Media Focus: Advertising market shows slight growth

In May 2014, advertising spending in the Swiss advertising market totaled 435 million Swiss francs (+7.3 million francs compared with the same month a year earlier). Overall, the advertising market is up 1.4 percent from the previous year.

Is there a connection between the announced market entry of Netflix and the 84 percent decline in TV offerings in the telco industry? No, there isn't, says the Media Focus Trend Report 2014/05. This trend has been apparent since the beginning of the year and manifested itself in a drop of 67 percent in the period from January to May 2014. The "missing" 16 advertising millions are unlikely to be made up again in the course of the current year due to the increased market saturation.

The Media Focus Advertising Market Trend Report 2014/05 (PDF)
 

To the point: for once praise

This week, the Swiss Media Association presented a «white paper» describing the delicate interplay between the media and the public. According to Association President Hanspeter Lebrument, it is intended to serve as a «media policy manifesto» for an «industry on the cusp of change.».

A disclaimer: Hanspeter Lebrument is also our publisher. But anyone who knows me and Hanspeter Lebrument knows that I am not writing these lines simply because of that. I think the idea is excellent, it should have been done a long time ago, but better late than never. If I didn't like the idea, I would say so.

The very fact that the publishers have come together to produce a joint book is remarkable. But it is also remarkable that the authors are broadly diversified. There are contributions from the publishing floor, the editors-in-chief, the association leadership, but also those from politics and science. The opinions are also diverse. Everything is represented, from small local papers to large national newspapers, and the political color of the authors could not be more different.

The book emerged from the journalism department headed by Norbert Neininger, the busy publisher and editor-in-chief of Schaffhauser Nachrichten. He was assisted by the head of the Media Institute, Fredy Greuter. Anyone who has ever done a book with so many authors knows what kind of work is behind such a work. You can find some short excerpts from an interview with Norbert Neininger in the print edition on page 38.

A new wind seems to be blowing in the association with the new director Verena Vonarburg. Whereas until now the association's media conferences have been held in - to put it mildly - less than inspiring settings, this time something has been thought out. The press conference took place in Christophe Guye's art gallery.

A worthy setting for a small selection of artworks from Press Art by business and media lawyer Peter Nobel. Nobel also provided these as illustrations for the book. It is hoped that the book will not only attract the attention of association members. Anyone involved in communications and media should read it. Especially those prophets of doom who predict the imminent end of the classic (print) media. This is all the more important at a time when players from outside the industry, such as Swisscom, want to get involved in the media sector in Switzerland and can afford to do so thanks to their well-filled coffers.

Pierre C. Meier, Editor in Chief
[email protected]
 

Switzerland and Premium?

The question mark behind this connection can be safely deleted. However, it probably creates more tension to question such an obvious connection.

At least that's my hope for the readers. So why is the topic of premium interesting here? It's not because we are greeted with a real premium price for the espresso at Zurich airport, but because Switzerland has a very special relationship with sophisticated film. This is what distinguishes Switzerland from most of its European neighbors, where the number of moviegoers who go to the cinema is much lower than here. This Brunner - a legendary figure in the scene of Swiss cinematography and the corresponding arthouse cinemas - once explained and justified this to me by referring to Switzerland's cultural diversity. He sees in Switzerland, which is characterized by four linguistic and cultural regions, the necessary sensitization for film topics outside the mainstream. This might also be a good explanation for why so many films in Switzerland are seen in the original version - i.e. not dubbed. Both are a cultural value that the Swiss - from their neighbor's point of view - can only envy. At the same time, the success of arthouse film is also its threat. In today's digital age, many more films are being shown in cinemas than in previous years, because the technical (and cost) barrier of 35mm film has fallen. Production costs and especially duplication costs are dramatically lower today. This does not always mean that the quality of all film stock is truly premium. On the other hand, cinema operators are increasingly investing in studio cinemas to attract more discerning customers. I am convinced that this important segment will develop positively with a broader and larger offering.

People with aspiration

These films and cinemas reach people who today can only be reached with great difficulty via other media channels, and certainly not with moving images. People who have special demands on their leisure activities, on their cultural environment, on their media consumption. A few selected print titles will get in there, TV only on special topics and occasions, online is more for information than entertainment. That's a tough nut to crack for brand communications. The list of premium brands that would like to land here is long. Our goal here is to build a functioning communication chain via premium cinemas and films. We are focusing in particular on the strong emotional bond that these discerning people have with the cinema and the film. This is an extremely conscious media consumption that takes place here, which is carefully planned and in which the content - today we would perhaps call it content - plays a special, central role. There is virtually no "by the way," no distractions, and no second screen. It is not very likely that the arthouse audience will reassure itself of its affiliation to digital social systems via Twitter or Facebook during the film; after all, it is experiencing this social context live.

From all the impact studies available to us, we know that the degree of content-related and, above all, emotional involvement in media consumption is decisive for the enforcement and impact of content - including advertising. That is Premium!

We must also admit that the demand of this audience is also directed to the content before the film. Banality, clumsiness, gimmicks are on lost ground there. But that doesn't mean that we have to compete with Hollywood-style production budgets. It does mean that a brand has to deal intensively with the view of this very large and important target group in Switzerland. But creativity, wit and ideas are not a question of budget. No one should come with that, counter-examples are easy to cite, better still to show. Even at the Festival of Creativity in Cannes, the Olympus of advertising, ideas and not budgets win.

That would be a great hope, that in this special segment of cinema we not only bring together special people and special films, but also touch and reach them with campaigns that are also premium in creative terms. And that without any question marks at all.

Florian Weischer, Managing Director WerbeWeischer
 

Dynamic reminder before the purchase decision

With 380 screens in drugstores and pharmacies, Excom Media offers the largest network in Switzerland for point-of-sale advertising in the healthcare and beauty sectors.

It's about extending value creation into the store. "POS is becoming increasingly important," know the sales practitioners in the store. And the strategists in the advertising agency also confirm: Classic mono campaigns are giving way to the cross-media value chain that incorporates POS as a strategically valuable interface between gross reach, direct targeting and sales promotion. Of course, this approach really comes into play with the ever more advanced possibilities of digital media. This structural shift in the advertising industry towards digital media is particularly evident in Excom Media's offering with its Healthcare & Beauty Channel. "Since 2008, we have been working with unbridled enthusiasm for our customers and our channel, and it is this commitment that has enabled us to become the largest digital screen network in the Swiss healthcare market in a short space of time," Erich Mazenauer, an Excom Media man from the very beginning, can proudly proclaim.

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Advertising without wastage. Between pharmacies with and without screen
an action difference of 37.8 percent was demonstrated.

Success is measurable

Whereas "volume" used to be the driver when building the network, Excom Media is now primarily concerned with the quality of the sites. The "largest digital health channel in Switzerland" now extends to almost 400 screen locations. The brightly lit large screens are positioned in high-frequency pharmacies and drugstores, ideally visible in the checkout waiting area, slightly above eye level. "The network reaches 2.2 million target customers per month. Whoever pays at the checkout counts as a contact. The net reach is thus qualitatively and quantitatively confirmed," says René Brodbeck, Key Account Manager Media. Advertising has long known that dynamically conveyed content reaches customers better than static content. If a product advertisement is also perceived on different channels, the credibility and purchase probability increases several times over. This was verified and confirmed by a field test of the company Bolton Swiss SA with its product Somatoline Cosmetics. With further tests, an increase in sales values of 25 percent could be determined on the customer side for products that were advertised on the screen.

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The core team of Excom Media: René Brodbeck, Key Account Manager Media, Tatjana Novosad, Head of Marketing and Communication, Peter Lüscher, Managing Director, Erich Mazenauer, Sales Manager Pharma, Member of the Executive Board.

Optimal synergy effect

"The multiplying effect of cross-media campaigns has been proven several times by studies in recent years. On average, brand awareness can be increased by around 20 percent if the recipient sees the advertising in more than one medium," knows Tatjana Novosad, Head of Marketing and Communications. An optimal synergy effect is achieved through recognition at the point of sale, where 70 percent of purchase decisions are made. "That's what makes a campaign effective in the first place and increases the likelihood of a purchase." Because: everyday stress and info overload are the killers of many advertising messages. What should be on the shopping list from the evening TV commercials is already faded the next morning when we are exposed to a thousand influences every day.

"Messages are forgotten, overwritten, confused," Peter Lüscher sums up. The Healthcare & Beauty Channel, on the other hand, has an effect where the success or failure of the campaign is finally decided: at the point of sale. "Targeted, with the same content , just before the purchase decision, set a dynamic reminder ", is the strategy at Excom Media. In contrast to conventional POS material, the screen has an additional advantage: "You can't put us away," says Mazenauer with a smile. The screens are controlled centrally via the Internet from Excom Media's office. The content is also produced and transmitted in House. The proven standard for achieving the highest recall values is 15-second spots with emotional imagery and striking key messages.

In house spot production

In consultation with the customer, a new spot - but this time without sound - is created from an existing TV spot, for example, according to the customer's wishes. Product illustrations, logos or images can also serve as templates, and existing advertisements for the Healthcare & Beauty Channel can also be effectively animated. As a service, which at the same time additionally arouses the interest of waiting customers, the spots are interspersed with short editorial content. Appreciated here are, for example, pollen reports as well as weather forecasts. Either way, however, Excom Media can be relied upon: Anyone who visits a drugstore or pharmacy will always have unanswered questions, even beyond the "package insert," and is therefore particularly receptive to answers from advertising.

Andreas Panzeri
 

Dialog between people and brand

Carole Ramuz and Andrej Isler run Brandsoul in Zurich, a creative agency that has won several awards for experiential communication and holistic branding.

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We live in a digital world. But the more virtual gaming options we have, the greater the desire for more real encounters in communication again. The "Event Climate Switzerland" study sees annual growth rates for event budgets of 10 percent, with a total market of CHF 1.23 billion. "A live activity can be processed more effectively in the communication mix. Brands are looking for independent indicators to emotionally bind their target audience," Carole Ramuz is convinced. She runs the Brandsoul agency in Zurich together with Andrej Isler. A company that has been dedicated to "emotion management" for almost twenty years. Brandsoul skilfully covers all areas of live communication such as events, trade fairs, exhibitions, conferences, employee and customer zones. In order to place the messages in a dramaturgically effective way, cross-media means such as social media, digital, film, PR and print are used, whether for campaigns or individual measures. Brandsoul's clients include SIX, Swatch, various banks and Swiss Life. For Swiss International Air Lines, the agency accompanied the launch of the new website. In addition to the conception and implementation of the media conferences, the main focus was on employee motivation. In experience zones, Swiss employees were familiarized with the relaunch of the brand.

Making content tangible

UBS commissioned Brandsoul to anchor a new leadership management system. This was to be emotionally understood and made comprehensible by the international senior management. To this end, Brandsoul invited the executives to build an entire city with 42,000 cardboard bricks in an empty hangar hall, analogous to the new leadership approach. The individual functions, interfaces and cultural backgrounds of the participants were integrated in a goal-oriented manner. In the evening, the specially built city was the scene of a "city festival". Andrej Isler is Head of Consulting and CD. He is thus "responsible for the content". The creative started with an education in advertising. In addition, Isler has important roots in the cultural scene. In the nineties, he founded the cultural-political association "Flying Fish". This launched, for example, the World Street Cultural Spectacle. "From the very first moment, it was about making content tangible and transporting it effectively." "Even then, I was enthusiastic about communicating through stories." So this communicative side and "storytelling" soon became event marketing. "The experienceability of communication" was the idea. The passion to "look at something in a completely different way" finally led him to found his own company in 1996: x-act. Live communication was still a relatively new tool for Switzerland at that time. People were mainly familiar with sports events, from Red Bull, for example. Sponsoring was also a topic here. Over time, "experiential communication" as an instrument in the communication mix has become more and more complex with the new possibilities.

Carole Ramuz also joined Andrej Isler's agency during this phase. The bilingual economist grew up in the French-speaking part of Switzerland. Her professional background is in organizational development. She completed an MAS degree in Business Excellence at the Lucerne University of Applied Sciences and Arts. For her work in the field of quality management, Ramuz has also acquired the EFQM Assessor. As an independent management consultant for a long time, she focused on the development of software landscapes, organizational development, processes, structures. Clients included UBS and Credit Suisse. Today, Carole Ramuz is responsible for management, she looks after marketing and takes care of HR issues as well as business development. The merging of different disciplines in communication also demanded a reorientation from event agencies. Therefore, Carole Ramuz and Andrej Isler decided to rebrand in 2012. After 15 successful years, x-act became Brandsoul. "We have evolved from a classic event marketing agency in the direction of a communications agency and wanted to emphasize this communicative claim more. " The new name is also intended to emphasize the strengths in the area of content development. "Brandsoul wants to show the soul of the brand." Brandsoul's core competencies today include "generating content and telling a brand story." Transporting the brand, breaking it down and "bringing it to life." Implementing and integrating a company's strategy. "In marketing we talk about touchpoints, we talk about communication spaces. We create spaces, real and digital.

The real encounter is a central element for us. This can also be an event. But our work only begins with such an event. Our task is to create an emotional bond," explains Andrej Isler. Brandsoul therefore also creates the accompanying communication measures and works out a strategy for the communication campaign. To this end, 14 people are employed at the company's offices in Zurich's Oberdorf. Among them are specialists from event management with the appropriate background, but also experts from branding, employees who have experience with intercultural communication. For the implementation, Brandsoul can count on its own department for design and creation. The growth of the event industry was very strong, especially in the nineties and noughties. In the meantime, the development is no longer as obvious as it was with social media, for example. But: "The digital component has boosted our business. People want to have a direct exchange," says Carole Ramuz. This understanding is only now really taking off. And she is convinced: "What you haven't experienced, you haven't understood. A vision or strategy on a piece of paper can convey little."

Commitment to the industry association

In order to be able to promote such professionalization of the industry, Carole Ramuz had herself elected president of the Expo Live Communication association this spring. "There are advantages to being actively in dialogue with the industry and being able to help shape something." The new president wants to implement "positioning the industry more strongly in the entire communication environment." Against growing competition, Brandsoul wants to set itself apart with content, creativity and a well-thought-out strategy. Logistics is not the main focus. "We develop the brand story and logistics and technology follow suit," Andrej Isler specifies. For its own development, Brandsoul sees "continuous growth," because "in a larger category, you also have more leeway to be able to use the resources you need." There are also concrete plans in the Zurich Oberdorf for increased expansion abroad.

Carole Ramuz and Andrej Isler are already very active with their second company, Momo Entertainment and Events. Here, events are realized at the highest level and international top acts are engaged, such as Anna Netrebko for a castle festival in Lyon. For such productions, Momo relies on collaboration with the best professionals, such as stage designers or choreographers, worldwide. The motto is "achieving the perfect, magical moment." Brandsoul has implemented over 1000 projects since its inception. Now they want to share this knowledge with others. On the last Thursday of every month, the agency opens its doors for an impulse workshop. "Anniversary as effective communication motive ", stands for example at the end of June on the program. The participation fee for this "Academy" is voluntary - and goes as a donation to 100 percent to the "Women in the World Foundation" for the education of women in disadvantaged regions worldwide, for which Carole Ramuz is particularly committed. Brandsoul's motto is "People first". With such and other activities, the slogan is ultimately made tangible.

Andreas Panzeri

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Multiscreen types: Deniers, Selective, Intuitive & Insatiable

When it comes to multiscreening, the question is no longer whether TV viewers use other screens at the same time while watching TV—numerous studies have already shown this—but rather which groups can be distinguished in terms of multiscreening.

In a recent study of 1029 German online users between the ages of 14 and 59, the media agency Initiative identified four types in this respect: Deniers, Selectives, Intuitives and Insatiables. The four groups differ in terms of motivation, intensity and type of use of their second screen. According to the study, 68% of online users use other devices such as a laptop, smartphone or tablet while watching TV. Although the majority (75%) spend less than half of their TV time in front of other screens at the same time, 25% of study participants state that they use other screens for more than half of their TV time. The most popular device is the laptop, used by 42% of online users (62% of device owners), followed by the smartphone with 36% (64%), the PC with 21% (37%) and the tablet with 13% (62%). In detail, the study now identifies three multiscreen user types as well as the group of deniers. The refuseniks are online users who are equipped with appropriate second-screen devices but deliberately avoid using TV in parallel. These consumers are generally between 40 and 59 years old and have a medium income. They generally use media less frequently and, when they do use media, want to concentrate on just one medium. 21% of those surveyed are among the refuseniks.

The insatiable, on the other hand, are the most active multiscreeners. However, at 8%, they also make up the smallest survey group. This segment consists primarily of men between the ages of 20 and 39, who are generally very media-savvy. Over half of these consumers (52%) state that they use another device at the same time for at least 40% of their TV viewing time. Many insatiable consumers (60%) even use two or more devices in parallel to the TV during a TV hour. The preferred second device is the smartphone. A closer look at the insatiable shows that many of their parallel activities are TV-related. Almost one in two of this group uses the second screen to find out about TV programs, and one in three also discusses and posts about them. In addition, around a third have already found out about offers from TV advertising or even bought advertised products on their second device. Intuitive users (33% of study participants) are also very active media users. This also applies to the parallel use of TV and other digital devices. 61% of this study group state that they use other screens for at least 30% of their TV time - primarily laptops and smartphones. For consumers in this group, the second screen is particularly relevant for scripted reality and casting formats, but also during commercial breaks. In terms of parallel activities, communication and information (36% each) are ahead of entertainment (28%). In contrast to the Insatiables, the Intuitives are more reserved when it comes to TV-related activities. In terms of demographics, the Intuitives tend to be younger (14-39 years), and women and men are represented in roughly equal numbers.

The largest segment is made up of selective users (37% of study participants). When watching TV, they concentrate on the TV program and only rarely use another device at the same time. Around half of this study group stated that they use a second screen at the same time for a maximum of 20 percent of their TV viewing time. The laptop is the preferred device for second screening. Selective viewers usually only use a second device when they are watching TV programs that are less relevant to them personally (e.g. when watching TV with children) or during commercial breaks. The second screen is then mainly used to communicate with friends or family. The majority of selective viewers are between 30 and 59 years old and have a medium to high income.

Clemens Koob

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The underdogs of the media world (II)

The media industry isn't just made up of CEOs, publishing executives, editors-in-chief, editors, and journalists. This article is about all the others. By Karl Lüönd, a freelance writer and author

It will probably never become a book, but it may become a small, against-the-grain series in Werbewoche: my overview of the underdogs and grottoes of the media world, those people who are indispensable but who are treated and paid less than they deserve. Older readers will remember the newspaper carriers who are still paid lousy wages by the state-owned postal service and for whom even the union has so far been unable to help them get a decent minimum wage.

Let's talk today about another shadowy plant that is rarely mentioned: the translator. There are quiet stars among them. I know one who sits in a cosy house on the shores of Lake Hallwil and translates everyday texts and non-fiction books - not just German-English; rather, he can switch between English, American and globalized English, he masters the business codes of many industries and doesn't have to ask back when the German text mentions "Landsgemeinde" or "Alpaufzug". Every author is in good hands with such a translator. He is paid decently, but not sensationally - because these are orders from the corporate publishing sector: around 3 francs per line, or around 90 francs for a manuscript page, including googling, research, queries and countless changes.

Literary translators can only dream of such approaches. I know someone who used to be culture editor at the Tagi newspaper with a great and incurable love for the Hispanic world and its literature. Almost thirty years ago, he decided to turn his passion into a profession. Since then, Peter Schwaar, as he is known, has been the top address for translations from Spanish in the German-speaking publishing world. He has translated around a dozen books by the great Eduardo Mendoza, including La cuidad de los prodigios ("The City of Miracles"), a grandiose and entertaining masterpiece, something like a sensual Barcelona version of James Joyce's Ulysses. This translation was Schwaar's breakthrough; since then, Spanish literary greats such as Carlos Ruiz Zafon, Tomas Eloy Mártinez and others have entrusted him with their works. Schwaar has translated over fifty books and has been awarded honorary prizes by the City of Zurich and the Spanish Embassy in Germany.

Schwaar lives in his linguistic world, in Gràcia, the most beautiful quarter of Barcelona, and translates with the discipline of an old soldier. His absolute musical ear for the melody created by the author using language and for the mood of the setting, his perfect command of the language, his meticulousness and unyielding attention to detail are currently rewarded by the big-name German-language literary publishers with 18 to 22 euros per manuscript page. Any cleaning lady would indignantly reject the resulting hourly wage. Some Romanians and Bulgarians, however, are fobbed off with 2 to 3 euros per page.

In recent years, translators have struggled to get a share of the box-office takings, i.e. a modest royalty depending on the number of copies and a share of the subsidiary rights revenue. Incidentally, translators are still treated like the mute servants at the entrances to stately homes, those carved Moors that serve as umbrella stands or hat racks: practical, indispensable perhaps, but at the end of the day not real housemates.

Translators are bridge builders between cultures, scouts in foreign worlds, travel guides in uncharted territory. Examples of appreciation for these cultural and media workers are rare. All the more remarkable is the Translators' House in Wernetshausen (Zurich Oberland), which has been offering translators from every conceivable language area affordable work opportunities and an ideal place to live since 2005 (www.looren.net). The house belonged to the publisher Albert Züst; his descendants have made it available for a good cultural purpose without stepping into the limelight. In the meantime, many works have been created here and ideas and contacts have been exchanged without the vain clamor of the media business. Thanks to this house and its users, for example, the great text "De Goalie bin ig" by Pedro Lenz has been translated into Glaswegian, the Scottish dialect of the city of Glasgow. Whether something like this is important is not important. What is important is that something like this is possible.
 

In Flagranti: House experts immediately on the spot

To further embed this unique selling point of Gebäudeversicherung Bern (GVB) in the minds of its target audiences, In Flagranti is launching a positioning campaign that playfully puts the home experts in the spotlight.

As a first step, the agency developed an advertising presence that provides proof that the GVB home experts spare no effort to be on the spot immediately, especially in the event of a claim. Benno the dog, who has already been involved in past campaigns as a sympathetic figure, is once again part of the action. With advertisements in hyperlocal media (community papers, gazettes and regional newspapers), GVB brings its local home experts right into the living rooms of the target group. Posters emphasize GVB's regional roots in the canton of Berne.

Responsible at the building insurance Bern: Stephanie Kriesel (management), Mirjam Wüthrich, Alexandra Siegrist.
 

Council of States wants mandatory radio and TV levy

In the future, every Swiss household and every Swiss company will be required to pay radio and TV license fees—regardless of whether they own a radio or a television. On Thursday, the Council of States rejected temporary exemptions.

The National Council would like to enable a temporary opt-out: Households that do not have radio and television reception should be exempt from the fee for five years after the introduction of the new fee system. This is out of the question for the Council of States. Without opposition, it followed its preliminary committee, which had clearly spoken out against an exemption. In the opinion of the Council of States, the disadvantages of the current system would remain in place with a fee obligation with exemptions, while the administrative and control costs would even increase.

Adapting the law to the spirit of the times

With the new fee system, the Federal Council wants to take account of the fact that radio and TV broadcasts can now be consumed via the Internet on computers, tablets or smartphones. A new fee system is necessary, said Federal Councillor Doris Leuthard. She criticized the excitement of some politicians in the Council who were outraged by the fees: "You all have a laptop financed by the federal government, you all have a smartphone, i.e. a reception device." An exemption from the obligation to pay fees could therefore no longer be justified.

After the National Council, the Council of States has now also followed this principle. In the overall vote, a corresponding amendment to the Radio and Television Act (RTVA) was approved by 25 votes to 11 with 5 abstentions. Hans Altherr's (FDP/AR) motion to refer the matter back, which was tabled at the beginning of the debate, was unsuccessful.

Lower Billag fees possible

In future, it will no longer be possible to watch television on the black market and checks by the Billag control authority will no longer be necessary. As the number of fee payers would be spread across more households and companies, the reception fee could be reduced from the current CHF 462 per household and year to around CHF 400, the Federal Council had calculated.

In terms of the individual provisions, the small chamber followed the majority of the first chamber's draft. In the course of the four-hour debate, however, the Council of States made a number of amendments, which is why the matter was returned to the National Council for a vote on the differences.

More money for regional programs

For example, the small chamber removed the fixed distribution of fee shares (36% radio and 64% television) introduced by the National Council from the law. It is of the opinion that a fixed allocation at legislative level would prove to be a hindrance in the dynamic media landscape.

In addition, the Council of States is demanding a wider range for the share of the levy for private broadcasters. By 28 votes to 14, it agreed with a minority of the Committee and set the proportion at 4 to 6% of the total revenue from the radio and television fee. The National Council had set the levy range at 4 to 5 percent.

"This is a small step towards promoting private offerings in the public service sector," said Filippo Lombardi (CVP/TI), member of the Council of States, who himself presides over a private radio station and a private television station in Ticino. According to Federal Councillor Leuthard, regional broadcasters would receive up to CHF 81 million per year with this solution. The current maximum is CHF 54 million.

Companies must also pay

The fee levy for companies was also a topic of discussion. Like the National Council, the Council of States ultimately clearly rejected exempting companies from the obligation to pay fees in future. This means that companies with an annual turnover of CHF 500,000 or more will have to pay a fee regardless of the device.

Around 70 percent of companies would thus be exempt from the levy. Today, companies that have a receiver pay. Pro-business members of the Council of States such as Hans Hess (FDP/OW) and Peter Föhn (SVP/SZ) tried in vain to remove what they saw as "illogical and unfair double taxation" from the law.

"We tradespeople have a problem with the plethora of additional charges and requirements," said Föhn. The Swiss Trade Association (sgv) is already considering a referendum against the mandatory fees for companies. However, the majority in the Council took the view that companies also benefit from the public service and that it is therefore justified for them to contribute to the costs.

Report on the public service

The Council of States has also spoken out in favor of an additional provision that would allow concessions to be extended without a public tender. This would take into account the previous fulfillment of the performance mandate. The surpluses from fee splitting should also be used for the training and further education of employees and to promote new broadcasting technologies and digital television production processes.

In connection with the law, the Council of States has also referred a postulate to the Federal Council. The latter must review the SRG's public service performance and present it in a report. In doing so, it should take into account the position and function of private broadcasters. (SDA)

 

Peer-to-peer: an overrated trend?

«Things That Matter»: Share them with others. This isn’t just how social media magazines like Likemag or Heftig work—the postal service also promotes friendship and referral marketing. And in the U.S., Starbucks relies on the «Secret Menu.» Is this a trend that points to the future, or is peer-to-peer marketing already overrated?

In America, Starbucks is so popular with young people that even 11-year-olds know what a "Rolo Frap" is. Because Starbucks has the "Secret Menu". With the help of the Starbuckssecretmenu.net website, children can choose their own trendy drinks, even if they are not yet on offer. All they have to do is download the corresponding recipe from the website and pass it on to the barista. The description of the new drink on the website indicates that the drink in question is "extra Facebook and Instagram worthy". So cotton candy Frappuccino is ordered and shared with friends on Instagram a few seconds later - this is how the new insider secret drinks are created. Or as Starbucks CEO Howard Schultz would say: "Our customers are driving change. This allows Starbucks to better adapt its offerings to different cultures around the world". The Starbucks "Secret Menu" also caught the attention of the former CEO of PIMCO, Mohamed A. El-Erian, a few weeks ago - so much so that he tweeted about the appeal of the "Secret Menu", with reference to his 11-year-old daughter. El-Erian is a senior economic advisor at Allianz and sits on President Obama's Global Development Council.

From banal to viral

But it's not just Starbucks that is countering the tenor of "Promote Teleclub to your friends" or "Share your trust in Helsana and recommend us to friends and acquaintances" with a clever peer-to-peer measure. More and more new P2P measures are springing up that avoid traditional friend mailings and instead allow fans and friends to share recommendations with each other. Refer a friend is no longer as banal as it seems when you look at Teleclub or Helsana. And it's not just Starbucks that is one step ahead with its "Secret Menu":

In Zurich, for example, a small restaurant has chosen the concept of peer-to-peer as a fully integrated measure: At "Dini Muetter", customers can "hand in a recipe from your mother" and then invite her to the corresponding "z Mittag" (lunch). Or leave her a greeting message from the living room. Even more original - but also more social than media - is the "Pumpipumpe" idea from the Bern-based "Meteor Collectif". The project consists of simple stickers with pictures of appliances. If you own a barbecue, for example, and are willing to lend it out from time to time, you simply stick a sticker with the corresponding picture on your letterbox. That way, your neighbor knows: "If you need a barbecue, you can ring my doorbell." All stickers can be ordered free of charge on the website. This is an as yet little-used trend towards friendly or neighborly advertising, even if this trend will most likely fizzle out again - after all, "No advertising please" signs are almost standard equipment for letterboxes. However, Swiss Post is also targeting friend advertising via letterboxes and has integrated P2P marketing directly into its services. Their service center is developing a special postcard that is not only sent from the client to their customers. This is because the customer can forward the postcard received as a recommendation card at no cost. The costs are charged to the client and the recommendation goes directly from customer to new customer. Switzerland Tourism, on the other hand, has placed the rock cleaning spot on social media. It was shared on Likemag, among others, and generated a few clicks there. Content is sometimes liked and shared more often on websites such as Likemag or Heftig than on conventional news websites. But what benefit do these clicks bring? Is peer-to-peer really a forward-looking method? And if so, to what extent is it worthwhile?

P2P - The piece of the puzzle at the edge

Peer-to-peer is actually an old method, says Andreas Freimüller, Managing Director of Kampaweb. "It generally involves people who are convinced of something and then spread it with a certain sense of mission." The idea of word-of-mouth has also been around for some time. The fact that people are social beings who interact - and that trust is central to this - is nothing new. However, this does not mean that user-generated content and P2P are not good methods, Freimüller adds. McDonald's, for example, has pursued one of the more successful user-generated content strategies in Europe: "Create your own burger, which is then also in the store", accompanied by posters. Of course, users are then very happy to actively spread their own creations and reach their peers. However, Andreas Freimüller is very cautious when it comes to defining P2P methods as a credible instrument. It is not just a question of whether P2P is a credible method, but above all of how to build trust in general before peer-to-peer can even be used as a method. Freimüller cites as a deterrent example of P2P the well-known financial advisors who call people from their circle of acquaintances unsolicited to sell advisory services. "In my case, I tend to avoid these acquaintances," he says with a laugh. You do catch a few nice people who can't say no with this method, but that's why it's not particularly popular. On the other hand, he likes to tell everyone about Apple, for example, because he thinks the product is good and it also looks good. This is why peer-to-peer in the fundraising process is a method that can only be used relatively late in the relationship building process - as one of many methods. However, this only happens when the relationship with the donor is no longer at the very beginning or the contact person has already reached a higher level on the ladder of engagement. The stages of this ladder include "initial contact, sign-up, participation in a campaign, e.g. a petition, then perhaps a first donation, followed by a physical event. Finally comes volunteering, possibly also working as a board member or even as an employee of an organization. According to Freimüller, both donation requests and peer-to-peer measures can only be applied at a relatively high level of leadership. "In my opinion, too little consideration and care is given to this," emphasizes Freimüller. This is because the potential donor must first know more about the organization and be able to build trust. It's the same with peer-to-peer: only when a person knows a relatively large amount and is familiar with the organization is there a latent sense of mission. And even then, this method is not a sure-fire success. Andreas Freimüller suspects that this probably also has something to do with the fact that people too often think in terms of the P2P method and not the story: the aim should be to be able to make a P2P offer at the moment when many people feel very concerned and want to help more than just with a donation. Once again, it is the story and the feelings associated with it that are decisive, not the technology. According to Freimüller, in order for a P2P method to be relevant in fundraising at all, a large number of pieces of the puzzle must already be in place. He explains: "Peer-to-peer is not an effective method in itself, but I can develop people towards peer-to-peer." P2P is something of an interesting special path. But in terms of weight, individual donations are far more important in a crisis, such as a tsunami. In fundraising, 90 percent is raised via individual donations and then perhaps 10-20 percent via P2P. This is because the donation itself takes the customer perhaps one or two minutes, while P2P takes much more time. And anything that is difficult or takes time reduces the conversion or completion of the process. Only when engagement is already high anyway does P2P have a higher success rate. "I therefore optimize the returns on a segment-specific basis," explains Freimüller. This can also be seen from the fact that many P2P campaigns are only moderately successful financially. The few examples in Switzerland that are known have a marginal response in terms of volume. For example, the tenants' association's "tenant swarm". "That was a great media story," says Freimüller, assessing this campaign, which almost certainly cost more than it brought in. In Switzerland, peer-to-peer is therefore more of a trial and error process, "the economic relevance is currently tending towards zero", Freimüller is convinced. He also sees the significance of P2P in America as rather small.

This is for the simple reason that address and donation acquisition via traditional advocacy and donation processes are much more important, says Freimüller, assessing the situation. P2P is more of a sideshow there too. "Assuming that the markets in America are five years more developed than ours and that P2P does not play a central role, it cannot be assumed that this method will become a central pillar of fundraising here," he predicts a modest future for P2P. Email, on the other hand, is much more important in online communication and online fundraising. "For us, the focus is still on e-mail and increasingly also on online donations, because the old donors are slowly disappearing and need to be replaced," explains Freimüller. The discussion of P2P distracts from what actually needs to be discussed; social media is of little relevance compared to email. The long-term development of high-quality address lists and their maintenance should be at the heart of an organization's efforts. The rapid loss in value of social media investments illustrates this well: organic reach on Facebook has fallen from 16% to 6% in just one year. The invested franc has therefore lost more than half of its value. Freimüller sees Digitec and Migros as the absolute leaders in e-commerce. Digitec was one of the first to set up a clean, easily accessible e-commerce process. They are now also the first to run really good user-generated content campaigns. Migros, for example, is leading the way with Migipedia. "And everyone else is now chasing after them a little," concludes Freimüller.

Relevant for customer loyalty

In terms of pure monetization, it is perhaps true that peer-to-peer does not generate much direct response, says Thomas Schrämli, Director Campaigns and Deputy Managing Director at Goldbach Interactive. "If you look at it from the sales-oriented function of advertising, peer-to-peer is not primarily a method I would use," he adds. However, to make the brand relevant in the area of customer loyalty, peer-to-peer is very important. "If the customer has already made a purchase or had contact in some other way, the brand takes on greater significance," explains Schrämli. This is where the added value lies and this is where peer-to-peer comes in. Not only do you get closer to the target group, you also have a very wide reach, as the vast majority of potential customers are now digitally accessible and interact with each other on social platforms. The real value of social media therefore lies in customer loyalty. This is because the brand has the opportunity to communicate personally with the customer without any barriers and to answer questions directly or to pass on its experience to existing customers by means of a recommendation. Even if digitalization is accompanied by the problem of a large number of channels, social media in particular can influence advertising recall and thus active participation in an ongoing campaign. However, peer-to-peer as a method only makes sense in interaction if other channels are also used and orchestrated at the same time. For example, a TV commercial can be adapted to the relevant channel and shared on social platforms via viral distribution, whereby interaction is then redirected to a campaign site and the messages are resolved accordingly, stimulating the involvement of the target group. However, it is essential to ensure that the message is adapted to the respective channel. "The message comes before the channel," emphasizes Schrämli. Although it is not possible to generate money directly in the social media sector, viral effects can trigger a very positive perception of a brand within a campaign. And today, their effect can also be recorded more quickly and centrally through appropriate monitoring, says Schrämli, explaining: "With many social media campaigns, we find that it is difficult to achieve a direct profit in the form of sales, but that it is certainly possible to promote sales and turnover in the long term through corresponding customer loyalty". Customers acquired through peer-to-peer also exhibit stronger customer loyalty from the very first brand contact. In this context, Schrämli mentions the Starbucks campaign with the Secret Menu mentioned at the beginning. He is convinced that such methods can work very well, as there is a corresponding added value for the target group. As long as these activities do not only take place on social media, but also in interaction with other channels. To summarize, he says: "Teasers and triggers work very well on social media, as a basis for reach, so to speak, in order to achieve the corresponding campaign goals of sales promotion together with traditional media." As an advertiser, you have to think carefully about how to use which channel, only then does it really have a benefit. It is either sales-oriented or an element to build up and expand your own branding. For customer loyalty, it is also more relevant that the potential reach of this form of advertising is enormous than the fear that the response rate might be too low. Schrämli is convinced that the extent to which peer-to-peer ultimately serves as a trigger for a purchase is of secondary importance: "What is more important is the correct use and appropriate evaluation of such measures. I would rather call it a mistake to ignore peer-to-peer out of uncertainty about this type of brand communication".

Ursina mason
 

Cannes becomes wider and wider

The Cannes Lions International Festival of Creativity is in full swing. And things are going very well for Switzerland. After winning seven Lions in 2013, the country has already secured six more as of this newspaper’s press time. And there are still a few categories to be decided. In the run-up to the event, *Werbewoche* spoke with Sibylle Widmer of Publicitas, the Swiss representative for Cannes.

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Sibylle Widmer, Manager Marketing Communication at Publicitas. The latter is the Swiss representative of the Lions in Cannes.

WW: Are you satisfied with the number of submissions from Switzerland?
Sibylle Widmer: Yes, we are satisfied. The number of submitted works and registered Swiss participants on site are in the same range as in previous years. Cannes Lions continues to have an important status in the Swiss market. Overall, the creative festival set a new record this year with 37,427 submissions.

And the delegation of the Swiss?
The number of submitted works and registered Swiss participants on site is in the same range as in previous years.

Is there a line of business in which there is a conspicuously high level of interest on the part of Swiss agencies?
The Swiss agencies submit mainly in the classic categories Print, Outdoor, Cyber, Promo & Activation and Direct. These categories have also won the most Swiss Lions to date.

You know the submissions: In which category do you expect Switzerland to have the best chances?
As the Swiss representative of the festival, we have no insight into the submitted works. We only know who submitted in which category. This does not allow us to draw any conclusions about the chances of winning. Last year, Swiss agencies took home 7 Lions. Among them was a gold one in the outdoor category. Of course, we hope that there will be many Lions for Switzerland this year as well.

How does the fan base present itself: Are many Swiss advertisers also expected to be in the audience in Cannes?
About 90 Swiss delegates will travel to Cannes and experience the festival live on site. We are very happy about that. Cannes Lions is a place of inspiration. The diverse program with top speakers from all over the world and the exchange with international advertisers enables the participants to take home a full rucksack of new ideas and contacts. After all, entertaining and creative advertising is important and enjoys a high level of acceptance among consumers. This is shown by the recently published study conducted by the MCM of the University of St. Gallen on behalf of Publicitas. (Details of the study http://www.publicitas.ch/de/unternehmen/news/ medienmitteilungen/news-single-view/article/ 2014/05/13/die-zeitung-gedruckt-und-im-webund- werbung-gehoeren-noch-immer- zusammen/)

In a creative's biography, it's a great honor to have once been a juror at Cannes. How do you get this job and how does the selection process work?
The festival organization assigns Switzerland the categories in which Swiss creatives and specialists can be nominated. Publicitas, as the Swiss representative, is responsible for nominating three candidates from the Swiss communications industry for each category. The decision as to who will ultimately serve as a juror in Cannes then rests solely with the festival management. The nomination of the Swiss jurors for Cannes takes place at the beginning of September of the previous year. Interested parties can apply all year round via our website www.canneslions.ch/jury. Currently, the nomination process for this year's Eurobest Festival in Helsinki is just starting, where we are allowed to nominate jurors in four categories. These are the categories "PR", "Media", "Film and Print and Film Craft" and "Direct Promo & Activation". Interested parties can find the conditions for participation at www.eurobest.ch under the menu item Jury.

How do you register your potential interest with Publicitas?
Interested jurors can find all details on our website www.canneslions.ch/jury or at www.eurobest.ch.

Cannes is getting wider and wider. This year, as a premiere, there are also two days of the preceding Lions Health Festival with 1423 entries from 49 countries. Is this expansion healthy?
The Lions Health Festival was launched at the request of the pharmaceutical industry and its agencies. It is rather difficult for this communication sector with its strict and many legal requirements to compete with other communication categories. Therefore, Lions Health was launched especially for this purpose, so that the submitted works can measure themselves in the environment of equal competitors. We are looking forward to the response from the audience.

How great is the demand from the Swiss for this new competition?
The demand exists. It would have been surprising if there had been no submissions from a country like Switzerland, with corporations like Roche and Novartis. But since this competition is taking place for the first time, it is difficult to make a conclusive statement about the level of demand already today.

Are there any other innovations in Cannes in your Publicitas offering this summer?
On site in Cannes this year, a Swiss Lunch will be held for the Swiss delegates. The lunches are designed for networking in a relaxed environment and will be hosted by our CEO Alain D. Bandle hosted. Swiss delegates have received a personal invitation and could register via www.canneslions.ch/swisslunch.

They go to the Côte d'Azur for more than a week. For many of those left behind, that sounds like a vacation. But what can you expect there besides sea and blue skies?
A lot of work, interesting conversations and a decidedly diverse festival program.

Nevertheless, is there a party you are particularly looking forward to?
Of course I'm looking forward to the Swiss Lunches, which Publicitas hosts daily at Carlton Beach, and the Swiss Party, which is hosted by Swissfilm Association and the Art Directors Club. In addition, the Finnish colleagues are organizing a beach sauna party, which I wouldn't want to miss.

In addition to the World Cup of Creatives, there is also the World Cup of Football this month. Have you taken any concrete measures for the matches of our national team for the homesick Swiss in Cannes?
There are various opportunities in Cannes to follow the games and cheer on the Swiss team.

In Cannes, the Epica Awards, among others, want to introduce a new concept with an even larger and worldwide competition: How do you assess the situation with more and more competing festivals?
The chaff separates from the wheat very quickly. Not all festivals can survive. Cannes Lions has been the festival for the creative communications industry for 61 years and has positioned itself very well - this is also shown by the new record of submissions this year and first-time participations from new countries. Every year there is a very diverse festival program with top speakers and very interesting insights. As a long-time Swiss representative, we are convinced that it is absolutely worthwhile to be at the festival.

Time and again, there are agencies that boast that they no longer submit their work, or that they submit it everywhere. Jung von Matt Germany only wants to participate in Cannes in even years. Nordpol has been doing without for a long time, Kempertrautmann in 2011, and Ruf Lanz did without at ADC this year. What do you think of ideas like that?
Submitting a paper (with the potential to win) requires quite a bit of resources. I can understand that agencies no longer submit every year. However, we would still like to encourage the creative industry in Switzerland to stay involved.

Publicitas gave all Swiss delegates a "survival kit". It contains useful items for everyday life in Cannes, such as sunscreen, an ABC with the best tips, and aspirin. What would have to be in a "survival kit" for the organizers of Cannes Lions in general and Publicitas as the representative for Switzerland in particular, so that the future of this cooperation will continue to "survive" successfully?
The enthusiasm of the creative industry, including the submission of work for the Lions Festival, is central to its survival, as is, of course, the willingness of the industry specialists to make themselves available each year for one of the few jury positions. As the Swiss representative, we make sure that the communications industry is heard by the festival management and, for example, are currently campaigning for Switzerland to once again have a juror in a top category such as film, print or outdoor. Without a Swiss representative, it would be difficult for the festival to nominate enough jurors from Switzerland each year, and through our collaboration with the Art Directors Club and our category sponsors Clear Channel, Dachcom.dialog and Swissfilm Association, we are now in a position to propose an excellent selection. In addition, we bring the winning works to Switzerland every year so that those at home can also participate, and present the winners with the lions at our traditional event in Zurich.

What are you most looking forward to for the coming days in Cannes? Or will it be the nights?
I am looking forward to inspiring presentations, creative works and to the exchange with other participants.

Interview by mail: Andreas Panzeri

In a nutshell

Since 2011, the "World Championship of Advertisers" in Cannes has no longer been called the "Advertising Festival," but the "Festival of Creativity. The extensions are correspondingly creative. In 2014, the Lions Health Festival will be held for the first time. In the other "supporting program," the CEOs of Coca-Cola, Pepsi-Cola, McDonald's, Microsoft, Google, Sony, Samsung, Heineken and Twitter will appear and talk shop about marketing. Other talks are scheduled with music producer legend Arthur Baker on art and commerce, director Spike Jonze on technology as a means of storytelling, Sarah Jessica Parker on "Fashion, Sex, Celebrity & Character," "Game of Thrones" screenwriter David Benioff on storytelling. Never before have there been more categories and more entries at Cannes. There are 400 categories and subcategories competing for lions. 37,500 works from 90 countries are in the running. The USA, Brazil, England and Germany are the winners. Agencies pay an average of $600 per submission - that brings the Cannes organizers, who also run other festivals, more than 34 million euros in revenue, plus the delegates' fees.

Werbekontor: Fair Trade Town launched in Switzerland

The international Fair Trade Town campaign is coming to Switzerland. Swiss towns and municipalities can now apply to become Fair Trade Towns. Werbekontor created the website and the interactive web platform.

Fair Trade Town is a campaign to promote fair trade. Cities and municipalities are recognized for their commitment to fair trade. The special thing about Fair Trade Town is that every individual can become active. The population, companies, institutions, stores, restaurants, hotels, media and politicians can make a contribution and together fulfill the criteria for the award.

The campaign was initiated by Swiss Fair Trade, the umbrella organization of fair trade organizations in Switzerland. Werbekontor has created a communication presence for Fair Trade Town that is based on the Swiss Fair Trade image but is still independent. In addition to letterheads, flyers in three languages, dispensers and roll-ups were also produced.

The heart of the campaign is the interactive web platform Fairtradetown.chon which every town and municipality in Switzerland has its own Fair Trade profile, which can be updated on an ongoing basis. A map of Switzerland shows which city/municipality is already a Fair Trade Town or is applying for the award. The aim of the campaign is to award around 55 Swiss towns and municipalities by 2018, thereby involving over 1 million people.

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Responsible at Swiss Fair Trade: Sonja Ribi, Managing Director of Swiss Fair Trade. Responsible at Werbekontor: Patricia Heyne, Tom Schaich, Stefan Senn, Brenda Bär, Kevin Eggli. Technical implementation: Kampaweb. Print: Steudler Press, Birkhäuser+GBC
 

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