The Sauce – 31/07/2024

Welcome to ‘The Sauce’ – your weekly dollop of marketing news.

By Ashleigh Morris, our Content and Comms Lead.

Welcome to ‘The Sauce’ – your dollop of marketing news from the past week.

This week we share some good news on marketing budgets, discuss the unexpected U-turn from Google regarding cookies, and we take a look at Nike’s latest winning ad, launched to coincide with the Olympics.

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Marketing Budget Increase Reaches Decade High

Some good news to kick off this week’s edition!

Research has found that UK marketing budget increases are at the highest level we’ve seen in a decade!

The results come from the latest IPA Bellwether report which found the strongest increase in spend since Q1 2014. Increases were seen across all main categories, likely due to an improving economy and decreases in inflation.

Media budgets increased by 3.5%, while (unsurprisingly) events’ spend was up 17.2%.

So, what does this mean for marketers?

These results give us all a great opportunity to push for more in our own marketing budgets – whether that’s an investment in additional resource, a long overdue brand refresh, a new campaign or additional media spend.

If you need an extra incentive to persuade your bosses, the GfK Consumer Confidence Index for July indicates consumer confidence is at its highest level since September 2021.

We’re seeing evidence of these trends amongst our clients, particularly in the events’ space where people are seeing the benefit of getting out there and connecting directly with clients, customers and prospects. We’ve also seen clients willing to invest in rebrands and new campaign creative as consumer confidence grows.

We hope these insights will give you a strong case for increasing marketing spend when you kick off 2025 budget conversations soon! And if you need help, feel free to drop us a message!

We’re seeing evidence of these trends amongst our clients… businesses are more willing to invest in rebrands and new campaign creative as consumer confidence grows.

Unexpected Cookie U-Turn From Google

Did you join in the celebrations as Google renounced its cookie plans last week?!

Businesses and marketers rejoiced as Google announced it was culling its plans to block third-party cookies from its Chrome browser.

The initial phase out plan was announced four years ago and was tested on 1% of Chrome users globally earlier this year (check out The Sauce from January here to find out more), with the plan to fully eliminate third-party cookies later in the year.

Plenty of other browsers such as Firefox and Safari already offer users the option to block third-party cookies, but with Chrome being used by 63.56% of users* Google’s move was anticipated to have a huge impact on businesses.

So, what does the U-turn mean for marketers? Like us, you’ve probably been planning for the elimination of third-party cookies, so does the change of heart mean you can return to business as usual?

Sort of, but we wouldn’t recommend it!

With our clients we’ve been looking at how they could minimise the impact of the elimination of cookies by maximising the use of first-party data. While Google’s latest announcement negates the negative impact anticipated, many users still have concerns around privacy online, and are suffering from ad fatigue.

Recent research also indicates that 91% of shoppers see too many social media ads, 37% of consumers have blocked ads, and 35% have unfollowed a brand over the past year.

And with Google insisting it will pursue a new approach to give users an “informed choice”, it’s important for brands not to get complacent.

Google’s change of direction presents an opportunity for brands to continue using cookies but also to reconsider how they can incorporate other strategies into their digital marketing and protect themselves against the impact of any subsequent changes.

*Statista.com

It’s important for brands not to get complacent… Google’s change of direction presents an opportunity to continue using cookies but also to reconsider how you can incorporate other strategies.

Nike Celebrates Winning in Olympics Ad

Following the onslaught of Euros-themed ads from sports brands, it’s now time for the Olympics ads.

Up first is Nike, with a 90-second epic designed to inspire. The blockbuster video is entitled ‘Winning Isn’t for Everyone | ‘Am I a Bad Person?’ and focuses on the levels of obsession that elite athletes often have to resort to in order to win.

Narrated by Willem Dafoe, it stars a cast including LeBron James, Kobe Bryant, Serena Williams, Kylian Mbappé, Cristiano Ronaldo and more.

With a powerful narrative and a cinematic feel, the video ad is supported by impactful static OOH ads. But what makes it really stand out is its focus on emotion and storytelling over product.

While the brand’s iconic Swoosh logo is featured from early on, seen on many of the athletes’ sporting attire, it’s not the main focus of the ad. In fact, it’s practically ignored, with even the end frame showing simply the Swoosh logo, with no written or spoken reference to Nike.

Recognising that not many brands can get away with an ad this extreme, we are seeing many brands focus more on what they stand for and less on product.

In a saturated market where many brands sell similar products with similar benefits, brands are acknowledging that consumers buy into a brand’s values, emotions and how the brand makes us feel.

While it can be harder to track ROI in the short term, this approach is likely to build long-lasting relationships with customers and improve brand loyalty.

In our eyes, Nike is on to a winner.

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Contact us on hello@awesomesaucemarketing.co.uk to find out how we can support your business with a client-centred marketing approach – building trust and loyalty.

You can check out previous editions of ‘The Sauce’ here.

Brought to you by Awesomesauce Marketing – a full-service marketing agency serving UK and international clients.