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New Developments in Marketing Trends 2010

Alison O’Hara

Chief Executive

Audiences North East

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Labour

• No pre-election document on arts policy• Focus has shifted from achievement of simplistic

targets eg social or ethnic makeup of audiences) towards a focus on artistic excellence

• Five hours of culture a week for school children• New scheme for British cities – capital of culture

for a year• Wednesday’s Guardian reported a flurry of

activity from the PM’s special adviser on arts and culture (Helen Scott-Lidgett) who held session previous Friday with arts figures

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Conservatives

• Reform the Lottery so as to benefit its original causes – claims it should yield another £40m per year for the arts and after the Olympics much bigger increases than that

• Big plans for philanthropy – organisations that take steps to build an endowment will be rewarded with longer-term funding agreements – 20 year project

• Keen to reduce administrative costs at ACE and DCMS

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Lib Dems

• Thinking outlined in ‘The Power of Creativity’• Pledge to retain current levels of funding• Aim to strengthen the arts’ role as a tool for ‘soft

diplomacy’ (with performances for visiting foreign dignitaries) and increase culture’s visibility at No. 10

• National organisations must get out of London more

• Want gift aid reformed• Local government is to be helped to use culture

as a regenerative force

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Impact of recession – private sector support and earned income

• 2008/09 compared to 2007/08:• Private investment in the arts

fell by almost £32m (approx 7%)

• Investment from business and from trusts and foundations 6% lower (c£6m each)

• Individual giving dropped by almost £20m (7%)

• Museums suffered worst with biggest % drop 37% and biggest financial loss £43.5m

Image: Carly Jane1

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• Decreasing levels of uncertainty within sector around anticipated levels of private sector support/earned revenue – more effective forecasting

• Many areas of private sector support continue to decline and pace has decline has increased within some cultural communities

• Significant majority see change in a much wider context

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And the future…

• Fundraising• Earned income • Café bar receipts • Space hire• Recourse - make

organisational savings which don’t impact on public activities and to forego capital programmes, seek additional statutory support

Image: Sean McGrath

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Threats for generating private sector fundraising income

Images: Denis Colette and Lakelandlocal

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Lipgloss effect

• ONS March 2010 latest look at shopping habits

• Still like indulge in small treats in recession but cheaper treats eg lipgloss rather than lipstick

• 1980s re-emergence in the shopping basket of goods to calculate inflation – fish fingers, garlic bread

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Social trends• National Centre for Social

Research January 2010• All age groups have become

more liberal in outlook towards same-sex relationships

• More acceptance of parents living together rather than being married

• Britain tolerant and liberal compared to other European countries with little stigma attached to couples who divorce or who remain childless

• However, apparent lack of sympathy towards helping the poor

12Image: Riffraff1

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Kids in parents’ pockets• ONS December 2009• Young adults mid-20s and early

30s especially men postponing transition to adulthood

• 1/3 adult-kids still living at home because can’t afford to rent/buy

• Others – kippers – staying through choice

• 25% of men aged 25-29 now live with their parents, 13% of women

• Among those who have left the family next shift towards living alone or sharing with others rather than partner

• Massive expansion of higher education, however collapse of youth labour market

• First time-buyers – five times average income compared to three times 20 years ago

• Average age for forming stable partnership and having children is rising among more affluent young adults

• Strong regional variations in pattern of offspring living with parents – highest in N Ireland, W Midlands, outer London and parts of NE

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Sandwich families

• Charity 4Children April 2009

• Survey of 2k adults• Demands of raising their

children and looking after elderly parents

• Supporting parents financially as well as helping them with everyday tasks

• Lloyds TSB Insurance study April 2009

• 7.6% increase in number of three generations living under the same roof in the last 3 years

• Younger generation is waiting longer to get on housing ladder

• Increasing life expectancy leading to more over 60s turning to their children for care and companionship

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Suri syndrome• Marketing November 2009• Research consultancy firm

Family Kids and Youth• Kids appear to be getting older

younger with teenage traits beginning to emerge at around age 10

• Many kids receive their first mobile phone for their 11th birthday – Carphone Warehouse reports surge in sales of mobile phones in the last couple of the summer holidays

• ‘Suri syndrome’ – adultification of kids

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Teens• Media savvy, continually connected

but flit between communications channels, latch onto trends but quickly move on

• While many 20-somethings are struggling with student debt and older adults have big financial commitments such as mortgages, families and pension commitments, evidence that recession has had scant impact on teenage spending habits

• Research by advertising agency JWT – adults go without luxuries rather then cut back on pocket money, frequently supplemented by part-time work, babysitting and selling stuff on e-bay

• Brands – need to be transparent, right message appropriate to age group

Image: Juice Festival

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Orange RockCorps

13k young people volunteer for community projects in their area in return for free tickets for exclusive gigs

Penguin BooksPenguin Books working with youth agency Livity created an online book community for UK teenagers – editorial control of the site is in the hands of a team of teenagers aged between 13 and 18. Working with journalists, authors, editors and web designers, the teen team produces a wide variety of multimedia content, including video and audio reviews, alternative book jackets and endings, soundtracks, author interviews, podcasts, blogs and short stories

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Image: Johnson Camerface

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Cybergens

• MTV commission in-depth study into the lives of the young and their relationship with brands – MTV Generation V.2 September 2009

• Behaviour, attitudes and aspirations of 16-25 year olds have been transformed since launch of Facebook in 2004 and YouTube in 2005

• Contemporary youth – cohort of self-creating mini-celebrities who are obsessed with their online image and in constant search of identity ‘Brand Me’

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Cybergens – key trends

• Hyper-fragmentation – young people can now tailor their environments on their own terms but are often left search for anchor communities to give them sense of belonging

• Open source society – cybergens feel they control their media – they no longer passively accept what is given – demanding open structures from organisations

• Rewired – live life through short cuts without seeing the entirety, culture of convenience

• Celebrity me – social networks are the toolkit and their users make sure they are seen as they wish to be seen

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Staycation

• ONE NorthEast• Holiday homes in the

NE best results for the last 5 years

• Region’s attractions also saw an increase in visitor numbers in 2009 with 70% recording growth in numbers

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Technological trends

• Nowism

• Mobility

• Transmedia

• Tracking and alerting

• Mass mingling

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Nowism

• Modern life is moving into the now – instant gratification fuelled by availability of online world

• Focus on experiences – living in the now instead of in the future

• Constantly updated stream of real-time information and virtual interaction

• Twitter, vlogs, breaking news and rapid, mobile response Image: H is for Home’s

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Mobility

• Your mobile will serve as entertainer, currency, friend-finder and informer

• iPhone – small share of market but huge influence

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Transmedia

• Interactive storytelling across film, comics and gaming

The Amanda Project

Story of Amanda Valentino, told through an interactive website and 8-book series for readers aged 13+. Readers are invited to take part in the story as they help the main characters search for Amanda

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Tracking and alerting

• Tracking and alerting is the new searching

• Saves consumers time

• Makes it impossible to miss out

• Gives them another level of control

The Crème Brulee man

San Francisco’s Crème Brulee Cart has attracted more than 10k Twitter followers who rely on his tweets to find out where he’ll be and what flavours are on the menuImage: Subspace

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Mass mingling• More people will be living large

parts of lives online• Yet these same people also

mingle, meet up and congregate with other people in offline world

• Social media and mobile communications are fuelling mass mingling and getting people out of their homes

• Obvious opportunity – anything that helps people get and stay in touch, that gets people from A-Z or that accommodates people before, during or after meeting up with others should rejoice in mass mingling make it easier for customers to meet up in any possible way Image: Star and Shadow

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Environmental effect

• Julie’s Bicycle• Organisation brings together

science and energy experts to create a low carbon future for the music and creative industries

• Report ‘Jam Packed’ based on data from 14 festivals in the UK and Ireland during summer 2008: audience travel results in 2/3 of the festival sector’s emissions and ¼ of all music audience travel emissions

• Need to encourage public transport

Image: DestinyUK

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Place

• Arts Professional January 2010

• Past five years growth in site-specific work

• One in seven shops is closed – landlords and local authorities co-operating with arts organisations to draw people into town

Traces & Graces, Whalton Manor Gardens

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Branding

• Kevin Roberts, CEO of Saatchi & Saatchi, The Marketer, February 2010

• How do you elevate a product of service above its peers and induce ‘unreasonable loyalty’?

• ‘Lovemarks’ go out of their way to build emotional connectivity through mystery sensuality and intimacy

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Creative service• Christian Perdrier, CEO of

Alnwick Castle and Gardens• Former Vice-President of

Disneyland Paris

• Excellent customer service provided through framework which enables staff to have the flexibility to anticipate and respond to customer expectations and needs

• Importance of standards – safety, courtesy (treat everyone as VIP), show (flawless and professional presentation every day from opening time right up until closing time), efficiency (using the most effective systems)

• Service quality standards – positioning, benchmark, guestology, points of interaction, storytelling, scripts, SQS manuals

• Thinking about what visitors do before and after visit

• Customer service is about interaction between two people