It’s not often Australian and New Zealanders can teach the giant US market a thing or two but hear this one out: If you're one of those hard-nosed types who think all this marketing science and advertising effectiveness stuff is too rubbery – ESOV, mental availability, investing in brand to drive long-term demand over short-term sales – here’s some contrarian proof that might just change your mind. It’s a textbook case from a CMO who took a giant leap and deployed a whole suite of marketing's new and established thinking in one strategic gulp, rolling it out across a $7bn US healthcare brand and sweeping away pretty much everything that had gone before. It worked, massively. All growth KPIs for Douwe Bergsma, CMO of Georgia-based healthcare firm Piedmont, are busting upwards and the CEO handed him the biggest marketing budget in the company’s history to do it. Here’s how Bergsma, a former P&G marketer and current ANA board member, along with NZ-based brand and start-up strategist James Hurman, hatched a plan to do everything by the marketing science and effectiveness handbooks, sold it into the leadership team, brought every single one of its agencies into 20 marketing effectiveness briefings – and literally ended up with a runaway best seller. It’s the story of a Dutchman and a Kiwi taking Australian and UK marketing science to the US, and winning big.  

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Volvo Car Australia boss Stephen Connor has hit the accelerator on the carmaker’s plan to ditch combustion engines. He’s going all-in on electric vehicles (EVs) by 2026 – faster than any of its global markets. Volvo has deep sustainability commitments, pledging to become climate neutral across its supply chain by 2040. But Connor’s gone for first mover advantage for profit just as much as purpose, because by 2030 “every manufacturer in Australia will be standing on the mountain beating their chests about EVs”. By then, the market will be awash with technologically advanced electric cars. Hence Connor thinks brand will become the key differentiator – and he’s backing Marketing Director Julie Hutchinson to ensure Volvo builds a greater share of mind. "The race is already on," she says, with EV ad spend tripling last year.  But the sprint to all-electric cars means major change ahead for dealers and retail operations (Volvo is about to launch a direct-to-consumer play) while a rapid rollout of new electric models requires new business models – including subscriptions – to scoop a new cohort of younger buyers. Here’s the plan.  

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There’s been just a little happening inside the $8 billion Yahoo business globally - and in Australia. The digital content and advertising business announced last month it would reduce its total workforce by 20 per cent but global CEO Jim Lanzone told Axios recently the layoffs were not about financial challenges. Rather it was an important strategic change. No longer is Yahoo pushing a “unified tech stack” to compete with Google or Meta.

“We really had to take a hard look at the business and make the big decision to refocus and prioritise where we really succeed the most,” says John McNerney, Yahoo’s new Managing Director for Australia and Southeast Asia. “It was nothing to do with financial challenges or troubles in the advertising market but really instead about a strategic restructuring and refocus globally for long term success. We were trying to be the masters of everything, building a unified tech platform with DSPs and SSPs to compete against Google and Meta but we realised change was needed.”

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Ask any marketer with CX and martech in their remit to prove the return on those investments and it can get a little awkward. But CFOs are increasingly asking the same question. Here’s a full and frank download from a marketer doing exactly that: assessing ROI on its customer experience strategy - on and offline - after going all in on Salesforce, just before the pandemic hit. Rob Lopez, GM of CX, Brand and Innovation at Norths Collective – which operates eight venues and clubs and two fitness centres across Sydney – has embarked on "Project ROI" to quantify its contribution to profit. Lopez already knows the transformation is working: engagement rates are through the roof thanks to what he calls “ethical personalisation” and the firm is able to attribute comms output to member action, digitally at least. Now it is digitising memberships to better understand offline – or in-venue – activity. The kind of insights it is delivering to the likes of Lion has the drinks giant smacking its lips to get inside the new app. Meanwhile, smarter data and analytics capability means Norths is de-risking its next phase of growth – because it knows the dollar value existing members can bring to new venues “before we even open the door”. Lopez has five tips for marketers embarking – or rethinking – their digital transformation strategies. 

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Australia will escape a recession this year but not a downturn, per Sky News Business editor, Ross Greenwood. But the impact of rate rises means the average mortgage payer is now $20k out of pocket. If fewer people move home, fewer white goods and consumer electronics get bought – creating a negative cycle and something of a two-speed economy as the squeezed middle and lower income households cut back. But the third of Australians with no mortgage cash in the bank are still spending, and luxury is booming as a result. Meanwhile, Western Australia is as ever forging its own path and younger consumers still spending, creating a three-speed national economy. But Buy Now Pay Later buttons “are taking a hammering” in WA, warns The West Australian's Business Editor Sarah Jane Tasker. “That raises some concerns about when the pay later kicks in”.

Across the economy, the Federal Treasurer is talking up ‘values-based capitalism’, which will chime with brands putting purpose at their core. AFR economics editor John Kehoe thinks that trend is here to stay – though may be scuppered in the short-term should economic headwinds strengthen and cost hikes outweigh good intent. “But for the now, in the foreseeable future, people want governments and businesses involved in these sort of social and ESG causes.”

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The killer combination of Covid and voluntary administration decimated Virgin Australia’s marketing team to a handful but under its new private equity owners, Bain Capital, Virgin’s head of paid media, Ben Will, finally got to deploy a massively scaled and personalised programmatic ad campaign that he had been dreaming about for years – but it nearly cracked the Virgin team and its media and dynamic creative partners at PHD and Adylic in the process. It took months after launch to fine tune but they survived, ultimately lifted revenues 30% and won the MFA’s top award for real-time marketing for their efforts. But Will is worried new privacy laws will hand much of the control he currently has to "test and learn" to the walled gardens like Google and Meta, where their unknown tools and AI do all the optimisation without any visibility for advertisers.  

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There’s an easy way to cut carbon emissions from digital advertising. Stop buying “crap” ads that “no human sees”, ditch “gamed” viewability metrics and instead buy on attention, never buy another outstream video ad, and cull the bloated programmatic supply chain, per Brian O’Kelley. The CEO of Scope 3, a global emissions measurement firm focusing on decarbonising digital media and advertising, knows how much waste lurks within that supply chain – the sprawling Lumascape – because he was in deep and early, founding AppNexus, which ultimately sold to ATT&T for $1.7bn. Even “turning off five to seven per cent of inventory gets you a 29 or 30 per cent reduction in carbon,” says O’Kelley. Publishers feeling the heat to decarbonise – GroupM and Mediabrands are talking about money moving next year – needn’t fear. He reckons they will see more cents in the ad dollar as the bad actors get punted. Marketers will also stop wasting billions of ad dollars while saving millions of tonnes of carbon. But marketers have to lead, because everyone else will follow the money. Suncorp CMO Mim Haysom, NAB Head of Marketing Planning & Performance, Tom Dobson, and Australian Marketing Institute CEO, Bronwyn Powell join Mi3 on the mics to ask the pointy questions on where next – and how fast.   

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Katrina Barry is Deloitte Tech's Fast 50 female leadership winner for 2022 and CEO of the globally ambitious Australian restaurant and pubs ordering app me&u, backed by a Hollywood style list of Australian names including Merrivale’s Justin Hemmes, Rockpool's Neil Perry, Uber Australia co-founder Mike Abbott and former Google ANZ and current Domain boss Jason Pellegrino.  She's about a year into the role – me&u already controls about 70 per cent of large format hospitality venues in Australia and is now going global. Barry argues the little round device on bar and food tables is actually about business transformation, customer experience and, for venues, at least 30 per cent more orders if patrons don't have to wait for a negroni or a kale infused pheasant at the counter - or for a host. Hence, many venues are now creating dark bars as one tactic to improve customer experience and sales. Here’s why a little bit of tech in a pub or restaurant is transforming the economics of the hospitality sector - and customer happiness. 

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Southern Cross Austereo Chief Sales Officer Brian Gallagher has some contrarian views on the big push from agency groups to have media owners meet ESG and carbon neutral benchmarks as part of their annual ad deal negotiations. He also argues media buyers might be a little lost in the haze of numbers when audio platforms like Spotify bundle overall podcast audience numbers, which include SCA shows that Spotify can't commercialise. Gallagher says there's widespread misconception that they can. On the flip side, SCA Head of Ad Product, Jonathan Mandel are buoyed by the continuing surge of digital audio listening. At a market level, 9.4 million people are tuning in every week into the digital channel – the same number as broadcaster BVOD audiences. Mandel says there are major reach gains to be had for advertisers that take a slice of TV budgets: “If you're investing into a BVOD campaign, the studies we have developed show that if you put 15 per cent of that budget into digital audio, you can increase your reach and the overall reach curve by an additional 40 per cent.” Gallagher says the message is landing: “We've got FMCG advertisers onboard that have never advertised on radio before. I’m talking seven-figure commitments.”

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After five years of mergers and acquisitions, Nine’s first Group CMO Liana Dubois has hinted at an incoming major brand offensive as the former boss of the media group’s Powered division says the network will walk the talk on creativity. Seven months into the role, Dubois says Nine has de-siloed its marketing operation and the next surgical intervention is a major review of its disparate tech stack. While Nine’s latest results suggest cost efficiency is the name of the game across the business, Dubois says CEO Mike Sneesby is a "big believer in marketing-led growth". Perhaps her budget is safe for now. Either way, she says Nine has plenty of scale to harness across its vast owned assets, though how Australia’s data-privacy overhaul ultimately crimps those plans remains to be seen. Meanwhile, with former Optus CMO Mel Hopkins now Dubois’ opposite number at Seven, a new competitive tension is brewing as the networks battle shifting audience consumption and buyers holding out to see which way the chips fall. Dubois says it will be good for the category. 

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