner Naomi Osaka who reached the nal with her win over Jennifer Brady yesterday. The N.F.L. opened its season Thursday night with a game between the Super Bowl champion Kansas City Chiefs and the Houston Texans.

Stay safe, friends,

Charlotte

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Charlotte Otremba is Sr. Manager of Communications and Marketing at Bidtellect.

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Beauty and the Coronavirus: eCommerce, ‘Affordable Luxury,’ & the Future

Beauty and the Coronavirus: eCommerce, ‘Affordable Luxury,’ & the Future

The global beauty industry generates $500 billion in sales a year and accounts for millions of jobs, directly and indirectly, according to McKinsey. For this largely brick-and-mortar industry, coronavirus certainly impacted sales, but the industry (and its customers) proved dynamic with its shift to ecommerce and booming skincare and “affordable luxury” products. For now and moving forward, expect a permanent shift to ecommerce or hybrid shopping models. Offer promotions and content to inspire shopping online. And, when in doubt, “Pour yourself a drink, put on some lipstick, and pull yourself together.”

Sales Are Still Expected to Grow in 2020

​Health and beauty sales will grow 6.9% to $556.30 billion (eMarketer)

China’s beauty industry rebound is a good indicator of what to expect in the U.S. in China, the industry’s February sales fell up to 80 percent compared with 2019. In March, the year-on-year decline was 20 percent-a rapid rebound under the circumstances, according to McKinsey.

A Return to Au Naturel? Makeup Sales Dropped, Skincare Grew

Sephora skincare outpaced makeup sales during the COVID-19 pandemic, according to Sephora CEO Jean-André Rougeot. “Our skin-care business grew versus a year ago during the COVID-19 crisis,” he said (WWD)

Some of the growth in skincare sales may be attributed to a kind of “panic buying” or hoarding mentality – like toilet paper. Junior Pence, CMO and creative director at PeaceOut Skincare, reported customers have shifted to buying in bulk: larger orders with more products and buying the “jumbo” sizes instead of regular. “It was what we’ve been calling the “toilet paper effect,” where people started hoarding skincare.” (eMarketer)

  • 64.5% of US internet users are more likely to digitally purchase cosmetics and personal care during the coronavirus pandemic (Redpoints via eMarketer)

  • Cosmetics and personal care products were the category US internet users were most likely to buy online during the pandemic, coming in above food and beverage and household products. (Redpoints via eMarketer)

  • In Europe, there was a boom in pampering and self-care beauty categories, including candles, aromatherapy, and detox products; sales of skin-, nail-, and hair-care products were up 300 percent, year on year (Zalando via McKinsey)

Affordable Luxury: The Importance of ‘Treating Yourself’

As lock down dragged on, consumers found new ways to brighten their mood and “treat” themselves to everyday luxuries, such as high-quality soaps, haircare, and even perfume. Consumers across the globe are showing by their actions that they still and comfort in the simple pleasures of a “self-care Sunday” or a swipe of lipstick before a Zoom meeting. New small business owners who have started their own cosmetics eCommerce business have gained a lot from this. What tends to make it more alluring for the customers could be the utilization of a white label payment gateway which lets people from across the globe buy their products! With this massive spike in self care, there has been an influx of new businesses who want to capitalize on this for their benefit. That means, more and more e-commerce websites are popping up to fill this area. It may be more important than ever to have an online presence strategy or develop a website for your business if you want to survive in today’s digital world. You don’t always have to spend thousands of dollars on hiring experts to build a website. Several resources are available online, such as this YouTube channel here, that can serve as a guide to create your own professional website and help you keep up with the trend of selling your products online.

With the tremendous increase in the sales of cosmetics online, Leonard Lauder famously noticed and coined the “lipstick index” phenomenon during the 2001 recession. Consumers tend to spend on small products that add a bit of glamour to increase confidence or offer a reminder of better times. The principle is that people see lipstick as an affordable luxury, and sales, therefore, tend to stay strong, even in times of duress (McKinsey). Because of this there needs to be a good level of management as well as secure payment processing software with a high risk merchant account just in case of a breach, as many businesses will come up out of the blue to sell products meaning that customer protection is essential.

Sephora saw sales of fragrance grow up to double digits over the last six months. According to WWD, growth is coming from brands such as Chanel, Dior, YSL, and JoMalone, which Sephora CEO Jean-André Rougeot attributed to the demise of the department stores. “Department stores are struggling mightily,” he said.

  • Sales of luxury hand soap in France were up 800 percent the week of March 16, 2020, as the country went into lockdown (NPD via McKinsey)

  • DIY hair coloring, nail care, and care in other beauty categories are finding new customers. In the United States, Nielsen reported rises in the sales of hair dye and hair clippers by 23 and 166 percent, respectively, in the first week of April 2020 versus a year ago (McKinsey)

Promotions are Key

According to research, promotions are proving successful in bringing in new customers and clearing inventory. Several prestige brands are offering discounts online of up to 40percent, competing with specialty beauty-product and department stores to capture promotion-oriented consumers, and promotions also help move unsold seasonal inventory, according to McKinsey.

Remember, people are still trying new brands: More than 77 percent of Americans trying new shopping behaviors during the crisis (up from 76% in late July), including new methods, brands, and places, with the intention of sticking with them in the long-term (McKinsey).

Expect a Permanent Shift to eCommerce

Prior to the pandemic, beauty was still one of the verticals that relied heavily on in-store shopping experiences. Even online-savvy American millennials and Gen Zers (those born between 1980 and 1996) made close to 60 percent of their purchases in stores, according to McKinsey. But brands and retailers that rose to the ecommerce challenge benefited mightily. Incorporating content to aid customers in the experience – think online quizzes or recommendations – help close the gap. Now is the time to reassure consumers that shopping online is a worthy substitute for in-store shopping.

Brands that rallied their eCommerce efforts should expect this to stick around in the near- and long-term and give a hybrid experience as stores slowly reopen. My eCommerce stores do not give importance to Google My Business optimization for their online business websites. However, GMB shouldn’t be ignored for the lack of store address, because it can benefit your local SEO and product searches highly. Direct-to-consumer e-commerce, such as brands’ websites, shoppable social-media platforms, and marketplaces will become more important, and customers will expect a cohesive multi-channel experience. Beauty-industry players will need to prioritize digital channels to capture and convert the attention of existing and new customers and reassure customers about hygiene efforts (McKinsey).

  • Some beauty-product brands and retailers are reporting e-commerce sales twice as high as their pre-COVID-19 levels, according to McKinsey. Sephora’s US online sales are reportedly up 30 percent versus 2019 (McKinsey).

  • New research by Mastercard shows U.S. ecommerce sales were up 92.7% in May 2020, with more than $53 billion spent via ecommerce channels between April and May-the height of the pandemic. For scale, that’s more spent online than that last12 Cyber Mondays combined (DigitalCommerce360).

  • A cohesive customer experience matters, or so consumers say. Last year, 72% of internet users worldwide said a disconnected experience would make them change service providers or brands (MuleSoft and Opinium Research via eMarketer).

The Takeaways

  1. Emphasize skincare
  2. Promote “affordable luxuries” like lipstick before Zoom or a new high-end soap or perfume.
  3. Offer promotions and discounts to grab customers: loyalty is swaying.
  4. Incorporate content to inspire and make shopping online easier and more alluring.
  5. Expect ecommerce to stick around, so blow out those digital budgets and efforts now.
  6. Scale – always scale.

COVID’s Impact on BEAUTY: 5 Tips for MARKETERS

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Charlotte Otremba is Sr. Manager of Communications and Marketing at Bidtellect.

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This Week in Digital Advertising: September 4th, 2020

This Week in Digital Advertising: September 4th, 2020

Hello, Bidtellectuals!

Congratulations to Bidtellectual of the Week Hui Liu – an absolute rock star. Can you believe it’s September already? We’ll keep this short since it’s a long weekend ahead!

Best Practices for Your Holiday Campaigns

Yes, we have more holiday content for you (!). Our Top 3 Holiday Best Practices for digital advertisers and Holiday Creatives Naughty and Nice List give you our top advice for maximum performance and return on your holiday campaign investment, including how to scale, which images to choose, and the device to focus on. This year will look a lot less like this and start a lot earlier. So get those campaigns (and sales) going.

5 Holiday Trends for Digital Advertisers 2020

How the Current Climate is Shaking Up the Fall Ad Marketplace

No traditional back-to-school season, ambiguity around the super bowl, earlier holiday shopping… Advertising (along with the world) is in flux, and it’s leading to real shake-ups at agencies. According to Digiday, it could be “doom and gloom” (I mean, U.S. TV advertising for back to school is down 70% so far this year compared to last year, according to Kantar) or it could lead to necessary changes, like accelerating creative messaging. Ads created six months ahead of time might not be relevant anymore. We discussed this very topic with Bidtellect SVP of Sales Terah Bocchi around brand safety and changes post-pandemic. Advertisers need to be ready to adjust messaging at a drop of a hat with how rapidly news and trends change.

A Conversation With Bidtellect SVP of Sales on Brand Safety, Virtual Sales, and Creative Pivots

eMarketer: US Ecommerce Sales Grew by Nearly a Third in Q2

eMarketer reported new data on US ecommerce sales; it’s both a good prediction for the holiday shopping season and, perhaps, a sigh of relief. We’ve said it before and we’ll say it again: ecommerce thrived during the pandemic. New sites popped up, some grew larger as time went on and tapped into the available resources like https://ecomitize.com/development/magento/ to build on their brand, there was a lot that happened online. Under stay-at-home orders, US consumers shopped heavily online: In Q2 2020, US retail ecommerce sales grew by almost a third (31.8%) from the previous quarter, or 44.5% year over year, per the USCensus Bureau of the Department of Commerce (DOC) (eMarketer). That’s $211.51billion in Q2 2020, up from $160.41 billion in Q1 2020. eMarketer estimates that ecommerce will make up 14.5% of US retail sales this year, up from 11.0% in 2019-the largest year-over-year increase since 2008. This is great for these businesses that have started online and have their customers fully in their minds to make impactful sales. Incorporating things like ecommerce logistics into the equation can also be seen as a beneficial addition as these sites will be able to distribute and track orders, helping their customers in the process.

Good News: It’s a long weekend.

Labor Day pays tribute to the contributions and achievements of American workers and is traditionally observed on the first Monday in September. It was created by the labor movement in the late 19th century and became a federal holiday in 1894. It often unofficially marks the “end of summer.” (But is this really the end of summer? What are seasons?) Enjoy!

Stay safe, friends,

Charlotte

Want more need-to-know info? Subscribe to our monthly Bidtellectual newsletter!


Charlotte Otremba is Sr. Manager of Communications and Marketing at Bidtellect.

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Holiday Creative Assets: The Naughty and Nice List

Holiday Creative Assets: The Naughty and Nice List

The holidays may look a little different this year, so all the more reason to ensure your holiday creative assets are top-performing. Digital advertisers: want to get on the nice list? See ya, bag of coal (or worse, sinking engagement)! Bidtellect’s [b]+studio shares best practices to make your holiday creative assets shine.

Headlines | The first (and best) way to catch a shopper’s eye.

Naughty:

  • Two-word headlines are so 2019. Phrases like “Holiday.Reimagined” or “The Best Running Shoes” don’t draw attention and earn trust. Remember, the headline of your Nativecreative should appear to look like an article.
  • Forgetting to Title Case Your Headlines

Nice:

  • Use Compelling and Educational headlines like “What EveryGirl Wants in Her Closet”.
  • Ask Questions “Did Someone Say ‘Epic 1-Day Holiday Sale?’”
  • Oer to educate or solve problems “How to Create the Most Wonderful Holiday Tablescapes”.
  • Listicles are still the way to go “3 Classic Casual Outfits, Fit for Everyone”.
  • Sense of urgency – especially with sales “Don’t Miss Pier 1’sOne Big Sale & Clearance” or “Spoiler Alert: Your New FavoriteShoe is Here!” or “An Event So Extraordinary, It Only HappensTwice a Year.”
  • Content/Thought Leadership: o􀃠er tips for the best gifts or creative ideas. “The Ultimate Gift Guide for Everyone on Your Nice List” or “How to Wear Adidas Like Your Favorite Celebs”
  • Witty puns with a holiday twist: “Deck the Halls with Boughs of Happy” or “Take a Step in a New Direction this Holiday SZN!”

Description | The copy under the headline – it gives a little extra information about what your product or content offers!

Naughty:

  • A description that’s shorter than the headline. Tsk tsk.

  • Content that doesn’t match what is provided on the landing page

Nice:

  • Make sure your call-to-action in the description matches your KPI. “Beat the heat and save on A/Cs and dehumidifiers from Walmart. Pick from portable air conditioners, window air conditioners, and more! Shop now.” or “These boots are made for anything. The Killington offers constant support with dynamic􀃖ex in every step. Get yours, shop now.”

  • Include a promotional code that is 20% off or higher in your holiday creative. Now more than ever, consumers need discounts. “Soft, flawless skin is truly the best gift. Today only, get 30% o your purchase, plus, get free gifts with purchase. Use code: TAKE30”

  • Offer to solve problems. Remember, most social gatherings will happen virtually – think about how your product will benefit the next Zoom or Facetime call.

Images | Your first and best visual cue – don’t slack here!

Naughty:

  • Text on images. Just don’t!

  • Cluttered images with no focal point

  • Dark images that don’t pop

  • Depressing imagery that makes the reader look away (hello remember it’s the holidays)

Nice:

  • Use people or animals (they are more relatable!) in your holiday creative assets. Think: lifestyle, authentic, and in the holiday spirit. Tug on those heartstrings with images that show emotion.

  • Children, pets, food, and people in images perform best

  • Add some spice with animation or a cinemagraph

Video | Work in video content!

Naughty:

  • Super long videos (yawn)

  • Videos that require sound to get the message across. Not everyone has can hear or have headphones in.

Nice:

  • Short and sweet with a clear message – conveyed with or without sound.

  • Pro Tip: Add subtitles.

Charlotte Otremba is Sr. Manager of Communications and Marketing at Bidtellect.

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Holiday Advertising 2020: Top 3 Best Practices for Digital Advertisers

Holiday Advertising 2020: Top 3 Best Practices for Digital Advertisers

If planning your holiday campaigns feels overwhelming – fear not. Arm yourself with these best practices. For ways to update your creative assets, read this. For top trends this year, click here. For down and dirty stats to copy & paste, click here.

The most reach is critical for holiday advertising. Now is the time to go big or go home. Set aside a large budget. If you are a small business and are trying to generate leads through platforms like Instagram, Facebook, or Tik Tok, then you may want to see how utilizing resources like buying followers and likes from websites such as Getviewed.net as well as others, can help with visibility ready for the advertising season, so people online can take notice and potentially check you out.

Run nationally-targeted campaigns utilizing all 3 ad formats (in-feed, recommendation widget, and in-ad) across all 3 devices (desktop, tablet, and mobile) to ensure we are able to find relevant users at any time on any device. If need be, you can also reach out to digital marketing experts (such as the ones at Ballantine Digital, for instance) and ask their professional help on how to run the campaigns on targeted platforms. You can take your brand to the global level through online ad campaigns, but if you might not be able to ship your products, it can lead you to lose those potential customers. For a small business, it could be difficult to take care of stocks, shipping, and payment processes. A dropshipping company can help you to deal with various problems like stock management, packaging and delivery of products and even with automated payments. This could be a great assistance in getting worldwide recognition for your business.

Get access to as many placements as possible. Bidtellect is partnered with more than 30 supply partners for the most expansive network in the ecosystem, which means access to 58 million distinctly targetable placements and 55 billion Native auctions daily.

Reach outside social: Social promises contextually-relevant native ads that match their environment. Bidtellect promises the same, but across the open web in premium native environments with the ability to avoid undesirable content. Reach more consumers, safely. Native advertising outside social networks and programmatic Native Advertising are the fastest-growing categories of Native (eMarketer). Social media is the least trusted media source (Edelman Trust Barometer).

Online shopping will be even more popular than years past: 2019 holiday online sales were already record-breaking, and ecommerce, strengthened and solidified during the covid-19 pandemic, will continue to dominate consumer shopping.

  • 71% of US adults said they planned to do more than half of their holiday shopping digitally this year (daVinci Payments via eMarketer).
  • 60% of consumers plan to shop less in-store this season due to fear ofCOVID-19 exposure (Radial survey via MarTech Series).
  • 44% of respondents plan to shop more online during this year’s BlackFriday, Cyber Monday and Christmas holidays compared to last year’s holiday season (Quibit study via eMarketer).

Higher mobile engagement this year: It should be obvious, but maybe it isn’t. Mobile usage and engagement continues to grow rapidly. Before setting up holiday advertising campaigns, check that the landing pages you will be directing traffic to are as mobile-friendly as possible, from easy scrolling to readability to ease of purchasing products.

Mobile shopping: the new way to online shop: Expect mobile usage to be higher than ever this holiday season. That includes shopping online and via apps, comparing prices, and even using click-and-collect options. Make sure checkouts, landing pages, and content are mobile-friendly, and adjust holiday advertising to mobile.

  • 37% of US adults said they were more interested in mobile app shopping than they were last year (Salesforce via eMarketer).
  • Mobile shoppers spent an average of $197 on mobile orders during the2019 holiday season, a 17% increase over 2018 (Button research via Digital Commerce 360).

Target and retarget: Since a consideration cycle is generally required to make a purchase – especially with so many choices and sales during Black Friday weekend – supplement a prospecting strategy with retargeting to drive prospects back to the site to purchase. If you would like, you could use offline marketing and prospecting strategies like cold calling and hire outsourcing cold calling companies to make your holiday campaign a little easier for you. From the perspective of the site, you could make it even easier for buyers to shop online and pick up in-store, too.

Holiday shopping (and sales) will start earlier: Start early, like really early. Shoppers plan to start their holiday shopping earlier this year, and big retailers have sales planned for October. Plus, consumers are less likely to shop in-store and are worried about packages arriving on time in the current climate. They are also more concerned with budgets than in years past. Start sales, holiday gift ideas, content, and retargeting as early as possible.

  • 39% of shoppers plan to start shopping for the holidays in October into early November, and 30% plan to start on Black Friday/Cyber Monday (Radial survey via MarTech Series).
  • 41% of shoppers say they don’t plan to shop any earlier for holiday gifts (Radial survey via MarTech Series).
  • Target will kick off holiday sales in October (Target via The WashingtonPost), while Amazon is considering moving its postponed Prime Day to October (CNBC via The Washington Post).
  • 47% of Americans say they may need to start saving earlier for Christmas presents (The Christmas Company).

Charlotte Otremba is Sr. Manager of Communications and Marketing at Bidtellect.

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