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Arvo Beer Campaign Analysis

This Prezi has been created for an AMB220 (advertising) assessment. It looks at the campaign for Arvo, Australia's first crowd-brewed beer, and discusses target audience, market/product position, and media/creative/ad strategies.

Ashton Rigg

on 9 June 2013

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Transcript of Arvo Beer Campaign Analysis

Three men walk into a bar...

"I'll have an Arvo," one man says .
"What's an Arvo?" his mate asks.
"It's MY beer," the first man replies.
"What do you mean it's YOUR beer?" another mate scoffs.
"I helped brew it," the man explains.
His mates think he's full of it, but after an ice-cold scooner
of Arvo they pat him on the back.
"Well, mate," his friend says, "You certainly know your beer!" An advertising analysis Arvo Beer Target Audience
Analysis Creative Strategy Media Strategy Campaign Background > Arvo proudly stands as Australia’s first “crowd-brewed” beer. This doesn’t mean thousands of beer-loving blokes had a hand in the fermentation process, but they did tell Casella Family Brewers what THEY think makes “the perfect beer”. > When wine company "Casella" wanted to add some excitement to their brand and expand their reach, they decided to venture into the beer market. Their aim was to create the first Australian-made-and-owned premium lager, designed and chosen by the public. > From February to May 2012, 3,000 Aussie beer drinkers used a smartphone app to record their beer drinking habits, tastes and preferences as part of the “perfect larger project”. From there, Casella began the brewing... Market/Product
Analysis Ad Strategy AMB220 - Ashton Rigg > In June, two bouncing bottles of joy were born: Arvo 34, stronger and more bitter in taste, and Arvo 51, fruitier and more thirst quenching. As proud parents, trying not to play favourites, Casella split their 6-packs to include 3 of each premium lager, so Aussie beer enthusiasts could decide for themselves. The Arvo advertising campaign was highly interactive, engaging and relevant to the target audience, using a variety of media channels to achieve a successful outcome. Let's have a look at how they did it... The Big Picture... Who is the Arvo drinker? "trendy" & "urban" Australian males
social media & technology savvy
aged 21-39 (*actual target 25-34)
office / white-collar workers (often creative)
likely tertiary educated
very social - loves a Friday afternoon beer! The data gained from the Perfect Lager Project not only showed Casella what brands of beer their audience were drinking, but also when they were drinking, where they were drinking and who they were drinking with.

These insights formed a comprehensive image of the target consumer psychology and allowed Casella to create a product that was relevant to their wants and needs. The younger demographic are not particularly brand loyal and are very open to new offers - 44% of 18-24 year old beer drinkers will try a new alcoholic drink if they hear of one (Roy Morgan, 2004). This younger demographic is easier to reach than older generations who are loyal to their favourite beer brands and have been for many years (Roy Morgan, 2004). A key insight is the fact that Australians are big on patriotism! 9 out of 10 Australians consciously look for Australian made products (AMAG, 2009) This is an emotionally charged decision Aussie brands are a dying breed. Only 5% of Australia's brewing market is locally owned! In the beer market, Arvo is not even on the radar yet... Primary Competitor: Australian Owned
Market Share: 3.7%
Revenue in '11/12: $177 million
Media Spend '11/12: $1.12 million
Main Channels: print (metro) & Out of Home Lion Nathan
(inc. Castlemain Perkins & Tooheys) Japanese Owned - Market Share: 48.6%
Revenue '10/11: $1,584 million (Kelly, 2012a ; Connell, 2012) British Owned - Market Share: 44.5%
Revenue '10/11: $2,274 million Fosters Group
(inc. Carlton United & Cascade) Big Game Players: Beer is a low involvement product As a new fish in a huge ocean of competitors, Arvo and Casella will need to keep a close eye on these sharks... "A branded community lets you go deeper with your customers to build brand advocates and gain valuable insight on your products and services" (AdNews, 2012) The decision to buy beer requires a high level of "feeling". The most effective advertising appeals are based on sensory pleasures and social motives [Foote, Cone & Belding Grid] Self
Actualisation Esteem Social Safety Physiological Maslow's Hierarchy of Needs "Beer is our social lubricant of choice and has been for centuries" "The aim of the interaction was to make the beer as relevant as possible and to get potential drinkers to take ownership of the beer and its creation"- Senior Brand Manager for Beer, Fiona Seath (Beer & Brewer, 2012) "It's about the product, the flavour - here is an Australian offering in the premium beer category, which I think is really lacking at the moment" - John Casella (Casella Wines) (Greenblat, 2012) Casella's target market (young Aussie blokes) has a growing taste for premium beer John Casella believed there was a lack of diversity in the beer market, creating an opening for a "genuine Australian-owned and family-run company" to create beer with a "different point of view". How is Arvo different from their competitors? > locally brewed with local ingredients – including their own malted barley and fermented yeast! (Beer & Brewer, 2012) Low Involvement + Feelings (Affective)
the "Self-Satisfaction Model" Consumers move through a "Do - Feel - Learn" process when engaging with the product, based on social wants and needs Ethically Speaking... Advertising beer comes with important regulations in addition to normal advertising protocols. Above all else, ads should promote responsible consumption of alcohol and be careful not to encourage underage drinking or appeal to under 18s. It gets trickier, with the Alcoholic Beverages Advertising Code stating ads "should not suggest that alcohol contributes to significant change in mood or environment" (in other words, they can’t say beer makes life more fun). In addition, the Dan Murphy's website lists 10 varieties of "premium Australian beer" (yikes) including Crown Lager, Little Creatures Pale Ale and James Boags (Dan Murphy's, 2012) (... in the Aussie beer industry) Evaluation is vital to increase the efficiency and cost-effectiveness of a campaign, and to ensure objectives are being met This can (and should) happen in the planning, implementation and post-campaign phases The Advertising Plan Where is Arvo now? Reasonably unknown, slowly making its way into the beer industry Where does Arvo want to be? Ideally, market leader for premium lagers & The #1 choice in target market's evoked set of brands How will Arvo get there? By engaging the audience in new, relevant ways - giving them control over the product and emphasising "ownership" Objectives! Achieving awareness is important for a new product - it is the first step in moving a prospect through to an active (and hopefully eventually loyal) consumer Above the line advertising, trade marketing, experiential and PR supported the initial digital push for Arvo (Mumbrella, 2012a) “The Perfect Lager Project was born from a pretty simple insight: the world of beer is dominated by cues of heritage and history" - Matt Robinson (AnalogFolk Managing Director) (Hamm, 2012) Radio, outdoor, sampling, online, Facebook ads, print, media events & cinema advertising all helped drive awareness of the campaign (Hamm, 2012). Almost 10% of Arvo’s annual target was pre-sold before official launch! As far as sales & ROI are concerned, that's a pretty solid effort (Hamm, 2012) Arvo's creative team (AnalogFolk + Pearman Media) were recently awarded 1st place in IAB Australia's Creative Showcase 7.1 -hooray! The judges praised the campaign for its success in "getting people involved" and "highlighting how digital creativity plays a role well beyond marketing" (Campaign Brief, 2012) They also received more than 50,000 organic views on YouTube and reached close to 10 million Australians through media coverage - AWARENESS ACHIEVED! (Arvo, 2012b). Other features of the campaign included a stylish website, an animated "viral" video explaining the project and encouraging people to download the app, a targeted "social media influencer" program and 50 personalised invitation videos inviting journalists to a staged event at Casella's brewery (Dowler, 2011) (Campaign Brief, 2012) "Part research project, part mobile game, part brewing brief" Since Arvo was new to the game, they didn't have a rich backstory to rely on. Instead, they positioned themselves through a "branding campaign" using a... UNIQUE SELLING PROPOSITION > Arvo is Australian owned, made from locally produced ingredients, designed by and voted for by the Australian public. Your move, Coopers! So there we have it. The story of boy meets app, app meets data analysis, data analysis meets brewmaster, brewmaster meets lager, lager meets boy. Phew. Use Trial Preference

Liking Knowledge

Awareness WINNER! Pyramid of Communications Effects Varied consumer tastes and growing, multinational companies mean brewers like Casella must remain agile and respond quickly to consumer demands, or risk losing ground in the market. (Harris, Hillwig, Naik, & Bhargava, 2008, p. 22) (Arvo, 2012a) The overriding message of Arvo's advertising campaign is "this is YOUR beer" - a beer designed for the Australian public, by the Australian public The Big Idea The Arvo campaign uses a string of emotional appeals, which work well for products that are not too different from others in the same category. The basis of these appeals are pride, excitement, involvement and affiliation Execution-wise... There is strong emphasis on animation and imagery, ideal for making the product seem fun and different to other beer advertisements who almost always use the standard, Aussie "bloke". > This also encourages the consumer to associate the brand with symbols and situations used in the campaign (e.g. BBQs, mates, red & black [strong, masculine colours] and exotic locations) Arvo's creative strategy is just that: CREATIVE! This campaign is the Old Spice Guy of the beer world. It is engaging, relevant, beautifully designed, interactive and something you would want to share with your friends... just like a pint of beer. Oh, you should probably see the ad, right? The heart of the campaign, The Perfect Lager Project app, is tapping into an important trend... Australian's have one of the highest smartphone usage rates - 52%! (Mumbrella, 2012b) Online/
Interactive Media Advantages Disadvantages User has control of information
High attention & involvement
Two-way communication
Flexible & relevant to target Costly to produce
Must be constantly monitored/updated
Limitations of technology platform Reach 75% of target audience twice a week for 3 months prior to release
Increase trial of product to 50% for 3 months after release date
Increase brand awareness to 80% of target audience during 6 month period
Promote "Australianism"/crowd-brewed USP through all communications for 6 months Arvo objectives might have been something like... web/app statistics (page views, shares, search engine ranking)
engagement levels (shares, social media mentions, page impressions, PR/media coverage)
incoming communications (phone calls, emails, inquiries)
qualitative data from target audience (focus groups, surveys, competitions) Evaluation Metrics (NSW Government, 2012) A warning for Arvo's future: Recommendations... Arvo is a shining example of an integrated, modern advertising campaign. As their brand grows, they might consider sponsorship of events such as music festivals to strengthen their bond with Australian culture. Arvo must offer the consumer an "experience" and keep their two-way dialogue with the consumer open to continue to develop their advertising communications (Connell, 2012) (Connell, 2012) (Belch, Belch, Kerr & Powell, 2012, p. 108) (Belch, Belch, Kerr & Powell, 2012, p. 108) (Connelly, 2011) (Belch, Belch, Kerr & Powell, 2012, p. 127) (ASB, 2009) (Belch, Belch, Kerr & Powell, 2012, p. 286) (Kelly, 2012b) (Belch, Belch, Kerr & Powell, 2012, p. 411) (Belch, Belch, Kerr & Powell, 2012, p. 293) (Belch, Belch, Kerr & Powell, 2012, p. 296) (Belch, Belch, Kerr & Powell, 2012, p. 343) (Roy Morgan, 2004) - How do we measure success? For now, no alternative strategies are needed. The campaign resonates with the audience and drives them to engage with Arvo on their own terms. Images: http://www.holytaco.com/manliest-drinks-all-time/ ; http://anonymous8.com/what-men-like/pure-romance-3-the-men/ Image: http://salutwines.com/?p=375 (Please note: all further images from Arvo website) Tutor - Bianca Carswell
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