Network’s Proprietary Research Tool Looks at Future Potential of Brands
NEW YORK, Oct. 16 /Xinhua-PRNewswire/ -- Euro RSCG announced today the results of its global Brand Momentum study. This year’s study looked at the top brands across the U.S., U.K., France, and China, and asked consumers to indicate which brands are gaining ground, losing ground, or staying the same. This study is fielded annually by the global advertising network and has looked at 3,500 brands across 12 countries. The tool has been proven to predict the success or failure of the world’s most well-known brands.
"We believe the key to future success in business and in politics is momentum. Tracking studies tell you about history. Brand momentum predicts the future. Brand Obama is a real marketing phenomenon. He’s not only making politics cool, he’s outpacing Google and iPhone, the icon brands of this century," said David Jones, Global CEO of Euro RSCG Worldwide. He added, "In this latest momentum study, we’ve watched the presidential campaign closely as politics is really at the cutting edge of marketing given its speed, complexity and the need for split-second decision making. There are a number of interesting insights into building momentum for our clients’ brands."
The Brand Momentum tool is a crossover from the agency’s political expertise around the world. In its first application to a brand in the U.S., it provided a key strategic asset for MCI in the days of the telecom wars. The predictive value of the tool was demonstrated after the network created the Momentum 20, a virtual index fund of the top 20 net momentum performers from the first phase of that study. That index has outperformed every major index fund, including the S&P 500 and the FTSE 100, since its inception.
The brands in the Euro RSCG study are ranked by their net momentum, the difference between positive momentum and negative momentum. Google was the only brand to be ranked in the top three across three of the four markets: Google ranked third, first, and second across the U.S., U.K., and France, respectively. China had a completely unique top three with Taobao, Intel, and BMW. The highest net momentum for any brand was the Wii in the U.S. at 84.4. The top brands in the other countries were Google (UK) at 73.3, iPod (France) at 76.6, and Taobao (China) at 69.
The presidential candidate momentum was tracked separately in a five-phase study first fielded prior to the conventions and then after every major campaign event, including the conventions and the three debates (2 Presidential and 1 Vice Presidential). The study showed that neither candidate had a momentum advantage going into their conventions, but that quickly changed after the introduction of Sarah Palin. The post-convention phase gave McCain a net momentum of nearly +50, while Obama’s sank to -13.5. Those positions flipped after the first Presidential debate (which coincided with the onslaught of news around the economic situation), and Obama’s momentum has continued to increase while McCain’s has steadily decreased since then. The last phase, fielded from October 8-10, showed Obama with a net momentum of 82.2, with respondents citing his debate performance and the recent economic issues as key drivers for his momentum.
In the second phase of the study, Euro RSCG investigated what triggered momentum. Several key marketing drivers were identified; including a reputation as a "visionary," a strong digital social network, peer recommendation, and youthfulness. Looking at just the candidate momentum piece of this study, it is of little surprise that Obama is entering the final weeks of the campaign with the second-highest momentum of any brand in the study given his relative youth, online outreach, online community, and his positioning as a change agent.
Finally, the study investigated the relationship between net momentum and purchase intent. While there is a correlation between these two measures, Euro RSCG discovered that "trust" in a brand, in combination with strong momentum, drove purchase intent. Again using the example of the presidential survey, after each debate Obama has seen an increase in the polls -- essentially a purchase intent measure -- because voters report that they have become more familiar with him and put more trust in him to deal with the economic crisis.
Andrew Benett, co-CEO of Euro RSCG New York and Global Chief Strategy officer, added, "The insights we gained in this study will enhance the way we use this tool going forward. In future momentum studies, we will look at a client’s or prospect’s brand and its competitors and determine which driver is the most promising one to increase or maintain momentum in a given category. We’ll be able to compare share of market to share of voice, share of news, share of blog, or share of any of the marketing drivers within their category and will be able to intelligently adjust both the message and the medium in real time in order to drive value for our clients’ brands."
Euro RSCG Worldwide, a leading integrated marketing communications agency and Advertising Age’s and Campaign’s 2006 Global Agency of the Year, is made up of 233 offices located in 75 countries throughout Europe, North America, Latin America, and Asia-Pacific. Euro RSCG provides advertising, marketing services, corporate communications, and interactive solutions to global, regional and local clients. The agency’s client roster includes Air France, BNP Paribas, Charles Schwab, Citigroup, Danone Group, Chivas, Heineken USA, IBM, Jaguar, Kraft Foods, Lacoste, L’Oreal, PSA Peugeot Citroen, Reckitt Benckiser, Sanofi-Aventis, Schering-Plough and Valspar. Headquartered in New York, Euro RSCG Worldwide is the largest unit of Havas, a world leader in communications (Euronext Paris SA: HAV.PA).
