N2O – Dr Jart +

The Institute of Promotional Marketing members, N2O, have taken Covent Garden by storm, partnering with Korean Beauty giant Dr.Jart+ to bring skin care shopping to life in this unique pop-up.

Inclusive of games, photo moments, and some iconic yellow shopping baskets, the pop-up emulated a corner shop feel while creating a buzz around their legendary Cryo Rubber™ masks.

With the chance to win a year’s supply, this campaign was an incredible display of how mixing promotional and experiential marketing can put your brand on the map.

N2O – Beauty of Joeson

N2O brings Beauty of Joeson to life with an immersive pop-up in Westfield Stratford designed to cement the brand’s position as the number one K-Beauty choice for UK shoppers.

IPM members N2O helped Beauty of Joseon double down on its heritage and education credentials with this high-impact retail experience blending culture with discovery and play. The pop-up brought this to life through themed zones, a gamification mechanic inspired by a traditional Korean game of Yutnori, offering visitors the chance to win skincare prizes, and a product exploration area inviting shoppers to learn about the brand’s formulations.

“The K-Beauty space has grown rapidly in the UK, and with that comes increased competition,” said Clare James, Chief Commercial Officer at N2O.

“Our role was to help Beauty of Joseon stand out not just visually, but strategically. We did this by celebrating its heritage as one of the first Korean skincare brands to enter the UK market, creating an experience that feels authentic, educational and culturally rooted to position the brand as the experts in an increasingly crowded category.”

Dongho Han, Team Manager at Beauty of Joseon, added: “This pop-up allows us to showcase the depth of our range, our heritage and our commitment to effective, thoughtful skincare, all while creating a memorable and engaging experience over a key retail moment.”

Space and People – VIEVE

Beauty brand VIEVE brought its first Edinburgh pop-up to St James Quarter with an exclusive five-day activation as part of the centre’s Edinburgh Style event. Supported by long-time IPM Member SpaceandPeople’s Rock Up and Pop Up solution, the pop-up marked the brand’s second Scottish activation and highlights the growing role of pop-ups and experiential counters as a route to market in beauty.

“Over the past four months, we’ve collaborated with SpaceandPeople to deliver two pop-up activations through the ‘Rock Up and Pop Up’ service. The partnership provided a seamless end-to-end approach – from sourcing high-footfall locations and supporting creative design through to the installation of fully branded kiosks. It’s proven to be a smart, scalable way to engage customers, while building strong brand visibility in busy, real-world environments.” – VIEVE

Space and People – Mii Korean

In the Trafford Centre, Manchester, Korean Beauty brand Mii Korean used an experiential pop-up to bring its range to a wider audience. The pop-up, facilitated by SpaceandPeople, featured a live skin-scanning technology, delivering real-time product recommendations supported by trained brand ambassadors. This resulted in a pop-up that reduced uncertainty at the point of purchase. Shoppers were not just browsing. They were actively diagnosing, learning and buying within a single interaction.

A spokesperson from Mii Korean said: “Retail operations can be expensive, especially when it comes to setting up a physical space. With Rock Up & Pop Up, you get a cost-effective way to launch your business without the heavy upfront investment. You’ll be set up with a modern, high-quality kiosk that not only looks great but is ready to go from day one, so you can hit the ground running. It’s the perfect way to test your business idea, build momentum, and step confidently into retail!”

The investigation centred on the way the AA framed savings on breakdown cover, with the CMA concluding that aspects of its approach risked misleading customers. In particular, the regulator focused on whether the discounts being advertised genuinely reflected a meaningful saving against a true ‘’usual’’ price, and whether the overall presentation created a false impression of value.

This sits squarely within the CMA’s broader crackdown on pricing practices, especially where businesses use reference pricing, time-limited offers, or urgency cues that may not stand up to scrutiny. While these techniques are widely used across marketing, the CMA’s position is becoming increasingly clear: if a saving is claimed, it must be real, substantiated, and presented in a way that consumers can trust.

For the AA, the outcome is not just a regulatory slap on the wrist. Following the investigation by the Competition and Markets Authority, the business has been required not only to pay a financial penalty of £4.2million, but also to provide refunds to over 80,000 affected customers totalling £720,000. Crucially, the AA has also had to commit to changes in how it presents pricing and discounts going forward, ensuring that any future savings claims are based on genuine, substantiated reference prices. 

Much of what the CMA has challenged in this case; strikethrough pricing, “was/now” comparisons, limited-time framing, are staples of promotional campaigns. Whether it’s a gift-with-purchase mechanic positioned as added value, a member-exclusive discount, or a seasonal sales push, the same principles apply.

The key issue is substantiation. If a promotion claims a saving, that saving must be based on a price that has been genuinely charged for a sufficient period of time. If urgency is used, it must be real. And if an offer is framed as exclusive or time-limited, it cannot in practice be continuously available.

This is where the CMA’s approach intersects with the remit of the Advertising Standards Authority. While the ASA assesses whether marketing communications are misleading, the CMA is increasingly focused on the underlying commercial reality. Together, they create a more comprehensive enforcement landscape, one that looks at both what is said and whether it is true in practice.

For IPM members, this isn’t about abandoning effective promotional techniques. It’s about applying them with greater rigour.

Campaigns should be built on pricing structures that can withstand scrutiny, with clear internal records to evidence “was” prices and promotional timelines. Creative should avoid overstating urgency or exclusivity. And crucially, legal and compliance considerations need to be embedded earlier in the process, before campaigns go live, not after concerns are raised.

January 29, 2024

Traditional Search Engines Face New Rivals

The year 2024 stands as a watershed moment in the evolution of search. Traditional gatekeepers like Google now face stiff competition from rising stars such as TikTok, Instagram, and AI technologies. This represents a fundamental shift in how information is sought and consumed, particularly among Gen Z and millennials who are increasingly flocking to Instagram for entertainment, to Pinterest for inspiration, and ChatGPT for educational support. TikTok, in particular, has seen an exponential increase in searches spanning a diverse range—from new recipes, restaurant and travel recommendations, to DIY, fashion, and beauty tips. As the digital realm expands, so too does the array of methods to access information within it. Google may still wear the crown in the search engine kingdom, but the question looms: how much longer can it maintain its reign?

“In our studies, almost 40 percent of young people, when they’re looking for a place for lunch, don’t go to Google Maps or Search. They go to TikTok or Instagram”.

Prabhakar Raghavan, Google senior vice president.

The Changing Face of Search

This shift in search behaviour is underscored by significant statistics. According to a report by DataReportal, out of a global population of 8.03 billion, 4.90 billion users are now actively engaged on social media. But what’s particularly striking is the preference of younger generations for social media as their go-to source for information retrieval. According to research conducted by Sprout Social, a renowned authority on social media trends, 60% of Gen Z users actively favour searching for information on social media platforms, surpassing the use of traditional search engines. The study shows that 45% of millennials and 33% of Gen X users are also embracing social media for their search needs, indicating a broader, cross-generational movement towards new search behaviours. But what’s behind this shift? The answer could reside in a recent advertisement by Lucky Generals and Zenith.

TikTok: Shaping the Language of Search

TikTok is at the forefront of a profound shift where language and traditional text-based interactions are giving way to a new era of video-based information consumption. According to MGH, a marketing and communication agency, 53% of Millennial TikTok users have visited a restaurant or ordered food after seeing it on TikTok. Consumers are increasingly leaning on user-generated content to guide their decision-making processes. They’re leveraging TikTok’s geolocation capabilities to uncover new dining hotspots. This evolution marks a significant departure from the traditional reliance on search engines and review platforms like Google Maps, TripAdvisor, or Yelp.

“The TikTok community isn’t just scrolling. They’re on a serendipitous journey where every flick of the thumb leads to a moment of discovery.”

Sofia Hernandez, Global Head of Business Marketing for TikTok

The Power of Influence in Modern Search Trends

‘It Starts on TikTok‘ places a spotlight on creators and businesses that form the bedrock of the platform. Designed to make it easy for experts to share their knowledge and communicate with a given audience, TikTok has given rise to a vibrant ecosystem of micro-communities centred around diverse subjects, ranging from gardening and digital marketing tips to pranks and beauty routines. Within these communities, influencers have become trusted sources for their followers, answering questions and providing valuable advice that significantly impacts the way consumers behave, learn, share, and search. Personalities like Russ (@hardestgeezer), who is on a mission to become the first person ever to run the entire length of Africa to raise money for charity, and Nicola (@madewithmudpottery), a potter who achieved viral fame for making ceramics accessible to all, exemplify the platform’s focus on user-generated content and authentic narratives.

“Authenticity rules online: Passionate influencers and micro-communities with genuine, engaging content are winning the hearts and minds of audiences”.

Liam Bircham, Head of Social, N2O

The Race for Search Engine Dominance

Platforms like ChatGPT are redefining search by providing personalised interactions, a stark contrast to the keyword-dependent mechanisms of traditional search engines like Google. Yet this shift goes beyond different platforms vying for dominance. It represents a fundamental change in how information is sought, consumed, and valued. The role of user-generated content, from restaurant reviews to travel tips, underscores a more personalised, relatable approach to information sharing that reflects a desire for authenticity and connection in the digital space.

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January 10, 2024

In a world where gut health is making headlines, and non-alcoholic beer is a trendy choice, 2024 marks a significant shift in consumer behaviour. The international wellness tourism market has soared to a staggering £837 billion, growing robustly at 12.4%. While the UK boasts the fifth largest wellness economy in the world, seeing a growing fondness for health-boosting practices like cold plunging, biohacking, and essential oils. Following suit, advanced wearable health technology is expanding, with over 1 billion people internationally projected to use sophisticated health monitoring devices in 2024. How are brands like ZOE reshaping our approach to health? What’s fuelling this shift in consumer behaviour, and how is it influencing the promotional marketing landscape?

The Ascension of ZOE

Health and wellness have become central themes in today’s cultural landscape, and the star of this transition is ZOE. Founded in 2017 by health experts Jonathan Wolf and Professor Tim Spector, this personalised nutrition service emphasises the importance of understanding individual responses to food through personalised tests, AI, and nutritional studies. 2023 was a breakthrough year for ZOE, propelled by endorsements from celebrities like Steven Bartlett and Davina Mccall, and forming a significant partnership with Marks and Spencer for a kefir-based health shot. Fast forward to today, and ZOE’s growth is evident—not only in its subscriber count, now over 130,000—but also in its profound influence on altering society’s perception of gut health. But the question remains: How did they do it?

Health and Wellness Meets Gamification

With ZOE’s personalised nutrition app, the task of health tracking becomes a rewarding journey, complete with interactive feedback and personalised metrics. But beyond internal wellness journeys, the genius of ZOE lies in the nurturing of health and wellness ecosystem. Inside forums, subscribers actively engage in vibrant discussions, sharing strategies for incorporating thirty organic vegetables a day, to managing blood sugar levels, and sharing practical advice on diets, like increasing bean intake without the side effects. ZOE users, sporting distinctive yellow glucose monitors, not only track their health but also proudly symbolize their quest towards health enlightenment. By marrying the principles of wellbeing, self-improvement, and gamification, alongside nurturing a strong community, ZOE has not just promoted a product but ignited a lifestyle trend.

‘Be Your Best Challenge’ by Bulldog Skincare and Strava

ZOE is not the only brand harnessing the power of gamification to fuel the growing desire for self-improvement and health empowerment. Bulldog Skincare, in partnership with Strava and TWELVE Agency, has launched the ‘Be Your Best Challenge‘. This program invites users to log their fitness activities on Strava to compete in a community-driven challenge. The goal? To accumulate as many hours of fitness activities as possible, with participants spurred on by attractive rewards, including a year’s supply of Bulldog’s Advanced Range. Each participant also enjoys a 30% discount on Bulldog skincare products and earns a digital badge, mirroring the incentive approach used by ZOE. This initiative not only positions health as the new benchmark of success but also sheds light on the evolving nature of rewards to reflect new consumer values and desires in health and wellness.

The Influence of Health Trends on Prizes and Rewards

As society’s values evolve, so do the prizes in promotions. In this landscape, Benecol, with the support of Activation, embraced the challenge of making cholesterol management appealing. Timed with National Cholesterol Month, their ‘Year of Good Living‘ campaign offered winners idyllic cottage retreats and a continuous supply of fresh, organic vegetables. This trend, where even a consistent supply of vegetables garners significant consumer interest, speaks volumes about our changing values. Similarly, since 2014, IPM Member Broccoli , in partnership with Everyone Active, has revolutionised swimming lesson promotions. Their prize draws, featuring forest retreats and getaways, align closely with the growing emphasis on health, fitness, and family bonding. These campaigns, with their redemption rates soaring over 20% and continuing to rise, underscore a significant trend: health-focused incentives are not just a passing fad, but a reflection of deep-rooted societal shifts.

Health and Wellness Take Centre Stage

As we step into 2024, the health and wellness sector is already causing a significant shift in the promotional marketing landscape. Companies like ZOE, Bulldog Skincare, Everyone Active, and others are at the forefront of this change, blending technology, gamification, and community engagement to turn health and wellness into an engaging, rewarding journey. Their success demonstrates a powerful transition in marketing and promotional strategies, where health and wellness are no longer just aspects of life to manage, but vital components of personal identity and community belonging. Do you think the continued integration of technology, like wearable health monitors, will continue to trend in 2024? In what ways will this effect promotions? Share your insights in the comments below.

News

3rd January 2023

In December 2023, the Advertising Standards Authority (ASA) unveiled a comprehensive five-year strategy that sets the stage for AI-assisted regulation, collective ad oversight, environmental protection, and the trajectory of ad regulation in the years to come. This six-strand approach promises to strongly influence agencies and brands engaged in promotional marketing activities. Join us as we delve deeper into the ASA’s strategic pillars and their implications for the world of promotional marketing. 

Planet and Environmental Commitment 

The ASA’s climate strategy aligns with the UK, Welsh, and Northern Irish Governments’ commitment to net zero by 2050, with a 78% reduction by 2035, and the Scottish Government’s target for 2045. They acknowledge the pivotal role advertising plays in addressing the climate crisis and view advertising as part of the solution rather than a problem. Yet as part of the ASA’s focus on the environment, marketers running promotional marketing campaigns related to eco-friendly products or sustainability will face greater scrutiny. The ASA’s Climate Change and Environment project will specifically target promotions with misleading green claims. Marketers must ensure that their promotional materials accurately represent their environmental commitments and product claims to avoid regulatory action. This is especially important in sectors critical to environmental goals, such as housing and transport. Additionally, the ASA has set ambitious objectives for its own Net Zero plan, striving to achieve net zero emissions by 2030 at the latest.

Online Advertising Regulation 

The ASA recognises that people are spending increasing amounts of time online, and businesses are dedicating more resources to online advertising than ever before. While businesses bear primary responsibility for the content of their ads, there is a growing expectation within UK society that the all parties involved in the online advertising supply chain should play a more substantial role in upholding the rules. With rapid technological advancements, such as connected TVs and generative artificial intelligence, the ASA is challenged to regulate a complex and changing landscape. Yet despite this challenge, they expect to process over three million ads through their Active Ad Monitoring system, enhancing compliance reporting, and addressing irresponsible online ads more effectively. 

“We will not necessarily wait for complaints to be made against a brand before taking action” 

Guy Parker, the CEO of the Advertising Standards Authority (ASA)​​. 

Awareness and Industry Collaboration 

The ASA is also looking to deepen its relationship with major online platforms such as Google, Instagram, Amazon, and Facebook to ensure their regulations apply across those advertising platforms. The emphasis on a collective approach may lead to closer cooperation between organisations in addressing issues related to promotions, particularly in areas like Less Healthy Food promotions, where major legislation is set to be enacted. To help solve cross-border issues, the ASA will engage with supranational organisations, through membership of the European Advertising Standards Alliance (EASA) and International Council for Advertising Self-Regulation (ICAS).  

Operational Transformation 

The ASA’s operational transformation strategy is leveraging AI and data science to hit the three million ad target, alongside addressing the complex and growing nature of online advertising. The AI-assisted monitoring will likely result in quicker identification and removal of misleading or irresponsible online promotions however it raises questions about the ability of algorithms to contextually understand and accurately regulate nuanced advertising content. To this point, Guy Parker comments:  

“You don’t press a button for the machine to tell you whether the arguments and evidence are good enough. Judgement still must come into it. We need to be proactive in making sure we’re setting the rules in the right place in these sorts of areas”​​. 

Guy Parker, the CEO of the Advertising Standards Authority (ASA) 

The ASA’s 2024-2028 strategy will undoubtedly shape the landscape of promotional marketing activities in the UK. Brands and agencies must align their practices with the ASA’s evolving regulations, emphasising responsibility, transparency, and adherence to environmental commitments. Nevertheless, unanswered questions linger, particularly regarding the practical implementation of the ASA’s strategy, its implications for cross-border advertising and whether their stated targets are achievable. As technology continues to advance, the advertising industry must remain adaptable and responsive to changing ASA standards, with a shared goal of ensuring responsible and ethical promotional practices. 

News

7th December 2023

Rising Inflation and the Shift to Own Label Products

The CMA’s recent study highlights a persistent issue in the UK Grocery Market: despite a slight dip to 10.1% in October 2023, food price inflation remains notably high. This trend is largely fuelled by escalating input expenses, such as energy and fertilizers. Notably, in sectors like infant formula and pet food, approximately 75% of brand-name suppliers have raised prices beyond their increased costs, exacerbating the inflationary trend. These suppliers have also seen an increase in unit profitability, indicating that price hikes may not be solely due to increased production costs. In response to these rising prices, consumer behaviour has shifted markedly towards more cost-effective alternatives, namely own label products, offering more budget-friendly options. This shift has led to a decline in the market share and profits of branded products, signifying a positive trend for competition and consumer choice.

“Food price inflation has put huge strain on household budgets, so it is vital competition issues aren’t adding to the problem. While in most cases the leading brands have raised prices more than their own cost increases, own label products are generally providing cheaper alternatives”.

Sarah Cardell, CMA Chief Executive

The Baby Formula Market

The CMA expresses particular concern about the baby formula market, where prices have surged by 25% over two years. The market is notably concentrated, with a few firms dominating. This lack of consumer shift towards cheaper or own-brand alternatives, combined with consistently high-profit margins for major brands, has prompted further investigation. The CMA points out that families could potentially save over £500 in the first year of a baby’s life by choosing more affordable baby formula options. This fact underscores the importance of the CMA’s investigation into better understanding consumer behaviour in the baby formula market, including factors influencing choice, and barriers to entry and expansion for new and existing manufacturers.

Loyalty Scheme Pricing and the Clubcard Scandal

The rise in supermarket loyalty schemes, offering discounts exclusively to card members, has also caught the CMA’s attention. The Clubcard scandal, specifically, has sparked debate and scrutiny. Accusations against Tesco include misleading customers with unclear Clubcard pricing and creating unfair market advantages. The CMA plans to investigate these schemes’ impact on consumer behaviour and market competition, with the inquiry set to commence in early 2024. The investigation will also examine consumer access to these programs and potential barriers they create, such as technological requirements and data sharing, which could affect market inclusivity and competition among supermarkets. More information and the full report can be found on the CMA Groceries case page

“We have also seen an increase in the use of loyalty scheme pricing by supermarkets, which means that price promotions are only available to people who sign up for loyalty cards. This raises a number of questions about the impact of loyalty scheme pricing on consumers and competition and the CMA will launch a review in January 2024.”

Sarah Cardell, CMA Chief Executive

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