Many advertisers have moved from the old fashion media commission and service fee to retainers based on retaining a set resource, the cost of which is calculated based on the direct salary costs of those resources, multiplied by the overhead cost of the company and then multiplied by the profit margin.

Retainers are generally considered to be easy to manage as for most advertisers they are set and forget. But two recent case studies highlight why retainers are not the ideal remuneration model for many advertisers and that the best remuneration model depends on their needs and circumstances.

Continue reading "Advertising agency remuneration problems - Retainers" »

The paper industry continues to cop the brunt of the environmentalist anger when it comes to the evils of carbon emissions. Some of this is justified. But there is another CO2 monster lurking in the office.
Marketers tend have a simplistic catch-cry of ‘move away from paper based communications and go on-line’. So let’s have a look at some basic facts and figures about on-line.

Continue reading "The Hidden Carbon Culprit" »

In Australia there has been a rapid growth of marketing services companies claiming ‘carbon neutrality’, and built-in offsets’.

Also some of these suppliers are now indicating offsets as a loading (some TV production estimates are starting to have an 0.8% carbon offset fee as a line item) or claiming, either with accreditation or on their own calculations, to be ‘carbon neutral’.

So is it a case of business as usual and charge the end consumer for planting a tree?

In my option advertisers should take ownership of any offsetting they wish to buy. This will ensure that is compliant and also lines up with the company's environmental strategy.

Regardless of how many trees you pay to plant the point is the emissions are still occurring in the first place.

Slowly but surely examples of bad luck or bad management of a company’s environmental positioning are creeping into the media.

The resent classic was Sir Paul McCartney’s gift for helping the planet, the eco-friendly Hybrid Lexus, being delivered by jet from Japan!

In the rush to measure these offset emissions, care must be taken before using this ‘carbon neutrality’ and putting your company’s flag on the moral high ground.

I have just read with interest the news from Tesco where they are showing the amount of carbon that is being generated between 'seed and store' on 20 of their items.

Yes they are maximizing the marketing mileage of this by telling everyone that they are acting in an environmentally responsible way.

To me this transparency is to be applauded. They are talking about the good things they are doing and at the same time not being afraid to show the world the amount of carbon they are putting out in the process. Let's hope this lead is followed.

Too many companies are waving their 'carbon neutral' accreditation flags out of their windows without telling us the contribution they are making to climate change.

While Tesco have a long way to go, I for one think it is a great example for all those Green-washers out their on how correctly to position their environmental credentials.

Who's next? And do not forget about measuring the amount of carbon that is generated from telling us what a great green job you are doing.

Continue reading "Green-washers beware: Tesco show the the correct way to market their eco direction" »