• HSBC

First-of-a-kind research proves effectiveness of in-store advertising

  • United Arab Emirates: Thursday, February 01 - 2007 at 11:22
  • PRESS RELEASE

The UAE's first quantitative research into the effectiveness of in-store advertising - including shelf light-boxes, category banners, parking lampposts and What's On Signs - has revealed its powerful ability to catch the attention of consumers as they shop.

The study, conducted jointly by SMG MENA, Procter & Gamble, and in-store media supplier Hypermedia, also showed that Arab shoppers are more influenced by these advertising media than their Asian or Western counterparts and that these four media were present in all the retail outlets surveyed.

Philip Jabbour, SMG MENA Group Director - Marketing and Business Development, said that the study is particularly important given the growing share of marketing budgets being spent on in-store advertising.

"We recognize the need to connect with shoppers, not just consumers. A simple call to action will no longer suffice for today's savvy shoppers. Rather, we need to communicate brand messages, and there's no more powerful way of doing this than reaching them on the ground where they make their purchases," Jabbour said.

The research is just the latest for SMG MENA, which distinguishes itself by developing new ways of gathering consumer insights and devising innovative contact points, often in cooperation with its partners.

Eyad Zarea, Media Group Manager, P&G, said, "We developed the idea for this research in discussions with SMG because we believe in-store advertising is pivotal but there had not been any independent data or findings to back up our investment in it. Arab consumers are rapidly changing, and this increased sophistication is affecting their shopping habits. We need to identify the key measurable contact points to ensure successful communication."

The three partners chose the UAE for the first study because of the significant investment in in-store marketing and rapid evolution of supermarkets and hypermarkets in the country. In Saudi Arabia, volumes still derive from self-service outlets and groceries, although the trend there also is toward large retailers.

Commenting on the rise in shopper marketing, Habib Wehbe, Hypermedia Chief Executive Officer, said, "The feedback we have had from consumers as well as clients has been overwhelming in the last three years. Their support has enabled us to broaden our services on a vertical and horizontal level and offer our clients a truly unique advertising experience.

'Backing up our claims with in-store research only anchors our role as a key player in this industry, and being invited to take part in research conducted by a third party is instrumental in helping us sustain our position as one of the key players in the media industry."

The study is particularly revealing because it was based on a Wella Hair Colorant, a loyalty-oriented brand. The results likely would be even more striking for a commodity brand. Other findings revealed that consumers were exposed to each medium an average of three times during a store visit and that all four media generated strong awareness, especially shelf light-boxes, category banners and parking lampposts.

Commenting on the integrated research effort, Jabbour added, "We base our recommendations on trying to identify the best way to communicate a message to consumers; this can either be ambient, traditional, digital or other, so naturally we were fortunate that P&G took it on board and was willing to measure its effectiveness for future campaigns."
 
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Notes and Media Contacts »

About Starcom MediaVest Group MENA:
Starcom MediaVest Group MENA is the largest brand communications group in the region. SMG MENA encompasses a passionate and integrated network of specialists in media strategy and investment; consumer research; response media; sports and event marketing and digital communications.

A wholly owned subsidiary of Paris based Publicis Groupe, SMG MENA, present in eight offices spanning the Arab world from Dubai to Morocco, is backed by a global network of 110 offices in 67 countries. SMG MENA boasts a roster of many of the leading local and global companies, including but not limited to General Motors; Kraft; MasterFoods; Procter & Gamble and Saudi Telecom. SMG MENA develops its partner clients' communication solutions by providing the fuel that powers brand growth. This is achieved through a rigorous process of identifying consumer insights, delivering contact innovation and creating value for our partners.

SMG MENA has enjoyed double digit growth year on year since its launch in 2000. Among its recent wins in 2006 are Aer Lingus, Diageo, National Bonds, KAO Brands, & O2.

About Hypermedia:
Hypermedia is the only media company that offers exclusive in-store solutions in and around major hypermarkets and supermarkets in the United Arab Emirates as well as Lebanon along with a joint venture in Saudi Arabia. Launched in 1999 with trolley branding; Hypermedia quickly began its path of expansion by launching a bouquet of media within the region in September 2003.

As the sole media supplier for in-store hypermarket branding in these territories, Hypermedia has achieved not only monumental sales success since its inception but it has also introduced innovative in-store media application that allows its clients to reach its target consumers in masses. Hypermedia offers clients (Aujan, Johnson & Johnson, Du, P&G, MasterFoods, NTDE, Etisalat, Unilever, Visa amongst others) various opportunities to run in-store campaigns on national level and reach large number of their clutter-free target audience at 'point of purchase' by offering an array of media selections such as: Shelf Light Boxes, Category Banners, Trolley branding, What's On Signs Parking Visibility, Shopping Plastic Bags, Cash Counter Visibility, Giant Wall Units, Sampling and Promotional displays and Notice Boards.

In 2007, Hypermedia will be broadening their services to the Levant and North Africa. In addition Hypermedia will be also be introducing various in-store media concepts such as entrance branding, wall branding, floor stickers, security gates branding, window branding and other innovative advertising opportunities.

For further information, please contact:
Philip Jabbour
SMG Group Director - Marketing and New Business Development
Direct line: 3676401

Or for queries and information specifically related to Hypermedia, please contact:

Abdallah Safieddine
Hypermedia Country Manager
Telephone: 04 390 2293/94

Virginie Boyadjian
Hypermedia Sales Director
Telephone: 04 390 2293/94

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